Managing a Business/MS-21
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1) Briefly discuss the importance of Values, Work ethics and Corporate governance in the present day context of organisations. Give Examples.
2) Briefly discuss the dynamics of power and the political perspective of Organistions.
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Briefly discuss the dynamics of power and the political perspective of organisations.
POWER IN MANAGEMENT
-is the ability or capacity to perform or act effectively. A specific capacity, faculty, or aptitude. Often used in the plural:
-her powers of concentration.
-Strength or force exerted or capable of being exerted; might.
-The ability or official capacity to exercise control; authority.
AUTHORITY IN MANAGEMENT
-is the power or right to give orders or make decisions; "he has the authority to issue warrants"; (usually plural) persons who exercise (administrative) control over others; an expert whose views are taken as definitive; "he is an authority on corporate law"
IN MANAGEMENT PRACTICES,
Management is the process of getting activities completed efficiently and effectively with and through other people.
using the Management functions of :
ROUTINE MANAGERIAL DUTIES
*Analyze, on a periodic basis, workload and personnel needs of an organizational unit.
*Recommend changes in the staff level of the work unit.
*Review documentation for new positions and positions that have been revised.
*Obtain approval to modify positions.
*Interview candidates for employment and make hiring decision or recommendations.
*Orient new subordinates concerning policy and procedures, work rules, and performance expectation
levels. Review position responsibilities.
*Plan, delegate, communicate and control work assignments and special projects concerning
*Establish and maintain specific work goals and objectives or quantitative and qualitative work standards
to be achieved by subordinates.
*Train, develop, and motivate subordinates to improve current performance and to prepare for higher level
*Determine significant changes in responsibilities and major duties of subordinates by reviewing their job
responsibilities on a regular basis.
*Evaluate the performance of subordinates. Document and discuss present and past
*performance with each direct report. Keep supervisor informed of results.
*Review salaries of subordinates and recommend changes according to policy and procedures.
*Recommend personnel actions such as promotions, performance awards, demotions, etc., according
to budget guidance and policy.
*Advise superiors and subordinates of developments that impact job duties. Ensure proper
*Maintain discipline, recommend and administer corrective action according to policy and procedures.
*Communicate and administer personnel programs in accordance with design and objectives.
*Maintain proper documentation on all subordinates.
*Direct the business activities of the company for the achievement of short and long term business/policy objectives, increased profit, production activity, or market share.
*Establish the business's objectives, policies and programmes within the context of the overall Corporate plan and, where appropriate, recommend standards and set targets (may include manufacturing, sales, marketing, distribution and administration).
*Prepare, or arrange for the preparation of the business's budgets, reports and forecasts, and ensure they are presented in a timely manner to the MANAGEMENT.
*Appraise the activities of the BUSINESS according to overall strategies and objectives, and monitor and evaluate branch and division performance, the efficiency of staff, procedures and production costs.
*Co ordinate subordinate staff to optimise the use of human and material resources to achieve goals. Consult with subordinate staff and review recommendations and reports.
*Oversee the development and implementation of all BUSINESS activities including production, distribution and sales, to protect the funds invested.
*Plan and review the BUSINESS operating costs particularly with regard to production, output, quality and quantity, cost, time available, labour requirements, planned production programmes and control activities, inventory levels, freight and advertising.
*Direct the preparation of marketing plans, key customer strategies and sales forecasts recommended by subordinate managers and ensure adequate support is provided in all branches/areas.
*Control use of production plant facilities by planning maintenance, designating operating hours and supply of parts and tools.
*Direct research into new and improved production methods and products, changes in selling policies, and other areas necessary to ensure the continued growth of the business.
*Select, or approve the selection and training of senior staff. Establish lines of control and delegate responsibilities to staff.
*Provide overall direction and management of the business, including personnel, technological resources and assets. Maintain necessary contact with major suppliers, customers, industry associations and government representatives to achieve the objectives of the business.
*Ensure all the business's activities comply with relevant Acts, legal demands and ethical standards.
