Leadership in Organization

Organizations that achieve success differ from the ones opposing them mainly because they are more dynamic and have effective leadership. From the point of view of the leader, it is perceived that the individual (manager), group (management team), or process should have individual way of managing the organization. By the words of the head, the management often includes such concepts as "leader" and "leadership". In some cases, these words are synonymous, but not always. Nature of leadership can be better understood when it is compared with its own control. Being a manager and being a leader in the organization is not the same thing. The manager, who influences the work, subordinates, and builds relationships with them primarily uses and relies on the official power granted to him. Leadership is similar to a specific type of relationship management. It is based more on the social act rather than on the interaction of the organization. This process is much more complex. It requires high level of interdependence between organization's members. Unlike it is with management, leadership creates followers in the organization, rather than subordinates. The relations "boss - subordinate" inherent in the traditional view of management are replaced by the relations "leader - follower." For example, an influential informal leader can make the labor group restrict output or produce goods and services of poor quality. The position opens the road to leadership. The process of influencing people from a position of office is called formal leadership. However, in their endeavor to influence people, managers cannot rely only on position the leader occupies. This becomes clearly evident when one of the deputies, who has less formal power, has great success in managing stress and conflict situations and in solving critical problems in the company. Being a manager does not mean automatically being considered a leader in the organization. Leadership is largely characterized on informal basis. One can take the first post, however, he or she will not be a leader (Capezio & Morehouse, 1997).

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Therefore, we can say that the new management thinking has to guide people not on formal basis.

Stages in Team Building

One of the most important aspects of team productivity is a team building process. Thus, team productivity is dependent on team relationships and division of roles. The leader is the only one person, however, team building stages can create a strong mechanism of members of the team, which can think as one. Moreover, it can work as a whole. In order to succeed each team must go through certain stages discussed further in the paper (Capezio & Morehouse, 1997). 


From the point of view of business activity, it is characterized as a stage of mutual information sharing. This step is aimed to help members search for the optimal solution to the problem. Interpersonal interactions lead to formation of dyads, a stage of testing and dependence, suggesting orientation of the group members on each other, and finding a mutually acceptable way of behaving in a group. Team members come together with a sense of apprehension and coercion. Effectiveness of the team at this stage is low because its members do not know each other well and do not believe in each other.


This stage is characterized by creation of associations of interests. Its content is instrumental in informing members about the requirements of the content of the problem due to identification mismatch of personal motivation of individuals with the goals of group activity. The grouping is being formed by the group self-awareness at the level of individual subgroups. The features of existence of groups at this stage are characterized by workers with management team’s subcultures such as “click”.


At this stage, awareness and the desire to work are increasing. This stage is characterized by more open and constructive communication including the elements of group solidarity and cohesion. For the first time there is an established group with a distinct sense of "we". Coming to this point is an instrumental activity, and team members are well-prepared to implement it. The features of existence of groups in this phase are characteristic of working with management teams.

Standards for activities

Developed principles of group interaction become the dominant sphere of emotional activity and increase the value of relationships “I – you”, and personal relationships become particularly strong. Characteristic feature of the group at this stage is no intergroup activity. The process of separation of a cohesive, well-trained, united organizationally and psychologically group can turn into a group-autonomy, which is characterized by focusing on the goals and selfishness.


In terms of business, it can be considered as a stage of decision-making or constructive attempts to successful problem solving. Functional-role of correlation is associated with the formation of the role structure of the team, which is a kind of resonator, and is performed by a group task. The group is open for discovery and resolution of the conflict. At this stage, the group achieves the highest level of social and psychological maturity, high level of the preparedness, and organizational and psychological unity characteristic of the command subculture.

Understanding the team is more important than leading it and it means that the team is organized. The formation and development of the team is likely to occur simultaneously.

What is the Role of Leadership in Herman Miller?

Leadership is an essential component of a successful business. It was found that there is a stable community of people. Despite the apparent simplicity of the concept, the presence of common starting points of different authors regarding leadership have led to a mixed understanding about the phenomenon. Leadership differs from management, which is assumed to be rigid and formalized system of domination - submission. Leader is a symbol of community and group behavioral patterns. He or she extends, as a rule, from the bottom, mostly spontaneously, and is accepted by the followers. People with power in the organization can be divided into three categories: official formal leaders, informal leaders, and formal leaders. Official formal leaders have a full set of tools of influence, therefore, have a greater chance of success. The analysis of the nature of leadership shows that it comes from specific needs of people and their communities that are designed to meet the leaders (Capezio & Morehouse, 1997).

