1. Copyright © 2000 by Harcourt, Inc. All rights reserved.Developed by Stephen M.Peters Sixteen hapter Leadership In Organizations © 2000 by Harcourt, Inc. All rights reserved. Requests for permission to make copies of any part of the work should be mailed to the following address: Permissions Department, Harcourt, Inc., 6277 Sea Harbor Drive, Orlando, Florida 32887-6777.

2. Copyright © 2000 by Harcourt, Inc. All rights reserved.Developed by Stephen M.Peters Leadership  The ability to influence people toward the attainment of organizational goals.  Leadership is reciprocal, occurring among people.  Leadership is a “people” activity, distinct from administrative paper shuffling or problem-solving activities.  Leadership is dynamic and involves the use of power. Eddie Bauer

3. Copyright © 2000 by Harcourt, Inc. All rights reserved.Developed by Stephen M.Peters Leadership versus Management Management Power: *comes from organizational structure, it promotes stability, order, and problem solving within the structure Leadership Power: *comes from personal sources, such as personal interests, goals, and values *promotes vision, creativity, and change The major differences between the leader and the manager relates to their source of power and level of compliance.

4. Copyright © 2000 by Harcourt, Inc. All rights reserved.Developed by Stephen M.Peters Five Sources of Power  Legitimate Power: power coming from a formal management position.  Reward Power: stems from the authority to bestow rewards on other people.  Coercive Power: the authority to punish or recommend punishment.  Expert Power: leader’s special knowledge or skill regarding the tasks performed by followers.  Referent Power: personality characteristics that command subordinates’ identification, respect, and admiration so they wish to emulate the leader  Legitimate Power: power coming from a formal management position.  Reward Power: stems from the authority to bestow rewards on other people.  Coercive Power: the authority to punish or recommend punishment.  Expert Power: leader’s special knowledge or skill regarding the tasks performed by followers.  Referent Power: personality characteristics that command subordinates’ identification, respect, and admiration so they wish to emulate the leader

5. Copyright © 2000 by Harcourt, Inc. All rights reserved.Developed by Stephen M.Peters Leadership versus Management Qualities MIND Rational Consulting Persistent Problem solving Tough-minded Analytical Structured Deliberate Authoritative Stabilizing Position power SOUL Visionary Passionate Creative Flexible Inspiring Innovative Courageous Imaginative Experimental Initiates change Personal power MANAGER LEADER Source: Genevieve Capowski, “Anatomy of a Leader: Where Are the Leaders of Tomorrow?” Management Review, March 1994, 12

6. Copyright © 2000 by Harcourt, Inc. All rights reserved.Developed by Stephen M.Peters Personal Characteristics of Leaders Physical characteristics Activity Energy Social background Mobility Intelligence and ability Judgment, decisiveness Knowledge Fluency of speech Personality Alertness Originality, creativity Personal integrity Self-confidence Work-related characteristics Achievement drive Drive for responsibility Responsibility in pursuit of goals Task orientation Social characteristics Ability to enlist cooperation Popularity, prestige Sociability, interpersonal skills Social participation Tact, diplomacy Source: Adapted from Bernard M. Bass, Stogdill’s Handbook of Leadership, rev. Ed. (New York: Free Press, 1981), 75-76. This adaptation appeared in R. Albanese and D. D. Van Fleet, Organizational Behavior: A managerial Viewpoint (Hinsdale, III.: The Dryden Press, 1983).

