OB II Chapter 12 (Final)

Three ingredients of intergroup conflict:

1. Group identification

2. Observable group differences

3. Frustration (if one group achieves its goal, the other will not)

Intergroup conflict

the behaviour that occurs among organizational groups when participants identify with one group and perceive that other groups may block their group's goal achievement or expectations

Competition

rivalry among groups in the pursuit of a common prize

Conflict

similar to competition but more severe. Presumes direct interference with goal achievement.

Sources of Conflict

- Goal incompatibility

- Differentiation

- Task interdependence

- Limited resources

Methods to accomplish objectives

Rational model of behaviour

Political model of behaviour

Goal Incompatibility

The greatest cause of intergroup conflict

The achievement of one groups goals often interferes with another departments goals

Differentiation

Differences in cognitive and emotional orientations among managers in different functional departments

Task Interdependence

The dependence of one unit on another for materials, resources, or information

As interdependence increases, the potential for conflict increases

Pooled interdependence

little interaction

Sequential interdependence

output of one department goes to the next department

Reciprocal interdependence

departments mutually exchange materials and information

Limited Resources

Resources symbolize power and influence within an organization

When conflict is low

Rational model describes organization

When conflict is high

Political model describes organization

Use a rational model if

- Goals are in alignment

- Little differentiation

- Departments have pooled interdependence

- Resources are abundant

Rational Model of Organization

Not fully achievable in the real world

Behaviour is not random or accidental

Goals are clear and choices are made in a logical way

Use political model if:

- Differences are great

- Organizational groups have separate interests

- Strives for democracy and participation in decision making

Tactics for Enhancing Collaboration

1. Create integration devices (ex. Teams, task forces, project managers)

2. Use confrontation and negotiation

3. Schedule intergroup consultation (workplace mediation, bring in a third party)

4. Practise member rotation → members of one department can be asked to work in another department on a temporary basis

5. Create shared mission and superordinate goals

Confrontation

when parties in conflict directly engage one another and try to work out their differences

Power

the potential ability of one person (or department) to influence other people (or departments) to carry out orders or to do something that they would not otherwise have done

The ability of one person or department in an organization to influence other people to bring about desired outcomes

Power in organizations is often the result of...

structural characteristics

Hard power

power that stems largely from a person's position of authority and includes legitimate, reward, and coercive power

Soft power

expert power and referent power. Based on personal characteristics and interpersonal relationships more than on a position of authority

Three properties identify authority:

1. Authority is vested in organizational positions - people have authority because of the position they hold

2. Authority is accepted by subordinates

3. Authority flows down the vertical hierarchy

Four major sources of vertical power:

formal position, resources, control of decision premises and information, and network centrality

Control of Decision Premises and Information

Control of decision premises → top managers place constraints on decisions made at lower levels by specifying a decision frame of reference and guidelines

Network Centrality

Being centrally located in the organization and having access to information and people who are critical for the company's success

Employees have more power when their jobs are related to current areas of concern or opportunity

Influence Mapping

a tool that allows individuals to determine who are the actual stakeholders in an organization. Plots the relationship between influencers.

Three components to map out in an influence map:

1. The importance/weight of an individual's overall influence

2. The relationship between individuals

3. The amount of influence they have over others

Stakeholders can be classified into four criteria:

1. High power, highly interested people - need to be managed closely

2. High power, less interested people - need to be kept satisfied

3. Low power, highly interested people - need to be kept informed

4. Low power, less interested people - need to be monitored

Elements to give employees empowerment:

1. Employees receive information about company performance

2. Employees have knowledge and skills to contribute to company goals - training is used

3.Employees have the power to make substantive decisions

Horizontal power

pertains to relationships across departments or divisions. Not defined by the formal hierarchy of the organizational chart

Strategic contingencies

events and activities inside and outside an organization that are essential for attaining organizational goals

Departments involved with strategic contingencies tend to have greater power

Five Strategic Contingencies that influence horizontal power among departments:

1. Dependency

2. Financial resources

3. Centrality

4. Nonsubstitutability

5. Coping with uncertainty

Centrality

A department whose role is the primary activity of the organization

Measure of centrality is the extent to which the work of the department affects the final output of the organization

Nonsubstatutability

Means a department's function cannot be performed by other readily available resources

Coping with Uncertainty

A source of power for departments that reduce uncertainty for other departments

Can gain prestige and power

Departments can cope with critical uncertainties by:

1. Obtaining prior information - decrease an uncertainty by forecasting and event

2. Prevention - predict and forestalling negative events

3. Absorption - department takes action after an event to reduce negative consequences

Politics

the use of power to influence decisions in order to achieve those outcomes

The process of bargaining and negotiation that is used to overcome conflicts and differences of opinion

Similar to coalition-building decision processes

Two ways to define politics

Self-serving behaviour

A natural organizational decision process

Organizational politics

activities to acquire, develop, and use power and other resources to obtain the outcome when there is uncertainty or disagreement about choices

Political activities are most visible when

Managers confront nonprogrammed decisions and is related to the Carnegie model of decision making

Three domains of political activity:

1. Structural change

2. Management succession

3. Resource allocation

tactics for increasing the power base

1. enter areas of high uncertainty

2. create dependencies

3. provide scarce resources

4. satisfy strategic contingencies

Political tactics for using power

1. build coalitions and expand networks

2. assign loyal people to key positions

3. control decision premises

4. enhance legitimacy and expertise. make a direct appeal