MBA 4 (2020-22) - Leadership and Motivation in Organization

Course Title: Leadership and Motivation in Organization Course Code: HR733
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MBA IV SEMESTER (2020-22)
LEADERSHIP AND MOTIVATION IN

ORGANIZATION
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MODULE 1: MOTIVATION
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Topics to be covered:-
Meaning
Features of Motivation
Model of Motivation
Motivators
Nature of Motivation
Importance of Motivation
Effective Motivation
Approaches to Motivation
Work related aspects of motivation – Extrinsic and
intrinsic aspect of motivation.
Factors affecting motivation in business world.
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Features of Motivation
•Needs
•Behaviour
•Goals
Model of Motivation
Goals
Needs ------- Behaviour
------- (Rewards)
Motivators
Types of Motivators:-
•Incentives and Disincentives – The Carrot and the Stick Approach
•Financial or Non-Financial Motivators
− Money as a motivator − Goodwill
− Work Environment
− Participation
− Development of individuals
− Effective feedback system
− Effective reward system
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Nature of Motivation
•It is an internal force.
•Effects of environmental factors.
•It is an ongoing process.
•It is a pervasive function.
•Skilled Managers.
•Positive and negative motivation.
Importance of Motivation
•Increase in work efficiency.
•Communication.
•Need-based motivation.
•Combines ability with willingness.
•Reduction in rate of labour absenteeism and turnover.
•Development of leaders.
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Effective Motivation
•Development of self.
•Worker’s participation.
•Job enrichment and Job rotation.
•Management by results.
•Realise human behaviour – Their motives and abilities.
•Create a suitable work environment.
•Healthy criticism.
Approaches to Motivation
•Traditional approach to motivation.
•Human relations approach to motivation.
•Human resources approach to motivation.
•System approach to motivation.
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Work related aspects of motivation – Extrinsic and intrinsic aspect of motivation.
Factors Affecting Motivation at Work

•Relationship between co-workers
•Leadership role at workplace.
•Managing Conflict at Workplace
•Workplace incentives
•Workplace Culture
•Workplace Education or Learning
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MODULE 2: POWER AND LEADERSHIP

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Topics to be covered:-
Introduction of Power
Definition of Power
Difference between Power, Authority, and Influence
Sources of power
Bases of Power in Organization.
Power Tactics Used in an Organization
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Theories of Authority
•Formal or classical theory of authority.
•Acceptance theory of authority.
•Authority of the situation.
•Authority of knowledge or competence theory of
authority.
Types of Authority
•Line Authority.
•Staff Authority.
•Functional Authority.
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Limitations of Authority
•Capacity of Subordinates.
•Overall Organizational Goals.
•Legal Restrictions.
•Social Factors.
•Personal Limitations.
Sources of Power
•Legitimate Power.
•Reward Power.
•Coercive Power.
•Expert Power.
•Referent Power.
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An overall Contingency Model of Power base on the

French/Raven’s and Kelman Theories
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MODULE 4: LEADERSHIP AND MANAGEMENT
MODULE 5: INTRODUCTION TO LEADERSHIP THEORIES

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Module 4 - Topics to be covered:

What is leadership
Importance of leadership
Difference between Leadership and Management
Introduction to:
• Servant and Spiritual Leadership
• Authentic and Ethical Leadership
• Charismatic and Transformational Leadership
Module 5 - Topics to be covered:

Discussion on different Leadership Theories-
• Great Man Theory
• Trait Theory
• Behavioural Theory
• Contingency or Situational Theories
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MEANING
Leadership gets the work done through individuals or a group of individuals by use of power.
Source of Power Subordinates Reaction
Legitimate
Information Compliance
Reward
Connection
Expert Commitment
Referent
Resistance
Coercive
Fig. Relationship between Leader’s power and Subordinate’s reaction

