Power and Politics

Power and Politics

In today’s business world two things rein king, power and politics. One cannot get ahead without playing a little “hard ball” and using “dirty tactics” to get ahead on the job. Michael Feldstein has learned that sometimes hard work and being a top producer does not allow one to move ahead in the world of business. Michael has a great advantage with the current situation going on within LaFleur. He is sitting at the bargaining table and does not even realize the power he has.

Michael possesses great knowledge of the liquor industry and is a successful producer and promoter for Lafleurs’ rum line; in his case importance is his most powerful dependency within the company. He is excellent at his job and has a rich varied background. Even as a new comer to LaFleur, he started in Campos doing sales, moved to marketing, and shifted to production. He is one of LaFleurs’ well rounded executives; he is a strong producer and constantly turning “profit into boot”.

Also, with his diverse work background, Michaels other dependency is scarcity. While some long term high ranking officers have been on the job for a greater time, Michael has experience in many aspects of the organization, whereas others just have more years on the job. With just his knowledge he has a huge advantage among many other competitors for the newly opened U.S. President of Operations position. He has to learn to play the position and use his power to his advantage.

Michaels’ colleagues demonstrate illegitimate political behavior. In any organization, it is survival of the fittest; everyone has one goal, to make it to the top by any means necessary. Danielle, who previously worked in Paris, has an excellent report and relationship with Pierre Hoffman, LaFleurs’ CEO. Despite her lack of knowledge of rum and Michaels daily responsibilities, in business, “numbers matter but don’t speak, Danielle speaks”. Everyone in Michaels office is looking out for their best interests’ and will play “dirty” to get ahead. Michael has a huge bargaining advantage as far as the position in China goes. With his legitimate political behavior he can go far within the organization.

He should not attempt to fight for the President of U.S. Operations position because he has a great opportunity going to China. It is obvious that he is not even a contender for the position for operations because if he were, the China deal would not even be on the table. While his wife has already sacrificed her career so he could further his, it would be an amazing opportunity for him and his family to move to China. At the same time making the move to China will open doors for his wife as well.

“China is strategic to Lafleur's future -- an important source of new revenue -and Pierre wouldn't be offering him the job if he weren't confident in Michael's abilities and concerned about losing him. That puts Michael in a wonderful bargaining position. He should sit down with the CEO in Paris and reach a written agreement on certain terms before he accepts the job.” (Widmann, Kopelan 2005)

Michael first needs to sit and bargain with Pierre, CEO of LaFleur and come to an agreement on a contract. A 1-2 year contract is good to start off, with the option to China at some point and go elsewhere. “Second, Michael needs to get a clear definition of what will constitute success over the course of the contract, whether it's a certain percentage increase in sales, a measure of brand recognition, or a given market share.” (Widmann, Kopelan 2005) Third, Michael needs to negotiate a certain number of trips per year to both New York and Paris within his contract.