Chapter 10

1. Chapter 10 Hitt Black Porter Leadership I: Basic Concepts and Processes m a n a g e m e n t

2. Learning Objectives • Describe the fundamental nature of leadership as part of the managerial role. • Identify the different types and sources of power available to a leader. • Analyze the issues involved in the use of power. After studying this chapter, you should be able to:

3. Learning Objectives • Explain the current view of the importance of leadership traits and skills. • Discuss the utility of the two major categories of leader behavior. • Analyze the importance and nature of the leader-follower relationship. After studying this chapter, you should be able to:

4. Learning Objectives • Describe how different situations affect the leadership process After studying this chapter, you should be able to:

5. Strategic Leadership • Strategic leadership • Thinking and acting strategically while working with others to create a viable future for the organization • Anticipate events (analyze the external environment) • Envision the organization’s future (analyze the internal resources and develop a vision for the organization or some unit within it) • Remain flexible in order to adapt to conditions as they change

6. What is Leadership? • Organizational leadership • Social influence process • Attempts to influence other people in attaining some goal • Positions labeled as management or supervision have more opportunities to exercise influence

7. What is Leadership? • Effective leadership • Influence that assists a group or an organization in meeting its goals and objectives and performing successfully • Enabling behavior • Helps other people accomplish more than if there had been no such leadership

8. Leadership and Power • Power • The capacity or ability to influence • Greater power leads to greater capacity to influence • Can be used to overcome resistance • Abuse of power can lead to undesirable or negative consequences • Skillful use of power may produce positive outcomes

9. Types and Sources of Power • Position power • Based on a manager's rank in an organizational structure • Given to the manager by superiors • Personal power • Based on a person's individual characteristics • Stay with the individual regardless of his or her position in the organizational structure

10. Types of Power Position Powers Personal Powers Legitimate—How much authority does the organization give to your position? Expert—Do you have knowledge that others need? Referent—Do others respect you and want to be like you? Reward—Are you able to give others the rewards they want? Coercive—Are you able to punish others or withhold rewards? Adapted from Exhibit 10.1: Types of Power

11. Four Key Issues in Using Power How much power should be used? Should power be shared? Which types of power should be used? How can power be put to use? Adapted from Exhibit 10.2: Four Key Issues in Using Power

12. Types of Influence Tactics Rational Persuasion: The agent uses logical arguments and factual evidence to show a proposal or request is feasible and relevant for attaining important task objectives. Apprising: The agent explains how carrying out a request or supporting a proposal will benefit the target personally or help advance the target person’s career. Inspirational Appeals: The agent makes an appeal to values and ideals or seeks to arouse the target person’s emotions to gain commitment for a request or proposal. Adapted from Exhibit 10.3: Types of Influence Tactics

13. Types of Influence Tactics Consultation: The agent encourages the target to suggest improvements in a proposal or to help plan an activity or change for which the target person’s support and assistance are desired. Exchange: The agent offers an incentive, suggests an exchange of favors, or indicates willingness to reciprocate at a later time if the target will do what the agent requests. Collaboration: The agent offers to provide relevant resources and assistance if the target will carry out a request or approve a proposed change. Adapted from Exhibit 10.3: Types of Influence Tactics

14. Types of Influence Tactics Personal Appeals: The agent asks the target to carry out a request or support a proposal out of friendship, or asks for a personal favor before saying what it is. Ingratiation: The agent uses praise and flattery before or during an influence attempt or expresses confidence in the target’s ability to carry out a difficult request. Legitimating Tactics: The agent seeks to establish the legitimacy of a request or to verify authority to make it by referring to rules, formal policies, or official documents. Adapted from Exhibit 10.3: Types of Influence Tactics

15. Types of Influence Tactics Pressure: The agent uses demands, threats, frequent checking, or persistent reminders to influence the target person. Coalition Tactics: The agent seeks the aid of others to persuade the target to do something or uses the support of others as a reason for the target to agree. Source: G. Yukl, Leadership in Organizations (Upper Saddle River, NJ: Prentice Hall, 2002), p. 160. Adapted from Exhibit 10.3: Types of Influence Tactics

16. Should Power be Shared? • Empowerment in organizations • Those higher in the formal structure provide more power—especially decision making—to those lower in the structure • Delegating formal authority to make specific decisions • Training to develop expertise and self confidence • Providing resources and access to information • Avoiding sudden withdrawal of shared power

17. Leader Locus Of Leadership Followers Situation Locus of Leadership Three Leadership Variables The leader The situation The followers Locus of Leadership Where the three variables intersect Adapted from Exhibit 10.4: Locus of Leadership: Intersection of the Basic Components of the Leadership Process

18. Three Leadership Variables 1. The Leader • Leaders’ traits • Drive • Motivation to lead • Honesty/Integrity • Self-confidence • Emotional maturity

19. Drive Achievement, ambition, energy, tenacity, initiative Emotional maturity Even tempered, calm under stress, unself-centered, nondefensive Motivation to Lead Desire to influence others, comfortable using power Honesty and Integrity Trustworthy, open, forthright Self-confidence Set high goals for self and others, optimistic about overcoming obstacles (if taken to extreme, can lead to arrogance and sense of infallibility) Leaders’ Traits Leader Adapted from Exhibit 10.5: Leaders’ Traits

20. Three Leadership Variables 1. The Leader • Leaders’ skills and competencies • Technical • Interpersonal • Conceptual • Emotional intelligence • Social intelligence • Leaders’ behaviors

21. Emotional Intelligence Self-Awareness Self-Regulation Empathy Social Skill Social Intelligence Social Perceptiveness Behavioral Flexibility “Savvy” Components of Emotional and Social Intelligence Adapted from Exhibit 10.6: Components of Emotional and Social Intelligence

22. Task Behaviors (Initiating Structure) Specifies roles and’ tasks Schedules work Sets performance standards Develops procedures People Behaviors (Consideration) Is friendly Is supportive Shows trust and confidence in subordinates Shows concern for subordinates’ welfare Gives recognition to subordinates for their accomplishments Leaders’ Behaviors Adapted from Exhibit 10.7: Leaders’ Behaviors

23. Three Leadership Variables 2. The Followers • Followers’ characteristics • Personality traits • Past experiences • Beliefs and attitudes • Skills and abilities • Followers’ behavior • Leader-follower relationship

24. Role-making Medium Limited Leader-Member Relationships Relationship characteristics Relationship stage acquaintance Stranger Maturity Relationship-building phase Quality of leader-member exchange Amounts of reciprocal influence Focus of interest Role-finding Low None Self Role implementation High Almost unlimited Team Time Adapted from Exhibit 10.8: Development of leader-Member Relationships over Time

25. Three Leadership Variables 3. The Situation • Tasks to be performed • Task structure • Level of worker discretion • Organizational context • Fundamental culture of the organization • Organizational structure • Human resource policies • Pattern of organizational controls