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Power and Influence in the Workplace

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1 Power and Influence in the Workplace
McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved.

2 The Power of Managing Your Boss
Managing your boss is the process of improving the relationship with your manager for the benefit of both of you and the organization. It includes developing bases of power that enable you to influence the manager and thereby achieve organizational objectives. Most executives say it is a key factor in everyone’s career success. Managing your boss is the process of improving the relationship with your manager for the benefit of both of you and the organization. It includes developing bases of power that enable you to influence the manager and thereby achieve organizational objectives. Most executives say it is a key factor in everyone’s career success.

3 The Meaning of Power Power is the capacity of a person, team, or organization to influence others. Potential, not actual use People have power they don’t use -- may not know they possess A perception, not necessarily reality The capacity of a person, team, or organization to influence others • Power is not the act of changing someone’s attitudes or behavior – it is only the potential to do so • People may have power they don’t use – may not even know they have power • Power is based on the target’s perception that the powerholder controls a valuable resource • Power involves unequal dependence of one party on another party

4 Power and Dependence Person A Person B Person B’s Goal
Person B’s countervailing power over Person A Person A is perceived as controlling resources that help or hinder Person B’s goal achievement. Person B Person B’s Goal The less powerful party still has some degree of power – called countervailing power: • Capacity of a person, team, or organization to keep a more powerful person or group in the exchange relationship • Person A dominates the power relationship, but Person B has enough countervailing power to keep Person A in the exchange relationship • Power relationships depends on some minimum level of trust Person A’s power over Person B

5 Model of Power in Organizations
over others Sources of Power Contingencies of Power Legitimate Reward Coercive Expert Referent Power is derived from five sources The model also identifies four contingencies of power

6 Deference to Authority: Le Jeu de la Mort
French reality television recently revealed how far people are willing to submit to authority. Only 16 of the 80 contestants refused to administer the strongest shocks (460 volts – enough to kill a person) when another contestant gave the wrong answers. Fortunately, the other contestant was an actor whose screams were fake; he did not actually receive the shocks. French reality television recently revealed how far people are willing to submit to authority. In a variation of the 1960s experiments conducted by Stanley Milgram, only 16 of the 80 contestants refused to administer the strongest shocks (460 volts – enough to kill a person) when another contestant gave the wrong answers. Fortunately, the other contestant was an actor whose screams were fake; he did not actually receive the shocks.

7 Legitimate Power Agreement that people in certain roles can request certain behaviors of others Based on job descriptions and mutual agreement Legitimate power range (zone of indifference) varies across national and org cultures. Norm of reciprocity – legitimate power as a felt obligation to help others who helped you in the past • Agreement that people in certain roles can request certain behaviors of others – a perceived right or obligation • Based on job descriptions, but also on mutual agreement from those expected to abide by this authority • Operates within a range i.e. “zone of indifference” that varies among individuals, national and organizational cultures • Norm of reciprocity – subtle form of legitimate power – a felt obligation and social expectation of helping or otherwise giving something of value to someone who has already helped or given something to you

8 Legitimate Power: Right to Control Information Flow
Wheel formation All-channels formation Potent form of legitimate power occurs when people have the right to control the information others receive Gatekeepers (wheel formation) – gain power by controlling information that others require in contrast to all-channel formation where individuals have less information control This person has high information control These people individually have low information control

9 Reward and Coercive Power
Reward Power Ability to control the allocation of rewards valued by others and to remove negative sanctions Coercive Power Ability to apply punishment Peer pressure is a form of coercive power Reward and coercive power exist upward as well as downward in hierarchies. Control over the allocation of rewards valued by others and to remove negative sanctions Managers have power over the distribution of organizational rewards e.g. pay, promotions, time off, vacations, work assignments, etc. Employees have reward power over bosses through feedback and ratings in 360-degree feedback systems

