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Tampereen ttkniJUnon horkeakoulu 1540540923

154 054

II

I

ESSENTIALS OF ORGANIZATIONAL BEHAVIOR Seventh Edition

Stephen P. Robbins San Diego State University

Pt

*

rriMUice Hall Upper Saddle River. New Jersey 074S8

r

PulJicjliun IJai I. ihrary «cRri«U (sfiit^raniiiCKinal p cm. lndiHlc» hihlioffraphicdl relvrcRcc^ anij index ISBN0-U.U«?0y-4 < IqniniarNinaf be ham v. f. Itriidc-'l

2001055446

Edrwjn D^vid Sluwr Senior Mifupng Editor (Fdiforial):JcTuutductian Fditor Ken jvan Froduciiori \«sistant: Oianne l aicune PermisMOtv. C uorrfinitor: Suzanne Grapfv Associate Direcior. Maaufiicturing: Vincent Scvlta Produt'tiuR Manager: V(U Alamifjtlunng Buyer Dune Feirnno Design Manager: Par Smvrhe .An Diiector: Janet Slu'^ ik huerior Design? Jnnei .SlimiL Coeer VUOanid Cover Uhjscratioa: Jvrry MeDsnicl [Dustralor (Interior): Matrix An ber.'ices Maiugcr, Prim ProdoetioQ: <^hri$c>* Mahon Cmposirion: I (i ' (XTS Infonnaoon Sendees^ Inc. FnO^Serrice Project Maa^emeat: lerri O’Prrt, VG / CCS hirnrmetion Serriccs. Inc pRMer/BiiMUr: (. looncr (>rdru and asknow Icdgmccts borrowed from other source»and reprculuucd, with permissian. in this t«AiixM>k ap^xrar un appropriate pages withis text O^yrisht 200A. 2000.1997,1994,1992 by Pcanoa Educatioo. hic.. Upper Saddle Hirer. 07458. Alt rights reserswl. Printed in the L'nioed States of .Amerrca. This pubUraOcn « |*t<ected b>’ Cnpynghi and pertnissirm should I* obwined Iron the j»ublidicr prior To an> prohibited repruduuktfi. siongv in a retrieval s\-$tem, or cransnus.sion in any fortn or by any mean*, pbonxopying. renmlmg, oridtewUe. for ufunnaoun regarding perniissiijid*). wnre to: Sights and Permn^wns Dq^iticju. PcanoA EdiimtNm L'fD. Pearsoa EducaUun .Australia PTT Linuted Pearsno Lducanim Smppirc. Pte. Ltd, PcATwjn Educteinn N'««h .Asia Lcd^arvm FAmexx). Canada. UdPewrwjc t4iiu-4(*hin de MeiRx>. $.A- de C.V. Fcarwxi h.Jucafvo-Jjpaa Pearvxi FducAita«. Mabym, Pte. Ltd.

Hreiuice Hall


This book is dedicated to my friends and colleagues in The Organizational Behavior Teaching Society who, through their teaching research and c&mmitment to the learning process, have significantly improved the ability of students to understand and apply OB concepts.

Brief Contents Preface n

Part I PROLOGUE 1 I. Introduction to Organizational Behavior 1

Part II

THE INDIVIDUAL IN THE ORGANIZATION 14 Foundations of Individual Behavior 14

*

Personality' and Emotions 30 4.

Basic Motivarinn Concepts 42 Modvarion: From Concepts to Applications JS

6.

Individual Decision Making 69

Part III GROUPS IN THE ORGANIZATION 84 r**- 00 o*

Foundaoons of (Jroup Behavior 84 Understanding Work learns 100 Communication 115

10. Leadership and Creating Trust 130 IL Power and Politics 150 12.

Condict and Neeonation 163

Part IV THE ORGANIZATION SYSTEM 178 13.

Foundations of Or^tanization Structure 17 8

14.

Technology and Work Design 196

15.

Human Resource Policies and Practices 215

16.

Organizadonal Culture 230

17.

Oipmizatiunal (Change and Development 248

Contents Pre^t'e xvij

Part I PROLOGUE 1 1. Introduction to Organizational Behavior 1

Dejiuitfov 2 Cmtributinv DwcwZiwey Goals of Organizational Behavior 5 Explanation S’ Pfvdictioft > Contrrt! S Challenges and Opportunities for OB: A Managerial Perspective tntpfwifig (^liatUy and Productivity 6 Intfncrcifig PeopZr Skills 7 .Wji waging Hbrjtftwxr Diversity 7 IQ Clobaliautiatf j £y/ipoa’frrrtg People 9 StiMulatiug /iiwavtf/ion and Cban^ 9 Coping with '‘‘Tcmporaiiness^* 10 Helping Euiployees Balance Rbrk/Lifi Can/licts JO Declining Employee l oyalty 12 Ifnprwing Ethical Behind or 13 The Plan of * This Bewk 12

Part II THE INDIVIDUAL IN THE ORGANIZATION 14 2.

Foundations of Individual Behavior 14 Values 14 Types of I tf^rer I $ l fjiyatty, and Ethical Behmar 17 WM f7vJU*wn 17

* )*

The Field of Organizational Behavior 2

CoMerrts Atunides 19 19 'Redwing Tb^ AttiuMBebavior

U.

PcrcepQOn 23 Fzr4^rs/rryZwe»<^«’«

. -la

Attriblift on Theory 2i Sbortath ^o yadgittg Otberr 23 Learning 26 Implicirions for Managers 21

Pereonality and Emotions 30 Personality 30 The iViyerfi-Briggx Type InJkator 3t The Big-Five Model 31 Other Key Pemnality Attributes 32 Pcryotutfity tstid Nnifo/?/?/ Culrurt! 33 MitU'hing PerstirM lilies and Jobs 34 ErnoDons 36 HTrat Are

56

ItDisplayed Ef»<stwti$ 3T The Six Universal Emotions 38 Gender a nd Emotions 3 8 Emotions and National Uulture 39 39

0B for Managers

41

4. Basic Motivation Concepts 42 A^Tiat Is Motiv’ation? 45 Earl y Theori es of Mod vaiion 43 Hierarchy frf'Needs Theory 43 Theory X and Theory K 45 Tisj0‘Factor t heory 45 Contemporary

The

MfC/e/iiw/V

ori

es

of

Theory

Modvadon Needs

47 41

Goal-Setting Tbeoty 48 Reinforermem Theory 49 F^fuity Tbeoiy 50 Expeaancy ’Theory 52 IXw’t

Forget:

Moovadon

frepkeatfons for Xlanagers 54

Thtsoncs

Arc

Culture-Bound!

53

Ml *

Contents Motivation: From Concepts tn Apphcadon.s 55 jMa nagemcn l by ("Jhiec Oves 5 5

J inkhig XIRO anti Gt/al-Setting Tbcoiy 37 MBO if/ Pratdct 57 Behavior McMdificadon 5 H iiljat h OS 5^ Li//i:it/g OS Mod /ttid Reinfomintut OS Mi/d in Practice 60 En^loyec RecognicoD Programs 60 Wjb/7Z Are C-mpioyre Recognition Progratnd 60 Linking Recognition Programs and Rern/arctjaent Theory 61 JE’wp/oj*ee /?e<w^?jr7/urt Programf in Pritctice 61 Einf^oyee Involvcm e n t Programs 61 WTwf/ If Empioyee lnvf>/vetn.enrl 61 fRampies of Ewpioyee Z«voZve*tte/tr Programs 62 Linking Emplfjyee Involvement Pr/tgra/nx anti Mativati/w Theories 63 Employee Involvement Prograntv in Praeiice 6J Variable-Pay Programs 64 HTwr.-fre Idrtable-Pay Progta/ns^ 64 Linking Variable-Pay Programs and Expectancy Theory 63 ^ d/^iahle^Pt^ ZVwgj'/wnr bi Practice 66 Slall-Based Pay Plans 66 11 kat ^4 FY 5jbfZZ-Raje
6. UKltvidiul Decision Making 69 How Should Decisions Be Made? 70 Tbe Ratinaaf DftifioN-.Makfng Prwcft ^0 Improving Creativity in Dtdtian Makhfg 71 HUM Deciskms .Actually Made in Oi^anizations 73 SosTMa^J

73

p.

74 7$

60

COMMIU OneloptHK.iliemativtt 7-5 Mukif/g CfMiicts 76 Itiffn/duftf

"77

Ov^auizationul Constrabits 80 da ftm ul Echics in Decision Making 82 Lnp I icfl ri ons for xVlana gers 8 3

GROUPS IN THE ORGANIZATION B4

•s i

Fart

Foundarions of Group Behavior 84

f.

D e fi ning a n (1 Cl xssi lyin g Gruup'^ H4 Basic Group Concepts 85 Roles 83 S7 Cohesiveness 90 Sfze 90 CofnlMsition 92 uS'mmr 93 Group Decision Making 94 The Individuiti I 'ersiis the Qrryup 94 Groupthink and Grouffsbifi 95 Selecting the Best Gre^up Dceision-Makuig Tecbniqtie 97 Implications for Managers 98

8,

Understanding Work Teams 100 Why Have Teams Become So Fc^lar? 101 Teams Versus Groups: VVTiafs ±c Difference? 10 f lypes of Teams i 02 Problem-Solving Teasns 102 Self-Managed iUrk Teams 103 Cross-Fafit'tional lemts 104 nrtual Teams 104 Creating Effeedve'(^ms 105 iVork Design i03 Cosnposil/on 106 Conrm /08 /’nwfw 109 Turning Individuak into Team PJayere 110 77>r CIMHenge fiO Shaping Team Players 111 ImpUcatioos for Managers 112

Contents

9.

(>>mnwnicarion 113 Funcnonx of <'ommunication 114 I'he (3oininunication Process 114 Piremon of Communicahon /^wmi'ord L’/fwani LftMa/ 126 Interpersonal Communicadon 116 f3ral Cow wunieation 116 I Written Conrmunication /I7 .VtftfivxAtf/ Cow w ATtff ftfritf n 127 Chganizddonal Connniinicadon 119 Forwa/ S/»ali- Gro up Networks 119 The Grapet^ine 229 CoMpuier-4ideJ CowsnuHUMtion 222 Barriers to Effective Connnunicaiiun 123 k f///err123 Selective PtTcrpr/ow 123

I

2nfortnation Cherioad 123 Gma^ Stylef 22} Emotions 124 Language 224 Cro55-Cul rural Communicadon 124 Or//urai Context 22} . I O///wrtf/ Guide 126 Krhio; in CorntnunicadoA: k h Wrong u> 'lUl a Lie? 126 Ini p be a dons for .Managers 126

10.

Leadership and Creating Trust 130 HTiat Is I -eadership? 1 JO Trail 'rheories IJ1 Behavioral Theories 131 Ohio State Stvdieif 122 I'nhet xity ofS

Studiee 2 }3

The Managerial Grid 2)3 Sunttnary af Bel>aviaral Tl^eanta 133 (xiodngmc)* theories 134 ,>

21>e Hedier Model 235

it |r K

7lr»ay /J7 Tlkwr H'! iMdar-Paniei^tion Model 119

Contents A.. „„,! Fr,«zr/r. iyifft.-^>>>iyi I i9 Th.rr Theories Updated; Charismatic Leadership \1sivnary Leadership 142 Team Leadership 142 Is Leadership Always Relevant? 143 Trust and Lcadcrslup 144 J I’h/it fx Trust ? 44 Tmsl a nd l^/tdership 146 Tln‘u Typcx QfTt'uxt 146 tiow Do LfW BuM Trustf" 147 linphcations for Managers 148

11.

Power and Politics 150 A Definition of Power 150 Contrasting Leadership and Power 151 Bases of Power 152 Cor/rh’C Pf»wer lf2 Rrwurd Power ! 55 Leptimute Power 15$ I'^perrPower J5J Referent Power 153 Dependency: The Key to Power 154 TAr Genera/ DepenJenty Poxtnlate 154 fnat Creates Dependetfcy? F 54 P(>wer in Groups: Coalitions 155 Power and Sexual Harassment 156 Politics: Power in Andon 157 A De/?«j7fort of Political Behat ittr 157 The hnportaace of a Political Perspective 15S /'fff/orr Contributing to Political Behavior 15S Itnpre/xion Management 160 The Ethics of Behaving Politically 161 Implications for Managers 162

12.

Conflict and Negotiation 163 A Definition of Confltcr 163 Transitions in nflict Thought 164 1 be Traditional) ’/rtr ) 64 The Hutnan Retittions Mew 165 The IntcTMiontit Flrti’ /65

contents niffercnuaang

Functional

frrwn

Dysfunctkindl

rhe < xmOki Pn^e*^ 166 S7rtX<* Potent/af Oppvsrtio/f 166 Sfuge Ih ('of^g/tinn {1701 Penwfaliztitrofi Sfagt /11: B^baviw" t6X /I ? l/ttteomes J 69

(tiing Stratcgfcf 171 Issftff in N'egvtifltion 17/ Im pl ications for Managers 176

Part IV THE ORGANIZATION SYSTEM 178 13.

Foundations of Organization Structure 178 What Is Organizanon Structure? 178 5/>efZ4ZZt4jrion 179 Departni mtaii z^fic n 181 Chain of Caffttnn nd 182 Span 0f Ccitnvi 18/ Centralizalion and Decentraiisatitw 184 Farma/izatron 184 Common Organizatimul Designs 185 TAr Simp/e Structure 18S The Bureauciaiy 2^6 Tfre AfoMv Structure J 87 New Options 188 The Team Structure 188 '/ 'be I'lrtual O/^z/isutiow 189 The Boundaryltfs Or^n/zatioft 290 Why Do Structures Diflfer? 191 Strategy 192 Ofganization Size 192 lecbnalogy 192 Environmental Uncertainty 19/ Oi^aniaatioQ Srniecurc and Employee Behavior 193 Imp]icahi>n.s for Managers 195

Technology and Work Design 196 Technolog)’ in the W'brkplace 196 f ff/trmfiOMi Imprvtentent /bwwrer 297 /Vwm Krewjip»rerfi»g 198 Maa Cttfromiwr/M 199

Ckinflicts

165

Organiratirmal Behavior in an E-WorW 200 r{ V nn EAhganisaHanl 200 Seleited Impluations jar Individual bebnxior 201 Seketed ImpUattiims for Group behavior 203 iVill E-Or^s Kedefine Interpersonal Relationsbipsl 20J Work Design 206 task Churucteristic Tbeurics 206 Khnt Rcdcsigyi 209 Popular ftbrk Sebeduie OptfOfts 211 Implications for Managers 213

Human Resource Policies and Practices 21$ Employee Sd ctuon 216 216

d

tlnrten 2)

0 rfnance-Sbnniatian Tenfi 211 Training Programs 218 ryfk*s 0f Tmitiing 2lX Training Xlef/Mcls 220 Performance Appraisal 220 Pn/ti

ff. Ipprnist/l and MetwatiM 221

Wbaf Du H? Evahiffte? 221 Sbou/d Do the Evafuarin^? 222 Perfornmnee Appraisa/Mcibodr 223 /or Iftrfn’ovrng Pr^yonwrtce Appraisab 22S Don'f Eorgef Performance Feedback! 226 About leant Per/wnann Appraisabi' 227 rnyuz7«///rr e Appraisal in a Global Context 223 Implications for Managers 228

Organizational (Culture 230 Defining O^aniutinnat Culture 2 J1 Is a Desaipme Term 231 Do Or^nnizations Haue Cnifmn (^dotres! 231 Strong J

CW/wrer 2^ ?

Whai r>oes Culnire Do? 2J J C/r//wrr’f Innaions 23} Ciilliitv .3^ a Liability 234 Creating and Sustaining Culture 234 How a Culture ffeffim 234 •• (-"inut Alive 233 ^mututy; Huw Cuhtuyt t-urwt 23X

Gmtents

/! fjyw Employees Leam Culture 239 5/ww 239 Rintab 240 iVI/rtfriaJ Symbob 240 241 M^aging Cultuial Change 241 Creating an Ethical Organiiational Culture 242 Spiriniaiity and Organizational Culture 243 H 'br/t h SpbitJtality? 243 H'hy Spn-itr/aiify C'frtftwte'nAtZfj

24 ? Qf

n

Spbituai

Organi&abfftt

(Jritieimf af^phitnahty 24 f Organ iiad on a i Culni re vc rs U5 Na ti onal Culture 246 Organizational Culture and the Paradox of Diversity 246 Implications for Managers 247 17. Organizational Change and Development 248 Forces lor (Change 248 Managing Planned Change 250 Two V^ews of Change 251 The •‘f’.kZ/M

Simik 2SI

The '^U’bfte- Il
the

Tko

Simi/e 2 32 I

reur

in

Penperrtve

2^2

Resistance to Change 2 53 Re.ort/twrf 255 Ch ganiza tutnitl R rnjfante 2 f4 CHrtfow/wg Pe!fi.rtanee ro CA/T»ge 255 Managing Change Through Organizational Development 257 5‘ear/fjrn^ 7i'zrf/tr>tg 231 Snrcey

Feedback

Prwrxr Canxtdtntion 25^ Teayn Buikting 239 infergrvitp Devefapment 260 Contemporaiy Issues tn Otganizadrinal Change 260 Hbrk .y^resf 26) S'tvMir/tf/rAg fonoiwWoj? 262 Knawtedge MafMgewfKt 263 hnplkations for Managers 264 Epdoguc 266 EB^UMA 267 rTn^u (Indea/CiliMery) 285

25S

244

Preface Ihis h<x>k w as created as an altemaiive to the 600- or ?00-page comprehensive textIwKik

id

urganizjnunal

bcharior

(OB).

It

attempt*

to

prwrie

balanced

coverage


all

the key dements comprising the discipline of OB, in a style diat readers will find both infonnarive and interesnng. Tm pleased to say that this text hm achieved a wide fidlowing in shrirf panion

volume

LXIUCSCS

w-ith

and executive programs and in uaditional courses as a com-

cxpcriciiiial.

currently

used

at

more

Canada.

Lann

America,

than

skill

400

Europe.

development,

colleges

Aasmlia,

and and

case,

and

universities Asia.

Ifs

readings in

the

also

books,

Uni

been

led

h

is

States,

translated

into

Bahasa Indonesian, Chinese, Dutch. JajiHiwse. Polish, and Spanish.

RETAINED FROM niE PREVIOUS EDI TION WTiat do people like about this book? Surveys of users have found general agreement about rhe fcdlowing features. Needles:* to say, they vc all been retained in this edition. Lewgn^.

Since

300

inception pages.

in

1984,

I've

tried

tell

me

this

Users

diUgeiidy length

to

keep this hook to

altws

them co n*;] de raid

k J

approximately

in

flexibility in assigning supporting inatenak and projects. ■

naianced ropk

enrrag^.

.Although

short

in

length,

diis

hook

continues to

provide

lialanccd ccnemge of all the key’ concepts in OB. This includes not only traditional

topics

curang-edge

such

issues

as such

personality', as

emotions,

niotivadon. mist,

and

work-life

leadership; habnee,

but

also

workplace

spiri-

tuality'. know ledge management, and e -organizations. This book is trequcurly singled nut fijr the fluid writing style and extensive use <4’ examples. Users regularly tell me that they* find this book “a in versarional." 'iincrtsring." ''snidenc-fricndhC and 'S'crv clear and uiulcrstandahle.'’ ■ rraouaim. This book has never been solely about theorv. It’s about ther •• ory to better explain and predict the behavior of people

in

oiganixauons.

In

each edition of this book, I have fixnised on making sure that readers sec the Part of the rAr*ason I’ve been able to keep this book

.'(Asfaa of kngth

is

that

it

doesn't

tcaching/lcaming

aids.

OB

allowing

knowled^.

include

'i*his

book

review

quesuons,

continues

instructors

the

to

caM?s.

provide

manmufn

shon

exercises,

only

flexibility

the in

B

link between OB theories, research, and implications f<»r practice. or similar

Itasac core

of

design inff and

shaping their cuunc. ^ ghihc^rstfrrott, dftmriy, of

gtobabzabon

and

cnis-cahural

As shown in Exhibit .A, die topics differences,

divenity,

and

ethics

dtfuochouc thu biKiL Rather than presented in sund-akxie cbapcers» thoe

are

disciRaed

nvW Preface EaMbft A Integrative Topics (with specific page references)

CMpler

Diversity

dobalkalion and Cross-Cultural PIfferenew

5, 11-12

3. 7-8,10-11

4. 8-9

16-17, 28

C J

CM m <

17-19 38 33-34. 39 53-54

62

in lA

61,62-63

79-80, 82

76

81

92

92, 98-99

107

110, 111

126

123-24

118, 124-26 10

139-41

145

156-57

161-62

198

203

11 169. 175-76

12 13 14 15

242-43

246-47

246

16

219-20

219

216, 228

262

249

17

249, 250,263

topics have been w oven into the context of relevant issues. Users tell me they find

this

intcgraUve

approach

makes

these

topics

more

hiUy

part

of

OB

and

reiiitbrccs ihvir iniportanvc. ■

WTiilc rhis book may be short in length, it’s not shon

on

‘iiipplemcnis.

bi>di

faculn’

and

Test

and Item

Pile;

Resource

instructor’s

manual,

whidi

wmcs

i»tudencs.

Iiwtrucror's

Library,

It

a

This

provides

complete,

with

a

Web

including

PowerPoint students

a

includes

dedicated

CD'ROM. and

with

support

comprehensive site

die

siuks;

high-lech

and

insights

package

instructor^

manual

(www.prenhall.coiu/mbbins); compiiterirxd rhe into

lest

Robbins ibcir

skills,

for

Item

an File,

SchkAsscssment abilities,

and

mterese. These suppleraenis are described in detail later in this Preface.

NEW TO THE SEVENTH EDITION •n».s seventh ediu«3ii ha.s been updated in tcraw of research, examples, and topic coverage. For instance, you’ll find new inarerial in rftis edioun onOiyanizanunal ohzensliip behavior (Chapters 1 and2> Work-life lulancc (Chapter 1)

Frtface • Ajnabiie's model ofrreaUviti in decision making (Chapter 6) Group demography (Chapter 7) leam-cftecuvencss model (Chapter 8> Low- and high-context cultures (Chapter 9) Leader-member exchange theory (Chapter 10) OB and the e-organization (Chapter 14) Mass ctistomization (C.hapter 14) Flextime and telecommuting (Chapter 14) Employee selection and training (Chapter IS) Workplace spirinialiiy (Chapter 16) Knowledge management (Chapter 17)

SLTPLEMEXTS PACKXGE cf Organizatiffnat Bt^h/triar continues to be supported with an exwisive suppleinenx package for Iwith students and facuic)'.

For tb^ Student ■

The this your

updated text

as

and a

skills,

revised

no-cost

abilities,

Robbins

option.

and

IT

ScIf-AssesOTent

contains

interests.

Illis

50

is

exercises

available

Library

is

that

provide

in

both

avaikhle

with

insights

print

and

into

CD-ROM

formats as well as online. ■

Companion the

industT)'

professors ing

Wtb

standard

and

new-

site—The

their

Companion

for

companion

students,

conununication

Web

it

Web

one-click

'nrjfTS.prtnhallxam/robbms

sices.

a

provides

ttxils,

site

Designed

customized navigation

by

course of

professors

W’eb

chapter

site,

i.s for

indtid-

content,

and

other valuable resources. For the Pnfesstrr



Instnictor’i includes que^itions.

Manual learning and

with

lest

obfeenres,

skill

exercises;

Item

chapter the

File—The outlines,

Test

Item

instructor’s chapter

File

manual

summanes,

provides

portion discussion

truc/falsc,

muiuple-

cbcHce. and essay questions. •

<>>mpani<>n

Web

site—The

bimunthly

news

articles

qucsiions

and

group

integrated exercises,

Companion into oobne

site

the

text

deliver)-

provides with of

professors

accompanying PowerPoint

with

disi-ujision slides

and

mstructorV material, and sample 5)41 abi and teaching suggestions posted on a conununit)- chat nxwn. O insouctur's

CD-ROM—'Fhe Instructors Resource CD-ROM contBiBs the computerized Test Item File, PowerPr's nanual. A re\’iscd. eiwnprehcnsive package of text outlines

A

Preface .

PowerPoint Fkctronic Tranx^ in-class letturcA pjle. Test Manager » a -Us- M=‘n»g‘-T ^^cir c
and figures corresponding in the text, th p«n,nc-ies are designed to aid the Cnntainmgall ol the que^uons comprehenMve su.re «.f nols ing

and

disinbunng

through

traditional

methods

or

by

an

on

inc

tvcry

via

in

the

Local Area Network (l>AN) servers.

\1dc<»^important

topics

in

organizational

behavior

afc

illustrated

accompanvin? videos Real conip-auics are used to Inflight organizational avior pravriccs diat work!

ACKNOWI EDGAIENI S A

number

thanks

of

are

gestions: Foote,

people

pbyed

extended

Professor Middle

University:

Dr.

to

critical

the

Claudia

following Harris,

Tennessee Jenna

roles

State

in

reviewers

North

for

Carolina

University;

Lundberg,

helping

Ithaca

Jeffrey College;

Co

produce

their

this

helpful

Central J.

comments

Universit}*; Sheruood,

Dr.

revision.

Carol

f.

Special

and

Dr.

sug-

David

Washington Young.

A. State

Wittenberg

University; Dr. zXngeline W. .McArthur, Vnivcrsiw ofWsconsin-Parkside. At Olsen,

Prcnticc-Hall,

Kim

overseeing

Marsden. rhe

I

want

Shannon

production

and

to

thank

.Moore. marketing

Judy of

David

Shafer.

Leale,

Keri

this

book.

Jennifer

Jean, And,

and finally,

Glennon, Janet I

Slowhk

want

my wife, Laura, for her love and stif^ort

STEPHEN P. RORRISS

A

Melanie

to

for ihank

PART i: Prologue

CHAPTER I ________________________________

Introduction to Organizational Behavior After reading this chapter, you should be able to 1.

Define organizational behavior (OB)

2.

Identify the primary behavioral disciplines contributing to OB

3.

Describe tfie three goals of OB

4.

List the major challenges and opportunities for managers to use OB concepts

5.

Discuss why workforce diversity has became an importanl Issue in management

6.

Explain how managers and organizations are responding to the problem of employee ethical dilemmas

7.

Discuss how a knowledge of 03 can help managers stimulate organizational innovation and change

W

describe

hen I ask managers rn describe rheir most frequent ur troublesome problems, rhe answers I ger rend to exhibir a common thenw. The managers TTK«T often peofi/e

employees'

lack

problems. of

'Phey

moGvanon,

lalk

about

conflicts

their

bosses'

between

poor

team

rommumcadun

members,

overcoming

employee reswtance to a cnnipany reorganizanon. and similar concerns. Because a managers job is inherently one of working with and through other people—lios&es. peers, and employees—good “people skills” are a valuable, even neceamy; a»wt m solving these problems. ’ I’bis hook has been wrincn to help managers, Ik and ptxmoal managers, develop these people skills.

sUIU,

THE FIELD OF ORGANlZATIONzXL BEHAVIOR iTie shidv of’|>enptt' at work is gtncrally referred to as the study of or^nizatinnat behavior. Let’s begin, then, by defining the term

Mz/vmr and briefly

reviewing its origins. Definition OfganiMcional behavior (OB) is the systematic study of the actions and attitudes that people exhibit within organizations. L«t\ liwk ai die key parts of this defitiinon. Each phenomena. he

“didn’t

when

the

stop

us

us

For

instance,

take from

to

clusions-

tain

offering

with

uses

inrinnon.

friend

catches

ins/*

our

die

field

of

not

unuiuve

a

cold

really

OB—its

we’re

why

The the

he

quick that

of

scientific is

conclusions—is

remind

cold,

in

ro

happens

seeks

course,

trying

to

“it

caught

interpreted of

in

ol’OB

use

objective, and

or

licid

and

theories

feelings."

properly,”

is,

'I‘he

“gut and

sure

measured

effect.

our

dress

that

and

and

or

malysis.

study:

conrfilion.s cause

“doesn’t

W’eVe

systematic

attribute

So

vi

a

cLingc."

controlled

manner

regularly

his

seasons

eyplanadons under

<jf

bur

to

explain

him

that

every'

year

that

doesn’t

replace

intuitive

evidence

gathered

a

reasonably

rigorous

co

draw

based

on

accurate

a

large

con-

number

of systeinaticaliv designed research studies. What not

/ill

does

OB

actions

important

and

atritudes.

determinanTs

turnover.

The

with

quantity-

die

importance and

turnover—particularly terms In

systematically

oi

addition,

high

Three

employee

of

productiriry

quality

of

itk

hard

rates

of

for

high

of

(or

behaviors)

behavior

have

performance: i.<:

output

an

Actions

types

of

excessively^

absence,

study?

ohvious.

that

each

employee

turnover

a

fourth

to

be

pndui'tnuty, Managers

clearly

adversely

affect

increase

costs

if

and

proved

lie

are

But

tend

she

co

be and

concerned

absence

and

output.

