Introduction

2. Introduction Leadership is contingent upon the interplay of all three aspects of the leader-follower-situation model. The four theories( Normative Decision Model; Situational Ldr Model; Contingency( LPC) Model and the path Goal Theory, reviewed in this chapter share several similarities: They are theories rather than someone�s personal opinions. They implicitly assume that leaders are able to accurately diagnose or assess key aspects of the followers and the leadership situation. With the exception of the contingency model, leaders are assumed to be able to act in a flexible manner. A correct match between situational and follower characteristics and leaders� behavior is assumed to have a positive effect on group or organizational outcomes.

3. The Normative Decision Model The level of input subordinates have in the decision-making process can and does vary substantially depending on the issue at hand. Vroom and Yetton (1973) maintained that leaders could often improve group performance by using an optimal amount of participation in the decision-making process. The normative decision model is directed solely at determining how much input subordinates should have in the decision-making process.

4. Decision Quality and Acceptance Vroom and Yetton believed decision quality and decision acceptance were the two most important criteria for judging the adequacy of a decision. Decision quality means that if the decision has a rational or objectively determinable �better or worse� alternative, the leader should select the better alternative. Decision acceptance implies that followers accept the decision as if it were their own and do not merely comply with the decision.

5. Continuum of Leader Behavior A number of studies have considered leadership styles. One of the first was done by Kurt Lewin and his associates at the University of Iowa. This study analyzed three leadership behaviors: autocratic, democratic, and laissez-faire. A leader with an autocratic style centralizes authority, dictates work methods, makes unilateral decisions, and limits employee participation. A leader with a democratic style involves employees in decision making, delegates authority, encourages participation in setting goals and work methods, and uses feedback to coach employees. A democratic-consultative leader seeks input from and hears the concerns of employees but makes all of the final decisions. A democratic-participative leader allows employees to �have a say� when decisions must be made. The laissez-faire leader gives employees complete freedom to make decisions and perform their jobs as they see fit. According to Lewin, a democratic style promotes higher quantity and quality of work. Does this mean that managers should always use a democratic style? Tannenbaum and Schmidt attempted to answer that question by developing a continuum of leader behaviors. According to their research, leadership behaviors range all the way from boss-centered (autocratic) to employee-centered (democratic) to Laissez-faire. Appropriate leadership behavior depends on several variables: the forces within the leader, such as comfort level with the chosen leadership style); forces within the employees (such as readiness to assume responsibility); and forces within the situation (such as time pressures). Tannenbaum and Schmidt proposed that managers should move toward more employee-centered styles in the long run because of the positive influence such behavior would have of the following: the motivation, decision quality, teamwork, morale, and development of employees.A number of studies have considered leadership styles. One of the first was done by Kurt Lewin and his associates at the University of Iowa. This study analyzed three leadership behaviors: autocratic, democratic, and laissez-faire. A leader with an autocratic style centralizes authority, dictates work methods, makes unilateral decisions, and limits employee participation. A leader with a democratic style involves employees in decision making, delegates authority, encourages participation in setting goals and work methods, and uses feedback to coach employees. A democratic-consultative leader seeks input from and hears the concerns of employees but makes all of the final decisions. A democratic-participative leader allows employees to �have a say� when decisions must be made. The laissez-faire leader gives employees complete freedom to make decisions and perform their jobs as they see fit. According to Lewin, a democratic style promotes higher quantity and quality of work. Does this mean that managers should always use a democratic style? Tannenbaum and Schmidt attempted to answer that question by developing a continuum of leader behaviors. According to their research, leadership behaviors range all the way from boss-centered (autocratic) to employee-centered (democratic) to Laissez-faire. Appropriate leadership behavior depends on several variables: the forces within the leader, such as comfort level with the chosen leadership style); forces within the employees (such as readiness to assume responsibility); and forces within the situation (such as time pressures). Tannenbaum and Schmidt proposed that managers should move toward more employee-centered styles in the long run because of the positive influence such behavior would have of the following: the motivation, decision quality, teamwork, morale, and development of employees.

6. DECISION MAKING Decision making is the most important of all leader activities Listening is the most important element to decision making Every decision you make- make it as if it is the most important one you ever made Risk taking is essential to good/ successful decision making The most obvious limitations on people�s ability to make the very best possible decision are imposed by their restricted capacity to process information correctly

7. The Decision-Making Process

8. Command Decisions Direct Decision happens rapidly Executive in nature

9. Consultative Decisions Spend more time making these types of decisions Involves the input of others The most informally made decisions

10. Consensus Decisions Decision is made by a group All parties agree to adhere to the decision made Requires trust

11. The Decision Tree

12. Factors From the Normative Decision Model and the Interactional Framework

13. Issues with the Normative Decision Model Questions could or should be placed in another part of the model. There are no questions about the leader�s personality, motivations, values, or attitudes. The Leader-Follower-Situation framework organizes concepts in a familiar conceptual structure. There is no evidence to show that leaders using the model are more effective overall than leaders not using the model. The model views decision making as taking place at a single point in time, assumes that leaders are equally skilled at using all five decision procedures, and assumes that some of the prescriptions of the model may not be the best for the given situation.

