Final Project Part I

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Conflict, Power, and Poli1cs

Organiza(on Theory and Design Twel%h Edi+on Richard L. Da%

Interdepartmental Conflict in Organiza+ons

•  Groups may be dispersed across the organiza+on

•  Intergroup conflict requires three ingredients:

- Group Iden+fica+on

- Observable Group Differences

- Frustra+on

Sources of Conflict

ü  Goal Incompa+bility

ü  Differen+a+on

ü  Task Interdependence

ü  Limited Resources

Marke+ng-Manufacturing Areas of Poten+al Goal Conflict

Ra+onal versus Poli+cal Model

•  The ra0onal model where behavior is not random or accidental – Goals are clear and choices are made logically

•  The poli0cal model involves push and pull debate regarding goals – Organiza+on groups have separate interests and goals

Sources of Conflict and Use of Ra+onal versus Poli+cal Model

Top 10 Problems from Too Much Conflict

Tac+cs for Enhancing Collabora+on

•  Create integra+on devices

•  Use confronta+on and nego+a+on

•  Schedule intergroup consulta+on

•  Prac+ce member rota+on

•  Create shared mission and superordinate goals

Nego+a+on Strategies

Power and Organiza+ons

•  Power is the poten+al ability of one person to influence other people

•  Individual versus Organiza0onal Power – Legi+mate Power – Reward Power – Coercive Power – Expert Power – Referent Power

Power versus Authority Authority is more narrow than power

–  Defined by the formal hierarchy and repor+ng rela+onships

•  Authority is vested in organiza+onal posi+ons •  Authority is accepted by subordinates •  Authority flows down the ver+cal hierarchy

•  Power can be exercised upward, downward, and horizontally

•  Authority is exercised downward along the hierarchy

Ver+cal Sources of Power •  Formal Posi0on – legi+mate power accrued to top posi+ons

•  Resources – resources can be used as a tool for power

•  Control of Informa0on – informa+on is a primary business source

•  Network Centrality – being centrally located in the organiza+on and having access

•  People – loyal execu+ves/managers

Informa+on Flow for Computer Decision at Clark Ltd.

Illustra+on of Network Centrality

The Power of Empowerment •  Power sharing, the delega+on of power or authority to subordinates

•  Empowerment benefits: – Employees receive informa(on about company performance

– Employees have knowledge and skills to contribute to company goals

– Employees have the power to make substan(ve decisions

Horizontal Sources of Power

•  Rela+onships across departments, divisions, units

•  Strategic Con0ngencies – groups most responsible for key organiza+on issues

•  Power Sources – five power sources that departments may possess

Ra+ngs of Power among

Departments in Industrial

Firms

Strategic Con+ngencies That Influence Horizontal Power among Departments

Poli+cal Processes in Organiza+ons

•  Poli0cs is the use of power to influence decisions toward goals

•  Organiza0onal Poli0cs - ac+vi+es to acquire, develop, and use power to influence goals

•  Domains of poli0cal ac0vity: – Structural Change – Management Succession – Resource Alloca+on

Using So% Power and Poli+cs

•  Managers can rely on “hard power” which stems from a person’s posi+on of authority

•  Effec+ve managers o%en use “so< power” which is based on personal characteris+cs and building rela+onships

Power and Poli+cal Tac+cs in Organiza+ons

Design Essen+als v Conflict, power, and poli+cs are natural outcomes of organizing v There are two views for organiza+ons: ra+onal and poli+cal models v Managers should enhance collabora+on to reduce conflict

Design Essen+als

v There are ver+cal and horizontal sources of power

v Certain characteris+cs make some departments more powerful than others

v Managers need poli+cal skills