Q3 should be about “power, influence and employee relations” from session 9 and Chapter 15 of
the e-text. What are the bases of power and influence, formal and alternative, among the
various players in this case? Is Keller guilty of “organizational politics”, i.e. self-serving influence
tactics, in this conflict with Petrou? Does the company have an e,ective employee relations (ER)
system in place to resolve conflicts like this? How can Keller achieve this without abusing his
power/influence and increasing organizational politics?
The overarching problems that come to the forefront at Konigsbrau-Hellas A.E. stem
from the issues typical of young managers. Such problems can be categorized into three primary
areas: (a) formal authority and power (b) organizational politics and (c) performance
management. Wolfgang Keller is a young leader, as is evidenced by his leadership style and his
age. As such, earning the respect of his subordinates as well as his superiors posed some
challenges. Slight imbalances in a workplace can result in turbulence and politics within the
organization. Throughout the case, it becomes apparent that Wolfgang Keller, Managing
Director, and Dimitri Petrou, Commercial Department Director, have conflicting styles. This leads
to organizational politics, trust issues, and resistance from team members. Delicate employee
relations are compromised and based on the information presented in the case: there is no
evidence of any formal employee relations system at this company, let alone an e,ective one.
Wolfgang Keller has a propensity to enjoy making key decisions, achieving results,
overcoming obstacles and promoting innovation. Conversely, he does not enjoy spending time
recognizing his teams’ contributions, being empathetic or focusing on the emotional needs of his
team, providing clear direction, or dealing with team members who do not meet his standards.
Keller abuses his formal authority– the ability to influence specified others’ behavior in
accordance with formal organizational role relationships. He doesn’t realize that there are