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McKee Chapter 2:
THE LEADERSHIP IMPERATIVE: IT’S UP TO YOU
CHAPTER OBJECTIVES
2.1 Recognize why everyone needs to learn how to lead today.
2.2 Understand the characteristics of effective leadership.
2.3 Understand the characteristics of influential leadership.
CHAPTER SUMMARY
Exceptional leadership is at the core of any successful organization. As such, the leading
function is the key component of effective management. Chapter 2 focuses on what good
leadership is actually about, as well as the various theories of leadership, including resonant
leadership. It begins by exploring the nature of leadership, in general, and effective leadership, in
particular.
Next, the chapter examines the importance of competencies, what they are, and how they
break down into their various components. From here, it explores the critical role that social and
The chapter next explores how effective, influential, and responsible leadership can be
demonstrated. The chapter continues with a discussion of ethics – individual, professional,
social, and organizational – ethical behavior, and values that are the foundation of moral
leadership. Ethical dilemmas – and how to recognize them – and how best to deal with them
when they present themselves is examined. The chapter then addresses trait, behavioral, and
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CHAPTER OUTLINE
Teaching Objective: To provide students with a solid understanding of leadership and its
importance to management. To accomplish this, the concepts of emotional and social
intelligence, ethics and values, power and its various forms, and the different styles and types of
leadership are explored.
I. Leadership: Whose Responsibility Is It?
1. The key to great leadership is recognizing that each of us has the obligation to
use power responsibly, study our own leadership behavior, seek to improve, and
constantly stand up for the values and ethics that guide us and our organizations.
A. We Can All Become Great Leaders
1. Learn how to attend to our values
B. Leadership is learned
1. leaders are not born—they are made
II. What Is the Secret to Effective Leadership
1. We all must master competencies related to emotional and social intelligence
a. Competencies – capabilities or abilities that include both intent and action
A. Five Components of Competencies
1. Motives – needs or drives that fuel action
2. Traits – psychological or physical characteristics and/ or consistent ways of
B. Threshold and Differentiating Competencies
1. Threshold competencies – basic expertise, experience, and many cognitive
abilities.
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C. Technical, cognitive, and relational competencies – competencies that are
directly linked to effective management and leadership fall into 3 categories
1. Technical competencies – proficiency in the use of tools and processes
related to a specialized field
2. Cognitive competencies – the ability to see the “big picture” in systems
D. Competency models – a set of competencies directly related to success in a job
that are grouped into job-relevant categories
1. Boyatzis and other researchers’ conclusion – when it comes to leadership,
E. Social and Emotional Competencies and Resonant Leadership
1. Social and emotional intelligence – competencies linked to self-awareness,
self-management, social awareness, and relationship management that
F. Emotional Intelligence and Limbic Resonance
1. Limbic resonance – how emotions are both contagious and a powerful
driver of our feelings, thoughts, and behaviors
G. Self-Awareness: The Foundation of Social and Emotional Intelligence
1. Self-awareness – the ability to notice and understand one’s emotions and
their effects.
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A. Sources of Power Exist in Different Forms
1. Legitimate power – the ability to influence others by right of one’s position
in an organization, the office held, or formal authority
B. Empowerment – trusting employees to make decisions and to take responsibility
for their decisions and actions
1. Empowered employees – empowered employees have a say in how things
get done—they have a voice at work, and they use it
C. Empowerment and Theories X, Y,Z
1. Theory X – a belief system that holds that the average employee is inclined
to be lazy, without ambition, and irresponsible
D. Empowerment Movement Today
1. Organizations are “flatter” today. Flat organizations have few levels of
IV. What Is the Secret to Responsible Leadership?
1. The secret to great management and leadership is ethics
A. Developing Values and Ethics
1. Ethics – a set of values and principles that guide the behavior of an
individual or a group
2. Ethical code – a system of principles governing morality and acceptable
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conduct.
B. Levels of ethics
1. Individual ethics – A personal code of conduct when dealing with others
2. Professional ethics – Standards that outline appropriate conduct in a given
C. Business ethics: It’s Complicated
1. Stakeholders – Any organization, group, or person either internal or
external to the company who has a stake in the company’s success or
failure.
