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© 2008 The McGraw-Hill Companies, Inc. All rights reserved

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ChapterChapter

McGraw-Hill/Irwin

Ethical Power Ethical Power and Politicsand Politics

1010

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Introduction Introduction (1 of 2)(1 of 2)

Power is needed to reach objectives in all organizationsPower affects performanceThe way managers use power affects human

relations and performanceSuccessful global companies are sharing

power with employees through empowermentEmployee empowerment forms the basis of new

decentralized decision-making of contemporary organizational structures

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Introduction Introduction (2 of 2)(2 of 2)

Politics is important to organizational performancePolitical human relations affect performancePeople who use ethical politics are more

productive in the long run than people who use unethical politics

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Organizational PowerOrganizational Power

Power is a person’s ability to influence others to do something they would not otherwise do

Sources of PowerPosition Power –

derived from top-level management

delegated down the chain of command

Personal Power – derived from the

follower

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Bases of PowerBases of PowerCoercive Power Involves threats and / or punishment to influence compliance

Connection Power

Based on the user’s relationship with influential people

Reward Power Based on the user’s ability to influence others with something of value to them

Legitimate Power Based on the user’s position power

Referent Power Based on the user’s personal power

Information Power

Based on the user’s information being desired by others

Expert Power Based on the user’s skill and knowledge

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Sources and Bases of Power with Situational Sources and Bases of Power with Situational Supervision and Communication StylesSupervision and Communication Styles

Personal power Personal power

Expert Referent Reward Coercive

Information Legitimate Connection

Laissez-faire Participative Consultative Autocratic

Exhibit 10.1

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Influencing TacticsInfluencing Tactics

Reading PeopleReading People Create and Create and Present a Win-Win Present a Win-Win

SituationSituation

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Reading People Reading People (1 of 2)(1 of 2)

Put yourself in the place of the person you want to persuadeAnticipate how the person sees the worldAnticipate what his or her expectations are during your

persuasion presentationGet the other person’s expectations right

If you don’t, you most likely will not influence the person

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Reading People Reading People (2 of 2)(2 of 2)

Incorporate the information about the other person’s expectations into your persuasive presentationUse the influencing tactic that will work best with the person

Keep the focus on the other person’s expectations when trying to persuadeThis helps create a win-win situationOther person wants to hear how they will benefit

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Influencing TacticsInfluencing Tactics

InspirationalAppeal

PersonalAppeal

Legitimization

Ingratiation (Praise)

RationalPersuasion

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Guidelines for Using Guidelines for Using IngratiationIngratiationBeing friendly and giving praise to get the person in a good mood before making a requestBe sensitive to the person’s moodsComplement the person’s past related

achievementsState why the person was selected for the taskAcknowledge inconvenience by your request

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Guidelines for Using Guidelines for Using Rational PersuasionRational Persuasion

Includes logical arguments with factual evidenceExplain the reason why your objective needs to

be metExplain how the other person will benefit by

meeting your objectiveProvide evidence that your objective can be metExplain how potential problems and concerns will

be metExplain why your proposal is better than

competing ones

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Guidelines for Using Guidelines for Using Inspirational AppealInspirational Appeal

Attempts to arouse follower enthusiasm through internalizationDevelop emotions and enthusiasm based on the

other person’s valuesLink the appeal to the person’s self-conceptLink the request to a clear appealing visionBe positive and optimisticUse nonverbal communication to bring emotions

to the verbal message

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Guidelines for Using Guidelines for Using Personal AppealPersonal Appeal

Request the person to meet an objective based on loyalty and friendshipBegin by stating that you need a favor and why it

is importantThen ask for the favor

Appeal to your friendshipTell the person that you are counting on him or

her

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Guidelines for Using Guidelines for Using LegitimizationLegitimizationRelying on organizational authority

