•Leadereship LEARNING OUTLINE Managers versus Leaders Early Leadership Theories Contingency Theories of Leadership Cutting Edge Approaches to Leadership Leadership Issues in the Twenty-First Century Managers Versus Leaders •Managers •Leaders Are appointed to their position. Are appointed or emerge from within a work group. Can influence people only Can influence other people and have managerial authority. to the extent of the formal authority of their position. Do not necessarily have the skills and capabilities to be leaders. Do not necessarily have the skills and capabilities to be managers. Leadership is the process of influencing a group toward the achievement of goals. Early Leadership Theories Research focused on identifying personal characteristics that differentiated leaders from nonleaders was unsuccessful. Later research on the leadership process identified seven traits associated with successful leadership: Drive, the desire to lead, honesty and integrity, self-confidence, intelligence, job-relevant knowledge, and extraversion. Behavioral Theories Identified three leadership styles: –Autocratic style: centralized authority, low participation –Democratic style: involvement, high participation, feedback –Laissez faire style: hands-off management Research findings: mixed results –No specific style was consistently better for producing better performance –Employees were more satisfied under a democratic leader than an autocratic leader. Early Leadership Theories (cont’d) • Behavioral Theories (cont’d) University of Michigan Studies Identified two dimensions of leader behavior – Employee oriented: emphasizing personal relationships – Production oriented: emphasizing task accomplishment Research findings: – Leaders who are employee oriented are strongly associated with high group productivity and high job satisfaction. Contingency Theories of Leadership • The Fiedler Model Proposes that effective group performance depends upon the proper match between the leader’s style of interacting with followers and the degree to which the situation allows the leader to control and influence. Assumptions: A certain leadership style should be most effective in different types of situations. Leaders do not readily change leadership styles. – Matching the leader to the situation or changing the situation to make it favorable to the leader is required. Contingency Theories… (cont’d) • Situational Leadership Theory (SLT) Argues that successful leadership is achieved by selecting the right leadership style which is contingent on the level of the followers’ readiness. Acceptance: leadership effectiveness depends on whether followers accept or reject a leader. Readiness: the extent to which followers have the ability and willingness to accomplish a specific task. Leaders must relinquish control over and contact with followers as they become more competent. Contingency Theories… (cont’d) •Leader Participation Model (Vroom and Yetton) Posits that leader behavior must be adjusted to reflect the task structure—whether it is routine, nonroutine, or in between—based on a sequential set of rules (contingencies) for determining the form and amount of follower participation in decision making in a given situation. Leader Participation Model Contingencies: Decision significance Importance of commitment Leader expertise Likelihood of commitment Group support Group expertise Team competence Leadership Styles: Vroom Leader Participation Model • Decide: Leader makes the decision alone and either announces or sells it to group. • Consult Individually: Leader presents the problem to group members individually, gets their suggestions, and then makes the decision. • Consult Group: Leader presents the problem to group members in a meeting, gets their suggestions, and then makes the decision. • Facilitate: Leader presents the problem to the group in a meeting and, acting as facilitator, defines the problem and the boundaries within which a decision must be made. • Delegate: Leader permits the group to make the decision within prescribed limits. Contingency Theories… (cont’d) • Path-Goal Model States that the leader’s job is to assist his or her followers in attaining their goals and to provide direction or support to ensure their goals are compatible with organizational goals. • Research on path-goal theory could be summarized as positive support Leaders assume different leadership styles at different times depending on the situation: Directive leader Supportive leader Participative leader Achievement oriented leader Path-Goal Theory Cutting-Edge Approaches to Leadership • Transactional Leadership Leaders who guide or motivate their followers in the direction of established goals by clarifying role and task requirements. • Transformational Leadership Leaders who inspire followers to transcend their own selfinterests for the good of the organization by clarifying role and task requirements. Leaders who also are capable of having a profound and extraordinary effect on their followers. They exhibit more than just charisma. The evidence supports the superiority of transformational leadership over transactional leadership. Cutting Edge Approaches to Leadership (cont’d) • Charismatic Leadership An enthusiastic, self-confident leader