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European Journal of Business and Management                                                                         www.iiste.org
ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online)
Vol 4, No.11, 2012


         Influence of Power Bases on Leadership Strategies Adopted by
              Managers’ in Information Technology Organizations
                                                     Harold Andrew Patrick
                                  Associate Professor, HOD – OB and HRM, Christ University,
                                Institute of Management, Hosur Road, Bangalore - 560 029, India
                              E-mail of the corresponding author: haroldpatrick@christuniversity.in
Abstract
Power is an integral and inescapable part of organizations. No manager can be efficient without understanding and using
power in an appropriate manner. Today, managers need to make a transition from guiding and leading to shaping and
influencing the growth by the ways in which they approach their work and interact with one another .The literature
generally suggests that effective leaders express their need for power and influence in ways that create value to the
organization.
The present investigation focuses on power bases of managers and its influence on type of leadership strategies adopted by
managers to lead their employees. 515 respondents representing 87 I.T companies were surveyed. Two standardized, valid
and reliable instruments were used to measure the constructs. Leadership Strategies developed by Robert A. Cooke’s (1996)
was adopted with permission and French and Raven’s (1959) bases of power was measured using a modified version of
Hinkin and Schriesheim’s (1989).The Cronbach's Alpha reliability for the scales were 0.88 and above, the stratified random
sampling technique was adopted. The major findings suggest that the Legitimate Power needs to be leveraged most in IT
organizations as it significantly influences Prescriptive and Restrictive leadership strategies. The findings, conclusions,
implications and suggestions for further research have been discussed.
Key Words: Power bases, Formal power bases, Personal power bases, Leadership strategies, Prescriptive strategy,
Restrictive strategy.

1. Introduction
Power is one of the most important motives that individuals strive for. Power and influence can be studied from various
angles. No organization is devoid of power. Organizations can be perceived as politically negotiated orders. Organizational
charts are mainly provided to describe the formal allocation of power that is positional power, to job titles. They also
indicate other functions such as collective, individual and position power, and the way it is attained is a vital area of
concern. The use or misuse of power could be analyzed in two segments a) For personal effectiveness or and b) for
organizational effectiveness. Most conceptions are based on Webers’ (1947) classic definition that, "Power is the probability
that one actor within a social relationship will be in a position to carry out his own will, despite resistance and regardless of
the basis on which this probability rests”. The leader has more than one person to lead, has the power to affect others and
has a goal to attain. The key point in differentiating leadership and management is the idea that employees willingly follow
leaders because they want to, not because they have to. Managerial behaviour in information technology organizations is
affected by leadership behaviour. To acquire and retain power, a leader must skillfully use organizational politics – informal
approaches to gaining power through means other than merit or luck.
1.2 Leadership Behaviour: ‘Leadership is the ability to inspire confidence and support among the people who are needed
to achieve organizational goals’ Kim & Mauborgne (1992). An organization has the greatest chance of being successful
when all employees work toward achieving its goal. Since leadership involves the exercise of influence by one person over
others, the quality of leadership is a critical determinant of organizational and managerial behaviour. Wallace et al (2011)
found that empowering leadership climate relates to psychological empowerment climate. Hunter et al (2011) have argued
that the pursuit of innovation requires a unique leadership approach – one that may not be currently captured by traditional
views of leadership. Creativity and innovation and how leadership effects team creativity has been documented by Reiter-
Palmon (2011).Managing the innovative process and the dynamic role of leaders and how their cognition and social
behaviours need to adapt to effectively and efficiently manage innovation have been detailed by Stenmark et al (2011).
Schaubroeck et al (2011) found that servant leadership influenced team performance through affect-based trust and team
psychological safety, Boies et al (2010) found that team potency and trust were positively related to shared transformational
leadership and negatively related to passive avoidant leadership. Sosik & Cameron (2010) proposed that leaders first create
an ascetic self-construal that derives from character strengths and virtues and then project this self image through idealized
influence, inspirational motivation, intellectual stimulation, and individualized consideration behaviour. Gentry et al (2011)
found the biggest gaps among generations in leading employees, change management, and building and mending
relationships. Most of the recent literature review highlights the fact that freeing, autonomous, interdependent and
prescriptive leader behaviour creates the right climate for employees to be more able, willing, agile and ready to engage in
meaningful and innovative behaviours at the workplace .Kotter (1990) observed that managers must know how to lead as

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European Journal of Business and Management                                                                        www.iiste.org
 ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online)
 Vol 4, No.11, 2012

 well as manage. Hoogh, Hartog & Koopman (2005) found that, consistent with trait activation theory, the perceived
 dynamic work environment moderated four of the Big Five personality traits with both charismatic and transactional
 leadership. Also, charismatic leadership was positively related to perceived effectiveness, but only in dynamic
 contexts.Conger’s (1989) research suggested that empowering practices by leader includes providing a positive emotional
 atmosphere, rewarding and encouraging in visible and personal ways, expressing confidence, fostering initiative and
 responsibility, and building on success, praising initiative, and practicing super leadership.

1.3 Contrasting Leadership and Power Processes: Leadership behaviour and power processes are closely related. Leaders
use power as a means of attaining group goals. Leaders achieve goals and power as a means to facilitate their achievements.
The differences between the two are related to Goal compatibility – (A) power does not require goal compatibility but merely
dependence. Leadership requires some congruence between the goals of the leader and those being led. (B) Direction of
influence of one’s subordinates – it minimizes the importance of lateral and upward influence patterns. (C) Leadership
research on style and power has tended to encompass a broader area and focus on tactics for gaining compliance. The
research by Carpenter. A & Golden Our.B.R(1997) suggest that a manager's 'fit' with an industry or firm may depend on their
personality characteristics. The findings in their study reveal that an external locus orientation may be most functional in
highly deterministic or low discretion environments and organizations (e.g., in regulated firms). In contrast, this orientation
may be less functional in either highly discretionary or fast moving markets in which managerial action is particularly
valuable. The study on retail sales managers' bases of social power highlights that non coercive sources of power were
generally related to higher overall job satisfaction and satisfaction with the supervisor, while coercive power was inversely
associated with satisfaction with supervisor. Negative relationships were found between retail sales managers' legitimate and
expert power and retail sales person’s role conflict. (Skinner et al., 1984).

