1. Leadership Traits and Styles
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2. Leadership What is leadership? Is leadership the same as management?
The process of influencing employees to work toward the achievement of organizational objectives.
Is leadership the same as management?
No. Leadership is a functional activity incorporated within the broader scope of management activities. It is part of planning, leading, organizing and controlling.
There are managers who are not leaders and there are leaders who are not managers. Managers lacking the ability to influence others are not true leaders.
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3. Let’s go to the Big Apple….American Express
65,000 employees
CEO-Ken Chenault-worked his way up the ladder over 20 years
Ken is one of few African American CEOs of a Fortune 500 company
Tough but fair manager who gets results
Became CEO just 9 months before 9/11
11 employees were killed, thousands of customers were stranded, headquarters had to close
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4. Leadership Trait Theory
Leadership Trait Theorists
Attempt to determine a list of distinctive characteristics that account for leadership effectiveness.
But in over 70 years and 300 trait studies, they weren’t able to identify a universal set of traits that all leaders possess.
The Ghiselli Study (1971)
Edwin Ghiselli studied over 300 managers from 90 different businesses in the US
He concluded that certain traits are important to effective leadership:
(in this order)….
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5. Ghiselli’s 6 Traits of Effective Leadership-
Supervisory ability- getting the job done through others
Need for occupational achievement- seeking responsibility and wanting to work hard
Intelligence- good judgment/sound reasoning
Decisiveness- solve problems, make decisions competently
Self-assurance- viewing oneself as capable and behaving likewise
Initiative-being a self starter
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6. What are some of Ken Chenault’s Leaderships Traits?
Supervisory ability-he gets subordinates to perform according to his expectations
Changed a poorly performing merchandise unit into a profitable one early in his career
Has a strong need for occupational advancement-
Also has intelligence, decisiveness and takes initiative
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7. Behavioral Leadership Theories
Behavioral Leadership Theorists
Who were they? Early researchers who attempted to identify the “best leadership style” for all situations.
Attempted to determine distinctive styles used by effective leaders.
Focused on the leaders’ behaviors
Also focused on the relationship between leaders and followers.
What are the 3 parts of leadership style?
The combination of traits, skills, and behaviors managers use in interacting with employees.
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8. What Would You Do? Do the self assessment on pg. 320
Remember your score as we discuss leadership styles.
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9. 3 Basic Leadership Styles
Autocratic Leader
One who makes all the decisions, tells employees what to do, and closely supervises employees.
Considered a Theory X-type leader.
Democratic Leader
One who encourages employee participation in decisions, works with employees to determine what to do, and does not closely supervise employees.
Considered a Theory Y-type leader.
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10. 3 Basic Leadership Styles (cont’d)
Laissez-Faire Leader
One who takes a leave-employees-alone approach, allowing them to make the decisions and decide what to do, and does not follow up.
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11. Two-Dimensional Leadership Styles
Based on job structure and employee consideration, which result in four possible leadership styles.
The Ohio State University (1945)
1) Structuring (geared around the job)
The extent to which the leader takes charge to plan, organize, lead, and control as the employee performs the task.
2) Consideration (geared around the employee)
The extent to which the leader communicates to develop trust, friendship, support, and respect.
University of Michigan (1945)
3) Job-centered
Similar to structuring. (above)
4) Employee-centered
Similar to consideration (above)
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12. Exhibit 9–1 ● The Ohio State University and University of Michigan Two-Dimensional Leadership Styles
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13. The Leadership Grid® The Leadership Grid® (5 Leadership Styles)
Believes that the ideal style incorporates a high concern for both the job (or production) and the employee.
Leadership Styles (5)
Impoverished management style (1, 1)-leader does the minimum required to remain employed
Authority-compliance management style (9, 1)-leader treats people like machines
Country-club management style (1, 9)-leader makes a friendly atmosphere but doesn’t care about production
Middle-of-the-road management style (5, 5)-medium concern for people and job but gets minimal satisfactory performance
Team management style (9, 9)-strives for maximum performance and maximum employee satisfaction
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14. The Leadership Grid® (Blake and McCanse)
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16. What Leadership Style does Ken Chernault use?
Team management (most often)
But sometimes like just after 9/11 he used the country club style because he showed a higher concern for the emotional and safety needs of employees while placing production on the back burner
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17. What Kind of Boss Do You Have?
Each site should be a group.
Each student at each site should take turns thinking of a present or past boss they had. Which of the 5 major leadership styles did he or she use most often? (impoverished, authority-complianance, country club, middle of the road, or team management). Describe your boss’s behavior to the rest of the group and which style you think he or she used.
Students should explain why they agree or disagree with the other students’ findings.
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18. Contemporary Perspectives (5)
Charismatic Leadership
A leadership style that inspires loyalty, enthusiasm, and high levels of performance.
Most appropriate for top management.
Transformational Leadership
A leadership style that brings about continuous learning, innovation, and change.
Transactional Leadership
A leadership style based on exchange. “You do this for me and I’ll give this reward to you.”
Useful for middle or first line management
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19. Contemporary Perspectives (cont’d)
Symbolic Leadership
A leadership style based on establishing and maintaining a strong organizational culture.
Employees learn by example.
Should start at the top and flow down.
Servant Leadership
A leadership style based on simultaneously meeting the needs and goals of employees and the goals of the organization.
Focuses on motivating employees by meeting their higher-level needs.
