UNIT 800 LEADERSHIP QUALITIES AND PRACTICE

Unit 700: Leadership Qualities andPractice

Learning outcome 1

• 1.1Criticallyanalysetheconceptofmanagersas

effectiveleaders

•Leadershipisa processby whicha person influences others to accomplishan objective and directs the organization in a way that makes it more cohesive and coherent as statedbyBhugra,GuptaandRuiz(2013).

•Leadership is inspiring others to pursue your visionwithin the parameters you set, to the extentthatit becomesasharedeffort,asharedvision,andasharedsuccess.

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Bass'TheoryofLeadership

•Asper the observationof (Northouse, 2015),Bass'theoryof leadership statesthattherearethreebasicwaystoexplain howpeoplebecomeleaders.

• The first two concepts explicatethe leadership development for asmal numberof people, while the third oneisthe dominanttheoryusing nowadays.

• Thesetheoriesare:

•Somepersonalitytraitsmay lead peoplenaturally into leadershiproles.This isthe TraitTheoryasobservedby(AntonakisandHouse,2013).

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• Acrisisor important eventmaycauseapersonto riseto theoccasion,which bringsout extraordinary

• leadership qualities inan ordinary person. Thisis the Great Events Theory (Chemers, 2014).

• People canchooseto become leaders. People canlearn leadership skills. Thisis the Transformationalor ProcessLeadership Theory. It is the most widely accepted theory todayand thepremise onwhich thisleadership guideisbased(Northouse, 2015).

ManagementversesLeadership

• Incommonthe leadershipandmanagement haveagreat deal, suchasaccomplishingthe goals of the organisationand working with people and also they may differ on their mainfunctions.

• The primary function of the management is to produce consistency and order over processes,suchasbudgeting, organizing, planning, problem solvingandstaffing (Goetsch andDavis,2014).

• While leadership's mainfunction is to produce movement and constructive or adaptive changethroughprocesses,suchasestablishingdirectionthroughvisioning,aligningpeople, motivating,andinspiring.

• Leadershipversusmanagement,althoughrelativelyeasytodistinguishbetweenthetwo,iscomplexbecausemanypeople areboth.The Manager hastheunfortunateparadoxofcontrollingsystems,resourceandstandards.

• Theyhavetoensurethat everythingwithworkstoplanandthatallisinorder.Butitdoesn'tstoptheir.Theyhaveto alsoleadteams to achieveunchartered boundaries andnewwaysofworking.

• IfyouthinkaboutitandbasedontheoriesofLeadership,dictatingthroughanautocraticmanagement stylewillnotwintheheartsand mindsofindividuals.Thisin turnwill createmore damagethan good forthelongterm,soLeadershipplaysanimportant rolein leading andmotivatingtheteamsto achievenewthings(Bolman andDeal,2017).

• Managementnormallyfocusesonworkandtasks.Theseactivitiesfit withinthesubject ofresource:Human,time,Money,and equipment, including:

• Planning–Planningresourceandtasksto achievetheobjectives

• Budgeting – Managing the constraintsofbudgetsin the department/ project

• Organising –Organisingsupportfunctionsandresource

• Controlling–Controllingthestandardsrequiredto delivertheobjectives

• Coordinating –Coordinating and directingprojecttasksforachievementofgoals

• Resourceuse–Ensuringeffective resourceisusedfor thetaskat hand

• Timemanagement–Ensuringtasksandactivitiesare conductedwithinthecorrect timeframe

• Decision Making– Makingtheright decisionsintheheatof themoment

• ProblemSolving– Ensureproblemsarecontainedandeliminated.

• Managerstendtoadoptimpersonal,if notpassive,attitudestowardgoals.Managerial goalsariseoutof necessities ratherthandesiresand,therefore,aredeeplyembeddedintheir organization’s historyandculture.

• Theexampleof Polaroid andLandsuggestshowleaders thinkaboutgoals.Theyareactive instead of reactive,shaping ideasinsteadof respondingtothem(Mujtaba,2013).

• Leadersadoptapersonalandactiveattitude towardgoals.Theinfluencealeaderexertsinalteringmoods,evoking imagesandexpectations,and inestablishingspecificdesiresandobjectivesdeterminesthedirectionabusinesstakes.

• Thenetresultofthisinfluencechangestheway peoplethinkaboutwhat isdesirable, possible,andnecessary.

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1.2Criticallyanalysetheconceptofleadersas effectivemanagers

Leaders

• Leaderscanbeapersonorthingwhichenjoysadominantpositionover the employeesof anorganisation to fulfil the organisation’sobjectives (Henry,2015).

• Aleader maybeable to employhigh-level poweroverthe employeesin anorganisation (Henry,2015).

