Introduction
The study is based on investigating the Effect of Leadership on the Innovation Process in the Associated British Food Plc. The investigation will explore the purpose and role of leadership in the innovation process of Associated British Food Plc. The inquiry will be on defining the innovation process in the organization and how the administration or management aligns it with streamlining innovation. The reason for investigating the issue underpins the role and importance of leadership in the innovation process. The investigation identifies how innovation and leadership will improve process innovation in the company. The focus of the study will be on the leader-member exchange theory.
Aims and Objectives
The study aims to define the application of leader-member exchange theory within the organization.
The aims of the research are to:
- Comprehend the leader-member exchange theory application in Associated British Food Plc
- Expound on the effect of leader-member exchange theory on leadership in British Food Plc
- Distinguish the British leader-member exchange theory from the path-goal theory
Literature Review
The main theory of focus is the leader-member exchange theory. The literature will contrast the main theory with the path-goal approach, stratified to enable leaders to guide employees to reach organizational and personal goals. The leader-member exchange theory focuses on the relationship between members and the leadership.
Leader-Member Exchange Theory
The theory suggests that all relationships between managers and their subordinates depend on three stages: role taking, role making, and Routinization (Zhou et al., 2021). Role taking is the initial step of assaying the members as they join the team and assessing their skills. Role-making involves sorting members into two groups: in-group and outgroup (Robert et al., 2021). The people in the in-group have a similar work ethic to the manager and are given more opportunities and training than the rest of the team. Skilled, loyal and trustworthy members are in the in-group and are applied more often by the manager than the outgroup members (Bans-Akutey, 2021). The in-group often get more one-to-one time with the manager than the rest of the group. Incompetent or unmotivated employees are put in the outgroup. Those in the outgroup rarely receive opportunities for growth and development (Wang et al., 2019). The work of in-group members is maintaining respect, persistence, patience, and empathy to ensure reasonable opinions from the manager (Valle et al., 2019). If the perception is created, the outgroup dislikes or distrusts their managers and has changed departments or organizations. The in-group members are seen as risings tars and expected to perform faster and better than the rest. Support and advice are given to the in-group members, primarily those who can be given new opportunities for testing their skills and growing them. The outgroup has rarely been given a chance to grow and establish itself; hence the growth opportunities bypassed them. There is little effort put into the work of the outgroup, and they receive less challenging work.
Identification of the outgroup is necessary to determine why they have fallen out of the manager’s favor (Comstock et al., 2021). Managers must reestablish the lost connection between them and outgroup members (Gottfredson et al., 2020). The manager’s focus is supposed to work on the outgroup and establish reason as to why they are unmotivated and fall short of their assignments. Finding out if they require help with their assignments enables the outgroup to have increased motivation to work better. Development and training opportunities are necessary for leader-member management as it recognizes the need for development and career growth. Offering training to all members and guidance without discrimination enables them to effectively manage their time and be more motivated. Coaching and mentoring are assumable great for members as they can adequately achieve their goals. Testing and growing skills of those in the outgroup are considered applicable with low test activities.
Path-Goal Theory
Alternatively, the path-goal leadership theory suggests that leaders are the fundamental key motivator to encouraging their followers or team member to achieve their goals. Motivating the followers is crucial to success (Alanazi et al., 2022). Directive leadership enables the path-goal theory to posit what is needed or the task required, how to perform the job, and the deadline for completing the task. Supportive leadership focuses on equality and makes followers equal by working in a pleasant averment without discrimination. Leaders of supportive leadership are more approachable and likable. Participative leadership is essential in collaboration in decision-making and ensuring there is fairness. Participative leadership solicits suggestions and opinions of followers and applies them in their decisions. Achievement-based leadership focuses on promoting the behavior and performance of the members to excellence.
