Ch01 Leadership and Team Management.docx

Leadership and Team Management We can divide this topic into two components, the Leadership and team dynamics to understand each component separately and ultimately understanding the subject Leadership & team management and applying these concepts at workplace. Today's effective leaders must have the capability and confidence to build and develop focused and motivated teams that deliver outstanding operational performance in line with the strategic goals of the organization. This course highlights the processes and techniques leaders have at their disposal to develop their effectiveness and maintain top team performance. The course derives its roots from the basics of organizational management. In order to build a strong footing for learning of the concepts of leadership and team management, we need to understand the concepts of organization. I tried to give basic information about organization. An Organization is a deliberate arrangement of people to accomplish some specific purpose or goals. As we are discussing the leadership and team management the main focus reference to an organization are the people. Focusing on People: the Key to Success. Organizational Performance: The organizational performance is judge by their profit, effectiveness and efficiency. – Productivity An overall measure of the quantity and quality of work performance with resource utilization taken into account. – Performance effectiveness An output measure of task or goal accomplishment. – Performance efficiency An input measure of the resource costs associated with goal accomplishment. That is the Role of Management? Management is more concern about building working relationship with others, help the team members to develop the skills for better performance, providing help to develop team work among them and providing them with a conducive/quality environment for performance and satisfaction. In this connection, management should know that each individual is a value-added worker and if they are satisfied and motivated, organization can achieve their goals efficiently and effectively. What is Leadership?Concept of Leadership is very important in organizations because leaders are the ones who make things happen. Without leaders, an organization would find it difficult to get things done. Leaders mostly help others to learn – just as a coach would help players play instead of playing himself. This lecture introduces students to the concept of leadership and leadership effectiveness by providing working definitions and by emphasizing the cultural limitations of the concepts. It presents several cultural models that are used throughout the text to explain cross-cultural difference in leadership. There is no universally agreeable definition of leadership. Just go and type “leadership” on Google and you can find more than 186,000,000 different pages of reference on web. It involves influencing attitudes, behaviors, beliefs and feelings of people and believes to be an important topic. Peter Drucker the guru of Management defines Leadership as “The only definition of a leader is someone who has followers." While John C Maxwell defines "leadership is influence - nothing more, nothing less." According to John W. Gardner Leadership is “the process of persuasion and example by which an individual (or leadership team) induces a group to take action that is in accord with the leader’s purpose, or the shared purposes of all.” Leaders are those persons who are able to influence others and who possess managerial authority. Leadership, then, is the ability to influence a group toward the achievement of goals. Trust is the foundation of leadership. Leaders develop an environment of trust where the organizational members tend to establish a follower-ship with the leader. Successful leaders….. Communicate Motivate Build Teams Solve Problems Resolve Conflicts Manage Change Promote Creativity Communicate Motivate Build Teams Solve Problems Resolve Conflicts Manage Change Promote Creativity Successful leaders-Challenge the process, Inspire a shared vision, Enable others to act, Model the way, Encourage the followers, Change agent, Take followers to the destination Do we need leaders? Consider how life would be different without leadership Families Education Businesses Service associations Teams Countries World Why Study Leadership? *Understanding leadership helps organizations: – select the right people for leadership positions – train people in leadership positions to improve Who benefits? – leaders – followers – organizations Leaders are Effective When ~ The group achieves its goals o Internal processes are smooth o The group can adapt to external forces Why Leaders Fail? Insensitive, abrasive, bullying style Cold, aloof, arrogant Betrayal of personal trust Overly ambitious Specific performance problems Micro-managing—does not build a team Unable to select good subordinates Leaders Vs Managers Leaders Managers – Innovate Administer – Develop Maintain – Inspire Control – Take the long-term Have a short-term view View Ask how and when – Ask what and why Imitate – Originate Accept the status quo – Challenge the status quo. Do things right – Do the right things What “Followers” Expect Traits desired in a leader: – Integrity – Consistency – Listen and discern needs – Open-minded – Honest w/themselves; Inspire trust – Calm -Stays focused while handling a volatile situation – One who brings out the best in me Trust: The Foundation of Leadership The foundations of trust are Integrity, Competence, Consistency, Loyalty and Openness. Importance of Followers Followers’ actions/attitudes influence their leader – For better or worse Qualities of effective followers are same ones we want in leaders Performance of leaders & followers are variables that depend upon one another Follower Traits That Influence the Leadership Process are like Values Norms, Cohesiveness, Expectations, Personality, Maturity, Competency levels, Motivation, Number of followers, Trust and confidence etc. What Followers Want Leaders to be Honest, Forward -Thinking, Inspiring and Competent Colleagues to be Honest, Cooperative, Dependable and Competent Trait Approach: “Leaders are born, not made.” Common Traits like Intelligence, Dominance, knowledge etc. Leaders possess certain traits that make them leaders. Self-confidence, High energy level, Task relevant Behavior Approach: There are behavioral determinants of leadership which can be learned. People can be trained to be effective leaders. Contingency Approach/Theory: Effective leaders don’t use a single style; they use many different styles and make adjustments based on the situation. An important but often overlooked contingency variables is national culture Leadership approaches/New theory: Transformational Leadership: Focus on influencing attitudes and assumptions of staff. Building commitment to the mission and objective of the organisation Transactional Leadership: Focus on rewards in exchange for motivation, productivity and effective task accomplishment Charismatic Leadership: Traits of a Charismatic Leader are Self-confidence, with A vision, Strong conviction in that vision, Out of the ordinary behavior, The image of a change agent Now we will shift our focus to leader as an individual and try to understand the personality and person part of that individual known as “a leader”. To understand this let’s try to start from basic personality part. Personality: Personality is the pattern of relatively enduring ways in which a person feels, thinks, and behaves. Personality is determined by nature (biological heritage) and nurture (situational factors). Organizational outcomes that have been shown to be predicted by personality include job satisfaction, work stress, and leadership effectiveness. Personality is not a useful predictor of organizational outcomes when there are strong situational constraints. Because personality tends to be stable over time, managers should not expect to change personality in the short run. Leaders should accept employees’ personalities as they are and develop effective ways to deal with people. To understand leader we need to understand him/her as individual. For this understanding personality indicator is very important. Some Major Forces Influencing Personality: Personality Determinants: An early argument centered on whether or not personality was the result of heredity or of environment. Personality appears to be a result of both influences. Today, we recognize a third factor—the situation. Personality is the function of “The Person” and “The Environment. In other words it is a Person-Situation Interaction. Types of work-related behaviour: Values: Values Represent Basic Convictions A specific mode of conduct or end-state of existence is personally or socially preferable to an opposite or converse mode of conduct or end-state of existence. They have both content and intensity attributes. An individual’s set of values ranked in terms of intensity is considered the person’s value system. Values have the tendency to be stable. Many of our values were established in our early years from parents, teachers, friends, and others. Importance of Values -Values lay the foundation for the understanding of attitudes and motivation. -Values generally influence attitudes and behaviors. We can predict reaction based on understanding values. Attitudes: Attitudes are evaluative statements that are either favorable or unfavorable concerning objects, people, or events. Attitudes are not the same as values, but the two are interrelated. Main Components of Attitudes: There are three components of an attitude Cognitive component ƒ The employee thought he deserved the promotion (cognitive) Affective component -The employee strongly dislikes his supervisor (affective) Behavioral component -The employee is looking for another job (behavioral). In organizations, attitudes are important because of the behavioral component Continuing from previous discussion, to understand individual knowing the basis of behavior of individuals is very important. Why is it important to know an individual’s values? Although Values strongly influence a person’s perception, attitudes and ultimately the behavior. Knowledge of an individual’s value system can provide insight into his/her attitudes. Leaders should be interested in their employees’ attitudes because attitudes give warnings of potential problems and because they influence behavior. Satisfied and committed employees, for instance, have lower rates of turnover and