08 Langton Fob 3ce ch08

Chapter 8
Leadership
Chapter 8, Nancy Langton and Stephen P. Robbins, Fundamentals of Organizational Behaviour, Third Canadian Edition 8-1
Copyright © 2007 Pearson Education Canada
Chapter Outline
• Are Managers and Leaders the Same?

• Leadership as Supervision
• Inspirational Leadership
• Dispersed Leadership: Spreading Leadership
Throughout the Organization
• Leading One’s Self
• Contemporary Issues in Leadership
Leadership
1. What is the difference between a manager and a leader?
2. Are there specific traits, behaviours, and situations that
affect how one leads?
3. How does a leader lead with vision?
4. Can a person be an informal leader?
5. What is self-leadership?
6. What are some of the contemporary issues in leadership?
Leadership
• The ability to influence a group toward the

achievement of goals.
Exhibit 8-1 Distinguishing Leadership
from Management
Management Leadership
1. Engages in day-to-day caretaker activities: 1. Formulates long-term objectives for reforming the
Maintains and allocates resources system: Plans strategy and tactics
2. Exhibits supervisory behaviour: Acts to make 2. Exhibits leading behaviour: Acts to bring about
others maintain standard job behaviour change in others congruent with long-term objectives
3. Administers subsystems within organizations
4. Asks how and when to engage in standard practice 3. Innovates for the entire organization
5. Acts within established culture of the organization 4. Asks what and why to change standard practice
6. Uses transactional influence: Induces compliance 5. Creates vision and meaning for the organization
in manifest behaviour using rewards, sanctions, 6. Uses transformational influence: Induces change in
and formal authority values, attitudes, and behaviour using personal
7. Relies on control strategies to get things done by examples and expertise
subordinates 7. Uses empowering strategies to make followers
8. Status quo supporter and stabilizer internalize values
8. Status quo challenger and change creator
Source: R. N. Kanungo, “Leadership in Organizations: Looking Ahead to the 21st Century,” Canadian Psychology 39, no. 1-2 (1998), p. 77.
Leadership as Supervision
• Three general questions:

– Is there a particular set of traits that all leaders
have, making them different from nonleaders?
– Are there particular behaviours that make for
better leaders?
– How much impact does the situation have on
leaders?
Trait Theories
• Traits are characteristics of the person:
– Physical characteristics
– Abilities
– Personality traits
• Traits consistently associated with leadership:
– Ambition and energy
– The desire to lead
– Honesty and integrity
– Self-confidence
– Intelligence
– Job-relevant knowledge
Emotional Intelligence and Leadership
• EI is the best predictor of who will emerge as a leader.
• IQ and technical skills are “threshold capabilities.”
– They’re necessary but not sufficient requirements for
leadership.
• Leaders need self-awareness, self-management, self-
motivation, empathy, and social skills to become a star
performer.
– These are the components of EI.
Exhibit 8-2 What CEOs Identify as Key
Leadership Traits
Quality CEOs Rating It Most Important (%)
Communication skills 52
Ability to motivate people 47
Honesty 34
Ability to listen 25
Team-building expertise 24
Analytical skills 19
Aggressiveness in business 10
Source: Survey conducted by American Express for the National Quality Institute. Reported in R. Nutt, “Survey Finds Leadership Key,” Vancouver Sun, June 1, 2000, p. D6.
Exhibit 8-3 Leadership Attributes: A
Cross-Cultural View
Leader Attributes Universally Leader Attributes Universally Leader Attributes Over Which
Liked Disliked There Was Most Disagreement
Trustworthy Noncooperative Subdued

