9-1McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights reserved.

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Learning ObjectivesL01: Similarities and differences between leading and

managingL02: Sources of power in organizationsL03: Personal traits and skills of effective leadersL04: Distinguish between charismatic and

transformational leadersL05: Opportunities to be a leader in an organizationL06: How to further your own leadership development

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Vision – what is it?Mental image of a possible and desirable future state of

the organization.

Expresses the leader’s ambitions for the organization.

Creates high performance aspirations, the nature of corporate or business strategy, or the kind of workplace.

Without vision, managers do not develop

into strong leaders

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Leading and ManagingLeading-setting the direction-inspiring people to attain

vision-keep people focused on

moving organization toward its ideal future

-motivating people to overcome obstacles

Managing-deal with ongoing day-to-

day complexities-requires planning and

budgeting routines-requires structuring

organization, staffing it with capable people, and monitoring activities

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Leadership StylesSupervisory Leadership

provides guidance, support and corrective feedback for day-to-day activities

Strategic Leadershipgives purpose and meaning to organizations by

anticipating and envisioning a viable futureworks with others to initiate changes that create such

a future

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Sources of Power1. Legitimate power

right or authority to tell others what to do

2. Reward power influences others because of control over rewards

3. Coercive power control over punishment

4. Referent power appealing personal characteristics

5. Expert power expertise or knowledge that others can learn from or

gain from

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Traditional Approaches to Leadership1. Trait approach

focuses on individual leaders determines personal characteristics that great

leaders share

2. Behavioral approach identifies what good leaders do what behaviors they exhibit

3. Situational approach effective leadership behavior varies from situation to

situation

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Important Traits for LeadersDrive

high level of effort; high need for achievement, constant striving to accomplish

Leadership motivationextraverted, high need for power.

Integrity: Honest, credible, “walks the walk”

Self-confidenceovercome obstacles, decide despite uncertainty

Knowledge of the businesshigh level of knowledge about their industries,

companies, and technical matters; intelligent

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Decision StylesAutocratic - “self”

leader makes decisions on his or her own and then announces those decisions to the group

Democratic leadership – “participative”leader solicits input from others

Laissez-faire – “allow to do”essentially makes no decisionsmore negative attitudes and lower

performance.

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Path-goal TheoryHow leaders influence subordinates’ perceptions of

their work goals and the paths they follow toward attainment of those goals.

Two key situational factorsPersonal characteristics of followersEnvironmental pressures and demand with which

followers must cope to attain their work goals

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Path-Goal TheoryFour Pertinent Leadership Behaviors

1. Directive Leadership form of task performance-oriented behavior

2. Supportive Leadership form of group maintenance-oriented behavior

3. Participative Leadership decision style

4. Achievement-oriented Leadership behaviors geared toward motivating people

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Path-Goal TheoryThree Key Follower Characteristics

1. Authoritarianism degree to which individuals respect, admire, or

defer to authority

2. Locus of control extent to which individuals see environment as

responsive to their own behavior

3. Ability people’s beliefs about their own abilities to do

their assigned jobs

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Path-Goal TheoryFunctions of the leader

1. Provide coaching and direction Make path to work goals easier

2. Reduce frustrating barriers to goal attainment3. Increase opportunities for personal satisfaction

Increase payoffs to people for achieving performance goals

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Contemporary PerspectivesCharismatic leader

dominant, exceptionally self-confidentstrong conviction of moral righteousness

Transformational leader motivates people to transcend their personal interests

for good of group

Transactional leader manage through transactions, using their legitimate,

reward and coercive powers to give commands and exchange rewards for services rendered

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Nontraditional Leadership RolesServant leader

serves others’ needs while strengthening organizationBridge leader

bridges conflicting value systems or different culturesShared leadership

rotating leadershippeople rotate through leadership role based on which

person has most relevant skills

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Good leaders need courageSeeing things as they are and facing them head-on,

making no excuses and harboring no wishful illusions

Saying what needs to be said to those who need to hear it

Persisting despite resistance, criticism, abuse, and setbacks

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For Review Only

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Vroom’s ModelEmphasizes participative dimension of

leadership, i.e. how leaders go about making decisions.

Factors involved to analyze problemsdecision significanceimportance of commitmentleader’s expertiselikelihood of commitmentgroup support for objectives and group expertiseteam competence

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Vroom’s Five Leader Decision Styles1. Decide

make decision alone announce or sell it to group

2. Consult individually present problem to group members individually get suggestions, and then make decision

3. Consult group present problem to group members get suggestions, and then make decision

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Vroom’s Five Leader Decision Styles4. Facilitate

present problem to group in a meeting act as facilitator to get ideas

5. Delegate permit group to make decision within prescribed

limits

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Ohio State StudiesExamined performance and maintenance behaviors of leaders

Found that supervisors who scored high on maintenance behaviors had fewer grievances and less turnover in their work units than those who were low on this dimension

When a leader rates high on performance-oriented behaviors, he or she should also be maintenance-oriented.

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Michigan StudiesExamined the impact of leader behaviors on groups’ job performance

Most effective managers engaged in task-oriented behaviors (planning, scheduling, coordinating, providing resources, and setting performance goals) and relationship-oriented behaviors (demonstrating trust and confidence, being friendly and considerate, showing appreciation, keeping people informed)

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Fiedler’s Contingency ModelEffectiveness depends on two factors

personal style of the leaderdegree to which situation gives leader power, control,

and influence over situation

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Fiedler’s Contingency ModelQuestions used to analyze the situation

1. Are leader-member relations good or poor?

2. Is the task structure or unstructured?

3. Is the leader’s position power strong or weak?

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Fiedler’s Least Preferred Co-worker (LPC)1. Task-motivated leadership

emphasis on completing task more likely to be exhibited by leaders with low LPC

scores

2. Relationship-motivated leadership emphasis on maintaining good interpersonal

relationships more likely to be exhibited by high LPC scores

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Substitutes for LeadershipWorkplace factors that can exert same influence on

employees as leaders

Group maintenance substitutesclosely knit groupsjob is inherently satisfying

Task performance substitutespeople with experience and abilityrigid rules and procedures