whose personality and actions influence people to behave in certain ways. Characteristics of charismatic leaders: Have a vision. Are able to articulate the vision. Are willing to take risks to achieve the vision. Are sensitive to the environment and follower needs. Exhibit behaviors that are out of the ordinary. Cutting Edge Approaches to Leadership (cont’d) • Visionary Leadership A leader who creates and articulates a realistic, credible, and attractive vision of the future that improves upon the present situation. Visionary leaders have the ability to: Explain the vision to others. Express the vision not just verbally but through behavior. Extend or apply the vision to different leadership contexts. Cutting Edge Approaches to Leadership (cont’d) • Team Leadership Characteristics Having patience to share information Being able to trust others and to give up authority Understanding when to intervene • Team Leader’s Job Managing the team’s external boundary Facilitating the team process Coaching, facilitating, handling disciplinary problems, reviewing team and individual performance, training, and communication • Team Leadership Roles Liaison with external constituencies Troubleshooter Conflict manager Coach Leadership Issues in the 21st Century • Managing Power Legitimate power The power a leader has as a result of his or her position. Coercive power The power a leader has to punish or control. Reward power The power to give positive benefits or rewards. Expert power The influence a leader can exert as a result of his or her expertise, skills, or knowledge. Referent power The power of a leader that arise because of a person’s desirable resources or admired personal traits. Developing Credibility and Trust • Credibility (of a Leader) The assessment of a leader’s honesty, competence, and ability to inspire by his or her followers • Trust The belief of followers and others in the integrity, character, and ability of a leader. Dimensions of trust: integrity, competence, consistency, loyalty, and openness. Trust is related to increases in job performance, organizational citizenship behaviors, job satisfaction, and organization commitment. Suggestions for Building Trust Practice openness. Be fair. Speak your feelings. Tell the truth. Show consistency. Fulfill your promises. Maintain confidences. Demonstrate competence. Providing Online Leadership • Challenges of Online Leadership Communication Choosing the right words, structure, tone, and style for digital communications. Performance management Defining, facilitating, and encouraging performance. Trust Creating a culture where trust among all participants is expected, encouraged, and required, Empowering Employees • Empowerment Involves increasing the decision-making discretion of workers such that teams can make key operating decisions in develop budgets, scheduling workloads, controlling inventories, and solving quality problems. Why empower employees? Quicker responses problems and faster decisions. Addresses the problem of increased spans of control in relieving managers to work on other problems. Cross-Cultural Leadership • Universal Elements of Effective Leadership Vision Foresight Providing encouragement Trustworthiness Dynamism Positiveness Proactiveness Gender Differences and Leadership • Research Findings Males and females use different styles: Women tend to adopt a more democratic or participative style unless in a male-dominated job. Women Men tend to use transformational leadership. tend to use transactional leadership. Where Female Managers Do Better: A Scorecard Source: R. Sharpe, “As Leaders, Women Rule,” BusinessWeek, November 20. 2000, p. 75. Copyright © 2005 Prentice Hall, Inc. All rights reserved. Heroic Leadership: Basics of Leadership • Give people a reason to come to work. • Help them to develop a passion for their work • Instill in them a sense of commitment to their colleagues • Develop their sense of responsibility to customers • Be loyal to the organization’s people Leadership Can Be Irrelevant • Substitutes for Leadership Follower characteristics Experience, training, professional orientation, or the need for independence Job characteristics Routine, unambiguous, and satisfying jobs Organization characteristics Explicit formalized goals, rigid rules and procedures, or cohesive work groups Revision Quizzes •1. Not all leaders have the capabilities or skills needed to hold managerial positions. •2. Leadership is based on authority granted from organizational position •3. Fiedler assumed a person’s leadership style was adjusted based on the situation. •4. Vroom and Yetton’s leader participation model related leadership behavior and participation to decision making. •5. A charismatic leader is likely seen as being assertive. 