Abstract
Abstract Systems diagrams allow one to model the way in which complex systems work. They support thinking through the way in which the factors within a system interact and feedback upon themselves. Leadership, followers’ engagement and performance are depicted via Systems diagram approach. Current survey examines leadership behaviour toward followers, i.e. transformational and transactional styles. Full Range Leadership Model is employed to explore leader behavior with respect to Contingency reward. Objective of the paper is to examine Contingency reward within a framework of two surveys. The first one is conducted in 2017 in leading manufacturers in the light industry located in Northeastern Bulgaria. The second study was conducted in 2015 in public administrations located in the North central and Northeastern region in Bulgaria. Respondents in both are first line managers. Average values and validity analysis are performed. As a result, Contingency reward is consistent with transformational leadership.
Highlights
Numerous studies have shown the inability of man to penetrate the dynamics of complex systems (Forrester, 1999b; Sterman, 1989), on the one hand – due to the difficulty of deducing the dynamic behavior of accumulation processes, on the other hand – due to non-recognition of causal relationships that are distant in time and space (Moxnes, 2000); mental models – as simple internal images of a supposed functioning of the world, used by each individual in the management of such situations, are most often overwhelmed by their complexity
Both illustrate that the majority of respondents have stated highest importance on Contingency reward no matter the sector they represent
contingency reward (CR) hits the highest score among all styles in Full Range Leadership Model (FRLM)
Summary
Numerous studies have shown the inability of man to penetrate the dynamics of complex systems (Forrester, 1999b; Sterman, 1989), on the one hand – due to the difficulty of deducing the dynamic behavior of accumulation processes, on the other hand – due to non-recognition of causal relationships that are distant in time and space (Moxnes, 2000); mental models – as simple internal images of a supposed functioning of the world, used by each individual in the management of such situations, are most often overwhelmed by their complexity. In 2003, in a report on the British economy, Michael Porter was quite cautious in recognizing the importance of management as a decisive factor in national or organizational performance. Looking at things from a macro-economic perspective and based on comparative international economic data, he stressed, on that occasion, the importance of a company's general business environment: infrastructure, economic policies, investment traditions and practices. Managerial capacity, in general, as well as the desire and ability to adopt modern managerial techniques, were more or less seen as a consequence of investing in new technology and a wellprepared workforce, than as a probable cause of increased investment, of keeping up with new technology, strategic positioning and the development of workforce skills (Burgoyne et al, 2004)
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