2. Ethics in Business and the Role of Law
a. Sarbanes-Oxley Act – established new legal standards and improved
on existing ones for all U.S. public company boards, management, and
3. Ethical dilemmas – situations in which values conflict, outcomes are
unclear, or when two or more choices have conflicting ethical implications
4. Rationalizing unethical behavior – People typically use any one of many
V. How Do Theories and Models Explain Management and Leadership?
A. Trait theories of leadership – models that attempt to explain leadership
effectiveness by articulation of physical, psychological, and social characteristics,
B. Behavior models and approaches to leadership – studied the actual behaviors
leaders engaged in when guiding and influencing others
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1. Ohio State Studies: Consideration and Initiating Structure – discovered
two major dimensions of leadership
a. Consideration structure– people-oriented behaviors such as
2. University of Michigan Studies: Studied the behavior of effective
supervisors – identified Production- and Employee-Oriented Behavior
3. Leadership Grid – managerial behaviors could be plotted along horizontal
and vertical axes measuring concern for people and concern for production,
and then grouped into management or leadership styles.
C. Contingency approaches to leadership – models and theories of leadership that
1. Fiedler’s Contingency Theory – asserts that leadership effectiveness is
dependent on the characteristics of the leader and the characteristics of the
situation
a. Leader style – behavior focused on task or relationship oriented
approach to leading
2. Situational leadership theory – contingency model that links four
identified leader styles with followers’ readiness for tasks.
a. Readiness – extent to which employees are capable, confident, and
willing to complete an assigned task or perform well on the job.
b. Leadership Style
1) Telling style – appropriate when followers are unable,
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4) Delegating style – can be used when employees are able,
willing, or confident
3. Path-Goal theory of leadership – a contingency approach to leadership
of the situation can make direct leadership unnecessary
VI. Is It Time to Take a Stand for Transformational Leadership?
1. Transformational leaders – people who have social and emotional
intelligence and who can inspire people to seek an extraordinary vision
2. Transactional leaders – traditional approach to management in which
VII. What Is HR’s Role in Supporting Excellent and Ethical Leadership?
A. HR’s Leadership Roles: coaches, strategic business partners, change agents, and
leadership development architects
1. Coach: HR coaches help managers solve complex problems related to things
like team conflicts, interpersonal problems, issues with a boss, and career
choices.
B. Developing Ethical Leaders – programs designed to clarify the organization’s
code of ethics and reinforce the importance of professional ethics, as well as to
embed ethical leadership in all levels of the organization.
VIII. What Can We All Do to Become Great Leaders?
A. Self-aware leaders are authentic
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C. Authentic Leaders Have Integrity and Courage, and They Live by a Code of
Ethics
1. Integrity – the quality of steadfastly holding to high moral principles and
professional standards
DISCUSSION QUESTIONS
Discussion Questions for Objective 2.1:
1. Why does organizational success depend on everyone assuming some leadership
responsibilities?
Suggested Answer:
Student responses will vary. In an age of unprecedented change and churn, it is critical that
2. Think about bosses, coaches, and teachers you have had. Under the headings “Bad Boss” and
“Good Boss,” list the names of a few of these people. Now list a few adjectives that describe the
people in each group. Do these descriptors reflect responsible use of power, self-awareness, and
ethical decision making? Why or why not?
Suggested Answer:
3. Look at the lists of adjectives describing your good and bad bosses. Which of these would
people use to describe you?
Suggested Answer:
Discussion Questions for Objective 2.2:
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1. Think about an individual you know and respect at school or at work. What technical,
cognitive, and relational competencies does the person have that you admire? Why do you
admire these competencies?
Suggested Answer:
Student responses will vary. With reference to technical competencies, students should be
2. Review the social and emotional competencies in Exhibit 2.2 and consider them in the context
of your best leadership experience. Which of these competencies did you demonstrate? How did
you demonstrate them?
Suggested Answer:
3. Have you ever “caught” someone else’s emotions? If so, how could you have utilized self-
awareness and self-control to protect yourself from taking on the negative emotions of others?
