Leadership• Leadership is an interpersonal influence directed toward the achievement of a goal or goals.• LEADERSHIP IS THE ABILITY OF A MANAGER TO BRING PEOPLE TO WORK TOGETHER EFFICIENTLY FOR A COMMON GOAL
Nature of Leadership• Leadership is a process• Leadership is a group phenomena• Leadership is an interaction• Leadership is property
A Leadership Story:• A group of workers and their leaders are set a task of clearing a road through a dense jungle on a remote island to get to the coast where an estuary provides a perfect site for a port.• The leaders organise the labour into efficient units and monitor the distribution and use of capital assets – progress is excellent. The leaders continue to monitor and evaluate progress, making adjustments along the way to ensure the progress is maintained and efficiency increased wherever possible.
• Then, one day amidst all the hustle and bustle and activity, one person climbs up a nearby tree. The person surveys the scene from the top of the tree. And shouts down to the assembled group below… “Wrong Way!” (Story adapted from Stephen Covey (2004) “The Seven Habits of Highly Effective People” Simon & Schuster). “Management is doing things right, leadership is doing the right things” (Warren Bennis and Peter Drucker)
Leadership vs. Management• Leadership is influencing • Management is the of others to do what process of getting things he/she wants them to do. done through the efforts of (Influencing others i.e. other people.(Focuses on human interaction) procedures and results)• A leader may have no • Management suggests formal title at all and rely more formality & manager on personal traits and style refers to a position in an to influence followers. organization.
Leadership vs. Management• Leaders have followers • Managers dont have• Inspire • Control• Long term view • Short term view• Ask what & why • Ask how & when
The Five Ps of Leadership P ay attention to what’s important P raise what you want to continue P unish what you want to stop P ay for the results you want P romote those people who deliver those results
How to Improve Your Leadership Skills• Skill 1: Think Like a Leader• Skill 2: Use an Appropriate Leadership Style• Skill 3: Pick the Right Leadership Situation• Skill 4: Good communication skills• Skill 5: Exercise Better Judgment• Skill 6: Improve Leadership Traits and Skills
Overview of Traditional Leadership Theories• Dispositional theories: there are certain attributes which make a great leader• Behavior theories: great leadership is based on what someone does• Situational (contingency) theories: interaction between leader and situation is important
Dispositional Theories• “Great Man theory” • Trait Theories” Thomas Carlyle Scholars – great leaders are great – what are the people characteristics that – personal attributes are make someone great all that is important – demographic (height) – leadership is a scarce – ability (IQ; verbal resource skills) – does not specify what – personality (energy, characteristics are ambition) relevant
Qualities• A strong desire for accomplishment• Creativity and intelligence• Initiative• Self assumed personality• High tolerance of ambiguity• Ability to influence other people
Behavior Theories• Ohio State Studies ( major dimensions ) • Consideration – (friendship, mutual trust, respect and warmth) • Initiating Structure – (organizes and defines relationships or roles, establishes well-defined patterns of organization, channels of communication, and ways of getting jobs done.)• University of Michigan Studies • Employee Orientation – (the human-relations aspect, in which employees are viewed as human beings with individual, personal needs) • Production Orientation – (Stress on production and the technical aspects of the job, with employees viewed as the means of getting the work done.
Blake/Mouton’s Managerial Grid• The model conceptualizes management styles and relations. It uses two axis: “ Concern for People” and “ Concern for Task”• When taken the two axes and all evolving possibilities together a matrix with 81 different management styles appears. According to Blake and Mouton 5 of the 81 styles are the most significant and important.
