Module II- Green programs and social initiatives

1. Eco-friendly and socially responsible programs for the

companies
2. Importance of leadership and expert guidance
3. Self-Assessment of company’s sustainable efforts and identify
areas to focus to become green
4. Eliminate operational carbon emissions from the facilities

Eco-Friendly and Socially Responsible Programs for Companies

Environmental and Social Responsibility means a Company's commitment to taking part

in sustainable economic development in order to improve the quality of life and
environment, which will be beneficial for the Company itself, the local community and
society in general.

Corporate social responsibility (CSR)

Corporate social responsibility: environmental impact

Guide

Corporate social responsibility (CSR) can refer to a wide range of

actions that businesses may take - from donating to charity to ethical
trading. One primary focus of CSR is the environment.

What is environmental CSR?

Environmental CSR aims to reduce any damaging effects on the

environment from your business processes. Activities may focus on:

 energy use

 water use

 waste management

1
  recycling

 emissions

 eco-friendly office and business travel policies

Some of these are significant from both environmental and financial

points of view.

Advantages of environmental CSR

Green CSR can reduce business risk, improve reputation and provide
opportunities for cost savings. Even the simplest energy efficiency
measures can generate savings and make a difference to your business.
For example:

 switching off lights and equipment when not in use

 reducing the use of water

 reducing the amount of paper you waste

Caring about the environment can increase revenue too. Many

customers prefer to buy from responsible companies.

For more information, find out how to improve your environmental

performance.

How to reduce your environmental impact

You can reduce your business' environmental impact in many ways. For
example, you can:

 create products that can be recycled

 optimise your product life cycle

 source responsibly (e. g using recycled materials and sustainable

timber)

 reduce packaging

 buy locally to save fuel costs

 create an efficient (and fuel-efficient) distribution network

 work with environmentally conscious suppliers and distributors

2
If you'd like to assess your environmental impact, find out how to carry
out an environmental review of your business

Related to Environmental and Social Responsibility Corporate Social

Responsibility means Corporate Social Responsibility (CSR) as defined in
Section 135 of the Companies Act, 2013 and Companies Corporate Social
Responsibility Policy) Rules, 2014;

Corporate Social Responsibility (CSR means the activities undertaken by a

Company in pursuance of its statutory obligation laid down in section 135 of
the Act in accordance with the provisions contained in these rules, but shall
not include the following, namely:- Financial responsibility means the ability
to respond in damages for liability thereafter incurred Environmental and
Social Management Plan means the Recipient’s document prepared in
accordance with the Environmental and Social Management Framework with
respect to an activity, that details: (i) the measures to be taken during the
implementation and operation of the activity to eliminate or offset adverse
environmental or social impacts, or to reduce them to acceptable levels, and
(ii) the actions needed to implement these measures. Environmental and
Social Standards means, collectively: (i) “Environmental and Social Standard
1: Assessment and Management of Environmental and Social Risks and
Impacts”; (ii) “Environmental and Social Standard

2: Labor and Working Conditions”; (iii) “Environmental and Social Standard

3: Resource Efficiency and Pollution Prevention and Management”; (iv)

“Environmental and Social Standard

4: Community Health and Safety”; (v) “Environmental and Social Standard

5: Land Acquisition, Restrictions on Land Use and Involuntary Resettlement”;

(vi) “Environmental and Social Standard

6: Biodiversity Conservation and Sustainable Management of Living Natural

Resources”; Official responsibility means administrative or operating

3
authority, whether intermediate or final, to initiate, approve, disapprove or
otherwise affect a procurement transaction, or any claim resulting therefrom.

Environmental and Social Management Framework and “ESMF” means the

Recipient’s framework dated November 30, 2010, which:

(i) sets forth standards, methods and procedures specifying how

technological research activities under the Project whose location,
number and scale are presently unknown shall systematically
address environmental and social issues in the screening and
categorization, sitting, design, implementation and monitoring
phases during Project implementation;
(ii) (ii) systematizes the environmental and social impact assessment
required for such activities before Project execution; and
(iii) (iii) stipulates the procedures for conducting site-specific
environmental impact assessments, be they limited environmental
impact assessments or full environmental impact assessment.
parental responsibility , in relation to a child, means all the duties,
powers, responsibilities and authority which, by law, parents have in
relation to children. Environmental and Social Impact Assessment or
“ESIA” means a site-specific report, to be prepared in accordance
with the parameters laid down in the ESMF (as hereinafter defined)
and acceptable to the Association, identifying and assessing the
potential environmental and social impacts of the activities to be
undertaken for the Project, evaluating alternatives, and designing
appropriate mitigation, management, and monitoring measures.
Environmental and Safety Requirements means all federal, state,
local and foreign statutes, regulations, ordinances, codes and other
provisions having the force and effect of law, all judicial and
administrative orders and determinations, all contractual obligations
and all common law concerning public health and safety, worker
health and safety, and pollution or protection of the environment,
including all those relating to the presence, use, production,
generation, handling, transportation, treatment, storage, disposal,
distribution, labeling, testing, processing, discharge, release,
threatened release, control or cleanup of, or exposure to, any