The three parts are:
• achieving the task
• managing the team or group
• managing individuals
***Your responsibilities as a manager for achieving the TASK are:
• identify aims and vision for the group, purpose, and direction - define the activity (the task)
• identify resources, people, processes, systems and tools (inc. financials, communications, IT)
• create the plan to achieve the task - deliverables, measures, timescales, strategy and tactics
• establish responsibilities, objectives, accountabilities and measures, by agreement and delegation
• set standards, quality, time and reporting parameters
• control and maintain activities against parameters
• monitor and maintain overall performance against plan
• report on progress towards the group's aim
• review, re-assess, adjust plan, methods and targets as necessary
***Your responsibilities as a manager for theGroup / team are:
• establish, agree and communicate standards of performance and behaviour
• establish style, culture, approach of the group - soft skill elements
• monitor and maintain discipline, ethics, integrity and focus on objectives
• anticipate and resolve group conflict, struggles or disagreements
• assess and change as necessary the balance and composition of the group
• develop team-working, cooperation, morale and team-spirit
• develop the collective maturity and capability of the group - progressively increase group freedom and authority
• encourage the team towards objectives and aims - motivate the group and provide a collective sense of purpose
• identify, develop and agree team- and project-leadership roles within group
• enable, facilitate and ensure effective internal and external group communications
• identify and meet group training needs
• give feedback to the group on overall progress; consult with, and seek feedback and input from the group
***Your responsibilities as a manager for each INDIVIDUAL are:
• understand the team members as individuals - personality, skills, strengths, needs, aims and fears
• assist and support individuals - plans, problems, challenges, highs and lows
• identify and agree appropriate individual responsibilities and objectives
• give recognition and praise to individuals - acknowledge effort and good work
where appropriate reward individuals with extra responsibility, advancement and status :
IN ACHIEVING THE RESULTS, THE MANAGEMENT
PERSON CAN USE BOTH POWER AND AUTHORITY.
BUT IN REAL LIFE, THE MANAGER TEND TO LEAN
TOWARDS ONE OF THE TWO--AUTHORITY OR POWER.
THE VEHICLE FOR BOTH IS ''INFLUENCE''.
HOW DO YOU INFLUENCE THE PEOPLE
TO ACHIEVE THE RESULTS.
Leadership is the total effect you have on the people and events around you. This effect is your influence. Effectiv leading is being consciously responsible for your
AUTHORITY / POWER AND INFLUENCE
Managers/Supervisors can accomplish results in one or two
1. Authority -the right or power to command thought,
opinion or behaviour
2.Influence the power to produce results without the
direct use of force or command
Most of you trust your influence less than your authority.
Even though you know you have the right to tell people how to
behave on the job, you often lack the ability to elicit that
behaviour, and as a result, feel you have too little real
influence and control.
Managing by authority implies direct controlling and
maneuvering towards a desired result.
Managing by influence, on the other hand, means the ability to
produce results by indirect or intangible means to sway.
SIX STEPS TO EXPANDING YOUR INFLUENCE
Leadership is the total effect you have on the people and events
around you. This effect is your influence. Effective leading is
being consciously responsible for your organisational influence.
The steps to expanding your influence involve an understanding of
the separation between authority and influence, followed by an
examination of your present leadership impact.
Step 1: Compare Your Influence to Your Authority
To have the ability to manage by influence, you must distinguish
between the effect of your authority and the effect of your
influence. When you find that your influence is less than your
authority and responsiblity, you're in trouble. Your organisation
has escaped from your control.
This may explain the Peter Principle, which says you rise to your
level of incompetence. Because most managers advance on the basis
of their personal strength and technical abilities, they can manage
a small group by hands on management, and still reamin techncally
strong. Their personal supervision is enough to keep the group
under control. As they succeed and get promoted, they reach a point
where they can't personally oversee all the work of the larger
Now they need to rely on management skills. Yet, in many cases,
these business strengths have not been fully developed and there's
no time to stop and build them. So these managers forge ahead
with their organizations slightly out of control.
These managers have authority and responsibility, but not enough
influence. Often, they just try to exert more authority. If you've
done this, you know it simply doesn't work beyond a certain point.
