Module 3 Building the Team Session 3.2 Leadership Lecture 3.2.1 Leadership, Power, and Influence

1. Module 3Building the TeamSession 3.2 LeadershipLecture 3.2.1 Leadership, Power, and Influence

2. Instructional Objectives At the end of this session, learners should be able to: 1. Define and contrast terms such as authority, power, influence, management, and leadership. 2. Explain why a project manager, especially in matrix organization, must manage through leadership and influence. 3. Describe at least three theories of leadership. 4. Describe how each of the basic forms of social power can be used as an influence strategy. 5. List at least 5 ways of increasing their own leadership effectiveness as a project manager.

3. Authority • Right provided to exercise power by the institution • Derived from role or position

4. The Project Manager’s Dilemma • Project managers in a matrix have responsibility but limited authority

5. The Project Manager’s Dilemma (continued) Managers • Use authority to direct resources to accomplish organizational objectives Leaders • Make others want to follow to achieve objectives

6. Authority Influence Management Leadership Management Leadership An interpersonal reaction in which others comply because they want to, not because they have to The use of resources to accomplish organizational objectives

7. The Key Role of a Project Leader Helping a group agree on and commit to the objective (Selling a Vision)

8. Voluntary Commitment “There is a difference between interest and commitment. When you are interested in doing something, you do it only when it is convenient. When you’re committed to something, you accept no excuses, only results.” (Ken Blanchard, The One Minute Manager, New York: Berkley Books, 1983)

9. Social Power • Ability to make someone do something you want: • Type a letter • Prepare a plan • Attend a meeting

10. Levels of Social Power x Control 100% - 90% High degree of power x Influence10% - 90% Narrower than control, intermediate degree of power x Appreciation 0% - 10% Little or no power Source: Smith, William E. 1990. A Power Framework for Project Management. Washington, D.C.: Economic Development Institute.

11. 8 Forms of Social Power • Legitimate (authority) • Information • Persuasion • Connections • Reward • Coercive • Referent (charisma) • Expert • Sources: French, J. R. P. and B. Raven. 1960. “The Bases of Social Power.” In D. Cartwright and A.F. Zander, Eds. Group Dynamics. 2nd ed. Evanston, Ill.: Row, Peterson. pp.607-623; Kotter, J. P. 1985. Power and Influence. New York: Free Press.

12. Using the Forms of Social Power Forms of Power Project Management Tools and Techniques Reward Bonuses Coercive Personnel appraisal Referent Lunches, Social events, Team building Expert Technical knowledge Legitimate Top management support/Project manager’s charter Information Plans/Meetings Persuasion Meetings Connections Uses friendships

13. Building Influence • Effective influence begins with the way you think about those you want to influence • Think strategic ally or partner Source: Cohen, Allan R. and David L. Bradford. 1990. Influence without Authority. New York: J. Wiley.

14. How to Build Partnerships A Leader • Finds out what partners want • Forges win/win situations with partners • Helps individuals achieve personal goals and objectives through project’s success • Presumes partners are allies Personal Objectives Organizational Objectives Heavy Overlap

15. Characteristics of Partnerships • Mutual Respect • Openness • Trust • Mutual Benefit Source: Cohen, Allan R. and David L. Bradford. 1990. Influence without Authority. New York: J. Wiley.

16. Clarify Others’ Goals and Objectives Clarify Your Goals and Objectives The Challenge: Bring into Alignment Mutual Benefits How to Build Partnerships Structure Relationships for Mutual Benefit

17. Influence through Exchange Assume other is potential ally Clarify your goals and priorities Diagnose ally’s world Assess your resources relative to ally’s wants Diagnose your relationship with ally Determine exchange approach and make exchange Source: Cohen, Allan R. and David L. Bradford. 1990. Influence without Authority. New York: J. Wiley.

18. Exchange Model • Exchanges are transactions between people • Type of exchanges • tangible goods (budget dollars) • tangible services (computer support) • sentiments (praise)

19. Three Forms of Exchange 1. Compliance for mutual benefit 2. Compensation for costs • cost of compliance is reimbursed(funds transfer) 3. Equivalent Payment • cost of compliance is reimbursed in kind (barter)

20. Potential Allies • Members of the project management team • Functional (department) managers • Senior management • Stakeholders and other constituencies

21. Summary • Limited formal authority in matrix • Leadership: Developing commitments to objectives • Eight forms of power • Exchange model for building influence

22. Module 3Building the Team

23. What makes a leader? • Three theories of leadership • Trait • Behavioral • Contingency

24. Instructional Objectives At the end of the lecture, the learner will be able to: • Describe each of the three leadership theories • Describe at least four characteristics of an effective leader

25. A Thought Question • Think of several outstanding leaders. • What is it that makes them successful leaders?

26. Three theories of leadership • Trait • ambitious, energetic, self-confident • Behavioral • high standards, emphasizes deadlines, structures roles • Contingency • adapts style to situation

27. Trait Theory • Leaders have special, mainly inborn, qualities • ambition • energy • honesty/integrity • self-confidence • intelligence • job-relevant knowledge/flexibility

28. Behavioral Theory • How do successful leaders behave? • What observable actions distinguish successful and unsuccessful leaders? • Examples • Ohio State University Studies (Stodgil) • Managerial Grid (Blake and Mouton)

29. Ohio State Studies • Two key categories of leadership behavior: • Initiating structure (process/structure) • Consideration (people/followers) • Each category rated as high or low behavior • “High-High” leaders outperformed others — with exceptions.

