Chapter 12 Review Questions – Part 2 Leadership True/False (1 point each) 1. The three major situational leadership theories all assume that the effectiveness of any leadership style (the way a leader generally behaves toward followers) depends on the situation. True 2. There is no such thing as a "best" leadership style for all situations and employees. True 3. Fiedler's contingency theory is based on the assumption that leaders are capable of adapting and adjusting their leadership styles to fit the demands of different situations. False 4. Fiedler's contingency theory states that in order to maximize work group performance, leaders must be matched to the situation that best fits their leadership style. True 5. As described in the path-goal theory, directive leadership is similar to the key leadership behavior of initiating structure. True 6. Directive leadership is a leadership style in which leaders set challenging goals, have high expectations of employees, and display confidence that employees will assume responsibility and put forth extraordinary effort. False 7. The normative decision theory helps leaders decide how much employee participation should be used when making decisions. True 8. According to the normative decision theory, using the right degree of employee participation improves the quality of decisions and the extent to which employees accept and are committed to decisions. True 9. Transformational leadership is leadership that generates awareness and acceptance of a group's purpose and mission and gets employees to see beyond their own needs and self-interest for the good of the group. True 1 Business Administration Frey: 2014/15 Chapter 12 Review Questions – Part 2 Leadership Multiple Choice (1 point each) 1. Which of the following is an example of a situational theory of leadership? a. stimulus-response theory b. trait theory c. Fiedler's contingency theory d. equity theory of leadership e. charismatic theory 2. Which of the following leadership theories assumes that leadership styles are consistent and difficult to change? a. path-goal theory b. normative decision theory c. the Vroom theory d. the status quo theory of leadership e. none of these 3. Larry Tobin is now president of Fairwinds Credit Union in Florida where he started as a part-time teller. He's learned to ignore one bit of advice he's frequently heard, "Work with what you have." Tobin doesn't buy that view. He subscribes to the philosophy that calls for "having the right people on the bus and the right people in the right seats on the bus." After Tobin assumed the helm at Fairwinds, he made several personnel changes. This ability to make these personnel changes defines Tobin's ____. a. employee orientation b. position power c. goal specificity d. Instrumentality e. tactical leadership skills 4. Which of the following approaches to implementing Fiedler's contingency theory in the workplace has proven effective? a. accurately measuring and matching leaders to situations b. teaching managers how to change situational favorableness c. arbitrary definition of situations d. only hiring supervisors with appropriate leadership traits e. creating standing plans concerning leader actions and reactions 5. According to which of the following leadership model occurs when leaders make it clear how followers can achieve organizational goals, take care of problems that prevent followers from achieving goals, and then find more and varied rewards to motivate followers who achieve those goals, these leaders are demonstrating _____________? a. Fiedler's contingency theory b. Blake and Mouton's leadership grid c. the Vroom-Yetton-Jago normative decision model d. the path-goal theory e. the Boston Consulting Group leadership matrix 2 Business Administration Frey: 2014/15 Chapter 12 Review Questions – Part 2 Leadership 6. Which of the following is NOT one of the four leadership styles identified in the path-goal theory of leadership? a. Directive b. Supportive c. Participative d. Charismatic e. achievement-oriented 7. According to the path-goal theory of leadership, what type of leadership is being practiced that involves letting employees know precisely what is expected of them, giving them specific guidelines for performing tasks, scheduling work, setting standards of performance, and making sure that people follow standard rules and regulations. a. people-oriented leadership b. supportive leadership c. participative leadership d. achievement-oriented leadership e. directive leadership 8. According to the path-goal theory of leadership, what leadership style involves being friendly and approachable to employees, showing concern for them and their welfare, treating them as equals, and creating a friendly climate. a. directive leadership b. supportive leadership c. leadership empowerment d. achievement-oriented leadership e. participative leadership 9. A directive leader, one who lets his employees know precisely what is expected of them, give them specific guidelines for performing tasks, schedules work, set standards of performance, and makes sure that people follow standard rules and regulations would most likely have ______ a. been very friendly with his employees b. told employees precisely what he expected them to do c. used employees' inputs before making decisions d. assumed his employees would assume responsibility and put forth extraordinary effort e. used delegation 10. According to the path-goal theory of leadership, ____ is very similar to considerate leader behavior. a. directive leadership b. supportive leadership c. participative leadership d. achievement-oriented leadership e. people-oriented leadership 3 Business Administration Frey: 2014/15 Chapter 12 Review Questions – Part 2 Leadership 11. According to the path-goal theory of leadership, ____ involves consulting employees for their suggestions and input before making