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Management: Year 1.

Lent Term week 3

Leadership: Theory and practice.

Simon Booth

Sources: Daft, R, L, 1999, Leadership Theory and Practice. The Dryden Press. Fort Worth. DuBrin, A.J, 1998, Leadership. Houghton Mifflin. Boston. Hofstede. G, 2001. Cultures consequences. 2nd edition. Sage. London.
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Sources: House, R. J, 1999, Cultural Influences on Leadership and Organisations. In Advances in Global Leadership. JAI Press, NY.

Hughes, R, L., Ginnett, R, C., and Curphy, G, J., 1999, Leadership, enhancing the lessons of experience. McGraw Hill, Boston.

Bob House

Theoretical context.

1. Leadership is significant influence on performance in business. 2. Leadership is framed by culture. Different cultures, leads to different types / styles of leadership and different performance potential.

Propositions

1. MACRO (EXTERNAL) LEVEL. International business = need to consider multiple cultural contexts and how these effect leadership and performance. 2. MICRO (INTERNAL) LEVEL. Inside each business many different cultural ( and sub-cultural) tides will affect performance.

Definitions
5 Different perspectives - definitions: 1. Individual Trait Perspective: leadership is not just a set of skills, it relies on subtle personal qualities (Daft. P41) Can these be learnt ?

2. Management Perspective. leadership is an influence relationship among leaders and followers who intend real changes that reflect their shared purposes (Daft, p5.)
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Definitions (contd)

3. Organisational Situation perspective: (Hersey and Blanchard) nature of leadership depends on the characteristics of followers (readiness, willingness). 4. Process Perspective Leadership is a process not a position (Hughes et al. p1) leadership is the process of relating followers, situation and tasks.
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Definitions (contd)

5. Contingency perspective: ( Fiedler) for a leader to be effective there must be a fit between leader behaviour and the situation.

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Robert House

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Robert House Path Goal Theory

Effective leadership (high productivity AND morale) depends on:

identifying the path to a goal that leads to personal payoff and goal fulfillment
Contingency factors:

1. Person -type of follower (based on

locus of control how much control do

they have over the environment ?

Ability to undertake task.
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Robert House Path Goal Theory

2. Task -Type of task 3. Organisation-Authority system (PD) 4. Groups/ Work group. Leader must evaluate all 4 contingency factors to find the appropriate style of leadership.

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Robert House Path Goal Theory

Four possible styles of leader Style 1. Directive 2. Supportive Task Members

Unclear Unsure Stressful Frustrated

3.Participative Changing Able/willing 4.Achievement Ambiguous Ambitious

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Paul Hersey and Ken Blanchard

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Paul Hersey and Ken Blanchard

Situational Leadership: Two key axes: 1. Task behavior (low T highT) 2. Relationship behavior (lowR highR) Members are either:

R1 Unable and Unwilling

R2 Unable but willing

(UU)
(UW)

R3 Able but Unwilling

R4 Able and Willing

(AU)
(AW)
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Paul Hersey and Ken Blanchard

Situation Members LR/LT HR/LT HT/HR HT/LR AW AU UW UU Leader style Delegating Participating Selling Telling

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What does recent research say?

Global Leadership and Organisational Effectiveness Research Project. 1994 2006

44 countries
Over 13,000 respondents

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GLOBE - Cultural context of leadership.

1. High Power Distance (7) v Low Power Distance (1) 2. UA. High need for security (7) v Low (1) 3. Gender Egalitarianism High (7) v Low (1) 4. Collectivism I (Society) High (7) v Low (1). 5. Humane orientation High (7) v Low (1) 6. High Assertiveness(7) v Low assertiveness(1) 7. Future orientation High (7) v low (1) 8. Collectivism II (Family) High (7) v Low (1) 9. Performance orientation High (7) v Low (1)
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Leadership: Method of analysis.

112 questions on attributes of outstanding leaders.
Statistical analysis:

Principal Component Analysis (Factor Analysis) :

Identifies underlying dimensions and

associations within the data, based on correlations and analysis of variance.

Figures show the strength of

association within the dimension

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Leadership results: Universally endorsedThe Inspirational coach

Morale booster .767 Confidence builder .719 Encouraging .711 Trustworthy .686 Honest .678 Plans ahead .647 Intelligent .587 Informed .583 Foresight .566 Intellectually Stimulating .563
% of variance explained by this dimension 17.5%
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Leadership results: Moderately endorsedThe Orderly Organiser

Procedural Formal Patient Orderly Cautious Organized Collaborative Risk Averse Habitual Modest .677 .646 .606 .550 .546 .537 .521 .505 .487 .476

% of variance explained by this dimension 7.1%

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Leadership results: InhibitingThe Merchant adventurer

Ruthless .515 Ruler .463 Able to anticipate .448 Organized .431 Egotistical .421 Dictatorial .421 Wilful .420 Non-egalitarian .417 Domineering .404 Self interested .403
% of variance explained by this dimension 6.2%
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Leadership results: Limited endorsed The Compassionate visionary

Team building Inspirational Compassionate Self sacrificial Motivational

.438 .423 .416 .409 .378

% of variance explained by this dimension 4.1%

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England. Organisational culture endorses internal leadership which:

1. Seeks to reduce Power Distance. Implication: Push down power and decision making. Reduce levels of management. Make individuals responsible and accountable. 2. Aims for organisation with less control. Implication: Self control not management control. Reduce rule based decision making, give discretion.

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England. Organisational culture endorses internal leadership which:

3. Shows more assertiveness (different to societal level). Implication: Identify clear goals. Set out clear methods Set challenge then let people go for it. 4. Shows more humanity. Implication: Treat people fairly. 5. Seeks to support the wider society. Implication: Create mutually beneficial links.
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England. Organisational culture endorses internal leadership which:

6. Adopts a stronger future orientation. Implication: Focus on future organisational and personal aims, gaols and rewards.

7. Shows willingness to tackle inequality. Implication: Eliminate pay differences by sex. Eliminate inequality in promotion.

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England. Organisational culture endorses internal leadership which:

8. Seeks to actively support the family. Implication: Create a family friendly organisation. Provide support for working mums 9. Aims for a more performance orientated organisation. Implication: Establish a performance culture. Create achievable performance goals. Support and train people to achieve them.
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Lessons: Leadership and Individual

The Inspirational coach is culturally universally endorsed leadership approach in the English survey of managers.

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Leadership and groups

Adopting and acting on Inspirational Coach / Organisational Culture findings will lead (ceteris paribus) to: Cultural congruity. Organisational acceptance of leadership approach. Endorsement of need for organisational change. Acceptance of leadership approach in adopting change. Limitation: Application to organisation only after confirmatory assessment.

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Leadership in intercultural context

Inspirational Coach endorsed in all cultures. Deduction: adopting this approach will lead (ceteris paribus) to: Acceptance by followers in any cultural setting. Organisational acceptance of leadership approach. Limitation: Application to organisation only after confirmatory assessment of followers/ organisational issues.

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Final lessons
New Insights from this research (valid and reliable social science).

Organisation culture matters (evidence of frustration, lack of performance).

Leadership matters (evidence of unacceptable leadership approaches likely to inhibit performance). Universal findings are startling: where might they not apply ?

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