Management skills are used to plan, build, and direct organizational systems to accomplish missions and goals, while leadership skills are used to focus on a potential change by establishing direction, aligning people, and motivating and inspiring.
Leadership and management must go hand in hand.
Updated August 8, 2022.
Leadership is the ability to influence or guide people within an organization or business, while management is the ability to control day-to-day processes and keep employees on track to achieve company goals.
The transactional theory of leadership, also called the management theory, studies leadership as a system of rewards and penalties.
It views effective leadership as results-focused and hierarchical.
Transactional leaders prioritise order and structure over creativity.