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on 13 September 2013

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Transcript of Leadership

Leadership Theories
Trait Theory/Great Man (Woman)
– assumes the leader is different from the average person in terms of personality traits such as intelligence, perseverance, and ambition.
Nature of Leadership
Theories of Leadership
Strengths/Advantages of Trait Theory

• It is naturally pleasing theory.
• It is valid as lot of research has validated the foundation and basis of the theory.
• It serves as a yardstick against which the leadership traits of an individual can be assessed.
• It gives a detailed knowledge and understanding of the leader element in the leadership process.

Limitations of The Trait Theory
• There is bound to be some subjective judgment in determining who is regarded as a ‘good’ or ‘successful’ leader
• The list of possible traits tends to be very long. More than 100 different traits of successful leaders in various leadership positions have been identified. These descriptions are simply generalities.
• There is also a disagreement over which traits are the most important for an effective leader
• The model attempts to relate physical traits such as, height and weight, to effective leadership. Most of these factors relate to situational factors. For example, a minimum weight and height might be necessary to perform the tasks efficiently in a military leadership position. In business organizations, these are not the requirements to be an effective leader.
• The theory is very complex

The ability of a superior to influence the behavior of subordinates and persuade them to follow a particular course of action. (Chester Barnard 1938)
Leadership is a major way in which people change the minds of others and move organizations forward to accomplish identified goals.

Presented by: Cindy S. Bautista

Legitimate power (sometimes called authority or formal power)
is that which is derived from the person's position in the organization.

Reward power
is based on the individual's ability to reward desirable behavior. It stems partly from legitimate power.

Coercive power
is the opposite of reward power, and is based on the ability of the individual to sanction (punish) or prevent someone from obtaining desirable rewards.

Personal Power
Sources of Power
Among the core traits identified are:

Achievement drive
: High level of effort, high levels of ambition, energy and initiative

Leadership motivation
: an intense desire to lead others to reach shared goals

Honesty and integrity
: trustworthy, reliable, and open

: Belief in one’s self, ideas, and ability

Cognitive ability:
Capable of exercising good judgment, strong analytical abilities, and conceptually skilled

Knowledge of business:
Knowledge of industry and other technical matters

Emotional Maturity:
well adjusted, does not suffer from severe psychological disorders.

charisma, creativity and flexibility

Effective leadership is the key factor
in the life and success of an organization
Leadership transforms potential into reality
Leadership is the ultimate act which brings to success all of the potent potential that is in an organization and its people.
Leaders propose new paradigms when the old ones lose their effectiveness
Development of Leadership Theory
Until approximately 1930, there was not much academic
interest in the area of leadership
Frederick Taylor- Scientific Management (time/motion studies
of productivity) late 1800's
Max Weber- (writing on bureaucracy) a leader possessed power by virtue of his position (1922)
Mary Parker Follett- participatory management
in "power with" as opposed to "power over"

– People are born with inherited traits.
– Some traits are particularly suited to leadership.
– People who make good leaders have the right (or sufficient) combination of traits.

mplications of Trait Theory

• The trait theory gives constructive information about leadership.
• It can be applied by people at all levels in all types of organizations.
• Managers can utilize the information from the theory to evaluate their position in the organization and to assess how their position can be made stronger in the organization.
• They can get an in-depth understanding of their identity and the way they will affect others in the organization.
• This theory makes the manager aware of their strengths and weaknesses and thus they get an understanding of how they can develop their leadership qualities.

Successful leaders definitely have interests, abilities, and personality traits that are different from those of the less effective leaders. Through many researchers conducted in the last three decades of the 20th century, a set of core traits of successful leaders have been identified. These traits are not responsible solely to identify whether a person will be a successful leader or not, but they are essentially seen as preconditions that endow people with leadership potential.
The traits approach gives rise to questions: whether leaders are born or made; and whether leadership is an art or science. However, these are not mutually exclusive alternatives. Leadership may be something of an art; it still requires the application of special skills and techniques. Even if there are certain inborn qualities that make one a good leader, these natural talents need encouragement and development. A person is not born with self-confidence. Self-confidence is developed, honesty and integrity are a matter of personal choice, motivation to lead comes from within the individual, and the knowledge of business can be acquired. While cognitive ability has its origin partly in genes, it still needs to be developed. None of these ingredients are acquired overnight.

Effective leadership is the key factor
in the life and success of an organization
Leadership transforms potential into reality

Behavioral Theory
- this theory concentrate on what leaders actually do rather than on their qualities. Different patterns of behavior are observed and categorized as 'styles of leadership'. This area has probably attracted most attention from practicing managers.

