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the form of joint management success without such great leaders.
committees, work committees, The leaders always play a key role
canteen committees etc., for the success and excellence of any
(viii)Employee Empowerment: Empo organisation.
werment means giving more Let us understand the concept
autonomy and powers to of leadership, its importance and
subordinates. Empowerment qualities of good leaders. Leadership
makes people feel that their is the process of influencing the
jobs are important. This feeling behaviour of people by making
contributes positively to the use them strive voluntarily towards
of skills and talents in the job achievement of organisational goals.
performance. Leadership indicates the ability
of an individual to maintain good
Leadership interpersonal relations with followers
Whenever we hear the success and motivate them to contribute for
stories of any organisation, we are achieving organisational objectives.
immediately reminded of their leaders.
Can you imagine Mircrosoft without Features of leadership
Bill Gates, Reliance Industries without An examination of the above defi
Ambanis, Infosys without Narayana nition reveals the following important
Murthy, Tata without J.R.D. Tata features of leadership:
or Wipro without Azim Premji. You (i) Leadership indicates ability of an
would say it is not possible to achieve individual to influence others.
Definitions of Leadership
Leadership is the activity of influencing people to strive willingly for group objectives.
George Terry
Leadership is the art or process of influencing people so that they will strive willingly and
enthusiastically towards the achievement of group goals.
Harold Koontz and Heinz Weihrich
Leadership is a set of interpersonal behaviours designed to influence employees to cooperate
in the achievement of objectives.
Glueck
Leadership is both a process and property. The process of leadership is the use of non-
coercive influence to direct and coordinate the activities of the members of an organised
group towards the accomplishment of group objectivities. As a property, leadership is the set
of qualities or characteristics attributed to those who are perceived to successfully employ
such influence.
Gay and Strake
2015-16(21/01/2015)
194 Business Studies
(ii) Leadership tries to bring change related factors like – their skills,
in the behaviour of others. knowledge, commitment, willingness
(iii) Leadership indicates interperso to cooperate, team spirit etc., make a
nal relations between leaders and person an effective leader. It is said
followers. that followers make a person, a good
(iv) Leadership is exercised to leader by acceptance of leadership.
achieve common goals of the Therefore, it is to be recognised that
organisation. both leader and follower play key role
(v) Leadership is a continuous in leadership process.
process. Importance of Leadership: Lead
The term leader emerges from ership is a key factor in making any
leadership. An individual possessing organisation successful. History
attributes of leadership is known reveals that, many times, difference
as leader. While discussing about between success and failure of an
leadership, it is important to under- organisation is leadership. It is aptly
stand leader–follower rela tionship. mentioned by Stephen Covey, a
Many times, the success of an famous management consultant, that
organisation is attributed to the managers are important but leaders
leader, but due credit is not given are vital for lasting organisational
to the followers. Many followers success. A leader not only commits
Effective leadership is getting work
done, tasks completed on time and goals
achieved at minimum cost
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Directing 195
his followers to organisational goals always produce goods results
but also pools needed resources, through their followers.
guides and motivates subordinates (ii) A leader maintains personal
to reach the goals. relations and helps followers
The importance of leadership can in fulfilling their needs. He
be discussed from the following provides needed confidence,
benefits to the organisation: support and encouragement and
(i) Leadership influences the thereby creates congenial work
behaviour of people and makes environment.
them to positively contribute (iii) Leader plays a key role in
their energies for the benefit of introducing required changes in
the organisation. Good leaders the organisation. He persuades,
Leadership
Leadership at
at Infosys
Infosys
It is interesting and inspiring to know about N. R. Narayana Murthy, Ex-Chairman of Infosys, an
IT legend, institution builder, a leader par excellence and embodiment of directing abilities.
Born on August 20, 1946 in Karnataka State, Mr. Narayana Murthy graduated (B.E.) from
University of Mysore (1967), and obtained master degree ([Link]) from IIT, Kanpur in 1969.
He started his career as head of the computer centre at IIM, Ahmedabad.
