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Effective leadership

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Quick Reflections

What are some typical leadership behaviors that come to mind?

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What is leadership Definition Enabling groups of people to face challenges and

achieve results in complex situations Involves creating a positive work culture

characterized by strong relationships with your colleagues, and staff, trust, dedication, hardwork, and teamwork

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When you boil it all down, contemporary leadership see to be a matter of aligning people towards common goals and empowering them to take the actions needed to reach them ( Fortunes article)

Being able to create the kind of meaning for people, the values that make sense to them, where there is enough trust in the system … (W. Bennis)

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Leadership (cont..) Leadership is about responsibility -leadership

is not a rank, privileges, titles, or money. It is about responsibility

Leaders do not start with “ what do I want” but rather start with “what needs to be done” Then they ask “what can and should I do to make a difference”

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Leadership (cont..) Leadership is done with others - Mobilizing

people through out the organization to do adaptive work

Leadership happens at all levels – What ever level you are, whatever your job, you can bring new insight, new leadership, to your team or to your group

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Leadership is the art of inspiring subordinates or followers to perform their duties willingly, competently, and enthusiastically.

Leadership is a social influence process in which the leader seeks voluntary participation of the followers in order to achieve organizational objectives.

Leadership is both process and property. As a process, leadership involves the use of noncoercive influence to direct and coordinate the activities of the members of an organized group towards the achievement of group objectives.

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As a property, leadership is a set of qualities or characteristics attributed to those who are perceived to successfully employ such influence. Such qualities include:

Ability to inspire the other. Ability to understand human behavior. Ability of verbal assertiveness. Willingness to take risk.

The art of influencing others to direct their will, abilities and effort towards the achievement of the leaders goals

Therefore in organisations, leadership is influencing individuals and groups effort towards the achievement optimum achievement of organizations objectives

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Leadership focuses on “people” aspect of management and is based on the assumptions that organizational effectiveness significantly depends on their : Motivation Effort Abilities

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In spite of seeming discontent at least with the traditional approaches to leadership theory and practice, throughout history, the differences between success and failure, whether in a war, a business, a protest movement, a sports etc have been attributed to leadership

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A recent study by Gallup survey indicates that most employees believe that it is the leader, not the company, that guides the culture and creates situations where workers can be happy and successful

The manager in his leadership role therefore stimulates and inspires employees to contribute willingly to the optimal achievement of organizational goals

Leadership is therefore an important ingredient of managing. Managers cannot effectively manager unless he can lead his subordinates effectively

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Leadership traits and characteristics

Are leaders born or made?

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Belief by many modern scholars Believes that leadership capacities and

competencies can be acquired but the desire to learn must be there.

Leadership is a goal to be pursued, not a gift to be bestowed only upon a lucky few.

The best leaders make a personal choice to continually assess and constantly develop their leadership capabilities

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Leaders vs. managers

Who are the Leaders and Who are the Managers?

Leaders Vs ManagersWhat is Different between Them? Researchers seem to agree that the best way

to explain the traits and characteristics of leaders is to compare their roles, actions, habits and responsibilities with those of what is regarded as ‘traditional’ managers.

The following is a composite of these traits and characteristics differentiating between leaders from managers.

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Leaders…… Managers…..Do the right thing Do things right

Are interested in effectiveness Are interested in efficiency

Innovate Administer

Develop Maintain

Focus on people Focus on systems and structure

Rely on trust Rely on control04/20/23 18

Leaders Vs Managers Leaders Vs Managers cont…d cont…d

Challenge the status quo Accept the status quo

Focus on the future Focus on the present

Have their eyes on the horizon Have their eyes on the bottom line

Develop visions and strategies Develop detailed steps and timetables

Seek change Seek predictability and order

Take risks Avoid risks

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Leaders Vs Managers Leaders Vs Managers cont…d cont…d

Inspire people to change Motivate people to comply with standards

Use person-to-person influence Use position-to-position influence

Inspire others to follow Require others to comply

Operate outside of organizational rules, regulations, policies and procedures

Operate within organizational rules, regulations, policies and procedures

Take initiative to lead Are given a position 04/20/23 20

Leaders Vs Managers Leaders Vs Managers cont…d cont…d

Align people with a direction Organize and staff

Emphasize philosophy; core values, and shared goals

Emphasize tactics, structure and systems

Have a long-term view Have a short-term view

Ask what and why Ask how and when

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Leaders Vs Managers Leaders Vs Managers cont…d cont…d

