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Inier~lationoi Symposium frl Developing Economies: Conzs~orzalities Among Diversities . .- . . - -. -. . .- . KEYNOTE PRESENTATION - LEADERSHIP AND CONSTRUCTION INDUSTRY DEVELOPMENT IN DEVELOPING COUNTRIES George Ofori National University of Singapore Singapore E-mail: [email protected] ABSTRACT Leadership is important in all fields of human endeavour. The features of tlre construction process and the construction project make leadersltip even more essentiaL The projects are expensive and technically demanding; the project t e a m are large and diverse. The process is long and involves a very large number of discrete and interrelated tasks. In developing countries, given tlze influence of constructed prodrccts on long-term socio-economic development, tlre implications ofpoor performance on projects for the nation and its citizens can be severe. Thus, tlre need for effective leaderslirip in construction is even more acute. It may be argued tltat "effective leadersltip" is one of the main answers to the problems of tlre constructiort industry, irtcluding (and perhaps, especially) those in developing countries. To this end, greater attention should be given to leadership development. The following questions are addressed: wltat is leadership? How importnnt is ii in constrrcction? How relevant is leadersltip to construction in the developing countries? How has research on leadership developed over the years? What is tlte current status of research on leadership iiz construction? How can tlre situation be improved, especially wit11 respect to tlre leadership needs of developing countries? Wtat are the relevant issues to stlldy in tlte field of leadersltip in construction in developing corcntries? The subject of leaderslrip is then related to construction industry development. After establishing a relevance of tlteformer for the latter, the relationship between the two is discrcssed It is suggested tltat cib w107 has a critical role to play in leading in research on construction in developing countries. Keywords: Leadersltip, Leadership Development, Developing Countries, Researclr Agenda 1.0 INTRODUCTION Leadership has atkacted the attention of researchers in a wide range of fields, from history to sociology, from military studies to political science, and from business to education (Vroom and Jago, 2007). The study of leadership dates back many centuries, and a huge volume of literature has been built up on it. Nevertheless, there are still many gaps in the knowledge on leadership, and there are many of its aspects that have not yet been adequately explained (Conger, 1998; Avolio, 2007). Indeed, there is still no single agreed definition of leadership (Vroom and Jago, 2007; Bennis, 2007), and there continues to be a debate about the best strategies for developing and exercising leadership (Hackman and Wageman, 2007). There has been a substantial increase in interest in research on leadership over the past few decades. It .is suggested that the development of leadership research can be divided into the following stages: (i) classical approaches - motivation and trait theories - during the first half of the 20' century; (ii) transactional approaches - behavioural and contingency theories - during the

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Page 1: - KEYNOTE PRESENTATION LEADERSHIP CONSTRUCTION … › daten › iconda › CIB18107.pdfInier~lationoi Symposium frl Developing Economies: Conzs~orzalities Among Diversities . - KEYNOTE

Inier~lationoi Symposium frl Developing Economies: Conzs~orzalities Among Diversities . .- .. . - -. -. .. .- .

KEYNOTE PRESENTATION - LEADERSHIP AND CONSTRUCTION INDUSTRY DEVELOPMENT

IN DEVELOPING COUNTRIES

George Ofori National University of Singapore

Singapore E-mail: [email protected]

ABSTRACT

Leadership is important in all fields of human endeavour. The features of tlre construction process and the construction project make leadersltip even more essentiaL The projects are expensive and technically demanding; the project t eam are large and diverse. The process is long and involves a very large number of discrete and interrelated tasks. In developing countries, given tlze influence of constructed prodrccts on long-term socio-economic development, tlre implications ofpoor performance on projects for the nation and its citizens can be severe. Thus, tlre need for effective leaderslirip in construction is even more acute. It may be argued tltat "effective leadersltip" is one of the main answers to the problems of tlre constructiort industry, irtcluding (and perhaps, especially) those in developing countries. To this end, greater attention should be given to leadership development.

The following questions are addressed: wltat is leadership? How importnnt is ii in constrrcction? How relevant is leadersltip to construction in the developing countries? How has research on leadership developed over the years? What is tlte current status of research on leadership iiz construction? How can tlre situation be improved, especially wit11 respect to tlre leadership needs of developing countries? Wtat are the relevant issues to stlldy in tlte field of leadersltip in construction in developing corcntries? The subject of leaderslrip is then related to construction industry development. After establishing a relevance of tlte former for the latter, the relationship between the two is discrcssed It is suggested tltat cib w107 has a critical role to play in leading in research on construction in developing countries.

Keywords: Leadersltip, Leadership Development, Developing Countries, Researclr Agenda

1.0 INTRODUCTION

Leadership has atkacted the attention of researchers in a wide range of fields, from history to sociology, from military studies to political science, and from business to education (Vroom and Jago, 2007). The study of leadership dates back many centuries, and a huge volume of literature has been built up on it. Nevertheless, there are still many gaps in the knowledge on leadership, and there are many of its aspects that have not yet been adequately explained (Conger, 1998; Avolio, 2007). Indeed, there is still no single agreed definition of leadership (Vroom and Jago, 2007; Bennis, 2007), and there continues to be a debate about the best strategies for developing and exercising leadership (Hackman and Wageman, 2007).

There has been a substantial increase in interest in research on leadership over the past few decades. It .is suggested that the development of leadership research can be divided into the following stages: (i) classical approaches - motivation and trait theories - during the first half of the 20'' century; (ii) transactional approaches - behavioural and contingency theories - during the

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lnternational~vnlposium in Developing Economies: Con~morrnlitiesAnro,~g Diversities

1950s and 1960s; (iii) transformational and charismatic leadership theories during the 1970s and 1980s; and (iv) developments made in the recent decades. It should be highlighted that the concepts highlighted were the dominant ones in the various eras; the 'stages' do not indicate clean breaks. They also do not indicate that the succeeding main concepts are superior to the previous ones.

