Textbook and Class Notes
Textbook and Class Notes MGT 304
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One Day of Notes
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Date Created: 03/02/15
Chapter 3 Attitudes and Job Satisfaction 0 Attitudes are evaluative statements or judgments concerning objects people or events 0 O 0 Cognitive component is the opinion or belief statement of an attitude Affective component is the emotional feeling segment of an attitude Behavioral component is an intention to behave a certain way towards someone or something 0 Cognitive dissonance is any incompatibility between two or more attitudes or between behavior and attitudes O Inconsistency is uncomfortable aim to reduce 0 Maj or job attitudes O O 0 Job satisfaction is a positive feeling about one s job resulting from an evaluation of its characteristics I People are more satisfied with their work and coworkers than their Pay I People with positive core selfevaluation capabilities competence and worth are more satisfied with their jobs Job involvement is the degree to which a person identifies with a job actively participates in it and considers performance important to self worth Psychological empowerment is employees belief in the degree to which they affect their work environment their competence meaningfulness of their job and perceived autonomy in their work Organizational commitment is the degree to which an employee identifies with a particular organization and its goals and wishes to maintain membership in the organization Perceived organizational support is the degree to which employees believe and organization values their contribution and cares about their well being Employee engagement is an individual s involvement with satisfaction with and enthusiasm for the work he or she does 0 Consequences of dissatisfaction in the workplace 0 O O 0 Exit is leaving the organization Voice is attempting to improve conditions Loyalty is passively waiting for conditions to improve Neglect is allowing conditions to worsen Chapter 4 Emotions and Moods I Affect is a broad range of feelings that people experience I Emotions are intense feelings directed at someone or something 0 Caused by a specific event 0 More eeting than moods only last for seconds rather than hours 0 Can turn into moods when you lose focus on the event or object that started the feeling 0 Revealed through facial expressions I Moods are less intense feelings than emotions that often have a general and unclear cause 0 Good or bad moods can make you more emotional in response to an event I In different cultures emotions are not experienced and shown in the same way I The basic way to classify moods is positive and negative 0 Positive affect is a mood dimension that consists of specific positive emotions I Excitement selfassurance cheerfulness etc 0 Negative effect is a mood dimension that consists of specific positive emotions I Nervousness stress anxiety etc I People think about negative emotions five times as long as positive emotions I The positivity offset is the tendency of most individuals to experience a mostly positive mood at zero input when nothing particular is going on I Our moral judgments have more to do with emotions than with cognitions I Most people have built in tendencies to experience certain moods and emotions more frequently than others do 0 Affect intensity are the individual differences in the strength with which individuals experience their emotions I Illusory correlation is the tendency of people to associate two events when in reality there is no connection I Emotional labor is a situation in which an employee expresses organizationally desired emotions during interpersonal transactions at work 0 Causes emotional dissonance which is inconsistencies between the emotions people feel and project I These bottled up feelings can eventually lead to emotional exhaustion and burnout I Felt emotions are an individual s actual emotions I Displayed emotions are emotions that are organizationally required and considered appropriate in a given job I Surface acting is hiding ones inner feelings and forgoing emotional expressions in response to display rules I Deep acting is trying to modify one s true inner feelings based on display rules The affective events theory is a model that suggests that workplace events cause emotional reactions on the part of employees which then in uence workplace attitudes and behavior 0 Emotions provide valuable insights into how workplace hassles and uplifting events in uence employee performance and satisfaction 0 Employees and managers shouldn t ignore emotions or the events that cause them even when they appear minor Emotional intelligence is a person s ability to detect and manage emotional cues and information and act accordingly 0 Neurologically based 0 Cannot be measured Emotional regulation is identifying and modifying the emotions you feel Positive moods help decision making skills and increase creativity motivation 0 Leadership can be positively in uenced by using emotion to help convey messages 0 Anger should be used selectively in negotiation Emotional cognition is the process by which peoples emotions are caused by the emotions of others 0 When someone experiences positive emotions you tend to respond positively Chapter 8 Motivation From Concepts to Applications 0 Job design is the way that elements in a job are organized 0 Can increase or decrease effort 0 Job characteristics model proposes that any job can be described in terms of five course dimensions 0 Skill variety is the degree to which job requires a variety of different activities 0 Task identity is the degree to which a job requires completion of a whole and identifiable piece of work 0 Task significance is the degree to which a job has a substantial impact on the lives of work of other people 0 Autonomy is the degree to which a job provides substantial freedom and discretion to the individual in scheduling the work and in determining the procedures to be used in carrying it out 0 Feedback is the degree to which carrying out the work activities required by a job results in the individual obtaining direct and clear information about the effectiveness of his performance 0 The core dimensions can be combined into a single predictive index 0 Motivating potential score suggests the motivating potential in a job I If high motivation performance and satisfaction will improve an absence and turnover will be reduced 0 Job rotation is the shifting of an employee from one task to another 0 Reduces boredom and increases motivation O Helps employees to better understand how their work contributes to the organization 0 Job enrichment expands jobs by increasing the degree to which the worker controls the planning execution and evaluation of the work 0 Enriched job allows worker to do complete activity and increases responsibility 0 Another approach to motivation is to alter work arrangements with extime job sharing or telecommuting 0 Flextime is exible work hours 0 Job sharing allows two or more individuals to share a traditional 40 hour a week job 0 Telecommuting is working from home at least two days a week on a computer that is linked to the office 0 Employee involvement is a participative process that uses the input of employees and is intended to increase employee commitment to the success of the organization 0 Participation management is when subordinates share a significant degree of decisionmaking power with their immediate superiors 0 Representative participation is when workers participate in organizational decision making through a small group of representative employees I Work councils and board representatives Best pay system pays what the job is worth while also paying competitively relative to the labor market 0 0 Internal equity is the worth of the job to the organization External equity is the external competiveness of an organization s pay relative to pay elsewhere in the industry Variablepay program bases a portion of an employee s pay on some individual and organizational measure of performance so the earnings uctuate up and down 0 O Pricerate pay is when workers are paid a fixed sum for each unit of production completed Meritbased pay is based on performance appraisal ratings I People thought to be high performers can get bigger raises Bonuses reward employees for recent performance rather than historical performance Skillbased pay sets pay levels on the basis of how many skills employees have or how many jobs they can do Profit sharing plan distributes compensation based on some established formula designed around a company s profitability Gainsharing is a formulabased group incentive plan that uses improvements in group productivity from one period to another to determine the total amount of money allocated I Rewards are tied to productivity rather than profits Employee stock ownership plan is a companyestablished benefits plan in which employees acquire stock often at belowmarket prices as part of their benefits Flexible benefits is a plan that allows each employee to put together a benefits package individually tailored to his or her own needs and solution 0 0 Modular plans are predesigned and each meets the needs of a specific group Coreplus plans consist of essential benefits and a menulike selection from which employees can chose from Flexible spending plans allow employees to set up pretax dollars to pay for a particular benefit Chapter 9 The FiveStage Model are the five distinct stages groups go through forming storming norming performing and adjournng Forming stage the first stage in group development characterized by much uncertainty about the group s purpose structure and leadership Members test the waters to determine what types of behaviors are acceptable Storming stagethe second stage in group development characterized by intragroup con ict Members accept the existence of the group but resist the constraints it imposes on individuality Norming stage third stage Characterized by close relationships and cohesiveness It is complete when the group structure solidifies and the group has assimilated a common set of expectations of what defines correct member behavior Performing stage fourth stage During which the group is fully functional and accepted Group energy has moved from getting to know and understand each other to performing the task at hand Adjourning stage the final stage in group development for temporary groups Characterized by concern with wrapping up activities rather than task performance An Alternative Model for Temporary groups with Deadlines Own unique sequencing of actions 1 The first meeting sets the group s direction 2 The first phase of group activity is one of inertia 3 A transition takes place exactly when the group has used up half its allotted time 4 This transition initiates major changes 5 A second phase of inertia follows the transition 6 The groups last meeting is characterized by markedly accelerated activity Punctuatedequilibrium model a set of phases that temporary groups go through that involves transitions between inertia and activity Group Properties Roles Norms Status Size Cohesiveness and Diversity Group Property 1 Roles Role a set of expected behavior patterns attributed to someone occupying a given position in a social unit Role perception an individuals View of how he or she is supposed to act in a given situation Role expectations how others believe a person should act in a given situation Psychological contract an unwritten