BUS209

Chapter 7
 LEARNING OBJECTIVES:
BROAD QUESTIONS FOR FINAL EXAM

1. What are the elements of leadership? Draw the

diagram of leadership Tasks.
2. What is Managerial Grid? Draw the diagram.
How gender creates a difference in leadership
behavior?
3. Describe Autocratic, Participative, Consultative
and Situational Leadership
 LEADERSHIP
 Leadership is a process by which a person
influences others to accomplish an objective
 Leadership is "organizing a group of people to
achieve a common goal".
 ELEMENTS OF LEADERSHIP

 Every group of people that performs job has same

person as its head who is skilled in art of
leadership. This skill seems to be a compound at
least four major elements.
1. Power
2. Fundamental understanding of people.
3. Ability to inspire follower
4. The ability to act in a manner that will develop
a favorable climate to responding and inspiring.
 LEADERSHIP STYLE

Supportive
Directive Participative
Leadership:
Leadership: Leadership:
the leader
The leader Achievement the leader
demonstrates
focuses on clear oriented invites
concern for
Task leadership: employees to
employees well
Assignment, the leader sets provide inputs
being and
standard of high to decisions
needs, while
successful expectation and uses their
trying to create
performance from employees suggestions as
a pleasant
and work final decisions
work
schedules are made.
environment
LEADERSHIP TASKS
 USING 6 THINKING HATS
White Hat: Black Hat:
 What are the things  What are the things
that you like the most that you don’t like
about ULAB? about ULAB?
 ROOT CAUSE ANALYSIS
Root Cause Analysis (RCA) is a popular and often-used technique that helps people
answer the question of why the problem occurred in the first place.
1. Determine what happened.
2. Determine why it happened.
3. Figure out what to do to reduce the likelihood that it will happen again.
RCA assumes that systems and events are interrelated. An action in one area
triggers an action in another, and another, and so on. By tracing back these
actions, you can discover where the problem started and how it grew into the
symptom you're now facing.
You'll usually find three basic types of causes:
1. Physical causes – Tangible, material items failed in some way (for example, a
car's brakes stopped working).
2. Human causes – People did something wrong, or did not doing something that
was needed. Human causes typically lead to physical causes (for example, no
one filled the brake fluid, which led to the brakes failing).
3. Organizational causes – A system, process, or policy that people use to make
decisions or do their work is faulty (for example, no one person was responsible
for vehicle maintenance, and everyone assumed someone else had filled the
brake fluid).
BRAINSTORM THE MAJOR CATEGORIES OF
CAUSES OF THE PROBLEM.

1. Methods
2. Machines (equipment)
3. People (manpower)
4. Materials
5. Measurement
6. Environment
RECOMMEND AND IMPLEMENT SOLUTIONS

1. What can you do to prevent the problem from

happening again?
2. How will the solution be implemented?
3. Who will be responsible for it?
4. What are the risks of implementing the solution?
 MANAGERIAL GRID
1) The managerial grid model (1964) is a behavioral leadership
model developed by Robert R. Blake and Jane Mouton.
2) This model originally identified five different leadership styles
based on the concern for people and the concern for production.
3) The optimal leadership style in this model is based on Theory Y.
 Theory Y: In this theory, management assumes employees may be
ambitious and self-motivated and exercise self-control. It is
believed that employees enjoy their mental and physical work
duties. According to them work is as natural as play. They
possess the ability for creative problem solving, but their
talents are underused in most organizations. Given the
proper conditions, theory Y managers believe that
employees will learn to seek out and accept responsibility
and to exercise self-control and self-direction in
accomplishing objectives to which they are committed. A
Theory Y manager believes that, given the right conditions, most
people will want to do well at work. They believe that the
satisfaction of doing a good job is a strong motivation
 THEORY X
 In this theory, which has been proven counter effective in
most modern practice, management assumes employees are lazy
and will avoid work if they can and that they inherently dislike
work. As a result of this, management believes that workers need
to be closely supervised and comprehensive systems of controls
developed.
 Theory X managers rely heavily on threat and force to gain their
employees' obedience. Beliefs of this theory lead to mistrust, highly
restrictive supervision, and a disciplinary atmosphere.
 The Theory X manager tends to believe that everything must end
in blaming someone. Usually these managers feel the only purpose
of the employee's interest in the job is money. They will blame the
person first in most situations, without questioning whether it may
be the system, policy, or lack of training that deserves the blame.
 A Theory X manager believes that his or her employees do not
really want to work, that they would rather avoid responsibility
and that it is the manager's job to structure the work and energize
the employee
BEHAVIORAL APPROACHES TO LEADERSHIP STYLE
1,9 Thoughtful attention to 9,9 Work accomplishment is from
needs of people for satisfying committed people. Interdependence
relationships leads to a through a “common stake” in
comfortable, friendly organization organization purpose leads to
atmosphere and work rhythm. relationships of trust and respect.
Concern for people

5,5 Adequate organization performance

is possible through balancing the necessity
to get out work with maintaining morale of
people at a satisfactory level.

