Pamela S. Lewis Stephen H. Goodman Patricia M. Fandt Slides Prepared by Zulema Seguel © Copyright...

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Pamela S. Lewis Stephen H. Goodman Patricia M. Fandt ght ©2004 by South-Western, a division of Thomson Learning. ts reserved. C H A P T E R 1 3 Leading in a Dynamic Environment

Transcript of Pamela S. Lewis Stephen H. Goodman Patricia M. Fandt Slides Prepared by Zulema Seguel © Copyright...

Page 1: Pamela S. Lewis Stephen H. Goodman Patricia M. Fandt Slides Prepared by Zulema Seguel © Copyright ©2004 by South-Western, a division of Thomson Learning.

Pamela S. LewisStephen H. Goodman

Patricia M. Fandt

Slides Prepared byZulema Seguel© Copyright ©2004 by South-Western, a division of Thomson Learning.

All rights reserved.

CH

AP

TE

R 13Leading in a

Dynamic Environment

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Learning Objectives slide 1 of 2

1. Define leadership and explain its significance to an organization.

2. Differentiate between the different leader-centered approaches to leadership.

3. Describe the various types of power leaders use.

4. Explain what is meant by self-leadership and why it is important to the organization.

5. Characterize how leadership substitutes work.

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Learning Objectives slide 2 of 2

6. Identify and define the variables in the situational leadership model.

7. Clarify how empowerment can increase the power and autonomy of organizational members.

8. Explain transformational leadership.

9. Discuss the changing role of women as leaders.

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The Significance of Leadership

• Leadership is a social influence process.

• Leadership isn’t a position, title, or privilege, it is a responsibility and a process.

• Leadership is an observable, understandable, learnable set of skills and practices available to everyone, anywhere in the organization.

• Leadership is the indirect ability to influence people by inspiring them to pursue goals for the benefit of the organization.

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• Leadership involves:

– Creating a vision of the future.

– Devising strategy for achieve that vision.

– Communicating the vision so that everyone understands and believes in it.

Leadership and Vision

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Leader-Centered Approaches

• Leader-centered approaches focus on traits, leader behaviors, and power.

• They include:

– Trait focus

– Behavior focus

– Power focus

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Trait Focus Approach

• The trait focus approach assumes that some people are endowed with certain characteristics making them effective leaders.

– Physical characteristics (such as height and appearance)

– Personality (such as self-esteem, dominance and emotional stability)

– Aptitudes (general intelligence, verbal fluency and creativity)

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Traits of Successful Leaders

• Drive– Achievement, sense of responsibility, ambition,

energy, tenacity and initiative.

• Motivation– Especially power.

• Honesty and integrity

• Self confidence– Persuasive, diplomatic and socially skilled.

• Conceptual ability

• Business knowledge

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• Leader-centered approaches focus on traits, leader behaviors, and power.

• They include:

– Trait focus

– Behavior focus

– Power focus

Leader-Centered Approaches

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Behavior Focus

• Examines what effective leaders do rather than what effective leaders are.

• Behavioral models define a leader’s effectiveness based on two orientations:

– Task orientation: Setting performance goals, planning and scheduling work, coordinating activities, giving directions, setting standards, providing resources, and supervising performance.

– Relations orientation: Behavior that shows empathy for concerns and feelings, supportive of needs, showing trust, and similar attributes.

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Leadership Behaviors

• Effective leaders use a range of behaviors.

• These behaviors can be learned.

• An important characteristic of effective leaders is their ability change and adapt to organizational settings in which they manage.

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• Leader-centered approaches focus on traits, leader behaviors, and power.

• They include:

– Trait focus

– Behavior focus

– Power focus

Leader-Centered Approaches

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Power Focus

• Power– The ability to use human, informational, or

material resources to get something done.– The ability to get results.

• Authority– The officially sanctioned right to get

something done.

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Two Categories of Power

• Position power

– Power derived from the opportunities inherent in a person’s position in an organization.

• Personal power

– Power derived from the interpersonal relationships between leaders and followers.

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Position Power• Legitimate power

– Stems from formal authority.• Coercive power

– The power to discipline, punish and withhold rewards.

• Reward power– Control over tangible benefits such as a

promotion, a better job, a better work schedule, a larger operating budget, and increased expense account.

• Information power– Control over information.

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Personal Power

• Expert power

– The power influence another person because of expert knowledge and competence.

• Referent power

– The ability to influence others based on personal liking, charisma and reputation.

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• Personalized Power Orientation

– Associated with a strong need for esteem and status; power is often used impulsively.

• Socialized Power Orientation

– The use of power for the benefit of others to make subordinates feel strong and responsible.

Power Orientation

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Follower-Centered Approaches

• Leader-centered approaches are used to identify traits of behaviors leaders use to be effective but is focused only on the leader in isolation.

– Self-leadership focus: Sometimes referred to as followership, is a paradigm founded on creating an organization of leaders who are ready to lead themselves.

