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POWER INFLUENCE AND INFORMATION Raman

POWER INFLUENCE AND INFORMATION

Raman

POWER INFLUENCE AND INFORMATION Raman

THE FIRST PERSPECTIVE ON POWER

One way of viewing power is that it is 'relation among people'. Power is the ability of one person to achieve compliance by others who change how they behave as a result of the power being exerted. It can be seen in systems of those are positioned to dominate where few people have significant power. As such, power is direct, with identification of an issue and a singular response to this. It is, in essence, about making decisions.

In governmental power, this can be seen when the government makes a decision, typically through law-making, that requires obedience by the broader population. Such decisions may be debated openly with opportunity for consultation and challenge along the way. Despite this openness, the focus is still on decision.

This can be seen as an 'open face', where it is clear who is making the decision and why they are making it. As this can be seen, it is more likely to be trusted and consequently obeyed with little question.

THE SECOND PERSPECTIVE ON POWER

The second way of visualising power as an expression of decision making within a complex system. In this situation, power is not just about making decisions, but also about setting the agenda that leads to decisions. In other words, if you can control the context within which decisions are made, then you can influence those decisions. In governmental power, this can be seen in decisions made 'behind closed doors' and in the 'corridors of power', where who is deciding and why is seldom clear. Decisions taken behind close doors and the agenda being driven on a fuzzy fusion of subjective prejudices and facts and apparently being ‘good for you‘. This can lead to problems as other people suspect that there are corrupt elements to the choice, such as those based on political agendas and personal gain.

• INSIDIOUS POWER The third perspective of power is to make people believe that something

INSIDIOUS POWER

The third perspective of power is to make people believe that something is good for them Controlling the overall narrative and securing wilful compliance , that of even more subtle aspect of manipulating the psychology of anyone and everyone affected. Changing or telling what employees must believe and what is good for them and instituting mechanisms and processes that align their behaviour without them even knowing that such a process is in place.

instituting mechanisms and processes that align their behaviour without them even knowing that such a process

POWER IS DENCENTRED

It is subtle

It is represented in deeds as in actions by ways of thinking and talking

Aligning everyone’s actions and words to what the organisation thinks

It is an expression of formal and informal practices that take place within the organisation that no body questions

It happens within and across the organisational hierarchy

take place within the organisation that no body questions • It happens within and across the

MARKETING – MANUFACTURING AREAS OF POTENTIAL GOAL CONFLICT

VS. Goal Conflict Conflict Area MARKETING Operative goal is customer satisfaction Typical Comment MANUFACTURING
VS.
Goal Conflict
Conflict Area
MARKETING
Operative goal is
customer satisfaction
Typical Comment
MANUFACTURING
Operative goal is
production efficiency
Typical Comment

Breadth of product line:

New product introduction:

Production scheduling:

“Our customers “ demand variety.”

“New products are our lifeblood.”

“We need faster response. Lead times are too long.”

Physical distribution:

Quality:

“Why don’t we ever have the right merchandise in inventory?”

“Why can’t we have reasonable quality at low cost?”

Sources: Based on Benson S Sha iro “Can Marketin

and Manufacturin

“The product line is too broad, all we get are short, uneconomical runs.”

“Unnecessary design changes are prohibitively expensive.”

“We need realistic customer commitments that don’t change like the wind direction

“We can’t afford to keep huge inventories.”

“Why must we always offer options that are too expensive and offer little customer utility?”

ORGANISATIONAL POWER SOURCES

LEGITIMATE POWER--- DRAWS FROM AUTHORITY GRANTED BY THE ORGANISATION TO THE FORMAL POSITION A MANAGER HOLDS

REWARD POWER--- ABILITY TO DECIDE COMPENSATION FOR EXAMPLE

COEIRCIVE POWER--- FORCE IMPLICIT AND EXPLICIT

REFERNET POWER-CHARISMA ADMIRATION ADULATION

EXPERT POWER---KNOWLEDGE CERTIFICATION

FORCE IMPLICIT AND EXPLICIT • REFERNET POWER-CHARISMA ADMIRATION ADULATION • EXPERT POWER---KNOWLEDGE CERTIFICATION

POWER VERSUS AUTHORITY

POWER

Ability to influence others to bring about desired outcomes.When A is dependent on B’s positional means, emotions and materially a power relationship emerges where a person with greater resources or the ability to withhold them means that B has greater power and can achieve compliance with A’s request.

