EIRP Proceedings, Vol 10 (2015)

Types of Leader in Organisation

Marian Aurelian Bârgău¹

Abstract: Besides leading theories of people in one way or another from different angles reveal the types of leaders who can meet in business management literature contains classifications of management styles, which take into account different criteria or viewpoints. The word “leadership‟ has been used in various aspects of human endeavor such as politics, businesses, academics, social works, etc. Previous views about leadership show it as personal ability. The individual leader traits depend not only on personal abilities and his characteristics, but in special on the characteristics of the situation and environment in which he finds himself. People could become members of an organization in other to achieve certain personal objectives, the extent to which they are active members depends on how they are convinced that their membership will enable them to achieve their predetermined objectives. The leader will support an organization if he believes that through it his personal objectives and goals could be met otherwise the person’s interest will decline. The type leader or style of leading in an organization is one of the factors that play significant role in enhancing or retarding the interest and commitment of the individuals in the organization.

Keywords: type leader; abilities; organization; membership

1. Introduction

The first major study of leadership styles was performed in 1939 by Kurt Lewin who led a group of researchers to identify different styles of leadership (Lewin, Lippit, White, 1939). This early study has remained quite influential as it established the three major leadership styles: (U.S. Army, 1973):

• authoritarian or autocratic - the leader tells his or her employees what to do and how to do it, without getting their advice;

• participative or democratic - the leader includes one or more employees in the decision making process, but the leader normally maintains the final decision making authority;

• delegative or laissez-fair - the leader allows the employees to make the decisions, however, the leader is still responsible for the decisions that are made.

Figure 1.

Source: http://www.nwlink.com/~donclark/leader/leadstl.html

Two of the most prominent leadership theories are Transformational and Transactional leadership theories. Since the late 1980s, theories of transformational and charismatic leadership have been ascendant. Versions of transformational leadership have been proposed by several theorists, including Bass (1985, 1996).

2. Autocratic Leadership

The autocratic leader is given the power to make decisions alone, having total authority. They stand in master of the people and impose their wills and no one is allowed to challenge them. This is the style used by the Catholic Church for example, dictators and monarchs. On the other end, this leadership style is seems to be good for employees that need close supervision to perform certain tasks. Creative employees and team players resent this type of leadership, since they are unable to enhance processes or decision making, resulting in job dissatisfaction (Lewin, Lippitt, & White, 1939).

This type of leadership is focused exclusively on the achieving the objectives, sometimes involving issue directions to, force, sanctions, manipulation, threats to employees just to achieve these objectives. Therefore produces a tense atmosphere in the workplace, sometimes the environment and organizational climate itself becoming harmful to employees. In crisis situations, the abrupt changes or unexpected incidents, this style proves to be most effective to solve critical situations and make the best decision.

Some people tend to think that the autocratic style of leading by threats and abusing their power. Indeed, as Clark explains, this is not or should not be the authoritarian (autocratic) style, but rather is an abusive, unprofessional style called bossing people around. It has no place in a leaders repertoire. (Clark, 1997)

2.1. Advantages

The advantages of this type of leadership is most suitable in situations where subordinates are not motivated. In situations where productivity must be high, and the execution time is short it is recommended this style.

Decisions can be made quickly because there is no need to have a long consultation process before moving ahead. When speed is important this is a good choice because not only are decisions made quickly but employees tend to be more productive – as long as the boss is actually there.

2.1. Disadvantages

The negative effects of this type of leadership may affect the development of decision abilities and other skills of the employees Although the control it provides can reduce the leader’s stress in the short-term, it will increase it in the long-term because of needing to bear all the responsibility all the time. Employees will stop feeling invested in the company or its services if they feel they aren’t allowed to have any impact on them. This can lead to reduced motivation and morale.

Employees will stop feeling invested in the company or its services if they feel they aren’t allowed to have any impact on them. This can lead to reduced motivation and morale.

3. Democratic Leadership

Likert (1961) in research conducted at the University of Michigan revealed that a leadership style which was people oriented resulted to higher productivity than supervision which is primarily concerned with the job. The implication of this research is that a democratic style of leadership will generally provide better results than an authoritarian or laissez-faire style. A major problem in judging the correctness of this conclusion is that the variables involved in the leadership situation are most difficult to describe and measure objectively. There would appear to be some basis for assuming that the style of leadership should vary with different leaders, subordinates and situations.

The democratic leader listens to the team’s ideas and studies them, but hold the responsibility to make the final decision. Team players contribute to the final decision therefore increasing people satisfaction and ownership feeling their input was considered when the final decision was taken. When changes arises, this type of leadership helps the team assimilate the changes better and more rapidly than other styles, knowing they were consulted and contributed to the decision making process, minimizing resistance and intolerance. A shortcoming of this leadership style is that it has difficulty when decisions are needed in a short period of time or at the moment (Lewin, Lippitt, & White, 1939).