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ELEMENTS/FEATURES OF LEADERSHIP
1.Other People
2.Influence
3.Power
4.Goals
PROCESS OF LEADERSHIP
1.Orders
2.Training
3.Motivation
4.Discipline
5.Reward
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NATURE OF LEADERSHIP
1.Leadership depends upon personal traits
2.Leadership is situational
3.Role model
4.Leaders are also followers
5.Leadership is a pervasive function
6.Leadership aims at goal achievement
IMPORTANCE OF LEADERSHIP/FUNCTIONS OF A LEADER
1.Leaders provide the task support
2.Psychological support
3.Development of individuals
4.Building the team spirit
5.Motivation
6.Provides feedback
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LEADERSHIP STYLES
1.Classification on the basis of rewards
(i) Positive leaders
(ii) Negative leaders
2. Classification on the basis of power
(i) Autocratic leader
(ii) Participative leader
(iii) Democratic leader
(iv) Laissez – Faire or Free-rein leaders

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PRINCIPLES OF LEADERSHIP
1.Principle of harmony of objectives
2.Principle of motivation
3.Principle of communication
4.Principle of integrity
5.Principle of supplemental use of informal organisation
QUALITIES OF A LEADER
1.Understands the individual’s need and try to satisfy them
2.Non-coercive influence
3.Situation-oriented behaviour
4.Charisma
5.Confidence in self and followers
6.Transformational leaders
TRUSTING ONE’S SUBORDINATES, DEVELOPING A VISION, KEEPING COOL,
ENCOURAGING RISK, BEING AN EXPERT, SIMPLIFYING THINGS.
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THEORIES OF LEADERSHIP
1. Trait Theories
2. Behavioural Theories
• IOWA Studies
• Michigan Studies
• Ohio Sate Studies
• The managerial Grid
• Rensis Likert’s Systems of Management.
3. Situational or Contingency Theory
• Tannenbaum and Schmidt’s Leadership Continuum
• Fiedler’s Contingency Theory
• House’s Path Goal Theory
• Hersey and Blanchard’s Situational Leadership Theory.
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THEORIES OF LEADERSHIP
1.Trait Theories
Trait theories constitutes the following characteristics/qualities-
•Physical
•Personality
•Skill and ability
•Social Factors
Based on these qualities of an individual, the trait theories identify and compare the:
I.Traits of leaders with those of non-leaders (followers)
II.Traits of effective leaders with those of ineffective leaders
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Rensis Likerts System of Management
Four different types of leadership or systems have been developed by
Rensis Likert on the basis of the leader behaviour:
1.Exploitative – authoritative style of leadership: System 1
2.Benevolent authoritative style: System 2
3.Consultative style: System 3
4.Participative style: System 4

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Situational or Contingency Theories

1.Tannenbaum and Schmidt’s Leadership Continuum
1.1 Meaning
Three factors under this are as follows:-
i. The leader
ii. The follower
iii. The situation
1.2 Leadership Styles
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2. Fiedler’s Contingency Theory

1.1 Meaning
Three elements in the work situation are as follows:-
i. Leader-member relations.
ii. Task structure.
iii. Position power.
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3. House’s Path Goal Theory

1.1 Meaning
The two situational variables that leaders must take note of are as follows:-
i. Characteristics of subordinates.
ii. The characteristics of the environment and the work place.
a. The subordinates tasks.
b. Formal authority system.
c. The work groups.
Directive leader behaviour.
Supportive leader behaviour.
Participative leader behaviour.
Achievement-Oriented leader behaviour.
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4. Hersey and Blanchard’s Situational Leadership Theory

1.1 Meaning
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Understanding Leadership And

Motivation In Organization
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Leadership
• Leadership is the ability of an individual or a group of individuals to
influence and guide followers or other members of an organization.
Leadership is a process of social influence, which maximizes the efforts of
others, towards the achievement of a goal.
• Leadership, both as a research area and as a practical skill, encompasses
the ability of an individual, group or organization to "lead", influence or
guide other individuals, teams, or entire organizations.
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Spiritual Leadership
• Spiritual leadership is a type of leadership characterized by
defending integrity, goodness, teamwork, knowing, wholeness, and
interconnectedness.
• Spiritual organizations build their cultures around a meaningful

purpose trust and respect.
• Spiritual organizations are characterized by mutual trust, honesty,

and openness.
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Characteristics of Spiritual Leader

