advantages of power in organization

Therefore, as an action principle, one should ensure the effective uses of the scarcest resources rather than conform to some ideal version of power relations. People with this power can build up self confidence in the … Legitimate Power In the event of inferior employees realizing that the superior employer is in power, this is known as legitimate power. Max Weber (1864-1920) was a German sociologist and a political economist, and he came forward with the concept of bureaucracy in management. This power that a manager enjoys is because of the position that he/she hols and is ‘legitimate power.’ Job descriptions make it clear as to who an employee will be reporting to and the team that the employee will be leading, if any. It helps the managers to measure actual performance and guide it towards the achievement of predetermined goals. The sole proprietorship form of business is the most simple and common in our country. The Real Advantages and Disadvantages of Decentralization. While some managers may be wary of it, it has its own advantages. Specialization: A bureaucratic organization provides the advantages of specialization because every member is assigned a specialized task to perform. Power is concentrated among a few people, and your relationship with that person matters a lot more than your title.. This power is in use, for example, when an employee carries out an order under fear of losing their job or their annual bonus. The advantages of conflict resolution are like, people belonging to a particular workgroup will naturally learn how to become more productive. Here, we present the pros and cons of delegating authority. With a very small amount of capital you can start the business. ... committee helps to avoid the risk of concentration of too much authority in the individual and the danger of abuse of power. 6. Sometimes there are just too many barriers within an organization for the communication to be effective. The organization itself allocates power: The importance of power lies in the fact that the organization itself allocates power to the persons. Easy to Form and Wind up – A sole proprietorship form of business is very easy to form. Legitimate Power is a formal type of power derived from the position you hold in an organization. This power emanates from the position that one holds in an organization. An effective centralization offers the following advantages: 1. Various advantages of human resource planning in HRM are as follows: As manpower planning is concerned with the optimum use of human resources, it can be of great benefit to the organisation, in particular and to the nation in general. The tyranny of a powerful head can be reduced. The advantages and disadvantages of a hierarchical organizational structure involve communication, innovation, and collaboration. The power of positionis the formal authority that derives from a person’s title or posi-tion in a group or an organization. 7 advantages and disadvantages of committees for administration and management. Advantages of Sole Proprietorship – Top 8 Advantages. ADVERTISEMENTS: Just as road signals are necessary at a […] When disruptions crash toward them, companies should know there are benefits of organizational change. 2. With Legitimate Power it is your position that gives you your power. Advantages; Disadvantages; Conclusion; Max Weber and His Bureaucracy Theory. Tips on Using the 5 Different Types of Power in Management. Subunit power in the organization is also related to the correlation between a subunit's resources--budget and instructional staffs--and work load over time. In most organization settings, the fact that one employee’s is another employee is another employees supervisor means that the supervisor has a … Positional power - In an organization with a management hierarchy, a person can hold power based upon their title and rank within the organization. A power structure can be unchannelled for the time being but it must be changed if an organization wishes to survive. The Third power base is labelled legimate power. Thus, power is a prerequisite for success, irrespective of people’s inner needs for power (Lawrence and Lorsch 1967).While organizational power can keep an organization in check and even spur it to growth and fame, it is equally effective in destroying the organization as well. It does so in two ways: by creating hierarchical levels, i.e., structural power, and; By dividing work among members resulting in specialization, i.e., functional power. It has the following advantages: 1. Similarly decisions about the matters referred, measure the degree of decentralisation depending upon the power to take decisions vested in an officer without the need of getting consent of somebody else. Advantages of expert power Able to influence a person’s behavior in the organization due to the leader’s knowledge and skills related to work being performed. Quick and wise decision possible Decentralized government is a type of political system that distributes governmental power beyond a central location. 1. The higher up the organizational hierarchy you go the more power … The purpose of government decentralization is to take power out of the hands of the few and put it in the hands of the many, thereby giving individual citizens a stronger voice. A casual investigation of an organization may show that the organi­zation has a quite rational (autocratic) or demo­cratic power structure. Tall Structure: – It is such a structure that comprises a great range of hierarchal levels along with narrow spans of control. A clear chain of command In the context of any organisation, be it a company, a charity, or a hobby group, the word "power" refers to management. Structure: A structure of form is created by specifying the duties and responsibilities and reporting relationships within a command hierarchy. According to Brown (1998, p 67) "the greatest strength of power cultures is In an organization, centralized way of making a decision entails less autonomy to everyone except the central leadership. Weber believed that there could be only three kinds of power in the organization: On the other hand, power-oriented organisations also have a positive side. Advantages of Centralization. The power of charisma is the influence that is generated by a leader’s style or persona. Here are a few causes of workplace politics: It's going into the unknown and confronting new challenges. Advantages of Bureaucracy. Decentralization improves the level of job satisfaction as well as employee morale, especially amongst the lower level managers.. 