Fluent Essays

Write a brief summary of the important concepts you learned from chapter 12 & 13. (Chapter 12 & 13 summary attached and textbook attached) Writing Requirements Include Abstract APA format Only 2 pages in length (excluding cover page, abstract, and reference list) Only reference to textbook 12-1Copyright © 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 12-2 The Situation “When you’ve exhausted all possibilities, remember this: You haven’t!” ~Robert H. Schuller C h a p te r 12 12-3 Introduction • Situational engineering occurs when leaders use their knowledge of how the situation affects leadership to proactively change the situation to improve the chances of success. • Leaders in dangerous situations may adopt different strategies to be successful than they would in more normal situations. • The situation often explains more about what is going on and what kinds of leadership behaviors will be best than any other single variable. 12-4 Introduction (continued) • The appropriateness of a leader’s behavior in a group often makes sense only in the situational context in which the behavior occurs. • The situation, not someone’s traits or abilities, plays the most important role in determining who emerges as a leader. • Historically, great leaders emerge during social upheavals or economic crises. • Early situational theories asserted that leaders were made, not born, and that prior leadership experience helped forge effective leaders. 12-5 Introduction (continued) • Role theory: A leader’s behavior depends on the leader’s perceptions of critical aspects of the situation. – Rules and regulations governing the job – Role expectations of subordinates, peers, and superiors – Nature of the task – Feedback about subordinates’ performance • Multiple-influence model identifies 2 factors: – Microvariables (e.g., task characteristics) – Macrovariables (e.g., the external environment) • The three main situational levels of abstraction are task, organizational, and environmental. 12-6 An Expanded Leader-Follower- Situation Model Figure 12.1: An Expanded Leader–Follower– Situation Model 12-7 How Tasks Vary, and What That Means for Leadership • Task Autonomy: Degree to which a job provides an individual with some control over what is done and how it is done. • Task Feedback: Degree to which a person accomplishing a task receives information about performance from performing the task itself. • Task Structure: Degree to which there are known procedures for accomplishing the task and rules governing how one goes about it. • Task Interdependence: Degree to which tasks require coordination and synchronization for work groups or teams to accomplish a desired goals. 12-8 Problems and Challenges • Technical problems are challenges for which the problem-solving resources already exist. – Resources have two aspects: specialized methods and specialized expertise. – Technical problems can be solved without changing the nature of the social system in which they occur. • Adaptive problems cannot be solved using currently existing resources or ways of thinking. – It can be difficult reaching a common definition of what the problem really is. – Adaptive problems can only be solved by changing the system itself. – Adaptive problems, which involve people’s values, require adaptive leadership for solutions. 12-9 Adaptive and Technical Challenges Table 12.1: Adaptive and Technical Challenges 12-10 From the Industrial Age to the Information Age • In the information age, many fundamental assumptions of the industrial age are becoming obsolete. • Kaplan and Norton identified six changes in the ways companies operate to address the changes in the environment. – Cross functions – Links to customers and suppliers – Customer segmentation – Global scale – Innovation – Knowledge workers 12-11 From the Industrial Age to the Information Age (continued) • Cross Functions: Organizations must operate with integrated business processes that cut across traditional business functions. • Links to Customers and Suppliers: IT enables organizations to integrate supply, production, and delivery processes resulting in improvements in cost, quality, and response time. • Customer Segmentation: Companies must learn to offer customized products and services to diverse customer segments. 12-12 From the Industrial Age to the Information Age (continued) • Global Scale: Companies today compete against the best companies throughout the entire world. • Innovation: As product life cycles continue to shrink, companies must be masters at anticipating customers’ future needs, innovating new products and services, and rapidly deploying new technologies into efficient delivery processes. • Knowledge Workers: All employees must contribute value by what they know and by the information they can provide. 12-13 The Formal Organization • Studying the formal organization involves the disciplines of management, organizational behavior, and organizational theory and can have a profound impact on leadership. • Level of authority is the hierarchical level in an organization. • Organizational structure is the way an organization’s activities are coordinated and controlled. It represents another level of the situation in which leaders and followers must operate. 12-14 The Formal Organization (continued) • Organizational structures vary in complexity. – Horizontal complexity is the number of “boxes” at any particular organizational level in an organizational chart. – Vertical complexity is the number of hierarchical levels appearing on an organizational chart. – Spatial complexity describes the geographical dispersion of an organization’s members. • Organizations vary in their degree of formalization. – Formalization is the degree of standardization, which usually varies with size. – Centralization is the diffusion of decision making. 12-15 The Informal Organization: Organizational Culture • Informal organization generally refers to organizational culture. • Organizational culture is a system of shared backgrounds, norms, values, or beliefs among members of a group. • Organizational climate concerns members’ subjective reactions to the organization, which is partly a function of organizational culture. 