Healthcare organizations are the most important sector for the public. Healthcare organizations are composed of groups of individuals and practitioners who together work for society and provide health care services. Public healthcare systems and health care organizations are established so that they can meet the physical and health needs of the public. According to the World Health Organization (WHO), an organized, professional, and well-functioning healthcare organization and system need a secure financing mechanism, up-to-date setups, trained professionals, a properly paid workforce, legit information to support the designing of developments and policies, and professional health facilities so that the public can get high-quality and secure technologies and medicines (WHO, 2021). The concept of leadership follows the format of a process that allows an individual, a professional, to influence the team to achieve a mutually decided goal. The managers of the healthcare system may or may not be efficient leaders and leadership does not need authority as a backup. This reflects that management in healthcare is a function and leadership is a relationship. Theories of leadership and management are developed and presented separately; however, their functions co-exist and have sufficient similarities, therefore, both concepts are necessary to ensure that healthcare professionals deliver high-quality services (NHS England, 2018). The paper will critically discuss the theories of management and leadership and will evaluate the significance of the discussed theories for the success of Healthcare organizations.
In general terms, management means planning, controlling, organizing, implementing, budgeting, and evaluating. Management makes sure the proper utilization of all the resources that are required to move towards success. The scientific management theories were introduced by Frederick Taylor. He established the concept of management as a science in the healthcare organization. He believed that healthcare professionals have separate and specific roles. Taylor proposed that by differentiating specialization and labor, the productivity and efficiency of an organization could be improved (Taneja et al., 2011). He then introduced four principles of management. However, his approach to a more scientific method was criticized by healthcare professionals and unions because they believed that this theory made workers work for minimum pay. Overall, this theory was criticized heavily by professionals for dismissing the human element (Waring, 2016).
Bureaucratic and administrative theories were introduced which focused on the establishment of rules, hierarchy, and discipline in organizations (Kwork, 2014). The theory stated that the primary function of the management that will increase the productivity of organizations are- planning, casting, commanding, organizing, monitoring, and coordinating. Weber’s theory of organization focused on the division of organizations into different levels so that a sense of control and authority can be established and workers should respect their managers. These two theories are considered to be working well for healthcare organizations because the changes are less likely to occur or are predictable. Also, in the healthcare organization, the teamwork of professionals is important for the delivery of a standardized product or service. However, the theories were critiqued for promoting slow responses to external change and also for encouraging heady administration where healthcare professionals are treated like machines rather than essential resources (McNamara, 2009).
The contingency and system theories were introduced. It suggests that open systems should be responsive to external changes and adjust to them with the help of feedback and information, whereas, systems that are closed are not much sensitive to the external environment (Rice, 2013). Contingency theory talks about an open-complex system and advocates that the global adaptation of management is not beneficial and realistic. A professional manager must respond to an event with consideration and identification of the contingencies of organizations. This theory is universally adopted in the healthcare system and has been identified as having more practical applications than the open system (Otley, 2016).
Understanding the functioning of healthcare organizations is a complex process but is an essential process at the same time because it will help the professionals better understands the points that will improve the performance quality of the healthcare system. The people working in the healthcare system are the backbone of the system. Therefore, strong and effective leadership is extremely important. Effective leadership and management are essential for the healthcare organization to achieve its goals and overcome its challenges (Mahmood et al., 2012). Management focuses mainly on the healthcare organization of people with the help of planning, controlling, directing, and coordinating to make sure that the system is meeting its goals and is functioning effectively (Day & Leggat, 2018). The old leadership theories focused more on the characteristics of leaders who are successful but now the theories have been shifted towards the context of the leadership and the details of the role of the followers. The Great Man Theory is the first theory of leadership. The theory believed that an individual had innate qualities of leadership, meaning they were born to lead (Spector, 2016). However, this concept was dismissed and the theories shifted toward what a leader can do instead of what they are born with.
