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The connection between leadership and sustainable growth in the construction industry

Perceived from a swedish and austrian company’s and governmental perspective

Written by E. Glatzenberger

Paper category

Master Thesis


Business Administration>Leadership




Master Thesis: Leadership The concept of leadership has been discussed a lot in the research field, leading to a large amount of data on leadership and related topics. However, these data do not clarify the research field, but greatly broaden the research field. The scientific world is its generally accepted meaning in today's work environment (Yammarino, 2013). However, overall, the background of leadership has never been related to project management (McManus, 2006). The reason for the importance of leadership is that if there is a defect, it may pose a threat to the growth of the organization (McManus, 2006; Kouzes & Posner, 2010). There are still people who believe that leaders only appear at the top. But this idea can be ignored, because current experience tells us differently (Kouzes & Posner, 2010). Leadership can be seen at all levels of management, regardless of whether there are titles or positions that suggest leadership (Yammarino, 2013). 2.1.1. Leadership development Yammarino (2013) explained that in the past 100 years or so, many scholars have contributed to the development of leadership. In the 1970s, scholars noticed that leaders treated their subordinates differently, showing a unique style for each subordinate. Before that, it was generally believed that there was no difference in treatment. Therefore, this relationship is biased, because different treatment is based on performance, but there are also issues such as personal preferences or attractiveness. Yammarino (2013) emphasized the importance of collective-level phenomena. In a world that is rapidly flattening and dominated by dynamic change, leadership must function at multiple levels (ibid.). Since scholars began to study leadership, they have been divided into two perspectives: those who believe that you must be a leader by nature and those who believe that you can be a leader become a leader. Today, the vast majority of people agree that no matter where an individual’s leadership skills begin, they can be learned, developed, trained, and mentored (Yammarino, 2013; McManus, 2006). Most researchers focus on describing the personality characteristics and behaviors of leaders to analyze the composition of outstanding leaders. In the past 40 years, the amount of literature has been growing and growing. Due to the question of research validity, this sparked discussion among leaders of mechanics (Frank, Gertz, and Porter, 1996). Frank et al. (1996) asserted that effective leaders have a variety of different styles, and their strengths and weaknesses are different. However, there is one thing that all successful leaders have in common-employees can produce satisfactory results. Frank et al. (1996) introduced six conditions that must be met and understood by employees to work effectively. Facts have proved that the background of leadership has undergone tremendous development and changes in the past few decades. Globalization and new technologies are the biggest influencing factors of this transformation. However, the main content remains the same (Kouzes & Posner, 2010). 2.1.2. The role of leaders in the company Managers and leaders should serve as role models (Kalyani, 2011). In order to emphasize the importance of leadership, Frank et al. (1996) pointed out that leadership can support but also prevent change, which is necessary for growth (Frank et al., 1996). Yammarino (2013) strengthened the method of Frank et al. (1996), saying that interaction with the results of employees allows them to understand the issues listed above. This is essential for followers to develop into an efficient and powerful workforce. But in order to ensure that employees correctly understand their leaders, leaders must be highly sensitive to the broader conditions under which the company operates, and decompose this information into everyone’s understanding (Kouzes & Posner, 2010). Kalyani (2011) explained the task of leaders to increase employee motivation and confidence by using encouragement and feedback as important tools. In addition, the leader must create a positive environment in which the ideas of the supervisor can even be challenged. Strong leadership ensures the creation of a creative and innovative culture (ibid.). Yammarino (2013) refers to the tasks of the leader at the binary, group, and collective level, and describes the leader’s prescription, including motivating employees, treating followers as individuals, inspiring followers intellectually, and helping to follow The leader becomes loyal, explains the meaning of the event for them, and tries to cancel his own work, thereby giving others the opportunity to develop and liberate the leader himself to deal with new challenges. In addition, on the dual level, according to the needs and desires of each follower, the leader should provide followers with support, attention, time, resources, and challenging work, encourage high performance of the followers, and over time Develop and empower them one-on-one as they progress. At the team level, he must share responsibilities, powers and tasks, establish a cohesive and friendly working atmosphere, and promote cooperation and mutual trust within the team. Compared with the two-tuple and team level, the collective level requires leaders to provide vision and direction, and set missions and goals. He or she also serves as a moral and ethical compass and a model of integrity. The last but not least thing that a leader must meet is her or his team's expectations at all the mentioned levels (ibid.). Read Less