autocratic or democratic? which type of construction ... · autocratic or democratic? which type of...
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Autocratic or Democratic?Which Type of Construction
Leaders Do You Prefer?
Thomas Ho20 November 2014
∗ The famous Chinese philosopher Lao-tzu said :
∗ “to lead the people , walk behind them… As for the best leaders, the people do not notice their existence. The next best, the people honour and praise. The next, the people fear, and the next, the people hate…when the best leader’s works is done the people say, “we did it ourselves”.”
What is Leadership?
∗ There are various definitions of leadership:∗ Nuclear of a tendency∗ An interaction between a person and the group members∗ Reciprocal expectations between the leader and other
members∗ The process of directing and influencing the task-related
activities of group members∗ A process in which one person attempts to influence
another to accomplish some goal or goals∗ The individual in the group given the task of directing and
coordinating task relevant group activities∗ The manner in which the manager conducts himself in his
role in order to obtain the best performance from the people he is managing
What is Leadership? (Cont’d)
∗ By summarizing the similarities among the various definitions, leadership can be defined as:
∗ “The process of influencing group activities, by interaction between the leader and the group, toward goal setting and goal achievement.”
What is Leadership? (Cont’d)
∗ The process of leadership can be divided into four stages of influences:
∗ 1. Assignment – planning, direction, instruction∗ 2. Implementation – guide, monitor, delegate,
support subordinates in their work∗ 3. Evaluation – control, review, critique, appraise∗ 4. Reward – reward and feed back information about
the degree to which the subordinate’s performance has achieved the stated goals
Process of Leadership
Theories of Leadership
∗ Trait Theories∗ Style Theories∗ Situational/Contingency Theories∗ Handy’s “Best Fit” Approach
∗ The prevailing assumption was that leaders are born, not made, and successful leaders are set apart from others by virtue of their possession of these leadership traits:
∗ 1. Physical characteristics: age, appearance, height, weight∗ 2. Social background: education, social status, mobility∗ 3. Intelligence: superior judgement, decisiveness, knowledge, fluency
of speech∗ 4. Personality: adaptability, adjustment, aggressiveness and
assertiveness, dominance, emotional balance and control, originality and creativity, personal integrity, self-confidence
∗ 5. Task-related characteristics: high motivation, drive and need for task accomplishment
∗ 6. Social characteristics: active participants in various activities, interact well with a wide range of people, co-operate with others, promote harmony and group cohesiveness
∗ Little proof that people possess above traits will become an effective leader
Trait Theories
∗ The basis of the style theories was the belief that effective leader will use a particular behaviour or style to lead groups to achieve certain goals, resulting in high productivity and morale. i.e. effective leaders will be characterized by certain types of behaviour or style
∗ Task-orientated/Authoritarian – the emphasis the leader places on getting the job done by such action as assigning and organizing the work, making decisions, and evaluating performance
∗ Employee-orientated/Democratic - the openness and friendless exhibited by the leader and his or her concern for the need of subordinates
Style Theories
∗ Which style is better?∗ It is commonly assumed that people will produce
more under democratic conditions than under authoritarian conditions because participation will tend to satisfy the self-actualization and esteem needs and will therefore release more effort
∗ Several studies were carried out, however the results revealed that no single style was the best
Style Theories (Cont’d)
∗ One leadership style suitable for one occupation may not be suitable for other occupation
∗ The main theme of this theory is to look into the variables that permit certain leadership behaviours or styles to be more effective under a given situation
∗ The basis assumption is that the effect of a particular leadership will be varied depending on the situational factors
∗ i.e. there will be no one best way to lead
Situational/Contingency Theories
∗ Situational Factors:∗ 1. Managerial Characteristics – personality, needs,
