CH-11 Power and Political Behavior – ORGB Organizational Behavior : Book Guide

Chapter 11 Power and Political Behavior In This Chapter, You’ll Find: Chapter Overview Learning Outcomes Key Terms PowerPoint Guide Review Questions and Answers Discussion and Communication Questions and Suggested Answers Ethical Dilemma Self-Assessments—What about You? Issues in Diversity Experiential Exercises Additional Examples Case Study and Suggested Responses: Oracle’s Larry Ellison—A Profile of Power, Influence, and Dominance Video: Profile on Barcelona Restaurant Group Student Handouts: Ethical Dilemma What About You?: How Politically Skilled Are You? What About You?: Are You Self-Empowered? Issues in Diversity: Barack Obama—A Different Kind of Power Experiential Exercise: Social Power Role Plays Experiential Exercise: Empowerment in the Classroom Experiential Exercise: Power Dependency Case Study: Oracle’s Larry Ellison—A Profile of Power, Influence, and Dominance Chapter Overview Power and the accompanying political behavior are inevitable in all organizations. John French and Bertram Raven categorized power as having five forms—reward power, coercive power, legitimate power, referent power, and expert power. Power can be used for personal gain or for social purposes. Next, the chapter discusses the symbols of power. The final section of the chapter addresses managing the boss and sharing power through empowering organizational members. Learning Outcomes After reading this chapter, students should be able to: 1. Describe the concept of power. Answer: Power is the ability to influence another person. As an exchange relationship, it occurs in transactions between an agent and a target. The agent is the person using the power, and the target is the recipient of the attempt to use power. Influence is the process of affecting the thoughts, behavior, and feelings of another person. Authority is the right to influence another person. 2. Identify forms and sources of power in organizations. Answer: Individuals have many forms of power to use in their work settings. Some of them are interpersonal, that is, used in interactions with others. One of the earliest and most influential theories of power comes from John French and Bertram Raven, who tried to determine both the forms and the sources of power managers use to influence other people. French and Raven identified five forms of interpersonal power that managers use: reward, coercive, legitimate, referent, and expert power. Groups or teams within an organization can also use power from several sources. One source of intergroup power is control of critical resources. Groups also have power to the extent that they control strategic contingencies—activities that other groups depend on in order to complete their tasks. Three factors can give a group control over a strategic contingency—ability to cope with uncertainty, high degree of centrality, and non-substitutability. 3. Describe the role of ethics in using power. Answer: Managers can work at developing all five forms of power for future use. The key to using them well is to use them ethically. To French and Raven’s five power sources, one can add a source that is very important in today’s organizations. Information power is access to and control over important information. David McClelland believes that there are two distinct faces of power, one negative and one positive. The negative face of power is personal power—power used for personal gain. The positive face of power is social power—power used to create motivation or to accomplish group goals. When power is used for the good of the group, rather than for individual gain, it is positive. 4. Identify symbols of power and powerlessness in organizations. Answer: Two very different ideas about the symbols of power come from Rosabeth Moss Kanter and Michael Korda. A theme that runs through Kanter’s list is doing things for others—for people in trouble, for employees, for bosses. There is an active, other-directed element in her symbols of power. Korda defines power as follows: there are more people who inconvenience themselves on your behalf than there are people on whose behalf you would inconvenience yourself. While Kanter’s symbols focus on the ability to help others, Korda’s symbols focus on status—a person’s relative standing in a group based on prestige and having other people defer to him or her. 5. Define organizational politics and understand the role of political skill and major influence tactics. Answer: Organizational politics is not necessarily negative; it is the use of power and influence in organizations. Political behavior refers to actions not officially sanctioned by an organization that are taken to influence others in order to meet one’s personal goals. Political skill is the ability to get things done through positive interpersonal relationships outside the formal organization. 6. Identify ways to manage political behavior in organizations. Answer: Managers should take a proactive stance and manage the political behavior that inevitably occurs. Some behaviors to watch for include networking, finding key players to support initiatives, making friends with powerful people, bending the rules, and self-promoting. Lesser-used tactics include misinformation, spreading rumors, and blackmailing. To diffuse these behaviors, open communication is an important tool. Another key is to clarify expectations regarding performance. Participative management is yet another key. Also, encouraging cooperation among work groups is helpful in managing political behavior. Managing scarce resources well is also important. Providing a supportive organizational climate allows employees to discuss controversial issues promptly and openly, thus preventing an issue from festering and potentially causing friction among employees. One of the least discussed aspects of power and politics is the relationship between employees and their boss. The employee–boss relationship is one of mutual dependence; the parties involved should take an active role in managing it. As modern organizations grow flatter, eliminating layers of management, empowerment becomes more and more important. The driving idea of empowerment is that the individuals closest to the work and to the customers should make the decisions and that this makes the best use of employees’ skills and talents. Key Terms Power (p. 171) Influence (p. 171) Authority (p. 171) Zone of indifference (p. 171) Reward power (p. 171) Coercive power (p. 171) Legitimate power (p. 171) Referent power (p. 172) Expert power (p. 172) Strategic contingencies (p. 173) Information power (p. 174) Personal power (p. 175) Social power (p. 175) Powerlessness (p. 176) Organizational politics (p. 177) Political behavior (p. 177) Political skill (p. 180) Empowerment (p. 183) PowerPoint Guide Introduction Slide 2—Learning Outcomes LO1 Describe the concept of power. Slide 3—LO - 11.1 Slide 4—What is Power Slide 5—Beyond the Book: Football Tickets and Power LO2 Identify forms and sources of power in organizations. Slide 6—LO - 11.2 Slide 7—Interpersonal Forms of Power Slide 8—Intergroup Sources of Power LO3 Describe the role of ethics in using power. Slide 9—LO - 11.3 Slide 10—Criteria for Using Power-Related Behavior to be Considered Ethical Slide 11—Positive versus Negative Power Slide 12—Beyond the Book: The Trials of Blago LO4 Identify symbols of power and powerlessness in organizations. Slide 13—LO - 11.4 Slide 14—Kanter’s Symbols of Power Slide 15—Kanter’s Symbols of Powerlessness Slide 16—Korda’s Power Symbols LO5 Define organizational politics and understand the role of political skill and major influence tactics. Slide 17—LO - 11.5 Slide 18—Political Behavior in Organizations Slide 19—Beyond the Book: Evaluate Your Political Potential Slide 20—Political Skill Slide 21–23—Table 11.2: Influence Tactics Used in Organizations LO6 Identify ways to manage political behavior in organizations. Slide 24—LO - 11.6 Slide 25—Managing Political Behavior Slide 26—Beyond the Book: Empowering Employees for Quality Slide 27—Barcelona Restaurant Group Key Terms Slide 28—Key Terms Summary Slide 29–30—Summary Review Questions and Answers 1. What are the five types of power according to John French and Bertram Raven? What are the effects of these types of power? What is information power? Answer: According to John French and Bertram Raven, the five forms of interpersonal power are: •Reward power—this power is based on an agent’s ability to control rewards that a target wants, such as salary increases, bonuses, etc. •Coercive power—this power is based on an agent’s ability to cause the target to have an unpleasant experience. •Legitimate power—this power is based on position and mutual agreement. The agent and target agree that the agent has the right to influence the target. •Referent power—this power is based on interpersonal attraction. The agent has referent power over the target because the target identifies with or wants to be like the agent. •Expert power—this power exists when an agent has specialized knowledge or skills that the target needs. Reward and coercive power lead to compliance, but they both require the manager to be present to dole out rewards and punishment, thus creating dependency relationships. Legitimate power produces compliance but doesn’t necessarily lead to goal accomplishment or employee satisfaction. Referent power is linked with organizational effectiveness, but it is also potentially dangerous because it can be too extensive and intensive in altering the behavior of others. Expert power has the strongest relationship with employee performance and satisfaction. 