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MG629 Developing Leadership And Management Skills

Introduction-MG629 Developing Leadership And Management Skills

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Traditional assessment, 360-degree evaluation, self-evaluation technique, evaluation centre method, leadership effectiveness method, and others are all discussed in this article as it explains the value of leadership and the many ways and models of leadership evaluation. When it comes to evaluating leadership skills, the three-variable model proposed by Kerr holds that a comprehensive system has yet to be developed and that further study in this area is necessary (Sousa and Rocha, 2019).

Increasing mobility, automation, reducing distances, and “time-space compression” have all contributed to the evolution of leadership over the years. Successful leadership relies heavily on cultural knowledge, since both are intertwined. As the globe has become a global community, today’s managers and leaders must cooperate more than ever before (Rybakova, Vinogradova and Sizikova 2020). Many jobs and contracts are given to foreigners because of the low cost of labour, such as the instance of Apple moving its production facilities to China because of the low cost of labour. Managers must also be aware of the culture in which their firm is situated, since they will have to adapt and adjust in an ever-changing environment (Rajeh et al., 2020). Nissan has been taken as the company context for evaluating leadership and management.

To better understand this company’s products and services, we've compiled a list of frequently asked questions about Nissan Motor Co., Ltd. (trading as Nissan Motor Corporation or Nissan). There are a number of brands under the Nissan and Infiniti umbrella, with in-house specialty tuning items (such as automobiles) dubbed Nismo being sold by the firm. The company’s roots may be traced back to the early 20th century, when the Nissan zaibatsu, today known as the Nissan Group, was established. Makoto Uchida, CEO of Nissan, leads the company’s “C-” graded Executive Team (Ikegami, Maznevski and Ota, 2016). They are ranked in the bottom third of organisations with more than 10,000 workers when it comes to their executive team. As a result, employees who have worked for the firm for a few months to a few years have a greater sense of trust in their Executive Team.

Analysis and Comparison of Leadership vs Management

People often confuse leadership with management, but in reality, they are two completely distinct concepts. The major distinction between leaders and managers is that leaders have people following them, whereas managers have individuals who just work for them. Motivating others in the workplace so that they understand and believe in your vision is an important part of leadership. Management, on the other hand, is more concerned with ensuring that the day-to-day activities of the company run smoothly (Connolly, James and Fertig, 2019).


Leaders are those who have the ability to inspire a group of others to follow them in a particular way. It is an interpersonal technique that aims to influence a person or a group in order to guarantee that goals are met passionately and voluntarily. Only a few individuals have this quality, and it’s not something you can teach anyone. As a result, they are renowned as leaders. A leader is a person who inspires a significant number of others to follow him.

Working with others toward common goals is an important part of leadership. Nissan must be able to think across the limits. There are a lot of leaders in an organisation, like Nissan, who are accountable for the work of their subordinates (Pretorius, Steyn and Bond-Barnard, 2018). The employees of Nissan are separated into teams, and each team is given a specific job to fulfil within a given time frame for the attainment of a single goal. The head of each team must be chosen based on merit and seniority.


A combination of four words forms the word management: man+age+men+t (technique). A man’s strategy for dealing with and managing individuals of various age groups to work together toward a shared goal is defined in this way: management. No matter though management is not limited to men, the 5M (“Men, Money, Material, Machine and Methods”) must be in harmony for it to be successful. An organization’s “Manager” is the individual who oversees all of the organization’s management functions. “Planning,” “Controlling,” “Organizing,” “Leading & Motivating,” and “Decision Making” are all examples of management functions (Zhumabaeva, 2017).


The following are the main differences between leadership and management:

  • The attribute of leadership is the ability to motivate and inspire others, Whereas Nissan’s Management is the practise of overseeing the day-to-day operations of a company.
  • Nissan’s leader’s supporters must have faith in him or her, whereas its managers don’t need to be in charge of their subordinates in order to run a business (Connolly, James and Fertig, 2019).
  • A leader’s ability to influence people is called leadership, whereas management is defined as the ability to make decisions.
  • While Nissan management has a short-term perspective, leadership requires a long-term perspective.
  • Policies and procedures are applied in management, as opposed to the principles and standards set out by the leader of the organisation (Pretorius, Steyn and Bond-Barnard, 2018).
  • Leaders are proactive, but Management, on the other hand, is more of a reactive type of organisation.
  • Change is a by-product of leadership, whereas, stability might be provided through management on the other hand.

There is no such thing as leadership without management; the two are linked. Managerial attributes necessitate a manager’s ability to motivate his subordinates. Both management and leadership may be viewed in a business. Nissan must have a department manager and a number of other leaders who work with their teams to help them achieve their objectives. Managers often assume the position of a leader at the request of their organisation. It’s as if they’re meant to compliment one other (Zhumabaeva, 2017). For Nissan to thrive and expand, it must have both of these things.

