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What is leadership?

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Is the ability to influence a group toward the achievement of a vision or set of goals.

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Leadership vs Managers

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-Not all leaders are managers, nor are all managers leaders. -Managers plan, organize, command, coordinate and control. -Inspire and influence are not on that list!

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Leadership vs Management

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Strong leadership and strong management are needed for optimal effectiveness.

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Nonsanctioned Leadership

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The ability to influence that arises outside the formal structure of the organization—is often as important or more important than formal influence. In other words, leaders can emerge from within a group as well as by formal appointment.

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Leaders in organizations

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Organizations need strong leadership and strong management for optimal effectiveness. We need leaders today to challenge the status quo, create visions of the future, and inspire organizational members to want to achieve the visions.

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Managers in organizations

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We also need managers to formulate detailed plans, create efficient organizational structures, and oversee day-to-day operations.

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Trait Theories of Leadership

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-Personal qualities and characteristics. -Organized traits around the Big Five personality framwork. -Dozens of traits in various leadership reviews align with the Big Five

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Good leaders

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-Like being around people. -Are able to assert themselves (extraverted). -Are disciplined and able to keep commitments they make (conscientious). -Are creative and flexible (open). -May have high emotional intelligence: Show of empathy and ability to influence

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Trait Theories of Leadership

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-Traits can predict leadership emergence and appearance. -Trais are less accurate: Distinguishing between effective and ineffective leaders. -The fact that an individual exhibits the traits and that others consider him or her a leader does not necessarily mean the leader is successful at getting the group to achieve its goals.

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Trait Theory of Leadership

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1. Height 2. Intelligence 3. Extroversion 4. Fluency 5. Other traits

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Behavioral Theories of Leadership

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-While trait research provides a basis for selecting the right people for leadership, behavioral theories of leadership imply that we can train people to be leaders. -Leadership is trained -Specific behaviors differentiate leaders from non-leaders.

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Behavioral Theories - Leadership Styles

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1. Focus on the work 2. Direct Leader 3. Focus on the people 4. Participative leader

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Initiating Structure

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- The extent to which a leader is likely to define and structure his or her role and those of employees in the search for goal attainment. It includes behavior that attempts to organize work, work relationships, and goals. A leader high in initiating structure is someone who "assigns group members to particular tasks," "expects workers to maintain definite standards of performance," and "emphasizes the meeting of deadlines."

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Consideration

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The extent to which a person's job relationships are characterized by mutual trust, respect for employees' ideas, and regard for their feelings. A leader high in consideration helps employees with personal problems, is friendly and approachable, treats all employees as equals, and expresses appreciation and support.

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Behavioral Theories of Leadership: Differentiating Behaviors (Ohio State) - Initiating Structure

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The extent to which a leader is likely to define and structure his role and those of employees in the search for goal attainment

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Behavioral Theories of Leadership: Differentiating Behaviors (Ohio State) - Consideration

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The extent to which a person's job relationships are characterized by mutual trust, respect for employees' ideas, and regard for their feelings.

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Behavioral Theories of Leadership: Differentiating Behaviors (Univ. of Mich) - Product Oriented Leader

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-Emphasize tasks and technical content -Accomplishments

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Behavioral Theories of Leadership: Differentiating Behaviors (Univ. of Mich) - Employee Oriented Leader

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-Emphasize interpersonal relationships -Accepts individual differences -Interested in employee needs

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Behavioral Theories of Leadership: GLOBE Study

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Suggests there are international differences in preference for initiating structure and consideration.

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Traits and Behaviors

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-Leaders who have certain traits and who display consideration and structuring behaviors do appear to be more effective. -As important as traits and behaviors are in identifying effective or ineffective leaders traits and behaviors do not guarantee success : Context matters, too.

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Contingency Theories

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1. The Fiedler Model (LPC) 2. Situational Leadership (SLT) 3. Path-Goal Theory 4. Leader-Participation Model

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Fideler Contingency Model

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- Effective groups depend on a proper match between a leader's style of interacting with subordinates and the degree to which the situation gives control and influence to the leader - Assumes that an individual's leadership style is fixed. - Due to this assumption, there are only two ways to improve leader effectiveness; you can either change the leader to fit the situation, or change the situation to fit the leader.

