Topic: Compare and contrast two leadership theories.
Principles of Management, Health Economics and Health Policy
Word count : 2300
Introduction
To many, leaders are not born, but made. It is more and more recognised, however, that to be a good leader, one must have the experience, commitment, knowledge, patience, and above all, the ability to negotiate and work with others to accomplish goals. Good leaders are in this way made, not born. Good leadership is developed through a ceaseless process of self-study, training, education, and the accretion of pertinent experience (Bass & Bass, 2008). According to Boulding (1956) in book “The Image: Knowledge in Life and Society”, illustrated the general transdisciplinary theory of knowledge and human, social, and organizational conduct. He expressed that the premise of a good leadership is solid character and selfless dedication to an organization (Jenkins, 2013). From the point of view of employees, leadership includes everything a leader does that influences the achievement of goals and the well-being of employees and the organization (Abbasialiya, 2010). Trustworthiness and dependability is often key to positions of leadership as trust is vital to all manner of organized human groups, whether in education, the military, religion , business, government, or international organizations (Lamb & McKee, 2004; Ivancevich, Konopaske, & Matteson, 2007).
Leadership is arguably one of the most observed, yet least understood phenomena on earth (Burns, in Abbasialiya, 2010). With time, researchers have propositioned many various styles of leadership as there is no specific style of leadership that can be viewed as universal. Despite the numerous different styles of leadership, an effective leader motivates, inspires, and directs activities to help accomplish group or organizational objectives. On the contrary , an ineffective leader does not add to organizational advances and can, in fact, take away from organizational goal accomplishment. According to Naylor (1999), effective leadership is a result of the heart and an effective leader must be visionary, creative, passionate, imaginative, flexible, innovative, inspiring, experimental, courageous, and introduces change.
Leadership Theories
Charry (2012), identified eight major leadership theories. While the earlier of these theories focused on the qualities that distinguish leaders from followers, later theories looked at other variables including situational factors and skill levels. Although new theories are emerging all of the time, most can be classified as one of Charry’s eight major types:
1. “Great Man” Theory
2. Trait theory
3. Contingency theory
4. Situational theory
5. Behavioural theory
6. Participative theory
7. Transactional/Management theory
8. Relationship/ Transformational theory
In this paper, we shall compare and contrast Contingency and Transformational theory
Contingency Theory of Leadership
Contingency theories of leadership emphasises on particular factors identified with the environment that might help determine which style of leadership is most appropriate for a particular work situation. As per this theory, no single leadership style is suitable in all circumstances. Accomplishment depends upon a number of factors, including leadership style, characteristics of followers and features of the situation (Charry, 2012). A contingency factor, thus any condition and in any relevant environment, should be considered when planning an organisation or its elements(Naylor, 1999). Contingency theory states that effective leadership depends on the degree of fit between a leader’s qualities and leadership style and that demanded by a specific situation (Lamb, 2013).
Contingency of leadership suggests that the organizational or work group context influences the degree to which given leader behaviour and traits will be successful. Contingency theories rose to eminence in the late 1960s and 1970s. The more well-known contingency theory is Fiedler’s contingency theory. Proposed in 1967, Fiedler’s contingency theory was the first to indicate how situational factors relate with leader behaviour and trait to impact leadership effectiveness. The theory states that the favourability of the situation decides the effectiveness of task and person-oriented leader behaviour.
Favourability is defined by-
1. the regard and faith that followers have for the leader
2. the degree to which followers’ obligations can be structured and performance estimated
3. the influence the leader has over followers’ rewards.
The situation is most advantageous when followers regard and have faith in the leader, the task is extremely structured, and the leader has control over punishments and rewards of the followers.
Fiedler’s research showed that the leaders who were task-oriented were more efficient when the situation was either exceedingly great or very troublesome, but that person-oriented leaders were more viable in the reasonably favourable or unfavourable situations. The theory did not really state that leaders could adjust their leadership styles to various situations, but that leaders with different leadership styles would be more efficient when placed in situations that matched their preferred style.
