Development studies.

MosesGitau4©
Development studies. MosesGitau4©
Lesson One
The concept of development.
Development is the process of making creating the conditions for the realization of human personality which implies a
reduction in poverty unemployment and inequality. It is the planned positive change meant to improve people’s lives and
enable them to meet their needs and aspirations as individuals groups or societies. Development must lead to society set
objectives such as:

1. Increase in real per capita income

2. Improvement in distribution of income
3. Political and economic freedom
4. Equitable access to resources education healthcare employment opportunities and justice.

Development is an elevation of the society towards better life which entails:

 Life sustenance- the ability to provide the basic human needs without which life would be impossible.
 Self-esteem- refers to the sense of self-worth or respect. It can also be defined as identity dignity, honors and
recognition
 Freedom- means liberation /emancipation from alienating material conditions of life which enslaves people to
nature social systems, other people or institutions as well as dogmatic belief.

Objectives of development
 To increase availability and widen the distribution of basic life sustaining needs such as food, shelter, health care
and security.
 Raise the levels of living.
 To expand range of economic, political and social choice available to individuals and nations.

Poverty
This is the state of deprivation of all dimensions of life including economically, spiritually and intellectually. Common
people and nations are said to be poor if:

1. Low income generation

2. Backward technology
3. Low life expectancy
4. Prone to political instability and insecurity
5. Under-utilizations of natural resources

These deprivations create a poverty trap which indicates a situation where the poor are held together by interlocking
self-reinforcing forces that sustain and perpetuate poverty. These include: Vulnerability, Powerlessness, Isolation,
Voicelessness.

As a result the society:

1. Lacks ability to provide needs adequately.

2. Lacks a sense of self-worth and therefore suffer low self esteem
3. Unable to exercise choice because they are not free
4. Lacks capacity for self-reliance and therefore are not responsible for their livelihood.

Reasons to study development studies

It enables students to:

1. Understand the main development theories, concepts and debates.

2. Engage in an informed and critical way with professionals from diverse backgrounds.
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3. Approach development issues with confidence and knowledge.

Lesson Two
Theories of development
Modernization theory
Modernity- this is the social economic stage in a society characterized with the spread of scientist knowledge, the
development technology attainment of higher standards of material warfare and emergence of lawful and liberal and
democratic systems of governance.

 Modernity theory states a transition from a traditional society to a modern society.

 Society change is unidirectional.
 Development can only be achieved from industrialization, urbanization and technological transformation of
agriculture.

Differences between traditional and modern societies.

1. Traditional societies are composed of rural and agricultural systems, modern societies are characterized by
urban communities.
2. In traditional societies, status is inherited, in modern societies, status in achieved by working hard.
3. In traditional societies there is low division of labor, while in modern societies there is high division of labor.
4. Traditional societies have cruel technology while modern societies have high technology.
5. Traditional societies are subjective and particular, while modern societies are subjective and universal.

In order to achieve development, traditional societies should;

 Develop ability to mobilize capital for investment.

 Develop entrepreneurial skills and investment culture that is technologically driven. Progress is inevitable if a
society deploys:
o A value system stressing performance
o A structural capacity to absorb continuing change
o Aspirations to higher levels of literacy.
o Decreasing influence of religion

Stages of economic growth

1. Traditional stage
Output is limited due to inaccessibility to science and technology

2. Precondition to take off

Foundations of economic growth are established. Traditional aspects are present

3. The take off stage

Agriculture is fully commercialized and rural life is fully reorganized.

4. The drive to maturity

10 to 20% of GDP is saved. There is movement from heavy to service industry.

5. The age of mass consumption

There is consumer sovereignty.

Assumptions of Rowstow’s five stages.

 The stages are common to all societies.
 Modernizations is a homogenous process that societies strive towards convergence.
 Modernization is a transformative process.
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 Application of western science and technology.

Merits of modernization theory.

