Revision as of 15:46, 1 March 2019

When thinking of the leaders in our life many of us might think to ourselves that they must be born to be leaders, that it must be abilities they were genetically blessed with. As for where, when thinking of managers, most of us probably have an idea that there is a possibility to learn how to become one. Through time several theories and ideas of both terms have been developed. Where some leadership theories will resemble management theories and others will have completely different aspects to them. When looking at leadership many theories apply on how to become a great leader. Theories from Transformational leadership which was initially introduced by James V. Downton defines the shifting leadership to enhance motivation in followers to reach certain goals, to the Transactional leadership. Where Transformational Leadership is one of the theories that distinguishes Leadership from Management. And Transactional Leadership resemblances the definition of management that is represented in the PMBOK® Guide ^[1]. A good project manager should be able to balance both managing and leading through a project depending on the situation. This article will address both the terms separately, by looking at the theories mentioned, to show the different aspects of leadership and management. As well as an elaboration of the project managers role stated in the PMBOK® Guide ^[1], and the application of both terms as a project manager.

WHAT IS THE GOAL?/ CONCLUSION???

Background

In 1977 a debate rose from a newly released article by Harvard Business School professor Abraham Zaleznik, with the title “Managers and Leaders: Are They Different?”. The article created discord in business schools, and the study of leadership and management has not been the same since. Zaleznik argued that management is a term that focuses on taking a path of stability and control, while trying to resolve problems, without the significance of the problem being an issue. Zaleznik also argues that management is to focus on how to decide, not what decision to make. Leadership, on the other hand, is about embracing chance, even if it comes with the disorder and without structure ^[2]. In 1990 John P. Kotter published the article “What Leaders Really Do” to address the article by Zaleznik and the arguments that he makes. Kotter argues that leadership is not something mystical or something only a few people can master, and neither can it be claimed that leadership is anything more than management. Kotter though agrees with Zaleznik, that management is about control and stability while leadership is about embracing chaos, where Kotter [1990] puts it as “Management is about coping with complexity. Leadership, by contrast, is about coping with change” ^[3]. Management and leadership have been and still are somewhat undefined terms, as there are still being developed new theories and ideas of both.

Structure of this article

• In the first section leadership and management in projects will be addressed and explained by the use of PMBOK® Guide ^[1]. an Prince2. This will be done by using the theories of Transactional and Transformational Leadership as well as the Four Functions of Management.

• In the following part the use of leadership and management as a project management will be addressed.

• In the last part the limitations of leadership as well as management for a project manager will be described.

Definition of project management

Looking toward the PMBOK® Guide ^[1]. a project manager can be defined by “Project managers manage the project team to meet the project objectives” ^[1].. A project is established because of a certain need to create a new product or service, to enrich the company or a customer in some way. A project is a temporary instance, not said that it has had a short duration. At the beginning of a project, the project manager sets the objectives of the project and defines the course of action that must be taken during. The end of a project is obtained when the objectives of the project are met. Project management is important for meeting the objectives, as an effective project manager helps the project team resolve issues, meet stakeholders’ expectations and manage constraints. The constraints of a project can usually be categorized under the performance targets: Time, cost, quality, scope, benefits, and risk, on which a project is evaluated. If a project is managed poorly or lack project management it might result in a transcendence of the budget, missed deadlines, poor quality etc.

Project management process groups

Initiating Process Group establishes the process the project manager must perform to determine a new project when having acquired the approval to begin a new project.

Planning Process Group covers the part of the project process where the scope of the project is defined as well as the objectives for the project. This is where the project manager defines the course to reach the objectives of the project. Executing Process Group cover the processes done to utilize the resources of the project into reaching the objectives and satisfy the project targets. Monitoring and Controlling Process Group. In this process group, the project manager monitors the performance targets set for the project and regulating the targets and course of action if required. If any changes are required to make the project more efficient, the changes would be made within this process group. Closing Process Group is the processes required to finalize the project. The Four Functions of Management will be addressed in the section theories, to supplement the theory of the PMBOK® Guide^[1]. .

Definition of leadership

In PRINCE2 ^[4] leadership capabilities are not provided, as they suggest that leadership is imperative in project management but also comes in so many variations that it is impossible to define in a method.

