Leadership in Organizations Chapter 11 Leadership in Organizations Copyright © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Manager vs. Leader © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Manager vs. Leader Manager What Needs to be Done Planning and Budgeting Arranging People to Accomplish Goals Organizing and Staffing Ensuring People do Their Jobs Controlling and Problem Solving © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Manager vs. Leader Leader What Needs to be Done Setting a Direction Arranging People to Accomplish Goals Aligning People Ensuring People do Their Jobs Motivating and Inspiring © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Leadership The ability to influence people toward the attainment of organizational goals. © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Ex. 11.1 Leader and Manager Qualities Ex. 11.1 Leader and Manager Qualities SOURCE: Based on Genevieve Capowski, “Anatomy of a Leader: Where Are the Leaders of Tomorrow?” Management Review, March 1994, 12. © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Charismatic Leadership Charismatic Leadership Transactional Leaders (Non-Charismatic): Clarify the role and task requirements of subordinates. Initiate structure. Provide appropriate rewards. Try to be considerate. Meet the social needs of subordinates. © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Charismatic Leadership Charismatic Leadership Transformational Leaders (Charismatic): The ability to inspire. (Charisma) Motivate people to do more than they would normally do. (Creating Belief in the Company) Individual Consideration. (Concern for Employees) Intellectual Stimulation. (Engages Workers to Solve Problems) © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Example of Transactional Leader Gary Kelley, CEO Southwest Airlines © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Example of Transformational Leader Herb Kelleher, CEO Emeritus Southwest Airlines © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Ex. 11.2 Personal Characteristics of Leaders Physical characteristics Energy Physical stamina Personality Self-confidence Honesty and integrity Enthusiasm Desire to lead Independence Work-related characteristics Achievement drive, desire to excel Conscientiousness in pursuit of goals Persistence against obstacles, tenacity Social background Education Mobility Intelligence and ability Judgment, cognitive ability Knowledge Judgment, decisiveness Social characteristics Sociability, interpersonal skills Cooperativeness Ability to enlist cooperation Tact, diplomatic © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Forms of Position Power Forms of Position Power Legitimate Power: power coming from a formal management position. Reward Power: stems from the authority to bestow rewards on other people. Coercive Power: the authority to punish or recommend punishment. © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Forms of Personal Power Forms of Personal Power Expert Power: leader’s special knowledge or skill regarding the tasks performed by followers. Referent Power: personality characteristics that command subordinates’ identification, respect, and admiration so they wish to emulate the leader. © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Ex. 11.3 The Leadership Grid® Figure High 1,9 Country Club Management Thoughtful attention to the needs of people for satisfying relationships leads to a com- fortable, friendly organization atmosphere and work tempo. 9,9 Team Management Work accomplishment is from committed people; interdependence through a “common stake” in organization purpose leads to relationships of trust and respect. 5,5 Middle-of-the-Road Management Adequate organization performance is possible through balancing the necessity to get out work with maintaining morale of people at a satisfactory level. Concern for People Impoverished Management Exertion of minimum effort to get required work done is appropriate to sustain organization membership. 1,1 Authority-Compliance Efficiency in operations results from arranging conditions of work in such a way that human elements interfere to a minimum degree. 9,1 Low Low Concern for Production High © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Hersey and Blanchard’s Situational Leadership Theory Hersey and Blanchard’s Situational Leadership Theory A contingency approach to leadership that links the leader’s behavioral style with the task readiness of subordinates. Levels of readiness: Low (Telling) Moderate (Selling) High (Participating) Very high (Delegating) © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Path-Goal Theory Contingency approach, the leader’s responsibility is to increase subordinates’ motivation to attain personal and organizational goals through: Clarifying the paths to rewards. Increasing the rewards that the subordinate values and desires. © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Ex. 11.6 Leader Roles in the Path-Goal Model Ex. 11.6 Leader Roles in the Path-Goal Model SOURCE: Based on Bernard M. Bass, “Leadership: Good, Better, Best,” Organizational Dynamics 13 (Winter 1985),26-40 © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Path-Goal Classification of Leader Behaviors Path-Goal Classification of Leader Behaviors Supportive leadership: Leader behavior that shows concern for subordinates. Open, friendly, and approachable. Creates a team climate. Treats subordinates as equals. © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Path-Goal Classification of Leader Behaviors (contd.) Path-Goal Classification of Leader Behaviors (contd.) Directive leadership: Tells subordinates exactly what they are supposed to do. Planning, making schedules, setting performance goals, and behavior standards. © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Path-Goal Classification of Leader Behaviors (contd.) Path-Goal Classification of Leader Behaviors (contd.) Participative leadership: Consults with his or her subordinates about decisions. Achievement-oriented leadership: Sets clear and challenging goals for subordinates. Behavior stresses high-quality performance. © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Situational Contingencies Situational Contingencies Two important situational contingencies in the path-goal theory: The personal characteristics of group members. The work environment. © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Ex. 11.7 Path-Goal Situations and Preferred Leader Behaviors SOURCE: Adapted from Gary A. Yukl, Leadership in Organizations (Englewood Cliffs, N.J.: Prentice-Hall 1981), 146-152. © 2006 by South-Western, a division of Thomson Learning. All rights reserved.

Leadership Leadership Video © 2006 by South-Western, a division of Thomson Learning. All rights reserved.