Commerce 2BA3 Leadership Week 11 (Part A) Dr. Teal McAteer DeGroote School of Business McMaster University What is Leadership? • The influence that particular individuals exert on the goal achievement of others in an organizational context. Formal vs. Informal • Formal – Legitimacy – Role/position • Informal – No legitimate title – Positive power always – Critical knowledge and experience Leaders versus Managers • The role of the leader and the role of the manager are not the same. • Is it possible to be a manager yet not have influence? Transformational vs Transactional • Transformational – Arouse intense feelings – Inspirational – Rely on personal sources of power – Charisma • Transactional – Motivate by exchanging rewards for services – Manager-like role Trait – Innate Universal Transformational Leaders Behaviour – Can be Trained Socio-emotional & Task Leaders Situation Contingent Fiedler’s Contingency Model of Leadership -Path-Goal Theory -Vroom-Yetton’s Model Universal Leader Influence Universal Trait Theories or Approaches - belief that certain individuals are destined to be leaders regardless of the situation. - traits: individual characteristics such as physical attributes, intellectual ability, and personality. -limitations of the trait approach Universal Leader Influence cont. Universal Behaviour Theories/Approaches Task Leader - A leader who is concerned with accomplishing a task by organizing others, planning strategy, and dividing labour. Social-emotional Leader - A leader who is concerned with reducing tension, patching up disagreements, and maintaining morale. The Ohio State Studies - Initiating Consideration: the extent to which a leader is approachable and shows personal concern for employees - Initiating Structure: the degree to which a leader concentrates on group goal attainment. - Overall study effects Situation-Contingent Leader Influence Contingency Trait Theories/Approaches Fiedler’s Contingency Theory - The association between leadership orientation and group effectiveness is contingent on how favourable the situation is for exerting influence 1.Leadership Orientation 2.Situational Favourableness 1. Leadership Orientation - Least Preferred Co-Worker Scale - LPC: A current of past co-worker with whom a leader has had a difficult time accomplishing a task. 2. Situational Favourableness - leader-member relations - task structure - position power 3. The Contingency Model (Exhibit 9.2, p. 306) Situation Contingent Leader Influence cont.. Contingency Behaviour Theories House’s Path-Goal Theory - This theory is concerned with the situations under which various leader behaviours are most effective. 1. Leader Behaviour 2. Situational Factors House’s Path-Goal Theory cont.. 1. Leader Behaviour - Directive behaviour - Supportive behaviour - Participative behaviour - Achievement-oriented behaviour 2. Situational Factors Employee Characteristics: - level of authoritarianism - locus of control - level of ability Environmental Factors - nature of the task - formal authority 3. The Path-Goal Model (Exh. 9.3, p. 308) Contingency Behaviour Theories cont.. 1. What is Participative Leadership? - involving employees in making work-related decisions 2. Advantages of Participative Leadership - motivation - quality - acceptance 3. Problems with Participative Leadership - time and energy - loss of power - lack of receptivity or knowledge Vroom and Jago’s Model of Participative Leadership - specifies when leaders should use participation and to what extent they should use it. - model suggests various degrees of participation that a leader can exhibit - range: AI, AII, CI, CII, GII (A for autocratic; C for consultative; G fro group) - model (Exh. 9.5, p. 287) Alternative Theories of Leadership 1. Leader-Member Exchange (LNX) Theory - A theory of leadership that focuses on the quality of the relationship that develops between a leader and an employee. 2. Developmental Leadership - A style of leadership that involves working with organizational members as partners and using persuasion and negotiation rather than formal power and authority to achieve high levels of commitment rather than compliance. - self-management - empowerment - persuasion and negotiation 3. Strategic Leadership - Leadership that involves the ability to anticipate, envision, maintain flexibility, think strategically, and work with others to initiate changes that will create a viable future for the organization 4. Global Leadership - A set of leadership capabilities required to function effectively in different cultures and the ability to cross language, social, economic, and political borders. -inquisitiveness -personal character -duality -savvy Neutralizers and Substitutes for Leadership Neutralizers of Leadership -factors in the work setting that reduce a leader’s opportunity to exercise influence (employee, task and organizational factors) Substitutes for Leadership - factors in the work setting that can take the place of active leadership, making it unnecessary or redundant. (employee, task and organizational factors)