Effective leadership DSM 504 9172020 1 Quick Reflections

Effective leadership DSM 504 9/17/2020 1

Quick Reflections What are some typical leadership behaviors that come to mind? 9/17/2020 2

leadership Is it being the first? Is it biggest? Most powerful? DSM 504 9/17/2020 3

What is Leadership is a topic that has been written a lot and also a lot of research has been done on it over centuries Despite all this leadership is still a very controversial topic For example - leadership guru Warren Bennis gives the title “ The End of Leadership” to make the point that effective leadership cannot exist without full inclusion, initiatives and cooperation of employees In other words, one cannot be a greater leader without great followers DSM 504 9/17/2020 4

In spite of seeming discontent at least with the traditional approaches to leadership theory and practice, throughout history, the differences between success and failure, whether in a war, a business, a protest movement, a sports etc have been attributed to leadership DSM 504 9/17/2020 5

A study by Gallup survey indicates that most employees believe that it is the leader, not the company, that guides the culture and creates situations where workers can be happy and successful DSM 504 9/17/2020 6

What is leadership Definition Enabling groups of people to face challenges and achieve results in complex situations Involves creating a positive work culture characterized by strong relationships with your colleagues, and staff, trust, dedication, handwork, and teamwork DSM 504 9/17/2020 7

When you boil it all down, contemporary leadership see to be a matte of aligning people towards common goals and empowering them to take the actions needed to reach them ( Fortunes article) Being able to create the kind of meaning for people, the values that make sense to them, where there is enough trust in the system … (W. Bennis) DSM 504 9/17/2020 8

Leadership (cont. . ) Leadership is about responsibility -leadership is not a rank, privileges, titles, or money. It is about responsibility Leaders do not start with “ what do I want” but rather start with “what needs to be done "Then they ask “what can and should I do to make a difference” DSM 504 9/17/2020 9

Leadership (cont. . ) Leadership is done with others - Mobilizing people through out the organization to do adaptive work Leadership happens at all levels – What ever level you are, whatever your job, you can bring new insight, new leadership, to your team or to your group DSM 504 9/17/2020 10

Leadership is the art of inspiring subordinates or followers to perform their duties willingly, competently, and enthusiastically. Leadership is a social influence process in which the leader seeks voluntary participation of the followers in order to achieve organizational objectives. Leadership is both process and property. As a process, leadership involves the use of noncoercive influence to direct and coordinate the activities of the members of an organized group towards the achievement of group objectives. DSM 504 9/17/2020 11

As a property, leadership is a set of qualities or characteristics attributed to those who are perceived to successfully employ such influence. Such qualities include: Ability to inspire the other. Ability to understand human behavior. Ability of verbal assertiveness. Willingness to take risk. DSM 504 9/17/2020 12

Who is a leader Someone who set direction and puts effort to influence people to follow that direction DSM 504 9/17/2020 13

Leadership traits and characteristics Are leaders born or made? DSM 504 9/17/2020 14

Belief by many modern scholars Believes that leadership capacities and competencies can be acquired but the desire to learn must be there. Leadership is a goal to be pursued, not a gift to be bestowed only upon a lucky few. The best leaders make a personal choice to continually assess and constantly develop their leadership capabilities DSM 504 9/17/2020 15

Leaders vs. managers Who are the Leaders and Who are the Managers? DSM 504 9/17/2020 16

In recent years, many theorist and practitioners have emphasized the difference between managers and leaders Warren Bennis has noted that “ to survive in the 21 st century we are going to need a new generation of leaders – leaders, not managers DSM 504 9/17/2020 17

Leaders conquer the context – the volatile, turbulent, ambiguous surrounding that sometimes seem to conspire against us and will surely suffocate us if we let them, while managers surrender to it DSM 504 9/17/2020 18

Your choices: What characteristics do the managers normally demonstrate? What characteristics do the leaders normally demonstrate? DSM 504 9/17/2020 19

Differences between leadership and management DSM 504 9/17/2020 20

Leadership is setting a new direction or vision for a group that they follow, ie: a leader is the spearhead for that new direction Management controls or directs people/resources in a group according to principles or values that have already been established DSM 504 9/17/2020 21

Leadership without management . . . sets a direction or vision that others follow, without considering too much how the new direction is going to be achieved. Other people then have to work hard in the trail that is left behind, picking up the pieces and making it work DSM 504 9/17/2020 22

Management without leadership . . . controls resources to maintain the status quo or ensure things happen according to already-established plans Leadership combined with management . . . does both - it both sets a new direction and manages the resources to achieve it. DSM 504 9/17/2020 23

Leaders Vs Managers cont…d Leaders…… Managers…. . Do the right thing Do things right Are interested in effectiveness Innovate Are interested efficiency Administer Develop Maintain Focus on people Focus on systems and structure Rely on control Rely on trust 9/17/2020 in 24

Leaders Vs Managers cont…d Challenge the status quo Focus on the future Accept the status quo Focus on the present Have their eyes on the horizon Have their eyes on the bottom line Develop detailed steps and timetables Seek predictability and order Avoid risks Develop visions and strategies Seek change Take risks 9/17/2020 25

Leaders Vs Managers Inspire people to change cont…d Motivate people to comply with standards Use person-to-person influence Use position-to-position influence Inspire others to follow Require others to comply Operate outside of organizational Operate within rules, regulations, policies and organizational rules, procedures regulations, policies and procedures Take initiative to lead Are given a position 9/17/2020 26