The Managerial Grid 1,9 pattern 9 ,9 pattern ,9 pattern 1,9 pattern“Country club” Team management- Team management- “Country club” management 8 the ideal style the ideal style management Concern for People 7 6 5,5 pattern 5,5 pattern 5,5 pattern Middle-of-the-road Middle-of-the-road 5 Middle-of-the-road management management management 4 3 1,1 pattern 1,1 patternImpoverished Impoverished 2 9,1 pattern 9,1 pattern management management Task management Task management 1 Low 1 2 3 4 5 6 7 8 9 Low Concern for Production High
Situational (contingency) Theories• Fielders Contingency Model• Path Goal Theory• Vroom & Yettons Decision Making Model• Hersey and Blanchard’s Situational Leadership Theory
Fiedler’s Contingency Model• Leadership style: relationship vs. task oriented• Situational Control: 3 characteristics of a work situation make it very + or –• Not a lot of research evidence, but important for establishing a change in direction in the field
LPC Contingency Theory Low LPC High LPC Low LPC Leaders Leaders (Task leaders High (people Oriented) are highly oriented) are highly effective are highly effective underLeader Effectiveness(group performance) effective under moderate under High or low situational moderate situational control situational control control Low LPC (concern for people) High LPC (concern for production) Low Low Moderate High Situational Control .
Hersey and Blanchard’s Situational Leadership Theory (1977) s es n gn w illi d y an ilit : ab e ss din ea rr we llo Fo Leader: decreasing need for support and supervisionThey identified task behaviour and relationship behavior as two styles ofLeadership which need to adapted as per readiness level of theparticipants.
Situational Leadership Theory: Its Basic Dimensions High Participating works best Selling works best (followers have the (followers are neither(amount of support required) ability to willing nor able to do Relationship Behavior do the job but they the job) are unwilling) Delegating works best Telling works best (followers)are willing to (followers are willing do the job, and know to do the job, but don’t how to go about it) know how to do it) Low Low Task Behavior (amount of guidance required) High .
Path- Goal Theory(Robert House) Leaders behavior is acceptable to subordinates insofar as they view it as a source of immediate or future satisfaction.According to this theory the leader’s job is to assist followers in attaining theirgoals and to provide the necessary direction and/or support to ensure that theirgoals re compatible with the overall objectives of the group or organization.
Transactional andTransformational Leadership They inspire followers to transcend own self interests for the good of the organization and who is capable of having a profound and extraordinary- effects on followers.• Contingent Reward• Management by • Charisma Exception (active) • Inspiration• Management by • Intellectual Stimulation Exception (passive) • Individual• Laissez-Faire Consideration
• Transformational leadership is a process that changes and transforms individuals (Northouse, 2001).• It is the ability to get people to want to change, to improve, and to be led. It involves assessing associates motives, satisfying their needs, and valuing them (Northouse, 2001).. Sam Walton (founder of Wall Mart) gave "rules for success" in his autobiography, one of which was to appreciate associates with praise. “Leadership is the ability to influence, motivate and enable others to contribute towards the effectiveness of the organization.” Effective leaders subordinate their egos and nurture leadership in others. (Richard Branson)
Exemplary role models managers who act as coaches and advisors to the associates motivate so that vision of the organization is met Encourage innovation, creativity, critical thinkingTransformational leadership
Evaluating Female Leaders• Past evidence – Women rated less favorably than equivalent male leaders due to stereotyping• Recent evidence – Women rated more favorably than men, particularly on emerging leadership styles (coaching, teamwork)
Charismatic LeadershipPersonal characteristics Personal characteristicsOf charismatic leaders Of charismatic leaders1. 1. Vision and articulation Vision and articulation2. 2. Personal risk Personal risk3. 3. Environmental sensitivity Environmental sensitivity4. 4. Sensitivity to follower needs Sensitivity to follower needs5. Unconventional behavior 5. Unconventional behavior
How charismatic leaders influence followers:1) Begins by the leader articulating an appealing vision.2) Communicating high performance expectations and expression of confidence in followers that they can attain. Enhances followers self esteem and self confidence.3) The leader conveys through words and actions a new set of values and by his behavior sets an example for followers to imitate.4) finally, leader makes self sacrifices and engages in unconventional behaviour to demonstrate courage and convictions about his/her vision.
