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In this chapter, the learning objectives are: Explain why good leadership is critical for success as a manager, summarize the main theoretical approaches to leadership, identify the behaviors and skills that are commonly associated with effective leadership,. | chapter 16 Effective Leadership McGraw-Hill/Irwin Principles of Management © 2008 The McGraw-Hill Companies, Inc., All Rights Reserved. Learning Objectives Explain why good leadership is critical for success as a manager. Summarize the main theoretical approaches to leadership. Identify the behaviors and skills that are commonly associated with effective leadership. Explain how the right approach to leadership might be influenced by important contingencies. Discuss the differences between transformational and transactional leadership. Managing & Leading Leaders Managers “Doing the right things” “Doing things right” Focuses on preserving the status quo Focus on vision, mission, and goals Learning Objective 1: Explain why good leadership is critical for success as a manager. See Text Page: 404 CEO Pay AVERAGE annual CEO pay is $10.5 million, 369 times average worker pay of $28,310. In 1970, before the big run-up, the multiple was 28:1, a ratio that would make today’s average worker pay $374,800. Put another way: If CEO pay were frozen now, it would take workers 66 years of 4% annual raises to get back to 1/28th of what the boss makes. Source: Business Week, October 30, 2006 Learning Objective 1: Explain why good leadership is critical for success as a manager. CEO Pay This slide shows the current average CEO pay as compared to the average employee pay. The average pay of CEO’s has been on the rise in recent years, which makes the ratio of average worker pay to their boss rise as well. Ask the students – do they believe the CEOs should get this level of pay? Are they worth it? Why or why not? (It comes down to the question of what value do they generate. Truly competent and effective leaders do command far more than the average pay cited here. This further drives the argument of pay for performance.) Question All manager are leaders and all leaders are managers. Do you agree? Explain. See Learning Objective 1: Explain why good leadership is critical for success as a . | chapter 16 Effective Leadership McGraw-Hill/Irwin Principles of Management © 2008 The McGraw-Hill Companies, Inc., All Rights Reserved. Learning Objectives Explain why good leadership is critical for success as a manager. Summarize the main theoretical approaches to leadership. Identify the behaviors and skills that are commonly associated with effective leadership. Explain how the right approach to leadership might be influenced by important contingencies. Discuss the differences between transformational and transactional leadership. Managing & Leading Leaders Managers “Doing the right things” “Doing things right” Focuses on preserving the status quo Focus on vision, mission, and goals Learning Objective 1: Explain why good leadership is critical for success as a manager. See Text Page: 404 CEO Pay AVERAGE annual CEO pay is $10.5 million, 369 times average worker pay of $28,310. In 1970, before the big run-up, the multiple was 28:1, a ratio that would make today’s average worker pay
