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human relations in organizations (10/e): part 2. (bq) part 2 book human relations in organizations has contents: leading and trust, motivating performance; team dynamics, creativity and problem solving, and decision making; organizational change and culture; valuing diversity globally,... and other contents.
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human relations in organizations (10/e): part 2. (bq) part 2 book human relations in organizations has contents: leading and trust, motivating performance; team dynamics, creativity and problem solving, and decision making; organizational change and culture; valuing diversity globally,... and other contents..
Leadership Skills: Influencing Others
7 Leading and Trust
8 Motivating Performance
9 Ethical Power, Politics, and Etiquette 10 Networking and Negotiating
C H A P T E R 7
Leading and Trust
L E A R N I N G O U T C O M E S
After completing this chapter, you should be able to:
LO 7-1 Explain what leadership is and how it affects
behavior, human relations, and performance.
LO 7-7 Define the following 14 key terms (in order of
appearance in the chapter):
LO 7-2 Describe leadership trait theory.
LO 7-3 List and describe three behavioral leadership theories.
LO 7-4 List and describe three contingency leadership theories.
LO 7-5 Explain four situational supervisory styles.
LO 7-6 Briefly describe the five dimensions of trust.
leadership trait theory behavioral leadership
theories Leadership Grid
contingency leadership theories
contingency leadership theory
normative leadership theory
situational leadership autocratic style (S-A) consultative style (S-C) participative style (S-P) laissez-faire style (S-L) trust
/ / / Mike Templeton is a branch manager at the Northwest Bank. Mike has authority over subordinates to make decisions regarding hiring and firing, raises, and promotions. Mike gets along well with his subordi-nates. The branch atmosphere is friendly. His boss has asked for a special report about the loans the branch has made so far this year. Mike could have done the report himself, but he thought it would be better to delegate the task to one of the three loan oficers. After thinking about the qualifications of the three loan oficers, Mike selected Jean. He called her into his ofice to talk about the assignment.
mike: Hi, Jean, I’ve called you in here to tell you that I’ve selected you to do a year-to-date loan report for the branch. It’s not mandatory; I can assign the report to someone else. Are you interested?
jean: I don’t know; I’ve never done a report before.
mike: I realize that, but I’m sure you can handle it. I selected you because of my faith in your ability.
jean: Will you help me?
mike: Sure. There is more than one way to do the report. I can give you the details on what must be included in the report, but you can use any format you want, as long as
I approve it. We can discuss the report now; then as you work on it, you can come to me for input. I’m confident you’ll do a great job. Do you want the assignment?
jean: OK, I’ll do it.
Together, Mike and Jean discuss how she will do the report.
What leadership style would you use to get the report done? This chapter explains 10 leadership
theories. Each will be applied to the loan report. / / /
Chapter 7 Leading and Trust 201
In Part 1 (Chapters 1 to 4) we focused on developing intrapersonal skills, and in Part 2 (Chapters 5 to 6) we built on those skills to develop interpersonal skills. We are now in Part 3, so we turn to developing leadership skills, which are clearly based on intraper-sonal and interpersonal skills. These three skills form a natural, overlapping develop-mental sequence.
Learning Outcome 7-1
Explain what leadership is and how it affects
behavior, human relations, and performance.
HOW LEADERSHIP AFFECTS BEHAVIOR, HUMAN RELATIONS, AND PERFORMANCE
Leadership is the process of influencing employees to work toward the achievement of objectives. The essence of leadership in organizations is influencing and facilitating individual and collective efforts to accomplish objectives.1 Leadership is about people and relationships.2 Your leadership style is based on your behavior, which in turn affects your human relations. An autocratic leadership style in which you just tell employees what to do, versus being a participative leader and including employees in the management process, clearly results in different behavior and human relations. The differences will be explained in more detail throughout the chapter.
Leadership remains one of the most consequential influencers of employee performance,3 and leadership behavior has been linked directly to bottom-line performance.4 Continuous improvement through change can only come about through effective leadership.5 Leaders improve team and organizational performance through influencing the processes that determine success.6 Leadership is the most crucial skill you have in business, as it will set you apart.7
Leadership and Management Are Not the Same People tend to use the terms manager and leader interchangeably. However, that usage is not correct. Management and leadership are related but different concepts.8 Leadership is one of the five management functions (planning, organizing, staffing, leading, and controlling), and leadership is critical to management success.9 Someone can be a manager without being a true leader. There are managers—you may know of some—who are not leaders because they do not have the ability to influence others. There are also good leaders who are not managers. The infor-mal leader, an employee group member who takes charge, voices issues, and initiates change,10 is a case in point. You may have worked in a situation where one of your peers had more influence in the department than the manager.
