A Project On

A PROJECT ON LEADERSHIP DEVELOPMENT PRACTICES IN PNB Submitted to M.D University Rohtak, for the Partial Fulfillment of the Award of degree of

“MASTER OF BUSSINESS ADMINISTRATION” (BATCH:2007-2009)

Under the Guidance of:

Submitted By: ANSHU RANI MBA (IV)

HRM

INSTITUTE OF MANAGEMENT AND TECHNOLOGY FARIDABAD

(Affiliated to M.D University, Rohtak) Near Sai Dham,Tigaon Road,Faridabad-121002

ACKNOWLEDGEMENT I take pleasure in submitting the project report titled “Leadership Development Practices in PNB”.I express highly gratitude to DR. HARI OM SHARMA (HOD,HR) who directed and co-operated in accomplishing this piece of task. I am very thankful to her for her kind support to me. I wish to express my appreciation to all those with whom I have interacted and whose thoughts and insights help me in furthering my knowledge and understanding regarding this study.

Declaration IAnshurani ,roll no……….class MBA 4th

of the INSTITUTE OF

MANAGEMENT AND TECHNOLOGY hereby declare the project entitled “Analysis of HR Interventions in Manufacturing and service sector ” is an original work and the same has not been submitted to any other institute for the award of any other degree. The interim report was presented to the supervisor on……………… And

the

pre

submission

on…………………...the

feasible

of

presentation

suggestions

have

was

made

been

incorporated in consultation with the supervisor.

Countersigned

Signature of candidate (Anshu)

Signature of the supervisor

Forwarded by

Director/principal of the institute

duly

TABLE OF CONTENTS Chapter-1 • Introduction • Significance of the problem • Review of literature • concept • Objectives • Hypothesis • Limitation

Chapter-2 • • • •

Company Profile Research design Sample design Data collection

Chapter-3 •

Micro (Data) Analysis

Chapter-4 •

Macro Analysis(conclusions)

Chapter-5 •

Observation & Recommendations

Chapter-6 Questionnaire • Row analysis • Bibliography •

INTRODUCTION

INTRODUCTION LEADERSHIP DEVELOPMENT PRACTICES IN PNB Leadership is an important and crucial variable that leads to enhanced management capacity, as well as organizational performance. A leadership focus also plays an integrating role among various Human Resource Management components including recruitment and selection, training and development, performance management, public service ethics, and succession planning. The leadership development strategies of OECD Member countries, historically and culturally are spread across a wide spectrum. At one end is a high level of central intervention in which future leaders are identified and nurtured from the early stage through a centralized selection, training and career management process. In contrast there is a growing group of countries which adopt “market-type” approaches to developing and securing leaders. • Developing comprehensive strategies: PNB have set up systematic strategies and many public banks have also set up systematic strategies for leadership development. Leadership can be performed with different styles. Some leaders have one style, which is right for certain, situations and wrong for others. Some leaders can adapt and use different leadership styles for given situations. •To encourage mentoring and training: Once potential leaders are identified and selected, the next step is to train them continuously. For this purpose, set up a specialized institution for leadership development and establish new training courses for the top executives or senior managers. • To keep leadership development sustainable: As developing future leaders takes a long time, it is very important to keep the leadership development sustainable. To do so, developing a comprehensive program perspective is essential for developing future leaders. Allocating more of managers’ time to developing leaders, and linking incentives with performance for better leadership are crucial to the success of leadership development program. From the public banks experiences, we have noticed some pitfalls of the leadership development strategies, to which special attention should be paid. First of all, developing an elite leadership cadre has many advantages. However, there are some possible dangers in developing leadership in this way. If a group of leaders begins to pursue

their own interests rather than the bank interest, the banks may suffer. Such a group may become closed and insufficiently responsive to wider changes in banks. So, new issues on the agenda are how to build a leadership cadre that is more responsive or representative, and also, how to re- orient and refresh existing cadres if they have begun to get out of step with the society they represent. Secondly, many Member countries are looking to the strengthening of leadership as the solution to banks challenges. How they approach leadership however needs to be viewed in the context of the kinds of problems being faced. It seems important for leadership strategies to be based on a clear diagnosis of the national challenges being faced, and the current

characteristics of the public sector culture - pursuing “leadership” development without that diagnosis and strategy is likely to be ineffective. Thirdly, any successful leadership strategy involves culture change. We know both that culture change is very difficult, and that where it does take place it is over a long period and in response to a variety of powerful pressures. In strengthening OECD efforts in this area it is clear that we need better quality information on the degree to which past public sector leadership promotion strategies have actually changed behavior. On this basis, banks will be better placed to diagnose the current problem and formulate strategies which are likely to be effective. While leadership is easy to explain, leadership is not so easy to practice. Leadership is about behavior first, skills second. Good leaders are followed chiefly because people trust and respect them, rather than the skills they possess. Leadership is different to management. Management relies more on planning, organizational and communications skills. Leadership relies on management skills too, but more so on qualities such as integrity, honesty, humility, courage, commitment, sincerity, passion, confidence, positivity, wisdom, determination, compassion, sensitivity, and a degree of personal charisma. Some people are born more naturally to leadership than others. Most people don't seek to be a leader. Those who want to be a leader can develop leadership ability. And many qualities of effective leadership, like confidence and charisma, continue to grow from experience in the leadership role.

Leadership performed with different styles. Some leaders have one style, which is right for certain situations and wrong for others.

Some leaders can adapt and use different leadership styles for given situations. People new to leadership (and supervision and management) often feel under pressure to lead in a particularly dominant way. Sometimes this pressure on a new leader to impose their authority on the team comes from above. Dominant leadership is rarely appropriate however, especially for mature teams. Misreading this situation, and attempting to be overly dominant, can then cause problems for a new leader. Resistance from the team becomes a problem, and a cycle of negative behaviors and reducing performance begins. Much of leadership is counter-intuitive. Leadership is often more about serving than leading. Besides which, individuals and teams tend not to resist or push against something in which they have a strong involvement/ownership/sense of control. People tend to respond well to thanks, encouragement, recognition, inclusiveness, etc. Tough, overly dominant leadership gives teams a lot to push against and resist. It also prevents a sense of ownership and self-control among the people being led. And it also inhibits the positive rewards and incentives (thanks, recognition, encouragement, etc) vital for teams and individuals to cope with change, and to enjoy themselves. Leaders of course need to be able to make tough decisions when required, but most importantly leaders should concentrate on enabling the team to thrive, which is actually a 'serving' role, not the dominant 'leading' role commonly associated with leadership. Today ethical leadership is more important than ever. The world is more transparent and connected than it has ever been. The actions and philosophies of organizations are scrutinized by the media and the general public as never before. This coincides with massively increased awareness and interest among people everywhere in corporate responsibility and the many related concepts, such as Fair Trade, sustainability, social and community responsibility (see the ethical leadership and ethical organizations page.) The modern leader needs to understand and aspire to leading people and achieving greatness in all these areas. The need for effective modern leaders to have

emotional strength and sensitivity, far beyond traditional ideas of more limited autocratic leadership styles. Whatever the size of the organization, operational activities need to be reconcilable with a single congruent (fitting, harmonious) philosophy. Executives, managers, staff, customers, suppliers, stakeholders, etc., need solid philosophical principles (another term would be a 'frame of reference') on which to base their expectations, decisions and actions. In a vast complex organization like the PNB, leadership will be very challenging at the best of times due to reasons of size, diversity, political and public interest, etc. Having a conflicting philosophy dramatically increases these difficulties for everyone, not least the leader, because the frame of reference is confusing. For leadership to work well, people (employees and interested outsiders) must be able to connect their expectations, aims and activities to a basic purpose or philosophy of the organization. This foundational philosophy should provide vital reference points for employees' decisions and actions - an increasingly significant factor in modern 'empowered' organizations. Seeing a clear philosophy and purpose is also essential for staff, customers and outsiders in assessing crucial organizational characteristics such as integrity, ethics, fairness, quality and performance. A clear philosophy is vital to the 'psychological contract' - whether stated or unstated (almost always unstated) - on which people (employees, customers or observers) tend to judge their relationships and transactions.