1.4 Power, Politics and Leadership: Metatriangulation is a concept that helps us view the multiple conceptualizations of the
relationships between power and IT. From one perspective, IT may be seen as a driver of change in power structures and
processes. Alternatively, the creation and introduction of IT can be seen as a process that involves interested parties to
intentionally using their power to affect the nature of the systems that are put in place. At a more complex level,
expectations regarding changes to power structures and power can serve as an important factor in decisions to adopt,
promote, or develop IT even if the actions that result are not themselves particularly power-laden or political. IT can be used
to create symbols and meaning that reinforce current power structures or to mold altered structures. (Jasperson et al., 2002).
Organizational power is derived from many sources mentioned earlier and can also stem from ownership, providing
resources, capitalizing upon opportunity, and being close to power. Leaders who intend on increasing their power should
develop a plan which must include setting a goal, measuring the cost effectiveness of politicking, conducting power analyses
of powerful people, and analyzing what type of politics is played at the top. To make effective use of organizational politics,
leaders must be aware of specific political tactics and strategies. Techniques aimed at ethical means of gaining power,
building relationships, and avoiding political blunders should be encouraged through effective leadership. If I.T organizations
have to increase their effectiveness in goal achievement, unethical means such, as embrace-or-demolish strategy must be
discouraged. It has been found that structural and productive power differ in a critical respect that the former works through
direct structural relations, the latter entails more generalized and diffuse social processes. Specifically, structural power is
structural constitution, that is, the production and reproduction of internally related positions of super-and subordination
domination. Productive power, by contrast, is the constitution of all social subjects with various social powers through
systems of knowledge and discursive practices of broad and general social scope. Conceptually, the move is away from
structures, per se, to systems of signification and meaning (which are structured, but not to themselves structures), and to
networks of social forces perpetually shaping one another. In that respect, attention to productive power looks beyond or is
post structures. (Barnett & Duvall, 2005).

1.5 The Role of Power in Leadership: Power plays a major role in the interactions occurring in organizational life. Power
over others is intertwined with an understanding of leadership processes. Yet, despite the relevance of power to organizations
and the understanding of the leadership process, research studies of power and leadership are not well integrated (Hollander
& Offermann, 1990). McClelland (1970) demonstrated how effective leadership could be instrumental in promoting social
disaster. The tendency has been to examine the intentional and overt behavior of individuals and groups and the effects of
power. Pfeffer’s (1981) review of research on power notes, the focus of most studies of power in organizations is "on
hierarchical power, the power of supervisors over subordinates, or bosses over employees”, power which serves as
functionalist imperatives.

The present study explores IT managers’ power processes and the influence it has on the leadership strategies adopted in

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European Journal of Business and Management                                                                        www.iiste.org
 ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online)
 Vol 4, No.11, 2012

information technology organizations.

1.6 Need and Rationale: The importance of power in organization needs to be overemphasized, as it is one of the essential
components of practically every organization. A clear understanding of organizations requires a thorough analysis of power
as one of its central features and how they influence leadership processes. Since power is often viewed negatively, there has
been a strong tendency to obscure it, Zaleznick (1970). Executives are reluctant to acknowledge the place of power both in
individual and in the organizational relationships. Some managers withdraw into the safety of organizational logic. There are
a few studies investigating these variables and its relationships have not been clearly established in the Indian context. Since
the Indian I.T sector is viewed as the sunrise sector, the study will be more meaningful as it intends to provide some new
insights in the knowledge worker context. Therefore the study gains importance.

This study is an attempt to contribute afresh a new perspective to the field of behavioral sciences with special reference to
power processes and leadership of managers in information technology organizations. It is also an earnest attempt to bridge
the gap especially in this area by highlighting the relevance and importance of power processes and leadership to
management, individual, and organizational effectiveness .It is hoped that this study will initiate a series of serious and
productive discussions on the subject.

2.1 Methodology
2.1 Objectives
1. To understand the power bases utilized by managers.
2. To find out the leadership strategies adopted and to establish the linkage between power bases and leadership strategies in
the IT context.

2.2 Sample Size: The research was carried out on a sample size of 515 respondents from 87 IT companies. The sample was
drawn from all the three levels of management. 305 IT employees from the junior level executives, 148 from the middle level
managers and 62 from the senior level management were administered the questionnaire. The stratified random sampling
technique was adopted for the present study. The inclusion criteria were employees with minimum one year work experience
and have known their boss for one year was only asked to fill the questionnaire.

2.3 Measures: Managerial power was assessed by using French & Raven’s (1959) power-based taxonomy. French &
Raven’s (1959) bases of power is measured using a modified version of Hinkin and Schriesheim’s (1989) 25-item power
scale, as adapted by Nesler, Aguinis, Quigley and Tedeschi (1993). The scale employs a nine-point response scale (1 =
Disagree; 9 = Agree), and consists of six subscales: coercive power, expert power, legitimate power, referent power, reward
power and credibility. Based on the results of a CFA supporting five power factors, these items were used to create five
composite scales: coercive power (3 items, á = 0.71); expert power (4 items, á = 0.76); legitimate power (4 items, á = 0.81);
referent power (4 items, á = 0.89); reward power (3 items, á = 0.77); and credibility (5 items, á = 0.70). The nine-point scale
was reduced to a seven-point scale (1 = Disagree; 7 = Agree) and used for the present study. The Cronbach's Alpha reliability
statistics for all items for the above instruments on the present sample was .962.
Leadership Strategies instrument, developed by Robert A. Cooke’s (1996) description by others inventory was adopted.
Leadership strategies have 60 statements and the inventory uses a five-point scale (1 = Never; 5 = Always) Restrictive
strategies (30 statements) and Prescriptive strategies (30 statements). This is divided into 2 domains (12 statements) for the
Restrictive and Prescriptive behaviours in the Personal category. 5 domains (30 statements) for the Restrictive and
Prescriptive behaviours in the Interpersonal category. 5 domains (18 statements) for the Restrictive and Prescriptive
behaviours in the Organizational category. The Cronbach's Alpha reliability for the above scale on the present sample was
0.88.

2.4 Respondent Profile: The distribution of respondents along demographic variables was as follows: 60% of the
respondents were junior level executives, 28% were middle level managers and 12% were senior managers. 72% of the
respondents supervised more than three employees and 28% supervised two and less employees. 80% of the respondents
were male and 20% female. 52% of the respondents were below between 21 - 25 years of age, 24% were between 26 – 30
years of age, 16% were between 31 – 35 years and 8% were in the age group 41 – 45 years. 4% of the respondents were
diploma holders, 64% had completed a bachelors degree, 28% masters degree and 4% other professional certificates/courses.
72% of the respondents were unmarried, 24% married, 4% divorced or widowed. 28% of the respondents had one year of
work experience, 36% 1 – 3 years, 8% 3 – 5 years, 8% 5 – 7 years, 12% 7 – 9 years and 8% had above 9 years work
experience.

