The Cognitive Resource Theory (CRT) proposes that a leader's cognitive ability only contributes to team performance when the leader takes a directive approach. Under CRT, stress affects the relationship between a leader's intelligence and decision quality, while experience is positively related to decision quality under high stress. For simple tasks, CRT argues that leader intelligence and experience are irrelevant. The theory helps predict leadership effectiveness in stressful situations and suggests testing leaders' intelligence and stress management in addition to leadership qualities. However, CRT has been criticized for not defining intelligence and not covering different stress types.

1. The Cognitive
Resource Theory
(CRT)
By: Noreen M. Morales

2. Proponents:
Fred Edward
Fiedler Joe Garcia

3. CRT – re-conceptualization of the
Contingency Theory
- arose out of the dissatisfaction of
the Trait Theory

4. Key Variables in CRT

5. CRT - DESCRIPTIONS
1. A leader’s
cognitive ability
contributes to the
performance of
the team only
when the leader’s
approach is
DIRECTIVE.

6. Main steps in the process of how the
leader’s intelligence contributes to the task
devotes intellectual effort to
making decisions, plans, and
action strategies related to
the task
communicates the
results to the group members in
the form of directions,
instructions, and guidance
commands the support of
group members motivated to
implement the leader’s plans,
decisions, and action strategies.

7. CRT - Descriptions
2. STRESS
affects the
relationship
between
intelligence
and decision
quality.

8. CRT - DESCRIPTIONS
3. EXPERIENCE
is positively
related to
decision quality
under high
stress.

10. CRT - DESCRIPTIONS
4. For simple
tasks, leader
intelligence and
experience are
irrelevant.

11. STRENGTHS OF CRT
1. CRT is a constant reminder of the
hubris of intelligence.
2. The theory helps
predict whether a certain
type of person will be able
to lead in a stressful
situation.

12. STRENGTHS OF CRT
3. The theory helps the
placement of persons in
leadership positions by
suggesting that people be
tested for intelligence and
the ability to manage
stress in addition to
assessing leadership
qualities.

13. CRITICISMS
1. Intelligence is not
defined.
2. Types of stresses have
not been covered in this
theory.

14. CRITICISMS
3. It does not talk about
those leaders who have
both a good IQ and a
good work experience.
4. There has been no
mention made about the
type of tasks that need to
be dealt with.

15. CRITICISMS
5. It is not totally
correct that simple
jobs do not require an
intelligent or an
experienced leader.

17. References:
http://faculty.css.edu/dswenson/web/LEAD/cogresourcetheory.html
Accessed June 21, 2012
http://www.buzzle.com/articles/cognitive-resource-theory.html
Accessed June 21, 2012
http://www.themanagersguide.co.uk/quiz-how-stressed-are-you.html
Accessed June 21, 2012