TRADITIONAL LEADERSHIP DEVELOPMENT PRACTICES

1. There is only one way - the straight way. It sets the tone of the organization. 2. Be open to the best of what everyone, everywhere, has to offer; transfer learning across your organization. 3. Get the right people in the right jobs - it is more important than developing a strategy. 4. An informal atmosphere is a competitive advantage. 5. Make sure everybody counts and everybody knows they count. 6. Legitimate self-confidence is a winner - the true test of selfconfidence is the courage to be open. 7. Business has to be fun - celebrations energies and organization. 8. Never underestimate the other guy. 9. Understand where real value is added and put your best people there. 10. Know when to meddle and when to let go - this is pure instinct. As a leader, your main priority is to get the job done, whatever the job is. Leaders make things happen by: • • •

knowing your objectives and having a plan how to achieve them building a team committed to achieving the objectives helping each team member to give their best efforts

Understanding leadership: analytical perspectives Leader-centered approaches The leadership is simply equated with whatever it is that people in high positions do: how they perceive the world and their role in it, and how they choose to use the latter to elaborate the former. Leadership is thus explained by looking at the personal characteristics and life histories of the individuals involved. The main source of variation and dispute in the field is: which characteristics and which parts of their histories? The number of leader-cantered explanatory variables thrown up by decades of fundamental and applied research is quite staggering: personality traits, cognitive abilities/style, early childhood experiences, birth order, inner motivational drives, personal value systems, mental stability, interpersonal style, rhetorical skills, early career experiences, crucial mentor relationships and so on (Kellerman 1984; Blondel 1987; Ludwig 2002).

In the interdisciplinary field of political psychology, the behavior of political officeholders has been described, compared, and explained with reference to psychological theories of personality and leadership style. Famous if controversial examples of this tradition include Harold D. Lasswell’s (1930) and James David Barber’s (1972) typologies of political leaders and leadership styles and Dean Simonton’s (1987) work on explaining and predicting presidential ‘greatness’. More recently, respected political psychologists such as Margaret Hermann (1980) and Jerrold Post (2003) have presented more empirically grounded clusters of personality traits which are said to be the basic components of a politician’s leadership style, whereas Fred Greenstein (2003) has induced six key components of presidential leadership style that may explain the performance of different holders of that office. In Australia, various scholars associated with the so-called Melbourne School of political psychology — notably A. F. Davies, Graham Little, James Walter and Judith Brett have produced innovative and internationally (if not locally) recognized typological and psychobiography studies of Australian as well as foreign political leaders (cf. Brett 1997; 2007; Walter and ‘t Hart, forthcoming). Likewise in both Australia (cf. Arkley, Wanna and Nethercote 2006) and New Zealand (Clarke 1997; 2001; 2003; 2004; Gustafson 1986; 2000; 2007) there is a sustained interest in and pursuit of (auto) biography of political and to a lesser extent administrative and civic leaders. Relational approaches Secondly, from sociology and social psychology, a core contribution to leadership analysis lies in the idea that leadership is really, first of all, in the eye of the beholder, for example, those that ‘follow’ (comply with, believe in, support) leaders. Understanding public leadership thus requires a switch of the analytical lens away from the preoccupation with the leaders themselves and towards the nexus (the ‘bond’, the ‘contract’) between followers and leader, and, within that, the emphasis being more on the former than the latter. The relational approach — of which Max Weber’s typology of authority and James McGregor Burns’s (1978) distinction between transactional and transformational leadership form classic and enduringly relevant examples — is highly relevant to understand key forms of civic leadership such as social movement leaders. But it also goes deep within the executive branch of government to shed light on the nature of the vital yet delicate ‘pact’ that may or may not exist between political and administrative office-holders at any given time (Peters 1988). It is a much more productive way of understanding the special case of ‘charismatic leadership’ than any leader-cantered approach can possibly be (cf. Tucker 1978; Bryman 1992). If anything, the relational perspective shows that ‘followers’ in many cases do much more than just that. Followers are not mere ‘sheep’: they, in fact, often quite

deliberately observe, weigh, test, choose and, indeed, ‘deselect’ leaders — thus determining the fate of leaders as much as leaders determine theirs. From this perspective, leadership, like any other feature of social life, emerges as a symbolic, negotiated order. When explaining the construction of this order, there is no primafacie reason to privilege the words and deeds of leaders. In many ways, only those individuals who effectively mediate the ideas and feelings of the group or community they belong to, or seek to lead, will be ‘attributed’ the kind of authority necessary to lead. Political parties know this situation only too well: party leaders are prisoners of their followers. Patrick Weller has noted this when examining the comparative prominence of cabinet processes in Australian national government (Weller 2007). One reason is that Australian party leaders (Australian Democrats are an exception) are selected by a relatively small group: by their parliamentary colleagues and not, as in so many comparable nations, by a larger party convention. Australian party leaders can be dumped without notice or even ceremony. Heads of government like to keep cabinets in session as one way of managing their followers: keeping them at close range precisely because the power rests ultimately with the followers who can make and unmake the leaders. Paradoxically, ruling elites rarely have the luxury of elitism. Elites have to manage relationships with their followers. They also have to manage relations with other competing elites, who can swing followers away from one elite guard to another. There is a long social science tradition of studying political organizations in terms of elite-mass relations. Elites get their reputation as wily rulers not because they take ruling for granted but because they know that their rule can only be sustained through careful organization of their followers. Higley and Burton illustrate a contemporary version of this long tradition going back to Michels and Pareto examining the ways that competing elites manage both the vertical lines of support within their camp and the horizontal lines of opposition between competing camps (Higley and Burton 2006). Social structures matter: class, religion, region, ethnicity all influence the social composition of elite-follower relationships. Institutional approaches Thirdly, the institutional approach to leadership analysis owes much to the fields of political science and public administration. Sets of rules and conventions are designed in every polity to somehow resolve the tension between democracy’s need for holding the power of public officials in check and efficiency’s need for strong executive and professional leadership at the heart of government. Different polities resolve that trade-off in different ways (and may change their ways of doing so in response to traumatic experiences, such as breakdown, crisis and war). They thus harbor different systems (structures and cultures) of public leadership. John Uhr’s (2005a) work on the so-called ‘lattice of leadership’ (the institutionalized dispersal of leadership roles and

opportunities throughout the political system) looks at the features of the institutionalized nature of the offices political and administrative leaders hold, and the formal and informal rules for acquiring, consolidating and losing public office and the authority that comes with it (Elgie 1995; Elcock 2001). Such an approach is clearly complementary to the two previous ones. It helps us understand, for example, similarities in leadership behavior and leadership relations (for example ways of managing cabinet) of ostensibly rather different political personalities occupying the same office over time. It also documents how changes in the rules of office give rise to new patterns of behavior in office-holders (cf. Weller 1985; Rose 2001; 2007). Examples include the move from parliamentary to presidential government in France in the fifties, and the oft-observed changes in senior civil servant behavior (from ‘mandarins’ to ‘managers’) following the introduction of fixed-term contracts; output steering and performance pay in various countries (Weller 2001). Contextual approaches Fourthly, contextual approaches to understanding public leadership look at the role of situational and temporal factors. Leadership is often exercised most visibly and decisively at certain critical junctures (‘occasions’, ‘crises’ etc.). Political systems, with their routines and rhythms, typically throw up such occasions in patterned ways (electoral cycles, political business cycles), as do the ups and downs of national economies and fiscal positions. In addition, unscheduled events such as disasters, scandals, and so on, create the proverbial ‘windows of opportunity’ for ‘policy entrepreneurs’ inside and outside government to do business and exercise leadership, and at the same time may place severe, stress-inducing performance pressures on key office-holders (Holsti 1972; Janis 1989). Reading these various ‘signs of the times’ and acting upon them proactively, therefore, becomes an important leadership challenge. A key example of such a contextual approach is Stephen Skowronek’s (1993) study of presidential leadership in the United States, which systematically uses a theory of political time to map out the leadership possibilities and constraints facing every holder of the US presidency since Adams, and to thus explain their success and failure from the (mis)match between this contextual opportunity structure and the individual’s role conceptions and political stances. Performative approaches Leaders are actors. They need an audience. Some favor niche audiences tailored to their ‘off-Broadway’ versions of localized leadership. Others favor global audiences for their mission to mobilize transnational followers. Most operate in-between, playing to a national audience in a public theatre showcasing leaders’ talent to appeal to audiences interested in issues of civic identity, sovereignty and national purpose. Carnes Lord’s (2003) The Modern Prince is subtitled ‘what leaders need to know’: the chapter on communication traces the critical analysis of the stagecraft of public