Approaches to Leadership Great man theory Traits approach Behavioral approach

Situational

John Adair, 2002, Effective strategic leadership04/20/23 22

Leaders are born and great leaders will arise when there is a great need

In time of need a Great Man would arise – almost magically

Based on early research of leadership which was based on people who are already leaders

Leaders associated with great man theory – Eisenhower, Churchill, Jesus, Moses, Mohammed

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The Great Man theory

The Traits approach

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Before 1950s researchers sought to understand leadership by comparing traits of leaders with followers and effective leaders with ineffective leaders

This search for features/traits of a leader was prompted by a belief that leaders somewhat possess distinguishing traits that set them apart form other people

The traits approach …..

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This approach analyses leadership by identifying a number of characteristics that would distinguish an effective leader from an ineffective leader.

It comprise of specific qualities that a leader should posses in executing his/her roles e.g. ability to make decisions, loyalty, sense of duty, etc.

This approach analysis leadership by identifying a finite number of characteristics that would distinguish a n effective leader form an ineffective leader.

measures of a leaders effectiveness under traits approach are influenced by traits such as physical, social psychological or personality characteristics,

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Some traits Intelligence Dominance Self confidence Task relevant knowledge Level of energy and activity

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Some common attributes of a leader… Traits

Adaptive to situations Alert to social environments Ambitious and achievement oriented Assertive Cooperative Decisive Dependable Dominant desire to influence

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persistent Self confidence Tolerant to stress Willing to assume responsibility Calmness in crisis Energy Determination Resolute courage Sense of justice Initiative Humor

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Physical factors: Activity level Appearance Height Weight Physical fitness

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Skill Conceptual skills Analytical skills Creative Diplomatic and friendly Effective speaking Knowledgeable about group task Organised administrative ability Persuasive

The characteristics Ability to inspire others - some leaders are

charismatic, have the qualities of being extra special, attractive, and interesting

Ability to understand human behaviour - successful leaders realize that they get their job done through people and therefore try to develop social understand and appropriate skills

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Similarity to the group – those who emerge as successful leaders are generally not too different form the group - e.g. a senior executive would probability not be accepted as a production foreman because of the wide differences in his education, viewpoints and interests

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Verbal assertiveness – by nature leaders seem not to be shy. They are able to present their views in a confident manner and hold the passion when attacked. A leader has the ability to speak up when others feel they should not because of fear of being ridiculed

Willingness to communicate honestly - to tell the truth otherwise a credibility gap will develop, discuss issues and problems that are not particularly pleasant but are important 04/20/23 34

Dedication to organizational goals - how committed is the leader to the organizational objectives being sought

Dedication is demonstrated by hard work, self sacrifice, believing in the goals

Ability to set examples to be followed – displays a behaviour of do as a do

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Willingness to take risks – risk is the possibility of loss, injury, disadvantage or defeat. Generally maintaining the status quo is not indicated of leadership. People want to follow somebody who will take them to the “promised land” even if some risk is involved

But leaders may not take too great risk because doing so may make their follower too fearful, and panic or even dissertation may result - taking risks in the right proportion makes the organisation exciting

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Willingness to assume full responsibility – taking full responsibility when one could shift it to somebody else is leadership

Willingness to be supportive of other personnel – people respect managers who pass credit to them when an effort is successful . Being supportive also means representing them to upper level management to get the financial and physical resources needed to do the job ( pay, benefits, working conditions etc)

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Skill in the art of compromise - settle difference by arbitration or mediation - helps people reach intermediate solutions

Ability to tolerate criticism – since leaders have radical and unusual ideas, they are subjected to a lot of criticism from followers and colleagues. Therefore must be prepared to accept criticism from those affected by the plans they make -

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Criticism of traits approach As more studies were done under this approach, the

number of traits of suspected importance began to grow and the results became increasingly mixed, with no clear pattern of traits that was strongly and consistently related to leadership

Several studies on traits approach seem to disagree on the required traits of a leader.