You become a juggler, throwing more balls into the air moment by
moment. But the time soon comes when you must can't handle any
more. Then it's t ime to begin managing by influence.
Is your influence as great as your authority and responsibility? To find out, ask yourself these questions.
Do / ever feel things are out of my control? Do / ever think. If / had my way, things would be different around here? Do / ever feel 1just can,t get people to do things the way IV like them to be done?
After all, since you have the authority, everything must be going
the way you want. Right? Probably not. Most managers say, "It's not
all going my way." So you see the gap between
your right to command behaviour and your ability to evoke behaviour.
Step 2: Use Influence Without Authority
Let's take a closer look at authority and influence to find out
what really gets the job done. Managers are often uncertain about
how they get results. Having authority clouds the issue, yet some
might think that enough authority can get the job done regardless
Consider the salesperson. He or she produces results without any
authority. After all, how much authority does the salesman have
over his prospect? None no right or power to command behaviour.
If he did have authority, he would just call prospects and command,
"Order 30 units of our Model 1136 JS!"
So the salesman walks into a prospect's office armed with nothing
more than influence. How much influence does a salesman have over
the prospect? A lot. In fact, if he's a good salesman,
he assumes he has 100% influence. What would you call
him if he assumed he had no influence? A clerk a cashier.
A good salesman assumes he has 100% influence as he meets with
a prospect. But suppose he doesn't make the sale. How much
influence did he have? You might say "none" or "not enough". When
he goes into the next prospect's office, how much
influence does a good salesman assume he has? Again, 100 percent!
Why? Because, since he has no authority, he's forced to rely once
more on his influence. It wouldn't make any sense for him to assume
he has no influence. If he did that, he might as well stay home.
Managers, on the other hand, do have authority and often attempt to
manage using only their authority. In fact, some managers act as if
they have no influence, just authority. They go out and wield only
their authority. And if a little doesn't work, they try wielding
Do you sometimes act as if you had no influence, only authority? Ask yourself¬
Do / ever wonder why an employee hasn't done what / asked? I've already told the employee
three times to do it!
If I get the sense that one of my people will not carry out an assignment the way / want it done,
do / everjust talk more loudly and firmly? Do / ever give assignments and thenjust let the
chips fall where they may, while / sit back and hope for the best?
When you think you need to fall back on your authority to
accomplish something, remember: the salesperson performs his or her
entire task using influence alone.
Step 3: Recognise that your Influence can undermine your
A company, call it Shoe World of Sydney, hired a new manager for
one store thereby giving him authority to manage the store. Robyn
Williams, the firm's General Manager, found that every time the new
manager, Peter, had a problem, he would call her. She would solve
the problem, and he would carry out her solution perfectly. The
only catch: he wasn't solving problems without her.
Soon, Robyn realized whe had an extra drain on her Peter and his
problems. She started to think she had made a mistake in hiring
Peter and considered replacing him. If he couldn't do the job she
had given him, he was no help to her. She was going to tell him
about her unhappiness, but after some thought, decided to try a
On Peter's next call about a problem, Robyn asked how he would solve
it. He advised an answer that she thought would work, and she told
him to go ahead with it. Robyn was delighted. The next time he
called, she did the same thing, and it worked again. After two more
weeks of this, Peter stopped calling on her to solve problems.
Robyn gained respect for Peter and several months later she asked
him why he was calling her so much at first. He told her, "On my
first day, you told me, 'Anytime you have a problem, call me.' I
did, and you seemed very happy to solve the problem. I called again
and you acted pleased about being directly involved, so I kept on
working with you that way. I thought that's what you wanted. I was
going to suggest that I make more decisions, but I wanted to wait a
few months till I felt more secure. Then you started to trust me,
and I didn't need to mention it to you."
Robyn Williams saw how careful she had to be about little things
she said that could influence people and cause trouble. She began
considering the possibility that everything she does has an impact.
She started finding little things to do to cause success.
Step 4: Enhance the Influence you Already have
You normally use 20% or less of your brain. To be smarter, you
don't need a brain transplant. You just need to use more of what
In the same manner. You just need to learn how to use more of what
you already have. You need to use more of your born leadership.
