Reward Power

Definition

Reward power is a form of influence that leaders exert by providing benefits or rewards to their followers for desired behaviors or achievements. This power stems from the leader's ability to offer tangible incentives, such as promotions, bonuses, recognition, or opportunities, which can motivate followers to perform at their best. It's closely tied to the leader-follower relationship, as it fosters cooperation and encourages commitment when followers feel valued and appreciated for their contributions.

5 Must Know Facts For Your Next Test

1. Reward power is most effective when the rewards offered are perceived as valuable and meaningful to the followers.
2. This form of power can enhance the leader-follower relationship by creating a sense of trust and respect between them.
3. While reward power can motivate followers in the short term, it may not be sufficient for long-term engagement without additional forms of influence.
4. Leaders who consistently use reward power can create a positive organizational culture, where individuals feel recognized for their efforts.
5. Over-reliance on reward power may lead to entitlement among followers if they expect rewards for every action without intrinsic motivation.

Review Questions

• How does reward power impact the motivation levels of followers in a leadership context?
  • Reward power significantly boosts motivation levels among followers as it creates a direct link between performance and positive outcomes. When leaders effectively use rewards to recognize achievements, followers are more likely to engage with their tasks and strive for excellence. This motivational boost stems from the understanding that their efforts will be acknowledged and rewarded, fostering a productive work environment.
• Evaluate the effectiveness of reward power compared to other forms of power in maintaining a strong leader-follower relationship.
  • Reward power can be very effective in maintaining a strong leader-follower relationship, especially when used alongside other forms like referent and legitimate power. While reward power motivates through tangible incentives, referent power builds emotional connections based on admiration and respect. When leaders balance these powers, they create an environment where followers feel both appreciated for their contributions and inspired to follow the leader’s vision.
• Synthesize how the use of reward power might evolve in organizations that prioritize employee well-being and development over traditional performance metrics.
  • In organizations focused on employee well-being and development, the application of reward power is likely to shift from purely performance-based incentives to more holistic approaches that consider personal growth and job satisfaction. Leaders may begin to offer rewards that emphasize learning opportunities, work-life balance, and overall well-being rather than just financial bonuses. This evolution in using reward power will not only enhance individual motivation but also foster a healthier organizational culture that values long-term engagement over short-term results.

Related terms

Coercive Power: A form of influence where a leader uses threats or punishment to motivate compliance or desired behaviors.

Referent Power: A type of power derived from the personal charisma or likability of a leader, which inspires loyalty and admiration from followers.

Legitimate Power: The authority that a leader holds by virtue of their position or role within an organization, often recognized and accepted by followers.