Sources of Power and Tactics of Influence (3, 1)

Question 1

Who might present challenges to a procurement leader?

Answer 1

1. Senior management - unreasonable requests etc
2. Internal stakeholders - lack of cooperation or imposing own strategies on procurement
3. Supply chain - Unethical practices, low standards of work, reluctance to share info etc.
4. Current suppliers - poor performance, resistance to cost reduction initiatives or unwillingness to make change
5. External bodies - inappropriate working practices, imposition of stringent regulations or lack of support

Question 2

What different sources of power are there?

Answer 2

Legitimate Power - hierarchical formal power gained from role or position
Reward Power - power from the ability to reward
Coercive Power - threat of punishment
Referent Power - attractive personal traits such as charisma
Expertise Power - based on the perceived skill of the person

Question 3

What are 4 indicators of internal power identified by Prof Gerry Johnson, Kevin Scholes and Richard Whittington?

Answer 3

1. Status - indicated by someones position in the hierarchy, salary or reputation
2. Claim on resources - refers to indicators of power such as budget size or individuals reporting to them
3. Representation - of the person or department at strategic meetings
4. Symbols - office size, office position, title, company cars etc

Question 4

How can you analyse the different 4 indicators of power to help input into stakeholder management strategies?

Answer 4

Have columns with row labels,
Interest in procurement: H/M/L
Power (status, resources, symbols and representation): H/M/L
Strategy: Key Player, Minimal Interest, Keep Interested, Keep Informed

Question 5

What are 4 indicators of power with suppliers?

Answer 5

1. Status - the speed at which a supplier responds and seniority of person in charge of account
2. Resource dependence - reliance on each other, single source
3. Negotiating arrangements - refers to the contracts already in place with suppliers
4. Symbols - the level of hospitality offered or type of car driven by sales

Question 6

What techniques can be used to influence others?

Answer 6

Logical persuasion
Coercion
Ingratiation
Collaboration
Inspiration
Consultation

Question 7

What 3 generic types of tactics for influence did Dr Gary Yuki identify?

Answer 7

1. Impression management tactics - intended to make the person like the influencer
2. Political tactics - these are used to influence decisions
3. Proactive influence tactics - these have task focus ensuring changes will happen via support from the person

Question 8

What 11 influencing tactics did Dr Gary Yuki identify?

Answer 8

Rational persuasion
Appraising
Inspirational Appeal
Consultation
Collaboration
Ingratiation
Personal appeal
Exchange
Coalition
Legitimating
Pressure