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© 2006 Prentice Hall Leadership in Organizations1-1

CHAPTER 1Introduction: The Nature of Leadership



© 2006 Prentice Hall Leadership in Organizations 1-2

Defining Leadership

³ There are almost as many definitions of

Leadership as there are persons who

have attempted to define the concept.´

(Stogdill, 1974)




Leadership vs. Management

Leaders and managers are completely

different and mutually exclusive

Managers are concerned with doing things

right (efficiency)

Leaders and concerned with doing theright things (effectiveness)




Leadership Causal Chain




K ey Variables in Leadership Theories

Characteristics of the Leader

Characteristics of the Follower

Characteristics of the Situation




Characteristics of the Leader

Traits (motives, personality, values)

Confidence and optimism

Skills and expertise

Behavior

Integrity and ethics

Influence tactics

Attributions about followers




Characteristics of the Follower Traits (needs, values, self concepts)

Confidence and optimism

Skills and expertise Attributions about the leader

Trust in the leader

Task commitment and effort Satisfaction with job and leader




Characteristics of the Situation

Type of organizational unit

Size of unit Position power and authority of leader

Task structure and complexity

Task interdependence Environmental uncertainty

External dependencies




Causal Relationship Between K ey

Variables




O verview of Major Research Approaches

Trait approach

Behavior approach

Power-influence approach

Situational approach Integrative approach




Level of Conceptualization for Leadership




Learning O bjectives

U nderstand how managerial roles and activities are affected by aspects of the

situation

U nderstand how managers cope with the

demands, constraints, and choices confrontingthem

U nderstand the limitations of descriptive

research on managerial activities

U nderstand how managers can make effective

use of their time




Typical Activity Patterns in

Managerial Work Pace of work is hectic and unrelenting

Content of work is varied and fragmented

Many activities are reactive

Interactions often involve peers and outsiders




Many interactions involve oral communication

Decision processes are disorderly and political

Most planning is informal and adaptive

Typical Activity Patterns inManagerial Work (Cont.)




The Content of Managerial Work

J ob description research Supervising

Planning and organizing

Decision making

Monitoring indicators

Controlling

Representing

Coordinating

Consulting

Administering




Mintzberg¶s Managerial Roles

Interpersonal Roles Leader

Liaison

Figurehead

Information Processing Roles Monitor

Disseminator

Spokesperson

Decision-Making Roles Entrepreneur

Disturbance Handler

Resource Allocator




Managerial Activities




Chapter 3Perspectives onEffective Leadership Behavior




O hio State Leadership Studies

Leadership Behaviors

Consideration ± leader¶s concern for people and interpersonal relationships

Initiating structure ± leader¶s concern for

accomplishing the task




Michigan Leadership Studies

Leadership Behaviors

Task-oriented behaviors

Relations-oriented behaviors

Participative leadership

Peer Leadership




Task-O riented Behaviors

O rganize work activities to improve efficiency

Plan short-term operation

Assign work to groups or individuals

Clarify what results are expected for a task Set specific goals and standards for task

performance




Task-O riented Behaviors

Explain rules, policies, and stand operating

procedures

Direct and coordinate work activities Monitor operations and performance

Resolve immediate problems that would

disrupt the work




Relations-O riented Behaviors

Provide support and encouragement tosomeone with a difficult task

Express confidence that a person or group can

perform a difficult task

Socialize with people to build relationships.

