Page 80 - (DK) The Business Book
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                                                    A LEADER IS ONE WHO

                                                KNOWS THE WAY,

                                                 GOES THE WAY,


                                                    AND SHOWS THE WAY

                                         EFFECTIVE LEADERSHIP








          IN CONTEXT

          FOCUS                                                                A leader’s charisma alone
                                               Effective leadership
          Leadership                                                           is not enough. Effective
                                                builds capacity
                                                   in others.                  leadership requires the
          KEY DATES                                                               establishment of...
          1520s Italian diplomat Niccolò
          Macchiavelli’s The Prince
          discusses the perils of
          leadership in political life.
          1916 French executive Henri
          Fayol’s work General and
          Industrial Management defines         Effective leadership               ...integrity, trust,
          a leader as someone who             requires action from                 empathy, and
          “should possess and infuse           the leader, not just                empowerment.
          into those around him courage            brainpower.
          to accept responsibility.”
          1950s and 60s The
          authoritative “Command and
          Control” school of management        or centuries scholars have   example, Henry Ford was renowned
          becomes popular. Charismatic         attempted to determine     for his charismatic leadership
          leaders dominate organizations   F the definitive styles,        style—there is a danger that
          through force of personality.   characteristics, and personality   rhetoric can exceed reality. Rather
          1980s and 90s Leadership       traits of great leaders. Yet, despite   than empowering their employees,
                                         thousands of studies, effective   charismatic leaders often
          thinkers, such as US professor
                                         leadership remains a subject of   micromanage tasks and prevent
          Warren Bennis, encourage
                                         debate. However, one common      their staff from gaining a sense of
          a leadership style based on
                                         theme is that effective leadership   achievement from their work.
          integrity, trust, and the ability
                                         requires action, not just intellect.  Charismatic leaders are often
          to build an organization’s
                                            Leaders cannot simply rely on   heralded as champions of
          capacity for change.
                                         charisma. While charismatic      organizational success, but that
                                         leadership has its place—for     charm can be a blessing and
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