LEADERSHIP Inspirational process that

implies willing enthuasiam

Finbarr’s Wisdom Companies are most vulnerable in times

of boom. Bad leaders fail to make difficult decisions.

Not necessary to be liked, must be respected. Respect has to be earned.

Vision, courage, sensitivity. Hijack the future and create excitement. Prepared to sacrifice themselves for

their people.

David Irvine

1. Passion2. Self sacrifice3. Courage

ManagementLeadership

LeadershipManagement

Leadership Management

LEADERSHIP:

Relationship through which one person influences the behaviour of

other people

MANAGEMENT:

Achieving organisational objectives through the manipulation of people

Leading/Managing

Wanted: Corporate Leaders – Must have vision and ability to build corporate culture. Mere managers need not apply.

Change in top exec. Can account for 45% of co. performance (+/-)

Leadership is both a process and a

property

(Griffin, pp504)

Leadership Versus Management

Leadership Activity Management

Establishing direction and vision for the organization

Creating an agenda Planning and budgeting, allocating resources

Aligning people through communications and actions

that provide direction

Developing a human network for achieving the agenda

Organizing and staffing, structuring and monitoring

implementation

Motivating and inspiring by satisfying needs

Executing plans Controlling and problem solving

Produces useful change and new approaches to challenges

Outcomes Produces predictability and order and attains results

Why Leadership MattersFortune – March 1998

… no one factor makes a company admirable, but if you were forced to pick the one that makes the most difference, you’d pick leadership

1. Direction/vision/dream2. Get your people to believe in it/buy into it3. Energise & Inspire people into action4. Simple, effective economic model5. Passion for the business

Types of Power

Reward Coercive Legitimate/Position Referent Expert Information Connection

Traits Approach

Functional Approach

Behavioural Approach

Styles Approach

Contingency Approach

Traits

Initiative ImaginationSelf Assurance CaringEnthusiasm DecisivenessIntelligence DeterminationSociability EnergySex SupportivenessHelicopter vision FaithCourage Integrity

Functions (KRECH ’62)

1. Executive2. Planner3. Policy Maker4. Expert5. External Representative6. Controller of Internal Relations7. Purveyor of Rewards and

Punishment

Functions - Continued…8. Arbitrator & Mediator9. Exemplar10. Symbol of Group11. Substitute for Individual

Responsibility12. Ideologist13. Father Figure14. Scapegoat

ACTION – CENTRED LEADERSHIP Adair ’80’s

TASKFUNCTIONS

TEAM INDIVIUDUAL FUNCTIONS FUNCTIONS

Action – Centred Leadership

TASK FUNCTIONSDefining tasks; Planning; Allocation of

Resources;Delegating; Quality & Performance controlINDIVIDUAL FUNCTIONSMeeting Individual needs; Attending to personal

problems;Giving praise and status; TrainingTEAM FUNCTIONSMaintaining morale & team spirit; Training;Cohesiveness; Systems of communication

PeopleProduction

Behavioural Approaches

The Michigan Studies

Job Centered Person Centered

The Ohio State Studies

Low Consideration High ConsiderationBehaviour Behaviour

Low initiating High initiatingStructure behaviour structure

behaviour

Styles Approach

AUTOCRATIC

DEMOCRATIC

‘LAISSEZ-FAIRE’

Resistance to autocracy

Increased competitiveness Value systems of society Improvements in education and

training Advances in scientific/technical

knowledge Influence of trade unions Influence of E.U.

From behaviour to contingency

Tannenbaum and Schmidt’s Leadership Continuum

Use of Authorityby Manager

Boss-centered leadership

Manager makesdecision andannounces it

Manager permitssubordinates tofunction withinlimits defined bysuperior

Manager defineslimits, asks groupto make decision

Manager presentsproblem, getssuggestions,makes decision

Manager presentstentative decisionsubject to change

Manager presentsideas and invitesquestions

Manager“sells”decision

Area of Freedomfor Subordinates

Subordinate-centered leadership

Fiedler’s LPC Theory Measures leader behaviour (task

focused V’s people focused) using the LPC scale

Individuals emerge as either task focused or people focused

Which behaviour is effective depends on the favourableness of the situation

LPC Theory Three factors determine

favourableness: - Relationship between the

leader and led - Task structure - Position Power

LPC Theory When the situation is very

favourable or very unfavourable the task focused leader performs best

When the situation is moderately favourable the people focused leader performs best

Path Goal Theory to Leadership

Subordinates’personalcharacteristics

• Perceived ability• Locus of control

Leader behaviors

• Directive• Supportive• Participative• Achievement-

oriented

Environmentalcharacteristics

• Task structure• Work group

Subordinates’ motivation to perform

WorkSituation

Follower lacks self-confidence

Supportive

Achievement-oriented

Participative

Directive

LeadershipStyle

Impact onFollowers

Expected Results

Lack of jobchallenge

Improperprocedures and poor decisions

Ambiguous job

Increases self-confidence to complete task

Encourages setting high but attainable goals

Clarifies followerneed for makingsuggestions andinvolvement

Clarifies path toget rewards

Increased effort. job satisfaction, and performance; fewer grievances

Improved performance and greater job satisfaction

Improved performance and greater satisfaction; less turnover

Improved performance and job satisfaction

Path-Goal Theory

Path Goal Theory Possible leadership styles are:

- directive - supportive - participative - achievement oriented

Primary functions of a leader are to: - make desired rewards available - clarify the path to rewards

Effective leadership depends on..

Characteristics of Leader Type of Power Characteristics of Led Relationship between Leader – Led Type of Organisation Nature of Task Nature and Influence of

Environment National Culture

Alternative views Just one function of management

Substitutes for leadership - teams - intrinsic satisfaction - professional norms

Leader irrelevance - other factors make the difference

So what is your point?? I think leadership is critical Leadership V’s Management The ‘power’ factor Theory is influenced by perspective Each perspective tells us something

about effective leadership