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European Journal of Business and Management                                                                         www.iiste.org
 ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online)
 Vol 4, No.11, 2012



3.0 Findings
Table 1 Indicating the mean and standard deviation in descending order for the power bases of managers in I.T
organizations
      Power Bases             Mean             Std. Deviation
  Legitimate Power            5.57                  1.30
  Referent Power              5.36                  1.34
  Expert Power                5.17                  1.44
  Credibility Power           4.98                  1.43
  Reward Power                4.82                  1.43
  Coercive Power              3.20                  1.45

 Table 1 indicates that managers in IT organizations adopt the legitimate formal power base, referent and expert personal
 power bases to a great extent to get work done. This is followed by credibility personal power base and reward formal
 power bases that are used to a moderate extent and coercive formal power base to a less extent to get work done by
 managers.
 This indicates that the personal power bases were used to a greater extent than the formal bases. In formal groups and
 organizations, the most frequent access of power is one’s structural position. It represents the power a person receives as a
 result of his/her position in the formal hierarchy and includes coercive and reward power (legitimate power). This is
 followed by identification with a person who has desirable resources or personal traits (referent power) and influence
 wielded as a result of expertise, special skill, or knowledge (expert power).
 The moderate exercise of power comes from the manager being reliable, speaks the truth, does what s/he says and follows it
 up, and the person can be trusted and believed (credibility power). Subordinates comply because doing so produces positive
 benefits. The power which enables a manager to distribute rewards that subordinates view as valuable (reward power).
 The least exercise of power by managers originates from the base that is dependent on fear and rests on the application, or
 the threat of application, of physical sanctions or control by force of basic physiological or safety needs (coercive power).

 Table 2: Indicating the mean, standard deviation on leadership strategies adopted by managers actually and ideally
 in I.T organizations
  Leadership Strategies                    Mean           Mean        Std. Deviation    Std. Deviation
                                          (Actual)       (Ideal)          (Actual)          (Ideal)
  Prescriptive Leadership Strategies        3.49          4.82              .734       .872


  Restrictive Leadership Strategies               3.04           1.95               .480         .679

 a From Leadership/Impact® Feedback Report by R.A. Cooke, Human Synergistics. Copyright © 2008 by Human
 Synergistics International. Adapted by permission.
 According to Cooke (2008) the means of the actual prescriptive (3.49) and restrictive (3.04) strategies are equal that they
 cancel out each other and this will decrease the Constructive impact and increase the Passive/Defensive impact on others.
 However the ideal prescriptive (4.82) and restrictive (1.95) strategies required indicate that Prescriptive strategies are strong
 and do have a Constructive impact on others.
 Indian I.T managers are engaged in Prescriptive leadership strategies more than Restrictive strategies. The differences
 between the means of prescriptive and restrictive leadership strategies are not very great. However IT managers basically
 believe in strategies that guide or direct the activities and behaviours of employees toward goals, opportunities and methods
 as compared to strategies which constrain or prohibit activities and behaviours with respect to goals, opportunities and
 methods. Prescriptive leadership strategies provide employees with a direction to channel their efforts, models regarding
 how things should be done, positive reinforcement to encourage the repetition of desired behaviours, and a set of parameters
 specifying their sphere of influence. This strategy is followed by Restrictive leadership strategies which provides employees
 with directions that should not be pursued, models regarding behaviours they should avoid, negative feedback to discourage
 the repetition of undesired behaviours, and a set of parameters restricting their sphere of influence.

Hypothesis 1: There will be no significant relationship between power bases adopted and leadership strategies in IT
organizations.

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European Journal of Business and Management                                                                        www.iiste.org
ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online)
Vol 4, No.11, 2012

Table 3: Indicating Pearson correlations among Power bases and leadership strategies adopted by managers in IT
organizations
  Power Bases        Prescriptive leadership      Sig.         Restrictive leadership      Sig.
                            strategy                                  strategy


Coercive power                   -.243**                    .000                  .171**                  .000
Expert power                     .636**                     .000                  .252**                  .000
Legitimate power                 .605**                     .000                  .309**                  .000
Referent power                   .672**                     .000                  .267**                  .000
Reward power                     .508**                     .000                  .354**                  .000
Credibility power                .704**                     .000                  .282**                  .000
* Pearson correlation significant at the 0.05 level. ** Pearson correlation significant at the 0.01 level.
From Leadership/Impact® Feedback Report by R.A. Cooke, Human Synergistics. Copyright © 2008 by Human
Synergistics International. Adapted by permission.
Hypothesis 1 was rejected and the alternative hypothesis accepted as it was found that coercive (-.243**) power base was
negatively correlated to prescriptive and positively correlated (.171**) to restrictive leadership strategies. Expert (.636**),
legitimate (.605**), referent (.672**), reward (.508**) and credibility (.704**) power bases were all positively correlated to
prescriptive leadership strategies and restrictive leadership strategies. However, the strongest correlation was found between
credibility (.704**) power base and prescriptive leadership strategy, followed by referent (.672**), expert (.636**),
legitimate (.605**) and reward (.508**) power bases and prescriptive leadership strategy. The other relationships were not
strong especially power bases and restrictive leadership strategies. All the correlations were statistically significant at the
0.01 level.

Hypothesis 2: Power bases adopted will not significantly influence leadership strategies in IT organizations.
Table 4: Indicating (coefficients) step-wise multiple regression of Prescriptivea leadership strategy on the Power base
variables
  Power        Base         Unstandardized           Standardized           t              Sig.
  Variables                   Coefficients            Coefficients

                                       B                   Std. Error      Beta
  Referent Power                     .099                     .035         .154          2.810
  Credibility Power                  .244                     .027         .355          8.901
  Legitimate Power                   .104                     .034         .167          3.106
  Reward Power                       .098                     .021         .138          4.749
  Coercive Power                     .061                     .015         .060          4.131
  Expert Power                       .088                     .028         .132          3.083
* Significant at the 0.05 level. ** Significant at the 0.01 level.
From Leadership/Impact® Feedback Report by R.A. Cooke, Human Synergistics. Copyright © 2008 by Human
Synergistics International. Adapted by permission.
Hypothesis 2 was rejected and the alternative hypothesis accepted as it was found that all the six power bases significantly
influenced prescriptive leadership strategy. Credibility power base had the strongest influence followed by legitimate,
referent, reward, expert and the least being coercive power base. Together these six power bases explained 97.8% (R Square
= .978) of the variation in the prescriptive leadership strategy.

Table 5: Indicating (coefficients) step-wise multiple regression of Restrictive leadership strategy on the Power base
variables
  Power Base Variables           Unstandardi         Standardized               t           Sig.
                                       zed            Coefficients
                                 Coefficients
                                        B              Std. Error             Beta
  Legitimate Power                    .150                .024                .279         6.146
  Coercive Power                      .220                .015                .252         14.689
  Credibility Power                   .164                .023                .277         7.161

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European Journal of Business and Management                                                                         www.iiste.org
ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online)
Vol 4, No.11, 2012

   Reward Power                          .127                   .020                .208         6.298
  * Significant at the 0.05 level.
** Significant at the 0.01 level.
From Leadership/Impact® Feedback Report by R.A. Cooke, Human Synergistics. Copyright © 2008 by Human
Synergistics International. Adapted by permission.
It was found that legitimate, coercive, credibility; reward power bases significantly influenced restrictive leadership
strategy. Legitimate power base had the strongest influence followed by credibility, coercive and the least being reward
power base. Together these four power bases explained 96.8% (R Square = .968) of the variation in the restricitve leadership
strategy.
Tables 4 and 5 results indicate that the null hypothesis H2 is rejected and the alternate hypothesis is accepted that there is a
significant influence of power bases adopted by managers and its influence on the leadership strategies used by managers in
IT organizations.
At the micro level analysis it was found only legitimate, credibility, coercive and reward power bases influenced the
restrictive leadership strategies. Expert and referent power bases did not influence restrictive leadership strategies. This
influence was statistically significant at the 0.01 level of significance.

