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An Insight into the Types of Power a Project Manager Can Use

Project management revolves around complex tasks, making successful execution hinge on technical acumen and effective interpersonal dynamics. Central to these dynamics is the concept of power, an intangible force shaping relationships, influencing decision-making, and steering the overall project direction.

Grasping the various forms of power and their application can empower project managers to cultivate a harmonious team environment, resolve conflicts deftly, and ultimately, drive project success. Therefore, understanding the types of power in project management is a vital tool in a project manager’s repertoire.

This article provides an insight into the types of power in project management, their individual advantages and disadvantages, and how the project manager can use these to drive the team to project success which is the ultimate goal.

Understanding Power in Project Management

Firstly, let’s define power in the context of project management. Power is the capacity to influence others’ behavior and decisions, often to achieve a desired outcome. It’s the ability to sway stakeholders, motivate team members, and guide the project towards its goals.

Power dynamics play a significant role in project management, shaping the interaction between the project manager, team members, and stakeholders. It informs who takes the lead, how decisions are made, and how tasks are assigned and executed.

Power dynamics can foster a collaborative environment, enabling a project manager to motivate and inspire team members towards shared goals. Conversely, mismanaged power dynamics can give rise to conflicts, hinder communication, and impede project progress.

A project manager’s power can come from various sources, including their expertise, position, or their ability to reward or penalize.

Types of Power in Project Management

1. Positional Power in Project Management

Positional power, also known as legitimate power, stems from one’s formal position or status within an organization. In project management, this could be the project manager who, by virtue of their role, has authority over project decisions and team management.

For example, a project manager might use positional power to assign tasks, approve budgets, or make key decisions on project direction. This power is inherent to their role and is recognized by team members due to the structure of the organization.

Advantages and Disadvantages of Positional Power in Project Management

Positional power carries both advantages and disadvantages. On the plus side, this type of power can be useful in setting clear hierarchies and roles within a team, enhancing order and efficiency. It can also expedite decision-making, as the project manager has the authority to make final decisions.

On the flip side, an over-reliance on positional power can stifle creativity and initiative, as team members might feel their ideas are less valued.

Also, it could breed resentment if team members perceive the power is being used unfairly or arbitrarily. Therefore, while positional power is an important tool, it must be balanced with other forms of power for effective project management.

2. Referent Power in Project Management

Referent power arises from the admiration, respect, or identification individuals feel towards a leader. In project management, a manager may possess referent power if they are well-liked, respected, and seen as a role model by their team. This type of power often comes from the leader’s personality traits, such as charisma, integrity, or empathy.

For instance, a project manager might build referent power by consistently demonstrating sound judgement, displaying empathetic understanding towards team members’ concerns, or by leading by example in adhering to project deadlines and quality standards.

Advantages and Disadvantages of Referent Power in Project Management

Referent power offers several advantages. It can foster a positive and collaborative team environment, as team members are likely to be more cooperative and engaged when they respect their leader. It can also enhance the leader’s influence, as team members are more likely to accept decisions and instructions from a leader they admire.

However, there are also drawbacks. Building referent power takes time and consistent effort, and it can be diminished by a single mishandled situation. It also relies heavily on the leader’s personality and interpersonal skills, which can vary widely among individuals.

Furthermore, an over-reliance on referent power can lead to a lack of discipline or a blurred boundary between friendliness and professionalism. Therefore, while referent power can be a powerful tool in a project manager’s arsenal, it must be used wisely and balanced with other types of power.

3. Expert Power in Project Management

Expert power stems from one’s specialized knowledge, skills, or expertise in a particular area. In project management, a manager can wield expert power if they possess deep understanding or proficiency in a specific project-related field that others do not.

A project manager leading a software development project might have expert power if they have a robust background in software engineering. Their technical expertise would enable them to understand the project’s intricacies, contribute valuable insights, and make informed decisions.

Advantages and Disadvantages of Expert Power in Project Management

The advantages of expert power are substantial. It can foster respect and trust within the team, as team members are likely to value the project manager’s insights and decisions if they recognize their expertise. It can also enhance the problem-solving and decision-making processes, as the manager can provide expert guidance.

However, expert power also has its drawbacks. It can be limiting if a project manager relies solely on this form of power, as it might not be effective in situations that require interpersonal or decision-making skills outside their expertise.

Additionally, the perception of expert power can diminish if the project manager fails to keep up with the latest trends and developments in their field. Therefore, while expert power can be a significant asset, it should be used in conjunction with other kinds of power to effectively manage projects.

4. Reward Power in Project Management

Reward power is derived from the ability to grant rewards. In the context of project management, a project manager might exercise reward power by offering incentives such as bonuses, promotions, recognition, or desirable assignments to motivate team members.

A project manager might use reward power to incentivize the team to meet a crucial deadline, offering a team lunch if the milestone is achieved on time.

