CHAPTER FIVE CONTINGENCY MODELS: USING RESOURCES EFFECTIVELY

CHAPTER FIVECHAPTER FIVE

CONTINGENCY MODELS: CONTINGENCY MODELS: USING RESOURCES USING RESOURCES

EFFECTIVELYEFFECTIVELY

Learning ObjectivesLearning Objectives

1.1. Explain the importance of the Explain the importance of the effective use of resources to effective use of resources to leadership.leadership.

2.2. Distinguish between a task-motivated Distinguish between a task-motivated and a relationship-motivated leader and a relationship-motivated leader and identify the elements of and identify the elements of situational control used in Fiedler’s situational control used in Fiedler’s Contingency Model of Leadership.Contingency Model of Leadership.

3.3. Present the Contingency Model’s Present the Contingency Model’s predictions and explain how to use it predictions and explain how to use it to improve leadership effectiveness.to improve leadership effectiveness.

4.4. Present the four decision styles used Present the four decision styles used in the Normative Decision Model of in the Normative Decision Model of Leadership.Leadership.

5.5. Understand the role of decision Understand the role of decision quality and follower acceptance in the quality and follower acceptance in the choice of leadership styles and how to choice of leadership styles and how to use the Normative Decision Model to use the Normative Decision Model to improve leadership effectiveness.improve leadership effectiveness.

6.6. Discuss the Cognitive Resource Discuss the Cognitive Resource Theory and its implications for Theory and its implications for leaders.leaders.

Learning Objectives Learning Objectives (con’t.)(con’t.)

Elements Of Fiedler’s Elements Of Fiedler’s Contingency ModelContingency Model

The leader’s style:The leader’s style:• Task or relationship motivation Task or relationship motivation

measured by the LPC scalemeasured by the LPC scale

Situational control:Situational control:• Leader-member relationsLeader-member relations• Task structureTask structure• Position powerPosition power

Characteristics Of Task And Characteristics Of Task And Relationship-motivated Relationship-motivated

LeadersLeadersTask-Motivated Task-Motivated

(Low-LPC)(Low-LPC)

• Draws self-esteem from Draws self-esteem from task completiontask completion

• Focuses on task firstFocuses on task first

• Can be harsh with failing Can be harsh with failing followersfollowers

• Considers competence to Considers competence to be key employee traitbe key employee trait

• Enjoys detailsEnjoys details

Relationship-MotivatedRelationship-Motivated

(High-LPC)(High-LPC)

• Draws self-esteem from Draws self-esteem from interpersonal interpersonal relationshipsrelationships

• Focuses on people firstFocuses on people first

• Likes to please othersLikes to please others

• Considers loyalty to be Considers loyalty to be key employee traitkey employee trait

• Gets bored with detailsGets bored with details

Fiedler’s ModelFiedler’s ModelGGRROOUUPP

PPEERRFFOORRMMAANNCCEE

HighHigh

LowLow

SITUATIONAL CONTROLSITUATIONAL CONTROL

Leader-MemberLeader-Member RelationsRelations

Task StructureTask Structure

Position PowerPosition Power

HIGHHIGH MODERATEMODERATE LOWLOW

GOODGOOD BADBAD

HIGHHIGH LOWLOW

HIGHHIGH HIGHHIGH

HIGHHIGH

HIGHHIGHHIGHHIGHLOWLOW LOWLOW LOWLOW LOWLOW

LOWLOW

Low-LPCLow-LPC

High-LPCHigh-LPC

Contingency Model’sContingency Model’s Implications For Managers Implications For Managers

Leaders must understand their own Leaders must understand their own style and their leadership situationstyle and their leadership situation

Leaders should focus on changing Leaders should focus on changing the situation to match their stylethe situation to match their style

A good relationship with followers A good relationship with followers

is key to is key to the leader’s ability to leadthe leader’s ability to lead Leaders can seek training to Leaders can seek training to

compensate for task ambiguitycompensate for task ambiguity

Elements Of The Normative Elements Of The Normative Decision ModelDecision Model

The leader’s decision-making The leader’s decision-making style:style:• AutocraticAutocratic• ConsultativeConsultative• Group/DelegationGroup/Delegation

Contingency factors:Contingency factors:• Quality of the decisionQuality of the decision• Acceptance of subordinatesAcceptance of subordinates

Contingency Factors In TheContingency Factors In TheNormative Decision ModelNormative Decision Model

Quality requirement (QR)Quality requirement (QR)

How important is the quality of the How important is the quality of the decision?decision?

