ORGANISATIONAL BEHAVIOUR - Wasik Ali...

MGT 321: WASIK ALI KHAN LEADERSHIP

ORGANISATIONAL BEHAVIOUR

CHAPTER 12

‘LEADERSHIP’


What is Leadership

The ability to influence a group toward the achievement of a vision or

set of goals

• Managers get formal rights

• Not all leaders are managers

• Not all managers are leaders

• Non-sanctioned Leadership

– The ability to influence that arises outside the formal structure of the

organisation

• Emergence or Formal Appointment


Leaders need to…

• Challenge the status quo

• Create visions of the future

• Inspire organisational member to want to achieve the visions

Need managers to

• Formulate detailed plans

• Create efficient organisational structures

• Oversee day-to-day operations


Trait Theories

Theories that consider personal qualities and characteristics that differentiate

leaders from nonleaders

Extraversion most important trait

Sociable and Dominant people more likely to assert themselves

Conscientiousness and openness – strong relationship with leadership

However,

Traits do better job at predicting the emergence and appearance of a leader

Not so much at distinguishing between effective and ineffective leaders


Behavioural Theories

Theories proposing that specific behaviours differentiate leaders from

nonleaders and implied we could train people to be leaders

Two Dimensions

• Initiating Structure

• Consideration


Two Dimensions based on Ohio State Studies

• Initiating Structure: the extent to which a leader is likely to define and

structure his or her role and those of subordinates in the search of goal

attainment

– Assigns members to a particular task

– Expects members to maintain definite standard

– Emphasizes the meeting of deadlines

• Consideration: is the extent to which a person’s job relationships are

characterised by mutual trust, respect for subordinates’ ideas and regard

for their feelings


Two Dimensions based on Michigan Group

• Employee-oriented Leader

– Emphasizes interpersonal relations, takes a personal interest in the

needs of employees and accepts individual difference among

members

• Production-oriented Leader

– Emphasizes technical or task aspects of the job


CONTINGENCY THEORIES


The Fiedler Model

Proposes that effective group performance depends in the proper match between

the leader’s style and the degree to which the situation gives the leader control

Identifying Leadership Style

Least preferred questionnaire

Defining the situation

Three situational dimensions

1. Leader-member relations: confidence, trust and respect members have

2. Task Structure: degree to which job assignments are procedured

3. Position Power: influence a leader has over hiring, firing, discipline, promotions


The Fiedler Model


Two ways to improve leader effectiveness (according to Fiedler)

1. Change the Leader to fit the situation

2. Change the situation to fit the leadership style


Other Contingency Theories

Situational Leadership Theory

– Focuses on follower’s readiness (the extent to which they are willing

and able to accomplish a specific task

• Unable and unwilling – give clear and specific directions (telling)

• Unable and willing – high task/relationship orientation (selling)

• Able and unwilling – supportive and participative style (Participating)

• Able and willing – doesn’t need to do much (Delegating)


Other Contingency Theories

Path Goal Theory

– States that it is the leader’s job to assist followers in attaining their

goals and to provide the necessary direction and/or support to ensure

that their goals are compatible with the overall objectives

• Directive Leadership when tasks are ambiguous and stressful

• Supportive Leadership when tasks are structured

• Directive Leadership redundant among high performers


Leader-Member Exchange (LMX) Theory

A theory that supports leaders’ creation of in-groups and out-

groups

Subordinates of in-group status will have higher performance ratings, less

turnover and greater satisfaction

Members are selected based on

• Demography

• Attitude

• Personality

Same gender leader-follower tend to have higher LMX


CHARISMATIC AND TRANSFORMATIONAL LEADERSHIP


Charismatic Leadership

States that followers make attributions of heroic or extraordinary leadership

abilities when they observe certain behaviours

Charisma: compelling attractiveness or charm that can inspire devotion in others

Are charismatic leaders born or Made?

Born

• personality and traits to be charismatic

Made

1. Develop an aura of charisma by maintaining an optimistic view

2. Using passion to generate enthusiasm

3. Communicate with the whole body, not just words


How do Charismatic Leaders influence followers?

1. Appealing vision

2. Formal articulation: vision statement

3. Set examples through words and actions

4. Engage in emotion-inducing and unconventional behaviour


Dark side of Charismatic Leaders

• At times, they let their personal goals override org. goals

• Charismatic leader isn’t always the answer

• Example: Hitler

– Pursued a vision that turned out to be disastrous


Transformational Leadership

Leaders who inspire followers to transcend their own self-interests and

who are capable of having a profound and extraordinary effect on

followers

Pay attention to the concerns and needs of individual followers

They change follower’s awareness of issues

Inspire followers to put out extra effort

Transactional and Transformational leadership complement each other


Authentic Leadership

Leaders who know who they are, know what they believe in and value,

and act on those values and beliefs openly and candidly

Primary quality is trust

Share info, encourage open communication and stick to ideals

Result: people come to have faith in them


Authentic Leadership: Ethics and Leadership

• Unethical leaders use charisma to enhance power over

followers, directed towards self-serving ends

• Ethical leaders use it in a socially constructive way to serve

other

• Leaders who treat followers fairly are seen as more effective

• Socialised Charismatic Leadership

– States that leaders convey values that are other centred versus self-

centred and who role-model ethical conduct


Servant Leadership

A leadership style marked by going beyond the leader’s own self-

interest and instead focusing on opportunities to help followers

grow and develop

Characteristic behaviours

• Listening, empathising, persuading, accepting stewardship

and developing follower’s potential


Trust and Leadership

Trust: a positive expectation that another will not act

opportunistically

• Not completely in control, but willing to take a chance

• Breaking trust can have serious effect on positive performance


How is trust developed?

1. Integrity – honesty and truthfulness

2. Benevolence – trusted person has your interest at heart even

if yours isn’t necessarily in line with theirs

3. Ability – encompasses an individual’s technical and

interpersonal knowledge and skills


Trust as a process

Trust Propensity refers to how likely a particular employee is to trust a

leader.

According to Exhibit 12-6

Leaders’ Trustworthiness and Follower’s propensity to trust leads to trust which,

in turn, leads to

• risk taking

• information sharing

• group effectiveness

• Productivity

Trust is built over a period of time


Consequences of Trust

• Trust encourages taking risks

• Trust facilitates information sharing

• Trusting groups are more effective

• Trust enhances productivity


Leading for the Future: Mentoring

Mentor: a senior employee who sponsors and supports a less

experienced employee, call a protégé

Present clear ideas, listen well and empathises with the protégé

Develops informally and formally

– Formal - not as effective due to mentor or protégé commitment

Usually with an assignment

Access to the attitudes of lower-ranking employees

Mentor – also to a build a powerful good network


Finding and Creating Effective Leaders

• Selecting Leaders

– Reviewing knowledge, skills and ability

– Personality tests

– High self-monitors, high emotional intelligence

• Training Leaders

– More successful with high self-monitors

– Implementation skills, trust building, mentoring, situational analysis

skills


END OF CHAPTER

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