Suggested Answer:
Student responses will vary. Limbic resonance is a term used to describe how emotions are both
Discussion Questions for Objective 2.3:
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1. Discuss a situation from your experience in which power was abused. How was it abused, and
what were the consequences for you personally and for others?
Suggested Answer:
2. Name a public figure that directly influences you as a leader. What sources of power does this
leader draw on? What is the effect of his or her use of power on you? How do you respond
emotionally to this person’s use of power?
Suggested Answer:
Student responses will vary. Different students in class should be encouraged to choose
3. Drawing on your own experience at work and in school, discuss the pros and cons of an
empowered workforce.
Suggested Answer:
Student responses will vary. Empowered workforces are typically more productive than those
that are not. When a workforce is encouraged to participate in the decision-making
Discussion Questions for Objective 2.4:
1. Consider your favorite restaurant. Are the terminal values of this company apparent to the
customer? If so, what are they? What instrumental values do the employees use to demonstrate
the restaurant’s terminal values?
Suggested Answer:
Student responses will vary. Terminal values are what we desire for ourselves and others in life,
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2. Have you ever rationalized unethical behavior (yours or someone else’s)? Why and how did
you do this?
Suggested Answer:
Student responses will vary. The justification that goes something like, “I know it’s wrong, but
3. Have you read your school’s code of conduct for students and teachers? Why or why not?
How does an organization’s creation of an official code of conduct influence the behavior of its
members? Explain your answer with real or hypothetical examples.
Suggested Answer:
Student responses will vary. Organizational ethics are the values and principles that an
Discussion Questions for Objective 2.5:
1. Study the common leadership traits in Exhibit 2.10. Which of these traits do you believe are
most important to leadership? Why? Which of these traits do you possess? What traits can you
adopt to become a more effective leader?
Suggested Answer:
Student responses will vary. Of course, the traits that relate to emotional intelligence, self-
2. Choose two theories of leadership you have studied in this book. Explain why you think they
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are relevant for today’s business environment.
Suggested Answer:
3. Consider a situation where you were expected to lead. Using contingency theories, describe
your approach to leadership. Also, explain the reaction of your followers. How did you influence
their abilities and willingness to work on the task at hand?
Suggested Answer:
Student responses will vary. Students can select Fiedler’s Contingency Theory, Situational
Discussion Questions for Objective 2.6:
1. Describe the difference between transactional and transformational leadership.
Suggested Answer:
Transformational leaders are sensitive to the environment, charismatic, passionate about what
2. How important is it for a leader to be transformational? Why? Use your experience to support
your position.
Suggested Answer:
Student responses will vary. Because of the turbulence we are currently facing in all areas of our
3. Think about your leadership abilities, especially your social and emotional intelligence and
your methods for inspiring people. Which emotional intelligence skills do you need to develop in
order to become a more effective leader? Why did you choose these skills?
Suggested Answer:
Discussion Questions for Objective 2.7:
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1. Think of an ethical dilemma in which you stood up for—or failed to stand up for— your
beliefs. What are some of the factors that prompted you to respond in this way?
2. What is HR’s role in ensuring consistent leadership in the organization? Think of an example
from an organization you belong to. How does that organization prepare people for leadership
roles?
3. How do you think HR can help build an ethical organizational culture? How does this differ
from the traditional “personnel” and “back office” functions HR professionals have filled in the
past?
Suggested Answer:
Student responses will vary. HR has a responsibility to know the law, ensure the mechanisms
Discussion Questions for Objective 2.8:
1. Sometimes we think about self-awareness as understanding our mind (intellect), body
(physical self), heart (emotions), and spirit (values). For each of these areas, discuss two or three
things that you believe define who you are as a person.
Suggested Answer:
2. Think of a situation in which you assumed a leadership role. How did you support others
socially and emotionally? Were you always authentic in these interactions? How did your self-
awareness inspire trust in others?
3. Discuss the role of integrity in college life, both inside the classroom and outside it. How do
you maintain your personal integrity? What do you think contributes to the failure to maintain
integrity?
