INDIVIDUAL DIFFERENCES

Introduction & Definition

No two persons are alike. All the individuals differ from each other in many a
respects. Children born of the same parents and even the-twins are not alike. This
change is seen in physical forms like in height, weight, colour, complexion strength
etc., difference in intelligence, achievement, interest, attitude, aptitude, learning
habits, motor abilities, skill. Individual difference psychology examines how people
are similar and how they differ in their thinking, feeling and behaviour.

Bbehavioural differences between individuals

“Individual differences are found in all psychological characteristics physical mental

abilities, knowledge, habit, personality and character traits.”

It is generally assumed that:

 People vary on a range of psychological attributes
 It is possible to measure and study these individual differences
 individual differences are useful for explaining and predicting behaviour and
performance

Abilities
Abilities are the traits a person learns from the environment around as well as the
traits a person is gifted with by birth. These traits are broadly classified as −
 Mental abilities
Physical abilities

1. Physical differences:
Shortness or tallness of stature, darkness or fairness of complexion, fatness, thinness,
or weakness are various physical individual differences.
2. Differences in intelligence:
There are differences in intelligence level among different individuals. We can classify
the individuals from super-normal (above 120 I.Q.) to idiots (from 0 to 50 I.Q.) on the
basis of their intelligence level.
3. Differences in attitudes:
Individuals differ in their attitudes towards different people, objects, institutions and
authority.
Factors affecting Individual Differences

I. Personal Factors:
A. Biographic Characteristics
B. Learned Characteristics

A. Biographical Characteristics:
All the human beings have certain characteristics which are genetic in nature and are
inherited.
These are the qualities which the human beings are born with.

1. Physical Characteristics:
Some of these characteristics are related to height, skin, complexion, vision, shape
and size of nose, weight etc.
All these have an impact on the performance of the individuals.
2. Age:

Psychologically, younger people are expected to be more energetic, innovative,

adventurous, ambitious and risk taking. Whereas old people are supposed to be
conservative, set in their own ways and less adaptable.
3. Gender:
The traditional view was that man is tougher than woman or women are highly
emotional than men.
Gender has its impact on absenteeism.
4. Religion:
Religion and religion based cultures play an important role in determining some
aspects of individual behaviour, especially those aspects which concern morals, ethics
and a code of conduct.

5. Marital Status:
Research has consistently indicated that as marriage imposes increased
responsibilities, to have a steady job becomes more valuable and important. Married
employees have fewer absences

Ability of an individual can be of two types:

(i) Intellectual Ability:
Some important dimensions used to ascertain intellectual ability are number
aptitude, comprehension, perceptual speed and test of reasoning.
(ii) Physical ability:
Physical abilities include a person’s stamina etc. If the performance of a particular job
requires some specific physical abilities, it is the duty of the management to identify
the employees having those abilities.

A. Acquired/Learned Characteristics:
1. Personality:
Personality generally refers to personal traits such as dominance, aggressiveness,
persistence and other qualities reflected through a person’s behaviour.
An individual’s personality determines the types of activities that he or she is suited
for.
2. Perception:
Perception is the viewpoint by which one interprets a situation.
Psychology says that different people see and sense the same thing in different ways.
For example, if a new manager perceives an employee to be a job shirker, he will give
him less important jobs, even though that employee is a very able person. Often after
some time our perception about others change.
3. Attitude:
An attitude may be defined as the way a person feels about something, a person, a
place, a thing, a situation or an idea.
4. Values:
Values are global beliefs that guide actions and judgements across a variety of
situations.
Individual values are influenced by the parents, teachers, friends and other external
forces.
C. Environmental Factors:
1. Economic Factors.
a) Salary is the major factor affecting the decision of a worker to stay in a particular
organisation or shift to another one which will pay more wages.
(b) General Economic Environment (SNAPDEAL)
Some employees who are working in Government offices or public sector
undertakings are not affected by economic cycles. Whatever the economic position
of the organisation, they will receive their salaries. Whereas, the employees, who
work in the organisations, which are severely affected by economic cycles are
subjected to layoffs and retrenchment. For these employees job security and a stable
income is the most important factor whereas the former employees will be motivated
by some other factors.

2. Socio-cultural Factors:
The social environment of an individual includes his relationship with family
members, friends, colleagues, supervisors and subordinates.
Similarly, every individual has a cultural background, which shapes his values and
beliefs.
3. Political Factors
Political environment of the country will affect the individual behaviour not directly,
but through several other factors.
The political ideology of a country affects the individual behaviour through the
relative freedom available to its citizens.
The relative freedom available to the individuals can affect their career choice (NAZI
GERMANY), job design and performance.

4. Legal Environment.
Rules and laws are formalized and written standards of behaviour.

III. Organisational Factors:

1. Physical Facilities:
noise level, heat, light, ventilation, cleanliness, nature of job, office furnishing,
number of people working at a given place etc.

2. Leadership:
The human behaviour is influenced to a large extent by the behaviour of the
superiors or leaders.
Reward System:
The behaviour and performance of the individuals is also influenced by the reward
system established by the organisation to compensate their employees.

Importance of Individual Differences

Knowledge of individual differences helps us understand and deal with people

effectively in organizations.

1. Physical Facilities:
noise level, heat, light, ventilation, cleanliness, nature of job, office furnishing,
number of people working at a given place etc.

2. Leadership:
The human behaviour is influenced to a large extent by the behaviour of the
superiors or leaders.

Reward System:
The behaviour and performance of the individuals is also influenced by the reward
system established by the organisation to compensate their employees
a) Salary is the major factor affecting the decision of a worker to stay in a particular
organisation or shift to another one which will pay more wages.
Helps in change management
In forming teams

Effect of Training

 Most training is targeted to ensure trainees “learn” something they apply to

their job.

 This GAP can be separated into 3 main themes

 Attitude

 Skills

 Knowledge

 Improve performance

 Improve operational flexibility

 Attract high-quality employees

 Increase employee commitment

 Help manage change

 Help develop a positive culture

 Provide higher levels of service to customers

 A means of increasing effectiveness

 Key to competitive advantage

 Improve ability to innovate

 Cope with rapid technological development

 Cope with greater competition

 Employee empowerment

 Flexibility
Employee motivation

Internal forces that affect a person’s voluntary choice of behaviour

 direction
 intensity
 persistence

Employee ability
Natural aptitudes and learned capabilities required to successfully complete a task
competencies  personal characteristics that lead to superior performance.
Employee role perceptions
Beliefs about what behaviour is required to achieve the desired results:
 understanding what tasks to perform
 understanding relative importance of tasks
 understanding preferred behaviours to accomplish tasks
Situational factors
Environmental conditions beyond the individual’s short-term control that constrain
or facilitate behaviour
 time
 people
 budget

 work facilities

WHAT BEHAVIOURS CAN BE CHANGED THROUGH TRAINING?

Changing behaviour through REINFORCEMENT
Changing behaviour through FEEDBACK
Behavioural modelling: observing and modelling behaviour of others
MOTIVATION
Motivation is an internal process that makes a person move toward a goal. Motivation is
defined as the process that initiates, guides, and maintains goal-oriented
behaviors. Motivation is what causes you to act, whether it is getting a glass of water to
reduce thirst or reading a book to gain knowledge.

Motivation describes the wants or needs that direct behavior toward a goal. It is an urge to
behave or act in a way that will satisfy certain conditions, such as wishes, desires, or goals.

TYPES PF MOTIVES

Types of Motives:
Biological Motivation and Homeostasis:
Biological motives are called as physiological motives. These
motives are essential for the survival of the organism. Such motives
are triggered when there is imbalancement in the body. The body
always tends to maintain a state of equilibrium called
“Homeostasis”- in many of its internal physiological processes.

This balance is very essential for the normal life. Homeostasis helps
to maintain internal physiological processes at optimal levels. The
nutritional level, fluid level, temperature level, etc., are maintained
at certain optimal level or homeostasis levels. When there is some
variation in these levels the individual is motivated for restoring the
state of equilibrium.

