11-2 Leadership: What makes an Effective Leader Copyright © 2008 by the McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin Organizational Behavior, Core Concepts 11 Organizational Behavior core concepts

11-3 Learning Objectives Discuss theories that look for ideal leadership traits and one best style of leadership Explain how leadership style interacts with situational control and other situational variables Describe the difference between transactional and transformational leadership

11-4 Learning Objectives Identify leadership styles and traits that are most effective cross-culturally Describe the leader-member exchange (LMX) model of leadership Summarize the alternative views of shared leadership, servant-leadership, and Level 5 leadership

11-5 What Does Leadership Involve? Leadership –influencing employees to voluntarily pursue organizational goals

11-6 Trait Theory Leader trait –personal characteristics that differentiate leaders from followers. Leadership prototype –mental representations of the traits and behaviors possessed by leaders.

11-7 Gender and Leadership Men were seen as displaying more task leadership Women were seen as displaying more social leadership Women used a more democratic or participative style Men used a more autocratic and directive style than women

11-8 Gender and Leadership Men and women were equally assertive Women executives, when rated by their peers, managers, and direct reports, scored higher than their male counterparts on a variety of effectiveness criteria

11-9 Key Positive Leadership Traits

11-10 The Ohio State Studies Consideration –creating mutual respect and trust with followers. Initiating structure –organizing and defining what group members should be doing.

11-11 The Leadership Grid Formed by the intersection of two dimensions: concern for production and concern for people

11-12 The Leadership Grid Leadership Styles Impoverished management Country club management Authority-compliance Middle-of-the-road management Team management

11-13 Behavioral Styles in Perspective Leader behaviors can be systematically improved and developed There is no one best style of leadership It is important to consider the difference between how frequently and how effectively managers exhibit various leader behaviors

11-14 Situational Theories Situational theories –propose that leader styles should match the situation at hand.

11-15 Fiedler’s Contingency Model The performance of a leader depends on two interrelated factors: The degree to which the situation gives the leader control and influence The leader’s basic motivation

11-16 Question? What refers to the amount of influence the leader has in his immediate work environment? A.Contingency control B.Situational control C.Conditional influence D.Position power

11-17 Fiedler’s Contingency Model Situational control –refers to the amount of control and influence the leader has in his immediate work environment

11-18 Three Dimensions of Situational Control Leader-member relations –the extent to which the leader has the support, loyalty, and trust of the work group Task structure –concerned with the amount of structure contained within tasks performed by the work group

11-19 Three Dimensions of Situational Control Position power –the degree to which the leader has formal power to reward, punish, or otherwise obtain compliance from employees

11-20 Representation of Fiedler’s Contingency Model Figure 11-1

11-21 Path-Goal Theory Describes how leadership effectiveness is influenced by the interaction between leadership behaviors and a variety of contingency factors

11-22 Path-Goal Theory Contingency factors –variables that influence the appropriateness of a leadership style

11-23 A General Representation of House’s Revised Path-Goal Theory Figure 11-2

11-24 Categories of Leader Behavior

11-25 Transactional Leadership Transactional leadership –focuses on the clarifying employees’ roles and providing rewards contingent on performance

11-26 Transformational Leadership Transformational leadership –transforms employees to pursue organizational goals over self-interests.

11-27 Question? Which transformational leader behavior encourages employees to question the status quo? A.Inspirational motivation B.Idealized influence C.Individualized consideration D.Intellectual stimulation

11-28 Transformational Leader Behaviors Inspirational motivation –establishing an attractive vision of the future, the use of emotional arguments, and exhibition of optimism and enthusiasm Idealized influence –sacrificing for the good of the group, being a role model, and displaying high ethical standards

11-29 Transformational Leader Behaviors Individualized consideration –providing support, encouragement, empowerment, and coaching to employees Intellectual stimulation –behavior that encourages employees to question the status quo and to seek innovative solutions to organizational problems

11-30 A Transformational Model of Leadership Figure 11-3

11-31 International Leadership: Lessons from the GLOBE Project An attempt to develop an empirically based theory to describe, understand, and predict the impact of specific cultural variables on leadership and organizational processes and the effectiveness of these processes

11-32 The Leader-Member Exchange (LMX) Model of Leadership Focuses on the quality of relationships between managers and subordinates as opposed to the behaviors or traits of either leaders or followers Revolves around the development of dyadic relationships between managers and their direct reports

11-33 The Leader-Member Exchange (LMX) Model of Leadership in-group exchange –a partnership characterized by mutual trust, respect and liking out-group exchange –a partnership characterized by a lack of mutual trust, respect and liking

11-34 Managerial Implications Leaders are encouraged to establish high-performance expectations for all of their direct reports Managers should be careful that they don’t create a homogeneous work environment

11-35 Shared Leadership Shared leadership –simultaneous, ongoing, mutual influence process in which people share responsibility for leading

11-36 Servant Leadership Servant leadership –focuses on increasing services to others rather than oneself Read the Servant Leader newsletter

11-37 Characteristics of the Servant- Leader

11-38 The Level 5 Hierarchy Figure 11-4