CHAPTER 11 - LEADERSHIP and TRUST

LEARNING OUTCOMES After reading this chapter students should be able to: 1. Define leader and leadership. 2. Compare and contrast early leadership theories. 3. Describe the four major contingency leadership theories. 4. Describe modern vie s of leadership and the issues facing today!s leaders. ". Discuss trust as the essence of leadership. Opening VignetteEmpl !ee" #i$"t SUMMAR% #C$ %echnologies& the 'employee first( philosophy has helped catapult the company from peripheral player to center stage in the intensely competitive )% industry. #C$ %echnologies is head*uartered in +oida& )ndia. C,- .ineet +ayar is committed to creating a company here the job of company leaders is to enable people to find their o n destiny by gravitating to their strengths. #is goals for the ',mployee /irst( program include creating a uni*ue employee e0perience& inverting the organi1ational structure& and increasing transparency. %he or2place reforms the company implemented involved better communication ith the C,- and a pay scheme that gives or2ers more job security. A major part of the or2place company referred to as 'trust pay.( 3nli2e the standard )% industry practice of having 34 percent of its engineers! pay variable 5that is& dependent on performance6& the company decided to pay higher fi0ed salaries that included all of hat ould have been the variable component7essentially trusting that employees ould deliver performance meriting that pay. %hese changes have helped the company gro and& more importantly& become a talent magnet. #o does +ayar vie leadership8 +ayar also believes that leaders should be open to criticism. #e volunteered to share the information from his 394:degree performance feedbac2 for all employees to see. -ne year& his team of ;1 managers ho rated him gave him a 3.9 out of " for ho ell he 2eeps projects running on schedule& one of his lo est scores7and everyone at #C$ as able to see the score. +ayar believed that it as a good ay to increase his accountability as a leader to his employees. <uch an environment re*uires a lot of trust bet een leaders and follo ers. Tea&'ing n te" 1. =hy is leadership important8 2. =hat style of leadership is the best8 3. #o is trust established8

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)HO ARE LEADERS* AND )HAT IS LEADERSHIP+ A( Int$ d,&ti n 1. A leader is someone ho can influence others and ho has managerial authority. 2. $eadership is a process of leading a group and influencing that group to achieve its goals. )t!s hat leaders do.

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)HAT DO EARL% LEADERSHIP THEORIES TELL US A-OUT LEADERSHIP+ A( )'at T$ait" d Leade$" Ha.e+ 3. %he average person!s definition of leadership. a6 @ualities such as intelligence& charisma& decisiveness& enthusiasm& strength& bravery& integrity& and self:confidence. b6 %hese responses represent& in essence& trait theories of leadership. 4. )f the concept of traits characteristics. ere to prove valid& all leaders ould have to possess specific

". Aesearch efforts at isolating these traits resulted in a number of dead ends. 9. Attempts failed to identify a set of traits that ould al ays differentiate leaders. B. #o ever& attempts to identify traits consistently associated more successful. ith leadership have been

a6 <even traits on hich leaders are seen to differ from non:leaders include drive& the desire to lead& honesty and integrity& self:confidence& intelligence& job:relevant 2no ledge. and e0traversion 5see ,0hibit 11:16. ;. ,0planations based solely on traits ignore situational factors. a6 >ossessing the appropriate traits only ma2es it more li2ely that an individual an effective leader. b6 #e or she still has to ta2e the right actions. C. A major movement a ay from trait theories began as early as the 1C44s. -( )'at -e'a.i $" d Leade$" E/'i0it+ 14. )t as hoped that the behavioral theories ould provide more definitive ans ers. a6 )f behavioral studies ere correct& e could train people to be leaders. 11. =e shall briefly revie three of the most popular studies: a6 Durt $e in!s studies at the 3niversity of )o a. b6 the -hio <tate group. c6 the 3niversity of Eichigan studies. C( )'at Did t'e Uni.e$"it! 1 I 2a Tell U" A0 ,t Leade$"'ip -e'a.i $+ 12. -ne of the first studiesF Durt $e in and his associates at the 3niversity of )o a. a6 %hree leadership behaviors& or styles: autocratic& democratic& and laisse1:faire. 13. An autocratic style tends to centrali1e authority& dictate or2 methods& etc.
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Chapter 11 : $eadership and %rust

14. %he democratic style tends to involve employees in decision ma2ing& delegates authority& encourages participation in deciding or2 methods& and uses feedbac2 to coach employees. a6 /urther classified: consultative and participative. b6 A democratic:consultative leader see2s input but ma2es the final decision. c6 A democratic:participative leader often allo s employees to have a 'say.( 1". %he laisse1:faire leader generally gives employees complete freedom. 19. =hich one of the three leadership styles as most effective8 a6 %he laisse1:faire style as ineffective on every performance criterion. b6 Democratic leadership style could contribute to both *uantity and high *uality of or2. c6 $ater studies of autocratic and democratic styles of leadership sho ed mi0ed results. d6 Hroup members! satisfaction levels ere generally higher under a democratic leader. 1B. %annenbaum and <chmidt developed a continuum of leader behaviors. a6 <ee ,0hibit 11:2. 1;. %annenbaum and <chmidt proposed that managers loo2 at forces ithin themselves& forces ithin the employees& and forces ithin the situation hen choosing their style. 1C. <uggested that managers should move to ard more employee:centered styles in the long run. a6 <uch behaviors ould increase employees! motivation& decision *uality& team or2& morale& and development. D( )'at Did t'e O'i State St,die" S' 2+ 24. %he most comprehensive and replicated of the behavioral theories. 21. %hese studies sought to identify independent dimensions of leader behavior. 22. Ieginning ith over 1&444 dimensions& they eventually narro ed the list do n to t o categories: initiating structure and consideration. a6 )nitiating structure refers to the e0tent to hich a leader is li2ely to define and structure his or her role and those of employees in the search for goal attainment. b6 Consideration is defined as the e0tent to hich a leader has job relationships characteri1ed by mutual trust and respect for employees! ideas and feelings. 23. Aesearch found that a leader high in initiating structure and consideration achieved high employee performance and satisfaction more fre*uently than one ho rated lo on either consideration& initiating structure& or both. 24. #o ever& leader behavior characteri1ed as high on initiating structure led to greater rates of grievances& absenteeism& and turnover etc.& for or2ers performing routine tas2s. 2". -ther studies found that high consideration of the leader by his or her manager. as negatively related to performance ratings

