MNGT 5590 Organizational Behavior Week 6: Chapters 10, 11, 12 Dr. George Reid 1
Dec 28, 2015
MNGT 5590Organizational Behavior
Week 6: Chapters 10, 11, 12
Dr. George Reid
1
2-2
• Chapter 10: Power and Influence
• Chapter 11: Conflict and Negotiation
• Chapter 12: Leadership
10
Power and Influence in the Workplace
Copyright © 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
10-4
Whale Power at JP Morgan
Through unconstrained power and influence, a handful of traders (including the infamous London Whale) in the London bureau of JP Morgan’s chief investment office produced a mammoth $7 billion loss.
10-5
The Meaning of PowerThe capacity of a person, team, or
organization to influence others
Potential to change attitudes and behavior (not actual change)
People may be unaware of their power
Perception –target perceives powerholder controls a valuable resource
Power involves unequal dependence
10-6
Power and Dependence
Person B’sGoal
Person B’s countervailing
power over Person A
Person A
Person B
Person A’s power over Person B
Person A is perceived as controlling resources that help or hinder Person B’s goal achievement.
10-7
Model of Power in Organizations
Contingenciesof Power
Powerover others
Sourcesof Power
Legitimate
Reward
Coercive
Expert
Referent
10-8
Legitimate Power
Agreement that people in certain roles can request certain behaviors of others
Zone of indifference -- range of behaviors for deference to authority
Norm of reciprocity -- felt obligation to help someone who has helped you
Information control -- right to distribute information to others
Creates dependence
Frames situation
10-9
Expert PowerCapacity to influence others by possessing
knowledge or skills that they value
Coping with uncertaintyOrganizations operate better in predictable
environmentsPeople gain power by using their expertise to:
Prevent environmental changesForecast environmental changesAbsorb environmental changes
10-10
Other Sources of PowerReward power
Control rewards valued by others, remove negative sanctions
Coercive powerAbility to apply punishment
Referent powerCapacity to influence others through
identification with and respect for the power holder
Associated with charisma
10-11
Contingencies of Power
Contingenciesof Power
Substitutability
Centrality
Discretion
Visibility
Powerover others
Sourcesof Power
10-12
Increasing NonsubstitutabilitySubstitutability – availability of alternatives
More power when few/no alternatives
Reduce substitutability through:Monopoly over resourceControlling access to the resourceDifferentiating the resource
10-13
Other Contingencies of Power
CentralityDegree and nature of interdependence with powerholder
Higher centrality when (a) many people affected and (b) quickly affected
VisibilityYou are known as holder of valued resource
Increases with face time, display of power symbols
DiscretionThe freedom to exercise judgment
Rules limit discretion
Discretion is perceived by others
10-14
Power Through Social NetworksSocial 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 networksInformationVisibilityReferent power
10-15
Social Network TiesStrong ties:
Close-knit relationships (frequent interaction, high sharing, multiple roles)
Offer resources more quickly/plentifully,but less unique
Weak tiesAcquaintancesOffer unique resources not held by us or
people in other networks
Many tiesResources increase with number of tiesLimited capacity to form weak/strong ties
10-16
Social Network CentralityPerson’s importance in a network
Three factors in centrality:Betweenness – extent you are located
between others in the networkDegree centrality -- Number of people
connected to you Closeness – stronger relationships
Example: “A” has highest centrality due to all three factors; “B” has lowest centrality
A
B
10-17
Influencing OthersInfluence is any behavior that attempts to alter
someone’s attitudes or behavior
Applies one or more power bases
Essential activity in organizations Coordinate with others Part of leadership definition Everyone engages in influence
10-18
Assertiveness • Actively applying legitimate and coercive power (“vocal authority”)
• Reminding, confronting, checking, threatening
Silent Authority
• Following requests without overt influence• Based on legitimate power, role modeling• Common in high power distance cultures
more
Types of Influence
10-19
Coalition Formation
• Group forms to gain more power than individuals alone1. Pools resources/power 2. Legitimizes the issue3. Power through social identity
more
Types of Influence (con’t)
Information Control
• Manipulating others’ access to information • Withholding, filtering, re-arranging
information
10-20
Upward Appeal
• Appealing to higher authority• Includes appealing to firm’s goals• Alliance or perceived alliance with higher
status person
more
Types of Influence (con’t)
Persuasion • Logic, facts, emotional appeals• Depends on persuader, message content,
message medium, audience
10-21
Types of Influence (con’t)
Exchange • Promising or reminding of past benefits in exchange for compliance
• Negotiation, reciprocity, networking
Impression Management
• Actively shaping or public image• Self-presentation• Ingratiation
10-22
Manipulating/influencing others:
Negative: For personal gain or approval (narrow self-interest)
Positive: For the benefit of others or the future (enlightened self-interest)
Organizational Politics
10
Power and Influence in the Workplace
10-23
11
Conflict and Negotiation in the Workplace
Copyright © 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
11-25
Is Conflict Good or Bad?