Advantages and Disadvantages of Reward Power in Project Management

There are clear advantages to using reward power. It can motivate team members to achieve goals, increase productivity, and foster a positive work environment when rewards are distributed fairly. It can also help reinforce desirable behaviors or high-performance standards within the team.

Like other types of power in project management, reward power has its pitfalls. If not properly managed, it can lead to favoritism or perception of bias, undermining team morale.

Additionally, over-reliance on external rewards might diminish intrinsic motivation, making team members less likely to take initiative unless a reward is promised. It can also create unhealthy competition among team members if not carefully balanced with a focus on collaboration and team effort.

Therefore, while reward power can be an effective tool for motivation, it must be used judiciously and in combination with other types of power in project management.

5. Coercive Power in Project Management

Coercive power comes from the ability to enforce penalties or remove rewards. A project manager exhibits coercive power when they discipline team members for not meeting performance standards or for violating rules.

An example might be a project manager who enforces deadlines strictly, penalizing late submissions with overtime, or even docking pay.

Advantages and Disadvantages of Coercive Power in Project Management

Coercive power, when used appropriately, can help maintain discipline, ensure adherence to rules, and uphold high standards of performance.

However, it also has significant drawbacks. Overuse or misuse of coercive power can create a hostile work environment, breed resentment, and lower morale.

It can also stifle creativity and communication as team members may become hesitant to voice concerns or propose new ideas for fear of retribution.

Therefore, while coercive power can serve as a tool for maintaining order, it needs to be used sparingly and balanced with other types of power.

6. Informational Power in Project Management

Informational power arises from access to and control over valuable or exclusive information. A project manager might wield informational power by being the primary source of important project updates or having unique insight into project strategy due to their position.

For instance, a project manager might have exclusive information about upcoming organizational changes that will affect the project or about the strategic decisions made by upper management.

Advantages and Disadvantages of Informational Power in Project Management

The advantage of informational power is clear: it can enhance a leader’s credibility and influence. Having exclusive information can make team members more likely to listen to and follow the project manager.

However, the disadvantages are notable as well. If not managed properly, it can lead to information hoarding, create an imbalance of power, and foment distrust amongst the team.

It can also inadvertently create a barrier between the project manager and the team if information is not communicated effectively and transparently.

Consequently, while informational power can be beneficial, it must be used responsibly and ethically, ensuring information is shared in a fair and transparent manner.

Role of Power Dynamics in Project Management Leadership Styles

Different leadership styles reflect different power dynamics and understanding these dynamics can help a leader adapt their style to the needs of their team and project.

Various types of power play into different leadership styles, and effective leaders know when and how to use them based on their team’s needs and the project’s requirements.

According to this study, the relationships of a project manager’s leadership style to the degree of support he receives from project personnel is related to project performance and effectiveness

1. Transformational Leadership

Transformational leaders inspire and motivate their teams through their vision and passion, often leveraging referent and expert power to transform their teams in service of a greater goal, leading by example and fostering an environment of growth and learning.

While they may wield positional power, their true influence comes from their ability to inspire and engage their teams.

2. Transactional Leadership

Transactional leaders, on the other hand, often rely on reward and coercive power. They operate on an exchange basis by rewarding good performance and penalizing poor performance.

This leadership style can be effective in certain scenarios where clear structures and short-term goals are needed, but it may not inspire the same level of creativity or long-term commitment as transformational leadership.

3. Servant Leadership

Servant leaders primarily leverage referent power, placing the needs of their team members above their own, and focusing on people development and often share their informational power, promoting transparency and open communication.

Servant leadership can foster a high level of trust and collaboration within the team, although it might be less effective in situations requiring quick decisions or strong direction.

4. Autocratic Leadership

Autocratic leaders primarily use positional and coercive power. They make decisions unilaterally, without seeking input from their team.

While this can be efficient when quick decisions are needed, it can also lead to low morale and limited creativity if team members feel their ideas and input are not valued.

Power and Conflict Resolution in Project Management

Power dynamics play a crucial role in conflict resolution within project management. The goal is not to use power to dominate or control, but to guide the team towards a resolution that respects each team member’s perspectives and best serves the team and project goals.

A skillful project manager will know when and how to use these different types of power to resolve conflicts effectively and maintain a harmonious, productive team environment.

The various types of power can be leveraged differently to mediate disputes and foster cooperation in the following ways:

1. Referent Power in Conflict Resolution

Project managers with high referent power can use their interpersonal influence to mediate conflicts and find common ground among disputing parties. Their rapport with team members can facilitate open dialogue and mutual understanding.

2. Expert Power in Conflict Resolution

Expert power can be a potent tool in conflict resolution. A project manager with specific expertise can provide informed solutions to technical conflicts or offer guidance based on their knowledge and experience. Their expert power can help persuade disputing parties to agree on a resolution.

3. Positional Power in Conflict Resolution

Positional power can provide a clear framework within which conflicts can be addressed. The authority of the project manager can ensure that all parties adhere to the agreed-upon resolution. However, it’s essential to use this power judiciously to avoid creating a perception of autocracy.

