it-V Power, polit tics tics, conflict and t negptiatic er Otganizational politics. Conflict - causes and consequences - pondy’s model of organizational conflict- conflict resolution strategies.. (fier studying this chapter, you should be able to: Understand the nature of power and explain why organizational politics exists and how it can help or harm an organization and its members. Differentiate between the sources of formal and informal power people can use to engage in organizational politics as well as the sources of functional and divisional power. Discuss the nature of organizational conflictand the main sources of conflict in an organizational setting. Describe a model of the conflict process that illustrates how the conflict processworks. Explain how negotiations can be used to manage the conflict processand resolve disputes between people and groups.fe discuss the nature of power and politics, how they can help and harm an organization, and where the power of individuals, functions, and divisions comes from. ° We survey the political tactics that managers can use to gain control of organizational resources. © We then turn our attention to organizational conflict, examining its sources, the way a typical conflict plays out, and the strategies that can be used to manage it so that it helps rather than harms the organization. © Finally, we discuss the role of negotiation as a means to resolve political struggles and conflict. By the end of this chapter, you will understand why power, politics, and conflict play central roles in organizational life and how the ability of managers to learn to negotiate and manage these processes can improve an organization’s effectiveness.POWER The ability of one person or group to cause another person or group to do something they otherwise might not have done. ORGANIZATIONAL POLITICS Activities in which managers engage to increase their power and to pursue goals that favor their individual and group interests. POLITICAL DECISION MAKING Decision making characterized by active disagreement over which organizational goals to pursue and how to pursue them. COALITION A group of managers who have similar interests and join forces to achieve their goals.What is power in an organizational context? a. Control over resources and information b. Formal authority only Personal popularity Task efficiency aoAns. a. Control over resources and informationWhich term refers to the pursuit and use of power and influence in organizational settings? a. Management b. Leadership c. Politics d. DelegationAns. C.Politics3: a. b. is d. ources of Individual Power: What is an example of referent power? Expertise in a specific field Control over rewards and punishments Personal charisma and likability Formal job titleAns. c. Personal charisma and likabilityWhen a manager has power based on their ability to control information, what type of power is it? © a. Coercive power © b. Legitimate power ec. Informational power e d. Expert powere Ans. c. Informational powerSources of Individual Power Individual powerFORMAL INDIVIDUAL POWER Power that originates froma person’s position in an organization. legitimate power The power to controland use organizational resources to accomplish organizational goals. Reward power The power to give pay raises, promotion, praise, interesting projects, and other rewards to subordinates. Coercive power The power to give or withhold punishment. Information power The power that stems from access to and control over information.SOURCES OF INFORMAL INDIVIDUAL POWER INFORMAL INDIVIDUAL POWER- Power that stems from personal characteristics such as personality, skills, and capabilities. « Expert Power Informal power that stems from superior ability or expertise. ° Referent Power Informal power that stems from being liked, admired, and respected. © Charismatic Power An intense form of referent power that stems from an individual's personality or physical or other abilities, which induce others to believe in and follow that person.EXHIBIT 13.2 Sources of Functional and Divisional Power a a i sieIn a functional organizational structure, where does the power typically lie? a. b c. d Spread evenly across all functions . Centralized in one or a few functions In individual employee roles . Distributed randomlyAns. b. Centralized in one or a few functionsWhat is a characteristic of divisional power structures in organizations? a. Emphasis on cross-functional collaboration b. Decentralization of authority c. Centralized decision-making d. Limited autonomy for divisionsAns. c. Centralized decision-makingOrganizational Politics: The Use of Power © Organizational politics are activities that managers engage in to increase their power. Once they acquire it, they can use power to influence decision making so that the organization pursues goals that favor their individual, functional, and divisional interests. 