Chapter 11 intro to mgmt

Management vs. Leadership:

Good managers also have the leader’s traits

• Managers: Knowledgeable, Action-Oriented, Informed, Tactical

• Leaders: Insightful, Visionary, Influential, Strategic

• Leadership is defined as the Influence over others (followers) as evidenced by the follower’s motivation, loyalty, and high performance in support of the leader’s vision, goals, and/or direction 

How is Leadership Effectiveness measured

1. Overall performance of the organization

2. Satisfaction of subordinates (and maybe peers/bosses)

Character Traits Leadership Theory:

3 traits differentiate people in leadership roles from others

• Physical Energy

• Intelligence greater than followers average

• Prosocial influence 

• None of these are effective without other factors

Behavior Based Leadership theory:

• 2 major categories of behavior: Task Oriented Leadership (focus on tasks), Person-Oriented Leadership (building relationships)

• More specific styles of leadership

  • Charismatic Leadership: influence others through persuasive and attractive personality 

  • Servant Leadership: proactively supporting subordinates

  • Transformational Leadership: seeks to make significant change and communicate rationale for changes and linking subordinates self interest to achievement of goals

  • Strategic Leadership: focuses on visions and strategies necessary while persuading subordinates to take initiative to help

  • Empowerment-Oriented Leadership: subordinates are autonomous

  • Transactional Leadership: uses rewards and punishments

Contingency Leadership Theory:

contexts to evaluate effectiveness of leaders

• Leader-Member Relations: extend to which followers trust and are loyal to leader.

• Task Structure: extend to which work performed is clear. When low, goals r vague

• Position power: amount of power a leader has

Impact of these contexts:

• In unfavorable situations, leadership Character traits are less effective than in favorable 

• In moderately favorable situations, relationship based behaviors are most effective

• In very unfavorable and very favorable situations, task oriented leaders are most effective

• In high stress LMR situations (strained relation), leader’s experience better than intelligence

• Leader Member Exchange/LMX: includes interactions not just overall relationship

Leadership and Emotional Intelligence

• EI important: Self Awareness, Self Management, Social Awareness, Relationship Management

• Motivation is precursor to initiative 

• Attention important to self Awareness and social awareness

Aspects to decision making: 

• Easy or not

• Major implications for years to come or not

• Based on facts vs intuition

• Objective vs bias

• Judged on impact vs process

• Punishment for bad decisions vs rewards for risky decisions

• Paradoxes, dilemmas, conflicting options

Making the decision:

Not enough time/focus to fully process on steps

• Ask: is action necessary immediately

• Decisions as a team are better

• Computers and AI can help

• What level should decision making be delegated

• Accountability of decisions

• Managers tend to overrate their ability to make decisions

Communication Definition:

Sharing of information between 2 or more people

Process of communication

• Sender and receiver

• Communication is effective when intent/meaning by sender is same as by recipient

• Doesn’t always happen: poorly constructed message, inappropriate choice of delivery, differences in language/culture, mismatch of expectations/experiences, poor relationship between sender and receiver

Types of Communication

• Organizational: broad audience

• Interpersonal: messages between 2/several ppl

• One way process: no response expected

• 2 way process: to create dialogue

Purpose of Communication

• Inform, influence, persuade, motivate, create dialogue, obtain/provide feedback, learn

• Other purposes that are bad: intimidate, coerce, embarrass, disparage, create conflict

Methods of Communication

• Verbal

• Written

• Non verbal: gestures, postures, facial expressions, attire, eye contact

Ways to Improve Communication Skills: 

• Identify goals/intend

• Develop message

• How message is delivered is as important as message

• Non verbal signals as sender/receiver (genuine interest, positive reception)

Leading Individuals and Groups

Depend on people to fulfill responsibilities

How to engage broad group of people to support you 

• Networking and Relationship building

  • More inclined to support people they know

• Commitment Moral Compass and Vision/Mission of organization 

  • More inclined to support if trust that the person is doing something good

• Demonstrating Emotional Intelligence + Enabling Others to Succeed

  • More inclined to support if they trust person cares

Reasons for Conflict

• Genuine dislike between people

• Personal problems impacting their ability to act properly (mental health, family issues, etc)

• Management actions (layoffs, corruption,  etc) impacts culture

• Manager’s leadership style causing tension

• External events, political/religious/sports affiliation

• Management inaction in responding to conflict

• Business related disagreements. If managed well this can actually be good

How should managers deal with conflict

• Assess whether conflict needs action, Ask parties if they want assistance in working it out

• Assess likelihood of continued conflict and seek professional assistance if necessary

• If manager is involved, suggest a break and resuming the convo later. Maybe ask other employees or professionals to be there later

• If conflict is not related to business activities, suggest that this discourse is not appropriate for workplace. , Make clear that behavior is inappropriate and list potential consequences 

• Don’t take sides, Create plan for correcting issue, Discuss potential professional assistance, Follow up plan

• Sometimes best to refer matter to HR especially if conflict is because of mental health issues, drug alcohol use, etc

• If over business ideas, listen to arguments, show impartiality, acknowledge both sides, gain agreement on criteria used to make a decisions, focus on material not individuals, build consensus maybe by integrating solutions

Key concepts of negotiation

1. Importance of preparation

2. Understand source of power: 

3. Distinction between positions and Interests

4. Tension between creating and claiming value:

Importance of preparation

Understand your goals, issues, sources of power, alternatives, what can you offer as incentive

Understand source of power: 

• Understand BATNA (BEst Alternative to Negotiated Agreement

• If proposed deal doesn’t meet/exceed BATNA, it’s not good

• Agreement trap: bias towards reaching agreement despite BATNA being better

  • Reasons: time invested in negotiation,

Distinction between positions and Interests

• Positions: stated requirements of party

• Interests: underlying goals

• Understand all

Tension between creating and claiming value:

Win-lose: better negotiator gets better outcome

Creating Value:

creating a situation where both parties are better off than win-lose situation

Claiming value:

benefits can be non economic too. Coerced agreements lead to conflict.