Leadership

1
Leadership
2
Introduction

• Research focuses on
  2 Key Leadership Issues
• Why some organizational members Become Leaders
  while others do not
• Why some leaders are Effective, while others are
  not

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What is Leadership?

• A person may be a Leader without being a
  Manager, or a Manager without
  being a Leader.

4
What is Leadership?

• Leadership the process of Directing and
  Influencing the work-related
  activities of other Group Members
  toward achievement of
  Organizational Goals.

5
What is Leadership?

• Leadership involves
• 1. Other People (Followers/Subordinates)
• 2. Unequal Distribution of Power
• 3. Influence (exerted on Followers)

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McGregor Attitudes of Leaders

• Leaders may hold either Theory
  X or Theory Y assumptions about subordinates.

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McGregor Attitudes of Leaders

• Theory X Assumptions
  Employees do not like to work, do not want
  responsibility, and are basically lazy.
  Subordinates prefer to be closely supervised,
  told exactly what to do, and only want job
  security from their employment.

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McGregor Attitudes of Leaders

• Theory Y Assumptions
  Employees like to work, seek
  responsibility, and can be
  self-directed. Employees want to be creative
  problem-solvers.

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McGregor Attitudes of Leaders

• Leader Attitude determines
  Leadership Style
• Theory X Leaders are Authoritarian or directive
  leaders.
• Theory Y leaders are Sensitive to people and tend
  to allow more Participation.

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Leaders Power Sources

• Reward Power
• Coercive Power
• Legitimate Power
• Referent Power
• Expert Power

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Organizational Encounter (p. 442)

• Leadership Has No Age Limits
• ? Who is Michael Sessions?
• ? What characteristics made him a Leader?

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Organizational Encounter (p. 443)

• Growing Leaders
• Does Growing you own leadership talent have
  real benefits? Explain.

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Leadership Theories

• 3 Main Categories
• Trait Theories
• Behavioral Theories
• Situational (Contingency) Theories

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Trait Approaches to Leadership

• Assumes a set of individual traits are associated
  with effective leadership.
• Intelligence
• Personality
• Physical Characteristics
• Based on research that relates various traits to
  success criteria.
• Research findings are inconclusive.

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Traits Associated With
Leadership Effectiveness

• Research studies find various traits associated
  with effective leadership.
• Commonly identified traits include
• Self-Confidence
• Emotional Maturity/Intelligence
• Cooperativeness
• Integrity
• Job-Relevant Knowledge

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Trait Theory Shortcomings

• List of potentially important traits is endless.
• Trait test scores are not consistently predictive
  of leader effectiveness.
• Effective leader behavior depends
  largely on the situation.
• The trait approach fails to provide insight
  into what an effective leader does on the job.

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Behavioral Approaches to Leadership

• Behavioral Theories contrast
  2 Styles of Leadership Behavior
• 1. Task-Oriented Getting the Job Done!
• 2. Employee-Oriented Tries to Motivate rather
  than control.

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Behavioral Approaches to Leadership Ohio State
Studies

• Initiating Structure
• Task Orientation
• Defines and Organizes the roles of group members
  for goal attainment.
• Consideration
• Employee Orientation
• Creating mutual Trust and Respect with
  subordinates.

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Behavioral Approaches to Leadership University
of Michigan Studies

• Production-Centered Leader
• Focuses on completing the task.
• Uses close supervision and prescribed work
  methods.
• Relies on coercion, reward, and legitimate power
  to influence behavior and performance of
  subordinates.

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Behavioral Approaches to Leadership University
of Michigan Studies

• Employee-Centered Leader
• Focuses on the people doing the work.
• Encourages subordinate participation in
  goal-setting and work-related decisions.
• Concerned with subordinates personal
  advancement, growth, and achievement.

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Blake Moutons Leadership Grid

• Identifies 5 Distinctive
  Leadership Styles, depending on
  the leaders level of Concern for
  People (Employee Orientation) and Concern for
  Production (Task
  Orientation).

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Blake Moutons Leadership Grid

• 1. Impoverished (Laissez-Faire) Leadership
  Low concern for both People and Production.
  Leader abdicates leadership role.
• 2. Country Club Leadership High concern for
  People, but Low concern for Production.
• 3. Authoritarian-Compliance Leadership
  High concern for Production, but
  Low concern for People.

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Blake Moutons Leadership Grid

• 4. Middle-of-the-Road Leadership Intermediate
  level of concern for both Production and Employee
  satisfaction.
• 5. Team (Democratic) Leadership High concern
  for both Production and Employee
  morale and satisfaction.

