MGT 3304, Chapter 13-Groups & Teams, Chapter 14- Leadership
MGT 3304, Chapter 13-Groups & Teams, Chapter 14- Leadership 3304
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Chapter 13 Groups and Teams Online Textbook-Info at Bottom 13.1 Groups vs. Teams Important of Teamwork Increased productivity Increased speed Reduced costs Improved quality Reduced destructive internal competition Improved workplace cohesiveness Groups & Teams: How Do they Differ? What a Group Is: A Collection of People Performing as Individuals o Group—1. Two or more freely interacting individuals who 2. Share norms 3. Share goals, and 4. Have a common identity What A Team is: A Collection of People with Common Commitment o Team—a small group of people w/ complementary skills who are committed to a common purpose, performance goals, and approach for which they hold themselves mutually accountable Formal vs. Informal Groups Formal groups—created to accomplish specific goals o Formal group—group assigned by organizations or its managers to accomplish specific goals Ex. Division, department, work group, committee Informal Groups—created for friendship o Informal group—group formed by people whose overriding purpose is getting together for friendship or a common interest Ex. Friends who hang out, bowling team Informal groups can advance or undercut the plans of formal groups Informal groups can also be highly productive, sometimes more than formal groups Work Teams for four Purposes: Advice, Production, Project, & Action 1. Advice Teams a. Created to broaden the information base for managerial decisions b. Committees, review panels, 2. Production Teams a. Responsible for performing day-to-day operations b. Maintenance crews, assembly teams, etc. 3. Project Teams a. Work to do creative problem solving, usually by applying specialized knowledge of members of a cross-functional team i. Cross functional team—staffed w/ specialists pursuing a common objective 4. Action Teams a. Work to accomplish tasks that require people with 1. Specialized training and 2. High degree of coordination b. Ex. SWAT teams, baseball team Self-Managed Teams: Workers w/ Own Administrative Oversight Continuous improvement teams—consist of small groups of volunteers or workers and supervisors who meet intermittently to discuss workplace and quality related problems From Continuous Improvement Teams to Self-Managed Teams o Self-managed teams—groups of workers who are given administrative oversight for their task domains Are Self-Managed Teams Effective? o Self-managed teams have been found to have a positive effect on productivity and attitudes of self-responsibility and control o No significant effect on job satisfaction and organizational commitment 13.2 Stages of Group & Team Development Groups and teams go through similar stages of development as an organization 1. Forming—“Why are we Here?” a. Forming—process of getting oriented and getting acquainted b. A lot of uncertainty as members try to break the ice and figure out who is in charge and what the group’s roles are c. What the Leader Should Do i. Leaders should allow time for people to become acquainted and to socialize 2. Storming—“Why Are We Fighting over Who’s in charge & Does What?” a. Storming—emergence of individual personalities and roles and conflicts w/in the group b. Subgroups take shape, and subtle forms of rebellion occur c. Power politics may erupt into open rebellion d. What the Leader should do? i. Encourage members to suggest ideas, voice disagreements, work through their conflicts about tasks and goals 3. Norming—“Can we Agree on Role & Work as a Team?” a. Norming—conflicts are resolved, close relationships develops, unity and harmony emerge b. Group may now evolve into a team i. Teams set guidelines related to what members will do together and how they will do it ii. Teams consider matters such as attendance at meetings, being late, missing assignments as well as how members treat one another c. Questions about authority are resolved through unemotional, matter- of-fact group discussion d. Members believe they have found their proper roles e. Group cohesiveness—a “we feeling” binding group members together f. What the Leader Should Do i. Emphasize unity and help identify team goals and values 4. Performing—“Can We Do the Job Properly?” a. Performing—members concentrate on solving problems and completing the assigned task b. What the Leader Should Do i. Allow members the empowerment they need to work on tasks 5. Adjourning—“Can We Help Members Transition Out?” a. Adjourning—members prepare for disbandment b. What the Leader Should Do i. Emphasize valuable lessons learned in group dynamics to prepare everyone for future group and team efforts 13.3 Building Effective Teams Most essential considerations in building a group into an effective team are: 1. Cooperation: “We Need to Systematically Integrate Our Efforts” a. Cooperation—when their efforts are systematically integrated to achieve a collective objective 2. Trust: “We Need to Have Reciprocal Faith in Each Other” a. Trust—reciprocal faith in others’ intentions and behaviors