Organizational Behavior Leadership (PDF)

Organizational Behavior (8) Leadership and Entrepreuneurial Behavior (Cont’ed) 1  The Contingecy Approach Leader Participation Model Vroom and Yetton Leader Participation Model  Posits that leader behavior...

Organizational Behavior (8) Leadership and Entrepreuneurial Behavior (Cont’ed) 1  The Contingecy Approach Leader Participation Model Vroom and Yetton Leader Participation Model  Posits that leader behavior Contingencies: must be adjusted to reflect  Decision significance the task structure—whether  Importance of it is routine, nonroutine, or in commitment between—based on a  Leader expertise sequential set of rules  Likelihood of commitment (contingencies) for  Group support determining the form and  Group expertise amount of follower participation in decision  Team competence making in a given situation. 2  Leadership Styles: Vroom Leader Participation Model  Decide: Leader makes the decision alone and either announces or sells it to group.  Consult Individually: Leader presents the problem to group members individually, gets their suggestions, and then makes the decision.  Consult Group: Leader presents the problem to group members in a meeting, gets their suggestions, and then makes the decision.  Facilitate: Leader presents the problem to the group in a meeting and, acting as facilitator, defines the problem and the boundaries within which a decision must be made.  Delegate: Leader permits the group to make the decision within prescribed limits. Source: Based on V. Vroom, “Leadership and the Decision-Making Process,” Organizational Dynamics, vol. 28, no. 4 (2000), p. 84. Exhibit 17.6 3  Time-Driven Model Source: Adapted from V. Vroom, “Leadership and the Decision-Making Process,” Organizational Dynamics, vol. 28, no. 4 (2000), p. 87. Exhibit 17.7 4  Leader-Member Exchange An individualized leadership model that explores how leader-member relationships develop over time and how the quality of exchange relationships impacts outcomes 5  In-Group versus Out-Group Members In-group Out-Group  Discusses objectives; gives  Gives employee specific employee freedom to use his or directives for how to accomplish her own approach in solving tasks and attain goals problems and reaching goals  Shows little interest in  Listens to employee’s suggestions employee’s comments and and ideas about how work is done suggestions  Treats mistakes as learning  Criticizes or punishes mistakes opportunities  Assigns primarily routine jobs  Gives employee interesting and monitors employee closely assignments; may allow employee  Usually imposes own views to choose assignment  Focuses on areas of poor  Sometimes defers to subordinate’s performance opinion  Praises accomplishments 6  The Contingency Approach: The Path-goal model  The effectiveness of the depends on situational factors  Leaders assume different leadership styles at different times depending on the situation:  Instrumental or directive leader  Supportive leader  Participative leader  Achievement oriented leader. 7  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 their goals are compatible with organizational goals.  Leaders assume different leadership styles at different times depending on the situation:  Directive leader  Supportive leader  Participative leader  Achievement oriented leader 8  Path-Goal Theory Exhibit 17.8 9  Leader Roles in the Path-Goal Model Path Clarification Increase Rewards Leader defines what Leader learns follower’s follower must do to attain needs work outcomes Leader matches follower’s Leader clarifies follower’s needs to rewards if work work role outcomes are accomplished Follower has increased Leader increases value of knowledge & confidence work outcomes for to accomplish outcomes follower Follower displays increased effort and motivation Organizational work 10 outcomes are accomplished  Path-Goal Situations and Preferred Leader Behaviors Situation Leader Behavior Impact on Follower Outcome Followers Supportive Increases confidence lack self- to achieve work confidence Leadership outcomes Ambiguous Directive Leadership Clarifies path to job Increased effort; reward improved satisfaction and performance Achievement- Lack of Set and strive for Oriented job high goals challenge Leadership Incorrect Participative Clarifies reward followers’ needs Leadership to change rewards 11  Contemporary leadership issues: Current questions asked about leadership  Are women better than men?  Are leaders necessary?  Is current leadership theory applicable in South African context?  Are few individuals destined to become leaders or can everybody become a leader? These days, leaders need to be visionary and have the capability to embrace change. 12  Leadership vs management Managers plan, organise and control the resources in the Leadership is the ability to organisation through decision influence people in order to achieve making. goals. 13  Leadership: A strategic and visionary perspective Future-state visioning  Predicting the organisation’s future state  Guidelines for achieving future-state visioning  Develop a comprehensive list of stakeholders  Create a comprehensive future vision regarding the organisation  Consider the present state  Contrast future and present vision  Develop and express values to guide organisation  Ensure link between values and business plan  Develop business plan around core values and purpose. A vision is a realistic, credible, attractive future for the organisation (Van Maurik). 14  Management and Vision Management is the attainment of organizational goals in an effective and efficient manner through planning, organizing, staffing, directing, and controlling organizational resources. Vision is a picture of an ambitious, desirable future for the organization or team 15  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 have the ability to:  Explain the vision to others.  Express the vision not just verbally but through behavior.  Extend or apply the vision to different leadership contexts. 16  Characteristics of visionary leadership Charismatic leadership  Possess certain characteristics which make them unique and successful  Are enthusiastic, self-confident and their personalities and actions influence people to behave in certain ways  Characteristics of charismatic leaders  Have a vision  Are able to articulate the vision  Portray behaviour that is out of the ordinary  Engage in behaviour which is perceived as novel, unconventional and counter to norms  Perceived as being change agents. 