LEADERSHIPLEADERSHIP

Prepared By : HITESH BAID

A Leadership Story:A Leadership Story: A group of workers and their leaders are set a task of

clearing a road through a dense jungle on a remote island to get to the coast where an estuary provides a perfect site for a port.

The leaders organise the labour into efficient units and monitor the distribution and use of capital assets – progress is excellent. The leaders continue to monitor and evaluate progress, making adjustments along the way to ensure the progress is maintained and efficiency increased wherever possible.

Then, one day amidst all the hustle and bustle and activity, one person climbs up a nearby tree. The person surveys the scene from the top of the tree.

A Leadership Story:A Leadership Story:And shouts down to the

assembled group below…“Wrong Way!” (Story adapted from Stephen Covey (2004) “The Seven Habits of

Highly Effective People” Simon & Schuster).

“Management is doing things right, leadership is doing the right things”

(Warren Bennis and Peter Drucker)

LEADERSHIPLEADERSHIPIT IS THE PROCESS OF ENCOURAGING

& HELPING OTHERS TO WORK ENTHUSIASTICALLY TOWARDS OBJECTIVES.

IT IS THE RELATIONSHIP IN WHICH ONE PERSON(THE LEADER) INFLUENCES OTHERS TO WORK TOGETHER WILINGLY ON RELATED TASKS TO ATTAIN GOALS DESIRED BY THE LEADER & OR GROUP.

LeadershipLeadership

Types of Leadership Types of Leadership StyleStyle

Types of Leadership StyleTypes of Leadership StyleAutocratic:

◦ Leader makes decisions without reference to anyone else

◦ High degree of dependency on the leader◦ Can create de-motivation and alienation of

staff◦ May be valuable in some types of business

where decisions need to be made quickly and decisively

Types of Leadership StyleTypes of Leadership StyleDemocratic:Encourages decision making

from different perspectives – leadership may be emphasised throughout the organisation◦ Consultative: process of consultation

before decisions are taken◦ Persuasive: Leader takes decision and

seeks to persuade others that the decision is correct

Types of Leadership StyleTypes of Leadership StyleDemocratic:

◦May help motivation and involvement

◦Workers feel ownership of the firm and its ideas

◦Improves the sharing of ideas and experiences within the business

◦Can delay decision making

Types of Leadership StyleTypes of Leadership Style

Laissez-Faire:◦ ‘Let it be’ – the leadership responsibilities

are shared by all◦ Can be very useful in businesses

where creative ideas are important◦ Can be highly motivational,

as people have control over their working life◦ Can make coordination and decision making

time-consuming and lacking in overall direction

◦ Relies on good team work◦ Relies on good interpersonal relations

Types of Leadership StyleTypes of Leadership StylePaternalistic:Leader acts as a ‘father figure’Paternalistic leader makes

decision but may consultBelieves in the need to support

staff

LEADERSHIP STYLES & THEIR LEADERSHIP STYLES & THEIR IMPLICATIONSIMPLICATIONS 4 TYPES1. STYLE BASED ON THE AMOUNT OF AUTHORITY RETAINED BY LEADER2. STYLE BASED ON TASK VS. PEOPLE EMPHASIS3. STYLE BASED ON ASSUMPTIONS

ABOUT PEOPLE4. ENTREPRENURSHIP LEADERSHIP STYLE

1. STYLE BASED ON AMOUNT 1. STYLE BASED ON AMOUNT OF AUTHORITY OF AUTHORITYA. AUTHORITARIAN –

RETENTION OF FULL AUTHORITY WITH LEADER.

IF LEADER IS COMPETENT, ALL TASKS ARE EFFICIENTLY COMPLETED BECAUSE OF SAVING OF TWO WAY COMMUNICATION TIME.

STYLE BASED ON STYLE BASED ON AUTHORITY AUTHORITYB. PARTICIPATIVE – 3 TYPES 1. CONSULTATIVE : LEADER

SOLICIT OPINION BEFORE MAKING DECISION FROM A GROUP BUT DO NOT FEEL OBLIGED TO ACCEPT GROUP THINKING.

LESS AUTHORITY VESTED WITH GROUP.

STYLE BASED ON STYLE BASED ON AUTHORITY AUTHORITY2. CONSENSUAL : LEADER ENCOURAGE

GROUP DISCUSSION & CHOOSE GENERAL AGREEMENTED DECISIONS. MORE AUTHORITY VESTED WITH GROUP.