Recognize contributions and accomplishments

Provide coaching and mentoring when

appropriate




Relations-O riented Behaviors

Consult with people on decisions affectingthem

Allow people to determine the best way to do a

task

K eep people informed about actions affecting

them

Help resolve conflicts in a constructive way

U se symbols, ceremonies, rituals, and storiesto build team identity

Recruit competent new members for the team

or organization




Change-O riented Behaviors

Monitor the external environment to detect threats and opportunities

Interpret events to explain the urgent need for change

Study competitors and outsiders to get ideas for

improvements Envision exciting new possibilities for the organization

Encourage people to view problems or opportunities in

a different way

Develop innovative new strategies linked to core




Change-O riented Behaviors

Encourage and facilitate innovation and entrepreneurship in the organization

Encourage and facilitate collective learning in the teamor organization

Experiment with new approaches for achievingobjectives

Make symbolic changes that are consistent with a new vision or strategy

Encourage and facilitate efforts to implement major

change




Specific Task Behaviors

Action Planning1. Identify necessary action steps

2. Identify the optimal sequence of action steps

3. Estimate the time needed to carry out each actionstep

4. Determine starting times and deadlines for eachaction step

5. Estimate the cost of each action step

6. Determine who will be accountable for eachaction step

7. Develop procedures for monitoring progress




Specific Task Behaviors (cont.)Clarifying Roles and O bjectives

Defining J ob Responsibilities Explain the important job responsibilities

Clarify the person¶s scope of authority

Explain how the job relates to the mission of the unit

Explain important policies, rules, and requirements

Assigning Work Clearly explain the assignment

Explain the reasons for an assignment

Clarify priorities and deadlines

Check for comprehension

Setting Performance Goals Set goals for relevant aspects of performance

Set goals that are clear and specific

Set goals that are challenging but realistic

Set a target date for attainment of each goal




Specific Relations BehaviorsGuidelines for Supporting

Identify and measure key performanceindicators

Monitor key process variables as well asoutcomes

Measure progress against plans and budgets Develop independent sources of information

about performance

O bserve operations directly when it is feasible

Ask specific questions about the work

Encourage reporting of problems and mistakes

Conduct periodic progress review meetings




Help the person analyze his or her performance by asking questions or suggesting aspects to examinemore closely

Provide constructive feedback about effective and ineffective behaviors exhibited by the person

Suggest specific things that could help to improve the person¶s performance

Demonstrate a better way to do a complex task or procedure

Express confidence the person can learn a difficult

task or procedure Provide opportunities to practice difficult procedures

before they are used in the work

Help the person learn how to solve a problem rather than just providing the answer

Specific Relations BehaviorsGuidelines for Coaching




Help the person identify relevant strengths and weaknesses

Help the person find ways to acquire

necessary skills and knowledge.

Encourage attendance at relevant training

courses

Provide opportunities to learn from experience

Provide helpful career advice

Promote the person¶s reputation

Serve as a role model (demonstrate

appropriate behavior)

Specific Relations BehaviorsGuidelines for Mentoring




Recognize a variety of contributions and achievements

Actively search for contributions to recognize

Recognize specific contributions and

achievements Recognize improvements in performance

Recognize commendable efforts that failed

Provide recognition that is sincere

Provide recognition that is timely

U se a form of recognition appropriate for the person and situation

Specific Relations BehaviorsGuidelines for Recognizing




Chapter 4Participative Leadership, Delegation,and Empowerment





U nderstand what research methods have beenused to study participative leadership

U nderstand the major findings in research on

consequences of participative leadership

U nderstand the situations in which

participative leadership is most likely to be

effective

U nderstand the major findings in research on





U nderstand procedures for the effective use of consultation

U nderstand the potential benefits and risks of

delegation

U nderstand when and how to use delegation

effectively

U nderstand why follower perceptions of

empowerment are important




Varieties of Participation Autocratic Decision

Consultation

J oint Decision Delegation




Consequences of Participative

Leadership




Consequences of Participative

Leadership

Potential Benefits of Participation Decision quality

Decision acceptance

Satisfaction with the decision process

Development of participant skills

O bjectives of Different Participants




Normative Decision Model Vroom and Yetton Model




Guidelines for Participative

Leadership

Diagnosing Decision Situations Evaluate how important the decision is

Identify people with relevant knowledge or

expertise

Evaluate likely cooperation by participants

Evaluate likely acceptance without participation

Evaluate whether it is feasible to hold a meeting




Guidelines for Participative

Leadership

Encourage Participation Encourage people to express their concerns

Describe a proposal as tentative

Record ideas and suggestions

Look for ways to build on ideas and suggestions

Be tactful in expressing concerns about a

suggestion

Listen to dissenting views without getting

defensive




Guidelines for Empowerment

Clarify objectives and explain how the work supportsthem

Involve people in making decisions that affect them

Delegate responsibility and authority for important

activities Take into account individual differences in motivation

and skills

Provide access to relevant information

Provide resources needed to carry out new




Guidelines for Empowerment

Remove bureaucratic constraints and unnecessary controls

Express confidence and trust in people

Provide coaching and advice when requested

Encourage and support initiative and problem solving Recognize important contributions and achievements

Ensure that rewards are commensurate with new responsibilities

Ensure accountability for the ethical use of power




Chapter 5 Dyadic Role Making, Attributions, and Followership




Chapter 6 Power and Influence





U nderstand how position and personal attributes can be a source of power for leaders.

