11-3 Ch11 Power: The Key to Leadership Legitimate Power The authority that a manager has by virtue of his or her position in the firm. Example: the power to hire or fire employees. Reward Power The ability of a manager to give or withhold tangible and intangible rewards. Example: awarding pay raises or providing verbal praise for good performance. Effective managers use reward power to signal to employees that they are doing a good job.
11-4 Ch11 Power: The Key to Leadership (cont d) Coercive Power The ability of a manager to punish others. Examples: verbal reprimand, pay cut, and dismissal. Is limited in effectiveness and application; can have serious negative side effects. Expert Power Power that is based on special knowledge, skills, and expertise that the leader possesses. First-line and middle managers have the most expert power; usually is technical ability.
11-5 Ch11 Power: The Key to Leadership (cont d) Referent Power Power that comes from subordinates and coworkers respect for the personal characteristics of a leader who has earned their loyalty and admiration. Usually held by and available for use by likable managers who are concerned about their workers.
11-8 Ch11 Other traits related to effective leadership Skills of leadership Katz: conceptual/ interpersonal relationship/ technical abilities Yukl: creativity/organizing/persuasion/ interpersonal & social relationship
11-13 Ch11 Fiedlers model for matching leadership with contingencies
11-14 Ch11 Houses Fielder
11-15 Ch11 Contingencies about employee
11-16 Ch11 (situational leadership theory by Hersey & Blanchard ) (ability) (willingness) (telling): high task-oriented but low relationship-oriented (selling): high task-oriented and high relationship-oriented (participating): low task-oriented but high relationship- oriented (delegating): low task-oriented and low relationship- oriented
11-19 Ch11 Kerr Jermier Worker empowerment or self-managed work teams reduce leadership needs. Managers should be aware that they do not always need to directly exert influence over workers. Characteristics of the subordinates their skills, experience, motivation. (by selective recruiting and training) Characteristics of context the extent to which work is interesting and fun. (by purposeful work design)
11-20 Ch11 Transformational Leadership Leadership that: Makes subordinates aware of the importance of their jobs and performance to the organization by providing feedback to the worker. Makes subordinates aware of their own needs for personal growth and development. Motivates workers to work for the good of the organization, not just themselves.
11-21 Ch11 Being a Charismatic Leader for corporate transformation Charismatic Leader An enthusiastic, self-confident transformational leader able to clearly communicate his or her vision of how good things could be by: Being excited and clearly communicating excitement to subordinates. Openly sharing information with employees so that everyone is aware of problems and the need for change. Empowering workers to help with solutions. Engaging in the development of employees by working hard to help them build skills. Subordinated with honor