Professional Documents
Culture Documents
Chapter
12
Leading in a
Dynamic
Environment
Leading in a Dynamic
Environment
12–2
Leadership Defined
What is leadership
The process of directing and influencing the
task-related activities of group members
12–3
Implications of leadership
12–4
Leadership Significance
• Leadership is:
A social influence process.
A responsibility and a process; it’s not a position, title,
or privilege.
An observable, understandable, learnable set of skills
and practices available to everyone, anywhere in the
organization.
The indirect ability to influence people by inspiring
them to pursue goals for the benefit of the
organization.
12–5
Leadership and Vision
• Leadership involves:
Creating a vision of the future.
Devising strategy for achieve that vision.
Communicating the vision so that everyone
understands and believes in it.
12–6
There are four important points of leadership:-
12–7
The importance leadership
1. To direct and supervise
subordinates
2. To influence and motivates
subordinates
3. To encourage teamwork
4. To enhance cooperation
5. To accomplish org objectives
12–8
Approaches to the study on leadership
12–9
Leader-Centered Approaches
• Leadership Traits and Skills Focus
The assumption that some people are born with
certain physical characteristics, aspects of
personality, and aptitudes that make them successful
leaders.
Physical characteristics: height and appearance
Personality: self-esteem, dominance and emotional
stability
Aptitudes: general intelligence, verbal fluency and
creativity
12–10
The Trait Approach To Leadership
1. Assumed that leaders were born and not
made.
2. Researchers took two approaches :
I. Compare the traits of leaders and non leaders
II. Compare the traits of effective leaders and
ineffective leaders
3. Examples of desirable traits include wisdom,
courage, honesty and sincerity.
4. Examples of traits compared include physical
characteristics, mental ability, charisma,
attitude
5. However the trait theory is inconclusive
because of many conflicting evidence. 12–11
Traits of Successful Leaders
• Drive
Achievement, sense of responsibility, ambition,
energy, tenacity and initiative.
• Motivation
Especially power.
• Honesty and integrity
• Self confidence
Persuasive, diplomatic and socially skilled.
• Conceptual ability
• Business knowledge
12–12
Leader-Centered Approaches (cont’d)
• Leadership Behavior Focus
Examines what effective leaders do rather than what
effective leaders are.
Defines a leader’s effectiveness based on two
orientations:
Task orientation
– Setting performance goals, planning and scheduling work,
coordinating activities, giving directions, setting standards,
providing resources, and supervising performance.
Relations orientation
– Behavior that shows empathy for concerns and feelings,
supportive of needs, showing trust, and similar attributes.
12–13
The Behavioral Approach To
Leadership
• Assumes that leadership can
be learned
• Focused on two aspect of
leadership behavior :
1. Leadership function
2. Leadership style
12–14
Behavioral Approach
Leadership Function
A leader performs two major functions:
1. Task related or problem solving functions
2. Group maintenance or social functions.
12–15
II. Behavioral Approach
Task orientation or job centered style
– focus on closely supervise subordinates
– Setting performance goals, giving directions, and
supervising performance.
– More concerned with getting the job done to his
satisfaction
Employee orientation or people centered style
– Focus on motivating rather than controlling subordinates
– Behavior that shows empathy for concerns and feelings,
supportive of needs, and showing trust.
– Friendly and respectful relationship with employees, would
try to motivate subordinates rather than to control them.
12–16
II. Behavioral Approach (cont’d) *
The behavioral approach is supported by below
studies:
Behavioral
Approach
12–17
II. Behavioral Approach (cont’d) *
The Ohio State University (OSU studies)
OSU studies concluded that leaders exhibit two main
types of behavior:
I. Structure Behavior (task-oriented)
The leadership activity that establishes
procedures that employees should follow in
performing their tasks or jobs.
II. Consideration Behavior (employee-oriented)
The leadership behavior that shows friendship,
trust, respect and warmth in the relationship
between leaders and employees.
12–18
II. Behavioral Approach (cont’d) *
The Ohio State University (OSU studies)
12–19
II. Behavioral Approach (cont’d) *
OSU studies resulted in a model
that shows four leadership
styles.
i.e. A high structure/low
consideration leadership style
emphasizes on structure
behavior and place less
attention to consideration
behavior.
Low structure/high consideration
– highest employee satisfaction,
lowest turnover rates
High structure/low consideration
– had high grievance, high
turnover rates
12–20
II. Behavioral Approach (cont’d) *
The University of Michigan (Michigan studies)
12–21
II. Behavioral Approach (cont’d) *
The University of Michigan (Michigan studies)
Michigan studies concluded two types of leader behavior:
I. Job-centered Behavior
Interested in the job that subordinate is doing and how
well the subordinate performs the job.
Leaders set rigid work standards, prescribe work methods
to be followed, and closely supervise subordinate work.
II. Employee-centered Behavior
Interested to the personal needs of subordinates and build
cooperative work teams that are satisfying to
subordinates.
Leaders encourage subordinates participation and inspire
trust and respect among subordinates.
