LEADERSHIP

By: Kirsten Baula

 Leadership is a process by which an executive can direct, guide and influence the behavior and
work of others towards accomplishment of specific goals in a given situation.
 Leadership is the potential to influence behavior of others.

Leaders can be:

 Formal Leaders – those who hold a position of authority and may utilize the power that comes
from their position, as well as their personal power to influence other.
 Informal Leaders – those without formal position of authority within the organization but
demonstrate leadership by influencing those around them through personal forms of power.

Importance of Leadership

1. Initiates action
2. Motivation
3. Providing guidance
4. Creating confidence
5. Building morale
6. Builds work environment
7. Coordination

Traits of Effective Leaders

1. Intelligence -allows leaders to evaluate others’ opinions and hypothetically place them into the
plan and see if they fit in. Using valuable inputs that work out for the better often boosts
employee morale and allows for better efficiency.
2. Personality
 Openness – being curious, original, intellectual, creative, and open to new ideas.
 Conscientiousness – being organized, systematic, punctual, achievement-oriented and
dependable.
 Extraversion – being outgoing, talkative, sociable and enjoying social situations.
 Agreeableness – being affable, tolerant, sensitive, trusting, kind and warm.
 Neuroticism – being anxious, irritable, temperamental and moody.

3. Self- Esteem - the degree to which a person is at peace with oneself and has an overall positive
assessment of one’s worth and capabilities.
4. Integrity - is the practice of being honest and showing a consistent and uncompromising
adherence to strong moral and ethical principles and values.

Three (3) Broad Types of Skills a Leader use:

 Technical Skill – refers to a person knowledge of, and ability in any type of process or technique.
 Human Skill – is the ability to work effectively with people and to build teamwork.
 Conceptual Skill– is the ability to think in terms of models, frameworks, and broad relationships.

MANAGER VS LEADER

MANAGER LEADER
The manager administers The leader innovates
The manager maintains The leader develops
The manager accepts reality The leader investigates it
The manager focuses on systems and structure The leader focuses on people
The manager relies on control
The manager has a short-range view
The manager asks how and when
The manager has his or her eye always on the
bottom line
The manager imitates
The manager accepts the status quo
The manager is the classic good soldier
The manager does things right
The leader inspires trust
The leader has a long-range perspective
The leader asks what and why
The leader has his or her eye on the horizon
The leader originates
The leader challenge sits
The leader is his or her person
The leader does the right thing

Two Categories of Leader Behaviors

1. Task-oriented behaviors (Initiating Structure)

- involve the structuring the roles of subordinates, providing them with instructions, and behaving in
ways that will increase the performance of the group.

2. People-oriented behavior (Consideration)

- include showing concern for employee feelings and treating employees with respect.

Types of Decision- Making Styles

1. AUTHORITARIAN DECISION MAKING – leaders make the decision alone without

necessarily involving employees in the decision- making process

ADVANTAGES:

It reduces the time needed to make decisions.

It creates clarity within the chain-of-command.

It can provide a boost in productivity.

It can reduce the number of mistakes which occur.

DISADVATAGES:

It may cause some employees to rebel.

It may impair the morale of the group.

It eliminates innovation from the process.

2. DEMOCRATIC DECISION MAKING – leaders and employees participate in the making of

the decision.

ADVANTAGES:

It is a leadership style anyone can practice.

It builds team-based relationships.

It makes honesty a top priority.

It creates higher levels of job satisfaction.

DISADVANTAGES:

It can cause disharmony if it is misapplied.

It may never reach a true consensus.

It does not always offer a positive outcome.

3. LAISSEZ-FAIRE DECISION MAKING – leaders leave employees alone to make the

decision. The leader provides the minimum guidance and involvement

ADVANTAGES:

Freedom to make decisions.

Brings creativity.

DISADVANTAGES:

Lack of role awareness.

Low accountability

4. BUREAUCRATIC DECISION MAKING – leaders strictly adhere to the organizational rules

and policies. They make sure that the employees/team also strictly follows the rules and
procedures.

ADVANTAGES:

Specialization or Expertise

Predictability

Structure

Equality

DISADVANTAGES:

One way communication

The exploitation of power

Delay in business decision-making

Hinders innovation and creativity

Contingency Approaches to Leadership

FIEDLERS’S CONTINGENCY THEORY

- the best way to lead your team will be determined by the situation.

