EDF5636 Leading Organisational Decision Making

RUNNING HEAD: Power and Authority
Power and Authority

Power and Authority 2
Table of Contents
Introduction........................................................................................................... 3
Authority................................................................................................................ 3
Importance of authority...................................................................................... 3
Forms of Authority.............................................................................................. 4
Delegation of authority steps.............................................................................6
Power..................................................................................................................... 7
Definition............................................................................................................ 7
Importance of power.......................................................................................... 7
Sources of power................................................................................................ 8
Techniques to prompt others through power...................................................10
Differences between power and authority...........................................................11
Similarity between power and authority..............................................................12
Conclusion........................................................................................................... 13
References........................................................................................................... 14

Power and Authority 3
Introduction
Organizational structure is a method for encouraging the accomplishment of organization
targets. Such structures are not static, but rather powerful. They revamp in light of
changing conditions that happen in nature, new innovation, or hierarchical development.
Organization structures are reliant on the workers whose activities are controlled by the
organization. Administrators depend on power and authority to guarantee that workers
complete task on time.
Authority
Definition: It is the legal power of a director to guide subordinates to make move inside
the extent of the manager's position. It is an exhibition of power and is present where a
person has authority to give the command and another has obligation to follow the
instructions. This is generally understood as having the power to give direction to
employees and adhering compliance. Authority can be seen as institutionalized power
(Haslam, Reicher & Platow, 2010). As the same way in an organization, employees are
bound to follow the instruction procedure defined by authority provided that instructions
and order are under the scope, contract, and authority (Karakostas & Zizzo, 2016). The
authority is gained mainly by individual’s leadership qualities, knowledge, experience,
and capabilities. A leader is often called as having an authority over a subject and others
have to agree compulsorily with his opinions.
Recommendations: Authority determines the power and position of a person in an
organization and gives a person legal right to exercise control over a situation by giving
appropriate commands.

Power and Authority 4
Importance of authority:
The delegation of authority is significant to the business as it enforces obedience amongst the
employees. As the employee who accepts the authority is influenced to a great level in terms
of achievement he/she will attain. Moreover the subordinate has knowledge that if he
disobeys the instructions which are punishable or banned will invite a definite set of actions
will be invoked against him. It is strongly recommended to bring and maintain obedience
amongst the employees. And if obedience is not implemented properly then it will harm the
organisation image amongst market as well as employees.
The authority also secures the expertise in an individual. As it is extremely compulsory to
develop expertise in juniors before any outsider occupies the position. It will enable the
enforcement and execution of experienced employee advice in an organization. According to
Hatch & Cunliffe, (2013) a basic act for achieving this is to allocate the specialist at a
strategic level in the formal hierarchy, in a designation where his opinion will be agreed by
all organizational members. Moreover authority permits centralization through means of
practicing authority which permits a chance to centralize the activities of the decision-making
process. And it also forces all employees to take mutually agreed decisions.
Forms of Authority
According to Fayard & Metiu (2012) there exist four forms of authority namely line
authority, line department, staff authority, and team authority. These types of authorities
decide how the authority delegated will be functioned and used to decide designation.
Line authority: It is immediate supervisory specialist above to subordinate. Authority moves
in immediate levels of leadership from the highest point of the organization to the base.
Chain of command: It is a continuous line of reporting relationship that reaches out through