The confusion between the role of a manager and a leader has tripped up more than one business professional and cost many companies their very existence. Is ‘the person in charge’ automatically a leader? If you’re managing other people, are you also leading them, by default? Just what is the difference between the two?

According to the current wisdom, managers are principally administrators; they write business plans, set budgets, monitor progress, and, yes, they manage people (but sometimes without the concept of an effective leadership mindset).

Leaders, on the other hand, get organizations and people to change. Most business executives and owners have a mix of management and leadership skills. And, quite often, both skill sets are necessary to run a successful business and team.

[wcm_restrict]But typically, only the top executives can set direction in a company. Setting direction is different from setting goals. A goal is concrete and measurable: “We must sell 10 widgets by next Tuesday.” Direction is broader. Leaders set direction with a vision, a mission and operating principles that embody the company’s direction and values.

Here is a key point that can settle confusion for you: Even if you just manage one person, regardless of what your role/title is, you are also a leader. Yes, you may be considered a “manager or supervisor” on paper, but you are leading, too. And even though your current position may not be one that “sets direction for the entire company”, you are still a leader. And even if you currently don’t manage even one person, you can take on leadership roles (heading up a project, like volunteering to plan the company’s annual picnic). So whether you are actually in a true management role with employees, or assuming a short-term leadership role for the annual picnic coordination, cultivating a leadership mindset is critical.

Whether someone is a Senior Vice President or an entry-level Sales Manager, they are both in management roles (managing other people). But successful managers are also successful leaders, and successful leaders stand out and move up!

So don’t think “leadership” is something that only occurs once you’re in an executive role. Your leadership mindset needs to start on Day One of your very first job.

I realize not every person in a company wants to be a senior executive or “lead” the whole business. But to not embrace some fundamental, effective leadership qualities within your management style, that will make your team happier and more productive, is BEING LAZY in my opinion.

Have you ever heard this saying: “People don’t leave companies; they leave managers”? I don’t want you to be the young leader people choose to leave.

10 Key Differences Between a Manager Mindset & Leadership Mindset:

The following list provides 10 Core Competencies that define key differences between leaders and managers. And, as you’ll see, leadership skills tend to be flexible, responsive to change, and future-oriented.

1. Leaders set a standard of excellence – Managers set a standard for performance
2. Leaders seek employee commitment – Managers seek employee compliance
3. Leaders are proactive – Managers are reactive
4. Leaders create change – Managers maintain the status quo
5. Leaders take risk – Managers are risk-averse
6. Leaders are passionate – Managers are controlling
7. Leaders can create followers – Managers have subordinates
8. Leaders use personal charisma – Managers rely on bestowed authority
9. Leaders give credit – Managers assign blame
10. Leaders care about what’s right – Managers care about being right

In closing, I’d like to wrap up this article with the following: Managers that don’t choose to embody important leadership qualities suffer. And their employees suffer. And their companies suffer. Shortsighted managers tend to focus on process and procedures, not people and vision. Leaders focus on the latter, first. Be a young manager who blends management skills with a leadership mindset, and you will succeed in any role, at any level, your career path takes you.[/wcm_restrict][wcm_nonmember]

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About the Author

Lisa Orrell, The Generation Relations Expert, is an in-demand corporate speaker, consultant, and professional Leadership & Career Coach for Millennials. She is the author of the award-winning book Millennials Incorporated, and her new book, Millennials into Leadership, was just released on Amazon and praised with 5 star reviews. This new book is the ultimate handbook for Millennials aspiring to be respected, effective young leaders at work. And based on her workforce dynamics expertise, she has also been featured by countless media, such as: MSNBC, ABC, NPR, The NY Times, Wall Street Journal, BNET.com, FoxBusiness.com and Human Resource Executive. For more info about Lisa’s seminars, keynotes, workshops, coaching, and books, visit: www.TheOrrellGroup.com. People also follow Lisa’s insights on Twitter @GenerationsGuru.