Principles of Management UGBS 104 PDF

PRINCIPLES OF MANAGEMENT UGBS 104 1 Dr. E. K. Affum  Lesson 9 Leadership 2  Learning Outcomes Define leader and leadership Compare and contrast early theories of leadership Describe the three major contingency theories of lead...

PRINCIPLES OF MANAGEMENT UGBS 104 1 Dr. E. K. Affum  Lesson 9 Leadership 2  Learning Outcomes Define leader and leadership Compare and contrast early theories of leadership Describe the three major contingency theories of leadership Describe contemporary views of leadership Discuss contemporary issues affecting leadership 3  Contents i. Who Are Leaders and What Is Leadership? ii. Early Leadership Theories iii. Contingency Theories of Leadership iv. Contemporary Views of Leadership v. Managing Power vi. Developing Trust vii. Empowering Employees viii. Cross-Cultural Leadership ix. Leader Training x. Substitutes for Leadership 4  The Debate Are leaders BORN or leaders are MADE? Share your views 5  Who are Leaders and What is Leadership? Leader - Someone who can influence others and who has managerial authority. Leadership - What leaders do; the process of influencing a group to achieve goals. Ideally, all managers should be leaders. 6  Early Leadership Theories Trait Theories (1920s -1930s) Research focused on identifying personal characteristics that differentiated leaders from non- leaders was unsuccessful. Later research on the leadership process identified seven traits associated with successful leadership: Drive, the desire to lead, honesty and integrity, self- confidence, intelligence, job- relevant knowledge, and extraversion 7 Exhibit 17-1: Seven Traits Associated with Leadership Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall8  Early Leadership Theories (cont.) Behavioural Theories University of Iowa Studies (Kurt Lewin) Identified three leadership styles: – Autocratic style: centralized authority, low participation – Democratic style: involvement, high participation, feedback – Laissez faire style: hands-off management Research findings: mixed results – No specific style was consistently better for producing better performance. – Employees were more satisfied under a democratic leader than under an autocratic leader. 9  Behavioural Theories (cont.) Ohio State Studies Identified two dimensions of leader behavior: Initiating structure: the role of the leader in defining his or her role and the roles of group members. Consideration: the leader’s mutual trust and respect for group members’ ideas and feelings. 10 Mixed Results of Ohio State Studies High consideration/high structure leaders generally, but not always, achieved high scores on group task performance and satisfaction. Evidence indicated that situational factors appeared to strongly influence leadership effectiveness. 11  University of Michigan Studies Identified two dimensions of leader behavior: Employee oriented: emphasizing personal relationships Production oriented: emphasizing task accomplishment Research findings: Leaders who are employee oriented are strongly associated with high group productivity and high job satisfaction. 12  The Managerial Grid Appraises leadership styles using two dimensions: Concern for people Concern for production Places managerial styles in five categories: Impoverished management Task management Middle-of-the-road management Country club management Team management 13 Exhibit 17-2: Behavioral Theories of Leadership 14 Exhibit 17-2: Behavioral Theories of Leadership (cont.) 15  The Fiedler Model Proposes that effective Contingency group performance Theories of depends on proper match between the leader’s style Leadership of interacting with followers and the degree to which the situation allows the leader to control and influence. 16 Contingency Theories of Leadership (cont.) The Fiedler Model (Cont.) Assumptions: A certain leadership style should be most effective in different types of situations. Leaders do not readily change leadership styles. Matching the leader to the situation or changing the situation to make it favourable to the leader is required. 17  Contingency Theories of Leadership (cont.) Least-preferred co-worker (LPC) questionnaire Determines leadership style by measuring responses to 18 pairs of contrasting adjectives High score: a relationship- oriented leadership style Low score: a task-oriented leadership style Situational factors in matching leader to the situation: Leader-member relations Task structure Position power 18 Exhibit 17-3: The Fiedler Model 19  Contingency Theories of Leadership (cont.) Hersey and Blanchard’s Situational Leadership Theory (SLT) Argues that successful leadership is achieved by selecting the right leadership style which is contingent on the level of the followers’ readiness Acceptance: leadership effectiveness depends on whether followers accept or reject a leader Readiness: the extent to which followers have the ability and willingness to accomplish a specific task Leaders must relinquish control over and contact with followers as they become more competent. 