Leaders Vs Managers cont…d Align people with a direction Organize and staff Emphasize philosophy; core values, and shared goals Emphasize tactics, structure and systems Have a long-term view Have a short-term view Ask what and why Ask how and when 9/17/2020 27

What is the difference between the role of the leadership and the role of management in the organisation? DSM 504 9/17/2020 28

Leadership Focus on self Inspire/ empower Doing the right thing Vision Leadership Visionreality gap Goals Objectives Monitoring/ Evaluating Management Planning organizing DSM 504 And Doing them right 9/17/2020 29

The Seven Habits Of Highly Effective Leaders – S. Covey Habit 1 Be Proactive: Principles of Personal Vision Habit 2: Begin with the End in Mind: Principles of Personal Leadership Habit 3 : Put First Things First: Principles of Personal Management Habit 4: Think Win/Win: Principles of Interpersonal Leadership DSM 504 9/17/2020 30

Seven habits (cont…. . ) Habit 5: Seek First to Understand, Then to be Understood Habit 6: Synergize Principles of Creative Communication Habit 7: Sharpen the Saw: Principles of Balanced Self-Renewal DSM 504 9/17/2020 31

The traits of an effective leader -Jack and Suzy Welch Four Es of effective leadership ( Old Es) Four Es of Effective Global Leaders ( New Es) DSM 504 9/17/2020 32

Old Es Energy - the capacity to go-go-go, always engaged and ready for challenge Energize – the ability to invigorate/stimulate others Edge – the capacity to make a yes or no decision Execution - the ability to get the things done Passion – for both work and life DSM 504 9/17/2020 33

The New Es Today's global environment with its ever increasing competitive intensity, leaders will need the old Es, but the new Es are becoming just as essential. These are: E - Empathy E- Experimental E- Example Excited DSM 504 34

Empathy – means more than just warmth and compassion and extends to understanding different cultures enough to show consistent respect for their values and traditions e. g. new year for Chinese Experimental – leaders fearless exploration of new ideas, products or markets , even when the rewards are not immediate ( risk taking) DSM 504 9/17/2020 35

Example – building an organizational culture through shared values, hence leaders at every level need the ability to serve as role models – they must demonstrate the behaviour that the company wants and expects from its employee DSM 504 9/17/2020 36

Excited to win – this stems from increased competition from the global market. The never-turned-off, ever changing world demands that leaders show up with a radically different attitude. ◦ One CEO says “ just find me a person who is dying to win, a person who hates losing and everything seems to take care of itself DSM 504 9/17/2020 37

Major approaches to Studying Leadership These are: ◦ ◦ Great Man Approach Traits approach Behavioral approach Situational approach DSM 504 9/17/2020 38

Approaches The great man theory – leaders are born and not made. Individuals are born either with or without the necessary traits for leadership Traits approach: - Researchers identify and study attributes of leaders in order to determine which traits and skills distinguish superior leaders. personality, social, physical or intellectual traits that differentiate leaders from non leaders Behavioral approach : - focuses on what leaders actually do in their positions and how these actions relate to the leaders effectiveness Situational approach: - Follows the logic of the contingency, whereas important contextual factors are identified and studied ( e. g. motivation levels of subordinates, the reward system) DSM 504 9/17/2020 39

The Great Man theory Leaders are born and great leaders will arise when there is a great need In time of need a Great Man would arise – almost magically Based on early research of leadership which was based on people who are already leaders Leaders associated with great man theory – Eisenhower, Churchill, Jesus, Moses, Mohammed DSM 504 9/17/2020 40

The traits approach Before 1950 s researchers sought to understand leadership by comparing traits of leaders with followers and effective leaders with ineffective leaders This search for features/traits of a leader was prompted by a belief that leaders somewhat possess distinguishing traits that set them apart form other people DSM 504 9/17/2020 41

Traits theory Traits theory focuses on traits or personal characteristics that differentiate leaders from followers. A leader trait is basically a physical, psychological, social or personality characteristics that distinguish leaders from others The assumption was that if people could also be found with these traits, they too could become great leaders DSM 504 9/17/2020 42

Ralph Stogdill (1948) and Richard Man (1959) concluded that the following traits tended to differentiate between leaders and followers: Intelligence Dominance Self confidence Task relevant knowledge Level of energy and activity DSM 504 9/17/2020 43

Some common attributes of a leader… Traits ◦ ◦ ◦ ◦ Adaptive to situations Alert to social environments Ambitious and achievement oriented Assertive Cooperative Decisive Dependable Dominant desire to influence DSM 504 9/17/2020 44

◦ persistent ◦ Self confidence ◦ Tolerant to stress ◦ Willing to assume responsibility l. Calmness in crisis ◦ Energy ◦ Determination ◦ Resolute courage ◦ Sense of justice ◦ Initiative ◦ Humor DSM 504 9/17/2020 45

Physical factors: ◦ ◦ ◦ Activity level Appearance Height Weight Physical fitness DSM 504 9/17/2020 46

Skill ◦ ◦ ◦ ◦ Conceptual skills Analytical skills Creative Diplomatic and friendly Effective speaking Knowledgeable about group task Organised administrative ability Persuasive DSM 504 9/17/2020 47

