Chapter 17
LEADERSHIP
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Learning Objectives
You should learn to:
1. Explain the difference between managers and
leaders
2. Describe the trait and behavioral theories of
leadership
3. Explain the Fiedler contingency model
4. Contrast the Hersey-Blanchard and leader
participation models of leadership
5. Summarize the path-goal model
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Learning Objectives (cont.)
You should learn to:
1. Contrast transactional and transformational leaders
2. Describe the main characteristics of charismatic,
visionary, and team leaders
3. Explain the various sources of power a leader
might possess
4. Describe how leaders can create a culture of trust
5. Explain gender and cultural differences in
leadership
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Manager and Leader
• Some Authors treat them equally.
• Managers appointed to their positions. Their abilities
to influence based on the formal authority inherited
in that position.
• Leaders may be either appointed or emerged from a
work group.
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Leadership
Leader
someone who can influence others and who has
managerial authority.
• all managers should ideally be leaders.
• not all leaders have the ability to be an effective
manager. (performing management functions).
Leadership
• process of influencing a group toward the
achievement of goals.
• a heavily researched topic
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Early Leadership Theories
Trait Theories:
• Research in the 1920s and 1930s focused basically on
leader traits.
leader traits - characteristics that might be used to
differentiate leaders from non-leaders. (see next page
for the characteristics).
• Might be used as a basis for selecting the “right”
people to assume formal leadership positions.
• Proved to be impossible to identify a set of traits that
would always differentiate leaders from non-leaders.
• Explanations based solely on traits ignored the
interactions of leaders, their groups, and situational
factors.
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Traits associated with leadership
1- drive: have ambitious and energy, tirelessly.
2- desire to lead.
3- honesty and integrity: building trusting
relationships.
4- self-confidence.
5- Intelligence
6- job relevance knowledge.
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Early Leadership Theories
Behavioral Theories
Identify behavior that differentiate effective leaders from ineffective
leaders.
• There are four leader behavior studies:
First: University of Iowa Studies - Kurt Lewin.
• Explored three leadership styles:
• Autocratic - leader dictated work methods. Centralize authority.
• Democratic - involved employees in decision making. used feedback
to coach employees
• Laissez-faire/lenient - gave the group complete freedom to make
decisions and complete work.
• Which style is better? Discussion
• results were mixed with respect to performance
– satisfaction higher with democratic leader
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Early Leadership Theories (cont.)
Behavioral Theories (cont.):
• Second: Ohio State Studies - identified two dimensions of leadership
behavior.
• initiating structure - a leader was likely to define and structure her/his
role and the roles of group members to seek goal attainment.
• It includes: attempts to organize work, work relationships, and goals.
• consideration - a leader had job relationships characterized by mutual
trust and respect for group members’ ideas and feelings.
• findings - high-high leaders achieved high group task performance
and satisfaction
• however, high-high was not always effective. There is a need to
integrate situational factors.
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Early Leadership Theories (cont.)
Behavioral Theories (cont.).
Third: University of Michigan Studies - identified two
dimensions of leadership
• employee oriented - emphasized interpersonal
relationships
• accepts individual differences among subordinates
• associated with high group productivity.
• production oriented - emphasized the technical or task
aspects of the job.
• concerned with accomplishing the group’s tasks
• associated with low group productivity and low job
satisfaction
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Early Leadership Theories (cont.)
Behavioral Theories (cont.)
• Fourth: Managerial Grid - two-dimensional grid that provides a
framework for conceptualizing leadership style
• dimensions are concern for people and concern for production.
• It ranked them on scale from 1 to 9. though we have 81 potential
categories, emphasis was placed on five management styles
described.
• impoverished (1,1) - minimum effort to reach goals and sustain
organization membership.
• Task management (9,1) - arrange operations to be efficient with
minimum human involvement.
• middle-of-the-road (5,5) - adequate performance by balancing
work and human concerns
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Early Leadership Theories (cont.)
Behavioral Theories (cont.)
Managerial Grid (cont.)
• five management styles described (cont.)
• country club (1,9) - attention to human needs and
creation of comfortable work environment. Limited
concern for production.
• team (9,9) - committed people motivated by a common
purpose, trust, and mutual respect.
