Chapter Fourteen Power, Influence & Leadership

McGraw-Hill/Irwin© 2006 The McGraw-Hill Companies, Inc. All rights reserved. Leadership  Leadership: is the ability to influence employees to voluntarily pursue organizational goals. Managers Vs. Leaders Managers  What needs to be done—planning and budgeting  Creating arrangements of people to accomplish an agenda—organizing and staffing  Ensuring people do their jobs—controlling and problem solving Leaders  What needs to be done—setting a direction  Creating arrangements of people to accomplish an agenda—aligning people  Ensuring people do their jobs—motivating and inspiring Five Sources of Power 1)Legitimate Power all managers have; results from managers’ formal positions within the organization 2)Reward Power all managers have; results from manager’s authority to reward their subordinates 3)Coercive Power all managers have; results from the manager’s authority to punish their subordinates 4)Expert Power is power resulting from one’s specialized information or expertise 5)Referent Power power derived from one’s personal attraction

Influence Influencing Others 3. Consultation 1. Rational persuasion 2. Inspirational appeals 4. Ingratiating techniques 5. Personal Appeals 6. Exchange Tactics 7. Coalition Tactics 8. Pressure Tactics 9. Legitimating Tactics

1)Trait 2)Behavioral 3)Contingency 4)Full-range 5)Additional perspectives Trait Approach  Trait Approach to Leadership attempt to identify distinctive characteristics that account for the effectiveness of leaders The Leadership Traits Bossidy Looks for in Job Candidates 1)Ability to execute 2)A career runway 3)A team orientation 4)Multiple experiences Emotional Intelligence  Emotional Intelligence: the ability to cope, empathize with others and be self-motivated. McGraw-Hill/Irwin© 2006 The McGraw-Hill Companies, Inc. All rights reserved. Five Approaches to Leadership

McGraw-Hill/Irwin© 2006 The McGraw-Hill Companies, Inc. All rights reserved. The Traits of Emotional Intelligence Emotional Intelligence 1. Self-awareness 2. Self-management 4. Relationship management 3. Social awareness

Where Female Executives Do Better: A Scorecard SkillMenWomen Motivating Others√√√√√ Fostering communication√√√√* Producing high-quality work√√√√√ Strategic planning√√√√* Listening to others√√√√√ Analyzing issues√√√√* Behavioral Leadership Approaches Behavioral Leadership Approaches: attempts to determine the distinctive styles used by effective leaders The University of Michigan Leadership Model Job-centered Behavior: managers pay more attention to the job and work procedures Employee Centered Behavior: managers pay more attention to employee satisfaction and making work groups cohesive

 Initiating Structure: leadership behavior that organizes and defines what group members should be doing  Consideration: leadership behavior that expresses concern for employees by establishing a warm, friendly, and supportive climate  Contingency Approach  Contingency Approach effective leadership behavior depends on the situation at hand Fiedler’s Approach  Contingency Leadership Model determines correct match between leadership style and the situation at hand McGraw-Hill/Irwin© 2006 The McGraw-Hill Companies, Inc. All rights reserved. The Ohio State Leadership Model Task-oriented Leadership Is best under situations of high or low control Relationship-oriented Is best under situations of moderate control

Country club 1,9 Team 9,9 Middle-of-the-road 5,5 Impoverished 1,1 Task 9,1 High Low Low High Concern for production Concern for people The Leadership Grid Model

 Path-goal Leadership Model holds that the effective leader clarifies paths through which subordinates can achieve goals, both organizational and personal  Clarifying the paths  Removing barriers  Increasing opportunities for personal satisfaction Situational Leadership  Situational Leadership Theory leadership behavior reflects how leaders should adjust their leadership style according to the readiness of the followers  Readiness the extent to which a follower possesses the ability and willingness to complete a task Full Range Leadership: From Laissez-Faire, Through Transactional, toTransformational  Full range leadership: suggests that leadership behavior varies along a full range of leadership styles, from laissez-faire, through transactional leadership, to transformational leadership.  Transactional leadership: focusing on clarifying employees’ roles and task requirements and providing rewards and punishments contingent on performance.  Transformational leadership: transforms employees to pursue organizational goals over self- interests. McGraw-Hill/Irwin© 2006 The McGraw-Hill Companies, Inc. All rights reserved. Path-Goal Leadership

Selling S2 Explain decisions and provide opportunity for clarification Participating S3 Share ideas and facilitate in decision making Follower-Directed Leader-Directed Follower-Directed Leader-Directed Low Low High High Leader Behavior Task Behavior Follower Readiness High Moderate Low R4 R3 R2R1 Follower Readiness High Moderate Low R4 R3 R2R1 Relationship Behavior (supportive behavior) Delegating S4 Turn over responsibility for decisions and implementation Telling S1 Provide specific instructions and closely supervise performance McGraw-Hill/Irwin© 2006 The McGraw-Hill Companies, Inc. All rights reserved. Hersey & Blanchard’s Situational Leadership Model

 Servant Leaders focus on providing increased service to others—meeting the goals of both the followers and the organization—rather than themselves  Ten Characteristics of Servant Leadership 1)Focus on listening 2)Ability to empathize with others’ feelings 3)Focus on healing the suffering 4)Self-awareness of strengths and weaknesses 5)Use of persuasion rather than positional authority to influence others 6)Broad-based conceptual thinking 7)Ability to foresee future outcomes 8)Belief that they are stewards of their employees and resources 9)Commitment to the growth of people 10)Drive to build community within and outside the organization Shared Leadership  Shared leadership: is a simultaneous, ongoing, mutual influence process in which people share responsibility for leading. Leading for Loyalty 1)Preach what you practice 2)Play to win-win 3)Be picky 4)Keep it simple 5)Reward the right results 6)Listen hard, talk straight Servant Leadership

Level 5 Leadership Level 4: Effective Leader Level 3: Competent Manager Level 2: Contributing Team Member Level 5: Executive Level 1: Highly Capable Individual Six Secrets to Successful E-Leaders 1.Create the future rather than a better status quo 2.Create a teachable vision 3.Follow a strategy your customers set, not you 4.Foster a collaborative culture 5.Think globally 6.Thrive on information