Lecture Notes Topic 7 Management and Leadership

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Lecture notes, Topic 7 - management and leadership
Managing Organisations & People (University of New South Wales)
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Topic 7
Management and Leadership
Differences between management and leadership
Management Leadership
Used in organisational context only Used in many contexts
Formally appointed No appointment necessary
‘doing things right’ ‘doing the right thing’
The exercise of influence over others The exercise of influence over others
using extrinsic motivation and based on using their intrinsic motivation and
externally determined legitimacy reflecting subjective, follower-based
legitimation
LEADERSHIP
The process of influencing a group to achieve goals
Leaders: someone who can influence others and who has managerial authority
What leaders can influence:
- The interpretation of external events by members
- The choice of objectives and strategies to pursue
- The motivation of members to achieve their objectives
- The mutual trust and motivation of members
- The organisation and coordination of work activities
- The allocation of resources to activities and objectives
- The development of member skills and confidence
- The learning and sharing of new knowledge by members
- The enlistment of support and cooperation from outsiders
- The design of formal structure, programs and systems
- The shared beliefs and values of members
1. Early Leadership theories
Trait theories (1920s-30s)
- Research focused on identifying personal characteristics that differentiated
leaders from non-leaders was unsuccessful
- Later research on leadership process identified 7 traits associated with
successful leadership:
o Drive: leaders exhibit a high effort level, desire for achievement and
ambitious

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o Desire to lead: strong desire to influence and willingness to take

responsibility
o Honesty and integrity: build trusting relationships with followers by
being truthful or non-deceitful
o Self-confidence: absence of self-doubt, able to convince followers of
the rightness of their goals and decisions
o Intelligence: able to gather, synthesise and interpret large amounts of
information, create vision, solve problems and make correct decisions
o Job-relevant knowledge: knowledgeable about the company, industry
and technical matters
o Extraversion: energetic, sociable, assertive and rarely silent or
withdrawn
Behavioural leadership theories
Identified behaviours that differentiated effective leaders from ineffective leaders
University of Iowa Studies (Kurt Lewin)
- 3 Leadership Styles:
o Autocratic: Centralise authority, dictate work methods, make unilateral
decisions and limit employee participation
o Democratic: Involve employees in decision making, delegate authority,
encourage participation in deciding work methods and goals, and use
feedback for coaching employees
o Laissez faire: generally gave the group complete freedom to make
decisions and complete the work in whatever way it saw it
- Findings: mixed. No specific style was consistently better for producing
increased performance. Employees are more satisfied under democratic leader
than autocratic leader.
Ohio State studies
- 2 Dimensions of leader behaviour:
o Initiating structure: The extent to which a leader was likely to define
and structure his or her role and the roles of group members in the
search for goal attainment

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o Consideration: the extent to which a leader has job relationships

characterised by mutual trust and respect for group members’ ideas and
feelings
- Findings: High-high leaders generally, but not always achieved high group
task performance and high satisfaction
University of Michigan Studies
- Two dimensions of leader behaviour
o Employee oriented: emphasising personal relationship
o Production oriented: emphasising task accomplishment (technical or
task aspects of the job)
The managerial grid
- Two-dimensional grid of two leadership behaviours
o Concern for people (subordinates) and concern for production (getting
job done)
o Resulted in five different leadership styles

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2. Contingency Theories of Leadership

Seeks to define leadership style and answer: ‘if’ this situation, ‘then’ this is the best
style to use
The Fiedler Model
- Proposes that effective group performance depends upon the proper match
between the leader’s style of interacting with followers and the degree to
which the situation allows the leader to control and influence
- A key factor in leadership success was an individual’s basic leadership style
which he classified as either task-oriented or relationship oriented
- Least-preferred co-worker (LPC) questionnaire: to measure the basic
leadership style
- Situational factors in matching leader to the situation:
o Leader-member relations: degree of confidence, trust and respect
subordinates have in their leader
o Task structure: degree that job assignments are formalised and
procedurised
o Position power: Influence leader has over power variables such as
hiring and firing
- Findings:
Hersey Situational Leadership Model

