© 2013 Cengage Learning The Psychology of People, Work, and Organizations Psychology 2060 Leadership Chapter Twelve Psych 2060, W13, Irwin1

© 2013 Cengage Learning What is the nature of leadership?  Leadership. –The process of inspiring others to work hard to accomplish important tasks.  Contemporary leadership challenges: –Shorter time frames for accomplishing things. –Expectations for success on the first attempt. –Complex, ambiguous, and multidimensional problems. –Taking a long-term view while meeting short-term demands. 2Psych 2060, W13, Irwin

© 2013 Cengage Learning Leading viewed in relationship to the other management functions. 3Psych 2060, W13, Irwin

© 2013 Cengage Learning 4 Leadership Characteristics Leader Emergence Traits –Intelligence –Openness to experience –Extraversion –Conscientiousness –Emotional stability –High self-monitoring Leadership emergence seems to be stable across the life-span Psych 2060, W13, Irwin

© 2013 Cengage Learning 5 Leadership Characteristics Leader Emergence Motivation to Lead –Affective identity motivation –Noncalculative motivation –Social normative motivation Psych 2060, W13, Irwin

© 2013 Cengage Learning 6 Leadership Characteristics Leader Performance Traits Needs Task- versus person- orientation Unsuccessful leaders Psych 2060, W13, Irwin

© 2013 Cengage Learning 7 Traits Intelligence Charisma Dominance Energy Extraversion Openness to experience Agreeableness Emotional stability Self-monitoring Psych 2060, W13, Irwin

© 2013 Cengage Learning 8 Individual Differences and Leader Emergence and Performance Trait Corrected Correlations Meta-analysis EmergencePerformance Personality Neuroticism Judge et al. (2002) Extraversion.33.24Judge et al. (2002) Openness.24 Judge et al. (2002) Agreeableness.05.21Judge et al. (2002) Conscientiousness.33.16Judge et al. (2002) Self-monitoring.21Day et al. (2002) Intelligence.25.27Judge et al. (2004) Need for Ach.23Argus & Zajack (2008) Psych 2060, W13, Irwin

© 2013 Cengage Learning 9 Needs Types of Needs –Power –Achievement –Affiliation Leadership Motive Pattern –High need for power –Low need for affiliation Psych 2060, W13, Irwin

© 2013 Cengage Learning 10 Task Versus Person Orientation Person-Oriented Leaders –act in a warm, supportive manner and show concern for the employees –believe employees are intrinsically motivated Task-Oriented Leaders –set goals and give orders –believe employees are lazy and extrinsically motivated Psych 2060, W13, Irwin

© 2013 Cengage Learning What are the important leadership traits and behaviors?  Blake and Mouton Leadership Grid  –Team management. High task concern; high people concern. –Authority-obedience management. High task concern; low people concern. –Country club management. High people concern; low task concern. –Impoverished management. Low task concern; low people concern. –Middle of the road management. Non-committal for both task concern and people concern. 11Psych 2060, W13, Irwin

© 2013 Cengage Learning Managerial styles in Blake and Mouton’s Leadership Grid. 12Psych 2060, W13, Irwin

© 2013 Cengage Learning What are the contingency theories of leadership?  Hersey-Blanchard situational leadership model. –Leaders adjust their styles depending on the readiness of their followers to perform in a given situation. Readiness — how able, willing and confident followers are in performing tasks. 13Psych 2060, W13, Irwin

© 2013 Cengage Learning Leadership implications of the Hersey- Blanchard situational leadership model. 14Psych 2060, W13, Irwin

© 2013 Cengage Learning What are the contingency theories of leadership?  Hersey-Blanchard leadership styles: –Delegating. Low-task, low-relationship style. Works best in high readiness-situations –Participating. Low-task, high-relationship style. Works best in low- to moderate-readiness situations. 15Psych 2060, W13, Irwin

© 2013 Cengage Learning What are the contingency theories of leadership?  Hersey-Blanchard leadership styles: – Selling. High-task, high-relationship style. Work best in moderate- to high-readiness situations. –Telling. High-task, low-relationship style. Work best in low-readiness situations. 16Psych 2060, W13, Irwin

© 2013 Cengage Learning 17 Unsuccessful Leaders (Hogan, 1989) Lack of training Cognitive deficiencies Personality problems –paranoid/passive-aggressive –high likeability floater –narcissist Psych 2060, W13, Irwin

