1. Managing Leadership and Influence Processes
CHAPTER 17
Managing Leadership and Influence Processes
PowerPoint Presentation by Charlie Cook
Copyright © by Houghton Mifflin Company. All rights reserved.

2. Learning Objectives
After studying this chapter, you should be able to:
Describe the nature of leadership and distinguish leadership from management.
Discuss and evaluate the trait approach to leadership.
Discuss and evaluate models of leadership, focusing on behaviors.
Identify and describe the major situational approaches to leadership.
Identify and describe three related perspectives on leadership.
Discuss political behavior in organizations and how it can be managed.

3. Chapter Outline The Nature of Leadership
The Meaning of Leadership
Leadership Versus Management
Power and Leadership
The Search for Leadership Traits
Leadership Behaviors
Michigan Studies
Ohio State Studies
Managerial Grid
Situational Approaches to Leadership
LPC Theory
Path-Goal Theory
Vroom’s Decision Tree
The Leader-Member Exchange
Related Perspectives on Leadership
Substitutes for Leadership
Charismatic Leadership
Transformational Leadership
Political Behavior in Organizations
Common Political Behaviors
Managing Political Behaviors

4. The Nature of Leadership
The Meaning of Leadership
Process: what leaders actually do.
Using noncoercive influence to shape the group’s or organization’s goals.
Motivating others’ behavior toward goals.
Helping to define organizational culture.
Property: who leaders are.
The set of characteristics attributed to individuals perceived to be leaders.
Leaders
People who can influence the behaviors of others without having to rely on force.
People who are accepted as leaders by others.

5. The Nature of Leadership (cont’d)
Leadership Versus Management
Source: Adapted from A Force for Change: How Leadership Differs from Management by John P. Kotter. Copyright © 1990 by John P. Kotter, Inc. Reprinted with permission of The Free Press, a division of Simon & Schuster Inc.
Table 17.1

6. The Nature of Leadership (cont’d)
Power and Leadership
Power is the ability to affect the behavior of others.
Legitimate power is granted through the organizational hierarchy.
Reward power is the power to give or withhold rewards.
Coercive power is the capability to force compliance by means of psychological, emotional, or physical threat.
Referent power is the personal power that accrues to someone based on identification, imitation, loyalty, or charisma.
Expert power is derived from the possession of information or expertise.

7. The Nature of Leadership (cont’d)
Using Power
Legitimate request
Compliance by a subordinate with a manager’s request because the organization has given the manager the right to make the request.
Instrumental compliance
A subordinate complies with a manager’s request to get the rewards that the manager controls.
Coercion
Threatening to fire, punish, or reprimand subordinates if they do not do something.
Rational persuasion
Convincing subordinates that compliance is in their own best interest.

8. The Nature of Leadership (cont’d)
Using Power (cont’d)
Personal identification
Using the referent power of a superior’s desired behaviors to shape the behavior of a subordinate.
Inspirational appeal
Influencing a subordinate’s behavior through an appeal to a set of higher ideals or values (e.g., loyalty).
Information distortion
Withholding or distorting information (which may create an unethical situation) to influence subordinates’ behavior.
Using the superior’s referent power over a subordinate to shape his behavior.

9. The Search for Leadership Traits
Traits Approach to Leadership
Assumed that a basic set of personal traits that differentiated leaders from nonleaders could be used to identify leaders and as a tool for predicting who would become leaders.
The trait approach was unsuccessful in establishing empirical relationships between traits and persons regarded as leaders.

10. Leadership Behaviors Michigan Studies (Rensis Likert)
Identified two forms of leader behavior
Job-centered behavior—managers who pay close attention to subordinates’ work, explain work procedures, and are keenly interested in performance.
Employee-centered behavior—managers who focus on the development of cohesive work groups and employee satisfaction.
These two forms of leader behaviors were considered to be at opposite ends of the same continuum and similar to (respectively) Likert’s System 1 and System 4 of organizational design.

11. Leadership Behaviors (cont’d)
Ohio State Studies
The studies did not interpret leader behavior as being one-dimensional as did the Michigan State studies.
Identified two basic leadership styles that can be exhibited simultaneously:
Initiating-structure behavior—the leader clearly defines the leader-subordinate role expectations, formalizes communications, and sets the working agenda.
Consideration behavior—the leader shows concern for subordinates and attempts to establish a friendly and supportive climate.

12. Leadership Behaviors (cont’d)
Ohio State Studies (cont’d)
Initial assumption of the research was that leaders who exhibit high levels of both behaviors would be most effective leaders. Subsequent research indicated that:
Employees of supervisors ranked highly on initiating structure were high performers, although they expressed low levels of satisfaction and had higher absenteeism.
Employees of supervisors ranked highly on consideration had low- performance ratings, but they had high levels of satisfaction and had less absenteeism.
Other situational variables were making consistent leader behavior predictions difficult.
There is no universal or “one best way” model of leadership.

