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!"#$ !
§ characterized by subtle or unscrupulous cunning,
deception, expediency, or dishonesty in order to get ahead.

§ being or acting in accordance with the principles of


government analyzed in Machiavelli's The Prince, in which
political expediency is placed above morality and the use of
craft and deceit to maintain the authority and carry out the
policies of a ruler is described.

§ Machiavellianism is a Personality trait of a Person. It is


related with the concept of acquiring and using Power to
manipulate others.
!"#$ !" " 
§ can be used in both the directions of positive and
negative.

§ positive direction to get the work done by the


subordinates and to contribute to the managerial
effectiveness is a beneficial concept to both the
managers and the organization.

§ Negative direction when things go out of hand and


managers show traits of a tyrant. Only dishonest
means of getting work done are used.
""  !"#$ 
§ in italian philosopher born on 3rd may, 1469.
§ one of the main founders of modern political
science.
§ Machiavelli is most famous for a short political
treatise, —  
  
§ generations of politicians remain attracted and
repelled by the cynical approach to power
posited in —  and his other works.
Whatever his personal intentions, which are still
debated today, his surname yielded the modern
political word MachiavellianȄthe use of
cunning and deceitful stratagem in politics.
#  %"
§ Originally published 1503
§ Describes the method by which a
prince (a ruler) can maintain
control of his realm.
§ Most famous principles
§ the end justifies the means
§ unethical behavior is acceptable,
maybe even necessary, if it helps
maintain or protect political power
§ Some argue that this is not exactly
what Machiavelli meant.
&% %" 
!'
§ Those scoring high in Machiavellianism:
§ Tend to be cynical about othersǯ motives
§ More likely to behave unsympathetically
§ Less willing to change their convictions under social
pressure
§ More likely to tolerate behavior that violates social
norms
§ More inclined to advocate the use of deception
interpersonally
"''
!'
1. i relative lack of affect in interpersonal
relationships (lack of empathy for others).

2. i lack of concern with conventional morality


(utilitarian rather than moral view) supports
remorseless and instrumentalist view of others.
"''
!'
3. i lack of gross psychopathology (instrumentalist
rather than rational view of others) unhindered by
distortions of reality, able to take a calculated
analytical view of others and situations.

4. Low ideological commitment (focus on task


completion rather than long-range ideological
goals) focus on personal goals instead of caused
larger then themselves.
(!'
)'
§ If political behavior is perceived to benefit the individual,
group, or organization then it is believed that the Dzend
justifies the meansdz.

§ Confidence and security, which may result from those who


consider themselves politically skilled and subsequently
actively involved in the organization, leads to lower job
tension and higher job satisfaction.

§ Significant relationship found between MiCH IV scores


and absenteeism. High Mach employees may provide false
excuses for absenteeism more often than Low Mach
employees.
!'$'
§ The best way to handle people is to tell them what they want to hear.

§ When you ask someone to do something for you it is best to give the real reasons for
wanting it, rather than reasons that carry more weight.

§ inyone who completely trusts anyone else is asking for trouble.

§ It is hard to get ahead without cutting corners here and there.

§ Honesty is always the best policy.

§ It is safest to assume that all people have a vicious streak that will come out when given
the chance.

§ Never tell anyone the real reason you did something unless it is to your benefit to do so.

§ Only take action when you feel it is morally right.

§ It is wise to flatter important people.

§ Overall, it is better to be humble and honest than important and dishonest.


!'$'
§ arnum was wrong when he said there was a sucker born every minute.

§ People suffering incurable diseases should have the option of being put to death
painlessly.

§ It is possible to be good in all respects.

§ Most people are basically good and kind.

§ There is no excuse for lying to someone else.

§ Most people forget more easily the death of their father than the loss of their property.

§ Most people who succeed in life lead clean moral lives.

§ Generally speaking people won't work hard unless they're forced to do so.

§ The biggest difference between criminals and other people is that criminals are stupid
enough to get caught.

§ Most people are brave.