12-16 Some Questions That Define Organizational Culture Table12.2: Some Questions That Define Organizational Culture Source: Adapted from R. H. Kilmann and M. J. Saxton, Organizational Cultures: Their Assessment and Change (San Francisco: Jossey-Bass, 1983). 12-17 The Informal Organization: Organizational Culture (continued) • Leaders can change culture by attending to or ignoring particular issues, problems, or projects. • Leaders can modify culture: – Through their reactions to crises. – By rewarding new or different kinds of behavior. – By eliminating previous punishments or negative consequences for certain behaviors. 12-18 A Theory of Organizational Culture • The values depicted on opposite ends of each axis in the Competing Values Framework are inherently in tension with each other. • An organization’s culture represents a balance between these competing values. • People tend not to be consciously aware of their own organization’s culture. • The framework helps organizations be more deliberate in identifying a culture more likely to be successful given their respective situations, and in transitioning to it. 12-19 The Competing Values Framework Figure 12.2: The Competing Values Framework Source: K. S. Cameron and R. E. Quinn, Diagnosing and Changing Organizational Culture (Reading, MA: Addison-Wesley, 1999), p. 32. 12-20 A Theory of Organizational Culture (continued) • The distinctive sets of values in the four quadrants of the Competing Values Framework define four unique organizational cultures. – Hierarchy cultures tend to have formalized rules and procedures. – Market cultures emphasize stability and control but focus their attention on the external environment. – Clan cultures emphasize flexibility and discretion, focus primarily inward, and have a strong sense of cohesiveness. – Adhocracy cultures emphasize a high degree of flexibility and discretion and focus primarily on the environment outside the organization. 12-21 The Environment • Ronald Heifetz argues that leaders not only are facing more crises than ever before but that a new mode of leadership is needed because we’re in a permanent state of crisis. • Change has become so fast and so pervasive that it impacts virtually every organization everywhere, and everyone in them. • VUCA describes this new state of affairs: volatile, uncertain, complex, and ambiguous. • Leadership has never been easy and appears to be growing more difficult. 12-22 Contrasting Different Environments in the Situational Level Figure 12.4: Contrasting Different Environments in the Situational Level 12-23 The Environment (continued) • It is critical for leaders to have an understanding of societal culture and the associated beliefs, characteristics, and customs. Failure to do so can result in conflicts and misunderstandings. • Societal culture refers to those learned behaviors characterizing the total way of life of members within any given society. • Business leaders in the global context need to become aware and respectful of cultural differences and cultural perspectives. 12-24 The GLOBE Study • GLOBE, the Global Leadership and Organizational Behavior Effectiveness Research Program, is based on implicit leadership theory. – Individuals have implicit beliefs/assumptions about attributes/behaviors that distinguish leaders from followers, effective leaders from ineffective leaders, and moral from immoral leaders. – Relatively distinctive implicit theories of leadership characterize different societal cultures from each other as well as organizational cultures within those societal cultures, i.e., culturally endorsed implicit theories of leadership (CLT). 12-25 The GLOBE Study (continued) • GLOBE identified 6 dimensions for assessing CLT across all global cultures. – Charismatic/value-based leadership inspires, motivates, and expects high performance from others on the basis of firmly held core values. – Team-oriented leadership emphasizes effective team building and implementation of a common goal. – Participative leadership is the degree that managers involve others in making/implementing decisions. – Humane-oriented leadership is supportive. – Autonomous leadership is independent leadership. – Self-protective leadership focuses on ensuring the security of the individual or group member. 12-26 CLT Leadership Dimensions Table12.4: Relative Rankings of Selected Societal Clusters on CLT Leadership Dimensions 12-27 Universally Positive Leadership Attributes Table12.5: Leader Attributes and Behaviors Universally Viewed as Positive Source: Adapted from House et al., Cultural Influences on Leadership and Organizations: Project Globe. Advances in Global Leadership, vol. 1 (JAI Press, 1999), pp. 171–233. 12-28 Universally Negative Leadership Attributes TABLE 12.6 Leader Attributes and Behaviors Universally Viewed as Negative Source: Adapted from House et al., Cultural Influences on Leadership and Organizations: Project Globe. Advances in Global Leadership, vol. 1 (JAI Press, 1999), pp. 171–233. 12-29 Culturally Contingent Leadership Attributes TABLE 12.7 Examples of Leader Behaviors and Attributes That Are Culturally Contingent Source: Adapted from House et al., Cultural Influences on Leadership and Organizations: Project Globe. Advances in Global Leadership, vol. 1 (JAI Press, 1999), pp. 171–233. 12-30 Implications for Leadership Practitioners • Leadership practitioners should expect to face a variety of challenges to their own systems of ethics, values, or attitudes during their careers. • People holding seemingly antithetical values may need to work together, and dealing with diverse values will be an increasingly common challenge for leaders. • Leaders in particular have a responsibility not to let their own personal values interfere with professional leader–subordinate relationships unless the conflicts pertain to issues clearly relevant to the work and the organization. 12-31 Summary • The situation may be the most complex factor in the leader–follower–situation framework. • Situations vary in complexity and strength. • The organizational level includes both the formal organization and informal organization. • An increasingly important variable at the environmental level is societal culture, which involves learned behaviors that guide the distinctive mannerisms, ways of thinking, and values within particular societies. 