Commitment requirement (CR)Commitment requirement (CR)

How important is employee How important is employee commitment?commitment?

Leader information (LI)Leader information (LI)

Does leader have enough Does leader have enough information?information?

Contingency Factors In Contingency Factors In TheThe

Normative Decision Model Normative Decision Model (con’t.)(con’t.) Structure of the problem (ST)Structure of the problem (ST)

Is the problem clear?Is the problem clear? Commitment probability (CP)Commitment probability (CP)

How likely is employee commitment How likely is employee commitment if if

leader makes the decision alone?leader makes the decision alone? Goal congruence (GC)Goal congruence (GC)

Do employees agree with Do employees agree with

organizationalorganizational

goals?goals?

Employee conflict (CO)Employee conflict (CO)

Is there conflict among employees Is there conflict among employees

over solution?over solution? Subordinate information (SI)Subordinate information (SI)

Do employees have enoughDo employees have enough

information to make a high-quality information to make a high-quality

decision?decision?

Contingency Factors In Contingency Factors In TheThe

Normative Decision Model Normative Decision Model (con’t.)(con’t.)

Normative Decision Normative Decision Model’s Model’s

Implications For ManagersImplications For Managers Leaders must understand the Leaders must understand the

situation and how to use different situation and how to use different decision stylesdecision styles

Participation is not always desirableParticipation is not always desirable Leaders must pay attention to their Leaders must pay attention to their

followers’ needs and reactions followers’ needs and reactions when making decisionswhen making decisions

Elements Of The CognitiveElements Of The CognitiveResource TheoryResource Theory

The leader’s intelligence and The leader’s intelligence and experienceexperience

Contingency factors:Contingency factors: Level of stressLevel of stress Interpersonal conflictInterpersonal conflict Concerns about performanceConcerns about performance

Cognitive Resource Cognitive Resource Theory’s Theory’s

Implications For Implications For ManagersManagers

The role of stress must be The role of stress must be considered and assessedconsidered and assessed

Organizations must consider both Organizations must consider both leader’s intelligence and leader’s intelligence and

experienceexperience

• People don’t fail; events doPeople don’t fail; events do• Breakthrough leadership based on:Breakthrough leadership based on:

Leading Change:Leading Change:Donald WinklerDonald Winkler

Getting things doneGetting things done AccountabilityAccountability Straight talkStraight talk Collective effortCollective effort Trust Trust EqualityEquality Intense listeningIntense listening

Leadership In Action:Leadership In Action:Bill Gates and Mary Bill Gates and Mary Kay Ash Kay Ash

Focus on smart Focus on smart people working people working on new problemson new problems

Performance and Performance and intense intense competitioncompetition

Intellectual, Intellectual, confrontational confrontational and demandingand demanding

Focus on God Focus on God and familyand family

Support Support women’s careers women’s careers and their familyand their family

Mother figure, Mother figure, nurturing and nurturing and accessibleaccessible

Highly intelligent, passionate about their business, energetic, drivenHighly intelligent, passionate about their business, energetic, driven

The Leadership The Leadership ChallengeChallenge

Leader may be low-LPC who gains a Leader may be low-LPC who gains a sense of control and sense of control and accomplishments by working in very accomplishments by working in very low situational controllow situational control

Intervention may be necessary to Intervention may be necessary to help him learn to change the help him learn to change the situation without creating chaossituation without creating chaos

Allow selection and building of Allow selection and building of cohesive team, provide leader with cohesive team, provide leader with task training, and maintain his task training, and maintain his powerpower

Prepared by the Society for Industrial and Organizational Psychology - SIOP © 1998

Industrial-Organizational PsychologyIndustrial-Organizational Psychology Learning Module Learning Module

Diversity in the Diversity in the WorkplaceWorkplace

Lesson ObjectivesLesson Objectives

Understand why diversity in the Understand why diversity in the workplace mattersworkplace matters

Know the different types of diversityKnow the different types of diversity Understand the challenges raised by Understand the challenges raised by

workplace diversity workplace diversity Know how I-O psychologists help Know how I-O psychologists help

organizations manage diversityorganizations manage diversity


At the end of this lecture, you should:

Why does diversity in the Why does diversity in the workplace matter?workplace matter?