10 Expert Power The capacity to influence others by possessing knowledge or skills that they value Coping with uncertainty Organizations operate better in predictable environments People gain power by using their expertise to: Prevent environmental changes Forecast environmental changes Absorb environmental changes Capacity to influence others by possessing knowledge or skills valued by others – originates from within the person Perceived ability to manage uncertainties Three types of expertise that cope with uncertainty: 1. Prevention – e.g. ability to prevent the organization from experiencing a cash shortage 2. Forecasting – e.g. predicting changes in consumer preferences 3. Absorption – e.g. ability of maintenance crews to come to the rescue after an equipment breakdown

11 Referent Power Occurs when others identify with, like, or otherwise respect the person Associated with charismatic leadership Occurs when others identify with them, like them, or otherwise respect them – originates within the powerholder Associated with charisma – personal characteristic or special “gift” that serves as a form of interpersonal attraction and referent power over others

12 Contingencies of Power
over others Sources of Power Contingencies of Power Substitutability Centrality Discretion Visibility Four contingencies of power that influence whether sources of power generate power (or not)

13 The Power of Nonsubstitutability
Your personal brand improves career success when you offer something that is valued and nonsubstitutable. “Be unique about something. Be a specialist in something. Be known for something,” advises Deloitte Touche Tohmatsu CEO Barry Salzberg (center). Your personal brand improves career success when you offer something that is valued and nonsubstitutable. “Be unique about something. Be a specialist in something. Be known for something,” advises Deloitte Touche Tohmatsu CEO Barry Salzberg (center).

14 Increasing Nonsubstitutability
Few/no alternatives to the resource Increase nonsubstitutability by controlling the resource exclusive right to perform medical procedures control over skilled labor exclusive knowledge to repair equipment Differentiate resource from others (i.e. be unique) Substitutability – a contingency of power referring to the availability of alternatives Nonsubstitutability – few/no alternatives to the resource: • Power is strongest when someone has a monopoly over a valued resource • Increase nonsubstituability by controlling access to the resource • Medical profession is powerful because it controls who can perform specific medical procedures • Labour unions that dominate an industry control access to labour needed to perform key jobs • Employees become nonsubstituable when they possess knowledge that is not documented or available to others e.g how to repair equipment Differentiate resource from others • e.g. some claim that consultants use this tactic

15 Centrality Degree and nature of interdependence between the powerholder and others (reflects the person’s importance to others) Centrality is a function of: How many others are affected by you How quickly others are affected by you Contingency of power pertaining to the degree and nature of interdependence between the powerholder and others Centrality is a function of: • How many others are dependent on you • How quickly and severely others are affected by that dependence

16 Discretion and Visibility
The freedom to exercise judgment Rules limit discretion, limit power Also a perception – acting as if you have discretion Visibility Make others aware of your presence –more face time, locate office near busy routes Symbols communicate your power source(s) Educational diplomas Clothing etc (stethoscope around neck) Discretion • The freedom to exercise judgment rather than following specific rules or asking for permission • Rules limit discretion – lack of discretion makes supervisors less powerful than their positions would indicate • Also a perception – managers with internal locus of control act as if they have discretion Visibility • Make others aware of your presence e.g. more face time, located in visible offices—closest to elevator/coffee room • Symbols communicate your power source(s) e.g. displaying educational diplomas and awards to remind visitors of expertise; medical professionals’ white coats and stethoscopes to symbolize legitimate and expert power in hospital settings

17 Power and Influence Through Social Networks
Social networks – people connected to each other through forms of interdependence Generate power through social capital -- goodwill and resulting resources shared among members in a social network Three power resources through social networks Knowledge sharing Visibility Referent power Social networks – social structures of individuals or social units that are connected to each other through one or more forms of interdependence Social networks generate power through social capital • Social capital – knowledge and other resources available to people or social units (teams, organizations) from a durable network that connects them to others Three power resources provided by social networks: • Knowledge sharing – information received from other network members, which improves the individual’s expert power • Increased visibility – other network members think more readily of you and mention your name when asked for recommendations • Referent power – people gain referent power because network members identify more with (or at least have greater trust in) network members

