ASSIGNMENT 1 FRONT SHEET

Qualification BTEC Level 4 HND Diploma in Business

Unit number and title Unit 4: Leadership and Management (5036)

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Student name Nguyen Phan Thao My Student ID GBD220121

Class GBD1101 Assessor name Duong Thuy Hang

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 Table of Contents
I. INTRODUCTION ................................................................................................................................. 4
II. CONCEPTS ........................................................................................................................................... 4
III. DISCUSS THE KEY SKILLS AND COMPETENCIES OF EFFECTIVE LEADERS AND
MANAGER ................................................................................................................................................... 5
3.1 The Key Skills and Competencies of Leaders: ............................................................................ 5
3.2 The Key Skills and Competencies of Manager: .......................................................................... 5
3.3 Differences between Leadership and Management .................................................................... 6
IV. LEADERSHIP AND MANAGEMENT THEORIES RELATED TO ......................................... 7
4.1 Management Theories ................................................................................................................... 7
4.2 Leadership Theories ................................................................................................................... 9
V. LEADERSHIP AND MANAGEMENT STYLES ........................................................................... 10
5.1 Management Styles ...................................................................................................................... 10
5.2 Leadership Styles ......................................................................................................................... 11
VI. ORGANIZATIONAL CULTURE ................................................................................................. 13
6.1 What is organizational culture? ................................................................................................. 13
6.2 Types of Organizational Cultures .............................................................................................. 13
6.2.1 Charles Handy’s 4 Types ................................................................................................... 13
6.2.2 Deal & Kennedy’s four generic types of culture ............................................................... 14
VII. CONCLUSION ................................................................................................................................ 15
VIII. REFERENCES ................................................................................................................................ 16
 I. INTRODUCTION
PHAM NGUYEN Confectionery Company Limited is a leading company in the Vietnamese baking
industry and an important player in snacking (Phamnguyenfoods,n.d). Founded in 1990 by Mr. Pham Ngoc
Thai and Ms. Nguyen Thi Dung to produce high-quality candy products and has since become one of the
most successful family companies in Vietnam with three plants that meet international standards. Our brand
is a staple in countless Vietnamese households and enjoys distribution to 26 nations worldwide
(Phamnguyenfoods,n.d).

This report aims to evaluate their approaches to leadership and management, as well as their impact on
4.1
decision-making and the aspects that shape their organizational culture. This will help me in my consulting
job of finding executives and will enhance my understanding of the roles of leadership and management
responsibilities.

II. CONCEPTS
Basically, management primarily integrates activity and harmonizes the demands of employees in
accordance with the requirements of the organization (Mullins, 2019). Thanks to that process, members of
the business can be coordinated, guided, and steered toward the fulfillment of organizational goals (Mullins,
2019). According to Dubrin (2012), a manager is someone who is responsible for the work performance of
team members and has explicit authorization to commit organizational resources. On the other hand,
leadership takes a different approach than the management concept. According to Yukl (1998), leadership
is defined as the ability to positively influence individuals and processes in order to achieve significant
goals. Leaders motivate others to achieve new and better things, pursue innovation rather than obligation,
and measure success by looking at the team’s achievements and learning (Emeritus,2023).
III. DISCUSS THE KEY SKILLS AND COMPETENCIES OF
EFFECTIVE LEADERS AND MANAGER
3.1 The Key Skills and Competencies of Leaders:

(Huber, 2023)

A leader needs more than simply abilities to succeed. A leader is required to obtain certain competencies
to effectively control his or her working environments such as communication, motivation, delegation,
positivity, trustworthiness, creativity, and problem-solving (Dubrin,2012). Skills alone will not be
sufficient to effectively lead a team, a leader must have certain competencies such as giving and receiving
feedback from others, taking responsibility for both the team's success and failure, managing cultural
sensitivity and diversity, and having a global outlook and agility (Pidgeon, 2017).

