Chapter 9Fundamentals of Leadership

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Learning Objectives

1) Describe the characteristics and skills related to managerial effectiveness.

2) Compare and contrast Theory X and Theory Y.

3) Distinguish among four styles of leadership behavior.

4) Explain the concept of “self-leaders” and the basic rules of behavior.

5) Describe the two major dimensions of leadership.

6) Distinguish among the contingency leadership approaches.

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Learning Objectives (contd.)

7) Describe several challenges of leaders in the next decade.

8) Identify ways of developing internal leaders and dealing with high-potential employees who have bad work habits.

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The Nature of Leadership

Leadership is the process of influencing people to direct their efforts toward particular goals.

Leadership characteristics are those possessed by effective leaders and include drive, originality, persistence, and tolerance of stress.

Personal characteristics are personal attributes often possessed by effective leaders and include superior mental ability, emotional maturity, and problem-solving skills.

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Figure 9.1 - Skills Needed at DifferentHierarchical Levels

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Table 9.1 - Summary of Leadership Skills

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Theory X and Theory Y

Theory X holds that people are basically lazy.

Theory Y holds that, under the right conditions, people will work.

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Figure 9.2 - Continuum of Leadership Behavior

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Leader-Subordinate Interactions(based on Figure 9.3)

Leader

Subordinate Subordinate Subordinate

Leader

Subordinate Subordinate Subordinate

Authoritarian Leadership Paternalistic Leadership

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Based on Figure 9.3 (Contd)

Leader

Subordinate Subordinate Subordinate

Leader

Subordinate Subordinate Subordinate

Laissez-Faire Leadership

Participative Leadership

Continual flow of info. from leader to subordinate

Continual exch. of info. between leader and subordinate and/or between subordinates themselves

Occasional exch. of info between leader and subordinate

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Figure 9.4 - A Leadership Grid

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Figure 9.5 - Contingency Leadership Styles Applied to a Leadership Grid

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Fiedler’s Contingency Model

… holds that leader effectiveness is determined by leadership style and situational variables.

The least preferred coworker scale describes the individual with whom the respondent can work least well.

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Situational Variables in Fiedler’s Model

Leader-member relations Task structure Leader position power

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The Managerial Grid(based on Figure 9.7)

1, 9Country Club Manager

9,9Team Builder

5,5Organization Man

1,1Do-Nothing Manager

9,1Production Pusher

1Low Concern for Production

9High

High9

1Low

Co

nc e

rn fo

r P

eop

le

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Table 9.2 - Transformational and Transactional Leaders: A Comparison

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Figure 9.9 - An Optimal Profile of Universal Leadership Behaviors

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Key Terms in the Chapter

• Leadership• Leadership characteristics• Personal characteristics• Trait theory• Technical skills• Human skills• Conceptual skills

• Theory X• Theory Y• Authoritarian leadership• Paternalistic leadership• Participative leadership• Laissez-faire leadership• Leadership dimensions• Fiedler’s contingency model

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Key Terms in the Chapter (contd.)

• Least preferred coworker scale

• Leader-member relations• Task structure• Leader position power• Managerial grid• 1,1 Managerial style• 9,1 Managerial style

• 1,9 Managerial style • 5,5 Managerial style• 9,9 Managerial style• Charismatic leader• Transformational leader• Transactional leader