LEADERSHIP THEORIES

TRAIT THEORYGHISELLI

BASES OF INFLUENCE (POWER)FRENCH & RAVEN

BEHAVIORAL THEORIESOHIO STATE UNIVERSITY

BLAKE & MOUTON

CONTINGENCY THEORIESFIEDLER

HOUSE & MITCHELL

VROOM & YETTON

ROLE THEORIESMINTZBERG

TRAIT APPROACHES TO LEADERSHIPGHISELLI

LEADERS ARE “BORN,” NOT MADE

• PHYSICAL CHARACTERISTICSAPPEARANCE, HEIGHT, AGE

• PERSONALITYEXTROVERSION, PERSISTENCE, SELF-ASSURANCE, DECISIVENESS

• INTELLIGENCEKNOWLEDGE, ABILITY, JUDGMENT

• SOCIAL CHARACTERISTICSTACT, DIPLOMACY, SOCIABILITY, FLUENCY

THE BIG FIVE PERSONALITY TRAITS

*** EXTROVERSION (AMBITION, ENERGY)

** CONSCIENTIOUSNESS

** OPENNESS TO EXPERIENCE

* EMOTIONAL STABILITY (SELF-CONFIDENCE)

AGREEABLENESS

CHARISMATIC LEADERSHIP

• VISION & ARTICULATIONPROPOSES A BETTER FUTURE – AN OPTIMISTIC GOALDELIVERED CLEARLY IN A CONVINCING FASHION

• PERSONAL RISKWILLING TO TAKE RISKS & INCUR COSTS TO ACHIEVE THE VISIONSELF-SACRIFICE WILL BE NECESSARY

• ENVIRONMENTAL SENSITIVITYKNOWS WHETHER THE ENVIRONMENT WILL BE SUPPORTIVEKNOWS WHAT RESOURCES ARE NEEDED TO BRING ABOUT CHANGE

• SENSITIVITY TO FOLLOWERSPERCEPTIVE OF OTHERS’ ABILITIES, NEEDS & FEELINGSTAPS INTO FOLLOWER EMOTIONS

• UNCONVENTIONAL BEHAVIORMAY DO THINGS THAT ARE NOVEL, OR CONTRARY TO THE NORMS

IS THE VISION VALUE-BASED? WILL THE FOLLOWERS BECOME ENTHUSIASTIC?DO THE PEOPLE BELIEVE THE VISION IS ATTAINABLE?ARE CHARISMATIC LEADERS “BORN” OR CAN THEY BE TAUGHT?

CORRELATED WITH HIGH SATISFACTION AMONG FOLLOWERSEFFECTIVE WHEN THERE IS AN IDEOLOGICAL PART TO THE TASK, OR FACING STRESS & UNCERTAINTY CHARISMATIC LEADERS – DON’T TOLERATE CRITICISM, SURROUND THEMSELVES WITH “YES” PEOPLE29 FIRMS STUDY --- FOUND AN ABSENCE OF EGO-DRIVEN CHARISMATIC LEADERS

TRANSFORMATIONAL LEADERSHIP

• INSPIRATIONAL, IDEA-ORIENTED, VISIONARY• DRAMATIC, AROUSES INTENSE FEELINGS• COMMUNICATES HIGH EXPECTATIONS & A NEED FOR CHANGE• UNPREDICTABLE

– RELIES ON REFERENT OR CHARISMATIC POWER– RAISES LEVEL OF AWARENESS AND COMMITMENT– GETS FOLLOWERS TO TRANSCEND THEIR SELF-INTERESTS– REQUIRES TRUST AND BELIEF IN THE VISION PRESENTED

TRANSACTIONAL LEADERSHIP• EXCHANGES REWARDS FOR SERVICES• MANAGEMENT BY EXCEPTION (Watches for deviations)• KEEPS THE SYSTEM OPERATING SMOOTHLY

– USES REWARD AND COERCIVE POWER BASES– RECOGNIZES WHAT WORKERS WANT & TRIES TO DELIVER IT– REWARDS ACCORDING TO WORKER EFFORT– RESPONSIVE TO WORKER SELF-INTERESTS

IS TRANSFORMATIONAL LEADERSHIP BUILT “ON TOP OF” TRANSACTIONAL LEADERSHIP, OR IS IT JUST A SPECIAL CASE OF CHARISMATIC LEADERSHIP?

SUMMARY OF TRAIT APPROACHES TO LEADERSHIP

ASSUMPTIONLEADERS ARE BORN, NOT MADE!

