Business Leadership LEADERSHIP? LEADERSHIP? Prof. R. Rijamampianina. Rija. It is the ability to influence a group toward the achievement of goals.

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1 VISION Business Leadership Rija MISSION GOALS/OBJECTIVES STRATEGIES STRUCTURES SYSTEMS Leadership Management POLICIES, PROCEDURES, PROCESSES ACTIVITIES Leadership easiness? It is the ability to influence a group toward the achievement of goals. Management effectiveness? The Leader s Traits Intelligence Decisiveness Charisma 1930s: Leadership Trait Theory It is the ability to influence a group toward effective results. The Leader s Behaviour Role orientation Employee orientation Autocratic Democratic 1940s: Leadership Behaviour Theory CLASSICAL THEORY Effective Results Productivity Quality Satisfaction Competitiveness Learning Etc

2 The Leader s Traits Intelligence Decisiveness Charisma The Leader s Behaviour Role orientation Employee orientation Autocratic Democratic CONTINGENCY THEORY Late 1960s: Leadership Contingency Theory Situational Variables Followers needs Task structure Position power Leader-follower trust Group readiness Sense of urgency The Leader s Traits Intelligence Decisiveness Charisma The Leader s Behaviour Role orientation Employee orientation Autocratic Democratic SITUATIONAL MODEL Situational Variables Followers needs Task structure Position power Leader-follower trust Group readiness Sense of urgency Effective Results Productivity Quality Satisfaction Competitiveness Learning Etc Effective Results Productivity Quality Satisfaction Competitiveness Learning Etc (Goleman, 2000) Leadership That Gets Results TRANSACTIONAL AND TRANSFORMATIONAL MODELS Leaders need many styles (diversity). Do not rely on only one leadership style (classical theory). Align your style with the business situation (contingency theory flexibility fluidity). Emotional intelligence competencies are crucial (sensitivity).

3 What leadership style gets results? (Goleman, 2000)

4 (Goleman, Boyatzis & McKee, 2001) SELF AWARENESS Emotional Intelligence? The ability to manage ourselves and our relationship effectively. SELF MANAGEMENT SOCIAL AWARENESS SOCIAL SKILL Emotional Intelligence, WHY? The leader s mood and behaviours drive the moods and behaviours of everyone else; A leader s EI creates certain culture and work environment: High levels of EI create climates in which info sharing, trust, healthy risk taking and learning flourish. Low levels of EI create climates rife with fear and anxiety. Leader s mood behaviour = drivers of performance (Goleman, Boyatzis & McKee, 2001) Emotional Intelligence, WHY? The leader s mood and behaviours drive the moods and behaviours of everyone else; A leader s EI creates certain culture and work environment: High levels of EI create climates in which info sharing, trust, healthy risk taking and learning flourish. Low levels of EI create climates rife with fear and anxiety. Primal task of leadership = Emotional leadership (Goleman, Boyatzis & McKee, 2001) Emotional Intelligence, WHY? The leader s mood and behaviours drive the moods and behaviours of everyone else; A leader s EI creates certain culture and work environment: High levels of EI create climates in which info sharing, trust, healthy risk taking and learning flourish. Low levels of EI create climates rife with fear and anxiety. PRIMAL MODEL (Goleman, Boyatzis & McKee, 2001) Fact Leaders can have a bad day or week. Primal leadership demands more than putting on a game face every day. It requires discipline, commitment and practice. LEADER S TRAITS LEADER S BEHAVIOUR LEADER S EI SITUATIONAL VARIABLES EFFECTIVE RESULTS

5 Emotional Intelligence The skills of EI can be learned But it s not easy. It takes practices, disciplines and commitment. (Goleman, 2000) As others see me Johari Window Arena Hidden Self As I see myself Blind Spot Potential Self-awareness Self-mgmt People tell you Exposure Feedback Social awareness Social skill You may need to tell others Build: Mutual understanding Mutual trust Mutual respect Johari Window As I see myself Arena Blind Spot Touched during interactions and feedback Johari Window Arena As I see myself Blind Spot As others see me Hidden Self Potential Exposure As others see me Hidden Self Potential Exposure Feedback Feedback (Goleman, 2000) As others see me Johari Window Arena Hidden Self As I see myself Blind Spot Potential Not going to be revealed through interactions and feedback but need to be found Exposure Emotional Intelligence Growing your EI requires interaction management and self-diagnosis from multiple viewpoints (e.g., 360 feedback). Feedback

6 CONTINGENCY THEORY Focus = The Leader The Followers THEORIES MODELS STYLES CHARACTERISTICS THEORIES MODELS STYLES CHARACTERISTICS 1930s: Leadership Traits Theory 1940s: Leadership Behaviour Theory 1960: Leadership Contingency Theory CLASSICAL THEORY Focus = The Leader 1960: Situational Model mid-1960s: Transactional Model mid-1980s: Transformational Model 2000: Primal Model 2007: Authentic Model 2008: Resonant Model A company/business cannot grow without, until its leaders grow within. John C. Maxwell (Collins, 2001) PERSONAL HUMILITY PROFESSIONAL WILL The winner s edge is not in a gifted birth, in a high IQ, or in talent The winner s edge is in the attitude Denis Waitley KEY?

7 PERSONAL HUMILITY PROFESSIONAL WILL PERSONAL HUMILITY PROFESSIONAL WILL Willingness Ability to LEARN LEADER = LEARNER To make a difference PERSONAL HUMILITY PROFESSIONAL WILL PERSONAL HUMILITY PROFESSIONAL WILL LEADER = LEARNER LEADER = AGILE LEARNER To make a CHANGE Wise leaders know their time is limited. John C. Maxwell Effective leaders don t simply sit back and wait for opportunities to come to them. They make it their responsibilities to go out and find them. Effective leaders don t rely on luck.

