At a Glance
- Not all managers are leaders, and not all leaders are managers, because a managerial role is an assigned role, whereas leadership is characterised by an individual’s ability to influence and guide others.
- The long-term performance of an organisation is influenced by the effectiveness of its leadership team.
- Effective leadership development for managers and executives requires the cultivation of behavioural and cultural change.
We often use the terms manager and leader interchangeably. While the two roles are intertwined and it is possible to be both a leader and a manager, are they really the same? Â
Managers and leaders, have different functions and responsibilities. Managers, by definition, deal with immediate and day-to-day tasks, focusing on the “how” and “when”. Their focus is more technical, and they are in control of the implementation of the Plan-Do-Check-Action (PDCA) cycle. Â
Leaders, on the other hand, are the visionaries who chart the course for the future. Their strength lies in building trust and empowering their teams, by focusing on the “what” and “why” of the bigger picture. Leaders can inspire and motivate. They appeal not only to the intellect but also to the emotional or ‘heart’ aspects of their followers. This emotional connection is key to cultivating a loyal and engaged following.Â
So how do these two roles differ? A managerial role is a designated role within an organisation, but leadership can be assumed by anyone without a formal title, as it is characterised by the individual’s ability to influence and guide others. This distinction highlights that not all managers are leaders, and not all leaders are managers. Â
The leadership advantageÂ
The long-term performance of an organisation is influenced by the effectiveness of its leadership team. Organisations with strong leadership have demonstrated an average of 147% higher earnings per share than their competitors. This boost stems from improved quality of work, increased discretionary effort, and improved productivity. Â
Despite the recognised importance of leadership, only 10% of people have innate leadership qualities, while a further 20% have basic managerial qualities that can be developed into high-quality leadership. Â
While not every manager can be transformed into a leader, organisations can close the leadership gap by actively developing essential leadership skills in their managers. Moreover, identifying and developing natural leaders from within the workforce can further strengthen the organisation’s leadership potential.Â
How to close the leadership skills gap for organisational effectiveness
How to transform a subpar company into a high-quality powerhouse
Ready for a change in your organisation?
Cultivating leadership and talentÂ
The true nature of leadership is the subject of ongoing debate, but there is a consensus that effective leaders must have the unwavering support of their followers. And every team needs a great leader, because having one means increasing organisational effectiveness. This is because the differences in performance between teams are often down to human nature, and leaders who can provide moral support, vision, and motivation can bring out the best in any team. Â
While some believe that leadership is an innate quality possessed by a select few, others contend that it is a skill that can be developed or nurtured through experience and training. The latter view is in keeping with the adage, “there is more than one way to skin a cat”, suggesting that there are many approaches to effective leadership. Â
There is no single, definitive way to navigate the complexities of leadership. Instead, leaders must adapt their strategies and approaches to the specific context and challenges at hand. Here are some ways to improve leadership skills:Â
Self-awareness
A leader’s character is rooted in self-confidence and high self-esteem. Great leaders tend to have a genuine inner desire to make a positive difference. Transforming yourself into an effective leader can be achieved by reshaping your self-concept – the way you perceive yourself in the role of a leader.
Understand people
Effective leadership depends on understanding your personality and those around you. This awareness provides invaluable insight into your communication style and influence strategies, ensuring they resonate with each individual’s unique disposition.
Communication skills
Exceptional leaders are characterised by their communication skills, not only in terms of speaking, but also in terms of clarity of thought and use of media. Leaders build strong bonds of loyalty and trust by addressing people’s needs, hopes, and aspirations. By understanding people’s motivations, leaders can create effective reward strategies to drive performance. 
Connect and build relationships
Leaders are social catalysts, demonstrating a willingness to actively connect and engage with individuals. To build meaningful relationships within your network and team, encourage two-way conversations rather than one-way communication. This allows you to encourage open dialogue and identify opportunities to bring people and ideas together.
Team building
Leaders are only as successful as the team that follows them. Therefore, taking a coaching approach to assembling and building a high-performing team should be a priority. A good leader should devote time to coaching and mentoring, intensive training and development, with an emphasis on planning and selective assignments to weed out incompetents.
Action orientation
Leaders are defined by their proactivity and results-driven mindset. To excel as a leader, practice the principle of ‘Getting Things Done’ (GTD), as this tool helps to keep control of events. At the heart of GTD is the need to capture, clarify, and organise tasks – to arrive at a considered course of action.
How to close the leadership skills gap Â
Organisations need to address the growing leadership skills gap. With 77% of organisations reporting such gaps, it is clear that there is a significant mismatch between the skills required in leadership development programmes and the actual skills required for effective leadership. Â
Organisations need to recognise that leadership is not a static role but an ongoing journey of growth and development. The leadership continuum extends beyond individual tenure and focuses on the importance of nurturing a pipeline of talent ready to take on leadership roles and steer the organisation towards long-term success. Â
Effective leadership development for managers and executives requires the cultivation of behavioural and cultural shifts. Renoir’s change management experts ensure the successful adoption of new ways of working. Our proven behavioural and cultural change methodologies drive successful project implementation through to full adoption, even after the project has been delivered.Â
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