Management Organisational Behaviour 2 e Chapter 13 Power

Management & Organisational Behaviour 2 e Chapter 13 Power and Politics ©The Mc. Graw-Hill Companies, 2005

Learning Outcomes After studying this chapter you will be able to: • Understand why power is useful in organisations. • Describe forms of power originating from position, personal characteristics, and situational forces. • Explain how social networks create opportunities for managers to establish power. • Identify situational factors that affect power and explain why power is context specific. 1 ©The Mc. Graw-Hill Companies, 2005

Learning Outcomes (cont. ) • Identify tactics for developing political power. • Differentiate among moral, immoral, and amoral modes of handling power. • Describe the differences among four forms of political manipulation: persuasion, inducement, obligation, and coercion. • Explain why centralisation diminishes political behaviour. 2 ©The Mc. Graw-Hill Companies, 2005

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Power Has Many Definitions that Imply the Same Meaning • • The ability to change the behaviour of others to perform actions that they might not otherwise perform. The ability of A to alter circumstances impacting on B so that B does what A wants. 4 ©The Mc. Graw-Hill Companies, 2005

Power Definitions (cont. ) • The potential ability of a person or group to influence another person or group. • The capacity to influence others. 5 ©The Mc. Graw-Hill Companies, 2005

Influence • • • The ability to alter another person’s perceptions of the situation. Process through which a person attempts to extract compliance from the other. Power stems from specific sources or foundations whereas influence relies on tactics. 6 ©The Mc. Graw-Hill Companies, 2005

Exhibit 13 -1: Sources of Power Organisational Position • Formal Authority • Control of Rewards • Control of resources Situational Forces Personal Behaviour • Expertise • Personal Respect • Reciprocal Alliance • Coercion • Information Access • Association Access Empowerment Practices 7 ©The Mc. Graw-Hill Companies, 2005

Positional Basis of Power Legitimate authority • The result of position in organisational hierarchy • Reward capacity • Coercive capacity Remember: Commanding obedience can be risky if your performance depends on the creative action or expertise of your subordinates 8 ©The Mc. Graw-Hill Companies, 2005

Authority • • • Based on a position in the organisation that includes the right to influence in the job description. The right to change or direct others – example your teacher. Unlike power, authority includes the notion of legitimacy. 9 ©The Mc. Graw-Hill Companies, 2005

Personal Basis of Power • • Expert power Referent power Remember: To retain referent power, holders must maintain their exemplary image and live up to others’ expectations 10 ©The Mc. Graw-Hill Companies, 2005

Situational Factors that Affect Power • Coercive power based on ability to withhold desires resources or consequences. • Information power based on the ability to control access to needed information. • Association power based on influence with a person who holds power. 11 ©The Mc. Graw-Hill Companies, 2005

How Social Networks Affect Power • • • Power acceptance is a Western belief. Power diffusion is an Eastern practice. Maintenance of a central position can result in enhanced power. 12 ©The Mc. Graw-Hill Companies, 2005

Situational and Personal Factors that Affect Power • • Specialisation and task importance Perceptions of competence Dependence of others Ambiguous roles Organisational uncertainty Organisational culture Resource scarcity 13 ©The Mc. Graw-Hill Companies, 2005

Possible Outcomes of Power or Influence Attempts • • • Commitment – a strong positive response. Compliance – acceptance of and enactment of influence attempt. Resistance – a strong negative response. 14 ©The Mc. Graw-Hill Companies, 2005

Recipe of Organisational Power Interpersonal Sources of Power - Reward - Coercive - Legitimate - Expert - Referent Add Effective/Ineffective Application of Power - Relationships among power bases - Selection of influence strategies Structural Sources of Power - Knowledge - Resources - Decision Making - Networks … and the result: Influence over others! 15 ©The Mc. Graw-Hill Companies, 2005

Referent Power Commitment be Compliance Resistance something Likely - If request is believed to important to leader Possible - If request is perceived to be unimportant to leader Possible - If request is for that will bring harm to leader 16 ©The Mc. Graw-Hill Companies, 2005

Expert Power Commitment Likely - Compliance Possible - Resistance Possible - If request is persuasive and subordinates share leader’s goals. If request is persuasive but subordinates are apathetic about task goals. If arrogant demands are made or request does not appear proper. 17 ©The Mc. Graw-Hill Companies, 2005

Legitimate Power Commitment Possible - If request is polite and very appropriate. Compliance Likely - Resistance are Possible - If arrogant demands made. If request or order is seen as legitimate. 18 ©The Mc. Graw-Hill Companies, 2005

Reward Power Commitment Possible - If used in a subtle way. Compliance Likely - Resistance manipulative, way. Possible - If used in a mechanical, personal way. 19 arrogant ©The Mc. Graw-Hill Companies, 2005

Coercive Power Commitment Very unlikely Compliance Possible - Resistance Likely - If used in a nonpunitive way. If used in a hostile or manipulative way. 20 ©The Mc. Graw-Hill Companies, 2005