4. 0 Discussion: As significant Positive association was found between expert, legitimate, referent, Reward, and credibility
Power bases and Prescriptive leadership strategies it is recommended that these Power bases need to be used more in service
and IT organizations. As Legitimate Power base significantly influenced Prescriptive and Restrictive leadership strategies, it
needs to be leveraged by managers appropriately that they need to make polite and clear requests, explain the reasons for a
request, do not exceed the scope of authority, verify authority if necessary, follow proper channels, follow up to verify
compliance, and insist on compliance if appropriate (Yukl, 2006).
The study indicates that referent Power bases significantly influenced Prescriptive leadership strategy, therefore to increase
the effectiveness of the use of referent Power base managers need to show acceptance and positive regard, act supportive
and helpful, use sincere forms of ingratiation, defend and backup people when appropriate, do unsolicited favours, make
self sacrifices to show concern, and keep promises (Yukl, 2006).
As expert Power bases significantly influenced Prescriptive leadership strategy, managers need to engage in behaviours
such as explaining reasons for request or proposal and why it is important, provide evidence that a proposal will be
successful, do not make rash, careless, or inconsistent statements, do not lie, exaggerate, or misrepresent the facts, listen
seriously to employees concerns and suggestions, and act confident and decisive in a crisis (Yukl, 2006). As Reward Power
base significantly influenced Prescriptive leadership strategy, to increase the effectiveness of the use of Reward Power base,
managers can offer rewards that are fair and ethical, set clear expectations regarding offer of rewards (Yukl, 2006).
The study indicates that Coercive Power base significantly influenced Restrictive leadership strategy. Managers need to
increase the effectiveness of using coercive Power base particularly to discipline employees. Care should be taken that
employees be made aware of the rules and regulations, and ensure that employees understand the serious consequences of
violations, reprimand and warn in private. The manager should express a sincere desire to help the employee comply with
role expectation, include the employee in suggesting ways to correct a problem and seek agreement on a concrete plan, and
use Punishments that are legitimate, and fair. (Yukl, 2006).
As expert Power base significantly influenced satisfaction with work, enhancing personal Power bases of managers will
enhance employee satisfaction and reduce the adverse effects of the positional Power bases (Rahim, 1989). Providing
managers with appropriate education and training, opportunities to engage in appropriate job experiences and human
relations training will help to overcome the deficiency in their expert and referent Power bases.
Empowerment process can also be introduced as an informal Power base to influence employees. ‘Empowerment represents
a means of Power acquisition that has not been included in the models of Power. Unlike other forms of Power acquisition,
empowerment is unique in that it involves an intentional and often formal process of structural and behavioural change
designed to grant Power to individuals or group who previously did not enjoy structural advantages that provide Power
(Liden and Arad, 1996). A conscious movement from positional to personal Power bases by sharing Power with employees
will expand the amount of Power in organizations and can have desirable impact on employee’s productivity and
satisfaction.
5.0 Implications of Leadership: In the new people-economy, today’s organizational credo is increasingly ‘It knows
therefore it is.’ People drive organizations to success or failure. People as a resource have gained paramount importance in
most CEOs’ comments and annual reports. Organizations today are service oriented and operate in a turbulent and fast
changing environment. Knowledge workers not only drive these organizations, they are its key resource. In the words of
Drucker (1966) ‘Every knowledge worker in modern organization is an executive" if, by virtue of his position or
knowledge, he is responsible for a contribution that materially affects the capacity of the organization to perform and to

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European Journal of Business and Management                                                                        www.iiste.org
ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online)
Vol 4, No.11, 2012

obtain results. Therefore there is a need for new methods that will make the improvements in knowledge-worker
productivity that will be required in the 21st century.
Drucker (2001) identifies major factors for knowledge-worker productivity in the future which is relevant for IT companies.
In the IT context. Managers should understand the fact that autonomy and feedback gives room for creativity and
innovation. IT employees should be given opportunities for continuous learning for growth and development. The
productivity of an IT employee should not be assessed based on the quantity of output rather based on quality of the output.
Knowledge workers feel engaged and involved when they are treated as assets than being treated as costs.
Managers potentially have numerous tools at their disposal for increasing their effectiveness. The most important tool
revolves around the strategy, skills and behaviours that have been shown through research to be related to measures of
leadership performance. Prescriptive strategies generally are more effective than Restrictive strategies. It serves to define a
direction for the system, establish structures for organization learning and adaptation, and support processes for problem
solving and the integration of organizational components. They create and reinforce an organizational culture that
communicates Constructive norms and expectations to members.

6.0 Suggestions for Further Research
This study should be replicated in other sectors such as the manufacturing, service and hospitality, financial sectors to
ascertain if the findings hold true in all organizations. Other instruments can be adopted to find out the power processes
such as influence tactics and its impact on leadership. Studies need to focus on effectiveness and efficiency of each power
dimension to raise role innovation and positive affective responses. Research is needed to enhance the understanding of the
interrelationships of Power, conflict-management strategies, and propensity to leave a job. As the study was conducted in
the IT sector other sectors need to be studied to compare and contrast the results so that the generalizability of the findings
can be increased. Other models and relationships can be developed and tested with reference to power bases and leadership
strategies. Other human resource management and organizational behaviour variables can be investigated as dependent
variables

7.0 Limitations of the Study
The self-report of power bases and leadership strategies that were taken from each respondent present the problem of
common method variance. This problem is reduced as the reliability and validity of the instruments were found to be high.
The scope of the present study can be extended to do a path analysis among the variables. The number of items and the
length of the questionnaire could have had an effect on the responses,as the respondent took one hour to complete the entire
questionnaire. Although confidentiality was assured to the respondents, it is not sure whether the social desirability factor
could have been reduced.

8.0 Conclusions
The findings of the present study pinpoint certain relevant conclusions, particularly focusing on the centrality of Power
processes and leadership as critical Independent variables. This research indicated that all six Power bases significantly
influenced Prescriptive leadership strategy and therefore organizations to increase job satisfaction and if the response to
dissatisfaction must be Constructive then managers must use these Power bases effectively at the workplace.
As Prescriptive leadership strategy had a Constructive impact on employees, organizations need to nurture and imbibe as
part of their organization culture the behaviours that reinforce Prescriptive leadership behaviours and decrease Restrictive
leadership strategy so that Passive/Defensive and Aggressive/Defensive behaviours are reduced?

i.Leadership/Impact® is a registered trademark of Human Synergistics International.. ii. All Leadership/Impact®
leadership strategy descriptions: From Leadership/Impact® Feedback Report by R.A. Cooke, Human Synergistics.
Copyright © 2008 by Human Synergistics International. Adapted by permission. iii. All Leadership/Impact® style names
and descriptions: From Leadership/Impact® Feedback Report by R.A. Cooke, Human Synergistics. Copyright 2008 by
Human Synergistics International. Adapted by permission. From Leadership/Impact® Feedback Report by R.A. Cooke,
Human Synergistics. Copyright © 2008 by Human Synergistics International. Adapted by permission.