He started Infosys, a small software company along with his friends in 1981 and turned it
into a global IT company by 2002. He was the chief mentor, CEO of the company for two
decades. During that time he took the company to unimaginable heights. With an equity
capital of Rs. 10,000 in 1981, Infosys market capitalisation reached Rs. 11 billion by 2001.
Infosys became one of the biggest exporter of software from India. It is the first company to
be listed in Nasdaq Stock Market in 1999.
Narayana Murthy is remembered as a top leader for many things. He had supreme
confidence on his team members, executives and workers. He nurtured and developed
leadership qualities through coaching and training. He started Infosys Leadership Institute in
early 2001 to help promising infoscians to develop into global leaders.
Mr. Murthy leads by example and by trust. Very often he used to say “A true leader is
one who leads by example and sacrifices more than any one else, in his or her pursuit of
excellence”. He truly practiced and proved it in Infosys.
Mr. Murthy always motivated his team. He introduced number of motivational schemes
including the novel Stock option scheme for the executives of Infosys.
Narayana Murthy was associated with many national and international bodies in different
capacities and extended his services to the wide ranging activities. He received number of
awards and rewards from academic, social and business community. Following the norms
setup by himself, Narayana Murthy handed over reins of Infosys to his friend and co-founder
Nandan Nilekani in 2002.
2015-16(21/01/2015)
196 Business Studies
clarifies and inspires people to and helps in smooth succession
accept changes whole-heartedly. process.
Thus, he overcomes the problem
of resistance to change and Qualities of Good Leader:
introduces it with minimum What are the qualities possessed by
discontentment. a good leader? Are there any common
(iv) A leader handles conflicts traits (qualities) applicable to all
effectively and does not allow good leaders? How many such
adverse effects resulting from the qualities should a leader possess to
conflicts. A good leader always be successful?
allows his followers to ventilate One approach to leadership
their feelings and disagreement emphasises that a person should
but persuades them by giving possess certain qualities or traits to
suitable clarifications. become a successful leader. It assumes
(v) Leader provides training to their that leaders can be distinguished from
subordinates. A good leader non leaders by certain unique traits
always builds up his successor possessed by them. The qualities of
Qualities of a Good Leader
In all about 18,000 traits were identified by researchers. The qualities of a good leader as
mentioned by some authorities on the subject are given below:
Energy, emotional stability, knowledge of human relations, motivation, communication, skill,
teaching ability, social skill and technical competence.
Geroge Terry
Vitality and endurance, decisiveness, persuasiveness, stability in behaviour, intellectual ability
and knowledge.
Chester Barnard
Physical and nervous energy, enthusiasm, sense of purpose and direction, technical mastery,
friendliness and affection, decisiveness.
Ordway Tead
Courage, will power, judgment, flexibility, knowledge and integrity.
Vicout Slim
Supervisory ability, achievement motivation, self-actualising, intelligence, self assurance,
decisiveness.
Ghiselli
Courage, self-confidence, moral qualities, self sacrifice, paternalism, fairness.
Hill
Physical and constitutional factors, intelligence, self-confidence, sociability, will, dominance.
Stodgil
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good leaders as identified by some (iv) Initiative: A leader should have
researchers are shown in the box in courage and initiative. He should
previous page. not wait for opportunities come
Some of these qualities are to his way, rather he should grab
explained below: the opportunity and use it to the
(i) Physical features: Physical advantage of organisation.
features like height, weight, (v) Communication skills: A leader
health, appearance determine should be a good communicator.
the physical personality of an He should have the capacity to
individual. It is believed that clearly explain his ideas and
good physical features attract make the people to understand
people. Health and endurance his ideas. He should be not
help a leader to work hard which only good speaker but a good
inspires others to work with same listener, teacher, counsellor and
tempo. persuader.
(ii) Knowledge: A good leader should (vi) Motivation skills: A leader should
have required knowledge and be an effective motivator. He
competence. Only such person can should understand the needs
instruct subordinates correctly of people and motivate them
and influence them. through satisfying their needs.
(iii) Integrity: A leader should (vii) Self Confidence: A leader should
posses high level of integrity and have high level of self confidence.
honesty. He should be a role model He should not loose his confidence
to others regarding the ethics even in most difficult times.
and values. In fact, if the leader lacks self
Leadership and Team work in HCL Technologies
HCL Technologies has formulated a rather innovative approach to management, where
employees come before customers. Every employee ranks their boss, their boss’s boss, and
at least three other company managers on a 1-to-5 scale. Then the results are posted online
for everyone to see.
