TMGT201 Organizational Behaviour

Assessment 4: Research Study

Semester 2, 2020

Unit Coordinator: Gareth Jude

Topic – Leadership Vs Management

Introduction

In this paper we will discuss on the difference between the leadership and management

practiced in various organizations globally. Although, the two are different in their style of

functioning but organizations in today’s dynamic and competitive workplace cannot function

with the support of one another. On one hand it’s the leaders who tries to cope and accepts

the new challenges and tries to make big changes in the organization through rapid

transformation for achieving the competitive advantage of the competitors and achieving the

business objectives. On the other hand it’s the managers who would try to maintain a

comfortable and pleasant work environment through delegation of tasks to the subordinates

and proper utilization of various resources to execute and achieve the planned objectives of

the organization. Therefore, as stated by Kotterman, (2006) a balanced and great company

must have a mix of both leaders and managers in order to succeed.

Management and leadership

Management and Leadership in coordination are very important for the effective delivery of

the goods and services towards the ultimate customers. But, there are certain differences

between these two aspects in terms of skills, outlook and behaviour. Good managers must
endeavour to become some of the best leaders and the good leaders’ needs to learn and apply

effective management skills to prosper. The basic difference between a leader and the

managers are while leaders try to makes various tactics and strategies for realizing the

visions, the managers ensures that the available resources are well structured and functional

to convey the best results. But, in many situations and in most organizations it is observed

that many managers are considered as leaders without any prior management knowledge and

experiences. As per Bass, (2010) it was stated that although the two activities are almost

similar but they are not at all synonymous. Thus as stated by Yukl, (1989) while managers

maintains a smooth functioning and operation workplace, the leaders examine the present

positions and supports the new functions for achieving the long terms organizational

objectives. Leadership is a very complicated and multidimensional task DePree, (1989). In

some other research it was defined that leaders are someone who have followers (Drucker,

1999). Thus the main focus of the leaders is the process of influencing a team or a group of

employees to attain the common organizational objectives and secondly to develop a

comprehensive vision. Thus, as Kotter, (1990) stated leaders focuses on delivering inspiration

and motivation. On the other hand managers promote organizational stability, exercise the

delegation of authorities to the different employees and work together to get the things and

the tasks accomplished successfully and smoothly. Finally, it can be stated that leadership is a

multidirectional influence while the management is a unidirectional delegation of authority

and establishment of relationship (Katz, 1955).

Outstanding leaders and their attributes including the impacts that they have had on

their country, company or community

In this paper we will discuss about the two business leaders and their attributes that they have

contributed towards the development of the society, the country and tried to deliver their

products and influence internationally.

These two leaders are the Chinese business mogul and the philanthropist as well as the owner

of Alibaba Group Holding Ltd, Jack Ma and the Indian Business tycoon and the Chairman

and Managing Director of the largest shareholding company Reliance Industries Ltd. (RIL)

Mukesh Ambani.

Mukesh Ambani’s latest investment in the telecom sector was with the help of Reliance Jio. It

changed the Indian telecom industry from just voice based to data driven based by reducing

the price of the internet. It has also helped to boost the Indian economy by becoming a

mammoth $2.6 billion company as of March 2020. It was the fastest consumer capturing

company with over $108 million consumers enrolled themselves within 170 days. Reliance

Jio’s roaming service is available in more than 170 countries. Recently, Facebook.com

invested $5.7 billion in Reliance Jio for a stake sale of 9.99% in the firm. This was a

remarkable achievement of Jio under the leadership of Mukesh Ambani able to acquire huge

investment from Facebook for the company’s expansion. After the investment RIL’s share

prices have increased by three folds.

On the other hand, Jack Ma who is the Alibaba’s Managing Director, who is also the

cofounder of the e-commerce company which also specialises in retail, technology and

internet businesses. In 2014, Alibaba under the leadership of Jack Ma issued $25 billion

initial public offerings which gave the company a market value of $231 billion and is by far

the largest IPO in the history of the world. Thus, it was a former English teacher from

Hangzhou, China who with the support of just 18 people and the assistant of technology

created an online e-commerce selling platform to compete against the domestic as well as the

international companies in China. Later in the following years it increased its stake in Cainiao

Network to approximately 63%, it made its presence felt in Ethiopia by signing an agreement

with the federal government of the country for establishment of an electronic World Trade

Platform hub for increasing the business and trading with the two countries. Therefore, it’s
the leaderships strategic decisions which make the companies grow and expands in the long

run and achieves milestones which help them to sustain in the competitive business world.

