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LEADING LEADING

MGT162 (Chapter 6 - Leading).ppt

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Page 1: MGT162 (Chapter 6 - Leading).ppt

LEADINGLEADING

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Leadership DefinitionLeadership Definition

• Leadership is:Leadership is:

A social influence process.A social influence process.

Is the process of directing and influencing the task-Is the process of directing and influencing the task-related activities of group membersrelated activities of group members

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There are four important points of There are four important points of leadership:-leadership:-1.1. Leadership involves other peopleLeadership involves other people

2.2. Leadership involves unequal distribution of Leadership involves unequal distribution of powerpower

3.3. Leadership is the ability to use the different Leadership is the ability to use the different forms of power forms of power

4.4. Leadership is about valuesLeadership is about values

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Leadership Approaches Leadership Approaches

o Leadership Traits and Skills FocusLeadership Traits and Skills Focus The assumption that some people are born with The assumption that some people are born with

certain physical characteristics, aspects of certain physical characteristics, aspects of personality, and aptitudes that make them successful personality, and aptitudes that make them successful leaders.leaders.Physical characteristics:Physical characteristics: height and appearance height and appearancePersonality:Personality: self-esteem, dominance and emotional self-esteem, dominance and emotional

stabilitystabilityAptitudes:Aptitudes: general intelligence, verbal fluency and general intelligence, verbal fluency and

creativitycreativity

I.I. Trait ApproachTrait Approach

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The trait approach to leadership is based on early The trait approach to leadership is based on early leadership research that assume that a good leader is leadership research that assume that a good leader is born, not made.born, not made.

However, evaluation of the studies shows that people However, evaluation of the studies shows that people who became effective leader do not have any special who became effective leader do not have any special trait that distinguish them from non-leaders.trait that distinguish them from non-leaders.Thus, people today believe that individuals can be Thus, people today believe that individuals can be

trained to be good leaderstrained to be good leadersLeaders are made, not born. Leaders are made, not born.

I.I. Trait Approach (cont’d)Trait Approach (cont’d)

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II.II. Behavioral ApproachBehavioral Approach Examines what effective leaders do rather than what Examines what effective leaders do rather than what

effective leaders are.effective leaders are. Defines a leader’s effectiveness based on two Defines a leader’s effectiveness based on two

orientations:orientations:Task orientation or job centered styleTask orientation or job centered style

– Setting performance goals, giving directions, and Setting performance goals, giving directions, and supervising performance.supervising performance.

– More concerned with getting the job done to his More concerned with getting the job done to his satisfactionsatisfaction

Employee orientation or people centered styleEmployee orientation or people centered style– Behavior that shows empathy for concerns and feelings, Behavior that shows empathy for concerns and feelings,

supportive of needs, and showing trust.supportive of needs, and showing trust.– Friendly and respectful relationship with employees, would Friendly and respectful relationship with employees, would

try to motivate subordinates rather than to control them.try to motivate subordinates rather than to control them.

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The behavioral approach is supported by below The behavioral approach is supported by below studies:studies:

II.II. Behavioral Approach (cont’d)Behavioral Approach (cont’d) * *

The Managerial Grid (by The Managerial Grid (by Robert Blake and Jane Robert Blake and Jane

Mouton)Mouton)

The Managerial Grid (by The Managerial Grid (by Robert Blake and Jane Robert Blake and Jane

Mouton)Mouton)

The Ohio State The Ohio State University (OSU studies)University (OSU studies)

The Ohio State The Ohio State University (OSU studies)University (OSU studies)

Behavioral Behavioral ApproachApproach

Behavioral Behavioral ApproachApproach

The University of Michigan The University of Michigan (Michigan studies)(Michigan studies)

The University of Michigan The University of Michigan (Michigan studies)(Michigan studies)

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OSU studies concluded that leaders exhibit two main OSU studies concluded that leaders exhibit two main types of behavior:types of behavior:

I.I. Structure Behavior (task-oriented)Structure Behavior (task-oriented) The leadership activity that establishes The leadership activity that establishes

procedures that employees should follow in procedures that employees should follow in performing their tasks or jobs.performing their tasks or jobs.

