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Management and Organizational Studies
Management and Organizational Studies 1021A/B
Kevin Thompson

The Nature and Importance of Leadership The Meaning of Leadership  Common characteristic is their ability to inspire and stimulate others to achieve worthwhile goals  Leadership – inspire confidence  Support among the people who are needed to achieve the goals  Representative definitions of leadership o Interpersonal influence o An act that causes others to respond o Influencing people by persuasion o Motivates and coordinates the organization in the accomplishment of its objectives o A willingness to take blame (Joe Montana ) o Figuring out what’s right, and then explaining it to people ( Rudy Giuliani )  Recent analysis suggests : business managers below the C level ( CEO, CFO,COO )need to take the initiative and risks to drive the company in a different direction  Roadways Express Inc. – implemented a program of employee involvement in productivity improvement o Shared leadership approach works  Ability to lead other effectively is a rare quality o Reason why firms always hire a select group of proven executives o Emphasize training and development to create a new supply of leaders Leadership as a Partnership  A long-term relationship, or partnership between leaders and group members  Peter Block , in a proper partnership o Power is approximately balanced , opposite of parenting o Shared decision making  Valid partnership needs  Exchange of purpose - common vision  A right to say no  Joint accountability  Absolute honesty – people are less vulnerable to express themselves Leadership as a Relationship  “ Leadership isn’t something you do to people. It’s something you do with them “ Ken Blanchard  James Kouzes and Barry Posner o Internet study ,which skill more important  77 % social skills , 28 % internet skills  Relationships are hella important Leadership Versus Management  Leadership - change, inspiration, motivation  Management – planning organizing, and controlling  John P. Kotter, managers need to learn how to manage and lead  Management (stagnant ) o Stodgy bureaucrat mired in the status quo o Produces order, consistency and predictability o Like to keep things the same- maintain o Key function of the manger is to implement the vision of leaders  Leadership ( Movement ) o Inspirational figure o Produces change and newness , likely to transform and find a better way o Has a vision( lofty goal ) , and gets cooperation from others o The Impact of Leadership Leadership Does Make a Difference  The idea is so well know, not many research is done to prove it  Survey found o Transactional ( managerial ) leadership was not significantly related to performance o Charismatic leadership showed a slightly positive relationship o When the environment is uncertain, charismatic leadership is more strongly related to performance  Another study found o CEOs affect 15 % of the variable factor in a company’s profitability o Industry also accounts for 15 % o Therefore the choice of a CEO is as important as choosing your industry  Research on managerial succession o Change in leadership, leads to change in company performance o Relationship between who is in change and how well an organization performs o Leaders responsible for 15-45 % of a firm’s performance  Attribution Theory , Gary Yuki o The theory of how we explain events o A lot of emphasis put on leaders , they get all the attention o They are u8nrightfully blamed for failures, and unnecessary praise for success Leadership does not make a Difference Substitutes for Leadership  Closely knit teams of highly trained individuals – need to rely on each other  Intrinsic satisfaction – work grabs the worker’s attention and money  Computer technology - tech controls workers  Professional norms - people do what they do best  Leadership substitute concept has some merit, but it flawed  Bernard M. Bass – self management by groups and individuals requires delegation by a higher authority o Study of organization where high levels of substitutes for leadership exists  Suggest leadership matters  Likeability of the e leader, and the reward he provides, correlates to performance Leadership Irrelevance  Jeffrey Pfeffer, o argues that factors outside the leader’s con
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