- March 29, 2013
- Posted by: essay
- Category: Term paper writing
The impact of the selected theories of management and leadership on organizational strategy
Theory of personal knowledge management and leadership is defined as “a set of concepts, methods and tools for structuring and ordering of individual stocks of knowledge, which allows employees to take responsibility for what they know and whom they know”¯. Media, information and scientific publications increase exponentially. From the data and information flow problems, and arise in private and professional environments. Especially in a professional context, as a result of declining half-life of knowledge, expertise is not sufficient and must be augmented by special skills in dealing with key knowledge assets and learning.
The relationship to knowledge management at the organizational level. A necessary condition for knowledge processes at the organizational level, willingness and ability to communicate are the people involved, as well as for organizations is that it can be the “place of change”¯ man alone. Personal knowledge management is therefore the starting point for organizational learning. It is not enough that either the person or organization in which a person acts operate based on knowledge. Both levels are different perspectives on the same phenomenon of a mutual learning process between people and organizations, individual and social systems. These are ultimately content, not separated, although methodologically different approaches are well justified and appropriate. The case in consideration requires consistent knowledge management, analysis of the market and expansion to the neighboring market niches, and these steps should be based on a thorough analysis of the competitive environment and available possibilities.
Regarding leadership styles, the most appropriate are transformational leadership and contingency leadership. In my opinion, contingency leadership might be more appropriate for the restaurant chain, since the chain does not imply radical changes and total rebuilding of the organizational objectives, but would rather require step by step restructurization, depending on available factors, resources and reaction of the customers. In order not to lose the loyalty of current customers and to create a sustainable strategy, management should adhere to contingency leadership style.
2.2. Creation of a leadership strategy that supports organizational direction
In my opinion, both transformational and contingency leadership styles have to be applied in order to renovate the underperforming pizza restaurant and to transform it into an atmospheric authentic place and to reach the goals of becoming the most profitable mid-price business. At the first stage, transformational leadership approach is required to motivate the employees, to set the new vision and mission, and in order to create a spirit of teamwork and success in the organization. At the second stage, when key values are already established, the company will have to be more flexible and will need to respond to market changes, customer tastes and competitors, and in this case, contingency leadership is the most appropriate solution. It is not possible to forecast future situations and environment, and managers will have to be flexible, and align their solutions with resources, attitudes and power available to them. Such approach will allow to revolutionize the restaurant and to achieve maximization of long-term profits.
All in all, understanding of strategic management and theories of leadership help to form the leadership skills and to implement new strategies that will be beneficial for the company and which will lead it to success. There are different leadership strategies that can be combined in order to reach optimal effect; in this case, these are transformational and especially contingency leadership approaches. That is why it will be possible to improve the situation and to achieve further profit maximization goals possibly concentrating at the store level.
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Mullins L.J. Management and Organizational Behaviour, 9th Edition. Financial Times/Prentice Hall, 2010.