6.The key properties of a vision seem to be inspirational possibilities that are value centered, are realizable, have superior imagery, and are well articulated. •7. One specific role of team leadership is that team leaders are troubleshooters. •8. Credibility is the degree to which followers perceive someone as honest, competent, and able to inspire. •9. The evidence supports the superiority of transformational leadership over transactional leadership. •10. Trust is the belief in the integrity, character, and ability of a leader. • 4. Leadership is ________. • a. the process of influencing a group toward the achievement of goals • b. a group that achieves goals • c. the function of influencing a group towards the achievement of goals • d. directing a group towards the achievement of goals • 5. Which of the following is not true concerning the difference between managers and leaders? • • • • • a. managers are appointed b. managers influence through informal means c. leaders may be appointed d. leaders can influence beyond formal authority 6. Persons who are able to influence others and who possess managerial authority are termed ________. • b. • c. • a. leaders organizers managers 7. Early leadership trait research sought ______. a. to clarify the need for leadership traits b. and found the traits status of leaders c. identification of traits that leaders could use d. characteristics that might differentiate leaders from nonleaders 8. In the behavioral studies, group members’ satisfaction levels were generally ______. a. higher under an autocratic leader in the long run b. improved when the leader was considerate of the outcomes c. maintained when the leader was autocratic on the short run d. higher under a democratic leader than under an autocratic one 9. Which of the following describes the leadership style in which a leader tends to centralize authority, dictate work methods, make unilateral decisions, and limit employee participation? a. cultural style b. autocratic style c. democratic style d. laissez-faire style 10. Vroom and Yetton’s leader participation model argues that leader behavior must __________. a. reflect the needs of the followers b. develop to the appropriate leadership style c. adjust to reflect the task structure d. depend on the situational variables involved 11. Fiedler assumed a person’s leadership style was _____. a. contingent b. relative c. dimensional d. fixed 12. the _____ theory is a contingency theory that focuses on followers’ readiness. a. consideration leadership b. situational leadership c. passive leadership d. active leadership 13. What leadership model is associated with Vroom and Yetton? a. b. c. d. contingency leadership theory situational leadership theory path-goal model leader participation model 14. Path-goal theory identifies two classes of situation variables that moderate the leadership-behavior outcome as ___. a. tact and relationship b. path and goal c. people and history d. environment and followers 15. Research on path-goal theory could be summarized as ______. a. negative support b. inconclusive c. positive support d. very unsupportive 16. situational leadership theory is a contingency theory that _____. a. b. c. d. focuses on the followers’ situation depends on the followers’ situation focuses on followers’ readiness matches the situation with the followers’ ability 17. Transactional leaders are leaders who guide _______. a. and direct groups towards their goals and tasks b. and clarify the followers’ goals and task requirements c. or clarify the group’s goals and roles d. or motivate their followers in the direction of established goals by clarifying role and task requirements 18. Which of the following is an accurate statement about transformational leaders? a. They clarify task requirements. b. They focus on tasks and pay little attention to followers. c. They are poor motivators. d. They exhibit more than just charisma 19. ____ leadership is the ability to create and articulate a realistic, credible, and attractive vision of the future for an organization or organizational unit that grows out of and improves on the future. a. Visionary b. Charismatic c. Trait d. Transactional 20. Which of the following is not an important leadership role for team leaders? a. liaison with external constituencies b. liaison with internal constituencies c. troubleshooter d. conflict manager 21. ______________ is the power that rests on the leader’s ability to punish or control. a. Reward power b. Coercive power c. Expert power d. Referent power 22. Which of the following is an accurate statement about the differences between gender and leadership style? a. Males and females do not use different styles. b. Men are more democratic than women. c. Women encourage more participation. d. Men share power more than women 23. Women tend to use _____ leadership, motivating others by transforming their self-interest into organizational goals. a. transactional b. transformational c. situational d. initiating 24. According to the text, men tend to use _____ leadership, handing out rewards for good work and punishment for bad. a. transactional b. transformational c. situational d. initiating 25. The most dominant component of credibility is ______. a. expertise b. status c. authority d. honesty 26. The dimension of trust that is used to describe honesty and truthfulness is _____. a. integrity b. competence c. consistency d. loyalty 27. In the behavioral studies, group members’ satisfaction levels were generally __________. a. higher under an autocratic leader in the long run b. improved when the leader was considerate of the outcomes c. maintained when the leader was autocratic on the short run d. higher under a democratic leader than under an autocratic one