motives, past experience∗ 2. Subordinates Factors – personality, needs, motives, past
experience∗ 3. Group Factors – stage of development of the project,
group structure, group task∗ 4. Organizational Factors – leader’s power base, rules and
procedures of the organization, professionalism of the subordinates, time available for decision making process
∗ 5. Subordinates Behaviour – motivation, productivity, satisfaction, turnover, absenteeism
Situational/Contingency Theories (Cont’d)
∗ Various studies have been carried out by researchers and academics, some of the findings are as follows:
∗ Fiedler’s Model – Very favorable situation when Leader-Member Relations are good, Task Structure is high and Positon Power is Strong; Very unfavorable situation when Leader-Member Relations are poor, Task Structure is low and Position Power is weak
∗ House’s Path-Goal Theory – Instrumental (directive) leader behaviour is more effective than supportive (participative) behaviour for subordinates working on unstructured tasks; supportive (participative) leader behaviour results in high employee satisfaction when subordinates are performing structured and routine tasks
Situational/Contingency Theories (Cont’d)
∗ Hersey and Blanchard’s Theory – the relationship between a leader and subordinates moves through four stages as subordinates develop and mature, and that leaders need to vary their leadership style in each stage to suit a particular style in each stage to suit a particular relationships
∗ Initial Stage – High task-orientation∗ Second Stage – task-orientation & employee-
orientated ∗ Third Stage – supportive and considerate∗ Mature Stage – subordinates become confident, self-
directing, experienced and work their own
Situational/Contingency Theories (Cont’d)
∗ Handy’s “Best Fit” Approach ∗ Four sets of Influencing Factors:∗ 1. The leader – his preferred style of operating and his
personal characteristics∗ 2. The subordinates – their preferred style of
leadership in the light of the circumstances∗ 3. The task – the job, its objectives and its technology∗ 4. The environment – the organizational setting of
the leader, his group and the importance of the task
Situational/Contingency Theories (Cont’d)
∗ Handy maintained that “there is no such thing as ‘right style of leadership’, but that leadership will be most effective when the requirement of the leader, the subordinates and the task fit together”
∗ If there is not a ‘fit’, the group will “cease to function as a group or the task will not get done”
∗ The three factors, leader, subordinates and task can be roughly placed along a scale that runs from ‘tight’ to ‘flexible’ as below:
Tight _________________________________Flexible
Situational/Contingency Theories (Cont’d)
∗ A power leader will often pull the subordinates and the task towards him
∗ Alternatively he may adjust his style to the requirements of the other two factors
∗ Which factors to be adjusted for a ‘fit’?∗ 1. short term – to alter the style of leadership in
particularly if the other two factors already have a degree of fit
∗ 2. long term – to re-define the task or to develop the work group because style is relatively inflexible
Situational/Contingency Theories (Cont’d)
∗ Success of adjustment depends on the environment∗ Six key aspects of Environment∗ 1. Position Power of the leader∗ 2. Relationship of the leader to his group∗ 3. Organizational norms∗ 4. Structure and technology of the organization∗ 5. variety of tasks∗ 6. variety of subordinates
Situational/Contingency Theories (Cont’d)
∗ Cognitive Resource Theory∗ Low stress conditions – leader intelligence is likely to
contribute to group success∗ High stress conditions – leader with better job tenure
and experience will perform better
Situational/Contingency Theories (Cont’d)
∗ Goh summarized Western culture and Chinese culture as follows:
∗ Western Culture – egocentrism and individualism, the social unit is the person and not the group or the city. Individual will fight for his rights in pursuit of justice and not focus on mutual interests
∗ Chinese Culture – homocentrism, emphasizes the social unit-be it family, society, community or country
∗ Chinese also emphasize on trust, face-saving, personal relationship, reasonableness, patience, long-term objectives, tenacious memory
∗ How about a Hong Kong Chinese?
Cultural Influences on Leaders
∗ Based on the studies from Evans et al, Hong Kong Chinese are basically loyal, hard working, emphasize on long-term relationship and “saving face” and prefer a hierarchical structure.
