LEADERSHIP THAT GETS RESULTS

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LEADERSHIP THAT GETS RESULTS
HDCS 4393/4394InternshipDr. Shirley Ezell
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What should leaders do? Get results!

• New research by consulting firm Hay/McBer draws
  on a random sample of 3,871 executives from a
  worldwide data base of 20,000 global executives.
• The research found 6 distinct leadership styles
  coming from emotional intelligence. These styles
  appear to have a unique impact on the working
  atmosphere of a company.

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What should leaders do? Get results! (Cont.)

• The research indicates that leaders with the best
  results do not rely on only one leadership style.
  They use most of them based on the business
  situation.
• Emotional intelligence is the ability to manage
  ourselves and out relationships effectively.
• The 4 capabilities are self-awareness
• self-management
• social awareness
• social skills.

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What are the Six Leadership Styles?

• Brief grouping includes
• Coercive leaders demand immediate compliance.
• Authoritative leaders mobilize people toward a
  vision.
• Affiliative leaders create emotional bonds and
  harmony.
• Democratic leaders build consensus through
  participation.
• Pacesetting leaders expect excellence and
  self-direction.
• Coaching leaders develop people for the future

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How do we Measure Leaderships Impact?

• David McClelland (Harvard) found that
  leaders with strengths in a critical mass of
  6 or more emotional intelligence competencies
  were far more effective than peers who lacked
  such strengths.
• When he analyzed division heads of a global food
  and beverage company, he found that among leaders
  with a critical mass of emotional intelligence,
  87 placed in the top 3rd for annual salary
  bonuses based on their business performance.
  These leaders and their divisions outperformed
  others by 15 to 20.

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What was McClellands Research Trying to Find?

• The research was trying to find links among
  leadership and emotional intelligence, and
  climate and performance.
• Climate refers to 6 key factors that influence an
  organizations working environment including
  flexibility (how free employees feel to innovate)
  responsibility to the organization, standards
  that people set, clarity that people have about
  the mission and values, and commitment to a
  common purpose.

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What were the Findings of the Research?

• A. All 6 leadership styles have a measurable
  effect on each aspect of climate.
• B. There was a direct correlation of the impact
  of climate on financial results such as return on
  sales, revenue growth, efficiency, and
  profitability.
• C. Leaders who used styles that affected
  the climate positively had decidedly
  better results than those who did not.
• D. Climate was not the only driver of
  performance, equally important were
  economic conditions, and competitive
  dynamics. But climate accounts for
  nearly a 3rd of the results.

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The Leadership Style

• A. Coercive style is the least effective
  in most situations. Flexibility is
  the hardest hit, and the leaders extreme
  top-down decision making kills new ideas on the
  vine. Coercive leadership has a damaging effect
  on the rewards system, it erodes employee pride.
  In addition it undermines motivating people who
  want to see how their job fits into a grand
  shared mission.
• When should the coercive style be used? To
  change the immediate direction of a company
  losing money, or when a hostile takeover is
  looming and with problem employees with whom all
  else has failed.

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The Leadership Style (Cont.)

• B. The Authorative Style Of the 6 leadership
  styles, research shows that this style is most
  effective in driving up every aspect of climate.
  The Authorative leader is a visionary, that
  motivates people by making clear to them how
  their work fits into a larger vision. People
  working for authorative leaders understand that
  what they do matters. This style maximizes
  commitment to the organizations goals and
  strategy. An authorative leader states the end
  but generally gives people plenty of leeway to
  devise their own means. It works well in almost
  any business situation.

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The Leadership Style (Cont.)

• C. When doesnt the Authorative style work?
• When leaders are working with a team of experts
  or peers who are more experienced than the leader
  is.
• If a manager trying to be authorative becomes
  overbearing, he can undermine the egalitarian
  spirit of an effective team.

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The Leadership Style (Cont.)

• D. The Affiliative Styles general positive
  impact makes a good all-weather approach. Leaders
  should use it when trying to build team harmony,
  increase morale, improve communication, or repair
  broken trust.
• It should not be used alone and when
  people need clear directives to navigate
  through complex challenges. This style
  leaves them rudderless.

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The Leadership Style (Cont.)

• E. The Democratic Style helps a leader
  spend time getting peoples ideas and buy-in
  and builds trust , respect and commitment.
  This style has its drawbacks it can result in
  endless meetings to build consensus. The
  democratic style works best when a leader is
  uncertain about the best direction to take and
  needs ideas and guidance from able employees. It
  does not make sense when employees are not
  competent or informed enough to offer sound
  advice.

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The Leadership Style (Cont.)

• F. The Pacesetter Style should be used sparingly.
  It often destroys climate because many employees
  feel overwhelmed by the demands for excellence.
  As for rewards, the pacesetter either gives no
  feedback on how people are doing or jumps in to
  take over when they think they are lagging. This
  approach works well when all employees are
  self-motivated, highly competent, and need little
  direction or coordination.
• It is a style that should not be used by itself.

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The Leadership Style (Cont.)

• G. The Coaching Style is used least often. Many
  leaders feel they dont have the time in this
  high-pressure economy for the slow and tedious
  work of teaching people and helping them grow.
  But actually, after a first session, it takes
  little or no extra time and has a positive impact
  on climate and performance.
• This style is not effective when employees are
  resistant to learning or changing their ways and
  it flops if the leader lacks the expertise to
  help the employee along.

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Leaders Need Many Styles

• Generally, the more styles a leaders uses the
  better. Mastering the authorative, democratic,
  alleviative, and coaching styles help create the
  very best climate and business performance.
• A leader can build a team with members who employ
  styles they lack.