Suggestions as to how and why you would model your own behaviour on the leaders

chosen

In this case we will focus on the 4 H leadership model which is Humor, Humility, Hope and

Humanity. Through this style of leadership the two leaders chosen by us in the discussion

which is Jack Ma and Mukesh Ambani we will try to analyse their style of leadership for

bringing their companies to the top. While Jack Ma wanted to create a domestic e-commerce

market which will be able to compete with the international companies and will deliver

happiness and satisfaction through online purchase and delivery was one of the Humor and

Humility created by Jack Ma towards the national customers. He used the Hope of the

Chinese customers and the 18 people to create a small e-commerce company which currently

became the fortune 500 and the top the company in the world. Finally, it tried to serve all the

domestic customers through empathy and compassion by delivery of their online products as

per the needs and demands of the customers. This helped Jack Ma and his company Alibaba

to show their Humanity towards the national customers.

On the other hand, Mukesh Ambani wanted to bring a telecom revolution in India. He wanted

deliver Humility, Hope and Humanity to the people of his country by delivering them a low

cost data based high speed voice cum internet service Reliance Jio. This actually brought a

revolution in the Indian telecom industry as the monopoly of the domestic telecom company

BSNL and the two private companies Airtel and Vodafone were knocked down. These

companies were forced to reduce their rates and make their rates of both voice and internet at

par with Reliance Jio. Finally, Mukesh Ambani wants to bring the Humor within the

company and for the people of the country by introduction of Artificial Intelligence and

delivery of 5G services all across India through this platform. Finally he wants to bring the

smile in the face of various sectors like media, telecom, entertainment, financial services,

healthcare, education and agriculture using the Jio platform both in India and internationally.

Thus, it is the charisma of the leader which finds the people to get attracted towards them.

This helps the leaders to promise various transformational activities and benefits such that its

followers will not only receive the extrinsic rewards but they will try to formulate the leader

as their role model.

Conclusion

Therefore, it can be stated that managers are the people who tries to execute and carry on the

work to achieve the organizational objectives through delegation of authorities. The managers

want to seek a comfortable lifestyle and are risk averse. On the other hand leaders take risks

by evaluation and planning strategically. Thus, it’s the leaders who will try to break the rules

to get the things done at any cost. Finally, it the leaders only who formulates action plans to

make the organization face and get ready for various challenges and also ensures that there is

a improvement in the sense of security among the employee and the team members of the

organization (Gosling & Murphy, 2004). Thus, managers can also be leaders if they have the
requisite management skills which are Humor, Humility, Humanity and Hope to engage the

teams and the employees through motivation and strategies (Mullins, 2010).

References

Moh. Barid Nizarudin Wajdi, 2017; THE DIFFERENCES BETWEEN MANAGEMENT

AND LEADERSHIP;

https://www.researchgate.net/publication/318597967_The_Differences_Between_Manageme

nt_And_Leadership

Financial Express; Mukesh Ambani roots for India to become a global leader, says Jio

conceived to enable this journey; https://www.financialexpress.com/industry/mukesh-

ambani-roots-for-india-to-become-a-global-leader-says-jio-conceived-to-enable-this-

journey/2100953/

Alibaba; HISTORY AND MILESTONES; https://www.alibabagroup.com/en/about/history

IFC; Impact of Reliance’s Entry; https://competitiveness.in/impact-of-reliance-

entry/#:~:text=Econometric%20analysis%20shows%20that%20through,in%20the

%20economy%20remains%20constant.

Mint; Behind the rush to invest in Reliance’s Jio;

https://www.livemint.com/companies/news/behind-the-jio-investment-rush-

11592409411685.html

Kotterman, (2006); Moh. Barid Nizarudin Wajdi, 2017; THE DIFFERENCES BETWEEN

MANAGEMENT AND LEADERSHIP; Pg: 82

Bass, (2010); Moh. Barid Nizarudin Wajdi, 2017; THE DIFFERENCES BETWEEN

MANAGEMENT AND LEADERSHIP; Pg: 75

Yukl, (1989); Moh. Barid Nizarudin Wajdi, 2017; THE DIFFERENCES BETWEEN

MANAGEMENT AND LEADERSHIP; Pg: 75

DePree, (1989); Moh. Barid Nizarudin Wajdi, 2017; THE DIFFERENCES BETWEEN

MANAGEMENT AND LEADERSHIP; Pg: 77

(Drucker, 1999); Moh. Barid Nizarudin Wajdi, 2017; THE DIFFERENCES BETWEEN

MANAGEMENT AND LEADERSHIP; Pg: 77

Kotter, (1990); Moh. Barid Nizarudin Wajdi, 2017; THE DIFFERENCES BETWEEN

MANAGEMENT AND LEADERSHIP; Pg: 76

(Katz, 1955); Moh. Barid Nizarudin Wajdi, 2017; THE DIFFERENCES BETWEEN

MANAGEMENT AND LEADERSHIP; Pg: 77

(Gosling & Murphy, 2004); Moh. Barid Nizarudin Wajdi, 2017; THE DIFFERENCES

BETWEEN MANAGEMENT AND LEADERSHIP; Pg: 80

(Mullins, 2010); Moh. Barid Nizarudin Wajdi, 2017; THE DIFFERENCES BETWEEN

MANAGEMENT AND LEADERSHIP; Pg: 80