3.2 The Key Skills and Competencies of Manager:

(Doyle, 2022)
A competent manager possesses all of the necessary talents and can put them to use in order to successfully
operate the business (Dubrin, 2012). There are five skills managerial abilities: technical, interpersonal (or
HR), conceptual, diagnostic, and political (Manktelow & Birkinshaw, 2018). Managers are seen as
charismatic, perceptive, decisive, and proactive team members; their talents and understanding of people
are essential to carrying out their organizational responsibilities (Dubrin, 2012).

3.3 Differences between Leadership and Management

6.1
According to James Kotterman (2006), managers are responsible for planning, budgeting, organizing,
staffing, problem-solving, and controlling to achieve the goals of a business. Conversely, leaders chart a
course, align people, encourage, and inspire (Kotter, 2001). Leaders prioritize flexibility, creativity, and
adaptability, valuing people, emotional and financial performance outcomes, and assessing long-term aims
and approaches (Kotterman, 2006). Managers are impersonal, risk-averse, and focused on short-term goals,
 yet they value work stability and job efficiency (Kotterman, 2006). Managers can act as leaders in specific
partnerships, but leadership is crucial in an organization as authority alone cannot elicit commitment or
influence collaboration from subordinates (Kotterman, 2006).

IV. LEADERSHIP AND MANAGEMENT THEORIES

4.1 Management Theories

According to DuBrin (2012), management theory is a set of ideas that suggest general rules on how to
manage an organization or business. Management theory evolved through the classical approach, the
human relations approach, the quantitative approach, and the contemporary approach (Durbin,
2012). According to Mullins & McLean (2019), the classical approach clarifies requirements, tasks, goals,
and responsibilities at all levels of the organization. It helps the organization as well as the employees to be
most productive. This approach has three perspectives: scientific, administrative, and bureaucratic
management. F.W.Taylor's scientific management involves splitting the workflow into tasks and
identifying the optimal way to perform tasks (Mullins and McLean, 2019). For example, McDonald's uses
precise working processes to ensure consistent high-quality food across all chains and franchises, including
measuring and calculating device layouts to maximize efficiency and maintain consistency across all stores
(Michaelmarkadrianus, 2014).

The human relation approach in Hawthorne's study by E. Mayor is to focus on people, increase employee
productivity and engagement by encouraging positive social interactions at work, and value each person
individually (Durbin, 2012). For example, Zappos, an online retailer, employs a human relations approach,
prioritizing employee well-being, personal and professional development, and open communication through
a distinctive organizational structure (Askin và Petriglieri, 2016). The quantitative approach in Frederick
Taylor established the groundwork for quantitative approaches that include qualitative methods to enhance
decision-making. Typical quantitative tools and approaches include statistics, linear programming, network
analysis, decision trees, and computer simulation (DuBrin, 2012). Mullins & McLean (2019) stated that the
systems approach focuses on the organization's mission, structure-behavior interactions, and the
organization's environment, emphasizing the importance of various communication channels. According to
Mullins and McLean (2019), the contingency approach depends on the specific circumstances of both
internal and external environmental factors of the office.
 Pham Nguyen Confectionery employs a scientific management method, focusing on efficiency
and productivity. Taylor's scientific management theory is applied to everyday tasks like process
standardization, working hours, equipment investment, and production costs, ensuring product
quantity and quality (Mullins, 2019). Nano Technologies has collaborated with Pham Nguyen’s
leadership to deploy the “Vui App” to help the company innovate, digitize its personnel services,
and streamline operating procedures to get close to its employees while meeting immediate salaries
(Vnexpress, 2022). This approach ensures the company's success in the Vietnamese market. Pham
Nguyen also adopts the human relations approach, focusing on staff collaboration with business
leaders to build a strong organizational culture Ms. Thao, the director of Pham Nguyen,
acknowledged that staff and workers collaborate with business leaders to establish a robust
organizational culture that upholds high governance standards (YenHoang, 2023). This approach
could significantly save costs associated with recruiting and training new employees.