• concluded that managers should use (9,9) style.
• little empirical evidence to support that (9,9) style is
effective in all situations.
• The Grid offer no answer for what made a manager an
effective leader
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Contingency Theories Of Leadership
Basic Assumptions
• leader effectiveness depends on the situation.
• must isolate situational conditions or
contingencies
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Contingency Theories (cont.)
Fiedler Model
• effective group performance depends on matching the
leader’s style and the degree to which the situation permits
the leader to control and influence.
• Fiedler believes that person’s style was one of two: task
oriented or relationship oriented. He developed:
• Fiedler developed the least-preferred co-worker (LPC)
questionnaire, that measures whether a person is task or
relationship oriented.
• This questionnaire contained 16 pairs of adjectives, and the
leaders were asked to describe the person they least
preferred to work with.
• He also isolated three situational criteria that he believed
could be manipulated\controlled to create the proper match
with the behavioral orientation.
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Contingency Theories (cont.)
Fiedler Model (cont.)
• These three criteria are as follows:
leader-member relations - degree of confidence, trust,
and respect members had for leader.
• Task structure - degree to which job assignments
were formalized and procedurized.
• Position power - degree of influence a leader had
over power-based activities. such as hiring, firing,
discipline, promotions, and salary increases.
• model assumes that leader’s style was always the
same and could not change in different situations
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Findings Of The Fiedler Model
Good
Performance
Task
Oriented
Relationship
Oriented
Poor
Favorable
Category
I
Leader-Member
Good
Relations
Task Structure
Position Power
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High
II
III
IV
Moderate
Unfavorable
V
VII VIII
VI
Good Good Good Poor Poor
Poor Poor
High
Low
Low
Low
High High
Low
Strong Weak Strong Weak Strong Weak Strong Weak
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Contingency Theories (cont.)
Fiedler Model (cont.)
• results indicated that:
• task-oriented leaders performed better in situations that
are very favorable to them and in situations that are very
unfavorable
• relationship-oriented leaders performed better in situations
that are moderately favorable
• Implications for improving leadership:
1. place leaders in situations suited to their style
2. change the situation to fit the leader
• Considerable empirical support for the model
• Drawbacks: unrealistic to assume that leader cannot alter
her/his style
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Contingency Theories (cont.)
Hersey and Blanchard’s Situational Leadership Theory
• appropriate leadership style is contingent on the
followers’ readiness
• readiness - extent to which people have the ability
and willingness to accomplish a specific task.
• reflects the reality that it is followers who accept or
reject the leader.
• based on two leadership dimensions task behaviors
and relationship behaviors.
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Contingency Theories (cont.)
Situational Leadership Theory (cont.)
• four leadership styles defined by the two dimensions
• Telling – (high task-low relationship) leader defines
roles and tells people how to do their jobs. people
are neither competent nor confident. Suitable R1
• Selling - (high task- high relationship) leader is both
directive and supportive.
• people are unable but willing to do necessary tasks.
Suitable R2
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Contingency Theories (cont.)
Situational Leadership Theory (cont.)
• four leadership styles defined by the two dimensions
• Participating - (low task- high relationship) leader and
follower make decisions
• people are able but unwilling to do the job. Suitable R3
• Delegating - (low task-low relationship) leader provides
little direction or support. people are able and willing to do
the job. Suitable R4
• Tests of the theory have yielded disappointing results.
Because of internal model ambiguities and inconsistencies.
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Hersey and Blanchard’s Situational Leadership Model
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Contingency Theories (cont.)
Leader-Participation Model
• Victor Vroom and associates - relate leadership
behavior and participation to decision making.
• Developed in the early 1970s.
• The model argues that leader behavior must adjust
to reflect the task structure- whether, routine, nonroutine.
• Provides a sequential set of rules to follow in
determining the form and amount of participation in
decision making.
• Rule selection determined by the situation.
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Contingency Theories (cont.)
Leader Participation Model(cont.)
5 Leadership Styles
• Decide - leader makes decision alone, either announcing or
selling to group
• Consult Individually - leader makes decision after obtaining
feedback from group members individually
• Consult Group - leader makes decision after obtaining
feedback from group members in meeting
• Facilitate - leader, acting as facilitator, defines problem and
boundaries for decision-making after presenting it to group
• Delegate - leader permits group to make decision within
prescribed limits
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Time-Driven Model
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Time-driven model
Short-term in its orientation and concern with making
effective decisions with minimum cost.