Example of Contingency Theory of Leadership
Leaders need to investigate situation components of the various diverse conditions and implement different leadership to inspire and motivate subordinates, and then acknowledge effective management. For example, In the military, leaders have greater power , strict sense of discipline and high morale. The compelling leadership is rank wise declarations and commands to make subordinate clear of mission goals and objectives. On the other hand, in a cooperative type of organization, using the method of commanding tasks to subordinates would not work. Another example is of Foxconn which is a distinguished and new technology venture .Based on vast size of the business and huge number of workers, it lacks a healthy interpersonal relations among subordinates and it needs to put a clear goals based structure to various levels in the organisation, and also need strong position of power to lead such expansive number of workers. Owing to these factors , Foxconn have the military method and the task-orientated leader would be appropriate suitable to lead its subordinates and workers.
Transformational Theory of Leadership
Transformational theories, also known as Relationship theories, center around the associations framed amongst leaders and followers. In these theories, leadership is the procedure by which a man draws in with others and can “make an association” that outcomes in increased motivation and profound quality in both leaders and followers. Relationship theories are regularly confused with charismatic leadership theories in which leaders with specific qualities, such as extroversion, confidence, and esteemed values, are seen as highly capable to motivate followers (Lamb, 2013). Transformational leaders inspire and motivate people by helping members of the group see the significance and higher good of the errand. These leaders are centered around the performance of the members of the group, but also on every individual to fulfilling his or her potential. Leaders of this style are often found to have high moral and ethical standards (Charry, 2012)
Bass’s transformational leadership theory recognises four qualities of effective leadership, as follows:
1.charisma
2. inspiration
3. intellectual stimulation
4.consideration.
A leader who displays all these qualities will motivate followers to be high achievers and put the long-term benefit of the organization ahead of their personal short-term benefits, according to the theory. E
mpirical research has upheld many of the theory’s propositions.
Transformational leadership is centered around the execution of new ideas, change, adaptability, flexibility, and constant improvement. Transformational leaders – transform followers. The course of impact is one way—from leader to follower. This is not like the transforming leadership where a follower could transform leaders by the collaboration process of leaders and followers. Transformational leaders may grow a follower’s range of needs; may alter followers’ self-interest, and may advance a follower’s need to a greater Maslow level, may grow followers’ desire of success to enable the followers to identify and comprehend an objective of organisation that goes beyond past achievements. In transformational leadership, followers continue to be subordinates of the transformational leader, irrespective of whatever else might be transformed (Wren 1995).
Example of Transformational Theory of Leadership
Transforming the role of the leader and follower is a distinctive feature of transformational leadership, which means that leaders fully know their followers and subordinates, and demands also through motivation to attain high expectation. McDonald’s is one of the largest and the most popular fast food groups , its huge success is closely connected with perfect human resource management. Before managers choose leadership style and inspiring method, they set up the humanist management idea and completely comprehend the contrast between the demands of employees’ to give full play to the initiative ,activity, enthusiasm and creativity. Later, subordinates would feel individual consideration and fulfilment with their works. Thus eventually, McDonald would get the advantage and benefit through its leadership.
Guidelines for Contingency and Transformational Leadership ,Yukl (2006)
Contingency Theory of Leadership Transformational Theory of Leadership
1. Maintain situational awareness. Understand the external trends that effect performance.
2. Use more planning for a long, complex task. Break the tasks down to components and sequence them for optimal performance.
3. Consult more with people who have relevant knowledge. The leader should tap the resources of others in order to achieve the best performance.
4. Provide more direction to people with interdependent roles. Strive for more coordinated actions between interdependent team members.
5. Provide more direction and briefings when a crisis occurs. Remain calm and deal with the crisis in a systematic and decisive manner
6. Monitor a critical task or unreliable person more closely. Detect and correct performance problems in a constructive, non-punitive way.
7. Provide more coaching to an inexperienced subordinate. Encourage the inexperienced worker to vocalize his/her areas for improvement.
8. Be more supportive to someone with a highly stressful task. The leader should reduce, rather than increase stress.
1. Articulate a clear and appealing vision. A clear vision can give the work meaning and provide a common purpose.
2. Explain how the vision can be attained. There must be a convincing link between the vision and the attainment of the vision.
