1. MANAGEMENT
RICHARD L. DAFT

2. Leadership
CHAPTER 16

3. Learning Outcomes
Define leadership and explain its importance for organizations.
Describe how leadership is changing in today’s organizations.
Identify personal characteristics associated with effective leaders.
Define task-oriented behavior and people-oriented behavior and explain how these categories are used to evaluate and adapt leadership style.
Describe Hershey and Blanchard's situational theory and its application to subordinate participation.
Discuss how leadership fits the organizational situation and how organizational characteristics can substitute for leadership behaviors.
Describe transformational leadership and when it should be used.
Explain how followership is related to effective leadership.
Identify sources of leader power and the tactics leaders use to influence others.
Explain servant leadership and moral leadership and their importance in contemporary organizations.
Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.

4. What’s Your Personal Style?
Some of the most attitudes and behaviors in an organization are those of its leaders
There are many variations to leadership
Ideas about leadership change over time
Leadership depends on organization and situation
Leadership is one of the most widely researched and discussed topics
Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.

5. The Nature of Leadership
An organization is only as good as its leadership
There are three key variables to leadership:
People
Influence
Goals
Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.

6. Contemporary Leadership
Leadership evolves with time…
Level 5 Leadership
Defined in book Good to Great
Complete lack of ego
Focus on organization & results
Interactive Leadership
Minimizing personal ambition and developing others
Favors consensual and collaborative processes
Grew from observation of male vs. female leaders
Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.

7. The Level 5 Leadership Hierarchy
Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.

8. From Management to Leadership
Good management is essential
Leadership is required
Distinct qualities
Leadership cannot replace management, it should be in addition to management
Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.

9. Personal Characteristics of Leaders
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10. Behavioral Approaches to Leadership
Ohio State Studies
Consideration: people-oriented behavior
Initiating structure: task-behavior that directs work activities
Michigan Studies
Employee-centered leaders: focused on subordinates human needs
Job-centered leaders: meeting schedules, keeping costs low and achieving productivity
The Leadership Grid
Built on both Ohio State and Michigan Studies
Two-dimensional grid w/ five major management styles
Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.

11. The Leadership Grid
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12. Contingency Approaches
Hersey and Blanchard’s Situational Theory
Characteristics of followers and determining appropriate leadership behavior
Adopt one of four leadership styles
Fiedler’s Contingency Theory
Apply leader’s style to organizational situation
Is situation favorable on unfavorable to the leader’s style
Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.

13. Situational Theory: Hersey & Blanchard
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14. How Leader Style Fits the Situation
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15. Substitutes and Neutralizers for Leadership
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16. Charismatic Leadership
Leadership can inspire and motivate people
Charismatic Leaders
Lofty visions
Ability to understand and empathize
Empowering and trusting subordinates
Charismatic leaders are less predictable and create an environment of change
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17. Transformational vs. Transactional Leadership
Transformational leaders drive innovation and change
Recognize needs of followers
Inspire others to believe in themselves
Different than transactional leadership
Initiate structure, provide rewards
Excel in management functions
Transformational leaders have positive impact on followers
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18. Followership Leaders can develop understanding of followers
Leaders can develop understanding of followers
Good followers have leadership traits
Effective followers are independent, critical thinkers
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19. Power and influence are not the same.
Power and influence are not the same.
Position Power
Legitimate Power: formal position
Reward Power: authority to reward others
Coercive Power: authority to punish or recommend
Personal Power
Expert Power: knowledge and skills
Referent Power: personal characteristics
Other Source of Power
Personal Effort: initiative
Network of Relationships: cultivated people resources
Information: access to information
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20. Interpersonal Influence Tactics
Use rational persuasion
Make people like you
Rely on the rule of reciprocity
Develop allies
Ask for what you want
Make use of higher authority
Reward the behaviors you want
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21. Leadership as Servant Servant Leadership Servant Leadership
Servant Leadership
Servant Leadership
Leaders who transcend self-interest to serve others in the organization
Servant leaders give away their power, information, ideas, recognition
Moral Leadership
Business is about values, not just economic performance
Focus on right from wrong and choosing to do the right thing
Moral Leadership
Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.