The document summarizes different leadership styles in 3 sentences or less: 1. Leadership styles can be categorized based on the amount of authority retained by the leader, such as authoritarian, democratic, consultative, and laissez-faire styles. 2. Other classifications include styles based on their task versus people emphasis, like those that are high task/low relationship or high relationship/low task. 3. Likert identified four systems ranging from exploitative-authoritarian to participative, based on assumptions about how much confidence and involvement leaders have in subordinates.

1. “If your actions inspire
others to dream more,
learn more, do more
and become more, you
are a leader..”
1

2. Leadership...
2

3. 3
Contents Of The Presentation
Leadership -Meaning And Definition
Leadership And Management
Leadership Styles
Theories Of Leadership
Emerging Approaches To Leadership

4. Defining a Leader…
Think of a leader that you worked for or observed…
4
What does this person do
and what qualities does
this person have that
make you admire him or
her as a leader?

5. Person
Is leadership a position of office or authority?
Or,
Is leadership an ability in the sense that he is a leader
because he leads?
5

6. No…
A leader by its meaning is one who goes first and leads
by example, so that others are motivated to follow him.
To be a leader, a person must have a deep-rooted
commitment to the goal that he will strive to achieve it
even if nobody follows him!
6

7. Who is a leader ?
a person who influences a group of people towards the
achievement of a goal
7
“A leader is one who
knows the way, goes the
way, and shows the
way.”
- John C. Maxwell

8. 8
L EARN TO BE STRONG
E MPOWER PEOPLE
A SK QUESTIONS
D ELEGATE
E XAMPLE SETTER
R EWARD & RECOGNIZE

9. Meaning of Leadership
Leadership is the art of motivating a group of people to
act towards achieving a common goal.
The process of encouraging and helping others to work
enthusiastically towards objectives .
9

10. Definition of Leadership
Alan Keith stated that,
"Leadership is ultimately about creating
a way for people to contribute to
making something extraordinary
happen.”
Koontz and O'Donnell :-
“Leadership maybe defined as the
ability to exert interpersonal influence
by means of communication towards
the achievement of a goal.”
10

11. The essence of leadership
 Leadership refers to ability of one individual to influence others.
 The influence is exercised to change the behaviour of others.
 Change of behaviour is caused with an objective of achieving a
shared goal.
 The person influencing others(leader) possesses a set of
qualities or characteristics with which he or she to influence
others
 Leadership is a group phenomenon. It involves interaction
between two or more people.
11

12. A mnemonic for leadership would
be 3P's - Person, People and
Purpose
12

13. Leadership & Management 13
K Karunakaran Mukesh Ambani

14. A Question… 14
A leader need not be a manager
but a manager must have
many of the qualities of a
good leader?
What do you think ?

15. Difference between
Managers & Leaders
15
MANAGERS LEADERS
Administer Innovate
Maintain Develop
Control Inspire
Short term view Long term view
Ask how & when Ask what & why
Initiate Originate
Accept the status quo Challenge the status quo
Do things right Do right things.

16. Leadership & Management
Management - is a process of planning
,organising, coordinating ,directing, and
controlling the activities of others.
Leadership - is the process of
influencing for the purpose of achieving
shared goals
 Leadership and management are
related, but they are not the same.
 Organizations need both leadership
and management if they are to be
effective.
 Leadership is necessary to create
change; management is necessary to
achieve orderly results.
16

17. 17
Leadership Management
1. Working in the system
2. React
3. Control risks
4. Enforce organizational rules
5. Seek and then follow direction
6. Control people by pushing them in
the right direction
7. Coordinate effort
8. Provide instructions
1. Working on the system
2. Create opportunities
3. Seek opportunities
4. Change organizational rules
5. Provide a vision to believe in and
strategic alignment
6. Motivate people by satisfying
basic human needs
7. Inspire achievement and energize
people
8. Coach followers, create self-
leaders and empower them

18. 18

19. Formal & informal leadership
Formal leadership
Occurs when a manager leads by exercising formal authority.
The exercise of formal authority through assigning duties
derives, from the managers official position within the
organisation’s hierarchy of authority. Any employee who is
assigned a managerial position has the opportunity and
responsibility to exercise formal leadership
Informal leadership
Arises when a person without formal authority is influential in
directing the behavior's of others. Although not formally
appointed or elected he becomes a leader through his actions
or personal attractions.
19

20. Significance of leadership 20
1. Initiates action
2. Motivation
3. Providing guidance
4. Creating confidence
5. Building morale
6. Developing Team-work
7. Co-ordination
8. Facilitates Change
9. Representing the group

21. Leadership
Styles
A leadership style is a
leader's style of providing
direction, implementing
plans, and motivating
people
21

22. 22
Based on authority retained
Based on task versus people emphasis
Based on assumptions about people
Likert’s four styles
Entrepreneurship leadership styles.

23. 1. Based on authority retained 23
Based on
Authority
retained
Authoritarian Democratic
Consultative Persuasive
Free rain
(lassie Faire)
Also known as Lewin’s Leadership styles. In 1939, a group of
researchers led by psychologist Kurt Lewin set out to identify different
styles of leadership.

24. Autocratic or authoritarian style
 Under the autocratic leadership style, all decision-making powers
are centralized in the leader, as with dictator leaders.
 They do not entertain any suggestions or initiatives from
subordinates. The autocratic management has been successful as
it provides strong motivation to the manager.
 It permits quick decision-making, as only one person decides for
the whole group and keeps each decision to himself until he feels
it is needed to be shared with the rest of the group.
24
High degree of dependency on
the leader
May be valuable in some types of
business where decisions need to be
made quickly and decisively

25. Participative or democratic style
 The democratic leadership style favours decision-making by the
group .
 They can win the cooperation of their group and can motivate them
effectively and positively.
 The decisions of the democratic leader are not unilateral as with the
autocrat because they arise from consultation with the group
members and participation by them.
Consultative : process of consultation before decisions are taken
Persuasive : Leader takes decision and seeks to persuade others
that the decision is correct
25

26. Laissez –Faire or free rein style
o A free rein leader does not lead, but leaves the group entirely to
itself such a leader allows maximum freedom to subordinates, i.e.
they are given a free hand in deciding their own policies and
methods.
o Can be very useful in businesses where creative ideas are important
o Can be highly motivational, as people have control over their
working life
o Can make coordination and decision making time-consuming and
lacking in overall direction
o Relies on good team work.
o Relies on good interpersonal relations.
26

27. 2. Based on task versus people
Emphasis
27
High relationship and
low-task
[ supporting style ]
High task and high
relationship
[ participative style]
Low-task and low
relationship
[ free rein style ]
High task and low relationship
[ autocratic style ]
Low High
LowHigh
Task Emphasis
PeopleEmphasis

28. 3. Based on assumptions
about people
28

29. 4.Likert’s four system approach29
Benevolent
authoritarian
Consultative
Exploitative
authoritarian
Participative
Rensis Likert
1903 - 1981

30.  System 1 - Exploitative Authoritative: Responsibility lies in
the hands of the people at the upper echelons of the hierarchy. The
superior has no trust and confidence in subordinates. The decisions
are imposed on subordinates and they do not feel free at all to
discuss things about the job with their superior. The teamwork or
communication is very little and the motivation is based on threats.
 System 2 - Benevolent Authoritative: The responsibility
lies at the managerial levels but not at the lower levels of the
organizational hierarchy. The superior has condescending
confidence and trust in subordinates (master-servant relationship).
Here again, the subordinates do not feel free to discuss things about
the job with their superior. The teamwork or communication is very
little and motivation is based on a system of rewards.
30

31.  System 3 - Consultative: Responsibility is spread widely through
the organizational hierarchy. The superior has substantial but not
complete confidence in subordinates. Some amount of discussion
about job related things takes place between the superior and
subordinates. There is a fair amount of teamwork, and
communication takes place vertically and horizontally. The motivation
is based on rewards and involvement in the job.
 System 4 - Participative: Responsibility for achieving the
organizational goals is widespread throughout the organizational
hierarchy. There is a high level of confidence that the superior has in
his subordinates. There is a high level of teamwork, communication,
and participation.
31

32. 5. Entrepreneurship leadership style
 A heavy task orientation combined with a very
direct-approach to giving instructions to
employees.
 A charismatic personality that inspires others to
do business with him.
 A much stronger interest in dealing with
customers than employees.
 A strong dislike for bureaucratic rules and
regulations.
 Anxiety to consolidate business gains as quickly
as possible
32

33. Others Leadership Styles
1. Bureaucratic
2. Coercive
3. Paternalistic
4. Transactional
5. Transformational
33

34. Bureaucratic
 Manager manages “by the
book¨
 Everything must be done
according to procedure or
policy
 If it isn’t covered by the book,
the manager refers to the next
level above him or her
 Police officer more than leader
34

35. Coercive
 Power from a person’s authority to punish
 Most obvious types of power a leader has.
 Good leaders use coercive power only as a last resort
35

36. Paternalistic
 Leader acts as a ‘father figure’
 Paternalistic leader makes
decision but may consult
 Believes in the need to
support staff
36

37. Transactional
 Motivate followers by appealing to their own self-interest
 Motivate by the exchange process.
EX: business owners exchange status and wages for the work
effort of the employee.
37
 Focuses on the accomplishment
of tasks & good worker
relationships in exchange for
desirable rewards.
 Encourage leader to adapt their
style and behavior to meet
expectations of followers

38. Transformational
 Charismatic and visionary
 Inspire followers to transcend their self-interest for the organization
 Appeal to followers' ideals and values
 Inspire followers to think about problems in new or different ways
 Common strategies used to influence followers include vision and framing
38
 Instills feelings of confidence, admiration and
commitment
 Stimulates followers intellectually, arousing them
to develop new ways to think about problems.
 Uses contingent rewards to positively reinforce
desirable performances
 Flexible and innovative

39. Factors affecting leadership 39

40. Factors Affecting Style
 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?
40

41. Leadership
Theories
A leadership theory is an
assumption about
distinguishing characteristics
of a particular kind of
leader. Theories focus on
determining specific
qualities, such as skill levels,
that separate a leader from
a follower
41

42. 42
Great Man Theory
Trait Theory
Behavioral Theories
• Role Theory
• The Managerial Grid
Participative Leadership
• Lewin's leadership styles
• Likert's leadership styles
Situational Leadership
• Hersey and Blanchard's Situational Leadership
• Vroom and Yetton's Normative Model
• House's Path-Goal Theory of Leadership
Contingency Theories
• Fiedler's Least Preferred Co-worker (LPC) Theory
• Cognitive Resource Theory
• Strategic Contingencies Theory
Transactional Leadership
• Leader-Member Exchange (LMX) Theory
Transformational Leadership
• Bass' Transformational Leadership Theory
• Burns' Transformational Leadership Theory
• Kouzes and Posner's Leadership Participation Inventor
3.1
3.2
4.1
4.2
5.1
5.2
5.3
6.1
6.2
6.3
8.3
8.2
8.1
7.1

43. 1. Great Man Theory
The theory was popularized in the 1840s by Scottish writer Thomas
Carlyle.
According to this point of view,
 great leaders are simply born with the necessary internal
characteristics such as charisma, confidence, intelligence, and social
skills that make them natural-born leaders.
 Great man theories assume that the capacity for leadership is
inherent – that great leaders are born, not made. These theories often
portray great leaders as heroic, mythic and destined to rise to
leadership when needed. (Gandhi, Lincoln, Napoleon)
 The term "Great Man" was used because, at the time, leadership was
thought of primarily as a male quality, especially in terms of military
leadership
43

44. 2. Trait Theories
 Trait theories assume that people
inherit certain qualities and traits
that make them better suited to
leadership.
 Trait theories often identify
particular personality or
behavioural characteristics shared
by leaders.
For example, traits like extraversion,
self-confidence, and courage are all
traits that could potentially be linked
to great leaders.
44
Leadership Traits:
• Ambition and energy
• The desire to lead
• Honest and integrity
• Self-confidence
• Intelligence
• High self-monitoring
• Job-relevant knowledge

45. 3.Behavioural theories
 Behavioural theories of leadership are based upon the belief that
great leaders are made, not born. Consider it the flip-side of the
Great Man theories.
 Rooted in behaviourism, this leadership theory focuses on the
actions of leaders, not on mental qualities or internal states.
 According to this theory, people can learn to become leaders
through teaching and observation
45

46. 3.1 Role Theory
Assumptions
 People define roles for themselves and others based on social learning
and reading.
 People form expectations about the roles that they and others will
play.
 People subtly encourage others to act within the role expectations
they have for them.
 People will act within the roles they adopt
46
Role expectations of a leader can vary from very specific to a broad idea
within which the leader can define their own style.
When role expectations are low or mixed, then this may also lead to role
conflict

47. 3.2 Managerial grid
The managerial grid model (1964) is a
style leadership model developed by
Robert R. Blake and Jane Mouton.
This model originally identified five
different leadership styles based on
the concern for people and the
concern for production
A graphical representation of a 2
dimensional view of leadership style.
47

48. 4. Participative Theories
 Participative leadership theories suggest
that the ideal leadership style is one that
takes the input of others into account.
 These leaders encourage participation and
contributions from group members and
help group members feel more relevant
and committed to the decision-making
process.
 In participative theories, however, the
leader retains the right to allow the input
of others.
48

49. 4.1 Lewin’s Leadership Styles
Kurt Lewin and colleagues did leadership decision experiments in
1939 and identified three different styles of leadership, in particular
around decision-making.
1. Autocratic 2 . Democratic 3. Laissez-Faire
In Lewin experiments, he discovered that the most effective style was
Democratic. Excessive autocratic styles led to revolution, whilst under
a Laissez-faire approach, people were not coherent in their work and
did not put in the energy that they did when being actively led.
These experiments were actually done with groups of children, but
were early in the modern era and were consequently highly influential.
49

50. 4.2 Likert's leadership styles
Rensis Likert identified four main styles of leadership, in particular
around decision-making and the degree to which people are involved
in the decision.
 Exploitive authoritative
 Benevolent authoritative
 Consultative
 Participative
This is a classic 1960s view in that it is still very largely top-down in
nature, with the cautious addition collaborative elements towards the
Utopian final state.
50

51. 5. Situational Theories
 Situational theories propose that leaders choose the best course of
action based upon situational variables.
 Different styles of leadership may be more appropriate for certain
types of decision-making. For example, in a situation where the leader
is the most knowledgeable and experienced member of a group, an
authoritarian style might be most appropriate.
 In other instances where group members are skilled experts, a
democratic style would be more effective.
51

52. 5.1 Hersey & Blanchard’s
Approach
Hersey and Blanchard (1999) and other books suggest leaders should
adapt their style to follower development style (or 'maturity'), based on
how ready and willing the follower is to perform required tasks (that is,
their competence and motivation).
Based on followers willingness and ability, heresy et.al developed 4
approaches of leadership.
1. Telling
Follower: Low competence, low commitment / Unable and unwilling or
insecure
Leader: High task focus, low relationship focus
52

53. Contd…
2.Selling
Follower: Some competence, variable commitment / Unable but willing
or motivated
Leader: High task focus, high relationship focus
3.Participating
Follower: High competence, variable commitment / Able but unwilling
or insecure
Leader: Low task focus, high relationship focus
4.Delegating
Follower: High competence, high commitment / Able and willing or
motivated
Leader: Low task focus, low relationship focus
53

54. Hersey & Blanchard’s Model 54
Willing Unwilling
Able
Unable
Follower
Readiness
Directive/
Delegating
Supportive/
Participative
Selling/
Coaching
Telling/
Directing
Leadership
Styles

55. 55
Leader: decreasing need
for support and supervision
Follower readiness:
ability and willingness
Unable and
Unwilling
Unable but
Willing
Able and
Willing
Directive High Task and Relationship
Orientations
Supportive
Participative
Able and
Unwilling
Monitoring
Follower readiness:
ability and willingness

56. 5.2 Leader Participation
model(Vroom and Yetton)
Vroom and Yetton model is a situational leadership theory of industrial
and organizational psychology developed by Victor Vroom, in
collaboration with Phillip Yetton (1973) and later with Jago (1988).
56
The Vroom-Yetton-Jago model is a
situational approach to group
decision making that is designed
specifically to help leaders to select
the best approach to making
decisions.

57. Assumptions
 Decision acceptance increases commitment and effectiveness of action.
 Participation increases decision acceptance
Decision quality is the selection of the best alternative, and is
particularly important when there are many alternatives. It is also
important when there are serious implications for selecting (or
failing to select) the best alternative.
Decision acceptance is the degree to which a follower accepts a
decision made by a leader. Leaders focus more on decision
acceptance when decision quality is more important.
57Leader Participation model(Vroom
and Yetton) Contd…

58. Leader Participation model(Vroom
and Yetton) Contd…
Vroom and Yetton defined five different decision procedures. Two
are autocratic (A1 and A2), two are consultative (C1 and C2) and one
is Group based (G2).
A1: Leader takes known information and then decides alone.
A2: Leader gets information from followers, and then decides alone.
C1: Leader shares problem with followers individually, listens to ideas
and then decides alone.
C2: Leader shares problems with followers as a group, listens to ideas
and then decides alone.
G2: Leader shares problems with followers as a group and then seeks
and accepts consensus agreement.
58

59. Leader Participation model(Vroom
and Yetton) Contd…
Situational factors that influence the method are relatively logical:
 When decision quality is important and followers possess
useful information, then A1 and A2 are not the best method.
 When the leader sees decision quality as important but
followers do not, then G2 is inappropriate.
 When decision quality is important, when the problem is
unstructured and the leader lacks information / skill to make
the decision alone, then G2 is best.
 When decision acceptance is important and followers are
unlikely to accept an autocratic decision, then A1 and A2 are
inappropriate.
59

60. Leader Participation model(Vroom
and Yetton) Contd…
60
 when decision acceptance is important but followers are likely to
disagree with one another, then A1, A2 and C1 are not
appropriate, because they do not give opportunity for differences
to be resolved.
 When decision quality is not important but decision acceptance is
critical, then G2 is the best method.
 When decision quality is important, all agree with this, and the
decision is not likely to result from an autocratic decision then G2
is best.

61. Decision Tree.
1. Is there a quality requirement? Is the nature of the solution critical? Are there
technical or rational grounds for selecting among possible solutions?
2. Do I have sufficient information to make a high quality decision?
3. Is the problem structured? Are the alternative courses of action and methods
for their evaluation known?
4. Is acceptance of the decision by subordinates critical to its implementation?
5. If I were to make the decision by myself, is it reasonably certain that it would
be accepted by my subordinates?
6. Do subordinates share the organizational goals to be obtained in solving this
problem?
7. Is conflict among subordinates likely in obtaining the preferred solution?
61

62. 62
Based on the answers of above questions one can find out the styles
from the graph.

63. 5.3 Path – goal theory
The path–goal theory, also known as the path–goal theory of leader
effectiveness or the path–goal model, is a leadership theory developed by
Robert House, in 1971 and revised in 1996.
The theory that it is the leader’s job to assist followers in attaining their goals
and to provide them the necessary direction and/or support to ensure that
their goals are compatible with the overall objectives of the group or
organization.
63
In particular, leaders:
 Clarify the path so subordinates know which
way to go.
 Remove roadblocks that are stopping them
going there.
 Increasing the rewards along the route.

64. Path – goal theory Contd…
House and Mitchell (1974) describe four styles of leadership:
Supportive leadership
Considering the needs of the follower, showing concern for their welfare and
creating a friendly working environment. This includes increasing the
follower's self-esteem and making the job more interesting. This approach is
best when the work is stressful, boring or hazardous.
Directive leadership
Telling followers what needs to be done and giving appropriate guidance
along the way. This may be used when the task is unstructured and complex
and the follower is inexperienced. This increases the follower's sense of
security and control and hence is appropriate to the situation.
64

65. Path – goal theory Contd…
Participative leadership
Consulting with followers and taking their ideas into account when making
decisions and taking particular actions. This approach is best when the
followers are expert and their advice is both needed and they expect to be
able to give it.
Achievement-oriented leadership
Setting challenging goals, both in work and in self-improvement (and often
together). High standards are demonstrated and expected. The leader shows
faith in the capabilities of the follower to succeed. This approach is best
when the task is complex.
This approach assumes that there is one right way of achieving a goal
and that the leader can see it and the follower cannot. This casts the
leader as the knowing person and the follower as dependent.
65

66. 6. Contingency Theories
o Contingency theories of leadership
focus on particular variables related to
the environment that might determine
which particular style of leadership is
best suited for the situation.
o According to this theory, no leadership
style is best in all situations. Success
depends upon a number of variables,
including the leadership style, qualities
of the followers and aspects of the
situation.
66

67. 6.1 Fiedler’s Contingency
theory
The Fiedler Contingency Model was created in the mid-1960s by
Fred Fiedler, a scientist who studied the personality and
characteristics of leaders.
The model states that there is no one best style of leadership.
Instead, a leader's effectiveness is based on the situation. This is
the result of two factors –
1. "leadership style" and
2. "situational favorableness" (later called "situational control").
67

68. Fiedler’s Contingency theory
Contd…
Leadership Style
Identifying leadership style is the first step
in using the model. Fiedler believed that
leadership style is fixed, and it can be
measured using a scale he developed called
Least-Preferred Co-Worker (LPC) Scale
The scale asks you to think about the
person who you've least enjoyed working
with. This can be a person who you've
worked with in your job, or in education or
training.
If your total score is high, you're likely to
be a relationship-orientated leader. If your
total score is low, you're more likely to be
task-orientated leader.
68

69. Fiedler’s Contingency theory
Contd…
The model says that task-oriented leaders usually view
their LPCs more negatively, resulting in a lower score.
Fiedler called these low LPC-leaders. He said that low
LPCs are very effective at completing tasks.
However, relationship-oriented leaders usually view their
LPCs more positively, giving them a higher score. These
are high-LPC leaders. High LPCs focus more on
personal connections, and they're good at avoiding and
managing conflict. They're better able to make complex
decisions.
69

70. Fiedler’s Contingency theory
Contd…
Situational Favorableness
Next, you determine the "situational favorableness" of your particular
situation. This depends on three distinct factors:
 Leader-Member Relations –The degree of confidence, trust, and
respect subordinates have in their leader.
 Task Structure – The degree to which the job assignments are
procedurized.The extent to which tasks are standardised,
documented and controlled
 Leader's Position Power – This is the amount of power you have
to direct the group, and provide reward or punishment.
70