Some say that as far as physical traits are concerned, leaders tend to be bigger and brighter than those being led

Criticism of traits approach cont… Personality of a manager alone does not indicate

leadership ability Some effective leaders are brush, loud, aggressive etc Others are quiet, soft spoken, mild tempered Nor is popularity synonymous with leadership ability– the

most popular person may not be the best leader– leaders must be more than just nice

generally, leaders are observed to be outgoing and socially assertive, yet some outstanding leaders like Mahatma Gandhi and Abraham Lincoln were relatively shy and withdrawn

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Criticism of traits approach cont… Education, family status and background of a

person are poor guidelines in predicting a persona chance of being an effective leader. Leaders may or may not have university education, come form a high- profile or low level income families

Therefore while it is difficult to pin down the precise quality that make a superior leader, leaders do seem to personal and behavioral characteristics

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Criticism of traits approach cont… Political analysis indicates that candidates should not come

out as too intelligent to be electable The most intelligent member of a criminal gang is not the

leader

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THE BEHAVIORAL APPROACH Is based on how a leader use of authority in social

situation As interest in the early traits approach to leadership

began to decline, researchers focuses their attention on leaders actions rather than on their attributes

They tried to identify specific styles of leaders conduct and attempted to discover where leaders behaviour was associated with employee attitudes and performance

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Leadership styles identified University of IOWA Leadership Studies

Authoritarian Democratic Laissez –faire

Likerts systems approach The managerial Grid – Robert Blake and Jane Mouton Directive vs. Participative Leadership – Tannenbaum and W.

Schmidt Charismatic leadership Transactional leadership vs. transformational leadership

Autocratic/authoritative leader Gives definite instructions Demands compliance Emphasis task performance Exercise close supervision Permits very little or no subordinate influence on

decisions Do not welcome suggestion form subordinates E04/20/23 DBA 303 45

Uses coercion, threat and authority to enforce discipline and ensure performance

Is leader centred, production centred, directive leadership styles

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Democratic/participative Involves subordinates as individuals and as

groups in decision making, relating to their goals and plans

Permits them to take initiative and judgment Emphasis groups efforts Exercise broad supervision Motivates employees to higher level of

performance04/20/23 DBA 303 47

Uses influence rather than authority Builds a two way communication These leaders are called employee centred,

consultative, permissive, equalitarian

Laizzes faire Takes no interest in production or in people “ lets

things drift” 04/20/23 DBA 303 48

Comments from research done on each of the styles Authoritarian:

impaired groups morale and initiative Generates hostility and fosters aggressive

behaviour Leads to high rage of grievance and absenteeism Dissatisfaction with work Autocratic led groups tend to stop working and

engage in horseplay whenever the leader left the room

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Although there is a tendency for authoritarian groups to produce more output, the quality of output tend to be higher in the democratically led groups

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Democratic Promotes high morale and positive attitude

towards the leader and work Lowers rate of grievances, turnover and

absenteeism Greater acceptance of decisions and greeter

commitment to implement themselves High level of performance and productivity

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Results Democratically led groups were more satisfied and

displayed less aggression towards one another than in the autocratically led groups

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Is autocratic leadership all bad…. Autocratic leadership may not always be

inappropriate. Some situations may call for urgent action and in

these cases autocratic style of leadership many be the best

Most people are familiar with the autocratic leadership and therefore have less difficult in adopting that style

In some situations, subordinates may actually prefer an autocratic style

Likert’s System 1 – 4 approach Rensis Likert (New York , 1967) regards

leadership as central and most important component of management

In his view, organizational effectiveness significantly depends on the manner in which managers provide leadership to their subordinates.

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He proposes the most effective way to lead people is to:

Involve them in decision making as a group Build an effective communication system Create a supportive environment that provides

employees opportunities to seek fulfillment of their personal goals and group needs and realize their sense of personal growth

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Likerts four systems – Leadership styles System 1 – Exploitative -authoritative System 2 – Benevolent -authoritative System 3 – consultative System 4 – participative group leader

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System 1 – Exploitative- Authoritative Highly production – oriented leaders Display no confidence in their subordinates Subordinates do not participate in decision

making They seldom seek or use subordinates ideas Uses fear, threats, punishment and occasional

reward to enforce compliance Engage in mainly downward communication04/20/23 DBA 303 57

System 2 – Benevolent- Authoritative Shows conscious courtesy towards his

subordinates Show confidence and trust in the subordinates Sometimes seeks and uses their ideas reward an sometimes actual and potential

punishment to get out performance Allows some delegation in decision making

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Exercise close supervision Permits some upward communication Creates an environment in which subordinates

do not feel quite free with their superior to talk about their problems

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System 3: Consultative Displays substantial confidence in their

subordinates Consults them before making decisions, but

makes decisions themselves Usually seeks and uses their ideas Motivates them by giving reward and

occasional punishment

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Engages in both downwards and upward communication

