Understanding Authority and Power in Organisations

Abstract

"Authority” and "Power” are terms that are often used interchangeably and are often confused. Authority is the organizational right to do something based upon the position one holds.

Contrasted with Authority, power is the ability to get others do as one wishes. In organizations, this ability is the influence one person has upon  others. A person may sometimes have more Authority than power, with the result that he or she is unable to effectively supervise others. In other cases, the power a person holds may exceed formal authority. When either situation occurs, the person's organizational position does not fully reveal the person's ability to get things done by the organisation or rather to do the things necessary to accomplish their part of the organisation's objectives.

This paper, therefore, examines the nature of authority and power in organizations, their sources/theories behind them, the imbalance between power and authority, the consequences of such imbalance, and offers suggestions to those who manage people.