Learning Objectives:

1. discussed the concept of leadership and motivation in the perspective of work setting;
2. explained the different leadership approaches;
3. narrated how leaders use power and influence;
4. outlined the different leadership and motivation theory;
5. assessed own qualities which may help in becoming a good leader.

Lesson 1: An Introduction to Leadership

We need good leaders to help guide us and make the essential large-scale decisions that keep the world
moving. Everyone can be a leader, yet only a select few can become a great leader. Our society is usually quick to
identify a bad leader, but do we know how to identify a good one? What would most people say makes a good leader?

Concept of Leadership

Leadership is a process by which a person influences others to

accomplish an objective and directs the organization in a way that
makes it more cohesive and coherent. A process whereby an
individual influences a group of individuals to achieve a common goal
(Northouse, 2007, p3). It is a process of social influence, which
maximizes the efforts of others, towards the achievement of a goal
(Kruse, 2013).

Specific Leaders Skills

Another way to think about leadership is that excellent leaders possess specific skills or engage in behaviors that
poor leaders do not. After observing thousands of leaders in a variety of situations, Yukl (1982), Carter (1952)),
Hemphill and Coons (1950), and Gibbs (1969) have proposed behavioral “theory.” According to these researchers,
leaders do the following:

 Initiate ideas  Communicate formally with subordinates

 Informally interact with subordinates  Reward and punish subordinates
 Stand up for and support subordinates  Set goals
 Take responsibility  Make decisions
 Develop a group atmosphere  Train and develop employee skills
 Organize and structure work  Solve problems

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 Factors of Leadership
1. Leader

You must have an honest understanding of who you are, what you know, and what you can do. Also, note
that it is the followers, not the leader or someone else who determines if the leader is successful. If they do not trust
or lack confidence in their leader, then they will be uninspired. To be successful you have to convince your followers,
not yourself or your superiors, that you are worthy of being followed.

2. Followers
Different people require different styles of leadership. For example, a new hire requires more supervision than an
experienced employee does. A person who lacks motivation requires a different approach than one with a high degree
of motivation. You must know your people! The fundamental starting point is having a good understanding of human
nature, such as needs, emotions, and motivation. You must come to know your employees' be, know, and do
attributes.

3. Communication
You lead through two-way communication. Much of it is nonverbal. For instance, when you “set the example,” that
communicates to your people that you would not ask them to perform anything that you would not be willing to do.
What and how you communicate either builds or harms the relationship between you and your followers.

4. Situation
All situations are different. What you do in one situation will not always work in another. You must use your judgment
to decide the best course of action and the leadership style needed for each situation. For example, you may need
to confront an employee for inappropriate behaviour, but if the confrontation is too late or too early, too harsh or too
weak, then the results may prove ineffective.
Self-serving leaders are not as effective because their employees only obey them, not follow them. They succeed in
many areas because they present a good image to their seniors... but at the expense of their workers. Good
leadership is honorable character and selfless service to your organization. In your employees' eyes, your leadership
is everything you do that effects the organization's objectives and their well-being
Lesson 2: Leadership Approaches
The three approaches leadership are trait, leadership styles and contingency. Each approach has different types
theorized by famous management gurus.

1. Trait Approaches
All leaders have certain characteristics which distinguish them from non-leaders. The three major characteristics
are the following:
1. Physical Features – height, appearance, age, and body built.
2. Ability- intelligence, knowledge, and fluency of speech.
3. Personality – dominance, emotional control, expressiveness, introversions-extraversion.

a. Great Man Theory

There is the assumption that leaders are born with innate qualities; they are destined to lead. Thomas Carlyle
was deeply involved in the Great Man Theory of leadership in 19th Century. The theory was formulated by
analyzing the behaviour of men especially those in the military. The theory implies, women were not considered
then and the theory was only applicable to men, thus the title great man.

b. Trait Theory
The positive virtues of human attributes and the characteristics of leaders are central to this theory. The research
for leaders based on key characteristics and attributes is in line with the belief that leaders can be selected and
installed into leadership positions. The trait theory is still used in the military establishment.
The four primarily traits that leaders should possess are as follows:
1. Emotional Stability- leaders are calm and confident during stress.
2. Admitting Error- They do not cover up their mistakes.
3. Good Interpersonal Skills – Leaders can communicate well and persuade others.
4. Intellectual Breadth- They are broad-minded and are able to understand a wide range of areas.

2. Leadership Style Approach

This approach focuses on leadership behaviour. The effectiveness of leaders depends on the acquired patterns
of behaviour which can be learned. The Ohio State University identified two leadership dimensions: consideration
an initiating structure. The University of Michigan, however, proposed three types of leadership behaviour: task-
oriented behaviour, relationship-oriented behaviour and participative leadership.

