The influence that particular individuals exert on the goal achievement of others in an organizational context. Some people in organizations occupy formal or assigned leadership roles with authority to direct employees. Individuals might also emerge to occupy informal leadership roles. Subordinates who work for managers with good leadership skills will generally: know how to achieve higher levels of performance, want to achieve higher levels of performance, feel affectively committed to their organization, want to stay within the organization. Managers vs leaders y what is the difference? y what do the experts say? y. John kotter, harvard business school: managers promote stability while leaders press for change and only organizations that embrace both sides of the equation can survive. Intelligence: energy, self-confisence, dominance, motivation to lead, emotional stability, honesty and integrity, need for achievement. Does not tell us what leaders do to influence others successfully. It does not take into account the situation in which leadership occurs.