Tn

this

or

But

to

nhenieehw,

generates.

productive

attitudes!

historically

employee

rates—can

employee

and

isn’t

place

at

work.

less

expe-

rienced people in jobs. More

recently,

found

hj

zenship

is

ments

butthat

Examples team,

be

imponain

discredonaty of

volunteering

employee for

determining

behavior

nevertheless good

in

extra

type

th

ar

is

employee not

pan

promotes

the

citizenship

behavior

job

activities,

of

performance.

of

an

effective

Organizational

employee’s

formal

fiincrioning

of

the

helping

others

on

include

avoiding

behavior—rif/zr?«A;p—has

unnecessary’

conflicts,

job

an attitude. Managers :^hfnild he concerned with their employees’ job .VAtisfaction for three reasons. First, there may Tie a link lierween satisfaction and productivity. Second, satisfaction appears to lie negatively related to absenteeism and nimover. Finally, it managers have a humjinistjc rciponsibility to provide their employees with jobs chat are challenging. inTrinsically rewarding, and satisfying. The last part of our definition of OB that needs elaboration is the term Psy chology’ and sociology arc wclt-knoun disciplines that study liehanor, ut they do not concentrate solely on work-related issues, in contrast. OB is spevifiy ccmcemed with work*-re fated behavior-—and that takes place in urganizations. An ^■^•wzatKMi is a consciously coordinated social unit, composed of two or mivc peo* relatively conunucHK basis to achieve a aiinnion gxMl or set of s. r s eharactetized by fi>nnal rol«» diar define and shape the liehavior of its menw

require-

organixatim. one’s and

constructive statements aNjut one’s work group and the overall organization. Organizational behavior is also concerned with employee job

citi-

xrhich is

work making

IntrotkM'rinn xo Organizational Behavior

ben. So OB t n«»m passes thv hciwvinr of people in such diverse organizations as man

IQ

nbeiuring and sen’ite finits; sehoeds; hospjuils; churches; militaiv uinw; chantabl orgamzjnnns; locdli suic. And fcdc’ral govcmn*i€iH ui^cncie*

Contributing Discipline's Orginizarionjil

behavior

contrihuQuns

from

social

sociolng\\

is

applied

several

behavioral

behavioral

psychology,

science

disciplines.

anthropology,

and,

The

and

as

a

result,

predominant

political

is

areas

science.

built

are

As

qon

psycho)-

you’ll

learn,

ps>’chob»g>'*s a mtn Ini hot IS have been mainly at the individual nr micro level of analysis whereas the latter disciplines have contributed to our unde J's landing of macro concepts—group

processes

contributions

made

PsychoJogv

change

selves

with

the

fienonalit)'

is

tlieoriscs,

1-1

provides

field

of

smdy:

iliat

humans

and

atrempring

continue

Exhibit

distinct science

of

anti

and

a the

behavior

studying

contributed

organization.

toward

Psychology

times have

and

to

counseling

to

add

seeks other

to

to

the

iwy

chologists,

psychologists

instance,

and,

of

of

OB

most

are

and

some-

concern

behavior.

them-

I'hosc

learning

important,

the

Iwhavior.

explain,

Psychologisls

hidivithial

knowledge

overview

orgaiiuaUoiul

measure,

animals.

understand

an

who

theorists^

industrial

and

oi^nizational psj'chologists. Early Ictns


could

industrial frtigue,

impede

iKjredoin.

efficient

and

any

work

other

concerned

factor

perfrirmancc.

relevant

/More

themselves

with

M'orking

condirions

to

recently,

their

probthat

contributions

have

been expanded to include learning, perception, personality; workforce diversity, emodoos, trail)mg. leadership effectiveness, needs and modvational forces, job sadsftctinn,

decision-making

processes,

perforrnance

appraisals,

attitude

nicasurcmcjit,

cmployee-seleeriun techniques, job design, and work stress. Socio

Jog)*

social

sv'stcni

relation

to

Whereas in

their

psychologists

which fellow

individuals human

focus fill

on

their

beings.

the

roles;

individual, that

Sociologisus

is,

have

sociologists

study

sociology studies made

their

the

people

greatest

in

comribn-

tioD to OB through their srudv of group behatnnr in organizations, {wr lieu lady formal and

complex

organizations.

stKiologists formal

include

Areas

group

organization

within

OB

dtnamics,

design

and

structure,

theory

that

have

of

received

work

teams,

bureaucracy;

valuable

input

from

organizational

culture,

communications,

status,

power, conflict, and work/life balance. Social txpes

Ps)ch<jlogv from

another.

psychology

One

chologists

Social

has

of

the

!>een

It

areas

dyaugr—how

measuring,

understanding, group

scxholog);

major

In

which

is

and

acceptance. in

psycholog)'

addinon,

social

aedvides

and can

an

focuses

receiving to

area

it have

changing.ittitudes, sadsfo

on

the

considerable

implement

psychologists

within

individual

and

pstxhology, influence

investigarion

how

made

to

and

jieople hy

reduce

significant

communicadon needs,

of

blending Micial

psyits

contributions

in

group

Aadwopulogy Anthropology' is the study of socieaes co lea m about human beings and char acovihe^. h includes their physical character, evuludonar)* history, geographic

ftu.

one

to

ptneesm.

.■H 16

on

barriers

patterns,

dtttrihucKin, gnxip rcladvtLvhipH, and cultural hisian* and practices. I’he work of whrnpologists on cultures and envinwunenC^ fir insunce, has helped us undentaod

con-

the

ways

decision-making

w

Chapter 1

Peril Pnilogve Toward an OB Discipline

EXHIBIT 1-1

Behavioral science

Output

Unit of analysis

Contribution Learning Motivation Personality Emotfons Training Individual decision maktng Leadership effecthrwiess job satisfaction Perfbrmarce appraisal Attitude measurement Job design Work stress

r

Indtvidutl

Group dynamics Work teams Communication Status Power Conflict

Study of Orgamzabona! Behavior

Formal organization theory OrganizacionaJ technology Organizational change Organizational culture

----- a

Behavioral change Attitude change Communication Group decision making Group processes Comparacive values Comparative atirtudes Cross-cultural analy»s

^Awhroptdoiy

Organizatio n system

Organizational culture Organizational environment -------------------- - ------------Conflict kitraorgamzational pofltics V Power

differences countries iHwal

in and

fundamental within

culture,

values,

organizations.

oi^anizarional

attitudes, Much

environments,

and of

behavior

our

and

current differences

between

people

understanding between

in of

national

differait organizaculwes

u the result of the work of anthropologists or those using their methocU. Pobrinl

Science

Although

frequentl)

overlooked,

die

vuntribuuons

soentHU arc ngnificani i<» the uiulerManding of behavior in upganujibore.. PvlitiMl

of

pulitml

Chapter t lniTixJacd<m u> Or^ntMttonal Pthjrhjt science i* the sciuiv of the behavior of inw people maiiipulau power for individual) selfinterest,

COALS Ol- ORGANIZATIONAL BEHAVIOR WTrn dues OB seek to do? We know it’s concenied with developing people skills, but Mdwt predscl) arc its goals? The goals ol t)B arc to help you to explain, fnrdicty and human liehavior.

Explanation When we

we

are

three are

seek

pursuing

goals, to

use

answers die

from

a

understand

this

a

we

something

that

could

to

wc

determine

have the

5

a

muse.

to

know

for

group

a

of

probably

I>egin

prevented.

explanation

a

because

must

want

been

or

It

perspective,

undoubtedly

if

individual

objective.

phenomenon,

resign,

but

an

explanation

understanding

reasons,

why

management

enipknres

many

to

it

by

w

occurs

least

after

to

in

Obviousiv,

if

die

a

order

to

employees

quit-rate

is

did

somednng,

important

explain

example,

hy.

high

the

trying

For

individuals

fact. it.

of

Yet,

We

can

number

of

determine

if

quit

inadequate

their pay

if

the we then

valued it

was

jobs

for

or

boring

jobs, managers often can take actions that will correct this situadun in the future. Prediction The

goal

will

result

how in

of

prediction

from

employees

a

predk'Qvc

certain

a

given

will

on

action.

respond

exercise.

behavioral

focuses

to

On

resjxjnscs

A

the to

future manager

the

of

of

a

change.

It

a

installanrm

basis

the

events.

seeks

small of

Of

couro,

determine

factory

new

knowledge

to

who

rolHidc

of

OB,

there

what

attempts

equipment the

arc

to

is

manager

various

outcomes

ways

assess

engaging

can

predict

to

imple-

ment a raakir change, so the manager is likely to assess employee responses to several change generate

inicrwnrions. the

least

In

this

degree

of

way,

the

cinplovee

manager

can

resistance

and

anticipate use

that

which

approaches

information

his or her decision.

Control ■nw nMM>t conuovcRijI gwl „ using OB knowledge to control bchuvior. When a ran I do to make Dave i>ur out more eflbn on his >ubr that manager is ecwtxmcd w ith cvnirol. is conirol eonuxn'ersial? Most of us Jive in democratic societies, which are upon the concept of personal freedom. Therefore, the idea that one person J

uthers to behave in a certain way, w hen the subject?* of that evn, unaware that their beha>ior is fteinft manipulated, has been viewed in

A7* J

J* wn*?dikal and repugnant. Thar OB offers technologies that hiciJjate

p<x>pJc IS a facx Uliether those technologies should be used in ui^anian ethkal question. >hu should he auw howvser, that the axttnd n frcyiendy icen h> inanagm a.> rhe mcm valuable contribution chat OB toward theif efl^tivvness on the job.

in

will

mahng

fUrt I Prdngue CI-IAIXKNGES AND OPPORTUNITIES FOR OB: A MANAGERIAL PERSPECTIVE

Tile

abilin'

ni^e

ir^^portant

ing

to

place

getting

expbin. tS

in

manager,.

^ere

competition

cope

with

A

organizations

older;

global

predict,

rapid

more

look

and

bchav.o.

a

few

of

claim.

For

instance,

more

women

employees

innovation,

orguni^^tion.l

at

this

and

requiring

change

control

quick

supports

are is

.nd

to

the

and

become

an.l

the

Ins

draniaac the

changes

typical

minorities

more

bonds

u.

flexible

of

never

loyalty

now

tak-

employee

die

and

that

been is

workplace; to

i«n,

histoncally

tc, held

many cnipJovee^? to their employers are being severed, ' use

In

OB

fronting

short

there

eontepu.

in

arc

a

this

managers

for

lot

of

section, which

challenges

we

ll

OB

and

rcvww

offers

oppommicies

some

of

the

solutions—or

ar

today

most

for

managers

critical

least

issues

some

to

con-

meaningful

insights toward solutions.

Improving Quality and Productivity Wood

Peter

manager plant

manages

at

rhe

makes

Oak

catalytic

recognized

that

weren’t

M’illing

wait

Creek

given

plant.'

total

the

to

Creek

has

for

S weeks

systein. by

for

than

40

more

for

delivery.

were

quality,

So

svith

led

a

team

of

overhaul

worked.

Within

more

than

percent,

quality

products

complete

work

wasteful 2

The

In

1997

and

tlicy

overhaul

cells,

of

cjnployccs

processes

years,

has

Syljtcinb.

manufacturers.

customized

The

25

manufacturing-systems

Automotive

automobile

Wocxl

hundreds

He’s

Delphi

wanted

replaced

and

business.

plant

increasingly

lines

for

coinpetitivc

Wisconsin,

customers

Assembly

increased

verj’

Creek,

resjmnsibility

production

a

converters

Wood

Oak

in

the were

were

cut

from

productivity

at

Oak

delivery

time

improved,

and

has been cut to 4 days. More

and

more

managers

are

confronting

the

challenges

that

Peter

Wood

is

fac-

ing. They are having to improve their nrgani 743 ri on's productivity^ and the quality of die

prtxiucTs

and

implementing

sennees

programs

they

such

offer.

as

'I'o

impnivc

quality*

quality

management

and

and

pnxluctivity, process

they

arc

reengineering—

programs that require extensive employee involvement. .\s

Exhibit

ment

of

tional

processes.’

1-2

customer

describes,

quality

satisfaction

It

has

management

through

implications

for

is

driven

by

the

the

continuous

iinprovcmeni

OB

because

requires

it

constant of

all

einplovees

attain-

organizaco

rethink

what the)* do and become more involved in workplace decisions. In

times

improving things would

of chat

neenng. ^aluated

Wootl rernn

Entire

new

from

we

starting

\\ood

reinvented

training

w

ere

ia

It

making the

plant’s

do

were

from

Oak

the

lotruduccd.

enrirch

new

to

“How in

they

were

Orcck

plant

illustrates

production plant’s .And

in

most Rather

approach

would

we

do

essence,

is

the

how

starring

the

svstem.

pak

to

reconsider

if

changes

jobs.

necessaiy

That,

managers

incremental to

of

scratch?"

structured

whole

sometimes

perspective

asks

Delphi's

contribution

sptems to

at

it’s

the


took

merely of

change,

productivity-

their

of

dramatic

reengineering.

and

Peter

in

undergoing

if

process

Instead

processes,

and

and

here

done

be

actions

rapid

quality

around

approach

ou(.

of

over*

process basic

Every

work I’hc

reengi-

production

process

was

Ineffiaeni

processes

were

emplovees

fr>und

them-

than

unpnrvnneois in a sysicni that was uxi rigid and inflexible tn meet changing
tn

t/j

make

snull

Chapter 1 Introduction lo Orgunimitml Bctorior CXMIVT1-2 What U Quahly Management? I firmer•>!> fM«*iiwrr, The customer irthdcs nor only oumiderr who buy the * <»njaniz-«6<»n\ prrducw w M‘mc'' th qiMhr^ffy'W'ibin^ the nr^anizarhn fA?w. Tlie tet in applies noconk ir> (be hnal produce but also to how the organization handles deliveries how rapidh it rr-HponJ> ui n»fnphHnls, how pnliitly ibv phono are aiisweretk and (he like. 4, .-frewntf.' jwr^wwrrwrw/. Quality minagerocnx uses natisncal tcchinques to measure even mttral pcrtoniiancc vuriabk in the organizmiuns Operations '11)6^6 performance VAriAbks arc then cum pared npinsi stand an Is or h»cnch marks to identity pivjhiems. the probktns arc traced to their roots, and rhe causes are eliminated. i. Empi^'d-erynnu ufftfiiJarfts. Quality* ntanagement invokrs the people on the line in the improv*eTnent process. Teams arc widely used as coipowement vehicles Cor finding and sokuig problems.

tamer of

needs,

Wood

individual

help

completely

employees.

cshibtish

For

productivity

rc^anqK'd

his

plant's

instance.

Oak

Creek

standards,

and

actively

production

einployecs

mtem

now

participate

and

check

in

die

for

|ab>

quality,

inmjducing

work-

flow innovations. Today’’s ruanagei^ understand that the succcs.s of any effort at improving qualiU' and

producdniy

mu^r

nupM

force in carrying

ning

those

changes.

include

their

our

changes

OB

offers

employees. hut

Tlxae

employees

increasinglv will

important

insights

into

will

not

<^y

actively participate helping

be

in

managers

a

pbnwork

thmugh these changes. Improving People Skills Ue this chapter by demonstrating how impiirtant people skills .»rc to managena cffertjveness. We said that “this lx>ok has lx*en written to help managers,

and

potential managers, develop these people skUk;’ yxiu proceed through this textiMxvk. we”!! present relevant concepts and thethat can help you etplain and predict the bchavnnr of people ar work. In addition, ymiTJ alw gam insights into specific people skills that you can use on the job. For instaot'e, ysm 11 ic.^m a variety of ways to tin mt ate people, how to be a better cuinmumator, »rul h<.u to create more eftectivc team.

Managing Workforc

Divers itv mip<»runi and bnud-hased dullenges currently facing organizahnm different. The term wc use RM* describing this challenge ,—diversity means that organizations are becoming more hetero* cTim o gender, race, and ethnicity. The term encompasses women.

proloFK African

. Hispanic

Ainencans.

» I .k I A bin Americans. It ;,ls<> includes the anc J 5 Mcireovef. workforce divenity

. Ameruans,

phyMcdly disuhlcd ^Tuys «n. lesh...

as well as the Unite
is an i«uc ,n Canada, Australia, South States. Managers .n

'*’ , ,r’increasingly characterized bv

itrhinrmportaa^..^

^nanagerial jobs. Women, long

h J-parins tcHipomrv jobs in Japan, are now moving into managerial r«siaons. dl^reaaJn of die European Union, which opened up horden, throughout much of western Europe, has increased workforce diversity m organizations that operate m countries such as Germany, Portugal. Italy, and IranceOrganizations that

people

want

to

used

from

when

make

thentsefves

ferent

iifesq-les,

take

different

assimilate.

fM-eferences

to

But

a

cultures

employees

they

come

more

“melting

to

and

don't

work.

accommodating

family

needs,

and

The

work

approach

nacionaliries set

to

pot"

aside

diverse

would

their

challenge

The

differences, somehow'

culTin-al

for

groups

styles.

to

of

people

melting

automatically

values

organizations,

pot

assuming

and

lifestyle

therefore,

hy

is

addressing

assumption

to dif-

is

being

hut

they-

replaced by one that recognizes and values differences.'^ Haven’t were

.such

them. llie

organizations a

small

Moreover, bulk

i)f

it

the

always

percentage was

ot

assumed

prtf'l9S(Is

included the

that

uicmbers

workforce

that

nunoridcs

workforce

were

of

diverse no

would

male

groups?

one

seek

paid

to

Caucasians

Yes,

much

blcnd-m

working

attention

and

to

assimilate,

frill-dme

to

sup-

port a nonenipioycd wife and school-aged children. 'I'hat’s IHJ longer true. Currently, 46

percent

of

the

U,h.

bbor

force

are

women.

And

minorities

and

immigrants

make

up 23 percent.^ Workforce Managers

need

differences

and

retention

and

Diversity,

it

rions

w

lems.

us

divers

WTicn

tn

it)'

shift

as

philosophy

to

those

managed,

improve

divcRity

important

is

can

decision

not

implications

for

(rearing

everyone

from

differences

productivit)’—while

positively ell

rheir

rcsfxinding greater

has

at

increase making

managed

by

projserly

in the

ways

providing ±ere

that

same

crcariviiy

management alike will

time and

jxnenrial

recognizing

ensure

not

in

perspectives for

employee

di<;criminaring.

innovation

different

is

to

practice.

organiza* un

higher

prob-

turnover,

more difficult conuinmication, and more interpersonal conflicts.

Responding to Globalization Managenicm IS no innger constrained by national borders. Four of the five highest ^■Kssing McDonalds restaurants are in lions- Kong, Prentice Hall, the largest seller 'ti k-'r""*

eenTSfT*^”'’-

publisher of this IxM.k, is oJned hy a

F-«onMob.I

a

so-called

k “’c""

.American

company,

receives

aim.«r

75

p^r-

"•’■ch ‘’wns Mdvo. croASSr'^'Smrer’

working with

-

two ways. Pint, if liVeJy t.. find yourself in a foreign ^gntnent. Onu there, ytm II have to manage a workfoae that .s hkdy n. he'very^SS

J

Chapter 1 incroduvtion u> Or^antzaiknut Bvhtvior

,n

neck,

Serwwi.

.spinuions, even

pe^rs.

ami

,H„I

vour you

jiraightlunviird rtork

h«s

effectively

shapeii

discuss

them,

OB

who

may

and

att,t.,.k.^

coiifiiTy,

eniployees

i..oriv;.tcs

To

;.nd

y„L

out

with

these how

may you

adapt

your

throughout

rhis

vou

were

Gjid

raised

them.

people,

ro

..nci to

and

ate

diey

rhe going

bon.

lootit

open,

corceprs

re

were

noi

ai.d

A,,,,,

yourself

in

Or

diftcren.

your

style

find

this

sndc

11

need

to

management

book,

wem

used

to

working cultures,

of

frequently

or

and

their

tlieir

culture,

hots-

p'ffc

op

popular

busincs.s

periodical

nuw-aday.s,

yo.ill

read

about

die

resliap-

ing ol rhe relationship between managers and thrase iJiey're supposedly responsible for managing.

You'll

tors.

In

ring

between

down diwces 15

many

to

find

managers

organizations, the

roJes

of

kvei,

about

schedules

and

decisions.

woA-rdated employees

managers

hill

control

and

where

were

now

work.

are

and arc

An

Decision

solve

get

going

increa.sing

spuiLsors,

associates.

being

to

to

advisers,

called

workers?

encouraged

managers

their

coacl.es,

workers

proceduxes

Now, of

arc

managers

operating

agti,

called

employees

rhe

years

being

And

making

given

the

work-related

their

is

number

of

a

being

blur-

pushed

to

problems. to

facilita-

there^

freedom

eraplovecb

considerably

or

make

Ten

or

participate

in

Rirther

bv’

allowing

organizations

are

using

self-nun aged teams, where work era opera I c largely widiout bosses. W'hat’s going on? VATiatS uoiriK on is that managers are eTttpmvering enipivyets. They are putting employees in charge of what they do. .And in so doing, managers are having to learn how’ to give up control, and emplov’ees are having to learn how to take responsibility show

how

for

Acir

work

empow*erment

and

iS

make

chiiuging

appropriate leadership

decisions.

styles,

In

power

later

chapters,

relationships,

the

w'ell "way

work is designed, and die w ay organizations are structured.

StimuhTing Innovation and Change W’hatevcr Montgiiinrn* giants,

such

happened Ward, as

and Scars

to

VV. J.

and

1.

Grant,

Peterman? Boeing

Al!

Gimbcl's. these

implemenred

Eastern

giants huge

went

Airlines, bust!

cost-cutting

VVI^y

iirograms

Mted thousands of jobs? To avoid going bust] Todavs successful organizations must foster innovation and master the arc of rVwgc or 'they’ll become candidates for extinction. V’icton* will go to organizanous that maintain their flexibility, continually impnive their quahn. and beat t en compe* Wwn to the marketplace v-ith a constant stream of innovauve produc^ and semccs. DotnincA sinclc-handedh brought on the demise of thotwands of STnull pizza parlors •hose managers thought they could continue doing •a but they ba
Siuith

how As

cultural

Empowering People you

may

be

dirvauning,

ferences might require managers to modily their practices.

If

instance,

differences.

address

home. bosses,

co.iimuiucacion

undersund to

with l

unenmfortabk

sn-le

back

Corona,

have

oAer

and

climi-

it we dif-

10

employee

crwrivhy

^ntl

tolemnce

ft>r

riic field of OB pn>vide5 a wealth of

change,

itkas and lechniqoes to aid in rtralizing these

Coping with ”Icinporariness" Manaeine

used

to

alh

bv

as

long

peiiods

of

iiv’

Tlic

work!

that



short

lie

characterized

period,

leinpomniicis/*

ot

change.

ongoing most

The

by

periods

.Managing

change, jobs

today

interrupted

managers

actual

long

and

that

of

stability,

would

be

occasionally

employees

workers

face

jx-rRirm

interrupted

occawon-

aaurately

described

more

by

short

today

is

are

in

periods one

a

o1

of

subil-

permanent

permanent

state

of

fliLK. So workers need to continually update their knowledge and skills to perform new jub

requirements.

Careipilbr, tion

Tor

example,

Ford,

and

Akxia

equipment.

Thai

not

now part

production need

ot

ro

Uicir

employees

know

job

how

at

tn

companies

operate

descriptions

15

department,

cific erable

amount

and

of

has

l»ers

different

increased Finally,

been

use

of

replaced

employee

by

sell

with

the

wlw>sc

roUDoii

to

are

off

relatively

temporary*

and

dicinsclves

divisions,

w’aA

working

depaitments

organizanons

dieir\'arious

assignment

secunry in

predictabilin from

that

in

poorly

wnrk

groups,

members

till a

peqdc

stale

of

performing

'I’licrc

was

and

teams

that

groups

all

a

day

the

out.

time,

They

continually

downsize

consid-

include

work

businesses,

produc-

Work

changing

flux.

as

assigned to a spe-

day in

change

consrantly

ago.

WTTC

pcrmanetiL

same

coniputcrized

years

arc also increasingly in a state of flux. In the past, employees

such

That mcm-

and

the

assignments. reorganize

uperatiuns,

and

replace peraianeni employees with temporaries. Today's have

to

OB

managers

learn

can

to

provide

overcome

and

live

with

important

resistance

to

employees

Tiiust

flexibility,

insights

change,

to

s|K)nuneily,

into

and

karn

a

how

work

best

copc

wd

temporariness.

unpredictability-

world

to

with

of

create

continual

an

The change,

organizanonal

I'hey

study

of

how

to

culture

that

dirives on change.

Helping Employees Balance Work/Life Conflicts Tlie

typical

through

Friday

workplace of

employee and

and

today’s

in

did

hours

the his

were

workforce.

lybOs or

her

clearly

Employees

or

1970s

job

in

spedfied. are

showed

eightI’hats

up

or no

increasingly

at

the

nine-hour longer

chunks

uue

complaining

workplace

for

that

of

Monday

rime.

The

a

large

segment

the

line

between

work and nonw'ork time has become blurred, cTcating personal conflicts and stress. number work

and

of

fortes

pers<mal

lives.

have First,

contributed the

to

creaQon

blurring

of

the

global

tines

Ivtwcen

organizatioas

means

employees’ their

world

never sleeps. At any time and on any iLiy, for insuncc. ihoasands < »f ^>almlcKJln^kr ynployees

are

working

sonwwhere.

The

need

lo

conMdt

with

colleagues

or

customers

« or 10 umc-zones away mean*, that many employees of global firms are ‘ on-cair 24 hours

a

day.

Tab

in.

proksswnal asking average

Sect.nd,

jobs

ampUnees wni^eek

a>inmunjcadon

This do U)

lee

then put

insTcased

work

any

in

longer

from

4.1

technology

allows

many

|)eoplc

rime

and

hours. to

47

firim

For houA;

employee,

do

in

any

place.

insunct, anti

to Third,

1977

number

of

and

at and

organizations 1997

people

50 or more hours a week jum,Kd fn»m 24 pcrcxml to J 7 percent Finally, lues have <mly a Mnglc breadwinner I< Jay’s iiiarned empbs^ is typc^ pan of a

work

technical

Ixrween

the

their

are the

working

fewer bm-

♦* ♦

J

Chapter dMtlH'irecp the

ctnipk

time



Kmplnyecs Jh’es ees

ing

give

similar

concerns?^

A

halancc M'ell

will

Bnd

a

it

ic.

addition,

jobl

of

life

hard

and

generation

work that

to

ncn is

attract

primary

help

and

their

retain

the

they

students

personal

that

can

say

goal.

people

achieve

that

’J’hcy

axid

As you'll see in later chapters, the fiehl of OB offers a nuxnlier of suggestions to managers

in

designing

workplaces

and

jobs

that

can

help

employees

deal

with

work/life conflicts. Dec'lliHTig Employee Loyalt>’ Corporate and

employees

good

work

with

beginning

in

leveraged

buyouts,

jub

scvuriiy,

closing down

used

the

and

believe

security

mid-1980s,

in

the and

generous

like,

employers

benefits,

to

and

global

cotporanons

operations

with

their

response

businesses,

enployccs

that

compensation.

moving

lcs&-prodtabic

permanent

job

•iemoriiy,

fectorics,

to

began

lou’er-cost

eliminating

temporaries,

entire

and

reward

steady

pay

competition, to

’ITicy sought

lc>

would

discard

to levels

substituting

unfriendly “lean

selling

of

loyairy

incrcxbcs.

traditional

become

countries,

their

But

takeovers, policies

on

mean”

by

and oft

or

management,

closing replacing

performance-based

pay

sys-

tems for seniority-based programs. Tris iTnp
phenomenon.