∗ By the influence of the Western Culture, the concept of individualism and egocentrism become more and more accepted by Hong Kong Chinese.
Cultural Influences on Leaders (Cont’d)
∗ Unique∗ Temporary∗ Temporary Construction Project Team from various firms and
organizations∗ Different/conflicting objectives∗ Different factors and forces:∗ 1. Internal (behavioural response, techniques and technology,
decision making process, organisational setting and position of power)
∗ 2. External (Political, legal, institutional, cultural and sociological, technological, economic and competitive)
∗ Different contractual arrangements:∗ 1. Conventional Type with Architect as the Project Leader∗ 2. Conventional Type with Project Manager as the Project Leader∗ Management Contract with Project Manager/Co-ordinator as the
Project Leader∗ 2. Civil Engineering Project with Engineer as the Project Leader
Nature of the Construction Industry
∗ Human Behaviour ∗ Maslow’s ‘Hierarchy of Human Needs – basics needs,
safety needs, social needs, self-esteem needs, self-realisation needs. This suggests participative leadership style will be most effective in the mature stage of subordinates
∗ McGregor’s ‘Theory X’ (inherent dislike of works) and ‘Theory Y’ (work is as natural as play or rest) – These two extreme types of people indicate that some people prefer authoritarian leadership style and in the extreme, other prefer democratic leadership style
Leadership and Construction Management Functions
∗ System Theory∗ Construction process is an open system which
imports ideas, energy, materials, information etc.from the environment and transforms into its output, the finished construction such as buildings and infrastructure, hence it is subject to environmental forces
Leadership and Construction Management Functions (Cont’d)
∗ Contingency Theory∗ Stable-mechanistic organisation - more appropriate when ∗ 1. the environment is relatively stable and certain ∗ 2. the goals are well defined and enduring ∗ 3. the technology is relatively uniform and stable∗ 4. routine activities and productivity is the major objective ∗ 5. Decision making is programmable and control processes
tend to make a tightly structure, hierarchical system possible
Leadership and Construction Management Functions (Cont’d)
∗ Adaptive-organic organization - more appropriate when∗ 1. The environment is relatively uncertain and turbulent∗ The goals are diverse and changing∗ The technology is complex and dynamic∗ There are many non-routine activities in which creativity
and innovation are important∗ Heuristic decision-making processes are utilized and co-
ordination and control occur through reciprocal adjustments. The system is less hierarchical and more flexible
Leadership and Construction Management Functions (Cont’d)
∗ Organization Structure of Construction Project∗ Unique∗ Amalgams of firms∗ Different type of Contractual arrangements∗ Different position power
Leadership and Construction Management Functions (Cont’d)
∗ Decision Making Process∗ Various decision making points in various stages of
construction∗ Democratic style - Initial evaluations, outline design
strategies and selecting contractual arrangement etc.∗ Autocratic style – developing working drawings,
preparing contract documentation, cost controlling etc.