decisions. a. directive leadership b. supportive leadership c. participative leadership d. consultative leadership e. achievement-oriented leadership 12. The normative decision theory ____. a. states that the situation determines what leadership style to use b. assumes that certain inalienable characteristics determine the most effective leaders c. helps managers determine how much employee participation should be used in decision making d. assumes leader behavior can be fitted to subordinate characteristics e. assumes leaders are generally unable to change their leadership style 13. Which of the following leadership theories uses a decision tree to determine the appropriate level of participation by subordinates in decision-making? a. Fiedler's contingency theory b. Blake and Mouton's leadership grid c. path-goal theory d. Vroom-Yetton-Jago’s normative decision model e. trait theory 14. ____ is the ability to anticipate, envision, maintain flexibility, think strategically, and work with others to initiate change that will create a positive future for the organization. a. Strategic leadership b. Initiating leadership c. Vision congruence d. Progressive leadership e. Empathetic leadership 15. ____ is leadership that creates a positive image of the future that motivates organizational members and provides direction for future planning and goal setting. a. Visionary leadership b. Supportive leadership c. Transactional leadership d. Achievement-oriented leadership e. Leadership empowerment 16. The two types of visionary leadership are ____. a. tactical leadership and charismatic leadership b. charismatic leadership and transformational leadership c. situational leadership and transactional leadership d. transformational leadership and transactional leadership e. situational leadership and strategic leadership 4 Business Administration Frey: 2014/15 Chapter 12 Review Questions – Part 2 Leadership 17. The author of The Science of Good and Evil describes his meeting with the founders of Google in the book. He described them as visionary leaders, which means their primary goal for being in business is to ____. a. get rich b. show off their intelligence and expertise c. create a positive image of the future d. have as much free time as possible e. be charismatic 18. The two kinds of charismatic leaders are referred to as ____. a. ethical charismatics and unethical charismatics b. effective charismatics and ineffective charismatics c. transformational and transactional leaders d. visionary and nonvisionary leaders e. those who have learned how to be charismatic and those who are naturally charismatic 19. ____ refers to the behavioral tendencies and personal characteristics of leaders that create an exceptionally strong relationship between them and their followers. a. Consideration leadership b. Charismatic leadership c. Transactional leadership d. Transformational leadership e. Leadership empowerment 20. ______ leaders are ones who will control and manipulate followers, do what is best for themselves instead of his or her organization, only want to hear positive feedback, only share information that is beneficial to themselves, and have moral standards that put their interests before everyone else's. a. manipulative charismatic b. Machiavellian charismatic c. unethical charismatic d. illegitimate charismatic e. charismatic ombudsmen 21. UPS was founded UPS in 1907 as a message delivery business. The development of the telephone would have put an end to the business if UPS’s founder had not been a ____ type of leader. One who was able to get his employees to accomplish more than they had thought possible and re-invent the company as a company that delivered goods for retailers. a. transformational b. substitute c. participative d. transactional e. supportive 5 Business Administration Frey: 2014/15 Chapter 12 Review Questions – Part 2 Leadership 22. ____ generates awareness and acceptance of a group's purpose and mission and gets employees to see beyond their own needs and self-interest for the good of the group. a. Virtual leadership b. Charismatic leadership c. Leadership empowerment d. Transformational leadership e. Transactional leadership Short Answer (4 points each) 1. List the three major situational theories of leadership. How do they differ? 2. The three major situational leadership theories are: (1) Fiedler's contingency theory, (2) path-goal theory, and (3) Vroom-Yetton-Jago's normative decision model. These theories all assume that the effectiveness of any leadership style, the way a leader generally behaves toward followers, depends on the situation. Accordingly, there is no one best leadership style. However, these theories differ in one significant way. Fiedler's contingency theory assumes that leadership styles are consistent and difficult to change. Therefore, leaders must be placed in or matched to a situation that fits their leadership style. The other situational theories assume that leaders are capable of adapting and adjusting their leadership styles to fit the demands of different situations. 3. Identify and define the components of visionary leadership. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. Visionary leadership creates a positive image of the future that motivates organizational members and provides direction for future planning and goal setting. There are two types of visionary leadership, charismatic and transformational leadership. Charismatic leaders have strong, confident, dynamic personalities that attract followers, enable them to create strong bonds, and inspire them to accomplish the leader's vision. Transformational leadership goes beyond charismatic leadership by generating awareness and acceptance of a group's purpose and mission and by getting employees to see beyond their own needs and self-interest for the good of the group. 6 Business Administration Frey: 2014/15