Barclay's,

^e

German

big

ITTIILS

electronic

European

British

have

bank,

trimmed

engineering

companies recently

their

eongiomcrate.

cut

are

doing

staff

levels

workforce shed

and

more

the by

same. 20

management

than

.^,000

jobs

For

percent. ranks: tn

one

instance, And

some

Siemens, year

die

alone;

and srcelmakcr Knipp-IIoeseh cut its ^ntifijgprnrnt hierarchy' from five lei^els to three. These Employees

changes perceive

have

that

their

resulted employers

in are

a

sharp lew

decline

coniniittcd

to

in them,

employee

loyalty.^*

and,

as

a

result,

ways

to

motivaw:

emj^yees respond by- being less committed to their companies. .An wooers

important

who

feel

OR less

challenge

will

be

coimnitted

to

their

for

managers

employers,

to while

devise

maintaining

their

organ!-

zations' global compeotiveness. Improving Ethical Behavior In an organtj^tional w

orld characierirxd hy rime pressurcs. expectations of increasing

worker producrix ity’. and tough cumpctidon in the marketplace, it's not altogether surprising that many employees fed pressured ro cut corners, break rules, and engage in edicr forms of questionable practices. Members of organisations are increasingly finding themselves facing ethical situations in which they are required to define righl and wrong cunducT. eaamplc. should they “blow the whistle** if they uncow illegal activincs taking plitfc m ihar company' Shixild they follow orders with which they don't person* Do they give an inflated pcrfi>rmance evaluation to an employee whom

to

attain-

want

wtirk/life

capable

man-

likely

employees.

guide

einpkiy-

better is

care:er

find

fnends.

out

suggest

most

t<j

parents

employees

university

a

don’t

studies

of

Kehiivior

cinplrj>xes

squeezing

schedulcsso

and

Opnpix.ational

children,

recent

work

to

n^arried

i>

dieir

college

Organizations

increasingly

work

example,

the

majority

frjr

spouse,

thai For

Introduction

difficult

home,

HexibilitvHn

personal

between as

about

diem In

as

ance

that

to

recognizing

happy

eonrtktsJ-

a

life*

jobs

not

incixasingly

comniitnicnts

work/life

ha>'e

it

increasingly

thev're

want

inakc.*s

fuJrtd

arc

and

age

l*his

i

“a bal-

motivated

12 Pirt» Prob
1

:”;=ii?x;S'£::— f mpla -ees dal! are utives

«e

.ndicted use

people

for

dl

padding

insider

around their

infonnatwn

rhem

expense

for

engaging

accounts

personal

in

or

finaiicui

ur.eth.cal

.

pracdce^le^

taking

bnlres;

gam;

university

otfi-

succes-ihil

exec-

administrators

“look the other way' when a winning coach verixitly abuses his athletes; and even the President when

of

the

caught,

advantage

United

giving

States

excuses

nowadays,”

“1

distorts such

never

as

the

truth

under

“everyone

does

thought

I'd

get

organizations

are

responding

oath. it,”

caiighi,”

They

‘-you

or

“it

hear

have

these to

people,

seize

every

depiends

on

what

problem

from

a

rhe

meaning ol the word is.” Manager? ber

of

dinnigh

and

directions. ethical

pre^ams

to

their

I'hey’re

wiring

ddeininas.

m*

They’re

improve

TO

and

distributing

offering

ethical

codes

seminirs,

behaviors.

to

I

this

of

ethics

workshops,

he}’’re

to

guide

and

providing

num-

employees

similar

training

in-house

advisers

who can he contacted, tn many cases anonymously, For assistance in dealing with cthical

issues,

.^nd

they’re

creating

protection

mechanisms

for

employees

who

reveal

intemd unethical fKaoices. Ibday^ manager needs to create an etliieally healthy climate in which his or her employees ityregarding discuss

can

do

wliar

ths

kinds

their

work

constitutes of

actions

pnxliictivelyand

right

and

managers

wTong can

confront

a

behaviors.

take

to

create

minimal In an

degree

iipttoraing

of

ambigu-

chapters,

we’ll

ethically healthy climate

and to help employees s<.»n through ethically ambiguous situations.

THE PLAN OF THIS BOOK C>^r V ’’'S Our appp, ach us„ i bu.ldmg-bl.Mik process. ilbistruied in Exhibit 1-1 d.ure are

EXHIBIT 1-3

behavior?

r Chaptwl Introduction w (hwmiationaj Beh«,w leeming 1 ncn *e nwve tm w wnsidcr rhe rul<> e.f {)rhAv'U>r. Wc ^nclucle th.. «c6o„ {)tr mjMv c»t inibvidiial decision making. The behavior of nenple m ffronne k individual acting in his or her own wav. Pcontp’^ k.f Afir Ix-hat wr when they an- alone, Chap^ 7 tlin.uvtTn We inmxluee a gi-oup behavior model,

».

IKIIMI

*” of mouvaunn issues and

discuss

WJV<

total of each different from address gn.up beljavior.

£on«iler a.nunujiication issues and group dcdsi.n.^malHn

efitttive,

imptmant topics of leadenhip. trust, power the fontul organizauon sysretn to our knowledge of ind' Jim <s groups are more tl.aii die sum of their indiriduaf^i”^ l^^havior,

‘"vesrigate the "c «id

not necessarily merely the summation of die behavior .,f a lu Chapters I .t ti.rough 17. we. disc.u.s how an or^SonV Lm? «chfio(i)gv aficcr behavior; the effect that an «,p™£« l,»e „„ .r«»,

f*'1 •• L *

people,

du, „„„.,ge„ can « ,o .ffee, beh.eio, foe *.

h-eX^o^^o™”.

and oXb

PART II: The Individual in the Organization

HAPTER2

Foundations of Individual Behavior After reading this chapter, you should be able to 1. List the domirrart values in today's workforce 2. Describe the relationship between satisfactior and productivity 3. Explain the theory of cognitive dissonme 4. Summarize the relationship between atthudes ar>d b^wi^ 5. Explain how two people can see the same thing and interpret it differendy 6. Summarize attribution fteory 7. Outline the learning process

A n understanding .if indivi
VALUES



■''

Is capital pimishmeninght or wn.ng'- If a person likes jKiwer. is rliat good or bad’ The answers to these qu^nons are value-laden. Some might argue, for exan^Je, that «pipunishxiKnt ,s right became it's an appropriaw retributi.Hi for erimessueh as Values represent basic convictions that “a specillv mode of conduct or end-state ofe^tence is personally or socially preferable m an ..ppositc .< c«wl«ct or end-state of e«stem.-e." ■ They conca.n a imiStlav.< in^^ W «

" ...«r .

Chaptef 2 Eoundaiions oF Individual Behavior gI individual values. I hey're identified by the relative importance an iiulindual awiigns to vnlues such as freedom, pleasure, scIf-rcFpecT, hnnesfy', ohedience,

Types of Values Can wc cln*'Si1>’ values? 1 be answer is: Yes’ In this .section, we’ll review ru'O approaches to developing % aluc cypnl«gie.s. Rokeach

Value

Survey

iMihon

Kokeach

created

the

Rokeach

Value

Survey

<WS)?

The R^'S consists of two sets u I values, with each set con tail ling 18 individual value items.

One

set.

called

terminal

values,

refers

to

desirable

cad-scures

of

existence.

The^c are the goals that a person would like to achieve durnig his or her lifetime. The other means

set,

called

of

achieving

instrumental

values,

6c

terminal

values.

studies

confirm

6ac

refers

to

Exhibit

preferable

2-1

gives

modes

common

of

behavior,

examples

for

or each

of 6csc sets. Sc'•'er same

ill

occupations

students)

tend

executives,

or

to

catcgvrie^j

hold

members

similar

of

the

RVS

(e.g., values.

values

vary

corporate For

steelworkers’

among

managers,

instance, union,

one and

groups.^ union

study

People

members, comparing

members

of

a

in

6e

parents, O’jqioratc

community

activist group found a good deal ol overlap among rhe three groups,** but also some very

signifieani

differences.

I

he

activists

had

value

preferences

ferent from diose of the other

two groups. They ranked

tant

and

terminal

respectively.

value;

executives

Activists

ranked

union

“helpfur

as

iiienibcrs their

rhat

were

quite

dif-

equaiic) as 6eir most impor-

ranked

this

value

second-highest

12

and

instnunental

13,

value.

The other ru n groups bo6 ranked it 14. These differences arc important, since executives, union members, and aciivises all have a vested interest in what corporanons

EXHIBIT 2-1

Examples of Termiral and Insirumental Values in the Rokeach Value Survey

Tentuiu) Values

Instrumental Values _________________

A cwnfona^lp^life {a ^*pefous life)

Ambitious (hardworking, aspiring)

A sense enT fisuting

Capable (cOTipcTent. eliieedve)

cuntribudon)

Cheerful (Hgbdicartcd, fOyfui)

A world of peace (free of war and cwiflict)

<dean’)

A wofid of beaury (beauty of nature and the am)

CotiMgeous (standing up foi your belief)

(hriMherhood. equal opporTunity* Fiir all)

Help fill (woridng for the welfwe (4*

Fwuh security luhng care of loved ones) Frcrtlmn (uvle|iendeiice. tree chokv) Hipfutc^ (utfiientcilnev.) te*er hannoov (frvmlofn tfiwn inner coA^ct) (an entuvaUev kriurei\ lifiei ^^*•**<■1 (Mved. eternal li^e) ^'*■1 nx'u^pwuun impcct. adnuraoon) Ta* IncAaUup (cluw esitnptiiHjnahip.)

others) Honest (sinctrt, truthful) Imaginxrive (darings vreadvc) Logical (L'onsrsitnt, mdonal) l.oring(afFa:t]onacc, tender) Obedient (dniifuJ, respec tful) PoUte (ccHineous. wdl mannered) Re^Msibte (dependable, reliable)

ft

H 1^’ Individual in the Organixatiun d„, -AMien corjx.raliuns jn.l cridcal

f^Xr

come together m negouanons or ctm cm

in dirterences in (wfsonal value pref-

pohaes, they are likely to beg.n -th ’’X « e o. erenees. . . Reaching Agreement on any -qteciiie ««ue oi pmiQ . value, arx- importantly implicated might prove to be qu.ic difficult Contempomrv Work Cohotrs Your author h» integrated

pX

of

tm.que

work

values'inro

cohorts

or

most

groups

generations

framework

would

employees

fi.ur

can

people

in

the

un.versaUv

IK

segmented

start work

in

an

U.S.

between

aeros.s

the the

wcapntre

workforce.''

apply l.y

attempt

all

several

the

[No

assumption

cultures.)

era

in

which

ages

of

18

they

and

where

23,

values ..

the was

analyses

of

made 2-2

the

perttnal

recent

Exhibit

cntere.l

the« H

different that

this

prt.po^

that

workforce.

Because

also correlate

closely

with dw chronolugival nt employees. Workers Andrews and

who

Sisters,

earlv

1960s

them the

grew

and

up

die

believing

influenced

Berlin in

hy

the

blockade

hard

work,

Great

Depression,

entered

the

status

quo,

the

World

worktrirce and

War

dirough

authority

U,

the

figures.

the

1950s

We

call

Once hired. Veterans tended to he loyal to their employee. In terms of fenninai

values

on

the

RV^,

these

employees

are

likely

co

place

the

greatest

importance ou a coinluruble lite and funil)’ security'. Soi/WfT/ .Members Beatles,

enrered

of

this

the

cohort

V'iemam

large

measure

deal

of

of

that

merely

as

aids

“hippie

on can

vehicles

their

from

influenced

and

ethic"

and

means.

and

the

by

the

compctibon.

distrust

of

inarerial

Boomers

careers.

mid-1960s

heavily

baliy-boom

achievement justih’

for

workforce

were

war,

the

emphasis

believe

the

see

Terminal

through

civil They

audiority’. success. the

values

rights

But

a

with

they

They’re sense

mid-1980s.

movement,

brought

organizations like

the

them

a

a

^rcai

pragmatists

who

that of

place

the

employ

them

atcompli^inenr

and scxial recognition rank high with them. A fry' lives Have been shaped by glohalizatitm, tw^o-carcer parenb. xAflV. AIDS, a^ compuie^. They value flexibilitj; life uptioiis, and the achievement of job satisbcuon. Family and rchcionshjps are ver\ imporuni to this ixihon. Thev also eniov important is 4n indicator of career perfo^nance, but

cs. Xen are less w.llmg to make personal sacrifices for the .sake of their etnptowr

EXHIBIT 2 2

Donttnant Values in Today’s Workforce

lateral the

Cubort VeterMU

Appmxioutc Wortdwee _Curre7it Age i^SOs IX early 1960s 60
Boonien

1965-1905

•MMiO

Xo*

19«5.2aM)

25-W

Nuaan

2Wt»pfww

Under 25

Pominant Worfc Valuei H»cd -Orting, conservative. Luofonran« ‘‘’Pleywthe.ffgjniution

A

Chaptar 2 PuiinAtium of Individual Rehsvior chan pivnous generations were. On the RV'S. they rate high on true friendship, happine^. *n
most

recent

entrants

f<)

the

workforce,

the

.Vritm,

have

grown

up

during

prrKpt rous times, so they tend to he optimistic abour rhe economy, to believe in tbem^Iv'es,

and

dhxrsit) of

to

and

thetr

lx*

Ac

lives

vt»nfi
with

about

generation

CD

their

to

players.

ability

take

VCRs,

to

succeed.

technology

celhitar

for

phones,

Nexurs

granted.

and

the

arc

at

ease

ThcyXe

with

lived

Internet.

This

most genera-

tion is very money-oriented and desirous of the Aings diat money can buy. They seek financial

success.

They tend An

to

Like

Xers,

they

emphasirx terminal

understanding

that

enjoy

values

individuals’

teamwork

sudi

as

values

but

they’re

Freedom and

diller

but

also a

tend

highly

com to

self-reliant.

to nah

reflea

I

e life.

Ac

societal

values of iJic periixl A which they grew up can he a valuable aid in explaining and predktiiig

behavior.

Employ’ccs

in

Acir

60s,

for

instance,

are

more likely to

accept

author-

itv Aan arc Aeir tx>-workers who arc 10 or IS years winger. .And workers in Acir 3Os are more likely Aan Acir parents to balk at having to work weekends and more prone tu kn'e a job m mj
Aink

drt

ime

ediical in

cAicaJ

Exhibit

2*2)

acQun

of

bcharior upper

standards

for

in

erode

perhaps

possible

explanation.

bosses

Aeir

to

standards,

a

their

t>cgan

is

Ae

most

organizarions.^

management

Aould

wc

a

die

should

lock

.After

all,

important

Given

have

in

this

laic to

our

managers

factor

fact,

significant

1970s.If

there

work

cohorts

consistently

inilucncAg

Ac

values

bcatmg

on

has

Aose

the

model

repon

cAical

of

been

m

entire

(see

that

and

a

Ar

unethical

middle

rtliical

and

climate

wiAin an organ izatiorL 'Ihrough whose

Ae

loy*alties

mid-1970s,

were

to

in

terms

sions

were

made

mid-to

late

1970s.

Ac

Aeir of

Boomers

managerial

employer.

Hlien

what

best

began

was

to

rise

ranks

w

faced for

into

ere

wiA

Acir

Ac

dominated

ethical

organize

iipixr

levels

by^

dilemmas. lion.

of

Veterarw Aeir

deci-

Beginning

in

the

manageincrn.

Uy

Ae

early 1990si, a large portion ol iniddlc and top management positions in business organuations were held by* Bcx)mcn>. The mary he

loyaltv

concern

of

is

consistent

Boomers

uiA

wiA

ib

looking

a

to

out

dcdinc

in

Aeir

for

careers.

“Number

cthiad

Their

One.”

standards.

locus Such

Could

diis

is

inward

and

sell-centered help

Aeir

values

explain

Ae

pri-

would alleged

decline in business ethics bcchimng in Ae late 1970s? The potential good news in ihis analysis is that Xers are now in the process of mosAg Since

into Aeir

unpheanons ward

lu

an

middle-management loyalty' uf

is

their

uplifting

to

and

relationships,

actions of

slots

on

ethical

oAcrs

soon

Aey

arc

around

standards

in

will

he

more

Aem.

rising likely

Tlic

business

Ato to

the

management.

consider

resuh?

over

top

Wt next

Ae

might

ethical

look

for-

or

two

decade

merely as a result ofchanging values wiAin the cunagerial ranks, \'^ues Across Cultures In f Juptcr 1. we descrilwd Ac new g1<»ba] village and said “managers base to become t>p*b4e

of

working

wiA

pexipk

from

different

cultures.**

Because

«j»ure>, an undersundmg of Aese differences Aould he helpful in explaining and

s*aiues

differ

across

tt Pa rt H The I nd K'MIU al in t he t )i pa r iza tion predicting

beb.vinr

nfeviployees

fr„.n


^.ntrics-

Acomparison

ind lao'inese cidtvrc trail help illiiStraTc this prdrtT. Eic.in c,..,tr3.t kam

Janinesc

to

are

L.gin

children

think

rccoonnne not

children

are

analyze,

facts.

surprisingly,

result

different in

rhe

question.

value. co

,.f

be

inriivrd.wl.ty

‘team

and

players,

ro

Thdr

Japanese

countetpa^

s.x-ialization

pracoecs

reflect

differeiii

tjpes

American

.

indoctrinated

and

These

early

..f

nf

tniployees-

1

I umqueness.

work arc

different

he

average

In

with.n

the

rewarded

for

tmitures U.,S.

and.

woiker

is

more conipetiiii e and self-focuscd than the Japanese worker. The obviotrs o.nclu.s.on frotJi ±c<e r»bsei-vnt5(Ui5 js thi^c prdicJonsof employee behavior, based on U.S. worker?,

are

likdv

w

be

qft-wfget

when

the/re

applied

to

a

popuhnoii

of

cniplcyceb—

.suth as ihc Japane^{c^ who prefer iird perforin bener in stahtlardiicd casks, as part of u work CG5in, ivirii gnjup-basvd decisions and rewards. .A Framework for Assessing Cullui’es One of the most widely referenced approaches for analv'zing variations among cultures \vafij originated by Geerx llofetede.^^^ He surveyed more dwn 116,000 TBM enijjloyecs in 40 countries about their workrelaced values. .\nd what did he find? He found that managers juid employees vary on five value dimensions of national ml hire. They arc listed and defined as fbllovr's: Power distance—I he degree to which [>ei»ple in a countr)’ accept that power in institutions

and

orgajuxaticns

is

distributed

une
Ranges

from

degree

to

rehrivcly

equal

(low power distance) lu exircrncly unequal (high power distance). Individualism

v^.

tolleetWOT

Individualism

is

the

which

people

in

a CQuuuy prefer to aiT a.’i individuals rather than as members of groups, Collectivisra is the opposite or the equivalent of low individualism. Quantity of

life

\3.

quality of

life—Qnanrity of

life

is

the

degree

to which

val-

ues such as assertiveness, the acquisition of monev and material goods, aod competirion prevail. (Quality of life is the degree to wdlich |x:oplc value relationships, and show sensitivin' and concern for die welfhrc of (ithers.** Uncertainty tured

ostr

avoidance—The

unstructured

degree

situarioiis.

In

to

which

coumries

[xeciple

ihat

score

in

a

country'

liigh

on

prefer

struc-

uncertainty

avoid-

ance, people luve an increased level of atudety that manifests itself in greater iiervousne.ss, stress, and aggressivene'is. Long-term countries values

look

the

vs. to

past

the and

short-term future

and

present,

orientatioa—People

value

and

dirift

emphasizxs

and

in

persistence.

respect

for

long-tcnu-orientation

A

short-tenn

tradition

and

orienratiim

fulfilling

social

obligations. Exhibit 2-.^ provides a summary of how a number of countries rate on these five cUmensions. than

For

instance,

individualistic.

On

not

the

surprisingly,

odier

hand,

most

the

.Asian

United

countries

States

ranked

are

more

highest

collectivi^ among

ccxintnes sun’eyed on individualism. ImplicatJons

for

OB

Mf^r

^owkdge we call ^nen^

s^.iects

of

all

** the

concepts

that

currcntlv

make

up

the

body

of

b,h
doraesne

contexts.

A

comprehensive

study,

for

instance

of

more

than I I MO articles pubiLshed in 24 management and organizational behavioi^ journals mthe

”’7“^ P‘--n''d r^ eal^ that approximately 80 percent of the sn«li« were done Lmted Stat«and had l>een conducted by .Americans.'- Follow-up studies coo-

tiAue to oaifinn the laci of cToss-culniral considenttions in management and OB

- ItL

Chapter 2 Foundations of Individi eXMltlT 2-3

Examples of Cutwrak Dknensions

P
Coanvry

Uncertainty

Individualim*

Quantity ofLtfe*’

Avoidance

ly>ng-tcm OtientatMm*^

Own*

High

Low

Moderate

.Moderate

High

France

High Low*

High High

Moderate High

High

Low AAiKleratc

High

ixkW

High

Low

Low

Moderiu

Low

Higki Low

Moderate

Moderate

High

Modevic

Miideratu

High Mudcrate

Low I.IIW

High

High

Moderate High Low

Moderate Low

Uoited Starr*

Luv High Low

VWtst Atriv*

High

Low

Moderatt

.Moderate

Low

German)* KtMig bukmeMi NetheHanrb Rusiia

Moderate

Low

• A low «o*e K synonymous with collertrviwn ♦*A low score » synonymoui with high quality of life. «** A low score ts synonymous with a short-term oflentatiori. Adapted fiom G Kofst»de< "C^hmal CAuaems in WAMsanerx FIIOKM.* Academy of Managenenv BreortM. Fabwv research.^' VVlut thi^ means is that (1) not all sally

applicable

work

s-alues

are

considerably

different

cake

into

consideration

cultural

should

tu

managing

people

around from

OB theories and concepu are unhrer-

the

world,

especially

those

in

United

values

when

die

trying

to

in

countries

where

States,

and

(2)

you

understand

the

behavior

of people in different countries.

ATTITUDES Attitudes

are

__ evaluative

statements—either

favorable

or

unfavorable—concerning

objects, {leople, i>r events. They reflect how one feels about something. When 1 say ‘i like my job."* Tra expressing my atbtude about work. A penon can have thousands of attitudes, but OB focuses on a very hmited number

of

idb-related

attitudes.

These

include

job

satisfaction,

job

involvement

(the

degree to which a person identifies with his or her job and actively participates in it), and

organizational

organization).

commitment

Without

question,

(an

indicator

however,

of

job

loyalty

r<>.

satisfaciino

and has

identification received

the

with, bulk

the of

attention. Job Satisfaction

Job satisfaction refers to an individuars genrrd attitude toward his or her job. A person with a high level of job satisfaction holds positive attitudes toward the job; a person who k dissatisfied w ith his or her i holds negative attitudes about rhe job. V\'hen people speak of emplovee attitudes, more often than not they mean iob satisfaction. In tact, the rww terms arc frequently used interchangeably

WIttt

Deumioet

Job

Satisfaction?

VMiat

work-related

variables

Mtiafxwm* ’Ibe evidence indkates that the most important factors conducive to lob

ileterminc

job

Individud in the Organix^rx..

supportive working

satisfaction are .uentally challenging wo.i. equ.ubk emtiitions, and supportive collea^es.

opportunities to u« their skilU j feedback on how well they’re

Kinplojeet rend to prefer frbs P and ahibties and offer a vanety ot tas ,

XiHenaing-Jobs that have too little

doing. These . ha. actensties ntake

and feelings of

challenge ™.» tacdom, bu. failure. Under conditions ot moderate chauenge, .UM K w!!,;™ °".x ’J’®"’ “"J p™”"-" unxnfeoo,. X line with

las,, on

job

likeh

demands,

to

result

indiwidnnl

Similarly,

.belt

still

employees will experience

expeetndons.

leeel.

indivi.luals

and

who

*'■ '’"“'7 “ S'"? pny » y., ns f.,t,

Wl-cn

eommumiy

pertxivc

pay

that

sUnJards.

pnunoucn

b.sed

satislaenon

decisions

are

is

made

in a fair and jus: manner are likely lo experience wrslacuon from i heir |ob$. Em ploy ee** are concerned with their work euvironment for both personal comfon and fadliuun^ doiii^ a good job. 1 hey prefer physical surroundings ihai arc sale, annforrahle, clean, and have a minimum degree of distractions. Finally, ments.

For

prisinffly»

people most

get

more

of

W'oil

chan

work

also

611s

the

friendly

and

employees,

therelorc,

luving

out

supportive

merely need

money

for

social

co-workers

or

tangible

achieve-

interaction.

leads

co

Nor

s«r-

increased

job

sadsfeoion. Satisfactioii students The

and

of

question

Prcwhicrtvity

Few

organi

rational

typicilly

ixwcd

is:

on

the

topics

behavior .‘Vc

have

as

the

satisfied

attracted

aS

much

interest

sadsfaetion/producoviry

workers

more

among

i-clationshipj'^

priiducdvc

than

dissatis-

fied workers? The

early

views

summarized

in

paternalism

shown

ing

company

sujwn'Lsors to

ny.">

TO

Ht^e

the

statemciii by

Uiwling

“a

managers teams

and

sacishctioii/productiviry happy in

the credit

worker I^JOs

is

a

relationship prmhicrive

rhroiigh

unions,

the

h.ilding

tan

be

worker.”

IQSOs—for

company

essentially

Much

of

e.sample,

pia.i«,

and

the fann-

training

be sciisinvc to the concerns of employees—wa> initiared with tlic intenr workei^ha^y.

Rtit

the

happy-wrker

thesis

wa.s

based

more

on

wishfol

thinking than on hard evidence. •A more careful analysis indicates that if satisfaction does have a oositive effect on productivity, that effect is fa^ly small The introduction of moderating vanabks, however, has improved the rcladonshio For incrun/> rk i L • stronger when employees' liehanor is not con.;L„ed o^S^ttn.He^ 00?^! f c' tors. An cmployxcV productivity on machine-paced jobs for eicani f ‘

way around. If you Jo a goml lob.y-o.i nitnnsicallv feel good about 7 assume that the organizati.m rcu-ards prcxlucmitv, y^uthfaher add.uon if we increase verbal retxignition. your pay level- and nro^Mbiliri^ 1^ rewards. turn. wil. increase yourleUl tnaior dctCRninant of an employ Satisfied emplmees would seem m.„.. bk'ely t- »lk pos,nvdy

should

**’'’“*J

*

Cha pte r 2 Founda n o nj o f Indi I'i d usi Behavuir help iichcrs. a»d go heyt^d chu normaJ expcciaaons in their job. Moreover, satisfied empkn’ees might he more prone to g<3 beyond the call of doty because they want to reeipnKatc

their

pKitive

experiences.

Consistent

with

this

thinking,

early

discussions

of <XJB issumed that it was closely linked widi satisfaction.^*^ More recent evidence, however,

suggests

that

satisfaction

influences

OCB,

but

through

perceptions

of

nwdese overall relationship between job satisfaction and QCBJ^ But sati.sfaction mcanr

unrelated

IN

Basically,

job

O('B when fairness is con rroiled forJ*^ What does this

TO

satisfaction

comes

down

to

conceptinns

of

fair

nutcomes,

treat-

Tncni. and pnicedurcs.^^^ If you don't feel like your supervisor, die orgaxti nation procedures or pyy policies are fair, your job satisfaction is likely lo suffer significantly. However

when

you

develop.

And

when

perceive you

organiMtional

trust

your

processes

employer,

and

outcomes

you’re

more

to

be

fair,

trust

willing

to

voluntarily

that

individuals

eng5ige in behaviors th ar go beyond x’our formal job re quire oieiits.

Reducing Dissonance One

of

the

seek

most

relevant

ron.q\tency.

findings

Cognitive

pertaining

dissonance

r«>

aninujes

occurs

is

when

the

fact

there

are

incynsistenvies

between two or more of a person’s actinides or between a persim’s Ixjbavior and amtudcs.

The

theory of

cognitive

dissonance

suggests

that

people

seek

to ntinimfae

dis-

sonance and ihc discomfort it ciuses.-’ Di the real world, no individual can avoid dissonance completely. You know tiiat “honesty is the best policy” but say nothing when fl store clerk gives you back too much

change.

how

do

Or

people

importance

of

you

cell A

COJK;?

rhe

your

children

person’s

elements

to

desire

creating

the

to

brush reduce

dissonance,

after

even'

dissonance the

degree

meal,

but

don’t

is

determined

of

influence

So

by

the

the

indi-

vidua! beliwcs he or she has over the elements, and the rewards chat may lx; involved in dissonance. If u»

the

correct

has

a

elements this

creating

imbalance

husband

and

will

setxral

the

dissonance

be

low.

But,

are

say a

children—believes

relatively

iinimportant,

factory’

manager—Mrs.

strongly that

no

the

pressure

Smith,

company should

w'ho

jM)llute

the air tir water. Unfortunately, because of the requirements of her job, Airs. Smith is placed in die |x»sinon of having to make decisions that would trade oft her company’s profitability

against

her

attitudes

on

pollution.

She

knows

thflt

clumping

the

coni-

pnys sewage mtn the local river (we’ll assume die praciict^ is legal) is in die best economic

interest

of

her

firm.

y\’hat will

she

do?

(IIearly,

iVlrs.

Smith

is

experiencing

a

high degree of cc^itivc dissonance. Because of rhe importance of rhe elements in diis exan^pie, wc cun’t expect Mrs. Smith to ignore the inconsistenev’. Besides quitting her job, there arc several paths that she can follow* to deal with her dilemma. She can reduce

dissonance

either

hy

changing

her

behavior

(stop

polluting

the

river)

or

by

CTjmIuding dut the dissonant behavior is not so iinponant after all ("Fve got to make a living and, in my role as a LXjrporaic decision maker, 1 often have to place the g<M)d of my company abtwe that of the enviromiient or society.”). A third ahernative w ould be .Mrs, nw.

Sitiiih I.

