Managing for impact

Managerial power formula

Position power x Personal power. Multiplied, so a manager weak in either one has little real influence, even with a big title.

Position power

Power that comes from your job role, not from you. Three types: legitimate, reward, coercive. You lose it when you leave the role.

Personal power

Power that comes from who you are, so it follows you anywhere. Four types: expert, referent, relationship, information.

Legitimate power

Influence from formal authority. Staff follow because the manager has the official right to direct their work, e.g. setting the roster.

Reward power

Influence from being able to give things people value, like pay rises, extra shifts, praise or promotion. Only works if people actually want the reward.

Coercive power

Influence from being able to punish or withhold rewards, e.g. cutting hours. Gets short-term compliance but damages morale and trust. Use without threats or bullying.

Expert power

Influence from knowledge and skill others need. People follow you because you know what you're doing. Built through training and experience.

Referent power

Influence from being admired and liked. People follow because they identify with you and want your approval. Built by appealing to followers' values and ideals.

Relationship power

Influence from networks and connections (social capital). You can get things done because you know the right people and connect them to ideas.

Information power

Influence from access to and control of important information or data. Good for evidence-based decisions, but risks making you a gatekeeper.

Hersey-Blanchard situational model

Leaders should adjust their style to follower readiness (ability + willingness). As readiness rises, the leader gives less direction and support.

Telling style

For followers who are unable and unwilling. Give clear, specific instructions and supervise closely. E.g. a new worker who doesn't care yet.

Selling style

For followers who are unable but willing. Explain decisions, give direction and coaching while keeping their enthusiasm up. E.g. keen new casuals.

Participating style

For followers who are able but unwilling. They have the skill but lack motivation, so share decisions, listen and support them. E.g. experienced staff who've lost interest.

Delegating style

For followers who are able and willing. Hand over responsibility and step back. E.g. a reliable senior team member.

Path-goal theory (House)

The leader's job is to clear the path to goals by removing obstacles and offering rewards. The right style depends on the follower and the task.

Directive leadership (path-goal)

Tell people exactly what to do and how. Best when the task is unclear or ambiguous.

Supportive leadership (path-goal)

Show concern for followers' wellbeing and build them up. Best when followers lack confidence or the work is stressful.

Achievement-oriented leadership (path-goal)

Set challenging goals and express confidence in people. Best when the work lacks challenge and people are bored.

Participative leadership (path-goal)

Consult followers and involve them in decisions. Best when followers are skilled and want a say.

Substitutes for leadership

Things that make a leader's input unnecessary, e.g. highly skilled staff, clear routine tasks, strong team norms.

Fiedler's contingency model

A leader's style is fixed and can't easily change (measured by the LPC scale). So instead of changing the leader, match them to the right situation or change the situation.

Fiedler's 3 situational factors

1. Leader-member relations (good or poor). 2. Task structure (clear or unclear). 3. Position power (strong or weak). Together they make the situation favourable or unfavourable.

Task-motivated leader (Fiedler)

Focuses on getting the job done. Performs best in situations that are very favourable or very unfavourable.

Relationship-motivated leader (Fiedler)

Focuses on people and relationships. Performs best in moderately favourable situations.

Leader-member exchange (LMX)

Leaders form an in-group (trusted favourites who get more attention, rewards and opportunities) and an out-group (treated formally, fewer benefits). Out-group members tend to be less motivated.

Vroom-Jago model

Helps a leader decide how much to involve others in a decision: authority (decide alone), consultative (ask then decide) or group (decide together). Based on decision quality, acceptance and time.

Transformational leadership

Uses personal power to inspire extraordinary effort through a compelling vision. Changes how followers see their work. Qualities: vision, charisma, symbolism, empowerment, intellectual stimulation, integrity.

Transactional leadership

Uses position power to direct people through tasks, rewards and structures. A straight exchange: do the work, get the reward. Gets results but rarely inspires.

Emotional intelligence

The ability to manage yourself and your relationships well. Four parts: self-awareness, social awareness, self-management, relationship management.

Leaders vs managers

Leaders cope with change: set direction, align people, motivate and inspire. Managers cope with complexity: plan and budget, organise and staff, control and solve problems.

Leadership

The process of inspiring others to work hard to accomplish important tasks. One of the four management functions.

Vision / visionary leadership

Vision is a clear sense of the future. Visionary leaders create it, communicate how to get there, and get people committed to making it happen.

4 leadership styles

Autocratic (high task, low people), human relations (high people, low task), democratic (high both, the ideal), laissez-faire (low both, hands-off).

Blake and Mouton managerial grid

Plots leaders on concern for task vs concern for people. The most effective leaders score high on both.

Servant leadership

Puts followers first. The leader's role is to serve, support and empower others rather than themselves.

Authentic leadership

Leading with honesty and transparency, staying true to personal values. Builds trust because followers know where they stand.

Moral leadership

Built on integrity, trust and strong character. Dark side to avoid: narcissistic, Machiavellian and psychopathic leaders.

Organisational politics

Gaining power through informal means other than merit or luck, e.g. building networks, controlling information, trading favours (reciprocity).