CHAPTER 9
Leadership
Week 11
Leadership
Leadership Concepts
Concepts
Leader: An individual within a
group or an organization who
wields the most influence over
others.
Leadership: The process
whereby one individual
influences other group
members towards the
attainment of defined group or
organizational goals.
Leadership
Leadership Characteristics
Characteristics
Leadership:
– Involves non-coercive influence
– Is goal directed
– Requires followers
3
Non-Coercive
Non-Coercive Influence
Influence -- Illustration
Illustration
• ‘You do not lead by hitting people over the head;
that’s assault, not leadership’ (Eisenhower).
• ‘Power grows out of the barrel of the gun’ (Mao
Zedong).
Leaders
Leaders vs.
vs. Managers
Managers
Leaders Managers
Develop a vision for the Implement the vision created by the
organization and devise strategies leader.
to attain that vision.
Oriented towards change and Oriented towards stability and short-
long-term effectiveness. term efficiency.
Change oriented leadership A ‘managerial’ orientation seems
seems appropriate in times of appropriate when the external
environmental turmoil. environment is relatively stable.
• Organizations need both leadership and management to be effective.
• Leadership is necessary to create change, while management is
necessary to achieve orderly results.
Trait
Trait Theories
Theories of
of Leadership
Leadership
Leaders are Born, Not Made
Trait theories focused on identifying leader traits – that is,
characteristics – that would differentiate leaders from non-
leaders.
However, despite the best efforts of researchers, it proved
impossible to identify a set of traits that would always
differentiate a leader from a non-leader.
Later research on the leadership process identified seven traits
associated with successful leadership:
Seven
Seven Traits
Traits Linked
Linked With
With Leadership
Leadership
Behavioral
Behavioral Theories
Theories of
of Leadership
Leadership
The behavioral theories focused on what leaders actually
do – that is, on the specific behaviors performed by
effective leaders.
The main premise of these theories was that effective
leaders engage in certain behaviors, which distinguish
them from ineffective leaders.
This approach suggests that these behaviors can be
learned.
Important
Important Behavioral
Behavioral Studies
Studies
• Ohio State Studies
• University of Michigan Studies
l
Behavioral
Behavioral Theories
Theories (continued)
(continued)
• Ohio State Studies
• Identified two dimensions of leader behavior:
Initiating structure: leader behavior, which ensures that the
work gets done and subordinates perform their jobs effectively
(e.g., setting goals & motivating employees to attain those
goals).
Consideration: leader behavior, which focuses on creating
mutual respect and trust with followers.
Behavioral
Behavioral Theories
Theories (continued)
(continued)
• University of Michigan Studies
• Identified two dimensions of leader behavior:
Employee oriented: Focuses on interpersonal relationships
Production oriented: Focuses on task completion and goal
accomplishment.
Overlap
Overlap between
between the
the Dimensions
Dimensions of
of
the
the Two
Two Studies
Studies
• Consideration (Ohio State Studies)
• Employee Oriented (University of Michigan Studies)
• Initiating Structure (Ohio State Studies)
• Production Oriented (University of Michigan Studies)
Behavioral
Behavioral Theories
Theories (continued)
(continued)
• Based on these studies, researchers identified two leadership
styles:
• People Oriented Leadership
• Task Oriented Leadership
• People oriented leadership is associated with higher job satisfaction
and commitment but can lead to lower job performance.
• Task oriented leadership on the contrary, is associated with higher
productivity but may lead to lower satisfaction and commitment.
• To be effective, a leader should exhibit high levels of both task-
oriented and people-oriented behaviours.
Contingency
Contingency Theories
Theories
While trait and behavior theories are different from each other –
one focuses on what effective leaders are like and the other on
what they do – they have something in common:
Each approach essentially ignores the situation in which
leadership takes place.
Contingency Theory adds this additional aspect to our
understanding leadership effectiveness studies.
Two key contingency theories are:
House’s Path-Goal Theory
Hersey and Blanchard’s Situational Leadership Theory
House’s
House’s Path-Goal
Path-Goal Theory
Theory
The Theory:
Leaders provide followers with information, support, and
resources to help them achieve their goals
Leaders help clarify the “path” to the worker’s goals
Leaders can display multiple leadership styles
Four types of leadership styles:
Directive: focuses on the work to be done
Supportive: focuses on the well-being of the worker
Participative: consults with employees in decision making
Achievement-Oriented: sets challenging goals
Path
Path Goal
Goal Theory
Theory
Environmental
Contingency Factors
• TaskStructure
Formal
• Authority System
•Work Group
Leader Behaviour Outcomes
•Directive •Performance
•Supportive •Satisfaction
•Participative
Achievement
• Oriented
Subordinate
Contingency Factors
• Locusof Control
•Experience
•
Perceived Ability
Hersey
Hersey and
and Blanchard’s
Blanchard’s Situational
Situational
Leadership
Leadership Theory
Theory
• This theory suggests, effective leader behaviour depends on the
readiness level of a leader’s followers.
• Readiness is defined as the extent to which a follower possesses the
ability and willingness (i.e., confidence, commitment and
motivation) to complete a task.
• This model specifies four leadership styles, which represent a
combination of task and relationship-oriented behaviours:
Hersey
Hersey and
and Blanchard’s
Blanchard’s Situational
Situational
Leadership
Leadership (continued)
(continued)
• The four leadership styles are:
Telling – The leader gives explicit directions about how tasks
should be accomplished.
Selling – The leader provides both direction and support.
Participating – The leader shares ideas with followers and
encourages participation in decision making.
Delegating – The leader provides little direction or support.