 The use of these two theories also includes the strengths and weaknesses of the range:
Scientific approach: The strengths are increased productivity and efficiency, better control of
company operations, reduced waste of time in shipping, and better prediction of trends, customer
preferences, and market demand. Pham Nguyen Confectionary's revenue increased by 9% in 2021
to 930 billion VND but reported a loss of nearly 55 billion VND, compared to 1.6 billion VND in
2020 (YenHoang, 2023). Also, the weakness of this theory is that it creates a sense of management
control, reduces employee creativity, and requires significant investment in technology including
modern machinery and closed production processes, to ensure strict food safety hygiene in factories
(Laodongthudo, 2022). This can be costly for smaller organizations like Pham Nguyen
Confectionery.
Human relations approach: Its strengths are improved 8.1
mentality and motivation, and reduced
employee turnover helps save recruitment and is motivated to work more effectively. Pham
Nguyen's staff now reach over 1,500 staff by 2023, fostering a professional, dynamic work
environment (Itnavi,2023). The human resources team is dedicated to support and joint
development, regularly updating policy regimes through large-scale surveys to meet staff
preferences (Itnavi,2023). The weakness of this theory is that it takes more time and resources,
especially for training and development programs, and it focuses too much on soft skills to overlook
the importance of technical skills. The production process and quality management of Pham Nguyen
 are very strictly controlled (Laodongthudo, 2022). Pham Nguyen needs more courses to teach
employees about food safety and hygiene in manufacturing to deliver high efficiency and a
professional working environment (Laodongthudo, 2022).

4.2 Leadership theories

There are many theories about leadership, but this report will cover the main leadership theories including
contingency, and situational. According to Amanchukw and Ololube (2015), the contingency theory of
leadership suggests that a leader's success depends on their management approach, considering factors like
team size, project scope, and deadline, and acknowledging that factors beyond their control also contribute
to their success, despite their own abilities. For example, Apple, under CEO Tim Cook, has adopted an
adaptable and region-specific market strategy, expanding into emerging markets like China and India,
recognizing the significance of global market diversity (Eadicicco, 2019).

Dubrin (2012) stated that the situational theory emphasizes situation and flexibility to diagnose leadership
style appropriate to problem-solving. There are two basic theories: the Hersey & Blanchard theory and
the Vroom & Yetton theory. Vroom & Yetton's model helps individuals identify the best leadership style
and decision-making approach, focusing on choice quality, decision acceptance/team commitment, and time
restriction. Amazon, one of the world's largest technology and e-commerce companies, is known for its
diverse and complex workforce. Amazon managers used Telling (S1-Directing) to guide new recruits to
perform their tasks accurately and safely (Bruno & Lay, 2008).

 Pham Nguyen Confectionery is an example of a company that has applied contingency theory to
its operations. Pham Nguyen Confectionery is constantly improving the quality of its products,
bringing fresh, nutritious, and tasty products to every Vietnamese meal (Laodongthudo,2022). Not
only do we develop top-of-the-line products, but Pham Nguyen is a company that always puts
consumer health first (Laodongthudo,2022). In order to enhance their expertise and satisfy the
 knowledge requirements for food production, Pham Nguyen also frequently invites Japanese
specialists to train authorities and workers about food safety and cleanliness in production
(Laodongthudo,2022).
 Pham Nguyen Confectionery's strengths in applying the reserve theory include adjusting leadership
styles to adapt to always innovate, and learning the needs of customers to serve them better
(Yenhoang,2023). In addition, adjusting leadership styles that can make more effective decisions is
also a strong point. Besides, there are weaknesses that Pham Nguyen may encounter when applying
this theory, which can10.1confuse employees and potentially harm their mentality and performance
when they are inconsistent in their leadership. Pham Nguyen, as a leader, consistently integrates with
development trends, introducing innovations like investing in facilities and infrastructure and
launching nutritional product lines suitable for all ages, ensuring high consumer demands, making
it impossible for employees to keep up and possibly bringing about undesirable results
(Laodongthudo,2022).