Dynamic Irritable Intragroup conflict avoider
Motive arouser Egocentric Cunning
Decisive Ruthless Sensitive
Intelligent Dictatorial Provocateur
Dependable Loner/self-centred Self-effacing
Plans ahead Willful
Excellence oriented
Team builder
Encouraging
Source: D. N. Den Hartog, R. J. House, P. J. Hanges, S. A. Ruiz-Quintanilla, and P. W. Dorfman, “Culture Specific and Cross-culturally Generalizable Implicit Leadership
Theories: Are Attributes of Charismatic/Transformational Leadership Universally Endorsed?” Leadership Quarterly 10 no. 2 (Summer 1999), pp. 219-256.
Behavioural Theories of Leadership
• Propose that specific behaviours differentiate
leaders from nonleaders
– Initiating structure
• E.g., task orientation, work orientation, production
orientation
– Consideration
• Employee needs and concerns
– Examples
• Ohio Studies, Michigan Studies, Managerial Grid
Exhibit 8-4 The Managerial Grid
High 9
Country club management Team management
1,9 9,9
8 Thoughtful attention to Work accomplishment is
the needs of people for from committed people
satisfying relationships who have a “common
leads to a comfortable, stake” in the
7 friendly organization organization’s purpose.
atmosphere and work This leads to relationships
tempo. of trust and respect.
Concern for people
6
Middle-of-the-road management
5,5
Adequate organizational
5 performance is possible through
balancing the necessity to get
out work with maintaining
4 morale of people at a
satisfactory level.
3 Impoverished management
Authority-obedience
1,1 9,1 Source: Reprinted by permission of
Exertion of minimum effort Harvard Business Review. Based on
Efficiency in operations an exhibit from “Breakthrough in
2 to get required work done is results from arranging Organization Development,” by R.
appropriate to sustain conditions of work in such a R. Blake, J. S. Mouton, L. B.
organization membership. way that human elements Barnes, and L. E. Greiner
interfere to a minimum (November-December 1964).
Low 1 degree. Copyright © 1964 by the President
and Fellows of Harvard College; all
rights reserved.
1 2 3 4 5 6 7 8 9
Low High
Concern for production
Research Findings for Behavioural
Theories
• When subordinates experience a lot of pressure because of
deadlines or unclear tasks, leaders who are people oriented will
increase employee satisfaction and performance.
• When the task is interesting or satisfying, there is less need for
leaders to be people oriented.
• When it’s clear how to perform the task and what the goals are,
leaders who are people oriented will increase employee
satisfaction, while those who are task oriented will increase
dissatisfaction.
• When people don’t know what to do, or individuals don’t have the
knowledge or skills to do the job, it’s more important for leaders to
be production oriented than people oriented.
Contingency or Situational
Leadership Theories
• Stress the importance of considering the
context when examining leadership.
– Fiedler Contingency Model
– Hersey and Blanchard’s Situational Theory
– Path-Goal Theory
– Substitutes for Leadership
Fiedler Contingency Model
• Effective group performance depends upon the proper
match between the leader’s style and the degree to
which the situation gives control to the leader.
• Least preferred co-worker (LPC) questionnaire
determined whether individuals were primarily
interested in:
– good personal relations with co-workers, and thus
relationship oriented, or
– productivity, and thus task oriented.
Fiedler Contingency Model
• Fiedler’s contingency situations:
– Leader-member relations
• Degree of confidence, trust, and respect members have for
leader.
– Task structure
• Degree to which jobs are structured.
– Position power
• Degree to which leader has control over “power”: hiring,
firing, discipline, promotions, salary.
• Fiedler assumed that an individual’s leadership style is
fixed.
Hersey and Blanchard’s Situational
Theory
• Follower: unable and unwilling
– Leader: needs to give clear and specific
directions.
• Follower: unable but willing
– Leader: needs to display high task orientation and
high relationship orientation.
Hersey and Blanchard’s Situational
Theory
• Follower: able but unwilling
– Leader: needs to use a supportive and
participative style.
• Follower: both able and willing
– Leader: a laissez-faire approach will work.
Exhibit 8-5 Hersey and Blanchard’s
Situational Leadership Theory
Leader Behaviours
(High)
g
Relationship Behaviour
tin Se
c i pa llin
rti g
Pa
S3 S2
ng Te
gat i llin
le g
De
S4 S1
(Low) Task behaviour (High)
Follower Readiness
R4 R3 R2 R1
Able and Unable and
Able and Unable and
unwilling/ unwilling/
willing willing
apprehensive insecure
High Moderate Low
Path-Goal Theory of Leadership
• A theory that says it’s the leader’s job to assist

