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CHAPTER

17

Managing
Leadership and
Influence
Processes

PowerPoint Presentation
by Charlie Cook

Copyright © by Houghton Mifflin Company.
All rights reserved.

Learning Objectives
After studying this chapter, you should be able to:
– Describe the nature of leadership and distinguish leadership
from management.
– Discuss and evaluate the trait approach to leadership.
– Discuss and evaluate models of leadership, focusing on
behaviors.
– Identify and describe the major situational approaches to
leadership.
– Identify and describe three related perspectives on
leadership.
– Discuss political behavior in organizations and how it can be
managed.

Copyright © by Houghton Mifflin Company. All rights reserved. 17–2

Chapter Outline
• The Nature of Leadership • Related Perspectives on
– The Meaning of Leadership Leadership
– Leadership Versus Management – Substitutes for Leadership
– Power and Leadership – Charismatic Leadership
• The Search for Leadership Traits – Transformational Leadership

• Leadership Behaviors • Political Behavior in
– Michigan Studies Organizations
– Ohio State Studies – Common Political Behaviors
– Managerial Grid – Managing Political Behaviors

• Situational Approaches to
Leadership
– LPC Theory
– Path-Goal Theory
– Vroom’s Decision Tree
– The Leader-Member Exchange


The Nature of Leadership
• The Meaning of Leadership
– Process: what leaders actually do.
• Using noncoercive influence to shape the group’s or organization’s
goals.
• Motivating others’ behavior toward goals.
• Helping to define organizational culture.
– Property: who leaders are.
• The set of characteristics attributed to individuals perceived to be
leaders.
– Leaders
• People who can influence the behaviors of others without having to
rely on force.
• People who are accepted as leaders by others.


The Nature of Leadership (cont’d)
• Leadership Versus Management
Leadership Activity Management
Establishing direction and Creating an agenda Planning and budgeting,
vision for the organization allocating resources

Aligning people through Developing a human network Organizing and staffing,
communications and actions for achieving the agenda structuring and monitoring
that provide direction implementation

Motivating and inspiring by Executing plans Controlling and problem
satisfying needs solving

Produces useful change and Outcomes Produces predictability and
new approaches to challenges order and attains results

Source: Adapted from A Force for Change: How Leadership Differs from
Management by John P. Kotter. Copyright © 1990 by John P. Kotter, Inc.
Reprinted with permission of The Free Press, a division of Simon & Schuster Inc. Table 17.1

• Power and Leadership
– Power is the ability to affect the behavior of others.
• Legitimate power is granted through the organizational hierarchy.
• Reward power is the power to give or withhold rewards.
• Coercive power is the capability to force compliance by means of
psychological, emotional, or physical threat.
• Referent power is the personal power that accrues to someone based
on identification, imitation, loyalty, or charisma.
• Expert power is derived from the possession of information or
expertise.


• Using Power
– Legitimate request
• Compliance by a subordinate with a manager’s request because the
organization has given the manager the right to make the request.
– Instrumental compliance
• A subordinate complies with a manager’s request to get the rewards
that the manager controls.
– Coercion
• Threatening to fire, punish, or reprimand
subordinates if they do not do something.
– Rational persuasion
• Convincing subordinates that compliance
is in their own best interest.


• Using Power (cont’d)
– Personal identification
• Using the referent power of a superior’s desired behaviors to shape
the behavior of a subordinate.
– Inspirational appeal
• Influencing a subordinate’s behavior through an appeal to a set of
higher ideals or values (e.g., loyalty).
– Information distortion
• Withholding or distorting information
(which may create an unethical situation)
to influence subordinates’ behavior.
– Personal identification
• Using the superior’s referent power over
a subordinate to shape his behavior.


The Search for Leadership Traits
• Traits Approach to Leadership
– Assumed that a basic set of personal traits that differentiated
leaders from nonleaders could be used to identify leaders
and as a tool for predicting who would become leaders.
– The trait approach was unsuccessful in establishing
empirical relationships between traits and persons regarded
as leaders.