Makes important decisions themselves and delegates routine ones to the subordinates

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System 4: participative group leader Advocates work-groups and the leader being

the linking pin between groups Advocates supportive relationship – i.e.

creates an environment of mutual support, trust and confidence

Advocates high performance group goals – set high performance goals for them

Has full confidence in the group 04/20/23 DBA 303 62

Seeks and uses subordinates ideas Gives reward on the basis of group

performance Engages in effective up/down/sideways

communication

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Strongly proposed by Likert – this system: achieves a high level of performance builds a healthy supportive and environment Enhances morale and satifaion of employees

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The managerial Grid – Robert Blake and Jane Mouton This approach focuses on various blends of

leadership styles and explains its leadership styles by use of a grid

In the Managerial Grid, the various combinations of a concern for people and a concern for production defines five major leadership styles

The Managerial Grid1,9

Country club managementThoughtful attention needs of peoplefor satisfying relationships leads to

A comfortable, friendly organization

atmosphere and work tempo

9,9Team management

Work accomplishment is from committed people, interdependence

through a “common stake” in organization purpose leads to relationship

of trust and respect

1,1Impoverished Management

Exertion of minimum effort to get required work done is appropriate

to sustain organization membership

5,5Organization Man Management

Adequate organization performance possible through balancing the necessity to

get out work with maintaining morale of the people at a satisfactory level

9,1Authority-Obedience

Efficiency in operations results from arranging conditions of

work in such a way that human elements interfere to a minimal degree

1

2

3 4 5 6 987

1

2

3

4

5

6

7

8

9

Concern for productionLow High

Low

High

Con

cern

for

peo

ple

© 2007 Prentice Hall Inc. All rights reserved.

The Managerial Grid

(Blake and Mouton)

E X H I B I T 12–1

E X H I B I T 12–1

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1,1 impoverished manager Puts minimum effort to get the required work done Shows very little concern for people or production. Very much like Laissez Faire leader who just lets

things drift. He is neither close to production requirements or

employee needs. Has minimal standards.

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1,9 Country Club Manager This just aims at keeping the boys happy and has little

concern for production Involves thoughtful attention to the needs of the people He thinks that if he takes care of employees production will

take of itself. Unfortunately, happy workers are not necessarily productive Gives careful attention to people to create a meaningful

relationship and friendly atmosphere.

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9,1 authority/obedience manager Emphasize efficiently in operations that result from arranging work

conditions in such a way that human element can only interfere to a small degree

Shows maximum concern for production and minimum concern for people

He is authoritarian Demands compliance by using mainly threats and coercion Exercises close supervision Allows employees little or no chance for decision making. He causes employees alienation from the organization by frustrating their

needs.

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5,5 middle-of-the-road manager Emphasizes both production as well as employee need

satisfaction but not maximizing. Obtains adequate but not optimal performance Involve people in decision making Uses and seek their ideas Engage in up and down communication. Providing an environment for employee need satisfaction Though they do not optimize on any of these dimensions.

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9,9 Team manager Places maximum emphasis on production as well as

people They are team managers. They integrate the individual and group such with

organizational goals, thus optimize on both dimensions-employees involvement and need satisfaction as well as production.

This is the most effective leadership style.

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The managerial grid model assumes that there is one best or most effective style of management – the team management style.

Managers who emphasize both concern for people and production are presumed to be more successful

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Directive vs. participative leadership This focus attention on incorporating power sharing

into leadership It says power-sharing can occur to varying degree:

from - Genuine control over decisions that are made, to providing input to the final decision, to consultation, to mere tokenism and the misuse of the term participative

to manipulate other

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Tannenbaum and Schmidt have suggested that participation is based on the amount of authority used by the supervisor in relation to the amount of freedom permitted to subordinates

Their views are presented in a continuum ranging from boss-centred leadership to subordinate centred leadership

The use of the authority by manager diminishes in the continuum

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Results of the studies Studies on the cost and benefit of participative Vs

directive style of leadership have not shown convincingly that either style is more commonly superior

In some instance, the cost of employee participation may offset the benefits

In other instances, however, participation is favour over directive leadership especially where employee loyalty, job satisfaction and commitment is high

