CHAPTER 6:

LEADERSHIP
1
Learning outcomes
• Define leader and leadership
• Compare and contrast early theories
of leadership
• Describe the three major contingency
theories of leadership
• Describe contemporary views of
leadership
• Discuss contemporary issues affecting
leadership
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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.
WHO LEADERS ARE AND WHAT LEADERS DO

Leadership
Leadership Leadership
Leadership
Traits
Traits Behavior
Behavior

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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.
LEADERSHIP TRAITS

Honesty
Desire and
to Lead Integrity

Drive Self-
Confidence
Leadership
Traits
Knowledge Emotional
of the Stability
Business
Cognitive
Ability

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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.
EXHIBIT 17-2: BEHAVIORAL THEORIES
OF LEADERSHIP
CONTINUUM OF LEADER
BEHAVIOR
EXHIBIT 17-2: BEHAVIORAL THEORIES OF
LEADERSHIP (CONT.)
THE
MANAGERI
AL GRID
A two-dimensional
view of leadership
style that is based on
concern for people
versus concern for
production
SITUATIONAL APPROACHES TO
LEADERSHIP

After reading these sections,

you should be able to:

• describe how path-goal theory works.

• discuss Hersey and Blanchard’s Situational

Leadership theory.

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PATH-GOAL THEORY

Path-Goal Theory

A leadership theory that

states that leaders can
increase subordinate
satisfaction and
performance by
clarifying and clearing
the paths to goals and
by increasing the
number and kinds of
rewards available for
goal attainment.
BASIC ASSUMPTIONS OF PATH-GOAL THEORY

Clarify
Clarify paths
paths to
to goals
goals

Clear
Clear paths
paths to
to goals
goals by
by solving
solving problems
problems
and
and removing
removing roadblocks
roadblocks

Increase
Increase the
the number
number and
and kinds
kinds of
of rewards
rewards
available
available for
for goal
goal attainment
attainment

Do
Do things
things that
that satisfy
satisfy followers
followers today
today or
or will
will
lead
lead to
to future
future rewards
rewards or or satisfaction
satisfaction

Offer
Offer followers
followers something
something unique
unique and
and valuable
valuable
beyond
beyond what
what they’re
they’re experiencing
experiencing

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ADAPTING LEADER BEHAVIOR:
PATH-GOAL THEORY

Subordinate
Subordinate
Leadership
Leadership and
and Outcomes
Outcomes
Styles
Styles Environmental
Environmental
Contingencies
Contingencies

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 LEADERSHIP STYLES

•Directive
–clarifying expectations and guidelines

•Supportive
–being friendly and approachable

•Participative
–allowing input on decisions

•Achievement-Oriented
–setting challenging goals

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PATH GOAL THEORY:
WHEN TO USE LEADERSHIP STYLES
Directive
DirectiveLeadership
Leadership Supportive
SupportiveLeadership
Leadership
 Unstructured
Unstructuredtasks
tasks  Structured,
Structured,simple,
simple,repetitive
repetitive
 Inexperienced
Inexperiencedworkers
workers tasks
tasks
 Workers
Workerswith
withlow
lowperceived
perceivedability
ability  Stressful,
Stressful,frustrating
frustratingtasks
tasks
 Workers
Workerswith
withexternal
externallocus
locusofof  When
Whenworkers
workerslack
lackconfidence
confidence
control
control  Clear
Clearformal
formalauthority
authoritysystem
system
 Unclear
Unclearformal
formalauthority
authoritysystem
system
Participative
ParticipativeLeadership
Leadership Achievement-Oriented
Achievement-OrientedLeadership
Leadership
 Experienced
Experiencedworkers
workers  Unchallenging
Unchallengingtasks
tasks
 Workers
Workerswith
withhigh
highperceived
perceivedability
ability
 Workers
Workerswith
withinternal
internallocus
locusofof
control
control
 Workers
Workersnot
notsatisfied
satisfiedwith
withrewards
rewards
 Complex
Complextasks
tasks
PATH-GOAL THEORY
 LEADERSHIP STYLES

• Martin
Winterkorn of
Audi uses a
directive style.
His employees
know exactly
what is expected
of them.