followers in reaching their goals and to provide
the necessary direction and/or support to
ensure that their individual goals are
compatible with the overall goals.
Path-Goal Guidelines to Be An
Effective Leader
• Determine the outcomes subordinates want.
– e.g., good pay, job security, interesting work, and autonomy to
do one’s job, etc.
• Reward individuals with their desired outcomes when they
perform well.
• Be clear with expectations.
– Let individuals know what they need to do to receive rewards
(the path to the goal).
– Remove barriers that prevent high performance.
– Express confidence that individuals have the ability to perform
well.
Path-Goal Leadership Styles
• Directive
– Informs subordinates of expectations, gives
guidance, shows how to do tasks.
• Supportive
– Friendly and approachable, shows concern for
status, well-being, and needs of subordinates.
Path-Goal Leadership Styles
• Participative
– Consults with subordinates, solicits suggestions, takes
suggestions into consideration.
• Achievement-oriented
– Sets challenging goals, expects subordinates to perform at
highest level, continuously seeks improvement in
performance, has confidence in highest motivations of
employees.
Exhibit 8-6 Path-Goal Theory
CONTINGENCY FACTORS
Environmental
• Task Structure
• Formal Authority System
• Work Group
Leader Behaviour Outcomes
• Directive • Performance
• Achievement-oriented • Satisfaction
• Participative
• Supportive
Subordinate
• Locus of control
• Experience
• Perceived ability
Exhibit 8-7 Substitutes and
Neutralizers for Leadership
Characteristics of Individual Effect on Leadership
Experience/training Substitutes for task-oriented leadership
Professionalism Substitutes for relationship-oriented and task-oriented leadership
Indifference to rewards Neutralizes relationship-oriented and task-oriented leadership
Characteristics of Job
Highly structured task Substitutes for task-oriented leadership
Provides its own feedback Substitutes for task-oriented leadership
Intrinsically satisfying Substitutes for relationship-oriented leadership
Characteristics of organization
Explicit formalized goals Substitutes for task-oriented leadership
Rigid rules and procedures Substitutes for task-oriented leadership
Cohesive work groups Substitutes for relationship-oriented and task-oriented leadership
Source: Based on S. Kerr and J. M. Jermier, “Substitutes for Leadership: Their Meaning and Measurement,” Organizational Behavior and
Human Performance, December 1978, p. 378.
Can You Be a Better Follower?
• Ineffective followers may be more of a handicap to an

organization than ineffective leaders.
• What qualities do effective followers have?
– They manage themselves well.
– They are committed to a purpose outside themselves.
– They build their competence and focus their efforts for
maximum impact.
– They are courageous, honest, and credible.
Transactional vs. Transformational
Leadership
• Transactional leaders
– Leaders who guide or motivate their followers in
the direction of established goals by clarifying
role and task requirements.
• Transformational leaders
– Leaders who inspire followers to go beyond their
own self-interests for the good of the
organization, and have a profound and
extraordinary effect on their followers.
Exhibit 8-9 Characteristics of
Transactional Leaders
• Contingent reward
– Contracts exchange of rewards for effort, promises rewards for
good performance, recognizes accomplishments.
• Management by exception (active)
– Watches and searches for deviations from rules and standards,
takes corrective action.
• Management by exception (passive)
– Intervenes only if standards are not met.
• Laissez-Faire leader
– Abdicates responsibilities, avoids making decisions.
Source: B. M. Bass, “From Transactional to Transformational Leadership: Learning to Share the Vision,” Organizational Dynamics, Winter 1990, p. 22. Reprinted with
permission of the publisher. American Management Association, New York. All rights reserved.
Exhibit 8-9 Characteristics of
• Charisma
Transformational Leaders
– Provides vision and sense of mission, instills pride, gains respect
and trust.
• Inspiration
– Communicates high expectations, uses symbols to focus efforts,
expresses important purposes in simple ways.
• Intellectual stimulation
– Promotes intelligence, rationality, and careful problem-solving.
• Individualized consideration
– Gives personal attention, treats each employee individually,
coaches, advises.
Source: B. M. Bass, “From Transactional to Transformational Leadership: Learning to Share the Vision,” Organizational Dynamics, Winter 1990, p. 22. Reprinted with
permission of the publisher. American Management Association, New York. All rights reserved.
Charismatic Leadership
• Leadership that critically examines the status