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E( H 2 Did t'e Uni.e$"it! 1 Mi&'igan St,die" Di11e$+ 29. % o dimensions of leadership behavior& employee:oriented and production:oriented. a6 ,mployee:oriented leaders emphasi1ed interpersonal relations& too2 a personal interest in employees! needs& and accepted individual differences among members. b6 %he production:oriented leaders emphasi1ed the technical aspects of the job& focused on accomplishing their group!s tas2s& and regarded group members as a means to that end. 2B. %he Eichigan researchers strongly favored leaders ho ere employee:oriented. #( )'at I" t'e Manage$ial G$id+ 2;. A t o:dimensional vie of leadership style developed by Aobert Ila2e and Jane Eouton. a6 Iased on the styles of 'concern for people( and 'concern for production.( b6 ,ssentially represent the -hio <tate dimensions of consideration and initiating structure and the Eichigan dimensions of employee orientation and production orientation. 2C. %he grid depicted in ,0hibit 11:3 has nine possible positions along each a0is& creating ;1 different positions into hich a leader!s style may fall. 34. %he grid sho s the dominating factors in a leader!s thin2ing in regard to getting results. a6 %he five 2ey positions are focused on the four corners of the grid and a middle:ground area. 5<ee ,0hibit 11:3.6 31. Ila2e and Eouton concluded that managers perform best using a C&C style. 32. %he grid offers only a frame or2 for conceptuali1ing leadership style7it offers no ans ers to the *uestion of hat ma2es an effective leader. %eaching +otes KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK #$ m t'e Pa"t t t'e P$e"ent Ioth the -hio <tate and Eichigan studies have added a lot to our understanding of effective leadership. %he research sho ed& both leader behavior dimensions7job:centered and employee:centered in the Eichigan studies& and initiating structure and consideration in the -hio <tate studies7 are necessary for effective leadership. $eaders are e0pected to focus on both the tas2 and on the people he or she is leading. /inally& these early behavioral studies ere important for the 'systematic methodology they introduced and the increased a areness they generated concerning the importance of leader behavior.( %he behavioral theories 'served as a springboard for the leadership research that follo ed.(

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Chapter 11 : $eadership and %rust

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)HAT DO THE CONTINGENC% THEORIES O# LEADERSHIP TELL US+ A( Int$ d,&ti n 33. >redicting leadership success involved something more comple0 than isolating a fe traits or preferable behaviors. 34. )t as one thing to say that leadership effectiveness depended on the situation and another to be able to isolate situational conditions. -( )'at 2a" t'e #i$"t C mp$e'en"i.e C ntingen&! M del+ 3". %he first comprehensive contingency model for leadership as /iedlerLs Eodel. 39. ,ffective group performance depends on the proper match bet een the leader!s style of interaction and the degree to hich the situation gives control and influence to the leader. <ee ,0hibit 11:4. 3B. /iedler developed an instrument& the least:preferred co: or2er 5$>C6 *uestionnaire& that measures the leader!s behavioral orientation7either tas2 oriented or relationship oriented. a6 #e isolated three situational criteria7leader:member relations& tas2 structure& and position po er7that can be manipulated to create the proper match ith the behavioral orientation of the leader. b6 %his contingency leadership model is an outgro th of trait theory. c6 /iedler& ho ever& attempted to isolate situations& relating his personality measure to his situational classification& and then predicting leadership effectiveness. 3;. /iedler argued that leadership style is innate to a person7you can!t change your style. 3C. )t is necessary to match the leader ith the situation based on three criteria. a6 $eader:member relations7%he degree of confidence& trust& and respect subordinates have in their leader. b6 %as2 structure7%he degree to structured or unstructured. hich the job assignments of subordinates are

c6 >osition po er7%he degree of influence a leader has over po er variables such as hiring& firing& discipline& promotions& and salary increases. 44. %he ne0t step is to evaluate the situation in terms of these three contingency variables. a6 %he better the leader:member relations& the more highly structured the job& and the stronger the position po er& the more control or influence the leader has. b6 /iedler concluded that tas2:oriented leaders perform best in situations that are very favorable or very unfavorable to them. c6 A moderately favorable situation& ho ever& is best handled through relationship: oriented leadership. 41. >roblems e0ist ith the /iedler model. a6 %he $>C is not ell understood and scores are not stable over time. b6 %he contingency variables are comple0 and difficult for practitioners to assess.

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C( H 2 d # ll 2e$"3 )illingne"" and A0ilit! In1l,en&e Leade$"+ 42. >aul #ersey and Denneth Ilanchard developed the <ituational $eadership model. a6 Called situational leadership 5<$6& it sho s ho a leader should adjust leadership style to reflect hat follo ers need. 43. A contingency theory that focuses on the follo ers. a6 <uccessful leadership is contingent on the follo er!s level of readiness. 44. =hy focus on the follo ers8 And hat do they mean by the term readiness8 a6 %his emphasis reflects the reality that it is the follo ers leader. b6 Aegardless of follo ers. ho accept or reject the

hat the leader does& effectiveness depends on the actions of his or her

4". %he term 'readiness( refers to the e0tent that people have the ability and the illingness to accomplish a specific tas2. 49. #ersey and Ilanchard identify four specific behaviors. 4B. Telling 5high tas2?lo relationship6: %he leader defines roles and tells people hen& and here to do various tas2s. hat& ho &

Selling 5high tas2?high relationship6: %he leader provides both directive and supportive behavior. Participating 5lo tas2?high relationship6: %he leader and follo ers share in decision ma2ingF the main role of the leader is facilitating and communicating. Delegating 5lo tas2?lo relationship6: %he leader provides little direction or support. 4;. %he most effective behavior depends on a follo er!s ability and motivations. a6 )f a follo er is unable and un illing& the leader needs to display high tas2 orientation. b6 At the other end of the readiness spectrum& if follo ers are able and illing& the leader doesn!t need to do much. 4C. <$% has an intuitive appeal7it ac2no ledges the importance of follo ers and builds on the idea that leaders can compensate for the lac2 of ability and motivation of their follo ers. "4. Aesearch efforts to test and support the theory have generally been mi0ed. D( H 2 Pa$ti&ipati.e S' ,ld a Leade$ -e+ "1. Iac2 in 1CB3& .ictor .room and >hillip Metton developed a leader:participation model. a6 )t related leadership behavior and participation to decision ma2ing. "2. Aecogni1ing that tas2 structures have varying demands for routine and nonroutine activities& these researchers argued that leader behavior must adjust to reflect the tas2 structure. a6 .room and Metton!s model as normative7it provided a se*uential set of rules to be follo ed in determining the form and amount of participation in decision ma2ing in different types of situations.

