1 Chapter 12 The Manager as a Leader

2 Lesson 12.1 The Importance of Leadership Goals Recognize the importance of leadership and human relations. Identify important leadership characteristics and types of power. Describe four types of power available to leaders.

3 1.Changing Role of Managers / Leaders Years ago, managers just told employees what to do and expected them to do it Nowadays, other elements are important  Employees must understand why the work is important and must want to do the work  Leader — manager who earns the respect and cooperation of employees to effectively accomplish the work of the organization

4 2. What Is Leadership? Leadership — ability to influence individuals and groups to cooperatively achieve organizational goals Human Relations skills – how well people get along with each other when working together  Groups of people that respect one another and work well together do better work than groups characterized by negative feelings, hostility, etc.

5 3.Developing as a Leader A manager can contribute to effective or ineffective human relations Not every manager is an effective leader  BUT – these skills can be learned  Lots of money is spent on leadership training for managers

6 4.Good vs. Bad Leaders Good managers / leaders create a work environment in which employees enjoy their work and want to do a good job Poor managers / leaders may be able to get employees to perform the necessary tasks, but the work may be done poorly and inefficiently

7 5.Basic Leadership Traits Personal Qualities, rather than specific ways that managers behave Intelligence Judgment Objectivity Initiative Dependability Cooperation Honesty Courage Confidence Stability Understanding

8 6.Management Power POSITION POWER comes from manager’s position in the organization REWARD POWER based on the ability to control rewards and punishments EXPERT POWER given to people because of their superior knowledge about the work IDENTITY POWER given to people because others identify with and want to be accepted by them Power – the ability to control behavior

9 7.Using Power Effectively Managers can influence their employees because of position or because of the rewards/punishments they control  Not related to leadership characteristics  Employees do not grant those types of power to managers  Employees do the work – but not willingly Expert and identity power  Related to leadership characteristics  Can there be powerful people within a business that are not managers? …explain!

10 Checkpoint! Can you… Recognize the importance of leadership and human relations? Identify important leadership characteristics and types of power? Describe four types of power available to leaders?

11 Lesson 12.2 Developing Leadership Skills Goals Discuss why businesses value leadership skills of managers and employees. Identify and define five important human relations skills.

12 8.Leadership in Business Since the shift to teamwork in business  Employers want to hire people with leadership skills  Training and personal development for many employees, not just managers

13 9. Human Relations Skills Managers are in contact with other managers, employees, customers, etc. and need the following skills:  Self-understanding – an awareness of your attitudes and opinions, your leadership style, your decision-making style, and your relationships with other people  Understanding others – cannot treat all people the same  Communication – listening, speaking, writing Know WHAT needs to be communicated and HOW  Team building – getting people to believe in the goals of the company and work well together to accomplish them  Developing job satisfaction – influenced by personal characteristics, individual needs, and the work itself

14 Checkpoint! Can you… Discuss why businesses value leadership skills of managers and employees? Identify and define five important human relations skills?

15 Lesson 12.3 Leadership Styles Goals Describe three views of employees that affect the amount of management supervision. Differentiate among three leadership styles.

Management Views of Employees Close management — employees must be closely managed to perform well  Mgr believes emp. will not take initiative otherwise  Mgr believes emp. only work to get paid Limited management — employees enjoy their work and do not need close supervision and control  Mgr asks emp. how they want to do their work, less control Flexible management — managers’ flexible views of employees allow flexibility in their treatment  Mgr switches style between the two above depending upon the situation

New vs. Experienced Employees New employees  May be unsure of the work and appreciate closer supervision  If they feel the mgr doesn’t trust them, they may require more mgr attention Experienced employees  Will be upset with very close supervision  May feel like mgmt doesn’t have confidence in them

18 Checkpoint! What are the views of employees that lead to close management and to limited management?

Leadership Styles The way a manager gives directions, handles problems, and makes decisions Affected by:  Manager’s preparation  Experiences  Beliefs about whether employees like or dislike their work

Types of Leadership Styles Autocratic leader — gives direct, precise orders and detailed instructions; seldom consults with employees = EFFICIENCY  Discourages employees from thinking about better ways of doing their work  Does not prepare employees for leadership positions  Best used in emergency situations

21 Democratic leader — encourages workers to share in decision making  Employees feel managers have confidence in them  Time consuming, some people don’t like to be involved in decisions Open leader — gives little or no direction  Emp. are expected to know what need to be done  Can lead to lack of direction and confusion  Not ideal for new employees Situational leader — matches actions and decisions to the circumstances  Combo of the other 3 styles  *MOST EFFECTIVE STYLE OF LEADERSHIP

22 Checkpoint! Can you… Describe three views of employees that affect the amount of management supervision? Differentiate among three leadership styles?

23 Lesson 12.4 Dealing with Employee Problems Goals Recognize when and how to deal with the personal problems of employees. Discuss why work rules are needed in organizations. Describe how managers should respond to employee rules violations.

Dealing with Employee Problems Handling difficult personal problems  Can be drug/alcohol abuse, financial difficulties, personal relationships  Managers needs to help resolve these issues  Offer counseling or professional services Applying work rules (regulations created to maintain an effective working environment in a business)  IE: Responding to rules violations  Hot Stove Principle: reacting immediately, objectively, and firmly to rules violations

Management Guidelines for Enforcing Work Rules Explain work rules and provide written copies of the rules to all employees. Acquaint employees with penalties for work rule violations and make sure they understand the penalties as well as when and how they will be applied. Investigate any violation thoroughly before taking action. Consider any special circumstances before determining the violation and the penalty.

26 Act as soon as possible after investigating a violation and deciding on the action to be taken. Inform the employee who violated a work rule of the rule that was violated, the penalty that will be applied, and the reason for the penalty. Treat similar violations consistently. Punish in private and praise in public. Encourage employees to follow work rules by rewarding those who consistently follow the rules.

27 Checkpoint! Can you… Recognize when and how to deal with the personal problems of employees? Discuss why work rules are needed in organizations? Describe how managers should respond to employee rules violations?