2. What are the intergroup sources of power? Answer: One source of intergroup power is control of critical resources. When one group controls an important resource that another group desires, the first group holds power. Groups also have power to the extent that they control strategic contingencies—activities that other groups depend on in order to complete their tasks. Three factors can give a group control over a strategic contingency—ability to cope with uncertainty, a high degree of centrality within the organization, and nonsubstitutability. 3. Distinguish between personal and social power. What are the four power-oriented characteristics of the best managers? Answer: Personal power is the power used for personal gain, and it is the negative face of power. Managers who use personal power are commonly described as “powerhungry.” Social power is the power used to create motivation or to accomplish group goals, and it is the positive face of power. People who approach relationships with a communal orientation, focus on the needs and interests of others. Managers who use power successfully have the following four power-oriented characteristics: •Belief in the authority system •Preference for work and discipline •Altruism •Belief in justice 4. According to Rosabeth Moss Kanter, what are the symbols of power and the symptoms of powerlessness? Answer: According to Rosabeth Moss Kanter, powerful people in organizations have the following characteristics: •Ability to intercede for someone in trouble •Ability to get placements for favored employees •Exceeding budget limitations •Procuring above-average raises for employees •Getting items on the agenda at meetings •Access to early information •Having top managers seek out one’s opinion According to Kanter, first-line supervisors often display the following three symptoms of powerlessness: •Overly close supervision •Inflexible adherence to the rules •Tendency to do the job themselves rather than training their employees to do it 5. How do organizations encourage political activity? Answer: Organizational conditions like unclear goals, autocratic decision making, ambiguous lines of authority, scarce resources, and uncertainty encourage political activity. 6. Which influence tactics are most effective? Answer: The effectiveness of influence tactics depends on the target of the influence attempt and the objective. Overall, the most effective tactic in terms of achieving objectives is rational persuasion. 7. What are some ways to empower people at work? Answer: Students’ answers will vary. In order to empower people, managers should: •Express confidence in employees and set high performance expectations •Create opportunities for employees to participate in decision making •Remove bureaucratic constraints that stifle autonomy •Set inspirational or meaningful goals Discussion and Communication Questions and Suggested Answers 1. Who is the most powerful person you know personally? What is it that makes the person so powerful? Answer: Students’ answers will vary. Ensure that the students answer this question in the context of the information presented in the chapter. The bases of social power and the symbols of power are good for discussion here. Most Powerful Person: The most powerful person I know personally is a mentor or leader whose influence stems from their expertise, charisma, and ability to inspire and mobilize others effectively. 2. Why is it hard to determine if power has been used ethically? Answer: Students’ answers will vary. There are three questions to ask in determining whether power has been used ethically. The questions should examine: •Is there a good outcome for people both inside and outside the organization? •Are the rights of all parties respected? •Are all parties treated fairly and equally? It is sometimes difficult to determine when all of these goals have been met, and they can often be conflicting. Ethical Power Use: It’s challenging to determine if power is used ethically due to subjective interpretations of intentions, outcomes, and the impact on different stakeholders, which can vary based on perspectives and values. 3. As a student, do you experience yourself as powerful, powerless, or both? On what symbols or symptoms are you basing your perception? Answer: Students’ answers will vary. Sometimes it is useful to analyze the family structure and where the individual falls among siblings. Student Power Perception: As a student, I may feel both powerful and powerless. Power comes from academic achievements and leadership roles, while feelings of powerlessness can arise from dependency on institutional structures and constraints. 4. How does attribution theory explain the reactions supervisors can have to influence tactics? How can managers prevent the negative consequences of political behavior? Answer: Students’ answers will vary. Supervisors will react differently to influence attempts depending upon the attribution they make for the reason for the influence attempts. Managers can prevent the negative consequences of political behavior by having clear policies and procedures and through proactive communication with subordinates. Attribution Theory & Influence Tactics: Attribution theory suggests supervisors may react to influence tactics based on their perception of the motives and effectiveness of the tactics. Managers can prevent negative consequences by being transparent, fair, and consistent in their decision-making. 5. Are people in your work environment empowered? How could they become more empowered? Answer: Students’ answers will vary. Most of the positions that students have held are largely powerless. It will be helpful to point out that it is not the position that renders them empowered or powerless but the nature of the organization. Empowerment in Work Environment: People in my work environment could be more empowered by offering more decision-making authority, providing resources and support, and recognizing their contributions. 6. Chapter 2 discussed power distance as a dimension of cultural differences. How would empowerment efforts be different in a country with high power distance? Answer: The empowerment goal would probably be much more difficult to initiate. “Unfreezing” the cultural norm would be challenging because people would believe in the legitimacy of hierarchy. Power Distance & Empowerment: In high power distance countries, empowerment efforts need to navigate greater hierarchical barriers, requiring more gradual and respectful approaches to shift power dynamics. 7. Think of a person you admire. Write a newspaper feature analyzing the person’s use of power in terms of the ideas presented in the chapter. Answer: This is a good task to help students learn to write in a comprehensible way without using too much academic jargon. Admired Person's Use of Power: A newspaper feature on a person I admire might highlight their strategic use of influence to drive positive change, foster collaboration, and demonstrate ethical leadership, aligning with the chapter’s concepts. 8. What kinds of membership (alienative, calculative, moral) do you currently have? Is the power used in these relationships congruent? Answer: Students’ answers will vary. Instructors should ensure that students answer this question by correlating it with the information presented in this chapter. Membership Types: My current memberships may include calculative (based on mutual benefits) and moral (based on shared values). Power dynamics should align with the expectations and nature of these relationships for effectiveness and coherence. Ethical Dilemma The purpose of Ethical Dilemmas is to encourage students to develop their awareness of ethical issues in the workplace and the managerial challenges they present. The dilemmas are set up to present situations in which there is no clear ethical choice. The goal of the instructor is to guide students through the process of analyzing the situation and examining possible alternative solutions. There are no “right” answers to the questions at the end of each scenario but only opportunities to explore alternatives. Students can generate discussions on the appropriateness of each alternative. The student portion of the activity is on a handout at the end of this chapter guide. Jesse’s options are to do as George told him to and fill the Principal Contractors order first or to go over George’s head to his boss and risk losing his job. 1. Using consequential, rule-based, and character theories, evaluate Jesse’s options. Answer: Consequential Theory If Jesse does as George told him to by filling the Principal Contractors order first, Lowry may be unhappy with Norbury for missing the deadline on their order. However, since they have a longstanding and positive relationship with Norbury, the relationship will probably not suffer too badly. Additionally, George’s sister-in-law will make a positive impression on her boss, avoiding any damage to George’s family relationships. If Jesse goes over George’s head and the boss agrees with George, Jesse may lose his job. Even if the boss agrees with Jesse, the relationship between George and Jesse will be damaged because Jesse went over his head and made him look bad. George’s sister-in-law may lose her job as well. Rule-Based Theory Jesse’s primary obligation is to do what he believes is best for the company. If he sincerely believes doing what George told him to do is not in the company’s best interests, then he has a responsibility to make that known to George’s boss. Character Theory There’s not much to go on in the scenario regarding Jesse’s character, but he has questioned George’s decisions in the past, which suggests that he is inclined to consider what he believes to be in the company’s best interests first and foremost. Going to George’s boss would be most in line with Jesse’s character. 