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Vol 4, No.11, 2012

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Influence of power bases on leadership strategies adopted by

  • 1. European Journal of Business and Management www.iiste.org ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online) Vol 4, No.11, 2012 Influence of Power Bases on Leadership Strategies Adopted by Managers’ in Information Technology Organizations Harold Andrew Patrick Associate Professor, HOD – OB and HRM, Christ University, Institute of Management, Hosur Road, Bangalore - 560 029, India E-mail of the corresponding author: haroldpatrick@christuniversity.in Abstract Power is an integral and inescapable part of organizations. No manager can be efficient without understanding and using power in an appropriate manner. Today, managers need to make a transition from guiding and leading to shaping and influencing the growth by the ways in which they approach their work and interact with one another .The literature generally suggests that effective leaders express their need for power and influence in ways that create value to the organization. The present investigation focuses on power bases of managers and its influence on type of leadership strategies adopted by managers to lead their employees. 515 respondents representing 87 I.T companies were surveyed. Two standardized, valid and reliable instruments were used to measure the constructs. Leadership Strategies developed by Robert A. Cooke’s (1996) was adopted with permission and French and Raven’s (1959) bases of power was measured using a modified version of Hinkin and Schriesheim’s (1989).The Cronbach's Alpha reliability for the scales were 0.88 and above, the stratified random sampling technique was adopted. The major findings suggest that the Legitimate Power needs to be leveraged most in IT organizations as it significantly influences Prescriptive and Restrictive leadership strategies. The findings, conclusions, implications and suggestions for further research have been discussed. Key Words: Power bases, Formal power bases, Personal power bases, Leadership strategies, Prescriptive strategy, Restrictive strategy. 1. Introduction Power is one of the most important motives that individuals strive for. Power and influence can be studied from various angles. No organization is devoid of power. Organizations can be perceived as politically negotiated orders. Organizational charts are mainly provided to describe the formal allocation of power that is positional power, to job titles. They also indicate other functions such as collective, individual and position power, and the way it is attained is a vital area of concern. The use or misuse of power could be analyzed in two segments a) For personal effectiveness or and b) for organizational effectiveness. Most conceptions are based on Webers’ (1947) classic definition that, "Power is the probability that one actor within a social relationship will be in a position to carry out his own will, despite resistance and regardless of the basis on which this probability rests”. The leader has more than one person to lead, has the power to affect others and has a goal to attain. The key point in differentiating leadership and management is the idea that employees willingly follow leaders because they want to, not because they have to. Managerial behaviour in information technology organizations is affected by leadership behaviour. To acquire and retain power, a leader must skillfully use organizational politics – informal approaches to gaining power through means other than merit or luck. 1.2 Leadership Behaviour: ‘Leadership is the ability to inspire confidence and support among the people who are needed to achieve organizational goals’ Kim & Mauborgne (1992). An organization has the greatest chance of being successful when all employees work toward achieving its goal. Since leadership involves the exercise of influence by one person over others, the quality of leadership is a critical determinant of organizational and managerial behaviour. Wallace et al (2011) found that empowering leadership climate relates to psychological empowerment climate. Hunter et al (2011) have argued that the pursuit of innovation requires a unique leadership approach – one that may not be currently captured by traditional views of leadership. Creativity and innovation and how leadership effects team creativity has been documented by Reiter- Palmon (2011).Managing the innovative process and the dynamic role of leaders and how their cognition and social behaviours need to adapt to effectively and efficiently manage innovation have been detailed by Stenmark et al (2011). Schaubroeck et al (2011) found that servant leadership influenced team performance through affect-based trust and team psychological safety, Boies et al (2010) found that team potency and trust were positively related to shared transformational leadership and negatively related to passive avoidant leadership. Sosik & Cameron (2010) proposed that leaders first create an ascetic self-construal that derives from character strengths and virtues and then project this self image through idealized influence, inspirational motivation, intellectual stimulation, and individualized consideration behaviour. Gentry et al (2011) found the biggest gaps among generations in leading employees, change management, and building and mending relationships. Most of the recent literature review highlights the fact that freeing, autonomous, interdependent and prescriptive leader behaviour creates the right climate for employees to be more able, willing, agile and ready to engage in meaningful and innovative behaviours at the workplace .Kotter (1990) observed that managers must know how to lead as 101
  • 2. European Journal of Business and Management www.iiste.org ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online) Vol 4, No.11, 2012 well as manage. Hoogh, Hartog & Koopman (2005) found that, consistent with trait activation theory, the perceived dynamic work environment moderated four of the Big Five personality traits with both charismatic and transactional leadership. Also, charismatic leadership was positively related to perceived effectiveness, but only in dynamic contexts.Conger’s (1989) research suggested that empowering practices by leader includes providing a positive emotional atmosphere, rewarding and encouraging in visible and personal ways, expressing confidence, fostering initiative and responsibility, and building on success, praising initiative, and practicing super leadership. 1.3 Contrasting Leadership and Power Processes: Leadership behaviour and power processes are closely related. Leaders use power as a means of attaining group goals. Leaders achieve goals and power as a means to facilitate their achievements. The differences between the two are related to Goal compatibility – (A) power does not require goal compatibility but merely dependence. Leadership requires some congruence between the goals of the leader and those being led. (B) Direction of influence of one’s subordinates – it minimizes the importance of lateral and upward influence patterns. (C) Leadership research on style and power has tended to encompass a broader area and focus on tactics for gaining compliance. The research by Carpenter. A & Golden Our.B.R(1997) suggest that a manager's 'fit' with an industry or firm may depend on their personality characteristics. The findings in their study reveal that an external locus orientation may be most functional in highly deterministic or low discretion environments and organizations (e.g., in regulated firms). In contrast, this orientation may be less functional in either highly discretionary or fast moving markets in which managerial action is particularly valuable. The study on retail sales managers' bases of social power highlights that non coercive sources of power were generally related to higher overall job satisfaction and satisfaction with the supervisor, while coercive power was inversely associated with satisfaction with supervisor. Negative relationships were found between retail sales managers' legitimate and expert power and retail sales person’s role conflict. (Skinner et al., 1984). 