1. Chapter 11 Leadership and Trust
PowerPoint Presentation by Charlie Cook
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2. Managers Versus Leaders
“Not all leaders are managers, nor are all managers leaders.”
Managers
Persons whose influence on others is limited to the appointed managerial authority of their positions to reward and punish.
Leaders
Persons with managerial and personal power who can influence others to perform actions beyond those that could be dictated by those persons’ formal (position) authority alone.
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3. Behavioral Theories Of Leadership
Theories that attempt to isolate behaviors that differentiate effective leaders from ineffective leaders
Behavioral studies focus on identifying critical behavioral determinants of leadership that, in turn, could be used to train people to become leaders.
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4. Leadership Behaviors or Styles
Autocratic style of leadership
A leader who centralizes authority, dictates work methods, makes unilateral decisions, and limits employee participation.
Democratic style of leadership
A leader who involves employees in decision making, delegates authority, encourages participation in deciding work methods and goals, and uses feedback to coach employees.
A democratic-consultative leader seeks input and hears the concerns and issues of employees but makes the final decision him or herself.
A democratic-participative leader often allows employees to have a say in what’s decided.
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5. Leadership Behaviors or Styles (cont’d)
Laissez-faire style of leadership
A leader who gives employees complete freedom to make decisions and to decide on work methods
Conclusions about leadership styles
The laissez-faire leadership style is ineffective.
Quantity of work is equal under authoritarian and democratic leadership styles
Quality of work and satisfaction is higher under democratic leadership.
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6. Continuum of Leader Behavior
Source: Adapted and reprinted by permission of the Harvard Business Review. An Exhibit from “How to Choose a Leadership Pattern” by R. Tannenbaum and W. Schmidt, May-June Copyright © 1973 by the President and Fellows and Harvard College; all rights reserved.
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EXHIBIT 11.2

7. The Ohio State Studies
Studies that sought to identify independent dimensions of leader behavior
Initiating structure
The extent to which a leader defines and structures his or her role and the roles of employees to attain goals
Consideration
The extent to which a leader has job relationships characterized by mutual trust, respect for employees’ ideas, and regard for their feelings
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8. The University Of Michigan Studies
Studies that sought to identify the behavioral characteristics of leaders related to performance effectiveness
Employee oriented
A leader who emphasizes interpersonal relations, takes a personal interest in the needs of employees, and accepts individual differences.
Production oriented
A leader who emphasizes technical or task aspects of a job, is concerned mainly with accomplishing tasks, and regards group members as a means to accomplishing goals.
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9. The Managerial Grid
A two-dimensional view of leadership style that is based on concern for people versus concern for production
Source: Adapted and reprinted by permission of the Harvard Business Review. An Exhibition from “Breakthrough in Organization Development” by R. R. Blake, J. A. Mouton, L. B. Barnes,and L. E. Greiner November-December 1964, p.136. Copyright © 1964 by the President and Fellows of Harvard College; all rights reserved.
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EXHIBIT 11.3

10. Contingency Theories Of Leadership
Fiedler contingency leadership model
The theory that effective group performance depends on the proper match between the leader’s style of interacting with employees and the degree to which the situation gives control and influence to the leader
Uses Least-preferred co-worker (LPC) questionnaire, to measure the leader’s task or relationship orientation.
Identified three situational criteria—leader member relations, task structure, and position power—that could be manipulated match an inflexible leadership style.
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11. The Findings of the Fiedler Model
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EXHIBIT 11.4

12. Path-Goal Theory Path-goal theory
The theory that it is a leader’s job to assist followers in attaining their goals and to provide the necessary direction and support
A leader’s motivational behavior:
Makes employee need satisfaction contingent on effective performance.
Provides the coaching, guidance, support, and rewards that are necessary for effective performance.
Assumes that the leader’s style is flexible and can be changed to adapt to the situation at hand.
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13. Path-Goal Leadership Behaviors
Directive leader
Lets employees know what is expected of them, schedules work to be done, and gives specific guidance as to how to accomplish tasks.
Supportive leader
Is friendly and shows concern for the needs of employees.
Participative leader
Consults with employees and uses their suggestions before making a decision.
Achievement-oriented leader
Sets challenging goals and expects employees to perform at their highest levels.
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14. Path-Goal Theory EXHIBIT 11.5
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EXHIBIT 11.5

