Leadership is the capacity to translate vision into reality

Warren Bennis

What Is Leadership?Leadership

The ability to influence a group toward the achievement of goals.

Management

Use of authority inherent in designated formal rank to obtain compliance from organizational members.

Trait Theories

Leadership TraitsLeadership Traits::

• Ambition and energyAmbition and energy

• The desire to leadThe desire to lead

• Honest and integrityHonest and integrity

• Self-confidenceSelf-confidence

• IntelligenceIntelligence

• High self-monitoringHigh self-monitoring

• Job-relevant Job-relevant knowledgeknowledge

Leadership TraitsLeadership Traits::

• Ambition and energyAmbition and energy

• The desire to leadThe desire to lead

• Honest and integrityHonest and integrity

• Self-confidenceSelf-confidence

• IntelligenceIntelligence

• High self-monitoringHigh self-monitoring

• Job-relevant Job-relevant knowledgeknowledge

Traits Theories of Leadership

Theories that consider personal qualities & characteristics that , differentiate leaders from nonleaders.

The search for personality, social, physical or intellectual attributes that describe leaders from non leaders.

Trait Theories

Limitations:Limitations:

• No universal traits found that predict leadership in all situations.No universal traits found that predict leadership in all situations.

• Better predictor of the appearance of leadership than distinguishing Better predictor of the appearance of leadership than distinguishing effective and ineffective leaders.effective and ineffective leaders.

Limitations:Limitations:

• No universal traits found that predict leadership in all situations.No universal traits found that predict leadership in all situations.

• Better predictor of the appearance of leadership than distinguishing Better predictor of the appearance of leadership than distinguishing effective and ineffective leaders.effective and ineffective leaders.

AssumptionsPeople are born with inherited traits.

Some traits are particularly suited to leadership.

People who make good leaders have the right (or sufficient) combination of traits.

For a long period, inherited traits were sidelined as learned and situational factors were considered to be far more realistic as reasons for people acquiring leadership positions.

Behavioral Theories

• Trait theory:Trait theory:Leaders are born, not made.Leaders are born, not made.

• Behavioral theory:Behavioral theory:Leadership traits can be taught.Leadership traits can be taught.

• Trait theory:Trait theory:Leaders are born, not made.Leaders are born, not made.

• Behavioral theory:Behavioral theory:Leadership traits can be taught.Leadership traits can be taught.

Behavioral Theories of Leadership

Theories proposing that specific behaviors differentiate leaders from nonleaders.

Ohio State Studies 1940s• Researchers sought to identify 1000 dimensions of

leader behaviour which they narrowed down the list to two categories

• They called the dimensions as initiating structure and consideration

• Initiating structure – the extent to which the a leader is likely to define and structure his or her role and those of subordinates in the search for goal attainment.

• Consideration – the extent to which a person is likely to have job relationships that are characterized by mutual trust, respect for employees as equals.

University of Michigan Studies

Production-Oriented Leader

One who emphasizes technical or task aspects of the job.

Low productivity and lower job satisfaction

Employee-Oriented LeaderEmphasizing interpersonal relations

Taking a personal interest in the needs of employees and accepting individual differences among members.

The research strongly favoured leaders who were employee oriented in their behaviour.

Therefore higher productivity and higher job satisfaction

The Managerial Grid

(Blake and Mouton)

E X H I B I T 11–1E X H I B I T 11–1

The Managerial Grid

1,9Country club management

Thoughtful attention needs of peoplefor satisfying relationships leads toA comfortable, friendly organization

atmosphere and work tempo

9,9Team management

Work accomplishment is from committed people, interdependence

through a “common stake” in organization purpose leads to relationship

of trust and respect

1,1Impoverished Management

Exertion of minimum effort to get required work done is appropriate

to sustain organization membership

5,5Organization Man Management

Adequate organization performance possible through balancing the necessity to

get out work with maintaining morale of the people at a satisfactory level

9,1Authority-Obedience

Efficiency in operations results from arranging conditions of

work in such a way that human elements interfere to a minimal degree

1

2

3 4 5 6 987

1

2

3

4

5

6

7

8

9

Concern for productionLow High

Low

High

Con

cern

for

peo

ple

Scandinavian Studies • Researchers in Finland and Sweden began

reassessing whether there are only two dimensions that capture the essence of leadership behaviour.

• Their basic premise is that in a changing world effective leaders would exhibit development oriented behaviour

• Considering the earlier approaches these researchers felt that this dimension existed and is necessary in 21 st century.

Contingency TheoriesFiedler’s Contingency Model

The theory that effective groups depend on a proper match between a leader’s style of interacting with subordinates and the degree to which the situation gives control and influence to the leader.

Least Preferred Co-Worker (LPC) Questionnaire

An instrument that purports to measure whether a person is task- or relationship-oriented.

