MGMT 475 Exam 1

Characteristics associated with leadership effectiveness are classified by this text into three broad categories:

***1. General Personality Traits (> work and non-work) ***2. Task-related Personality Traits (> work only) ***3. Cognitive Factors - intellectual and problem-solving skills

***Leadership 1. Definition 2. 3 Elements 3. All about...

***1. The ability to inspire confidence and support among the people who are needed to achieve organizational goals 2. The leader, followers, and the context(situation) 3. Leadership is a relationship and is all about relationships

***Emergent Leaders 1. Definition 2. Ability to influence is based upon... 3. You can exert some leadership by... 4. Numerous individuals within the team may serve as leaders, both by... 5. Leadership may shift, depending on...

***1. group members who significantly influence other group members even though they have not been assigned formal authority 2. traits and behaviors 3. being an influential peer or even subordinate 4. formal assignment and informally 5. whose expertise is the most relevant at the moment

***Impression management

***Charismatic leaders use impression management to cultivate their relationships with group members and their perceptions. A leader's charisma is based upon your own perceptions and influenced by your peers

***Followers = 1. Without followers... 2.Leaders need to develop... 3. Leaders must account for...

***Team members, doers, the led 1. not only can't leaders be effective, they (by definition) can't exist 2. better followers and followers need to develop better leaders 3. wide variance in followers' abilities, personalities, and motivation

***Transformational Leadership

***Using charisma to drive radical, positive change in an org's culture -Generally turning around a struggling team (from low to acceptable or even high performance) -Sometimes is about stabilizing and reversing a team in crisis -Can also be driving acceptable performance up to high

***Cognitive Factors Includes...

***problem-solving and intellectual skills. 1. Cognitive Intelligence - as measured by IQ or comparable tests Research demonstrates a correlation with leadership effectiveness in some settings, but not all Team members prefer leaders smarter than the team average 2. Practical Intelligence - common sense or "street smarts" 3. Retention/Prioritization - ability to remember and access important info as well as offload unimportant info 4. Technical knowledge and skills - about the company, team, industry, products, etc. Translates into credibility and trust Though do you want Elon Musk spending his day installing headlights? 5. Creativity - Could mean developing all new-innovations, applying existing solutions to new problems, or merely inspiring others ***6. Farsightedness - understanding possible long-term impacts of near-term actions ***7. Systems thinking - understanding how different elements of the organization and different actions/outcomes are interwoven

***Leadership Style

***the pattern of behaviors used by leaders for a given situation ***Participative leadership styles - engage team members: ***1. Consultative leadership - confer with team members for input, then make the final decision themselves ***2. Consensus leadership - facilitate team discussion and then make a decision which reflects the general agreement (or at least support) amongst members ***3. Democratic leadership - facilitate team discussion and then team members vote on a decision ***4. Autocratic leadership style - most or all of the decision-making is done by the leader. Sounds like a "boss", not a "manager", eh?

Motivated by Power ***+Socialized Power Motive ***-Personalized Power Motive

+ Motivated to achieve the org's goals - Motivated to achieve personal goals, including $, status symbols, popularity, and fame Not concerned about being liked Results in submissive, often disgruntled subordinates

With a charismatic leader, team members:

-Are happier, more productive and less stressed -Have emotional involvement in the mission -Have loftier goals -Are more satisfied with their leader/manager -Are more confident they will be able to succeed and/or contribute to team success -And according to one study, the team performs better!

Are leaders born or made or both?

-Basic answer...BOTH. Implication is that some are born with more beneficial personality traits and cognitive factors, though nearly all traits/factors can be improved upon with effort and experience -Research example -- Planning/reasoning is based upon frontal lobe development...which can be further developed through mental stimulation and happens organically as we age -Perhaps there is an upper limit on most traits and factors -Comparable example - musical ability

Are people born with charisma or is it learned?

-Basic answer...BOTH. Implication is that some are born with more beneficial personality traits, though nearly all traits/factors can be improved upon with effort and experience -Perhaps there is an upper limit on most traits

What do leaders do?

-Challenge the ways things are done -Create visions of the future -Inspire org members to want to perform -Serve as role models, coaches, mentors, & cheerleaders: -Seek responsibility and accountability -Gain the trust of those who become followers: -MAKE EVERYONE AROUND THEM BETTER!

