1. Leadership in Organizational Settings
McGraw-Hill/Irwin
Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved.

2. The Leadership of Steve Jobs
During his life, Steve Jobs won numerous awards for his transformational and charismatic leadership. The co-founder of Apple, Inc. and Pixar animation Studios was equally renowned as a demanding perfectionist with less-than-ideal people skills.
During his life, Steve Jobs won numerous awards for his
transformational and charismatic leadership. The co-founder
of Apple, Inc. and Pixar animation Studios was equally
renowned as a demanding perfectionist with less-than-ideal
people skills.

3. Leadership Defined
Leadership is the ability to influence, motivate, and enable others to contribute toward the effectiveness of the organizations of which they are members
The ability to influence, motivate, and enable others to
contribute toward the effectiveness of the organizations of
which they are members

4. Shared Leadership
The view that leadership is broadly distributed, rather than assigned to one person, such that people within the team and organization lead each other.
Employees champion change, ideas, etc.
Shared leadership requirements:
Formal leaders willing to delegate power
Collaborative culture – employees support each other
Employees able to influence others
The view that leadership is broadly distributed rather than
assigned to one person, such that people within the team and
organization lead each other
• Leadership is not restricted to people in formal management
positions.
• Employees step unofficially into leadership positions when they
champion the introduction of new ideas and technologies
Shared leadership calls for:
• Formal leaders willing to delegate power and encourage
employees to take initiative and risks
• Collaborative culture – employees support each other vs.
internally competitive culture
• Employees able to influence others e.g. enthusiasm, logical
analysis, and involvement of co-workers

5. Perspectives of Leadership
Competency Perspective
Leadership
Perspectives
Implicit Leadership Perspective
Behavioral Perspective
1. Competency perspective – effective leaders possess specific
personal characteristics
2. Behavioral perspective – effective leaders engage in certain
behaviors
3. Contingency perspective – the most appropriate leadership style
depends on the situation
4. Transformational perspective – views effective leaders as agents
of change
5. Implicit leadership perspective – perceptual perspective of
leadership
Transformational Perspective
Contingency Perspective

6. Competency Perspective
Personal characteristics that lead to superior performance in a leadership role
Several competencies now identified as key influences on leadership potential and of effective leaders
Leadership Competencies
• Skills, knowledge, aptitudes, and other personal characteristics
that lead to superior performance
• Several competencies identified as key influences on
leadership potential and of effective leaders

7. Eight Leadership Competencies
Personality
Extroversion, conscientiousness (and other personality dimensions)
Self-concept
Positive self-evaluation
High self-esteem and self-efficacy
Internal locus of control
Drive
Inner motivation to pursue goals
Inquisitiveness, action-oriented
1. Personality
Strongest predictors:
• High extroversion – comfortable having an influential role
• Conscientiousness – set higher goals for themselves (and
others) and are more motivated to pursue those goals
2. Self-concept
Successful leaders have a complex, internally consistent, and
clear self-concept of themselves as a leader:
• Positive self-evaluation
• High self-esteem
• Self-efficacy
• Internal locus of control
3. Drive
• Related to high conscientiousness and positive self-concept
• Inner motivation, high need for achievement
• Inquisitiveness, action-oriented, boldness
4. Integrity
• Truthfulness and consistency of words and actions
• Related to honesty and ethical conduct
Integrity
Truthfulness
Consistency in words and actions
more

8. Eight Leadership Competencies (con’t)
Leadership Motivation
Motivation to lead others
High need for socialized power
Knowledge of the Business
Understands external environment
Aids intuitive decision making
Cognitive/ Practical intelligence
Above average cognitive ability
Able to solve real-world problems
5. Leadership motivation
• Motivated to lead others
• Strong need for socialized power – they want power as a
means to accomplish organizational objectives
6. Knowledge of the business
• Possess tacit and explicit knowledge of the business
environment in which they operate
• Aids intuitive decision making
7. Cognitive and Practical Intelligence
• Above average cognitive ability
• Superior ability to analyze complex alternatives and
opportunities
• Able to use business knowledge to solve real-world problems
8. Emotional Intelligence
• Able to perceive and express emotion, assimilate emotion in
thought, understand and reason with emotion, and regulate
emotion in themselves and others
Emotional Intelligence
Perceiving, assimilating, understanding, and regulating emotions