At first, realizing that you use so little of your influence may
sound like bad news, but there's good news in it also. If you can
increase the use of your influence from the present 20% up to 22%,
that's an increase of 2/20ths or 10%. Wouldn't it be wonderful to
increase your effectiveness by 10%? Especially if you're already
doing a good job.
Ten percent more influence would make a big difference for most
managers. It would provide an opportunity to achieve results that
they've given up on as impossible.
Step 5: Identify Leadership Opportunties
What are the implications of greater influence on your part? Let's
consider this by discussing different approaches to opening a
locked door. If a door were locked and you were told to open it,
but you had no key, how would you do it?
You might use a cannon and blow it open. If you did, you'd be able
to say, "I got the job done?" But there are some undesirable side
effects: ruined door, damaged ceiling, no more door jam, lots of
If, however, you had the key, would you choose the cannon? Of
course not! You only use harsh means when a lighter, gentler way
The same holds true for your leadership and influence. Sometimes
you're faced with job situations that seem to require a cannon
because you haven't found the key. But knowing the cost of the
cannon employee turmoil and distrust, permanent scars and broken
relationships, possibly the resignation of an employee you leave
the door closed and proceed, even though slightly handicapped by
the loss of the room beyond the door. You're satisfied that the
cost of the harsh, authoritative action would be greater than the
As you reclaim more of your influence, you'll discover more keys.
You'll be able to gently open doors that you felt were closed
forever. The key is influence.
Step 6: Confront Your Influence
When you use 20% of your brain, the 80% you are not using doesn't
affect you. Influence is different. You use 20% of your influence
consciously. But with influence, the 80% you are not consciously
using, you are unconsciously using!
When you are the boss, you are never without influence:
YOU CAN NEVER NOT LEAD
Everything you do, and everything you don'tdo, has an effect.
You lead by acts of commission, and you lead by acts of omission. You
are always leading and influencing.
Leadership is the total effect you have on the people and events
around you, regardless of your authority. In this light, leadership
is influence. It differs radically from hands on managment or
You influence all of your people all the time. But this should come
as no great surprise. Managers need to be particularly aware of
this fact. Indeed, many things may occur at your company that you
would like to think happen in spite of you, not because of you.
So, even though you have 100% authority, not everything happens the
way you want it to. Does this mean there is a gap between your
authority and your influence? No and yes. No: you have 100%
influence, and you can never not lead, so a gap never appears. Yes:
you use only 20% of your influence consciously, so a gap does
separate your authority and the amount of conscious influence you
The sum of your influence conscious and unconscious totals
100%. It is so pervasive that you seldom stop to take account of
it. Perhaps you've been so busy seeing what you think are signs of
your lack of influence that you've lost sight of the proof of your
influence. To gain a new objectivity, it's time to think quietly
about your life as a leader.
You gain extraordinary power when you take conscious responsibility
for the fact that you are always Managing By Influence.
Take a moment to look at your own situation. Ask yourself¬
After Ive delegated authority, do / often feel that I've lost control over the work? While /
understand in principle that the small things / do may have a big effect, am / uncertain how
this works in specific cases? ff a situation can"t be resolved without heavy use of authorily~
do / everjust let it go and tolerate it?
WHEN YOU ARE IN CONTROL
People usually perceive Harry Truman's famous quote, "The buck
stops here," as more of a burden than a blessing. You can
think of it as bad news: "No matter what happens, I get the
final responsibility, even if it was out of my control." In
reality, that "bad news" can lead to "good news".
You really are 100% influential and responsible in control.
You can never not lead, and therefore, the buck does stop with
you.Settle on the full meaning of ,The buck stops here", and you
win A prize. Good news:The buck not only stops here, the
buck starts here, too. You can make it come out any way you
want for the good of your organization you are in control!
HOW TO USE LEVERAGE WHEN MANAGING BY INFLUENCE
A lever is a total that helps you to gain the ability to move
a heavy load.