Suggested Answer:
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Student responses will vary. As a college student, one needs to take responsibility for one’s
END OF CHAPTER ACTIVITIES: EXPERIENCING LEADERSHIP
Leading in a Global World: Becoming a News and Media Critic
In this assignment, you will develop a way to review world events in such a way that you get
“the whole picture.”
1. Either alone or with a team, choose a topic of global interest (e.g., oil production and sales)
and/or a country/region of the world that you are interested in.
2. Thoroughly investigate various news, media, and other information sources available to you
on the Internet, on television, through the movies, etc.
3. Critique several of the media sources you have identified using the following questions:
A. Whose perspective is most prominently portrayed?
B. What biases are evident? Why do you think they exist?
C. What information is missing? Why do you think it is missing?
4. Based on your research, identify a set of at least three sources of information that, if reviewed
regularly, will provide a full and balanced portrayal of the topic/issue.
Suggested Answer:
Student responses will vary. This is an excellent exercise to assign in teams from chapter 1
Leading with Emotional Intelligence: Developing Self-Awareness by Talking with Others
Below is a list of statements about your leadership. Fill in your name and copy (or copy and
paste) these statements and the scoring code onto several different sheets of paper.
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1. Rank yourself on each statement.
2. Ask five trusted friends or coworkers to rank you on the statements. Be sure to choose people
who wish you well and whom you can trust. Tell them you are happy to do the survey for them,
if they want.
3. Compare your self-ranking with scores others gave you. Ask yourself the following questions:
A. Do others rank me similarly to the way I rank myself? Why or why not?
B. Are there any areas that I would like to work on developing? If I strengthen these areas, how
will my life and my leadership improve?
Self-Awareness Survey
(need to design a scale: 1–5; 1 = almost never; 2 = sometimes;
on life
[name] works well on a team
[name] is inspiring and motivating
[name] deals well with conflict
[name] deals well with change
[name] helps others develop and learn
[name] is someone people enjoy following
Suggested Answer:
Leading with Critical Thinking Skills: Studying Common Beliefs about Leadership
This assignment is best done individually, then as a research project with a team.
1. Study your implicit theories about leadership.
A. Write a description of your ideal leader. Be honest with yourself: What qualities and
behaviors do you really value (even if you know these qualities and behaviors aren’t “right”)?
B. Identify the underlying, unspoken assumptions that draw you to these qualities and behaviors
(e.g., leaders have to be older and/or have a senior management position).
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2. Interview six people about the leadership qualities and behaviors they value.
A. Identify common themes across the interviews.
B. Identify the underlying, unspoken assumptions shared by your interviewees.
Suggested Answer:
Ethical Leadership: Discovering Differences and the Sources of Dilemmas
In this exercise, you will explore how to identify ethical dilemmas in the workplace.
1. Choose a company that interests you.
2. Either alone or with a team, identify the groups of people who work in this company. Group
people by nationality, ethnicity/culture, religion, gender, and any other groupings that might
represent sources of differences in values and/or ethics.
3. Identify noticeably different beliefs and practices of these groups that might create challenges
in the workplace.
4. Generate lists of possible ethical dilemmas that may emerge as a result of these differences.
Choose one of these dilemmas and come up with at least three ways to address it.
Suggested Answer:
ADDITIONAL SUPPORTING MATERIALS
Videos:
• Seth Godin – The Tribes We lead
“Seth Godin argues the Internet has ended mass marketing and revived a human social unit from
the distant past: tribes. Founded on shared ideas and values, tribes give ordinary people the
power to lead and make big change. He urges us to do so.”
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• David Logan and Tribal Leadership:
“David Logan talks about the five kinds of tribes that humans naturally form — in schools,
workplaces, even the driver’s license bureau. By understanding our shared tribal tendencies, we
can help lead each other to become better individuals.”
• Itay Talgam Lead like Great Conductor:
“An orchestra conductor faces the ultimate leadership challenge: creating perfect harmony
without saying a word. In this talk, Itay Talgam demonstrates the unique styles of six great 20th-
century conductors, illustrating crucial lessons for all leaders.”