b. Trust is based on credibility—how believable you are based on past acts of integrity and follow-through on your promises 3. Cohesiveness: “Togetherness is Vital” a. Cohesiveness—tendency of a group or team to stick together b. Feeling of togetherness 4. Performance Goals & Feedback a. Purpose of the team needs to be defined in terms of specific, measurable performance goals w/ continual feedback to tell team members how well they are doing 5. Motivation through Mutual Accountability 6. Size: Small Teams or Large Teams? a. Small Teams: 2-9 Members for Better Interaction & Morale i. Advantages 1. Better interaction a. Teams w/ 5 or fewer offer more opportunity for personal discussion and participation 2. Better morale a. Better able to see worth of their individual contributions and thus are more highly committed and satisfied ii. Disadvantages 1. Fewer resources a. Less knowledge, experience, skills, abilities to apply to team’s tasks 2. Possibly less innovation a. Less creativity and boldness b/c of the effect of peer pressure 3. Unfair work distribution a. May be uneven distribution of work among members b. Large Teams: 10-16 Members for More Resources & Division of Labor i. Advantages 1. More resources a. More knowledge, experience, skills, abilities, time to draw on 2. Division of Labor a. Large team can take advantage of division of labor i. Division of labor—work is divided into particular tasks that are assigned to aprticular workers ii. Disadvantages 1. Less interaction a. Leaders may be more formal and autocratic b. Larger size may lead to formation of cliques 2. Lower morale a. Show less commitment and satisfaction and more turnover and absenteeism b. More disagreements and turf struggles and make more demands on leaders 3. Social loafing a. Larger the size, more likely performance is to drop b. Social loafing—tendency of people to exert less effort when working in groups than when working alone 7. Roles: How Team Members Are Expected to Behave a. Roles—socially determined expectations of how individuals should behave in a specific position b. Members develop their roles based on the expectations of the team c. Two Types of team roles: i. Task Roles: Getting the Work Done 1. Task role (task-oriented role)—consists of behavior that concentrates on getting the team’s tasks done 2. Keep the team on track and get the work done ii. Maintenance Roles: Keeping the Team Together 1. Maintenance role (relationship-oriented role)—consists of behavior that fosters constructive relationships among team members 8. Norms: Unwritten Rules for Team Members a. Norms—general guidelines or rules of behavior that most group or team members follow b. Point out the boundaries b/w acceptable and unacceptable behavior c. Why Norms Are Enforced: Four Reasons i. To Help the group survive—“Don’t do anything that will hurt us” ii. To clarify role expectations—“You have to go along to get along” iii. To help individuals avoid embarrassing situations—“Don’t call attention to yourself” iv. To emphasize the group’s important values and identity—“We’re known for being special” 9. Groupthink: When Peer Pressure Discourages “Thinking Out the Box” a. Abilene paradox—the tendency of people to go along w/ others for the sake of avoiding conflict b. Cohesiveness? Or Blind Unwillingness? i. Groupthink—a cohesive group’s blind unwillingness to consider alternatives ii. “Striving for unanimity override their motivation to realistically appraise alternative courses of action c. Symptoms of Groupthink i. Invulnerability, inherent morality, stereotyping of opposition ii. Rationalization and self-censorship iii. Illusion of unanimity, peer pressure, and mindguards 1. Silence of a member is usually thought to mean consent 2. Mindguards—self-appointed protectors against adverse information iv. Groupthink vs. “the wisdom of crowds” 1. Groupthink is characterized by a pressure to conform that usually leads members w/ different ideas to censor themselves—the opposite of collective wisdom d. The Results of Groupthink: Decision-making Defects i. Reduction in alternative ideas 1. Not a lot of ideas 2. Decisions made based on a few alternatives ii. Limiting of other information 1. No contingency plans are made in case the decision turns out to be faulty e. Preventing Groupthink: Making Criticism & Other Perspectives Permissible i. Allow criticism ii. Allow other perspectives 1. Outside experts should be used to introduce fresh perspectives 13.4 Managing Conflict Conflict—a process in which one party perceived that its interests are being opposed or negatively affected by another party The Nature of Conflict: Disagreement is Normal Dysfunctional conflict—bad for organizations o Dysfunctional conflict—conflict that hinders the organization’s performance or threatens its interests Functional conflict—good for organizations o Functional conflict—benefits the main purposes of the organization and serves its interests Can Too Little or Too Much Conflict Affect Performance? Too little conflict—Indolence o Tend to be plagued by apathy, lack of creativity, indecision, missed deadlines o