1. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Chapter 12 Organizational Behavior: Foundations, Realities, & Challenges Nelson & Quick, 5 th edition Leadership and Followership

2. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Leadership and Followership Leadership – the process of guiding and directing the behavior of people in the work environment Formal leadership – the officially sanctioned leadership based on the authority of a formal position Informal leadership – the unofficial leadership accorded to a person by other members of the organization Followership – the process of being guided and directed by a leader in the work environment

3. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Kotter: Management and Leadership Management –Reduces uncertainty –Stabilizes organizations Leadership –Creates uncertainty –Creates change

4. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Kotter: Management and Leadership Management Characteristics –Planning and budgeting –Organizing and staffing –Controlling and problem solving Leadership Characteristics –Setting a direction for the organization –Using communication to align people with that direction –Motivating people to action through empowerment and basic need gratification

5. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Leadership vs. Management Leaders and managers –Have distinct personalities –Make different contributions Both make valuable contributions Each one’s contributions are different Leaders agitate for change and new approaches Managers advocate for stability and status quo

6. Leaders and Managers Personality Dimension ManagerLeader Attitudes toward goals Impersonal, passive, functional; goals arise out of necessity and reality Personal, active; goals arise from desire and imagination Conceptions of work Combines people, ideas, things; seeks moderate risk, enables process Looks for fresh approaches to old problems; seeks high- risk with high payoffs Relationships with others Prefers to work with others; avoids close and intense relationships, avoids conflicts Comfortable in solitary work; encourages close, intense relationships; not averse to conflict Sense of selfBorn once; accepts life as it is; unquestioning Born twice; struggles for sense of order questions life SOURCE: Reprinted by permission of Harvard Business Review. From A. Zaleznik, “Managers and Leaders: Are They Different?” Harvard Business Review 55 (1977): 67-77. Copyright © 1977 by the Harvard Business School Publishing Corporation; all rights reserved. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved

7. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Early Trait Theories Distinguished leaders by –Physical attributes –Personality characteristics –Social skills and speech fluency –Intelligence and scholarship –Cooperativeness –Insight Early trait theory research resulted in controversial findings

8. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Leadership Behavioral Theory: Lewin Studies Democratic Style – the leader takes collaborative, reciprocal, interactive actions with followers; followers have high degree of discretionary influence Laissez-Faire Style – the leader fails to accept the responsibilities of the position; creates chaos in the work environment Autocratic Style – the leader uses strong, directive, controlling actions to enforce the rules, regulations, activities, and relationships; followers have little discretionary influence

9. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Leadership Behavioral Theory: Ohio State Studies Initiating Structure – Initiating Structure – leader behavior aimed at defining and organizing work relationships and roles; establishing clear patterns of organization, communication, and ways of getting things done Consideration – Consideration – leader behavior aimed at nurturing friendly, warm working relationships, as well as encouraging mutual trust and interpersonal respect within the work unit

10. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Leadership Behavioral Theory: Michigan Studies Production-Oriented Leader Constant leader influence Direct or close supervision Many written or unwritten rules and regulations Focus on getting work done Employee-Oriented Leader Relationship-focused environment Less direct/close supervision Fewer written or unwritten rules and regulations Focus on employee concern and needs

11. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Concern for People Concern for Production High Low Leadership Grid Definitions Leadership Grid – an approach to understanding a leader’s or manager’s concern for results (production) and concern for people 5,5 Organization Man (5,5) – a middle-of- the-road leader Source: The Leadership Grid ® figure. Paternalism Figure and Opportunism 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 (Grid Figure: p. 29; Paternalism Figure: p. 30; Opportunism Figure: p. 31.) Copyright 1991 by Blake and Mouton, and Scientific Methods, Inc. Reproduced by permission of the owners.

12. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Concern for People Concern for Production High Low Leadership Grid Definitions Country Club Manager (1,9) – a leader who creates a happy, comfortable work environment 1,9 9,1 Authority Compliance Manager (9,1) – a leader who emphasizes efficient production Source: The Leadership Grid ® figure. Paternalism Figure and Opportunism 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 (Grid Figure: p. 29; Paternalism Figure: p. 30; Opportunism Figure: p. 31.) Copyright 1991 by Blake and Mouton, and Scientific Methods, Inc. Reproduced by permission of the owners.

13. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Concern for People Concern for Production High Low Leadership Grid Definitions Impoverished Manager (1,1) – a leader who exerts just enough effort to get by 1,1 9,9 Team Manager (9,9) – a leader who builds a highly productive team of committed people Source: The Leadership Grid ® figure. Paternalism Figure and Opportunism 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 (Grid Figure: p. 29; Paternalism Figure: p. 30; Opportunism Figure: p. 31.) Copyright 1991 by Blake and Mouton, and Scientific Methods, Inc. Reproduced by permission of the owners.

14. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Leadership Grid Definitions Paternalistic “father knows best” Manager (9+9) – a leader who promises reward and threatens punishment Concern for People Concern for Production High Low 1,9 9,1 9+9 Source: The Leadership Grid ® figure. Paternalism Figure and Opportunism 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 (Grid Figure: p. 29; Paternalism Figure: p. 30; Opportunism Figure: p. 31.) Copyright 1991 by Blake and Mouton, and Scientific Methods, Inc. Reproduced by permission of the owners.

15. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Leadership Grid Definitions Opportunistic “what’s in it for me” Manager (Opp) – a leader whose style aims to maximize self-benefit Opportunistic Management Concern for People Concern for Production High Low 1,9 9,1 9,9 1,1 5.5 1,9 9,1 9+9 Source: The Leadership Grid ® figure. Paternalism Figure and Opportunism 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 (Grid Figure: p. 29; Paternalism Figure: p. 30; Opportunism Figure: p. 31.) Copyright 1991 by Blake and Mouton, and Scientific Methods, Inc. Reproduced by permission of the owners.

16. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Fiedler’s Contingency Theory Fiedler’s Contingency Theory – classifies the favorableness of the leader’s situation –Least Preferred Coworker (LPC) – the person a leader has least preferred to work with over his or her career –Task Structure – degree of clarity, or ambiguity, in the group’s work activities –Position Power – authority associated with the leader’s formal position in the organization –Leader–Member Relations – quality of interpersonal relationships among a leader and group members

17. Path–Goal Theory of Leadership Leader behavior styles Directive Supportive Participative Achievement oriented Follower path perceptions Effort– Performance– Reward linkages Follower goals Satisfaction Rewards Benefits Workplace characteristics Task structure Work group Authority system Follower Characteristics Ability level Authoritarianism Locus of control Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved

18. Vroom-Yetton-Jago Normative Decision Model Consult individuallyConsult groupDecide Facilitate Delegate Use the decision method most appropriate for a given decision situation Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved

19. Hersey-Blanchard Situational Leadership ® Model Leader Behavior Task Behavior (Directive Behavior) (Supportive Behavior) Relationship Behavior (low)(high) (low) (high) S3 Share ideas and facilitate In decision making S2 Explain decisions and provide opportunity for clarification S1 Provide specific instructions and closely supervise performance S4 Turn over responsibility for decisions and implementation Low-Rel Low Task High Task High-Rel High Task Low-Rel High-Rel Low Task Delegating Participating Selling Telling SOURCE: P. Hersey and K. H. Blanchard and D.E. Johnson, Management of Organizational Behavior: Leading Human Resources, 8th ed. (Upper Saddle River, N.J.: Pearson Education, Inc., 2001). 182. Copyright © 2001. Center for Leadership Studies, Escondido, CA. Used with permission. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved ®

20. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Developments in Leadership Theory In-groups Members similar to leader Given greater responsibilities, rewards, attention Within leader’s inner circle of communication High job satisfaction and organizational commitment, low turnover Stress from added responsibilities Out-Groups Managed by formal rules and policies Given less attention; fewer rewards Outside the leader’s communication circle More likely to retaliate against the organization Stress from being left out of communication network Leader–Member Exchange

21. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Satisfying task Performance feedback Employee’s high skill level Team cohesiveness Organization’s formal controls Developments in Leadership Theory Substitutes for Leadership

22. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved As a transformational leader, I inspire and excite followers to high levels of performance. Developments in Leadership Theory Transformational Leadership As a transactional leader, I use formal rewards and punishments.

23. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Charismatic Leadership Charismatic Leadership – the use, by a leader, of personal abilities & talents in order to have profound & extraordinary effects on followers Charisma – means gift in Greek Charismatic leaders use referent power Potential for high achievement and performance Potential for destructive and harmful courses of action

24. Leadership Experience + Creativity + Management =

27. Leadership Experience is essentially the accumulation of “Assets”: Skills Knowledge Credentials

28. Leadership Experience leads to an understanding of cause and effect: Look at the big picture Work environments are not stable Events don’t often happen in isolation Chain of events

29. Leadership Experience also means developing contacts: Knowledgeable others Diverse viewpoints Professional and personal Networking Inexperienced people tend to be captive to a small circle of acquaintances

31. Leadership What is Management? The major responsibility of management is to manage -- Harold Geneen, ITT

32. Leadership Management functions: Scheduling activities Assigning responsibilities Training Resource allocation Anticipating problems Coordination with outside entities Monitoring results

33. Leadership Creativity – what is it? Are you a creative person?

34. Leadership Creativity: Novel associations that lead to new outcomes

35. Leadership The creative process: 1.Preparation 2.Concentration 3.Incubation 4.AHA!! 5.Verification

36. Leadership Requirements for creativity: A pool of inputs The ability to see novel connections amongst them The courage to pursue them

37. THE LIMITS OF TOLERABLE DEVIANCY

38. Creative Leadership Psychological Barriers Cultural Barriers Environmental Barriers Barriers To Creativity

39. Creative Leadership Barriers To Creativity Psychological Barriers Cultural Barriers Environmental Barriers Thinking Language Blocks Functional Fixedness Habitual Ways of Visualizing

40. Creative Leadership Good News:Creativity barriers can be overcome. Bad News:It isn’t easy!!

41. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Emerging Issues in Leadership Trust Emotional Intelligence Women Leaders Servant Leadership

42. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Emergence of Women Leaders

43. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Dynamic Follower Responsible steward of his or her job Effective in managing the relationship with the boss Practices self- management

44. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Cultural Differences in Leadership Leadership viewed differently across cultures Essential for leaders to understand other cultures Leaders need to alter approaches when crossing national boundaries

45. Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Guidelines for Leadership Unique attributes, predispositions, and talents of each leader should be appreciated Organizations should select leaders who challenge but not destroy the organizational culture Leader behaviors should demonstrate a concern for people; it enhances follower well-being Different leadership situations call for different leadership talents & behaviors Good leaders are likely to be good followers