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Contingency Theories (cont.)
Path-Goal Model
• Robert House - leader’s job is to assist followers in
attaining their goals that are compatible with the
overall objectives of the group or organization.
• Path-goal theory says that a leader’s behavior is
acceptable to subordinates to the degree that they
view it as an immediate source of satisfaction or a
source of future satisfaction.
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Contingency Theories (cont.)
Path-Goal Model
– leader behavior is:
• acceptable to the degree that group views it as a
source of immediate or future satisfaction
• motivational to the extent that it:
– makes satisfaction of subordinates’ needs
contingent on effective performance
– provides the coaching, guidance, support, and
rewards necessary for effective performance
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Contingency Theories (cont.)
Path-Goal Model (cont.)
• identifies four leadership behaviors
1. Directive - describes tasks, sets schedules, and offers
guidance on task performance.
2. Supportive - shows concern for subordinates.
3. Participative - consults with subordinates and uses
their suggestions before making a decision.
4. Achievement oriented - sets challenging goals and expects
subordinates to perform at their highest level.
•
assumes that a leader can display any or all of the
behaviors depending on the situation.
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Contingency Theories (cont.)
Path-Goal Model (cont.)
two contingency variables affect the leadership behavior:
• environment - outside the control of the follower.
determine the type of leader behavior required if follower
outcomes are to be maximized.
• personal - characteristics of the follower.
• determine how the environment and leader behavior are
interpreted
• leader behavior will be ineffective when:
1. It is redundant\ unneeded with sources of environmental
structure.
2. it is incongruent\unrelated with follower characteristics.
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Some examples of the hypotheses
Some examples of the hypotheses that have evolved out of
path-goal theory include the following:
a. Directive leadership leads to greater satisfaction when tasks
are ambiguous or stressful than when they’re highly
structured and well laid out.
b. Supportive leadership results in high employee performance
and satisfaction when subordinates are performing
structured tasks.
c. Directive leadership will lead to higher employee
satisfaction when there is substantive conflict within a work
group.
d. Achievement-oriented leadership will increase subordinates’
expectancies that effort will lead to high performance when
tasks are ambiguously structured.
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Evidence supports to the Theory
Although not every research finding has been positive, the
majority of the evidence supports the logic underlying pathgoal theory, which is as follows:
a. Employee performance and satisfaction are likely to be
positively influenced when the leader compensates for
shortcomings in either the employee or the work setting.
b. However, if the leader spends time explaining tasks when
those tasks are already clear or when the employee has the
ability and experience to handle them, the employee is
likely to see such behavior as redundant or even insulting.
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Path-Goal Theory
Environmental
Contingency Factors
• Task Structure
Leader
Behavior
• Formal Authority System
• Work Group
Outcomes
• Directive
• Supportive
• Participative
• Achievement oriented
•Performance
• Satisfaction
Subordinate
Contingency Factors
• Locus of Control
• Experience
• Perceived Ability
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Cutting-Edge Approaches To Leadership
Three contemporary approaches to leadership:
First: Transformational-Transactional Leadership
• transactional - leaders who guide or motivate their
followers in the direction of established goals by clarifying
role and task requirements.
• transformational - inspire followers to transcend\increase
their own self-interests for the good of the organization.
• capable of having profound effect on followers.
• pay attention to concerns of followers.
• change followers’ awareness of issues.
• excite and inspire followers to put forth extra effort.
• built on top of transactional leadership.
• good evidence of superiority of this type of leadership.
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Cutting-Edge Approaches (cont.)
Three contemporary approaches to leadership:
Second: Charismatic-Visionary Leadership
It suggests that followers make attributions of heroic or extraordinary
leadership abilities when they observe certain behaviors.
charismatic - enthusiastic, self-confident leader whose personality and
actions influence people.
Personal characteristics:
1.
Have a vision, 2. Are able to articulate that vision, 3.
