Leadership

Dr.V.Mohanasundaram.,MBA.,Ph.D Professor and Head Vivekanandha Institute of Engineering and Technology for Women, Tiruchengode manlymohan@gmail.com

I suppose leadership at one time meant muscles; but today it means getting along with people. Mahatma Gandhi

What is a Leader?

A Leader is someone in authority to lead others to accomplish a goal(s). A leader needs to be able to motivate others to accomplish a goal(s) while at the same time encourage others to work toward their own professional goals.

R.T. Livingston - Leadership is "the ability to awaken in others the desire to follow a common objective". According to Louis A Allen - "A leader is one who guides and directs other people. He gives the efforts to his followers a direction and purpose by influencing their behaviour".

NATURE OR CHARACTERISTIC FEATURES OF LEADERSHIP

1. Leadership implies the existence of followers: 2. Leadership involves a community of interest between the leader and his followers: 3. Leadership involves an unequal distribution of authority among leaders and group members 4. Leadership is a process of Influence: 5. Leadership is the function of stimulation: 6. A leader must be exemplary: 7. A Leader ensures absolute justice:

LEADERSHIPSKILL
HUMAN SKILL CONCEPTUAL SKILL TECHNICAL SKILL PERSONAL SKILL

HUMAN SKILL

He approaches various problems in terms of people involved more than in terms of technical aspects involved. A leader should have an understanding of human behaviour. He should know people; know their needs, sentiments, emotions, as also their actions and reactions to particular decisions, their motivations etc.

EMPATHY OBJECTIVITY COMMUNICATION SKILL TEACHING SKILL SOCIAL SKILL

Conceptual skills include (a) The understanding of the organization behaviour, (b) Understanding the competitors of the firm, and (c) Knowing the financial status of the firm.

TECHNICAL SKILL

Technical skill involves specialized knowledge, analytical skill and a facility in the use of the tools and techniques of a specific discipline. Technical competence is an essential quality of leadership.

PERSONAL SKILL
INTELLIGENCE EMOTIONAL MATURITY PERSONAL MOTIVATION INTEGRITY FLEXIBILITY OF MIND

IMPORTANCE OF LEADERSHIP
Motivating employees Creating confidence Building morale Determination of goals Organisation of activities Achieving coordination Representation of workers Providing guidance Providing conducive environment Implementing change

Inspiration of employees Facilitating change Motive power to group effort It act as aid to authority It is needed to all levels of mgt It rectifies the imperfectness of the formal organisational relationships

Managers Vs Leaders
Manager Characteristics Administers A copy Maintains Focuses on systems and structures Relies on control Short range view Asks how and when Eye on bottom line Imitates Accepts the status quo Classic good soldiers Does things right Leader Characteristics Innovates An original Develops Focuses on people Inspires trust Long range perspective Asks what and why Eye on horizon Originates Challenges the status quo Own person Does the right thing

Manager Vs Leader
Basis Origin Manger Leader A person becomes a A person becomes a manager by virtue of his leader on basis of his position. personal qualities. Manager has got formal rights in an organization because of his status. All managers are leaders. People follow manager by virtue of job description. Rights are not available to a leader. All leaders are not managers. People follow them on voluntary basis.

Formal Rights

Mutual Relationship Followers

Styles of Leadership

BASED ON BEHAVIOURAL APPROACH Power orientation Leadership as a continuum Employee production orientation Likerts management system Managerial grid Tri-dimensional grid BASED ON SITUATIONAL APPROACH Fiedlers contingency model Hursey and Blanchards situational model Path goal model

Power Orientation
AUTHORITARIAN (AUTOCRATIC)
Manager retains as much power and decisionmaking authority as possible. The manager does not consult employees, nor are they allowed to give any input. Employees are expected to obey orders without receiving any explanations. The motivation environment is produced by creating a structured set of rewards and punishments.

I want both of you to. . .

What is Autocratic Leadership ?

Autocratic leadership is a classical leadership style with the following characteristics: 1. Manager seeks to make as many decisions as possible 2. Manager seeks to have the most authority and control in decision making 3. Manager seeks to retain responsibility rather than utilize complete delegation 4. Consultation with other colleagues in minimal and decision making becomes a solitary process 5. Managers are less concerned with investing their own leadership development, and prefer to simply work on the task at hand.

Autocratic

Strict Autocrat

He follows autocratic styles in a very strict sense. His method of influencing subordinates behaviour is through negative motivation

Benovolent autocrat

He also centralizes decision-making power in him, but his motivation style is positive.

