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Leadership and Management for Service Industries

238 Downloads1 I Published: 27 Nov ,2019

Introduction

For effective governing f an organization required appropriate skills of leadership and management. It is necessary for each and every sector industry so that they able to attain goal and objective in appropriate manner (Dhar, 2016). By effective leadership and management style, an organization able to conduct their work in proper manner.

Along with this they also able to motivate employees and encourage them for conduct task in efficient way. Organization which is taken for this assignment is Thomas Cook Group which is established in year 1841. Its headquarter is in London, England, United Kingdom and it is a public sector company which   operate their business in hospitality and tourism sectors.

They offer products and services like charter and scheduled passengers, airlines, package holiday, hotel and resorts, travel agencies and so on at a world wide basis. Explained topics in this report are review of classical management theory and leadership style, factors which influence difference management styles as well as structure in service industry. Along with this it include current and future management  and leadership skills and comparison between leadership and management skills.

TASK 1

P1 Assess different classical management theories

Classical management theory was developed in 19th century and is based on the concepts that employees only has economic as well as physical requirements. This is also known as the traditional theory. In service sectors such as Thomas cook group which is a travel company apply this theory to understand its hierarchical structure and also their operations as well as activities (Jauhari, Singh and Kumar, 2017). Also, helpful to divide the task and clarify the roles of employees so that they productivity can be increased and accomplish the objectives of respective firm. There are some types of classical management theory that can be applied by Thomas cook group are mentioned below:

Scientific theory:

This theory was introduced in 20th century by Frederick W. Taylor. The main aim of this theory is to concentrate in developing efficiency of all employees within company. For this the author specify some principles that are:

  • Analyse every part of work and choose best from them.
  • Employees are to chosen effectively also, provide proper training to them so that they can do work as per scientifically improved process.
  • Manager direct employees in whole stage to know that they are moving on correct path.
  • Responsibilities and work are to be distributed among employee as well as management should formed scientific methods (Explain Classical Management Theory in Detail, 2018).

In Thomas cook group, all the above principles can be considered so that their operation cost can be reduced, facilitates effective services and develop health relation among both management and employees.

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Bureaucratic theory:

This theory was introduced by Max Weber and is related to administrative as well as framework organisational process. This states the precise structure of company along with certain authority line that is needed in firm to have an effectual work place. Thomas cook group can apply this theory so that authority and responsibilities of the employees can be clearly characterized according to norms or regulations. Also, they recruit and promote their workers as per their merits, experiences which help them to make effective decision for the benefits of firm.

Administrative theory:

Administrative theory was developed by the Henri Fayol. This theory is based on  departmentalisation conception, it means various activities are to be done for accomplishing the common objectives of firm which is specified by them and categorised into many departments so that task can be completed on specified time. In service sector such as Thomas cook group can use this theory so that their tasks, employees distribution as well as management framework are explained in systematic manner through which performance and all activities of company can be developed.   

P2 Explain the role of the leader and different leadership styles

In every industry leaders plays an important role to attain goal and objective in effective manner for which they develop various strategies and plans accordingly. Along with this they also follow and adopt some leadership styles by which they able to design strategies in effective manner (Lindblom, Kajalo and Mitronen, 2015). In context of Thomas Cook group they are dealing in travel and tourism sector so their leaders develop accordingly in order to attain targets and goal in effective manner. Major role played by leader within a Thomas cook group and different leadership which they follow are given below:-

Role of leaders-

  • Required at every level:leadership is a function which is required at every level within an organization. In context of Thomas Cook Group, here at top level it is important for formulating policies and strategies which help company in attaining goal. Whereas at middle level it is essential for executing plans in effective manner which is framed by top level managements. Lead of respective company conduct monitoring and evaluation of every process and provide guidelines accordingly so that company can operate their business in proper manner.
  • Integrate personal goal with organizational goals:In respective company leaders use appropriate leadership through which they able to integrate and reconcile personal goal of a staff with goal of Thomas cook group. They motivate and encourage employees to conduct work in order to attain common objective of attaining goal. For this leader of respective company develop appropriate strategies and plans by considering employees skills and ability to perform particular work.  

Leadership Style- 

According to Kurt Lewin there are major three leadership styles which are given below:-

  • Autocratic:It is leadership style in which leader develop decision without discussion their team or staff. Due to this sometime employees feel demotivated which directly affect on their productivity (Mehta, Verma and Seth, 2014). But it consider as appropriate when leader have to take decision on quickly basis. So when respective company leader adopt their style they convey this to employees, that due to some reason I have to take particular type of decision.  
  • Democratic:According to this leadership style leader involve its employees in decision making process so that feel motivated and connected towards company. This will leads to involvement of employees as well as increment in productivity of employees. In Thomas Cook group leader always involve their staff in almost each and every decision making process. Through which employees motivated and encourage to attain goal.  
  • Laissez- faire: In respective leadership style leader provide full freedom to their staff to set their working style and deadline. They get involved only when employees required any resources and advice in conducting work. In respect of respective company manager generally not adopt this style but there is any urgency and availability of leader is not their due to some reason then they will adopt respective leadership style.