Leadership and Construction Management Functions (Cont’d)
∗ Based on Handy’s ‘Best Fit’ approach, the project team will be most effective when the leader, the led, the task and the organizational setting all fit together along the ‘tight-flexible’ scale
∗ Two extreme cases of combinations are both effective∗ Case 1 – Task-orientated leader + subordinates
preferred to be directed + highly structured task + tight (mechanistic) organizational setting
∗ Case 2 - Employee-orientated leader + subordinates preferred to have a participative style of leadership + highly unstructured task + flexible (organic) organizational setting
Hypothetical Leadership Model in the Hong Kong Construction Industry
∗ Position Power is low∗ Group members are mature professionals∗ Leadership style must rely on influence and persuasion, other
than on authority and commands∗ Difference in task structure between design and construction
stages – different leadership styles are to be employed∗ Design Stage – task loosely defined, hence more democratic
style∗ Contract Documentation and Construction Stage – task more
clearly defined, hence more autocratic style∗ Require recommendation – more democratic style∗ Decision is required – more autocratic style
General Leadership Characteristics of Project Manager and Project Leader
∗ Research based on questionnaire, the results are as follows:
∗ Natural Leadership Style∗ Project leaders of design and contract administration
teams in Hong Kong are generally relationship-motivated and less concerned with task accomplishment
∗ Chinese leaders are more relationship-orientated than their Western counterparts and more concerned with maintaining good personal relationships with a harmonious working atmosphere
∗ Chinese Confucian doctrine on harmony, the collectivism characteristics, concept of ‘saving face’ make leaders more sensitive to the feeling of others and suppress their directive behaviour
Results of the Research
∗ Actual Leadership Style∗ 1. Different leadership styles are employed by the
same leader which may be due to different situations∗ More democratic in the feasibility study stage and pre-
contract stage of works∗ More autocratic in the post-contract stage of works∗ Non-Executive Type project managers are tend to be
more democratic throughout all stages of works∗ Executive Type project managers are more democratic
in the design stage and more autocratic in the construction stage
Results of the Research (Cont’d)
∗ Sub-ordinates’ Preferred Leadership Style∗ Members of the design and contract administration
team are general neither too external nor internal∗ ‘External’ subordinates prefer a directive style of
leadership ∗ ‘Internal’ subordinates prefer a participative style of
leadership
Results of the Research (Cont’d)
∗ Task Structure∗ The task structure in the Hong Kong Construction Industry
varies from low to high with an average of medium
∗ Organization Setting∗ Feasibility study stage – within the range of ‘task culture’
(organic)∗ Pre-contract stage – between ‘task culture’ (organic) and
‘role culture’ (Mechanistic)∗ Post-contract stage – within the ‘role culture’
(mechanistic)
Results of the Research (Cont’d)
∗ Leader-Member Relations∗ Leader-member relations in construction project
organizations are generally good indicating that the project leaders in Hong Kong are more concerned with maintaining good relationship with their project team members
∗ Position Power∗ Position power of ‘Executive Type’ project managers is
generally higher∗ Position power of ‘Non-Executive Type’ project managers are
usually low. ∗ The lower the position power, the more the participative
style will be employed by the project leaders
Results of the Research (Cont’d)
∗ Project Performance∗ The performance in terms of job conditions and
management conditions of construction projects is generally ‘fair’ indicating that improvements in performance are necessary
Results of the Research (Cont’d)
∗ Analysis of the ‘Fit’∗ By performing linear regression and correlation
between the degree of ‘Mis-Fit’ and the project performance, a direct relationship was found between the degree of ‘Fit’ of the situational variables and the project performance
Results of the Research (Cont’d)
∗ Case Study
∗ 1. A Bank Project with management contract arrangement
∗ 2. A Hospital Project with conventional type of contract arrangement
∗ 3. A Civil Engineering work contract
Results of the Research (Cont’d)
Organization Structure of the Bank Project
Client Body
Architect Structural Engineer
E & MEngineer
Quantity Surveyor