Sull

diss<*nanr

to

change

another txies

(“

her

choice I’he

attitude

would Ixncfiu

be to

fThere to

is

seek skKien*

nothing

out

more

fi\>m

•We dun offset the ci>st lu Mk.'iet)* of the resutrirw w*atcr pollution

wrong

with

consonant

polluting

elementx

manufacturing

our

lu

the out'

products

2t

•|W IndmJwl ii» iheOrfaftlKitiiMi c 4 u Udievt tbcv have over the cknunu will The dejrer of mftuciuv that mdtv.duah ^ive the disv,hAve an unpart <« how rh^ thinit alnnu which thev have IMJ choice— nance u. be an .mo^ntwllahk. -ulc-^-’h’nM a t d^son.ncc they're not likely to be reeept.ve to preswre tn reduce produdng behaviol is required as a result (»i UK n m^rilv Althniicrh di
also

I^e

iniluencc

tertsion

the

i.j

deercc

inherent

in

tn

which

high

individuals

diss-mance

may

are

be

nintnatcd

reduced

to

when

reduce ^oinpa-

nied by a high reward, l he reward acts tn reduce dissonance by increasing the consistency side some

of

fdnii

the

of

indnidual's

reward

or

balance

sheet

reniuneration

for

Because their

people

in

organiMiions

services,

employees

because

individual

often

are

gncn

can

deal

wich greater dissonaiKv on their jobs than off their jobs. These (lajice,

modemring

they

will

fflcrors

not

suggest

necessarily

diat

move

just

directly

toward

experience

consistency,

that

is,

dissotoward

reduction of this dissonance. If rhe issues uruicriy ing die dissonance are oi inininu! importance, if an individual perceives chat the dissonance is externally imposed and is subsundaily

uneontrolbbic.

or

if

rew

ards

arc

.significant

enough

to

effect

the

ol

cognitive

disso

nance, the indiindual will nor he under great tension to reduce the dissonance. H*hat nance?

It

are can

the help

ioral

change.

For

say

or

things

cheir say

do

anicude or

do.

importance,

in In

organizational to

predict

example, that

order addition,

choice,

and

if

implicanons

the

prupenUn*

individuals

contradict to

nuke

the

their

it

tu

the

the

personal with

dissonaiue

factors—the

theory

engage

required

compatible

greater

reward

are

of

in

b<xh

by the

attitude, ihe

demands they

the

ic

of

and their

will

lend

to

of

what

they

cognition

—after

greater

attitude

has

been

pressures

disso^ behavjob

to

mexlifr must

moderated to

by

reduce

IIK

dissonance. The Attitude/Bchavior Relationship Early research on (he relatiou-ship between attitiidcs and behavior assumed them to be causally related; (Jiat is. the ammdes people hold determine what thev do. Conmwn sense, tw. suggests a relationship. Isn't n logical itu.c people watch tclension programs .hey like or that employees tn- to avoid assignments they find discastefuP hehavSr?^ Ri‘"

relationship between attitudes and

ari^ X chall^ged by a review ol the research.-^ On the l«sis of an evaluI I .nvestigated rhe .\-B reiaiionship, rhe reviewer concluded that attitudes were unrelated to behavior or. at best, oniv sUghtly related More ^nt

research

has

demonstrated

that

there

is

indeed

a

measurable

r7h

J^W

modcMting contingency vanaNes are taken iim. consideration One A.ng that improves our chances of finding significant A-B relaoonshi« « the use of both specific attinidcs and specific liehaviors 1. i. .v

ywther moderator is social constraints on behavior r>i«cr««„,.;-. ««W1- beh„,„ .....



Chapter 2 hiundauons of Wividual Muvior K*ha**e in » vcrtain way hold cuxpunnal power. Gnxip pres^iurcs, fnr inaurKe. may explain why an cinpInyTC whn holds wmg anri-union attimdc!^ attends pnnunion oq^ni ring imn ings. Of tTmrsv. A and B may be at odds for other reasons, individtiak can and do hold amtradimory attitudes at a giv'cn time, though, toward

cxinsistcncy.

In

addition,

other

things

as we have noted, there are |>ressures besides

attitudes

influence

behavior.

But

ir is fair to say that, in spite of some arracks, most A-B studies yield positive resnJu— in other words attirudes
PERCEPTION P«rcq>lion

is

a

process

impressions

in

order

consistently

demonstrates

by

to

which

give

individuals

meaning

that

different

h)

organize

their

and

interpret

environment.

individuals

may

look

Research at

the

their on

sensory

perception

same

thing

yet

pen Give ir differently. 'I’he fact is dial none of us sees reility. Whai w-e do is inierprci what we see and call it reality. Factors InHuenung Perception How do wt explain rhe fact that people perceive the same thing differently? A number of fectors operate co shape and sometimes distort perceprion. These factors can reside ill the /irw/tvr. in the ubjeci or forger being pen:ei*ed, or m the context of the.t/nwnw in which the perception is made. W’hen 5e«,

that

an

individual

interpretation

indrviduai

perceiver.

looks

is

at

a

heavily

Personal

uiget

and

influenced

attempts

by

characteristics

the

ro

intcipret

personal

affecting

what

he

characteristics

pertc[Minn

include

tit

she

of

the

attitudes,

personality, motives, interesrs, past experiences, and expectations. Characteristics of rhe target being observ ed can affect what is perceived. T.xiud people

are

more

likely

citremely

attractive

or

isolatkm.

the

to

be

noticed

unattractive

relationship

uf

a

in

a

group

individuals.

target

to

than

Because

its

are

quiet

laigers

background

one*.

arc

inflornccs

not

So,

too,

looked

perception,

are

at

as

in

does

our tendency to group ckisc things and similar things together. I’he

context

in

which

we

see

objects

or

events

is

also

imponant.

The

time

al

which an oliject or event is seen can influence attention, as can location, light, heat, or any number of situational factors. Anribution Theory Mudi

of

cemed

the with

research human

on

pcrceptiiMi

beings,

so

is

our

directed

disnistion

at of

inanimate perception

objects. should

But

OB

fincus

is

on

cun-

person

pert eption. < fur

ix’rreptions of people differ from our pcrceptionv of inanimate obiecis such

as deUcs. machines, or buildings because we make inferences about rhe actions ol peo-

ple that wc don't nuke about inanimate objects. Nonliving objects are subject to rhe bws
that

when

we

obserse

people,

we

attempt

to

develop

explanations

of

why

they

behasc in certain wai^s, Our perception and judgmeni of a person s actions. therefiKe, «i8

hr

nal atau.

ugnifkandy

influenced

bv

the

assumptions

we

make

alxMit

the

person^

inter-

The Indieiduxl in d* . U k.u if-r-n i.rowKeJ VMleveh.pcxplnnatiotis ofhow we judge Attribution theoryrhiUKcn proppedu P |»ehavi<,r.2* people ddferen.ly Observe an individuS - behavior, we t

d

"tJS

Sdier

l«s

inb-lc

ii

internally or exten.aUy caused. That determn.a(p disb.ittivcness, (2) ronsens.is, and (3) CCMIdifference’ l>etween internal and external eausati-m,

attempt to

was

ihenebborateoiieachoftherhrcedeicnn.ningfactors.

,

eausetl behaviors are those believed to be under the personal control of the individual’-

eause.l behavior results from outside causes; that is, the per-

-sor is seen as forced into the behavior by die situation. If one of your employees was late tor work, you niitht attribute his l.itencss to his parrying into the wee hours ol the morning

and

then

oversleeping.

attribured

bk

road

regularly

he

arriving

laic

to

uses,

I'his a

thcu

wo.d.l

major yuu

he

an

internal

antvimuhilc

wuJd

be

interpretation.

.iccidcni

making

that

an

tied

Rut

up

external

if

you

traffic

on

artrilmtion.

As

obsen'ersv we have a i crulency to lu^ftunic dial others’ behavjiir is internally controlled, while we lend to exaegerate die degree to which our own behavior is cAtcrDaily determined, but Ais i$ a broad genera lira bon. There sbU exists a considerable amount of deviation in aiiribuiiun, depending on how wc interpret the distinctivem^ss, consen-

sus, and consisiency of the attic »ns. refers

tn

whether

an

individual

displays

different

behavaoi5

in

dif

ferent siruanons. Is the employee who arrives late today also (he source of complaints by co-workers few^ being a *gnof-off”? VVTiat we want to know is wheAcr Ais beiw'ior is unusual. If it is, ibe observa" is likely to give the behavior an external aiirihudun. If this action is not unwjiie, it will prolhibly be judged as internal. It even one why is faced with a similar situation responds in die same tray, we Our tardy cmjJtnxc’s l>chavior would meet

can say die behavior shows

this criterion if all employees who took the same route to work were also late. From an

attribution

pcr^^pective,

external

attrihiitioa

tt«k

same

ihc

to

route

if

consensus

the made

is

t.i

you

unliness;

employee’s ii

high

work

on

would

whereas

rime,

your

be if

expected uAer

conclusion

to

gis'c

employees

for

causadon

an who

would

be uitcrnal. Finally, an observer looks for awjiffoiry in a person’s acrioas. Does die person respond Ac same way over rime? Coming m 10 minutes late for stork is not perceived m Ac same way if tor one eniphn ee it represents an unusual case (she hasn't lieen late or several months) while for anodier ,t is part of a routine pAtten. (she is late tuo or consistent the behavior, the more the observer is inclined co attribute it to internal causes. I

he

behanors sinianonal course,

are

preceding not

amtett. the

It

explains

whar

,xr«.vedI

similarly.

you

a

instructor

have is

likely

you W’c

have look

reputation io

seen

is

al a

disregard

operaling

acnons good the

an,I

student poor

for

years

judge wt

exam

atinbute the cause <.f this unusual performance to external condiHnn ’ t

Aem

&il

one

M>hvS

AH

similar

uJthm

th^

test

in

a

IL

k

il

’u

your fault: (But the teacher is not likely to ignore rhe S '^rsl f has a cx.nMStent record of l«ing a |x»r performer.) Sinularlv. if eveTyX’iiTbTfT^) the test, the instructor might attribute the outuime to external causes under the students' own control He or she might coi.clude^r^" were p«.H, wr.nen, the n.mi was too warm, or that the students diS rtMiy prercqiuMtes.

'

Dcc«

Chapter 2 FoundaOons of Individual Behavior /\nt»thtr ittascs we

that

make

irnportanr

distort

iitrribuuons.

jtKlKiiinHs

esdntate

the

personal

factors?'^

finding

abmit

influence

of

from I’’or

the

is

instance,

bchfl^^o^

extern.11

This

attnbiirion

called

the

there

of

factors

theory is

people,

and

is

there

subsranttfll we

have

overestimate

fiioxiameatai

dial a

rhe

aic

or

evidence

that

when

tendency

ro

under-

influence

actritrution

errors

error

of

and

internal can

or

explain

uhV a sales manai^cr is prone to attribute poor pcrfoimancc of her sales agents to lazinew rather than to the in nova rive pr<xJact line introduced by a competitor. 'I'herc is also a rendenci’ for individuals to attribute their owrj successes to internal factors such as ahi I in' or effort while purring die blajxic for failure on external factors such as luck. This is c alled the self-serving bias and hugge?
performance

reviews

will

be

predicubly

distorted

by

recipients

depending

on

organizations.

For

M hether it is positive or negative.

Shortcuts to Judging Others Making

judgments

example, dves

managers

as<;e«

judennenes Some

about

nf

regubrlv

whether

about

others

these

done

ct’aluate

their

othen

is

the

co-workers

is

difficult

shurrcuis

are

all

the

performance

are

To

rime

jiurting

make

the

valuable—they

by

people

of

their

forth

task

allow

their

easier,

us

to

in

employees, fall

and

effort.

But

individuals cake make

ojiera* making

shortcuts.

accurate

perceptions

rapidly and provade valitl data foe making predictions. How'C\x*r, tiicy can also result in significant distortions. hl div i duals cannot assimilate all they observe, so they use selectivity. They take in data in bits and pieces. But these bits and pieces are not chosen randomly; rbey are selccovcly of

the

chosen

observer

depending

Selective

on

the

perception

interests,

allows

us

background, to

“speed

experience,

read’

others

and

but

aiiicudes

not

without

the risk of drawing an inaccurate picture. Its easy to judge others if we assume they are similar tx> us. Assumed similarity, or

the

“like

inc”

effect,

results

in

an

individual’s

perception

of

others

being

influented

more bj* what die observer i.s like dian by what the person being obscivcd is like. If you

want

challenge

the

same.

People

instances

when

and who

they

responsibility assume

iudge

that

in

your

others

someone

who

job,

arc

you

like

actually

maj’

assume

them

will

like

them.

is

be

rhar

right

The

others

only

rest

of

want

in

those

the

time,

they’ll be wrong. MTicn we judge someone on the ba.sis of our perception of the group to which he

or

more

she

belongs,

stable

wc

are

employees

using

than

the

singles”

shortcut or

called

“union

stereotyping.

people

expect

“Married

something

people for

are

nothing"

are examples of stereotypes, lb the degree that a stereotype is a factual geucralizarion, it

helps

in

making

accurate

judgmeiiis.

But

many

srcreotypcs

have

no

foundation

in

fact. In chest* latter cases, scereotypcs distort judgments. \N’hen we draw’ a general impression about an individual on the basis of a single duracteristic

such

ing,

unusual

ItX

hevcf an fact,

not

may

perceive

irrespunsihie the

happened

for a

pers«t

evulidatv n

intelligence,

that

may a

the

sociability, halo

sloppily whh be single

effect

dressed

an

or to

occur

candidate

unpnffesskinal

highl>*

appearance,

responsible,

for

a

arritude

halo

selection marketing

and

professional,

trait—appearance—has

the iuervicwer's general perception uf the individual.

during

a

effect interviews.

research

marginal and

overridden

is

other

An

inter-

position

abilities

competent.

operat-

when, VMiat

characteristics

as in has in

1

M

Part II

IV Inflividual >n the LEARNING _

..

,

The fin^l

.

If we .n explain, prj

= »™'S sin I

nV?^ew iat'its vs hal we
sSnuondv dehnX

>n.^r

of

IMXUTS

to

leaSai.

school." therefore,

Learning

is

.s

rekutely

any

going

on

helps

us

inodflte

.

do

wc

le^rn?

pAbihit

adjpt

ro.

nixsicry

chnneingcondidonSa

2-4

our we

,

siimmarixes

environment

become

the

permanent

as a ix'siilr (»f experience. How

all

A

change

m

more

that

, learningpnKess.

changing

responsible

acerate

l,ehav,or

. the

By

t.mc.

our

cai?.cns

hirsu

behavior

and

learning

to

accom-

prodnenvc

employ-

ees. But learning is built on ibc law of eftcct, which says that behavior is a fimciion of its

consequences.-^

Sclwtdor

that

is

followed

by

a

favorable

cunscqucncc

tends

to

EH;

re I >e a Led; behavior followed by an unfavorable consequence tends nor to be repeated. Consequence, (i.e.,

money,

approach,

in

this

praise,

you‘rt

temiincJogy,

promotions,

likely

to

a

refers

to

smile).

repeat

±ac

antihiiig

If your

boss

a

person

compliincurs

Conv’^rscly,

bchav-ior,

considers

if

you

you’re

on

rewarding your

sales

reprimanded

for

your sales approach, you’re less likely to repeat it. But the keys to the learning process arc the two theories, or explanations, of how we learn. One is shopsnjf and the other is WTien

learning

emfdoycc

takes

behavior

place

by

in

graduated

xweTnatically

steps,

reinforcing,

it

is

through

shaped. rewards,

Managers each

shape

successive

stepdiat moves the employee closer co the desired behavior. iMuch of our learning lias referring

to

’diaping- Wc try, wt fail, and wc irj- again. Through such series of uiaJ and error,

MX

been

done

master

by

skills

shaping.

such

as

M'hen

riding

we

a

speak

hicyxlc.

of‘"learning

plariug

a

by

mistakes,”

musical

w’c

instrument,

are

performing

basic

matheinadcal computations and answering multiple-choice qiiesmons on tests.' in addition to shaping, much of what we have learned is the rc:>ult of observing others process

and IS

modeling usually

our

behavior

after

slow,

modeling

can

them.

V^^ereas

produce

’""T

Xol nr?'

complex

the

trial-and-error

behavioral

learning

changes

quite

having aoubie in

doHTi pal. Then observe that person tn see what he nr she b doing that is diftrent from our ar^roach. If wc find some differences, wc incorporate S

EXHIBIT 2-4 The Leeming Process

.1

tha"

Chapte r 2 Vnun d atiens of Individual

Behavior

ior repcmiin*. If our perfonuanee impnives (a favorable t onseqiwnceh we’re likely to make » jK'niuntni change in our behavior tu reflect whnt we've seen w’ork for others. T he process i.9 tiie same at work as it i.s in school. A new employee who wants to IM? siiccesshil on her job Is likely to look for MJineone in the organization who is well respected and sijceesshjl and tlien try to imitate that persons hehavior. IMPltCATIONS FOR MANAGCRS

........ This ihein

chapter

together

;»n
introduced

several

dcinonscrate

their

psychological importance

for

concepts. die

Let’s

maniiger

now

who

is

put trying

to understand oF^aniz-aiis^nal behavior. Exhihir 2-5 suuun arizes our discussion of in dividual behavior. In verv siinplified

terms,

we

can

say

ih.li

an

individual

enters

an

organiz^uon

with

a

rela-

tive h' enu’cnchcd set of values and a tutu des, an
or

values,

she

attitudes,

enters

an

and

personality

organization.

I

low

arc

essentially

employees

ment (perception) will influence their level

“givens”

interpret

of mocivation (the

their

ai work

the

time

environ-

topic of Chapters 4

and 5). w hat they Icam on the job, and, evenmally, their iadiridual w ork beliavior. We’ve al«o added ahihry ni our model co acknowledge rhar sn in divid naPs behavior is influenced by die talents and skills that person holds when he or she joins the organization. Lcanting, of course, w ill alter this variable aver lirne.

Values Why

should

don’t

direcdv

So

know

a

manager

influence

ledge

of

seek

to

behavior,

an

individual^

know values

an

inditd

strongly

system

can

dual's

inllucncc piovide

values? a

insighr

Though

person’s into

his

they

atticudes. or

her

acQCudes. Given that people’s values differ, managers can use the Rokeach Value Sun-ey to evaluate job applicants anil tletemtinc if their values align with the

OCHIBIT 2-5 l^y Variables Affecting Individual Behavior

27

1

7fl Part II ITie todivirfual ir the OrparuMtinn * dominant values of the .tfgnnizanym.^ are likely m Iw higher XytL^^A^Xd and freedom is Iikeiy a S

m be

m

sive

satisfied dunng

4, ..mKirivet: s ncrfurm^Ticc and sanwction organization. For tance on imagination, independence,

with

an organization that seeks „ „„ ,nore likely to appreciate, evaluaie JKW-

if they perceive

the

selection

of

that they do

new

employees

fit. to

1 bs ar^cs for find

,ob

eon-

management

candidates

who

nor

only have rhe ability, expermnee, and mouvauor. (n perform, hut also J value system that is compaobk with rhe organization’s. In addition, while values are certainly not nnifnnn among individuals cl rhe same age the feet that people of toninion ages have similar experiences Translates into somewhat similar work values. This suggests tliat people of like gcneraiicms may find it easier to work together and help explain value conflicts among people different genera tii ms.

Attitudes Managers influence and

should

be

behavior.

absenteeism

resignations

interested

Satisfied tlian

and

hi

employees,

dissarisfiwl

alisences

their for

employees’ instance,

employees.

Given

down—especially

attitudes

have diar

among

lower

because

attitudes

rates

turnover

managers their

of

want

more

to

keep

productive

employees—they will want lo do diings that will generate positive job ararudes. Research on the sad section /productivity relationship has important ini plications for managers. It suggests that the god of making employees happy on the assumpaon that doing sc will lead to high productivit}' is probably misdirected. .WMgers would pel belter reMilts by directing rheir attention priinanlv to what help employees become more ptmlucrive. Suctebs-ful job perfonnancc shook! then lead ro feeling of accompJishmeni, increased pay, promotions, and other rewards— all desirable oi.tcoaies- -u^hicii then lead to satisfaction with the job, Atanagers should also be aw-are that employees will try to reduce cognitive dissonance,

More

required

engage

to

important, m

dissonance

activities

that

can

appear

be

inconsistent

odds with their attitudes, the pressures to reduce the lessened when the employee nemeive. ,k.. . beyond his or her control or if the rewards dissonance.

mana^l. to

If

employees

them

or^ibL

are

are

at

r resulting .l.ssonance are exremaliy imposed and sigruficani enough to offset the

Perception Managers need to recognize that reality. So whether a manager's appraisal of L, unbiased or whether the organization^ wa«e est in the industry is less relevant than what who perceive appraisals as biased or wage lev. k dmons acnially exist, regardless of reality mterprci what they see; inhereni in this proceJ dtsttirtion.

their

empt.„.c«

rear,

w. to

objective and ^t^tijally among the hifd»Individuals *'*^ ^**«'’«‘•’►if those cnorgumzc and '=* tl-e potential hw perceptual

Oiapter 2 Fnundarions of Individual Bchavi The message to mana^rs should be clear: They need t£> pay close attention to

hi***

emplovccs

perceive

both

their

jobs

and

managvment

practices.

Rememljcr,

Ac valuable employee who quits for an invalid reastjn is just as “gone” as one who quits r« a valid reason.

Learning The

issue

isn’t wheAer

employees

continually learn

on

the

job

or

not

They du!

The only issue is wdieAcr managers are going to let employee learning occur randomly

or

alkwate raises

whcAer

and and

Ae

they

arc

examples

pnunotions,

going

Aey

Acy

will

managers warn bchasnor

A,

but

find

to

employees

learning

to

set.

manage

If

learning—through

marginal

have

liede

employees

reason

reward behavior

engage

in

behavior

to

arc

die

rewarded

change

B, it sliouldn’t R.

rewards

Similarly,

rhcir

they

wiA

behavior.

sury>rue managers

Asm

pay If i«

should

expect that employees will look to them as models. Managers who are constantly late to w’ork, or take two hours for lunch, or help Aeinsch'cs to company office supplies

for

personal

use,

should

expect

sending and model Acir behavior accordingly.

employees

to

read

Ae

message

diey're

A a 4, * 1

CHAPTER 3 _________________________ _

Personality and Emotions After redding this chapter, you should be able to Descrioe inv eig^t cetegcnes m th? VBTl per$o
Orfferentlate from drsMyeO emotions

in

l^ttfy the six universal emotions Explain

differences

to

emotional

reactions

and

reacfing

otfien

Describe wys in which emotions influence work*related behavior

w

7.

gender

.npl..ye«

enter

the

orpnizadon

their personal,o« fave a

>tith

fairly

well-cstaWished

personalities.

.And

influence on their befavior « wort In this chap-

ter. wc mtrod^seAeral m^els for clasMhing p«^^sonaJiries <>t matching penonaijtv «ith |<>bs H) increase emnlnv^^ , to the topic of ent,U^.lc long

and

show

the -rc

importance **

behavior, we’ll show how etntfoons pit a I rrJe fo hl

*’! organizational “P*""

employee befavior.

PERSONALITY S,-ne

,w,.pk

are

quirt

and

passive;

others

are

loud

and

acBresatve

peciple in leni»> of chararteristitt such as quiet, passive Unal.,»

ouiaWc.

ue’re

categiHinng

them

»n.L

\

** d««ribe in

tern^rfL-^



ygieaMve.

uah p«>«.lity. ihercfurc. o the o^fanation yfy (hai twrvm

~

r’zwwigicU UWa wr lar tu d4»'

amhitMiin.

Chapt^ 3 PcrRonaliiy and K mo firms ITie Myers-Briggs Type Indicator

On thi; basis of’the aiisu^ers iiniivdduals give to the test, they arc clissified as extriH veruil or in cn> verted (K or I), sensing or intuitive (S or N), thinking or feding fl' or F), and perceiving or judging (P e»r J). These classifications arc then combined into 16 perwinalin* npes 7b illiHtrate, let’s take several examples. UsTJs arc risioouhes. They nsuallv have onginal mindK and great drive for rheir own ideasand purposes. They’re dnrartenzed

as

ricepucal,

critical

independent,

delerinined,

and

often

stubborn.

ESTIs

are organ iters. They’re praciieal. realistic, niaucr-of-f^r, wnrh a natural head for busincse- or mechanics, Thes* like ro organize and run acuviiies. 7'he F.NTP type is a conceptLializer. I le or she is quick, ingenious, and good Jt many things. 'This person lends tu be resource fid in salting challenging problems but may neglect murine assignments. A

snuf)-

MK’cesjsful

thai

finus

profiled

such

as

13

Apple

contemporary (Computer.

businesspeople

FedEx,

Hontla

who

.Morors,

created Abcrosoft,

superPrice

Club, and Sony found all I? to be intuitive diiiikers (NTs).“ I'his finding is particularly intcresoIig because rnniidvc thinkers represent only about 5 percent of ihc population. Wore than 3 million people a year take the AWTI in the United States alone. Organirdtions using die .MB71 include Apple Computer, AT&T, GE, Co., plus

The Big-Five Model

In recent years, an impressive bodv of research supjxircs that five basic personalin- dimensions underlie ail others. Fartr’in; in the Big Five Model are;

Cwfn«7rM/wB€.ty: This diniensiun is a measure olTdlability. highly consden-

Peoplc with peftitive emotional stabilit)* tend to be calm, self-confident, and secure. I hr we with highly negative scores tend tu be nervous, anxious, depressed, and insecure. Opmn^a tA exfffnenar. I'he final dimension addresses an individual’s range of inrerr
and

£ucinauon

with

noveln.

Ewemelv

open

people

are

ertadve.

curi-

ous. and artisdcally sensitive. Those at the other end «jf the openness categors’ are e<xivencKKial and find comftirt in the familiar.

iw Wkuto.1 in Ae <»rg»ni««.on

.

.

r^t Z nee^s architects, accountants, attorneys), pohce, managers, salesa„a s.,iea lr:S7>^xk

S

showed

Htat

ecnscenriousness

"'“"'iS otherp“?2.t'inv!L fomtance formance

occupations

involve

to

be

W^at

«asn

c

Intuitively, almost

and

managerial

found

it

all

occupational and

high

itnixiriant so

clear

tvould

jobs

job

perfor-

predictability^ depended on both the per-

criterion in

pre.hcted

in

whi'

Aat

people

people

who

who

arc

result

Similarly,

training

emotional

instance,

This

mteracuon.

predicting

was

For

positions.

social

seem

than

sales

group.

extrovcnion makes

sense

because

openness

to

experience

profiaency.

stalnlity are

anxious

which,

wasn’t

calm and

predKted

coo

related

and

to

secure

insecure.

seems job

would

I'hc

perthese was

logical.

perlomiancc.

do

belter

researchers

on

suggested

that rhe answer might be chat only people who score fairly high on emotional stability retain

their

whom

jobs.

If

that

were

is

true,

then

cmployeds

the

range

among

fcnil

to

would

chow

people

Iw

studied, ejuile

all

of

.^niall.

Other Kev Personalitv Attributes *• Six

addiuunal

penoiuUn

direct

relevance

locus

of

for

control,

axcributes

explaining

havY

and

.Macliiavcllianism,

been

predicting

idenrified behavior

self-esteem,

th^t in

appear

to

urganizadons.

self-monitnring,

risk

have I

nuire

hey

are

propensih;

and

*T>'pe A personalitv. Some

people believe they arc

masters of

their

own fate. Other

people see

them*

ticbes as pawns of fare, believing diar what happens to them is due to hick or chance, l/xnis of concrul in the first case is intcniab these people believe the>’ cx^trd their destiny.

Those

who

see

Hwir

life

as

being

conUoIltd

b\'

outsiders

are

externals.

The

cvi-

dence shows dur employees who rate higli in externality are !c« Mtisfied with their jobs, mure alienated from die work setting, and Ir-ss involverl in their jolis than are internals. I*

5

*J•



a pKjr pcrtbrrnance evahiution

on their bosss prejudice, their co-workers, or other events outside their control. Intern^ would probably explain the same evaluation in tenns of their own actions Machiavellianism (Mach) is named after N.ccolu Maduavelh who wTote m the sixteenth centun- on how to gam and u.sc power.

.nd>v.dualI cxhihicing strong .Machiavellian tendencies is manipulative

maintains emounnal dtstance, and believes that end.s cat, justify means Tf n worb use It is consistent with a high Mach pcispective. Not surnricT,„l. \ L t nii>re likely to engage in Iw-havi.ir that is cthicallv nu«M ^ki E Do Hgh Machs make good employees? That answX X^s on tJe n" f 1

1

whether you consider cihicai implications in evaluatinr^erfJin^ require bargaining skills (such as labor negotiator) or wL"^ " rewards for winning (as in commissioned sales), high Machs will “c the ends can't jusbf) the means nr if rhere are no ahsolum our ability to predict a high Mach^ perfoniiance wilt be i People difter ,n the degree to which they |,ke or di.slikTl* L'ullcd acK-e^teem. Resr-jnh finds dim

' ptoduccivc. But it performance. Tb«s trail i»

directly

chapter su
Pei»ple

with

sbiliA

rhn’

Aftxx

5Aisceptibilii5

external

need

in

from

and

are

arc

high

others

and,

terms

of

to

are

and

a

to

ai

therefore,

are

work.

with

SEs

result,

they

arc

low

likely

more

take

evidence

has

SK

arc

on

rhe

likely

will

tend

dwt

they also

ing

you

their

behavior

monitoring. enrh'm

High

dificrent

to

and

ever

They

nodec to

that

some

changing

situations?

.self-monitors

are

siniations.

hey're

1

people

Thu

sensitive

hide

rheir

true

selves.

