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Coercive power
This is power based on fear of punishment. 
Reward power
This is related to resource power. Senior managers may have the power to 
grant pay increases to subordinates. 
Position power or 
legitimate power
This is the power which is associated with a particular job in an 
organisation. It is more or less the same as authority. 
Expert power
This is power which is based on expertise, although it only works if others 
acknowledge that expertise. 
Referent power
This power lies in the personal qualities of the individual. 
Negative power
This is the use of disruptive attitudes and behaviour to stop things from 
happening. 
QUESTION 
Power
 
What kind of power is used by a manager who promises a pay increase if productivity rises? 
A Position 
power C Reward 
power 
B 
Resource power 
D 
Referent power 
ANSWER 
C 
Reward power: reward power is an aspect of resource power so, while Option B is not incorrect, 
it is not as good an answer as Option C. 
 
1.8 Power centres 
The 
degree 
of power people exercise, and the 
types 
of power they are able to exploit, differ depending in 
part on their position in the organisation hierarchy. The effects of personal power vary: the chief executive's 
use of personal power will be more far reaching in the organisation as a whole than that of a junior 
manager. 
1.8.1 Senior management 
Senior managers have coercive and reward powers, and most importantly take decisions relating to 
personnel. 
1.8.2 Middle managers 
Middle managers have a number of power sources. They have some reward power over their own 
subordinates. They may have expert power and negative power to delay or subvert decisions taken by 
senior managers. They need legitimate power, hence the need for formal job descriptions, authorisation 
limits, and so on. 
1.8.3 Interest groups 
There are also formal interest groups; that is, groups which are perceived to represent the interests of 
their members. Such groups tend to wield greater power in conflict situations than their members as 
individuals. Examples include trade unions and occupational and professional groups. 
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