Two Factors:

1. Leadership Style - the first step in using the model is to determine your natural leadership style.
To do this, Fiedler developed a scale called the Least Preferred Coworker (LPC).
- According to the model, the more favorably you rated the person you least prefer to work with
the more relationship oriented you are. (High LPC = Relationship-oriented leader)
- The less favorably you rated the person you least like working with the more task-oriented you
are. (Low LPC = Task-oriented leader)
 2. Situational Favorableness - this is determined by how much control
over the situation you have as a leader (situational control).

a. Leader-Member Relations - this factor measures how much your team trusts you.
b. Task Structure - this factor measures the tasks that need to be performed.
c. Position Power - this is determined by your authority, meaning the power you have to reward or
punish your subordinates.

Step 1. Identify your Leadership Style

Step 2. Understand your situation.

 Is trust with your team high or low (member relations)?

 Are tasks vague or clear-cut and well understood (task structure)?
 Is your authority low or high (position power)?

Step 3. Find the Right Leadership Style.

SITUATIONAL LEADERSHIP THEORY

 It was created by Paul Hersey and Ken Blanshard when they merged their own individual
leadership theories to create the model.
 It is not based on a specific skill of the leader; instead, he or she modifies the style of
management to suit the requirements of the organization.

Leadership Styles

1. Directing

 directing leaders define the roles and tasks of the 'follower', and supervise them closely.
 decisions are made by the leader and announced, so communication is largely one-way.

2. Coaching

 coaching leaders define roles and tasks, but seeks ideas and suggestions from the follower.
 decisions remain the leader's prerogative, but communication is much more two-way.

3. Supporting

 supporting leaders pass day-to-day decisions, such as task allocation and processes, to the
follower.
 the leader facilitates and takes part in decisions, but control is with the follower.

4. Delegating

 delegating leaders are still involved in decisions and problem-solving, but control is with the
follower.
 the follower decides when and how the leader will be involved.

Competence Competence Competence Competence

(Low) (Low) (Moderate to High) (High)
Follower Readiness
Level
Commitment Commitment Commitment
Commitment (Variable)
(High) (Low) (High)

Recommended Directing Coaching Delegating

Supporting behavior
Leader Style Behavior Behavior Behavior
PATH- GOAL THEORY OF LEADERSHIP

- it is based on the expectancy theory of motivation.

Theory suggests that employees are motivated when they believe or expect that:

- Their effort will lead to high performance

- Their high performance will be rewarded
- The rewards they will receive are valuable to them.

Four Leadership Styles

1. Directive Leaders – leaders who provide specific directions to their employees.

2. Supportive Leaders – leaders who provide emotional support to employees.
3. Participative Leaders – those who make sure that employees are involve in the making of
important decisions.
4. Achievement-oriented Leaders – those who set goals for employees and encourage them to reach
their goals.

VROOM AND YETTON’S NORMATIVE DECISION MODEL

- Developed by Victor Vroom, Philip Yetton and Arthur Jago.

- it is a guide that leaders can use to decide how participative they should be given decision
environment characteristics.

Three Important Factors in Decision-Making

1. The Quality of the Decision

2. Involvement and Collaboration
3. Time Constraints

Decision-Making Styles

1. Decide – the leader makes the decision alone using available information.
2. Consult Individually – the leader obtains additional information from group members before
making the decision alone.
3. Consult as a group – the leader shares the problem with group members individually and makes
the final decision.
4. Facilitate – the leader shares information about the problem with group members collectively,
and acts as a facilitator. The leader sets the parameter of the decision.

Contemporary Approaches to Leadership

TRANSFORMATIONAL LEADERSHIP

- those who lead employees by aligning employee goals with the leader’s goals.

Transformational Leaders have four (4) tools in their possession:

1. Charisma

2. Inspirational motivation

3. Intellectual stimulation

4. Individualized consideration

TRANSACTIONAL LEADERS

- those who ensure that employees demonstrate the right behaviors and provide resources in
exchange.
Transactional Leaders uses three (3) different methods:

1. Contingent rewards

2. Active management by exception

3. Passive management by exception

LEADER-MEMBER EXCHANGE (LMX) THEORY

- This theory proposes that the type of relationship leaders have with their followers is the key to
understanding how leaders influence employees.

Different types of relationships:

1. High-quality LMX relationships – a high quality, trust-based relationship between a leader and a
follower.

2. Low-quality LMX relationships – a situation in which the leader and the employee have lower levels
of trust, liking, and respect toward each other.

SERVANT LEADERSHIP

- is a leadership approach that defines the leader’s role as serving the needs of others.

Tips to achieve servant leadership:

1. Don’t ask what your employees can do for you

2. One of your key priorities should be to help employees reach their goals

3. Be humble.

4. Be open with your employees.

5. Find ways of helping the external community.

AUTHENTIC LEADERSHIP

- a leadership approach advising leaders to stay true to their own values.

- its key advice is to “be yourself”