Power, Politics, and Ethics.

1. Power, Politics, and Ethics.

2. Power • Connotation—good bad. Why?

3. Sept 26 read Enron p585 • Answer questions • What political tactics were used see 578. Explain. • What could be done?

4. Goals • Social power and link to leadership styles and effectiveness. • Power, politics, ethics. • Impression management/career management.

5. 16-5 Social Power • Social Power ability to get things done with human informational, and material resources © 2004 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill

6. 16-7 Five Bases of Power • Reward Power • Coercive Power • Legitimate Power positive and negative • Expert Power • Referent Power © 2004 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill

7. Link to leadership style.

8. Which style are generally most effective. • Good supervisors more likely to use expert and reward power. • Bad supervisors more likely to use coercive power.

9. Question • Why the emphasis on poor performance. • Video Valassis.

10. Delegation/empowerment • Barriers to it: • Low trust • Little job definition • Punishment for taking risks (not doing things right). • Little control • (substitutes for leadership).

11. Book offers little on Doing it right • Information sharing. • Expect performance problems and work through them. • Hire self-motivated individuals. • Often rely on teams (peer pressure) • Using the right incentives.

12. 16-20 Impression Management • Impression Managementgetting others to see us in a certain manner © 2004 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill

13. 16-3 Generic Influence Tactics • Rational persuasion (blow your horn) • Inspirational appeals • Consultation (participation) • Ingratiation (acting like others) • Personal appeals • Exchange (quid pro quo) • Coalition tactics • Pressure • Legitimizing tactics . McGraw-Hill

14. Darker Side of Power

15. 16-15 Organizational Politics • Organizational Politicsintentional enhancement of self-interest © 2004 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill

16. Lots of examples • Major issues is appointments to boards of directors and corporate governance. • Agency theory vs Stewardship theory.

17. Video Wall Street Takeover of Airline firm.

18. Fissures in Organizations • Two opposing views– especially in change efforts. Old way is good, new way is better. Classic story of successful change with Pet foods.

19. Resistance to change is politics.

20. 16-18 Table 16-2 Political Tactics • Attacking or blaming others • Using information as a political tool • Creating a favorable image (impression management) • Developing a base of support • Praising others (ingratiation) • Forming political coalitions with strong allies • Associating with influential people • Creating obligations (reciprocity) McGraw-Hill

21. 16-19 Table 16-3 Characteristics Naïve Sensible Sharks Underlying attitude Politics is unpleasant Politics is necessary Politics is an opportunity Intent Avoid it at all costs Further departmental goals Self-serving and predatory Techniques Tell it like it is Network; expand connections; use system to give and receive favors Manipulate; use fraud and deceit when necessary Favorite tactics None—the truth will win out Negotiate, bargain Bully; misuse information, cultivate and use “friends” and other contacts Are You Politically Naïve, Sensible, or a Political Shark? McGraw-Hill

22. Summary • Power required as a leader, but power has a dark side. • How will you manage power. • How will you manage power influencing? • Last Video AA video