Criticism to these traits Based on personal experience and observations, we might expect to find consistent differences between effective and in effect leaders, however a if we consider a large number of leaders, we reach different conclusions. e. g. generally, leaders are observed to be outgoing and socially assertive, yet some outstanding leaders like Mahatma Gandhi and Abraham Lincoln were relatively shy and withdrawn DSM 504 9/17/2020 48

As more studies were done under this approach, the number of traits of suspected importance began to grow and the results became increasingly mixed, with no clear pattern of traits that was strongly and consistently related to leadership Several studies on traits approach seem to disagree on the required traits of a leader. Some say that as far as physical traits are concerned, leaders tend to be bigger and brighter than those being led Intelligence though seems to come out often DSM 504 9/17/2020 49

Political analysis indicates that candidates should not come out as too intelligent to be electable The most intelligent member of a criminal gang is not the leader DSM 504 9/17/2020 50

Common traits - intelligence It appears that people who hold leadership positions tend to be somewhat more intelligent On the other hand, there is a good reason to believe that highly intelligent people are not likely to maintain or retain leadership in many settings. According to this line of reasoning, individuals who are much brighter than their potential followers may have difficulty in communicating and relating to them Therefore, there might be an optimal level of intelligence for a leader in a given situation DSM 504 9/17/2020 51

In his study Fred Fielder and associates suggest that leaders who are intelligent and possess relevant job experience will be more effective if they are in a stress free setting with subordinates who are supportive – this could be the logic much of hiring of managers DSM 504 9/17/2020 52

Therefore, when selecting supervisors, it is common to search for experienced managers possessing a fair degree of intelligence plus social skills that can be used to build supportiveness and reduce interpersonal stress Intelligence here is not looked at as a single unitary factor, but consists of: ◦ analytical reasoning ability, ◦ social intelligence ◦ and creativity DSM 504 9/17/2020 53

Analytical reasoning ability – refers to ability to solve problems that have an abstract element, ability to use deductive thinking – e. g. an individual who is able to solve math problem easily can be said to have high analytical reasoning ability DSM 504 9/17/2020 54

Social intelligence – refers to the ability to understand the motives and actions of others and to interact effectively with others Individuals with this capability are expected t be more capable of understanding and influencing others (they are “street smart” ) DSM 504 9/17/2020 55

Creativity – refers to the ability to identify many possible solutions to a given problem NB: Since it is difficult to get employees with all these capabilities in one, selection is done depending on the job. E. g. an R & D job may require high level analytical reasoning DSM 504 9/17/2020 56

Other common traits Task persistence Self confidence dominance Tolerance of interpersonal stress Ability to influence others behaviour DSM 504 9/17/2020 57

THE BEHAVIORAL APPROACH As interest in the early traits approach to leadership began to decline, researchers focuses their attention on leaders actions rather than on their attributes They tried to identify specific styles of leaders conduct and attempted to discover where leaders behaviour was associated with employee attitudes and performance DSM 504 9/17/2020 58

Leadership styles identified University of IOWA Leadership Studies ◦ Authoritarian ◦ Democratic ◦ Laissez –faire Ohio state University Leadership Studies The managerial Grid – Robert Blake and Jane Mouton Directive vs. Participative Leadership – Tannenbaum and W. Schmidt Charismatic leadership Transactional leadership vs. transformational leadership DSM 504 9/17/2020 59

Autocratic/authoritative leader Gives definite instructions Demands compliance Emphasis task performance Exercise close supervision Permits very little or no subordinate influence on decisions Do not welcome suggestion form subordinates DBA 303 9/17/2020 60

Uses coercion, threat and authority to enforce discipline and ensure performance Is leader centred, production centred, directive leadership styles DBA 303 9/17/2020 61

Democratic/participative Involves subordinates as individuals and as groups in decision making, relating to their goals and plans Permits them to take initiative and judgment Emphasis groups efforts Exercise broad supervision Motivates employees to higher level of performance DBA 303 9/17/2020 62

Uses influence rather than authority Builds a two way communication These leaders are called employee centred, consultative, permissive, equalitarian Laizzes faire ◦ Takes no interest in production or in people “ lets things drift” DBA 303 9/17/2020 63

Comments from research done on each of the styles Authoritarian: ◦ impaired groups morale and initiative ◦ Generates hostility and fosters aggressive behaviour ◦ Leads to high rage of grievance and absenteeism ◦ Dissatisfaction with work ◦ Autocratic led groups tend to stop working and engage in horseplay whenever the leader left the room DBA 303 9/17/2020 64

◦ Although there is a tendency for authoritarian groups to produce more output, the quality of output tend to be higher in the democratically led groups DBA 303 9/17/2020 65

Democratic ◦ Promotes high morale and positive attitude towards the leader and work ◦ Lowers rate of grievances, turnover and absenteeism ◦ Greater acceptance of decisions and greeter commitment to implement themselves ◦ High level of performance and productivity DBA 303 9/17/2020 66

Results ◦ Democratically led groups were more satisfied and displayed less aggression towards one another than in the autocratically led groups DBA 303 9/17/2020 67