absenteeism. Individual Behavior-Perception: Perception is the process by which individuals select, organize, and interpret the input from their senses (vision, hearing, touch, smell, and taste) to give meaning and order to the world around them. Interpretation of a situation is known as perception. Through perception, people try to make sense of their environment and the objects, events, and other people in it. Play major role on the behaviors of the people. • Perception has three components: The perceiver is the person trying to interpret some observation that he or she has just made, or the input from his or her senses. The target of perception is whatever the perceiver is trying to make sense of. In organizational behavior, we are often concerned with person perception, or another person as the target of perception. o The situation is the context in which perception takes place. Characteristics of all three components influence what is actually perceived Type A and Type B Personalities: Individuals who are Type A have an intense desire to achieve, are extremely competitive, have a sense of urgency, are impatient, and can be hostile. Because these individuals are so driven, they can be difficult to get along with. These individuals, though they have the drive to accomplish, do not do well in situations that require a lot of interaction with others. These individuals are more likely to have more conflicts.. Type B individuals are more relaxed and easygoing. Type B characterized as easy-going, relaxed, and able to listen carefully and communicate more precisely than Type-A individual. Positive Affect - an individual’s tendency to highlight the positive aspects of oneself, other people, and the world in general Negative Affect - an individual’s tendency to highlight the negative aspects of oneself, other people, and the world in general The Big Five Model of Personality: An impressive body of research supports that five basic dimensions underlie all other personality dimensions. The five basic dimensions are: Extraversion. Comfort level with relationships. Extroverts tend to be gregarious, assertive, and sociable. Interesting in getting ahead, Leading through influencing, Individuals are outgoing; Likes to meet new people and willing to confront others. Introverts tend to be reserved, timid, and quiet. Agreeableness: Individual’s propensity to defer to others. High agreeableness people—cooperative, warm, and trusting. Traits related to getting along with others. Characteristics include warm, easygoing, compassionate, friendly, and sociable. Individuals typically are sociable and have lots of friends. Low agreeableness people—cold, disagreeable, and antagonistic. Conscientiousness: A measure of reliability. A high conscientious person is responsible, organized, dependable, and persistent. Includes traits related to achievement. Traits include high credibility, conformity, and organization. Individuals typically work hard and put in extra time and effort to meet goals. Those who score low on this dimension are easily distracted, disorganized, and unreliable. Emotional stability: A person’s ability to withstand stress. People with positive emotional stability tend to be calm, self-confident, and secure. The fine line between stable and unstable. Stable is being calm, good under pressure, relaxed, and secure. Unstable is nervous, poor under pressure, insecure. Those with high negative scores tend to be nervous, anxious, depressed, and insecure. Openness to experience: The range of interests and fascination with novelty. Extremely open people are creative, curious, and artistically sensitive. Trait related to being willing to change and try new things. Individuals typically are willing to take calculated risks. Those at the other end of the openness category are conventional and find comfort in the familiar. What the MBTI? MBTI is an inventory of preferences for behavior and not a diagnostic psychological test for identifying dysfunction or abilities. It tells you about your preferences for orienting yourself in the world, and for gathering information and making decisions. Katharine Briggs & Isabel Myers, mother -daughter team developed Jung’s types into the Myers Briggs Type Indicator (MBTI). There are four categories, each with two sub-categories are as follows; The 4 dimensions: Personality type dependent on 4 dimensions: It is a 100-question personality test that asks people how they usually feel or act in particular situations. Individuals are classified as: Extroverted or introverted (E or I). Sensing or intuitive (S or N). Thinking or feeling (T or F). 