Contemporary Management Chapter 14: Leadership
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Questions and Answers

Which type of power is derived from an employee's respect and admiration for a manager?

  • Referent power (correct)
  • Reward power
  • Legitimate power
  • Expert power

What is a potential negative consequence of the overuse of coercive power?

  • Higher profitability
  • Increased employee determination
  • Dangerous working conditions (correct)
  • Improved job satisfaction

Which managerial approach typically focuses more on profitability than on people?

  • Group management
  • U.S. management (correct)
  • European management
  • Japanese management

What is the primary benefit of empowerment in modern management?

<p>Enhanced worker involvement and motivation (B)</p> Signup and view all the answers

What type of power is characterized by the ability to reward or withhold benefits?

<p>Reward power (D)</p> Signup and view all the answers

Which leadership style is primarily associated with group-oriented management?

<p>Japanese management (C)</p> Signup and view all the answers

In the context of managerial power, what does legitimate power refer to?

<p>Power attributed to a manager's formal position (B)</p> Signup and view all the answers

Expert power is most effective when used in what manner?

<p>Guiding and coaching (B)</p> Signup and view all the answers

Which statement best defines leadership?

<p>The process of influencing and inspiring others to achieve goals. (C)</p> Signup and view all the answers

What is a key characteristic of a servant leader?

<p>Desire to work for the benefit of others. (A)</p> Signup and view all the answers

Which of the following is a limitation of the trait and behavioral models of leadership?

<p>They do not account for the influence of situational factors. (C)</p> Signup and view all the answers

What distinguishes transformational leadership from other styles?

<p>It focuses on inspiring change and fostering development in followers. (C)</p> Signup and view all the answers

When are leaders considered ineffective?

<p>When they fail to adapt to different team dynamics and goals. (D)</p> Signup and view all the answers

Which trait is commonly associated with effective leadership?

<p>High levels of self-awareness and emotional intelligence. (D)</p> Signup and view all the answers

How do contingency models of leadership enhance understanding of leadership effectiveness?

<p>By highlighting the role of context and specific situational factors. (C)</p> Signup and view all the answers

What factor may contribute to leadership effectiveness related to gender?

<p>Higher emotional intelligence levels in women leaders. (D)</p> Signup and view all the answers

Which leadership behavior focuses on setting challenging goals and believing in employees' capabilities?

<p>Achievement-oriented behavior (A)</p> Signup and view all the answers

In Fiedler’s contingency model, which factor determines the effectiveness of a leader's style?

<p>The kind of situation present (A)</p> Signup and view all the answers

Which of the following is not considered a possible substitute for leadership according to the Leader Substitutes Model?

<p>Management directives (C)</p> Signup and view all the answers

What is the primary focus of House’s path-goal theory in leadership?

<p>Motivating followers through leader behaviors (C)</p> Signup and view all the answers

Which leadership behavior involves showing concern for employees and prioritizing their best interests?

<p>Supportive behavior (A)</p> Signup and view all the answers

Which leadership style is described as 'task-oriented' in Fiedler’s contingency model?

<p>A leader who focuses primarily on getting tasks completed (B)</p> Signup and view all the answers

What determines the effectiveness of a manager's leadership according to contingency models?

<p>The combination of the manager's characteristics, actions, and situational context (B)</p> Signup and view all the answers

In Fiedler's model, what is the primary concern of a task-oriented leader?

<p>Ensuring high performance and task completion (C)</p> Signup and view all the answers

What characteristic of context can serve as a substitute for leadership?

<p>The extent to which work is interesting and fun (C)</p> Signup and view all the answers

Which type of behavior encourages employee participation in decision-making processes?

<p>Participative behavior (B)</p> Signup and view all the answers

What does 'leader-member relations' refer to in Fiedler’s model?

<p>The extent to which followers like, trust, and are loyal to their leader (C)</p> Signup and view all the answers

According to Fiedler's model, which factor does NOT influence how favorable a leadership situation is?

<p>Employee compensation (C)</p> Signup and view all the answers

How do effective leaders motivate employees according to House’s Path-Goal Theory?

