Leadership in Organisations

7/27/2019 Leadership in Organisations

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4TH LECTURE (KNUST)

SCHOOL OF BUSINESS-KNUST


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LEADERSHIP AND

ORGANISATIONAL BEHAVIOURMr. J. Oppong-Mensah

[email protected]

0540803577KNUST School of Business

Dept. of Managerial Science
mailto:[email protected]:[email protected]


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LEADERSHIP(driving high performance)

Expected learning outcomes

Describe, compare and evaluate the different approaches toManagerial Leadership

Evaluate the concept of transformational and inspirationalleadership

Describe the role of leadership in the context of change and high

performance organisations

Evaluate the concept of Managerial Leadership Effectiveness


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Indicative examination questions

Explain the differences between transactional and transformational

leadership

Briefly outline two leadership theories and consider how relevant they are

to your organisation or an organisation that you are familiar with.

As a leader of a team of experienced professionals, you are asked to

implement a particularly unpopular customer care initiative. What

leadership style or approach might you adopt in this situation and why?

Drucker (1955) saidLeadership is of utmost importance. Indeed there is

no substitute for it. But leadership cannot be taught or learned-Critically

evaluate this assertion.


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LEADERSHIP

Leadership is currently much discussed;

academic studies have multiplied like amoeba

since the1970s.

Entering leadership into Google provided

around126 million entries worldwide, and

around 8.4 million for the UK alone.

A similar search on Amazon UK gave more

than 53,000 books on the topic


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LEADERSHIP

There is no single definition of leadership that satisfies

everyone. John Adair, a leading British authority on the

subject, says leadership, like all personal relations,

always has something unknown, something mysteriousabout it.

To attempt a partial definition, leadership is very much

about the ability to influence people by personal

attributes and behaviours.

Chartered Institute of Personnel & Development (January, 2010)


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LEADERSHIP

Leadership is a combination of persuasion and compulsion that

results in making people do things they might not otherwise

have doneAdair(2006)

There is no single template of leadership behaviour, which inturn poses the question of:

A) whether leaders can be developed

B) what are the qualities/competencies of leadership

C) how can they be brought out?


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Managerial Leadership

The vast majority of studies and books on leadership seem to

concentrate on the activities of charismatic and maverick Chief

Executives or famous explorers whose situations are so far

removed from those of most managers and supervisors as to be

of minimal value.

Our views on what constitutes good leadership in today's

organisations, is changing. We see leadership less in images of

charismatic commanding officers leading troops into battle and

more in terms of the subtle day-to-day interactions between all

managers and their staff at every organisational level.

Hence, we need a common sense understanding of leadership

as it applies to our individual jobs and organisations


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Is Leadership the same as Management?

Although the two terms are often used interchangeably;

Management is about the planning, organisation, co-ordination

and implementation of strategies, tactics and policies imposed

from the top in an apparently rational economic manner. Getting

things done through people-command and control.

Leadership on the other hand is often associated with the willing

and enthusiastic behaviour of followers and does not necessarily

take place in the hierarchical structure of the organisation

Leadership is not part of the job but a quality that can be brought to a job


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LEADERSHIP & MANAGEMENT AS

COMPLEMENTARY QUALITIES

Just as management without

leadership encourages an uninspiredstyle, which deadens activities,leadership without management

encourages a disconnected style,which promotes hubris (Mintzbergand Gosling-2003)


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Why study Leadership as part of my EMBA?

Leadership has the potential to develop team work and the

integration of individual and team goals. Research has shown that there is a positive relationship

between the organisations priority given to leadershipdevelopment and the level of employee motivation andsatisfaction-research by Chartered Management Institute (2003)

The leaders actions have a strong effect on the beliefs andexpectations of teams and individuals

According to Cannon (2003) leaders build productive climatesby shaping culture over the longer term through individual

leadership practices Management, Leadership and Employee Involvement are

complementary features of high performance organisations.

CBI/TUC submission to the UK productivity initiative (2001)


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Leadership and Productivity

Employees who receive good leadership are likely toincrease productivity.

There is an assumption that good leadership leads tohigh morale, and high morale leads to higher

productivity. It also reduces staff turnover and absenteeism, which

ultimately raises productivity by minimizing trainingtime and disruption caused by absent workers.

Again, leaders are often instrumental in structuringthe work so that subordinates could realize theirability for creative achievement.


