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PowerPoint slides by

Susan A. Peterson, Scottsdale Community College

PowerPoint slides by

Susan A. Peterson, Scottsdale Community College

Chapter 9:

Leadership

Chapter 9:

Leadership

m a n a g e m e n t 2eH i t t / B l a c k / P o r t e r

m a n a g e m e n t 2eH i t t / B l a c k / P o r t e r

© 2008 Prentice-Hall Business Publishing 2

Learning ObjectivesLearning Objectives

After studying this chapter, you should be able to:

Define leadership and be able to discuss its significance in organizations

Compare managing and leading and differentiate between them

Analyze a leader’s sources of power and issues in using power effectively

Describe and contrast the roles of the leader, followers, and the situation in the overall leadership process

After studying this chapter, you should be able to:

Define leadership and be able to discuss its significance in organizations

Compare managing and leading and differentiate between them

Analyze a leader’s sources of power and issues in using power effectively

Describe and contrast the roles of the leader, followers, and the situation in the overall leadership process


Learning ObjectivesLearning Objectives

Discuss the extent to which national cultures create differences in effective leadership behaviors from one country to another

Explain the conditions that can substitute for, or neutralize, effective leadership

Plan how to improve your own leadership capabilities

Discuss the extent to which national cultures create differences in effective leadership behaviors from one country to another

Explain the conditions that can substitute for, or neutralize, effective leadership

Plan how to improve your own leadership capabilities


What is Leadership?What is Leadership?

Organizational leadership

Social influence process

Attempts to influence other people in attaining some goal

Leadership behavior:

Can be shown by anyone

Is expected of most managers

Could be demonstrated more

Organizational leadership

Social influence process

Attempts to influence other people in attaining some goal

Leadership behavior:

Can be shown by anyone

Is expected of most managers

Could be demonstrated more


What is Leadership?What is Leadership?

Effective leadership

Influence that assists an organization to meet its goals and perform successfully

Effective leaders:

Enable people to accomplish more than if there had been no such leadership

Unlock other people’s potential

Effective leadership

Influence that assists an organization to meet its goals and perform successfully

Effective leaders:

Enable people to accomplish more than if there had been no such leadership

Unlock other people’s potential


Leading and Managing: The Same or Different?Leading and Managing: The Same or Different?

Leaders

Create vision for organizations and units

Promote major changes in goals and procedures

Set and communicate new directions

Inspire subordinates

Leaders

Create vision for organizations and units

Promote major changes in goals and procedures

Set and communicate new directions

Inspire subordinates

Managers

Deal with interpersonal conflict

Plan

Organize

Implement goals set by others (the leaders)

Managers

Deal with interpersonal conflict

Plan

Organize

Implement goals set by others (the leaders)


Leading and Managing: The Same or Different?Leading and Managing: The Same or Different?

Managing ought to involve most of the activities thought of as leading

Organizations need their managers to incorporate leadership roles into their behavior

Managing ought to involve most of the activities thought of as leading

Organizations need their managers to incorporate leadership roles into their behavior

Managers

Adapted from Exhibit 9.1

LeadersLeaders

and Managers


Leadership Across Different National CulturesLeadership Across Different National Cultures

Examples of leader attributes universally viewed as positive

Examples of leader attributes universally viewed as positive

++ Trustworthy+ Encouraging+ Honest+ Decisive+ Communicative+ Dependable

++ Trustworthy+ Encouraging+ Honest+ Decisive+ Communicative+ Dependable


Examples of leader attributes universally viewed as negative

Examples of leader attributes universally viewed as negative

-- Noncooperative- Irritable- Dictatorial- Ruthless- Egocentric- Asocial

-- Noncooperative- Irritable- Dictatorial- Ruthless- Egocentric- Asocial

Examples of leader attributes viewed as positive or negative depending on the culture

Examples of leader attributes viewed as positive or negative depending on the culture

+/-+/- Ambitious+/- Individualistic+/- Cunning+/- Cautious+/- Class Conscious+/- Evasive

+/-+/- Ambitious+/- Individualistic+/- Cunning+/- Cautious+/- Class Conscious+/- Evasive


Leadership and PowerLeadership and Power

Power

The capacity or ability to influence

Power can:

