ORGB Paper For TUTOR GABRIEL

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Chapter 10: Leadership

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Learning Objectives

Define leadership, power, & influence.

Describe the types of power leaders possess.

Explain how leaders influence others.

Explain how leaders resolve conflicts.

Explain how leaders can make decisions.

Describe the two dimensions that capture most of the day-to-day behaviors of a leader.

Understand how transformational leadership differs from transactional leadership.

Explain how leadership affects job performance and organizational commitment.

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Leadership

“Leadership is the process of influencing others to understand and agree about what needs to be done and how to do it, and the process of facilitating individual and collective efforts to accomplish shared objectives.”

(Yukl, 2010)

Leadership - use of power and influence to direct followers’ activities toward goal achievement.

Power & Influence

Power

Capacity of one party to influence another party.

Influence

Use of behaviors that cause changes in others.

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Types of Power

Organizational (Position) Power

Legitimate power - comes from a position of authority; sometimes referred to as “formal authority.”

Reward power - control over the resources or rewards another person wants.

Coercive power - control over punishments.

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Types of Power

Personal Power

Expert power - comes from expertise, skill, or knowledge.

Referent power - when others have a desire to identify and be associated with a person.

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Contingency Factors that Influence Leaders’ Power

People in organizations have power because others depend on them for information, resources, and cooperation.

Contingency factors

Substitutability - degree to which people have alternatives in accessing resources.

Discretion - degree to which the leader has the right to make decisions.

Centrality - how many people depend on the leader.

Visibility - how aware others are of a leader’s power and position.

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Contingencies of Power

A leader’s ability to influence others increases when:

No one else has access to the resources the leader controls.

The leader has freedom to make decisions.

The leader’s role is important.

Others are aware of the leader and the resources he/she can provide.

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Using Influence

Influence - use of behaviors that cause changes in others.

Can be seen as directional.

Most frequently occurs downward but can also be lateral or upward.

Influence is all relative.

Absolute power of the “influencer” and “influencee” isn’t as important as the disparity between them.

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Three Dimensions of Managerial Power and Influence

Higher Level

Superiors

Subordinates

Peers

and

Outsiders

MANAGER

Upward Influence

(based on personal

power)

Downward Influence

(based on position

and personal power)

Lateral

Influence

(based on

personal power)

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Most Effective Influence Tactics

Rational persuasion - using logical arguments & facts to show the request is worthwhile.

Inspirational appeal - appealing to the target’s values & ideals

Creates an emotional reaction.

Consultation - allowing the target to participate in deciding how to carry out a request.

Collaboration - helping the target complete the request.

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Influence Tactics & Their Effectiveness

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Influence Tactics

Two points about a leader’s use of influence:

Influence tactics are most successful when used in combination.

The influence tactics that tend to be most effective are “softer” in nature (e.g., rational persuasion, consultation, inspirational appeals, collaboration)

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Three Responses to Influence Attempts

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Conflict Resolution

Five styles for handling conflict:

Can be viewed as combinations of two factors:

How assertive the leader is in pursuing his/her own goals

How cooperative the leader is with regard to the concerns of others

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Five Styles of Conflict Resolution

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Styles of Conflict Resolution

Competing - (high A, low C) one party attempts to get his/her goals met without concern for the other party.

Avoiding - (low A, low C) one party wants to remain neutral.

Accommodating - (low A, high C) one party gives into the other.

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Styles of Conflict Resolution

Collaboration - (high A, high C) both parties work together to maximize outcomes.

Most effective

Compromise - (moderate A, moderate C) conflict is resolved through give-and-take concessions.

Most common

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Leader Decision-Making Styles

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Decision-Making Styles

Autocratic style - leader makes decisions without asking for employees’ opinions.

Consultative style - leader presents the problem to employees & asks for their opinions before making the decision.

Facilitative style - leader presents the problem to employees and seeks consensus on a solution.

Delegative style - leader gives employees decision-making responsibilities.

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Time-Driven Model of Leadership

Suggests the focus should shift away from leaders to situations.

Suggests seven factors combine to make some decision-making styles more effective in a given situation.

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Time-Driven Model of Leadership

Decision significance: Is the decision significant to the organization’s success?

Importance of commitment: Is it important that employees “buy in” to the decision?

Leader expertise: Does the leader have expertise regarding the problem?