– Leadership substitutes: Variables such as individual, task and organizational characteristics.

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Characteristics of Self-Leaders slide 1 of 2

• The capacity to motivate themselves and stay focused on tasks.

• Integrity that demands both loyalty to the organization and the willingness to act according to beliefs.

• Understanding of the organization and their contributions to it.

• Willingness to take the initiative to deal with problems.

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Characteristics of Self-Leaders slide 2 of 2

• Versatility, skillfulness and flexibility to adapt to a changing environment.

• Responsibility for their careers, actions and development.

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Leadership Substitutes

• Variables such as individual, task, and organizational characteristics that tend to outweigh the leader’s ability to affect subordinate satisfaction and performance.

• These are known as neutralizers.

– A neutralizers is a condition that counteracts leader behavior and/or prevents the leader from having an effect on a follower or a specific situation.

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•Degree of formality

•Degree of flexibility

•Amount of cohesiveness

•Independence of reward structure

•Degree of spatial distance from manager

•Degree of intrinsic satisfaction

•Degree of repetitiveness

•Degree of structure or feedback

•Experience

•Training

•Ability

•Professional orientation

•Indifference to organizational rewards

Organizational Characteristics

Task Characteristics

Individual Characteristics

Leadership Substitutes

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Interactive Approaches

• Another method of examining leadership effectiveness is to look at how leaders interact with their followers.

• The three approaches covered:

– Situational leadership model

– Empowerment

– Transformational leadership

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Situational Leadership Model slide 1 or 2

• Examines the interaction between leadership behavior, the situation, and the follower’s readiness.

– Readiness: The extent to which a subordinate possesses the ability and willingness to complete a specific task.

– Task behavior: The extent to which a leader organizes and defines the role of followers by explaining what each person must do and when, where, and how tasks are to be accomplished.

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Situational Leadership Model slide 2 or 2

• Four styles of leadership behavior:– Telling style: The leader provides specific

instructions and closely supervises performance.

– Selling style: The leader explains decisions and provides opportunities for clarification.

– Participating style: The leader shares ideas and maintains two-way communication to encourage and support the skills subordinates have developed.

– Delegating style: The leader provides subordinates with few task or relations behaviors.

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Empowerment

• The interaction of the leader giving away or sharing power with those who use it to become involved and committed to independent, high-quality performance.

• Successful empowerment means that everyone has been convinced that he or she makes a difference to the success of the organization.

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Transformational Leadership

• A leader’s ability to influence employees to achieve more than was originally expected, or thought possible.

• Transformational leaders are able to generate feelings of trust, admiration, loyalty and respect from followers.

• There are four primary dimensions:– Idealized influence

– Inspirational motivation

– Intellectual stimulation

– Individualized considerations

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Dimension Leader’s Behavior Follower’s Behavior

Individual Consideration

• Acts as mentor

• Is attentive to achievement and growth needs

• Is motivated

• Feels valued

Intellectual Stimulation

• Promotes innovation and creativity

• Reframes problems

• Is encouraged to be novel and try new approaches

Primary Dimensionsof Transformational Leadership slide 1 of 2

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Dimension Leader’s Behavior Follower’s Behavior

Inspirational Motivation

• Provides meaning and challenge through pro-social, collective action.

• Is motivated by team spirit

• Enthusiastic• Optimistic

Idealized Influence

• Shares risks• Is considerate of

others over own needs

• Is ethical and moral

• Shows admiration• Respect• Trust

Primary Dimensionsof Transformational Leadership slide 2 of 2

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A New Model of Leadership

• The Three C’s Model

– Competence

– Character

– Community

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Competence• Leaders need to have knowledge about how

organizations work.• They need to know how to develop a vision and

mission that not only is correct for the industry but one that also is inspiring to the people in the organization.

• They need to know how to analyze financial statements and how to make sure the organization does achieve its strategy.

• Leaders need to know how to interact with people. They need to know how to communicate well and understand what influences people.

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• Character refers to the leadership values and behaviors that are essential for an organization to achieve its mission.

– Trust

– Commitment

– Followership

Character

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Community

• The result of competency and character will be a vibrant, healthy community within the organization

• The concept of community applied outside of the organization will build strong positive ties between the organization and its external community.

– Customers

– Employees

– Overall healthy economic conditions

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Women as Leaders

• The number of women in leadership positions has increased steadily since 1970.

• Women are 51 percent of the population but occupy only slightly over 25 percent of the supervisory positions in U.S. industry.

• Women occupy just 11 percent of senior executive positions in Fortune 500 companies.

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Implications for Leaders:Leadership Effectiveness slide 1 of 2

• Know yourself. • Be a role model.• Learn to communicate with your ears open and

your mouth shut.• Know your team and be a team player.• Be honest with yourself as well as to others.• Do not avoid risks.• Believe in yourself.• Take the offense rather than the defense.

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Implications for Leaders:Leadership Effectiveness slide 2 of 2

• Know the ways of disagreement and the means of compromise.

• Be a good follower.