Management Assignment : LeaderShip
MGT 621
LEADERSHIP
Module 5: “Hot” New Approaches
Dr. Chet Schriesheim
Bass’s Transformational and Transactional Leadership Dimensions
The first serious scientific theory about charismatic, transformational, and outstanding leadership.
- Transformational Dimensions
- Charisma (provides vision, pride)
- Inspiration (sets high standards, uses symbols)
- Intellectual Stimulation (promotes rationality and careful problem solving)
- Individualized Consideration (gives personal attention, coaches and develops subordinates)
- Transactional Dimensions
- Contingent Reward (rewards good performance)
- Active Management by Exception (anticipates and searches for deviations from expectations and takes corrective action before problems arise)
- Passive Management by Exception (waits until problems become manifest, then corrects)
- Laissez-Faire (avoids acting)
- Relationship Between Transformational and Transactional Leadership (Compensatory or They “Augment” Each Other)
Summary of Key New Theory and Research on Charismatic and Transformational Leaders
House’s Attitudinal Characteristics of Charismatics
Strong power needs (personalized or socialized)
High self-confidence
Belief in moral righteousness
Castro and Schriesheim’s Behaviors of Outstanding Leaders
1. Articulating an Attractive Ideological Vision.
2. Arousing Follower Motivation.
3. Displaying Passion and Self-Sacrifice.
4. Engaging in Role Modeling.
5. Providing Individualized Support.
6. Showing Personal Confidence and Determination.
7. Exhibiting High Performance Expectations.
8. Displaying Confidence in Followers.
9. Engaging in Personal Image Building.
10. Fostering Acceptance of Group Goals.
11. Communicating Inspirationally.
12. Intellectually Stimulating Followers.
13. Engaging in Innovative Behaviors.
14. Showing Environmental Sensitivity.
15. Engaging in Follower Frame Alignment.
16. Providing Effective External Representation.
Characteristics of a Good Vision Statement
Summarizes desired future conditions
Is designed to provide “passion” and “energy”
Recognizes the shared values of organization members (i.e., beliefs, principles, and values which inspire and comprise an ethical framework for action)
Recognizes the desires of other key organizational stakeholders
Does not exceed the organization’s capabilities
Authentic Leadership Dimensions (From Luthans, Avolio, Gardner, & Walumbwa)
- Self-Awareness (S) – demonstrating an understanding of how one derives and makes meaning of the world and how that meaning-making process impacts the way one views himself or herself over time. It also refers to showing an understanding of one’s strengths and weaknesses and the multifaceted nature of the self, which includes gaining insight into the self through exposure to others, and being cognizant of one’s impact on other people.
- Relational Transparency (R) - presenting one’s authentic self (as opposed to fake or distorted self) to others. Such behavior promotes trust through disclosures that involve openly sharing information and expressions of one’s true thoughts and feelings while trying to minimize displays of inappropriate emotions.
- Balanced Processing (B) - showing that they objectively analyze all relevant data before coming to a decision. Such people also solicit views that challenge their deeply held positions.
- Internalized Moral Perspective (M) - refers to an internalized and integrated form of self-regulation. The sort of self-regulation is guided by internal moral standards and values versus group, organizational, and societal pressures, and it results in expressed decision making and behavior that is consistent with these internalized values.
Narcissistic Leaders
(From Lubit)
Healthy Destructive
- High and realistic self-confidence
- May enjoy power
- Real concern for welfare of others
- Does not exploit others
- Variable attitude toward authority
- Has values and has consistent follow-through
- Product of healthy childhood and upbringing
- Grandiose
- Pursues power at all costs
- Expresses socially appropriate responses when convenient
- Exploits others without remorse
- Submits to authority when necessary
- Lacks values, sees self as exempt from rules and as deserving to be in charge
- Product of traumatic childhood and upbringing
Four Contrasting Ethical Systems
- Rule based ethics – rules of the society determine what is ethical
- Social consensus based ethics – norms and practices accepted by the society determine what actions are ethical
- Ends based ethics – the social acceptability of the goals sought determines what is ethical
- Conscience based ethics – what one’s conscience allows is ethical
Employee Empowerment
- Job Meaningfulness
Doing work that is personally meaningful and important to the individual
- Job Competence
High self-efficacy or confidence in one’s skill and ability to do good work
- Self-Determination
Autonomy, independence and freedom to determine and perform one’s job activities
- Impact
High impact on and control of what happens one’s work unit
Case: Bob Haas at Levi Strauss
Levi Strauss, led by Robert Haas, the founder's great-great-grand-nephew, increased its sales by 31 percent (to more than $3.6 billion) and profits by more than 50 percent in a four year period. These spectacular results came about because Levi Strauss changed the way it did business.
To raise productivity as well as help keep morale high, Levi began a gain-sharing program. At its jeans factory in Blue Ridge, Georgia, employees and plant management set productivity improvement goals and agreed to split the savings with employees. Before the gain-sharing program, this was Levi's second-best plant. Quickly, it became the best. At another one of its jeans plants in El Paso, Texas, employees worked in teams. . Each team of four employees sewed buttons on 4,037 pairs of button-fly jeans a day. According to Peter Thigpen, vice-president of manufacturing, all managers at Levi try to make work for employees more meaningful. Managers are urged to speak openly to employees; reward them for quality work, and give them more power to make decisions in areas that directly affect them. The following “Aspirations Statement” (really a very long vision statement) was developed to reflect what Levi Strauss values:
We all want a company that our people are proud of and committed to, where all employees have an opportunity to contribute, learn, grow, and advance based on merit, not politics or background. We want our people to feel respected, treated fairly, listened to, and involved. Above all, we want satisfaction from accomplishments and friendships, balanced personal and professional lives, and fun in our endeavors.
When we describe the kind of Levi Strauss & Co. we want in the future, what we are talking about is affirming the best of our company's traditions, closing gaps that may exist between principles and practices, and updating some of our values to reflect contemporary circumstances. What type of leadership is necessary to make our aspirations a reality?
Case: Bob Haas at Levi Strauss (continued)
- New Behavior. Leadership that exemplifies directness, openness to influence, commitment to the success of others, willingness to acknowledge our own contributions to problems, personal accountability, teamwork, and trust. Not only must we model these behaviors but we must coach others to adopt them.
- Diversity: Leadership that values a diverse work force (age, sex, ethnic group, etc.) at all levels of the organization, diversity in experience, and diversity in perspectives. We have committed to taking full advantage of the rich backgrounds and abilities. of all our people and to promoting a greater diversity in positions of influence. Differing points of view will be sought; diversity will be valued and honesty rewarded, not suppressed.
- Recognition: Leadership that provides greater recognition--both financial and psychic--for individuals and teams that contribute to our success. Recognition must be given to all who contribute: those who create and innovate and also those who continually support day-to-day business requirements.
- Ethical Management Practices: Leadership that epitomizes. the stated standards of ethical behavior. We must provide clarity about our expectations and must enforce these standards throughout the corporation.
- Communications: Leadership that is clear about company, unit, and individual goals and performance. People must know what is expected of them and receive timely, honest feedback on their performance and career aspirations.
- Empowerment: Leadership that increases the authority and responsibility of those closest to our products and customers. By actively pushing responsibility, trust, and recognition into the organization, we can harness and release the capabilities of all our people.