The importance of leadership for management of the organization raises the question about the effect on the phenomenon. Leadership needs to be managed (if possible). It is aimed to develop constructive and eliminate destructive leaders. The important role for the leader is creating and managing organizational culture. Depending on the type of organizational culture, a leader has different functions. Effective leadership is directly related to the ability of leaders to lead organizational and interpersonal communication. Leadership role in the management of personnel is determined by its efforts to identify worthy candidates for membership in the working group. It must direct group energy to organizational goals. Leadership is reflected in the impact on the group. It encourages members to show their strong personal qualities and restrain manifestation of weak character traits. The performance of the leader is showed in his or her capacity to manage social conflicts. Managing social conflict requires consistent activity leader, seeking a constructive influence on the situation caused by the conflict, parties of the conflict, and the nature of the interaction between all stakeholders (Capezio & Morehouse, 1997).

Therefore, if a better scheme of leadership is implemented in the organization, it has better chances to be successful.

Roles in Effective Leadership Scheme

Another factor that proves that a team is more important than leading it is that the leader is only one person, and is usually a thinker. However, in order to achieve certain results there should be a number of members to perform different tasks. Thus, even a little task, which was not done by the member will lead to unsatisfactory results. All teams must be balanced in terms of the size and the degree of member participation. Generally, the larger the team is, the less people are able to participate in its work. Sometimes, there are people with valuable ideas, knowledge, and experience in the specialty, but they do not participate in the group. An experienced leader knows about the problem of "silent majority" and understands that in order to rely on combined resources of the team he/she must find a way to involve all its members into work. From the perspective of cohesion, it is believed that the best number of people in the group is twelve. The facts say that small groups suffer from absenteeism, and labor turnover is less than the group whose number of members exceeds 20 (Collins, 2001).

Experience in project management suggests that in order to obtain high results, the team should consist of eight members, who would have different roles. These roles are discussed further (Collins, 2001).


This is a person who manages the team and coordinates its actions. A president may not be a creative and talented person, but he should be disciplined, focused, and balanced. This is someone who can listen well and speak correctly, judge people and things, and understand weaknesses of others. This means, that the leader is not the one who creates ideas for the work. He is simply the one who coordinates the work. If the team has developed to the stage where it functions as one mechanism, it can work without supervision.


These are initiative, mobile, and the most influential people in the group. At the absence of the leader, they usually assume his role. Their strength lies in their passionate desire to achieve a goal, but they may be too sensitive, irritable, and impatient.

“Thinking tank”

In contrast to the organizer, those people are focused on themselves, but intellectually they affect all other members. They are a source of ideas and suggestions. They have a great power of imagination and at the same time they are the smartest team members. However, they may be inattentive to detail, offended by criticism, often silent, and cautious by nature.


Controllers are smart, but they have more analytical than creative mind. They carefully analyze ideas and have the ability to see weaknesses in the arguments. They are less sociable than others. They hide information they have staying away from the team, but they are required to check the quality of team's work. They can be tactless and impartial.


Workaholics are practical organizers in the team. They turn ideas into actual tasks. Preparation of charts, diagrams, and plans is a strong side of their work. They are methodical and efficient at work, they inspire team members with their confidence and they never care about dreams for the future. They are leaders, but they are skillful and diligent workers.


These workers rally the whole team, support others, listen to them, encourage them, delve into everything, know everything, and bring a sense of harmony and consensus to the team. They are popular, but they do not want to compete. This is the type of people who do not notice when the lice are and what you are missing when they are not around.


Without determinator the team is nothing. This team member checks details, schedules, and time. Their persistent systematic work is important.

To conclude, so far the paper examined different roles that are performed by team members. After analyzing them, it is possible to come to a conclusion that the leader has an obligation of managing the work in the team, but the work will not be done if it is not the whole team working. 

Leader and Team

Many surveys have been conducted about the effectiveness of work of one person who leads and the functioning of the whole team. Thus, studies show that middle management personnel comes into contact 300-400 times a day (sometimes several times with the same people) and their typical eight hours work day contains at least 200 different activities. These "rules" are reduced at higher managerial level. This means that by taking the leader position, the person is overloaded with technical work so much that he can leave team supervision (Hersey & Blanchard, 1988).

Another topic is brevity, delays, and interruptions. With this number of actions, a manager can give limited time to any single problem. Even at the highest management level ten minutes is unusual, but generally is a rarity. Typically, the day of a manager consists of phone calls, meetings, work desk, and unscheduled meetings. They replace each other very quickly. Unplanned work, phone calls, and surprise visits are an integral part of daily work of the supervisor. Therefore, it means that the leader is not as important in the results of work as the team. Finally, the job of the leader includes five different types of activities: paper work, parsing mail, reading, reporting, etc. Several studies have shown that it takes 22-35% of the total time. The percentage increases with moving upwards the career ladder (Hersey & Blanchard, 1988).

What is Company`s Human Resource Concept?

