Chapter 12

Question 1

What is power?

Answer 1

The ability of one person or department in an organization to influence other people to bring about desired outcomes (have things your way)
Hard vs. soft

Question 2

What is influence?

Answer 2

The effect a person’s actions have on the attitudes, values, beliefs, or actions of others

Question 3

What’s the difference and connection between the two?

Answer 3

Power: the capacity to cause change.
Influence: the degree of actual change.

Question 4

What are hard/position powers?

Answer 4

Legitimate Power: Based on leader holding a formal position, or title. People accept leader’s right to issue orders or direct activities.

Reward: Based on a leader having ability to give or withhold rewards. Obtain rewards.

Coercive: Based on leader’s ability to punish or to recommend punishment
Avoid punishment

Question 5

What are soft/personal powers?

Answer 5

Expert: Leader has special knowledge or skills

Referent: Based on leader’s person characteristics. People admire and respect leader

Question 6

Which type of power is more likely to lead to more positive follower outcomes?

Answer 6

Soft power is more likely to earn the respect of followers and thus followers are more likely to believe in the vision of the company

Question 7

What are the possible follower responses to leaders’ use of power?

Answer 7

Hard power: 
 - Compliance 
 - Resistance 
Soft Power 
 - Commitment

Question 8

The three factors that power depends on, what does each mean?

Answer 8

Dependency and Power -> as leaders control of resources

Importance: How important those resources are viewed by the subordinates

Scarcity: How available those resources are

Non substituability: no replacement for resources

Higher dependency = higher power

Question 9

Leader’s 4 frame of references

Answer 9

Frames are perspective from which a leader views the world, and it influences how the leader interacts with followers, makes decisions, and exercises power

Question 10

Four Frames

Answer 10

Structural
Mindset: See organization as machine
Emphasis: Goals, efficiency

HR
Mindset: Sees org as family
Emphasis: People, engagement

Political
Mindset: See organization as jungle, power, schemes.

Emphasis:
Resource, allocation, negotiation

Symbolic
Mindset: Sees org as theater
Emphasis: Vision, culture

Question 11

Soft Influence Tactics

Answer 11

Rational persuasion: Using logical arguments and facts to persuade another that a desired result will occur.

Inspirational appeals: Arousing enthusiasm by appealing to one’s values, beliefs or higher purposes

Consultation: Asking for participation in decision making or planning a change

Ingratiation: Getting someone to do what you want by putting that person in a good mood or getting him or her to like you.

Personal appeals: Appealing to feelings of loyalty and friendship before making a request

Question 12

Hard Influence Tactics

Answer 12

Exchange: Promising some benefits in exchange for complying with a request.

Coalition Building:
Persuading by seeking the assistance of others or by noting the support of others.

Legitimating: Pointing out one’s authority to make a request or verifying that it is consistent with prevailing organizational policies and practices.

Pressure: Seeking compliance by using demands, threats, or intimidation.

Question 13

What’s the difference between personalized leaders and socialized leaders?

Answer 13

Personalized Leader:

• Exercise power for their own self centered needs
• Self aggrandizing non egalitarian, and exploitative

Socialized Leaders

• Exercise Power to benefit others and the organization as a whole
• Empowering, egalitarian, and supportive

Question 14

Compare Transformational Leadership with Transactional Leadership in terms of how they influence followers

Answer 14

1. Transformational leadership paints a grand vision of a desired future and communicates it in a way that makes the pain of change worth the effort. vs. status quo of transactional
2. Inspires leaders to go beyond their own self interests for the good of the group vs. just completing the necessary tasks
3. Elevates the concerns of followers from lower level physical needs to higher lever needs such as self esteem. Need for growth and development. vs just paying the workers for working
4. Develops followers into leaders. Instead of strictly controlling people, transformational leaders strive to bring out the best in followers.

Question 15

What is vision?

Answer 15

A vision is an attractive, ideal future that is credible yet not readily attainable.
Ambitious view of the future that everyone involved can believe in.
Can be realistically be achieved.
Represents a future better than the one that exists.

Question 16

Strategic Leadership, where does the vision stand?

Answer 16

Ability to anticipate and envision the future, maintain flexibility, think strategically, and work with others to initiate change that will create a competitive advantage.