• Leadership

• Leadershipistheactionsof leadersorasetof peopleinanorganisation.

• Leadershipallowstheleadersto controlthe employeesandit is consideredasthe ability ofthe leaderto doit (NohriaandKhurana, 2010).

• Leadershipallowstheleadersto lead the workers,ortheorganisation’s teamasawholeto attainthe strategicobjectivesof theorganisation

• Theresponsibilityofleadershipincludes formulatingaperfectvision, sharingthe visionwithothersin the

• organisation andcoordinatethevariousinterestsamongthe employees (NohriaandKhurana,2010).

Leadersaseffectivemanagers

• Manyfactorsaidaleaderto becomeaperfectmanager

• Nevertheless,leadershipisanessentialfactorthatallowsaleadertobecomeanactive manager.

• Theconcepts‘leadership’and‘mange’seemtohavethe samemeaning. However,both termsaredifferent,andit is significanttounderstandtheboth

• Theideaslikevision andinnovations arerelatedtotheconceptof Leadership.Theroleof themanagersmaybethe excellentmaintenanceofthevisionandchangesof anorganisationwithhighstandards.

• Aleaderemphasisespeopleorworkerof anorganisationandstrivestoinspirethem,but managersfocusthesystem andtheoutlineoftheprocess.

• Thus,theleadershipskillsfor aleaderto becomeacompetentmanager(NohriaandKhurana,2010).

Otherfactorstobecomeeffectivemanagers

• Wisedelegationskills

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Communicate

Leadersmustcommunicate with the employeesthatwill allowtheemployeesto knowthe up to date informationregarding the company

Many leaders occasionally communicate with their employees that will lead to the ineffective functioning of an organisation (Schoemaker,Krupp,andHowland, 2013).

Time withemployees

Providing timeforemployeestodiscussthe issueswillaid theleaderofanorganisation to becomeaneffectivemanager

Keepingasideallthe organisational activities of leaderand listening to the employeesis the main crus inthisfactor(Schoemaker, Krupp,andHowland, 2013).

Recognising achievements

➢ Employeesmayattainfewachievementintheworks

➢ Aneffectiveleaderwill recognisethe achievementand appreciatetheemployees

➢ The appreciation andrecognitionof employeesachievementmay generateloyalty towardstheorganisation andthereby to attainthe strategicobjectivesof theorganisation

Inshort,leadershipisthetop qualityfor aleaderto becomeaneffective managerin anorganisation.

Apart from this, wise delegation skills, goal fixing, communication, time with employees and skill to employee'sachievementare theimportantskillsforaleadertobecomean effective manager.

➢ Aneffectiveleaderof anorganisation will considerthe achievements,andthiskind of leader onlycanbeaneffective managerin anorganisation (Schoemaker,Krupp, andHowland, 2013). recognise

• Leadership

• Leadpeople

• Focusesonpeopleanddemonstratescredibilityand trustto obtain decisive actionand commitment fromothers

• Establisheddirection, alignspeopleandinspiresthem

• Usespersuasiveness, feelings andemotionstoinfluenceothers

• Strategicmanagement

• Includesasetof managerial actions anddecisions thatdetermines thelong-runperformance of acorporation

• Focusesonintegrating accounting, management, production,operationsand marketingforachieving

• organisationalsuccess

• Stepsinclude-Business environmentscanning, Strategyformulation, implementation,evaluation andcontrol

Strategic management emphasizes on monitoring and evaluating of external opportunities and threats whereas, leadership is getting people to want to do whatneedsto be done

Leaders pullandmanagers command ⦁ Strategic management is about controlling tasks and creating order in an environment, whereas leadership influencesandmotivates thestaff

Successful leadership often motivates staffs strategic management’s success depends on the business size (GoetschandDavis2014)

• Aproductiveleaders oftenbuild a positiverelationshipwiththeemployees and willbuildan environment whereemployeeswantto completetheir tasks and are alternative action programmes, notforced todoso

•Strategic managemententails managerialchoiceamong differentbusinessapproachesandcompetitivemoves

• Toattainawell-balancebetweenthestrategicmanagementandleadership

• Thinkstoconsider:

• Healthyrelationships

• Inspiringstaffs

• Productiveenvironment

• Tobuildupapositiverelationship

• Employeeawareness

• Accountability

• Empowerment

• Inspire,don’tcontrolmannerism

• Asaleader oramanager,theultimategoalarethesamehowever,thepathtoachieveorganisational successwherediffer.

