Presentation is loading. Please wait.

Presentation is loading. Please wait.

Five Bases of Power Legitimate Power Reward Power

Similar presentations


Presentation on theme: "Five Bases of Power Legitimate Power Reward Power"— Presentation transcript:

1 Five Bases of Power Legitimate Power Reward Power
“Managers who obtain compliance primarily because of their formal authority to make decisions have legitimate power. Positive Legitimate Example: The HP board utilized this power when it ousted CEO Mark “Hurd” for inappropriately using company funds and sexually harassing a contractor with whom he had an affair “(Angelo “Kinicki”, 2016). Most desirable, dealing with a CEO and contractor in the workplace. Practice more in the workplace daily. Reward Power “Individuals organizations have reward power if they can obtain compliance by promising or granting rewards. Pay-for-performance plans and positive reinforcement practices attempt to exploit reward power. Example: When Exide Batteries provided quality products and services that were attractive to “Walmart”, it was rewarded with more than $100 million of annual business. But when “Walmart” withdrew its business and went to a competition, Exide was forced into bankruptcy”(Angelo “Kinicki”, 2016). Most Desirable, because the example of Exide batteries won $100 million of annual business from “Walmart”. Lawsuit are good to use dealing with companies who are not standing up to their legal agreements. Legitimate comes from having a physical place of ability in an organization, such as being the head person of a management team. Reward is transfer through pleasing individuals for agreement with one’s wishes.

2 Coercive Power “The ability to make threats of punishment and deliver actual punishment gives and individual coercive power. Example: The Federal Trade Commission filed and won a lawsuit against Roll International, the owner of popular beverages “Figi” Water and PON Wonderful. The FTC charged that the company made false health claims about the pomegranates in its “Pom” Wonderful juice. The company must now stop making such claims about it product”(Angelo “Kinicki”, 2016). Most desirable Their should be other companies reward when there are actual events such as this lawsuit, give them a chance to prove themselves. Coercive Power is the power that reliant on fear, elimination of complimentary will, and use of penalty and blackmail, for life.

3 Expert Power “Expert power valued knowledge or information gives an individual expert power over those who need such knowledge or information. Example: Consulting firm Promontory Financial Group is composed mainly of former government regulators of the US financial industry, such as Mary Shapiro, former head of the Securities and Exchange Commission. The firm helps banks challenge rules and influence reforms, such as the Volker Rule that, among other things, puts curbs on risky trading by banks. One bank executive said that “they sometimes hired Promontory to appease regulators, who think highly of the firm’s expertise.” Given that the executives at Promontory are themselves former regulators, it is no surprise they have the knowledge to influence today’s regulators. However, they boost their expert power significantly by also drawing heavily on their relationships or referent power from their previous positions in government.10 This issue is much bigger than the Promontory Group, as a recent report by the Sunlight Foundation indicated that the number of “lobbyists with former government experience has nearly quadrupled since Those revolving door lobbyists, mostly from “Captial” Hill, accounted for nearly all of the huge growth in lobbying revenue during that period, which increased to $1.32 billion [in 2012] from $703 million in 1998.”11”(Angelo “Kinicki”, 2016). Most desirable Always need an expert power in all companies to help with the revenue or any legal affairs in Corporate America. Expert comes from a person’s understanding, ability, and information.

4 Referent Power Referent power comes into play when one’s personal characteristics and social relationship become the reason for compliance Example: Referent comes from being reliable and appreciated.

5 Increase Power Bases Ways to increasing positive power bases is maintaining a positive behavior with the influence and persuasion into building an organization with cooperation and strong leadership. Enhancing your reputation, of allowing people to know and understand where you are coming from with your job. Building good working relationship is definitely a key to increasing positive power base. When people seems part of something or as a team, it gives them more enthusiasm into working with others. An organization can become less stress and have an increase in the productivity. Competence is a powerful force for success. When it comes to increase power bases supervisors must have the power, so that they would be able to establish more than just the capability to honor and discipline the rest. Having facts that can be traded for assistance is also beneficial in increasing positive power bases.

6 Reference Robbins, S. P.  (2001). Organizational behavior, (9th ed.).  Englewood Cliffs, NJ:  Prentice Hall Sellers, P. (2004). eBay's Secret. Fortune, Vol. 150, Issue 8 (Oct. 18): (Whitman's quote is from p. 172.) French, J. P. R. Jr., and Raven, B. (1960). The bases of social power. In D. Cartwright and A. Zander (eds.), Group dynamics (pp ). New York: Harper and Row.


Download ppt "Five Bases of Power Legitimate Power Reward Power"

Similar presentations


Ads by Google