Submitted by Praveen Kumar. K 221079 Aishwarya. K 221085 Jagadeesh Kumar. M 221093 Ram Kumar M.V. 221103 Guided by Prof. T.K. Ganguli Dean, SOEE


Leadership is an important element directing process. To get things done by sub ordinates the manager has to lead and guide their activities leadership is an influence process. Leadership is required in every organisation, the success or failure of an organisation to the great extent depends on the quality of leadership particularly on the part of top management. Peter Drucker has rightly pointed out that “the managers or business leaders are the basic and scarce resource of any enterprise and most of the failures of business establishment have been attributed to ineffective leadership”. It is because by using leadership qualities the manager develops vision about organisation and directs the activities of members in that direction.


Leadership is the ability of influencing people to strive willingly for mutual objectivesTERRY

Leadership is influencing people to follow the achievement of common goal. It is the ability to exert interpersonal influencing by means of communication towards the achievement of goals - KOONTZ O ,DONNEL

Managerial leadership is a process of directing and influencing the task related activities of group members - RELPH M.STODILL

• Influence process

Leadership is an influence process whereby the leader directs the behaviour of the members towards the achievement of pre determined activities. Through influence process he modifies, reshapes and controls the behaviours of the members. He creates sense of loyalty, belongingness and commitment among the members of group.

• The Followers Leaders require the followers to lead and guide. It is the activity of the followers which are directed towards the accomplishment of goals. The leader exercises his authority or power to influence working behaviour of the members of group. Without followers we cannot imagine the process of leadership. • Reciprocal Relationship

There is a reciprocal relationship between leader and his followers. This relationship is created on the account of regular interaction between them. Mary Parker has rightly said that a reciprocal relationship between leader and followers is one of the important characteristics of leadership. • Common Goal

The main job of leader is to lead, guide, inspire and motivate the followers of the group to work for achieving common goals. He expresses and explain these goals to his followers clearly so as to get their maximum cooperation for achieving them. • Situation bound

The leadership is highly situational. The effectiveness of leader is greatly influenced by situational variables including work environment, job contents, inter personal relationships, group relations, attitude of members etc. towards leaders. • Power based

Leadership is a power or authority based process. To influence the behaviour of the followers and their performance leader needs adequate power. There are 3 bases of power enjoyed by the leader. 1. Knowledge, Experience, Skill and competence of leader
2. Resources for rewarding, punishing and making a favour to the member 3. Formal authority which he gets by virtue of holding position in the organization


Satisfaction of members

The main characteristic of leadership is that it provides satisfaction to the members. The real and effective leader is one who is capable of satisfying personal needs, wants and interest of the members.

Scope of leadership

The process of leadership is required in every group situation. Apart from business the other non profit organizations such as an army, hospital, educational institution and political organization need leaders to direct he activities of the members for achieving given objectives.

Leadership may be regarded as important part of management process. The manager becomes more efficient and effective if he is a good leader. Significance of leadership can be understood on the following grounds.

Guiding and inspiring subordinates

Leader helps in motivating the members of the group to work for the accomplishment of objectives. Leadership may be regarded as an important factor in guiding and channelizing all energies of the employees in this direction.

Securing co-operation of the members

Manager can secure whole hearted co-operation of the employees for achieving objectives when they are good leaders. As a leader the manager persuades the subordinates to work more enthusiastically.

Creating confidence among employees

By providing ready help guidance and support the leader successfully creates confidence and zeal among the employees. He provides psychological support and infuses the spirit of enthusiasm among the followers so that they can realise their capabilities and potentials.

Creating confidence among employees

Leadership primarily aims at congenial and proper environment in work setting so that the employees can make maximum contribution for seeking the objectives of the organization. The leader maintains with the followers and has reciprocal relation with them which helps in creating an environment of mutual help and trust. • Implementing change

Leadership also helps in introducing change in the organization. The manager who has the qualities of leadership finds it easy to convince the employees about the positive effects of change to be introduced and thereby reduces the resistance to change. He takes them into confidence and seeks their full cooperation in implementing the change. • Maintaining discipline among members

An effective leader has qualities to get his orders and instructions, followed by the members. He always attempts to produce goal directed working behaviour among them and forces them to work in a disciplined manner.

Representing the members

The leader is a representative of members led by him. He attempts to protect and promote the interest of all the members of his team and integrates it with a common interest.

