LEADERSHIP

Leadership provides direction for a company. It is the ability of a company's management

to
o set and achieve challenging goals,
o take swift and decisive action,
o outperform the competition, and
o inspire others to perform well
Effective leadership includes strong character. Leaders exhibit honesty, integrity,
trustworthiness and ethics

Leadership Models

1. Authoritarian
o A style of leadership in which the leader uses strong, directive, controlling
actions to enforce the rules, regulations, activities and relationships in the
work environment
o Characteristics
Sets goals individually
Engages primarily in one-way, downward communication
Controls discussions of followers
Sets policy and procedures unilaterally
Dominates interaction
Personally directs the completion of tasks
Provides infrequent positive feedback
Rewards obedience and punishes mistakes
Exhibits poor listening skills
Uses conflict for personal gain
2. Democratic
o A style of leadership in which the leaders takes collaborative, responsive,
interactive actions with followers concerning the work and the work
environment
o Characteristics
Involves followers in setting goals
Engages in two-way, open communication
Facilitates discussion with followers
Solicits input regarding determination of policy and procedures
Focuses interaction
Provides suggestions and alternatives for the completion of tasks
Provides frequent positive feedback
Rewards good work and uses punishment only as a last resort
Exhibits effective listening skills
Mediates conflict for group gain
3. Laissez-faire
o A style of leadership in which the leader fails to accept the responsibilities of
the position
o Characteristics
Allows followers free rein to set their own goals
Engages in noncommittal, superficial communication
Avoids discussion with followers to set policy and procedures
Avoids interaction
Provides suggestions and alternatives for the completion of tasks only
when asked to do so by followers
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MGT 102 Human Behavior in Organizations
 Provides infrequent feedback of any kind
Avoids offering rewards or punishments
May exhibit either poor or effective listening skills
Avoids conflict

4. Blake and Moutons Managerial Grid

o The grid depicts two dimensions of leader behavior:
concern for people (accommodating peoples needs and giving them
priority) on y-axis and concern for production (keeping tight schedules)
on x-axis
o Leardership styles:
Impoverished Management (1, 1):
Managers with this approach are low on both the dimensions
and exercise minimum effort to get the work done from
subordinates.
The leader has low concern for employee satisfaction and work
deadlines and as a result disharmony and disorganization prevail
within the organization.
Task management (9, 1):
Also called dictatorial or produce or perish style, here leaders
are more concerned about production and have less concern for
people.
The style is based on theory X of McGregor; employees needs
are not taken care of and they are simply a means to an end.
Such a style can definitely increase the output of organization in
short run but due to the strict policies and procedures, high
labor turnover is inevitable.
Middle-of-the-Road (5, 5):
This is basically a compromising style wherein the leader tries to
maintain a balance between goals of company and the needs of
people.
The leader does not push the boundaries of achievement
resulting in average performance for organization. Here neither
employee nor production needs are fully met.
Country Club (1, 9):
This is a collegial style characterized by low task and high
people orientation where the leader gives thoughtful attention to
the needs of people, thus providing them with a friendly and
comfortable environment
The leader feels that such a treatment with employees will lead
to self-motivation and will find people working hard on their
own..
Team Management (9, 9):
Characterized by high people and task focus, the style is based
on the theory Y of McGregor and has been termed as most
effective style according to Blake and Mouton.
The leader feels that empowerment, commitment, trust, and
respect are the key elements in creating a team atmosphere
which will automatically result in high employee satisfaction and
production.

Fig. 1.
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MGT 102 Blake and
Human Behavior in Organizations
Moutons
Managerial Grid