I) Physiological Motives:
a. Hunger motive:
We eat to live. The food we take is digested and nutritional
substances are absorbed. The biochemical processes get their
energy from the food in order to sustain life. When these substances
are exhausted, some imbalancement exists.

We develop hunger motive in order to maintain homeostasis. This is

indicated by contraction of stomach muscles causing some pain or
discomfort called hunger pangs. Psychologists have demonstrated
this phenomenon by experiments.

b. Thirst motive:
In our daily life regularly we take fluids in the form of water and
other beverages. These fluids are essential for our body tissues for
normal functioning. When the water level in the body decreases we
develop motive to drink water.

Usually thirst motive is indicated by dryness of mouth. Experiments

by psychologists have shown that just dried mouth getting wetted is
not enough. We need to drink sufficient quantity of water to satiate
our thirst.
c. Need for oxygen:
Our body needs oxygen continuously. We get it through continuous
respiration. Oxygen is necessary for the purification of blood. We
cannot survive without regular supply of oxygen. Lack of oxygen
supply may lead to serious consequences like damage to brain or
death.

d. Motive for regulation of body temperature:

Maintenance of normal body temperature (98.6°F or 37.0°C) is
necessary. Rise or fall in the body temperature causes many
problems. There are some automatic mechanisms to regulate body
temperature, like sweating when the temperature rises above
normal or, shivering when it falls below normal.

These changes motivate us to take necessary steps. For example,

opening of windows, put on fans, take cool drinks, remove clothes,
etc., when the temperature increases to above normal level; and
closing doors and windows, wear sweaters, take hot beverages when
temperature falls down. In this way we try to regulate the body
temperature.

e. Need for sleep:

Sleep is an essential process for normal functioning of body and
mind. When our body and mind are tired they need rest for
rejuvenation of energy. It is observed that there is excess
accumulation of a toxin called ‘Lactic acid’ when tired.

After sleep it disappears and the person becomes active. Sleep

deprivation also leads to psychological problems like confusion,
inability to concentrate, droopy eyelids, muscle tremors, etc.

f. Need for avoidance of pain:

No organism can continue to bear pain. Whenever we experience
pain we try to avoid it. We are motivated to escape from painful
stimulus. For example, when we are under hot sun we go to shade.
When something is pinching we avoid it.
g. Drive for elimination of waste:
Our body cannot bear anything excess or anything waste. Excess
water is sent out in the form of urine or sweat. So also digested food
particles after absorption of nutritional substances are sent out in
the form of stools. We experience discomfort until these wastes are
eliminated.

h. Sex motive:
This is a biological motive, arises in the organism as a result of
secretion of sex hormones-like androgens and estrogens. Sex need
is not essential for the survival of the individual, but it is essential
for the survival of the species. However, fulfillment of the sex need
is not like satisfying hunger or thirst.

The society and the law exercise certain codes of conduct. Human
being has to adhere to these rules. Usually this need is fulfilled
through marriage.

i. Maternal drive:
This is an instinct or an inborn tendency. Every normal woman
aspires to become a mother. Psychologists have

Motivation, Emotion and Attitudinal Processes 123 learnt from

related studies that, this is a most powerful drive. That is why in
many cases the women who cannot bear children of their own, will
sublimate that motive and satisfy it through socially acceptable
ways, like working in orphan schools, baby sittings or adopting
other’s children.

II) Social Motives:

Physiological motives discussed above pertain to both animals as
well as human beings, but the social motives are specific only to
human beings. These are called social motives, because they are
learnt in social groups as a result of interaction with the family and
society. That is why their strength differs from one individual to
another. Many social motives are recognised by psychologists. Some
of the common social motives are:
a. Achievement motive:
Achievement motivation refers to a desire to achieve some goal.
This motive is developed in the individual who has seen some
people in the society attaining high success, reaching high positions
and standards.

He/she develops a concern to do better, to improve performance.

David C Mc Clelland who conducted a longitudinal study on
characteristics of high and low achievers found that the high
achievers choose and perform better at challenging tasks, prefers
personal responsibility, seeks and utilizes feedback about the
performance standard, having innovative ideas to improve
performance.

On the other hand, low achievers do not accept challenges, puts on

average standards and accepts failures easily. Parents must try to
inculcate leadership qualities in children for better achievement in
their future life.

They must allow children to take decisions independently, and

guide them for higher achievement from the childhood, so that the
children develop high achievement motivation.

b. Aggressive motive:
It is a motive to react aggressively when faced frustrations.
Frustration may occur when a person is obstructed from reaching a
goal or when he is insulted by others. Even in a fearful and
dangerous do or die situation the individual may resort to
aggressive behaviour. Individual expresses such behaviour to
overcome opposition forcefully, which may be physical or verbal
aggression.

c. Power motive:
People with power motive will be concerned with having an impact
on others. They try to influence people by their reputation. They
expect people to bow their heads and obey their instructions.

Usually people with high power motive choose jobs, where they can
exert their powers. They want people as followers. They expect high
prestige and recognition from others. For example, a person may
aspire to go for jobs like Police Officer, Politician, Deputy
Commissioner, etc.

d. Acquisitive motive:
This motive directs the individual for the acquisition of material
property. It may be money or other property. This motive arises as
we come across different people who have earned a lot of money
and leading a good life. It is a human tendency to acquire all those
things which appear attractive to him.

e. Curiosity motive:
This is otherwise called stimulus and exploration motive. Curiosity
is a tendency to explore and know new things. We see people
indulge in a travelling to look at new places, new things and new
developments taking place outside their environment.

People want to extend their knowledge and experiences by

exploring new things. Curiosity motive will be very powerful during
childhood. That is why they do not accept any toy or other articles
unless they examine them from different angles, even at the cost of
spoiling or breaking the objects.

f. Gregariousness:
This is also known as affiliation need. Gregariousness is a tendency
to associate oneself with other members of the group or same
species. The individual will be interested in establishing,
maintaining and repairing friendly relationships and will be
interested in participating in group activities.

Individual will conform to social norms, mores and other ethical

codes of the groups in which he/she is interested. To the greater
extent gregariousness is developed because many of the needs like
basic needs, safety and security needs are fulfilled.

In addition to the above there are some other social motives like
need for self-esteem, social approval, self-actualization, autonomy,
master motive, combat, defense, abasement, etc.
III) Personal Motives:
In addition to the above said physiological and social motives, there
are some other motives which are allied with both of the above said
motives. These are highly personalized and very much
individualized motives. The most important among them are:

a. Force of habits:
We see different people having formed different habits like chewing
tobacco, smoking, alcohol consumption, etc. There may be good
habits also like regular exercising, reading newspapers, prayers,
meditations, etc. Once these habits are formed, they act as drivers
and compel the person to perform the act. The specialty of habits is
that, they motivate the individual to indulge in that action
automatically.

b. Goals of life:
Every normal individual will have some goals in the life. They may
be related to education, occupation, income, sports, acquisition of
property, public service, social service, etc. Once a goal is set, he will
be motivated to fulfil that goal. The goals people set, depend upon
various factors like knowledge, information, guidance, support,
personality, facilities available, aspirations, family and social
background, etc.

c. Levels of aspirations:
Aspiration is aspiring to achieve or to get something or a goal. But
such achievement depends upon the level of motivation the
individual has. Every individual will have a goal in his life and strive
to reach that goal. But the effort to attain that goal varies from one
individual to another. The amount of satisfaction he gains depends
upon his level of aspiration.

For example, if a student is expecting 80% of marks in examination,

gets only 75%, he may be unhappy. On the other hand, a student
expecting failure may feel very happy if he gets just 35% passing
marks, because, the student with high level of aspiration works
hard, whereas the student with low level may not.
Hence, always higher level of aspiration is advisable. However, it
should be on par with his abilities also. Because, if an individual
aspires for higher level of achievement without possessing required
ability, he will have to face frustration and disappointment.

d. Attitudes and interests:

Our attitudes and interests determine our motivation. These are
specific to individual. For example, a person within the family, may
have positive attitude towards family planning and all others having
negative attitudes.

So also, interests differ from one individual to another. Example,

interest in sports, T.V, etc. Whenever we have a positive attitude, we
will have motivation to attain. In negative attitude, we will be
motivated to avoid. If a person is interested in music, he will be
motivated to learn it. In this way, our personal motives determine
our behaviour.

