Why leadership and management skills are vital for business success

If leadership could be summed up in one simple thought, it would be setting an example for others to follow.

It’s an important concept, especially in tough economic times, when companies are struggling and employees are worried about their careers and their next paycheck.

When uncertainty is pervasive and the future lacks predictability, employees need reassurance that their interests, as well as those of upper management, are valued and being protected.

“The only safe ship in a storm is leadership,” says Faye Wattleton, president of the Centre for the Advancement of Women.

Setting the example means you don’t ask someone to do something you wouldn’t willingly do yourself.

This means setting a standard of excellence for others to aspire to, while giving them the tools, motivation and inspiration to follow you.

Employees want their leaders to be truthful and respect them, regardless of their relative position within the organisation.

Respect works both ways, and it must be earned.

“Leadership is not position,” says Stephen Covey, author of several bestselling leadership books. “It’s moral authority. Moral authority comes from following universal and timeless principles like honesty, integrity and treating people with respect.”

When We Think of Great Leaders If you ask anyone you know to name two or three great leaders from American history, invariably they will name people from politics and the military.

You may hear names such as George Washington, Abraham Lincoln, George Patton, Robert E. Lee, Martin Luther King and Franklin D. Roosevelt.

They are responsible for some of the most enduring actions of tremendous consequence made in times of national crisis.

Perhaps this is why we associate the idea of leadership with people who were in positions of power during crises.

Why are business leaders rarely mentioned in the same breath with these people?

Most likely it’s because we usually equate running a business with management, rather than leadership.