Today, the confluence and combination of the post-industrial revolution, the information age and globalisation, and the implications of this unique congruence of phenomena are posing new challenges to leaders of all types of organisations. These developments are changing the nature of leadership. Among the key challenges are the human resource issues such as the leadership of multi-cultural and multi-disciplinary teams, and especially those comprising knowledge workers.

In response to these changes, B~yman (2004), while reviewing developments in the field of leadership research, suggested that there is greater optimism about the field and greater diversity in the methodological approaches that are being employed by researchers to study it. The methodological developments include: (a) improved measurement and analytical methods; (b) greater use of meta-analysis to undertake systematic reviews; (c) increased interest in new topics in the area such as transformational leadership and charismatic leadership; (d) more and better cross- cultural studies; and (e) greater diversity in the types of leadership and organisational contexts that are being studied. Some of the key words in the current discourse on leadership are: 'spirituality' (Fry et al., 2005), 'aesthetics' (Hansen et al., 2007; Ladkin, 2008), 'authenticity' (George and Sims, 2007), and 'service' (Irving and Longbotham, 2007; Liden et al., 2008). Other key words are: 'relations' (Golden and Veiga, 2008), 'values' and 'transcendence' (Sosik, 2005), "shared power" and "distributed authority" (Pearce and Conger, 2003; Pearce et al., 2007). These terms indicate a recent dynamism, fluidity and a general 'softening' of the discourse on leadership.

Organisatior& in all sectors of business and society in many countries are suffering from an ethical and moral cfisis which has eroded the trust of the followers and the general public in leaders c

(George, 2003; Gedrge et al., 2007). Recent scandals spearheaded by the heads of some key firms I

(Brown and Trevii50, 2006; Manz et al., 2008) have shown that there are some unethical and destructive leaders (Padilla et al., 2007; Schaubroeck et al., 2007). Thus, there is a leadership crisis (George and Sims, 2007), and there is a need for leaders who can give organisations a vision, a purpose for collective good, and the confidence to innovate. What kind of leader is needed in the current situation, and how can such a leader be developed? Many authors observe that existing h e w o r k s for studying leadership are not sufficient for developing leaders who are capable of facing today's challenges (Avolio and Gardner, 2005; Luthans and Avolio, 2003). A new form of 'positive' leadership, referred to as "authentic leadership" (George, 2003, Avolio and Luthans, 2006), appears to be the solution to the current crises. The need for this form of leadership has been identified in many sectors of the economy. It is even more vital in the construction industry which continues to be affected by corruption (see Zinnbauer and Dobson, 2008).

. There has been little leadership research in construction (Odusami et al., 2003; Keegan'and

Hartog, 2004; Chan and Chan, 2005); and even fewer studies on leadership in the construction industries in developing countries. It is necessary to study, in the context of these countries, and in particular, in the process of the development of their construction industries. Issues which must be explored include: the need for leaders; the difference leaders can make in their organisations, industries and societies; the best approach to the exercising of the leadership function; how leaders are developed; and how leaders influence their organisations (in this context, projects, companies and industries), and followers.

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Inlcritationnl Syrnposiujn In Developing Eco~tornies: Commonalitiesfimong Diversities

2.0 OBJECTIVES OF PAPER

The objectives of this paper are to:

1. assess the importance of leadership in the construction industry in general, and in developing countries in particular

2. consider the state of leadership research and leadership development in construction, and consider its relevance to the developing countries, especially with respect to construction industry development

3. discuss ways and means of developing leaders for the construction industries in developing countries

4. present a research agenda for the development of leaders for the construction industries in developing countries; and for research on the development of the construction industries.

3.0 LEADERSHIP

3.1 What is Leadership?

What is leadership? As noted above, there is still a continuing debate on the nature of leadership, and there is even no consensus on a definition. Some definitions which have been offered are now presented. Fiedler (1967, p. 36) suggested that: "Leadership behaviour means particular acts in which a leader engages in the course of directing and coordinating the work of his group members". To Burns (1978, p./ 425), "Leadership is the reciprocal process of mobilising by persons with certain motives an4 values, various economic, political and other resources, in context of

' competition and conflict, in order to realize goals independently or mutually held by both leaders and followers". Bennis (1989, p. 65) defined leadership as: "The capacity to create a compelling vision and translate it into action and sustain it". To Yukl (1989, p. 253), 'Zeadership involves influencing task objectives and strategies, influencing commitment and compliance in task behaviour to achieve these objectives, influencing group maintenance and identification and influencing the culture of an orgarkmtion".

Other definitions include those of Bass (1990) who considered leadership to be: "The principal dynamic force that motivates and coordimates the organization in the accomplishment of its objectives". To Gardner (1990, p. I), "Leadership is the process of persuasion or example by which an individual (or leadership team) induces a group to pursue objectives held by the leader and his or her followers". Chemers (1997, p. 1) believed that: "Leadership is a process of social influence in which one person is able to enlist the aid and support of others in the accomplishment of a common task". Finally, Vroom and Jago (2007, p. 18) defined leadership as: "A process of motivating people to work together collaboratively to accomplish great things".

Some of the words in these definitions which are worth bearing in mind in the context of this paper are: 'directing', 'co-ordinating', 'mobilising', 'motivating', 'persuading', and 'vision'. Most of the defmitions consider the objective of the task to be that of both the leader and followers (Gardner, 1990) ("a common task") (Chemers, 1997). Some of the ways in which leadership has been conceptualised are next discussed.