Managing by authority, with hands on and direct supervision,
provides this type of leverage. But you have to move your end
a long way to achieve a small movement at the other end.
Managing By Influence employs a more powerful type of
leverage. When you discover your full influence, you find out
how to accomplish big results through little movements on your
part, recognizing a power you didn't realize you had. You
learn how the little things you do, or don't do, create big
results, freeing you to get more done in less time. Grab the
short end of the stick and you'll get a lot of work done.
Managing By Influence incorporates three specific levers.
Lever (1) Leading to Change
Lever (2) Managing the Climate
Lever (3) Promoting Commitment
UNDERSTANDING THE ESSENCE OF LEADERSHIP
The essence of leadership is knowing thatYOU CAN
NEVER NOT LEAD. You have 100% influence, all of the
time.You lead by acts of commission and by acts of omission.
All other information about leading takes second place to this.
Until you understand this, and understand your responsibility for
things as they are now and as they have been, you'll never lead with
your full potential. You can't get new control of your organization
until you recognize that it's always been in your control, even if
you were not aware of it. As we explain how to manage by influence,
we'll go into some details and techniques, but it will always come
back to this. If you learn nothing more than this, and come to grips
with it more deeply than you ever have before, you will become a
more effective manager.
USE YOUR INFLUENCE TO INCREASE YOUR IMPACT
Leaders are made, and they are made by effort and hard work. What
type of efort and hard work does it take to make you into a better
leader? It takes an objective look at yourself, perhaps the hardest
work there is in life, but also the most fruitful for growth. Then
it takes the effort to apply appropriate techniques and practice.
You need courage to look at yourself objectively, to see how well
you're accomplishing your mission. In the case of your leadership,
it means taking responsibility for everything that happens in your
As you find the links between yourself and your organization and
discover more influence than you thought you had, you can adjust
your attitudes and behaviour. While these changes may require
effort, most people find that the difficult part is in the
THREE WAYS TO EXPAND YOUR INFLUENCE
Just as the best athletes use replays and coaches, you need to get
more objective about the way you lead your organisation,
determining how you're already leading both the good and the bad.
Corrections may require less effort and hard work than the
evaluation. And some corrections begin without conscious thought,
once recognition is made. Here are three ways to expand your
1. Ask "The Question of Influence"
You can learn how to expand your influence by observing that
pragmatic group of workers, salespeople. A good salesperson assumes
he has 100% influence at the start of every sales interview. If he
misses a sale, he doesn't assume he had too little influence. He
asks himself, "What did I do, (or not do), to make that prospect
Take a tip from the good salesperson and assume you made it happen
(or not happen).
Always ask yourself the Question of Influence, "What did I do (or
not do) to make this happen (or not happen)?"
2. Take a Useful Point of View
Asking yourself the Question of Influence, even when you're
convinced you had no influence in the matter, brings you to the
second way to expand your influence: taking a usefial point of view.
Ask yourself the Question of Influence because
you know the truth: YOU CAN NEVER NOT LEAD. Even
if you don't recognize it at the moment, it's the truth. Discipline
yourself to take this point of view.
People take a point of view by habit. Whatever that point of view
is, it's not something they were born with it's an outlook
acquired by habit.
After you've gained the habit of taking this responsible point of
view, you'll find how useful it is as a key to opening doors that
seemed locked. Even if you can't see how you could possibly have
influenced a matter, ask yourself, "What did I do (or not do) to
make this happen (or not happen)?"
It's useless to assume you had no influence. It means your
organisation is out of your control. It also means you're helpless
to make it work the way you want. Leadership is the total effect you
have on the people and events around you. You can become a more
effective leader by taking conscious responsibility for your
3. Use Those Around You As Your Mirror
Many times you will ask yourself The Question of Influence and
not know the answer. At these times, you can reach for the
third way to expand your influence: using the people around
you as your mirror. Ask those involved or those who can
observe you objectively,"What did I do (or not do) to make
this happen (or not happen)?"
For example, if you've delegated a task and find it undone, you
might ask the person to whom you've delegated it, "Can you tell me
what I did, or didn't do, that caused you to not get the task done?
