LEADERSHIP

Dr. Alpana Agarwal

What Is Leadership?
Leadership
The ability to influence a group toward the
achievement of goals.

Management
Use of authority inherent in designated formal rank
to obtain compliance from organizational members.

11–2 © 2005 Prentice Hall Inc. All rights

reserved.
Charismatic Leadership
 Max Weber
 Charisma  “a certain quality of an individual personality, by virtue of
which he or she is set apart from ordinary people and treated as
endowed with supernatural, superhuman, or at least specifically
exceptional powers or qualities. These are not accessible to the ordinary
person and are regarded as of divine origin or as exemplary, and on the
basis of them the individual concerned is treated as a leader
 Charismatic Leaders characteristics
 Vision and articulation. Has a vision—expressed as an idealized goal—
that proposes a future better than the status quo; and is able to clarify
the importance of the vision in terms that are understandable to others.
 Personal risk. Willing to take on high personal risk, incur high costs, and
engage in self sacrifice to achieve the vision.
 Sensitivity to follower needs. Perceptive of others’ abilities and
responsive to their needs and feelings.
 Unconventional behavior. Engages in behaviors that are perceived as
novel and counter to norms.
Examples of charismatic leaders in history
 There were leaders like Hitler, Mussolini and
many dictators, but also Mahatma Gandhi,
John F. Kennedy and Martin Luther King.
 Other fields had charismatic leaders, too, such
as Vince Lombardi (sports), Carl Sagan
(science), and Wernher von Braun
(architect/engineer).
Examples of charismatic leaders today
 In business, we have Elon Musk and Richard
Branson. In politics, we have Kim Jong-un,
Donald Trump, Barack Obama, and countless
others who stand out as charismatic leaders.
Social media has created charismatic leaders
in all fields; influencers, bloggers, and even
scientists, such as like Bill Nye and Neil
DeGrasse Tyson.
 In sports, too, many coaches and managers
use a charismatic leadership style. Perhaps
the most prominent example is NFL coach Rex
Ryan.
Trait Theories

Traits Theories of
Leadership Leadership
LeadershipTraits:
Traits:
•• Ambition
Ambitionand
andenergy
energy
Theories that consider
personality, social, •• The
Thedesire
desiretotolead
lead
physical, or intellectual •• Honest
Honestand
andintegrity
integrity
traits to differentiate •• Self-confidence
leaders from nonleaders. Self-confidence
•• Intelligence
Intelligence
•• High
Highself-monitoring
self-monitoring
•• Job-relevant
Job-relevant
knowledge
knowledge

11–6 © 2005 Prentice Hall Inc. All rights

reserved.
Trait Theories

Limitations
Limitations: :
•• No
No universal
universal traits
traits found
found thatthat predict
predict
leadership
leadershipininall
allsituations.
situations.
•• Traits
Traits predict
predict behavior
behavior better
better inin “weak”
“weak” than
than
“strong”
“strong”situations.
situations.
•• Unclear
Unclear evidence
evidence ofof thethe cause
cause and
and effect
effect ofof
relationship
relationshipofofleadership
leadershipand andtraits.
traits.
•• Better
Better predictor
predictor ofof the the appearance
appearance ofof
leadership
leadership than
than distinguishing
distinguishing effective
effective and
and
ineffective
ineffectiveleaders.
leaders.
11–7 © 2005 Prentice Hall Inc. All rights
reserved.
Transformational Leader
 Transactional leaders guide their followers
toward established goals by clarifying role and
task requirements.
 Transformational leaders inspire followers
to transcend their self-interests for the good of
the organization and can have an
extraordinary effect on their followers
Examples of transactional leadership
 Successful in a crisis or in projects that require linear and
specific processes.
 useful for big corporations, such as Hewlett-Packard, a
company known for its extensive use of management by
exception.
 Many high-level members of the military, CEOs of large
international companies, and NFL coaches are known to be
transactional leaders.
1. Vince Lombardi, coach Green Bay Packers - He used
to run the Packers through the same plays in practice over
and over again.
2. Bill Gates - he used to visit new product teams and ask di
cult questions until he was satisfied that the teams were
on track and understood the goal.
Examples of transformational leadership
 The key characteristic of transformational leadership is the
willingness to take bold, risky actions that aren’t in the
mainstream.
1. Reed Hastings, the CEO of Netflix- Netflix, it was a DVD
rental company, but Hastings had a larger vision. Hastings
and his team revolutionized the use of complex algorithms
about viewer consumption to create their own original
content that would match the needs of their subscribers.
2. Amazon CEO Jeff Bezos- Bezos revolutionized reading by
offering a device that could transform a printed paperback
or hardcover books into digital content, which changed the
experience of engaging with an author.
3. Nelson Mandela
Hands-on
 Do you know anyone who you consider a
charismatic leader or a transformational
Leader? If so, what is this person like?
What has this individual done that
suggests that he or she is so special?
Behavioral Theories
Behavioral Theories of Leadership
Theories proposing that specific behaviors
differentiate leaders from nonleaders.