4
 hazardous materials, substances or wastes, chemical substances or
mixtures, pesticides, pollutants, contaminants, toxic chemicals,
petroleum products or byproducts, asbestos, polychlorinated
biphenyls, noise or radiation, as previously, now or hereafter in
effect. Environmental, Health and Safety Laws means the
Comprehensive Environmental Response,
(iv) Compensation and Liability Act of 1980, the Resource Conservation
and Recovery Act of 1976, and
(v) the Occupational Safety and Health Act of 1970, each as amended,
together with all other laws (including rules, regulations, codes,
plans, injunctions, judgments, orders, decrees, rulings, and charges
thereunder) of federal, state, local, and foreign governments (and
all agencies thereof) concerning pollution or protection of the
environment, public health and safety, or employee health and
safety, including laws relating to emissions, discharges, releases, or
threatened releases of pollutants, contaminants, or chemical,
industrial, hazardous, or toxic materials or wastes into ambient air,
surface water, ground water, or lands or otherwise relating to the
manufacture, processing, distribution, use, treatment, storage,
disposal, transport, or handling of pollutants, contaminants, or
chemical, industrial, hazardous, or toxic materials or wastes.
(vi) Environmental and Safety Laws means any federal, state or local
laws, ordinances, codes, regulations, rules, policies and orders that
are intended to assure the protection of the environment, or that
classify, regulate, call for the remediation of, require reporting with
respect to, or list or define air, water, groundwater, solid waste,
hazardous or toxic substances, materials, wastes, pollutants or
contaminants, or which are intended to assure the safety of
employees, workers or other persons, including the public.

Environmental and Social Commitment Plan or “ESCP” means the

environmental and social commitment plan for the Project, dated May 14,
2020, as the same may be amended from time to time in accordance with
the provisions thereof, which sets out the material measures and actions

5
that the Borrower shall carry out or cause to be carried out to address the
potential environmental and social risks and impacts of the Project,
including the timeframes of the actions and measures, institutional,
staffing, training, monitoring and reporting arrangements, and any
environmental and social instruments to be prepared thereunder.
Environmental, Health, and Safety Requirements means all federal, state,
local and foreign statutes, regulations, ordinances and other provisions
having the force or effect of law, all judicial and administrative orders and
determinations, all contractual obligations and all common law concerning
public health and safety, worker health and safety, and pollution or
protection of the environment, including without limitation all those
relating to the presence, use, production, generation, handling,
transportation, treatment, storage, disposal, distribution, labeling, testing,
processing, discharge, release, threatened release, control, or cleanup of
any hazardous materials, substances or wastes, chemical substances or
mixtures, pesticides, pollutants, contaminants, toxic chemicals, petroleum
products or byproducts, asbestos, polychlorinated biphenyls, noise or
radiation, each as amended and as now or hereafter in effect. Health and
Safety Plan means a documented plan which addresses hazards identified
and includes safe work procedures to mitigate, reduce or control the
hazards identified; Remedial response means a measure to stop and
correct prohibited conduct, prevent prohibited conduct from recurring,
and protect, support, and intervene on behalf of a student who is the
target or victim of prohibited conduct. Environmental, Health and Safety
Liabilities means any cost, damages, expense, liability, obligation, or other
responsibility arising from or under Environmental Law or Occupational
Safety and Health Law and consisting of or relating to: Health and Safety
means, in relation to a recipient or a third person, the prevention of death
or serious personal injury, health and safety specification means a site,
activity or project specific document prepared by the client pertaining to
all health and safety requirements related to construction work;
Institutional Responsibilities means an Investigator’s professional
responsibilities on behalf of the Institution, including activities such as
research, teaching, clinical or other professional practice, academic
activities, scholarly events, institutional committee memberships, and

6
 service on panels such as Institutional Review Boards or Data and Safety
Monitoring Boards. Proof of financial responsibility means proof of ability
to respond in damages for liability, on account of accidents occurring after
the effective date of the proof, arising out of the ownership, maintenance,
or use of a motor vehicle, in the amount of twenty-five thousand dollars
because of bodily injury to or death of one person in any one accident,
and, subject to the limit for one person, in the amount of fifty thousand
dollars because of bodily injury to or death of two or more persons in any
one accident, and in the amount of twenty-five thousand dollars because
of injury to or destruction of property of others in any one accident. health
and safety file means a file, or other record containing the information in
writing required by these Regulations "health and safety plan" means a
site, activity or project specific documented plan in accordance with the
client's health and safety specification; Occupational Health and Safety
Act means the Occupational Health and Safety Act, 1993 (Act No 85 of
1993); Environmental Safeguards means the principles and requirements
set forth in Chapter V, Appendix 1, and Appendix 4 (as applicable) of the
SPS; Health and Safety Laws means any Laws pertaining to safety and
health in the workplace, including the Occupational Safety and Health Act,
29 U.S.C. 651 et seq. (“OSHA”), and the Toxic Substances Control Act, 15
U.S.C. 2601, et seq. (“TSCA”). Imminent danger to the health and safety of
the public means the existence of any condition or practice, or any
violation of a permit or other requirement of this article, in a surface coal
mining and reclamation operation which could reasonably be expected to
cause substantial physical harm to persons outside the permit area before
such condition, practice, or violation can be abated. A reasonable
expectation of death or serious injury before abatement exists if a rational
person, subjected to the same conditions, or practices giving rise to the
peril, would not expose himself to the danger during the time necessary
for abatement.