14. The Situational Leadership Model � Leader Behavior Task behaviors are defined as the extent to which the leader spells out the responsibilities of an individual group. Relationship behaviors can be defined as how much time the leader engages in two-way communication. Relationship behaviors include: Listening Encouraging Facilitating Clarifying Explaining why the task is important Giving support The relative effectiveness of these two behavior dimensions often depends on the situation.

15. Situational Leadership

16. The Situational Leadership Model � Follower Readiness Readiness refers to a follower�s ability and willingness to accomplish a particular task. Readiness is not an assessment of an individual�s personality, traits, values, age, etc. Any given follower could be low on readiness to perform one task but high on readiness to perform a different task.

17. Factors from the Situational Leadership Model and the Interactional Framework

18. Concluding Thoughts about the Situational Leadership Model The only situational consideration is knowledge of the task, and the only follower factor is readiness. Situational Leadership is usually appealing to students and practitioners because of its commonsense approach as well as its ease of understanding. Situational Leadership is a useful way to get leaders to think about how leadership effectiveness may depend somewhat on being flexible with different subordinates, not on acting the same way toward them all.

19. The Contingency Model Some leaders may be generally more supportive and relationship-oriented, whereas others may be more concerned with task or goal accomplishment. The contingency model suggests that leader effectiveness is primarily determined by selecting the right kind of leader for a certain situation or changing the situation to fit the particular leader�s style. To understand the contingency theory one must look first at the critical characteristics of the leader and then at the critical aspects of the situation.

20. Contingency Leadership Model Used to determine if one�s style is task or relationship oriented and if the situation matches the leader�s style to maximize performance.

21. HOW DOES THE CONTINGENCY THEORY WORK By measuring a leaders LPC score and the three situational variables, one can predict whether or not a leader is going to be effective in a particular setting. Once the nature of the situation is determined, the fit between the leaders style and the situation can be evaluated. LEADERS WILL NOT BE EFFECTIVE IN ALL SITUATIONS.

22. LPC Contingency Theory This theory assumes that a leader�s contribution to successful performance by his or her group is determined by the leader�s own traits in conjunction with various features of the situation. The most important personal characteristic is the leader�s esteem for his/her least preferred coworker (LPC). Low LPC leaders view this person in a negative light, and are primarily concerned with attaining successful task performance. High LPC leaders view this person in a positive light and are mainly concerned with establishing good relations with subordinates.

23. LPC Contingency Theory Three factors determine how favorable a given situation is to the leader: The nature of the leader�s relations with group members. The degree of structure in the task being performed. The leader�s position power. Situational control is high when the leader has positive relations with group members, a highly structured task, and has position power. Low LPC leaders tend to be more effective when situational control is either very high or very low. High LPC leaders are more effective when situational control is moderate.

24. The Least-Preferred Coworker Scale The scale instructs a leader to think of the single individual with whom he has had the greatest difficulty working and then to describe that individual in terms of a series of bipolar activities. Based on their LPC scores, leaders are categorized into two groups: Low-LPC leaders (primarily motivated by task) High-LPC leaders (primarily motivated by relationships)

25. Fiedler�s LPC Scale Fred Fiedler developed the least-preferred coworker (LPC) questionnaire can determine a person�s basic leadership orientation: either relationship-oriented or task oriented. Then, he isolated three situational criteria�leader-member relations, task structure, and position power�that can be manipulated to match properly with the behavioral orientation of the leader. The LPC questionnaire contains sixteen contrasting adjectives. The respondent must think of all the co-workers he or she has ever had and describe the one he or she least enjoyed working with by rating that person on a scale of 1 to 8 for each of the sixteen sets of contrasting adjectives. Fiedler believed that he could use the answers to the LPC questionnaire to determine the basic leadership style of the respondent. For example, if the LPC is described in positive terms, then the respondent is relationship-oriented. If, on the other hand, the LPC is described in unfavorable terms, then the respondent is task-oriented. Fiedler argued that leadership style is innate and cannot be changed according to situational variables. Therefore, after an individual�s basic leadership style has been determined, it is necessary to match the leader with the situation. Fred Fiedler developed the least-preferred coworker (LPC) questionnaire can determine a person�s basic leadership orientation: either relationship-oriented or task oriented. Then, he isolated three situational criteria�leader-member relations, task structure, and position power�that can be manipulated to match properly with the behavioral orientation of the leader. The LPC questionnaire contains sixteen contrasting adjectives. The respondent must think of all the co-workers he or she has ever had and describe the one he or she least enjoyed working with by rating that person on a scale of 1 to 8 for each of the sixteen sets of contrasting adjectives. Fiedler believed that he could use the answers to the LPC questionnaire to determine the basic leadership style of the respondent. For example, if the LPC is described in positive terms, then the respondent is relationship-oriented. If, on the other hand, the LPC is described in unfavorable terms, then the respondent is task-oriented. Fiedler argued that leadership style is innate and cannot be changed according to situational variables. Therefore, after an individual�s basic leadership style has been determined, it is necessary to match the leader with the situation.

