Leadership styles

Leadership

• Leadership is less about your needs and more about the needs of the people and the organisation you are leading

• Particular leadership style should be adapted to the – particular demands of the situation,– the particular requirements of the people

involved and– the particular challenges facing the organization.

Leadership styles

• Approximately a third of financial performance of an organisation is affected by organistaional climate

• Organisational climate in turn is affected by leadership style

• The leadership style affects the way – Managers motivate direct reports– Make decisions– Manage change initiatives– Handle crises

Leadership styles

• There are 6 basic leadership styles1. The coercive style2. The authoritative style3. The affiliative style4. The democratic style5. The pace setting style6. The coaching style

Leadership styles

Coercive Style

• The computer company was in crisis mode – its sales and profits were falling , stock was losing value, share holders were unhappy

• The board brought in new CEO • Reputation of New CEO – Turnaround artist – Work style : chopping off jobs, selling off division,

taking long pending tough decisions• Result : Company was saved

Contd

• Later …….– CEO created a reign of terror

by bullying and demeaning his executives , the CEOs direct reports frightened by his tendancy to blame the bearer of bad news , stopped bringing him news at all .

– Morale was all time low– The business downturn after

the short term recovery

• End result : the CEO was eventually fired

impact of coercive style

• Considered as least effective style • Flexibility is hardest hit : the leaders extreme top down

decision making kills new ideas.• People’s sense of ownership evaporates: unable to act on

their own initiative , they lose their sense of ownership and feel less accountable, some become resentful

• Has a damaging effect on the rewards system: the coercive system erodes the sense of pride

• Undermines the prime tool of leadership – motivating people by showing them how their job fit into the grand mission

Where this style suits

• During a turn around• When hostile take over s looming: – This style can break failed business habits and

shake people into new ways of working • Genuine emergency – aftermath of natural

disaster • Work well with problem employees with

whom all else has failed

Coercive style

• If a leader relies solely on this style or continues to use it once the emergency passes ,the long term impact of his insensitivity to the morale and feelings of those he leads will be ruinous

Leadership style statement

• “ Do what I Say “

The Authoritative style

• Case : Tom was the VP of of marketing at a floundering national restaurant chain that specializes in Pizza . The company’s poor performance troubled the senior managers, but at loss on what to do . Every Monday they met to review recent sales , struggling to come up with fixes

• Response of Tom” we were always trying to figure out why our sales were down last week . We had the company looking backward instead of figuring out what we have to do tomorrow”

Contd …

• Toms opprtunity to change people’s way of thinking – Occasion – Offset strategy meeting – Agenda _ drive up share holder wealth and increase return on

assets– Toms objection : these concept doesn’t have the power to

inspire restaurant managers to be innovative or to do better than a good-enough job

– Tom’s move – in the middle of the meeting Tom made a impassioned plea for his colleagues to think from the customer’s perspective . Customers want convenience, he said. The company was not in the restaurant business, it was in the business of distributing high quality , convenient to get Pizza.

• With his vibrant enthusiasm and clear vision Tom filled the leadership vacuum in the company .

• His concept became the core of the new mission statement

• Tom made sure that the mission statement was built into company’s strategic planning process as the designated driver of growth

• Ensured the vision is articulated so that local restaurant managers understood that they were key to the success of the company and were free to find new ways to distribute Pizza

Result

• Changes came quickly : local managers started guaranteeing fast , new delivery times .

• They started to act like entrepreneurs by finding ingenious locations to open new branches – kiosks on busy street corners and bus/ train stations , from cart in hotel /airport lobbies

Sum up • Research shows that of 6 leadership style , the authoritative one is

most effective • The authority leader is a visionary , he motivates people by making

clear to them how their work fits into the larger vision for the organisation

• Vibrant enthusiasm and clear vision is hall mark of Authoritative style

• Maximises the commitment to the organisations goal and strategy – by framing the individual tasks within the grand vision the authoritative leader defines the standard that revolve around that vision

• Performance measurement is always about whether the performance further the vision

• The style is flexible : the authoritative leader states the end but give the people the freedom to innovate experiment and take the calculated risks

Suitable situations for authoritative style

• Because of its positive impact it work well in all situations .

• However particularly effective when the business is in a drift : an authoritative leader charts a new course and give the people a fresh long term vision

• Approach will not work when a leader is working with a team of experts or peers who are more experienced than the leader. They me see the leader as pompous or out of touch

• An authoritative leader states the end but gives people plenty of leeway to devise their own means

Style statement

• “ come with me “

Examples • The same leader may exhibit different leadership style on various

occasions . However the 3 leaders given below are considered as examples of authoritative leaders

1. Bill Gates : This style exemplifies his leadership abilities. As is the case with many CEOs, Bill Gates was able to successfully move Microsoft in the direction he saw the industry going.Even though Mr. Gates eventually removed himself from some of the daily operations of Microsoft, he was still thought of as an industry visionary - an authority. The personal computer is playing a greater role in technology use , and Bill Gates has done much to further its advancement. He had a vision, he told the world, and he aligned the resources of Microsoft with that vision.