In PMBOK® Guide ^[1]. Leadership is defined as a competence a project manager can obtain. The competencies can be utilized by demonstrating crucial skills such as problem-solving, critical thinking etc. Leadership skills include being able to guide and motivate a team or individuals. Leadership is more about dealing with people where management is about dealing with the objectives of the project. A big part of the project managers profession is about handling people and directing them towards the goals set. During a project, the project manager can apply leadership skills to handle the project's stakeholder, to motivate the team etc. The skill set of a leader includes many aspects, which all focuses on utilize the stakeholders of the project, which includes the project teams, project sponsors and more. A project manager can lead by being a visionary, and giving the stakeholder a vision an attractive future, to motivate them to work harder. Leadership skills also include managing relationships and conflicts during the project, as well as being respectful, keeping up the morality, being optimistic and giving credit to others.

Leadership will be addressed further in the chapter Theories, as the term has many aspects and different theories. This article will only focus on two theories; Transactional and Transformational Leadership.

Theories

The PMBOK® Guide^[1]. describes several leadership theories, where Transactional Leadership and Transformational Leadership are two of them. These theories will be described, as they act as development of each other, as well as management and leadership supplement each other.

Transactional leadership

Transactional Leadership is a leadership style where a leader highlights the transaction between the leader and the team or team member. The transaction is based on a vision or goal shared by the leader, where the followers will expect certain rewards if they fulfill the requirements. A transactional leader should clarify what the rewards for the success of the team member is, at the beginning of a project. Success can be measured in either finishing by the deadline or if a team or team member has high performance.

Basically, if an employee makes the right accomplishments the leader would recognize this and reward the performance of the team member or team. In case an individual deviate from the set of rules or standard applied to the project, a transactional leader would take corrective actions. This can be compared to the Monitoring and Controlling Process Group of project management. Transactional Leadership is a passive leadership style except for intervening in the project if there is a deviation from the rules and standards ^[5].

Transformational leadership

In some ways, Transformational Leadership is an extension to the transactional leadership, but is an active leadership style, as the leader intervenes in both the team's performance as well as the individual team members. Transformational Leadership is about inspiring the leader’s colleagues and followers to accomplish superior results by using one or more of the four competencies of transformational leadership.

1. Idealized influence (II)

   A For a transformational leader to be successful, the leader must act in certain ways to make their followers admire them, respect them, as well as trust them to do the right thing in any given situation. Transformational leaders seek their followers to idealize them, by acting as role models. The leaders using this leadership style are more likely to take risks, but at the same time, can always be expected to act with high moral and ethical.

2. Inspirational Motivation (IM)

   The second core competence of a transformational leader is the skill to motivate and inspire their followers. This competence of the leader is about giving their followers work meaning or challenge them in some way. A leader can motivate the individuals or teams to work towards an organizational or personal goal, by sharing their vision of an attractive future, that lies ahead of the work that must be done.

3. Intellectual Stimulation (IS)

   There are different ways for a transformational leader to inspire their followers. Often it is a goal for the leader to inspire more accomplished work from their followers. This can be done by using Intellectual Stimulation, to stimulate the followers urge to be innovative and creative with their execution of the assignment. A way to inspire this is for the leader to praise new ideas or encourage creative ways of looking at the problem at state.

4. Individualized Consideration (IC)

   The last core trait of transformational leaders is Individualized Consideration, this is utilized by the leader acting as a coach or mentor for the individual follower. When coaching the individual, the leader's focus should be on the individual’s goals for achievement and their own leadership development. The core competence within a leader is essential for their followers to reach his or her own full potential, and thereby performing at the highest level possible.

Transformational Leadership can be compared to the Definition of Leadership stated above, which has its similarities.

Content from ^[6]

Four functions of management

A manager must first plan, organize according to that plan, lead people towards the plan and finally evaluate the effectiveness of the plan. The four steps must be executed well in order to reach managerial success.

1. Planning

   The first step includes the manager creating a detailed course of action to reach a certain objective of the organization.

   Imagine the scenario that a project manager is assigned to create a new product for their organization. To do this, the manager would need to create a plan for the project at hand. The first part of planning is to decide which goal to pursue, where in the case the goal is to create a new product. The product can be developed because of a specific need of a customer, where the project team would either need to develop an existing product or develop a completely new product. The steps would be the same. In the second step of planning the project manager needs to establish how this product is going to be developed, by deciding the course of action. Before beginning to organize the project, the project manager would need to allocate resources to attain the goals set for the project. ^[7].