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Chapter 11 : $eadership and %rust

"3. %he model as a decision tree incorporating seven contingencies and five alternative leadership styles. a6 Eore recent or2 by .room and Arthur Jago revised that model. "4. %he ne model retains the same five alternative leadership styles but e0pands the contingency variables to t elve. 5<ee ,0hibit 11:".6 "". Aesearch testing the original leader:participation model as very encouraging. a6 Iut the model is far too comple0 for the typical manager to use regularly. b6 %he model has provided us ith some solid& empirically supported insights into 2ey contingency variables related to leadership effectiveness. c6 %he model confirms that leadership research should be directed at the situation rather than at the person. d6 .room& Metton& and Jago argue against the notion that leader behavior is infle0ible. E( H 2 D Leade$" Help # ll 2e$"+ "9. -ne of the most respected approaches to leadership is path:goal theory. "B. Developed by Aobert #ouse& a contingency model of leadership that e0tracts 2ey elements from the -hio <tate leadership research and the e0pectancy theory of motivation. ";. %he essence of the theory: the leader!s job is to assist follo ers in attaining their goals and to ensure that their goals are compatible ith the overall objectives of the group or organi1ation. "C. A leader!s behavior is acceptable to employees to the degree that they vie immediate source of satisfaction or as a means of future satisfaction. 94. A leader!s behavior is motivational to the degree that it a6 ma2es employee need:satisfaction contingent on effective performance. b6 provides the coaching& guidance& support& and re ard necessary for effective performance. 91. #ouse identified four leadership behaviors: a6 %he directive leader tells employees hat is e0pected of them& schedules or2& and gives specific guidance as to ho to accomplish tas2s. )t parallels initiating structure. b6 %he supportive leader is friendly and sho s concern for the needs of employees. )t is essentially synonymous ith the dimension of consideration. c6 %he participative leader consults ma2ing a decision. ith employees and uses their suggestions before it as an

d6 %he achievement:oriented leader sets challenging goals and e0pects employees to perform at their highest levels. 92. )n contrast to /iedler& #ouse assumes that leaders are fle0ible. a6 >ath:goal theory implies that the same leader can display any or all leadership styles& depending on the situation.

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93. ,0hibit 11:9& path:goal theory proposes t o classes of contingency variables: a6 %hose in the environment that are outside the control of the employee 5tas2 structure& the formal authority system& and the or2 group6. 516 ,nvironmental factors determine leader behavior re*uired if employee outcomes are to be ma0imi1ed. b6 %hose that are part of the personal characteristics of the employee 5locus of control& e0perience& and perceived ability6. 516 >ersonal characteristics determine ho interpreted. the environment and leader behavior are

c6 %he theory proposes that leader behavior ill be ineffective hen it is redundant to sources of environmental structure or incongruent ith subordinate characteristics. 94. Aesearch to validate path:goal predictions is encouraging& although not all support is positive. a6 %he majority of the evidence supports the logic underlying the theory. %eaching +otes KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK IV( )HAT IS LEADERSHIP LI4E TODA%+ A( )'at D t'e T'$ee C ntemp $a$! Vie2" 1 Leade$"'ip Tell U"+ 9". $eaders ho primarily use social e0changes 5or transactions6 are called transactional leaders. %hey guide or motivate follo ers to or2 to ard established goals by e0changing re ards for their productivity. 99. %ransformational leaders inspire follo ers to transcend their o n self:interests for the good of the organi1ation and are capable of having a profound and e0traordinary effect on his or her follo ers. a6 %ransformational leaders pay attention to the concerns and developmental needs of individual follo ersF they change follo ers! a areness of issues by helping those follo ers to loo2 at old problems in ne aysF and they are able to e0cite& arouse& and inspire follo ers to put out e0tra effort to achieve group goals. 9B. %ransactional and transformational leadership are not opposing approaches. 9;. %ransformational leadership is built on transactional leadership. a6 %ransformational leadership produces higher levels of employee effort and performance. b6 )t is more than charisma. c6 %he transformational leader ill attempt to instill in follo ers the ability to *uestion not only established vie s but eventually those established by the leader. 9C. %he evidence supporting the superiority of transformational leadership over the transactional variety is over helmingly impressive.
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Chapter 11 : $eadership and %rust

B4. )n summary& the overall evidence indicates that transformational leadership is more strongly correlated ith lo er turnover rates& higher productivity& and higher employee satisfaction. -( H 2 d C'a$i"mati& and Vi"i na$! Leade$" Di11e$+ B1. Charismatic leadership theory is an e0tension of attribution theory. a6 )t says that follo ers ma2e attributions of heroic or e0traordinary leadership abilities hen they observe certain behaviors. B2. <everal authors have attempted to identify personal characteristics of the charismatic leader. a6 Aobert #ouse has identified three: e0tremely high confidence& dominance& and strong convictions. b6 =arren Iennis found that they had four common competencies: they had a compelling vision or sense of purposeF they could communicate that vision in clear terms that their follo ers could readily identify ithF they demonstrated consistency and focus in the pursuit of their visionF and they 2ne their o n strengths and capitali1ed on them. c6 Jay Conger and Aabindra Danungo at EcHill 3niversity7charismatic leaders have an ideali1ed goal that they ant to achieve and a strong personal commitment to that goalF they are perceived as unconventionalF they are assertive and self:confidentF and they are perceived as agents of radical change rather than as managers of the status *uo. B3. Charismatic leaders influence follo ers by a four:step process a6 <tating an appealing vision b6 Communicating high e0pectations and e0pressing confidence in follo ers c6 Conveying a ne set of values and role models behaviors d6 Ea2ing self:sacrifices and engaging in unconventional behavior B4. Eost e0perts believe individuals can be trained to e0hibit charismatic behaviors. B". %here is an increasing body of research that sho s impressive correlations bet een charismatic leadership and high performance and satisfaction among follo ers. a6 Charismatic leadership may be most appropriate ideological component. hen the follo er!s tas2 has an

b6 <econd& charismatic leaders may be ideal for pulling an organi1ation through a crisis but become a liability to an organi1ation once the crisis and the need for dramatic change subside. B9. .isionary leadership goes beyond charisma. BB. .isionary leadership is the ability to create and articulate a realistic& credible& attractive vision of the future for an organi1ation or organi1ational unit& that gro s out of and improves upon the present. B;. A vision differs from other forms of direction setting in several ays:

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a6 'A vision has clear and compelling imagery that offers an innovative ay to improve& hich recogni1es and dra s on traditions& and connects to actions that people can ta2e to reali1e change.( b6 .ision taps people!s emotions and energy. BC. %he 2ey properties of a vision seem to be inspirational possibilities that are value centered& reali1able& ith superior imagery and articulation. a6 .isions should be able to create possibilities that are inspirational& uni*ue& and offer a ne order that can produce organi1ational distinction. b6 Desirable visions fit the times and circumstances and reflect the uni*ueness of the organi1ation. c6 >eople in the organi1ation must also believe that the vision is attainable. ;4. ,0amples of visions. a6 Aupert Eurdoch had a vision of the future of the communications industry by combining entertainment and media. b6 Eary Day Ash!s vision of omen as entrepreneurs selling products that improved their self image gave impetus to her cosmetics company. c6 Eichael Dell has created a vision of a business that allo s Dell Computer to sell and deliver a finished >C directly to a customer in fe er than eight days. ;1. =hat s2ills do visionary leaders e0hibit8 a6 %he ability to e0plain the vision to others. b6 %he ability to e0press the vision not just verbally but through the leader!s behavior. c6 %he third s2ill is being able to e0tend the vision to different leadership conte0ts. C( )'at A0 ,t Leade$" and Team"+ ;2. $eadership is increasingly ta2ing place ithin a team conte0t. ;3. As teams gro in popularity& the role of the team leader ta2es on heightened importance. ;4. Eany leaders are not e*uipped to handle the change to teams. ;". -ne prominent consultant estimates: 1" percent of managers are natural team leadersF another 1" percent could never lead a team because it runs counter to their personality. ;9. %he challenge for most managers is in becoming an effective team leader. a6 ,ffective leaders have mastered the difficult balancing act of 2no ing their teams alone and hen to intercede. hen to leave

b6 +e team leaders may try to retain too much control or they may abandon their teams. ;B. A study of 24 organi1ations that had reorgani1ed themselves around teams found certain common responsibilities that all leaders had to assume. a6 %hese included coaching& facilitating& handling disciplinary problems& revie ing teamNindividual performance& training& and communication. ;;. A more meaningful ay to describe the team leader!s job is to focus on t o priorities: managing the team!s e0ternal boundary and facilitating the team process. 5<ee ,0hibit 11:B.6
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Chapter 11 : $eadership and %rust

;C. /irst& team leaders are liaisons ith e0ternal constituencies. a6 %he leader represents the team to other constituencies& secures needed resources& clarifies others! e0pectations of the team& gathers information from the outside& and shares this information ith team members. C4. <econd& team leaders are troubleshooters. a6 =hen the team has problems and as2s for assistance& team leaders sit in on meetings and help try to resolve the problems. b6 %his rarely relates to technical or operation issues. C1. %hird& team leaders are conflict managers. a6 =hen disagreements surface& they help process the conflict. =hat!s the source of the conflict8 =ho is involved8 =hat are the issues8 =hat resolution options are available8 =hat are the advantages and disadvantages of each8 C2. /inally& team leaders are coaches. a6 %hey clarify e0pectations and roles& teach& offer support& cheerlead& and is necessary to help team members improve their or2 performance. Rig't $)$ ng+ %he definition of 'friend( on social net or2ing sites such as /aceboo2 and Ey<pace is so broad that even strangers may tag you. Iut it doesn!t feel eird because nothing really changes hen a stranger does this. #o ever& hat if your boss& ho isn!t much older than you are& as2s you to be a friend on these sites8 =hat then8 1. 2. 3. 4. =hat are the implications if you refuse the offer8 =hat are the implications if you accept8 =hat ethical issues might arise because of this8 =hat ould you do8 D( )'at I"",e" d T da!3" Leade$" #a&e+ C3. %echnology continues to change rapidly7almost daily C4. Iusiness costs continue to rise. C". ,mpo erment involves increasing the decision:ma2ing discretion of or2ers. C9. -ne reason more companies are empo ering employees is the need for *uic2 decisions by those people ho are most 2no ledgeable about the issues7often those at lo er organi1ational levels. hatever else

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MANAGING DIVERSIT% 5 Do Een and =omen $ead Differently8

S,mma$! Are there differences in leadership styles based on gender8 %he evidence indicates that the t o se0es are more ali2e than different in ho they lead. Euch of this similarity is based on the fact that leaders& regardless of gender& perform similar activities in influencing others. %he most common difference lies in leadership styles. =omen tend to use a more democratic style& influence others best through their 'ability to be charmingly influential.( Een& on the other hand& tend to typically use a tas2:centered leadership style& relying on positional po er. Iut surprisingly& even this difference is blurred. All things considered& hen a oman leads in a traditionally male:dominated job& she tends to lead in a manner that is more tas2:centered. /urther compounding this issue are the changing roles of leaders in today!s organi1ations. =ith an increased emphasis on teams& employee involvement& and interpersonal s2ills& etc.& leaders need to be more sensitive to their follo ers! needs& be more open& and so onF many of these are behaviors that omen have typically gro n up developing. 1. <o hat do you thin28 )s there a difference bet een the se0es in terms of leadership styles8 2. Do men or omen ma2e better leaders8 =ould you prefer to or2 for a man or a oman8 =hat!s your opinion8 ,0plain. Tea&'ing n te" 1. %a2ing note of the author!s opening statements& monitor the discussion for the level of feelings generated. %his discussion could easily become heated. 2. Consider using one or more team e0ercises in class to create a basis for the discussion. 3. >lacing the students in teams& choosing omen as leaders for some teams and men as leaders for other teams. 4. After the e0ercise& process their e0perience as teams and see hat differences& if any& that they e0perienced. ". 3ltimately& be sure to discuss hat the point is. Does gender matter8 )f so& hy8 E( D e" Nati nal C,lt,$e A11e&t Leade$"'ip+ CB. +ational culture is an important situational factor determining be most effective. C;. +ational culture affects leadership style by ay of the follo er. CC. $eaders! choice of styles is constrained by the cultural conditions that their follo ers have come to e0pect. <ee ,0hibit 11:;. a6 Dorean leaders are e0pected to be paternalistic to ard employees. b6 Arab leaders ho sho 2indness or generosity by other Arabs as ea2. ithout being as2ed to do so are seen hich leadership style ill

a6 =e propose that you consider it as another contingency variable.

