Chapter Fourteen

Power, Influence &

Leadership

E14-1

Leadership

Leadership: is the ability to influence employees to

voluntarily pursue organizational goals.

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E14-2

Managers Vs. Leaders

Managers

Leaders

What needs to be
doneplanning and
budgeting

What needs to be
donesetting a
direction

Management is working
with and through others
to accomplish
organizational goals.

Leadership is
influencing work that
other people do.

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2006 The McGraw-Hill Companies, Inc. All rights reserved.

E14-3

1)
2)
3)
4)
5)

Five Sources of Power

Legitimate Power all managers have; results from

managers formal positions within the organization
Reward Power all managers have; results from
managers authority to reward their subordinates
Coercive Power all managers have; results from the
managers authority to punish their subordinates
Expert Power is power resulting from ones
specialized information or expertise
Referent Power power derived from ones personal
attraction

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E14-4

Influence

9. Legitimating Tactics

1. Rational persuasion
Influencing
Others

8. Pressure Tactics

7. Coalition Tactics

2. Inspirational appeals
6. Exchange Tactics
3. Consultation
4. Ingratiating techniques
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5. Personal Appeals

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Rational persuasion: Trying to convince someone by using reason,

logic, or facts.

Inspirational appeals: Trying to build confidence by appealing to others

emotions, ideals, or values.

Consultation: Getting others to participate in a decision or change.

Ingratiating tactics: Acting humble or friendly or making someone feel

good or feel important before making a request.

Personal appeals: Friendship and loyalty when making a request.

Exchange tactics: Reminding someone of past favors or offering to trade

favors.

Coalition tactics: Getting others to support your effort to persuade

someone.

Pressure tactics: Using demands, threats, or intimidation to gain

compliance.

Legitimating tactics: Basing a request on ones authority, organizational

rules or policies, or express or implied support from superiors.

E14-5

1)
2)
3)
4)

Five Approaches to Leadership

Trait
Behavioral
Contingency
Full-range

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E14-6

Trait Approach

Trait Approach to Leadership

Traits can be developed through
experience and learning
Important when selecting and choosing
candidates for leadership positions

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E14-7
Panel 14.2

1)
2)
3)
4)

The Leadership Traits Bossidy

Looks for in Job Candidates

Ability to execute
A career runway
A team orientation
Multiple experiences

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E14-8

Emotional Intelligence

Emotional Intelligence: the ability to cope,

empathize with others and be selfmotivated.

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E14-9

The Traits of Emotional

Intelligence
3. Social awareness

1. Self-awareness

Emotional
Intelligence
2. Self-management

4. Relationship
management

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E14-10
Panel 14.4

Where Female Executives Do

Better: A Scorecard

Skill

Men

Women

Motivating Others

Fostering communication

Producing high-quality work

Strategic planning

Listening to others
Analyzing issues

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*
2006 The McGraw-Hill Companies, Inc. All rights reserved.

E14-11

Behavioral Leadership
Approaches

Behavioral Leadership Approaches: attempts to

determine the distinctive styles used by effective
leaders
Leadership styles combination of traits, skills and
behaviors that leaders use when interacting with others.
3 Models - The University of Michigan
Leadership Model
- The Ohio State Leadership Model
- The Leadership Grid Model

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E14-12

The University of Michigan

Leadership Model

Job-centered Behavior: managers pay more attention

to the job and work procedures
Employee Centered Behavior: managers pay more
attention to the employee satisfaction.

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The Ohio State Leadership Model

E14-13

Initiating Structure: leadership behavior that organizes

and defines what group members should be doing
Consideration: leadership behavior that expresses
concern for employees by establishing a warm, friendly,
and supportive climate
Effective Leaders:
Have supportive or employee-centered relationship

Use groups rather than individual methods of supervision

Set high performance goals

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E14-15
Panel 14.5

The Leadership Grid Model

Concern for people

High

Country club
1,9

Team
9,9

Middle-of-the-road
5,5

Impoverished
1,1

Low

Low

Task
9,1

High

Concern for production

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E14-16

Contingency Approach

Contingency Approach
effective leadership
behavior depends on the
situation at hand

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Contingency Approach
Situational Control
Leader-Member Relations
Do my subordinates
accept me as a leader?