Lead to greater capacity to influence

Be used to overcome resistance

Be abused and lead to undesirable consequences

Produce positive outcomes if used skillfully

Power

The capacity or ability to influence

Power can:

Lead to greater capacity to influence

Be used to overcome resistance

Be abused and lead to undesirable consequences

Produce positive outcomes if used skillfully


Types of PowerTypes of Power

Based on a manager's rank in an organizational structure and given to the manager by superiors

Based on a manager's rank in an organizational structure and given to the manager by superiors

Based on a person's individual characteristics; stay with the individual regardless of his or her position in the organizational structure

Based on a person's individual characteristics; stay with the individual regardless of his or her position in the organizational structure

PositionPower

PositionPower

PersonalPower

PersonalPower


Types of PowerTypes of Power

Legitimate—How much authority does the organization give to your position?Legitimate—How much authority does the organization give to your position?

Reward—Are you able to give others the rewards they want?Reward—Are you able to give others the rewards they want?

Coercive—Are you able to punish others or withhold rewards?Coercive—Are you able to punish others or withhold rewards?

Expert—Do you have knowledge that others need?Expert—Do you have knowledge that others need?

Referent—Do others respect you and want to be like you?Referent—Do others respect you and want to be like you?

PositionPower

PositionPower

PersonalPower

PersonalPower



Four Key Issues in Using PowerFour Key Issues in Using Power

How much power should be used?

How can powerbe put to use?

Which types of power should be used?

Should powerbe shared?

Adapted from Exhibit 10.2: Four Key Issues in Using PowerAdapted from Exhibit 9.4


Types of Influence TacticsTypes of Influence Tactics

RationalPersuasionRationalPersuasion

Uses logical arguments and factual evidence to show a

proposal or request is feasible and relevant for attaining

important task objectives

Uses logical arguments and factual evidence to show a

proposal or request is feasible and relevant for attaining

important task objectives

ApprisingApprisingExplains how carrying out a request or supporting a

proposal will benefit the target personally or help

advance the target person’s career

Explains how carrying out a request or supporting a

proposal will benefit the target personally or help

advance the target person’s career

InspirationalAppealsInspirationalAppeals

Makes an appeal to values and ideals or seeks to

arouse the target person’s emotions to gain

commitment for a request or proposal

Makes an appeal to values and ideals or seeks to

arouse the target person’s emotions to gain

commitment for a request or proposal

ConsultationConsultationEncourages the target to suggest improvements in a

proposal or to help plan an activity or change for which

the target person’s support and assistance are desired

Encourages the target to suggest improvements in a

proposal or to help plan an activity or change for which

the target person’s support and assistance are desired



Types of Influence Tactics (cont.)Types of Influence Tactics (cont.)

ExchangeExchangeOffers an incentive, suggests an exchange of favors, or

indicates willingness to reciprocate at a later time if the

target will do what the agent requests

Offers an incentive, suggests an exchange of favors, or

indicates willingness to reciprocate at a later time if the

target will do what the agent requests

CollaborationCollaborationOffers to provide relevant resources and assistance if

the target will carry out a request or approve a proposed

change

Offers to provide relevant resources and assistance if

the target will carry out a request or approve a proposed

change

PersonalAppealsPersonalAppeals

Asks the target to carry out a request or support a

proposal out of friendship, or asks for a personal favor

before saying what it is

Asks the target to carry out a request or support a

proposal out of friendship, or asks for a personal favor

before saying what it is

IngratiationIngratiationUses praise and flattery before or during an influence

attempt or expresses confidence in the target’s ability

to carry out a difficult request

Uses praise and flattery before or during an influence

attempt or expresses confidence in the target’s ability

to carry out a difficult request



Types of Influence Tactics (cont.)Types of Influence Tactics (cont.)

