14- copyright © 2010 pearson education, inc. publishing as prentice hall 1 organizational theory,...

14- Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall 1

Organizational Theory, Design, and Change

Sixth EditionGareth R. Jones

Chapter 14

Managing Conflict, Power, and Politics


What is Organizational Conflict? Organizational Conflict: The clash that

occurs when the goal-directed behavior of one group blocks or thwarts the goals of another

Some conflict can actually improve organizational effectiveness

Can overcome inertia and lead to learning and change

Beyond a certain point, conflict becomes a cause for organizational decline

Conflict leads to inability to reach consensus and indecision

Too much time spent on bargaining rather than acting swiftly to resolve problems

On balance, organizations should be open to conflict and recognize its value


Figure 14.1: Cooperation and Competition Among Organizational Stakeholders


Managing Conflict: Resolution Strategies Organizational conflict can escalate

rapidly and sour an organization’s culture

Managing conflict is an important priority

Organizations must balance the need to have some “good” conflict without letting it escalate into “bad” conflict

Choice of conflict-resolution method depends on the source of the problem

Conflict can be reduced by structural and attitudinal changes within the organization


Managing Conflict: Resolution Strategies

Acting at the level of structure Alter the level of differentiation and

integration to change relationships Increase the number of integrating roles Assign top managers to solve conflict Rethink hierarchy/reporting relationships

Acting at the level of attitudes and individuals

Establish procedures for airing grievances Bargaining and negotiation Exchange/rotate/terminate individuals Replace members of top management CEOs can also use their power to resolve

conflicts and motivate units to cooperate


What is Organizational Power?

Organizational power: the ability of one person or group to overcome resistance by others to achieve a desired objective or result

Conflict and power are intimately related Power can come from many different

sources


Sources of Organizational PowerAuthority: power that is

legitimized by the legal and cultural foundations on which an organization is based

Control over resources: as the organization controls more and more resources in its environment, power within an organization comes from the control of resources


Sources of Organizational Power (cont.) Control over information:

access to strategic information and the control of the information are sources of considerable power

Nonsubstitutability: if no one else can perform the tasks that a person or subunit performs, that person or subunit is nonsubstitutable


Sources of Organizational Power (cont.) Centrality: the subunits that are

most central to resource flows have the ability to reduce the uncertainty facing other subunits

Control over uncertainty: a subunit that can actually control the principal sources of uncertainty has significant power

Changes in contingencies facing the organization alter which subunits have this power


Sources of Organizational Power (cont.)

Unobtrusive power: controlling the premises of decision making

Unobtrusive power: the power flowing from the ability to control the premises behind decision making

The power of a coalition resides in its ability to control the assumptions, goals, norms, or values that managers use to judge alternative solutions to a problem


Using Power: Organizational Politics Organizational politics:

activities taken within organizations to acquire, develop, and use power and other resources to obtain one’s preferred outcomes in a situation in which there is uncertainty or disagreement about choices

There are many tactics for playing politics


Using Power: Tactics for Playing Politics

Increasing indispensability: become indispensable to the organization

Increasing nonsubstitutability: develop specialized skills or knowledge that enables one to control a crucial contingency facing the organization

Increasing centrality: accept responsibilities that enhance one’s reputation or that of one’s function

Associating with powerful managers:supporting a powerful manager who is clearly on the way to the top


Using Power: Tactics for Playing Politics (cont.)

Building and managing coalitions Forming relationships with stakeholders

and other subunits around some common issue

Skills in coalition building are important Influencing decision making

Must be circumspect in the use of power Controlling the agenda

By setting the agenda, managers can control the issues and problems to be considered

Bringing in an outside expert Use supposedly neutral outsiders to

support the views of the coalitions

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