Unconscious motivation:
Sigmund Freud, the famous psychologist has explained elaborately
about unconscious motivation. According to him, there are certain
motives of which we are unaware, because they operate from our
unconscious.

These motives or desires which are repressed by our conscious

remain in our unconscious and will be influencing our behaviour.

Our irrational behaviour, the slip of tongue, slip of pen, amnesia,

multiple personality, somnambulism, etc., are some examples of
such behaviours for which we do not have answers apparently.

These motives can be delineated only by psychoanalysis. Many

times psychosomatic disorders like paralysis, headaches, gastric
ulcers, etc., also may be due to unconscious motivation.

SOURCES OF MOTIVATION
 Source #1: Motivation of Growth and Achievement. ...
 Source #2: Motivation of Incentive/Reward. ...
 Source #3: Motivation of Social Belonging. ...
 Source #4: Power. ...
 Source #5: Motivation of Fear.

What are the big motivation factors for

employees?

It's relatively easy and cheap to solve most retention problems. Most workers really
don't leave for money but managers like to hear it's the money, because that shifts
the blame for losing employees away from themselves and onto other parts of the
organisation.

Employees too often say they left for financial reasons in exit interviews to preserve
their positive references and because they see little chance that telling the truth will
result in any changes.
More Resources from Monster:

 Hire with Monster

 More Recruitment & Hiring Advice
 Why Monster?

If you look at the real causes of turnover, through delayed exit interviews and
comparing the difference between an exiting employee’s current and offered
salaries, you'll find that managers have control over the majority of the reasons
people leave their jobs.

The big motivators

  Communication - Honest, frequent two-way communication between workers and
managers, including constructive discussion of workplace issues.

 Challenging and exciting work - Ensure every employee has a challenge plan and is
periodically asked to rate the degree of job excitement.

 Opportunities - Reward managers for developing their employees and make sure that
employees are held accountable for following through on their individual learning
plans.

 Recognition and reward for performance - Make it clear what the incentives are and
reward fairly across all departments so employees see the benefits of effort.

 Control over the job - You've employed your staff to do a job, so let them do it. Trust
people to be able to shape the way they work and the projects they get involved in.

 Business Impact - Provide employees with periodic reports on the effect their projects
are having on the business so they know their work makes a difference.

The money factor

An excellent argument can be made that managers can significantly influence
employee compensation at many firms. It is certainly true that compensation is so
interrelated with the Big Six issues, that taking compensation out of managers’
hands weakens their ability to retain talent.

By telling employees up-front that managers have control over compensation, you
force mangers to discuss pay on a one-on-one basis with their workers. After
managers overcome the "my hands are tied" compensation hurdle, other individual
communication on motivational issues is much easier.

Even when new salary offers are significantly higher, you'll often find that bad
management practices caused employees to look for other jobs, and that only after
looking did they realize they could get more money and better treatment if they left.
One solution to this type of turnover is relatively simple. Start by telling employees
what they should expect from their managers, and help managers improve their
delivery of the key motivators.

If you find employees are leaving for better jobs, HR needs to give managers the
tools necessary to make their employees’ current jobs the better jobs.

Making jobs better

Tell your managers it's their responsibility to ensure their employees are satisfied
and motivated. Hold your managers accountable and publicise their retention
successes and failures by distributing retention metrics throughout your organization.

Develop a periodic measurement system to see if managers are delivering. Then tie
a portion of managers’ compensation to successful delivery of the motivation factors
and a low turnover rate among top performers

You should educate your employees on what motivational factors are, and how you
strive to motivate them. if they can see that your business is putting in the effort, the
likelihood of them leaving is vastly reduced.

THEORIES OF MOTIVATION

The content theories deal with “what” motivates people, whereas the
process theories deal with, “How” motivation occurs. Thus, theories of
motivation can be broadly classified as:

Content Theories: The content theories find the answer to what motivates
an individual and is concerned with individual needs and wants. Following
theorists have given their theories of motivation in content perspective:
1. Maslow’s need Hierarchy
2. Herzberg’s Motivation-Hygiene Theory
3. McClelland’s Needs Theory
4. Alderfer’s ERG Theory

Process Theories: The process theories deal with “How” the motivation
occurs, i.e. the process of motivation and following theories were given in
this context:

1. Vroom’s Expectancy Theory

2. Adam’s Equity Theory
3. Reinforcement Theory
4. Carrot and Stick Approach to Motivation

Some of the most important theories of motivation are as follows: 1. Maslow’s Need
Hierarchy Theory 2. Herzberg’s Motivation Hygiene Theory 3. McClelland’s Need
Theory 4. McGregor’s Participation Theory 5. Urwick’s Theory Z 6. Argyris’s Theory 7.
Vroom’s Expectancy Theory 8. Porter and Lawler’s Expectancy Theory.

From the very beginning, when the human organisations were established, various
thinkers have tried to find out the answer to what motivates people to work.
Different approaches applied by them have resulted in a number of theories
concerning motivation.

These are discussed in brief in that order.

1. Maslow’s Need Hierarchy Theory:

It is probably safe to say that the most well-known theory of motivation is Maslow’s
need hierarchy theory Maslow’s theory is based on the human needs. Drawing chiefly
on his clinical experience, he classified all human needs into a hierarchical manner
from the lower to the higher order.

ADVERTISEMENTS:

In essence, he believed that once a given level of need is satisfied, it no longer serves
to motivate man. Then, the next higher level of need has to be activated in order to
motivate the man. Maslow identified five levels in his need hierarchy as shown in
figure 17.2.

These are now discussed one by one:

1. Physiological Needs:

ADVERTISEMENTS:

These needs are basic to human life and, hence, include food, clothing, shelter, air,
water and necessities of life. These needs relate to the survival and maintenance of
human life. They exert tremendous influence on human behaviour. These needs are
to be met first at least partly before higher level needs emerge. Once physiological
needs are satisfied, they no longer motivate the man.

2. Safety Needs:

After satisfying the physiological needs, the next needs felt are called safety and
security needs. These needs find expression in such desires as economic security and
protection from physical dangers. Meeting these needs requires more money and,
hence, the individual is prompted to work more. Like physiological needs, these
become inactive once they are satisfied.

3. Social Needs:

Man is a social being. He is, therefore, interested in social interaction,

companionship, belongingness, etc. It is this socialising and belongingness why
individuals prefer to work in groups and especially older people go to work.

4. Esteem Needs:
These needs refer to self-esteem and self-respect. They include such needs which
indicate self-confidence, achievement, competence, knowledge and independence.
The fulfillment of esteem needs leads to self-confidence, strength and capability of
being useful in the organisation. However, inability to fulfill these needs results in
feeling like inferiority, weakness and helplessness.

5. Self-Actualisation Needs:

This level represents the culmination of all the lower, intermediate, and higher needs
of human beings. In other words, the final step under the need hierarchy model is
the need for self-actualization. This refers to fulfillment.

The term self-actualization was coined by Kurt Goldstein and means to become
actualized in what one is potentially good at. In effect, self- actualization is the
person’s motivation to transform perception of self into reality.

According to Maslow, the human needs follow a definite sequence of domination.

The second need does not arise until the first is reasonably satisfied, and the third
need does not emerge until the first two needs have been reasonably satisfied and it
goes on. The other side of the need hierarchy is that human needs are unlimited.
However, Maslow’s need hierarchy-theory is not without its detractors.

The main criticisms of the theory include the following:

1. The needs may or may not follow a definite hierarchical order. So to say, there may
be overlapping in need hierarchy. For example, even if safety need is not satisfied,
the social need may emerge.

ADVERTISEMENTS:

2. The need priority model may not apply at all times in all places.

3. Researches show that man’s behaviour at any time is mostly guided by multiplicity
of behaviour. Hence, Maslow’s preposition that one need is satisfied at one time is
also of doubtful validity.

4. In case of some people, the level of motivation may be permanently lower. For
example, a person suffering from chronic unemployment may remain satisfied for the
rest of his life if only he/she can get enough food.