4. Perceiving or judging (P or J). These classifications are then combined into sixteen personality types. For example: INTJs are visionaries. They usually have original minds and great drive for their own ideas and purposes. They are characterized as skeptical, critical, independent, determined, and often stubborn. ESTJs are organizers. They are realistic, logical, analytical, decisive, and have a natural head for business or mechanics. The ENTP type is a conceptualizer. He or she is innovative, individualistic, versatile, and attracted to entrepreneurial ideas. This person tends to be resourceful in solving challenging problems but may neglect routine assignments. But also keep in your mind that each pair is of preferences for behavior. They are not measures of ability. The MBTI Sub-Categories: Extraversion -------------------- Introversion E I Sensing ---------------------------- iNtuition S N Thinking ---------------------------- Feeling T F Judging --------------------------- Perceiving J P There are no “good” or “bad” type’s only different types. Each preference type has a contribution to make to effective teamwork. Each needs the opportunity to make a contribution based upon strengths. We understand that leadership is a process and not a position. Three components playing important role in this process are leader, followers and situation. In this lecture, we tried to explain this important component/part of leadership process. Situation is the environment or circumstances in which an individual performs. Following are the factors that can influence the situation; Situational factors influence the leadership process: Size of the organization Organizational life cycle stage Social and psychological climate Patterns of employment Type, place, and purpose of work performed Culture of the organization Over all environment Leader-follower interaction Leader-follower compatibility Compatibilities within the followers The organizational environment is the set of forces surrounding an organization that have the potential to affect the way it operates and its access to scarce resources. Basically organization environment has two dimensions internal and external. This can also be known as Macro and Micro factors or even General Environment and Task Environment. All these factors/forces do affect the leadership process. Becoming a Leader: The leaders of a group, team or organization are the individuals who influence others behavior. Leader effectiveness is the extent to which a leader actually does help a group, team or organization to achieve its goals. Leaders are either appointed by someone external to the group and they are elected by group members themselves. Some people take up role of leader by using their influences. With the passage of time, you can see that leadership will emerge over time. The group members will assess with in the group that who is leader worthy. In this situation, communication style will play a dynamic role. A group member can become a leader if he or she has following qualities/skills; ƒ Think like a leader ƒ Share your vision ƒ Develop your judgment ƒ Adapt your style ƒ Build leadership traits ƒ Pick the right followers ƒ Build your power base ƒ Organize tasks properly Three competency of a Leader: there are three competency of leader; Leading the Organization: Leading the organization and put the organization on right path through setting vision, direction and strategy. They also involve in problem solving and decision making. They keenly observe the prevailing politics in the organization and influence other team members. Leaders always try to create a change culture in the organization. For this purpose they take the risks and innovates the new things in the organization by enhancing business skills and knowledge. Leading others: One of the leader’s competencies is leading and managing others. In the organization, a leader manages the effective teams and groups for achievement of organizational objectives by building and maintaining a working relationship between them. They motivate other and build the trust on team members. One of the major tasks of leader is to develop other, which is more important factor. They set a reward system in the organization and mostly link it with the performance or achievement of goals. Leading oneself: This is also very important to leading one self. It is the responsibility of the leader to adopt the changes prevails in the environment. They also increase the self awareness for himself that what is going on in the surroundings of the organization. They always try to lean as more as they can. They also develop the culture of ethics and integrity with in the organization. Developing adaptability, increasing self-awareness, managing yourself, increasing capacity to learn, exhibiting leadership stature, displaying drive and purpose, developing ethics and integrity. Leaders always know about their strengths, weakness, opportunities, challenges and know who they are as an individual. They also know that “Positions do not possess leadership characteristics, only people possess leadership characteristics.” “Leadership is not a matter of luck. The harder you work, the luckier you are.” Power: is the desire to influence, give orders, and carry them out. Achievement: is the need to create/ achieve and build something of value Affiliation: is an interest in knowing and helping others. Power-Oriented Leader: they strive for leadership because of the formal authority it brings. They are the bold and have a dominance role in the organization. Achievement-Oriented Leader: they want to discover, create, and build some thing. They are the creative and innovators and always try to achieve some thing new. They are competent, skillful and productive. Affiliation Leader: they have high concern for human welfare and care about others and has a desire to serve. They are helpful, unselfish and considerate of the well