leadership back to Greece, taking Aristotle’s Rhetoric as the most convenient point of analytical entry. Uhr’s Terms of Trust attempts to apply a similar framework of rhetorical analysis to Australian public leadership (Uhr 2005a: 65-78). Uhr draws on recent US scholarship on ‘the rhetorical presidency’ which investigates the careful and deliberate way that US national political leaders, like all good actors, manage through their mouths. This is echoed in the suggestive title of but one revealing US study: Deeds done in words: presidential rhetoric and the genres of governance (Campbell and Jamieson 1990). Despite considerable skepticism about rhetorical ruses (see for example, Edwards 1996), scholarship marches on. One of the latest publications deals with the hard reality of US economic policy: Wood’s The Politics of Economic Leadership which is subtitled: ‘the causes and consequences of presidential rhetoric’ (Wood 2007). Researchers’ interests in the ‘cunning’ of public speech matches public interest in the ‘craft’ of ‘great public speeches’. This popular interest in ‘great public speeches’ is an important clue to the rhetorical construction of leadership. Leaders themselves frame their leadership in words addressed to followers, in a carefully orchestrated display of ‘follow the lieder’ (apology for the pun). As with so many theatrical displays, the words alone do not tell the whole story: much depends on the setting, the scene, the show itself, including the body language of gesture and suggestion, often conveyed by silence as much as by explicit statement. Leaders have many tools at their disposal, many of which are forms of power and persuasion that are deployed only ‘behind closed doors’ out of public view. But one of the most valuable of their persuasive tools is their tongue, especially when used to provide a sustaining narrative to reassure followers that all are on the right path and heading in the right direction. This per formative capacity does not have to come across in Oscar-winning polished routines: indeed, for all his lack of stage glamour, John Howard is a good working model of the effective public leader who knows the importance of his every word in holding his audience. In common with his predecessors Menzies, Whitlam, Hawke and Keating, he knows that his most important ‘lieder-script’ is about the nature of citizenship, of Australian civic rights and responsibilities and of the place of Australia in a global world (cf. Uhr 2002). Ethical approaches Finally, there is the ethical approach to understanding public leadership. This asks the question if public leaders should, and can afford to, observe ethical standards, if not codes of conduct. This is an old question, harking back to Greek political philosophy and forever highlighted by the work of Niccolo Machiavelli. In this Machiavellian spirit, Lord Acton famously observed that power corrupts and absolute power corrupts absolutely, adding in the next line that ‘great men are always bad men’. If that is the case, leadership in a democracy such as Australia becomes inherently problematic.

The primary task here is not to overlay a framework of ethics on top of leadership practice, as though we could clamp down on unethical leadership. Instead it is to try to reveal the ethical orientation of leaders themselves, to try as best we can to understand what leaders understand by ‘the ethics of leadership’. Uhr suggests that Australian political leaders see their own role as inscribers of a civic ethic conveyed in the ‘terms of trust’ that leaders devise as a sort of contract between citizens and their political representatives (Uhr 2005a). In this approach, ethics emerge as an important element in the order of mutual obligation devised by political leaders who compete for the subscription and support of followers. Leaders are thus prepared to be judged according to the public estimate of their trustworthiness, which is among the most important of the ethical qualities requiring their constant political management. As ever, Weber caught much of the meaning of this political management of ethics in his evocation of the calling or profession of politics (Weber 1994). Even democratic political leaders appreciate the value of excusing themselves from the ethical order properly accepted by their followers, and the value of abiding by a separate ethical order Weber termed ‘the ethic of responsibility’. Under this leadership ethic, power holders put themselves forward for public judgment free from any constraint of traditional ethics of what Weber calls ‘absolute conviction’ or pure intention. The ethic of leadership responsibility is something of a call to arms: leaders do ‘whatever it takes’ in the knowledge that, if they have their way through their chosen terms of trust, they will be judged by the results of their rule, and not by their compliance with ‘the rules’ of any legal or ethical order. Call this a form of ‘results-oriented ethics’ if you want to place it in the content of new public management, where compliance with traditional rules of process is down-valued in favour of getting on with the job and delivering results. Much of the recent surge in writing about political leadership is explicitly and selfconsciously (neo-)Machiavellian (for example, Lord 2003; Keohane 2005), whilst at the same time there is a strand that is explicitly advocating moral fibre, public integrity and active responsibility as hallmarks of true leadership (Hargrove 1998; Dobel 1998; Uhr, 2005b). Clearly, there is a debate here that needs to be waged. The nature and terms of the debate vary markedly when it comes to political, bureaucratic and civic leadership. The tensions identified by Weber apply more generally: across the leadership scene, leaders manage the competing interests of the absolutist ethics of ‘clean hands’ and the relativist ethics of ‘dirty hands’. There are many variations of these competing ethical obligations. Weber himself paints an image of decisive political leadership against a background of very dark and threatening colours: ‘decisionism’ becomes a privileged feature of this model of opaque leadership

SIGNIFICANCE OF THE PROBLEM Leadership Development is the natural course for an organization to meet the future challenges of business. The leadership development initiatives/practices being followed / taken in PNB needs to be investigated, so as to make suggestions to make the same more effective and realistic.

REVIEW OF LITERATURE

Leadership Development Best Practices

From the February Chief Learning Officer newsletter: Best Practices - Josh Bersin Published February 2008 Leadership Development in 2008 Leadership development continues to be one of the fastest-growing areas of corporate training. Spanning programs from management training to executive development and cultivating high potentials, leadership development consumes almost 25 percent of all corporate training dollars. Today’s emphasis on building the leadership pipeline makes this investment more important than ever. After two years of research, we have found six best practices common to highly successful leadership development initiatives. 1. Strong executive engagement: The most important practice of all is to obtain the engagement of top leaders and managers. Their commitment means that the program will be highly regarded, aligned with corporate strategy and focused on the right business issues. At Textron, the top leadership team participates in each major element of the leadership development program. 2. Tailored leadership competencies: Successful leadership development programs are based on identified leadership competencies. By isolating and agreeing upon leadership competencies most important to your business, you will have the foundation for leadership development, as well as succession planning, career development and other talent-related processes. All

high-impact programs we’ve studied are built on well-established leadership competency models. 3. Alignment with business strategy: Leadership development is far more than management training. As leaders move up in the organization, their skills must shift from people and project management to strategic business and operations management. Organizations such as Agilent, Aetna and Cisco focus heavily on company-specific business strategies in their leadership programs. Such programs cannot be totally comprised of off-the-shelf content. Furthermore, leadership development programs must be included in business conversations and planning. At New York Mellon, the top 10 executives meet quarterly to review the efforts of the leadership development group and how it is supporting the company’s current business initiatives. 4. Target all levels of leadership: While the term “leadership” may not seem to apply to first-line managers, we find that high-impact programs have elements that apply to every level of management. At Shell, line managers participate in a program called Shell Life, which includes basic training in coaching, change management, delegation and development. Functional managers participate in a program that focuses on business leadership, business management, vision and other leadership qualities. Also, top business leaders are involved in a third program, which focuses on Shell’s business management and uses external education and

consultants to train top global leaders. 5. Apply a comprehensive and ongoing approach: No sound leadership development program consists solely of an instructor-led training event. Programs must include developmental assignments, 360-degree assessments, and meetings with global counterparts, case studies, external education and a wide variety of e-learning and other media to give leaders a complete experience. People learn to lead by doing, so the best leadership development programs focus heavily on experiential learning. 6. Integrate with talent management: To build a sustainable leadership pipeline, organizations must implement programs to assess leadership potential (part of the performance management process), identify successors to existing leaders and place these individuals into the right development programs as part of the company’s regular business practices. In fact, one of the biggest indicators of a first-class leadership development program is a set of established practices and a corporate culture that encourages development through the

enterprise.

