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Management
Organizational
Behavior
An Integrated Perspective
CHAPTER 11
Leading
Organizational
Members
Jon L. Pierce &
Donald G. Gardner
with Randall B. Dunham
Copyright © 2002 by South-Western
PowerPoint Presentation
by Charlie Cook
11–1
Learning Objectives
1. Discuss the nature of leadership and the leadership
process.
2. Identify and discuss the processes associated with
people coming to the position of leadership.
3. Describe how leaders influence and move their followers
to action.
4. Compare and contrast the trait, behavioral, and
situational perspectives on leadership.
5. Discuss the effect that leader behavior has on follower
satisfaction and performance.
6. Explain transactional, transformational, and charismatic
leadership.
Copyright © 2002 by South-Western
11–2
Learning Objectives
7. Describe the concept “substitute for leadership.” Identify
and discuss two substitutes.
8. Comment on the impact that different approaches and
styles of leadership have on the follower in terms of
motivation, attitudes, and behavior.
Copyright © 2002 by South-Western
11–3
The Nature of Leadership
• Leadership
 A social (interpersonal) influence between two or more
persons who depend on each other to attain certain
mutual goals in a group situation.
• Leader versus manager
 Leadership and management are not interchangeable.
 Leadership is the accepted use of organizationally-
derived and/or personal power to influence and
motivate subordinates.
 Management is process-oriented (planning, organizing,
directing, and controlling) supervisory behavior.
Copyright © 2002 by South-Western
11–4
The Leadership
Process
Leader
The
Leadership
Process
Context
Followers
Consequences
(e.g., Suspicion,
Trust, Dislike,
Affection)
FIGURE 11–1
Copyright © 2002 by South-Western
11–5
The Leadership Process (cont’d)
• Leadership is a function of an interaction
between the leader, the follower, and the
situation.
 L = ƒ [(Person)(Follower)(Situation)]
• Leader-member exchange (LMX) theory
 Leadership consists of stable dyadic relationships
linking a leader with a follower.
 In-group
followers have high
quality LMX relationships.
 Out-group followers have low
quality LMX relationships.
Copyright © 2002 by South-Western
11–6
Formal and Informal Leaders
• Formal leader
 An individual who is recognized by those outside the
group as the official leader of the group.
 One who is appointed or sanctioned by an
organization to the role of leadership.
• Informal leader
 An individual whom members of
the group acknowledge as their leader.
 One who may or may not be sanctioned
as a leader by those outside the
organization.
Copyright © 2002 by South-Western
11–7
Leader Emergence
• Designated leader
 The person placed in the formal leadership position by
forces outside the group.
• Emergent leader
 The person who becomes a group’s leader by virtue of
processes and dynamics internal to the group.
 Possess
or control critical and/or scarce resources
needed by the organization.
 Have the configuration of knowledge, skills, abilities
matching the requirements of the current situation.
 Have attained influential status through contributions
(idiosyncrasy credits).
Copyright © 2002 by South-Western
11–8
Leadership as an Exercise of Influence
• Sources and types of power
 Reward power—the leader’s control of rewards and
outcomes for subordinates.
 Coercive power—the leader’s ability to punish or
withhold rewards from subordinates.
 Referent power—leader influence derived from the
desire of subordinates to associate with the leader.
 Expert power—leader influence based on the leader’s
personal knowledge and its usefulness to the group.
 Legitimate power—leader power granted by those who
believe the leader has the “right” to influence them.
Copyright © 2002 by South-Western
11–9
The Leader-Follower Power Relationship
Leader
Follower Compliance
Group Effectiveness
Influence/Power Tactic
• Alienation & resistance
• Follower satisfaction
(e.g., Use of Rationality)
• Calculative compliance
• Follower motivation
• Identification
• Follower performance
• Internalization
—commitment
Effective leadership is more likely to occur when the
leader’s influence flows out of rationality, expertise,
moralistic appeal, and/or referent power.
FIGURE 11–2
Copyright © 2002 by South-Western
11–10
Influence-based Leadership Styles
• Theory X and Theory Y leaders
 Theory X leaders
 Assume
workers dislike work and are incapable of
self-direction and self-control.
 Use a highly controlling leadership style.
 Theory Y leaders
 Assume
workers enjoy work
and are capable of self-direction
and self-control.
 Use an involvement-oriented
approach to leadership.
Copyright © 2002 by South-Western
11–11
Tannenbaum and Schmidt’s Leadership
Continuum
Boss-Centered Leadership
Subordinate-Centered Leadership
Use of Authority
by the Manager
Area of Freedom
for Subordinates
Manager
Manager
Manager
Manager
Manager
Manager
Manager
makes
“sells”
presents
presents
presents
defines
permits
decision and
decision.
ideas and
tentative
problem, gets
limits,
subordinates
invites
decision
suggestions,
asks group
to function
questions.
subject to
makes decision. to make
announces it.