Leadership Behaviors
• Michigan Studies (Rensis Likert)
– Identified two forms of leader behavior
• Job-centered behavior—managers who pay close attention to
subordinates’ work, explain work procedures, and are keenly
interested in performance.
• Employee-centered behavior—managers who focus on the
development of cohesive work groups and employee satisfaction.
• These two forms of leader behaviors
were considered to be at opposite
ends of the same continuum and
similar to (respectively) Likert’s
System 1 and System 4 of
organizational design.


Leadership Behaviors (cont’d)
• Ohio State Studies
– The studies did not interpret leader behavior as being one-
dimensional as did the Michigan State studies.
– Identified two basic leadership styles that can be exhibited
simultaneously:
• Initiating-structure behavior—the leader
clearly defines the leader-subordinate role
expectations, formalizes communications,
and sets the working agenda.
• Consideration behavior—the leader shows
concern for subordinates and attempts to
establish a friendly and supportive climate.


Leadership Behaviors (cont’d)
• Ohio State Studies (cont’d)
– Initial assumption of the research was that leaders who
exhibit high levels of both behaviors would be most effective
leaders. Subsequent research indicated that:
• Employees of supervisors ranked highly on initiating structure were
high performers, although they expressed low levels of satisfaction
and had higher absenteeism.
• Employees of supervisors ranked highly on consideration had low-
performance ratings, but they had high levels of satisfaction and had
less absenteeism.
• Other situational variables were making consistent leader behavior
predictions difficult.
• There is no universal or “one best way” model of leadership.


High

9 1,9 Team Management 9,9
Leadership
8
Country Club Management
Thoughtful attention to the
Work accomplishment is
from committed people;
Grid
needs of people for satisfying interdependence through
relationships leads to a a “common stake” in
7 organization purpose
comfortable, friendly
leads to relationships
The Leadership Grid® is
organization atmosphere
6 and work tempo. of trust and respect. a method of evaluating
Concern for people

leadership styles. The
Middle of the Road Grid® is used to train
5 5,5
Management managers so that they
Adequate organization performance is
possible through balancing the necessity
are simultaneously more
4
to get out work with maintaining morale concerned for people
of people at a satisfactory level.
Authority-Compliance and for production (9,9
3
Efficiency in operations style on the Grid®).
results from arranging
2 Impoverished Management conditions of work in
Exertion of minimum effort such a way that Source: From Leadership Dilemmas—
to get required work done human elements Grid Solutions by Robert R. Blake and
1 1,1 is appropriate to sustain 9,1 Anne Adams McCanse. (Formerly the
interfere to a Managerial Grid by Robert R. Blake and
organization membership. minimum degree. Jane S. Mouton.) Houston: Gulf Publishing
Company, p. 29. Copyright © 1991 by
0 Scientific Methods, Inc. Reproduced by
Low 1 2 3 4 5 6 7 8 9 permission of the owners.

Low Concern for production High

Figure 17.1

Situational Approaches to Leadership
• Situational Models of Leader Behavior
– Assume that:
• Appropriate leader behavior varies from one situation to another.
• Key situational factors that are interacting to determine appropriate
leader behavior can be identified.
• Leadership Continuum (Tannenbaum and Schmidt)
– Variables influencing the decision-making continuum:
• Leader’s characteristics—value system, confidence in subordinates,
personal inclinations, and feelings of security.
• Subordinates’ characteristics—independence needs, readiness for
responsibility, tolerance of ambiguity, interest in the problem,
understanding goals, knowledge, experience, and expectations.
• Situational Characteristics—type of organization, group effectiveness,
the problem itself, and time pressures.

(cont’d)
• Tannenbaum and Schmidt’s Leadership Continuum

Boss-centered leadership

Use of Authority
by Manager
Area of Freedom
for Subordinates

Subordinate-centered leadership

Manager makes Manager presents Manager presents Manager permits
decision and ideas and invites problem, gets subordinates to
announces it questions suggestions, function within
makes decision limits defined by
superior
Manager Manager presents Manager defines
“sells” tentative decision limits, asks group
decision subject to change to make decision
Source: Reprinted by permission of the Harvard Business Review. An exhibit from “How to
Choose a Leadership Pattern” by Robert Tannenbaum and Warren Schmidt (May–June 1973).
Copyright © by the President and Fellows of Harvard College; all rights reserved. Figure 17.2

(cont’d)
• Least-Preferred Coworker Theory (Fiedler)
– The appropriate style of leadership varies with situational
favorableness (from the leader’s viewpoint).
– Least preferred coworker (LPC)
• The measuring scale that asks leaders to describe the person with
whom they are least able to work well.
• High LPC scale scores indicate a relationship orientation; low LPC
scores indicate a task orientation on the part of the leader.
– Contingency variables determining situational favorableness:
• Leader-member relations—the nature of the relationship between the
leader and the work group.
• Task structure—the degree to which the group’s task is defined.
• Position Power—the power vested in the leader’s position.


