Mario Augusto JuniorCases and Exercises – Chapter 11

1. What forms of interpersonal power does Larry Ellison use and how does he use them?

Larry Ellison extremely demonstrates he is a follower of the Coercive Power.

Comparing to the other types power use coercive power is the one that seems to be

tougher and stricter. The Coercive Power is the manner that always informs the

subordinates of policies and punishments, warns before penalizing, and plays

punishment consistently and uniformly. On the other side other types of power are

smoother, being cordial, polite, confident, and explain reasons for request. Ellison

uses coercive power in order to control individuals or organizations that he is

interested; he creates unkind situations for those people. This is not a bad way to

run his business, but he could use other approaches to get the same results. Other

type of power used in Ellison’s company is Expert Power, which maintains

reliability, act assertive and decisive, keep informed, recognizes employee’s concern

(Nelson and Debra, 2015, p. 174). He has know-how about industry and

fundamental abilities in controlling a prosperous business. He takes risk and having

a solid baggage in the computing helped him to pave the manner for enterprise

computing.

2. How do the two faces of power relate to Larry Ellison's actions?

Larry Ellison’s attitudes seem to be a mixture of a negative power

versus a positive one in his company. He uses personal power that is a

negative way to obtain what he wants or what he wants to control;

this is focused on benefits that he can gain only for him and his

company. In other words, he is most interested in his own needs and

interests. Individuals that uses the Personal Power are considered

Machiavellian, which is doing whatever it takes to obtain what they

need at certain point. The use of this power can cause legal problems

and uncertainty among co-workers or with the other companies. The

positive face power inside Oracle is defined by the fact that Ellison

strongly believes in the authority system; the company is important

and its authority is necessary. Influencing others happens naturally

for him. Also, there is a sense that prefers the work and discipline; he

likes his job and is systematic with it. This principle says that the work

is good for an individual and better than its salary. Altruism is other

fact within the positive power practiced in the Oracle. The company

needs come before than any other thing. They see their own wellness

as essentially linked to the organizations’ wellness.

3. Does Larry Ellison use power ethically? Explain your answer

Larry Ellison demonstrates not being very ethical in his manner do

business. According to the article Oracle's Larry Ellison: A Profile of

Power, Influence, and Dominance, by Michael K. McCuddy, Ellison

made aggressive actions to Mark Hurd as Hewlett-Packard’s CEO in

August 2010 after an investigation over accusation of sexual assault.

After Hurd was fired Ellison hired him to work at Oracle. Also, Ellison

goes beyond business and does personal confrontations on the CEO’s

and Board of Directors of other organizations in attempt of gaining

any competitive benefit. Determining if decisions made will reflect in

ethical actions is a difficult situation. There are three questions that

can be asked to check if the actions that will be done are reasonable

and ethical. First, “does the comportment create a decent result for

individuals both internal and external of the company?”, second,

“Does the comportment respect the rights of all parties?”, and “Does

the comportment consider all parties equally and honestly?”. The first

question is focused on the result that has to be great for the greatest

number of individuals involved. It fails if it only serves the person’s

interest and does not help the company achieve its objectives. The

second question represents the criterion of “individual rights”

freedom of speech, privacy, and due process are individual rights that

must be respected (Nelson and Debra, 2015, p .174). The last

question focuses on the “distributive justice” that needs to be met, for

example, giving vacancy for an employee and not for the other would

not be correct. If one of those three questions have a negative answer,

then it fails in the test an the decision is unethical.

4. What influence tactics does Larry Ellison use? How does he use these influence tactics?

It seems that he puts everyone under pressure, uses demands,

threats, or coercion to make people to do what he wants. He has a lot

of experience, which gives him a chance of using rational persuasion.

Logical facts and arguments are needed to persuade people, and then

the suggestion or proposal is viable to produce a satisfactory result.

The employees of Oracle have their opinions and conducts affected by

Ellison. He establishes a workplace that only has winners and losers

better than an environment that people perform their job to meet the

goals of the organization. As noticed in one of the previous answers

he uses lateral power to persuade and acquire other corporations or

confronts other organization’s CEO and Board directors.

5. Does Larry Ellison use power effectively? Explain your answer.

The facts and stories that have been presented about Larry Ellison and his company do

not show that he uses power positively. Although it still can be considered effective

because he has been using the available power to grow his company and acquire other

organizations. He has enough abilities to choose and pursue organizations he wants to

control or acquire. Ellison knows exactly how to use the power effectively to obtain

things that he targets.

6. In your own future career, would you be willing to emulate Larry Ellison's behavior? Why or why not?

I definitely would not follow Larry Ellison’s conduct in my future career. For sure I

want to succeed in my business or work, but I want it without roll over other

person, or company. I would not feel comfortable knowing that I am getting benefits

not respecting other individual for that. Ellison behaves in a combative manner

against others and every thing is a competition that needs to be won in order to take

advantage. I believe that I can reach the success using respectable strategies.

Working in an ethical manner is better and makes a healthier climate inside the

work place. There are other types of power that can be used in order to obtain the

concordance of the co-workers of doing business with other organizations.

Legitimate Power that is being cordial, polite, be clear and follow up to verify

understanding, making sure that the request is appropriate (Nelson and Debra,

2015, p. 174). I would also use Referent Power to treat the subordinates fairly and

defend subordinate’s needs and feelings.