V. LEADERSHIP AND MANAGEMENT STYLES

5.1 Management Styles

Task-oriented: A behavioral strategy in which the manager focuses on the activities that must be
accomplished in order to reach certain objectives or achieve a set level of performance (Likert, 1967). For
example, FedEx Task Orientation, a global courier and transportation company, emphasizes the
significance of clear objectives and deadlines in managing goods efficiently. The system provides precise
information on the date and time of package pick-up, its transit points, and the expected delivery time
(Williams and Attaway, 1996).

Relationship-oriented: The manager uses a behavioral approach to motivate and promote teamwork,
fostering positive connections and effective communication within the team (Griffin, et al., 2010).
Patagonia, an outdoor clothing and gear company, is well-known for its relationship-oriented management
style. The firm focuses a heavy emphasis on creating a culture that promotes employee well-being and
provides advantages including flexible work hours, daycare, and paid volunteer time off (Carter, 2020).

 In business production, Pham Nguyen Confectionery often adopts a task-oriented management

style to ensure efficiency and productivity in work in the production process. In the food industry,
including candy manufacturing, there are often strict regulatory requirements related to hygiene that
 emphasize standard operating procedures and put into operation chemical and microbiological
testing rooms equipped with modern equipment (Laodongthudo, 2022). It also sets specific
performance targets, deadlines, and metrics to ensure successful product development and launch.
 Decisions will focus on relationships with customers and employees in a relationship-oriented
11.1
management approach. In Patagonia, it is known for its relationship-oriented management style
by focusing heavily on creating a culture that promotes employee well-being and benefits (Carter,
2020). Companies prioritize providing the best customer service they can while providing guidance
and training to enhance their talent. On the other hand, a task-oriented management style makes
choices based 11.2
on the organization's goal of improving productivity and generating high returns.
(Likert, 1967). At FedEx we emphasize the importance of clear targets and deadlines in managing
goods effectively. Enterprises evaluate and monitor the performance of workers to improve the
production cycle (Williams and Attaway, 1996).

5.2 Leadership Styles

There are many styles of leadership, but this report will cover six leadership styles including contingency,
situational, transformational, transactional, charismatic, and emotional styles. Fiedler's Contingency
Model describes leadership styles as task-oriented and relationship-oriented and created a questionnaire
(LPC) to help island leaders understand their leadership style, focusing on leader-member relations, task
culture, and position power (DuBrin, 2012). Vroom & Yetton (2017) identify five different styles based on
situation and level of involvement. Two are autocratic (Autocratic Type 1 and 2), two are varieties of
consultation (Consultative Type 1 and 2), and one is joint-decision-making (Group-based Type 2). For
example, Bill Gates' success is largely attributed to his Autocratic Type 2 leadership style, which he
employed to swiftly make decisions and challenge employee opinions during meetings (Inc.com, 2020).

Transformational leadership involves transforming followers' expectations, perceptions, and motivation

through idealized influence, inspirational motivation, intellectual stimulation, and individualized
consideration (Bass & Riggio, 2005). Mullins
11.3& McLean's (2019) transactional leadership focuses on

using rewards and punishments to improve employee performance, with three dimensions: contingent
reward, passive management, and active management by exception. Terry Gou, Foxconn's CEO, uses a
transactional leadership style that emphasizes task management, error-free productivity, and meeting
deadlines through punishment and a task-oriented approach (Chege, Wachira & Mwenda, 2015).
Charismatic leadership is a leadership style that involves effective communication, persuasion, and charm,
encompassing psychological, social, and relational aspects (DuBrin, 2012). According to Mullins and
McLean (2019), emotional leadership includes six different leadership philosophies: visionary,
democratic, commanding, affiliative, pacesetting, and coaching. For example, Elon Musk, Tesla CEO, has
adopted an emotional leadership style inspired by his passionate vision for sustainable energy and space
exploration, despite his controversial statements and intense work ethic (Yauney, 2018).