Results ◦ Democratically led groups were more satisfied and displayed less aggression towards one another than in the autocratically led groups ◦ Although there is a tendency for authoritarian groups to produce more output, the quality of output tend to be higher in the democratically led groups ◦ Autocratic led groups tend to stop working and engage in horseplay whenever the leader left the room DSM 504 9/17/2020 68

Is autocratic leadership all bad…. Autocratic leadership may not always be inappropriate. Some situations may call for urgent action and in these cases autocratic style of leadership many be the best Most people are familiar with the autocratic leadership and therefore have less difficult in adopting that style In some situations, subordinates may actually prefer an autocratic style DSM 504 9/17/2020 69

Ohio State leadership Studies The researchers under these studies proposed that consideration and initiating structures are two primary dimensions of leadership that parallel the styles of employee task orientation Consideration is defined as the extent to which the leader has job relationship that rely on mutual trust, respect for subordinates, and sensitively to subordinate feelings DSM 504 9/17/2020 70

Initiating structures is the extent to which a leader defines and structures the work that subordinates perform, with an eye towards successful task accomplishment These two dimensions of a leader behaviour are assumed to be independent of each other, so that a leader may possess either a high or low predisposition towards each dimension DSM 504 9/17/2020 71

Leadership Behaviors Consideration Style (expressing warmth, caring concern for workers) Factors • Ability level of employees • Number of subordinates Structured Style (organized, planned, use of deadlines) • Difficulty of job • Best for a leader to use both styles when appropriate

Measurement of Leader’s Behaviors (Based on the Leader Behavior Descriptive Questionnaire; LBDQ) Consideration: • • • Is easy to get along with _____. Explains actions to group members Usually treats everyone in the same manner Let's followers know of changes in advance Puts group ideas into operation Structure: • • • Informs subordinates about what is expected Clarifies roles among group members Makes decisions regarding work methods Advocates the use of standardized procedures Sets specific goals and monitors performance

The combination of the two dimensions for an individual suggests that several different types of managers can be identified DSM 504 9/17/2020 74

high in consideration and low in initiating structures - would be described as a highly considerate of subordinates while lacking the concern for employee production high on initiating structures but low on consideration (lacks concern for the feelings of employees but moderately concerned with output high on both ( ideal style) DSM 504 9/17/2020 75

Results of the study High consideration leaders reported lowered rates of grievance and lower turnover However beyond a certain point, increase in supervisory considerateness did not appear to decrease turnover and grievances further In addition the study showed that high consideration leaders could structure work more without risking grievances and that supervisors can, to some extent compensate for displaying a high degree of structures if they can increase their considerateness DSM 504 9/17/2020 76

In contrast, supervisors who are low on considerateness cannot eliminate negative impact by being less concerned with the creation of structures Low considerateness apparently has a strong and persistent negative effect on relations with subordinates Additionally research has also shown that low considerateness is associated with employee dissatisfaction with supervisors DSM 504 9/17/2020 77

The managerial Grid – Robert Blake and Jane Mouton These two adopted the Ohio States approach to a explain leadership styles in the contest of a grid In the Managerial Grid, the various combinations of a concern for people and a concern for production defines five major leadership styles DSM 504 9/17/2020 78

The Managerial Grid (Blake and Mouton)

The Managerial Grid High 9 8 atmosphere and work tempo 7 Concern for people 9, 9 Team management Work accomplishment is from committed people, interdependence through a “common stake” in organization purpose leads to relationship of trust and respect 1, 9 Country club management Thoughtful attention needs of people for satisfying relationships leads to A comfortable, friendly organization 6 5 4 3 2 Low 5, 5 Organization Management Adequate organization performance possible through balancing the necessity to get out work with maintaining morale of the people at a satisfactory level 9, 1 Authority-Obedience Efficiency in operations results from arranging conditions of work in such a way that human elements interfere to a minimal degree 1, 1 Impoverished Management Exertion of minimum effort to get required work done is appropriate to sustain organization membership 1 1 Low 2 3 4 5 6 Concern for production 7 8 9 High

1, 1 impoverished manager Puts minimum effort to get the required work done Shows very little concern for people or production. Very much like Laissez Faire leader who just lets things drift. He is neither close to production requirements or employee needs. Has minimal standards. DSM 504 9/17/2020 81

1, 9 Country Club Manager This just aims at keeping the boys happy and has little concern for production Involves thoughtful attention to the needs of the people He thinks that if he takes care of employees production will take of itself. Unfortunately, happy workers are not necessarily productive Gives careful attention to people to create a meaningful relationship and friendly atmosphere. DSM 504 9/17/2020 82

9, 1 authority/obedience manager Emphasize efficiently in operations that result from arranging work conditions in such a way that human element can only interfere to a small degree Shows maximum concern for production and minimum concern for people He is authoritarian Demands compliance by using mainly threats and coercion Exercises close supervision Allows employees little or no chance for decision making. He causes employees alienation from the organization by frustrating their needs. DSM 504 9/17/2020 83

5, 5 middle-of-the-road manager Emphasises both production as well as employee need satisfaction but not maximizing. Obtains adequate but not optimal performance Involve people in decision making Uses and seek their ideas Engage in up and down communication. Providing an environment for employee need satisfaction Though they do not optimize on any of these dimensions. DSM 504 9/17/2020 84

9, 9 Team manager Places maximum emphasis on production as well as people They are team managers. They integrate the individual and group such with organizational goals, thus optimize on both dimensions-employees involvement and need satisfaction as well as production. This is the most effective leadership style. DSM 504 9/17/2020 85

