I agree that your job may be more difficult, but it is not impossible. Here is my simple definition of leadership: Leadership is not about the ability of those around you to lead; it’s about your ability to lead despite that which is happening around you. Effective leaders rise to the occasion. By the way, when I talk about leaders, I am not just referring to people who have others reporting to them. Of course, a person (such as a manager) who has others reporting to him or her on a “solid line,” or a project manager or team leader, to whom others report on a “dotted line,” are clearly in leadership positions. However, you can be a leader without anyone reporting to you if your job requires decision-making, negotiating, influencing others, being creative, and making things happen—to name a few.
Is it good to challenge the authority of higher management?
Maybe.
Yes, if you are constructively and professionally questioning a decision or directive made by a higher-up that does not seem to be in the best business interest of the project, client, or company. Make sure your argument is fact-based and delivered in a respectful manner, offers specific alternatives, and leaves the impression that you want what’s best for the business.
Yes, if the decision or directive appears to be unlawful or unethical.
No, if senior management has concluded the discussion is over and it is time to implement the decision. Your opinion may differ from a higher-up’s, but that doesn’t necessarily mean that you are right or your superior is wrong.
As a project manager, how much authority do I really have?
A lot! It’s your project. Its success or failure has a lot to do with your leadership. When there is a problem on the project, it is your problem. You may not have to be the one to solve it, but you are the person charged with making sure that it gets solved. You will be held accountable for the successful outcome of the project. Your job includes making your boss and the project sponsor look good. You have wide latitude, but not absolute authority. If you need to assume authority yet doubt that it is yours to claim, ask the project sponsor or your boss for guidance. I suggest you err on the side of assuming too much authority rather than too little.