13-1Copyright © 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 13-2 Contingency Theories of Leadership “It is a capital mistake to theorize before one has data.” ~Sir Arthur Conan Doyle C h a p te r 13 13-3 Introduction • Leadership is contingent upon the interplay of all three aspects of the leader-follower-situation (L-F-S) model. • Four other theories share similarities: – They are theories rather than 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. 13-4 Leader-Member Exchange (LMX) • LMX argues that leaders do not treat all followers like a uniform group of equals. • The leader forms specific and unique linkages with each subordinate, creating a series of dyadic relationships. – With the out-group, or low-quality exchange relationships, interpersonal interaction is limited to fulfilling contractual obligations. – With the in-group, leaders form high-quality exchange relationships that go beyond what the job requires and benefit both parties. 13-5 The Cycle of Leadership Making Table 13.1: The Cycle of Leadership Making: Source: Adapted from G. B. Graen and M. Uhl-Bien, “Relationship-Based Approach to Leadership: Development of Leader–Member Exchange (LMX) Theory over 25 Years: Applying a Multi-Level Multi-Domain Perspective,” Leadership Quarterly 6 (1995), pp. 219–47. 13-6 The Normative Decision Model • The level of input subordinates have in decision-making varies substantially depending on the issue, the followers’ technical expertise, or the presence/absence of a crisis. • Vroom and Yetton 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. 13-7 Levels of Participation • The normative decision model was designed to improve some aspects of leadership effectiveness. • Vroom and Yetton explored how various leader, follower, and situational factors affect the degree of subordinates’ participation in the decision-making process and, in turn, group performance. • A continuum of decision-making processes ranging from completely autocratic (AI) to completely democratic (GII) was discovered. 13-8 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. • As with quality, acceptance of a decision is not always critical for implementation. 13-9 The Decision Tree • Vroom and Yetton developed a normative decision model and a set of questions to protect quality and acceptance by eliminating decision processes that would be wrong/inappropriate. • Most questions concern the problem itself, the amount of pertinent information possessed by the leader and followers, and situational factors. • The questions were incorporated into a decision tree. 13-10 Vroom and Yetton’s Leadership Decision Tree FIGURE 13.1 Vroom and Yetton’s Leadership Decision Tree Source: Reprinted from V. H. Vroom and P. W. Yetton, Leadership and Decision Making, by permission of the University of Pittsburgh Press, © 1973 University of Pittsburgh Press. 13-11 Concluding Thoughts about the Normative Decision Model • Some questions could/should be placed elsewhere, and no questions address a leader’s personality, values, motivations, or attitudes. • The L-F-S framework organizes concepts in a familiar conceptual structure. • No proof that leaders using the model are more effective overall than leaders not using it. • The model also: – Views decision making as taking place at a single point in time. – Assumes that leaders are equally skilled at using all five decision procedures. – Assumes that some of the prescriptions of the model may not be the best for the given situation. 13-12 Factors from the Normative Decision Model and the Interactional Framework FIGURE 13.2 Factors from the Normative Decision Model and the Interactional Framework 13-13 The Situational Leadership Model • The Situational Leadership model focuses on two leadership behavior categories. • Task behaviors are the extent to which the leader spells out the responsibilities of an individual or group. – Telling people what to do, how/when to do it, and who is to do it • Relationship behaviors are how much the leader engages in two-way communication. – Listening, encouraging, facilitating, clarifying, explaining why the task is important, giving support • The relative effectiveness of the two behavior dimensions often depends on the situation. 13-14 Situational Leadership FIGURE 13.3 Situational Leadership ® Source: P. Hersey, K. Blanchard, and D. Johnson, Management of Organizational Behavior: Utilizing Human Resources, 7th ed. (Englewood Cliffs, NJ: Prentice Hall, 1996), p. 200. Copyright © 2006. Reprinted with permission of the Center for Leadership Studies, Inc., Escondido, CA 92025. All rights reserved 13-15 The Situational Leadership Model (continued) • Follower readiness refers to a follower’s ability and willingness to accomplish a particular task. • It is not a personal characteristic, but rather how ready an individual is to perform 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. 13-16 The Situational Leadership Model (continued) • While combining follower readiness levels with the four combinations of leader behaviors, four segments emerge along a continuum. • Along this continuum, however, the assessment of follower readiness can be fairly subjective. • A leader may like to see followers increase their level of readiness for particular tasks by implementing a series of developmental interventions to help boost follower readiness levels. • The intervention is designed to help followers in their development. 13-17 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 usually appeals to students and practitioners because of its commonsense approach and ease of understanding. • It 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. 13-18 Factors from the Situational Leadership® Model and the Interactional Framework FIGURE 13.4 Factors from the Situational Leadership ® Model and the Interactional Framework 13-19 The Contingency Model • Although leaders may be able to change their behaviors toward individual subordinates, they also have dominant behavioral tendencies. • 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. • Some leaders are better than others in some situations but less effective in other situations. 