Directing/Leading and

Communicating

SOURCE: MANAGEMENT - A GLOBAL

PERSPECTIVE
B Y W E I H R I C H A N D K O O N T Z 1 1 TH E D I T I O N
 Leading/Directing

 It is defined as the
process of influencing
people so that they will
contribute to
organizational and
group goals.

 The manager’s job is not

to manipulate people
but, rather, to
recognize what
motivates people.
 Human Factors in Managing

Through the function of leading, managers

help people see that they can satisfy their
own needs and utilize potential while
contributing to the aims of the enterprise.

Managers should thus have an

understanding of the roles assumed by
people and the individuality and
personalities of people.
 Multiplicity of Roles

 Individuals are much more than a productive

factor in management’s plans.

 They are members of social systems of many

organizations; they are consumers of goods and
services, schools, churches, trade associations, and
political parties.

 In these different roles, they establish laws that

govern managers, ethics that guide behavior, and a
tradition of human dignity that is a major
characteristic of our society.
 No Average Person

 People act in different roles, but they are also

different themselves.

 There is no average person.

 It is equally important to acknowledge that

individuals are unique—they have different
needs, different ambitions, different attitudes,
different desires for responsibility, different levels
of knowledge and skills, and different potentials.
 The Importance of Personal Dignity

The concept of individual dignity

means that people must be treated
with respect, no matter what their
position is in the organization.
 Consideration of the Whole Person

We cannot talk about the

nature of people unless
we consider the
whole person, not just
separate and distinct
characteristics such as
knowledge, attitude,
skills, or personality
traits.
A person has them all
to different degrees.
Motivation

A general term
applying to the entire
class of drives,
desires, needs,
wishes, and similar
forces.
 Motivation Models/Theories

1. Douglas McGregor’s Theory X and Theory Y

Two sets of assumptions about the nature of people.

 Theory X is pessimistic, static, and rigid.
Control is primarily external, imposed on the
subordinate by the superior.
 In contrast, Theory Y is optimistic, dynamic,
and flexible, with an emphasis on self-
direction.
 Motivation Models/Theories

Under the assumptions of theory X:

 Employees inherently do not like work and whenever

possible, will attempt to avoid it.
 Because employees dislike work, they have to be forced,
coerced or threatened with punishment to achieve goals.
 Employees avoid responsibilities and display little ambition
 They place a greater importance on security over all other
factors
 Motivation Models/Theories

In contrast under the assumptions of theory Y:

 Physical and mental effort at work is as natural as

rest or play.
 People do exercise self-control
 Average human beings are willing to take
responsibility
 Motivation Models/Theories
2. Maslow’s
Hierarchy of
Needs Theory
 When one set of
needs is satisfied,
this kind of need
ceases to be a
motivator.
 Motivation Models/Theories

3. Clayton Alderfer’s ERG Theory

 People are motivated by existence needs,
relatedness needs, and growth.
 Existence - concerned mainly with providing basic
material existence.
 Relatedness - individuals need to maintain
interpersonal relationship with other members in the
group.
 Growth - the intrinsic desire to grow and develop
personally.
Maslow versus ERG Theory
 Motivation Models/Theories

4. Frederick Herzberg’s Motivation-Hygiene

Theory
 Satisfiers are motivators and are related to job content
while dissatisfiers, also called maintenance,
hygiene, or job-context factors, are not motivators.
 He states that presence of certain factors in the
organization is natural and the presence of the same
does not lead to motivation. However, their nonpresence
leads to demotivation.
 In similar manner there are certain factors, the absence
of which causes no dissatisfaction, but their presence
has motivational impact.
Motivation Models/Theories

Comparison of Maslow’s
and Herzberg’s theories of
Maslow’s motivation Herzberg’s
Needs Hierarchy Two-factor theory

Challenging work

Motivators
Achievement
Self-actualization Growth in the job
Responsibility
Advancement
Esteem or status Recognition

Affiliation or
acceptance

Maintenance factors
Status
Interpersonal relations
Quality of supervision
Security or safety Company policy and administration
Job security
Salary

Physiological needs
 Motivation Models/Theories

5. Vroom’s Expectancy Theory

 People will be motivated to do things to reach
a goal if they believe in the worth of the goal
and if they can see that what they do will help
them in achieving it.
 An employee can be motivated to perform better
when there is a belief that the better performance
will lead to good performance appraisal and that
this shall result into realization of personal goal in
form of some reward
 Motivation Models/Theories