II.II. Consideration Behavior (employee-oriented)Consideration Behavior (employee-oriented) The leadership behavior that shows friendship, The leadership behavior that shows friendship,

trust, respect and warmth in the relationship trust, respect and warmth in the relationship between leaders and employees.between leaders and employees.

II.II. Behavioral Approach (cont’d)Behavioral Approach (cont’d) * *

The Ohio State University (OSU studies)The Ohio State University (OSU studies)The Ohio State University (OSU studies)The Ohio State University (OSU studies)

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OSU studies resulted in a model OSU studies resulted in a model that shows four leadership styles.that shows four leadership styles.

i.e. A high structure/low consideration leadership style emphasizes on structure behavior and place less attention to consideration behavior.

Low structure/high consideration Low structure/high consideration – highest employee satisfaction, – highest employee satisfaction, lowest turnover rateslowest turnover rates

High structure/low consideration High structure/low consideration – had high grievance, high – had high grievance, high turnover ratesturnover rates

II.II. Behavioral Approach (cont’d)Behavioral Approach (cont’d) * *

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Michigan studies concluded two types of leader behavior:Michigan studies concluded two types of leader behavior:

I.I. Job-centered Behavior Job-centered Behavior Interested in the job that subordinate is doing and how Interested in the job that subordinate is doing and how

well the subordinate performs the job.well the subordinate performs the job. Leaders set rigid work standards, prescribe work methods Leaders set rigid work standards, prescribe work methods

to be followed, and closely supervise subordinate work.to be followed, and closely supervise subordinate work.

II.II. Employee-centered BehaviorEmployee-centered Behavior Interested to the personal needs of subordinates and build Interested to the personal needs of subordinates and build

cooperative work teams that are satisfying to cooperative work teams that are satisfying to subordinates.subordinates.

Leaders encourage subordinates participation and inspire Leaders encourage subordinates participation and inspire trust and respect among subordinates. trust and respect among subordinates.

The most productive work groups have leaders who were The most productive work groups have leaders who were employee-centered rather than job-centered.employee-centered rather than job-centered.

II.II. Behavioral Approach (cont’d)Behavioral Approach (cont’d) * *

The University of Michigan (Michigan studies)The University of Michigan (Michigan studies)The University of Michigan (Michigan studies)The University of Michigan (Michigan studies)

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Managerial Grid identifies five leadership behaviors Managerial Grid identifies five leadership behaviors based on task-oriented and employee-oriented styles. based on task-oriented and employee-oriented styles.

The grid identifies a range of management behaviors The grid identifies a range of management behaviors based on the various ways that task-oriented and based on the various ways that task-oriented and employee-oriented styles can interact with one another employee-oriented styles can interact with one another (each expressed on a scale of 1 to 9).(each expressed on a scale of 1 to 9).

II.II. Behavioral Approach (cont’d)Behavioral Approach (cont’d) * *

The Managerial Grid (Robert Blake & Jane Mouton)The Managerial Grid (Robert Blake & Jane Mouton)The Managerial Grid (Robert Blake & Jane Mouton)The Managerial Grid (Robert Blake & Jane Mouton)

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II.II. Behavioral Approach (cont’d)Behavioral Approach (cont’d) * * The five leadership styles practiced by managers.The five leadership styles practiced by managers.

Point 1,1 – Impoverished ManagementPoint 1,1 – Impoverished Management↓ ↓ concern for people, ↓ concern for concern for people, ↓ concern for tasks, leader does not play his tasks, leader does not play his leadership role, makes minimum effort leadership role, makes minimum effort to get work done, also known as to get work done, also known as laissez-faire management laissez-faire management

Point 1,9 – Country Club ManagementPoint 1,9 – Country Club Management↑ ↑ concern for people, ↓ concern for concern for people, ↓ concern for tasks, this leadership style believes tasks, this leadership style believes that giving attention to people’s needs that giving attention to people’s needs will lead to a comfortable and friendly will lead to a comfortable and friendly organizational atmosphereorganizational atmosphere

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II.II. Behavioral Approach (cont’d)Behavioral Approach (cont’d) * * The five leadership styles practiced by managers.The five leadership styles practiced by managers.