3.2 Approaches to Leadership

As noted above, there have been many approaches to the study of leadership over the years. A brief review is now presented, of some of the earliest works; some works during the era of scientific management in the early 2oth century; the 'trait' and contingency theories which held sway in the

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1nternationalSynrposium in Developing Ecanoniies: Con~morinlitie.~ilnlo,rg Diversities

middle of that century; charismatic leadership which emerged towards the end of that century; and some research, in this decade. Many of the modem theories of leadership borrow from classical thoughts on leadership (Goethals et al., 2004). The Republic by Plato appears to be the first attempt to shed light on the theory of politics and leadership. In Nichomachean Ethics and Politics, Aristotle discussed politics and leadership. Some other famous writings come from Sun Tzu (The Art of War), Niccolo Machiavelli (The Prince) and Vilfredo Pareto (The Treatise on General Sociology).

3.2.1 Scientific Management and Trait Theory

Early analyses of leadership in the last century, from the 1900s to the 1950s, differentiated between the characteristics of the leader and the follower. In his frst book, published in 1911, Frederick Taylor led the scientific management movement. He focused on tasks and output, and explained that the best way to increase efficiency was to improve the techniques and methods used by workers. People were seen as instruments to be manipulated by their managers, and the organisation as a well planned and structured big machine. Elton Mayo and his colleagues developed the human relations movement which stressed a concern for relationships and emphasised that it was beneficial for management to look also into human affairs (Mayo, 1933).

The underlying assumption of the trait theory of leadership was that leaders have certain characteristics which they are born with, and which are utilised across time to enhance organisational performance and leader prestige. These characteristics of a leader include physical features, aspects of personality, and aptitudes, capabilities, inherited money and social standing. The aim of trait &eyries was to prepare a master list of traits which would eventually result in an ideal leader. In Stogdill's (1948) research, relevant traits included intelligence, alertness to the needs of others, understanding of the task, initiative and persistence in dealing with problems, self confidence and desire to accept the responsibility and occupy a position of dominance and control. However, he noted some problems with this master-list approach and argued that no traits were universally required for leadership which varied according to the characteristics, activities and goals of the followers. As an indication that the ideas which were dominant in one era continue to co-exist with new ones which subsequently emerge, Zaccaro (2007) have recently championed the trait approach to leadership by adding more depth to the understanding of traits. They assert that traits are significant precursors of leadership effectiveness and combinations of traits and attributes are more likely to predict leadership than are independent contributions of multiple traits. In the modem understanding of traits, some distal attributes (personality, cognitive abilities, motives, +dues) and proximal attributes (social appraisal skills, problem solving skills, and expertise or tacit knowledge) come together to engender leader emergence and effectiveness (see Zaccaro et al., 2004).

3.2.2 Contingency, Charisma and Authenticity

Contingency theories were championed by those who started thinking about leadership in relation to the situation in which it is exercised. Fielder (1 967) was the f i s t to integrate leader, follower and situational characteristics. His model predicts that leaders who are more relationship oriented are more effective where there is medium situational control and that those who are more task oriented are more effective in high- and low-control situations. If the leader's orientation matches the situation, the leader is predicted to perform more effectively and vice versa. Other contributors include Vroom and Jago (2007). Interest in the contingency or situational approach remains alive, although the broader term of 'context' is now used (Avolio, 2007). Some criticisms of this theory relate to its perceived concephial weaknesses and methodological controversy.

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lntenrotionol Symposium In Developing Economies: Cornmortalities Amorzg Diversities .. -

'Charisma' is a Greek word meaning 'divinely inspired gift'. According to Weber (1968), charisma is a quality of an individual personality by virtue of which he is set apart fiom ordinruy men and treated as endowed with supernatural, superhuman, or at least exceptional powers or qualities. House (1977) posited that charismatic leaders have a major effect on the emotions and self-esteem of the followers - the affective motivational variables rather than the cognitive variables. Once followers are convinced about the ideology of the leader, they follow the leader willingly, become fully involved in the task, obey the commands of the leader fully, feel an emotional attraction towards the leader, consider the leader's goals as their own, and believe that they are a part of a mission which must be accomplished under the guidance of their leader. The limitation in House's initial theory was the ambiguity about the influence process. House et al. (1991) presented a more complete conceptualisation, defining charismatic leadership in terms of: effects on followers; leader personality and behaviour; and attributions of charisma to leaders by followers and observers. Charismatic leadership is described as an interactive process between followers and their leader in the first constituent. This results in the attraction of followers to the leader and strong internalisation of the leader's values and goals by followers. Over time, the followers develop unquestioning acceptance and obedience of, trust in, and commitment to, the leader. The next constituent involves leadership traits and behaviours that give rise to charismatic leadership, self-confidence, need to influence, dominance, and conviction about the moral rightness of the leader's beliefs.

Researchers have come to realise that leadership is not merely a style, charisma, motivation, inspiration, or strategy. In a new construct, authentic leaders are seen as possessing the highest level of integrity, deep sense of purpose, courage to move forward, genuine passion and skilfulness for leadership (George, 2003; George et al., 2007). They nurture their followers as authentic followers. ~xtracteb from positive psychology, ethical leadership and positive organisational behaviour, the authkntic leadership construct stresses authenticity of character, awareness of the

I self, regulation of iself, faithfulness of individuality, genuineness in beliefs, tru-ess of convictions, practicality of ideas, veracity of vision, sincerity in actions, and openness to feedback (George and Sims, 2007; Walumbwa et al., 2008). These characteristics may portray some of the features of other constructs of leadership such as transformational, charismatic, servant, spiritual, and ethical leadership, but proponents of authentic leadership contend that it is distinct from other forms of leadership (Avolio and Gardner, 2005). They suggest that this form of leadership is what organisations need today, given the challenges they face.

