1 of 33

Unit 4

Managing, Leading, and Motivating

4.1 Explain the nature �of leadership in organizations

When you think of leaders in business, who comes to mind?

Do you think of famous entrepreneurs or CEOs, such as Bill Gates, Warren Buffett, Mark Zuckerberg, or Oprah Winfrey?
These are prominent business leaders.
Do you also think of the person who owns the local ice cream shop or manages your favorite store at the mall?
These people might be leaders, too.
Businesses must also set goals and plan to achieve success.

2 of 33

Leadership

Influence others to achieve goals
Helps customers
Productive, pleasant work environment

HR:493 Explain the nature of leadership in organizations

3 of 33

Managers and Leaders

HR:493 Explain the nature of leadership in organizations

Management

Work done properly
Watch the bottom line

Leaders

Motivate and empower
Every level of �the organization

Link to Video About The Differences Between a Manager & a Leader

Business leaders are not always managers, and managers are not always leaders.

Management is the process of getting things done properly and on time. These include the business’s organizational mission and any corporate objectives the organization plans to achieve within the next one to five years.
To make sure that work gets done and that day-to-day business operations run smoothly, managers insist that their subordinates—their employees—follow their directions.

All the while, s/he must also watch the bottom line and ensure that the business makes a profit.

Rather than ordering subordinates to get work done, leaders motivate and influence their coworkers to work toward goals and desired results.
Leaders empower their followers to make decisions regarding the work to be done, and they encourage followers to be creative and find better ways to do things.
Coworkers voluntarily choose to follow their leaders, and they are often more loyal to their leaders than to their managers.
In some cases, a leader and a manager are one and the same. It is also very common for the leader to be at a different, lower level in the company than the manager.
Great businesses have leaders in their ranks of regular employees at every level of their organizations.

4 of 33

Question 1

Browse this article.

Which one of these differences resonates with you the most and why?

5 of 33

Authority

HR:493 Explain the nature of leadership in organizations

Personal authority

Moral character
Earned, not awarded

Positional authority

Chain of command
Higher-ups have more power

In business, leadership and management mean having authority.

The leader in the receiving department has authority, as do the designated manager of the department and the owner of the company. The only difference is the basis for that authority.
The leader has personal authority, while the manager or owner has positional authority.
Personal authority is informal and has nothing to do with either a business’s organizational chart or a person’s job title within the organization.

Employees obtain personal authority, influence, and power because of their personalities, moral character, actions, and the way they get along with others.
Personal authority is earned; it is not awarded by position.

The opposite of personal authority is positional authority, which is the formal authority given by the business.

It is the authority that is indicated by the organizational chart that designates a business’s chain of command.
The higher-ups on the organizational chart wield more authority and power than those lower down.

6 of 33

Increased �productivity
More motivation
Self-confidence
Opportunities

Benefits of Strong Leadership

HR:493 Explain the nature of leadership in organizations

7 of 33

Autocratic
Democratic
Laissez-faire

Different Approaches

HR:493 Explain the nature of leadership in organizations

8 of 33

Question 2

What is 1 advantage & 1 disadvantage of an Autocratic Leader?

9 of 33

Question 3

What is 1 advantage & 1 disadvantage of an Democratic Leader?

10 of 33

Question 4

What is 1 advantage & 1 disadvantage of an Laissez-Faire Leader?

11 of 33

Building �relationships
Communicating
Motivating

Leadership Techniques

HR:493 Explain the nature of leadership in organizations

Leadership techniques like building relationships and communicating with employees makes working more effective.

Building relationships

Hold regular meetings.
Have an open-door policy.
Schedule social events to bring employees together.
Be fair with employees and treat them the way you would want to be treated.
Don’t make promises that you can’t keep.

Communicating

This involves providing clear and understandable information.
State what is expected of employees and their work.
Share information about company goals and plans for the future.
Employees who are well informed usually are more willing to follow simply because they trust the leader.
Listen to employees and get feedback from them.

Motivating

Successful leaders motivate themselves.
Allow employees to develop skills.
Allow employees to make decisions on their own and be creative.
Give employees the tools they need to succeed.

Discussion #2: Ask students to give examples of what types of leadership techniques are effective, and why they think so.

12 of 33

Question 5

Pick 1 of the following leadership techniques:�

Building Relationships
Communicating
Motivating �

Write 1 thing a Manager can do within that technique for/with their employees.

13 of 33

4.2 Explain motivation theories and their applications

Michael Jordan won six NBA championships in the 1990s.

Tom Brady has now won 7 super bowls.

Players on competing teams as well as their own teammates claimed Jordan & Brady were motivated to win and were fiercely competitive.

What separates them from everyone else?

Those players would say he made the Bulls play better as a team.
Business managers can motivate their employees to achieve high goals, too.

14 of 33

Motivation and Needs

Compel a person to �act in a certain way
Needs

Primary needs
Secondary needs

SM:080 Explain motivation theories and their applications

Motivation is the process of getting employees to strive to achieve management's objectives because they want to achieve them.

It is what compels a person to act in a certain way.
Needs, or things that are required or essential but lacking, can inform what motivates people.
For example, if someone needs money, s/he may be motivated to take a job to earn pay.
Needs can be separated into two categories: primary needs and secondary needs.
Primary needs are desires for things that the body cannot live without, like air, food, or water.
Secondary needs are desires for things that the body can live without, or learned desires. That could include things like achievement or acceptance, or even power.