1. They lead others to discover their own purpose and identity.
2. They lead others into transformation—not just production.
3. They impact their atmosphere.
4. They help people see old things in new ways.
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Examples
-Sadguru,14th Dalai Lama, Eckhart Tolle
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Servant Leadership
• Servant leadership is a leadership philosophy in which the goal of the leader
is to serve. This is different from traditional leadership where the leader's
main focus is the thriving of their company or organization.
• A servant leader shares power, puts the needs of the employees first and
helps people develop and perform as highly as possible. Instead of the people
working to serve the leader, the leader exists to serve the people.
• According to a 2002 study done by Sen Sendjaya and James C Sarros,

servant leadership is being practiced in some of the top-ranking companies,
and these companies are highly ranked because of their leadership style and
following. Further research also confirms that servant leaders lead others to
go beyond the call of duty.
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Characteristics of Servant
Leader
1.Empathy
2.Selflessness
3.Humility
4.Authenticity
5.Caring
6.Collaboration
7.Compassion
8.Honesty
9.open-mindedness
10.Patience
11.self-awareness
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Examples
While traditional leadership is focused on helping an organization thrive, servant leaders
put the needs of their employees first. They focus on developing individuals who perform
their best. Servant leaders support employees and teams at lower levels. They support
them in making decisions, having more responsibility, and having both the skills and
tools to do their jobs. This means they can quickly respond and adapt when conditions or
needs change. And some great examples of servant leaders are Abraham Lincoln, Martin
Luther King Jr. and Mother Theresa.
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Authentic Leadership
“Authentic leadership is a style of leadership that focuses on

transparent and ethical leader behavior and encourages open sharing
of information needed to make decisions while accepting followers'
inputs.” The experts seem to agree that authentic leadership is about
being you and making room for others, too.
Many ancient Greek principles and philosophies are still pertinent

in the world of business as well as social leadership. Authentic
leadership is another such concept which was created by the Greek
philosophers in ancient times. Derived from the Greek word,
authentikos, authentic means principal or genuine.
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Characteristics of Authentic
Leader
1. Self-awareness
2. Lead with heart
3. Focus on long-term results
4. Integrity
5. Lead with vision
6. Listening skills
7. Transparency
8. Consistency
9. Share success with the team
10. Drawing on experience
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Examples
• Throughout history, we have seen various authentic leadership examples.
Mahatma Gandhi, Nelson Mandela and Martin Luther King Jr. are
renowned authentic leaders. All of them strived for the progress of their
people and made every possible effort to achieve their objectives.
• Among the modern-day authentic leadership examples, the name of
Warren Buffet stands out. Buffett has been among the wealthiest people on
the planet for several decades. Yet, he is known as someone who hasn’t
resorted to superficial or immoral means to achieve his wealth. He has a
strong reputation for building the Berkshire Hathaway empire through
ethical conduct and integrity.
• He has given away significant amounts of his personal wealth as a
donation to the Gates Foundation and various other charitable causes.
Buffet believes in using his wealth to benefit society. Therefore, he is a
great example of the authentic leadership concept.
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Ethical Leadership
• Ethical leadership is leadership that is directed by respect for ethical beliefs and values
and for the dignity and rights of others. It is thus related to concepts such as trust,
honesty, consideration, charisma, and fairness. Practitioners and scholars of ethical
leadership point to five key principles of ethical leadership: honesty, justice, respect,
community and integrity.
• Ethical leadership is defined as “leadership demonstrating and promoting ‘normatively

appropriate conduct through personal actions and interpersonal relations’.” When you
boil it down, this really means that ethical leadership is defined as putting people into
management and leadership positions who will promote and be an example of
appropriate, ethical conduct in their actions and relationships in the workplace.
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Characteristics of Ethical
Leader
1. FAIR
2. HONEST
3. RESPECTFUL
4. VALUE-DRIVEN
5. ENCOURAGES INITIATIVE
6. LEADS BY EXAMPLE
7. FOCUSES ON THEIR TEAM
8. KINDNESS
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Examples
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DARKER SIDE OF
LEADERSHIP
CONCEPT BEYOND
THEORIES
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What is dark side?

