2. Leadership & leadership approaches
• Leadership is the art of motivating a group of people
to act towards achieving a common goal.
• The process of encouraging and helping others to
work enthusiastically towards objectives .
• Alan Keith stated that, Leadership is ultimately
about creating a way for people to contribute to
making something extraordinary happen.
3. Leadership & leadership approaches
• Leadership refers to ability of one individual to
influence others.
• The influence is exercised to change the behavior of
others.
• Change of behaviour is caused with an objective of
achieving a shared goal.
4. Leadership & leadership approaches
• The person influencing others(leader) possesses a set
of qualities or characteristics with which he or she to
influence others
• Leadership is a group phenomenon .
• It involves interaction between two or more people
5. Leadership & management
• Management - is a process of planning , organizing,
coordinating ,directing, and controlling the activities
of others.
• Leadership - is the process of influencing for the
purpose of achieving shared goals.
• John kotter distinction : Management Leadership
Involves coping with complexity Coping with
change
6. Importance of leadership
• Leadership transforms potential into reality .
• Leadership is not mere using people and their
potential for realizing an organization's goals
• It has the ultimate aim of raising the level of human
conduct and ethical aspiration of both the leader and
the led.
• The leader should elevate, inspire, and evangelize his
followers to higher things in life
7. Formal & informal leadership
• Formal leadership
• Occurs when a manager leads by exercising formal
authority.
• the managers official position within the
organization's hierarchy of authority.
• Any employee who is assigned a managerial position
has the opportunity and responsibility to exercise
formal leadership
8. Formal & informal leadership
• Informal leadership
• Arises when a person without formal authority is
influential in directing the behaviors of others.
• Although not formally appointed or elected he
becomes a leader through his actions or personal
attractions.
9. Leadership styles
• Based on Authority retained
• Based on task versus people emphasis
• Based on assumptions about people
• Likert’s four styles
• Entrepreneurship leadership styles
11. Leadership styles
• Autocratic or authoritarian style
• Under the autocratic leadership style, all decision-
making powers are centralized in the leader , as with
dictator leaders.
• They do not entertain any suggestions or initiatives
from subordinates.
• The autocratic management has been successful as it
provides strong motivation to the manager.
12. Cont’d….
• It permits quick decision-making , as only one person decides
for the whole group and keeps each decision to himself until he
feels it is needed to be shared with the rest of the group.
• High degree of dependency on the leader .
• May be valuable in some types of business where decisions
need to be made quickly and decisively
13. Participative or democratic style
• The democratic leadership style favors decision-making by
the group .
• They can win the cooperation of their group and can
motivate them effectively and positively.
• The decisions of the democratic leader are not unilateral
as with the autocrat because they arise from consultation
with the group members and participation by them.
14. Cont’d….
• Consultative: process of consultation before
decisions are taken
• Persuasive: Leader takes decision and seeks to
persuade others that the decision is correct.
15. Laissez –Faire or free rein style
• A free rein leader does not lead, but leaves the group
entirely to itself such a leader allows maximum
freedom to subordinates , i.e. they are given a free
hand in deciding their own policies and methods.
• Can be very useful in businesses where creative ideas
are important
16. Cont’d…..
• Can be highly motivational , as people have control
over their working life Can make coordination and
decision making time-consuming and lacking in
overall direction Relies on good team work.
• Relies on good interpersonal relations
18. Based on assumptions about
people
• Mc Gregor’s theory
• Theory X
• They distrust people and believe in close supervision
and tight control over the subordinates
19. Based on assumptions about
people
• Theory Y
• They are participative ,trust subordinates and allow
them to participate in decision- making
• Benevolent Authoritarian
20. Likert’s Four style
• Rensis Likert identified four main styles of
leadership, in particular around decision-making and
the degree to which people are involved in the
decision.
21. Likert’s Four style
• Exploitive authoritative
• In this style, the leader has a low concern for people and
uses such methods as threats and other fear-based
methods to achieve conformance.
• Communication is almost entirely downwards and the
psychologically distant concerns of people are ignored.
22. Likert’s Four style
• Benevolent authoritative
• When the leader adds concern for people to an authoritative
position, a 'benevolent dictatorship' is formed.
• The leader now uses rewards to encourage appropriate
performance and listens more to concerns lower down the
organization, although what they hear is often rose-tinted, being
limited to what their subordinates think that the boss wants to
hear.
23. Cont’d…..
• Although there may be some delegation of decisions,
almost all major decisions are still made centrally.
24. Likert’s Four style
• Consultative
• The upward flow of information here is still cautious
and rose-tinted to some degree, although the leader is
making genuine efforts to listen carefully to ideas.
• Nevertheless, major decisions are still largely centrally
made.
25. Likert’s Four style
• Participative
• At this level, the leader makes maximum use of
participative methods, engaging people lower down
the organization in decision-making.
• People across the organization are psychologically
closer together and work well together at all levels.
26. Entrepreneurship leadership style
• A heavy task orientation combined with a very
direct-approach to giving instructions to employees.
• A charismatic personality that inspires others to do
business with him
• A much stronger interest in dealing with customers
than employees
27. Entrepreneurship leadership style
• A strong dislike for bureaucratic rules and regulations
• Anxiety to consolidate business gains as quickly as
possible.
29. Trait theory
• Focuses on individual characteristics of successful
leaders
• Leaders possess a set of traits which make them
distinct from followers.
• A strong desire for accomplishment.
30. Trait theory
• Creativity and intelligence
• Initiative
• High tolerance
• Ability to influence others.
31. Behavioural Theory
• Main focus is behaviours of actual leaders
• Determines how various kinds of specific leaders
behaviour affect the performance and satisfaction of
followers
32. Managerial grid
• A graphical representation of a 2 dimensional view
of leadership style.
• Based on
concern for people’
concern for production
33. Contingency theory
• Behaviour of leader depends upon characteristic of
situation leader is in.
• Implies under what conditions will employee
oriented leadership will be effective and under what
type of conditions production oriented leadership be
more effective.
34. Contingency theory
• Most popular theories
Fiedler’s contingency model
The path-goal theory.
Situational leadership theory
36. Path – goal theory
• Leader’s job is to use structure ,support and rewards
to create a work environment that helps employees
reach the organization's goals.
37. Situational leadership theory
• Maturity of followers as a contingency variable
• Situational leadership requires leader’s emphasis on
task behaviors and relationship behavior according to
maturity of followers in performing their tasks.