The managerial grid model assumes that there is one best or most effective style of management – the team management style. Managers who emphasize both concern for people and production are presumed to be more successful DSM 504 9/17/2020 86

Directive vs. participative leadership This focus attention on incorporating power sharing into leadership It says power-sharing can occur to varying degree: from ◦ ◦ Genuine control over decisions that are made, to providing input to the final decision, to consultation, to mere tokenism and the misuse of the term participative to manipulate other DBA 303 9/17/2020 87

Tannenbaum and Schmidt have suggested that participation is based on the amount of authority used by the supervisor in relation to the amount of freedom permitted to subordinates Their views are presented in a continuum ranging from boss-centred leadership to subordinate centred leadership The use of the authority by manager diminishes in the continuum DBA 303 9/17/2020 88

DBA 303 9/17/2020 89

DBA 303 9/17/2020 90

Results of the studies Studies on the cost and benefit of participative Vs directive style of leadership have not shown convincingly that either style is more commonly superior In some instance, the cost of employee participation may offset the benefits In other instances, however, participation is favour over directive leadership especially where employee loyalty, job satisfaction and commitment is high DBA 303 9/17/2020 91

Contingency Theory of leadership post-World War II development Mere qualities alone are no longer valid The previous approaches concentrated on only leaders themselves and fell short of being an of addressing the various intervening determinants of leadership DBA 303 9/17/2020 92

The Theorist supporting Contingency approach Fred Fiedler Contingency Theory (1961) Path-Goal Leadership Theory ( Martin Evans and Robert House (1971) DSM 504 9/17/2020 93

Contingency theory turns its attention to: ◦ The group being led ◦ The exchange relationship between the leader and the group ◦ The situational aspect of leadership DSM 504 9/17/2020 94

It is believed that there are situational variables that affect: ◦ ◦ Leadership roles Leadership Skills Leadership Behaviours Followers performance and satisfactions These variables have been identified by Fred Fielder in his Contingency Model of Leadership effectiveness DSM 504 9/17/2020 95

Fiedler’s Contingency Model of Leadership Effectiveness This model contains the relationship between leadership style and the favourableness of the situation It says that a leaders behaviour required for effective group performance depends on the favourableness or unfavourableness of the situation DSM 504 9/17/2020 96

Situational factor in Fiedler’s Contingency Model 1. 2. Leader-member relationship ( with group members) Degree of task structure ( nature of task) The leaders position power (arising from the organisation structure) DSM 504 9/17/2020 97

Situation is favourable to the leader if …. All the three dimensions are high i. e. ◦ The leader is generally accepted, respected, gets support from the followers and the group is ready to be directed ( high first dimension) ◦ The extent to which the task is structured is clearly defined so that it can be delegated, controlled and evaluated ( high second dimension) ◦ If a great deal of authority and power are formally attributed to the leaders position ( high third dimension) DSM 504 9/17/2020 98

The situation is unfavourable if… ◦ The tasks are very ambiguous ◦ The leader position authority is weak ◦ The group relationship with the leader is poor – no respect, support or acceptance Fiedler concluded through his research that the favourableness of the situation in combination of the leadership style determines leadership effectiveness DSM 504 9/17/2020 99

Based on the analysis of Fiedler findings from all types of situations, Fielder discovered that: Under very favourable and very unfavorable situation … the task- directed, hard-nosed and authoritarian, type of a leader was most effective DSM 504 9/17/2020 10 0

However, when the situation is moderately favourable or unfavourable ( the intermediate range of favourableness), …… the human oriented or democratic type of leader was most effective DSM 504 9/17/2020 10 1

Why is the tasks- directed leader successful in very favourable situations…. In very favourable situations in which the leader has power, informal backing and relatively well structured task, the group is ready to be directed, and the group expect to be told what to do DSM 504 9/17/2020 10 2

Why tasks- directed leader is successful in very unfavourable situations…. In this situation, the effective leader will take charge and make the direction that need to be made to accomplish a task without asking for input and trying to keep everyone happy, otherwise nothing will be done DSM 504 9/17/2020 10 3

When human oriented, democratic leader is effective. . Will be effective in the intermediate range of favourableness E. g. In a committee where the leader may not be wholly accepted by other members, and the task is not completely structured, and some authority or power is granted to the leader The same moderate favourable situation applies often managers and supervisors DSM 504 9/17/2020 10 4

Path- Goal Leadership Theory The path Goal Theory attempts to explain the impact that leader behaviour has on subordinate motivation , satisfaction, and performance It emphasizes that leaders can optimize organizational effectiveness by influencing the path-goal perception of subordinates and their need satisfaction DSM 504 9/17/2020 10 5

Path-Goal Theory Premise • Leader must help followers attaining goals and reduce roadblocks to success • Leaders must change behaviors to fit the situation (environmental contingencies & subordinate contingencies) © 2007 Prentice Hall Inc. All rights reserved.

