The document discusses various leadership styles and theories. It describes the differences between leading and managing, sources of power in organizations, and traits of effective leaders. It also summarizes several leadership theories including path-goal theory, charismatic leadership, transformational leadership, and contingency theory. Key leadership styles discussed are supervisory, strategic, autocratic, democratic, and laissez-faire.

1. McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights reserved.

2. Learning Objectives L01: S imilarities and differences between leading and managing L02: S ources of power in organizations L03: Personal traits and skills of effective leaders L04: Distinguish between charismatic and transformational leaders L05: O pportunities to be a leader in an organization L06: H ow to further your own leadership development

3. Vision – what is it? Mental image of a possible and desirable future state of the organization. Expresses the leader’s ambitions for the organization. Creates high performance aspirations, the nature of corporate or business strategy, or the kind of workplace. Without vision, managers do not develop into strong leaders

4. Leading and Managing Leading -setting the direction - inspiring people to attain vision -keep people focused on moving organization toward its ideal future - motivating people to overcome obstacles Managing -deal with ongoing day-to-day complexities -requires planning and budgeting routines -requires structuring organization, staffing it with capable people, and monitoring activities

5. Leadership Styles Supervisory Leadership provides guidance, support and corrective feedback for day-to-day activities Strategic Leadership gives purpose and meaning to organizations by anticipating and envisioning a viable future works with others to initiate changes that create such a future

6. Sources of Power Legitimate power right or authority to tell others what to do Reward power influences others because of control over rewards Coercive power control over punishment Referent power appealing personal characteristics Expert power expertise or knowledge that others can learn from or gain from

7. Traditional Approaches to Leadership Trait approach focuses on individual leaders determines personal characteristics that great leaders share Behavioral approach identifies what good leaders do what behaviors they exhibit Situational approach effective leadership behavior varies from situation to situation

8. Important Traits for Leaders Drive high level of effort ; high need for achievement, constant striving to accomplish Leadership motivation extraverted, high need for power . Integrity: Honest, credible, “walks the walk” Self-confidence overcome obstacles, decide despite uncertainty Knowledge of the business high level of knowledge about their industries, companies, and technical matters; intelligent

9. Decision Styles Autocratic - “self” leader makes decisions on his or her own and then announces those decisions to the group Democratic leadership – “participative” leader solicits input from others Laissez-faire – “allow to do” essentially makes no decisions more negative attitudes and lower performance.

10. Path-goal Theory How leaders influence subordinates’ perceptions of their work goals and the paths they follow toward attainment of those goals. Two key situational factors Personal characteristics of followers Environmental pressures and demand with which followers must cope to attain their work goals

11. Path-Goal Theory Four Pertinent Leadership Behaviors Directive Leadership form of task performance-oriented behavior Supportive Leadership form of group maintenance-oriented behavior Participative Leadership decision style Achievement-oriented Leadership behaviors geared toward motivating people

12. Path-Goal Theory Three Key Follower Characteristics Authoritarianism degree to which individuals respect, admire, or defer to authority Locus of control extent to which individuals see environment as responsive to their own behavior Ability people’s beliefs about their own abilities to do their assigned jobs

13. Path-Goal Theory Functions of the leader Provide coaching and direction Make path to work goals easier Reduce frustrating barriers to goal attainment Increase opportunities for personal satisfaction Increase payoffs to people for achieving performance goals

14. Contemporary Perspectives Charismatic leader dominant, exceptionally self-confident strong conviction of moral righteousness Transformational leader motivates people to transcend their personal interests for good of group Transactional leader manage through transactions, using their legitimate, reward and coercive powers to give commands and exchange rewards for services rendered

15. Nontraditional Leadership Roles Servant leader serves others’ needs while strengthening organization Bridge leader bridges conflicting value systems or different cultures Shared leadership rotating leadership people rotate through leadership role based on which person has most relevant skills

16. Good leaders need courage Seeing things as they are and facing them head-on, making no excuses and harboring no wishful illusions Saying what needs to be said to those who need to hear it Persisting despite resistance, criticism, abuse, and setbacks

17. For Review Only

18. Vroom’s Model Emphasizes participative dimension of leadership, i.e. how leaders go about making decisions. Factors involved to analyze problems decision significance importance of commitment leader’s expertise likelihood of commitment group support for objectives and group expertise team competence

19. Vroom’s Five Leader Decision Styles Decide make decision alone announce or sell it to group Consult individually present problem to group members individually get suggestions, and then make decision Consult group present problem to group members get suggestions, and then make decision

20. Vroom’s Five Leader Decision Styles Facilitate present problem to group in a meeting act as facilitator to get ideas Delegate permit group to make decision within prescribed limits

21. Ohio State Studies Examined performance and maintenance behaviors of leaders Found that supervisors who scored high on maintenance behaviors had fewer grievances and less turnover in their work units than those who were low on this dimension When a leader rates high on performance-oriented behaviors, he or she should also be maintenance-oriented.

22. Michigan Studies Examined the impact of leader behaviors on groups’ job performance Most effective managers engaged in task-oriented behaviors (planning, scheduling, coordinating, providing resources, and setting performance goals) and relationship-oriented behaviors (demonstrating trust and confidence, being friendly and considerate, showing appreciation, keeping people informed)

23. Fiedler’s Contingency Model Effectiveness depends on two factors personal style of the leader degree to which situation gives leader power, control, and influence over situation

24. Fiedler’s Contingency Model Questions used to analyze the situation Are leader-member relations good or poor? Is the task structure or unstructured? Is the leader’s position power strong or weak?

25. Fiedler’s Least Preferred Co-worker (LPC) Task-motivated leadership emphasis on completing task more likely to be exhibited by leaders with low LPC scores Relationship-motivated leadership emphasis on maintaining good interpersonal relationships more likely to be exhibited by high LPC scores

26. Substitutes for Leadership Workplace factors that can exert same influence on employees as leaders Group maintenance substitutes closely knit groups job is inherently satisfying Task performance substitutes people with experience and ability rigid rules and procedures