3.1. Advantages

In a democratic leadership situation, team members are often more dedicated to their work because they feel that they have had input in not just what was done but how it was done. They take ownership of situations because that ownership is entrusted to them, and they are usually willing to work harder because they know that they will share in the credit. The sharing of credit also goes a long way to reducing the amount of internal politics because there is less need for competition.

If employees know that the whole team shares responsibility for the work, they are less likely to cover-up mistakes and more likely to be honest about problems they see in the process. Since feedback is given and received continually, in the long-term, decision-making is naturally improved. Overall, the work environment will tend to me more positive and collaborative. There also tends to be less turnover because employees are invested in the outcomes and they know that their employer will invest in their own development.

Democratic leadership results in dedicated, loyal employees who are willing to work hard to deliver results – and to share the credit for getting those results.

3.2. Disadvantages

The fact that everyone is continually consulted in the decision-making process means that decisions cannot be made quickly. If there is a high-pressure, or a need for fast decisions, this style will not work. In fact, the leader may be forced to change to an autocratic style in some cases, which could cause some resentment. This kind of style requires that the leader must work at creating a balance between allowing others to take the lead and keeping control of the overall process.

4. Laissez-faire Leadership

The laissez-faire leader gives no continuous feedback or supervision because the employees are highly experienced and need little supervision to obtain the expected outcome. This type of style is also associated with leaders that don’t lead at all, failing in supervising team members, resulting in lack of control and higher costs, bad service or failure to meet deadlines. In government this is what the type of leadership which may drive to anarchy (Lewin, Lippitt, & White, 1939).

Robbins (2007) explained the laissez-fair style as “Abdicates responsibilities avoid making decisions” (p. 475). Similar Luthans (2005), defined laissez- fair style as “Abdicates responsibilities avoids making decisions” (p. 562).Laissez- Fair is uninvolved in the work of the unit. It’s difficult to defend this leadership style unless the leader’s subordinates are expert and well-motivated specialists, such as Scientists. “Leaders let group members make all decision” (Mondy & Premeaux, 1995, p. 347). “Behavioral style of leaders who generally five the group complete freedom, Provide necessary materials, participate only to answer questions, and avoided giving feedback” (Bartol & Martin, 1994, p.412). The concept of laissez was also given by Osborn as “Abdicates responsibilities and avoiding decisions” (Osborn, 2008, p.258). Above All the Authors defines the Laissez – Fair Leadership with their own words according to their given definitions the idea of this type of leadership is same. Authors defines that in this style the Leaders normally don’t want their interference in decision making process. They normally allowed to their subordinates that they have power to get their personal decisions about the work. They are free to do work in their own way and they are also responsible for their decision. Normally Leaders avoids to making decision and don’t involve in working units because the leaders gives to subordinates to completely freedom to do decisions. Sometimes the leaders provide them to important material and they just involve the answer and question but avoiding feedback.

4.1. Advantages

• Allow the visionary worker the opportunity to do what he wants, to do free from interference;

• Instills a higher sense of responsibility among team members;

• No work for leader;

• Workers are not constantly watched by the leader;

• Promotes trust in workers.

4.2. Disadvantages

• Workers may lack the motivation to complete a job;

• Less productivity as workers may not possess the necessary skills to complete a job, that it is means if the team members do not have adequate experience or required skills, the achievement of targets may be at great risk;

• Poorer quality of work;

• Team members may get off track and may not prioritize correctly.

5. Transformational Leadership

A transformational leader is a person who stimulates and inspires (transform) followers to achieve extraordinary outcomes (Robbins and Coulter, 2007). The leader pay attention to the concern and developmental needs of individual followers; they change followers’ awareness of issues by helping them to look at old problems in a new way ; and they are able to arouse, excite and inspire followers to put out extra effort to achieve group goals. Transformational leadership theory is all about leadership that creates positive change in the followers whereby they take care of each other's interests and act in the interests of the group as a whole (Warrilow, 2012).

Warrilow (2012) identified four components of transformational leadership style:

(1) Charisma or idealised influence: the degree to which the leader behaves in admirable ways and displays convictions and takes stands that cause followers to identify with the leader who has a clear set of values and acts as a role model for the followers.

(2) Inspirational motivation: the degree to which the leader articulates a vision that is appeals to and inspires the followers with optimism about future goals, and offers meaning for the current tasks in hand.