• It refers to our inner urges, compulsions motivations and dysfunctions
that drive us towards success or undermine our accomplishments.
• People who refuse or ignore to acknowledge their dark side frequently
encounter major failures in their leadership responsibilities. Leaders who
face their dark side and redeem it accomplish the most in long run.
• A leader whose personality is composed of a trio of negative personality
traits — narcissism, psychopathy and Machiavellianism — is a dark
leader. Broken down, narcissism is composed of grandiosity, perceived
superiority and entitlement.
• Psychopathy is when someone is emotionally cold, remorseless and
impulsive. They lack empathy.
• Machiavellianism manifests as being manipulative, self- centred and
domineering. This person deceives and tricks others.
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• The dark side of leadership is defined as “an ongoing pattern of behaviour exhibited by a leader that
results in overall negative organizational outcomes based on the interactions between the leader,
follower and the environment,” according to a 2009 report published by leadership coaching
consultant Semann & Slattery.
Leaders who cross over to the dark side and contribute to negative results often display one or more
of the following attributes:
• Narcissistic
• Controlling
• Arrogant
• Selfish
• Dishonest
These personality traits can lead to the abuse of power, lack of empathy and even unethical
behaviour. For example, a narcissist may only listen for their own ideas while punishing critics who
disagree, causing a toxic environment where those in agreement are rewarded and those who do not
are punished.
Signs You May Be Dealing With A Dark Leader At Work

• The person is overbearing, dominating and aggressive, and you can’t reason with them.
• The person chases after a goal at all costs, regardless of sound advice against the endeavour.
• The person harasses and demeans and is irrational in their treatment of their employees.
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Why you should care about the dark side of leadership?
• Leadership in organizations can often be dark and destructive. Utilizing a so-called trait approach is particularly helpful in
understanding destructive leaders. Such leaders share common personality traits, notably including narcissism, hubris and
Machiavellianism. There are some organizational best practices on how to deal with such destructive leaders who exhibit these
very traits. Organizations are best served through identifying these individuals and ensuring they are not placed in positions of
power in the first place. Most of the focus on leadership has been on the positive side of leadership, which focuses on ideal
characteristics and behaviours for effective leadership. However, in recent years, there has also been a focus on the ‘dark’ or
destructive side of leadership and how destructive leaders can undermine the value of their followers.
How to deal with leaders who exhibit destructive traits?
• One of the biggest issues for organizations is how to deal with derailed leaders, particularly those who exhibit these dark
personality traits. Individual differences in leaders are largely due to genetics so the implication is that organizations should be
wary of promoting and selecting individuals who score high on these dark traits.
Preventing destructive personalities from entering power positions is vital:

• These dark personality traits also appear to be important in inhibiting growth and leader development (Harms, Spain &
Hannah, 2001). This implies that there is little that organizations can do in dealing with leaders who exhibit dark personality
characteristics.
• However, Harms and colleagues reject this notion because research in clinical psychology suggests that even clinical levels of
personality disorders can be treated with appropriate interventions. For now, however, it seems prudent to err on the side of
caution and ensure that individuals with dark personality traits are not selected or promoted as leaders.
The Five Factor Personality Model can help determine individual traits
• Structured interviews or personality tests for selection and recruitment such as the five factor personality theory are proper
means to identify negative leadership traits already during selection and leadership development.
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HOW CAN DARKER SIDE BE BRIGHTER?

• Although many leaders possess the personality traits associated with dark leadership, not all leaders are
dark leaders.“For example, you can’t succeed in a leadership position in an organization without having a
really thick skin. Leadership requires a bit of narcissism and a lot of confidence.” Narcissism can be very
helpful when people need to self-promote to get sales or to speak in front of an audience of hundreds or
thousands.“The darkness in dark leadership comes when an overused skill becomes a detractor, and begins
to harm others and the organization. Also, the dark triad can progress to what’s known as the dark tetrad
which includes everyday sadism, when leaders derive pleasure from causing suffering in the people they
lead.”The research findings emphasize the need for leaders to examine the ‘dark’ side of their personality
and to think about the impact this may be having on their leadership performance. So what practical steps
can people take to make their dark side a little brighter?. These are as follows:
1. Acknowledge and accept you have a dark side
Every leader has a degree of darkness in their personality – this is perfectly natural – but to ensure it does
not impact substantially on leadership performance, it is important to accept it is there and be aware of
when it is most likely to emerge. We may not like admitting that our behaviour is sometimes less than
perfect – but if you don’t acknowledge it, nothing will change.
2. Get to know your dark side
What does your dark side look like and when is it more likely to emerge? Is your dark side more prevalent,
for example, during times of stress? Do you know that you are sometimes tempted to take credit for
other’s work to make yourself look good? Are you aware that you have a tendency to manipulate
situations to get what you personally want, even if it’s not the right thing to do? Self-awareness is an
important first step to making your dark side brighter. Ask for feedback or consider taking a psychometric
test to help you develop a deeper insight into your personality and how you operate.
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3. Understand how others view you

