Leadership Theories and Case Studies
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What was one of the main issues faced by the GM Fremont plant in 1982?

  • Unresolved grievances were minimal.
  • There was a high level of absenteeism. (correct)
  • Employee productivity was the highest in GM.
  • The assembly costs were lower than competitors.

How did the productivity and quality levels at the NUMMI plant in 1986 compare to those of the GM Fremont plant in 1982?

  • NUMMI had the same productivity and worse quality.
  • NUMMI had double the productivity and highest quality. (correct)
  • NUMMI maintained the same productivity and quality.
  • NUMMI had lower productivity and better quality.

What was one of the grievances of union representatives regarding GM's Sunbelt Strategy?

  • It increased wages in the union-controlled states.
  • It improved the overall job satisfaction of employees.
  • It was seen as an attempt to avoid union influence. (correct)
  • It focused on expanding union membership.

Which factor significantly improved at NUMMI compared to the Fremont plant?

<p>Total annual grievances. (B)</p> Signup and view all the answers

What did the new management at NUMMI recognize as essential needs among employees?

<p>The need to be understood and valued. (B)</p> Signup and view all the answers

What is the primary goal of the competition announced by Top Management?

<p>To achieve the highest sales progression from October to December. (D)</p> Signup and view all the answers

What reward is offered to the winning store in the main competition?

<p>Free dinner at a fancy restaurant. (C)</p> Signup and view all the answers

What is the only reward for the side competition involving photos?

<p>Publication of photos on the internet site. (A)</p> Signup and view all the answers

How many employees does the manager oversee?

<p>Five employees. (C)</p> Signup and view all the answers

What is a motivation for the manager to win the competition?

<p>To prove managerial capabilities and increase profits. (A)</p> Signup and view all the answers

What time period is the sales progression being monitored?

<p>October 1st to December 31st. (D)</p> Signup and view all the answers

What is the setting for the meeting to discuss the competition?

<p>The employee room, about 15 m². (D)</p> Signup and view all the answers

What age range do the employees under the manager's responsibility fall into?

<p>20 to 30 years old. (C)</p> Signup and view all the answers

What is the primary power distribution in aristocracy?

<p>Based on gender and lineage (A)</p> Signup and view all the answers

What assumption does the bureaucratic leadership model operate under?

<p>The boss inherently knows best (B)</p> Signup and view all the answers

Which leadership theory emphasizes that leaders are inherently born with traits necessary for leadership?

<p>Great Man Theory (C)</p> Signup and view all the answers

What is one of the criticisms of trait theories in leadership?

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

What does infocracy suggest about power distribution?

<p>It focuses on contributions from key process contributors. (B)</p> Signup and view all the answers

Which leadership theory would best explain why someone with leadership traits might not be a leader?

<p>Trait Theory (C)</p> Signup and view all the answers

Which of the following best describes the assumption behind the Great Man theory?

<p>Great leaders are destined to emerge when required. (C)</p> Signup and view all the answers

In the context of management shifts, how is power viewed in the age of infocracy?

<p>As dynamic, reshaped by contributions to processes. (B)</p> Signup and view all the answers

What is the primary focus of managerial theories?

<p>Supervision and group performance (C)</p> Signup and view all the answers

What type of leadership is characterized by high ethical and moral standards?

<p>Transformational leadership (B)</p> Signup and view all the answers

Which of the following is NOT a component of the Diamond Model of Leadership?

<p>Financial capital (C)</p> Signup and view all the answers

What is a key method used to achieve commitment in transformational leadership?

<p>Inspiring a sense of purpose (A)</p> Signup and view all the answers

In the context of relationship theories, how are followers viewed?

<p>As important contributors to the team's success (D)</p> Signup and view all the answers

Which factor is crucial for the effectiveness of the Diamond Model of Leadership?

<p>Commitment to strategy (A)</p> Signup and view all the answers

What is a potential downside of focusing strictly on managerial theories?

<p>Lack of employee motivation (D)</p> Signup and view all the answers

How do transformational leaders typically assess their success?

<p>By employee feedback and development (A)</p> Signup and view all the answers

What do contingency theories of leadership emphasize as major influences on effective leadership?

<p>Environmental variables and context (C)</p> Signup and view all the answers

Which leadership style might be most suitable when the leader possesses the most knowledge and experience?

