Early Theories: The Foundations of

Modern Leadership
Chapter 3
Learning Objectives
Identify the three major eras in the study of
leadership and their contributions to modern
leadership
Explain the methods, results, shortcomings, and
contributions of the trait and behavioral
approaches to leadership and identify their impact
on current approaches
Present the principles of a contingency approach
to leadership
Discuss the most significant early theories of
leadership and their implications for current
theory and practice of leadership
Eras of Modern Leadership
The trait era 1800s to mid 1940s
Focus on leader personality
The behavior era mid 1940s to 1970s
- Focus on leader behavior
The contingency era early 1960s to present
- Focus on understanding both the leader and
leadership situation
The Behavior Era Assumptions and
Findings
Assumptions Findings
Behaviors rather than
traits matter
Behaviors are
observable and
measurable
Behaviors can be
taught
Key behaviors are
task/structuring and
relationships/consider
ation
Behaviors done alone
do not determine
effective leadership
No clear findings as to
which behaviors are
most effective
Examples of Major Leadership
Behaviors
Task-Structuring
Relationships-
Consideration
Set goals
Clarify expectations
Set schedules and
timelines
Assign tasks
Show empathy and
understanding
Be friendly and
approachable
Allow participation
Nurture followers
The Contingency Era Assumptions
and Findings
No one best way to lead
Simple traits or behaviors alone do not explain or
predict leadership
Understanding both leader trait/behavior and
situation is needed
Personal and situational factors affect leadership
effectiveness
Fiedlers Contingency Model
Leadership effectiveness is a function of the
match or fit between leaders style and the
leadership situation
The leaders style has a trait-like quality and
cannot be changed from one situation to another
The leader must change the situation to fit his/her
style
Elements of Fiedlers Contingency
Model
Leadership
The Leaders style
Task or relationship motivation measured by LPC scale
Situational control
- leader-member relations
- task structure
- position power
Task and Relationship-Motivated
Leaders
Task-Motivated (Low-
LPC)
Relationship-Motivated
(High-LPC)
Draws self-esteem
from task completion
Focuses on task first
Can be harsh with
failing followers
Considers
competence a key
follower trait
Enjoys details
Draws self-esteem
from interpersonal
relationships
Focuses on people
first
Likes to please others
Considers loyalty to
be key follower trait
Gets bored with
details
Practical Implications of Fiedlers
Contingency Model
Leaders must understand their own style and
their leadership situation
Leaders should focus on changing their
leadership situation to match their style rather
than try to change their style
A good relationship with followers is key to a
leaders ability to lead
Leaders can seek training to compensate for lack
of task structure
The Normative Decision Model
Leaders are effective when they use decision
styles that match the situation
Leaders can learn to change and use different
decision styles
Understanding the leadership situation is
essential to effectiveness
Elements of the Normative Decision
Model
The leaders decision style
Autocratic makes decision with little or no
involvement from followers
Consultation consults with followers yet makes
final decision
Group consensus to solve problem
Total delegation allows 1 employee (follower)
make decision
Situational contingency factors
- Quality of the decision
- Acceptance of decision by subordinates
Contingency Factors in the
Normative Decision Model
Quality requirements (QR) How important is the quality of the
decision?
Commitment requirement (CR) How important is employee
commitment to the implementation of the decision?
Leader information (LI) Does the leader have enough
information to make a high-quality decision?
Structure of the problem (ST) Is the problem clear and well-
structured ?
Commitment probability (CP) How likely is employee
commitment to the solution if the leader makes the decision
alone?
Goal congruence (GC) Do employees agree with and support
organizational goals?
Employee conflict (CO) Is there conflict among employees over
a solution?
Subordinate information (SI) Do employees have enough
information to make a high-quality decision?
What Decision-Making Styles Are
Appropriate When?
AUTOCRATIC
- when the leader has sufficient information to
make a decision
- when the quality of the decision is not essential
- when employees do not agree with each other
- when employees do not agree with the goals of
the organization
CONSULTATION
- the leader has sufficient information, but the
employees demand participation to implement the
decision
What Decision-Making Styles Are
Appropriate When? Cont.
CONSULTATION
- the leader has sufficient information, but the
employees demand participation to implement the
decision
- the leader has insufficient information, and the
employee consultation will help the leader gather
more information as well as develop commitment
Followers generally agree with the goals of the
organization

What Decision-Making Styles Are
Appropriate When? Cont.
GROUP
- when the leader does not have all the
information
- quality is important
- employee commitment is essential

DELEGATION
- used to assign the decision to a single individual
who has the needed information, competence,
and organizational commitment to make and
implement it
Practical Implications of the
Normative Decision Model
Leaders must understand their leadership
situation
Leaders must learn different decision styles
Participation is not always desirable
Leaders must pay attention to their followers
needs and reactions when making decisions
Path-Goal Theory
The leaders primary goal is to motivate followers
to complete their task by removing obstacles
The leader must change his/her behaviors based
on needs of the followers
Practical Implications of Path-Goal
Theory
Leaders must understand their followers
perception of the task
Leaders must take their followers need for
challenge and autonomy into consideration
When followers need challenge or the task is
challenging, leaders must avoid being directive
When the task is routine, boring or stressful,
leaders must be supportive
Substitute for Leadership Model
(SLM)
There are some situations where leaders are not
needed
Various factors can substitute for leadership
behaviors or neutralize the leaders actions
Leaders must learn to recognize situations and
use appropriate behaviors
SLM: Follower Characteristics
Experience and training substitute for leader
structuring
Follower professionalism substitute for leader
consideration and structuring
Lack of value for goals neutralizes leader
consideration and structuring
SLM: Task Characteristics
Unambiguous tasks substitute for leader
structuring
Direct feedback from task substitutes for leader
structuring and consideration
Challenging tasks substitute for leader
consideration
SLM: Organizational
Characteristics
A cohesive team substitutes for leader structuring
and consideration
Leaders lack of power neutralizes structuring and
consideration
Standardization and formalization substitute for
leader structuring
Organizational rigidity neutralizes leader
structuring
Physical distance from followers neutralizes
structuring and consideration
Practical Implications of the SLM
Leaders can use various substitutes to free up
their time or to empower and develop followers
Technology can support the development of
substitutes
Teams and autonomous work groups can use
substitutes positively
Leader-Member Exchange Model
(LMX)
Leadership is a personal relationship between
leaders and each of their followers
Leaders do not treat every follower the same way
Every follower does not experience leadership in
the same way
Leaders have closer and richer relationships with
followers in their in-group than with those who are
in out-group
Stages of LMX
Testing and
Assessment
Development
of Trust
Creation of
Emotional
Bond
Practical Implications of LMX
Avoid highly differentiated groups
Keep membership fluid and dynamic
Maintain different in-groups for different activities
Base in-group membership on performance and
potential
Review criteria for in-group membership regularly
Consider culture when determining membership