U nderstand the process by which power is

acquired or lost in organizations

U nderstand the consequences of power for

leadership effectiveness





U nderstand some of the psychological processes that explain how leaders influence

people

U nderstand the different types of influence

tactics used in organizations

U nderstand how proactive tactics are typically

used in influence attempts with subordinates,

peers, or superiors




Conceptions of Power and Influence

Power ± Capacity of one party to influenceanother party

Authority ± The rights, prerogatives,

obligations, and duties associated with

particular positions in an organization or social

system




O utcomes of Influence Attempts

Commitment ± The target person internally agrees with a decision or request and makes a

great effort to carry out the request

Compliance ± The target person is willing to do

what the agent asks but is apathetic rather

than enthusiastic about it and will make only a

minimal effort

Resistance ± The target person is opposed to




Power Types and Sources




Different Types of Power




Power and Influence Behavior




Chapter 7 Managerial Traits and Skills





U nderstand how conceptions about theimportance of traits have changed over the

past 70 years

U nderstand the types of research methods that

have been used to study leadership traits and

skills

U nderstand what traits and skills are most

relevant for effective leadership





U nderstand how the relevance of a trait or skill depends on the situation, type of organization,

and national culture

U nderstand the traits and skills that cause

some people to derail in their managerial

careers

U nderstand the limitations of the trait

approach




Nature of Traits and Skills

Trait ± Variety of individual attributes,including aspects of personality, temperament,

needs, motives and values

Need (motive) ± Desire for particular types of

stimuli or experiences

Values ± Internalized attitudes about what is

right and wrong, ethical and unethical, moral

and immoral




Three-Factor Taxonomy of Skills




CCL Research on Mangers WhoDerail

Advancing Managers versus Managers whowere Dismissed, Transferred, Retired Early, or

Plateaued

Traits, Skills & Competencies of Successful

Managers:

Emotional stability

Lack of defensiveness

Integrity




Managerial Traits Effectiveness




Big Five Personality Traits




Managerial Skills and Effectiveness

Technical Skills ± Include knowledge about methods, processes, and equipment for conducting the specialized activities of themanager¶s organizational unit

Conceptual Skills ± Involve good judgment,foresight, intuition, creativity, and the ability tofind meaning and order in ambiguous,uncertain event

Interpersonal Skills ± Include knowledge about




O ther Relevant Competencies

Emotional Intelligence

Social Intelligence

Systems Thinking

Ability to Learn




Application for Managers

Guidelines for U nderstanding and Improving

Relevant Competencies

Maintain self-awareness

Develop relevant skills

Remember that a strength can become a weakness

Compensate for weaknesses




Chapter 8 Early Contingency Theories of Effective Leadership




Chapter 9Charismatic and Transformational Leadership





U nderstand how the theories of charismatic and transformational leadership differ fromearlier leadership theories

U nderstand similarities and differences among

the major theories of charismatic and transformational leadership

U nderstand why attributions of charisma are jointly determined by the leader, the followers,