IMPLICATIONWE MUST BE VERY CAREFUL IN HOW WE SELECT OUR LEADERS

LIMITATIONSIT OVERLOOKS THE NEEDS OF FOLLOWERS

IT IGNORES SITUATIONAL FACTORS

CAUSE AND EFFECT ARE NOT CLEARLY DEFINED

DO SELF-CONFIDENT LEADERS CAUSE FIRMS TO BE SUCCESSFUL, OR DOES A SUCCESSFUL FIRM ALLOW A LEADER TO FEEL SELF-CONFIDENT?

BASES OF LEADER POWER & INFLUENCEFRENCH & RAVEN (59)

LEGITIMATE POWER

Authority to command, based on the position

REWARD POWER

Able to award positive, desired outcomes

COERCIVE POWER

Able to threaten, punish or harm

EXPERT POWER

Influence based on knowledge and information

REFERENT POWER

Influence based on charisma, identification and trust

MOST LIKELY OUTCOMES OF LEADER POWER & INFLUENCE

YUKL (89)

• RESISTANCECOERCIVE

• COMPLIANCELEGITIMATE

REWARD

• COMMITMENTEXPERT

REFERENT

GUIDELINES FOR USING POWERYUKL (89)

EXPERT POWER– ACT CONFIDENT AND DECISIVE– KEEP INFORMED– DON’T THREATEN SUBORDINATES’ SELF-ESTEEM – BE APPROACHABLE– WILLING TO SHARE YOUR KNOWLEDGE WITH OTHERS

REFERENT POWER– TREAT SUBORDINATES FAIRLY– DEFEND SUBORDINATES’ INTERESTS– BE SENSITIVE TO SUBORDINATES’ NEEDS & FEELINGS

LEGITIMATE POWER– BE CORDIAL, POLITE, AND CONFIDENT– MAKE APPROPRIATE REQUESTS– FOLLOW PROPER CHANNELS– EXERCISE POWER REGULARLY AND ENFORCE COMPLIANCE

REWARD POWER– VERIFY COMPLIANCE AND ACCOMPLISHMENTS– OFFER REWARDS FOR DESIRED ACTIONS AND BEHAVIORS– OFFER CREDIBLE REWARDS THAT ARE DESIRED BY SUBORDINATES

COERCIVE POWER– INFORM SUBORDINATES OF RULES AND PENALTIES– UNDERSTAND THE SITUATION BEFORE ACTING & WARN BEFORE PUNISHING– ADMINISTER PUNISHMENT CONSISTENTLY & PUNISH IN PRIVATE

BEHAVIORAL LEADERSHIP THEORIES

OHIO STATE STUDIESINITIATING STRUCTURE v. CONSIDERATION

FIELD STUDY: IS = Satisf down, C = Satisf up

MICHIGAN STUDIESJOB-CENTERED v. EMPLOYEE-CENTERED

FIELD EXPERIMENT: JC = Satisf down, EC = Satisf upJC = Productivity up 25%, EC = Productivity up 20%

THE MANAGERIAL GRID BLAKE & MOUTON (64)CONCERN FOR PEOPLE CONCERN FOR PRODUCTION

FIVE STYLESImpoverished, Authority/Obedience (Task), Middle of the Road, Country Club, Team

IS THERE A THIRD DIMENSION---DEVELOPMENT ORIENTED BEHAVIOR?

THE MANAGERIAL GRIDBLAKE & MOUTON (64)

9 -------------------------------------------------------------------------- COUNTRY-CLUB TEAM (1,9) (9,9)

CONCERN FOR MIDDLE OF ROAD PEOPLE (5,5)

IMPOVERISHED TASK1 (1,1) (9,1)

--------------------------------------------------------------------------- 1 9

CONCERN FOR PRODUCTION

SUMMARY OF BEHAVIORAL APPROACHES TO LEADERSHIP

ASSUMPTION

Leaders are effective because of the actions they take

IMPLICATION

We can learn to become leaders by studying what effective leaders do

LIMITATIONS

Situational factors that influence success or failure are ignored

Leaders need to be flexible…you can’t lead the same way all the time

LEADERSHIP PERSPECTIVESJAGO (82)

APPROACH

UNIVERSAL CONTINGENT

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TRAITS TRAIT FIEDLER’S

THEORIES CONTINGENCY

THEORY

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OHIO STATE PATH-GOAL

MICH STUDIES VROOM-YETTON

BEHAVIORS LEADER GRID LIFE-CYCLE

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CONTINGENCY THEORY OF LEADERSHIPFIEDLER (65)