3.3 Leadership and Construction

From the dehitions presented above, leadership is a key factor of success in any activity which involves collaboration among a group of people. In construction, the ingredient of leadership is even more essential. This has been established in many studies (see, Odusami, 2002; Long et al., 2004). For example, Thamhain (2003) highlighted the importance of the leader in creating a supportive work environment for the project participants. On construction projects, Munus and Bjeirmi (1996) emphasise that the success or failure of project management is highly dependent on the choice of the project leader. Chinyio and Vogwell(2007) found that effective leadership of the many stakeholders on a construction project can help to harmonise their goals and prevent conflict. Despite this realisation of the importance of leadership, at all levels of the construction industry, emphasis is put on the technical aspects, and on management, and there is inadequate attention to leadership (Skipper and Bell, 2006a).

Songer et al. (2006) highlight some present and future leadership challenges of construction organisations and the industry. Toor and Ofori (200Sa) present a catalogue of current and emerging leadership challenges, including industry specific challenges, general business ones, and those in

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InternotionolS?ntposium it1 Dev#loping Economies: Contmotrcllitics Anto~lg Diversities

the operating environment. For example, some surveys show low satisfaction of respondents in the construction industry with their leaders' ethics and authenticity (Toor and Ofori, 2007). .

Many studies, in industrialised nations (Arditi et al., 2000) and developing countries (Jannadi, 1997; Enshassi et al., 2006) show that both business and project failures are common in construction. A wide range of reasons are cited for these failures. Bjeirmi et al. (2007) noted that the UK construction industry has been the subject of ongoing criticism for its fiagmentation and its poor record in terms of quality, waste, financial claims, safety and efficiency. They note that a major cause for this is a lack of communication throughout the construction process, owing to the adoption of inappropriate procurement approaches. Toor and Ogunlana (2008a) observed that major problems which construction projects in Thailand typically face include: inadequate procurement system, lack of resources, discrepancies between design and construction, lack of project management practices, variation orders, communication lapses, cultural issues, and differences in the interests of the participants. In Malaysia, Abdul-Rahman et al. (2007) found that the level of management quality of contractors undertaking public design-and-build projects was unsatisfactory. The quality-related factors contributing to this situation were: budget constraints; time constraints; client's complexity; poor communication; and design variations. Davidson and Maguire (2003) found that the top ten reasons for the failure of construction firms in the US included: growing too fast, obtaining work in a new geographic region, increase in the sizes of single jobs, obtaining new types of work, high employee turnover, inadequate capitalization, poor estimating, poor accounting systems, and poor cash flow. Pires et al. (2007) highlighted the following common problems on construction projects in Portugal: fiequent delays, cost overruns, insufficient quality and lack of safety. These had resulted in a lack of competitiveness of the industry. Their siwey revealed the following reasons: design and client responsibilities; inadequate construction manqirnent; and lack of specsc training. As can be seen fiom the studies discussed above, much of the blame for the poor performance in the industry in most~countries is often put on some factors outside the control of the construction organisations and the professionals. Some blame economic cycles and the political environment (Enshassi et al., 2006). Even where the features and particular failings of the industry itself and its practices and procedures are highlighted, there is still a lack of appreciation, among practitioners and some researchers, of the importance of leadership in the construction industry.

3.4 Features of Construction and Implications for Leadership

There is greater need for leadership in the construction industry than in, arguably, any other field of endeavour. There are many reasons for this, and many of them are evident in the nature of the construction projects, the industry and the constructed product (Hillebrandt, 2000). First, construction projects are technically complex and large. They involve a combination of specialist skills to undertake them, and the ability to manage a wide range of risks. Second, the projects typically involve relatively high expense, and the stock of buildings represents a large proportion of a nation's savings. Thus, the quality of the built product is of the essence. Third, the projects take quite a long time to complete, and involve a very large number of discrete activities. This increases the probability that the time-related risks would occur, and also exacerbates the communication and co-ordination problems. Fourth, the teams involved in the projects are not only large, but are also multi-disciplinary, and the members are from several different organisations. On today's large projects, they are also multi-cultural. Fifth, the projects and the constructed product involve serious implications for the health and safety of the workers involved, and of the general public. Thus, due care, diligence and expertise are needed to safeguard these.

There is even greater need for leadership in construction in developing countries. Fist, there are more reports of project performance deficiencies such as cost and time ovenuns, poor quality of work, technical defects, poor durability, and inadequate attention to safety, health and

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Interi~ationnl Symposium III Developing Ecooornies: Comrnoi~alities Among Diversities

environmental issues (see, for example, Ofori, 2007). Second, the management of projects in these countries is fraught with many problems because of the nature of the industries and their operating environments. The importance of the effective management of the stakeholders of the construction project in developing countries is most clearly evident on the international projects which are common at the large-complex project end of the markets in these countries (Ofori, 2003). On such projects, the teams are invariably multi-cultural. This underscores the need for leadership skills. Third, there are even greater adverse implications of poor performance on construction projects for long-term national socio-economic development in develo~ine: countries as the constructed ~roduct . - is critical to this process. Fially, the ciients, end purchasers, users and other stakehoiders of construction have no knowledge of aspects of construction. This implies a need for professionalism among the participants in the construction project, and a dedication to meet the objectives and aspirations of the stakeholders in the most innovative, imaginative manner and value-adding manner for the benefit of the client and all concerned. In the next section, the critical need for effective leadership in construction industries in developing countries is discussed further.

