By:

INAYAT SHAH
 Leadership
“The ability to positively influence people and systems to
have a meaningful impact and achieve results”

In business…

“The increment of influence over and above an employee’s

mechanical compliance with routine directives of the
organization.”
 Management Process
Leadership is one of the four functions of management.
Leadership relies on use of position power and personal
power.
Leadership traits and styles can influence leadership
effectiveness.
Fiedler’s contingency model matches leadership styles with
situational differences.
House’s path-goal theory matches leadership styles with
task and follower characteristics.
 Management Process
Leadership is one of the four functions of
management.
 Leadership & Management
Role
• Management Role:
Leadership Role: to make things happen
and keep work on track;
to provide inspiration,
to supervise endless
create opportunities,
details and engage in
energize people and make
complex interactions that
key choices
are routinely part of an
development.
“Relationship”
• “Function”
Selecting talent  Planning
Motivating  Budgeting
Coaching  Evaluating
Building trust  Facilitating
 Why do we follow leaders?
Voluntarily

“Followers”

Leaders appeal to people. They must

want to follow you enough to stop
what they are doing and perhaps walk
into situations they would not
normally consider risking.
 Why do we follow managers?
“Subordinates”

Compliance

Managers have a position of

authority vested in them by the
company, and their
subordinates work for them and
largely do as they are told.
Leadership vs. Management
 Leadership vs. Management
Working on the system Working in the system
Create opportunities React
Seek opportunities Control risks
Change organizational rules Enforce organizational rules
Provide a vision to believe in Seek and then follow direction
and strategic alignment
Motivate people by satisfying Control people by pushing them
basic human needs in the right direction
Inspire achievement and Coordinate effort
energize people
Provide instructions
Coach followers, create self-
leaders and empower them
 The manager…; The leader…
 The manager administers; the leader innovates.

 The manager maintains; the leader develops.

 The manager accepts reality; the leader investigates it.

 The manager focuses on systems and structures; the leader focuses on

people.

 The manager relies on control; the leader inspires trust.

 The manager has a short-range view; the leader has a long-range

perspective.

 The manager asks how and when; the leader asks what and why.
 The manager…; The leader…
 The manager has his or her eye always on the bottom line; the leader
has his or her eye on the horizon.

 The manager imitates; the leader originates.

 The manager accepts the status quo; the leader challenges it.

 The manager is the classic good soldier; the leader is his or her own
person.
 Leadership: Traits & Behaviors
Who the leader is? (personality traits)

How the leader behaves? (observable behaviors)

Traits + Behaviors = Desired Results

 Managers Versus Leaders –
a 3rd person’s view
 Managers  Leaders
 Are appointed to their  Are appointed or emerge
position. from within a work group.
 Can influence people only to  Can influence other
the extent of the formal people and have
authority of their position. managerial authority.
 Do not necessarily have the  Do not necessarily have the
skills and capabilities to be skills and capabilities to be
leaders. managers.

Leadership is the process of influencing a group toward the

achievement of goals.
Styles of Leadership
Autocratic
 Authoritarian
 Tells employees what they
want done and how to do it
(without getting the advice
from others).
 Works well if you don’t have
much time to accomplish
goals or if employees are
well motivated.
 Generally, this style is not a
good way to get the best
performance from a team.
Leadership Styles
 Democratic
 Participative style
 The leader involves one or more
employees in the decision making
process (to determine what to do
and how to do it).
 Leader maintains the final decision
making authority.
 Allows everyone to be part of a team
—everyone feels that they have
participated and contributed.
 Encourages participation, delegates
wisely, values group discussion.
 Motivates by empowering members
to direct themselves.
 Negative—everything is a matter of
group discussion and decision—
doesn’t really lead.
Leadership Styles
 Delegative
 Free Reign (laissez faire)
 Leader allows
employees/students to make
the decisions.
 Leader is still responsible for
the decisions.
 Employees/students analyze
the situation and determine
what needs to be done and
how to do it. Leader sets
priorities and delegates.
 Leader has little control.
Team has little direction or
motivation.
 What skills do leaders need?
 Personal Skills

•Coping with stressors

2.Managing
•Managing time
stress
•Delegating

1.Developing 3. Solving
Self-awareness Problems
creatively
•Using the rational approach
•Determining values •Using the creative approach
and priorities •Fostering innovation in others
•Identifying cognitive style
•Assessing attitude toward change
 What skills do leaders need?
 Interpersonal Skills
•Gaining power
•Coaching •Exercise influence
•Counseling •Empowering others
•Listening 5. Gaining power
and influences