•• Trait
Traittheory:
theory:
Leaders
Leadersare
areborn,
born,not
notmade.
made.
•• Behavioral
Behavioraltheory:
theory:
Leadership
Leadershiptraits
traitscan
canbe
betaught.
taught.

11–12 © 2005 Prentice Hall Inc. All rights

reserved.
Ohio State Studies
Initiating Structure
The extent to which a leader is likely to define and
structure his or her role and those of sub-ordinates
in the search for goal attainment.

Consideration
The extent to which a leader is likely to have job
relationships characterized by mutual trust, respect
for subordinate’s ideas, and regard for their feelings.

11–13 © 2005 Prentice Hall Inc. All rights

reserved.
University of Michigan Studies
Employee-Oriented Leader
Emphasizing interpersonal relations; taking a personal interest in the
needs of employees and accepting individual differences among
members.
For example, an employee-oriented manager may require
group lunch breaks to encourage socializing and limit the
number of employees who eat alone.

Production-Oriented Leader
One who emphasizes technical or task aspects of the job.
For example, a manager using the task-oriented approach
can assign an employee to a department where he's more
effective as a worker even if that assignment takes him
away from workers he's known for years.
11–14 © 2005 Prentice Hall Inc. All rights
reserved.
Contingency Theories
Fiedler’s Contingency Model
The theory that effective groups depend on a proper
match between a leader’s style of interacting with
subordinates and the degree to which the situation
gives control and influence to the leader.

Least Preferred Co-Worker (LPC) Questionnaire

An instrument that purports to measure whether a
person is task- or relationship-oriented.

11–15 © 2005 Prentice Hall Inc. All rights

reserved.
Fiedler’s Model: Defining the Situation
Leader-Member Relations
The degree of confidence, trust, and respect
subordinates have in their leader.

Task Structure
The degree to which the job assignments are
procedurized.

Position Power
Influence derived from one’s formal structural
position in the organization; includes power to hire,
fire, discipline, promote, and give salary increases.
11–16 © 2005 Prentice Hall Inc. All rights
reserved.
Hersey and Blanchard’s Situational
Leadership Theory
Situational Leadership Theory (SLT)
A contingency theory that focuses on followers’
readiness.
Unable and Unable but Able and Able and
Unwilling Willing Unwilling Willing

Follower
Follower readiness:
readiness:
ability
ability and
and
willingness
willingness
Leader:
Leader: decreasing
decreasing need
need
for
for support
support and
and supervision
supervision

Directive High Task and Relationship Supportive Monitoring

Orientations Participative

11–17 © 2005 Prentice Hall Inc. All rights

reserved.
Leadership Styles and Follower Readiness
(Hersey and Blanchard)
Follower Unwilling Willing
Readiness

