Leadership Theories and Styles
Leadership Theories and Styles
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Every company, no matter what industry they’re a part of or how big they are, needs
good leadership to be successful. Good leaders are a vital part of effective business
practices. And for most, being a good leader doesn’t come inherently. That’s why there
are entire degree programs dedicated to management and helping students become
great leaders in their business.
In the world of leadership there are many theories about how leadership works, what
makes good leaders, and how to be effective. There are many leadership styles that
managers can employ and their impact varies based on the group they are leading and
the industry they are in. These leadership theories explain how leadership styles work
within a company to bring success. If you are studying to become a business leader or
manager, it’s important to understand these different leadership theories and how they
impact your leadership and management style.
Task-based leadership focuses solely on the steps a manager must take to achieve a
particular goal. The manager assigns tasks to employees who are more or less
interchangeable. Leaders following a task-based approach don't spend much time
getting to know the strengths and weaknesses of their employees. All that's important
is for the task to be done on time and to the expected standard.
Because this approach encourages leaders to see employees as individuals who have
needs and wants, a better work environment and company culture often results.
Morale, productivity and engagement remain high. Employees enjoy greater job
satisfaction and are less likely to quit for greener pastures.
It's also important to consider the job at hand. Task-based leadership works just fine
for jobs where little creativity is required, such as assembly line or warehouse work.
It's helpful for leaders in these industries to get to know their employees to keep
morale up and communicate easily, but the task at hand doesn't change much based
on each team member's skills, strengths or weaknesses.
While many different leadership theories have emerged, most can be classified as
one of eight major types:
Relationship or Transformational
Theory of Leadership
Date: 24/02/2021Author: DEVASIS CHAKMA0 Comments
• Inspirational Motivation: These leaders lead their subordinates towards the right path
by giving them a sense of challenge and meaning towards their tasks. The leaders work in
a positive manner to promote the spirit of teamwork.
• Idealized Influence: Such leaders believe in the philosophy that a leader can influence
followers only when he himself practices what he preaches. The leaders act as role
models or ideals and influence the followers who seek to imitate.
**
What Is Transformational Leadership?
Initially conceptualised by political scientist James MacGregor Burns,
transformational leadership requires you to adopt a motivational
management approach, with employees feeding on your example and
personality. It contrasts directly with transactional leadership, which instead
focuses on supervision, performance and organisation, utilising discipline and
incentives to drive performance.
Transactional leaders also tend to focus on day-to-day operations, as opposed to
strategically guiding their organisation to a higher market position in the long
term.
Some examples of transformational leadership include:
Aligning the identity and interests of the company with those of your employees
Determining shared goals and objectives
Identifying areas for change and creating a corresponding vision
Challenging followers to take ownership
Giving employees autonomy over their roles and responsibilities among others
The Advantages and Disadvantages of
Transformational Leadership
As mentioned, this particular method has its pros and cons, as outlined below:
Advantages
It Keeps the Company Open, Honest and Ethical
Honesty and integrity are core values for transformational leaders; they are
ethically-driven with a tight focus on values, authenticity and transparency. Unlike
transactional leaders, who tend to focus on completing a task without
seeing why it's essential, transformational leaders remain focused on doing the
right thing in the right way.
By employing this management style, you are encouraging employees to remain
focused on the task at hand, while always acting in the best interests of the
company and its wider communities.
It Reduces Turnover Costs
High turnover costs are time-consuming, frustrating and costly. They can also
result in a loss of productivity amongst current employees, as well as create a
long-lasting cultural impact. Transformational leadership has the potential to
reverse this trend by making employees feel more engaged and included in the
organisation.
Transformational leaders are often charismatic figures, too, which makes people
feel valued and respected – a key driver of morale and retention in any
workplace.
It Encourages Change
For a business to evolve, it must be willing to adapt, improve and expand over
time, and adopting a transformational leadership style is ideal for bringing others
on board when introducing a vision.
Through their passion, they can sell the changes, improvements or expansions
needed, while they are also good at recognising gaps or issues in the process of
a vision, enabling them to make adjustments accordingly.
Indeed, by embracing change yourself, you encourage others to want to make
those changes, too. When properly implemented, this process allows all
members of the organisation to adopt a new vision and constantly aspire towards
achieving their potential.
Disadvantages
There is Too Much Focus on the Bigger Picture
Often, transformational leaders tend to overlook details, preferring instead to
focus on the bigger picture. There can also be a tendency to avoid administrative
work, meaning that certain protocols or processes can be missed (such as
saving receipts from purchases for accounting purposes).
Therefore, this type of leadership requires high levels of support from more
organised and detail-oriented team members in order to maintain a transactional
focus.
For this to happen, close, regular communication must be maintained, as well as
constant feedback and team meetings to keep enthusiasm levels high. Not only
is this exhausting for team leaders, but if employees sense that communication
isn't happening, or begin to feel out of the loop, then they may lose interest in
their tasks - and therefore their commitment to the vision.