Path-Goal Theory Leader is seen as important in providing a path for employees to attain desired goals Leadership Behaviors (must be able to use all four types when necessary. Use varies with such factors as employee ability, work environment, group size) • Directive [leader tells subordinates how to perform tasks; provides guidelines and structure] • Supportive [leader shows caring and concern for subordinates’ well being] • Participative [leader involves subordinates in decision-making] • Achievement-oriented [leader sets specific and challenging goals; promotes high work-related aspirations and goal attainment]

Four Major styles of leadership – R. House 1. Directive leadership: subordinates know exactly what is expected of them, and the leader gives specific direction. There is not participation by subordinates 2. Supportive leadership: the leader is friendly and approachable and shows a genuine concern for subordinates 3. Participative leadership: The leader asks for and uses suggestions form subordinates but still makes the decision DSM 504 9/17/2020 10 8

Styles of leadership – R. House (cont. . ) 4. Achievement- oriented leadership: The leader sets challenging goals for subordinates and show confidence that they will attain these goals and perform well DSM 504 9/17/2020 10 9

Path- Goal theory situational factors The path-goal theory suggests that these various styles can be and actually are used by the same leader in different situations ( differs from Fiedler’s model in this respect) Two situational factors that have been identified are: ◦ The personal characteristics of the subordinates ◦ The environmental pressures and demands facing the subordinates DSM 504 9/17/2020 11 0

The personal characteristics of the subordinates subordinated accept a leader behaviour and respond to his/her goal, plans and policies to the extent that they perceive his behaviour as either an immediate source of satisfaction or as instrumental or future satisfaction DSM 504 9/17/2020 11 1

The environmental pressures and demands facing the subordinates. . Its preposition is that: A leader will be successful in obtaining optimum employee task performance and contribution to organizational goals to the extent that s(he): 1. Makes employee needs satisfaction conditional to effective performance 2. It complements the environment of subordinates by proving the coaching, guidance, support and rewards which are necessary for effective performance and which many otherwise be lacking in subordinates in their environment DSM 504 9/17/2020 11 2

Path Goal Theory Environmental Contingency Factors • Task Structure • Formal authority system • Work Group Leader Behavior • Directive • Supportive • Participative • Achievement -oriented Outcomes • Performance • Satisfaction Subordinate contingency factors • Locus of control • Experience • Perceived ability

Using one of the four styles contingent on the situational factors outlines, the leader attempts to influence subordinates’ perceptions and motivate them, which in turn lead to their role clarity, goal expectancies, satisfaction , and performance. DSM 504 9/17/2020 11 4

How can leaders accomplish effectiveness under this theory? 1. 2. 3. 4. Recognizing and/or arousing the subordinates needs for outcome/reward over which the leader has some control Increase his personal payoff for goal attainment Making the path for those pay-offs easier to travel by coaching and directing Helping subordinate clarify his expectations DSM 504 9/17/2020 11 5

How can leaders accomplish effectiveness under this theory? 5. Reduce frustrating barriers 6. Increase opportunities for personal satisfaction contingent on effective performance ◦ In other words, by doing the above, the leader attempts to make the path to subordinates goal as smooth as possible ◦ But to accomplish the path-goal facilitation, the leader must use the appropriate style contingent on the situation variables present DSM 504 9/17/2020 11 6

Modern theoretical processes of leadership The contingency and path goal theories have a relative degree of acceptance. But despite this scholars feel that much more research on leadership needs to be conducted and a number of other theories have recently emerged. These include: ◦ The charismatic ◦ Transformational leadership DSM 504 9/17/2020 11 7

From the late 1970 s onwards the concept of ‘transformational leadership’ gained currency with writers like Burns (1978) and later Covey (1992) who advocated for leadership being about transforming people and organisations by engaging their hearts and minds Also in the last 20 years other leadership theories have emphasised the importance of the ‘charismatic leader’ or the ‘servant leader’ (Greenleaf 1998). DSM 504 9/17/2020 11 8

Charismatic leadership theories Charismatic leaders are persons “ who by the force of their personal abilities are capable of having profound and extraordinary effect on followers” Charismatic leaders: ◦ Exude self confidence ◦ Have a sense of purpose ◦ Have ability to articulate a view that subordinates are already likely to accept DSM 504 9/17/2020 11 9

Charismatic leadership Charismatic leaders: ◦ Exude self confidence ◦ Have a sense of purpose ◦ Have ability to articulate a view that subordinates are already likely to accept Studies of identifiable charismatic individuals indicate that charismatic types are often rejecting of formal authority and are willing to take personal risk because of their strong convictions DSM 504 9/17/2020 12 0

Bernard Bass and Bruce in their study of charismatic leaders found that they are rated more highly on their effectiveness as leaders and have subordinates who are more highly satisfied with their leadership DSM 504 9/17/2020 12 1

Charismatic leadership has been seen to have its bright and dark side Franklin Roosevelt, John F. Kennedy, Mahatma Gandhi, Nelson Mandela have shown the bright side Adolph Hitler, and the like have shown the dark side – where these leaders have encouraged followers to be devoted to them rather than commitment ideological principles DSM 504 9/17/2020 12 2

Charismatic leadership (cont…) The modern development of charismatic leadership is attributed to the work of Robert House He suggests that charismatic leaders are characterized by self confidence and confidence in subordinates, high expectations for subordinates, ideological vision and the use of personal example DSM 504 9/17/2020 12 3

Charismatic leadership (cont…) Followers of charismatic leaders identify with the leader and the mission of the leader, exhibit extreme loyalty to and confidence in the leader, emulate the leaders values and behaviour and derive self esteem form their relationship with the leader DSM 504 9/17/2020 12 4