Motivates employees to go beyond role requirements and do what it takes to attain the goals of the organization.
Can be used at any level of management.
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20. Is Ken Chenault a Charismatic Leader. What about Transformational
Is Ken Chenault a Charismatic Leader? What about Transformational? A Servant Leader? Symbolic?
He’s all of the above!
Charismatic-”When you work with Ken Chenault, you feel you’ll do anything for him.”
Transformational-He had the courage to challenge the old culture at American Express and change it.
Symbolic leader during the 9/11 crisis
Servant leader-Two weeks after 9/11 he gathered the employees together for a “town hall meeting” and personally comforted grief-sticken employees. Also pledged $1 million of profits to the families of American Express victims. He said “You represent American Express. All the people of American Express are what this company is all about. In fact, you are my strength and I love you.”
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21. Situational Approaches to Leadership (6)
Up until the 1960s, they were trying to find the best leadership style for all situations but no single style is best for all situations.
Situational Leadership Theorists (1960s)
Attempted to determine the appropriate leadership style for various situations.
1-Contingency leadership model
2-Leadership continuum model
3-Path-goal model
4-Normative leadership theory
5-Situational Leadership® model
6-Leadership substitutes and neutralizers
“Should the leader change his/her style or should the situation be changed to fit the leader’s style?”
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22. Contingency Leadership Model
(1)Contingency Leadership Model (Fiedler)
Used to determine if one’s leadership style is task- or relationship-oriented and if the situation matches the leader’s style.
Leadership style
The Least Preferred Coworker (LPC) scale measures a leader’s task (job) or relationship (employee) orientation.
Situational favorableness
Leader-follower relations (good or poor?)
Task structure (structured or unstructured?)
Position power (strong or weak?)
Criticism: If the style doesn’t work, sometimes it’s very hard to change the situation.
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23. Exhibit 9–2 ● Contingency Leadership Model
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25. Is McDonald’s company task oriented or relationship oriented?
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26. Leadership Continuum Model
(2)Leadership Continuum Model (Tannenbaum and Schmidt)
Used to determine which of seven styles of leadership, on a continuum from autocratic (boss-centered) to participative (employee-centered), is best for a given situation.
Focuses on who makes the decisions
Factors determining selection of style:
The leader’s preferred style
The subordinates’ preferred style for the leader
The situation
Organization’s size, structure, climate, goals, technology, and higher-level management leadership style and the time available
Criticism: The 3 factors above can be subjective, so determining which style to use in a given situation can be difficult.
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27. Does Ken Chenault ever change his leadership style?
Yes! To focus on tasks or relationships.
Immediately after hearing that the World Trade Center had collapsed, he used the autocratic style to make the decision to evacuate the American Express building across the street and to hire private planes to transport stranded American Express customers.
But the style he uses most often is participative.
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28. Exhibit 9–3 ● The Leadership Continuum
Source: Adapted from Robert Tannenbaum and Warren Schmidt, “How to Choose a Leadership Pattern,” Harvard Business Review (May/June, 1973).
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30. (3)Path-Goal Model Path-Goal Model (House)
Used to determine employee objectives and to clarify how to achieve them using one of four leadership styles.
Considers subordinates’ situational factors and environmental factors in determining a leadership style.
Leadership styles:
Directive
The leader provides high structure.
Supportive
The leader provides high consideration.(develops trust and respect)
Participative
The leader considers employee input when making decisions.
Achievement-oriented
The leader sets difficult but achievable goals, expects subordinates to perform at their highest level, and rewards them for doing so
Criticism: hard to know which style to use in a given situation.
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31. Exhibit 9–4 ● A Summary of Path-Goal Factors and Styles
Situational Factors
Subordinate authoritarianism locus of control ability
Environmental task structure formal authority work group
Leadership Styles
Directive
Supportive
Participative
Achievement-oriented
Goal Achievement
Performance
Satisfaction
determine
that affect
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32. (4)Normative Leadership Model
Normative Leadership Model (Vroom and Jago)
A decision tree that enables the user to select one of five leadership styles appropriate for a situation.
Determination of leadership style is based on two factors:
The importance of individual versus group decisions (input and participation).
The importance of time-driven versus development-driven decisions (time-pressure and quality of decision).
Criticism: cumbersome to select from 4 types of decisions and an 8 question decision tree every time you need to choose a style.
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33. (5)Situational Leadership® Model
Situational Leadership® Model (Hersey and Blanchard)
Used to select one of four leadership styles that match the employees’ maturity level in a given situation.
(Maturity level doesn’t mean how grown up an employee is but rather how competent, commited and ready to do the job he is.)
Telling
Giving employees explicit directions about how to accomplish a task.
Selling
Explaining decisions to gain understanding.
Participating
Facilitating decision making among subordinates.
Delegating
Giving employees responsibility for their decisions and their implementation.
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35. Exhibit 9–5 ● A Comparison of Behavioral and Situational Leadership Models
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36. (6)Leadership Substitutes Theory
Can the leader be replaced by something?
Characteristics of the task, of subordinates, or of the organization can replace the need for a leader.
Subordinates—ability, knowledge, experience, training; need for independence, professional orientation; indifference toward organizational rewards
Task—clarity, routineness, invariant methodology; provision of feedback concerning accomplishment and of intrinsic satisfaction
Organization—formality; inflexibility; very specific advisory and staff functions; closely knit, cohesive work groups; rewards outside of the leader’s control; physical distance between superior and subordinates
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