Leadership :

"Everyone is a leader."

www.humanikaconsulting.com

Seta A. Wicaksana, M.Psi., Psikolog

The Importance of Leadership • Leadership will make or break your

company. Research shows time and time again that employees quit managers, not companies. Leadership is the major factor that makes everything work together seamlessly; without leadership, all other business resources are ineffective.

• This is the age of the knowledge worker. Attracting talented people and enabling them to work effectively to fulfill the organization's goals is the single most important activity of today's company.

• Switched-on business leaders are aware of the concerns of their employees, and are on top of new developments in leadership theory and practice to create more effective working environments.

• According to The Twenty First Century Corporation, "Attracting, cultivating, and retaining [talented people] will be the indispensable ingredient that will drive the ideas, products, and growth of all companies like never before." Bobby Woolf (2000)

Leadership

"Leadership is a function of knowing yourself, having a vision that is well communicated,

building trust among colleagues, and taking effective action to realize your own leadership

potential." Prof. Warren Bennis

5 Indicators Great Leader :

• Move The Business Forward

• Help Motivate And Grow Employees

• Create Passionate Brand Ambassadors

• Create Loyal Customers

• Inspire Other Leaders To Be Great

Leader and Leadership

• Bolden (2004), suggests that styles based on characteristics, traits or behaviours of leaders are less useful than models based on leadership attributes.

• Additionally, leadership needs to be flexible to suit varying situations (situational leadership) and not restricted by the characteristics of a leader’s style.

• Leadership skills therefore need to be drawn from a range of abilities rather than characteristics.

Leader and Leadership

Leader Leadership

Driven by characteristics/traits Driven by abilities

•Strong drive for responsibility •Task orientated •Vigorous and energetic •Able to influence others •Self confident •Strong sense of ‘self’ •Faces problems full on

•Vision •Provides direction •Resolves problems •Good people manager •Effective decision maker •Good communicator •Information gathering/processing •Project management skills •Proven business acumen •Builds partnerships

Static Adaptable and flexible

Bolden, R. (2004) What is Leadership? Leadership South West Research Report, Centre for Leadership Studies, July. (Republished in conjunction with the Windsor Leadership Trust, December 2004.)

“So,” You Ask, “How Do I Become

A Leader?”

“Leaders are developed through learning and practicing leadership

behaviors. But behaviors alone are not enough. We need to connect

those leadership practices to our mindset,

attitudes, and values.”

Some Individual Determinants of Behavior

FIGURE 11–1 G.Dessler, 2003

• In contrast, leadership development is driven by collective goals, requires shared meaning with others, uses a wide range of methods, and generates collective outcomes and results.

• Both practices use different processes and require different sets of practitioner’s knowledge and skills.

(Salicru, S. (2015) Leader vs Leadership Development: Does it really matter?, Leadership & Management)

Leader and Leadership

• Leader and leadership development are different, yet they complement each other.

• Leader development is only the foundation for leadership development.

• Leader development is driven by personal goals, uses coaching as the main method and yields individual outcomes and results. This practice does not necessarily build leadership capacity in organisations.

“Not all leaders are managers, nor are all managers leaders”

• Managers – Persons whose influence on others

is limited to the appointed managerial authority of their positions

• Leaders – Persons with managerial and

personal power who can influence others to perform actions beyond those that could be dictated by those persons’ formal (position) authority alone

Prentice Hall, 2002

Managers and Leaders

Managers and Leaders

Managers have subordinates By definition, managers have subordinates - unless their title is honorary and given as a mark of seniority, in which case the title is a misnomer and their power over others is other than formal authority. • Authoritarian & transactional style Managers have a position of authority vested in them by the company, and their subordinates work for them and largely do as they are told. Management style is transactional, in that the manager tells the subordinate what to do, and the subordinate does this not because they are a blind robot, but because they have been promised a reward (at minimum their salary) for doing so.

• Work focus Managers are paid to get things done (they are subordinates too), often within tight constraints of time and money. They thus naturally pass on this work focus to their subordinates.

• Seek comfort An interesting research finding about managers is that they tend to come from stable home backgrounds and led relatively normal and comfortable lives. This leads them to be relatively risk-averse and they will seek to avoid conflict where possible. In terms of people, they generally like to run a 'happy ship'.