1,1 Exertion of minimum 9,1 Efficiency in operations results

effort to get work done is from arranging conditions of work
appropriate to sustain in such a way that human elements
organization membership. interfere to a minimum degree.

Concern for production

LEADERSHIP TRAITS (PAGE 160)
 Traits (behavior)
 Primary Traits:
 Honesty
 Personal Drive & Energy

 Desire to Lead

 Self Confidence

 Secondary Traits:
 Mental Ability
 Charisma

 Flexibility

 Positive affectivity

 Creativity and originality

 Knowledge of business
 LEADERSHIP PROCESS (PAGE 170)

1. Leader identifies
employees needs

7. Both Employee
2. Appropriate
and organization
goals are
are better able to
established
reach their goals

6. Effective
3. Leader connects
performance
rewards with goals
occurs

5. Employee
4. Leader provides
becomes satisfied
assistance on
and motivated and
employee path
they accept the
toward goals
leader
 4 FACTORS OF LEADERSHIP
 Leader : You must have an honest understanding of who
you are, what you know, and what you can do. It is the
followers, who determines if the leader is successful. If they
do not trust or lack confidence in their leader, then they
will be uninspired.
 Followers: Different people require different styles of
leadership. For example, a new hire requires more
supervision than an experienced employee. A person who
lacks motivation requires a different approach than one
with a high degree of motivation. You must know your
people! The fundamental starting point is having a good
understanding of human nature, such as needs, emotions,
and motivation.
4 FACTORS OF LEADERSHIP CONTINUED..
 Communication: You lead through two-way
communication. Much of it is nonverbal. For instance,
when you ―set the example,‖ that communicates to
your people that you would not ask them to perform
anything that you would not be willing to do. What
and how you communicate either builds or harms the
relationship between you and your employees.
 Situation: All situations are different. What you do in
one situation will not always work in another. You
must use your judgment to decide the best course of
action and the leadership style needed for each
situation. For example, you may need to deal with an
employee for inappropriate behavior, but if the
disagreement is too late or too early, too harsh or too
weak, then the results may prove ineffective.
 PRINCIPLES OF LEADERSHIP
 Know yourself and seek self-improvement - Seeking
self-improvement means continually strengthening your
quality. This can be accomplished through self-study,
formal classes, reflection, and interacting with others.
 Be technically skilled - As a leader, you must know your
job and have a solid familiarity with your employees' tasks.
 Seek responsibility and take responsibility for your
actions - Search for ways to guide your organization to
new heights. And when things go wrong, they always do
sooner or later — do not blame others. Analyze the
situation, take corrective action, and move on to the next
challenge.
 Make sound and timely decisions - Use good problem
solving, decision making, and planning tools.
PRINCIPLES OF LEADERSHIP CONTINUED..
 Set the example - Be a good role model for your
employees. They must not only hear what they are
expected to do, but also see.
 Know your people and look out for their well-
being - Know human nature and the importance of
sincerely caring for your workers.
 Keep your workers informed - Know how to
communicate with not only them, but also seniors
and other key people.
PRINCIPLES OF LEADERSHIP CONTINUED..
 Develop a sense of responsibility in your
workers - Help to develop good character traits that
will help them carry out their professional
responsibilities.
 Ensure that tasks are understood, supervised,
and accomplished - Communication is the key to
this responsibility.
 Train as a team - Although many so called leaders
call their organization, department, section, etc. a
team; they are not really teams...they are just a group
of people doing their jobs.
 Use the full capabilities of your organization -
By developing a team spirit, you will be able to
employ your organization, department, section, etc. to
its fullest capabilities.
THE TWO MOST IMPORTANT KEYS TO EFFECTIVE LEADERSHIP