The contingency theory can be understood best with the help of the Hersey-Blanchard Model of leadership. It stated that the developmental or readiness level of employees towards a particular task acted as an important variable that was used to decide the style of leadership that should be practiced (Suharyanto, 2020). Another leadership theory is the Servant leadership theory. This theory revolves around the relationship between the leader and the follower. This type of leadership is observed to be effective in multidisciplinary teams (Parris & Peachey, 2013).
Transactional leadership theory is also centered on the leader-follower relationship. The only difference is that it is task-orientated which means that the motivation of the employees is associated with rewards for the efforts they have put in their work. This type of leadership is known to increase the productivity and efficiency of organizations. The transformational theory focuses on inspiring the value of commitment in a group so they can achieve their common goal (Khan, 2017). This leadership is effective in dynamic, turbulent work environments such as healthcare organizations. This theory has been linked to enhancing the productivity of the employees, their engagement, and morale (Ghasabeh et al., 2015).
The last significant leadership theory is shared leadership. Shared leadership theory is observed to be associated with authentic, contingency, and transformational theories of leadership. This type of leadership is identified as an interactive, dynamic influence process among the workers and the groups and the objective is to encourage and lead one another to achieve the common goal created by the group or the organization. The concept of shared leadership is alienated with the seriousness and emergence of unofficial and official leaders and this emergence happens when reciprocal influence leadership is developed, distributed, and shared across a group’s life span. This type of leadership is observed to be the most effective leadership type for healthcare professionals because it works best for teams that share a similar purpose and understanding of the goals and purpose, and are supportive of each other so that they can achieve the goals (Endres & Weibler, 2020). In this type of leadership, input from the members of the group is appreciated and valued.
Leadership and management are present in every relationship and function of organizations. These two concepts are essential for the healthcare system to deliver high-quality services. These two concepts differ from each other when seen from the lens of functionality. However, both skilled leaders and managers are needed to make an organization run effectively. The ideas behind how things work are well-known by the managers and they are aware of the concept of ‘insider knowledge.’ Therefore, managers in the healthcare system are needed to influence beneficial changes and maximize the outcomes through their expertise (Hechanova et al., 2018). Despite these gains, many managers who are from the healthcare background struggle to negotiate their relationships with others again and sometimes fall into conflicts with their peers and different levels of management. It was observed that the managers with clinical backgrounds find it difficult to move past their previous role as healthcare professionals and that they have been trained to work in a systematic and scientific knowledge and this training is not suitable to perform political approaches of decision making, planning and coordinating. Therefore, managers in healthcare organizations have a lack of understanding of their role as a manager which in turn creates a negative impact on the job and thus outcomes of the organization. Research proves that being a skilled healthcare professional does not mean that they will be a skilled healthcare organization manager (Buchhorn & Shannon, 2014). There is a need for new managers to be backed up by their superiors and colleagues and need academic training so they can learn the required skills and knowledge that are important for managers and leaders to work successfully in healthcare organizations.
The environment of healthcare organizations is dynamic, uncertain, risky, and complex. Therefore, leaders and managers working in such environments need skills so that they can manage the organization and control their competencies to influence groups and individuals. The setting of the pre-hospital provides a different insight into management and leadership and this happens due to the fluidity of responses of paramedics and uncertainty, experienced and formal leaders and managers are rarely available and paramedics had to step up and enact leadership to ensure that the patients receive proper care (Mercer et al., 2018). However, at the same time, it is the leaders that bring out the desired result in an organization. Hospitals have cases where a spontaneous need for leadership may arise which could be distressing to the one enacting, however, without a leader, the procedure will not move further.