LegitimatingTacticsLegitimatingTactics

Seeks to establish the legitimacy of a request or to

verify authority to make it by referring to rules, formal

policies, or official documents

Seeks to establish the legitimacy of a request or to

verify authority to make it by referring to rules, formal

policies, or official documents

PressurePressure Uses demands, threats, frequent checking, or persistent reminders to influence the target personUses demands, threats, frequent checking, or persistent reminders to influence the target person

CoalitionTacticsCoalitionTactics

Seeks the aid of others to persuade the target to do something or uses the support of others as a reason for the target to agree

Seeks the aid of others to persuade the target to do something or uses the support of others as a reason for the target to agree



Locus of LeadershipLocus of Leadership

Three leadership variables:

The leader

The situation

The followers

Locus of leadership:

Where the three variables intersect

Three leadership variables:

The leader

The situation

The followers

Locus of leadership:

Where the three variables intersect

LeaderLeader

SituationSituationFollowersFollowers

Locus ofLeadership



Leaders’ TraitsLeaders’ Traits

DriveAchievement, ambition,

energy, tenacity, initiative

DriveAchievement, ambition,

energy, tenacity, initiative

Emotional maturityEven tempered, calm under

stress, unself-centered, nondefensive

Emotional maturityEven tempered, calm under

stress, unself-centered, nondefensive

Self-confidenceSet high goals for self and others, optimistic about overcoming obstacles

(if taken to extreme, can lead to arrogance and sense of infallibility)

Self-confidenceSet high goals for self and others, optimistic about overcoming obstacles

(if taken to extreme, can lead to arrogance and sense of infallibility)

Motivation to LeadDesire to influence others, comfortable

using power

Motivation to LeadDesire to influence others, comfortable

using power

Honesty and IntegrityTrustworthy, open,

forthright

Honesty and IntegrityTrustworthy, open,

forthrightLeaderLeader



Charismatic LeadershipCharismatic Leadership

Charismatic leadership

Is a strong form of referent power

Is based on individual inspirational qualities rather than formal power

Generates followers who identify with charismatic leaders because of these exceptional qualities

Is rare; very few people are considered truly “charismatic”

Charismatic leadership

Is a strong form of referent power

Is based on individual inspirational qualities rather than formal power

Generates followers who identify with charismatic leaders because of these exceptional qualities

Is rare; very few people are considered truly “charismatic”


Attributes of Charismatic LeadersAttributes of Charismatic Leaders

Adapted from Exhibit 11.10: Attributes of the Charismatic LeaderAdapted from Exhibit 9.8


Leaders’ SkillsLeaders’ Skills

TECHNICAL SKILLSSpecialized knowledgeTECHNICAL SKILLSSpecialized knowledge

INTERPERSONAL SKILLSSensitivity, persuasiveness, empathyINTERPERSONAL SKILLSSensitivity, persuasiveness, empathy

CONCEPTUAL SKILLSLogical reasoning, judgment, analytical abilities



Leaders’ SkillsLeaders’ Skills

TECHNICAL SKILLSSpecialized knowledgeTECHNICAL SKILLSSpecialized knowledge

INTERPERSONAL SKILLSSensitivity, persuasiveness, empathyINTERPERSONAL SKILLSSensitivity, persuasiveness, empathy



EMOTIONAL INTELLIGENCESelf-awareness, self-regulation, motivation, empathy and social skill

EMOTIONAL INTELLIGENCESelf-awareness, self-regulation, motivation, empathy and social skill

SOCIAL INTELLIGENCEAbility to “read” other peopleSOCIAL INTELLIGENCEAbility to “read” other people