(cont’d)
• The Least-Preferred Coworker Theory of Leadership

Contingency Factors Situations

Leader-member relations Good Bad

Task structure High Low High Low

Position power Strong Weak Strong Weak Strong Weak Strong Weak

Favorableness
Most favorable Moderately favorable Most unfavorable
of Situation

Appropriate
Task-oriented Relationship-oriented Task-oriented
Leader Behavior

Figure 17.3

(cont’d)
• Path-Goal Theory (Evans and House)
– The primary functions of a leader are to make valued or
desired rewards available in the workplace and to clarify for
the subordinate the kinds of behavior that will lead to goal
accomplishment or rewards.
– Leader Behaviors:
• Directive leader behavior—letting subordinates know what is
expected of them, giving guidance and direction, and scheduling work.
• Supportive leader behavior—being friendly and approachable, having
concern for subordinate welfare, and treating subordinates as equals.
• Participative leader behavior—consulting with subordinates,
soliciting suggestions, and allowing participation in decision making.
• Achievement-oriented leader behavior—setting challenging goals,
expecting subordinates to perform at high levels, encouraging and
showing confidence in subordinates.

The Path-Goal Theory
• Situational Factors:
Work Leadership Impact on Expected
Situation Style Followers Results
Follower Supportive Increases self- Increased effort. job
lacks self- confidence to satisfaction, and
confidence complete task performance; fewer
grievances

Lack of job Achievement- Encourages Improved performance
challenge oriented setting high but and greater job
attainable goals satisfaction

Improper Participative Clarifies follower Improved performance
procedures and need for making and greater satisfaction;
poor decisions suggestions and less turnover
involvement

Ambiguous job Directive Clarifies path to Improved performance
get rewards and job satisfaction

Path Goal Theory to Leadership (cont’d)
• The Path-Goal Framework

Subordinates’ Leader behaviors Environmental
personal • Directive characteristics
characteristics • Supportive • Task structure
• Perceived ability • Participative • Work group
• Locus of control • Achievement-
oriented

Subordinates’ motivation to perform

Figure 17.4

(cont’d)
• Vroom Decision Tree Approach
– Attempts to prescribe a leadership style appropriate to a
given situation.
– Basic Premises
• The degree to which subordinates should be encouraged to participate
in decision making depends on the characteristics of the situation.
• No one decision-making process is best for all situations.
• After evaluating the different problem attributes, a leader can choose
a decision path on one of two decision trees that determines the
decision style and specifies the amount of employee participation.
– Decision significance—the degree to which the decision will have
an impact on the organization. Subordinates are involved when
decision significance is high.
– Decision Timeliness—the degree of time pressure for making a
decision in a timely basis; may preclude involving subordinates.

(cont’d)
• Vroom Decision Tree Approach (cont’d)
– Decision-Making Styles
• Decide—manager makes decision alone and then announces or
“sells” it to the group.
• Consult (individually)—manager presents program to group
members individually, obtains their suggestions, then makes the
decision.
• Consult (group)—manager presents problem to group at a meeting,
gets their suggestions, then makes the decision.
• Facilitate—manager presents the problem to the group, defines the
problem and its boundaries, and then facilitates group member
discussion as they make the decision.
• Delegate—manager allows the group to define for itself the exact
nature and parameters of the problem and then develop a solution.


