As we discussed in previous chapters, at the center of any business
venture is the intent to create profit by finding ways to make and
sell the goods and services that customers want to buy. In 2005, it was not clear if
Tammy Savage's team's new product would be a success and if the NetGen would
begin to use it. One of the most interested observers was Bill Gates who, having
tried the new software, now understood the difference between using the Internet
to "get something done" versus using it to "build relationships." According to Savage,
Gates "totally gets it now." Whatever the eventual success of 3°, one thing is
certain, the product was brought to market quickly because Tammy Savage proved
to be an effective leader. She is an example of someone who is capable of developing
a personal approach to leadership that results in a high-performing, committed
team of employees.
In this chapter, we examine the issue of how to influence and persuade other people -
managers and employees - to perform their jobs in ways that increase a company's efficiency,
effectiveness, and profitability. First, we examine the nature of leadership and the
sources of power available to managers to influence the work behaviors and attitudes of
employees. Second, we describe four different kinds of approaches to leadership. Third,
we examine why, and under what conditions, these different
approaches can be effective or ineffective and
some general characteristics of effective leaders.
We then turn to the issue of influencing people
through persuasive communication. We identify the
different kinds of people and groups who need to be
influenced and persuaded and describe a model of the
communication process. We then examine how leaders
use organizational politics to gain power over and influence
other people. Several kinds of these political
tactics are described. By the end of this chapter, you
will understand the vital role leadership, communication,
and politics play when it comes to influencing
people in ways that increase the efficiency and effectiveness
of business organizations.
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