1. MNGT 5590 Organizational Behavior Week 6: Chapters 10, 11, 12 Dr
MNGT 5590 Organizational Behavior Week 6: Chapters 10, 11, 12 Dr. George Reid

2. Chapter 10: Power and Influence
Chapter 11: Conflict and Negotiation
Chapter 12: Leadership

3. 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.

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.

5. The Meaning of Power
The 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

6. 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
Person A’s power over Person B

7. Model of Power in Organizations
over others
Sources
of Power
Contingencies
of Power
Legitimate
Reward
Coercive
Expert
Referent

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

9. Expert Power
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

10. Other Sources of Power Reward power Coercive power Referent power
Control rewards valued by others, remove negative sanctions
Coercive power
Ability to apply punishment
Referent power
Capacity to influence others through identification with and respect for the power holder
Associated with charisma

11. Contingencies of Power
over others
Sources
of Power
Contingencies
of Power
Substitutability
Centrality
Discretion
Visibility

12. Increasing Nonsubstitutability
Substitutability – availability of alternatives
More power when few/no alternatives
Reduce substitutability through:
Monopoly over resource
Controlling access to the resource
Differentiating the resource

13. Other Contingencies of Power
Centrality
Degree and nature of interdependence with powerholder
Higher centrality when (a) many people affected and (b) quickly affected
Visibility
You are known as holder of valued resource
Increases with face time, display of power symbols
Discretion
The freedom to exercise judgment
Rules limit discretion
Discretion is perceived by others

14. Power 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 networks
Information
Visibility
Referent power

15. Social Network Ties Strong ties: Weak ties Many ties
Close-knit relationships (frequent interaction, high 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
Limited capacity to form weak/strong ties

16. Social Network Centrality
Person’s importance in a network
Three factors in centrality:
Betweenness – extent you are located between others in the network
Degree 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

17. Influencing Others
Influence 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

18. 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
more

19. 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
more

20. 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
more

21. Types of Influence (con’t)
Impression Management
Actively shaping or public image
Self-presentation
Ingratiation
Exchange
Promising or reminding of past benefits in exchange for compliance
Negotiation, reciprocity, networking

22. Organizational Politics
Manipulating/influencing others: Negative: For personal gain or approval (narrow self- interest) Positive: For the benefit of others or the future (enlightened self-interest)

23. Power and Influence in the Workplace
10-23

24. 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.

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)

26. Emerging View: Task Versus Relationship Conflict
Task (constructive) conflict
Parties focus on the issue, respect people with other points of view
Try to understand logic/assumptions of each position
Relationship conflict
Focus on personal characteristics (not issues) as the source of conflict
Try to undermine each other’s worth/competence
Accompanied by strong negative emotions

27. Minimizing Relationship Conflict
Goal: 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 intelligence
Cohesive team
Supportive team norms

28. Conflict Perceptions and
The Conflict Process
Sources of
Conflict
Conflict Perceptions and
Emotions
Manifest
Conflict
Conflict
Outcomes
Conflict
Escalation Cycle

29. Structural Sources of Conflict
Incompatible
Goals
One party’s goals perceived to interfere with other’s goals
Differentiation
Different values/beliefs
Explains cross-cultural, generational, merger conflict
Interdependence
Conflict increases with interdependence
Parties more likely to interfere with each other

30. Structural Sources of Conflict
Scarce Resources
Motivates competition for the resource
Ambiguous Rules
Creates uncertainty, threatens goals
Encourages political behavior
Communication Problems
Rely on stereotypes
Less motivation to communicate
Arrogant language escalates conflict

31. Five Conflict Handling Styles
High
Forcing
Problem-solving
Assertiveness
Compromising
Avoiding
Yielding
Low
High
Cooperativeness

32. Conflict Handling Contingencies
Problem solving
Best when:
Interests are not perfectly opposing
Parties have trust/openness
Issues are complex
Problem: other party may use information to its advantage
Forcing
you have a deep conviction about your position
quick resolution required
other party would take advantage of cooperation
Problems: relationship conflict, long-term relations

33. Conflict Handling Contingencies
Avoiding
Best when:
conflict is emotionally-charged (relationship conflict)
conflict resolution cost is higher than benefits
Problems: doesn’t resolve conflict; causes frustration
Yielding
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

34. Conflict Handling Contingencies
Compromising
Best when:
Parties have equal power
Quick solution is required
Parties lack trust/openness
Problem: Sub-optimal solution where mutual gains are possible

35. Conflict and Negotiation in the Workplace
11-35

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

37. Shared Leadership
The view that leadership is a role, not a position assigned to one person
Employees lead each other – e.g., champion ideas
Shared leadership flourishes where:
Formal leaders are willing to delegate power
Collaborative (not competitive) culture
Employees develop effective influence skills
Distributed leadership…

38. Transformational Leadership Model
Build commitment to the vision
Develop/communicate a strategic vision
Elements of Transformational Leadership
Encourage experimentation
Model the vision

39. Managerial Leadership
Definition: 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 leadership
Assumes environment is stable (vs dynamic)
Micro-focused (vs macro-focused)
Transformational and managerial leadership are interdependent

40. Task vs People Styles of Leadership
Task-oriented behaviors
Assign work, clarify responsibilities
Set goals and deadlines, provide feedback
Establish work procedures, plan future work
People-oriented behaviors
Concern for employee needs
Make workplace pleasant
Recognize employee contributions
Listen to employees
Both styles necessary, but different effects

41. Servant Leadership
Leaders serve followers toward their need fulfillment, development, growth
Described as selfless, egalitarian, humble, nurturing, empathetic, and ethical coaches
Servant leader characteristics:
Natural calling to serve others
Humble, egalitarian, accepting relationship
Ethical decisions and actions

42. Other Managerial Leadership Theories
Situational Leadership Model
Four styles: telling, selling, participating, delegating
Best style depends on follower ability/motivation
Popular model, but lacks research support

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

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

45. Leadership in Organizational Settings
12-45