c6 Japanese leaders are e0pected to be humble and spea2 infre*uently. d6 <candinavian and Dutch leaders ho single out individuals ith public praise are li2ely to embarrass those individuals rather than energi1e them. 144. Eost leadership theories ere developed in the 3nited <tates& using 3.<. subjects.
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Chapter 11 : $eadership and %rust

a6 %hey emphasi1e follo er responsibilities rather than rightsF assume hedonism rather than commitment to duty or altruistic motivationF assume centrality of or2 and democratic value orientationF and stress rationality rather than spirituality& religion& or superstition. 141. As a guide for adjusting your leadership style& you might consider the value dimensions of national culture presented in Chapter 2. a6 Eanipulative or autocratic style is compatible ,astern& and $atin countries6. ith high po er distance 5Arab& /ar illingness to

b6 >o er distance ran2ings should also be good indicators of employee accept participative leadership. c6 >articipation is li2ely to be most effective in such lo 5+or ay& /inland& Denmar2& and < eden6. #( H 2 D e" Em ti nal Intelligen&e A11e&t Leade$"'ip+

po er distance cultures

142. Aecent studies indicating that ,)7more than ).@.& e0pertise& or any other single factor7 is the best predictor of ho ill emerge as a leader. a6 ).@. and technical s2ills are 'threshold capabilities.( b6 )t!s the possession of the five components of emotional intelligence7self:a areness& self:management& self:motivation& empathy& and social s2ills7that allo s an individual to become a star performer. 143. ,vidence indicates that the higher the ran2 of a person considered to be a star performer& the more that ,) capabilities surface as the reason for his or her effectiveness. a6 =hen star performers ere compared ith average ones in senior management positions& nearly C4 percent of the difference in their effectiveness as attributable to ,) factors rather than basic intelligence. b6 ,0ample& the maturing of Audolph Hiuliani!s leadership effectiveness. c6 ,) appears to be especially relevant in jobs that demand a high degree of social interaction. d6 ,) should probably be added to the list of traits associated ith leadership. Te&'n l g! and t'e Manage$6" 7 0 Vi$t,al Leade$"'ip Eost research on leadership has been done ith face:to:face interaction& not virtual. +on:verbal communication cannot be vie ed& but managers still have choices regarding their ords and structure in digital communication. Eanagers need to Lread bet een the linesL hen communicating in a virtual environment. =riting s2ills ill li2ely become an e0tension of interpersonal s2ills. %eaching +otes KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK

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V(

)H% IS TRUST THE ESSENCE O# LEADERSHIP+ A( )'at i" T$,"t+ 144. %rust is a positive e0pectation that another ill not act opportunistically. a6 Eost important& trust implies familiarity and ris2. 14". %rust is a history:dependent process based on relevant but limited samples of e0perience. a6 )t ta2es time to form& building incrementally and accumulating. 5<ee Developing Mour %rust:Iuilding <2ill.6 149. %rust is defined as the belief in the integrity& character and ability of the leader. 14B. %rust involves ma2ing oneself vulnerable. a6 Iy its very nature& trust provides the opportunity to be disappointed or to be ta2en advantage of. b6 Iut trust is not ta2ing ris2 per seF rather it is a illingness to ta2e ris2. 14;. =hat are the 2ey dimensions that underlie the concept of trust8 14C. Aecent evidence has identified five: integrity& competence& consistency& loyalty& and openness. a6 )ntegrity refers to honesty& conscientiousness& and truthfulness. 516 %his one seems to be most critical hen someone assesses another!s trust orthiness. b6 Competence encompasses an individual!s technical and interpersonal 2no ledge and s2ills. c6 Consistency relates to an individual!s reliability& predictability& and good judgment in handling situations. d6 $oyalty is the illingness to protect and save face for another person. e6 %he final dimension of trust is openness7can you rely on the person to give you the full truth8 -( )'! I" it Imp $tant t'at # ll 2e$" T$,"t T'ei$ Leade$"+ 114. %rust appears to be a primary attribute associated ith leadership. 111. Aesearch has sho n that trust in leadership is significantly related to positive job outcomes including job performance& organi1ational citi1enship behavior& job satisfaction& and organi1ational commitment 112. >art of the leader!s tas2 has been& and continues to be& or2ing ith people to find and solve problems& but hether leaders gain access to the 2no ledge and creative thin2ing they need to solve problems depends on ho much people trust them. 113. =hen follo ers trust a leader& they are illing to be vulnerable to the leader!s actions. 114. #onesty consistently ran2s at the top of most people!s list of characteristics they admire in their leaders. 11". +o & more than ever& managerial and leadership effectiveness depends on the ability to gain the trust of follo ers.

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Chapter 11 : $eadership and %rust

119. )n times of change and instability& people turn to personal relationships for guidance& and the *uality of these relationships is largely determined by level of trust. De.el ping % ,$ Trust-Building S8ill A0 ,t t'e S8ill Hiven the importance trust plays in the leadership e*uation& today!s leaders should actively see2 to build trust ith their follo ers. #ere are some suggestions for achieving that goal. Step" in P$a&ti&ing t'e S8ill 1. 2. 3. 4. ". 9. B. ;. >ractice openness. Ie fair. <pea2 your feelings. %ell the truth. Ie consistent. /ulfill your promises. Eaintain confidences. Demonstrate confidence.

T'e Sit,ati n Mou are a ne manager. Mour predecessor& ho as very popular and ho is still ith your firm& concealed from your team ho far behind they are on their goals this *uarter. As a result& your team members are loo2ing for ard to a promised day off that they are not entitled to and ill not be getting. )t!s your job to tell them the bad ne s. #o P$a&ti&ing t'e S8ill Irainstorm ith students as a class on ho to give the bad ne s. -nce a strategy is developed& as2 for volunteers to come for ard and 'fish bo l( it. Aole play the manager and an employee in front of the class. After the 'fish bo l&( as2 students ho they felt& if there is some ay they ould improve the process. #ave the student5s6 ith ideas for improving the process come up front and demonstrate. Tea&'ing tip" =hile this e0ercise is mostly about individuals! feelings and hether or not they trust someone depending on ho bad ne s is delivered& instructors can steer students to the steps of trust building above. <tudents can consider hich steps ere e0hibited by the manager& and ho the steps that ere not included could be integrated into the ne s delivery. C( A #inal T' ,g't Rega$ding Leade$"'ip( 11B. %he belief that a particular leadership style situation may not be true. ill al ays be effective regardless of the ill you do it8