Organization performance suffers Too much conflict—warfare o Can erode organizational performance b/c of political infighting, dissatisfaction, lack of teamwork, turnover o May cause workplace aggression and violence Three Kinds of Conflict: Personality, Intergroup, & Cross-Cultural Conflict triggers—sources of conflict 1. Personality Conflicts: Clashes Because of Personal Dislikes or Disagreements a. Personality conflict—interpersonal opposition based on personal dislike or disagreement b. Personality Clashes—when individual differences can’t be resolved i. Personality, values, attitude, experience can be so disparate that sometimes the only solution is to separate two people c. Competition for scarce resources—when two parties need the same things d. Time pressure—when people believe there aren’t enough hours to do the work i. Deadlines can be a source of resentment, rage, & conflict if employees think their manager has unrealistic expectations e. Communication failures—when people misperceive and misunderstand i. Misunderstanding can lead to conflict 2. Intergroup Conflicts: Clashes between Work Groups, Teams, & Departments a. Inconsistent goals or reward systems—when people pursue different objectives i. People in functional organizations often pursue different objectives and are rewarded accordingly, but this leads to conflict b. Ambiguous jurisdictions—when job boundaries are unclear i. When task responsibilities are unclear, it can lead to conflict c. Status differences—when there are inconsistencies in power and influence 3. Multicultural Conflicts: Clashes between Cultures a. With globalization, there is more cultural conflicts How to Stimulate Constructive Conflict 1. Spur Competition among Employees a. Competition is often healthy in spurring people to produce higher results 2. Change the Organization’s Culture & Procedures 3. Bring in Outsiders for New Perspectives 4. Use Programmed Conflict: Devil’s Advocacy & the Dialectic Method a. Programmed conflict—designed to elicit different opinions w/o inciting people’s personal feelings b. Devil’s Advocacy—role-playing criticism to test whether a proposal is workable i. Devil’s advocacy—process of assigning someone to play the role of critic to voice possible objections to a proposal and generate critical thinking and reality testing ii. Good training for developing analytical and communicative skills iii. Good idea to rotate the job so no one person develops a negative reputation c. The dialectic method—role-playing two sides of a proposal to test whether it is workable i. Dialectic method—process of having two people or groups play opposing roles in a debate in order to better understand a proposal Five Basic Behaviors to Help You Better Handle Conflict 1. Openness 2. Equality 3. Empathy 4. Supportiveness 5. Positiveness th Management: A Practical Introduction, 7 edition Angelo Kinicki, Brian K. Williams McGraw Hill Education ISBN 978-0-07-772055-1 Pgs. 410-439 Chapter 13 Groups and Teams Class Notes Group Collection of performing individually Characteristics of Team Complementary skills Common purpose Mutually accountable Characteristics of successful teams Complementary skills Commitment to a common purpose Common understanding of how to achieve their purpose Mutually accountable Mutual trust The Five Dysfunctions of a Team Inattention to Results Avoidance of Accountability Lack of Commitment Fear of Conflict Absence of Trust o Trust is the foundation for success How do Groups and teams differ from individuals? More “effort” resources Potentially greater variety o Knowledge, skillfulness, perspective Communication and coordination Time Responsibility (sole vs. ambiguous) Synergy or Processes Losses? Synergy—end result is greater than the sum of the inputs o Individuals working together produce something greater than individuals alone Process losses—the dynamics of the team produces an outcome that is worse than working alone Status Effects People don’t really know each other during the beginning stages of teams or group development We infer status based on what we see Sources of Process Losses Status Effects Groupthink Abilene paradox o People do something that nobody wants to do because they think that everyone else wants to do it Caused by failure to participate fully Managing Team Conflict Domination Accommodation Compromise Avoidance Collaboration The Manager’s Role Get everyone involved Ask the right questions Find the right balance Keep the team focused on goal Group Conflict No conflict, too much conflict is bad Eric Schmidt Consensus—group is in agreement on some sort of action Dissent— Instructor: Margaret Deck MGT 3304 4/5/16 Chapter 14 Leadership Leadership vs. Management Manager—person whose influence on others is based on the appointed managerial authority of their position Leader—person w/ personal power who can influence others beyond that associated with their formal authority alone Types of Power Power of the position o Legitimate power o Reward power o Coercive power Power of the Person o Expert power Have power b/c of their knowledge of expertise o Referent power