Leadership in

Organizational
Planning

Lecture 5
Plan of Presentation
•Part 1
 What is leadership
 Characteristics of good leadership
 How about Strategic Leadership?
 Characteristics of Strategic Leadership

•Part 2
 Theories of Leadership
 Types/Styles of Leadership
What is Leadership?

•Leadership is a set of behavior that enforces people (e.g., employees) to:

• formulate organizational goals and
• then motivate the people to jointly contribute to achieve organizational goals .
• Ability to positively influence people and systems under one’s authority to have a meaningful
impact and achieve important results.

•Leadership plays a vital role in organisational decision to ensure the effectiveness and
success of the organization.
•Leadership commitment helps to achieve the strategic vision of the organisation.
Characteristics of a Good leader:

•Supportive in guiding subordinates.

•Treats everyone equally without discrimination.
•Appreciate every one’s involvement.
•Uses power accurately with honesty and loyalty.
•Focused on building strong relationships within the whole organization - both vertically and horizontally.
•Involves everyone in the strategic management process:
• This positively relates with overall performance.
•Have a clear professional and mental approach about the need to increase the organization’s capabilities.
Strategic Leadership

• Strategic leadership refers to:

• “the leader’s ability to anticipate, envision, and maintain flexibility and to empower
others to create strategic change as necessary” (Hitt, Ireland, & Hoskisson 2008:
375).
•In general, strategic leadership means managing through others.
Strategic Leadership

•Strategic leadership also means working as a helper for the organization to adjust
with the changing world (e.g., in today’s global pandemic of covid-19).

•Strategic leadership is about the ability of a leader to include critical aspects of both
the internal and external environment of the organization into the decision-making
processes.

• Strategic leadership has many aspects.

Characteristics of Strategic Leadership

•Determining strategic direction

•Establishing balanced organizational controls
•Effectively managing the organization’s resource portfolio
•Sustaining an effective organizational culture
•Emphasizing ethical practices organizational controls
Strategic Leadership

• The performance of an organization depends on the strategies used to achieve

the vision of the organisation.

• Decision making and communication are core in the strategic management

process

• Leadership is influential in the whole decision-making process for example

from project formulation, implementation, evaluation and till end of the
project.
Organizational culture

•Basically, leadership influences three areas/components of an

organization:
•First, the vision,
•Second the strategies itself
•Finally, the values.

•These three components jointly create the culture of the organization.

Organizational culture

•When an organization has a healthy leadership

culture, it can:
 Communicate a consistent vision,
 Drive disciplined execution of strategies
 Respond to change, and
 Retain critical talent.
Organizational culture

•The leadership culture of an organization is very important for the

development/progress of the organization.
•Having a leadership culture that is strategically aligned with the
organization’s vision and mission takes a disciplined process that
looks at all the elements of strategic leadership to support and
maintain the organization’s strategic priorities (vision and mission).
•In some instances, the leadership culture is taken for granted and not
actively attended to.
Organizational culture

•The progress of an organization becomes disorganized when leadership culture is no longer

aligned with the overall strategy.

•In such situations, instead of pursuing the mission, leaders manage their former glory and
become reactive to change.

• Over time, the organization becomes trapped in what organizational theorists call “active
inertia”, where leaders are focused on maintaining the status quo of what made them
successful in the past instead of what will drive success of the organization in going forward.
Leadership Roles

•Strategic leaders are vital for the overall success of an organization.