3.5. Need for Leadership in Construction Industries of Developing Countries

As mentioned above, the construction industries in developing countries face formidable challenges. In a study on the competitiveness of the industry in Indonesia, Budiwobowo ef al. (2009) found that the internal features of the construction industry which they termed "factor conditions" of the construction cluster were not highly rated. These 17 conditions were: (a) geographical condition; (b) labour productivity; (c) level of technology for product development; (d) level of teckology for business processes; (e) level of technology for construction plant and equipment; (0 qualify of education; (g) flow of technology fiom higher educational institutions; (h) institution for transfer of technology; (i) collaboration for technology development; (j) codes and

' standards for the construction industry; Q implementation of policies; (l) role of professional associations; (m) role of construction associations; role of construction services board; (n) role of government; (0) role of higher educational institutions; and @) availability of basic infrastructure. It is pertinent to note that all the factors were rated 3.0 (on a scale of 1 to 5, where 1 = "very poor" and 5 = "very good") except flow of technology from higher educational institutions; and role of higher educational institutions which were rated at 2.0. Thus, research and its flow into the construction industry to be applied are viewed by practitioners in Indonesia as having little relevance and impact. The study also found that the operating environment of the industry is rather uufavourable. The three attributes of "related and supporting industries" were all rated 3.0. They were: completeness of the supporting industries; quantity of the supporting industries; and competitiveness of the supporting industries. Therefore, the participants in the construction industry in Indonesia perceive it as having major weaknesses, as a result of which the local enterprises and professionals are unable to compete with their foreign counterparts. Thus, the former are not able to take advantage of the favourable market conditions in the industry which the study found. It is striking that leadership was not highlighted in the study as one of the features of Indonesia's construction industry.

Alinaitwe (2009) found the following as the top ten barriers to the implementation of lean construction in Uganda: (i) inputs exactly when required; infrastructure in transportation and communication; capability of teams to maintain alignment with other teams; certainty in the supply chain; steady prices of commodities; reward systems based on teams' goals; buildable designs; participative management style for the workforce; parallel execution of development tasks in multi- disciplinary teams; and accurate pre-panning. It is evident that most of these areas can be effectively addressed if there is good leadership of projects in that country.

The low level of importance given to leadership occurs even where practitioners are asked questions on it in unambiguous terms. For example, in a study in Palestine, "leadership and

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Interr~ationalSyniposium in Developing Economies: Conlmu~itrlities Aniutlfl Di~,ersities

motivation" was ranked at as low as 17" in a list of 20 "skills important to contractors" (Enshassi ef al., 2009). The top-ranked skills were: (a) decision making; (b) problem solving; (c) financial management; (d) project management; (e) administration; ( 0 risk taking; (g) organisational; (h) creativity; (i) planning and goal setting; (i) delegation. Among clients, "leadership and motivation" was ranked equal 12' among 21 important skills. The skills ranked above leadership were: (a) planning and goal setting; @) decision making; (c) problem solving; (d) project management; (e) financial management; ( 0 attitude; (g) administration; (h) organisational; (i) creativity; (j) communication; Q negotiation; and (I) risk taking.

From the discussion so far, it is clear that there is a need for leadership at many of the levels of construction industry, and especially in developing countries. First, at the level of the industry, there is the need for strategic leadership and championing of the continuous development and improvement of the industry. Second, each of the professional institutions and trade associations requires effective leadership to ensure the development of the expertise and professionalism of its members. Third, the construction companies must be led with competence and innovation considering the formidable challenges within the construction industries and in their operating environments. Finally, leadership is key at the project level.

3.6 Research on Leadership in Construction

There has been some research on leadership in the construction industry. However, many authors suggest that this is highly insufficient. Some of these authors are: Keegan and Hartog (2004); and Chan and Chan (2005). Toor and Ofori (2008b) provide a review of research on leadership in the construction mdagement literature and give a chronological account of key phases of its development. They /note that leadership research in construction dates back to the 1980s when researchers began to examine leadership orientation and its influence on the effectiveness and performance of construction managers (see, for example, Bresnen, 1986). During the 1990s, leadership research in construction tended to focus on leadership style (Rowlinson et al., 1993; Dulaimi and Langford, 1999), attributes and behaviours (Muir and Langford, 1994; Z i e r e r and Yasin, 1998). In this present decade, the bend in the study of leadership in construction has shifted towards transformational leadership (Chan and Chan, 2005), issues of power (Liu and Fang, 2006), cross-cultural issues (Toor and Ogunlana, 2008), the leader's emotional intelligence, and leadership development (Skipper and Bell, 2006b). Studies on leadership behaviours, traits, and styles in construction continue to be common (see Wong et al., 2007; Songer et al., 2006).

In one of the few works on leadership in construction in a developing country, Limsila and Ogunlana (2008) found that transformational leadership is the major style on construction projects in Thailand. They found that transformational leadership generated higher leadership outcomes than either the transactional or laissez-faire styles. Transformational leadership produces higher quality of work and higher volume of work, as well as problem solving creativity from subordinates.

Apart from adverse comments on the low volume of research on leadership in construction, the depth and variety of the studies which have been undertaken, and the approaches adopted, have also been criticised. For example, Dulaimi and Langford (1999) argue that studies on leadership in the construction industry mostly concentrate on investigating the motivational factors and the personal characteristics of project managers although perspectives on leadership now argue that leadership is a multi-level and multi-dimensional phenomenon (see Yammarino et al, 2005; Avolio, 2007). Toor and Ofori (2008b) note that, in the last decade, there has been an increase in empirical studies on leadership in the construction industry. However, much of the work is quantitative in nature and focused on the behavioural dimension of leadership. Most of the studies lack depth in methodology and analyses. There is an absence of empirical works in construction on some of the new concepts such as ethical leadership, authentic leadership and servant leadership.

