What are Power Structures?

What are Power Structures?

What are Power Structures? Jonathan Poland

Power structures are the systems or frameworks that are used to exert control or influence over a government, organization, or resource. These structures can take various forms, such as hierarchical systems, networks of relationships, or systems of rules and regulations. Power structures often reflect the distribution of power and resources within a given system, and can shape the decision-making processes and outcomes within that system. Understanding and analyzing power structures is important for understanding how power is exercised and how decisions are made within a given system, and can help to inform strategies for influencing or changing those systems. The following are common types of power structure.

Authority
A system of roles whereby individuals hold the authority to direct resources and make decisions.

Governance
Oversight bodies that are accountable for the performance and behavior of an organization.

Management
Individuals who are accountable and responsible for the strategy, decisions and operations of an organization.

Chain of Command
A hierarchy whereby employees carry out orders based on the commands of individuals with authority.

Communications
Communication channels such as meetings and a system of corporate email that is used to direct and control an organization.

Information Technology
Information technologies that are used to implement systems of internal control.

Segregation Of Duties
A system of checks and balances whereby no single person has too much power. For example, a system of multiple validations and approvals for payments to partners.

Principles
Guidelines that are adopted by an organization to direct strategy and decision making.

Processes
Work that follows a predefined series of steps each with predefined procedures. For example, a budget approval process that requires steps of due diligence before a budget can be approved or funds released.

Measurement
Systems of measurement that allow governance bodies and management to monitor an organization.

Standards
Rules, norms and models that are adopted by an organization to guide outputs.

Performance Management
A system of goal setting, monitoring, evaluation and feedback to reward employees who meet expectations and discipline those who don’t.

Audit Trail
Recording data so that strategy, decisions, transactions and events can be reconstructed in future.

Audits
An independent review of an organization.

Learn More
Vertical Integration Jonathan Poland

Vertical Integration

Vertical integration is when a single company owns multiple levels or all of its supply chain.

Cross Merchandising Jonathan Poland

Cross Merchandising

Cross merchandising is a retail strategy that involves placing related or complementary products in close proximity to each other in…

What is a thought experiment? Jonathan Poland

What is a thought experiment?

A thought experiment is a mental exercise that involves exploring the implications or consequences of a hypothetical idea, story, or…

Economic Relations Jonathan Poland

Economic Relations

Economic relations between nations refer to the economic interactions that occur between them. These interactions can include the exchange of…

Reverse Distribution Jonathan Poland

Reverse Distribution

Reserve distribution is the process of distributing a reserve, which is a reserve amount of money or other resources that…

Ecotax Jonathan Poland

Ecotax

An ecotax is a tax levied on activities that have a negative impact on the environment. It is intended to…

Sales Objections Jonathan Poland

Sales Objections

A sales objection is a concern or hesitation that a customer has about making a purchase. Identifying and addressing these…

Key Employees Jonathan Poland

Key Employees

Key employees, or key personnel, are individuals who possess unique skills, knowledge, or connections that make their prolonged absence or…

Professional Skills Jonathan Poland

Professional Skills

Professional skills are a combination of talents, abilities, knowledge, and character traits that are necessary for a person to be…

Latest Thinking

Qualified Small Business Stock (QSBS) Jonathan Poland

Qualified Small Business Stock (QSBS)

Qualified Small Business Stock (QSBS) refers to a special classification of stock in the United States that offers significant tax…

Barrick Gold Jonathan Poland

Barrick Gold

Barrick Gold Corporation (NYSE: GOLD) is a significant player in the global economy, particularly within the gold mining industry. Its…

Newmont Corporation Jonathan Poland

Newmont Corporation

Newmont Corporation (NYSE: NEM), being the world’s largest gold mining corporation, with extensive operations in mining and production of not…

Gold is Money Jonathan Poland

Gold is Money

Overview The history of gold as money spans thousands of years and has played a pivotal role in the economic…

What is Leadership? Jonathan Poland

What is Leadership?

In the modern business world, where rapid changes, technological advancements, and global challenges are the norm, effective leadership is more…

Product Durability Jonathan Poland

Product Durability

A durable product, often referred to as a durable good, is a product that does not quickly wear out or,…

Durable Competitive Advantage Jonathan Poland

Durable Competitive Advantage

The most important aspect of durability is market fit. Unique super simple products or services that does change much if…

Praxeology Jonathan Poland

Praxeology

Praxeology is the study of human action, particularly as it pertains to decision-making and the pursuit of goals. The term…

Business Models Jonathan Poland

Business Models

Business models define how a company creates, delivers, and captures value. There are numerous business models, each tailored to specific…