17  Stages in the transformation process Establishing the Need for Change Building the Change Team Creating Vision and Values Communicating and Engaging Empowering Noticing Improvements and Energising 18 Consolidating  Characteristics of visionary leadership Transformational leadership Transactional leadership Successfully steer organisations Guide their followers in direction through periods of transitions of established goals by clarifying Use relationship building rather role and task requirements than authority to inspire Follow. followers Leaders display charisma, inspiration, intellectual stimulation and individualised consideration. 19  Transactional or Transformational?  Transformational Leadership  Leaders who inspire followers to transcend their own self-interests for the good of the organization by clarifying role and task requirements.  Leaders who also are capable of having a profound and extraordinary effect on their followers.  Transactional Leadership  Leaders who guide or motivate their followers in the direction of established goals by clarifying role and task requirements. 20  Transactional Leadership  Classical management  Focus on the leader and the follower  Transaction  Work for pay  Work for psychological benefits (status, recognition or esteem)  Requires appropriate role behavior  Requires clear goals and appropriate instructions  Transactional leadership focuses on the task. 21  Transactional Leadership  Puts leaders and followers on opposite sides.  Ebb and flow of power and reward depending on follower performance.  High task performance=power and rewards to the follower.  Low task performance=Leader exercises legitimate and coercive power.  Promotes “game-playing” 22 Transformational leadership  Transforms the  People can be trusted environment and the  Everyone has a contribution people in it to make  Complex problems should  Focuses on building an be handled at the lowest appropriate context and level on enhancing the  Norms are flexible adapting relationships of people to changing environment within the system  Superiors are coaches, mentors, models 23  Transforming the leader’s behavior (1)  Identifying and articulating a vision-Behavior on the part of the leader aimed at identifying new opportunities for his or her unit/division/company, and developing, articulating, and inspiring others with his or her vision of the future.  Providing an appropriate model-Behavior on the part of the leader that sets an example for employees to follow that is consistent with the values the leader espouses.  Fostering the acceptance of group goals-Behavior on the part of the leader aimed at promoting cooperation among employees and getting them to work together toward a common goal. 24  Transforming the leader’s behavior (2)  High performance expectations-Behavior that demonstrates the leader's expectations for excellence, quality, and/or high performance on the part of followers.  Providing individualized support-Behavior on the part of the leader that indicates that he/she respects followers and is concerned about their personal feelings and needs.  Intellectual stimulation-Behavior on the part of the leader that challenges followers to re-examine some of their assumptions about their work and rethink how it can be performed. 25  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 behaviors that are out of the ordinary. 26  Halpert’s dimensions Use of power by leaders  Charisma combines  Socialized Charisma power with task  Power for social good  Personalized charisma orientation  Power for personal benefit  Referent Power  Office holder Charisma  Expert Power  Combines legitimate  Job or task power with task needs involvement  Personal charisma  Use referent power to lead 27  Charismatic Leadership Characteristics  Charismatic leaders high in  Dominance  Self confidence  Need for influence  Belief in own values 28  Charismatic Leadership Behaviors  Goal Articulation  A transcendent goal inspires a movement - I have a dream  Personal Image Building  Behaviors that create impression of competence/success  Prove his competence to the followers  Leader role modeling of value system  Gandhi models self sacrificing behavior of non violence  Leader motive arousal behavior  Message inspires needs in the followers that are needed to complete the task. (message of love=needs for affiliation=required for bringing together Hindu/Moslems/Christians)  Leader communication of high performance expectations of, and confidence in, followers 29  Follower Behaviors  Characteristics and behaviors of the charismatic leader encourage behaviors in the followers  Trust, loyalty, unquestioning acceptance, obedience to the leader  Emulation of leader’s value system  Acceptance by followers of challenging goals  Enhanced self esteem and performance expectations by the followers 30  Charismatic Leadership Model Robert House Leader Characteristics Dominance Self Confidence Need for influence Belief i n values Hi gh Expectations Personal Image Role model of Goal Articulation Motive arousal of and confidence Building val ue system in followers Leader Behaviors Favorable perception of the leader Ar ousal of Enhanced self Tr ust, loyal ty, Emulation of the fol lower needs esteem and acceptance and leader' s value and acceptance performance obedience system of chal leng ing expectations goals Follower Behaviors Effective follower 31 performance  Entrepreneurial behaviour  Entrepreneurship is associated with:  Innovation and creativity Entrepreneurship  Identifying and seeking opportunities is about dreaming and  Taking risks turning dreams  Persevering into reality!  Entrepreneurial spirit is not only associated with own business but can be practiced in the organisation as well  Entrepreneurial spirit with the organisation is called intrapreneurship.  On the downside, the risks include:  Financial  Career  Family and social  Psychic. 32  Characteristics of entrepreneurs  Commitment,  Internal locus of control determination,  Tolerance for ambiguity perseverance  Tolerance for failure  Drive to achieve  High level of energy  Opportunity orientation  Creativity and Vision  Initiative and responsibility  Self-confidence and  Persistent and active optimism problem-solvers  Independence and team  Seeking feedback building. 33  Variables associated with opportunity based entrepreneurship 34  Characteristics of an intrapreneurial environment  Organisation is at the  Long-term vision forefront of technological  Organisational members advancement choose to participate in  Experimentation is new ventures encouraged  Reward systems such as  Failure is accepted profit sharing are adopted  A no-boundary approach is  Sponsors and champions taken with influence to make  Resources are made changes are involved available for new ventures  Top management is  Cross-functional teamwork committed a culture of is encouraged entrepreneurism. 35  What is your plan for your life? To be just a Follower? Or embrace the challenges to become a Leader? 36