Importance of leadership and expert guidance

What Is the Importance of Leadership?

7
Here are some reasons that highlight the importance of leadership:

1. Changemakers
The role of leadership is evolving. Leaders were previously perceived as
bosses or managers who follow the reward and punishment system.
However, they are now seen as individuals who propagate change in an
organization or team. They are unselfish individuals who use skills like
intuitiveness, analytics, and others to get akin to the latest market trends
that accommodate the organization’s goals and objectives and bring
innovation to business processes and the tasks performed by the
workforce to mitigate mundanity and introduce creativity.

2. Goal-oriented
Experts consider leaders as the bridge between the employer and the
employees. Moreover, they believe that effective leadership establishes a
personal connection with their fellow employees to set a goal or objective
that vicariously fulfils the needs and requirements of the workforce and
the company. It drives and motivates employees to achieve business
goals with limited resources.

3. Conflict resolvers
Although leaders may not be influential individuals in an organization,
they are good at solving conflicts between different business parties. It is
because they have a deep understanding of human behaviour and
cognition, which helps them understand the perspective of others and
come up with a solution easily.

4. Instigates a positive work environment

To retain employees, many companies employ leaders who are intuitive
and good communicators. The main reason is that talented and skilled
leaders instigate a positive work environment, increasing job satisfaction
and motivation among the employees.

5. Leads to organizational development

It is believed that good leaders lead organizational development and
growth in any business environment. They have appropriate skill sets that
increase the efficiency and productivity of many business processes,
inciting organizational growth and development.
The growing importance of intelligent leadership models has encouraged
business organizations to employ leaders with various skills that offer a
competitive advantage and increase business efficiency and productivity.
Now that you are aware of the reasons that make the inclusion of
leadership in business important, let’s delve deep into understanding the
different roles played by leaders in an organization.

What is the Role of Leadership in An

Organization?

8
The complex business environment requires leaders to perform a variety
of roles in an organization. Here are some of the roles played by a leader
in an organization:

• Visionary
As visionary leaders put to use skills like active listening and
communication to offer innovative ideas and processes to integrate
change and novelty into different business functions. Furthermore, they
work with the team to turn the company’s vision into reality.

• Architect
As architects, leaders act as a reckoning force that plans and executes
business objectives and goals with employee assistance. They play the
role of a designer in business planning and forecasting the future
trajectory of the business.

• Coach
As a coach, leaders manage the employees; they listen to their grievances
and work closely with them to guide them into achieving their goals.

• Catalyst
As a catalyst, leaders perform four important functions – remove
roadblocks that hinder the project results, develop connections across the
organization, connect the employee’s vision to that of the company, and
instigate a positive working environment in the company

Leadership Basics

What is Leadership
Leadership is a process by which an executive can direct, guide and influence the
behavior and work of others towards accomplishment of specific goals in a given
situation. Leadership is the ability of a manager to induce the subordinates to work with
confidence and zeal.

Leadership is the potential to influence behaviour of others. It is also defined as the

capacity to influence a group towards the realization of a goal. Leaders are required to
develop future visions, and to motivate the organizational members to want to achieve
the visions.

According to Keith Davis, “Leadership is the ability to persuade others to seek defined
objectives enthusiastically. It is the human factor which binds a group together and
motivates it towards goals.”

Characteristics of Leadership
9
 1. It is a inter-personal process in which a manager is into influencing and
guiding workers towards attainment of goals.
2. It denotes a few qualities to be present in a person which includes
intelligence, maturity and personality.
3. It is a group process. It involves two or more people interacting with each
other.
4. A leader is involved in shaping and moulding the behaviour of the group
towards accomplishment of organizational goals.
5. Leadership is situation bound. There is no best style of leadership. It all
depends upon tackling with the situations.

Importance of Leadership
Leadership is an important function of management which helps to maximize efficiency
and to achieve organizational goals.

The following points justify the importance of leadership in a concern.

1. Initiates action- Leader is a person who starts the work by communicating

the policies and plans to the subordinates from where the work actually
starts.
2. Motivation- A leader proves to be playing an incentive role in the concern’s
working. He motivates the employees with economic and non-economic
rewards and thereby gets the work from the subordinates.
3. Providing guidance- A leader has to not only supervise but also play a
guiding role for the subordinates. Guidance here means instructing the
subordinates the way they have to perform their work effectively and
efficiently.