• In an organization, leaders perform various roles depending upon the situation.
•Essential leadership roles include:
•Identifying key problem situations as soon as possible and working to provide
appropriate direction.
•Working as a strategist to analyze challenges /situations and formulating appropriate
strategic decisions to provide direction.
•Another role of leadership is to mobilize the organization. That is developing and
providing resources for proper execution of strategies.
Leadership Roles

•Leadership also works as talent promoter in an organization. By this, it is essential for

leadership discover individual talents in an organization and develop them into a team
of key players required for change implementation.
•Leaders also perform the role of a global thinker - making sure the organization aligns
with national and international perspectives.
•Performs the duty of a change driver – that is creates the environment that is
appropriate for change.
•Leader works to safeguards the interest of everyone in the organization – Performance
of an organization depends upon leadership.
Part 2: Theories of Leadership/Types/Styles of Leadership

• Putting all together, the question is:

What then makes a great leader?
• When we look at leaders around us—be it our leaders at the university or the
President of the country—we might find ourselves wondering:
Why some people are leaders
What makes some people leaders and
What makes some people excel in leadership roles?
GROUP WORK/DISCUSSION – 15 -
20minutes

 What makes a great leader?

 Why are some people leaders?
 What makes some people leaders?
 What makes some people excel in leadership roles?
Theories of Leadership

• Part of the answer to these questions can be found in

Theories of Leadership.
• In the world of leadership there are several theories about
how leadership works and there are several leadership
styles on how leaders can be effective/good
Theories of Leadership

•What are leadership Theories?

 Leadership theories try to explain how and why certain people become leaders. Such
theories often focus on the characteristics of leaders, but some of these theories try to
identify the behaviors that people can adopt to improve their own leadership abilities in
different situations.

•Traditional debates on the psychology of leadership often suggested that leadership skills
were simply abilities that people were born with.
 In other words, these theories proposed that certain people were simply "born leaders."
Theories of Leadership

• Some more recent theories propose that possessing certain traits may help make people
nature leaders, but that experience, and situational variables also play a critical role.
• There are many theories of leadership and common ones include:
 Great Man
 Trait Theory
 Behavioral
 Contingency
 Situational
 Participative
 Management
 Transformational
Great Man" Theories - “Born to lead?"

•According to this theory, some people are born as leaders as they have necessary social
skills and internal characteristics such as charisma, confidence, intelligence, and that make
them naturally born leaders.
•Great man theories assume that leadership is inherent—that is great leaders are born, not
made.
• Great man theories often portray great leaders as people who are brave, impressive, and
destined to rise to leadership when needed.
• The term "Great Man" was used because, because in the olden days, leadership was
thought of primarily as a male quality, especially in terms of military leadership.
Great Man" Theories - “Born to lead?"

•Such theories suggest that people cannot learn how to become strong leaders.
It is either something you are born with or born without. It is very much a
nature approach to explaining leadership.

•Examples: Abraham Lincoln, Alexander the Great, Queen Elizabeth I.

Trait Theories

•Like Great Man theories, Trait theories assume that people inherit certain
qualities and traits that make them better suited to leadership.
•Trait theories often identify a particular personality or behavioral
characteristics shared by leaders.
•For example, traits like being an extrovert, self-confidence, and courage are all
traits that could potentially be linked to great leaders.
•But then, if certain traits are key features of leadership, how do we explain
people who possess those qualities but are not leaders?
Trait Theories

• This question is one of the difficulties in using trait theories to explain

leadership.

• There are plenty of people who possess the personality traits associated with
leadership, yet many of these people never seek out positions of leadership.
There are also people who lack some of the key traits often associated with
effective leadership yet still excel at leading groups or organisations.
Behavioral Theories

•Behavioral theories of leadership argue that great leaders are made, not born.

•Consider it the opposite of the Great Man theories.

•Behavioral leadership theory focuses on the actions of leaders, not on mental qualities or
internal qualities.