Authoritative style - Ex2. John F. Kennedy

One of the many things that John F. Kennedy is remembered for is his vision concerning the United States' space program. On September 12, 1962, while speaking at Rice University, President Kennedy said:

"We choose to go to the moon in this decade and do the other things, not because they are easy, but because they are hard, because that goal will serve to organize and measure the best of our energies and skills, because that challenge is one that we are willing to accept, one we are unwilling to postpone, and one which we intend to win..."

He had a vision of sending a man to the moon and back safely. He even explained how it was going to be accomplished. John F. Kennedy was exhibiting an authoritative leadership style that mobilized the resources of an entire nation towards this single goal.

Authoritative style - Ex

3. Martin Luther King Jr.• He is another great leader who was able to mobilize a nation towards a vision. Here is

how Dr. King expressed this vision:• "So I say to you, my friends, that even though we must face the difficulties of today and

tomorrow, I still have a dream. It is a dream deeply rooted in the American dream that one day this nation will rise up and live out the true meaning of its creed - we hold these truths to be self-evident, that all men are created equal."

• During this same "I have a dream" speech, Dr. King explained the exact path to this freedom:

• "Let us not seek to satisfy our thirst for freedom by drinking from the cup of bitterness and hatred. We must forever conduct our struggle on the high plane of dignity and discipline."

• He was speaking with authority, he knew what the future could look like, and he needed his followers to understand how he wanted to achieve this vision. During this speech, he exemplified the "come with me" characteristic associated with authoritative leaders.

The Affiliative style

• This leadership style revolves around people • Its proponents value individuals and their emotions more than

task and goals • Strives to keep the employees happy and create harmony

among them• Build strong emotional bonds to create fierce loyalty • Marked positive impact on communication- share ideas

/inspiration • Increased flexibility : affiliative leader doesn’t impose

unnecessary strictures how employees get their work done. They give freedom to people to do the work in the way they think is most effective

The Affiliative style

• Sense of recognition and reward- leader give lots of positive feed back which has huge potential in work place as it is rare to get frequent positive feed back

• Affiliative leaders bring in a sense of belongingness- dinner, cake , celebration

• They are natural relationship leaders

The affiliative leader

• Case : Joe Torre , an American Professional baseball executive and former baseball manager and player of New York Yankees is a classic affiliative leader

• During 1999 world series , all season long he made a special point to praise Scott Brosius, whose father had died during the season, for staying committed evenas mourned.

Contd..

• At the celebration party after the team’s final game, Torre specifically sought out right fielder Paul O’Neill, who had received the news of his father’s death that morning, but chose to play in the decisive game. O’Neill broke into tears the moment game ended.

• Torre made a point of acknowledging O’Neill’s personal struggle, calling him a ‘ Warrior’.

• Torre also used the spotlight of the victory celebrations to praise two players whose return the following year was threatened by contract disputes. He was sending a clear message to the team and club owner that he valued the players immensely

• Along with ministering to the emotions of his people , an affiliative leader may also tend to his emotions openly .

• Torre shared his worries about his brother’s heart transplant and also his treatment for prostrate cancer, with the team members.

Affiliative leader

• Affiliative style’s generally positive impact makes it a good all weather approach

• However it should be employed particularly when trying to build harmony, increase morale, improve communication, or repair broken trust .

Case – affiliative leadership

• Example of a situation where it works best – Situation :One executive was hired to replace a ruthless

team leader . The former leader had taken creit for his employees’ work and had attempted to pit them against each other. His effort ultimately failed

– Team Morale – the team he left behind was suspicious and weary.

– New managers approach – Tried to mend the situation by unstintingly showing emotional honesty, and rebuilding ties. Several months on , her leadership has created a renewed sense of commitment and energy.

Affiliative leadership - shortcomings

• It should not be used alone• Its exclusive focus on praise can allow poor performance to

go uncorrected• Employees may perceive that mediocrity is tolerated• Affiliative leaders rarely offer constructive advise on how to

improve , so employees must figure out how to do so on their own.

• When people need clear directives to navigate through complex challenges , the affiliative style leaves them clueless.

• If overly relied on this style can actually steer a group to failure.

Affiliative Style - strengths

• They have strength in three emotional intelligence competencies1. Empathy :2. In building relationship3. Communication

contd

• Many affiliative leaders , including Torre, use this style in close conjunction with authoritative style . – Authoritative leaders state a vision, set standards,

and let people know how their work is furthering the groups’ goal .