Charismatic leadership (cont…) Another author Bass Bernard has extended the profile of charismatic leaders to include superior debating and persuasive skills as well as technical expertise and fostering of attitudinal, behavioral, and emotional changes in their followers DSM 504 9/17/2020 12 5

Charismatic leadership (cont…) Because of the effects the charismatic leaders have on followers, theory predicts that charismatic leaders will produce in followers performance beyond expectations as well as strong commitment to the leader and his/her mission DSM 504 9/17/2020 12 6

Charismatic leadership (cont…) Research indicates that the impact of such a charismatic leader will be enhanced when the followers exhibit higher levels of self awareness and self-monitoring, especially when observing the charismatic leaders’ behaviours and activities and when operating in a social network DSM 504 9/17/2020 12 7

Charismatic leadership (cont…) Leaders traits that foster charismatic attributions include: ◦ Self confidence ◦ Impressions management skills ◦ Social sensitivity and empathy Situations that promote charismatic leadership include: ◦ A crisis requiring dramatic change or ◦ Followers who are very dissatisfied with the status quo Therefore charismatic leadership must be considered in the context in which the leader operates and the nature of task being performed DSM 504 9/17/2020 12 8

Types of charismatic leadership styles Envisioning To create a picture for the future – or a desired future state - with which people can identify and can generate excitement ◦ For example articulating a compelling vision and/or setting high expectations Energizing Directing the generation of energy, the motivation to act, among members of the organisation ◦ For example demonstrating person excitement and confidence and seeking, finding and using success DSM 504 9/17/2020 12 9

Enabling Psychologically helping people act or performing in the face of challenging goals ◦ For example expressing personal support and empathizing DSM 504 9/17/2020 13 0

The dark side of charismatic leadership Charismatic leaders tend to be portrayed as wonderful heroes, But there can also be unethical characteristics associated with charismatic leaders as noted by Jane Howell an Bruce Avolio (1992) DSM 504 9/17/2020 13 1

charismatic leadership styles Envisioning To create a picture for the future – or a desire end future state - with which people can identify and can generate excitement ◦ For example articulating a compelling vision and/or setting high expectations Energizing Directing the generation of energy, the motivation to act, among members of the organisation ◦ For example demonstrating person excitement and confidence and seeking, finding and using success DBA 303 9/17/2020 13 2

Enabling Psychologically helping people act or performing in the face of challenging goals ◦ For example expressing personal support and empathizing DBA 303 9/17/2020 13 3

Charismatic Leadership – Key characteristics Self Confidence- They have complete confidence in their judgment and ability. A vision- This is an idealized goal that proposes a future better than the status quo. The greater the disparity between idealized goal and the status quo, the more likely that followers will attribute extraordinary vision to the leader. Ability to articulate the vision- They are able to clarify and state the vision in terms that are understandable to others. This articulation demonstrates an understanding of the followers’ needs and, hence acts as a

Charismatic Leadership – Key characteristics Strong convictions about vision. Charismatic leaders are perceived as being strongly committed, and willing to take on high personal risk, incur high costs, and engage in self-sacrifice to achieve their vision. Behavior that is out of the ordinary- Those with charisma engage in behavior that is perceived as being novel, unconventional, and counter to norms. When successful , these behaviors evoke surprise and admiration in followers. DBA 303 9/17/2020 13 5

Charismatic Leadership – Key characteristics Perceived as being a change agent. Charismatic leaders are perceived as agents of radical change rather than as caretakers of the status quo. Environmental sensitivity- These leaders are able to make realistic assessments of the environmental constraints and resources needed to bring about change. DBA 303 9/17/2020 13 6

Dark side of charismatic leadership Charismatic leadership has been seen to have its bright and dark side Franklin Roosevelt, John F. Kennedy, Mahatma Gandhi, Nelson Mandela have shown the bright side Adolph Hitler, and the like have shown the dark side – where these leaders have encouraged followers to be devoted to them rather than commitment ideological principles DBA 303 9/17/2020 13 7

The dark side of charismatic leadership Charismatic leaders tend to be portrayed as wonderful heroes, But there can also be unethical characteristics associated with charismatic leaders as noted by Jane Howell an Bruce Avolio (1992) DBA 303 9/17/2020 13 8

Ethical and unethical characteristics of charismatic leaders Ethical charismatic leader Aligns vision with followers needs and aspirations Considers and learns from criticism Stimulates followers to think independently and to question the Unethical charismatic leader Uses power only for personal gain or impact Promotes own personal vision Censures critical or opposing views DBA 303 9/17/2020 13 9

Ethical and unethical characteristics (cont. . ) Open two-way communication Coaches, develops, and supports follower; shares recognition with others Relies on internal moral standards to satisfy organizational and societal interests One way communication Insensitive to followers needs Relies on convenient, external moral standards to satisfy self interests DBA 303 9/17/2020 14 0

Ethical and unethical characteristics of charismatic leaders Ethical charismatic leader Aligns vision with followers needs and aspirations Considers and learns from criticism Stimulates followers to think independently and to question the leaders view Unethical charismatic leader Uses power only for personal gain or impact Promotes own personal vision Censures critical or opposing views DSM 504 9/17/2020 14 1