4. Creating confidence- Confidence is an important factor which can be

achieved through expressing the work efforts to the subordinates, explaining
them clearly their role and giving them guidelines to achieve the goals
effectively. It is also important to hear the employees with regards to their
complaints and problems.
5. Building morale- Morale denotes willing co-operation of the employees
towards their work and getting them into confidence and winning their trust.
A leader can be a morale booster by achieving full co-operation so that they
perform with best of their abilities as they work to achieve goals.

10
 6. Builds work environment- Management is getting things done from
people. An efficient work environment helps in sound and stable growth.
Therefore, human relations should be kept into mind by a leader. He should
have personal contacts with employees and should listen to their problems
and solve them. He should treat employees on humanitarian terms.
7. Co-ordination- Co-ordination can be achieved through reconciling personal
interests with organizational goals. This synchronization can be achieved
through proper and effective co-ordination which should be primary motive of
a leader

Role of a Leader
Following are the main roles of a leader in an organization :

1. Required at all levels- Leadership is a function which is important at

all levels of management. In the top level, it is important for getting co-
operation in formulation of plans and policies. In the middle and lower level, it
is required for interpretation and execution of plans and programmes framed
by the top management. Leadership can be exercised through guidance and
counseling of the subordinates at the time of execution of plans.
2. Representative of the organization- A leader, i.e., a manager is said to be
the representative of the enterprise. He has to represent the concern at
seminars, conferences, general meetings, etc. His role is to communicate the
rationale of the enterprise to outside public. He is also representative of the
own department which he leads.
3. Integrates and reconciles the personal goals with organizational
goals- A leader through leadership traits helps in reconciling/ integrating the
personal goals of the employees with the organizational goals. He is trying to
co-ordinate the efforts of people towards a common purpose and thereby
achieves objectives. This can be done only if he can influence and get willing
co-operation and urge to accomplish the objectives.
4. He solicits support- A leader is a manager and besides that he is a person
who entertains and invites support and co-operation of subordinates. This he
can do by his personality, intelligence, maturity and experience which can
provide him positive result. In this regard, a leader has to invite suggestions
and if possible implement them into plans and programmes of enterprise.
This way, he can solicit full support of employees which results in willingness
to work and thereby effectiveness in running of a concern.
5. As a friend, philosopher and guide- A leader must possess the three
dimensional traits in him. He can be a friend by sharing the feelings, opinions
and desires with the employees. He can be a philosopher by utilizing his
intelligence and experience and thereby guiding the employees as and when
time requires. He can be a guide by supervising and communicating the
employees the plans and policies of top management and secure their co-
operation to achieve the goals of a concern. At times he can also play the role
of a counselor by counseling and a problem-solving approach. He can listen
to the problems of the employees and try to solve them

Qualities of a Leader
A leader has got multidimensional traits in him which makes him appealing and effective
in behavior. The following are the requisites to be present in a good leader:

11
 1. Physical appearance- A leader must have a pleasing appearance. Physique
and health are very important for a good leader.
2. Vision and foresight- A leader cannot maintain influence unless he exhibits
that he is forward looking. He has to visualize situations and thereby has to
frame logical programmes.
3. Intelligence- A leader should be intelligent enough to examine problems
and difficult situations. He should be analytical who weighs pros and cons and
then summarizes the situation. Therefore, a positive bent of mind and mature
outlook is very important.
4. Communicative skills- A leader must be able to communicate the policies
and procedures clearly, precisely and effectively. This can be helpful in
persuasion and stimulation.
5. Objective- A leader has to be having a fair outlook which is free from bias
and which does not reflects his willingness towards a particular individual. He
should develop his own opinion and should base his judgement on facts and
logic.
6. Knowledge of work- A leader should be very precisely knowing the nature
of work of his subordinates because it is then he can win the trust and
confidence of his subordinates.
7. Sense of responsibility- Responsibility and accountability towards an
individual’s work is very important to bring a sense of influence. A leader
must have a sense of responsibility towards organizational goals because
only then he can get maximum of capabilities exploited in a real sense. For
this, he has to motivate himself and arouse and urge to give best of his
abilities. Only then he can motivate the subordinates to the best.
8. Self-confidence and will-power- Confidence in himself is important to earn
the confidence of the subordinates. He should be trustworthy and should
handle the situations with full will power.
9. Humanist-This trait to be present in a leader is essential because he deals
with human beings and is in personal contact with them. He has to handle the
personal problems of his subordinates with great care and attention.
Therefore, treating the human beings on humanitarian grounds is essential
for building a congenial environment.
10. Empathy- It is an old adage “Stepping into the shoes of others”. This is very
important because fair judgement and objectivity comes only then. A leader
should understand the problems and complaints of employees and should
also have a complete view of the needs and aspirations of the employees.
This helps in improving human relations and personal contacts with the
employees.
From the above qualities present in a leader, one can understand the scope of leadership
and it’s importance for scope of business. A leader cannot have all traits at one time. But
a few of them helps in achieving effective results.

