1. ORGANIZATIONAL BEHAVIOR Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU Mahfuza Khatun Lecturer, F & B, JU Power and Politics Chapter 14

2. 1.Define power, and contrast leadership and power. 2.Contrast the five bases of power. 3.Identify nine power or influence tactics and their contingencies. 4.Distinguish between legitimate and illegitimate political behavior. 5.Identify the causes and consequences of political behavior. 6.Apply impression management techniques. AFTER STUDYING THIS CHAPTER, YOU SHOULD BE ABLE TO UNDERSTAND: L E A R N I N G O B J E C T I V E S Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU

3. Power: The capacity that A has to influence the behavior of B so that B acts in accordance with A’s wishes – Power is a function of dependency –The greater B's dependence on A, the greater A’s power in the relationship Power: Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU

4. Contrasting Leadership and Power: Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU LeadershipPower Leader use power as a means of attaining group goals Power is a means of facilitating their achievement A Leader can be a powerful person A Powerful person not necessarily can be a leader.... Leadership is what you already have in you Power is what everybody wants and can get even if they have no leadership qualities A Leader leads and people follow him willingly A Powerful person demands people to follow him and people are forced to follow him............unwillingly and helplessly.

5. Contrasting Leadership and Power(Contd.): Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU LeadershipPower Leadership require some congruence between the goal of the leader and those being led Power does not require goal compatibility, merely dependence Focuses influence downwardUsed to gain lateral and upward influence Research Focus- Leadership styles and relationships with followers Research Focus Power tactics for gaining compliance

6. Contrast the five bases of power: Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU Formal Power: Established by an individual’s position in an organization 1.Coercive Power: A power base dependent on fear. 2.Reward Power: Compliance achieved based on the ability to distribute rewards that others view as valuable 3.Legitimate Power: The formal authority to control and use resources based on a person’s position in the formal hierarchy

7. Contrast the five bases of power(Contd.): Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU 4. Expert Power: Influence based on special skills or knowledge 5. Referent Power: Influence based on possession by an individual of desirable resources or personal traits

8. Identify nine power or influence tactics and their contingencies : Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU Power Tactics: Ways in which individuals translate power bases into specific actions Nine influence tactics: 1.Legitimacy: Relying in one authority position or stress that a request is in accordance with organizational policies or rules. 2.Rational persuasion: Presenting logical arguments and factual evidence to demonstrate that a request is reasonable. 3.Inspirational appeals: Developing emotional commitment by appealing to a target’s values, needs, hopes and aspirations.

9. Identify nine power or influence tactics and their contingencies (Contd.) : Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU Power Tactics: Nine influence tactics (Contd): 4.Consultation: Increasing the targets' motivation and support by involving him or her in deciding how the plan or change will be accomplished. 5. Exchange: Rewarding the target with benefits or favors in exchange for following a request. 6. Personal appeals: Asking for compliance based on friendship or loyalty.

10. Identify nine power or influence tactics and their contingencies(Contd.) : Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU Power Tactics: Nine influence tactics (Contd): 7. Ingratiation: Using flattery, praise or friendly behavior prior to making a request. 8.Pressure: Using warnings, repeated demands and threats. 9. Coalitions: Enlisting the aid of other people to persuade the target or using the support of others as a reason for the target to agree.

11. Preferred Power Tactics by Influence Direction: Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU Upward InfluenceDownward InfluenceLateral Influence Rational persuasion Inspirational appealsConsultation PressureIngratiation ConsultationExchange IngratiationLegitimacy ExchangePersonal appeals LegitimacyCoalitions

12. Factors Influencing Power Tactics: Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU Choice and effectiveness of influence tactics are moderated by: Sequencing of tactics Softer to harder tactics work best Political skill of the user The culture of the organization Culture affects user’s choice of tactic

13. Organizational Politics: focused on the use of power to affect decision making in an organization or an behaviors by members that are self-serving and organizationally nonsanctioned. Political Behavior: Activities that are not required as part of one’s formal role in the organization, but that influence, or attempt to influence, the distribution of advantages or disadvantages within the organization. Distinguish between legitimate and illegitimate political behavior: Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU

14. – Legitimate Political Behavior Normal everyday politics - complaining, bypass, obstructing –Illegitimate Political Behavior Extreme political behavior that violates the implied rules of the game: sabotage, whistle-blowing, and symbolic protest Distinguish between legitimate and illegitimate political behavior(Contd.): Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU

15. Identify the causes and consequences of political behavior: Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU Figure: Factors that Influence Political Behavior

16. Figure: Most employees have low to modest willingness to play politics and have the following reactions to politics: Employee Responses to Organizational Politics: Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU

17. Defensive Behaviors: Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU  Employees who perceive politics as a threat have defensive reactions May be helpful in the short run, dangerous in the long run  Types of defensive behaviors – Avoiding Action Overconforming, buck passing, playing dumb, stalling –Avoiding Blame Bluffing, playing safe, justifying, scapegoating –Avoiding Change Prevention, self-protection

18. Impression Management (IM): Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU The process by which individuals attempt to control the impression others form of them IM Techniques –Conformity –Excuses –Apologies –Self-Promotion –Flattery –Favors –Association

19. IM Effectiveness: Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU Job Interview Success –IM does work and most people use it –Self-promotion techniques are important –Ingratiation is of secondary importance Performance Evaluations –Ingratiation is positively related to ratings –Self-promotion tends to backfire

20. Questions Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B,JU