TASNUVA CHAUDHURY (TCY) CHAPTER 12: LEADERSHIP MGT 321: Organizational Behavior

What is Leadership Leadership  The ability to influence a group toward the achievement of goals Management  Use of authority inherent in designated formal rank to obtain compliance from organizational members Both are necessary for organizational success

Trait Theories of Leadership Theories that consider personality, social, physical, or intellectual traits to differentiate leaders from nonleaders Not very useful until matched with the Big Five Personality Framework Essential Leadership Traits  Extroversion  Conscientiousness  Openness  Emotional Intelligence (Qualified) Traits can predict leadership, but they are better at predicting leader emergence than effectiveness.

Behavioral Theories of Leadership Theories proposing that specific behaviors differentiate leaders from nonleaders Differences between theories of leadership:  Trait theory: leadership is inherent, so we must identify the leader based on his or her traits  Behavioral theory: leadership is a skill set and can be taught to anyone, so we must identify the proper behaviors to teach potential leaders

Contingency Theory of Leadership While trait and behavior theories do help us understand leadership, an important component is missing: the environment in which the leader exists Contingency Theory adds this additional aspect to our understanding leadership effectiveness studies Three key theories:  Fiedler’s Model  Hersey and Blanchard’s Situational Leadership Theory  Path-Goal Theory

Fielder Model Effective group performance depends on the proper match between leadership style and the degree to which the situation gives the leader control.  Assumes that leadership style (based on orientation revealed in LPC questionnaire) is fixed Considers Three Situational Factors:  Leader-member relations: degree of confidence and trust in the leader  Task structure: degree of structure in the jobs  Position power: leader’s ability to hire, fire, and reward For effective leadership: must change to a leader who fits the situation or change the situational variables to fit the current leader

Graphic Presentation of Fielder Model Used to determine which type of leader to use in a given situation

Fielder’s Cognitive Resource Theory A refinement of Fiedler’s original model:  Focuses on stress as the enemy of rationality and creator of unfavorable conditions  A leader’s intelligence and experience influence his or her reaction to that stress Stress Level Low High Intellectual Abilities Effective Ineffective Leader’s Experience Ineffective Effective

Situational Leadership Theory A model that focuses on follower “readiness”  Followers can accept or reject the leader  Effectiveness depends on the followers’ response to the leader’s actions  “Readiness” is the extent to which people have the ability and willingness to accomplish a specific task Ability to followWillingness to FollowLeadership Behavior UnableUnwillingGive clear and specific directions UnableWillingDisplay high task orientation AbleUnwillingUse a supportive and participatory style AbleWillingDoesn’t need to do much

House Path’s Goal Theory Builds from the Ohio State studies and the expectancy theory of motivation The Theory:  Leaders provide followers with information, support, and resources to help them achieve their goals  Leaders help clarify the “path” to the worker’s goals  Leaders can display multiple leadership types Four types of leaders:  Directive: focuses on the work to be done  Supportive: focuses on the well-being of the worker  Participative: consults with employees in decision making  Achievement-Oriented: sets challenging goals

Leader Member Exchange Theory In Groups Members are similar to leader In the leader’s inner circle of communication Receives more time and attention from leader Gives greater responsibility and rewards Out Groups Managed by formal rules and policies Receive less of the leader’s attention / fewer exchanges More likely to retaliate against the organization

Charismatic Leader Vision Personal Risk Sensitivity to Followers Needs Unconventional Behavior Charisma means gift in Greek

Charismatic Leadership Articulate a Vision Create a Vision Statement Create a new set of Values Demonstrate the Vision How do charismatic leader influence followers?

Transactional and Transformational Leaders Transactional: Guide followers towards established goals by clarifying role and task requirements Transformational: Inspire followers to transcend their self-interests for the good of the organization Contingent Reward Management by Exception (active) Management by Exception (passive) Laissez-Faire Transactional Idealized Influence Inspirational Motivation Intellectual Stimulation Individualized Consideration Transformational

Authentic, Ethics and Leadership Authentic Leaders Authentic leaders know who they are, what they believe in and value, and act upon those values and beliefs. Ethics and Leadership Leadership is not free from values. When we assess leadership, we must assess not just the goals themselves but also the means by which those goals are achieved.

Trust and Leadership Trust – a psychological state that exists when you agree to make yourself vulnerable to another because you have a positive expectation for how things are going to turn out.  Key attribute associated with leadership  Followers who trust their leader will align their actions and attitudes with the leader’s behaviors/requests Trust Desired Actions Desired Attitudes

Managerial Grid Theory X axis is for concern for production or task Y axis is for concern for people  Impoverished style manager: No concern for people and no concern for job Managers choose this style to avoid getting into trouble Authority Compliance: Control and dominating style Managers find employees need unimportant and pressure them to achieve company goal

Managerial Grid Theory (contd.)  Team Leader High concern for both people and production/job Encourages team work  Country Club High concern for people but low concern for job Manager pay attention to security and comfort of employees  Middle of the Road Manager balance between company goal and employee’s want