This company realizes that satisfied and secure employees can best focus on customer
success. HCL has formed new strategic alliances, and is embarking on a rather innovative
approach to shared risk with customers.
The point is that Indian companies aren’t just innovating manufacturing methods,techno
logies, and product design. Their leaders are also re-thinking leadership and management to
create energised creative teams of employees focused on customer success.
Source: [Link]
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198 Business Studies
confidence, he can not provide (i) Autocratic or Authoritarian leader
confidence to his followers. An autocratic leader gives orders
(viii)Decisiveness: Leader should be and expects his subordinates to
decisive in managing the work. obey those orders. If a manager
Once he is convinced about is following this style, then
a fact, he should be firm and communication is only one-way
should not change opinions with the subordinate only acting
frequently. according to the command given
(ix) Social skills: A leader should be by the manager.
sociable and friendly with his This leader is dogmatic i.e.,
colleagues and followers. He does not change or wish to be
should understand people and contradicted. His following is
maintain good human relations based on the assumption that
with them. reward or punishment both can be
However, we should remember that given depending upon the result.
all good leaders may not necessarily This leadership style is effective
posses all the qualities of a good in getting productivity in many
leader. In fact, it is not possible for situations like in a factory where
any individual to have all the qualities. the supervisor is responsible for
But an understanding about these production on time and has to
qualities help the managers to acquire ensure labour productivity. Quick
them through training and conscious decision-making is also facilitated.
But there are variations also,
efforts.
they may listen to everyone’s
Leadership Style
opinion, consider subordinates
There are many theories of leadership
ideas and concerns but the
behaviour and styles. Research decision will be their own.
studies have revealed certain traits (ii) Democratic or Participative
and qualities which a leader might leader
possess. However, these are not A democratic leader will develop
conclusive since many people may action plans and makes
possess these qualities but may not decisions in consultation with his
be leaders. subordinates. He will encourage
There are several bases for classifying them to participate in decision-
leadership styles. The most popular making. This kind of leadership
classification of leadership styles is style is more common now-a-
based on the use of authority. Depending days, since leaders also recognise
on the use of authority, there are three that people perform best if they
basic styles of leadership: have set their own objectives. They
(i) Autocratic (ii) Democratic, and also need to respect the other’s
(iii) Laissez-faire opinion and support subordinates
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to perform their duties and while doing work and a democratic
accomplish organisational leader may have to take his own
objectives. They exercise more decision in an emergency situation.
control by using forces within the
group. Communication
(iii) Laissez faire or Free-rein leader Communication plays key role in
Such a leader does not believe the success of a manager. How
in the use of power unless it much professional knowledge and
is absolutely essential. The intelligence a manager possesses
followers are given a high degree becomes immaterial if he is not
of independence to formulate their able to communicate effectively
own objectives and ways to achieve with his subordinates and create
them. The group members work understanding in them. Directing
on their own tasks resolving issues abilities of a manager mainly depend
themselves. The manager is there upon his communication skills. That
only to support them and supply is why organisation always emphasise
them the required information to on improving communication skills of
complete the task assigned. At managers as well as employees.
the same time, the subordinate The word communication has
assumes responsibility for the been derived from the Latin word
work to be performed. ‘communis’ which means ‘common’
Depending upon the situation which consequently implies common
a leader may choose to exercise a understanding. Communication is
combination of these styles when defined in different ways. Generally, it
required. Even a laissez faire leader is understood as a process of exchange
would have certain rules to be followed of ideas, views, facts, feelings etc.,
Definitions of Communication
Communication is the sum of all things one person does when he wants to create understanding
in the mind of another. It involves systematic and continuous process of telling, listening and
understanding.
Louis Allen
Communication is transfer of information from the sender to the receiver with the information
being understood by the receiver.
Harold Koontz and Heniz Weihrich
Communication is a process by which people create and share information with one another
in order to reach common understanding.
Rogers
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