Leadership and Negotiation Notes

Leadership: Negotiating Power

What is Leadership?

• Leadership is the ability to influence/guide a group towards a set of goals.
  • Example: A naturally charismatic and confident person may emerge as a group leader during a class project, even without formal authority.

Trait Theories of Leadership:

1. Extraversion
2. Conscientiousness
3. Emotional Intelligence

Behavioral Theories

• Leadership can be learned through observable behaviors.

1. Initiating Structure
   • Focus on Task Completion
   • Example: Assigning Roles
2. Consideration
   • Focus on Relationships and Trust
   • Example: Checking in on Team Wellbeing
   • Example: A manager who checks in on employees’ emotional state while also setting clear goals.

Contingency Theories

• Effective leadership depends on the situation.

1. Fiedler Model
   • Match leadership style with the situation favorability.
   • Task-oriented leaders do better in very favorable or very unfavorable situations.
2. Path-Goal Theory
   • Leaders help followers achieve goals by clarifying paths and removing obstacles.
   • Example: A leader gives hands-on support to a confused team member but steps back when the team is confident.

Transformational vs. Transactional Leadership

1. Transactional
   • Focuses on structure, tasks, and rewards.
2. Transformational
   • Inspires followers to exceed expectations, driving innovations and change.
   • Example: Steve Jobs was a transformational leader who inspired innovations and creativity, while a factory supervisor using quotas is transactional.

What is Power?

• Power is the capacity to influence others and control resources in an organizational setting.

Key Characteristics:

1. Relational
   • Power exists through interactions between people, not just in isolation.
   • Example: A manager only has power if employees acknowledge and respond to it.
2. Situational
   • Power can change depending on the context or environment.
   • Example: A team leader may have more influence during a project they’re experienced in, but less in areas outside their expertise.
3. Neutral in Morality
   • Power is neither inherently good nor bad–it depends on how it’s used.
   • Example: Using power to mentor vs. using power to intimidate.

Leader Influence: A Research Review of French & Raven’s Power Dynamics

Types of Power (Based on French & Raven’s Bases):

• Legitimate Power

  • Comes from a formal role or position (CEO, Manager, Supervisor).
  • Increases Employee Effort

• Reward Power

  • Ability to provide benefits or rewards (Giving Bonuses, Raises, Recognition).
  • Relies on Structural Hierarchy

• Coercive Power

  • Ability to punish or enforce consequences (Firing, Demoting, Assigning Tough Tasks).
  • Encourages desired behaviors and builds morale.

• Expert Power

  • Stems from specialized knowledge or skills (IT Specialist, Data Analyst, Engineer).
  • Increases Employee Effort

• Referent Power

  • Based on charisma, respect, or admiration (Inspirational Leaders)
  • Associated with Negative Emotions and Poor Performance

• Informal Power does not require formal authority.

• Formal Power is derived from an official position in a hierarchy.

Influence Tactics:

1. Rational Persuasion
   • Using logic, facts, and data to convince someone.
   • Example: Sales increased by 20% after implementing this strategy.
2. Inspirational Appeals
   • Connecting with values, ideals, or emotions.
   • Example: This Project will make a real impact on the community.
3. Consultation
   • Involving others in the decision-making process.
   • Example: Asking team members for input on timelines.
4. Ingratiation
   • Using compliments or friendliness to win favor.
   • Example: You always bring great insights–I’d love your thoughts.
5. Personal Appeals
   • Relying on loyalty or friendship.
   • Example: As a friend, can you help me with this favor?
6. Exchange
   • Offering something in return.
   • If you help me with this task, I’ll be happy to assist you with yours.
7. Coalition Tactics
   • Getting support from others to sway someone’s opinion.
   • Example: The whole team agrees this approach works best.
8. Pressure
   • Using demands, threats, or persistent reminders.
   • Example: You must submit this today or face consequences.
9. Legitimacy
   • Citing authority or rules.
   • Example: Company policy requires this form by Friday.

Organizational Politics

• Organizational Politics involves behaviors used to gain and wield power within a workplace.

Political Behavior Includes:

1. Self-Promotion
2. Building Alliances
3. Controlling Information
4. Lobbying for Personal Gain

• Effective leaders must balance navigating political environments while keeping integrity and fairness.

What is Political Skill?

• Political Skill is the ability to understand and influence others to achieve personal or organizational goals.

Traits of Politically Skilled Leaders:

1. Social Astuteness
   • Accurately reading social cues and understanding motives.
   • Example: Sensing when a coworker is frustrated despite their silence.
2. Interpersonal Influence
   • Adjusting tactics to fit the situation or individual.
   • Example: Persuading a data-driven person with statistics and another emotional appeal.
3. Networking Ability
   • Maintaining useful social connections.
   • Example: Staying connected with colleagues across departments.
4. Apparent Sincerity
   • Seeming authentic and trustworthy.
   • Example: A leader who genuinely listens and follows through on promises.

Ethics in Power and Politics

Ethical Power Use:

1. Being Transparent
2. Promoting Fairness
3. Modeling Ethical Behavior

Unethical Power Use:

1. Maniupulation
2. Coercion
3. Deception

Negotiation and Effective Steps in Negotiation

• Negotiation is the process of reaching an agreement between two or more parties who have differing needs, goals, or perspectives.

Types of Negotiation:

1. Distributive Bargaining (Win-Lose)
   • Example: You negotiate the price of a used car. The more the buyer saves, the less the seller earns.
2. Integrative Bargaining (Win-Win)
   • Example: Two coworkers negotiate roles on a joint project by aligning strengths and preferences. They divide the work accordingly based on what they prefer, benefiting both parties.