Leading

1. www.monash.edu.au
MGF1010: Introduction to Management
Week 6:
Leading

2. www.monash.edu.au
2
Essay Feedback
• Good!
• References: THEY SHOW ANALYSIS!
– No actual marks are cut, but you loose
marks for lack of analysis
• Answering the question.
• Developmental
• Tip:
– Look at the references being used by a key
article.

3. www.monash.edu.au
3
ASSIGNMENT REMINDER
• Friday, May 8, 2015
• Case Study Style
• 2000 words (+/- 10%)
• Worth 30%
• Case: Bahfen and Associates (Moodle)
• Minimum 8 Journal Articles
• Moodle is the place for lots of information
goodies

4. www.monash.edu.au
4
Case Study Report
• Executive Summary
– Not included in the word limit
• Implementation
Put into tables
Problem Identification
Could identify many problems
Focus on 2-3 for recommendations and
solutions.

5. www.monash.edu.au
5
AIMS
• Why managers should be leaders (POLC)
• Understand the Leadership theories: trait and
behavioural and contingency leadership theories.
• Describe the five sources of a leader’s power.

6. www.monash.edu.au
6
Characteristics of encouraging and
discouraging leaders
• Encouraging
• Listened to you
• Believed in you
• Gave constructive feedback
• Gave you credit
• Rewarded
• Providing resources
• Discouraging
• Not Listening to you
• Not having time for you
• Always picking mistakes
• Stealing your ides
• Comparing your performance
with others

7. www.monash.edu.au
7
7
Managers vs Leaders
• Do things right
• Are primarily interested in
efficiency
• Maintain
• Focus on systems and
structure
• Rely on control and rules
• Emphasize tactics and
systems
• Ask how and when
• Focus on the present as is
• Focus on the bottom line
• Avoid risks as problems
• Work within their box
• Do the right thing
• Are primarily interested in
effectiveness
• Innovative at the macro level
• Focus on investing in people
• Rely on trust and inspiration
• Emphasize core values and
shared goals
• Ask what and why
• Focus on the future that will be
• Focus on the horizon
• Take risks as opportunities
• Work within and with-out their
comfort zone

8. www.monash.edu.au
8
Who are leaders
• In groups on the white paper
• Think of any 2 great leaders
• Then Discuss,
– What makes them great leaders?
> Traits
> Behaviours
> Leadership Styles from the book?

9. www.monash.edu.au
9
Leadership Theories
Trait Theories
• Drive
• Desire to lead
• Honesty and integrity
• Self-confidence
• Intelligence
• Job-relevant knowledge
• Extraversion
Contingency Theories
The Fiedler contingency model
• Leader–member relations
describe the degree of
confidence, trust and respect
subordinates have in their
leader.
• Task structure describes the
degree to which the job
assignments are formalised
and procedurised.
• Position power describes the
degree of influence a leader
has over power-based
activities such as hiring, firing,
discipline, promotions and
salary increases
Behavioural Theories
• Kurt Lewin and associates—
studied three leadership
styles: autocratic style,
democratic style and laissez-
faire style.
• The Ohio State: initiating
structure and consideration.
• The University of Michigan
:employee oriented and
production oriented.
• The managerial grid ‘concern
for people’ and ‘concern for
production’ as dimensions

10. www.monash.edu.au
10
Review Questions
• Explain why managers should be
leaders.
– Because leading is one of the four
management functions,
– ideally all managers should be leaders.
– groups often have informal leaders who
emerge.

11. www.monash.edu.au
11
Contrast the findings of the four
behavioural leadership theories.
• The University of Iowa studies concluded that democratic style of
leadership was most effective, although later studies showed mixed
results.
• The Ohio State studies concluded that high-high leaders achieved
high subordinate performance and satisfaction, but not in all
situations.
• The University of Michigan studies concluded that employee-oriented
leaders were associated with high group productivity and higher job
satisfaction.
• The managerial grid developed by Blake and Moulton concluded that
managers performed best with a 9,9 style (high concern for
production and high concern for people).

12. www.monash.edu.au
12
The dual nature of a leader’s behaviour
• The four behavioural theories presented here all focus on two dimensions of a leader’s behaviour—
focus on the task and focus on the people.
• The dilemma managers then face is: What should they focus on? Should they focus
on achieving higher performance levels or higher employee satisfaction? All the studies have
had very little success in identifying consistent relationships between patterns of leadership
behaviour and successful performance.
• Examples exist where leaders behave in two very different ways and are still able to lead
successful companies. It is therefore not easy to say that one leadership style is better
than another. Instead, it has become increasingly clear that predicting leadership
success involves something more complex than isolating a few leader traits or preferable
behaviours.
• The failure to obtain consistent results has led to a new focus on situational influences.
Specifically, which leadership styles might be suitable in different situations and what
might these different situations be? These elements were what the contingency theories
of leadership set out to identify.

13. www.monash.edu.au
13
Explain how Fiedler’s model of leadership is
a contingency model.
The situational factors in Fiedler’s model are leader
member relations,
task structure
position power
• Task-oriented leaders tended to perform better in situations that were very
favourable to them as well as in situations that were very unfavourable.
• Relationship-oriented leaders seemed to perform better in moderately
favourable situations.
• Therefore, there were basically only two ways to improve leader
effectiveness. One was to bring in a new leader whose style is better suited
to the situation. The other was to change the situation (the situational factors)
to fit the existing leader.

14. www.monash.edu.au
14
Legitimate power is the power a leader has as a result of his or her position in
the formal organisational hierarchy (also called authority).
Coercive power is the power a leader has because of his/her ability to punish
or control.
Reward power is the power a leader has because of his/her ability to give
positive benefits or rewards.
Expert power is influence that is based on expertise, special skills or
knowledge.
Referent power is the power that arises because of a person’s desirable
resources or personal traits.
Source of Power

15. www.monash.edu.au
15
Class Discussion
IDENTIFY THE SOURCES OF POWER
1. Prime Minister
2. Teacher
2. UN President
2. Hitler
3. Parents

16. www.monash.edu.au
16
Team Leadership
• The role of team leader is different from the traditional leadership
role.
• Effective team leaders need to master the difficult balancing act of
knowing when to leave their teams alone and when to get involved.
• New team leaders may try to retain too much control at a time when
team members need more autonomy, or they may abandon their
teams at times when the teams need support and help.
• The two priorities for a team leader are to manage the team’s
external boundaries and facilitate team processes.
• The four leadership roles that team leaders play are
– liaison with external constituencies,
– trouble-shooter
– conflict manager
– coach

17. www.monash.edu.au
17
New Leadership Challenges
• Ethical Leaders
• involves addressing the means
that a leader uses to achieve
goals.
• It also involves the content of
goals.
• E.g. Hitler
• Jeff Schiling at Enron
• Abbott with his daughters
scholarship
• Lance Armstrong
• Cross-cultural
Leaders
Cross Cultural literacy

18. www.monash.edu.au
18
The Fresh Produce Case Study
You are a consultant hired by CEO of Fresh Produce.
PROBLEM IDENTIFICATION AND ANALYSIS
Motivation
Group Norms
Kevin’s Leadership style
POSSIBLE SOLUTIONS
bring it back to how it was before ie no stamping and writing up required;
paying extra if some of this work was done;
removing Kevin and having one of the casuals (university students) being the team
leader with responsibility for the job being done ie making it a self-managing
group etc.
RECOMMENDATIONS and IMPLEMETATIONS
Implementations

19. www.monash.edu.au
19
Thank you!