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 ADAPTING LEADERSHIP BEHAVIOR

Hersey and Blanchard’s Situational Leadership Theory

Worker
Worker Leadership
Leadership
Readiness
Readiness Styles
Styles

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SITUATIONAL LEADERSHIP

Situational leadership theory (SLT)

Leaders should adjust their leadership styles—
telling, selling, participating, and delegating—in
accordance with the readiness of their followers.
Acceptance: Leader effectiveness reflects the
reality that it is the followers who accept or
reject the leader.
Readiness: a follower’s ability and willingness
to perform.
HERSEY AND BLANCHARD’S
SITUATIONAL LEADERSHIP
MODEL
LEADER IN FOCUS : JEFF BEZOS
SOURCE :HTTPS://CULCMKTAN.WORDPRESS.COM/2015/11/28/THEME-3-MOST-EFFECTIVE-LEADERSHIP-MANAGEMENT-STYLES-APPROACHES/

Jeff Bezos, the founder of Amazon.com (Geier 2015)

Bezos was described as “not always a ‘nice’ CEO,” but rather as one who
“can inspire and cajole but also irritate and berate.” Kaplan (2011). This
indicates that Bezos adapted Coercive, Pacesetting, Authoritative and
Coaching leadership styles, in which, he overwhelm the workload of his
followers (Rosenbaum 2014), at the same time followers are aspired by his
vision to be the “world’s most consumer-centric company, where customers
can come to find anything they want to buy online.” – Jeff Bezos
(Entrepreneur 2008)
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LEADER IN FOCUS : JACK MA
SOURCE :HTTPS://CULCMKTAN.WORDPRESS.COM/2015/11/28/THEME-3-MOST-EFFECTIVE-LEADERSHIP-MANAGEMENT-STYLES-APPROACHES/

Jack Ma, the founder if Alibaba Group (Cain 2015)

On the other hand, Jack Ma, the founder of Alibaba Group adapted the Authoritative,
Affiliative and Coaching leadership to lead Alibaba to success. He built the culture of
participation and created an atmosphere that the employees treat him as a
combination of father figure, inspiration guru, and band leader (Zakkour 2014).
Moreover, Ma does not make enemies, he view his competitors as friends, friends
that challenge him to achieve his full potential

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EMERGING APPROACHES TO LEADERSHIP
Charismatic leadership theory
 Followers make attributions of heroic or extraordinary
leadership abilities when they observe certain behaviors
 People working for charismatic leaders are motivated to exert extra
work effort and, because they like and respect their leaders, express
greater satisfaction.

 Charisma leadership appears to be most appropriate when the

followers’ task has a ideological component or when the
environment involves a high degree of stress and uncertainty.
CHARISMATIC LEADERS

Characteristics of Charismatic leaders:

 Have a vision
 Are able to articulate the vision
 Are willing to take risks to achieve the vision
 Are sensitive to the environment and follower needs
 Exhibit behaviors that are out of the ordinary
CONTEMPORARY VIEWS OF LEADERSHIP
Visionary Leadership
 A leader who creates and articulates a realistic, credible, and
attractive vision of the future that improves upon the present
situation.
Visionary leaders have the ability to:
 Explain the vision to others
 Express the vision not just verbally but through behavior
 Extend or apply the vision to different leadership contexts
TRANSACTIONAL LEADERS VERSUS
TRANSFORMATIONAL LEADERS

Transactional leaders
 Leaders who guide or motivate their followers toward
established goals by clarifying role and task requirements.
Transformational leaders
 Leaders who inspire followers to transcend their own self-
interests for the good of the organization and are capable of
having a profound and extraordinary effect on followers.
TYPES OF POWER
Legitimate – This comes from the belief that a person has the right
to make demands, and expect compliance and obedience from
others.

Reward – This results from one person's ability to compensate

another for compliance.
Expert – This is based on a person's superior skill and knowledge.

Referent – This is the result of a person's perceived attractiveness,

worthiness, and right to respect from others.

Coercive – This comes from the belief that a person can punish
others for noncompliance.

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 THANK YOU

REFERENCES :
Prentice Hall 2007
Pearson 2011
https://culcmktan.wordpress.com/2015/11/28/theme-3-most-effective-
leadership-management-styles-approaches

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