Power Needs Power motive - the learned desire to have strong influence or control over others. To determine your power motive, ask yourself: • • Do you like to take control? Do you like to make decisions? 21 ©The Mc. Graw-Hill Companies, 2005

Power Motive The power motive has been found to be predictive of a manager’s probability of rising through the hierarchy in bureaucratic organisations. 22 ©The Mc. Graw-Hill Companies, 2005

Politics Those activities taken within an organisation to: acquire, develop, and use power and other resources to obtain one’s preferred outcome in a situation where there is uncertainty or disagreement about choices. 23 ©The Mc. Graw-Hill Companies, 2005

Exhibit 13 -3: Conditions that Set the Stage for Political Behaviour Subsystems Interdependence Incompatible Goals Resource Scarcity Conflict Importance of the Decision Degree of Power Dispersion Political Behaviour 24 ©The Mc. Graw-Hill Companies, 2005

Reasons for Political Behaviour • • • Ambitious goals Organisational units face differentiated technological and external environments. Excessive focus on individual rather than group or organisational performance. There is strong competition among employees for scarce resources. Decision making procedures and performance criteria are complex and uncertain. 25 ©The Mc. Graw-Hill Companies, 2005

Probability of Political Behaviour High Competition among Employees Low High Complexity and Uncertainty 26 ©The Mc. Graw-Hill Companies, 2005

Exhibit 13 -4: Different Forms of Political Manipulation Basis of Manipulation Power Type of Manipul ation Influence Positive Inducement Persuasion Negative Coercion Obligation 27 ©The Mc. Graw-Hill Companies, 2005

Political Tactics • • • Ingratiating Forming Coalition and Networks Impression Management Information Management Pursue Responsibility and Legitimate Power 28 ©The Mc. Graw-Hill Companies, 2005

• • • Political Tactics are Learned Skills Maintain alliances with powerful people. Avoid alienation. Use information as currency. Withdraw from petty disputes. Avoid decisive engagement. Avoid preliminary disclosure of preferences. Make a quick but successful showing. Collect IOUs. Exploit possible negative outcomes. Divide & rule. 29 ©The Mc. Graw-Hill Companies, 2005

Influence Tactics The Police • Rational Persuasion – use logic to persuade. • Inspirational Appeals – appeal towards values or self-confidence. Consultation – seek help in a deal. Integration – make yourself cool before asking for info. • • 30 ©The Mc. Graw-Hill Companies, 2005

Influence Tactics The Police (cont. ) • • • Personal Appeals – show friendship. Exchange – exchange of favours to get result. Coalition Tactics – get support of others to influence target. Legitimating Tactics – tell them you have authority to carry out actions. Pressure – force ‘em to talk. 31 ©The Mc. Graw-Hill Companies, 2005

Exhibit 13 -5: Three Standards of Managerial Ethics Ethical Standards Moral Management Treat others fairly and comply with spirit as well as letter of the law. Amoral Management Do not weigh ethical considerations in decisions; stay close to the letter of the law. Immoral Management Actively oppose ethical principles; seek to get around the law. 32 ©The Mc. Graw-Hill Companies, 2005

Ethics of a Political Action (A Questionnaire) Please answer the following questions: • Is the political action motivated by selfserving interests outside of the group’s goals? • Does the political action respect the rights of the affected? • Is the political activity equal and fair? If you answered “No” to any of these questions, then this action is UNETHICAL! 33 ©The Mc. Graw-Hill Companies, 2005

Summary • Power is the basic force managers use to change organisational realities by getting others to do what they want done. • Power can arise from a person’s position (as do formal authority and reward power) or personal behaviour (as do expert and referent power). • However, situational forces allow other power possibilities (such as coercion and access to information), which affect the degree to which a person can alter the realities of others and thus exercise power. 34 ©The Mc. Graw-Hill Companies, 2005

Summary continued 1 • Some people’s socialised power needs energise them to act in keeping with organisational purposes. Others with high personal power needs have more self-serving aims. Some seek to avoid power altogether, not wanting the responsibility and potential conflict often associated with it. • Organisational politics occur when people or groups seek to alter resources or outcomes in their favour. Political behaviours increase when conditions are uncertain, complex and competitive. Political manipulation can take the form of inducement, persuasion, obligation or coercion. 35 ©The Mc. Graw-Hill Companies, 2005

Summary continued 2 • Political tactics such as maintaining coalitions with powerful people, using information as currency, avoiding premature disclosure of preferences, and collecting IOUs are learned skills. • However, the practice of being political or exercising power does not need to be immoral or even amoral. 36 ©The Mc. Graw-Hill Companies, 2005

Summary continued 2 • Moral managers act fairly and legally to do that which is ethically right in the service of the organisation. • Across nations as well as organisations, political activities abound when power is disbursed and multiple interest groups jockey for position. Tightly centralised power limits people’s freedom to act politically. 37 ©The Mc. Graw-Hill Companies, 2005

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