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Organizational Behavior Module 6: Leadership Vinay Kumar, Ph.D Vidisha Garg, MBA ICBM-SBE, 2014

Module 6 #Leadership

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This is the sixth of ten modules in which I am organizing my delivery of the course on organizational behavior at ICBM-SBE, 2014. Wherever I felt I used copyrighted content, I tried to make sure I gave appropriate credit to the author/source. In case you see that I missed something, please do let me know. I would be happy to improve.

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Page 1: Module 6 #Leadership

Organizational Behavior

Module 6: Leadership

Vinay Kumar, Ph.D

Vidisha Garg, MBA

ICBM-SBE, 2014

Page 2: Module 6 #Leadership

Leadership

• “… is the ability to influence a group toward the achievement

of a vision or set of goals”

• Different parts and questions:

– Part 1: Ability to influence (where does this come from?)

– Part 2: A specific group (what type of group?)

– Part 3: Towards a goal (whose goals?)

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Food for thought!

• A leader is one who knows the way, goes the way, and shows the way.

– John Maxwell

• I am more afraid of an army of 100 sheep led by a lion than an army of 100

lions led by a sheep.

– Talleyrand

• A good leader takes a little more than his share of blame, and a little less

than his share of credit.

– Arnold Glasow

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Trait theories

• Personality determines the capacity to be a leader

– Leaders become leaders because they have some capacity that sets them

apart from the rest. Some individuals for example include

• Vallabhai Patel - Fearless, systematic (Iron man of India)

• Steve Jobs - Charismatic

• Gandhi - Non-violence

• Buddha - Middle path / Balanced route

• Shahrukh Khan - Charming

– Since leadership was conceived as an inherent quality, early research

focused on finding what qualities make an individual, a leader

• For example, among big five factors, extraversion was found to be the most

important trait of effective leaders

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Past research shows…

• Leadership is

– positively related to

• Conscientiousness

• Openness

– negatively related to

• agreeableness

• emotional stability

Question: Explain these relationships.

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http://beyblade.wikia.com/wiki/Tyson_Granger Tyson doesn't make friends easily because of his

competitive nature, but he usually leaves a profound effect on the ones he does, completely

changing their attitudes and way of life

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Ohio state leadership studies

• 1940s

• Started with more than a thousand things that were perhaps ‘leadership’

• Narrowed down to two most important things in their view

– Initiating structure

• The extent to which a leader is likely to define and structure his or her role and

those of subordinates in the search for goal attainment.

– Consideration

• The extent to which a leader is likely to have job relationships characterized by

mutual trust, respect for subordinates’ ideas, and regard for their feelings

Study more about this @ http://fisher.osu.edu/research/lbdq/

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University of Michigan Survey

• Tried to find out behavioral differences among leaders, and

• Classified leaders as:

– Employee-oriented (seen synonymous with ‘consideration’)

– Production-oriented(seen synonymous with ‘initiating structure’)

Unrelated note:

More often, these days, industry uses GLOBE studies as their ground to determine

what type of leadership they want and where to draw that from . Read more about

GLOBE studies @ http://www.ccl.org/leadership/pdf/assessments/GlobeStudy.pdf

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Theories which explain leadership

• Fiedler model (or the Least preferred co-worker model / LPC)

• Situational leadership theory

• Path-goal theory

• Leader-participation model

• Leader-member exchange theory (LMX)

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LPC Model

• Premise: Two things control group performance in any

situation. They are:

Leader’s style

Leader’s degree of control

• How is leadership style identified?

– Through a questionnaire

• that presents individuals with 16 sets of contrasting adjectives such as

pleasant-unpleasant, open-guarded, supportive-hostile

• and asking the individuals to think of their least preferred co-worker and rate

him on those contrasts

• assuming that this questionnaire is administered on a leader, then in effect

what we explored was his ‘preferred mode of working’ with the ‘least preferred

co-worker’, and it can be either ‘relation-oriented’ or ‘task-oriented’

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LPC Model

• How is degree of control in any situation identified?

– Leader-member relations (good/poor)

• Degree of trust and respect that subordinates have on their leader

– Task structure (high/low)

• Ease of organizing; for example, divisible works are easy to organize

– Position power (strong/weak)

• Degree of influence that a leader has in making critical decisions

Twister!

Depending on the combination of these three elements, there are eight

possible situations in which the leaders can find themselves. Think about

how we came to that number ‘8’ situations.

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LPC Model Should you be ‘relationship-oriented’ or ‘task-oriented’?

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Source: Robbins, S. P., & Judge, T. A. (2013). Organizational Behavior,15th Edition. Pearson: New Jersey.