Extent to which a leader has or doesnt

have the support, loyalty
and trust of group

Task-Structure
Do my subordinates
perform unambiguous,
easily understood tasks?

Extent to which the tasks are routine,

unambiguous/clear and
easily understood

Position Power
Do I have power to
reward and punish,
employ and fire?

How much power a leader has to

make work assignments and
reward and punishments

E14-17

Fiedlers Approach

Contingency Leadership Model determines correct

match between leadership style and the situation at
hand

Task-oriented Leadership

Is best under
situations of high or
low control

Relationship-oriented

Is best under
situations of moderate
control

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E14-21

Situational Leadership

Situational Leadership Theory leadership behavior

reflects how leaders should adjust their leadership style
according to the readiness of the followers
Readiness the extent to which a follower has the ability
and willingness to complete a task

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Hersey & Blanchards Situational Leadership

Model

E14-22

Leader Behavior

Relationship Behavior
(supportive behavior)

High

Participating
S3
Share ideas and
facilitate in
decision
making
Delegating
S4
Turn over
responsibility for
decisions and
implementation

Low
Low

High
R4

Telling
S1
Provide specific
instructions and closely
supervise performance

Task Behavior
(directive)
Follower Readiness
Moderate
R3
R2
Follower-Directed

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Selling
S2
Explain decisions
and provide
opportunity for
clarification

High

Low
R1

Leader-Directed
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Telling Style (High directing,

Low Supporting)
Leaders are more concern about putting
plans for followers, organizing them and
their work, and also monitoring them
closely.
Followers generally lacking the specific
skills required for the job in hand and lacks
any confidence.

Selling Style (High directing,

High Supporting)
Followers start to learn and how to influence
what they are doing, by getting answers to their
questions.
Followers may have some relevant skills, but
won't be able to do the job without help. The
task or the situation may be new to them.
Followers will selling their ideas.

Participating Style (Low

directing, High Supporting)
Leader is giving more trust to the followers, and
give them more space to express, ask, and look
for answers but when it comes to making the
decision he is the boss.
Followers experienced and capable, but may
lack the confidence to go it alone, or the
motivation to do it well.

Delegating Style (Low directing,

Low Supporting)
Leader already have full trust in the ability
of the followers, and the ability in doing
things in their way.
Followers experienced at the job, and
comfortable with their own ability to do it
well.

E14-23

Full Range Leadership: From Laissez-Faire,

Through Transactional, to Transformational

Full range leadership: suggests that leadership

behavior varies along a full range of leadership styles,
from laissez-faire, through transactional leadership, to
transformational leadership.
Transactional leadership: focusing on clarifying
employees roles and task requirements and providing
rewards and punishments contingent on performance.
Transformational leadership: transforms employees
to pursue organizational goals over self-interests.

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Key Behaviors of Transformational

Leaders
Inspirational motivation
Let me share a vision that transcends us all
Attracts commitment, energizes workers, creates
meaning in their lives

Idealized influence
We are here to do the right thing
Inspire trust and display high ethical standards

Individualized consideration
You have the Opportunity to Grow & Excel
Empowerment, one-on-one mentoring

Intellectual stimulation
Question the situation and seek creative solutions
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Inspirational motivation
Try to motivate all their followers/
subordinate/ employees by influencing
followers mind and soul.
Attracts commitment, energizes workers,
and creates meaning in their lives - which
means leaders and followers together will
achieve what they want. In other words,
make followers FEEL IMPORTANT. Without
them you as a leader you cant achieve
anything alone.

Idealized influence
Leaders make sure that follower's
BELIEVE/TRUST that leader's always
there when they need him/her.

Individualized consideration
Acts as a Mentor or Coach to the
follower and listens to the follower's
concerns and needs. Its more to
individual motivation.
You have the Opportunity to Grow &
Excel

Intellectual stimulation
Encourage creativity in their followers.
Leader's always want their follower to ask
questions and then seek for creative
solution.
Since followers feel they are important,
trust their leader's and leader's care
about them. Followers ready to give
their opinions.