Fundamentals Of Leadership

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Introduction
Research focuses on two key leadership issues: Why some organizational members become leaders while others do not Why some leaders are successful while others are not

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Managers Versus Leaders
Managers
– Persons whose influence on others is limited to the appointed managerial authority of their positions to reward and punish. – Persons with managerial and personal power who can influence others to perform actions beyond those that could be dictated by those persons’ formal (position) authority alone.

“Not all leaders are managers, nor are all managers leaders.”
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What is Leadership?
Leadership – the process of influencing others to facilitate the attainment of organizationally relevant goals One does not have to be in a formal leadership position in order to exert leadership behavior

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diplomacy 6 3 .Trait Theories Of Leadership Assumes that a finite number of individual traits of effective leaders can be found – intelligence – personality – physical characteristics Relies on research that relates various traits to certain success criteria Research findings are contradictory 5 Traits Associated With Leadership Effectiveness: Intelligence Judgment Decisiveness Knowledge Fluency of speech Personality Adaptability Alertness Creativity Personal integrity Self-confidence Emotional balance and control Independence (nonconformity) Abilities Ability to enlist cooperation Cooperativeness Popularity and prestige Sociability (interpersonal skills) Social participation Tact.

Drive Desire to lead Honesty and integrity Self-confidence Intelligence Job-relevant knowledge 7 Trait Theories Of Leadership Theories that attempt to isolate characteristics that differentiate leaders from nonleaders • Attempts to identify traits that always differentiate leaders from followers and effective leaders from ineffective leaders have failed. 5. • Attempts to identify traits consistently associated with leadership have been more successful. 8 4 . 6.Six Traits That Differentiate Leaders from Nonleaders 1. 4. 3. 2.

Shortcomings of the Trait Theory of Leadership The list of potentially important traits is endless Trait test scores are not consistently predictive of leader effectiveness Patterns of effective behavior depend largely on the situation (environment) The trait approach fails to provide insight into what the effective leader does on the job 9 The Nature of Leadership Leadership is the ‘process’ of influencing people to direct their efforts toward particular goals. Leadership PROCESS of Leading Goals Management of Change External Environment People in Organizational CONTEXT Task CONTENT 10 5 .

Emotional Maturity (EQ): Self-confidence and capable of directing subordinates in a calm. Able to cope with the demands and stress of both their business and personal lives. and problemssolving (conceptualize & analytical) skills.The Nature of Leadership Leadership characteristics: are those possessed by effective leaders and include drive. Have a sense of purpose and meaning in life. 11 Some Personal Characteristics (Related to managerial effectiveness) Superior Intelligence: With IQ range from 115-130. Personal characteristics: are personal attributes often possessed by effective leaders and include superior mental ability. persistence. 12 6 . and tolerance of stress. emotional maturity. conscientious manner. originality.

2) Human Skills: help an individual interact with other people.) 13 Some Personal Characteristics (Related to managerial effectiveness) (cont. 14 7 .Some Personal Characteristics (Related to managerial effectiveness) (cont) Motivation Drive: Motivated by the opportunity to achieve the chance for power or control over a situation and by the need to self-actualize. 3) Conceptual skills: help a manger understand how all parts of the organization or department fit together. Problem-solving skills: See a problem as both a challenge (Risk) and an opportunity to prove their managerial abilities (with drive and confidence.) Managerial skills: 1) Technical skills: help an individual determine how things work.

Skills Needed at Different Hierarchical Levels: Technical skills Senior Manager Middle Manager Lower Manager L M H Human Skills M M M Conceptual Skills H M L 15 Summary of Leadership & Characteristics Task-Related Characteristics (Stogdill’s) Need to excel or achieve • Initiative • Task orientation • Drive for responsibility • Responsibility in pursuit of objectives • • Social Characteristics (Stogdill’s) Administrative ability • Interpersonal skills •Tact and diplomacy • Ability to enlist cooperation • Social participation • Cooperativeness • Attractiveness Gallup Organization’s Leadership Talents Goal orientation • Energy • Ability to help people grow • A desire to win • Willingness to accept challenge • 16 8 .

by nature. Want security. shun responsibility. & like to be directed.Nature of Organizational Personnel The opinions leaders have about their people explain why leaders act as they do. 17 Theory X and Theory Y Theory X : holds that people are basically lazy & it is necessary to use coercion and threats of punishment to get them to work. Douglas McGregor has provided management with a set of assumptions: Theory X and Theory Y. Assumptions: People. dislike & avoid work Have little ambition. 18 9 .

