I have often heard the terms used interchangeably, but there is a difference. Beside the definitions of the terms, there is a real, practical, and meaningful differentiation.
Management is planning and organizing projects and operations, allocating resources to minimize costs and maximize benefits, directing practices and procedures, establishing controls to measure the effectiveness and efficiencies, and motivating subordinates. Management is concerned with present activities and the immediate results of those activities.
Leadership is more abstract when considered separately from management. Leadership is guiding a person or group toward the best results. It is having sound understanding to determine and ability to articulate visions and goals. Leadership is in par with management, but takes on precedence for strategic management and long-term success.
Stephen Covey used a ladder to illustrate the difference between leadership and management in the book, 7 Habit of Highly Effective People. Management is concerned with getting up a ladder in the most effective and most efficient manner. Leadership is making certain the ladder is on the right wall.
I have also heard management is focused internally within an organization or group, while leadership is focused externally toward the industry and the market place. However, you chose to define the difference, when you understand the difference, you will be a better manager and better leader.
Enjoy this article? Subscribe to my RSS feed.