Leadership Power

and Influence

If a man can accept a situation in a place

of power with the thought that its only
temporary, he comes out all right. But
when he thinks that he is the cause of the
power, that can be his ruination.
Harry S. Truman

Transactional and Transformational

Leadership
Transactional Leadership a transaction
or exchange process between leaders and
followers.
Transformational Leadership
characterized by the ability to bring about
significant change in followers and the
organization.

Transformational Leadership
Develops followers into leaders
Elevates concerns to higher level
psychological needs
Inspires followers to go beyond their own
self-interests
Paints a vision of desired future state and
how the change is worth the effort

Transformational Leadership
Can communicate complex ideas in a
compelling manner
Act in unconventional manners
Inspire faith
Earn trust by willingly incurring great
personal risk
Source of influence is from personal
characteristics
5

Charismatic Leaders
Leaders who have the ability to inspire
and motivate people to do more than
they would normally do, despite
obstacles and personal sacrifice.

Black Hat of Charisma

Used for self serving purposes
Deception, manipulation and exploitation
of others
Personalized behavior

Power and Influence

Power
The ability of one person or department in an
organization to influence other people to bring about
desired outcomes

Influence
The effect a persons actions have on the attitudes,
values, beliefs, or actions of others

Ex 12.2

Five Types of Leader Power

Legitimate
Reward
Coercive

Position Power

Expert
Referent

Personal Power

Where does power come

from?
A written, spoken, or implied contract
Position
wherein people
acceptpower
either a superior or
subordinate role and see the use of
coercive as well as noncoercive behavior
as an acceptable way of achieving
desirable results.
10

Legitimate Power
Authority granted from a formal positions
in an organization.
Rights, responsibilities and prerogatives
accrue to anyone holding a formal leadership
position
Set goals, make decisions and direct activities

11

Reward Power
Authority to bestow rewards on other
people
Appointed leaders may have access to
rewards such as pay increases, promotions,
physical resources
Influences subordinates behavior

12

Coercive Power
Authority to punish or recommend
punishment
Opposite of reward power
Right to fire, demote, criticize, reprimand or
withdraw pay raises

13

Expert Power
Results from special knowledge or skill
Followers go along with recommendations
because of his/her superior knowledge
Usually gained from experience

14

Referent Power
Comes from personality characteristics
that command identification, respect and
admirations so that others want to emulate
the person
Dependent on personal characteristics rather
than title
Strong identification with leader

15

. 12.3 Responses to the Use of

Power

Ex

us e

eu
riat
r op

ive

app

es s

Compliance

Personal Power

exc

se

Position Power

Resistance

Commitment

16

Dependency
If a person has control over a resource
that is desired, he/she gains power
Information
Cooperation
Resources

17

Ex. 12.4 Characteristics That Affect Dependency and

Power in Organizations
Leader has
control over:

Leader has
control over:

Resources seen
as unimportant

Importance

Resources seen as
very important

Widely available
resources

Scarcity

Scarce resources

Resources with
acceptable substitutes
Low dependency
on leader = lower
power

Non
substitutability

Resources with
no substitutes
High dependency
on leader = higher
power

18

. 12.5 Strategic Contingencies that Affect

Ex

Leader Power in Organizations

Interdepartmental
Dependency
Control over
Information
Increased Power
Organizational
Centrality
Coping with
Uncertainty

19

Politics
Activities to acquire, develop,
and use power and other
resources to obtain desired
future outcomes when there is
uncertainty or disagreement
about choices

20

Political Activity
Impression management people seek to
control how others perceived them
Executive presence the impact you have
when walk into a room

21

. 12.6 Seven Principles for Asserting

Leader Influence

Ex

1.
2.
3.
4.
5.
6.
7.

Use rational persuasion

Make people like you
Rely on the rule of reciprocity
Develop allies
Ask for what you want
Remember the principle of scarcity
Extend formal authority with expertise and credibility

22

Is the action
consistent
with the
organizations
goals, rather
than being
self-motivated
purely by selfinterest?

Guidelines for Ethical Action

Does the
action
respect the
rights of
individuals
and groups
affected by
it?

Does the
action meet
the
standards of
fairness and
equity?

Would you
wish others
to behave in
the same
way if the
action
affected
you?

Ethical Choice

Ex. 12.7

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