being of others. Points to Remember: An individual will prefer one or two social motives over the others. Preference depends on cultural values, personal traits, and experiences. Leadership is exerted to satisfy one or a combination of the three motives. Motivated by power, achievement, or affiliation Leaders and followers are happiest in situations that allow expression of personal social motives. We will shift now to another important topic “Power”. Does having power make a leader? To answer this question we need to understand basic concepts of power and its relationship with the process of leadership. Power: is the possession of control, authority, or influence over others. (Webster’s). Leadership power comes from the followers’ willingness to be influenced, induced, control and guide. Sources of Leadership Power: The following are the sources of a leader’s power; A leader’s authority most commonly stems from the position to which he or she is appointed and the power to reward or punish individuals. An authority in his or her field has expert power, and others do what is asked of them out of respect. Referent power is based on personal magnetism and charisma. Formal leaders get some of their authority through their position. Informal leaders get their authority through charisma. Understanding Power: before understanding power we need to ask some questions by our self; What is power? How do leaders acquire the power needed for leadership? What are organizational politics? How do organizational politics affect the Leadership? CONCEPT OF POWER: Power: is the ability of one person or group to cause another person or group to do something they otherwise might not have done is the principal means of directing and controlling organizational goals and activities. Influence: is the process of affecting the thoughts, behavior, & feelings of another person. Authority: is the right to influence another person formally given by the organization. A legitimate power is known as authority. Principles of Power: Power is perceived Power is relative Power bases must be coordinated Power is a double-edged sword (used and abused) Historian Lord Acton once said, “Power corrupts, and absolute power corrupts absolutely.” Dependency: The Key To Power: If you want to get things done in a group or organization, it helps to have power. As a leader if you want to maximize your power, you will need to increase others’ dependence on you. You can, for instance, increase your power in relation to your boss by developing knowledge or a skill that he/she needs and for which he/she perceives no one ready to substitute. You will not be alone in attempting to build your power bases. Others, particularly employees and peers, will be seeking to make you dependent on them. The result is a continual battle. While you seek to maximize others’ dependence on you, you will be seeking to minimize your dependence on others, and, of course, others will be trying to do the same. Forms of Power: Personal power – use of personal influence of events. – not arrogance. Professional power – use of professional expertise and competence, embedded within an organization, to make change or make a contribution. Positional power – granted by the organization. Responses of the use of power can be divided into three different behaviors. If positional power is used appropriately the response of followers will be compliance. While excessive power use can create resistance behavior. In case some one is using personal power the response is always commitment of followers. Same can be understood from the following figure. The more you will move toward excessive or coercive power the more you can experience resistance. How do you get power? Key words – Management – People – Motivation – Organization – Team – Culture – Influence – Politics Organizational Factors Which Contribute to Political Behavior Low trust Role ambiguity Democratic decision making Self-serving senior managers High performance pressures Unclear evaluation systems Scarcity of resources Zero-sum allocations Managing Organizational Politics Reduce System Uncertainty Reduce Competition Break Existing Political Fiefdoms Managing Political Behavior: Maintain open communication Clarify performance expectations Use participative management Encourage cooperation among work groups Manage scarce resources well Provide a supportive organizational climate What is Empowerment? Empowerments is the process of enabling or authorizing an individual to think, behave, take action, and control work and decision making in autonomous ways. It is the state of feeling self-empowered to take control of one's own destiny. OR Empowerment is a social action process that promotes participation of people, organizations, and communities towards the goals of increase individual and community control, political efficacy, improved quality of community life and social justice.” (Wallerstein, 1992) Why Important? Powerlessness • Living in poverty Powerlessness • Relatively low in hierarchy • Chronic Stress Disease • Lack of Social Support • Income Inequities Lack of Control Over Destiny • Racial Discrimination 3089910-1192530 What is Empowerment, and How Can Empower Others? The power keys to empowerment: there are two views about power keys to