Contingency Theories in LeadershipCHAPTER 4
Anugrahayu Krisna 0131121051 ◦ Andika Adidharma 0131121309 ◦ Thea Samantha 0131121085 ◦ William 0131121110 ◦ Richie Bestianto 0131121121
25th September 2013
Contingency Theory and Model Variables
Attempt to explain the appropriate leadership style based on the leader, followers, and situation.
Framework for Contingency Leadership Variables:
Global Contingency Leadership
McDonald, realize that successful leadership styles can vary greatly from place to place
Ex: Employees in Europe (domineering, self-centered, autocratic leaders) in Other countries (democratic and participative leadership style)
Companies are now looking for graduates with an international openness and flexibility (can deal with the global economy)
Need for leaders with multicultural background and experiences
Contingency Leadership Theory and Model
Is used to determine if a person’s leadership style is task- or relationship-oriented, and if the situation (leader-member relationship, task structure, and position power) matches the leader’s style to maximize the performance
Framework for Contingency Leadership Variables by Fiedler
Situational Favorableness
The degree of which a situation enables the leader to exert influence over the followers.
The tree variables: Leader-member relation: this is the most powerful
determinant of overall situational favorableness Task structure: this is second in importance Position power: this is the weakest factor
Changing the Situation
If the leadership style doesn’t match the situation, the leader may be ineffective. Fiedler recommend to change the situation. Ex:
Relation (poor), the leader (improve) by (showing interest) in followers
Task (more/less structured) by stating (more/less specific standards) and (giving/not) deadlines
Leader (strong position power) don’t have to use it, they can downplay it. Leader (weak position power) play up the power by being more autocratic
Leadership Continuum Theory and Model
Robert Tannenbaum & Warren Schmidt
Leadership Behavior is on a continuum from boss-centered to subordinate-centered leadership.
The model focuses on who makes decisions.
A leader’s choice of a leadership pattern based on forces in the boss, subordinates, and situation.
Leadership continuum modelUsed to determined which one of seven styles to
select, based on the use of boss-centered versus subordinated-centered leadership, to meet the situation in order to maximize performance
The Leader have to consider the following three forces or variables
Boss. Experience, Expectation, Values, Background, Knowledge, Feeling of Security, & Confidence in the Subordinates. More Autocratic and others more participative.
Subordinates. Style for the leader is based on personality and behavior. Participate, Freedom, and Vice versa.
Situation (time). The environmental considerations.
• The time available is another consideration. If there is no time, the leader uses an Autocratic Leadership Style.
Tannenbaum & Schmidt recommended
1. The leader become a group member when allowing the group to make decisions
2. The leader clearly state the style being used
3. The leader not try to trick the followers into thinking they made a decision that was actually made by the leader
4. It’s not the number of decision the followers make, but their significance that counts.
Leadership Continuum Model
The criticism
The three factors to consider when selecting a leadership style are very subjective.
The Situational Leadership Model and Normative Leadership Model clearly identified which leadership style to use in a given, clearly defined situation.
Path-Goal Leadership Theory and Model
Developed by Robert House
House’s model does not have a leader trait and behavior variable
Path-Goal Leadership Model
Directive, supportive, participative, and achievement-oriented
Is used to select the leadership style appropriate to the situation to maximize both performance and job satisfaction.
Path-Goal Model
Is used to determine employee objectives and to clarify how to achieve them using one of four leadership styles.
House Path-Goal Leadership Model
Situational Factors
Subordinate
Environment
Subordinate Characteristics
Authoritarianism: the degree to which employees defer to others, and want to be told what to do and how to do the job.
Locus of Control: the extent to which employees believe they control goal achievement (internal) or if goal achievement is controlled by others (external).
Ability: the extent of the employees’ ability to perform tasks to achieve goals.
Environment Factors
Task Structure: the extent of repetitiveness of the job.
Formal authority: the extent of the leader’s position power.
Work group: the extent to which coworkers contribute to job satisfaction or the relationship between followers.
Leadership Styles
The original model: Directive (based on initiating structure, job-centered style) and Supportive (based on consideration and employee style) leadership styles (from the Ohio State and University of Michigan behavioral leadership studies)
The Participative and Achievement-Oriented leadership styles were added in 1974 publication by House and Mitchell.
Directive Leadership Style
Subordinates Authority leadership External locus of control Low ability
Environment Complex or ambiguous tasks Strong formal authority Work group provides job satisfcation
Supportive Leadership Style
Subordinates Non autocratic leadership Internal locus of control High ability
Environment Simple tasks Weak formal authority Work group does not provide job satisfaction
Participative Leadership Style
Subordinates Want to be involved Internal locus of control High Ability
Environment Complex tasks Strong or weak authority High or low job satisfaction from coworkers
Achievement-Oriented Leadership Style
Subordinates Open to autocratic leadership External locus of control High ability
Environment Simple tasks Strong authority High or low job satisfaction from coworkers
Normative Leadership Theory and Models
Answers the question “When should the manager take charge and when should the group take charge”
4 models ( 2 factors) Individual (manager) or group decision Based on time or development
5 Leadership styles
Decide Leader makes decision alone
Consult Individually Tells followers the problems individually
Consult Group Leader holds group meeting
Facilitate Leader holds group meeting as facilitator (similar to path-goal participative
style)
Delegate Leader lets the group diagnose the problem. Leader just answers questions.
7 variables
Decision significance How important the decision is
Importance of commitment How important follower commitment is
Leader expertise How much knowledge and expertise the leader have
Likelihood of commitment Will the followers be committed to leader’s decision?
Group support for objectives Do the followers support the objectives?
Group Expertixe How much knowledge and expertise the followers have
Team competence Can the team work together?
Time driven or development driven?
Time-driven Focus : effective decision with minimum cost Value : time Orientation : short-term
Development driven Focus : effective decision with maximum
development cost Value : follower development Orientation : long-term
Empirical research have supported the model
However, decisions do not occur at one point in time, rather than multiple points at a time and leader’s skills are unknown
Putting The Behavioral And Contingency Leadership Theories Together
Prescriptive Leadership Model:
• Contingency Leadership
• Normative Leadership
“They tell the user exactly which style to use in a given situation.”
Descriptive Leadership Model:
• Continuum Leadership
• Path-Goal Leadership
“They identify contingency variables and leadership styles without specifying which style to use in a given situation.”
Leadership Substitutes Theory
Substitutes for Leadership Include characteristics of the subordinate, task, and organization that replace
the need for a leader or neutralize the leader’s behaviour.
Substitutes and Neutralizers
Substitutes for leadership make a leadership style unnecessary or redundant.
Neutralizer reduce or limit the effectiveness of a leader’s behavior.
1. Characteristics of followers.
2. Characteristics of the task.
3. Characteristics of the organization.
Leadership Substitutes Theory
Leadership Style Leaders can analyze their situation and better
understand how these characteristics substitute or neutralize their leadership style.
Changing the Situation Leaders can change the situation rather than their
leadership style.
Research, Criticism, and Application
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