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Approaches to Leadership/Some Schools of Thought

The qualities or traits approach

The functional or group approach

Contingency theories

Transactional Leadership

Transitional or transformational leadership

Inspirational or visionary leadership

Leadership styles


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Qualities/Traits Approach

The qualities/traits approach assumes thatleaders are born and not made.

They argue that individuals inherit some

qualities that makes them effective leaders. The emphasis is on the individual on the job

and not the job itself.

Hence careful selection of Leaders rather thantraining for leadership.


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TRAIT LEADERSHIP FEATUREIntelligence

Helps managers understand complex issues and solve problems.

Knowledge and

Expertise

Helps managers make good decisions and discover ways to increase

efficiency and effectiveness.

DominanceHelps managers influence their subordinates to achieve

organisational goals.

Self-confidence

Contributes to managers effectively influencing subordinates and

persisting when faced with obstacles or difficulties.

High energyHelps managers deal with the many demands they face.

Tolerance for stressHelps managers deal with uncertainty and the making of difficult

decisions.

Integrity and honestyHelps managers behave ethically and earn their subordinates trust

and confidence.

Maturity

Helps managers avoid acting selfishly, control their feelings, and

admit when they have made a mistake.


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Criticisms of the qualities/traits approach

lack of a definitive list of leadership traits

failed to take into account the impact of situations

The danger of subjective inehaustive list of the most

important leadership traits

no linkage between leadership trait and group or teamperformance


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Functional/Group Approach

The functional approach builds on this by breaking the

leadership role into various functions, with emphasis on doingrather than being.

This in turn emphasizes on the functions of leadership and

considers how the leader affects and is affected by theindividual and groups through series of specific activities and

interactions.

The proponents are of the view that leadership is alwayspresent in any group engaged in a task

Leadership is a set of skills that can be learned, developed

and perfected.


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The Action-Centred /Style Approach

This approach is an extension of the Functional

Approach and it focuses on what leaders do rather

than who leaders are. This is associated with the work

of Adair (1979)

In this approach, the leader engages in three inter-related and overlapping behaviours which aretask, teammaintenance and individual needs.

The central purpose of the theory is how leaders

combine the three essential overlapping needs forunity of purpose.

Please read Chpt. 10 of Mullins (2010)


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Interaction of needs at the Team Leadership level


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Levels of Managerial Leadership in OrganisationsStrategic, Operational & Team Levels


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Action-centred Leadership

TASK FUNCTIONS TEAM FUNCTIONS INDIVIDUAL FUNCTIONS

Achieving the objectives of

the work group

Maintaining morale &

building team spirit

Meeting the needs of

individual members of the

group

Defining group tasks The cohesiveness of the

group as a working unit

Attending to personal

problems

Planning the work Setting standards Giving praise and status

Allocation of resources Systems of communication

within the group

Reconciling group needs

and needs of the individual

Organisation of duties and

responsibilities

Training the group &

appointment of sub-

leaders

Training of individuals


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Leadership as a Behavioural Category

The Ohio State University studies identified; initiating structure

and consideration as the core leadership behaviours.

Consideration ;reflects on the extent to which the leader

establishes trust, mutual respect and rapport with the group and

shows concern, warmth, support and consideration for the

individual members

Initiating structure; reflects the extent to which the leader

defines and structures group interactions towards the

attainment of formal goals.


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Contingency Theories of Leadership

The contingency theories are based on the belief that there is no

Single style of leadership appropriate to all situations.

Key contingency models are:

Favourability of leadership situation (Fiedler)

Quality and acceptance of leaders decision (Vroom & Yetton)

Situational Leadership (Hersey & Blanchard)

Path-goal theory (House et al)


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Contingency Theories of Leadership

PATH-GOAL THEORY

The Path-Goal Theory of Leadership was developed to describe the

way that leaders encourage and support their followers in achieving

the goals they have been set by making the path that they should take

clear and easy. In particular, leaders:

Clarify the path so subordinates know which way to go.

Remove roadblocks that are stopping them going there.

Increasing the rewards along the route.


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PATH-GOAL THEORY


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Transformational/Transitional Leadership

Transformational leadership is defined as a leadership approach

that causes change in individuals and social systems. In its ideal

form, it creates valuable and positive change in the followers

with the end goal of developing followers into leaders.

In the organisational sense, transformational leadership is about

transforming the performance or fortunes of a business.

They are usually identified in terms of providing vision, sense of

mission and arouse strong emotions.


