Management 010 Leadership

8/9/2019 Management 010 Leadership

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C h a

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11

C h a

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1010LeadershipLeadership


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14-2© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin

Learning ObjectivesLearning Objectives

After studying the chapter, you should be able to:

Explain what leadership is, when leaders areeffective and ineffective, and the sources of power

that enable managers to be effective leaders.

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 ObjectivesLearning Objectives

Explain how contingency models of

leadership enhance our understanding ofeffective leadership and management inorganizations.

Describe what transformational leadershipis, and explain how managers can engage

in it. Characterize the relationship between

gender leadership.


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The Nature of LeadershipThe Nature of Leadership

Leadership

The process by which a person exerts influenceover others and inspires, motivates and directstheir activities to achieve group or organizational

goals. Effective leadership increases the firm’s ability to meet

new challenges.

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 LeadershipThe Nature of Leadership

Personal Leadership Style

The specific ways in which a manager chooses toinfluence others shapes the way that manager

approaches the other tasks of management.

Leaders may delegate and support subordinates, while

others are very authoritarian.

The challenge is for managers

at all levels to develop an

effective personal management

style.


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Leadership Across CulturesLeadership Across Cultures

Leadership styles may vary among

different countries or cultures. European managers tend to be more

people-oriented than American orJapanese managers.

Japanese managers are group-oriented,

while U.S managers focuses more onprofitability.

Time horizons also are affected by cultures.


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Sources of Managerial Power Sources of Managerial Power

Figure 14.1


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Power: The Key to LeadershipPower: The Key to Leadership

Legitimate Power

The authority that a manager has by virtue of his orher position in the firm. Example: the power to hire or fire employees.

Reward Power The ability of a manager to give or withhold

tangible and intangible rewards. Example: awarding pay raises or providing verbal praise

for good performance.

Effective managers use reward power to signal to

employees that they are doing a good job.


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Coercive Power

The ability of a manager to punish others. Examples: verbal reprimand, pay cuts, and dismissal

Limited in effectiveness and application; can have serious

negative side effects.

Expert Power

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

First-line and middle managers have the most expert

power; most often consists of technical ability.


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Referent Power

Power that comes from subordinates’ andcoworkers’ respect for the personal

characteristics of a leader which earns theirloyalty and admiration.

Usually held by and available for use bylikable managers who are concerned about

their workers.


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Empowerment: An Ingredient in

Modern Management


Modern ManagementEmpowerment

The process of giving workers at all levelsmore authority to make

decisions and theresponsibility for their

outcomes.


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Modern Management


Modern Management

Empowerment helps managers: Get workers involved in the decisions.

Increase worker commitment and motivation. Have time to focus on other issues.


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Leadership ModelsLeadership Models

Trait Model

Attempted to identify personalcharacteristics that cause for effectiveleadership. Research shows that certain personal

characteristics do appear to be connected toeffective leadership.

Many “traits” are the result of skills andknowledge and effective leaders do notnecessarily possess all of these traits.


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Behavioral Model Identifies the two basic types of behavior

that many leaders engaged in to influencetheir subordinates


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Behavioral Model

Consideration: employee-centered leadershipbehavior indicating that a manager trusts,respects, and cares about subordinates

Initiating structure: job-oriented leadershipbehavior that managers engage in to ensure thatwork gets done, subordinates perform their jobs

acceptably, and the organization is efficient andeffective.

Both behaviors are independent; managers can

be high or low on both behaviors.


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Contingency Models of LeadershipContingency Models of Leadership

Fiedler’s Model

Effective leadership is contingent on both thecharacteristics of the leader and of the situation.

Leader style is the enduring, characteristic

approach to leadership that a manager uses anddoes not readily change. Relationship-oriented style: leaders concerned with

developing good relations with their subordinates and tobe liked by them.

Task-oriented style: leaders whose primary concern is toensure that subordinates perform at a high level so the job

gets done.


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Fiedler’s ModelFiedler’s Model

Situation Characteristics

How favorable a situation is for leading to occur. Leader-member relations—determines how much

workers like and trust their leader.

Task structure—the extent to which workers tasksare clear-cut; clear issues make a situationfavorable for leadership.

Position Power—the amount of legitimate, reward,and coercive power leaders have due to theirposition. When positional power is strong,

leadership opportunity becomes more favorable.


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Fiedler’s Contingency Theory of

Leadership

Fiedler’s Contingency Theory of

Leadership

Figure 14.2


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Fiedler’s Model in ApplicationFiedler’s Model in Application

Combines considerations of leader-member

relations, task structure, and position powerto identify leadership situations.

Identifies situations where given types of

managers might perform best.

Leader style is a characteristic managers cannot

change; managers will be most effective when: they are placed in situations that suit their leader style.

the situation can be changed to fit the manager’s leader

style.


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House’s Path-Goal TheoryHouse’s Path-Goal Theory

A contingency model of leadership proposing

the effective leaders can motivatesubordinates 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 expressconfidence in worker’s ability.


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Motivating with Path-GoalMotivating with Path-Goal

Path-Goal identifies four leadership behaviors:

Directive behaviors: set goals, assign tasks, showhow to do things.

Supportive behavior: look out for the worker’s best

interest.

Participative behavior: give subordinates a say in

matters that affect them. Achievement-oriented behavior: Setting very

challenging goals, believing in worker’s abilities.


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Motivating with Path-GoalMotivating with Path-Goal

Which behavior to

be used dependson the nature of

the subordinatesand the tasks.


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The Leader Substitutes ModelThe Leader Substitutes Model

Leadership Substitute

Acts in the place of a leader and makes leadershipunnecessary. Possible substitutes can be found in: Characteristics of the subordinates: their skills,

experience, motivation.

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

Worker empowerment or self-managed workteams reduce leadership needs.

Managers should be aware that they do not alwaysneed to directly exert influence over workers.


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Transformational LeadershipTransformational Leadership

Leadership that:

Makes subordinates aware of the importance oftheir jobs and performance to the organization by

providing feedback to the worker.

Makes subordinates aware of their own needs forpersonal growth and development.

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


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Being a Charismatic Leader Being a Charismatic Leader

Charismatic Leader

An enthusiastic, self-confident transformationalleader able to clearly communicate his or hervision of how good things could be by:

Being excited and clearly communicating excitement tosubordinates.

Openly sharing information with employees so thateveryone is aware of problems and the need for change.

Empowering workers to help with solutions. Engaging in the development of employees by working

hard to help them build skills.


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Intellectual StimulationIntellectual Stimulation

Behavior a leader engages in to make

followers be aware of problems andview these problems in new ways,

consistent with the leader’s vision.


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Developmental ConsiderationDevelopmental Consideration

Behavior a leader engages in to support

and encourage followers and help themdevelop and

grow on the job.


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Gender and LeadershipGender and Leadership

The number of women managers is rising but

is still relatively low in the top levels ofmanagement. Stereotypes suggest women are supportive and

concerned with interpersonal relations. Similarly,men are seen as task-focused. Research indicates that actually there is no gender-based

difference in leadership effectiveness. Women are seen to be more participative than men

because they adopt the participative approach toovercome subordinate resistance to them as managers

and they have better interpersonal skills.


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Movie Example: The PatriotMovie Example: The Patriot

How many ways does Benjamin

Martin (Gibson) show leadership?What type of leader is he?

Management 010 Leadership

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