and the situation





U nderstand why charismatic leadership canresult in undesirable consequences for

followers and the organization

U nderstand what research methods have been

used to evaluate theories of transformational and charismatic leadership

U nderstand the major findings in empirical

research on the effects of charismatic and




Early Theories

Charisma Max Weber ± Divinely inspired gift

O ccurs during a social crisis

Leader emerges with a radical vision that offers a

solution

Transforming Leadership

Burns¶ book on political leadership

Transforming leadership appeals to the moral

values of followers to raise their consciousness

Attribution Theory of Charismatic




Attribution Theory of Charismatic

Leadership

Leader Traits and Behaviors Advocate a vision highly discrepant from the status

quo

Acts in unconventional ways

Make self-sacrifices

Appear confident about their proposals

Inspire them with emotional appeals

See opportunities that others fail to recognize

Influence Processes Personal identification

Internalization

Facilitating Conditions Follower disenchantment

Crisis situation

Self-Concept Theory of Charismatic




Self Concept Theory of Charismatic

Leadership

Indicators of Charisma Leader Traits and Behaviors

Articulating an appealing vision

U sing strong, expressive forms of communication

when articulating the vision Taking personal risks and making self sacrifices to

attain the vision

Communicating high expectations

Expressing confidence in followers

Self-Concept Theory of Charismatic




Self Concept Theory of Charismatic

Leadership

Influence Processes Personal identification

Social identification

Internalization

Individual self-efficacy and collective efficacy

Facilitating Conditions

Leader¶s vision is congruent with existing follower

values and identities

Consequences of Charismatic Leadership




Consequences of Charismatic LeadershipThe Dark Side of Charisma

Being in awe of the leader reduces good suggestions by followers

Desire for leader acceptance inhibits criticismby followers

Adoration by followers creates delusions of leader infallibility

Excessive confidence and optimism blind theleader to real dangers

Denial of roblems and failures reduces




Transformational Leadership

Leader Behaviors

Transformational Behaviors

Idealized influence

Individualized consideration Inspirational motivation

Intellectual stimulation

Transactional Behaviors

Contingent reward

Active management by exception





Influence Processes

Transactional Leadership

Instrumental compliance

Transformational Leadership Internalization

Personal identification





Facilitating Conditions

Some aspects of transformational leadership are

relevant in most if not all situations

Dynamic, unstable environment that increase the

need for change

Leaders are encouraged to be flexible and

innovative

Follower traits and values




Research Methods for Assessing theTheories

Survey Research

Laboratory Experiments Field Experiments

Descriptive and Comparative Studies

Intensive Case Studies

Transformational vs. Charismatic




Transformational vs. Charismatic

Leadership Differences and Similarities between the Theories

Evaluation of the Theories

Available evidence supports charismatic and transformational

leadership theories

Several of their propositions can be found in earlier theories ±

³ O ld wine in a new bottle´ Conceptual weaknesses

Ambiguous constructs

Insufficient description of explanatory processes

Narrow focus on dyadic processes

O mission of some relevant behaviors Insufficient specification of situational variables

Bias toward heroic conceptions of leadership

O veremphasis on universal leader attributes that are not

relevant for all situations

Consequences of Charismatic Leadership




Consequences of Charismatic LeadershipThe Dark Side of Charisma

Risky, grandiose projects are more likely to fail Taking complete credit for successes alienates

some key followers

Impulsive, nontraditional behavior creates

enemies as well as believers Dependence on the leader inhibits

development of competent successors

Failure to develop successors creates aneventual leadershi crisis




Guidelines for Transformational

Leadership

Articulate a clear and appealing vision

Explain how the vision can be attained

Act confident and optimistic Express confidence in followers

U se dramatic, symbolic actions to emphasize

key values

Lead b exam le




Chapter 10 Leading Change in O rganizations





U nderstand the different reasons for resistingchange

U nderstand the different types of

organizational change

U nderstand the psychological processes

involved in making major changes

U nderstand the different ways that leaders can

influence the culture of an organization





U nderstand the characteristics of an effectivevision

U nderstand how to develop an appealing

vision for the organization

U nderstand the characteristics of a learning

organization

U nderstand how leaders can increase learning

and innovation in organizations




Types of O rganizational Change

Attitude-Centered Change

Role-Centered Change

Changes in Technology

Change in Competitive Strategy

Economic or Human Factor Changes

Generic Change Programs




Influencing O rganizational Change

Nature of O rganizational Change

Primary Ways to Influence Culture

Attention Reactions to crisis

Role Modeling

Allocation of rewards Criteria for selection and

dismissal




Influencing O rganizational Change

Secondary Ways to Influence Culture

Design of systems and procedures

Design of organizational structure

Design of facilities

Stories, legends, and myths

Formal statements




Innovation and O rganizational Learning

Internal Creation of New K nowledge

Internal departments

Pilot testing new ideas External Acquisition of New K nowledge

Best practices

Hiring outsiders

External Consultants




Innovation and O rganizational Learning

K nowledge Diffusion and Application

Information systems

Written or electronic documents Special purpose conferences

Seminars and workshops

Learning O rganizations




Guidelines for Increasing Learning and Innovation

Encourage appreciation for flexibility and

innovation

Encourage and facilitate learning by individuals and teams

Help people improve their mental model

Leverage learning from surprises and failures




Guidelines for Increasing Learning and Innovation

Encourage and facilitate sharing of knowledge

and ideas

Set innovation goals

Reward entrepreneurial behavior




Chapter 11

Leadership in Teams and Decision Groups




Types of Teams

Functional Teams

Cross-Functional Teams

Self-Managed Teams (³Semi-Autonomous

Work Group´)