LEADER CHARACTERISTICS (Least-Preferred Coworker Scale)HIGH LPC --- EMPLOYEE RELATIONS ORIENTED

LOW LPC --- TASK ORIENTED

SITUATIONAL CONSIDERATIONSLEADER-MEMBER RELATIONS

TASK STRUCTURE

LEADER POSITION POWER

FAVORABLE LEADER SITUATIONSMOST FAVORABLE - - - - - - - - - - - - - LEAST FAVORABLE

LEADER-MEMBER RELATIONS G G G G N N N N

TASK STRUCTURE G G N N G G N N

LEADER POSITION POWER G N G N G N G N

EFFECTIVE STYLE TASK EMPLOYEE TASK

FIEDLER’S CONTRIBUTIONS1. LEADER EFFECTIVENESS IS SITUATIONAL

2. TASK LEADERSHIP IS VALUABLE AND IMPORTANT

3. MODIFY SITUATIONS TO FIT THE LEADER’S STYLE

MANIPULATING THE SITUATION

MODIFY LEADER-MEMBER RELATIONSSPEND MORE (OR LESS) TIME WITH SUBORDINATESORGANIZE SOME OFF-WORK GROUP ACTIVITIESINCREASE (OR DECREASE) YOUR AVAILABILITY TO WORKERSRAISE MORALE BY OBTAINING POSITIVE OUTCOMES FOR SUBORDINATESTRANSFER SUBORDINATES INTO (OR OUT OF) YOUR UNITREQUEST COMPATIBLE PEOPLE FOR WORK IN YOUR GROUP

MODIFY TASK STRUCTUREASK FOR TASKS WHICH ARE MORE STUCTUREDLEARN ALL YOU CAN ABOUT THE TASKBREAK THE JOB DOWN INTO SMALLER SUB-TASKSLEAVE THE TASK IN RELATIVELY VAGUE FORMENRICH JOBS THROUGH HORIZONTAL AND VERTICAL EXPANSION

MODIFY POSITION POWERSHOW SUBORDINATES WHO’ BOSS --- EXERCISE YOUR POWERS FULLYBECOME AN EXPERT ABOUT JOBS AS SOON AS POSSIBLEALL INFORMATION AND FEEDBACK TO SUBORDINATES IS CHANNELED THROUGH YOUASK MEMBERS TO PARTICIPATE IN DECISIONS AND PLANNINGTRY TO BE “ONE OF THE GANG” --- DOWNPLAY YOUR POWERLET ASSISTANTS EXERCISE MORE POWERASK MANAGEMENT TO GIVE YOU MORE DISCRETION AND AUTONOMY

LIFE-CYCLE (MATURITY) THEORY (SITUATIONAL LEADERSHIP THEORY) HERSEY & BLANCHARD (77)

LEADER BEHAVIORS NEED TO VARY, DEPENDING ON THE MATURITY OF THE WORKERS

DIRECTIVE STYLE (TELLING)

GIVES CLEAR DIRECTION & INSTRUCTIONS TO IMMATURE EMPLOYEES

FOLLOWERS ARE UNABLE AND UNWILLING (INSECURE)

COACHING STYLE (SELLING)

EXPANDS TWO-WAY COMMUNICATION, HELPS MATURING EMPLOYEES BUILD CONFIDENCE AND MOTIVATION

FOLLOWERS ARE UNABLE, BUT WILLING TO TRY

SUPPORTING STYLE (PARTICIPATING)

EMPLOYEE FEEL COMPETENT, ACTIVE TWO-WAY COMMUNICATION STILL NEEDED FOR SHARED DECISIONS

FOLLOWERS ARE ABLE BUT APPREHENSIVE

AUTONOMOUS STYLE (DELEGATING)

GIVES RESPONSIBILITIES FOR PLANNING AND DECISION MAKING TO HIGHLY MATURE EMPLOYEES

FOLLOWERS ARE ABLE AND WILLING

TASK BEHAVIORS START OUT HIGH, AND GRADUALLY DECLINE

RELATIONSHIP BEHAVIORS START LOW, BUILD, THEN DECLINE AGAIN

AN INTUITIVE THEORY, BUT EMPIRICAL SUPPORT HAS NOT BEEN STRONG

PATH-GOAL THEORY OF LEADERSHIPHOUSE & MITCHELL (74)