2. What should Jesse do? Why? Answer: Although the rule-based and character theories suggest that Jesse should go over George’s head with the matter, Jesse should probably just do what George told him to do and fill the Principal Contractors order. The Lowry account probably won’t suffer that much because of Norbury’s lengthy history of filling its orders on time, and the situation is not worth Jesse risking his job by going over George’s head. Self-Assessments—What about You? 11.1. How Politically Skilled Are You? This first exercise gives students the opportunity to evaluate their own level of political skill by responding to an 18-item survey. The information gained can be used by students to determine the level of need for improvement, and it can even be helpful in determining specific skills that need improvement simply by identifying those items with the lowest scores (i.e., the items with which students disagree most strongly). Students can then be placed in small groups to brainstorm about ways to improve specific political skills, followed by a class discussion to integrate the small groups’ brainstorming results. The student portion of the activity is on a handout at the end of this chapter guide and on the review card in the student edition of ORGB. 11.2. Are You Self-Empowered? To go beyond the challenge, you may want to ask students to develop an action plan for becoming more self-empowered, particularly if they scored low on this scale. This exercise might also lead to a discussion related to the types of jobs or careers individuals might be most comfortable in given their level of self-empowerment. There is a student activity on a handout at the end of this chapter guide. Issues in Diversity Barack Obama—A Different Kind of Power When then-Presidential candidate Barack Obama said that he would negotiate directly with Iranian leaders for peaceful relations as long as Iranian leaders agreed to set aside the nation’s nuclear weapons program and support of terrorists, he received a great deal of criticism from members in both political parties. Former President Bush (43) referred to Obama’s proposal as a “foolish delusion,” likening it to trying to appease Hitler during World War II through sensible conversation. As President, Barack Obama has continued to display the same style of power that he displayed as a candidate regarding his stance toward peaceful diplomacy and negotiations. Obama’s style is a significant departure from earlier policies, and it has changed the way that some in strong “anti-American” countries view the United States. A recent Boston Globe article suggests that Obama just might be making inroads toward that goal, citing posters and songs dedicated to the new American president popping up everywhere from Egypt to the Persian Gulf. Some believe that Obama’s global popularity could foil attempts by some global leaders to use anti-American feelings to strengthen their own power. By all accounts, Obama is not your “typical” American president in more than the obvious ways. The tactics that he uses to influence others, particularly those in countries considered U.S. adversaries, is unlike those used by past American presidents. Rather than a heavy-handed approach that includes fear of retribution and threat of punishment, Obama prefers a “softer,” more conciliatory approach to achieve his desired objectives. 1. What role do you believe culture plays in Obama’s decision to use a less coercive strategy to influence “anti-American” governments? Answer: Born of American and Kenyan parents in Honolulu, Hawaii, Obama spent some of his formative years (ages 6-10) living in Indonesia, returned to Hawaii until he graduated from high school, and then moved to the U.S. mainland. He believes his time in Hawaii provided him with the opportunity to experience and gain respect for many different cultures, which he claims later became an important part of his world view. Given his background and his own assessment of its impact on his world view, it seems reasonable to assume culture plays a critical role in his decision to use a less coercive strategy. His choice no doubt reflects positive experiences within the environment of mutual respect he found among the various cultures in Hawaii, thus leading him to believe that respecting other people and governments will bring about positive changes in government relations. 2. Do leaders who use softer influence tactics run the risk of being perceived as weak? Explain. Answer: Leaders who use softer influence tactics do run the risk of being perceived as weak, but it is also the case that leaders who use harsher influence tactics run the risk of alienating those whom they wish to influence. The use of softer tactics affords the opportunity for dialogue, while the use of harsher tactics demonstrates determination. This question provides an excellent opportunity to divide the class into groups to debate the effectiveness of softer tactics versus harsher tactics in influencing others at the workplace. Experiential Exercises 11.1. Social Power Role Plays Instructor’s Notes The French and Raven’s (1959) taxonomy of bases of social power is a useful conceptual tool. In an organizational behavior course, we invariably deal with notions of power, influence, and authority, often as a prelude to getting into issues of leadership. The distinctions among legitimate, expert, referent, reward, punishment, and information bases of social power are also very relevant. While the material can be presented in lectures using relevant and entertaining illustrations, students often do not appreciate the richness of the concepts. This experiential exercise involves students in learning the material in an active way. The student portion of the activity is on the prep card in the student edition of ORGB and on a handout at the end of this chapter guide. Goals of the Exercise Three things happen with the exercise: •Students get an opportunity to devise influence attempts based on the French and Raven taxonomy •The class assesses the probable results of using each kind of power •The class could more clearly focus on understanding social power at work in the class itself This exercise is most effective one-third of the way into a typical course, when control and influence issues are most salient. Procedures Divide the class into six groups of equal size, each of which is assigned one of the power bases. (It is helpful to have three or four people who do not join a group but remain outside to assist with data collection and tabulation.) The groups are given the same scenario, which involves one person (a teacher) attempting to influence another person (a student). Each group has ten to fifteen minutes to prepare an actual influence plan using the type of power that has been assigned to their group. You may wish to tailor the presented situations to your own needs. The following situation has worked well with undergraduate classes. Situation You are an instructor in a college class and have become aware that a potentially good student is repeatedly absent from class and is sometimes unprepared when he is there. He seems to be satisfied with the grade he is getting, but you would like to see him attend regularly, be better prepared, and thus, do better in the class. You even feel that the student might get really excited about pursuing a career in this field, which is an exciting one for you. You are respected and liked by your students, and it kind of irritates you that this person treats your dedicated teaching with such a cavalier attitude. You want to influence the student to start attending class regularly. This situation may be particularly useful because it allows you to discuss, at the conclusion of the exercise, your position in the class and how that particular class might respond if you were to use these different kinds of power. When all groups have completed their planning, each selects one member to play the instructor. In the development of their role play, the group has to decide where the influence attempt is to take place (in the classroom, teacher’s office, snack bar, and so forth). The group may also pick, from their own or another group, a “student” who is to be the recipient of the “instructor’s” attempt. While the role play is going on, the students in other groups are asked to think of themselves as the student being influenced. They fill out the “Reaction to Influence Questionnaire.” After each presentation, all students outside the playing group record their reactions as if they were the student being addressed by the teacher. As an option, the forms can be collected by the assistants who tabulate the results while the next group is playing the influencer. When all groups have presented, the aggregated response to each question by influence type can be displayed on the board for discussion. (The assistants are helpful since the data comes in fast, and your time is spent coordinating role playing. It’s helpful for the assistants to have calculators.) The entire activity, including introductory lecture and post-exercise discussion, can be completed in fifty to seventy minutes. Outcomes The data allows the generation of tentative answers to several interesting questions: 1. Which kind of influence is most likely to immediately result in the desired behavior? Answer: Immediate Desired Behavior: Expert Power is likely to result in the immediate desired behavior, as students often respond well to instructors who demonstrate clear knowledge and competence. Referent Power (based on respect and admiration) can also be effective in quickly motivating students to improve their behavior. 