"'' ( '
§ esistant to social influence § Sensitive to information
§ Hides personal convictions about others
well § Exploitive, but not viciously
§ Changes position in so
argument readily § Exploits more if others cant
§ esistant to confessing retaliate
§ Highly convincing when § Not acceptable to appeals for
telling the truth compliance, cooperation, or
§ Suspicious of others motives attitude change
§ Situationally analytical § Never obviously manipulative
§ Does not assume reciprocity § Prefers fluid environment
§ ible to change strategy with § Preferred by peers as leader
situation § Preferred by peers as work
§ Says things others want to partner
hear
"''*!'
§ Vulnerable to othersǯ § elieves others Dzought todz
opinion act in certain ways
§ Wears conviction on sleeve § ecomes locked into single
§ Clings to convictions course of action
§ Confesses fairly readily § Tells it like it is
§ Less convincing when § Sensitive to othersǯ effort
telling the truth § May appear unreasonable
§ iccepts othersǯ motives as in negotiations
face value § eluctant to exploit
§ Makes gross assumptions § eacts in socially desirable
about content ways
§ issumes reciprocity § Often obviously
determined
§ Seek stable environment
w*!"#$+
§ espondents answer in socially desirable manner.
§ Some studies have found poor reliability and validity with the
general population (ay, 1983).
§ Studies have found MiCH IV to measure a single dimension
while others have found the MiCH IV to measure up to 5
dimensions (Moss, 2005).
§ Norm data is outdated (from 1960ǯs).
§ So, how many constructs measured and does this matter?
§ Panitz (1989) states, "The issue is not whether Machiavellianism is a
single or multidimensional construct, but whether the construct is
measurable using the Mach IV scale" (p. 963).
'
§ MiCH V:
§ Forced-choice format
§ Not as reliable or valid as MiCH IV

§ MiCH  (Machiavellian ehavior):


§ ehaviorally examines interpersonal situations rather
than measuring cognitive constructs
§ Studies have obtained reliability coefficients ranging
from .70 to .88.
§ More suitable for measuring political traits
!((
!(!'!(
§ Many CIOs think of corporate politics as an unnecessary
evil. This can be a costly career mistake, according to the
creators of a two-day workshop called "The Politics of IT
Project Management." The workshop aims to teach IT
leaders how to be politically savvy as they build
relationships.

§ Kevin Copeland, manager of business relationships and


Enterprise Technology Services project office at National
Life Insurance in Montpelier, says the workshop changed
his strategic approach to his job. "I have tended to look at
politics in a negative way," he says. "The agenda made it
obvious that there are ways to use politics to get a desired
outcome and to keep unity on [IT project] teams."
D The workshop includes a quiz, where students test their political
proficiency. i sampling of the quiz questions follows:

§ If Iǯm fair and honest, others will treat me the same way.
§ I have too much work to do, so I donǯt have time for politics.
§ Itǯs acceptable to argue with a client (or user) to make a point.
§ In the past, IT hasnǯt delivered everything weǯve promised, but that
shouldnǯt have any effect on my current project.
§ I never listen to or engage in gossip.

1 2 3 4 5 Õ 
§ The higher your score, the higher your degree of political savviness.
§ 5-12 points: Youǯre a political hibernator, someone who dislikes and
avoids political involvement.
§ 13-22 points: Youǯre a political survivor, someone who recognizes
politics is necessary, has a loosely formed network of contacts and is
occasionally proactive.
§ 22-25 points: Youǯre a political savant? confident, effective, someone
who understands and excels in the political environment and stays
well-connected at all levels of an organization.
!''

§ i ma avan leader is one who uses wrong means
of getting work done. He would go to any extent to
keep control of his power. He wants people to fear him.

§ i nn ma avan leader is one who cares about


what people think of him rather than them fearing
him. He wants to be in the good books of people.
!',
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§ important role in achieving enterprise objectives.

§ Successful management can be fulfilled only when the


managers possess the required personality attributes.

§ imong many such attributes, Machiavellianism plays a


predominant role as a leadership attribute.
!',
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§ Machiavellianism is required for the manipulation of
things and people, to a certain extent in the present
management scene.