– Alternate that with the caring , nurturing approach of the affiliative leader and you have a potent combination.

Affiliative leader style statement • “ People first”

Barack Obama , Bill Clinton,Tony Blair,

The Democratic Style

• Mary is the Postal superindentent in a Metro City. One of the post office in an impoverished neighborhood had been losing money for many years and the department could no longer afford to keep it open.

• When Mary eventually got the order to shut it down , she didn’t just lock the doors.

• She called a meeting of the postmaster and all the staff at the post office and explained to them the details of financial crisis.

• This was the first time anyone working at the post office had been included in the business side of the post office.

• She asked their ideas on ways to keep the post office open and on how to handle the closing , should it come to that

• Mary spent much of her time at the meeting just listening

• She did the same at later meeting for customers and the resident welfare association.

• After several meetings consensus was clear – the post office would have to close down

• A clear plan was made to transfer the accounts and letter delivery to the nearest post office

• Here the final outcome was no different than if Mary had gone ahead closed the post office the day she was told to.

• But by allowing the post offices’ stake holders to reach that decision collectively , Mary did not receive none of the backlash that would have accompanied such a move.

• People mourned the loss of post office , but they understood the inevitability. Virtually no one objected.

• Case 2 : Compare the earlier case with that of the Divisional Superintendent who headed another postal division in a rural area.

• He too was directed to close down a non-performing post office.• And he did it _ flat • The result was disastrous- public complained , newspaper ran

articles criticising the closure, local MLA/MPs took up the case . It took a year to resolve the disputes before he could go ahead and finally close the post office and transfer the business to nearby post office.

• The negative publicity of this decision was damaging for the department

Democratic style

• Superintend Mary exemplifies democratic style in action and its benefits

• By spending time getting people’s ideas and buy-in , a leader build trust , respect and commitment.

• By letting the stakeholders have a say in a decision that affects their goals and how they do their work , the democratic leader drives up flexibility and responsibility

• By listening , the democratic leader learn what to do to keep the morale high

• By having a say in the goals and standards for revaluating the success, the team members tend to be very realistic about what they can and cannot be accomplished

Drawbacks of democratic style

• One of the most exasperating consequence is endless meetings where ideas are mulled over , consensus remains elusive , and the only visible result is scheduling more meetings

• Some times this style is adopted to put off taking decisions resulting in team members end up frustrated and feeling leaderless

• Such an approach may escalate conflicts

When does this style works best ?

• When a leader is uncertain about the best direction to take and need ideas and guidance from able employees

• Even if leader has great vision , this style works well for generating frsh ideas to execute the vision

• Makes less sense when employees are not competent to offer ideas/suggestions

Democratic leader

Style statement “ what do you think?”

Pace setting

• The leader sets extremely high performance standards and exemplifies them himself • He is obsessed about doing things better and faster and he expects the same of everyone around him.• He quickly pin points poor performers and

demands more from them. If they don’t rise to the occasion , he replace them with people who can.

Pace setting

• Instead of improving the result , such an approach may destroy the climate.

• Many employees feel overwhelmed by the pace setters demands and their morale drops.

• Many pace setters fails to state the vision clearly , they expects people to know “what to do”. Hence work becomes not a matter of doing one’s best along a clear direction , but much as second guessing what the leader wants.

• Flexibility responsibility evaporates • Work becomes focused and routinized –

boring

Pace setting

• Pace setter do not give feedback on the outcome of the work , instead they take over when people are lagging behind.

• Hence if the leader leaves people feel directionless.

• He or she is “obsessive about doing things better and faster, and asks the same of everyone.”

• Style in a phrase – “ Do as I do, Now.”

When it works well ?

• When all employees are self motivated, highly competent and need little direction or coordination- eg R&D groups or legal teams

• When a talented team is given, the pace setting leader gets work done on time

The coaching style • This style help the employees identify

their unique strength and weaknesses and tie them to their personal and career aspirations

• They encourage employees to establish long term development goals and help them conceptualise a plan for attaining the goals

• They give plentiful instruction and feed back

• coaching leaders excel in delegating, they give employees challenging assignments even if that means the tasks wont be accomplished quickly.

• These leaders are willing to put up with short term failures if it furthers long term learning

The Coaching Style

• The coaching focuses primarily on personal development , not on organisational goals

• Even so coaching improves result- the constant dialogue used in coaching push up the drive.

• People know what is expected of them and how their work fits into the larger vision r strategy

• This improves responsibility and clarity• Commitment improves – the message is “ I believe in you ,

I’m investing in you , and I expect your best efforts”. Employees usually rise to that challenge with their heart mind and soul.