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 a. Theory X-Theory Y
It is founded by Douglas McGregor, a famous behaviourist theory.

 Theory X - managers believe that workers inherently dislike work and will avoid it as much as possible.
Workers must be forced to work. This is done by threatening, coercing, and punishing to get the effort
required of them to do the task.

 Theory Y – Managers believe that workers possess the initiative to work. Workers have the capacity to
innovate on the job.

b. Leadership Grid
This leadership style approach was developed by Robert Blake and Jane Mounton. They conceptualized the
Leadership Grid. The theory focuses on task and employee orientations of the managers and the combination of concerns
between two extremes. The horizontal axis refers to concern for production while the vertical axis deals with concern for
people. Through their positions on the grid, five types of leaders are identified. According to Blake and Mouton, the team
leader type is the most effective because it has high concern for both employees and the task.

The Levels of Strength on Concern for people and concern for production:

1. Impoverished Management – Low Results/Low People

The Impoverished or "indifferent" manager is mostly ineffective.
With a low regard for creating systems that get the job done, and
with little interest in creating a satisfying or motivating team
environment, this manager's results are inevitably disorganization,
dissatisfaction and disharmony.

2. Authoritarian Leaders – High Results/Low People

Managers, people in this category believe that their team
members are simply a means to an end. The team's needs are
always secondary to its productivity. This type of manager is
autocratic, has strict work rules, policies and procedures, and can
view punishment as an effective way of motivating team members.
This approach can drive impressive production results at first, but
low team morale and motivation will ultimately affect people's
performance, and this type of leader will struggle to retain high
performers.

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 3. Middle-of-the-Road Management – Medium Results/Medium People
A Middle-of-the-Road or "status quo" manager tries to balance results and people, but this strategy is not as effective
as it may sound. Through continual compromise, they fail to inspire high performance and also fail to meet people's needs
fully. The result is that their team will likely deliver only mediocre performance.

4. Country Club Management – High People/Low Results

The Country Club or "accommodating" style of manager is most concerned about their team members' needs and
feelings. They assume that, as long as their people are happy and secure, they'll work hard. What tends to be the result is a
work environment that is very relaxed and fun, but where productivity suffers because there is a lack of direction and control.

5. Team Management – High Production/High People

According to the Blake Mouton model, Team Management is the most effective leadership style. It reflects a leader who
is passionate about their work and who does the best they can for the people they work with. Team or "sound" managers
commit to their organization's goals and mission, motivate the people who report to them, and work hard to get people to
stretch themselves to deliver great results. But, at the same time, they're inspiring figures who look after their teams. Someone
led by a Team manager feels respected and empowered, and is committed to achieving her goals.

c. Participative Leadership
Leaders allow participants to contribute to decision-making. The participants are subordinates, peers, superiors, and
other stakeholders. Kurt Lewin developed a framework based on a leader’s behaviour.

Three Types of Leaders:

1. Democratic Leaders- allow the team members to provide inputs before making a decision. Democratic leadership is
one of the most effective leadership styles because it allows lower-level employees to exercise authority they'll need to use
wisely in future positions they might hold. It also resembles how decisions can be made in company board meetings.

For example, in a company board meeting, a democratic leader might give the team a few decision-related options. They
could then open a discussion about each option. After a discussion, this leader might take the board's thoughts and feedback
into consideration, or they might open this decision up to a vote.

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 2. Autocratic Leaders -. In this leadership style, the leader makes decisions without taking input from anyone who
reports to them. Employees are neither considered nor consulted prior to a direction, and are expected to adhere to the
decision at a time and pace stipulated by the leader.

An example of this could be when a manager changes the hours of work shifts for multiple employees without consulting
anyone -- especially the effected employees.

Frankly, this leadership style stinks. Most organizations today can't sustain such a hegemonic culture without losing
employees. It's best to keep leadership more open to the intellect and perspective of the rest of the team

3. Laissez-faire Leaders- The French term "laissez faire" literally translates to "let them do," and leaders who embrace
it afford nearly all authority to their employees.
In a young start up, for example, you might see a laissez-faire company founder who makes no major office policies
around work hours or deadlines. They might put full trust into their employees while they focus on the overall workings of
running the company.
Although laissez-faire leadership can empower employees by trusting them to work however they'd like, it can limit their
development and overlook critical company growth opportunities. Therefore, it's important that this leadership style is kept in
check.

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 3. Contingency Approaches
The contingency approaches, the leadership style depends on the situation. Some leader behaviors are effective in
certain situations while others are not.