1.4 Power, Politics and Leadership: Metatriangulation is a concept that helps us view the multiple conceptualizations of the relationships between power and IT. From one perspective, IT may be seen as a driver of change in power structures and processes. Alternatively, the creation and introduction of IT can be seen as a process that involves interested parties to intentionally using their power to affect the nature of the systems that are put in place. At a more complex level, expectations regarding changes to power structures and power can serve as an important factor in decisions to adopt, promote, or develop IT even if the actions that result are not themselves particularly power-laden or political. IT can be used to create symbols and meaning that reinforce current power structures or to mold altered structures. (Jasperson et al., 2002). Organizational power is derived from many sources mentioned earlier and can also stem from ownership, providing resources, capitalizing upon opportunity, and being close to power. Leaders who intend on increasing their power should develop a plan which must include setting a goal, measuring the cost effectiveness of politicking, conducting power analyses of powerful people, and analyzing what type of politics is played at the top. To make effective use of organizational politics, leaders must be aware of specific political tactics and strategies. Techniques aimed at ethical means of gaining power, building relationships, and avoiding political blunders should be encouraged through effective leadership. If I.T organizations have to increase their effectiveness in goal achievement, unethical means such, as embrace-or-demolish strategy must be discouraged. It has been found that structural and productive power differ in a critical respect that the former works through direct structural relations, the latter entails more generalized and diffuse social processes. Specifically, structural power is structural constitution, that is, the production and reproduction of internally related positions of super-and subordination domination. Productive power, by contrast, is the constitution of all social subjects with various social powers through systems of knowledge and discursive practices of broad and general social scope. Conceptually, the move is away from structures, per se, to systems of signification and meaning (which are structured, but not to themselves structures), and to networks of social forces perpetually shaping one another. In that respect, attention to productive power looks beyond or is post structures. (Barnett & Duvall, 2005). 1.5 The Role of Power in Leadership: Power plays a major role in the interactions occurring in organizational life. Power over others is intertwined with an understanding of leadership processes. Yet, despite the relevance of power to organizations and the understanding of the leadership process, research studies of power and leadership are not well integrated (Hollander & Offermann, 1990). McClelland (1970) demonstrated how effective leadership could be instrumental in promoting social disaster. The tendency has been to examine the intentional and overt behavior of individuals and groups and the effects of power. Pfeffer’s (1981) review of research on power notes, the focus of most studies of power in organizations is "on hierarchical power, the power of supervisors over subordinates, or bosses over employees”, power which serves as functionalist imperatives. The present study explores IT managers’ power processes and the influence it has on the leadership strategies adopted in 102
  • 3. European Journal of Business and Management www.iiste.org ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online) Vol 4, No.11, 2012 information technology organizations. 1.6 Need and Rationale: The importance of power in organization needs to be overemphasized, as it is one of the essential components of practically every organization. A clear understanding of organizations requires a thorough analysis of power as one of its central features and how they influence leadership processes. Since power is often viewed negatively, there has been a strong tendency to obscure it, Zaleznick (1970). Executives are reluctant to acknowledge the place of power both in individual and in the organizational relationships. Some managers withdraw into the safety of organizational logic. There are a few studies investigating these variables and its relationships have not been clearly established in the Indian context. Since the Indian I.T sector is viewed as the sunrise sector, the study will be more meaningful as it intends to provide some new insights in the knowledge worker context. Therefore the study gains importance. This study is an attempt to contribute afresh a new perspective to the field of behavioral sciences with special reference to power processes and leadership of managers in information technology organizations. It is also an earnest attempt to bridge the gap especially in this area by highlighting the relevance and importance of power processes and leadership to management, individual, and organizational effectiveness .It is hoped that this study will initiate a series of serious and productive discussions on the subject. 2.1 Methodology 2.1 Objectives 1. To understand the power bases utilized by managers. 2. To find out the leadership strategies adopted and to establish the linkage between power bases and leadership strategies in the IT context. 2.2 Sample Size: The research was carried out on a sample size of 515 respondents from 87 IT companies. The sample was drawn from all the three levels of management. 305 IT employees from the junior level executives, 148 from the middle level managers and 62 from the senior level management were administered the questionnaire. The stratified random sampling technique was adopted for the present study. The inclusion criteria were employees with minimum one year work experience and have known their boss for one year was only asked to fill the questionnaire. 2.3 Measures: Managerial power was assessed by using French & Raven’s (1959) power-based taxonomy. French & Raven’s (1959) bases of power is measured using a modified version of Hinkin and Schriesheim’s (1989) 25-item power scale, as adapted by Nesler, Aguinis, Quigley and Tedeschi (1993). The scale employs a nine-point response scale (1 = Disagree; 9 = Agree), and consists of six subscales: coercive power, expert power, legitimate power, referent power, reward power and credibility. Based on the results of a CFA supporting five power factors, these items were used to create five composite scales: coercive power (3 items, á = 0.71); expert power (4 items, á = 0.76); legitimate power (4 items, á = 0.81); referent power (4 items, á = 0.89); reward power (3 items, á = 0.77); and credibility (5 items, á = 0.70). The nine-point scale was reduced to a seven-point scale (1 = Disagree; 7 = Agree) and used for the present study. The Cronbach's Alpha reliability statistics for all items for the above instruments on the present sample was .962. Leadership Strategies instrument, developed by Robert A. Cooke’s (1996) description by others inventory was adopted. Leadership strategies have 60 statements and the inventory uses a five-point scale (1 = Never; 5 = Always) Restrictive strategies (30 statements) and Prescriptive strategies (30 statements). This is divided into 2 domains (12 statements) for the Restrictive and Prescriptive behaviours in the Personal category. 5 domains (30 statements) for the Restrictive and Prescriptive behaviours in the Interpersonal category. 5 domains (18 statements) for the Restrictive and Prescriptive behaviours in the Organizational category. The Cronbach's Alpha reliability for the above scale on the present sample was 0.88. 2.4 Respondent Profile: The distribution of respondents along demographic variables was as follows: 60% of the respondents were junior level executives, 28% were middle level managers and 12% were senior managers. 72% of the respondents supervised more than three employees and 28% supervised two and less employees. 80% of the respondents were male and 20% female. 52% of the respondents were below between 21 - 25 years of age, 24% were between 26 – 30 years of age, 16% were between 31 – 35 years and 8% were in the age group 41 – 45 years. 4% of the respondents were diploma holders, 64% had completed a bachelors degree, 28% masters degree and 4% other professional certificates/courses. 72% of the respondents were unmarried, 24% married, 4% divorced or widowed. 28% of the respondents had one year of work experience, 36% 1 – 3 years, 8% 3 – 5 years, 8% 5 – 7 years, 12% 7 – 9 years and 8% had above 9 years work experience. 103