 Pham Nguyen, a confectionery company, employs transformational leadership, promoting

collaboration between staff and corporate leaders, to meet consumer needs and drive business
growth. The word pressure "meets the needs of the consumer", with the greatest motivation being
to understand that Pham Nguyen's confectionery products serve millions of Vietnamese families
annually (Yenhoang, 2023). Pham Nguyen also uses the Autocratic Type 2 Leadership style, where
leaders collect employee information
12.1
before making decisions. They consult the R&D team and the
manufacturer to introduce the new product, but ultimately they decide on the launch strategy, price,
and marketing (Itnavi, 2023).

 Different leadership styles influence decision-making and organizational operations. Specifically,

transactional leadership (used by Foxconn) focuses on using rewards and penalties to improve
employee performance (Mullins & McLean, 2019). Decisions are often made to match specific goals
and targets, and performance measurements are used to evaluate results. However, transaction
managers may limit employee involvement in decision-making and be less flexible in adapting to
12.2
changing circumstances. Meanwhile, emotional leadership (used by Tesla) concerns the ability of
leaders to recognize, understand, and manage their own emotions as well as those of team members
(Mullins & McLean, 2019). However, the emotional leadership style can lead Tesla to make
decisions more slowly based only on emotions and can lead to delays in decision-making. In
summary, the difference between these two leadership styles affects decision making in the
organization.
VI. ORGANIZATIONAL CULTURE
6.1 What is organizational culture?

According to Schein (1985), organizational culture is the collection of values, beliefs, and assumptions held
by the organization's members. Understanding organizational culture is critical since it plays a vital impact
in the success of any firm. There are multiple ways to classify different organizational culture types. Charles
Handy’s and Deal & Kennedy’s classifications are extensively utilized (DuBrin, 2012).

6.2 Types of organizational cultures

6.2.1 Charles Handy’s 4 types

Charles Handy (2007) identified four main organizational cultures: power, role, task, and person. Power
culture (focusing on the power of leaders and quick decision-making). The Coca-Cola Company has a
power culture, with influential leaders preserving and reinforcing its iconic brand identity and traditions,
such as the iconic logo, glass bottle use, and holiday advertising campaigns (Coca-colacompany, 2023).
Role culture ( a bureaucratic system, and operating under strict procedure), task culture (focusing on
employee tasks and projects, by matrix organizations), and person culture (focuses on the individual,
orients and meets each individual's complete needs) (Handy,2007).
 6.2.2 Deal & Kennedy’s four generic types

Deal and Kennedy's (1982) four generic types of corporate culture include Work Hard/Play Hard, Tough
Guy, Macho, Process, and Bet-Your-Company. Deal and Kennedy base their classification of corporate
culture on two factors: degree of risk and speed. Tough-guy, macho culture (fast feedback on their
decisions, high risk); Work-hard/ play-hard culture (prompt feedback, minimal risk-taking); Bet-your-
company culture (slow feedback, high-risk decisions); Process culture ( low-risk, slow-feedback) (Deal
and Kennedy,1982). Toyota is renowned for its commitment to process culture, as exemplified by the TPS
system, which promotes continuous improvement, waste reduction, and standardization, and has made it a
leader in the automotive industry by encouraging workers to identify and solve problems at the source
(Liker, 2004).