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TRANSFORMATIONAL/TRANSITIONAL LEADERS

Inspires followers to trust the leader

Increase staff awareness of the importance of their tasks andmake the staff feel belonging to the team

Make staff aware of their needs for personal growth,development and accomplishment

Motivate staff to work for the good of the organisation ratherthan just their own personal gain or benefit

GOING THE EXTRA MILE


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Transactional Leadership

Is based on the legitimate authority of leaders within the

bureaucratic structure of the organisation.

It based on relationship mutual dependence and exchange ofprocess of: I will give you this, if you do that-emphasis is on

reward & punishment.


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Inspirational Leadership

Leadership based on personal qualities or charisma. The

inspirational leader connects with the led, appreciates the

capabilities of others and through trust will unlock the powers

within others

The extent to which charismatic or inspirational leadership helps

to bring about improvement in organisational performance is

open to debate


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Leadership Styles

Authoritarian/Autocratic-is where the focus of power is with the boss, allinteractions within the organisation move towards the boss. The manager alone

exercises decision-making and authority for determining policies

Democratic-is where the focus of power is more with the group as a wholeand there is greater interaction within the group. Leadership functions are shared

with members of the group and the boss is seen as part of the team.

Laissez-faire (genuine)-is where the manager observes that members ofthe group are working well on their own. The manager consciously make a

decision to pass the focus of power to the team, but may occasionly give

directives.

Please not that genuine laissez-faire is different from abdication


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SHORTCOMINGS OF THE LEADERSHIP STYLE

A major criticism of the leadership styles is that they

assume these styles are universally applicable.

The literature is unable to explain the causal

relationship between leadership styles and workersmorale and how they impact on productivity because

subordinates misperceive or perceive the intentions

of their leaders.

Another critique of the literature is that it assumes

that organisations are rational in selecting effective

leaders to step into the leadership positions.


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Power and Leadership influence

In an organisation, leadership influence will be dependent upon

the type of power the leader can exercise over the followers. The

main sources of power are:

a) REWARD POWER:based on the subordinates perception that the leader has theability and resources to obtain rewards to those who comply with directives; pay,promotion, praise recognition etc.

b) COERCIVE POWER-based on the subordinates perception that the leader has theability to punish or bring about undesirable outcomes to those who fail to comply withdirectives.

c) LEGITIMATE POWER-is based on the perception that the leader has a right to exerciseinfluence because of the leaders position in the organisation.

d) REFERENT POWER-based on the subordinates identification with the leader,attractiveness, charisma etc.

a) EXPERT POWER-subordinates perception of the leader as having an expert knowledge


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Leadership Effectiveness

Research has shown that the most successful and efficient leaders rely

on more than one leadership style. Effective leaders use a collection ofdistinct styles each in the right measure at the right time.

The main styles being:

A) Visionary- provides long-term vision

B) Commandingdemands compliance

C) Affiliative-who creates emotional bonds and harmony in work

D) Democratic-who builds commitment through consultation

E) Pace-setter-who pushes to accomplish tasks

F) Coaching-who develops people for the future


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Variables affecting Leadership Effectiveness

The characteristics of the leader/manager

The type of power of the leader and the basis of the leadershiprelationship

The relationship between the leader and the group and among

members of the group

The nature of the task to be achieved

Technology, systems of communication and methods of work

organisation

The socio-cultural structure of the organisation

The influence of national culture (political & economic)


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The Shadow of Leadership

Leaders focus on what they see as important and seem unconscious

of the unintended but massive impact they may be having on their

colleagues, groups and clients. By so doing their actions cast a

shadow on others

All leaders by performing their duties cast a shadow on whatever

leadership style they adopt.

It is important for leaders to be fully aware and careful of the shadowthey cast and its impact on others.


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Authority without Arrogance

The whole idea of perfection in leadership is outdated and

unhelpful and leaders who do not open themselves to feedbackand do not reflect on their own behaviour come across as

arrogant.

Leaders have to be authentic and accept their vulnerability andadmit their mistakes. Successful leaders use their authority to:

Build a culture of discipline

Keep in touch with how people are feeling Know the strengths and weaknesses of the members of the

team


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No One Best Form of Leadership

Effective leaders recognise and develop

appropriate leadership style for the

different stages of the innovation

process.

Leadership is not one size fits all


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Leaders of the Future

Ideas and innovations that brought about success in the past willnot bring sustainable competitive advantage in the future-Gratton (2004)

Expectations of future leaders:

Dream collectively

Balance the short term with the longer term

Build an organisation that values people

Understand the reality of the organisation


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Leadership in Organisations

Documents

Transcript of Leadership in Organisations