8 Open Door Policy versus Managing & Leading by Walking Leadership needs to be intentional not incidental. Dr. R. Khoza Why Leaders Failed? Exhibit common ills of leadership Too much focused on the vision and lost sight on the present state Missing the appropriate strategy Lack of good followership Common Ills of Leadership Leaders who do not scan the environments Leaders who do not listen Leaders who do not practice what they preach Leaders who practice favouritism Leaders who intimidate others Leaders who demoralise others Leaders who fail to create direction Leaders who do not develop their people Leaders who are complacent Common Ills of Leadership Leaders who do not have emotional intelligence Leaders who do not have personal humility and professional will Leaders who lie Types of Followers 1. Sheep 2. Yes people 3. Alienated followers 4. Survivors 5. Effective followers

9 Why Leaders Failed? Lack of balanced focus Lack of understanding of shared leadership CAMBRIDGE CONSULTING GROUP: BOB ANDERSON by Lorsch & Gabarro High Technology Group Cambridge Consulting Group Banking Group Transportation Group Retailing Group CCG Profitable Well-targeted strategic alliances Rapidly growing firms incl. high tech Rich traditions (organisational culture) Recruiting only high calibre employees Hard work, loyalty and commitment Rewards came for developing business Strong reputation (brand) Outstanding talent GOOD NEWS CONCERNS High Technology Group Profitable Focus on companies whose strategy in new technology Rich traditions (organisational culture) Recruiting only high calibre employees Hard work, loyalty and commitment Rewards came for developing business Strong relations with clients Respect of clients top managers High Technology Group Diversity management Performance management Feedback Reward system Internal communication HR planning Training, development and careers Organisational culture Family/work life

10 CONCERNS High Technology Group Strategic Time management Interaction management External environment change Emotional intelligence Internal External Are these concerns due to leadership? Operational (Covey Leadership Centre, 1994) The Time Management Matrix Important I Strategic I NU U NU U Not urgent Urgent Internal NI I NI I External NU U NU U NI NI Not important Operational INDIA Examples of Shared Leadership USA Examples of Shared Leadership Jinnah Coretta S. KING Julian BOND Ralph ABERNATHY Nehru Mohandas GANDHI Patel Jesse JACKSON Martin L. KING Andrew YOUNG

11 SA Examples of Shared Leadership Fact & Reality Raymond MHLABA Walter MASEMOLA Oliver TAMBO Even the most fabled solitary leaders are found to have been supported by a team of other effective leaders. Govan MBEKI Nelson MANDELA Walter SISULU Toole, Galbraith and Lawler, 2002: 66 Fact & Reality Fact & Reality No one individual, no matter how gifted a leader, can be right all the time. No one of us is as smart as all of us. Toole, Galbraith and Lawler, 2002: 67 The practice of shared leadership is neither new or unusual. The fact that shared leadership exists doesn t make it a good practice, or necessarily better than the solo variety. BENEFITS Shared Leadership It allows more time for leaders to spend in the field; It create internal dynamic in which the leaders constantly challenge each other to higher levels of performance; It encourages a shared leadership mindset at all levels of the company; It prevent the trauma of transition that occurs in organisations when a strong leader (e.g., CEO) suddenly leaves. Structure at the Top Mr. Inside and Mr. Outside Mr. Business Line A and Ms. Business Line B Ms. Operations and Ms. Acquisitions By interests: innovation vs. operations By skills: technology vs. people By personality bent: strategy vs. implementation

12 When leaders fall, followers also pay the price. The fact that you have been knocked down is interesting but the length of time you remain down is important. Austin O Malley The greatest glory of the living lies not in never falling, but in rising every time you fall. Nelson Mandela Even God uses people who fail, because there aren t any other kinds around. When You Fail, Fall Forward! Rule #1: You will learn lessons. Rule #2: There are no mistakes only lessons. Rule #3: A lesson is repeated until it is learned. Rule #4: If you don t learn the easy lessons, they get harder. Rule #5: You ll know you ve learned a lesson when your actions change. The essence of man is imperfection. Failure is simply a price we pay to achieve success. Norman Cousins Is about coping with CHANGE. MANAGEMENT Is about coping with COMPLEXITY. Vs MANAGEMENT Decide what needs to be done; Create networks of people and relationships that can accomplish an agenda; Try to influence and ensure that people perform their roles. HOW?

13 MANAGEMENT MANAGEMENT Is about coping with CHANGE. Is about coping with COMPLEXITY. Is about coping with CHANGE. Is about coping with COMPLEXITY. Leading an organisation to constructive change by setting a direction: Develop a vision of the future; Develop strategies for producing the changes needed to achieve that vision. Managing complexity by planning and budgeting: Set targets and goals for the future; Establish detailed steps for achieving those targets; Allocate resources to accomplish those plans. Aligning people: Communicating the new direction to those who can create coalitions that understand the vision and are committed to its achievement. Management develops the capacity to achieve its plan by organising and staffing: Create an organisational structure and set of roles for accomplishing plan requirements; Staffing the roles with qualified individuals; Communicating the plan to those people; Delegating responsibility for carrying out the plan; Devising systems to monitor implementation. Is about coping with CHANGE. For leadership, achieving a vision requires motivating and inspiring: Keeping people moving in the right direction, despite major obstacles to change, by appealing to basic but often untapped human needs, values and emotions. MANAGEMENT Is about coping with COMPLEXITY. Management ensures plan accomplishment by controlling and problem solving: Monitoring results Vs the plan in some detail (formally and informally); Identifying deviations; Planning and organising to solve the problems. Leadership complements management; it doesn t replace it And vice versa!