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Power, Politics and Leadership

To exercise influence, a leader must have power, potential, or ability to influence decisions and control resources. A recent analysis of power suggests that it consists of two broad types, the old and the new. Old power is held by few, and once it is acquired, it is jealously guarded. Powerful people have a substantial store of power which they can use as needed. Such power is inaccessible to most people, and it is leader driven. New power is created by many, is open, participatory, and is peer driven. Sharing knowledge on social media is an example of this new power, and so are consumers who provide input to the design of products they use. Power in organizations is mostly about old power, but processes such as empowerment and shared leadership tend toward being the new power. Organizational power can be derived from many sources. How people obtain power depends to a large extent on the type of power they seek. Therefore, to understand the mechanics of acquiring power, one must also understand what types of power exist and the sources and origins of these types of power. Seven types of power, including some of their subtypes, are described in the following courses. Power is frequently classified according to whether it stems from the organization or the individual. Three bases of power—legitimate power, reward power, and coercive power—stem from the person’s position in the organization. The lawful right to make a decision and expect compliance is called legitimate power. People at the highest levels in the organization have more power than do people below them.