principles of management – chpt 15 : leadership

15 May 200715 May 2007 LEADERSHIPLEADERSHIP 11

CHAPTER 15 CHAPTER 15 LEADERSHIPLEADERSHIP


IntroductionIntroduction

Success of a business concern is Success of a business concern is dependent upon the ability of its dependent upon the ability of its leadership. Whenever and in whatever leadership. Whenever and in whatever situation if someone tries to influence the situation if someone tries to influence the behavior of another individual, there is a behavior of another individual, there is a leadership. It helps to attain the business leadership. It helps to attain the business goals of an organization.goals of an organization.


DefinitionDefinition

Leadership is the ability to Leadership is the ability to awaken in others the awaken in others the desire to follow a common desire to follow a common objective.objective.


Importance of LeadershipImportance of LeadershipPerfect organization structure

Developing good human relation

Source of motivation

Reconciliation of goals

Directing group activities

Better utilization of manpower

Technological, economic and social changes

Avoiding imbalances

Promoting the spirit of coordination

Fulfilling social responsibilities


Approaches or Theories of LeadershipApproaches or Theories of Leadership

According to this theory, leadership According to this theory, leadership behaviourbehaviour is is influenced by certain qualities of a person. A influenced by certain qualities of a person. A successful leader has the following qualities.successful leader has the following qualities.

Good PersonalityGood PersonalityTirelessnessTirelessnessAbility to take quick decisionAbility to take quick decisionCourage to face competitorsCourage to face competitorsPersuasionPersuasionLesson out of experience Lesson out of experience IntelligenceIntelligenceDifferent thinkingDifferent thinkingReliabilityReliabilityPhysical fitnessPhysical fitness..


Behavioral approach or theory Behavioral approach or theory This theory had popularity during 1950s. This theory had popularity during 1950s. It assumes that people are lazy and It assumes that people are lazy and irresponsible by nature. So there is need irresponsible by nature. So there is need of an instrument to give motivation to of an instrument to give motivation to workers. workers. Autocratic, democratic or supervisory Autocratic, democratic or supervisory styles are some of the leadership styles. styles are some of the leadership styles. Behavioral approach developed these Behavioral approach developed these leadership styles which produce different leadership styles which produce different and conflicting results.and conflicting results.


SituationalistSituationalist approach or theoryapproach or theoryDuring 1970s this theory was developed During 1970s this theory was developed where some traits and where some traits and behavioursbehaviours are are effective in a particular situation and effective in a particular situation and ineffective in another situation. Situation ineffective in another situation. Situation helps persons to develop their leadership helps persons to develop their leadership qualities and emerge as leaders qualities and emerge as leaders


FollowerFollower’’s theory or acceptance s theory or acceptance theorytheory

Here, only followers decide whether a Here, only followers decide whether a person is a leader or not. Followers take person is a leader or not. Followers take decision on the quality of the leader who decision on the quality of the leader who fulfills their needs. Traits and fulfills their needs. Traits and behaviourbehaviourare not considered as essential element are not considered as essential element of leadership. This is mainly applied in of leadership. This is mainly applied in politics.politics.


System theory or a path goal System theory or a path goal theorytheory

This is focused on a personThis is focused on a person’’s act s act rather than his traits or rather than his traits or behaviourbehaviour. A . A leader coordinates the efforts of his leader coordinates the efforts of his followers. This considers all variables followers. This considers all variables like leader, followers, situation, like leader, followers, situation, leadership traits, environment goals leadership traits, environment goals and groupand group’’s nature, characteristics s nature, characteristics and needs, role and needs, role behaviourbehaviour of leader. It of leader. It is also termed as modern theory of is also termed as modern theory of leadership.leadership.