© 2013 Cengage Learning 18 Unsuccessful Leader Behavior Rasch et al. (2008) Engaging in illegal and unethical behavior Avoiding conflict and people problems Demonstrating poor emotional control (e.g., yelling and screaming) Over-controlling (e.g., micromanaging) Demonstrating poor task performance Poor planning, organization, and communication Starting or passing on rumors or sharing confidential information Procrastinating and not meeting time commitments Failing to accommodate the personal needs of subordinates Failing to nurture and manage talent Psych 2060, W13, Irwin

© 2013 Cengage Learning 19 Interaction Between the Leader and the Situation Situational Favorability Organizational Climate Subordinate Ability Relationships with Subordinates Psych 2060, W13, Irwin

© 2013 Cengage Learning 20 Situational Favorability Fiedler’s Contingency Model Least-Preferred Coworker Scale Situation Favorability –high task structure –high position power –good leader-member relations High LPC leaders best with moderate favorability and Low LPC leaders best with low or high favorability Psych 2060, W13, Irwin

© 2013 Cengage Learning What are the contingency theories of leadership?  Fiedler’s Contingency Model. –Good leadership depends on a match between leadership and situational demands. –Determining leadership style: Low LPC  task-motivated leaders. High LPC  relationship-motivated leaders. –Leadership is part of one’s personality, and therefore relatively enduring and difficult to change. –Leadership style must be fit to the situation. 21Psych 2060, W13, Irwin

© 2013 Cengage Learning What are the contingency theories of leadership?  Fiedler’s contingency model (cont.). –Diagnosing situational control: Quality of leader-member relations (good or poor). Degree of task structure (high or low). Amount of position power (strong or weak). –Task oriented leaders are most successful in: Very favorable (high control) situations. Very unfavorable (low control) situations. –Relationship-oriented leaders are most successful in: Situations of moderate control. 22Psych 2060, W13, Irwin

© 2013 Cengage Learning 23 Relationship Between LPC Scores and Group Success High LPC Score Low Performance High Performance Low Performance Low LPC Score High Performance Low Performance High Performance LowModerateHigh Situation Favorability Psych 2060, W13, Irwin

© 2013 Cengage Learning What are the contingency theories of leadership?  House’s path-goal leadership theory. – Effective leadership deals with the paths through which followers can achieve goals. – Leadership styles for dealing with path-goal relationships: Directive leadership. Supportive leadership. Achievement-oriented leadership. Participative leadership. 24Psych 2060, W13, Irwin

© 2013 Cengage Learning 25 Organizational Climate IMPACT Theory Leadership Style –Information –Magnetic –Position –Affiliation –Coercive –Tactical Ideal Climate –Ignorance –Despair –Instability –Anxiety –Crisis –Disorganization Psych 2060, W13, Irwin

© 2013 Cengage Learning 26 IMPACT Leadership Strategies Find a climate consistent with your leadership style Change your leadership style to better fit the existing climate Change your followers’ perception of the climate Change the actual climate Psych 2060, W13, Irwin

© 2013 Cengage Learning 27 Subordinate Ability Path-Goal Theory Instrumental style –plans, organizes, controls Supportive style –shows concern for employees Participative style –shares information and lets employees participate Achievement-oriented style –sets challenging goals and rewards increases in performance Psych 2060, W13, Irwin

© 2013 Cengage Learning What are the contingency theories of leadership?  House’s path-goal leadership theory. – Effective leadership deals with the paths through which followers can achieve goals. – Leadership styles for dealing with path-goal relationships: Directive leadership. Supportive leadership. Achievement-oriented leadership. Participative leadership. 28Psych 2060, W13, Irwin

© 2013 Cengage Learning Contingency relationships in the path-goal leadership theory. 29Psych 2060, W13, Irwin

© 2013 Cengage Learning What are the contingency theories of leadership?  House’s leadership styles: – Directive leadership. Communicate expectations. Give directions. Schedule work. Maintain performance standards. Clarify leader’s role. –Supportive leadership. Make work pleasant. Treat group members as equals. Be friendly and approachable. Show concern for subordinates’ well-being. 30Psych 2060, W13, Irwin

© 2013 Cengage Learning What are the contingency theories of leadership?  House’s leadership styles: –Achievement-oriented leadership. Set challenging goals. Expect high performance levels. Emphasize continuous improvement. Display confidence in meeting high standards. –Participative leadership. Involve subordinates in decision making. Consult with subordinates. Ask for subordinates’ suggestions. Use subordinates’ suggestions. 31Psych 2060, W13, Irwin

