Page 248 - DCOM102_DMGT101_PRINCIPLES_AND_PRACTICES_OF_MANAGEMENT

Principles and Practices of Management

Notes (e) Flexibility of Mind: A leader must be prepared to accommodate others' viewpoints
and modify his decisions, if need be. A leader should have a flexible mind, so that he
may change in obedience to the change in circumstances. Thomas Carlisle has
said – "A foolish consistency is the hobgoblin of a little mind".
In sum, a leader must have a dynamic personality, intellectual attainment, amiable disposition,
unassuming temperament and knowledge of how to deal with his followers.

13.7 Importance of Leadership

The importance of leadership in an organisation cannot be denied. People working in an
organisation need individuals (leaders) who could be instrumental in guiding the efforts of
groups of workers to achieve goals and objectives of both the individuals and the organisation.
The leader guides the action of others in accomplishing these tasks. A good leader motivates his
subordinates, creates confidence and increases the morale of the workers. In the words of Peter
F Drucker – "Good leadership is a must for the success of a business but the business leaders are
the scarcest resources of any enterprise". The following points highlight the importance of
leadership:
1. Leadership is the process of influencing the activities of an individual or a group towards
the achievement of a goal.

2. An effective leader motivates subordinates for turning in a higher level of performance.
3. Leadership promotes team-spirit and team-work which is essential for the success of any
organisation.

4. Leadership is an aid to authority. Dynamic and enlightened leadership helps in the effective
use of formal authority.
5. Leadership creates confidence in subordinates by giving them proper guidance and advice.

The history of business is full of instances where good leaders led their business concerns to
unprecedented peaks of success. To quote George R Terry: "The will to do is triggered by
leadership, and lukewarm desires for achievement are transformed into burning passion for
successful accomplishments by the skilful use of leadership skills".

13.8 Functions of a Leader

According to Peter Drucker, "An effective leader is one who can make ordinary men do
extraordinary things, make common people do uncommon things. Leadership is a lifting of a
man's sights to a higher vision, the raising of man's standard to a higher performance, the
building of a man's personality beyond its normal limitations." This viewpoint of Peter Drucker
stresses the leader's obligation to attain organisational goals and gives attention to the needs of
the individuals who are his subordinates. The important functions of a business leader may be
briefly summarized as follows:
1. To take the initiative: A leader initiates all the measures that are necessary for the purpose
of ensuring the health and progress of the organisation in a competitive economy. He
should not expect others to guide or direct him. He should lay down the aims and objectives,
commence their implementation and see that the goals are achieved according to the pre-
determined targets.
2. He identifies group goals: A leader must always help the group identify and attain their
goals. Thus, a leader is a goal setter.

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