Leadership in Management

1. ORGANIZATIONAL BEHAVIOUR
Assignment CCE-2
Chapter:- Leadership (Unit 3)
Presented by:
Bhagyesh Kale (29)
Harshal Varpe (30)
Ankita Jadhav (31)
Saurabh Atkore (32)
Pradhumna Gaikwad (33)
Chinmayi Shendre (34)
Chetashree Sonawane (35)
Yashwant Makhar (36)
Pratik Bhutada (37)
Shreyas Dhorje (38)
Sanket Jain (39)
Nitin Tele (40)
Harsh Agrahari (41)

2. Overview of Leadership

3. Introduction
Leadership can be defined as the ability of the management to make sound decisions and
inspire others to perform well. It is the process of directing the behavior of others towards
achieving a common goal. In short, leadership is getting things done through others.
Leadership styles:
• Authoritarian Leadership.
• Participative Leadership.
• Delegative Leadership.
• Transactional Leadership.
• Transformational Leadership.

4. Managers VS Leaders
Difference between managers and Leaders
MANAGERS LEADERS
Mangers are always
process oriented on how
the organization works.
The leaders are vision
oriented and think about
future.
Managers always
protects himself.
Leaders always protect
their staff.
Managers always avoid
being involved in
conflicts.
Leader always deal with
conflicts in a positive
way.
He is unclear regarding
trust.
Leaders always trust on
his staff and vice versa.

5. Nature of Leadership
Qualities of a leader:
1. Honesty and Integrity
2. Communication skills
3. A willingness to delegate and empower
4. Commitment and Passion
5. Confidence

6. Need for Leadership
Leadership plays an important role in the development of any organization. Leadership is an
important function of the management which helps to enhance productivity and to achieve
organizational goals. In fact., leadership is an essential part and a crucial component of
effective management which helps to maximize efficiency and achieve organizational goals.
• Influencing the behavior of people
• Helps employees in fulfilling their needs
• Introducing required changes
• Solving conflicts effectively
• Training and Development of Subordinates
• Setting a clear vision
• Motivating and guiding employees
• Building morale

7. Types of leaders and Leadership styles
1. Autocratic or Authoritarian leadership
An autocratic leader centralizes power and decision-making in himself. He gives orders, assigns
tasks and duties without consulting the employees. The leader takes full authority and assumes
full responsibility. Autocratic leadership is negative, based on threats and punishment.
Subordinates act as he directs. He neither cares for their opinions nor permits them to influence
the decision. He believes that because of his authority he alone can decide what is best in a given
situation
2. Democratic or Participative leadership
Participative or democratic leaders decentralize authority. It is characterized by consultation with
the subordinates and their participation in the formulation of plans and policies. He encourages
participation in decision-making. He leads the subordinates mainly through persuasion and
example rather than fear and force. Sometimes the leader serves as a moderator of the ideas and
suggestions from his group. McGregor labels this style as Theory Y.
3. Free-rein leadership
Free-rein leaders avoid power and responsibility. The laissez-faire or non-interfering type of
leader passes on the responsibility for decision-making to his subordinates and takes a minimum
of initiative in administration. He gives no direction and allows the group to establish its own
goals and work out its own problems.

8. 1) Autocratic Leadership Style

9. 2) Participative Leadership
Style
3) Free Rein
Leadership Style

10. Traits and qualities of effective leaders
INSPIRING PROBLEM-SOLVING ABILITY
EMOTIONAL STABILITY UNDERSTANDING HUMAN BEHAVIOUR
RISK-TAKING ABILITY GOOD PHYSIQUE
INTELLIGENCE RESPONSIBILITY
PRUDENCE AND VISION ENTHUSIASTIC
TRUSTWORTHY SYSTEMATIC IN DOING THINGS
CONFIDENT FOCUSED
TOLERANCE DEDICATED TOWORDS EXCELLENCE

11. Functions of a Leader
 Develops team spirit
 Serves as linking pin
 Provides guidance
 Manages time
 Exercises power
 Improves efficiency
 Motivates workers
A successful leader secures desired behaviour
from his followers. It depends upon the quality of leadership
he is able to provide. A leader to be effective must possess
certain basic qualities.

12. Importance of Leadership
Leadership is a vital management function that helps to direct an organization's resources for
improved efficiency and the achievement of goals. Effective leaders provide clarity of purpose,
motivate and guide the organization to realize its mission.

