Leadership and Influence Processes |
How do executives affect their respective organizations? This question has been asked by many top researchers in the field of leadership. Hambrick (2007) believes those leaders within the upper echelons behave on the foundation of their personal views and understanding of "strategic situations", as well as their cultural values, personal experiences and individual personalities. This has been the basis of the upper echelon theory for many years, which was developed on the principle of bounded rationality (Cyert & March, 1963; March & Simon, 1958). However, regardless of these types of utterly complex situations and "uncertain situations" (Mischel, 1977), leaders within the upper echelon of an organization have specific processes through which they can influence and change an institution.
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