1. Copyright © 1999 Houghton Mifflin Company. All rights reserved. 9 - 0 E. FRANK HARRISON Fifth Edition The Managerial Decision-Making Process

2. Copyright © 1999 Houghton Mifflin Company. All rights reserved. 9 - 1 The Managerial Decision-Making Process Fifth Edition Author: E. Frank Harrison, Ph.D. Slides by Monique A. Pelletier, Ph.D. Author: E. Frank Harrison, Ph.D. Slides by Monique A. Pelletier, Ph.D.

3. Copyright © 1999 Houghton Mifflin Company. All rights reserved. 9 - 2 Political Aspects of Decision Making Political Aspects of Decision Making Chapter 9

4. Copyright © 1999 Houghton Mifflin Company. All rights reserved. 9 - 3 The Bases of Power n Organizational power: l reward l coercive l legitimate n Personal power: l expert l referent

5. Copyright © 1999 Houghton Mifflin Company. All rights reserved. 9 - 4 The Managerial Decision Making Class n Emergence of class n Concept of class l managerial revolution l power elite l Marxist theory l the technostructure l managerial revolution l power elite l Marxist theory l the technostructure n Characteristics of the class: l education l middle class origin l mobility l commitment to organization

6. Copyright © 1999 Houghton Mifflin Company. All rights reserved. 9 - 5 Conceptual Foundations and Profiles of Political Power in Decision Making n The concept of politics n The concept of political power n Divergence of goals n Allocation of resources n Dominance versus autonomy

7. Copyright © 1999 Houghton Mifflin Company. All rights reserved. 9 - 6 Dimensions of Managerial Decision-Making Power n The scope of power n Manifestations of power

8. Copyright © 1999 Houghton Mifflin Company. All rights reserved. 9 - 7 Constraints on Managerial Decision-Making Power n Theoretical Constraints: l pluralism l countervailing power (government) n Operating Constraints: l internal l external