Chapter 15 Leadership

Objectives  Describe what followers expect of leaders.  Differentiate between leadership and management.  Identify the traits that distinguish leaders from non-leaders.  Summarize the conclusions of behavioral theories of leadership.  Explain why path-goal theory and the leader-member exchange model are contingency theories. Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 15 -1

…Objectives  Compare and contrast transformational, transactional, laissez-faire, and charismatic leadership.  Describe emotional intelligence.  Explain the role of trust in leadership.  Summarize the relationships between leadership and both culture and gender. Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 15 -2

Level 5 Leaders  Modest  Quietly determined based on inspired standards rather than charisma  Ambitious for the firm rather than for themselves  Driven to achieve sustained results and success  Give credit to others for success and take blame for failure Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 15 -3

Leaders - Defined Individuals who…  establish direction for a group  gain the group members’ commitment  motivate them to achieve goals to move in that direction Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 15 -4

Leadership Point Of View Have courage to initiate action and improve things See what needs to be done Understand all underlying forces in a situation Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 15 -5

Shared/Distributed Leadership - Defined At different points in time, leadership is rotated. The person with the most relevant skill takes the initiative to influence the group. Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 15 -6

Lateral Leadership - Defined Colleagues at same hierarchical level collaborate and facilitate joint problem solving. Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 15 -7

Follower Expectations Of Leaders Honesty Competence Forward-looking Inspiring = CREDIBILITY Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 15 -8

ManagersLeaders Do things rightDo the right thing Planning and budgetingVision Processes and systemsImaginative ideas Organizing and staffingAligning people with vision Control and problem solvingMotivate and inspire Produce order, predictability, results expected by stakeholders Produce change Are All Managers Leaders? Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 15 -9

Traits of Successful Business Leaders  Drive  Honesty and integrity  Leadership motivation  Self-confidence  Cognitive ability  Business knowledge  Creativity  Flexibility Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner

Behavior Styles In Leadership Task (initiating structure) Low People Low Task Low People High Task High People High Task High People Low Task lo hi People (consideration behavior) Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner

Examples of Contingency Leadership

Continuum of Leadership Behavior Leader decides, announces decision “Sells” decision to group Area of freedom of the group Use of authority by leader Gives group as much freedom as possible to define problem and decide Presents problem and boundaries, group decides Presents problem, asks for ideas, decides Presents tentative decision, consults group, and decides Announces decision, permits questions Group CenteredLeader Centered Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner

Path-Goal Theory Leader Behaviors  Path-goal clarifying  Achievement- oriented  Work-facilitation  Supportive  Interaction- facilitation  Group-oriented decision making  Representation and networking  Value-based Employee Characteristics  Locus of Control  Self-perceived task ability  Need for achievement  Need for clarity  Need for independence  Experience Leadership Effectiveness  Employee motivation  Employee satisfaction  Employee performance  Leader acceptance  Work-unit performance Environmental Characteristics  Task structure  Stressful work  Work group dynamics Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner

Leader-Member Exchange Model (LMX) In-Group  Receives preferential treatment Therefore  More successful  More satisfied Out-Group  No preferential treatment Therefore  Less successful  Less satisfied Result of leader’s favoritism = Less communication and cooperation between these groups Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner

Transformational Leadership  Are value-driven change agents.  Make followers more conscious of the importance and value of task outcomes.  Provide followers with a vision.  Motivate followers to go beyond self- interest for the good of the organization. Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner

Effective Leadership Practices  Challenge the process  Inspire a shared vision  Enable others to act  Encourage the heart Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner

Full Range of Leadership Styles Laissez faire TransactionalTransformational (noninterference) Least effectiveMost effective Follower motivation Job satisfaction Satisfaction w/leader Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner

Transactional Leadership - Defined Transactional leadership is an exchange process in which leaders clarify employee roles and task requirements and then reward or punish followers based on their performance. Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner

Charismatic Leadership - Defined Charismatic leaders develop a special relationship with followers who attribute extraordinary or heroic leadership abilities to them. Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner

Charismatic Leaders  Are adept at communicating an inspiring vision  Elicit:  High levels of performance  Loyalty  Sacrifice  Enthusiasm Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner

Unethical Charismatic Leaders  Motivated by personalized power  Pursue their own vision and goals  Censure critical or opposing views  Encourage blind obedience, dependency, submission  Lack internal moral compass Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner

Servant Leaders - Defined Servant leaders are stewards who are responsible for serving, developing, and transforming the organization and its people. Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner

Servant Leaders at  Recognize they don’t have all the answers.  Demonstrate sense of humility and vulnerability.  Build capability of company and people.  Advance transformation of self, others, and company. Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner