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BEING AN

EFFECTIVE
LEADER

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LEARNING OBJECTIVES
1. Define leader and leadership.
2. Compare and contrast early theories of leadership.
3. Describe the three major contingency theories of
leadership.
 Develop your skill at choosing an effective leadership
style.
4. Describe contemporary views of leadership.
5. Discuss contemporary issues affecting leadership.
 Know how to prepare for an effective transition to a
leadership position.

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WHAT IS YOUR PERSONAL DEFINITION OF A
GOOD LEADER?

Everyone give examples you have come across of


strong and weak leadership. Why you consider him/her
so…?

You can use examples from employment, academic


studies or participation in sports clubs and societies
(keep anonymous)

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WHO ARE LEADERS AND
WHAT IS LEADERSHIP?
Leader – someone who can influence
others and who has managerial authority.
• Leadership – what leaders do; the
process of influencing a group to
achieve goals.
• Ideally, all managers should be leaders.

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WHY LEADERS ARE IMPORTANT?

 Leaders set direction, build an inspiring vision for the future,


and develop their team members’ potential.They initiate action,
motivate employees, provide guidance, create confidence and
build employee morale.

 Therefore, Leaders must have strong communication, delegation


and decision-making skills, as well as the ability to adopt a
flexible leadership style.

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“A leader takes people where they
want to go. A great leader takes
people where they don’t necessarily
want to go, but ought to be.”
-Rosalynn Carter

Theories of Leadership
THE GREAT MAN THEORY (1840)

– The Great Man theory evolved


around the mid 19th century.
– It assumes that the traits of
Leadership are natural by born.
That simply means that great
leaders are born and not made.
– This theory sees great leaders as
those who are destined by birth to
become a leader. Furthermore, the
belief was that great leaders will
rise when confronted with the
appropriate situation.

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TRAIT THEORIES(1920S -1930S)

 Research focused on identifying personal characteristics that


differentiated leaders from non-leaders was unsuccessful.
 Certain traits shared by leaders that are lacking among non-
leaders.
• Such traits as intelligence, charisma, and courage
• These traits may be genetic or/and acquired
 Criticism:
 It proved impossible to identify a set of traits that would always
differentiate a leader (the person) from a non-leader.

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EXHIBIT 17-1
EIGHT TRAITS ASSOCIATED WITH
LEADERSHIP

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BEHAVIORAL THEORIES
Behavioral theories of leadership are based upon the belief that
great leaders are made, not born. Rooted in behaviorism, 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
University of Iowa Studies
– Identified three leadership styles
• Autocratic
• Democratic
• Laissez-faire (Free Reign)

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UNIVERSITY OF IOWA STUDIES (CONT.)

• Autocratic style – A leader who dictates work methods, makes


unilateral decisions, and limits employee participation.
• Democratic style – A leader who involves employees in decision-
making, delegates authority, and uses feedback as an opportunity for
coaching employees
• Laissez-faire style – A leader who lets the group make decisions and
complete the work in whatever way it sees fit.

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Examples
SITUATIONAL LEADERSHIP THEORY (1960)

the Situational Leadership Model, is a model created by Paul


Hersey and Ken Blanchard
With situational leadership, it is up to the leader to change
his style, not the follower to adapt to the leader’s style. In
situational leadership, the style may change continually to
meet the needs of others in the organization based on the
situation.

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SITUATIONAL LEADERSHIP THEORY (1960)

The styles vary according to:

 The amount of guidance and direction (task behavior) a


leader gives
 The amount of socioemotional support (relationship
behavior) a leader provides
 The situation that a leader faces and readiness level (level
of competency ) that followers exhibit in performing a
specific task, function, or objective.

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LEADERSHIP CONTINGENCY THEORY (1960)

 Situational Leaders learn to demonstrate four core,


common and critical leadership competencies:
 Diagnose: “Understand the situation they are trying to
influence”
 Adapt: “Adjust their behavior in response to the contingences
of the situation”
 Communicate: “Interact with others in a manner they can
understand and accept”
 Advance: “Manage the movement”

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AGAIN

In situational leadership Theory, the style may


change continually to meet the needs of others in
the organization based on the situation and also
according to the followers’ readiness (competence
level) to one of the following styles:

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LEADERSHIP CONTINGENCY THEORY (1960)

Telling And Directing (low competence)


In telling/directing, the leader of the organization is the
one making the decisions and informing others in the
organization of the decision. With this style of
leadership, it is a very top-down approach and the
employees simply do exactly what they are told.

HIGH TASK – LOW REALTIONSHIP

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LEADERSHIP CONTINGENCY THEORY (1960)

 Selling And Coaching (moderate competence)


 The decisions still ultimately lie with the leader, however,
input is requested from the employees before the decision
is implemented. With this style of situational leadership,
employees are still supervised but it is in more of a coaching
manner rather than a management manner. This style
typically works well with those who are inexperienced and
still learning. It involves direct praise to increase their
confidence and self-esteem.

 HIGH TASK – HIGH REALTIONSHIP

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LEADERSHIP CONTINGENCY THEORY (1960)

Participating And Supporting (Moderately high


Competence)
The participating and supporting style of situational
leadership passes more responsibility to the
employees or followers. While the leader still provides
some direction, the decisions ultimately lie with the
follower. The leader is there to provide feedback and
to increase their confidence and motivation with
praise and feedback for the tasks completed.
LOW TASK – HIGH REALTIONSHIP
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LEADERSHIP CONTINGENCY THEORY (1960)

Delegating to Employees (very high competence)


 Delegating is the situational leadership style where the leader
is involved the least amount with the employees. The
employees are responsible for choosing the tasks and the
directions they will take. Although the leader may still be
involved for direction or feedback purposes, it is on a much
lower level than with other situational leadership styles. With
this style of leadership, the employees know their role and
perform it with little supervision required.
LOW TASK – LOW REALTIONSHIP

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Situational Leadership Theory (1960)
S1 – TELLING (DIRECTING) STYLE

Leader focuses
S1 communication on goal
achievement
Spends LESS time using
High Task
Low Relationship supportive behaviors

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S2 – SELLING (COACHING) STYLE

 Leader focuses
communication on BOTH goal
S2
achievement and supporting
subordinates’ socioemotional
High Task needs
High Relationship  Requires leader involvement
through encouragement and
soliciting subordinate input

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S3 – PARTICIPATIVE (SUPPORTING) STYLE

Leader does NOT focus


solely on goals; uses
S3
supportive behaviors to
bring out employee skills in
Low Task accomplishing the task
High Relationship Leader delegates day-to-
day decision-making
control, but is available to
facilitate problem solving

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S4 - DELEGATING STYLE

 Leader offers LESS task input


and social support; facilitates
S4 subordinates’ confidence and
motivation in relation to the
task
Low Task  Leader lessens involvement
Low Relationship in planning, control of details,
and goal clarification
 Gives subordinates control
and refrains from
intervention and unneeded
social support
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CONTEMPORARY VIEWS OF LEADERSHIP

• Leader-member exchange theory (LMX) –

• the leadership theory that says leaders create


in-groups and out-groups and those in the in-
group will have higher performance ratings,
less turnover, and greater job satisfaction.

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CONTEMPORARY VIEWS OF LEADERSHIP

• Leader-member exchange theory (LMX) –

• The goal of LMX theory is to explain the effects of


leadership on members, teams, and organizations.
According to the theory, leaders form strong trust,
emotional, and respect-based relationships with some
members of a team, but not with others. LMX theory claims
that leaders do not treat each subordinate the same. The
work-related attitudes and behaviors of those subordinates
depend on how they are treated by their leader.

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CONTEMPORARY VIEWS OF LEADERSHIP
(CONT.)
• Transactional leaders – Transactional leaders use
disciplinary power and an array of incentives to motivate
employees to perform at their best. The term
“transactional” refers to the fact that this type of leader
essentially motivates subordinates by exchanging rewards
for performance.
• Transformational leaders – A transformational leader
goes beyond managing day-to-day operations and crafts
strategies for taking his company, department or work
team to the next level of performance and success. These
leaders set goals and incentives to push their subordinates
to higher performance levels, while providing opportunities
for personal and professional growth for each employee.

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WHAT IS THE DIFFERENCE BETWEEN
POWER & AUTHORITY?

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WHAT ARE DIFFERENT SOURCES OF
POWER?

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LEADERSHIP & POWER
Five Sources of Power
 REFERENT POWER – Based on followers’ identification and
liking for the leader.
 ex. A teacher who is adored by students has referent power.

 EXPERT POWER – Based on followers’ perceptions of the


leader’s competence.
 ex. A tour guide who is knowledgeable about a foreign country has
expert power.
 LEGITIMATE POWER – the power a leader has as a result of his or her
position.
 ex. A judge who administers sentences in the courtroom exhibits
legitimate power

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LEADERSHIP & POWER
Five Bases of Power
 REWARD POWER – Derived from having the capacity to
provide rewards to others.
 ex. A supervisor who gives rewards to employees who work hard is using
reward power.

 COERCIVE POWER – Derived from having the capacity to


penalize or punish others.
 ex. A coach who sits players on the bench for being late to practice is
using coercive power.

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REVIEW QUESTIONS

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EXERCISES –CHOOSE ONE BEST ANSWER

1) In her speech the previous day, the new CEO had discussed his
experience in the industry and his education. Carrie thought that
the new CEO would do a great job given these characteristics,
coupled with his good oratory skills and the fact that he just looked
like a CEO. Carrie realized that she had been judging the new
CEO in a manner consistent with the ________ theories of
leadership. 1) _______

A) contingency B) situational C) behavioral D) trait

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EXERCISES –CHOOSE ONE BEST ANSWER

2) Which of the following describes the leadership style in which a


leader tends to centralize authority, dictate work methods, make
unilateral decisions, and limit employee participation? 2)
_______

A) authoritarian style
B) autocratic style
C) laissez-faire style
D) democratic style

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EXERCISES –CHOOSE ONE BEST ANSWER
3) The ________ style of leadership describes a leader who tends
to involve employees in decision making, delegate authority,
encourage participation in deciding work methods and goals, and
use feedback as an opportunity for coaching employees. 3)
_______

A) autocratic B) laissez-fair C) participative D) democratic

4) The ________ theory is a contingency theory that focuses on


followers' readiness. 4) _______

A) adjustable leadership B) facilitative leadership


C) situational leadership D) adaptive leadership

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EXERCISES –CHOOSE ONE BEST ANSWER
5) Barbara solicits input from her subordinates before making
decisions that will affect them. She often praises them for good
work and gently offers suggestions to improve their performance.
Barbara uses the ________ style of leadership. 5) _______

A) participative B) autocratic C) supportive D) democratic

6) Which of the following leadership styles describes a leader who


provides little direction or support? 6) _______

A) telling B) selling C) participating D) delegating

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EXERCISES –CHOOSE ONE BEST ANSWER
7) According to Hersey and Blanchard, a high task-low relationship
situation calls for the ________ leadership style. 7) _______

A) telling B) selling C) delegating D) participating

8) Which of the following leadership styles describes a leader who


provides both directive and supportive behavior? 8) _______

A) telling B) selling C) participating D) delegating

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EXERCISES –CHOOSE ONE BEST ANSWER
9) Jeremy is not in the habit of deciding everything on his own. He
involves his team in the decision-making process as much as
possible. He believes in communicating clearly and is always
ready to help his team to get the best out of them. Jeremy's
leadership style will be classified as which of the following? 9)
_______

A) telling B) selling C) participating D) delegating

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EXERCISES –CHOOSE ONE BEST ANSWER
10) When Alan was promoted to the head of the sales team at Mac
Software Inc., he chose three of his closest friends in the team to
form the core sales group with him. Which of the following
predictions would be consistent with the LMX theory? 10)
______

A) Job satisfaction is more likely to be higher for the team members


who are not a part of the core group.
B) Such an arrangement eventually becomes unstable.
C) Team members who are not a part of Alan's core group are
actually far more competent than his friends who form the core team.
D) There will be a higher turnover among team members who are
not a part of the core group.

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EXERCISES –CHOOSE ONE BEST ANSWER
11) A leader, such as Bill Gates of Microsoft, who can inspire
followers above their own self-interests and can have a profound
effect on their performance, is known as a(n) ________. 11)
______

A) transactional leader
B) informational leader
C) directive leader
D) transformational leader

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EXERCISES –CHOOSE ONE BEST ANSWER

14) Which of the following is the type of power a person has because
of his or her position in the formal organizational hierarchy?
14) ______

A) coercive power B) reward power


C) legitimate power D) expert power

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EXERCISES –CHOOSE ONE BEST ANSWER
15) Juan is the person employees go to when knowledge of a topic
was needed. Juan holds ________ power. 15) ______

A) expert B) legitimate C) reward D) referent

16) Clay is the person employees go to when they are to receive


special recognition. Clay holds ________ power. 16) ______

A) legitimate B) referent C) coercive D) reward

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EXERCISES –CHOOSE ONE BEST ANSWER
17) ________ is the power that arises because of a person's
desirable resources or personal traits. 17) ______
A) Reward power B) Referent power
C) Legitimate power D) Expert power

18) Tamera is the person employees go to when disciplinary action is


necessary. Tamera holds ________ power. 18) ______

A) reward B) expert C) legitimate D) coercive

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EXERCISES –CHOOSE ONE BEST ANSWER
19) When a young child emulates a professional sports star's
behavior, what kind of power does the star have over the child?
19) ______

A) legitimate B) coercive C) referent D) expert

20) One general conclusion that surfaces from leadership research


is that ________. 20) ______
A) managers always make good team leaders
B) women usually make better transactional leaders than men
C) effective leaders do not use any single style
D) national culture is one situational variable which in reality has a
limited impact on leadership style

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