13-20 The Least Preferred Co-worker Scale • Fiedler’s least preferred co-worker (LPC) scale has a leader consider the single individual that has been the most difficult to work with and then describe that person in terms of bipolar adjectives (friendly-unfriendly, boring-interesting, sincere-insincere). • Those ratings are then converted into a numerical score. • The score represents something about the leader, not the specific individual the leader evaluated. 13-21 Motivational Hierarchies for Low- and High-LPC Leaders FIGURE 13.5 Motivational Hierarchies for Low- and High-LPC Leaders 13-22 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 • The relative weights of the 3 components, taken together, can be used to create a continuum of situational favorability. 13-23 Contingency Model Octant Structure for Determining Situational Favorability FIGURE 13.6 Contingency Model Octant Structure for Determining Situational Favorability 13-24 Prescriptions of the Model • Leaders will try to satisfy a primary motivation when faced with unfavorable or moderately favorable situations and will behave according to their secondary motivational state only when faced with highly favorable situations. • Leadership training should stress situational engineering rather than behavioral flexibility. • Organizations could be more effective by matching a leader’s characteristics with situational demands instead of trying to change a leader’s behavior to fit the situation. 13-25 Prescriptions of the Model FIGURE 13.7 Leader Effectiveness Based on the Contingency between Leader LPC Score and Situation Favorability 13-26 Factors from Fiedler’s Contingency Theory and the Interactional Framework FIGURE 13.8 Factors from Fiedler’s Contingency Theory and the Interactional Framework 13-27 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. • Path-goal theory uses the same basic assumptions as expectancy theory. • A leader’s actions should strengthen followers’ beliefs that if they exert a certain level of effort, they will be more likely to accomplish a task, and if they accomplish the task, they will be more likely to achieve some valued outcome. 13-28 The Path-Goal Theory (continued) • Leaders may use varying styles with different subordinates and differing styles with the same subordinates in different situations. • Followers will actively support a leader if they view the leader’s actions as a way to increase their own levels of satisfaction. • Followers’ perceptions of their own skills can affect the impact of certain leader behaviors. • Situational factors impact the effects of leader behavior on follower attitudes and behaviors: – Task – Formal authority system – Primary work group 13-29 The Four Leader Behaviors of Path-Goal Theory TABLE 13.2 The Four Leader Behaviors of Path–Goal Theory 13-30 Interaction between Followers’ Locus of Control Scores and Leader Behavior in Decision Making FIGURE 13.9 Interaction between Followers’ Locus of Control Scores and Leader Behavior in Decision Making. Source: Adapted from T. R. Mitchell, C. M. Smyser, and S. E. Weed, “Locus of Control: Supervision and Work Satisfaction,” Academy of Management Journal 18 (1975), pp. 623– 30. 13-31 Examples of Applying Path-Goal Theory FIGURE 13.10 Examples of Applying Path–Goal Theory 13-32 Factors from Path-Goal Theory and the Interactional Framework FIGURE 13.11 Factors from Path–Goal Theory and the Interactional Framework 13-33 Summary • The five contingency theories of leadership: – Leader-Member Exchange (LMX) – Normative decision model – Situational Leadership model – Contingency model – Path-goal theory • They specify that leaders should make their behaviors contingent on certain aspects of the followers or the situation. • All four theories implicitly assume that leaders can accurately assess key follower and situational factors. • All theories have mixed support in field settings because they are all limited in scope. This page intentionally left blank Leadership Enhancing the Lessons of Experience Seventh Edition Richard L. Hughes Robert C. Ginnett Gordon J. Curphy hug12656_fm_i-xviii.indd Page i 1/19/11 1:07 PM user-f494hug12656_fm_i-xviii.indd Page i 1/19/11 1:07 PM user-f494 /204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles/204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles LEADERSHIP: ENHANCING THE LESSONS OF EXPERIENCE Published by McGraw-Hill/Irwin, a business unit of The McGraw-Hill Companies, Inc., 1221 Avenue of the Americas, New York, NY, 10020. Copyright © 2012, 2009, 2006, 2002, 1999, 1996, 1993 by The McGraw-Hill Companies, Inc. All rights reserved. No part of this publication may be reproduced or distributed in any form or by any means, or stored in a database or retrieval system, without the prior written consent of The McGraw-Hill Companies, Inc., including, but not limited to, in any network or other electronic storage or transmission, or broadcast for distance learning. Some ancillaries, including electronic and print components, may not be available to customers outside the United States. This book is printed on acid-free paper. 1 2 3 4 5 6 7 8 9 0 DOC/DOC 1 0 9 8 7 6 5 4 3 2 1 ISBN 978-0-07-811265-2 MHID 0-07-811265-6 Vice president and editor-in-chief: Brent Gordon Executive director of development: Ann Torbert Managing development editor: Laura Hurst Spell Development editor: Jane Beck Vice president and director of marketing: Robin J. Zwettler Marketing director: Amee Mosley Associate marketing manager: Jaime Halteman Vice president of editing, design, and production: Sesha Bolisetty Project manager:   Dana   M.   