13. Theories of Leadership
To understand the concept of leadership, one must understand the theories of leadership.
These theories compliment each other.

14. Trait Theories of Leadership
Introduction: The trait theory of leadership focuses
on identifying different personality traits and
characteristics that are linked to successful leadership
across a variety of situations.
Among the core traits identified are:
1. Achievement drive: High level of effort,
high levels of ambition, energy and initiative.
2. Leadership motivation: An intense desire to lead
others to reach shared goals.
3. Honesty and integrity: Trustworthy, reliable.
4. Self-confidence: Belief in one’s self, ideas, and ability.
5. Cognitive ability: Capable of exercising good judgment, strong analytical abilities
and conceptually skilled
6. Knowledge of business: Knowledge of industry and other technical matters.
7. Emotional Maturity: Well adjusted, does not suffer from severe psychological disorders.
8. Others: Charisma, creativity and flexibility.

15. Trait Factors by Ralph Stogdill
 Intelligence
 Physical Features: Height, Weight, Appearance, Health.
 Inner Motivation drive.
 Maturity
 Vision and foresight.
 Acceptance of responsibility.
 Open-mindedness and adaptability.
 Self confidence
 Human relations attitude
 Fairness of objectivity: Honest, Loyal, Lawful.
Summary:
Stogdill was one of the first to point out that a person doesn't become
an effective leader just because he or she has certain traits.
He argued that a successful leader's characteristics must be relevant to the
demands of the leadership situation - that is, the specific challenges faced and
the abilities, hopes, values and concerns of the followers.

16. Edwin Ghiselli’s Personal Traits
According to the research done by Edwin Ghiselli, there exist a
strong relation between the personal traits and leadership.
6 personal Traits by Ghiselli:
 Supervisory Ability.
 Need for occupational achievement.
 Intelligence
 Decisiveness
 Self-Assurance
 Initiative
Ghiselli’s personal trait theory has a limitation that all
six traits are mutually dependent on each other and do
not clarify the amount or degree of a particular trait, an
individual must possess to become an effective leader.

17. Limitations of Trait Approach
 Labeling and oversimplification of personality can occur
 Underestimate the effect of the environment on behavior
 No universal trait that predicts leadership in all situations
 Traits predict behavior better in “weak” than “strong” situations
 Situation may limit the validity of traits
 Traits do not guarantee effective leadership

18. Behavioural Theories
Introduction: Behavioural theory focuses on how leaders behave, and assumes that these
traits can be copied by other leaders.
Types of behavioural theories –
1. Managerial grid :
The managerial grid model is a style leadership model by Robert R. Blake and Jane
Mouton. This model originally identified five different leadership styles based on the concern
for people and the concern for production.
2. Likert’s Four systems of leadership :
The Likert’s Management System consisted of four styles and they are Exploitative,
Authoritative, Benevolent Authoritative, Consultative and Participative. The four styles were
developed with a lot of research and observation.

19. 3. Ohio state university studies :
The Ohio state Leadership studies is a behavioural Leadership theory that shows that
leadership performance depends on two categories of Behaviours : Initiating Structure and
Consideration
4. Michigan studies :
The Michigan Leadership Studies were the well known series of leadership studies that
commenced at the university of Michigan in the 1950s by Rensis Likert, with the objective of
identifying the principles and types of leadership styles that led to greater productivity and
enhanced job satisfaction among workers.

20. Situational / contingency theories
 Contingency theories of leadership focus on particular variable related to the environment.
 According to theories, No leadership style is best in all situation.
 Success depends upon a number of variables, including the leadership style, qualities of the
followers and aspects of the situation.
Models in contingency or situational leadership theories:.
Tannenbaum and
Situational
continuum.
Leadership
Participation
model
Path-goal theory
Situational
Leadership
Theory(SLT)
1)The fielder's
Model/ Leadership
effectiveness Model

21. The Fielder's Model/ Leadership effectiveness Model
• Three key components of The fielder's Model theory:
• 1.Leadership style
i. Task directed style
ii. Human Relations style
• In order to measure the leadership style adopted by individual according to The fielder’s
there are two types of Rating:
i. Scores on Least preferred co-worker (LPC)
ii. Score on assumed similarities (AS) between Opposites.
• 2.Situation Variables :
i. Leader Position Power.
ii. Task Structure.
iii. Leader Member Relationship.
• 3.Reltion between Leadership Style and Situational Variable:
i. Task oriented Leadership is beneficial when the group is either in the complete favour of the
leader or completely against the leader.
ii. Human Relation oriented leadership style is beneficial when the group exhibits intermediary
kind of favourableness toward the leader .