People’s intellectual potentials are only partially utilized. participative. under proper work environment. subordinate’s input is large and is expected 20 10 . Task -Oriented Authoritarian Paternalistic Participative On this end. subordinate’s input is small or not wanted People -Oriented Laissez-Faire On this end. & laissez-faire. Commitment is linked to the rewards for their achievement. 19 Continuum of Leadership Behavior Distinguish among four styles of leadership behaviorAuthoritarian.Theory X and Theory Y Theory Y: holds that. People do seek & accept responsibility. People have a wide range of capabilities in problem solving. paternalistic. under the right conditions. people will work. If committed to objectives. people will exercise selfdirection and self-control. Assumptions: Natural to use mental effort at work.

” [Asian Value?] 21 Leadership Behavior (cont. View workers as factors of production.” Come close to abdicating the leadership position & responsibility. [Western value? Management of complexity?] Laissez-faire Leadership: is characterized by a lack of concern for either the people of the work. “Work hard and I’ll take care of you. [Not for the competitive business world?] 22 11 .Leadership Behavior Authoritarian Leadership: tends to be heavily work centered. with little attention to the human element. sharing objectives and getting feedback from subordinates. “Non-interference. Paternalistic Leadership: tends to be heavily work centered but has some consideration for the personnel as well.) Participative Leadership: have high concern for people at work. -Delegating authority.

from leader to subordinate Continual exch. between leader and subordinate and/or between subordinates themselves.Leader-Subordinate Interactions Leader Authoritarian Leadership Leader Subordinate Subordinate Subordinate Subordinate Subordinate Subordinate Paternalistic Leadership 23 Participative Leadership Leader Continual flow of info. of info between leader and subordinate Subordinate Subordinate Subordinate 24 12 . of info. Subordinate [Some degree of self-organizing with guiding protocols?] Subordinate Subordinate Leader Laissez-Faire Leadership Occasional exch.

) Basic Rules used by Leaders: 1. 25 Leadership Dimensions A Leadership Grid (Entail a concern for people and a concern for work ) High Concern for People High People -Low Work (Eager to help or please. for challenging goals) Low WorkLow People (Laissez-faire. Sympathetic) “High People High Work” (To develop high teamwork. Do not promise what you cannot deliver 3. promote from within.Leadership Behavior (cont. Praise people in front of others for a job well done and reprimand them in private when they have made a mistake 4. Be decisive 2. When possible. Hand-off) Low “High Work -Low People” (To exercise control and have strict compliance) Low Concern for Work High 26 13 .

selforganizing) President of a Large Corporation (Concern for long-range objectives & plan.Contingency Leadership Styles Applied to a Leadership Grid High Concern for People Manager of a Successful Sales Group (Knowing that the work are in good hands. Fiedler’s Contingency Model 2. Charismatic and Transformational Leadership 28 14 .. & in need of support of key core teams) Manager of an R&D Lab (R&D workers are selfmotivated & derive intrinsic satisfaction from work) Foreman on an Assembly Line (To ensure workers keep up with production target) High 27 Low Low Concern for Work Contingency Leadership Models “What specific style of leadership is best in which type of situation?” Matching styles with environmental demands (e. level of risk & uncertainty.g. degree of control needed.) Contingency Approaches: 1. The Managerial Grid 3.

Fiedler’s Contingency Model … holds that leader effectiveness is determined by leadership style and situational variables. Leader position power: is the authority vested in a leader’s position. Task structure: is the degree to which the leader’s job is laid out in advance. 30 15 . 29 Situational Variables in Fiedler’s Model Leader-member relations: are determined by how well the two groups get along.