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Situational leadership theory

Readiness of followers

• Unable and unwilling

• Unable but willing

• Able but unwilling

• Able and willing

Appropriate choice of style

• Clear and specific directions

• Task orientation

• Relationship orientation

• Participate

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Path-goal theory

• Combines

– Ohio state leadership studies

– Vroom’s expectancy theory of motivation

• Leaders’ job is

– to provide the followers with:

• Information

• Support

• Resources

– to achieve their goals

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Path-goal theory

• Predicts that

– Directive leadership is effective when tasks are ambiguous

– Supportive leadership is effective when tasks are structured

– Directive leadership is likely to be perceived ineffective or redundant if

the team members are highly capable

• Problem with goal-focused leadership

– Leads to emotional exhaustion

– Leads to silent break-ups

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Leader-participation model

• Process of decision-making is as important as the decision itself

• Five things that a leader can do about the process are:

– Decide alone

– Consult each member individually

– Consult all the group members

– Facilitate a discussion and arrive at a consensus

– Delegate decision-making to someone else

• Depending on the choice of process, leaders could be of

– Autocratic style

– Consultative style

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LMX Theory

• What do leaders do?

• Leaders define followers by a simple ‘in’ or ‘out’ logic

• Leaders establish special relationships

– with small sub-group of their followers

• who are trusted more

• given more attention

• and are likely to receive privileges;

• even more interestingly, the characteristics of this in-group are likely to be similar with that

of the leader (either at surface or deep levels)

• therefore, giving them better ratings than do others, or the out-group candidates, get

Note:

Earlier theories have mostly answered the question, ‘what should the leaders do?’

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Types of leadership

Those we have already come across :

– Authoritative

– Consultative

– Directive

– Supportive

– Task-oriented

– Production-oriented

– Relationship-oriented

– Employee-oriented

Those we will now study:

• Charismatic leadership

• Transactional leadership

• Transformational leadership

• Servant leadership

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Charismatic leadership

• According to Max Weber, Charisma is

– Part one:

• a certain quality of an individual personality,

• by virtue of which he or she is set apart from ordinary people,

• and treated as endowed with supernatural, superhuman, or at least

specifically exceptional powers or qualities

– Part two:

• These (qualities) are not accessible to the ordinary person

• and are regarded as of divine origin or as exemplary

• and on the basis of them the individual concerned is treated as a leader

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Charismatic leadership

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Charismatic leadership

• Find it easier to persuade others

• Involve in an act of emotion-inducing in others

• May not always act in the best interest of organization

• Find it difficult to step above their personality

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Transactional and transformational leadership

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Source: Robbins, S. P., & Judge, T. A. (2013). Organizational Behavior,15th Edition. Pearson: New Jersey.

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Transformational leadership

• Can be learnt

• Gains trust from followers

• Usually has a greater impact in smaller firms (closely-held firms)

• Most effective when leaders can directly interact with subordinates

• Collectivist cultures with higher power distance respond positively

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Servant leadership

• Characteristics of a leader:

– Think beyond self-interests

– Very limited use of power

– Focus on improving team’s potential to perform

• Build efficacy

• Build a sense of ‘fair’ decision-making

– Relies of persuasion

• Listening

• Empathy

• Stewardship (acknowledging their duty, not bossing over property)

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Substitutes and neutralizers of leadership

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Trust and leadership

• Key questions:

– Why should anyone trust you?

– How can you make anyone trust you?

– When you meet a stranger, what is your first stance: trust or guard, and why?

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Source: Robbins, S. P., & Judge, T. A. (2013). Organizational Behavior,15th Edition. Pearson: New Jersey.

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Mentoring

• Key questions:

– Is a leader different from a mentor?

– Should mentoring be an assigned activity?

– What would you expect from your mentor?

– Is mentoring a one-way activity?

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Source: Robbins, S. P., & Judge, T. A. (2013). Organizational Behavior,15th Edition. Pearson: New Jersey.

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For discussion

• Is it necessary that there should be only one leader in a team?

• How do you manage individuals who like to challenge leaders?

• What is the importance of followers in a team?

• Leaders may not be able to deliver on their promise because their performance

depends on team performance. On occasions like those, on what parameters

should a leader be evaluated?

• Team performance could be heading towards north-star even while they suffer

bad leadership. In such cases, how do you want to evaluate leaders?

• Should leaders lay more focus on ‘process’ or ‘results’?

• Should followers lay more focus on ‘leaders’ or ‘personal goals’?

• Should leaders always be talkative or expressive? Can leaders afford to be silent?

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End of module 6.

Please post your feedback for this session to [email protected] / [email protected]

Do not forget to mention the ‘session date/section’ details

Upcoming

Module 7: Conflict and stress management