ProjectCo-ordinator
ManagementContractor
Client’s Subsidiary Property Management Company
Sub-Contractors
Positions of Variables along the ‘Tight-Flexible’ Scale
Note: ACTL = Actual Leadership ScorePLS = Subordinates’ Preferred Leadership ScoreTL = Task Structure ScoreOS = Organizational Setting ScoreM = Mean Score (‘Best Fit’ Position)0 = Tight
10 = Flexible
0 1 2 3 4 5 6 7 8 9 10
(PLS)(TS) (OS)
(M)
(ACTL)
∗ Analysis of the ‘Fit’∗ The total value of ‘Mis-Fit’ is 4.4 is small when
compared to the largest value of ‘Mis-Fit’ of 20 and hence the performance of the project is ‘fair’ to ‘good’. The result is in agreement with the performance ratio obtained for this project
∗ Recommendations for Improvements∗ To move the variable which is farthest away from the
other variables and where these variables already have a certain degree of fit, therefore the actual leadership style need to be change to a less flexible style
Results of the Research (Cont’d)
∗ Other Factors affecting performance∗ 1. Tight construction programme, delay and
prolongation/disruption costs incurred∗ 2. detailed design works by sub-contractors which
resulted in design co-ordination problems and interface problems
∗ 3. variation works were usually done before the prices were agreed which made cost control difficult
∗ 4. Inadequate project management functions exercised, the use of a ‘Non-Executive Type’ project co-ordinator was inappropriate on such a large-scale project
Results of the Research (Cont’d)
Organization Structure of the Hospital Project
Client Body
Architect Structural Engineer
E & MEngineer
Quantity Surveyor
Project Manager
Contractor
Positions of Variables along the ‘Tight-Flexible’ Scale
Note: ACTL = Actual Leadership ScorePLS = Subordinates’ Preferred Leadership ScoreTL = Task Structure ScoreOS = Organizational Setting ScoreM = Mean Score (‘Best Fit’ Position)0 = Tight
10 = Flexible
0 1 2 3 4 5 6 7 8 9 10
(PLS) (TS) (OS)
(M)
(ACTL)
∗ Analysis of the ‘Fit’∗ The total value of ‘Mis-Fit’ is 3.1 is small when compared to
the largest value of ‘Mis-Fit” of 20 and hence the performance of the project is near the ‘good’ end of performance scale. However the performance of this project was rated poor, therefore if Handy’s ‘Best-Fit’ approach is valid, there must be some other factors that distorted the result of the study
∗ Recommendations for Improvements∗ The leader can alter his style from the original participative
style to a more supportive (more autocratic) style
Results of the Research (Cont’d)
∗ Other Factors affecting performance∗ 1. The Architect was responsible for the
administration of the contract, therefore the project manager’s control of the project was weaken
∗ 2. Architect insisted to use materials above Government’s standard resulted in abortive design and delay in programme
∗ 3. Proposal of using other type of contractual arrangement not approved by the Government which resulted in abortive contract documentation works and delay
∗ The project manager was too flexible and lost control in co-ordination of the work
Results of the Research (Cont’d)
Organization Structure of the Sewage Disposal Project
Client Body
Resident Engineer
(Civil)
Resident Engineer
(Geotechnical)
Resident Engineer (E & M)
Quantity Surveyor
Consulting Engineer
Senior Resident Engineer Contractor
Positions of Variables along the ‘Tight-Flexible’ Scale
Note: ACTL = Actual Leadership ScorePLS = Subordinates’ Preferred Leadership ScoreTL = Task Structure ScoreOS = Organizational Setting ScoreM = Mean Score (‘Best Fit’ Position)0 = Tight
10 = Flexible
0 1 2 3 4 5 6 7 8 9 10
(PLS)(TS)(OS)
(M)
(ACTL)
∗ Analysis of the ‘Fit’∗ The total value of ‘Mis-Fit’ is 5.1 which is higher than
the previous two cases and hence the performance of the project is in a position from ‘fair’ to ‘poor’ of the performance scale. The performance of this project was rated as ‘fair’ to ‘poor’ which is in agreement with Handy’s ‘Best-Fit’ approach.
∗ Recommendations for Improvements∗ The leader should alter his style from the autocratic
to a more participative style and develop the work group towards him to achieve better performance
Results of the Research (Cont’d)
∗ Other Factors affecting performance∗ Inadequate supporting site staff ∗ Poor quality in design resulting claims ∗ Inadequate delegation of power and authority from
the consulting engineer to the site management team which hindered the making of operational decisions and resulted in delay in programme
Results of the Research (Cont’d)
THANK YOU
Autocratic or Democratic?Which Type of Construction Leaders Do
You Prefer?