1. It is used on the basis of development based on industrial development and urbanization.
2. Focuses attention on role of values and attitudes in affecting people’s behaviors.
3. Highlights problems faced by third world countries and provides ground for their discussion.
4. It offers a clear development path for all countries.
5. Looks at transformation of societies
6. It shows that some factors such as technology must be present.

Demerits of modernization theory.

1. It over emphasizes economic variables.
2. It uses the terms traditional and modern societies in a mutually exclusive way.
3. It ignores the distractive role of colonialism and imperialism.
4. It does not recognize the unique differences between developed and developing countries.

Dependency theory
Under development in traditional societies is a product of the same process of development of capitalism that has given
rise in prosperity in rich countries and poverty in developing countries. The policy implication for dependency thinkers is:

 To advocate for complete withdrawal from the internal capitalistic system.

 Institute strong local controls that prevent international capital from dominating.
 Developing countries should develop closer economic and political relations among themselves.

Characteristics of under developed countries.

1. Low per capita income
2. Excessive dependency of agriculture
3. Rapid rate of population growth
4. Dependency on foreign trade.
5. Low level of technology and skills
6. Inadequate infrastructure and social services.

Merits of dependency theory

1. Advocates for self-reliance.
2. By advocating for cutting of development like between LDCs and DCs it was drawing attention to significance of
planned development.

Demerits of dependency theory.

1. Assumes all LDCs concentrate on production of raw materials
2. Capitalism is not always harmful.

Neo-Liberation theory
This is based on the belief that developing countries can and must rapidly develop of the basis of adopting policies of
limited government and allowing the market forces of demand and supply a free hand to allocate resources. It states
that third world countries could develop by rolling back the state from the economy and competing in an open world
economy. The proposed remedy is to encourage the private sector and liberalization at national economics. The
following proposals are recommended:

 Limited government
 Currency devaluation- weakening of the local currency in terms of foreign exchange makes exports cheaper.
 Privatization of the public enterprises- deliberate action by the government to reduce the size of the private
sector. It can take the following forms:
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o Denationalization- transferring public ownership of assets from the state to the private sector.
o Selling of public sector shareholdings in companies e.g. Safaricom
o Contracting out work.

Privatization enables a country not only reduce expenditure but to generate short term revenue. It also increases
efficiency.

Liberalization of trade- reduction of protectionists such as tariffs, exchange control quarters etc. All these programs are
referred to as Structural Adjustment Programs (SAPs). It is the name given to a set of free market economic policy
reforms imposed on LDCs as a condition of relieving loans from the World Bank.

Objectives of SAPs
1. Stimulate economic development.
2. Was designed to improve a countries foreign investment climate
3. Boost foreign exchange and promoting exports.
4. Cutting down on government expenditure.
5. Break political networks in parastatals.

Benefits of SAPs
1. Import liberalization improves access imported products.
2. Free up money used in repayment of external debts.

Reasons why SAPs failed

1. Improved harsh economic measures which depended poverty undermined food security and self-reliance and
led to unsustainable resource exploitation.
2. It threatened the sovereignty of national economies because an outside organization is dictating a nation’s
economic policy.
3. Lack of stake holder participation in the design and implementation of programs.
4. Has contributed to inequality in income distribution between social groups.
5. Increased gap between the rich and the poor.

Characteristics of free market economy.

1. Individuals own the factors of production and individually decide how to use them.
2. Consumers have a free choice as to what they buy.
3. Ownership of private property.
4. Freedom of choice and enterprise.
5. Self-interest- each economic agent attempts to do what is best for itself.
6. Competition

Advantages of the free market system.

1. Consumer sovereignty.
2. Consumers have a great choice of producers.
3. Firm have a greater incentive to bear risks since profit incentives exist.
4. Promotes individual and economic political freedom (foreign investment).
5. Does not create many opportunities for rent seeking activities (corruption).

Disadvantages of the free market system

1. Gives rise to development of monopolies- a monopole is a market situation when there is only one supplier.
2. Discriminated against public goods
3. Under provides for merit services e.g. health (socially desirable)
4. Many provide foe demerit goods (socially undesirable) e.g. drugs.
5. Inequalities in income generation.
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6. Economic activities that lead to unstable economy due to price fluctuations.