Power you have because of your personality What traits/characteristics do leaders have? Intelligence Honesty Ethical Motivation Confidence Charismatic Competent The ABCs of Becoming an effective leader Attitude o Positive Coach Hughes’s (baseball coach) five winning qualities Girl’s State example We don’t choose what we go through. We choose how we go through it. Viktor Frankl o Humility Robert B. Pamplin Ronald Reagan Pope France o Work Ethic Vince Lombardi Willie Davis Work for the salary you want to be paid, not for the salary you are being paid. Behavior o People Focus Make people feel important A person’s name o Franklin D Roosevelt Show Sincere Appreciation Circulate among the troops o Task Focus Deliver results Hold Employees accountable Making difficult decisions o Douglas McGregor Overcome obstacles o Kohl’s and PQL examples o The pessimist complains about the wind, the optimist expects it to change, the leader adjusts the sails Character o Integrity Mohandas Gandhi Leadership has a cost The real benefit of leadership: people will follow you Leadership Managerial Grid Instructor: Margaret Deck MGT 3304 4/7/16 Management: A Practical Introduction, 7 edition Angelo Kinicki, Brian K. Williams McGraw Hill Education ISBN 978-0-07-772055-1 Pgs. 440-475 Chapter 14 Power, Influence, & Leadership From Becoming a Manager to Becoming a Leader 14.1 The Nature of Leadership: Wielding Influence Leadership—the ability to influence employees to voluntarily pursue organizational goals Managers & Leaders: Not Always the Same Management—about doing things right o Do planning, organizing, directing, control o Implement a company’s vision and strategic plan Leadership—doing the right thing o Inspire, encourage, and rally others to achieve great goals o Create and articulate that vision and plan Managerial Leadership: Can you be Both a Manager & a Leader? Managerial leadership—the process of influencing others to understand and agree about what needs to be done and that process of facilitating individual and collective efforts to accomplish shared objectives o Influencing it leadership o Facilitating is management Coping with Complexity vs. Coping with Change: The Thoughts of John Kotter John Kotter says that they are complementary systems of action o Management is about coping w/ complexity o Leadership is about coping w/ change Being a Manager: Coping w/ Complexity o Determining what needs to be done—planning and budgeting Setting target goals for future, establishing steps for achieving them, allocating resources to accomplish them o Creating arrangements of people to accomplish an agenda— organizing and staffing Creating organizational structure and hiring qualified individuals to fill the necessary jobs o Ensuring people do their jobs—controlling and problem solving Monitor results vs plan using reports, meetings, and other tools Then plan and organize to solve problems Being a Leader: Coping w/ Change o Determining what needs to be done—setting a direction Develop a vision for the future and strategies to realize the changes o Creating arrangements of people to accomplish an agenda— aligning people Communicate the new direction to people and build coalitions that will realize the vision o Ensuring people do their jobs—motivating and inspiring Try to achieve their vision by motivating people to do it Do you have what it takes to be a Leader? o Managers are not always necessarily leaders o Leadership is more visionary; they inspire others, provide emotional support, try to get employees to rally around a common goal Five Sources of Power Authority—the right to perform or command; comes w/ the job Power—extent to which a person is able to influence others so they respond to orders Personalized Power—power directed at helping oneself Socialized Power—power directed at helping others 1. Legitimate Power: Influencing Behavior Because of One’s Formal Position a. Legitimate power—power that results from managers’ formal positions w/in the organization 2. Reward Power: Influencing Behavior by Promising or Giving Rewards a. Reward power—power that results from managers’ authority to reward their subordinates b. Rewards can range from praise, pay raises, recognition, promotions 3. Coercive Power: Influencing Behavior by Threatening or Giving Punishment a. Coercive power—results from managers’ authority to punish their subordinates b. Punishment can range from verbal or written reprimands to demotions or terminations 4. Expert Power: Influencing Behavior Because of One’s Expertise a. Expert power—power resulting from one’s specialized information or expertise 5. Referent Power: Influencing Behavior Because of One’s Personal Attraction a. Referent power—power deriving from one’s personal attraction b. Characterizes strong, visionary leaders who are able to persuade followers b/c of their personality, attitudes, or background c. May be associated w/ managers, but it is more likely to be characteristic of leaders Leadership & Influence: Using Persuasion to Get Your Way at Work 9 tactics for trying to influence other: o First 5 are soft tactics o Three possible