Vroom’s Expectancy Theory

Motivation =
 Motivation Models/Theories

6. The Porter and Lawler Model

 Suggests that levels of motivation are based
more on the value that individuals place on
the reward.
 Porter and Lawler suggest that perceived
inequality in this model plays a pivotal role
in job satisfaction. Motivation or effort
leads to performance. This performance is
followed by intrinsic and extrinsic
rewards. The perceived equity of those
rewards leads to satisfaction.
 Motivation Models/Theories
Porter and Lawler’s
motivation model
Value of
rewards

Perceived
Ability to do a
Equitable
specified task
rewards

Intrinsic
Satisfaction
rewards
Performance
Effort
accomplishment

Extrinsic
rewards
Perception of
task required

Perceived effort
and reward
probability

Adapted from L. W. Porter and E. E. Lawler, Managerial Attitudes and Performance (Homewood, IL: Richard D. Irwin, Inc.,
1968), p. 165.
 Motivation Models/Theories
7. Equity Theory
 Motivation is influenced by an individual’s
subjective judgment about the fairness of the
reward he or she gets, relative to the inputs,
compared with the rewards of others.
 Motivation Models/Theories
Equity Theory
 Motivation Models/Theories

8. Goal Setting Objective setting for

motivation
Theory of Edwin
Locke
 States that when the
Planning
Actions

goals to be achieved are

Implementation
set at a higher standard,

objectives
Setting
employees are motivated
to perform better and Control
and

put in maximum effort. Appraisal

 Motivation Models/Theories

9. Skinner’s Reinforcement Theory

 Positive Reinforcement. This implies giving a
positive response when an individual shows positive
and required behavior
 Negative Reinforcement. Rewarding an employee
by removing undesirable consequence
Reinforcement Theory
 Motivation Models/Theories

10. David McClelland’s Needs Theory

 a theory on three types of motivating needs
which are
o Need for Power
o Need for Affiliation
o Need for Achievement
Motivation Models/Theories

 People for high need for

power are inclined
towards influence and
control, like to be at the
center and are good
orators, demanding in
nature, forceful in
manners and ambitious
in life.
 They can be motivated to
perform if they are given
key positions or power
positions.
 Motivation Models/Theories

 People who are social in

nature try to affiliate
themselves with individuals
and groups, are driven by
love and faith, and like to
build a friendly
environment around
themselves.
 Social recognition and
affiliation with others
provides them motivation.
Motivation Models/Theories

 People with the need of

achievement are driven by the
challenge of success and the
fear of failure.
 They set for themselves
moderately difficult tasks, are
analytical in nature and take
calculated risks.
 Such people are motivated to
perform when they see atleast
some chances of success.
 Special Motivational Techniques

1. Intrinsic Motivation

 Refers to motivation that is driven by an

interest or enjoyment in the task itself, and
exists within the individual rather than relying
on any external pressure
 It may include a feeling of accomplishment
and self-actualization.
 Special Motivational Techniques

2. Extrinsic Motivation
 Comes from outside of the individual. Common
extrinsic motivations are rewards like money and
grades
 Include benefits, recognition, status symbols, and
money.
 Leadership

Leadership is the art or process of

influencing people so that they will strive
willingly and
enthusiastically
toward the
achievement of
group goals.
 Ingredients of Leadership

1. Power
2. A fundamental understanding of people
3. The ability to inspire followers to apply their full
capabilities
4. The leader’s style
5. The development of a conducive organizational
climate
 Leadership Styles Based on Use of Authority

1. Autocratic Leader
 He commands and expects compliance, is
dogmatic and positive, and leads by the ability
to withhold or give rewards and punishment.
2. Democratic or Participative Leader
 He consults with subordinates and encourages
their participation.
3. Free-rein Leader
 He uses power very little, if at all, giving
subordinates a high degree of independence.
Leadership Styles Based on Use of Authority

The flow of influence with three leadership

styles
Autocratic
Leader

Follower Follower Follower

Democratic or
Participative
Leader

Follower Follower Follower

Free-rein
Leader

Follower Follower Follower

 The Managerial Grid

 A well-known approach to defining leadership

styles is the managerial grid, developed decades
ago by Robert Blake and Jane Mouton.

 The managerial grid has two dimensions: concern

for people and concern for production.