18 Social Network Ties Strong ties: Weak ties Many ties
Close-knit relationships (frequent interaction, high volume sharing, multiple roles) Offer resources more quickly/plentifully, but less unique Weak ties Acquaintances Offer unique resources not held by us or people in other networks Many ties Resources increase with number of ties Limits on number of weak/strong ties one can create Strong ties: • Close-knit relationships – frequent interaction, share resources, multiple relationships e.g. friend and co-worker • Advantage – offer resources more quickly and plentifully • Less unique – not diverse source of information/connections Weak ties: • Acquaintances • Offer resources we do not possess – serve as a “bridge” to unique resources not held by us or people in our networks – highly effective for job seeking Many ties: • Resources increase with number of ties • Limits on number of weak/strong ties one can create

19 Social Network Centrality
Person’s importance in a network Three factors in centrality: Betweenness – extent you are located between others in the network (i.e. information gatekeeper) Degree centrality -- Number of people connected to you Closeness – stronger relationships (faster/plentiful resources) Example: “A” has highest network centrality due to all three factors; “B” has lowest centrality A B Three factors in centrality: 1. Betweenness – the extent to which you are located between others in the network e.g. gatekeeper who controls the flow of information to and from many people in the network 2. Degree centrality – number or percentage of connections you have to others in the network 3. Closeness – higher closeness occurs when a member has a shorter, more direct, and efficient path or connections with others in the network Example: “A” has highest network centrality due to all three factors: “B” has lowest centrality

20 Influencing Others Influence -- any behavior that attempts to alter someone’s attitudes or behavior Applies one or more power bases Process through which people achieve organizational objectives Operates up, down, and across the organizational hierarchy Influence is any behavior that attempts to alter someone’s attitudes or behavior • Applies one or more power bases • Process through which people achieve organizational objectives • Operates up, down, and across the organizational hierarchy e.g. executives ensure that employees complete tasks, employees influence co-workers to help them; employees engage in upward influence so leaders make desired decisions

21 Types of Influence Silent Authority Assertiveness
Following requests without overt influence Based on legitimate power, role modeling Common in high power distance cultures Assertiveness Actively applying legitimate and coercive power (“vocal authority”) Reminding, confronting, checking, threatening 1. Silent authority • Person complies with request without overt influence • Due to requester’s legitimate power as well as the target person’s role expectations • Most common form of influence in high power distance cultures 2. Assertiveness • Vocal authority – actively applying legitimate and coercive power to influence others • e.g. persistently reminding an employee; using threats or sanctions; checking employee’s work more

22 Types of Influence (con’t)
Information Control Manipulating others’ access to information Withholding, filtering, re-arranging information Coalition Formation Group forms to gain more power than individuals alone Pools resources/power Legitimizes the issue Power through social identity 3. Information control • Manipulating someone’s access to information in order to change their attitude or behavior e.g. withholding, filtering, rearranging information 4. Coalition formation • Pools power and resources of many people • Symbolizes legitimacy – represents broad support • Taps into social identity process – informal group advocates a new set of norms and behavior more

23 Types of Influence (con’t)
Upward Appeal Appealing to higher authority Includes appealing to firm’s goals Alliance or perceived alliance with higher status person Persuasion Logic, facts, emotional appeals Depends on persuader, message content, message medium, audience 5. Upward appeal • Someone with higher authority or expertise is called on (in reality or symbolically) to support the influencer’s position • Includes appealing to firm’s policies/values/goals • Implying support from senior executives without formally involving them 6. Persuasion • Ability to use facts, logical arguments, and emotional appeals to change another person’s beliefs and attitudes • Effectiveness depends on characteristics of the persuader, message content, communication medium, and the audience being persuaded e.g. people are more persuasive when listeners believe they have expertise and credibility • Balance of emotion and logic i.e. emotional appeals, factual evidence, and recommendations • Inoculation effect – warning listeners that others will try to influence them in the future and that they should be wary about the opponent’s arguments more