Pauley Senior buyer: Carol A. Bielski Design coordinator: Joanne Mennemeier Senior media project manager: Susan Lombardi Media project manager: Suresh Babu, Hurix Systems Pvt. Ltd. Typeface: 10/12 Palatino Compositor: Aptara®, Inc. Printer: R. R. Donnelley Library of Congress Cataloging-in-Publication Data Hughes, Richard L. Leadership : enhancing the lessons of experience / Richard L. Hughes, Robert C. Ginnett, Gordon J. Curphy. — 7th ed. p. cm. Includes index. ISBN-13: 978-0-07-811265-2 (alk. paper) ISBN-10: 0-07-811265-6 (alk. paper) 1. Leadership. I. Ginnett, Robert C. II. Curphy, Gordon J. III. Title. HM1261.H84 2012 303.394—dc22 2010052313 www.mhhe.com hug12656_fm_i-xviii.indd Page ii 1/20/11 7:46 PM user-f494hug12656_fm_i-xviii.indd Page ii 1/20/11 7:46 PM user-f494 /204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles/204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles www.mhhe.com iii About the Authors Rich Hughes has served on the faculties of both the Center for Creative Leadership (CCL) and the U.S. Air Force Academy. CCL is an interna- tional organization devoted to behavioral science research and leadership education. He worked there with senior executives from all sectors in the areas of strategic leadership and organizational culture change. At the Air Force Academy he served for a decade as head of its Department of Be- havioral Sciences and Leadership. He is a clinical psychologist and a grad- uate of the U.S. Air Force Academy. He has an MA from the University of Texas and a PhD from the University of Wyoming . Robert Ginnett is an independent consultant specializing in the leader- ship of high-performance teams and organizations. He is the developer of the Team Leadership Model, © which provides the theoretical framework for many interventions in organizations where teamwork is critical. This model and its real-time application have made him an internationally rec- ognized expert in his field. He has worked with hundreds of organiza- tions including Novartis, Prudential, Fonterra, Mars, GlaxoSmithKlein, Boston Scientific, Daimler Benz, NASA, the Defense and Central Intelli- gence Agencies, the National Security Agency, United and Delta Airlines, Textron, and the United States Army, Navy, and Air Force. Prior to work- ing independently, Robert was a senior fellow at the Center for Creative Leadership and a tenured professor at the U.S. Air Force Academy, where he also served as the director of leadership and counseling. Additionally, he served in numerous line and staff positions in the military, including leadership of an 875-man combat force in the Vietnam War. He spent over 10 years working as a researcher for the National Aeronautics and Space Administration, focusing his early work in aviation crew resource management, and later worked at the Kennedy Space Center in the post- Challenger period. Robert is an organizational psychologist whose educa- tion includes a master of business administration degree, a master of arts, a master of philosophy, and a PhD from Yale University. Gordy Curphy is the president of C3, a human resource consulting firm that helps public and private sector clients achieve better results through people. Gordy has over 25 years of leadership and technical expertise in job analysis and competency modeling; hourly staffing systems; multirater feedback systems; performance management design and implementation; leadership development design, delivery, and evaluation; survey construc- tion, administration, and analysis; assessment center methodology; executive coaching, training, and team building; succession planning; team and organizational effectiveness; and strategic and business planning. hug12656_fm_i-xviii.indd Page iii 1/19/11 1:07 PM user-f494hug12656_fm_i-xviii.indd Page iii 1/19/11 1:07 PM user-f494 /204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles/204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles iv About the Authors Prior to forming his own consulting firm, Gordy spent 10 years as a vice president of institutional leadership at the Blandin Foundation and as a vice president and general manager at Personnel Decisions International. He is an industrial/organizational psychologist and a graduate of the U.S. Air Force Academy. He has an MA from the University of St. Mary’s and a PhD in industrial/organizational psychology from the University of Minnesota. hug12656_fm_i-xviii.indd Page iv 1/19/11 1:07 PM user-f494hug12656_fm_i-xviii.indd Page iv 1/19/11 1:07 PM user-f494 /204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles/204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles v Foreword The first edition of this popular, widely used textbook was published in 1993, and the authors have continually upgraded it with each new edition including this one—the seventh. For this newest edition I’ve written some- thing of a new foreword. In a sense, no new foreword is needed; many principles of leadership are timeless. For example, their references to Shakespeare and Machiavelli need no updating. However, they have refreshed their examples and an- ecdotes, and they have kept up with the contemporary research and writ- ing of leadership experts. Ironically, one of their most riveting new examples falls into the “Dark Side of Leadership” chapter, where they in- clude the horrific example of Richard Fuld, the CEO who presided over the disintegration, destruction, and bankruptcy of Lehman Brothers, the fourth-largest investment bank in the world. Over a five-year period (when he was paid a total of $300,000,000), Fuld kept stretching the rubber band of increasingly risky investments while at the same time stretching another rubber band of tricky financial reporting until they both snapped simultaneously, bringing the world’s financial system close to the brink of disaster. His actions cost the jobs of 25,000 employees and the loss of bil- lions of dollars by investors. Yeoman work by other leaders avoided the brink but could not prevent a painful economic recession. This brutal ex- ample, in a perverse way, once again emphasizes the power of leadership. Such examples keep this book fresh and relevant; but the earlier fore- word, reprinted here, still captures the tone, spirit, and achievements of these authors’ work: Often the only difference between chaos and a smoothly functioning operation is leadership; this book is about that difference. The authors are psychologists; therefore the book has a distinctly psy- chological tone. You, as a reader, are going to be asked to think about lead- ership the way psychologists do. There is much here about psychological tests and surveys, about studies done in psychological laboratories, and about psychological analyses of good (and poor) leadership. You will of- ten run across common psychological concepts in these pages, such as personality, values, attitudes, perceptions, and self-esteem, plus some not- so-common “jargon-y” phrases like double-loop learning, expectancy