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!nter?~ationnl Symposium In Developing Economies: Contmonalities Among Diversities

There are several reasons for the relatively low volume of work on leadership in comtmction, and two may be outlimed here. First, social scientists undertaking research on leadership do not have much knowledge of the construction industry (Langford et al., 1995), and the rich opportunities it offers for significant studies. Second, as the construction industry has tended to focus on management in relation to projects and organisations, it has not stressed the importance of leadership; thus, the subject has not strongly emerged as one worth studying. Finally, there are few researchers who have the necessary skills, and (in most countries), there is also inadequate funding for such work (Chinowsky and Diekmann, 2004).

There appears to have been a recent increase in the level of interest in, and volume of works on, leadership in construction. There are several encouraging developments which point to a bright new era for research on leadership in construction. First, the CIB Task Group 64 on Leadership in Construction was formed in 2006. Its objectives are: to establish an international group to identify the issues facing construction leadership and to research the state of construction leadership and barriers for development; to broaden the current research of construction leadership issues by involving industry representatives and experts ffom different regional background; and to raise the awareness of leadership issues within the construction industry and of the need for further research in this area (CIB, 2006). Second, a journal, Engineering and Construction Leadership, has been launched (the second international journal after Leadership and Management in Engineering of the American Society of Civil Engineers). Third, streams devoted to construction have been included in major conferences on leadership, such as the Second Biennial Gallup Leadership Institute Summit, Washington, DC in2006. Finally, research centres dedicated to the study of leadership in construction have been established in some institutions around the world.

.

3.7 Leadership ~kvelo~rnent

There has been a long debate on whether leaders are born or can be developed. However, the current consensus appears to be that whereas certain traits which are considered in some contexts to be desirable in leaders may be naturally endowed, one can develop some, if not most, of the attributes and capabilities of leaders through appropriate structured interventions. Thus, there have been attempts to study how leaders develop, in order to help formulate these interventions. Avolio (2007) noted that leadership can be better understood by researching when, where and how it is activated and how it makes a difference in team performance and process effectiveness. Luthans and Avolio (2003), in their initial conceptualisation of authentic leadership development, stress the need to construct "taxonomies of trigger events" that promote positive leadership development. These may include influential role models and various significant others in one's lie, events and experiences, and social institutions which influence one's behaviour. Similarly, others, such as Rothstein et al., (1990) suggest that a leader's personal history, trigger events, experiences at work, and personal and organisational factors may be potential antecedents to their emergence as leaders and their effectiveness in this role. The biographies of several political and business leaders have shown that challenges, struggles, obstacles, crises, and dilemmas also help to hone a potential leader's talents (see Shamir et al., 2005). Exploring the antecedents also clarifies the contextual variables which play a mediating role in leadership development and emergence.

The study of leadership development is still a fledgling field. There is a lack of a clear theoretical h e w o r k , and the work is of a retrospective nature with some recent works based on narratives (Sparrowe, 2005) and life stories (Shamir and Eilam, 2005; George and Sims, 2007; George et al., 2007) as important lenses of leadership emergence and influence.

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International Sq.nrposium in Developing Economies: Con~rnorrnlities Anrong Diversities

3.8 Authentic Leadership Development in Singapore

A study on authentic leadership development in the construction industry in Singapore was undertaken during 2007-08. A grounded theo~y approach was adopted, and the field study comprised interviews with 35 leaders of the industry who fitted the description of authentic leaders suggested by George (2003). The interviewees were leaders of organisations ranging from clients, through architects, various types of engineers and contractors, to project managers and quantity surveyors. The initial group of interviewees were current or former (elected) presidents of professional institutions and trade associations. The others were identified through a snowballing process. Table 1 presents a summary of the objectives of the study, set against the approach taken to achieve each of them, and the main results attained.

Table 1. Objectives, Approach, Achievements of Study on Leadership in Singapore Construction

their followers and organisations. I self-lendership and self-uansccndeni leadership. To exarninc the leadership processes at the group, I Sustainable leadership ememed as a process at the n o u a team

Objective of Study To develop theoretical frameworks to explain authentic leadership development To explore how authentic leaders develop and remain authentic during their lives. To examine the leadership processes at the personal level by which authentic leaders influence

Approach to, and Extent of its Achievement A review of the literature resulted in a theoretical model: Integrated Antecedental Model of Leadership Development. Based on the information collected in the study, a 4-phase authentic leadership development model was proposed. The two main processes by which leaders influence their followers and organisations at the personal were found to be:

The views and experiences of the leaders in the study in Singapore supplemented the existing literature in explainkg the nature and essence of authentic leadership. The study shows that the values, motivations, and purpose of leadership of authentic leaders are a reflection of their past experiences, indicating that leadership influence cannot be seen in isolation from leadership development. The tipping points and main influences on the leaders interviewed provided ideas on how leadership development in construction could be approached. The aspirations of the leaders for their own firms and the construction industry pointed towards possible initiatives that could be adopted to develop the industry. The study also highlighted the importance of 'followership'. The study led to some answers to some of the perennial questions in leadership research such as: (a) the difference between 'leadership' and 'management'; (b) whether leaders learn more from mistakes or successes; and (c) whether leaders are born or made.

team and organisational ievils by which authentic leaders influence tEeir followers and organisations. To make r e c o m m e u d a t ~ for authentic leadership development. I

4.0 SUMMING UP THE DISCUSSION ON LEADERSHIP

and organisational ievels, through 'which authentic ieaders influence their followers and organisations. Apart f?om recommendations on authentic leadership development, an agenda for future research on authentic leadership in construction was prepared.