(3) Intellectual stimulation: the degree to which the leader challenges assumptions, stimulates and encourages creativity in the followers - by providing a framework for followers to see how they connect [to the leader, the organisation, each other, and the goal] they can creatively overcome any obstacles in the way of the mission.

(4) Personal and individual attention: the degree to which the leader attends to each individual follower's needs and acts as a mentor or coach and gives respect to and appreciation of the individual's contribution to the team. This fulfills and enhances each individual team members' need for self-fulfillment, and self-worth - and in so doing inspires followers to further achievement and growth

5.1. Advantages

Transformational leadership enhances the motivation, morale, and performance of followers through a variety of mechanisms. These include connecting the follower's sense of identity and self to the project and the collective identity of the organization; being a role model for followers that inspires them and makes them interested; challenging followers to take greater ownership for their work, and understanding the strengths and weaknesses of followers, so the leader can align followers with tasks that enhance their performance.

5.2. Disadvantages

Transformational leaders motivate followers by appealing to strong emotions regardless of the ultimate effects on followers and do not necessarily attend to positive moral values. As Stone, Russell and Patterson (2003, p. 4) observe, transformational leaders can exert a very powerful influence over followers, who offer them trust and respect. Some leaders may have narcissistic tendencies, thriving on power and manipulation. Moreover, some followers may have dependent characters and form strong and unfortunate bonds with their leaders (Stone, Russell and Patterson, 2003, p. 4). Further, as Bass (1997) notes, transformational leadership lacks the checks and balances of countervailing interests, influences and power that might help to avoid dictatorship and oppression of a minority by a majority. In the absence of moral rectitude it is self-evident then that transformational leadership might be applied for less-than-desirable social ends.

6. Transactional Leadership

Transactional Leadership, also known as managerial leadership, focuses on the role of supervision, organisation, and group performance; transactional leadership is a style of leadership in which the leader promotes compliance of his followers through both rewards and punishments. Unlike Transformational leadership, leaders using the transactional approach are not looking to change the future, they are looking to merely keep things the same. These leaders pay attention to followers' work in order to find faults and deviations. This type of leadership is effective in crisis and emergency situations, as well as when projects need to be carried out in a specific fashion. Within the context of Maslow's hierarchy of needs, transactional leadership works at the basic levels of need satisfaction, where transactional leaders focus on the lower levels of the hierarchy. Transactional leaders use an exchange model, with rewards being given for good work or positive outcomes. Conversely, people with this leadership style also can punish poor work or negative outcomes, until the problem is corrected. One way that transactional leadership focuses on lower level needs is by stressing specific task performance (Hargis et al, 2001). Transactional leaders are effective in getting specific tasks completed by managing each portion individually.

6.1. Advantages

Transactional leaders use reward and punishments to gain compliance from their followers. They are extrinsic motivators that bring minimal compliance from followers. They accept goals, structure, and the culture of the existing organization. Transactional leaders tend to be directive and action-oriented.

Transactional leaders are willing to work within existing systems and negotiate to attain goals of the organization. They tend to think inside the box when solving problems Transactional leadership is primarily passive. The behaviors most associated with this type of leadership are establishing the criteria for rewarding followers and maintaining the status quo.

6.2. Disadvantages

The transactional Leadership of leadership is flawed since it motivates people only on the base level. Punishment and reward does not motivate on the higher level of peoples thought and development. This type of leadership will only be effective on works were followers perform their task and processes, which well-produced and designed dependably with strong good results. This is poor when higher thinking skills level is needed to utilize. In this, creativity is very limited since its objectives and goals cannot be defined only with set of process.  This also limits its follower that wishes to engage with higher level of professional environment. Motivating is not effective this type of level, these followers is much motivated in unique individual way. The punishment and reward are very basic to a motivator of this level of subordinates.

7. Conclusion

The most important key to successful leadership is to know how, when and how much of what leadership style is needed in a particular situation. The choice is a judgment on the part of the individual performing the leadership role. The leader must a person with integrity who is committed to the organization and the people who work together to accomplish the organization’s mission; this person leads by example, communicates without ceasing, and shows care, concern, and consistency in all dealings. The types of leadership help every individual of the organization to develop into a more effective leader if he wants to. It also can contribute to the organization’s growth as well as helping each individual prepare himself to assume positions requiring a greater capacity for leadership. This allows the individual s goals to mesh with the organizations. It also permits the leader to draw on the resource of others so the resources are used to maintain and strengthen the organization’s capacity and all the people involved.

8. Acknowledgement

This work was supported by the project “Excellence academic routes in doctoral and postdoctoral research - READ” co-funded from the European Social Fund through the Development of Human Resources Operational Programme 2007-2013, contract no. POSDRU/159/1.5/S/137926.

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