LEADERSHIP: Theory, Application, Skill Development Robert N LEADERSHIP: Theory, Application, Skill Development Robert N. Lussier and Christopher F. Achua Teacher: Inamullah

Influencing: Power & Politics & Negotiations Chapter 4 Influencing: Power & Politics & Negotiations

Leadership and Influence Is the “influencing” process of leaders and followers to achieve organizational objectives through change Influencing Is the process of affecting others’ attitudes and behavior in order to achieve an objective

Is power good or bad for organizations? Discussion Question #1 Is power good or bad for organizations? 4-4

Power Power is the potential of influence that leader enjoys over his followers. Because power is the potential to influence, you do not actually have to use power to influence others. Often it is the perception of power, rather than the actual use of power, that influences others

Sources of Power There are two sources of power: position power and personal power. Position power is derived from top management, and it is delegated down the chain of command. Personal power is derived from the followers based on the leader’s behavior. Charismatic leaders have personal power.

Types of Power Legitimate Power Reward Power Coercive Power Referent Power Expert Power Information/ Resource Power Connection Power

Types of Powers Legitimate power is based on the user’s position power, given by the organization. It is also called the legitimization influencing tactic.

Legitimate Power Appropriate use of Legitimate Power: When using legitimate power, it is also helpful to use the consultation influencing tactic. This process is also known as participative management and empowering employees. Legitimate Use of Rational Persuasion. To get people in a good mood, the ingratiation influencing tactic may be used by being friendly and praising others before you ask them for what you want.

Legitimate Power Guidelines for using Rational Persuasion: Explain the reason why the objective needs to be met. Explain how the other party will benefit by meeting the objective. Provide evidence that the objective can be met. Explain how potential problems and concerns will be handled. If there are competing plans to meet the objective, explain why your proposal is better than the competing ones.

Legitimate Power Increasing Legitimate Power: To have legitimate power, you need management experience. Exercise your authority regularly. Follow up to make sure that policies, procedures, and rules are implemented and that your objectives are achieved. Follow the guidelines for using rational persuasion, especially if your authority is questioned. Back up your authority with rewards and punishment.

Types of Power Reward power is based on the user’s ability to influence others with something of value to them. How to Increase your Reward Power? Gain and maintain control over evaluating your employees’ performance and determining their raises, promotions, and other rewards. Find out what others value, and try to reward people in that way. Let people know you control rewards, and state your criteria for giving rewards. Don’t promise more than you can deliver. Reward as promised, and don’t use rewards to manipulate or for personal benefit.

Types of Power Coercive power involves punishment and withholding of rewards to influence compliance. Increasing Coercive Power: Gain authority to use punishment and withhold rewards. However, give prior warnings, understand the situation. Don’t make rash threats. Be persistent. If you request that followers do something and you don’t follow up to make sure it is done, sure you persistently follow up.

Types of Power Referent power is based on the user’s personal relationships with others.

Referent Power: Based on respect & personal relationships Earned respect increases referent power Being better liked increases referent power Being seen as a team player, dedicated, and effective increase referent power Can be developed by anyone regardless of other types of power or the lack thereof Critical between: Leaders & followers Peers Leaders & their superiors

Expert power is based on the user’s skill and knowledge. Types of Powers Expert power is based on the user’s skill and knowledge. Comes from skill, expertise, knowledge Makes others dependent on the person with the power Can be for advice, to fix your computer, etc.

Expert Power How to increase Expert Power: To become an expert, take all the training and educational programs your organization provides. Attend meetings of your trade or professional associations, and read their publications to keep up with current trends in your field. Keep up with the latest technology. Volunteer to be the first to learn something new. Project a positive self-concept, and let people know about your expertise by developing a reputation for having expertise

Types of Powers Information/Resource power is based on the user’s data desired by others and other resources needed by others. How to increase Information/Resource Power? Have information flow through you. Know what is going on in the organization. Develop a network of information sources, and gather information from them.

Types of Powers Connection power is based on the user’s relationships with influential people. How to increase Connection Power? Expand your network of contacts with important managers who have power. Join the “in-crowd” and the “right” associations and clubs. Participating in sports like golf may help you meet influential people. identify the people who can help you attain it, make coalitions, and win them over to your side. Get people to know your name. Get all the publicity you can.