Point 5,5 – Point 5,5 – Middle-of-the-Road/Organization Man Middle-of-the-Road/Organization Man ManagementManagementconcern for people = concern for tasks, concern for people = concern for tasks, adequate organization performance is adequate organization performance is possible through balancing work and possible through balancing work and maintaining morale of employees at a maintaining morale of employees at a satisfying levelsatisfying level

Point 9,1 – Task/Authoritarian/Autocratic Point 9,1 – Task/Authoritarian/Autocratic Management Management ↓ ↓ concern for people, ↑ concern for concern for people, ↑ concern for tasks, manager stresses on operating tasks, manager stresses on operating efficiently through controls, wants work efficiently through controls, wants work schedule to be followed, least concern schedule to be followed, least concern about employees welfareabout employees welfare

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II.II. Behavioral Approach (cont’d)Behavioral Approach (cont’d) * * The five leadership styles practiced by managers.The five leadership styles practiced by managers.

Point 9,9 – Team / Democratic / Point 9,9 – Team / Democratic / Participative/ Supportive ManagementParticipative/ Supportive Management↑ ↑ concern for people, ↑ concern for concern for people, ↑ concern for tasks, work accomplishment is from tasks, work accomplishment is from committed people, interdependence committed people, interdependence through common interests as well as through common interests as well as relationship of trust and respectrelationship of trust and respect

Style 9,9 is the most effective Style 9,9 is the most effective management style - improved management style - improved performance, low absenteeism and performance, low absenteeism and turnover, and high employee turnover, and high employee satisfaction.satisfaction.

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III.III. Contingency ApproachContingency Approach * *

Formulated by Martin G. Evans and Robert J. House.Formulated by Martin G. Evans and Robert J. House. Based on expectancy model, which states employee’s Based on expectancy model, which states employee’s

motivation depends on his expectation of reward or motivation depends on his expectation of reward or the attractiveness of the reward.the attractiveness of the reward.

Managers determine the availability of “goals” Managers determine the availability of “goals” (rewards) and the “paths” that will earn those rewards.(rewards) and the “paths” that will earn those rewards.

Leader can increase employee effort and productivity Leader can increase employee effort and productivity by clarifying performance goals and the path to be by clarifying performance goals and the path to be taken to achieve those goals.taken to achieve those goals.

1.1. Path-Goal ApproachPath-Goal Approach1.1. Path-Goal ApproachPath-Goal Approach

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III.III. Contingency Approach (cont’d)Contingency Approach (cont’d) * *

According to Path-Goal theory of leadership, leaders According to Path-Goal theory of leadership, leaders show four primary types of behavior:show four primary types of behavior:

I.I. Directive behaviorDirective behavior Telling followers what to do and how to do it, Telling followers what to do and how to do it,

leader indicates what performance goals exist leader indicates what performance goals exist and what must be done to achieve it.and what must be done to achieve it.

II.II. Supportive behaviorSupportive behavior Being friendly with followers and showing interest Being friendly with followers and showing interest

in them as human beings. Leader shows in them as human beings. Leader shows sensitivity to the personal needs of followers.sensitivity to the personal needs of followers.

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III.III. Contingency Approach (cont’d)Contingency Approach (cont’d) * *

III.III. Participative behaviorParticipative behavior Seeking suggestions from followers regarding Seeking suggestions from followers regarding

business operations, followers involve in decision business operations, followers involve in decision making, help to determine rewards available and making, help to determine rewards available and what they must do to earn those rewards.what they must do to earn those rewards.

IV.IV. Achievement behaviorAchievement behavior Aimed at setting challenging goals for followers to Aimed at setting challenging goals for followers to

reach and expressing confidence that they will face reach and expressing confidence that they will face up to the challenge. Leader focuses on making up to the challenge. Leader focuses on making challenging goals for employees to achieve.challenging goals for employees to achieve.

