Chapter 14 Leadership

The Nature of Leadership Exerting influence over others Inspiring, motivating and directing the activities of others to achieve group goals Leader An individual who is able to exert influence over other people to help achieve group goals MGMT 321 – Chapter 14

The Nature of Leadership Personal Leadership Style Specific ways a manager chooses to exert influence Shapes the way the manager approaches the principal tasks of management The challenge is to develop an effective personal management style Managers vs. Leaders Managers establish and implement procedures Leaders look to the future MGMT 321 – Chapter 14

Leadership Across Cultures European managers tend to be more people-oriented than American or Japanese managers Japanese managers are group-oriented, while U.S managers focuses more on profitability Time horizons also are affected by cultures MGMT 321 – Chapter 14

Types of Power MGMT 321 – Chapter 14

Empowerment Giving employees the authority to make decisions, be responsible for their outcomes, improve quality, and cut costs Increases a manager’s ability to get things done Increases workers’ involvement, motivation, and commitment Gives managers more time to concentrate on their pressing concerns MGMT 321 – Chapter 14

Trait Leadership Model Attempt to identify personal traits that cause for effective leadership. Research shows that certain personal characteristics do appear to be connected to effective leadership. Many “traits” are the result of skills and knowledge and effective leaders do not necessarily possess all of these traits. MGMT 321 – Chapter 14

Behavioral Leadership Model Identifies the two basic types of behavior that leaders use to influence their subordinates Consideration Show subordinates they trust, respect, and care about them Managers look out for the well-being of their subordinates Initiating Take steps to make sure that work gets done Managers assign tasks to groups and let subordinates know what is expected of them MGMT 321 – Chapter 14

Contingency Models of Leadership The situation helps to determine the effectiveness of the leader The result of the interplay between What the manager is like What he does The situation in which leadership takes place MGMT 321 – Chapter 14

Fiedler’s Model Effective leadership is contingent on style of leadership and situational characteristics Leadership style The enduring, characteristic approach to leadership that a manager uses Relationship-oriented leaders are concerned with developing good relations with their subordinates Task-oriented leaders are concerned with ensuring that subordinates perform at a high level MGMT 321 – Chapter 14

Fiedler’s Model Situation Characteristics Leader-member relations is the extent to which followers like, trust, and are loyal to their leader Task structure is the extent to which the work to be performed is clear-cut Position Power is the amount of legitimate, reward, and coercive power leaders have due to their position MGMT 321 – Chapter 14

Fiedler’s Model MGMT 321 – Chapter 14

House’s Path-Goal Theory Effective leaders can motivate subordinates to achieve goals by: Clearly identifying the outcomes that subordinates are trying to obtain Rewarding subordinates with these outcomes for high-performance Clarifying the paths leading to the attainment of work goals MGMT 321 – Chapter 14

House’s Path-Goal Theory Four leadership behaviors: Directive behaviors set goals, assign tasks, show how to do things Supportive behaviors look out for the worker’s best interest Participative behaviors give subordinates a say in matters that affect them Achievement-oriented behaviors set very challenging goals Behavior to be used depends on the subordinates and the kind of work MGMT 321 – Chapter 14

The Leader Substitutes Model Leadership Substitute Acts in the place of a leader and makes leadership less necessary Worker empowerment or self-managed work teams reduce leadership needs Possible substitutes can be found in: Characteristics of the subordinates: their skills, experience, motivation. Characteristics of context: the extent to which work is interesting and fun MGMT 321 – Chapter 14

Transformational Leadership Uses referent and expert power to motivate subordinates Helps subordinates understand the importance of their jobs for the organization to attain its goals Helps subordinates become aware of personal growth, development, and accomplishment needs Encourages subordinates to work for the good of the organization MGMT 321 – Chapter 14

Charismatic Leaders Enthusiastic, self-confident transformational leaders Able to clearly communicate his vision of how good things could be Characteristics Excited and clearly communicates excitement Openly shares information with employees Empowers workers to help with solutions Engages in the development of employees MGMT 321 – Chapter 14

Transactional Leadership Use their reward and coercive powers to encourage high performance Exchange rewards for performance and punish failures Push subordinates to change but do not seem to change themselves MGMT 321 – Chapter 14

Gender and Leadership The number of women managers is rising but is still relatively low Stereotypes suggest women are supportive and concerned with interpersonal relations Similarly, men are seen as task-focused Research indicates that there is no gender-based difference in leadership effectiveness Women adopt a participative approach to overcome resistance to them as managers MGMT 321 – Chapter 14

Emotional Intelligence and Leadership Helps develop a vision Helps motivate subordinates to commit Energizes subordinates to work towards the vision The Moods of Leaders: Groups whose leaders experienced positive moods had better coordination Groups whose leaders experienced negative moods exerted more effort MGMT 321 – Chapter 14