empowerment; Traditional view: in traditional view power is relational in terms of individuals. Empowerment view: In empowerment view, the emphasis is on the ability to make things happen. Power is relational in terms of problems and opportunities, not individuals. Empowering Organizations: “At the organizational level, OE [organizational empowerment] refers to organizational efforts that generate PE [personal empowerment] among members and organizational effectiveness needed for goal achievement” Provide opportunities for staff to be involved in organizational decision-making, program development, and evaluation. Reduce organization hierarchies and supervisory structure so that workers have more control over their work. Encourage professional development and team-building among staff. Provide resources that facilitate the development of political power among people. Regard workers as partners rather than subordinates. What Is the Bottom line? Appropriate employee empowerment is essential to organizational success. Everyone claims to empower employees, but this is easier said than done. A failed organizational empowerment initiative is at best a waste of time. Power sharing and Empowerment: Power sharing: The delegation of power or authority to subordinates in the organization. What’s wrong with this concept? Most of the times, after sharing of power or authority, people think that, employee misuse it and their influence on employee will reduce consequently. Empowerment: being enabled to make independent decisions and take effective action. Guidelines for effective employee empowerment: • Select the right managers. • Share authority instead of giving it up. • Choose the right employees. • Encourage dissent. • Provide training. • Give it time. • Offer guidance. • Accept increased turnover. • Hold everyone accountable. • Share information. • Build trust. • Realize that empowerment has its • Focus on relationships. limitations. • Stress organizational values. • Involve employees in decision-making. • Transform mistakes into opportunities. • Reward and recognize. Leadership and Empowerment: Empowerment involves sharing or giving power or influence to another. It is the process through which leaders enable and help others to gain power and achieve influence within the organization. When employees feel powerful they are more willing to make decisions and take action. How Leaders Can Empower Others: A leader can involve others in selecting their work assignments and tasks He creates an environment of cooperation, information sharing, discussions, and shared ownership of goals. He encourages others to take initiative, make decisions, and use their knowledge. He finds out what others think and let them help design solutions. Leader can give others the freedom to put their ideas and solutions into practice. He recognizes successes and encourages high performance. Participative leadership: some characteristics of a participative leader; Begins with involving people Involvement leads to understanding, which leads to commitment Taps the constructive power of people Creates a humanistic and productive workplace Means understanding the views and interests of all affected Motivation: There are over 140 definitions of the term motivation that have been used in various capacities. Motivation is important because it explains why employees behave as they do. Work Motivation can be defined as the psychological forces within a person that determine the direction of a person’s behavior in an organization, a person’s level of effort, and a person’s level of persistence in the face of obstacles. Definition: Motivation is the result of the interaction of the individual and the situation. Motivation is the processes that account for an individual’s intensity, direction, and persistence of effort toward attaining a goal. The process that initiates, directs, and sustains behavior to satisfy physiological or psychological needs or wants; the energizing and directing of behavior, the force behind our yearning for food, our longing for sexual intimacy, and our desire to achieve. Sources of Motivation: Intrinsic and Extrinsic Motivation; Intrinsically Motivation: is behavior that is performed for its own sake; the source of motivation is actually performing the behavior. Employees who are intrinsically motivated often remark that their work gives them a sense of accomplishment and achievement or that they feel they are doing something worthwhile. Motives are intrinsic when an independent third party cannot easily verify them. Extrinsic Motivation: is behavior that is performed to acquire material or social rewards or to avoid punishment. The behavior is not performed for its own sake but rather for its consequences. This form of motivation may be linked to operant conditioning. Motives are extrinsic when they can easily be verified by an independent third party. Work motivation explains why employees behave as they do. Four prominent theories about work motivation need theory, expectancy theory, equity theory, and organizational justice theory provide complementary approaches to understanding and managing motivation in organizations. Similarly Abraham Maslow’s hierarchy of needs also help us to understand the employees work behavior. Each