<p>By establishing clear goals and rewarding high performance (B)</p> Signup and view all the answers

What type of leader focuses on relationships with employees rather than task completion?

<p>Relationship-oriented leader (C)</p> Signup and view all the answers

Which characteristic is NOT part of Fiedler's Situation Characteristics?

<p>Employee engagement (B)</p> Signup and view all the answers

What type of power refers to a leader’s influence by virtue of their position in an organization?

<p>Position power (C)</p> Signup and view all the answers

What is a key distinction between transformational and transactional leaders?

<p>Transformational leaders prioritize employees' emotional needs. (C)</p> Signup and view all the answers

Which stereotype is commonly associated with women in leadership roles?

<p>Women are viewed as supportive and focused on interpersonal relations. (D)</p> Signup and view all the answers

How does emotional intelligence (EQ) contribute to effective leadership?

<p>By enabling leaders to manage their own emotions effectively. (A)</p> Signup and view all the answers

What is one of Roy Williams' principles of leadership?

<p>Leaders need to effectively communicate shared goals to the team. (C)</p> Signup and view all the answers

In what way does emotional intelligence help leaders develop a vision for their firm?

<p>By fostering an understanding of employee aspirations and motivations. (C)</p> Signup and view all the answers

What could be a consequence of transactional leadership on employee satisfaction?

<p>Potential lower job satisfaction due to a punitive approach. (A)</p> Signup and view all the answers

Which of the following behaviors is NOT associated with leaders who lead with emotional intelligence?

<p>Strictly adhering to a predetermined agenda. (B)</p> Signup and view all the answers

What challenge do women in leadership roles still face today?

<p>Underrepresentation in management positions. (D)</p> Signup and view all the answers

What is the defining characteristic of transformational leadership?

<p>Leaders make employees aware of the importance of their roles for both personal and organizational success. (C)</p> Signup and view all the answers

Which statement best describes the concept of intellectual stimulation in leadership?

<p>It helps employees recognize problems and view them from new perspectives aligned with the leader's vision. (B)</p> Signup and view all the answers

In which scenario would leadership be considered unnecessary according to the substitutes for leadership model?

<p>When employees are highly skilled and motivated to perform their jobs independently. (A)</p> Signup and view all the answers

What distinguishes a charismatic leader from other types of leaders?

<p>Charismatic leaders inspire enthusiasm and clearly communicate their vision to others. (D)</p> Signup and view all the answers

How does developmental consideration manifest in effective leadership?

<p>By encouraging employees to enhance their skills and providing opportunities for growth. (C)</p> Signup and view all the answers

What role does a transformational leader play in employee motivation?

<p>They align employees' personal achievements with the organization's mission. (D)</p> Signup and view all the answers

Which of the following best describes the relationship between leadership and the nature of employees and tasks?

<p>The need for leadership varies depending on employee characteristics and the work context. (B)</p> Signup and view all the answers

What is a common pitfall for leaders who do not practice transformational leadership?

<p>They fail to motivate employees towards collective organizational goals. (B)</p> Signup and view all the answers

Flashcards

What is leadership?

The process a person uses to inspire, motivate, and guide others toward shared goals in groups or organizations.

Who is a leader?

An individual who has the ability to positively influence others to work together towards shared goals.

What's a personal leadership style?

The way a manager uniquely influences others. It shapes how they handle other management tasks.

Describe a servant leader.

A leader who prioritizes the well-being of others and strives to serve their needs.

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Legitimate Power

The authority a manager holds due to their position in the organizational hierarchy.

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Reward Power

A manager's power to give or withhold rewards, like bonuses or promotions.

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Coercive Power

The ability of a manager to punish employees, using reprimands, pay cuts, or even dismissal.

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Expert Power

Power derived from a manager's specialized knowledge, skills, or expertise.

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Referent Power

Power earned through respect, admiration, and loyalty from employees. It comes from being likable and a good role model.

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Empowerment

The process of giving employees the authority to make decisions, take responsibility for outcomes, improve quality, and reduce costs.

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European Management Style

Managers in Europe tend to be more focused on employee well-being than their American or Japanese counterparts.