<p>Authoritarian style (A)</p> Signup and view all the answers

What does behavioral theory of leadership primarily focus on?

<p>The actions and behaviors of leaders (D)</p> Signup and view all the answers

What is a central tenet of participative leadership theories?

<p>Leaders collaborate with group members for better engagement (C)</p> Signup and view all the answers

According to situational theories, when might a democratic leadership style be most effective?

<p>When group members are skilled experts (A)</p> Signup and view all the answers

What is the main premise of contingency leadership theories?

<p>The effectiveness of a leadership style varies with different situations (D)</p> Signup and view all the answers

How do behavioral theories differ from Great Man theories of leadership?

<p>Behavioral theories assert that leaders can be developed through learning and observation (A)</p> Signup and view all the answers

Which of the following could be a reason why some people with leadership traits do not pursue leadership roles?

<p>They prioritize personal security over leadership (B)</p> Signup and view all the answers

Flashcards

Management Theories

Management theories focus on supervision, organization, and group performance. They use rewards and punishments to motivate employees.

Relationship Theories

Focus on the connections between leaders and followers. Leaders inspire and help others see the bigger picture.

Transactional Theories

Leadership style focused on rewards and punishments.

Transformational Theories

Leadership style focused on inspiring others to achieve higher good.

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Diamond Model of Leadership

Model showing how leaders influence the environment, organization, and results by influencing people and tasks.

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Employee Commitment

The dedication and loyalty of employees to an organization.

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Strategic Thinking

Thinking about long-term goals and creating plans to achieve them for the group or organization.

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KIABI Vincenza Manager

Manager responsible for the men's and women's departments at a KIABI store in Vicenza, Italy.

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KIABI Women's Department Competition

A sales competition among Italian KIABI Women's Departments from October 1st to December 31st, measured by sales progression compared to the previous year.

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Competition Goal

The winning store will have the highest sales progression compared to last year's sales within the given time frame.

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Winner's Reward

A free dinner at a fancy restaurant for the winning store's team.

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Side Competition

A photography contest featuring employees in the store, judged for most interesting photos.

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Manager's Goal

The store manager wants to win the competition to demonstrate motivating employees and increasing sales.

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Meeting Location/Details

A meeting is planned for the employees in a 15 m2 employee room with a table, chairs, and a coffee machine.

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Time Frame

The competition runs from October 1st to December 31st.

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Employee Count

The manager has 5 employees, all young females (20-30 years old).

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Sunbelt Strategy

A business strategy used by General Motors in the 1950s to build plants in non-union states in the southern and western US, aiming to avoid union control.

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GM Fremont Plant (1982)

A General Motors plant in Fremont, California, known for its high absenteeism, unresolved grievances, frequent strikes, and poor productivity and quality.

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NUMMI

A joint venture between General Motors and Toyota, taking over the troubled GM Fremont plant in 1986.

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NUMMI Plant (1986)

The former GM Fremont plant, transformed under NUMMI management, showing drastically improved employee morale, reduced absenteeism, fewer grievances, and significantly increased productivity and quality.

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What Needs Did New Management At NUMMI Meet?

New management at NUMMI addressed the need for employees to be understood and valued, leading to a drastic improvement in working conditions and employee performance.

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Great Man Theory

This theory believes great leaders are born with inherent qualities like charisma, confidence, and intelligence, making them natural-born leaders.

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Trait Theory

Similar to the Great Man theory, it assumes people inherit traits that make them good leaders, such as extroversion, self-confidence, and courage.

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Infocracy

A society where power is redistributed to key process contributors (KPC's), based on their knowledge and skills, in the Information Age.

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Bureaucracy

A system where power is distributed based on gender and office roles, prevalent during the 19th and 20th centuries.

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Aristocracy

A society with power distributed based on gender and lineage, prevailing before the 18th century.

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KPC (Key Process Contributor)

Individuals who hold significant influence in an Infocracy due to their knowledge and contributions to key processes.

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Leadership Theories

Different approaches to understanding leadership. Each theory explains how leaders emerge, influence, and achieve goals.

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What is the central assumption of the Great Man Theory?

The Great Man Theory assumes that leadership is innate – great leaders are born, not made.