•According to this theory, people can learn to become leaders through teaching and observation.
Contingency Theories

•Contingency theories of leadership focus on specific context related to the

environment that might determine which particular style of leadership is best
suited for the situation.
•According to this theory, no leadership style is best in all situations.
•This theory takes the specific leadership styles and suggests that good leaders
can adjust their leadership styles to suit the situation.
•It also suggests that it may be best to find the right kind of leader for a specific
situation.
Contingency Theories

•Leadership researchers White and Hodgson (2003) have argued that effective
leadership is not just about the qualities of the leader.
•Rather, it is about striking the right balance between behaviors, needs, and
context.
•Good leaders can assess the needs of their followers, take stock of the
situation, and then adjust their behaviors accordingly.
•Success depends on several variables including the leadership style, qualities
of the followers, and aspects of the situation.
Situational Theories

•Situational theories propose that leaders choose the best course of action based
upon the situation.
•Different styles of leadership may be more appropriate for certain types of
decision-making.
•Scholars in situational theories such Professor Paul Hersey and Ken Blanchard
have argued that, the situational theory blends two key elements:
• the leadership style and
• the followers’ maturity levels.
Situational Theories

•Thus, with situational theory, leaders use particular form of leadership based
on the maturity level of the team or group.
•For example, in a situation where the leader is the most knowledgeable and
experienced member of a group, an authoritarian style of leadership might be
most appropriate.
•In other instances where group members are skilled experts, a democratic
leadership style would be more effective.
Participative Theories

•Participative leadership theories suggest that the ideal leadership style is one that takes
the input of others into account.

•These leaders encourage participation and contributions from group members and help
group members feel more relevant and committed to the decision-making process.

• In participative theories, however, the leader retains the right to allow the input of
others.
Management Theories

•Management theories, also known as transactional theories, focus on the role

of supervision, organization, and group performance.
•These theories base leadership on a system of rewards and punishments.
•For example, when employees are successful, they are rewarded and when
they fail, they are reprimanded or punished.
Relationship/ Transformational Theories

•Relationship theories, also known as transformational theories, focuses on leaders who are mainly
concerned about their interactions with others.
•Transformational leaders are often mentors for employees, scheduling time to talk to them and
working to meet their needs.
•These kinds of leaders are focused on making work enjoyable for as many people as possible, and
they want to foster a positive work environment.
•According to leadership expert, Ralph Nader “The function of leadership is to produce more leaders,
not followers.”
•Transformational leaders motivate and inspire people by helping group members see the importance
and higher good of the task.
Relationship/ Transformational
Theories
•According to transformational leadership theorists, a leader can change or modify the
perspective or psychology of a follower and motivate them to want to become a leader
too.
•This suggests that at the end of the day, leadership should be elevating and inspiring.
Leaders should push the people they lead to new heights, helping them to grow into
what they know they can become.
•These leaders are focused on the performance of group members, but also want every
person to fulfill their potential. Leaders with this style often have high ethical and
moral standards.
Leadership Styles

•Like leadership theories, there are different styles of leadership.

•Examples include:
 Autocratic
 Authoritative
 Pacesetting
 Democratic
 Coaching
 Affiliative
 Laissez-Faire
Leadership Styles

•At a glance, it is easier to think that some leadership styles are better than
others.
•However, each leadership style has its own advantages and disadvantages, and
wise leaders know to negotiate from one style to another as the situation
demands.
Autocratic Style - "Do as I say."

•A common phrase associated with autocratic leadership style is "Do as I say."

• Generally, an autocratic leader believes that she or he is the smartest person
and knows more than others in a group, team or organisation.
• As a result, autocratic leaders make all the decisions with little input from
team members.
Authoritative Style - "Follow me

•A common phrase used for authoritative style of leadership is "Follow me."

•This style of leadership is also known as ‘visionary leadership.
•Authoritative leadership style is the mark of leaders who can map the way and
set expectations, while engaging and energizing their followers along the way.
•In a climate of uncertainty, these leaders clear the way for people.
•They help their followers see where the organisation is going, what is going to
happen when they will get there.
Authoritative Style - "Follow me

•Unlike autocratic leaders, authoritative leaders take

the time to explain their thinking: They do not just
issue orders.
•Rather, they allow their followers or team members
to be part of the decision making and involve them
on how to achieve common goals.
Pacesetting Style - "Do as I do!"

•"Do as I do!" is a common phrase indicative of leaders who use

the pacesetting style.

