The Importance of Strategy in Business Leadership

The tactics of business leadership in innovation is a set of specific actions (including speech) from the outlined strategic program, which are carried out in a certain order and within a certain time frame to achieve intermediate goals or solve stage-by-stage tasks (Benner, and Tushman, 2015). As an online Talent Manager System, tests were developed by qualified and experienced psychologists where the leadership and innovation results are based on openness and honesty play a large role in the report accuracy.  

Norm group

The strategy of an activity is the formulation and development of an action program to achieve the main goal. In organization leadership, strategy most often programs to achieve the long-term benefits of an organization or an individual in solving a specific problem. The result of the implementation of strategic communication programs are: an agreement of the parties; the conclusion of long-term agreements on investment, sponsorship, cooperation; priority of action by one of the parties, etc.

The tactical methods that determine the success of negotiations include actions aimed at obtaining preliminary information, analyzing the interests of the parties, reaching a definition of a possible joint decision area, an approach to establishing agreement (Chang, Bai, and Li, 2015).

Stanine scores

The score on personal development plan are represented as a single number that ranges from 1 to 9. The 1 and 9 scores are quite extreme with only 4% representing the two numbers in the normal curve.  More than 20% of the respondents will have 5 as a score in any particular train in personal development. The score are a representation of how a score is reperesnted compared to other norms in the group. These scores are NOT a representation of ‘good’ or ‘bad’ results, they are only a representation of how you scored compared to others in the norm group.

One of the productive tactics of negotiation is essentially the gradual increase in the complexity of the issues to be solved, when partners are first offered to solve less important, less problematic issues that are fairly easy to get a positive answer. This creates a favorable psychological climate, shows that the problem is solved. This is followed by the search for a “common solution zone” and a “general solution formula”. Sometimes in the negotiation-bid, they use the tactic of “bundling” offers, when unattractive offers are tied up with a number of attractive ones and offered to a partner interested in the quick implementation of the latter. This tactic speeds up the agreement and gives priority to the initiator of the proposal package (Coccia, 2015).

Tactics for Successful Negotiations

Gradual assignment tactics can also be used; This tactic does not necessarily weaken the position of the partner. Consent to make a concession is more likely seen as a desire to avoid difficulties for both parties.

A business strategy in leadership should take into account competition, organization and market factors, demographics and customer demands, new bills and legal requirements, as well as other important external and internal factors.A business strategy is created by a manager (manager) who is responsible for a specific activity of the organization. Even if a manager does not take an active part in the formation of a business strategy, preferring to delegate some of his powers to subordinates, he is still responsible for the strategy and the results of his field of work (Deichmann, and Stam, 2015).

The queen model or the competing values model values the framework or behaviors in the place of work. It a good way of relating the information personally to the styles, competencies and the real world behavior.  Circumplex is a graphic representation of leadership information.

Leadership gives reliable protection because the first to experience the competition is the least effective organizations (Donate, and de Pablo, 2015).The goal of the strategy “specialization in production” is to better meet the needs of the selected target segment than those of competitors.In this case, the organization must implement Such a strategy can be based on both differentiation and cost leadership, or both, but only within the target segment. (Etzkowitz, and Ranga, 2015). Here is a representation of the Quinn model

Organizations implementing this type of strategy in innovation should have the following features:

Specialization strategy allows to achieve a high market share in the target segment, but the organization always has a small market share in general.

Leadership in the organization

The manager-leader is a key figure in the management of the organization, and leadership is the crown of management (Haefliger, and Poetz, 2016). The chapter outlines the main concepts of leadership and shows the uniqueness and significance of the work of the manager, an attempt was made to highlight those moments in the relationship between the leader and the followers that make him successful, and leadership – effective.

1. The basis and content of leadership in the organization
2. Leader and manager
3. Approaches to the study of leadership
4. Traditional leadership concepts
5. Comparative analysis of situational concepts of leadership

Learning strategy for innovation development work

The purpose of such strategies is to give the product distinctive properties that are important for customers who distinguish the goods of this organization from those offered by competitors. Organizations operating in the innovation market most often use this particular strategy, since innovation is a very specific product,

Learning Strategy for Innovation Development Work

There are no ready-made solutions that could simply be transferred to their soil. According to our findings, the structures and processes to which many managers first pay attention to stimulate innovation are important but not sufficient. At the same time, top managers almost unanimously (94%) say that the most important drivers of innovation are people and corporate culture (Kremer, Villamor, and Aguinis,, 2018).