2. Which will have the most long-lasting effect? Answer: Long-Lasting Effect: Inspirational Power or Referent Power may have the most lasting effect. When students respect and admire an instructor or are inspired by their passion, they are more likely to be motivated and engaged over the long term. 3. What effect will using a particular base of power have on the ongoing relationship? Answer: Ongoing Relationship Impact: Legitimate Power (authority based on position) can create compliance but may strain the relationship if used too heavily. Referent Power tends to enhance relationships as it is based on mutual respect and admiration, fostering a positive and supportive ongoing relationship. 4. Which form of power will others find most acceptable? Answer: Acceptability: Referent Power is generally the most acceptable form of influence, as it is based on personal connection and respect, rather than authority or coercion. Expert Power is also well-accepted, provided it is used to genuinely assist and guide rather than just to enforce rules. The group can use the answers to these questions to begin to draw a contingency framework for the use of different kinds of power. Under what conditions will a particular kind of influence be most effective and what will be the likely side effects? It is fruitful to share your own reactions to the data. A typical class had the following mean response (5 = high agreement): Q#1 Q#2 Q#3 Q#4 Punishment 4.0 3.1 2.1 1.6 Reward 3.9 3.6 4.2 4.2 Referent 2.9 2.2 3.4 4.6 Legitimate 3.3 2.1 2.4 1.2 Expert 3.7 3.3 3.4 3.6 Information 2.5 2.3 2.8 2.7 For this group, it is clear that you could get compliance by using punishment; however, that would have a detrimental effect on your ongoing relationships with students (they have power of their own of all six types!). Likewise, using your superior role may get results but not without relationship costs. It looks as if rewards are the most effective way to influence this group, but you can also rely on your expertise. Anecdotal data collected following class sessions leads to the belief that this is an effective way of teaching the French and Raven model. Most students appear to be actively and thoughtfully involved, and when asked to evaluate the class, students give high marks. *Adapted with permission from Gib Akin, Exchange 3, No. 4 (1978): 38-39. 11.2. Empowerment in the Classroom Instructor’s Notes Stress to the students that the ideas do not have to be workable, just discussible. One of the ways to keep the discussion moving, is to ask students to keep in mind the goals and mission of the university. This deters comments with simplified solutions like, no grades, no classes, no teachers, etc. The student portion of the activity is on a handout at the end of this chapter guide. 11.3. Power Dependency Instructor’s Notes The power dependency model allows students to analyze the influences on their lives. Once students begin this exercise, they are typically surprised at the number of influence and power points that are surrounding them. Instructors should mention that work experience is not necessary to complete this exercise. Students may choose to view the environment they are in as a student. The student portion of the activity is on a handout at the end of this chapter guide. Additional Examples Volkswagen—Perks and Prostitutes Scandal VW company allegedly bribed labor union leaders with company-paid shopping sprees for spouses, holiday visits with prostitutes, and cash bonuses to obtain their cooperation. At VW, a close relationship exists between the management and labor, and organized labor has a voice in important company decisions. VW’s former head of human resources was found guilty of endorsing the perks and prostitutes deal. He confessed to attempting to buy support from Klaus Volkert, who demanded and received $2.5 million in bonuses, along with $786,000 for luxury vacations, clothes, jewelry, and fake consulting fees for his girlfriend. A VW secretary confirmed that she was ordered to rent an apartment to be used for company and union executives’ liaisons with prostitutes. Trying to Influence Your Employees? Consider the Relationship Managers have several options in regard to what types of influence tactics they can use. However, successful attempts at influence may depend on more than which particular tactic is chosen. Recent research indicates that the way employees view their relationships with their leaders impact the effectiveness of the influence tactic. When leaders use ingratiation on their employees and those employees feel they have high-quality relationships with their leaders, they are less likely to resist change initiated by the leader. On the other hand, when the employees view the relationship as lesser in quality, they are more likely to resist change when ingratiation is used. Furthermore, when leaders use either legitimating tactics (tactics that seek to establish credibility such as aligning with organization policies) or punishment, more resistance is seen when the relationship between the supervisor and employee is of low quality. These findings indicate that before leaders determine how they should influence their followers, they need to consider the relationship. When the relationship is perceived as low quality by the employee, ingratiation, punishment, and legitimating tactics may cause increased resistance. SOURCE: S. A. Furst and D. M. Cable “Employee Resistance to Change: Managerial Influence Tactics and Leader-Member Exchange,” Journal of Applied Psychology 93 (2008): 453–462. Kiva—Empowering Entrepreneurs Through Kiva, you can lend to an entrepreneur in the developing world; someone who needs the money for a business like raising and selling vegetables, making bricks, or raising goats. Kiva was founded by Matt and Jessica Flannery who saw that small loans of $100 or so had the power to build small businesses and developed a blend of microfinance and social networking for their company. Loan opportunities are presented on their website with a picture of the entrepreneur and a description of his or her business and how the loan will be used. Lenders get updates of how the entrepreneur is doing, and when the borrower pays the loan back, the lender gets his or her money back. Kiva expects to loan $1 billion within ten years, $25 at a time. Kiva has 495,000 lenders including such prominent individuals as Bill Clinton and Oprah Winfrey and has empowered more than 105,000 entrepreneurs. Case Study and Suggested Responses Oracle’s Larry Ellison—A Profile of Power, Influence, and Dominance Linkage of Case to Chapter Material Larry Ellison, Chairman and CEO of Oracle Corp., has used his power and influence to grow the company, which as a result enabled both Oracle and Ellison to have a profound impact on the computer software industry and beyond. For Ellison, nothing is off limits, and corporate America, particularly the financial services sector, has benefited as a result. However, these benefits are a result Ellison’s less than laudatory use of power and influence. He attacks others and is coercive toward them; he tries to intimidate his rivals. In short, Larry Ellison is an interpersonally combative person. Andrew Bary, reporting in Barron’s in March 2011, says that “Ellison remains as combative as ever.” The case provides a marvelous illustration of several power and influence concepts in action. In particular, the case demonstrates coercive power, the negative face of power, the influence tactic of pressure, the ethically questionable use of power, and the ineffective use of power. Suggested Answers for Discussion Questions 1. What forms of interpersonal power does Larry Ellison use and how does he use them? Answer: Chapter 11 identifies five types of interpersonal power—reward, coercive, legitimate, referent, and expert. Reward power is based on an agent’s ability to control rewards that a target wants. Coercive power is based on an agent’s ability to cause an unpleasant experience for a target. Legitimate power is based on position and mutual agreement; that is, the agent and the target agree that the agent has the right to influence the target. Referent power is based on interpersonal attraction. The agent has referent power over the target because the target identifies with and wants to be like the agent. Expert power exists when an agent has specialized knowledge or skills that the target needs. Little, if any, evidence exists in the case to indicate that Larry Ellison uses reward power, legitimate power, or referent power. However, considerable evidence exists