Virtual Teams




Facilitating Conditions for Self-Managed

Teams

Clearly defined objectives

Complex and meaningful task

Small size and stable membership

Substantial discretion over work processes

Access to relevant information




Facilitating Conditions for Self-Managed

Teams

Appropriate recognition and rewards

Strong support by top management

Competent external leader

Members have strong interpersonal skills




Determinants of Team Performance

Commitment to Shared O bjectives

Member Skills and Role Clarity

Internal O rganization and Coordination

External Coordination

Resources and Political Support

Mutual Trust and Cooperation




Leadership in Different Types of Teams

Cross-Functional Teams




Guidelines for Leading Meetings

Inform people about necessary preparations

for a meeting

Share essential information with groupmembers

Describe the problem without implying the

cause or solution




Guidelines for Leading Meetings

Encourage and facilitate participation

Encourage positive restatement and idea

building U se systematic procedures for solution

evaluation

Encourage members to look for an integrative




Chapter 12

Strategic Leadership by Executives





U nderstand the findings in research about theimportance of strategic leadership

U nderstand the conditions that determine how difficult

it is for a chief executive to make changes in an

organization U nderstand how tenure in office is related to a chief

executive¶s leadership behavior

U nderstand the potential advantages of executive

teams and the conditions that increase their





U nderstand how leaders can influence different performance determinants to improve organizational

effectiveness

U nderstand the leadership challenges posed by trade-

offs, competing demands, and changing situations U nderstand some procedures commonly used to

monitor the environment and formulate a good

competitive strategy




Efficiency and Process Reliability Performance management and goal setting

programs (e.g.,MBO , zero defects)

Process and quality improvement programs

(quality circles,TQM, Six Sigma) Cost reduction programs (downsizing,

outsourcing, just-in-time inventory)

Structural forms (functional specialization,

formalization, standardization)

Appraisal, recognition, and reward systemsfocused on efficiency and process reliability




Human Resources and Relations

Human resource planning (succession planning, assessment centers, recruiting

programs)

Empowerment programs (self-managed teams,

employee ownership, industrial democracy)

Recognition and reward programs focused on

loyalty, service, or skill acquisition




Innovation and Adaptation Competitor and market analysis programs

(market surveys, focus groups, consumer panels, comparative product testing,benchmarking competitor products and processes)

Innovation programs (intrapreneurship, quality circles, innovation goals)

K nowledge acquisition (consultants, joint ventures, import best practices from outside)

O rganizational learning (knowledgemanagement systems, postmortums, joint




Innovation and Adaptation Temporary structural forms for implementing

change (steering committee, task forces)

Growth and diversification programs (mergersand acquisitions, franchises, joint ventures)

Structural forms (research departments, small product divisions, product managerscrossfunctional product development teams,facilities designed to encourage innovation)

Appraisal, recognition, and reward systemsfocused on innovation and customer satisfaction




Questions for External Monitoring What do clients and customers need and want?

What is the reaction of clients and customers to the

organization¶s current products and services?

Who are the primary competitors?

What strategies are they pursuing (e.g., pricing,

advertising and promotions, new products, customer

service, etc.)?

How do competitors¶ products and services compare

to those of the manager¶s organization?

What events affect the acquisition of materials,

energy, information, and other inputs used by the

organization to conduct its operations?




Questions for External Monitoring How will the organization be affected by new

legislation and by government agencies that regulateits activities (e.g., labor laws, environmental regulations, safety standards, tax policies, etc.)?

How will new technologies affect the organization¶s

products, services, and operations? How will the organization be affected by changes in

the economy (employment level, interest rates,growth rates)?

How will the organization be affected by changing

population demographics (e.g., aging, diversity)? How will the organization be affected by international

events (e.g., trade agreements, import restrictions,currency changes, wars and revolutions)?