theory, and perceived inequity. This is not the same kind of book that would be written by coaches, sales managers, economists, political scien- tists, or generals. Be not dismayed. Because these authors are also teachers with a good eye and ear for what students find interesting, they write clearly and cleanly, and they have also included a host of entertaining, stimulating snapshots of leadership: cartoons, quotes, anecdotal Highlights, and hug12656_fm_i-xviii.indd Page v 1/19/11 1:07 PM user-f494hug12656_fm_i-xviii.indd Page v 1/19/11 1:07 PM user-f494 /204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles/204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles vi Foreword personal glimpses from a wide range of intriguing people, each offered as an illustration of some scholarly point. Also, because the authors are, or have been at one time or another, together or singly, not only psychologists and teachers but also children, students, Boy Scouts, parents, professors (at the U.S. Air Force Academy), Air Force officers, pilots, church members, athletes, administrators, insatia- ble readers, and convivial raconteurs, their stories and examples are drawn from a wide range of personal sources, and their anecdotes ring true. As psychologists and scholars, they have reviewed here a wide range of psychological studies, other scientific inquiries, personal reflections of leaders, and philosophic writings on the topic of leadership. In distilling this material, they have drawn many practical conclusions useful for cur- rent and potential leaders. There are suggestions here for goal setting, for running meetings, for negotiating, for managing conflict within groups, and for handling your own personal stress, to mention just a few. All leaders, no matter what their age and station, can find some useful tips here, ranging over subjects such as body language, keeping a journal, and how to relax under tension. In several ways the authors have tried to help you, the reader, feel what it would be like “to be in charge.” For example, they have posed quanda- ries such as the following: You are in a leadership position with a budget provided by an outside funding source. You believe strongly in, say, Topic A, and have taken a strong, visible public stance on that topic. The head of your funding source takes you aside and says, “We disagree with your stance on Topic A. Please tone down your public statements, or we will have to take another look at your budget for next year.” What would you do? Quit? Speak up and lose your budget? Tone down your public statements and feel dishonest? There’s no easy answer, and it’s not an unusual situation for a leader to be in. Sooner or later, all lead- ers have to confront just how much outside interference they will tolerate in order to be able to carry out programs they believe in. The authors emphasize the value of experience in leadership develop- ment, a conclusion I thoroughly agree with. Virtually every leader who makes it to the top of whatever pyramid he or she happens to be climbing does so by building on earlier experiences. The successful leaders are those who learn from these earlier experiences, by reflecting on and analyzing them to help solve larger future challenges. In this vein, let me make a sug- gestion. Actually, let me assign you some homework. (I know, I know, this is a peculiar approach in a book foreword; but stay with me—I have a point.) Your Assignment: To gain some useful leadership experience, per- suade eight people to do some notable activity together for at least two hours that they would not otherwise do without your intervention. Your only restriction is that you cannot tell them why you are doing this. It can be any eight people: friends, family, teammates, club members, neighbors, students, working colleagues. It can be any activity, except that hug12656_fm_i-xviii.indd Page vi 1/19/11 1:07 PM user-f494hug12656_fm_i-xviii.indd Page vi 1/19/11 1:07 PM user-f494 /204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles/204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles Foreword vii it should be something more substantial than watching television, eating, going to a movie, or just sitting around talking. It could be a roller-skating party, an organized debate, a songfest, a long hike, a visit to a museum, or volunteer work such as picking up litter or visiting a nursing home. If you will take it upon yourself to make something happen in the world that would not have otherwise happened without you, you will be engaging in an act of leadership with all of its attendant barriers, burdens, and plea- sures, and you will quickly learn the relevance of many of the topics that the authors discuss in this book. If you try the eight-person-two-hour ex- perience first and read this book later, you will have a much better under- standing of how complicated an act of leadership can be. You will learn about the difficulties of developing a vision (“Now that we are together, what are we going to do?”), of motivating others, of setting agendas and timetables, of securing resources, of the need for follow-through. You may even learn about “loneliness at the top.” However, if you are successful, you will also experience the thrill that comes from successful leadership. One person can make a difference by enriching the lives of others, if only for a few hours. And for all of the frustrations and complexities of leader- ship, the tingling satisfaction that comes from success can become almost addictive. The capacity for making things happen can become its own motivation. With an early success, even if it is only with eight people for two hours, you may well be on your way to a leadership future. The authors believe that leadership development involves reflecting on one’s own experiences. Reading this book in the context of your own lead- ership experience can aid in that process. Their book is comprehensive, scholarly, stimulating, entertaining, and relevant for anyone who wishes to better understand the dynamics of leadership, and to improve her or his own personal performance. David P. Campbell hug12656_fm_i-xviii.indd Page vii 1/19/11 1:07 PM user-f494hug12656_fm_i-xviii.indd Page vii 1/19/11 1:07 PM user-f494 /204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles/204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles viii Preface Perhaps by the time they are fortunate enough to have completed six edi- tions of a textbook, it is a bit natural for authors to believe something like, “Well, now we’ve got it just about right . . . there couldn’t be too many changes for the next edition” (that is, this one). But as our experience con- sistently has been since the first edition, the helpful suggestions of users and reviewers always provide helpful grist for improvement. The changes made in this edition are far more extensive than we would have predicted a year ago, and we believe this edition is better because of them. We have made a number of significant changes to this book’s structure and format as well as the kind of normal updates you would expect (such as adding timely references, including new Highlights, and pruning dated stories). Let us briefly review here some of the major changes to this edi- tion. Some of these can be characterized as a generalized effort to better integrate material covered in multiple chapters in previous editions into single chapters in this edition. For example, we have combined material from the first two chapters in all previous editions into the first chapter of this edition with an overall leaner and more consolidated treatment of the material. As another example, we have moved material about mentoring, coaching, and development planning from the chapter about leader be- havior into the chapter about leader development while also eliminating material from earlier editions of the development chapter that over time had become somewhat out of date. Another major change is the complete elimination of the chapter about assessing leadership. We struggled with this chapter through all previous editions in our efforts to adequately cover material that we believe important but that to many others is dry and perhaps not that important in an introduc- tory course. We finally concluded that the cost of an entire chapter that either was not covered by many of our textbook users, or was found problematic by others who did, was simply not worth it. (Sneakily, we must admit that a lit- tle of that material might have found its way into other chapters.) The chapter now called “Leadership, Ethics and Values” also includes many changes. There is an extended treatment of ethical leadership, and more explicit linkages are drawn among ethics, values, ethical leadership, authentic leadership, and servant leadership. In the spirit of consolidation and integration, some material about character development from other chapters in the previous edition is now included in this chapter instead. Finally, the “Leading across Cultures” section, which was in the “Leader- ship and Values” chapter of our sixth edition, is now part of “The Situa- tion” chapter in this edition because it fits better there thematically. Speaking about our chapter addressing the role of the situation in lead- ership, it also has undergone other significant changes. In general, these hug12656_fm_i-xviii.indd Page viii 1/19/11 1:07 PM user-f494hug12656_fm_i-xviii.indd Page viii 1/19/11 1:07 PM user-f494 /204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles/204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles Preface ix changes represent our effort to reorient the chapter more toward leader- ship issues than toward organizational behavior or management. Thus the chapter not only discusses the leadership challenges of leading glob- ally but also explores the topic of organizational culture. The chapter also takes a new look at the role of leadership in dealing with increasing envi- ronmental change. The final major change to this edition reorganizes the content covered in our sections about leadership skills into four chapters, each one now representing the final chapter in each of the book’s four parts, and each chapter focusing on a distinctive aspect of a leader ’s challenges. There also are two new skills added: “Creating a Compelling Vision” and “Your First 90 Days as a Leader.” There are other changes to the seventh edition as well, though they are generally smaller in scope and less systematic than those just mentioned. For example, greater attention is now given to LMX theory in the “Contin- gency Theories” chapter; leading virtual teams gets more extended treat- ment in “Groups, Teams, and Their Leadership”; and new Highlights and Profiles in Leadership appear throughout the book. As always, we are indebted to the superb editorial staff at McGraw- Hill/Irwin, including Jane Beck, our editorial coordinator, Laura Spell, the managing development editor, Dana Pauley, the project manager, and Jaime Halteman, our marketing manager. They all have been wise, sup- portive, helpful, and pleasant partners in this process, and it has been our good fortune to know and work with such a professional team. And as we noted at the beginning of this preface, we are also indebted to the individu- als whose evaluations and constructive suggestions about the previous edition provided the foundation for many of our revisions. We are grateful for the scholarly and insightful comments from all of our reviewers: John Anderson Walsh College Mark Arvisais Towson University David Lee Baker Kent State University Herbert Barber Virginia Military Institute Erich Baumgartner Andrews University Ellen Benowitz Mercer County Community College Kenneth Campbell North Central College Cheree Causey University of Alabama–Tuscaloosa Jeewon Cho Montclair State University Marie Gould Peirce College Donald Howard Horner U.S. Naval Academy Osmond Ingram Jr. Dallas Baptist University hug12656_fm_i-xviii.indd Page ix 1/19/11 1:07 PM user-f494hug12656_fm_i-xviii.indd Page ix 1/19/11 1:07 PM user-f494 /204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles/204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles x Preface Once again we dedicate this book to the leaders of the past from whom we have learned, the leaders of today whose behaviors and actions shape our ever-changing world, and the leaders of tomorrow who we hope will benefit from the lessons in this book as they face the challenges of change and globalization