- Focus on followers’ readiness
- Describes two leadership dimensions:
o Task behaviour
o Relationship behaviour
- When combined, lead to four leadership styles:

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o Telling (high task - low relationship): the leader defined roles and tells
people what to do and how.
o Selling (high task - high relationship): The leader provides both
directive and supportive behaviour
o Participating (low task – high relationship): The leader and follower
share in decision making; leader facilitates and communicates
o Delegating (low task – low relationship): The leader provides little
direction or support
- Followers’ readiness varies from level 1 to 4
o (1) ‘unable and unwilling’ to (4)’Able and willing’
- Leaders evaluate subordinates’ readiness and adopt the right style
Leader Participation Model (Vroom and Yetton)

- Argues that leader behaviour must be adjusted to reflect the task structure
(whether it is routine, non-routine, or in between) based on a sequential set of
rules (contingencies) for determining the form and amount of follower
participation in decision making in a given situation
Time-Driven Model
Decision-making contingencies (High or Low)
- Decision significance
- Importance of commitment
- Leadership expertise

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- Likelihood of commitment
- Group support for objective
- Group expertise
- Team competence
Path-goal Theory
- It is a leader’s job to assist followers and to provide direction and support that
are needed to attain goals
- Types of leader:
o Directive: Lets subordinates know what is expected of them, schedules
work to be done, and give specific guidance as how to accomplish
tasks
o Supportive: Friendly and shows concern for the needs of followers
o Participative: Consults with group members and uses their suggestions
before making a decision
o Achievement-oriented: Sets challenging goals and expects followers to
perform at their highest level
- Predictions:
o Directive: great satisfaction when tasks are ambiguous or stressful
o Supportive: high performance and satisfaction when tasks are
structured
o Directive: redundant among subordinates with high perceived ability or
with considerable experience
o Directive: high satisfaction when substantive conflict exists within
group
o Participative: high satisfaction among subordinates with internal locus
of control
o Directive: high satisfaction among subordinates with external locus of
control
o Achievement-oriented: increase subordinates’ expectancies that effort
will lead to high performance when tasks are ambiguous

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4. Factors that make leadership less critical

Substitutes for leadership
- Follower characteristics (Experience, training, professional orientation, or the
need for independence)
- Job characteristics (Routine, unambiguous, and satisfying jobs)
- Organisation characteristics (explicit formalised goals, rigid rules and
procedures, or cohesive work groups)
Research findings: Males and females use different styles
- Women tend to adopt a more democratic or participative style unless in a
male-dominated job
- Women tend to use transformational leadership
- Men tend to use transactional leadership
Cross-cultural differences and leadership
Universal elements of effective leadership (Hartog- GLOBE study):
- Vision, Foresight, Providing encouragement, Trustworthiness, Dynamism,
Positiveness, Proactiveness
For example:
- Malaysian leaders: Compassion with an autocratic styles
- Korean leaders: Paternalistic towards employees
Management Leadership
Creating an agenda Plans and budgets Establishes direction

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Developing a network for Organises and staffs Aligning people

achieving the agenda
Execution Controls and solves Motivates and inspires
problems
Outcomes Produces a degree of Produces change
predictability

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Lecture notes, Topic 7 - management and leadership

Managing Organisations & People (University of New South Wales)

StuDocu is not sponsored or endorsed by any college or university

Downloaded by Sylvia M ([email protected])

o Desire to lead: strong desire to influence and willingness to take

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o Consideration: the extent to which a leader has job relationships

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2. Contingency Theories of Leadership

Hersey Situational Leadership Model

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Leader Participation Model (Vroom and Yetton)

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Downloaded by Sylvia M ([email protected])

4. Factors that make leadership less critical

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Developing a network for Organises and staffs Aligning people

Downloaded by Sylvia M ([email protected])

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