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MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

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Page 1: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014
Page 2: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014
Page 3: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014
Page 4: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014
Page 5: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014
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Complete the LPC QuestionnaireTotal your scores

Interpretation (next)

Page 7: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

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If your score is 57 or below = low LPC, which suggests you are task motivated

If your score is within the range or 58 – 63, you are middle LPC, which means you are independent

If you score is 64 or above = high LPC, which suggests you are relationship motivated

Page 8: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

Leader-member relations:

Group atmosphere: degree of confidence, loyalty, and attraction that followers feel for their leader.

If the group atmosphere is positive and subordinates trust, like, and get along with their leader, the leader-member relations are good.

On the other hand, if the atmosphere is unfriendly and friction exists within the group, the leader-member relations are defined as poor.

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Page 9: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

Task Structure:

Is the degree to which the requirements of a task are clear and spelled out.

Tasks that are completely structured lend to give more control to the leader, whereas vague and unclear tasks lessen the leader’s control and influence.

A Task is considered structured when

a) The requirements of the task are clearly stated and known by the people required to perform them,

b) The path to accomplishing the task has few alternatives,

c) Completion of the task can be clearly demonstrated, and

d) Only a limited number of correct solutions to the task exist.

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Page 10: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

Position Power:

Is the amount of authority a leader has to reward or to punish followers.

It includes legitimate power individuals acquire as a result of the position they hold in an organization.

Position power is strong if a person has the authority to hire and fire or give raises in rank or pay; it is weak if a person does not have the authority to do these things.

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Page 11: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

Effective leadership is contingent on matching a leader’s style to the right setting.

Contingency theory posits that certain styles are effective in certain situations.

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Page 12: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

Reasoning for why leaders who are working in the “wrong” situation are ineffective:

a) A leader whose LPC style does not match a particular situation experiences stress and anxiety.

b) Under stress, the leader reverts to less mature ways of coping that were learned in early development,

c) The leader’s less mature coping style results in poor decision making, which results in negative work outcomes.

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Page 13: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014
Page 14: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

Obstacles are an integral part of our lives.o Leaders must help others overcome these

obstacles.o Leaders need to first figure out what the

problems are and then determine how best to solve them.

o If a leader does this, employees will be more motivated, productive, and satisfied with their work.

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Page 15: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

Path-goal leadership addresses the way leaders can assist others in overcoming obstacles that hinder productivity.

o Leaders need to choose a style that best fits the needs of individuals & the work they do.

o Leaders should help individuals define the goals & paths to reaching these goals.

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Page 16: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

It is not uncommon for individuals to be unclear or confused about their goals.

Sometimes the goal is unknown, obscure, or hidden among competing goals.

When goals are not apparent, people are less likely to be successful.

Leaders need to make goals clear.o If goal is vague → Clarify ito If goal is embedded among other goals →

Identify it

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Page 17: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

Ineffective performance results from unclear directions from leaders.

Directions that are vague, confusing, rambling, imprecise, or incomplete can have a debilitating effect on individuals.o People lose the capacity to move forwardo Group members feel lost; they do not know how

to reach their goal Leaders must define the path to the goal. Individuals vary in their need for direction.

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Page 18: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

Hundreds of articles have been written in an attempt to explain human motivation.

Path-goal leadership incorporates expectancy theory as a way to motivate others. o Expectancy Theory suggests people will be

more motivated when the effort they put into a task leads to an expected outcome that they value.

o This occurs when individuals: feel competent get what they expect value what they do

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Page 19: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

Solution: Give relevant support.

Let people know that they are competent.

Make sure the outcome people expect from their effort is achievable and will likely occur.

Help others see the value in their work performance through monetary rewards, positive personal feedback, or special achievement awards.

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Page 20: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

When the task is unstructured, ambiguous, or complex, it creates an obstacle for individuals.

Some may feel overwhelmed in these situations.

When leaders simplify complex tasks, it helps others feel more competent about their work.

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Page 21: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

When the task is complex the leader needs to be directive and clarify the path to the goal.

Directive leaders give others instruction, including:o What is expected of themo How it is to be doneo Timeline for when it should be completedo Setting clear performance standards

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Page 22: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

When the task is unstructured, ambiguous, or complex, it creates an obstacle for individuals.

Some may feel overwhelmed in these situations.

When leaders simplify complex tasks, it helps others feel more competent about their work.

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Page 23: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

Solution: Give support and nurturance

o It is important for leaders to use a supportive style—It provides what is missing by giving nurturance when group members are engaged in boring tasks.

o Social support can take a variety of forms and it shows care for the well-being of the worker.

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Page 24: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

Having a “voice” in what happens is very important to people.o People want to “fit in.”o By expressing their thoughts & opinions,

individuals feel like they are making a contribution to the group.

Leaders should use a participative style to address the issue of low involvement.

o Leaders invite others to share in the ways and means of getting things done. They create a climate that is open to new and diverse opinions.

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Page 25: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

Some people do not work well because they do not feel challenged by what they are doing.o Without challenge, people find work

uninteresting.o As a result, they work less or quit & find

something more challenging. Leaders should adopt an achievement-oriented

style of leadership.o Challenge individuals to perform at the highest

level.o Set standards of excellence & challenge others

to meet them.

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Page 26: MSMC BUS 3180 Topic 5 contingency theory ppt lecture 2.25.2014

Challenges and difficulties will always be present for people in the workplace.

Effective leaders help individuals define their goals and the paths they wish to take to meet those goals.

Four leadership styles can be used to help people overcome obstacles: directive, supportive, participative, and achievement oriented.

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