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Leadership

Chapter 8

1 Chapter 8

“The manager accepts the status quo; the leader challenges it.”

Warren Bennis

“Effective leadership is putting first things first. Effective management is discipline, carrying it out.” Stephen Covey

Learning Objectives 1. How do leaders and managers differ? 2. What do trait and behavioural theories tell us about

leadership? 3. How do contingency theories of leadership improve

our understanding of leadership? 4. What do charismatic and transformational leaders

do? 5. What are some current issues in leadership?

Why leadership is important � Leadership and organizational performance are

closely linked

� Good leadership contributes to good organizational performance

� Leaders are the ones who make things happen � How leaders make things happen is the subject of

considerable study

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How do leaders and managers differ?

Leadership therefore is…..

the process of influencing a group (in an organization) toward the achievement of goals

What do trait theories tell us about leadership?

� Trait theories � The focus of early leadership research to find a

common set of traits to differentiate leaders from non-leaders

� 8 traits are associated with effective leadership

� Drive � Desire to lead � Honesty & Integrity � Self-confidence

� Cognitive intelligence � Emotional intelligence � Job-relevant knowledge � Extroversion

What do behavioural theories tell us about leadership?

� Theories of leadership that identify behaviours that differentiate effective leaders from ineffective leaders

� Behavioural theories can be distilled down to two main aspects: 1. People oriented behaviours 2. Task oriented behaviours

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University of Iowa Studies � Kurt Lewin & associates studied 3 leadership

styles that focused on leadership behaviour 1. Autocratic style – where the leader tends to:

� Centralize authority, dictate work methods, make unilateral decisions and limit employee participation

2. Democratic style – where the leader tends to: � Involve employees in decision-making, delegate authority, encourage

participation in deciding work methods and goals and uses feedback to coach employees

3. Laissez-faire style – where the leader tends to: � Give the group complete freedom to make decisions

Behavioural Study Observations � People oriented behaviours are related to:

� Follower satisfaction � Motivation � Leader effectiveness

� Task or production oriented behaviours are related to: � Performance by the leader, the group and the

organization � Getting the tasks done

Contingency Theories of Leadership

� Traits and the behaviours of leaders were found to not be enough to predict leadership success

� The “situational” influences were considered to be additionally important

� Lead to two key contingency theories: 1. Hersey and Blanchard Situational Leadership 2. Path Goal Theory

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Hersey and Blanchard’s Situational Leadership

� These authors argued successful leadership is achieved by ... � Selecting the right leadership style to match the level

of follower “readiness”

� Readiness � Do followers have the ability and willingness to

accomplish a specific task? � “Acceptance” is important as well: do followers

accept or reject a leader?

Situational Leadership (SL)

11 Chapter 8

Path Goal Theory � A contingency model that suggests it is the

leader’s job to: � Assist followers to attain their goals � Provide the direction or support to ensure

follower goals are compatible with those of the organization

� Based on the belief that effective leaders: � Clarify the path to goal achievement by followers � Make the path easier by reducing roadblocks

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Effective Path Goal Behaviours 1. Directive

� Lets subordinates know what is expected � Schedules work � Gives specific guidance on how to accomplish tasks

2. Supportive � Friendly and shows concern for subordinates needs

3. Participative � Consults with and uses subordinates suggestions in decision-

making

4. Achievement-oriented � Sets challenging goals with an expectation of achievement

Leading Change

� Two types of leadership that inspire change in organizations: 1. Charismatic-Visionary Leaders

2. Transformational Leaders

Charismatic-Visionary Leaders Exhibit the following behaviours: • Enthusiastic and self-confident • Personality and actions influence follower

behaviour • Have a vision that they can articulate • Willing to take risks to achieve the vision • Sensitive to environmental constraints • Sensitive to follower’s needs • “Out of the ordinary”

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Transformational Leaders

� Inspire followers beyond their own self- interest

� Help others focus on what is good of the organization

� Turn followers into “believers on a mission” � Provides followers with a cause around which

they can rally

Current Issues in Leadership � Managing Power

� Power is the leadership capacity to influence work actions or decisions

� Since power is based upon influence how leaders acquire power becomes important

� Bases of Power � Legitimate � Coercive � Reward � Expert � Referent

Current Issues in Leadership � Developing trust

� Credibility as a component of trust is the degree to which followers perceive a leader as honest, competent and able to inspire

� Trust has five dimensions 1. Integrity 2. Competence 3. Consistency 4. Loyalty 5. Openness

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Current Issues in Leadership � Ethical Leadership

� Moral leadership in the means used to achieve goals � Goals must be morally based and sound as well

� On-line Leadership (requires special skills in the “virtual” world) � Excellent structure, tone and style in use of on-line

communication � Ability to clarify expectations despite lack of face-to-

face interaction � Ability to create a culture of trust in the absence of

Current Issues in Leadership � Team Leadership

� Effective team leaders balance delegation of tasks to the team with intervention in team work

� Team leaders key priorities are: � Managing the team’s external boundaries � Facilitating the team process

� Priorities require four specific leadership roles: 1. Liaison with external constituencies 2. Trouble shooting 3. Conflict management 4. Coaching

Current Issues in Leadership � Understanding gender differences in leadership

� Are there differences between male and female leaders? � If so, what are the differences?

� Evidence suggests different genders use different leadership styles � Women tend to adopt a more democratic and

participative style � Men tend to be more transactional, autocratic or

directive approach