Are willing to
take risks to achieve that vision, 4. Are sensitive to both environmental
constraints and follower needs, 5. Exhibit behaviors that are out of the
ordinary
•
charismatic leadership correlated with high job performance and
satisfaction among followers
individuals can be trained to exhibit charismatic behaviors
•
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Cutting-Edge Approaches (cont.)
Three contemporary approaches to leadership:
Second: Charismatic-Visionary Leadership (cont.)
visionary - is described as going beyond charisma with the ability to create and
articulate a realistic, credible, attractive vision of the future for an
organization .
1. If the vision is properly selected and implemented, it can be so energizing
that it incites\provoke individuals to use their skills, talents, and resources
to make it happen.
2. A vision differs from other forms of organizational direction in that it uses
compelling imagery, taps into people’s emotions and energy, and creates
the enthusiasm that people need to bring energy and commitment to the
workplace.
3. The key properties of a vision are that it has inspirational possibilities that
are value centered, are realizable, and are well articulated.
4. What skills do visionary leaders have?
a. The ability to explain the vision to others.
b. The ability to express the vision not just verbally but through behavior.
c. The ability to extend or apply the vision to different leadership contexts.
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Cutting-Edge Approaches (cont.)
Three contemporary approaches to leadership:
Third: Team Leadership
As the usage of work teams grows, the role of
team leader becomes increasingly important.
1. The challenge for most managers is learning
how to become an effective team leader.
2. Effective team leaders have mastered the
difficult balancing act of knowing when to
leave their teams alone and when to get
involved.
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Cutting-Edge Approaches (cont.)
Three contemporary approaches to leadership:
Third: Team Leadership
• There are two priorities for a team leader.
a. Managing the team’s external boundaries
b. Facilitating the team process.
• These priorities can be broken down into four specific
leadership roles. (See Exhibit 17.9 on p. 474.)
– a.
Liaisons with external constituencies
– b.
Troubleshooters
– c.
Conflict managers
– d.
Coaches
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Cutting-Edge Approaches (cont.)
Three contemporary approaches to leadership:
Team Leadership (cont.)
team leaders serve as:
• Liaisons\links with external constituencies - clarify others’
expectations of the team, gather information from the
outside, and secure needed resources
• troubleshooters - ask penetrating questions, help team talk
through problems, and gather needed resources
• conflict managers - identify source of conflict, who is
involved, and find resolution options
• coaches - clarify role expectations, teach, offer support, and
whatever else is necessary to keep performance levels high
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Specific Team Leadership Roles
Liaison with
external
constituencies
Coach
Team
Leadership
Roles
Conflict
manager
© Prentice Hall, 2002
Troubleshooter
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Contemporary Issues In Leadership
Leaders and Power
What is power?
the capacity of a leader to influence work actions or
decisions.
And because leadership is all about influence, we need
to look at how leaders acquire power.
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Contemporary Issues In Leadership
Leaders and Power
French and Raven identified five sources or bases of power.
1. legitimate - authority associated with a position in the formal
organizational hierarchy.
2. Coercive\compelling - ability to punish or control.
•
followers react out of fear
3. reward - ability to give positive benefits
•
provide anything that another person values
4. expert - influence based on special skills or knowledge
5. referent\source - arises because of a person’s desirable resources or
personal traits
•
leads to admiration and desire to be like that person
•
Most effective leaders rely on several different bases of power.
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Contemporary Issues In Leadership (cont.)
1. Credibility is the degree to which followers perceive someone
as honest, competent, and able to inspire.
2. Trust is the belief in the integrity, character, and ability of a
leader.
3. Research has identified five dimensions that make up the
concept of trust.
a. Integrity (honesty and truthfulness)
b. Competence (technical and interpersonal knowledge and skills)
c. Consistency (reliability, predictability, and good judgment in
handling situations)
d. Loyalty (willingness to protect a person, physically and
emotionally)
e. Openness (willingness to share ideas and information freely)
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Contemporary Issues In Leadership (cont.)
4.
5.
a.
b.
c.
d.
e.
f.
g.
h.
Given the fact that many organizations have moved to selfmanaged work teams, trust is extremely important because many
of the traditional control mechanisms have been removed.
How should leaders build trust? Here are eight suggestions.
Practice openness.
Be fair.
Speak your feelings.
Tell the truth.
Show consistency.
Fulfill your promises.