Key Performance Metrics of Organizational Sector / Market / Industry

Measures that may be used to evaluate a company's long-term success are known as key performance indicators (KPIs). An organizational marketing, economic, and operational successes may be evaluated by comparing them to those of other organisations in the same industry (Parmenter, 2015). KPIs are useful in this regard.

KPIs differ from company to company. Five of its most often utilised KPIs are:

  • Revenue per client
  • Revenue growth
  • Profit margin
  • Customer satisfaction
  • Client retention rate

Customer Metrics

Customer-focused KPIs focus on the efficiency, contentment, and loyalty of each individual customer. Over time, a customer's lifetime value (CLV) is the total amount of money that customers are projected to spend on Nissan’s product(s) (Hristov and Chirico, 2019).

Client acquisition cost (CAC), on the other hand, is the whole cost of acquiring a new customer, including both sales and marketing. Measurement of client acquisition efforts may be done by Nissan through comparison of CAC to CLV.

Financial Metrics

In the context of financial reporting, sales and profit margins are frequently used as key performance indicators. Net profit, one of the most often used profit-based statistics, is the amount of income that remains as profit after all of the company's costs, taxes, and interest payments have been taken into consideration (Zarei, Yazdifar and Ghaleno, 2020).

In a particular industry, Nissan must strive to match or exceed the industry's normal net profit margin of 50% in order to stay competitively viable. One more popular profit-based KPI is the gross profit margin, which evaluates revenues after deducting expenditures directly related to the manufacturing of commodities for sale.

Process Performance Metrics

Measuring and tracking operational efficiency is the goal of using process metrics throughout the company. Businesses can calculate the proportion of faulty items by, for example, dividing the total number of products produced by the number of defects (O'Hare, Dekoninck and Giunta, 2019). Obviously, Nissan’s idea must be to reduce this number as much as feasible.

Organizational Leadership and Management Performance

Contemporary Theories and Models of Management and Leadership and Methods of Leadership Assessment

According to research, leadership evaluation methods are becoming more complex despite a lack of literature on the subject and because the previous analysis techniques for leadership have been relatively simple. In addition, the credibility of the analysis result is also increasing as a result of increased practise and growth. In addition, the level of education is always rising. Currently, academic and professional assessment methods mostly consist of the features described below (Little, 2018).

Traditional Evaluation Method

According to Little (2018), there are a variety of methods for assessing Nissan’s leader’s characteristics and determining their effectiveness. Some of its most important points are as follows.

  • Key event strategy:

Responders’ friends and superiors should be permitted to point out that the respondent has done a good or bad job, according to this strategy. Although this method may be used to study the pioneer’s behaviour in Nissan and the effect it has on others around him, it is exceedingly time-consuming and expensive. A rule designed for the pioneer will be difficult to implement, as various people’s circumstances will all be unique at the same time. However, while the key event method is useful for advancing one’s profession, it is not optimal for picking a pioneer (Myers and Pronovost, 2017).

  • Face-to-face discussion about strategy:

Structured or unstructured meetings are frequent tools for testing authority capacities of Nissan, and they can be either. Pre-arranged questions are asked of the pioneers at the meeting, and the answers they give are utilised to evaluate their authority capacities (Huggins et al., 2017).

  • Method of observation:

Other than observation, which can be organised or unstructured, there seem to be a number of other evaluation procedures that are commonly used. It is difficult and time-consuming to monitor and document a leader’s behaviour on a regular basis (Jamieson and Donald, 2020), despite the fact that observation might yield useful information in Nissan.

360-degree Evaluation Method

In many cases, a 360-degree leadership assessment is referred to in a questionnaire for evaluation. Using this approach, it is possible to assess employees’ organisational leadership qualities. Nissan’s executives’ leadership characteristics may be evaluated and enhanced based on the information obtained (Jamieson and Donald, 2020). In order to assess an employee’s work ethic and skill set, Nissan’s customers, peers, and supervisors should be asked to complete a similar questionnaire. The questionnaire consists of 65 questions, which can be answered by any of the parties indicated above in turn. The employees will be able to study the gap between their own and other people’s ratings, and then determine whether or not to adjust their leadership style as a result (Little, 2018).

Self-assessment Method

It is possible to do a personal assessment online. An informal appraisal is what self-evaluation is all about. It allows the evaluator to determine whether or not he has developed into a capable leader or possesses the necessary abilities to be a leader. These self-assessment methods are either comprised of a series of questions or a checklist of items to consider. Because of this, the respondent is able to think about their leadership abilities. This has the drawback of lacking the appraisal of the respondent by others in his immediate vicinity, such as his co-workers, and having a strong subjective tint (Rajeh et al., 2020).

Impact of Leadership Performance in Relation to Overall Business Performance

Interlinking Coaching and Training:

As a means of gauging an organization’s level of power, it serves this purpose. Assessments may be made using this self-assessment exam, which includes the ability to score one’s level of motivation (Little, 2018).

