Leadership and Governance
Leadership and Governance
Leadership is all about doing the right things. This implies that leadership should be practiced through attitude and actions rather than words. Leadership should be taken as a process of influencing others achieve organizational goal. In this context, a good leader is the one who has the capability to influence a given group towards achievement of group targets and mission. Some regard a good leader as a person who embraces the best leadership style and has the desirable qualities of leadership. For instance, an individual can be regarded an excellent if he or she embraces transformational leadership and possesses traits such as charisma, honesty, integrity, magnanimity, trustworthy, or considerate. But according to Drouillard and Kleiner (1996), good leadership can best be defined in terms of morality and goodness. It involves influencing others through reason and inclusion to achieve long term interests for the well being of the organization, individuals, groups or society. Management and leadership cannot be interchangeable. For instance, both leaders and managers should influence thoughts and actions and actions of the followers or subordinates through commitment, creativity, concern for others, and embracing experiments or changes. At the same time good leadership should be able to recognize self and potential mistakes and take appropriate measures to minimize them.
Business governance is concerned with how a business should be efficiently and effectively managed. The major purpose of governance to ensure efficient allocation of resources to ensure stakeholders value from the business. Good corporate governance enables firms to generate adequate revenues for sustainability of the business. Corporate governance has net impact on the performance of a business and therefore should as efficient as possible (Strange, Filatotchev, Buck & Wright, 2009).
Efficient and effective leadership is a key driver in efficient and effective corporate governance. Managers at the top should embrace change in the organization if the organization has to achieve it goals. Mistakes at corporate governance level can be fatal to the organization. Change in the organization should be reasoned out and should be viewed as continuum from incremental to transformational. The business managers should have a starting point for driving the change and should be aware of difficulties to be encountered in during change periods and devise means of overcoming the difficulties.
The most difficult change situations are individual beliefs, political power and culture. It requires good leadership at the corporate level to initiate change for all these dimensions. For instance, a change in corporate culture will call for the management to focus on result of such a change (Mason, 2006). At the same time, change process should focus on how change will be executed and the relationships between the subordinates. Managing change at this level also calls for maximum and appropriate involvement of groups and individuals within an organization. Another example of how managers can manage change is through facilitation of discussion through prioritization and polling. Then, the management can design a pathway to action, share, and inspire the subordinates and groups towards achievement of change purpose. The management should be in the front driving and championing for new ideas and forcing pace of change in an organization. At this point there is no distinction between management and leadership since management is action oriented. Through involvement of subordinates, the obstacles and resistances to changes are surmountable and business goals and objectives are achieved efficiently.
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