Guidelines for External Monitoring

Identify relevant information to gather U se multiple sources of relevant information

Learn what clients and customers need and

want

Learn about the products and activities of

competitors

Relate environmental information to strategic

plans




Guidelines for FormulatingStrategy

Determine long-term objectives and priorities

Assess current strengths and weaknesses

Identify core competencies

Evaluate the need for a major change in

strategy

Identify promising strategies

Evaluate the likely outcomes of a strategy

Involve other executives in selectin a strate




Chapter 13

Developing Leadership Skills





U nderstand the importance of leadership training and development in organizations

U nderstand how to use coaching, mentoring, actionlearning, special assignments, simulations, and 360-degree feedback

U nderstand the benefits and limitations of the primary methods for leadership training and development

U nderstand the findings in research conducted toevaluate the methods





U nderstand the organizational conditions that facilitateleadership training and development

U nderstand what leaders can do to encourage and

facilitate the leadership development of their

subordinates U nderstand what leaders can do to develop their own

skills

U nderstand why leader development should be

integrated with human resource management and




Special Techniques for LeadershipTraining

Behavior Role Modeling U ses a combination of demonstrations and role

playing

Based on social learning theory

O ne of the most effective training methods for managers




Learning from Experience

Amount of Challenge

Variety of Tasks or Assignments

Relevant Feedback




Sources of Information for 360-Degree

Feedback




Creating a Learning Climate

Make job assignments that allow people to pursue

their interests and learn new skills

Establish work schedules that allow enough free

time to try new methods

Provide financial support for continuing education

by employees

Arrange special speakers and skills workshops for

employees

Establish a sabbatical program to allow employees

to renew themselves




Creating a Learning Climate

Establish a career counseling program to helpemployees develop self-awareness and find ways

to achieve their full potential

Establish voluntary skill assessment and feedback

programs

Make pay increases partly dependent on skill

development

Provide awards for innovations and improvements

U se symbols and slogans that embody values

Systems Perspective on Leadership




y p p

Development

Relationship Among Approaches

Integrating Developmental Activities




Ethical Leadership Personal Integrity and Ethical Leadership

Dilemmas in Evaluating Ethical Leadership Influencing Expectations

Influencing Values and Beliefs

Multiple Stakeholders




Promoting an Ethical Climate

Set an example of ethical behavior in your ownactions

Facilitate the development and dissemination

of a code of ethical conduct

Initiate discussions with followers or colleagues about ethics and integrity




Promoting an Ethical Climate

Recognize and reward ethical behavior by others

Take personal risks to advocate moral

solutions to problems

Help others find fair and ethical solutions toconflicts

Initiate support services (e.g., ethics hotline,

online advisory group)




Guidelines for Managing Diversity

Set an example in your own behavior of appreciation for diversity

Encourage respect for individual differences

Promote understanding of different values,

beliefs, and traditions Explain the benefits of diversity for the team or

organization

Encourage and support others who promote

tolerance of diversity




Guidelines for Managing Diversity

Discourage use of stereotypes to describe people

Identify biased beliefs and role expectations

for women or minorities

Challenge people who make prejudiced comments

Speak out to protest against unfair treatment

based on prejudice





Summarize major findings about leadership traits,skills, behavior, influence processes, and situational

variables

U nderstand key points of convergence in findings

from these different approaches for studying

leadership

U nderstand what progress has been made in

integrating the findings in different approaches for

studying leadership

U nderstand how biases in the conce tualization of





U nderstand how the methods used for studying leadership affect what is learned

about it

U nderstand the advantages offered by

multimethod research on leadership U nderstand what has been learned about the

essence of effective leadership




Major Findings in LeadershipResearch

The Leadership Situation Leadership Behavior

Power and Influence

Traits and Skills

Toward an Integrating Conceptual Framework




Essence of Effective Leadership

Help interpret the meaning of events Create alignment on objectives and strategies

Build task commitment and optimism

Build mutual trust and cooperation

Strengthen collective identity



Essence of Effective Leadership

O rganize and coordinate activities Encourage and facilitate collective learning

O btain necessary resources and support

Develop and empower people

Promote social justice and morality

leadership in organizations kortversjon

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