1. Prepared by Charlie Cook The University of West Alabama © 2012 South-Western, a part of Cengage Learning All rights reserved. LeadershipLeadership Chapter 12 10 th Edition Managing Organizational Behavior Moorhead & Griffin

2. 12–2 © 2012South-Western, a part of Cengage Learning After studying this chapter you should be able to: Characterize the nature of leadership. Trace the early approaches to leadership. Discuss the emergence of situational theories and models of leadership. Describe the LPC theory of leadership. Discuss the path-goal theory of leadership. Describe Vroom’s decision tree approach to leadership Chapter Learning Objectives

3. 12–3 © 2012South-Western, a part of Cengage Learning The Nature of Leadership Leadership –Is a process which involves the use of noncoercive influence –Is a property—the set of characteristics attributed to someone who is perceived to use influence successfully –Is influence—the ability to affect the perceptions, beliefs, attitudes, motivation, and/or behavior of others

4. 12–4 © 2012South-Western, a part of Cengage Learning 12.1 Distinctions Between Management and Leadership References: Reprinted with the permission of The Free Press, a Division of Simon & Schuster Adult Publishing Group, from A Force for Change: How Leadership Differs from Management, by John P. Kotter, 1990. Copyright © 1990 by John P. Kotter, Inc. All rights reserved. ActivityManagementLeadership CREATING AN AGENDA Planning and budgeting. Establishing detailed steps and timetables for achieving needed results; allocating the resources necessary to make those needed results happen Establishing direction. Developing a vision of the future, often the distant future, and strategies for producing the changes needed to achieve that vision DEVELOPING A HUMAN NETWORK FOR ACHIEVING THE AGENDA Organizing and staffing. Establishing some structure for accomplishing plan requirements, staffing that structure with individuals, delegating responsibility and authority for carrying out the plan, providing policies and procedures to help guide people, and creating methods or systems to monitor implementation Aligning people. Communicating the direction by words and deeds to all those whose cooperation may be needed to influence the creation of teams and coalitions that understand the vision and strategies and accept their validity EXECUTING PLANS Controlling and problem solving. Monitoring results vs. plan in some detail, identifying deviations, and then planning and organizing to solve these problems Motivating and inspiring. Energizing people to overcome major political, bureaucratic, and resource barriers to change by satisfying very basic, but often unfulfilled, human needs OUTCOMESProduces a degree of predictability and order and has the potential to consistently produce major results expected by various stakeholders (e.g., for customers, always being on time; for stockholders, being on budget) Produces change, often to a dramatic degree, and has the potential to produce extremely useful change (e.g., new products that customers want, new approaches to labor relations that help make a firm more competitive)

5. 12–5 © 2012South-Western, a part of Cengage Learning Early Approaches to Leadership Trait Approaches to Leadership –Attempts to identify stable and enduring character traits that differentiate effective leaders from non- leaders focusing on: Identifying leadership traits Developing methods for measuring them Using the methods to select leaders –Current limited set of leadership traits Emotional intelligence, drive, motivation; honesty and integrity, self-confidence, cognitive ability, knowledge of the business, charisma

6. 12–6 © 2012South-Western, a part of Cengage Learning Behavioral Approaches to Leadership Attempts to identify behaviors that differentiate effective leaders from nonleaders The Michigan Studies The Ohio State Studies The Leadership Grid Early Studies in Behavioral Approaches to Leadership

7. 12–7 © 2012South-Western, a part of Cengage Learning 12.1 Early Behavioral Approaches to Leadership

8. 12–8 © 2012South-Western, a part of Cengage Learning Early Behavioral Approaches to Leadership: The Michigan Studies Results indicated two fundamental leader behaviors: –Job-centered behavior Paying close attention to the work of subordinates, explaining work procedures, and demonstrating a strong interest in performance –Employee-centered behavior Attempting to build effective work groups with high performance goals

9. 12–9 © 2012South-Western, a part of Cengage Learning Early Behavioral Approaches to Leadership: The Ohio State Studies Defined two independent dimensions of leadership: –Leader consideration behaviors Showing concern for subordinates’ feelings and respecting subordinates’ ideas –Leader initiating-structure behaviors Clearly defining leader-subordinate roles such that subordinates know what is expected of them

10. 12–10 © 2012South-Western, a part of Cengage Learning Early Behavioral Approaches to Leadership: The Leadership Grid (Formerly the Managerial Grid) Provides a means for evaluating leadership styles and then training managers to move toward an ideal style of behavior