FUNCTIONS OF A LEADER The five important functions of a leader are:
• •

Leadership renders a service Leadership makes a decision Leadership elicits response

• •

Leadership achieves results Leadership is willingness to be different

RELATIONSHIP BETWEEN MANAGEMENT AND LEADERSHIP The manager gets things accomplished through people; therefore he will be more effective if he is also a leader. The terms management and leadership are very often used interchangeably. But these two are different concepts, because it is understandable that a manager can do a reasonably good job of managing without being a good leader. The relationship between management and leadership can be understood based on the following points. • The term management is basically concerned with people, things and ideas. It involves mobilisation and utilisation of both physical as well as human resources for achieving predetermined objectives. But the concept of leadership is mainly confined to direction of human resources that is people or followers. And to direct their activities the leader has to create interpersonal relations with the follower. Thus the concept of leadership is highly related to management but it is certainly narrower than management.

The position of the manger in an organisation is marked by formal authority which he derives from his position by virtue of occupying it. And it is by exercising this authority he influencing working behaviour of subordinates and gets things done by them. But leadership is a position held by the leader in the group which is backed by acceptance, knowledge and charismatic personality of the leader. The leader drives power from these to influence the followers.

To become effective manger one has to acquire the knowledge of management through formal education and training and use this knowledge in a practical situation along with his other skills. Unfortunately in India base on theoretical knowledge is almost nonexistent in case of leadership. There are no institutes like management institutes imparting knowledge on leadership. Thus one becomes leader because he has a desire to so and he is accepted by the followers to do so.


To get the things done by others manager places more emphasis on formal authority relationship of superior and subordinate, which is considered as backbone of the organization. However, leaders lay emphasis more on social and personal relationship with the followers. The members of the group follow leader because they accept and respect him. Moreover, the leader has reciprocal relationship with the members which is based on mutual trust, satisfaction and support.

The mangers are selected to fill up the positions which are identified in terms of authority, responsibility, functions and activities. They are selected in highly rational, objective and formal manner because the organization has expectations from them to contribute as effectively as possible to achieve its objectives. But leadership occurs in a situation in which members in a group give their acceptance to a particular individual to act as a leader. Thus the leaders are generally elected by the members in a highly subjective and informal manner.

The knowledge of management is applied on the work setting and organizations having predetermined policies, procedures, rules and methods which are to be followed by the members. However the leadership situation is highly flexible, unstructured and not backed by predetermined procedures and rules. Although both organizations as well as leadership situations have to operate in uncertain environment but it seems to be more complex and dynamic in leadership as compared to management.

More interestingly, these two concepts of management and leadership are highly related but are distinctly different from each other. Manager can manage without having qualities of leadership, and leaders lead others without being good manager. Contrary to it, to become more effective manager one has to have leadership qualities and similarly leader can become more effective if he manages like a manager.

LEADERSHIP THEORIES Like the study of management knowledge, the leadership concept has also been supported by various theories • Personality theories of leadership

• Behavioural approach to leader ship

PERSONALITY THEORIES OF LEADERSHIP Personality theories can be classified into two theories • • Great man theory Trait theory

Great man theory: According to this theory leaders are born and not made and the various qualities which the leader is supposed to have cannot be cultivated or developed because they are present and carried in genes. Advocates of this theory also forwarded the following arguments in support of it • They believe that leaders are god’s gift to mankind and they have come on earth for seeking welfare of mankind by using their gifted qualities • No one else can become such a great leader because these qualities of leadership cannot be acquired through formal education and training. • They strongly believe that it is only a personality and inborn qualities associated with it has made them great leaders, and other elements of leadership like situational variables, needs of followers and environment did not have any impact on leadership process But Great Man Theory is subject to following critics

This theory of leadership has no scientific basis and has not been supported by empirical studies.

It ignores the effect of situational variables like need and aspirations of the followers, environment and other related factors.

