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All Models Are Wrong, Some Models Are Useful

Business Management and Leadership models

Date : 12/11/2012

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Wayne

Uploaded by : Wayne
Uploaded on : 12/11/2012
Subject : Business Studies

'All models are wrong, some models are useful' George Box.

Historically the UK was a very successful manufacturing country. Processes were highly structured and predictable; Taylorism ruled. However as the manufacturing base gave way to services and society became less subservient a change of emphasis was required. There is still a lag in the change of management style necessary to reflect these changes. Consequently as will become apparent there is little consensus on the optimal style, rather it has evolved in line with society and industry. The challenge as Handy (1991) notes is ' To learn new ways and new habits, to live with more uncertainty, but more trust, less control but more creativity.'

'Managers are people who do things right and leaders are people who do the right things'. Bennis and Nanus (1986)

Management and leadership both influence and are influenced by corporate culture. Management deals with the tangible formalities of running a business whilst leadership has a more intangible impact on performance and direction.

Nahavadi (2000) sees the roles as distinctly separate functions; management being related to stability working in the short-term and present. Leaders concentrate efforts on long-term vision and change. Bass, Hickman (independently 1990) and Yukl (2002) did not differentiate between the types of persons undertaking the functions. Vroom and Jago (1988) suggest the functions are interchangeable for suitably adept individuals.

Janni predicts that the old style of management, of control, protect and know everything - is no longer effective because knowledge is finite. Generating options using imagination is the future. The notion that the traditional manager is evolving has some credence. Flatter structures means managers now have greater responsibility and manage people undertaking work not necessarily within their background. Facing constant flux and reducing timescales to respond the role is becoming increasingly challenging. They are expected to introduce innovation and instant results whilst being urged to provide a service at marginal cost by unforgiving stakeholders. Additionally society now produces a less subservient workforce who demand and know their rights.

This resource was uploaded by: Wayne