Leadership Roles

-Figurehead - Upper-level manager only -Spokesperson - Upper-level manager only -Negotiator - Upper-level manager only -Coach and Motivator - Any manager, some non-managers -Team Builder - Any manager -Team Player - Any manager, some non-managers -Technical Problem Solver - Any manger, some non-managers -Entrepreneur - Any manager, some non-managers -Strategic Planner - Upper-level manager only -Executor - Any manager

What do managers do?

-Formulate detailed plans -Create efficient org structures -Oversee day to day operations -Strive to meet established objectives -Keep employees productive and efficient -Anticipate, avoid, and resolve problems -Utilize the org's resources effectively and efficiently

Charisma Works When Followers...

-Perceive they share the leader's beliefs -Respect and have an emotional connection to the leader -Embrace the leader's goals and vision -Want to identify with the leader

The Most Effective Followers Are:

-Self-managed (or minimal needed) -Committed to the team/org -Competent -Courageous - willing to engage in ***functional conflict -Humble - embrace their role as a follower

Gender Differences in Leadership Styles

-Studies reveal generalities, but not absolutes -Overall conclusion: Men are more task-oriented and women are more relationship-oriented

Other factors that may be more important to team success

-The situation itself (key theme this semester) -A ***cohesive team -Team members who are talented, self-motivated, and/or professional -Technological tools replace leadership needs -Demand for the product(s) -A strong corporate culture -Influential stakeholders (customers, community, stockholders)

Selecting the Best Leadership Behaviors and Style

-There is no one best or most effective leadership behavior and... There is no one best or most effective leadership style -Effective leaders need to focus on BOTH task behaviors and relationship behaviors -Punchline - Leaders who get the best results select the ideal behaviors and style for their followers for each unique situation

Does Leadership Impact Organizational Performance? 1. Studies suggest the leader may be responsible for ____ percent of a firm's performance 2. A Duke study concluded that leadership actions can impact performance...when the leader is perceived as...

1. 15-45 2. responsible and inspirational

How Transformation Takes Place

1. Help people see the long-term and the big picture. 2. Help people agree that change is needed...and possible. *Change is a scary concept to many! 3. Communicate a sense of urgency - there is a time factor. 4. Demonstrate that business goals and ethics are equally important. 5. Build TRUST! ("It only takes one Oh....") 6. Empower followers to be proactive (don't micromanage). 7. Allocate resources (human and otherwise) where they are needed the most.

***Types of Charismatic Leaders

1. Socialized Charismatics - use their charisma to positively influence others' ethics, happiness, stimulation, and work ethic 2. Personalized Charismatics - use their charisma to serve their own interests Their followers tend to be obedient, submissive, and dependent Their followers identify more with the leader than his/her vision/mission Their charisma may benefit others, but that wasn't the leader's goal 3. Celebrity Charismatics - use their charisma primarily to gain fame

Leadership Personality Traits Summary List

1. Trustworthiness: Research proved that trust leads to (1) more employee job satisfaction (2) greater loyalty, (3) less turnover, and (4) better relationships 2. Self-Confidence: Demonstrated with verbals and non-verbals Even during crises and unexpected challenges 3. Humility: Balanced with self-confidence Know when to be humble 4. High ***Locus of Control: belief that you control results through your action (motor boat vs. raft) 5. Authenticity: You be you To improve this trait, be introspective and ask trusted others 6. Extroversion: gregarious, outgoing, and enthusiastic One study identified this trait as the greatest indicator of leadership effectiveness Ways to improve this trait - attempt to be friendlier, smile, and ask q's To lead effectively, extroverts need to encourage introverts to interact, listen to introverts, and value their input 7. Assertiveness: being forthright and tactful (not aggressive) in expressing demands, opinions, feelings, and attitudes 8. Optimism: hopeful about success and positive approach 9. Warmth: being "human" and approachable Helps build rapport with group members Warmth > likability > loyalty and trust Humans often crave/need human behaviors from managers 10. Sense of humor: Benefits include relief of tension, increased joy, and defusing conflict Ideal type is self-effacing (self-directed) - no one is belittled, bullied, or made uncomfortable 11. Mental health awareness/regulation: Greater indicator of effectiveness than cognitive and technical skills Changes over time, in all directions 12. Proactive Personality: make things happen rather than reacting after they occur 13. Passion for the Work: obsession for achieving work goals 14. Self-Awareness / Self-Management: tuned in to your own mental and physical needs and status (food, sleep, etc.) Striving for consistent positive moods (minimizing swings) Involves seeking and acting upon feedback from others about you 15. Social Awareness: having genuine empathy for individuals and being tuned into group dynamics 16. Relationship Management: effective 2-way communication, rapport-building, and conflict management 17. Flexibility: ability to lead across diverse situations and time 18. Courage: willing to fail or endure rejection of ideas and actions 19. Tenacity: ability to stick with endeavors over time 20. Resilience: ability to bounce back from setbacks 21. Stamina: Leadership requires mental and physical stamina Gains can be realized through proper fitness, nutrition, preventative medicine, and rest 22. Motivated by Power: strong need to manage resources, including human ones 23. Motivated by Achievement Itself: seek responsibility and accountability, as that is how successes/satisfaction is defined

