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Chapter Fourteen Power, Influence & Leadership

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Page 1: Part3 mgmt.ppt

Chapter Fourteen

Power, Influence & Leadership

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E14-1

McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

Leadership

Leadership: is the ability to influence employees to voluntarily pursue organizational goals.

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Managers

What needs to be done—planning and budgeting

Management is working with and through others to accomplish organizational goals.

Leaders

What needs to be done—setting a direction

Leadership is influencing work that other people do.

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McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

Managers Vs. Leaders

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1) Legitimate Power all managers have; results from managers’ formal positions within the organization

2) Reward Power all managers have; results from manager’s authority to reward their subordinates

3) Coercive Power all managers have; results from the manager’s authority to punish their subordinates

4) Expert Power is power resulting from one’s specialized information or expertise

5) Referent Power power derived from one’s personal attraction

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McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

Five Sources of Power

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McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

Influence

Influencing Others

3. Consultation

1. Rational persuasion

2. Inspirational appeals

4. Ingratiating techniques 5. Personal Appeals

6. Exchange Tactics

7. Coalition Tactics

8. Pressure Tactics9. Legitimating Tactics

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• Rational persuasion: Trying to convince someone by using reason, logic, or facts.

• Inspirational appeals: Trying to build confidence by appealing to others emotions, ideals, or values.

• Consultation: Getting others to participate in a decision or change.

• Ingratiating tactics: Acting humble or friendly or making someone feel good or feel important before making a request.

• Personal appeals: Friendship and loyalty when making a request.

• Exchange tactics: Reminding someone of past favors or offering to trade favors.

• Coalition tactics: Getting others to support your effort to persuade someone.

• Pressure tactics: Using demands, threats, or intimidation to gain compliance.

• Legitimating tactics: Basing a request on one’s authority, organizational rules or policies, or express or implied support from superiors.

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1) Trait

2) Behavioral

3) Contingency

4) Full-range

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McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

Five Approaches to Leadership

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McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

Trait Approach

Trait Approach to Leadership

Traits can be developed through experience and learning

Important when selecting and choosing candidates for leadership positions

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Panel 14.2

McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

The Leadership Traits Bossidy Looks for in Job Candidates

1) Ability to execute

2) A career runway

3) A team orientation

4) Multiple experiences

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McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

Emotional Intelligence

Emotional Intelligence: the ability to cope, empathize with others and be self-motivated.

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McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

The Traits of Emotional Intelligence

Emotional Intelligence

1. Self-awareness

2. Self-management

4. Relationship management

3. Social awareness

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Panel 14.4

McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

Where Female Executives Do Better: A Scorecard

Skill Men Women

Motivating Others √√√√√

Fostering communication √√√√*

Producing high-quality work √√√√√

Strategic planning √√ √√*

Listening to others √√√√√

Analyzing issues √√ √√*

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Behavioral Leadership Approaches: attempts to determine the distinctive styles used by effective leaders

Leadership styles – combination of traits, skills and behaviors that leaders use when interacting with others.

3 Models - The University of Michigan Leadership Model

- The Ohio State Leadership Model

- The Leadership Grid Model

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McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

Behavioral Leadership Approaches

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Job-centered Behavior: managers pay more attention to the job and work procedures

Employee Centered Behavior: managers pay more attention to the employee satisfaction.

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McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

The University of Michigan Leadership Model

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Initiating Structure: leadership behavior that organizes and defines what group members should be doing

Consideration: leadership behavior that expresses concern for employees by establishing a warm, friendly, and supportive climate

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McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

The Ohio State Leadership Model

Effective Leaders: Effective Leaders: • Have supportive or employee-centered relationship

• Use groups rather than individual methods of supervision• Set high performance goals

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Country club 1,9

Team 9,9

Middle-of-the-road 5,5

Impoverished 1,1

Task 9,1

High

LowLow High

Concern for production

Co

nce

rn f

or

peo

ple

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Panel 14.5

McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

The Leadership Grid Model

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Contingency Approach effective leadership behavior depends on the situation at hand

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McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

Contingency Approach

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Contingency ApproachContingency Approach

Situational ControlSituational Control

Leader-Member Relations – Do my subordinates

accept me as a leader?