The Leadership New England Program:

By taking a poll, it allows Nissan to rank their own authority features and abilities. For the purpose of the poll, it has been separated into two groups. There is a first segment that assesses administration characteristics, such as whether or not leaders are aware of their own strengths and weaknesses, whether or not they are confident in their ability to solve problems, and whether or not they have a wealth of expert information at their disposal. Continue to learn and grow your vast store of information. On to an appraisal of one’s own abilities, which encompasses both the capacity to maintain and accomplish tasks as well as the ability to interact with others (Myers and Pronovost, 2017).

An evaluation of creative leadership:

The ideas used in survey administration may no longer be appropriate at this time due to changes in the external atmosphere. Our current business problems stem from a combination of people’s excitement and innovation, together with environmental change and expansion. Peers in the organisation might also utilise this assessment technique to appraise the assessees (Jamieson and Donald, 2020). There are self-assessment instruments available for those who are able to measure their initiative potential online, such as the National School Boards Association (Little, 2018).

Assessment Centre Evaluation Method

The Assessment Centre is a place where pioneers’ talents are evaluated and their latent ability may be discovered and developed. It is possible to examine the personality and attitude of potential workers via the use of methods such as quick self-portrait exposition, a discourse employment, a composition exercise, and other similar approaches. It may be possible to generate a comprehensive appraisal of each member’s competency by bringing together all of the disparate information (Grimard and Pellerin, 2018). It is possible for Nissan’s pioneers and their managers to detect the gap between their real presentation and the pre-set aims by establishing an evaluation community. This allows them to develop a more specific assessment of their capabilities. More than just identifying pioneers is done at the evaluation site when it comes to ascertaining who they are when it comes to identifying them (Myers and Pronovost, 2017).

The Principles of Leadership Assessment is a tool that is frequently used in assessment centres. When examining Nissan’s leaders’ personal leadership and development requirements, current and future primary and secondary school leaders might find this technique useful. It is analysed in depth in this simulation-based examination how well essential leadership qualities such as decision-making, task assignment, gaining subordinate commitments, and training are performed. Because the business environment changes constantly, the evaluation technique provides three platforms to meet the needs of different clients, namely “the Day-In-The Life Assessment Platform,” “the Written/Phone-Based Assessment Platform,” and “the Tailorable Phone-Based Assessment Platform.” These platforms are designed to meet the needs of different clients (Rybakova, Vinogradova and Sizikova, 2020).

  • Day-In-The-Life Assessment Platform:

Participation in management scenario simulations, which involve planning for internal and external customers, team member communication, team debate, and dealing with peers is the approach used by the assessment centre to evaluate the employees’ performance on the simulations they completed (Rybakova, Vinogradova and Sizikova, 2020).

  • Platform for written and phone-based evaluations:

First, participants complete a written evaluation project, then a telephone evaluation procedure that comprises two to three role-playing scenarios, following which the evaluation facility conducts a thorough examination of both phases outlined above (Kadhum, Sinclair and Narshi, 2019).

  • Tailorable Phone-Based Assessment Platform:

It has been designed specifically for those individuals who are unable to engage in the live simulation. It makes use of telephone role-playing, and the evaluation centre assesses the participants’ performance before issuing an assessment report to the participants (Karagianni and Jude Montgomery, 2018).

Leadership Evaluation Model

Every tool for initiative assessment has its restrictions in the current hypothetical literature on administration assessment. For example, some tests focus on administrative traits like interpersonal skills, while others focus on the specific authority practises displayed by successful pioneers; some concentration on how pioneers utilise power, and different tests assume that initiative changes with context. For this reason, it’s critical to clearly define the scope of the aforementioned endeavour in order to fully appreciate the findings of the evaluation (Karagianni and Jude Montgomery, 2018)

Experts also examine the impact of pioneers’ actions on their supporters and other association partners in current research. Some of the results they look at include the growth of the organisation, the ability to respond to crises or emergencies, the satisfaction of supporters with the leader, their support for the group’s goals, and their emotional well-being. and Development, the presence of the leader in the middle and top positions of the group, that is, the advancement of the leader in the organisation, and so on, produce the unusual issue of so many evaluation scales, which means the subsequent experts are not adequate (Huggins et al., 2017).


Researchers have devised a method for assessing new ideas (Innovative Leadership Assessment). All of the following topics must be addressed by the pioneers in this assessment framework: measuring the executives, providing motivation, building trust, and providing a reason for self-assessment are all important matters to be discussed with the board of directors: “Information Management,” “Change Management,” “Progress,” “Innovation,” “Continuous Improvement,” and “Obstacle Removal, Charting the Course.” The higher the score, the more public perception of the advancing administration is favourable. The 360-degree evaluation of a leader is a relatively recent technique to leadership evaluation. With this method, the flaws of commonly used single-source evaluation approaches are addressed in a way that is fair, accurate, believable, and beneficial. A good alternative if time is of the essence is to do a 360-degree evaluation. For leadership evaluation purposes, the 360-degree Evaluation Method is a highly effective objective instrument due to the strong subjective flavour of self-evaluation that it incorporates.


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