Charismatic Leaders' Personality Traits

1. VISIONARY: Provide an exciting image of a different and better future and and how they will get there 2. Masterful communication skills: Using colorful, imaginative, expressive language delivered with passion Communicating transparently Creating a comfortable 2-way environment Soliciting viewpoints from others Using metaphors, similes, and analogies ***Storytelling Adjusting style and language to the audience Investing the time to build rapport face-to-face Using social media to inspire and motivate 3. Ability to make team members feel capable: 4. Risk-oriented; relish the adrenaline rush 5. Employer of unconventional strategies 6. Dramatic and unique (= memorable) 7. One who tends to challenge, prod, and poke 8. Talented at reading their audience 9. Self-promoting (tooting one's own horn) 10. Narcissism - excessive self-love

Managers vs leaders 1. 4 functions of management 2. administrative vs interpersonal

1. controlling, organizing, planning, leading 2. Controlling, organizing and planning are administrative, leading is interpersonal

***Types of followers

1. isolates- uninfluenced by leadership. Overhaul or fire 'em. 2. bystanders- go with the flow. Spark em'. 3. participants- active followers. Lead em'. 4. activists- passionate and opinionated. Navigate em'. 5. diehards- extremely engaged. Be careful of 'em!

***Ohio State studies

85% of the leadership behaviors described were focused in two areas/dimensions: ***-Initiating Structure - All about TASKS Includes assigning tasks, prioritizing work, stating goals, and implementing processes/procedures ***-Consideration - All about RELATIONSHIPS Includes being warm, friendly, trustworthy, and supportive and connecting with others

Developing Your Charisma

Create visions for others - realistic, desirable, "stretching". Be trustworthy, day after day after day after... Be enthusiastic and optimistic. Increase your energy/stamina via rest, diet, exercise. Remember people's names. Be persistent...but not overbearing. Adapt/morph to align with others' communication style, body language, and perhaps appearance. Be candid...though not insensitively blunt. Develop a personal brand (in person and online).

Relationship-Related Behaviors

Focus is more on interpersonal relationships than on the task to be performed: 1. Bringing people together for a common purpose 2. Valuing subordinate input and recommendations 3. Inspiring others by helping them visualize 4. Satisfying followers' intrinsic needs - achievement, self-esteem, belonging, recognition, and growth 5. Giving emotional support, encouragement, and praise 6. Promoting ethical actions...regardless of business goals 7. Demonstrating concern for followers' welfare (ex: SAP) 8. Being a ***servant leader - placing others' goals above your own. Opposite of narcissism

Task-Related Behaviors

Focus is more on the task to be performed than the relationship aspects of leadership: 1. Adapting to the situation 2. Establishing a vision and strategies 3. Setting high performance standards 4. Identifying/utilizing strengths of group members 5. Taking smart risks 6. Providing the right amount of guidance (too much = micromanagement / too little = absence of value) 7. Giving valuable feedback - correct, continue, or tweak 8. Asking tough questions - makes followers think

Leadership Situational Models

I. Contingency Theory II. Path-Goal Theory III. Situational Leadership® (SL II) IV. Normative Decision Model

Leadership formula

L = f (L, F, S) L is leader characteristics F is follower characteristics S is situation, internal and external

The MIND of a manager and the SOUL of a leader!

