Chapter 17: Leadership


Someone who can influence others and who has managerial authority


A process of influencing a group to achieve goals
Typically, people think of it as:
-Only those in designated leader position
-Influence exercised
*Specific goal attainment
-Voluntary compliance of followers
Anyone can exhibit acts of leader

Effective leadership

Influence that assists an organization to meet its goals and perform successfully
Effective leaders
-Enable people to accomplish more than if there had been no such leadership
-Unlock other people's potential

Leaders vs. Managers

-"Doing the right things"
-Focus on vision, mission, and goals
-"Doing things right"
-Focuses on preserving the status quo

Trait Theories of Leadership

Great men alter the course of history
-Medieval hierarchy
-Evolutionary theory
Early 20th century found some relationships
-Physical: height, weight, and physique
-Health: better than average health and high levels of energy
-Communication: fluency, tone

Exceptions to rule

Emotional Intelligence
-Just like cognitive intelligence about mood and emotions
-EQ is the awareness and ability to manage the emotions of oneself and others
-Requires: self-awareness, self-regulation, motivation, empathy, social skill
Drive- high effort

Behavioral theories

Leadership theories that identify behaviors that differentiate effective leaders from ineffective leaders

University of Iowa studies

Identified three leadership styles

Ohio State/Michigan studies

Two general forms:
Task-oriented/Initiating structure
-Clarify work duties
-Assigns employees to work
-Ensure rule compliance
-Push for performance
People oriented/Consideration
-Shows mutual trust
-Respect for subordinates
-Genuine concern

Autocratic style

A leader who dictates work methods, makes unilateral decisions, and limits employee participation

Democratic style

A leader who involves employees in decision making, delegates authority, and uses feedback as an opportunity for coaching employees

Laissez-faire style

A leader who lets the group make decisions and complete the work in whatever way it sees fit

Initiating structure

The extent to which a leader defines his or her role and the roles of group members in attaining goals


The extent to which a leader has work relationships characterized by mutual trust and respect for group members' ideas and feelings

High-high leader

A leader high in both initiating structure and consideration behaviors

Fiedler contingency model

A leadership theory proposing that effective group performance depends on the proper match between a leader's style and the degree to which the situation allows the leader to control and influence

Least-preferred coworker (LPC) questionnaire

A questionnaire that measures whether a leader is task or relationship oriented

Leader-member relations

One of Fiedler's situational contingencies that describes the degree of confidence, trust, and respect employees have for their leader

Task structure

One of Fiedler's situational contingencies that describes the degree to which job assignments are formalized and structured

Position power

One of Fiedler's situational contingencies that describes the degree of influence a leader has over activities such as hiring, firing, discipline, promotions, and salary increases


The extent to which people have the ability and willingness to accomplish a specific task

Path-goal theory

A leadership theory that says the leader's job is to assist followers in attaining their goals and to provide direction or support needed to ensure that their goals are compatible with the goals of the group or organization
1. Clarifying the path
2. Clear

Problems with Contingency

-Only one style at a time is simplistic
-No strong empirical consensus
-Narrow definition of leadership effectiveness
-Leadership process much more complex than this
-Ignores affective component

Leadership and Power

-Power is the capacity or ability to influence or avoid influence
-Leaders may use power well, poorly, or not at all. May not know how to use it or when to use it

Leader-member exchange theory (LMX)

The leadership theory that says leaders create in-groups and out-groups and those in the in-group will have higher performance ratings, less turnover, and greater job satisfaction

Transactional leaders

Leaders who lead primarily by using social exchanges (or transactions)

Transformational leaders

Leaders who stimulate and inspire (transform) followers to achieve extraordinary outcomes
Transformational facets
-Inspirational motivation
-Idealized influence
-Intellectual stimulation
-Individual consideration

Charismatic leader

An enthusiastic, self-confident leader whose personality and actions influence people to behave in certain ways

Visionary leadership

The ability to create and articulate a realistic, credible, and attractive vision of the future that improves upon the present situation

Legitimate power

The power a leader has as a result of his or her position in the organization
-Rank, but can be undermined if rank isn't deserved

Coercive power

The power a leaser has to punish or control
-Administer punishment
-Can be subtly used by lower level employees on managers

Reward power

The power a leader has to give positive rewards
-Strong source of power

Expert power

Power that's based on expertise, special skills, or knowledge
-Available at all levels of the org
-Required for a great leader

Referent power

Power that arises because of a person's desirable resources or personal traits
-Based in admiration
-Incidental and hard to use purposefully

Use of power

-Power can be exhausted
-Expert and referent have the lowest costs
-Coercive has the highest interpersonal costs
-Combined use of power is most effective
-Use influence traits

Inspirational Motivation

Involves 3 concepts:
-Motivation: provides energy and direction that fuels action
-Evocation: inspiration cannot be forced, only evoked
-Transcendence: inspiration comes from an appreciation of beauty and excellence that allows them to rise above the ordi

How to: Inspirational Motivation

Talk optimistically about the future
-President Obama's hope, change and brighter future
-Motivates by eliciting a positive psychological state which is intrinsically motivating
Talk enthusiastically about what needs to be accomplished
-Particularly in di

Idealized Influence

Idealized influence involves being a positive role model that exemplifies high levels of moral/ethical and performance standards
-Moral/ethical: hold and display character strengths and virtues valued by society
-Put your group's interests ahead of your o

How to: Idealized Influence

Talk about your values and beliefs
-In order to be a role model, your followers need to know what they're following
-Shows that you're a real person
Talk about importance of trusting each other
-Followers who feel that they can trust their leader tend to


The belief in the integrity, character, and ability of a leader
Willingness to be vulnerable to the actions of others, without the ability to monitor their actions
Trustworthiness is composed of:
-Ability: Technical and interpersonal competence. Do I beli

Individualized Consideration

Dealing with others as individuals and considering their needs, abilities and aspirations as you work together to further their development
-Be empathetic
-Understand what they are about
-Be developmentally focused by encouraging continuous improvement

How to: Individualized Consideration

People have different needs, abilities and aspirations
Treat others as individuals rather than a member of a group
Listen attentively to others' concerns
Help others develop
Spend time teaching and coaching
Promote self-development
Empowerment and depende

Intellectual Stimulation

Intellectual stimulation allows for breakthrough strategy and unequaled innovation.
-Rational thinking
-Freedom to fail
Forces followers to exert cognitive energy

How to: Intellectual Stimulation

Reexamine critical assumptions
-Are the operating policies and procedures in your business still valid?
*Changes to context, internal structure, technology
-Major breakthroughs in innovation can come at the questioning of assumptions
-New models of organi


The degree to which followers perceive someone as honest, competent, and able to inspire