Management writes the rules and sets the goals for the organization. Management is often critical of failures and expects only success” (Kumle & Kelly, 2006, p. 11). Management handles the day-to-day complexities of organizations. Budgets, planning, meeting with investors, organizing, and maintaining company traditions all fall under management responsibility. As an organization grows managers tend to lose touch with employees. Managers think in terms of profit, goals, and company growth. Management operates on a need-to-know basis and can easily incite fear in their subordinate employees. Rumors of downsizing or a change in an organizations direction can often be eliminated by managers being more open with employees. Management has a tendency to protect itself at the expense of others. According to Kumle and Kelly (2006), “ many managers are overly concerned with fitting in and not rocking the boat, those who emerge as leaders are more concerned with making important decisions that may break with tradition but are humane, moral and right” (p. 11). Good managers are also good leaders and tend to hire good leaders to represent them.
Leaders provide a vision and help employees turn the vision into reality. Good leaders believe in open, honest communication and care about the welfare of the employees. “People are important and come first before things, goals, and visions” (Kumle & Kelly, 2006, p. 11). Good leaders attempt to retrain employees instead of replacing them with new ones. They define the short-term tasks and guide employees to success. Leaders and leadership style used have a great deal of impact on organizational culture. Leadership style is partially controlled by the amount of responsibility they are given by management. Leaders with legitimate power have the authority to provide employee assignments, employees are obligated to comply with instructions given by these leaders. Employees comply with the wishes of leaders with reward power to receive rewards. Leaders with coercive power have the ability to give punishments, employees comply to avoid punishment. The personal characteristics of leaders with referent power encourage employees to comply. The employees want to please their leader and sometimes want to be like him or her. A leader with expert power maintains authority by having an expertise or knowledge that others believe in, or can learn from him or her.
A good leader demonstrates a high-level of effort. Good leaders also provide motivation both inside and outside of his or her department. A good leader shows honesty and credibility. He or she shows self-confidence on a daily basis and has a high-level of knowledge about the business. Most important of all, a good leader understands the needs and goals of others and is able to adjust his or her personality to handle any situations that arise. A good leader encourages employees to participate in the decision-making process and delegate’s authority to provide learning opportunities to others. A good leader develops an environment of trust within the department. Employees are encouraged to learn new skills and the funds are made available for this to happen. Leaders who show consideration to employees tend to receive fewer grievances and have less department turnover.
Employee attitude often reflects characteristics of the organizations leaders. Leaders who are honest and open tend to receive open and honest answers from employees. Employees will feel more comfortable sharing ideas and accepting a leader’s response to the idea. If the reasons for an ideas rejection are presented honestly, rejection can be a learning experience that helps an employee grow.
Healthy organizational cultures have leaders who encourage employees to learn new skills in order to create an opportunity for advancement. One, represented here as the employee, has been given the title of Computer Programming Technician. The tasks performed on a daily basis are those of a Systems Analyst which requires a bachelor’s degree. The employees’ manager demonstrated good leadership skills. The manager has offered to reduce the employees’ work load, adjust the employees’ work hours, and made other concessions to help make it happen. The manager often expresses guilt associated with the inability to pay the employee what she is worth. This encouragement has resulted in the employee returning to school. The manager continues to support the employee with positive statements that encourage earning A’s and by letting the employee know that upper management is thrilled with the fact that she has returned to school. This positive leadership has enabled the employee to develop more self-esteem and the confidence to succeed.
Leaders in healthy organizational cultures must eliminate any tendency to prejudge individuals skills based on appearance or physical traits. Every employee should be given the chance to succeed. One once worked at a very large and well known insurance company. On the first day of employment the supervisor indicated the manager’s lack of faith in offering promotions because one was left-handed. The sorting equipment used in the department was manufactured for right-handed individuals. One’s work was just as good as or better than the work of others in the department but was never promoted because of the prejudgment. One later heard a rumor that the manager had 23 employees walk out on her in one day. Another former employee often referred to the company as a jail, because employees could not get out of the building before closing time without a pass. Incidents like this have resulted in the organization promoting an unhealthy culture where many are unwilling to work.
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