1. "Leadership" comes from the Norse and Anglo Saxon language.

It means "path", "journey" or

"route". It is focused on looking ahead and being visionary.
"Management" comes from the Latin language. It means "hand". It is focused on being "hands on"
or controlling resources such as people, materials and money.

2. For example, giving feedback to employees could be seen as either a management or a

leadership task, depending on the way it is carried out.
Will your employees get feedback on the speed and efficiency of how they performed against
deadlines? (management focus) or
Will they be given feedback on the process used to meet those deadlines; what went well and not
so well, what they learned from the experience, with a focus on developing their skills in the future?
(leadership focus).
Management is efficiency in climbing the ladder of success, leadership determines whether the
ladder is leaning against the right wall. Stephen Covey
Managers have employees.
Leaders win followers.
Managers react to change.
Leaders create change.
Managers have good ideas.
Leaders implement them.
Managers communicate.
Leaders persuade.
Managers direct groups.
Leaders create teams.
Managers try to be heroes.
Leaders make heroes of everyone around them.
Managers take credit.
Leaders take responsibility.
Managers are focused.
Leaders create shared focus.
Managers exercise power over people. Leaders develop power with people.
Proactive
As a manager, you'll be given your instructions. If something doesn't go to plan, a good manager
will react to the bad news (or good news) accordingly. Displaying leadership is about more than
that though; if you are a strong leader, you will anticipate changes and prepare in advance, steering
your team to safety and ever-increasing profits.
Leaders who are proactive typically have a calm demeanor and roll with the punches. They also
have confidence that their teams can overcome any challenge that may arise. This creates a less
stressful environment for teams, knowing there is a plan of action and contingencies in place for
when things don't go as planned. Of course, as with all things, good leaders need to take on
managing and leading rolls.
2. Managers Have Employees, Leaders Have Followers

You'll manage a group of five or 10 as a good manager at a small company. As a manager, your
team will be fixed. You'll react to situations, and your team will report to you. However, if you
become known as a leader, then your team will come to you for help--but so will members of other
teams. Being known as the guy or girl who gets ideas and acts decisively is the way to become a
natural leader, and to increase your value one-hundredfold in business.
Leaders also nurture their teams to become leaders. They do this by seeing who their employees
can become with the right training and resources, and not worrying too much about what the
employees are like today. Leaders also create more leaders by creating key performance indicators
instead of telling employees what to do. Leaders also know that becoming a leader takes time, and
they give their employees room to make mistakes and learn from them.
3. Managers Manage Groups, Leaders Create Teams
This is corollary to the point above--as a manager, you'll manage your staff. As a leader, you realize
that you are the director in a play--every person isn't one of the group, they are a unique cog that is
vital to the running and promotion of the system as a whole. This is a key change of attitude that
will bring out the best in your workforce. Vrej Sarkissian, CEO of Anoush Catering, says "When we
help our employees work together as a team, we're able to put together astounding events for our
customers. Our teamwork even enables us to give back to our community in a meaningful way. We
value each member of our team as an integral piece of the machine and our customers can really
see how it makes us a seamless unit instead of individuals."
4. Managers Shift Responsibility, Leaders Take Responsibility
Managers delegate tasks. They also delegate blame. We've all worked for that manager who wants
to try out his new idea, yet when his own manager comes and asks what's going on suddenly your
manager has no knowledge of the scheme. If you want to be respected as a leader, this can never
happen. Leaders take responsibility.

Managers have subordinates

By definition, managers have subordinates - unless their title is honorary and given as a mark of
seniority, in which case the title is a misnomer and their power over others is other than formal
authority.
Authoritarian, transactional style
Managers have a position of authority vested in them by the company, and their subordinates work
for them and largely do as they are told. Management style is transactional, in that the manager
tells the subordinate what to do, and the subordinate does this not because they are a blind robot,
but because they have been promised a reward (at minimum their salary) for doing so.
Work focus
Managers are paid to get things done (they are subordinates too), often within tight constraints of
time and money. They thus naturally pass on this work focus to their subordinates.