Theorists did not forward any concrete proof regarding the fact that only a particular set of qualities make the person a leader

• • The theory does not state why, how and when the leadership occurs The advocates of this theory could not make it clear that inborn leader had which set of qualities which perhaps cannot be learned by training and education Trait theory of leadership: This theory advocates that leadership qualities and trades are not inborn but can be acquired by an individual through an education, training and other forms of learning The advocates of this theory of leadership are TEAD, SCHELL and others TEAD holds that there are ten qualities that are essential for effective leadership, namely physical and nervous energy, a sense of purpose and direction, enthusiasm, friendliness and affection, integrity, technical mastery, decisiveness, intelligence, teaching skills and faith Similarly, in the words of RALPH STOGDIL the leader to be effective should have the

qualities like drive for responsibility, task orientation, vigour and persistence in pursuit of goals, venturesomeness, originality problem solving skills, drive to exercise, initiative in social situations, self-confidence and ability to influence other persons etc It is criticised many of the following grounds • Trait theory also lacks scientific basis. leadership occurs. • • It does not state which set of qualities are important for leader It does not take into account situational variables, needs of followers and environment which determine effectiveness of leadership

It does not offer any explanation that why

Trait theory has also failed in discovering any trait which clearly and consistently distinguishes leaders from followers.

BEHAVIOURAL APPROACH TO LEADERSHIP: In this theory instead of finding out what effective leaders were, researchers attempted to determine what effective leaders did; how they assigned a task, how they communicated with and tried to motivate subordinates and how they carried out their job etc.

Intensive research studies in USA at Ohio state university and university of Michigan revealed That there are two broad dimensions of leadership behaviour namely: •

Initiating structure Consideration

Initiating structure: which also known as task –oriented behaviour, implies setting goals by the leader, defining and organizing the task to be performed by his followers, determining working relationship and controlling their behaviour and performance by the leader

Consideration: Which is also known as ‘employee-oriented’ behaviour refers to friendship, trust and support of leader towards the members of the group. Such leaders believe in motivating subordinates rather than controlling them. By making matrix out of these two distinct dimensions of leadership the Ohio state researchers have identified four styles of leadership

Low structure High consideration Leader strives to promote group harmony and social need satisfaction Low structure Low consideration Leader retreats to general passive role of allowing the situation to take care of it self High structure High consideration Leaders strive to achieve productive balance between getting the job done and maintaining cohesive friendly work High structure Low consideration Leader devotes primary attention to getting the job done, personal concerns are strictly secondary

On the basis of conclusions from Ohio state and Michigen studies the following two theories have been developed. Management grid or leadership grid: The management grid developed by Robert Blake and Jane Moutan reflects multi dimensional nature of leadership and helps in measuring relative concern off manager for people and task. The management grid identifies various alternative combinations of ‘concern for people’ and ‘concern for production’. These combinations are being put in horizontal and vertical dimensions of the grid having a scale from 1to 9. Impoverished leadership style: this style refers to minimum concern on the part of leader for both production as well people. The role of leader is passive and he allows the situation to take care of itself. This style is sometime called ‘laissez faire’ management. The leader believes that use of minimum efforts is required to get work done and to sustain morale of the members.


TEAM LEADERSHIP (9, 9) OR DEMOCRATIC MANAGEMENT: It refers to high concern for production and people. It is considered as the effective management style. Because this style of leadership will in almost all results in improved performance, low absenteeism and turn over and high employees satisfaction. Such types of leaders are successful in cooperation and building interpersonal relation and respect. MIDDLE OF THE ROAD LEADERSHIP (5, 5): It refers to equal consent for production and people. Such leaders believe that adequate level of organisational performance is possible through balancing the necessity to get work done by maintaining morale of the people at satisfactory level. It is safe style seeking balance between requirements of production and needs of the people. TASK LEADERSHIP (9, 1): It represents high concern for production and low concern for people. The leader places more emphasis on production, targets and productivity and peoples need and satisfaction becomes secondary. COUNTRY CLUB LEADERSHIP (1, 9): It refers to low concern for production but high concern for people. Such leaders believe in creating friendly interpersonal relation with people at work. He creates enthusiasm among them and motivates them to work efficiently. Likert’s management systems:

Likert developed four models of management which are known as ‘systems of management’. These systems have been developed on the basis of seven important variables which are closely related to management process. These variables are leadership, motivation, communication, interaction, influence, decision making process, goal-setting and control process. These systems are under System 1: Exploitative or Authoritative • • • • • • Highly autocratic Leader sets goals and action plans at his own No participation of followers Close supervision and control Use of negative motivators Unfriendly relation with followers

System 2: Benevolent Authoritative • • • • • • Autocratic Leader sets goals and action plans at his own One way communication Master-servant relation Negative and positive motivator Close supervision and control

System 3: Consultative •

Participation of subordinates in goal setting and decision making to a lesser degree Two way communication