  • 4. European Journal of Business and Management www.iiste.org ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online) Vol 4, No.11, 2012 3.0 Findings Table 1 Indicating the mean and standard deviation in descending order for the power bases of managers in I.T organizations Power Bases Mean Std. Deviation Legitimate Power 5.57 1.30 Referent Power 5.36 1.34 Expert Power 5.17 1.44 Credibility Power 4.98 1.43 Reward Power 4.82 1.43 Coercive Power 3.20 1.45 Table 1 indicates that managers in IT organizations adopt the legitimate formal power base, referent and expert personal power bases to a great extent to get work done. This is followed by credibility personal power base and reward formal power bases that are used to a moderate extent and coercive formal power base to a less extent to get work done by managers. This indicates that the personal power bases were used to a greater extent than the formal bases. In formal groups and organizations, the most frequent access of power is one’s structural position. It represents the power a person receives as a result of his/her position in the formal hierarchy and includes coercive and reward power (legitimate power). This is followed by identification with a person who has desirable resources or personal traits (referent power) and influence wielded as a result of expertise, special skill, or knowledge (expert power). The moderate exercise of power comes from the manager being reliable, speaks the truth, does what s/he says and follows it up, and the person can be trusted and believed (credibility power). Subordinates comply because doing so produces positive benefits. The power which enables a manager to distribute rewards that subordinates view as valuable (reward power). The least exercise of power by managers originates from the base that is dependent on fear and rests on the application, or the threat of application, of physical sanctions or control by force of basic physiological or safety needs (coercive power). Table 2: Indicating the mean, standard deviation on leadership strategies adopted by managers actually and ideally in I.T organizations Leadership Strategies Mean Mean Std. Deviation Std. Deviation (Actual) (Ideal) (Actual) (Ideal) Prescriptive Leadership Strategies 3.49 4.82 .734 .872 Restrictive Leadership Strategies 3.04 1.95 .480 .679 a From Leadership/Impact® Feedback Report by R.A. Cooke, Human Synergistics. Copyright © 2008 by Human Synergistics International. Adapted by permission. According to Cooke (2008) the means of the actual prescriptive (3.49) and restrictive (3.04) strategies are equal that they cancel out each other and this will decrease the Constructive impact and increase the Passive/Defensive impact on others. However the ideal prescriptive (4.82) and restrictive (1.95) strategies required indicate that Prescriptive strategies are strong and do have a Constructive impact on others. Indian I.T managers are engaged in Prescriptive leadership strategies more than Restrictive strategies. The differences between the means of prescriptive and restrictive leadership strategies are not very great. However IT managers basically believe in strategies that guide or direct the activities and behaviours of employees toward goals, opportunities and methods as compared to strategies which constrain or prohibit activities and behaviours with respect to goals, opportunities and methods. Prescriptive leadership strategies provide employees with a direction to channel their efforts, models regarding how things should be done, positive reinforcement to encourage the repetition of desired behaviours, and a set of parameters specifying their sphere of influence. This strategy is followed by Restrictive leadership strategies which provides employees with directions that should not be pursued, models regarding behaviours they should avoid, negative feedback to discourage the repetition of undesired behaviours, and a set of parameters restricting their sphere of influence. Hypothesis 1: There will be no significant relationship between power bases adopted and leadership strategies in IT organizations. 104
  • 5. European Journal of Business and Management www.iiste.org ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online) Vol 4, No.11, 2012 Table 3: Indicating Pearson correlations among Power bases and leadership strategies adopted by managers in IT organizations Power Bases Prescriptive leadership Sig. Restrictive leadership Sig. strategy strategy Coercive power -.243** .000 .171** .000 Expert power .636** .000 .252** .000 Legitimate power .605** .000 .309** .000 Referent power .672** .000 .267** .000 Reward power .508** .000 .354** .000 Credibility power .704** .000 .282** .000 * Pearson correlation significant at the 0.05 level. ** Pearson correlation significant at the 0.01 level. From Leadership/Impact® Feedback Report by R.A. Cooke, Human Synergistics. Copyright © 2008 by Human Synergistics International. Adapted by permission. Hypothesis 1 was rejected and the alternative hypothesis accepted as it was found that coercive (-.243**) power base was negatively correlated to prescriptive and positively correlated (.171**) to restrictive leadership strategies. Expert (.636**), legitimate (.605**), referent (.672**), reward (.508**) and credibility (.704**) power bases were all positively correlated to prescriptive leadership strategies and restrictive leadership strategies. However, the strongest correlation was found between credibility (.704**) power base and prescriptive leadership strategy, followed by referent (.672**), expert (.636**), legitimate (.605**) and reward (.508**) power bases and prescriptive leadership strategy. The other relationships were not strong especially power bases and restrictive leadership strategies. All the correlations were statistically significant at the 0.01 level. Hypothesis 2: Power bases adopted will not significantly influence leadership strategies in IT organizations. Table 4: Indicating (coefficients) step-wise multiple regression of Prescriptivea leadership strategy on the Power base variables Power Base Unstandardized Standardized t Sig. Variables Coefficients Coefficients B Std. Error Beta Referent Power .099 .035 .154 2.810 Credibility Power .244 .027 .355 8.901 Legitimate Power .104 .034 .167 3.106 Reward Power .098 .021 .138 4.749 Coercive Power .061 .015 .060 4.131 Expert Power .088 .028 .132 3.083 * Significant at the 0.05 level. ** Significant at the 0.01 level. From Leadership/Impact® Feedback Report by R.A. Cooke, Human Synergistics. Copyright © 2008 by Human Synergistics International. Adapted by permission. Hypothesis 2 was rejected and the alternative hypothesis accepted as it was found that all the six power bases significantly influenced prescriptive leadership strategy. Credibility power base had the strongest influence followed by legitimate, referent, reward, expert and the least being coercive power base. Together these six power bases explained 97.8% (R Square = .978) of the variation in the prescriptive leadership strategy. Table 5: Indicating (coefficients) step-wise multiple regression of Restrictive leadership strategy on the Power base variables Power Base Variables Unstandardi Standardized t Sig. zed Coefficients Coefficients B Std. Error Beta Legitimate Power .150 .024 .279 6.146 Coercive Power .220 .015 .252 14.689 Credibility Power .164 .023 .277 7.161 105
  • 6. European Journal of Business and Management www.iiste.org ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online) Vol 4, No.11, 2012 Reward Power .127 .020 .208 6.298 * Significant at the 0.05 level. ** Significant at the 0.01 level. From Leadership/Impact® Feedback Report by R.A. Cooke, Human Synergistics. Copyright © 2008 by Human Synergistics International. Adapted by permission. It was found that legitimate, coercive, credibility; reward power bases significantly influenced restrictive leadership strategy. Legitimate power base had the strongest influence followed by credibility, coercive and the least being reward power base. Together these four power bases explained 96.8% (R Square = .968) of the variation in the restricitve leadership strategy. Tables 4 and 5 results indicate that the null hypothesis H2 is rejected and the alternate hypothesis is accepted that there is a significant influence of power bases adopted by managers and its influence on the leadership strategies used by managers in IT organizations. At the micro level analysis it was found only legitimate, credibility, coercive and reward power bases influenced the restrictive leadership strategies. Expert and referent power bases did not influence restrictive leadership strategies. This influence was statistically significant at the 0.01 level of significance. 4. 