Our definition of leadership does not suggest that influencing employees is the task of the manager alone; employees do influence other employees. Anyone can be a leader within any group or department, and everyone in a team is expected to be a leader,11 and companies need a rich bench of leadership talent.12 Thus, regardless of your position, you are expected to share leadership.
WORK APPLICATION 7-1
Give detailed reasons why leadership skills are important to a specific organization.
Theory and Application Leadership is a topic of great interest to researchers and prac-titioners alike,13 as it is a key issue to both.14 But some people like leadership theories and want to know about them and the history of leadership, while others just want the practical, “how to lead” material. In this chapter, we provide both. In the first three major sections we provide the history of leadership theory based on the three schools of leadership: trait, behavioral, and contingency. Then in the fourth section, based on the theories, we provide situational supervision that explains how to select the most appropriate leadership style for a given situation. So you can put your focus on one or the other, or both.
For years researchers have been trying to answer these questions: “What does it take to be an effective leader?” and “What is the most effective leadership style?” There is no universal agreement about the answers to these questions. We will now turn to a chronological review of how researchers have tried to answer these questions. After studying the major leadership theories, you can select the one you like best, combine some, or develop your own.
202 Part Three Leadership Skills: Influencing Others
Learning Outcome 7-2
Describe leadership trait theory.
LEADERSHIP TRAIT THEORY
In the early 1900s, an organized approach to studying leadership began. The early studies were based on the assumption that leaders are born, not made. Researchers wanted to identify a set of characteristics, or traits, that distinguished leaders from followers or effective from ineffective leaders. Leadership trait theory assumes that there are distinctive physical and psychological characteristics accounting for leadership effectiveness. In fact, personality traits do affect leadership style.15 Researchers ana-lyzed traits, or qualities, such as appearance, aggressiveness, self-reliance, persuasive-ness, and dominance in an effort to identify a set of traits that all successful leaders possess. The list of traits was to be used as a prerequisite for the promotion of candi-dates to leadership positions. Only candidates possessing all the identified traits were to be given leadership positions.
Inconclusive Findings: In 70 years, more than 300 trait studies were conducted. However, no one has come up with a universal list of traits that all successful leaders possess. In all cases, there were exceptions. Indeed, if leaders were simply born and not made (in other words, if leadership skills could not be developed), there would be no need for courses in management and human relations.16
The Ghiselli Study
Probably the most widely publicized trait theory study was conducted by Edwin Ghiselli.17 His study concluded that there are traits important to effective leadership, though not all are necessary for success. Ghiselli identified the following six traits, in order of impor-tance, as being significant traits for effective leadership: (1) supervisory ability, (you will develop these skills in this course); (2) need for occupational achievement; (3) intelligence; (4) decisiveness; (5) self-assurance; and (6) initiative.
/// In the opening case, Mike appears to have supervisory ability. He is getting the job done through Jean, using the supervisory process. Based on the case, one can-not determine whether Mike has the other five traits. ///
WORK APPLICATION 7-2
What are your views on leadership trait theory? Recall a manager you have now or have had in the past. Which of Ghiselli’s six traits does or did the person have? Which traits does or did the person lack?
Even though it is generally agreed that there is no universal set of leadership traits or qualities, people continue to study and write about leadership traits being important.18 The Big Five personality does have a preferred leadership profile, with high surgency and conscientiousness being positively related to successful leadership and high agree-ableness and low adjustment being negatively related to leadership success.19 In a survey 782 top executives were asked, “What are the most important traits for success as a supervisor?”20 Before the results are revealed, complete Self-Assessment Exercise 7-1 to determine whether you have the qualities necessary to be a successful leader.
/ / / Self-Assessment Exercise 7-1 / / /
Your Leadership Traits
Select the response that best describes the frequency of your actual behavior. Place the number 1 to 5 on the line before
each statement. Almost always
1. I am trustworthy. If I say I will do something by a set time, I do it.
2. I am loyal. I do not do or say things that hurt my friends, relatives, coworkers, boss, or others.
Chapter 7 Leading and Trust 203
/ / / Self-Assessment Exercise 7-1 / / / (continued )
3. I can take criticism. If people tell me negative things about myself, I give them serious thought and change when appropriate.
4. I am honest. I do not lie, steal, cheat, or the like.
5. I am fair. I treat people equally. I don’t take advantage of others. 6. I want to be successful. I do things to the best of my ability.
7. I am a self-starter. I get things done without having to be told to do them.
8. I am a problem solver. If things aren’t going the way I want them to, I take corrective action to meet my objectives. I don’t give up easily.
9. I am self-reliant. I don’t need the help of others.
10. I am hardworking. I enjoy working and getting the job done.
11. I enjoy working with people. I prefer to work with others rather than work alone. 12. I can motivate others. I can get people to do things they may not really want to do. 13. I am respected. People enjoy working with me.