© 2013 Cengage Learning What are the contingency theories of leadership?  When to use House’s leadership styles: – Use directive leadership when job assignments are ambiguous. –Use supportive leadership when worker self- confidence is low. –Use participative leadership when performance incentives are poor. –Use achievement-oriented leadership when task challenge is insufficient. 32Psych 2060, W13, Irwin

© 2013 Cengage Learning What are the contingency theories of leadership?  Substitutes for leadership. – Aspects of the work setting and the people involved that can reduce the need for a leader’s personal involvement. – Possible leadership substitutes: Subordinate characteristics. Task characteristics. Organizational characteristics. 33Psych 2060, W13, Irwin

© 2013 Cengage Learning 34 Subordinate Ability Situational Leadership Theory Psych 2060, W13, Irwin

© 2013 Cengage Learning 35 Relationships with Subordinates Leader-Member Exchange (LMX) Theory Concentrates on the interactions between leaders and subordinates Subordinates fall into either the: –in-group –out-group In-group employees –More satisfied –Higher performance –Less likely to leave Psych 2060, W13, Irwin

© 2013 Cengage Learning What are the contingency theories of leadership?  Vroom-Jago leader-participation theory. –Helps leaders choose the method of decision making that best fits the nature of the problem situation. –Basic decision-making choices: Authority decision. Consultative decision. Group decision. 36Psych 2060, W13, Irwin

© 2013 Cengage Learning Leadership implications of Vroom-Jago leader-participation model. 37Psych 2060, W13, Irwin

© 2013 Cengage Learning 38Psych 2060, W13, Irwin

© 2013 Cengage Learning What are the contingency theories of leadership?  According to Vroom-Jago leader-participation theory, a leader should use group-oriented and participative decision methods when … –the leader lacks sufficient information to solve a problem by himself/herself. –the problem is unclear and help is needed to clarify the situation. –acceptance of the decision and commitment by others is necessary for implementation. –adequate time is available for true participation. 39Psych 2060, W13, Irwin

© 2013 Cengage Learning 40 Leadership Through Contact Management by walking around Psych 2060, W13, Irwin

© 2013 Cengage Learning 41 Leadership Through Power Expert Power Legitimate Power Reward Power Coercive Power Referent Power Psych 2060, W13, Irwin

© 2013 Cengage Learning What is the nature of leadership?  Power. –Ability to get someone else to do something you want done or make things happen the way you want.  Power should be used to influence and control others for the common good rather seeking to exercise control for personal satisfaction.  Two sources of managerial power: –Position power. –Personal power. 42Psych 2060, W13, Irwin

© 2013 Cengage Learning What is the nature of leadership?  Position power. –Based on a manager’s official status in the organization’s hierarchy of authority.  Sources of position power: –Reward power. Capability to offer something of value. –Coercive power. Capability to punish or withhold positive outcomes. –Legitimate power. Organizational position or status confers the right to control those in subordinate positions. 43Psych 2060, W13, Irwin

© 2013 Cengage Learning What is the nature of leadership?  Personal power. –Based on the unique personal qualities that a person brings to the leadership situation.  Sources of personal power: –Expert power. Capacity to influence others because of one’s knowledge and skills. –Referent power. Capacity to influence others because they admire you and want to identify positively with you. 44Psych 2060, W13, Irwin

© 2013 Cengage Learning Sources of position power and personal power used by managers. 45Psych 2060, W13, Irwin

© 2013 Cengage Learning What are current issues in leadership development?  Superleaders. – Persons whose vision and strength of personality have an extraordinary impact on others.  Charismatic leaders. – Develop special leader-follower relationships and inspire others in extraordinary ways. 46Psych 2060, W13, Irwin

© 2013 Cengage Learning What are current issues in leadership development?  Transactional leadership –Someone who directs the efforts of others through tasks, rewards, and structures  Transformational leadership –Someone who is truly inspirational as a leader and who arouses others to seek extraordinary performance accomplishments. 47Psych 2060, W13, Irwin

© 2013 Cengage Learning What are current issues in leadership development?  Characteristics of transformational leaders: –Vision. –Charisma. –Symbolism. –Empowerment. –Intellectual stimulation. –Integrity. 48Psych 2060, W13, Irwin