Incompetent Autocrat- superiors adopt autocratic

leadership style just to hide their incompetence, because in other styles they may be exposed before their subordinates. However this cannot be used for a longtime.

BENEFITS OF AUTOCRATIC STYLE

Reduced stress due to increased control A more productive group while the leader is watching Improved logistics of operations Faster decision making

DISADVANTAGES
Short-termistic approach to management. Manager perceived as having poor leadership skills Increased workload for the manager People dislike being ordered around Teams become dependent upon their leader

Adolf Hitler and his administration were responsible for the deaths of millions of Jewish people. Stalin killed over 3 million people through famines, executions and forced labor. Castro is symbolic with having control over Cuba's resources, resulting in food rationing and numerous attempts by residents to flee the country.

DEMOCRATIC STYLE (PARTICIPATIVE STYLE)

Democratic Leadership is the leadership style that promotes the sharing of responsibility, the exercise of delegation and continual consultation.
Let's work together to solve this. . .

What is Democratic Leadership?

The style has the following characteristics: 1. Manager seeks consultation on all major issues and decisions. 2. Manager effectively delegate tasks to subordinates and give them full control and responsibility for those tasks. 3. Manager welcomes feedback on the results of intiatives and the work environment. 4. Manager encourages others to become leaders and be involved in leadership development.

BENEFITS OF DEMOCRATIC STYLE

Positive work environment Successful initiatives Creative thinking Reduction of friction and office politics Reduced employee turnover

DISADVANTAGES
Lengthy and boring decision making Danger of pseudo participation Like the other styles, the democratic style is not always appropriate. It is most successful when used with highly skilled or experienced employees or when implementing operational changes or resolving individual or group problems.

When Is The Democratic Leadership Style Effective?

1.

2.

Democratic leadership is applied to an extent in the manufacturing industry, to allow employees to give their ideas on how processes can become leaner and more efficient. Democratic leadershp is effective in professionals organisations where the emphasis is clearly on training, professional & leadership development and quality of work performed. Democratic procedures are simply just one cog in the effective leadership mechanisms firms like The Big Four have created over the years.

3. Non profit organizations also tremendously benefit

from drawing upon the creative energies of all their staff to bring about cost cutting techniques or fund raising ideas. 4. As previously mentioned, creative industries such as advertising and television enjoy a lot of benefits from the free flow of ideas that democratic leadership brings.

Narayana Murthy and Infosys

Narayana Murthy turned a small software development venture that he had set up with his friends in 1981, into one of the leading companies of the country. Infosys grew rapidly throughout the 1990s. He distributed the companys profits among the employees through a stock option program and adopted the best corporate governance practice.

LAISSEZ-FAIRE This French phrase means leave it be and is used to describe a leader who leaves his/her colleagues to get on with their work. The style is largely a "hands off" view that tends to minimize the amount of direction and face time required.

You two take care of the problem while I go. . .

This is an effective style to use when:

Employees are highly skilled, experienced, and educated. Employees have pride in their work and the drive to do it successfully on their own. Outside experts, such as staff specialists or consultants are being used Employees are trustworthy and experienced.

Disadvantages
It makes employees feel insecure at the unavailability of a manager. The manager cannot provide regular feedback to let employees know how well they are doing. Managers are unable to thank employees for their good work. The manager doesnt understand his or her responsibilities and is hoping the employees can cover for him or her.

The Perfect Leader

A good leader uses all three styles, depending on what forces are involved between the followers, the leader, and the situation. Some examples include: Using an authoritarian style on a new employee who is just learning the job. The leader is competent and a good coach. The employee is motivated to learn a new skill. The situation is a new environment for the employee. Using a participative style with a team of workers who know their job. The leader knows the problem, but does not have all the information. The employees know their jobs and want to become part of the team. Using a delegative style with a worker who knows more about the job than you. You cannot do everything! The employee needs to take ownership of her job. Also, the situation might call for you to be at other places, doing other things.

Forces that influence the style to be used included:

How much time is available. Are relationships based on respect and trust or on disrespect? Who has the information - you, your employees, or both? How well your employees are trained and how well you know the task. Internal conflicts. Stress levels. Type of task. Is it structured, unstructured, complicated, or simple?