Functions of LeaderFunctions of LeaderTaking Taking

initiativeinitiativePlannerPlanner

Encouraging Encouraging othersothers

Leader

Representation

Guide

Arbitrator and

mediator

Rewards and Rewards and punishmentspunishments

IntegrationIntegration

ProductionProductionCommunicationCommunication


Qualities of LeadershipQualities of LeadershipPhysical appearance and strengthPhysical appearance and strengthmental mental vigourvigouremotional stabilityemotional stabilitysense of judgmentsense of judgmentgoodwillgoodwillmotivationmotivationcommunication skillcommunication skillguiding abilityguiding abilitysociabilitysociabilitytechnical knowledgetechnical knowledge


Autocratic leaderAutocratic leaderIntellectual leaderIntellectual leaderLiberal leaderLiberal leaderDemocratic leaderDemocratic leaderInstitutional leaderInstitutional leaderInducing leaderInducing leaderPaternal leaderPaternal leaderCreative leaderCreative leader

Types of LeadershipTypes of Leadership


Techniques of LeadershipTechniques of Leadership

Securing cooperationSecuring cooperationthe use of powerthe use of powercoordinationcoordinationdisciplinedisciplinemoralemorale


Characteristics of LeadershipCharacteristics of LeadershipThere must be followersThere must be followersworking relationship between leader and working relationship between leader and followersfollowerspersonal qualitypersonal qualityreciprocal relationshipreciprocal relationshipcommunity of interestscommunity of interestsguidanceguidancerelated to a particular situationrelated to a particular situationshard functionshard functionpower relationshippower relationship


Leadership StylesLeadership Styles

Positive stylePositive styleNegative styleNegative styleAutocratic or authoritarian styleAutocratic or authoritarian styleDemocratic styleDemocratic styleFreeFree--rein stylerein style


Positive stylePositive style

A leader motivates A leader motivates followers to work hard by followers to work hard by offering them rewards like offering them rewards like bonus and incentives bonus and incentives


Negative styleNegative styleLeader foresees his followers to Leader foresees his followers to work hard and penalize them if work hard and penalize them if the work is not upto the standard. the work is not upto the standard. This has high human cost. Here This has high human cost. Here everyone tries to shift everyone tries to shift responsibility over to others.responsibility over to others.


Autocratic or authoritarian styleAutocratic or authoritarian style

Advantages:Advantages:Leadership style provides strong Leadership style provides strong motivation to followers. motivation to followers. Quick decision is possible. Quick decision is possible. less talented followers can perform job less talented followers can perform job effectivelyeffectivelyFollowers do not take any decisionFollowers do not take any decisionDecision making planning need no Decision making planning need no initiativeinitiative


Autocratic or authoritarian styleAutocratic or authoritarian styleDisadvantagesDisadvantages

Most dislike this style as it takes negative Most dislike this style as it takes negative motivation approach.motivation approach.frustration, low morale and conflict develop frustration, low morale and conflict develop easilyeasilyNew ideas and creative ideas have no New ideas and creative ideas have no scope for applicationscope for applicationfollowers have no opportunity for followers have no opportunity for developmentdevelopment

Suitability: Suitability: It is suitable to where followers are It is suitable to where followers are uneducated and unskilled. uneducated and unskilled.


Democratic styleDemocratic styleAdvantagesAdvantages

Consultation give satisfaction to the followersConsultation give satisfaction to the followersdue reorganization is given to the followersdue reorganization is given to the followersfollowers are aware of the activitiesfollowers are aware of the activitiesleader can improve decision making abilityleader can improve decision making abilityfollowers get opportunity to show their abilityfollowers get opportunity to show their ability


Democratic styleDemocratic styleDisadvantagesDisadvantages

Taking decision and implementation Taking decision and implementation require more time.require more time.Followers can dominate the leaderFollowers can dominate the leaderleader can easily shift the responsibility leader can easily shift the responsibility to his followers for failureto his followers for failureit requires communicating skill on part of it requires communicating skill on part of leaders otherwise it may ruin the leaders otherwise it may ruin the organizationorganization


FreeFree--rein stylerein style

AdvantagesAdvantagesMorale and job satisfied of the followers Morale and job satisfied of the followers are increased to some extent.are increased to some extent.The talent of the followers is properly The talent of the followers is properly utilized.utilized.The followers get full opportunity to The followers get full opportunity to develop their talents.develop their talents.


FreeFree--rein stylerein style

DisadvantageDisadvantageThe leader does not care to motivate his The leader does not care to motivate his followers.followers.The contribution of a leader is nothing.The contribution of a leader is nothing.The leader does not support the follower The leader does not support the follower and no guidance is available to the and no guidance is available to the fanner.fanner.


THANK YOUTHANK YOU

principles of management – chpt 15 : leadership

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