indicating that Ellison relies heavily on coercive power and to a lesser extent on expert power. The examples of Ellison’s use of coercive power include the following: •Ellison’s numerous attempts to acquire other computer-related businesses through hostile take-overs •Ellison’s nickname “The Pirate” was bestowed upon him during a hostile takeover attempt at Novelle and his “muscling into Red Hats action by undercutting the company’s support prices in an offering called Unbreakable Linux” •Ellison’s combative criticism of Hewlett-Packard’s board for firing CEO Mark Hurd, followed by Ellison’s hiring of Hurd to work at Oracle •Ellison’s attack on Leo Apotheker, Hurd’s successor as HP’s CEO, “of overseeing intellectual-property theft in his previous job at software maker SAP AG” Ellison’s disparagement of HP products in December 2010 reflects both coercive power and expert power. Ellison announced that Oracle had set a new world record in database speed, but he then went on to ridicule HP’s hardware productsespecially its serversas being pitifully slow. In addition to being coercive, this example is suggestive of an attempt to draw upon expert power, in that, Ellison is arguing for the superiority of Oracle’s products, which in turn reflect the superior expertise that Oracleand by extension, Ellisonhas in developing and producing them. Related to this is the quote regarding the comparison of Oracle-Sun’s 30-million-transactions-per-minute system to HP’s 4-million-transactions-per-minute system: “We’re gonna (sic) go after them [HP] in the marketplace with better software, better hardware, and better people, and we’re gonna (sic) win market share against those guys in the database business, in the middleware business, in the server business, and in the storage business because we have better products.” Ellison’s use of expert power also is evident in comments to stock analysts in mid-2007 wherein he said that, “Oracle wants to be the leader in such areas as communications billing, utility billing, and core banking. ‘We’re going to expand the number of vertical industries where we have industry-specific applications and we’re going to do that via acquisition.’ ” Forms of Interpersonal Power: Larry Ellison primarily uses Expert Power due to his deep knowledge of technology and the industry, Coercive Power through his demanding leadership style, and Reward Power by providing substantial financial incentives and career advancement opportunities to his employees. 2. How do the two faces of power relate to Larry Ellison’s actions? Answer: The two faces of power are negative and positive. The negative face of power represents power that is used for personal gain. People who use the negative face of power may be described as Machiavellian—willing to manipulate others for personal gain and unconcerned with others’ opinions or welfare. The existence of the negative face of power is amply demonstrated by the coercive power examples provided in the response to Question 1. The positive face of power is used to create motivation or to accomplish group goals. Managers who successfully use the positive face of power possess the following power-oriented characteristics: •Belief in the authority systemthey believe that the institution is important and that its authority system is valid; they are comfortable influencing and being influenced. •Preference for work and disciplinethey like their work and are very orderly. •Altruismthey publicly put the company and its needs before their own needs. •Belief in justicethey believe people should receive that to which they are entitled and that which they earn. Based on these characteristics, there is no evidence in the case to suggest that Ellison uses the positive face of power. Two Faces of Power: The “Power of Influence” face relates to Ellison’s ability to inspire and guide his team with his expertise and vision, while the “Power of Control” face is evident in his authoritative and sometimes harsh management style, which can both motivate and intimidate. 3. Does Larry Ellison use power ethically? Explain your answer. Answer: To address this question, students can utilize the three criteria that determine whether power-related behavior is unethical. These criteria can be captured in the following questions: •Does the behavior produce a good outcome for people both inside and outside the organization? •Does the behavior respect the rights of all parties? •Does the behavior treat all parties equitably and fairly? In light of the examples of coercive power that were described in the suggested response to Question 1 and the fact that corporate America, particularly the financial services sector, has benefited from Ellison’s business actions, each of the above questions could be answered as follows: •Ellison’s behavior produces both good outcomes and bad outcomes for people inside Oracle as well as outside of it. •Ellison’s behavior most likely does not respect the rights of all parties. •Ellison’s behavior most likely does not treat all parties fairly and equitably. On balance, therefore, the evidence suggests that Ellison does not use power ethically. Ethical Use of Power: Ellison’s use of power can be seen as both ethical and unethical. He drives innovation and success but has faced criticism for his aggressive tactics and demanding nature, which can be seen as ethically questionable if they undermine employee well-being. 4. What influence tactics does Larry Ellison use? How does he use these influence tactics? Answer: The text identifies a variety of tactics that people can use to influence one another. These tactics include—pressure, upward appeals, exchange, coalition, ingratiation, rational persuasion, inspirational appeals, and consultation. Of these various influence tactics, the one that is clearly used by Larry Ellison is pressure. Pressure involves using demands, threats, or intimidation to convince other people to comply with a request or to support a proposal. All the examples described in the response to Question 1 with respect to illustrating Ellison’s use of coercive power can also be cited here as evidence of Ellison’s use of the influence tactic of pressure. Influence Tactics: Ellison uses Inspirational Appeals by setting ambitious goals and leading by example, Rational Persuasion by leveraging his expertise to convince stakeholders, and Pressure Tactics through high expectations and strict deadlines. These tactics are employed to drive performance and achieve strategic objectives. 5. Does Larry Ellison use power effectively? Explain your answer. Answer: John Kotter suggests the following guidelines for using power effectively—use power in ethical ways; understand and use all of the various types of power and influence; seek jobs that enable the development of power skills; use power tempered by maturity and self-control; and accept that influencing people is an important part of the management job. A strong argument can be made that Ellison does not use power effectively because he does not use it in an ethical way and because he limits himself in the usage of available power sources and influence tactics. Ellison relies almost exclusively on the use of force to get people to accede to his desires and to have them do what he wants. Sydney Finkelstein provides another perspective on effectively using power. He identifies several reasons why executives fail in their use of power. These reasons are—executives see themselves and their companies as dominating their environments; executives think they have all of the answers; executives ruthlessly eliminate anyone who isn’t 100 percent behind them; executives stubbornly rely on what worked for them in the past; and executives have no clear boundaries between their personal interests and their corporate interests. Without a doubt, Larry Ellison’s behavior fits very well with these failure criteria (for evidence, see the responses to the preceding four questions). No matter how successful Larry Ellison has been, he nonetheless does not stack up favorably against either Kotter’s criteria or Finkelstein’s criteria. Effectiveness of Power: Ellison uses power effectively in terms of achieving Oracle’s business goals, driving innovation, and maintaining a competitive edge. His leadership style has significantly contributed to Oracle’s growth, though it can also lead to high turnover and dissatisfaction. 