0 Discussion: As significant Positive association was found between expert, legitimate, referent, Reward, and credibility Power bases and Prescriptive leadership strategies it is recommended that these Power bases need to be used more in service and IT organizations. As Legitimate Power base significantly influenced Prescriptive and Restrictive leadership strategies, it needs to be leveraged by managers appropriately that they need to make polite and clear requests, explain the reasons for a request, do not exceed the scope of authority, verify authority if necessary, follow proper channels, follow up to verify compliance, and insist on compliance if appropriate (Yukl, 2006). The study indicates that referent Power bases significantly influenced Prescriptive leadership strategy, therefore to increase the effectiveness of the use of referent Power base managers need to show acceptance and positive regard, act supportive and helpful, use sincere forms of ingratiation, defend and backup people when appropriate, do unsolicited favours, make self sacrifices to show concern, and keep promises (Yukl, 2006). As expert Power bases significantly influenced Prescriptive leadership strategy, managers need to engage in behaviours such as explaining reasons for request or proposal and why it is important, provide evidence that a proposal will be successful, do not make rash, careless, or inconsistent statements, do not lie, exaggerate, or misrepresent the facts, listen seriously to employees concerns and suggestions, and act confident and decisive in a crisis (Yukl, 2006). As Reward Power base significantly influenced Prescriptive leadership strategy, to increase the effectiveness of the use of Reward Power base, managers can offer rewards that are fair and ethical, set clear expectations regarding offer of rewards (Yukl, 2006). The study indicates that Coercive Power base significantly influenced Restrictive leadership strategy. Managers need to increase the effectiveness of using coercive Power base particularly to discipline employees. Care should be taken that employees be made aware of the rules and regulations, and ensure that employees understand the serious consequences of violations, reprimand and warn in private. The manager should express a sincere desire to help the employee comply with role expectation, include the employee in suggesting ways to correct a problem and seek agreement on a concrete plan, and use Punishments that are legitimate, and fair. (Yukl, 2006). As expert Power base significantly influenced satisfaction with work, enhancing personal Power bases of managers will enhance employee satisfaction and reduce the adverse effects of the positional Power bases (Rahim, 1989). Providing managers with appropriate education and training, opportunities to engage in appropriate job experiences and human relations training will help to overcome the deficiency in their expert and referent Power bases. Empowerment process can also be introduced as an informal Power base to influence employees. ‘Empowerment represents a means of Power acquisition that has not been included in the models of Power. Unlike other forms of Power acquisition, empowerment is unique in that it involves an intentional and often formal process of structural and behavioural change designed to grant Power to individuals or group who previously did not enjoy structural advantages that provide Power (Liden and Arad, 1996). A conscious movement from positional to personal Power bases by sharing Power with employees will expand the amount of Power in organizations and can have desirable impact on employee’s productivity and satisfaction. 5.0 Implications of Leadership: In the new people-economy, today’s organizational credo is increasingly ‘It knows therefore it is.’ People drive organizations to success or failure. People as a resource have gained paramount importance in most CEOs’ comments and annual reports. Organizations today are service oriented and operate in a turbulent and fast changing environment. Knowledge workers not only drive these organizations, they are its key resource. In the words of Drucker (1966) ‘Every knowledge worker in modern organization is an executive" if, by virtue of his position or knowledge, he is responsible for a contribution that materially affects the capacity of the organization to perform and to 106
  • 7. European Journal of Business and Management www.iiste.org ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online) Vol 4, No.11, 2012 obtain results. Therefore there is a need for new methods that will make the improvements in knowledge-worker productivity that will be required in the 21st century. Drucker (2001) identifies major factors for knowledge-worker productivity in the future which is relevant for IT companies. In the IT context. Managers should understand the fact that autonomy and feedback gives room for creativity and innovation. IT employees should be given opportunities for continuous learning for growth and development. The productivity of an IT employee should not be assessed based on the quantity of output rather based on quality of the output. Knowledge workers feel engaged and involved when they are treated as assets than being treated as costs. Managers potentially have numerous tools at their disposal for increasing their effectiveness. The most important tool revolves around the strategy, skills and behaviours that have been shown through research to be related to measures of leadership performance. Prescriptive strategies generally are more effective than Restrictive strategies. It serves to define a direction for the system, establish structures for organization learning and adaptation, and support processes for problem solving and the integration of organizational components. They create and reinforce an organizational culture that communicates Constructive norms and expectations to members. 6.0 Suggestions for Further Research This study should be replicated in other sectors such as the manufacturing, service and hospitality, financial sectors to ascertain if the findings hold true in all organizations. Other instruments can be adopted to find out the power processes such as influence tactics and its impact on leadership. Studies need to focus on effectiveness and efficiency of each power dimension to raise role innovation and positive affective responses. Research is needed to enhance the understanding of the interrelationships of Power, conflict-management strategies, and propensity to leave a job. As the study was conducted in the IT sector other sectors need to be studied to compare and contrast the results so that the generalizability of the findings can be increased. Other models and relationships can be developed and tested with reference to power bases and leadership strategies. Other human resource management and organizational behaviour variables can be investigated as dependent variables 7.0 Limitations of the Study The self-report of power bases and leadership strategies that were taken from each respondent present the problem of common method variance. This problem is reduced as the reliability and validity of the instruments were found to be high. The scope of the present study can be extended to do a path analysis among the variables. The number of items and the length of the questionnaire could have had an effect on the responses,as the respondent took one hour to complete the entire questionnaire. Although confidentiality was assured to the respondents, it is not sure whether the social desirability factor could have been reduced. 8.0 Conclusions The findings of the present study pinpoint certain relevant conclusions, particularly focusing on the centrality of Power processes and leadership as critical Independent variables. This research indicated that all six Power bases significantly influenced Prescriptive leadership strategy and therefore organizations to increase job satisfaction and if the response to dissatisfaction must be Constructive then managers must use these Power bases effectively at the workplace. As Prescriptive leadership strategy had a Constructive impact on employees, organizations need to nurture and imbibe as part of their organization culture the behaviours that reinforce Prescriptive leadership behaviours and decrease Restrictive leadership strategy so that Passive/Defensive and Aggressive/Defensive behaviours are reduced? i.Leadership/Impact® is a registered trademark of Human Synergistics International.. ii. All Leadership/Impact® leadership strategy descriptions: From Leadership/Impact® Feedback Report by R.A. Cooke, Human Synergistics. Copyright © 2008 by Human Synergistics International. Adapted by permission. iii. All Leadership/Impact® style names and descriptions: From Leadership/Impact® Feedback Report by R.A. Cooke, Human Synergistics. Copyright 2008 by Human Synergistics International. Adapted by permission. From Leadership/Impact® Feedback Report by R.A. Cooke, Human Synergistics. Copyright © 2008 by Human Synergistics International. Adapted by permission. 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