Path-goal theory explains why a particular leadership Path-goal theory explains why a particular leadership style is more effective in one situation than in another style is more effective in one situation than in another and it recommends flexibility in dealing with different and it recommends flexibility in dealing with different employee problems and situations.employee problems and situations.

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III.III. Contingency Approach (cont’d)Contingency Approach (cont’d) * *

2.2. Life Cycle or Situational ApproachLife Cycle or Situational Approach2.2. Life Cycle or Situational ApproachLife Cycle or Situational Approach

Developed by Hersey and Blanchard.Developed by Hersey and Blanchard.

Leadership styles should reflect primarily on the Leadership styles should reflect primarily on the maturity level of the followers.maturity level of the followers.

Maturity Maturity is the ability of followers to perform their job is the ability of followers to perform their job independently, the education/experience and skills a follower independently, the education/experience and skills a follower has relevant to particular tasks, to assume additional has relevant to particular tasks, to assume additional responsibility and to desire to achieve success.responsibility and to desire to achieve success.

Describes how leaders should adjust leadership style Describes how leaders should adjust leadership style in response to their subordinates’ desire for in response to their subordinates’ desire for achievement, experience, ability and willingness to achievement, experience, ability and willingness to accept responsibility.accept responsibility.

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III.III. Contingency Approach (cont’d)Contingency Approach (cont’d) * *

Phases in Life-Cycle ApproachPhases in Life-Cycle Approach

Phase 1 (HT/LR)Phase 1 (HT/LR)Telling style:Telling style: the leader the leader provides specific instructions provides specific instructions and closely supervises and closely supervises performance.performance.

Phase 2 (HT/HR)Phase 2 (HT/HR)Selling style:Selling style: the leader the leader explains decisions and explains decisions and provides opportunities for provides opportunities for clarification.clarification.

PHASE 1

PHASE 2PHASE 3

PHASE 4

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III.III. Contingency Approach (cont’d)Contingency Approach (cont’d) * *

Phases in Life-Cycle ApproachPhases in Life-Cycle Approach

Phase 3 (LT/HR)Phase 3 (LT/HR)Participating style:Participating style: the leader the leader shares ideas and maintains shares ideas and maintains two-way communication to two-way communication to encourage and support the encourage and support the skills subordinates have skills subordinates have developed.developed.

Phase 4 (LT/LR)Phase 4 (LT/LR)Delegating style:Delegating style: the leader the leader provides subordinates with provides subordinates with few task or relations few task or relations behaviors.behaviors.

PHASE 1

PHASE 2PHASE 3

PHASE 4

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PowerPower

• Defined as the ability to use human, Defined as the ability to use human, informational or material resources to get informational or material resources to get something donesomething done

• It is the ability to exert influence, that is the It is the ability to exert influence, that is the ability to change the attitudes or behavior of ability to change the attitudes or behavior of individuals of groups.individuals of groups.

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Position power – power derived from opportunities inherent in a position in Position power – power derived from opportunities inherent in a position in an organizationan organization

1.1. Legitimate power – this is where a person has a ‘right’ Legitimate power – this is where a person has a ‘right’ or is lawfully entitled to exert influence or power or is lawfully entitled to exert influence or power (formal authority)(formal authority)

2.2. Reward power – is the ability to reward another person Reward power – is the ability to reward another person for carrying out orders, which may be expressed or for carrying out orders, which may be expressed or impliedimplied

3.3. Coercive power – is the ability to influence another Coercive power – is the ability to influence another person with the use of threat or punishment for not person with the use of threat or punishment for not carrying out orders.carrying out orders.

4.4. Information power – involves the manager’s power to Information power – involves the manager’s power to gain and distribute information that is important to gain and distribute information that is important to other organizational members.other organizational members.

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Personal power – power derived for interpersonal relationship Personal power – power derived for interpersonal relationship between leaders and followers between leaders and followers

1.1. Expert power – is the power to influence Expert power – is the power to influence another person because of expert knowledge another person because of expert knowledge and competenceand competence

2.2. Referent power – is the ability to influence Referent power – is the ability to influence others based on personal liking, charisma and others based on personal liking, charisma and reputation.reputation.

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