3. DEMOCRATIC : LEADER CONFER FINAL AUTHORITY TO GROUP , FUNCTION AS COLLECTORS OF OPINION & TAKE VOTE BEFORE MAKING OF DECISION. FULL AUTHORITY WITH GROUP.

STYLE BASED ON STYLE BASED ON AUTHORITY AUTHORITYC. FREE REIN / LAISSEZ-FAIRE

STYLE : IT ACTUALLY ABDICATES LEADER POSITION TO SOMEONE ELSE IN GROUP.POSITIVELY IT WORKS IF GROUP HAS HIGHLY COMMITTED MEMBERS.

High Relations High Relations

& Low Task& Low Task

(Supporting Style)(Supporting Style)

High task &High task &

High RelationsHigh Relations

(Participative Style)(Participative Style)

Low Task &Low Task &

Low RelationLow Relation

(Free-Rein Style)(Free-Rein Style)

High TaskHigh Task

& Low Relation& Low Relation

(Autocratic Style)(Autocratic Style)

People

Emphasis

High

Low

Low High

(Four Key Leader Behaviours)

2. STYLE BASED ON TASK 2. STYLE BASED ON TASK

VS PEOPLE VS PEOPLE

3. STYLE BASED ON ASSUMPTIONS 3. STYLE BASED ON ASSUMPTIONS ABOUT PEOPLEABOUT PEOPLE2 STYLES BASED ON MCGREGOR’S

THEORY X & Y.THEORY X – AUTOCRATIC

LEADERS .THEY DISTRUST PEOPLE & BELIEVE IN CLOSE SUPERVISION & TIGHT CONTROL OVER THE SUBORDINATES.

THEORY Y – PARTICIPATIVE LEADERS. THEY TRUST SUBORDINATES & ALLOW THEM TO PARTICIPATE IN DECISION MAKING.

4. ENTREPRENEURSHIP 4. ENTREPRENEURSHIP LEADERSHIP STYLE.LEADERSHIP STYLE.ENTREPRENEUR IS A PERSON

WHO CONVERTS AN INNOVATIVE IDEA IN TO BUSINESS.

- IMPATIENT TOWARDS EMPLOYEE AS ENTREPRENEURS ARE ALWAYS BUSY.

- HEAVY TASK ORIENTATION COMBINED WITH DIRECT APPROACH TO GIVE INSTRUCTIONS TO EMPLOYEES.

- A CHARISMATIC PERSONALITY INSPIRES OTHERS TO JOIN HIM.

- A MUCH STRONG INTEREST WITH CUSTOMER RATHER THAN EMPLOYEES & DISLIKE FOR BUREUCRATIC RULES.

Change LeadershipChange Leadership

Change LeadershipChange LeadershipThe most challenging aspect of

business is leading and managing change

The business environment is subject to fast-paced economic and social change

Modern business must adapt and be flexible to survive

Problems in leading change stem mainly from human resource management

Change LeadershipChange LeadershipLeaders need to be aware of how

change impacts on workers:Series of self-esteem states

identified by Adams et al and cited by Garrett◦ Adams, J. Hayes, J. and Hopson, B.(eds) (1976) Transition:

understanding and managing change personal change London, Martin Robertson

◦ Garrett, V. (1997) Managing Change in School leadership for the 21st century Brett Davies and Linda Ellison, London, Routledge

Change LeadershipChange LeadershipSelf-esteem

Time

1. Immobilisation – as rumours of the change circulate, the individual feels some sense of shock and possible disbelief – so much so that they deem it worthy of doing nothing.

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2. Minimisation: As the change becomes clearer, people try to fit in the change with their own personal position and may try to believe that it will not affect them.

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3. Depression: as reality begins to dawn staff may feel alienated and angry, feelings of a lack of control of events overtake people and they feel depressed as they try to reconcile what is happening with their own personal situation.

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4. Acceptance/letting go: The lowest point in self-esteem finally sees people starting to accept the inevitable. Fear of the future is a feature of this stage.

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5. Testing out: Individuals begin to interact with the change, they start to ask questions to see how they might work with the change.

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6. Search for meaning: Individuals begin to work with the change and see how they might be able to make the change work for them – self esteem begins to rise.

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7. Internalisation: the change is understood and adopted within the individual’s own understanding – they now know how to work with it and feel a renewed sense of confidence and self esteem.