13. 4 6 2 1 3 5 8 7 9
Concern for production
High
Low
1,9
9,9
1,1
9,1
Team Management
Work accomplishment is
from committed people;
interdependence through
a “common stake” in
organization purpose
leads to relationships
of trust and respect.
Middle of the Road
Management
Adequate organization performance is
possible through balancing the necessity
to get out work with maintaining morale
of people at a satisfactory level.
Impoverished Management
Exertion of minimum effort
to get required work done
is appropriate to sustain
organization membership.
Authority-Compliance
Efficiency in operations
results from arranging
conditions of work in
such a way that
human elements
interfere to a
minimum degree.
5,5
Country Club Management
Thoughtful attention to
the
needs of people for satisfying
relationships leads to a
comfortable, friendly
organization atmosphere
and work tempo.
Concern for people
Leadership Grid
The Leadership Grid® is a method of evaluating leadership styles. The Grid® is used to train managers so that they are simultaneously more concerned for people and for production (9,9 style on the Grid®).
Source: From Leadership Dilemmas—Grid Solutions by Robert R. Blake and Anne Adams McCanse. (Formerly the Managerial Grid by Robert R. Blake and Jane S. Mouton.) Houston: Gulf Publishing Company, p. 29. Copyright © 1991 by Scientific Methods, Inc. Reproduced by permission of the owners.
Figure 17.1

14. Situational Approaches to Leadership
Situational Models of Leader Behavior
Assume that:
Appropriate leader behavior varies from one situation to another.
Key situational factors that are interacting to determine appropriate leader behavior can be identified.
Leadership Continuum (Tannenbaum and Schmidt)
Variables influencing the decision-making continuum:
Leader’s characteristics—value system, confidence in subordinates, personal inclinations, and feelings of security.
Subordinates’ characteristics—independence needs, readiness for responsibility, tolerance of ambiguity, interest in the problem, understanding goals, knowledge, experience, and expectations.
Situational Characteristics—type of organization, group effectiveness, the problem itself, and time pressures.

15. Situational Approaches to Leadership (cont’d)
Tannenbaum and Schmidt’s Leadership Continuum
Use of Authority
by Manager
Boss-centered leadership
Manager makes
decision and
announces it
Manager permits
subordinates to
function within
limits defined by
superior
Manager defines
limits, asks group
to make decision
Manager presents
problem, gets
suggestions,
makes decision
tentative decision
subject to change
ideas and invites
questions
Manager “sells” decision
Area of Freedom
for Subordinates
Subordinate-centered leadership
Source: Reprinted by permission of the Harvard Business Review. An exhibit from “How to Choose a Leadership Pattern” by Robert Tannenbaum and Warren Schmidt (May–June 1973). Copyright © by the President and Fellows of Harvard College; all rights reserved.
Figure 17.2

16. Situational Approaches to Leadership (cont’d)
Least-Preferred Coworker Theory (Fiedler)
The appropriate style of leadership varies with situational favorableness (from the leader’s viewpoint).
Least preferred coworker (LPC)
The measuring scale that asks leaders to describe the person with whom they are least able to work well.
High LPC scale scores indicate a relationship orientation; low LPC scores indicate a task orientation on the part of the leader.
Contingency variables determining situational favorableness:
Leader-member relations—the nature of the relationship between the leader and the work group.
Task structure—the degree to which the group’s task is defined.
Position Power—the power vested in the leader’s position.

17. Situational Approaches to Leadership (cont’d)
The Least-Preferred Coworker Theory of Leadership
Contingency Factors
Situations
Leader-member relations
Good
Task structure
High
Position power
Strong
Bad
Low
Weak
Favorableness
of Situation
Appropriate
Leader Behavior
Most favorable
Moderately favorable
Most unfavorable
Task-oriented
Relationship-oriented
Figure 17.3

18. Situational Approaches to Leadership (cont’d)
Path-Goal Theory (Evans and House)
The primary functions of a leader are to make valued or desired rewards available in the workplace and to clarify for the subordinate the kinds of behavior that will lead to goal accomplishment or rewards.
Leader Behaviors:
Directive leader behavior—letting subordinates know what is expected of them, giving guidance and direction, and scheduling work.
Supportive leader behavior—being friendly and approachable, having concern for subordinate welfare, and treating subordinates as equals.
Participative leader behavior—consulting with subordinates, soliciting suggestions, and allowing participation in decision making.
Achievement-oriented leader behavior—setting challenging goals, expecting subordinates to perform at high levels, encouraging and showing confidence in subordinates.