• Aaaron Fuerstein – Mensch of Malden Mills
“A heroic journey of an entrepreneur doing the right thing, even though it led to the company
filing bankruptcy.”
• Simon Sinek – How great leaders inspire action
“Simon Sinek has a simple but powerful model for inspirational leadership all starting with a
• John Wooden on True Success
“Coach John Wooden redefines success and urges us all to pursue the best in ourselves. In this
INDIVIDUAL EXERCISES
1. Direct your students to spend 10 minutes writing a brief bio – approximately 1- 2
paragraphs – of themselves that they would be willing to share with someone else in the
2. Ask your students if they have encountered any leaders who have had a major impact on
their lives. Have the students describe these leaders behavior, values, traits that made
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3. Have your students spend eight to ten minutes of class time writing a brief self-
assessment essay regarding the extent to which they perceive themselves as having
4. Ask students to think about the five types of power; legitimate, reward, expert, coercive, and
referent power. Next, ask them to recall a leadership experience they have had and to identify
which one they used? Ask them to explain why they chose the particular type of power they did
5. Ask students to think about the five types of power and to identify which one(s) they are most
drawn to? For example, ask them if they are drawn to charismatic leaders (referent power- rock
6. Ask your students to break into teams of 4-5. Next, ask them to comment on a TV show (For
example, American Idol, Dancing with the Stars, 2 ½ Men,). Then have them discuss the show:
TEAM EXERCISE
In the movie Henry V, King Henry V (played by Kenneth Branagh), is about to take his men,
who are gravely outnumbered, into battle against the French. On the field of Agincourt, just prior
to the battle, Henry rouses his men to battle in his famous St Crispin’s day speech. Point out to
the class that Annapolis, West Point, and the USAF Academy all teach Henry the V’s tactical as
include:
• Henry V embodies the definition of leadership: leadership is the process of inspiring
other to work hard to accomplish important tasks.
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ADDITIONAL RESEARCH
Courage and Leadership
Stephen Stefano, [i] senior vice president at GlaxoSmithKline (GSK), considers courage to be
one of three essential qualities of leadership (The other two are integrity and empathy). Courage
can be defined as the capability to face danger, uncertainty, or pain without giving up a course of
action that you believe to be necessary and right. It is the ability to not give up in the face of
adversity. Stefano notes that courage in leadership requires self-confidence. Without self-
Authenticity and Relationships/Leadership
Authenticity, or the quality of being genuine, has been identified as a quality of leadership by
numerous scholars and researchers. Arguing for the relationship between self-esteem and
authenticity, Kernis develops a model of authenticity made up of four dimensions: awareness,
unbiased processing, action, and relational.[i] Kernis argues that those with low self-esteem are
more likely than most to misinterpret their self- feelings, particularly negative ones, out of fear of
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relational authenticity, a leader must also be accorded the legitimacy to promote a leadership
vision that includes values. Eagly found that this legitimacy is more difficult to achieve for
female leaders than for their male counterparts. Eagly’s findings may be true for select ethnic
and racial minority groups, as well.
[1] The Authentic Leadership Questionnaire is copyright © 2007 by Bruce J. Avolio,William L. Gardner, and Fred O. Walumbwa. All rights reserved.
Users should request the instrument from Mind Garden, 1690 Woodside Road, Suite 202, Redwood City, CA 94061. The Role-Based Performance Scale
was used with the permission of Theresa Welbourne, University of Michigan Business School, 701 Tappan Street, Ann Arbor, MI 48109-1234.
Coercive Power
Leona Mindy Roberts Helmsley, the flamboyant, billionaire New York City hotel operator and
real estate magnate had a reputation for ruthless and tyrannical behavior that justifiably earned
her the nickname “Queen of Mean”. Helmsley became famous for her undesirable personality
when a former housekeeper testified that she had heard Helmsley say: “We don’t pay taxes. Only
the little people pay taxes …”, a saying that was identified with her for the rest of her life.
Helmsley was investigated and later convicted of federal income tax evasion and other crimes in
1989. Many of Helmsley’s former employees testified at her trial “about how they feared her,
with one recalling how she casually fired him while she was being fitted for a dress. Most legal