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If a balance isnot maint ained

•Both organisationalprinciples aswellasitsemployees’fun ctioninggetsdamaged

• Peopleshowsreluctanceto changesthat takeplaceinthe organisation • Peoplefeelsdiscomfortworking with theorganisation

Inabilityto takedominionover chaos • Leadership • It is about change and helps the organisation defining the vision, taking advantage of opportunities and overcoming of threats • Often induces innovative ideas that will help in running th eorganisation smoothly

• References

•Bhugra, D.,Gupta,S.andRuiz,P.(2013)WhatisLeadership?. Leadershipinpsychiatry,pp.1-12.Northouse,P.G. (2015).Leadership:Theoryandpractice.London:Sage publications.

• Chemers, M.(2014)Anintegrativetheoryof leadership.NewYork:PsychologyPress.

•Antonakis,J.and House,R.J.(2013)Thefull-range leadershiptheory:Theway forward.InTransformational and Charismatic Leadership:TheRoadAhead10th Anniversary Edition (pp.3-33). New Jersey:EmeraldGroupPublishing Limited.

•Goetsch,D.L.andDavis,S.B.(2014)Qualitymanagementfor organizational excellence. UpperSaddleRiver,NewJersey:Pearson.

•Mujtaba, B.G.(2013)Managerialskillsandpracticesfor global leadership.New Delhi:LEADAcademy.

•Bolman, L.G.andDeal,T.E.(2017)Reframingorganizations: Artistry,choice,and leadership. New Jersey:JohnWiley& Sons.

• Henry,N.(2015)Publicadministrationandpublic affairs.London:Routledge.

•Nohria,N. andKhurana,R.eds. (2010)Handbookof leadershiptheoryandpractice. Boston:HarvardBusinessPress.

•Puccio,G.J.,Mance,M.andMurdock,M.C.(2010)Creativeleadership:Skillsthat drive change.California:SagePublications.

2.1Critically evaluatetheroleof the leader in thecreation of anorganisation’svision, missionand values

MissionandVision

Themissionoftheorganisationisanarticulationofthecommonpurposethatinformsand bindsthemembersofthefirmtogether.Firmsutilise the missionstatementasa way tocommunicatetheorganisational purpose with theemployeesand key stakeholders.On theother hand, the visiondiffersfromthemissionasthemetricisfuture-oriented and setsouta descriptionof wherewill be theorganisation after anumberof years.Moreover,the missionand visionisa pivotal stepinrealisingthe organisationalstrategy(Stewartand Rogers,2012).

Roleof leadership

• Excellenceinorganisational performanceisachieved in theaftermathof consciouschoicesmadebytheleaders. The

•leadershaveafive-orten-year visionfortheorganisationandsetbelievableplanstoachievetheirvision. However,inthiscomplex andever-changingworld, anticipatingthefuturecanbevery difficult.

• Leadership,Vision,missionandvalues

• Organizational leadersmustcreateacompelling visionthat willinspireandmotivatetheir employees.Avisionisan

•ambitiousviewofthefuturethateveryoneinthe organisationcanbelievein,onethatcanrealisticallybeachieved,yet offers a futurethat isbetterin importantwaysthanwhat nowexists. Oneof themostcriticaljobsof theleaderisdecidingthevision for thefutureandlinkingthefuturewith strategic actions.Eventhoughsuccessfulorganisationsdependontheactive involvementof all employees,leadersare stillultimatelyresponsiblefor establishingorganisational directionthroughvisionandstrategy (Northouse, 2014).

•Seniorleadersmustdefinewheretheorganisationisheaded,whattheywantthe organisationtobe,the organization’s values (andother beliefs), andacceptablebehavioursduringthejourney.Frequentlytheshortcoming isnotthelackofvaluesasmany organisationshavebeautiful plaquesonthewalltoutinga fairlyroutinesetof valuesor beliefs.

Leader’scontribution

Leadersdecidethedirectionfortheirorganisationsbasedonfacts,rationalanalysis,intuition, personalexperience and imagination. Consequently,aleader’scontributionand impactcanbemeasuredbytheextentto whichthey are ableto: ▪ articulate the vision,missionandstrategies ▪ allocatethe resourcesrequired fortheir implementation ▪ inspirethosewhomustembraceandachievetheorganizational goals ▪ providerewards appropriatetothosewho contributetoachieving thevision

The mission statement and strategic position (core competency) are used to cast a very general and long-term view of where the company is headed and what we believe. The vision statement is more specific and is used by senior leadership to communicate to all stakeholders a more concrete picture of what the company will look like in ten years in pursuit of the missionandstrategic position.Frequently the seniorleaders refer to themissionandvisionwhenexplainingdecisionsanddirection.

The Leadership Team has identified as a priority the safety and welness of the Associates and all stakeholders. This priority is communicated to everyone in the six key success factors under “Associate Quality of Life.”