9. Authentic Leadership at TNT
TNT, the Netherlands-based express and mail delivery services company, relies on “honesty, authentic leadership, and truly connecting with staff” to keep the firm humanized. “What you can do as a company is emphasize that authentic leadership is key and explain what it entails” says TNT’s head of human resources.
TNT, the Netherlands-based express and mail delivery
services company, relies on “honesty, authentic leadership,
and truly connecting with staff” to keep the firm humanized.
“What you can do as a company is emphasize that authentic
leadership is key and explain what it entails” says TNT’s head
of human resources.

10. Authentic Leadership Know Yourself Engage in self- reflection
Feedback from trusted sources
Know your life story
Be Yourself
Develop your own style
Apply your values
Maintain a positive core self-evaluation
The view that effective leaders need to be aware of, feel
comfortable with, and act consistently with their values,
personality, and self-concept
• Know yourself i.e. self-awareness – engage in self-reflection;
receive feedback from trusted sources; understand inner
purpose that emerges from a life story (critical life event)
• Be yourself i.e. great leaders regulate their decisions and
behaviors – develop their own style; maintain self-discipline by
applying and remaining anchored to their values; maintain a
strong, positive core self-evaluation

11. Competency Perspective Limitations
Implies a universal approach
Alternative combinations of competencies might work just as well
Leadership is relational, not just something within the person
Competencies refer to leadership potential, not performance
1. Implies a universal approach i.e. assumes that all effective
leaders have the same personal characteristics and are equally
important in all situations
2. Alternative combinations of competencies might work just as
well i.e. two people with different sets of competencies might be
equally good leaders
3. Views leadership as within the person, however, leadership is
relational i.e. people are effective leaders because of their
favorable relationships with followers
4. Competencies indicate only leadership potential, not leadership
performance

12. Leader Behavior Perspective
Task-oriented behaviors
Assign work, clarify responsibilities
Set goals and deadlines, provide feedback
Establish work procedures, plan future work
People-oriented behaviors
Concern for employee needs
Make workplace pleasant
Recognize employee contributions
Listen to employees
Task-oriented behaviors:
• Assign employees to specific tasks, clarify responsibilities
• Set goals and deadlines, provide feedback
• Establish work procedures, plan future work
People-oriented behaviors:
• Concern for employee needs
• Make workplace pleasant
• Recognize employee contributions
• Listen to employees’ opinions and ideas

13. Leader Behavior Perspective Limitations
These categories mask subcategories of leader behavior that may be distinct
Assumes best leaders display a high level of both people-oriented and task-oriented styles
But best style seems to depend on the situation
1. People-task categories are broad generalizations that mask
specific behaviors within each category
• e.g. task-oriented leadership includes planning work activities,
clarifying roles, and monitoring operations – each of these
clusters is fairly distinct and likely has different effects on
employee performance and wellbeing
2. Assumes best leaders display a high level of both people and
task styles in all situations
• In reality, the best leadership style depends on the situation

14. Servant Leadership
Leaders serve others toward their need fulfillment, personal development, and growth
Described as selfless, egalitarian, humble, nurturing, empathetic, and ethical coaches
Three main features:
Natural calling to serve others
Maintain a humble, egalitarian, accepting relationship
Anchor decisions/actions on ethical principles
Defines leadership as serving others toward their need
fulfillment, personal development, and growth – leaders serve
followers, rather than vice versa
• Selfless, egalitarian, humble, nurturing, empathetic, ethical
coaches
Three main features of servant leaders:
• Have a natural desire or “calling” to serve others
• Maintain a relationship with others that is humble, egalitarian,
and accepting
• Anchor their decisions and actions in ethical principles and
practices

15. Anne Sweeney’s Path-Goal Leadership
Disney/ ABC executive Anne Sweeney has an uncanny ability to provide both task-oriented and people-oriented leadership.
“There's great resolve and strength there.”
“Anne draws upon her optimism and her grace in keeping her focus firmly on the future.”
“[She] asks the tough questions It trains you to anticipate it.”
“She's very concerned about the people who work for her.”
Disney/ ABC executive Anne Sweeney has an uncanny ability
to provide both task-oriented and people-oriented leadership.
• “There's great resolve and strength there.”
• “Anne draws upon her optimism and her grace in keeping her
focus firmly on the future.”
• “[She] asks the tough questions It trains you to anticipate
it.”
• “She's very concerned about the people who work for her.”

