Organisational Behaviour

MGT 321

Lecture 13
Faisol Chowdhury 1

Leadership
Leadership can refer to: The ability to get people to follow voluntarily . Those entities that perform one or more acts of leading. The ability to affect human behaviour so as to accomplish a mission designated by the leader. Interpersonal influence that gets an individual or group to do what the leader wants done. The art of motivating a group of people to act towards achieving a common goal.

Wood et al. 2004; Wikipedia 2008; About.com 2008

Managers & Leaders

Are They Different?

Managers are appointed have reward and coercive and legitimate power power and influence are inherent in their positions formal authority is given to them Leaders are emerged, created and sometimes may appointed form within a group can influence others to perform beyond the actions directed by formal authority are created by a mission, run by a vision

Wood et al. 2004

Management versus Leadership

Management Leadership

Planning & Budgeting Developing Vision - for future and establishing steps and time, allocating strategies for producing changes resources to make things happen. needed. Organising and Staffing plan, structure, delegate responsibility & authority to carry out plans, policies and procedure. Controlling & Problem Solving Monitor results against plan. Aligning People communication, cooperation, influence, team works.

Motivation & Inspiring Energising people to overcome barriers.

Predictability & Order producing Produces changes dramatic & key results for stakeholders according useful changes to take stakeholders expectations to a new degree. to their expectation.
Kotter 1990 4

Leadership Types
Formal Leadership exercising influence from a position of formal authority in an organisation. E.g. A line manager has the right to command and enforce obedience by virtue of the authority of his position. Informal Leadership exercising influence through special skills or resources that meet the needs of other people. E.g. People such as a political leader, a union leader, a managerial leader who because of their personal qualities, the demands of the situation, or a combination of these and other factors attract followers who accept their leadership within one or several overlay structures.

Wood et al. 2004; Wikipedia 2008

Trait Theory and Leadership

Trait Theory a model of personality seeks to identify basic traits (habit, thought, emotion, unique quality etc) necessary to describe personality. Trait Leadership identifying a set of traits (charisma, intelligence etc) that distinguishes leaders from followers. Separating leaders from non-leaders (or followers) Identifying more effective leaders and less effective leaders

Wood et al. 2004; Feldman 2002

Behavioural Theory & Leadership

Behavioural Theory - instead of dealing with underlying traits, it considers behaviours or actions. These theories cite environmental, personal, and behavioural characteristics as the major factors in behavioural determination. Behavioural Theory & Leadership The Michigan studies The Ohio State studies The Leadership Grid

Wood et al. 2004

The Michigan Study

In the late 1940s researchers of University of Michigan, USA introduced this program of research. According to this research, there are two basic forms of leadership behaviours: Employee centred supervision stronger emphasise on welfare of the subordinates / employees. Production centred supervision stronger emphasise on getting the work done than on the welfare of the employees. In general, employee centred supervisions were found to have more productive workgroups.

Wood et al. 2004

The Ohio State Study

In the late 1940s researchers of Ohio State University, USA also introduced this program of research. According to this research, two dimensions of leadership behaviours are: Consideration highly considerate leaders are sensitive to people s feelings and much like employee-centred leaders, trying to make things pleasant for their followers. Initiating Structure leaders high in initiating structure are more concerned with spelling out task requirements and clarifying other aspects of the work agenda, similar to production-centred leaders.

Wood et al. 2004

The Leadership Grid

The leadership / managerial grid is a behavioural grid model developed by Robert Blake and Jane Mouton in 1964 (both American management theoretician) The optimal leadership style is based on McGregor s Theory Y.

Grid 2007; Wood et al. 2004

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The Leadership Grid - Explanation

A nine position grid that places concerns for people on vertical axis and concerns for production on horizontal Axis. It measures a manager s concern for people and production. Country club style (9,1) Impoverished (poor) management style (1,1) Task management style (1,9) Middle of the road style (5,5) Team manager style (9,9) high on both dimensions and the ideal leader.

Wood et al. 2004

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Reward & Punishment Theory

The leader is seen as someone who manages reinforcements for subordinates. Performance contingent reward positive reinforcements for better performance, e.g. acknowledgements, recognition etc. Performance Contingent punishment punitive measures for poor subordinate performance, e.g. disapproval, negativeness, etc. Noncontingent reward rewarding subordinate regardless of how well the performance is. Noncontingent punishment punitive measures regardless of how well the performance is.

Wood et al. 2004

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Other Types of Leadership

Transactional - leadership style by which leader exerts influence during daily leader-subordinate exchange without much emotion. E.g. the daily leadership activities conducted by managers. Transformational leadership style by which the followers goals are broadened and elevated, and confidence is gained to go beyond expectations. Charisma Inspiration Intellectual simulation Individualised consideration

Wood et al. 2004

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Transformational Leadership
Charisma is a dimension of leadership that provides vision and a sense of mission, and instills pride, respect and trust. Inspiration is the communication of high expectations, the use of symbols to focus efforts, and the expression of important purposes in simple ways. Intellectual stimulation promotes intelligence, rationality and careful problem solving. Individualised consideration providing personal attention, treats each employee individually, and coaches and advises subordinates.
Wood et al. 2004 14

Great Leaders
I believe we should do what we do with a sense of fun and without taking ourselves too seriously, too! If Virgin stands for anything, it should be for not being afraid to try out new ideas in new areas. - Richard Branson

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Great Leaders
Within GE, we ve got to upgrade worker s skills through intense and continuous training. Companies can t promise lifetime employment, but by constant training & education we may be able to guarantee lifetime employability. We ve got to invest totally in our people. - Jack Welch

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References
About.com (2008), Leadership, [online, retrieved on 22nd March 2008], available at:.http://sbinfocanada.about.com/od/leadership/g/leadership.htm Feldman, R., (2002), Understanding Psychology, 6th ed., McGraw-Hill, USA. Grid, (2007), The Leadership Grid, [online, retrieved on 22nd March 2008], available at:.http://www.gridinternational.com/gridtheory.html Kotter, J., (1990), A Force for Change, Free Press, UK. Wikipedia, (2008), Leadership, [online, retrieved on 22 March 2008], available at:.http://en.wikipedia.org/wiki/Leadership Wood, J., Chapman, J., Fromholtz, M., Morrison, V., Wallace, J., Zeffance, R., Schermerhorn, Hunt, Osborn, (2004), Organisational Behaviour, 3rd ed., John Wiley & Sons, Australia.

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Overview

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