11. 12–11 © 2012South-Western, a part of Cengage Learning 12.2 Source: The Leadership Grid Figure from Leadership Dilemmas—Grid Solutions by Robert R. Blake and Anne Adams McCanse. (Formerly the Managerial Grid by Robert R. Blake and Jane S. Mouton.) Houston: Gulf Publishing Company, p. 29. Copyright 1997 by Grid International, Inc. Reproduced by permission of Grid International, Inc. The Leadership Grid ®

12. 12–12 © 2012South-Western, a part of Cengage Learning The Emergence of Situational Leadership Models Situational Models –Assume that appropriate leader behavior varies from one situation to another situation –Seek to identify how key situational factors interact to determine appropriate leader behavior The Leadership Continuum Model –The model of Robert Tannenbaum and Warren H. Schmidt that underlies research in this field

13. 12–13 © 2012South-Western, a part of Cengage Learning 12.3 Tannenbaum and Schmidt’s Leadership Continuum Source: An exhibit from “How to Choose a Leadership Pattern” by Robert Tannenbaum and Warren Schmidt, Harvard Business Review (May–June 1973). Reprinted by permission of the Harvard Business Review. Copyright by the Harvard Business School Publishing Corporation; all rights reserved.

14. 12–14 © 2012South-Western, a part of Cengage Learning The LPC Theory of Leadership LPC Theory of Leadership (Fiedler) –Contends that a leader’s effectiveness depends on the situation –Assumes a task or relationship focus for leaders High LPC (Least Preferred Coworkers) leaders are more concerned with interpersonal relationships Low LPC leaders are more concerned with task relevant problems –Posits that situational favorableness factors determine proper leadership focus Leader-member relations Task structure Leader position power

15. 12–15 © 2012South-Western, a part of Cengage Learning 12.2 The LPC Theory of Leadership

16. 12–16 © 2012South-Western, a part of Cengage Learning Situational Leadership Models (cont’d) Path-Goal Theory (Evans and House) –Focuses on the situation and leader behaviors in suggesting that leaders can readily adapt to different situations –Assumes that leaders affect subordinates’ performance by clarifying the behaviors (paths) that will lead to desired rewards (goals) –Defines types of leader path-goal behaviors: Directive Supportive Participative Achievement-oriented

17. 12–17 © 2012South-Western, a part of Cengage Learning The Path-Goal Theory… (cont’d) Situational Factors Affecting the Leader Behavior Choice –Personal characteristics of subordinates Locus of control Perceived ability –Characteristics of the environment Task structure The formal authority system The primary work group

18. 12–18 © 2012South-Western, a part of Cengage Learning 12.4 The Path-Goal Theory of Leadership

19. 12–19 © 2012South-Western, a part of Cengage Learning Vroom’s Decision Tree Approach Decision Tree Approach to Leadership (Vroom, Yetton, and Jago) –Attempts to prescribe how much participation subordinates should be allowed in making decisions –Premises: Situational characteristics determine the degree to which subordinates should be encouraged to participate in decision making Managers can choose between two decision trees Managers can adopt the endpoint decision styles

20. 12–20 © 2012South-Western, a part of Cengage Learning Vroom’s Decision Tree Approach (cont’d) Decision Tree Choices: –Time-driven decision must be made on a timely basis –Development-driven decision can be used to improve/develop subordinates’ decision-making skills Endpoint Decision Styles for Managers –Decide –Delegate –Consult individuals –Consult group –Facilitate group

21. 12–21 © 2012South-Western, a part of Cengage Learning 12.5 Reference: Victor H. Vroom’s Time- Driven Model from A Model of Leadership Style, copyright 1998. Vroom’s Time-Driven Decision Tree

22. 12–22 © 2012South-Western, a part of Cengage Learning 12.6 Vroom’s Development-Driven Decision Tree Reference: Victor H. Vroom’s Development-Driven Model from A Model of Leadership Style, copyright 1998.

23. 12–23 © 2012South-Western, a part of Cengage Learning Organizational Behavior in Action After reading the chapter: –Will leadership in organizations will become more important or less important in the future? Why? Why not? –Which situational approach to leadership would be most useful in training and preparing expatriate managers for international assignments? –What cultural issues would impact subordinate participation for managers using Vroom’s decision tree approach?