Staff member competencies are major aspects of this strategy. Therefore, recently HM Incorporation has created a perfect model on identification and development of staff member competence. This model has been widely used in every unit of Herman Miller Incorporation: performance, selection, recruitment, and development (Herman Miller Inc., 2011). Thus, Herman Miller Incorporation widely uses both: classical and neo-classical approaches to create its leadership concept inside the company. One of the major neo-classical approaches is that the worker does not need to be a professional from the beginning. The company provides workers with training courses, which can help them develop their abilities and increase experience. Usually, they are focused on developing personal and professional skills.

These trainings are aimed to provide effective results and search for challenging solutions, increase management's flexibility, provide assistance in leadership, develop new professional skills, and increase employees adaption and discharge to new technologies and techniques. The main goal of these programs is to train staff to think and express their thoughts independently, to deal with challenging problems, to organize and develop a good team work. These programs offer knowledge and training experience that strengthen the will to study. Their unique feature is that they offer the possibility to staff members who are already working in the company and have particular skills, knowledge, and experience to not only develop these skills, but to evaluate own work from a new point of view (Zaun 2007).

To conclude, human resource management model in Herman Miller Incorporation in very effective as every unit in the company improves its professional skills and develops competence.

What is Classical and Neo-classical Concept in Herman Miller?

Herman Miller Incorporation uses more classical than neo-classical approach in its leadership practice. A great example of neo-classical approach is that Herman Miller Company has its own internal concept for creating HR basis. First of all, the company has understood that it is not enough for the worker to be simply well qualified. Herman Miller Incorporation follows the classical approach as its main strategy in effective leadership relies on understanding that the main aim should be constant development of workers' ability. Therefore, HM has created their own scheme in managing human resource and leadership in the company. The example of implementing the neo-classical theory in managing workers and their strategy of effective leadership is that the company has established special procedures to observe workers' attitude to particular things. For example, the company has made unique blanks for interview in order to find out workers' general competences in a particular field. Thus, the basic principle in the company is to improve staff members’ personality and behavior based on the concepts of morality. Herman Miller highlights the need for estimating responsibilities of each worker in order to create an effective team (McCowan 1999). As a result, these steps form effective team, which can work for achieving the highest level of productivity. The example of increased productivity can be implementation of EVA system. Due to this training system, productivity of average worker has increased by 45%. In addition, majority claimed that due to EVA they became not only more productive, but started to get more satisfaction from their work (Wenger, McDermott, & Sydney, 2002).

More classical ways in leading business is Herman Miller focused on developing creative collaboration with their suppliers. The emphasis has been made on the convenience and profitability of collaboration. Thus, it should be explained that Herman Miller has binary collaboration: with companies and countries in their process of development and already developed ones (Birchard, 2011).

To conclude, Herman Miller Incorporation is the company that uses all possible approaches to ensure perfect management and effective productivity.


Leadership is an essential component of effective functioning of the company. Leadership is different from management, which is assumed to be rigid and formalized system of domination - submission. Leader is a symbol of community and group behavior pattern. It extends, as a rule, from the bottom, mostly spontaneously and has his own followers. People with power in the organization can be divided into three categories: formal leaders, informal leaders, and formal leaders. Formal leader has a full set of tools of influence, therefore, has a greater chance for success. The analysis of the nature of leadership shows that it comes from specific needs of people and their communities, which are designed to meet those of leaders. More details about the nature of leadership are revealed by its various theories: classical, neoclassical, and human resource theory.

These theories explain the phenomenon of leadership traits and outstanding qualities of the person such as the mind, the will, commitment, organizational skills, competencies, etc. According to the concept of charismatic leadership, these leaders have inspired followers who try to imitate their behavior. Classical theory introduces the concept of goals and tasks related to a specific situation, which form the style of leader behavior. Neo-classical theory recognizes the role of constituents in the phenomenon of followers’ decisive leadership. In addition, it describes internal motivations of the person to take decision-making positions of influence on the formation of the character and direction of the leader.

The importance of leadership for the management of the organization raises the question of the effect on the phenomenon. The important role of the leader is creating and managing organizational culture. Depending on the type of organizational culture, leader has different functions. Effective leadership is directly related to the ability of leaders to lead organizational and interpersonal communication, influencing its character.

The company under evaluation was Herman Miller Incorporation. It was found that the company has a very effective concept of leadership and human resource management. According to company's internal policy, leadership role in the management of personnel is determined by its efforts to identify worthy candidates for membership in the working group, it must direct the group energy at organizational goals. Leadership also is reflected in the impact on the group. Leaders encourage team members to show their strong personal qualities and restrain the manifestation of weak character traits. The performance of the leader depends on his/her ability to manage social conflicts. Therefore, Herman Miller widely uses a theory of human resource management as its workers are in the process of constant development. The company also uses neo-classical approach, having implemented its EVA development system, focusing on moral principles, and introducing the unique workers' interview. However, the classical approach is still used in the external policy of the company.

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