Directing and Controlling Learning Objectives * Define the term Directing. = Describe the nak rect lature of directin ig 2 Define the term leadership + Understand the imporiance of leadership « Describe different leadership styles * Define motivation . Understand importance of motivation * Describe Maslow’s theory of needs + Explain Herzberg’s theory «Understand theory X and Y » Compare different theories of motivation * Define the term communication » Describe the importance of communication in organizations » Understand different types of communication ® Understand the need of coordination » Describe the importance of coordination = Describe different techniques of coordination * Define controlling * Understand the importance of controlling * Understand controlling process * Describe essentials of controlling = Describe methods of controlling iCTION portant function of management and the implementation plans starts from this function. Planning lays down Jans, organizing designs the organizational structure, t people at different positions to carry out the necessary reas directing guides people and motivates them ‘agerial activity which requires leadership skills to rhe weCO vy ony WHepreneurship and Management am to work towards Teal, dinates and make ther a ensures that, Provide direction to the subordini Fans into actions Plan OF organizational goals, Thus it puts plan i, Implemented succensfully. iy EFINTI 7 DIRECTING | _ 4.2 DEFINITION OF D vat todo and secing that they do ‘Dest nek tem a een through which Managers ‘ Pet of thee abi Directing nction consists of issuing onde, the work done from ts to perform tasks assigned tg i ; d providing rewarq? motivating them by designing a good work Es eee inetd i line with their expectation and performance. Thus a and motivating. Ana important components, namely communicating, leading pa cient ae should possess good communication skills; he must be agi ne area ee to his subordinates and he should be capable of motivating ae i 0 becon, 4 successful manager, Thus directing ability of a manager is the key to success Of thy, manager. Instructions, guiding, and helping ‘4.3 LEADERSHIP eadership is defined as the ability to influence people towards accomplishmen, L: goals. It is the ability to influence behaviour of others and direct then towards achievement of group or organizational goals. Leaders energize th. behaviour of their followers and motivate them to work towards common grow goals. Effective managers are those who are good leaders. It is the ability to lead which! Separates successful managers from average managers. Thus most important feature! of leadership are: Leaders possess great influential power. Leaders have followers and they influence the behaviour of followers, There is a reciprocal relationship between leaders an Leaders have a great vision for future, 7 { Leaders create a shared vision among followe: i } the achievement of common Goals, 2 "Sand direct them to work tow Leaders are sensitive towards th, d followers, © needs of followers and they moti!Chapter 4: Directing and Controlling 99 434 Importance of Leadership zeadershiP oe mel important comp, | efficient and effective only if he ig a ae of managing ts can be ers’ 4 g00d leader, Signi manage e understood by the following di Signil 8 discussion, eaders guide and inspi aa - oe de and inspire subordinates: Leaders motivate their followers and wards accomplishment of . e their followers a tothe accomplishment of organizationgl nol, goals which inturn contributes bh. Leaders build good work sone tional goals. which employees can contibute nae Leaders create a work environment in environment creates a relationshi feet 7 the best of their abilities. The ¢ Leaders build confidence in followerd: Leader ize abiliti i aaa: Van ome lowers: Leaders recognize abilities of their é 7 ge them to develop to their potential by buildii confidence in them. p to their potential by building 4. ee icoopeztion from the group: Leaders influences the group- | erie eatw way | at all the members work collectively towards group | still cooperation among all members. poe Leaders act as change agents: organizations operate in an environment which is subjected to continuous changes, and ifthe organizations do not respond to these changes, then survival of the organizations may be difficult. But organizational members resist any changes, as they are accustomed to particular methods of work. It requires great leadership to reduce the resistance to change and convince the employees to accépt the change. Thus leaders act as change agents of the organization and helps in implementing successful positive changes in the organization. f, Leaders are represent employees ofthe organization, of their followers. They always and protect the interests of the f process, A manager can be ce of leadership quality in a tatives of the followers: On one hand leaders direct the putonthe otherhand they are also representatives take personal interest in helping their followers ollowers while taking any major organizational decisions. _ great vision: Leaders are known for their great vision and they or building great organizations. 