1. Situational Leadership – Leadership is seen as specific to a certain situation. This means that the leader
adapts to whatever situation he/she is in. The theory suggest that distinctive leadership styles are required for the
different levels in an organization.
Several factors affect situation as well as the decisions of leaders. These include motivation and capability of
followers. The relationship of the leader and followers may be another factor. There are also cases in which the
situation and the leader’s perception of the followers affect what the leader does more than what the situation implies.

2. Path Goal Theory of Leadership – It describes the way leader support his/her followers in achieving their
goals.

 Supportive Leadership- The leader supports a friendly environment by looking after his/her
subordinates’ welfare. This increase the self-esteem of the followers. This approach is best when the job
is either stressful or boring.

 Directive Leadership - The leaders tell his/her followers what should be done. Examples are schedule of
work and number of times they should be performed. Rewards are increased as needed. This leadership
style is effective for tasks that are unstructured and complex. It increases the follower’s security on the job
especially if they are inexperienced.

 Participative Leadership - The leader consults with his/her followers and considers their ideas. This
approach works when the followers are capable of providing and suggesting ideas.

 Achievement Leadership – The leader trusts his/her followers’ capabilities. He/she sets challenging
goals both work and self-improvement of subordinates. This approach is best when the task is complex.

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Lesson 3: Transactional and Transformational Theory of Leadership

Transformational Leadership is always "transforming" and improving upon the company's conventions. It
is always "transforming" and improving upon the company's conventions. Employees might have a basic set of tasks
and goals that they complete every week or month, but the leader is constantly pushing them outside of their comfort
zone.

When starting a job with this type of leader, all employees might get a list of goals to reach, as well as deadlines
for reaching them. While the goals might seem simple at first, this manager might pick up the pace of deadlines or give
you more and more challenging goals as you grow with the company.

Transactional Leadership employees for precisely the work they do. A marketing team that receives a
scheduled bonus for helping generate a certain number of leads by the end of the quarter is a common example of
transactional leadership.

When starting a job with a transactional boss, you might receive an incentive plat that motivates you to quickly
master your regular job duties. For example, if you work in marketing, you might receive a bonus for sending 10
marketing emails. On the other hand, a transformational leader might only offer you a bonus if your work results in a
large amount of newsletter subscriptions.

Transactional leadership helps establish roles and responsibilities for each employee, but it can also encourage
bare-minimum work if employees know how much their effort is worth all the time. This leadership style can use
incentive programs to motivate employees, but they should be consistent with the company's goals and used in addition
to unscheduled gestures of appreciation.

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Lesson 4: Leadership through Power

1. Expert Power – power that individuals have because they have knowledge. The knowledge must be
something that others in an organization need and others must be aware that leader knows something. For
example: Soldier knows how to get around the military bureaucracy has more power than those who know only
how to follow established channels and procedures.

2. Legitimate Power – power that individuals have because of their elected or appointed position. Leaders with
legitimate power are best able to get employees to comply with their orders but have low follower satisfaction. For
example, a sergeant has power over a corporal, a vice president has a power over supervisor, and a coach has
power over players on football team.

3. Referent Power – power that exist when followers can identify with a leader and the leader’s goal. Leaders
can obtain such referent power by complimenting others, doing favours, and generally being friendly and
supportive. Employees with referent power are most committed to their organizations and satisfied with their jobs.

4. Reward Power – power that exists to the extent that the leader has the ability and authority to provide. It
involves having control over both financial rewards-salary increases, bonuses, or promotions- and nonfinancial
rewards-praise or more favourable work assignment (Ward, 2001).

5. Coercive Power – power that comes from the leader’s capacity to punish others. Punishment includes such
actions as firing or not promoting and the more subtle action of giving someone the
cold shoulder.

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Lesson 5: An Introduction to Motivation

Motivation is the psychological process of directing behaviour.

It is a powerful energy that drives and excites employees, which
results in their maximum contribution. Setting and achieving
goals, clear expectations, recognition, feedback, as well as
encouraging management all contribute to an increase in
workplace motivation. It flourishes in a positive work environment,
which is why so many leaders want to learn new ways to motivate
their workforce. For many employees, work is about the money.

Motivation is different for each of your employees. Every

employee has a different motivation for why they work. But we all
work because we obtain something that we need from work. The
something that we need that we obtain from work has an impact
on our morale and motivation.

One approach to employee motivation has been to view "add-ins" to an individual's job as the primary factors in improving
performance. Endless mixes of employee benefits—such as health care, life insurance, profit sharing, employee stock
ownership plans, exercise facilities, subsidized meal plans, child care availability, company cars, and more—have been
used by companies in their efforts to maintain happy employees in the belief that happy employees are motivated
employees.

