Leadership (Exam 2)

Leadership defined
That part of management that involves interpersonal relationships

The ability of an individual to work with people to achieve a shared organizational vision, as opposed to the management of tasks.

A good leader
has vision
sets goals
has commitment
is flexible
understands change
demonstrates respect and concern for others
takes risks
knows how to relate to individuals
what is management?
accomplishing productive work through others

the process of getting activities done effectively/efficiently w/ and through others

management is…
All actions focused on accomplishing the tasks in an organization

Managing resources, materials, facilities, processes, money, and equipment

5 M’s of management
Money
Minutes
Materials
Man-power
Machines
leadership vs. management
Management is usually viewed as getting things done through other people in order to achieve stated organizational objectives.

Leadership emphasis is on interpersonal skills in a broader context.

leadership vs. management
Management organizes and staffs people to achieve goals

Leadership focuses on aligning people toward goals and involves communicating and empowering to help achieve goals

leadership vs. management
Management controls people by pushing them in the right direction

Leadership motivates them by satisfying higher level human needs

leadership vs. management
Leadership does not necessarily take place within the hierarchical structures of the organization.

Leadership can be seen primarily as an inspirational

leadership vs. management
Management is about coping with complexities

Leaderships is about coping with change

Management: bottom line
Management is a bottom line focus: How can I best accomplish certain things
Efficiency in climbing the ladder of success
Efficient (doing things right)
Leadership: top line
Leadership deals with the top line: What are the goals I want to accomplish
Determines if the ladder is leaning against the right wall
Must decide what the “right things” are first
Effective (doing the right things)
two types of leaders
formal
informal
formal leader
usually manager
recognized by organization
sets directions for subordinates
informal leader
doesn’t act as manager
exhibits characteristics of leader
not recognized by organization
significant influence w/ colleaugues
Essential Characteristics of Effective Leaders
Intelligence
Drive
Motivation
Integrity
Self-confidence
Expertise
Leadership characteristic-Intelligence
The ability to acquire and retain knowledge and to respond quickly and successfully to a new situation.
Common sense knowledge, not IQ scores
Leadership characteristic- Drive
leaders are achievers
leaders are ambitious
high energy level
Leadership characteristic-Motivation
leaders want to be leaders
leaders motivate toward a vision
Leadership characteristic-Integrity
trust is earned
exhibit: credibility, reliability, fairness, honesty, openness
Leadership characteristic-Self-confidence
to make decisions
to take risks
to admit mistakes
Leadership characteristic-Expertise
area specific
level specific
Non-essential Leadership Characteristics
charisma
(ability to attract followers)
Non-essential Leadership Characteristics
creativity
Non-essential Leadership Characteristics
flexible
Leadership Styles
Learned behavior
Personality
Predominate style
Variety of styles
The most effective leaders can switch between styles
6 Basic Leadership Styles
Autocratic
Bureaucratic
Participative –
Democratic –
Consensus
Laissez faire
autocratic leaders
From early, classical management theory
Directive
Command and control
Authoritarian
Dictatorial
autocratic leadership
Decisions made without input
Orders given without explanation
Orders expected to be obeyed
Structured set of rewards and punishments
Little or no delegation of authority
autocratic works for…
Unskilled or new employees
Immigrants from autocratic countries
Employees lacking English language skills
Difficult employees who do not respond to other types of leadership styles
Temporary employees
autocratic work in/with…
Crisis situations
Military
Physicians
On a cooking line or tray line
Large volume businesses, catering
autocratic
Disadvantages:
Verbal abuse
Low morale
Disgruntled workers
Work stoppage / sabotage
Lack breadth of input

Advantage:
saves time

Bureaucratic leadership style
“By the book”
Leader relies on rules, policies, regulations, SOP when making decisions
Supervisors become “police officers”
bureaucratic leaders work best in…
areas with safety concern
inexperienced employees
routine/repetitive procedures
unionized work situations
Bureaucratic leadership style
Disadvantages:
Limited opportunity to try new ideas
Limited employee input

Advantages:
safety concern
regimented procedure/research

Participative leadership style
manager sets agenda and makes decisions
opinions are sought from the group
Participative leadership style characterized by
Employees’ perspective is needed
Promotes group cohesiveness
Gathering ideas leads to better decisions
A lot of delegation to employees
Participative leadership works for these types of employees
Employees with high skill levels and/or
extensive experience
Employee who will need to make significant changes in work assignments
Employees who want to voice complaints
Employee group with common problems
Participative leadership works in these situations
TQM – total quality management
Employee meetings
Resolving employee conflict
Top Quality Management (TQM)
Change of processes, not people
Focus on the customer
Empowerment of employees
Team approach to accomplish change
Sequential steps to control processes
Long-term organizational commitment
Participative leadership style
Disadvantages:
Workers offended if only a token effort
Time constraints
Loss of efficiency
Confidentiality issues

Advantages:
Gathers a wide range or variety of ideas-increases input

Democratic Leadership style
leader becomes coach
Democratic leadership style is characterized by
Shared decision making
Leader consults with the group
Employees are always informed
Used for decisions
Policies and procedures
Hiring new staff
Development of marketing and strategic plans
Democratic leadership style works for these kinds of employees
Highly skilled and/or experienced
Time is sufficient
When operational changes are required
Group problem solving
Democratic leadership style works in these situations
TQM – total quality management
Employee meetings
Resolving employee conflict
Democratic leadership style
Disadvantages:
Mistakes
Time delays to provide for everyone’s input
Some employees may need autocratic management

Advantages:
Majority rules

Consensus leadership style
Transforms employees from merely doing their work to contributing input and taking ownership of their work
Consensus leadership is characterized by
Decisions made by the group
All members work together until agreement is reached
Consensus leadership works for these employees
Supervisors with common interests in work areas of the overall facility
Consensus leadership works in these situations
Any decision or plan that requires complete consensus for the decision or plan to work
Consensus leadership style
Disadvantages:
Most time consuming
May appear the manager cannot make a decision

Advantages:
Staff feel they are an integral and valued part of the team
Increase group
cohesiveness and team work

Laissez-faire leadership style
hands off approach
free rein
Laissez-faire leadership is characterized by
Limited applications
When a specialist/consultant is involved
When manager cannot make a decision
Sales
Extensive levels of freedom
Manager delegates by default
Laissez-faire leadership works for these employees
Highly motivated
Highly skilled
Laissez-faire leadership style
Disadvantages:
Avoids confrontations
Cannot tell who is manager/leader
Employee never knows where they stand

Advantages:
Allows employee creativity

Factors influencing leadership
Leadership is a function of the leader, the followers, and the situation.
Factors that influence leadership style
Dependent on
Organizational climate/culture
Work groups
Type of work to be done
Philosophy
Transformational Leadership
Transforms staff from individuals to team players
Workers feel comfortable, willing and able to contribute to management process
Consensus, democratic, participative
Transforming Leadership
Goes one step further
Prepares subordinate to take over management functions and become successor
“succession planning”
Democratic and consensus
Types of Power
Expert
Referent
Legitimate
Comes from title/position
Reward
Coercive
Expert Power
power of: knowledge, experience, info
Referent Power
Comes from the relationship between the leader and follower
Based on creating and sharing a vision
Leader viewed as a role model
Legitimate Power
Differentiates formal and informal leader
Comes from the position
Reward Power
Ability to reward employees in terms of material goods or praise
Manager has to know the people who work for them to know what each individual would value
Coercive Power
Power to punish
Disciplining
Suspending
Terminating