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Behavioral Theories in Perspective

• Emphasizing Behaviors which can be
  learned, Behavioral theories contend that
  Leaders are Made, not born, to
  play the leadership role.

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Behavioral Theories in Perspective

• Behavioral theories have moderate success in
  consistently identifying a relationship between
  leader behaviors and group performance.
• However, research results emphasize that
  effectiveness of leadership behavior depends on
  the situation.

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Situational (or Contingency)
Theories of Leadership

• Propose that Effective Leadership depends on the
  Interaction between the Situation and the
  leaders Behavior.
• The contingency concept of leadership can be
  summarized as It all depends

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Key Situational Leadership Theories

• Fiedlers Contingency Leadership Model
• Vroom-Jago Leadership Model
• Houses Path-Goal Model
• Hersey-Blanchard Situational Leadership Theory
  (SLT)

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Fiedlers Contingency Leadership Model

• The Performance of groups is dependant on the
  Interaction between Leadership Style and
  Situational Favorableness.

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Fiedlers Contingency Leadership Model

• Leadership Style
• Task-Oriented leadership
• Relationship-Oriented leadership
• Situational Factors
• Leader-Member Relations
• Task Structure
• Position Power

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Fiedlers Contingency Leadership Model

• To Achieve Effective Group Performance
• 1. Match the Leader with the Situation. OR
• 2. Change the Situation to fit the
  Leaders Style.

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Fiedlers Contingency Leadership Model

• First Step Determine the managers Leadership
  Style with the
  Least Preferred Co-Worker Scale
• High LPC Leader Relationship-Oriented
• Low LPC Leader Task-Oriented

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Summary of Fiedlers Situational Variables and
Their Preferred Leadership Styles
Situational Characteristics
Situation Leader-Member Relations
(Trust) Task Structure Position Power
I II III IV V VI VII
VIII Good Good Good Good Poor Poor Poor Poor
High High Low Low High High Low
Low Strong Weak Strong Weak Strong Weak
Strong Weak
Preferred Leadership Styles
Task-Oriented
Relationship-Oriented
Task-Oriented
Very Favorable Situation
Very Unfavorable situation
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Leadership Actions to Change Situations

• Changing Leader-Member Relations
• Request particular people for work group
• Transfer particular subordinates out of the work
  group
• Volunteer to direct difficult or troublesome
  subordinates

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Leadership Actions to Change Situations

• Changing Task Structure
• Bring new or unusual tasks or problems
  to the group.
• Break jobs down into smaller sub-tasks
  that can be more highly structured.

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Leadership Actions to Change Situations

• Changing Position Power
• Show subordinates who is boss by
  fully exercising the authority you have.
• Make sure that information to the group gets
  channeled through you.
• Let subordinates participate in planning and
  decision making.

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Fiedlers Contingency Leadership Model

• What would Fiedler suggest about the usefulness
  of Leadership
  Training programs?

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Vroom-Jago Leadership ModelAssumptions of the
Model

1. The Model assists managers in determining which
   leadership styles they should use in various
   situations.
2. No single leadership style is applicable to all
   situations.
3. The main focus is the problem to be solved and
   the situation in which the problem occurs.

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Vroom-Jago Leadership ModelAssumptions of the
Model

1. The leadership style used in one situation should
   not constrain the styles used in other
   situations.
2. Situational Factors influence the optimum amount
   of participation by subordinates
   in problem solving.

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Vroom-Jago Leadership Model

• Decision Effectiveness
• Decision Quality
• Subordinate Commitment
• Time considerations

• Decision Styles
• Autocratic (A)
• Consultative (C)
• Group (G)
• Delegated (D)

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Vroom-Jago Leadership Model

• Diagnostic Procedure Key Questions
• How important is the technical quality
  of the decision?
• How important is subordinate commitment
  to the decision?

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Vroom-Jago Leadership Model

• Diagnostic Procedure Key Questions
• Do you have sufficient information to make a
  high-quality decision?
• Is the problem well structured?

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Vroom-Jago Leadership Model

• Diagnostic Procedure Key Questions
• If you made the decision by yourself,
  is it reasonably certain that your
  subordinates would be committed
  to the decision?
• Do subordinates share the organizational goals to
  be attained in solving this problem?

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Vroom-Jago Leadership Model

• Diagnostic Procedure Key Questions
• Is conflict among subordinates over preferred
  solutions likely?
• Do subordinates have sufficient information to
  make a high-quality decision?

