Chapter 12

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Management (MGH)
Joanna Heathcote

CHAPTER 12- POWER, POLITICS AND ETHICS PowerThe capacity to influence others who are in a state of dependence • Legitimate Power Power derived from a person’s position or job in an org • Reward Power Power derived from the ability to provide positive outcomes and prevent negative outcomes • Coercive Power Power derived from the use of punishment and threat (the least effective way to lead) • Referent Power Power derived from being well liked by others • Expert Power Power derived from, having special information or expertise that is valued by an org • Expert and Referent are the more effective while the legitimate and reward are semi effective HOW DO PEOPLE OBTAIN POWER? • DOING THE RIGHT THINGS o Extraordinary Activities Excellent performance of a routine job might not be enough to obtain power One needs excellent performance in unusual or non routine activities o Visible Activities Must be seen o Relevant Activities Only if its important • Cultivating the Right People o Outsiders o Subordinates o Peers- no backstabbers o Superiors EMPOWERMENT-PUTTING POWER WHERE IT IS NEEDED • Giving people the authority, opportunity, and motivation to take initiative and solve org. problems • Giving more power to the lower-level employees can be beneficial to service org.s • They have a stronger sense of self efficacy • Fosters job satisfaction and high performance INFLUENCE TACTICS-PUTTING POWER TO WORK • Tactics that are used to convert power into actual influence over others o Assertiveness o Ingratiation using flattery and acting friendly, polite or humble o Rationality using logic, reason, planning and compromise o Exchange doing favours or offering to trade favours o Upward appeal making formal or informal appeals to org. superiors o Coalition Formingseeking united support from other org. members • Depending on your bases of power( referent, expert etc.) determines which tactic you’ll use • Women who use ingratiation and men who use upward appeal and rationality performed the best WHO WANTS POWER? • McClelland says the most effective managers (institutional managers) o Have high nPow o Adopt a participative or coaching leadership style o Are relatively unconcerned with how much others like them CONTROLLING STRATEGIC CONTINGENCIES- HOW SUBUNITS OBTAIN POWER • Subunit Power The degree of power held by various org. subunits, such as departments • Strategic contingencies Critical factors affecting org. effectiveness that are controlled by a key subunit • The way they control strat. Conting. Ares o SCARCITY: Differences in subunit power magnified when the resources become scarce o UNCERTAINTY: Subunits that can handle uncertainty hold power o CENTRALITY: subunits whose activities are more central to the work flow hold more power Their work must influence the work of most other subunits Crucial impact on the quantity or quality of the org.s key product or service Impact must be immediate o SUBSTITUTABILITY: If what they do can be outsourced then they do not hold that much power ORGANIZATIONAL POLITICS-USING AND ABUSING POWER • Org. Politics The pursuit of self-interest corresponds to organizational g
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