Notwithstanding, Maslow’s need hierarchy theory has received wide recognition,

particularly among practicing managers. This can be attributed to the theory’s
intuitive logic and easy to understand. One researcher came to the conclusion that
theories that are intuitively strong die hard’.

2. Herzberg’s Motivation Hygiene Theory:

The psychologist Frederick Herzberg extended the work of Maslow and propsed a
new motivation theory popularly known as Herzberg’s Motivation Hygiene (Two-
Factor) Theory. Herzberg conducted a widely reported motivational study on 200
accountants and engineers employed by firms in and around Western Pennsylvania.

He asked these people to describe two important incidents at their jobs:

(1) When did you feel particularly good about your job, and

(2) When did you feel exceptionally bad about your job? He used the critical incident
method of obtaining data.

The responses when analysed were found quite interesting and fairly consistent. The
replies respondents gave when they felt good about their jobs were significantly
different from the replies given when they felt bad. Reported good feelings were
generally associated with job satisfaction, whereas bad feeling with job
dissatisfaction. Herzberg labelled the job satisfiers motivators, and he called job
dissatisfies hygiene or maintenance factors. Taken together, the motivators and
hygiene factors have become known as Herzberg’s two-factor theory of motivation

Herzberg’s motivational and hygiene factors have been shown in the Table 17.1
According to Herzberg, the opposite of satisfaction is not dissatisfaction. The
underlying reason, he says, is that removal of dissatisfying characteristics from a job
does not necessarily make the job satisfying. He believes in the existence of a dual
continuum. The opposite of ‘satisfaction’ is ‘no satisfaction’ and the opposite of
‘dissatisfaction’ is ‘no dissatisatisfaction’.

According to Herzberg, today’s motivators are tomorrow’s hygiene because the latter
stop influencing the behaviour of persons when they get them. Accordingly, one’s
hygiene may be the motivator of another.

However, Herzberg’s model is labeled with the following criticism also:

1. People generally tend to take credit themselves when things go well. They blame
failure on the external environment.

2. The theory basically explains job satisfaction, not motivation.

3. Even job satisfaction is not measured on an overall basis. It is not unlikely that a
person may dislike part of his/ her job, still thinks the job acceptable.

4. This theory neglects situational variable to motivate an individual.

Because of its ubiquitous nature, salary commonly shows up as a motivator as well as

hygine.
Regardless of criticism, Herzberg’s ‘two-factor motivation theory’ has been widely
read and a few managers seem untaminar with his recommendations. The main use
of his recommendations lies in planning and controlling of employees work.

3. McClelland’s Need Theory:

Another well-known need-based theory of motivation, as opposed to hierarchy of

needs of satisfaction-dissatisfaction, is the theory developed by McClelland and his
associates’. McClelland developed his theory based on Henry Murray’s developed
long list of motives and manifest needs used in his early studies of personality.
McClelland’s need-theory is closely associated with learning theory, because he
believed that needs are learned or acquired by the kinds of events people
experienced in their environment and culture.

He found that people who acquire a particular need behave differently from those
who do not have. His theory focuses on Murray’s three needs; achievement, power
and affiliation. In the literature, these three needs are abbreviated “n Ach”, “n Pow”,
and “n Aff” respectively’.

They are defined as follows:

Need for Achievement:

This is the drive to excel, to achieve in relation to a set of standard, and to strive to
succeed. In other words, need for achievement is a behaviour directed toward
competition with a standard of excellence. McClelland found that people with a high
need for achievement perform better than those with a moderate or low need for
achievement, and noted regional / national differences in achievement motivation.

Through his research, McClelland identified the following three characteristics of

high-need achievers:

1. High-need achievers have a strong desire to assume personal responsibility for

performing a task for finding a solution to a problem.

2. High-need achievers tend to set moderately difficult goals and take calculated
risks.

3. High-need achievers have a strong desire for performance feedback.

Need for Power:

The need for power is concerned with making an impact on others, the desire to
influence others, the urge to change people, and the desire to make a difference in
life. People with a high need for power are people who like to be in control of people
and events. This results in ultimate satisfaction to man.

People who have a high need for power are characterized by:

1. A desire to influence and direct somebody else.

2. A desire to exercise control over others.

3. A concern for maintaining leader-follower relations.

Need for Affiliation:

The need for affiliation is defined as a desire to establish and maintain friendly and
warm relations with other people’. The need for affiliation, in many ways, is similar to
Maslow’s social needs.

The people with high need for affiliation have these characteristics:

1. They have a strong desire for acceptance and approval from others.

2. They tend to conform to the wishes of those people whose friendship and
companionship they value.

3. They value the feelings of others.

Figure 17.2 is a summary chart of the three need theories of motivation just
discussed. The chart shows the parallel relationship between the needs in each of the
theories. Maslow refers to higher- lower order needs, whereas Herzberg refers to
motivation and hygiene factors.
4. McGregor’s Participation Theory:

Douglas McGregor formulated two distinct views of human being based on

participation of workers. The first basically negative, labeled Theory X, and the other
basically positive, labled Theory Y.

Theory X is based on the following assumptions:

1. People are by nature indolent. That is, they like to work as little as possible.

2. People lack ambition, dislike responsibility, and prefer to be directed by others.

3. People are inherently self-centered and indifferent to organisational needs and

goals.

4. People are generally gullible and not very sharp and bright.

On the contrary, Theory Y assumes that:

1. People are not by nature passive or resistant to organisational goals.

2. They want to assume responsibility.

3. They want their organisation to succeed.

4. People are capable of directing their own behaviour.

5. They have need for achievement.

What McGregor tried to dramatise through his theory X and Y is to outline the
extremes to draw the fencing within which the organisational man is usually seen to
behave. The fact remains that no organisational man would actually belong either to
theory X or theory Y. In reality, he/she shares the traits of both. What actually
happens is that man swings from one set or properties to the other with changes in
his mood and motives in changing .environment.

5. Urwick’s Theory Z:

Much after the propositions of theories X and Y by McGregor, the three theorists
Urwick, Rangnekar, and Ouchi-propounded the third theory lebeled as Z theory.

The two propositions in Urwicks’s theory are that:

(i) Each individual should know the organisational goals precisely and the amount of
contribution through his efforts towards these goals.
(ii) Each individual should also know that the relation of organisational goals is going
to satisfy his/her needs positively.

In Urwick’s view, the above two make people ready to behave positively to
accomplish both organisational and individual goals.

However, Ouchi’s Theory Z has attracted the lot of attention of management

practitioners as well as researchers. It must be noted that Z does not stand for
anything, is merely the last alphabet in the English Language.

Theory Z is based on the following four postulates:

1. Strong Bond between Organisation and Employees

2. Employee Participation and Involvement

3. No Formal Organisation Structure

4. Human Resource Development

Ouchi’s Theory Z represents the adoption of Japanese management practices (group

decision making, social cohesion, job security, holistic concern for employees, etc.)by
the American companies. In India, Maruti-Suzuki, Hero-Honda, etc., apply the
postulates of theory Z.

6. Argyris’s Theory:

Argyris has developed his motivation theory based on proposition how management
practices affect the individual behaviour and growth In his view, the seven changes
taking place in an individual personality make him/her a mature one. In other words,
personality of individual develops

Argyris views that immaturity exists in individuals mainly because of organisational

setting and management practices such as task specialisation, chain of command,
unity of direction, and span of management. In order to make individuals grow
mature, he proposes gradual shift from the existing pyramidal organisation structure
to humanistic system; from existing management system to the more flexible and
participative management.

He states that such situation will satisfy not only their physiological and safety needs,
but also will motivate them to make ready to make more use of their physiological
and safety needs. But also will motivate them to make ready to make more use of
their potential in accomplishing organisational goals.

7. Vroom’s Expectancy Theory:

One of the most widely accepted explanations of motivation is offered by Victor

Vroom in his Expectancy Theory” It is a cognitive process theory of motivation. The
theory is founded on the basic notions that people will be motivated to exert a high
level of effort when they believe there are relationships between the effort they put
forth, the performance they achieve, and the outcomes/ rewards they receive.