A vision is an aspiration for the future and answers where are we headed

Question 17

What are the elements of vision?

Answer 17

1. mission statement - purpose of the organization in terms of the type of activities to be performed for constituents or customers
2. value statement - list of the key values or ideological themes considered important for an organization. The values usually pertain to treatment of customers, treatment of organization members, core competencies, and standards of excellence.
3. slogans - statements used to summarize and communicate values in simple terms.
   Examples: “technology is our business”, “we feel good when you feel good”, “partners in making dreams come true”.
4. strategic objectives - tangible outcomes or results to be achieved, stated in terms of the absolute level of performance (e.g., profits, sales, return on investment), or the relative level of performance (e.g., becoming number one in the industry or region, outperforming a traditional rival).
5. project objectives are defined in terms of the successful completion of a complex activity (e.g., developing a new type of product, implementing a new MBA program, establishing a subsidiary in China).

Question 18

What is culture?

Answer 18

The set of key values, assumptions, understandings, and norms:
shared by members of an organization and taught to new members as correct

The “character” or “personality” of an organization
Norms – shared standards that define what behaviors are acceptable and desirable within a group of people

Question 19

Two reasons of why it’s important to build an organizational culture

Answer 19

Internal Integration
Helps develop a collective identity
Imprints a set of unwritten rules inside employee’s minds

External adaptation
Helps organizations
respond rapidly to
customer needs

Question 20

Iceberg model of culture

Answer 20

Visible
1. Artifact such as dress, office layout, symbols, slogans, ceremonies.

Invisible
2. Expressed values such as the penney idea, “The HP Way”

3. Underlying assumptions and deep beliefs

Question 21

Depth of Cultural Change

Answer 21

Energy over time

1. Core beliefs and values
2. norms and attitudes
3. Behavior
4. symbols and signs

Question 22

What’s the difference between responsive and resistant culture?

Answer 22

Responsive
- leaders pay attention to all stake holders
- leaders care about customers
Serve whole organization

Resistant

• Managers look inward
• care about own interests and own products
• meet own needs, distrust others

Visible behaviors
Expressed values
Underlying Values

Question 23

What is culture gap? Use culture gap to explain why mergers and acquisitions often fail.

Answer 23

The gap between a desired culture and the reality of a culture.

Question 24

The high-performance culture

Answer 24

A. High performance, low culture 
- Leaders meet goals but fail at values
B. HIgh High 
- leaders achieve and preserve values 
C. Low Low
Leaders do not meet goals or do shit 
D. Low High 
Leaders dont meet goals but do uphold values

Question 25

What is a cultural leader? What strategies/actions can a cultural leader do to build culture?

Answer 25

Cultural leader

Defines and uses signals and symbols to influence norms and values to build organizational culture

Ceremony
A planned activity that makes up a special event and is generally conducted for the benefit of an audience

Story
A narrative based on true events that is repeated frequently and shared among employees

Symbol
A object, act, or event that conveys meaning to others

Specialized language

Question 26

What is the definition of organizational value?

Answer 26

Extent to which the competitive environment requires flexibility or stability
Extent to which the organization’s strategic focus and strength is internal or external

Four organizational culture types

• Adaptability
• Achievement
• Involvement
• Consistency

Question 27

Four types of organization culture, what are the characteristics of each one.

Answer 27

-Adaptability
Characterized by values that support the organization’s ability to interpret and translate signals from the environment into new behavior responses
Employees make decisions and act freely to meet needs
Responsiveness to customers is highly valued
Leaders create change by encouraging creativity, experimentation, and risk taking

-Achievement 
Characterized by a clear vision of the organization’s goals and leaders’ focus on the achievement of specific targets 
Results-oriented culture that values: 
Competitiveness
Aggressiveness
Personal initiative 
Willingness to work long and hard 

-Involvement
Has an internal focus on the involvement and participation of employees to meet changing expectations from the external environment
Places value on meeting the needs of organization members
Leaders:
Emphasize cooperation, consideration, and fairness
Avoid status differences

-Consistency
Has an internal focus and consistency orientation for a stable environment
Supports a methodical, rational, orderly way of doing business
Following the rules and being thrifty are valued