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Fideler Contingency Model

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Three Steps: - Identify the Leadership Style - Define the Situation - Match the Leader to the Situation

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Step 1: Identify the Leadership Style

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- A key factor in leadership success is the individual's basic leadership style. - The least preferred co-worker (LPC) questionnaire for this purpose, to measure whether a person is task or relationship oriented.

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The least preferred co-worker

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- Questionnaire that contains 16 contrasting adjectives (such as pleasant-unpleasant, efficient-inefficient, open-guarded, supportive-hostie) and asks respondents to describe one person they least enjoyed working with by rating him or her on scale of one-to-eight for each of the 16 sets of contrasting adjectives. - Based on the respondens' answers to this questionnaire, it could determine their basic leadership style.

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The least preferred co-worker cont.

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- If you describe your least preferred coworker favorably then that means that you are relationship oriented. - If you describe your least preferred coworker unfavorable then that means that you are task oriented.

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Step 2: Define the situation

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Contingency(Situational) dimensions: - Leader-member relations (good or poor) Degree of confidence, trust and respect for leader -Task structure (high or low) Structured or unstructured -Position power (strong or weak) influence leader has on hiring, firing, promotions and pay.

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Leader-member realtions

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The better leader-member relations, the more highly structured the job, and the stronger the position power, the more control the leader has.

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Step 3: Match the Leader to the Situation

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-Task-oriented leaders tend to perform better in situations that are favorable to them as well as in situations that are very unfavorable.

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Match the Leader to the Situation

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- When faced with a category 1, 2, 3, 7 or 8 situation, task-oriented leaders perform better. -Relationship-oriented leaders, perform better in moderatly favorable situations-- cateogries 4 through 6.

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Situational Leadership Theory (SLT)

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- A contingency theory that focuses on the followers. - Proposes that successful leadership is achieved by selecting the right leadership style, which is contingent on the level of the followers' readiness. - Readiness refers to the extent to which people have the ability and willingness to accomplish a specific task.

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Situational Leadership Theory (SLT)

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- A leader should choose one of four behaviors depending on follower readiness. 1.) If followers are unable and unwilling to do a task, the leader needs to give clear and specific directions. 2. ) If they are unable but willing, the leader needs to display high task orientation to compensate for followers' lack of ability and high relationship orientation to get them to "buy into" the leader's desires.

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Situational Leadership Theory (SLT)

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3.) If follower are able but unwilling, the leader needs to use a supportive and participative style. 4.) If they are both able and willing, the leader doesn't need to do much.

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Path-Goal Theory

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- It is a contingency model of leadership that extracts key elements from the Ohio State leadership research on initiating structure and consideration and the expectancy theory of motivation. - It is the leader's job to assist followers in attaining their goals and to provide the necessary direction and/or support to ensure that their goals are compatible with the overall objectives of the group or organization. : - One of the most respected approaches to leadership. - Combines behavioral theories with expectancy theory - Leaders clarify the path and make the journey easier

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Path-Goal Theory

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- Employee satisfaction and performance linked to leader style and the situation: - Ambiguous and/or stressful tasks Directive leadership - Structured tasks Supportive leadership - Experienced employees Supportive leadership

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Directive Leadership

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- Directive leadership yields greater satisfaction when tasks are ambiguous or stressful than when they are highly structured and well laid out. - Directive leadership is likely to be perceived as redundant among employees with high ability or considerable experience.

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Supportive Leadership

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- Supportive leadership results in high performance and satisfaction when employees are performing structured tasks.

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Leader-Participation Model

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- The final contingency theory which argues that the way the leader makes decisions is as important as what she or he decides. - Provides a set of rules to determine the form and amount of participative decision making in each situation.

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Leader-Paricipation Model

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- Relates leadership behavior and participation in decision making. - Leader behavior must adjust to reflect the task structure. - Model is normative - it provides a decision tree of seven contingencies and five leadership styles for determining the form and amount of participation in decision making.

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Leader Member Exchange Theory (LMX)

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- Argues that because of time pressures, leaders establish a special relationship with a small group of their followers - These individuals make up the in-group—they are trusted, get a disproportionate amount of the leader's attention, and are more likely to receive special privileges.

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Leader Member Exchange Theory (LMX)

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. The theory proposes that early in the history of the interaction between a leader and a given follower, the leader implicitly categorizes the follower as an "in" or an "out" and that relationship is relatively stable over time. The leader does the choosing on the basis of the follower's characteristics. - Followers with in-group status will have higher performance ratings, engage in more helping or "citizenship" behaviors at work, and report greater satisfaction with their superior.

