Path Goal Theory

The Path-Goal theory states that a leader's skill and style must be in line with the employees and the work environment to achieve the goals of an organisation. This report discusses the leadership behaviour, contingencies, pros and cons of the Path-Goal Theory. It also provides an example of Steve Jobs' leadership style and how to apply the Path-Goal Theory in different situations.

Path Goal Theory

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Path Goal Theory
Table of Contents
Brief Introduction.......................................................................................................................2
Path-Goal Theory.......................................................................................................................2
Leaders Behaviour.....................................................................................................................2
Contingencies.............................................................................................................................3
Pros:............................................................................................................................................4
Cons:..........................................................................................................................................5
Application:................................................................................................................................5
Approach of "Steve" was not effective while guiding his followers.........................................6
Conclusion:................................................................................................................................7
References..................................................................................................................................9

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Path Goal Theory
Brief Introduction
The Path-Goal theory states in order to achieve the goals of an organisation the leader’s skill
and style must be in line with the employees and the work environment. The model of this
theory was evolved from the principle of motivation. A leader skill and behaviour can widely
influence the efforts and performance of his employees. Leader task involves smoothing the
process of an employee by resolving the issues that arise in the organisation in order to
achieve personal and enterprise goals. This report discusses how a leader guides the
employees and the co-workers by providing the support, motivation and information required
by them to overcome an obstacle or to attain the goal. It also discusses the leadership theory
with an example of “Steve Jobs”. Every leader has their own style to lead or guide the
employees. However, a leader can use more than one style to overcome a situation (Clark,
2013).
Path-Goal Theory
Path-Goal Theory describes the skills or behaviour that motivates the employee to
accomplish their goals. The motivation of leaders helps the employees to overcome the
obstacle and accomplish the goals. In this theory, leaders assist their subordinates in (a)
defining the goals, (b) laying the structural path, (c) overcoming the obstacle and (d)
providing support throughout (Northouse, 2016).
Leaders Behaviour
The Path-Goal Theory describes the effectiveness of leadership behaviours. Although there is
no definitive behaviour to lead or motivate the employees, but some of the major approach
covered in this theory are mentioned below (iedunote.com, 2017).:

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Path Goal Theory
Directive: In this method, the leader directs by setting the goals, performance standard that is
expected to be fulfilled by employees. In case the standards are not met, leaders use various
control measure to discipline the employees (ChangingMinds, 2019).
Supportive: In this, leader assists the subordinates to achieve the organisational as well as
their personal goal. Leaders are concerned about the well-fare and well-being of their
employees.
Participative: This style of leaders believes in the participation of employees in the decision-
making process. They also share information along with their co-workers. In order to resolve
an issue or to achieve the goal, they believe in the active participation of the employees
(Mulder, 2018).
Achievement-oriented: In this particular method of leadership, leader set the bars or goals for
their subordinates to accomplish. They believe and encourage their employees in completing
the set goals (Juneja, 2019).
Contingencies
A contingency factor can be defined as a variable that affects or influence the equation
between the other two variables such as satisfaction in the subordinates and the leader’s
conduct. Contingency factors among the leaders and subordinates can be seen in two types of
situational variables. The two variables of contingency that are most commonly observed are:
Employee Contingencies:
This contingency arises majorly due to the personal characteristics of an employee. Some of
the reason resulting in this type of situation are the skill required to achieve a certain task,