The hierarchy of priorities (Integrated Contingency Plan) lists preservation of human life and safety as the first priority, and the President, through every communication method, identifies safety as a key focus(Latham,2013).

Example2:VirtuaLeadershipSystem

TheVirtua LeadershipSystem(VLS),was developed bySeniorLeaders(SL) in a retreatinFebruaryof 2004toensurethatleadersat all levels of the organisationwouldunderstandwhat isexpectedof them.Inthe same retreat, the mission, vision and values (MVV) were reviewed and validated. These are annually reviewed in the Strategic Planning Process.Throughacycleof learning and improvement,thePresident’s Group (PG) and thesenior leaders (SL) mapped this process to the vision and values to improve alignment, integration and moreeasily teachnewmanagersthiskeyprocessforsuccessinproviding the core competency(theOutstandingPatientExperience-OPE).Theimproved VLS was deployedtoall levels of the organization at the STARlaunch meeting in January 2009. Every leader at every level has the responsibility to deploy MVVand support theSTARstandardsof behaviour and measures.Theoverall direction of the organization with supporting metricsandplan are developedtomeetthestakeholder requirements(Latham,2013).

2.2Criticallyanalysehowpersonal energy,self-beliefandresponsibility impactleadershipstylesandtheir relativesuccess

•Asper the observation of Northouse(2015), It iswell understood that empowered employees would contribute moreandbetterto theirorganizational outcomes.

•Thefollowers whowork with leaders exhibiting high moral standards and expectations, integrity, and optimism feelmorecomfortableandempoweredto dotheactivitiesrequiredforsuccessfultaskaccomplishment.

•Brown andRyan(2015),arguedthat empoweredemployeeswill seethemselvesasmore capableandwill influencetheirjob andorganizationsin amoremeaningfulway.Thatisbecauseemployeeswho feelmore empoweredare morelikelytoreciprocatebybeingmorecommittedtotheir organization.

•Theempoweredemployees have higherlevels of concentration,initiative, and resilience, whichinturn enhanced their level of organizational commitment. Employees deriving a greater senseof meaning from theirwork would havehigherlevelsof commitmenttotheirorganizationandenergytoperform.

•Asper theobservation of Fast,BurrisandBartel(2014),practiceof empoweringor instillingasenseofpowerisat theroot of organizationaleffectiveness,especiallyduringtimesof transitionandtransformation.Inaddition, studiesof powerandcontrolwithinorganizationsindicatethatthemoreproductiveformsoforganizational power increasedwithsuperiors'sharingof powerandresponsibilitywithsubordinates.

• Organisationsand managersareincreasinglyaware that theyfaceafuture of rapidandcomplexchange.Thiswaveof future

• orienteduncertainty, coupledwithindividual demandsfor increasedparticipationat all levelsof theorganisation,has dramatically changedperceptionsofleadership,specifically with regardtotherespectiverolesplayedbytheleader andthe follower.

• Inanattempt to understandleadership effectiveness,researchershavestudiedtwomainlinesof theory.Transformational leadership, whichhasemerged asadominantapproach,iscontrastedinmanystudiestotransactionalleadership.

• Bothtransformationalandtransactionalleaders areactiveleaderswho actively interveneto solveandpreventproblems fromoccurringasstatedby(VanvanWartandDicke,2016).

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• �� Althoughonewouldexpectthat thesubordinatesoftransformationalleadersaremoresatisfiedwiththeir jobsand morecommittedtotheirorganisations,witha fewexceptions,there islittle evidencetosupportthese linkages.

• Severalstudies indicatethat transformationalleadership,whencompared to transactionalandlaissezfaireleadership,

• resultsinhigher levelsof satisfaction,commitment,organisationalcitizenship behaviour, cohesion,motivation, performance, satisfactionwith theleaderandleader effectiveness.

• Althoughtheattitudesofjobsatisfaction,jobinvolvement andorganisationalcommitmentrepresentdistinctconcepts and hasindicatedthat the thesework-relatedvariables arelikelyconsequencesof eachother.

• Asapositiveemotionalstatereflectinganaffectiveresponsetothejobsituation(jobsatisfaction), andacognitivebelief statereflectingone’s psychological identification withtheorganisation(jobinvolvement), researchershaveindicatedthat thesetwoattitudestoaspecificjobare differentfromoneanotherandfromorganisationalcommitmentwhichfocusesontheindividual’s identification withtheorganisationasa whole.

• OrganisationalCitizenshipBehaviour

• Organisationalcitizenshipbehaviour isatypeof discretionaryjob performance in whichemployees gobeyondprescribed job requirements (in-rolebehaviours) thatarenotexplicitly recognisedbytheformal rewardsystem,and engageinhelpingbehaviours aimedatindividualsand theorganisationasawhole(Chemers,2014).