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Japanese vs. American Management Styles

Japanese managers prioritize teamwork and collaboration, while American managers emphasize profitability.

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Contingency Leadership

A leadership model where effectiveness depends on the interaction between leader traits, behaviors, and the situation.

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Fiedler's Contingency Model

A leadership model suggesting that leadership effectiveness depends on the leader's style and the situation's favorability.

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Relationship-oriented leadership

A leader primarily focuses on establishing positive relationships with subordinates, emphasizing building trust and rapport.

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Task-oriented leadership

A leader primarily emphasizes achieving goals and maintaining efficiency within the tasks.

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Leader-member relations

The degree to which followers trust, respect, and have confidence in their leader.

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Task structure

The extent to which work tasks are clearly defined, and the employees know how to approach them.

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Position power

The formal authority a leader holds, based on their position in the organization.

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House's Path-Goal Theory

A leadership Model proposing that effective leaders motivate by clarifying goals, rewarding performance, and supporting employees.

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Directive Leadership

Setting goals, assigning tasks, showing employees how to complete tasks, and taking concrete steps to improve performance.

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Supportive Leadership

Expressing concern for employees' wellbeing and looking out for their best interests.

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Participative Leadership

Giving employees a say in matters and decisions that affect them.

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Achievement-Oriented Leadership

Setting challenging goals, expecting them to be met, and believing in employees' capabilities.

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Leadership Substitute

Characteristics of an employee, situation, or context that makes leadership unnecessary.

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Employee Substitutes

Skills, experience, and motivation of employees can act as substitutes for leadership.

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Contextual Substitutes

Interesting and fun work can make leadership less necessary.

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Path-Goal Theory

A model that suggests that effective leaders adapt their behavior to the needs of their followers and situation.

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Transformational leadership

A leadership style that emphasizes the importance of employees' work for the organization and their personal growth.

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Charismatic leader

A leader who inspires enthusiasm and clearly communicates a vision for success.

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Intellectual stimulation

A leader's behavior that encourages employees to see problems in new ways and think creatively.

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Developmental consideration

A leadership style that focuses on supporting and developing employees' skills and abilities.

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Contingency theory of leadership

A theory that suggests the effectiveness of leadership depends on the characteristics of the employees and the work they do.

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Leader substitutes

The situation where leadership becomes unnecessary, often due to experienced employees and clear processes.

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Leader effectiveness

The ability of leadership to influence others based on the characteristics of the employees and the work.

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A transformational leader makes employees aware of how important their jobs are for the organization

The leader's ability to make employees aware of the importance and significance of their work.

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Transactional leader

Leaders who motivate employees by rewarding them for high performance and reprimanding them for low performance.

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Transformational leader

Leaders who focus on the overall vision and inspire employees to achieve it. They may use transactional methods, but aim higher.

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Gender Stereotypes in Leadership

Women are often seen as supportive and relational, while men are perceived as task-oriented. This can influence leadership roles.

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Emotional Intelligence in Leadership

Emotional intelligence (EQ) is the ability to understand and manage your own emotions and those of others. It's crucial for effective leadership.

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Benefits of EQ for Leaders

Leaders with high EQ can better develop a vision, motivate employees, and energize them to achieve goals.

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Leader Mood's Impact on Teams

Groups with leaders in positive moods tend to work better together. Conversely, groups with negative leaders show less effort.

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Behaviors of an EQ leader

Empathy, communication skills, and managing emotions are essential for leading with emotional intelligence.

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Roy Williams Leadership Principles

Coach Roy Williams emphasizes a shared goal, daily reminders of that goal, and understanding individual needs.

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Study Notes

Contemporary Management - Chapter 14: Leadership

  • Leadership Definition: The process where a person influences others, inspiring, motivating, and directing activities toward achieving group or organizational objectives.

  • Leader Definition: An individual capable of exerting influence over others to achieve group or organizational goals.

  • Personal Leadership Style: Specific methods managers utilize to influence others, shaping their approach to management tasks. Example: Abby Woods, a Chicago tea shop owner, employs a hands-on approach, demonstrating effective organization, planning, and control, leading to high employee satisfaction and profitability.