Leader/Soul: visionary, passionate, creative, flexible, inspirational, innovative, courageous, imaginative, experimental, independent Manager/Mind: Rational, consultative, persistent, problem-solving, tough-minded, analytical, structured, deliberate, authoritative, stabilizing

IV. Normative Decision Model Model Basics ***Normative Decision-Making Styles Evaluating the Normative Decision Model

Model Basics 1. Leadership is a decision-making process where the leader diagnoses 7 situational variables (which we're not covering) to determine the most effective decision-making style. 2. Leaders choose a style (out of 5) that utilizes the correct degree of group participation when making decisions. ***Normative Decision-Making Styles: 1. Decide - Leader collects info from the team or others, then makes the decision alone and announces it or "sells it" to the team 2. Consult (Individually) - Leader meets with all team members individually to gather their input, then makes the decision alone 3. Consult (Group) - Leader meets with team members together, gathers their suggestions, and makes the decision alone 4. Facilitate - Leader presents problem to group, facilitates discussion, gathers input, and makes the decision democratically 5. Delegate - Leader provides resources and encouragement, but empowers the team to make the decision. Evaluating the Normative Decision Model: + Has been shown to lead to increased decision-making effectiveness. - But that doesn't mean it has shown to increase overall leader effectiveness. +/- Reality check says that managers wouldn't use the model per se (assess the 7 variables), but it may force them to slow down and think more about the ideal amount of participation

Pro's and Con's of autocratic leadership style:

Pro's -Demonstrates leader confidence -Results in faster decision making Con's -Followers don't feel valued -Garners fewer insights and opinions -Ignores the benefits of diversity

Pro's and Con's of participative leadership styles:

Pro's: -Increases teamwork and collaboration -Reaps the benefits of diversity -Works well with competent, proactive followers -Are well responded to by millennials Con's -Time-consuming (meetings, committees, conversations) -Some followers need more direction -Leaders can be perceived as weak (not leading)

Is Leadership Satisfying or Frustrating?

Satisfying: -Respect and status -Mentoring -Increases income -Opportunity to advance -Being "in on" things -Authority/responsibility Frustrating: -More hours/burnout -Too many "headaches", especially HR -Pressure -Insufficient authority to meet responsibilities -Isolation -Excessive org politics -Being perceived as unethical

Strengths & Limitations of the Trait Approach

Strengths -Serves as a tool to assist org's in selecting leaders -Can help individuals prepare for leadership responsibility Limitations -Does not identify which traits are needed in which situations -Does not identify what amount or combination of traits is ideal for each situation -People not strong on numerous traits/factors might be discouraged from seeking leadership roles -Can breed an elitist conception of leadership

III. (Blanchard's) Situational Leadership® (SLII) Theory Basics Examples of Supportive and Directive Behaviors Basics of SLII Evaluating SLII

Theory Basics 1. Leaders engage in 2 basic types of behaviors - supportive (relationships) and directive (tasks) - examples on slide 12 2. They assess their follower's competence and commitment to the task (let's look at D1-D4 on slide 13) 3. They then choose how supportive and how directive they should be utilizing one of 4 basic leadership styles (let's look at S1-S4 on slide 13) Examples of Supportive and Directive Behaviors: Supportive Behaviors -Listening -Giving Recognition -Communicating -Encouraging -Coaching Directive Behaviors -Giving Explicit Directions -Controlling -Supervising -Ruling -Regulating Basics of SLII The basis for effective leadership is choosing the right leadership style based upon a follower's competence and commitment for any given task: S1 Directing leadership style D1 enthusiastic beginner S2 coaching leadership style D2 disillusioned learner S3 Supporting leadership style D3 Capable but cautious performer S4 Delegating leadership style D4 Self-reliant Achiever Evaluating SLII: + SLII is particularly applicable to front-line managers, such as supervisors and team leaders (you?). + SLII is used widely for corporate leadership training. + No one style is best - An effective leader uses different styles, depending on the situation and the individual group member. - Applying SLII consistently is challenging because priorities and variables change rapidly. - 4 styles may be too simplistic for all the complexities +/- Some can argue that consistently using the ***coaching style (high on directing and high on supporting behaviors) may produce equal or better results