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Charismatic Leadership Theory

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- Followers make attributions of heroic or extraordinary leadership abilities when they observe certain behaviors.

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Characteristics of a Charismatic Leader

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1. Vision and articulation 2. Personal Risk 3. Sensitivity to follower needs 4. unconventional Behavior

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Vision and Articulation (Characteristic)

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Has a vision - expressed as an idealized goal -that proposes a future better than the status quo; and is able to clarify the importance of the vision in terms that are understandable to others.

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Personal Risk (Characteristic)

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Willing to take on high personal risk, incur high costs, and engage in self-sacrific to achieve the vision.

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Sensitivity to Follower Needs (Characteristic)

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Perceptive of others' abilities and responsive to their needs and feelings.

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Unconventional behavior (Characteristic)

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Enages in behaviors that are perceived as novel and counter to norms.

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Charismatic Leadership: Are Charismatic Leaders Born or Made?

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Some individuals are born with charismatic traits, others are trained to exhibit charismatic behaviors.

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Charismatic Leadership: Exhibiting charisma

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- First, an individual needs to develop the aura of charisma by maintaining an optimistic view, using passion as a catalyst for generating enthusiasm, and communicating with the whole body, not just with words. - Second, an individual draws others in by creating a bond that inspires others to follow. - Third, the individual must bring out the potential in followers by tapping into their emotions.

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Charismatic Leadership: How Charismatic Leaders Influence Followers?

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- By articulating an appealing vision, developing an accompanying vision statement, conveying a new set of values, and demonstrating courage and conviction about the vision. - Followers "catch" the emotions their leader is conveying.

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Vision Statement

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A formal articulation of an organization's vision or mission Apple's - Make the World a Better Place

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Charismatic Leadership: Does Effective Charismatic Leadership Depend on the Situation?

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- Charisma appears to be most appropriate when the follower's task has an ideological component or when the environment involves a high degree of stress and uncertainty. - People are especially receptive when they sense a crisis, when they are under stress, or when they fear for their lives.

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Charismatic Leadership: Does Effective Charismatic Leadership Depend on the Situation?

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Charismatic leaders reduce stress. Vision makes work more meaningful.

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Charasmatic Leadership: The Dark Side of Charismatic Leadership

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- Some charismatic leaders don't necessarily act in the best interest of their companies, allowing their personal goals to override the goals of the organization. - Individuals who are narcissistic are also higher in some behaviors associated with charismatic leadership. - Convince followers to pursue a vision that can be disastrous.

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Transformational Leadership

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- Inspire followers to transcend their own self-interests and who are capable of having a profound and extraordinary effect on followers. - They change followers' awareness of issues by helping them to look at old problems in new ways; and they are able to excite, arouse, and inspire followers to put out extra effort to achieve group goals.

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Transactional Leadership

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- The Ohio State studies, Fiedler's model, path-goal theory, and the leader participation model are all concerned with transactional leaders. - These kinds of leaders guide or motivate their followers in the direction of established goals by clarifying role and task requirements.

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Transformational Leadership vs Transactional Leadership

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- Transformational leadership builds on transactional leadership and produces levels of follower effort and performance beyond what transactional leadership alone can do - Transactional and transformational leadership complement each other; they aren't opposing approaches to getting things done. - The best leaders are transactional and transformational.

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Characteristics of transactional leaders

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1. Contingent Reward 2. Management by Exception (active) 3. Management by Exception (passive) 4. Laissez-Faire

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Contingent Reward

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Contracts exchange of rewards for effort, promises rewards for good performance, recognizes accomplishments.

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Management by Exception (active)

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Watches and searches for deviations from rules and standards, takes correct action.

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Management by Exception (passive)

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Intervenes only if standards are not met.

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Laissez-Faire

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Abdicates responsibilities, avoids making decision.

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Characteristics of transformation leaders

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1. Idealized Influence 2. Inspirational Motivation 3. Intellectual Stimulation 4. Individualized Consideration

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Idealized Influence

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Provides vision and sense of mission, instills pride, gains respect and trust.

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Inspritational Motivation

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Communicates high expectations, uses symbols to focus efforts, expresses important purposes in simple ways.

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Intellectual Stimulation

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Promotes intelligence, rationality, and careful problem solving.

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Individualized Consideration

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Gives personal attention, treats each employee individually, coaches, advises.