The Leadership Continuum Model

Leadership Continuum Model (Tannenbaum and Schmidt)

Used

to determine which of seven styles to select based on ones use of boss-centered versus employee-centered leadership. Factors determining selection of style:
The

managers preferred leadership style The subordinates preference for participation The situation: organizations size, structure, climate, goals, technology, and higher-level management leadership style

Leadership Continuum Model

Exhibit 134

Leadership Rensis Likert (1903-1981)

Leadership is a part of general management theory

Likert proposed four types of leadership termed System 1-4.

Rensis Likert

Leadership Rensis Likert

The key to good leadership, according to Likert, is to move toward System 4 by:

The principle of supportive relationships The use of group decision making and supervision. Link pins is important here. Setting high performance goals

System 5 was further developed by Jane Gibson Likert influenced by Mary Parker Follett.

Behavioral Approach

Ohio State Studies/University of Michigan

Initiating

Structure/Production Orientation Consideration/Employee Orientation

Assumption: Leaders can be trained Goal: Develop leaders Problem: Effective behaviors do not generalize across situations.

The Ohio State Studies

In 1945 researchers from various fields conducted studies on leadership at Ohio State university. The research was based on a questionnaire called Leader Behavior Description Questionnaire. They narrowed down to two independent dimensions along which an individuals leadership behavior could be studied. 1. Initiating Structure Individuals ability to define his own task as well as the subordinates tasks and also accomplish them in time. People who score high in this dimension put pressure on subordinates to meet deadlines and maintain certain level of performance. 2. Consideration This refers to the extent to which a leader cares for his subordinate, respects their ideas and feelings and establishes work relations which are characterized by mutual trust and respect. The studies revealed that the people who scored high on both the dimensions were able to achieve higher performance as well as job satisfaction.

Ohio State Studies

Initiating Structure
The extent to which a leader is likely to define and structure his or her role and those of subordinates in the search for goal attainment

Consideration
The extent to which a leader is likely to have job relationships characterized by mutual trust, respect for subordinates ideas, and regard for his/her feelings

THE OHIO STATE LEADERSHIP QUADRANTS

A research was conducted at the Survey Research Centre at the University of Michigan. The research was conducted on twelve pairs of sections ,each section consisted on one high producing section and one low producing section. During the study , researchers also interviewed 24 supervisors and 400 workers. And following was observed. 1. Employee-oriented dimension 2. Production-oriented dimension Researchers concluded that leaders with an inclination towards employee-oriented dimension resulted in higher job satisfaction and greater productivity.

University of Michigan studies

MANAGERIAL GRID

The managerial grid model (1964) is a behavioral leadership model developed by Robert R. Blake and Jane Mouton. This model originally identified five different leadership styles based on the concern for people and the concern for production. The optimal leadership style in this model is based on Theory Y.

The Managerial Grid by Robert R. Blake and

Jane S. Mouton

The Managerial Grid graphic below is a very simple framework that elegantly defines FIVE basic styles that characterize workplace behaviour and the resulting relationships. The FIVE managerial Grid styles are based on how two fundamental concerns (concern for people and concern for results) are manifested at varying levels whenever people interact.

The concept distinguishes 5 different leadership styles, based on the concern for people and the concern for production: Impoverished style (Low Production / Low People) (1:1) Description: A delegate-and-disappear management style. A basically lazy approach. Characteristics: The manager shows a low concern for both people and production. He (or she) avoids to get into trouble. His main concern is not to be held responsible for any mistakes. Results in: Disorganization, dissatisfaction and disharmony due to lack of effective leadership. Country Club style (Low Production / High People)(1:9) Description: One-sided, thoughtful attention to the needs of employees. Characteristics: The relationship-oriented manager has a high concern for people, but a low concern for production. He pays much attention to the security and comfort of the employees. He hopes that this will increase performance. He is almost incapable of employing the more punitive, coercive and legitimate powers. This inability results from fear that using such powers could jeopardize relationships with the other team members. Results in: A usually friendly atmosphere, but not necessarily very productive.

Produce or Perish style OR Authoritarian style(High Production / Low People)(9:1) Description: Authoritarian or compliance leader. Characteristics: The task-oriented manager is autocratic, has a high concern for production, and a low concern for people. He finds employee needs unimportant and simply a means to an end. He provides his employees with money and expects performance back. There is little or no allowance for cooperation or collaboration. He pressures his employees through rules and punishments to achieve the company goals. Heavily task-oriented people are very strong on schedules. They are intolerant of what they see as dissent (it may just be someone's creativity).

Results in: Whilst high output is achievable in the short term, much will be lost through an inevitable high labour turnover.

