LEADERSHIP

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LEADERSHIP
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LEADERSHIP

• LEARNING OUTCOMES
• By the end of this topic you will be able to
• define leadership
• distinguish between leadership and management
• describe the trait theory of leadership and
  identify its strengths and weaknesses
• describe behavioural theories of leadership and
  identify the strengths and weaknesses of these
  approaches
• explain the contingency approach to leadership
  and describe the following theories
• Fiedlers LPC Model
• the Path-Goal theory
• the Vroom-Yetton-Jago model
• the Hersey and Blanchard model
• the Substitute for Leadership model.

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THE FIRST RULE OF LEADERSHIP

• Everything is your fault.
• Source Hopper (a locust), 2002, A Bugs Life

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LEADERSHIP

• DEFINITIONS
• A relationship through which one person
• influences the behaviour or actions of other
• people.
• (Mullins 1996, 246)
• Leadership is both a process and a
• property. As a process, leadership involves
• the use of noncoercive influence. As a
• property, leadership is the set of
• characteristics attributed to someone who
• is perceived to use influence successfully.
• (Moorhead and Griffin, 1998352)
• Leadership is the ability to get people to do
  what
• they dont want to do and like it.
  (Harry S Truman)

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IMPORTANCE OF LEADERSHIP

• It is related to motivation, interpersonal
  behaviour and the process of communication.
• Good leadership involves the effective process of
  delegation.
• Leadership is a dynamic process.
• Helps to develop teamwork and the integration of
  individual and group goals.
• The changing nature of business organisations
  places growing emphasis on leadership.
• The nature of management is moving away from
  close control of the workforce towards an
  environment of coaching, support and empowerment.

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BASIC DIFFERENCE BETWEEN LEADERSHIP AND MANAGEMENT

• Management-
• Getting things done through other people in order
  to achieve stated organisational objectives.
• More reactive and concerned with short-term
  problems.
• Relating to people with prescribed roles within
  an organisational structure.
• Manager not necessarily seen in a leadership role
  from those outside the organisation
• Leadership-
• Can be seen primarily as an inspirational
  process.
• Concerned more with interpersonal behaviour in a
  broader context.
• Does not necessarily take place within the
  hierarchical structure of an organisation.
• Often associated with the willing and
  enthusiastic behaviour or followers.
• People often operate as leaders without their
  role being clearly established or defined.
• Often sufficient influence to bring about
  longer-term changes in attitudes and to make
  change more acceptable.

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BASIC DIFFERENCE BETWEEN LEADERSHIP AND MANAGEMENT

• OTHER DIFFERENCES (ZALEZNIK)
• Managers adopt impersonal or passive attitudes
  towards goals, whereas leaders adopt a more
  personal and active attitude.
• Manager needs to co-ordinate and balance in order
  to get people to accept solutions, whereas
  leaders create excitement in work.
• Managers maintain a low level of emotional
  involvement, whereas leaders have empathy with
  other people and give attention to what events
  and actions mean.
• Managers see themselves as guardians and
  regulators of the current state of affairs with
  which they identify. Leaders work in but do not
  belong to the organisation and their sense of
  identity does not depend on membership or work
  roles.
• Management may arguably be viewed more in terms
  of
• planning, organising, directing and controlling
  the activities
• of subordinate staff. Leadership places more
  emphasis on
• communicating with, motivating, encouraging and
  involving
• people.

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THE 7-S ORGANISATIONAL FRAMEWORK

• Watson has applied the differences between
• management and leadership to the 7-S
  organisational
• framework. He suggests that managers place
  reliance
• on-
• Strategy
• Structure
• Systems
• whereas leaders have an inherent inclination for
• utilisation of the soft aspects.
• Style
• Staff
• Skills
• Shared Goals

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LEADERSHIP

• A leader may be
• imposed
• formally appointed or elected
• chosen informally
• emerge naturally through the demands of the
  situation or the wishes of the group
• Leadership may be
• attempted
• successful
• effective
• Remember you can be appointed a manager but
• you are not a leader until your appointment is
• ratified in the hearts and minds of those who
  work
• for you. (Adair quoted in Mullins, 1996249)

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POWER AND LEADERSHIP INFLUENCE

• Five Main Sources of Power (French and Raven)
• Reward Power
• Coercive Power
• Legitimate Power
• Referent Power
• Expert Power
• These sources of power are based on the
  subordinates
• perception of the influence of the leader,
  whether real or not.
• The five sources are interrelated and the use of
  one type may
• affect the ability to use another type.
• The same person may use different types of power
  at
• different times according to the circumstances

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LEADERSHIP

• HISTORICAL VIEWS OF LEADERSHIP
• Trait Approaches To Leadership
• Behavioural Approaches To Leadership
• LEADERSHIP THEORIES UPON WHICH MOST
• LEADERSHIP RESEARCH IS BASED
• CONTINGENCY THEORIES
• The LPC Theory (Fielder)
• The Path-Goal Theory
• The Vroom-Yetton-Jago Model
• The Hersey and Blanchard Model
• Substitutes for Leadership

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1. TRAIT APPRAOCHES TO LEADERSHIP

• This approach attempted to identify stable and
• enduring characteristics that differentiated
  effective
• leaders from non-effective leaders.
• Those with such personality characteristics,
  which
• are either inherited or developed early in life,
  will
• emerge as leaders in most situations.
• Research focused on-
• identification of leadership traits
• development of measurements
• using the methods to select leaders.
• Earliest writers believed that important
  leadership traits
• included intelligence, dominance,
  self-confidence,
• energy, activity and task-relevant knowledge.

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1. TRAIT APPRAOCHES TO LEADERSHIP

• Three Basic Assumptions-
• 1. In order to be an effective leader, an
  individual must have certain personal
  characteristics (traits).
• 2. Traits are stable and transferable across
  situations so that a person who leads effectively
  in one situation is equally likely to be as
  effective elsewhere.
• 3. Traits are clearly identifiable and
  measurable, which means that the leadership
  ability of a person can be predicted.
• Criticisms of the Trait Approach
• Further research gave rise to a list of traits
  which was too long to be of any practical value.
  
• The results of many studies were inconsistent.
• The approach was very subjective - how do you
  define effectiveness? Success can be due to
  factors other than leadership e.g. old boys
  network, inherited wealth.
• Ignores situational variables and impact on
  behaviour.
• Trait approach was more or less abandoned several
• decades ago, however recently some interest has
• resumed in this area.

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BEHAVIOURAL APPROACHES TO LEADERSHIP

• The behavioural approach tried to identify
• behaviours that differentiated effective leaders
• from non-leaders.
• Late 1940s, move from trait approach to the
  study of leadership as an observable process or
  activity.
• The behavioural approach included the Michigan
  studies, the Ohio State studies and the
  leadership grid.
• A. The Michigan Studies
• Two basic forms of leader behaviour were
  identified
• Job-Centred - leaders primary concern is
  efficient
• completion of the task.
• Employee-Centred - main concern is with high
• performance accomplished by attention to human
• aspects of the group.
• These two dimensions lay at the extremes of a
• continuum.

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BEHAVIOURAL APPROACHES TO LEADERSHIP

• B. The Ohio State Studies
• Conducted late 40s/early50s (same as Michigan
  studies)
• Researchers developed a questionnaire to assess
  subordinates perceptions of their leaders
  behaviour.
• Two most significant behaviours identified were
  consideration behaviour and initiating-structure
  behaviour. These are seen as two independent
  dimensions of leader behaviour.
• Consideration Behaviour - The extent to which a
• leader is likely to have job relationships
  characterised by
• mutual trust, respect for subordinates ideas and
  regard
• for their feelings.
• Initiating-Structure Behaviour - Involves clearly
• defining the leader-subordinate roles so that
• subordinates know what is expected of them.

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BEHAVIOURAL APPROACHES TO LEADERSHIP

• B. The Ohio State Studies
• Leader effectiveness was defined in terms of two
  group
• outcomes
• task completion
• member satisfaction.
• The two dimensions of leader behaviour had
  different
• implications for these outcomes
• High initiating structure
• highly productive in terms of task completion
• grievance rates and turnover also high.
• High consideration behaviour
• high morale and member satisfaction
• low productivity
• Theorists drew the conclusion that the ideal
  leader should be high on both dimensions - in
  practice this is very difficult if not
  impossible.

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BEHAVIOURAL APPROACHES TO LEADERSHIP

• C. The Leadership Grid (Blake and Mouton, 1964)
• The findings of the Ohio State and Michigan
  studies have
• found practical application in leadership
  training for
• managers and supervisors.
• The Grid is intended for use as a diagnostic
  tool in the
• first stage of an Organisation Development
• programme. It evaluates leader behaviour along
  two
• dimensions
• concern for production
• concern for people.
• It suggests that effective leadership styles
  include high
• levels of both behaviours. However, one
  criticism is that
• this has never been convincingly demonstrated.

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BEHAVIOURAL APPROACHES TO LEADERSHIP

• CONCLUSIONS - BEHAVIOURAL APPROACHES
• All attracted considerable attention from
  managers and behavioural scientists.
• Moved leadership away from narrow trait theory.
  However still give a universalist view of
  leadership - one best style for all occasions.
• Later research found significant weaknesses -
  not always supported by research and some found
  to be ineffective.
• Most basic shortcoming was that they failed to
  identify universal leader-behaviour and
  follower-response patterns and relationships.
• Also ignore the importance of the situation.
• Valuable in that they identified several
  fundamental leader behaviours used in leadership
  theories today.

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CONTINGENCY THEORIES OF LEADERSHIP

• FIEDLERS LPC (LEAST PREFERRED CO-WORKER) MODEL
  (1967)
• This theory of leadership suggests that a
  leaders effectiveness depends on the situation
  therefore a leader could be effective in one
  situation or organisation and not in another.
• The most appropriate style of leader behaviour is
  that which results in high task performance.
• It attempts to explain and reconcile both the
  leaders personality and the complexities of the
  situation.
• Fiedler considers that since a leaders style is
  a function of the individuals personality, it is
  relatively fixed and unchanging.

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CONTINGENCY THEORIES OF LEADERSHIP

• This is said to be the outcome of two factors
• 1. The preferred behavioural style of the leader
  i.e. Task Versus Relationship Motivation
• - Task motivation is similar to job-centred and
  initiating
• structure leader behaviour.
• - Relationship motivation is similar to
  employee-centred
• and consideration leader behaviour.
• 2. The contextual circumstances in which the
  group operates i.e. Situational Favourableness
• - leader-member relations - quality of the
  relationship between
• leader and followers.
• - task structure - is it clear and unambiguous?
• - leader position power - formal organisational
  authority vested
• in the supervisors role.
• If a persons style does not fit the
  circumstances, there are two alternatives - the
  leader can be removed and a new one appointed, or
  the circumstances must be changed i.e. improve
  leader-member relations, increase or lower task
  structure, enhance leader position power.

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CONTINGENCY THEORIES OF LEADERSHIP

• THE PATH-GOAL THEORY OF LEADERSHIP (Evans and
  House)
• Effective leadership consists of selecting the
  most appropriate style of behaviour for a given
  situation.
• Focuses on the situation and leader behaviours
  rather than on fixed traits of the leader.
• Believes that leaders may change their styles to
  meet the prevailing circumstances.
• Path-goal theory defines an appropriate style as
  one which achieves two important outcomes
• tasks are successfully completed
• followers achieve other valued outcomes for
  completing the task.
• Leaders are advised to vary their behaviours in
• response to such situational factors as personal
• characteristics of the subordinates and the
• characteristics of the environment.

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CONTINGENCY THEORIES OF LEADERSHIP

• THE PATH-GOAL THEORY OF LEADERSHIP (Evans and
  House)

LEADERS BEHAVIOUR Directive Supportive Participa
tive Achievement- Oriented
SUBORDINATES MOTIVATION TO PERFORM
SITUATIONAL FACTORS
PERSONAL CHARACTERISTICS OF SUBORDINATES Locus
of Control Perceived Task Ability Experience Need
for Achievement Need for clarity
ENVIRONMENTAL CHARACTERISTICS Task
Structure Authority System Work Group
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CONTINGENCY THEORIES OF LEADERSHIP

• THE VROOM-YETTON-JAGO MODEL OF LEADERSHIP
• much narrower in focus than many contingency
  theories
• deals only with the decision making aspect of
  leadership
• this model of leadership attempts to prescribe
  how much participation subordinates should be
  allowed in making decisions
• two criteria are used to evaluate the
  effectiveness of a decision
• decision acceptance - whether subordinates
  embrace a decision and commit themselves to its
  implementation
• decision quality - whether a decision results in
  effective task performance

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CONTINGENCY THEORIES OF LEADERSHIP

• THE VROOM-YETTON-JAGO MODEL OF LEADERSHIP
• Argues that most leaders can change their
  patterns of behaviour
• Manager chooses a style ranging from autocratic
  to highly participative based on two criteria
• whether the decision affects an individual or a
  group
• whether the leader sees speed in decision-making
  as a priority
• The choice will fall into one of four categories
• decision affects individual fast decision
  required
• decision affects individual slower decision
  permissible
• decision affects group fast decision required
• decision affects group slower decision
  permissible
• Appropriate style is selected using a decision
  tree.

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CONTINGENCY THEORIES OF LEADERSHIP

• THE HERSEY AND BLANCHARD
• MODEL (Situational Leadership Theory)
• This model of leadership identifies different
  combinations
• of leadership presumed to work best with
  different levels of
• organisational maturity on the part of the
  followers.
• Developed as a consulting tool.
• Based on the notion that appropriate leader
  behaviour depends on the readiness (maturity) of
  the leaders followers.
• Readiness depends on the subordinates degree of
  motivation, competence, experience, and interest
  in accepting responsibility.
• As the readiness of the followers improves, the
  leaders basic style should also change.

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CONTINGENCY THEORIES OF LEADERSHIP

• THE HERSEY AND BLANCHARD
• MODEL (Situational Leadership Theory)
• SUBORDINATE READINESS LEADER
  BEHAVIOUR
• Low Telling Style
• Low to Moderate Selling Style
• Moderate to High Participating Style
• High Delegating
• LIMITATIONS
• Each individual has unique readiness level - how
  are these addressed by leaders in team
  situations?
• Only one contingency factor addressed i.e.
  follower readiness. Yet other work has identified
  other influential factors such as the nature of
  the task.
• That all leaders can adapt style to fit every
  situation is questionable.
• Accurate diagnosis of the extent of subordinate
  readiness is essential, yet not all managers may
  have the necessary skills to do this.
• Not strongly supported by scientific research.

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CONTINGENCY THEORIES OF LEADERSHIP

• SUBSTITUTES FOR LEADERSHIP (Kerr and Jermier
  1978)
• Almost all leadership theories assume that a
  leader is a vital necessity if a group is to
  perform well.
• However some highly skilled professionals can
  operate without supervision.
• Kerr and Jermier suggest that circumstances where
  leadership can be relatively unimportant fall
  into two classes
• leadership substitutes - situational factors that
  enable subordinates to function well without
  leader guidance
• leadership neutralisers - workplace factors that
  remove the capability of a leader to influence
  subordinate behaviour.
• Substitutes and neutralisers emanate from three
  possible sources
• the characteristics of the followers
• the characteristics of the task
• the characteristics of the organisation.

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LEADERSHIP

• SUMMARY OF KEY POINTS
• Leadership is both a process and a property.
  Leadership and management are related but
  distinct phenomena.
• Early leadership research attempted to identify
  important traits and behaviours of leaders
  Michigan Studies, Ohio State Studies, Leadership
  Grid.
• Newer contingency theories of leadership attempt
  to identify appropriate leadership styles on the
  basis of the situation.
• Fiedler suggests that a leaders behaviour is
  relatively fixed and unchanging.
• The Path-Goal theory focuses on appropriate
  leader behaviour for various situations.
  Presumes that leaders can alter their behaviour
  to best fit the situation.
• The Vroom-Yetton-Jago model suggests appropriate
  decision-making styles based on situational
  characteristics.
• The Hersey and Blanchard model acknowledges that
  leader behaviour toward a particular group needs
  to change as a function of the readiness of the
  followers.
• Kerr and Jermier consider circumstances when
  leadership can be relatively unimportant.

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LEADERSHIP

• VARIABLES AFFECTING LEADERSHIP
• EFFECTIVENESS (Mullins)
• Characteristics of the manager personal
  credibility of the manager
• Characteristics of the subordinates
• Relationships
• Type, nature and development stage of the
  organisation
• Nature of the tasks
• Organisation structure and systems of management
• Type of problem and the nature of the managers
  decisions
• Nature and influence of the external environment
• Social structure and culture of the organisation
• Influence of national culture

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LEADERSHIP

• The superior leader gets things done with little
• motion. He imparts instructions not through many
• words, but through a few deeds. He keeps
  informed
• about everything, but interferes hardly at all.
  He is
• a catalyst, and though things would not get done
  as
• well if he werent there, when they succeed, he
  takes
• no credit. And because he takes no credit,
  credit
• never leaves him.
• LAO-TZU (Sixth Century B.C.)
• Philosopher

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ESSENCE OF LEADERSHIP(Kakabadse and
Norac-Kakabadse, 1999)

• A survey, covering 8,000 organisations across 14
  countries, explored every aspect of leadership
  technique and philosophy and examined best
  practice as exhibited by international business
  leaders.
• The overall finding was that leadership qualities
  are all learned.
• What really counts is learning, development and
  willingness to adapt.
• No evidence found for inherent leadership traits
  - it all came down to development.
• When cultural characteristics affected the
  effectiveness of an organisation, they were
  organisational and not related to country or
  ethnicity.
• Even then, the relevance of organisational
  cultural characteristics only came to the surface
  in poorly run companies. The only
  differentiating factors were good and bad
  leadership.
• No differences in leadership style related to
  gender.

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ESSENCE OF LEADERSHIP(Kakabadse and
Norac-Kakabadse, 1999)

• Main differentiators were
• Tenure - how long in post and how long in
  organisation i.e. age and experience did play a
  role
• Attitude - predominantly inward-looking or
  outward-looking.
• The best leaders by far were those who
• Had a markedly outward-looking attitude
  (market-oriented)
• Had been in their job and in the organisation for
  a long time
• Were mature in that they accepted the
  responsibilities of their own actions and
  developed their people.
• The best managers were those who
• Had been senior managers for 5-9 years
• Had been in the organisation for 15 years.
• On the basis of the measures of leadership
  performance used - an older manager is far better
  than a young manager.

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ESSENCE OF LEADERSHIP(Kakabadse and
Norac-Kakabadse, 1999)

• The worst aspects of leadership came from younger
  managers especially those who
• Were well educated
• Intellectually very bright.
• They made the worst decisions because
• They turned strategic concerns into operational
  concerns
• Wanted to make a short-term impact (18-24
  months).
• However, a whole list of demographics would be
  needed to assess what really makes an effective
  leader e.g. age, education, background, income,
  social class etc.
• Kakabadse argues that the major challenge of the
  future for top leaders will be shifting mindsets
  from delivery effectiveness to corporate
  philosophy.

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ESSENCE OF LEADERSHIP(Kakabadse and
Norac-Kakabadse, 1999)

• This will involve greater attention to
  shareholders, and also to mergers, acquisitions,
  positioning in the marketplace, and corporate as
  opposed to product branding.
• Top leaders will have to address corporate
  structures, corporate philosophies and corporate
  capability as opposed to just product and service
  capability.
• One third of the companies surveyed had directors
  who could not share viewpoints.
• In two thirds there were issues which were so
  sensitive they were difficult to discuss.
• Only one third of the companies surveyed were
  being led well.

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FOUR POPULAR MYTHS ABOUT LEADERSHIP Goffee and
Jones (2000)

• 1. Everyone can be a leader. Not true
• Many executives do not have the self-knowledge or
  the authenticity necessary for leadership
• Many employees, including talented individuals,
  do not want to become leaders
• Other want to devote more time to their private
  lives.
• 2. Leaders deliver business results. Not always
• If results were always a matter of good
  leadership, picking leaders would be easy
• Businesses in quasi-monopolistic industries can
  often do very well with competent management
  rather than great leadership
• Equally, some well-led businesses do not
  necessarily produce results, particularly in the
  short term.

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FOUR POPULAR MYTHS ABOUT LEADERSHIP Goffee and
Jones (2000)

• 3. People who get to the top are leaders. Not
  necessarily
• People who make it to the top may have done so
  because of political acumen, not true leadership
  quality
• Real leaders are found all over the organisation,
  top to bottom - leaders are simply people who
  have followers.
• 4. Leaders are great coaches. Rarely
• General belief that good leaders ought to be good
  coaches - assumes that a single person can both
  inspire the troops and impart technical skills
• Although a person can be both, more typical are
  leaders whose distinctive strengths lie in their
  ability to excite others through their vision
  rather than through their coaching talents.

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Leadership In The 21st Century

• A leader
• Recognises the need for change
• Identifies the direction - having some sort of
  coherent, believable vision of what the future
  should look like
• Communicates this vision to those who are likely
  to help achieve it
• Empowers those employees accordingly.
• Pencheon and Koh, 2000)
• Leadership in the 21st century
• The concept of an organisation itself as a
  learning and evolving organism transforms the
  basis of what leadership is about.
• The combined knowledge of an organisation
  (explicit and tacit) is what determines
  competitive edge a key leadership task is to use
  this knowledge effectively.
• Leading people in predetermined ways restricts
  development to that predetermined way.
• Leaders have to behind the workforce, empowering
  them. Leading from the front is obsolete.
• The most critical feature of the new leaders
  will be the capacity to hold the dream in the
  face of increasing turbulence and uncertainty.
  (Bagshaw and bagshaw, 1999)

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Why Should Anyone Be Led By You?

• In addition to vision, energy, authority and
  strategic
• direction, Goffee and Jones (2000) argue that
• inspirational leaders also share four unexpected
• qualities
• They selectively show their weaknesses. By
  exposing some vulnerability, they reveal their
  approachability and humanity.
• They rely heavily on intuition to gauge the
  appropriate timing and course of their actions.
  Their ability to collect and interpret soft data
  helps them know just when and how to act.
• They manage employees with tough empathy.
  Inspirational leaders empathise passionately -
  and realistically - with people, and they care
  intensely about the work employees do.
• They reveal their differences. They capitalize
  on what is unique about themselves.

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LEADERSHIP

• Giving people clarity of direction and a sense
• of purpose are central to leadership.
• When a cleaner in the NASA corridors was
• asked what he was doing, he replied that he
• was helping put a man on the moon.
• He was working for an organisation with a clarity
  of purpose.