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Path-Goal Leadership Model

• Path-Goal Leadership Model is based on the
  Expectancy Theory of Motivation.
• Effective leaders strengthen the relationship
  between performance and outcomes, and improve the
  valence of outcomes. Also strengthen
  effort-to-performance expectancy by providing
  support and resources.

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Path-Goal Leadership Model

• Leaders Influence/Motivate Employees by
• Determining most valued Rewards
• Making valued rewards Contingent on performance.
• Clarifying the Path to high performance (and the
  desired rewards).

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Path-Goal Leadership Model

• Styles of Leader Behavior
• Directive
• Supportive
• Participative
• Achievement-Oriented

• Situational Variables
• Personal characteristics of the subordinates
• Environmental pressures and demands

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Framework of Revised Path-Goal Leadership
Perspective
Employee Characteristics
Outcomes

• Ability
• Locus of control
• Need for clarity
• Need for achievement
• Experience

• Increase employee confidence to achieve
• Clarify paths to desired rewards
• Establish challenging goals
• Utilize full range of talents of all group
  members
• Increase need satisfaction
• Improve work performance
• Reduce uncertainties

Categories of Leader Behaviors

• Clarifying paths
• Achievement oriented
• Being supportive
• Facilitating productive interaction
• Group decision making
• Networking
• Projecting values

Leader Effectiveness
Environmental Dimensions

• Task structure
• Work group dynamics

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Path-Goal Leadership Model

• Leader Effectiveness is measured by
• 1. Employee Motivation
• 2. Employee Satisfaction
• 3. Leader Acceptance

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Path-Goal Leadership Model

• In Contrast to Fiedlers ideas,
  Path-Goal model contends that effective
  leaders select the most appropriate leadership
  style for a particular work situation.

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Hersey-Blanchard Situational Leadership Theory
(SLT)

• Emphasis is on followers and their level of
  maturity.
• Leader must judge subordinates maturity levels
  and use a leadership
  style that fits that level.

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Hersey-Blanchard Situational Leadership Theory
(SLT)

• Readiness Followers
  Skills (Job Readiness) and Willingness
  (Psychological Readiness).

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Hersey-Blanchard Situational Leadership Theory
(SLT) Leadership Styles

• Telling Leader provides specific
  directions and close supervision.
• Selling Leader explains decisions and provides
  clarification opportunities.

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Hersey-Blanchard Situational Leadership Theory
(SLT) Leadership Styles

• Participating Leader and followers
  share decision making responsibilities.
• Delegating Followers responsible for decision
  making and implementation with
  little direction from the leader.

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Hersey-Blanchard
Situational Leadership Model
Degree of followers Readiness to assume personal
responsibility
R1 Unable Unwilling
R2 Unable Willing
R3 Able Unwilling
R4 Able Willing
S2 Selling Explaining and clarifying
S3 Participating Sharing and facilitating
S4 Delegating Coaching and assisting
S1 Telling Instructing and supervising
Leadership Behavior appropriate to the situation
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Summary of Situational Leadership Models
Fiedlers Contingency Model
Leadership Qualities Assumptions About Followers Leader Effectiveness History of Research Problems
Leaders are Task- or Relationship-oriented. Job should be engineered to Fit situational factors. Followers prefer different leadership styles depending on task structure, leader-member relations, and position power Effectiveness of the leader is determined by the interaction of environment and personality factors. If investigations not affiliated with Fiedler are used, the evidence is contradictory on the accuracy of the model.
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Summary of Situational Leadership Models
Vroom-Jago Leadership Model
Leadership Qualities Assumptions About Followers Leader Effectiveness History of Research problems
Leaders make either individual or group decisions and can choose from five different styles. Followers participate in varying degrees in decisions involving problems. Effective leaders select the appropriate decision set and permit the optimal participation for followers. Research support for the model is mixed and limited. The model is considered by some to be complex.
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Summary of Situational Leadership Models
Path-Goal Model
Leadership Qualities Assumptions About Followers Leader Effectiveness History of Research Problems
Leaders can increase followers effectiveness by applying proper motivational techniques. Followers have different needs that must be fulfilled with the help of a leader. Effective leaders are those who clarify for followers the paths or behaviors that are best suited. Model has generated modest research interest in past two decades.
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Summary of Situational Leadership Models
Hersey-Blanchard Situational Leadership
Leadership Qualities Assumptions About Followers Leader Effectiveness History of Research problems
Leader must adapt style in terms of task behavior and relationship behavior on the basis of followers. Followers maturity (readiness) to take responsibility and ability influence the leadership style adopted. Effective leaders can adapt directing, coaching, supporting, and delegating style to fit followers levels of maturity. Not enough research available to reach a definitive conclusion about predictive power of the theory.
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Charismatic Leadership

• Characteristics of a Charismatic Leader
• Has a Vision
• Willing to take Risks to achieve that vision.
• Sensitive to Followers Needs.
• Exhibits Unconventional Behavior.