Acquiring and Losing Power Power can change over time Personal power can be easily gained or lost Abuse of power will result in loss of power Social exchange theory explains how power is gained and lost as reciprocal influence processes occur over time between leaders and followers Social interaction is an exchange of benefits or favors

9 Influencing Tactics Rational Persuasion Pressure Legitimization Inspirational Appeals Pressure Consultation Legitimization Ingratiation Coalitions Personal 9 Influencing Tactics Exchange

THE SINGLE MOST EFFECTIVE WAY TO ACCUMULATE POWER IN AN ORGANIZATION Regularly provide services, favors, and assistance to everyone within the organization. The more impossible these acts are to repay, the greater the power gain.

Organizational Politics Use this space for overall reminders or special tips linked to the slide or occassion. Simply select this text and replace it with your own reminders. Management has a political dimension. Just as the nine influencing tactics are used within the seven types of power, these tactics are also used in organizational politics. There is a relationship between power and organizational politics. Managers use their existing position power and politics to increase their power. Politics is the process of gaining and using power. Summary Heading. Text.

Organizational Politics Politics Is a Medium of Exchange Like money, politics in and of itself is inherently neither good nor bad. Politics is simply a system of getting what we want. Political Behavior How well you play politics directly affects your success. Networking, reciprocity, and coalitions are common organizational political behaviors.

Organizational Politics Networking is the process of developing relationships for the purpose of socializing and politicking. Reciprocity involves creating obligations and developing alliances, and using them to accomplish objectives. Coalitions using coalitions as an influencing tactic is political behavior. Each party helps the others get what they want.

Political Behavior and Developing Political Skills Reciprocity Coalitions Learn the Organizational Culture & Power Players Develop Good Working Relationships Especially with your Manager Be Loyal, Honest Team Player Gain Recognition Networking

Guidelines for Developing Political Skills Learn the Organizational Culture and Power Players Develop connection power through politicking Learn the cultural shared values and beliefs Learn who has power and what makes them tick and do favors for them. Develop Good Working Relationships, Especially with Your Manager Learn to share goals and priorities with your manager Make or beat all deadlines and ask your manager for advice Never let your manager be embarrassed or surprised in public because of your actions Be a Loyal, Honest Team Player Ethical behavior is important; do not backstab or gossip Earn others’ respect, confidence, and trust Gain Recognition Find ways to let the power players know that you are doing a good job

Negotiation Is a process in which two or more parties are in conflict working to reach an agreement Is a core competency in life Common in: Job searches Labor relations Sales

Negotiating Negotiation is often a zero-sum game; one party’s gain is the other party’s loss Sell your ideas to convince the other party to give you what you want Try to work toward a win-win result All parties should believe they got a good deal

The Negotiation Process Plan Agreement Close the deal. Negotiations No Agreement Find out why for future negotiations. Postponement

The Negotiation Process: Plan Research the other party(ies) Set objectives Specific lower limit Target objective Opening objective Develop options and trade-offs Be prepared to deal with questions and objections (especially unstated ones)

The Negotiation Process: Negotiations Develop rapport Focus on obstacles, not the person Let the other party make the first offer Listen Ask questions Don’t give in too quickly Ask for something in return

The Negotiation Process: Postponement When you are not getting what you want, you may try to create urgency When the other party becomes resistant, remember that a hard sell will not work If the other party is creating urgency, be sure it is really urgent Don’t be pressured into making a deal you may regret later If you do want to postpone, give the other party a specific time you will get back to them

The Negotiation Process: Agreement Get it in writing Quit selling Start working on a personal relationship

The Negotiation Process: No Agreement Accept that agreement isn’t possible Learn from the failure Analyze and plan for the next time Ask the other party what you did right and wrong

Ethics and Influencing It pays to be ethical with influencing tactics Power is only unethical when used to promote your self-interest at the expense of others Used ethically, power helps to meet organizational objectives It is tempting to be unethical but the price is often high

Ethics and Influencing Confront others for unethical political behavior Report unethical behavior in others Build networks based on mutually beneficial relationships Tell the truth in negotiations and demand the truth from the other party Use the stakeholders’ approach to ethics and create a win-win situation