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Chapter 9

Chapter 9 Textbook.docx

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Department
Business
Course
BU288
Professor
Ping Zhang
Semester
Fall

Description
Chapter 9: Leadership Leadership – The influence that particular individuals exert on the goal achievement of others in an organizational context Strategic Leadership – Leadership that involves the ability to anticipate, envision, maintain flexibility, think strategically, and work with others to initiate changes that will create a viable future for the organization - can provide an organizational with a competitive advantage by helping the organization compete in unpredictable environments and by exploiting growth opportunities - these leaders and open and honest in their interactions with stakeholders - focus on the future Traits – Individual characteristics such as physical attributes, intellectual ability, and personality Traits associated with leadership effectiveness: - intelligence - energy - self-confidence - dominance - motivation to lead - emotional stability - honesty and integrity - need for achievement - this list portrays a high-energy person who really wants to have an impact on others but at the same time is mart and stable enough not to abuse their power Limitations of the Trait Approach - do employees become more dominant after they successfully occupy leadership roles? - failure to take into account the situation in which leadership occurs - must lead different groups differently (logging crew vs. scientists) - possessing the appropriate traits for leadership makes it possible that certain actions will be taken and will be successful, but traits are not sufficient alone for successful leadership Consideration – The extent to which a leader is approachable and shows personal concern and respect for employees Initiating Structure – The degree to which a leader concentrates on group goal attainment Consideration and initiating structure both contribute positively to employees’ motivation, job satisfaction, and leader effectiveness. - consideration is more strongly related to follower satisfaction, motivation, and leader effectiveness - initiating structure is more related to leader job performance and group performance The effects of consideration and initiating structure often depend on characteristics of the task, the employee, and the setting in which work is performed. Leader Reward Behaviour – The leader’s use of compliments, tangible benefits, and deserved special treatment - when rewards are made contingent on performance, employees should perform at a high level and experience job satisfaction Leader Punishment Behaviour – The leader’s use of reprimands or unfavourable task assignments and the active withholding of rewards Contingency Theory – Fred Fiedler’s theory that states that the association between leadership orientation and group effectiveness is contingent on how favourable the situation is for exerting influence - some situations are more favourable for leadership than others, and require different orientations on the part of the leader Least Preferred Co-Worker – A current or past co-worker with whom a leader has had a difficult time accomplishing a task - the leader who describes the LPC relatively favourably can be considered relationship oriented - the leader can find positive qualities in them regardless of them being difficult to work with - the leader who describes the LPC unfavourably can be considered task oriented - allows the LPC’s low-task competence to colour their views of the personal qualities of the LPC Situational Favourableness – specifies when a particular LPC orientation should contribute most to group effectiveness Factors that Affect Favourableness 1. Leader-Member Relations - when the relationship between the leader and the group members is good, the leader is in a favourable situation to exert influence - a poor relationship should damage the leader’s influence and lead to insubordination 2. Task Structure - should be able to exert considerable influence on the group if the task at hand is highly structured 3. Position Power - the formal authority granted to the leader by the organization to tell others what to do Predictions of leader effectiveness from Fiedler’s Contingency Theory of leadership: Cognitive Resource Theory – A leadership theory that focuses on the conditions in which a leader’s cognitive resources (intelligence, expertise, and experience) contribute to effective leadership Leader intelligence is predicted to be most important when the leader is directive, the group supports the leader, and the situation is low-stress. Path-Goal Theory – Robert House’s theory concerned with the situations under which various leader behaviours (directive, supportive, participative, achievement-oriented) are most effective - the most important activities of leaders are those that clarify the paths to various goals of interest to employees (such as promotion, sense of accomplishment) - the effective leader forms a connection between employee goals and organizational goals Leader Behaviour The Path-Goal Theory is concerned with the following four kinds of leader behaviour: 1. Directive Behaviour – schedule work, maintain performance standards, let employees know what is expected of them 2. Supportive Behaviour – friendly, approachable, concerned with pleasant interpersonal relationships 3. Participative Behaviour – consult with employees about work-related matters and consider their opinions 4. Achievement-Oriented Behaviour – encourage employees to exert high effort and strive for goal accomplishment Situational Factors 1. Employee Characteristics 2. Environmental Factors The Path-Goal Theory of Leadership Participative Leadership – Involving employees in making work-related decisions Participation can involve individual employees or the entire group of employees that reports to the leader: Potential Advantages of Participative Leadership 1. Motivation - participation can increase the motivation of employees - adds some variety to the job and promotes autonomy 2. Quality - participation can enhance quality since it empowers employees to take direct action to solve problems without check every detail with the boss - also, “two heads are better than one” 3. Acceptance - can increase the employees’ acceptance of decisions - must be perceived as fair Potential Problems of Participative Leadership 1. Time and Energy – when a quick decision is needed, participation isn’t an appropriate strategy 2. Loss of Power – some leaders feel that a participative style will reduce their power and influence 3. Lack of Receptivity or Knowledge – employees might not be receptive to participation Leader-Member Exchange (LMX) Theory – A theory of leadership that focuses on the quality of the relationship that develops between a leader and an employee - effective leadership processes result when leaders and employees develop and maintain high-quality social exchange relationships - high quality relationships involves a high degree of mutual influence and obligation as well as trust, loyalty and respect - high LMX leaders provide employees with challenging tasks and opportunities, gre
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