MGS (Mid) - People management and leadership

PEOPLE MANAGEMENT & LEADERSHIP

Vocational Pathways Project

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LEARNING OBJECTIVES

The learning objectives of this course are:

LO1 – Understanding the Psychological Contract LO2 - Understanding key theories of motivation and job satisfactionLO3 - Evaluate the key skills required for good leadership and how to have a significant impact. LO4 - Identify different leadership styles

Course content

04. Content Theory

01. The Psychological Contract

05. Leadership

02. Examples

06. Questions

03. Motivation

LO1 – Understanding the Psychological Contract

"We always talk about how you have to build a brand from the inside out, not the outside in. Brands are not wrappers. Brands are based on the values of the founders, and then they spread to the people who work for the company, and then that psychological contract is spread to the customer."

DAN LEVITAN

01. PSYCHOLOGICAL CONTRACT

OVERVIEW

The psychological contract refers to the unwritten set of expectations of the employment relationship as distinct from the formal, codified employment contract. Taken together, the psychological contract and the employment contract define the employer-employee relationship. The psychological contract develops and evolves constantly based on communication, or lack thereof, between the employee and the employer. Promises over promotion or salary increases, for example, may form part of the psychological contract.

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02. EXAMPLES

For each of the brands below, make some notes on your own expectations if you were to apply for a job there. Then click on each one for further information.

THE PSYCHOLOGICAL CONTRACT

EXAMPLE 1

EXAMPLE 2

EXAMPLE 3

SHAPING PERCEPTIONS

As you will have noticed from that exercise, you might have had very different answers or indeed similar ones. The main point to takeaway is that companies shape perceptions from the very outset and this is the starting point. If that doesn't match your expectations after joining, this is likely to lead to a poor psychological contract and ultimately, dissatisfaction. This can be avoided by companies being completely transparent about their offering as it is in their best interests to do so as well.

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Watch the creator of the Psychological Contract discuss changes to it over time.

LO2 - Understanding key theories of motivation and job satisfaction

Motivation is "the degree to which an individual wants and chooses to engage in certain specified behaviours."

03. MOTIVATION

KEY FEATURES

Motivation is an individual phenomenon. Every person is unique and all the major theories of motivation allow for this uniqueness to be demonstrated in one way or another. Motivation is intentional. Motivation is assumed to be under the worker‟s control and behaviours that are influenced by motivation, such as effort expended, are seen as choices of action. Motivation is multifaceted. The two factors of greatest importance are: (i) what gets people activated (arousal); and (ii) the force of an individual to engage in desired behaviour (direction or choice of behaviour).

THEORIES

The purpose of motivational theories is to predict behaviour. Motivation is not the behaviour itself and it is not performance. Motivation concerns action and the internal and external forces which influence a person‟s choice of action.

3 COMPONENTS OF MOTIVATION

DIRECTION

EFFORT

PERSISTENCE

What a person is trying to do. This is also called choice.

How long a person continues trying. This is also called duration.

How hard a person is trying. This is also called intensity.

FACTORS THAT MOTIVATE US WITHIN THE WORKPLACE

CONSEQUENCES OF POOR MOTIVATION

04. CONTENT THEORY

OF MOTIVATION

Content theories of motivation refer to the relationship between needs, intrinsic rewards and extrinsic rewards:

• Needs - People have basic needs, for example food and shelter. In an organisational environment, needs include having a job, security, belonging, fitting in and reward.

• Intrinsic rewards - These are benefits or values that come from within an individual such as satisfaction, accomplishment, personal competence, and self esteem.

• Extrinsic rewards - These are benefits and values provided by others such as pay, promotion, praise and recognition.

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HIERARCHY OF NEEDS

Maslow’s needs hierarchy was developed to explain human motivation in general. The theory suggests that human needs form a five-level hierarchy consisting of physiological needs, safety, belongingness/love, esteem, and self- actualization. Within an organization, financial compensation and healthcare are some of the benefits which help an employee meet their basic physiological needs.

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THEORY X & Y

MANAGERS PERCEPTION OF EMPLOYEES Theory X assumes that people dislike work and responsibility. Theory Y assumes that physical and mental effort in work is as natural as play or rest.

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MOTIVATOR-HYGIENE THEORY

Suggests that job satisfaction and dissatisfaction are not two opposite ends of the same continuum, but instead are two separate and, at times, even unrelated concepts.

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LO3 - Evaluate the key skills required for good leadership and how to have a significant impact. LO4 - Identify different leadership styles

"Outstanding leaders go out of their way to boost the self-esteem of their personnel. If people believe in themselves, it's amazing what they can accomplish."

SAM WALTON, FOUNDER OF WALMART

05. LEADERSHIP

INTRODUCTION

Consider the following questions and make some notes: Q1) What defines leadership? Q2) Are leaders born or made? Q3) What exactly makes a great leader?

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THEORIES OF LEADERSHIP

Great Man Theories

Contingency Theories

ManagementTheories

BehavioralTheories

Trait Theories

Relationship Theories

Participative Theories

Situational Theories

GREAT MAN THEORY

• The great man theory of leadership became popular during the 19th century. The mythology behind some of the world's most famous leaders, such as Abraham Lincoln, Julius Caesar, Mahatma Gandhi, and Alexander the Great, helped contribute to the notion that great leaders are born and not made.

• Historian Thomas Carlyle also had a major influence on this theory of leadership. According to Carlyle, effective leaders are those gifted with divine inspiration and the right characteristics.

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TRAIT THEORIES

• According to Carlyle, history is shaped by extraordinary leaders. This ability to lead is something that people are simply born with, Carlyle believed, and not something that could be developed. Carlyle's ideas inspired early research on leadership, which almost entirely focused on inheritable traits.

• Carlyle's theory of leadership was based on the rationale that:
• Certain traits produce certain patterns of behavior.
• Patterns are consistent across different situations.
• People are "born" with leadership traits.

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CONTINGENCY THEORIES

The contingency theory of leadership supposes that a leader’s effectiveness is contingent on whether or not their leadership style suits a particular situation. According to this theory, an individual can be an effective leader in one circumstance and an ineffective leader in another one. To maximize your likelihood of being a productive leader, this theory posits that you should be able to examine each situation and decide if your leadership style is going to be effective or not. In most cases, this requires you to be self-aware, objective and adaptable.

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SITUATIONAL THEORIES

Hersey and Blanchard’s Situational Leadership Theory

Normative Decision Theory

Goleman’s Model of Situational Leadership

BEHAVIOURAL THEORIES

Behavioral theories focus on how leaders behave. For instance, do leaders dictate what needs to be done and expect cooperation? Or do they involve their teams in decision-making to encourage acceptance and support?

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TRANSACTIONAL THEORIES

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TRANSFORMATIONAL THEORIES

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06. QUESTIONS

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Thanks for your attention

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