• • • More emphasis on positive motivators than negative one Flexible and goal oriented control Recognition of human factor

System 4: Participative democratic • • • • • •

Fully humanistic approach Active participation of subordinates Friendly relation with subordinates High degree of decentralization Relaxeo and self control Positive motivators Free and frank two way communication

SITUATIONAL/ CONTINGENCY APPROACH TO LEADERSHIPS: The situational factors or variables which dominate the effectiveness of leadership may be described as under. • Leadership Factors

This set of factors mainly includes all those factors which are related to the personality of leader his orientation and skills which he uses for influencing others. • Group factors

They include all those factors and forces which operate in a group and effect leadership process. • Other factors

The other factors are authority structure, organisational plans, values and goals motivation, communication, political, socio-cultural, legal and technological factors. Various situational theories of leadership are being discussed as under Leadership Continuum In this theory Robert Tannenbaum and Warren Schmidt have described various leadership styles and have placed leadership behaviour on a continuum having two extremes and many styles in between them. At one end of the continuum behaviour of the leader is authoritative while at the other end authority, power and influence structure moves towards subordinate and they get lot of freedom and participation in management. Tannenbaum and Schmidt strongly believed that situational variables play an important role in determining effectiveness and appropriateness of leadership style in a various situations. They also advocated that there cannot be one best style of leadership which is effective and appropriate in all situations therefore, leader must be sensitive enough to choose and modify his style as per the need of the situation. Contingency theory Contingency approach of leadership states that management and leadership style that best contributes to the achievement of organisational goals. The performance of a leader depends on two interrelated factors. 1. The degree to which situation gives a leader control and influence that is the likelihood that the leader can successfully accomplish the job 2. The leaders basic motivation that is whether leaders self esteem depends primarily on accomplishing the tasks or as having close supportive relations with others Fiedler has identified three leadership situations which help in determining that which leadership style will be effective. These are leader-member relations, the task structure and leader position of power. Leader member relation has significant influence on manager’s authority and effectiveness. If he gets along well with group members and members also respect the

manager for his personality and character then the manger may not have to rely on formal authority and position. In structured task for which procedures and instructions are available for its each step and members of group have clear idea that what they expected to do, the managers in such situation has high power. The power held by the manager may be great or small depending on a specific position.

Path goal theory Path goal theory helps us in understanding and predicting effectiveness of leadership in different situations. It is derived from expectancy theory of motivation and based on the assumption that the effective leader increase subordinate motivation by: 1. Clarifying subordinate perception about the goals of work 2. Explaining how goals and desired rewards can be achieved 3. Linking meaningful rewards with goal attainment Advocates of path goal theory believe that motivation is an essence of leadership. According to Evans most important is the ability of manager to provide rewards and to specify that what subordinated must do to earn them. Path goal theorists have also identified two sets of variables which help in determining effective leadership style, namely personal characteristics of subordinates and environmental pressures and demand. Advocates of path theory believe that managers need to rely contingently on the following different leadership styles

Directive style: In this style the manager tells his subordinates that what is expected of them and sets goals and task responsibility for them. He provides specific guidance, schedules, rules regulations and standards and monitors their performance regularly.

Supportive style: According to this style the leader treats his subordinates as equal to friendly manner. He establishes friendly interpersonal relations with them share their feelings and view points and attempts to improve their well being.


Participative style: Such leader seeks participation of his subordinates. He consults them as to get their suggestions and consider them seriously at the time of making decisions. He also keeps them informed on various task and goal situations.

Achievement-oriented style: The leader sets challenging goals, places emphasis on developing skill, talent and excellence seeks continuous improvements, make their job more interesting and meaningful and finally provides enough freedom to them. He carries high degree of confidence that subordinates will meet difficult challenges in a responsible manner.

CONCLUSIONS: The concept of leadership assumes important role in management because to get better results increased efficiency and more co-operation from the subordinates. Success and failure of the organisations to some extent depends on the effectiveness of leadership. According to Ohio state university and Michigan university of USA the effectiveness of leadership were developed-namely employee-oriented and work-oriented dimensions The effective leadership depends on integrated approach formulated on the basis of the following elements. 1. Personality traits and qualities to be possessed by the leader. 2. Leadership style based on his behaviour. 3. Situational variables. 4. Charismatic qualities and energy of leader.
5. Basic philosophy of management and self-leadership

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