Psychology of management

Management
is a process of legal influence carried out by an 
executive on the basis of the power endowed to him/her by the state or a group (in those cases 
when an executive is elected)
. 
Management is to a greater extent a social characteristic of relations within the group, 
first of all, from the point of view of roles distribution between control and subordination. 
Management is based on the principles of legal relations, social control, and application of 
disciplinary practice. 
Leadership
, in its turn, 
is the process of a person’s psychological influencing others in 
their mutual activity; this process takes place on the basis of perception, imitation, suggestion, 
understanding each other
. Leadership is a purely psychological characteristic of certain group 
members’ behavior. Leadership is based on principles of free communication, mutual 
understanding, and voluntariness of subordination. 
Thus, managerial activity in a broad sense can be executed by not only a manager, but by 
a leader as well. Socially acceptable and effective in modern conditions is personnel 
management carried out in the form of leadership. Ideally, these two roles are performed by the 
same person; but unfortunately, this is not always the case. 
American management traditionally supposes that a leader and an executive is usually the 
same person. On appointment a person an executive at any level it is desirable that (s)he become 
a leader in a while (usually in a few months). If this doesn’t happen, the unwritten rule is that the 
manager should free the position for a person who may become a leader. 
The advantages of a leader are that the organization recognizes his/her moral right of 
taking decisions in important situations. This is the person who occupies the top of hierarchal 
ladder of status and prestige of organization members. 

---

52 
So, in what way is a 
leader-manager
different from an administrator-manager? The most 
important is that a leader does not command, does not order, and does not “press” employees in 
order to achieve some goals which are sometimes far from their understanding, but leads people 
after him/herself for solving common problems of the collective. 
A