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LEADERSHIP Hussin J. Hejase

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1 LEADERSHIP Hussin J. Hejase
MAY 4, 2005 Hussin J. Hejase Contemporary Management Presentation – MBA Program American University of Science & Technology

2 What do they have in Common?

3 Presentation Map Nature of leadership Approaches to Leadership:
Trait and Behavior Models Contingency Models Contemporary Models

4 What is Leadership? An interpersonal influence directed toward the achievement of a goal or goals

5 Leadership versus Management
“Managers are people who do things right, while leaders are people who do the right things” Warren Bennis

6 Power: The Key to Leadership
Reward Expert POWER POWER Legitimate Referent Coercive

7 Empowerment Giving employees the authority to make decisions, improve quality, cut costs and be responsible for their actions

8 Benefits of empowerment
increases manager’s ability to get things done increases employee’s motivation and commitment More time to concentrate on important issues

9 Leadership and Cultures
Leaders must understand the differences among cultures to be able to motivate people of different backgrounds and generations

10 Leadership and Gender Women hold 12% of top corporate jobs in Fortune 500 companies Women are effective leaders: interpersonal skills, perseverance, and strive for success.

11 Obstacles that Hinder Women’s advancement
Persistence of male stereotypes Woman’s success is attributed to external conditions Glass Ceiling   

12 Leadership and Emotional Intelligence
The ability to understand and manage one’s own behavior as well as people’s behavior under pressure.

13 Benefits of Emotional Intelligence
manager’s ability to work under pressure ability to develop a vision and motivate employees to achieve that vision. helps to understand the impact of emotions in the workplace

14 The Trait Model Discover the personal characteristics that constitute effective leadership Traits are the distinguishing characteristics of a person.

15 Basic traits for leader’s success
Intelligence Decisiveness Courage Endurance Knowledge and expertise Self confidence Initiative Integrity and honesty

16 The Behavior Model Assumes that leadership is central to performance and other outcomes. It is based on two studies: The Ohio State studies The leadership Grid

17 Ohio State Studies This study was conducted between 1940s and 1950s on industrial and military employees Two basic dimensions of leader behaviors were identified: consideration and initiating structure.

18 The Managerial Grid (Blake and Mouton)
Source: Robbins, S.P. Organizational Behavior 2005

19 Major Situational Contingency Theories:
Fiedler’s leadership contingency theory House’s path-goal theory of leadership Fiedler’s cognitive resource theory Hersey and Blanchard’s situational leadership model Leader Substitute Model

20 What is Fiedler’s leadership contingency theory?
Initiated the situational contingency approach in the mid-1960s Contingency theory: Emphasizes that group effectiveness depends on an appropriate match between the leader’s style and situational demands

21 Fiedler’s Two Leader’s Styles:
Perform Better Task Oriented Leader My People I Do Care about YOU Relationship-Oriented Leader

22 Fiedler’s model: Defining the Situation:
Leader-member relations : How well do the manager and the employees get along? Task structure: Is the job highly structured, fairly unstructured, or somewhere in between? Position power: How much authority does the manager possess?

23 Application: Fiedler’s Effective leadership
Source: Robbins, S.P. Organizational Behavior 2005

24 Application: Fiedler’s Effective leadership
managers should be placed in situation that matches with their styles OR situations should be changed to suit the manager

25 What is Fiedler’s Cognitive Resource theory?
Leader’s Performance Intelligence Experience STRESS

26 Application: Directing or Non-Directive
Stress, Leader’s or Subordinates group members’ ability or competency, experience, and group support of the leader ?? Non Directive Behavior Directing Behavior Stressful Situation Rely on Experience to have interpersonal skills and provide emotional support Intellectual abilities of the group Relaxed Leader Intelligent Competent Leader Intellectually demanding task Supported

27 What is House’s path-goal theory of leadership?
Path Clarification Increasing Value of work outcome Defines what follower must Do Learns followers’ needs Supports/ Increases knowledge & confidence of follower Matches Needs to Rewards if outcomes are accomplished Motivation of Followers Organizational Goals are Accomplished

28 Application: Path-Goal Theory
Directive Leadership “Provides guidance & psychological structure” Dogmatic Authoritarian Ambiguous Unclear rules Complex Supportive Leadership “Provides nurturance” Unsatisfied Need affiliation Need human touch Repetitive Unchallenging Mundane & mechanical Participative Leadership “Provides involvement” Autonomous Need for control Need for clarity Unclear Unstructured Achievement Oriented “Provides challenges” High expectations Need to excel Challenging LEADER BEHAVIOR GROUP MEMBERS TASK CHARACTERISTICS