71. 71
Fiedler’s Contingency theory
Contd…

72. 72

73. 6.2 Cognitive Resource Theory
Developed by Fred Fiedler and Joe Garcia in 1987 as a
reconceptualization of the Fiedler contingency model. The theory
focuses on the influence of the leader's intelligence and experience on
his or her reaction to stress.
Assumptions
 Intelligence and experience and other cognitive resources are factors
in leadership success.
 Cognitive capabilities, although significant are not enough to predict
leadership success.
 Stress impacts the ability to make decisions
73

74. Cognitive Resource Theory
Contd…
Cognitive Resource Theory predicts that:
1. A leader's cognitive ability contributes to the performance of the team
only when the leader's approach is directive.
2. Stress affects the relationship between intelligence and decision quality.
3. Experience is positively related to decision quality under high stress.
4. For simple tasks, leader intelligence and experience is irrelevant.
The essence of the theory is that stress is the enemy of rationality, damaging
leaders' ability to think logically and analytically. However, the leader's
experience and intelligence can lessen the influence of stress on his (or her)
actions: intelligence is the main factor in low-stress situations, whilst
experience counts for more during high-stress moments.
74

75. 6.3 Strategic Contingencies
Theory
Intraorganizational power depends on three factors: problem skills, actor
centrality and uniqueness of skill.
If you have the skills and expertise to resolve important problems, then you
are going to be in demand. And by the law of supply and demand, that gives
your the upper hand in negotiations. It also gives you power from the
reciprocity created.
If you work in a central part of the workflow of the organization, then what
you do is very important. This gives you many opportunities to be noticed.
It also means you are on the critical path, such that if your part of the
company fails, the whole show stops. Again creating attention and giving
you bargaining power.
Finally, if you are difficult to replace, then if you do make enemies up the
hierarchy, then they cannot just move you out or sideways.
75

76. 7. Transactional Leadership
Theories
76
Transformational Leadership
 Transactional theories, also known as exchange theories of leadership,
are characterized by a transaction made between the leader and the
followers.
 The transactional leadership style was first described by Max Weber in
1947.
 Transactional Leadership, also known as managerial leadership, focuses
on the role of supervision, organization, and group performance;
 Transactional leadership promotes compliance with existing
organizational goals and performance expectations through supervision
and the use of rewards and punishments.
 Transactional leaders are task- and outcome-oriented

77. 7.1 Leader Member Exchange
(LMX) Theory
 Vertical Dyad Linkage Theory
 The Leader-Member Exchange Theory first emerged in the
1970s. It focuses on the relationship that develops between
managers and members of their teams.
 The theory states that all relationships between managers and
subordinates go through three stages. These are:
 Role-Taking.
Role-Making.
Routinization."
77

78. 1. Role-Taking
Role-taking occurs when team members first join the group. Managers use this time
to assess new members' skills and abilities.
2. Role-Making
New team members then begin to work on projects and tasks as part of the team.
In-Group - if team members prove themselves loyal, trustworthy and skilled, they're
put into the In-Group. This group is made up of the team members that the
manager trusts the most.
Out-Group - if team members betray the trust of the manager, or prove that they're
unmotivated or incompetent, they're put into the Out-Group.
Out-Group members tend to have less access to the manager, and often don't receive
opportunities for growth or advancement.
78
Leader Member Exchange
(LMX) Theory Contd…

79. 79
3.Routinization
During this last phase, routines between team members and their
managers are established.
Leader Member Exchange
(LMX) Theory Contd…

80. 8. Transformational Leadership
 People will follow a person who inspires them.
 A person with vision and passion can achieve great things.
 The way to get things done is by injecting enthusiasm and energy
Transformational Leaders, by definition, seek to transform
Style of working
 Developing the vision
 Selling the vision
 Finding the way forwards
 Leading the charge
80

81. Basis of
Distinction
Transactional Transformational
Basis Based on exchange
relationship between leader
and followers.
Based on leaders values,
beliefs and needs of followers
Method of
inspiration
Rewards and recognition for
good performance
Leaders charisma, vision and
energy
Orientation Task Orientaion Goal Orienatation
Approach Passive and stable Active and dynamic
Main functions of
leader
Determination of objectives,
clarifying tasks, helping
subordinates in achieving
objectives
Providing vision and sense of
mission, instilling pride,
gaining respect and trust,
inspiring people, giving
personal attention.
81

82. 8.1 Bass' Transformational
Leadership Theory
Developed by Bernard M. Bass in 1985
Assumptions
 Awareness of task importance motivates people.
 A focus on the team or organization produces better work.
Bass defined transformational leadership in terms of how the leader affects followers,
who are intended to trust, admire and respect the transformational leader.
He identified three ways in which leaders transform followers:
 Increasing their awareness of task importance and value.
 Getting them to focus first on team or organizational goals, rather than their own
interests.
 Activating their higher-order needs.
82

