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Leaders and Leadership

Chapter Ten

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Learning Objectives

LO10-1 Explain what leadership is, when leaders are effective and ineffective, and the sources of power that enable managers to be effective leaders.

LO10-2 Identify the traits that show the strongest relationship to leadership, the behaviors leaders engage in, and the limitations of the

trait and behavioral models of leadership

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Learning Objectives (cont.)

LO10-3 Explain how contingency models of leadership enhance our understanding of effective leadership and management in organizations

LO10-4 Describe what transformational leadership is, and explain how managers can engage in it

LO10-5 Characterize the relationship between gender and leadership and explain how emotional intelligence may contribute to leadership effectiveness.

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The Nature of Leadership

Leadership

The process by which a person exerts influence over other people and inspires, motivates and directs their activities to help achieve group or organizational goals

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The Nature of Leadership

Leader

An individual who is able to exert influence over other people to help achieve group or organizational goals

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The Nature of Leadership

Personal Leadership Style

The specific ways in which a manager chooses to influence others shapes the way that manager approaches the other tasks of management.

The challenge is for managers at all levels to develop an effective personal management style

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The Nature of Leadership

Servant leaders

leader who has a strong desire to serve and work for the benefit of others

shares power with followers

strives to ensure that followers’ most important needs are met

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Discussion Question

What culture has the most effective leadership style?

A. Japanese

B. European

C. United States

D. Middle Eastern

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Leadership Across Cultures

Leadership styles may vary among different countries or cultures

European managers tend to be more people-oriented than American or Japanese managers

Japanese managers are group-oriented, while U.S managers focuses more on profitability

Time horizons also are affected by cultures

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Sources of Managerial Power

Figure 10.1

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Question?

What type of power is the ability of a manager to give or withhold tangible and intangible rewards?

A. Reward

B. Coercive

C. Expert

D. Legitimate

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Power: The Key to Leadership

Legitimate Power

The authority that a manager has by virtue of his or her position in an organizational hierarchy

Reward Power

The ability of a manager to give or withhold tangible and intangible rewards

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Power: The Key to Leadership

Coercive Power

The ability of a manager to punish others

Expert Power

Power that is based on special knowledge, skills, and expertise that a leader possesses

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Power: The Key to Leadership

Referent Power

Power that comes from subordinates’ and coworkers’ respect, admiration, and loyalty.

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Empowerment: An Ingredient in Modern Management

Empowerment

the process of giving employees at all levels the authority to make decisions, be responsible for their outcomes, improve quality, and cut costs

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Empowerment: An Ingredient in Modern Management

Empowerment:

Increases a manager’s ability to get things done

Increases workers’ involvement, motivation, and commitment

Gives managers more time to concentrate on their pressing concerns

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Leadership Models

Trait Model

Focused on identifying personal characteristics that cause effective leadership.

Many “traits” are the result of skills and knowledge and effective leaders do not necessarily possess all of these traits.

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Question?

Which leadership model identifies the two basic types of behavior that many leaders engaged in to influence their subordinates?

A. Fiedler

B. Path-Goal

C. Behavioral

D. Trait

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The Behavior Model

Behavioral Model

Identifies the two basic types of behavior that many leaders engaged in to influence their subordinates

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The Behavior Model

Consideration

behavior indicating that a manager trusts, respects, and cares about subordinates

Initiating structure

behavior that managers engage in to ensure that work gets done, subordinates perform their jobs acceptably, and the organization is efficient and effective

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Contingency Models of Leadership

Contingency Models

Whether or not a manager is an effective leader is the result of the interplay between what the manager is like, what he does, and the situation in which leadership takes place

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Contingency Models of Leadership

Fiedler’s Model

Personal characteristics can influence leader effectiveness

Leader style is the manager’s characteristic approach to leadership

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Contingency Models of Leadership

Relationship-oriented style

leaders concerned with developing good relations with their subordinates and to be liked by them.

Task-oriented style

leaders whose primary concern is to ensure that subordinates perform at a high level and focus on task accomplishment

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Fiedler’s Model

Leader–member relations

The extent to which followers like, trust, and are loyal to their leader; a determinant of how favorable a situation is for leading.

Task structure

the extent to which workers tasks are clear-cut so that a leader’s subordinates know what needs to be accomplished and how to go about doing it

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Fiedler’s Model

Position Power the amount of legitimate, reward, and coercive power

leaders have by virtue of their position

Leadership situations are more favorable for leading when position power is strong.

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Fiedler’s Contingency Theory of Leadership

Figure 10.2

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House’s Path-Goal Theory

A contingency model of leadership proposing the effective leaders can motivate subordinates by:

1.Clearly identifying the outcomes workers are trying to obtain from their jobs.

2.Rewarding workers for high-performance and goal attainment with the outcomes they desire

3.Clarifying the paths to the attainment of the goals, remove obstacles to performance, and express confidence in worker’s ability.

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House’s Path-Goal Theory

Directive behaviors

setting goals, assigning tasks, showing subordinates how to complete tasks, and taking concrete steps to improve performance

Supportive behavior

expressing concern for subordinates and looking out for their best interests

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House’s Path-Goal Theory

Participative behavior

giving subordinates a say in matters that affect them

Achievement-oriented behavior

Setting very challenging goals, believing in worker’s abilities

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The Leader Substitutes Model

Leadership Substitute

A characteristic of a subordinate or characteristic of a situation or context that acts in place of the influence of a leader and makes leadership unnecessary

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The Leader Substitutes Model

Possible substitutes can be found in:

Characteristics of the subordinates: their skills, experience, motivation.

Characteristics of context: the extent to which work is interesting and fun.

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Transformational Leadership

Transformational leadership

Makes subordinates aware of the importance of their jobs and performance to the organization by providing feedback to the worker

Makes subordinates aware of their own needs for personal growth and development

Motivates workers to work for the good of the organization, not just themselves

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Being a Charismatic Leader

Charismatic Leader

An enthusiastic, self-confident transformational leader who is able to clearly communicate his or her vision of how good things could be

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Stimulating Subordinates Intellectually

Intellectual Stimulation

Behavior a leader engages in to make followers be aware of problems and view these problems in new ways, consistent with the leader’s vision

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Engaging in Developmental Consideration

Developmental Consideration

Behavior a leader engages in to support and encourage followers and help them develop and grow on the job

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Transactional Leadership

Transactional Leaders

Leaders that motivate subordinates by rewarding them for high performance and reprimanding them for low performance

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Gender and Leadership

The number of women managers is rising but is still relatively low in the top levels of management.

Stereotypes suggest women are supportive and concerned with interpersonal relations.

Men are stereotypically viewed as being directive and focused on task accomplishment.

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Emotional Intelligence and Leadership

The Moods of Leaders:

Groups whose leaders experienced positive moods had better coordination

Groups whose leaders experienced negative moods exerted more effort

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Emotional Intelligence and Leadership

Emotional Intelligence

Helps leaders develop a vision for their firm

Helps motivate subordinates to commit to the vision

Energizes subordinates to work to achieve the vision

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Video: Japan CEO

Why does the CEO of Japan Airlines take a bus to work?

What style of leadership does, CEO Naruka Nishimatsu, exhibit to his employees?