responses to an influence tactic Enthusiastic commitment Grudging compliance Outright resistance 1. Rational Persuasion a. Trying to convince someone by using reason, logic, or facts 2. Inspirational Appeals a. Trying to build enthusiasm or confidence by appealing to others’ emotions, ideals, or values 3. Consultation a. Getting others to participate in a decision or change 4. Ingratiating Tactics a. Acting humble or friendly or making someone feel good or feel important before making a request 5. Personal Appeals a. Referring to friendship and loyalty when making a request 6. Exchange Tactics a. Reminding someone of past favors or offering to trade favors 7. Coalition Tactics a. Getting others to support your effort to persuade someone 8. Pressure Tactics a. Using demands, threats, or intimidation to gain compliance 9. Legitimating Tactics a. Based a request on one’s authority or right, organizational rules/policies, or express or implied support from superiors Five Approaches to Leadership 1. Trait 2. Behavioral 3. Situational 4. Transformational 5. Three additional 14.2 Trait Approaches: Do Leaders Have Distinctive Personality Characteristics? Five traits that Ralph Stogdill says are typical of successful leaders: o Dominance o Intelligence o Self-confidence o High energy o Task-relevant knowledge Trait approaches of leadership—attempt to identify distinctive characteristics that account for the effectiveness of leaders Positive Task-Oriented Traits & Positive/Negative Interpersonal Attributes “Dark Side” Trait: Narcissism, Machiavellianism, Psychopathy o Narcissism Narcissism—having “a self-centered perspective, feelings of superiority, and a drive for personal power and glory” Have inflated views of themselves Passionate and charismatic, but may provoke resentment and resistance in others o Machiavellianism Machiavellianism—cynical view of human nature and condones opportunistic and unethical ways of manipulating people, putting results over principles o Psychopathy Psychopathy—lack of concern for others, impulsive behavior, dearth of remorse when the psychopath’s actions harm others It Trait Theory Useful? o Use personality and trait assessments Incorporate personality and trait assessments into selection and promotion process o Choose personality over intelligence o Use management development programs Gender Studies: Do Women have traits that make them better leaders? The Evidence on Women Executives o Better at teamwork and partnering o More social leadership, where men display task leadership o More effective The Lack of Women at the Top o Unwillingness to compete or sacrifice o Modesty o Lack of mentor o Starting out lower, and more likely to quit 14.3 Behavioral Approaches: Do Leaders Show Distinctive Patterns of Behavior Patterns of behavior is more important that their personality traits Behavioral leadership approaches—attempt to determine unique behaviors displayed by effective leaders Task-Oriented Leader Behaviors: Initiating-Structure Leadership & Transactional Leadership Task-oriented leadership behavior o Ensure that people, equipment, other resources are used in an efficient way to accomplish the mission of a group or organization o Two types that are important Initiating-Structure Leadership: “Here’s What We Do to Get the Job Done” Initiating-structure leadership—leader behavior that organizes and defines Sets the structure for what employees should be doing to maximize output Transactional Leadership: “Here’s What we do to get the job done, & Here Are the Rewards Transactional leadership—focusing on clarifying employees’ roles and task requirements and providing rewards and punishments contingent on performance Relationship-Oriented Leader Behavior: Consideration, Empowerment, & Servant Leadership Relationship-oriented leadership—concerned w/ leader’s interactions w/ his or her people Emphasis is on enhancing employees’ skills and creative positive work relationships Three kinds of relationship-oriented behavior o 1. Consideration: “The Concerns & Needs of My Employees are Highly Important” Consideration—leader behavior concerned w/ group members’ needs and desires and that is directed at creating mutual respect or trust o 2. Empowering Leadership: “I want My Employees to Feel They Have Control Over their Work” Empowering leadership—extent to which a leader creates perceptions of psychological empowerment in others Psychological empowerment—employees’ belief that they have control over their work Increasing psychological empowerment requires four behaviors: Leading for meaningfulness: inspiring and modeling desirable behaviors o Inspire employees and act in the behavior that they want employees to have Leading for self-determination: delegating meaningful tasks Leading for competence: supporting and coaching employees o Workers need knowledge and skills Leading for progress: monitoring and rewarding employees Participative management(PM)—process of involving employees in setting goals, making decisions, solving problems, making changes in organization o 3. Servant Leadership: “I want to serve my subordinates & the