Ethical and unethical characteristics (cont. . ) Open two-way communication Coaches, develops, and supports follower; shares recognition with others Relies on internal moral standards to satisfy organizational and One way communication Insensitive to followers needs Relies on convenient, external moral standards to satisfy self interests DSM 504 9/17/2020 14 2

Transformational leadership theory Transformational leadership is based more on leaders shifting the values, beliefs and needs of their followers unlike the transactional leadership which involves exchange relationship between leaders and followers Transactional leadership refers to the everyday exchanges that takes place between leaders and subordinates as they routinely perform their duties Transformational leadership , is a more broader concept than charismatic and implies reshaping entire strategies of an organisation DSM 504 9/17/2020 14 3

Transformational leaderships elevates the goals of subordinates and enhances their self confidence to strive for higher goals Transformational leadership is potentially the highest level of management DSM 504 9/17/2020 14 4

Transformational vs. transactional leadership Transactional leaders: Transformational leaders Contingent rewards: Contracts the exchange of reward for effort; promises reward for good performance; recognizes accomplishment Charisma: provides vision and sense of mission, instill pride, gains respect and trust DSM 504 9/17/2020 14 5

Transformational vs. transactional leadership (cont. . ) Management by exception (active): watches and searches for deviations form rule and standards; taken corrective action Inspirational: communicates high expectations ; uses symbols to focus effort, expresses important purposes in a simple way DSM 504 9/17/2020 14 6

Transformational vs. transactional leadership (cont. . ) Management by exception (passive): Intervenes only if standards are not met Laissez-faire: abdicates responsibility and avoids making decisions Intellectual stimulation: promotes intelligence; rationality, and careful problem solving Individual consideration; Gives personal attention, treats each employee individually ; coaches and advises DSM 504 9/17/2020 14 7

Transformational vs. transactional leadership (cont. . ) Bass concludes that in many instances (such as relying on passive management by exception), transactional leadership is a prescription for mediocrity and the transformational leadership leads to superior performance in organisations facing demand for renewal and changes DSM 504 9/17/2020 14 8

Characteristics of transformational leaders Charisma : Provides vision and sense of mission, instills pride, gains respect trust. Inspiration: Communicates high expectations, uses symbols to focus efforts, expresses important purposes in simple ways. Intellectual Stimulations: Promotes intelligence, rationality, and careful problem solving. Individualized consideration: Gives personal attention, treats each employee individually, coaches, advises. DBA 303 9/17/2020 14 9

Characteristics of transformational leaders cont… They identify themselves as change agents Courageous Believe in people Are value driven They are lifelong learners Have the ability to deal with complexity, ambiguity and uncertainty Are visionary DSM 504 9/17/2020 15 0

Substitute for leadership Is there any? Can an organisation perform effectively without effective leadership? DSM 504 9/17/2020 15 1

Substitute for leadership Some of the basic assumptions about the importance of leadership per se have been challenged over the years Steve Kerr and John Jermier have suggested that leader behaviour may sometimes be unnecessary, redundant or superfluous and can be neutralized because factors in the situation offer sufficient aid to subordinates The substitute or neutralizer can be found in subordinate characteristics, task characteristics and organizational characteristic DSM 504 9/17/2020 15 2

Leadership neutralizers and substitutes Subordinate characteristics Subordinate experience, ability and training – can be a substitute for instrumental/task leadership. Does not need a leader to perform well Professional orientation – Where one is a professional in their own right ( substitute for instrumental and supportive leadership Indifference towards organizational rewards Those subordinates who do not particularly care about organizational reward will neutralize both supportive/relationship and instrumental/task leadership attempts DSM 504 9/17/2020 15 3

Leadership neutralizers and substitutes (cont…) Task Characteristics Structured and routine tasks – substitute for Feedback within the task – substitute for Intrinsically satisfying tasks – substitute for instrumental leadership supportive leadership DSM 504 9/17/2020 15 4

Leadership neutralizers and substitutes (cont…) Organizational characteristics Cohesive work groups - substitute for instrumental and supportive leadership Low position power of leader – neutralizing instrumental and supportive leadership Formalization – substitute for instrumental leadership Inflexibility – neutralizes instrumental leadership Leader physically isolated from subordinates – neutralizes instrumental and supportive leadership DSM 504 9/17/2020 15 5

Obstacles to personal effectiveness in leadership positions Leaders can face a rough road: ◦ For reasons beyond their control ( subordinates, task, or organizational characteristics) ◦ Or for failing to follow some widely accepted management wisdom as compiled by J. K. Van Fleet – the biggest mistakes manager make DSM 504 9/17/2020 15 6

Top 10 mistakes 1. 2. 3. 4. Failing to stay abreast of developments in your field and limiting yourself to your own specialty area Refusing to seek higher responsibility or to take responsibility for your own actions Failing to make sure that assignments are understood, supervised and accomplished Refusing to assess your own performance and abilities realistically DSM 504 9/17/2020 15 7

Top 10 mistakes (cont. . ) 5. Using your position for personal gain and failing to tell the truth 6. Not setting a positive, personal example for subordinates 7. Trying to be liked rather than respected 8. Emphasizing rules rather than skill 9. Failing to keep criticism in a constructive vein 10. Not attending to employees pains/ problems and complains DSM 504 9/17/2020 15 8