Contemporary Issues in Leadership

There is nothing demoralizing than a leader who cannot clearly articulate why we are doing what we are doing –James

Kouzes and Barry Posner

Traditional & Inspirational Leadership Approaches Contrast

In last chapter we discussed traditional approaches- “leader is born not made”, behavior cues identify leader from non leaders, “Leadership and situations” and like. All what is ignored is importance of a leader as communicator. Now we come to point- leadership is influence a group of people. Framing– the way (using language to manage meaning) for leaders to influence how others see and understand events occurring. Moreover, it ability of the leader to inspire others to act beyond their immediate self-interest.

Two contemporary Theories of Leadership

1. Charismatic Leadership2. Transformational Leadership

3. Charismatic Leadership Theory:A leadership theory that states that

followers make attributions of heroic or extraordinary leadership abilities when they observe certain behaviors.

Key Characteristic of Charismatic Leaders

Whether charismatic leaders are born with qualities or learn how to be charismatic leader. Answer to both questions is YES.Four characteristics:1. Vision and Articulation: Has vision—

expressed as an idealized goal---that proposes future is better than status quo; and is able to clarify the importance of the vision in terms that are understandable to others.

Key Characteristic of Charismatic Leaders (continue)

2. Personal Risk. Willing to take on high personal risk, incur high costs, and engage in self-sacrifice to achieve the vision. 3. Sensitivity to followers Needs: Perceptive of others’ abilities and responsive to their needs and feelings.4. Unconventional Behavior: Engages in behaviors that are perceived as novel and counter to norms.

3 Steps to become Charismatic Leader

1. Maintaining an optimistic view; using passion as catalyst for generating enthusiasm; and communicating with the whole body, not just with words.

2. Drawing other by creating bond that inspires others to follow.

3. Bringing out the potential in followers by tapping into their emotions.

How Charismatic Leader Influence followers?

• There are four steps to influence others.1. Articulating an appealing Vision. The vision provides a sense of

continuity for followers by linking the present with a better future for the organization.

2. Articulating mission statement- that imprint on followers an overarching goal and purpose.

3. Setting the example for followers to imitate- leading from the front.

4. Engages followers in emotion-inducing and often unconventional behavior to demonstrate courage and convictions about the vision.

Effectiveness of Charismatic Leaders

The charismatic leaders are so popular and loved that people exert extra effort to achieve the organizational goals. But there are some specific situations where they are more successful.1. Ideological base.2. Stress inducing condition.3. Time of uncertainty.

Dark Side of charismatic Leadership

1. Ignoring the organizational interests 2. Most of them try to make the company to

improve their own image.3. Sometimes self and organizational interest

boundaries are blurred.4. Unable to accept criticism.5. Surrounded by yes-boss people who are

rewarded on their lip service.

Transformational VS Transactional Leaders

Transformational Leaders--- Leaders who inspire followers to transcend their own self-interests and who are capable of having a profound and extraordinary effect on followers.

Transactional Leaders--- Leaders who guide or motivate their followers in the direction of established goals by clarifying role and task requirements.

Characteristic of Transactional Leaders

1. Contingent Rewards; Contracts exchange of rewards for effort, promises rewards for good performance, recognizes accomplishments.

2. Management by Exception (Active): Watches and searches for deviations from rules and standards, takes correct action.

3. Managements by Exception(passive): Intervenes only if standards are not met.

4. Laissez-faire: Abdicates responsibilities, avoids making decisions.

Characteristics of Transformational Leaders

1. Idealized Influence: Provides vision and sense of mission, instills pride, gains respect and trust.

2. Inspirational Motivation: Communicates high expectations, uses symbols to focus efforts, expresses important purposes in simple ways.

3. Intellectual Stimulation: Promotes intelligence, rationality, and careful problem solving.

4. Individualized Consideration: Gives personal attention, treats each employee individually, coaches, advises.

Authentic Leadership Foundations-Ethics and Trust

Authentic Leadership: Leaders who know who they are, know what they believe in and value, and act on those values and beliefs openly and candidly. Their followers would consider then to be ethical people.

Socialized Charismatic Leadership

A leadership concept that states that leaders convey values that are other-centered versus self-centered and who role model ethical conduct.

Trust

Definition: A positive expectation that another will not act opportunistically.Positive Expectation– knowledge and familiarity about other party. Trust is history-dependent process based on relevant but limited samples of experience. It takes time to form, building incrementally and accumulating.Opportunistic– inherent risk and vulnerability in any trusting relationship. So when I trust someone, I expect that they will not take advantage of me- willingness to take risk.

Three types of Trust

There are three types of trust in organizational relationships.1. Deterrence-Based trust: Trust based on fear of

reprisal if the trust is violated.2. Knowledge-Based Trust– Trust based on behavioral

predictability that comes from a history of interaction.

3. Identification-Based Trust– Trust based on a mutual understanding of each other’s intentions and appreciation of each other’s wants and desires.

Basic Principles of TrustResearch allows us to offer some principles for better understanding

and creation of both trust and mistrust.1. Mistrust Drives Out Trust– People do not reciprocate trust. They conceal

information and take advantage of other opportunistically.2. Trust Begets Trust– Effective leaders increase trust in small increments

and allow others to respond in kind.3. Trust can be Regained—once it is violated, trust can be regained but only

in certain situation- with consistent pattern someone show trust worthiness.

4. Mistrusting Groups Self-destruct– when group members mistrust they tend to suspicious of each other, constantly guard against each other, and restrict communication with others in the group.

5. Mistrust Generally Reduces Productivity– Trust increase productivity and mistrust reduces productivity.

Contemporary Leadership Roles

Mentoring: A senior employee who sponsors and supports a less-experienced employee, called a prote’ge’.Two broad categories of mentoring functions:1. Career Functions– visible assignment, develop skills,

protect from possible risks, and nominating for potential advances and promotions.

2. Psychological Functions– Counseling anxieties, and uncertainty to help bolster her self-confidence, sharing personal experiences, providing friendship and acceptance, acting as role model.

Contemporary Leadership Roles (continues)

Self-Leadership- A set of processes through which individuals control their own behavior.Online Leadership– when you are face-to-face many things can be cleared but when you have to convey everything in words.