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MGHB02H3 (269)
Chapter 12

Chapter 12

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Management (MGH)
Julie Mc Carthy

Chapter 12 Power, Politics, and Ethics 1. What is Power? Power : The capacity to influence others who are in a state of dependence. ----Power is not always perceived or exercised. It is a capacity. ----The target of power is dependent on the powerholder does not imply that a poor relationship exists between the two. ----Power can flow in any direction in an organization. (High level to low level, or even reverse) ----Power is a broad concept that applies to both individuals and groups. 2. The bases of individual power: Legitimate power: Power derived from a persons position or job in an organization. ----It constitutes the organizations judgment about who is formally permitted to influence whom, and it is called authority. (Organizations hierarchy) ----Legitimate power works because people have been socialized to accept the readiness to submit to legitimate power. Reward power: Power derived from the ability to provide positive outcomes and prevent negative outcomes. ----Reward power often backs up legitimate power. ----Managers are given the chance to recommend raises, do performance evaluations and assign preferred tasks to employees. Coercive power: Power derived from the use of punishment and threat. ----Coercive power often support for legitimate power. ----Coercive power is generally ineffective and can provoke considerable employee resistance. Referent power: Power derived from being well liked by others. ----It is potent because it stems from identification with the powerholder. Thus, it represents a truer or deeper base of power. (Charismatic leaders) ----Anyone in the organization may be well liked, irrespective of his or her other bases of power. Thus, referent power is available to everyone. Expert power: Power derived from having special information or expertise that is valued by an organization. ----Expert power corresponds to difficulty of replacement. ----Expert power is especially common among lower-level members. When lower-level organizational members accrue expert power (secretaries who has long experience in dealing with clients), boss usually creates special titles to reward their expertise and prevent their resignation. ----Expert power is most consistently associated with employee effectiveness. Women managers are more likely to be high in expert power. Exhibit 12.1: employee responses to various bases of managerial power. (bases of leader power & Continuum of employee cooperation) Coercion is likely to produce resistance and lack of cooperation. Legitimate power and reward power are likely too produce compliance with the bosss wishes. Referent and expert power are most likely to generate true commitment and enthusiasm for the managers agenda. 3. How do people obtain power: Do the right things, and cultivate the right people Doing the right things: www.notesolution.com
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