Why do we need leaders & managers? Incomplete organizational structure External and internal change Motivate, inspire and influence Leaders Managers Personal power Culture based on shared values Emotional link with followers Position power Implement policies & procedures Maintain objectivity Behaviour: the way someone performs a task - Authoritarian - Democratic: - Laissez-Faire: Autocratic styles tend to work best in High Power-Distance countries, and Participative styles in Low Power-Distance countries [Hoffstede]

The Michigan and the Ohio State Studies were two prominent “behavioural approach”, conducted simultaneously 1940s to examine behaviours associated with effective leadership. The Michigan Studies Found that leadership consists of two separate dimensions: - Job-centered leader behaviour - Employee-centered leader behaviour. The Ohio State Studies Found that leaders engaged in two separate sets of leadership behaviours, referred to as consideration and initiating structure. Consideration Involves being concerned with subordinates’ feelings and respecting subordinates’ ideas. Initiating Structure Involves clearly defining the leader-subordinate roles so that subordinates know what is expected of them.

The Evolution of Leadership Research Contingency Theories (person x situation) Fiedler’s contingency theory (enduring personality-like qualities) House’s path-goal theory (behavior repertoire) Behaviors (task and people) Traits 1900 1950 1960 1970 Time

☀ W2. Again: What is leadership? HR & SWOT-strategies Where is PEAK?

☀ Again: What is leadership? Accomplishing things/responsibility: (P) Decisions & confrontations (E) Welfare & empowerment (A) Differential rewards & performance (K) Avoid irritating creative and productive people. Already at recruitment: [P] Accomplishment happens through attracting the best people. Recruit people with a balanced live, humour and leisure preferences. [E] Give power and financial accountability to those who deliver, not those who count and analyze. [A] Organizational charts and titles are important, but not always. [K] Recruit people who are willing to learn, welcome new responsibilities and reinvent themselves

☀ Accessibility and availability (P) Leadership stops the day problems stops [E) The thing & the context: look beneath surface appearance [A] DET: Good leaders don't wait to try things out [K] Good leadership encourages everyone's evolution. The Job of a leader is not to be the chief organizer, but the chief dis-organizer, the chaos pilot.

☀ The essence of leadership LEADERSHIP ROLES Policy issues, strategic decision making & structural change [Origination = top managers on system level] Interpret strategic decisions and design method of implementation [Interpolation = intermediate-level managers on subsystem level] Implement policies and procedures efficiently [Administration = lower-level managers with know-how] [P] Participative management [E] Bottom-up involvement. [A] Willingness to make the tough, unambiguous decisions and choices that affect the organization. [K] Chaos pilots have their methods and systems.

☀ 1925 Mary Parker Follett Offered observations on management and organizations from mid-1920s to early 1930s Three of her observations: power, conflict, and leadership

☀Power Capacity to get work done Distinguished from authority Can delegate authority but not power Two types of power: power-over and power-with Power-over: dominance or coercion; control based on force Power-with: jointly developed power; closely related to cooperation Follett had a positive view of power and saw it as basic to organizations and management

☀Conflict Observations appeared in her unusually titled paper “Constructive Conflict” Difference, not warfare Differences in opinions and interests Cannot avoid conflict in organizations Managers should put conflict to use in their organizations Managing conflict Dominance: one side wins over the other Compromise: each side gives up something to settle an issue Integration of desires Find solution that fully meets goals of each party Neither party gives up anything Integration discovers something new; compromise uses only what exists

☀Leadership Prevailing view of leadership was based on dominance and aggression Offered an alternative view of leadership with many positive qualities Action-oriented person clearly focused on the future A vision of the future Focuses the energies of people on that purpose Decisions made with an understanding of their long-term effects

☀ 1960: Theory X and Theory Y Douglas McGregor The Human Side of Enterprise, McGregor compared 2 sets of beliefs about human nature” (1960). Theory Z (Ouchi). Theory Z was mainly developed from a study of successful Japanese organizations: subtle and indirect supervision collective decision making long term employment slower but more predicable promotions holistic concern for employees