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Power
The ability to influence others
Politics
The use of power and authority to influence organizational outcomes
Machiavelli’s view on Power
The strength of a leader’s power is measured by the degree to which he or she is independent of others and maintains domination.
Max Weber’s View on Power
Three points: Charismatic, Traditional, and Legal
Charismatic Power
Where power and control are derived from the personal magnetism of the power wielder
Traditional Power
Where power is granted through family lineage from one generation to the next
Legal Power
Rational; where laws and constitutional process create legitimate authority
Current Scholarly Convo. about Power
Relational constructs and Motivational Constructs
Relational Constructs
Where power is a function of the relative dependence or interdependence of the actors
Motivational Constructs
Which are found primarily in the psychology literature and based in the idea that “power and control are used as motivational and/or expectancy belief states that motivation is internal to individuals”
Sources of Power
Legitimate, Reward, Coercive, Expert, and Referent
Legitimate Power
Arises from people’s values and beliefs that someone has the right to exert influence over them and that they have an obligation to comply.
Reward Power
Is arising from our ability to reward other people for behaving as we want them to.
Coercive Power
Is based on our ability to apply sanctions or punishments for the failure of others to behave as we want them to.
Expert Power
Is drawn from having a special expertise that is needed or valued in an organization.
Referent Power
Depends on the degree to which others desire to have a relationship or identify with us.
Equalizing or Balancing Power for People who have Less Power
Decrease their needs
Increase their alternative sources
Increase other people’s needs
Decrease other people’s alternative sources
Negative Aspects of Power
Power can be abused
Power can be used in a manner that affects others’ sense of dignity and self respect
Abusive Power can interfere with employee job performance, goal attainments, and block deserved rewards
Positive Organizational Climate
Shared view of power
Inclusiveness
Connectedness
Excellence
Encompassing value system
Accountability
Political Skills Definition
The ability to effectively understand others at work, and to use such knowledge to influence others to act in ways that enhance one’s personal and/or organizational goals.
Kinds of Political Skills
Networking Skills
Benefits of Political Skills
Getting more promotions
Higher perceived career success
Perceived organizational mobility
Vision Statement
Defines the domain or the boundaries of an organization and describe what the organization is and what it’s not
Mission Statement
A statement of the organization’s purpose and reason for existence and provides the general direction for the organization and keeps all managers and employees in-sync.
Goals
Objectives that specify what needs to be achieved and when
Strategy
A comprehensive road map that states how a firm can reach its goals and achieve its mission within a set time frame.
Organizational Environment Definition
All the factors outside the organization that have the potential to affect it.
Organizational Environment Categories
1st: General Environment
2nd: Business Environment
Environmental Uncertainty
Rate of Change and Complexity of the Environment
Rate of Change
Refers to the speed at which various elements in the environment change
Complexity of the Environment:
Refers to the number of sectors an organization has to consider in the enactment process.
SWOT stands for
Strengths, Weaknesses, Opportunities, Threats
What is SWOT?
An evaluation of the organization’s environment for opportunities and threats, often called environmental scan, and a consideration of how those match with the company’s internal strengths and weaknesses.
Managing Strategy
Managers evaluate the contextual strategic elements and then design strategies to take advantage of business opportunities.
Strategic Formulation
The process of forging a cohesive integrated set of strategies designed to deal with the environment and achieve the business mission and goals.
Strategy implementation
The actions the organization takes to execute the strategy it has formulated
Organizational Structure
Refers to the way human resources are organized to achieve the company’s mission.
Structure includes what questions?
WHO is responsible for WHAT
WHO reports to WHOM
HOW information moves up, down, and across the organization
Structure is central to
An organization’s effectiveness
Structural Types
Functional, Product/Divisional, Matrix, Hybrid
Functional Type
Group employees by their functional specialization
Product/Divisional Type
Groups people by the product or services they work on, or according to the geographic region.
Matrix Type
Uses in a flexible manner project teams that include both functional specialists and product or project specialists.
Hybrid Type
Has headquarters that provide several functions to all divisions. The divisions then specialize either by product or by region.