20  Contingency Theories of Leadership (cont.) Situational Leadership Theory (SLT) Creates four specific leadership styles incorporating Fiedler’s two leadership dimensions: Telling: high task-low relationship leadership Selling: high task-high relationship leadership Participating: low task-high relationship leadership Delegating: low task-low relationship leadership 21  Situational Leadership Theory (SLT) (cont.) Contingency Theories of Four stages of follower Leadership readiness: (cont.) R1: followers are unable and unwilling R2: followers are unable but willing R3: followers are able but unwilling R4: followers are able and willing 22  Contingency Theories of Leadership (cont.) Path-Goal Model States that the leader’s job is to assist his or her followers in attaining their goals and to provide direction or support to ensure that their goals are compatible with those of the organization Depending on the situation, leaders assume different leadership styles at different times: Directive leader Supportive leader Participative leader Achievement oriented leader 23 Exhibit 17-4: Path-Goal Model 24 Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall  Contemporary Views of Leadership Transactional Leadership Leaders who guide or motivate their followers in the direction of established goals by clarifying role and task requirements. Transformational Leadership Leaders who inspire followers to transcend their own self- interests for the good of the organization by clarifying role and task requirements. 25  Contemporary Views of Leadership Charismatic Leadership An enthusiastic, self- confident leader whose personality and actions influence people to behave in certain ways. Characteristics of charismatic leaders: Have a vision Are able to articulate the vision Are willing to take risks to achieve the vision Are sensitive to the environment and follower needs Exhibit behaviours that are out of the ordinary 26  Contemporary Views of Leadership Visionary Leadership A leader who creates and articulates a realistic, credible, and attractive vision of the future that improves upon the present situation. Visionary leaders can: Explain the vision to others Express the vision not just verbally but through behavior Extend or apply the vision to different leadership contexts 27  Contemporary Views of Leadership Team Leadership Characteristics: Team Leader’s Job Having patience to share information Managing the team’s external boundary Being able to trust others and to give up Facilitating the team process authority Includes coaching, facilitating, handling Understanding when to intervene disciplinary problems, reviewing team and individual performance, training, and communication 28 Exhibit 17-5: Team Leadership Roles 29 Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall  Managing Power Legitimate power Expert power The power a leader has as a The influence a leader can result of his or her position. exert as a result of his or her expertise, skills, or knowledge. Coercive power Referent power The power a leader has to The power of a leader that punish or control. arises because of a person’s desirable resources or Reward power admired personal traits. The power to give positive benefits or rewards. 30  Developing Trust Credibility (of a Leader) The assessment of a leader’s honesty, competence, and ability to inspire by his or her followers Trust The belief of followers (and others) in the integrity, character, and ability of a leader Dimensions of trust: integrity, competence, consistency, loyalty, and openness Is related to increases in job performance, organizational citizenship behaviours, job satisfaction, and organization commitment 31 Exhibit 17-6: Building Trust 32  Empowering Employees Empowerment Increasing the decision-making discretion of workers such that teams can make key operating decisions in developing budgets, scheduling workloads, controlling inventories, and solving quality problems. 33  Why Empower Employees? Quicker responses to problems and faster decisions. Addresses the problem of increased spans of control in relieving managers so they can address other problems 34  Cross-Cultural Leadership Universal Elements of Effective Leadership Vision Foresight Providing encouragement Trustworthiness Dynamism Positiveness Proactiveness 35 Exhibit 17-7: Cross-Cultural Leadership 36 Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall  Gender Differences and Leadership Research Findings Males and females use different styles: Women tend to adopt a more democratic or participative style unless in a male-dominated job. Women tend to use transformational leadership. Men tend to use transactional leadership. 37  Leader Training Training is more likely to be successful with individuals who are high self-monitors than those who are low self- monitors. Individuals with higher levels of motivation to lead are more receptive to leadership development opportunities. 38  Substitutes for Leadership Follower characteristics Experience, training, professional orientation, or the need for independence Job characteristics Routine, unambiguous, and satisfying jobs Organization characteristics Explicit formalized goals, rigid rules and procedures, or cohesive work groups 39  Terms to Know leader least-preferred co-worker leadership (LPC) questionnaire behavioral theories leader-member relations autocratic style task structure democratic style position power laissez-faire style situational leadership initiating structure theory (SLT) consideration readiness high-high leader leader participation managerial grid model Fiedler contingency path-goal theory model transactional leaders 40 Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall. Summary 1 2 3 41 42. Next Lecture Control 43