 Blake and Mouton recognizes five style: 1.1 style,

9.9 style, 5.5 style, 1.9 style, and 9.1 style.
The Managerial Grid
 The Managerial Grid

The five resulting leadership styles are as follows:

 Impoverished Management (1, 1)
 Managers with this approach are low on both dimensions
and exercise minimum effort to get the work done from
subordinates.
 The leader has low concern for employee satisfaction and
work deadlines and as a result, disharmony and
disorganization prevail within the organization.
 The leaders are termed ineffective wherein their action is
merely aimed at preserving job and seniority.
 The Managerial Grid

 Task management (9, 1)

 Leaders are more concerned about production and have less
concern for people.
 The style is based on theory X of McGregor. The employees’
needs are not taken care of and they are simply a means to
an end.
 The leader believes that efficiency can result only through
proper organization of work systems and through
elimination of people wherever possible. Such a style can
definitely increase the output of organization in short run
but due to the strict policies and procedures, high labor
turnover is inevitable.
 The Managerial Grid

 Middle-of-the-Road (5, 5)
 Basically a compromising style wherein the leader tries to
maintain a balance between goals of company and the needs
of people.
 The leader does not push the boundaries of achievement
resulting in average performance for organization.
 Here neither employee nor production needs are fully met.
 The Managerial Grid

 Country Club (1, 9)

 This is a collegial style characterized by low task and high
people orientation where the leader gives thoughtful
attention to the needs of people thus providing them with a
friendly and comfortable environment.
 The leader feels that such a treatment with employees will
lead to self-motivation and will find people working hard on
their own.
 However, a low focus on tasks can hamper production and
lead to questionable results.
 The Managerial Grid

 Team Management (9, 9)

 Characterized by high people and task focus, the style is
based on the theory Y of McGregor and has been termed as
most effective style according to Blake and Mouton.
 The leader feels that empowerment, commitment, trust,
and respect are the key elements in creating a team
atmosphere which will automatically result in high
employee satisfaction and production.
“If all my possessions were taken
from me with one exception, I
would hope to keep my power
of communication --- for by it
I would regain all the rest.”
--Daniel Webster, American Journalist
 Communication

 The transfer of
information
from a sender to a
receiver, with the
information being
understood by
the receiver.
 The Communication Process

A Communication Process Model

Feedback

Transmission Understandin
Thought Encoding Reception Decoding
of message g

Sender Receiver

Noise
 Key Elements of Communication Process

 Sender: Responsible for encoding an intended

message into meaningful symbols, both verbal and
non-verbal
 Communication Channel: Path of
communication; written, spoken, non-verbal
 Receiver: Decodes perceived meaning
 Meaning: Interpret message
 Feedback: reverses the process & conveys
response back to sender
 Types of Noise

Barriers to
communication exist
at every stage. They
are considered
NOISE (or
interference), and
can sometimes lead
to miscommunication
Barriers to Communication (NOISE)

 Semantic problems
 Absence of feedback
 Improper channels
 Physical distractions
 Cultural differences
 The Communication Process

The Purpose and Function of Communication

Planning Organizing Staffing Leading Controlling

Communications

External environment:
· Customers
· Suppliers
· Stockholders
· Governments
· Community
· Others

The Management Process

 Directions of Communication in an Organization

1. Downward Communication
 It flow from people at higher levels to those at lower
levels in the organizational hierarchy.

2. Upward Communication
 Travels from subordinates to superiors and continues
up the organizational hierarchy.

3. Crosswise Communication
 It includes the horizontal flow of information (among
people on the same or similar organizational levels)
and the diagonal flow of information (among people
at different levels who have no direct reporting
relationships with one another).
 Communication in an Organization

Information Flow in an
Organization

Horizontal

Upward
Diagonal
Downward
 Forms of Communication

1. Written
Communication
 Communication in
written form
 Includes pictograms or
visuals, letters,
memorandums, reports,
text messages, electronic
messages (e-mail).
 Forms of Communication

2. Oral or verbal Communication

 Primarily refers to spoken verbal
communication
 Includes discussion, speeches, presentations,
interpersonal communication and many
other varieties.
 The body language and voice tonality plays
a significant role and may have a greater
impact on the listener than the intended
content of the spoken words.
 Forms of Communication
3. Nonverbal Communication
 Describes the process of conveying meaning in
the form of non-word messages through e.g.
gestures, body language, or posture; facial
expression and eye contact, object
communication such as clothing, hairstyles,
architectures, symbols, and infographics, as well
as through an aggregate of the above.
 Non-verbal communication is also called silent
language and plays a key role in human day to
day life.
 Communication Methods

 Primitive or conventional method

 regular mail (“snail mail”), morse code

 Use of information technology

 wired and wireless telephone, fax machine, voice
mail, internet (for e-mail, chatting, etc),
teleconference , and videoconference