Leaders’ BehaviorsLeaders’ Behaviors

Task Behaviors

Specifies roles and tasks

Schedules work

Sets performance standards

Develops procedures

Task Behaviors

Specifies roles and tasks

Schedules work

Sets performance standards

Develops procedures

People Behaviors

Is friendly

Is supportive

Shows trust and confidence in subordinates

Shows concern for subordinates’ welfare

Gives recognition to subordinates for accomplishments

People Behaviors

Is friendly

Is supportive

Shows trust and confidence in subordinates

Shows concern for subordinates’ welfare

Gives recognition to subordinates for accomplishments



Approaches Based on Leaders’ BehaviorApproaches Based on Leaders’ Behavior

BLAKE & MOUTON: MANAGERIAL GRID

Best managers are bothtask- and people-oriented

BLAKE & MOUTON: MANAGERIAL GRID

Best managers are bothtask- and people-oriented

TRANSFORMATIONAL LEADERSHIP

Leaders who inspire followers to make major changes or to achieve

at very high levels

TRANSFORMATIONAL LEADERSHIP

Leaders who inspire followers to make major changes or to achieve

at very high levels

TRANSACTIONAL LEADERSHIP

Emphasizes the exchange of rewards for followers’ compliance

TRANSACTIONAL LEADERSHIP

Emphasizes the exchange of rewards for followers’ compliance

AUTHENTIC LEADERSHIP

Model self-awareness and regulation and motivate followers to act

more authentically too

AUTHENTIC LEADERSHIP

Model self-awareness and regulation and motivate followers to act

more authentically too

Leadership ApproachesLeadership Approaches


Managerial GridManagerial Grid

Focuses on two leadership behaviors: concern for people and concern for results

Leaders can be

- High in both

- Low in both

- In the middle on both

- High in one, low in the other

Focuses on two leadership behaviors: concern for people and concern for results

Leaders can be

- High in both

- Low in both

- In the middle on both

- High in one, low in the other Low High

Low

High

Concern for Results

Co

nce

rn f

or

Peo

ple

9

8

7

6

5

4

3

2

1

1 2 3 4 5 6 7 8 9

GoodLeaders

PoorLeaders

MediocreLeaders


Transformational LeadershipTransformational Leadership

Transformational leaders

Empower and coach followers

Motivate followers to:

- Ignore self-interest

- Work for the larger good of the organization

- Achieve significant accomplishments

- Make major changes

Transformational leaders

Empower and coach followers

Motivate followers to:

- Ignore self-interest

- Work for the larger good of the organization

- Achieve significant accomplishments

- Make major changes


Transactional LeadershipTransactional Leadership

Transactional leadership

Is more passive

Emphasizes exchange or rewards or benefits for compliance with leader’s requests

Appeals to followers’ self-interests to motivate their performance

Transactional leadership

Is more passive

Emphasizes exchange or rewards or benefits for compliance with leader’s requests

Appeals to followers’ self-interests to motivate their performance

© 2008 Prentice-Hall Business Publishing 27Adapted from Exhibit 11.11: Transformation versus Transactional Leadership

Transformational Leadership

Transformational Leadership

Transactional Leadership

Transactional Leadership

Leader gains subordinates’ compliance by:

Leader gains subordinates’ compliance by:

Appeals focus on:Appeals focus on:

Type of planned change:Type of planned change:

Transformational Versus Transactional LeadershipTransformational Versus Transactional Leadership

Inspiring, empowering, and

coaching followers

Inspiring, empowering, and

coaching followers

Exchange of rewards and

benefits

Exchange of rewards and

benefits

Organizational and “common good”

interests

Organizational and “common good”

interestsSelf-interestSelf-interest

Major organizational

change

Major organizational

changeRoutine changesRoutine changes



Guidelines for Transformational LeadershipGuidelines for Transformational Leadership

Develop a clear and appealing vision

Develop a strategy for attaining the vision

Articulate and promote the vision

Act confident and optimistic

Express confidence in followers

Use early success in small steps to build confidence

Celebrate successes

Use dramatic, symbolic actions to emphasize key values

Lead by example

Develop a clear and appealing vision

Develop a strategy for attaining the vision

Articulate and promote the vision

Act confident and optimistic

Express confidence in followers

Use early success in small steps to build confidence

Celebrate successes

Use dramatic, symbolic actions to emphasize key values

Lead by example



Followers’ BehaviorsFollowers’ Behaviors

Important points about followers:

They may be as informed as leaders

They may share power with leaders

Usually have lower formal authority, though power differences have decreased

They affect the leader’s style and success

Important points about followers:

They may be as informed as leaders

They may share power with leaders

Usually have lower formal authority, though power differences have decreased

They affect the leader’s style and success


Approaches Based on Followers’ BehaviorApproaches Based on Followers’ Behavior

HERSEY AND BLANCHARD: SITUATIONAL LEADERSHIP MODEL

Focuses followers’ “readiness” to engage in learning new tasks

HERSEY AND BLANCHARD: SITUATIONAL LEADERSHIP MODEL

Focuses followers’ “readiness” to engage in learning new tasks

LEADER-MEMBER EXCHANGE THEORY

Focuses on types of relationships between a leader and a follower

LEADER-MEMBER EXCHANGE THEORY

Focuses on types of relationships between a leader and a follower



Situational Leadership ModelSituational Leadership Model

Leadership behaviors depend on “readiness” of followers

- Ability in a specific task

- Motivation to undertake the new task

Leadership behaviors

- Supportiveness (people orientation)

- Directiveness (task orientation)