7. Copyright © 2000 by Harcourt, Inc. All rights reserved.Developed by Stephen M.Peters Behavioral Approaches That Help Determine Leadership Effectiveness Consideration: –Is mindful of subordinates –Establishes mutual trust –Provides open communication –Develops teamwork Initiating Structure: –Is task oriented –Directs subordinate work activities toward goal attainment –Typically give instructions, spend time planning, and emphasize deadlines –Provide explicit schedules of work activities Eddie Bauer, Career, Benefits

8. Copyright © 2000 by Harcourt, Inc. All rights reserved.Developed by Stephen M.Peters The Leadership Grid Figure High Low Concern for Production Concern for People 1,9 Country Club Management Thoughtful attention to the needs of people for satisfying relationships leads to a com- fortable, friendly organization atmosphere and work tempo. Impoverished Management Exertion of minimum effort to get required work done is appropriate to sustain organization membership. 1,1 9,9 Team Management Work accomplishment is from committed people; interdependence through a “common stake” in organization purpose leads to relationships of trust and respect. 5,5 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. Authority-Compliance Efficiency in operations results from arranging conditions of work in such a way that human elements interfere to a minimum degree. 9,1 Source: The Leadership Grid Figure from Robert R. Blake and Anne Adams McCanse, Leadership Dilemmas-Grid Solutions (Houston: Gulf, 1991), 29. Copyright 1991, by Scientific Methods, Inc. Reproduced by permission of the owners.

9. Copyright © 2000 by Harcourt, Inc. All rights reserved.Developed by Stephen M.Peters Contingency Approach Describes the relationship between leadership styles and specific organizational situations Relationship-oriented leader is concerned with people Task-oriented leader is primarily motivated by task accomplishment

10. Copyright © 2000 by Harcourt, Inc. All rights reserved.Developed by Stephen M.Peters Three Elements of Leadership Situations  Leader-member relations: refers to group atmosphere and members’ attitude toward and acceptance of the leader  Task structure: refers to the extent to which tasks performed by the group are defined, involve specific procedures, and have clear, explicit goals  Position power: is the extent to which the leader has formal authority over subordinates

11. Copyright © 2000 by Harcourt, Inc. All rights reserved.Developed by Stephen M.Peters Hersey and Blanchard’s Situational Theory A contingency approach to leadership that links the leader’s behavioral style with the task readiness of subordinates.

12. Copyright © 2000 by Harcourt, Inc. All rights reserved.Developed by Stephen M.Peters Path-Goal Theory Contingency approach, the leader’s responsibility is to increase subordinates motivation to attain personal and organizational goals

13. Copyright © 2000 by Harcourt, Inc. All rights reserved.Developed by Stephen M.Peters Path-Goal Classification of Leader Behaviors Supportive leadership: …Leader behavior that shows concern for subordinates …Open, friendly, and approachable …Creates a team climate …Treats subordinates as equals Directive leadership: …Tells subordinates exactly what they are supposed to do …Planning, making schedules, setting performance goals, and behavior standards Participative leadership: …Consults with his or her subordinates about decisions Achievement-oriented leadership: …Sets clear and challenging goals for subordinates …Behavior stresses high-quality performance

14. Copyright © 2000 by Harcourt, Inc. All rights reserved.Developed by Stephen M.Peters Situational Contingencies Two important situational contingencies in the path-goal theory  The personal characteristics of group members  The work environment

15. Copyright © 2000 by Harcourt, Inc. All rights reserved.Developed by Stephen M.Peters Change Leadership Transactional Leaders:  Clarify the role and task requirements of subordinates  Initiate structure  Provide appropriate rewards  Try to be considerate  Meet the social needs of subordinates Charismatic Leaders:  The ability to inspire  Motivate people to do more than they would normally do  Tend to be less predictable than transactional leaders  Create an atmosphere of change  May be obsessed by visionary ideas Transactional Leaders:  Clarify the role and task requirements of subordinates  Initiate structure  Provide appropriate rewards  Try to be considerate  Meet the social needs of subordinates Charismatic Leaders:  The ability to inspire  Motivate people to do more than they would normally do  Tend to be less predictable than transactional leaders  Create an atmosphere of change  May be obsessed by visionary ideas

16. Copyright © 2000 by Harcourt, Inc. All rights reserved.Developed by Stephen M.Peters Leaders in a Learning Organization  Create a shared vision  Design structure  Servant leadership