The most productive work groups have leaders who were
employee-centered rather than job-centered.
12–22
II. Behavioral Approach (cont’d) *
The Managerial Grid (Robert Blake & Jane Mouton)
12–23
II. Behavioral Approach (cont’d) *
• Developed by Robert Blake and Jane Mouton
• Identifies five types of leadership styles :
Style 1,1- Impoverished mgt. Low concern for both people
and production. Also known as Laissez-faire management.
Style 1,9 - Country club mgt. High concern employees but
low concern for production
Style 5,5 - Middle of the road mgt
Intermediate concern for both production and employees.
Style 9,1 - Autocratic mgt. High concern for production but
low concern for people.
Style 9,9 -Team or democratic mgt. High concern for both
production and employees. This is the most effective style.
12–24
II. Behavioral Approach (cont’d) *
The five leadership styles practiced by managers.
12–25
II. Behavioral Approach (cont’d) *
The five leadership styles practiced by managers.
12–26
II. Behavioral Approach (cont’d) *
The five leadership styles practiced by managers.
12–27
III. Contingency Approach *
1. Path-Goal Approach
Formulated by Martin G. Evans and Robert J. House.
Based on expectancy model, which states employee’s
motivation depends on his expectation of reward or
the attractiveness of the reward.
Managers determine the availability of “goals”
(rewards) and the “paths” that will earn those rewards.
Leader can increase employee effort and productivity
by clarifying performance goals and the path to be
taken to achieve those goals.
12–28
III. Contingency Approach (cont’d) *
According to Path-Goal theory of leadership, leaders
show four primary types of behavior:
I. Directive behavior
Telling followers what to do and how to do it,
leader indicates what performance goals exist
and what must be done to achieve it.
II. Supportive behavior
Being friendly with followers and showing interest
in them as human beings. Leader shows
sensitivity to the personal needs of followers.
12–29
III. Contingency Approach (cont’d) *
III. Participative behavior
Seeking suggestions from followers regarding
business operations, followers involve in decision
making, help to determine rewards available and what
they must do to earn those rewards.
IV. Achievement behavior
Aimed at setting challenging goals for followers to
reach and expressing confidence that they will face
up to the challenge. Leader focuses on making
challenging goals for employees to achieve.
Path-goal theory explains why a particular leadership
style is more effective in one situation than in another
and it recommends flexibility in dealing with different
employee problems and situations.
12–30
III. Contingency Approach (cont’d) *
2. Life Cycle or Situational Approach
Developed by Hersey and Blanchard.
Leadership styles should reflect primarily on the
maturity level of the followers.
Maturity is the ability of followers to perform their job
independently, the education/experience and skills a follower
has relevant to particular tasks, to assume additional
responsibility and to desire to achieve success.
12–31
III. Contingency Approach (cont’d) *
Phases in Life-Cycle Approach
PHASE 3 PHASE 2 Phase 1 (HT/LR)
Telling style: the leader
provides specific instructions
and closely supervises
performance.
Phase 2 (HT/HR)
PHASE 4 PHASE 1
Selling style: the leader
explains decisions and
provides opportunities for
clarification.
12–32
III. Contingency Approach (cont’d) *
Phases in Life-Cycle Approach
PHASE 3 PHASE 2 Phase 3 (LT/HR)
Participating style: the leader
shares ideas and maintains
two-way communication to
encourage and support the
skills subordinates have
PHASE 4 PHASE 1 developed.
Phase 4 (LT/LR)
Delegating style: the leader
provides subordinates with
few task or relations
behaviors.
12–33
Likert System Four Management
Developed by Rensis Likert
1. Proposed that there are four types of
management style
1. Autocratic authoritative - Management make all
decisions. Subordinates do not have any rights to
contribute ideas.
Benevolent Authoritative - Subordinates are given
some latitude to contribute ideas but management
still makes the final decisions.
Consultative- Subordinates contributions are
encourage.
Participative - Team or democratic styles
12–34
Leader-Centered Approaches (cont’d)
• Leadership Power Focus
Power: the ability to use human, informational, or
material resources to get something done—to get
results.
Authority: the officially (organizationally) sanctioned
right to get something done.
12–35
Power
• Categories of Power
Position power
Power derived from the
opportunities inherent in a
person’s position in an
organization.
Personal power
Power derived from the
interpersonal relationships
between leaders and followers.
12–36
Types of Position Power
• Legitimate power
Stems from formal authority.
Some people accept this power, as long as it is not
abused, because they attribute legitimacy to the
formal position and to the person who holds that
position.
• Coercive power
The power to discipline, punish and withhold rewards.
Coercive power is important largely as a potential,
rather than an actual, influence.
For example, the threat of being disciplined for not
getting to work on time may be effective in changing
an employee’s behavior.
12–37
Types of Position Power
• Reward power
Control over tangible benefits, such as a promotion, a
better job, a better work schedule, or some form of
recognition.
For reward power to be influential, the employee must
value the rewards.