Those companies with weak leadership pipelines could well suffer in the years ahead, when talent grows increasingly scarce. I encourage you to think about leadership development initiatives and these six practices as you plan for 2008. The Leadership Dilemma in a Democratic Society

Over a two-year period, the Public Sector Consortium.(at the time known as the High Performing Federal Agencies Community of Practice) developed a series of systems maps that illustrate the kinds of leadership dilemmas faced by public managers in a democratic society. For example, the need to show short-term results for a new administration tends to reward command-and-control leadership styles and complicates efforts to define a clear mission for an agency. The Consortium developed the maps to help leaders and the professionals who design leadership development programs to engage in dialogue about the systems and structures in their own organizations. The intention is to create opportunities for organizations to create the structures and systems that support quality public sector leadership. The Public Sector Consortium also now offers training courses of its own, the Organizational Learning Curriculum for Leaders.

Leadership development: David V. Day

,

The Pennsylvania State University, University Park, PA 30 April 2001.

Abstract Interest in leadership development is strong, especially among practitioners. Nonetheless, there is conceptual confusion regarding distinctions between leader and leadership development, as well as disconnection between the practice of leadership development and its scientific foundation. The present review examines the field of leadership development through three contextual lenses: (1) understanding the difference between leader development and leadership development (conceptual context); (2) reviewing how state-of-the-art development is being conducted in the context of ongoing organizational work (practice context); and (3) summarizing previous research that has implications for leadership development (research context). The overall purpose is to bridge the practice and science of leadership development by showing the importance of building both human and social capital in organizations. Specific practices that are reviewed include 360-degree feedback and executive coaching, mentoring and networking, and job assignments and action learning. Practices and research are framed in terms of a general need to link leader development, which is primarily based on enhancing human capital, with leadership development that emphasizes the creation of social capital in organizations.

OBJECTIVES

OBJECTIVES The main purpose of the research is to understand the Leadership Development practices being followed by PNB.

•

Understand the role of the effective leaders in PNB.

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Identify the leadership behaviors in PNB.

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Identify the Leadership Development initiatives of the PNB.

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Identify the Leadership Development programmes being attended by the managers of PNB.

•

Identify the most popular leadership development initiatives of the PNB.

CHAPTER-2

RESEARCH METHODOLOGY

RESEARCH DESIGN Research Design is the way in which the research is carried out. In this study descriptive and analytical research is undertaken in order to complete the project.

SAMPLING • METHOD OF SAMPLING RANDOM SAMPLING technique has been followed for the study. RANDOM SAMPLING is a technique in which each & every unit of population has an equal opportunity of being selected in the sample. Personal bias of the investigator does not influence the selection. • SETTING THE UNIVERSE AND SAMPLE SIZE: For the purpose of research the universe size will be PNB COVERING DELHI & NCR and sample size will be 50 employees of PNB.

METHOD OF DATA COLLECTION The methodology will be collect data by primary and secondary sources. 1. Primary Data

The Primary Data will be collected through a questionnaire this will be followed by the researcher and respondent on the company. The data also will be collected by taking appointment with manager and Sr. Executive in HR department, which will be followed by visit to the concerned companies. 2. Secondary Data:

The Secondary data is used by:

i.

Journals and periodicals

ii.

Relevance books and Case studies

iii.

Internet Website

iv.

Others sources

TOOLS OF DATA ANALYSIS: Through questionnaire and personal interview the desired data will be collected. The same will be analyzed by editing, coding and tabulating. Tabulating refers to bringing together similar data and compiling them in an accurate and meaningful manner the data collected by questionnaire was analyzed interpreted with the help of table.

COMPANYPROFILE

Punjab National Bank (PNB) is one of the 500 largest banks in the world, and enjoys a rich history and heritage. PNB was the first Indian bank to be started solely with Indian capital. Established in 1895 at Lahore, and nationalized in 1969, it has worked assiduously to build the banking sector in rural and urban India. It has presence in remote areas of the country, cutting across cultural and linguistic boundaries. PNB’s principal activities are to provide treasury and banking operations. The activities include accepting deposits, lending loans and to provide other financial related services. The banking operations provides short and long term loans to agricultural, small scale industries and other priority sectors. PNB also offers internet banking facilities to its customers. PNB is 100% CBS and operates through 4869 branches, 444 extension counters and 1855 ATMs. Leadership development is strong, especially among Public banks. Nonetheless, there is conceptual confusion regarding distinctions between leader and leadership development, as well as disconnection between the practice of leadership development and its scientific foundation. The present review examines the field of leadership development through three contextual lenses: (1) understanding the difference between leader development and leadership development (2) reviewing how state-ofthe-art development is being conducted in the context of ongoing organizational work and (3) summarizing research that has implications for leadership development. The overall purpose is to bridge the practice and science of leadership development by showing the importance of building both human and social capital in organizations. Specific practices that are reviewed include 360-degree feedback and executive coaching, mentoring and networking, and job assignments and action learning. Practices and research are framed in terms of a general need to link leader development, which is primarily based on enhancing human capital, with leadership development that emphasizes the creation of social capital in organizations.

The most important role of PNB leaders has been to solve the problems and challenges faced in a specific environment. When we say we want more leadership in the public sector, what we are really looking for is people who will promote institutional adaptations in the public interest. Leadership in this sense is not value neutral. It is a positive espousal of the need to promote certain fundamental values

ANALYSIS AND INTERPRETATION OF DATA

ANALYSIS AND INTERPRETATION OF DATA

1. Leadership 1.1 General: Leadership is the behavioral style or pattern you use when trying to influence the behavior of other people. It is an influence process. Your perception of your own behavior and its impact on others is an indication to yourself of your intentional actions. The people you are trying to influence will however, react to your behavioral actions according to their own perceptions of your behavioral style. You have to get your own perception in line with how others see and experience you, if you want to influence them effectively.

1.2 Purpose of this module: The purpose of this module is to supply you with knowledge so that you can: - adopt the appropriate leadership style for a particular situation. 2. Leadership styles: Dominant response traits in conflict situations can vary between domineering, collaborating, compromising, accommodating and avoiding, depending on the degree of cooperativeness and the degree of assertiveness. The following diagram illustrates dominant response traits:

In terms of leadership styles, the degree of assertiveness is replaced with autocratic style and degree of cooperativeness is replaced with democratic style. The above diagram can then be converted as follows:

While autocratic leaders use position, power and formal authority to get results, democratic leaders use their personal power (obtained from how others view them). Democratic leaders encourage participation of others in problem-solving and decision-making. A further development is the introduction of the four leadership styles, ranging from S1, S2, S3 through to S4, which can be illustrated as follows:

Directive behavior is the degree of one way communication with subordinates by telling them what, where, when and how to do things and closely supervising their progress. Supportive behavior is the degree of two way communication with subordinates by listening, supporting, encouraging and involving them in decision-making. With directive behavior more time and energy are spent on detailed instructions and supervision. The leadership styles, as perceived by subordinates by the way that a leader treats them during problem-solving and decision-making sessions, can be described as follows:

2.1 Style 1 (S1) - DIRECTING: With this approach the leader has a high tendency of taking decisions himself, instructing others how to execute the decisions and closely supervising their progress. 2.2 Style 2 (S2) - COACHING: The leader is still directing with his ideas but also encourages suggestions. Two-way communication increases, but the leader controls decision-making. 2.3 Style 3 (S3) - SUPPORTING:

The control of problem-solving and decision-making shifts to the subordinate. They now make decisions together and the leader is mentoring the subordinate's judgment. A higher tendency emerges of the leader sharing his control by allowing and encouraging subordinate participation in decision-making. 2.4 Style 4 (S4) - DELEGATING: The problem is discussed with the subordinate to get mutual agreement on problem definition. The control over problem-solving and decision-making is totally turned over to the subordinate, so that he can "run his own show". 3.DEVELOPMENT LEVELS: The development level of an individual or a group is their degree of competence and commitment to perform a specific task without supervision. You can obtain competence by improved skills and knowledge through training, education and experience. Commitment on the other hand, is a product of self-confidence and motivation. Selfconfidence stems from beliefs about oneself, while motivation stems from personal interest and enthusiasm for a task. There are four development stages, each representing a different combination of competence and commitment, ranging from D1, D2, D3 and through to D4:

Peak Reluctant Disillusion Enthusiast Performer Contribut ed ic or Learner Beginner Competen High High Some Low ce Level competenc competenc competenc competenc e e e e

Commitm High Variable Low High ent commitmen commitmen commitmen commitmen t t t t Level D4 (High) Developm ent Level

D3 D2 (Low to D1 (Low) (Moderate moderate) to high)