22. Situational Leadership Model(SLM)
• Developed by Kenneth Blanchard and colleagues.
• Study identified two distinct leader behaviour categories.
1. Task Behaviour.
2. Relationship Behaviour.
• Combining Leadership style and Maturity:
1) High Task –Low Relationship(Telling or Directing)
2) High Task-High relationship(Selling or Coaching)
3) Low Task- Low Relationship(Participating or Supporting)
4) Low Task –High Relationship(Delegating)
• Components of follower Maturity
• Job Maturity: The amount of task relevant knowledge experience skill and ability that the
follower possesses.
• Psychological Maturity : The follower self confidence commitment motivation and self
respect relative to task and hand (I.e. willingness).

23. Path-Goal Theory
Path-Goal theory is based on the premise that a leader's behavior impacts the satisfaction, motivation and
performance of employees. Path-goal theory assumes that a leader complements their employees and will
compensate for their shortcomings. The theory provides guidance for ways leaders can encourage and
support employees in reaching goals.
Robert House believed that there are 4 types of Leadership behaviours, which are as follows:
1. Supportive Leadership :-
The leader makes work pleasant for the workers by
showing concern for them and by being friendly and approachable.
It is most effective in situations in which tasks and relationships
are physically or psychologically challenging.
2. Directive Leadership :-
The leader informs her followers on what is
expected of them, such as telling them what to do, how
to perform a task, and scheduling and coordinating work.
It is most effective when people are unsure about the task
or when there is a lot of uncertainty within the environment.
3. Participative Leadership :-
The leader consults with his followers before making a
decision on how to proceed. It is most effective when subordinates
are highly trained and involved in their work.

24. 4. Achievement - Oriented Leadership :-
The leader sets challenging goals for her followers, expects them to perform at their
highest level, and shows confidence in their ability to meet this expectation. It is most effective in
professional work environments, such as technical, scientific; or achievement environments, such
as sales.
Robert House also discovered that there are two types of variables that help moderating the
behaviour of the leader and the outcomes of the behaviours.
(Refer the above Diagram)

25. Tannenbaum and Schmidt's Situational Continuum
The Tannenbaum and Schmidt continuum demonstrates the relationship between the level of
freedom that a manager chooses to give a team, and the level of authority used by the manager. As the
team’s freedom is increased, so to should the manger’s authority decrease. This is a positive way for
both teams and mangers to develop.
This model explains the choices facing leaders when it comes to decision-making.
As you move from left to right on the following diagram, the leader gives up his, or her, power to make
solo decisions and increases group involvement.

26. Contemporary Theories
Introduction:
Contemporary theories believe that rather than observing each traditional leadership theory individually,
it is better to consider all the theories together so that the holistic view of these leadership theories can be
understood.
Types of Contemporary Theories:
1. Transformational Leadership:
Transformational leaders have a deep and unique effect on
their subordinates as they guide their followers to give priority
to the organisational interest rather than their own interest.
Characteristics of Transformational Leader:
1) Charisma
2) Inspiration
3) Intellectual Stimulation
4) Individualised Consideration

27. 2. Transactional Leadership:
Transactional leadership is based on the relationship of the leaders with their subordinates. All the
conventional theories of leadership which are given by Ohio researchers, Fiedler, Robert House,
etc., are based on this transactional leadership.
Characteristics of Transactional Leader:
1) Contingent Reward
2) Management by Exception (Active)
3) Management by Exception (Passive)
4) Laissez Faire

28. 3. Charismatic leadership:
Charismatic Leadership is defined by a leader who uses his or her communication skills,
persuasiveness, and charm to influence others. Charismatic leaders, given their ability to connect
with people on a deep level, are especially valuable within organizations that are facing a crisis or
are struggling to move forward
5 Characteristics of Charismatic Leadership:
• Confidence
• Creativity
• Vision
• Determination
• Communication

29. 4. Visionary Leadership:
A visionary leader is an individual who sees the potential for how the world should exist and then
takes steps to get there. You can achieve visionary without a leadership role - become an idea guy,
for instance
The five leadership principles for project success are as follows:
 Build vision.
 Nurture collaboration.
 Promote performance.
 Cultivate learning.
 Ensure results.

30. THANK YOU