agreement that sets out what management expects from an employee and vice versa Role con ict a situation in which an individual is confronted by divergent role expectations Zimbardo s Prison Experiment Illuminating role and identity experiment done a number of years ago by Stanford University psychologist Philip Zimbardo and associates they created a prison in the basement of the Stanford psychology building and hired a 15 dollar a day two dozen emotionally stable physically healthy law abiding students who scored normal average on extensive personality tests randomly assigned them the role of either guard or prisoner and established some basic rules The experiment proved too successful in demonstrating how quickly individuals learn new roles The researches had to end it after only six days because of the participant s pathological reactions Participants had learned stereotyped conceptions of guard and prisoner roles from the mass media and their own personal experiences in power and powerlessness relationships gained at home school and in other situation This background allowed them easily and rapidly to assume roles diff from their inherent personalities and with no prior personality pathology or training in the parts they were playing Execute extreme forms of behavior consistent with the roles Group Property 2 Norms Norms acceptable standards of behavior within a group that are shared by the groups members The Hawhthome Studies researchers began by examining the relationship between the physical environment and productivity as they increased the light level for the experimental group of workers output rose for that unit and the control group But to their surprise as they dropped the light level in the experimental group productivity continued to increase in both groups In fact productivity in the experimental group decreased only when the light intensity had been reduced to that of moonlight Follow up send experiment where women assembled telephone relays were isolated from the main work group so their behavior could be more observed groups performance was significantly in uenced by its status as special Third study in bank wiring observation room find the effect of a sophisticated wage intensive plan employees did not individually maximize their output Rather their output became controlled by a group norm that determined a proper day s work Conformity the adjustment of one s behavior to align with the norms of the group Reference groups important groups to which individuals belong or hope to belong and with those whose norms individuals are likely to conform Deviant workplace behavior voluntary behavior that violates significant organizational norm and in so doing threatens the wellbeing of the organization or its members Also called antisocial behavior or workplace incivility Group Property 3 Status Status a socially defined position or rank given to groups or group members by others What Determines Status Status characteristic theory a theory that states that differences in status characteristics create status hierarchies within groups Status tends to derive from one of three sources 1 The power a person wields over others because they likely control the group s resources people who control the outcomes tend to be perceived as high status 2 a person s ability to contribute to a group s goals People whose contributions are critical to the group s success tend to have high status 3 An individual s personal characteristics someone whose personal characteristics are positively valued by the group good looks intelligence money or a friendly personality Status and Norms high status individuals are often given more freedom to deviate from norms than other group members Research indicates that bringing highstatus members into a group may improve performance but only up to a point perhaps because they may introduce counterproductive norms Status and Group Interaction highstatus people pretend to be more assertive group members They speak more often criticize more state more commands and interrupt others more often but status differences actually inhibit diversity of ideas and creativity in groups because lowerstatus members tend to participate less actively in group discussions When they possess expertise and insights that could aid the group failure to fully utilize them reduces the group s overall performance Status Inequity perceived inequity creates disequilibrium which inspires various types of corrective behavior Hierarchical groups can lead to resentment among those at the lower end Big differences in status in groups are associated also with poorer individual performance lower health and higher intentions to leave the group Status and Stigmatization Studies have shown that people who are stigmatized against can infect others with their stigma This stigma by association effect can result in negative opinion sand evaluations of the person affiliated with the stigmatized individual Even if the association is brief and purely coincidental Group Property 4 Size Social loa ng the tendency for individuals to expend less effort when working collectively than when working individually Ways to prevent social loafing 1 Set group goals so the group has a common purpose to strive forward 2 Increase intergroup competition Which focuses on the shared outcome 3 Engage in peer evaluation so each person evaluates each other person s contribution 4 Select members who have high motivation and prefer to work in groups 5 If possible base group rewards in part on each member s unique contributions Group Property 5 Cohesiveness Cohesiveness the degree to which group members are attracted to each other and are motivated to stay in the group What can you do to encourage group cohesiveness 1 Make the group smaller 2 Encourage agreement with group goals 3 Increase the time members spend together 4 Increase the group s status and the perceived difficulty of attaining membership 5 Stimulate competition with other groups 6 Give rewards to the group rather than to individual members 7 Physically isolate the group Group Property 6 Diversity Diversity the extent to which members of a group are similar to or different from one another Faultiness the perceived divisions that split groups into two or more subgroups based on individual differences such as sex race age work experience and education Group Decision Making Group Versus the Individual Strengths of Group Decision Making Groups generate more complete info and knowledge The group offers increased diversity of Views Groups lead to an increased acceptance of a solution Weakness of Group Decision Making There are conformity pressures The desire by group members to be accepted and considered an asset to the group can squash any overt disagreement Group decisions are time consuming to reach a solution Discussion can be dominated by one or a few members Group decisions suffer from ambiguous responsibility Effectiveness and Efficiency Group decisions are generally more accurate than the decisions of the average individual in a group but less accurate than the judgments of the average individual In terms of speed individuals are superior If creativity is important groups tend to be more effective If effectiveness means the degree of acceptance the final solution achieves the nod again goes to the group Group decisionmaking is more time consuming Exceptions tend to be the instances in which to achieve comparable quantities of diverse input the single decision maker must spend a great deal of time reviewing files and talking to other people Groupthink and Groupshift Groupthink a phenomenon in which the norm of consensus overrides the realistic appraisal of alternative courses of action Groupshift a change between a group s decision and an individual conservatism or greater risk but it generally is toward a more extreme version of the group s original position Group DecisionMaking Techniques Interacting groups typical groups in which members interact with each other face to face Brainstorming an ideageneration process that specifically encourages any and all alternative while withholding any criticism of those alternatives Nominal group techniques a group decisionmaking method in which individual members meet face to face to pool their judgments in a systematic but independent fashion Restricts discussion or interpersonal communication during the decision making process hence the term nominal Chapter 1 What is Organizational Behavior 0 Managers achieve goals through other people 0 Work in an organization which is a group of people that functions to achieve a common set of goals 0 Henri Fayoli believes that all managers preform five management functions 0 Planning I Defining goals establishing strategy plan activities 0 Organizing I Design structure 0 Controlling I Monitor performance and compare with set goals 0 Commanding 0 Henry Mintzberg concluded that managers perform ten different roles O Interpersonal I Figurehead leader liaison O Informational I Monitor disseminator spokesperson O Decisional I Entrepreneur disturbance handler resource allocator negotiator 0 There are a number of skills that differentiate effective from ineffective managers 0 Technical skills are the ability to apply specialized knowledge or expertise 0 Human skills are the ability to work with understand and motivate other people both individually and in groups 0 Conceptual skills are the mental ability to analyze and diagnose complex situations 0 Organizational behavior investigates the impact that individuals groups and structure have on behavior within organizations for the purpose of applying such knowledge toward improving an organization s effectiveness 0 What people do in organizations and how their behavior affects the organizations performance 0 Systematic study of behavior looks at relationships attempting to attribute causes and effects and drawling conclusions based on scientific evidence 0 Data is gathered under controlled conditions and interpreted in a rigorous manner 0 Evidence based management is when managerial decisions are based on the best available scientific evidence 0 Intuition is a gut feeling not necessarily supported by research 0 Disciplines that contribute to the organizational behavior field 0 Psychology I The science that seeks to measure explain and sometimes change the behavior of humans and other animals I Social psychology also blends the concepts of psychology and sociology to focus on the in uence that people have on one another 0 Sociology I Studies people in relation to their social environment or culture 0 Anthropology I The study of societies to learn about human beings and their activities There are few absolutes in organizational behavior and because few humans are completely alike so predictions of human behavior only apply under conditions specified in the contingency variables Challenges and opportunities for organizational behavior include responding to economic pressure globalization managing workplace diversity improving customer service and people skills working in networked organizations enhancing employee wellbeing at work creating a positive work environment and improving ethical behavior Developing an organizational behavior model 0 A model is a simplified representation of some real world phenomenon that proposed three types of variables inputs processes and outcomes I Inputs are variables like personality group structure and organizational culture that lead to processes I Processes are the actions that