---
Transformational leaders have the power to take teams to brand new heights –
but there is also always the possibility for things to head in the opposite
direction.
To motivate your employees and keep them focused on achieving a common
goal, you need to be convincing in your role. If followers lose faith in your
leadership, or they do not share the vision that you are trying to sell, then, put
simply, this leadership style will not succeed.
What do you think? Is transformational leadership the best way forward in the
modern business world? Or are the risks too high? Let us know your opinions in
the comment section below.
**
Different schools of thought have varied opinions on how can you become an
extraordinary leader. Some theories suggest that you need to have inborn traits, some
advocate you to shape your persona as per the situation, while others emphasize on
effective behavior.
Let’s have a look at the eight major theories, along with their strengths, weaknesses,
and examples.
Thomas Carlyle, who is associated with much of the work on this theory, said,
However, Herbert Spencer, a noted philosopher, was not in favor of this theory. He
said, leaders are the result of their conditions; before they alter society, society has to
make them.
For instance, people like Mahatma Gandhi, who were not trained in leadership but
became great leaders, had leadership styles that were an extension of their personal
experiences and life story.
The theory states that the comparison of your leadership characteristics to the list of
the traits of many successful and unsuccessful leaders can be used to predict your
leadership effectiveness.
Critics of this theory suggest that the list describing the leadership traits of successful
leaders is very long – more than a hundred different traits. Also, situational factors,
like social and economic inequities that impact your ability to lead, are not taken into
account.
Your success as a leader, according to this theory, lies in finding out the leadership
style and situation in which you would flourish.
There are eight possible combinations for three situational variables, as shown in the
following figure:
A good leader-member relation means your group members like you. High task
structure implies that you are directing a well-defined job, and a strong position power
would mean you have a position of high authority. The favorableness of a situation is
the extent to which the situation allows you to influence your group.
For example, imagine you are a newly appointed store manager in one of the leading
apparel brands. You will be poor on leader-member relations as you are new to the
job. Task structure will be high as there will be clear operating procedures on how to
deal with customers. You will be strong on the position of power as you can reward or
punish employees as a store manager.
Now, how do you decide on your leadership style? That brings us to the second part.
As per the theory, task-oriented leaders perform well in situations that are very
favorable or unfavorable, and relationship-oriented leaders perform well in situations
that are intermediate in favorableness, as shown in the following figure:
Hence, as per the Contingency theory, the best way to approach your new job as a
store manager is to use a relationship-oriented style.
What are the other situations in which you can apply contingency theory?
It can also help you identify the right talent for leadership openingsin your
organization. You can compare the leadership style of the aspirants to the situation for
which you need to hire a leader if they match you employ the person else you reject.
Though the contingency theory is quite dynamic, there are some downsides to it.
You need to fall under only a set of leadership styles to apply this theory. Also, there
can be scenarios where you may want to change the situation rather than match your
style of leadership to it. The contingency theory will not help you in these
circumstances.
According to the theory, you should follow four primary leadership styles as per the
readiness level of your subordinates:
Telling (Autocratic approach): You can adapt this style for the ‘Readiness 1 level’
of subordinates; these people lack the ability as well as the willingness to do the job.
For instance, if you are a leader in a war or an emergency room of a hospital, you
need to adapt to telling (authoritative) style of leadership.
The following figure explains the leadership styles according to the behavior of
subordinates :
Do the above situations sound familiar? Go ahead and apply this theory to your
workplace. Here is how you will grow as a leader:
You will be flexible to adapt to a variety of situations. Your awareness level will rise
as you always need to be familiar with the situation around you. It will also lift the
morale of your group members and give them a comfortable work environment.
However, you need to be cautious that this theory focuses on short term needs rather
than long term goals. You may lose sight of your organizational objective and end up
responding to immediate requirements only.
Another issue is that, even with the variables mentioned for various situations in this
theory, it is difficult to ensure that you will analyze the situation the same way as
other leaders. As a result, outcomes can vary.
Kurt Lewin explained one of the behavior leadership theories in the 1930s. He
identified three types of leadership behaviors, as described in the figure below:
In case you need to focus on the profit margins of your organisation or achieve
stringent deadlines, you should apply the authoritative behavior of leadership. You
can allocate tasks, arrange formal lines of communication, and set up quick
turnaround time for your group members.
However, various researches on Lewin’s theory showed mixed results as most leaders
used some part of either of the three leadership behaviors.
To help leaders decide on what behaviors to choose, Robert Tannenbaum and Warren
H. Schmidt devised a continuum of leader behaviors (see below figure):
The continuum ranges from boss centered leadership to subordinate centered
leadership along with what behavior you should display. You move from autocratic to
democratic behavior as you go from boss to subordinate centered leadership.