The service economyThe service economy interactions between people are keyinteractions between people are key customer base is more diversecustomer base is more diverse similarities between people ease processsimilarities between people ease process

Globalization of businessGlobalization of business doing business with people from around doing business with people from around

worldworld The changing labor marketThe changing labor market Company mergers and buy-outsCompany mergers and buy-outs


Types of DiversityTypes of Diversity Gender diversityGender diversity

more women in workforce today than evermore women in workforce today than ever better educated than everbetter educated than ever

stereotypes still remainstereotypes still remain glass ceiling, etc.glass ceiling, etc.

Age diversityAge diversity as population ages, more older workers are as population ages, more older workers are

availableavailable re-entry of middle-aged women to workre-entry of middle-aged women to work retirees returning to supplement pensionretirees returning to supplement pension internships bring in more younger internships bring in more younger

employeesemployeesPrepared by the Society for Industrial and Organizational Psychology - SIOP © 1998

Types of DiversityTypes of Diversity

Cultural diversityCultural diversity affects values, view of the worldaffects values, view of the world more than 40% of new entrants into U.S. more than 40% of new entrants into U.S.

workforce from non-“majority” groups workforce from non-“majority” groups about 22% new immigrantsabout 22% new immigrants about 20% African-American or Hispanicabout 20% African-American or Hispanic

growing international businessgrowing international business employees maintain ties to national and employees maintain ties to national and

cultural heritagecultural heritage


Other Types of DiversityOther Types of Diversity(You May Not Have Thought Of)(You May Not Have Thought Of)

Family situationsFamily situations single employees (mothers and others)single employees (mothers and others)

Physical and psychological Physical and psychological disabilitiesdisabilities Americans with Disabilities ActAmericans with Disabilities Act

Sexual orientation Sexual orientation Political viewsPolitical views Personal idiosyncrasiesPersonal idiosyncrasies


Challenges of DiversityChallenges of Diversity Availability challengeAvailability challenge

in past employers could control diversityin past employers could control diversity more people than jobsmore people than jobs

qualified employees have become scarcequalified employees have become scarce employers must become more flexibleemployers must become more flexible realize “Different does not mean deficient”realize “Different does not mean deficient”

Fairness challengeFairness challenge in past, typically viewed as equal in past, typically viewed as equal

treatmenttreatment Equal Employment OpportunityEqual Employment Opportunity

now employers must embrace new now employers must embrace new diversitydiversity

essentially focus on “differences”essentially focus on “differences”Prepared by the Society for Industrial and Organizational Psychology - SIOP © 1998

Challenges of DiversityChallenges of Diversity

Synergy challengeSynergy challenge more and more group-based workmore and more group-based work diversity can create positive and diversity can create positive and

negative conflictnegative conflict can facilitate creative problem-solvingcan facilitate creative problem-solving can close down communicationcan close down communication can derail group processescan derail group processes

group leaders must minimize group leaders must minimize destructive conflict and maximize destructive conflict and maximize diversity of inputdiversity of input


How do I-O psychologists How do I-O psychologists help organizations manage help organizations manage

diversity?diversity? Providing managers with trainingProviding managers with training

how to recruit/hire diverse employeeshow to recruit/hire diverse employees how to orient/integrate new employeeshow to orient/integrate new employees

Providing all employees with trainingProviding all employees with training realizing the differences that existrealizing the differences that exist learning how differences affect working learning how differences affect working

environmentenvironment how to maximize productivity without how to maximize productivity without

ignoring employee differencesignoring employee differences


Industrial-Organizational PsychologyIndustrial-Organizational Psychology Learning Module Learning Module

LeadershipLeadershipand Gender and Gender StereotypesStereotypes


Lesson ObjectivesLesson Objectives

Understand the leadership Understand the leadership perceptions approachperceptions approach

Understand how gender Understand how gender stereotyping in organizations affects stereotyping in organizations affects perceptions of leadersperceptions of leaders

Know some of the methods used to Know some of the methods used to control stereotyping in organizationscontrol stereotyping in organizations

At the end of this lecture you should:


Leadership PerceptionsLeadership Perceptions

Leadership is hard to defineLeadership is hard to define but we know it when we see it!but we know it when we see it!

