Chapter 14-Organizational Behaviour

Organizational Behavior, 8e
Schermerhorn, Hunt, and Osborn

Prepared by Michael K. McCuddy Valparaiso University John Wiley & Sons, Inc.
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Organizational Behavior: Chapter 14
Chapter 14 High Performance Leadership

Study questions. What is leadership, and how does it differ from management? What are the trait and behavioral leadership perspectives? What are the situational or contingency leadership approaches? How does attribution theory relate to leadership?
Organizational Behavior: Chapter 14 3
Chapter 14 High Performance Leadership

Study questions cont. What are the new leadership perspectives, and why are they especially important in high performance organizations?
What is leadership, and how does it differ from management?

Management promotes stability or enables the
organization to run smoothly.

Leadership promotes adaptive or useful changes. Persons in managerial positions may be involved
with both management and leadership.

Both management and leadership are needed for
organizational success.
What is leadership, and how does it differ from management?

Leadership is a special case of
interpersonal influence that gets an individual or group to do what the leader or manager wants done.
Forms of leadership:
Formal leadership.
Informal leadership.
What are the trait and behavioral leadership perspectives?

Trait theories. Assume that traits play a key role in:
Differentiating between leaders and nonleaders.
Predicting leader or organizational outcomes.
Great-person-trait approach. Earliest approach in studying leadership. Tried to determine the traits that characterized great leaders.

Identifiable characteristics of leaders. Energetic. Operate on an even keel. Seek power as a means of achieving a vision or goal. Ambitious. High need for achievement. Recognize their own strengths and weaknesses. Oriented toward self-improvement.

Identifiable characteristics of leaders cont. Integrity. Not easily discouraged. Deals well with large amounts of information. Above-average intelligence. Good understanding of their social setting. Possess specific knowledge concerning their industry, firm, and job.

Behavioral theories. Assume that leader behaviors are crucial for explaining performance and other organizational outcomes. Major behavioral theories.

Michigan leadership studies. Ohio State leadership studies. Leadership Grid. Leader-Member Exchange (LMX) theory.

Michigan leadership studies. Employee-centered supervisors.
Place strong emphasis on subordinates welfare.
Production-centered supervisors. Place strong emphasis on getting the work done.

Employee-centered supervisors have more
productive work groups than productioncentered supervisors.


Ohio State leadership studies. Consideration.
Concerned with peoples feelings and making
things pleasant for the followers.
Initiating structure. Concerned with defining task requirements and other aspects of the work agenda. Effective leaders should be high on both
consideration and initiating structure.


Leadership Grid. Developed by Robert Blake and Jane Mouton. Built on dual emphasis of consideration and initiating structure. A 9 x 9 Grid (matrix) reflecting levels of concern for people and concern for task.
1 reflects minimum concern.
9 reflects maximum concern.

Leadership Grid cont.
Five key Grid combinations.
1/1 low concern for production, low concern for people.
1/9 low concern for production, high concern for people.

5/5 moderate concern for production, moderate concern
for people.
9/1 high concern for production, low concern for people. 9/9 high concern for production, high concern for people.
14

Leader-Member Exchange (LMX) theory. Focuses on the quality of the working relationship between leaders and followers. LMX dimensions determine followers membership in leaders in group or out group. Different relationships with in group and out group.
What are the situational or contingency leadership approaches?

Leader traits and behaviors can act in conjunction
with situational contingencies. The effects of leader traits are enhanced by their relevance to situational contingencies. Major situational contingency theories.

Fiedlers leadership contingency theory. Fiedlers cognitive resource theory. Houses path-goal theory of leadership. Hersey and Blanchards situational leadership model.

Fiedlers leadership contingency theory.
Initiated the situational contingency approach
in the mid-1960s.
Fiedlers approach emphasized that group
effectiveness depends on an appropriate match between the leaders style and situational demands.

Key variables in Fiedlers contingency
model.
Situational control. The extent to which a leader can determine what his or her group is going to do as well as the outcomes of the groups actions and decisions. Is a function of:
Leader-member relations. Task structure. Position power.

Key variables in Fiedlers contingency
model cont.
Least preferred co-worker (LPC) score reflects
a persons leadership style.

High-LPC leaders have a relationship-motivated
style.
Low-LPC leaders have a task-motivated style.

Implications of Fiedlers contingency
model.
Task-motivated leaders have more effective
groups under conditions of low or high situational control. Relationship-motivated leaders have more effective groups under conditions of moderate situational control.