4. Communication 6. Motivating others

supportively

7. Management
conflict

•Diagnosing poor performance

•Identifying causes •Creating a motivating environment
•Selecting appropriate strategies •Rewarding accomplishment
•Resolving confrontations
 Traits Often Shared by Effective
Leaders
 Drive
 Successful leaders have high energy, display initiative, and are tenacious.
 Self-confidence
 Successful leaders trust themselves and have confidence in their abilities.
 Creativity
 Successful leaders are creative and original in their thinking.
 Cognitive ability
 Successful leaders have the intelligence to integrate and interpret information.
 Business knowledge
 Successful leaders know their industry and its technical foundations.
 Motivation
 Successful leaders enjoy influencing others to achieve shared goals.
 Flexibility
 Successful leaders adapt to fit the needs of followers and demands of situations.
 Honesty and integrity
 Successful leaders are trustworthy; they are honest, predictable, and dependable.
 Fatal Flaws of Leaders Who
Derail
Insensitive to others
Aloof and arrogant
Betrayal of trust
Overly ambitious
Over-managing
Unable to think strategically
Unable to adapt to situations
Overly dependent on an advocate or mentor
 Leadership Theories
 Historically went hand-in-hand with studies of “the
elite”
 Throughout 20th century, numerous studies
conducted which resulted in theories
 Theories are NOT isolated, but rather are
evolutionary
 Timeline of Leadership
Theories
1900’s: Are leaders natural-born?
1930’s: How does leadership emerges &
develops in small groups?
1940’s-1950’s: What traits do leaders have in
common?
1950’s-1960’s: What patterns of behavior result
in leadership?
1960’s-1970’s: Which leadership behaviors
work in specific situations?
1980’s: What key traits, behaviors and
situations allow to lead organizations to
excellence?
 Leadership Theories
 Trait Theory
 Behavioral Theories (Ohio State studies)
 Role Theory
 The Managerial Grid
 Participative Leadership
 Lewin’s leadership styles (University of Iowa studies)
 Likert’s leadership styles (University of Michigan studies)
 Contingency Theories
 Fiedler’s Least Preferred Co-Worker (LPC) Theory
 Cognitive Resource Theory
 House’s Path-Goal Theory of Leadership
 Situational Leadership
 Hersey and Blanchard’s Situational Leadership
 Vroom and Yetton’s Normative Model
 Leadership Theories
Trait Theory
 Early on, it was thought that leaders were born with
inherent physiological and personality traits
 Age
 Height
 Intelligence
 Academic achievements

 Stogdill (1974) – identified several general factors that

differentiate leaders from non-leaders…
 Leadership Theories
Trait Theory (continued)
Capacity: problem-solving capabilities, making judgments and
working hard
Achievements: accomplishments such as academic record,
knowledge and sports
Responsibility: dependability, reliability, self-drive,
perseverance, aggressiveness and self-confidence
Participation and involvement: highly developed social
interaction, popularity, swift adaptation to changing situations,
and easier cooperation compared to non-leaders
Socio-economic status: effective leaders usually belong to
higher socio-economic classes
 Leadership Theories
Behavioral Theories
Ohio State studies focused on task and social behavior of
leaders
Identified two dimensions of leader behavior
Initiating Structure: role of leader in defining his/her
role and roles of group members
Consideration: leader’s mutual trust and respect for
group members’ ideas and feelings
Two different behavioral theories:
 Role Theory
 Managerial Grid
 Leadership Theories

Role Theory
Assumptions about leaders’ in organizations are shaped by
culture, training sessions, modeling by senior managers,
etc.
 People define roles for themselves and others based on social
learning and reading.
 People form expectations about the roles that they and others will
play.
 People subtly encourage others to act within the role expectations
they have for them.
 People will act within the roles they adopt.
 Leadership Theories
Managerial Grid
Developed by Drs. Robert R. Blake and Jane S. Mouton
Believed managers have different leadership styles which led to
two different dimensions of leadership:
 Concern for Production: manager who is task-oriented and

focuses on getting results or accomplishing the mission (X-

axis of grid)
 Concern for People: manager who avoids conflicts and

strives for friendly relations with subordinates (Y-axis of grid)

