Lesson 2-2: Leadership Theory

Provide examples for the situations in which each of the major decision styles of the Normative Decision Model would be appropriate and of how the Path-Goal Theory of leadership can be used to improve leadership effectiveness.

Discussion Question 2-2

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Discussion Question 2-2

Provide examples for the situations in which each of the major decision styles of the Normative Decision Model would be appropriate

The five decision-making styles, according to the Normative Decision Model (Vroom & Yetton, 1973), are the two types of autocratic decision-making (AI and AII), the two types of consultative decision-making (CI and CII), and the group decision-making style (GII). AI involves a leader making a decision alone without having to consult or solicit input from other people. An example of a situation when this style would be appropriate is where a leader is making decisions on disciplinary matters or where a leader is providing a decision on working hours. AII involves a leader deciding after consulting members or acquiring relevant information. An example of a situation where this style would be appropriate is where a leader wants to decide on product design. The leader will ask the members to contribute their product design ideas, mostly anonymously, before deciding on the best design.

CI involves a leader making decisions after acquiring information and ideas from the members individually (Vroom & Yetton, 1973). For example, in the above example, the leader may consult each member individually and evaluate the ideas that they have, before deciding on which design idea to utilize. CII involves a leader making a decision after holding a meeting with the members as a group to collect their ideas, suggestions, and evaluation. When deciding on necessary organizational changes, a leader may hold a meeting with the departmental heads and supervisors to discuss what areas need change. GII involves a leader and the members making a group decision through consensus. The leader may chair the group but only acts as one of the group members. When deciding on project timelines and organization of work, a project manager may call a meeting where work will be discussed and timelines identified through arrival at a consensus.

How the Path-Goal Theory of leadership can be used to improve leadership effectiveness

Two key factors influence the effectiveness of a leadership style: the environmental factors and the characteristics of the followers. Path-Goal theory assumes that leaders are flexible, which means that they can change their style of leading based on the requirements of the situation at hand (House, 1971). The theory takes into consideration two main variables – environment and employee characteristics (locus of control, perceived ability, and experience) – which dictate the style used by a leader (House, 1971). While the environment is beyond the control of the authority system and follower-task structure, employee characteristics are used to determine how the leader and environment are interpreted. Path-Goal theory expects leaders to clarify the path to make it easier for followers to achieve goals and to minimize roadblocks. The theory reminds leaders that their key role is to help followers or employees define and reach their goals efficiently.

References

House, R. J. (1971). A path-goal theory of leader effectiveness. Administrative science quarterly, 321-339.

Vroom, V. H., & Yetton, P. W. (1973). Leadership and decision-making (Vol. 110). University of Pittsburgh Pre.