 According to a study by the Hay Group, a global

management consultancy, there are 75 key components of
employee satisfaction .They found that:
 Trust and confidence in top leadership was the single most
reliable predictor of employee satisfaction in an
organization.
 Effective communication by leadership in three critical
areas was the key to winning organizational trust and
confidence:
 Helping employees understand the company's overall
business strategy.
 Helping employees understand how they contribute to
achieving key business objectives.
 Sharing information with employees on both how the
company is doing and how an employee's own division is
doing — relative to strategic business objectives.
 9 Ways Leaders Insult Their Employees

1. Unappreciative of Efforts
2. Lack Recognition and Respect
3. Constant Criticism
4. Expect Employees to Be Like Them
5. Hypocrisy
6. Delegate Too Much – or Not Enough
7. Micromanagement
8. Manipulative
9. Don’t Value Employees
LEADERSHIP BEHAVIOR
 SITUATIONAL FLEXIBILITY
 Leadership is clearly situational
 In one situation, Action A maybe the best
leadership acts but for next situation, Action B
will be best
BEHAVIORAL APPROACHES TO LEADERSHIP STYLE

Comfort Externally Self Internally

centered directed to focused to closed to
to result internally other externally
centered directed focused open
POSITIVE AND NEGATIVE LEADER
 Positive : Better employee education, greater
demand for independence and satisfactory
employee motivation depend on positive
Leadership
 If emphasis is placed on threats, fear, harshness
and penalties the leader is applying negative
leadership.
 AUTOCRATIC LEADERSHIP
 Autocratic leadership, also known as authoritarian leadership, is a
leadership style characterized by individual control over all
decisions and little input from group members. Autocratic leaders
typically make choices based on their ideas and judgments and
rarely accept advice from followers.
Characteristics of Autocratic Leadership
Some of the primary characteristics of autocratic leadership include:
1. Little or no input from group members
2. Leaders make almost all of the decisions
3. Group leaders dictate all the work methods and processes
4. Group members are rarely trusted with decisions or important
tasks
5. Work tends to be highly structured and very rigid
6. Creativity and out-of-the box thinking tend to be discouraged
7. Rules are important and tend to be clearly outlined and
communicated
PARTICIPATIVE LEADERSHIP (DEMOCRATIC)
 Participative leadership, also known as democratic
leadership, is typically the most effective leadership
style.
1. Democratic leaders offer guidance to group
members, but they also participate in the group and
allow input from other group members.
2. Participative leaders encourage group members to
participate but retain the final say in the decision-
making process.
3. Group members feel engaged in the process and are
more motivated and creative.
4. Democratic leaders tend to make followers feel like
they are an important part of the team, which helps
foster commitment to the goals of the group.
 CONSULTATIVE LEADERSHIP
 Consultative leadership means asking key people for
their thoughts and allowing them time to process the
problem and solve for what they feel was the best
possible solution.
 Consultative leadership usually arises when the
leader does not know the whole situation and he
requires the views and opinions of the team on the
ground that they may be able to make an informed
decision.
 Another reason a leader can choose the consultative
leadership style is because they are humble enough to
listen and consider all views before coming to a final
decision.
 The challenge with consultative leadership is that it
does in fact take a little more time
 SITUATIONAL LEADERSHIP STYLES
 Situational theories of leadership stress the significant influence
of the environment and the situation on leadership. Hersey and
Blanchard's model is one of the best-known situational theories.
First published in 1969, this model describes four primary styles
of leadership, including:
1. The telling style is characterized by telling people what to do.
2. The selling style involves leaders convincing followers to buy
into their ideas and messages.
3. The participating style is marked by allowing group members
to take a more active role in the decision-making process.
4. The delegating style involves taking a hands-off approach to
leadership and allowing group members to make the majority of
decisions.
 GENDER DIFFERENCES IN LEADERSHIP BEHAVIOR
 Another factor that varies with leadership style is whether the
person is male or female. When men and women come together in
groups, they tend to adopt different leadership styles.
 Men generally are task-oriented, active, decision focused,
independent and goal oriented.
 Women, on the other hand, are generally more mutual when they
assume a leadership position; they strive to be helpful towards
others, warm in relation to others, understanding, and mindful of
others' feelings. they emphasize their open, fair, responsible, and
pleasant communal qualities. They give advice, offer assurances,
and manage conflicts in an attempt to maintain positive
relationships among group members. Women connect more
positively to group members by smiling, maintaining eye contact
and respond tactfully to others’ comments.
 As leaders, men are primarily task-oriented, but women tend to be
both task- and relationship-oriented.
Russian Leadership Style
 IT IS EASY TO LOOK SHARP
WHEN
YOU HAVE NOT DONE ANYTHING