Professional Documents
Culture Documents
Leadership
Leader Someone who can influence others and who has managerial
authority
Leadership The ability to influence a group toward the achievement of
a vision or set of goals.
Leadership is about coping with change
o All leaders are not managers
o All managers are not leaders
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Importance of Leadership
1. To influence others
2. For optimal effectiveness
3. To create vision of the future
4. To inspire members
5. To create confidence and trust
6. To motivate employees
7. To build morale
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Power
Power refers to a capacity that ‘A‘ has to influence the behavior of
‘B‘ so ‗B‘ acts in accordance with ‗A‘s wishes.
Probably the most important aspect of power is that it is
a function of dependence.
The greater ‗B‘s dependence on ‗A’, the greater ‗A‘s power
in the relationship.
Dependence - ‗B’s relationship to ‘A‘ when ‘A‘ possesses
something that ‘B‘ requires.
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Bases of Power
1. Formal Power
Based on an individual’s position in an organization.
Coercive Power A power base that is dependent on fear of
the negative results from failing to comply.
Reward Power Compliance achieved based on the ability to
distribute rewards that others view as valuable.
Legitimate Power The power a person receives as a result of
his or her position in the formal hierarchy of an organization.
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2. Personal Power
Influence derived from an individual’s characteristics.
Expert Power Influence based on special skills or knowledge.
Referent Power Influence based on identification with a
person who has desirable resources or personal traits.
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Power Centers
Power center is a person who is in close surrounding area
of higher management and whom management trusts and
takes feedback from.
It is very important to understand that these people may
not be on very important designations but may be the
supply of information to the boss.
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Power Tactics
Ways in which individuals translate power bases into specifications.
Legitimacy. Relying on your authority position or saying a
request accords with organizational policies or rules.
Rational persuasion. Presenting logical arguments and factual
evidence to demonstrate a request is reasonable.
Inspirational appeals. Developing emotional commitment by
appealing to a target’s values, needs, hopes, and aspirations.
Consultation. Increasing the target’s support by involving him or
her in deciding how you will accomplish your plan.
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Leadership Theories
I. Trait Theories
Theories that consider personal qualities and characteristics that
differentiate leaders from non-leaders.
A review in the late 1960s of 20 different studies
identified nearly 80 leadership traits, but only 5 were
common to 4 or more of the investigations.
By the 1990s, after numerous studies and analyses, about
the best we could say was that most leaders ―are not like
other people,‖.
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2. Transformational–Transactional Leadership:
Transactional Leaders: Leaders who lead primarily by using
social exchanges (or transactions).
Transformational Leaders: Leaders who stimulate and
inspire (transform) followers to achieve extraordinary outcomes.
Transactional and transformational leadership shouldn‘t
be viewed as opposing approaches to getting things done.
Transformational leadership develops from transactional
leadership.
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3. Charismatic–Visionary Leadership:
Charismatic Leader: An enthusiastic, self-confident leader
whose personality and actions influence people to behave in certain
ways.
Visionary Leadership: The ability to create and articulate a
realistic, credible, and attractive vision of the future that improves
upon the present situation.
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System-1 Exploitive–Authoritative
Managers practicing this system of management are highly
autocratic, have no trust in subordinates and put a finger
everywhere. They believe in motivating people through fear
and punishment and occasionally reward them. They engage
in down ward communication and limit decision-making at top
level of management only.
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System-2 Benevolent–Authoritative
Managers practicing this displays full trust and confidence in
their subordinates. They motivate the employees by giving
occasional rewards but maintain fear amongst subordinates
and awards punishments wherever it is required. They believe
in minimum upward communication and invites some ideas
relating to issue in hand. Managers permit certain decision-
making and delegates authority to a limited measure. They
exercise close control in leading their subordinates.
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System-3 Consultative
Managers practicing this have substantial but not full confidence
and trust in their subordinates. Usually they make use of ideas
and opinion of subordinates. They believe in upward and
downward communication when dealing with subordinates. To
motivate, the managers issue rewards but occasional punishment is
also awarded. They lay down broad policy and keeps decision
making on important policy matters to top level. However, specific
decision-making is left to subordinates which may relate to day to
day functions within the policy parameter laid down.
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System-4 Participative–Group
In this system managers have complete confidence and full trust in
subordinates on all matters of organization. They always get ideas
from subordinates and use them constructively. They give economic
rewards for participation and involvement in goal setting. Manager
practicing this encourages decision making by subordinates and merge
themselves in the group and carryout task without any
differentiation. They believe and encourage communication with
subordinates, superiors and with the peer group.
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Managerial Grid
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