Underlying Principles of Management Leadership

Released by: Manager@Work, The Edge
Date: 26 May 2008


In the previous installment of Going Global titled "High Performing Management Leadership: The Secret Code of Managership", we discussed the 10+10+8 requisite competencies of management leadership (`managership') that need to be learned, developed and practised by individuals in order to become high performing management leaders.

However, personal mastery of the 28 requisite competences of managership as an individual management leader is not the end of the journey! Beyond this, we must institutionalise and inculcate management leadership throughout the entire organisation.

How then do we meet such a challenge?

Eight Principles of Management Leadership
Essentially, the professional practice of management leadership in organisations needs to be guided by eight underlying principles:

Principle #1: Leadership and management are situational, mutually inclusive and symbiotic - like yin and yang.
Regardless of what academic literature says about the demarcation between `management' and `leadership', in practice the two are inextricably linked. Having distinct definitions does not mean that `management' and `leadership' operate separately. Although a good manager is not necessarily a good leader and vice versa, someone who has mastered the art of managership would be versatile in wielding either management or leadership competencies, depending on the context and situation.

Principle #2: Management leadership is dynamic and permeable, and should be cultivated and institutionalised as a pervasive behaviour throughout all levels of the organisation - not necessarily expected, confined and manifested only in senior management.
Having a few good management leaders is encouraging but this might not be sufficient to thrust one's organisation into the flywheel of organisational greatness. That is why the institutionalisation of management leadership - i.e. integrating it into the organisational culture - is crucial. During "The Greatness Challenge" seminar in Kuala Lumpur on 31 March 2008, Dr Stephen Covey attested that in today's Knowledge Age organisation, it is "the Culture that owns responsibility for results, therefore [it] self-manages," instead of just the boss who owns such responsibility, as was the tendency in the Industrial Age organisation. Managership behaviour needs to be pervasive.

Principle #3: Management leadership can be developed, taught and learned through programmes (content), action learning (process) and coaching (engagement).
Research has shown that we remember only 10% of what we read, 20% of what we hear and 30% of what we see. But if we put it into action, we can remember up to 90% of what is imparted. As such, learning through training and coaching programmes must be complemented by action learning and other approaches that get us to be holistically involved in learning and practicing management leadership.

Principle #4: Management leadership is based on the personal mastery and development qualities of values, attitude, knowledge, skills and capability (including communication, interpersonal skills and the ability to grow and nurture other leaders).
One of the hallmarks of outstanding management leaders is the ability to raise other management leaders. Having mastered the secret code of managership, great management leaders are able to discern the distinguishing attributes of upcoming leaders and are able to draw out these attributes without fear of being surpassed by their potential successors. Jeffrey Immelt was groomed by his predecessor, Jack Welch. Tan Sri Lim Kok Thay was nurtured by the late Tan Sri Lim Goh Tong. Many good CEOs have raised generations of young leaders and managers, some of whom surpass their mentors in fame while others remain lesser known but successful nonetheless. These leaders have achieved self-mastery of management leadership.

Principle #5: Management leadership is the proper use of referent (influence), authoritative (compliance) and expert (technical) powers to develop and optimise the best in people.
Good management leaders exhibit referent and influential power among their followers. Unscrupulous leaders who exploit their charisma are the archetypal cult leaders. On the other hand, good management leaders who wield authoritative power do so without being dictatorial or using fear to coerce their subordinates into submission. Moreover, exemplary management leaders possess authentic expertise that does not require them to exploit their subordinates' capabilities and claim sole credit for other people's work. When the work is done, they will claim we all did it.

Principle #6: Competent management leadership is the entitlement of every employee as managers are remunerated and empowered to be responsible for leading and making changes for improvement.
As much as an organisation rightfully expects its employees to offer their best, every employee has the right to expect competent management leadership at the top and every level. In turn, employees also can expect the right to be entrusted with responsibilities, to be stretched by challenges and to be developed into strong management leaders. Managership culture building is therefore a multilateral process. Often employees resign not because of the organisation but because of their inept managers.

Principle #7: Excellent management leadership is the requisite performing credential and competency for today's local and global leaders.
Amid the war for talent and a scarcity of the right talent, organisations that do not demonstrate good management leadership will not become the employer of choice. Discerning high-performing talents are reluctant to put themselves in career jeopardy by associating with organisations that place little emphasis on excellent managership. In today's globalised environment, we must pursue and practice excellence, as mediocrity cannot be tolerated.

Principle #8: Management leadership for all organisations is the new management paradigm for the 21st century to meet the new knowledge-based economy's challenges, recognising regional and global impact and opportunities.
No organisation, big or small, is exempted from the need for managership. It is relevant to all organisations - whether charitable or not-for-profit organisations, government agencies, LLCs, GLCs, PLCs - all of which are subject to the scrutiny of good corporate governance. And corporate governance is not just about transparency of financial accounting but also involves the institutionalisation of best management practices that lead to long-term, sustainable results.


A culture of managership will instill greater stakeholder confidence. In an article titled A Stinging Office Memo Boomerangs; Chief Executive is Criticised After Upbraiding Workers by E-mail, author Edward Wong an example of how the CEO of a public-listed company lambasted his managers' performance with a harsh e-mail. The e-mail found its way to the public who immediately sensed that an organisation with a CEO who undermines his own managers would suffer low staff morale, which would in turn affect organisational performance. Unsurprisingly, the company's share price slid by about 30%.

Although the road to excellence through managership seems long, winding and uphill, the journey ultimately reaps far reaching positive consequences for all stakeholders at all levels - individual, organisational, industry and national as we become competent global players.

The Malaysian Institute of Management's national charter and challenge will require MIM to be innovative and forward looking to prepare and develop Malaysian managers to be management leaders to competently deal with an increasing complex, fast changing and competitive business environment - if we are to navigate our way to compete successfully and to achieve Malaysia's 2020 vision of becoming a developed nation with a ready and talented pool of management leaders.

Dr Wilson Tay, MMIM, MIM-CPT is CEO of the Malaysian Institute of Management, the national management organisation of Malaysia. MIM invites companies and professional managers to be members. Contact MIM Membership Support and Outreach at (603) 2164 5255; fax (603) 2165 4681; e-mail: enquiries@mim.org.my or visit www.mim.org.my.

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