Pioneer

This are innovators and dreamers with ideas that are trying to do thing differently. They take the initiative due to creativity. The full list of necessary measures is not limited to these steps. But, if we consider that time and funds for innovation are limited, and positive results are needed in the short term, the introduction of an innovation system relies on existing human capital and resources. These three fundamental principles can be a starting point, and relying on them will allow you to more successfully stimulate and reproduce innovations in the most important area among company employees (Huijun, and Jianjun, 2015).

The network structure is more centralized. Scheme 2 shows four important phases in the design, creation, and management of an innovation network. In addition, top managers can carry out a more precise “setting” of network goals, selecting the composition of participants and changing the internal network balance. Innovative networks (as well as cross-functional teams) require different skills and approaches. According to our research, they can be a combination of several types of participants: Idea generators prefer to put forward ideas, believe that asking the right question is more important than getting the right answer, willing to take risks in large-scale experiments (HAN,  LUO, and ZHONG, 2016)

Networker

Relationship between workers in a workplace. Leadership is a type of managerial interaction based on the combination of various sources of power that is most effective for a given situation and aimed at encouraging people to a common goal. Leadership characterizes relationships based on trust, recognition of a high level of qualification, readiness to support in all endeavors, personal sympathies, and the desire to adopt positive experience. Influence is the purposeful influence of one person on another, which changes the behavior, attitudes of that other person.

The balance of power and its forms

In order to exert effective influence on people, a leader must have power. Power is the ability to influence other people, the ability to carry out their activities at their own discretion.

Power and influence are the basis of leadership, a necessary condition for changing people’s behavior and achieving the goals of an organization. Power is a relationship, interdependence between participants in the management process. The more dependent on another person, the greater the power of the person. But he has authority over to such an extent that he can force him to do what B would not have done in other cases.” [5] Possession of power is the ability to influence the satisfaction of someone’s needs, desires (Low, 2017).

The Balance of Power in Leadership

Specific actions to reach the innovation goals

In modern organizations, there must be a balance of power, as subordinates also have power over leaders. Managers depend on subordinates in such matters as providing accurate and timely information, high-quality performance of tasks, maintaining a favorable psychological climate in a team, informal contacts with people in other departments whose support is necessary for a manager, ability to influence their colleagues, and cooperation. Since subordinates also have power, managers should not abuse their power, because subordinates can, in response, demonstrate their power (Ma, Matsuzawa, Chen, and Scardamalia, 2016). Subordinates should not experience a sense of hopelessness, uselessness, complete dependence on the will of the leader: this leads to resistance, insubordination, destroys the favorable climate in the team, reduces the effectiveness of the organization.

An effective leader tries to maintain a balance of power, and will never exercise his power in a rigid, mandative, pending manner. A leader can influence the behavior of other people without relying on force, coercion.Power can take a variety of forms. In the management literature there are eight basic forms of power.

Power based on coercion implies influence through fear, through the threat to the satisfaction of human needs. In this case, the manager uses various forms of punishment: a hint of dismissal, deprivation of any authority, blocking promotion, demotion, reprimand, fine. There are also more sophisticated forms of using fear and coercion: a casual remark, which hurts self-esteem, the provision of leave at inconvenient times, a comparison with other employees who cope better with tasks. This underlines the low assessment of the employee, his disrespect by the manager and the need to work harder.

Achiever

Achievers are motivated, self driven and ambitious. Fear limits initiative, creativity, reduces job satisfaction, gives rise to alienation, resistance, revenge.The power of remuneration is based on the ability of a manager to provide what people would like to have. This is one of the most ancient and widely used ways to influence people. If workers agree to accept remuneration (thanks, recognition, bonus, salary increase, appointment to a good

Strategist

This is a long term thinker with defined goals. He thinks through the goals and defines fundamental problems. Risk is an action in the hope of a happy outcome on the principle of “lucky – no luck”. To take on the risk of an entrepreneur is forced first of all by the uncertainty of the organization situation, i.e. the uncertainty of the conditions of the political and organization situation surrounding a particular activity, and the prospects for changing these conditions. The greater the uncertainty of the organization situation when making a decision, the greater the degree of risk.

The uncertainty of the organization situation is due to the following factors: the lack of complete information, chance, opposition (Morphew, 2014). The lack of complete information about the organization situation and the prospects for its change makes the entrepreneur look for an opportunity to acquire the missing additional information, and in the absence of such an opportunity to start acting at random, relying on his experience and intuition.

