Ch 10 Management

Transactional Leadership

Employees demonstrate the right behaviors because the leader provides resources in exchange

Transformational Leadership

Employees focus on company's well being rather than individual pursuits

Democratic decision making

Employees participate in the making of the decision

Transformational Leadership proposes

Individualized consideration: they treat other individuals respectfully, considering their individual needs, abilities, and aspirations; they advise, teach, and coach. Intellectual stimulation: they question assumptions, stimulate in others new perspectives and methods, and encourage ideas and reasons. Inspirational motivation: they articulate an appealing vision for the future, challenge followers by setting high standards, talk optimistically with enthusiasm, and provide encouragement and meaning for what needs to be done Idealized influence (charisma): they display conviction, take difficult stands, represent important values, and are admired as role models

Situational Leadership

Leaders choose from four basic situational leadership styles as defined by Blanchard and Hersey. leaders must use different leadership styles depending on their followers' development level.

Laissez-faire decision making

Leaders leave employees alone to make the decision; the leader provides minimum guidance and involvement in the decision. As a result, employees tend to engage in a high amount of conflict

Authoritarian decision making

Leaders make the decision alone without necessarily involving employees in the decision making process

informal leaders

Those without a formal position of authority within the organization but demonstrate leadership by influencing those around them through personal forms of power.

Fiedler's Contingency Theory

a leader's style is measured by a scale called Least Preferred Coworker (LPC) scale.

Leader-member exchange Model

in-group members, who are close to the leaders and out-group members who are more distant from the leaders.

Relationship oriented leader behaviors

include showing concern for employee feelings and treating employees with respect.

Task oriented leader behaviors

involve structuring the roles of subordinates, providing them with instructions and behaving in ways that will increase the performance of the group and directives given to employees to get things done and to ensure that organizational goals are met.

Leader-member exchange (LMX) theory

proposes that the type of relationship leaders have with their followers (members of the organization) is the key to understanding how leaders influence employees.

servant leadership

A leadership approach which defines the leader's role as serving the needs of others. Puts their employees first, understand their personal needs and desires, empower them, and help them develop in their careers

authentic leadership approach

Effective leaders who stay true to themselves.

Path-Goal Theory of Leadership

Effort-Performance: perceived probability that exerting effort leads to high performance Performance-Reward: the belief that their high performance will be rewarded Rewards-Personal Goals: the attractiveness of rewards to the individual

Transactional Leadership

Management by Exception (Passive): try to give the least amount of guidance as possible. Essentially, leaving employees alone but coming to the rescue if anything goes wrong. Management by Exception (Active): leaving employees alone but at the same time proactively predicting potential problems and preventing them Contingent Reward: Punish and correct poor performance and reward good or expected performance

Path-Goal Theory of Leadership identifies four styles leaders may adopt:

Participative-make sure that employees are involved in making important decisions. Directive-identifies four styles leaders may adopt. Supportive-provide emotional support to employees. Achievement Oriented-set goals for employees and encourage them to reach their goals.

Differences in Servant Leadership and Transformational Leadership

Servant leadership and its explicit focus on ethics, community development, and self-sacrifice are distinct characteristics of this leadership style from Transformational Leadership.

formal leaders

Those who hold a position of authority and may utilize the power that comes from their position, as well as their personal power to influence others

low-quality LMX relationships

the leader and the member have lower levels of trust, liking, and respect toward each other.

high-quality LMX relationships

the leader forms a trust-based relationship with the member