Examples of Downward Power in the following topics:
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- Power is the ability to get things done.
- Although people sometimes regard power as evil or corrupt, power is a fact of organizational life and in itself is neither good nor bad.
- When a leader influences subordinates, it is called downward power.
- Power comes from several sources, each of which has different effects on the targets of that power.
- Also called "positional power," this is the power individuals have from their role and status within an organization.
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- When leaders and managers share information with lower-level employees, it is called downward, or top-down, communication.
- Effective downward communication gives employees a clear understanding of the message they have received.
- In the workplace, directives from managers to employees are the most basic form of downward communication.
- Another example of downward communication is a board of directors instructing management to take a specific action.
- Ensuring effective downward communication is not necessarily an easy task.
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- Upward communication is often made in response to downward communication; for instance, employees answering a question from their manager.
- In this way, upward communication indicates the effectiveness of a company's downward communication.
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- Note that middle management is tasked with (1) their tier of technical skills, i.e. information management systems, as well as (2) communication of system efficacy upward to senior managers and (3) delegating tasks downward to workers.
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- David McClelland describes three central motivational paradigms: achievement, affiliation and power.
- Psychologist David McClelland developed Need Theory, a motivational model that attempts to explain how the needs for achievement, power (authority), and affiliation affect people's actions in a management context.
- People who are strongly power-motivated are driven by the desire to influence, teach, or encourage others.
- McClelland proposes that those in top management positions should have a high need for power and a low need for affiliation.
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- ., low buy power, low rivalry, low risk of new entrants, etc.).
- Bargaining power of buyers: The bargaining power of customers is also described as the market of outputs.
- Picture a supply and demand curve: if the supply greatly outstrips the demand, the buyers have more power than the suppliers.
- Bargaining power of suppliers: The bargaining power of suppliers is also described as the market of inputs.
- Similar to power of buyers, this bargaining power relies on scarcity and basic economics of supply and demand.
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- Empowerment is a process that enables individuals and groups to fully access personal and collective power and employ this power when engaging with other people, other institutions, or society.
- Empowerment does not give people power; rather, it helps to release and express the power that people already have.
- This can be a powerful and positive aspect within an organization that promotes shared power and enables checks and balances in decision-making processes.
- When turning responsibility over to others, it is important to keep in mind that diversifying power creates more voices and therefore potentially more conflict and discussion.
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- Leader position power – the amount of formal authority leaders have based on their role within the group
- When good leader-member relations, a highly structured task, and high leader-position power are in place, the situation is considered a "favorable situation."
- Leaders in high positions of power have the ability to distribute resources among their members, meaning they can reward and punish their followers.
- Leaders with low position power cannot control resources to the same extent as leaders with high position power, and so lack the same degree of situational control.
- For example, the CEO of a business has high position power, because she is able to increase and reduce the salary that her employees receive.
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- Power structures: Power and culture are often intertwined: the degree to which specific individuals are free (or not) to make decisions is indicative of the openness and fluidity of the organization.
- Stories and myths: Finally, stories are powerful communicators of culture.
- Walmart uses Sam Walton's founding as a powerful myth to promote efficiency and the desire to try new things and integrate various products and services.
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- The five forces include power of buyers, power of suppliers, rivalry (competition), substitutes, and barriers to entry (how difficult it is for new firms to enter the industry).
- Porter's five-forces analysis identifies five environmental factors that can influence a company's strategic design: power of buyers, power of suppliers, competition, substitutes, and barriers to entry.