MGMT5
14
Leadership
© 2012 Cengage Learning
1. explain what leadership is
2. describe who leaders are and what effective
leaders do
3. explain Fiedler’s contingency theory
4. describe how path-goal theory works
5. explain the normative decision theory
6. explain how visionary leadership (i.e.,
charismatic or transformational leadership)
helps leaders achieve strategic leadership
© 2012 Cengage Learning
What is Leadership?
1. explain what leadership is
2. describe who leaders are and what
effective leaders do
© 2012 Cengage Learning
Leaders
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•
•
•
•
•
vs.
Doing the right thing
“What should we be doing?”
Vision, mission, goals, objectives
Challenge the status quo
Long-term view
Expand people’s options and
choices
• Inspire and motivate people to
find their own solutions
• Concerned with ends, what gets
done
Managers
• Doing things right
• “How can we do what we’re
already doing better?”
• Productivity and efficiency
• Preservers of status quo
• Short-term view
• Limit others’ choices
• Sole problems so that others can
do their work
• More concerned with means, how
things get done
© 2012 Cengage Learning
Leadership Traits
• Trait theory
– effective leaders possess a similar set of traits or characteristics
• Leaders are different from followers in:
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–
–
–
–
–
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drive
desire to lead
honest/integrity
self-confidence
emotional stability
cognitive ability
knowledge of the business
© 2012 Cengage Learning
Leadership Behaviors
• Initiating structure
• Consideration
© 2012 Cengage Learning
Blake/Mouton
Leadership Grid
© 2012 Cengage Learning
Situational Approaches to
Leadership
3. explain Fiedler’s contingency theory
4. describe how path-goal theory works
5. explain the normative decision theory
© 2012 Cengage Learning
Fiedler’s Contingency Theory
In order to maximize work group performance,
leaders must be matched to the right leadership
situation.
•Leaders are effective when the work group they lead
performs well.
•Leaders are generally unable to change their leadership
styles, and they will be more effective when their styles are
matched to the proper situation.
•The favorableness of a situation permits the leader to
influence the behavior of group members.
© 2012 Cengage Learning
Least Preferred Coworker
• Leadership style = the way that leaders
generally behave toward their followers.
• Leadership styles are tied to leaders’ underlying
needs and personalities.
• Relationship-oriented
• Task-oriented
© 2012 Cengage Learning
Situational Favorableness
The degree to which a particular situation either
permits or denies a leader the chance to
influence the behavior of group members.
•Leader-member relations
•Task structure
•Position power
© 2012 Cengage Learning
Situational
Favorableness
© 2012 Cengage Learning
Matching Leadership
Styles to Situations
© 2012 Cengage Learning
Leaders and Situations
• Fiedler assumes leaders to be incapable of
changing their leadership styles.
• The key − matching leaders to situations…
• …or teaching leaders how to change situational
favorableness
© 2012 Cengage Learning
Path-Goal Theory
Leaders can increase subordinate satisfaction and
performance by clarifying and clearing the paths
to goals and by increasing the number and kinds
of rewards available for goal attainment.
•Leader behavior must be a source of immediate
or future satisfaction for followers.
•Leaders must complement, not duplicate the
characteristics of followers’ work environments.
© 2012 Cengage Learning
Path-Goal
Theory
© 2012 Cengage Learning
Leadership Styles
• Directive
• Supportive
• Participative
• Achievement-oriented
© 2012 Cengage Learning
Subordinate Contingencies
• Perceived ability
• Experience
• Locus of control
– internals vs. externals
© 2012 Cengage Learning
Environmental Contingencies
• Task structure
• Formal authority system
• Primary work group
© 2012 Cengage Learning
Path-Goal Theory:
When to Use Directive,
Supportive, Participative, or
Achievement-Oriented Leadership
© 2012 Cengage Learning
Normative Decision Theory
Helps leaders decide how much employee
participation (from none to letting employees
make the entire decision) should be used when
making decisions.
© 2012 Cengage Learning
Normative Theory, Decision
Styles, and Levels of
Employee Participation
© 2012 Cengage Learning
Normative Theory
Decision Rules
© 2012 Cengage Learning
Normative Decision Theory Tree for
Determining Level of Participation in
Decision Making
© 2012 Cengage Learning
Strategic Leadership
6. explain how visionary leadership (i.e.,
charismatic and transformational
leadership) helps achieve strategic
leadership
© 2012 Cengage Learning
Visionary Leadership
Creates a positive image of the future that
motivates organizational members and provides
direction for future planning and goal setting.
© 2012 Cengage Learning
Charismatic Leadership
The behavioral tendencies and personal characteristics of
leaders that create an exceptionally strong relationship
with followers.
•Articulate a clear vision for the future that is based on strongly held
values or morals
•Model those values by acting in a way consistent with the vision
•Communicate high performance expectations to followers
•Display confidence in followers’ abilities to achieve the vision
© 2012 Cengage Learning
Ethical and
Unethical Charismatics
© 2012 Cengage Learning
Transformational Leadership
Generates awareness and acceptance of a group’s
purpose and mission and gets employees to see
beyond their own needs and self interests for the
good of the group.
© 2012 Cengage Learning
Components of Transformational
Leadership
• Charismatic leadership or idealized influence
• Inspirational motivation
• Intellectual stimulation
• Individualized consideration
© 2012 Cengage Learning
Transactional Leadership
Based on an exchange process in which followers
are rewarded for good performance and punished
for poor performance.
© 2012 Cengage Learning
REELTOREAL
Doomsday
<click screenshot for video>
1. Assess the behavior of both
Major Sinclair and Michael
Canaris. Which leadership
traits does their behavior
show?
2. Does this film sequence
show any aspects of
charismatic and
transformational
leadership? Draw some
examples from the
sequence.
© 2012 Cengage Learning
REELTOREAL
Camp Bow Wow
1.
2.
3.
<click screenshot for video>
© 2012 Cengage Learning
Does Camp Bow Wow CEO
Heidi Ganahl possess qualities
associated with contemporary
leadership?
In what way is Heidi Ganahl’s
leadership charismatic and
visionary? Give examples.
Where does Heidi Ganahl’s
leadership fall on the Leader-ship
Grid discussed in the chapter?
Explain.