1. Chapter 9 Power and Politics

2. 2 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Purpose and Overview Purpose –To learn about the importance, sources, and uses of power and politics –Understand strategies and tactics for increasing power –Understand conditions that contribute to power abuse and their consequences

3. 3 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Purpose and Overview Overview –The Importance of Power and Politics in Health Services Organizations –Sources of Power –When Power Is Likely To Be Used –Issues on Which Power Is Likely To Be Used

4. 4 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Purpose and Overview Overview –Power Strategies and Tactics: Games People Play –Employee Responses to Use of Power –The Abuse of Power in Organizations –Power, Politics, and Organizational Performance

5. 5 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. The Importance of Power and Politics Success requires: –Attention to the distribution of power –Attention to the circumstances under which power is used –Knowledge of tactics and strategies associated with the effective use of power

6. 6 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. The Importance of Power and Politics Influence Power Politics

7. 7 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. The Importance of Power and Politics Why Power and Politics? –To direct and control behavior of organizational members to achieve organizational goals

8. 8 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Rational Versus Political Perspectives on Management Rational Models Political Perspectives

9. 9 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Rational Versus Political Perspectives on Management

10. 10 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Rational Versus Political Perspectives on Management

11. 11 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Sources of Power Authority linked to formal position Control over resources Control over decision-making processes and information Network centrality Nonsubstitutability Management of strategic contingencies

12. 12 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Sources of Power

13. 13 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Sources of Power Tactics for Increasing Power –Provide resources to other departments and operating units –Create dependencies –Take responsibility for areas of high uncertainty

14. 14 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Sources of Power Tactics for Increasing Power –Satisfy strategic contingencies –Build coalitions –Expand networks –Control decision processes

15. 15 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. When Power Is Likely To Be Used For important decisions When performance is difficult to assess When there are uncertainties and disagreement Interdependence

16. 16 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Issues on Which Power Is Likely To Be Used Four Domains –Structural change –Interdepartmental coordination –Management succession –Resource allocation and budgeting

17. 17 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Power Strategies and Tactics: Games People Play Power may be converted into political influence

18. 18 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Power Strategies and Tactics: Games People Play

19. 19 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Power Strategies and Tactics: Games People Play

20. 20 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Employee Responses to Use of Power Employees may react negatively to use of power –Decreased trust in the organization –Increased employee dissatisfaction –Increased conflict within the organization –Decreased morale and effort –Increased employee turnover

21. 21 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Employee Responses to Use of Power Power use may undermine future operations and decision making

22. 22 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. The Abuse of Power in Organizations Necessary at times to achieve goals –Personal goals –Organizational goals Managers –Necessary to understand that power is potentially abusive to employees

23. 23 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. The Abuse of Power in Organizations Conditions Facilitating the Abuse of Power –High information ambiguity –High ends mean ambiguities –Overly centralized decision making structure –Scarcity of rival coalitions both internal and external to organization

24. 24 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. The Abuse of Power in Organizations Conditions Facilitating Abuse of Power –Low or one-sided interdependencies between key organizational stakeholders –Culture of organizational complacency –Short time horizons

25. 25 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Power, Politics, and Organizational Performance Can serve to facilitate implementation of important decisions

26. 26 Copyright © 2006 by Thomson Delmar Learning. ALL RIGHTS RESERVED. Power, Politics, and Organizational Performance Approaches to Reducing Inefficiencies Due to Political Activity –Increase level of slack resources –Reduce differentiation and heterogeneity among organizational members and units –Divide organizational rewards more evenly