I'm not asking what you could have done better,
but what / could have done better." As you ask this, you'll be
leading others to imitate your sense of self responsibility by
looking to their own actions, not the actions of others, to
explain success or failure.
Don't pass up this opportunity to learn more about what you do
well. You can grow by realizing your unconscious strengths too, not
just your unconscious weaknesses. On a job well done, you might
acknowledge someone for his or her part in the success and then
ask, "What did I do, or not do, to make it easier for you to
achieve success?" Get all the feedback you can, just as the great
SEVEN TIPS FOR BUILDING YOUR INFLUENCE
1.Learn a lesson from Football Coaches and make every
2.Often ask yourself "Do I need to chancre?"
3.Don't limit yourself by your past.
4.Don't underestimate your leadership ability.
5.You can't delegate your res ponsibility.
6.Learn from accidents and increase your influence.
7.Monitor your influence.
NINE VARIATIONS ON THE QUESTION OF INFLUENCE
The Question of Influence is, Whatdid Ido (or notdo) to make this
happen (ornothappen)? While these particular words ask the question
precisely, you can use any words you prefer which convey the same
meaning. If you have difficulty in any given situation, consider
1.Did I follow through when I used my authority or did I
look the other way, thereby giving a conflicting message?
2.If I were one of my people, how would I feel about me in
this situation? What did they want or need from me?
3.Was I active or passive in this situation? What effect
did my passivity have?
4.How did I really want it to turn out? Did I do whatever
was needed to make that happen? Did I act as if it was a
high priority to me?
5.Did my silence give consent or approval without my
recognizing it? Was that counterproductive?
6.What could I have done differently? What effect would
that have had?
7.Did that success happen by accident? How did I influence
it? What part did I play?
8.Did my actions speak louder than my words?
9.How would I have read my behaviour if I were one of my
How can people be influenced to make commitments to the goals of the organization? In part, this question can be answered by how managers define and use power, influence, and authority. Deciding what type of authority system to create is part of the managerial responsibility of organizing. Compare, for example, two managers. One accepts or rejects all ideas generated at lower levels. The other gives the authority for making some decisions to employees at the level where these decisions will most likely affect those employees. How managers use their power, influence, and authority can determine their effectiveness in meeting the goals of the organization.
Responsibility is the obligation to accomplish the goals related to the position and the organization. Managers, at no matter what level of the organization, typically have the same basic responsibilities when it comes to managing the work force: Direct employees toward objectives, oversee the work effort of employees, deal with immediate problems, and report on the progress of work to their superiors. Managers' primary responsibilities are to examine tasks, problems, or opportunities in relationship to the company's short-and long-range goals. They must be quick to identify areas of potential problems, continually search for solutions, and be alert to new opportunities and ways to take advantage of the best ones. How effectively goals and objectives are accomplished depends on how well the company goals are broken down into jobs and assignments and how well these are identified and communicated throughout the organization.
INFLUENCE AND POWER
Formal job definitions and coordinating strategies are not enough to get the work done. Managers must somehow use influence to encourage workers to action. If they are to succeed, managers must possess the ability to influence organization members. Influence is the ability to bring about change and produce results; people derive influence from interpersonal power and authority. Interpersonal power allows organization members to exert influence over others.
Power stems from a variety of sources: reward power, coercive power, information power, resource power, expert power, referent power, and legitimate power. Reward power exists if managers provide or withhold rewards, such as money or recognition, from those they wish to influence. Coercive power depends on the manager's ability to punish others who do not engage in the desired behavior. A few examples of coercion include reprimands, criticisms, and negative performance appraisals. Power can also result from controlling access to important information about daily operations and future plans. Also, having access to and deciding to limit or share the resources and materials that are critical to accomplishing objectives can provide a manager with a source of power. Managers usually have access to such information and resources and must use discretion over how much or how little is disseminated to employees. Expert power is based on the amount of expertise a person possesses that is valued by others. For example, some people may be considered experts with computers if they are able to use several software programs proficiently and can navigate the Internet with ease. Those who do not have the expert knowledge or experience need the expert's help and, therefore, are willing to be influenced by the expert's power. When people are admired or liked by others, referent power may result because others feel friendly toward them and are more likely to follow their directions and demonstrate loyalty toward them. People are drawn to others for a variety of reasons, including physical or social attractiveness, charisma, or prestige. Such politicians as John F. Kennedy were able to use their referent power to effectively influence others. Legitimate power stems from the belief that a person has the right to influence others by virtue of holding a position of authority, such as the authority of a manager over a subordinate or of a teacher over a student.