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From the lowest to the highest level of the continuum

Manager makes decisions and announces it Manager sells decision Manager presents ideas and invites questions Manager presents tentative decision subject to change Manager presents problem, get suggestion, and makes

decisions Manager defines limits ask group to make decisions Manager permits subordinates to function within limits

defined by supervisor,

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Contingency Theory of leadership post-World War II development Mere qualities alone are no longer valid The previous approaches concentrated on

only leaders themselves and fell short of being an of addressing the various intervening determinants of leadership

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The Theorist supporting Contingency approach Fred Fiedler Contingency Theory (1961) Path-Goal Leadership Theory ( Martin Evans

and Robert House (1971)

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Contingency theory turns its attention to:

The group being led The exchange relationship between the leader and

the group The situational aspect of leadership

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It is believed that there are situational variables that affect: Leadership roles Leadership Skills Leadership Behaviours Followers performance and satisfactions

These variables have been identified by Fred Fielder in his Contingency Model of Leadership effectiveness

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Fiedler’s Contingency Model of Leadership Effectiveness This model contains the relationship between

leadership style and the favourableness of the situation

It says that a leaders behaviour required for effective group performance depends on the favourableness or unfavourableness of the situation

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Situational factor in Fiedler’s Contingency Model Leader-member relationship ( with group

members)

1. Degree of task structure ( nature of task)

2. The leaders position power (arising from the organisation structure)

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Situation is favourable to the leader if …. All the three dimensions are high i.e.

The leader is generally accepted, respected, gets support from the followers and the group is ready to be directed ( high first dimension)

The extent to which the task is structured is clearly defined so that it can be delegated, controlled and evaluated ( high second dimension)

If a great deal of authority and power are formally attributed to the leaders position ( high third dimension)

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The situation is unfavourable if… The tasks are very ambiguous The leader position authority is weak The group relationship with the leader is poor –

no respect, support or acceptance Fiedler concluded through his research that

the favourableness of the situation in combination of the leadership style determines leadership effectiveness

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Based on the analysis of Fiedler findings from all types of situations, Fielder discovered that:

Under very favourable and very unfavorable situation … the task- directed, hard-nosed and authoritarian, type of a leader was most effective

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However, when the situation is moderately favourable or unfavourable ( the intermediate range of favourableness),…… the human oriented or democratic type of leader was most effective

Findings of the Fiedler ModelFindings of the Fiedler Model

• Category• Leader-Member Relations• Task Structure• Position Power

I

Good

HighStrong

II

Good

HighWeak

III

Good

LowStrong

IV

Good

LowWeak

V

Poor

HighStrong

VI

Poor

HighWeak

VII

Poor

LowStrong

VIII

Poor

LowWeak

Good

Poor

Perf

orm

ance

Relationship-Oriented

Task-Oriented

Favorable Moderate Unfavorable

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Why is the tasks- directed leader successful in very favourable situations…. In very favourable situations in which the

leader has power, informal backing and relatively well structured task, the group is ready to be directed, and the group expect to be told what to do

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Why tasks- directed leader is successful in very unfavourable situations…. In this situation, the effective leader will take

charge and make the direction that need to be made to accomplish a task without asking for input and trying to keep everyone happy, otherwise nothing will be done

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When human oriented, democratic leader is effective.. Will be effective in the intermediate range of

favourableness E.g. In a committee where the leader may not be

wholly accepted by other members, and the task is not completely structured, and some authority or power is granted to the leader

The same moderate favourable situation applies often managers and supervisors

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Path- Goal Leadership Theory The path Goal Theory attempts to explain the impact

that leader behaviour has on subordinate motivation , satisfaction, and performance

It emphasizes that leaders can optimize organizational effectiveness by influencing the path-goal perception of subordinates and their need satisfaction

© 2007 Prentice Hall Inc. All rights reserved.

