Leadership and change

management
Prepared By: Abdu Yimer
Outlines
 Definition of leadership
 Leadership Vs management
 What makes effective leader
 Leadership theories
 Good VS bad leaders
Chapter one
 Definition :
1. Is a social influence process in
which leaders seek the voluntary
participation of followers in an
effort to reach organizational
goal.
2. It the ability inspiring followers
to perform their duties willingly.
3. The processes of making people
perform near to their full
capacity.
Cont…
Leadership:

◦ Require one or more follower(s).

◦ Are required to be influential.
◦ Influence others to achieve common goals.
Cont….
 Leadership at individual level:
◦ Mentoring
◦ Coaching
◦ Inspiring
◦ Motivating
 Leadership at Group level:
◦ Building team
◦ Create cohesion
◦ Resolve conflict
 Leadership at organizational level:
◦ Building culture
◦ Create change
difference b/n leader and manger
 Leader- people focus
 Manager – task focus
 Leader- doing the right things
 Manger – doing thing the right
 Leader – focus of inspiring
 Manger- focus on controlling
 Leader- Have vision
 Manager- implementing vision etc.
10 qualities of effective leader
 1. vision
◦ Strong sense of purpose
 What must be done?
 2. Ability
◦ Know the job.
 Am I current and competent in my field?
 3. Enthusiasm
◦ Cause others to become intersted
 Do I care deeply and personally what I am doing?
Cont…

 4. stability
◦ Understand his own world
◦ Emotional stability
 Do I covey stability to my employee?
 5. concern for others
◦ Must not treat employees as a machine
 Do I truly care about my employee as people?
 6. self confidence
◦ Inner strength
 Do I show confidence in my action?
Cont…
 7. persistence
◦ Stick with difficult task
 Do I have persistence?
 8. Vitality
◦ Electric, vigorous, active, and full of life
 Do I have sufficient energy ?
 9. charisma
◦ Special personal quality that generate other interest
and cause them to follow/
 Do I possess a positive outlook and commitment ?
Cont…
 10. integrity
◦ Understood as honesty, strength of character and
courage.
 Do my people trust me
Leadership theories
 # leadership styles
◦ 1. Autocratic
◦ 2. Democratic
◦ 3. Laissez fair
 Autocratic leadership style
◦ Decision making solely by managers
 Democratic leadership style
◦ Involve subordinates in decision making
 Laissez fair leadership style
◦ Encourage employees to function independently
Great Man theory

Leaders are born not made

 focus on selection of leaders not training of

leaders
Trait theory
 Focused on identifying the personal
characteristics that are responsible for
effective leadership
 6 traits

◦ Need for achievement- seeking responsibility

◦ Intelligent- thinking capacity
◦ Decisiveness- make difficult decision
◦ Self confidence- positive self image
◦ Initiative - self starter
Behavioral leadership theory
 It focuses on what leaders do, & on how they act.

 Given a preferred style, the goal was to be able to

train leaders to become skilled at using it to the
best advantage of an organization.
Contingency theory
 The Situational Approach
 Elements in the work situation that help determine which
leadership style is effective:
1. Leader-member relations
2. The task structure and
3. The leader's position power
Transactional leadership
 Exchange of service for various kinds of
reward.
Transformation leadership
 shift people & organizational systems into new
high-performance patterns.
 There are four factors of TL

1. Idealized influence (charisma)

2. Inspirational motivation
3. Intellectual stimulation
4. Individualized consideration
Servant leadership
 Focus on identifying and meeting the need of
others rather than trying acquire power ,
wealth and fame .
 Characteristics of servant leaders:

◦ Good at listening
◦ Stay close with employees
◦ Good understanding of others
◦ Hard working
Power

 Ability to influence others

1. 1. Legitimate power-derives from the authority
formally vested in a hierarchical position within
the organization
2. Coercive power- which describes the authority
to recommend or impose punishment
Cont…
3. Reward power- which derives from the authority
to decide & make the allocation of rewards to others
4. Expert power-
◦ the power derived from the unique skill or
expertise that a leader has in solving problems and
performing important tasks
5. Referent power-
◦ which derives from features of personality or character
of the leader, and
◦ which can be used to command the respect,
admiration, or compliance of others
Good leader
 Have vision
 Ethical
 Competent
Bad leaders
 Have no vision
 Unethical
 Incompetent