15. Other Contingency Leadership Models
Leader-participation model (Vroom, Yetton and Jago)
Provided a sequential set of rules for determining the form and amount of participation a leader should exercise in decision making according to different types of situations.
The model was a decision tree incorporating seven contingencies (whose relevance could be identified by making yes or no choices) and five alternative leader ship styles.
Assumed an adaptable leadership style.
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16. Contingency Variables in the Revised Leader-Participation Model
QR: Quality Requirement
CR: Commitment Requirement
LI: Leader Information
ST: Problem Structure
CP: Commitment Probability
GC: Goal Congruence
CO: Employee Conflict
SI: Employee Information
TC: Time Constraint
GD: Geographical Dispersion
MT: Motivation Time
MD: Motivation-Development
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EXHIBIT 11.6

17. Situational Leadership
Situational leadership theory (SLT)
Leaders should adjust their leadership styles—telling, selling, participating, and delegating—in accordance with the readiness of their followers.
Acceptance: Leader effectiveness reflects the reality that it is the followers who accept or reject the leader.
Readiness: a follower’s ability and willingness to perform.
At higher levels of readiness, leaders respond by reducing control over and involvement with employees.
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18. Emerging Approaches To Leadership
Charismatic leadership theory
Followers make attributions of heroic or extraordinary leadership abilities when they observe certain behaviors
People working for charismatic leaders are motivated to exert extra work effort and, because they like and respect their leaders, express greater satisfaction.
Charisma leadership appears to be most appropriate when the followers’ task has a ideological component or when the environment involves a high degree of stress and uncertainty.
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19. Charismatic Leadership
A charismatic leader influences followers by:
Stating a vision that provides a sense of community by linking the present with a better future.
Communicating high expectations and expressing confidence that followers can attain them.
Conveying, through words and actions, a new set of values, and by his or her behavior setting an example for followers to imitate.
Making self-sacrifices and engaging in unconventional behavior to demonstrate courage and convictions about the vision.
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20. Key Characteristics of Charismatic Leaders
Self-confidence
Vision
Ability to articulate the vision
Strong convictions
Behavior that is out of the ordinary
Appearance
Environmental sensitivity
Source: Based on J. A. Conger and R. N. Kanungo, “Behavioral Dimensions of Charismatic Leadership,” in J. A Conger and R. N. Kanungo, Charismatic Leadership (San Francisco; Jossey-bass, 1988), p.91.
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EXHIBIT 11.8

21. Visionary Leadership
“A vision should create enthusiasm, bringing energy and commitment to the organization.”
The key properties of a vision are inspirational possibilities that are value centered, realizable, and have superior imagery and articulation.
Visionary leadership
The ability to create and articulate a realistic, credible, attractive vision of the future that grows out of and improves upon the present
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22. Skills of Visionary Leaders
The ability to explain the vision to others.
Make the vision clear in terms of required actions and aims through clear oral and written communication.
The ability to express the vision not just verbally but through the leader’s behavior.
Behaving in ways that continually convey and reinforce the vision.
The ability to extend the vision to different leadership contexts.
Sequencing activities so the vision can be applied in a variety of situations
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23. Transactional Leaders versus Transformational Leaders
Leaders who guide or motivate their followers toward established goals by clarifying role and task requirements.
Transformational leaders
Leaders who inspire followers to transcend their own self-interests for the good of the organization and are capable of having a profound and extraordinary effect on followers.
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24. The Challenge of Team Leadership
Becoming an effective team leader requires:
Learning to share information.
Developing the ability to trust others.
Learning to give up authority.
Knowing when to leave their teams alone and when to intercede.
New roles that team leaders take on
Managing the team’s external boundary
Facilitating the team process
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25. Team Leader Roles EXHIBIT 11.9
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EXHIBIT 11.9

26. Substitutes for Leadership
Employee characteristics
Experience
Training
Professional orientation
Indifference toward organizational regards
Job characteristics
Unambiguous
Routine
Intrinsically satisfying
Organizational characteristics
Explicit formalized goals
Rigid rules and procedures
Cohesive work groups
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27. Five Dimensions of Trust
Integrity
Honesty and truthfulness
Competence
Technical and interpersonal knowledge and skills
Consistency
Reliability, predictability, and good judgment
Loyalty
Willingness to protect and save face for a person
Openness
Willingness to share ideas and information freely
Source: Adapted and reproduced with permission of publisher from: J. K. Butler Jr., and R. S. Cantrell, “A Behavioral Decision Theory Approach to Modeling Dyadic Trust in Superiors and Subordinates.”
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EXHIBIT 11.10

28. The end Types Of Trust Deterrence-based trust Knowledge-based trust
Trust based on fear of reprisal if the trust is violated
Knowledge-based trust
Trust based on the behavioral predictability that comes from a history of interaction
Identification-based trust
Trust based on an emotional connection between the parties
The end
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