Leadership Perceptions ApproachLeadership Perceptions Approach people must first be recognized as leaders. people must first be recognized as leaders. then they are allowed to influence then they are allowed to influence

followers.followers. followers determine the ultimate success followers determine the ultimate success

of leaders.of leaders.


General Model of General Model of Leadership PerceptionsLeadership Perceptions

Leader behavior determines follower Leader behavior determines follower perceptions, which are associated with perceptions, which are associated with positive or negative outcomes.positive or negative outcomes.

Outcomes such as success can also Outcomes such as success can also serve to shape follower perceptions.serve to shape follower perceptions.

General Model:General Model:

LeaderBehavior

FollowerPerceptions

Individual,Group, and

OrganizationalOutcomes


Gender and Leadership Gender and Leadership PerceptionsPerceptions

Identical behavior from men and Identical behavior from men and women is interpreted women is interpreted differentlydifferently..

Perceivers attach different labels to Perceivers attach different labels to the same behaviors enacted by men the same behaviors enacted by men and women.and women.

One reason is because of One reason is because of gender gender stereotypesstereotypes..

LeaderBehavior

FollowerPerceptions

Individual,Group, and

OrganizationalOutcomes


Gender Stereotypes and Gender Stereotypes and Leadership PerceptionsLeadership Perceptions

Stereotypes are expectations about Stereotypes are expectations about members of certain groups.members of certain groups.

Gender-based stereotypes include Gender-based stereotypes include beliefs about:beliefs about: expected interpersonal behaviorexpected interpersonal behavior the types of roles or jobs best suited the types of roles or jobs best suited

for men and women.for men and women. The role of gender stereotypes in The role of gender stereotypes in

employment was at issue in Price employment was at issue in Price Waterhouse v. Hopkins.Waterhouse v. Hopkins.


Gender Stereotypes and Gender Stereotypes and Leadership PerceptionsLeadership Perceptions

Ann B. Hopkins was a high-performing, but Ann B. Hopkins was a high-performing, but masculine acting, prospective partner at PW.masculine acting, prospective partner at PW.

Hopkins alleged she was denied partnership Hopkins alleged she was denied partnership because of her gender.because of her gender.

PW countered that Hopkins had interpersonal PW countered that Hopkins had interpersonal problems (e.g., she was "macho").problems (e.g., she was "macho").

Court eventually ruled that gender-based Court eventually ruled that gender-based stereotyping influenced perceptions of her stereotyping influenced perceptions of her behavior.behavior.

Because she was a woman in a nontraditional Because she was a woman in a nontraditional role, Hopkins' behavior was seen as more role, Hopkins' behavior was seen as more extreme than men who behaved similarly.extreme than men who behaved similarly.


Controlling our Controlling our StereotypingStereotyping

Everyone (or nearly everyone) engages Everyone (or nearly everyone) engages in stereotyping.in stereotyping.

Most recognize it is inappropriate to Most recognize it is inappropriate to judge others based on a stereotype.judge others based on a stereotype.

How can we learn to control our How can we learn to control our stereotyping?stereotyping?

One way is through One way is through conscious conscious controlcontrol. .


How do I/O psychologists help How do I/O psychologists help organizations control organizations control

stereotyping?stereotyping? Identifying organizational consequences Identifying organizational consequences

that gender and race stereotyping havethat gender and race stereotyping have Training employees to gather Training employees to gather

individuating informationindividuating information about the about the stereotyped personstereotyped person

getting to know the person as an individualgetting to know the person as an individual understanding benefits of diversityunderstanding benefits of diversity

Training employers to effectively Training employers to effectively manage diversitymanage diversity

Helping to minimize the effects of Helping to minimize the effects of stereotyping and unfair treatment of stereotyping and unfair treatment of employeesemployees


Sharing PerceptionsSharing Perceptions

Previous research indicates that the Previous research indicates that the same behavior by men and women same behavior by men and women leaders results in different perceptions.leaders results in different perceptions.

