Power and Leadership 1 Key Objectives Define power and its key role in leadership Discuss typical reactions to power Identify the individual and organizational sources of power available to leaders and describe their consequences for followers and organizations Explain the sources of power corruption and present ways to prevent its occurrence Discuss empowerment and the individual and organizational factors needed to achieve it. 2 Definitions Power: the ability of one person to influence others and exercise control over them Influence: the power to affect the course of an action Authority: power vested in position 3 Reactions to Power Commitment: occurs when followers welcome the influence process and accept it as reasonable and legitimate Compliance: followers accept the influence process and go along with the request, but are not committed to carrying it out. Resistance: followers do not agree with the attempt at influence and either actively or passively resist it. 4 Individual Sources of Power Legitimate power: based on a person holding a formal position; others comply because they accept the legitimacy of the position of the power holder. Reward power: based on a person’s access to rewards. Compliance based on desire for rewards. Coercive power: based on ability to punish. Compliance based on fear of punishment. Expert power: based on a person’s expertise, competency and information in a certain area. Others comply because they believe in the power holder’s knowledge and competence. Referent power: based on person’s attractiveness to and friendship with others. Other’s comply because they respect and like the power holder. 5 Individual Sources of Power Position powers Legitimate, Reward and Coercive power are Position powersaccess to power depends upon person’s position Depend upon the organization; Once a person’s title, or access to rewards or punishment is removed, the leaders relying on these sources loses power. Person-based powers Expert and Referent power are based on the person, not the organization 6 Reactions to Power Coercive Power Resistance Reward Power Legitimate Power Compliance Expert Power Referent Power Commitment 7 Using Power: Influence Tactics and Consequences Rational Persuasion: Use logical arguments and factual evidence Commitment likely when target is somewhat in agreement Compliance likely Resistance possible when other doesn’t share objectives Inspirational Appeals: •Make an emotional or value-based appeal. •Arouse strong emotions and link request to person’s need or values in hopes that enthusiasm and commitment results. •Can appeal to person’s ideals; e.g., loyalty, patriotism, justice •Can be brief explanation (“Do it for your country”) to an inspirational speech (“I have a dream”). •Dr Martin Luther King Jr I Have Dream Speech •Effectiveness can be enhanced by using vivid imagery and metaphors, manipulating symbols, using gestures. 8 Consultation • Commitment is increased by asking others for their input into decisions. •Paradox Ingratiation • Do something that makes someone feel better about you. • Includes giving compliments, do unsolicited favors, act respectful, act friendly prior to making request without appearing manipulative. • Commitment can result if used correctly. • Compliance likely. • Resistance unlikely. • Catch: Personal Appeal • Ask someone to do a favor based on friendship or loyalty. • Person must like you or feel loyal to you. 9 Exchange • Use explicit or implicit offer to reward person for doing request. • Commitment unlikely. • Compliance likely (need to offer something desirable and be able to provide that) • Incentives include tangible rewards (raise, bonus, trip), scarce resources, information, help with another task, career or political support. Coalition Building • Get others to work with you to influence the target. • Can be direct or indirect. • Commitment unlikely. Compliance likely. Resistance possible. 10 Legitimate Tactics • Attempt is made to establish the authority •Student Handbook • Commitment is unlikely. • Compliance likely if request is viewed as legitimate and proper, or routine request. • Resistance likely if request is unusual, exceeds authority, or when target does not know your authority. • Types Pressure • Use threats, warning, and assertive behavior to get compliance with request. • May work for lazy or apathetic people. • Includes such behaviors as constant checking, “do this or else” or “if you don’t do this…” • Commitment is unlikely. • Resistance may occur if tactic is used too often, especially with the hard tactics of threats and warning. They may result in bad side effects: resentment, undermining behavior. 11 Organizational Sources of Power These sources of power can be used by individuals, but are especially important for teams Coping with uncertainty- power based on the ability to reduce uncertainty for others; (e.g., obtaining needed info, forecasting, having alternatives for dealing with change) Centrality- power based on being central to how the organization achieves its mission and goals (e.g., being close to the client, or close to the CEO) Dependency- power based on others depending on power holder to get their work done (e.g., team provides info and resources) Substitutability- power based on providing a unique and irreplaceable service or product to others 12 Corruption: The Dark Side of Power One of the consequences of power is the increased distance b/w leaders and followers, which can lead leaders to become uninformed, unrealistic, and engage in unethical decision making Power abusers more concerned with maintaining power than with developing followers and achieving organizational goals We will consider causes, consequences and solutions to abuse of power 13 Causes of Power Corruption: Leaders Characteristics Often intelligent, but inflated view of self; arrogant and controlling, power hungry, rigid and inflexible Work well with supervisors and impress them, but uncaring and vicious with subordinates Sense of entitlement (believes they deserve special treatment Willingness to exploit others Lack of empathy Overly concerned with power 14 Causes of Power Corruption: Organizational Characteristics Organizational culture Hiring practices based on personal relationships Short-term orientation Centralized structure High uncertainly and chaos 15 Corruption: Corruption Cycle (Processes) Leader characteristics and org’l factors lead to follower compliance Comply b/c of personal commitment, truly respect leader’s expertise, or fear of retribution or desire to obtain rewards and resources Compliance signals leader that action are OK, which reinforces inflated view of themselves 16 Corruption Cycle Causes Leader Characteristics Organizational Factors Processes • Compliance • Distance from others • Inflated view of self • Follower submission • Follower dependence 17 Consequences • Poor decisions • Coercion • Devaluation of others • Ethical and legal violations Corruption: Consequences Poor decisions Increased distance results in poor decision making because they lack relevant information Employees filter info, avoid giving bad news, hide mistakes, providing overly rosy picture Devaluation of Others B/c of compliance, leaders may see followers as dependent and incapable of autonomous behavior and decisions; rely less on persuasion, more on coercion Becomes self-fulfilling prophesy Ethical and Legal Violations Come to believe regular rules just don’t apply to 18 them Solutions to Corruption Make leaders accountable Maintain checks and balances Encourage open and broad communication and feedback Involve leaders in day-to-day activities Reduce followers’ dependency on leader Use objective measures of performance Involve outsiders in decision making 19 Change the organizational culture Empowerment Sharing power with subordinates Pushing decision making and implementation power to the lowest possible level Increase the power and autonomy of all people in the organization Power sharing Gives employees control and a sense of accomplishment 20 Empowerment: Leadership Factors Create a positive emotional atmosphere that encourages followers to share ideas, participate in decision making and take risks Set high performance standards Encourage initiative and responsibility Reward openly and personally Practice equity and collaboration Express appropriate confidence in 21 subordinates Empowerment: Organizational Factors Decentralize structure and decision making Select and train leaders appropriately Select and train employees appropriately Remove bureaucratic constraints Reward empowering behaviors Create fair and open organization 22 policies