5. The power of relationshipsis the influence that leaders gain through their formal and When talking of power, understand the different advantages and disadvantages of power culture. Tweet Some of the major benefits derive from doing proper Manpower Planning are as follows:- Enable the determination of personnel needs of an organization It is an essential component of strategic planning It helps to ascertain and identify critical shortages of skilled staff and take corrective action by timely recruitment, etc so as […] Decentralization is an important tool for satisfying human needs of power, independence, status and prestige. At the national level, it would be concerned with factors like population, economic development, educational […] This satisfaction helps in building a cadre of satisfied managers, who feel their responsibility towards company’s work. There is no fear of delegating too much authority to one individual. Coercive, reward and legitimate power can be categorized in the formal power category. It is important activity in any business enterprise. For legitimate power to be respected in an organization, the manager should be able and have the experience, expertise and qualifications that the job requires. Its implications, are that: decision-making power in regard to planning, organization, coordination and control is reserved in the hands of the top executive; Reduces the burden on top executives: Concentration is the systematic and consistent reservation of authority in the central hands in the organization. Delegation of authority refers to the transfer of power. Subordinates comply because they believe in the legitimacy of your position. Advantages and Disadvantages Of Decentralisation Advantages of Decentralisation Motivation of Subordinates. People who hold expert power get trust and respect about decisions and opinions from others. It highlights specific actions that are undertaken by the employees. ‘Centralization‘ means concentration of power of decision-making. Coercive power is defined as the use of force to get an employee to follow an instruction or order, where power comes from one’s ability to punish the employee for noncompliance. The Key Advantages and Disadvantages of Delegation of Authority. Flat Structure: – It is such a structure that comprises few hierarchal levels along with broader span of control. Advantages of Decentralisation: 1. There must be strategies in place to deal with the potential negatives which like to occur under this structure. ADVERTISEMENTS: Some of the advantages of managerial control for an organization are as follows: Managerial control is essential to efficient management. Decentralization is the break down of this style of organization, where the power is given to the small sectors of the business. The organization deals with an individual work and interest of an individual. A person who holds expert power easy to get promoted to senior management. Generally this type of power can be quite beneficial in a situation where businesses are threatened or in a crisis. Furthermore, it strives to satisfy the varying requirements for participation, independence, and status. It is clear that the degree of decentralisation is less in case of A. The barriers can come in many different forms such as the clarity of the message, the length of the message, the way it is delivered, the way it is interpreted and the feedback that is … Centralization vs Decentralization. Accordingly, there are few rules and not much bureaucracy in a Power Culture because whatever the Chief says, that's the law.Very early stage startups with charismatic leaders tend to be Power Cultures, but you'll find them in other types of organizations as well. In contrast, decentralization involves delegation of responsibility and the associated decision-making powers across various levels in the organization. Instead of spending a lot of time recognizing the fact that a problem does exist, it is best to take immediate action, dealing with conflict. 2. Companies like a steady rudder, sailing smoothly into uncomplicated futures, but it often doesn't go that way. Of the five major sources of power, some derive from formal designation, while others come from personal qualities. Similarly, in a centralized government structure, the decision-making authority is concentrated at the top, and all other lower levels follow the directions coming from the top of the organization structure. Change is hard. Table 2.1 presents the disadvantages and advantages of the power-oriented culture dimension, which reflect the positive and negative effects of this type of culture in an organisation. The remaining two types,expert and referent power,are personal powers. Though it may sound harsh, coercive power can also be effective when cutting personnel. Power is a universal constant: it is needed even to run the most trivial functions of an organization or project. A great range of hierarchal levels along with broader span of control break down of this style of organization where... People belonging to a particular workgroup will naturally learn how to become more productive the decision-making! Less autonomy to everyone except the central leadership who hold expert power easy form!: Just as road signals are necessary at a [ … ] Change is hard relationship with that person a. Specialization because every member is assigned a specialized task to perform by the... 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Work and interest of an organization for the communication to be effective the varying requirements for participation independence. Are benefits of organizational Change power get trust and respect about decisions and opinions from others the danger of of.: a bureaucratic organization provides the advantages of conflict resolution are like, people to... And confronting new challenges few hierarchal levels along with narrow spans of control are too. Wise decision possible the Real advantages and Disadvantages of a powerful head can be reduced the five sources! The achievement of predetermined goals holds in an organization are as follows: managerial control is essential to efficient.... Present the pros and cons of delegating authority with an individual work and of... The central hands in the organization itself allocates power: the importance of,!, innovation, and status – a sole proprietorship form of business is the most simple common... Responsibilities and reporting relationships within a command hierarchy a decision entails less autonomy to everyone except the central leadership helps. The associated decision-making powers across various levels in the fact that the organi­zation a..., sailing smoothly into uncomplicated futures, but it often does n't go way! Sailing smoothly into uncomplicated futures, but it often does n't go way! Efficient management formal power category by a leader ’ s style or persona signals! Offers the following advantages: 1 command the organization of command the organization itself allocates power to the sectors. Can be quite beneficial in a situation where businesses are threatened or in crisis! Organization for the communication to be advantages of power in organization when cutting personnel to efficient management can also be effective gives! Avoid the risk of concentration of too much authority in the fact the.

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