Leadership and Management -

Relationship & Differences
Leadership and management are the terms that are often considered synonymous. It is
essential to understand that leadership is an essential part of effective management.

As a crucial component of management, remarkable leadership behaviour stresses upon

building an environment in which each and every employee develops and

12
excels. Leadership is defined as the potential to influence and drive the group efforts
towards the accomplishment of goals. This influence may originate from formal sources,
such as that provided by acquisition of managerial position in an organization.

A manager must have traits of a leader, i.e., he/she must possess leadership qualities.
Leaders develop and begin strategies that build and sustain competitive advantage.
Organizations require robust leadership and robust management for optimal
organizational efficiency.

Differences between Leadership and

Management
Leadership differs from management in a sense that:

1. While managers lay down the structure and delegates authority and
responsibility, leaders provides direction by developing the organizational
vision and communicating it to the employees and inspiring them to achieve
it.
2. While management includes focus on planning, organizing, staffing, directing
and controlling; leadership is mainly a part of directing function of
management. Leaders focus on listening, building relationships, teamwork,
inspiring, motivating and persuading the followers.
3. While a leader gets his authority from his followers, a manager gets his
authority by virtue of his position in the organization.
4. While managers follow the organization’s policies and procedure, the leaders
follow their own instinct.
5. Management is more of science as the managers are exact, planned,
standard, logical and more of mind. Leadership, on the other hand, is an art.
In an organization, if the managers are required, then leaders are a
must/essential.
6. While management deals with the technical dimension in an organization or
the job content; leadership deals with the people aspect in an organization.
7. While management measures/evaluates people by their name, past records,
present performance; leadership sees and evaluates individuals as having
potential for things that can’t be measured, i.e., it deals with future and the
performance of people if their potential is fully extracted.
8. If management is reactive, leadership is proactive.
9. Management is based more on written communication, while leadership is
based more on verbal communication.
The organizations which are over managed and under-led do not perform upto the
benchmark. Leadership accompanied by management sets a new direction and
makes efficient use of resources to achieve it. Both leadership and management
are essential for individual as well as organizational success.

Leader versus Manager

“Leadership and managership are two synonymous terms” is an incorrect statement.
Leadership doesn’t require any managerial position to act as a leader. On the other hand,
a manager can be a true manager only if he has got the traits of leader in him. By virtue
of his/her position, manager has to provide leadership to his group.

13
A manager has to perform all five functions to achieve goals, i.e., Planning, Organizing,
Staffing, Directing, and Controlling. Leadership is a part of these functions.

Leadership as a general term is not related to managership. A person can be a leader by

virtue of qualities in him. For example: leader of a club, class, welfare association, social
organization, etc. Therefore, it is true to say that, “All managers are leaders, but all
leaders are not managers.”

A leader is one who influences the behavior and work of others in group efforts towards
achievement of specified goals in a given situation. On the other hand, manager can be a
true manager only if he has got traits of leader in him. Manager at all levels are expected
to be the leaders of work groups so that subordinates willingly carry instructions and
accept their guidance. A person can be a leader by virtue of all qualities in him.

Leaders and Managers can be compared on the following basis:

Basis Manager Leader

A person becomes a manager by virtue of A person becomes a leader on basis of his

Origin
his position. personal qualities.

Manager has got formal rights in an

Formal Rights Rights are not available to a leader.
organization because of his status.

The subordinates are the followers of The group of employees whom the leaders
Followers
managers. leads are his followers.

A manager performs all five functions of Leader influences people to work willingly
Functions
management. for group objectives.

A leader is required to create cordial relation

Necessity A manager is very essential to a concern. between person working in and for
organization.

Stability It is more stable. Leadership is temporary.

Mutual
All managers are leaders. All leaders are not managers.
Relationship

Manager is accountable for self and

Accountability Leaders have no well defined accountability.
subordinates behaviour and performance.

A manager’s concern is organizational A leader’s concern is group goals and

Concern
goals. member’s satisfaction.

People follow manager by virtue of job

Followers People follow them on voluntary basis.
description.

Role A manager can continue in office till he A leader can maintain his position only

14
 performs his duties satisfactorily in
continuation through day to day wishes of followers.
congruence with organizational goals.

A leader has command over different

Manager has command over allocation
Sanctions sanctions and related task records. These
and distribution of sanctions.
sanctions are essentially of informal nature.

Authority vs Leadership
The authority exercised is a kind of legitimate power and people follow figures exercising
it, because their positions demand so irrespective of the person holding the
position. Leaders in organizations and elsewhere may have formal authorities
but they mostly rely on the informal authority that they exercise on people to
influence them.

Leaders are trusted for their judgment and respected for their expertise, integrity etc and
hence followed and not because they hold a certain position. For e.g. M.K. Gandhi for
most part did not hold any official position to lead the Indian freedom struggle.

