A Bridge to Tomorrow. 75 th Annual NHRMA Conference & Tradeshow. Presented by

Transcription

1 A Bridge to Tomorrow 75 th Annual NHRMA Conference & Tradeshow Presented by

2 2 Power Strategies for HR Moving from the Backroom to the Boardroom Michael Walters October 9, 2013

3 3 Agenda Definition of Power Business Environment of Today How to Gain Influence Social Psychology: Power Bases HR Power Model Conclusion

4 4 What is Power? Webster s: The ability or official capacity to exercise control; authority. Social Power: The potential influence to change one person s beliefs, attitudes, behaviors, or emotions brought on by some other person or persons. Walters Simple Definition: The ability to get things done

5 5 Why is this Important for HR?

6 6 There is great opportunity for HR Technology Fueled Efficiencies Globalization Economy Political Environment Changing Workforce Demographics

7 7 Changing Workforce: Impact of Gender Female Labor Force Participation 1950: Only 33% of working age women were in paid work positions 2005: Approach 66% Education School Year: Women obtained 60% of master s degrees and 50% of doctoral degrees 2011: Women will outnumber men in under-grad & grad degree programs by 10.2m vs. 7.4m Workplace Visions: Women & Work 2006

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10 10 SHRM Job Outlook Survey

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12 12 Is HR Doing Enough?

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15 15 HR in State of Transition Transactional vs. Business Partner

16 16 What Can You Do? Think & Act like a Business Partner

17 17 An HR Business Partner Definition Maintains focus on business objectives Operates beyond the HR ROB Embedded within the business Measures its effectiveness I Assume You Have These Capabilities

18 18 Detour to World of Psychology

19 19 Bases of Power: French & Raven Seven main bases of power (1959) 1. Reward Power 2. Coercive Power 3. Legitimate-Position Power 4. Legitimate-Reciprocity Power 5. Expert Power 6. Referent Power 7. Information Power Amended in 1992

20 20 Reward Power Stems from the ability to grant some reward to a target Example: Bonuses Reward Power Coercive Power Legitimate-Position Power Legitimate-Reciprocity Power Expert Power Referent Power Information Power

21 21 Caution with Reward Use Duncker s Candle Problem Challenge: Attach the candle to the wall without dripping wax on the table

22 22 Solution

23 23 Glucksberg Test on Motivation 1. Told that timing was just to establish norms. No rewards. 2. Time was in fastest 25% = $5 reward. Fastest in group = $20. Which group was faster? Group Two took 3.5 minutes longer than Group One Sam Glucksberg, The Influence of Strength of Drive on Functional Fixedness and Perceptual Recognition, Journal of Experimental Psychology 63 (1962): 36-41

24 24 Coercive Power Involves the threat of punishment towards a target Example: Progressive discipline, no raises, termination Reward Power Coercive Power Legitimate-Position Power Legitimate-Reciprocity Power Expert Power Referent Power Information Power

25 25 Gneezy & Rustichini: Impact of Fines Child care facilities opened at 7:30am and closed at 4:00pm. Parents had to pick up children by 4pm or else teachers had to stay late. Announcement: The official closing time of the day care center is 4:00pm. We have decided to impose a fine of $5 on parents who come late to pick up their children. Sincerely, Management Result: The rate of lateness was almost twice as large as the initial one Gneezy & Rustichini, A Fine Is a Price, Journal of Legal Studies 29 (January 2000).

26 26 Legitimate-Position Power Based on the belief that a target should, or is obliged to, conform to the orders because the agent is the supervisor Example: Complying with a CEO s mandate Reward Power Coercive Power Legitimate-Position Power Legitimate-Reciprocity Power Expert Power Referent Power Information Power

27 27 Legitimate-Reciprocity Power Based on the belief that the target should feel obligated to perform, or repay, a favor in recognition of a past action Example: CFO approving budget proposal because of favor done previous week Reward Power Coercive Power Legitimate-Position Power Legitimate-Reciprocity Power Expert Power Referent Power Information Power

28 28 Expert Power Built upon trust that a target has in the superior knowledge, ability, and/or truthfulness of the agent, rather than relying on the persuasiveness of information or logical argument Example: Chief Legal Officer Reward Power Coercive Power Legitimate-Position Power Legitimate-Reciprocity Power Expert Power Referent Power Information Power

29 29 Referent Power Based on target s ability to identify with the agent Example: Charismatic leader Reward Power Coercive Power Legitimate-Position Power Legitimate-Reciprocity Power Expert Power Referent Power Information Power

30 30 Information Power Stems from the trust that the target has in the information or logical argument presented Example: Numbers don t lie Reward Power Coercive Power Legitimate-Position Power Legitimate-Reciprocity Power Expert Power Referent Power Information Power

31 31 Leadership Theory Application Theory X: Employees inheritantly dislike work and require rewards & constant supervision to be properly motivated. Theory Y: Employees inheritantly enjoy working and will seek out responsibilities & exercise self-direction to accomplish objectives. Doing a good job is strong motivation.

32 32 Back to the World of HR

33 HR Power Model POWER BASE Legitimate-Position Power Legitimate-Reciprocity Power HR TOOL Wear the HR Cap Access to Resources Know the Business Hard Work Exchanging Favors Recruiting Employee Relations Let Them Fail 33 Work Up the Chain Referent Power Information Power Expert Power Reward Power Develop Strong Relationships The Work Around Key Influencers HR Metrics Integrity of Information & Product Know the Pulse of the People Business Level Experience HR Accuracy & Knowledge Education Compensation Coercive Power Employee Relations

34 34 HR Power Model Legitimate-Position Power Wear the HR Cap Access to Resources Know the Business Hard Work Work Up the Chain

35 35 HR Power Model Legitimate-Reciprocity Power Exchanging Favors Recruiting Employee Relations Let Them Fail

36 36 HR Power Model Referent Power Develop Strong Relationships The Work Around Key Influencers

37 37 HR Power Model Information Power Integrity of Information & Product Know the Pulse of the People HR Metrics

38 38 Goals of Metrics Simple & easily understood Accurate Tied to business objectives Tell a story

39 39 HR Power Model Expert Power HR Accuracy & Knowledge Education Business Level Experience

40 40 HR Power Model Reward Power Compensation

41 41 HR Power Model Coercive Power Employee Relations

42 HR Power Model POWER BASE Legitimate-Position Power Legitimate-Reciprocity Power HR TOOL Wear the HR Cap Access to Resources Know the Business Hard Work Exchanging Favors Recruiting Employee Relations Let Them Fail 42 Work Up the Chain Referent Power Information Power Expert Power Reward Power Develop Strong Relationships The Work Around Key Influencers HR Metrics Integrity of Information & Product Know the Pulse of the People Business Level Experience HR Accuracy & Knowledge Education Compensation Coercive Power Employee Relations

43 43 No definite answers Use power model as a tool kit Influence strategies are not manipulation Be yourself but be aware Conclusion Opportunities are everywhere!!!

44 44 Any Questions? Michael Walters