➢ Todescribeorganisational citizenship behaviour, (Northouse, 2015)identified the folowing five dimensions:

▪ Altruism,whichreferstohelping behaviours aimedat specificindividuals;

▪ Conscientiousness, whichreferstohelping behaviours aimed at the organisationasa whole;

▪ Sportsmanship, whichreferstothe wilingness onthe part of the employeetotolerateless than ideal circumstances without complaining;

▪ Courtesy,whichreferstoactions aimedat thepreventionof futureproblems;and

▪ Civic virtue, whichreferstoa behaviour of concernfor the lifeof the organisation.

➢Researchshowsthat employeebehaviour (organisationalcitizenship behaviour)is positivelyrelatedtoafective commitment(asopposedto continuouscommitment), employeeinvolvementinworkorganisational issues,perceivedorganisational support,highqualityof leadermemberexchange, overall evaluations ofperformanceefectiveness, quantityof output,turnover and satisfaction.

➢ Leaders also need to accommodate their leadership style to lead a culture with directors, executives, and managers who have needs and values different from their own, to optimise value for shareholders and stakeholders(BrownandRyan,2015).

➢Wecallonleaderstocreatemoreshareholderand stakeholdervalue by determining sustainablevisionsfortheir organisationsand bytranslatingthosevisions,goals,and strategiesintotheoperative valuesoftheiremployees.

Byunderstandingthe invisibleforcesofvalues,leaders can implementvalue creationstrategiesfurtherandfaster throughouttheirorganisations,harnessingandunleashing the strongestforceinbusinesstoday:themotivational driving forcewithin each and everyemployee.

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Recognize effortsand reward successes

Thekeyto making employeesfeelconfident enoughto take initiativeandmake decisionsisto simply reward those thatdo

Recognizingtheseeffortsisthe ultimate employee motivator,as it encouragesthe employee to continuedoing whatthey’re doing, aswell asinspire their teammembers to follow suit

Thislets employeesknowtheirthoughts andopinions are valued andappreciated, making themall the more likely to speakup(Zhang,andBartol, 2010).

Insteadof relyingonthe traditionaltop-downcommunication frommanagement, invite andwelcome employee feedbackby

plenty ofopportunitiesforemployeesto givetheir 2 cents(Zhang,and Bartol, 2010).

• Mostimportant,empoweremployees bygiving themthetoolstheyneedtosucceedand lead.

• Providethenecessarytraining,amentor,qualityfeedback-- anythingandeverything that willhelpthemontheirwaytobecomingmoreempowered(Zhang,andBartol, 2010).

• Don’thover

• Totruly enableemployees, employersneedtobewilling totakeastepback.

• Someemployees mayfind it easiertostepupif theydon’tfeelliketheir every moveisbeingmonitored,nottomentionevaluated.

• Monitoringanemployee’s every movecanhavetheoppositeoftheintendedeffectby impedingtheir abilitytogrowasprofessionals(Gilletal.,2010).

• Positiveimpacts

• Ethicalpracticeshelpcompaniesto developanexcellentreputation.

• Reputationhelpsbringin additionalcustomers,generatespositivepublicity,andcanhelpsolidifysupport for theorganizationin timesofcrisisandcontroversy

• Onamorepositivenote,anestablishmentthatgivessignificantlytocharity eachyearispracticing ethicalbehaviourandexhibiting corporatesocialresponsibility(Stoutenet al.,2010).

• Whilethispracticebenefitsthecompanybyallowing themtowrite off thedonationagainsttheirtaxes, it alsosendsoutapositivemessageandhasapositiveimpactonthecommunity

• Thispracticeofgivingbackcanbringinmorecustomers,increaseorenhancepositivebusinessrelationships, andevenallowthefirm to addnewemployees(Stoutenetal., 2010).

http://johnlatham.me/wpcontent/uploads/2013/12/BUG_5e_Example_Section.pdf

3.1 Criticallyevaluate transformationalleadershipand the impact on organisational strategy

TransformationalLeadership

Transformational leadershipinspires peopletoachieveunexpectedorremarkableresults.Itgives workersautonomy overspecific jobs,aswellastheauthority to make decisionsoncetheyhavebeentrained.Someof thebasiccharacteristicsof transformational leadership are inspirational, in that the leader caninspire workers to find better ways of achieving a goal; mobilization, because leadership can mobilize people into groups that can get work done, and morale, in that transformational leaders raise the wellbeing and motivation level of a group through excel ent rapport. In addition the transformational leaders are good at conflict resolution (Spahr, 2015).