  • Servant Leader: A leader primarily focused on the well-being and benefit of others. Example: Robert Greenleaf of AT&T founded the Greenleaf Center for Servant Leadership.

  • Leadership Across Cultures: European managers prioritize people-orientation compared to American or Japanese managers, who tend towards a group- or profitability-oriented approach, respectively. Time horizons are also affected by cultural factors.

Power and Leadership

  • Legitimate Power: Authority derived from a manager's position within the organization's hierarchy.

  • Reward Power: The ability of a manager to grant or withhold tangible and intangible rewards.

  • Coercive Power: The capacity of a manager to punish others. Overuse can lead to dangerous working conditions. Examples include verbal reprimands, pay cuts, and dismissal.

  • Expert Power: Power stemming from special knowledge, skills, and expertise possessed by the leader. Usually exercised in a guiding or coaching manner.

  • Referent Power: Power originating from respect, admiration, and loyalty from employees and coworkers. Leaders possessing referent power are often seen as role models.

Empowerment

  • Empowerment Definition: The process enabling employees at all levels to make decisions, take ownership of outcomes, improve quality, and reduce costs. This empowers managers to delegate, allowing them more time for pressing concerns.

Trait and Behavior Models of Leadership

  • Trait Model: Focuses on identifying personal characteristics that contribute to effective leadership. These include skills, abilities, knowledge, and experience. Table 14.1 lists relevant traits.

  • Behavioral Model: Identifies two fundamental leadership behaviors:

    • Consideration: Showing trust, respect, and care for employees. Example: Costco's approach of prioritizing employee well-being.

    • Initiating Structure: Ensuring workflow efficiency by setting goals, assigning tasks, and guiding employees.

Contingency Models of Leadership

  • Contingency Models: Effective leadership is a function of the interplay between the leader, their actions, and the context of the situation.

  • Fiedler's Model: Effective leadership requires aligning a leader's style (relationship-oriented or task-oriented) with the situation's favorability (based on leader-member relations, task structure, and position power). Table 14.2 details various situations and leader types.

    • Relationship-oriented style: Leaders focusing on building positive relationships with employees.
    • Task-oriented style: Leaders focusing primarily on ensuring high employee performance to achieve organizational goals.
  • House's Path-Goal Theory: Effective leaders motivate employees by clarifying paths to achieving goals through: clearly defining outcomes, rewarding high performance, and establishing clear pathways.

    • Directive Behaviors: Setting goals, assigning tasks, guiding employees.
    • Supportive Behaviors: Show concern for employees, looking out for their best interest.
    • Participative Behaviors: Involving employees in decisions that affect them.
    • Achievement-Oriented Behaviors: Setting demanding goals, maintaining faith in employees’ abilities.
  • Leader Substitutes Model: Leadership may be unnecessary when certain characteristics of employees or contexts act as substitutes. Possible substitutes include employee skills, experience, and motivation, and a conducive work context.

Transformational Leadership

  • Transformational Leadership: Leaders make employees aware of the importance of their jobs for the organization, encourage personal growth, and motivate them to work for the good of the organization. This contrasts with transactional leadership based on rewards and punishments.

Charismatic Leadership

  • Charismatic Leaders: Enthusiastic and self-confident transformational leaders who are able to clearly articulate their vision. They evoke excitement in employees and openly communicate problems and needed changes.

Emotional Intelligence and Leadership

  • Emotional Intelligence: Leaders who possess high emotional intelligence develop a vision for the organization, motivate commitment to this vision, and generate enthusiasm for achieving it. This includes empathy, effective communication, and emotion regulation that are key factors for leadership effectiveness.

Example: Coach Roy Williams

  • Provides three guiding principles for leadership: teams must focus on the same goal, emphasize these goals every day, and acknowledge the individual needs and goals of team members.

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This quiz covers key concepts from Chapter 14 on leadership in contemporary management. It includes definitions of leadership and leaders, different leadership styles, and the impact of cultural differences on leadership approaches. Enhance your understanding of how effective leaders influence their teams and organizations.

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