30. University of Michigan Studies • The Management Grid • Concern for people (relationships) • Concern for production (tasks) • Blake and Mouton

31. 9 8 7 6 5 4 3 2 1 Country Club Team Style Don’t Make Waves Autocratic The Managerial Grid Concern for Production 9 8 7 6 5 4 3 2 1 9 8 7 6 5 4 3 2 1 1,9 Management Thoughtful attention to needs of people for satisfying relationships leads to a comfortable friendly organization atmosphere and work tempo. 9,9 Management Work accomplishment is from committed people; interdependence through a “common stake” in organization purpose leads to relationships of trust and respect. Concern for People Concern for People 9 8 7 6 5 4 3 2 1 9,1 Management Efficiency in operations results from arranging conditions of work in such a way that human elements interfere to a minimum degree. 1,1 Management Exertion of minimum effort to get required work done is appropriate to sustain organization membership. Concern for Production

32. Contingency Theory • What is interplay between management situation and leadership style? • Fiedler model • Hersey-Blanchard situational theory • Path-goal theory

33. Fiedler Model • Performance of a group depends upon • Leader/group “fit” • Situational factors

34. Fiedler Model (4 Steps) 1. Determine leadership style 2. Analyze situation 3. Match leaders with situations 4. For “mismatches” • Change the leader • Change the situation

35. Fiedler: Step 1 • Determine leadership style using Least Preferred Co-Worker questionnaire (LPC) • Relationship oriented • Task oriented • Neither

36. Fiedler: Step 2 • Analyze the situation (High to Low) • Leader/member relations • degree of trust and respect • Task structure • from highly structured to unstructured • Position power • degree of authority or control

37. Good Good Good Good Poor Poor Poor Poor High High Low Low High High Low Low Task-oriented leader Relationship-oriented I, II, III, VII, VIII IV, V, VI Fiedler: Steps 3 & 4 • Leaders have one style only = key assumption Category I II III IV V VI VII VIII Leader/ member trust Task structure Position power Strong Weak Strong Weak Strong Weak Strong Weak Leader style Task Task Task Relations Relations Relations Task Task

38. Poor Trust — High Structure — Weak Power Relationship Oriented Poor Trust — High Structure —Strong Power Good Trust — Low Structure — Weak Power Fiedler Summary For this situation More effective leadership style Task Oriented All Situations Except

39. Hersey & Blanchard Situational Theory • Readiness of followers taken into account • R1: unable and unwilling • R2: unable and willing • R3: able and unwilling/apprehensive • R4: able and willing

40. Hersey & Blanchard Styles Leadership Styles Low Task Structure High Task Structure High-Relation Participating (able, unwilling) Selling (unable, willing) Low-Relation Delegating (able, willing) Telling (unable, unwilling)

41. Path-Goal Model (House) • Leader helps individuals attain personal goals through attainment of group’s goals. • Effective leaders change style to meet requirements of situation and followers. Path Goal

42. Path-Goal Theory • Situational Factors • Task structure • Formal authority system • Work group • Four AlternativeLeader Behaviors • Directive • Supportive • Participate • Achievement-oriented • Outcomes • Performance • Satisfaction Goal Path • Follower Characteristics • Locus of control • Experience • Perceived ability

43. Path-Goal — Conclusions • Directive leadership leads to greater satisfaction when tasks are ambiguous or stressful than when they are highly structured and well laid out • Supportive leadership results in high employee performance and satisfaction when subordinates are performing structured tasks • Directive leadership is likely to be perceived as redundant among subordinates with high perceived ability or with considerable experience • The more clear and bureaucratic the formal authority relationships, the more leaders should exhibit supportive behavior and de-emphasize directive behavior • Directive leadership will lead to higher employee satisfaction when there is substantive conflict within a work group • Subordinates with an internal locus of control (those who believe they control their own destiny) will be more satisfied with a participative style • Subordinates with an external locus of control will be more satisfied with a directive style • Achievement-oriented leadership will increase subordinates’ expectancies that effort will lead to high performance when tasks are ambiguously structured

44. Common Duality in Most Models • Leader must attend to both: • Task or Structure or Production • People or Relationships or Consideration

45. Problems with Theories • Trait • doesn’t predict successful performance • Behavioral • doesn’t generalize across situations • Contingency • complicated and hard to use • Other issues • gender, national culture, teams

46. Team Leadership • Key emphasis areas for effective leaders • External relations (boundaries) • Internal team processes & relations • Key roles for leaders (Robbins) • Liaison • Troubleshooter • Conflict manager • Coach

47. What Works? • Some traits are useful. • One style doesn’t fit all. • Gaining commitment is vital. • Situation is important. • Followers are important. • Meeting expectations • Clarifying roles and responsibilities

48. Summary • 3 Theories • trait • behavioral • contingency • Effective leaders are adaptive • followers • situation • Must use own judgment