theory answers different questions about the motivational process. Work motivation can be defined as the psychological forces within a person that determine the direction of a person’s behavior in an organization, a person’s level of effort, and a person’s level of persistence in the face of obstacles. Three Approaches to Motivation: Individual Differences Approach: Treats motivation as a characteristic of the individual. Job & Organization Approach: Emphasizes the design of jobs and the general organizational environment Managerial Approach: Focuses on behaviors of managers, in particular, their use of goals and rewards What Factors Diminish Motivation in the Workplace? • Meaningless tasks • Unpredictable change in • Red tape direction • Lack of recognition • Lack of clear goals • Absence of humor • Failure to set priorities • Micromanagement • Distractions • Failure to delegate • Over-commitment • Bureaucratic hurdles • Information overload • Interpersonal conflict • No positive feedback • Lack of accountability • Lack of autonomy What are Some of the Results of Poor Motivation in the Workplace? • Laziness • Frustration • Conflict • Failure • Lack of meaning • Poor quality • Absence of pride • Resistance • Resentment • Avoidance • Turnover • Tardiness • Detachment • Burnout • Discouragement • Demoralization • Negative organizational culture What are Some of the Most Powerful Motivators in our Lives? • Commitment • Money • Meaning • Recognition • Love • Participation • Emotion • Appreciation • Collegiality • Competition • Hate • Religious beliefs How Can You Motivate Yourself? Stick with your passions. Share your enthusiasm. Hang out with high achievers. Flavor tedium with pleasure. Go with your strengths. Make lists. Stay focused on results. Just do something. How Can You Motivate Others? Associate with highly motivated people. Set a measurable goal. Make a compelling case. Use emotional temptation. Set a fire and keep it going. Make it fun. Explain how. Keep doing something new and different. Celebrate Employee Motivation: Good leadership is key Create a culture of trust Encourage risk taking Foster ownership Goal-directed efforts Applying Motivational Concepts: Recognize individual differences Match people to jobs Set challenging goals Encourage participation Individualize rewards Link rewards to performance Check for equity Don’t ignore money Conditions of Leadership Motivation: Sense of accomplishment Cultural norms Chance to make a difference Independence Opportunity to serve Duty Habit High energy level Perceived need for change o Leadership generates motivation when: o It increases the number and kinds of payoffs o Path to the goal is clear and easily traveled with coaching and direction o Obstacles and roadblocks are removed o The work itself is personally satisfying Money as a Motivator: According to Maslow and Alderfer, pay should prove especially motivational to people who have strong lower-level needs. If pay has this capacity to fulfill a variety of needs, then it should have good potential as a motivator. The Role of Money: They value their services and place high value on them They perceive money as symbol of their achievement They do not remain in low paying organization They are very self – confident Know their abilities and limitations Communication is one of the most important processes that take place in any organizations. Effective communication allows individuals, groups, teams and organizations to achieve their goals and perform at a high level, and it affects virtually every aspect of organizational behavior. One of the defining features of communication is the sharing of information with other people. Another defining feature is reaching a common understanding. In this case, communication is the sharing of information between two or more individuals or groups to reach a common understanding. Reaching a common understanding does not mean that people have to agree with each other. Communication is good or effective when members of organization share information with each other and all parties involved are relatively clear about what information means. Why is this important??? Effective communication is important in organizations because it affects practically every aspect of organizational behavior. Good communication prevents many problems from occurring and serves as motivation in an organization. Why it is important for leaders? As a leader… You need people to understand what you are talking about. You must take into consideration other people’s needs. You need to be able to hear others opinions and ideas. You need to organize and capitalize on the best ideas. You need to delegate. A good leader spend 70% of day on communicating to share vision, motivate team members/employees, pass the information and build the relationship with other people. Communication and Leadership Effective leaders are also effective communicators To be effective, the leader must synchronize verbal and nonverbal behavior Technology has had a meaningful impact on leaders’ communication and coordination Effective leaders are also effective communicators To be effective, the leader must synchronize verbal and nonverbal behavior Technology has had a meaningful impact on leaders’ communication and coordination