Leadership Effectiveness

Leadership being the ability to influence a group may manifest its effectiveness in several ways, ranging from financial performance to employee morale and commitment. A number of theories have evolved by integrating contemporary socioeconomic and cultural changes occurring in the business environment. India has been witnessing a significant transformation, which was triggered by new economic thinking pursued by the policy makers. The liberalization coupled with emerging realities has significantly influenced Indian business. Not only has it changed the strategic organizational perspectives, the composition of workforce has also changed with increasing diversity. The technological evolution has completely transformed the processes of both manufacturing and service industries. The recent changes have posed fresh questions. Heightened competition, decreasing bottom lines, demanding customers and other similar pressures have precipitated enormous challenges for the role of leadership in today's organizations. It still remains to be seen how these leaders will cope with such a demanding environment, where they may be tempted to look for short cuts without caring for the values or ethical concerns of the society at large. The constitution of effectiveness itself may be changing and it, therefore, needs to be looked into for more clarity. It is in this context that the present study was undertaken to explore and compare the factors constituting leadership effectiveness in manufacturing and service industries.