Inspires otherswith a sharedvision for the future Leads byexample

Transformational Leadership

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ModelofTransformationalLeadership

•InspirationalMotivation:Thefoundation of transformational leadership isthepromotionof consistentvision,mission,anda setof values tothemembers.Theirvisionis so compellingthat they know what

•they wantfromevery interaction.Transformational leaders guidefollowersby providing themwitha senseof meaning andchallenge.Theyworkenthusiastically andoptimisticallyto foster thespirit of

• teamworkandcommitment.

•IntellectualStimulation:Suchleadersencouragetheirfollowerstobeinnovativeandcreative. Theyencouragenew ideas from their followers andnever criticizethempubliclyfor themistakes committed

•bythem.Theleadersfocusonthe“what”inproblemsanddonotfocusonthe blamingpartof it.Theyhaveno hesitation indiscarding anoldpractice setbythemif it isfoundineffective (Shelton,2012).

•Idealized Influence: They believe in the philosophy that a leader caninfluencefollowers only when hepractices what he preaches. The leaders act as role models that followers seek to emulate.Such

•leaders alwayswinthetrustandrespectof their followers throughtheir action.They typicallyplace

•their followersneeds over their own,sacrificetheir personalgainsforthem,addemonstrate high standardsofethicalconduct.Theuseofpowerbysuchleadersisaimed atinfluencing them to striveforthecommongoalsof theorganization (Shelton,2012).

• IndividualizedConsideration:Leadersactasmentorstotheirfollowers andreward them for creativity andinnovation.Thefollowers are treateddifferentlyaccording totheir talents and

•knowledge.Theyare empoweredto make decisions andare alwaysprovidedwiththeneeded support to implement theirdecisions.

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Criticismsof Transformational LeadershipTheory

• Transformationalleadership makesuseof impression management and thereforelendsitselftoamoral self promotion by leaders

• Thetheory isvery difficult toe trained or taughtbecause it isa combinationofmanyleadership theories.

• Followers mightbe manipulatedby leaders andtherearechancesthat theylosemorethantheygain.

• ImplicationsofTransformationalLeadershipTheory

•Thecurrentenvironmentcharacterizedby uncertainty,globalturbulence,and organizational instability callsfor transformational leadership toprevail atalllevelsoftheorganization.Thefollowersof suchleadersdemonstratehighlevels of job satisfactionand organizational commitment,andengage in organizational citizenshipbehaviors.With sucha devoted workforce,it will definitelybe useful toconsider makingefforts towardsdeveloping waysof transforming organizationthrough leadership.

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Organisationalstrategy

•An organizational strategyis thesumof the actions a companyintends to taketo achievelong-term goals.Together,these

• actions makeup a company’s strategicplan. Strategicplanstakeat least a year to complete, requiring involvementfrom allcompanylevels.

•Organizational strategymustarisefroma company's mission, whichexplains whya companyisin business. Everyactivityinthe companyshould seekto fillthispurpose,themissionthusguidingallstrategicdecisions (Watson, 2013).

•Fora strategyto work,it mustbe converted intosmaller,shorter-term goalsandplans.Middlemanagement adoptsgoals

• and createsplanstocompete in themarketplace.Thesetactical objectivestakelessthana year to complete, becoming thebuildingblocks of a successfulorganizational strategy.

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Impactoftransformationalleadershiponorganisationalstrategy

•Transformationalleadership guidesandmotivates a commonvision of the organization.Itmotivates workersto createand share knowledge, generating knowledge slack.Knowledge slack isessential to facilitatingpersonaland professionalgrowth, organizational learning and innovation. Transformational leadersfosterabsorptivecapacityamong theorganization’smembers by encouraging employee empowerment and autonomy. Theyprovide information, responsibilities,skillsandcompetences to theorganization’sagents, who may then useit to acquire,implement, transformanduseanewpractice and improve internal communication byreducing barrierstosharing knowledge, thereby increasing theefficiencyof theabsorption process(García-Morales, Lloréns-MontesandVerdú-Jover,2008).

•Transformationalleadersenable thesearchfor newopportunities, creation of a common vision,andmotivation andguidance of employees. Thesearchfor newopportunities encouragesgreaterresponsibility inemployees andgreater exploitation of tacitknowledge at work(Bass,1999). Thetransformational leader canalso generate a shared visionthroughwhichallof the organization’smemberslearn,usingbothexplicitand tacitknowledge. The leader knowsthat theorganization’smemberspossesssignificantintellectual capacityand tacitknowledge, whichshouldbeusedat work.Transformational leadersguideothers’professionaltrajectories,givingthemgreater libertyin their tasksbyallowing themto make greaterintellectual decisionsbasedon tacitknowledge (García-Morales, Lloréns-MontesandVerdú-Jover,2008).