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Path Goal Theory
employees’ need or satisfaction, willingness to work etc.. In this leader behaviour should be
in such a manner that the subordinates should perceive them as a source of satisfaction.
Leadership skill is determined by the employees according to their needs, ability, affiliation
and the control level (Li, 2017).
Environmental Contingencies:
The surrounding or market pressure that employees have to manage together with, satisfying
their as well as with the organisational need. It covers the areas that are important for the
satisfaction of needs or to perform effectively but are not in the control of employees.
- Task Structure- There might be a certain task that requires the support of their leaders. For
example, subordinates may need the assistance of their leader to provide them a structural
guide to clear the ambiguity in the given task.
- Team Dynamics- There might be friction among the members of the team, so it leader
responsibility to establish peace and to carry out the procedure smoothly. It’s a leaders
responsibility to cohesive and to resolve the issue among the team members develop devotion
and enthusiasm.
- Corporate Authority- A leader can provide clear directions and design clear goals for the
employees if he/she has a definite understanding of the tasking authority.
Pros:
Some of the strengths of Path-Goal Theory are:
- This theory provides a structural framework for the understanding the leader’s behaviour in
determining the satisfaction of their employees and their performance standards.
- It was one of the first theories that discussed about the contingency, that are created by the
environment or by the employees themselves. This theory educate us about how the

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Path Goal Theory
environment and the employee's characteristics affect the influence the leadership and
performance standards (Leadership-Central, 2019)
- This theory creates emphasis upon the group participation, making it accessible to the
subordinates. This results in diverse ideas and clarity in the projects.
- One of the positive of the Path-Goal Theory is that it is a practical model that provides a
structural layout that makes it easy for followers to follow a clear path.
- It is also one of the only theories that discuses about the motivation principle and deals
directly with it. It discusses about using motivation principle into the leadership theory.
- This theory is more preferred than the rest of the theories in complicated situations and
emergencies, where there are time constraints.
Cons:
Path-goal oriented theory does have some negative, which are discussed below:
- Leader’s behaviour or decisions are not always rational, and they might be delusional in their
actions which can result in making members of the group vulnerable
- If subordinates rely too much upon the leader, that can result in failure of the system, in a
situation when the leader is not able to carry out the task due to some emergencies.
- The basis of this theory is not democratic, as it believes the leader knows what is good for the
employees rather than them knowing about themselves (Sikdar, 2019).
- The success of the task lies upon the leader, if a leader has a loophole in his/her method than
the whole task is on the risk of failure.
Application:
Path-Goal Theory is one of the styles of leadership that enables learning tools. The basic
purpose of this leadership style is to motivate the employees so that there is an increase in the

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Path Goal Theory
level of performance. It is one of the theories that is practical in working under the dynamic
environment. This model of theory guides us what leadership style can be used under
different circumstances, depending upon the complexity of the task and skill set of the
followers (Farhan, 2018). It includes the various style of leadership such as participative,
supportive, directive and goal oriented, one or more of these styles can be used by the leaders
in different situations. The Path-Goal Theory principles can be used at levels of the
organisation by all the leaders. A leader must elect a particular style according to the
complexity of the task and need of their subordinates. For example, if a task requires a good
of information and ideas than the participative style of leadership will serve the best. The
desired result of this approach is to improve the level of satisfaction among the employees
and enhance their performance standards.
The approach of "Steve" was not effective while guiding his followers
There is no denying to the fact that Steve Jobs is one of the most successful and dynamic
entrepreneurs of the century. He was the founder of many prosperous business ventures such
as NeXT and Apple Inc. He was a visionary and a charismatic leader that can be evidently
seen from his Product launch presentation and direction. However, Jobs had a questionable
style of leadership.
Some of the qualities that prevented Jobs from being a great leader was his highly
Controlling behaviour. If a leader is spending majority of his/her time directing his
subordinates and constantly monitoring them, this can result in a poor working environment
and lowering the morale of the employees. Jobs use to throw tantrums and even use to yell
upon his employees and board members. This type of behaviour can lead toxic working
environment and can demoralize the person who was the receiver of criticism (Riggio, 2012).