3.1 Development level 1 (D1):

When faced with a new task, an individual with no or little knowledge and experience, will be eager and enthusiastic to learn. 3.2 Development level 2 (D2) : At this stage the individual has made several attempts at task accomplishment and often finds it to be more difficult or less interesting than anticipated. He/she becomes disillusioned and commitment drops. 3.3 Development level 3 (D3) : The individual learns to accomplish the task with the help and support of his boss and is doubtful whether he/she can perform the task without help from the boss. The boss tells them they are competent, but they are still doubtful and commitment fluctuates from excitement to insecurity. 3.4 Development level 4 (D4) : With help and support, the individual can eventually become a high performer. The individual has proven to himself that he is competent on his own and self-confidence and satisfaction is high. Competence and commitment are both at a high level. 4. Matching leadership style to development level: We have so far seen that competence steadily increases as the

individual progresses through the development levels from D1 to D4. This can also be associated with the normal learning curve of people. Commitment, however, does not follow the same smooth steady increase and can vary in degree at the different levels. Furthermore, an individual can be at a high level of development in one task, but at a lower level of development with another task. Thus, a drop in commitment calls for high supportive behavior. Treat the same individual with respect to different tasks, according to his development level in a specific task. At development level D1, with high commitment and low competence, the Directing style S1 is appropriate. It tells people what roles to play, what, how, when and where to do tasks. Support is not appropriate. At D2, people lack competence and commitment. The lack in competence still calls for directive behavior and lower commitment calls for supportive behavior that increases two-way communication to build confidence and motivation. This is the Coaching style S2. At D3, with variable commitment and motivation, more participation by the individual in decision-making is appropriate; also listening, supporting and encouraging using learned skills. This is the Supporting style S3. At D4, both competence and commitment are high and the individual needs little direction and support. He is now a peak performer and psychologically matures. This is the Delegating style S4.

3.INCREASING DEVELOPMENT LEVEL: It requires time and energy by the leader to train and develop an individual. However, if you do not do it, performance will remain low and frustration mutually high. The quicker you get a person from D1

to D4; the sooner performance will be high so that you can spend your time and energy elsewhere. Simultaneously you will have created productive and satisfied employees. 5.1 Directive behavior to train people to become high performers, can be summarized in 4 steps: 5.1.1 Tell, describe and explain to them clearly what you want them to do. 5.1.2 Show them how to do it so that they understand the standard. 5.1.3 Let them try - that is, let them learn by trial and error. 5.1.4 Observe performance by close supervision to provide help in correcting errors when needed. 5.2 Supportive behaviors to reinforce motivation: 5.2.1 If you can catch people doing something right and provide praise or promotion, this will reinforce motivation and self-image, which in turn increases the probability of the successful occurrence repeating itself. 5.2.2 Allow people to progress in small steps. Success is easier with a step at a time and reinforces motivation. Give praise for progress that is approximately right as well. 5.2.3 The idea is to provide support through the development stages so that direction as imposed externally by the leader in the earlier stages, shifts over so that it becomes internally imposed and generated by the individual himself. 5.2.4 If you continue longer than necessary to direct and closely supervise people, you are sending them a message that you do not trust them, which in turn affects performance. If, however, you involve them in problem-solving and decision-making, they will get

feelings of confidence and motivation. The sooner you begin to delegate to them, the sooner they will get the message that you regard them as capable, trustworthy, responsible and reliable persons. This will reinforce higher performance

9.1 APPROPRIATENESS OF STYLES: The four styles vary in terms of the amount of direction, support and subordinate involvement Style

Appropriate

S1

Where there is a match With a D2, D3, D4 and there's a (D1), with someone who is mismatch. low in competence but When you have underutilized a motivated. person's skills; when you have In an emergency. taken on their "monkey". When there is a short timeline with a D2 or D3.

Inappropriate

When it is overused and you come across as a dictator.

With a D2 on a complicated, new, and very important task. Sometimes, where there is When used as a reprimand, inappropriately, with a D1 or D2. a major organizational change. When there is no checking for understanding. When there is a lack of experience in relation to a specific task, such as with a new employee.

S2

With a D2, a person who has some competence, but not all the skills, knowledge, or information needed, who is also unmotivated or With a D1, D3 or D4 and there's a disillusioned. mismatch. With a D1 or D1/D2 who is With a D1- there's too much developing; with a person encouraging and consultation. who has performed well With a D3 - there's too much under your close direction. supervision. With a D4 - there's too much When a subordinate has some skills and experience direction and support.

to contribute, but may not When the use of S2 comes across have all the information or as the "helpful but interfering backseat driver". perspective the manager has. To build a subordinate's commitment to doing a task if he/she has some skills or knowledge needed. S3

With a subordinate who has If there is a mismatch - when an most of the skills relevant individual or group needs more to doing a task, but is a direction (S1 or S2) or less support little insecure; with (S4).

someone who lacks confidence. With a subordinate who has the skills needed to do the If it is rescuing - the manager cannot stay uninvolved even task, but does not care. though the person has the skills to With a subordinate who has do the task. good skills and ideas, but is If it is too paternalistic, supportive new to the task or is hesitant, because he or she or friendly. has never done the task When the praise that is given, is alone before. global, not specific. With a D4 who is slipping to When you do something for D3 for whatever reason - a someone that they can do for productivity problem or a themselves ("you love them into in personal problem. competency or dependence"). With someone who likes and may need recognition and support. With unmotivated, insecure, or apathetic subordinates. With people who do not have all the skills to do the task, because the manager is setting them up to fail and setting himself/herself up to use the 1-4-1 leave-alone-zap With a group which has all leadership style. the technical and teaming When performance and/or skills needed to do a task. motivation changes. With D4's - motivated, confident, educated, experienced, self-directing, self-supporting persons. S4

With D3's who have all the skills for the task at hand when there are long timelines, low stakes, and built-in reinforcement.

When introducing a new person to a group. If the manager loses touch with what is going on; does not monitor performance. When there is a change in the organization.

IMPROVING YOUR EFFECTIVENESS BY BETTER LEADERSHIP DEVELOPMENT PRACTICES Using the leadership model effectively requires that the manager be able to assess accurately the developmental level of subordinates. This section outlines the use of such an assessment. PROCESS: 1.1 Distribute copies of the assessment form to each of your subordinates. Explain that you wish to examine the appropriateness of your leadership style with your subordinates. 1.2 Set a date for the return of the form and another date for a discussion of the results. 1.3 Complete your assessment of your subordinates on the same form. 1.4 Compare the two sets of results prior to discussion and highlight the major differences. 1.5 In the discussion aim to reconcile the differences. Be open to your subordinate's opinions. 1.6 Agree as to an appropriate leadership style to use with the subordinate. 1.6. To assess an appropriate style, follow this guide: Score from section 1 of assessment Mark your score from section 1 with "X"

8

Task style required

S4

7 6 S3

5 4 S2

3 2 S1

1

Score from section 2 and 3 of assessment Mark your score from section 2 and 3 with "X"

8

Relationship style required

S4

7

6 S3

5

4

3

S2

2

1

S1

1.6.2 Regarding task style, my leadership will be more effective when I do the following things: 1.6.3 Regarding relationship style, my leadership will be more effective when I do the following things: 1.7 Review the effectiveness of your leadership behaviours monthly (or as suitable) by reassessing development level or by discussion only.