Many modern theorists, however, propose that the motivation an employee feels toward his or her job has less to do with
material rewards than with the design of the job itself. Studies as far back as 1950 have shown that highly segmented
and simplified jobs resulted in lower employee morale and output. Other consequences of low employee motivation
include absenteeism and high turnover, both of which are very costly for any company.

Work Motivation is a set of energetic forces that originate both within as well as beyond an individual’s being, to initiate
work-related behavior, and to determine its form, direction, intensity, and persistence.
 Direction pertains to those activities in life to which you direct your energy. Organizations want employees who
will direct themselves to their work responsibilities, and many employees want jobs that will inspire their motivation
and commitment.
 Intensity pertains to the amount of motivation that is expended in pursuit of an activity. Organizations want
employees who will exhibit high levels of energy. Such people are often referred to as “self-starters” or “self-
motivated” individuals, implying that they bring a high level of energy to the job and do not require organizational
inducements to work hard.
 Persistence, pertains to sustained energy over time. It is concerned with how long the
energy will be expended.

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Lesson 6: Theories of Motivation

The six well-known theories of motivation are the following: equity theory, expectancy theory, cognitive evaluation theory,
goal-setting theory, control theory, and social cognitive theory.

1. Equity Theory

John Stacey Adams (1963) developed the equity theory which proposes
that employees are motivated when they feel they are treated fairly. Employees tend
to compare their salaries and adjustments in pay and rank with those of other
employees. It seeks to maintain equity or fairness in their own inputs and outputs
against those others. Inputs include all the contributions of the employee on the job
such as time, skills, hard work, loyalty, commitment, training, educational background
and so on. Outputs, include salary, employee benefits, recognition, reputation, sense
of achievement and others.

The easiest way to see the equity theory at work, and probably the most common way it does impact employees, is
when colleagues compare the work they do to someone else that gets paid more than them. Equity theory is at play anytime
employees say things like, 'John gets paid a lot more than me, but doesn't do nearly as much work,' or 'I get paid a lot less
than Jane, but this place couldn't operate without me!' In each of those situations, someone is comparing their own effort-to-
compensation ratio to someone else's and is losing motivation in the process.

Equity is achieved if the employees’ perceived ratio of inputs to

outputs equals that of the relevant others. It is inequitable, however if
they perceived ratio of inputs to outputs is not equal to that of the
relevant others. In the other hand, consequence of inequity is
employees may reduce their inputs based on a perceived equitable
level of output.

2. Expectancy Theory
In 1964, Victor Vroom developed the expectancy theory which explains employees are
motivated to work when they expect to achieve something they want from their jobs. It
assumes that employees know exactly what they have to do to be rewarded. In other words,
employees are impacted or driven by the probability of completing the task and the possible
outcome after completing it. Expectancy Theory basically states that a person behaves the
way they do because they are motivated to select that behaviour ahead of others because of
what they expect the result of that behaviour to be.

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 Their views are influenced by three factors: expectancy,
valence, and instrumentality. Expectancy assumes that
increased efforts will lead to increased performance. The
factors considered are the employee’s personality,
experiences, and self-confidence. Instrumentality is
belief that the likelihood of achieving a desired
performance level will lead to obtaining a particular
reward. Valence is the degree by which an employee
values the outcome. If expectancy is high (The
employee thinks he/she can do the required tasks),
instrumentality is high (The employee thinks he/she
will get the desired outcome), and valence is high (The
employee really wants the outcome) then motivation is
high.
As a manager, this means that one of your team members will only choose the right behaviour (to work hard) if they
perceive the outcome of choosing this option is the most desirable for them. In simple terms, that could mean that they might
gain someone or that they might not lose something. Expectancy Theory can help us to understand how individual team
members make decisions about behavioural alternatives in the workplace. We can then use this information as an input for
creating motivated employees.

3. Cognitive Evaluation Theory

Cognitive evaluation theory as put forward by Deci and Ryan (1985) is examined. It is designed to explain the effects
of external consequences on internal motivation. Cognitive Evaluation Theory suggests that there are two motivation systems;
intrinsic and extrinsic which correspond to two kinds of motivators.
a. Intrinsic Motivators
Achievement, responsibility, and competence; motivators that come from
the actual performance of the task or job — the intrinsic interest of the
work.
b. Extrinsic Motivators
Pay, promotion, feedback, working conditions — things that come from a
person’s environment, controlled by others. One of the other of these may
be a more powerful motivator for a given individual.