Unlike the leader-member exchange theory, the path-goal theory suggests that the members who aspire to affiliations seek friendly and associative leaders. Those followers working in uncertain conditions require leaders with certainty and structure in a dogmatic manner for clarity (Fabac et al., 2022). The followers who have a desire for control are either going to work with supportive or directive leadership. The internal locus of followers who seek to make personal goals gravitate to supportive leadership, while the external locus for those who seek to be externally controlled seek directive leadership. The path-goal dictates that a more empowered member or follower is autonomous and does not require leadership. When the systems and work cohesion are robust, followers rarely require directive leadership. Still, where there is a lack of solid policies and clarity of operations, there is a need for directive leadership. Where structures are unsatisfactory and repetitive, the need for supportive leadership is essential. Participative leadership works better in ambiguous tasks and where members have an internal locus. Where charges are unclear, achievement-oriented leadership is necessary.
Research Methodology
The research is qualitative as it is based on a word or theoretical approach only. Qualitative research is appropriate because the sought phenomena is social, and the study focuses on in-depthin-depth understanding (Comstock et al., 2021). The model of qualities research oils based on the unstructured nature of methodology for pronouncing desirable and qualitative results. The purpose of qualitative research is an empathy-based study to define the expression of others.
Data Collection
The data collection process will assume the application of unstructured interviews to solicit the desired outcome. The data collection process will be based on gaining information from the sampled participants. A simple sampling method will be applied due to its concise and expandable nature (Comstock et al., 2021). The first part of data collected by the researcher, and secondary data, which is theoretical and from other sources, will be applied in the study. Data collection will remain relevant in dedicating the aims and objectives of the study.
Data Analysis
Descriptive analysis, which is qualitative in nature, will be applied to analyze the collected data. Descriptive analysis is measurable and deductive for formulating definitive findings (Comstock et al., 2021). Data analysis will investigate the study’s hypothesis and design the necessary approach template. The analysis will enable the accumulation of the necessary information or insight beneficial in defining the findings of the research.
Findings
Gottfredson et al., 2020 state that the Leader-member exchange theory states that the relationship between subordinates and leader takes three steps: role making and routinizing. The role makes the initial stage where the basement of employee talents and abilities is done. The capabilities and skills of the employee are matched to their specific job responsibilities and roles. The leader subsequently applies the first impression of the follower stages to dictate how to treat them. The relationship between employees, their leaders, and colleagues determines their role in the firm and the kind of responsibility they will be assigned. According to Zhou et al. (2021), member, through role making, gets to carry out the roles and reasonability assigned to them. The level of trust in the initial stages sets the framework for the relationships between the leader and the employee.
During the training period, the leader expects new workers to be hard working, which might be problematic when matters of culture and diversity are not regarded in this stage. Robert et al. (2021) assert that the leader creates two groups in the process of defining the roles and prompting training of the employee, the in-group and outgroup employees. The problem with the creation of two distinct divisions has a significant influence on the working demotivation levels of employees. The group is most forced to get more opportunities and challenges from the leadership. Wang et al. (2019) confirm leadership is drawn to experimenting and promoting the in-group with more options for career development and talent growth. The outgroup is barely given the changes required for the effectiveness and management of its operations and suffers neglect. The Routinization associated with the two groups is the in-group working hard to please the leadership and seek their opinion. Valle et al., 2019 add that the new workers in the in-group display empathy and perseverance to ensure they retain their positions and assure the leadership of their worth. The outgroup is the group that is neglected and, worse, does not put much effort and gets annoyed with the administration.
Gottfredson et al., 2020 further add that Those in the outgroup are more likely to have low motivation and seek to work n other departments or leave the organization ultimately. The outgroup is barely given tasks that are challenging but rather those that offer little risk. The management focuses on the in-group, which is far more supported with chances of training and development of their careers and goals. The harm inflicted upon the organization’s productivity when the outgroup is not reformed is expected to increase productivity and effectiveness. The organization has to focus on promoting the outgroup to grow its employee’s motivation levels. Valle et al., 2019 propose that the necessary skills that employees require to build their efforts are essential for addressing how they will perform in their workstations. The effort applied by the leadership to reform the outgroup enables those in the group to master the skills and talents and improve on them. The leader-member theory does not expect all employees to be well versed, and there is no lack of some who are exceptionally incapable and incompetent or brutal t work with. The power of the theory is in establishing and confirming the groups that employees find themselves in and how these relate to their work and personal goals.
