Fundamentals of
MANAGEMENT
Core Concepts & Applications
Griffin
Eighth Edition
Chapter 5
Leadership and Influence Processes
Chapter Outline
• The Nature of Leadership
–The Meaning of Leadership
–Leadership Versus Management
–Power and Leadership
• The Search for Leadership Traits
• Leadership Behaviors
–Michigan Studies
–Ohio State Studies
–Leadership Grid
• Situational Approaches to Leadership
–LPC Theory
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Chapter Outline (cont’d)
• Situational Approaches to Leadership (cont’d)
–Path-Goal Theory
–Vroom’s Decision Tree
–The Leader-Member Exchange Approach
• Related Perspectives on Leadership
–Substitutes for Leadership
–Charismatic Leadership
–Transformational Leadership
• Political Behavior in Organizations
–Common Political Behaviors
–Managing Political Behaviors
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Learning Objectives
• After studying this chapter, you should be able to:
–Describe the nature of leadership and distinguish
leadership from management.
–Discuss and evaluate the trait approach to leadership.
–Discuss and evaluate models of leadership, focusing on
behaviors.
–Identify and describe the major situational approaches
to leadership.
–Identify and describe three related perspectives on
leadership.
–Discuss political behavior in organizations and how it
can be managed.
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The Nature of Leadership
• The Meaning of Leadership
–Process: what leaders actually do.
• Use no-coercive influence to shape the group’s or
organization’s goals.
• Motivate others’ behavior toward goals.
• Help to define organizational culture.
–Property: who leaders are.
• The set of characteristics
attributed to individuals
perceived to be leaders.
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The Nature of Leadership
• The Meaning of Leadership
–Leaders
• People who can influence the behaviors of others without
having to rely on force.
• People who are accepted
as leaders by others.
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The Nature of Leadership (cont’d)
• Distinctions Between Management
and Leadership
Leadership
Activity
Management
Establishing direction and
vision for the organization
Creating an agenda
Planning and budgeting,
allocating resources
Aligning people through
communications and actions
that provide direction
Developing a human network
for achieving the agenda
Organizing and staffing,
structuring and monitoring
implementation
Motivating and inspiring by
satisfying needs
Executing plans
Controlling and problem
solving
Produces useful change and
new approaches to challenges
Outcomes
Produces predictability and
order and attains results
Source: Adapted from A Force for Change: How Leadership Differs from
Management by John P. Kotter. Copyright © 1990 by John P. Kotter, Inc.
Reprinted with permission of The Free Press, a division of Simon & Schuster Inc.
Table 11.1 (adapted)
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Manager
Leader
Managers have employees
Leaders win followers
Managers react to change
Leaders create change
Managers have good ideas
Leaders implement them
Managers communicate
Leader persuade (convince)
Managers direct groups
Leaders create teams
Managers try to be heroes
Leader make heroes of everyone
around them
Managers take credit
Leaders take responsibility
Managers exercise power over
people
Leaders develop power with people
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Types of Power in Organizations
Legitimate: Sincere
Referent:
Source: Van Fleet, David D., and Tim Peterson, Contemporary Management, Third Edition. Copyright © 1994 by Houghton Mifflin Company. Used with permission.
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The Nature of Leadership (cont’d)
• Power and Leadership
–Power is the ability to affect the behavior of others.
–Formal power:
• Legitimate (Genuine) power is granted through the
organizational hierarchy. Example : the CEO who determines
the overall direction of the company and resources needs of
the company.
• Reward power is the power to give or withhold rewards.
Example: this may be done through giving bonuses, raises a
promotion, extra time off from work etc.
• Coercive power is the capability to force compliance by
means of psychological, emotional, or physical threat.
Example: the VP of sales who threatens sales folks to meet their
goals or get replaced.
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Personal Power:
• Referent power is the personal power that accrues to someone
based on identification, imitation, loyalty, or charisma.
Referent power comes from being trusted and respected.
Referent power is gained by a leader who has strong interpersonal
relationship skills.
• Expert power is derived from the possession of information or
expertise. It comes from one’s experiences, skills or
knowledge. Example: the project manager who is an expert at
solving particularly challenging problems to ensure a project
stays on track.
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The Search for Leadership Traits
• Traits (Characters) Approach to Leadership
–Assumed that a basic set of personal traits that
differentiated leaders from non-leaders could be used
to identify leaders and predict who would become
leaders.
–The trait approach was unsuccessful in establishing
empirical relationships between traits and persons
regarded as leaders.