Leaders have followers at least not when they are leading. Many organizational leaders do have subordinates, but only because they are also managers. But when they want to lead, they have to give up formal authoritarian control, because to lead is to have followers, and following is always a voluntary activity. • Charismatic, transformational style Telling people what to do does not inspire them to follow you. You have to appeal to them, showing how following you will lead them to their hearts' desire. They must want to follow you enough to stop what they are doing and perhaps walk into danger and situations that they would not normally consider risking. Leaders with a stronger charisma find it easier to attract people to their cause. As a part of their persuasion they typically promise transformational benefits, such that their followers will not just receive extrinsic rewards but will somehow become better people.

• People focus Although many leaders have a charismatic style to some extent, this does not require a loud personality. They are always good with people, and quiet styles that give credit to others (and takes blame on themselves) are very effective at creating the loyalty that great leaders engender.

• Seek risk In the same study that showed managers as risk-averse, leaders appeared as risk-seeking, although they are not blind thrill-seekers. When pursuing their vision, they consider it natural to encounter problems and hurdles that must be overcome along the way. They are thus comfortable with risk and will see routes that others avoid as potential opportunities for advantage and will happily break rules in order to get things done.

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Subject Leader Manager

Essence Change Stability

Focus Leading people Managing work

Have Followers Subordinates

Horizon Long-term Short-term

Seeks Vision Objectives

Approach Sets direction Plans detail

Decision Facilitates Makes

Power Personal charisma Formal authority

Appeal to Heart Head

Energy Passion Control

Culture Shapes Enacts

Dynamic Proactive Reactive

Persuasion Sell Tell

Style Transformational Transactional

Exchange Excitement for work Money for work

Likes Striving Action

Wants Achievement Results

Risk Takes Minimizes

Rules Breaks Makes

Conflict Uses Avoids

Direction New roads Existing roads

Truth Seeks Establishes

Concern What is right Being right

Credit Gives Takes

Blame Takes Blames

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Ineffective

LEADER

ΜANAGER

YES NO

Ideal

Visionary

Manager YES

NO

Manager and Leadership

Leadership start from Self

“If you want to be a leader who attracts quality people, the key is to become a person of quality yourself. Leadership is the ability to attract someone to the gifts, skills and opportunities you offer as an owner, as a manager, as a parent. I call leadership the great challenge of life.” – Jim Rohn

Leadership Theories Trait (who the leader is)

Charismatic leadership The big 5 model of personality

Behavioural approach (what the leader does)

Managerial Grid (Blake and Mouton 1975)

Leadership styles (Job centered - Employee centered)

Situational/Contingency approach

(when and how) Leadership continuium

(Tannebaum & Schmidt 1958) Path – Goal theory (House

1996) • Situational leadership

The Least - Preferred Coworker (Fiedler 1967)

Transformational leadership (Why? Change agents)

Bass (1985)

Recent leadership approaches The Behavioral Complexity

Model (Denison et al. 1995) Malik Standard Model of

Managerial Effectiveness Emotional Intelligent

Leadership

Trait/ Competency approach Limitations

1. It assumes that all effective leaders have the same personal characteristics that are important in all situations. Leadership is too complex to have a universal list of traits that apply to every condition

2. Alternative combinations of competencies may be equally successful

3. This perspective views leadership as something within a person, whereas critics point out that leadership is relational

4. The competency perspective does not imply that leaders are born, not developed. On the contrary, competencies only indicate leadership potential, not leadership performance

(McShane & Van Glinow 2009)

The Five - Factor model of personality- “Big Five”

C onscientiousness

A greeableness

N euroticism

O penness to experience

E xtroversion

Managerial Grid (Blake & Mutton 1975)

Leadership as A Personality MBTI Approach

The Sensing

Judgment Type (SJ)

The Sensing

Perceiving Type (SP)

The Intuitive

Thinking Type (NT)

The Intuitive

Feeling Type (NF)

Leadership Style:

Traditionalist, stabilizer, consolidator Has a sense

of duty,

responsibility,

loyalty and

industry

Trouble-shooter, negotiator, fire-fighter Seeks to act

with

cleverness

seeking short

cuts to save

time or effort

where

possible

Visionary, Architect, Systems builder Seeks to add

ingenuity and

logic to ideas

and actions

Catalyst, spokes-person, energizer Likes to

persuade people

about values and

personal

inspirations

Tends to be noticed for:

Being hardworking, reliable and dependable

Being resourceful, risk taking and spontaneous

Being competent, expert and logical

Being open, authentic and inclusive

This table suggests the following:

• The “Sensing-Judging” combination (where the person prefers to inform themselves via tangible, concrete, “five-senses” approaches, and likes order, closure, schedules and decisiveness) suggests a “traditional” or “instructional” approach to work. A summary term for this style is “Safely persistent”.

• The “Sensing-Perceiving” combination (where the person prefers to inform themselves via tangible, concrete, “five-senses” approaches, and likes options, flexibility, opportunity, and freedom to adapt) suggests a “troubleshooter” or “pragmatic” approach to work. A summary term for this style is “Resourceful pragmatism”.

• The “Intuitive-Thinking” combination (where the person prefers to inform themselves via the abstract, big picture, conceptual “intangible” approach, and makes decisions based on argument, logic and objective criteria), suggests a “visionary” or “rational” approach to work. A summary term for this style is “Conceptually Flexible”.

• The “Intuitive-Feeling” combination (where the person prefers to inform themselves via the abstract, big picture, conceptual “intangible” approach, and makes decisions based on values, beliefs and “what’s best for those involved” suggests a “catalyst” or “idealist” approach to work. A summary term for this style is “Optimistic collaboration”.

• Source : Why Leadership is Important : SEPTEMBER 28, 2012 by DR. JON WARNER in LEADERSHIP AND MANAGEMENT

Situational/Contingency perspective

• It is based on the idea that the most appropriate leadership style depends on the situation.

Path–Goal theory (House1996)

Effective leaders strengthen the performance to

outcome expectancy by providing the information,

support and other resources to help employees

complete their tasks.

(Fiedler 1967)

Situational Leadership

• Situational leadership theory (SLT)

– Leaders should adjust their leadership styles—telling, selling, participating, and delegating—in accordance with the readiness of their followers

• Acceptance: Leader effectiveness reflects the reality that it is the followers who accept or reject the leader

• Readiness: A follower’s ability and willingness to perform

• At higher levels of readiness, leaders respond by reducing control over and involvement with employees

FIGURE 10–7

Summary of the Situational Leadership Model

Source: Jerald Greenberg, Managing Behaviour in Organizations: Science in Service (Upper Saddle River, NJ: Prentice-Hall, 1996). Reprinted by permission. G.Dessler, 2003

FIGURE 10–8

Applying the Situational Leadership Model

Source: Adapted from Paul Hersey, Situational Selling (Escondido, CA: Center for Leadership Studies, 1985), p. 19. Reprinted with permission. G.Dessler, 2003

Limitations of the behavioural approach

• The two categories are broad generalizations that mask specific behaviours within each category which have different effects on employee well-being and performance.

• This approach assumes that high levels of both styles are best in all situations whereas research suggests that the situation determines the most appropriate leadership style.

Managerial Grid

Transformational leadership

Transformational leaders are change agents who energize and direct employees to a new set of corporate values and behaviours

4 elements of TL:

– Creating a Strategic Vision

– Communicating the Vision

– Modeling the Vision

– Building Commitment towards the Vision

Transformational leadership model

(Bass 1985)

Behavioural Complexity Model (Denison, Hooljberg & Quinn 1995)

The Malik Standard Model of Managerial Effectiveness

Emotional Intelligence and leadership

I have found, however, that the most effective leaders are alike in one crucial way: They all have a high degree of what has come to be known as emotional intelligence.

It’s not that IQ and technical skills are irrelevant. They do matter, but mainly as “threshold capabilities”; that is, they are the entry-level requirements for executive positions.

But my research, along with other recent studies, clearly shows that emotional intelligence is the sine qua non of leadership. Without it, a person can have the best training in the world, an incisive, analytical mind, and an endless supply of smart ideas, but he still won’t make a great leader.

Emotional intelligence model

3E: Six Leadership Styles (Goleman, Boyatzis, McKee 2004)

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