Chapter 9 Charismatic and Transformational Leadership Lussier, R. and Achau, C. (2007): Effective Leadership, 3 rd Edition, South-Western, Cangage Learning

Chapter 9Chapter 9

Charismatic and Charismatic and Transformational Transformational

LeadershipLeadership

Lussier, R. and Achau, C. (2007): Effective Leadership, 3rd Edition, South-Western, Cangage Learning

2

Summary of Lecture 19

Charisma and Charismatic Leadership

Max Weber on charismatic leadership.

Locus of charismatic leadership.

Personal Meanings Purpose of Life


Learning Objectives

How one can acquire charismatic qualities.

Socialized VS personalized charismatic leaders.

Charismatic VS transformational leadership.

Phases of the transformation process.

Transformational VS Transactional leadership

Stewardship and servant leadership


How One Acquires Charismatic Qualities

Training help to build charismatic qualities?

Practice and self discipline improve building vision

Emotional stability and empathic behavior

Develop communication skills

Learn techniques to influence and inspire people


Develop Visionary Skills

Practice being candid

Develop Warm positive and humanistic attitude

Develop an enthusiastic, optimisticAnd energetic personality

Strategies to Develop Charismatic Qualities


Charisma: A double Edged Sword

Charisma can make or ruin (positive and negative outcomes)

Be careful in hero worship

Personal motives or organization interest

Valuation theory proposes that two basic motives drive an individual 1) self glorification motive based on self enhancement 2) self transcendence motives based on collective interest give meaning through supportive relationships with others

Socialized and Personalized charismatic leader Lussier, R. and Achau, C. (2007): Effective Leadership, 3rd Edition, South-Western, Cangage Learning

Socialized and Personalized Charismatic Leader

SCL: Promotes empowerment, self development, equal participation and pursue organization goals

SCL encourage and instill devotion to vision and ideology

PCL: Promotes dependency, obedience, and submission in followers

PCL promotes devotion to themselves, make decision based on self serving, group achievements are used for self glorification


EXAMPLES OF PERSONALIZED CHARISMATIC LEADERS

Adolph Hitler

Josef Stalin

Benito Mussolini

Charles Manson

David Koresh

Rev. James Jones


EXAMPLES OF SOCIALIZED CHARISMATIC LEADERS

Quaid-e-AzamWinston ChurchillJohn Fitzgerald KennedyMartin Luther King, Jr.

Others?


Is Charisma Solution of Every Problem

In time of crises and radical change strategic leadership approach is more appropriate than lone star individualistic approach

Organizational change is possible through transformational leadership


Name few Charismatic leaders?

Why do you think so?


IS CHARISMA MORE OR LESS IMPORTANT

IN POLITICAL LEADERS TODAY?

WHY OR WHY NOT?


Charismatic leaders are more vulnerable to threats because of strong emotional level


TRANSFORMATIONAL LEADERSHIP

Serves to change the status quo by articulating to followers the problems in the current system

and a compelling vision of what a new organization could be


Transformational and Charismatic Leadership

Some authors believe that there is no distinction

Some see charisma as one of the attribute that define transformational leadership

Agreement on assertion that charismatic leader are actually transformational leader but not all transformational leaders are charismatic

Transformational leader may influence and instill passion for change through personalized consideration and rationalizing need for change, insight in new possible solutions and bring commitment

Transformational leaders can be from different levels of organization Therefore, organization can have more than one transformational leader



Focuses on what leaders accomplish( transforming abilities), not their personal characteristics or followers’ reactions

Serves to change the status quo by articulating to followers the problems in the current system and a compelling vision of what a new organization could be

Moving and Changing things

Alter existing structure, and influence people to get their support for new vision and new possibilities

Collective “buy in” to organizational vision given by leader that follower willingly put extra effort to achieve organizational goals



Transformational leader have charisma, intellectual abilities, inspiration and individual consideration

Craft and implement bold strategies to exploit opportunities

Transformational leader bring change

Shift of focus from individual to collective interest

Build trust and commitment towards mission and change


Transformational Leaders

Create & Articulate a Vision

Set an example for followers consistent with leader values and beliefs

Foster a “Buy-in” of Team Goals

Have High Performance Expectations

Personalize the Leader-Member Exchange

Empower followers to think outside the box


Transformational Leaders

See themselves as change agents

Are visionaries with high levels of trust for their organization

Are risk takers, but not reckless

Articulate core values that guide their own behavior

Have exceptional cognitive skills

Believe in careful planning before taking action

Believe in people & show sensitivity for their needs

Are flexible and open to learning from experience


Transformation Process

Make a compelling case for change

Inspire a shared vision

Lead the transition

Implant the change


Transactional Leadership

Seeks to maintain stability within an organization through regular economic and social exchanges that achieve specific

goals for both the leaders and followers


Transformational and Transactional Leadership

Transformational Transactional

More influential, inspirational and charismatic

Task and reward oriented influence

Active and bring new things way working

Passive and structured

Challenge status quo Maintain status quo

Use personal attributes to influence followers

Use reward and punishment to inspire followers

Strong emotional bond Weak emotional belonging

Development and Empowerment Monitor and control

Focus on revolutionary change in structure and culture

Maintain stability in culture, structure and strategies

Long term relationship Relationship ends or redefined once transaction completed


Then Who is Effective Leader

Who possess both transformational and transactional leadership skills and use these

according to situation


STEWARDSHIP

An employee-focused form of leadership that empowers followers to make decisions and have control over their jobs

Contemporary view: Leader as steward and servant of the people


Values of Stewardship

Equality Equality AssumptionsAssumptions

Reward Reward AssumptionAssumption

Teamwork Teamwork OrientationOrientation

DecentralizationDecentralization

StewardshipStewardship


KEYS TO STEWARDSHIPHelping employees to grow personally and professionally

Strong teamwork orientation

Decentralized decision making and power down to where the work gets done

Equality assumption that it is a partnership of equals rather than a leader-follower command structure

Rewards must be redesigned to compensate employees for actual contributions and greater responsibility


Servant Leadership

“Servant leadership emphasizes fairness and justice as means for achieving organization citizenship behavior”

A strong moral standpoint


Guidelines to ServantLeadership

Service to others Service to others over self interestover self interest

Earning and keeping others’ trust: Earning and keeping others’ trust: no hidden agendas, give up power, no hidden agendas, give up power, rewards, recognition, & controlrewards, recognition, & control

Effective listeningEffective listening

Helping others discover Helping others discover their inner spirit: their inner spirit:

empathetic of othersempathetic of others

ServantServantLeadershipLeadership

Use of persuasion rather than positional authority

Commitment to the growth of employees

Build community within and outside organization


Discussion Question 1: List few limitations of charismatic leadership theory?

Question 2: List key characteristics and attributes of transformational leaders?

Discussion Question 3: Explain the concept of servant leadership?

Discussion Question 4: What do you think charismatic leadership or transformational leadership is more effective?

Discussion Question 5: What is difference between transformational and transactional leader ?

Discussion Questions


Summary

Max Weber on charismatic leadership.Argument for and against the locus of charismatic leadership.How one can acquire charismatic qualities.Socialized VS personalized charismatic leaders.Charismatic VS transformational leadership.4 Phases of the transformation process.Transformational VS Transactional leadershipStewardship and servant leadership


Documents

Chapter 9 Charismatic and Transformational Leadership Lussier, R. and Achau, C. (2007): Effective Leadership, 3 rd Edition, South-Western, Cangage Learning