On

display

their

true

dispositions

are

much

i-s

to

bciier

because

external

cues

chameleons—able

to

the

low’

other

and

hand,

actinides

in

score

and

can

change

co

of

those

they

respect

be

concerned than

arc

arc

more

at

adjust-

high

in

self-

behave

di

Her-

In

sclf-ninnirors

every

the are

hiniation.

'I

situation consistent.

hc

evidence

suggests that high self-monitors tend ro pay closer artendon to the behavior of others and

are

tend

to

more be

capable

better

at

of

conforming

playnng

than

low*

organizational

self-raonitors.

politics

because

High

self-monitors

thcy'ie

sensitive

also

to

cues

high

risk

and can put on different “faces” for different audiences. People propensity

differ

make

in

their

more

rapid

choices

than

individuals

tinn

align

employee

a

to

high

trader other

a

hand,

accountant

brokerage this who

with

risk

risk-taking firm.

personality jicrfonns

to

decisions low

propensity’

risk-taidng

in

willingne.ss

lake

and

This

lead

type

with

to

of

chaj-actcristic

auditing

use

less

propensity.

prnjiensiry

may

chances.

more

information

in

might

prove

rapid to

latter

might

be

job

use

a

making

their

this

infouna-

demands.

For

instance,

performance

for

a

job

effective

demands

This

with

specific

job

actirities.

Individuals

Alanaffers

decision

making.

a

obstacle

major

might

be

stock

On

better

the

for

an

filled

by

someone with a low risk-taking projjensjty Do you know people w'ho are excessively coinpennve and always seem ro be e.vperiencing a sense of time urgency ? If you do, ifs a good bet that those people have a

Type

A

personality.

Type

.As

are

characterized

by an

incessant

struggle

to

achieve

more and more in less and less tinte. They’re inipaiicnt. cope poorly with leisure time, and

create

a

life

of

self-imposed

deadlines.

Tn

North

AmcricaJi

culture,

such

charac-

teristics lend ro be Eighh’ prized and positively associated with anibition and the successful workers.

acquriiiion They

demonstrate

their

of

material

emphasize

goods.

quantity’

competitiveness

hy

In

terms

over

of

work

quality.

In

long

hours

working

beha^nor,

Type

managerial and.

not

2^

are

fast

positions,

Type

infrequently,

mak-

ing poor decision* because they' make them too last, lype .A^ are also rarely’ creative. Because of iheir concern with quantity and speed, they rely <jn past experiences when faced with problems. They will not allocate the time necessary n> develop unique srdutiuns to neu problems, li appears that the Type A personality* is more likely to lead to hi^

perfortoance

in

jobs

such

as

sales

than

it

docs

in

senior

executive

Personality and National Culture IXi personality* frameworks, like the Big Five model, transfer across cultures? Are dunensams such as focus of cuntrd and the Type A personality relevant in all culmres? I^i oy u> answer these que&uorw.

4

positive from

orhers

they

susceptible

approval

positions.

witli high

31 the

found

seek

SEs

than

Ix^en

of

their jobs than are low SEs. Did

Emoboru possess

more

receipt

stands

high

and

ti>

tn

unpopular

indicates

that

(SEj

behaviors

SEs

to

low

depend

torheheliefrand

positions,

the

People

Personality

believe

Self-esteeiTi

Low

less

sati^fjcrion,

instance*

SEs.

conform

managerial

for

influences.

high

In

job

Hutvecd

as

prone

SEs.

seif-esteem,

outside

than

more

others

order to

influences

uations

high

3

tn to eval-

others than pleasing

SEs.

sadsficil

In with

Ilic IndividuaJ in Gr^jniauor J . f J Hiff Five model appear in aJm*j« rhe five penonalir>'fACiors iden ic „( (.ulnire', --nuch as China. cToss-tulrural studies I his invutes a * Pakistan, and the United States. b,.d, Jup.n. Diflfinwccs rend tosurbte > t c tn p Ac c«ep.ry

Chine-M- fo. e»...plc, us. rateporv of agrccahlcntss h.gh amount of agreenwn,.

i^iiXSTirum dex^elopcxl countries. As □ «« m point a wrapre o%tudi« cmenng people from rhe l.-n.mn Etirope.n (^mun.ty found *« cmsc-ient.ousness was a vahd predictor of pcrfonnnnce across pbs and occutoriond eroups.^ Thts Ls exactly whar U.S. studies have found. There insanix.

are

find

infiuejiccs

nn

high

the

common

and

lou

dominant

pcrsonalit)’ in

n.k-takers

personal

ir>’

types

tar

almost

a

any

cbarattcristics

given

country.

cultufv.

Yet

a

You

can,

country’s

of

its

pnixilaaon.

we

can

terms

of

people’s

relationAip

Amenca,

people

for

culture

see

this

to

their

by looking at locus of control and the lype .A personaiity. There

B

environment/* they

can

Eastern to

evidence

that

some

cultures,

in

dominare

countries,

internal

portion

and

of

their

believe crtcmal

internals

cultures such

as

envirnnment. that

lite

IOCILS

in

differ

is

of

the

m

those

in

North

People

in

other

essentially

ixintrol.

American

We

preordained.

should

anil

societies,

Canadian

such

Notice

expect,

the

therefore,

workforce

believe

than

that

as

Middle

close

parallel

a

larger

in

the

proSaudi

Arabian or Iranian workforce. Tlie

prevalence

of

Type

A

personalities

will

be

somewdiai

influenced

by

the

cul-

ture in which a perMin grows up. There are Jypc As in every' country, but there v.'ill lie more

in

capitalistic

ued.

For

instance,

lation

Ls

(.anada stress as

Type

boih

countries, it

is

A<’

hai’e

a

and

estimated

pcrcenage

high

emphasis

and

France,

achievement

that

I’his

acaimplishfiKIlls

Sn-eden

where

about

acquisition

where

50

shouldn’t t>n

rime

of

and

percent

be

of

is

and

less

success the

surprising,

management

money

maierialism

inatehal

tvig+ily

American

United

efOdcncy.

material

revered,

North

The

and

are

goods.

In

wc would

popu-

States

Both

and

Cultures

cultures

predkr

val-

such

a

smaller

logic,

effriris

proportion of Type A personaJiiiei*. Matching Personalities and Jobs Obviously, have

been

personality «

individual made |ol>fit

employees

personalities ,o

match

Aeon,

,s

saosfeetion

with

Si:” Mx n

differ.

So,

personalities

too, with

do

the

the

mx-personality-types

and

propeasity

to

jobs.

leave

Following

proper model his

.<

this

jol«. This her

The

model job

Researched states

depend

on

that the

persondity matches his or her occupatio^l environ-

tarns

--

like or dislike, and their answers Ire used to fo^^ procedure. research suonglv supptnis the hesaXfd^Za lire shows that the doser L fieiX or trv highly dissiinihr Uliat does >11 ihw me*n? I he iheon argues nimover UiweM when fiersonaiity and iiccupatinn are in

‘"V'’ wxw rfiagonally ufip
Chapter 3 Pervonulity and F.mooona

EXMWf

Hofland's Typology of ^sonalily and Sample Occtnations

_______________ Rralbear: Pre fen phyticel iHriTies that require stcill. strength, ami c«H»rdjnaOoo Imxatifiim PrefiBn M*nM(»c> invoking thinking, onraniring. and umferstindjfig Social: Prrh pi acnriboihst mtTvkc helpiog and deteJopiiig others CnaventionaJ. Preten rule* re/ulaml, urderi); and nnambipHMK actirioes Enterprising'. Pre^n v’crhal aemme^ an which there «v oppcartii nines to influence others and anam pow er Arisbe Prefers ambiguous and unsy^matic activihcs diat allow creative evpression

Personality Charactcristk<

Sample Occuparioos

Shy. genuine, persistent, staWc.

Mechanic, drill press open ror, a«c(nb|y«1inc worker, fanner

CiiO6irming, practical i\fMl>*t)tal, originaL curious, independent

Djolfjgist, economist. fDJthenuQcUn, nei^'i r^orcer

Socialdc. friendly, erxiperaiivc, undemanding ^^vnfrjrmtng. efficient, practical, unimaginaiive. inflexible Self "Confident, amhiooua, energetic, domineering

Social work LT. tdcher. counselor, cbnical psych olcgist Accnuni am, rtr JH irai e mina^. b&nk celter, file dcrk Lavycr. real mare public rdaikfOa speualial. small business manager

I magi nah ve, Painter, musician, writer, interior liecnrarnr disorderly. idcalisQc. etnotionsl. imprachcaJ SMca BaM on J.t HoHan^. Uafcm^ UXMMMT Cnoees. A ^mry Qt incatroMi ^rsonMrMs and Ut* &?wlnxmePts. 2nd

M.

Saddle fine. NJ: P<Mce Hau. 19BSK

EXmiT 3-'2 Hexagonal Diagram tii the Relationship among Occupational

.5

(Q

ArtitPe (A)

Cemmionaf

Personality Types

-nKb„lkidu#llnthenrp»mr»t'.in In should

he

in


jobs,

jsric person in a realnn*.’

convmmn‘ ’

torth. A realsituation

J* . . •

an invfsripiivc job. A realistic pereon i ■. nonpr^sibk. The key points of tbs m.HJel

than

a

realiadc

person

ifi

^he most incimp-ucnt snua-

,j) there do appear to he intrinsic J,

personality di.ferences among .nd.«dna s. < J

,htmld be wore

”;S?."nlS:tardy -han pe.>plc in mcongmeo, io...

EMOTIONS (>n Dcceinlxr 26. 2(Klft, a 42-ycar-olil software tester al a Boston-are.i Internet ctinsulrinc firm walked into his place ,>f work. zVmed witli an AK-47 assatilr nfle, a sly.tgun, and a wmiatnomaue handfim, he killed seven of his co-workm. hor dus worker, anger had led to violence. Going on a shooting rampage ar work is in exirccnc example, but it does dramadmllv illusrraie rhe rheme nt this section: Emotions arc an important factor m « empJoyee behavior. Given rhe nbviwis role rfiat emotions play in our everyday life J t might surprise ^'ou tn learn that, until ver^* recently, the topic ol emotinns had been given little or no aucruion wirhin rhe field of OB J low couJd this!«? Wc can offer n**o possible e>pla[uuons. ITic fir-vt is the myth of rativfiulityy Since the late nineteenrh century, orgailira dons have been esscnnally designed with the objective nf trying to control

emo

tiOQS. It wax twlieved that a weU-rim organization was one thatsuccessfiillv elJniinavcd fruscradon. anger, love, hate, joy grief and similar feelings. Such emotions were seen as die antidwiis nf radonality. So alAough researchers and managers knew Aat emotions were an inseparaWe pan of everyday life, they’ tncil ro create organizadons that were emodnn free. That, of conrse.

not possible, llic second foelor that acted ro

WTIS

keep emntions nut of OR was the belief that rmoiionf of any kimi t’.vrr ihstuptiVf When

emotions

wure

considortd,

the

dix-u.'.sion

focused

on

strong

negative

eian-

ti.m.s- -«peaally anger-chat inierfertxl with m c..,p|oy-cc\ abilitv to do his .«■ her itJ, c^-nvely. Emonoas were rarely xiei^ed as hving conscnjoive or able ro stimulate penonnanr^-ejihancing behaviors. Certainly some enwuons.

partclariy

when

reduce employee pcrlormance. Rut this

exhibited

at

the

wning

time,

can

change the reality that^ mplovees

bnng an emoBona! component with them lu work ei-en- dav and rE« ,n IS complete without txmsidermg the role of eiuotioui in

wo^bce

J'n# Itehavior. ’

'

WTiat Are Emotions? Akhoi^h w donV want to obsess ^miit definiooiis he&w „ analysis, st need to clarifr three tern, and aniuiZt. Afffct b a generic terui that covers a broad ran«. f_« ence. Il’s an umbrella concept that erwompasses both PT * are intense feelings that are directed at .mXne ZT

that

are

. , clriLe^^le^“"t'"'T ,r^/, nwoMofl.'. people expen

fwlings that tend to be lea intense than ciiiotiorts, and th^U^jL^ ’ *^"**'>- •"ood* •'f' Emotioiisarereactiof»h>anobie«.niaatrai(

«‘">nlu'

ywir emotrnrs wlwn jtxi re “haRjy about wwnetbinif

. kbu sh. .u

S- ’WMsome.^c, .rfM.rot

Chapter 3 Persaiulity aad Kmotnu M<xMk on the other hand, aren’t directed Jt an obievt. Emotion!^ can him into moixK when \*t, you might become angn' at him. That is. you show cnuKicHi (anger) towi'anl u specific object (your colleague). But later in the day, you might find youmeit juAi generally dispirited. You can’t attribute this feeling to any single event; yvu're just not vuur nomiak upbeat self. I'his affect state describes a mood. A

related

affect-term

chat

is

gaining

increasing

importance

in

organ!

rarional

behanur is emotiunal labi^r, E\ en* emploj ee expends phx’sical and mental labor when they

put

their

jobs

also

nonally

require

desired

tional for

bodies

labor

are

ex

with

“charge

the

that

co-workers. troops,”

tive

job

the

to the

expected,

component

see

devcloj^d today,

capaliilities.

labor.

during

petted

But

You’re

actions donal

emotions

neutral. job.

every

cognitive

emotional

originally

instance,

tiunall)*

and

in

rclauon

be

chccrlu).

conc*epr leaders

great

stirs

feelings

in

performance

importance has

given

into

their

employee I’he

service

jVrlinc

be

jobs,

counselors labor

expected

speech,

to

for

/\s

emorinnal

of

not

as

a

doctoi^ co

a

this

emoalmost

in

emotional

in

emo-

attendants,

hostile

contains

proceed

of

relevant

on

uisunce.

labor

understanding

draw

wx-

and

most

organita-

Hight

sad.

and

But

concept

seeiiis

courteous

job.

expresses

transactionsJ^

einodonal

others,

of

an

funeral

to

arc

every

increasing

when to

of

example,

Almo-U

that

is

interpersonal

for

And

This

respectively,

inter-

labor

to

strong

cmo-

section,

you’ll

key

component

of

a

heightened

relevance

emotion

effec-

within the field of OB. Felt versus Displayed Emotions Emotional exhibit

labor

creates

emotions

that

dilemmas

are

for

incongruous

employees w

ith

their

when actual

their

job

feelings.

requires

Not

them

to

surprisingly,

tiiis

is a frequent occurrence. For instance, you may find it very
at

work.

someone

Mayl»e

has

said

yon

consider

ncfidve

things

someone’s alwtui

you

personality behind

abrasive.

your

back.

.Maybe

yoo

Reganlless,

your

job requires you to interact with these people on a regular basis. So you’re forced to feign friendliness. It can help vnu to berrer understand emotions if you separate them into fch versus

Felt cmocions arc an individual's acTual emotions. In contrast,


emodoos in

a

are

those

job.

nicj-’re

givxn

that not

arc

organizatiunally-requircd

innate;

they’re

learned.

‘’The

and

considered

ritual

look

of

delight on rhe free of the first nmncr-up as the rww' Aiiss .Americt is announced is a prcxluct of the display rule that losers should mask their sadnes.s with an cKprcsswn of fi*

the

Winner."*

bimilarlv.

tDost

of

us

know’

that

wc

are

expected

m

act

sad

al

funerah regardless of whether we consider the person’s death to be a loss and to pre-

KwJ to be happv at weddings even if wc don’t feel like celebrating?^ Effri*tive roan•ftn

h«T

naluatHm

learned and

to

to

lie

cover

up

serious their

when anger

gning when

an ^ev’ve

einplo\*ec bwn

a

passed

negathx over

fur

pcrfuniiancc promotion.

And the salesperson w ho hasn't learned to snuic and appear friendly, regardless of his «»r her true feelings at the momenu isn't giing to last long on most sales jobs. The kev* point here b that felt and displayed enuitions are often diftcrent- I» freu mans peo^e have problom w*orinng with others simph* bet'ause they naivdy ••me that the onoonm thes* see ochen display is what those others acniall}' fret

Th» w pmeuUrH* true in oqtaniaatKau, in which role denunds and sicuatiofu dUB pcxiple tai nhdMt eniou«ul behaviors that mask their true feelings.

Individual in Orgiwratinn The Six l^nivenal Emotions Hniii and define the fundamental

or

basic set of

.ni^rsal emt.™ ange. fo.n

happ).

'JS T-t Sri that these six emotions can be conc^ahz^ « existing .

^n.u.,o Tile closet any wo emotions are to each other on this contm-

uu"m

irmore

“r^-cntlv

people

nnsuken

are for

likely each

to

eonh.se

other,

them.

whde

For

happiness

fused. bl addition, as we'll elaborate on later m

instancy, and

ihese

disgust

,

six

basic

emotions

-surface

and

are

suriinse

rarely

con-

tbrs secUon, cultural factors can also

influence interpretations. Do

happiness

in

the

,

workplace:-

,

.

.absolutely.

I

get

after receiving a poor performance appraisal, l/ear that 1 could he laid olf as a resuh of a company cutback. I'm ritd about one of my coworkers leaving to take a new job in

another

city.

Fti.

h/pp}

after

being

selected

as

I’m

cmployee-of-thc-month.

disgusted with the way my supervisor Ueats women on our team. And I'm sirrprisetl to find

out

that

management

a

plans

complete

restructuring

of

the

company’s

retire-

raent progmin. Gender and Emotions It's

wddy

that

they

issumed react

that

more

women

are

emotionally

more

anil

arc

*in

touch**

l)erter

able

with to

their

read

feelings

emotions

than in

men—

others.

Is

there any truth to these assumptions? The to

evidence

emotional

expression quently men,

reactions

than

express

women

does

men*^; both

also

confirm

and

abilih'

they

experience

jxisitise

repon

differences

more

and

to

read

others.

emotions

negative

coinfofi

between

in

more

emotions, expressing

men

and

Women

women

show

intenscl>';

anil

except

anger/'

emotions.

Fin

when

greater they In ally,

itcumo

emotional more

fre-

contrast

to

women

are

better at reading nonverbal cues than are nien.-^ V^'hat explains these difference^? Three possible answers have been suggested, One explanation is the different waw men anil wwnen have been socialued.’^ Men arc taught to be tougii and brave; show nig emotion is inconsistent with this Women, on the other hand, are socialised to be Jiurwring. This mav account for die percepuon rh« women are gcuerally warmer and friendlier than men For instance, women arc expected to express more poaiove ennmons on the fob (lor example, l>\ smiling) Aan men, .nd ihe>- do,-’ A second explanation is that women mav have morv innate ab.bnjo read others and present ilieir emoiion, than do

Thirdlv,

uxmHm ouy have a greater need for social approval and, thus, a higher pro,wn.sitv to mow |xjsit I VC emotions such as happiness, o r- i

EXHIBIT 3*3

Emotion Continuum

Chapter 3 Pcrsi>nd»ty and EmoGcjm KoHUkMis and National Culture C^uJiunl n<M*iiis in the U nited Si»u*s dkiatc that cniph»yee^ in seivice organizanons sKudJ Miiilc and

an

friendly when interacting widi

cusunneniz

this norm doesn’t

But

epph* wnrIJu ide. In Israel, •amling by supennarkvl eu^iien* is seen as a >ign of inevperi* eftce. sn caJiiers are encouraged to look somlier.-^ In Moslem cultures, stiiilbg is frequently taken as a sign of sextial attraction, so women are socializetI not to sinile at nwn.^ I'he above examples ilhtstrate the need to consider cultural factors as influeacing what is or isn’t considered cinotionally appropriate. VVTiai's acceptable in one culture iiwv seem exircniclv unusual or even dysfunction a I in aniither. ,^d cultures differ in terms of the iiiicrpretaoo:i dwy gn e to emotions. Inhere lends to l»e high agreement on what cmnrions mean C’lffewt cultures bur not Ixwrrn. For instance, one study asked Americans to match f^ial expressions with the sir universal cmoboiis. I’he range of agreemenr was l)crwecn H6 and 98 percent. V^Tien a group of Japanese were given rhe same task, they correctly labeled cmly surprise (with 97 percent agrecTncni). On the other five emotions, their accuracy ranged from only •“ to 70 percent. Tn addition, studies indicate that some cultures lack words for such standard emotions o-s aHX'kly,

or gt/ih. I'ahidans, as a case in point,

don't have a word directly equivalent ro ?ia
inteliigence

intelligence}^

{FT)

refersi

to

an

assortment

of

nuncognitivc

skills,

ca pa bill tics, and competencies th ar influence a jxrson’s abibty' to succeed in coping with enrironmenul demands and pressures. It’s composed ol fitr dimensions: Se^'-aiTtfrene^. The ability* to he aware of what you’re feeling. The abilitv to manage ime’s own emorions and impulscs. Solf-memvrim. I'hc ability to persist in the ^cc of setbacks and failures. Empathy. The ability* to sense how others are feeling. Saaai rkilis. The ability to handle the emotions of others. Several studies suggest that El may play an ivn|>orunt role in job performance. For inMance. one stuily liMiked ar rhe characwmiics of Bell I,ah engineers who were rated as stars by their peers, I’he vienrisw concluded that stars were better at relating to i
vrudy

of

Air

MOS

KI. not jvadexiuc IQ, that characterized high performers. A

Force

recruiters

generated

similar

findings.

T»j>-performing

texTuters exhibited high levels of FI. Using these findings, die Air Force revamped its vrfceikm ***•*

enteria.

.A

follow-up

mvesnganon

found

that

future

hires

who

lud

high-KI

T.6 rimes more successful than those who didn't. The anplntHJosi from the initial evidence on El as that eni|)l(nvrs shrmld consider

«»a

m aekvodo, cspeciaJly in i<4w that demand a high

of auaal imeracriofi.

« Partll 1T«lnd.v,.W,n«hcOrK.ni«u..n

nal .ppn«ch« to the nndy of

Dcn«(>n Making As you’ll dedsMin making in <)rgar«MtKJn>h.n
hean"

1

well

as

Xsses

in

making

“the

hea^i-’

decisiotxs.

rationality They have Awnplayu.l, fr|,^cradon», <>uln», «n
People

Failure

use

to

emotions

incorporate

as

well

emooons

as

raUonal

into

the

wd

.nnnuve

study

of

deca-

point,

wc

want

Son processes will result in an incomplete (and ollen inaccurate) new of the process. Modvarion

We

ourdy

inrmducc

to

ll

discuss

uiutjvatlon

idea

that,

in

like

Chapter*^ deasion

4

and

inabng,

5.

the

At

this

dominant

approaches

to

the htwly of moavanon reflect an uverrationalized view of individuals. Moavation

Aeorics

basically

propose

that

individuals

“are

motivated

to

the

extent

diac their l>ehanor is expected to lead to desired outcomes. The image ts dial of rational exchange;

the

fordi/’^But of

cmphivee

people

situations

essentially

aren’t

are

cold,

lilled

with

trades

unfeeling emodonat

eftbri

for

m.ichines. content

pay,

security,

Their

(hat

promotions,

perceptions

significandy

and

and

so

cakulurinns

influences

h(M

much

effort they exert. Aloreover, people w ho are highly motivated in dieir jobs arc eniod<mally

committed.

People

who

ue

engaged

in

their

wtjrk

“fieoKne

physically',

cognidvel),

and cmobonalh' immersed in the expcnence of activity, in the pursuit of a goal.”’ ' Are all people cinodonally engaged in their wx>rk? Nn! But many are. And if we focus only on radonal calculations of inducements and cemtributions, we ftil co be able to

ejqjbin l)eha\iors

such

as the

individual

who

forgets to

have

dinner

and works late

into the night, lust in the thrill of her work?^ Leadership nons.

We’ll

The

ability

discuss

the

to

lead

ioi>ic

others of

is

a

leadership,

hindaniental in

deiwh,

in

quality

sought

Chapter

10,

b)-

organiza-

Here,

however,

we bnefly introduce how cmouons can be an integral pan of leadership Effr^e leaders aJtnust all rely on the expressiou of feelings to help convev their messages In fact the expression of emouons in speeches is often die mocal element rTT h

or «)«dng a leader’s message. “When leaders fed

’ active, they may be more likely to energize nates and convey a sense of ethcacy. competence, optimism, and enjoyment ”

(.orporate execuoves know that cmoiiiKial content is^i.i.Il i buy into their vision of their comnunyk h,t.,r,. are offered, especially w hen they cult to accept. So when effective leaders warn rely on “die evocation, framing, and mobdizatir, mms and linking them to an appealing vi«on lead managers and employees alike will accept change latctpersofiAl Conflict Kew tMues are mure * tuple of uiterpcr»onal conflict. KS'henevcr vonflicu emuaofts are also surfacing. A manajter’s sutress w ofcm lane^y due to his or her ability to idamA,

tlieir

subordi-

/ if employees arc to new visioitf '* significant changes, they " * ’’x arousing eiwmvreasc the likelihiMsd that emcxions dun rhe certain ihJt resrdve conflicts, in Uvx enumunal elements m the am-

Chapter 3 Per&ucaJity and Emotions flirt

and

n>

pvt

ager

who

and

taxk-hxuseil

Deviant

thv

ipiorvs

vonOieting

the

em

oh

concerns,

Workplace

parties

on

is

al

work

elements

unlikely

Behaviors

tn

to

Negative

through

in

be

conflicts,

very

emudons

their

focusing

effective

can

einadons

lead

And

singularly

in

resolving

to

a

on

those

number

of

workplace Ixhanon*. .An\*onc who has spent much time in an organization rcalizet^ that people often engage

in

voluntary

organization,

its

actions

members,

that

or

violate

both,

established

’fhese

norms

actions

are

aJld

called

that

threaten

employee

the

deviancc.^^

'I "hey fall into categories such as pnxIucKon (e.g., leaving early, in tc mi on ally working slowly);

property

workers):

and

these

deviant

For

(e-g

»

personal

wutance,

stealing,

aggression

behaviors

envy

sabotage);

is

an

(e.g.,

sexual

can

emotion

political

that

(e,g.,

harassment,

be

traced

txturs

when

gossiping verbal

to you

blaming

abuse).

resent

co-

Many

negative

of

emotions.

someone

for

hav-

ing sontething that you don’t, and which you strongly desire. It can lead to inalicicnis deviant

behaviors.

“backstabbing”

Envy,

and

for

other

example, forms

has

of

been

found

political

to

be

behavior,

associated

negatively

with

hostilitv,

distorting

others’

successes, and posirivelv distorting one’s own accomplishments.'^

IMPLICATIONS FOR MANAGERS

Personality 1 he major value of a manager’s understanding person a lit)’ differences probably lies

in

selecdon.

You

are

emplw'ces

if

consideration

ble

In

additic^i,

jobs.

likely is

there

to

given may

have to

be

high

er-performing

matching

other

personality

benefits.

For

and ttpes

more-satisfied with

instance,

compati-

managers

can

expect that individuals with an external locus of control may be Jess satisfied with their jobs than internals and al«) chat they may be less willing ro accept responsibility for their actions.

Emotions Emotions

arc

cn

ignoring

the

individual

behavior

as

It,

“You

can’t

emotions

from

is

in

a

natural

part

of

emotional if

divorce

it

an

individual’s

elements

were

emotions

people.Managers

in

make-up.

V^Tiere

organizational

completely

rational.

As

from

the

workplace

who

understand

behanor

one

and

yon

role

aptly

can’t

of

often

assessing

consultant

because

die

managers

put

divorce

emotions

will

significantly improve their ability to explain and predit t individual behavior. Do emotions affect job fwrformance? Yes. I’hcy can «speaalJy part,

tn

negative to

perfonnance. Mng

as

keep

emotions. emotions

Hou.*

modvatoni

That’s

out

Two

way's.*-

to

higher

of

the

First,

probably

workplace. emotions

pcrfonnance.

performance,

why Bur can

Second,

organizations, emotions increase

for

can

also

arousal

emotional

the

labor

most

enhance

levels,

thus

recognizes


the

tnanrational

conflicts. deviant

•.1 > *•<

1

CHAPTER 4 ___________________________________

Basic Motivation Concepts After resding this chapter, you should be able to 1. Outline the basic motivation process

wN

Describe Maslow s hierarchy of needs theory Contrast Theory X end Theory Y

4. Differentiate motivators from hygiene factors 5. list The characteristics that high achievers prefer in a job 6. Surnmanw the types of goals that increase performance 7. Contrast reinforcement and goal-setting drearies i. Explain epurty theory 9. Clarify the key relationships In expectancy theory

eferring to their son or daughrer oarrnr^ k.„.,

R

■. • r “‘’”7years char tr has

achieved the sums of a cliche' "1lc/«Es k him^K-rself^ Few of us .orkro, or Xjhut jus, won’t apply

to dur. riiitrnas tdisoii underxx>red his K-l’i -f '

ol us will admit

achievij,g success when he said that “Ecnin. k r. persptration.” The fact is that some woX 'nJividuals of lesser abilkv c pfted counterpam. For this reason, an individual52rf depjmds not only on abdity but on mtmvacion as Lp explan^ons of why some penpk exert more clW, .2^ • neat

chapter,

non techniques.

we

II

budd

on

these

‘"'P-irtance of hard wort fi» “^P'ration and W percent "•“« than othtl.dr more -«herwnse fmsiden vanous expiana.ions

tTd^^i

’•*"

othc«.