AUTHORITY

Flows down the vertical hierarchy and is the force for achieving outcomes

Prescribed by the formal hierarchy

Vested in the position held

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WHY AUTHORITY

1. Authority is vested in organizational positions. People have authority because of the positions they
1. Authority is vested in organizational positions. People have authority
because of the positions they hold, not because of personal
characteristics or resources.
2. Authority is accepted by subordinates. Subordinates comply because
they believe position holders have a legitimate right to exercise
authority. In most organisations, employees accept that supervisors
can legitimately tell them what time to arrive at work, the tasks to
perform while they’re there, and what time they can go home.
3. Authority flows down the vertical hierarchy. Authority exists along the
formal chain of command, and positions at the top of the hierarchy
are vested with more formal authority than are positions at the
bottom.
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INFORMATION FLOW AND INFLUENCING DECISIONS

INFORMATION FLOW AND INFLUENCING DECISIONS

WHAT ARE THE TYPICAL CONSEQUENCES OF POWER

Silent movement, sudden developments and no body can question them

Large budget departmental increases and salary increases

Manoeuvre the system even if it does not logically seem right to secure favourable production schedules

Get your folks in right positions by influencing key stakeholders.

Get items on the agenda at policy meetings

• Get your folks in right positions by influencing key stakeholders. • Get items on the

VERTICAL SOURCES OF POWER DOWNWARD FLOW

Formal Position-rights responsibilities accruing to top positions –set goals strategise and direct activities

Resources-create dependencies by their allocation and rewards.

Control of Decision Premises and Information

Fealty and Loyalty structures

Network Centrality-loyal subrodinates to learn and listen in to events and developments in organization increase power by having multiple tursted dependent people favours privileges and loyalty

HORIZONTAL SOURCES OF POWER

Relationships across departments, divisions, units and employees and informal understandings.

Horizontal

the

power

organization chart.

is

not

defined

by

the

formal

hierarchy

or

Each department makes a unique contribution to organizational success.

Some departments will have greater say and will achieve their desired outcomes, whereas others will not.

WHAT ARE STRATEGIC CONTINGENCIES

Strategic

Contingencies

organization issues.

groups

most

responsible

for

key

Strategic contingencies are events and activities both inside and outside an organization that are essential for attaining organisational goals BY Providing strategic value

Departments involved with strategic contingencies for the organization tend to have greater power.

Departmental activities are important when they provide strategic value by solving problems or crises for the organization.

Power Sources – five power sources that departments may possess

FIVE POWER SOURCES

DEPENDENCIES

FINANCIAL RESOURCES

CENTRALITY OR PRIMARY RELEVANCE OR ROLE IN ORGANISATION IMPACTS FINAL OUTPUT OF ORGANISATION

NONSUBSTITUTABLITY DEPARTMENT’S FUNCTION CANANOT BE PERFOMED BY OTHE READILY AVIALABLE RESOURCES– CRYSTAL MANUFACTURING

COPING WIWTHH UNDERTAINTY-FORECASTING POWER AND INFORMATION ACCESS, PREVENTION AND ABSORBTION TO MITIGATE CONSEQUENCES [IR DEPARTMENT]

FIVE POWER SOURCES

FIVE POWER SOURCES

POLITICIAL PROCESSES

Politics is the use of power to influence decisions toward goals

Organisational Politics - activities to acquire, develop, and use power to influence goals ACCORDING TO DESIRED OUTCOMES

Contextual possibilities of political activity:

Structural Change--- STRUGGLE TO RETAIN EXISTING POWER BASE

Management Succession-NETWORKS OF TRUST AND IMPLICIT UNDRSTANDINGS AND NON ENCROACHMENT

