MEANING,SOURCES AND KINDS OF AUTHORITY

• AUTHORITY,POWER AND POLITICS
  ORGANIZATION BEHAVIOR
  C.S.E MAIN EXAM COMMERCE AND ACCOUNTANCY
• BASIC ORGANIZATIONAL RELATIONSHIP IN FORMAL ORGANIZATION

1. RESPONSIBILITY
2. AUTHORITY
3. ACCOUNTABILITY

• MEANING OF AUTHORITY

1. AUTHORITY IS THE RIGHT TO GIVE ORDERS AND POWER TO EXACT OBEDIENCE.
2. AUTHORITY DENOTES CERTAIN RIGHTS GRANTED TO A POSITION IN AN INSTITUTION. IT INCLUDES RIGHT TO TAKE DECISIONS AND GET THEM EXECUTED FROM THE SUBORDINATES

• DEFINITION OF AUTHORITY
• LOUIS A. ALLEN DEFINED AUTHORITY AS THE SUM OF THE POWERS AND RIGHTS ENTRUSTED TO MAKE IT POSSIBLE THE PERFORMANCE OF THE WORK DELEGATED.
• CLASSIFICATION OF AUTHORITY BY LOUIS A ALLEN:

1. AUTHORITY OF KNOWLEDGE
2. AUTHORITY OF POSITION
3. LEGAL AUTHORITY

• FEATURES OF AUTHORITY

1. RIGHT TO GIVE ORDERS
2. POWER TO EXACT OBEDIENCE
3. CERTAIN RIGHTS ARE GRANTED TO POSITION AND INSTITUTIONS
4. AUTHORITY GIVEN TO POSITION IS LEGAL AND LEGITIMATE
5. THE EXTENT AND LIMITS OF A AUTHORITY OF A POSITION ARE SPECIFIED IN ADVANCE
6. AUTHORITY IS DIFFERENT FROM PERSUASION,SUGGESTION,CONVICTION AND POWER
7. TOTAL OBEDIENCE

• PURPOSE OF AUTHORITY

1. TO INFLUENCE THE BEHAVIOR OF SUBORDINATE IN TERMS OF DOING RIGHT THINGS SO AS TO ACHIEVE ORGANIZATIONAL OBJECTIVES
2. THE BEHAVIOR PATTERN OF A SUPERIOR INVOLVE ISSUE OF COMMAND AND EXPECTATION OF THE ACCEPTANCE BY THE CONCERNED SUBORDINATE
3. THE SUBORDINATE IS EXPECTED TO FOLLOW THE COMMAND VOLUNTARILY
4. PUNISHMENT TO WRONG DOER SUBORDINATE AND REWARD TO THE OUTSTANDING SUBORDINATE

• AUTHORITY AND RESPONSIBILITY

1. RESPONSIBILITY ARISES FROM A SUPERIOR-SUBORDINATE RELATIONSHIP THAT IS THE SUPERIOR HAS THE AUTHORITY TO REQUIRE SPECIFIED SERVICES FROM HIS SUBORDINATE
2. AUTHORITY FLOWS FROM THE SUPERIOR TO SUBORDINATES WHEN DUTIES ARE ASSIGNED.
3. RESPONSIBILITY WE MEAN THE WORK OR DUTIES ASSIGNED TO A PERSON BY VIRTUE OF HIS POSITION IN THE ORGANIZATION. IT REFERS TO THE MENTAL AND PHYSICAL ACTIVITIES WHICH MUST BE PERFORMED TO CARRY OUT A TASK OR DUTY.
4. DELEGATE MUST DETERMINE CLEARLY THE TASK OR DUTY THAT IS ASSIGNED TO THE DELEGATE. THE DUTY MUST BE EXPRESSED EITHER IN TERMS OF FUNCTION OR IN TERMS OF FUNCTIONS OR IN TERMS OF OBJECTIVES

• RELATIONSHIP BETWEEN AUTHORITY AND RESPONSIBILITY

1. AUTHORITY IS A DERIVATIVE OF RESPONSIBILITY. IT IS THE RIGHT TO DO CERTAIN THINGS. IT IS THE RIGHT TO ORDER OR COMMAND AND IS DELEGATED FROM THE SUPERIOR TO THE SUBORDINATE TO DISCHARGE THE RESPONSIBILITY. A SUPERIOR DELEGATING AUTHORITY SHOULD ALSO DETERMINE WHAT TYPES OF AUTHORITY IS TO BE DELEGATED
2. AUTHORITY SHOULD NOT BE CONFUSED WITH UNLIMITED AUTHORITY. THE AMOUNT OF AUTHORITY DELEGATED SHOULD BE COMMENSURATE WITH THE RESPONSIBILITIES OR DUTIES ASSIGNED.