In

a vark-ty of apidied nwmva-

the

rz

Chapter 4 nasic Moriration CoueepH O \5’HAT IS MOTIVATION ? We

nught

dcGne

inohvation

in

terms

uf

some

outward

behavuir.

People

who

are

mori\*atcd exert a greater effurt to perform than chose ^vho are nut motivated. Bur such a definition is relative and Iclls us little. A more descriptive but less su bate reive definition would say that motivation is the willingness to do something and is conditioned by this aeaonk ability* to satisfy some need for the individual. A need, in oui icnninology,

means

outcomes

appear

unsatisfied

need

a

phv'siological

attractive. creates

This

tension,

or

psychological

motivabon

process

wliidi

mu

sH

I

deficiency can

IK*

arcs

that seen

drives

makes in

certain

Exhibit

witliin

the

4-1.

iudivid’

lul. These drives generate a search co find parocular goals that, if anained, will satisfy the need and lead to the reduction of tension. .Motivated einployees are in a state ut tension. In order to relieve this tension, they engage in acoxity. The greater the tension, the more activity will be needed to bruig utout relief l'herefr>re, when we see employees working hard at some acrivdty, wc can conclude they are driv'en by a desire to achieve some goal they value.

* 3 A

EARIY THEORIES Oh MOTIVATION

The decade of the 1950s was a fruiTful period in the development ot motivation eon«pb

Three

specific

heanly attacked known

and

explanations

theorie.^ their lor

were

formulated

validity called

employee

into

morivanon:

during

diis

question, the

period,

are

which,

probably st

hierarchy

of

needs

chough JI

the

theory,

now best-

Theory

X and The Of)’ Y, and the two-ft ctor theory. VVe have aiitce developed more vah
diev repre.scnt

grown,

(2)

and

practicing

a foiin managers

clarion

from w’hich con

regularly

use

these

temporary theories hav’e

rheoiies

and

their

temiinolo’

gies in explaining employee motivation. Hierarchy of Needs Theory lt\

probably

Maslow's

safe

to

hierarchy

say of

that needs

the

be

theory.’

st-known He

apprcjach

hypothesized

to that

mouvacion

is

witliin

every

beii^ there oasis a hierarchy of five needs. 'I hese are:

1 .

rtfedi-. Inchide hunger, th5nt, «liekcr. sex. and other bodily needs nttdf'. Include sccuritv and procccnon frnni physacal aud emotional harm

2 .

SoW n/ftif; Include aftection, a sense of beionging. acceptance, and ^enddnp

1 .

cuent and external fatxurs ^ch a» vuru», recognitinn, and anentiau

nttdf. Include intenuJ betors such a:» self-rc-^pecq autonomy^ and achieve-

Abvahaoi hinnan

Ttw lndi»*

,^mc what une '« capaWc o* HciorninK;

incliMlr.' (ftowTh. ach'c' H .As

eM-h

of

the«

Satisfied, the west n««d

^;i"'X7n^iidual

dommaiK. In

moves

up

the

hierarchy.

Fnm

the

would say that, although no need .s ever JJ ]„j,„er motivates.

standpoint of motivation, fully Ki-flf fied, □
orders. Physiological and

.,ep«..cd .he five need, »«" 1’^' ..fe.,- need. .er. de^^beJ »

riMab, “d- «re different.,ed ,.„ ,he

“'" ""S'l^lii.SrZjT.''.e iriefied fi..en,.Uy. .h™, lo.er-,.rder „eej, e!™« =» pe™..,* ewluy^l -k.-'-bl >»e their lower* order needs subs tan n ally met. M«loWs

M.ed

theory

has

..i

tecaved

wide

rowgniuun,

paroc^ly

aiuuiig

practiv-

in. manaiters. This acceptance can hr nrrributed to the logic and ease with which the th^^n

IS

validate

intuilivelv

the

structures

rheon'

arc

understood. For

organized

inswnre, along

Unlominately,

however,

research

does

hnle

is

for

prcdiclion

the

support

diiiiensions

found

p^|XRcd

by

the

Misiow

or

not rhe

generally that

need

prediction

that the subsljiitiil satisfaction of a given need leads to the aedvadon of the next higher need. So. although the need hierai chy is wvli known and tindoubiedly used by many managers

JS

J

guide

toward

inotivaring

their

eiupioycc.s,

little

substantive

evidence

cxisB to indicate duit fiillowing the theory will lead tn a more motivated workforce.

EXHniT 4-2

r~

Maslow's Hierarchy of Needs

V 1♦ *4 r♦♦4

SOGHJ

I

I /

1

Chapter 4 Hasic Mntiv»tian Oxitepxs 45 niiciiry’ X and J hwiry Y Piiugbs .MK (regnr propivsed tw't> di.stitict views of human heings! one basically negative.

hlnled

viewing

Theory’

the

way

X,

and

managers

the dealt

other

basically

positive,

with

employees,

labeled

McGregtjr

Theory

wmeluded

Y.^

rbar

.After

a

man-

iqterk view of the nature of human beings is based on a certain grouping of assumptiuiis ami that he or she tcn
Employe us inherenlly ibsiikc work anc, whenever possible, will attempt ro avoid ii.

2.

Since employees dislike work, they must bu courcud, uontroUud, or threatened with punishnient to achieve desired gfwls. Employees will avoid rcsporivibihties and scuk iorinid direction whenever possible. Most workers place security above all ocher factors associated with work and will display little ambition.

Under Theory Y, four contrasting assumptions are held by die manager: as being as natural as rest or

2» People will exercise self-

dir ecu on and selhconcrol it they are committed co the

■ o

L Employees can view work obKCtivcs.

'fbe average person cm learn co accept, even seek, responsibility'. 4. The ability to make innovative decisions is widely dispersed chroughouT the population and IS not nccessArilv rhe sole province of those in management positions. What are the motivatiunul iin plica dons if you accept -McGregor's analysis? The answer is best eitpressed in the fraTnewurk presented by Alaslow. Theory' X assumes that lower-order needs dominate indindiials. Theory Y assumes that * higher-order nced.s dominate individuals. McGregor, himself, held that

Theory

posed

ideas

jobs,

and

Y

assumptions

such

good

as

were

more

piirticipation

group

relations

in

as

valid

than

decision

Theory'X.

making,

approaches

chat

to

Therefore,

responsible

would

the

maximize

belief

he

pro-

«nd

challenging

an

employee’s

job motivation. Unfortunately; there is no evidence to confirm that eitlier set of assumptions is valid will

or

that

increase

accepting workers’

Theory

Y

inorivaDon.

assumptions As

will

and

become

altering evident

ones

larer,

actions either

accordingly

Theory’

X

or

Theon V assumptions may be appropriate in a parbcular situation. Two-Factor Thwry I

he

two-factor

theory

(suinedmes

also

called

mofnation-hygiene

ikeoty)

wJiv

pro-

pj$ed by psychologisi Kredcrick Herxberg.^ In die belief that an i nd ivi duals relation lo work is basic and that one^ attitude toward work can verv well determine success or tailun.*.

Herzberg

investigated

the

question,

“What

d«>

pciiple

want

from

their

iobs?”

lie asked people todescril>€, in detail, situations in which they felt cxceprionally good «< had about their jobs. These responses were then tabulated and categorized. From gave

when

the they

c'acegonzed fck

gxx^d

responses, about

Herzberg

their

jobs

concluded were

that

significantly

the

replies

different

people

from

the

replies given when dicy felt bad. As seen in Exhibit 4-3. certain characceristivs tend to be comiatcfitly related to job satis faction and uthvrs to job dissatisfartiim.

4*

FBrtN The IwtmdMl in the OrpniMtion Herzberg's Two-Facior Theory

EXHIBIT 4-3

MottvaCor focton t/ha Job tttbbetton J :

effect job dbsatxbctjon •

• Promotional opporomicks • Opportuniiies for persorkal • Recognrtlon ■ Responsibility • Achievement

of Miptrvision

• Pay " Corrtp^^ poNcfO • Phytol working conditions • ft^tions with others

i High

lob Satisfaction

Z

o

High Job OissAtisfaction

' I'

Soarce. Based (« f Henber^. ‘Oe Mor^ True: Hoi» Do itej Voirssate FPployBSS’’' Maaortf ^ustfiess «*«». JSflya ry^Hbruaiy 196&. D. S 7. I Intrinsic

factors^

ment

seem

work

tended

fied

to

such

be

related

rended

advancentenr,

to

attribute

TO

rcsfxjndenu

3s

job

these

to

satisfaction. factors

cite

recognition,

to

extrinsic

responsibility,

Respondents

themselves.

factors^

M'ho

fell

and

good

On

the

as

supervision,

such

other

achieve-

about

their

hand,

djsxiuis-

pay,

company

policies, and working conditions. rhe data suggest, said Herzberg, that the opp<»site of sausfaction is not dis^atisfaction,

as

was

traditionally

hclies’ed.

Removing

dissatisfying

charactcrisdo.

from

job

J

Joes not necessarily make the job sansfynng. Herzberg proposed that his findings indicated

the

existence

of

a

duiil

continuum;

The

opposite

of

•‘Satisfaction”

is

‘’\'o

separate

and

Saiisfecrion," and the opposite of “Dissatisfaction” is “No Dtssausfactinn.’ According distinct

from

tn

Aosc

Herzberg,

the

that

to

lead

factors job

leading

lo

diKsatisfaction.

|ab I

satisfaction

hcrefore,

are

managers

who

seek

to

eliminate factors that ean create job dissadsfacdon may bring about peace but not neccsianly dwm.

motivadon.

will

ere

poLcio,

jAy^cal

charaewnted

by

working Herzberg

W.1I

noHK-dt«3^ficd;

neither

their

lobs.

supgeswd

^outcomes tor

be

placating

6cir

workforce

rather

than

motivating

As a result, conditions surrounding the job, such as quality of supervision,

company w

They

Herxberg directly

personal

derive.!

growth

«ilJ

conditions, as

they

hygiene be

emphasizing

fr.«n

rt^gmuon.

it.

such

relations

with

factors.

VVTien

satisfied. factors as

responsiWity.

If

we

and

and

they’re

want

associated

promoti.mal

others, to

with

securin

adequate,

,„nrh-ate the

work

t^iportunities.

achievement.

job

I-hcse

pav. peopk

pe.Jie

nn

itself

<,r

opptmun.rie-s ar^e

char-

acienst3c*s Out pec^le find invinMCAlly rewarding

rhe pnit«lure Out Hcrebcrg used is binited by iu

pl., «n.

..a „ „„

evtnnsc eiivminmenc. 1.

I

ixx

' ^wtne rauure un

The ichabihh of Herihergs mvthodofogv u Qu«tH>hiiW> Da— t. inrerpretanons. »o they may conumiime the finXm u diffcfenrfy mterpreirtK lirndv

fl

1.

Chapter 4 Bask Moth'

aonConcepCB

ovci-all measure of aiosfiicdon was uulised. A person may dislike part of his or bet job yer soil find the job acceptable. 4, The I heor> i.< inconsisw nt with previ ous research. ’ I'he two-tactor I h cn ry iHerzberg gnorn si assumed ta rehicioiwhip between baa^facrion and produciiviry» but tiaDonal variables. his research medsodobgs' looked only ui saiishciion, not at producdnry. To make such research rekvant, one must assume a strong relaconship between saGsfat;h«i Regardless cfcriticisms, Herzberg’s thcon has been widely popularized, and fpw and Hianegers arc u nth mi liar with his rccomnicndjtiims. As a case in point, much of rhe producaviiy. inicial

enthusiasm

for

vertically expanding

jobs

to

alUw

workers

greater

responsibility

in planning and conuoUbg their work (which wc discuss in ( bapter 14) can probably be attributed largely to I lerzhergV findings and recommuidatiuns.

QONTjE-MPORARY'niEQRIES OF MQTIVATIQN

,

The previous thei»ries are well known but, unlorliuiucelv, have not held up well under dos.* exainhuTion. -"Ml is not lost, however. Contemporary dicories have a reasonable degree of valid supporting diM urncnUition. 7'hc following Theories represent rhe current state of the an in explaining employee motivation.

McClelland s Theory of Needs David iVicClcllanct and others have proposed three major relev'ant motives or needs in the workplace. Wc call this McClelland’s Theory of Need.s^: 1.

The need for achievement (nAch)—The drive to excel, to acbiCT’e in relation tc a set of suudartU, to strive lo succeed

2.

The need for power (nPow’)—The need to make others behave in a way thdy would not have oehaved oclicrwbtf

3.

The need for affiliation (oAff)—desire for friendly and duse inicrpcrsonal rclariein^hips

Some |)eupk ha\'e a compeliuig drive to succeed, but the)’ are striving for personal achie^eiuent rather chan the rewards of success. They have a desire to do something better or mo re efficiently than it has been done before. This drive is the need for achievement.

From

research

into

the

need

for

achievement,

McClelland

found

tlia(

high achievers differenoacc themselves from others by their desire to do things better. They seek skuadons m which they can attain personal rv.sponsibiliiy tor finding solutions lu problems, receive rapid and unambiguous feedback uii their performance, and set

moderately

chalivngmg

goals.

Tlicy

prefer

working

at

a

challenging

problem

and

Mcqfong the iiersonal rcs(Kinsibility for succew or failure rather than lea\4ng rhe ouicixnc to chance or the actions of others. High

achievers

perform

best

when

they

perceive

their

prohabilicy

ot

5»c-

ccstf ax being 0.5, that is, when they estimate that they have a 50-50 chance ot succcas. 'I hey dislike gambling with high odds (high probability of lailure) because succew io such a situation would lie more a matter of luck than of ability, Jiul they get

no

acHievuitcnt

satisfaetion

from

happensrance

success.

Similarly,

low odds (high probability of 5uccs*ss) because there is no challenge to their ddlb-

they

dislike

MU ’ITielndividiBllin theOrganizalit’n •ITiey like lu sei realistic hui difficult

"

tic. When there is ar appruximatdy eq«9 optim.l opportunity to from chtir eHorts.

.

J,, sucees* or failure, there is the

ir. onipi'^hiiient and satisfaction experience feel.np of ncu>.

,.

.

.mr^L't hi be influential, and to c<jn-

The need for power is die re to have an, tml odiers. Indi^nJuaU liigh in z/PfiTr enpy eing e«, prefer unnpeotive ond status-oncnted1 s.mn. with gaining prestige and influence over others fc„

...e'ntT

,frcscrch.™.

““”«a,i...v

rarhe-

Individual

than

».tl,

influence.ivxrinhj concerned j has received the

a

l..(h

cn.pandva

,a4(/

and

s.nve

„r

das.re

fnendsb.p,

„la,„.„»h,pa

J hiirh de ercc of mutual understanding. Horde motives

vou

are

find

nTic^Hy

out

if

prafa

n.v.dv.ng

< ...

someone

-ncasured

P

tiirough

is.

a

tor

instance,

projective

test

a

in

.

highJich.evcrr

which

All

subjects

three

respond

to

a set of pictures. Each picture is briefly shown to the sub)cct and then he or she wntes a

story based

on

the

picture.

For

example,

the

picture may show

a

man

sitting

desk He is inoking pensively al a photograph of a woman and two children th ar

at

a

SITS

at

rhe corner of the desk. The subject will then be a.sked to write a ston' deMTihing what is going on, what preceded this situation, what will happen in the future, and the like. Ihe

stories

hecotne,

in

effect,

projective

tests

that

measure

unconscious

motives.

Each

sior}' is scored, and rhe subject is rated on each of the three motives. An

wtensive

predictions and

job

needs,

can

to be

high

are

made

strongly

managing

positions.

Second,

make

typically

havx

a a

risk.

research

has

hi

large need

diose

dons

VVlien

need

managers,

high

the

ma

The

these

to

consistently

achieve

to

the

good

achieve.

too.

personal

within

are

High

nAch

power

as lead

in

a

needs

for

large

to

their many

being not

and

an

a

that own sales good

nece&sanly

organization

affiliarion

high

and

imstance,

and

do

a

achiev’crs

ninning

organization,

salespeople

with

high

for

need

affiliation

feedback,

prevalent^

such

supported

and

individuals

necessarilv

manager

well

achievement

responsibility,

large

not

the

on

First,

acdricics a

herwecn

demonstrates,

Joes

Third,

reasonably

done

characteristics

orgaiiizanons. and

been

entrepreneurial unii

some

relationship

areas

with

evidence in

that

of

self-contained

high in

sales a

si

indicates

basis

less

suLx*cj.sful

especially

g<xKl

the

findings

motivated.

business, meager,

on

job

of

are

research

fhough

prefer

degree

achievers

of

uinsistent

achieve

intermediate will

Iw

pcrfoniiancc,

there

need

amount

does

power

not tend

to be closely related to managerial success. The best managers are high in the need for povser

and

trained

to

low

in

stimulate

their their

need

for

achicveracQt

affiliation. need.

If

Last, ihe

employees

job

calls

for

have a

been

high

succcssfullv

achiever,

man^

ageraent can select a person wSth a high nAch or develop their own candidate thmueh achievement traimug.

GoaUSeTting Theory .■iih . conaderjbk igree of ranfidc,™'",?™"'

'of -do

1

""I*

"» ™

oS"

•/J

•• fl9 Th. indi^dual in the O.rani«don ” *®

Thc»- hke t« «t realistic bin de. When there is an approximately eq nprimal opportunity «n e.x,M.nence teeimjp. ol fi-oni Their efforrs. The ne«l for power is the desire to mil ixbci-s. Iiidividuals Itigh in » ‘iw eri|
actoinplishniciit an.I saiisfactinn | ........ in.oai l, lo he inflncnrial, and to coninfluence over oth'j| 1,^ moi e cotuxmed ,x.Tron«anee. with . high «,4yj strive .„■ fnendshtp, prefer

n of raOKhm. XrX

sKurtionv

rather

th.,,

..„es,

eop.pet.tive

anti

desire

a hich decree of mutual nnderstanding. Ilow^fo motives

are

a

set

of

a

siorv

desk the is

npically

based is

wraer

on

predictions and

job

needs, need

preceded

lie

there to

are

high

achievers

business,

managing

positions.

Second,

manager,

especially

gpod

ty-prcally

have

closely

power

and

trained

to

a

low

,n

M.intJatc

projective is

findings

in

sima

dons

risk.

VVTien I’he

successful

need large

managers need to

their

unit achieve

TO

the

need

for

aehievciucnt

s'“x rnlxr™” "* ’

First,

not /rA

The

If

the

needs

best

for

job

calls

to

not

arc

in

for

a

high

sales i?(Mkl

need

not tend for

successRillv

achiever,

‘nonvation. IVe can say, g™ls lead to increased {terhirtepted, result in higher perfonnance than easy

1-1 of „UT„, ,h.„ . g.„y* ««sl. 1 he speciRcity of the goal icself acts as an iatc^

a

own

power the

l>ceii

that

docs

Goal-Setting Theory

If

an

necessarily

" ‘'"‘-'"I’ "™ “’“I"*’"

with a considerahle degree of^onfid^c^re nunce and that difficult goals when ar - ' pak’ '

and

their

bcin?

and

have

high

achievers

organization

high

need

a

nianv

affiliarion

employees

Each

instance,

and

do

large

managers

Last, the

a

high

running

lead

salespeople in

with

for

organization,

necessarily

like,

affiJiadon

feedback,

as

what

suppexted

and

prevalent,

such

at

motives.

well

power

deinunstratcs,

sits

die

three

individuals

are

a

acluevcment

resj-Xinsibilit)’,

large

manager

affiliation. need.

a

High

Third,

success.

on

activities

does

good

achieve.

been

at

inouves.

the

herween

charactcristies

and

to

writes

describing

reasonably

done

that

future,

of

she

sitting

children

rclatinnship

too.

nun

storj’

diree

respond

or

unconscious


personal

wiihin

die

each

consistently

orginiizations

managerial

their

with

in

he

a

two a

All

sub,eels

iJien

write

measure

areas

entrepreneurial

to

and

has

achieterr

show

and

lo

on

the

those

these

self-coutiuned

high

that

and

may

happen

that

of

evidence

in

will

high which

subject

asked

indk'atcs

a

woman

rated

research

job

a

,„volv,„g

.

in

picture

hat

tests

test

the

be

w

less

high

related

situation,

Though

in

.sale^>

then

basis

a a

of

subject

iiiocivared.

are

photograph

the

of

Sttongiy

i

on

prefer

degree

be

be

made

to riie

research

consistent

achieve

unll

to

of

hhown

will

instance,

proiective

example,

this

the

for

For

subject

effect,

and

perfbnnanee.

intermediate

make

in

is

a

briefly

at

'I*hc

amount

can

is

picture.

desk.

scored,

extensive

someone through

pensivelv

become,

is

if

pknirc

the

what

stones

An

Each

the

on,

out

rel.t.onsh.ps

.

measured

looking

of

going

story

find

picnircs.

He

The

WU

'

man-

Chapter stimulus.

Fur

Ixnwern ci

instance,

Haiti

tic

more

tihjcc

specitic

tn

c

goal

when

and

to

will

a

trucker

Wtuhiugton,

reach

for.

D.
We

outperform

eommirs

can

his

each

to

week,

say that,

counterpart

all

making

this

being

operates

Basic

IH

intention

things

who

4

ruund-tnp

gives

equal,

either

Motivation hauls

him

the

a

spe-

tracker with

with

no

goals

a or

widi the gcheraliice
fecTora

state owe

rinev

that

ver,

an

such

as

the

it’s

more

logioi

cinpioyec

abihry

and

diHlculc

to

assume

accepts

acceptance

a

the that

hard

goals,

easier

(ask.

of

he

the

the

goals

goals higher

arc

are

held

the

level

more

or

she

will

to

participate

is

mixed

likely

exert

a

constant of

tn

high

wc

can

performance.

IK;

accepted.

level

But

of

effort

until

of

their

own

the goal is achieved, lowered, or abandoned. If goals,

employees

will

i|>ation

(liey’

over

elicited

try

by

of is

are

likely

more

g<jal

greatest to

some

individuals

rhus,

although

participative taken

A as

when

accept

advantage

desirable

a

more

a

given,

to

parricipation

su|x;nority

been

set

one

docs

best

when

in

As

we

noted

earlier,

panicipate

in

goal

setting

is

arbitrarily

which

superiority

have

be

that in

partic-

participahvely

performed

ard.

who

of

may

tow

choices

no

the

have

work

than

to

setting

parttcipatinn

People

goal

have

have

of

one

committed

may

the

individuals

difficult.

difficult

in

regarding

that

mafor

arc

goals

goals

cases,

a

even

cases,

other

goals

are

as

evidence

in

itself

becau.se

is

In

boss.

them,

acceptance

Ihe

goals.

their

the

resistance

opportunity’

performance;

goals

accTjwancc

rhe

harder?

assigned

superior

assigned

have

they

over

increase

assigned

have

assigned

the

increasing

to

a

voice,

goals

when

that

more

probability

difficult goals will be agreed to and acted upon. Studies and

testing

challenging

goal-setting

goals

as

theory*

motivating

have

forces.

demonsi

rated

Although

we

preferable

As

overall

an

t
assignment

conclusion,

of

specific

conclude

that

hanng

desirable, participation is

when

therefore,

superiority

can't

employees parricipate in the gr>al-set(ing process is probably

(he

you

we

expect

have

resistance

significant

to

difficult

evidence

that

challenges. intentions—as

ardculaced in terms of goals—arc a potent motivating force. rhe between

the

tradiction w

hile

is

no.

for

tu'o

on

the

theory

So

goals.

than

10

selling’s

Difficult

to

arc

wiH

based

percent

arc

still apply

lead

to

appears

those

sliiiiulatcd

of

any

to

those

higher

who

workforce

accept,

performance

it

a

are

congoals,

answer

The

high

connAcb^

naturally

majority

of

and

are

if

they

are

is

only

a

The

general.

have

the

Is

challenging

in

who

for

contradiction

goals?

people

country's

a

setting.

difficult

people

recommended

be

moderately

with

on

to

goal

by

deals

only

on

by

maximized

theory

20

conclasions

what and

is

goal-setting

goals

goals

is

luotivarion

motivation

difficult

goal

First,

noted

moovation

niouvation says

reasons.

less

have

achievement

achievement

probably

Second,

on

may

achiev'ement

gtul-setong

achitvers.

reader

findings

that

clusions and

observant

high

workers.

committed

to,

accepted.

Reinforcement Theory A

crjunterpoint

tive

approach,

remfcircement ment Rd

lo

goal-setdng

proposing theory

condiiions II

v^enis

h) arc

sequences

arm not that,

we

w

hen

the hcbavior will Ixe rex^eaced.

reinforcement

an

indinduars

have

a

lichaviorisdc

The

theorisLs

matters

is

that

behavior. ent

theory'

for

two

sec

iminediateh

VVTiat following

I'hc

former

direct

his

or

approach,

w

are

clearly

theories

behavior

lunccm.

purposes

tlxeory.

xs

environmentally

conrrols a

hich

behavior

response,

at

argues odds

caused; arc

increase

her

a

cogni-

acdons.

that

In

reinforce-

philosophically. internal

cognitive

rcinforcers—any

con-

the

that

prohahdity



■n-

tndie OffaBh-t"’ J.

the inner Mate of «*»« indhidoal and oMKriiirMM or she takes -Bne actkrtt. Becatne n docart n-.t, strictly speaking, a therxy »f mm*-

Reinfimwnent «dely on »har ha^M n» a

„,„cem .tself-th -''‘■r'"'‘-rrJ±r^sofe.,n«r. »h lx*havK<^ and „d,„. Bm .. d.«- I-o'd' ’ l“" "XVd in ^-usM.,™ .d nK„,-,n™,, it^ for that fc-aMtn

j of effect (Iwhavior K a funtt>«>n »1 its ame-

Chapter 2

^onsequ condition Uhav.or and help

qoenccsl and 'Hie law of :;if«xt anti the concept of remfcMccmenr also eiplain how people , rescaixh inilicates that people will eaen '"ft-T 7tTst "thti are"^mf<-n:^d than on tasks that are not.'- Rcinf.-rement u an imp.run. -nflnenee on work behasi-r UW people

their

and the amount of effort they allocate to various Wsks are affewd by the awqoences of their behavior. Bin reinforcement is not the sin^e explamnon for drffer2nces in cmplovee motnarion. (ioals. for instance, have an impact on moovaoon; so, too. do levels of achievement motivaaon, jncquiUcs tn rewards, and exjiectanons.

Equity Theory Employees

don't

575,000

year

for

and

report

the

a

offer

would

you

work

react,

bk

as

it!),

terms,

that

wdiai

yon

compare

work if

is

a

hir.

|(>b

issue.

inputs

out

age.

a

of

There

and

found

your

lot

make

gradiutinn

enthused

vou

the

They

on

S80,0(W

is

isn't

own

jub

graduate,

575,000

believe

their

to

getting

suddenly

vacuum.

first

however,

recent

absolute

a

your

worker—anothtr cullege—w

in

If

from

you’d

money for

a

The

now

is

ample

and

so

probabb

new

fur

with

to

of

job

that a

Even

make

around

us

those

tu

flow a

co*

compara* dtough,

(and

relative

you

and

in

kiKTW

rewards

conclude

others

ac

jray.

from

upscti

yog

grab

your

die

grades

graduate

offered

probably

with

into

be

centers

evidence

outcomes

or

cotn|>arable

You'd

scmcooc

sausfied

month

with

issue

college,

certainly

a

year?

tT(xn|wrison
and

thai

empknees

that

inequities

can influence the degree of effort that employees exert." Equity (inpuO

theory

against

w

sa^^s hat

that

they’

get

ratio

with

the

inpurouTComc

equal

to

that

of

the

relevant

equity

is

said

to

exisL

They^

ratios

are

unequal,

underrewarded

or

inequity

employxcs from

ratio

of

it

weigh

with

put

and

then

compare

±eir

inpucoutcoine

If

they*

perceive

their

ratio

that

their

exists:

chat

is.

UTien

others.

whom

feel

overrew^rded

they

(outcome)

relevant

others

what

they

situation the

compare

is

fair,

employees

inequities

occur,

into

a

job

themselves,

that

rend

justice to

a

to

be

state

of

pre-ails.

view

employees

situation

If

the

themsefres

as

will

attempt

to

correct diem. The tant

refvrenr

t^riable

in

that

employees

c<|inry

theory

“odwr/

“syMcm/'

and

"si

sunuar

M>bs

in

the

same

associates.

On

die

swnal mouth,

newspui>ers.

and

lf

choose

The ”

three

'the

orgamzauun basis

of

magazines,

to

cotnpare

rekrent

-other" and

on

such

categories

eitegory

also

mformaiion

tlicmsek-cs

that i-ssues

other

an

impor-

classified

as

individiuls

neighbors

receive

executive

is

l>cen

friends,

employees is

have

inclu
includes

against

through

salaries

or

or

with prufes-

wixd a

recent

unit in central t, employees can coiuparc their pav w-ith that of others The “^ij-siem" aiegory consider, organizational pay jwl.cies and prtKxdttres » well as the adiiuDistratJon of this s\>rcm. Ii considers organization-wide nwv mJieies both implied and expliat. Precedents set hy the organization m terms of pay would l)e a major determinant in this category.

of

J

Chapter 4 Bailc Motivition Co

4

The ‘leir' category refers tu fn|iut;<,Htciirnc rnti(« thst are unique to die individual. This caregtiry is influenced by friteri.i such as

family commitments.