11;. Data from numerous studies demonstrate that& in many situations& any behaviors a leader e0hibits are irrelevant. 11C. Certain individual& job& and organi1ational variables can act as substitutes for leadership& or neutrali1e the leader!s ability to influence his or her follo ers. 124. Characteristics of employees such as e0perience& training& professional orientation& or indifference to ard organi1ational regards can neutrali1e the effect of leadership.
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121. Jobs that are inherently unambiguous and routine or that are intrinsically satisfying may place fe er demands on the leadership variable. 122. -rgani1ational characteristics such as e0plicit formali1ed goals& rigid rules and procedures& and cohesive or2 groups can substitute for leadership. %eaching +otes KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKK

REVIE) AND APPLICATIONS CHAPTER SUMMAR%

11(1 De1ine leade$ and leade$"'ip( A leader is someone ho can influence others and ho has managerial authority. $eadership is a process of leading a group and influencing that group to achieve its goals. Eanagers should be leaders because leading is one of the four management functions. 11(9 C mpa$e and & nt$a"t ea$l! leade$"'ip t'e $ie"( ,arly attempts to define leader traits ere unsuccessful although later attempts found seven traits associated ith leadership. %he 3niversity of )o a studies e0plored three leadership styles. %he only conclusion as that group members ere more satisfied under a democratic leader than under an autocratic one. %he -hio <tate studies identified t o dimensions of leader behavior7initiating structure and consideration. A leader high in both those dimensions at times achieved high group tas2 performance and high group member satisfaction& but not al ays. %he 3niversity of Eichigan studies loo2ed at employee:oriented leaders and production:oriented leaders. %hey concluded that leaders ho ere employee oriented could get high group productivity and high group member satisfaction. %he managerial grid loo2ed at leaders! concern for production and concern for people and identified five leader styles. Although it suggested that a leader ho as high in concern for production and high in concern for people as the best& there as no substantive evidence for that conclusion. As the behavioral studies sho ed& a leader!s behavior has a dual nature: a focus on the tas2 and a focus on the people. 11(: De"&$i0e t'e 1 ,$ ma; $ & ntingen&! leade$"'ip t'e $ie"( /iedler!s model attempted to define the best style to use in particular situations. #e measured leader style7relationship oriented or tas2 oriented7 using the least:preferred co: or2er *uestionnaire. /iedler also assumed a leader!s style as fi0ed. #e measured three contingency dimensions: leader:member:relations& tas2 structure& and position po er. %he model suggests that tas2:oriented leaders performed best in very favorable and very unfavorable situations& and relationship:oriented leaders performed best in moderately favorable situations. #ersey and Ilanchard!s situational leadership theory focused on follo ers! readiness. %hey identified four leadership styles: telling 5high tas2?lo relationship6& selling 5high tas2?high relationship6&participating 5lo tas2?high relationship6& and delegating 5lo tas2?lo relationship6. %hey also identified four stages of readiness: unable and un illing 5use telling style6F unable but illing 5use selling style6F able but un illing 5use participative style6F and able and illing 5use delegating style6. %he leader:participation model relates leadership behavior and participation to decision ma2ing. )t uses a decision tree format ith seven contingencies and five alternative leadership styles. %he path:goal model developed by Aobert #ouse identified four leadership behaviors: directive& supportive& participative& and achievement:oriented. #e assumes that a leader can and should be able to use any of these styles. %he t o situational contingency variables ere found in the environment and in the follo er. ,ssentially the path:goal model says that a leader
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Chapter 11 : $eadership and %rust

should provide direction and support as neededF that is& structure the path so the follo ers can achieve goals. 11(< De"&$i0e m de$n .ie2" 1 leade$"'ip and t'e i"",e" 1a&ing t da!6" leade$"( A transactional leader e0changes re ards for productivity here a transformational leader stimulates and inspires follo ers to achieve goals. A charismatic leader is an enthusiastic and self:confident leader hose personality and actions influence people to behave in certain ays. >eople can learn to be charismatic. A visionary leader is able to create and articulate a realistic& credible& and attractive vision of the future. A team leader has t o priorities: manage the team!s e0ternal boundary and facilitate the team process. /our leader roles are involved: liaison ith e0ternal constituencies& troubleshooter& conflict manager& and coach. %he issues facing leaders today include employee empo erment& national culture& and emotional intelligence. As employees are empo ered& the leader!s role tends to be one of not leading. As leaders adjust their style to the situation& one of the most important situational characteristics is national culture. /inally& ,) is proving to be an essential element in leadership effectiveness. 11(= Di"&,"" t$,"t a" t'e e""en&e 1 leade$"'ip( %he five dimensions of trust include integrity& competence& consistency& loyalty& and truthfulness. )ntegrity refers to one!s honesty and truthfulness. Competence involves an individual!s technical and interpersonal 2no ledge and s2ills. Consistency relates to an individual!s reliability& predictability& and good judgment in handling situations. $oyalty is an individual!s illingness to protect and save face for another person. -penness means that you can rely on the individual to give you the hole truth.

%o chec2 your understanding of objectives 11.1 ? 11."& go to m!managementla0(& m and try the chapter *uestions. UNDERSTANDING THE CHAPTER 1( Di"&,"" t'e "t$engt'" and 2ea8ne""e" 1 t'e t$ait t'e $!( An"2e$: %he average person!s definition of leadership is essentially a trait approach. )f the concept of traits ere to prove valid& all leaders ould have to possess specific characteristics. Aesearch efforts at isolating these traits resulted in a number of dead ends. Attempts failed to identify a set of traits that ould al ays differentiate leaders. <i0 traits on hich leaders are seen to differ from non: leaders include drive& the desire to lead& honesty and integrity& self:confidence& intelligence& and job: relevant 2no ledge. %hese traits are briefly described in ,0hibit 11:1. ,0planations based solely on traits ignore situational factors. >ossessing the appropriate traits only ma2es it more li2ely that an individual ill be an effective leader. #eNshe still has to ta2e the right actions. 9( )'at 2 ,ld a manage$ need t 8n 2 t ,"e #iedle$6" & ntingen&! m del+ -e "pe&i1i&( An"2e$> %he /iedler model as the first comprehensive contingency model for leadership. ,ffective group performance depends on the proper match bet een the leader!s style of interaction and the degree to hich the situation gives control and influence to the leader. #e isolated three situational criteria7leader:member relations& tas2 structure& and position po er7that can be manipulated to create the proper match ith the behavioral orientation of the leader. %his contingency leadership model is an outgro th of trait theory. /iedler believed that an individual!s basic leadership style is a
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>art 4 ? $eading

2ey factor. /iedler argued that leadership style is innate to )t is necessary to match the leader ith the situation based

a person7you can!t change your style. on three criteria.