Maintain confidences.
Demonstrate competence.
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Building Trust
Practice
openness
Be fair
Demonstrate
competence
Speak your
feelings
Trust
Maintain
confidences
Tell the
truth
Fulfill your
promises
© Prentice Hall, 2002
Show
consistency
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Contemporary Issues In Leadership (cont.)
Leading Through Empowerment
Empowerment: increasing the decision making
discretion\judgment of workers.
• The increased use of empowerment is being driven by two
forces.
a. The need for quick decisions by those people who are most
knowledgeable about the issues.
b. The reality that organizational downsizing has left managers
with larger spans of control and in order to cope, managers
are turning to employee empowerment.
• Empowerment should not be considered a universal
panacea\solution to problems. This universal perspective is
anti-contingency.
• Instead, should be used where a workforce has the
knowledge, skills, and experience to do jobs.
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Contemporary Issues In Leadership (cont.)
Gender and Leadership
The evidence generally has found that males and females do
use different leadership styles.
a. Women tend to adopt a more democratic or participative
style and a less autocratic or directive style than men do.
b. Women are more likely to encourage participation, share
power and information, and attempt to enhance followers’
self-worth.
c. Men are more likely to use a directive, command-andcontrol style.
d. Men rely on the formal authority of their position for their
influence base.
e. Men use transactional leadership, handing out rewards for
good work and punishment for bad.
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Contemporary Issues In Leadership (cont.)
Leadership Styles in Different Countries
effectiveness of leadership style influenced by national
culture.
• leaders constrained by the cultural conditions their followers
have come to expect.
• most leadership theories developed in the U.S:
• emphasize follower responsibilities rather than rights
• assume self-gratification\satisfaction rather than
commitment to duty
• assume centrality of work and democratic value orientation
• stress rationality rather than spirituality
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Features of Arab Management
1- Status and seniority significantly outweigh ability
and performance
2- Low level of delegation
3- Authoritarian management style
4- Decision-making is pushed upwards
5- Decisions are renegotiable at later time
6- Absence of Western-style of democratic systems
7- Consultative style of decision-making are
dominant, and conducted on a person-to-person
basis
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Features of Arab Management
8- Management is reactive and crisis oriented
9- High level of uncertainty at work
10- Strong preference of a person-oriented approach rather
than a task oriented approach.
11- Nepotism is regarded as natural and acceptable
12- Value loyalty over efficiency
13- Punctuality and time are of much less concern
14- Patriarchy society, the dominance of the father
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Contemporary Issues in Leadership (cont.)
Sometimes Leadership is Irrelevant!
• leader behaviors may be irrelevant in some situations
• factors that reduce leadership importance include:
1. follower characteristics - experience, training, professional
orientation, or need for independence replace the need for
leader support and ability to reduce ambiguity.
2. job characteristics - unambiguous and routine tasks, or
tasks that are intrinsically satisfying, place fewer demands
on leaders
3. organizational characteristics - explicit goals, rigid rules
and procedures, and cohesive work groups can substitute
for formal leadership
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Discussions
Explain how someone can be a manager but not a leader, a
leader but not a manager, and both a manager and a
leader.
Managers are appointed, whereas leaders may either be
appointed or emerge from within a group. All managers
should ideally be leaders. However, not all leaders
necessarily have the capabilities or skills in other
managerial functions, and thus not all should hold
managerial positions.
What are the situational factors in Fiedler’s contingency
model?
The situational factors in Fiedler’s model are leader-member
relations, task structure, and position power.
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Discussions
Explain the meaning of path and goal to the pathgoal theory.
The term path-goal is derived from the belief that
effective leaders clarify the path to help their
followers get from where they are to the
achievement of their work goals and make the
journey along the path easier by reducing roadblocks
and pitfalls.
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Discussions
Describe characteristics of charismatic and of
visionary leaders.
Charismatic leaders are self-confident, have a
vision, can articulate that vision, hold strong
convictions about the vision, behave in ways that are
out of the ordinary, act as change agents, and are
sensitive to the environment. Visionary leadership
goes beyond charisma in that it is the ability to
create and articulate a realistic, credible, and
attractive vision of the future for an organization or
unit that grows out of and improves on the present
situation.
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