• KINDS OF AUTHORITY

1. RATIONAL LEGAL AUTHORITY
2. TRADITIONAL AUTHORITY
3. CHARISMATIC AUTHORITY

• RATIONAL LEGAL AUTHORITY
• LEGAL AUTHORITY IS DERIVED FROM

1. RULES,REGULATIONS,POLICIES ,PRACTICES AND NORMS
2. OBEDIENCE IS OWED TO LEGALLY ESTABLISHED POSITION
3. POSITION IS FILLED ON COMPETENCY

• WEBER’S THEORY RECOGNIZED LEGAL AUTHORITY AS THE MOST IMPORTANT TYPE IN FORMAL ORGANIZATION
• TRADITIONAL AUTHORITY

1. OBEDIENCE IS OWED TO A PERSON BECAUSE HE BELONGS TO CERTAIN CLASS OR OCCUPIES A POSITION TRADITIONALLY RECOGNIZED AS POSSESSING AUTHORITY SUCH AS ROYAL FAMILY
2. AUTHORITY IS DERIVED FROM TRADITION AND NOT OBTAINED BY COMPETENCE
3. CHARISMATIC AUTHORITY
4. OBEDIENCE IS BASED ON THE FOLLOWER’S BELIEF THAT THE LEADER HAS SOME SPECIAL OR EXCEPTIONAL POWER
5. THEY ARE GENERALLY FOUND IN RELIGION AND POLITICS
6. THIS AUTHORITY IS IRRATIONAL AS FOLLOWERS OBEY BECAUSE OF THEIR EMOTIONS
7. CAN NOT BE DELEGATED
8. IT MAY LOSE IMPORTANCE WHEN THE LEADER DISAPPEARS FROM THE SCENE

• SOURCES OF AUTHORITY

1. THE FORMAL AUTHORITY
2. THE ACCEPTANCE THEORY
3. THE COMPETENCE THEORY

• THE FORMAL AUTHORITY THEORY
• VIEWED AS ORIGINATING AT THE TOP OF AN ORGANIZATION HIERARCHY AND FLOWING DOWNWARD THEREIN THROUGH THE PROCESS OF DELEGATION.
• SHAREHOLDERS ARE THE OWNERS OF THE COMPANY AND DELEGATES THE MGMT TO BOD AND BOD DELEGATES TO CEO AND CEO TO DEPARTMENTAL HEAD AND SO ON
• THE ACCEPTANCE THEORY
• ACCORDING TO THIS THEORY,AUTHORITY IS THE POWER WHICH IS ACCEPTED BY OTHERS. FORMAL AUTHORITY HAS NO SIGNIFICANCE UNLESS IT IS ACCEPTED BY THE SUBORDINATES. THE DEGREE OF EFFECTIVE AUTHORITY POSSESSED BY A MANAGER IS MEASURED BY WILLINGNESS OF THE SUBORDINATES. ACCEPTABILITY OF THE ORDER WILL DEPEND UPON RELATIVE CONSEQUENCES BOTH POSITIVE AND NEGATIVE.
• BARNARD MAINTAINS THAT A SUBORDINATE WILL ACCEPT THE ORDER IF HE UNDERSTANDS IT WELL,IF HE BELIEVES IT IS CONSISTENT WITH THE ORGANIZATION OBJECTIVE AND COMPATIBLE WITH HIS OWN INTEREST
• ZONE OF DIFFERENCE

1. CALLED BY BERNARD AS ZONE OF DIFFERENCE INDICATES THE SPECIFIC LIMITS THAT ARE SET BY THE INDIVIDUALS THEMSELVES WITH IN WHICH THEY WILL RESPOND WILLINGLY TO THE EXERCISE OF AUTHORITY OVER THEM.
2. SIMON REFERRED TO AS THE AREA OF ACCEPTANCE

• LIMITAITON OF ACCEPTANCE THEORY

1. A MANAGER IS NOT ABLE TO WHETHER HIS ORDER WILL BE OBEYED OR DISOBEYED UNLESS THE ORDER IS CARRIED OUT OR DISOBEYED
2. MORE STRESS ON REWARD AND PUNISHMENT BUT IGNORE THE SIGNIFICANCE OF SOCIAL INSTITUTIONS LIKE TRADE UNION

• THE COMPETENCE THEORY
• DERIVED FROM HIS PERSONAL COMPETENCE
• URWICK IDENTIFIED FORMAL AUTHORITY AS BEING GIVEN BY ORGANIZATION
• TECHNICAL AUTHORITY AS POSSESSING OF SPECIAL KNOWLEDGE
• PERSONAL AUTHORITY DUE TO SENIORITY OR POPULARITY

·         CONCLUSION:-THE FORMAL AUTHORITY SHOULD BE REGARDED AS BASIC TO MANAGERIAL JOB AND ACCEPTANCE AND COMPETENCE AUTHORITY AS PRODUCTS OF LEADERSHIP

• LIMITS OF AUTHORITY

1. PHYSICAL LIMITATION
2. ECONOMIC CONSTRAINS
3. SOCIAL CONSTRAINS
4. LEGAL CONSTRAINS
5. BIOLOGICAL LIMITATION
6. INTERNAL CONSTRAINS