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BUS401: Management Leadership
Study Guides
Note: This study guide is intended to help reinforce key concepts in each unit in preparation for
the final exam. Each unit study guide aligns with course outcomes and provides a summary of
the core competencies and a list of vocabulary terms. This study guide is not meant to replace the
readings and videos that make up the course.
Unit 2: Leadership Theory
2a: Describe the key traits of an effective leader.
2a.1. For generations, society has attempted to describe the traits which relate to effective
leadership. Evaluate your understanding of the traits of effective leaders.
2a.2. In one form or another, you are likely either currently a leader in some regard, or you will
be some time in your life. Which leadership traits do you believe best represents the type of
leader you are or could be and why?
Allow the following resources guide your review of trait theory: Boundless Management:
“Chapter 9, Section 2: Trait Approach”, U.S. Small Business Association: “Leadership Traits”,
and U.S. Department of Commerce: Minority Business Development Agency: Jason Bowser's “8
traits of successful entrepreneurs -- Do you have what it takes?”
2b: Compare and contrast the competing behavioral theories of leadership.
2b.1. How do you think employees respond differently to so-called Theory X managers and
Theory Y managers?
A. Managers who subscribe to Theory X assume employees dislike work and conserve their
energies, rather than putting themselves fully into their work.
B. Theory Y tells us that managers act on a notion that employees back organizational goals and
therefore are committed to their work.
Please see the box which discusses “Leadership Assumptions about Human Nature” in
Organizational Behavior, v1.1, “Chapter 12, Section 3: What Do Leaders Do? Behavioral
Approaches to Leadership.”
2b.1. Discuss the University of Michigan behavioral studies of the 1950s and 60s with a friend,
family member, or co-worker.
2b.2. Discuss the Ohio State University behavioral study from 1945. Why are its findings
important?
Boundless Management: “Chapter 9, Section 3: Behavioral Approach” discusses these two
seminal studies.
2c: Analyze the impact of situations on leadership effectiveness.
2c.1. The discussion on whether or not a leader is born or made continues on in subunit 2.3. You
should be able to offer a logical response on this topic given the material you read in this subunit.
2c.3. No two organizations are the same and as such, situations arise which call upon the leader
to react to or adjust to the situation they find themselves in.
A. There are times when management should be proactive. Why is this?
B. When managers have to be reactive to a situation, is this a negative mark on their abilities?
Why or why not?
If you are feeling less-than-confident in your ability to respond to the questions above, you
should think about looking again at some of the following resources:
 Principles of Management, v1.1: “Chapter 10, Section 4: What is the Role of the
Context? Contingency Approaches to Leadership”
 Bruce Merrifield: “‘Boss’ Habits = Situational Leadership”
 Boundless Management: “Chapter 9, Section 4: Contingency Approach”
2d: Describe the skills associated with effective leadership.
2d.1. There will always be disputes regarding effective leadership. Remember that organizations
are made up of individuals and individuals have particular differences, preferences, biases, etc.
A. In what ways can a leader provide the necessary skills to be useful in a situation?
B. How do or should leaders address their limitations when called upon to lead in particular
situations they have little or no experience in/with and may lack the required skills?
To refresh your understanding, re-read Donald Clark's “Introduction to Competencies”
2e: Assess the effectiveness of visionary leadership.
2e.1. We often expect leaders to possess some vision to help lead, guide, direct, and convince
others that the business organization has a use or benefit to the marketplace as a whole.
2e.2. What is a visionary leader? What informs your answer to the previous question?
A. Give examples of individuals who are visionary leaders, and explain why you identify them
as such.
B. If a leader lacks a vision for their organization, movement, or purpose, are they are ineffective
as a leader? Why or why not?
Should you experience any concern or doubt about the concept of a visionary leader, you will
want to refer to the item: Dan Rockwell's “The Seven Qualities of Visionary Leaders”
C. Fill in the following table with the leaders you have identified and write a sentence explaining
your choice for each leader you selected.
Visionary Leader Qualities
Optimistic about the future
Focused on the best in their
people
Leader #1
Leader #2
Never satisfied but always
content
Consumed with making
tomorrow better than today
Accepting of change
Inclusive, not exclusive
Personally bought in
The course materials which taught the concept of transformational leadership were Dan
Rockwell's “The Seven Qualities of Visionary Leaders” and Boundless Management: “Chapter
9, Section 5: Types of Leaders: Key Behaviors of Transformational Leaders.” Review these prior
to taking the final exam if you need more help.
2e.3. Analyze the concept of transformational leadership. There are those leaders who invite
change, even appreciate it. Take this opportunity to evaluate their leadership abilities.
A. Transformational leaders accept change readily. Does this mean they create more problems
than they resolve? Explain in a sentence or two.
B. Transformational leaders are beneficial to their organization. Explain why or why not.
Write your responses to these questions after reviewing Boundless Management: “Chapter 9,
Section 5: Types of Leaders: Key Behaviors of Transformational Leaders.”
2e.4. Transformational leaders are more employee-centered than organization-driven. Is this an
effective way to manage an organization? Give arguments which support both points of view.
2e.5. Explain why transformational leaders have varying approaches
A. Consider the following chart and identify sets of leaders who you believe reflect the
designated traits
Transformational
Leadership Traits
Individualized Consideration
Transformational Leader #1
Transformational Leader
#2
Intellectual Stimulation
Inspirational Motivation
Idealized Influence
B. Must transformational leaders have all of the traits listed on the left?
C. If you had to rank them in terms of importance, which would be first? Which comes last?
Why?