Study Guide for EXAM 3 Leadership Know the main personality traits associated with leadership emergence effectiveness o Integrity o Extroversion being outgoing talkative sociable o Intelligence o Self esteem o Open to experience being curious original creative and open to new ideas o Conscientious being organized systematic punctual achievement oriented and dependable In addition to personality know what other characteristics are associated with leadership emergence effectiveness o IQ EQ o Integrity o Self esteem o Big 5 extroversion openness conscientiousness Understand the differences between Authoritarian Democratic and Laissez faire o Autocratic make decisions alone without necessarily involving employees in the decision leadership styles making process o Democratic employees participate in the making of the decision o Laissez faire leaders leave employees alone to make the decision leader provides minimum guidance and involvement Know the situations in which each of these are most effective you have new untrained employees high production needs or there are complex problems that require a lot of input keep o You use Autocratic when o You use Democratic when limited time for decision i e crisis employees informed encourage team building are trustworthy o Your use Laissez Faire when employees are highly skilled have pride in their work and Know how each of these affect employee behavior attitudes Understand what formal and informal leaders are o Formal Leaders hold a position of authority and may utilize the power that comes from their position as well as their personal power to influence others o Informal Leaders are without a formal position of authority within the organization but demonstrate leadership by influencing others through personal forms of power Understand why the behavioral and trait approaches to leadership phased out o They fell out of favor because they neglected the environment in which the behaviors were being demonstrated Know the three characteristics of servant leadership o Ethics o Self sacrifice o Community development Study Guide for EXAM 3 Understand the following leadership styles approaches o Participative leadership Those leaders who make sure employees are involved in making important decisions o Servant leadership goals Defines the leader s role as serving the needs of others The mission of the leader is to develop employees and help them reach their The leaders put their employees first understand their personal needs and desires empower them and help them develop in their careers o Transformational transactional the leaders goals Transformational those who lead employees by aligning employee goals with Motivates employees to start focusing on the company s well being rather than on what is best for themselves Transactional those leaders who ensure that employees demonstrate the right behaviors because leader provides resources in exchange Motivates employees to behave the way leaders want because they o Directive leadership receive resources in exchange Those leaders who provide specific directions to their employees They lead employees by clarifying role expectations setting schedules and making sure that employees know what to do on a given work day o Achievement oriented goals Those leaders who set goals for employees and encourage them to reach their Challenges employees and focuses their attention on work related goals Know the problems that can occur with group decision making Decision Making o Social loafing o Groupthink Understand what groupthink is i e the symptoms and how you can avoid it o Occurs when a group makes faulty decisions because group pressures lead to reductions in mental efficiency reality testing and moral judgment o The symptoms Illusion of invulnerability Collective rationalizations Creates excessive optimism that encourages taking extreme risks Members discount warnings and do not reconsider their assumptions Cognitive dissonance members seek out others with similar beliefs in order to vanquish doubts Belief in the group s inherent morality Study Guide for EXAM 3 Members believe in the rightness of their cause and therefor ignore the ethical or moral consequences of their decisions Negative views of the enemy make effective responses to conflict Stereotypes views of out groups seem unnecessary Direct pressure members are under pressure not to express arguments against any of the Doubts and deviations from the perceived group consensus are not groups views Self censorship expressed Illusions of unanimity The majority view and judgments are assumed to be unanimous The emergence of self appointed mind guards Members protect the group and the leader from information that is problematic or contradictory to the group s cohesiveness view and or decisions o NOT a lack of intelligence o How to avoid it Discuss the symptoms Debate ethical implications Form subgroups Leaderless teams Assign a devil s advocate Encourage a culture where different ideas are valued Invite in outside experts Know when to use each of the four decision making models o Use Rational when Information on alternatives can be gathered The decision is important You are trying to maximize your outcome o Use Bounded Rationality when o Use Intuitive when The minimum criteria are clear You don t have much time to invest in making the decision You are not trying to maximize your outcome Goals are unclear There is time pressure and analysis paralysis would be costly You have experience with the problem o Use Creative when Solutions are unclear New solutions need to be generated You have time to immerse yourself in the issues Know the barriers to decision making Study Guide for EXAM 3 o Anchoring and adjustment bias Refers to the tendency for individuals to rely too heavily on arbitrary numbers irrelevant traits or facts when making decisions When people rely too heavily on the first piece of information offered when Refers to a situation where info that is more readily available is seen as more making decision o Availability bias likely to occur o Escalation of commitment The cost of continuing the decision outweighs the expected benefit Individuals continue on a failing course of action after information reveals this may be a poor path to follow o Fundament attribution error Peoples tendency to place emphasis on internal characteristics to explain someone else s behavior in a given situation rather than considering external factors o hindsight bias occurs when