The relationships between notions of effort, performance, and reward are depicted in
Figure 17.3

Thus, the key constructs in the expectancy theory of motivation are:

1. Valence:

Valence, according to Vroom, means the value or strength one places on a particular
outcome or reward.

2. Expectancy:

It relates efforts to performance.

3. Instrumentality:

By instrumentality, Vroom means, the belief that performance is related to rewards.

Thus, Vroom’s motivation can also be expressed in the form of an equation as
follows: Motivation = Valence x Expectancy x Instrumentality

Being the model multiplicative in nature, all the three variables must have high
positive values to imply motivated performance choice. If any one of the variables
approaches to zero level, the possibility of the so motivated performance also
touches zero level.

However, Vroom’s expectancy theory has its critics. The important ones are:

1. Critics like Porter and Lawler lebeled it as a theory of cognitive hedonism which
proposes that individual cognitively chooses the course of action that leads to the
greatest degree of pleasure or the smallest degree of pain.

2. The assumption that people are rational and calculating makes the theory
idealistic.

3. The expectancy theory does not describe individual and situational differences.

But the valence or value people place on various rewards varies. For example, one
employee prefers salary to benefits, whereas another person prefers to just the
reverse. The valence for the same reward varies from situation to situation.

In spite of all these critics, the greatest point in me expectancy theory is that it
explains why significant segment of workforce exerts low levels of efforts in carrying
out job responsibilities.

8. Porter and Lawler’s Expectancy Theory:

In fact, Porter and Lawler’s theory is an improvement over Vroom’s expectancy

theory. They posit that motivation does not equal satisfaction or performance. The
model suggested by them encounters some of the simplistic traditional assumptions
made about the positive relationship between satisfaction and performance. They
proposed a multi-variate model to explain the complex relationship that exists
between satisfaction and performance.

What is the main point in Porter and Lawler’s model is that effort or motivation does
not lead directly to performance. It is intact, mediated by abilities and traits and by
role perceptions. Ultimately, performance leads to satisfaction,. The same is depicted
in the following Fig 17.4.
There are three main elements in this model. Let us briefly discuss these one by one.

Effort:

Effort refers to the amount of energy an employee exerts on a given task. How much
effort an employee will put in a task is determined by two factors-

(i) Value of reward and

(ii) Perception of effort-reward probability.

Performance:

One’s effort leads to his/her performance. Both may be equal or may not be.
However the amount of performance is determined by the amount of labour and the
ability and role perception of the employee. Thus, if an employee possesses less
ability and/or makes wrong role perception, his/her performance may be low in spite
of his putting in great efforts.

Satisfaction:

Performance leads to satisfaction. The level of satisfaction depends upon the amount
of rewards one achieves. If the amount of actual rewards meet or exceed perceived
equitable rewards, the employee will feel satisfied. On the country, if actual rewards
fall short of perceived ones, he/she will be dissatisfied.

Rewards may be of two kinds—intrinsic and extrinsic rewards. Examples of intrinsic

rewards are such as sense of accomplishment and self-actualisation. As regards
 extrinsic rewards, these may include working conditions and status. A fair degree of
research support that, the intrinsic rewards are much more likely to produce attitudes
about satisfaction that are related to performance.

There is no denying of the fact that the motivation model proposed by Porter and
Lawler is quite complex than other models of motivation. In fact motivation itself is
not a simple cause-effect relationship rather it is a complex phenomenon Porter and
Lawler have attempted to measure variables such as the values of possible rewards,
the perception of effort-rewards probabilities and role perceptions in deriving
satisfaction.

They recommended that the managers should carefully reassess their reward system
and structure. The effort-performance-reward-satisfaction should be made integral
to the entire system of managing men in organisation.

MODEL OF MOTIVATION

ARCS MODEL OF MOTIVATION

According to John Keller’s ARCS Model of Motivational Design Theories, there
are four steps for promoting and sustaining motivation in the learning
process: Attention, Relevance, Confidence, Satisfaction (ARCS)

ARCS Model of Motivational Design (Keller)

1. Attention

 Keller attention can be gained in two ways: (1) Perceptual arousal – uses
surprise or uncertainly to gain interest. Uses novel, surprising, incongruous,
and uncertain events; or (2) Inquiry arousal – stimulates curiosity by posing
challenging questions or problems to be solved.
 Methods for grabbing the learners’ attention include the use of:
 Active participation -Adopt strategies such as games, roleplay or other hands-
on methods to get learners involved with the material or subject matter.

 Variability – To better reinforce materials and account for individual differences in learning
styles, use a variety of methods in presenting material (e.g. use of videos, short lectures, mini-
discussion groups).
 Humor -Maintain interest by use a small amount of humor (but not too much to be distracting)
 Incongruity and Conflict – A devil’s advocate approach in which statements are posed that go
against a learner’s past experiences.
 Specific examples – Use a visual stimuli, story, or biography.
 Inquiry – Pose questions or problems for the learners to solve, e.g. brainstorming activities.

2. Relevance

 Establish relevance in order to increase a learner’s motivation. To do this, use concrete language
and examples with which the learners are familiar. Six major strategies described by Keller
include:

 Experience – Tell the learners how the new learning will use their existing skills. We best learn
by building upon our preset knowledge or skills.
 Present Worth – What will the subject matter do for me today?
 Future Usefulness – What will the subject matter do for me tomorrow?
 Needs Matching – Take advantage of the dynamics of achievement, risk taking, power, and
affiliation.
 Modeling – First of all, “be what you want them to do!” Other strategies include guest speakers,
videos, and having the learners who finish their work first to serve as tutors.

 Choice – Allow the learners to use different methods to pursue their work or allowing s choice in
how they organize it.

3. Confidence
 Help students understand their likelihood for success. If they feel they cannot meet the objectives
or that the cost (time or effort) is too high, their motivation will decrease.
 Provide objectives and prerequisites – Help students estimate the probability of success by
presenting performance requirements and evaluation criteria. Ensure the learners are aware of
performance requirements and evaluative criteria.
 Allow for success that is meaningful.
 Grow the Learners – Allow for small steps of growth during the learning process.
 Feedback – Provide feedback and support internal attributions for success.
 Learner Control – Learners should feel some degree of control over their learning and
assessment. They should believe that their success is a direct result of the amount of effort they
have put forth.

4. Satisfaction

 Learning must be rewarding or satisfying in some way, whether it is from a sense of achievement,
praise from a higher-up, or mere entertainment.
 Make the learner feel as though the skill is useful or beneficial by providing opportunities to use
newly acquired knowledge in a real setting.
 Provide feedback and reinforcement. When learners appreciate the results, they will be motivated
to learn. Satisfaction is based upon motivation, which can be intrinsic or extrinsic.
 Do not patronize the learner by over-rewarding easy tasks.

