haya.Learning made clear
Unit IV · Directing: behaviour, leadership, motivation and communication
12 min readConcept sheetOften a 10-mark answer

Leadership: early, contingency and contemporary theories

Leadership is influencing a group toward goals. Theories moved from traits, to behaviours, to contingency models such as Fiedler and Hersey-Blanchard, to transformational leadership.

Leader (Robbins & Coulter)Someone who can influence others and has managerial authority
Behavioural studiesIowa (Lewin), Ohio State, Michigan, Managerial Grid
Contingency modelsFiedler; Hersey and Blanchard; House's path-goal
Power basesFrench and Raven: legitimate, coercive, reward, expert, referent

Leader vs manager

ManagerAppointed to a position with formal authority. Copes with complexity: planning, budgeting, organizing, staffing and controlling. Focuses on order and stability.
LeaderInfluences others, with or without formal authority. Copes with change: setting direction, aligning people and inspiring them. Focuses on vision.

John Kotter drew this distinction. Ideally, every manager should also be a leader.

Early theories: traits and behaviours

TheoryWhoKey idea
Trait theoriesMany researchersLeaders differ in traits such as drive, desire to lead, honesty and integrity, self-confidence, intelligence, job knowledge and extraversion. Traits alone do not explain leadership.
University of Iowa studiesKurt LewinThree styles: autocratic, democratic and laissez-faire
Ohio State studiesOhio State researchersTwo dimensions: initiating structure (task) and consideration (people); high-high was often, but not always, best
University of Michigan studiesMichigan researchersEmployee-oriented vs production-oriented; employee-oriented leaders linked with higher productivity and satisfaction
Managerial GridRobert Blake and Jane MoutonConcern for production vs concern for people, each 1-9; 9,9 'team management' was said to be best

Fiedler's contingency model

ElementMeaning
Leadership styleMeasured with the least-preferred co-worker (LPC) questionnaire. High LPC = relationship-oriented; low LPC = task-oriented. Style is fixed.
Leader-member relationsGood or poor: how much followers trust and respect the leader
Task structureHigh or low: how clearly jobs are defined
Position powerStrong or weak: power to hire, fire, reward and discipline
FindingsTask-oriented leaders do best in very favourable and very unfavourable situations; relationship-oriented leaders in moderately favourable ones
ImplicationSince style cannot change, match the leader to the situation or change the situation

Hersey and Blanchard's situational leadership theory

Follower readinessBest styleTask and relationship behaviour
R1: unable and unwillingTellingHigh task, low relationship
R2: unable but willingSellingHigh task, high relationship
R3: able but unwillingParticipatingLow task, high relationship
R4: able and willingDelegatingLow task, low relationship

Other contingency and contemporary views

  • Path-goal theory (Robert House): the leader clears the path to goals, using directive, supportive, participative or achievement-oriented behaviour to suit the environment and the followers.
  • Leader-participation model (Victor Vroom and Phillip Yetton): how far followers should share in a decision depends on the situation.
  • Leader-member exchange (LMX): leaders form an in-group and an out-group; in-group members tend to perform better.
  • Transactional leaders exchange rewards for performance; transformational leaders inspire followers to go beyond self-interest (James MacGregor Burns, later Bernard Bass).
  • Charismatic-visionary leaders inspire with a clear, attractive picture of the future.
  • Servant leadership (Robert Greenleaf) puts followers' growth first; authentic and ethical leadership stress honesty and values.

Contemporary issues affecting leadership

  • Power: French and Raven's five bases are legitimate, coercive, reward, expert and referent.
  • Trust: built on integrity, competence, consistency, loyalty and openness.
  • Empowering employees by sharing decision power with them.
  • Leading across cultures: the most effective style differs between countries.
  • Leading virtual teams through online communication.
  • Developing future leaders through training, coaching and mentoring.
In Sri Lankan business

A Sri Lankan apparel line supervisor uses Hersey and Blanchard every day: telling a new machine operator (R1), selling to a keen but inexperienced trainee (R2), participating with a skilled but demotivated worker (R3), and delegating to an experienced team leader (R4).

Exam angle

Short answer: “Distinguish a leader from a manager.” A manager holds formal authority and copes with complexity; a leader influences others, with or without authority, and copes with change by setting direction and inspiring people.

Essay: “Explain the contingency theories of leadership.” Fiedler (LPC, three situational factors, findings), Hersey and Blanchard (readiness and four styles) and House's path-goal theory: one example each, and the shared idea that the best style depends on the situation.

Essay: “Trace the development of leadership theories from trait theories to contemporary views.” Trait theories, behavioural studies (Iowa, Ohio State, Michigan, Managerial Grid), contingency models (Fiedler, Hersey-Blanchard, path-goal), then transformational, charismatic and servant leadership.

Remember it

Hersey-Blanchard styles by readiness: 'Tea Sellers Pack Dilmah' = Telling (R1), Selling (R2), Participating (R3), Delegating (R4). French and Raven's power bases: 'Little Children Read Every Recipe' = Legitimate, Coercive, Reward, Expert, Referent.