Explaining the Occurrence of Charismatic Leadership in Organizations

Charisma is commonly regarded as disruptive and unpredictable. Its origins are treated as mysterious and unexplainable. This view of charisma is due in part to a tendency to reify charisma, but more importantly to the lack of an adequate theory of social organization. After clearing up some methodological confusions surrounding the concept of charisma, I present a theory that predicts the type of organization, and the type of organizational situation, in which charismatic leadership will occur. By joining Mary Douglas's grid-group analysis with Herbert Simon's decision theory, I show that charismatic leadership, far from being a disruptive force, serves an integrative function in egalitarian organizations hampered by disagreement on facts and values.