BBPP1103 : MANAGEMENT PRINCIPLES

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BBPP1103 : MANAGEMENT PRINCIPLES CHAPTER 8 : LEADERSHIP

Introduction Leadership is a process of influencing other people to achieve group or organizational goals. Leaders are different from managers Refer to pg. 133/277

Leadership approaches Leader-centered approach Personality features of a leader Focus towards leadership behavior -studies by Ohio-State University -studies by Michigan University -managerial grid by Blake & Mouton -leadership styles Follower-centered approach Interactive approach -situational leadership model -path-goal model -Fiedler’s contingency model

1. Leadership-centered approaches 1. personality Features of a leader Try to identify specific personality features that related to an excellent leader. The focus on personality is the assumptions that some leaders have certain physical features (height, weight, appearance), personality aspects (knowledge, diligence, appreciation), and abilities (creativity, patience, sympathy) In fact, personality features alone are not enough to create a successful leadership.

2. Focus towards leadership behavior studies by Ohio State University To obtain a summary regarding the most important and effective behavior of successful leaders. Study found that 2 consistent and important behaviors of leaders: behavior of consideration and structural behavior Study found that leaders having a high level of consideration behavior are more inclined to have satisfied subordinates compared to leaders of low level of consideration behavior.

ii. Studies by Michigan University To identify basic principles that contribute towards productivity and satisfaction of group members Study found that consideration behavior (worker/employee oriented) and structural behavior (task oriented) are exclusive and separated behavior. Again, study found that consideration behavior or employee- oriented behavior has a close association with successful leadership

iii. Blake & Mouton Managerial Grid (pg 137) Also known as leadership grid Position of leadership at 9-9 is the best 9-1 : authoritarian (high consideration on production & low consideration on people) 1-9 : country club management (very concerned for people, creating happy and friendly work condition) 1-1 : impoverished (no care for both production and employees) 5-5 : leaders that show moderate consideration towards employees and production

3 types of leadership styles: Refers to the behavior exhibited by a leader when dealing with subordinates and decision making 3 types of leadership styles: Autocratic (leader makes more decisions) Laissez-faire (allow group members to make all decisions) Democratic (guide & encourage the group to make decisions)

2. Follower-centered approach Creating leaders of organizations who are ready to lead themselves The successor variables to leadership and leadership neutralization create a situation where leadership is no longer needed or the presence of the leadership will not bring significant effect on performance.

3. Interactive approach This approach is looking at the way used by leader to interact with his followers, either directly or indirectly. Situational leadership model *task behavior vs relationship behavior ~when the level of maturity of followers increase, task behavior must be reduced while relationship behavior must be increased. ~4 different styles: telling/directing, selling/coaching, participating/supporting and delegating

Path-goal model ~by Martin Evans and Robert House ~stated that a leader is able to increase satisfaction and performance of subordinates by explaining and setting up the path towards behavioral goals. ~4 types of leader’s behavior : directive, supportive, participative & achievement-oriented. (refer pg. 142/ 285) Fiedler’s contingency model ~suggested two personality features: task motivation and relations motivation. Generally leader with relations orientation considered as better leader.

Continuum Behavior leader - Robert Tannenbaum and Warren Schmidt believed that different situations require different leadership style. - 3 important forces that related to effective leadership styles: ~forces from leader ~forces within subordinates ~forces within situation -leader on the left continuum depicts autocratic, in the middle depict changes from autocratic to democratic, on the right depicts control is in the hand of subordinates

Strategic leadership *Visionary leadership : able to create positive image for future *Charismatic leadership : leader with features that create strong relationship between themselves and subordinates, have high level of reference force *Transactional leadership : rewards and punishment for performance *Transformational leadership : capable of enlightening and accepting suggestions and visions of the group, able to encourage employees to look beyond their own needs and interest