Module No.

LEADING
ENGINEERING MANAGEMENT

ENG’R. ISAGANI C. FLORES

Department of Engineering and Architecture
 BATAAN HEROES COLLEGE

MODULE 8 LEADING

Module Description
The module deals with the management function to influence others to engage in work
behaviors necessary to reach the organization’s goals.

Objectives of the module :

After completing the module, the student must be able to ;
1. Explain how leaders influence others.
2. Identify the classification of power that a leader possessed.
3. Differentiate the traits of an effective leader.

Introduction
There are times when in spite of great difficulties, jobs are needed to be done, projects are
needed to be finished on time, and services are needed to be provided. Employees in the
production lines tend to be irritated by delays in the arrival of necessary production materials and
supplies. Workers complain when difficult jobs areassigned to their units. When calamities
strike, employees of public works agencies need more than wages to complete assigned tasks as
quickly as possible. These and other difficulties found in the workplaces provide sufficient
reasons for poor productivity. The situations cited require managers with effective leadership.

There are many instances, however, when the ill effects of whatever shortcomings
happen. They seriously affect the performance of workers. Effective leadership tends to
neutralize such difficulties. Good working conditions, however, cannot overcome the
disadvantages of bad leadership. These are proven by many cases which occurred in the past and
even in modern times. Successful firms regard the leadership skill requirement as a high priority

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concern. Big companies like Warner Lambert Philippines, Shell, Fuji-Xerox, and Daewoo are
seriously involved in training their managers to become effective leaders.

Engineer managers, in whatever management level they happen to be, are not exempted
from the problem of effective leadership. If this is really so, then they must be concerned with
the management function of leading.

1. WHAT IS LEADING?

Leading is that management function which "involves influencing others to engage in the
work behaviors necessary to reach organizational goals." The definition indicates that a person or
group of persons tasked with managing a group must assume the role performed by leaders.

While leading refers to the function, leadership refers to the process.

2. HOW LEADERS INFLUENCE OTHERS

Engineer managers are expected to maintain effective work forces. To be able to do so,
they are required to perform leadership roles. Leaders are said to be able to influence others
because of the power they possess. Power refers to the ability of a leader to exert force on
another.

2.1 Bases of Power

The power possessed by leaders may be classified according to various bases. They are as
follows:
1. legitimate power
2. reward power
3. coercive power
4. referent power
5. expert power

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2.1.1 Legitimate Power. A person who occupies a higher position has legitimate power
over persons in lower positions within the organization. A supervisor, for instance, can
issue orders to the workers in his unit, Compliance can be expected.

2.1.2 Reward Power. When a person has the ability to give rewards to anybody who
follows orders or requests, he is said to have reward power. Rewards may be classified into two
forms: material and psychic.

Material rewards refer to money or other tangible benefits like cars, house and lot, etc.
Psychic rewards consist of recognition, praises, etc.

2.1.3 Coercive Power. When a person compels another to comply with orders through
threats or punishment, he is said to possess coercive power. Punishment may take the form of
demotion, dismissal, withholding of promotion, etc.

2.1.4 Referent Power. When a person can get compliance from another because the latter
would want to be identified with the former, that person is said to have referent power.

2.1.4 Expert Power. Experts provide specialized information regarding their specific
lines of expertise. This influence, called expert power, is possessed by people with great skills in
technology.

The expert power exercised by environmental scientists was enough to force

governments throughout the world to pass legislations favorable to environmental protection.

3. THE NATURE OF LEADERSHIP

Leadership may be referred to as "the process of influencing and supporting others to
work enthusiastically toward achieving objectives." Leadership is expected of any manager in
charge of any unit or division.

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One cannot expect a unit or division to achieve objectives in the absence of effective
leadership. Even if a leader is present, but if he is not functioning properly, no unit or division
objectives can be expected to be achieved.

3.1 Traits of Effective Leaders

There are certain leadership traits identified by researchers and which may be useful in
developing effective leaders. These traits are as follows:
1. a high level of personal drive
2. the desire to lead
3. personal integrity
4. self-confidence
5. analytical ability or judgment
6. knowledge of the company, industry or technology
7. charisma
8. creativity
9. flexibility

3.1.1 Personal Drive. Persons with drive are those identified as willing to accept
responsibility, possess vigor, initiative, persistence, and health. Drive is a very important
leadership trait because of the possibility of failure in every attempt to achieve certain
goals. If a chosen way to reach a goal is not successful, a leader finds another way to
reach it, even if it precedes a succession of failed attempts. This will, of course, require a
high level of personal drive from the leader.