29 What is Hersey and Blanchard’s Situational Leadership Theory (SLT)?
A contingency theory that focuses on followers’ readiness or maturity R4: Able and Willing R1: Unable and Unwilling R2: Unable but Willing R3: Able and Unwilling Follower readiness: ability and willingness Leader: decreasing need for support and supervision Supportive Participative Directive High Task and Relationship Orientations Monitoring

30 Application : Decision Making Styles Let’s talk, we’ll decide
(High) S3 - Supporting Let’s talk, we’ll decide S2 – Coaching (Selling) Let’s talk, I’ll decide Supportive Behavior S4 - Delegating You decide S1 – Directing (telling) I’ll decide (Low) (High) Directive Behavior

31 What is Leader Substitute Model?
Substitutes for leadership making a leader’s influence unnecessary Characteristics of Subordinates: Individuals’ experience, ability, motivation, knowledge and training Individuals’ professional orientation. Characteristics of the Situation: Intrinsically interesting , enjoyable , and satisfying jobsHighly structured/routine jobs. Empowerment, self –managed team

32 Applying Leader Substitute Model:
Increases organizational efficiency and effectiveness Free up some of manager’s valuable time Neutralizes Leadership: Individual indifference toward organizational rewards Low leader position power

33 Five Contingency Models:
Emphasis Contingencies Fiedler’s contingency theory 2 enduring styles Situations Effectiveness of style is contingent to situation (subordinate & work) Fiedler’s cognitive resource theory 2 alternating behaviors Stress, Leader’s or Subordinates’ competency, experience, and group support Path-Goal Situations Leader motivate followers; 4 behaviors Nature of subordinates and work task Hersey and Blanchard’s SLT 4 Behaviors 4 Readiness Stages for subordinates Leader Substitutes Model Leadership unnecessary Characteristics of subordinate and work

34 New Approaches to Leadership
Charismatic Leadership Transformational Leadership Transactional Leadership Comparisons Applications

35 Charismatic Leadership
Charisma- a spiritual power or personal quality that gives an individual influence or authority over large numbers of people. Source: Random House Unabridged Dictionary

36 Charismatic Leadership
Charismatic leaders gather followers through power of personality and charm, rather than any form of external power or authority. Charismatic Leaders use many ways to improve and manage their image It is played in a theatrical sense.

37 Charismatic Leadership
The characteristics of charismatic leaders include: High need for power. High feelings of self-efficacy. Conviction in the moral rightness of their beliefs

38 Transformational Leadership
They transform/change subordinates Aware of importance of their job Aware of their own needs for development Work for good of the org.

39 Transformational Leadership
Transformational Managers Charismatic Intellectually stimulate sub.ord Consider development

40 Transformational Leadership
Seven principles Clear & practical vision 1.Simplification Challenge & reward 2.Motivation Facilitate learning 3.Facilitation Anticipate change 4.Innovation Empower others to fulfill the vision 5.Mobilization “Leaders are learners” 6.Preparation Finish the race 7.Determination

41 Transactional Leadership
It's based on the exchange process: managers exchange wages for the work effort of the employee. Motivates the followers by appealing to their own self-interest Results in a marginal improvement in the quality and quantity of performance.

42 Transactional Leadership
It is used by most leaders to some extent, but “if the only tool in your workbox is a hammer, you will perceive every problem as a nail"

43 Comparisons Transformational Charismatic
Basic focus of transforming the organization and, their followers May be more concerned with himself more than anyone else Believe in others Believe in themselves

44 Comparisons Transformational “selling style” Transactional
“telling style” founded on the principle that leader and followers can raise each other to higher levels of motivation and morality seeks to motivate the followers by appealing to their own self-interest Collaborative and people oriented tend to be directive and action oriented.

45 Applications Charismatic Transformational Transactional
works especially in times of crisis. works if change and transformation are needed in the organization works where the organizational problems are simple, clear and technical in nature Expressive emotionally Frames holistic issues Personal Charisma Sets new Goals Promotes Learning Promotes Teamwork Shared values Existing system Accepts Org. Goals Uses extrinsic motivators

46 Applications Charismatic Transformational Transactional

47 .... Leadership: Making A Dream Come True


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