Able Supportive
Monitoring
Participative

Leadership
Styles
High Task
Unable Directive and
Relationship
Orientations

11–18 © 2005 Prentice Hall Inc. All rights

reserved.
Practicing OB: Don't Get No Respect”
 The president and founder of a small tool and die
casting firm tells you, “Nobody around here has any
respect for me. The only reason they listen to me is
because this is my company." Company employees
report that he is a highly controlling individual who
does not let anyone do anything for themselves.
 1. What behaviors should the president attempt to
emulate to improve his leadership style? How might
he go about doing so?
2. Under what conditions would you expect the
president's leadership style to be most effective?
3. Do you think that these conditions might exist in
this company? If not, how might they be created?
Individual Exercise: Determining your leadership
style
 Directions:
Following are eight hypothetical situations in which
you have to make a decision affecting you and
members of your work group. For each, indicate
which of the following actions you are most likely to
take by writing the letter corresponding.
Action A: Let the members of the group decide themselves
what to do.
Action B: Ask the members of the group what to do, but make
the final decision yourself.
Action C: Make the decision yourself, but explain your reasons.
Action D: Make the decision yourself, telling the group exactly
what to do.
Provide your actions on the following statements:
1. In the face of financial pressures, you are forced to make budget cuts for your
unit. Where do you cut?
2. To meet an impending deadline, someone in your secretarial pool will have to
work late one evening to finish typing an important report. Who will it be?
3. As coach of a company softball team, you are required to trim your squad to 25
players from 30 currently on the roster. Who goes?
4. Employees in your department have to schedule their summer vacations to
keep the office appropriately staffed. Who decides first?
5. As chair of the social committee, you are responsible for determining the
theme for the company ball. How do you do so?
6. You have an opportunity to buy or rent an important piece of equipment for
your company. After gathering all the facts, how do you make the choice?
7. The office is being redecorated. How do you decide on the color scheme?
8. Along with your associates you are taking a visiting dignitary to dinner. How do
you decide what restaurant to go to?
 Determining your leadership style: Scoring
1. Count the number of situations to which you
responded by marking "A." This is your delegating
score.
2. Count the number of situations to which you
responded by marking "B. This is your
participating score 
3. Count the number of situations to which you
responded by marking "C. This is your selling
score 
4. Count the number of situations to which you
responded by marking "D." This is your telling
score.
Determining your leadership style: Questions
1. Based on this questionnaire, what was your most
predominant leadership style? Is this consistent
with what you would have predicted in advance?
2. According to situational leadership theory, in what
kinds of situations would this style be most
appropriate? Have you ever found yourself in such
a situation, and if so, how well did you do?
3. Do you think that it would be possible for you to
change this style if needed?
Path-Goal Theory
The theory that it is the leader’s job to assist followers in
attaining their goals and to provide them the necessary
direction and/or support to ensure that their goals are
compatible with the overall objectives of the group or
organization.
For example, a manager working with inexperienced
employees may need to utilize the supportive or
participative aspects of path-goal leadership to help
workers achieve project goals.
Conversely, a manager working with experienced, but
unproductive employees may utilize the directive or
achievement-oriented approaches to increase worker focus
and productivity.
11–24 © 2005 Prentice Hall Inc. All rights
reserved.
LMX Theory
Leader–member exchange (LMX) theory
argues that, because of time pressures, leaders establish a special relationship
with a small group of their followers. These individuals make up the in group—
they are trusted, get a disproportionate amount of the leader’s attention, and
are more likely to receive special privileges. Other followers fall into the
outgroup.
Subordinates with in-group status will have higher performance ratings, less
turnover, and greater job satisfaction.
Hands-on
 Think about the leaders of teams in
which you have worked and how they
compare to the leaders of other groups
that do not operate as teams. In what
ways do these leaders behave similarly
or differently?
Case: Leadership at Kluster
Kluster, a company that produces a Web-based platform called
the Illuminator, is the latest in a string of companies founded
by 20-year-old Ben Kaufman, who launched his first business
as a high school student. Despite founding the company,
Kaufman is not Kluster's CEO. He demoted himself from that
position when he realized that his youth and inexperience
made investors uneasy.
Although he lacks a formal title, Kaufman is very much a
visionary leader and is committed to the success of the
illuminator.
Design coordinator Andres Arango claims that Kaufman
inspires everyone at the firm. Peter Wadsworth, an engineer,
agrees. He believes that Kaufman's key strength is his ideas
and that Kaufman knows exactly where he wants to go.
Wadsworth notes that although everyone Is encouraged to
voice their opinions, Kaufman will campaign for ideas he
thinks are best, and tell people when he believes their
suggestions lack merit.
Case: Leadership at Kluster (contd..)
At the same time, however, Kaufman knows his limitations and
is willing to pass responsibility to those who are more skilled.
He also possesses a high level of self-confidence and believes
strongly in the value of his ideas and decisions. Wadsworth
believes these characteristics are an asset when Kaufman
meets with other companies and celebrities. Indeed, Arango
notes that it was Kaufman's charisma and commitment to his
vision that prompted him to join the illuminator team.
Questions:
1. Identify the qualities of effective leadership that Ben
Kaufman appears to have.
2. Has Ben's effectiveness as a leader been diminished by
his decision to step down as CEO? Why or why not?
3. Based on the description given, do you believe that Ben
Kaufman is a transformational leader?