BUSM4185 Introduction to Management Power, Politics and Ethics in Management What is power? • Power is the capacity to influence others who are in a state of dependence • It is not always perceived or exercised • It does not imply a poor relationship between the power holder and the target of power • Power can flow in any direction in an organization • Power applies to both individuals and groups RMIT International University Vietnam RMIT University©12/16/18 RMIT International University Vietnam Employee responses to power RMIT International University Vietnam Influence Tactics Influence tactics convert power into actual influence over others They are specific behaviors that people use to affect others and manage others’ impressions of them Assertiveness Ingratiation Rationality Exchange Upward appeal Coalition formation RMIT International University Vietnam Organizational Politics The pursuit of self-interest in an organization, whether or not this self-interest corresponds to organizational goals • Political activity is self-conscious and intentional • Political activity can have beneficial outcomes for an organization even though the outcomes are achieved by questionable tactics • Political activity can be an individual or subunit activity RMIT International University Vietnam Political skills The ability to understand others at work and to use that knowledge to influence others to act in ways that enhance one’s personal or organisational objectives • Comprehending others • Translating this comprehension into influence RMIT International University Vietnam Organizational Politics • There are four facets to political skill: Social Astuteness Interpersonal Influence – Social astuteness – influence • • Good politiciansInterpersonal are careful observers A convincing and persuasive Apparent who are tuned– in to others’sincerity needs and interpersonal style that is employed flexibly to meet the needs of the motives – Networking ability • They can “read” people and know how to present themselves to others Networking Ability situation • They put others at ease Key political skills Apparent Sincerity • Networking involves establishing good relations with key organizational members or outsiders to accomplish one’s goals • An effective network enhances one’s organizational reputation, thus aiding influence attempts • A good politician comes across as genuine and exhibits high integrity RMIT International University Vietnam Ethics? Ethics, also known as moral philosophy, is a branch of philosophy that involves defending and recommending concepts of right and wrong behaviour Ethics is the systematic thinking about the moral consequences of decisions Moral consequences can be framed in terms of the potential for harm to any stakeholders by the decision RMIT International University Vietnam Ethics in the global context • Are ethical standards universal? • Social and cultural differences between countries are important factors that determine ethical and unethical behaviour • Example: Should Japanese business executives operating in Vietnam adhere to the ethical standards of Japan or should they follow local standards of acceptable Gifts of officials? RMIT International University Vietnam 10 Activity - What is Ethical Dilemma? An ethical dilemma is a complex situation which involves mental conflict between different ways of action Together with your team members choose three of the five ethical questions and analyse them as follow: Each team member will state personal choice and explain why he / she choose so? For each question the team should write an explanation of what is the ethical dilemma in this case (why is it a dilemma?) What social values are represented in this dilemma? The team will agree on the right choice according to the right social values for each case RMIT International University Vietnam 11 Ethical Dilemma Activity: A WHAT WOULD YOU DO? You are walking down the street when a person in front of you drops a VND 500,000 note on the ground and doesn’t notice (the person is wearing luxurious clothes and getting into Maserati car) You… A pick up the note, put it in your pocket and quickly walk away B tell your friend to pick it up, then both of you quickly walk away C pick up the note, run after the person and return the note 12 Ethical Dilemma Activity: B WHAT WOULD YOU DO? You have just been hired to your month RMIT internship at a company you are mildly interested in (Your uncle made a strong recommendation letter to this company which is one of his suppliers) You are with the company for weeks when the company you really want to work for offers you a job starting immediately You… A Tell the second company you already have a job and can’t work for them B Quit your job and start at the company you really want to work for C Tell the second company you would really like to work for them but you feel obligated to finish yo.ur internship first 13 Ethical Dilemma Activity: C WHAT WOULD YOU DO? You work in the accounting department of a large company One day your supervisor tells you to change some numbers in a report you completed You know that changing these numbers will benefit your supervisor financially You could lose your job if anyone else finds out You… A Tell your supervisor you will not change the numbers B Change the numbers immediately and don’t tell anyone C Talk to your supervisor’s boss about this incident 14 Ethical Dilemma Activity: D WHAT WOULD YOU DO? You are at a coffee shop one night and you notice your friend’s girlfriend/boyfriend in a corner flirting with another man You… A Don’t let the girlfriend/boyfriend see you, then tell your friend about it the next day B walk over to the man and start yelling at him to leave your friend’s girlfriend/boyfriend alone C Wait until the man goes to the toilet and then go and tell the girlfriend/boyfriend to go home immediately or you will tell your friend about this 15 Ethical Dilemma Activity: E WHAT WOULD YOU DO? Your ITM lecturer forgets his USB flashdisk in the classroom You realize that it contains the final exam questions and answers You… A Take the USB and prepare the questions by yourself, no one will know you had the questions in advance B Tell your friends you have the USB with exam and share the content to prepare the final exam C Return the USB to your lecturer without looking at the content 16 Questions? RMIT International University Vietnam 17 ... across as genuine and exhibits high integrity RMIT International University Vietnam Ethics? Ethics, also known as moral philosophy, is a branch of philosophy that involves defending and recommending... University Vietnam Ethics in the global context • Are ethical standards universal? • Social and cultural differences between countries are important factors that determine ethical and unethical behaviour... you drops a VND 50 0,000 note on the ground and doesn’t notice (the person is wearing luxurious clothes and getting into Maserati car) You… A pick up the note, put it in your pocket and quickly walk