Middle-of-the-road style (Medium Production / Medium People). (5:5) Description: The manager tries to balance between the competing goals of the company and the needs of the workers. Characteristics: The manager gives some concern to both people and production, hoping to achieve acceptable performance. He believes this is the most anyone can do. Results in: Compromises in which neither the production nor the people needs are fully met. Team Management style (High Production / High People).(9:9) Description: The ultimate. The manager pays high concern to both people and production. Motivation is high. Characteristics: The manager encourages teamwork and commitment among employees. This style emphasizes making employees feel part of the company-family, and involving them in understanding organizational purpose and determining production needs. Results in: Team environment based on trust and respect, which leads to high satisfaction and motivation and, as a result, high production.

Fiedlers Contingency Theory

The Fiedler contingency model is a leadership theory of industrial and organizational psychology developed by Fred Fiedler Fiedler (1967), differentiated situation from contingency. He emphasised the fact that differing roles, traits and behaviours of leaders did not just require an specific understanding of interactions with subordinate, it also required favourable conditions. Fiedler's model assumes that group performance depends on: Leadership style, described in terms of task motivation and relationship motivation.

Situational favourableness, determined by three factors: 1. Leader-member relations - Degree to which a leader is accepted and supported by the group members. 2. Task structure - Extent to which the task is structured and defined, with clear goals and procedures. 3. Position power or the leaders position - The ability of a leader to control subordinates through reward and punishment. High levels of these three factors give the most favourable situation, low levels, the least favourable. Relationshipmotivated leaders are most effective in moderately favourable situations. Task-motivated leaders are most effective at either end of the scale. Fiedler suggests that it may be easier for leaders to change their situation to achieve effectiveness, rather than change their leadership style.

Hersey and Blanchards situational theory

The situational leadership model focuses on the fit of leadership style and followers maturity . In contrast to Fiedlers contingency leadership model and its underlying assumption that leadership style is hard to change, the Hersey-Blanchard situational leadership model suggests that successful leaders do adjust their styles. The situational leadership model views leaders as varying their emphasis on task and relationship behaviors to best deal with different levels of follower maturity. The two-by-two matrix shown in the figure indicates that four leadership styles are possible. Telling Style giving specific task directions and closely supervising work; this is a high-task, low-relationship style. Selling Style explaining task directions in a supportive and persuasive way; this is a high-task, high-relationship style. Participating Style emphasizing shared ideas and participative decisions on task directions; this is a low-task, high-relationship style. Delegating Style allowing the group to take responsibility for task decisions; this is a low-task, low-relationship style.

Path Goal Theory

This theory was developed by Robert House. Here the leader provides the necessary support and guidance to his followers and help them achieve organizational goals. Leader defines the individual(or groups) goals and help them achieve them. As per the theory Leaders are accepted by the subordinates when They find that the satisfaction of their needs depend upon their effective performance. They are provided with guidance ,support, and rewards needed for effective performance. Robert House suggested 4 types of leadership by this model 1. Directive leadership 2. Supportive leadership 3. Participative leadership 4. Achievement-oriented leadership.

Components of leadership

Need for leadership

Imperfect organisation structure Technological, economic and social changes Nature of human memberships

Follower Leader Communication Situation

Trait Theories
Traits Theories of Leadership

Theories that consider personality, social, physical, or intellectual traits to differentiate leaders from nonleaders.

Stogdills trait factors

Ghisellis personality traits

Important traits of an effective leader Stogdills

Intelligence Physical features Inner motivating drive Maturity Vision and foresight Acceptance of responsibility

Open-mind and adoptability Self confidence Human relations attitude Fairness of objectivity

Ghisellis personal traits

VERY IMPORTANT Decisiveness Intellectual capacity Job achievement orientation Self-actualisation feelings Self-confidence Management ability team builder

MODERATELY IMPORTANT

Affinity for working class Drive and initative Need for a lot of money Need for job security Personal maturity
ALMOST NOT IMPORTANCE

Masculinity and feminity

Trait Theories
Limitations:
No universal traits found that predict leadership in all situations.

Unclear evidence of the cause and effect of relationship of leadership and traits.
Better predictor of the appearance of leadership than distinguishing effective and ineffective leaders.
2007 Prentice Hall Inc. All rights reserved.

Trait Approach
Assumption: Leaders are born Goal: Select leaders Problems Traits do not generalize across situations Better at predicting leader emergence than leader effectiveness