Chapter Twelve:
Leadership in Organizational Settings
Learning Objectives
12-1 Define leadership and shared leadership.
12-2 Describe the four elements of transformational leadership and explain why they are important for organizational change.
12-3 Compare managerial leadership with transformational leadership, and describe the features of task-oriented, people-oriented, and servant leadership.
12-4 Discuss the elements of path–goal theory and leadership substitutes theory.
12-5 Describe the two components of the implicit leadership perspective.
12-6 Identify eight personal attributes associated with effective leaders and describe authentic leadership.
12-7 Discuss cultural and gender similarities and differences in leadership.
Leadership Defined
Ability to ability to influence, motivate, and enable others to contribute toward the effectiveness and success of the organizations of which they are members.
Leaders motivate and influence others
Leaders are enablers
Photo courtesy of Ryan Girard, PCL Construction
Shared Leadership
The view that leadership is a set of roles, not a position assigned to one person.
Employees lead each other
Shared leadership flourishes where:
Formal leaders are willing to delegate power
Collaborative (not competitive) culture
Employees develop effective influence skills
Perspectives of Leadership
Four main perspectives of leadership:
Transformational
Managerial
Implicit leadership
Leader attributes
Photo courtesy of Ryan Girard, PCL Construction
Transformational Leadership Model
Exhibit 12.1 Transformational Leadership Model
Features of a Shared Vision
Positive image/model of the future that energizes and unifies employees.
Effective vision features:
Describes aspirational future with higher purpose
Distant, goal, challenging objective
Abstract future state
Unifying ideal
Transformational Leadership Elements 1
1. Develop/communicate the vision
Use symbols, metaphors, stories
Frame the vision
Communicate with passion, humility, sincerity
2. Model the vision
Enact the vision (“walk the talk”)
Symbolize and demonstrate the vision
Two functions:
Legitimizes and demonstrates the vision
Builds employee trust in the leader
Transformational Leadership Elements 2
3. Encourage experimentation
Encourage questioning current practices
Support a learning orientation to
discover new practices
4. Build commitment to the vision
Commitment built from communicating,
modelling, and encouraging experimentation
Commitment also built through rewards,
recognition, celebrations
Transformational Leadership and Charisma
Transformational leaders are not necessarily charismatic; charismatic leaders are not necessarily transformational.
Leadership source:
Charismatic leadership – personal trait, referent power
Transformational leadership – set of leader behaviours
Effect on followers:
Charismatic leadership –followers dependent on leader’s referent power
Transformational leadership – followers empowered through leader’s vision, modelling, learning orientation
Risk that leaders become intoxicated by their charisma.
Evaluating Transformational Leadership
Transformational leaders make a difference.
Higher satisfaction, commitment, performance, OCBs, decisions, creativity
Transformational leadership limitations:
Circular logic
Mixed models (mixes behaviour with attributes)
Universal theory
Managerial Leadership
Effective leaders help employees improve performance and well-being toward current objectives and practices.
Managerial leadership vs. transformational leadership:
Stability versus change
Micro/concrete focus versus macro/abstract focus
Transformational and managerial leadership are interdependent.
AzmanJaka/Getty Images
Task versus People Leadership Styles
Task-oriented behaviours:
Assign tasks, clarify responsibilities
Set goals and deadlines, provide feedback
Establish work procedures, plan future work
People-oriented behaviours:
Show interest in others as people, recognize needs
Listen to employee opinions/ideas
Make workplace pleasant
Recognize employee contributions
Both styles are necessary, but have different effects.
Servant Leadership
Serving followers toward their need fulfilment, personal development, and growth.
Selfless, egalitarian, humble, nurturing, empathetic, ethical coaches.
Servant leader characteristics:
Natural calling to serve others
Humble, egalitarian, accepting
Ethical decisions and actions
AzmanJaka/Getty Images
Path-Goal Leadership
Contingency model
Best style depends on employee and situation
Leaders vary styles to:
Clarify P-to-O expectancies
Influence outcome valences
Facilitate goal achievement
Four path-goal leadership styles:
Directive
Supportive
Participative
Achievement-oriented
Path-Goal Leadership Model
Access the text alternate for image.
Exhibit 12.3 Path-Goal Leadership Model
Leadership Substitutes
Identifies conditions that limit a leader’s influence or make a particular leadership style unnecessary.
Task-oriented leadership substitutes
Performance rewards, training employees, co-worker guidance, team norms, etc.
People-oriented leadership substitutes
Supportive co-workers, enjoyable work, employee’s effective stress coping skills, etc.
Research evidence
Substitutes help, but don’t completely replace leaders
Implicit Leadership Perspective
Follower perceptions of effective leaders
1. Leadership prototypes
Preconceived beliefs about the features and behaviours of effective leaders
Favourable evaluation to leaders who fit the prototype
2. Romance of leadership effect
Distort leader’s perceived effect on firm’s success
Reason 1: Simpler explanation of firm’s events
Reason 2: Need for situational control
Personal Attributes of Effective Leaders 1
Personality
Extroversion, conscientiousness, but other Big Five factors also predict
Self-concept
Complex, internally consistent, clear self-view as a leader
Positive self-evaluation
Leadership motivation
Motivated to lead others
Strong need for socialized power
Drive
Initiative, tenacity, ambition, energy, need for achievement
Inquisitiveness, action-oriented, boldness
Personal Attributes of Effective Leaders 2
Integrity
Strong moral principles -- truthfulness, consistent words/actions
Model ethical conduct and signal followers to do same
Apply personal values
Knowledge of the business
Understand firm’s environment
Understand firm’s internal workings
Cognitive and Practical Intelligence
Above average cognitive ability to analyze choices/opportunities
Practical intelligence
Emotional Intelligence
Recognize/regulate emotions in self and others
Authentic Leadership
Know yourself
Engage in self-reflection
Receive feedback from trusted sources
Understand inner purpose
Be yourself
Develop your own style
Self-discipline – anchor around personal values
Maintain a strong, positive self-evaluation
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Leader Attributes Perspective Limitations
Assumes a universal list of traits.
Different attribute combinations may be equally good.
Within person view, but leadership is relational.
Link between attributes and effective leadership is muddied by implicit leadership.
Attributes indicate only leadership potential, not performance.
Cultural and Gender Issues in Leadership
Societal cultural values and practices:
Shape leader’s values/norms
Shape follower prototype of effective leaders
Male-Female Issues in Leadership
Similar task- and people-oriented leadership across genders
Female leaders use more participative leadership
Women perform better on emerging leadership, but gender stereotypes affect followers evaluation of female leaders