§ if used in the positive direction, results in the


organizational effectiveness.

§ Organizational success depends on the managerial


skills. When people are reluctant to work,
Machiavellianism as a Managerial attribute ensures the
completion of work.
!'-' -
'
§ Machiavelli designed his advice for rulers to secure the survival
and success of the state for future generations. It would seem to
follow logically that Machiavelliǯs advice for the long-term
existence of an autonomous state would be relevant to a
corporation with perpetual duration.
D CiSE STUDY -
ENON SCiNDiL

WOLDCOM SCiNDiL

@       


 
        
           
  
#  % "`
§ Enron, for example, used off-balance sheet subsidiaries and
partnerships to manipulate its financial statements by hiding
certain losses and debts, and by inflating the values of certain
troubled businesses.

§ Machiavelli believed that a free society should renew and


reinvigorate itself at least every 10 years, because a decade
suffices for leaders and the populace to stray from those
principles that originally contributed to the success of the
enterprise.

§ Enron was only 16 years old when it filed for bankruptcy, which
provided more than ample time for a culture of corruption to
form.
#  % "`
§ While traders who encouraged corrupt and possibly illegal
practices were spared from punishment, numerous
employees who complained about the companyǯs
questionable financial practices were fired, reassigned, or
removed from consideration for promotional
opportunities.

§ Enronǯs officers have been heavily criticized for not


effectively managing the company, and the corporate
culture that awarded bonuses based on profits both
encouraged traders to inflate profits and promoted creative
ways to continue the upward rise of Enronǯs stock price.
# ) %`" !"`
§ WorldCom inflated its earnings by improperly
releasing certain reserves held against operating
expenses and re characterizing certain expenses as
capital assets, thereby reducing its operating expenses.

§ it the same time, WorldCom allowed chief executive


officer ernie Ebbers to borrow more than $1 billion in
personal and business loans, much of which was
secured by WorldCom stock.
# ) %`" !"`
§ The ankruptcy Court examiner, former ittorney
General Dick Thornburgh, concluded that concerns
about the companyǯs practices extended to Dzpersons
within the Company, the oard of Directors and the
independent auditors of WorldCom.dz

§ Mr. Thornburgh also accused WorldCom personnel of


responding to changing business conditions and
earnings pressures by Dztaking extraordinary and illegal
steps to mask the discrepancy between the financial
reality at the Company and Wall Streetǯs expectations.dz
"' 
)''
§ The Enron and WorldCom scandals demonstrate the continued
vitality of Machiavelliǯs teachings about corruption.

§ most Machiavellian manual writers focus less on this aspect of


Machiavelliǯs teachings in favor of a more Dzpopulardz
understanding of Machiavelli.

§ The crisis in corporate leadership arising out of the spate of


world wide scandals involving mismanagement and corruption
involving corporate executives suggest that executives are less in
need of the kind of advice offered by these manuals and more in
need of Machiavelliǯs teachings on corruption and longevity.
!'
D The self-proclaimed purpose of each of the manuals is as follows:

§  :— 
To repackage the wisdom of Machiavelli in a form that would make it relevant and
understandable to a modern business leader.dz
§  : ! ! !  
To demonstrate that DzMachiavelliǯs basic advice is ... germane to the problems of
managing any organizationdz
§ j: — ! 
DzLearn from his most famous book ... the qualities of leadership.dz
§ ay: ! !  
To demonstrate that DzMachiavelli ... is bursting with urgent advice and acute
observations for top management of the great private and public corporations...dzand
Dzmanagement can only be properly studied as a branch of government.dz
§ ën: !  ! "  
Dzto present the basic principles of the proper and successful use of power in language
that contemporary leaders can understand, the better to advance the common good.dz
§ ! 
n: — #!  
to Dztake the lessons Machiavelli preached ... and apply them to the activity of conducting
business ... help the reader find a safe pathway through the complicated world of
businessdz Dzthose who are ... prepared to take the risks necessary to succeed.dz

§ The nature of humans and the world.