ROLE OF LEADERSHIP Leadership examines the various roles carried out by leaders. Leadership roles are a subset of the managerial roles. Leading is a complex activity, roles can be classified as a part of the leadership function of management. 1. Figurehead leaders, particularly high ranking mangers,

spend some part of their time engaging in ceremonial activities, or acting as a figurehead. Four specific behaviors fit the figurehead roles of leaders a) Entertaining clients or customers as an official

representatives of the

organization

b) Making oneself available to outsiders as a representative o0f the organization. c) Serving as an official representative of the organization at gatherings outside the organization. d) Escorting official visitors 2. Spokesperson. When a manger acts as a spokesperson, the

emphasis is on answering letters or inquiries and formally reporting to individuals and group outside the manager’s direct organizational unit. As a spokesperson, the managerial leader keeps rive groups of people informed about the unit’s activities plans, capabilities,, and responsibilities(vision): a) upper-level management b) client or customers c) other important outsiders such as labor unions d) professional colleagues e) the general public Dealing with outsides groups and the general public is usually the responsibility of top-level managers. 3) Negotiators part of almost any managers job description is trying to make deals with others for needed resources. Researchers have identified three specifics negotiating activities. a) Bargaining with other supervisors for the funds, facilities, equipment, or others form of support. b) Bargaining with other units in the organization for the use of staff, facilities, equipment, or other form of support. c) Bargaining with suppliers and venders for services, schedules, and delivery times. 4) Coach and motivator: an effective leader takes the times to coach and motivate team members. This role includes four specifics behaviors:

a) Informally recognizing team member’s achievements b) Providing team members with feedback concerning ineffective performance c) Ensuring that team member are informed of steps that can improve their performance d) Implementing rewards and punishment to encourage and sustain good performance. 5) Team builder a key aspect of a leader’s role is to build an effective team. Activities contributing to this role include: a) Ensuring that team members are recognized for their accomplishments, such as through letters of appreciation. b) Initiating activities that contribute to group morale, such as giving parties and sponsoring sports team c) Holding periodic staff meetings to encourage team members to talk about their accomplishments, problems, and concerns. 6) Team player. Related to the team-builder role is that of the team player. Three behaviors of team players are: a). displaying appropriate personal conduct b). co-operative with other units in the organization c). displaying loyalty to superiors by sporting their plans and decisions fully 7) Technical problem solver. It is particularly important for supervisors and middle managers to help team members solve technical problems. Two activities contributing to these roles are: a). serving as a technical experts or advisor b). performing individual contributor tasks on a regular basis, such as making sales calls or repairing machinery. 8). Entrpreneur: Although not self-employed, mangers who work in large organizations have some responsibility for suggesting innovative ideas for furthering the business aspects of the firm. Three entrepreneurial leadership role activities are: a).Reading trade publications and professional journals to keep up with what is happening in the industry and

profession. b). Talking with customers or others in the organization to keep up with changing needs and requirements c). Getting involved in situations outside the units that could suggest way pf improving the unit’s performance. Such as visiting other firms, attending professional meetings or trade shows, and participating in educational programs. 9). Strategic planner. Top-level managers engage in strategic planning usually assisted by input from others throughout the organization. Carring out the specific activities involved in this role include: a). setting a vision and direction for the organization b). Helping the firm deal with the external environment c). Helping develop organizational policies. The role of leadership in the conception of modernization and improvement, before outlining key approaches to understanding leadership and the management of influence in and by local authorities. Local authorities are increasingly concerned with distributed leadership (even though new structural arrangements may concentrate in leadership); of leadership at the cross-roads of different organizational cultures and structures; of the importance of inter organizational leadership not just leadership by individuals; and the importance of influence across organizational boundaries not just control of the internal organization. The authors call for models of leadership to be updated to reflect new challenges. The most important role of PNB leaders has been to solve the problems and challenges faced in a specific environment. When we say we want more leadership in the public sector, what we are really looking for is people who will promote institutional adaptations in the public interest. Leadership in this sense is not value neutral. It is a positive espousal of the need to promote certain fundamental values that can be called public spiritedness. Leadership is an important and crucial variable that leads to enhanced management capacity, as

well as organizational performance. A leadership focus also plays an integrating role among various Human Resource Management components including recruitment and selection, training and development, performance management, public service ethics, and succession planning. The leadership development strategies of OECD Member countries, historically and culturally are spread across a wide spectrum. At one end is a high level of central intervention in which future leaders are identified and nurtured from the early stage through a centralized selection, training and career management process. In contrast there is a growing group of countries which adopt “market-type” approaches to developing and securing leaders. Between these poles, there are different mixes of the two approaches. Many countries now have designated “Senior Executive Services” membership – with varying degrees of central intervention. General trends of leadership development in OECD Member countries are: Developing comprehensive strategies: A few countries have set up systematic strategies for leadership development. For instance, the UK Government has recently started to work on a leadership development model. The Norwegian Government has renewed its strategic plan for leadership in the civil service, in order to reflect increased concern for public sector change. Linking the existing management training to leadership development: Many countries are expanding their existing management development program to encompass leadership development. One leadership development program in Finland includes the creation of a new management development program following re-evaluation of their previous one. There is no single best model for developing future leaders, because each country has its unique public sector values to be emphasized and the management systems are different from country to country. Despite the diversity of strategies and approaches adopted by OECD Member countries, some general and common trends in developing future leaders can be drawn from the country experiences. To define a competence profile for future leaders: In the UK and the US, the first step taken to develop future leaders was to define the

competence profile for future leaders. The idea underlying this is that competencies required for future leaders could be different from those required for present leaders in terms of their responsibility, capability, and role. For this reason, it is essential to predict what forms the future public sector will take, and what challenges will be faced in order to identify and develop leaders suitable for the future environment.

Management vs. Leadership Management is the science of getting the job done efficiently through people. It involves coordinated processes, controls and the execution of tasks and projects to accomplish the organization's mission. Leadership is the art of inspiring and empowering people to see the vision and do their jobs effectively. Not all managers are leaders and not all leaders are managers. The best managers are also great leaders, effectively applying the science of management along with the art of leadership. People naturally follow leaders out of trust, respect and personal motivation. Leaders set the right example and

bring out the best in the people who follow them. Effective leaders are connected, engaged and have a passion for their mission. They build teams and instill a vision, motivation and passion in the teams they lead. Leaders are coaches, helping the members of their teams to excel and grow. They freely give positive & negative feedback to team members, building skills and confidence. Effective leaders build winning teams that take pride in their performance.

Our role is to help each of your managers and supervisors to develop effective leadership skills. We provide the training and tools to equip your management team to lead your organization to new levels of performance, motivation and productivity

LEADERSAHIP DEVELOPMENT PROGRAMMES A time-honored strategy for developing prospective, new, and practicing leaders is to enroll prospective leaders in leadership development programs. These programs typically focus on such topics as personal growth, leadership style, strategy formulation, influence motivation and persuasive communication. Many management development programs are also aimed at leadership development. The difference, however, is that management development programs offer courses that cover hundreds of topics within the functions of planning, organizing, controlling, and leading. A term in vogue to cover company activities geared toward leadership and management development, as well another forms of high-level training. Organization us internal specialists as well as outside experts to conduct the training and development sessions. TYPES OF LEADERSHIP DEVELOPMENT PROGRAMS

In practices, the various programs for developing leaders often overlap, for ease of comprehension; we divide these programs into six categories: 1. FEEDBACK-INTESIVE PROGRAMS: As implied many places in the text, an important vehicles for developing as a leader is to obtain feedback on various aspects of your behavior. A feedback-intensive development program helps leaders develop by seeing more clearly their patterns of behavior and attitude on their effectives. Such a program also helps leaders or potential leaders find more constructive Ways of achieving their goals. Feedback-intensive programs combine and balance three key elements of a development experiences: assessment, challenge and support. The program typically takes place in a classroom or conference room. At the Center of for creative Leadership, the programs last six days. Assessment and feedback are almost constant, immer5sing participants in rich data about themselves and how they interact with others. The amount and intensity of the feedback create intense challenges. Among them are the needs to look inward, the discomfort of being observed and rated while engaging in such tasks as group problem solving, and encounters with new idea. To help participants cope with these challenges, the program provides intensive support from both the programs staff and other participants. When the programs go well, a good team spirit develops among participants. Support continues after the program with follows-up letters by the staff and continued contacts with program participants. Feedback in the program comes from many sources, including interviews with the participant’s boss, personality tests, leadership tests and videotaping. Combined with an explanation of the findings, the feedback often results in behavior change 2. SKILL BASED PROGRAMS. Skill training in leadership development involves acquiring

abilities and techniques that can be converted into action. Acquiring knowledge precedes a acquiring skills, but in skill based training the emphasis is on learning how to apply knowledge. A typical example would be for a manager to develop coaching skills sp he or she can be more effective face to face leader. Skill training, in short, involves a considerable element of “how to” Five different methods are often used in skill-based leadership training: lectures, case study, role play, behavior role modeling, and simulation. First three methods are quite similar, only the4 last two are described here. •

BEHAVIOR ROLE MODELING is an extension of role playing and is based on social learning theory. You first observe appropriate behavior, and then you role –play the behavior and gather feedback. A person might observe a video of a trainer giving positive reinforcement, then role-play giving positive reinforcement. Finally, the classroom trainer and the other participants would offer feedback on performance.