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Traits of a Good Leader
Compiled by the Santa Clara University and the Tom Peters Group:
Honest — Display sincerity, integrity, and candor (frankness) in all your actions. Deceptive
behavior will not inspire trust.
Competent — Base your actions on reason and moral principles. Do not make decisions based
on childlike emotional desires or feelings.
Forward-looking — Set goals and have a vision of the future. The vision must be owned
throughout the organization. Effective leaders envision (imagine) what they want and how to get
it. They habitually pick priorities stemming from their basic values.
Inspiring — Display confidence in all that you do. By showing endurance in mental, physical,
and spiritual stamina, you will inspire others to reach for new heights. Take charge when
necessary.
Intelligent — Read, study, and seek challenging assignments.
Fair-minded — Show fair treatment to all people. Prejudice is the enemy of justice. Display
empathy by being sensitive to the feelings, values, interests, and well-being of others.
Broad-minded — Seek out diversity.
Courageous — Have the perseverance (insistance) to accomplish a goal, regardless of the
seemingly insurmountable obstacles. Display a confident calmness when under stress.
Straightforward — Use sound judgment to make a good decisions at the right time.
Imaginative — Make timely and appropriate changes in your thinking, plans, and methods.
Show creativity by thinking of new and better goals, ideas, and solutions to problems. Be
innovative!
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Leadership Traits
• Intelligence
–More intelligence
–Scholarship(learning)
–Knowledge
–Being able to get
things done
• Physical
-doesn’t see to be
correlated
• Personality
-Verbal facility
-honesty
-initiative
-aggressive
-self-confident
-ambitious
-originality
(innovation)
-sociability
-adaptability
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Leadership Behaviors
• Michigan Studies (Rensis Likert)
–Identified two forms of leader behavior
• Job-centered behavior—managers who pay close attention to
subordinates’ work, explain work procedures, and are keenly
interested in performance.
• Employee-centered behavior—managers who focus on the
development of cohesive work groups and employee
satisfaction.
–The two forms of leader
behaviors were considered
to be at opposite ends of
the same continuum.
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Leadership Behaviors (cont’d)
• Ohio State Studies
–Did not interpret leader behavior as being onedimensional as did the Michigan State studies.
–Identified two basic leadership styles that can be
exhibited simultaneously:
• Initiating-structure behavior—the leader clearly defines the
leader-subordinate role expectations, formalizes
communications, and sets the working agenda.
• Consideration behavior—the leader shows concern for
subordinates and attempts to establish a friendly and
supportive climate.
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Leadership Behaviors (cont’d)
• Ohio State Studies (cont’d)
–Initial assumption was that the most effective leaders
who exhibit high levels of both behaviors. Subsequent
research indicated that:
• Employees of supervisors ranked high on initiating structure
were high performers, yet they expressed low levels of
satisfaction and higher absenteeism.
• Employees of supervisors ranked high on consideration had
low- performance ratings, yet they had high levels of
satisfaction and less absenteeism.
• Other situational variables make consistent leader behavior
predictions difficult. There is no universal or “one best way”
model of leadership.
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High
9
1,9
Team Management
Concern for people
7
6
9,9
Work accomplishment is
from committed people;
interdependence through
a “common stake” in
organization purpose
leads to relationships
of trust and respect.
Country Club Management
8
Leadership/M
anagerial
Grid®
Thoughtful attention to the
needs of people for satisfying
relationships leads to a
comfortable, friendly
organization atmosphere
and work tempo.
5
Middle of the Road
Management
4
Adequate organization performance is
possible through balancing the necessity
to get out work with maintaining morale
of people at a satisfactory level.
The Leadership Grid® is
a method of evaluating
leadership styles. The
Grid® is used to train
managers so that they
are simultaneously more
concerned for people
and for production (9,9
style on the Grid®).
5,5
Authority-Compliance
3
2
Impoverished Management
1
Exertion of minimum effort
to get required work done
is appropriate to sustain
organization membership.
1,1
Efficiency in operations
results from arranging
conditions of work in
such a way that
human elements
9,1
interfere to a
minimum degree.
Source: From Leadership Dilemmas—
Grid Solutions by Robert R. Blake and
Anne Adams McCanse. (Formerly the
Managerial Grid by Robert R. Blake and
Jane S. Mouton.) Houston: Gulf Publishing
Company, p. 29. Copyright © 1991 by
Scientific Methods, Inc. Reproduced by
permission of the owners.
0
Low
Low
1
2
3
4
5
6
Concern for production
7
8
9
High
Figure 11.1
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