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A Dissertation Presentation

Leadership and Commitment:
  The Relationship Between
  Leaders’ Personality Traits
             and
 Organizational Commitment

       Matt T. Argano
Abstract

• Is there a relationship between leaders’ personality
 traits and organizational commitment among their
 associates?
     • Five Apparel and/or Consumer Packaged Goods
       organizations
     • New York and New Jersey

• Leaders’ personality traits
    • Measured with the Hogan Personality Inventory (HPI)
• Associates’ organizational commitment
    • Measured with Organizational Commitment
      Questionnaire (OCQ)

                                                            2
• A quantitative research design tested the relationship
 between leaders’ personality traits and organizational
 commitment

• Findings:
    • There is a significant relationship between:
        • Specific leaders’ personality traits and organizational
          commitment in associates




                                                                    3
4
Introduction

Today’s leaders face complex & rapidly changing landscapes



When strong leadership is not demonstrated, “teams lose,
armies are defeated, economies dwindle, and nations fall.”
                                       Hogan, Gordon, Curphy, and Hogan (1994)




Talent is one of the most important resources in organizations




                                                                                 5
Personality

 “An individual's characteristic patterns of thought, emotion,
and behavior, together with psychological mechanisms behind
those patterns." (Funder, 2001)



                             Personality



                        IQ             EQ




                                                                 6
 Organizational Commitment

 “Employee participation in, sense of belonging to, and
  emotional attachment with the organization.” (Meyer & Allen, 1996)
   • Support & acceptance of the goals, objectives & values

   • A willingness to exert effort on behalf of the organization

   • A desire to retain membership with the organization




                                                                       7
Types of Commitment



 Affective Commitment   Employee remains because they WANT to


Continuance Commitment Employee remains because they NEED to


Normative Commitment    Employee remains because they OUGHT to




                                                                 8
Problem Statement

• IF RESEARCH indicated that specific personality traits in
 leaders’ maximized levels of organizational commitment in
 associates
     • Organizations would be well positioned to utilize the
       findings to make informed decisions concerning human
       capital




                                                               9
Purpose of the Study

• To examine how leaders’ personality traits influenced
  organizational commitment among their associates


• Q1: Are there differences in leaders’ personality traits based on
  gender and ethnicity?


• Q2: What are the relationships between personality traits in
  leaders and organizational commitment among their
  associates?



                                                                      10
• Competitive landscape & high-quality leadership
• Organizational excellence:
       • Clear vision
       • Principled leadership
       • Reciprocal relationships and
       • High degrees of follower trust

• When employees and followers feel genuinely respected and
 nurtured by their leaders
         Organizations are positioned for:
              - Greater levels of productivity
              - Performance
              - Employee commitment


                                                              11
Five Factor Model of Personality

Extroversion:
Sociability, assertiveness, gregarious, and social interaction

Agreeableness:
Good-natured, sympathy, trust, and cooperation
Conscientiousness:
Competence, dependable
Neuroticism:
Calm, self-confident, secure (positive) versus anxious,
depressed, insecure, volatile (negative)
Openness to Experience:
Imaginative, inquisitive, sensitivity, and intellectualism

                                                                 12
Five Factor Model and Hogan Scale Comparison


  Five Factor Model    Hogan Taxonomy
  Neuroticism          Adjustment
   Extraversion        Ambition and Sociability
  Agreeableness        Interpersonal Sensitivity
  Conscientiousness    Prudence
  Open to Experience   Inquisitive & Learning Approach

                                      (Hogan, 1992)




                                                      13
Research Design & Methodology

• The impact of leaders’ personality traits on organizational
 commitment in Apparel and/or Consumer Packaged Goods
 organizations

• New York and New Jersey
    • Annual revenues exceeding $500 million

• Descriptive statistics
    • Mean & standard deviation
    • Two way analysis of variance (ANOVA)
    • Multiple regression analysis



                                                                14
• The criterion variable was organizational commitment

• The predictor variables were the HPI’s five traits
       • Adjustment          • Ambition
       • Sociability         • Interpersonal Sensitivity
       • Prudence