quo with a view to developing and articulating
future strategic goals or vision for the
organization, and then leading organizational
members to achieve these goals through
empowerment strategies.
Dispersed Leadership
• Mentoring
• Providing Team Leadership
Mentoring
• Many leaders create mentoring relationships.

• A mentor is often a senior employee who sponsors
and supports a less-experienced employee (a protégé).
• The mentoring role includes:
– Coaching
– Counselling
– Sponsorship
Providing Team Leadership
• Leading teams requires new skills.

– e.g., patience to share information, trust others, give up
authority, and knowing when to intervene.
• Leading teams requires new roles.
– Liaisons with external constituencies
– Troubleshooters
– Conflict managers
– Coaches
Team Leaders
• Team leaders need to focus on two priorities:
– Managing the team’s external boundary
– Facilitating the team process
• Four specific roles:
– Liaisons with external constituencies.
– Troubleshooters
– Conflict managers
– Coaches
Factors Calling for Self-Leadership
• Reduced levels of supervision

• Offices in the home
• Teamwork
• Growth in service and professional
employment where individuals are often
required to make decisions on the spot
How Do Leaders Create
Self-Leaders?
• Model self-leadership.
• Encourage employees to create self-set goals.
• Encourage the use of self-rewards to strengthen and
increase desirable behaviours.
• Create positive thought patterns.
• Create a climate of self-leadership.
• Encourage self-criticism.
Benefits of Leading Without Authority
• Latitude for creative deviance

– Easier to raise questions.
• Issue focus
– Freedom to focus on single issue, rather than
many issues.
• Frontline information
– Often closer to the people who have the
information.
Contemporary Issues in Leadership
• Moral Leadership
• Gender and Leadership
• Online Leadership
The Moral Foundation of Leadership
• Truth telling
– Telling the truth as you see it, because it allows for a mutual, fair
exchange to occur.
• Promise keeping
– Leaders need to be careful of the commitments they make, and
then careful of keeping those promises.
• Fairness
– This ensures that followers get their fair share for their
contributions to the organization.
• Respect for the individual
– Telling the truth, keeping promises, and being fair all show respect
for the individual. Respect means treating people with dignity.
How Many Women
Make It to the Top?
• Women in general comprise:
– 46.2 percent of the labour force
– 32 percent of managers and administrators
– 14 percent of senior managers
– 57 percent of graduate degree holders
– 51 percent of Canadian population
• Half of Canada’s companies have no women in top ranks.
Men’s and Women’s Leadership
Styles
• In general, women fall back on a democratic
leadership style:
– Encourage participation
– Share power and information
– Attempt to enhance followers’ self-worth
– Prefer to lead through inclusion
• Men feel more comfortable with a directive
command-and-control style:
– Rely on formal authority
Exhibit 8-11 Where Female Managers Do
Better: A Scorecard
ofNone
the five studies set out to find gender differences. They stumbled on them while
compiling and analyzing performance evaluations.
Skill
(Each check mark denotes which group MEN WOMEN
scored higher on the respective studies)
Motivating Others
Fostering Communication *
Producing High-Quality Work
Strategic Planning *
Listening to Others
Analyzing Issues *
* In one study, women’s and men’s scores in these categories were
statistically even.
Data: Hagberg Consulting Group, Management Research Group, Lawrence A. Pfaff, Personnel
Decisions International Inc., Advanced Teamware Inc.
Source: R. Sharpe, “As Leaders, Women Rule,” BusinessWeek, November 20, 2000, p. 75. Reprinted by permission of Business Week.
Summary and Implications
1. What is the difference between a manager and a
leader?
– One theorist suggests that managers promote stability
while leaders press for change.
1. Are there specific traits, behaviours, and situations
that affect how one leads?
– The research on this topic has been mixed. Contingency
theories suggest that leaders need to adjust their
behaviours, depending on the situation and employee
needs.
3. How does a leader lead with vision?

