Charismatic leadership

Presented by:
Surbhi Arora
Sourav Gupta
Sreenath Vijayan
Swayan Kant
Sashi Gaurav
Robit Gupta
Evolution of the field

Background forces in business world-

- Types of organizational leaders
- Maximum man & Minimum man
- Characteristic of leadership.
 Challenging the status quo
 Engaging in creative visioning of future
 Promoting changes in followers
 Leader-follower relationship
1988 Jane Howell & Robert House identified
charismatic behavior applied to leadership
Managership
 Manage resourses in a daily
basis
 Exhibits supervisory
behaviour
 Administrate subsystem
within organisation
 Establish culture
 Use transactional influences
 Support status quo
Difference between Leadership &
Managership
Leadership
 Long term objective for
reforming a system
 Exibit leading behaviour
 Innovates for entire
organisation
 Create vision and meaning
 Use transformational
influences
 Challenge the status quo
 Inspirational Approaches to
Leadership
Charismatic Leadership Theory
Followers make attributions of heroic or extraordinary
leadership abilities when they observe certain behaviors.

Charismatic
Charismaticleaders:
leaders:
1.1. Have
Haveaavision.
vision.
2.2. Are
Arewilling
willingtototake
takepersonal
personalrisks
riskstotoachieve
achievethe
the
vision.
vision.
3.3. Are
Aresensitive
sensitivetotofollower
followerneeds.
needs.
4.4. Exhibit
Exhibitbehaviors
behaviorsthat
thatare
areout
outofofthe
theordinary.
ordinary.
 Key Characteristics of Charismatic Leaders

1. Vision and articulation. Has a vision—expressed as an idealized

goal—that proposes a future better than the status quo; and is able to
clarify the importance of the vision in terms that are understandable to
others

2. Personal risk. Willing to take on high personal risk, incur high costs
and engage in self-sacrifice to achieve the vision

3. Environmental sensitivity. Able to make realistic assessments of

the environmental constraints and resources needed to bring about
change

4. Sensitivity to follower needs. Perceptive of others’ abilities and

responsive to their needs and feelings

5. Unconventional behavior. Engages in behaviors that are

perceived as novel and counter to norms
 Bernard Bass & Full Range Leadership Model
 Core assumptions of self-interest and personal development
 Transactional leadership
◦ transactional leaders respond to followers’ immediate self-
interests
◦ leader identifies with what followers want & helps them
achieve level of performance that results in rewards that
satisfy them
 Transformational leadership
◦ leaders influence workforces to go beyond simple self-
interests
◦ leader has ability to inspire and motivate followers to achieve
results greater than originally planned and for internal rewards

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Bass’s Research on
Transactional & Transformational Leadership
Transformational leadership
• Idealized influence - charisma
• Inspirational motivation
• Intellectual stimulation
• Individualized consideration

Transactional leadership
• Contingent rewards & Constructive
transactions
• Management by exception
• Laissez-faire leadership
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Full Range of Leadership Model
 Jay Conger and Empowerment
• Appreciation of dilemmas associated with empowerment
• Theoretical rationale based on social learning theory
• Individuals feel empowered through experience of
– Evidence that they are actually being successful
– Recognition of progress, by words of encouragement
– General emotional support
– Powerful role models
• Creative jolts to expectations
– Jolt followers out of sense of negativity & behavioural impotence
through act of leadership

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 Charisma & Transformational Leadership

 Bass’smodel examined using Multifactor leadership

Questionnaire (MLQ)
 Two similar and differentiable leadership styles?
◦ Idealisation of leader
◦ Inspirational content of leader’s words or vision
◦ Together a measure of charismatic leadership style
 Providesan expanded picture of leadership that includes the
exchange of rewards & leader’s attention to growth of followers
 Placesa strong emphasis on followers’ needs, values, and
morals - motivated to transcend self-interests for good of team
 Best leaders are both transformational and transactional

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The Dilemma of Charisma

Think about the following

  questions
• What does being charismatic mean to you?
• Have you ever met a person whom you would
describe as charismatic?
• What qualities made this person so special?
• Would you be happy with her/him as a leader of your
organization? Why?
• Do you believe you possess some of the qualities of
a charismatic person?
• Are there ways you can acquire charismatic
qualities?
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Conger-kanaungo charismatic leadership
questionnaire

Four leaders at Carmax

Tom Foliard, CEO and President
Cliff Woods, Vice President of Merchandising
Mike Otte, Regional Vice President of Traditional
Systems
Sean Ramage, Director of Management Training
Conger-kanungo charismatic
leadership questionnaire
Conger-kanaungo charismatic leadership
questionnaire
Rating scale
6 = Very Characteristic
5 = Characteristic
4 = Slightly Characteristic
3 = Slightly Uncharacteristic
2 = Uncharacteristic
1 = Very Uncharacteristic
Conger-kanungo charismatic
leadership questionnaire
 Impression management
Wit
Willingness
Ability
 Impression management
Tom Folliard, CEO & President of CarMax
“once a crisis stage is reached, the leader exerts
greater personal control and becomes less able
to hear the counsel of advisors or staff members
who might be helpful."
Flaws with charismatic leaders
 manipulation through Impression management and
communication skills
 management practices that become liabilities
 Managing Upwards and Sideways
 Relationships with Subordinates
 Administrative Skills
 Succession Problems
 Conger - Dark Side of Leadership

 Conger warns of dangers associated with high-profile

leadership practices
 Looks at leaders first hailed as exemplary & later as
misguided or morally suspect
 Leader’s distort vision to meet egocentric ambitions
 Leader develops sense of invulnerability & belief in
‘rightness’ of their vision
 Failure of charismatic leader due to:
◦ Commitment to vision – shift to single-minded obsessiveness
◦ Authentic communication – with vision as extension of leader’s
personality needs communication is les authentic
◦ Style of charismatic leader – exclusion and stereo-typing
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 James McGregor Burns on Empowerment
 Burns is pioneer of transformational leadership
 Transforming nature of a leadership act understood through
unexpected and individualistic action of individual
 Leadership roles exist in web of relationships which offer
insights into how values impact on leadership
◦ The ethical dimension
◦ Social values
◦ Socially desired goals
 Initiatingacts trigger value-laden reactions by individuals
acting out three roles
 Dilemmas of empowerment
◦ who empowers who?
◦ To whose purpose?

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 Jim Collins on the Fifth Level Leader
Beyond Charisma

• Collins examined features of exceptional companies

• From 1400 companies eleven chosen as showing sustained excellence.
The strongest differentiating factor of these companies termed ‘level
five leadership’
• Level 1 – Individual‘s talent, knowledge, & skills are key contribution
• Level 2 – Leadership as collaborative team efforts
• Level 3 – Competent manager, effectively organizes towards
predetermined goals
• Level 4 – Effective leader, promoting commitment to compelling vision &
high performance standards
• Level 5 – Executive builds great companies, exercising of personal
humility combined with assertiveness (willfullness)

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 Summary
 Fundamental map - charismatic leadership & relationship with
new leadership thinking
 Transformational leadership contrasted with economic exchange
models of transactional leadership
 Exposes mechanisms through which leaders manage change
 Bass presents each leaders as having elements across a range of
leadership styles. Transformational leaders incorporate some
transformational behaviours
 Transformation maps imply leadership development is possible
at all organizational levels
 Acceptance of charismatic leader ignores the dilemma of the
self-seeking and destructive leader who is ‘taken on trust’.

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