Autocratic–
change.
leader is
dominant
in making
decision.
within limits
Free-Rein–
defined by
followers are
superior.
free to choose,
leader becomes
Participation
decisions.
passive.
Low
Source: Modified from R. Tannenbaum and W. H. Schmidt. May–June 1971.
How to choose a leadership pattern. Harvard Business Review, 167.
Copyright © 2002 by South-Western
High
FIGURE 11–3
11–12
Directive and Permissive Leadership Styles
• Leadership Behavior and the Uses of Power
Low
Amount of Employee Participation in Decision Making
High
High
Directive
Autocrat
1
Leader Decision-Making Power: High
Leader Directing Power: High
Amount of
Leader
Direction
Permissive
Autocrat
Directive
Democrat
3
Leader Decision-Making Power: Low
Leader Directing Power: High
2
Leader Decision-Making Power: High
Leader Directing Power: Low
Permissive
Democrat
4
Leader Decision-Making Power: Low
Leader Directing Power: Low
Low
Source: Modified from J. P. Muczyk and B. C. Reimann. 1987. The case
for directive leadership. Academy of Management Executive, 1:304.
Copyright © 2002 by South-Western
FIGURE 11–4
11–13
The Trait Approach to Leadership
• Great man theory of leadership
 The belief that some people are born to be leaders and
others are not.
• Leadership trait research
 Physiological, demographic,
personality, intellective,
task-related, and social
characteristics of
effective leaders.
 “The right stuff”?
Copyright © 2002 by South-Western
11–14
Leadership Trait Research (cont’d)
• Core characteristics of leaders (Locke)
 Drive—high level of effort and desire for achievement
 Leadership motivation—intense desire to lead others
 Honesty and integrity—commitment to the truth
 Self-confidence—assurance in self, ideas, and ability
 Cognitive ability—conceptually skilled and possessing
good judgment
 Knowledge of business—high degree of understanding
about the company, industry, and technical matters
 Other traits—charisma, creativity/originality, and
flexibility/adaptiveness
Copyright © 2002 by South-Western
11–15
The Trait Approach to Leadership (cont’d)
• Other leader traits
 Sex and gender role
 Males
(or persons with masculine
characteristics) emerge as leaders
more frequently than females.
 Men are more likely to be task-oriented
and to adopt autocratic/directive leadership styles.
 Women
tend to be more interpersonal
and relationship-oriented, and to
use a democratic/participative
leadership style.
Copyright © 2002 by South-Western
11–16
Behavioral Approaches to Leadership
• The Ohio State studies identified two major
sets of leader behaviors:
 Consideration—a “relationship-oriented” leader
behavior that is supportive, friendly, and focused on
personal needs and interpersonal relationships.
 Initiating structure—a “task-oriented” leader behavior
that is focused on goal attainment, organizing and
scheduling work, solving problems, and maintaining
work processes.
Copyright © 2002 by South-Western
11–17
Behavioral Approaches to Leadership
(cont’d)
• The University of Michigan studies identified
the behavioral characteristics of effective
leaders:
 Job-centered behaviors— supervisory activities such as
planning, scheduling, and coordinating work activities.
 Employee member-centered behaviors—consideration
and support for organizational members.
Copyright © 2002 by South-Western
11–18
9
8
7
Concern for People
Blake and
Mouton’s
Managerial
®
Grid
High
9,9
Sound
(Contribute and Commit)
I support results that establish
and reinforce harmony. I
generate enthusiasm by
focusing on positive and
pleasing aspects of work.
I support team action in a way
that invites involvement and
commitment. I explore all facts
and alternative views to reach a
shared understanding of the
best solution.
6
5,5
Status Quo (Balance and Compromise)
I endorse results that are popular but caution
against taking unnecessary risk. I test my opinions
with others involved to assure ongoing acceptability.
5
4
3
2
1
Source: Adapted from R. McKee
and B. Carlson. 1999. The Power
to Change, p.16. Copyright ©
1999 by Grid International, Inc.
Reproduced by permission of the
owners.
1,9
Accommodating
(Yield and Comply)
1,1
Indifferent (Evade and Elude)
9,1
Controlling
(Direct and Dominate)
I distance myself from taking active
responsibility for results to avoid
getting entangled in problems. If
forced, I take a passive or supportive
position.
I expect results and take control
by clearly stating a course of
action. I enforce rules that
sustain high results and do not
permit deviation.
Low
Copyright © 2002 by South-Western
1
Low
2
3
4
5
6
7
Concern for Production
8
9
High
FIGURE 11–5
11–19
Situational (Contingency) Approaches to
Leadership
• Contingency theory of leadership
 Different leadership styles are effective as a function of
the favorableness of the leadership situation.