in an increasingly interconnected world. Richard L. Hughes Robert C. Ginnett Gordon J. Curphy Karen Jacobs LeTourneau University Donna Rue Jenkins National University Lanny Karns SUNY–Oswego Stacey Kessler Montclair State University Paulette Laubsch Fairleigh-Dickinson University–Teaneck Charles Changuk Lee Chestnut Hill College John Michael Lenti University of South Carolina Kristie Loescher University of Texas–Austin Lt. Col. Thomas Meriwether Virginia Military Institute Howard Rudd College of Charleston Cdr. Stephen Trainor U.S. Naval Academy Dennis Veit University of Texas–Arlington Deborah Wharff University of North Carolina– Pembroke Eric Williams University of Alabama–Tuscaloosa hug12656_fm_i-xviii.indd Page x 1/20/11 7:46 PM user-f494hug12656_fm_i-xviii.indd Page x 1/20/11 7:46 PM user-f494 /204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles/204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles xi Brief Contents PART ONE: Leadership Is a Process, Not a Position 1 Chapter 1: What Do We Mean by Leadership? 2 Chapter 2: Leader Development 43 Chapter 3: Skills for Developing Yourself as a Leader 88 PART TWO: Focus on the Leader 117 Chapter 4: Power and Infl uence 118 Chapter 5: Leadership, Ethics and Values 150 Chapter 6: Leadership Attributes 188 Chapter 7: Leadership Behavior 242 Chapter 8: Skills for Building Personal Credibility and Infl uencing Others 277 PART THREE: Focus on the Followers 317 Chapter 9: Motivation, Satisfaction, and Performance 331 Chapter 10: Groups, Teams, and Their Leadership 390 Chapter 11: Skills for Developing Others 436 PART FOUR: Focus on the Situation 473 Chapter 12: The Situation 473 Chapter 13: Contingency Theories of Leadership 520 Chapter 14: Leadership and Change 556 Chapter 15: The Dark Side of Leadership 607 Chapter 16: Skills for Optimizing Leadership as Situations Change 657 hug12656_fm_i-xviii.indd Page xi 1/19/11 1:07 PM user-f494hug12656_fm_i-xviii.indd Page xi 1/19/11 1:07 PM user-f494 /204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles/204/MHBR214/hug_disk1of1/0078112656/hug12656_pagefiles xii Contents Preface viii PART ONE Leadership Is a Process, Not a Position 1 Chapter 1 What Do We Mean by Leadership? 2 Introduction 2 What Is Leadership? 3 Leadership Is Both a Science and an Art 5 Leadership Is Both Rational and Emotional 6 Leadership and Management 8 Leadership Myths 11 Myth: Good Leadership Is All Common Sense 11 Myth: Leaders Are Born, Not Made 12 Myth: The Only School You Learn Leadership from Is the School of Hard Knocks 13 The Interactional Framework for Analyzing Leadership 15 The Leader 16 The Followers 18 The Situation 26 Illustrating the Interactional Framework: Women in Leadership Roles 27 There Is No Simple Recipe for Effective Leadership 34 Summary 35 Chapter 2 Leader Development 43 Introduction 43 The Action–Observation–Reflection Model 46 The Key Role of Perception in the Spiral of Experience 49 Perception and Observation 49 Perception and Reflection 51 Perception and Action 52 Reflection and Leadership Development 54 Single- and Double-Loop Learning 54 Making the Most of Your Leadership Experiences: Learning to Learn from Experience 57 Leader Development in College 59 Leader Development in Organizational Settings 61 Action Learning 64 Development Planning 66 Coaching 69 Mentoring 74 Building Your Own Leadership Self- Image 78 Summary 78 Chapter 3 Skills for Developing Yourself as a Leader 87 Your First 90 Days as a Leader 88 Before You Start: Do Your Homework 88 The First Day: You Get Only One Chance to Make a First Impression 89 The First Two Weeks: Lay the Foundation 90 The First Two Months: Strategy, Structure, and Staffing 92 The Third Month: Communicate and Drive Change 93 Learning from Experience 94 Creating Opportunities to Get Feedback 95 Taking a 10 Percent Stretch 95 Learning from Others 96 Keeping a Journal 96 Having a Developmental Plan 97 Building Technical Competence 98 Determining How the Job Contributes to the Overall Mission 100 Becoming an Expert in the Job 100 Seeking Opportunities to Broaden Experiences 101 hug12656_fm_i-xviii.indd Page xii 1/29/11 8:04 PM user-f470hug12656_fm_i-xviii.indd Page xii 1/29/11 8:04 PM user-f470/Volumes/208/MHSF234/gri34307_disk1of1/0073534307/gri34307_pagefiles/Volumes/208/MHSF234/gri34307_disk1of1/0073534307/gri34307_pagefile Contents xiii Building Effective Relationships with Superiors 101 Understanding the Superior’s World 102 Adapting to the Superior’s Style 103 Building Effective Relationships with Peers 104 Recognizing Common Interests and Goals 104 Understanding Peers’ Tasks, Problems, and Rewards 105 Practicing a Theory Y Attitude 105 Development Planning 106 Conducting a GAPS Analysis 107 Identifying and Prioritizing Development Needs: Gaps of GAPS 109 Bridging the Gaps: Building a Development Plan 110 Reflecting on Learning: Modifying Development Plans 110 Transferring Learning to New Environments 112 PART TWO Focus on the Leader 117 Chapter 4 Power and Influence 118 Introduction 118 Some Important Distinctions 118 Power and Leadership 121 Sources of Leader Power 122 A Taxonomy of Social Power 125 Expert Power 125 Referent Power 126 Legitimate Power 128 Reward Power 129 Coercive Power 130 Concluding Thoughts about French and Raven’s Power Taxonomy 133 Leader Motives 134 Influence Tactics 137 Types of Influence Tactics 138 Influence Tactics and Power 139 A Concluding Thought about Influence Tactics 142 Summary 142 Chapter 5 Leadership Ethics and Values 150 Introduction 150 Leadership and “Doing the Right Things” 150 Values, Ethics, and Morals 152 Are There Generational Differences in Values? 154 Moral and Ethical Reasoning and Action 157 Why Do Good People Do Bad Things? 166 Ethics and Values-Based Approaches to Leadership 168 The Roles of Ethics and Values in Organizational Leadership 172 Leading by Example: the Good, the Bad, and the Ugly 174 Creating and Sustaining an Ethical Climate 176 Summary 181 Chapter 6 Leadership Attributes 188 Introduction 188 Personality Traits and Leadership 189 What Is Personality? 189 The Five Factor or OCEAN Model of Personality 192 Implications of the Five Factor or OCEAN Model 196 Personality Types and Leadership 201 The Differences between Traits and Types 201 Psychological Preferences as a …