• Information power
Control over information that involves the leader’s
power to access and distribute information that is
either desired or vital to others.
12–38
Types of Personal Power
• Expert power
The power influence another person because of expert
knowledge and competence.
Computer specialists often have substantial expert
power in organizations because they have technical
knowledge that others need.
• Referent power
The ability to influence others
based on personal liking,
charisma and reputation.
Much of the power wielded by
strong political leaders,
professional athletics, musicians,
and artists is referent power.
12–39
Power Orientation
• Personalized Power Orientation
Associated with a strong need for esteem and status;
power is often used impulsively.
• Socialized Power Orientation
The use of power for the benefit of others to make
subordinates feel strong and responsible.
12–40
Follower-Centered Approaches
• Self-leadership (Followership) Focus
A paradigm founded on creating an organization of
leaders who are ready to lead themselves.
Requires each employee to be accountable for his or
her own behavior.
Views individual, task and organizational
characteristics as possible leadership substitutes.
12–41
Characteristics of Self-Leaders
• The capacity to motivate themselves and stay focused
on tasks.
• Integrity that demands both loyalty to the organization
and the willingness to act according to beliefs.
• Understanding of the organization and their contributions
to it.
• Willingness to take the initiative to deal with problems.
• Versatility, skillfulness and flexibility to adapt to a
changing environment.
• Responsibility for their careers, actions and
development.
12–42
Leadership substitutes
• Variables that tend to outweigh or prevent the
leader from having an effect on a follower
performance.
• Also known as Neutralizer.
12–43
Figure 12.3 Leadership Substitutes
12–44
Interactive Approaches
• Another method of examining leadership
effectiveness is to look at how leaders interact
with their followers.
• Interactive Approaches:
Situational leadership model
Empowerment
Transformational leadership
12–45
Interactive Approaches (cont’d)
• Situational Leadership Model
Examines the interaction between leadership
behavior, the situation, and the follower’s readiness.
Readiness: the extent to which a subordinate
possesses the ability and willingness to complete a
specific task.
Task behavior: the extent to which a leader
organizes and defines the role of followers by
explaining what each person must do and when,
where, and how tasks are to be accomplished.
12–46
Interactive Approaches (cont’d)
• 4 Styles of Situational Leadership Behavior
Telling style: the leader provides specific instructions
and closely supervises performance.
Selling style: the leader explains decisions and
provides opportunities for clarification.
Participating style: the leader shares ideas and
maintains two-way communication to encourage and
support the skills subordinates have developed.
Delegating style: the leader provides subordinates
with few task or relations behaviors.
12–47
Stage 1 - Telling Stage
• High Task – A directive leadership is needed.
A non directive leader will create anxiety and
confusions among new workers
• Low relationship – Managers and
subordinates are in the process of knowing
each other.
Stage 2 - Selling Stage
• High Task – Detail instructions is still essential
because subordinates are not yet able to
function without the structure
• High Relationship – Subordinate need the
support and encouragement from the leader
12–48
Stage 3 - Participating Stage
• Low Task - Subordinates have more ability.
Therefore the leader will no longer need to be
as directive.
• High Relationship – The leader will still have
to be supportive.
Stage 4 - Delegating Stage
• Low Task, Low Relationship
• Subordinates become more confident, self
directing and experienced.
• Followers no longer need direction. They are
on their own.
12–49
Interactive Approaches (cont’d)
• Empowerment
The interaction of the leader giving away or sharing
power with those who use it to become involved and
committed to independent, high-quality performance.
Successful empowerment means that everyone has
been convinced that he or she makes a difference to
the success of the organization.
12–50
Interactive Approaches (cont’d)
• Transformational Leadership
Is a leader’s ability to influence employees to achieve
more than was originally expected, or thought
possible.
Generates feelings of trust, admiration, loyalty and
respect from followers through:
Idealized influence
Inspirational motivation
Intellectual stimulation
Individualized considerations
e.g Leaders promotes innovation and creativity and subordinates
should try new approaches
12–51
Table 12.2 Primary Dimensions of Transformational Leadership
12–52
What is the situational
approaches to leadership?
The situational approaches to
leadership focuses on the situational
factors influencing managerial style.
It assumes that there is no one best
leadership style i.e. effective leadership
depends on situational factors
12–53
Situational Factors in Leadership
Effectiveness
1. The leader’s personality, past experiences
and expectations.
2. The expectations and behavior of superiors
3. Subordinate’s characteristic, expectations
and behaviors
4. Task requirements
5. Organizational culture and policies
6. Peers expectation and behavior
12–54
Current Perspectives on Leadership
• Emotional Intelligence (EI)
The capacity to effectively manage ourselves and our
relationships.
Components of EI:
Personal competence: the ability to understand
your own feelings, emotions, and their impact and
to understand your strengths and weaknesses
(based on the concept of self-awareness).
Social competence: the ability to understand what
others are feeling (the concept of social
awareness) and having the skills to work effectively
with others (based on social skill).
12–55
Table 12.3 The Emotional Intelligence Competency Framework
12–57