1. Organizational Behavior, 9/E Schermerhorn, Hunt, and Osborn Prepared by Michael K. McCuddy Valparaiso University John Wiley & Sons, Inc.

2. Organizational Behavior: Chapter 122 Chapter 12 Study Questions  What are power and influence in an organization?  How are power, obedience, and formal authority intertwined in an organization?  What is empowerment?  What is organizational politics?

3. Organizational Behavior: Chapter 123 Study Question 1: What are power and influence in an organization?  Power. – The ability to get someone to do something you want done. – The ability to make things happen in the way you want.  Influence. – Expressed by others’ behavioral response to your exercise of power.

4. Organizational Behavior: Chapter 124 Study Question 1: What are power and influence in an organization?  Position power derives from a person’s position in the organizational hierarchy.  Types of position power. – Reward power. – Coercive power. – Legitimate power. – Process power. – Information power. – Representative power.

5. Organizational Behavior: Chapter 125 Study Question 1: What are power and influence in an organization?  Reward power. – The extent to which a manager can use extrinsic and intrinsic rewards to control other people.  Coercive power. – The extent to which a manager can deny desired rewards and administer punishment to control other people.

6. Organizational Behavior: Chapter 126 Study Question 1: What are power and influence in an organization?  Legitimate power. – The extent to which a manager can use subordinates’ internalized values or beliefs that the boss has the “right of command” to control other people.  Process power. – The control over methods of production and analysis that a manager has due to being in a position to influence how inputs are transformed into outputs.

7. Organizational Behavior: Chapter 127 Study Question 1: What are power and influence in an organization?  Information power. – The access to and/or control of information..  Representative power. – The formal right conferred by the firm to speak for a potentially important group composed of individuals across departments or outside the firm.

8. Organizational Behavior: Chapter 128 Study Question 1: What are power and influence in an organization?  Personal power derives from individual sources.  Types of personal power. – Expert power. – Rational persuasion. – Referent power.

9. Organizational Behavior: Chapter 129 Study Question 1: What are power and influence in an organization?  Expert power. – The ability to control another person’s behavior through the possession of knowledge, experience, or judgment that the other person does not have but needs.  Rational persuasion. – The ability to control another person’s behavior by convincing the other person of the desirability of a goal and a reasonable way of achieving it.

10. Organizational Behavior: Chapter 1210 Study Question 1: What are power and influence in an organization?  Referent power. – The ability to control another’s behavior because the person wants to identify with the power source.

11. Organizational Behavior: Chapter 1211 Study Question 1: What are power and influence in an organization?

12. Organizational Behavior: Chapter 1212 Study Question 1: What are power and influence in an organization?  Ways to build position power. – Demonstrating work unit relevance to organizational goals and needs. – Increasing task relevance of one’s own activities and work unit’s activities. – Attempting to define tasks so they are difficult to evaluate.

13. Organizational Behavior: Chapter 1213 Study Question 1: What are power and influence in an organization?  Ways to build personal power. – Building expertise. Advanced training and education, participation in professional associations, and project involvement. – Learning political savvy. Learning ways to negotiate, persuade, and understand goals and means that others accept. – Enhancing likeability. Pleasant personality characteristics, agreeable behavior patterns, and attractive personal appearance.

14. Organizational Behavior: Chapter 1214 Study Question 1: What are power and influence in an organization?  Ways that managers increase the visibility of their job performance. – Expanding contacts with senior people. – Making oral presentations of written work. – Participating in problem-solving task forces. – Sending out notices of accomplishment. – Seeking opportunities to increase name recognition.

15. Organizational Behavior: Chapter 1215 Study Question 1: What are power and influence in an organization?  Controlling decision premises. – Executives attempt to control, or at least influence, decision premises. – A decision premise is a basis for defining the problem and for selecting among alternatives. – Executives who want to increase their power will make their goals and needs clear and bargain effectively.