Seek comfort
An interesting research finding about managers is that they tend to come from stable home
backgrounds and led relatively normal and comfortable lives. This leads them to be relatively riskaverse and they will seek to avoid conflict where possible. In terms of people, they generally like to
run a 'happy ship'.
Leaders have followers
Leaders do not have subordinates - at least not when they are leading. Many organizational
leaders do have subordinates, but only because they are also managers. But when they want to
lead, they have to give up formal authoritarian control, because to lead is to have followers, and
following is always a voluntary activity.
Charismatic, transformational style
Telling people what to do does not inspire them to follow you. You have to appeal to them, showing
how following you will lead them to their hearts' desire. They must want to follow you enough to
stop what they are doing and perhaps walk into danger and situations that they would not normally
consider risking.
Leaders with a stronger charisma find it easier to attract people to their cause. As a part of their
persuasion they typically promise transformational benefits, such that their followers will not just
receive extrinsic rewards but will somehow become better people.
People focus
Although many leaders have a charismatic style to some extent, this does not require a loud
personality. They are always good with people, and quiet styles that give credit to others (and takes
blame on themselves) are very effective at creating the loyalty that great leaders engender.
Although leaders are good with people, this does not mean they are friendly with them. In order to
keep the mystique of leadership, they often retain a degree of separation and aloofness.
This does not mean that leaders do not pay attention to tasks - in fact they are often very
achievement-focused. What they do realize, however, is the importance of enthusing others to work
towards their vision.
Seek risk
In the same study that showed managers as risk-averse, leaders appeared as risk-seeking,
although they are not blind thrill-seekers. When pursuing their vision, they consider it natural to
encounter problems and hurdles that must be overcome along the way. They are thus comfortable
with risk and will see routes that others avoid as potential opportunities for advantage and will
happily break rules in order to get things done.
A surprising number of these leaders had some form of handicap in their lives which they had to
overcome. Some had traumatic childhoods, some had problems such as dyslexia, others were

shorter than average. This perhaps taught them the independence of mind that is needed to go out
on a limb and not worry about what others are thinking about you.
In summary
This table summarizes the above (and more) and gives a sense of the differences between being a
leader and being a manager. This is, of course, an illustrative characterization, and there is a whole
spectrum between either ends of these scales along which each role can range. And many people
lead and manage at the same time, and so may display a combination of behaviors.
A young manager accosted me the other day. Ive been reading all about leadership, have
implemented several ideas, and think Im doing a good job at leading my team. How will I know
when Ive crossed over from being a manager to a leader? he wanted to know.
I didnt have a ready answer and its a complicated issue, so we decided to talk the next day. I
thought long and hard, and came up with three tests that will help you decide if youve made the
shift from managing people to leading them.
Counting value vs Creating value. Youre probably counting value, not adding it, if youre managing
people. Only managers count value; some even reduce value by disabling those who add value. If
a diamond cutter is asked to report every 15 minutes how many stones he has cut, by distracting
him, his boss is subtracting value.
By contrast, leaders focuses on creating value, saying: Id like you to handle A while I deal with B.
He or she generates value over and above that which the team creates, and is as much a valuecreator as his or her followers are. Leading by example and leading by enabling people are the
hallmarks of action-based leadership.
Circles of influence vs Circles of power. Just as managers have subordinates and leaders have
followers, managers create circles of power while leaders create circles of influence.
The quickest way to figure out which of the two youre doing is to count the number of people
outside your reporting hierarchy who come to you for advice. The more that do, the more likely it is
that you are perceived to be a leader.
Leading people vs Managing work. Management consists of controlling a group or a set of entities
to accomplish a goal. Leadership refers to an individuals ability to influence, motivate, and enable
others to contribute toward organizational success. Influence and inspiration separate leaders from
managers, not power and control.
In India, M.K. Gandhi inspired millions of people to fight for their rights, and he walked shoulder to
shoulder with them so India could achieve independence in 1947. His vision became everyones
dream and ensured that the countrys push for independence was unstoppable. The world needs
leaders like him who can think beyond problems, have a vision, and inspire people to convert
challenges into opportunities, a step at a time.

Essence
Change
Stability
Focus Leading people
Managing work
Have Followers
Subordinates
Horizon
Long-term
Short-term
Seeks Vision Objectives
Approach
Sets direction Plans detail
Decision
Facilitates
Makes
Power Personal charisma
Formal authority
Appeal to
Heart Head
Energy Passion
Control
CultureShapes
Enacts
Dynamic
Proactive
Reactive
Persuasion
Sell
Tell
Style Transformational
Transactional
Exchange
Excitement for work Money for work
Likes Striving
Action
Wants Achievement Results
Risk Takes Minimizes
Rules Breaks Makes
Conflict
Uses Avoids
Direction
New roads
Existing roads
Truth Seeks Establishes
Concern
What is right Being right
Credit Gives Takes
Blame Takes Blames