14. I am cooperative. I strive to help the team do well, rather than to be the star. 15. I am a leader. I enjoy teaching, coaching, and instructing people.
To determine your score, transfer the numbers 1 to 5 that represent your responses below. The column headings represent the trait or quality listed in each statement. Total each column; then add those numbers to determine the grand total.
Integrity 1. 2. 3. 4. 5.
7. 8. 9. 10.
Ability to Get Along with People 11.
12. 13. 14. 15.
Total Grand Total
Your total for each column will range from 5 to 25, and your grand total will range from 15 to 75. In general, the higher your score, the better your chances of being a successful manager. If you are interested in being (or are) a manager, you can work on improving your integrity, industriousness, and ability to get along with others. As a start, review the list of traits. In which were you strongest? Weakest? Set objectives and develop plans to improve.
Communication Skills Refer to CS Question 1.
Learning Outcome 7-3
List and describe four behavioral leadership theories.
Answers to the survey revealed integrity, industriousness, and the ability to get along with people (human relations skills) as the three most important traits for success.
BEHAVIORAL LEADERSHIP THEORIES
By the late 1940s, most of the leadership research had switched from trait theory to a focus on the leader’s behavior. In the continuing quest to find the one best leadership style in all situations, thousands of studies have been conducted21 in an attempt to identify the differences in the behavior of effective leaders versus ineffective leaders. Behavioral leadership theories assume that there are distinctive styles that effective leaders use consistently; that is, that good leadership is rooted in behavior.
In this section you will learn about two-dimensional leadership styles, the Leader-ship Grid, and transformational, charismatic, transaction, and servant leadership and stewardship.
204 Part Three Leadership Skills: Influencing Others
Two-Dimensional Leadership Styles
Structuring and Consideration Styles In 1945, Ohio State University began a study to determine effective leadership styles. In their attempt to measure leadership styles, the researchers developed an instrument known as the Leader Behavior Description Questionnaire (LBDQ). Respondents to the questionnaire perceived their leaders’ behavior toward them on two distinct dimensions22:
• Initiating structure. The extent to which the leader takes charge to plan, organize, direct, and control as the employee performs the task.
• Consideration. The extent to which the leader communicates to develop trust, friendship, support, and respect.
Job-Centered and Employee-Centered Styles At approximately the same time the Ohio State studies began, the University of Michigan’s Survey Research Center began leadership studies. Researchers at Michigan identified the same two dimensions, or styles, of leadership behavior. However, they called the two styles by different names23:
• Job-centered. This is the same as initiating structure. • Employee-centered. This is the same as consideration.
Communication Skills Refer to CS Question 2.
Leadership Styles Different combinations of the two dimensions of leadership result in four leadership styles, illustrated in Exhibit 7.1.
/// In the opening case, Mike is using the high-consideration (employee-centered) and low-structure (job-centered) style, box 3, because he is telling Jean what needs to be in the report, but how she does the report is up to her. Mike also offers supportive statements. ///
The Leadership Grid
Robert Blake and Jane Mouton developed the Managerial Grid. It became the Lead-ership Grid, with Anne Adams McCanse replacing Mouton.24
EXHIBIT 7.1 | Two-Dimensional Leadership
High consideration High structure
O State University (OSU)
of M Job-Centered Employee-Centered (U of M)
Chapter 7 Leading and Trust 205
A P P L I C A T I O N S I T U A T I O N S / / /
Two-Dimensional Leadership Styles AS 7-1
Using Exhibit 7.1, identify the behavior by its quadrant:
A. 1 B. 2 C. 3 D. 4
1. “Get back to work now. The break is over.”
2. “This is a complex task, and you’re new. I’ll work with you until you get the hang of it. Here is a demonstration of the task . . .”
3. “I know you can complete the report. You’re just not too sure of yourself because you never did one before. Try it on your own, and if you have a problem I will help you.”
4. “Jose, I want you to clean the work area. It’s your turn; you haven’t done it for quite awhile.”
5. “I will let you select the new computer without my input.”
The Leadership Grid is based on the two leadership dimensions called concern for production and concern for people. The Leadership Grid is Blake and Mouton’s model identifying the ideal leadership style as having a high concern for both production and people. The model, shown in Exhibit 7.2, identifies five major styles:
The impoverished manager (1,1). This leader has low concern for both production and people. The leader does the minimum required.
The sweatshop manager (9,1). This leader has a high concern for production and a low concern for people. The leader uses position power to coerce employees to do the work.
The country club manager (1,9). This leader has a high concern for people and a low concern for production. The leader strives to maintain good relations.
EXHIBIT 7.2 | The
Leadership Grid High 9 1,9 9,9