Khimberly Grace S.

Claveria

PA – 32

1. Discuss organizational power in the organization;

Organizational power is the ability that you have to influence the behavior of another
stakeholder in your organization. Your power is measured by the extent that you can use your
influence to get that stakeholder to do something that he or she would otherwise prefer not to
do.

2.  Enumerate and explain sources of power. Which of them do you have and are you using
them, as you should? Why?

Power of Reward
Using a reward to obtain power is something you may be familiar with from childhood.
Perhaps you were offered a trip to the amusement park if you earned good grades in school.
Motivation through the offering of reward is common, and when you have the ability to offer
such a reward, you have a source of power. Offering your employees the opportunity to leave
work early if they accomplish the desired task is using the power of reward.
Power of Coercion
Coercive power is also something that you may be familiar with from childhood. A
parent using coercion will send a child to bed early if the child refuses to clean his room, just as
an employer will threaten disciplinary action if an employee refuses to perform the desired task.
When your employee complies with your orders in an effort to avoid punishment, you have
effectively utilized coercion as a source of power.
Legitimate Power
Legitimate power is power granted and recognized by your position. As a manager,
you have legitimate power over those who directly report to you. Your position is recognized as
that of authority, and your direct reports recognize they are obligated to comply with your
requests. Even when your direct report feels he has a better way to complete the task, your
wishes will be followed out of respect for your position.
Expert Power
Being knowledgeable and experienced in your position provides you with a source of
power known as expert power. With expert power you do not require the title of manager, nor
do you need to be in any position of leadership to effectively influence those around you. The
respect you earn from your experience and knowledge becomes your source of power. Others
will listen to you and follow your guidance because of your high level of expertise.
Referent Power
When you admire someone, or when you feel that you relate to him, and this leads to a
desire to earn his approval, it can be said that he has a referent source of power. It is likely that
you have been influenced by, or have influenced others through referent power some time in
your life. In a basic sense, referent power is a son attempting to earn the approval of his father
or mother. The son will do what is asked of him, expecting approval or acceptance in return.

3. List down and explain intrinsic and extrinsic sources in reward power and give examples;

Extrinsic rewards—usually financial—are the tangible rewards given employees by managers,

such as pay raises, bonuses, and benefits. They are called “extrinsic” because they are
external to the work itself and other people control their size and whether or not they are
granted. In contrast, intrinsic rewards are psychological rewards that employees get from doing
meaningful work and performing it well.

Extrinsic rewards played a dominant role in earlier eras, when work was generally more routine
and bureaucratic, and when complying with rules and procedures was paramount. This work
offered workers few intrinsic rewards, so that extrinsic rewards were often the only motivational
tools available to organizations.

Extrinsic rewards remain significant for workers, of course. Pay is an important consideration
for most workers in accepting a job, and unfair pay can be a strong de-motivator. However,
after people have taken a job and issues of unfairness have been settled, we find that extrinsic
rewards are now less important, as day-to-day motivation is more strongly driven by intrinsic
rewards.

To identify these intrinsic rewards, we began by analyzing the nature of today’s work. Basically,
most of today’s workers are asked to self-manage to a significant degree—to use their
intelligence and experience to direct their work activities to accomplish important organizational
purposes. This is how today’s employees add value—innovating, problem solving and
improvising to meet the conditions they encounter to meet customers’ needs.
In turn, we found that the self-management process involves four key steps: 3

1. Committing to a meaningful purpose

2. Choosing the best way of fulfilling that purpose
3. Making sure that one is performing work activities competently, and
4. Making sure that one is making progress to achieving the purpose.

Each of these steps requires workers to make a judgment—about the meaningfulness of their
purpose, the degree of choice they have for doing things the right way, the competence of their
performance, and the actual progress being made toward fulfilling the purpose. These four
judgments are the key factors in workers’ assessments of the value and effectiveness of their
efforts—and the contribution they are making.

When positive, each of these judgments is accompanied by a positive emotional charge. These
positive charges are the intrinsic rewards that employees get from work, ranging in size from
quiet satisfaction to an exuberant “Yes!” They are the reinforcements that keep employees
actively self-managing and engaged in their work.

4. Explain organizational control in the organization; and

Organizational power is the ability that you have to influence the behavior of another
stakeholder in your organization. Your power is measured by the extent that you can use your
influence to get that stakeholder to do something that he or she would otherwise prefer not to
do.

5. Enumerate the different strategies of organizational control and explain what are the best
strategies?

Strategic controls are intended to steer the company towards its long-term strategic direction.
After a strategy is selected, it is implemented over time so as to guide a firm within a rapidly
changing environment. Strategies are forward-looking, and based on management
assumptions about numerous events that have not yet occurred.
Traditional approaches to control seek to compare actual results against a standard. The work
is done, the manager evaluates the work and uses the evaluation as input to control future
efforts. While this approach is not useless, it is inappropriate as a means to control a strategy.
Premise Control
Every strategy is founded on certain assumptions relating to environmental and organizational
forces. Certainly some of these forces or factors are very sharp and any change in them is sure
to affect the strategy to a great extent. Hence, premise control is a must to identify the key
postulations and keep track of any change in them in order to assess their impact on strategy
and, therefore, its implementation.
Implementation Control:
In order to implement a chosen strategy, there is need for preparing quite good number of
plans, programs and projects. Again resources are allocated for implementing these plans,
programs and projects. The purpose of implementation control is to evaluate as to whether
these plans, programs and projects are actually guiding the organization towards its pre-
determined goals or not.

Strategic Surveillance:
If premise and implementation strategic controls are more specific by nature, strategic
surveillance, is more generalized and overriding control which is designed to monitor a broad
range of events both inside and outside the organization which are likely to threaten the very
course of a firm’s strategy.

Special Alert Control:

This special alert control is based on a trigger mechanism for a rapid response and immediate
reassessment of a given strategy in the light of a sudden and unexpected event. Special alert
control can be exercised via the formulation of contingency strategies and assigning the
responsibility of handling unforeseen events to crisis management teams.