Management and leadership in the modern organizational landscape

Imagine a bicycle...

One wheel represents management, and the other represents leadership. For it to move forward, both must spin synergistically. Following this train of thought, a leader must be a manager, and a manager must always be a leader. In day-to-day operations, professionals tend to manifest characteristics more connected to either a managerial or leadership role, depending on various variables such as their role in the organization, the context it operates in, or even their mood on a given day. While most managers tend to focus their time and energy on business-related matters, achieving objectives, and generating profit; a true leader combines this with a greater focus on people, their development, and satisfaction, aiming to inspire and unite them around a common purpose. Although challenging, a successful professional can balance both wheels.

Let's focus on the leadership wheel, advocating that an organization should choose the most suitable leadership style, considering its principles, goals, socioeconomic and political context, available budget, among other factors. One example of these styles is directive leadership, where the primary focus is on the organization's objectives, with less support and communication towards those reporting to the leader. Although it may seem negatively connotated, in emergency contexts like firefighting, this leadership style delivers optimal results. On the other hand, there is authentic leadership, based on leaders staying true to their values, recognizing their strengths, limitations, and uniqueness while seeking to inspire others through self-awareness and self-improvement. In contexts where creativity and innovation are desired, this leadership style is an excellent alternative.

Introduced in 1977, one of the most debated topics in leadership today is Servant Leadership. This concept, introduced by Robert Greenleaf, refers to a leadership style that puts employees first, providing them with a sense of purpose and making their work more meaningful and satisfying. By recognizing the competencies and capabilities of everyone, servant leaders empower their team to achieve goals and reach their full potential. The primary benefit of this leadership style is the close contact leaders have with everyone in the organization, allowing them to adapt their approach to each individual, prioritizing their needs and well-being. Thus, depending on the organization and its situation, a servant leader will lead differently.

Examples of companies practicing Servant Leadership include Starbucks and Nordstrom. The large coffee and restaurant chain leverages forums, well-being and satisfaction surveys, collaboration, and brainstorming sessions to understand what their employees like, instead of solely focusing on work-related surveys. This approach improves certain aspects and fosters a close relationship with the team. Nordstrom, on the other hand, is known for pioneering the Inverted Pyramid concept, placing their sales consultants at the top, symbolizing that they are the most crucial part of the organization. Leaders are at the bottom, serving and supporting other employees.

How can a company transition to a Servant Leadership style? Several measures can be implemented. A starting point could be regular 1:1 conversations and feedback, both to and from the company, about the current performance of team members and their potential future development. Additionally, adopting an open-door approach will encourage employees to share ideas, suggestions, or grievances when they feel it's the right time.

A servant leader will always support the professional growth of everyone in the team, providing training, guidance, and other relevant resources.

A Servant Leadership approach will, in most cases, lead to higher overall satisfaction within the organization, as well as a more qualified and motivated workforce that will, ultimately, achieve higher productivity and profitability. Additionally, creativity and communication will flow better, especially when rapid and effective problem-solving is needed.

In today's organizational landscape, leadership can take various forms, and choosing the right approach at each moment is crucial to ensure the bicycle's wheels continue to spin in a synergistic way.

Published in Amrop Portugal’s LinkedIn, January 2024

Available here: https://www.linkedin.com/pulse/management-leadership-modern-organizational-landscape-ty35f/?trackingId=z8MJe5UNroRJVf1EZCr84g%3D%3D