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The 4 I's of transformational leadership

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1. Individualized consideration 2. Intellectual stimulation 3. Inspirational motivation 4. Idealized influence - Leaders are generally more effective when they regularly use the four I's. Only with these styles are leaders able to motivate followers to perform above expectations and transcend their self-interests for the sake of the organization.

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Transformational Leadership: How Transformational Leadership Works?

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- Are more effective because they are more creative, but also because they encourage those who follow them to be creative, too. - Companies with transformational leaders have greater decentralization of responsibility, managers have more propensity to take risks, and compensation plans are geared toward long-term results—all of which facilitate corporate entrepreneurship.

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Transformational Leadership: How Transformational Leadership Works?

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- Empowering leadership behavior led to feelings of positive personal control among workers, which increased their creativity at work. - Greater agreement among top managers about the organization's goals, which yields superior organizational performance. - That transformational leaders improve performance by building consensus among group members. - Transformational leaders are able to increase follower self-efficacy, giving the group a "can do" spirit.

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Transformational Leadership: Evaluation of Transformational Leadership

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- More strongly correlated than transactional leadership with: Lower turnover, higher productivity, lower employee stress, higher employee satisfaction. - Supported at diverse job levels and occupations - Not equally effective in situations. Greater bottom line impact in smaller, privately held firmes. - It can be learned.

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GLOBE study on transformational leadership

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- Universal elements: vision, foresight, providing encouragement, trustworthiness, dynamism, positiveness, and proactiveness. - Disputes the contingency view that leadership style needs to adapt to cultural differences.

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Authentic Leadership

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Authentic leaders know who they are. They know what they believe in and value. And they act on those values and beliefs openly and candidly. The result: people come to have faith in them.

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Authentic Leadership: Ethical Leadership

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- Ethical failures raises interest in this topic - Characteristics of ethical leaders: fairness, humility, role models of ethical behavior (express ethics and persuade others to follow).

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Fairness

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- Leaders who treat their followers with fairness, especially by providing honest, frequent, and accurate information, are seen as more effective.

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Authentic Leadership: Ethical Leadership

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Leaders must be willing to express their ethical beliefs and persuade others to follow their standards. To convey their beliefs, leaders should learn to express their moral convictions in statements that reflect values shared with their organization's members. Leaders need to set high ethical standards, demonstrate them through their own behavior, and encourage and reward integrity in others while avoiding abuses of power.

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Socialized Charismatic Leadership

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- Comines ethical and charismatic leadership. -Leadership that conveys other-centered values by leaders who model ethical conduct.

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Authenic Leadership: Servant Leadership

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- A leadership style marked by going beyond the leader's own self-interest and instead focusing on opportunities to help followers grow and develop: Emphasize persuasion.

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Authentic Leadership: Servant Leadership

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- Characteristic behaviors include listening, empathizing, persuading, accepting stewardship, and actively developing followers' potential.

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Authentic Leadership: Servant Leadership

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- This relationship between servant leadership and follower OCB appears to be stronger when followers are focused on being dutiful and responsible. - Second, servant leadership increases team potency (a belief that one's team has above-average skills and abilities), which in turn leads to higher levels of group performance. - Third, a study with a nationally representative sample found higher levels of citizenship associated with a focus on growth and advancement, which in turn was associated with higher levels of creative performance.

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Authentic Leadership: Servant Leadership

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- May be more prevalent and more effective in certain cultures.

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Trust and Leadership: Trust

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- A psychological state that exists when you agree to make yourself vulnerable to another because you have positive expectations about how things are going to turn out. - A primary attribute associated with leadership. - When trust is broken, it can have serious adverse effects on a group's performance. - Transformational leaders generate higher levels of trust this in turn is related ot higher levels of team confidence and, ultimately higher levels of team performance.

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The Nature of Trust

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Trust isn't just about the leader; the characteristics of the followers will also influence the development of trust.

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The Nature of Trust: Characteristics

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1. Integrity 2. Benevolence 3. Ability

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Integrity

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- Refers to honesty and truthfulness - It seems the most critical of the three in assessing another's trustworthiness.

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Benevolence

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- The trusted person has your interests at heart, even if yours aren't necessarily in line with theirs.

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Ability

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- Encompasses an individual's technical and interpersonal knowledge and skills.

