Leadership involves guiding people to work willingly at their full capacity through qualities like influencing behavior, facilitating goal achievement, and managing interpersonal relations. Leadership impacts employee performance, with studies finding leadership accounts for 40-60% of work capacity utilization. The importance of leadership includes influencing behavior, helping followers and introducing changes, while leadership styles can be power-based like autocratic or democratic, and result-based like employee-oriented or production-oriented. Determining the most suitable leadership style depends on factors like the organization and employee skills.

1. LEADERSHIP

2. Meaning : It is defined in the form of the qualities of a particular individual and with the help of those qualities he guides the people and makes them capable of working willingly up to their fullest capacity.

3. Definition : “Leadership may be defined as the ability to exert interpersonal influence by means of communication toward the achievement of a goal.” -Koontz and O’Donnell

4. Characteristics of Leadership Influencing Process Behaviour Changing Process Interpersonal Relations between leader and followers Common Goals Achieving Continuous Process

5. Impact of Leadership on Employees’ Utilization of Capacity Expectancy Through Leadership Normal Expectancy Social Pressure Need for job Authority of superior Induced by leadership 40% 60%

6. Importance of Leadership Helps in influencing the behavior of people Helps followers in fulfilling their needs Helps in Introducing required changes Helps in solving conflicts effectively Helps in Training & Development of subordinates

7. Leadership Styles Motivational Power Based Result Based Positive Negative Employee Oriented Production Oriented Autocratic Democratic Free Rein

8. Motivation Leadership Style Positive Leadership Style- Economic & Non- Economic Incentives Negative Leadership style- Coercion, Removing from job, deduction from salary Suitable style?

9. POWER BASED LEADERSHIP STYLE

10. 1. Autocratic Leadership Style - Leader Centered Characteristics : 1. Formal Relations 2. Centralized Authority 3. Single Man Decisions 4. Negative Motivation 5. Only downward Communication 6. Wrong belief regarding Employees Advantages Quick and clear decisions Satisfactory Work Necessary for less educated employees Disadvantages Lack of Motivation Less Productivity Agitation by Employees Possibility of Partiality

11. 2. Democratic Leadership Style Characteristics Cooperative Relations Positive Motivation Belief in Employees Open Communication Advantages High Morale Creation of more efficiency and productivity Peaceful Industrial Relation Disadvantages Requirement of Educated Subordinates Delay in Decisions Lack of responsibility in Managers

12. 3. Free rein Leadership Style Characteristics Full faith in subordinates Independent Decision making system Decentralization of Authority Two way communication Cooperative Relations Advantages Development of self confidence in subordinates High level Motivation Helpful in development of Enterprise Disadvantages Difficulty in Cooperation Lack of Importance of Managerial Post

13. Result Based Leadership Style Employee Oriented Leadership Style Leaders considers his followers above all the others 2. Production Oriented Leadership Style More attention is paid to production rather than human welfare Suitable style?