Theories of Theories of LeadershipLeadership

Theories of LeadershipTheories of LeadershipTrait theories:Is there a set of characteristics

that determine a good leader?◦ Personality?◦ Dominance and personal presence?◦ Charisma?◦ Self confidence?◦ Achievement?◦ Ability to formulate a clear vision?

Theories of LeadershipTheories of LeadershipTrait theories:

◦Are such characteristics inherently gender biased?

◦Do such characteristics produce good leaders?

◦Is leadership more than just bringing about change?

◦Does this imply that leaders are born not bred?

Theories of LeadershipTheories of LeadershipBehavioural:Imply that leaders can be trained –

focus on the way of doing things◦ Structure based behavioural theories –

focus on the leader instituting structures – task orientated

◦ Relationship based behavioural theories – focus on the development and maintenance of relationships – process orientated

Theories of LeadershipTheories of LeadershipContingency Theories:Leadership as being more flexible –

different leadership styles used at different times depending on the circumstance.

Suggests leadership is not a fixed series of characteristics that can be transposed into different contexts

Theories of LeadershipTheories of LeadershipMay depend on:

◦Type of staff◦History of the business◦Culture of the business◦Quality of the relationships◦Nature of the changes needed◦Accepted norms within the

institution

Theories of LeadershipTheories of LeadershipTransformational:

◦ Widespread changes to a business or organisation

Requires:◦ Long term strategic planning◦ Clear objectives◦ Clear vision◦ Leading by example – walk the walk◦ Efficiency of systems and processes

Theories of LeadershipTheories of LeadershipInvitational Leadership:

◦ Improving the atmosphere and message sent out by the organisation

◦ Focus on reducing negative messages sent out through the everyday actions of the business both externally and, crucially, internally

◦ Review internal processes to reduce these◦ Build relationships and sense of belonging

and identity with the organisation – that gets communicated to customers, etc.

Theories of LeadershipTheories of LeadershipTransactional Theories:

◦Focus on the management of the organisation

◦Focus on procedures and efficiency◦Focus on working to rules

and contracts◦Managing current issues

and problems

Factors Affecting StyleFactors Affecting Style

Factors Affecting StyleFactors Affecting Style

Leadership style may be dependent on various factors:◦ Risk - decision making and change initiatives

based on degree of risk involved◦ Type of business – creative business

or supply driven?◦ How important change is –

change for change’s sake?◦ Organisational culture – may be long

embedded and difficult to change

◦ Nature of the task – needing cooperation? Direction? Structure?

HISTORICAL PERSPECTIVE ON TRANSITIONS IN CORPORATE SOCIETY

Kingdom State

Corporate

Corporate as State

State People

Market

Wealth of Kingdom Wealth of Nation Wealth of the Corporate

Creativity View of History

1. Vedic Movement2. Bhakti Movement3. Freedom Movement4. New Age Spiritual Movements5. New Awakening

The Right Leadership Style ------------------------------------ Harvard

- 6 Styles suits to most occasions

I. DIRECTIVE – Command & Control Behaviour. Tell – What to do? When to do? What will happen if you fail?• Appropriate in Crisis or managing poor performers.

II. VISIONARY – Authoritative but instead of simply explaining more elaboration given to employees on challenges & responsibilities so that goals are clear and commitment increases.

• Used by people with high personalize power drive under low stress situations & high socialised power drive when stress is high.

III. AFFILATIVE – EMPHASIZE the employees & his / her emotional needs over the job. Tend to avoid conflict.

• Most effective when used in combination Visionary, Participative or coaching Styles. Also when manager deals employees who are in midst of personal crisis / high stress situations.

IV. PARTICIPATIVE • Collaborative & Democratic.• Engage others in Decision-making process.• Great for building trust & consensus, especially when team has highly competent individuals when leader has limited knowledge or lacks formal power & Authority.• Favored by leaders High Affiliation drives.

V. PACE SETTING• Involves Leading by examples & personal heroics.• Executives this style typically have high standards & make sure they are

met with.• Typical go- to style for high Achievers at least under low – stress situations.

VI. COACHING• Involves executives in long term professional development & mentoring of employees.• Leaders who scores high on socialized power motive prefer it under low- stress situations.

6 FACTORS WHERE LEADER can create strong work climate

A. Flexibility B. Responsibility C. Standards D. Rewards E. Clarity F. Team Commitment