Are you a leader or a manager? asks Spader Business Management

By Jim McCann, Spader Business Management Facilitator

Four decades of consulting has revealed to us that people in positions of authority can be described as either a “leader” or a “manager,” and rarely both. Which type are you, and how effective are you?

Type #1: The Ineffective Leader/Ineffective Manager

Ineffective leaders and managers are the largest group by far. Why? Although both influence and get results through people, research (such as the American Management Association) has shown half of all leaders and managers don’t like to or want to work with others. They prefer, instead, to work on “things” or “tasks.” We often see these traits in business owners who have multiple investments and view the business as simply another investment: they don’t consistently demonstrate the characteristics of effective leaders OR effective managers.

Type #2: The Effective Manager/Ineffective Leader

The next most common type is people who develop differing levels of effectiveness as managers. These individuals enjoy achieving assigned tasks and find satisfaction in efficiency, profitability and doing things right. The trait is common among less experienced managers (including general managers) who grew up in the business and who tend to be more tactical at the expense of accomplishing long-term priorities. They often over-emphasize processes and financial indicators while neglecting the effects on the people who are essential to performance.

Type #3: The Effective Leader/Ineffective Manager

While managers live in the present, leaders are future-oriented change agents focused on longer-term possibilities. They know “what” to do but may not pay attention to the equally important practical details of how, who, when and what is currently achievable. Therefore, a strong leader typically needs a good manager. The effective leader’s focus is on priorities, impact and leading an extraordinary company. Although they are thinkers, not doers, effective leaders are critical to future business success in a fast-changing world.

Type #4: The Effective Leader/Effective Manager

In decades of working with companies, we have discovered that this type is indeed rare – perhaps only 1 to 2% of all owners or general managers. These performance strengths are broad and deep and they require a high level of adaptability to the continually changing circumstances in the business to achieve success. Because such people are rare, most organizations need strong management and leadership teams.

So which describes you? 

By now you may be able to say whether you are more of a manager or a leader. However, it may be more difficult to determine your level of effectiveness (low, average, high). In fact, our work with managers and leaders indicates roughly 78% of high-level managers rate themselves higher than is realistic. Through Spader Business Management you can obtain an objective, outsider’s view of your effectiveness. Give us a call at 1-800-772-3377.