MGMT 3000 Chapter Notes - Chapter 11: Centrality

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Chapter 11
- power: the potential of one individual or group to influence the behavior, thinking,
or attitudes of another individual or group (cannot lead without it)
more important with higher rates of interdependency
- influence: the means or vehicle by which power is exercised
Interpersonal Power
Derived from formal authority, ability to deliver rewards and punishments,
level of knowledge, and personal attractiveness
Power used to set goals, prioritize activities, and decide who should do
what when, where to allocate resources, and resolve disputes
Forms of Interpersonal Power
Legitimate power: based on the formal position an individual holds in an
organization
o Can have more when subordinates respect your position and less
when your authority is questioned
Reward power: gives someone the ability to reward another for his or her
behavior
o Need to understand what motivates others
Coercive power: gives someone the ability to punish another for his or her
behavior
o Lead to more rapid short-term results during crisis, could lead to a
low morale
Expert power: based on an individual having specialized knowledge or
skills
Referent power: based on personal liking and individual has for another
Positional and Personal Power
Positional power: power that comes from an individual’s formal place
within an organizations structure (described in terms of centrality,
flexibility, visibility, and relevance)
o Many employees prefer to work with individuals who have a strong
base of organizational power (political clout) to gain visibility and
upward mobility
o Centrality how pivotal an individuals role is within an
organization, have information that others need
o Flexibility freedom to exercise judgment, few rules
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