Team player

Accident largely determines the uncertainty of the organization situation. Accident is something that happens under similar conditions, and therefore cannot be foreseen and predicted in advance [7]. However, with a large number of observations of accidents, it can be found that certain laws are in effect in the world of accidents. The mathematical apparatus for the study of these laws gives the theory of probability. Random events become the subject of probability theory only when certain numerical characteristics are associated with them — their probabilities.

Analyst

Random events in the process of their observation are repeated with a certain frequency. The frequency of a random event is the ratio of the number of occurrences of this event to the total number of observations. Frequency usually has statistical stability in the sense that with repeated observation its values ??change little. Thus, the frequencies of a random event are grouped around some number. Frequency stability reflects a certain objective property of a random event, consisting in a certain degree of its possibility.

Helper

Helps in an organization. It is around the number of this probability that the frequency of event A is grouped. The probability of any event ranges from 0 to 1.0.If the probability is zero, then the event is considered impossible. If the probability is equal to one, then the event is determined as reliable. Probability allows you to predict random events. It gives them a quantitative and qualitative characteristic. In this case, the level of uncertainty and the degree of risk are reduced. Counteraction also largely determines the uncertainty of the organization situation.

 For any action there is always a reaction. Countermeasures include catastrophe, fire and other natural phenomena, war, revolution, strike, various conflicts in labor collectives, competition, breach of contractual obligations, changes in demand, accidents, thefts, etc (Yigitcanlar, Guaralda, Taboada, and Pancholi, 2016).  The risk has a mathematically expressed probability of loss, which is based on statistical data and can be calculated with a sufficiently high degree of accuracy.

Conclusion

This conclusion can be made on the basis of our recent study [1], in which more than 70% of top managers said that in the next three to five years, innovation will be among the three main growth factors of their companies. Some managers view innovation as the most important way to accelerate their own changes, allowing them to keep up with the changing economy and business environment [2]. Leading experts in the field of strategy go beyond the traditional product categories and are the first to propose innovations in the field of organization of business processes, distribution, value chains, business models and even individual functional areas of management [3].

References

Benner, M.J. and Tushman, M.L., 2015. Reflections on the 2013 Decade Award—“Exploitation, exploration, and process management: The productivity dilemma revisited” ten years later. Academy of management review, 40(4), pp.497-514.

Chang, J., Bai, X. and Li, J.J., 2015. The influence of leadership on product and process innovations in China: The contingent role of knowledge acquisition capability. Industrial marketing management, 50, pp.18-29.

Coccia, M., 2015. General sources of general purpose technologies in complex societies: Theory of global leadership-driven innovation, warfare and human development. Technology in Society, 42, pp.199-226.

Deichmann, D. and Stam, D., 2015. Leveraging transformational and transactional leadership to cultivate the generation of organization-focused ideas. The Leadership Quarterly, 26(2), pp.204-219.

Donate, M.J. and de Pablo, J.D.S., 2015. The role of knowledge-oriented leadership in knowledge management practices and innovation. Journal of Business Research, 68(2), pp.360-370.

Etzkowitz, H. and Ranga, M., 2015. Triple Helix systems: an analytical framework for innovation policy and practice in the Knowledge Society. In Entrepreneurship and Knowledge Exchange (pp. 117-158). Routledge.

Haefliger, S. and Poetz, M., 2016. Leadership in Open and Distributed Innovation. In The Academy of Management Annual Meeting 2016.

HAN, Y., LUO, J. and ZHONG, J., 2016. The research on the effects of ambidextrous leadership on team innovation performance: From the perspective of routine practice. Journal of Management, 1, p.008.

Huijun, Y. and Jianjun, Y., 2015. Transactional Leadership, Competitive Intensity, Technological Innovation Choices and Firm Performance. Journal of Management, 4(001).

Kremer, H., Villamor, I. and Aguinis, H., 2018. Innovation leadership: Best-practice.

Low, V.O.C., 2017. LEADERSHIP & INNOVATION. ???????????? ?????, p.6.

Ma, L., Matsuzawa, Y., Chen, B. and Scardamalia, M., 2016. Community knowledge, collective responsibility: The emergence of rotating leadership in three knowledge building communities. Singapore: International Society of the Learning Sciences.

Morphew, V.N., 2014. Constructivist Approach to the NETS for Teachers. ISTE.

Yigitcanlar, T., Guaralda, M., Taboada, M. and Pancholi, S., 2016. Place making for knowledge generation and innovation: Planning and branding Brisbane’s knowledge community precincts. Journal of Urban Technology, 23(1), pp.115-146.

Zacher, H. and Rosing, K., 2015. Ambidextrous leadership and team innovation. Leadership & Organization Development Journal, 36(1), pp.54-68.