There are 4 major components of leadership- it is process oriented, it is influential, it occurs in a group context and it involves attainment of a goal. This goes with the definition of Shackleton, where he defines leadership as a process where group members are influenced by individuals to achieve the organizational goals. In many ways, it suggests that leaders motivate others to achieve organizational goals.
This definition does assume that leader must be the leader of the group. So, it can be implied that managers might not be the leaders and the other way round. A distinction is made on the following nature that is of leadership and the nature of management. In the section of transformational leadership, the importance of leaders and the actual need of leaders in the organization will be studied. This concept is based on the assumption that leaders need to be present at the organization which is entirely different from those organizations which use this particular terms managers and leaders interchangeably. According to these organizations, an individual can be a leader or a manager, depending that on the particular situation.
The characteristic traits of an ideally effective leader, the best leadership style and the different situations where different leadership styles need to be used are discussed in the upcoming sections.
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