6. In your own future career, would you be willing to emulate Larry Ellison’s behavior? Why or why not? Answer: This discussion question provides students with the opportunity to explore whether success is so important to them that they would be willing to rely on coercing, forcing, and intimidating others to get their way. Students should be encouraged to consider the advantages and disadvantages of relying on such methods of exercising power and influence. They should also examine what the consequences are for themselves as agents as well as for the individual targets and the organizations (or organizational units) in which those targets work. Emulating Ellison’s Behavior: Whether to emulate Ellison’s behavior depends on personal values and career goals. If valuing aggressive growth and high achievement aligns with one's career aspirations and ethical views, his behavior might be considered. However, if prioritizing a supportive work environment and ethical leadership is important, his approach may not be ideal. SOURCE: This case solution was written by Michael K. McCuddy, The Louis S. and Mary L. Morgal Chair of Christian Business Ethics and Professor of Management, College of Business Administration, Valparaiso University. Video Profile on Barcelona Restaurant Group For anyone who has waited tables, restaurant turnover is a familiar experience. Cooks, servers, and bussers have famously short careers, and restaurant managers also suffer burnout. Unlike run-of-the-mill chains, Barcelona’s higher standard of service demands letting go employees who aren’t up to snuff. At the end of the day, Chief Operating Officer Scott Lawton says, people either possess the necessary intelligence and skills to run a restaurant or they don’t. And since the restaurant industry doesn’t have time for learning curves, the success or failure of an establishment boils down to hiring competent self-motivated employees. Discussion Questions and Solutions 1. Who has authority at Barcelona? Answer: In the video, individuals who possess authority at Barcelona are Scott Lawton, Barcelona’s chief operating officer, and the restaurant managers. These people have the right to influence others by virtue of their positions in the company. 2. What forms of interpersonal power do these individuals possess? Answer: Scott Lawton and the Barcelona managers wield legitimate power by virtue of their formal organizational positions. They also possess reward power, as they can hire employees and determine compensation; coercive power, as they can fire workers; expert power, as they are restaurant veterans; and referent power, as they appear to have the respect of lower-level employees. 3. Identify Kanter’s symbols of power that are evident at Barcelona Restaurant Group. Answer: Kanter’s symbols of power that are evident at Barcelona Restaurant Group are: •Ability to get placements for favored employees—COO Scott Lawton is shown making staffing decisions. •Ability to intercede for someone in trouble—during the weekly managers meeting, numerous managers defend the sagging performance of a co-worker named DJ. •Getting items on the agenda at meetings—Scott Lawton sets the agenda for managers’ meetings and job interviews. •Having top managers seek out their opinion—COO Scott Lawton seeks the opinions of his management team during the managers meeting. Student Handouts Ethical Dilemma Jesse Stockton is an employee at Norbury Manufacturing, and he approaches his boss, George Underhill, with a dilemma. Two of Norbury’s main clients, Lowry Ltd. and Principal Contractors, have orders for motor components. Jesse explains to George that, due to an unexpected emergency order, there are only enough components to fulfill one of the two orders. Jesse informs George that Norbury will be able to fulfill the second order within two weeks, but that they will miss the deadline of one of the companies. Shipping incomplete orders to either client is not acceptable, so they must choose which company’s order to fill. Jesse assures George that he will rush out the second order as quickly as possible. Jesse asks George what to do. George knows that Lowry Ltd. has been a longtime client of Norbury, consistently ordering all of their parts from the company and never have been late in payments. Lowry, a company of about 150 people, completely depends on Norbury’s strong track record of order fulfillment to maintain their day-to-day business. Lowry is also one of Norbury’s largest clients with monthly invoice nearly double that of most of Norbury’s other regular clients. George has even greater insight into Principal Contractors’ situation—George’s sister-in-law is the head buyer. He knows that if Valerie’s first attempt to order through Norbury falls through, it will be a disaster for her, since she is new and attempting to instigate change. He doesn’t want his brother and his brother’s wife to suffer if Valerie loses her new job because George’s company couldn’t meet its obligations. George looks Jesse in the eye and tells him to fill Principal Contractors’ order and to fill Lowry’s order as soon as possible. Jesse leaves George’s office very confused. He was certain that George would have told him to fill the Lowry order given the long and very successful relationship the two companies have always had. This is not the first time that George has made a decision that Jesse questions. But, it is the first time that the decision could have such negative outcomes. Jesse considers going over George’s head to confirm the decision, but if George’s boss agreed, Jesse’s job could be at stake. Questions 1. Using consequential, rule-based, and character theories, evaluate Jesse’s options. Answer: Consequential Theory: Jesse should weigh the outcomes—fulfilling Principal Contractors’ order might help George’s sister-in-law but could harm Lowry Ltd., a key client. Rule-Based Theory: Ethical rules may dictate honoring longstanding business relationships and contractual obligations, favoring Lowry Ltd. Character Theory: Jesse’s decision should reflect integrity and fairness, considering the long-term impact on all stakeholders. 2. What should Jesse do? Why? Answer: What Jesse Should Do: Jesse should fulfill Lowry Ltd.'s order due to their critical and longstanding relationship with Norbury, which aligns with both ethical rules and long-term business interests. He should communicate his concerns to George and seek clarification or escalation if needed, while ensuring transparency in his decision-making process. What about You? How Politically Skilled Are You? Using the following seven-point scale, choose the number that best describes how much you agree with each statement about yourself. 1 = strongly disagree 2 = disagree 3 = slightly disagree 4 = neutral 5 = slightly agree 6 = agree 7 = strongly agree 1. _____ I spend a lot of time and effort at work networking with others. Answer: 5 2. _____ I am able to make most people feel comfortable and at ease around me. Answer: 6 3. _____ I am able to communicate easily and effectively with others. Answer: 6 4. _____ It is easy for me to develop good rapport with most people. Answer: 5 5. _____ I understand people very well. Answer: 6 6. _____ I am good at building relationships with influential people at work. Answer: 5 7. _____ I am particularly good at sensing the motivations and hidden agendas of others. Answer: 4 8. _____ When communicating with others, I try to be genuine in what I say and do. Answer: 6 9. _____ I have developed a large network of colleagues and associates at work who I can call on for support when I really need to get things done. Answer: 5 10. _____ At work, I know a lot of important people and am well connected. Answer: 4 11. _____ I spend a lot of time at work developing connections with others. Answer: 4 12. _____ I am good at getting people to like me. Answer: 5 13. _____ It is important that people believe I am sincere in what I say and do. Answer: 6 14. _____ I try to show a genuine interest in other people. Answer: 6 15. _____ I am good at using my connections and network to make things happen at work. Answer: 5 16. _____ I have good intuition or savvy about how to present myself to others. Answer: 5 17. _____ I always seem to instinctively know the right things to say or do to influence others. Answer: 5 18. _____ I pay close attention to people’s facial expressions. Answer: 4 A higher score indicates better political skill. SOURCE: G. Ferris, S. L. Davidson, & P. L. Perrewe, Political Skill at Work: Impact on Work Effectiveness (Davies-Black Publishing: Boston, MA. 2005). 63916_ What about You? Are You Self-Empowered? Circle either a. or b. to indicate how you usually are in these situations: 1. If someone disagrees with me in a class or a meeting, I a. immediately back down b. explain my position further Answer: b. explain my position further 2. When I have an idea for a project, I a. typically take a great deal of time to start it b. get going on it fairly quickly Answer: b. get going on it fairly quickly 3. If my boss or teacher tells me to do something that I think is wrong, I a. do it anyway, telling myself he or she is “the boss” b. ask for clarification and explain my position Answer: b. ask for clarification and explain my position 4. When a complicated problem arises, I usually tell myself a. I can take care of it b. I will not be able to solve it Answer: a. I can take care of it 5. When I am around people of higher authority, I often a. feel intimidated and defer to them b. enjoy meeting important people Answer: b. enjoy meeting important people 6. As I awake in the morning, I usually feel a. alert and ready to conquer almost anything b. tired and have a hard time getting myself motivated Answer: a. alert and ready to conquer almost anything 7. During an argument, I a. put a great deal of energy into “winning” b. try to listen to the other side and see if we have any points of agreement Answer: b. try to listen to the other side and see if we have any points of agreement 8. When I meet new people, I a. always wonder what they are “really” up to b. try to learn what they are about and give them the benefit of the doubt until they prove otherwise Answer: b. try to learn what they are about and give them the benefit of the doubt until they prove otherwise 9. During the day I often a. criticize myself on what I am doing or thinking b. think positive thoughts about myself Answer: b. think positive thoughts about myself 10. When someone else does a great