SITUATIONAL FACTORSCHARACTERISTICS OF SUBORDINATES

LOCUS OF CONTROL

EXPERIENCE

PERCEIVED ABILITY

CHARACTERISTICS OF THE ENVIRONMENTTASK STRUCTURE

FORMAL AUTHORITY SYSTEM

WORK GROUP

LEADER STYLESDIRECTIVE

SUPPORTIVE

ACHIEVEMENT-ORIENTED

PARTICIPATIVE

THE LEADER COMPENSATES FOR THINGS LACKING IN EITHER THE EMPLOYEE OR THE WORK SETTING TO HELP THE WORKER PERFORM EFFECTIVELY

PATH-GOAL LEADERSHIP STYLES

DIRECTIVELETS SUBORDINATES KNOW WHAT IS EXPECTEDPLANS AND SCHEDULES WORK TO BE DONEGIVES SPECIFIC GUIDANCE -- WHAT SHOULD BE DONE AND HOW IT SHOULD BE DONEMAINTAINS CLEAR STANDARDS OF PERFORMANCE

SUPPORTIVESHOWS CONCERN FOR WELL-BEING OF SUBORDINATESTREATS MEMBERS AS EQUALSDOES LITTLE THINGS TO MAKE THE WORK MORE PLEASANTIS FRIENDLY AND APPROACHABLE

ACHIEVEMENT-ORIENTEDSETS CHALLENGING GOALSEXPECTS SUBORDINATES TO PERFORM AT THE HIGHEST LEVELSEEKS IMPROVEMENT IN PERFORMANCE, WHILE SHOWING CONFIDENCE IN WORKERS

PARTICIPATIVECONSULTS WITH SUBORDINATESSOLICITS SUGGESTIONSTAKES SUGGESTIONS SERIOUSLY INTO CONSIDERATION BEFORE MAKING DECISIONS

VERTICAL DYAD (EXCHANGE) MODEL(LEADER-MEMBER EXCHANGE MODEL) GRAEN (75)

• LEADERS INVEST THEIR TIME & ATTENTION IN THOSE EXPECTED TO PERFORM BEST• LEADER CREATES AN “IN-GROUP” (THE “FAVORED FEW”) & AN “OUT-GROUP”• IN-GROUPS AND OUT-GROUPS MAY DEMONSTRATE THE “SELF-FULFILLING PROPHESY”

IN-GROUPS• RECEIVE SPECIAL DUTIES AND HAVE SPECIAL PRIVILEGES• ARE GIVEN MORE AUTONOMY AND RESPONSIBILITY• EXPERIENCE HIGHER SATISFACTION• ARE MORE PRODUCTIVE• ARE PART OF THE LEADER’S SUPPORT NETWORK

OUT_GROUPS• ARE NOT TRUSTED• ARE NOT GIVEN DESIRABLE WORK ASSIGNMENTS• RECEIVE LESS LEADER TIME AND ATTENTION• “LIVE DOWN” TO LEADER EXPECTATIONS• ARE LESS LIKELY TO SUPPORT THE LEADER

IN-GROUP MEMBERS SELECTED BASED ON:• COMPETENCE AND ABILITY• PERSONAL COMPATIBILITY WITH THE LEADER

SUBSTITUTES FOR LEADERSHIPKERR & JERIMER (78)

SUBSTITUTES ARE FACTORS THAT CAN NEUTRALIZE THE INFLUENCE OF LEADER BEHAVIOR

LOOK FOR CHARACTERISTICS OF:

THE SUBORDINATES

THE TASK

THE ORGANIZATION

FOR INITIATING STRUCTUREABILITY AND PROFESSIONAL TRAINING OF SUBORDINATES

STANDARDIZED, UNAMBIGUOUS, ROUTINIZED TASKS

DETAILED RULES & PROCEDURES PROVIDED BY THE ORGANIZATION

FOR CONSIDERATIONINTRINSIC APPEAL OF THE TASK ITSELF

ESTEEM OF PROFESSIONAL COLLEAGUES

SUPPORTIVE AND COHESIVE WORK GROUP

SUMMARY OF CONTINGENCY THEORIES

THE CONTINGENCY THEORYFiedler (65)

PARTICIPATIVE LEADERSHIP THEORYVroom & Yetton (73)

PATH-GOAL THEORYHouse & Mitchell (74)

VERTICAL DYAD (LEADER-MEMBER EXCHANGE) THEORYGraen (75)