19. The Path-Goal Theory Situational Factors: Work Situation Leadership
Follower lacks self-confidence
Supportive
Achievement- oriented
Participative
Directive
Leadership
Style
Impact on
Followers
Expected Results
Lack of job challenge
Improper procedures and poor decisions
Ambiguous job
Increases self-
confidence to
complete task
Encourages setting high but attainable goals
Clarifies follower need for making suggestions and involvement
Clarifies path to get rewards
Increased effort. job satisfaction, and performance; fewer grievances
Improved performance and greater job satisfaction
Improved performance and greater satisfaction; less turnover
Improved performance and job satisfaction

20. Path Goal Theory to Leadership (cont’d)
The Path-Goal Framework
Subordinates ’
personal
characteristics •
Perceived ability
Locus of control
Leader behaviors
Directive
Supportive
Participative
Achievement-
oriented
Environmental
Task structure
Work group
motivation to perform
Figure 17.4

21. Situational Approaches to Leadership (cont’d)
Vroom Decision Tree Approach
Attempts to prescribe a leadership style appropriate to a given situation.
Basic Premises
The degree to which subordinates should be encouraged to participate in decision making depends on the characteristics of the situation.
No one decision-making process is best for all situations.
After evaluating the different problem attributes, a leader can choose a decision path on one of two decision trees that determines the decision style and specifies the amount of employee participation.
Decision significance—the degree to which the decision will have an impact on the organization. Subordinates are involved when decision significance is high.
Decision Timeliness—the degree of time pressure for making a decision in a timely basis; may preclude involving subordinates.

22. Situational Approaches to Leadership (cont’d)
Vroom Decision Tree Approach (cont’d)
Decision-Making Styles
Decide—manager makes decision alone and then announces or “sells” it to the group.
Consult (individually)—manager presents program to group members individually, obtains their suggestions, then makes the decision.
Consult (group)—manager presents problem to group at a meeting, gets their suggestions, then makes the decision.
Facilitate—manager presents the problem to the group, defines the problem and its boundaries, and then facilitates group member discussion as they make the decision.
Delegate—manager allows the group to define for itself the exact nature and parameters of the problem and then develop a solution.

23. Vroom’s Time-Driven Decision TreeP R O B L E M S T A N H
Decide
Consult (group)
Delegate
Facilitate
Consult (individually)
Decision Significance
Importance of Commitment
Leader Expertise
Likelihood of Commitment
Group Support
Group Expertise
Team Competence
Vroom’s Time-Driven Decision Tree
Source: Victor Vroom’s Time-Driven Model from A Model of Leadership Style, copyright Vroom, 1998.
Figure 17.5

24. Vroom’s Development-Driven Decision Tree
Decide
Consult (group)
Facilitate
Delegate H L -- —
PROBLEM STATEMENT
Decision Significance
Importance of Commitment
Leader Expertise
Likelihood of Commitment
Group Support
Group Expertise
Team Competence
Vroom’s Development-Driven Decision Tree
Source: Victor Vroom’s Development-Driven Model from A Model of Leadership Style, copyright Vroom, 1998.
Figure 17.6

25. Situational Approaches to Leadership (cont’d)
The Leader-Member Exchange (LMX) Approach
Stresses the importance of variable relationships between supervisors and each of their subordinates.
Leaders form unique independent relationships (“vertical dyads”) with each subordinate in which the subordinate becomes a member of the leader’s out-group or in-group.
Leader
Subordinate 1 2 3 4 5
Out-Group
In-Group
Figure 17.7

26. Related Perspectives on Leadership
Substitutes for Leadership
A concept that identifies situations in which leader behavior is neutralized or replaced by characteristics of subordinates, the task, and the organization.

27. Related Perspectives on Leadership (cont’d)
Charismatic Leadership (House)
Charisma, an interpersonal attraction that inspires support and acceptance, is an individual characteristic of a leader.
Charismatic persons are more successful than noncharismatic persons.
Charismatic leaders are self-confident, have a firm conviction in their belief and ideals, and possess a strong need to influence people.

28. Related Perspectives on Leadership (cont’d)
Charismatic Leadership (cont’d)
Charismatic leaders in organizations must be able to:
envision the future, set high expectations, and model behaviors consistent with expectations.
energize others through a demonstration of excitement, personal confidence, and patterns of success.
enable others by supporting them, by empathizing with them, and by expressing confidence in them.

29. Related Perspectives on Leadership (cont’d)
Transformational Leadership
Leadership that goes beyond ordinary expectations, by transmitting a sense of mission, stimulating learning, and inspiring new ways of thinking.
Seven keys to successful leadership
Trusting in one’s subordinates
Developing a vision
Keeping cool
Encouraging risk
Being an expert
Inviting dissent
Simplifying things

30. Political Behavior in Organizations
The activities carried out for the specific purpose of acquiring, developing, and using power and other resources to obtain one’s preferred outcomes.
Common Political Behaviors
Inducement—offering to give something to someone else in return for that person’s support.
Persuasion—persuading others to support a goal on grounds that are objective and logical as well as subjective and personal.
Creation of an obligation—providing support for another person’s position that obliges that person to return the favor at a future date.
Coercion—using force to get one’s way.
Impression management—making a direct and intentional effort to enhance one’s image in the eyes of others.

31. Political Behavior in Organizations (cont’d)
Managing Political Behavior
Be aware that even if actions are not politically motivated, others may assume that they are.
Reduce the likelihood of subordinates engaging in political behavior by providing them with autonomy, responsibility, challenge, and feedback.
Avoid using power to avoid charges of political motivation.
Get disagreements and conflicts out in the open so that subordinates have less opportunity to engage in political behavior.
Avoid covert behaviors that give the impression of political intent even if none exists.