individuals groups and organizations engage in a result of inputs and that lead to certain outcomes I Outcomes are the key factors that are affected by some other variables I Attitudes satisfaction task performance citizenship behavior withdraw behavior group cohesion and functioning productivity and survival Chapter 7 Motivation Concepts 0 Motivation is the processes that account for an individual s intensity direction and persistence of effort towards attaining a goal 0 Intensity is how hard a person tries O Effort needs to be channeled in a direction that benefits the organization 0 Persistence is how long a person can maintain effort 0 Maslow s hierarchy of needs is physiological hunger thirst shelter sex safety security and protection from physical and emotional harm social affection belonging friendship esteem selfrespect and achievement and self actualization growth and achieving our potential 0 Each need is substantially satisfied and then the next need becomes dominant 0 Theory X is the assumption that employees dislike work are lazy dislike responsibility and must be coerced to perform 0 Manager must direct and even coerce employees to perform 0 Theory Y is the assumption that employees like work are creative seek responsibility and can exercise selfdirection 0 Managers believe that employees accept work 0 Both proposed by Douglas McGregor 0 Two Factor Theory relates intrinsic factors to job satisfaction and associates extrinsic factors with dissatisfaction 0 Also called motivationhygiene theory 0 People who feel good about their work tend to attribute these factors to themselves and dissatisfied people blame extrinsic factors of pay supervision company policy and working conditions 0 Fredrick Hertzberg 0 When hygiene factors are adequate in a job workers will not be dissatisfied I Include company policy administration and salary O Suggests emphasizing factors such as promotional opportunities personal growth opportunities responsibility recognition and achievement to motivate workers 0 David McClelland s Theory of Needs states that achievement power and affiliation are three important needs that help explain motivation 0 Need for achievement is the drive to excel and succeed 0 Need for power is the need to make others behave in a way in which they would not have behaved otherwise 0 Need for affiliation is the desire for friendly and close relationships 0 Self determination theory proposes that people prefer to feel that they have control over their actions so anything that makes a previously enjoyed task feel more like an obligation than a freely chosen activity will undermine motivation 0 Recent outgrowth is selfconcordance I The degree to which peoples reasons for pursuing goals are consistent with their interests and core values 0 More likely to attain goals if they peruse them because of intrinsic 1nterest Cognitive evaluation theory hypothesizes that extrinsic rewards will reduce intrinsic interest in a task 0 Goal setting is more effective in improving motivation Job engagement is the investment of an employee s physical cognitive and emotional energies into job performance 0 More likely to be engaged if the employee believes that it is meaningful to be engaged in work 0 Also match between individual and organizational values 0 Leadership behaviors that inspire workers to a greater sense of mission Goal setting theory says that specific and difficult goals with feedback lead to higher performance 0 Specific goals produce a higher level of output then generalized goals 0 Challenging goals get our attention help us focus need persistence 0 People do better when they get feedback on how they are progressing towards their goals 0 Goal commitment task characteristics and national culture People generally fall into two categories in which they regulate their thoughts and behaviors during goal pursuit 0 Promotion focus is a selfregulation strategy that involves striving for goals through advancement and accomplishment and approach conditions that move them closer to desired goals 0 Prevention focus is a selfregulation strategy that involves striving for goals by fulfilling duties and obligations and avoid conditions that pull them away from desired goals Management by objectives is a program that encompasses specific goals participatively set for an explicit time period with feedback on goal progress Selfefficacy theory is an individuals belief that he or she is capable of performing a task 0 Can be increased by enactive mastery gaining experience on the job vicarious modeling see someone else that is similar to you complete the task verbal persuasion arousal get person psyched up Reinforcement theory says that behavior is a function of its consequences 0 Opposite of goal setting which is a cognitive approach 0 Concentrates solely on when the individual takes action 0 Most relevant component is the operant conditioning theory I Argues that people learn to behave to get something they want or avoid something they don t want Behaviorism is a theory that suggests that behavior follows a stimuli in a relatively unthinking manner Social learning theory is the view that we can learn from both observation and direct experience Equity theory says that individuals compare their job inputs and outcomes with those of others and then respond to eliminate any equities O Precursor to organizational justice which is an overall perception of what is fair in the workplace composed of distributive procedural information and interpersonal justice I Fairness in the workplace Distributive justice is perceived fairness of the amount and allocation of rewards among individuals Procedural justice is the perceived fairness of the process used to determine the distribution of rewards Informational justice is the degree to which employees are provided truthful explanations for decisions and keep them informed in important organizational matters Interpersonal justice is the degree to which employees are treated with dignity or respect 0 Victor Vroom s expectancy theory says that the strength of a tendency to act in a certain way depends on the strength of an expectation that the act will be followed by a given outcome and on the attractiveness of that outcome to the individual 0 O O Effortperformance relationship is the probability to be perceived by the individual that exerting a given amount of effort will lead to performance Performancereward relationship is the degree to which the individual believes performing at a particular level will lead to the attainment of a desired outcome Rewardspersonal goals relationship is the degree to which organizational rewards satisfy an individual s personal goals or needs and the attractiveness of those potential rewards for the individual Chapter 6 Perception and Individual Decision Making I Perception is the process by which individuals sloganize and interpret sensory impressions in order to give meaning to their environment 0 What we perceive can be substantially different from objective reality 0 Perception is important to OB because people s behavior is based on their perception of what reality is not on reality itself I Factors that in uence perception include 0 Factors in the situation are time work setting social setting 0 Factors in the perceiver are attitudes motives interests experience expectations 0 Factors in the target are novelty motion sounds size background proximity similarity I Person perception are the perceptions people form about each other I Attribution theory tries to explain the ways we judge people differently depending on the meaning we attribute to their behavior 0 Suggests whether we observe an individuals behavior we attempt to determine whether it was internally or externally caused I Depends largely on three factors of distinctiveness consensus and consistency 0 If everyone who faces a similar situation responds the same way we can say that behavior shows consensus I If consensus high probably external 0 Distinctiveness refers to whether an individual displays different behaviors in different situations I If behavior is unusual probably external attribution but if it is not then we will probably judge it to be internal 0 Consistency is if the does the person responds the same way overtime I The more consistent the behavior the more we are inclined to attribute it to internal causes I Fundamental attribution error is the tendency to underestimate the in uence of external factors and overestimate the in uence of internal factors when making judgments about the behavior of others I Selfserving bias the tendency for individuals to attribute their own successes to internal factors and put the blame for failures on external factors Common Shortcuts in Judging Others I Selective perception is the tendency to selectively interpret what one sees on the basis of ones interests background experience and attitudes I The halo effect is the tendency to draw a general impression about an individual on the basis of a single characteristic I Contrast effect is the evaluation of a persons characteristics that is affected by comparisons with other people recently encountered who rank higher or lower on the same characteristics 0 Stereotyping is judging someone on the basis of ones perception of the group to which that person belongs Specific Applications of Shortcuts in Organizations 0 In an employee interview interviewers make perceptual judgments that are often inaccurate and draw early impressions that quickly become entrenched 0 Research shows we form impressions of others within a tenth of a second based on our first glance 0 Recent research indicates that our individual intuition about a job candidate is not reliable in predicting performance but collecting input from multiple independent evaluators can be predictive 0 Info early in interview is used to decide Good applicant is probably characterized by the absence of unfavorable characteristics 0 Selffulfilling prophecy and Pygmalion effect describe how an individual s behavior is determined by others expectations 0 If a manger expects big tings from her people they re not likely to let her down and vice versa 0 Expectations I reality 0 Performance evaluation very much depends on the perceptual process 0 There is a link between perception and individual decision making I Decisions are choices made from among two or more alternatives I Problem is a discrepancy between current state of affairs and some desired state 0 Every decision requires us to interpret and evaluate the situation Our perceptions answer which data is relevant to decision Perceptual process will affect final outcome and perceptual errors can bias analyses and conclusions Decision Making in Organizations 0 Rational are characterized by making consistent valuemaximizing choices within specified constraints 0 Rational decisionmaking model describes how individuals should behave in order to maximize some outcome 0 Bounded rationality is a process of making decisions by constructing simplified models that extract the essential features from problems without capture all their complexity 0 Intuitive decisionmaking is the least rational way of making decisions 0 Unconscious process created from distilled experience 0 Occurs outside conscious thought and relies on holistic associations or links between disparate pieces of information is fast and affectively charged meaning it engages the emotions 0 Common Biases and Errors in Decisions 0 Decision makers engage in bounded rationally but they also allow