Human development approach.

It states that development should not start with institutions but with people.

Principles of Human Development.

1. Justice.
2. Sustainability of resources.
3. Inclusiveness- each person is granted an opportunity to participate and benefit from development.
4. Gender equality.
5. Rights to education.

Lesson Three
What is a strategy?
A strategy is a specific program of action for achieving the countries objectives by employing the countries resources
efficiently and economically.

Goals of industrial development in Kenya

1. To expand and diversify the country’s export base.
2. To increase employment.
3. To raise overall productivity of the economy.
4. To foster development of local management and entrepreneurial talent.

Import substitution industrialization (ISI)

This is an attempt to replace commodities that are being imported with domestic sources of production and supply.

Objectives of Import substitution Industrialization

1. To conserve foreign exchange
2. To create a process for domestic capital formation necessary for the formation of the industrial sector.
3. To transfer needed skills technology to the domestic economy.
4. To reduce excessive dependence on primary production.

Reason why I.S.I failed.

1. The main beneficiaries were mainly firms.
2. Subsidized Importation of capital goods.
3. The size of the domestic market was not enough to sustain ISI
4. Many Kenyans continued to import consumer products as they were thought to be of higher quality.

Rural development strategies.

Aimed at raising the levels of living in rural areas.

Integrated Rural Development Strategy (I.R.D)

Focusing on development in rural areas was necessary to ensure maximum benefit to the most people.

Special Rural Development Programs (S.R.D.P)

A way of addressing issues to rural development.

 It is a self-generating rural development activity.

 Improve capacity of rural servants operating in rural areas.
 Institutionize rural planning through establishment of administrative structures.
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Problems faced by SRDP
1. There was shortage of suitable skilled and trained local administrators.
2. Poor coordination of activities.
3. Disagreements between civil servants and university based researchers of the project.
4. Inability of government planners to prepare integrated area specific plans.
5. Too much freedom given to donors so as to meet their own funding objectives.

The SRDP stimulated the appearance of the district development committee leading the Rural Development Fund (RDF)

District focus on rural development.

This was intended to broaden the vest of rural development and encourage local initiatives that will complement the
ministry’s rule in order to improve design and implementation of local levels of development projects.

 Managing migrants to urban centers.

 Creating employment for the growing youth.
 Boost income making rural living more attractive to people.

Objectives of the DFRD

1. To encourage local participation in decision making.
2. To accelerate development in rural areas where a majority of the people live.
3. Promote equity in allocation of resources.
4. Reduce rural to urban migration.
5. Increase employment in the rural areas.

These objectives were to be realized through.

1. Ensuring better use of land though provision of basic services such as extension credit.
2. Building rural infrastructure
3. Improving farmer’s incomes through price guidelines.
4. Identifying easy and adoptable low cost technology for farmers.
5. Provision of incentives for dispersion of industries in rural areas.

The DFRD was built around the DDC and comprised of:
 The DC as the chair person.
 District heads of all ministerial departments.
 Elected officials from the district consisting of MPs and two officials from each local Authority.
 Civil society members.

Role of the DDC.

 Plan for the district specific objectives.
 Monitor and evaluate progress
 Coordinate all development activities
 Supervise implementation.

Why the DFRD failed. (1988)

1. Lack of adequate resources for development
2. Lack of genuine capacity to debate issues reasonably.
3. Lack of accountability and good governance.

The period of economic restructuring.

Export promotion by creation of export processing zones.

Advantages of export promotion industrialization strategy.

1. Likely to achieve larger economic scale.
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2. Promote competition between local and international enterprises.
3. They are more labor intensive

Disadvantages of export promotion industrialization strategy.

1. Can led to low quality products on the local industry.
2. Infant farms and industries become more vulnerable due to reduced government protection.
3. High exposure to harmful goods and services.

Harambee strategy
Aims of Harambee strategy.
1. Promote national unity and development through collective effort.
2. Reduce regional disparities in terms of resource imbalance for development.
3. Reduction in management of poverty, ignorance and disease.
4. Improve equality of rural life and its people.
5. Encourage participation in programs that indirectly affect people’s lives.