In some respects, everyone has powerhe power to either push forward or obstruct the goals of the organization by making decisions, delegating decisions, delaying decisions, rejecting decisions, or supporting decisions. However, the effective use of power does not mean control. Power can be detrimental to the goals of the organization if held by those who use it to enhance their own positions and thereby prevent the advancement of the goals of the organization.
Truly successful managers are able to use power ethically, efficiently, and effectively by sharing it. Power can be used to influence people to do things they might not otherwise do. When that influence encourages people to do things that have no or little relationship to the organization's goals, that power is abused. Abuses of power raise ethical questions. For example, asking a subordinate to submit supposed business-trip expenses for reimbursement for what was actually a family vacation or asking a subordinate to run personal errands is an abuse of power. People who acquire power are ethically obligated to consider the impact their actions will have on others and on the organization.
Employees may desire a greater balance of power or a redistribution of authority within the existing formal authority structure. People can share power in a variety of ways: by providing information, by sharing responsibility, by giving authority, by providing resources, by granting access, by giving reasons, and by extending emotional support. The act of sharing information is powerful. When people don't share information, the need to know still exists; therefore, the blanks are filled in with gossip and innuendo. When people are asked to take on more responsibility, they should be provided with tasks that provide a challenge, not just with more things to increase their workload that don't really matter. People need the legitimate power to make decisions without having to clear everything first with someone higher up in the organization. People who have power must also have the necessary range of resources and tools to succeed. Access to people outside as well as inside the organization should be provided and encouraged. People should be told why an assignment is important and why they were chosen to do it. Emotional support can come in the form of mentoring, appreciation, listening, and possibly helping out.
Sharing power or redistributing authority does not necessarily mean moving people into positions of power; instead, it can mean letting people have power over the work they do, which means that people can exercise personal power without moving into a formal leadership role. The ability to influence organization members is an important resource for effective managers. Relying on the title "boss" is seldom powerful enough to achieve adequate influence.
Authority is seen as the legitimate right of a person to exercise influence or the legitimate right to make decisions, to carry out actions, and to direct others. For example, managers expect to have the authority to assign work, hire employees, or order merchandise and supplies.
As part of their structure, organizations have a formal authority system that depicts the authority relationships between people and their work. Different types of authority are found in this structure: line, staff, and functional authority. Line authority is represented by the chain of command; an individual positioned above another in the hierarchy has the right to make decisions, issue directives, and expect compliance from lower-level employees. Staff authority is advisory authority; it takes the form of counsel, advice, and recommendation. People with staff authority derive their power from their expert knowledge and the legitimacy established in their relationships with line managers. Functional authority allows managers to direct specific processes, practices, or policies affecting people in other departments; functional authority cuts across the hierarchical structure. For example, the human resources department may create policies and procedures related to promoting and hiring employees throughout the entire organization.
Authority can also be viewed as arising from interpersonal relationships rather than a formal hierarchy. Authority is sometimes equated with legitimate power. Authority and power and how these elements are interrelated can explain the elements of managing and their effectiveness. What is critical is how subordinates perceive a manager's legitimacy. Legitimate authority occurs when people use power for good and have acquired power by proper and honest means. When people perceive an attempt at influence as legitimate, they recognize it and willingly comply. Power acquired through improper means, such as lying, withholding information, gossip, or manipulation, is seen as illegitimate. When people perceive the authority of others as illegitimate, they are less likely to willingly comply.