systematically biases and errors to creep into their judgments O 0 People rely too much on experience impulses gut feelings and convenient rules of thumb Shortcuts are helpful but distort rationally Common biases in decisionmaking O Overconfidence bias is that individuals whose intellectual and interpersonal abilities are weakest are most likely to overestimate their performance and ability there is a negative relationship between entrepreneurs optimism and performance of their new ventures I The more optimistic the less successful Anchoring bias is the tendency to fixate on initial information and fail to adequately adjust for subsequent information I As we discussed earlier in the chapter in relationship to employment interviews our mind appears to give a disproportionate amount of emphasis to the first information it receives I Anchors are widely used by people in professions in which persuasion skills are important such as advertisement management politics real estate and law Confirmation bias is the tendency to seek out information that reaffirms past choices and to discount information that contradicts past judgments I We seem to seek sources most likely to tell us what we want to hear and we give to much weight to supporting info and too little to contradictory info Availability bias is the tendency for people to base their judgments on info that is readily available to them Escalation of commitment is an increased commitment to a pervious decision in spite of negative information I Stay with a decision even if there is clear evidence its wrong This is likely to occur when individuals view themselves as responsible for the outcome I The fear of personal failure even biases the way we search for and evaluate information so that we choose only info that supports our dedication Randomness error is the tendency of individuals to believe that they can predict the outcome of random events I Decisionmaking suffers when we try to create meaning in random events especially when we turn imaginary patterns into superstitions Risk aversion is the tendency to prefer a sure gain of a moderate amount over a riskier outcome even if the riskier outcome might have a higher expected payoff I These employees stick to the way of doing their job rather than taking a chance on innovative methods Hindsight bias is the tendency to believe falsely after an outcome of an event is actually known that one would have accurately predicted that outcome I When we have feedback on the outcome we seem good at concluding it was obvious Chapter 5 Personality and Values 0 Personality is the sum of total ways in which an individual reacts to and interacts with others 0 Measuring personality is important for managers to know how to do so because personality test are useful in hiring decision and help mangers forecast who is best for a job 0 Problem with self report surveys is that people lie to try to make a good impression I Many rate themselves more emotionally stable when they know it is for hiring decisions I Also less accurate with bad moods 0 Combination of selfreports and observer reports predicts performance better 0 An individual s personality is a result of both heredity and the environment 0 Heredity are the factors determined at conception I Physical stature facial features gender temperament muscle composition re exes energy level and biological rhythms are generally considered to be either completely or substantially in uenced by parentage I Heredity approach means personality is based on molecular structure of genes 0 Twin studies have suggested parents do not add much to our personality development I The personalities of identical twins raised in different households are more similar to each other than the personalities of siblings with whom the twins were raised I Personality traits are the enduring characteristics that describe an individual s behavior 0 The MyersBriggs Type Indicator is the most widely used personality assessment instrument in the world 0 100 question personality test that asks people how they usually feel or act in situations 0 Respondents are classified as extraverted or introverted sensing intuitive thinking or feeling and judging or perceiving I Extraverted versus introverted 0 Extraverted individuals are out going sociable and assertive Introverts are quiet and shy I Sensing versus intuitive I Sensing types are practical and prefer routine and order They focus on details Intuitive rely on unconscious process and look at the big picture I Thinking versus feeling 0 Thinking types use reason and logic to handle problems Feeling type rely on their personal values and emotions I Judging versus Perceiving 0 Judging types want control and prefer order and structure perceiving types are exible and spontaneous The Big Five Model is a personality assessment model that taps five basic dimensions 0 Extraversion is a personality dimension describing someone who is sociable gregarious and assertive O Agreeableness is personality dimension that describes someone who is good natured cooperative and trusting O Conscientiousness is a personality dimension that describes someone who is responsible dependable persistent and organized O Emotional stability is a personality dimension that characterizes someone as calm selfconfident secure positive versus nervous depressed and insecure negative 0 Openness to experience is a personality dimension that characterizes someone in terms of imagination sensitivity and curiosity Research has found relationships between these personality dimensions and job performance 0 Employees who score higher in consciousness develop higher levels of job knowledge which contributes to higher levels of job performance 0 Conscientious individuals who are more interested in learning than in just performing on job are also very good and maintaining performance in the face of negative feedback I Conscientiousness is important to organizational success I Conscientious people live longer because they take care of themselves The Dark Triad is constellation of negative personality traits consisting of machiavellianism narcissism and psychopathy that do not always occur together 0 Machiavellianism is the degree to which an individual is pragmatic maintains emotional distance and believes ends can justify means I If it works use it I Manipulate more win more and are persuaded less but persuade more I Likely to act aggressively and engage in other counterproductive work behaviors as well I Win in the short term but lose those gains in the long term because they are not liked O Narcissism is the tendency to be arrogant have a grandiose sense of self importance require excessive admiration and have a sense of entitlement I Evidence suggests that narcissists are more charismatic than others and leaders and managers score higher on this I Selfcenteredness leads to success higher work motivation job engagement and life satisfaction I But can be worse leaders according to supervisors 0 Psychopathy is the tendency for a lack of concern for others and a lack of guilt or remorse when their actions cause harm I Measures of this assess the person s motivation to comply with social norms willingness to use deceit to get desires and the effectiveness of those efforts impulsivity and lack of empathetic concern for others ApproachAvoidance framework casts personality traits as motivations 0 Approach motivation is our attraction to positive stimuli O Avoidance motivation our aversion to negative stimuli Core SelfEvaluation are the bottomline conclusions that individuals have about their capabilities competence and worth as a person 0 People with positive CSE like themselves see themselves as effective capable and in control I Set more ambitious goals and are more committed and persistent O Negative CSE tend to dislike themselves question capabilities and view themselves as powerless over their environment SelfMonitoring is a personality trait that measures an individuals ability to adjust his or her behavior to external situational factors 0 High selfmonitors show considerable adaptability in adjusting their behavior to external situational factors I They are highly sensitive to external cues and can behave in varying situations sometimes presenting striking contradicts between private and public self 0 Low selfmonitors can t disguise themselves and display true dispositions and attitudes in every situation Proactive Personality are people who identify opportunities show initiative take action and persevere until meaningful change occurs 0 Many desirable behaviors and higher levels of job performance and career success Situationstrength theory is a theory that indicates that the way personality translates into behavior depends on the strength of the situation In organizations this has been analyzed in four elements 0 Clarity is the degree to which cues about work duties and responsibilities are available and clear I Jobs high in clarity produce strong situations employees can determine what to do and everyone behaves similarly 0 Consistency is the extent to which cues regarding work duties and responsibilities are compatible with one another I Jobs with high consistency rep strong situations because all cues point towards same desired behavior 0 Constraints are the extent to which individuals freedom to decide or act is limited by forces outside their control I Jobs with many constraints represent strong situations because an individual has limited individual discretion 0 Consequences are the degree to which decisions or actions have important implications for the organization or it member clients supplies and more I Jobs with important consequences represent strong situations because the environment is probably heavily structured to guard against mistakes Trait Activation Theory is a theory that predicts that some situations events or interventions activate trait more than others 0 Features of the environment can activate a trait and the combination of the two means lower or higher job performance 0 Situation strength and TAT show that its best to be framed as nature AND nurture rather than versus Values are basic conviction that a specific mode of conduct or end state of existence is personally or socially preferable to an opposite or converse mode of conduct or end 0 Contain a judgmental element of what is good and bad 0 The content attribute says mode of conduct or endstate of existence is important 0 The intensity attribute specifies how important it is Value system is a hierarchy based on a ranking of an individual s values in terms of their intensity Terminal values are desirable endstates of existence 0 The goals a person would like to achieve during his or her lifetime Instrumental values are preferable modes of behavior or means of achieving one s terminal values Contemporary Work Cohorts are groups that attempt to capture the unique values of different cohorts or generations in the US workforce 0 Baby Boomers were brought the workforce the hippie ethic and distrust of authority I Place a great deal on achievement and material success I Pragmatists who believe ends can justify means work hard and want tot enjoy the fruits of their labors I Boomers see the organizations that employ them merely as vehicles for their careers I Terminal values such as sense of accomplishment and social recognition ran high with them I Have been shaped by globalization two career parents and computers I Value exibly life options and job satisfaction I Family and relationships