83. 8.2 Burns' Transformational
Leadership Theory
Developed by James MacGregor Burns 1978
Burns defined transformational leadership as a process where leaders
and followers engage in a mutual process of 'raising one another to
higher levels of morality and motivation.‘
83
Transformational leaders raise the bar by
appealing to higher ideals and values of followers.
In doing so, they may model the values
themselves and use charismatic methods to attract
people to the values and to the leader.
Using social and spiritual values as a motivational
lever is very powerful as they are both hard to
deny

84. 8.3 Kouzes and Posner's
Leadership Participation
Inventory
 Developed by James Kouze and Barry
Posner in 1987
 A survey was developed and published by
James Kouzes and Barry Posner in their
book, The Leadership Challenge (Jossey
Bass Publishers, 2002), that asked persons
what characteristics of a leader they
admire and would cause them to follow.
84
Or list of common characteristics of leaders, were, in
their experiences of being led by others. The study was
conducted over twenty years, they managed ask this of
seventy five thousand people.

85. Kouzes and Posner's Leadership
Participation Inventory Contd…
The results of the study showed that people preferred the following
characteristics, in order:
 Honest
 Forward-looking
 Competent
 Inspiring
 Intelligent
 Fair-minded
 Broad-minded
 Supportive
85
 Straightforward
 Dependable
 Cooperative
 Determined
 Imaginative
 Ambitious
 Courageous
 Caring
 Mature
 Loyal
 Self-controlled
 Independent

86. Kouzes and Posner's Leadership
Participation Inventory Contd…
five actions that Kouzes and Posner identify as being key for successful
leadership:
1. Model the way
Modeling means going first, living the behaviors you want others to adopt.
This is leading from the front. People will believe not what they hear leaders
say but what they see leader consistently do.
2. Inspire a shared vision
People are motivated most not by fear or reward, but by ideas that capture
their imagination. Note that this is not so much about having a vision, but
communicating it so effectively that others take it as their own.
3. Challenge the process
Leaders thrive on and learn from adversity and difficult situations. They are
early adopters of innovation.
86

87. Kouzes and Posner's Leadership
Participation Inventory Contd…
87
4. Enable others to act
Encouragement and exhortation is not enough. People must feel able to act
and then must have the ability to put their ideas into action.
5. Encourage the heart
People act best of all when they are passionate about what they are doing.
Leaders unleash the enthusiasm of their followers this with stories and
passions of their own.

88. 88
Theory Leadership Based On…
Trait Theory Leaders born with leadership traits
Behavioral Theory Initial structure and consideration
- Role Theory Shaped by culture, training, modeling
- Managerial Grid Concern for production and concern for people
Participative Leadership More people involved = better collaboration
- Lewin’s Style Autocratic, democratic, laissez-faire
- Likert’s Style Task oriented, relationship oriented, participative style
SituationalTheories No one best leadership style
- Hersey and Blanchard Based on relationship between leader and follower and task
behavior
- Vroom & Yetton Decision quality and decision acceptance
- House’s Path Goal Theory Help followers make their goals compatible with
organizational goals
Contingency Leadership Similar to contingency theory
- Fiedler’s LPC Theory Task focus v. relationship focus
- Cognitive Resource Theory Intelligence and experience make a difference

89. Emerging
Approaches to
Leadership
89

90. 90
Ohio State Studies
In 1945, the Bureau of Business Research at Ohio State University
initiated a series of studies on leadership.
These studies identified two independent leadership dimensions
called initiating structure and consideration which meant more or
less the same thing as task behaviour and relationship behaviour of
a leader.
1.Initiating Structure
The extent to which a leader is likely
to define and structure his or her
role and those of sub-ordinates in
the search for goal attainment.

91. Ohio State Studies 91
2.Consideration
The extent to which a leader is likely to have job relationships
characterized by mutual trust, respect for subordinate’s ideas, and
regard for their feelings.
The Ohio State Studies suggested that
the “high-high” leadership style (high
in initiating structure as well as in
consideration) generally results in
positive outcomes but there are
exceptions which indicate that
situational factors should be integrated
into the theory.

92. Management Theories
 Management theories, also
known as transactional theories,
focus on the role of supervision,
organization and group
performance.
 These theories base leadership on
a system of rewards and
punishments.
 Managerial theories are often
used in business; When
employees are successful, they are
rewarded; when they fail, they are
reprimanded or punished.
92

93. Relationship Theories
 Relationship theories, also known as transformational
theories, focus upon the connections formed between
leaders and followers.
93
 Transformational leaders motivate and
inspire people by helping group members
see the importance and higher good of
the task. These leaders are focused on the
performance of group members, but also
want each person to fulfil his or her
potential.
 Leaders with this style often have high
ethical and moral standards.