26. LEADER-MEMBER RELATIONS Refers to the group atmosphere and to the degree of confidence, loyalty and attraction that followers feel for their leader. Positive atmosphere= trust; relations are good Negative atmosphere= unfriendly/ friction with relations

28. Situational Favorability Situational favorability is the amount of control the leader has over the followers. The more control a leader has over followers, the more favorable the situation is, at least from a leader�s perspective. Three sub-elements in situation favorability: Leader-member relations Task structure Position power

29. TASK STRUCTURE Refers to the degree to which the requirements of a task are clear and spelled out. Tasks that are structured tend to give more control to the leader whereas vague and unclear tasks lessen the leader�s control and influence.

30. POSITION POWER Refers to the amount of authority a leader has to reward or punish followers.

31. Contingency Model Octant Structure for Determining Situational Favorability

32. Prescriptions of the Model Leaders will try to satisfy their primary motivation when faced with unfavorable or moderately favorable situations. Leaders will behave according to their secondary motivational state only when faced with highly favorable situations. Instead of trying to change the leader, training would be more effective if it showed leaders how to recognize and change key situational characteristics to better fit their personal motivational hierarchies and behavioral tendencies.

33. Factors from Fiedler�s Contingency Theory and the Interactional Framework

34. I BELIEVE IF A LEADER TAKES CARE OF HIS/ HER PEOPLE, THEY WILL TAKE CARE OF THE TASKS.

35. SHOULD A LEADER ALWAYS ATTEMPT TO CHANGE HIS/ HER STYLE TO FIT THE SITUATION OR VISE VERSA OR WHAT?

36. Path-Goal LeadershipModel Used to select the leadership style that is appropriate to the situation to maximize performance and job satisfaction.

37. The Path Goal Model The theory contends that a leader will motivate subordinates only to the extent that the leader is perceived as helping them progress towards various goals by clarifying the actual paths to these goals/rewards. Based on the expectancy theory of motivation: Effort----------?Performance ---------?Outcomes (The likelihood that a given level of EFFORT will lead to successful completion of the task (PERFORMANCE) and the likelihood that task completion will lead to valued OUTCOMES (e.g., higher pay, recognition)

38. The Path-Goal Theory The underlying mechanism of the path-goal theory deals with expectancy, a cognitive approach to understanding motivation where people calculate: Effort-to-performance probabilities Performance-to-outcome probabilities Assigned valences or values to outcome

39. Path-Goal Theory This theory contends that subordinates will react favorably to leaders who are perceived as helping them make progress toward various goals by clarifying the paths to such rewards. Four basic leadership styles: Instrumental (directive): an approach focused on providing specific guidance, establishing work schedules and rules. Supportive: a style focused on establishing good relations with subordinates and satisfying their needs. Participative: a pattern in which the leader consults with subordinates, permitting them to participate in decisions. Achievement-oriented: an approach in which the leader sets challenging goals and seeks improvements in performance.

40. The Followers Path-goal theory contains two groups of follower variables: Satisfaction of followers Followers perception of their own abilities Followers will actively support a leader as long as they view the leader�s actions as a means for increasing their own level of satisfaction. Followers who believe they are perfectly capable of performing a task are not as apt to be motivated by, or as willing to accept, a directive leader as they would a leader who exhibits participative behavior.

41. The Situation Path-goal theory considers three situational factors that impact or moderate the effects of leader behavior on follower attitudes and behaviors: Task The formal authority system The primary work group These variables can often affect the impact of various leader behaviors. Path-goal theory maintains that follower and situational variables can impact each other.

42. Examples of Applying Path-Goal Theory

43. Concluding Thoughts about the Path-Goal Theory The path-goal theory assumes that the only way to increase performance is to increase follower�s motivation levels. The theory ignores the roles leaders play in selecting talented followers, building their skill levels through training, and redesigning their work. Path-goal theory provides a conceptual framework to guide researchers in identifying potentially relevant situational moderator variables. Path-goal theory illustrates that as models become more complicated, they may be more useful to researchers and less appealing to practitioners.

44. Factors from Path-Goal Theory and the Interactional Framework

45. Summary The four contingency theories of leadership: Normative decision model Situational leadership model Contingency model Path-goal theory All four theories implicitly assume that leaders can accurately assess key follower and situational factors. None of the models take into account how levels of stress, organizational culture and climate, working conditions, technology, economic conditions, or type of organizational design affect the leadership process.