At the conceptual level, leader behaviors that promote power sharing and raise the intrinsic motivation of subordinates are also likely to raise their efficacy. This idea can be illustrated more specifically by examining the links between team efficacy and various examples of empowering leader behaviors. Leading by example demonstrates a leader’s commitment to his/her work and provides guidance to subordinates on how effective performance can be achieved, thereby raising their
efficacy through observational learning. Participative decision making refers to seeking team members’ input in making decisions. It may give the subordinates opportunities to expand their knowledge, learn from each other, and acquire new skills, thereby raising their efficacy. Coaching educates team members and makes them capable of performing autonomously, thereby raising their efficacy. A leader’s informing behaviors are also likely to be positively related to team efficacy. As Spreitzer (1995) argued, information about where an organization is headed “enhances an individual’s ability
to make and influence decisions that are appropriately aligned with the organization’s goals” (1995:1447). Similarly, Kirkman and Rosen (1999) argued that access to strategic information can help the members determine correct courses of action, thereby enhancing team efficacy. Showing concern refers to support by a leader in the form of trust, concern for subordinates’ well-being, and willingness to help. Fear, anxiety, and stress are emotional arousal states that inhibit personal efficacy therefore, a leader who shows concern and provides social support has a positive effect on team efficacy. Thus, we expect a positive relationship between empowering leadership and team efficacy in management teams, in keeping with Kirkman and Rosen’s (1999) finding of an empowering leadership–potency relationship in
self-managing teams.