Learning about your dark side from other people’s perspective will help you to better manage it in
the future. Ask for feedback or get your team to complete a 360 psychometric test. As our
research shows, the impact of the dark side of leadership performance differs according to other
people’s personality characteristics. Some people in your team might be more sensitive to the
impact of your dark side than others. Knowing which characteristics you display and how they are
received by others is one step further towards managing the impact.
4. Manage your dark side

Once you have identified your dark side, you will be better able to manage its impact on your
leadership performance. Keeping yourself physically and mentally healthy is one way of keeping
your dark side in check, as it is more likely to emerge when resources are depleted. It is also useful
to identify what triggers activate your dark side so that you can avoid these or at least be prepared
to deal with the consequences. Taking part in executive education that involves stress-inducing
experiential learning is one way you can learn, in a safe environment, about how your dark side
emerges during times of strain.
5. Mitigate the impact

When your dark side emerges – as it inevitably will at some point in your career – think about how
you can reduce its impact on your leadership ability and the people you are leading. One way of
doing this is to develop coping mechanisms that can be applied during times of strain. Scenario
planning, for example, or set behavioural routines might be useful ways to help manage yourself
and reduce the impact of your behaviour on others.
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Organization Politics And

Leadership
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Definition of organisational politics
Organizational politics is referred to the self-interest and

agenda of an individual in an organization without any
concern about its impact on the objective of the company to
achieve its goals. It is a process that is related to the self-
serving human behavior and his interactions involving
authority and power.
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Reason for organizational politics
•Do not want to work hard

•Cannot adjust to change
•Personal relationship
•Lack of clarity
•Manipulation
•Jealousy
•Lack of thrust
•Blame game
•Promotions are less plentiful
•Reward system
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Effects of organizational politics

• The decrease in the level of productivity
• Negative work environment
• Low levels of concentration
• Has an impact on the attitude
• De-motivation the employees
• Increased stress
• Wrongful information
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Way to reduce organizational politics

• Tasks should be delegated on the basis of efficiency and work
experience so that the employees are able to find job
satisfaction. This will automatically reduce any reason to
indulge in politics
• Organizations should emphasize transparency at all costs
• Promote teamwork to strengthen the bond so that people
hesitate to indulge in office politics
• Effective communication will reduce the chances of office
politics
• Encourage a positive frame of mind in the workplace as
people will then hesitate to spread lies and bitch about others
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Managing organizational politics

• Maintain your core value
• Understand the organization’s politics
• Recognise the source of power
• Develop your people skills
• Listen attentively
• Priorities of the organization
• Unwritten rules
• Rewards and repercussions
• Be proactive
• Be protective
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Pfeffer rational versus Political model of Organization

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Rational Model
 Behavior Reflects purpose of intention.
 Power is centralized and the decision process is orderly
and procedural.
 Rules are based on optimization of all sorts of
resources, the information is often widespread and
extensive.
 Decisions are taken focusing on value maximizing
choices.
 Ideology is efficiency
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If an organization is looked at this way, then the most fundamental elements of the
organization are the formal hierarchies of authority identified in the organization
chart that represents the various official positions and lines of authority in the
organization.
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Political Power Model