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Contingency Leadership

Leadership styles are situational, no single style is effective in all circumstances. The best style depends on factors like follower needs, environment, and context.

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Situational Leadership

Leaders adapt their approach based on the situation, choosing the style that best fits the task and group. This might be more democratic or authoritative depending on the circumstances.

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Behavioral Leadership

Leaders are developed, not born. Focus is on observable actions and skills, not innate qualities. Leadership can be learned through training and observation.

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Participative Leadership

Leaders value and seek input from followers. They encourage participation, making decisions based on collective ideas and building commitment.

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White & Hodgson's Leadership

Leadership isn't just about leader traits, it's about finding the right balance between leader behaviors, follower needs, and the context.

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What makes a good leader?

Effective leaders assess their followers' needs, understand the situation, and adjust their behavior accordingly.

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Leadership success depends on...

A combination of leadership style, follower qualities, and the task environment. All three elements influence the outcome.

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Why are some leaders democratic?

In situations where followers are skilled experts, a democratic style allows their expertise to be utilized effectively, leading to better outcomes.

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Study Notes

Leadership: Session 2

  • Session focused on leadership theories and case studies
  • Included a discussion of GM leadership problems and the NUMMI plant case study
  • GM's 1950s strategy to build non-union plants in the Southern and Western USA was met with significant union opposition, leading to conflict-ridden plants
  • The 1982 GM Fremont Plant struggled with high absenteeism, grievances, and wildcat strikes, with poor quality and productivity compared to Japanese competitors such as the Chevrolet Nova (30% higher costs)
  • The 1986 GM NUMMI plant improved significantly with lower absenteeism (only 2%), resolving grievances, significantly improved productivity, and a comparable quality to Japanese vehicles

Paradigm Shifts in Management

  • Three periods of management: Aristocracy (pre-1800s), Bureaucracy (1900s-2000s), and Infocracy (information age).
  • Power shifted from lineage and gender to gender/office, and then to key process contributors (KPCs)
  • The assumption shifted from "father knows best" to "boss knows best" and then "KPC's know best"

Main Leadership Theories

  • Great Man Theory: Leaders are born, not made with innate characteristics (e.g., charisma, confidence, intelligence).
  • Trait Theory: Leaders have specific personality traits or behaviors (e.g., extroversion, self-confidence) as part of their natural capabilities.
  • Contingency Theory: The most effective leadership style depends on the specific situation. Leadership is not about specific qualities of the leader, but achieving the correct balance of behaviours, needs and context.
  • Situational Theory: Leaders adjust their style based on the situation, such as authoritarian when the leader has more experience, or democratic when group members are skilled experts.
  • Behavioral Theory: Leaders learn through teaching and observation; actions are key not mental traits
  • Participative Leadership: The leader considers the input of others. Leaders encourage participation and help team members to be more relevant to the decision making process.

Management Theories

  • Transactional theories/Managerial theories: Supervision, organization, and group performance are based on rewards and punishments. When employees are successful they are rewarded, when they fail they are reprimanded or punished.

Relationship Theories

  • Transformational theories/Relationship theories: Focus on connections between leaders and followers.
  • Transformational leaders inspire and motivate followers towards achieving important group goals and fulfill individual potential with high ethical standards.

The Diamond Model of Leadership

  • A model that illustrates the interrelation between leader, people and task for achieving results

Commitment Focus Questions

  • Questions for self-reflection relating to how commitment is developed from employees

KIABI Vicenza Short Case

  • A business case study involving a sales competition between KIABI stores in Vincenza, Italy
  • The winner is the store with the highest sales progression in relation to the previous year from October 1 to December 31
  • There is also an associated side competition for interesting photos of employees in the stores (as a reward).
  • The company manager has five employees (all women between 20 and 30 years), and wants to win to prove their managerial skills.
  • There is a group meeting to suggest a plan for communicating and motivating their employees

Group Presentations

  • The focus is on a presentation class to understand what makes a good vs bad presentation

HLBT Method for Communicating

  • A method for effective public speaking, digital presentations and team communication

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Related Documents

Skema Business School Leadership: Session 2 PDF

Description

Explore various leadership theories with a focus on case studies, including a detailed analysis of GM's leadership challenges and the NUMMI plant's turnaround. This session delves into historical management paradigms and the evolution of leadership strategies in the automotive industry.

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