Reason why Harambee strategy failed.

1. Has failed to consider differences in capabilities of individuals.
2. Overshadows the role of development of the government.
3. Encouraged corruption.
4. Deviated from being voluntary contribution to forced contribution.
5. Exploits the poor.

Economic integration.
This is the action of a group of nations towards free trade. Free trade refers to where there is free flow of goods and
services in international exchange is neither restricted nor encouraged by the government.

Levels of economic integration.

 A free trade area- member countries reduce the barriers to trade among themselves.
 A custom union-member countries remove trade barriers but have a common tariff to external non-member
countries.
 The common market- in addition to meeting the custom union there is free mobility of factors of production
between member states.
 Economic union- where there is joint economic institutions to coordinate economic policy.

Advantages of economic integration.

1. Specialization in commodities where members have a comparative advantage.
2. Provision of wider market of goods.
3. Encouragement of better relations among member states.
4. Foreign investment because of larger profits in more enabling economic environment.
5. Where using a common currency, trade stability could be enhanced.
6. Where there is a common market regional employment will reduce.
7. It fosters a great degree of competition.
8. Causes distribution of income. Expands production in low income areas and restrict population in high income
areas.

Problems faced by economic integration in the LDCs

1. Political instability.
2. Many developing countries produce similar products.
3. More industrialized countries tend to gain more.
4. Trade diversion- shifting of sources of commodities from low to high cost producers.
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5. Loss in revenue from tariffs.
6. Where there is sharing of resources such as railway lines there is difficulty in allocating benefits and costs.
7. Inefficient industries may be killed by imports.

Trade blocs in Africa

 EAC- Kenya, Uganda, Tanzania
 COMESA - Angola, Burundi, Comoros, DRC, Djibouti, Kenya, Madagascar, Malawi…
 SADC – South Africa, Botswana, Zimbabwe, Namibia, Angola, Lesotho, Malawi, Mauritius, Mozambique,
Swaziland, Tanzania, Zambia.
 ECOWAS – Nigeria, Ghana, Benin, Burkina Faso, Togo…

Why NGOs are more suitable in economic development.

1. They have been created by the community initiative and enjoy a high degree of legitimacy.
2. They are better at identifying community needs since they are close to the people.
3. Promote high degree of participation
4. Are flexible and adaptive to local conditions.
5. Quick at decision making.
6. Running costs are lower.

Lesson Four
The role of Agriculture.
1. It contributes a large proportion of the GDP.
2. It facilitates full utilization of resource base.
3. As workers in agricultural sector earn more incomes, they demand for manufactured goods.
4. Boosts government revenue especially on taxation.
5. Industries depend on agricultural raw materials.
6. Increase in food production.
7. Saves on foreign exchange
8. Increased demand for other services e.g. transport and communication.
9. Contributes a significant source of saving.
10. Leads to increase in employment opportunities.

Problems faced by agriculture in developing countries.

1. Frequent price fluctuations.
2. Agricultural products are subject to long run declining terms of trade than manufactured goods.
3. Dependence on two or less agricultural product export.
4. Law of diminishing returns.
5. Agricultural products from developing countries are faced by protectionist barriers in developed countries.
6. Traditional methods of farming.
7. Market channels are inefficient.
8. Many farmers are subsistence farmers.
9. Prone to natural disasters
10. Season in nature hence seasonal unemployment.
11. Synthetic products replace agricultural products e.g. sisal

Policies to improve the agricultural sector.

1. Use of buffer stocks and buffer funds where necessary to stabilize agricultural prices.
2. Diversification of the economy
3. Use of more efficient methods of production.
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4. Credit facilities should be provided to farmers.
5. A more liberalized system should be introduced where the private sector picks up the role.
6. Research facilities should be developed
7. Where funds are available marginal lands should be cultivated.
8. Markets should be diversified.
9. Prompt payments to farmers.