Discussion #1: Ask students to share examples of secondary needs. What are ways they think employers should meet those secondary needs?

��

15 of 33

Question 6

Share 1 example of a secondary need.

What is 1 way you think employers should meet that secondary need?

16 of 33

SM:080 Explain motivation theories and their applications

Arranged in five different levels

Physiological
Safety/Security
Social
Esteem/Status
Self-fulfillment

Safe, positive �working �conditions

Achieving full potential, being best version of self

Respect, recognition, prestige, attention

Friends, family, connection

Safety, resources, security

Health, food, water, sleep

Maslow’s Hierarchy of Needs

17 of 33

SM:080 Explain motivation theories and their applications

Achieving full potential, being best version of self

Friends, family, connection

Safety, resources, security

Health, food, water, sleep

Maslow’s Hierarchy of Needs

Click the image to watch a video highlighting �Maslow’s Hierarchy of Needs via the Disney/Pixar film Up

18 of 33

Hygiene factors
Motivation factors
Managers provide �hygiene factors.

Herzberg’s Two-Factor Theory of Motivation

SM:080 Explain motivation theories and their applications

19 of 33

Self-�actualization

Three categories

Existence
Relatedness
Growth

Alderfer’s ERG Theory of Motivation

SM:080 Explain motivation theories and their applications

Alderfer’s

ERG Theory �of Motivation

Self-�actualization

Love and belonging needs

Safety needs

Physiological needs

Esteem needs

Growth

Relatedness

Existence

20 of 33

Three needs

Achievement
Affiliation
Power

McClelland’s Acquired Needs Theory

SM:080 Explain motivation theories and their applications

21 of 33

Equity theory
Expectancy theory
Reinforcement theory
Goal-setting theory

Other Theories

SM:080 Explain motivation theories and their applications

Other Theories of Motivation

Equity theory of motivation

This theory suggests people compare potential rewards to the effort they put forth to earn these rewards.
Employers could use this theory by detailing how employees earn rewards through �their work.

Expectancy theory of motivation

This theory suggests that motivation is the result of the outcomes that a person desires and that person's estimate of the prospect of attaining those desired outcomes.
Employers could use this theory with employees by communicating expectations for work performance.

Reinforcement theory of motivation

Reinforcement theory is focused on the individual's environment and its consequences for the person. It assumes behavior is learned from the environment rather than from one's inner needs.
Supervisors could use positive reinforcement to encourage desired behavior, or punishment to eliminate an undesirable behavior.

Goal-setting theory of motivation

This theory is based on the belief that employees’ motivation increases when employees work toward specific goals.
Employers could use this theory by involving employees in the goal-setting process and explaining what must be done to reach goals.

22 of 33

Question 7

Is there is a previously discussed motivation theory that is applicable to your life? ID it.

What about the workplace (if you work part time), or in school? Why or why not?

23 of 33

4.3 Discuss employment opportunities in �business management and administration

Business management and administration careers are all around us.

They are dedicated to performing dynamic business processes vital to the success and ongoing existence of a business organization.
Business management and administration careers keep businesses running.
They exist virtually everywhere.

24 of 33

Business Management

Every business needs �people in management �and administration jobs.
Six types

Office management
Business analytics
Human resources management
Supply chain management
Operations management
General management

PD:297 Discuss employment opportunities in business management and administration

25 of 33

Question 8

Share 1 example of management you may have come across in school.

What management category would you put those examples into?

26 of 33

Office Management

Well-organized
Problem solving
Example:

Benefits administrator

PD:297 Discuss employment opportunities in business management and administration

27 of 33

Business Analytics

Analyze data
IT work
Example:

Business analyst

PD:297 Discuss employment opportunities in business management and administration

28 of 33

Human Resources

Link top management �and employees
Resolve conflicts
Example:

Benefits administrator

PD:297 Discuss employment opportunities in business management and administration

29 of 33

Manage transportation �of goods
Plan product’s journey �to the marketplace
Examples:

Fulfillment manager
Import/Export analyst
Inventory planner

Supply Chain Management

PD:297 Discuss employment opportunities in business management and administration

30 of 33

Keeps business �running smoothly
Planning and �organization
Example:

Chief operations �officer

Operations Management

PD:297 Discuss employment opportunities in business management and administration

31 of 33

PD:297 Discuss employment opportunities in business management and administration

Supervisory �responsibilities
Leadership ability
Example:

District manager

General Management

32 of 33

Question 9

Of all the jobs in management we discussed, which one appeals to you the most?

33 of 33

Copyright

All photographic digital images in this PowerPoint are owned by the aforementioned photographic resources or their licensors and are protected by the United States copyright laws, international treaty provisions, and applicable laws. No title to or intellectual property rights to the images in this PowerPoint are transferred to you. These sources retain all rights and are not to be used, digitally copied, transferred, or manipulated in any way. To do so is a violation of federal copyright laws.

Acknowledgments

Content sourced from intellectual property owned by �MBA Research and Curriculum Center®

Digital-Based Photography Sources

Getty Images