Importance of

Likelihood of
Vroom’s Time-Driven

Commitment
Commitment
Significance

Competence
Expertise

Expertise
Decision

Support
Decision Tree

Leader

Group

Group

Team
H Decide
H Delegate
H H H
L
L
L Consult (group)
L
H H Facilitate
P H H
L
R H Consult
O L
(individually)
B L
L H L
E H Facilitate
M H
H L
L
L Consult (group)
S
T L
A
H Decide
T
E H Facilitate
M H
L H L
E L Consult
N L (individually)
T L
Source: Victor Vroom’s
H Decide
Time-Driven Model from A
L H Delegate Model of Leadership Style,
L copyright Vroom, 1998.
L Facilitate
L Decide
Figure 17.5

Vroom’s

Importance of

Likelihood of
Commitment

Competence
Commitment
Significance Development-Driven

Expertise
Expertise
Decision

Support
Leader

Group

Group

Team
Decision Tree
H Decide
H
H L Facilitate
P H
L —
--
R Consult (group)
—
-- —
--
O H —
-- L
B H Delegate
L H
H L
E H L Facilitate
M —
--
L
—
-- —
-- Consult (group)
S L
T H Delegate
H
A H
L —
-- --
— L Facilitate
T
E L —
--
Consult (group)
M —
-- —
--
L
E
N H —
-- —
-- —
-- Decide
H —
--
T L —
-- —
-- —
--
L Delegate
L —
-- --
— —
-- —
-- —
-- Decide

Figure 17.6
Source: Victor Vroom’s Development-Driven Model from
A Model of Leadership Style, copyright Vroom, 1998.

(cont’d)
• The Leader-Member Exchange (LMX) Approach
– Stresses the importance of variable relationships between
supervisors and each of their subordinates.
– Leaders form unique independent relationships (“vertical
dyads”) with each subordinate in which the subordinate
becomes a member of the leader’s out-group or in-group.

Leader

Subordinate Subordinate Subordinate Subordinate Subordinate
1 2 3 4 5
Out-Group In-Group
Figure 17.7

Related Perspectives on Leadership
• Substitutes for Leadership
– A concept that identifies situations in which leader behavior
is neutralized or replaced by characteristics of subordinates,
the task, and the organization.

Characteristics that Substitute for Leadership

Subordinate Task Organization

Ability Routineness Formalization
Experience The availability of feedback Group cohesion
Need for independence Intrinsic satisfaction Inflexibility
Professional orientation A rigid reward structure
Indifference towards
organizational goals


(cont’d)
• Charismatic Leadership (House)
– Charisma, an interpersonal attraction that inspires support
and acceptance, is an individual characteristic of a leader.
– Charismatic persons are more
successful than noncharismatic
persons.
– Charismatic leaders are
self-confident, have a firm
conviction in their belief
and ideals, and possess
a strong need to influence
people.


(cont’d)
• Charismatic Leadership (cont’d)
– Charismatic leaders in organizations must be able to:
• envision the future, set high expectations,
and model behaviors consistent with
expectations.
• energize others through a demonstration
of excitement, personal confidence, and
patterns of success.
• enable others by supporting them,
by empathizing with them, and
by expressing confidence in them.


(cont’d)
• Transformational Leadership
– Leadership that goes beyond ordinary expectations, by
transmitting a sense of mission, stimulating learning, and
inspiring new ways of thinking.
– Seven keys to successful leadership
• Trusting in one’s subordinates
• Developing a vision
• Keeping cool
• Encouraging risk
• Being an expert
• Inviting dissent
• Simplifying things


Political Behavior in Organizations
• Political Behavior
– The activities carried out for the specific purpose of
acquiring, developing, and using power and other resources
to obtain one’s preferred outcomes.
– Common Political Behaviors
• Inducement—offering to give something to someone else in return
for that person’s support.
• Persuasion—persuading others to support a goal on grounds that are
objective and logical as well as subjective and personal.
• Creation of an obligation—providing support for another person’s
position that obliges that person to return the favor at a future date.
• Coercion—using force to get one’s way.
• Impression management—making a direct and intentional effort to
enhance one’s image in the eyes of others.


Political Behavior in Organizations
(cont’d)
• Managing Political Behavior
– Be aware that even if actions are not politically motivated,
others may assume that they are.
– Reduce the likelihood of subordinates engaging in political
behavior by providing them with autonomy, responsibility,
challenge, and feedback.
– Avoid using power to avoid charges of political motivation.
– Get disagreements and conflicts out in the open so that
subordinates have less opportunity to engage in political
behavior.
– Avoid covert behaviors that give the impression of political
intent even if none exists.


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