Intrinsically motivated individuals perform for their achievement and satisfaction. If they come to believe that they are
doing some job because of the pay or the working conditions or some other extrinsic reason, they begin to lose motivation.
In the other hand, the belief is that the presence of powerful extrinsic motivators can reduce a person’s intrinsic motivation,
particularly if the extrinsic motivators are perceived by the person to be controlled by people.

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 4. Goal-Setting Theory
In 1960’s, Edwin Locke put forward the Goal-setting theory of
motivation. This theory states that goal setting is essentially linked to
task performance. It states that specific and challenging goals along
with appropriate feedback contribute to higher and better task
performance. Performance goals is determine how an individual
accomplishes a particular tasks. Difficult task performance goals may
results in higher levels of performance than easy-to-meet goals
because the employees exert much effort, have clearly defined levels
of performance, and undergo careful strategy planning and
development. However, there are variables that affect goals on
performance such as: employees must be committed to the goal,
performance feedback must be present, and employees should
possess the ability required to perform such tasks.

In simple words, this theory generally considered the foundation for SMART goals, a popular goal setting framework.
This acronym suggests goals should be Specific, Measurable, Attainable, Relevant, and Time-bound for best results. It
focuses on the impact of performance goals on immediate tasks and not on multiple instances performances. Thus, goals
indicate and give direction to an employee about what needs to be done and how much efforts are required to be put in.

5. Control Theory

The theory of motivation proposed by William Glasser and it contends that behavior
is never caused by a response to an outside stimulus. Instead, the control theory
states that behavior is inspired by what a person wants most at any given time:
survival, love, power, freedom, or any other basic human need.
Control Theory makes 3 assumptions.
Assumption 1: Human beings are a system in and of themselves.
Assumption 2: Society is also a system.
Assumption 3: Systems are self-regulating

By assuming that human beings and society as a whole are systems, Control Theory
allows you to break these systems down into their smaller components. The
relationship between those components can be understood as individual pieces, but
also in relation to one another and as an entire system. Assuming that systems are
self-regulating means that people and the organizations that they belong to will behave
in ways that aim to reestablish an equilibrium in the system when change occurs (PSUWC, 2016). People behave according
to their basic needs, and when the needs of an employee align with organizational

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demands/standards, the desired behavior is achieved (Luria, 2008)
 6. Social Cognitive Theory
Social Cognitive theory emphasizes the role of human cognition and environmental influences in human motivation.
Individuals learn by observing others. Through observation of and interaction with others, learners gain knowledge, rules,
skills, strategies, beliefs, and form emotions. In Social Cognitive theory, 'individuals act based on their thoughts, goals, beliefs,
and values (Schunk, 2011),’ rather than out of regard to behavioural consequences. They set goals for themselves and are
motivated to accomplish these goals. Eventually, behaviour becomes self-regulated.
Motivation towards Social Cognitive learning is
categorized by three main areas known collectively as
triadic reciprocality, which include:

• Personal factors- cognition, self-efficacy, motives and

personality
• Behaviors- complexity, duration, skill, etc.
• Environmental influences- situations, roles, models and
relationships

Lesson 7: Importance and Benefits of Motivation in the Organization

Importance of Employee Motivation

There are several reasons why employee motivation is important. Mainly because it allows management to meet the
company’s goals. Without a motivated workplace, companies could be placed in a very risky position.
Motivated employees can lead to increased productivity and allow an organisation to achieve higher levels of output.
Imagine having an employee who is not motivated at work. They will probably use the time at their desk surfing the
internet for personal pleasure or even looking for another job. This is a waste of your time and resources.

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 Benefits of Motivated Employees

Employee motivation is highly important for every company due to the benefits that it brings to the company. Benefits
include:
1. Increased employee commitment
When employees are motivated to work, they will generally put their best effort in the tasks that are assigned to them.
2. Improved employee satisfaction
Employee satisfaction is important for every company because this can lead towards a positive growth for the company.
3. On-going employee development
Motivation can facilitate a worker reaching his/her personal goals, and can facilitate the self-development of an individual.
Once that worker meets some initial goals, they realise the clear link between effort and results, which will further motivate
them to continue at a high level.
4. Improved employee efficiency
An employee’s efficiency level is not only based on their abilities or qualifications. For the company to get the very best
results, an employee needs to have a good balance between the ability to perform the task given and willingness to want
to perform the task. This balance can lead to an increase of productivity and an improvement in efficiency.

References:

Aamodt, M.G. (203). Industrial and Organization Psychology Second Edition. Pasig ity. Cengage Learning Asia Pte Ltd.

Zarate, C. A. (2017). Fundamentals of Industrial Psychology. Quezon City: C & E. Publilshing Inc.

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