II. (House's) Path-Goal Theory Theory Basics ***Using Path-Goal Theory to Match Leadership Style to Situations: Evaluating House's Path-Goal Theory

Theory Basics 1. Specifies what style (out of 4) a leader should use to maximize productivity and morale for a given employee in a given situation. 2. Is all about individualizing or personalizing (treats employees as "followers"). Using Path-Goal Theory to Match Leadership Style to Situations: ***1. DIRECTIVE STYLE - Providing clear direction for task completion ***2. SUPPORTIVE STYLE - Relationship-building ***3. PARTICIPATIVE STYLE - Seeking input/opinions ***4. ACHIEVEMENT-ORIENTED STYLE - setting challenging goals and expressing high expectations * Sometimes 2 or more styles are used simultaneously Evaluating House's Path-Goal Theory: + The basic tenets of the theory are on target. + This theory paved the way for future theories that they must include a connection between a leader's actions and followers' motivation and satisfaction. - Not used "as is" by many leaders or managers, as its too dang complicated

I. (Fiedler's) Contingency Theory Theory Basics: Evaluating Fiedler's Theory

Theory Basics: 1. The situation dictates which style will be the most effective, and... 2. You can't teach an old dog new tricks (a new style), therefore... 3. Leaders should be placed in situations that match their style Evaluating Fiedler's Theory: + Fiedler pioneered taking into account traits/behaviors/style and situation to predict leadership success. + Fiedler's Theory did alert leaders to the importance of "sizing up" the situation. - Fiedler's Theory was too complicated to have much of an impact on leaders in the past or today. + Fiedler's theory may be ca-ca, but it did prompt others to conduct contingency leadership studies.

The Reality of Situational Leadership

There will often be situational factors the leader can't control and often can't even influence. The situation often dictates that a leader will be more effective using unfamiliar behaviors or styles (must be flexible!). A leader must recognize and adapt to changing situations.

The most effective managers over the long term are...

also leaders

***Leadership Effectiveness

attaining desirable outcomes such as productivity, quality, and satisfaction in a given situation

***Trait-Based Leadership Perspective

based upon the individual's personality and mental traits.

***Contingency Approach To Leadership

leaders are most effective when they make their behavior contingent on situational factors: -Follower characteristics (especially competence and commitment) -Internal and external environments (think SWOT) -Culture of the organization -Degree of urgency -Importance of each goal or achievement

***Entrepreneur Key Traits (which match up closely with charisma):

someone who founds and operates an independent business. -Strong achievement drive -Sensible risk taking -High degree of enthusiasm -Proactive personality -Tendency to act quickly ("Right or wrong go strong") -Visionary - look to the future -Tenacity -Dislike of hierarchy and bureaucracy ("the corporate world") -Preference for dealing with stakeholders other than their employees

***Crisis leadership Includes Behaviors

the process of leading team members through a sudden and largely unanticipated, intensely negative, and emotionally draining circumstance. Crisis leadership includes: -Before - preparedness and prevention -During - behaviors and demeanor -After - behaviors, especially communication Behaviors: 1. Prevent the crisis through disaster planning; just having a plan may lower follower anxiety 2. Be decisive - "Right or wrong, go strong" 3. Stay calm and display (reasonable) optimism 4. Communicate status and decisions 5. Show concern for followers' anxieties, uncertainties, and frustrations 6. Consider making personal sacrifices (= credibility) 7. Keep focus on the long-term; help people snap out of stewing on the present situation 8. Reestablish the usual work routine (what normal feels like) 9. Take appropriate accountability and accept valid criticism

***Leadership Behaviors ***Leadership Style

the way leaders demonstrate their leadership traits the pattern of behaviors used by leaders for a given situation

To effectively lead, personality traits and cognitive factors need to be... Elements of effectiveness Measuring effectiveness

transformed into behaviors! productivity, quality output, customer satisfaction, and job satisfaction data (sales, output, etc.) as well as judgments (such as performance reviews)