•

SIMULATIONS give participants the opportunity to work on a problem that simulates a real organization. In a typical; simulation participants receives a hard copy or computerized packet of information about a fictitious company. The participants are given details such as the organization chart, the company’s financial status, descriptions of the various departments, and key problem facing the organization or organizational units. Participants the play the roles of company leaders and devise solutions to the problems. During the debriefing, participants receive feedback on the content of their solution to problems and the methods they used. The group might be told, for example, “your decision to form a strategic alliance was pretty good, but I would have liked to have seen more group decision making.”

3. CONCEPTUAL KNOWLEDE PROGRAMS:

Leadership development is to equip people with conceptual understandings of leadership. The concept are typically supplemented by experimental activities such as role playing and cases. Conceptual knowledge is very important because it alerts the leader to information that will make a difference in leadership. 4. PERSONAL GROWTH PROGRAMS: Leadership development programs that focus on personal growth assume that leaders are deeply in touch with their personal dreams and talents and that they will act to fulfill them. Therefore, if people can get in touch with their inner desires and fulfill them, they will become leaders. A tacit assumption in personal growth training programs is that leadership is almost a calling. 5. SOCIALIZED PROGRAMS: From the company standpoint, an essential type of leadership development programs emphasizes socializing- becoming acclimated to and accepting the company vision and values. Senior executives make presentation in these programs because they serve as role model who thoroughly understands the vision and values participants are expected to perpetuate. Many of the other types of programs presented so far also include a segment on socialization, particularly in the kick-off session. Quite frequently the chief executive makes a presentation of the company’s vision and values/ An embarrassing problem in recent years is that many of these roles models have later been accused of receiving questionable forms of compensation from the company or of approving unsavory accounting practices. 6. ACTION LEARNING PROGRAMS: A directly practical approach to leadership development is for leaders and potential leaders to work together in groups to so9lve organizational problems outside of their usual sphere of influence. You will recall that action learning is part of the learning organization. Much of the development relates to problem solving and creativity, yet collaborating with a new set of people from your

firm can also enhance interpersonal skills. A final point about leadership development is that the process continues to evolve. Leadership development will often visit company sites, and some learning will take place through distance learning and virtual classrooms. Development programs can be delivered anytime anyplace. The new paradigm will be focused on warnings that is action –oriented, meaning that the emphasis is on immediate application. Learning has also become a lifelong process, whereby global partners work collectively to produce a positive, profitability future for all.

The following guidance to organizations that may be interested in developing their own leadership development programs: 1: BASE THE PROGRAM ON A COMPETENCY MODEL Before any training or development activities can take place, it is critical to identify the skills and competencies that will be developed as a result of the effort. As discussed in the Public Personnel Management article, Henrico County has developed 20 core leadership competencies, including communication, critical thinking and decision making, organizational astuteness, and personal integrity. These competencies provided the framework for the county's development efforts. Other agencies, including San Diego County, base their leadership academies on the same model as Henrico County's multi-rater, 360-degree feedback tool. 2: ALLOW PARTICIPANTS TO SELF-SELECT Each agency must determine for itself the best method for selecting leadership development program participants. Factors

including collective bargaining influences, time, and the intended target audience may impact the process you use to identify participants. Some organizations target potential future executives only, while others offer leadership development opportunities organization-wide. In my experience, the highest levels of success in terms of participant commitment result from a competitive process where interested participants apply to be involved. By self-selecting, rather than by being appointed, participants are more likely to clarify their purpose for wanting to take part in the program. When participants are mandated to attend a leadership development program, they are often reluctant to commit the time and energy into their development, and oftentimes, they do not fully understand why they are being asked to participate. 3: INVOLVE EXECUTIVES AND ELECTED OFFICIALS It has been said in numerous articles about employee and leadership development that without the full support and involvement from the executive leadership team, the program will fail. Top management must be involved in the development of the curriculum, the selection of the attendees, and in the presentation of the program. Their support is critical for the success and long-term viability of any leadership development program. 4: BUILD THE PROGRAM ON 360-DEGREE FEEDBACK, INDIVIDUAL DEVELOPMENT PLANNING, AND COACHING 360-degree survey tools provide feedback enabling leaders to realize strengths and areas for development based on their own and other's perceptions. Typically such feedback comes from the participant's direct supervisor, direct reports, and peers. Today, such processes can easily be facilitated online, and feedback reports are comprehensive and detailed. Numerous vendors can now customize survey tools to reflect your organization's competency model (see Tip 1 above). The feedback process, however, is only the start of the development process. It is recommended that the feedback be delivered in conjunction with opportunities for one-on-one coaching, as many

participants find the feedback difficult to translate into everyday behaviors. A trained coach can help participants make sense of the data. In addition, participants should be expected to develop their own individual development plans that address competencies highlighted in the feedback report. The individual development plan, once endorsed by the participant's direct supervisor, should then become the blue-print for the participant's leadership development efforts.

5: IMPLEMENT ACTION LEARNING THROUGH PROJECT TEAMS Another popular tool for enhancing leadership skills in public organizations is the use of action learning. Action learning is a common educational approach whereby participants learn by addressing issues that are unique to their own organization and/or community. The format involves a continuous process of learning and reflection, built around learning groups of colleagues, often with the aim of getting work-related initiatives accomplished. 6: USE INTERNAL AND EXTERNAL RESOURCES It is important to make full use of your organization's executive leadership team sessions that directly relate to the organization's strategic plan, culture, and expectations. However, individuals outside of the organization may be better positioned to present other concepts. You may find that your organization does not have the capacity or expertise to address all of the competencies included in your model. A balance of internal and external presenters provides participants with the opportunity to compare and contrast the government's approach with the practices and methods used outside of the organization. 7: MAXIMIZE INTERNAL PUBLICITY Leadership development programs demand a great deal of time and energy of both the participants and their managers and

staff, who must often cover for participants as they attend program activities. You can communicate the goals and outcomes of the program and recognize the importance of the effort by using internal communications tools like e-mail, newsletters, and Intranets. Everyone who is touched by the program should understand its importance to the organization's goals. Prior to the start of the program, formally introduce the participants to the organization and encourage each organizational member to support them. After the program, each graduate should be recognized using the same communications tools, and their managers and staffs should be thanked for supporting them. Internal publicity can help garner support and enthusiasm for the program and its goals.

8: CONTINUOUSLY ADJUST The first version of any comprehensive leadership development program is rarely perfect. It is important to continually modify the program based on the feedback received not only from the participants, but also from their managers. By continually improving the program, it will better meet the needs of the organization, even as the organization changes. In every leadership development program I have developed and managed, the agenda and curriculum is modified during the program and after graduation to reflect the changing needs of the participants and the organization. It is critical to be flexible and to listen to the program participants and their managers in order to ensure the program continuously improves and maintains its credibility and relevance. 9: CELEBRATE THE ACHIEVEMENT A learning opportunity such as a leadership academy or leadership development program requires a commitment of time and resources, not only on the part of the coordinators, but also on the part of management and the participants. A graduation or other public celebration is critical to recognize the achievements of all

involved. The graduation does not need to be elaborate or lengthy. A brief lunch with informal presentations will do the trick. Nevertheless, finishing a program like this without some recognition is like going to a movie without credits.

10: MEASURE AND TRACK OUTCOMES While each organization determines the level and extent to which the results of a leadership development program are measured, a variety of tools can be used to determine the impact of the program. Such measures include: * Knowledge of leadership concepts as measured via a pre- and post-assessment tool. * Perceived change in selected leadership skills as measured by a multi-rater, 360-degree feedback tool administered at the beginning of the effort and again one year later. * Number of participants retained over one, three, and five years. * Number of participants promoted over one, three, and five years. * Perception of the participant's supervisor related to the participant's change in behavior after attending the leadership development program. * Reaction to the leadership development program curriculum as measured by end of session evaluations. However your organization decides to measure the outcomes of your development efforts, it is recommended that the measurements be established prior to the start of the program and that they be monitored closely. Such measures will allow you to make appropriate adjustments to future programs and will assist you in showing the impact of the effort on your organization's strategic objectives. If your organization has not yet embarked on a leadership development effort, it is likely that you will in the near future.

Changing demographics, an impending "brain drain," and a need to enhance retention levels are driving public organizations of all sizes to explore tools for ensuring the stability of their workforce. And, while many organizations are exploring these efforts, each must find a solution that works best for their unique culture and goals. The elements presented in this article reflect the common practices in public sector leadership development effort.