The leadership and employees can relate accordingly to the groupings and conform to a method that can be interesting to ensure the longevity of success and productivity. The theory explains that the leadership forms a two-way relationship with their subordinates which further encase the affinities and distribution of resources. The necessity of the leader-member exchange theory is how it stipulates the formulation of the team and its management. The leadership has a chance to engage its members fully n cooperative and collaborative working situations that can transform them. The entirety of the theory focuses on the relationships that are established and how they are carried out throughout employment. It is often expected that the leader will focus on the in-group more than the outgroup hence the recommendations for inclusivity and reforming the outgroup before they become more unmotivated.
Alternatively, Alazani et al. (2022) define the path-goal theory empowers employees and removing obstacles from their way. The theory suggests that a leader should focus on goal achievement, overcoming challenges, and offering incentives. The theory states that leaders should adapt their goals and traits to the employees for proper management. The leaders should adapt to the situation arising and promote effective challenge removal. The leadership styles environed by the path-goal theory are supportive, directive, achievement ornate, and participative leadership. Directive leadership works to enhance the intrinsic motivation and participation of employees. When employees lack proper direction or clarity on their responsibilities and roles, directive leadership is necessary. Further, Fabac et al., 2022 add that the employees must operate under the direction and accommodate the intrinsic motivation required for effectively managing. Achievement-oriented leadership is based on setting glass and high standards for achieving those goals. Encouragement and praise are offered to the employee when there is proper improvement and performance.
Case Study
The case study explores the Associated British Food Plc. as an organization that operates retailing and processing food. The company, headquartered in London, has a revenue of $13 billion. The company is divided into three divisions: ingredients, grocery, and retail. The organization’s management or leadership prowess is accustomed to both leader-member and path-goal theories. The organizations state that it has and still operate to promote diversity and ethics in their professions. Corporate citizenship is a significant hype of the organization with the application of the path-goal and leader-member theory (Duffy et al., 2021). Accordingly, the organization under the leader-member idea has advanced the employees through conclusive diversity and accepting different cultures. The management represents society well, and the organization’s focus is instilling in the employees accrued motivation and appraisal for the work done; there is the attribution of policies that lay down the regulations and processes of management. The critical issue that the administration has attributed to employee management and leadership systoles is forwarding an environment free of discrimination. Forced labor is another policy-regulated matter in the organization. Associated British Food Plc (Adusei & Dacosta, 2016). works to empower employees by committing to the organization’s diverse cultures and talents.
The organization operates to ensure the employees who are generally trained are granted the necessary tools to empower their output delivery. Motivation injection in employees is essential to utilize extrinsic and intrinsic forms of motivation. Extrinsic rewards such as compensation for excellence and promotions are applied to ensure employees are motivated in the short term. Intrinsic motivation is rewarded in abstracts and application of opportunities that promote the employee’s reason for self-actualization and career development. To create a lasting engine and performance, the employees are granted identified motivation which empowers them to actualize their performance in due time. Identified basis instills employee motivation over time, which takes a period and operates to create better resolution. Applying the different motivational forms enhances employee performance over time with intrinsic and extrinsic motivation. Using positive feedback to unmotivated employees has helped the organization get around some of the employee output issues. The leadership works to ensure the in-group and outgroup are identified earlier to manage their skills and motivation levels. The organization has realized that managing the outgroup requires a considerable effort and applies different motivation levels to ensure they operate at the same level as the in-group. Using motivation and rewarding systems for excellence has confirmed that most outgroup individuals have reached their quotas. Company policies regulate the necessary matters related to diversity and minority issues.