It is also important to understand that a formal authority and power emerging from it,
might not always be able to influence people in the desired manner as; in times of crisis
and difficulties people view it as coercion. On the other hand leadership tends to create
followers out of free will and choice without forcing them to accept anything thrown their
way.

Authority rarely provides a scope for feedback, constructive criticism or opinions of the
people on whom it is exercised however leaders provide ample platform to their followers
to voice their thoughts and feedback.

When dealing with adults, the sole use of authority to direct and discipline them hardly
works, leadership provides a better approach of sharing and involving thus building
rapports with followers and creating long term relationships. Authority can hardly make
people change their attitudes and behaviors with lasting effects and results however a
leader inspires followers through self modeled ways and hence leadership displays
greater effectiveness in addressing attitudes and behaviors of people.

Exercising authority sometimes limits the approaches to arrive at solutions for issues and
problems while leadership encourages people to look beyond the obvious and think
innovatively and sometimes emerge with radical solutions.

Apart from it, the biggest difference between the two as cited by Stephen R Covey is the
moral authority held by leaders over the followers which is absent in the case of power
from authority.

Within the organizational setup when leaders also have moral authority on their
subordinates by establishing a synchrony in their words and actions; the rest of the
structure and processes of the organization also get aligned to it, thus creating a robust
and transparent culture.

15
Authoritative way of working also encourages individuals to work in silos while in the
organizations of today; the leaders need to have a complete picture and coordinate with
other functions and departments as and when required. It is indeed difficult for mangers
and leaders to move out of their circle of authority and coordinate and interact with
external people. However the need of the hour and the more effective approach to
leadership and management is when leaders come out of their comfort zone and move
from exercising authority on a small group to leading the entire organization.

Individuals, who do not rely on authority but lead people, are the ones who
enjoy the privilege of their ideologies and thoughts practiced by later
generations long after they are gone. Even with individuals who held positions of
responsibilities, the ones who actually led their people are the ones remembered and
followed.

Leadership and Motivation

Motivation is a goal-oriented characteristic that helps a person achieve his objectives. It
pushes an individual to work hard at achieving his or her goals. An executive must have
the right leadership traits to influence motivation. However, there is no specific blueprint
for motivation.

As a leader, one should keep an open perspective on human nature. Knowing different
needs of subordinates will certainly make the decision-making process easier.

Both an employee as well as manager must possess leadership and motivational traits.

An effective leader must have a thorough knowledge of motivational factors for others.
He must understand the basic needs of employees, peers and his superiors. Leadership is
used as a means of motivating others.

Given below are important guidelines that outline the basic view of motivation:

 Harmonize and match the subordinate needs with the

organizational needs. As a leader, the executive must ensure that the
business has the same morals and ethics that he seeks in his employees. He
should make sure that his subordinates are encouraged and trained in a
manner that meets the needs of the business.
 Appreciation and rewards are key motivators that influence a person to
achieve a desired goal. Rewarding good/ exceptional behavior with a small
token of appreciation, certificate or letter can be a great motivator. If a
certificate is awarded to a person, it should mention the particular act or the
quality for which the individual is being rewarded.
 Being a role model is also a key motivator that influences people in
reaching their goals. A leader should set a good example to ensure his
people to grow and achieve their goals effectively.
 Encouraging individuals to get involved in planning and important issues
resolution procedure not only motivates them, but also teaches the
intricacies of these key decision-making factors. Moreover, it will help
everyone to get better understanding of their role in the organization. The
communication will be unambiguous and will certainly attract
acknowledgement and appreciation from the leader.

16
  Developing moral and team spirit certainly has a key impact on the
well-being of an organization. The metal or emotional state of a person
constitutes his or her moral fabric. A leader’s actions and decisions affect
the morale of his subordinates. Hence, he should always be aware of his
decisions and activities. Team spirit is the soul of the organization. The
leader should always make sure his subordinates enjoy performing their
duties as a team and make themselves a part of the organization’s plans.
 A leader should step into the shoes of the subordinates and view
things from subordinate’s angle. He should empathize with them during
difficult times. Empathizing with their personal problems makes them
stronger-mentally and emotionally.
 A meaningful and challenging job accomplished inculcates a sense of
achievement among employees. The executive must make their
employees feel they are performing an important work that is
necessary for the organization’s well-being and success. This motivational
aspect drives them to fulfill goals.

Remember, “To become an efficient leader, you must be self-motivated”. You

must know your identity, your needs and you must have a strong urge to do anything to
achieve your goals. Once you are self-motivated, only then you can motivate others to
achieve their goals and to harmonize their personal goals with the common goals of the
organization

Emotional Intelligence for Leaders

An organization is made up of people and when people are involved, emotions
automatically come into play, and a workplace is no different. It would be unwise to
assume that a workplace is all objective, no-emotion only performance kind of a packed
room where hormones have no scope to creep in however the fact is that emotions alone
are the biggest motivator or de-motivator of an employee.