organization, Not myself” Servant leadership—focuses on providing increased service to others rather than to oneself Passive Leadership: The Lack of Leaderships Skills Passive leadership—leadership behavior characterized by a lack of leadership skills o Ex. Management-by-exception Laissez-faire leadership—leadership characterized by a general failure to take responsibility for leading Some Practical Implications of the Behavioral Appraoches Conclusions to take away from behavioral approaches o 1. A leader’s behavior is more important than his or her traits o 2. There is no one best style of leadership 14.4 Situational Approaches: Does Leadership Vary w/ the Situation? Situational approach (contingency approach)—belief that effective leadership behavior depends on the situation at hand 1. The Contingency Leadership Model: Fiedler’s Approach a. Contingency leadership model—determines if a leader’s style is task- oriented or relationship-oriented and if that style is effective for the situation at hand b. Two Leadership Orientations: Task vs. Relationships i. The higher the score, the more relationship-oriented ii. The lower, the more task-oriented c. Three Dimensions of Situational Control i. Leader-member relations— “Do my subordinates accept me as a leader? ii. Task-structure—“Do my subordinates perform unambiguous, easily understood tasks? 1. The more structured the jobs, the more influence a leader has iii. Position power—“Do I have power to reward and punish?” iv. Situational control—how much control and influence a leader has in the immediate work environment d. Which Style is Most Effective? i. When task-oriented style is best 1. In either high-control or low-control situations a. High control i. Leader decisions product predictable results b/c he or she can influence work outcomes b. Low control i. Leader decisions can’t product predictable results b/c he or she can’t really influence outcomes ii. When Relationship-oriented style is best 1. In situations of moderate control 2. The Path-Goal Leadership Model: House’s Approach a. Path-goal leadership model—holds that the effective leader makes available to followers desirable reward in the workplace and increases their motivation by clarifying paths b. What Determines leadership Effectiveness: Employee Characteristics & Environmental Factors Affect Leader Behavior i. Employee characteristics 1. Locus of control, task ability, need for achievement, experience, need for path-goal clarity ii. Environmental factors 1. Task structure 2. Work group dynamics iii. Leader Behavior 1. Directive 2. Supportive 3. Participative 4. Achievement-oriented c. Does the Revise Path-Goal Theory Work? i. Provides three important implications for managers 1. Use more than one leadership style 2. Help employees achieve their goals 3. Modify leadership style to fit employee and task characteristics 14.5 The Uses of Transformational Leadership Full-range leadership—leadership behavior varies along a full range of leadership styles Transformational Leaders Transformational leadership—transforms employees to pursue organizational goals over self-interests Encourage their people to do exceptional things Influenced by 2 factors: o Individual characteristics o Organizational culture Best Leaders are both transactional and Transformational The Key Behaviors of Transformational Leaders Four kinds of behavior that affect followers o 1. Inspirational Motivation: “Let me share a Vision that Transcends Us All” Charisma—form of interpersonal attraction that inspires acceptance and support Charismatic leadership—assumed to be an individual inspirational and motivational characteristic of particular leaders o 2. Idealized Influence: “We Are Here to do the Right Thing” o 3. Individualized Consideration: “You Have the Opportunity Here to Grow & Excel” Encourage growth by giving challenging work, more responsibility, empowerment, one-on-one mentoring o 4. Intellectual Stimulation: “Let Me Describe The Great Challenges WE Can Conquer Together” Implications of Transformational Leadership for Managers 1. It Can Improve Results for Both Individuals & Groups 2. It can be used To Train Employees at Any Level 3. It Requires Ethical Leaders 14.6 Three Additional Perspectives Labor-Member Exchange (LMX) Leadership: Having Different Relationships w/ Different Subordinates Leader-member exchange (LMX) model of leadership—emphasizes that leaders have different sorts of relationships w/ differe subordinates In-Group Exchange vs Out-Group Exchange o In-group exchange: trust and respect Leader and follower relationship has mutual trust, respect, sense of common fates o Out-group exchange: lack of trust and respect Leaders are overseers who fail to create sense of mutual trust, respect, common fate Is the LMX Model Useful? E-Leadership: Managing for Global Networks E-leadership—leadership via information technology Followers: What Do They Want, How Can They Help? What do followers want in their leaders? o Significance o Community o Excitement What do leaders want in their followers? o Productive, reliable, honest, cooperative, proactive, flexible