Mission, vision and values Organisational Goals

Transformational Leadership Organisational Strategy

Employee engagement

Organisational Objectives

Sets high standards

A broader conceptualization of business performance would emphasize indicators of operational performance (e.g. market share, product quality) as well as those of financial performance. Finally, organizational effectiveness takes into account other agents involved in the firm, measuring for example personnel satisfaction in the organization. Given the important role of business performance, we encourage future research to devote closer attention to measuring business performance from a multidimensional perspective. Development of a collaborative scheme between academics and practitioners could generate an organizational strategy around the concept of ‘transformational leadership’, permitting further study of the processes, means and mechanisms by whichto transformthis kind of leadershipinto sustainable competitiveadvantage. Futurestudies should be based onlarger samples, preferably in more than one country. It would also be interesting to study similar characteristics with data provided by lower levelsof management and employees in thefirm.

3.2 Evaluating the transactional leadership and its impact on organisation strategy

▶ Leadership style ▶ A leader is someone whoinspires and influences its followers ▶ Leader’s impact on organisation’sperformance is directly linked with the leadership styleadopted

Transactionalleadership

Disadvantages in adopting transactional leadership

• Transactionalleadership promotes a rigidstructure

• It is slow torespond

• Transactionalleaders have atendency to be more reactivetochanges n marketconditions

• This style is flawedas it motivates people only on base level

• It is poor while higher thinking levelis need in achieving the goals

Impact of Transactional leadership on organisational strategy

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Transactionalleadershipdependson employee performance and contingentreward leadership behaviour

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Transactionalleadershipstyleis closelylinkedto the employee performanceas rewards and transactions.

• ▶ In this casethe employees willfunction in accordancewith the leader’swishesas they believe thattheywillattainbenefits

• ▶ Thisperformanceof the employees willaffect the actionsof a organisation inachievingthe organisation’slong-termgoals

• Transactionalleadersencouragesthe subordinatesreadiness to perform at expectedlevels by offering rewards for acceptable performance

• As a result the employees will works well resulting in achieving desired outcomes

• The transactionalleaderspertains to emotional excitement and thus attracts the employeesthereby improves the organisation’s performance.

• Jobsatisfactionamongemployees contributesufficient organisational management resulting in achievingthe organisationalobjectives

• By the adoption ofthetransactionalleadershipthus the organisation will able to improve the components of organisationalstrategysuchas resources, score and the company’scoreand competencyetc

• Thistop management utilisingthe transactionalleadershipstyle createsthelargerorganisational strategytogetherthese actions make up a organisation’sstrategicplan (Holten and Brenner, 2015).

3.3Critically evaluate transformational leadershipandthe impact onorganisational strategy

SituationalLeadership

Situational leadership is a leadership style thathasbeendevelopedandstudiedby KennethBlanchard and PaulHersey. Situational leadership refers to whenthe leader ormanager of an organization mustadjusthisstyle to fitthe development levelof the followers he is trying to influence.Withsituational leadership, it is up to the leader to change hisstyle,notthefollower to adapt tothe leader’s style(Northouse,2015).

• TellingAndDirecting

•In telling/directing,theleader of the organization istheone makingthedecisions and informing others in theorganization of the decision. Thisstyleof leadership mayalsobe referredtoasmicro-management as theleader is veryinvolved and closely supervises thepeople who are working.With thisstyle of leadership,it is a verytop-down approach and theemployees simply do exactlywhatthey are told.

• Selling And Coaching.

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SellingAndCoaching

•Withtheselling andcoachingstyleofleadership,theleader is stillvery involvedin the day-to-dayactivities.Thedecisions stillultimately lie withtheleader,however,inputisrequested from theemployees before thedecision is implemented. With thisstyle of situational leadership,

• employees arestillsupervised butit isinmoreof a coaching mannerrather thanamanagement manner.Thisstyletypicallyworkswell withthosewho are inexperiencedand stilllearning.Itinvolves directpraiseto increasetheir confidence and self-esteem(Northouse, 2015).

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ParticipatingAndSupporting

•Theparticipatingandsupportingstyle of situational leadership passesmoreresponsibilityto theemployers or followers.Whilethe leader still provides somedirection,thedecisionsultimately lie withthefollower.Theleaderisthere to providefeedback and to increase their

• confidenceandmotivation withpraiseandfeedbackfor thetaskscompleted.Thosewho workwellunder thisstyleof situational leadership have the necessaryskillsbutlacktheconfidence or motivation toachievethem.