LIFE-CYCLE (MATURITY) THEORYHersey & Blanchard (77)

SUBSTITUTES FOR LEADERSHIPKerr & Jerimer (78)

CONCLUSIONS RE: CONTINGENCY THEORIESTHERE IS NO “ONE BEST WAY” TO LEADLEADERS SHOULD KNOW THEIR OWN PREFERRED STYLEKNOW HOW TO CAREFULLY DIAGNOSE YOUR WORK SITUATIONUNDERSTAND WHICH ACTIONS TO TAKE TO IMPROVE THE SITUATION

MANAGERIAL ROLESMINTZBERG (73)

INTERPERSONAL ROLES• Figurehead (Ceremonial)

• Leader (Supervisor)

• Liaison (Linking-Pin)

INFORMATIONAL ROLES• Monitor

• Disseminator

• Spokesperson

DECISIONAL ROLES• Innovator (Entrepreneur)

• Disturbance Handler (Crisis)

• Resource Allocator

• Negotiator

LEADERSHIP AND TRUSTAN EXPECTATION THAT THE LEADER WILL NOT TAKE UNFAIR ADVANTAGE OF MEIS MY LEADER TRUSTWORTHY?

FIVE DIMENSIONS OF TRUSTINTEGRITY -- honest and truthfulCOMPETENCE -- has good technical knowledge & interpersonal skillsCONSISTENCY -- is reliable, predictable, and has good judgementLOYALTY -- will look out for me and protect me; won’t take advantageOPENNESS -- will talk to me and tell me the truth (what’s going on)

DETERRENCE-BASED TRUST --WE CAN RETALIATE OR STRIKE BACK IF HARMED…DON’T REALLY HAVE A HISTORYKNOWLEDGE-BASED TRUST --CAN PREDICT WHAT WILL HAPPEN BASED ON EXPERIENCE…GIVE A SECOND CHANCE?IDENTIFICATION-BASED TRUST --- KNOW EACH OTHER INTIMATELY, ACT FOR EACH OTHER

BASIC PRINCIPLES OF TRUSTMISTRUST DRIVES OUT TRUSTTRUST BEGETS TRUSTGROWTH OFTEN MASKS DISTRUSTDECLINE OR DOWNSIZING TESTS THE HIGHEST LEVELS OF TRUSTTRUST INCREASES COHESIONMISTRUSTING GROUPS SELF-DESTRUCTMISTRUST GENERALLY REDUCES PRODUCTIVITY

CONTEMPORARY ISSUES IN LEADERSHIP1. DO MEN & WOMEN LEAD DIFFERENTLY?

The similarities outweigh the differences

A SLIGHT TENDENCY FOR WOMEN Lean toward participative, negotiable, information-sharing stylesThis tendency declines when women are in male-dominated jobs

A SLIGHT TENDENCY FOR MENTo be more directive and rely on the formal authority of their position

2. TEAM LEADERSHIPDifficult for managers to switch from traditional roles

LEARN TO BECOME:A FacilitatorA LiaisonA TroubleshooterA Conflict ManagerA Coach

3. EMPOWERMENTBe careful about jumping on the bandwagon -- does it “fit?”

IT ASSUMES A UNIVERSAL APPROACH TO LEADERSHIPDOES THE SITUATION CALL FOR MORE EMPOWERMENT?

4. IMPORTANCE OF FOLLOWERS

The qualities of effective followers:THEY MANAGE THEMSELVES WELL – CAN THINK, WORK INDEPENDENTLY

THEY ARE COMMITTED TO THEIR WORK

THEY ARE COMPETENT AND WORK TO HIGHER STANDARDS THAN THEIR JOB REQUIRES

THEY ARE HONEST AND CREDIBLE

5. IMPACT OF NATIONAL CULTURE

Culture is an important situational variable

HIGHER POWER-DISTANCE – autocratic leadership style is preferred

Arab, Far East, Latin countires

LOWER POWER-DISTANCE – more success with the participative styleUSA Canada, Scandinavian countries

6. BIOLOGICAL IMPACTS ON LEADERSHIP

Seratonin improves sociability and reduces aggression (PROZAC)

Testosterone increases competitive drive and assertiveness

Women in professional jobs have higher levels

7. MORAL DIMENSIONS OF LEADERSHIPWhat sort of example does the leader set?

IS THE LEADER A GOOD ROLE MODEL?

CORRUPTION WITHIN THE FIRM OFTEN STARTS WITH BAD EXAMPLES AT THE TOP