Chapter 9 Fundamentals of Leadership

2 Learning Objectives 1)Describe the characteristics and skills related to managerial effectiveness. 2)Compare and contrast Theory X and Theory Y. 3)Distinguish among four styles of leadership behavior. 4)Explain the concept of “self-leaders” and the basic rules of behavior. 5)Describe the two major dimensions of leadership. 6)Distinguish among the contingency leadership approaches.

3 Learning Objectives (contd.) 7)Describe several challenges of leaders in the next decade. 8)Identify ways of developing internal leaders and dealing with high-potential employees who have bad work habits.

4 The Nature of Leadership Leadership is the process of influencing people to direct their efforts toward particular goals. Leadership characteristics are those possessed by effective leaders and include drive, originality, persistence, and tolerance of stress. Personal characteristics are personal attributes often possessed by effective leaders and include superior mental ability, emotional maturity, and problem-solving skills.

5 Figure Skills Needed at Different Hierarchical Levels

6 Table Summary of Leadership Skills

7 Theory X and Theory Y Theory X holds that people are basically lazy. Theory Y holds that, under the right conditions, people will work.

8 Figure Continuum of Leadership Behavior

9 Leader-Subordinate Interactions (based on Figure 9.3) Leader Subordinate Leader Subordinate Authoritarian Leadership Paternalistic Leadership

10 Based on Figure 9.3 (Contd) Leader Subordinate Leader Subordinate Laissez-Faire Leadership Participative Leadership Continual flow of info. from leader to subordinate Continual exch. of info. between leader and subordinate and/or between subordinates themselves Occasional exch. of info between leader and subordinate

11 Figure A Leadership Grid

12 Figure Contingency Leadership Styles Applied to a Leadership Grid

13 Fiedler’s Contingency Model … holds that leader effectiveness is determined by leadership style and situational variables. The least preferred coworker scale describes the individual with whom the respondent can work least well.

14 Situational Variables in Fiedler’s Model  Leader-member relations  Task structure  Leader position power

15 The Managerial Grid (based on Figure 9.7) 1, 9 Country Club Manager 9,9 Team Builder 5,5 Organization Man 1,1 Do-Nothing Manager 9,1 Production Pusher 1 Low Concern for Production 9 High 9 1 Low Concern for People

16 Table Transformational and Transactional Leaders: A Comparison

17 Figure An Optimal Profile of Universal Leadership Behaviors

18 Key Terms in the Chapter Leadership Leadership characteristics Personal characteristics Trait theory Technical skills Human skills Conceptual skills Theory X Theory Y Authoritarian leadership Paternalistic leadership Participative leadership Laissez-faire leadership Leadership dimensions Fiedler’s contingency model

19 Key Terms in the Chapter (contd.) Least preferred coworker scale Leader-member relations Task structure Leader position power Managerial grid 1,1 Managerial style 9,1 Managerial style 1,9 Managerial style 5,5 Managerial style 9,9 Managerial style Charismatic leader Transformational leader Transactional leader