1319

Tile choic e of a panic ular sei of i cfcrenM is rchicil to the information available alioiit icierciits as well .is lo their perceived relevance, tk|iiity theory purports that, when ciii|>l..yccs cinisioo an iiie.|iiiiy, they may make one or more of five chincc.*$ :

Distort cither their own or orheis' in inns or ouiconu-s

L

in soiiu w«v as h> induce ndwr?, u» vhjtngc tbvir inputs or cnncomes

2.

Hdwvc in Munc w.iy so as in tiinngv thdr uwn inputs ar outcomes 4. .1 iliHcicni canipiirisiin rckTem Quit their iiil» Equii)

theory

retogiiir.CsS:

absolute

amount

of

rcwjinls

of

amount

Cu

what

that

and and

cimipt’tenie other

relative

to

are

others,

they

When

s

is

tor

|Krceive ‘ITiis

but

such

as

as

salary

such an

concerned

effnrt:;

Inputs

outcomes

created.

are

their

receive.

with

people

tension

individuals

receive

othei

coinpnrcd

fiKtors.

thur

also

provides

only

with

effort

imbalance

tension

not

with

tlie

relationship

expenenccy

levels,

the

educaiiony

raises,

recognition^

in

their

inpurouteome

die

basis

for

ratio

motivation,

as

people strive for what they perceive as equity’ and fairness. Specifically, the theory’ establishes four proposi duns relating to inequitable pay: L

puyf/ffTtf hy fimv,

ewpiijycei wiii produce wwre fhan cquifMy paid

rmpioyffw I lourJy nnd salaried employees will generate a high quantity or quality of production in order to increase the input side of the ratio ind brina alM>ut equity. 2.

/wywewz

by

/jriafniry

pf

pitifi/tetion,

ovtncuwkd

CMpbtyees

proihice

hut

bigher-^uah'Ty unify rha» equitably (hitd e^iplnyfc^. Indivriluals paid on a pieex-rate basis will increase their efforr to achieve equitv. which can cesuJi in greater quality or quantiIV. Increases in quantity however, will only increise inequity, since every unit produced

results

in

further

ovorpaymeni.

'I'hercfcre,

effort

is

directed

toward

increasing quality rather dun quanuty. 3.

Gizvn ptfyfirfff by timf, tMdfrrruHirM frvpiiiveas wiU produff /rtf nr a poorer guaiity of otit» put. EfR»rt will be decreased, and the result will be lower productivity or poorer quality of output than that produced by equitably paid einployees-

4.

Giri'W ^z/ywenf by

ofpivdncf/oa, ftndetTewarded ewphyees wiH produce a iargf

jniffibiT of

units tn iftwpntiscm with erjuttab/f pit id ewphyecf. Employees

on piece-rate pay plans can bring about equity l>ccause trading off quality of output for quantity will result in an increase in rewards with little or no increase in Contributions. A

review

Employee absolute acsyn.

of

niotivation rewards.

Hie

result

the

research

influenced

WTien

be

co

confirm

significantly

by

relative

perceive

inequity,

they

employees

might

tends

lower

or

higher

the

equity rewards

M

ill

prodncnvity,

thesis as

act

to

improved

or

consistently:

well

as

by

correct

the

sini-

reduced

quality'

of output, increased absenteeisjii. or voluntary resignation, ory’

he

leaves

included

in

preceding

does

some

Ley

the

“other”

not

issues

mean

that

equity

unclear.

F<5r

instance,

referent

category’?

How

tbeoiy do

is

without

how

do

they

define

problems.

employees inputs

select and

The who

theis

outtuines?

'Cl '.:

1

5' *

How
The WMdiul io the Orgwii«»»on

has

an

impressive

amnwe

or

rcswvii

UKK^

in co
Expectant-v Theory -lire

most

,c«

comprehensive

ITas

its

expectancy Sen*

theory

on

come

cridcs.

strength

and

on

explanarinn

most

of

motivation

is

of

the

research

evidence

argues

that

the

strength

r rel="nofollow">f

of

expectation

the

an

aiimcriveness

tlut

of

die

that

a

act

expectancy supports

the

tendency will

he

outcome

to

places

on

theory?

to

theory,

att

by

individual.

it,

b.ssenually.

ma

folloM-ed

the

Though

certain

way

given

out-

a T

herefore,

it

includes the<* three vai’iabks: 1.

llie

unporrante

die

indisidual

d»v

p.rteniial

ouwomc

or

rew-axd dial can be achieved on the job. wriabk vousidei-$ the unsausfied needs of the individual. 2.

Pfijw’mana/reTMrd The dc^^rec to which the indivuhi.d believes that performing al a particular le^'d will lead to the acuuuucnt of a desired outcome.

5.

Pff.n/fu'rfvnfMwe

'ITic probalnliu perceived by the individual that exerting

a given amount of effnrt will lead to pcriorniance. Although

this

theory

may

sound

prett}-

complex,

it

really

isn't

that

difficult

to

visuali7€. VVlieThcr one has the desire to produce at any given liiue depends un one’s pardcular goals and one’s pereepticin of the relative worth of pertbrmance as a path to tike artaimnent of those goals. Exhibit major on

is

concentioiks.

how

giKil

4-4

strongly

a The

she

(perfomkanceX

organiuiion,

will

considetsible srrength

believes

will

the

she

simplification

of

she be

reward

a

achieve

adc<|uarehher

cxpcctancj

niorivation

pci-son’s

can

satis^

ol what

she

rewarded

individual

theory*

to

perform

arteinpw.

and,

goals?

but

if

she

Let

us

describes

(effort)

depends

If

she

achieves

is

rewarded consider

its

by

thk the

the

four

Outcomes

mav

steps inherent in the theory’ Kirsi, be

posiCvc:

or

skills,

ewnes

what

perceived

ontcennes

pay.

.security,

coinjwnionship,

or

is

congenial

negative:

relationship.^.

fatigue,

does On

boredom,

the trust,

die

)ob

offer

fringe

other

frustration,

the

benefits,

euiolovce? a

chance

hand,

employees

aikxicty,

harsh

nkay

n>

use

view

su|)eivision,

talent

the or

outthreat

id dismissal. Imporiandy, reality is not relevant here: the critical i.ssue is what the individua!

employee

[Kreeives

the

oiiteome

to

be,

regardless

of

whether

her

perreptions

arc accurate. Second. positivtly,

IK^W

negativviy,

anraedve or

do

neutraJU?

employees Thk

is

consider

th

obviously

an

and consiikrs personal attitiuics, iJersDiialin; and iicei

EXHIBIT 4-4

Simplified Expectancy Model

cse

(Hircuinus?

Are

they

internal issue ta the mdixndual h. rhe individual nho finds

valued

BMIC Mrnivatirm Concept!

Chapter 4 pardoibr

outcome

anwrtwc-that

ntwining it, Others others may be neutral.

iiuy

I'hint,

kind

these

nutniincK?

employee's she

what

Tht

find

do

in

it

nf

behavior

to

not

the

valued-^will

and,

must

are

unless

order

positively negative

niiicoines

perfnmiance

must

is

therefore*

the

tn

them.

For

any

whal

to

in

and

is

!t

attain

order

effect

dearly

example,

not

exbihit

have

knows,

cittaining

prefer

emplnytc

likely

employee

achieve

prefer

on

to

not

it.

Still

tn

achieve

the

individual

unambiguously,

“doing

well"

in

what

terms

of

performance appraisal? (In what criteria will the employee's performance be judged? Fourth and last, how docs the employee view her chances of doing what is asked (if

her?

Alter

control

the

the

employee

variaWes

has

that

will

some

<'f

considered

determine

her

her

own

competencies

success,

what

and

her

proliability

abilin-

dots

she

to

place

on suvee^sfiil attsiininent? Let’s

highlight

the

issues

rhni

exjK-miicy

thw»ry’

has

bn>uglu

forward.

Fh*st, it emphiwi7.es payoffs, or rewards. As a result, we have t<> l>clieve chat the rewards the

organization

is

on

self-interest,

wherein

faction.

Wc

requires

an

zational

payoffs.

Second,

offering

have

align

each

hi

be

individual

and

want

expectancy

what

concerned

understanding Wc

with

theory

seeks with

knowledge

to

the

reward

employee

co

maximize

the

of

what

value with

cxjwted

ft

his

attractiveness

individuals

cinphasiz.es

wants,

the

or of

the

is her

behaviors.

theory

based

expecced

satis-

lewards;

individual

things

a

aspect

on

organi-

puts

they

Does

this

value

the

j^witivclv,

person

know

what is expected of her and kmnv htjw she will he appraised? Kina II y, the theory is concerned

with

employees

the

own

individual’s

expectations

expectations.

of

What

performance,

is

reward*

realistic

and

goal

is

irrelevant,

satisfaction

The

outcomes,

not the objective outcomes themselves, will determine her level f,f effort.

DON'T FORGET: MOTIVATION THEORIES ARE CULTURE-BOUND! Most and

current alxiut

based

ualism

theories

So

we

theories

characteristics

inherent

quantity-of-life

emphasize

take

a

look

goal at

how

were

need

motivation

and

theories Lets

.Americans.

on

American

motivation

to

developed

in

he

alxjut

transfer in

across

For

instance,

bias

as

ha.s

the

United

is

affected

the

as

a few-

of

reeoininendotions blatant

emphasis

on

and

the

Americans

most

goal-setting

rauonai

by

chat

Lhe

strong

both

well

States

ussuniing

cultures.*^

theories

accomplishment this

carchif

theset

factors.

.

and

indhnd-

expectancy

individual

inotivation

pro-

thought.

theories

intro-

duced in this chapter.

level

and

social,

then

move

esteem,

an<]

aligns

with

ferent.

In

American countries

characteristics Countries Sweden, woulJ

hierarchy

are

that

predict,

for

theojy up

culnirc.

In

as

str<4ig,

other

Japan,

security high

Netherlands,

instance,

that

argues

that

hierart

hy

in

hierarchy,

if

it

the

self-actualixatjon.

such

the

needs

progressively

sc<3rc

Norway

of

cultures, (Greece,

needs on

the or

would

group

this

order:

has

IK

will

on

any

of

Me.dco,

at

the

appbeariun

importance

where top

of

have

motivate

swal

physiological

physiological,

might

iincerTainty' the

needs

characteristics—such

Finland—would work

siari

order

qualiry-f>f-life

and

people

needs

employees

safety* at

all,

l>e

dif-

avoidance hierarchy.

as

Denmark,

un

top.

We

when

the

more

country^ culture scores high on the quality-of-life criterion. An<«her m<privation concept th jt clearly has a U.S. bias is the uchievciBem need. The View that a high achievement need acxs as an internal motivator jircsupjxisestwo

«

.Maslow's

I

$4

Part H iTie IndHduil in OrginiMOon cvhural

chi.«cteristic^-a

excludes with

countries

with

performance

of

life

as

the

willingness

(which

characteristics). United

States,

to

accept

str-ng

uncertainty

applies

almost

Tliis

and

moderate

awndance

singularly

combination

Canada,

a

is

Great

Britain.

of

characteristic)

to

found

de^ce

countries in

On

and

wnih

other

fwbid.

a

concern

str.ing

quantity,

Anglo-Anierican

the

nA

countnw

hand,

these

such

character-

istics are almost absent in countries such as Chile and Portugal. Goal-setring United

Sutes

assumes

because

that

distance),

tainty

avoidance),

in

is

its

Goal-setting

countries

will

managers and

in

also

key

employees

power

of-life).

theory

certainly

components be

and

which

align

reasonably

employees

performance

theory's

culture-bound.

is

will

opposite

seek

considered

well

well

(not

too

not

by

exist,

such

U.S.

high

goals lx>A

likely

adapted

wiA

challenging

important

are

conditions

is

reasonably

independent

recommendadons

Ac

It

to

as

It

score

on

(low

in in

increase

France,

Ae

culture.

a

(high

to

uncerquantity-

motivation

Portugal,

and

Chile.

IMPLICATIONS FOR MANAGERS Many ably

of

strong

employees

xhe

predictive

^pply

application,

at

least

are

differences,

perceived

mance,

and

as (7)

How

theories?

for

are

presented

value.

these

recoinniendarions individual

rheories

consistent match

attainable, check

die

chapter

a

manager

in

general North

with

die

people

to

(5)

this

does

C'ertain

managers

(2)

in

findings

individualize

system

for

(3)

m use

rewards,

equity.

These

demonstrated

cuncemed

suggestions

^America.

jobs.

hav-e

can

with be

insrance,

the

this

chapter:

(1)

(6)

(4J

hnk

ensure rewards

suggestions,

of

motivating

e.Ktracred

For

goals,

reason-

for

following recugnixe diat to

course,

goals perforwould

need to be modified to reflect cultural differences outside of North America. The the

importance

concepts

pre^red

here,

.Ti p,’’ ’

and programs.

r

4.

we\'e

of just

providing

motivadng offered. a

employees

The

review

next of

the

today

chapter more

justifies builds popular

on

more the

specifics concepts

morivacion

than wc’vc

techniques

Motivation: From Concepts to Applications After reading this chapter, you should be able to A

Identify the four ingredients common to MBO progr^ims

Ui M » A

Oirtlir>e the five-step problem-soiving model in OB Mod Explain why managers might want to use employee involvement programs Contrast participative management with employee involvement

9> Ul A

Explain how ESOPs can increase employee motivation Describe file link between skill-based pay plans and motivation theories

I

ts one tiling to be able to recite the principles of motivation theories; it’s anodier to see how, as a manager, you could use them, la this chapter, we focus on how to

apply modvatinn concepts—that is, how to link theories to practice. In

the

following

pages,

we‘ll

review

mouvadon

techniitues

and

programs

that

have gained varying degrees of acceptance in practice. For each of die techniques and pnigranis we review, we’ll specjhcjlly iiddrcs*^ how the)’ build on one nr more of the oiodvadtm theories covered in Chapter 4.

MANAGEMENT BY OBJECTIVES Cfoal-scni ng theory hasan iinpresMVc base of research supiwn But as a manager, how do you make goal setting operadtinal? The besr answer to that quesdfxn is: Install a rnanagemenr bv ohjmives (MBO) program.

The Individual in the

What I* MBO? Management by objectives (.MBO) emphasizes paracipam-ely set gods dtat are tar,S ferihahk and measurable. Ifs no, a new idea, In fact, .t was or.g.naUy i>ropo«d hv Peter Drucker nearly SO years ago as a means «.f us„,g goaLs tr. ,n.,Usate people rather than to control them.' 'Id.lay. n... introduction to baste management concepts wouldbecompkwwihouTadisoissionofMBO. MBOs zational

ob.ecrives

members. which 5-1.

appeal

MBO

tion.

But

MBO

works

from

of

Each

to

her

unit’s

goals

will

be

’there

are

four

divisional,

up”

as

attained

organizational by

As

participate

specific

objectives

The

re.siilt

one

level

to

down.” those

specific

has

an

identified

specific

all

the

individuals

achieve

overall

at

the

the

goals, is

a

level.

performance

contribution goals,

objectives

for

organiza-

next

personal their

by

E.vhihit

own

at

organizaition's

in

their

objectives

the

tlcpicicd

selling

“top

and

process

in

the

If

a

individual

in

from

provides

and

organi-

individual)

as

MBO

units

into

departmental,

overall

dcvo.sing

organtzUion. translated

jointly

converting

well

therebire,

performance.

on

objectives

arc

employee,

person,

of

objectives

links

individual

objectives. or

that

for

the

managers

’‘bottom

objectives

for’tbe

his

the

emphasis

ihrotigh

is.

lower-unit

its

concept

down

flliat

in

objectives

the

overall

level

because

hierarchy .And

cascade

organization’s

succeeding

lies

.specific

oficrarionalizes

each

unit’s

into

objectives the

undoubredlv

will

to

make

then

their

become

a

reality.

pative

ilceiibion

objectives not

in

enough,

increase

ingredients

tnaking,

MBO for

should

example,

quality.

Such

and

evaluated.

measured

an

cutiinum

explicit

he

desires Tb

to

have cut

time

concise

merely

co

in

state

departmental

objectives.

EXHIBIT 5^1 Cascading of Objectives ---------------------------------------------

>1 Dwrsiorui 1 __

f Depa>'unei>ul _ obiecdves C Individual A 4 I I ^eah«* f

a

prograins:

period,

desire

be converted

increase qualit)' by keeping returns to than ! percent

. OveraH ■ W^aniwioral -----------------------. ob)e«kes

B()

statements

ensuring that all telephone orders are pnx:e.ssed

z

.M

costs

and of

cut

into fry

specificity,

performance

expected

to

goal

7pfzrr???,

feedback.

accomplishments.

costs,

tangible

partici-

improve

objectives to

It

is

service,

or

that

improve

The

can

be

service

by

24 hours of^'eceipft or to examples of specific

IF



Chapt«r5 Motivation: From Cwcep

*

W MHO 1 he nunuKer an.J measured. Each ohK-cuve b-p.«lh

tliat

have

not

period only

imposed |...nrly cho,«e

employee has is

a

i

specific

specific

months,

nme

6

obiccuves

die

gonb

and

agree

penod

in

».hich

it

monihs

but

or

ako

1

year.

stipulated

So

on

they

Jie

completed.

managers

and

employees

to

accomplish

in

which

them.

' The

seeks

tn

monitor

find give

and

fonnal

sales

sales

ingredicin

m

LOiHinLiuu.s correct

periodic

well as jr all

wK

to

periods

i,

how

the hortoni.

own

each

repirhs

to

determine

managers

of

progress

nr

rakes

her

jirogress

fccdUuk

toward

goals

place

as

feedback,

at

the

pnxlucts.

toward

die

does

on so

top

tic

sales each

or

performance that

of

the

ba^

she

by

divnsion’s

organization moniror

the

as

over-

ongoing

objectives. in

can more

objectives for udll

salesperson

MBO

individuals

supplemented

sales, lor instance,

major

objecovcs»

is

Continuous

president of

his

have

program

actions.

The vice

for

sales

on

evaluations,

and

district

MBO

feedhdck

their

iiunflgenal

an

Similarly,

licid

Feedback

in teniis of sales and pcrfonnancc is provided to let all these people know bow they’ are doing,

.^t

formal

appraisal

meetings,

managers

and

their

employees

can

review

progress toward gnals and hircher feedback can be pronded.

Linking MBO and Coal-Setting Theory Goal-sectiiig performance fonnance feet

theory chan

than

(back

un

demonstrates

do

do

easy

no

one's

that

goals,

goals

perfonn

at a

hard

that all

nee

goals

specific or

the

lead.s

result

hard

goals

generalized to

in

higher

a

higher

result

goal

in

higher

of'do

performance.

level

your

of

individual

levels best/'

Compare

of

per-

and

that

these

findings

with MBO. AWO explicidy MBO

direct]V

states,

would

be

advocates

that most

goals

specific

must

effective

be

when

goals

and

perceived the

goals

as are

feedback. feasible. difficult

MBO

implies,

Consisrenr enough

with

to

radier goal

require

setting. the

Min to do some stretching. The only area of possible disagreement between .MBO and goal-setting rhe<jr)' is rebted to the issue of partieipanon—MBO strongly advocates it. whereas goal-setting theory demon si rates that a»ignijig goals to individuals frequently works just as well. The major benefit to using parnciparion, howe\’er, is that it increases the likelihood that individuals will accept more difficult goals.

MBO in Prattle Vou’U find MBO proicraim in manv business, health care, educational, and ni.nprofit nrganizauons. Most organiziiiions. in foct, make some use nf MBC features because managers find that goals give people d.reeuon sense to establish goals and then fail to evaluate whether or not they re being MetMedmX • ease/however, indicaics that the Uathcr the culprits tend to he fac-

arc 3 number of d<xnjmenied cashes in managciueiits expcetarioiis. .A close luo protileins rarelv lie with

basic coinpone •

u« such as unrealisric ejcpectations regarding

dim

comniittnent by top

per-

I M' «wt

ZSX

AlSnScs

m.n.Bcrs

uirh"^

'

vehicle for implementing giml-sctong thcor>’-

BEHAVIOR MOPItlCATlON

..

A nm. -da«ic ‘=ni.lv took place ainn.Q JO years agi, with freight Packers at Emery .Air Freight

(now

pan’of

shipments

into

Mamgemeni

believed

FedFt).’

freight

Enierys

containers

that

..sing

management

rather

than

containers

wanted handling

w.mld

save

many

money.

asked what pcn cntaKc of shipments they put in containers, percent 45

An

analysis^

percent.

Icslicd

a

Enwrv

In

order

program

of

tn

found,

howo

encourage

teedback

and

er,

th.n

the

employees posirive

packers

to

rate use

aggregate

separate

WTien

.terns.

packers

were

the standard reply was 90

of

container

conrainers,

rcinforcciiienis.

to

Each

use

w

as

only

management

packer

w

xs

esub-

instructed

to keep a checklist of his or her daily packings, bo± in containers and nut. At the end of each day. the packer computed his or her rare of conrainer use. .Alinosr unbelievably, container held

use

to

that

(umped les

el.

to

more

Eraen-

than

W

reported

percent

on

this

simple

that

the

first

day

of

the

program

program

of

feedback

and

the

of

behavior

and

positive

reinforcements saved the company millions ol dollars. TTiis or

what

program

has

at

IKCOIUC

Emery

more

;\ir

Freight

jxtpiilarly

illusirates

called

OB

Mod.^

use

It

represents

the

modification, application

of

reinforcement theorv to indii iduaJs in rfie work setting.

What Is OB Mod? The

typical

solving (?)

OB

Mod

model:

identily

(1)

program,

as

shown

in

E.thibit

Identify-performance-related

behavioral

contingencies:

5-2,

behaviors;

(4)

develop

follows (2)

and

a

five-step

measure

the

implement

problembehaviors;

an

intervenuon

strategy; and (5) evaluate perfonnance improvement.' Everything an employ ee does on his or her ioh is not equally imponani in terms of

perbinnanqc

ical

behaviors

outcomes, that

lhe

have

a

first

step

in

OB

significant iiiqMCt

M.xl,

on

the

therefore,

is

employee’s

to

job

ideiiriR-

the

jierformance. I

crithcsc

arc tl«e< 5 K> lOiKixent of behaviors iluit may account fur up to 70 or 80 percent of each

employees

pctfonnaricc.

Frcighr

packer,

at

Emery

;\ir

Freight

u-.ing

container

whenever possible is an example of a crincal behavior. The

seconti

information; Resent

that

step is,

umdioons.

requires

the

In

the

number

our

of

manager nmes

(re.ght-packing

to

the

develop identified

example

at

some

baseline

behavior

Emerv;

this

is

performance

.xrtirnng

would

under

have

Ixen

behavioral

con-

mat 45 percent of all 4^iptncni.s were pm in containers. nic

thini

step

Dngcficies

«

e,mt

^havior

the

is

to

consequences and

the

[lerform of

a

fonctional

performance.

ct.nseque.tces

Ibk

that

anaivsis

to

step

tells

arc

currently

ideniifrd.r

the

manager

mainmmii.g

which it.

At

cues Emcrv

Air Freight. ^ial norms and the greater dirtkulty in packing contafoei, were the the

1 hose facing encoui aged the practice of packing items se,«ra,elv Moreover, consequences for continuing this Iwhaviot, before rhe OB Mod inu-n’endon were

socui aoxpuncc and escaping more demanding work Once the functional analysis is complete,

rhe

manager

is

implement an intervention strategy to strengthen desirable ,wrfoniun« beSioTS

readv

to

develop

and

Chapter S Motirwoao: PnaConoepB EXHIBIT S-2

Steps in OB Mod

n.lmeJ ' ’a^JS /r V* I

s*«mi

z

2 Heasire: BMeAne the fr^tncy of retixMve

3

t

MMHX ensong behavioral eorttngendes * thrau^ functional analysis

|

L ----------------------------------------------------------4b Apply appropriate strete^

>

4c ' Mfluure Oarc the frequency of response after intervention * JiflwZ

J

MapM oy aermttuee of wt MH«h« Hw* flwcwi Juty-Aupet Red bCm AfagihM tiasi^n* Me. ««»■ WK. AD »0m leMTWO

’J

lu Indirido*! in the Organiesdon ,

.

behaviors. HIK appropriate strategy «4t1 entail changing »»«

*"^„7thXrforwance/rcward linkage struenKC. processes, technology, clement pwl oftnak.ng high-lcnd pcrh.mwnce ...orc rewarding. ™mplc, the wo'rk icchnnlogy >vas ahcred to require keepmg a checklist. ^l,c

plus cunpiranon at the end oHhc day oi the. rate ot container use

artol to reinforce the dearetl behavior of usuig containers. The final step in OB Mod is to evaluate perfonnance iinprovemciiT. In the Enierv inten-enrion, the immchate bnptovenient in the rate of container use demonstmteil Uiat behanoral change took place. That it rose to 90 percent and he >1 at that level further indicatv.s that learning nnik place, 'i-hat is, the employees uiulcrwent a relaQvcIy penn.incnr change in bclianor.

Linking OB Mod and Reinforcement Theory Remfi>n-emcnr impact

of

cepts

TO

rheon*

(lifferenr provide

relies

on

schedules managers

of with

}x>sii3vc

ranforccmcnt,

rcinforcxnicnr a

powerful

on

shaping,

behavior.

and

proven

OB

and

rca»gnizing:

JMCMI

uses

fur

changing

means

thc^e

the con-

employee

behavior.

OB Mod in Praetke OB

JMOII

has

absenteeism, Electric, OB

been

tardiness,

Cjeneral

Ahxi.

used

And

and

Alills, a

lo

improve accident

Weyerhauscr,

general

employee

review

of

rates.^

and

Aiajur

Xerox

numeruus

product

have

OB

iviry

and

cunipanies ha
Mod

to

reduce

such

as

considerable

progranw

hwnd

errors General

success chat,

using

on

aver-

age, the}’produced a 17 pcrccnl improvement in employee performance.'

EMFLOYi: E RECOGNITION PROGRAMS I .aura Schendcll nukes only 47.2 > an hour working at her fast-food job in Pensacob, tiorid.-i.

And

the

iob,

itself,

isn’t

veiy challenging

or

inKrcsimg.

Yet

Laura

talks

endiusi-

astically alwut her job, her boss, and die company that employs her. “WTiai 1 like is die fact that Guy Pier supervisor] appreciates die effort f make. I Ic cumpiiment.s me regularly in front ol die other people on my .shift. And I've Iwen chosen “Employee erf the iVlonth twice in the past 6 mondis. Did yon sec my picture on that plaque on the wall?” Organiraiions

aie

increa.singly

recognizing

whar

Laura

Schcndell

is

acknowl-

edging: Recognition can he a potent motivator.

What Are Employee Ristognition Programs? Employee

recognition

programs

can

take

nnmcroiis

forms.

The

best

ones

use

multi-

ple sources and recogniz* both indnidual and group aefomplishmenrs. Exaiuplcs in

pnvate

ing or

for

something formal

of a

recognition good

positive

award

ph. the

ceremonies

might

sendmg employee at

which

o’.'L-’lT*'"’ BMf.

Software,

include a

personally

handwiiiren

has

done;

rmphk-s

note

congratulatingor

e-mail

a

write-up

in

and

plaques

are

the

an

nussaK company

handed

mit

emplovee acknowledginaunzine; to

indhid-

m

wtdelv

-'deluding NASA. Wait Disnev Imagineenng. and

Nissan-acrivcly

use

their

public

relations

pubhcMe the outstanding aehievemcnts of their technical and design teams.

capabilities

Chapter 5 M.Mivatiwi:Froni<:oncen,«f>App|je»6o«, Liiikin}? Rewgnitiott Programs and Reinforcement Theory A few jrars; havfc, 1,500 emphw'res were survewd in a variety- »f work settings to find out what they considered to be the most powerful response? Rccognidcm, recognition, and more recogniuim!^ Cnnsisient immediately

fbllowing

previously

that

don

potential

ents

arc

the

of

and

behavior can

and

m

likdy

take

many

rewarding to

best

recognized.

program.^

Prmlential

to

their

reward

process

in

t:ompany

detailed

to

to

motiva-

who

recipihas an

to

care-

promote

and

winner'*'

noted

the

encouraged

c-mails,

of

as

ix»r instance,

obiccovesi

nrwslcitcrs,

explanations

And,

coinmunicate arc

Their

recognition

inaxiinizc

Insurance.

departmental

w‘ith

repetition.

managers

rewards pwdr

its

publicly

Pnidemial

motivator.

behavior

However, to

and

publicly

a

encourage

forms.

probably

being

reeogintion

theory, is

it's

dicy are

recognition

nomination

sites;

that

recognition,

fiirmal

tailor

rcinforcemem

rccognirion

and wh)’

evrensive fijUy

with

workplace

on

both

Intranet

accomplishments.

Employee Recognition PrograrnH in Practice In

today's

cost

pressures.

most little

highly

other or

competitive

That

makes

motivators,

no

money.

