CAPM Practice: Demonstrate an understanding of project roles and responsibilities

Leadership involves setting vision, aligning people, and inspiring them toward goals, while management involves planning, organizing, and controlling resources to achieve specific objectives. Both are essential for effective project management.

**Why not A:** Leadership does not require formal authority. In fact, leadership is often characterized by the ability to influence without formal positional power. Management may or may not involve formal authority, but the defining distinction is about function, not authority level.

**Why not B:** Both leadership and management can involve interactions with both external stakeholders and the project team. Leadership is not limited to external stakeholders, and management is not limited to the team. The distinction is about function (inspiring vs. controlling), not audience.

**Why not C:** Leadership is needed for projects of all sizes, not just large ones. Even small projects benefit from vision-setting and team inspiration. The distinction between leadership and management is about their function, not the scale of the project.