Fiedlers cognitive resource theory.
Cognitive resources are abilities or competencies. A leaders use of directive or nondirective behavior
depends on:
The leaders or subordinate group members ability or
competency.
Stress.
Experience.
Group support of the leader.
21

Fiedlers cognitive resource theory cont.
Directiveness is most helpful for performance
when the leader is:

Competent. Relaxed. Supported.
Otherwise nondirectiveness is preferred.
22

Evaluation and application of Fiedlers
contingency theory.
Controversy regarding what LPC actually
measures. Leader match training.

Leaders are trained to diagnose the situation to
match their LPC scores with situational control. Also shows how situational control variable can be changed to obtain a match.

Houses path-goal theory of leadership. Emphasizes how a leader influences subordinates perceptions of both work goals and personal goals and the links, or paths, found between these two sets of goals. The theory assumes that a leaders key function is to adjust his/her behavior to complement situational contingencies.

Houses path-goal theory of leadership
cont.
Leader behaviors.
Directive leadership. Supportive leadership.
Achievement-oriented leadership.
Participative leadership.

Houses path-goal theory of leadership
cont.
Situational contingency variables.
Subordinate attributes authoritarianism,
internal-external orientation, and ability.

Work setting attributes task, formal authority
system, and primary work group.


Path-goal theory predictions regarding
directive leadership.
Positive impact on subordinates when task is
clear; negative impact when task is ambiguous. More directiveness is needed when ambiguous tasks are performed by highly authoritarian and closed-minded subordinates.

supportive leadership.
Increases satisfaction of subordinates working
on highly repetitive, unpleasant, stressful, or frustrating tasks.
28

achievement-oriented leadership.
Encourages subordinates to strive for higher
performance standards and to have more confidence in their ability to meet challenging goals. Increases effort-performance expectancies for subordinates working in ambiguous, nonrepetitive tasks.

participative leadership.
Promotes satisfaction on nonrepetitive tasks
that allow for subordinates ego involvement.

Promotes satisfaction for open-minded or
nonauthoritarian subordinates working on repetitive tasks.


Evaluation and application of Houses
path-goal theory.
Many aspects of the theory have not been
adequately tested.
Lacks substantial current research. House has revised and extended path-goal
theory into a theory of work unit leadership.


Hersey and Blanchards situational
leadership model.
Emphasizes the situational contingency of
maturity, or readiness, of followers.

Readiness is the extent to which people have
the ability and willingness to accomplish a specific task.


Hersey and Blanchards situational
leadership model cont.

Leader style and follower readiness. A telling style is best for low readiness. A selling style is best for low to moderate readiness. A participating style is best for moderate to high readiness. A delegating style is best for high readiness.

Substitutes for leadership.
Sometimes hierarchical leadership makes
essentially no difference.
Substitutes for leadership make a leaders
influence either unnecessary or redundant.
34

Examples of leadership substitutes.
Individuals experience, ability, and training. Individuals professional orientation. Highly structured/routine jobs. Intrinsically satisfying jobs. Cohesive work group.

Examples of leadership neutralizers.
Individual indifference toward organizational
rewards.
Low leader position power. Physical separation of leader.
36
How does attribution theory relate to leadership?

Attribution theory recognizes that
leadership and its effects may not be able to be identified and measured objectively.
Leaders and subordinates behaviors are
significantly influenced by the attributions each makes about the others behavior.

Leadership prototypes. Peoples mental image of what a model leader should look like. A mix of specific and more general characteristics. Some core characteristics like integrity and self-efficacy are probably universal across leadership situations.

Leadership prototypes cont.
Prototypes may differ by country and by
national culture.
The closer that a leaders behavior matches the prototype held by the followers, the more favorable the leaders relations and key outcomes.

Exaggeration of the leadership difference.
CEOs, particularly of large corporations, may
have little leadership impact on profits and effectiveness compared to environmental and industry forces.
Romance of leadership.
People attribute almost magical qualities to
leadership.
What are the new leadership perspectives, and why are they especially important in high performance organizations?
New leadership emphasizes:
Charismatic approaches. Transformational approaches.
Aspects of vision related to charismatic and
transformational approaches.
New leadership is important in changing and
transforming individuals and organizations with a commitment to high performance.

Charismatic approaches to leadership. Charismatic leaders, by force of their personal abilities, can have a profound and extraordinary effect on followers. Characteristics of charismatic leaders include:
High need for power.
High feelings of self-efficacy.

Conviction in the moral rightness of their beliefs.
Charismatic approaches to leadership
cont.
Charismatic behaviors include: Role modeling. Image building. Articulating goals. Emphasizing high expectations. Showing confidence. Arousing follower motives.
Dark side versus bright side of charismatic
leadership.
Dark side. Emphasizes personalized power. Leaders focus on themselves. Bright side. Emphasizes socialized power. Leaders empower followers.
Conger and Kanungos three-stage charismatic
leadership model.
Stage 1: The leader critically evaluates the status quo. Stage 2: The leaders formulates and articulates future
goals and a idealized future vision.

