According to the
Path-Goal theory of
leadership, leaders are effective because of their affect on
employees’ motivation and ability to perform. The theory is known as the Path-Goal theory because it describes how the leader influences the employees’ goals, and the paths to reach those goals. The Path-Goal theory is a useful framework for understanding the effect of a leader’s
behavior on employee satisfaction and morale. The Path-Goal theory offers useful insights that would be helpful in guiding the behavior of managers in different situations.
The
Leader’s strategic function is to increase the employees’ motivation to perform. In other words, the function of the leader consists in increasing the benefits to the employees for reaching well defined goals, and removing the road blocks on the paths to these goals.
Situational factors also determine the effects of leader behaviour. These are the personal characteristics of the
workers, and the environmental pressures which the workers must cope with in order to accomplish their goals.
The Path-Goal theory states that the leader’s behavior will be acceptable to the workers only to the extent that they see such behavior as satisfying their needs and wants. And the higher the worker’s ability to carry out the
task, the less the worker will accept coaching from the leader.
The environment consists of those factors which are not within the workers’ direct control. Constraints may be counterproductive, and restrict initiative, because they affect the workers’ belief that efforts will lead to rewards.
Path-Goal theory states that when goals, and the paths to reach those desired goals, are apparent, any attempt by the leader to impose strict controls will lead to worker dissatisfaction. And the more disagreeable the task, the more the workers will resent any attempt by the leader to enforce compliance with organizational rules and procedures.
A leader’s behavior will be motivational, only to the extent that it helps the workers cope with environmental pressures, and other sources of frustration.
When the demands of the task are ambiguous, the leader must provide the necessary guidance to the workers. Supportive leadership has the maximum impact when the work is stressful or dissatisfying for the employees. Achievement oriented leadership will motivate workers to strive for higher standards, and they will have greater confidence in their ability to meet goals.
Through participation in the decision-making process, subordinates learn what actions lead to what goals. Participation increases the autonomy and control that the individual has over what happens on the job. Under a participative system (where subordinates are involved in the decision-making process), pressure for better performance gets diffused – peer pressure and social pressure also come to play a part.
Subordinates who prefer autonomy and self-control tend to react more positively to a participative style of leadership.
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