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Trust as a Process

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- Trust propensity - how likely a particular employee is to trust a leader. - Time: we come to trust people based on observing their behavior over time. - Can also be won by demonstrating competence.

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Trust as a Process: Untrustworthy leaders

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- Employees are less satisfied - Have higher intent to leave - Less OCB - Lower Task Performance

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What are the consequences of Trust?

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- Trust encourages taking risks. - Trust facilitates information sharing. - Trusting groups are more effective. - Trust enhances productivity.

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Mentor

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- Senior employee who sponsors and supports a less-experienced employee. - Successful mentors are good teachers. They present ideas clearly, listen well, and empathize with protégés' problems. - Mentoring relationships serve both career functions and psychosocial functions

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Mentoring

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- Formal mentoring not as effective as informal - Both parties have to commit - Not career critical - Mentors can help build your network! - Networks are critical!!!

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Mentoring

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- Traditional informal mentoring relationships develop when leaders identify a less experienced, lower-level employee who appears to have potential for future development. The protégé will often be tested with a particularly challenging assignment. If he or she performs acceptably, the mentor will develop the relationship, informally showing the protégé how the organization really works outside its formal structures and procedures.

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Why would a leader want to be a mentor?

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- Many feel they have something to share with the younger generation and want to provide a legacy. Mentoring also provides unfiltered access to the attitudes of lower-ranking employees, and protégés can be an excellent source of early warning signals that identify potential organizational problems.

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Attribution Theory of Leadership

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- Leadership is merely an attribution people make about other individuals. - Projecting the appearance of being a leader rather than actual accomplishments - Smart, personable, verbally adept, hardworking : Be viewed as an effective leader - Hero when things are going great, villain when they are not

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Substitutes for Leadership (slide 49)

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- Experience and training are among the substitutes that can replace the need for a leader's support or ability to create structure. - Organizational characteristics such as explicit formalized goals, rigid rules and procedures, and cohesive work groups can also replace formal leadership, while indifference to organizational rewards can neutralize its effects. Neutralizers make it impossible for leader behavior to make any difference to follower outcomes. Sometimes the difference between substitutes and neutralizers is fuzzy.

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On- line Leadership

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- Needs more research. - Today's managers and employees are increasingly linked by networks rather than geographic proximity. Online leaders have to think carefully about what actions they want their digital messages to initiate. They confront challenges, the greatest of which appears to be developing and maintaining trust. - Identification-based trust is difficult to achieve without face-to-face interaction. - Writing skills are likely to become an extension of interpersonal skills.

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Identification=based Trust

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- based on a mutual understanding of each other's intentions and appreciation of the other's wants and desires, is particularly difficult to achieve without face-to-face interaction. And online negotiations can also be hindered because parties express lower levels of trust. We tentatively conclude that good leadership skills will soon include the abilities to communicate support, trust, and inspiration through keyboarded words and accurately read emotions in others' messages.

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Challenges to Leadership Effectiveness : Selecting Leaders

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- Identifying effective leaders: - Review specific requirements for the position such as knowledge, skills, and abilities that are needed to do the job effectively. - Consider personality tests to identify leadership traits. : Extraversion Conscientiousness Openness to experience - Situation-specific experience is relevant. - Plan for a change in leadership

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Challenges to Leadership Effectiveness : Selecting Leaders

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= Candidates with high emotional intelligence should have an advantage, especially in situations requiring transformational leadership. Experience is a poor predictor of leader effectiveness, but situation-specific experience is relevant.

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Challenges to Leadership Effectiveness: Training Leaders

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= Leadership training is likely to be more successful with high self-monitors. - Teach implementation skills. - Teach trust building, mentoring, and situational-analysis. - Behavioral training through modeling exercises can increase an individual's charismatic leadership qualities. - Review leadership after key organizational events. - Train in transformational leadership skills

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Implications for Managers

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= For management positions, hire candidates who exhibit transformational leadership qualities and who have demonstrated vision and charisma. - Tests and interviews can help you identify people with leadership qualities. - Hire candidates whom you believe are ethical and trustworthy for management roles and train current managers in your organization's ethical standards in order to increase leadership effectiveness.

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Implications for Managers

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- Seek to develop trusting relationships with followers because, as organizations have become less stable and predictable, strong bonds of trust are replacing bureaucratic rules in defining expectations and relationships. - Consider investing in leadership training such as formal courses, workshops, rotating job responsibilities, coaching, and mentoring.

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