16. Path-Goal Leadership
Effective leaders provide the information, support, and other resources, and ensure that rewards are linked to good performance
Several employee and situational contingencies to determine the best leader style
• Effective leaders provide the information, support, and other
resources necessary to help employees complete their tasks
• Effective leaders ensure that rewards are linked to good
performance – good performers receive more valued rewards
that poor performers
• Relates several leadership styles to specific employee and
situational contingencies – to determine the best leader style

17. Path-Goal Leadership Styles
Directive
Provide psychological structure to jobs
Task-oriented behaviors
Supportive
Provide psychological support
People-oriented behaviors
Participative
Encourage/facilitate employee involvement
Achievement-oriented
Encourage peak performance through goal setting and positive self-fulfilling prophecy
1. Directive – clarify behaviors that provide psychological structure
• Task-oriented behaviors – leader clarifies performance goals,
the means to reach those goals, performance standards
2. Supportive – provide psychological support for employees
• People-oriented behaviors – leader is friendly, approachable,
makes the work more pleasant, treats employees with respect,
shows concern
3. Participative – encourage and facilitate employee involvement
• Leader consults with employees, asks for suggestions and
takes these ideas seriously in making decisions
4. Achievement-oriented – encourage peak performance
• Sets challenging goals, expects improvement, shows high
degree of confidence in employees
• Applies goal setting, positive self-fulfilling prophecy

18. Path-Goal Leadership Model
Employee
Contingencies
Leader Behaviors
Directive
Supportive
Participative
Achievement- oriented
Leader Effectiveness
Employee motivation
Employee satisfaction
Acceptance of leader
Effectiveness of the four styles depends on employee and
environmental contingencies
Leadership effectiveness:
• Employee motivation and satisfaction
• Acceptance of the leader
Environmental
Contingencies

19. Path-Goal Contingencies
Skill and experience
Low: directive and supportive leadership
Locus of control
Internal: participative and achievement leadership
External: directive and supportive leadership
Task structure
Nonroutine: directive and/or participative leadership
Team dynamics
Low cohesion: supportive leadership
Dysfunctional norms: directive leadership
1. Skill and experience
• Low skills and experience – use combination of directive and
supportive leadership
• Skilled/experienced – avoid directive leadership
2. Locus of control
• Internal – prefer participative and achievement-oriented
leadership
• External – more satisfied with directive and supportive
3. Task structure
• Nonroutine – adopt the directive style to minimize ambiguity;
participative style to give employees more discretion to
achieve challenging goals
• Routine – avoid directive style; may require supportive
leadership to cope with tedious tasks and lack of control
4. Team dynamics
• Low cohesion – use supportive style
• Dysfunctional norms – use directive style to counteract
• High cohesion with performance-oriented norms act as a
substitute for most leader interventions
Evaluating Path-Goal Leadership Model
• Received more research support that other contingency
leadership models
• Some contingencies e.g. task structure have limited research
support
• The model may become too complex for practical use

20. Other Contingency Leader Theories
Situational Leadership Model
Four styles: telling, selling, participating, delegating
Best style depends on follower ability/motivation
Popular model, but lacks research support
Fiedler’s Contingency Model
Leadership style is stable -- based on personality
Best style depends on situational control
Theory has problems, but uniquely points out that leaders have a preferred style, not very flexible
Situational Leadership Model (SLT)
• Four styles: Telling, Selling, Participating, Delegating –
distinguished by the amount of directive and supportive
behavior provided
• Best style depends on follower ability and motivation
(readiness)
• Developed by Hersey and Blanchard – popular theory among
practitioners, however the model lacks empirical support
Fiedler’s Contingency Model of Leadership
• Earliest contingency theory of leadership
• Leader effectiveness depends on whether the person’s natural
leadership style is appropriately matched to the situation
• Best leadership style depends on the level of situational
control i.e. degree of power and influence the leader has in a
particular position
• Limited empirical support but uniquely points out that leaders
have a preferred style; leaders not very flexible