Coaching style- where it works well

• Most effective when people at the receiving end are already aware of their weakness and would like to improve their performance

• Works well when employees realise , how learning new skills can help them advance

• It works best with employees who wants to be coached

Coaching – not suitable

• When employees are resistant to learning or changing

• If the leader lacks the expertise to coach

Coaching style

• Least used style • Many leaders feels they do not have the time in this

high pressure economy for the slow and tedious work of teaching people and helping them to grow. But after a first session , it doesn’t take much time

• Leaders who ignore this style are passing up a powerful tool

• Its impact on climate and performance are markedly positive

Coaching

The style in phrase “ Try This ”

Styles Parameters Coercive Authoritative Affiliative Democratic Pace

settingCoaching

Modus operandi Demands immediate compliance

Mobilizes people towards a vision

Creates harmony and build emotional bonds

Forges consensus through paticipation

Sets high standards for performance

Develops people for the future

Style “ do what I tell u”

“ come with me” “People come first”

“ what do you think ?“

“Do as I do , now”

“ try this “

Underlying emotional intelligence competencies

Drive to achieve , initiative, self control

Self confidence , empathy, change catalyst

Empathy , building relationship, communication

Collaboration, team leadership, communictn

Conscientiousness, drive to achieve, initiative

Empathy, developing others, self awareness

When the style work best

In a crisis, to kick start a turn around, with new prolem employees

When new vision/ clear direction required

To heal rift in team, motivate during stressful situation

Build Buy in , consensus or to get valuable inputs

Quick result from highly motivated & competent team

To help an employee improve performance or develop long term strength

Overall impact Negative strongly + ive +ve Positive Negative Positive

Leaders need many styles

• Many studies have shown that the more styles a leader exhibits , the better

• Leaders who have mastered four or more – especially the authoritative , democratic , affiliative and coaching styles – have the best climate and business performance

• The most effective leaders switch flexibly among the leadership style as needed

A Fluid leadership in action- case

• Sharma is posted as the head of a postal division which is showing lackluster performance

• The division is performing badly in all areas of operation and revenue generation

• It had not achieved the target in any of the revenue streams, nor did it completed the executive functions within the prescribed time limit

• Sharma’s directive from CO was clear – tun the division around• Sharma did so with a nimbness in switching among leadership

style that is rare

case ----contd• From the start the DH realised that she had a short window to

demonstrate leadership and to establish rapport and trust• She also realised that she needed to be informed about what was

not working. – So her first task was to listen to key people– Her first week on the job was spend on meetings with each member of her

team – subdivisional heads, head postmasters, marketing executives , system administrators etc

– This helped her to get an idea about each person’s understanding of the current situation

– But her focus was not on learning how each person diagnosed the problem , but on understanding each key member of her team as a person.

• Here Sharma employed the Affiliative style – she explored their lives , dreams and aspirations

Case ….

• She also stepped into coaching style- looking for ways she could help the team members perform better– For instance one system admin, who had been getting

feedback that he was a poor team player confided his worries to her

– He thought he was a good team player, but was plagued by persistent complaints

– Recognising him as a talented and valuable asset to the division , she agreed to point out ( in private) when his action undermined his goal of being seen as a team player

• Sharma conducted one to one conversation with a 2 day off-site meeting . Her goal was team building to ensure that everyone will own the solution for taking the division forward

• Her stance during the meeting was that os a democratic leader

• She encouraged everyone to freely express their complaints, frustrations as well as suggestions

Case

• Towards the end of the meeting Sharma had the group focus on solutions

• Each person made 3 proposals about what needed to be done

• As Sharma consolidated the suggestions , a natural consensus emerged the priorities for achieving the target such as increasing the customer base by more focused marketing etc

• As the group came with specific action plan , Sharma got the commitment and buy-in she sought

Case

• With that vision in place , Sharma shifted to authoritative style , assigning accountability for each follow up step to specific officials and holding them accountable for their accomplishments

• She continually articulated the group’s new vision in a way that reminded each member of his /her crucial role in achieving the goals

• The result – every aspect of the operation improved, target achieved in 7 months , pendency cleared in all executive activities.

Expanding your Performance

• Few leaders have all styles of leadership in them and a fewer know how to use them.

• The solution ??– The leader should build a team with members

who has the style which she/he lacks.– Alternatively , the leaders should try to expand

their style

• If you are a pace setting leader who want to be able to use the affiliative style more often , you would need to improve your level of empathy and perhaps your skills at building relationships or communicating effectively

• An authoritative leader who wants to add the democratic style might need to work on the capabilities of collaboration and communication

• The business environment is continuously changing and a leader must respond in kind

• The leaders must play their style suiting to the situation- right one at the right time and in the right measure

• The pay off is in the results

• Than you