P3 Review the management and leadership styles

There are various management and leadership style which can be adopt by an organisation in order to attain their goal and objectives in effective and appropriate manner. In respect of Thomas Cook group, management and leadership style which they can follow are given below:-

  • Visionary management and leadership style: In this style leader of an organisation able to encourage staff in appropriate manner so that they see impossible things as a possible (Mok,  Sparks and Kadampully, 2013). In context of Thomas Cook Group they if they adopt this style they able to identify issues which may arise in future as well as they able to motivate employees in effective manner that they do all work in appropriate and effective manner.
  • Participative management and leadership style: According to this style leader encourage its employees for participate in decision making process so that they use their skills as well as knowledge for developing effective strategies. In respect of respective company by adopting this strategy they able to develop new and unique strategies in effectively manner.   

TASK 2

P4 Investigate the internal and external factors that influence management styles and structures

In an organisation there are various internal as well as external factors which influence style and structure of management. Due to which working of a employees also get affected that directly and indirectly affect their productivity and profitability of company (Pentareddy and Suganthi, 2015). Internal and external factors which influence the Thomas Cook Group management style and structures are given below:-

Internal Factors-

  • Employees:For an organisation employees play a major part, because by these an organization able to attain its goal and objective in effective manner. So it is essential for each and every company manger to motivate employees in effective manner so that they feel connected towards workplace. In context of respective company if there is any change will occur in staff nature it will directly influence in management structure and style of a company. Such as if there is any change occur in employees nature, then accordingly leader has to change their style so that they can motivate them in effective manner.

External factors- 

  • Politics and government policy:It refers to situation when an organisation has to change their management structure and style due to change occur in government policy and politics (Popli and Rizvi, 2015). In context of Thomas Cook Group they have to conduct market evaluation so that they get aware about policies which are develop by government, then accordingly they have to update their style as well as structure. Such as for travel and tourism sector government announced some new law. Now respective company has to modify its management style and structure so that they can adopt it in effective manner.
  • Customers:when there is change occur in need and demand of consumers then it is necessary for an organisation to change their structure and style so that they develop products and services accordingly in effective manner. In respect of Thomas Cook Group  they conduct evaluation of market to identify need and demand of consumers. This will help them in developing strategies and plans in effective and appropriate manner. Such as by conducting analysis leader of respective company know that customers are more attracted towards some new location. Then they will develop strategies and plans according to respective location, so that they able to attract customers in effective and efficient manner.  

TASK 3

P5 Asses current management and leadership ‘hard’ and soft’ skills with example

For conducting work in effective and efficient manner an individual required various type of skills, that help them in completing task in appropriate manner. By this an organisation also able to attain goal and objectives in appropriate manner (Shek and et.al., 2013). For working in different sector or industry an individual required skills and knowledge accordingly, so that they will conduct their work according to requirements. Their are various hard and soft skills which are required for working at a Thomas Cook group that is conducting its operations in travel and tourism industry. Some major of them are mentioned below:-

Soft Skills-

  • Customers service skills:For working in a travel and tourism sector an individual must required customers service skills so that they attract and retain customers in appropriate and effective manner for a long time (Tseng and Wu, 2014). Such as if situation arise that any guest come who is very irritating and rude. In this situation if staff have customer services skills they able to attain customers in effective and appropriate manner.
  • Flexible in nature:It is essential for employees to be flexible if they want to work in travel and tourism sector. This is so because in respective industry unforeseen situation may arise due to change in customers need and demand, government policies and many more (Top 10 soft skills for hospitality & tourism managers, 2019). Such as there is change occur in customers priority in context of location, then respective company have to develop strategies and plans accordingly for which flexible nature of employees required.

Hard Skills- 

  • Digital technology marketing: It is one of the most essential skill which is required for working in travel and tourism industry. In it an employees must have internet marketing knowledge so that they able to attract more and more customers for their products and services. It can be enhance by an individual by taking some relative class and courses. Such as in context of Thomas Cook Group they provide training class related to Search engine optimization, google analysis, marketing campaign management and so on to its staff. Through which they able to do appropriate marketing of their products and packages in effective manner.

P6 Discuss future management and leadership skills required by the service sector and how these can be achieved

Management and leadership skills helps an organisation in attaining goal and objective in effective and appropriate manner (Van Wart, , 2014). For different different sector a person required different management and leadership skills. In respect of Thomas Cook Group who is operating its business in travel and tourism sector. So if a person required to maintain  or establish their future in respective company they required various managerial and leadership skills. Some major of them are mentioned below:-