24 Types of Influence (con’t)
Ingratiation/ Impress. Mgt. Increase liking by, or perceived similarity to the target person Exchange Promising or reminding of past benefits in exchange for compliance Includes negotiation and networking 7. Ingratiation and impression management • Ingratiation (soft influence target) – any attempt to increase liking by or perceived similarity to, some targeted person e.g. agreeing with the boss’s proposal • Impression management – practice of actively shaping our public image (common strategy for people trying to get ahead) 8. Exchange • Promise of benefits or resources in exchange for compliance • Negotiation is an integral aspect • Norm of reciprocity – reminding the target of past benefits or favors • Networking – active networkers build up “exchange credits”

25 Consequences of Influence Tactics
people oppose the behavior desired by the influencer motivated by external sources (rewards) to implement request identify with and highly motivated to implement request Resistance • People oppose the behavior desired by the influencer • Refuse, argue, or delay to engage in the behavior Compliance • Motivated to implement the influencer’s request at a minimal level of effort • Compliance would not occur without external sources (e.g. rewards) to prompt the behavior Commitment • Strongest outcome of influence • People identify with the influencer’s request and are highly motivated to implement – even when extrinsic sources of motivation are no longer present Resistance Compliance Commitment

26 Consequences of Influence Tactics
Hard Influence Tactics Silent authority Upward appeal Coalition formation Information control Assertiveness Persuasion Ingratiation & impression mgt Exchange Soft Influence Tactics Hard influence tactics • Rely on position power – legitimate, reward and coercion • Tend to produce compliance or resistance and may undermine trust Soft influence tactics • Rely on personal sources of power i.e. expert and referent – which tend to build commitment to the influencer’s request Resistance Compliance Commitment

27 Contingencies of Influence Tactics
“Soft” tactics generally more acceptable than “hard” tactics Appropriate influence tactic depends on: Influencer’s power base Organizational position Cultural values and expectations “Soft” tactics generally more acceptable than “hard” tactics Appropriate influence tactic depends on: 1. Influencer’s power base – e.g. people with expertise may be successful using persuasion; people with strong legitimate power base may be successful using silent authority 2. Organizational position – whether person being influenced is higher, lower or at the same level in the organization e.g. employees may face consequences be being too assertive with their boss 3. Personal, organizational, and cultural values • Person with strong power orientation is comfortable using assertiveness • Organization with a learning orientation would likely encourage influence through persuasion • Societal culture determines preferred influence tactic e.g. ingratiation is much more common in the U.S. than Hong Kong (expectation of more distant roles in Hong Kong)

28 Organizational Politics
Behaviors that others perceive as self-serving tactics for personal gain at the expense of other people and possibly the organization. Behaviors that others perceive as self-serving tactics for personal gain at the expense of other people and possibly the organization

29 Conditions that Encourage Organizational Politics
Scarce resources – to safeguard own resources Ambiguous resource allocation decisions Organizational change – due to uncertainty, ambiguity 1. Scare resources • Try to safeguard and secure resources, maintain status quo 2. Complex and ambiguous decision rules • Try to influence the factors that shape the decision 3. Organizational change • Act politically to protect valued resources, position, and selfconcept

30 Minimizing Political Behavior
Introduce clear rules for scarce resources Effective organizational change practices Suppress norms that support or tolerate self-serving behavior Leaders role model organizational citizenship Give employees more control over their work Keep employees informed 1. Introduce clear rules to specify the use of scarce resources 2. Effective organizational change practices 3. Manage group norms to curtail self-serving influence activities 4. Leaders become role models of organizational citizenship 5. Give employees more control over their own work 6. Keep employees informed of organizational events

31 Power and Influence in the Workplace


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