are important I Skeptical of authority like teamwork I Less willing to make personal sacrifices for employers O Millennials I High expectations and seek meaning in work I Life goals toward becoming rich and famous I Take technology for granted 0 Personalityjob fit theory identifies six personality types and proposes that the fit between personality type and occupational environment determines satisfaction and turnover created by John Holland 0 Realistic O Investigative 0 Social 0 Conventional O Enterprising O Artistic 0 PersonOrganization Fit argues that people are attracted to and selected by organizations that match their values and they leave organizations that are not compatible with their personalities 0 Hofstede surveyed more than 116000 IBM employees in forty countries about their work related values and found that mangers and employees vary on five value dimensions of national culture 0 O O 0 Power distance describes the extent to which a society accepts that power in institutions and organizations is distributed unequally Individualism describes degree to which people prefer to act as individuals rather than as members of group Collectivism describes a tight social framework in which people expect others in groups of which they are a part to look after them and protect them Masculinity describes the extent to which the culture favors traditional masculine work roles of achievement power and control Societal values are characterized by assertiveness and materialism Femininity indicates little differentiation between male and female roles A high rating indicates that women are treated as the equals of men in all aspects of society Uncertainty avoidance is a national culture attribute that describes the extent to which a society feels threatened by uncertain and ambiguous situations and tries to avoid them Longterm orientation emphasizes the future thrift and persistence Shortterm orientation emphasizes the past and present resect for tradition and fulfillment of social obligations 0 Global Leadership and Organizational Behavior Effectiveness GLOBE research program is an ongoing crosscultural investigation of leadership and national culture 0 Using data from 825 organizations in 62 countries the GLOBE team identified nine dimensions on which national cultures differ 39 Somesuch as power distance individualism collectivism uncertainty avoidance gender differentiation and future orientation resemble the Hofstede dimensions I Globe added dimensions such as humane and performance orientation Chapter 15 Foundations of Organizational Structure 0 Organizational structure is the way which job tasks are formally divided grouped and coordinated O A structure should be chosen to best support the organization s strategy I 6 key elements to address organizational structure 0 Work specialization is the degree to which tasks in an organization are subdivided into separate jobs I Also called division of labor I Can cause boredom fatigue stress low productivity poor quality increased absenteeism and high turnover 0 Departmentalization is the basis by which jobs in an organization are grouped together I Often grouped by function product or service geography or customer 0 Chain of command is the unbroken line of authority that extends from the top of the organization to the lowest part I Clarifies who reports to whom I Authority is the rights inherent in a managerial position to give orders and to expect the orders to be obeyed I Unity of command is the idea that a subordinate should have only one superior to whom he or she is directly responsible O Span of control is the number of subordinates a manger can efficiently and effectively direct I Wider spans are cheaper speed decision making increase exibility and empower employees I Wider span more efficient organization but may reduce effectiveness 0 Centralization is the degree to which decision making is concentrated at a single point of an organization I In centralized organizations top managers make all the decisions and lower level managers carry out their directives I In decentralized organizations decision making is pushed down to the managers closest to the action or even to work groups 0 Formalization is the degree to which jobs within an organization are standardized I If high employee has little amount of discretion of what when and how to do work 0 Three of the most common organizational designs are simple structure bureaucracy and the matrix structure 0 Simple structure is characterized by a low degree of departmentalization wide spans of control authority centralized in a single person and little formalization I OwnerManager makes all major decisions directly and monitors all activities I Difficult to maintain this structure as the firm grows in size and complexity O Bureaucracy is characterized by highly routine operating tasks achieved through specialization strictly formalized rules and regulations tasks grouped into functional departments centralized authority narrow spans of control and decision making that follows the chain of commands I Perform standardized activities in a highly effective manner 0 Matrix structure created dual lines of authority and combines functional and product development I Used in advertising agencies aerospace firms research and development laboratories construction companies hospitals government agencies universities management consulting firms and entertainment companies I Combines functional and product departmentalization I Employees have two bosses 0 Functional department managers and their product managers I Product departmentalization facilitates coordination 0 It provides clear responsibility for all activities related to a product but with duplication of activities and costs Virtual organization is a small core organization that outsources major business functions Boundaryless organization seeks to eliminate the chain of command have limitless spans of control and replace departments with empowered teams 0 It uses crosshierarchical teams participative decisionmaking practices and 360 degree performance appraisals Downsizing is a systematic effort to make an organization leaner by closing locations reducing staff or selling off businesses that don t add value 0 Effective strategies include investment communication participation and assistance Mechanistic model is characterized by extensive departmentalization high formalization a limited information network and centralization Organic model uses crosshierarchical and crossfunctional teams has low formalization possess a comprehensive information network and relies on participative decision making The strategy of an organization is focused on innovation cost minimization and imitation 0 Innovation strategy emphasizes the introduction of major new products and services 0 Costminimization strategy emphasizes tight cost control avoidance of unnecessary innovation or marketing expenses and price cutting 0 Imitation strategy seeks to move into new products or new markets only after their viability has already be proven Organizations with more than 2000 people have more specialization more departmentalization more vertical levels and more rules and regulations Technology is the way in which an organization transfers its inputs into outputs O Routine activities are characterized by automated and standardized operations where as nonroutine activities are customized Environment is institutions or forces outside and organization that potentially affect the organizations performance Chapter 12 Leadership 0 Leadership is the ability to in uence a group toward the achievement of a vision or set goals 0 Can be formal or nonstructural 0 Trait theories of leadership are theories that consider personal qualities and characteristics that differentiate leaders from nonleaders O Helps to select the right people for leadership I Extroversion I Sociable and dominant people are more likely to asset themselves I Conscientiousness I Emotional intelligence I Listen to others needs and read their reactions 0 Behavioral theories of leadership are theories proposing that specific behaviors differentiate leaders from nonleaders 0 Implies that we can train people to be leaders 0 Initiating structure is the extent to which a leader is likely to define and structure his or her role and those of subordinates in the search of goal attainment I Assigns group members to particular tasks I Expects workers to maintain standards of performance I Emphasizes deadlines 0 Consideration is the extent to which a leader is likely to have job relationships characterized by mutual trust respect for subordinates and regard for their feelings I Helps employees with personal problems is friendly and approachable treats all employees as equals and expresses appreciation and support 0 Employeeoriented is a leader who emphasizes interpersonal relations takes personal interest in the needs of employees and accepts individual differences among members 0 Production oriented leader emphasizes technical or task aspects of the job I Charismatic leadership theory states that followers make attributions of heroic or extraordinary leadership abilities when they observe certain behaviors 0 They have a vision and are willing to take personal risks I Vision is a long term strategy for attaining goals by linking the present with a better future for the organization I Vision statement is a formal articulation of an organization s vision or mission I Overarching goal or purpose I Coveys set of values and set example for followers 0 Engages in emotioninducing and often unconventional behavior to demonstrate courage and conviction 0 Are sensitive to follower needs Exhibit extraordinary behaviors 0 Born with the traits that make them charismatic but can also bring out the traits that make them leaders by staying active and central in their leadership roles O Transactional leaders guide and motivate their followers in the direction of established goals by clarifying role and task requirements Transformational leaders inspire followers to transcend their own selfinterests and are capable of having a profound and extraordinary effect on followers 0 Pays attention to concerns and needs of individuals 0 Helps look at old problems in new ways 0 Most effective when followers can see the positive impact of their work through direct interaction with customers 0 Builds on transactional and the best leaders are both 0 Correlated with low turnover rates higher productivity lower employee stress and burnout and higher employee satisfaction Authentic leaders know who they are what they believe in and act on those values and beliefs openly and candidly O Considered to be ethical people by their followers 0 People have faith in them 0 Must be able to persuade others to follow their standards Social charismatic leaderships conveys values that are other centered not selfcentered versus rolemodel ethical conduct 0 Integration of ethical and charismatic O Able to bring employee values in line with their own values through their words and actions Servant leadership is marked by going beyond the leader s own selfinterest and instead focusing on opportunities to help followers grow and develop Trust is a positive expectation that another will not act opportunistically 0 Transformational leaders argue in direction that will be in everyone s best interests 0 Developed through integrity benevolence and ability I Integrity is honesty and truthfulness I Benevolence is when a trusted person has your interests