• A Two-Way ANOVA
    • The effect of multiple levels of two factors with multiple
      observations at each level (gender, ethnicity and individual
      Hogan traits)

• Multiple regression analysis
   • The effects of 2+ independent variables on 1 dependent
      variable
                                                                     15
Participants’ Demographics
                     Leader Population
  Ethnicity              Total   Male    Female
  Caucasian               16      8        8

  African-American        11      5        6
  Hispanic                12      6        6
  Asian                   11      6        5
  Other                    0      0        0

  Total                   50      25       25



                Associate Population
  Ethnicity              Total   Male    Female
  Caucasian               77      42       35

  African-American        35      16       19
  Hispanic                63      30       33
  Asian                   29      18       11
  Other                   0       0        0

  Total                  204     106       98




                                                  16
Instrumentation

Two Instruments:

 Leaders:   Hogan Personality Inventory (HPI)
            206 T/F questions

Associates: Organizational Commitment Questionnaire (OCQ)
            15 questions 7 point Likert scale




                                                            17
Validity
Performance    Hogan Personality Assessment (HPI)




              Conformity to Assessment Profile
                                                 (Hogan, 1992)

                                                                 18
Study Results
• Associates were generally committed to their organizations



• A significant relationship between
        • Specific personality traits in leaders &
        • Impact upon organizational commitment




                                                               19
• No relationship between gender, ethnicity & Hogan personality
traits

• Associates respond more favorably to
      Leaders with higher degrees of:
               - Emotional stability
               - Greater interpersonal skills

• Interpersonal Sensitivity & Adjustment traits
        Influenced levels of organizational commitment

• Remaining traits showed weak relationships
       With organizational commitment

                                                                  20
• Adjustment and Interpersonal Sensitivity traits
        • Focus on the more social aspects of human interaction
        • Manifests in the leader’s ability to:
               - Effectively manage relationships with others


• Female leaders high Interpersonal Sensitivity & Sociability

• Male leaders high Adjustment, Ambition & Prudence




                                                                  21
• Male leaders scored high in Ambition, with the Ambition mean for
 male leaders (M = 74.20, SD = 22.46) being higher than the mean
 for female leaders (M = 67.24, SD = 26.41). Hogan’s Ambition trait
 is characterized by competitiveness, goal orientation, and a desire
 to seek out leadership roles

• Males scored slightly higher than females on Hogan’s Prudence
  trait. The Prudence mean for male leaders (M = 65.68, SD =
  25.38) was only six points higher than the mean for female
  leaders (M = 59.76, SD = 21.92). Hogan described Prudence as the
  degree to which an individual seems conscientious, conforming,
  and often dependable


                                                                   22
 The research study reflected that after controlling for all other variables:

        Ambition/Organizational
                                     Weak, negative relationship
             Commitment

       Adjustment/Organizational
                                     Moderate, positive relationship
             Commitment

       Sociability/Organizational
                                     Weak, positive relationship
             Commitment

        Prudence/Organizational
                                     Very weak relationship
             Commitment

             Interpersonal
                                     Definite, but not quite moderate, positive
       Sensitivity/Organizational
                                     relationship
             Commitment
Implications for Practice

• The study supported prior research that:

     Self management and emotional awareness in leaders
              remains a critical cornerstone in
    developing and maintaining relationships in organizations

• Relationship management is essential in the leaders’ ability to
        - Effectively communicate, collaborate and influence others
                 for the greater good of the organization

• Leadership is a personal journey

• Leadership directly impacts organizational function

                                                                      24
• Leaders who are:
       Self aware and manage emotions & behavior
              are well positioned to become
                     high performing organizational stewards

• Leaders who fail:
       Will find it difficult to develop & maintain relationships
               resulting in underperforming teams & organizations

•Leaders who effectively manage:
       Stress, ambiguity and conflict will
               increase their success and effectiveness



                                                                    25
• The study also reflected a negative relationship
        between lower scores on Ambition
               with higher levels of organizational commitment