Fiedler’s Model: Defining the SituationLeader-Member Relations

The degree of confidence, trust, and respect subordinates have in their leader.

Position Power

Influence derived from one’s formal structural position in the organization; includes power to hire, fire, discipline, promote, and give salary increases.

Task Structure

The degree to which the job assignments are procedurized.

Findings from Fiedler Model

E X H I B I T 11–2E X H I B I T 11–2

“If you pick the right people and give them the opportunity to spread their wings and put

compensation as a career behind it almost don’t have to manage it”

“If you don’t have competitive advantage, don’t compete”

“Control your own destiny or someone else will”

Message By Jack Francis Welch

Difference between leaders & Managers

Leaders Managers

Innovate Administer

Develop Maintain

Inspire Control

Long Term View Short term view

Ask what and why Ask, how and when

Originate Initiate

Challenge the status quo

Accept the status quo

Do the right things Do Things right

Different Styles of Leadership • Autocratic leadership • Bureaucratic leadership • Charismatic leadership • Democratic leadership or Participative

leadership • Laissez-faire leadership • People-oriented leadership or Relations-

Oriented leadership • Servant leadership • Task-oriented leadership • Transactional leadership • Transformational leadership

Charismatic Leadership

Key Characteristics of Charismatic leaders1. Self Confidence- They have complete confidence in their judgment and ability.

2. A vision- This is an idealized goal that proposes a future better than the status quo. The greater the disparity between idealized goal and the status quo, the more likely that followers will attribute extraordinary vision to the leader.

3. Ability to articulate the vision- They are able to clarify and state the vision in terms that are understandable to others. This articulation demonstrates an understanding of the followers’ needs and, hence acts as a motivating force.

4. Strong convictions about vision- Charismatic leaders are perceived as being strongly committed, and willing to take on high personal risk, incur high costs, and engage in self-sacrifice to achieve their vision.

5. Behavior that is out of the ordinary- Those with charisma engage in behavior that is perceived as being novel, unconventional, and counter to norms. When successful , these behaviors evoke surprise and admiration in followers.

6. Perceived as being a change agent- Charismatic leaders are perceived as agents of radical change rather than as caretakers of the status quo.

7. Environmental sensitivity- These leaders are able to make realistic assessments of the environmental constraints and resources needed to bring about change.

Transactional vs Transformational leaders

Characteristics of Transactional and transformational leaders

Transactional Leaders• Contingent Reward: Contracts exchange of rewards for effort, promises rewards for good

performance, recognizes accomplishment

• Management by exception (active): Watches and searches for deviations from rules and standards, takes corrective action.

• Management by exception (passive): Intervenes only if standards are not met

• Laissez faire: Abdicates responsibilities, avoids making decisions

Transformational Leaders • Charisma : Provides vision and sense of mission, instills pride, gains respect trust.

• Inspiration: Communicates high expectations, uses symbols to focus efforts, expresses important purposes in simple ways.

• Intellectual Stimulations: Promotes intelligence, rationality, and careful problem solving.

• Individualized consideration: Gives personal attention, treats each employee individually, coaches, advises.

Traits of Exceptional Leaders • An outside in perspective – Eg Dell computer which puts the

customer at the very center• An evangelical leadership gene Eg – Lou Gerstner IBM had this

trait in shifting companies mindset he was intensely focused on restoring outside in perspective

• Understands the critical role of culture Eg- Michael Dell had the performance oriented culture suggesting that if you don’t perform at Dell go somewhere else Eg- Sam Walton had family oriented culture in Wal Mart

• Creates next generation products , processes or solutions EG- This is in alignment with the vision, Bill Gates had anticipated the market for software , Sam Walton realized the tremendous potential of Walmart in 1962

• Implements the best ideas regardless of origin Eg Sam Walton ,went into the competitors stores to emulate the best practices, IBM &GE ran into the trouble when their managers stopped searching outside the company for answers

• Advances the leadership body of knowledge

MODELS OF LEADERSHIP-CHANGE - CHARISMA TO BUSINESS

LEADERS – FORMAL Vs MORAL AUTHORITY MATRIX

High +

+ Hitler + George Washington + Man Mohan

- Many - Mahatma Gandhi- Celebrities

Low - CHOICE (Moral Authority) High +

( Stephen Covey )

Position

(Formal

Authority)

MODELS OF LEADERSHIP(NATIONAL & CORPORATE)

‘Man Mohan – Murthy’ Vs ‘Bush – Blair’

Gentle,Firm,Relentless Bluff, Boldness,

Humble,Ethical, Brashness,

Moral authority,Discipline Vendetta, Arrogance,

Progressive,Professional Insensitivity,

Sensitive, Principled Resourcefulness Courage,Maneavouring

POA • Popular concept of viewing leaders as coaches. • Visit http://www.coachu.com- an organization specializes

in training coaches as managers.• Look at international coaching federation

http://www.coachfederation.com find out the answers• Would you like to be led by a coach as these

organizations define. What would be the advantages and disadvantages of viewing leaders this way ?

