RAINMAKERS
Three Ways Leadership And Management Are Totally Different
By Dr . Clifford Ferguson
Leading and managing are distinct roles , each critical to your organization ’ s health , that require different skills and capabilities . Yet all too often , I see well-intentioned entrepreneurs , CEOs , and their executive teams blend them and unknowingly slow their progress .
I recently spoke with a CEO ( I ’ ll call Sarah ) who was disappointed and frustrated with her HR director . The HR director was getting things done sufficiently and on time , but wasn ’ t effective at driving meaningful change . Here ’ s one example of several Sarah shared to illustrate the issue :
“ We needed to save money on health insurance without reducing benefits . I delegated the task of re-assessing our plan to my HR director , who then set a relatively low target for cost improvement . When I saw his number , I challenged his thinking and pushed for a higher savings target , which we ultimately met .”
She continued : “ He executed well , because we met the more aggressive objective , but I ’ m disappointed he didn ’ t set a more aggressive target in the first place . Why do I have to continually push him to aim higher ?”
I suggested Sarah separate the HR director ’ s performance as a manager ( which was solid ) from his performance as a leader ( which was lacking ). This insight helped her see the HR director ’ s performance and capabilities in a different light and led to more productive ( and precise ) coaching and , ultimately , better performance in the leadership realm .
As I explained to Sarah that day , there are three dimensions that differentiate leaders from managers : directing / planning , aligning / organizing , and motivating / controlling . Clarifying these critical distinctions - and the unique value of each - will help you with your team and in your own role .
Leaders versus Managers
“ Leadership and management are two distinctive and complementary systems of action . Each has its own function and characteristic activities .” John P . Kotter , Professor of Leadership , Emeritus , Harvard Business School .
John P . Kotter was among the first business thinkers to make a strong case for separating leadership and management roles in his 1990 Harvard Business Review ( HBR ) article entitled , “ What Leaders Really Do .” In it , he argues that , rather than making plans , solving problems , or organizing people , the true role of a leader is to “ prepare organizations for
“ There ’ s a fine line between hollow cheerleading and meaningful inspiration and motivation . Effective leaders understand the difference and invest considerable time in getting this right and continuing momentum to keep their people engaged over time .“ change and help them cope as they struggle through it .”
In 2015 , Gino Wickman and Mark Winters made a more contemporary case for the distinction between leadership and management in their book Rocket Fuel : The One Essential Combination That Will Get You More of What You Want from Your Business . Focused on high growth and entrepreneurially run firms , they used the terms “ visionary ” and “ integrator ” in place of “ leader ” and “ manager .”
Regardless of the terminology or the era of the thinking , as my client Sarah discovered , the message is the same : Leaders produce change , primarily by focusing on communication . Managers cope with execution and complexity , relying heavily on their coordination skills to make it all happen .
Again , both roles are critical for your organization : One is not “ better ” or more vital than the other-the two are essential for scalability and success . If you ’ re wondering whether it ’ s possible for someone to be both a strong leader ( visionary and change agent ) and a strong manager ( operator ), it is - but that combination is exceptionally rare .
Here are the key behaviors specific to each of the two roles : Most of us know intuitively which of the two roles best suits us . The key is to understand the distinctions and strive to optimize your team , with the right leaders and managers in the right seats .
Setting Direction versus Planning and Budgeting
“ The most important role of a leader is to set a clear direction , be transparent about how to get there , and to stay
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