 Creating a match of leadership style and situation:
 Assessing
the leader’s disposition toward others by
using their least preferred co-worker (LPC) score.
 Assessing situational favorableness
Copyright © 2002 by South-Western
11–20
Situational (Contingency) Approaches to
Leadership (cont’d)
• Contingency theory of leadership (cont’d)
 Least preferred co-worker (LPC) score
 High
LPC scores = relationship-oriented leaders.
 Low LPC scores = task-oriented leaders.
 Situational favorableness
 Favorable
situations allow leaders more control/
influence over the group process.
– Leader member relations, task structure, leader position
power
Copyright © 2002 by South-Western
11–21
Fiedler’s Contingency Model of Leader-Situation
Matches
Good
Performance
Poor
Favorable
Moderate
Unfavorable
1
2
3
4
5
6
7
8
Leader-Member
Relations
Good
Good
Good
Good
Poor
Poor
Poor
Poor
Task Structure
High
High
Low
Low
High
High
Low
Low
Leader
Position Power
Strong Weak
Strong
Weak
Strong Weak
Task Motivated
Source: Adapted from F. E. Fiedler and M. M. Chemers. 1974.
Leadership and effective management. Glenview, IL: Scott, Foresman.
Copyright © 2002 by South-Western
Strong Weak
Relationship Motivated
FIGURE 11–6
11–22
Situational (Contingency) Approaches to
Leadership (cont’d)
• Path-Goal theory
 Leadership is path- and goal-oriented.
 Effective
leaders provide organizational members with
a path to a valued goal.
 Different leadership styles are effective as a function
of the task confronting the group.
Copyright © 2002 by South-Western
11–23
The Path-Goal Leadership Model
Leader Behavior
Supportive
Directive
Participative
Achievement-Oriented
Subordinate Outcomes
Combine
to Influence
Motivation
Satisfaction
Performance
Situational Forces
Work Environment
Subordinate Characteristics
FIGURE 11–7
Copyright © 2002 by South-Western
11–24
Substitutes for and Neutralizers of Leader
Behavior
Leader Behavior Influenced
Substitute or Neutralizer
Supportive
Leadership
Instrumental
Leadership
Substitute
Neutralizer
Substitute
Substitute
Neutralizer
A. Subordinate Characteristics:
1. Experience, ability, training
2. “Professional” orientation
3. Indifference toward reward offered by
organization
B. Task Characteristics:
1. Structured, routine, unambiguous task
2. Feedback provided by task
3. Intrinsically satisfying task
Source: Leadership in organizations by G. A. Yuki. Copyright © 1981. Reprinted
by permission of Pearson Education, Inc., Upper Saddle River, NJ 07458.
Copyright © 2002 by South-Western
Substitute
Substitute
Substitute
TABLE 11–1a
11–25
Substitutes for and Neutralizers of Leader
Behavior (cont’d)
Leader Behavior Influenced
Substitute or Neutralizer
Supportive
Leadership
Instrumental
Leadership
Substitute
Neutralizer
Substitute
Neutralizer
C. Organization Characteristics:
1. Cohesive work group
2. Low position power (leader lacks control
over organizational rewards)
3. Formalization (explicit plans, goals, areas
of responsibility)
4. Inflexibility (rigid, unyielding rules and
procedures)
5. Leader located apart from subordinates
with only limited communication possible
Source: Leadership in organizations by G. A. Yuki. Copyright © 1981. Reprinted
by permission of Pearson Education, Inc., Upper Saddle River, NJ 07458.
Copyright © 2002 by South-Western
Substitute
Neutralizer
Neutralizer
Neutralizer
TABLE 11–1b
11–26
Transformational, Visionary, and
Charismatic Leadership
• Transformational leader
 A leader who moves and changes things “in a big way”
by inspiring others to perform the extraordinary.
 Charisma,
individualized consideration, intellectual
stimulation, inspirational motivation
• Visionary leader
 An individual who is capable of
influencing others through an
emotional and/or intellectual
attraction to the leader’s dream
for that which “can be.”
Copyright © 2002 by South-Western
11–27
Transformational, Visionary, and
Charismatic Leadership (cont’d)
• Charismatic leadership
 Charisma—a special personal magnetic charm or
appeal that arouses loyalty and enthusiasm in a leaderfollower relationship.
 Charismatic leader—a person who
possess legitimate power that arises
from “exceptional sanctity, heroism,
or exemplary character.”
Copyright © 2002 by South-Western
11–28
Leadership Needs in the 21st Century
• The magnitude of change will demand:
 More leadership
 Newer forms of leadership
• Tomorrow’s leaders
 Strategic opportunists
 Global/cultural/diversity
awareness
 Decentralized managers
 Interpersonally competent
 Builders of organizational
communities
Copyright © 2002 by South-Western
11–29