Resource Allocation-----ORGANISATIONAL PERFORMANCE, BUDGET ALLOCATION

PARALLEL STRUCTURES

RATIONAL VERSUS POLITICAL MODEL

The rational model where behavior is not random or accidental

Goals are clear and choices are made logically

The political model involves push and pull debate regarding goals

Organization groups have separate interests and goals

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©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

POWER AND POLITICS

CONFLICT POWER AND POLITICS ARE NATURAL OUTCOMES IN ORGANISATIONS

There are two views for organizations: rational and political models

There are vertical and horizontal sources of power AS YOU MAY RECALL

Certain characteristics make some departments more powerful than others

Managers need political skills

Managers should enhance and facilitate collaboration to reduce conflict

SOME ASSUMPTIONS REFER TEXT BOOK

MANAGERS HAVE NEGATIVE VIEW TOWARDS POLITICS – NOT QUITE THEY SPEAK SOMETHING AND OFTEN END UP DOING SOMETHING ELSE

POLITICAL BEHAVIOUR IS COMMON IN ALL ORGANISATIONS

MANY MANAGERS THINK POLITICAL BEHAVIOUR OCCURS AT THE UPPER RATHER THAN LOWER ORGANISATIONAL LEVELS

POLITICAL BEHAVIOUR ARISES IN CERTAIN DECISION DOMANS SUCH AS STRUCTURAL CHANGE, BUT IS ABSENT IN OTHER DOMAINS SUCH AS HANDLING EMPLOYEE GRIEVENCES.

POLITICS ACCORDING TO DAFT

Organisational Politics is defined as the activities undertaken either implicitly or explicitly through words, struggles for establishment of one truth which becomes a taken for granted practice or deeds to acquire develop leverage power and other resources opportunistically , or strategically to obtain the preferred outcome when there is disagreement regarding the choices.

opportunistically , or strategically to obtain the preferred outcome when there is disagreement regarding the choices.

PROCES FRAMEWORK

ANTECEDENT CONDITIONS—UNCERTAINTY DISAGREEMENT

THE RATIONAL MODEL---- ACTORS GATHER DATA AND REACH AGREEMNT

THE POLITICAL MODEL-ACTORS COULD EVEN WITHOLD DATA AND PURSUE TATICS TO INCREASE POWER BASE OR DELOY POLITICAL TACTICS FOR USING POWER AND HIT BELOW THE BELT.

WITHOLD DATA AND PURSUE TATICS TO INCREASE POWER BASE OR DELOY POLITICAL TACTICS FOR USING POWER

SOURCES OF CONFLICT AND USE OF RATIONAL VS. POLITICAL MODEL

Sources of

Potential

Inter-group

Conflict

Goal

Incompatibility

Differentiation

Task

Interdependence

Limited

Resources

When Conflict Is Low, Rational Model describes organization

Organization

When Conflict Is High, Political Model describes organization

Variables

 

Consistent across

Goals

Inconsistent, pluralistic within the organization

participants

Power and

Decentralized, shifting

Centralized

Control

coalitions and interest groups

Decision Disorderly, result of bargaining and interplay among interests

Decision

Disorderly, result of bargaining and interplay among interests

Orderly, logical,

Process

 

rational

Norm of efficiency

Rules and

Free play of market forces, conflict is legitimate and expected

Norms

Extensive, systemic accurate

Information

Ambiguous, information used and withheld strategically

12-23

THE MIXED MODEL

ALTERNATING CONTEXTUAL CIRCUMSTANCES MAY LEAD ONE MODEL TO DOMINATE ANOTHER MODEL.

RATIONAL MODELS –STABLE ENVIRONMENT-DAFT IS WRONG.

CIRCUMSTANCES MAY LEAD ONE MODEL TO DOMINATE ANOTHER MODEL. • RATIONAL MODELS –STABLE ENVIRONMENT-DAFT IS WRONG.
CIRCUMSTANCES MAY LEAD ONE MODEL TO DOMINATE ANOTHER MODEL. • RATIONAL MODELS –STABLE ENVIRONMENT-DAFT IS WRONG.