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Charismatic Leadership Two Types

• Visionary Charismatic Leaders
  focus on the Long Term
• See the Big Picture and communicate how
  followers goals and needs are linked.
• Crisis-Based Charismatic Leaders focus on the
  Short Term
• Communicate what must be done,
  and why.

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Transactional Leadership

• Two Key Characteristics
• Leaders rely on Performance-Contingent Rewards to
  Motivate employees.
• Leaders take Corrective Actions when employees
  fail to accomplish performance goals.

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Transactional Leadership

• Transactional Leader focuses on interpersonal
  transactions between the manager and the
  employee.
• Transactional approach uses the path-goal
  concepts as its framework.

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Transactional Leadership
L Recognizes what F needs
L Recognizes what F must do to
attain designated outcomes
L Leader F Follower
L Clarifies how Fs need fulfillment will
be exchanged for enacting role to attain
designated outcomes
L Clarifies Fs Role
F Feels confidence in meeting role
requirements (subjective probability of success)
F Recognizes value of designated
outcomes (need-fulfilling value for F)
F Develops Motivation to attain desired
outcomes (Expected Effort)
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Transformational Leadership

• Ability to inspire and motivate followers to
  pursue Organizational Goals, rather than the
  employees own self-interest.
• The leaders vision provides the follower with
  motivation for hard work that is
  self-rewarding.

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Transformational Leader Characteristics

• Charisma Ability to instill a sense of value,
  and to articulate a vision.
• Individual Attention Attentive to followers
  needs makes meaningful assignments to followers
  to promote personal growth.
• Intellectual Stimulation Encourages followers to
  Think Creatively.

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Transformational Leader Characteristics

• Contingent Reward Clarifies for followers the
  Performance level required for rewards.
• Management by Exception Does
  not intervene in the followers task
  accomplishment unless goals are not
  being met.

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Leader-Member Exchange (LMX)

• Suggests that Leader Behavior may be Inconsistent
  across subordinates.
• Each Relationship is Unique.
• One-to-one Relationships determine subordinate
  behaviors.
• Classifies subordinates into
• In-Group members
• Out-Group members

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Leader-Member Exchange (LMX)

• In-Group members
• Share a common bond and value systems with
  leader.
• Interact with the leader regularly.
• Receive more challenging assignments and more
  meaningful rewards.
• Are more positive about the organization and have
  higher job performance and satisfaction.

• Out-Group members
• Have less in common with the leader.
• Have limited interactions with the leader.
• Receive less desirable assignments and less
  positive reinforcement.
• Become bored and frustrated, resulting in higher
  turnover.

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Leader-Member Exchange (LMX)

• LMX approach to leadership assumes that a
  leaders Perceptions of the subordinate impacts
  the leaders behavior toward the follower, which
  influences subordinate behavior.
• Research supports these conclusions.

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Multicultural Leadership

• Leadership attributes associated with
  effective leadership vary
  across cultures.

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Global OB (p. 465)

• The Value of Global Experience
• ? How can global assignments be a gamble?
• ? How can global experience benefit both the
  individual and the organization?

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Substitutes for Leadership

• Leadership Substitutes Situational factors that
  render leadership unnecessary
  (or even impossible).
• Leadership Substitutes negate the leaders
  ability to either increase or decrease follower
  satisfaction or performance.

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Substitutes for Leadership

• Substitutes for Leadership include
• Cohesive Work Groups
• Intrinsically Satisfying Tasks
• High levels of subordinate Ability, Experience,
  and Knowledge
• Rigid Rules and Procedures

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Case 15.1 (pp. 474-477)

• Rotating Leaders
• Describe the situation and
  the organization.

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Rotating Leaders

• 1. What would business organizations gain from
  
  observing Orpheus in action?

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Rotating Leaders

• 2. Orpheus rotates the concertmaster among
  core-group members. What is
  the logic of rotating the leader?

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Rotating Leaders

• 3. What are some of the substitutes
  for permanent leadership
  within Orpheus?

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Next Week

• Exam 2
• Chapters 9 - 17