What can one infer from the discussion on leadership in this paper so far? Whereas there are many contesting conceptualisations of leadership, it can be argued that, ultimately, leadership style, trait, and orientation should fit the task at hand, and should be suitable in the context. The leader should be sensitive to, and concerned for, the needs and aspirations of the leader's followers, and the relevant stakeholders. To this end, the leader should be concerned about having the best possible team, resources, practices and procedures to realise the objectives of the assigned task, and the mutual interests and requirements of the stakeholders.

The construct of authentic leadership appears to encompass too many 'positive' elements, and seems to be too good to be realistic. However, at such a challenging time for governments,

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internationnl Symposium In Developing Economies: Commonalities Among Diversities

businesses and non-profit organisations, it is clear that such a form of leadership is critically needed. That construct of leadership is most suited to the circumstances of the construction industries in developing countries, where vision is critical; where hope, dedication and tenacity are needed; where human relationships matter; where doing things with the heart is important; and where the different (and often conflicting and competing) interests of many stakeholders must be taken into account in all endeavours.

5.0 LEADERSHIP AND CONSTRUCTION INDUSTRY DEVELOPMENT

There is much need for leadership in the process of construction industry development. The forerunner of CIB W107, Task Group 29 (1998) defined construction industry development as follows:

"Construction industry development is a deliberate and managed process to improve the capacily and effectiveness of the construction industry to meet the national economic demand for building and civil engineering products, and to support sustained national economic and social development objectives. "Construction industry development promotes: (i) increased value for money to industry clients 0s well as environmental responsibility in the delivery process; (ii) the viability and competitiveness of domestic construction enterprises; and (iii) optimisation of the role of all participants and stakeholders through process, technologicdl, institutional enhancement and through appropriate human resource

I development." 1

Table 2 considers the components of construction industry development, and the relevance I and merits of leadership in realising each of them.

Among the definitions and characterisations of leadership considered above, that of Bennis (1989, p. 65): "The capacity to create a compelling vision and translate it into action and sustain it" appears most apt with reference to the task of construction industry development. It is possible, and, arguably, desirable, to consider construction industry development through the prism of authentic leaders. If the goals and objectives in programmes for construction industry development in the poorer countries are to be attained, championing of the process of industry development is a critical element. It is important to develop authentic leaders and followers to set the vision for improving the performance of the construction industry by enhancing its capacity and capability in the context of each country concerned. These leaders and followers would tackle the task of realising this vision with the heart, tenacity, a sense of hope, and self-transcendence.

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IntmationalSyntposium if1 Developing Economies: Con~mofinlities An~ofty Diversities

- ( innovation; transfer and diffusion of technology 1 feedback and review

Corporate I Fostering the continuous growth and prosperiry of I Effective corporate leadership, includinr

Table 2. Leadership and Components of Construction Industry Development

Development contracting and consulting firms i n -the construction industry; formulating and implementing programmes for developing

Component

Technology Development

strategy formhation and iin~l&nentationy continuous business development; formulation and implementation of . ~ I construction enterprises ( national policies, monitohg and feedback

Institution I Building of professional institutions and trade I Leading the institutions to be a force for

Potential of Leadership Necessary Action

Appropriate research and development to develop locally suitable technologies, and foster

Leadership Tasks Strategy formulation (including identification of need), monitorina,

- progress; engendering ethics and professionalism; strategy and policy formulation for, collective cham~ionina of

Building

Materials Development

Human Resource Development

Documentation, Procedures and, Practices .

Operating Environment

- . industry development Similar to. and to be co-ordiinated with.

associations; creating umbrellas of these entities to provide a common voice for the construction industry; and establishment of a dedicated indushy development agency Development of appropriate materials and components with regard to economic, environmental, social and technical sustainability Visionary identification of human resource needs in relevant areas and expertise levels, and co- ordination of programmes to realise the requirements Formulation of appropriate contract documentation with fair and equitable terms; adoption of procedures based on good practice rqther than history Dlevelopment of a conducive operating environment for the construction industry which facilitates the performance of firms and individuals, fosters corporate growth and enables the, construction industry to play its role in nati~nal development

-. technology development

Effective co-ordination of the involvement of government, industry and academic institutions; engendering a spirit of excellence Collective leadership to develop appropriate documents and procedures for mutual benefit

Collective leadership to influence the development of a facilitating environment including education of other sectors about the construction industry and its needs

5.1 Role of CIB W107

Is there potential for CIB W107 to provide leadership in research and other work on construction industry development which is relevant to developing countries? It is pertinent first to consider what W107 has intended to do. Table 3 relates the relevance of leadership to the efforts to tackle to research topics in the W107 research agenda, published in the progress report of TG29 in 2001, and answers the questions: What are some key relevant issues? What is the relevance of leadership to them?

TG29 indicated how these research topics, and some additional relevant ones (such as knowledge management), would be addressed. Another extract from the progress report of TG29 may be presented: "TG29 will launch international research projects on the following topics in the near future:

information technology and its implications for, and applications in, construction in developing countries (in collaboration with W78 on Information Technology in Construction) work opportunities for local construction firms

- -

new business techniques: their relevance to, implications for, and possible application in, construction in developing countries (in line with CIB pro-active programme on Business Process Re-engineering)

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sustainable construction in developing countries (in collaboration with TG.. on Sustainable Construction) the knowledge-based economy and construction industries in developing countries the informal sector of construction industries in developing countries."

