The Difference Between Leaders and Managers

The terms “leader” and “manager” are often used interchangeably, yet they are very different concepts. Understanding the difference is key to understanding the role of leaders and managers in agile organizations.

Managers and Management - As simple as it sounds, managers “manage.” They concern themselves with the day-to-day operations of the business. Managers generally oversee people, processes or tasks, making certain that work is on-track. Management is generally an organizational role that comes with a level of authority. Teams are often compelled to follow the direction of their managers simply because of this organizational authority. 

Leaders and Leadership - Similarly, leaders “lead.” Leaders present compelling visions for the future and seek to inspire people and teams to achieve their common goals. Leaders paint a captivating picture and teams follow them not because they hold authority over them, but because they believe in the vision and trust the leader. Some of history’s famous leaders are Mahatma Gandhi, Martin Luther King Jr. and Nelson Mandela.

Some leaders are managers, but not all managers are leaders.

Managers and leaders in Scrum - While there are often managers in organizations, there is no such construct in Scrum. On the other hand, there can be many leaders on a Scrum Team. For example, the Scrum Master acts as a leader in the Scrum domain, influencing the team to improve their effectiveness by using Scrum. The Product Owners are product leaders, creating an enthralling vision of the product and influencing the team to manifest its value. Similarly, any Developer on the team can also be a leader by using their expertise to drive innovation and deliver value.