1. CURRENT THEORIES OF LEADERSHIP
• CHARISMATIC LEADERSHIP THEORY: (GREAT
MAN THEORY)
• VISIONARY LEADERSHIP:
• TRANSACTIONAL LEADERSHIP AND
TRANSFORMATIONAL LEADERSHIP THEORIES:

2. CHARISMATIC LEADERSHIP THEORY:
(GREAT MAN THEORY)
• Charisma is a God gifted attribute
• “A leader is born and not made”
• Charismatic leaders are those who inspire
followers
• Someone with charisma is more successful in
influencing others than those who do not have
charisma
• Appropriate when the follower's task has an
ideological component
• Ideal for pulling an organization through a crisis

3. Characteristics of Charismatic Leaders
• They have very high levels of referent power.
• High level of self-confidence.
• High level of debating and persuasive skills.
• High level of dominance
• Very strong conviction in their beliefs.
• They communicate a vision or higher level goal.
• High expectations for follower’s performance.
• They demonstrate consistency and focus in the
pursuit of their vision.
• They are perceived as unconventional.
• They know their own strengths and capitalize on
them.

4. VISIONARY LEADERSHIP:
• Visionary leadership is the ability to create
and articulate a realistic, credible, attractive
vision of the future for an organization or
organizational unit that grows out of and
improves upon the present.
• Visionary leaders have a vision and aim to
implement it.
• They also help prepare people to assume
greater responsibility.

5. Skills of a Visionary Leader
• The ability to explain the vision to others.
• The ability to express the vision not just
verbally but through the leader's behaviour.
• The ability to extend the vision to different
leadership contexts.

6. MODELS OF LEADERSHIP
• Managerial Grid:
• Autocratic; Democratic; Laissez-faire (Free
Rein) Leadership Styles

7. Managerial Grid:
• It is based on the styles of "concern for
people (Relation Oriented)" and "concern for
production (Task Oriented)."

8. Managerial Grid:
• (a)-1,1 management - often called ‘impoverished
management — shows a minimum of concern for
either people or production.
• (b)-9,1 management is concerned only with the work
and has little interest in people.
• (c)-5,5 management balances the necessity to
produce with maintaining morale at a 5 story level in
order to achieve adequate organisational
performance.
• (d)-1,9 management is all about the people and
shows little concern for getting the work done. This is
sometimes called ‘country club management”.
• (e)-9,9 management is seen as the ideal. The manager
gets the work accomplished by committed people.

9. Autocratic Style:
There are three types of autocratic leaders:
• Strict Autocrat: - His method of influencing
subordinates behaviour is through negative
motivation i.e. by criticizing subordinates, imposing
penalty etc.
• Benevolent Autocrat: - He also centralized decision
making power in him but his motivation style is
positive.
• Incompetent Autocrat: - Sometimes superiors adopt
autocratic leadership style just to hide their
incompetence. Cannot be used for a long time.

10. Advantages of Autocratic Leadership:
• Many people prefer to work under centralized authority
structure and strict discipline.
• Provides strong motivation and reward to a manager
exercising this style.
• It permits very quick decision making.
• Less competent subordinates also have scope to work in
the origination under his leadership style as they do very
little planning, organizing and decision making.
Disadvantages:
• People dislike it when it is strict and the motivational style
is negative.
• Employees lack motivation.
• Frustration, low morale and conflict develop, reducing
organizational effectiveness
• There is more dependence and less individuality in the
organization and future leaders don’t develop.

11. Democratic Leadership Style:
• Involves employees in decision making,
delegates authority, encourages
participation, and uses feedback to coach
employees.
• A democratic-consultative leader seeks input
but makes the final decision.
• A democratic-participative leader often
allows employees to have a "say."

12. Advantages of Democratic Leadership:
• It is a highly motivating technique to employees as they feel
elevated when their ideas and suggestions are considered in
decision making.
• Employee productivity is high as they are party to the decision.
• They share the responsibility with the superior and try to
safeguard him also.
• Provides organizational stability by raising morale and attitudes
of employees favourably.
Limitations of Democratic Leadership:
• Complex nature of organization requires a thorough
understanding of its problems which lower level employees
may not be able to do.
• People who want less interaction with others get discouraged
by this style.
• Participation can be used covertly to manipulate employees.

13. Laissez-faire (Free Rein):
• Means giving complete freedom to
subordinate.
• Once the manager determines policy,
programmes and limitation for action, the
entire process is left to subordinates.
• It is suitable to situations where the manager
can leave a choice to his group.
• It helps subordinates to develop independent
personality