Organizations are indispensable to human and civilization progress and in meeting societal needs. Organization and civilization are interdependent twins; one could not develop without the other. Today in modern societies, organizations shape values, set structural roles and norms in civilization directions, change and determine human destinies, and perform a wide range of functions from integration and human fulfillment to disintegration and individual alienation. From their birth, organizations were simple in structure and management, but as they grew larger they became sophisticated and complex in structure and function, requiring managerial skills and techniques beyond the comprehension of many people. In modern day organization the workload is designed to promote and maintain health aspects of employees. Additionally, much importance is given to contextual factors such as the technology and the environment of the organization and the professional level of the employees. In today’s era, an organization or a workplace is not confined into a building or two, but is spread over a large geographical area having no direct connection. Therefore, the leader has to establish some channel of communication to enhance and maintain the productivity and remove faults occurring due to miscommunication.
Nowadays, leaders are more oriented towards human relationships, or have a combination of task and relationship orientation, thus have a positive impact on both job satisfaction of employees and the productivity of the organization. modern leaders vary the leadership style depending on the maturity of the employees, i.e. their motivation to reach results, their willingness and ability to take responsibility and their knowledge and experience. When the maturity of the employees is low, the leadership is task-oriented, but it can be more relationship-oriented with a higher maturity. When the maturity is very high, neither a task- nor a relationship-oriented leadership is needed. Instead, in such a situation, leadership responsibilities are delegated to the employees.
A new concept of “Self-managed work teams” is also introduced in organizational units to give a high degree of control to the employees. In such a team, the members are planning, organizing and controlling their own work tasks. This concept contributes in inducing the feeling of responsibility, which is linked both to increased job satisfaction and increasing productivity. Thus, leaders may play an important role in creating such a decentralized structure, and also in creating an organizational culture that supports a high degree of control among the employees.