– Leaders that lead with vision are known as
transformational or charismatic leaders. They inspire
followers to go beyond their own self-interests for the
good of the organization.
4. Can a person be an informal leader?
– A person can be an informal leader. Such leadership can
take the form of mentoring. People can also be informal
leaders of teams.
5. What is self-leadership?
– With self-leadership, individuals and teams set goals,
plan and implement tasks, evaluate performance, solve
their own problems, and motivate themselves.
6. What are some of the contemporary issues in
leadership?
– Three major issues of leadership today are moral
leadership, gender differences, and online leadership.
OB at Work
For Review
1. Trace the development of leadership research.

2. Describe the strengths and weaknesses of trait
theories of leadership.
3. What is the Managerial Grid? Contrast its approach
to leadership with the approaches of the Ohio State
and Michigan studies.
4. What are the contingency variables in the path-goal
theory?
5. When might leaders be irrelevant?
For Review
6. What characteristics define an effective follower?

7. What are the differences among transactional and
transformational leadership?
8. Describe the strengths and weaknesses of a
charismatic leader.
9. What is moral leadership?
10. Why do you think effective female and male
managers often exhibit similar traits and behaviours?
For Critical Thinking
1. Reconcile path-goal theory and substitutes for leadership.

2. What kind of activities could a full-time college or university
student pursue that might lead to the perception that he or she is
a charismatic leader? In pursuing those activities, what might
the student do to enhance this perception of being charismatic?
3. Based on the low representation of women in upper
management, to what extent do you think that organizations
should actively promote women into the senior ranks of
management?
For Critical Thinking
4. Is there an ethical problem if leaders focus

more on looking like a leader than actually
being one? Discuss.
5. “Leaders make a real difference in an
organization’s performance.” Build an
argument in support of this statement. Then
build an argument against this statement.
Breakout Group Exercises
• Form small groups to discuss the following:
1. Identify an example of someone you think of as a good leader.
What traits did they have? How did these traits differ from
someone you identify as a bad leader?
2. Identify a situation when you were in a leadership position (in
a group, in the workplace, within your family, etc.). To what
extent were you able to use a contingency approach to
leadership? What made that easier or more difficult for you?
3. When you have worked in student groups, how frequently
have leaders emerged in the groups? What difficulties occur
when leaders are leading peers? Are there ways to overcome
these difficulties?
Concepts to Skills: Practising to Be
Charismatic
• Project a powerful, confident, and dynamic
presence.
• Articulate an overarching goal.
• Communicate high-performance expectations
and confidence in others’ ability to meet these
expectations.
• Be sensitive to the needs of followers.

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Chapter 8

• Are Managers and Leaders the Same?

• The ability to influence a group toward the

• Three general questions:

Ability to motivate people 47

Trustworthy Noncooperative Subdued

(Low) Task behaviour (High)

High Moderate Low

• A theory that says it’s the leader’s job to assist

Professionalism Substitutes for relationship-oriented and task-oriented leadership

Indifference to rewards Neutralizes relationship-oriented and task-oriented leadership

Provides its own feedback Substitutes for task-oriented leadership

Intrinsically satisfying Substitutes for relationship-oriented leadership

Rigid rules and procedures Substitutes for task-oriented leadership

Cohesive work groups Substitutes for relationship-oriented and task-oriented leadership

• Ineffective followers may be more of a handicap to an

• Leadership that critically examines the status

• Many leaders create mentoring relationships.

• Leading teams requires new skills.

• Reduced levels of supervision

• Latitude for creative deviance

3. How does a leader lead with vision?

1. Trace the development of leadership research.

6. What characteristics define an effective follower?

1. Reconcile path-goal theory and substitutes for leadership.

4. Is there an ethical problem if leaders focus

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