Are charismatic leaders born or made?Charismatic leadership can be inculcated by following a 3 step process—1) An individual needs to develop the aura of charisma by maintaining an optimistic view, using passion for generating enthusiasm and communicating with the whole body and not just with words.2) Drawing others towards himself/herself by creating bond with the followers.3) The individual brings out the potential in followers by tapping into their emotions.There is ample evidence to suggest that charismatic leadership is situational (not inborn)and is not always required to achieve high level of employee performance.Charisma appears to be most appropriate when the followers’ task has an ideological component or when the environment involves high degree of stress and uncertainty. (in the early 1970s Chrysler Corp required Lee Iacocca and in 1997 Apple Computer required Steve Jobs to reinvent the companies, both known for their unconventional ideas) Charisma is only limited to the high/highest level of the organization bcoz it involves the creation of a vision.Charismatic leaders who have larger than life image don’t always act in the best interest of their organization.
Jim Collins (From Good to Great)Study based on 29 companies that went from good to great (theircumulative stock returns were at least three times better than the generalstock market for over 15 years) found an absence of ego-drivencharismatic leaders. The leaders of these firms were fiercely ambitiousand driven but their ambition were for the company and not forthemselves.
Types of Leadership Style• Autocratic: – Leader makes decisions without reference to anyone else – High degree of dependency on the leader – Can create de-motivation and alienation of staff – May be valuable in some types of business where decisions need to be made quickly and decisively• Paternalistic – Leader acts as a ‘father figure’ – Paternalistic leader makes decision but may consult – Believes in the need to support staff
Democratic:• Encourages decision making from different perspectives – leadership may be emphasised throughout the organisation – Consultative: process of consultation before decisions are taken – Persuasive: Leader takes decision and seeks to persuade others that the decision is correct
Laissez-Faire– ‘Let it be’ – the leadership responsibilities are shared by all– Can be very useful in businesses where creative ideas are important– Can be highly motivational, as people have control over their working life– Can make coordination and decision making time-consuming and lacking in overall direction– Relies on good team work– Relies on good interpersonal relations
Leadership Styles in Indian Context• Nurturant task style (Sinha 1980)• Consultative Style (Karla & Gupta)
Emotional Intelligence and Leadership EffectivenessI.Q and Technical skills are “threshold capabilities”. They arenecessary but not the sufficient requirements for effectiveleadership. Elements of Emotional Elements of Emotional Intelligence: : Intelligence ••Self-awareness Self-awareness ••Self-management Self-management ••Self-motivation Self-motivation ••Empathy Empathy ••Social skills Social skillsWhen star performers were compared with average ones in seniormanagement position, nearly 90% of the difference in theirdifference was attributable to EI factors rather than IQ (Goleman,1998; Goleman et al, 2002; George 2000)
Determinants of Leadership– Risk - decision making and change initiatives based on degree of risk involved– Type of business – creative business or supply driven?– How important change is – change for change’s sake?– Organisational culture – may be long embedded and difficult to change– Nature of the task – needing cooperation? Direction? Structure?
Effective Supervision1 - Get Involved Know Your People Get out from behind your desk Don’t be over-involved Show Interest Sense of Mission Have a plan Share your vision2 - Open Channels of Communication • Encourage discussion • Resolve conflict • Listen • Remain in control
3 - Give Your People a Chance to Develop • Match the People to the Work Be aware of requirements and limitations Education and training • Be Flexible Welcome Change4 - Establish Standards and Stick to Them • Personal Standards • Enforce Them • Excellence Begins with You
5 - Provide Feedback • Constructive criticism • Praise in public and discipline in private • Don’t be afraid to approach them • Ask for their views/opinions
Seven Leadership Competencies Emotional • Perceiving, assimilating, understanding,Intelligence and regulating emotions • Truthfulness Integrity • Translates words into deeds • Inner motivation to pursue goals Drive • Need for achievement, quest to learnLeadership • High need for socialized power toMotivation accomplish team’s or firm’s goals
Seven Leadership Competencies (con’t) • High self-efficacy regarding ability toSelf-Confidence lead others • Above average cognitive ability Intelligence • Can analyze problems/opportunities Knowledge of • Familiar with business environment the Business • Aids intuitive decision making