at heart I Ability is an individuals technical and interpersonal knowledge 0 Trust propensity is how likely a particular employee is to trust a leader I People with low self esteem are more likely to trust others 0 Encourages taking risks facilitates information sharing more effective and enhances productivity Mentor is a senior employee who sponsors and supports a lessexperienced employee called a protege O Proteges are tested with a difficult assignment and then mentor shows them how the organization really works Attribution theory of leadership says that leadership is merely an attribution that people make about other individuals 0 See leaders as intelligent outgoing strong verbal skills aggressive and understanding 0 Deem responsible for negative and positive performance Substitutes are attributes such as experience and training that can replace the need for a leaders support or ability to create structure O Replaced by explicit goals rigid rules and cohesive work groups Neutralizers are attributes that make it impossible for leader behaVior to make any difference to follower outcomes Identification based trust is based on mutual understanding of each other s intentions and appreciation of each other s wants and desires 0 Difficult to achieve with out facetoface interaction Chapter 18 Organizational Change and Stress Management 0 Almost every organization must adjust to multicultural environment demographic changes immigration and outsourcing 0 Technology is continually changing jobs and organizations 0 Economic shocks lead to elimination bankruptcy or acquisition 0 Competitors are as likely to come from anywhere around the world I Successful organizations are capable of developing new products and get them on the market quickly 0 Social trends are leading customers to meet and share product information 0 Change is making things different 0 Planned change are activities that are intentional and goal oriented 0 Change agents are people who act as catalysts and assume the responsibility for managing change activities 0 They see a future for the organization that others have not identified and they are able to motivate invent and implement this vision 0 Employers who have negative feelings about change don t think about it increase their use of sick time or quitting 0 Resistance to change can be positive if it leads to open discussion and debate I Can also be overt implicit immediate or deferred 0 Change agents use resistance to modify the change to fit the preferences of the other members of the organization I Overcoming resistance to change 0 Education and communication fights the affect of misinformation and poor communication I Can help to sell the need for change 0 Participation can reduce resistance obtain commitment and increase the quality of change decisions 0 Building support and commitment helps employees to react to change emotionally O Facilitating positive relationships feel that the work environment supports development Implementing changes fairly helps employees to see it as fair 0 Manipulation refers to covert in uence attempts when facts are twisted to make them appear more attractive I Cooptation combines manipulation and participation I Can backfire if targets become aware that they are being tricked or used 0 Selecting people who accept change 0 Cohesion is the application of direct threats or force on resisters O 0 Lewin s threestep model states that organizations should follow three steps to make a new change permanent O Unfreezing is changing to overcome the pressures of both individual resistance and group conformity 0 Movement is a change process that transforms the organization from status quo to a desired end state 0 Refreezing is stabilizing a change intervention by balancing driving and restraining forces I Driving forces direct behavior from the status quo I Restraining forces hinder movement from the existing equilibrium 0 Effective change happens quickly in order to be effective 0 Refreezing prevents change from being shortlived Kotter s 8step plan for implementing change lists the common mistakes that managers make when trying to initiate change 0 Fail to create a sense of urgency create coalition for managing the change process to have a vision for change and to effectively communicate it Action research is a change process based on systematic collection of data and then selection of a change action based on what the analyzed data seems to indicate 0 Five steps diagnosis analysis feedback action and evaluation Organizational development is a collection of planned change interventions built on humanisticdemocratic views that seeks to improve organizational effectiveness and employee wellbeing 0 Respect for people 0 Trust and support 0 Power equalization O Confrontation 0 Participation Sensitivity training are groups that seek to change behavior through unstructured group interaction Survey feedback is the use of questionnaires to identify discrepancies among member perceptions discussion follows and remedies are suggested Process consultation is a meeting in which a consultant assists a client in understanding process events in which he or she must deal and identify processes that need improvement Team building is high interaction among team members to increase trust and openness improve coordinated effort and increase team performance Intergroup development is OD efforts to change the attitudes stereotypes and perceptions that groups have of each other Appreciative inquiry seeks to identify the unique qualities and special strengths of an organization which can be built on to improve performance 0 Discovery identifies what people think are the organization s strengths 0 Dreaming is speculating possible futures 0 Design is creating a common vision of how the organization will look in the future O Destiny is how to fulfill their dream 0 Innovation is a new idea applied to initiating or improving a product process or service 0 All innovation implies change but not all changes necessarily introduce new ideas or lead to significant improvements 0 Structure variables are sources of innovation and include I Organic structures I Long tenure in management I Abundant resources I Interunit communication 0 Innovative organizations have similar cultures I Encourage experimentation I Reward successes and failures I Celebrate mistakes I Promote training and development of members 0 Idea champions are individuals who take and innovation and actively and enthusiastically promote the idea build support overcome resistance and ensure that the idea is implemented I Extremely high self confidence I Persistence I Energy I Tendency to take risks 0 Learning organization has developed the continuous capacity to adapt and change 0 Singleloop learning is a process of correcting errors using past routines and present policies 0 Doubleloop learning is a process of correcting errors by modifying the organization s objectives policies and standard routines O Seen as a remedy for fragmentation competition and reactiveness Selective information Habit Threat to processing established Structural resource inertia allocations Individual Threat to L r d 39 39 Iml e resrstance 5 established Or animnaml Feat Oi quot39 Securi power I V i FOCUS Oi 39 resrstance Change the unknown 39 relationships l Economic Threat to Group factors expertise inertia Chapter 10 Understanding Work Teams Work group interacts primarily to share information and to make decisions to help each group member perform within his or her area of responsibility 0 No collective work 0 Skills are random and varied Work team is when individual efforts result in performance that is greater than the sum of the individual inputs 0 Skills are complementary Both have behavioral expectations of members collective normalization efforts active group dynamics and some level of decision making 0 Also generate resources pool resources and coordinate logistics 4 common types of teams in organizations 0 Problem solving teams are groups of 512 employees from the same department who meet for a few hours each week to discuss ways of improving quality efficiency and the work environment I Make recommendations 0 Selfmanaged work teams are groups of 1015 people who take on responsibilities of their former supervisors I Perform highly related or interdepended jobs I Don t manage con icts well 0 Cross functional teams are made up of employees from the same hierarchical level but from different work areas who come together to accomplish a task 0 Virtual teams use computer technology to tie together physically dispersed members in order to achieve a common goal 0 Multiteam systems are a collection of two or more independent teams that are a superordinate goal I Team of teams Team effectiveness model organizes the key components of teams into three general categories 0 Resources and other contextual in uences 0 Composition of the team 0 Process variables are events within the team that typically in uence effectiveness To be successful teams need to have adequate resources effective leadership a climate of trust and a performance evaluation and reward system that re ects team contributions 0 Adequate resources includes timely information proper equipment adequate staffing encouragement and administrative assistance 0 Leaders need to empower teams by delegating responsibilities 0 Trust allows a team to accept and commit to a leader s goals and decisions 0 Management needs to recognize individual members for their exceptional contributions and reward the entire group for positive outcomes 0 Variables of team composition include the abilities and personality of members allocation of roles diversity size and the member s preference for teamwork 0 High ability teams are composed of mostly intelligent members 0 Teams that have higher conscientiousness and openness to experience are more effective 0 Key roles of teams include linker creator promoter assessor organizer producer controller maintainer advisor 0 Organizational demography is the degree to which members of a work unit share a common demographic such as age sex race education level or length of service and the impact of this attribute on turnover I Turnover is greater among dissimilar experiences 0 Most effective teams have 5 to 9 members 0 Potential group effectiveness process gains process losses actual group effectiveness 0 Effective teams show re exivity which is a team characteristic of re ecting on and adjusting to the master plan when necessary 0 Team efficacy is when the team believes that they can succeed 0 Mental models are the team member s knowledge and beliefs about how the work gets done by the team 0 Relationship con icts are based on interpersonal incompatibility tension and animosity towards others 0 Almost always dysfunctional 0 Task con icts stimulate discussion promote critical assessment of problems and can lead to better team decisions 0 Managers can turn individuals into team players by 0 If have to hire people that don t have team skills assign to positions that don t require teamwork or make them undergo training 0 Train employees to experience the satisfaction that teamwork can provide 0 Provide incentives to be a good team player with annual bonuses Chapter 16 Organizational Culture 0 Organizational culture refers to a system of shared meaning held by members that distinguishes the organization from other organizations 0 Captured by 7 primary characteristics I Innovation and risk taking I Attention to detail I Outcome orientation I