LEADERSHIP AND CHANGE MANAGEMENT

LECTURE :1

LEADERSHIP

Definition: • A simple definition of leadership is that

leadership is the art of motivating a group of people to act towards achieving a common goal.

• Put even more simply, the leader is the inspiration and director of the action. He or she is the person in the group that possesses the combination of personality and skills that makes others want to follow his or her direction.

Importance of leadership theories

_Recent theories on leadership look at it as a process in which leaders are not seen as individuals in charge of followers, but are seen as members of a community of practice. This community can be defined as “people united in a common enterprise who share a history and thus certain values, beliefs, ways of talking, an ways of doing things” . This model of leadership certainly moves away from the concept of dominance, motivation, and influence as being the primary vehicles of leadership.

• If the workgroup is one where groups of people are engaged in activity together, leadership becomes the process of coordinating efforts, removing ‘road blocks’, and moving together as a group. There are likely to be individuals, senior in role, who take additional responsibility and have a greater ‘vision’ for the outcome in the current enterprise, but team members do not need to be motivated or dominated. Instead, everyone involved in the activity is assumed to play an active role in leadership.

Leadership Theory

Time of Introduction Major Tenets

Trait Theories 1930s Individual characteristics of leaders are different than those of nonleaders.

Behavioral Theories

1940s and 1950s

The behaviors of effective leaders are different than the behaviors of ineffective leaders. Two major classes of leader behavior are task-oriented behavior and relationship-oriented behavior.

Contingency Theories

1960s and 1970s

Factors unique to each situation determine whether specific leader characteristics and behaviors will be effective.

Historical Leadership Theories

Leadership Theory

Time of Introduction

Major Tenets

Leader-Member Exchange

1970s

Leaders from high-quality relationships with some subordinates but not others. The quality of leader-subordinates relationship affects numerous workplace outcomes

Charismatic Leadership 1970s and

1980s

Effective leaders inspire subordinates to commit themselves to goals by communicating a vision, displaying charismatic behavior, and setting a powerful personal example

Classical & Contemporary Leadership Theories

Substitutes foe Leadership

1970sCharacteristics of the organization, task, and subordinates may substitute for or negate the effects of leadership behaviors.

Historical Leadership TheoriesHistorical theories of leadership

• "Great Man" Theories:• Great man theories assume that the capacity for

leadership is inherent – that great leaders are born, not made. These theories often portray great leaders as heroic, mythic and destined to rise to leadership when needed. The term "Great Man" was used because, at the time, leadership was thought of primarily as a male quality, especially in terms of military leadership.

Trait Theories:

• Similar in some ways to "Great Man" theories, trait theories assume that people inherit certain qualities and traits that make them better suited to leadership. Trait theories often identify particular personality or behavioural characteristics shared by leaders. If particular traits are key features of leadership, then how do we explain people who possess those qualities but are not leaders?

Behavioural Theories:

• Behavioural theories of leadership are based upon the belief that great leaders are made, not born. Rooted in behaviourism, this leadership theory focuses on the actions of leaders not on mental qualities or internal states. According to this theory, people can learn to become leaders through teaching and observation . Four main types of behaviour that appear in leaders are:

Four Main Types Of Behaviours• Concern for task. Here leaders emphasize the achievement of

concrete objectives. They look for high levels of productivity, and ways to organize people and activities in order to meet those objectives.

• Concern for people. In this style, leaders look upon their followers as people - their needs, interests, problems, development and so on. They are not simply units of production or means to an end.

• Directive leadership. This style is characterized by leaders taking decisions for others - and expecting followers or subordinates to follow instructions.

• Participative leadership. Here leaders try to share decision-making with others.

Situational Theories:

• Situational theories propose that leaders choose the best course of action based upon situational variables. Different styles of leadership may be more appropriate for certain types of decision-making.

• four different leadership styles that could be drawn upon to deal with contrasting situations:

• Telling (high task/low relationship behaviour). This style or approach is characterized by giving a great deal of direction to subordinates and by giving considerable attention to defining roles and goals. The style was recommended for dealing with new staff, or where the work was menial or repetitive, or where things had to be completed within a short time span. Subordinates are viewed as being unable and unwilling to ‘do a good job’.

• Selling (high task/high relationship behaviour). Here, while most of the direction is given by the leader, there is an attempt at encouraging people to ‘buy into’ the task. Sometimes characterized as a ‘coaching’ approach, it is to be used when people are willing and motivated but lack the required ‘maturity’ or ‘ability’.

• Participating (high relationship/low task behaviour). Here decision-making is shared between leaders and followers – the main role of the leader being to facilitate and communicate. It entails high support and low direction and is used when people are able, but are perhaps unwilling or insecure (they are of ‘moderate to high maturity’ (Hersey 1984).

• Delegating (low relationship/low task behaviour). The leader still identifies the problem or issue, but the responsibility for carrying out the response is given to followers. It entails having a high degree of competence and maturity (people know what to do, and are motivated to do it).