$eader:member relations7%he degree of confidence& trust& and respect subordinates have in their leader. %as2 structure7%he degree to unstructured. hich the job assignments of subordinates are structured or

>osition po er7%he degree of influence a leader has over po er variables such as hiring& firing& discipline& promotions& and salary increases.

:( D ! , t'in8 t'at m "t manage$" in $eal li1e ,"e a & ntingen&! app$ a&' t in&$ea"e t'ei$ leade$"'ip e11e&ti.ene""+ Di"&,""( An"2e$> Mes& theories li2e >ath Hoal& hich states that the leader!s job is to assist follo ers in attaining their goals and to provide direction or support needed to ensure that their goals are compatible ith the goals of the group or organi1ation& can be used by managers to increase their leadership effectiveness. Developed by Aobert #ouse& >ath Hoal theory is a contingency model of leadership that e0tracts 2ey elements from the -hio <tate leadership research and the e0pectancy theory of motivation. %he essence of the theory7the leader!s job is to assist follo ers in attaining their goals and to ensure that their goals are compatible ith the overall objectives of the group or organi1ation. A leader!s behavior is motivational to the degree that it: 16 ma2es employee need: satisfaction contingent on effective performance and 26 provides the coaching& guidance& re ards& etc.& necessary for effective performance. <ee ,0hibit 11:9& path:goal theory proposes t o classes of contingency variables: 16 %hose in the environment that are outside the control of the employee7 environmental factors determine leader behavior re*uired as a complement. 526 %hose that are part of the personal characteristics of the employee7personal characteristics determine ho the environment and leader behavior are interpreted. <( ?All manage$" "' ,ld 0e leade$"* 0,t n t all leade$" "' ,ld 0e manage$"(@ D ! , ag$ee $ di"ag$ee t'i" "tatement+ S,pp $t ! ,$ p "iti n( An"2e$> %he ability to influence others outside of one!s o n authority and to perform beyond e0pectations are essential to high performing organi1ations and are characteristic of leaders& not managers. #ence& if a manager can do this& so much the better. #o ever& leadership is a s2ill or ability set and having that set does not mean the individual has the other necessary characteristics to manage. =( D ! , t'in8 t$,"t e. l.e" ,t 1 an indi.id,al6" pe$" nal &'a$a&te$i"ti&" $ ,t 1 "pe&i1i& "it,ati n"+ E/plain( An"2e$: Ioth& trust is in a person given certain circumstances. <ome individuals are al ays trusted regardless of circumstancesF others can be trusted to respond in predictable ays in different circumstances. A( D 1 ll 2e$" ma8e a di11e$en&e in 2'et'e$ a leade$ i" e11e&ti.e+ Di"&,""( An"2e$> <tudent ans ers may vary. /ollo ers are an integral piece in the leadership pu11le. /ollo ers must believe in the leaderLs vision and help e0ecute the strategies. %hey need to be effective communicators and dedicated to the vision and mission of the organi1ation and its leadership.

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Chapter 11 : $eadership and %rust

B( H 2 &an $ganiCati n" de.el p e11e&ti.e leade$"+ An"2e$> /rom the early stages of recruiting to training and development& organi1ations need to identify future leaders early in their talent pool and then strategically integrate them in the succession plan. )t is an imperative for organi1ations to ma0imi1e their human capital and consistently develop leaders at every level. Companies must cultivate leaders for successful organi1ations. D( )'en mig't leade$" 0e i$$ele.ant+ An"2e$> Data from numerous studies demonstrate that& in many situations& any behaviors a leader e0hibits are irrelevant. Certain individual& job& and organi1ational variables can act as 'substitutes for leadership&( negating the influence of the leader. Characteristics of employees such as e0perience& training& 'professional( orientation& or need for independence can neutrali1e the effect of leadership. Jobs that are inherently unambiguous and routine or that are intrinsically satisfying may place fe er demands on the leadership variable. -rgani1ational characteristics as e0plicit formali1ed goals& rigid rules and procedures& or cohesive or2 groups can act in the place of formal leadership. UNDERSTANDING %OURSEL# D Ot'e$" See Me a" T$,"t2 $t'!+ ,ffective leaders have built a trusting relationship bet een themselves and those they see2 to lead. %his instrument provides you ith insights into ho trust orthy others are li2ely to perceive you. INSTRUMENT /or each of the nine statements& respond using one of these ans ers: 1 O <trongly disagree 9 O Disagree : O <lightly disagree < O +either agree nor disagree = O <lightly agree A O Agree B O <trongly agree ) am seen as someone ho: 1. )s reliable. 2. )s al ays honest. 3. <ucceeds by stepping on other people. 4. %ries to get the upper hand. ". %a2es advantage of others! problems. 9. Deeps my ord. B. Doesn!t mislead others. ;. %ries to get out of my commitments. C. %a2es advantage of people ho are vulnerable. 19:<=AB 19:<=AB 19:<=AB 19:<=AB 19:<=AB 19:<=AB 19:<=AB 19:<=AB 19:<=AB

SCORING 4E% %o calculate your trust orthiness score& add up responses to items 1& 2& 9& and B. /or the other five items& reverse the score 5B becomes 1& 9 becomes 2& etc.6. Add up the total. ANAL%SIS AND INTERPRETATION Mour total trust orthiness score ill range bet een C and 93. %he higher your score& the more you!re perceived as a person ho can be trusted. <cores of 4" or higher suggest others are li2ely to perceive you as trust orthyF hile scores belo 2B suggest that people ill not see you as someone ho can be trusted. )f you ant to build trust ith others& loo2 at the behaviors
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>art 4 ? $eading

