Chapter

17 LeadershipLeadership

What Does LeadershipWhat Does Leadership

Involve?Involve? Trait Behavioral Trait Behavioral TheoriesTheories

of Leadershipof Leadership Situational TheoriesSituational Theories From Transactional toFrom Transactional to

Charismatic Charismatic LeadershipLeadership Additional Perspectives Additional Perspectives on on

LeadershipLeadership

Leadership

Leadership influencing employees to voluntarily pursue organizational goals

17-2

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Leaders Vs. Managers

Innovate Develop Inspire Long-term view Ask what and why Originate Challenge the status

quo Do the right thing

Administer Maintain Control Short-term view Ask how and when Initiate Accept the status quo Do things right

LeadersLeaders ManagersManagers

17-3Table 17-1

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Historic Vs. Contemporary Trait Theories of Leadership

Intelligence Dominance Self-confidence Level of energy and

activity Task-relevant knowledge

people tend to perceive that someone is a leader when he or she exhibits traits associated with intelligence, masculinity, and dominance

people want their leaders to be credible

credible leaders are honest, forward-looking, inspiring, and competent

Stogdill’s and Mann’s Stogdill’s and Mann’s FindingsFindings

Contemporary Trait Contemporary Trait ResearchResearch

17-4

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Behavioral Theories

Ohio State studiesInitiating structureConsideration

Michigan State studiesJob-centeredEmployee-centered

Four Leadership Styles Derived from the Ohio State Studies

Low HighInitiating Structure

Low

High

Con

sid

era

tion Low Structure, High

ConsiderationHigh Structure, High

Consideration

Low Structure, Low Consideration

High Structure, Low Consideration

17-8Figure 17-2

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Contingency Theories

Also known as Situational TheoriesThe effectiveness of a style of leader

behavior depends on the situation

Representation of Fiedler’s Contingency Model

Situational Control

High Control Situations Moderate Control Situations

Low Control Situations

Leader-member relations

Good Good Good Good Poor Poor Poor Poor

Task Structure High High Low Low High High Low Low

Position Power

Strong Weak Strong Weak Strong Weak Strong Weak

Situation I II III IV V VI VII VIII

Optimal Leadership Styles

Task-motivated Leadership

Relationship-Motivated Leadership

Task-Motivated Leadership

17-10Figure 17-4

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House’s Revised Path-Goal Theory

Leader Behaviors Path-goal clarifying Achievement oriented Work facilitation Supportive Interaction facilitation Group oriented-

decision making Representation and

networking Value based

Employee Characteristics

Locus of control Task ability Need for achievement Experience Need for clarity

Environmental Factors

Task structure Work group dynamics

Leadership Effectiveness

Employee motivation Employee satisfaction Employee performance Leader acceptance Work-unit performance

17-11Figure 17-5

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Leader Behaviors

Leadership Effectiveness

Environmental Factors

Employee Characteristics

Hersey and Blanchard’s Situational Leadership Theory

Appropriate leadership style is determined by follower readiness Follower readiness is determined by followers’ ability

and willingness to perform the task

Transactional Vs. Charismatic Leadership

Transactional Leadership focuses on interpersonal interactions between managers and employees Leader uses contingent Leader uses contingent

rewards to motivaterewards to motivate Leaders exert Leaders exert

corrective action when corrective action when subordinates fail to subordinates fail to meet performance meet performance goalsgoals

Charismatic Leadership transforms employees to pursue organizational goals over self-interest Create, communicate, Create, communicate,

model visionmodel vision Inspire employees to Inspire employees to

strive toward visionstrive toward vision

17-13

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Charismatic Model of Leadership

Leader behavior

Leader establishes a vision

Leader establishes high performance expectations and displays confidence in him/herself and the collective ability to realize the vision

Organizational culture

Adaptive

Effects on followers and work groups

Increased intrinsic motivation, achievement orientation, and goal pursuit Increased identification with the leader and the collective interests of organizational members Increased cohesion among workgroup members

Outcomes

Personal commitment to leader and vision

Self-sacrificial behavior

Organizational commitment

17-14Figure 17-7

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Charismatic Model of Leadership

Leader behavior

Leader models the desired values, traits, beliefs, and behaviors needed to realize the vision

Effects on followers and work groups

Increased self- esteem, self- efficacy,and intrinsic interests in goal accomplishment Increased role modeling of charismatic leadership

Outcomes

Task meaningfulness and satisfaction

Increased individual, group, and organizational performance

Organizational culture

17-15Figure 17-7 cont.

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Research and Managerial Implications

Charismatic leadership is most likely to be effective when The situation offers opportunities for “moral”

involvement Performance goals cannot be easily

established or measured Extrinsic rewards cannot be clearly linked to

individual performance There are few situational cues or constraints

to guide behavior Exceptional effort, behavior, sacrifices, and

performance are required of both leader and follower

17-16

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The Leader-Member Exchange (LMX Model)

This model is based on the idea that one of two distinct types of leader-member exchange relationships evolve, and these exchanges are related to important work outcomes. In-group exchange: a partnership

characterized by mutual trust, respect and liking

Out-group exchange: a partnership characterized by alack of mutual trust, respect and liking

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Tips for Improving the Quality of LMX

New employees should offer their loyalty, support, and cooperativeness to their manager

If you are an out-group member, either accept the situation, try to become an in- group member by being cooperative and loyal or quit

Managers should consciously try to expand their in-groups

Managers need to give employees ample opportunity to prove themselves

17-19

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Leadership substitutes influence employee performance when leader cannot

Leadership enhancers make leadership more effective

Leadership neutralizers diminish leader’s ability to influence

Substitutes of Leadership

Characteristic

Relationship-Oriented or Considerate Leader Behavior is Unnecessary

Task-Oriented or Initiating Structure Leader Behavior is Unnecessary

Of the Subordinate

1) Ability, experience, training, knowledge

X

2) Need for independence X X

3) “Professional” orientation X X

4) Indifference toward organizational rewards

X X

17-20Table 17-4

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Substitutes of Leadership

Characteristic

Relationship-Oriented or Considerate Leader Behavior is Unnecessary

Task-Oriented or Initiating Structure Leader Behavior is Unnecessary

Of the Task

5) Unambiguous and routine X

6) Methodically invariant X

7) Provides its own feedback concerning accomplishment

X

8) Intrinsically satisfying X

17-21Table 17-4 cont.

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Substitutes of Leadership

Characteristic

Relationship-Oriented or Considerate Leader Behavior is Unnecessary

Task-Oriented or Initiating Structure Leader Behavior is Unnecessary

Of the Organization

9) Formalization X

10) InflexibilityX

11) Highly specified and active advisory and staff functions

X

12) Closely knit, cohesive work groups

X X

17-22Table 17-4 cont.

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Substitutes of Leadership

Characteristic

Relationship-Oriented or Considerate Leader Behavior is Unnecessary

Task-Oriented or Initiating Structure Leader Behavior is Unnecessary

Of the Organization Cont.

13) Organizational rewards not within the leader’s control

X X

14) Spatial distances between superior and subordinates

XX

17-23Table 17-4 cont.

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