Becoming an effective leader and manager

Running a successful business depends on knowing the difference between a leader and a manager, and being able to combine the best attributes of both roles to become an effective 'managerial leader'.

Are you a great manager? Or do you see yourself as an inspired leader? If you are in an SME environment, picking one or the other role for yourself may be harming your business.

Business leaders today are facing more stresses and tasks than at any time in the past. Even though we have more tools at our disposal to manage these tasks, we are also bombarded with more information and data to process than ever before.
Traditional thinking on leadership separates the role of leader and manager. A manager is seen as someone who administers, who focuses on systems and structures, and relies on control. The ideal manager always has his or her eye on the bottom line, and is seen as someone with a short-range view of the business, who is analytical and looks at all relevant data before making a decision.

The leader role appears to be more glamorous – a leader innovates, focuses on people, inspires trust and takes a long-range perspective on the business. Seen as a key influencer, the leader challenges, originates ideas and presents as his or her own person.

All of which seems to make the role of manager look like the poor cousin in terms of impact on the business and its future - after all, no one has ever erected a statue to a “world manager” as they have to “world leaders”.

However, examine the roles a little more closely. While the leader is charging out in front innovating, challenging and keeping an eye on the future, any organisation which runs solely this way will be doomed to a fast and painful death.

Key requirements for any business - bottom line, cash flow, resource allocation and customer care - are all omitted from the leadership role, as these are the domain of the management role.

“I see myself as a leader not a manager” – I have heard business people say this in coaching sessions and workshops so many times, and I’ve observed that these ‘leaders’ often don’t have many followers! Effective and successful organisations need both roles, supporting and complementing each other. As leading management author John Kotter says, both leaders and managers are necessary for success in an increasingly complex and volatile business environment.

 Leadership skills are about knowing where to go and modeling the way; management skills are about actually getting there. One of respected management thinker Warren Bennis’ most quoted phrases is: "Managers are people who do things right and leaders are people who do the right thing".

The effective leader also has effective management skills; similarly the effective manager has, and uses, leadership skills.

This is “managerial leadership”. This is the way of doing the right thing – right.
To give a non-business example of managerial leadership, the man who plans an overseas surf holiday for a few friends is both leader and manager. He sets the vision, encourages and inspires others to participate, and also checks the where, when and how with the tedium of flights, travel agents accommodation and insurance.