CONCLUSIONS

CONCLUSIONS The organization does use so many techniques, programs, measurements, strategies, style effectively and efficiently. But we can also use to some other skills to making the leadership more effectively and efficiently that is :

DEVELOPMENT THROUGH SELF AWARENESS AND SELF-DISCIPLINE Leadership development is often perceived in terms of education and training, job experience, and coaching. Nevertheless, self-help takes many forms, including working on ones own to improve communication skills, to develop charisma, and to model effective leaders. Two major component of leadership self development and self awareness and self-discipline. An important mechanism underlying self-development is self awareness, insightfully processing feedback about oneself to improve personal effectiveness. As with other types of personal development, leadership development requires considerable self discipline. In the present context, self-discipline is mobilizing one’s effort and energy to stay focused on attaining an important goal. Self –discipline is required for most forms of leadership development. Self-discipline is particularly necessary because the pressure of everyday activities

often divert a person’s attention from personal development. Self discipline plays an important role in the continuous monitoring of one’s behavior to ensure that needed selfdevelopment occurs. After one identified a developmental need, it is necessary to periodically review whether one is making the necessary improvements. Assume that a person recognized the developmental need to become a more colorful communicator as a way of enhancing charisma. The person would need self-discipline to make the conscious effort to communication more colorfully when placed in an appropriate situation.

DEVELOPMENT THROUGH EDUCATION, EXPERIENCE, AND MENTORING Much of leadership development takes place through means other than self-awareness and self-discipline or leadership development programs. Leadership is such a comprehensive process that almost any life activity can help people prepare for a leadership role. Three important life and work experience that contribute to leadership development are education, experience as a leader, and mentoring. The link between each of these three factors and leadership. EDUCATION Generally refers to acquiring knowledge without concern about its immediate application. If a potential leader studies mathematics, the logical reasoning acquired might someday help him or her solve a complex problem facing the organization. As a result, the leader stature is enhanced. Formal education is positively correlated with achieving managerial and leadership positions. Furthermore, there is a positive relation between amount of formal education and level of leadership position attained. Most high-level leaders are intelligent, well informed people

who gather knowledge throughout their carrier. The knowledge that accrues from formal education and self-study provides them with information for innovative problem solving. Being intellectually alerts also contributes to exerting influence through logical persuasion.

EXPERIENCE On –the- job experience is an obvious contributors to leadership effectiveness without experience, knowledge cannot readily be converted into skills. The best experience for leadership development are those that realistically challenges the manager. Creating environment for development requires that an organization first rid itself of the belief in survival of the fittest. The goal of leadership development is to provide meaningful is to provide meaningful development opportunities, not to push manages to the point where they are most likely to fail. An important part of capitalizing on challenging experiences is for the leader to be given leeway in choosing how to resolve the problem. The two major development factors in any work situation are work associates and the task itself. Work associates can help a person develop in myriad ways. An immediate superior can be a positive or negative model of effective leadership. You might observe carefully and plan to fronts a quality problem during a staff meeting. You observe carefully and plan to use a similar technique when it becomes necessary for you confront a problem. Work related task can also contribute to leadership development because part of a leader’s role is to be an effective and innovative problem solver. The task that do most to foster development are those that are more complex and ambiguous than a person has faced previously. Starting a new activity for a firm, such as establishing a dealer network, exemplifies development experience. Another way of obtaining experience helpful for development is

to learn from the wisdom of leaders who have been through challenges. Often this types of experience sharing comes through mentoring.

MENTORING Another experience-based way to develop leadership capability is to be coached more experienced person who develops a protégé’s abilities through tutoring, coaching, guidance, and emotional support. The mentor, a trusted counselor and guide, is typically a person’s manger. However, a mentor can also be a staff professional or coworker. An emotional tie exists between two personalities. In reality it is widespread practice for employers to formally assign a mentor to new employee to help him or her adjust level to the organization and to succeed. Three key human resources elements are associated with a successful mentoring program. First, the human resource department in conjunction with senior management needs to set the goals of the program and base its design on those goals. Second, the program administrators must carefully pair the mentors, set realistic expectations for both parties and follow up with the pairs to insure that the arrangement is satisfactory. Third, top management must be committed to the program. Give emotional support. By being helpful and constructive, the leader provides much-needed emotional support to the group member who is not performing at his or her best. A coaching session should not be interrogation. An effective way of giving emotional support is to use positive rather than negative motivators. Allow for modeling of desired performance and behavior. An effective coaching technique is to show the group member by example what constitutes the desired behavior. Gain a commitment to change. Unless the leader receives a commitment from the team member to carry through with the

proposed solution to a problem, the team member may not attain higher performance. Applaud good results. Effective leadership on the playing field and in the work place are cheerleaders. They give encouragement and positive reinforcement by applauding good result. Some effective leadership shout in joy when an individual or team achieves outstanding results, others claps their hands in applause. DEVELOPING NEW DIRECTIONS. The responsibility for starting something new, implementing reorganization, or responding to rapid changes in the business environment. EXECUTIVE COACHING. An executive coaching is vogue is for managers to consult professional coaches to help them be more effective leaders an to guide them in their careers. An executive coach is an outside or inside specialist who advises a person about personal improvement and behavioral change. Executive coaches provide such a variety of services that they have been describes as a combination of a “counselor, advisor, mentor cheerleader, and best friend”. Today people in a wide variety of background become business coaches. Executive coaches help manager become more effective leaders by helping them in ways such as following: • Counseling the leader about weakness that could interfere with the effectiveness, such as being too hostile and impatient. • Helping the leader understand and process feedback from 360degree surveys. • Serving sounding board when the leader faces a complex decision about strategy, operations, or human resource issues. • Making specific suggestions about self-promotion and image enhancement, including suggestions about appearance and mannerisms.

Leadership Development Exercises And Games The are various games and exercises on the free team building

games section that work well for demonstrating, assessing and developing leadership. As regards leadership exercises for experiential development of leadership abilities, focus on the leadership challenge of leading and managing a team - the task itself is secondary - so virtually any team game is suitable provided you give each leader a team of four or more people to lead. The more people, the bigger the test of leadership. You do not need a complicated exercise to create a leadership challenge. The leadership challenge is produce by having to organize, plan and motivate a team of people. In fact, if the task is too complex it will obscure the team leadership issues, by distracting from or hampering leadership skills and qualities. For leadership development choose exercises that includes an enjoyable and achievable challenge - even very basic games like newspaper towers will be a good test of leadership if you create teams of four or more for the leader to lead. Use games that you feel will produce variety, fun and a mixture of activities. The round tables exercise is particularly suitable to test and develop leadership skills. Choose a mixture of exercises which encourage the leaders think about using a different approach, and different people's strengths, for each challenge.

REFERENCES

REFERENCES

Journals and periodicals  Management - Journal of Management Development; Journal

of Management; The Academy of Management Journal; Management Review; Journal of Management Studies ; Executive Excellence; MIT Sloan Management Review; and Management Learning  Leadership - Leadership Quarterly; Journal of Leadership

Studies  Organizational Development - Leadership and Organization

Development Journal; Organizational Dynamics; Organization Development Journal; Group and 0rganization Studies; and Organizational Behavior and Human Performance Books  “Stephen. P. Robinsons, Organization Behavior  “Andrew J. DuBruin” Leadership  “Warren Bennis” Moral Leadership Internet website •

www.businessball.com.

•

www.thepracticeofleadership.net

•

www.pnb.com

Other Sources: Library

NIMS Library and Deen Dayal Upadhaya College

APPENDIX

QUESTIONNAIRE 1. Please state your name, designation and location. 2. What do you think are the leadership development opportunities in your bank? 3. How often you have been sent for the leadership development

courses, and where? 4. What has been the duration of these courses? 5. What is the leadership development policy of the bank? 6. What are the future challenges for PNB? 7. What the management is doing for to face the above challenges? 8. What is the role of leadership in your organization? 9. What kind of leadership development programmes are being conducted in PNB? 10.

Which leadership development programmes are popular

and why? 11.

Who is responsible for leadership development of your

organizations? 12.

Which institutions would you like to visit for your

leadership development?

13.

What measures are being taken by the Bank, for

leadership development?