Table 3 Leadership and the W107 Research Agenda Research Topic I Potential of Leadership Poverty alleviation through ( Construction providmg maximum stimulus to other sectors of the domestic constriction economy; using construction to generate maximum levels of employment in the

local context, without sacrificing efficiency, productivity and quality, and providing opportunities for well paying jobs in construction and sectors linked

1 to it Sustainable construction in the I Designing constructed items and planning construction activity to ensure that - -

context of developing countries I the process and its products are sustainable, in broadly defined terms Proiect ~erfonnmce I Improvin~ the performance on all consbuction projects to meet the entire range . A

Safety and health in construction, including community health, especially the relationship between construction and the propagation of HIV/AIDS~ Implications of privatization-for consimction enterprises and practitioners in developing

, development in ' countries; and potetitial ' regional groupings of such

of client'objeckves, and aspirations of all stakeholders -

Protecting workers on construction projects, those in vicinity of these projects, and users and the general public 3iom possible hazards due to construction activity

Developing appropriate privatisation programmes and policies to enable national needs to be met, while providmg opportunities for long-term growth of the domestic industry

countries2

national agencies3 Implications of globalisation for I Same as for privatisation

Merits of a central agency for managing construction / industry

1o;al enterprise; in developing 1

Establishing the case for such central agencies for managing construction industry development, and learning from the experiences of existing or defunct

countries

. -

countries4 - Application of information technology in construction in developing countries Appropriate construction management and economics techniques for developing

Although some of these research projects were launched, poor response from potential contributors meant that none of them was completed. There is a case to revisit them. It is necessary to find authentic leaders to take charge of this endeavour.

Establishing a national strategy for facilitating the application of infonnation and communication technology in construction

Developing construction management and economics techniques and tools which take account of the context of developing countries

' Conshuction work is inherently physically demanding, involves some danger, and sites may propagate diseases such as malaria; the workers may also be agents of the spread of HIVIAIDS in localities surrounding their sites. Privatisation involves long-term risks for all parties involved. Finns in developing countries need to build up their capacities and capabilities in many areas to undertake such projects. Industry development agencies can provide the leadership and championing in the drive to continuously enhance the oerfonnance of the construction industry. Regional networks of such agencies can provide co-ordinated, mutually beneficial improvement programmes. Finns in practitioners in developing countries need to prepare to avoid the adverse impact of, and take advantage of the positive aspects of, globalisation. Construction professionals in developing counhies should acquire the expertise to apply the highly beneficial tools made available by the infonnation and communi~~ons technology revolution in a11 relevant aspects of their tvork.

1 3 I P a g e

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lnternationul Syniposium in Devrlopin.9 Economies: C~?~i~mi~!liilitiesAnio~iy Diversities

6.0 RESEARCH AGENDA

6.1 Agenda for Leadership

It is evident from the discussion that more work is required on leadership in construction in developing countries. Some possible subjects in leadership development in construction in developing countries are now considered.

1. How relevant is leadership to the particular problems of developing cowtries such as poverty alleviation, work opportunities and small enterprise development?

2. Leadership in the operating environment of construction industries in developing countries, the features of which include a vacuum of enforcement of regulations, lack of appropriate and enabling policies, and poor level of development of physical &astructure and supporting industries

3. Leadership development in construction in developing countries: what are the most effective approaches? What are the roles of government, industry and educational institutions?

4. What kind of leadership is suitable for construction projects in particular developing countries? Consideration of the various forms of leadership, and assessment of the suitability of the leadership approaches to the situational context of construction in those countries.

6.2 Agenda for Industry Development

It is necessary f& repearchers on construction in developing countries to contribute to change in the mainstream knowledge in their ~elevant fields. To this end, W107 should be in the mainstream of

I the CIB. The "Co~clusions and Recommendations" from the proceedings at the CIB World i Building Congress ib 2007 included a research agenda which may be presented here (Ofori and

Milford, 2007, p. 2): ,:

"We note that there is scope for further research in several areas. At the Congress, we highlighted, in particular, the following topics:

sustainable development in its whole range of ramifications, in particular, climate change, energy management and life-cycle assessment; the design process, especially, cross-cultural studies on integrated design and its management; -

poverty alleviation and other societal issues relating to construction; development of small and medium-sized enterprises:

A

skills and human resource development, including the development of leadership social contracting, and workers' safety and health, integration among quality, environmental, health and safety issues and their management on construction projects; the informal sector; studying its features and capabilities, and the potential for integrating it with the formal sector; and knowledge management."

All the topics in this agenda are directly relevant to the developing countries, and the rest are on construction indusky development. It could constitute the research agenda of W107.

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Interrlational Sjwnposiurn Iri Developing Economies: Conzmorlalities Among Diversities

7.0 CONCLUSION

Leadership has been studied by many philosophers, historians, political scientists and management authors, and a there is a huge and still growing volume of literature on it. Many constructs of leadership have been developed. Some frameworks for formulating interventions which can be used to develop leaders have been proposed. Authentic leadership appears to be an appropriate construct for developing countries owing to its stress on the heart, hope, perseverance and self-transcendence (including commitment to the development of followers as leaders).

Leadership is critical to the undertaking of construction projects, the management of the enterprises and the development of the industry as a whole. The recent surge of interest in research on leadership in construction is encouraging, as there is scope for more work to be undertaken on leadership and its development with respect to construction projects, enterprises and industries, especially in the developing countries.

Authentic leaders and authentic followers are critically needed in the construction industries in developing countries. They can make a difference at many levels, and perhaps, most importantly, at the strategic level, in the continuous development of the construction industry.

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