1. Tactics for Increasing Individual Power >. Managing Organizational Politicsolitical Tactics for Increasing Individual Power Polite such as: Tapping the Recognizing Controlling Aman sources of the functional agenda outside expert | snd alliances and divisional power Personal reputations Representational Indicators Allow managers to develop a t base and Cates successfullyitis inflict? je that arises when the goal-directe the goal directed behavior of another person or group. EXHIBIT 13.4 The Effect of Conflict on Organizational Performance A Optimal level of conflict g E fz z € a 2 é 3 Z 6 FS co 2 = Level of Conflict HighSources of Organizational Conflict 1. Differentiation * Differences in functional orientations * Status inconsistencies 2. Task Relationships . Overlapping Authority * Task Interdependencies . Incompatible Evaluation Systems 3. Scarcity of ResourcesPondy’s Model of Organizational Conflict‘A process in which groups with conflicting interests meet together to make offers, counteroffers, and concessions to each other in an effort to resolve their differences. I. Individual-Level Conflict Management a. Group-Level Conflict Management THIRD-PARTY NEGOTIATOR- An outsider skilled in handling bargaining and negotiation. MEDIATOR- A neutral third party who tries to help parties in conflict reconcile their differences. ARBITER- A third party who has the authority to impose a solution toa dispute. Five forms of negotiation can be identified as the parties in conflict attempt to manage their 1 a 35 4 5 differences: Compromise Collaboration Accommodation Avoidance Competition IIL Promoting Compromise Emphasize common goals Focus on the problem, not the people Focus on interests, not demands Create opportunities for joint gain Focus on what is fair gement negotiationsInterest in helping another person or group achieve its goals = ==, Low Interest in achieving own goals High* Negotiation plays a crucial role in resolving conflicts at both individual and group levels. * Negotiation strategies for addressing conflict and promoting compromise: Individual Level Confli 1.Understanding Interests: 1. Identify individual interests and concerns that contribute to the conflict. 2. Acknowledge and validate emotions to foster open communication. 2.Active Listening: 1. Listen attentively to the individual's perspective. 2. Demonstrate empathy to build rapport and understanding. 3.Seeking Common Ground: 1. Identify shared interests to create a foundation for compromise. 2. Explore creative solutions that meet the needs of both parties. 4.Win-Win Solutions: 1. Aim for outcomes where both parties gain value. 2. Emphasize collaboration over competition to build a positive relationship.Group Level Conflict: 1.Facilitative Leadership: 1. Employ leadership styles that encourage collaboration. 2. Establish clear communication channels to address group dynamics. 2.Mediation and Facilitation: 1. Introduce neutral third-party mediators to facilitate discussions 2. Use structured facilitation techniques to guide group conversations. 3.Consensus Building: 1. Encourage group members to voice concerns and opinions. 2. Strive for consensus to ensure a unified decision-making process. 4.Conflict Resolution Training: 1. Provide training sessions on conflict resolution for group members. 2. Equip teams with the skills to manage and resolve conflicts independently.* Promoting Compromise: 1.Shared Goals: 1. Identify overarching goals that align with the interests of all parties. 2. Emphasize the mutual benefits of compromise. 2.Trade-Offs: 1. Recognize that compromise involves give-and-take. 2. Prioritize issues and negotiate concessions to achieve a balanced outcome. 3.Effective Communication: 1. Foster transparent and constructive communication. 2. Clearly articulate expectations and concerns to build understanding. 4.Building Trust: 1. Establish trust through consistent and reliable behavior. 2. Emphasize the reliability of agreements to encourage future cooperation.Conclusion * Effective negotiation strategies at both individual and group levels involve understanding interests, active listening, seeking common ground, and promoting compromise. These skills are essential for creating collaborative solutions that foster positive relationships and sustainable resolutions to conflicts.er is the ability of one person or group to cause another person or group to do something they otherwise might not have done. Politics is activities in which managers engage to increase their power and to pursue goals that favor their individual and group interests. Power and politics can benefit or harm an organization. 2. Sources of formal individual power include legitimate power, reward power, coercive power, and information power. Sources of informal individual power include expert power, referent power, and charismatic power. 3. Sources of functional and divisional power include the ability to control uncertain contingencies, irreplacability, centrality, and the ability to control and generate resources. 4. Managers can use many kinds of political tactics to increase their individual power. These tactics include making oneself irreplaceable and central, controlling contingencies and resources, recognizing who has power, controlling the agenda, bringing in an outside expert, and building coalitions and alliances. Managing politics to obtain its positive effects requires a balance of power in an organization anda strong CEO who has the ability to keep powerful people and groups in check.a i ‘onflict is the struggle that arises when the goal-directed behavior of one person or group blocks the goal-directed behavior of another person or group. Whether conflict benefits or harms an organization depends on how it is managed. . The three main sources of conflict are differentiation, task relationships, and the scarcity of resources. When conflict occurs, it typically moves through a series of stages. In Pondy’s model of conflict, these stages are latent conflict, perceived conflict, felt conflict, manifest conflict, and the conflict aftermath. Negotiation and bargaining are important means of managing and resolving conflict at both the individual and group level. The ability to negotiate an agreement is an important skill a manager needs to cultivate. kK