LEADERSHIP: Theory, Application, Skill Development 2d Edition Robert N. Lussier and Christopher F. Achua . This presentation edited and enhanced by: George W. Crawford Asst. Prof. of Mgmt. Clayton College & State University Morrow, GA 30260 [email protected] Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-1 Chapter 4 Influencing: Power, Politics, Networking and Negotiation Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-2 Chapter 4 Learning Outcomes • Position vs personal power • Differences among legitimate, reward, coercive, and referent power • Relationship of power and politics • Similar use of money and politics • Steps in networking process • Steps in negotiation process • Relationship among: negotiation, conflict, influencing tactics, power, politics Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-3 Influencing The process of affecting others’ attitudes and behavior to achieve an objective. Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-4 2 Sources of Power Position Personal Derived from top management Derived from the follower based on leader’s behavior Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-5 Rational Persuasion Pressure Legitimization Coalitions Inspirational Appeals 9 Influencing Tactics Exchange Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Consultation Ingratiation Personal Appeals 4-6 Source: Adapted from J. French and B.H. Raven. 1959. “The Bases of Social Power.” In Studies of Social Power. D. Cartwright, ed. Ann Arbor, MI: Institute for Social Types of Power • Legal/Legitimate: – Comes from appointed/elected position – Most followers grant this to a leader • Reward: – Control of things valued by followers – Based on exchange relationship Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-7 Types of Power Referent: – Based on respect & personal relationships • Earned respect increases referent power • Being better liked increases referent power • Being seen as a team player, dedicated, and effective increase referent power – Can be developed by anyone regardless of other types of power or the lack thereof – Critical between: • Leaders & followers • Peers • Leaders & their superiors – Excellent base for a relational or balanced relational/structural leadership style Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-8 Types of Power • Expert: – Comes from skill, expertise, knowledge – Makes others dependent on the person with the power – Can be for advice, to fix your computer, etc. • Information/Resource: – Comes from control of data, information or other needed resources • • • • $$$ Equipment Human Resources Supplies & Material Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-9 Types of Power • Coercive/Punishment: – Ability to punish or withhold rewards – Often used by peers to enforce norms • Connection: – Comes from associating with influential people – Political Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-10 THE SINGLE MOST EFFECTIVE WAY TO ACCUMULATE POWER IN AN ORGANIZATION Regularly provide services, favors, and assistance to everyone within the organization. The more impossible these acts are to repay, the greater the power gain. Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-11 Politics • The process of gaining and using power • Fact of life in organizations • Neither good or bad Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-12 3 Common Political Behaviors Networking Reciprocity Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Coalitions 4-13 Political Behavior Skill Development Reciprocity Learn the Organizational Culture & Power Players Coalitions Develop Good Working Relationships Especially with your Manager Be Loyal, Honest Team Player Gain Recognition Networking Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-14 Networking on the Job • Key to promotion to higher management • Requires social skills • Is about building professional relationships and friendships • Difficult for women – Not called “the good old boy network” for nothing Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-15 Networking to Find a Job • Most successful approach • 2/3 of all jobs – Word of mouth – Informal referrals • Results in more new jobs than all other methods combined Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-16 The Networking Process • Perform a self-assessment and set goals • Create your one-minute self sell • Develop your network • Conduct networking interviews • Maintain your network Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-17 Perform a Self-Assessment and Set Goals • Accomplishments • Tie accomplishments to the Job Interview • Set Networking Goals Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-18 Create Your One-Minute Self-Sell • History of your career • Plans for the future • Questions to stimulate conversation • Write and Practice Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-19 Develop Your Network • Begin with who you know • Expand to people you don’t know – Referrals – Volunteer work • Develop ability to remember peoples’ names Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-20 Conduct Networking Interviews • Not job interviews • Use network list • Use many interviews to reach networking goals • Informal or via telephone • You are the interviewer – Be prepared Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-21 Conducting Interviews • Establish rapport • Deliver your one-minute selfsell • Ask prepared questions • Get additional contacts for your network • Ask your contacts how you might help them • Followup – Send thank-you notes – Give status reports Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-22 NEGOTIATION • Two or more parties which are in conflict (disagreement) working to reach an agreement • Common in: – Job searches – Labor relations – Sales Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-23 Negotiation Process Plan Negotiations Postponement Agreement Close the deal No Agreement Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-24 PLAN • Research the other party(ies) • Set objectives – Lower limit – Objective – Opening • Develop options & tradeoffs • Be prepared to deal with questions & objections (especially unstated) Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-25 NEGOTIATIONS • Develop rapport • Keep it professional, never personal • Try to get the other person to make the first offer • • • • “He who mentions a dollar amount first, loses”, Job Hunting adage Ask questions Listen Don’t give in too quickly Never give something up for free Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-26 POSTPONEMENT • May be advantageous or disadvantageous • Most interested party usually tries to avoid postponements – May try to create a sense of urgency Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-27 Agreement • Both sides should feel good about the agreement • Get it in writing • Quit selling • Start work on a personal relationship Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-28 Disagreement • Accept that agreement isn’t possible • Learn from the failure • Ask the other party what you did right & wrong • Analyze and plan for the next time Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-29 Negotiation Adage • “If you can’t afford to walk away, or at least convince the other side that you will walk away, you’ve already lost.” – Convincing others you will walk away when you can’t is very tough. Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-30 Discussion Question #1 • What are the nine influencing tactics? Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-31 Discussion Question #2 • What are the seven types of power? Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-32 Discussion Question #3 • Which two types of power do effective leaders most commonly use? Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-33 Discussion Question #4 • What is the similarity and differences between social exchange theory and strategic contingencies theory? Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-34 Discussion Question #5 • What are three political behaviors and four guidelines for developing political skills? Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-35 Discussion Question #6 • Can management order the end of power and politics in their organizations? Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-36 Discussion Question #7 • Should people be judged based on their social skills? Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-37 Discussion Question #8 • Do you believe that networking is really all that important? Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-38 Discussion Question #9 • Do people really need a written networking list? Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-39 Discussion Question #10 • How many interview questions should you bring to a networking interview? Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-40 Discussion Question #11 • What type of situation is the goal of negotiation? Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-41 Discussion Question #12 • What are the steps in planning a negotiation? Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-42 Discussion Question #13 • What are the steps in negotiations? Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. 4-43
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