  • Team building skills:It refers to skills through which employees conduct their work in team. By this organisation able to attain goal and objectives in effective and efficient manner by conducting work in proper manner. In context of respective company , every staff required to work in team. This is so because by this they able to complete work in proper manner.
  • Be positivity skills: It is one of the essential skills which is required for every individual to work in effective manner. When a person have this skills they able to handle each and every situation as well as condition in appropriate manner (Wallace,  de Chernatony and Buil, 2013). In context of respective industry, there are some situation arise in which employees get panic and negative, in this condition this positive skills is required to handle situation in appropriate manner.
  • Effective communication skills: It is essential in every sector to communicate in effective  manner to employees, authority and customers. In respect of Thomas Cook Group they provide training to every employees so that they communicate with employees in effective and efficient manner. By this they able to attract and retain more and more customers that help in attaining goal.
  • Delegation skills: This skills is required to conduct delegation of work as well as authority in effective manner. By this employer able to assign work to staffs according to its skills and ability. In context of respective company they train their employer so that they able to do delegation of authority in effective and efficient manner.  
  • Decision making skills: It one of the most important and essential managerial and leadership skills which help leaders in taking decision in effective manner. Along with this they also able to develop appropriate strategies, plans, policies and rules in effective  manner according to situation (Yee and et.al., 2013). In respect of Thomas Cook Group for this they also provide some session to senior authority so that they develop strategies and policies accordingly and effectively.

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TASK 4

P7 Compare different service industry organisations’ change management systems and leadership in implementing change

Their are various sectors are include in service industry whose change management and leadership are different (Dhar, 2016). To understand this Thomas cook group who are dealing in travel and tourism sector compare themselves with Hotel Holiday Inn. Comparison of both of them are given below:-

Basis

Thomas Cook Group

Holiday Inn

Change management process

When there is any change occur Thomas Cook group use Kurt Lewin's change management process which is they conduct three step. That are unfreezing, moving and refreezing.  

Whereas process adopt by Holiday Inn in order to adopt change is very different from Thomas cook group. Holiday Inn didn't adopt any methods they conduct market analysis and evaluation and then develop strategies accordingly.

Leadership Style

Leadership style which are followed by Thomas Cook Group is democratic in which they provide equal opportunities to every employees to participate in decision making process. By this employees feel motivated and connected (Jauhari, Singh and Kumar, 2017). Along with this they also feel that they are valuable for the respective company. By this manger also able to get new and innovative ideas from every staff that help in decision making in effective  manner.  

Leadership style which is adopted by Holiday Inn is democratic leadership styles. According to which manger not involve their employees in decision making  process. They take decision what they want, leaders not discuss it with any one. Due to which employees feel demotivated and that will directly affect on productivity and quality of employees. This will directly and indirectly affect on profitability of respective company.

Conclusion

From above discussed point it can be conclude and evaluate that for every organization,  effective leadership as well as management are essential for attaining goal and objectives in effective and appropriate manner. By this they able to motivate employees in effective manner which help in accomplishing work in effective manner.

Their are various classical theories and  leadership style which is adopted by a company in order to achieve goal. Role of a leader is also essential within a workplace in order to accomplish work in proper and effective manner. When an organisation conduct its business operations and functions there are some internal and external factors which affect it.

For which they have to develop policies and strategies so that they can overcome from it in appropriate manner. While conducting work in effective manner leader also identify some skills  which they have to required to develop in order to attain goal and conduct task in proper manner.

References

  • Dhar, R. L., 2016. Ethical leadership and its impact on service innovative behavior: The role of LMX and job autonomy. Tourism Management. 57. pp.139-148.
  • Jauhari, H., Singh, S. and Kumar, M., 2017. How does transformational leadership influence proactive customer service behavior of frontline service employees? Examining the mediating roles of psychological empowerment and affective commitment. Journal of Enterprise Information Management. 30(1). pp.30-48.
  • Lindblom, A., Kajalo, S. and Mitronen, L., 2015. Exploring the links between ethical leadership, customer orientation and employee outcomes in the context of retailing. Management Decision. 53(7). pp.1642-1658.
  • Mehta, N., Verma, P. and Seth, N., 2014. Total quality management implementation in engineering education in India: an interpretive structural modelling approach. Total Quality Management & Business Excellence. 25(1-2), pp.124-140.
  • Mok, C., Sparks, B. and Kadampully, J., 2013. Service quality management in hospitality, tourism, and leisure. Routledge.
  • Pentareddy, S. and Suganthi, L., 2015. Building affective commitment through job characteristics, leadership and empowerment. Journal of Management & Organization. 21(3). pp.307-320.
  • Popli, S. and Rizvi, I. A., 2015. Exploring the relationship between service orientation, employee engagement and perceived leadership style: a study of managers in the private service sector organizations in India. Journal of Services Marketing. 29(1). pp.59-70.
  • Shek, D. T. and et.al., 2013. Development of a credit-bearing service leadership subject for university students in Hong Kong. International Journal of Adolescent Medicine and Health. 25(4). pp.353-361.
  • Tseng, S. M. and Wu, P. H., 2014. The impact of customer knowledge and customer relationship management on service quality. International journal of quality and service sciences. 6(1). pp.77-96.
  • Van Wart, M., 2014. Dynamics of leadership in public service: Theory and practice. Routledge.
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