• Associates become de-motivated or disengaged
        when they perceive that their leader is:
               - Narcissistic
               - Self promoting
               - Placing personal gain above organizational good




                                                                   26
• Female leaders appear more inclined to:
       develop and nurture followers’ interests
              into common organizational goals
                     by leveraging their personality traits

• Female leaders
       may be better positioned to
              understand and respond to followers’ needs




                                                              27

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Matt Argano: The Relationship Between Personality and Commitment

  • 1. A Dissertation Presentation Leadership and Commitment: The Relationship Between Leaders’ Personality Traits and Organizational Commitment Matt T. Argano
  • 2. Abstract • Is there a relationship between leaders’ personality traits and organizational commitment among their associates? • Five Apparel and/or Consumer Packaged Goods organizations • New York and New Jersey • Leaders’ personality traits • Measured with the Hogan Personality Inventory (HPI) • Associates’ organizational commitment • Measured with Organizational Commitment Questionnaire (OCQ) 2
  • 3. • A quantitative research design tested the relationship between leaders’ personality traits and organizational commitment • Findings: • There is a significant relationship between: • Specific leaders’ personality traits and organizational commitment in associates 3
  • 4. 4
  • 5. Introduction Today’s leaders face complex & rapidly changing landscapes When strong leadership is not demonstrated, “teams lose, armies are defeated, economies dwindle, and nations fall.” Hogan, Gordon, Curphy, and Hogan (1994) Talent is one of the most important resources in organizations 5
  • 6. Personality “An individual's characteristic patterns of thought, emotion, and behavior, together with psychological mechanisms behind those patterns." (Funder, 2001) Personality IQ EQ 6
  • 7.  Organizational Commitment  “Employee participation in, sense of belonging to, and emotional attachment with the organization.” (Meyer & Allen, 1996) • Support & acceptance of the goals, objectives & values • A willingness to exert effort on behalf of the organization • A desire to retain membership with the organization 7
  • 8. Types of Commitment Affective Commitment Employee remains because they WANT to Continuance Commitment Employee remains because they NEED to Normative Commitment Employee remains because they OUGHT to 8
  • 9. Problem Statement • IF RESEARCH indicated that specific personality traits in leaders’ maximized levels of organizational commitment in associates • Organizations would be well positioned to utilize the findings to make informed decisions concerning human capital 9
  • 10. Purpose of the Study • To examine how leaders’ personality traits influenced organizational commitment among their associates • Q1: Are there differences in leaders’ personality traits based on gender and ethnicity? • Q2: What are the relationships between personality traits in leaders and organizational commitment among their associates? 10
  • 11. • Competitive landscape & high-quality leadership • Organizational excellence: • Clear vision • Principled leadership • Reciprocal relationships and • High degrees of follower trust • When employees and followers feel genuinely respected and nurtured by their leaders Organizations are positioned for: - Greater levels of productivity - Performance - Employee commitment 11
  • 12. Five Factor Model of Personality Extroversion: Sociability, assertiveness, gregarious, and social interaction Agreeableness: Good-natured, sympathy, trust, and cooperation Conscientiousness: Competence, dependable Neuroticism: Calm, self-confident, secure (positive) versus anxious, depressed, insecure, volatile (negative) Openness to Experience: Imaginative, inquisitive, sensitivity, and intellectualism 12
  • 13. Five Factor Model and Hogan Scale Comparison Five Factor Model Hogan Taxonomy Neuroticism Adjustment Extraversion Ambition and Sociability Agreeableness Interpersonal Sensitivity Conscientiousness Prudence Open to Experience Inquisitive & Learning Approach (Hogan, 1992) 13
  • 14. Research Design & Methodology • The impact of leaders’ personality traits on organizational commitment in Apparel and/or Consumer Packaged Goods organizations • New York and New Jersey • Annual revenues exceeding $500 million • Descriptive statistics • Mean & standard deviation • Two way analysis of variance (ANOVA) • Multiple regression analysis 14