An example of a person with a high level of personal drive is Paul Mediarito, plant
director of the Polo plant of San Miguel Corporation between 1992 and 1994. He was
instrumental in radically changing the problem- riddled Polo plant to a world-class brewery with
modern technology and a work force with a new attitude. How he was able to prove himself as a
leader with enough drive is feat worth emulating.

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3.1.2 The Desire to Lead.There are some persons who have all the qualifications for
leadership, yet they could not become leaders because they lack one special requirement: the
desire to lead.

Even if they are forced to act as leaders, they will not be effective because their efforts
will be half-hearted. Leaders with a desire to lead will always have a reservoir of extra efforts
which can be used whenever needed.

3.1.3 Personal Integrity. A person who is well-regarded by others as one who has
integrity possesses one trait of a leader. One who does not have personal integrity will have a
hard time convincing his subordinates about the necessity of completing various tasks. If this is
the case, the leader will, then, resort to "exercising hisauthority and getting things done entirely
by the use orthreat of use of the coercive powers vested in him by virtue of the rank and position
he occupies in the hierarchy." If this happens, the economic and emotional costs will be too high
to be maintained for a desirable length of time. As it is, the better option is to have personal
integrity.

According to V.K. Saraf, integrity means and includes "honesty, honour, incorruptibility,
rectitude, righteousness, uprightness, and similar virtues."

3.1.4 Self-Confidence. The activities of leaders require moves that will produce the
needed outputs. The steps of conceptualizing, organizing, and implementing will be completed if
sustained efforts are made. For the moves to be continuous and precise, self-confidence is
necessary.

McKinsey and company found in a study they conducted that leaders of mid-sized, high
growth companies were "almost inevitably consummate salesmen who radiate enormous
contagious self-confidence.”

Wess Roberts was very precise when he declared the following as one of the traits of a
good leader:

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"A chieftain cannot win if he loses his nerve. He should be self-confident and self-reliant
and even if he does not win, he will know he has done his best."

3.1.5 Analytical Ability. Leaders are, oftentimes, faced with difficulties that prevent the
completion of assigned tasks. A subordinate, for instance, may have a record of continually
failing to produce the needed output. A leader with sufficient skill to determine the root cause of
the problem may be able to help the subordinate to improve his production.

The ability to analyze is one desirable trait that a leader can use to tide him over many
challenging aspects of leadership.

3.1.6 Knowledge of the Company, Industry or Technology.A leader who is well-informed

about his company, the industry where the company belongs, and the technology utilized by the
industry, will be in a better position to provide directions to his unit.

A company, for example, may be the industry leader because it satisfies the need of its
particular market, i.e., providing quality products at affordable prices. When a competing firm is
fast catching up with the leader, and the leader's managers know this, they will better serve the
interest of their company.

3.1.7 Charisma. When a person has sufficient personal magnetism that leads people to
follow his directives, this person is said to have charisma. Great personalities in history like
Napoleon Bonaparte, Julius Caesar, AdolfHitler, George Washington, Elvis Presley and others
aresaid to possess charisma. This characteristic was greatly responsible for whatever
accomplishments they achieved.

When used properly, charisma will help the leader in achieving his goals. With some
adjustments, subordinates may be expected to do their tasks willingly.

3.1.8 Creativity. Ronnie Millevo defines creativity as "the ability to combine existing
data, experience, and preconditions from various sources in such a way that the results will be

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subjectively regarded as new, valuable, and innovative, and as a direct solution to an identified
problem situation.

As leaders are tasked to provide solutions to problems besetting their particular units or
divisions, creativity will be a very useful trait. Problems, are oftentimes, complex and
challenging, and if they are, the leader will need all the creative abilities he has.

3.1.9 Flexibility. People differ in the way they do their work. One will adapt a different
method from another person's method. A leader who allows this situation as long as the required
outputs are produced, is said to be flexible.

There is wisdom in being flexible. It allows the other means of achieving goals when the
prescribed manner is not appropriate.

3.2 Leadership Skills

Leaders need to have various skills to be effective.
They are:
1. technical skills
2. human skills, and
3. conceptual skills

These skills are used in varying degrees at different management levels

Figure 8.1 Leadership Skills and Their Use at Various Management Levels

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3.2.1 Technical Skills. These are skills a leader must possess to enable him to understand
and make decisions about work processes, activities, and technology. Technical skill is the
specialized knowledge needed to perform a job. When a leader has the technical skill related to
his area of responsibility, he will be more confident in performinghis functions. The engineer
manager, for instance, must be able to perform engineering jobs, if he wants to maintain a
motivated work force.

