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Management of Projects and People : Leadership - Essay Example

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Even though the global financial crisis has affected the construction or real estate business a lot, many people believe that the current dip in construction business is only a temporary one and in near future itself the real estate sector will be back on track. Irrespective of…
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Management of Projects and People : Leadership
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Download file to see previous pages The UK construction industry consists of over 250 000 firms employing 2.1 million people in a multitude of roles. Moreover, the UK construction sector contributed 9.2% of the nation’s GVA (Gross Value Added) in 2007 (BIS, 2009). Management and leadership styles are important in determining the success of any business activity and the construction sector is also not an exception. Successful construction managers are often measured by their ability to deliver a contract on time, to budget and at the agreed quality. To do this they require mastery of many of the leadership and management skills which are described briefly in this paper based on the UK construction industry.
In a research conducted by the Chartered Institute of Building-CIOB, UK (2008) has reported that over 650 directors and managers in the construction industry were unable to name any influential leaders in the industry. The above research also suggests that construction companies are failing to provide adequate development of leadership potential particularly within larger companies where 18% are not progressing their leaders in any way, and 45% do not have a formal succession plan or leadership strategy (CIOB, 2008).
The above study clearly indicates that UK construction industry leadership has certain problems compared to other industries in UK. Construction industry is totally a different industry compared to other industries. Construction industry requires leaders rather than managers. The role of a leader and a manager in a construction industry has lot of differences.
As the construction projects become more and more complex, the construction management or the leadership also requires more changes (Jackson, 2004, p.1). Construction industry prospects are not stable and it undergoes severe fluctuations always. The construction leadership should aware of all these changes in the real estate market in order to manage the projects ...Download file to see next pagesRead More
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