Another behavior theory of leadership is the Ohio State leadership studies. It describes
leader behavior in two dimensions, as explained in the figure below:
Initiating Structure behavior: You define what is expected of group members, set up
formal lines of communication, and determine how subordinates will perform tasks.
Consideration behavior: You are concerned about subordinates and establish a warm
and friendly work environment like you allow flexible working hours to your
employees or set up daycare for infants in your organization. This approach is
subordinate oriented and can help create the right environment for increasing
productivity.
You need to be patient while applying the behavioral theory. The difference between
knowing the behavioral styles and actually applying them takes repeated failures and
lots of practice.
For instance, Microsoft’s founder Bill Gates has empowered his key employees to
make crucial decisions of significant departments like innovation and marketing.
He has set up strong digital channels for facilitating communication within the
company. Also, people who need specific information about the organization can
access it. Open sharing of information and knowledge has helped Microsoft grow
leaps and bounds.
Use the tools of participative theory. The implementation of new policies becomes
easier with this method as decisions arrive with consensus. Also, group members
perform well, even in your absence, because their morale is high, and they feel valued
and accountable.
You need to be aware though that the decision-making process may take a lot of time,
which can affect the efficiency of your group. Taking input from every group member
can also cause indecisiveness on some points.
As a transactional leader, you concentrate only on the bottom of the pyramid for your
group members. You ensure to fulfill the physiological needs of your group, along
with financial security.
Sounds mean?
Well, it’s true that with this leadership style, the relationship between you and your
group is transitory, with no emotional bond. Also, the creativity of your employees
takes a hit as you do not encourage new ideas.
However, this type of leadership motivates your group members by engaging them in
their self-interest. Also, the productivity of your group members increases as they try
to achieve their targets in a shorter duration. If your project requires undeviating and
specific processes, you can use this style to accomplish the desired results.
Here is how you can bring a positive change with this leadership:
By following this approach, you not only look at the bigger picture but also help
individual group members attain their potential. You transform the culture of your
organization and achieve goals. Your employees will show a higher level of
performance and satisfaction because they feel inspired and empowered.
Steve Jobs was truly transformational. He inspired employees to think beyond what
they had already done. His passion for innovation, perfection, and simplicity drove
Apple to achieve unbelievable results. He challenged his employees and made them
create things that the world had never seen before.
Conclusion:
The ‘Great Man’ theory and ‘trait’ theory suggests that leaders have leadership traits
by birth. It is imperative, though, that you groom and develop these qualities. The
inspiration to lead may come from within, but you need to train yourself to appeal to
the masses. Also, note that intrinsic qualities are a matter of choice and not chance.
For example, being virtuous or dishonest to your group is an option.
You need the right psychological make-up to step in the shoes of a leader. Analyze the
circumstances in which you are supposed to lead and prepare yourself according to
the situation. Once you are aware of the circumstances and the qualities you need, use
the tools described in leadership theories to set your leadership approach.
What are the qualities that you wish to acquire as a leader? How would you apply
leadership theories to develop them? Do let us know in the comments below.
**
**
Subsequently, question is, what are the pros and cons of trait theories of
personality? The pros of Trait Theory are that there are defined traits of an effective
leader. The cons of Trait theory are that people may think that these are the
only traits of an effective leader. Both early theories have both pros and cons, which
everybody could take into account when defining their own leadership role.
A strength of the trait approach is that it has been researched extensively. The
tendency to be informed, creative, insightful, and curious is called intelligence. Stogdill's
first survey (1948) found that an individual becomes a leader because he or she
possesses certain traits.
What are the 4 personality theories?
The four main types of personality theories are the psychodynamic approach, the humanistic
approach, the trait approach, and the social cognitive approach. Let's take a brief look at each
approach individually.
What are the different trait theories?
They have identified important dimensions of personality. The Five Factor Model is the most
widely accepted trait theory today. The five factors are openness, conscientiousness,
extroversion, agreeableness, and neuroticism. These traits occur along a continuum.
What are the criticisms of trait theory?
Trait Theory
Pros Cons
Pros Cons
Leaders are
acknowledge from early Only certain people can be leaders
Leaders are consistent No one can become a leaders unless
and follow similar paths originally thought to be on
VS
These pictures represent Trait Theory vs Great Man Theory. The picture on
the left shows a leader and each of the colors at the bottom represent a certain trait.
The picture on the right shoes King Tut. The relevancy to Great Man Theory is that a
leader is born and that in Ancient Egypt, kings were royal and nobody else could be a
king.
All in all, many of the theories could be proven right and wrong with different
examples; however, it is not our job to tell someone if they are a leader or not. We
must give everyone the opportunity to lead and by doing this, we will be able to
receive the strongest leader and one that is truly capable of leading and execute great
task.