• Based on your own leadership style, would you make a good coach ? Why or why not ?

• Discuss a situation in which a coaching approach to leadership is particularly effective. What would be a situation where a coaching approach would seem to be ineffective ?

Small - Case Study

Cognitive Resource Theory

Research Support:

• Less intelligent individuals perform better in leadership roles under high stress than do more intelligent individuals.

• Less experienced people perform better in leadership roles under low stress than do more experienced people.

Research Support:

• Less intelligent individuals perform better in leadership roles under high stress than do more intelligent individuals.

• Less experienced people perform better in leadership roles under low stress than do more experienced people.

Cognitive Resource Theory- reconceptualized by Fiedler Joe Garcia

A theory of leadership that states that stress can unfavorably affect a situation and that intelligence and experience can lessen the influence of stress on the leader.

Hersey and Blanchard’s Situational Leadership Theory

Situational Leadership Theory (SLT)

A contingency theory that focuses on followers’ readiness.

Leader: decreasing need for support and supervisionLeader: decreasing need for support and supervision

Follower readiness: ability and willingness

Follower readiness: ability and willingness

Unable andUnable andUnwillingUnwilling

Unable butUnable butWillingWilling

Able andAble andWillingWilling

DirectiveDirectiveHigh Task and Relationship High Task and Relationship

OrientationsOrientationsSupportive Supportive

Participative Participative

Able andAble andUnwillingUnwilling

MonitoringMonitoring

Leadership Styles and Follower Readiness

(Hersey and Blanchard)

WillingUnwilling

Able

Unable DirectiveDirective

High TaskHigh Taskand and

Relationship Relationship OrientationsOrientations

Supportive Supportive Participative Participative MonitoringMonitoring

Follower Readiness

LeadershipLeadershipStylesStyles

Leader–Member Exchange Theory

Leader-Member Exchange (LMX) Theory

Leaders create in-groups and out-groups, and subordinates with in-group status will have higher performance ratings, less turnover, and greater job satisfaction.

Leader-Member Exchange Theory

Path-Goal TheoryPath-Goal Theory

The theory that it is the leader’s job to assist followers in attaining their goals and to provide them the necessary direction and/or support to ensure that their goals are compatible with the overall objectives of the group or organization.

The Path-Goal Theory

E X H I B I T 11–4E X H I B I T 11–4

Leader-Participation ModelLeader-Participation Model (Vroom and Yetton)

A leadership theory that provides a set of rules to determine the form and amount of participative decision making in different situations.

It was a decision tree having 7 contingency variables with 5 leadership styles.

The leadership model is now revised to 11 contingency variables.

The model however, fails to have stress,

Intelligence and experience in this.

Contingency Variables in the Revised Leader-Participation Model

1. Importance of the decision

2. Importance of obtaining follower commitment to the decision

3. Whether the leader has sufficient information to make a good decision

4. How well structured the problem is

5. Whether an autocratic decision would receive follower commitment

6. Whether followers “buy into” the organization’s goals

7. Whether there is likely to be conflict among followers over solution alternatives

8. Whether followers have the necessary information to make a good decision

9. Time constraints on the leader that may limit follower involvement

10. Whether costs to bring geographically dispersed members together is justified

11. Importance to the leader of minimizing the time it takes to make the decision

12. Importance of using participation as a tool for developing follower decision skills

Deeds for leaders • Vivah or marriage – between the king & kingdom

(leader and organization ).In the absence of this a man is not a leader just an employee doing a job that gives him salary and status. Don’t expect him to be proactive ,creative or enthusiastic

• Rajsuya – One has to prove tangible achievement and has to be accepted by peer group.

• Abhishek – public bathing was transformational ritual Eg- a field sales manager sent to his headquarters without any attempt by the management to ceremonially crown him king in front of those he is supposed to manage

»Article from corporate doisser

Deeds for leaders

• Dharma – his vision and how he expects to achieve or realise this vision.

• Varna – station in the organization and ashrama or stage in the employee

• Varana –dharma – means defining the roles and rights and the responsibilities of every employee

• Ashrama –dharma – knowing which member of the organization is in which stage of his job or his career – learning stage or retiring stage

Deeds for Leaders

• Ashwamedh yagna – this helped the kind identify who submitted themselves to him and who challenged

• Eg- PPT- horse, excel sheet with all the search data justifying the nos –army,

• Digvijay means conquest of the sky or the directions. In corporate world the king must travel through different departments and ensure he is seen and heard and to assert his authority and to tell where he plans to go from here.

• Vajpeya - a yagna of regeneration. To make the head roll to tell the world who is the boss