  • 15. • The criterion variable was organizational commitment • The predictor variables were the HPI’s five traits • Adjustment • Ambition • Sociability • Interpersonal Sensitivity • Prudence • A Two-Way ANOVA • The effect of multiple levels of two factors with multiple observations at each level (gender, ethnicity and individual Hogan traits) • Multiple regression analysis • The effects of 2+ independent variables on 1 dependent variable 15
  • 16. Participants’ Demographics Leader Population Ethnicity Total Male Female Caucasian 16 8 8 African-American 11 5 6 Hispanic 12 6 6 Asian 11 6 5 Other 0 0 0 Total 50 25 25 Associate Population Ethnicity Total Male Female Caucasian 77 42 35 African-American 35 16 19 Hispanic 63 30 33 Asian 29 18 11 Other 0 0 0 Total 204 106 98 16
  • 17. Instrumentation Two Instruments: Leaders: Hogan Personality Inventory (HPI) 206 T/F questions Associates: Organizational Commitment Questionnaire (OCQ) 15 questions 7 point Likert scale 17
  • 18. Validity Performance Hogan Personality Assessment (HPI) Conformity to Assessment Profile (Hogan, 1992) 18
  • 19. Study Results • Associates were generally committed to their organizations • A significant relationship between • Specific personality traits in leaders & • Impact upon organizational commitment 19
  • 20. • No relationship between gender, ethnicity & Hogan personality traits • Associates respond more favorably to Leaders with higher degrees of: - Emotional stability - Greater interpersonal skills • Interpersonal Sensitivity & Adjustment traits Influenced levels of organizational commitment • Remaining traits showed weak relationships With organizational commitment 20
  • 21. • Adjustment and Interpersonal Sensitivity traits • Focus on the more social aspects of human interaction • Manifests in the leader’s ability to: - Effectively manage relationships with others • Female leaders high Interpersonal Sensitivity & Sociability • Male leaders high Adjustment, Ambition & Prudence 21
  • 22. • Male leaders scored high in Ambition, with the Ambition mean for male leaders (M = 74.20, SD = 22.46) being higher than the mean for female leaders (M = 67.24, SD = 26.41). Hogan’s Ambition trait is characterized by competitiveness, goal orientation, and a desire to seek out leadership roles • Males scored slightly higher than females on Hogan’s Prudence trait. The Prudence mean for male leaders (M = 65.68, SD = 25.38) was only six points higher than the mean for female leaders (M = 59.76, SD = 21.92). Hogan described Prudence as the degree to which an individual seems conscientious, conforming, and often dependable 22
  • 23.  The research study reflected that after controlling for all other variables: Ambition/Organizational Weak, negative relationship Commitment Adjustment/Organizational Moderate, positive relationship Commitment Sociability/Organizational Weak, positive relationship Commitment Prudence/Organizational Very weak relationship Commitment Interpersonal Definite, but not quite moderate, positive Sensitivity/Organizational relationship Commitment
  • 24. Implications for Practice • The study supported prior research that: Self management and emotional awareness in leaders remains a critical cornerstone in developing and maintaining relationships in organizations • Relationship management is essential in the leaders’ ability to - Effectively communicate, collaborate and influence others for the greater good of the organization • Leadership is a personal journey • Leadership directly impacts organizational function 24
  • 25. • Leaders who are: Self aware and manage emotions & behavior are well positioned to become high performing organizational stewards • Leaders who fail: Will find it difficult to develop & maintain relationships resulting in underperforming teams & organizations •Leaders who effectively manage: Stress, ambiguity and conflict will increase their success and effectiveness 25
  • 26. • The study also reflected a negative relationship between lower scores on Ambition with higher levels of organizational commitment • Associates become de-motivated or disengaged when they perceive that their leader is: - Narcissistic - Self promoting - Placing personal gain above organizational good 26
  • 27. • Female leaders appear more inclined to: develop and nurture followers’ interests into common organizational goals by leveraging their personality traits • Female leaders may be better positioned to understand and respond to followers’ needs 27