Role of the industry on development

1. Leads to diversification of the economy.
2. Demand for industrial products is more elastic as compared to primary products.
3. It is subject to fewer price fluctuations.
4. Export promotion industries provide a good way of earing foreign exchange.
5. It is important source of employment that is nor seasonal
6. It provides vital input products for other sectors.
7. Developing countries lack fertile land.

Advantages of small scale industries.

1. They match with the small market is developing countries.
2. Advantage of employing more labor since they are labor intensive.
3. Less capital is required
4. Risky new products are tried out on a small scale first.
5. Encourage local entrepreneurship.
6. Facilitates dispersal of industries in rural areas.
7. Have a direct effect on income distribution.
8. Contribute economic independence since large scale enterprises require increased dependence.

Obstacles to industrial development in LDCs

1. Lack of adequate financial market
2. Limited availability of credit.
3. Shortages of energy.
4. Lack of entrepreneurial skills
5. Inadequate development of infrastructural facilities.

Problems of industrialization
1. Alienation- breakdown of social network and relationships.
2. Increasing insertion of market criteria to daily life.
3. Rapid urbanization with attendant poverty.
4. Increased child labor.
5. Crumbling infrastructure due to industrial concentration.
6. Uneven development.

Lesson Five
The role of the government in development.
1. Maintaining public service.
2. Influencing use of resources.
3. Determining use of incomes.
4. Shaping development institutions.
5. It formulates policies
6. Provides a framework and environment for development.
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7. Mobilizes resources.
8. Through central and local authorities the government provides education, healthcare, water and sanitation.

Role of the international community.

Their role is mainly played in three ways:

 Foreign direct Investment.

 Foreign Assistance. (foreign Aid)
 Technical cooperation.

Foreign Direct Investment. (FDI)

Refer to investment in another country carried out by private companies or individuals as opposed to government aim.
A Multi National Cooperation is a large enterprise having a home base in one country and operating wholly or partially
in other countries.

 FDI plays an important role in filling the resources gap.

 It generates employment.
 Many private foreign firms bring about technology.

Problems of MNC
1. Use of capital intensive technology that worsens employment.
2. They may worsen economy by suppressing domestic entrepreneurship.

Foreign aid
This is the assistance given to a developing country from a developed country.

Forms of foreign aid

Grant- A transfer payment which does not have to be repaid.

Loan – Funds transferred from one economic entity to another and will be repaid with interest.

Motives of giving foreign aid

 Economic motive – through the interest earned.
 Political motive – Developed countries give aid to developing countries whom they share a common political
system.
 Aesthetic motive – to show off to other countries.
 Humanitarian motive – aid given on sympathetic grounds.
 Historical motive – aid given to deepen the historical relations.

Civil society organizations (CSOs)

These are all organizations falling between the family and the state. Religious organizations, NGOs and CBOs.

Advantages of NGOs and CBOs.

1. Concrete political formulation
2. As service deliverers- NGOs play a bridging role between government and the people.
3. As monitors – monitor allocation of public resources at national and local level.
4. As innovators – they are instrumental in production of new approaches and techniques.
5. As partners – they work in partnership with the government and donors.

Weaknesses of NGOs.
1. Inadequate planning, organization and management.
2. Inadequate staff training
3. Inability to replicate projects and ensure sustainability.
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4. Inability to effectively collaborate with the government at appropriate levels.
5. Lack of coordination among individuals to ensure macro level development.

Lesson Six
Reasons for measurement of development.
1. Indicate the extent of economic and social well-being of the people
2. Serve as bench mark for future planning.
3. Serve as instrument for motivating evaluation and control of ongoing development programs.
4. Facilitate spatial and temporal comparisons of development
5. Serve as criteria for international aid.

National Income Indicators

Gross National Product. (GNP)
It measures economic development in terms of an increase in real national income over a long period of time. It is
defined as the money value of all goods and services produced in a year by citizens.

Importance of GNP as a measure of development.

