Managing People
Wednesday, 27 March 2013 3:55 PM

Week 5: Power and Influence
1. Power
○ A function of:  The person □ Characteristics, behaviour  The environment / situation □ Organisational culture □ Expectations □ Structural position (authority) □ Interrelationships

2. Influence
○ Outcomes of influence attempts:  Commitment ‐ most successful  Compliance ‐ willing to do with minimal effort  Resistance ‐ make excuse / persuade / ask higher authorities to overrule / delay acting / refuse ○ Influence Processes  Instrumental compliance ‐ purpose of obtaining tangible reward / avoiding punishment ‐ minimum effort  Internalisation ‐ committed to support and implement proposals based on alliance of agent's value, beliefs and self image. Target's loyalty is to the ideas themselves, not to the agent who communicates them  Personal identification ‐ it involves the target person's needs for acceptance and esteem ○ Types of power  Position power □ Legitimate power  Formal authority over work activities ‐ implicit mutual understanding rather than format contract  Compliance factors: ◊ loyalty to company ◊ show respect for the law ◊ perception of agent's leadership position ◊ Leader's scope of authority ‐ request consistent with basic values, principles and organisation traditions  To express doubt / appear confused risks the loss of influence over subordinates  If leader doesn't follow up initial request to check on compliance, subordinate is likely to conclude the request may be ignored  Guidelines: ◊ Make polite, clear requests ◊ Explain the reason for a request ◊ Don't exceed scope of authority ◊ Verify authority if necessary ◊ Follow proper channels ◊ Follow up to verify compliance ◊ Insist on compliance if appropriate □ Reward power  Depending on manager's actual control over resources and rewards, but also on target person's perception that the agent has the capacity and willingness to follow through on promises  Its essential to determine what rewards are valued by the people one wants to influence  More likely to result in compliance rather than commitment  Guidelines: ◊ Offer the type of rewards that people desire ◊ Offer rewards that are fair and ethical ◊ Don't promise more than you can deliver ◊ Explain the criteria for giving rewards and keep it simple ◊ Provide rewards as promised if requirements are met ◊ Use rewards symbolically ‐ recognise accomplishment and express personal appreciation □ Coercive power  Based on authority over punishment ‐ decline in use of by all types of leaders  Result in compliance  Guidelines: i) Explain rules, requirements ii) Respond to infractions promptly and consistently iii) Investigate facts before jumping to conclusions iv) Except serious infractions, provide sufficient oral and written warnings in private v) Stay calm vi) Express sincere desire to help the person comply with role expectations vii) Invite the person to suggest ways to correct the problem □ Information power  Upward influence ‐ subordinates have exclusive access to information needed by superiors, which can influence a superior's decision □ Ecological power  Control over physical environment, technology, modify subordinates job's description or formal structure  Personal power □ Referent power  Desire of others to please an agent reward whom they have strong feelings of affection, admiration and loyalty  Maximised when: ◊ People who are friendly, attractive, charming and trustworthy ◊ Showing concern for the needs and feelings of others ◊ Demonstrating trust and respect ◊ Treating people fairly

Managing People Page 1

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 When requests are extreme and made too frequently, target person may feel exploited and reducing the agent's referent power  Guidelines: ◊ Show acceptance and positive regard ◊ Act supportive and helpful ◊ Use sincere forms of ingratiation ◊ Defend and back up people when appropriate ◊ Make self‐sacrifices o show concern ◊ Keep promises □