94. Attribution Theory of Leadership
 Introduced by Fritz Heider in 1958
 Attribution refer to the way people try to understand the
behavior of others or interpret events around them.
 The attribution theory is related to perception. i.e. how people
view the leader
94

95. Attribution Theory of Leadership 95

96. Charismatic Leadership
Max Weber (1947) used the term “charisma” as a source of power.
Charisma in Greek means “divinely inspired gift”, exceptional qualities, such
as the ability to perform miracles or predict future events.
96
“Charismatic Leadership is resting on devotion to the
exceptional sanctity, heroism or exemplary character
of an individual person, and of the normative
patterns or order revealed or ordained by him".
– Max Weber
Leaders who appear confident about their vision, make
self-sacrifices, pay high costs to achieve their vision are
more likely to be viewed as charismatic leaders.

97. W.J.Reddin’s Three Dimensional
model (3 D Model)
97
The 1-D Theories suggest one particular style is better than another;
The 2-D Theories suggest that a variety of styles may be appropriate;
The 3-D Theory shows how and when each style is effective."
-Bill Reddin
The model was developed by Dr. William James Reddin,
a British born management behavioralist and consultant .
Reddin’s extensive research published in his 1983 Phd
thesis, Managerial effectiveness and Style.
Reddin’s 3D model is a combination of Blake and
Mounton’s Managerial grid theory and Fiedler’s
contingency theory.

98. 3 D Model Contd...
William Reddin introduced a model of leadership style initially containing four
basic types, namely:
1. High relationship orientation & high task orientation is called as INTEGRATED TYPE.
2. High relationship orientation & low task orientation is called as RELATED TYPE.
3. Low relationship orientation & high task orientation is called as DEDICATED TYPE.
4. Low relationship orientation & low task orientation is called as SEPARATED TYPE.
Further, by measuring the level of effectiveness of each style Reddin developed
this basic model into eight leadership styles. The modified model is called “The
3-D Theory of Managerial Effectiveness.”
98

99. The initial Reddin’s model was based on the two basic dimensions of
managerial grid. ie;
1. Task-orientation
2. Relationships-orientation.
However he introduced what he called a third dimension –
3. Effectiveness.
it is the extent to which a manager achieves the output requirements of his
position. Effectiveness was what resulted when one used the right style of
leadership for the particular situation .
993 D Model Contd...

100. 3 D Model Contd...
Less effective Basic Type More effective
Deserter SEPARATED Bureaucratic
Missionary RELATED Developer
Autocratic DEDICATED Benevolent Autocratic
Compromiser INTEGRATED Executive
100

101. 3 D Model Contd... 101

102. 102

103. 3 D Model Contd...
1. DESERTER
Less effective leadership style. This is essentially a hand-off or laisser-faire
approach .it has low people and low product oriented style even when such a style
is not required in the situation.
2. BUREUCRATIC
More effective leadership style. This is a legalistic and procedural approach: it has
low relationship and structure. The leader wants to maintain control over his
employees for getting work done effectively.
3. MISSIONARY
Less effective leadership style. This is an affective (supportive) approach. It
emphasizes congeniality and positive climate in the work place.it has high people
and production oriented style. The leader is good for everybody everywhere but it
does not pay to the organisation
103

104. 3 D Model Contd...
4. DEVELOPER
More effective leadership style. This is the objective counterpart of the missionary
style. Objective in a sense that concern for people is expressed professionally:
subordinates are allowed to participate in decision making and are given
opportunities to express their views and to develop their potential
5. AUTOCRATIC
Less effective leadership style. It has low people and high task oriented style even
when situations do not warrant for such a style. In an adverse situation, this style is
ineffective. It becomes unpleasant and not required
6. BENEVOLENT AUTOCRATIC
More effective leadership style. This is the communicative counterpart of the
autocratic style. It has low relationship but high task orientation. The leader knows
his followers wants , which are satisfied with high achievement through production
orientation. Needs rather than relationships are important for the employees.
104

105. 3 D Model Contd...
7. COMPROMISER
Less effective leadership style. It has high structure and high relationship even in
unfavorable conditions. It is less because of unfavorable situations. It means that
even when there is no demand of high-high relationship, the leader uses this
structure relationship model.
8. EXECUTIVE
More effective leadership style. This approach integrates task orientation and human
relations orientation in response to realistic demand. It is best described as
consultative, interactive, and problem solving approach. The leader sets high
standards, recognizes individual differences and uses team management, he is a very
good motivator.
105

106. “
”
“Gratitude is the key to
opening all doors.”
SURESH T S
106
ALPHIN T KALLANY
PRESENTED BY

107. 107