1. Indicates the level of national income and provides information about different sectors.
2. By comparing GNP of a period of time, development can be assessed.
3. It facilitates to understand the economic problems of a country.
4. Contains the figures of consumption, saving and investments.
5. Comparisons can be made between countries.
6. It is helpful to formulate economic policies.
7. It is helpful to plan the annual budget of a country.

Difficulties in use of GNP

1. GNP measures in terms of money hence services are not assessed.
2. Illiteracy among producers gives false information regarding their activities.
3. Occupational specialization is not complete.
4. Income earned from illegal activities is not assessed.
5. Public services such as security cannot be estimated correctly.

Per capita income

Per capita income = National income / total population

This is the average income per head in a country.

Difficulties with income measurements of development.

1. There are other forms of wealth
2. Inflation- change in the value of money.
3. Population – population leads to deviation in per capita income
4. Distribution of income is not assessed
5. Working hours – an increase in national income may be as a result of longer working hours and inferior working
conditions.

Limitations of using national income statistics to compare development.

1. Different currencies.
2. Income distribution difference.
3. Different needs and tastes.
4. Different pricing structures.
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The Human Development Index
It encompasses life expectancy, education attainment and standards of living as measured by per capita income. It is
calculated by taking three indicators:

1. Longevity- life expectancy.

2
2. Education attainment is measured by a combination of adult literacy (3 weights) and combined primary,
secondary and tertiary enrollment ratio.
3. Standard of living- measured by real GDP- per capita based on purchasing power parity.

It is calculated by dividing the sum of the three indicators by 3.

Limitations of using HDI

1. The three indicators are not the only indicator of development.
2. It measures relative rather than absolute HD.
3. It tends to focus on inequality rather than other factors influencing human development.

Gender dimensions of Human Development.

 Gender-related Development Index. (GDI).
 Gender Empowerment Measure (GEM)

GDI measures achievements in basic human development adjusted for gender inequality. GEM examines to what extent
men and women actively participate in economics politics and decision making and command over economic resources.
To obtain a measure in gender inequality requires comparing GDI and HDI.

Lesson Seven
Scarcity of capital
The state of low capital means:

1. Poverty.
2. Imperfect maintenance of law and order
3. Political instability.
4. Unsettled monetary and banking systems.

Population factor.
A high population slows down development similarly a low population slows down development due to wastage of
resources.

HIV/AIDS as constrain in development.

Weaknesses and illnesses drains the population of their energy and reduce their capacity to work, produce and earn. It
mainly affects:

1. Education
a. Lowers school enrollment as orphans increase
b. Increases child labor
c. Loss of teachers and staffs
d. Affects quality of teaching
2. Agriculture

Government response to HIV/AIDS

1. Information campaigns
2. Prevention of transmission by screening of blood.
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3. Prevention of prenatal transmission.
4. Healthcare and counselling services.
5. National coordination and mobilization of funds to cope with the disease.

Corruption and development

Corruption in the abuse of power for private gain. Corruption flourishes when:

1. Standards are lax and poorly defined

2. Regulatory institutions and enforcement practices are weak
3. Low civil service salaries.
4. Promotion of staff unconnected to hard work.
5. Dysfunctional government budgets.
6. Loss of organizational purpose.
7. Bad example by senior officials.

Social and economic cost of corruption

1. Reduces transparency of the economic transactions.
2. Weakens the state and its ability to promote development and social justice.
3. Undermines the state’s legitimacy may render a country ungovernable and may lead to political instability and
war.
4. Financial fraud.
5. It threatens development safety social fairness, the environment and stability.

Lesson Eight
Leadership
This is the activity of influencing a group of people to strife willingly for group, community or national objectives.

Characteristics of leadership
1. It is a process of influence exercised but the leader and members of a group.
2. Leadership presupposed the existence of the group of followers
3. It is a personal quality.
4. It is a continuous process in which an executive guides and directs group members.
5. It is different from situation to situation
6. It is concerned with laying down of goals and policies.
7. It involves reconciliation of organizational goals

Leadership and development process

Importance of leadership
1. Motivating the people
2. Morale building
3. Creating confidence
4. Coordination
5. Goals setting
6. Facilitate change- dynamic leadership

Theories of leadership
Trait theory
It seeks to determine the personal characteristic of a successful leader. It has the following limitations.