Stage 3: The leader shows how the goals and vision
can be achieved.
Conger and Kanungos three-stage
charismatic leadership model cont.

If leaders use behaviors such as vision
articulation, environmental sensitivity, and unconventional behavior, followers will attribute charismatic leadership to them.
46
Charismatic leadership relative to close-up
and at-a-distance leaders.

Both types of leaders are viewed as
charismatic but possess quite different traits and behaviors.
47
Transactional leadership. Involves leader-follower exchanges necessary for achieving routine performance agreed upon between leaders and followers. Leader-follower exchanges involve:

Use of contingent rewards. Active management by exception. Passive management by exception. Abdicating responsibilities and avoiding decisions.
Transformational leadership occurs when
leaders:
Broaden and elevate their followers interests. Generate awareness and acceptance of the
groups purposes and mission.

Stir their followers to look beyond their own
self-interests to the good of others.

Dimensions of transformational leadership.
Charisma.
Provides vision and a sense of mission; and instills
pride, respect, and trust in followers.
Inspiration.
Communicates high expectations, uses symbols to
focus efforts; expresses important purposes in simple ways.

Dimensions of transformational leadership
cont.
Intellectual stimulation.
Promotes intelligence, rationality, and careful
problem solving.
Individualized consideration.
Provides personal attention, treats each employee
individually, and coaches and advises.

Transformational leadership is likely to be
strongest at the top-management level.

Transformational leadership is found
through the organization.

Transformational leadership operates in
combination with transactional leadership.

Leadership in high performance work teams. Leaders in self-directing work teams act as coordinators. Behaviors in the coordinator role emphasize the development of self-leadership on the part of team members.
Self-leadership acts as a partial substitute for hierarchical
leadership. While coordinator behaviors encourage follower participation, they are not charismatic behaviors.
Some new leadership issues.
People can be trained in new leadership
approaches.
New leadership is not always good or needed. New leadership should be used in conjunction
with traditional leadership.


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Organizational Behavior, 8e

Schermerhorn, Hunt, and Osborn

Organizational Behavior: Chapter 14

Chapter 14 High Performance Leadership

Chapter 14 High Performance Leadership

Organizational Behavior: Chapter 14

What is leadership, and how does it differ from management?

organization to run smoothly.

with both management and leadership.

What is leadership, and how does it differ from management?

What are the trait and behavioral leadership perspectives?

Predicting leader or organizational outcomes.

What are the trait and behavioral leadership perspectives?

Organizational Behavior: Chapter 14

What are the trait and behavioral leadership perspectives?

Organizational Behavior: Chapter 14

What are the trait and behavioral leadership perspectives?

What are the trait and behavioral leadership perspectives?

Production-centered supervisors. Place strong emphasis on getting the work done.

productive work groups than productioncentered supervisors.

What are the trait and behavioral leadership perspectives?

things pleasant for the followers.

consideration and initiating structure.

What are the trait and behavioral leadership perspectives?

What are the trait and behavioral leadership perspectives?

1/9 low concern for production, high concern for people.

Organizational Behavior: Chapter 14

What are the trait and behavioral leadership perspectives?

What are the situational or contingency leadership approaches?

What are the situational or contingency leadership approaches?

What are the situational or contingency leadership approaches?

What are the situational or contingency leadership approaches?

a persons leadership style.

What are the situational or contingency leadership approaches?

What are the situational or contingency leadership approaches?

Organizational Behavior: Chapter 14

What are the situational or contingency leadership approaches?

when the leader is:

Otherwise nondirectiveness is preferred.

Organizational Behavior: Chapter 14

What are the situational or contingency leadership approaches?

measures. Leader match training.

What are the situational or contingency leadership approaches?

What are the situational or contingency leadership approaches?

What are the situational or contingency leadership approaches?

internal-external orientation, and ability.

system, and primary work group.

What are the situational or contingency leadership approaches?

What are the situational or contingency leadership approaches?

on highly repetitive, unpleasant, stressful, or frustrating tasks.

Organizational Behavior: Chapter 14

What are the situational or contingency leadership approaches?

What are the situational or contingency leadership approaches?

that allow for subordinates ego involvement.

nonauthoritarian subordinates working on repetitive tasks.

What are the situational or contingency leadership approaches?

theory into a theory of work unit leadership.

What are the situational or contingency leadership approaches?

maturity, or readiness, of followers.

the ability and willingness to accomplish a specific task.