1 Indians are referred in the box items shown below. n Leader - Dr. A.P.J. Abdul Kalam reat India Nadu, Dr. Avul Pakir Jainulabdeen Abdul Kalam, f Institute of Technology. Dr. Kalam made significant a's first indigenous Satellite Launch Vehicle (SLV- he near earth orbit in July 2980 and made India anChapter 4: Directing and Controlling 102 t the family later on moved te Lakshmi Mittal. ‘© Kolkata where hy eT en thee eated fr lere his father piscareet working in the family’s steele ‘aviersinKolkaten lohan Mittal became a partner in a steel me ticompany. He split from his ath making business inet nth commerce degreeinag6s, He began Sih interests in Indonesia and Trini fer and two younger ienee in a976, Lakshmi Mittal founded Mittal jinidad and Tobago, while the ae and took the international arm, ducers in former communi 2el has made est of the family kept the domestic indian a soon mens counties inc ember of aaustons, buying up anetverkof=tee -5 billion an, . i tn oba steel producer nthe wo eee oF teratinal tel Group Sane u cal acral Mittal is also lerown fas with Operatshe ote a coe Today, Mittal Steel is the only i , spanning 4 continents. ron nn hese i it meee oe racing's Bernie Ecclestone for £70 million ($128 goth century: ling bash is touted as the most expensive wedding of the in March 2008, Lakshmi Mittal wa waren Butfetby Forbes Magazine. ed i as the third wealthiest person in the world after Bill Gates and ‘source: http:/iwww.iloveindia.com/indian-heroesjlakshmi-mittal.htm! 44 MANAGERS AND LEADERS i ae managers and leaders are very often used interchangeably. But leadership is entirely different from managership. All leaders need not be managers and all managers may not be good leaders. The differences between. Jeaders and managers are given in the Table 4.1. Table 4.1 Differences between managers and leaders “| Managers Leaders No 1 Managers position is based on formal Leaders position is based on their personality authority defined by organizational and itis not formally defined Leaders inspire their followers and make them work towards common shared objec- fives Leaders are visionary figs done by sub- ir authority Leaders inspire followers, articulate vision and motivates them to achieve common ob- jectives Leaders exercise personal power102 Entrepreneurship and Management V4.5 LEADERSHIP STYLES aders in diffrent si F ; alg, | s exhi anced by their phij,.!", adership style refers to behaviours which iS influenced ie “i Phils i atten . eir S INCtig calers exhibit a behavioural P This determines lig personality, value system ¢ ed below Different styles of leadership are discuss ‘ship | ; arian Leadersh! 4.5.1 Autocratic or Authoritarian their own without consultin, | | Aulocratic leaders make all the decisions 0” ITO" ders are t0 be obey ‘ followers. They simply order the followers and WWE i ictine and obed followers. Leaders make use of their author oe ards and punishment. Deg; 4 among followers. Discipline is enforced by using ot have any influence on decis making is completely centralized and followers can a jp. Communication is only ong, This style of leadership is also called as eee orders from leaders to folly "i and it always flows in the form of instructions a pa or subordinates, Subordinates have to depend on ea HIN: etd supervise and control the behaviours of followers very © Merits | * Quick decisions are made. | * Leaders get the work done by making use of fear of punishment and rewari| power. : * Leaders enforce strict discipline among the followers. * Consistent decisions are made. | * Suitable when subordinates are inexperienced and need direction from leaders | Demerits | * Low motivation among subordinates. * No scope for development of subordinates as they are merely allowéd to voi as per the instructions of leaders. | + One way communication may result in misunderstanding, | * Too much dependence on leadership. | * Subordinates may develop rebellion against leaders, | | 4.5.2 Democratic Leadership or Consultative Leadership Democratic or consultative leaders consult : their foll decisions. They try to take-decisions accor Seen no ae ding to the interests of their followes thus it results in two way communication, _ protecting group interests. ie