1. Its emphasis on personal traits does not consider the environment or situation.
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2. It assumes leadership is an inborn quality and cannot be acquired.
3. There is no common lists of traits found in successful leaders.
4. There is no objective criteria to measure individual traits
5. It assumes personality traits are relatively stable across time.

The strengths of this approach are:

1. It is intuitively appealing – it is built on the premise that leaders are different and their differences reside in the
traits they possess.
2. It has a century of research to back it up
3. It provides deeper understanding of how a leader relates to his traits.
4. It gives a benchmark on what to look for to be leaders.

The critics of this approach are:

1. It fails to delimit finite lists of traits.

2. It fails to take situations into account
3. Has resulted to highly subjective determination of the “most important” leadership tools
4. Fails to look at traits in leadership outcomes. Fails to address how leadership affects members.
5. It is not a useful approach for training and development for leadership.

Skills approach
It emphasizes on skills and abilities that can be learned and developed. These skills are:

1. Technical – a person’s knowledge on technique

2. Human – ability to interact with people
3. Conceptual – manager’s idea which enables manager to set up models and design plans.

Strengths of this approach are:

1. It is a leader centered model that stresses importance of developing particular leadership skills
2. It is intuitively appealing- people can study and learn leadership skills
3. Provides an expansive view of leadership.

Critics of this approach are:

1. The breadth of this approach seen to extend beyond boundaries of leadership.

2. Weak in predictive value and does not explain how variation is social skills and problem solving skills affects
performance.
3. It also touches on traits and individual attributes.

Behavioral theory.
Its emphasis is on actual behavior. One limitation is that a particular behavior may be effective at a particular time but
not effective at another.

Situational theory
According to this theory, leadership is affected by a situation from which the leader emerges. Task motivated leaders are
concerned with reaching a goal. Relationship motivated leaders are concerned with developing close interpersonal
relations.

This theory (also known as the contingency theory) suggest that situation scan be characterized by assessing three
factors: leader- member relations, task structure and position power.

Leader- member relations refer to the group atmosphere and degree of confidence, loyalty and attraction.
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Task structure refers to the degree to which the requirement of a task are clear and spelt out.

Position power refers to amount of authority.

The strengths of this theory are:

1. Supported by a great deal of empirical research.

2. Forces us to consider impact of situations on leaders.
3. It is predictive.
4. It does not require that people be effective in all areas.
5. Provides data on leader style that could be useful to organizations.

The limitations of this theory are:

1. Fails to explain fully why individuals are more effective in some situations.
2. It is cumbersome to use real world setting
3. Fails to explain what organizations would do when there is a mismatch between the leader and the situation.

Transformational leadership
A process that changes and transforms individuals.

Transactional leadership – refers to the bulk of leadership models which focuses on exchanges that occur between
leadership and followers.

Strengths of transformational leadership:

1. It is supported by a great deal of research.

2. Has an intuitive appeal – describes how a leader is out front advocating for the members.
3. Treats leadership as a process that occurs between leaders and followers.
4. Places a strong emphasis on follower needs.
5. As effective leadership that is positively related to subordinate satisfaction.

Critics of this theory:

1. Lacks conceptual clarity because it covers a wide range hence lacks parameters.
2. Treats leadership as a personal trait or personality disposition.
3. It has the potential to be abused.
4. It is based on qualitative data from previous leaders.

Types of leadership
Autocratic / authoritarian leader
One who centralizes on making power in himself and gives order to employees and insists that they should be obeyed.

 He decides policies for the group without consulting the group.

 He does not delegate authority and runs the whole show by himself.
 He does not inform employees the purpose of the orders and does not inform about future plans.
 He expects employees to follow him blindly.

It is of two types:

 Strict autocrat (exploitative autocrat) – relies on negative influence

 Benevolent autocrat – uses a positive motivation style

Advantages of autocrat leadership

1. Some employees get satisfaction from working under strict discipline.
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2. There is quick decision making.