In order for managers to achieve goals in an efficient manner, part of their work may be assigned to others. When work is delegated, tasks and authority are transferred from one position to another within an organization. The key to effective delegation of tasks is the transference of decision-making authority and responsibility from one level of the organization to the level to which the tasks have been delegated. In order to effectively delegate work, some guidelines should be followed: Determine what each worker can most effectively accomplish; decide whether the worker should just identify a problem or also propose a solution; consider whether the person can handle the challenge of the task; be clear in the objectives of the task; encourage questions; explain why the task is important; determine if the person has the appropriate resourcesime, budget, data, or equipmento get the job done on a deadline; create progress reviews as part of the project planning; and be prepared to live with less than perfect results. Authority should be delegated in terms of expected results. Generally, the more specific the goal, the easier it is to determine how much authority someone needs.
Some employees resist delegation for a variety of reasons. Initiative and responsibility involve risk that some people try to avoid. People tend to play it safe if risk results in criticism. Those who feel they already have more work than they can do avoid new assignments. Some people doubt their own abilities and lack the self-confidence to tackle new assignments. Delegation is an excellent professional development tool so long as it expands a worker's expertise and growth. Delegation can also compensate for a manager's weakness. A successful team is developed by building on the strengths of its members.
People develop most when stimulated to broaden themselveshen challenged. More authority can add challenge; too much challenge, however, can frustrate people and cause them to avoid new responsibilities. Delegation should involve acceptable challengenough to motivate but not so much as to frustrate.
In today's workplace, managers are compelled to rely more on persuasion, which is based on expert and referent power rather than reward, coercive, or inappropriate use of power. A manager who shares power and authority will be the one with the greatest ability to influence others to work toward the goals of the organization.
COERCIVE POWER. —Coercive power results from the expectation of a negative reward if your wishes are not obeyed. For example, suppose you have counseled a subordinate twice for minor infractions of regulations. At the third counseling session, you threaten the subordinate with NJP. At the next occurrence of the un- desirable behavior, you place the subordinate on report. Coercive power works, but is not the preferred method of leading subordinates. It works best if used when all else fails and you feel sure you can carry through with a threat. Before giving a threat, you should have some insight as to how the CO will handle the case. You do not want to recommend maximum punishment only to have the CO dismiss the case at mast.
LEGITIMATE POWER. —Legitimate power comes from the authority of your rate and position in the chain of command. You use this power in day-to-day business. Although legitimate power increases with added responsibilities, you can decrease that power if you fail to meet all of your responsibilities. To increase your legitimate power, assume some of the division officer’s responsibilities. At first, the division officer will be glad to have the help. In time, the division officer will view the responsibilities as yours and formally delegate additional authority to you. That would increase your legitimate power without diminishing the power of the division officer. Just as you can increase your legitimate power by assuming more responsibility, you can decrease that power by losing responsibility. For example, if you permit the division officer to assume some of your responsibilities, the division officer will eventually begin to view your responsibilities as his or hers. You will then have less legitimate power. However, when a subordinate wishes to assume some of your responsibilities, formally delegate those responsibilities to the subordinate. That makes the subordinate accountable to you. You then increase the subordinate’s power while retaining your power.
REFERENT POWER. —Referent power derives from your subordinates’ identification or association with you. You have this power by simply being "the chief." People identify with the ideals you stand for. The chief has a pre-established image. You can enhance that image by exhibiting charisma, courage, and charm. An improved image increases your referent power. Always be aware of how others will perceive your actions. A negative image in the eyes of others will lessen your power and render you ineffective. Maintain a positive image!
One of the main reasons we work is for the money we need to conduct our lives. There are many more forms of reward -- in fact anything we find desirable can be a reward, from a million dollar yacht to a pat on the back.
Reward power is thus the ability to give other people what they want, and hence ask them to do things for you in exchange.
Rewards can also be used to punish, such as when they are withheld. The promise is essentially the same: do this and you will get that.
EXPERT POWER. —Expert power comes from your knowledge in a specific area through which you influence others. You have expert power because your subordinates regard you as an expert in your rating. Subordinates may also have this type of power. When you combine expert power with other types of power, you will find it an effective tool in influencing others. However, when you use it by itself, you will find it ineffective