16. Organizational Behavior: Chapter 1216 Study Question 1: What are power and influence in an organization?  Common techniques for exercising relational influence. – Reason. – Friendliness. – Coalition. – Bargaining. – Assertiveness. – Higher authority. – Sanctions.

17. Organizational Behavior: Chapter 1217 Study Question 2: How are power, obedience, and formal authority intertwined in an organization?  Important practical issues in the exercise of power and formal authority. – Why should subordinates respond to a manager’s authority (or “right to command”)? – Given that subordinates are willing to obey, what determines the limits of obedience?

18. Organizational Behavior: Chapter 1218 Study Question 2: How are power, obedience, and formal authority intertwined in an organization?  The Milgram experiments. – Designed to determine the extent to which people obey the commands of an authority figure, even if they believe they are endangering the life of another person. – The results indicated that the majority of the experimental subjects would obey the commands of the authority figure. – Basic conclusion was that people tend to comply with and be obedient to authority.

19. Organizational Behavior: Chapter 1219 Study Question 2: How are power, obedience, and formal authority intertwined in an organization?  For a directive from a superior to be accepted as authoritative, the subordinate: – Can and must understand it. – Must feel mentally and physically capable of carrying it out. – Must believe that it is consistent with the organization’s purpose. – Must believe that it is consistent with his or her personal interests.

20. Organizational Behavior: Chapter 1220 Study Question 2: How are power, obedience, and formal authority intertwined in an organization?  Zone of indifference. – In exchange for certain inducements, subordinates recognize the authority of the organization and its managers to direct their behavior in certain ways. – A zone of indifference is the range of authoritative requests to which a subordinate is willing to respond without subjecting the directives to critical evaluation or judgment.

21. Organizational Behavior: Chapter 1221 Study Question 2: How are power, obedience, and formal authority intertwined in an organization?

22. Organizational Behavior: Chapter 1222 Study Question 3: What is empowerment?  Empowerment. – The process by which managers help others to acquire and use the power needed to make decisions affecting themselves and their work. – Provides the foundation for self-managing work teams and other employee involvement groups. – Empowerment emphasizes the ability to make things happen.

23. Organizational Behavior: Chapter 1223 Study Question 3: What is empowerment?  Changing position power. – Moving power down the hierarchy alters the existing pattern of position power. – Changing this pattern raises the following important questions: Can “empowered” individuals give rewards and sanctions based on task accomplishment? Has their new right to act been legitimized with formal authority?

24. Organizational Behavior: Chapter 1224 Study Question 3: What is empowerment?  Expanding the zone of indifference. – Management needs to recognize the current zone of indifference and systematically move to expand it. – Management should show how empowerment will benefit people and provide the needed inducement. –.–.

25. Organizational Behavior: Chapter 1225 Study Question 3: What is empowerment?  Power as an expanding pie. – Employees need to be trained to expand their power and their new influence potential. – The key is to change from a view stressing power over others to one emphasizing the use of power to get things done.

26. Organizational Behavior: Chapter 1226 Study Question 3: What is empowerment?  Power as an expanding pie. – Clearer definition of roles and responsibilities helps managers empower others. – All mangers need to emphasize different ways of exercising influence. – Special support may be needed for individuals to become comfortable.

27. Organizational Behavior: Chapter 1227 Study Question 4: What is organizational politics?  Machiavellian tradition of organizational politics. – Emphasizes self-interest and the use of nonsanctioned means. – Organizational politics is defined as the management of influence to obtain ends not sanctioned by the organization or to obtain sanctioned ends through nonsanctioned influence means.

28. Organizational Behavior: Chapter 1228 Study Question 4: What is organizational politics?  Alternate tradition of organizational politics. – Politics is a necessary function resulting from differences in the self-interests of individuals. – Politics is the art of creative compromise among competing interests. – Politics is the use of power to develop socially acceptable ends and means that balance individual and collective interests.