§ War as a metaphor for business.

§ The Interchangeability of Political and Economic


ealms.
!'
§ The majority of the authors examined in this essay offer their
advice to CEOs not for the personal aggrandizement of these
managers, but to enable them to build successful corporations or
enterprises.
§ For this reason, the manuals universally condemn executives
who misuse their offices for personal gain.
§ ecent examples of such executives would be ǮJohn igasǯ and
ǮDennis Kozlowskiǯ.
§ Instead, the writers see Machiavelliǯs advice useful because it will
equip CEOs with the skills to build successful, growing,
sustainable corporations, just as Machiavelli reserved his highest
praise for princes who used the techniques of power to build
long lasting, successful states and created the conditions for a
republican form of government.
!'
§ ilistair Mcilpine is most emphatic on this point:
So it was that the able lieutenant lost, the obliging employee lost and
the amiable employer lost Ȅ the reason for failure lying in the fact that
each of them pursued their self-interest, rather than devoting
themselves to the improvement of the business where they were
employed. The pursuit of your own interests to the detriment of your
responsibilities is just another example of greed.

§ ichard Hill analogizes the CEO to the prince:


it times a ruler acting in the best interests of the state might need to
violate commonly accepted canons of behavior for individuals. In the
same way, managers must at times act in ways that would not be
condoned on the part of employees. i]successful leader must possess
expert knowledge in the area that is most important for the success of
his or her organization.
w( .
§ todayǯs society the type of government changes whether a
leader would rather be feared than loved. The president of
India needs to be loved rather than feared because in a
democracy the people decide how long you can be leader.
but in communist China or ussia being feared is more
helpful because your citizens are less likely to rebel and
revolt against you.
If you are going to choose to be feared than it is crucial that
the citizens of your country do not hate you for as
Machiavelli states on hatred leads to people scheming and
ultimately executing an assassination.
w(


§ The second important quality for a leader is the
support of the people.
without the people behind you no course of action is
possible, without auxiliary units, holding your position
as leader is not possible, and organization expansion is
also not possible without help from the people.
If the people do not believe in the cause you are
fighting for they will not join you.
If you are not satisfying your peopleǯs basic needs they
will rebel and and withstand authority.
w( /
§ The third important trait to have or pretend to have is
virtues because with virtues it is easier to gain the
peoples support.
Having good virtues can in some instances limit your
ability to rule, so a more viable option is to show good
virtues in public, but do what has to be done to
succeed in the privacy of your organization.
w( 0
o The fifth and possibly the most important of the traits
of a Machiavellian leader is intelligence.
Without intelligence a manager could not gain the
support of his people, be able to find the perfect
balance of fear or love, or know to use authority as an
effective tool.
Intelligence allows a manager to manage his company
with confidence and pride because he knows that the
decisions are his.
(
1) The modern man who I believe falls under the
category of all five of these traits is onald eagan
because he was loved by the imerican people, he
had the peoples support, he showed his virtues, he
used his own arms, and above all he was intelligent.
onald eagan was not evil as the name
Machiavellian suggests, but a good kind hearted man
who led imerica out of some of our toughest times.
(
2) i good example of a modern day Machiavellian
prince is President George W. ush. He has quite a few
of the characteristics this "prince" requires, such as
being deceitful, adamant, and religious. In order to
remain in power, a leader should be deceitful but
considered to be trustworthy.
(
i history of Saddam Hussein's rise to power in Iraq. His techniques of
consolidating and using power are reflected in "The Prince," the classic book
3) by Niccolo Machiavelli on hopw to gain and preserve political power.
He is the most recognized, and the most vicious, leader of Iraq that ever
existed. He did anything possible to ensure his title as ruler, and
consequently followed many of the principals that Niccolo Machiavelli set
up in his book, The Prince, which was intended as a manual for weak rulers
to gain and preserve political power.
" "& 
§ The hard road to the top is often the best. Machiavelli
believed that leaders who inherit their success are
often more likely to fail than self-made people who are
forced to learn important life lessons during their own
climbs.
ü&  +

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