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Path Goal Theory
Steve Jobs does not believe in a participative form of leadership. He could throw someone’s
ideas even in public display without any regards. This type of behaviour makes a company
lack in the creativity. A firm should always appreciate the inflow of new ideas this not only
results in increasing the creativity in the firm but also help in raising the morale of the
employees and co-workers. Even a successful corporate venture such as apple after achieving
its heights was stagnant for more than a decade.
Steve believed in hoarding the information and secrecy. In his business venture Apple Inc.
restriction prevailed, the programmers of the company used to be unaware of the design of
the product. Even for sharing the smallest secret of the company, individuals were fired
without prior notice. Every individual is curious about his or her contribution of work; they
want to know how their works have resulted in the firm’s outcome. Over privacy and
resistance of sharing of information can have a negative effect in the organisation by
demoralizing the members of the organisation (Petty, 2018).
Jobs negative behaviour and his poor leadership skills were overshadowed by his success and
his charismatic personality. This might also have a negative effect upon the young aspiring
leaders. The leaders are supposed to have a positive impact on their followers; they should be
the role models for their subordinates that encourage ethical and democratic behaviour in the
organisation (LEBOWITZ, 2015).
Conclusion:
A leader plays a vital role in the organisation that can influence the dynamics of that
organisation and its employees. An effective leader can influence the enthusiasm and
performance of the employees. From the above report, we can conclude, the Path-goal
Theory provides a layout or a guide map for the leaders, to increase the productivity and

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Path Goal Theory
satisfaction level among the subordinates. This theory also proposes that a different style of
leadership that can be applied under different circumstances. It also discusses contingencies
that arise in an organisation. However, it was founded by the test conducted in research that
the path-goal theory needs further clarifications and learning.

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Path Goal Theory
References
ChangingMinds (2019). Path-Goal Theory of Leadership. Changing Minds.
http://changingminds.org/disciplines/leadership/styles/path_goal_leadership.htm
Clark, D.(2013, October 31). Path-Goal Leadership Theory. A Big Dog, Little Dog and
Knowledge Jump. Retrieved from
http://www.nwlink.com/~donclark/leader/lead_path_goal.html
Farhan, B.Y. (2018). Application Of Path-Goal Leadership Theory And Learning Theory In
A Learning Organization. The Journal of Applied Business Research 34(1), 17-19.
Retrieved from: file:///C:/Users/System04115/Downloads/10088-Article%20Text-
37369-1-10-20171229.pdf
iedunote.com (2017). Path-Goal Theory of Leadership (Explained). iedunote.com Retrieved
from https://iedunote.com/path-goal-theory
Juneja, P.(2019). Path Goal Theory. Management Study Guide. Retrieved from
https://www.managementstudyguide.com/houses-path-goal-theory.htm
Leadership-Central.com. (2019) Path-Goal Theory - Robert House. Leadership-Central.com.
Retrieved from https://www.leadership-central.com/path-goal-theory.html
Lebowitz, S.(2015, October 23). Here's why Steve Jobs is a terrible role model for most
aspiring leaders. Business Insider. Retrieved from
https://www.businessinsider.in/Heres-why-Steve-Jobs-is-a-terrible-role-model-for-
most-aspiring-leaders/articleshow/49498554.cms

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Li, C. (2017, February 19). Contingency Theory vs. Path-Goal Theory. The Pennsylvania
State University. Retrieved from
https://sites.psu.edu/leadership/2017/02/19/contingency-theory-vs-path-goal-theory/
Mulder, P. (2018) Path-Goal Theory of Leadership. ToolsHero. Retrieved from
https://www.toolshero.com/leadership/path-goal-theory-leadership/
Northouse, P. (2016). Leadership Theory and Practice. Thousand Oaks: Sage Publications,
Inc.
Petty, A. (2018, October 3). 6 Bad Behaviors Destroying Your Effectiveness as a Manager.
The balance careers. Retrieved from https://www.thebalancecareers.com/behaviors-
that-reduce-your-effectiveness-as-manager-4111593
Riggio, R.E.(2012, Feb 7). Why Steve Jobs Is a Leadership Nightmare. Psychology Today.
Retrieved from
https://www.psychologytoday.com/us/blog/cutting-edge-leadership/201202/why-
steve-jobs-is-leadership-nightmare
Sikdar, U. (2019) Path-Goal Theory. Slideshare.net. Retrieved from
https://www.slideshare.net/udayansikdar/path-goal-theory-16193904