Case Studies

Nab's Rogue Trade

1A. Power

How does “Sources of Contingencies of Power” Model apply to this situation? Identify and discuss both sources of power and any contingencies of power.

Power is the extent of potential a person has to influence or manipulates others beliefs, behavior and attitudes. It works in relation to the other person's potential to bear the power. Sometimes a person in power fails to influence their subordinates. Power of a leader lies within the parameter of subordinate's submission. Influence is the degree of change which takes place in a person. Here, the leader used power and influence as tools to accomplish his ill-intentions (Williams, 2012). On the other hand, it is not mandatory for power and influence to remain in the leader's hands. As Hughes, Ginnett, Curphy (2012) say that even followers or subordinators possess power to influence their leaders. Yet, the current situations and contingencies affect the power of leaders and followers. According to Fiedler's Contingency Model, every person has a certain style of leadership which comes naturally. Some styles focus on establishing a relationship with their subordinates and other seem task-oriented and deal with task first than a person. One has to check which style suits the best in the given situation. There is no one best style always. It varies with the current scenarios. Here, there is another term LPC (Least Preferred Co-worker) that explains about the employees who have worked with. You scale them on a bipolar scale against attributes like friendly-unfriendly, accepting-rejecting, and boring-interesting and so on. You add the score; if your total is high it means you are a relationship-oriented leader. If it is low then you are a task-oriented leader. The interesting factor lies within the rating. The scale does not explain anything about you LPC's but your own way of leading. Usually task-oriented leaders assume their LPC'S very low and negatively. However, relationship oriented leaders consider their LPC's optimistically.

1B. Influence Tactics

Does Duffy use influence tactics effectively? Describe and evaluate the use of networking and any applicable influence tactics. Discuss their ethical appropriateness.

In NAB Duffy had a task-oriented leadership style who considered his subordinates as very low LPC's. When Gentilin tried to resolve the issues, he had to leave the place. Duffy had a grand influence on his boss, Gary Dillion. It is clear that Duffy had power and influence as a leader. Duffy together with his seniors turned the entire place submissive to him. No one dared to interfere in his matters which he did admit in the court. Duffy established a well-constructed network for the execution of his ill practices. He brought his seniors and peers on board. Thus, when Gentilin showed some resistance and reported Duffy's boss, he was personally dealt by Duffy (and got his transfer order). He used 'pressure' as an aggressive approach to influence his subordinates. He applied coercive power and did not let his employees stand against him. According to Carroll and Buchholz (2011) business is too large these years and is powerful at the ...