 The mainstream difference is the disorder of the decision
process and the freedom of flow of Rules and Norms.
 Power constantly shifts between parties.
 Information handled with subjectivity and kept astray.
 Decisions are usually the results of bargaining in behalf of
a Party.
 The ideology is Struggle and Conflict.
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Organisational
Rational Model Political Model
Characteristic
Goals, preference Consistent across Inconsistent,
participants pluralistic within the
organisation
Power and control Centralised Decentralised, shifting
coalitions and interest
groups
Decision process Orderly, logical, Disorderly,
rational characterised by push
and pull of interests
Rules and norms Norm of Free play of market

optimisation forces; conflict is
legitimate and
expected
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Information Extensive, Ambiguous,

systematic, information used and
accurate withheld strategically
Beliefs about Known, at least to Disagreements about

cause-effect a probability causes and effects
relationships estimate
Decisions Based on Result of bargaining

outcome- and interplay among
maximising interests
choice
Ideology Efficiency and Struggle, conflict,

effectiveness winners and losers
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Controlling political behavior in organization
Political behavior : activities that are not required as part of

one’s formal role in the organization, but that influence, or
attempt to influence ,the distribution of advantages and
disadvantages within the organization .
1. Legitimate political behavior
2. Illegitimate political behaviour
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Organizational politics :
• The use of power and influence in organization.

• The use of power in non prescribed ways {means}and /or
for non prescribed purposes {ends}
for example I'll support your bill if you support mine.
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Techniques to control political behavior in

organization are:
• Control the dissemination of critical information
• Controlling lines if communication
• Controlling the agenda
• Opinions of outside experts and consultants
• Game playing
• Image building
• Building coalitions or alliance

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Course Title: Leadership and Motivation in Organization Course Code: HR733

MBA IV SEMESTER (2020-22)

LEADERSHIP AND MOTIVATION IN

Work related aspects of motivation – Extrinsic and intrinsic aspect of motivation.

Factors Affecting Motivation at Work

MODULE 2: POWER AND LEADERSHIP

An overall Contingency Model of Power base on the

MODULE 4: LEADERSHIP AND MANAGEMENT

MODULE 5: INTRODUCTION TO LEADERSHIP THEORIES

Module 4 - Topics to be covered:

Module 5 - Topics to be covered:

Source of Power Subordinates Reaction

Fig. Relationship between Leader’s power and Subordinate’s reaction

1.Classification on the basis of rewards

(i) Positive leaders

(ii) Negative leaders

2. Classification on the basis of power

(i) Autocratic leader

(ii) Participative leader

(iii) Democratic leader

(iv) Laissez – Faire or Free-rein leaders

Rensis Likerts System of Management

Four different types of leadership or systems have been developed by

Rensis Likert on the basis of the leader behaviour:

1.Exploitative – authoritative style of leadership: System 1

2.Benevolent authoritative style: System 2

3.Consultative style: System 3

4.Participative style: System 4

Situational or Contingency Theories

2. Fiedler’s Contingency Theory

3. House’s Path Goal Theory

4. Hersey and Blanchard’s Situational Leadership Theory

Understanding Leadership And

• Spiritual organizations build their cultures around a meaningful

• Spiritual organizations are characterized by mutual trust, honesty,

Characteristics of Spiritual Leader

• According to a 2002 study done by Sen Sendjaya and James C Sarros,

“Authentic leadership is a style of leadership that focuses on

Many ancient Greek principles and philosophies are still pertinent

• Ethical leadership is defined as “leadership demonstrating and promoting ‘normatively

What is dark side?

Signs You May Be Dealing With A Dark Leader At Work

Why you should care about the dark side of leadership?

Preventing destructive personalities from entering power positions is vital:

HOW CAN DARKER SIDE BE BRIGHTER?

3. Understand how others view you

4. Manage your dark side

5. Mitigate the impact

Organization Politics And

Definition of organisational politics

Organizational politics is referred to the self-interest and

Reason for organizational politics

•Do not want to work hard

Effects of organizational politics

Way to reduce organizational politics

Managing organizational politics

Pfeffer rational versus Political model of Organization

Political Power Model

Rules and norms Norm of Free play of market

Information Extensive, Ambiguous,

Beliefs about Known, at least to Disagreements about

Decisions Based on Result of bargaining

Ideology Efficiency and Struggle, conflict,

Controlling political behavior in organization