Monday, May 16, 2011

Leadership Theories/Schools

There are number of theories available on leadership which describes leaders’ traits, behaviors, attributes and its significance in terms of context. We can divide leadership theories into four main categories, which can further divided into sub-categories. These are:
  • Trait Theory of Leadership
  • Behavioral Theory of Leadership
  • Contingency Theory of Leadership
Trait Theory of Leadership:

Trait theory of Leadership focused on personal attributes (traits) and believed that:
·         Leaders are born not made
·         There are certain common attributes which every leader should have posses
·         These attributes are:
o   Conscientiousness
o   Extroversion
o   Openness
o   Emotional Intelligence
o   Self Confidence
o   Desire to Lead
o   Ambition & Energy
·         People who lack of above attributes couldn’t be suited into the category of Leader.
Criticism:
·         Trait theory failed to find universal attributes which each and every leader posses around the world.
·         It count on the one of leadership only
·         It entirely neglect the behavior and situational aspect of leadership

Behavioral Theory of Leadership
To overcome the weaknesses of Trait theory, behaviorist came up with different approach of leadership. These theorists focused on result or outcome & people. They emphasize on what people do/ how they behave?
Following theories included in the category of Behavioral Theories of Leadership:

·         Ohio State Studies
·         University of Michigan Studies
·         Managerial Grid Theory

1.      Ohio State Studies:

In 1940, a research has been conducted in Ohio State University. The Ohio State studies utilized the Leader Behavior Description Questionnaire (LBDQ), administering it to samples of individuals in the military, manufacturing companies, college administrators, and student leaders. Answers to the questionnaire were factor-analyzed to determine if common leader behaviors emerged across samples. The conclusion was that there were two distinct aspects of leadership that describe how leaders carry out their role. 
  • Initiating Structure: Extent to Which the leader emphasis on his role & those of the employees in order to achieve the goals.
Leader who is high on initiating structure will assign particular tasks to group members; lays down specific performance expectations, and insists on meeting deadlines. 
  • Consideration: Extent to which a person is likely to maintain relationships that have mutual trust, respect empathy.
A leader high on consideration is friendly, approachable, help employees with personal problems.

2.      University of Michigan: The Michigan leadership studies took place at about the same time as those at Ohio State. Under the general direction of Rensis Likert, the focus of the Michigan studies was to determine the principles and methods of leadership that led to productivity and job satisfaction. The studies resulted in two general leadership behaviors or orientations:

·  Production Oriented: Leaders under this category emphasize on technical or task aspects of job.
·  Employee Oriented: Leaders under this category emphasize on interpersonal relationships, took special interest in needs of employees and accept individual difference among team members.

Studies concluded that employee oriented leaders tend to extract more productivity from the employees and higher job satisfaction.


3.      Managerial Grid: Managerial grid has been developed by Robert Blake & Jane Mouton. The grid combines "concern for production" with "concern for people" and presents five alternative behavioral styles of leadership:


·         Impoverished Management
·         Country Club Management
·         Team Management
·         Task Management
·         Middle of the Road Management




a)      Impoverished Management: This management style is the most insignificant styles as these types of leaders do not have any commitment towards organizational goals. Leaders who follow this management leadership style delegate the work to the team and do not take any accountability. His job security is priority for him. Therefore this management leadership style leads to dissatisfaction among the employees.
b)     Country Club Management: Leaders who follow this leadership style create positive climate by focusing on personal and social needs of followers. These leaders put emphasis on security and comfort of the employees. These leaders do not exercise their legitimate powers due to fear that using coercive powers may strain the relationship between them and their employees.
c)      Team Management: The most significant management leadership style in which leaders stimulate participation, act determined, make priorities clear and behaves open mindedly. In conclusion these leaders are Theory Y types of leaders who believe that people want to do a job voluntarily and thus need little encouragement and participation to get job done. These leaders encourage team work and foster commitment among the employees. Teams of such leaders are highly satisfied and the productivity is also high.
d)     Task Management: These leaders focus on authority compliance. These leaders believe that people are tools for getting job done and communication is only for instructions. For these kinds of leaders employees’ needs are not important. They strictly follow the reward-punishment policy.
e)      Middle of the Road Management: these leaders are usually compromisers who focus on avoiding conflicts. These leaders emphasize on modulate level of production. Therefore neither task nor the people needs are fully met.

Contingency Theories of Leadership:
Contingency theories focus on situational variables/factors that affect leadership roles, skills, behavior and followers’ performance and satisfaction. Numerous situational variables were identified, but not overall theory pulled it all together until Fred Fiedler proposed the now widely recognized situation-based, or contingency, theory for leadership effectiveness.

