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The Difference Between Management And Leadership

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A 27 year old manager named Justin who attended my seminar at the University of Wisconsin asked why his employees didn't accept his authority, even though he had been given the official title of General Manager . He was taking over a trucking company from his father and thought it was because of his age, or the fact that his father founded the company. It was neither. Bill Ford's great grandfather, Henry Ford, founded Ford Motor Company. Yet Bill's employee's accept his authority regardless of his family ties. Bill Gates was a teenager when he co-founded Microsoft, yet his employees accepted his authority regardless of his age.



Justin's employees didn't accept his authority because while he was a manager, he had not yet become a leader. The title of management can be given to anyone regardless of qualification, and employees have no choice but to comply with a manager's orders if they wish to continue receiving a paycheck. People will comply with a manager, but will only commit to a leader. The title of leader, however, cannot be given. It only comes once employees respect the manager, and respect cannot be given or ordered. It must be earned.

Former U.S. Secretary of State Colon Powell characterized it best when he said, “Leadership is the art of getting people to accomplish more than the science of management says is possible”. When managers face the unpleasant task of firing an employee who they personally like but whose performance just doesn't cut it, we often try to ease the discomfort by telling the employee “This isn't personal. It's just business”. Leadership, however, is very personal. As John Maxwell put it in his best selling book, “The 21 Irrefutable Laws of Leadership”, people must buy into the leader before they'll buy into the leader's mission. Steve Jobs is a perfect example of this. After co-founding Apple Computer when he was only a teenager, he was fired as CEO at age 30. When he was brought back in as CEO in 1997, he began to lead the company in new directions. He was not, however, immediately recognized as the visionary leader that he is today. In fact, some thought he had lost it altogether because of some seemingly bizarre decisions he made. He settled a lawsuit with Microsoft because he realized that Apple, which was losing market share rapidly, could not fight the 800 pound gorilla that Microsoft had become. He realized that if you can't beat them, you join them. He then went on to reinvent every product Apple offered, and reinvigorated their employees with a leader's most powerful tool - momentum. He got his employees so accustomed to change that they expect it now.

Reinventing over and over again, such as with the Apple iPod, iPod Mini, Nano, Shuffle, and iPod Video, has become a way of life for his company. Steve Jobs could walk into Apple tomorrow and announce that they are going to stop making MP3 players and computers, and start making toaster ovens. No one would think he'd lost it this time. Instead, his employees would collectively say, “Lead the way, boss. Show us how to make the best toaster ovens anyone has ever made”.
The Difference Between Management And Leadership
According to some research studies, the number one reason why managers and executives find themselves with a stalled or underperforming career is a lack of interpersonal skills. This might seem surprising, given the amount of training and attention given to technical skills and business knowledge, but the fact remains that there is more to career success than just knowing the facts.

Hard skills vs. soft skills

A typical business degree program or executive training program will focus on what are considered hard skills. Examples might include strategic business planning, financial analysis, budgeting, or product development. These are all important things to know, but an increasing number of companies are also interested in the so-called soft skills.

These soft skills are best defined as how a manager interacts with people. An evaluation of soft skills might include answer the following questions:

What behaviors does the manager consistently demonstrate?

How is the manager viewed by others at levels at, above, and below his or her organizational level?

How does the manager communicate with others?

How does the manager handle team-building situations?

Does the manager get along with other people?

Getting personal

Many business professionals have difficulty with soft skills because they are so personal in nature, but it is exactly these soft skills that are keys to success as a manager and leader. Even more difficult is accepting the reality of poor soft skills and making an effort to improve.

It is not enough anymore to know how to analyze a profit and loss statement. A good manager or leader will take that profit and loss statement and use it to coach employees, facilitate team productivity, and lead toward performance improvement. This cannot be done simply by reading the numbers and telling people that numbers need to change. It is done by interacting with people in a way that encourages them, motivates them, and reinforces their value to the team.

Improving interpersonal skills

The good news is that everyone can learn new interpersonal skills and improve upon their old ones. Most managers will say that they already have good interpersonal skills, so it comes as a shock when they receive open, honest feedback that says they need to make improvements. Only through such feedback, though, can areas for improvement be identified and specific goals set for practicing new behaviors.

For example, if you are perceived as a poor listener then you can practice new behaviors to change that perception. You might set a goal to focus more on listening to another person in one-on-one situations, or to limit your contributions in a group discussion so that others can contribute more.

Another strategy is to enlist the help of a learning partner. This person observes you and provides you with regular feedback on whatever behavior you are trying to improve. He or she is your cheerleader when you do well and your coach when you can do better.

Putting it all together

The bottom line is that when it comes to being a good manager or leader, you must master the hard skills of your specific job as well as the soft skills of interpersonal relations. Interpersonal skills must be a focus of your leadership development. Some people are naturally better at personal interactions, but anyone can learn to do better. The key is to recognize the importance of interpersonal relations, honestly evaluate your skill level, and consciously improve those behaviors that need work.
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