Path-Goal TheoryPremise

• Leader must help followers attaining goals and reduce roadblocks to success

•Leaders must change behaviors to fit the situation (environmental contingencies & subordinate contingencies)

Path-Goal TheoryLeader is seen as important in providing a path for employees to attain desired goals

• Directive [leader tells subordinates how to perform tasks; provides guidelines and structure]

• Supportive [leader shows caring and concern for subordinates’ well- being]

• Participative [leader involves subordinates in decision-making]

• Achievement-oriented [leader sets specific and challenging goals; promotes high work-related aspirations and goal attainment]

Leadership Behaviors (must be able to use all four types when necessary. Use varies with such factors as employee ability, work environment, group size)

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Path- Goal theory situational factors The path-goal theory suggests that these various

styles can be and actually are used by the same leader in different situations ( differs from Fiedler’s model in this respect)

Two situational factors that have been identified are: The personal characteristics of the subordinates

(subordinate contingency factors) The environmental pressures and demands facing the

subordinates ( environmental contingency factors

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Four Major styles of leadership – R. House1. Directive leadership: subordinates know exactly

what is expected of them, and the leader gives specific direction. There is not participation by subordinates

2. Supportive leadership: the leader is friendly and approachable and shows a genuine concern for subordinates

3. Participative leadership: The leader asks for and uses suggestions form subordinates but still makes the decision

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Styles of leadership – R. House (cont..) 4. Achievement- oriented leadership: The

leader sets challenging goals for subordinates and show confidence that they will attain these goals and perform well

Path Goal TheoryEnvironmental Contingency Factors• Task Structure• Formal authority system• Work Group

Subordinate contingency factors•Locus of control•Experience•Perceived ability

Outcomes •Performance•Satisfaction

Leader Behavior•Directive•Supportive•Participative•Achievement -oriented

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Using one of the four styles contingent on the situational factors outlines, the leader attempts to influence subordinates’ perceptions and motivate them, which in turn lead to their role clarity, goal expectancies, satisfaction , and performance.

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How can leaders accomplish effectiveness under this theory?

1. Recognizing and/or arousing the subordinates needs for outcome/reward over which the leader has some control

2. Increase his personal payoff for goal attainment

3. Making the path for those pay-offs easier to travel by coaching and directing

4. Helping subordinate clarify his expectations

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How can leaders accomplish effectiveness under this theory? 5. Reduce frustrating barriers 6. Increase opportunities for personal satisfaction

contingent on effective performance In other words, by doing the above, the leader attempts to

make the path to subordinates goal as smooth as possible But to accomplish the path-goal facilitation, the leader

must use the appropriate style contingent on the situation variables present

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Modern theoretical processes of leadership The contingency and path goal theories have

a relative degree of acceptance. But despite this scholars feel that much more research on leadership needs to be conducted and a number of other theories have recently emerged.

These include: The charismatic Transformational leadership

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Charismatic leadership theories Charismatic leaders are persons “ who by the

force of their personal abilities are capable of having profound and extraordinary effect on followers”

Studies of identifiable charismatic individuals indicate that charismatic types are often rejecting of formal authority and are willing to take personal risk because of their strong convictions

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Bernard Bass and Bruce in their study of charismatic leaders found that they are rated more highly on their effectiveness as leaders and have subordinates who are more highly satisfied with their leadership

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Charismatic leadership (cont…) The modern development of charismatic

leadership is attributed to the work of Robert House

He suggests that charismatic leaders are characterized by self confidence and confidence in subordinates, high expectations for subordinates, ideological vision and the use of personal example

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Charismatic leadership (cont…) Followers of charismatic leaders identify with

the leader and the mission of the leader, exhibit extreme loyalty to and confidence in the leader, emulate the leaders values and behaviour and derive self esteem form their relationship with the leader

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Charismatic leadership (cont…) Another author Bass Bernard has extended

the profile of charismatic leaders to include superior debating and persuasive skills as well as technical expertise and fostering of attitudinal, behavioral, and emotional changes in their followers

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Charismatic leadership (cont…) Because of the effects the charismatic leaders

have on followers, the theory predicts that charismatic leaders will produce in followers performance beyond expectations as well as strong commitment to the leader and his/her mission

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Charismatic leadership (cont…) Research indicates that the impact of such a

charismatic leader will be enhanced when the followers exhibit higher levels of self awareness and self-monitoring, especially when observing the charismatic leaders’ behaviours and activities and when operating in a social network

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Types of charismatic leadership styles Envisioning To create a picture for the future – or a desire end

future state - with which people can identify and can generate excitement

For example articulating a compelling vision and/or setting high expectations

Energizing Directing the generation of energy, the motivation

to act, among members of the organisation For example demonstrating person excitement and

confidence and seeking, finding and using success

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Enabling Psychologically helping people act or

performing in the face of challenging goals For example expressing personal support and

empathizing

Charismatic Leadership – Key characteristics

Self Confidence- They have complete confidence in their judgment and ability.