Hersey
Hersey and
and Blanchard’s
Blanchard’s Situational
Situational
Leadership
Leadership (continued)
(continued)
• In addition, the model highlights four stages of follower readiness:
R1 – The followers lack ability and self confidence
R2 – The followers lack ability but are willing to learn
R3 – The followers have ability, but they lack self-confidence
R4 – The followers have high ability and confidence
Applying
Applying the
the Situational
Situational Leadership
Leadership Theory
Theory
Charismatic
Charismatic Leadership
Leadership
• Charisma is a Greek word, which means gift.
• A charismatic leader refers to someone who has been
endowed with exceptional gifts or talents.
•
• A charismatic leader will often gain followers through
personality rather than through power or authority.
Examples
Examples Of
Of Charismatic
Charismatic Leaders
Leaders
Characteristics
Characteristics of
of Charismatic
Charismatic Leaders
Leaders
• Articulate a clear & appealing vision - Leaders have a vision,
expressed as an idealized goal that proposes a better future than the
status quo.
• Lead by example - Leaders set an example of exemplary behavior in
day-to-day interactions with followers.
• Sensitivity to follower’s needs - Leaders are sensitive to the
feelings and needs of their followers.
• Unconventional behavior – Leaders exhibit behaviors that are out
of the ordinary. That is, leaders use innovative strategies to achieve
their vision.
How
How Charismatic
Charismatic Leaders
Leaders Influence
Influence Followers
Followers
• Leader articulates an appealing and optimistic vision.
• Leader communicates high performance expectations and
confidence in follower ability.
• Leader uses slogans, symbols, ceremonies and stories
to influence followers.
• The leader expresses positive emotions - that is, he or she
is enthusiastic, confident and optimistic about attaining
his or her vision .
Dark
Dark Side
Side of
of Charismatic
Charismatic Leaders
Leaders
• Charismatic leaders might use their charisma and influence to
further their own self-interests and seek power and position
even at the expense of their followers’ welfare.
• Such leaders profess strong attachment to their
organization and its people but privately are ready to
sacrifice them.
Contemporary
Contemporary Views
Views of
of Leadership
Leadership
• Transactional Leadership
• Transformational Leadership
l
Transactional
Transactional Leadership
Leadership
• Transactional leadership involves:
Clarifying subordinates’ responsibilities
Rewarding them for accomplishing their goals
Correcting them for failing to meet objectives
• Transactional leadership involves managing – helping
organizations achieve their current objectives more
efficiently by monitoring, evaluating and rewarding
performance.
Characteristics
Characteristics of
of Transactional
Transactional Leadership
Leadership
• Contingent reward – The leader clarifies subordinates’ roles and
responsibilities and provides recognition and rewards when goals are
achieved.
• Management by exception - Leader only takes corrective action
when things go wrong.
• Laissez-Faire – Leader abandons his responsibilities. Specifically,
the leader:
Ignores problems
Ignores subordinates’ needs
Avoids making decisions
Transformational
Transformational Leadership
Leadership
• Transformational leaders motivate followers to perform
above expectations and inspire them to put aside their
personal interests for the sake of the organization.
• Transformational leaders are change agents who
energize employees and direct them to a new set of
corporate values.
Characteristics
Characteristics of
of Transformational
Transformational
Leadership
Leadership
• Idealized influence - These leaders are admired, respected, and trusted
by their followers.
• Inspirational motivation - Leaders behave in ways that motivate those
around them by providing meaning and challenge to their followers’ work.
• Intellectual stimulation - Leaders stimulate their followers’ effort to be
innovative and creative by questioning assumptions, reframing problems,
and approaching old situations in new ways.
• Individualized consideration - Leaders provide support,
encouragement and coaching to their followers.
Transactional
Transactional && Transformational
Transformational
Leadership
Leadership
• Despite differences, transformational and transactional leadership are
complementary rather than competing.
• Most leaders engage in transactional forms of leader behaviour by
providing rewards & feedback contingent on performance.
• But exceptional leaders go beyond this and also engage in
transformational forms of leader behaviour.
• In other words, transformational leadership behaviours augment the
effects of transactional leadership behaviours.
Full
Full Range
Range of
of Leadership
Leadership Behavior
Behavior
11-32
Developing
Developing Trust
Trust
• Trust refers to follower’s willingness to depend on the
leader based on the belief that the leader is:
Competent (refers to the skills and capabilities of the
leader)
Reliable (reflects consistency between words and
actions)
Open (implies that the leader is honest and forthright)
Concerned (refers to employees’ belief that the leader
cares about them)
Outcomes
Outcomes of
of Trust
Trust
• High trust in the leader can lead to positive outcomes
such as:
Greater satisfaction and commitment
More organizational citizenship behaviours
Higher levels of job performance
Suggestions
Suggestions for
for Building
Building Trust
Trust
Practice openness.
Be fair.
Speak your feelings.
Tell the truth.
Show consistency.
Fulfill your promises.
Maintain confidences.
Demonstrate competence.
Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 16–35
Substitutes
Substitutes For
For Leadership
Leadership
• One approach to leadership suggests that situational variables can
be so powerful that they actually substitute for or neutralize the
need for supportive and instrumental leadership.
• Substitutes are situational variables that make leader behaviour
unnecessary or redundant (leader becomes irrelevant).
• Neutralizers are situational variables that prevent the leader from
displaying certain behaviours or nullify the effects of the leader’s
actions (leader becomes ineffective).
Finding
Finding && Creating
Creating Effective
Effective Leaders
Leaders
• Selection
• Use tests to identify personal traits associated with leadership.
• Conduct personal interviews to determine candidate’s fit with the
job.
• Training
• Teach skills such as trust-building, mentoring and situation
analysis, which are necessary for employees to become effective
leaders.