DESIGN PREREQUSITES

There are two views for organizations: rational and political models

There are vertical and horizontal sources of power

Certain characteristics make some departments more powerful than others

Managers need political skills

Managers should enhance collaboration to reduce conflict

POWER AND POLITICAL TACTICS IN ORGANIZATIONS

Tactics for Increasing the Power Base Political Tactics for Using Power Tactics for Enhancing Collaboration
Tactics for
Increasing the
Power Base
Political Tactics for
Using Power
Tactics for
Enhancing
Collaboration
1. Enter areas of
1. Build coalitions
1. Create integration
high uncertainty
devices
2. Create
2. Expand networks
2. Use confrontation
dependencies
and negotiation
3. Provide
3. Control decision
3. Schedule inter-
resources
premises
group consultation
4. Satisfy strategic
4. Enhance legitimacy
4. Practice member
contingencies
and expertise
rotation
5. Make preferences
5. Create
explicit, but keep
power implicit
superordinate goals

12-26

NEGOTIATING STRATEGIES

Win-Win Strategy

1. Define the conflict as a mutual problem

2. Pursue joint outcomes

3. Find creative agreements that satisfy both groups

4. Use open, honest, and accurate communication

5. Avoid threats

6. Communicate flexibility

Source: Adapted from David W. Johnson and Frank P. Johnson, Joining Together: Group Theory and Group Skills (Englewood Cliffs, N. J.: Prentice-Hall, 1975), 182-83.

Win-Lose Strategy

1. Define the conflict as a win-lose situation

2. Pursue self outcomes

3. Force other group into submission

4. Use deceitful, inaccurate communication

5. Use threats

6. Communicate rigidity

12-27

INTERDEPARTMENTAL CONFLICT IN ORGANIZATIONS

Groups may be dispersed across the organization

Intergroup conflict requires three ingredients:

1. Group Identification

2. Observable Group Differences

3. Frustration

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Conflict is similar to competition but more severe

HORIZONTAL CONFLICT AND VERTICAL CONFLICT

CONFLICT THAT HAPPENS AMONG GROUPS OR DEPARTMENTS AT THE SAME LEVEL IN THE HIERARCHY SUCH AS BETWEEN LINE AND STAFF

PRODUCTION MAY DISPUTE QUALITY CONTROL WHEARAS QUALITY CONTROL MAY WANT PRODUCT QUALITY AT THE COST OF OUTPUT EFFICIENCY

VERTICAL CONFLICT ON THE OTHER HAND ARISES OVER ISSUES OF CONTROL POWER GOALS AND WAGES –HEADQUARTERS, REGIONAL PLANTS-COMPANY OWNED OUTLETS AND FRANCHISEES IN THE SAME GEOGRAPHCIAL AREA.

GOALS AND WAGES –HEADQUARTERS, REGIONAL PLANTS-COMPANY OWNED OUTLETS AND FRANCHISEES IN THE SAME GEOGRAPHCIAL AREA.

SOURCES OF CONFLICT

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Goal Incompatibility-Operative goals

Differentiation-cognitive emotional orientations amongst managers in different functional domains which lead to understanding the infrastructure of actor networks-work and a set of subjective assumptions.

Task Interdependence-increased friction conflict possibilities.

Power distribution and differentiation-explicit and implicit unsaid

Limited Resources

conflict possibilities.  Power distribution and differentiation-explicit and implicit unsaid  Limited Resources

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EMPOWERMENT.

Downward flow of information

Deploying employee knowledge and reinforcing their self-efficacy

Giving them power to make substantive decisions

Rewarding them on the basis of company performance

Uddevala and Kalmar google.

to make substantive decisions • Rewarding them on the basis of company performance • Uddevala and

INFORMATION

INFORMATION IS THE KEY ATTRIBUTE TO THE SUCCESS OF AN ORGANISATIONAL SYSTEM

RECALL THAT IT IS THE INTERCONNECTED WEB OF RULES, POLICIES AND INFORMATION THAT FORMULATE THE SYSTEM THAT INTURN MAKES THE STRUCTURE COME TO LIFE WITHOUT WHICH ORGANISATIONAL STRUCUTRE IS MEANINGINGLESS.

