Part 4: LeadingPart 4: Leading

PowerPoint Presentation by LiZheManagement College

C.C.N.U

Chapter 11Chapter 11

Leadership and Trust

Leadership and Trust

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L E A R N I N G O U T C O M E SAfter reading this chapter, I will be able to:

1. Define leader and explain the difference between managers and leaders.

2. Summarize the conclusions of trait theories of leadership.

3. Describe the Fiedler contingency model.

4. Summarize the path goal model of leadership.

5. Explain situational leadership.

6. Identify the qualities that characterize charismatic leaders.

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L E A R N I N G O U T C O M E S (cont’d)After reading this chapter, I will be able to:

7. Describe the skills that visionary leaders exhibit.

8. Explain the four specific roles of effective team leaders.

9. Identify the five dimensions of trust.

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Managers Versus Leaders

“Not all leaders are managers, nor are all managers leaders.”

• ManagersPersons whose influence on others is limited to the

appointed managerial authority of their positions to reward and punish.

• LeadersPersons with managerial and personal power who

can influence others to perform actions beyond those that could be dictated by those persons’ formal (position) authority alone.

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Trait Theories Of Leadership

• Trait theories of leadershipTheories that attempt to isolate characteristics that

differentiate leaders from nonleaders Attempts to identify traits that always differentiate

leaders from followers and effective leaders from ineffective leaders have failed.

Attempts to identify traits consistently associated with leadership have been more successful.

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Six Traits That Differentiate Leaders from Nonleaders

1. Drive

2. Desire to lead

3. Honesty and integrity

4. Self-confidence

5. Intelligence

6. Job-relevant knowledge

EXHIBIT 11.1Source: Reprinted from “Leadership: Do Traits Really Matter?” by S. A. Kirkpatrick and E. A. Locke by permission of Academy of Management Executive, May 1991, pp.48–60. © 1991 by Academy of Management Executive.

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Behavioral Theories Of Leadership

• Behavioral theories of leadershipTheories that attempt to isolate behaviors that

differentiate effective leaders from ineffective leadersBehavioral studies focus on identifying critical

behavioral determinants of leadership that, in turn, could be used to train people to become leaders.

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Leadership Behaviors or Styles

• Autocratic style of leadership

A leader who centralizes authority, dictates work methods, makes unilateral decisions, and limits employee participation.

• Democratic style of leadership

A leader who involves employees in decision making, delegates authority, encourages participation in deciding work methods and goals, and uses feedback to coach employees.

A democratic-consultative leader seeks input and hears the concerns and issues of employees but makes the final decision him or herself.

A democratic-participative leader often allows employees to have a say in what’s decided.

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Leadership Behaviors or Styles (cont’d)

• Laissez-faire style of leadershipA leader who gives employees complete freedom to

make decisions and to decide on work methods

• Conclusions about leadership stylesThe laissez-faire leadership style is ineffective.Quantity of work is equal under authoritarian and

democratic leadership stylesQuality of work and satisfaction is higher under

democratic leadership.

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Continuum of Leader Behavior

EXHIBIT 11.2

Source: Adapted and reprinted by permission of the Harvard Business Review. An Exhibit from “How to Choose a Leadership Pattern” by R. Tannenbaum and W. Schmidt, May-June 1973. Copyright © 1973 by the President and Fellows and Harvard College; all rights reserved.

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The Ohio State Studies

• Studies that sought to identify independent dimensions of leader behavior Initiating structure

The extent to which a leader defines and structures his or her role and the roles of employees to attain goals

Consideration The extent to which a leader has job relationships

characterized by mutual trust, respect for employees’ ideas, and regard for their feelings

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The University Of Michigan Studies

• Studies that sought to identify the behavioral characteristics of leaders related to performance effectivenessEmployee oriented

A leader who emphasizes interpersonal relations, takes a personal interest in the needs of employees, and accepts individual differences.

Production oriented A leader who emphasizes technical or task aspects of a

job, is concerned mainly with accomplishing tasks, and regards group members as a means to accomplishing goals.

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The Managerial Grid

EXHIBIT 11.3

Source: Adapted and reprinted by permission of the Harvard Business Review. An Exhibition from “Breakthrough in Organization Development” by R. R. Blake, J. A. Mouton, L. B. Barnes,and L. E. Greiner November-December 1964, p.136. Copyright © 1964 by the President and Fellows of Harvard College; all rights reserved.

A two-dimensional view of leadership style that is based on concern for people versus concern for production

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Contingency Theories Of Leadership

• Fiedler contingency leadership modelThe theory that effective group performance depends

on the proper match between the leader’s style of interacting with employees and the degree to which the situation gives control and influence to the leader

Uses Least-preferred co-worker (LPC) questionnaire, to measure the leader’s task or relationship orientation.

Identified three situational criteria—leader member relations, task structure, and position power—that could be manipulated match an inflexible leadership style.

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The Findings of the Fiedler Model

EXHIBIT 11.4

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Path-Goal Theory

• Path-goal theoryThe theory that it is a leader’s job to assist followers

in attaining their goals and to provide the necessary direction and support

A leader’s motivational behavior: Makes employee need satisfaction contingent on

effective performance. Provides the coaching, guidance, support, and rewards

that are necessary for effective performance.Assumes that the leader’s style is flexible and can be

changed to adapt to the situation at hand.

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Path-Goal Leadership Behaviors

• Directive leader Lets employees know what is expected of them, schedules work

to be done, and gives specific guidance as to how to accomplish tasks.