4. Reward and Coercive Power in Conflict Resolution

Reward and coercive powers can also be effective in conflict resolution. Rewards can be used to incentivize cooperative behavior and reinforce positive ways of resolving conflicts. On the other hand, the judicious use of penalties can deter disruptive actions or behaviors that escalate conflicts.

5. Informational Power in Conflict Resolution

Informational power can be used to manage conflicts by providing key facts or data that can shed light on the issue at hand. By sharing pertinent information, a project manager can help the conflicting parties better understand the situation and potentially find a mutually satisfactory resolution.

How to Develop and Use Power Effectively in Project Management

Power in project management isn’t about dominance or control, but about guiding your team towards achieving common goals. Here are some strategies for developing and using different types of power effectively:

1. Building Referent Power Through Relationships

Referent power is related to a person’s interpersonal skills and the relationships they form. To build this power:

  • Show empathy and interest in your team members. Understand their unique perspectives, strengths, and challenges.
  • Demonstrate respect and fairness in all interactions.
  • Practice good listening skills and show that you value the input and ideas of your team members.
  • Lead by example. Show integrity in your actions, and consistently live up to your commitments and promises.

2. Developing Expert Power Through Knowledge and Skills

Expert power comes from a person’s knowledge and skills. To develop this power:

  • Continuously update your knowledge and skills. Stay up-to-date with the latest trends and advancements in your field.
  • Share your knowledge with your team. Offer valuable insights and guidance.
  • Demonstrate your expertise through the quality of your work and decision-making.

3. Leveraging Reward and Coercive Power Appropriately

Reward and coercive power are related to a person’s ability to give rewards or enforce penalties. To use these powers appropriately:

  • Ensure that rewards and penalties are fair, transparent, and tied to clearly defined criteria.
  • Use rewards and penalties sparingly, and only when necessary. Overuse can lead to a variety of negative consequences, such as decreased intrinsic motivation or resentment among team members.
  • Strive to create an environment where intrinsic motivation thrives, and extrinsic rewards are an added bonus, not the sole driver of effort.

4. Using Positional and Informational Power Effectively

Positional power comes from a person’s position or status, whereas informational power comes from having access to valuable information. To use these powers effectively:

  • Be transparent and open in your communication. Share information freely, unless it’s confidential or sensitive.
  • Use your positional power to facilitate, rather than dictate. Encourage collaboration and involvement from all team members.
  • Use your informational power responsibly. Sharing information can help build trust, but hoarding information can create distrust and resentment.

Conclusion

In a nutshell, power in project management takes various forms—positional, referent, expert, reward, coercive, and informational and each type offers unique opportunities to influence team dynamics, decision-making, and project outcomes.

Understanding and effectively utilizing these power types is crucial for project success. By balancing these powers, project managers can inspire their teams, resolve conflicts, and drive productivity.

Rather than dominating, the astute use of power in project management centers on leadership, motivation, and the shared pursuit of project goals. The right blend of power dynamics forms the foundation of effective project management, leading to successful project outcomes.

FAQs

What type of Power does a Functional Manager enjoy?

A Functional Manager typically enjoys Positional Power due to their role and status in the organization. They may also wield Expert Power through their specialized knowledge, and Reward or Coercive Power through their ability to assign tasks, give rewards, or enforce penalties.

When should Referent Power be Used?

Referent power should be used when building relationships, fostering team cohesion, inspiring and motivating team members, and mediating conflicts. It is effective in situations where trust, respect, and personal influence can drive positive outcomes or consensus.

When should Positional Power be Used?

Positional power should be used to establish structure, delegate tasks, enforce rules, and make critical decisions. It is most effective when clarity, authority, or decisive action is needed, while ensuring it’s used in a way that promotes respect and collaboration, not dominance.

When should Reward Power be Used?

Reward power should be used when recognition of exceptional performance is warranted, when incentivizing desired behaviors, or when fostering a competitive yet collaborative environment. It’s beneficial when trying to boost morale, increase productivity, or reinforce positive behavior.

When should Coercive Power be Used?

Coercive power should be used sparingly, in situations where critical rules or standards are violated, when there’s a risk to the project or team, or to deter repeated negative behavior. It must be applied fairly and transparently, with clear justifications.

When should Informational Power be Used?

Informational power should be used when sharing key insights, guiding decision-making, resolving conflicts, or driving innovation. It’s particularly useful in situations requiring problem-solving, strategic planning, or where transparency can foster trust and cooperation within the team.

David Usifo (PSM, MBCS, PMP®)
David Usifo (PSM, MBCS, PMP®)

David Usifo is a certified project manager professional, professional Scrum Master, and a BCS certified Business Analyst with a background in product development and database management.

He enjoys using his knowledge and skills to share with aspiring and experienced project managers and product developers the core concept of value-creation through adaptive solutions.

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