Disadvantages of autocrat leadership

1. Because of strictness, many employees dislike it.
2. Lack of motivation and morale, frustration and insecurity.
3. Future leaders do not develop.
4. It is unpopular and resented by employees.

Participative and democratic leader.

A democratic leader takes decisions in consultation with his subordinates.

Advantages of democratic leadership

1. Increases acceptance of management’s ideas.
2. Employees are highly motivated.
3. Decisions are implemented whole heartedly.
4. Reduces number of grievances.
5. Seeks to evolve a self-regulating and self-disciplining mechanism
6. Possibility of making better decisions.
7. Good relations between leader and the subordinates.

Laissez fair / free rein style

The leader entrusts decision making to the employees. He avoid using power.

Factors influencing choice of leadership style.

1. Forces on the leader.
2. Forces on the subordinates.
3. Forces on the situation.

Lesson Nine
Forms of ICT
Computer, internet, intranets, satellite systems, radios.

Advantages of ICT
1. Transport
2. E-government
a. It enhances transparency.
b. Makes the government result oriented.
c. Enabling the citizens to access government services and information.
3. Education and e- learning.
a. Access to research
b. Interaction between teachers and students.
4. Health
5. Agriculture

The ICT industry in Kenya

1. The government still plays a major role in the regulation, licensing and provision of ICT services.
2. There is no facilitative legislation in place to support the expansion and widespread adoption of ICT services.
3. Most ICT tools are imported from developed countries making them expensive.
4. There is less research and development of ICT tools techniques leading to lack of local content.
5. Public sector ICT tools are mainly domination which ordinarily out of date.
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6. Driven generally by profit minded organizations.
7. Low national budges.

Factors hindering widespread use of ICT in Kenya.

1. Inadequate infrastructure.
2. High costs.
3. Illiteracy.
4. Proximity of ICT services.
5. ICT championship
6. Socio-cultural factors.

Globalization
This is the growing interdependence of countries worldwide through the increasing volume and variety of cross-border
transactions in goods and services.

Negative implications of globalization in developed countries.

1. Exposes their economies to external forces which they have no control
2. Reduced national sovereignty making macroeconomic management by domestic governments difficult.
3. Declining taxation and custom regimes.
4. Strengthens the position of the developed countries which are able to take advantage of the technologies.

Lesson Ten
Ethical dimension in Development.
Ethics is a discipline or a branch of philosophy which deals with theories of value and their application to human life. A
philosophical study of the principles that govern or should govern the conduct of people (moral agents) in society.

Ethical judgment
1. Reason – it requires that we base the ethical views and beliefs we hold on rational considerations.
2. Customs – they are based on the repositories of people’s traditions.

The theories of ethical thinking

Teleological theories.
It tries to answer questions about right and wrong by focusing on whether the individuals conduct will produce desirable
consequences. It is answered by looking at the outcomes. In accessing consequences there are three different
approaches:

Ethical egoism – an individual should act so as to create greatest good for herself or himself.

Utilitarianism – we should behave so as to create greatest good for the greatest number.

Altruism – actions are moral if their primary purpose is to show concern for the best interest of others even when it runs
contrary to his or her own self interests.

Deontological theory
The only acceptable motive for moral action was a sense of duty. It is based on the moral obligations of a leader towards
his specific duty.
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Virtue based theories
Focuses on who the leaders are as people. It is believed that virtue and moral abilities are not innate and can be
acquired and learned through practice.

Reasons for institutionalizing ethics in development

1. To enable the society or organization and its workers to understand and resole ethical dilemmas.
2. To enable countries and organization to strike a balance between its core objectives and its responsibilities to
other stake holders and common good in general
3. To enable the people and their leaders to avoid unethical conduct.
4. To enable organizations to promote and ensure a more equitable distribution of the benefits, promote
individual self-respect.
5. To define unethical behavior as well as clarify outcomes if violations occur.
6. As a basis for the evaluation of human practices by calling upon moral standards.