Negative Outcomes Positive Outcomes
• Wastes time, energy, resources
• Less information sharing, productivity
• More organizational politics
• More job dissatisfaction, turnover, stress
• Weakens team cohesion (when conflict is within team)
• Fuller debate of decision choices
• Decision assumptions are questioned
• Potentially generates more creative ideas
• Improves responsiveness to external environment
• Increases team cohesion (conflict with other teams)
11-26
Emerging View: Task Versus Relationship Conflict
Task (constructive) conflictParties focus on the issue, respect people with
other points of viewTry to understand logic/assumptions of each
position
Relationship conflictFocus on personal characteristics (not issues) as
the source of conflictTry to undermine each other’s
worth/competenceAccompanied by strong negative emotions
11-27
Minimizing Relationship ConflictGoal: encourage task conflict, minimize
relationship conflict
Problem: relationship conflict often develops when engaging in task conflict
Three conditions that minimize relationship conflict during task conflict:Emotional intelligenceCohesive teamSupportive team norms
11-28
The Conflict Process
Sources ofConflict
ManifestConflict
ConflictOutcomes
Conflict Perceptions
and Emotions
Conflict Escalation Cycle
11-29
Differentiation
Interdependence
• Different values/beliefs• Explains cross-cultural, generational,
merger conflict
• Conflict increases with interdependence• Parties more likely to interfere with each
other
IncompatibleGoals
• One party’s goals perceived to interfere with other’s goals
Structural Sources of Conflict
11-30
Ambiguous Rules
Communication Problems
• Creates uncertainty, threatens goals• Encourages political behavior
• Rely on stereotypes • Less motivation to communicate• Arrogant language escalates conflict
Scarce Resources
• Motivates competition for the resource
Structural Sources of Conflict
11-31
Ass
erti
ven
ess
Cooperativeness
Forcing Problem-solving
Compromising
Avoiding Yielding
High
Low High
Five Conflict Handling Styles
11-32
Conflict Handling ContingenciesProblem solving
Best when: Interests are not perfectly opposing Parties have trust/openness Issues are complex
Problem: other party may use information to its advantage
ForcingBest when:
you have a deep conviction about your position quick resolution required other party would take advantage of cooperation
Problems: relationship conflict, long-term relations
11-33
Conflict Handling ContingenciesAvoiding
Best when: conflict is emotionally-charged (relationship conflict) conflict resolution cost is higher than benefits
Problems: doesn’t resolve conflict; causes frustration
YieldingBest when:
other party has much more power issue is much less important to you than other party value/logic of your position is imperfect
Problems: increases other’s expectations; imperfect solution
11-34
Conflict Handling Contingencies
CompromisingBest when:
Parties have equal powerQuick solution is requiredParties lack trust/openness
Problem: Sub-optimal solution where mutual gains are possible
11
Conflict and Negotiation in the Workplace
11-35
12-36
Leadership Defined
Leadership is the ability to influence, motivate, and enable others to contribute toward the effectiveness of the organizations of which they are members
12-37
Shared LeadershipThe view that leadership is a role, not a
position assigned to one personEmployees lead each other – e.g., champion
ideas
Shared leadership flourishes where:Formal leaders are willing to delegate powerCollaborative (not competitive) cultureEmployees develop effective influence skills
Distributed leadership…
12-38
Transformational Leadership Model
Develop/communicate
a strategic vision
Model the vision
Encourage experimentation
Build commitment to the vision
Elements of
Transformational
Leadership
12-39
Managerial LeadershipDefinition: Daily activities that support and guide the performance and well-being of individual employees and the work unit to support current objectives and practices
Managerial leadership differs from transformational leadershipAssumes environment is stable (vs dynamic)Micro-focused (vs macro-focused)
Transformational and managerial leadership are interdependent
12-40
Task vs People Styles of Leadership
Task-oriented behaviorsAssign work, clarify responsibilitiesSet goals and deadlines, provide feedbackEstablish work procedures, plan future work
People-oriented behaviorsConcern for employee needsMake workplace pleasantRecognize employee contributionsListen to employees
Both styles necessary, but different effects
12-41
Servant LeadershipLeaders serve followers toward their need
fulfillment, development, growth
Described as selfless, egalitarian, humble, nurturing, empathetic, and ethical coaches
Servant leadercharacteristics:1. Natural calling to
serve others
2. Humble, egalitarian,accepting relationship
3. Ethical decisions and actions
12-42
Other Managerial Leadership TheoriesSituational Leadership Model
Four styles: telling, selling, participating, delegating
Best style depends on follower ability/motivationPopular model, but lacks research support
12-43
Authentic Leadership
Know Yourself
• Engage in self-reflection
• Feedback from trusted sources
• Know your life story
Be Yourself
• Develop your own style
• Apply your values
• Maintain a positive core self-evaluation
12-44
Gender Issues in Leadership
Male/female leaders have similar task- and people-oriented leadership
Female leaders use more participative leadership
Women rated higher on emerging leadership styles
12
Leadership inOrganizational Settings
12-45