3. Act confident and optimistic. Demonstrate self-confidence about the attainment of the vision.
4. Express confidence in followers.
5. Use dramatic, symbolic actions to emphasize key values.
6. Lead by example. Actions speak louder than words. Be a role mode
Criticism of the theories
Contingency Theory of Leadership Transformational Theory of Leadership
Contingency leadership theory was a prevalent origination of leadership; however, as involvement with the original Hersey & Blanchard model increased, issues with this construct appeared. Nicholls (1985) described three flaws with Contingency leadership theory with respect to its continuity, consistency, and conformity. Bass (2008) seconded it, observing absence of conceptual contradictions, internal consistency, and other ambiguities. Other scholars suggested additional shortcomings of Contingency leadership theory (Bass, 2008; Glynn & DeJordy, 2010). Research revealed that no specific leadership style was effective universally and behavioral theories relied on abstract leadership types that were hard to distinguish (Glynn & DeJordy, 2010). Empirical research encourages the idea that Transformational leadership positively impacts follower and organizational performance (Diaz-Saenz, 2011). On the other hand, various scholars criticize Transformational leadership (Beyer, 1999; Hunt, 1999; Yukl, 1999; 2011). Yukl (1999) reprimanded Transformational leadership theory and a considerable number of his criticisms retain their importance even today. He noted that the basic underlying mechanism of leader impact at work in Transformational leadership was no very clear and that there was little empirical work that existed to examine the effect of Transformational leadership on work groups, teams, or organizations. He along with other authors noted an intersection between the concepts of inspirational motivation and idealized influence (Hunt, 1999; Yukl, 1999). Yukl(2011) suggested that the theory lacked satisfactory identification of the influence of situational and context variables on effectiveness of leadership .
Summary of key differences and similarities of the theories
Contingency theory of leadership Transformational theory of leadership
1. Focus on the exchange between leaders and followers and emphasize work products or outcomes. (Bass, 1985)
2. Focus on leadership behaviors to the exclusion of leadership traits or individual differences
3. Approaches advocate for the right leadership style and behaviors for the context and situation faced by the organization(Bass2008; Yukl2011) 1. Relation-oriented leadership is people focused, inspirational, persuasive, and intellectually stimulating (Bass, 2008)
2. Looks at leadership behaviors and individual differences.
3. Applies to a wide range of situations and contexts and evidence suggests that it fits a variety of diverse cultural contexts. Involves universal approach to leadership(Hersey & Blanchard, 1996)
Addressing leadership challenges
Contingency leadership theory promotes coordinating the leader to the situation if viable or coordinating the orientation of leadership(task versus relation) to the maturity of the follower (Hersey & Blanchard, 1996). Leadership development endeavours targeted at enhancing effectiveness of organisation should utilize instruments intended to evaluate the level of relation-orientation and task- orientation of the leader in order to set up a fit with the present level of follower maturity. Existing leaders should receive skills and competency training aimed at developing their task-oriented or relational-oriented skill deficits. Previous empirical research showed that level of follower maturity identified with former education and training interventions (Bass, 2008; Hersey & Blanchard, 1996).
Bass & Riggio (2006) recommended that Transformational leadership development could not centre around on specific, particular, narrow skills. Bass (2008) argued for Transformational leadership as an indication of the “whole integrated person and their deeply held values and self-concepts” . Development in Transformational leadership requires a extensively established educational procedure. Burns (1978) concurred, advocating for the joint inclusion of facilitators and students in an attempt to reach an end goal “higher stages of moral reasoning” and higher levels of judgment by an individual (Burns, 1978, p. 449). In view of these proposals for a broad educational process, focusing on leader’s values and self-concepts, aimed at higher stages of moral reasoning, it is logical to question whether Transformational Leadership developmen
t is possible.
Conclusion
These leadership models of Transformational and Contingency Leadership, gives the premise for a extensive review of theories of leadership within the framework of their similarities and contrasts and a concluding discussion on how they may attend present day leadership issues and challenges has been a immense task. To analyse, compare and differentiate leadership styles, research on history, psychology, religion, sociology and business are a couple of areas for consideration in the search for an improved and better approach and understanding of leadership.