TECHNIQUES OF EMPLOYEE MOTIVATION

7 Techniques for Increasing Motivation

Create a Positive Work Environment

Motivate employees by offering an upbeat, positive work environment. Encourage teamwork
and idea-sharing, and make sure staffers have the tools and knowledge to perform well. Be
available when employees need you to be a sounding board or a dispute mediator. Eliminate
conflict as it arises, and give employees freedom to work independently when appropriate.
Set Goals
Help employees become self-motivated by helping establish professional goals and
objectives. Not only does this give employees something to strive for, but your business
benefits when goals are tied to corporate contributions. Make sure goals are reasonable and
achievable so employees don’t get discouraged. Offer encouragement when workers hit
notable milestones.
Provide Incentives
Increase motivation by providing incentives to work toward. You can create individual
incentives for each employee or team incentives to motivate employees as a group. Financial
incentives can include cash prizes, gift cards or restaurant gift certificates. Nonfinancial
incentives can include extra vacation days, compressed work weeks or choice office space or
parking spots.
Recognize Achievements
Celebrate employee achievements through employee-of-the-month or star performer awards.
Make a big deal out of accomplishments by celebrating at staff meetings. Print certificates or
engrave plaques, issue a press release or post a notice on your company website. Recognize
team accomplishments as well as individual efforts.
Share Profits
Motivate employees with the incentive of a profit-sharing program. In this way, employees
increase earnings while helping the business income rise. This approach simultaneously
promotes collective goal-setting and teamwork. It also gives employees a sense of pride in
ownership and can improve performance and reduce turnover as well as raise morale.
Solicit Employee Input
Regularly survey employee satisfaction. You can conduct anonymous polls or hire an
independent party to conduct a formal focus group. This will help you catch potential morale
breakers before they get out of hand. Soliciting employee input also shows staffers that you
care about the opinions of workers and want to continually improve working conditions.
Provide Professional Enrichment
Encourage employees to pursue additional education or participate in industry organizations.
Provide tuition reimbursement or send employees to skills workshops and seminars. If an
employee is motivated to an upward career path, offer mentoring and job shadowing
opportunities. Promote from within whenever possible and create opportunities to help
employees develop from a professional standpoint.
Compensation
All workers are at least moderately motivated by their paychecks. A high basic salary is the
third most important criterion in maintaining managers’ motivation, notes leadership
development consultant John Baldoni in a "Harvard Business Review" post. Traditional
compensation such as bonuses can also be a motivator, but only in the short term. After about
six months, workers tend not to remember the thrill of bonuses or increased pay, according to
Dr. David J. Davitch, an organizational psychologist writing for "Entrepreneur." Other types
of financial compensation, such as stock options and programs to exchange stock options for
cash, can supplement traditional fiduciary compensation. Compensation in the form of
vacation hours, health club memberships and other perks can also help keep managers’
morale high.

Recognition
It’s not uncommon for middle managers to feel disconnected from the results of their work,
according to David Gebler in "Business Week." To keep management motivated, employers
should take pains to recognize their efforts, particularly after completing a fully delegated
task, writes the University of Wisconsin’s David Antonioni. When managers receive
personalized rewards of their choosing, such as tickets to concerts, sporting events or gift
cards to restaurants, the recognition is often much more effective in motivating them,
according to Matthew Boyle at "Business Week." Allow managers to receive professional
recognition by allowing them to speak at professional and community organizations, instead
of limiting those opportunities to upper management, management skills coach Mia
Melanson contends.
Appreciation, feedback, improvement
More than anything, the biggest motivating factor for employees are words of affirmation.
Showing recognition of work, encouragement and giving employees opportunities to improve
will often reap the biggest productivity benefits. Lack of appreciation is the number one
reason people leave jobs and appreciation is the number one thing people say causes them to
do great work. Showing this appreciation thoughtfully and consistently is the best way to
motivate your employees to commit to their jobs and create a more positive workplace.

Financial incentives: First techniques of motivation are financial incentives as money is

indicator of success. Therefore it fulfills psychological safety and status need as people
satisfy their needs by money. Wages, salary motivates employees to perform better.

Job enlargement: Under this technique, task assigned to do job are increased by adding
simile task. So the scope of job enlargement is high for the motivation of subordinates. It is
also known as horizontally leading of job.

Job enrichment: Under this technique jobs are made challenging and meaningful by
increasing responsibility and growth opportunities. In such technique of motivation, planning
and control responsibility are added to the job usually with less supervision and more self
evaluation. It is also called vertical leading.

Job rotation: it refers to shifting an employee from one job to another. Such job rotation
doesn’t mean hanging of their job but only the employees are rotated. By this it helps to
develop the competency in several job which helps in development of employees.

Participation : Participation refers to involvement of employee in planning and decision

making .it helps the employees feel that they are an asset of the organization which helps in
developing ideas to solve the problems.

Delegation of authority:Delegation of authority is concerned with the granting of authority

to the subordinates which helps in developing a feeling of dedication to work in an
organization because it provides the employees high morale to perform any task.

Quality of work life:It is the relationship between employees’ and the total working
environment of organization. It integrates employee needs and well being with improves
productivity, higher job satisfaction and great employee involvement. It ensures higher level
of satisfaction.

Management by objectives:It is used as a motivation and technique for self control of

performance. By this technique superior and subordinates set goals and each individual
subordinates responsibilities clearly defined which help to explore the sill and use in the
organization effectively.
Behavior modification:The last technique of motivation is behavior modification. It
develops positive motivation to the workers to do the work in desired behavior in order to
modify behavior.

Leadership
Definition

A simple definition is that leadership is the art of motivating a group of people to act
towards achieving a common goal.

the action of leading a group of people or an organization, or the ability to do this.

The activity of leading a group of people or an organization or the ability to do

this. Leadership involves: establishing a clear vision, sharing that vision with others so that
they will follow willingly, providing the information, knowledge and methods to realize that
vision

What is 'Leadership'. Leadership is the ability of a company's management to set and

achieve challenging goals, take swift and decisive action, outperform the competition, and
inspire others to perform well.

“Leadership is both a process and property. The process of

leadership is the use of non coercive influence to direct and
coordinate the activities of the members of an organised group
towards the accomplishment of group objectivities. As a property,
leadership is the set of qualities or characteristics attributed to
those who are perceived to successfully employ such
influence.” Gay and Strake

“Leadership is the activity of influencing people to strive willingly

for group objectives.” George Terry

“Leadership is the art of or process of influencing people so that

they will strive willingly and enthusiastically towards the
achievement of group goals.” Harold Koontz and Heinz
Weihrich
 Importance of Leadership:

Leadership is an important factor in the success of an organisation.

A leader not only provides information about organisational goals
but also pools the required resources, guides and motivates his
followers for achieving the organisational goals.

(i) Influences the Behaviour of People:

Leadership involves influencing the behaviour of the people and

making them contribute their full efforts for the good of an
organisation.

(ii) Handles Conflicts:

A good leader helps in solving the conflicts among his followers and
also removes their negative feelings.

(iii) Maintains Coordination:

A leader always maintains personal relations with his followers and

provide them the required confidence, support and encouragement.
This helps in creating healthy working environment.

(iv) Introduces Changes:

A good leader helps in solving the problem of resistance to changes

by inspiring and persuading them to accept the changes without any
discontentment.

(v) Provides Training:

A leader also makes arrangement for the training of his

subordinates.

FEATURES OF LEADERSHIP AND QUALITIES OF A GOOD LEADER

Based upon our research, we've found that great leaders consistently possess
these 10 core traits:
 Honesty.
 Ability to delegate.
 Communication.
 Sense of humor.
 Confidence.
 Commitment.
 Positive attitude.
 Creativity.
Here are some of the most common traits in the characteristic of leadership:

 Empathy: Creating a legitimate rapport with your staff makes it less likely that
personal issues and resentment can creep in and derail the group. When your
team knows that you are empathetic to their concerns, they will be more likely
to work with you and share in your vision, rather than foster negative feelings.
 Consistency: Being a consistent leader will gain you respect and credibility,
which is essential to getting buy-in from the group. By setting an example of
fairness and credibility, the team will want to act the same way.
 Honesty: Another characteristic of leadership that lends itself to credibility.
Those who are honest, especially about concerns, make it far more likely that
obstacles will be addressed rather than avoided. Honesty also allows for
better assessment and growth.
 Direction: Having the vision to break out of the norm and aim for great things
--then the wherewithal to set the steps necessary to get there-- is an essential
characteristic of good leadership. By seeing what can be and managing the
goals on how to get there, a good leader can create impressive change.
 Communication: Effective communication helps keep he team working on
the right projects with the right attitude. If you communicate effectively about
expectations, issues and advice, your staff will be more likely to react and
meet your goals.
 Flexibility: Not every problem demands the same solution. By being flexible
to new ideas and open-minded enough to consider them, you increase the
likelihood that you will find the best possible answer. You will set a good
example for your team and reward good ideas.
 Conviction: A strong vision and the willingness to see it through is one of the
most important characterizes of leadership. The leader who believes in the
mission and works toward it will be an inspiration and a resource to their
followers.


 (i) Leadership is a process of influencing people.

