UGBA105: Organizational BehaviorPower and Politics: Class AgendaSlide 3Power and politics in organizations“Power corrupts”Leadership is power; but not all power is leadershipContrasts in presidential powerMore powerful politiciansNiccolo Machiavelli (1469-1527)What’s power for?HP’s messy (and very public) politicsManaging power and politicsH. Ross Perot Founder and CEO, Electronic Data Services and Presidential Candidate, 1992 and 1996Managers’ attitudes toward workplace politicsThe myth of the “good employee”What personal qualities are likely to serve you well in organizational politics?Where do organizational politics come from?What are the downsides to organizational politics?Bob Ebeling: Manager of the Rocket Ignition System at Morton-ThiokolWhat are the upsides (if any)?Which kind of organization has the most politics?Politics as empowerment: Getting things done with and through othersApple’s lack of formal structure  networks and politicsManaging power and politics “down”Power and politics as the management of resource dependencies (Or how to trade on scarce resources)Types of resourcesSlide 27Political strategiesSlide 29Restructurings for political endsNetworking strategiesSlide 32Slide 33Networking strategy: Exploit structural holes (My enemy’s enemy is my friend)Conclusions: Power, politics, & networkingWednesday: Donna Dubinsky caseSlide 37Donna Dubinsky’s 10 lessonsUGBA105: UGBA105: Organizational BehaviorOrganizational BehaviorProfessor Jim LincolnProfessor Jim LincolnWeek 7: Week 7: Power, politics, & networks in organizationsPower, politics, & networks in organizationsWalter A. Haas School of BusinessUniversity of California, Berkeley2Power and Politics:Power and Politics:Class AgendaClass Agenda•Review forms of power in organizations•Consider how power and politics can be good as well as bad for organizations •Discuss managing politics “up” and “down” •Analyze power as the management of resource dependencies•Examine political and networking strategies for advancing your goals over the opposition3Strategy (diversification; innovation) Input Environment(Competition, change)Resources(munificence)History (age, conditions at founding) OutputSystemsUnitIndividualInformalOrganization(Culture, leadership, networks, politics)Tasks (technologies, work flows)People(ability, skills, motivation, biases)FormalOrganization (job titles, departments, reporting hierarchy, IT & HR systems We’re still with the informal organization We’re still with the informal organization4Power and politics in organizationsPower and politics in organizations•Power: a “dirty word?” “Power corrupts and absolute power corrupts absolutely”•What is it?–The capacity to get people to do what they would not otherwise do•And politics?–The social relations of interest formation, power-seeking and wielding, and decision-making5““Power corrupts”Power corrupts”“Power tends to corrupt and absolute power corrupts absolutely. Great men are almost always bad men, even when they exercise influence and not authority: still more when you superadd the tendency or the certainty of corruption by authority.”John Emerich Edward Dalberg, Lord Acton (1834–1902): Letter to Mandell Creighton, April 5, 1887. Reprinted in Acton, Essays on Freedom and Power, ed. Gertrude Himmelfarb, pp. 335–36 (1972).6Leadership is power; but not all Leadership is power; but not all power is leadershippower is leadershipLeadership: •Influencing others with charisma and vision•Developing committed “followership”Other ways of getting & exercising power:1. Leveraging the formal organization–Exercising authority–Designing and implementing systems2. Trading on scarce skills or resources3. Maneuvering, manipulation7Contrasts in presidential powerContrasts in presidential powerJohn F. Kennedy35th PresidentTerm of office:1/20/1961 - 11/22/1963Lyndon B. Johnson36th President Term of office: 11/22/1963 - 1/20/19698More powerful politiciansMore powerful politicians“Boss” TweedSen. Everett Dirksen Representative Tom DeLay Republican Rep. Tom DeLay of Texas turned himself in at Republican Rep. Tom DeLay of Texas turned himself in at the sheriff's office in Houston and was fingerprinted, the sheriff's office in Houston and was fingerprinted, photographed and released on $10,000 bail on conspiracy photographed and released on $10,000 bail on conspiracy and money laundering charges. This is his mug shot.and money laundering charges. This is his mug shot.9Niccolo Machiavelli Niccolo Machiavelli (1469-1527)(1469-1527)“…(A) wise prince ought to adopt such a course that his citizens will always in every sort and kind of circumstance have need of him.., then he will always find them faithful." “No enterprise is more likely to succeed than one concealed from the enemy until it is ripe for execution." “He who is the cause of another becoming powerful is ruined” "Hence it is necessary for a prince wishing to hold his own to know how to do wrong, and to make use of it or not according to necessity."10 What’s power for? What’s power for? 1. The classical rational model •Managers devise programs (“standard operating procedures”) so that decisions are made “by the book”–Such routine or programmed decisions are delegated down the hierarchy; exceptions are managed by higher-ups •Higher level decisions are uncertain and require problem-solving search–Modern decision tools can help2. The political model Decision-making is unplanned and disorderly. It occurs without clear rules and behind the scenes. It results from conflicts in which one side prevails over others Decision-making!Decision-making!11HP’s messy (and very public) politicsHP’s messy (and very public) politicsBoardroom DuelBehind H-P Chairman's Fall,Clash With a Powerful DirectorThe Cautious Patricia DunnAnd Flashy Tom Perkins Were a Combustible PairWSJ, G. Anders and A. MurrayOctober 9, 2006 Fiorina: Board intrigue familiar. Fired chief executive at HP describes 'veil of dysfunction'B. Pimentel, SF Chronicle, Tuesday, October 10, 2006 C. Fiorina: Tough Choices: A Memoir, 200612Managing power and politicsManaging power and politics •Politics isn’t pretty, but it is real, pervasive, & manageable–Myth of the apolitical business organization •How to analyze and navigate the political terrain–Map out the actors, interests, goals, resource/power bases, strategies,