• Supportive leader Is friendly and shows concern for the needs of employees.

• Participative leader Consults with employees and uses their suggestions before

making a decision.

• Achievement-oriented leader Sets challenging goals and expects employees to perform at

their highest levels.

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Path-Goal Theory

EXHIBIT 11.5

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Other Contingency Leadership Models

• Leader-participation model (Vroom, Yetton and Jago) Provided a sequential set of rules for determining the

form and amount of participation a leader should exercise in decision making according to different types of situations. The model was a decision tree incorporating seven

contingencies (whose relevance could be identified by making yes or no choices) and five alternative leader ship styles.

Assumed an adaptable leadership style.

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Contingency Variables in the Revised Leader-Participation Model

• QR: Quality Requirement• CR: Commitment

Requirement• LI: Leader Information• ST: Problem Structure• CP: Commitment

Probability• GC: Goal Congruence

• CO: Employee Conflict• SI: Employee Information• TC: Time Constraint• GD: Geographical

Dispersion • MT: Motivation Time• MD: Motivation-

Development

EXHIBIT 11.6

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Situational Leadership

• Situational leadership theory (SLT)Leaders should adjust their leadership styles—telling,

selling, participating, and delegating—in accordance with the readiness of their followers. Acceptance: Leader effectiveness reflects the reality

that it is the followers who accept or reject the leader.

Readiness: a follower’s ability and willingness to perform.

At higher levels of readiness, leaders respond by reducing control over and involvement with employees.

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Hersey and Blanchard’sSituational Leadership Model

EXHIBIT 11.7

Source: Reprinted with permission from the Center for Leadership Studies. Situational Leadership® is a registered trademark of the Center for Leadership® Studies, Escondido, California. All rights reserved.

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Emerging Approaches To Leadership

• Charismatic leadership theoryFollowers make attributions of heroic or extraordinary

leadership abilities when they observe certain behaviors People working for charismatic leaders are motivated to

exert extra work effort and, because they like and respect their leaders, express greater satisfaction.

Charisma leadership appears to be most appropriate when the followers’ task has a ideological component or when the environment involves a high degree of stress and uncertainty.

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Charismatic Leadership

• A charismatic leader influences followers by:Stating a vision that provides a sense of community

by linking the present with a better future.

Communicating high expectations and expressing confidence that followers can attain them.

Conveying, through words and actions, a new set of values, and by his or her behavior setting an example for followers to imitate.

Making self-sacrifices and engaging in unconventional behavior to demonstrate courage and convictions about the vision.

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Key Characteristics of Charismatic Leaders

• Self-confidence• Vision• Ability to articulate the vision• Strong convictions • Behavior that is out of the ordinary• Appearance• Environmental sensitivity

EXHIBIT 11.8Source: Based on J. A. Conger and R. N. Kanungo, “Behavioral Dimensions of Charismatic Leadership,” in J. A Conger and R. N. Kanungo, Charismatic Leadership (San Francisco; Jossey-bass, 1988), p.91.

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Visionary Leadership

“A vision should create enthusiasm, bringing energy and commitment to the organization.”The key properties of a vision are inspirational

possibilities that are value centered, realizable, and have superior imagery and articulation.

• Visionary leadershipThe ability to create and articulate a realistic, credible,

attractive vision of the future that grows out of and improves upon the present

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Skills of Visionary Leaders

• The ability to explain the vision to others.Make the vision clear in terms of required actions and

aims through clear oral and written communication.

• The ability to express the vision not just verbally but through the leader’s behavior.Behaving in ways that continually convey and

reinforce the vision.

• The ability to extend the vision to different leadership contexts.Sequencing activities so the vision can be applied in a

variety of situations

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Transactional Leaders versus Transformational Leaders

• Transactional leadersLeaders who guide or motivate their followers toward

established goals by clarifying role and task requirements.

• Transformational leadersLeaders who inspire followers to transcend their own

self-interests for the good of the organization and are capable of having a profound and extraordinary effect on followers.

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The Challenge of Team Leadership

• Becoming an effective team leader requires:Learning to share information.Developing the ability to trust others.Learning to give up authority.Knowing when to leave their teams alone and when

to intercede.

• New roles that team leaders take onManaging the team’s external boundaryFacilitating the team process

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Team Leader Roles

EXHIBIT 11.9

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Substitutes for Leadership

• Employee characteristics Experience Training Professional orientation Indifference toward

organizational regards

• Job characteristics Unambiguous Routine Intrinsically satisfying

• Organizational characteristics Explicit formalized goals Rigid rules and

procedures Cohesive work groups

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Five Dimensions of Trust

• IntegrityHonesty and truthfulness

• CompetenceTechnical and interpersonal knowledge and skills

• ConsistencyReliability, predictability, and good judgment

• LoyaltyWillingness to protect and save face for a person

• OpennessWillingness to share ideas and information freely

EXHIBIT 11.10Source: Adapted and reproduced with permission of publisher from: J. K. Butler Jr., and R. S. Cantrell, “A Behavioral Decision Theory Approach to Modeling Dyadic Trust in Superiors and Subordinates.”

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Types Of Trust

• Deterrence-based trustTrust based on fear of reprisal if the trust is violated

• Knowledge-based trustTrust based on the behavioral predictability that

comes from a history of interaction

• Identification-based trustTrust based on an emotional

connection between the parties