Refer to organizational policies, procedures, rules, and other documentation

Refer to written documentsRefer to precedent

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Organizational PoliticsOrganizational PoliticsPolitics – the process of gaining and using

powerThe network of interactions by which power is

acquired, transferred, and exercised upon othersLike power, politics often has a negative connotation due to people who abuse political powerThe amount and importance of politics varies from organization to organization

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Political BehaviorPolitical BehaviorThree primary political behaviors:

Networking - process of developing relationship alliances with key people for the purpose of politicking

Reciprocity – involves:creating obligations and debts,developing alliances, andusing them to accomplish objectives

Coalition Building – a coalition is a network of alliances that help you achieve a specific objective

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Business EthicsBusiness Ethics

Type I EthicsBehavior that is:

considered wrong by authorities

yet not accepted by others as unethical

Type II EthicsBehavior that is:

considered wrong by authorities and the individual,

yet conducted anyway

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Ethical and Unethical PoliticsEthical and Unethical Politics

Ethical PoliticsBehavior that benefits both

the individual and the organization

Creates a win-win situationMeeting the goal of

human relationsStakeholders approach to

ethicsWhen dealing with people

outside the firm

Unethical PoliticsBehavior that benefits the

individual and hurts the organization

Creates a win-lose situation Includes management

behavior that helps the organization, but hurts the individual

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Codes of EthicsCodes of EthicsEstablish guidelines that clearly describe

ethical and unethical behaviorMost organizations consider ethics codes to

be importantTo be ethically successful, organizations

must:audit the ethical behavior of employeesconfront and discipline employees who are unethical

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EtiquetteEtiquetteEtiquette – the socially accepted standard of

right and wrong behaviorIncludes manners beyond simply saying

please and thank youMost organizations do not usually have

codes or any formal training in etiquette

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E-mailEtiquette

MeetingEtiquette

HotelingEtiquette

Table MannersTelephoneEtiquette

Job InterviewEtiquette

Etiquette SkillsEtiquette Skills

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Vertical PoliticsVertical Politics

Relations with Your Boss

LoyaltyCooperationInitiativeInformationOpenness to criticismRegaining boss’s trust

Relations with Subordinates

Developing manager-employee relations

FriendshipThe open-door policy

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Horizontal Politics Horizontal Politics (1 of 2)(1 of 2)

Relations with Relations with PeersPeers

Relations with Relations with Members of Other Members of Other

DepartmentsDepartments

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Horizontal Politics Horizontal Politics (2 of 2)(2 of 2)

Relations with Peers

Cooperating with peers

Competing with peers

Criticizing peers

Relations with members of other departments

Develop good humanrelations through

being cooperative and following guidelines set by the organization.

Develop good relations with people in other organizations

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Human Relations Guide to Ethical Human Relations Guide to Ethical Decision MakingDecision Making

Exhibit 10.4

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Do Power, Politics, and Etiquette Apply Do Power, Politics, and Etiquette Apply Globally? Globally? (1 of 3)(1 of 3)

Power is perceived and exercised differently around the globe

Power distance – the extent to which employees feel comfortable interacting across hierarchical levelsIt reflects expectations of centralized or

decentralized decision-making

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Do Power, Politics, and Etiquette Apply Do Power, Politics, and Etiquette Apply Globally? Globally? (2 of 3)(2 of 3)

In high power distance cultures:Using strong power and politics is acceptableLeaders are expected to behave differently from

people in low ranksDifferences in rank are more apparenti.e., Latin American cultures, Mexico, Venezuela,

Philippines, Yugoslavia, France

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Do Power, Politics, and Etiquette Apply Do Power, Politics, and Etiquette Apply Globally? Globally? (3 of 3)(3 of 3)

In low power distance cultures:Using strong power and politics is not acceptablePower is expected to be shared with employees

through empowermentPeople are less comfortable with differences in

powerLess emphasis on social class distinction and

hierarchical ranki.e., U.S., Ireland, Australia, New Zealand,

Denmark, Israel, the Netherlands