Sources of Power in Organization - Essay Example

? Introduction Power is a personal trait that individual use to influence or control another person in the similar domain.Power is the influence that top managers have over the behavior and decisions lower level employees. Thus, person has a power over others when his or her existence causes them to behave differently, and existing power is one way of impacting the ethical decision making in an organization. Power in the organization is as a result of structural traits in that organizations are large and complex system that comprises a lot of people. According to Murphy and Willmott (2010), power is needed to direct the system because it has a formal chain of command in which some responsibilities are essential regardless of the performers. Moreover, some positions in an organization have access to greater resources or their contribution is crucial. Therefore, the significant of power processes in the organization is attributed to the organizational relationships, both vertical and horizontal (Miller, 2008). Sources of Power According to Daft and Marci (2010), leaders at all levels in the organization access power that sometimes end up unrecognized or underused. The leaders may have the power of expertise where influences are as a result of improving and communicating specialized ideas. It comes from the superiors’ credibility with lower level employees, and the experience of work a person has worked in the firm is significant. Moreover, the education qualifications, and perception that an individual has extra ideas on a specific topic can also be the source of expert power. For instance, a lower level secretary may have expert power because he or she has extra details about how the company operates. Meanwhile, she or he can make suggestions on how to increase income via costs reimbursements. However, expert power may result in the ethical problems when it is used to manipulate others or used to obtain an unfair advantage. For instance, accounting firm may obtain additional revenue by ignoring the importance of the accuracy of financial reports that they examine in an audit. Daft and Marci (2010) indicate that referent power may occur when one person perceives that his or her goals are related to another person in the organization. The second person may opt to influence the first to take actions that will allow both to attain their objectives. Because they share the same interests, the first person will perceive the other’s use of referent power as beneficial. However, for this power to effective some kind of empathy must exist between the parties. Griffin and Moorhead (2011) claim that identification with others assists to enhance the decision maker’s confidence that increase individual referent power in the organization. According to Griffin and Moorhead (2011), reward power is the situation where individual’s ability to influence the behavior of others by offering them something desirable. Reward power could encourage persons to be selfish and not in the interest of others. Daft and Lane (2005) indicate that coercive is a source of power that is the opposite of reward power. Many organizations have used a system whereby they systematically sack the lowest performing employees in the organization on an annual basis.  According to Daft and Lane (2005), coercion is used in the situation where there is an inequality of power. It is perceived that an individual who are faced with coercion issues may seek a counterbalance by creating relationships with others, and powerful people end up leaving the organization. Thus, in the organization that practices the coercion power, the alignments usually come to an end in the long run (Champoux, 2010). Murphy and Willmott (2010) indicate that power in the organization can be exercised in various ways that include upward, downward and horizontally. In an organization, a large amount of power is distributed to top managers by the organization system. However, employees also obtain unequal power to their formal positions and exercise power in an upward direction. Considering the power is exercised in various directions in an organization, the paper will discuss the sources of power depending on these directions. There are four significant sources of vertical power that are influenced by different individuals who hold these specific powers. Vertical Sources of Power According to Miller (2008), formal position is type of vertical power source that contains certain rights and responsibilities that are exercised by the top managers of the organization. The employees in the business recognize the legitimate right of the executives to formulate goals, make decisions and direct tasks.  Bacon (2011) indicates that the formal position power is also referred legitimate power because senior managers use symbols and language to perpetuate their formal power. For instance, large organizations have a private jet aircraft that are used by the top executives. These jets not only allow them to reach in the work faster than the others, but also demonstrate the organization power and wealth in their control. Bacon (2011) indicates that the amount of power distributed to the middle managers and lower level people can be built into the organization’s structural plan. The allocation of power to middle managers and employees is significant because power enables them to be industrious. When employees involve in self directed teams and problem solving task forces, this encourages them to be flexible and creative and to utilize their own discretion. Murphy and Willmott (2010) indicate that formal power is also increased when a position encourages contact with a high level people. Thus, the access to powerful people and the increase of the correlation with others will generate a foundation to influence decisions in the organization. Secondly, resources are a source of vertical power where organization allocate vast amount of resources downward from top mangers. Top executives often own stock that offers them property rights over resource allocation. However, currently many organizations workers also share in ownership that increases their power. Top executives in the organization control the resources and can determine their distribution. Resources can be utilized as reward and punishments that are extra sources of power. Murphy and Willmott (2010) indicate that resource allocation also form dependency connection where lower level people depend on top managers for the financial and physical resources required to perform their responsibilities. Top executives can trade resources in the form of wages and bonuses, promotions and physical facilities for compliance with the outcomes they desire. Moreover, in this source of power, control of information can also be used to shape decisions for self serving, unethical and even illegal purposes. Ferrell and Fraedrich (2012) indicate that middle managers and lower level workers may also have access to information that can develop their power, and manipulate the information they provide to top executive in order to influence decision outcomes. Thirdly, the network centrality is a vertical source of power that means power is centrally located in the organization and allows access to information and people that are significant. Ferrell and Fraedrich (2012) claim that top executives are more successful when they act as the centre of a communication network and creating connections with people in the organization. Employees have more influence when their works are linked to the present situation and have the ability to network with almost everyone. Sources of Horizontal Power In some organization, the source of power overlap, but each offers a useful way to evaluate sources of horizontal power. According to Ferrell and Fraedrich (2012), dependency is a significant element based on the relative power where power is gotten from having what someone else wants. For instance, the power in the office A over office B is greater when office B depends on the office A. The resources allocation may flow between offices in one direction like in the situation of sequential task interdependence. An office that depends on many other offices in a low power position, and that with low power position might gain power through dependencies. The financial resources are a source of horizontal power where people with the financial power are at position to make rules in organization. Control over the resources is a significant source of power in an organization. Ferrell and Fraedrich (2012) indicate that funds can be converted into other categories of resources that are required by other department. Finances generate dependency in that departments that supply financial resources have extra advantage over other departments. Thus, departments that generate revenue for the organization have greater power to influence the decisions of other departments. According to Daft and Marci (2010), power is obtained from acquiring resources used to receive more resources that in turn can be utilized to produce more power. Thus, horizontal power relationship in organization adjusts as strategic contingencies changes. Conclusion The status of power of leaders is directed to the amount of pressure that they can cause on employees, even when ethical values are violated. Thus, people usually employ several power bases to effect changes in others, especially in the horizontal and vertical direction in the organization. Champoux (2010) indicate that the use of power in the organization can raise the ethical issues in the organization, although it is neither ethical nor unethical. Some leaders may use power to manipulate a situation that creates a conflict with the situation value structure. Finally, any person in an organization can exercise the power to attain desired results. However, the amount of power and source that this people hold in the organization varies considerably. References  Bacon, T. (2011). The Elements of Power: Lessons on Leadership and Influence. New York: American Management Association Press. Champoux, J. (2010). Organizational Behavior: Integrating Individuals, Groups, and Organizations. United Kingdom: Taylor and Francis Press. Daft, R. & Marcic, D. (2010). Understanding Management. New York: CengageBrain Inc. Daft, R., Lane, P., (2005).The leadership experience. New York: CengageBrain Inc. Ferrell, C. & Fraedrich, F. (2012). Business Ethics: Ethical Decision Making and Cases. New York: CengageBrain Inc. Griffin, W. & Moorhead, G., (2011). Organizational Behavior: Managing People and Organizations. New York: CengageBrain Inc. Miller, K. (2008). Organizational communication: approaches and processes. New York: CengageBrain Inc. Murphy, D. & Willmott, H. (2010).Organization theory and design. New York: CengageBrain Inc. Read More