this instrument measures. %hen thin2 about hat you can do to improve your score on each. ,0amples might include: being more open& spea2ing your feelings& giving generous credit to others& telling the truth& sho ing fairness and consistency& follo ing through on promises and commitments& and maintaining confidences. O.e$.ie2 %he lin2 bet een leadership and trust is e0plored in this e0ercise. )t ould be interesting to administer this e0ercise to all the managers in a large:scale organi1ation and see hat ould happen. =e 2no from other research that those ho do best in an organi1ation are those that are good at net or2ing and understand the use of po er. Ieing a good manager andNor leader is not al ays the 2ey to promotion or re ards. %rust is an interesting ord in terms of organi1ations in this country. =e are the most individualistic nation on earth. =e tend to loo2 out for 'number one.( %herefore& trust can be a scarce commodity in organi1ations& especially during turbulent and changing times. As a point in fact& the do nsi1ing of American companies has led to a lac2 of trust bet een and among managers and employees. %he raging stoc2 mar2et has made some rich& many poorer& and some clearly missing out on the 'money train.( )n 2444& C,-s averaged pay of P13.1 million& despite do nturns and layoffs in many companies in the first part of 2441. /or e0ample& Eichael ,isner as paid P9CC.1 million& although his company 5Disney6 did not do ell in terms of either return to the shareholder or average return on e*uity. %his compensation trend continues to iden 'still further the ya ning gap bet een the boss and the ran2 and file( 5Iusiness =ee2& April 19& 2441& p. B;6. %hese elements do not engender trust in the or2place and have only increased in disparity over the years. -bviously& some degree of trust is needed in organi1ations to function. %here is trust in many organi1ations on a more micro& departmental& or unit scale. #o ever& it ill be interesting to continue to see ho trust gro s or deteriorates in the coming years. Tea&'ing N te" )t might be a good time to discuss the concept of trust is and ho the conte0t surrounding it has changed over time. )s trust the same no as it as in the time of the Hree2s8 )s trust a 2ey value in capitalism8 )s trust the same no as it as in the 1C44s8 #o does trust manifest itself in organi1ations8 #o important is it for the manager to trust the employees and vice versa8 =ho do you trust at or2 and hy8 =hat happens hen trust is violated8 E/e$&i"e" 1( De1ining T$,"t( As2 the students to intervie 24 people randomly& as2ing them hat the concept of trust means to them. %hen have the students report bac2 to the class and compare their findings. $earning -bjective5s6: %o illustrate the ide variety of definitions of trust. >reparationN%ime Allotment: <tudents should have at least a ee2 to do this e0ercise. AdvantagesNDisadvantagesN>otential >roblems: Mou can then have the students discuss and summari1e their findings in small groups& or do short presentations to the class. As2 them ho the various definitions might affect people in organi1ations. =hat type of leader do the students thin2 ould match ith a given vie of trust8

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Chapter 11 : $eadership and %rust

9( T$,"t Ame$i&an-St!le( #ave a discussion or debate on the level of trust in American organi1ations. %hen have the students research trust in other cultures and compare the results. $earning -bjective5s6: %o illustrate ho trust is a cross:culture variable. >reparationN%ime Allotment: Hive the students a couple of ee2s to research the topic of trust. %hey can do this in small groups& and present the findings to the class. Mou might ant to assign the groups certain cultures to prevent duplication. AdvantagesNDisadvantagesN>otential >roblems: <tudents should have a fundamental bac2ground in international business prior to doing this research. )f they do not& have them stic2 to e0amining American organi1ations. #%IA E# $ % ,$ Immediate A&ti nF P$e1e$$ed -an8 Ca$d In&( T > >at Euen2s& .> ,mployee Aelations #$ m> Jan >lemmons& Customer <ervice Director S,0;e&t> Leade$"'ip T$aining ) agree completely ith your recommendation that e need a leadership training program for our customer service team leaders. %hese leaders struggle ith 2eeping our customer service reps focused on our goal of providing timely& accurate& and friendly service to our ban2 card holders ho call in ith *uestions or complaints. Can you put together a one:page proposal that describes the leadership topics you thin2 should be covered. Also& give me some suggestions for ho e might present the information in a ay that ould be interesting.

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>art 4 ? $eading

Ca"e Appli&ati n G$ 2ing Leade$" #o important are e0cellent leaders to organi1ations8 A company has to cultivate leaders ho have the s2ills and abilities to help it survive and thrive. 3E has its o n farm system.& e0cept its farm system is designed to develop company leaders. 3E!s leadership development program is so effective that in 244C Chief Executive maga1ine and #ay Consulting Hroup named the company the best at developing future leaders. /ormer C,- Jim Ec+erney& agreed on si0 'leadership attributes( that they believed ere essential for the company to become s2illed at e0ecuting strategy and being accountable. %hose si0 attributes included: the ability to 'chart the courseF energi1e and inspire othersF demonstrate ethics& integrity& and complianceF deliver resultsF raise the barF and innovate resourcefully. Iuc2ley said that he believes there is a difference bet een leaders and managers. 'A leader is as much about inspiration as anything else. A manager is more about process.( #e believes that the 2ey to developing leaders is to focus on those things that can be developed7 li2e strategic thin2ing. /inally& hen as2ed about his o n leadership style. Iuc2ley responded that& '%he absolutely best ay for me to be successful is to have people or2ing for me ho are better. #aving that 2ind of emotional self: confidence is vital to leaders. Mou build respect in those people because you admire hat they do. #aving built respect& you build trust. Di"&,""i n G,e"ti n" 1( )'at d ! , t'in8 a0 ,t -,&8le!6" "tatement t'at leade$" and manage$" di11e$+ D ! , ag$ee+ )'! $ 2'! n t+ An"2e$: <tudent ans ers may vary& but they are different. $eaders and managers differ in a number of ays. $eaders have a long term perspective& they are the visionaries& managers are concerned about the day:to:day activities& the processes& etc. 9( )'at leade$"'ip m del"Ht'e $ie"Hi"",e" d ! , "ee in t'i" &a"e+ Li"t and de"&$i0e( An"2e$> %rait theory is the first ans er since the attributes selected are base on leadership traits. Contingency and situational challenges can also play a part. :( Ta8e ea&' 1 t'e "i/ leade$"'ip att$i0,te" t'at t'e & mpan! 1eel" i" imp $tant( E/plain 2'at ! , t'in8 ea&' ne in. l.e"( T'en di"&,"" ' 2 t' "e att$i0,te" mig't 0e de.el ped and mea",$ed( An"2e$> %he attributes are chart the courseF energi1e and inspire othersF demonstrate ethics& integrity& and complianceF deliver resultsF raise the barF and innovate resourcefully. <tudents can add their o n ideas to define each one and design a program to develop and measure each one. <ome of these are similar to other leadership inventories li2e Dou1es and >osnerLs $eadership Challenge. <( )'at did t'i" &a"e tea&' ! , a0 ,t leade$"'ip+ An"2e$> <tudent ans ers ill vary. %his case highlights the essential nature of leadership and the success that results from individual leaders. %rue leaders inspire and literally bring life to their respective organi1ations. %he attributes of trust and respect are imperatives hile the idea of surrounding yourself ith bright and talented individuals often breeds success. A sound strategy is important ith great people to e0ecute it. %raits li2e emotional intelligence ill contribute to good leadership.

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