THE EFFECTIVENESS OF INFORMATION FLOW IS CRITICAL TO THE INTERNAL COHERENCE AND SURVIVAL OF THE ORGANISATIONAL STRUCTURE AND THE FUNCTIONING OF THE SYSTEM

INFORMATION AT THE RIGHT TIME AT THE RIGHT QUANITY AND QUALITY AND RELEVANCE IS ABSOLUTELY CRUCIAL FOR ANY MANAGER

ONE CAN EXERCISE POWER B Y WITHHOLDING INFORMATION.

INFORMATION COULD BE OF THE FOLLOWING KINDS

CONTEXTUAL INFORMATION WHICH EMERGES OUT OF OPERATIVE SITUATIONS AND HAS TO BE PROCESSED

PLANNED OUTCOMES OF DECISIONS WHICH ARE DISSEMNATED WITHIN AND ACROSS THE SYSTEM

PROGRAMMED DECISIONS WHICH FLOW AS A LOGICAL CONSEQUENCE OF THE IMPLEMNETATION OF STRATEGIES

NON PROGRAMED ADHOC DECISIONS THAT ARISE OUT OF INDIVIDUAL REACTING TO SPECIFIC CIRCUMSTANCES OR EITHER THE GRAPEVINE

THEN THER IS INFORMATION THAT KEEPS THE STRUTURE TOGETHER PROVIDES COORDINATION AND TRANSMITS CONTROL

LET US BOLL DOWN THE KINDS OF INFORMATION AVAILABLE

Transaction processing systems-Automated the organization’s routine, day-to-day business transactions- payroll processing, sales invoices, leave application, clearing of supplier bills through BACS[bankers automated clearing services].

Data warehousing integrates and synthesizes all of a company’s data to allow

Users to access the data directly---Example Intranet and IIM Kashipur student login and Raven in University of Cambridge--- https://raven.cam.ac.uk/

Business intelligence or data mining implies a systematic analysis[Daft is a bit outdated here] of a company’s data in order to make better strategic decisions--- Performance pie charts, trackers, flow diagrams, sales analytics.

EVOLUTION OF ORGANIZATIONAL APPLICATIONS OF TECHNOLOGY

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EVOLUTION OF ORGANIZATIONAL APPLICATIONS OF TECHNOLOGY 35 ©2013 Cengage Learning. All Rights Reserved. May not be

©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

MANAGERIAL INFORMATION SYSTEM

A management information system provides information for managerial decision making through its support by the organisation’s transaction processing systems and internal as well as external databases.

TWO OTHER TYPES OF INFORMATION SYSTEMS

An information reporting system provides mid-level managers with reports that summarize data for day-to-day decision making on issues such as production scheduling==total production required versus total production so far tennis score court boards.

Executive information system converts complex data into pertinent information for top management to have rapid access to key decision making information such as worldwide customer buying trends- WHAT CAR TO PRODUCE, WHAT MODEL TO LAUNCH TO DISRUPT THE MARKET- SCORPIO NEITHER A JEEP NOR AN SUV BUT POSSIB

A decision support system relies on decision models and integrated databases [detergent sales in Mysore versus Banda and various other behavioural data mining databases] so users can pose a series of what if questions to test alternatives.

KPI’S OR LEAN DASHBOARDS

An executive dashboard or a business performance dashboard, is a software program that presents key business information in graphical, easy-to-interpret form and alerts managers to any deviations or unusual patterns in the data.

Benchmarking means the process of continually measuring products, services, and practices against tough competitors or other industry leaders.

Six Sigma is a highly ambitious quality standard that specifies a goal of no more than 3.4 defects per million parts.

SETTING A REVERSE LOOP

The feedback control model consists of setting standards of performance, measuring actual performance and comparing it to the standards, and correcting or changing activities as needed for the organization, the department and the individual.

MANAGEMENT CONTROL SYSTEMS

Formal routines, reports, and procedures

Formalized information based activities

Controls include:

Budgets, financial reports

Reward systems

Quality control systems

Managers must define standards and measure performance

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