Saturday, September 30, 2006

Organizational behavior Chapter 13

Power -- the ability of one person or group to cause another person or group to do something that they otherwise might not have done

Organizational politics -- activities in which managers engage to increase their power and to pursue goals that favor their individual and group interests

political decision-making -- decision-making characterized by active disagreement over which organizational goals to pursue and how to pursue them

coalition -- a group of managers who have similar interests and join forces to achieve their goals

formal individual power -- power that originates from a person's position in organization

legitimate power -- the power to control and use organizational resources to accomplish organizational goals

reward power -- the power to give pay raises, promotions, praise, interesting projects, and other rewards to subordinates

coercive power -- the power to give or withhold punishment

information power -- the power that stems from access to and control over information

informal individual power -- power that stems from personal characteristics such as personality, skills, and capabilities

expert power -- informal power that stems from superior ability or expertise

referent power -- informal power that stems from being liked, admired, and respected

charismatic power -- an intense form of referent power that stems from an individual's personality or physical or other abilities, which induce others to believe in and follow that person

organizational conflict -- the struggle that arises when the goal directed behavior of one person or group blocks the goal directed behavior of another person or group

third-party negotiator -- an outsider skilled in handling are getting in negotiations

mediator -- a neutral third party who tries to help parties in conflict reconcile their differences

arbiter -- a third party who has the authority to impose a solution to a dispute

Summary

Understanding and managing power, politics, conflict, and negotiation is an integral part of a manager's job. Organizations are composed of people who come together to achieve their common goals. When resources are scarce, people and groups have to compete for them, and some achieve their goals while others do not. In an organization managers have the primary responsibility to ensure that competition for resources is free and fair and that people who obtain power over resources do so because they possess skills and abilities that will, in the long run, benefit all members of the organization. Managers also have the responsibility to manage conflicts as they arise to ensure the long-term success of the organization and to maintain a balance of power to ensure that politics in conflict benefit rather than harm the organization.

Power is the ability of one person or group to cause another person or group to do something they otherwise might not have done. Managers engage in political activities to increase their power and to pursue goals that favor their individual and group interests. Power and politics can benefit or harm an organization.

Sources of formal individual power include legitimate power, reward power, coercive power, and information power. Sources up informal individual power include expert power, referent power, and charismatic power.

Sources of functional and divisional power include the ability to control on certain contingencies, you replace ability, centrality, and the ability to control and generate resources.

Managers can use many kinds of political tactics to increase their individual power. These tactics include making oneself irreplaceable and central, controlling contingencies and resources, recognizing who has power, controlling the agenda, bringing in an outside expert, and building coalitions and alliances. Managing politics to obtain positive effects requires a balance of power in organization and a strong CEO who has the ability to keep powerful people and groups in check.

Conflict is the struggle that arises when the goal directed behavior of one person or group blocks the goal directed behavior of another person or group. Whether conflict benefits or harms an organization depends on how it is managed.

The three main sources of conflict are differentiation, task relationships, and scarcity of resources. When conflict occurs, it typically moves through a series of stages. In Pondy's model of conflict, these stages are lantent conflict, perceived conflict, felt conflict, manifest conflict, and the conflict aftermath.

Negotiation and bargaining is an important means of managing and resolving conflict at both the individual and group level. The ability to negotiate an agreement is an important skill and manager needs to cultivate.