“Leadership is considered as the most important element of the directing function of management”. In the light of this statement, explain the importance of leadership.

Out of all the four elements of directing (i.e., Supervision, Leadership, Communication and Motivation), leadership is at the top. Following points highlight the importance of leadership:

(i) Helps in Influencing the Behaviour of People: A manager influences his subordinates with his leadership ability. He brings them under his control in such a way that they put in their best effort to achieve the goals of the organisation. Good leaders always get good results through their followers.

(ii) Helps Followers in Fulfiling their Needs: A leader establishes personal relationship with his followers and tries to fulfil their needs. Why does a human group follow a particular person? It can be said in reply to this question — because that particular person provides them security, provides them the opportunities to earn wealth, gives them the right to work and tries to understand their feelings. That is why people follow him. A person who takes care of the above mentioned needs of the employees, they willingly accept him. Consequently, they work with complete dedication and enthusiasm.

(iii) Helps in Introducing Required Changes: These days the business environment is changing rapidly. In order to face the changing environment, many changes have got to be introduced in the organisation. Since the people already happen to be under the influence of the leader, he readily makes them agree to implement these changes. In this way, the possible opposition to the change is eliminated with the strength of leadership ability.

(iv) Helps in Solving Conflicts Effectively: A leader can solve every type of conflict (employees vs employees and employees vs employer) effectively under the weight of his influence. A leader always allows his followers the freedom to express their views. That is the reason that he easily understands the reality of the conflict. In this way, by understanding the nature of the conflict he tries to provide timely solution and minimises the possibility of adverse results.

(v) Helps in Training and Development of Subordinates: A leader proves helpful in the training and development of his subordinates. He provides them the information about the modern techniques of work. Not only this, he makes it possible for them to be good leaders in future.