1.      Fiedler’s Contingency Model- Fiedler assumed that leadership style is fixed and can be measured by Least Preferred Co Worker Questionnaire.

·         Least Preferred Co Worker Questionnaire- The way in which a leader will evaluate a co-worker, who is not linked, will indicate whether the leader is task or relationship oriented. Following is the Questionnaire & its dimensions proposed by Fiedler:

·         LPC asks the respondents to think of the individual THEY LEAST ENJOYED WORKING WITH and rate him on a scale of 1—8 against each of the adjectives.
·         If the Least Preferred Co-Worker is described relatively in positive A HIGH LPC SCORE; you are a sort of a person who values RELATIONSHIP with co-workers over TASK.
·         If the Least Preferred Co-Worker is described relatively in negative A LOW LPC SCORE; you are a sort of a person who values TASK with co-workers over RELATIONSHIP.

Further he suggests that a high LPC or low LPC leader can only be effective if their leadership style matches their situation. Different situations can be: 
  • Leader-Member Relationship- confidence and trust which the members have in their leaders 
  • Task Structure- Degree to which job assignments are procedurized. 
  • Position-Power- Degree of influence a leader has over power variables, such as hiring, promotion etc.


2.      Hersay & Blenchard’s Situational Theory- Developed by Harsay & Blenchard in 1969. They proposed that different situations demands different leadership styles. Therefore leadership styles should be varying from the level of the followers. They also suggests that being an effective leader requires that an individual adapt his/her style to demand of different situation.
The focus was on followers. Leadership style to be adopted depends on the Readiness of the followers.

  • Readiness of the followers: the extent to which people have the ability and willingness to accomplish task
They proposed a model to suggest different leadership styles based on two dimensions:
·         Task Behavior (Amount of guidance required)
·         Relationship Behavior (amount of support required)





3.      Leader-Member Exchange Model: This model suggests that leaders treat individual followers differently. In particulars, leaders & their associates develop dyadic relationships that affect the behavior of both.
Overtime leader will develop an “In Group” and an “Out Group” of associates and treat them accordingly.

Research has shown that-
·         “In Group” report fewer difficulties in dealing with leaders.
·         Perceive leaders as being more responsive to their needs.
·         High quality relationship with their leader and therefore gives high performance.

4.      Path Goal Theory: It attempts to explain the impact that leader behavior has an associates motivation, satisfaction and performance. Robert House version of this theory suggests four major types of leadership:

  •   Directive- Authoritarian type of leadership. Associates know exactly what is expected from them. 
  • Supportive- Friendly and approachable leaders who have concern for associates. 
  • Participative- Leaders ask and uses suggestions from associates but still makes decisions. 
  • Achievement- Leaders sets challenging goals for associates.


Theory suggests that the relation between leader’s behavior and the performance outcome is influenced by:
·         Uncontrollable Factors, known as environmental factors. Theses are beyond the control of employees such as task structure and work group dynamics.
·         Controllable Factors, known as Employees’ characteristics. These are within the control of employees such as locus of control, experience and need for clarity.

Tuesday, May 10, 2011

Leadership defined


Leadership

Leadership is the ability to influence people to achieve common goal.

OR

Leadership is the ability to exert interpersonal influence by means of communication towards achievement of a goal.

Definitions

Peter F Drucker, “The only definition of a leader is someone who has followers.”

Oxford Dictionary, “the person who leads or commands a group, organization, or country”

Warren Bennis, “Leadership is a function of knowing yourself, having a vision that is well communicated, building trust among colleagues, and taking effective action to realize your own leadership potential”

Wednesday, May 4, 2011

Concept of Human Resource Management

Human Resource Management (HRM) may be defined as a set of policies, practices and programmes which designed to maximize both personal and organizational goals.

Definitions

According to Fippo, "human resource management is the planning, organizing, directing and controlling of the procurement, development, compensation, integration, maintenance and reproduction of human resources to the end that individual, organizational and societal objectives are accomplished."

Basically, Fippo is describing basic functions of HRM, i.e., Planning, Organizing, Directing and Controlling at all the levels of organization (individual & organizational) and society at large.

According to National Institute of Personnel Management of India, "HRM is that part of management concerned with people at work and with their relationships within the organization. it seeks to bring together men and women who make up an enterprise, enabling each to make his own best contribution to its success both as an individual and as a member of a working group."

Above definition is presenting more humanistic approach of HRM. It is emphasizing human part of HRM in which people make an enterprise to put their best possible efforts for the success of themselves and organization as well.

In brief, HRM is managing human for achieving goals of individuals, organization and society at large. it comprises basic functions of management which is done by Human resource employed in the organization, which results in accomplishment of objectives for the success of individual, organization and society.