Leadership behaviors depend on “readiness” of followers

- Ability in a specific task

- Motivation to undertake the new task

Leadership behaviors

- Supportiveness (people orientation)

- Directiveness (task orientation)


Leader-Member Exchange TheoryLeader-Member Exchange Theory

Quality of the leader-member relationship can influence behavior of subordinates

Leader should build strong, mutually beneficial relationship

Relationship goes through stages:- Stranger- Acquaintance- Maturity

Quality of the leader-member relationship can influence behavior of subordinates

Leader should build strong, mutually beneficial relationship

Relationship goes through stages:- Stranger- Acquaintance- Maturity


Role-Implementation

High

AlmostUnlimited

Team

Leader-Member RelationshipsLeader-Member Relationships

Role-Making

Medium

Limited

Role-Finding

Low

None

Self

Relationship-building phase

Quality of leader-member exchange

Amounts ofreciprocal Influence

Focus of interest

Stranger

Relationship characteristicsRelationship

characteristicsRelationship

stageRelationship

stage

Maturity

Time

Acquaintance



The SituationThe Situation

Situational variables affecting leadership are:

Tasks to be performed- If task changes, leadership style changes- Unstructured task done by experts supportive

leadership- Structured task done by inexperienced people

directive leadership

Organizational context- Immediate work group + larger organization- Organizational culture dictates leadership style

Situational variables affecting leadership are:

Tasks to be performed- If task changes, leadership style changes- Unstructured task done by experts supportive

leadership- Structured task done by inexperienced people

directive leadership

Organizational context- Immediate work group + larger organization- Organizational culture dictates leadership style


Approaches Based on SituationApproaches Based on Situation

FIEDLER: CONTINTENCYLEADERSHIP MODEL

Focuses on type of leader and the degree of favorability of the situation

FIEDLER: CONTINTENCYLEADERSHIP MODEL

Focuses on type of leader and the degree of favorability of the situation

HOUSE: PATH-GOAL THEORY

Use leadership approach based onboth subordinate skills and situation

HOUSE: PATH-GOAL THEORY

Use leadership approach based onboth subordinate skills and situation



Leadership Contingency TheoryLeadership Contingency Theory

Premise: Leadership effectiveness depends on 1) favorability of situation and 2) type of leaderPremise: Leadership effectiveness depends on 1) favorability of situation and 2) type of leader

FAVORABLE SITUATION

• Good subordinate relationships• Highly structured task• High amount of position power

UNFAVORABLE SITUATION

• Poor subordinate relationships• Unstructured task• Leader lacks position power

TASK-ORIENTED LEADERS

Do best when the situation is either:• Highly favorable, or• Highly unfavorable

PEOPLE-ORIENTED LEADERS

Do best when the situation is either:• Moderately favorable, or• Moderately unfavorable


Leader’s job is to increase subordinate satisfaction and effort

Assumes that:

- One leadership approach will work better in some task situations than others

- Leaders can modify their styles to suit the situation

Two basic leadership behaviors:

- Supportive

- Directive

Leader’s job is to increase subordinate satisfaction and effort

Assumes that:

- One leadership approach will work better in some task situations than others

- Leaders can modify their styles to suit the situation

Two basic leadership behaviors:

- Supportive

- Directive

Path-Goal TheoryPath-Goal Theory


The task is:Frustrating, boring, stressful,

structured, and routine

Subordinates are:Highly experienced and

competent

The task is:Interesting but ambiguous, nonstressful, unstructured,

varied

Subordinates are:inexperienced

Directive Leadership Style(Task oriented)

Supportive Leadership Style(Person oriented)

Goal(i.e., increased performance)

IF

AND

IF

AND

Path-Goal TheoryPath-Goal Theory



Substitutes for LeadershipSubstitutes for Leadership

Adapted from Exhibit 5.2: Factors of Moral Intensity

Direct Feedbackfrom Task

Direct Feedbackfrom Task

Cohesive workgroup

Cohesive workgroup

Advisory orStaff SupportAdvisory or

Staff Support

IntrinsicallySatisfying Task

IntrinsicallySatisfying Task

Ability,Experience,

Training

Ability,Experience,

Training

ProfessionalOrientation

ProfessionalOrientation

Substitutesfor Leadership

Substitutesfor Leadership


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