I have been writing business columns for SBJ for almost four years and have enjoyed it. It has led to several conversations with other business owners and some new friendships. However, I was lost on a topic this time as the deadline for the next article approached, and suddenly, it clicked. In this article, we will talk about leadership itself because I’ve been doing some recent teaching and training on it.
First, leadership is the ability of an individual or a group to influence and guide followers or members of an organization. Most companies or organizations have bosses, maybe even layers of management, and certainly owners. Leadership, however, is a whole different thing. In its most uncomplicated form, leadership is influencing other people to follow.
In a past article, I said it’s common for entrepreneurs to be good managers, which is good because management is a big part of building a company. Leadership, however, spearheads new vision and initiatives, whereas management effectively controls the resources, bringing those visions into reality. Both are critical, but entrepreneurs or founders will typically need to be in leadership roles, and they must develop those skills.
Managers typically focus on maintaining stability, ensuring tasks are completed efficiently, and they adhere to established processes and procedures. They excel at organizing resources, delegating responsibilities and monitoring progress to achieve specific outcomes within predetermined parameters. In essence, managers are adept at managing systems and processes, often relying on authority and control to maintain order and drive results.
On the other hand, leaders inspire and motivate individuals to transcend their limitations, think creatively and strive for excellence. They foster a shared vision, empower their team members and lead by example, earning respect and trust through their actions rather than their positional authority. For instance, a leader might inspire their team by sharing a compelling vision for the future or motivate them by recognizing and rewarding their achievements. Leaders encourage innovation, collaboration and personal growth, cultivating a culture of continuous improvement and adaptability. Leaders typically focus on building the future, while managers manage today.
Another key difference between managers and leaders is their response to change and uncertainty. Managers are often more comfortable with stability and predictability, seeking to maintain the status quo and minimize risk. They rely on established procedures and best practices to navigate challenges, preferring incremental improvements over radical transformations. In contrast, leaders embrace change as an opportunity for growth and innovation, challenge the status quo and drive organizational direction. They inspire confidence and resilience and seize new opportunities.
I think the most important thing to know about leadership, however, is that it’s a privilege that is earned, not a right. You have been granted the privilege to lead others. This means that you are responsible for serving those you lead – clients, employees, owners and/or shareholders. Those who understand this fact understand that leading, first and foremost, is about service. Being the leader means that you have been placed in a position to serve others. It’s not about the power or authority that comes with the role, but about the opportunity to make a positive impact on those you lead.
In our ecosystem, which includes our employees, their families, our clients and the communities we operate in, our leaders must remember that over 150 families depend on us for at least part of their success and livelihoods. We want to keep this in mind and not act in a cavalier fashion. In other words, the decisions of leadership have an impact. It’s also important to remember that leaders are always being watched. They are setting examples – especially when things are tough. Eyes are always on you and how you are handling a situation. Leadership is oftentimes taking the hit for the team, not letting it show and rising above it.
In conclusion, while managers and leaders play crucial roles in guiding organizations toward success, they embody distinct approaches, mindsets, and behaviors. By understanding the differences between the two roles and leveraging their complementary strengths, organizations can cultivate a dynamic and resilient leadership culture that maximizes the potential of their teams and achieves sustainable growth.
Donnie Brawner is CEO and owner of Paragon 360 and Paragon Fabrication. He can be reached at dbrawner@paragon360.com.