21. Leadership Substitutes
Contingencies that limit a leader’s influence or make a particular leadership style unnecessary
e.g.: Training and experience replace task-oriented leadership
Research evidence: substitutes help, but don’t completely substitute for real leadership
Contingencies that limit a leader’s influence or make a
particular leadership style unnecessary
Examples:
• Training and experience replaces task-oriented leadership
• Cohesive team replaces supportive leadership
• Self-leadership replaces task-oriented and achievementoriented
leadership
Research evidence:
• A few substitutes replace the need for task or people-oriented
leadership, but others do not
• Leadership substitutes do not completely replace leaders in
these situations

22. Transformational, Managerial, and Transactional Leadership
Transformational leadership
Change agents – transforming the organization to fit environment
Managerial leadership
Improving employee performance and well-being in the current situation
Applies contingency leadership theories (e.g. path-goal)
Transactional leaders
Influencing followers through rewards, penalties, and negotiation
Transformational leadership
• Changing organizational strategies and culture to fit better
with the surrounding environment
• Change agents who energize and direct employees to a new
vision and corresponding behaviors
Managerial leadership
• Effective leaders improve employee performance and wellbeing
in the current situation
• Applies contingency leadership theories (e.g. path-goal)
Transactional leadership
• Influencing followers through rewards, penalties, and
negotiation
Courtesy of Microsoft

23. Transformational v. Charismatic Leaders
Some leadership models say charismatic leadership is essential for transformational leadership
Emerging view -- charisma differs from transformational leadership
Charisma is a personal trait that provides referent power
Doesn’t necessarily attempt to change the organization
Transformational leadership is a set of behaviors to bring about change
Some leadership models say charismatic leadership is
essential for transformational leadership – even suggesting
that charismatic leadership is the highest degree of
transformational leadership
Emerging view – charisma is distinct from transformational
leadership
Charisma is a personal trait that provides referent power over
followers – doesn’t necessarily change the organization (may
even result in greater focus on self-interest)
Transformational leadership is a set of behaviors that engage
followers to bring about change – builds follower
empowerment

24. Transformational Leadership Model
Build commitment to the vision
Develop a strategic vision
Elements of Transformational Leadership
Model the vision
Communicate the vision
Four elements:
• Develop a strategic vision
• Communicate the vision
• Model the vision
• Build a commitment to the vision

25. Transformational Leadership Elements
Create a strategic vision
Image of company’s attractive future
Motivates and bonds employees
Vision may originate from the leader, employees, or other stakeholders
Communicate the vision
Frame message around a grand purpose
Shared mental model of the future
Use symbols, metaphors, symbols
Develop a strategic vision
Elements of Transformational Leadership
Communicate the vision
1. Create a strategic vision
• Image of company’s realistic and attractive future
• Superordinate goal that motivates and bonds employees
• May originate from leaders, employees, or stakeholders
2. Communicate the vision
• Frame message around a grand purpose with emotional
appeal
• Create a shared mental model of the future
• Use symbols, metaphors, symbols to bring the vision to life

26. Transformational Leadership Elements (con’t)
Model the vision
Walk the talk
Symbolize/demonstrate the vision through behavior
Employees trust leader more
Build commitment to the vision
By communicating and modeling the vision
Through employee involvement in shaping the shared vision
Build commitment to the vision
Develop a strategic vision
Elements of Transformational Leadership
Model the vision
Communicate the vision
3. Model the vision
• Walk the talk i.e. enact the vision
• Symbolize and demonstrate the vision through their own
behavior
• Builds employee trust in the leader through consistency
between words and actions
4. Build commitment to the vision
• Increased through communicating and modeling the vision –
builds enthusiasm that energizes people to adopt the vision
• Increased through employee involvement in shaping the
shared vision

