In a recent discussion with Global CEO Magazine, Dr Samantha Rathnayake, a senior faculty member at the Postgraduate Institute of Management, University of Sri Jayewardenepura, shared his insights on the evolving dynamics between leadership and management. Dr Rathnayake explored the fundamental distinctions between the two concepts, highlighting the crucial role of balance in achieving both vision and order within organisations.

He further delved into the importance of understanding measurable outputs and qualitative outcomes in leadership and management.

Dr Rathnayake also emphasised the significance of leadership development, external recognition, and the transformative impact of initiatives such as the 45 Under 45 Leadership Excellence Platinum Awards in fostering national growth.

Dr Rathnayake explored the fundamental distinctions between the two concepts, highlighting the crucial role of balance in achieving both vision and order within organisations.

Q: It’s important that we distinguish between leadership and management, and I’ve noticed there’s a lot of debate around this. What’s your take on the matter?

SR: That’s a great way to start, as this question is one of the most longstanding topics in the world of business. To put it simply, management can be described as a process – a process of planning, organising, leading, and controlling, all with the aim of achieving efficiency and effectiveness. Management has a predominant role in ensuring predictability and keeping things in order.

Leadership, while part of management, is all about inspiration, instruction, and influence. It’s about seeing the big picture, a visionary journey. Leaders focus on turning vision into reality, while managers ensure everything runs smoothly, like housekeeping. We could say that leadership is having a bird’s-eye view, while management is about keeping things in order. But at the end of the day, both are vital.

There’s leadership in management and management in leadership, but what truly matters is the balance. Leadership brings inspiration, while management provides order. It’s like a chess game – management is the predictable, analytical side, but leadership brings in the innovative, strategic moves. Both are equally important.

Q: You mentioned management being about delivering results. However, I’ve noticed that many people use the terms ‘outcome’ and ‘output’ interchangeably. What’s your view on this?

SR: It’s true that in everyday language, we often use ‘output’ and ‘outcome’ interchangeably, but from a technical perspective, they have distinct meanings. There’s something called Results-Based Management (RBM), which is not commonly discussed, but it helps clarify this distinction.

Outputs are measurable, countable, and quantifiable results of actions. They may be short-term, mid-term, or long-term, but they are specific and measurable. Outcomes, on the other hand, are the qualitative impacts that result from those outputs. For instance, in a business context, key deliverables like efficiency, effectiveness, and engagement can be measured as outputs, but the resulting customer satisfaction or employee engagement would be considered outcomes.

So, while it’s important to focus on outputs, leadership must also consider the broader outcomes – the qualitative impact and the long-term effects of their actions. Many leaders focus on big ideas, but the challenge is translating those ideas into measurable actions and outcomes.

Q: You’ve explained the importance of understanding output and outcome, but for an organisation to define these properly, effective leadership is required. How can organisations foster leadership development and recognition?

SR: That’s a very insightful question. From an organisational perspective, it’s essential to cultivate leaders who can inspire, transform, and take the organisation to the next level. Leadership development is a journey, from nurturing individual talent to shaping organisational growth.

At the same time, external recognition is crucial. Organisations like Global CEO Magazine and others play an important role in identifying and celebrating emerging leaders. Recognition motivates individuals to keep pushing for improvement, to innovate, and to come up with new concepts and value additions that contribute to the growth of the nation.
So, leadership recognition is not just about awarding accomplishments, but also about celebrating the potential for future growth. It encourages leaders to continuously evolve and drive positive change.

Q: Speaking of leadership recognition, there was a great initiative recently with the 45 Under 45 Leadership Excellence Platinum Awards. Could you share your thoughts on this initiative and its importance for national development?

SR: I’m not just praising the organisation conducting this interview, but what I’ve seen in many cases is that while we recognise leadership, the follow-through to take these leaders to the next level is sometimes lacking.

The 45 Under 45 Leadership Excellence Award Ceremony initiative stood out because it didn’t stop at awarding participants. The organisers took the finalists and judges on an immersive experience within a multinational industry environment. We spent half a day exploring how these businesses set their goals, created strategies, and implemented tactics, from planning to compliance measures. This real-world exposure was invaluable for the participants, who gained insights into management practices and leadership approaches that they could bring back to their own organisations.

Initiatives like this are essential for helping emerging leaders broaden their horizons and adopt new practices. I believe more of these initiatives are needed to elevate leadership and take our industries and nation to the next level.

Q: Initiatives like this can certainly propel a nation forward. Another important initiative of Global CEO Magazine is to keep society informed about the ever-changing world of business. What do you think is the role of a business magazine in today’s world?

SR: This is a question that resonates deeply with me. Many organisations, especially in competitive environments, are so focused on meeting targets and overcoming business challenges that they often miss out on learning from broader industry insights. That’s where a business magazine plays a crucial role.

A magazine like Global CEO brings together diverse insights – from CEO interviews to well-researched articles and business advice. It’s like a basket of knowledge, offering key takeaways that leaders can use to set their direction and make informed decisions. Having access to such rich, invaluable content allows leaders to stay up-to-date and apply new learnings to their organisations.