The leader-member exchange theory finds application in the organization with the identification of suitable leadership for different teams on and case-to-case basis. The organization has an established working policy framework that ensures definite progress. Leaders ensure performance is increased with the removal of obstacles. Leaders have expressed they have to set a high-performance rate and challenging goals for their teams even when there is a deadline. The achievement-oriented leadership is applicable in setting achievable goals, and the leaders ensure the employees can perform and achieve those goals. Achievement-oriented leadership is appropriate when meeting deadlines and sorting the organization’s necessary and fundamental goals of priority in the short term. Achievement-based leadership is applicable by the organization in getting or strumming the employees to a similar and relent plan. Directive management works to perform tasks and is oriented toward rewarding and punishing. Leaders based on studies are often applicable in matters of training and performance of changes and compliance matters. The organization applies leadership to reward employees who have perfumed excellently and punish those who do not comply.
The leadership ensures a one-to-one management style ensures all employees are catered for. Training goals in task-oriented leadership purport to provide the goals are broken down into smaller ones to activate the necessary plans and employee preface. The organization has applied participative leadership in self-direct learning and friendly competition. The organization has established peer connection among employees and use social learning technology to empower its employee’s communication and promotion of self-learning. Participative leadership focuses majorly on employees’ interactions with the triaging program and encourages them to work towards bettering their working environment. The management mainly uses supportive leadership in training and developing employees, especially in incremental and radical changes. The organization has assumed supportive supervision, which is people-oriented to ensure its people are protected and governed well. The leadership process ensures creativity in managing the training strategy and evaluating the learning strategy. Setting and achieving goals is necessary to the path-goal theory and ensures obstacles or challenges are removed for the employees. The path-goal approach is applicable in the organization to boost productivity, archive objectives of the organization, and motivate employees. Preface of the employees is measured, and accomplishments given scorecards tenure their relevance and validity are empowered.
Recommendations and Conclusion
I do recommend that the organization focus on defining its leadership and management goals based on the leader-member exchange theory with support of the path-goal theory. It is necessary that the leadership focus on productivity, and this will be enabled by enabling the team members to fill part of the process. There need to be comprehensive research o more derivable methods of encouraging employees to gain a better understanding of their work and manage their affairs. The management should be framed to accommodate all employees without discrimination and promote the advancement of each one of them.
Also, applying leader-member exchange theory, the relationship between subordinates and leaders can be improved through the steps it takes, that is, taking role-making and routinizing. The leader creates two groups to define the roles and prompt training of the employee, that is, the in-group and outgroup employees. The problem with the creation of two distinct divisions that have a considerable influence over the working and demotivation levels of employees is that the path-goal theory finds application in the organization with the identification of suitable leadership for different teams and case to case basis. Furthermore, the application of the leader-member exchange theory approach empowers employees and removes obstacles from their way. The theory suggests that a leader should focus on goal achievement, overcoming challenges, and offering incentives. the Associated British Food Plc. as an organization applies both theories in its leadership. The organization has an established working policy framework that ensures definite progress.
Alternatively, the path-goal leadership theory suggests that leaders are the fundamental key motivators to encouraging their followers or team member to achieve their goals. Motivating the followers is a necessary key to success. The organization’s focus is instilling in the employees accrued motivation and appraisal for the work done; there is the attribution of policies that lay down the regulations and processes of management. The level of trust in the initial stages sets the framework for the relationships between the leader and the employee. During the training period, the leader expects new workers to be hard-working. The organization has an established working policy framework that ensures definite progress. Leaders ensure performance is increased with the removal of obstacles. Associated British Food Plc works to empower employees by committing to the organization’s diverse cultures and talents. The organization operates to ensure the employees are generally trained and are granted the necessary tools to empower their output delivery.
References
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