27. Evaluating Transformational Leadership
Transformational leadership is important
Higher employee satisfaction, performance, org citizenship, creativity
Transformational leadership limitations
Risk of circular logic
Some research defines transformational leaders by their success rather than their behavior
Universal theory
Need a contingency-oriented theory
Need to recognize cultural differences
Transformational leaders make a difference
• Employees perform their jobs better, engage in more
organizational citizenship behaviors, make better or more
creative decisions
Transformational leadership limitations:
1. Circular logic
• Some research defines and measures transformational
leadership by how well the leader inspires and engages
employees rather than by whether they engage in behaviors
that are transformational
2. Universal theory
• Need a contingency-oriented theory vs. universal
• Need to recognize differences across cultures e.g. specific
elements may be more appropriate in North America

28. Implicit Leadership Perspective
Follower perceptions of characteristics of effective leaders
Leadership prototypes
Preconceived beliefs about the features and behaviors of effective leaders.
Romance of leadership effect
Amplify effect of leaders on organizational results
Fundamental attribution error
Need for situational control
Two features: (a) leader prototypes and (b) romance of
leadership effect
1. Leadership prototypes
• Followers evaluate leader effectiveness by how closely the
leader’s features and behaviors are consistent with prototypes
of effective leaders
• Prototypes -- preconceived beliefs about the characteristics of
effective leaders (height, confidence, etc.)
• Shape the follower’s expectations and acceptance of others as
leaders
• Reason: inherent need to quickly evaluate individuals as
leaders, where actual indicators take much longer
2. Romance of leadership effect
• Followers tend to distort their perception of leader’s influence
on the environment
• Reason 1: Fundamental attribution error – leaders are given
credit or blame for the company’s success or failure
• Reason 2: Need for situational control – employees feel better
believing that leaders make a difference so they look for this
evidence

29. Leading with Ubuntu Values
Barloworld Logistics CEO Isaac Shongwe is keen to imprint Africa’s unique ubuntu value throughout the company’s operations in 26 countries. Ubuntu is the notion of that each of us is a person through others. Thus, ubuntu calls for leadership that emphasizes mutual respect, tolerance, and forgiveness.
Barloworld Logistics CEO Isaac Shongwe is keen to imprint
Africa’s unique ubuntu value throughout the company’s
operations in 26 countries. Ubuntu is the notion of that each
of us is a person through others. Thus, ubuntu calls for
leadership that emphasizes mutual respect, tolerance, and
forgiveness.

30. Cultural Issues in Leadership
Societal cultural values and practices affect leaders:
Shape leader’s values/norms
Influence decisions and actions
Shape follower prototype of effective leaders
Some leadership styles are universal, others differ across cultures
“Charismatic visionary” seems to be universal
Participative leadership works better in some cultures than others
Societal cultural values and practices affect leaders:
• Shape leader’s values/norms – also shapes expectations of
followers
• Influence decisions and actions – an executive who acts
inconsistently with cultural expectations is more likely to be
perceived as ineffective
• Shape follower prototype of effective leaders
Some leadership styles are universal, others differ across
cultures:
• “Charismatic visionary” is universally recognized
• Participative leadership is perceived as characteristic of
effective leadership in low power distance cultures but less so
in high power distance cultures

31. Gender Issues in Leadership
Male and female leaders have similar task- and people-oriented leadership
Participative leadership style is used more often by female leaders
Evaluating female leaders
Still receive negative evaluations as leader due to prototypes and gender stereotypes
But evidence that they are good at emerging leadership styles (coaching, teamwork)
• Male and female leaders have similar task- and peopleoriented
leadership – explanation is that real-world jobs
require similar behavior from male and female job incumbents
• Women adopt a participative leadership more readily than
male leaders
Evaluating Female Leaders
• Women are evaluated negatively when they try to apply the
full range of leadership styles e.g. directive and autocratic –
face limitations of leadership through gender stereotypes and
prototypes of leaders that are held by followers
• Women rated more favorably than men on emerging
leadership qualities of coaching and teamwork

32. Leadership in Organizational Settings