Task-Structure – Do my subordinates

perform unambiguous, easily understood tasks?

Position Power – Do I have power to reward and punish,

employ and fire?

Extent to which the tasks are routine,unambiguous/clear and

easily understood

How much power a leader has to make work assignments and

reward and punishments

Extent to which a leader has or doesn’t have the support, loyalty

and trust of group

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Contingency Leadership Model determines correct match between leadership style and the situation at hand

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McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

Fiedler’s Approach

Task-oriented Leadership

Relationship-oriented

Is best under situations of high or low control

Is best under situations of moderate control

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Situational Leadership Theory leadership behavior reflects how leaders should adjust their leadership style according to the readiness of the followers

Readiness the extent to which a follower has the ability and willingness to complete a task

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McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

Situational Leadership

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SellingS2

Explain decisions and provide

opportunity forclarification

ParticipatingS3Share ideas andfacilitate in decision making

Follower-Directed Leader-DirectedFollower-Directed Leader-Directed

LowLow

LowLow

HighHigh

HighHigh

Leader BehaviorLeader Behavior

Task BehaviorTask Behavior(directive)(directive)

Follower ReadinessFollower ReadinessHighHigh Moderate Moderate Low Low R4 R4 R3 R3 R2 R2 R1R1

Rel

ati

on

ship

Beh

avio

rR

ela

tio

nsh

ip B

ehav

ior

(su

pp

ort

ive

beh

avi

or)

(su

pp

ort

ive

beh

avi

or)

DelegatingS4

Turn overresponsibility for

decisions andimplementation

TellingS1

Provide specificinstructions and closelysupervise performance

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McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

Hersey & Blanchard’s Situational Leadership Model

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Telling Style (High directing, Low Supporting)

• Leaders are more concern about putting plans for followers, organizing them and their work, and also monitoring them closely.

• Followers generally lacking the specific skills required for the job in hand and lacks any confidence.

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Selling Style (High directing, High Supporting)

• Followers start to learn and how to influence what they are doing, by getting answers to their questions.

• Followers may have some relevant skills, but won't be able to do the job without help.  The task or the situation may be new to them.

• Followers will selling their ideas.

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Participating Style (Low directing, High Supporting)

• Leader is giving more trust to the followers, and give them more space to express, ask, and look for answers but when it comes to making the decision he is the boss.

• Followers experienced and capable, but may lack the confidence to go it alone, or the motivation to do it well.

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Delegating Style (Low directing, Low Supporting)

• Leader already have full trust in the ability of the followers, and the ability in doing things in their way.

• Followers experienced at the job, and comfortable with their own ability to do it well. 

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Full range leadership: suggests that leadership behavior varies along a full range of leadership styles, from laissez-faire, through transactional leadership, to transformational leadership.

Transactional leadership: focusing on clarifying employees’ roles and task requirements and providing rewards and punishments contingent on performance.

Transformational leadership: transforms employees to pursue organizational goals over self-interests.

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Full Range Leadership: From Laissez-Faire, Through Transactional, to Transformational

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Inspirational motivation “Let me share a vision that transcends us all’ Attracts commitment, energizes workers, creates

meaning in their lives

Idealized influence “We are here to do the right thing” Inspire trust and display high ethical standards

Individualized consideration “You have the Opportunity to Grow & Excel” Empowerment, one-on-one mentoring

Intellectual stimulation Question the situation and seek creative solutions

McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

Key Behaviors of Transformational Leaders

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Inspirational motivation

• Try to motivate all their followers/ subordinate/ employees by influencing followers mind and soul.

• Attracts commitment, energizes workers, and creates meaning in their lives - which means leaders and followers together will achieve what they want. In other words, make followers FEEL IMPORTANT. Without them you as a leader you can’t achieve anything alone.

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Idealized influence • Leader’s make sure that follower's

BELIEVE/TRUST that leader's always there when they need him/her.

Individualized consideration • Acts as a Mentor or Coach to the

follower and listens to the follower's concerns and needs. It’s more to individual motivation.

• “You have the Opportunity to Grow & Excel”

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Intellectual stimulation

• Encourage creativity in their followers.

• Leader's always want their follower to ask questions and then seek for creative solution.

• Since followers feel they are important, trust their leader's and leader's care about them. Followers ready to give their opinions.