Leadership

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Leadership Defined

Leadership is the process of influencing a group

toward the achievement of goals.
Managers Versus Leaders

“Not all leaders are managers, nor are all managers

leaders.”
• Managers
• Persons whose influence on others is limited to the
appointed managerial authority of their positions to
reward and punish.
• Leaders
• Persons with managerial and personal power who can
influence others to perform actions beyond those that
could be dictated by those persons’ formal (position)
authority alone.

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Trait Theories Of Leadership

• Trait theories of leadership

• Theories that attempt to isolate characteristics that differentiate leaders
from nonleaders
• Attempts to identify traits that always differentiate leaders from followers and effective
leaders from ineffective leaders have failed.
• Attempts to identify traits consistently associated with leadership have been more
successful.

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Example: Six Traits That Differentiate Leaders from Non-leaders

1. Drive
2. Desire to lead
3. Honesty and integrity
4. Self-confidence
5. Intelligence
6. Job-relevant knowledge

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Six Leadership Traits

• Truthfulness
Integrity
• Translates words into deeds

• Inner motivation to pursue goals

Drive
• Need for achievement, quest to learn

Leadership • High need for socialized power to

Motivation accomplish team’s or firm’s goals

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Six Leadership Traits (con’t)

• High self-efficacy regariing ability to lead

Self-Confidence
others

• Above average cognitive ability

Intelligence
• Can analyze problems/opportunities

Knowledge of • Familiar with business environment

the Business • Aids intuitive decision making

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Behavioral Theories Of Leadership

• Behavioral theories of leadership

• Theories that attempt to isolate behaviors that differentiate effective leaders
from ineffective leaders
• Behavioral studies focus on identifying critical behavioral determinants of
leadership that, in turn, could be used to train people to become leaders.

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Behavioral Theories Of Leadership

• Managerial Grid
• Appraises leadership styles using two dimensions:
• Concern for people
• Concern for production
• Places managerial styles in five categories:
• Impoverished management
• Task management
• Middle-of-the-road management
• Country club management
• Team management

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The Managerial Grid

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Contingency Approach

Contingency Approach
effective leadership behavior
depends on the situation at
hand

Contingency Leadership
Model determines correct
match between leadership
style and the situation at
hand
Contingency Theories… (cont’d)

• Hersey and Blanchard’s Situational Leadership

Theory (SLT)
• Argues that successful leadership is achieved by selecting
the right leadership style which is contingent on the level
of the followers’ readiness.
• Acceptance: leadership effectiveness depends on whether
followers accept or reject a leader.
• Readiness: the extent to which followers have the ability and
willingness to accomplish a specific task.
• Leaders must relinquish control over and contact with
followers as they become more competent.

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Contingency Theories… (cont’d)

• Hersey and Blanchard’s Situational Leadership

Theory (SLT)
• Creates four specific leadership styles incorporating
Fiedler’s two leadership dimensions:
• Telling: high task-low relationship leadership
• Selling: high task-high relationship leadership
• Participating: low task-high relationship leadership
• Delegating: low task-low relationship leadership

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Hersey and Blanchard’s Situational
Leadership Model

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The Leader-Member Exchange
(LMX Model)

• This model is based on the idea that one of two

distinct types of leader-member exchange
relationships evolve, and these exchanges are
related to important work outcomes.
- in-group exchange: a partnership characterized by mutual
trust, respect and liking
- out-group exchange: a partnership characterized by a lack
of mutual trust, respect and liking
• Research supports this model

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Leader-Member Exchange Model

Personal
Compatibility
and/or Leader
Subordinate
Competence
Formal
Relations
Trust High
Interactions

Subordinate Subordinate Subordinate Subordinate Subordinate Subordinate

A B C D E F

In-Group Out-Group 16
 Contemporary Perspectives On
Leadership (cont.)
• Transformational leadership
• moves beyond transactional leadership
• transforms a vision into reality and motivates people to
transcend their personal interests for the good of the group
• Transactional leadership
• traditional management through business transactions
• leaders who manage through using their legitimate, reward, and
coercive powers to give commands and exchange rewards for
services rendered
• dispassionate leadership that does not inspire people to focus
on the interests of the organization

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 Contemporary Perspectives On
Leadership (cont.)

• Transformational leadership (cont.)

• generating excitement - three ways
• they are charismatic
• provide individualized attention - do not treat everyone alike
• assign challenging work to deserving people
• provide one-on-one mentoring to develop their people
• they are intellectually stimulating - arouse an awareness of problems and potential solutions
• articulate the organization’s opportunities, threats, strengths, and weaknesses
• stir the imagination and generate insights

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He who knows others is clever, he who knows
himself/herself is enlightened (Lao-tzu)

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