The National Health Service England is facing multiple issues in creating strategies and overcoming the existing crisis and the reason is found to be the lack of leaders and managers in the organization. NHS England is facing both important and urgent issues. There is a need for savings, more pressure on services, and healthcare professionals from the old-age population; these issues need an authoritative figure to be managed. The lack of clear and good leadership and management is a concerning matter for the NHS. Some people believe that the NHS is full of authorities making poor excuses for the low-quality services and are afraid of taking responsibility. There is an absence of good training for managers and leaders and emphasis is needed on the development required to support the changes and to carry out the delivery of the Five Year Forward View effectively (NHS England, 2015). This shows that both the managers and leaders are responsible for the outcomes of the organization. These two indeed focus on different aspects of the organizations, but it is also true that in Healthcare, leaders and managers have almost the same obligations and moral duties towards the patients. They both work in the same direction to provide high-quality services to their patients. Therefore, the differences between leadership and management get blurred when it comes to the healthcare system. Management and leadership are essential for the success of organizations. It is essential to understand that both leadership and management almost share similar knowledge and skills and they are not different from each other when utilized in the healthcare system. These two must be integrated for the success of the healthcare organization (Parand et al., 2014).
Healthcare is a system that is never constant; it is constantly changing and evolving. Therefore, a particular theory of leadership and management does not work in the healthcare system. However, leaders and managers of healthcare organizations come from clinical backgrounds and face difficulties with the duties they have been expected to fulfill and face challenges with implementing effective practices for positive outcomes. That is why the basic theories of leadership and management must be given to the new or upcoming leaders and managers so they can learn the skills. These skills will help them to work effectively and will help them understand how leaders and managers practice and behave to overcome barriers that exist in healthcare organizations (Weberg, 2012).
McGregor’s Theory Y has been identified as a better management theory that must be implemented by healthcare managers. Former clinicians who are going to take the position of the manager are capable within and there are chances of them having traits that allow them to take a place in the three requirements of McGregor’s Theory Y. Managers are required to have control and self-direction to produce desired results at tasks they are doing. The new managers and the managers who have been in the position for years have from a clinical background and this background, even though have limited their knowledge needed to act as a manager, has advantages, such as they are capable of creating and providing creative and important ideas because they have sufficient experience and have existing relationships within the healthcare organizations (Lawter et al., 2015). This will act as a plus point when they become a manager. McGregor’s Theory Y is considered to be one of the best-suited management theories in complex and constantly changing environments, such as the Healthcare system. This theory will help the managers to be aware of their environment and the best ways to utilize the awareness in gaining assistance and support from the people around through shared networking, and lateral influencing, these all would help them become successful managers (Sorensen Peter, 2011). This common leadership and management shift away from the scientific theory of specialization. The collaboration develops self-confidence and it results in the acknowledgment of individual limitations which in turn encourages them to adopt or enhance the characteristics of a skilled leader. Leaders and management, together, bring out success in an organization.
Impactful management and leadership are essential pieces for the development and success of Healthcare organizations. Therefore, multiple organizations have stepped forward in providing programs for the enhancement of leadership and management quality. For example, the NHS offers a variety of programs to train its staff in becoming knowledgeable and capable managers and leaders (NHS, 2013). These programs focus on teaching individuals skills that are essential and have been used for years in the field of management. Proactiveness is one of the most important skills managers of the healthcare system should have. Proactive managers have self-awareness, understand what is best for the organization, and values motivation, and all these skills allow them to influence their work and decision-making process in emergencies (MacKian & Simons, 2013).
Similarly, there are programs for leadership as well. These programs focus on teaching the upcoming leaders the value of understanding the needs of the other, effectively communicating with staff, taking responsibility, treating everyone equally, being creative, being trustable, and being innovative. All these skills are extremely important for healthcare leaders to have because they will allow the organization to stay away from harmful incidents.
Conclusion
Leadership and management are the key components of healthcare organizations, after healthcare professionals. The skills of these two are necessary for the smooth and mistake-less functioning of the healthcare system. Implementing proper theories of leadership and management will ensure the survival of healthcare organizations through difficult challenges. Management and leadership are essential for the success of organizations. It is important to understand that both leadership and management almost share similar knowledge and skills and they are not different from each other when utilized in the healthcare system. Leaders and management, together, bring out success in an organization.
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