• This style describes a leader who sets the pace – usually high
and ‘pushes team members/employees to run hard and fast to the
finish line’.
Democratic Style-"What do you think?"

•Democratic leaders are more likely to ask, "What do you think?"

•They share information with employees about anything that affects their work
responsibilities.
•Like visionary leaders, democratic leaders try to seek opinions of their
members or employees before approving a final decision.
•Democratic leadership allows for creativity and helps employees to grow and
develop.
Coaching Style – ‘Consider this"

•Coaching style of leadership goes with the common phrase "Consider this"
approach.
• A leader who uses the coaching style views his employees or team members as
people with talents that needs to be developed.
• In other words, the leader who uses a coaching style seeks to unlock the
potential of employees or followers. For the coaching style leader, everyone has
power within themselves.
•As a result, a coaching leader gives their members a little direction to help them
tap into their ability to achieve what they are capable of.
Affiliative Style – “People come first."

•A phrase often used to describe this type of leadership is "People come

first."
•Of all the leadership styles, the affiliative leadership approach is one
where the leader gets up close and personal with people.
• A leader practicing this style pays attention to and supports the
emotional needs of team members.
• The leader strives to open up a pipeline that connects him or her to the
team.
Affiliative Style – “People come first."

•Ultimately, affiliative leadership style is mostly about encouraging harmony

and forming collaborative relationships with team members.

•Affiliative leadership is particularly useful, for example, in smoothing

conflicts among team members or reassuring people during times of stress.
Laissez-Faire Style

•The laissez-faire leadership style is at the opposite end of the autocratic style.
•Of all the leadership styles, this one involves the least amount of oversight.
• You could say that the autocratic style leader stands as firm as a rock on
issues, while the laissez-faire leader lets people swim with the current.
•On the surface, a laissez-faire leader may appear to trust people to know what
to do, but taken to the extreme, an uninvolved leader may end up appearing
aloof – that is indifferent or distant.
Laissez-Faire Style

•While it's beneficial to give people opportunities to spread their wings, with a
total lack of direction, people may unwittingly drift in the wrong direction—
away from the critical goals of the organization.
•This style can work if you're leading highly skilled, experienced employees
who are self-starters and motivated.
Summary
•Knowing which of the leadership theories and styles
works best for you is part of being a good leader in an
organization/team.
•Developing a signature style with the ability to stretch
into other styles as the situation warrants may help
enhance your effectiveness as a leader.
References
•Appelbaum, L., & Paese, M. (2001). What senior leaders do: The nine roles of strategic leadership. White paper, 1-9.

•Fairholm, M. R. (2009). Leadership and Organizational Strategy. Innovation Journal, 14(1).

•Gill, R. (2011). Theory and practice of leadership. Sage.

•Grant, A. M., Gino, F., & Hofmann, D. A. (2011). Reversing the extraverted leadership advantage: The role of employee proactivity. Academy of management
journal, 54(3), 528-550.
•Groves, K. S., & LaRocca, M. A. (2011). An empirical study of leader ethical values, transformational and transactional leadership, and follower attitudes toward
corporate social responsibility. Journal of business ethics, 103(4), 511-528.
•Hersey, Paul, Kenneth H. Blanchard, and Walter E. Natemeyer. "Situational leadership, perception, and the impact of power." Group & Organization Studies 4, no. 4
(1979): 418-428.
•Hodgson, P. V., & White, R. P. (2003). Leadership, learning, ambiguity, and uncertainty and their significance to dynamic organizations. Leading and managing people
in the dynamic organization, 185.
•Ireland, R. D., Hoskisson, R., & Hitt, M. (2008). Understanding business strategy: Concepts and cases. Nelson Education.

•Nader, R. (2019). Leadership and motivation (Doctoral dissertation).

•Sami, Q. Khalid (2011). Exploring the leadership terrain. Journal of economics and behav ioral studies, 3 (3), 185-189.

•Reading Material
•Fairholm, M. R. (2009). Leadership and Organizational Strategy. Innovation Journal, 14(1).