29. Organizational Behavior: Chapter 1229 Study Question 4: What is organizational politics?

30. Organizational Behavior: Chapter 1230 Study Question 4: What is organizational politics?  Subunit power. – Line units are typically more powerful than are staff groups. – Units toward the top of the organizational hierarchy are often more powerful than those toward the bottom. – Power differentials are not as pronounced among units at or near the same level in an organization.

31. Organizational Behavior: Chapter 1231 Study Question 4: What is organizational politics?  Political actions for influencing lateral, intergroup relationships. – Workflow linkages. – Service linkages. – Advisory linkages. – Auditing linkages. – Approval linkages.

32. Organizational Behavior: Chapter 1232 Study Question 4: What is organizational politics?  Important aspects of corporate political strategy. – Absence of a political strategy can be damaging. – Corporate political strategy should be targeted toward turning the government from a regulator against industry to a protector of it. – Need to make decisions about when and how to get involved in the public policy processes.

33. Organizational Behavior: Chapter 1233 Study Question 4: What is organizational politics?  Avoidance is quite common where the employee must risk being wrong or where actions may yield a sanction.  Common techniques for avoiding action and risk taking. – Working to the rules. – Playing dumb. – Depersonalization. – Stalling.

34. Organizational Behavior: Chapter 1234 Study Question 4: What is organizational politics?  Common techniques for redirecting accountability and responsibility. – Passing the buck. – Buffing (or rigorous documentation). – Preparing a blind memo. – Rewriting history. – Redirecting. Scapegoating. Blaming the problem on uncontrollable events. Escalating commitment.

35. Organizational Behavior: Chapter 1235 Study Question 4: What is organizational politics?  Defending turf. – Defending turf is a time-honored tradition in most large organizations. – Defending turf results when: Managers seek to increase their power by expanding the jobs their groups perform. Competing interests exist among various departments and groups.

36. Organizational Behavior: Chapter 1236 Study Question 4: What is organizational politics?  Agency theory. – An important power problem arises from the separation of owners and managers. – Managers are “agents” of the owners. – Public corporations can function effectively even though its managers are self-interested.

37. Organizational Behavior: Chapter 1237 Study Question 4: What is organizational politics?  Key arguments of agency theory. – By protecting stockholder interests, all the interests of society are served. – Stockholders have a clear interest in greater returns. – Managers are self-interested and must be controlled.

38. Organizational Behavior: Chapter 1238 Study Question 4: What is organizational politics?  Types of controls instituted for agents. – Pay plan incentives that align the interests of management and stockholders. – The establishment of a strong, independent board of directors. – Stockholders with a large stake in the firm taking an active role on the board.

39. Organizational Behavior: Chapter 1239 Study Question 4: What is organizational politics?  Resource dependencies. – The firm’s need for resources that are controlled by others.  The resource dependence of an organization increases as: – Needed resources become more scarce. – Outsiders have more control over needed resources. – There are fewer substitutes for a particular type of resource controlled by a limited number of outsiders.

40. Organizational Behavior: Chapter 1240 Study Question 4: What is organizational politics?  Organizational governance. – The pattern of authority, influence, and acceptable managerial behavior established at the top of the organization. – Organizational governance establishes the following: What is important. How issues will be defined. Who should and should not be involved in key choices Boundaries for acceptable implementation.

41. Organizational Behavior: Chapter 1241 Study Question 4: What is organizational politics?  Negative views of organizational governance. – Unbalanced organizational governance by some United States corporations may limit their ability to manage global operations effectively. – Organizational governance is too closely tied to the short-term interests of stockholders and the pay of the CEO.

42. Organizational Behavior: Chapter 1242 Study Question 4: What is organizational politics?  Positive views of organizational governance. – The governance of U.S. firms extends well beyond the limited interests of the owners. – Organization governance should be based on three ethical criteria. – When the three ethical criteria cannot be fulfilled, the criterion of overwhelming factors should be invoked. – Choosing to be ethical often involves considerable personal sacrifice.

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