A vision- This is an idealized goal that proposes a future better than the status quo. The greater the disparity between idealized goal and the status quo, the more likely that followers will attribute extraordinary vision to the leader.

Ability to articulate the vision- They are able to clarify and state the vision in terms that are understandable to others. This articulation demonstrates an understanding of the followers’ needs and, hence acts as a motivating force.

Strong convictions about vision- Charismatic leaders are perceived as being strongly committed, and willing to take on high personal risk, incur high costs, and engage in self-sacrifice to achieve their vision.

Behavior that is out of the ordinary- Those with charisma engage in behavior that is perceived as being novel, unconventional, and counter to norms. When successful , these behaviors evoke surprise and admiration in followers.

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Perceived as being a change agent- Charismatic leaders are perceived as agents of radical change rather than as caretakers of the status quo.

Environmental sensitivity- These leaders are able to make realistic assessments of the environmental constraints and resources needed to bring about change.

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Dark side of charismatic leadership Charismatic leadership has been seen to have its

bright and dark side Franklin Roosevelt, John F. Kennedy, Mahatma

Gandhi, Nelson Mandela have shown the bright side Adolph Hitler, and the like have shown the dark

side – where these leaders have encouraged followers to be devoted to them rather than commitment ideological principles

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The dark side of charismatic leadership Charismatic leaders tend to be portrayed as

wonderful heroes, But there can also be unethical characteristics

associated with charismatic leaders as noted by Jane Howell an Bruce Avolio (1992)

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Ethical and unethical characteristics of charismatic leadersEthical charismatic leader Aligns vision with

followers needs and aspirations

Considers and learns from criticism

Stimulates followers to think independently and to question the leaders view

Unethical charismatic leader

Uses power only for personal gain or impact

Promotes own personal vision

Censures critical or opposing views

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Ethical and unethical characteristics (cont..) Open two-way

communication Coaches, develops, and

supports follower; shares recognition with others

Relies on internal moral standards to satisfy organizational and societal interests

One way communication

Insensitive to followers needs

Relies on convenient, external moral standards to satisfy self interests

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Transformational leadership theory Transformational leadership is based more on

leaders shifting the values, beliefs and needs of their followers unlike the transactional leadership which involves exchange relationship between leaders and followers

Transactional leadership refers to the everyday exchanges that takes place between leaders and subordinates as they routinely perform their duties

Transformational leadership , is a more broader concept than charismatic and implies reshaping entire strategies of an organisation

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Transformational leaderships elevates the goals of subordinates and enhances their self confidence to strive for higher goals

According to Bernard Bass, in their approach, transformational leaders differ from transactional leaders in the following ways:

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Transformational vs. transactional leadershipTransactional leaders: Contingent rewards:

Contracts the exchange of reward for effort; promises reward for good performance; recognizes accomplishment

Transformational leaders

Charisma: provides vision and sense of mission, instill pride, gains respect and trust

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Transformational vs. transactional leadership (cont..) Management by

exception (active): watches and searches for deviations form rule and standards; taken corrective action

Inspirational: communicates high expectations ; uses symbols to focus effort, expresses important purposes in a simple way

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Transformational vs. transactional leadership (cont..) Management by exception

(passive): Intervenes only if standards are not met

Laissez-faire: abdicates responsibility and avoids making decisions

Intellectual stimulation: promotes intelligence; rationality, and careful problem solving

Individual consideration; Gives personal attention, treats each employee individually ; coaches and advises

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Transformational vs. transactional leadership (cont..) Bass concludes that in many instances (such

as relying on passive management by exception), transactional leadership is a prescription for mediocrity and the transformational leadership leads to superior performance in organisations facing demand for renewal and changes

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Characteristics of transformational leaders They identify themselves as change agents Courageous Believe in people Are value driven They are lifelong learners Have the ability to deal with complexity,

ambiguity and uncertainty Are visionary

Charisma : Provides vision and sense of mission, instills pride, gains respect trust.

Inspiration: Communicates high expectations, uses symbols to focus efforts, expresses important purposes in simple ways.

Intellectual Stimulations: Promotes intelligence, rationality, and careful problem solving.

Individualized consideration: Gives personal attention, treats each employee individually, coaches, advises.

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