People orientation I Team orientation I Aggressiveness I Stability 0 Descriptive where as job satisfaction is evaluative 0 Effects of organizational culture on employee behavior and performance 0 Allows employees to understand the firm s history and current approach and increases communication through the existence of a common language 0 Fosters commitment to corporate philosophy and values by creating a common vision for all employees 0 Culture serves as a social control mechanism 0 Organizations with strong cultures outperform those with weak cultures greater ROI net income growth and change in share price 0 Strong cultures can also have more reliable performance IF the environment is stable 0 Culture is uniform if individuals from different backgrounds or at different levels of the organization describe the culture in similar terms 0 Dominant culture expresses the core values that are shared by the majority of the organization s members 0 Core values are the primary or dominant values accepted throughout the organization I Subcultures are minicultures within an organization 0 Typically defined by department designations and geographical separation O Re ect common problems in these areas 0 Strong culture is when the core values are intensely held and widely shared 0 High degree of shared values and intensity create a climate of high behavioral control 0 Reduces employee turnover 0 Culture creates distinction between one organization and others conveys sense of identity commitment to something larger than selfinterest enhances the stability of the social system and is a sense making and control mechanism that guides and shapes employee attitudes and behaviors 0 Organizational climate is the shared perceptions organizational members have about the organization and work environment 0 Created by culture 0 Ethical work climate is the share concept of right or wrong behavior in the workplace 0 Re ects the true values of the organization and shapes the ethical decision making of its members 0 Ethical climate theory and the ethical climate index measure the ethical dimensions of organizational cultures I Most prevalent climate categories are instrumental caring independence law code and rules 0 Most innovative companies often have open unconventional collaborative visiondriven and accelerating cultures 0 Culture can also be an asset or a liability O Institutionalization is when an organization takes on a life of its own I Valued for itself and not the goods or services that it produces 0 Culture creation occurs in three ways 0 Founders hire and keep employees that think and feel the same way that they do 0 Socialize employees into their way of thinking 0 The founders own behavior encourages employees to identify with them and internalize their beliefs values and assumptions 0 Once the culture is in place it is maintained by giving the employees a set of similar experiences 0 Selection I Identify and hire individuals with knowledge skills and abilities to perform successfully 0 Top management I How much freedom is given to employees appropriate dress how to earn raises promotions and rewards O Socialization I Process that adepts employees to the organization s culture I Consists of 0 Prearrival stage 0 Period of learning before the employee joins the organization 0 Encounter stage 0 New employee sees what the organization is really like and confronts the possibility that expectations and reality may diverge 0 Metamorphosis stage 0 New employee changes and adjusts to the job work group and organization 0 Employees learn culture through stories rituals material symbols and unique languages 0 Material symbols are what conveys the degree of egalitarianism that top management desires and the kinds of behavior that are appropriate I To create a more ethical culture managers can adhere to the following principles 0 Be a visible role model 0 Communicate ethical expectations 0 Provide ethical training 0 Visibly reward ethical acts and punish unethical ones 0 Provide protective mechanisms 0 Positive organizational culture emphasizes building on employee strengths rewards more than punished and emphasizes individual vitality and growth Chapter 13 Power and Politics 0 Power refers to the capacity that A has to in uence the behavior of B so that B acts in accordance with A s wishes 0 Dependence is B s relationship to A when A possesses something that B requires I The greater B s dependence the greater A s power Leaders use power as a mean of attaining goals Formal power is based on a leaders position in an organization 0 Coercive power is dependent on fear of the negative results from failing to comply O Reward power is compliance achieved based on the ability to distribute rewards that others view as valuable O Legitimate power is the power that a person receives as a result from his or her position in the formal hierarchy of an organization Personal power comes from an individual s unique characteristics 0 EXpert power is in uence based on special skills and knowledge 0 Referent power is in uence based on identification with a person who has desirable resources or personal traits I They have power over you because you want to please them 0 The personal sources are more effective than formal sources 0 Dependence increases when the resources you control are important scarce and non substitutable 0 Power tactics are ways in which individuals translate power bases into specific actions 0 Legitimacy organizational policy and rules Rational persuasion logical arguments Inspirational appeals appealing to hopes needs aspirations Consultation involving target in decision Exchange rewarding with benefits or favors Personal appeals compliance based on friendship or loyalty Integration attery praise friendly behavior Pressure warnings demands and threats Coalitions establishing the support of others I Increase chances by using two or more tactics I Most effective rational persuasion inspirational appeal amp consultation these were also used most frequently I Least effective pressure coalition amp legitimating I Individualistic countries see power as a means to advance their personal ends I Collectivist countries see power in social terms and as a means of helping others 0 Political skill is the ability to in uence others in such a way as to enhance one s objectives OOOOOOOO 0 More effective when the individual is accountable for important organizational outcomes 0 Impression management is the process by which individuals 0 High self monitors engage in IM I They are good at reading situations and molding their appearance and behavior to fit the situation A Exhibit was Snare1mittr Agreelng semeene else39s mere t gain hIs err r EEFIIFBIrlEMJEII ts a fsym ati Eramete A E39I39IElzl39lEQEII telll39a hls tress quotIt39 til39li39 alarsetutelgllI Eight eh yeur reeanlEatJela Ian fer the teg lehal e lce ll eelen39t agree with we merer Eastrs elieg sem lng nlce that semeene te gailn parssun s aeeteaal Is a farm if myea atmw gamete Azsalaieel39sen a ereaeectlse EIIE39ITEF quotHare get twe tleliz ets te e theater tenlight that ll tan t lase Take them eastHer lit a thankyen fer taltlngti39le tlme te tans wlith me Explanaian ef a pretil izamentIreatlng event a lmeizil at tnlinl rr alng the appatnt seventy e39if the redltarneat a a H enseema Example Asalm maeagersagrs te her Lama We 39ifaIEeel te et ElEI In the paper en tlmer laet he elme reskeeet ls te these ads anywayquot eeel39gtes Aemttt39lng I39E EP t39 Illliilllll tj than undesirable esarent and EImH EnE UEIF saelinung te 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cemellalmrts tactfully ll ceels Iaeaer have harstilteel that as well as rueu ellel Hmpil ita quotezn De ne mete than Fee neeelte m an efFertte shmlsr hm 39 eeelcated and hate werklng yen are Is an mall Eramph emeleyee seeds e ma s frerrt hlswerlt empe39ten when hewerlss late 5131 that hl a supewlaer wlill linew hang he s heenwerltle g s a Euaxwte EtnaEl m E TH lupusinn Cain 39I Hi C II M Em EL Hawksgr IslELLE 39LIEI J39 l L r EH midi I L ng seas 31m and E L Eirsi eF Irrlggu in E A E Biennialcl In W is iii Ell331m iHiBeEH Hll W E m 193911 pp iii 3391 Final Study Guide Chapter 10 0 Work groups 0 Share information 0 Not collective work 0 Random skills 0 Work teams 0 Complementary skills 0 Work together 0 Problem solving teams 0 512 employees 0 Improve quality and efficiency 0 Make recommendations 0 Selfmanaged work teams 0 1015 employees 0 Related jobs 0 Take on responsibility of supervisor 0 Crossfunctional teams 0 Employees from different areas of work 0 Come together to accomplish a task 0 Virtual teams 0 Multiteam systems 0 Two or more team join together 0 Team effectiveness depends on 0 Resources 0 Composition of the team 0 Process variables I Size personality diversity etc 0 Leaders must delegate responsibilities to team members 0 Trust is when team members accept and commit to the decisions of the leader 0 Management needs to recognize and reward individual contribution 0 High ability teams are composed of mostly intelligent members 0 Teams are more effective if there is high consciousness and openness to experience 0 Organizational demography is when team members share age sex race or education level 0 Teams with 59 members are the most effective 0 Team efficacy is when you know you can succeed 0 Re exivity is when team members adjust the master plan when necessary 0 Mental models are the team s knowledge about work gets done 0 Task con icts stimulate discussion and can lead to better decisions 0 Relationship con icts cause issues within the team Why Teams Don t Work 0 Interview with J Richard Hackman 0 Harvard 0 Need to be bounded O This is done by clearly establishing the people who are working on the team 0 Need to have a sense of direction 0 Don t create teams with more than 9 people 0 Newness is a liability 0 Deviant is a team members that challenges a team s desire for too much homogeneity O Leads the team to be open to more ideas 0 Need enabling structures supportive organizations HR department and expert coaching MediSys Case 0 Medical device manufacturer is launching IntensCare 0 System for intensive care units in hospitals 0 Increased competition in the market 0 New president Art Beaumont created an executive committee to speed development through crossfunctional teams 0 Crossfunctional team included executive from RampD marketing product engineering and software design regulatory and production 0 Jack Fogel was the project leader 0 He was emailed by Bret O Brien engineer about issue 0 Didn t want Valerie Merz marketing to freak out 0 Merz had a lot of responsibility but little authority 0 Different goals because marketing is revenue driven 0 Disagreement about modular design that would provide exibility for customers 0 At the end of the case Mertz overhears meeting 0 She debates going into the conference room or handing in her resignation to Beaumont Chapter 12 0 Leadership is the ability to in uence a group towards set goals 0 Traits that differentiate leaders from nonleaders O Extroversion O Contentiousness O Emotional intelligence 0 Behaviors that differentiate leaders from nonleaders O Believes that you can train people to be leaders 0 Initiating structure I Assign members to tasks I Maintain standards I Emphasize deadlines 0 Consideration is when leader had mutual respect trust and regard for feelings of subordinates 0 Employee oriented emphasizes interpersonal relations 0 Production oriented emphasis technical aspect of the job I Charismatic leadership