 Pham Nguyen Confectionery is renowned for its commitment to power culture. Pham Nguyen aims
to be the leading fast-food manufacturer and distributor in Vietnam, focusing on empowered
leadership and quick decision-making (Yenhoang,2023). Leader Pham Nguyen managed the entire
business, centralized decision-making, and received the "Best Governance of Vietnam" award from
the private enterprise. Pham Nguyen Confectionery Company's Deputy Director General, Mrs Thao,
has announced an award as a recognition and encouragement for its staff (Yenhoang,2023).
 There are various factors influencing the development of organizational culture: including history,
business nature and technology, strategy, size, location, management and leadership, and the
environment (Mullins & McLean, 2019). However, Pham Nguyen's confectionery corporate culture
is most clearly influenced by three factors: management and leadership, history, and digital
technologies. With the vision of becoming the leading fast food manufacturer and distributor in
Vietnam, Pham Nguyen is always trying to provide and satisfy every member of the family of
 vietnamese consumers (Itnavi, 2023). Corporate leadership must adapt to cultural influences and
align with the company's mission and strategic goals. Pham Nguyen, a confectionery company, is
expected to see a significant impact on its corporate culture through digital technology in marketing,
production, and customer engagement. According to the representative of Pham Nguyen Food
Processing and Confectionery Co., Ltd., in 2022, focus on finding technology solutions, operational
optimization, and team cohesion through the "Flexible salary payment" model through the "Vui
App" (Vnexpress, 2022). Pham Nguyen leaders and managers are always associated with the
organization's culture. The company's culture is shaped by its history, founding principles, and
traditions, particularly it originates from family production and uses family recipes, emphasizing
heritage and authenticity (Laodongthudo, 2022). However, three factors have the greatest influence
on Pham Nguyen's company culture. These factors shape the organization's values, priorities, and
atmosphere, promoting communication and productivity. Pham Nguyen prioritizes staff quality,
adjusting policy regimes through surveys (Itnavi, 2023). In short, corporate culture is often a result
of multiple factors, not operating separately.
The importance of organizational culture at Pham Nguyen Confectionery performance
 Organizational culture is an important factor that can significantly influence the effectiveness of
15.1
Pham Nguyen confectionery. A strong, active culture fosters employee cohesion, motivation, and
dedication. A culture that encourages innovation and adaptability is crucial for performance in the
fast-changing candy industry. Not only does it promote a positive working environment, clearly
defined in line with the company's objectives and vision can bring greater cohesion for employees
and customer satisfaction. Therefore, actively nurturing the company's organizational culture is
essential for long-term operational efficiency and growth.

VII. CONCLUSION
In short, the report showed the basic theories and styles of management and leadership. In addition, it also
provides evidence of managers and leaders using theories and styles to lead businesses. It highlights the
advantages and disadvantages of different leadership and management theories. Clearly examined results
on corporate culture and its significance to the Pham Nguyen organization. Finally, the recommendations
are made to help Pham Nguyen Confectionery company further improve its performance.
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Index of comments

2.1 What you did well

- You can discuss different theories of leadership in different organizations (for P1)

- You can explore different theories of management and provide good examples (for P2)

- You can assess different leadership and management styles and their application in many orgianizations (for P3)

- You can analyse different types of organizational culture and give examples and examine the factors that influence
the development of the culture in organizations. (P4)

- You can analyze the impact of the application of leadership and management theories on the effectiveness of your
organization (M1)

- You can compare the impact of leadership and management styles

on decision making in different organizations (M2)

- You can evaluate the importance of organizational culture on the performance of your organization (M3).

What you did less well

- You need to discuss the theories in more details

- You could use more academic papers to support your arguments

- Your reference list does not follow the Harvard style

What you can take forward to your next essay

- You need to support your arguments with more academic sources and evidence

- You need to pay attention to citations and references

4.1 Good introduction

6.1 citation eror

8.1 Support these with acadermic papers

10.1 Any evidence?

11.1 ????

11.2 ????

11.3 ???

12.1 Good

12.2 Good comparison

15.1 You need to support these arguments with academic papers

 Index of comments

16.1 Check reference style to follow the Havard style

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