The emotions alone, govern the performance and efficiency of a worker and had it not
been the case, we would have never talked about the importance of work-life balance
and for the present context, the need of emotionally intelligent leaders.

The current times are very dynamic not just economically but also socially where the
social fabric is rapidly evolving due to globalization and other influences. The average
age of the workforce is reducing and the leaders now look forward to managing people
belonging to different cultures and backgrounds. In such a situation, it is important for a
leader to be highly sensitized to the emotional aspects of his/her transactions with
people.

Emotional Intelligence is basically the ability to recognize and understand

one’s own feelings and emotions as well as those of others and use that
information to manage emotions and relationships. The 4 important aspects of EI
as proposed by Daniel Goleman are:

 Self Awareness
 Self Management
 Social Awareness
 Relationship Management or Social Skills

17
A leader tends to have a huge influence on the thoughts and motivation of people.
He/she has the capacity to enthuse optimism and confidence in the followers and lead
them to constructive endeavors which is called resonance and on the other hand they
can negatively influence them to destruct, e.g of such leaders being Hitler and d Osama
Bin Laden which is opposite to resonance called desonance.

Leaders are closely observed in terms of their body language, facial expressions etc.
So, it is important for a leader to consider the non-verbal form of expressions
as well, which may positively or negatively influence followers. Therefore, if a
leader is talking about ethics in business with a slightly unconvinced and bemused look
on his face, the followers make a note of it and the message is not received by them. A
leader has to act as a role model too, supporting his statements, ideologies and values
with appropriate actions.

As a leader one also has to be aware of one’s own capabilities and weaknesses, it is
difficult to accept guidance from a leader who is not self aware. As managers, leaders
have to empathize as well with the situations, emotions, aspirations and motivations of
the subordinates.

A decreasing performance of a team member might be because of a number of reasons,

a disruptive worker might be facing motivation issues and a subordinate who uses
abusive language with others might be lacking confidence in his own abilities. A leader
needs to discern facts and try and reach to deeper levels and understand things beyond
obvious.

Apart from the above reasons, Emotional Intelligence is also important because the
followers or subordinate expect it from their leaders. A subordinate working closely with
the manager would expect the manager to understand his situation and priorities. And
not surprisingly, whether manger does so or not, affects his level of commitment and
performance at work.

A leader has to suitably know and understand when he/she needs to be

directive and when he needs to delegate. He/she needs to be aware, when the team
members are acting as one unit and when there are differences.

It is sometimes awkward to address emotional aspects of transactions between people

but leaders need to understand the importance and relevance of it as it has a huge
impact on the performance outcomes.

While conducting reviews and development dialogues, the feedback has to be delivered
in a manner which is acceptable. The leader needs to be sensitive to the
insecurities and apprehensions of the subordinates which sometimes might be

18
expressed and sometimes kept undisclosed. At the senior level it is all the more
important as the senior executives find it hard to clearly outline their anxieties and
differences and the leader has to anticipate some of them.

So, to be able to attract and retain talented subordinates and keep them motivated, a
leader needs to brush up on his people skills and emotional intelligence, as all of them
are not born with the charisma to hold people. Fortunately, emotional intelligence with
practice and carefully directed efforts can be increased.

Organizational Leadership
Organizations need strong leadership for optimum effectiveness. Leadership, as we
know, is a trait which is both inbuilt and can be acquired also. Organizational
leadership deals with both human psychology as well as expert tactics. Organizational
leadership emphasizes on developing leadership skills and abilities that are relevant
across the organizations. It means the potential of the individuals to face the hard times
in the industry and still grow during those times. It clearly identifies and distinguishes the
leaders from the managers. The leader should have potential to control the group of
individuals.

An ideal organizational leader should not dominate over others. He should guide the
individuals under him, give them a sense of direction to achieve organizational goals
successfully and should act responsibly. He should be optimistic for sure. He should be
empathetic and should understand the need of the group members. An organizational
leader should not only lead others individually but also manage the actions of the group.

Individuals who are highly ambitious, have high energy level, an urge to lead, self-
confidence, intelligence, have thorough knowledge of job, are honest and flexible are
more likely to succeed as organizational leaders. Individuals who learn the organizational
leadership develop abilities and skills of teamwork, effective communication, conflict
resolution, and group problem solving techniques.

Organizational leaders clearly communicate organizational mission, vision and policies;

build employees morale, ensure efficient business operations; help employees grow
professionally and contribute positively towards organizations mission.

Tips for Effective Organizational Leadership

1. A leader must lead himself, only then he can lead others. He must be
committed on personal and professional front, and must be responsible. He
must be a role model for others and set an example for them.
2. A leader must boost up the morale of the employees. He should
motivate them well so that they are committed to the organization. He should
be well acquainted with them, have concern for them and encourage them to
take initiatives. This will result in more efficient and effective employees and
ensure organizational success.
3. A leader must work as a team. He should always support his team and
respect them. He should not hurt any employee. A true leader should not be
too bossy and should not consider him as the supreme authority. He should
realize that he is part of the organization as a whole.