High 9 (1.(9.1) Do-Nothing Manager Exertion of minimum effort to get required work done is appropriate to sustain organization membership.1) Production Pusher 9 High 31 1 Low Concern for Production The Managerial Grid High 9 (1.9) Team Builder Concern for People (5. 9) Country Club Manager (9. Team Builder. Production Pusher -(9.The Managerial Grid -Addresses concern for “production” and Concern for “people”. 1 Low 1 Low Concern for Production 9 High 32 16 . friendly organization atmosphere & work tempo.5) Organization Man (1.1) Efficiency in operations results from arranging conditions of work in such a way that human elements interfere to a minimum degree.1) Do-Nothing Manager 1 Low (9. 9) Country Club Manager Thoughtful attention to needs of people for satisfying relationships leads to a comfortable. Concern for People (5. interdependence through a common stake in organization purpose leads to relationships of trust and respect. (1.5) Organization Man Adequate organization performance is possible through balancing the necessity to get out work while maintaining morale of people at satisfactory level.9) Work accomplishment is from committed people.

& trust in employees. Give employees individual attention. has used his transformational leadership skills to bring the company back to its previous prominence. Carefully spells out rewards for accomplishing objectives. Promotes rationality and careful problem-solving. ambiguity. A lifelong learner. Instill pride. MBO) Interested in results rather than problemsolving process. 33 Transformational vs Transactional Leadership Transformational Leader Provides a vision & a sense of mission. Relies on past knowledge to deal with future problems. coaching. Leads by example. Able to deal with complexity. respect. (An innovator?) Transactional Leader Set goals and encourages employees to pursue them. (A systems engineer?) 34 17 . and advising. head of IBM. Avoids complexity and uncertainty by delegating responsibility to subordinates. Uses reward and punishment systems to generate compliance. Transactional leaders exchange rewards for effort and performance. Watches for mistakes/deviations from rules & regulations & then takes action. (e. Communicates high expectations and expresses purposes simply.Transformational vs Transactional Leadership Transformational leaders are visionary agents who motivate people to do things differently.g. Ex. Lets everyone know the objectives. & uncertainty. Tends to support status quo. A courageous change agent. Lou Gerstner.

– Ensure customer satisfaction. – Think globally. – (e. so do the needs for leadership skills. – Build internal teamwork and external partnerships. To meet the shortage of leaders. – Live the values that are critical to the company. 36 18 . Acer’s internal executive programme to train & develop many future general managers) 35 The Emerging ‘Leadership Challenges’ (cont) Abilities and skills needed in the future leadership include being able to: – Create a shared vision for everyone in the firm.The Emerging ‘Leadership Challenges’ As the economy changes. The new approach to leadership is to develop leaders instead of followers. Hiring qualified people and developing them through training are constant challenges. appreciate cultural diversity. many firms are training their managers to develop leaders from their work groups.g. – Develop and empower people.

and – Encourage constructive challenge. – Show technological savvy. share leadership. – Learn how to achieve competitive advantage. demonstrate personal mastery of the job. – Embrace change.The Emerging ‘Leadership Challenges’ (cont) Abilities and skills needed in the future leadership include being able to: – Be able to anticipate opportunity (& risk). 37 Key Terms in the session Leadership Leadership characteristics Personal characteristics Trait theory Technical skills Human skills Conceptual skills Theory X Theory Y Authoritarian leadership Paternalistic leadership Participative leadership Laissez-faire leadership Leadership dimensions Fiedler’s contingency model 38 19 .

9 Managerial style Transformational leader Transactional leader 39 Questions: 1. Describe the Two Major Dimensions of Leadership -Concern for People and Concern for Work 6. & Transformational Leadership 40 20 .) Least preferred coworker scale Leader-member relations Task structure Leader position power Managerial grid 1.Distinguish Among Four Styles of Leadership Behavior— Authoritarian. Superior Intelligence. Managerial Skills.9 Managerial style 5. Compare and Contrast Theory X and Theory Y 3. Participative. Managerial style 9. Distinguish among the ‘Contingency Leadership’ ApproachesFiedler’s Contingency Model.Describe the Leadership and Personal Characteristics Related to Managerial Effectiveness--Trait Theory. and Laissez-Faire 4. Explain the Concept of “Self-Leaders” and the Basic Rules of Behavior 5. Motivation Drive. Emotional Maturity. the Managerial Grid. Paternalistic.1 Managerial style 1.Key Terms in the session (contd. Problem-Solving Skills. and Leadership Skills 2.5 Managerial style 9.1.

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