 (ii) It aims at bringing changes in behaviour of people.
 (iii) It is a never ending or a continuous process.
 (iv) Leadership is practiced to achieve organisational goals.
 LEADERSHIP STYLES

leadership style is the way a person uses power to lead other people.
Research has identified a variety of leadership styles based on the
number of followers. The most appropriate leadership style depends
on the function of the leader, the followers and the situation.
What are Different Leadership Styles?
 Autocratic Leadership. Autocratic leadership style is centered on the boss. ...
 Democratic Leadership. ...
 Strategic Leadership Style. ...
 Transformational Leadership. ...
 Team Leadership. ...
 Cross-Cultural Leadership. ...
 Facilitative Leadership. ...
 Laissez-faire Leadership.

1. Autocratic Leadership

Autocratic leadership style is centered on the boss. In this leadership

the leader holds all authority and responsibility. In this leadership,
leaders make decisions on their own without consulting subordinates.
They reach decisions, communicate them to subordinates and expect
prompt implementation. Autocratic work environment does normally
have little or no flexibility.

In this kind of leadership, guidelines, procedures and policies are all

natural additions of an autocratic leader. Statistically, there are very
few situations that can actually support autocratic leadership.

Some of the leaders that support this kind of leadership include:

Albert J Dunlap (Sunbeam Corporation) and Donald Trump (Trump
Organization) among others.
2. Democratic Leadership

In this leadership style, subordinates are involved in making

decisions. Unlike autocratic, this headship is centered on
subordinates’ contributions. The democratic leader holds final
responsibility, but he or she is known to delegate authority to other
people, who determine work projects.

The most unique feature of this leadership is that communication is

active upward and downward. With respect to statistics, democratic
leadership is one of the most preferred leadership, and it entails the
following: fairness, competence, creativity, courage, intelligence and
honesty.

3. Strategic Leadership Style

Strategic leadership is one that involves a leader who is essentially the

head of an organization. The strategic leader is not limited to those at
the top of the organization. It is geared to a wider audience at all
levels who want to create a high performance life, team or
organization.

The strategic leader fills the gap between the need for new possibility
and the need for practicality by providing a prescriptive set of
habits. An effective strategic leadership delivers the goods in terms of
what an organization naturally expects from its leadership in times of
change. 55% of this leadership normally involves strategic thinking.

4. Transformational Leadership

Unlike other leadership styles, transformational leadership is all about

initiating change in organizations, groups, oneself and others.
Transformational leaders motivate others to do more than they
originally intended and often even more than they thought possible.
They set more challenging expectations and typically achieve higher
performance.

Statistically, transformational leadership tends to have more

committed and satisfied followers. This is mainly so because
transformational leaders empower followers.

5. Team Leadership

Team leadership involves the creation of a vivid picture of its future,

where it is heading and what it will stand for. The vision inspires and
provides a strong sense of purpose and direction.

Team leadership is about working with the hearts and minds of all
those involved. It also recognizes that teamwork may not always
involve trusting cooperative relationships. The most challenging
aspect of this leadership is whether or not it will succeed. According
to Harvard Business Review, team leadership may fail because of
poor leadership qualities.

6. Cross-Cultural Leadership

This form of leadership normally exists where there are various

cultures in the society. This leadership has also industrialized as a
way to recognize front runners who work in the contemporary
globalized market.

Organizations, particularly international ones require leaders who can

effectively adjust their leadership to work in different environs. Most
of the leaderships observed in the United States are cross-cultural
because of the different cultures that live and work there.

7. Facilitative Leadership

Facilitative leadership is too dependent on measurements and

outcomes – not a skill, although it takes much skill to master. The
effectiveness of a group is directly related to the efficacy of its
process. If the group is high functioning, the facilitative leader uses a
light hand on the process.

On the other hand, if the group is low functioning, the facilitative

leader will be more directives in helping the group run its process. An
effective facilitative leadership involves monitoring of group
dynamics, offering process suggestions and interventions to help the
group stay on track.

8. Laissez-faire Leadership

Laissez-faire leadership gives authority to employees. According to

azcentral, departments or subordinates are allowed to work as they
choose with minimal or no interference. According to research, this
kind of leadership has been consistently found to be the least
satisfying and least effective management style.

9. Transactional Leadership

This is a leadership that maintains or continues the status quo. It is

also the leadership that involves an exchange process, whereby
followers get immediate, tangible rewards for carrying out the
leader’s orders. Transactional leadership can sound rather basic, with
its focus on exchange.
Being clear, focusing on expectations, giving feedback are all
important leadership skills. According to Boundless.com,
transactional leadership behaviors can include: clarifying what is
expected of followers’ performance; explaining how to meet such
expectations; and allocating rewards that are contingent on meeting
objectives.

10. Coaching Leadership

Coaching leadership involves teaching and supervising followers. A

coaching leader is highly operational in setting where results/
performance require improvement. Basically, in this kind of
leadership, followers are helped to improve their skills. Coaching
leadership does the following: motivates followers, inspires followers
and encourages followers.

11. Charismatic Leadership

In this leadership, the charismatic leader manifests his or her

revolutionary power. Charisma does not mean sheer behavioral
change. It actually involves a transformation of followers’ values and
beliefs.

Therefore, this distinguishes a charismatic leader from a simply

populist leader who may affect attitudes towards specific objects, but
who is not prepared as the charismatic leader is, to transform the
underlying normative orientation that structures specific attitudes.

12. Visionary Leadership

This form of leadership involves leaders who recognize that the

methods, steps and processes of leadership are all obtained with and
through people. Most great and successful leaders have the aspects of
vision in them.

However, those who are highly visionary are the ones considered to
be exhibiting visionary leadership. Outstanding leaders will always
transform their visions into realities.

 Autocratic or Authoritarian Leadership

In this type of extreme leadership style, the leader possesses total authority and
exercises complete power over the people.

Positives Negatives

 enables leaders to impose their will and perspective on  does not take others inputs in
others consideration

 this style is considered good for getting routine jobs  no one is allowed to make sug
done by employees who require close supervision or in question the decisions and ins
autocratic leaders, even if it's
Positives Negatives

situations where decisions need to be made quickly. interest

 people who like order, and set rules and instructions  most creative people resent be
thrive under this kind of leadership this way.

This leadership style is usually employed by military commanders. North Korean

dictator Kim Jong-un exemplifies this leadership style.

 Bureaucratic Leadership
Bureaucratic leaders work upon official rules fixed as duties by higher authorities and
go strictly by the book to apply rules for management and taking decisions.

Positives Negatives

 such leaders work rigorously to ensure that the  a serious drawback of bureaucratic
procedures are that it has no scope for creativity a

being followed precisely by those under them.

 this leadership style helps fortify operational

policies and work processes of the organisation.

This leadership style is mostly noticed in organisations where employees are involved
in high-risk routine tasks such as in a manufacturing plant. Bureaucratic leadership is
also employed at various levels in government agencies. In India, civil servants are a
good example of bureaucratic leaders.
  Charismatic Leadership
Charismatic leaders create a self-image so powerful that people are naturally drawn to
them.

Positives Negatives

 such leaders influence others by projecting the  one major drawback of charism
strengths of their personality that they are more focused on th
their team

 they are energetic, full of passion and believe in  can create the impression that a
motivating others to move forward. fail or an organisation would co
leader abandons the team.

 can be useful in boosting the organisations standing in

the marketplace and in raising the morale of the team
members at organisations

The Indian Prime Minister, Narendra Modi, is often regarded as one of India’s most
charismatic leaders. His party fought the Uttar Pradesh Assembly elections in 2017
under his tutelage - highlighting his personal appeal to voters and recorded the
greatest win for any party ever.

 Laissez- Faire Leadership

Laissez- faire leadership is based on trust. The leader is available to provide guidance
and furnish the necessary resources only if the need arises.

Positives Negatives

 the leaders delegate the responsibility to  people who prefer supervision, careful mon
take decisions to group members clear instructions are often not comfortable
Positives Negatives

the laissez- faire leadership style

 allows people to work at their own pace

and provides maximum scope for
innovation and flexibility

 most effective with self- motivated

employees

Mahatma Gandhi was a laissez- faire leader. Gandhi believed that people should lead
by example and be the change that they wish to see in the world so that others can
follow.

 Participative or Democratic Leadership

Participative or democratic leaders give importance to the opinion of the team
members and engage them in the decision- making process. This is normally used
when you have part of the information, and your employees have other parts.