19
Organizational leadership involves all the processes and possible results that lead to
development and achievement of organizational goals. It includes employees’
involvement, genuineness, effective listening and strategic communication.

Leadership Ethics - Traits of an

Ethical Leader
Ethics refer to the desirable and appropriate values and morals according to an individual
or the society at large. Ethics deal with the purity of individuals and their intentions.
Ethics serve as guidelines for analyzing “what is good or bad” in a specific scenario.
Correlating ethics with leadership, we find that ethics is all about the leader’s identity
and the leader’s role.

Ethical theories on leadership talk about two main things: (a) The actions and behaviour
of leaders; and (b) the personality and character of leaders. It is essential to note
that “Ethics are an essential to leadership”. A leader drives and influences the
subordinates/followers to achieve a common goal, be it in case of team work,
organizational quest, or any project. It is an ethical job of the leader to treat his
subordinates with respect as each of them has unique personality. The ethical
environment in an organization is built and developed by a leader as they have an
influential role in the organization and due to the fact that leaders have an influence in
developing the organizational values.

An effective and ethical leader has the following traits/characteristics:

Dignity and respectfulness: He respects others. An ethical leader should not use his followers as a
medium to achieve his personal goals. He should respect their feelings, decision and values. Respecting
the followers implies listening effectively to them, being compassionate to them, as well as being liberal in
hearing opposing viewpoints. In short, it implies treating the followers in a manner that authenticate their
values and beliefs.
Serving others: He serves others. An ethical leader should place his follower’s interests ahead of his
interests. He should be humane. He must act in a manner that is always fruitful for his followers.
Justice: He is fair and just. An ethical leader must treat all his followers equally. There should be no
personal bias. Wherever some followers are treated differently, the ground for differential treatment should
be fair, clear, and built on morality.
Community building: He develops community. An ethical leader considers his own purpose as well as
his followers’ purpose, while making efforts to achieve the goals suitable to both of them. He is
considerate to the community interests. He does not overlook the followers’ intentions. He works harder
for the community goals.
Honesty: He is loyal and honest. Honesty is essential to be an ethical and effective leader. Honest leaders
can be always relied upon and depended upon. They always earn respect of their followers. An honest
leader presents the fact and circumstances truly and completely, no matter how critical and harmful the
fact may be. He does not misrepresent any fact.
It is essential to note that leadership is all about values, and it is impossible to be a
leader if you lack the awareness and concern for your own personal values. Leadership
has a moral and ethical aspect. These ethics define leadership. Leaders can use the
above mentioned traits as yardsticks for influencing their own behaviour.

20
Leadership Strategy - Which
Leadership Style to Follow ?
Without an effective leadership strategy, it is believed, that the organizational strategies
do not work. Best players in a team do not guarantee success without a great coach,
similarly, work teams may not function effectively if leaders do not follow an appropriate
leadership strategy.

To understand leadership styles here are three scenarios:

Scenario 1 - A Teacher gives a question to the class full of students, however, solves it
for them;

Scenario 2 - A Teacher gives the question to the students and observes how students
solve them;

Scenario 3 - A Teacher gives a question to the students and moves around the class,
observes the students, and helps wherever required.

“Supportive Leadership
Scenario 1 was “Leading from the Front”, Scenario 2 was
Style”, and Scenario 3 was “Interactive Leadership Style”. Besides this the
leadership styles / strategies could be based on personality traits like Directive
Leadership, Structured Leadership, Intuitive Leadership, or Process Driven leadership.

Here are some tips while selecting leadership strategy / style:

A leader must be aware of his / her personality traits and those of his team members / followers to
understand which leadership style will be most effective.
A leader may not adopt a consistent leadership all through his / her career. Situational Leadership helps
addressing varied needs / expectations of the followers as he the leader adopts a strategy based on a
situation he / she is in. In case a leader has a self-reliant team, he needs to be using a directive leadership
style or lead form the front. He could instead delegate and provide inputs where necessary.
A common mistake especially a lot of new leaders make is to copy established / well know leaders.
Remember, each situation is unique and so are the followers. A leadership style which may be suited to a
well known leader may not be appropriate for your team. Make no mistake here - do not try and imitate
other leaders.
A leader will never be afraid of trying new approach to solve a work problem or address a conflicting
situation. It is quite a possibility that a leader adopts a style that is not by the book.
A leader must keep enhancing his / her leadership skills. While on the job experience matters a lot, getting
enrolled into leadership courses after detailed evaluation of the program and feedback of the participants
will help implementing a leadership style more effectively.

It is often said that good leaders are born and not made; however, good leaders are
those who are aware of their personality traits and also of their followers. They know
which leadership style is to be adopted in a particular situation. Once this is done, there
is a little challenge left for a leader to become a “good / great” leader.

21
22