Classical leadership theories. Contingency Theories:

• Contingency theories of leadership focus on particular variables related to the environment that might determine which particular style of leadership is best suited for the situation. According to this theory, no leadership style is best in all situations. Success depends upon a number of variables, including the leadership style, qualities of the followers and aspects of the situation.

LMX Theory

• . LMX theory emphasizes on the relationships between leaders and individual subordinates, instead of the traits or behaviours of leaders or situational characteristics.

• The theory's focus is determining the type of leader-subordinate relationships that promote effective outcomes and the factors that determine whether leaders and subordinates will be able to develop high-quality relationships.

• According to LMX theory, leaders do not treat all subordinates in the same manner, but establish close relationships with some (the in-group) while remaining aloof from others

• Those in the in-group enjoy relationships with the leader that is marked by trust and mutual respect. They tend to be involved in important activities and decisions. Conversely, those in the out-group are excluded from important activities and decisions.

• LMX theory suggests that high-quality relationships between a leader-subordinate dyad will lead to positive outcomes such as better performance, lower turnover, job satisfaction, and organizational commitment.

. Participative Theories:

• Participative leadership theories suggest that the ideal leadership style is one that takes the input of others into account. These leaders encourage participation and contributions from group members and help group members feel more relevant and committed to the decision-making process. In participative theories, however, the leader retains the right to allow the input of others.

Contemporary theoriesTransactional Theories

• Management theories, also known as transactional theories, focus on the role of supervision, organization and group performance. These theories base leadership on a system of rewards and punishments. Managerial theories are often used in business; when employees are successful, they are rewarded; when they fail, they are reprimanded or punished.

. Relationship Theories:

• Relationship theories, also known as transformational theories, focus upon the connections formed between leaders and followers. Transformational leaders motivate and inspire people by helping group members see the importance and higher good of the task. These leaders are focused on the performance of group members, but also want each person to fulfill his or her potential. Leaders with this style often have high ethical and moral standards.

Charismatic Leadership Theory

• Beginning in the 1970s, a number of leadership theories emerged that focused on the importance of a leader's charisma to leadership effectiveness. Included within this class of theories are House's theory of charismatic leadership.

• both above theories have much in common. They both focus on attempting to explain how leaders can accomplish extraordinary things against the odds by inspiring subordinates' admiration, dedication, and unquestioned loyalty through articulating a clear and compelling vision.

• Transformational leadership theory differentiates between the transactional and the transformational leader. Transactional leadership focuses on role and task requirements and utilizes rewards contingent on performance. By contrast, transformational leadership focuses on developing mutual trust, fostering the leadership abilities of others, and setting goals that go beyond the short-term needs of the work group.

• The transactional leader:• Recognizes what it is that we want to get from work and tries to

ensure that we get it if our performance merits it.• Exchanges rewards and promises for our effort.• Is responsive to our immediate self interests if they can be met by

getting the work done.

• The transformational leader:• Raises our level of awareness, our level of consciousness about the

significance and value of designated outcomes, and ways of reaching them.

• Gets us transcend our own self-interest for the sake of the team, organization or larger polity.

• Alters our need level (after Maslow) and expands our range of wants and needs.

Substitute for leadership theory• Substitutes for leadership make leader behaviours such as task-

oriented or relationship-oriented unnecessary. Characteristics of the organization that may substitute for leadership include formalization, group cohesiveness, inflexible rules, and organizational rewards not under the control of the leader. Characteristics of the task that may substitute for leadership include routine and repetitive tasks or tasks that are satisfying. Characteristics of subordinates that may substitute for leadership include ability, experience, training, and job-related knowledge.

• The substitutes for leadership theory has generated a considerable amount of interest because it offers an intuitively appealing explanation for why leader behaviour impacts subordinates in some situations but not in others.

Servant Leadership Theory

• This approach to leadership reflects a philosophy that leaders should be servants first. It suggests that leaders must place the needs of subordinates, customers, and the community ahead of their own interests in order to be effective. Characteristics of servant leaders include empathy, stewardship, and commitment to the personal, professional, and spiritual growth of their subordinates. Servant leadership has not been subjected to extensive empirical testing but has generated considerable interest among both leadership scholars and practitioners.

• Servant leadership approach defines the leader’s role as serving the needs of others. According to this approach, the primary mission of the leader is to develop employees and help them reach their goals. Servant leaders put their employees first, understand their personal needs and desires, empower them, and help them develop in their careers.

• Unlike mainstream management approaches, the overriding objective in servant leadership is not necessarily getting employees to contribute to organizational goals. Instead, servant leaders feel an obligation to their employees, customers, and the external community. Employee happiness is seen as an end in itself, and servant leaders sometimes sacrifice their own well-being to help employees succeed. In addition to a clear focus on having a moral compass, servant leaders are also interested in serving the community