Positives Negatives

 boosts the morale of the team members as when the  the leaders reserve the right to ta
leader considers their inputs, it makes them feel decisions
valued and satisfied

 makes employees more willing to accept changes  slows down the decision- makin
as they consider themselves a part of the decision- affect efficiency
making process

 also marred by the likelihood tha

members may not have adequate
provide high-quality input
Carlos Ghosn, the chairman, and CEO of Renault believes that change in
the organisation’s culture should not be forced by the top management but should
come from the bottom level. He believes in empowering employees to take decisions
and is quite reasonable when dealing with the subordinates

 Relationship- oriented Leadership

Such leadership is focused on skilled interaction with people. Relationship oriented
leaders inspire and motivate subordinates to achieve the team’s or organisation’s
targets

Positives Negatives

 leaders assist subordinates in feeling positive  sometimes relationship oriented lead

about their career prospects and in navigating carried away and put too much emph
career opportunities through the quality of their development of their team members
work itself

 they are approachable, friendly, understand the  these leaders are dependent on the s
needs of the employees and try to fulfil their and seek their loyalty
expectations

 people usually like working under such

leadership and their productivity is also higher,
as these leaders make the people want to be a
part of the team

A good example of relationship-oriented leadership is Indian cricket team’s ex-

captain, Mahendra Singh Dhoni who is known for encouraging players and has led the
team to many unbelievable victories.
  Servant Leadership
Servant leaders lead by example and work behind the stage. Servant leadership is best
suited for people who provide their services to non- governmental
charity organisations or community development programmes.

Positives Negatives

 they are generous, have high integrity and work hard  this type of leadershi
to fulfil all the requirements of their team considered unfit for c
tournaments.

 they also involve the whole team in the decision- making  servant leaders hesita
process and give equal credits to all team members for goals credits and recognitio
that are successfully achieved work

 servant leaders are said to have strong ethics and values

Mother Teresa is the perfect example of a servant leader. She invested her entire life
to the service of people and her motives behind her desire to help others is
unquestionable. She acquired mass- scale popularity over time, but she never strived
to achieve personal recognition.

 Transformational Leadership
It is usually considered the best leadership style to be used in business scenarios. They
employ empathy and rapport to engage followers.

Positives Negatives

 these leaders not only expect the best from their teams  may lack managerial skills a
but also work hard to be the best at everything that they level and require assistance f
do

 known for taking new initiatives and promoting the flow

of innovative ideas
Positives Negatives

 good at increasing team engagement and inspiring

subordinates to become more productive in their work

Steve Jobs is widely regarded as an iconic transformational leader. He worked hard

and always challenged his employees to think bigger and better and inspired them to
create extraordinarily successful products.

 Task- Oriented Leadership

Task – oriented leadership is a behavioural approach that revolves around the
proficiency of getting tasks done within set deadlines.

Positives Negatives

 they always aspire to set high standards with  task- oriented leaders are so stron
utmost efficiency increasing work efficiency and ac
that they often overlook their team

 they look for efficiency in their subordinates and  may even exhibit autocratic leade
provide clear instructions about the requirements
and schedule

 subordinates who work best with easy to follow

work structure and have a knack for method and
management appreciate such leadership

Lenin, the Russian political leader and ideological figurehead behind Marxism-
Leninism is viewed by supporters as a task- oriented leader who championed
socialism and the working class.
  Transactional Leadership
Transactional leadership is interchangeably called managerial leadership. It is based
on the idea of a transaction between the leader and the team members.

Positives Negatives

 the leader provides supervision, evaluates performance  team members are punished b
and sets goals not meeting an appropriate sta

 team members are shown appreciation for their good  self- motivated people consi
work and consistent efforts in terms of rewards interference

 people who admire external rewards are often

motivated to improve the quality of their work

Bill Gates is a transactional leader who aims at inspiring positive changes in his
followers. He is dedicated to his work, has a remarkable business vision. He expects
the best from his subordinates and incorporates the reward- punishment motivation
strategy.

TRANSFORMATION LEADERSHIP

Transformational leadership inspires people to achieve unexpected or remarkable results. It

gives workers autonomy over specific jobs, as well as the authority to make decisions once
they have been trained.
Some of the basic characteristics of transformational leadership are inspirational, in that the
leader can inspire workers to find better ways of achieving a goal; mobilization, because
leadership can mobilize people into groups that can get work done, and morale, in that
transformational leaders raise the well-being and motivation level of a group through
excellent rapport. They are also good at conflict resolution.

Transformational leadership defined

Transformational leaders are sometimes call quiet leaders. They are the ones that lead by
example. Their style tends to use rapport, inspiration, or empathy to engage followers. They
are known to possess courage, confidence, and the willingness to make sacrifices for the
greater good.
They possess a single-minded need to streamline or change things that no longer work. The
transformational leader motivates workers and understands how to form them into integral
units that work well with others.

Differences between transformational leadership and other leadership styles

There are marked differences between transactional leadership and transformational
leadership.

Transformational leaders specialize in:

 Working to change the system

 Solving challenges by finding experiences that show that old patterns do not fit or
work
 Wanting to know what has to change
 Maximizing their teams’ capability and capacity

Transactional leaders do the following:

 Work within the system

 Start solving challenges by fitting experiences to a known pattern
 Want to know the step-by-step approach
 Minimize variation of the organization

Another way to put it: Transactional is a “telling” style, while transformational is a “selling”
style.

Examples of transformational leadership

Transformational leaders excel in a variety of sectors. Here are notable business leaders who
used the transformational style.

William Edwards Deming

William Edwards Deming is known as the father of statistical quality control. After earning a
doctorate in mathematics and physics at Yale in 1928, he spent most of his career working or
consulting for the U.S. government. During World War II, Deming taught statistical process
control techniques to military production workers.
After the war ended, the U.S. Department of the Army sent Deming to Japan to study
agricultural production and related problems. He convinced Japanese officials of the potential
for industrial uses of statistical methods. Deming’s goal was to have Japan become a world
industrial power in five years. Japan did it in four. Deming was asked to do the same thing
for U.S. manufacturing firms, but his methods did not take root until the 1980s.

Peter Drucker
Peter Drucker was a professor and management consultant among other things. He predicted
some of the 20th-century’s biggest changes, such as the Japanese rise to a world economic
power, the age where people would need to learn in order to keep their jobs or get ahead, and
the importance of marketing and innovation. He coined the term “knowledge worker.”
Drucker continually called for balanced management, which called for a balance between
short-term needs and long-term plans, as well as profitability and other elements of business.
He was very interested in how to mesh innovation and entrepreneurship.
He felt that entrepreneurship was a vehicle of innovation. Entrepreneurship was not just high
technology, but high tech was a vehicle for change, in attitude, values, and behavior. The
entrepreneur systematically looked for change, responded to them and took advantage of
opportunities as they present themselves.

Transformational leadership style requirements

Here are some of the characteristics of transformational leaders:

 Very well-organized and expect their followers to be creative

 Team-oriented and expect that followers will work together to create the best possible
results
 Respected, and in turn respects followers
 Acts as coach of the team. He or she provides training and motivation to reach the
desired goals
 Responsible for their team, but also instills responsibility into team members
 Engenders respect through rapport and a personal influence

Advantages and disadvantages of transformational leadership

Transformational leadership works well in organizations where change is needed.
Transformational leadership is not the right fit for new organizations where no structure
exists.

Transformational leadership pros:

 Excellent at communicating new ideas

 Good at balancing short-term vision and long-term goals
 Experience building strong coalitions and establishing mutual trust
 They have integrity and high emotional intelligence (empathy with others)

Transformational leadership cons:

 Ineffective in initial stage or ad-hoc situations

 Require an existing structure to fix
 Bad fit in bureaucratic structures

Benefits of transformational leadership

One of the best uses of this leadership style is in an organization that is outdated and requires
serious retooling. It is also a perfect match for a small company that has big dreams and
wants to change and adapt to get there. In both of these examples, the board of directors can
bring in a transformational leader who will change the structure of the organization and also
motivate the current workers to buy into the new direction.