Leader vs. Manager—Do You Know the Difference?

June 21, 2018

I’ve had the opportunity to work directly with about eight CEOs over my career. Some were great leaders, some not so much. I’ve also witnessed many good managers struggle after being promoted to leader. Mainly because they were uncomfortable releasing the day-to-day tactical responsibilities and moving into a more strategic role. One of my previous bosses who was promoted to vice president early in his career said, “I want to make sure the company knows I’m adding value. If I’m not involved in the day-to-day minutia, they can easily get rid of me.” Sadly, he could never get accustomed to his new role as leader, and our team suffered. Micromanaging, control freak, and his inability to delegate created all kinds of bottlenecks. In addition, his personal insecurity stifled his ability to seek help. As a result, it was hard to get anything done.

The main difference between leaders and managers is that leaders have people follow them, while managers have people who work for them. Managers count value, while leaders focus on creating value.

Leading by enabling people are the hallmarks of action-based leadership. For example, most leaders I’ve worked with focused on a variety of missions. Once the “north star” was set and communicated, the management team brought the vision to life through their respective employees. The mission always had a beginning, a middle and an end. And, when it was completed, the leader set a new one all designed to move the organization forward. It’s challenging to set a mission or be a strategic thinker if you are working at the tactical level.

Leading People vs. Managing Work

Leaders are comfortable with risk and will generally see routes that others avoid as potential opportunities for advantage. They also will happily break rules to get things done.

According to a Wall Street Journal article, below are 10 differences between managers and leaders.
• The manager maintains; the leader develops.
• The manager focuses on systems and structure; the leader focuses on people.
• The manager relies on control; the leader inspires trust.
• The manager has a short-range view; the leader has a long-range perspective.
• The manager asks how and when; the leader asks what and why.
• The manager has his or her eye always on the bottom line; the leader’s eye is on the horizon.
• The manager imitates; the leader originates.
• The manager accepts the status quo; the leader challenges it.
• The manager is the classic good soldier; the leader is his or her own person.
• The manager does things right; the leader does the right thing.

If you hold a leadership role now or aspire to do so in the future, think about steps you can take in each of these areas.

The late management guru Peter Drucker identified the emergence of the “knowledge worker,” and the profound differences that would cause in the way business was organized. With the rise of the knowledge worker, “one does not ‘manage’ people,” Mr. Drucker wrote. “The task is to lead people. And the goal is to make productive the specific strengths and knowledge of every individual.”