Understanding Leadership, Power, and Organizational Culture

1. Vroom-Yetton’s Contingency Model of Leadership

The Vroom-Yetton contingency model of leadership highlights the most effective leadership and decision-making styles in specific situations. It outlines five distinct management decision styles:

Management Decision Styles

  • AI (Autocratic): You solve the problem or make the decision independently, using the information available to you at that time.
  • AII (Autocratic): You gather the necessary information from your subordinates and then decide on the solution to the problem.
  • CI (Consultative): You share the problem with relevant subordinates individually, obtaining their ideas and suggestions, and then make a decision that may or may not reflect their input.
  • CII (Consultative): You share the problem with subordinates as a group, collecting ideas and suggestions, and then make a decision that may or may not reflect their input.
  • GII (Group): You share the problem with your subordinates as a group and together you make a decision; your role is more like a chairperson.

3. Charismatic Leadership Influence

Charismatic leaders influence followers through a four-step process:

  1. Articulating a Vision: The leader presents a compelling vision, a long-term strategy for achieving goals, providing a sense of continuity and a better future for the organization.
  2. Communicating High Expectations: The leader sets high performance expectations and expresses confidence in followers’ ability to achieve them, boosting their self-esteem and confidence.
  3. Setting an Example: The leader embodies and conveys a new set of values through words and actions, setting an example for followers to emulate.
  4. Emotional Engagement: The leader engages in emotionally charged and often unconventional behavior to demonstrate courage and conviction about the vision, creating an emotional contagion that inspires followers.

The key properties of a vision include inspirational possibilities that are value-centered, achievable, and conveyed with strong imagery and articulation. A vision should generate unique and inspiring possibilities that offer a new order and distinguish the organization.

4. Transformational and Transactional Leadership

Transactional Leaders

  • Contingent Reward: Exchanges rewards for effort, promises rewards for good performance, and recognizes accomplishments.
  • Management by Exception (Active): Monitors and addresses deviations from rules and standards, taking corrective action.
  • Management by Exception (Passive): Intervenes only if standards are not met.
  • Laissez-Faire: Abdicates responsibilities and avoids making decisions.

Transformational Leaders

  • Idealized Influence: Provides vision and a sense of mission, instills pride, and gains respect and trust.
  • Inspirational Motivation: Communicates high expectations, uses symbols to focus efforts, and expresses important purposes in simple ways.
  • Intellectual Stimulation: Promotes intelligence, rationality, and careful problem-solving.
  • Individualized Consideration: Gives personal attention, treats each employee individually, coaches, and advises.

5. Leadership vs. Power

Leaders use power to achieve group goals. While leadership aims to achieve goals, power is a means of facilitating their achievement. Here’s how they differ:

  • Goal Compatibility: Power doesn’t require shared goals, only dependence. Leadership, however, requires some alignment between the leader’s goals and those being led.
  • Direction of Influence: Leadership primarily focuses on downward influence on followers, while power can be exercised in various directions.
  • Research Emphasis: Leadership research often emphasizes leadership styles, while power research focuses on tactics for gaining compliance and extends beyond the individual.

6. Five Bases of Power

There are five bases of power:

  • Coercive Power: Based on fear and the potential for negative consequences for non-compliance.
  • Reward Power: Based on the ability to distribute rewards that others value, leading to compliance.
  • Legitimate Power: Derived from formal authority and position within an organization.
  • Expert Power: Based on specialized knowledge, skills, or expertise.
  • Referent Power: Based on admiration, respect, and identification with a person who possesses desirable traits or resources.

(This section does not address the power of team members, as the original text lacks that information.)

7. Power (Influence) Tactics

Here are five common influence tactics:

  • Legitimacy: Relying on authority or organizational policies.
  • Rational Persuasion: Using logical arguments and evidence.
  • Inspirational Appeals: Appealing to values, needs, and aspirations.
  • Consultation: Involving the target in decision-making.
  • Exchange: Offering benefits or favors in exchange for compliance.

(This section does not include personal examples, as the original text lacks that information.)

8. The Conflict Process

The conflict process involves five stages:

  1. Potential Opposition or Incompatibility: The presence of conditions that can lead to conflict, categorized as communication issues, structural issues, and personal variables.
  2. Perceived Conflict: Awareness of the conditions that can create conflict, leading to felt conflict and emotional involvement.
  3. Intentions: Decisions to act in a certain way, involving dimensions of cooperativeness and assertiveness, leading to five conflict-handling intentions: competing, collaborating, avoiding, accommodating, and compromising.
  4. Behavior: Visible actions, statements, and reactions of the conflicting parties.
  5. Outcomes: Functional outcomes (e.g., improved performance, better decisions) or dysfunctional outcomes (e.g., reduced group effectiveness, discontent).

9. Conflict-Handling Intentions

The five conflict-handling intentions are:

  • Competing: Assertive and uncooperative.
  • Avoiding: Unassertive and uncooperative.
  • Collaborating: Assertive and cooperative.
  • Accommodating: Unassertive and cooperative.
  • Compromising: Moderately assertive and cooperative.

(This section does not mention which intentions were used in a role play, as the original text lacks that information.)

10. Distributive vs. Integrative Bargaining

CharacteristicDistributive BargainingIntegrative Bargaining
GoalGet as much as possibleExpand the pie for mutual satisfaction
MotivationWin-loseWin-win
FocusPosition-basedInterest-based
InterestsOpposedCongruent
Information SharingLowHigh
Relationship DurationShort-termLong-term

11. Seven Characteristics of Organizational Culture

  1. Innovation and Risk Taking: Encouraging employees to be innovative and take risks.
  2. Attention to Detail: Expecting precision, analysis, and attention to detail.
  3. Outcome Orientation: Focusing on results rather than processes.
  4. People Orientation: Considering the impact of decisions on employees.
  5. Team Orientation: Organizing work around teams rather than individuals.
  6. Aggressiveness: Encouraging a competitive and aggressive environment.
  7. Stability: Emphasizing maintaining the status quo over growth.

12. Visible and Invisible Signs of Culture

Organizational culture is transmitted through:

  • Stories: Narratives about the organization’s history, values, and significant events.
  • Rituals: Repetitive activities that reinforce key values.
  • Material Symbols: Objects and artifacts that convey meaning about the organization.
  • Language: Jargon, phrases, and language used to identify and unite members.

(This section does not provide specific examples from a class discussion, as the original text lacks that information.)

13. Characteristics of a Customer-Responsive Culture

A customer-responsive culture is characterized by:

  1. Employee Traits: Hiring outgoing and friendly employees.
  2. Low Formalization: Allowing flexibility to meet customer needs.
  3. Empowerment: Giving employees decision-making discretion.
  4. Good Listening Skills: Understanding customer messages.
  5. Role Clarity: Balancing the demands of the employer and the customer.
  6. Organizational Citizenship Behavior: Going above and beyond to please the customer.