• Delegating

•Delegating is thesituational leadership stylewheretheleaderisinvolved theleastamount withtheemployees. Theemployees are responsible for choosingthetasksandthedirections they will take.Althoughtheleader may stillbeinvolved for directionor feedback purposes,it ison a muchlower levelthanwithother situational leadership styles.With thisstyle of leadership,theemployees know their role

•

DevelopmentLevel

•Thedevelopmentlevelofthefollowerdeterminesthesituationalleadershipstyle oftheleader.Blanchard and Herseyhavedeveloped a matrix so thatleaders caneasily determine theleadershipstyleneededbytheemployee basedontheirdevelopmentlevel.Forthose with

•highneedsandlittleexperience,thedirectingstylewillbe necessarywhereas withthosewith lowneedsandhighcompetence,thedelegatingstyle canbeused.

• Criticismonsituationalleadershiptheory

• Whenworkingwithpeoplewhoarestrivingtomeetyourexpectations,consistencyiscrucial.Ifsituationalleadershipisappliedtoamanagement situationinexpertly,theresultcanbevisiblebehavioralinconsistencyonthepart of thesupervisor.

• Employeesmaynotknowwhatsortofresponseto expect fromthemanagerfromday today,potentially creating anenvironmentof fearand uncertainty.

• Whenapplying situational leadership techniques,makesurethatyouarenotalteringyourpersonality--merelyyourwords.

• Althoughtermed"situationalleadershipstyle,"onecriticismofthismethodisthatitisinfactamanagementtechniqueratherthananactualleadership style.Forexample,accordingtoorganizational consultantWarrenBennis,"themanagerhasa short-range view;theleaderhas

• a long-range perspective." It couldbeargued thatwhena manager adaptsherproblem-solvingstyletoa specific situation, sheisusinga short-term problem-solvingapproach.Thisisn'ttosaythatsituational leadershipisn't effective,however,merelythatitmaysimplybe

• misnamed.

Advantagesanddisadvantagesof situationalleadership Advantages Disadvantages

Easy to use: When a leader has the right style, he or she knowsit Simple: All the leader needs to do is evaluate thesituationandapply thecorrectleadershipstyle

Intuitive appeal: With the right type of leader, this style is comfortable Leaders have permissiontochangemanagementstyles as they see fit

ThisNorth Americanstyleof leadershipdoesnot take intoconsiderationprioritiesandcommunication stylesof other cultures

It ignoresthedifferences betweenfemaleand malemanagers

Situational leaders can divert attention away from long-term strategies andpolitics

Impactof

Situational leaders are ableto adapt their strategies when necessary

• Situational leadership theory suggests that the best leaders constantly adapt by adopting different styles for different situations or outcomes. This theory reflects a relatively sophisticated view of leadership in practice and can be a valuable frame of reference for experienced, seasoned leaders who are keenly aware of organizational need and individual motivation. Most importantly, it allows experienced leaders the freedom to choose from a variety of leadership iterations. Problems arise, however, when the wrong style is applied inelegantly. Also, considering our earlier discussion regarding some of the more ineffective leadership styles like autocratic and bureaucratic, this style requires a warning or disclaimer related to unintended or less than optimal results when choosing one of these styles. With that said, situational leadership can represent a useful framework for leaders to test and develop different styles for various situations with an eye towards fine-tuning leadership results. Situational leadership, however, is most effective when leaders choose more effective styles like charismatic,transactional,and transformational.

References

• Spahr,P (2015) What is Transformational Leadership? How New Ideas Produce Impressive Results. Available at:https://online.stu.edu/transformational-leadership/(Accessed: 14 November 2017)

• Shelton,E.J.(2012) TransformationalLeadership:Trust,Motivationand Engagement.Victoria:TraffordPublishing.

• Watson, T.(2013) Management, organisationandemploymentstrategy:new directionsintheoryand practice.London:Routledge.

•García-Morales, V.J.,Lloréns-Montes, F.J.and Verdú-Jover,A.J.(2008) Theeffectsof transformational leadership on organizational performance throughknowledgeandinnovation. Britishjournalofmanagement,19(4),pp.299-319.

•McCleskey,J.A.,(2014) Situational,transformational,andtransactionalleadershipand leadership development.Journalof Business StudiesQuarterly,5(4),p.117.

• Birasnav,M., (2014) Knowledgemanagementandorganizational performance in theservice industry: Therole of transformational leadership beyondtheeffectsoftransactionalleadership.JournalofBusinessResearch,67(8),pp.1622-1629.

•Holten,A.L.andBrenner,S.O.,(2015). Leadershipstyleandtheprocessoforganizationalchange.Leadership&Organization DevelopmentJournal,36(1),pp.2-16.

• Kennedy,K.J.(2012) Devil in theDetails:ThePracticeof SituationalLeadership.Bloomington: iUniverse.

• Northouse, P.G.(2015) Leadership:Theoryandpractice.London:Sagepublications.