is when followers make attributions of heroic or extraordinary leadership 0 Set overarching goals or purpose 0 O O Conveys values Sensitive to the needs of followers Charismatic leaders have a vision I Vision links the present to a better future of the organization 0 Transactional leaders motivate followers towards established goals 0 Transformational leaders motivate followers to transcend selfinterests I Leadermember exchange theory is when leader gives more attention to resources to the in group than out group 0 Authentic leaders are moral and transparent 0 Trust is the positive expectation about how things will turn out 0 O Developed through I Integrity I Benevolence I Ability Trust propensity is how likely a particular employee is to trust a leader Transactional to Transformational Leadership 0 Sr Edmund Hillary Everest tells story of Captain Robert Falcon Scott 0 O 0 He had trouble dealing with merchant marine personnel Scott exercised legitimate power Shakleton exercised cohesive power 0 Characteristics of modern leadership 0 0 Must initiate and organize work Show consideration for employees 0 Transformational leaders broaden and elevate the interests of their employees 0 00000 Inspire employees to look beyond selfinterest Charismatic Intellectually stimulating Meet emotional needs Must have a vision proper framing and make an impression Followers must identify with leader s vision have heightened levels of emotion and feelings of empowerment O Situation can be a crisis in which leader can pull people together to achieve a vision Transformational leadership can be facilitated by training It is good for firms with demands for renewal and change Leads to major organizational changes higher levels of effort from followers greater follower satisfaction and increased group cohesiveness Don Carty CEO of American Airlines in 2003 before being fired Unions had narrowly voted to accept costcutting deal Carty revealed that executives were keeping retention bonuses Wanted to keep company out of bankruptcy Chapter 13 Power is the capacity that A has to in uence the behavior of B O A s power increases with B s dependence on A Formal power is based on a leader s position in the organization 0 Coercive power is fear from failure to comply 0 Reward power is when leaders distribute rewards that others view as valuable 0 Legitimate power results from a position in hierarchy Personal power comes from characteristics of an individual 0 Expert power comes from specific skills and knowledge 0 Referent power is when a person has skills or traits that are considered desirable by followers Followers have more dependence on leaders when resources are important scarce and nonsubstitutable Power tactics are ways that individuals can translate power basics into specific actions 0 Most effective I Rational persuasion I Inspirational appeals I Consultation 0 Least effective I Legitimacy 0 Organizational policy and rules I Pressure I Coalitions Individualist countries see power as a means to advance personal ends Collectivist countries see power as a means to help other Political skill is the ability to in uence others in a way that enhances personal objectives Impression management is the ability to in uence the perception of others Serendipity Software 0 Tom and Anne created a business to furnish software for large and medium size firms 0 Philosophy Serendipity and Common Sense valued honesty and family 0 Culture of the company encouraged innovation 0 Created a wreck room on the porch of the mansion with fullystocked kitchen pool table sound system and hot tub 0 Had think tanks during lakeside retreats for employees 0 Tom begun to fight with his wife Connie who worked as a receptionist at the company 0 Too many employees reported to Anne and Tom so they had to hire middle management 0 The new marketing executive Alan did a presentation on the new software Mambo 0 Very laborious and analytical 0 Tom did not respond well and started to withdraw from decision making 0 Anne was highly intrigued 0 Tom changed his title to software designed instead of manager 0 His boss Rick had emotional problems and was fired 0 Anne was forced to increasingly represent the company in public 0 Tom was having relationship issues with Connie and this lead to 3 cases of sexual harassment in the workplace 0 Anne planed to buy Tom out after making a list of 10 reasons why he should sell to her 0 He remained as a design consultant 0 He wrote a list of 11 demands designed to protect himself I Required Alan to be fired and never rehired 0 Anne was unsure what to do and listened to the opinions of her employees 0 They were concerned that Serendipity had lost old strengths especially creativity Chapter 18 0 Planned change are activities that are intentional and goal oriented 0 Change agents are people who act as catalysts and assume responsibility for managing change activities 0 See future of organization 0 Motivate and implement this vision 0 Resistance to change can sometimes be positive if it leads to open discussion and debate 0 Organizational resistance can result from I Threat to established resource allocations I Threat to established power relationships I Structural inertia I Limited focus of change I Group inertia I Threat to expertise 0 Individual resistance can result from I Selective information passing I Fear of the unknown I Habit I Security I Economic factors Lewin s 3 Step Model 0 Unfreezing I Changing to overcome pressures of individual resistance and group conformity 0 Movement I Change organization from status quo to a desired end state 0 Refreezing I Stabilizing change by balancing driving and restraining forces 0 Driving forces direct behavior from status quo I Restraining forces hinder movement from existing equilibrium I Prevents change from being short lived Kotter s 8 step plan lists common mistakes made when trying to implement change 0 Establish a sense of urgency I Examine market for untapped opportunities convince 75 of managers that status quo ins more dangerous than the unknown Form a guiding coalition I Shared commitment and enough power to lead the change effort 0 Create a vision I Develop strategies for realizing that vision 0 Communicate a vision I Use every vehicle possible Empower others to act on a vision I Remove or alter systems that undermine the vision encourage risk taking 0 Plan and create I Define visible performance improvements reward employees that contribute O Consolidate improvements and produce more change I Used increased credibility from early wins create new products and change agents 0 Institutionalize new approaches in the culture I Connections between new behaviors and corporate success 0 0 Action research is actionbased changed on the results from a systematic collection of data 0 Five steps diagnosis analysis feedback action and evaluation Organizational development is a collection of planned change interventions that seek to improve organizational effectiveness and employee wellbeing Sensitivity training is when groups seek to change behavior through unstructured group interaction 0 Intergroup development is an effort to change attitudes perceptions and stereotypes that groups have of each other 0 Appreciative inquiry seeks to identify the unique qualities and special strengths of an organization 0 Discovery determine strengths 0 Dreaming speculate possible futures 0 Design common vision 0 Destiny how to fulfill dream 0 Single loop learning is the process of correcting errors using past routines and present policies 0 Double loop learning is the process of correcting errors by modifying the organization s objectives policies and standard routines Martha Rinaldi 0 Forced to choose between staying at Potomac Waters and asked to be reassigned to a different division or accept previous offer to Deep Dive Pizza 0 Deep Dive has a higher salary offer 0 Potomac Waters is bigger and would get better training I Employees seemed happy 0 Tense relations with Jamie Vaughan and Natalie Follet 0 Quiet office 0 Vaughan and Follet not prepared on the first day 0 Short emails 0 Rumored to be having an affair Diversity on the Menu 0 Rachelle Hood serves as chief of diversity at Denny s 0 African Americans in San Jose filed a discrimination suit for injustice against the company in 1991 O Settled lawsuits in 1994 for 54 million 0 Today women and minorities make up half of the board and 45 of the senior management team 0 Second on Fortune s 50 best companies for minorities 0 Company has yet to figure out how this commitment can help increase profits 0 Made all employees attend classes targeted advertising to minorities gave business to minority ownedcompanies and gave 13 million to civil rights causes Chapter 16 0 Organizational culture is a system of shared meaning held by members that distinguishes the organization 0 Common vision for all employees 0 Innovation and risk taking attention to detail outcome orientation people orientation team orientation aggressiveness and stability 0 Organizations with strong cultures outperform those with weak cultures 0 Culture is uniform if individuals from different backgrounds describe the culture in similar terms 0 Dominant culture is the core values of the majority of the members 0 Strong culture is intensely held and widely shared 0 Subcultures are minicultures within the organization I Department design or geographical separation 0 Ethical work climate is the shared concept of right or wrong behavior in the workplace 0 Culture can be an asset or a liability O Institutionalization is when organization takes on a life of its own and is valued for itself and not the goods or services that it produces 0 Creation of culture 0 Founders hire and keep employees that think and feel the same way they do 0 Socialize employees into their way of thinking 0 Employees are encouraged to identify with and internalize the owner s beliefs I The culture is maintained by giving employees a similar set of experiences 0 Selecting the right individuals 0 Top management s treatment of employees 0 Socialization adapts employees to culture I Prearrival 0 Learning before employee joins organization I Encounter I New employees see what organization is really like I Metamorphosis 0 Employee changes and adjusts to the job and organization Changing Culture at Pizza Hut 0 Pizza Hut KFC and Taco Bell were originally part of the PepsiCo restaurant division 0 Not a natural fit 0 Spun off into Yum Brands and had to create a new culture 0 Created a set of shared values to define a culture across the three brands made a coaching management culture and measured effectiveness and commitment of senior management to values with Founder s Survey I Wrote a set of Founding Truths that stated what the company stood for and differentiated it from PepsiCo and also values in How We Work Together 0 Made local activities the center of the action 0 Centered activities on restaurant managers 0 Signed managers up as founders 0 Headquarters was renamed Restaurant Support Center 0 Managers were called coaches and spent a lot of time in restaurants I EAR Exploring by observing asking and listening Analyze by finding facts pattern and root cause Respond by teaching new skills providing feedback and offering support 0 Bad performance action plan 0 Awards were given out by top management 0 Floppy chicken and big cheese awards I Numbered and personally inscribed 0 Growth rose by 19 operating profits doubled and margins improved
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