1. Organizing

   When a manager has finished planning, the manager should begin to organize the project, by structuring working relationships. The working relationships should be established so the members of the project team can cooperate to achieve the goals set for the organization. To set the frame of an efficient project, managers must organize the organization's resources in the best way possible, where human resources are the most important one.

1. Leading

   A successful way of leading the team in the desired direction of the organization, is for a manager to create a vision to inspire the team to want the same goal. The vision needs to be a clear view for the team to know and understand what they work towards, and what lies ahead. Successful leading will energize and empower the team members, and to make them desire to do their best. See the Definition of Leadership.

1. Controlling

   During a project, the manager must evaluate how well the process of the project has been, by monitoring the performance of the team or its individuals. When controlling the performance, a manager can also choose to make corrective actions, if the original plan is inefficient or if members of the teams deviate from the path.

Leadership and management as a project manager (application)

The terms leadership and management are often mistaken to be the same things, but this is not the case. Management is, as described earlier, directing an individual or a team towards a set goal, by using The Four Functions of Management figure [xx]. Leadership, on the other hand, is about focusing on the people, and how they are motivated to do their best when reaching for a goal. Management is about control and administration, where leadership is about embracing change and motivating their followers to reach the goals set.

For a project manager to be successful, they would need to make use of both their management- and leadership skills. Though finding the right balance between the two in each situation is what makes the difference between mediocre and great in project management. A project manager can gain the two skills by different methods. Managerial skills can be obtained by years of experience and practice, where leadership skills can be learned and developed in time. Often great leadership skills come from inspiration and motivation from a great leader and learning from them, as the Transformational leader seeks to do. As it is rarely found that a project manager has both strong managerial skills and have strong leadership skills, it can be argued which leadership skills a project manager should at least contain. It can easily become speculation, which competencies are most important to a project manager, as it can vary depending on the situation. Though to improve team performance, a few skills can be pinpointed to empower this. A project manager should at least be able to

Motivate and inspire the teams, by communicating their vision for the project assigned. This is vital for the team to be enthusiastic about their work and thereby performing at a higher level. A clear vision from the project manager gives the team a purpose for the work they are performing. Work without a goal or an unclear vision is often interpreted as a waste of time and will in most cases discourage a team to do the job they were assigned, and least of all do it efficiently.

Limitations

Management and leadership are two different terms, as explained in the article. A successful project manager does not have to be an effective leader.

Annotated bibliography

• A Guide to the Project Management Body of Knowledge (PMBOK® Guide), Fifth Edition

Chapter 3 - 3.4.5 Comparison Of Leadership And Management

References

1. ↑ ^{1.0 1.1 1.2 1.3 1.4 1.5 1.6 1.7} Project Management Institute, Inc.. (2017). Guide to the Project Management Body of Knowledge (PMBOK® Guide) (6th Edition). Project Management Institute, Inc. (PMI). Retrieved from https://app.knovel.com/hotlink/pdf/id:kt011DX342/guide-project-management/information-management
2. ↑ Zaleznik, A (Jan. 2004). Managers and Leaders: Are They Different?. Harvard Business School Publishing Corporation. Retrieved from https://hbr.org/2004/01/managers-and-leaders-are-they-different
3. ↑ Kotter, J. (2001). What Leaders Really Do. [ebook] Harvard Business School Publishing Corporation, pp.3-11. Available at: https://hbr.org/product/john-p-kotter-on-what-leaders-really-do/8974-HBK-ENG [Accessed 15 Jan. 2019].
4. ↑ AXELOS, AXELOS. Managing Successful Projects with PRINCE2 2017 Edition, The Stationery Office Ltd, 2017. ProQuest Ebook Central, https://ebookcentral-proquest-com.proxy.findit.dtu.dk/lib/dtudk/detail.action?docID=4863041.
5. ↑ Bass, B. M., 1990. Organizational Dynamics. [e-book] Elsevier Inc. Available at: https://www.sciencedirect.com/science/article/pii/009026169090061S [February 22, 2019].
6. ↑ https://codeburst.io/to-be-a-transformational-leader-you-dont-always-need-to-be-innovative-you-just-need-to-be-26d5f1cf6cf9
7. ↑ Jones, G. and George, J. (2015). Essentials of Contemporary Management. 6th ed. McGraw-Hill Education, p.8.

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