 Leadership Theories
Managerial Grid (continued)

9
8
7
6
5 **manager’s goal is 9,9**

4
3
2
1

1 2 3 4 5 6 7 8 9
 Leadership Theories
Participative Theories
Assumes the following
Involvement in decision-making improves the
understanding of the issues involved and the commitment
of those who must carry out the decisions.
People are less competitive and more collaborative when
they are working on joint goals.
Several people deciding together make better decisions
than one person alone.
Two different participative theories:
 Lewin’s leadership styles
 Likert’s leadership styles
 Leadership Theories
Lewin’s Leadership styles
 Kurt Lewin’s studies at the University of Iowa (1939)
 Identified three different styles of leadership:
 Autocratic: centralized authority, low participation
(works where input would not change decision or employee
motivation, excessive styles lead to revolution)
 Democratic: involvement, feedback

(appreciated by people, most effective style but problematic

when there are a range of opinions)
 Laissez-Faire: hands-off management

(works when people are motivated and there is no requirement

for central coordination)
 Leadership Theories
Michigan Studies
 Studies conducted by Michigan University beginning in the
1950s
 Found 3 critical characteristics of effective leaders:
- Task-oriented behavior
 Effective Leaders didn’t do the same work as their subordinates.

- Relationship-oriented behavior
 Focus on task, but also on relationship with subordinates

- Participative leadership
 Use a participative style, managing at the group level as well as

individually
 The role of the manager is more facilitative than directive
 Leadership Theories
Contingency Theory
Assumptions:
No one best way of leading
Ability to lead contingent upon various situational factors:
 Leader’s preferred style
 Capabilities and behaviors of followers
 Various other situational factors

Effect:
Leaders who are successful in one situation may become
unsuccessful if the factors around them change
 Leadership Theories
Contingency Theory: Cognitive Resource Theory
 Assumptions:
 Intelligence and experience and other cognitive resources are factors in
leadership success.
 Cognitive capabilities, although significant are not enough to predict
leadership success.
 Stress impacts the ability to make decisions.
 Predictions:
1. A leader's cognitive ability contributes to the performance of the team
only when the leader's approach is directive
2. Stress affects the relationship between intelligence and decision quality
3. Experience is positively related to decision quality under high stress
4. For simple tasks, leader intelligence and experience is irrelevant
 Leadership Theories
Path Goal Theory

Exhibit 17.8
 Leadership Theories
Situational Leadership
 Situational factors (motivation, capability of followers,
relationship between followers and leader) determine the
best action of leader
 Leader must be flexible to diagnosis leadership style
appropriate for situation and be able to apply style
 No one best leadership style for all situations
 Leadership Theories
Hersey & Blanchard’s Situational Leadership (1977)
Identified 4 different leadership styles based on readiness of followers
R1. Telling (high task/low relationship behavior)
• Giving considerable attention to defining roles and goals
• Recommended for new staff, repetitive work, work needed in a short time span
• Used when people are unable and unwilling
R2. Selling (high task/high relationship behavior)
• Most direction given by leader encouraging people to ‘buy into’ task
• Used when people are willing but unable
R3. Participating (high relationship/low task behavior)
• Decision making shared between leaders and followers, role of leader to facilitate and
communicate
• Used when people are able but unwilling
R4. Delegating (low relationship/low task behavior)
• Leader identifies problem but followers are responsible for carrying out response
• Used if people are able and willing
 Leadership Theories
Hersey & Blanchard’s Model

Source: Reprinted with permission from the Center for Leadership

Studies. Situational Leadership® is a registered trademark of the
Center for Leadership Studies. Escondido, California. All rights
reserved.
 Summary of Leadership
Theories
Theory Leadership Based On…
Trait Theory Leaders born with leadership traits

Behavioral Theory Initial structure and consideration

- Role Theory Shaped by culture, training, modeling

- Managerial Grid Concern for production and concern for people

Participative Leadership More people involved = better collaboration

- Lewin’s Style Autocratic, democratic, laissez-faire

- Likert’s Style Task oriented, relationship oriented, participative

style
Contingency Theories No one best leadership style

- House’s Path Goal Theory Help followers make their goals compatible with
organizational goals
Situational Leadership Similar to contingency theory

- Hersey and Blanchard Based on relationship between leader and follower

and task behavior
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