Women are seen as more bossy and Women are seen as more bossy and dominating.dominating.

Men are seen as having greater ability, Men are seen as having greater ability, skill, and intelligence.skill, and intelligence.

Gender stereotypes influence our Gender stereotypes influence our reactions, even without our awareness.reactions, even without our awareness.


The Power of Talk:The Power of Talk:

Who Gets Heard and WhyWho Gets Heard and Why

By Deborah TannenBy Deborah Tannen

Linguistic StyleLinguistic Style

A person’s characteristic speaking A person’s characteristic speaking pattern. A set of culturally learned pattern. A set of culturally learned signals by which we not only signals by which we not only communicate what we mean but also communicate what we mean but also interpret others’ meaning and interpret others’ meaning and evaluate one another as peopleevaluate one another as people


Features includeFeatures include Directness or indirectnessDirectness or indirectness Pacing & pausingPacing & pausing Word choiceWord choice Use of elements like jokes, figures of Use of elements like jokes, figures of

speech, stories, questions & apologiesspeech, stories, questions & apologies Turn takingTurn taking


Every utterance functions on two Every utterance functions on two levels:levels: Language communicates ideasLanguage communicates ideas Language negotiates relationshipsLanguage negotiates relationships

The KickerThe Kicker

Girls tend to learn conversational Girls tend to learn conversational rituals that focus on the rituals that focus on the rapportrapport dimension of relationships whereas dimension of relationships whereas boys tend to learn rituals that focus boys tend to learn rituals that focus on the on the statusstatus dimension dimension

Linguistic PatternsLinguistic Patterns

One Up, One DownOne Up, One Down Getting CreditGetting Credit Confidence & BoastingConfidence & Boasting Asking QuestionsAsking Questions


One Up, One DownOne Up, One Down Men tend to be sensitive to the power Men tend to be sensitive to the power

and attain one upand attain one up Women tend to be sensitive to rapport Women tend to be sensitive to rapport

and will take one downand will take one down Getting CreditGetting Credit

Men say ‘I’ where women say ‘we’Men say ‘I’ where women say ‘we’


Confidence & BoastingConfidence & Boasting Women downplay certaintyWomen downplay certainty Men minimize doubtsMen minimize doubts

Asking QuestionsAsking Questions Can put you in a one down position, Can put you in a one down position,

boys are more aware of thisboys are more aware of this

The norms of behavior in the US The norms of behavior in the US business world are based on the business world are based on the style of interaction that is more style of interaction that is more common among men—at least common among men—at least American men. American men.

Conversational RitualsConversational Rituals

Conversation is ritual in the sense Conversation is ritual in the sense that we speak in ways our culture that we speak in ways our culture has conventionalized and expect has conventionalized and expect certain types of responses.certain types of responses.

ApologiesApologies FeedbackFeedback ComplimentsCompliments Ritual OppositionRitual Opposition


ApologiesApologies Women say I’m sorry more often than menWomen say I’m sorry more often than men Puts in one-down, even though other women Puts in one-down, even though other women

know they aren’t really sorryknow they aren’t really sorry FeedbackFeedback

Differing StylesDiffering Styles ComplimentsCompliments

Women pay more than men, puts at a Women pay more than men, puts at a disadvantage in the work placedisadvantage in the work place


Ritual OppositionRitual Opposition An exploration through verbal An exploration through verbal

oppositionopposition They put their ideas in the most certain They put their ideas in the most certain

and absolute form they can, and wait to and absolute form they can, and wait to see if they are challengedsee if they are challenged

Being forced to defend an idea gives the Being forced to defend an idea gives the opportunity to test itopportunity to test it

Negotiating AuthorityNegotiating Authority

Actual authority has to be negotiated day Actual authority has to be negotiated day to dayto day

Managing Up and DownManaging Up and Down Boys are rewarded for talking up their Boys are rewarded for talking up their

accomplishments, girls aren’taccomplishments, girls aren’t IndirectnessIndirectness

The tendency to say what we mean without The tendency to say what we mean without spelling it outspelling it out

Men are often more directMen are often more direct

What to do?What to do?

