Leadership Q2

Question 1

Managerial authority may be regarded as legitimate power, however, other sources of power may be open to managers e.g. expert power.
What are the 5 types?

Answer 1

French and Raven (1959) identified five bases of individual power.
Taking A as the influencer and B as the influencee, these are as follows:

1) Position Power/ Legitimate Power
2) Resource/ Reward Power
3) Coercive Power
4) Expert Power
5) Personal Power

Question 2

Describe Position/ Legitimate Power

Answer 2

• This is the power which is based upon the formal rights and duties attached to a role in the organization hierarchy.
• The influence of A is considered legitimate and is accepted by B.
• The rights of the role include the right to information which may come from above or below that organization level, the right of access to organization decision-making bodies, e.g., committees, and the right to organize work activities.
• With this power source, individuals tend to influence other individuals or groups by rules and procedures which may restrict individual freedom or maintain the status quo.
• For these rules and procedures to have the desired effect on B, A’s right to make the rules and procedures must be accepted by B and A must normally have the resource power to backup his position power

Question 3

Describe Resource/ Reward Power

Answer 3

• The validity of position power normally requires the backup of resource power which is the control A has over rewards to B.
• To be effective B must value the rewards which A can offer
• most obvious rewards over which A has control and B values are financial rewards, for example, pay and fringe benefits.
• However, rewards may not just be financial and may include status and recognition.
• Resource power is usually mediated via exchange or bargaining methods where A gives B something for behaving in the way A requires.
• The effort-bargain relationship common to pay bargaining agreements, especially where payment by results schemes operate, is a good example of this method of influence in that workers will exert an amount of effort in return for certain financial rewards.

Question 4

Describe Coercive Power

Answer 4

• Closely related to resource power and is the power to decide not to reward and to punish non-obedience: the ability of A to punish B.
• Punishment in industrial organizations is not of a physical nature, but can, for example, include such measures as demotion, withholding salary increases, transfer to other work and dismissal.
• The method of influence implied is one of force, though again in industrial organizations this is rarely, if ever, physical force.
• However, in the collective bargaining relationship a coercive approach to persuade the other side to agree to your offer or claim may entail the use of economic force, where each side has the power to inflict economic damage on their opponent. A strike or lockout would involve the loss of wages to individual workers and the loss of company profits.

Question 5

Describe Expert Power

Answer 5

• Challenges to managerial authority have tended to be directed towards the previous three sources of power, whereas the remaining power bases appear to be more acceptable.
• Expert power stems from A having the knowledge and skill in an area which B does not possess; therefore in this area B is willing to accept A’s influence.
• A can usually obtain B’s compliance by persuasion.
• Expert power in areas which are crucial to the attainment of organization success may give the power holder an important organization role with its associated position power source. So, if A’s expertise is questioned it may be possible for A to resort to the methods associated with position power or resource power.
• The level of expert power exercised will be related to the degree to which A can be substituted. If A is difficult to replace he is likely to be in a very strong position.

Question 6

Describe Personal Power

Answer 6

• This is similar to Weber’s charismatic authority type. A’s power stems from his personal attributes and B will accept A’s influence because he admires him.
• A may try to influence B through persuasion, which is facilitated by personal power, but often the charisma of A alone will be sufficient to get B to alter his behaviour.
• It is worth noting that the method of persuasion can be used with any power source and though time-consuming it is normally a very acceptable method - individuals feel they are doing something for the power holder to which they have voluntarily given their consent.