job, I a. find myself picking apart that person and looking for faults b. often give a sincere compliment Answer: b. often give a sincere compliment 11. When I am working in a group, I try to a. do a better job than the others b. help the group function more effectively Answer: b. help the group function more effectively 12. If someone pays me a compliment, I typically a. try not to appear boastful and I downplay the compliment b. respond with a positive “thank you” or similar response Answer: b. respond with a positive “thank you” or similar response 13. I like to be around people who a. challenge me and make me question what I do b. give me respect Answer: a. challenge me and make me question what I do 14. In love relationships, I prefer the other person to a. have his or her own selected interests b. do pretty much what I do Answer: a. have his or her own selected interests 15. During a crisis, I try to a. resolve the problem b. find someone to blame Answer: a. resolve the problem 16. After seeing a movie with friends, I a. wait to see what they say before I decide whether I liked it b. am ready to talk about my reactions right away Answer: b. am ready to talk about my reactions right away 17. When work deadlines are approaching, I typically a. get flustered and worry about completion b. buckle down and work until the job is done Answer: b. buckle down and work until the job is done 18. If a job comes up I am interested in, I a. go for it and apply b. tell myself I am not qualified enough Answer: a. go for it and apply 19. When someone treats me unkindly or unfairly, I a. try to rectify the situation b. tell other people about the injustice Answer: a. try to rectify the situation 20. If a difficult conflict situation or problem arises, I a. try not to think about it, hoping it will resolve itself b. look at various options and may ask others for advice before I figure out what to do Answer: b. look at various options and may ask others for advice before I figure out what to do SOURCE: “Are You Self-Empowered?” by Dorothy Marcic. Copyright 1988. All rights reserved. Reprinted by permission. Issues in Diversity Barack Obama—A Different Kind of Power When then-Presidential candidate Barack Obama said that he would negotiate directly with Iranian leaders for peaceful relations as long as Iranian leaders agreed to set aside the nation’s nuclear weapons program and support of terrorists, he received a great deal of criticism from members in both major political parties. Former President Bush (43) referred to Obama’s proposal as a “foolish delusion,” likening it to trying to appease Hitler during World War II through sensible conversation. As President, Barack Obama has continued to display the same style of power that he displayed as a candidate regarding his stance toward peaceful diplomacy and negotiations. Obama’s style is a significant departure from earlier policies, and it has changed the way that some in strong “anti-American” countries view the United States. A recent Boston Globe article suggests that Obama just might be making inroads toward that goal, citing posters and songs dedicated to the new American president popping up everywhere from Egypt to the Persian Gulf. Some believe that Obama’s global popularity could foil attempts by some global leaders to use anti-American feelings to strengthen their own power. By all accounts, Obama is not your “typical” American president in more than the obvious ways. The tactics that he uses to influence others, particularly those in countries considered U.S. adversaries, is unlike those used by past American presidents. Rather than a heavy-handed approach that includes fear of retribution and threat of punishment, Obama prefers a “softer,” more conciliatory approach to achieve his desired objectives. Questions 1. What role do you believe culture plays in Obama’s decision to use a less coercive strategy to influence “anti-American” governments? Answer: Culture plays a significant role in Obama’s approach, as his strategy reflects a desire to build mutual respect and understanding, countering historical antagonisms. Emphasizing diplomacy and dialogue aligns with his cultural values of empathy and collaboration, aiming to reshape perceptions and reduce tensions. 2. Do leaders who use softer influence tactics run the risk of being perceived as weak? Explain. Answer: Leaders using softer tactics might be perceived as weak if their approach is seen as yielding or lacking resolve. However, effective communication and empathy can also be viewed as strength, demonstrating confidence in diplomacy and a commitment to long-term relationships over short-term aggression. SOURCE: B. Bender, “Gentler approach challenges anti-US regimes, analysts say ‘Great Satan’ images suffers under Obama,” The Boston Globe, (February 11, 2009), p. A12; S.G. Stolberg, “Bush speech criticized as attack on Obama,” The New York Times, (May 16, 2008). Experiential Exercise Social Power Role Plays 1. The class will be divided into five groups, each of which is assigned one of the French and Raven types of power. 2. Read the following paragraph and prepare an influence plan using the type of power that has been assigned to your group. When you have finished your planning, select one member to play the role of instructor. Then choose from your own or another group a “student” who is to be the recipient of the “instructor’s” efforts. You are an instructor in a college class and have become aware that a potentially good student has been repeatedly absent from class and sometimes is unprepared when he is there. He seems to be satisfied with the grade he is getting, but you would like to see him attend regularly, be better prepared, and thus do better in the class. You even feel that the student might get really turned on to pursuing a career in this field, which is an exciting one for you. You are respected and liked by your students, and it irritates you that this person treats your dedicated teaching with such a cavalier attitude. You want to influence the student to start attending regularly. Role-playing. Each group role-plays its influence plan. During the role-playing, members in other groups should think of themselves as the student being influenced. Fill out the following “Reaction to Influence Questionnaire” for each role-playing episode, including your own. Tabulate the results of the questionnaire within your group. For each role-playing effort, determine how many people thought the power used was reward, coercive, and so on; then add up each member’s score for item 2, then for items 3, 4, and 5. Group discussion. As a class, discuss which influence strategy is the most effective in compliance, long-lasting effect, acceptable attitude, and enhanced relationships. What are the likely side effects of each type of influence strategy? Answer: Group Discussion Summary: • Most Effective in Compliance: Reward and coercive power prompt immediate compliance but can lead to dependency or resentment. • Long-Lasting Effect: Expert and referent power drive enduring change through respect and trust. • Acceptable Attitude: Referent and expert power are viewed more positively, fostering cooperation and respect. • Enhanced Relationships: Referent power excels at building strong, supportive relationships. • Side Effects: Reward power may lead to entitlement; coercive power can cause resentment; expert power depends on ongoing expertise; referent power requires continuous personal engagement. Role-Play #1 1. Type of power used (mark one): •Reward—ability to influence because of potential reward •Coercive—ability to influence because of capacity to coerce or punish •Legitimate—stems from formal position in the organization •Referent—comes from admiration and liking •Expert—comes from superior knowledge or ability to get things done •Information—access to and control over important information Role-Plays Think of yourself on the receiving end of the influence attempt just described and record your own reaction by circling the appropriate number. 1. As a result of this influence attempt I will … Definitely not comply Definitely comply 1 2 3 4 5 2. Any change that does come about will be … Temporary Long-lasting 1 2 3 4 5 3. My own personal reaction is … Resistant Accepting 1 2 3 4 5 4. As a result of this influence attempt, my relationship with the instructor will probably be … Worse Better 1 2 3 4 5 SOURCE: Adapted with permission from G. Akin, Exchange 3, No.4 (1978): 38–39. Experiential Exercise Empowerment in the Classroom 1. Form groups of six people. 2. Each group is to brainstorm ways in which students might be more empowered in the classroom. The ideas do not have to be feasible or reasonable. They can be as imaginative as possible. 3. Each group should analyze each of the empowerment ideas for feasibility, paying attention to administrative or other constraints that may hamper implementation. This feasibility discussion might include ideas about how the college or university could be altered. 4. Each group should present its empowerment ideas along with its feasibility analysis. Questions of clarification for each group should follow each presentation. 