The engineer manager of a construction firm must have sufficient technical skills to
undertake construction works. The manager of an electrical engineering firm must possess the
skill to install and maintain electrical facilities and equipment.

3.2.2 Human Skills. These skills refer to the ability of a leader to deal with people, both
inside and
outside the
organization.
Good leaders
must know how
to get along with
people, motivate
them, and
inspire them.

Apart from motivating, human skills include coaching, communicating, morale building,
training and development, help and supportiveness, and delegating.

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3.2.3 Conceptual Skills. These skills refer to "the ability to think in abstract terms, to see
how parts fit together to form the whole." A very basic requirement for effective implementation
is a clear and well-expressed presentation of what must be done. A leader without sufficient
conceptual skills will fail to achieve this.

4. BEHAVIORAL APPROACHES TO LEADERSHIP STYLES

Those in positions of leadership exhibit a pattern of behavior that is unique and different
from other patterns. This total pattern of behavior is called leadership style.
There are several approaches used in classifying leadership styles. They are as follows:
1. According to the ways leaders approach people to motivate them.
2. According to the way the leader uses power.
3. According to the leader's orientation towards task and people.

4.1 Ways Leaders Approach PeopleThere are two ways, a leader may approach people to
motivate them. They are: (1) positive leadership and (2) negative leadership.

Fig. 8.2 Behavioral Approaches to Leadership Styles

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When the leader's approach emphasizes rewards, the style used is positive leadership. The
reward may be economic, like an increase in monthly salary, or it may be noneconomic like
membership in an advisory committee.

When punishment is emphasized by the leader, the style is said to be negative leadership.
The punishment may take the form of reprimand, suspension, or dismissal.

Leaders, sometimes, alternately use positive and negative leadership depending on the
characteristics of the individual subordinates.

4.2 Ways Leaders Uses Power

Leadership styles also vary according to how power is used. They are as follows: (1)
autocratic, (2) participative, and (3) free-rein.
4.2.1 Autocratic Leaders. Leaders who make decisions themselves, without consulting
subordinates are called autocratic leaders. Motivation takes the form of threats, punishment, and
intimidation of all kinds.

The autocratic style is effective in emergencies and when absolute followership is

needed. An example is a civil engineer in charge of constructing a temporary bridge over one
that has been currently damaged.

The disadvantages of autocratic leadership is that the leader "receives little, if any,
information and ideas from his people as inputs into his decision-making."

4.2.2 Participative Leaders. When a leader openly invites his subordinates to participate
or share in decisions, policy-making and operation methods, he is said to be a participative
leader.

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The advantage of participative leadership is that it generates a lot of good ideas. Another
advantage is the increased support for decisions and the reduction of the chance that they will be
unexpectedly undermined.

The disadvantage of participative leadership is that it is time-consuming and frustrating to

people who prefer to see a quick decision reached.

4.2.3 Free-Rein Leaders. Leaders who set objectives and allow employees or
subordinates relative freedom to do whatever it takes to accomplish these objectives, are called
free-rein leaders, They are also referred to as laissez-faire leaders. This leadership style is most
applicable to certain organizations manned by professionals like doctors and engineers. An
example is the engineering department of a university which is headed by the dean.

If free-rein leadership fits the situation, there is full managerial delegation resulting to
optimum utilization of time and resources, This happens because many people are motivated to
full effort only if given this kindof free-rein.

The weakness of free-rein leadership is that there is very little managerial control and a
high degree of risk. If the leader does not know well the competence and integrity of his people
and their ability to handle this kind of freedom, the result could be disastrous.

4.3 Leaders Orientation Toward Tasks and People

Leaders may be classified according to how they view tasks and people. Consequently, a
leader may either be: (1) employee oriented or (2) task oriented.

4.3.1 Employee Orientation. A leader is said to be employee-oriented when he considers

employees as human beings of "intrinsic importance and with individual and personal need to
satisfy.
4.3.2 Task Orientation. A leader is said to be task-oriented if he places stress on
production andthe technical aspects of the job and the employees are viewed as the means of
getting the work done.