© 2013 Cengage Learning What are current issues in leadership development?  Emotional intelligence. – The ability of people to manage themselves and their relationships effectively. – Components of emotional intelligence: Self-awareness. Self-regulation. Motivation. Empathy. Social skill. 49Psych 2060, W13, Irwin

© 2013 Cengage Learning What are current issues in leadership development?  Gender and leadership. –Both women and men can be effective leaders. –Women tend to use interactive leadership. A style that shares qualities with transformational leadership. –Men tend to use transactional leadership. –Interactive leadership provides a good fit with the demands of a diverse workforce and the new workplace. 50Psych 2060, W13, Irwin

© 2013 Cengage Learning What are current issues in leadership development?  Gender and leadership –Future leadership success will depend on a person’s capacity to lead through: Openness. Positive relationships. Support. Empowerment. 51Psych 2060, W13, Irwin

© 2013 Cengage Learning 52 Leadership Through Vision Transformational Leadership Visionary Charismatic Inspirational Challenge the status-quo Carefully analyze problems Confident and optimistic Psych 2060, W13, Irwin

© 2013 Cengage Learning What is the nature of leadership?  Visionary leadership. –Vision A future that one hopes to create or achieve in order to improve upon the present state of affairs. –Visionary leadership A leader who brings to the situation a clear and compelling sense of the future as well as an understanding of the actions needed to get there successfully. 53Psych 2060, W13, Irwin

© 2013 Cengage Learning What is the nature of leadership?  Meeting the challenges of visionary leadership: – Challenge the process. – Show enthusiasm. – Help others to act. – Set the example. – Celebrate achievements. 54Psych 2060, W13, Irwin

© 2013 Cengage Learning What is the nature of leadership?  Servant leadership – Commitment to serving others. – Followers more important than leader. – “Other centered” not “self-centered”. – Power not a “zero-sum” quantity. – Focuses on empowerment, not power. 55Psych 2060, W13, Irwin

© 2013 Cengage Learning What is the nature of leadership?  Servant Leadership and empowerment. –Empowerment. The process through which managers enable and help others to gain power and achieve influence. –Effective leaders empower others by providing them with: Information. Responsibility. Authority. Trust. 56Psych 2060, W13, Irwin

© 2013 Cengage Learning What are current issues in leadership development?  Drucker’s “old-fashioned” leadership. –Leadership is more than charisma; it is “good old-fashioned” hard work. –Essentials of “old-fashioned” leadership: Defining and establishing a sense of mission. Accepting leadership as a “responsibility” rather than a rank. Earning and keeping the trust of others. 57Psych 2060, W13, Irwin

© 2013 Cengage Learning 58 Authentic Leadership Bill George (2003) Leaders become self-aware by reflecting on their own –Ethics –Core beliefs –Values They lead out of a desire to serve others Psych 2060, W13, Irwin

© 2013 Cengage Learning What are current issues in leadership development?  Moral leadership. –Ethical leadership adheres to moral standards meeting the test of “good” rather than “bad” and “right” rather than “wrong.” –All leaders are expected to maintain high ethical standards. –Long-term, sustainable success requires ethical behavior. –Integrity involves the leader’s honesty, credibility, and consistency in putting values into action. 59Psych 2060, W13, Irwin

© 2013 Cengage Learning What are current issues in leadership development?  Moral leadership –Leaders with integrity earn the trust of their followers. –Leaders have a moral obligation to build performance capacities by awakening people’s potential. –Authentic leadership activates performance through the positive psychological states of confidence, hope, optimism, and resilience. –Authentic leadership helps in clearly framing and responding to moral dilemmas, and serving as ethical role models. 60Psych 2060, W13, Irwin

© 2013 Cengage Learning What are the important leadership traits and behaviors?  Leadership behavior –Leadership behavior theories focus on how leaders behave when working with followers. –Leadership styles are recurring patterns of behaviors exhibited by leaders. –Basic dimensions of leadership behaviors: Concern for the task to be accomplished. Concern for the people doing the work. 61Psych 2060, W13, Irwin

© 2013 Cengage Learning What are the important leadership traits and behaviors?  Task concerns –Plans and defines work to be done. –Assigns task responsibilities. –Sets clear work standards. –Urges task completion. –Monitors performance results.  People concerns –Acts warm and supportive toward followers. –Develops social rapport with followers. –Respects the feelings of followers. –Is sensitive to followers’ needs. –Shows trust in followers. 62Psych 2060, W13, Irwin