Likelihood of commitment: How likely is it that employees will commit to the decision?

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Time-Driven Model of Leadership

Shared objectives: Do employees have an agenda of their own?

Employee expertise: Do employees have expertise regarding the problem?

Teamwork skills: Do employees have the ability to work together to solve the problem?

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Day-to-Day Leadership Behaviors

Ohio State Studies

Initiating structure - when the leader defines & structures employees’ roles.

Plays an active role in directing group activities (e.g., planning, scheduling).

Consideration – when the leader creates relationships characterized by mutual trust, respect, & consideration.

Creates good rapport, has strong communication, & exhibits concern for employees.

These were independent concepts.

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Day-to-Day Leadership Behaviors

Michigan Studies

Identified production-centered (or task-oriented) & employee-centered (or relations-oriented) leader behaviors.

Similar to the Ohio State Studies.

Framed their concepts as two ends of a continuum.

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Motivational Leadership Styles

Absence of (Laissez-faire) leadership

Transactional leadership (3 types)

Transformational leadership

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Other Styles of Leadership

Laissez-faire leaders – avoid leadership altogether.

Transactional leaders – reward or punish followers for their performance (“carrot-and-stick”).

Passive management-by-exception - waits for mistakes and errors, then takes corrective action.

Active management-by-exception - monitors mistakes and errors and takes corrective action.

Contingent reward - uses rewards to get follower agreement on what needs to be done.

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Transformational Leadership

Motivate employees to “go above and beyond” and reach their highest potential.

Transform the way followers view their work & themselves.

Inspire followers to commit to a shared vision.

Serve as mentors who help followers develop their own potential.

Encourage followers to view problems from new perspectives.

Set clear goals & have high expectations.

Are models of integrity & fairness.

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Four Dimensions of Transformational Leadership

Idealized influence - earning the admiration and respect of followers, causing followers to want to emulate the leader.

“The leader instills pride in me for being associated with him/her.”

Inspirational motivation - fostering enthusiasm for the future; articulating a vision of the future.

“The leader articulates a compelling vision of the future.”

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Four Dimensions of Transformational Leadership

Intellectual stimulation - challenging followers to be creative.

“The leader gets others to look at problems from many different angles.”

Individualized consideration - helping followers achieve their full potential through coaching and mentoring.

“The leader spends time teaching and coaching.”

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Laissez-Faire, Transactional, & Transformational Leadership

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Effects of Transformational Leadership on Performance & Commitment

Employees with transformational leaders have higher levels of task performance & citizenship behaviors.

Have higher motivation & trust their leaders more.

Employees with transformational leaders tend to be more committed to their organization.

Have higher levels of job satisfaction & optimism.

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Takeaways

Leadership: use of power & influence to direct the activities of followers toward goal achievement.

Power: ability to influence the behavior of others & resist unwanted influence in return.

Five major types of power: Legitimate power, reward power, coercive power, expert power, referent power.

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Takeaways

Influence tactics: rational persuasion, consultation, inspirational appeals, collaboration.

Five conflict resolution styles: avoidance, competing, accommodating, collaborating, compromising.

Decision making styles: autocratic, consultative, facilitative, delegative.

Initiating structure includes: initiation, organization, and production.

Consideration includes: communication, recognition, and representation.

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Takeaways

Transactional leadership: emphasizes “carrot-and-stick” approaches to motivating employees.

Transformational leadership fundamentally changes the way employees view their work (e.g., inspires commitment to a shared vision).

Include the “Four Is”: idealized influence, inspirational motivation, intellectual stimulation, individualized consideration.

Transformational leadership has a positive relationship with job performance and organizational commitment.

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Confirming Pages

INDIVIDUAL OUTCOMES

MECHANISMS INDIVIDUAL

INDIVIDUAL CHARACTERISTICS

GROUP MECHANISMS

ORGANIZATIONAL MECHANISMS

Organizational Culture

Organizational Structure

Teams: Processes &

Communication

Motivation

Teams: Characteristics &

Diversity Learning & Decision Making

Ability

Personality & Cultural Values

Stress

Leadership: Power &

Negotiation

Job Satisfaction

Leadership: Styles & Behaviors

Job Performance

Trust, Justice, & Ethics

Organizational Commitment

chapter Trust, Justice, and Ethics 7

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