Become aware Become aware Make sure everyone is heardMake sure everyone is heard Be more flexibleBe more flexible

Knowing “What” to do is Knowing “What” to do is not Enough:not Enough:

Turning Knowledge into ActionTurning Knowledge into Action

By By

Jeff Pfeffer & Robert SuttonJeff Pfeffer & Robert Sutton

We intuitively understand that We intuitively understand that knowing is not enoughknowing is not enough

$60 billion spent on training annually$60 billion spent on training annually Training not implementedTraining not implemented Billions for management consultantsBillions for management consultants Why don’t top performers look to the Why don’t top performers look to the

Ivy League Schools?Ivy League Schools?

Is there a gap?Is there a gap?

Even if evidence is strong, not always Even if evidence is strong, not always adoptedadopted

Performance not transferred across Performance not transferred across firmsfirms

Does it Matter?Does it Matter?

There’s too much information out there to There’s too much information out there to successfully hoard many secretssuccessfully hoard many secrets

Most interventions are about things Most interventions are about things already knownalready known

Although knowledge creation, Although knowledge creation, benchmarking, and knowledge benchmarking, and knowledge management may be important, management may be important, transforming it into action is at least as transforming it into action is at least as importantimportant

Problems with Knowledge Problems with Knowledge ManagementManagement

First, the conception of knowledge as First, the conception of knowledge as explicit and quantifiableexplicit and quantifiable We treat knowledge like a warehouse We treat knowledge like a warehouse

itemitem Do we build it into products?Do we build it into products? Do we develop new products based on it?Do we develop new products based on it? Working Knowledge – knowledge is Working Knowledge – knowledge is

transferred between people by stories, transferred between people by stories, gossip and watching others work.gossip and watching others work.


First (continued)First (continued) Tacit knowledge cannot be stored Tacit knowledge cannot be stored

readilyreadily Knowledge storage and retrieval Knowledge storage and retrieval

systems are often not developed by systems are often not developed by those who will use themthose who will use them


Second, it is conceptualized as Second, it is conceptualized as distinct from philosophy or valuesdistinct from philosophy or values

Third, we overestimate the Third, we overestimate the importance of the tangible, specific, importance of the tangible, specific, programmatic aspects of knowledge programmatic aspects of knowledge and underestimate the underlying and underestimate the underlying philosophy that guides what is done philosophy that guides what is done and howand how

Why Typical KM Practices Make Why Typical KM Practices Make the Gap Worsethe Gap Worse

Emphasize technology and transfer of Emphasize technology and transfer of codified informationcodified information

Treats knowledge as a tangible thing Treats knowledge as a tangible thing and separates it from its useand separates it from its use

Formal systems can’t easily store tacit Formal systems can’t easily store tacit knowledgeknowledge

The people responsible don’t The people responsible don’t understandunderstand

Philosophy is ignoredPhilosophy is ignored

Turning Knowledge into Turning Knowledge into ActionAction

Why before how: Philosophy is Why before how: Philosophy is importantimportant

Knowing comes from doing and Knowing comes from doing and teaching others howteaching others how

Action counts more than elegant Action counts more than elegant plans and conceptsplans and concepts

There is no doing without mistakes. There is no doing without mistakes. What is the company’s response?What is the company’s response?

Turning Knowledge into Turning Knowledge into ActionAction

Fear fosters knowing-doing gaps, so Fear fosters knowing-doing gaps, so drive it outdrive it out

Beware of false analogies: fight the Beware of false analogies: fight the competition, not each othercompetition, not each other

Measure what matters and what can Measure what matters and what can help turn knowledge into actionhelp turn knowledge into action

What leaders do, how they spend their What leaders do, how they spend their time and how they allocate resources, time and how they allocate resources, mattersmatters

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CHAPTER FIVE CONTINGENCY MODELS: USING RESOURCES EFFECTIVELY