© 2003 McGraw-Hill Ryerson Ltd. Leadership Chapter Eleven

© 2003 McGraw-Hill Ryerson Ltd. Trait and Behavioural Theories Leadership Trait Theory Behavioural Leadership Theory Situational Theories Fiedler’s Contingency Model Path-Goal Theory Chapter Eleven Outline

© 2003 McGraw-Hill Ryerson Ltd. From Transactional, Charismatic, and Transformational Leadership Research and Managerial Implications Additional Perspectives on Leadership The Leader-Member Exchange (LMX) Model of Leadership Substitutes for Leadership Servant-Leadership Superleadership Chapter Eleven Outline (cont’d)

© 2003 McGraw-Hill Ryerson Ltd.  Universally favourable traits (House): Dynamism Decisiveness Honesty Capacity to motivate Capacity to negotiate with others Focus on performance  Universally unfavourable traits (House): Autocratic Egocentric Irritable Leadership traits Leadership traits represent the personal characteristics that differentiate leaders from followers. Leadership Trait Theory

© 2003 McGraw-Hill Ryerson Ltd.  Gender and leadership men and women were seen as displaying more task and social leadership, respectively women used a more democratic or participative style than men, and men used a more autocratic and directive style than women men and women were equally assertive women executives, when rated by their peers, managers and direct reports, scored higher than their male counterparts on a variety of effectiveness criteria Leadership Trait Theory (cont’d)

© 2003 McGraw-Hill Ryerson Ltd.  two critical dimensions of leader behaviour are: 1. Consideration (employee-centred): -creating mutual respect and trust with followers 2. Initiating Structure (task-centred): -organizing and defining what group members should be doing  Blake and Mouton’s Managerial Grid  Blake and Mouton’s Managerial Grid represents four leadership styles found by crossing concern for production and concern for people  Research shows that there is not one best style of leadership. The effectiveness of a particular leadership style depends on the situation at hand. Behavioural Leadership Theory

© 2003 McGraw-Hill Ryerson Ltd. Situational Control High Control Situations Moderate Control Situations Low Control Situations Leader-member relations Task Structure Position Power Good Good Good High High High Strong Weak Strong Good Poor Poor Low High High Weak Strong Strong Poor Low Strong Weak SituationI II IIIIV V VIVII VIII Optimal Leadership Style Task Motivated Leadership Relationship Motivated Leadership Task Motivated Leadership Representation of Fiedler’s Contingency Model

© 2003 McGraw-Hill Ryerson Ltd. Employee Characteristics Employee Characteristics - Locus of control - Task ability - Need for achievement - Experience - Need for clarity Environmental Factors Environmental Factors - Employee’s task - Authority system - Work group Leadership Styles Leadership Styles - Directive - Supportive - Participative - Achievement oriented Employee Attitudes and Behaviour Employee Attitudes and Behaviour - Job satisfaction - Acceptance of leader - Motivation Path-Goal Theory

© 2003 McGraw-Hill Ryerson Ltd.  Transactional leadership  Transactional leadership focuses on the interpersonal interactions between managers and employees Transactional Leaders Transactional Leaders - use contingent rewards to motivate employees - exert corrective action only when employees fail to obtain performance goals Transactional Leadership

© 2003 McGraw-Hill Ryerson Ltd.  Charismatic leadership  Charismatic leadership emphasizes symbolic leader behaviour that transforms employees to pursue organizational goals over self-interests Charismatic Leaders Charismatic Leaders - use visionary and inspirational messages - rely on non-verbal communication - appeal to ideological values - attempt to intellectually stimulate employees - display confidence in self and followers - set high performance expectations Charismatic Leadership

© 2003 McGraw-Hill Ryerson Ltd.  Transformational leadership  Transformational leadership involves the creation, communication, and modeling of a vision, and behaviours aimed at building commitment to the vision on the part of their followers Transformational Leaders Transformational Leaders -do not necessarily have strong charisma -deal with employees on an individual, day to day level -build commitment to change Transformational Leadership

© 2003 McGraw-Hill Ryerson Ltd. Individual and Organizational Characteristics Leader behaviour Effects on followers and work groups Outcomes Traits Traits Leader establishes a vision Leader establishes high performance expectations and displays confidence in him/herself and the collective ability to realize the vision Leader models the desired values, traits, beliefs, and behaviours needed to realize the vision Increased intrinsic motivation Increased identification with the leader and the organization Increased cohesion among work group members Increased self- esteem, self-efficacy Increased role modeling of charismatic leadership Personal commitment to leader and vision Self-sacrificial behaviour Organizational commitment Task meaningfulness and satisfaction Increased individual group, and organizational performance Organizational Culture Organizational Culture Charismatic Model of Leadership

© 2003 McGraw-Hill Ryerson Ltd. This model is based on the idea that one of two distinct types of leader-member exchange relationships evolve, and these exchanges are related to important work outcomes. in-group exchange: out-group exchange: This model is based on the idea that one of two distinct types of leader-member exchange relationships evolve, and these exchanges are related to important work outcomes. - in-group exchange: a partnership characterized by mutual trust, respect and liking - out-group exchange: a partnership characterized by a lack of mutual trust, respect and liking Research supports this model Research supports this model The Leader-Member Exchange (LMX Model)

© 2003 McGraw-Hill Ryerson Ltd. Characteristic Relationship- Oriented or Considerate Leader Behaviour is Unnecessary Task-Oriented or Initiating Structure Leader Behaviour is Unnecessary Of the Subordinate 1. Ability, experience, training, knowledgeX 2. Need for independenceXX 3. “Professional” orientationXX 4. Indifference toward organizational rewardsXX Of the Task 5. Unambiguous and routineX 6. Methodically invariantX 7. Provides its own feedback concerning accomplishmentX 8. Intrinsically satisfying.X Substitutes for Leadership

© 2003 McGraw-Hill Ryerson Ltd. Characteristic Relationship -Oriented or Considerate Leader Behaviour is Unnecessary Task-Oriented or Initiating Structure Leader Behaviour is Unnecessary Of the Organization 9. Formalization (explicit plans, goals, and areas of responsibility) X 10. Inflexibility (rigid, unbending rules and procedures) XX 11. Highly specified and active advisory and staff functions XX 12. Closely knit, cohesive work groupsXX 13. Organizational rewards not with the leader’s control 14. Spatial distance between superior and subordinate X Source: Adapted from S Kerr and J M Jermier, “Substitutes for Leadership:Their Meaning and Measurement,” Organizational Behavior and Human Performance, December 1978, pp Substitutes for Leadership (cont’d)

© 2003 McGraw-Hill Ryerson Ltd. Servant leadership represents a philosophy in which leaders focus on increased service to others rather than to oneself. A belief that great leaders act as servants, putting the needs of others, including employees, customers, and community as their first priority. A long-term, transformational approach to life and work Servant Leadership

© 2003 McGraw-Hill Ryerson Ltd. 1. Listening 2. Empathy 3. Healing 4. Awareness 5. Persuasion 6. Conceptualization 7. Foresight 8. Stewardship Commitment to the growth of people 9. Commitment to the growth of people 10. Building community Characteristics of the Servant-Leader

© 2003 McGraw-Hill Ryerson Ltd. A superleader is someone who leads others to lead themselves by developing employees’ self- management skills. Superleaders attempt to increase employees’ feelings of personal control and intrinsic motivation. Empower followers by acting as a teacher and coach rather that as a dictator and autocrat Superleadership