– Leaders can be made, rather than are born
– Successful leadership is based in definable, learnable behavior

–Behavioral theories do not seek inborn traits – they look at what leaders actually do
-Success can be defined in terms of describable actions

-Leadership capability can be learned

Advantages of Behavioral Theory of Leadership:

• Behavioral theory promotes the value of leadership styles with an emphasis on concern for people and collaboration.
• It promotes participative decision making and team development by supporting individual needs and aligning individual and group objectives.
• It helps managers evaluate and understand how their behavioral style as a manager affects their relationship with the team and promotes commitment and contribution towards organizational goals.
• This theory helps managers find the right balance between different styles of leadership, and helps them decide how to behave as a leader, depending on concerns for people and for productivity.

Situational/Contingency Theory-
A critical examination and analysis of the categories of situational leadership theories and that of contingency leadership approaches show that both categorizes are characterized by at least four common features. These are:
• Both categories are extension of behavioral group of leadership models.
• They contend that there is no one best or right way of successfully leading a group or an organization
because a leadership style that is effective in one situation may be ineffective or a total failure in another situation
• A successful leader in a given situation may become a failure in the same position in the same organization when factors around the situation change.
• They assume that the effectiveness of leadership styles are determined by factors internal and external to the organization, within the leader and employees or followers and the leaders skills and the maturity levels of followers.

According to Syque (2007), situational theories tend to focus more on the behaviors that the leader should adopt, given the followers‟ behavior, whereas contingency theories take a broader perspective that include situational factors about leader skills and capability and other variables within the given situation.

Situational theories
presume that leadership style is relatively flexible, and indeed flexible enough for a leader to move along a continuum front and back so as to enable him/her cope with different situations. In effect, the situational category of leadership theories claim that it is possible for a dictator or task oriented leader to change his style to become a democratic or employee oriented leader, as the situation changes.
Contingency leadership

theories are based on the premise that leadership styles are fairly rigid or relatively inflexible. Therefore, it is very difficult, if not impossible, for a dictator or a task oriented leader to change his / her style to becoming a participative or employee oriented leader.
Examples of Situational Leadership Model

Tannenbaum and Schmidt’s Leadership Continuum Model.

Example of Contingency Theory
Fiedler’s Contingency Theory of Leadership Effectiveness

Transformational leadership
may be found at all levels of the organization: teams, departments, divisions, and organization as a whole. Such leaders are visionary, inspiring, daring, risk-takers, and thoughtful thinkers. They have a charismatic appeal. But charisma alone is insufficient for changing the way an organization operates. For bringing major changes, transformational leaders must exhibit the following four factors:
Implications of Transformational Leadership Theory
The current environment characterized by uncertainty, global turbulence, and organizational instability calls for transformational leadership to prevail at all levels of the organization. The followers of such leaders demonstrate high levels of job satisfaction and organizational commitment, and engage in organizational citizenship behaviors. With such a devoted workforce, it will definitely be useful to consider making efforts towards developing ways of transforming organization through leadership.

• The common examples of transformational leaders are Mahatma Gandhi and Obama.
Criticisms of Transformational Leadership Theory
• Transformational leadership makes use of impression management and therefore lends itself to amoral self-promotion by leaders
• The theory is very difficult to be trained or taught because it is a combination of many leadership theories.
• Followers might be manipulated by leaders and there are chances that they lose more than they gain.

Positional Power

Expert power
derives from having knowledge that is valued by the organization or individuals with whom the person interacts.

Referent power
results when the individual engenders admiration, loyalty and emulation to the extent that the person gains the power to influence other. Charismatic leaders have referent power.

Connection power
is more commonly referred to as "networking" these days. It is who you know, vertically and horizontally, both within and outside the organization.

Information power
is a power that can be either personal or positional. A manager should have more information power than his or her direct reports but it isn't always the case

Words of Harry Truman..."when your term of public office is over you put away the tools (power) the public has given you since the tools are not for your personal use but rather to help you do your job.

Managers think they are the power in much the same way that politicians believe they have the power rather than the "tools" to do their job. When managers think they have positional power because of who they are rather than the position they hold in the organization, they are headed for trouble.
is a neutral tool which can be used for positive or negative outcomes. When power is treated as an opportunity to do good for others and the organization, everyone benefits. In many respects power is like love, the more it is shared, the more it grows. Many managers have trouble sharing power for fear they are giving away a scarce resource and once power is given away it is lost.
IOSR Journal of Business and Management (IOSR-JBM)
ISSN: 2278-487X. Volume 4, Issue 3 (Sep-Oct. 2012), PP 13-17

The Leadership Challenge, 4th Edition
James M. Kouzes, Barry Z. Posner
August 2007 , Jossey‐Bass
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