5. Discuss the following questions as a class: a. Who is threatened by the power changes caused by empowerment? b. Are there unintended or adverse consequences of empowerment? Explain. Experiential Exercise Power Dependency In some areas of your life, you have a great deal of control over power and influence. On the other hand, in organizations you may have little control over power. The diagram below illustrates the network of power and influence for a hospital manager. The degree to which the manager depends on people and positions and the degree of emphasis are indicated between the position and the hospital manager. On a separate sheet, list your organization and provide five medium and five high dependency categories. You may choose a position in an organization with which you have experience, or you could analyze your position as a student or a member of your family. After you have completed your list, answer the following questions, first to yourself, and then, if time permits, in small groups. 1. Whom do you really depend on in the position you’re analyzing? How important is each dependency? What is the basis of each dependency? Answer: Dependencies: I depend on my supervisor for guidance and project approval, on my team for collaboration, and on clients for feedback and direction. Each is crucial for successful outcomes. 2. Are any of these dependencies inappropriate or dysfunctional? What can you do about that? Answer: Inappropriateness: Dependencies are functional, but if the supervisor’s decisions are inconsistent, it could be problematic. Regular feedback sessions could mitigate this issue. 3. How do you maintain your own base of influence in each of these dependencies? Do you feel that you have a base of influence in each of them? Answer: Maintaining Influence: I stay influential by delivering results, communicating effectively, and showing reliability. I do feel I have influence, but it's important to actively manage and adapt it. 4. What kinds of power and influence do you think you need to develop further? What resources can help you? Answer: Development Needs: I need to develop strategic influence and negotiation skills. Resources like leadership training, mentorship, and relevant books can aid in this development. Hospital Manager—Example High Dependency Medium Dependency Mayor’s office City bureaucracy Accreditation agency State government Main employee union Local community groups Eleven smaller unions Other hospitals in the city Civil service Local press Affiliated medical school Federal government Source: From R. E. Quinn, S. R. Faerman, M. P. Thompson, M. R. McGrath Becoming A Master Manager: A Competency Framework (Wiley and Sons, 1990), 273. Case Study Oracle’s Larry Ellison—A Profile of Power, Influence, and Dominance “Risk is something that comes naturally to Larry Ellison, Chairman and CEO of Oracle Corp. Since 1977, when he and co-founders Bob Miner and Ed Oates started the company, which harnessed the power of relational database technology and, ultimately, paved the way for enterprise computing, Ellison has been making wavesin the industry and with rivals. For him, nothing is off limits, and corporate America, particularly the financial services sector, has benefited as a result. Oracle is the first software company to develop and deploy 100 percent internet-enabled enterprise software across its database, business applications, and application development and decision-support tools.” Over the years, Larry Ellison has used his power and influence to grow Oracle and have a profound impact on the computer software industry and beyond. Ellison wants to extend Oracle’s reach wherever possible. In a conference call with stock analysts in mid-2007, Ellison said that “Oracle wants to be the leader in such areas as communications billing, utility billing, and core banking. ‘We’re going to expand the number of vertical industries where we have industry-specific applications and we’re going to do that via acquisition.’ ” Ellison’s penchant for growth through acquisition is powerfully captured in the nickname The Pirate, which was bestowed upon him by independent consultant and Network World newsletter author Dave Kearns. This moniker is rooted in the 2006 rumor that Oracle was trying to acquire Novelle and that Ellison was “muscling into Red Hats action by undercutting the company’s support prices, in an offering called Unbreakable Linux.” “Ellison  has been changing the tech industry for years. Though skeptics doubted he could build a good tech giant through roll-ups, Ellison has kept rolling and rolling, making Oracle the world’s largest provider of corporate software.” All of these acquisitions contributed to Oracle’s considerable successes in databases, applications, and middleware. However, “the software stage simply wasn’t expansive enough for Ellison. Not that he grew bored with software and went off looking for some new diversion to soak up his vast levels of energy and curiosity. Rather, the software-only toolbox possessed by Oracle before it acquired Sun  was simply becoming insufficient to drive the profound computing industry changes and disruptions envisioned by Ellison and demanded by some cutting-edge customers.” Ellison’s efforts to exercise power and influence extend far beyond acquiringoften through hostile takeoverother business. For instance, Ellison’s combative actions subsequent to the forced resignation of Mark Hurd as Hewlett-Packard’s CEO in August 2010 after an investigation into allegations of sexual harassment by Hurd shows how Ellison uses his power and influence in other ways. Ellison publicly blasted HP’s board for forcing Hurd’s resignationand then he hired Hurd to work at Oracle. Leo Apotheker, Hurd’s successor as Hewlett-Packard’s CEO, quickly became the target of Ellison’s wrath. Apotheker was immediately accused by Larry Ellison “of overseeing intellectual-property theft in his previous job at software maker SAP AG” but Apotheker maintained that Ellison’s allegations were propaganda and patently untrue. Subsequent to his initial accusation about Apotheker, Ellison “blasted the HP board and Apotheker several times, questioning their competence, intelligence, and integrity.” Although Ellison carefully confined his earlier tongue lashings to HP’s board and to Apotheker, he just as carefully avoided criticizing longtime strategic partner HP itself. Then in December 2010, when Ellison announced that “Oracle had achieved a new world record in database speed, Ellison hammered HP’s hardware products in general and its servers in particular, ridiculing them as being pitifully slow.” According to Ellison, the best that HP’s equipment was capable of was 4 million transactions per minute, whereas Oracle-Sun’s new system would be capable of 30 million transactions per minute. Continuing, Ellison asserts: “We’re gonna (sic) go after them [HP] in the marketplace with better software, better hardware, and better people, and we’re gonna (sic) win market share against those guys in the database business, in the middleware business, in the server business, and in the storage business because we have better products.” Bob Evans, writing in InformationWeek in August 2010, observed: “Whether you admire Oracle and its celebrity CEO or wish he’d go for a 10-year sail in the South Pacific, his ability to influence competitors and customers is profoundand, in my opinion, is on the verge of expanding dramatically.” Larry Ellison’s lust for dominance goes further still. Writing in Forbes Magazine in March 2011, Victoria Barrett observed that “Ellison has long desired to undo Microsoft and become, as he has put it, the ‘number one’ software company in the world. He’s not there yet, despite having spent some $40 billion to buy up 75 hardware and software companies over the years.” Will Larry Ellison continue to be successful in his quest for Oracle’s dominance? Andrew Bary, reporting in Barron’s in March 2011 may provide an important clue regarding what the future holdsBary says that Ellison “remains as combative as ever.” Discussion Questions 1. What forms of interpersonal power does Larry Ellison use and how does he use them? Answer: Forms of Power: Larry Ellison uses expert power due to his deep industry knowledge, reward power by offering lucrative incentives, and coercive power through strong performance expectations. 2. How do the two faces of power relate to Larry Ellison’s actions? Answer: Two Faces of Power: Ellison’s power shows both personal (his charisma and vision) and social (his strategic influence and control over Oracle’s resources). 3. Does Larry Ellison use power ethically? Explain your answer. Answer: Ethical Use: His power is seen as ethically ambiguous due to aggressive tactics and high demands, though he often justifies it through company success and growth. 4. What influence tactics does Larry Ellison use? How does he use these influence tactics? Answer: Influence Tactics: Ellison uses rational persuasion (emphasizing logical arguments), inspirational appeals (motivating with vision), and pressure tactics (setting high standards and deadlines). 5. Does Larry Ellison use power effectively? Explain your answer. Answer: Effectiveness: He effectively drives Oracle’s growth and market position, though his style may strain relationships and create high-pressure environments. 6. In your own future career, would you be willing to emulate Larry Ellison’s behavior? Why or why not? Answer: Career Emulation: Emulating Ellison’s behavior could be effective for achieving ambitious goals but may not suit all environments. Balancing assertiveness with ethical consideration is crucial. 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