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5. CONTINGENCY APPROACHES TO LEADERSHIP STYLE

The contingency approach is "an effort to determine through research which managerial
practices and techniques are appropriate in specific situations." The various contingency
approaches are as follows:
1. Fiedler's Contingency Model
2. Hersey and Blanchard's Situational Leadership Model
3. Path-Goal Model of Leadership
4. Vroom's Decision Making Model

5.1 Fiedler's Contingency Model

According to Fred Fiedler, "leadership is effective when the leader's style is appropriate
to the situation." The situational characteristics is determined by three principal factors:
1. the relations between leaders and followers
2. the structure of the task, and
3. the power inherent in the leader's position.
The situational characteristics vary from organization to organization. To be effective, the
situation must fit the leader. If this is not so, the following may be tried:
1. Change the leader's trait or behaviors.
2. Select leaders who have traits or behaviors fitting the situation.
3. Move leaders around in the organization until they are in positions that fit them.
4. Change the situation.

5.2 Hersey and Blanchard Situational Leadership Model

The situational leadership model developed by Hersey and Blanchard suggests that the
most important factor affecting the selection of the leader’s style is the development (or
maturity) level of subordinate. The leader should match his or her style to this maturity level.

Maturity has two components:

1. Job skills and knowledge, and
2. Psychological maturity

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Blanchard and others elaborated on the leadership styles appropriate for the various
maturity level of subordinates. They are as follows:
Style 1: Directing ― is for people who lack competence but are enthusiastic and
committed. They need direction and supervision to get them started.

Style 2: Coaching ― is for people who have some competence but lack commitment.
They need direction and supervision because they’re still relatively inexperienced. They also
need support and praise to build their self-esteem, and involvement in decision-making to restore
their commitment.

Style 3: Supporting ― is for people who have competence but lack of confidence or motivation.
They do not need much direction because of their skills, but support is necessary to bolster their
confidence and motivation.

Style 4: Delegating ― is for people who have both competence and commitment. They
are able and willing to work on a project by themselves with little supervision or support.

Fig. 8.3 Development Stage of Subordinates and Recommended Leadership Style

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5.3 Path-Goal Model of Leadership

The path-goal model of leadership espoused by Robert J. House and Terence R.
Mitchell, stipulates that leadership can be made effective because leaders can influence
subordinate’s perceptions of their work goals, personal goals, and paths to goal attainment.
By using the path-goal model, it is assumed that effective leaders can enhance
subordinate motivation by:
1. clarifying the subordinate’s perception of work goals,
2. linking meaningful rewards with goal attainment, and
3. explaining how goals and desired rewards can be achieved.

Fig. 8.4 The Path-

Goal Process

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5.3.1 Leadership Styles, The leadership styles which may be used by path-goal proponents are as
follows:
1. Directive leadership ― where the leader focuses on clear task assignments, standards of
successful performance, and work schedules.
2. Supportive leadership ― where subordinates are treated as equals in a friendly manner
while striving to improve their well-being.
3. Participative leadership ― where the leader consults with subordinates to seek their
suggestions and then seriously considers those suggestions when making decisions.
4. Achievement-oriented leadership ― where the leader set challenging goals, emphasize
excellence, and seek continuous improvement while maintaining a high degree of
confidence that subordinates will meet difficult challenges in a responsible manner.

5.4 Vroom’s Decision-Making Model

Vroom’s Model of leadership is one that prescribes the proper leadership style for various
situations, focusing on the appropriate degrees of delegation of decision-making authority.
Five distinct decision-making styles are identified under the Vroom model. Two of them
are autocratic, two others are consultative, and one is group directed.
The Vroom model, shown in Figure 8.5, may be useful as a guide for the leader. It may
be also be helpful as a training guide.

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Fig. 8.5 Alternative Decision Making Styles in the Vroom model

REVIEW QUESTIONS

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1. What is leading? Why is it important to the engineer manager?

2. What is meant by “charisma”? Is it a necessary ingredient for leadership?
3. How is positive leadership different from a negative leadership ?

ASSESSMENT

1. How do leaders influence others?

2. Why is it important for a leader to have “the desire to lead?” What happens if the said
desire is not present?
3. What is meant by “human skills”? How may these skills help the leader?

Reference :

1. Engineering Management by Roberto G. Medina

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ANSWER TO REVIEW QUESTIONS

1. The function of management that involves influencing others to engage in the

behaviors necessary to reach organizational goals is referred to as leading. It is
important because the managers are expected to maintain effective work forces.

2. A leader who lacks this one special requirement of an effective leader , that “desire to
lead ‘ will not become a good leader or just a leader. He may have the qualifications
but if he has no desire to lead people, then he will not become a leader.

3. Positive and negative leadership differs in their approaches to their subordinates.

Positive leadership approach emphasizes rewards like increase in salary or a
membership in an advisory committee.
Negative leadership approach emphasized punishment which may be in the form of
reprimand, suspension, or dismissal.

Reference :

2. Engineering Management by Roberto G. Medina

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