^obai

economy,

rccogmtion

recognizing

Maylie

that's

programs

an why

most

organizauons

particularly

employee's a

ol

under

attractive,

superior

survey

are in

performance

3,000

employers

severe

contrast rdten

found

to

costs

that

two-

thirds u?e or plan to use .special recognition awards '® One of the in cm I well-known si nd widely used recognition devices is the use of .sijfffesiion

systems.

costs

are

and

effective

at

Japanese

Employees

recognized

making

plant

with

offer

siittgcstions

small

cash

suggestion

in

the

employee

a

year

and

contrast,

a

comparable

systems

auto

pays

awards.

work.

components

approximately

Western

factory

for

inipniving

Tlie

For

the

have

a

of

about

U

47

S.

one

$35

or

been

typical

generates

equivalent

generates

Japanese

instance,

business

priKVsscs

cutting especially

high-performing

suggestions per

per

suggestion.

suggesuon

per

In

cmplf>)*ee

per year, but pays out $90 per suggestion. *’

EMPLOYEE INVOLVEMENT PROGRAMS WTiat

do

the

assembly

following

plant

in

Durhani,

nine

self-directed

teams.

what

work:

to

make

the

slack


Phoenix, out

any

Sweden, employee these

how’

all

made

salespeojilc approval and

arc from

4iKTri^

groups examples

as

have

Nortli

They

balance

manufacturing are

examples

training,

within

the co

of

that

they

is

negotiate Finally,

companies

members

At

their all

a

Ciencral

Electric

170

employees

are

no

bn«.

Decisions

such

and

efficient;

ream.

management.

require

have

At

the

vacations,

more

allow^ed

common?

Carolina,

basically

process

In

overtime

and

how

Childress and the

of

to

have

elected

board

of

directors.

illustrate

to

Buick,

finalize

law’s

against

organized as

with

Ckrmany,

employee

he

how

dealer

France,

involvement

in

with-

Denmark,

from

common

co who

customers

reprcscniatives I

does

teammates

automobile

dcaU

into

who

workflow:

handle an

aircraft

r

element

eir in

programs.

^Miat Is Employee Involvement? Emplffygf mqutt.'-

has become a convenient catchall rerm to cover a varietyof tech For

instance,

it

encompasses

popular

ideas

or participative management, workplace democracy, empowennent, an empoyc

such

as

employee

1116 irdividwl In the Organiiation h™ un.,ue cha

o^tnership. Our portion is that,

* 1

Fart H

meTi.y employee involvement? We define it « . capacity of rn.ptoyees and is designed to e^uraTinf^ased commitment to the organizations success." The underlj^g

Sn hat speai >

loeiH that involving workers in .kosions that will affect them and increasing their rjsmv and coiuroi over their work lives will make employees more motivated, or^nmizahon, m.we productive, and more satisfied with their

Does that mean that paTt>al>^ti«» and empl
Examples of Employee Involvement Programs In

This

section,

we’E

describe

diree

forms

of

employee

involvement;

pdrtidpative

manapetnenr, repixscntativc participation, and employee stock ownership plans. Paiticipalive dvc

Management

Rianagemeat

actually

The

programs

share

a

distinct

is

the

significani

characteristic

use

degree

of

of

joint

common

decision

decision-making

to

making. power

all

'Ihat widt

participa*

is,

employees

their

immediate

superiors. Parriciparive morale

and

is

ethical

an

low

organization Qcipate, ees

management productivity.

imperative.’■*

or

the

every’

issues

must

has,

have

times,

been

audior

even

panici|iative

unit.

For

promoted argued

ii»

work,

there

which

eiuployces

get

involved

ability

(intelligence,

a

panacea

participative

is

not

must

be

imust

technical

xs

that

management

it

in die

One But

work

at

be

adequate to

poor

management

appropriate

rek^^nt

knowledge,

for for

lime

every to

then,

coiumunicarion

par-

cmploj'-

skills)

m

participate, and rhe organizadoa’s culture must support employee involvement.*' Dozens

o1

tionship.

The

folly,

ir

appears

such

as

clusion

findings that

employee doesne

under

Miidies

the

been

however,

that

conditions.

cuaducied

arc

participation

prt^uciivity.

mean

right

have

on

the

mixed.VV^cn

the

typically

mons'auoii,

the WTiat

use it

hxs and

of

says

only

is

modest

the

in

VVesrem

looked

Of

maiugemenc

that

forma

influence

satisfaction.

participative is

research a

job

however,

jiarricipationZpcr

use

of

rela-

at

care-

on

course, can’t

nee

be

variables that

con-

l>eneficial

participation

is

no

sure means for impmving employee pcrftjrmaiice. Rcpresentaiivr of That

Participation

legislaimn IS,

requiring

rather

OTall

g-^up

iKten

«

led

tlun

of

parti,

en.ployces

the

.nosr

.^moxt

everjr

country

companies .pare who w.ddy

.l.rectiv

to in

actually leg.slatcd

practice decisions,

panneipnte. fonn

of

Europe

represeniarive workers

are

Representative employee

has

narricipatiuo.

represented participation

involvement

some

a^unJ

by

a has the

world. ‘' 'Hie

goal

ofI

representative

parucipai.on

is *

I'hc TWO most common fonns of representative „p_. Wofks

.

to

redistribute

power

within

management >

an

orga-

Chapter 5 Monvauon: Froni Concq grout®

of

ncHiiinated

incnl

makes

Dutch

c(Hn>any

c.r

deewmns

elected

involving

personnel.

over

unoriuT

taken

K

employees

by

who For

n.ust



e.^mplc.

Rrm.

die

consulted

in

the

finmeri

Hs to Apphcai

when

.nana«-

Netherlands,

works*

councii

if

a

must

he

mfonned at an early stage, and if the council objects, it has ^0 dat^ tn seek a court mMicUoa

to

board

componys some

:>top

die

of

countries,

takeover.

directors

large

Board

and

companies

representatives

represent

m.^y

be

are

the

interests

legally

required

emplovees of to

who

the

firm’s

make

sure

sir

on

employees that

a In

employee

represencaiives have the same nuniUr of board seats as shx-kholder representatives The

overall

influence

seems

co

bemmimat.

mated

by

managciTient

although hicliou

rhis of

ertecl

“die

peatest

changing

iekles value

employee

evidence

little

impact

invuivcment

who

are

doing

to

the

operating

down of

the

have

employee

xndivjduals

ti

representarive

insnim-e.

and

of

ft»rm

die

this

For

of

representative

altitudes

or

participation suggests

or

might

inci’case

the

representing, employees is

roving

w'orking

works

employees

die

imp

that

on

parucipatioo

in

on

whom

couiicik

the

there

is

If

organizational

are

doni-

organization.

And,

motivation linle

iJiey

symbolic.

cmplnvees

and

evidence

represent.

one

saris-

is

that

Overall,

interesicd

pcrfonnance,

in

representa-

ovc partiapiition would be a poorclioice.*’’'^ Employee

Stock

well

discuts

ship

plans

pan

of

window

Ownership

is arc

employee

Plans stock

benefits.

manufacturer

United

.^Indcrscn

11

ownership

company-csiablished

their

The

benefit

plans

plans

.’\jrlints, Corp,

mil

arc

(ESOPs).

in

Puliliv ft>ur

employee

which

involvement Employee

enipluyees

Supermarkets, examples

of

approach

stock

ac^^uirc

(.iraybar

companies

owner-

stock

Riecrric, that

arc

a^ and

more

than 50 percent owned by their employees th rough ESOPs.’*'^ In contribute

rhe

typical

either

empJojn^es,

ESOP,

sU^ck

Allbough

or

an

employee

cash

to

employees

hold

buy

stock stock

stock

ownership for

in

die

their

erase

trust

company,

and

is

created.

allncate

they*

Oimpanies

rhe

usually

stock

cannot

physical possession of their shares or sell them as long as they’re still employed at

to take the

company. 1

he

addition, instance,

research

they one

on

ESOPs

frequently snuly

indicates

result

found

that

in

that

they

improved

ES(*)Ps

averaged

increase

employee

organizational nearly

7

percent

satisfaction,

perfonnancc. higher

fn For

shareholder

returns over rhe 4 ve a rs after rhe ESOP was estab I Uh td than market rctiuns of similar companies without an ESOP.’*^

Unking Employee Involvement Programs and Motivation Theories Employee For

involvement

instance,

aligns

with

two-factor intrinsic

Tlieory the

more

theory, motivation

draws

on

Y

cx^nsistent

is

traditional

employee by

several

motivation with

autocratic

involvement

increasing

theories

psirticipativc

style

ol

programs

opporruniries

discussed

Tnanagenieni,

managing

people.

could

provide

for

in

growth,

involvement in the work itself.

Employee Involvement Programs in Practice ffcmwny, France, the Netherlands, and the 5k:andinanan countries have firmly established the principle of indastnal democracy in Europe, and other nations, including Japan and Israel, have traditionally pnitiiccd some form of represeuwove participation for decades. Participative management and representative participation were

and In

Chapter

4.

Theory

X

terms

of

the

employees

with

responsibility,

and

Tl«e Imftvkhal in the t*g4niMHnn much slower to «in tfn,und in North .Xmcrican organiMtions. But nwatfey,. employee invoivemcot proprums that str«s partidpauon have heeonw the norm. Some maniitfCR cnnlinuc m resist sharing dcviMon-niakm^ power. Init the pressure ts managers ui give up their riutocratit decision-inakrng style in bvor of a more parliciparhe. supportive, coaching-like rule. Uhai ment

al>out

ESOPs?

Ihey’ve

pnjgrain

I

grown

.

hey

are

Iwcoiiung

fnnn

just

a

a

handful

popular 50

years

turm

oJ

ago

to

einpkjyec over

involve-

10,000

now,

cuvenng jnt>re than 10 iniiliun cmplnyrcs.-^

VARIABLt-PAY PROGRAMS For

more

than

30

years,

Nveur

Steel

has

had

an

incentive

compensation

that pays Iximises of as much as 150 jKreent of base to employees. lated

on

the

with

Merrill

How

did

Lynch,

he

iwbilin-of his

not

so

company’s

$1.4

much

nxincy-

(k

prnfuabilily.

drop

his

pav

package

is



He

gets

performance

gixnl

yciir

for

AT&T

more

.Armstrong.

2’^ c

percent

losely

The

Benson,

2fl01

Michael

bonus

Rick

in

million

and

salar\'

a

the

department,

because

was

of

earned

nuke

his

annual

2000

basis

common

bonuses

to

$4.5’^

his

thread

in

on

of

to

$5.26

these

salary.

the

pinf-

AT&T

saw

million)

performance

of

banker

base

CEO

million

each

his

based

company’s

place

investment

times

and

in

Bonuses arc calcu-

an

six

Chairman

(from

Tied

than

plni

and

examples

in

2000

is

diat

are

all

they all illustj*atc variable-pay programs.

\Vliat Arc Variable-Pay Programs? Piece-rate forms

phns.

of

wage

inccniives,

profit

variable-pay

programs.

WTiat

sharing,

bonuses,

differential's

and

these

gainsharing

forms

of

conipensaiit^

from more iTiulirional programs is that a person is pn irl not only for dme on the job or seniority;

a

measure

ol

pay is year,

portion

of

an

iwrftirmancc

not

an

you’ll

or

annuity.

make

employee's

4

the

l-*odi.

here

same

is

pay

is

Unlike no

amount

based

more

some

tnKlitional

guarantee this

on

individual

basc-|>ay

that just Ixeause

year.

Wth

variable

or

urganiz.atinnal

programs,

you

made

pay,

earnings

has

made

variable

S60.0(X) last fluctuate

with

rhe measure of performance. It

is

precisely

atmeuve

to

management.

variable

cost,

when

pay

form

of

is

fluctuadon It

diercby tied

end

the

turns

Low'

of

an

expenses

performance,

dement.

variable

part

reducing

to

in

d^at

organizations

when

caniings

performers

pay

perfonnance

recognize

find,

fixed

over

labor

that

into

In

rndier

their

programs

costs

declines.

conirihiition

time,

these

addifinn,

than

pay

a

being

stagnates,

a and

high perfonners enjoy pay increases cunnnensuraie with their contributions. Four wages, for

production

and

of

workers.

paid

for

200

bags

T

In

what

he

have

a

to

the

van

gain'sharing. long

pay

been

plans,

sy^uiii

or

she

keep

game,

of

A

peanuts

get

used and

piece-rate

selling during

hey

complered.

only for

instance,

widely

sharing,

century-

ballparks

might, sell

a

more

proIn

production

IS

work

rhe

bonuses.

nearly

unit

ol

able-pav

Piece-rate popular

workers

in

which

an

produc

es

a

and

soda

pop

50

cents

(or

they make

$100.

is

If

a

paid

a

pure

bag

they sell

gets

of

paid pcanub

only 4(1

a mere $20 I he harder they work and die more peanuts they sell the more they

piece-rate

been

for

fixed

piece-rate

are

arc

have

means

employee

frequently every

wages

as

are

programs

compensating

sum nu

plan.

around

for

each

base

salaiy

People

who

this

way.

I

hey

they

sell.

If

they

bags’

their

»kc



Chapters Mirtivation: From

Tti?

earn. Many organizations use a modified piece-rate nlm i„ -

,

a base hourly wage plus a piccc-raie diffcremi,). s>. a’zipper iJsuTkr'TT 1^ Strauss plant might be pai.l $S’ a,, hour plus $.10 per zippeTsuch n odifi d JSTa provide a floor under an employee’s earnings while still offering a pnXS incentive. * Brmnses

can

bonuses

lo

annual lions.

Steve

his

JOIK,

success

plan-s ees.

are At

paid at

on

Ea-snnan

of

the

a

net

Co.,

exeaitixes

or

are

uncommon

fkimputcr.

coinjunys

larger

Chemical

to

dollars

.Apple

ninnng

taking

exclusiyelt

millions

C.FO

in

nity to cam a

be

received

fuiimi.it

within

(or

not

a

all

SM)

all

emploxees. in

million

fortunes

onranization-s

e.-campie.

to

include

IH.OOO

American

corpora-

in

>000

Increasindv have

ba.s«l

for

bonus

lower-ranking

employees

bonus eipial to 10 percent of their .annual pay,

instance,

kmus

an.und.

to

For

employ-

the

opportu-

on bow

mu^ the

distribute

cumpen-

company earn> on its cosi of iinrsiA'd capiul. Profit-sharing sation

based

on

plans sonic

are

organizution-widc

csublisbed

tbrmula

programs

designed

that

around

a

company’s

profitability.

Thes»e can be direci cash outlaw’s or, parLieularly in the case of top managers, allocated as

stfxk

can

options.

cam

over

For

S200

example, million

in

eveciiavcs

such

one

Almost

year.

as

Michael

all

of

Eisner,

it

woultl

rhe

CEO

at

Disnev.

wmc

from

cashing

in

.stock oprinns previously granted on die basis of company profit pcrfiirmanccTTie variable-pay program that has gotten the iiuisr anention in recent years is undoubtedly gainsharing. This is a fornnda-based group incentive plan. Improvements in group productiviry—from one period to ainitbcr—detemune the total amount of inonej’ to be allocated. .And the division uf productivity savings can be split bctw’een rhe company and employees in an\’ number of wa)% but 50-50 is prettj’ typical. Isn’t same

gainsharing

thing.

rewards

By

specific

Fzmpkyees

in

the

same

focusing liehaviors

a

gain

on

as

profit

productivity'

that

sharing

thing

are plan

ICKS can

sharing?

gains

rather

influenred receive

by

They're than

external

incendve

similar

on

but

profits,

not

the

gainsharing

factors

than

even

when

the

and

productirin*?

aw*ards

profits

are.

organ!-

zaiion isn't pnifitable. Do The

variable-)>ay

answer

is

producavin* exjx^rr

found,

in

says

.American

a

qualified

nitrst

gainsharing

average,

work?

“yes.*’

cases

Management

on

prograncs

and

boosts

that

has

employee

grievances

they

intTcasc

for

example,

(lainsharing,

often

j\ss<x:iauon

Do

study

a

positive

pmdticrivity’ of

dropped

83 83

morivarinn has

impact

on

between

eoropames percent^

been

.5 that

found

employee and used

absences

fell

26

to

irapnwc

attitudes.

One

pen-ent.**

^\n

gainsharing 84

percent^

also and

lost-time accidents decreased by 69 percent.*^

Linking \ariable

Variable-Hay pav

is

shtjuk!

perceive

receive

if

compatible a

strong

motivation

is

Programs widi

expectancy

relaaonship to

be

and dieon

benveen

maximized.

their If

Expectancy

prclirtions. ^«rfo^nancc

rewards

are

Theory

Specifically, and

allocated

the

uidmauals

rewards

they

^.fdetdy^on

non-

performance factors such as seniority or job title, employees ate- l.tely to red..« their A strong case nowadays can be made for mcenoves-The)'reinforce and encourage emp oye *r hea inte.^ of their work unit or the orgamranon. (.ro«FHb«ied pe

goals ftw r^roup-bise** performance

irKvnnve. strong

dsn

MV

ream

a

ethic.

namral

extension

Linking

re«"jr.ls

for lo

nrganiz^rinns

team

that

performance

are

trying

enwunges

«

btriM

employees

. to

make extra effoi-ts to help their team succeed.

Variable-Pay Programs in Practice pav

\’ariahle

ts

rcawin,

as

rfons.

Bonuses,

a

rired

concept

alxive,

that

is

is

its

rapidly

replacing

motivari.itia!

gainsharing,

and

the

ptiwcr—but

other

annual

don

I

variable-reward

rtwc-of-ln-mg ignore

the

programs

raise,

cost

avoid

(inc

implica-

the

fixed

expense yJ periuaneni sabr>* honors. Pay-f«r-pciformance has been ’’in” for compensating managers for seven) decades. The new trend has been expanding diis pracUce to nnnmanagcrbl employ, ccs IRM, VVal-xVbn. Pi?Z9 Hut, Cigna Corp., nnd John Dccix arc just a lew examples ot comiKmics itsing v.nrhbk }wy with rank-anJ-flic employees In the Vnitetl Sutes, for cxainplv, 72 pcnx'nr of all companies ha
popularity

companies.-’

finxis

such

as

seems

to

It's

Iwng

&

Howell,

Bell

be

narrowly

used

in

focused

about

American

among

2,000

Safen*

Razor,

large,

unionised

companies,

including

Champion

Spark

Plug,

Cincinnati Alilacroii, Eaton, Firestone Tire, HtX)kcr CJicmical, and Mead Paper.

SKILL-BASED PAY PLANS Organizadens

hue

|x?ople

fortheir

skills,

then

n-pitally

put

them

in

jobs

and

pay

them

on the ba.sis of their job tide or rank. So the director of corporate sales cams S150,000 a

v^ear,

$70,000.

the

regional

But

it

sales

managers

nrganizatioiis

make

hire

$90,000,

and

because

of

people

the

discrict

their

sales

managers

competencies,

why

get don't

they pay them for those same cuinperendes? Some organiaarions do.

What Are Skill-Rased Pay Plans? Skill-based job

title

pay

is

define

an

his

alternative

or

her

to

pay

lob-bascd

caiegon^.

pay.

Rather

sldll-basecl

pay

titan

having

(soiiieciines

an

called

individual's iMnpttaicy^^

busedpuy} sets pay levels
they

annual its

iwn

do.-^

salaries

by

up

ctMnpCMsarion

for

For to

instance, $12,480

managers

workers

at

W

acquiring

to

their

xburriean

as

many

progress

Steel

as

in

10

Wire skills,

develop!Tig

can and

skills

boost

their

Frico-Lay

nes

in

leadership,

grfjup pnK-ess facili ration, and coirmunicaifons. Hhais flexibility. 'this

is

force.

a|i{>eal

of

Filling

staffing

needs

i$

easier

today;

as

many

pariieubrly Downsizing

encourages fits

the

to

liecause

requires

employees ski

people

‘•pfoieciion

of

less

to

likely

true

to

11-based gam the

more

acquire pay.

a

territory’* hear

sldJI-based

better

“It

s

not

of

instance, iny

where

job!’’

the

are

Rut

perspective:

interehangeable.

size

of

specialists.

skills.

cithers’

skills

cut

fewer

cumnmnicauon of

management's

employee

and

range

understanding For

From

organisations

facilitates

behavior. phrase.

broad

plans?

when

generalists a

It

pay

their

work-

Skill-based

there

are

throughout

the

oreanizadon

lessens

dvsfuneduaal

jtibs.

k

skill-hascd

Skilhbased

[wy

needs of ambitious employees who confront minimal advancement upportumOA

pav also

other

pav

exists, helps

bene-

you’re

meet

the

Chapter 5 Modv&don:

FWRI Concepts tu AppiicaoM

These people can increase their caruings and knowledge without a promotion in job title. WTiafs skills

the

the

downside

of

calls

them

program

tor

skdl-hascd to

pay?

learn.

People

Topping

can

out

"top

can

out*—learning

all

the

Frustrate cnipk»yees

after

th^v’ve beconie challenged by an environment of I canon g, growth, and continual pay raises. SLlIs can also become obsolete. Finally, skill-based plans don’t address level nf performance,

only

checking

qualin^

.Although

it’s

whcdier or

someone

leading

possible

co

can

a

perftrrm

rhe

team—level

assess

how

w«I)

of

skill.

For

some

performance

may

employees

perform

each

.skills—such he

of

as

equivocal.

the

skills

and

combine that assessitient wick a skill-based plan, doing so is not an inherent part of skill bjsed pay.

Linking Skill-Based Pay Plans to Motivation Theories Skill-based

pay

encourage

plans

employees

Maslow’s

hierarchy

are

to of

I

consistent earn,

needs

with

expand

rheont

several

their

motivation

skills,

.Vtiong

and

employees

theories.

Because

they

consistent

with

grow;

they

arc

whose

low

er-order

needs

are

substantially satisfied, the opportunity to experience growth can be a motivator. Paying achievement efficiently.

people need.

By

to

expand

High

learning

their

achievers new

skill

have

skills

levels

a

nr

is

also

compelling

itu

consistent with

drive

proving

the

to

do

skills

research

things

they

better

already

on

the

or

more

hold,

high

pay.

Skill-

achievers will find tbcir jobs more challenging. There based

pay

is

a

encourages

cross-rrain,

to

others

the

in

also

be

link

between

employees

generalists

reinforcement

to

develop

rather

organization.

To

than

the

theory’

their

flexibility;

specialists,

detrree

and

that

and

to

to

skill-based continue

work

management

to

leant,

cr»f)jjeratively

wants

to with

employees

CO

demons trace such behaviors, skril-hased pay should act as a rciaforcer. Skill-based in

put:

pay

outcome

may

also

comparisons,

have

skills

equity may

implications.

provide

a

When

fairer

employees

input

make

criterion

for

their

detennin-

ing pay than factors such as senior it)’ or education. To the degree that employees perceive

skills

as

the

critical

variable

in

job

performance,

the

use

of

skill-based

pay

may

skill-based

pay.

increase the perception of equity and help uptiinize employee motivation.

Skill-Based Pay in Praclict* .4

number

The

of

overall

expanding

studies

have

conclusion, and

that

investigated

based

it

on

generally

the

these leads

use

and

studies, to

higher

is

effectiveness that

employee

tion. hor instance, approximately 60 percent of fonn

of

skill-based

learning

exua

product

quality,

And

pay.-”

skills or

found

a

that

productivity;

to

Some

of

skill-based

performance

and

pay

is

satisfac-

1000 firms arc using some

survey 70

use

of

of

27

88

companies

percent

70

to

75

an

idea

that

reported

percent

pay

higher

employees job

for

sadsfacriun,

cited

lower

operating

has

conic.

As

costs

or low er Turnover.’* Skilled-based noted,

“Slowly;

pay

but

appears

surely,

to

we're

be

becoming

a

whose

time

skill-based

society

where

one your

expert market

value is tied tt) what you can do and w hat your skill set is. In this new world where skills

and

knowledge

are

what

really

counts,

it

doesn’t

make

sense

co

treat

people

as

lobhoMcn. 1( makes sense to treat them as people with s|*ciGc skills and co pay them for cboae skills."-'’^

The Individual in die Orgajiizfltion

Organizations employee

havr

moevanon.

imroduct^il

piXKluebvity;

a

number

anci

of

programs

Siuisfacdun.

designed

Impnrrantly.

tu

rh«c

increase programs

arc grounded on basic mad van on Theories. It’s easy h) criticize e< lues ton, nnd researcher’^ for tlieir focus on bid Id in g theories. or

Students

urelevanr

those

critics.

managers

in

ro It

and solving

practitioners real-life

iHustrates

countries

how

around

often

think

probletn.s. tens the

of

This

that

chapter

thousands

globe

are

these

of

using

dteones

makes

a

rebuttal

in

and

millions

of

theories

to

practical incentive programs. 'I be six mmivalion programs we discussed in this diaptcr arc nor applicable to every organization or every tnanager's needs. Bur an understanding of these pnj^iuns u-ill help you design internal systems tliat can increxse ernploj-ec producti'iCy and satisfaction.

unrealLstie

gfwid

organizations rnorivarion

are

build

CHAPTER 6 ___________________

____ ____

_________________________________________

Individual Decision Making After reading this chapter, you should be able to Explain the six-step rational decision-making model and its dssumptions

2.

Identify the key components in the three*component model of creativity

Vs --

1.

J. Describe actions of the boundedly rational decision maker 4< Define heuristics and explain how they bias decisions 5.

Explain escalation of commitment

6.

fderhfy (our decision-making styles

7.

Explain the implications of stages of moral development to decision making

Individuals X

their

in

organ

izu!

ions

organization’s

goals,

headquarters,

or

coqxirate

make

what

where

decisions.

products

or

locate

new

to

a

lower-level

managers

determine

production

decide

pay raises

are

allocated.

how

sole

province

their

jobs

of

and

to

be

managers.

rhe

they

managers,

sendees m

a

to

The

making

employees

work

for,

'The

for

offer,

nu

schedules,

Nonroanagcrial

organizations

Top

fa

cm

seleci

inswnue,

dctenninc

how

best

ru

ring

plant.

Middie-

new

of

decisions,

also

make

more

obvious

orgjinizxj and

cmploye€S» however,

decisions of

is

not

that

these

and the

affect

decisions

might include w-hcdier to come lo w ork on any given day, how much effort to put forward once at work, and whether to comply with a request mAde by the boss. So that of

all

is,

individuals

they

these

make

choices

in

choices arc

every

urganizatiun

from

almost

among

reflex

rcgniarly

two

actions

or

more

engage

in

decision

making;

altci-nadvcs.

Undoubtedly,

with

conscious

undertaken

little

many

thought.

For example, the boss xsks you in complete a certain report by the end of rhe day and you

a

imply;

being

made

liront

new

Wly.

assuming even

or

AJtemaaves

though

important will

be

the

request

they

is

don’t

decisions, developed.

reasonable.

require

they Pros

can and

much be

In

such

thought.

expected

cons

instances,

will

be

what |>eo|*ilc do on their jobs is influenced hy their decision proces.ses.

But

to

choices

when

reason

weighed.

individuals

them 'J’he

are

out result

still con-

thoughtis

that

I ♦file liaMdwI in the Orgmi^tio" In this chapter, we SKUS on two different approaches to understanding decirio#^ mating First^Xcrihe how decisions >haM be made, l-hen, we review a la^ body ' f Snee to show p.u how decisions dude

by

offering

are made m organizations. VVe con-

some

specific

suggesrions

on

how

n.aiiiigeis

can

improve

their

dccision-makiiig elfettivcness-

Let’s

bcKin

bv

describing

how

individuals

should

I

HOW SHOVW DECISIONS BE MADE. behave

in

ortkr

to

inariniixe

a

cer-

tain outcome’ W’c call this the rational dccision-nwking process.

The Rational Decision-Making Process optimizing

inxximizinc

decision

choices

maker

within

is

ratioaid.

specified

I

hat

constraints.

is,

he

or

I

hese

she

makes

choices

vonsistent.

value

rn

The

are

made

tcllowing

decision-making

model

are

six-step mtKk'l. Specific assumptions underlie this model. The

Rational

Model

J’he

six

steps

in

the

rational

in Exhibit 6-1J 'I he model begins by is

a

distTppanej’

innnrhly get,

between

expenses

you

have

and

defined

theprffbIrM, \ problem e-tists when there

an

find

existing you're

a

listed

and

a

spending

problem.

Many

desired $50

poor

state

more

of

affairs.

than

decisions

you

can

If

you

allocated

be

traced

calculate

your

in

bud-

to

your

rhe

decision

maker’s overlooking a problem or incorrectly defining the problem. Once dteisioTi

a

enreria

sion

maker

the

decision

Idenrifidng may

decision that

is

will

has

be

maker’s

Also

what’s

interests,

is

keep

defined

important

determining

criteria

not.

maker

important in

mind

the

in

problem,

sohhng

relevant

in

values,

and

because

what

that

any

the

making personal

factors

one not

he

or

she

problem. the

needs

to

identify

this

step,

the

In

decision.

I'his

preferences

person identified

into

thinks in

step

is

this

the

arc

decibrings

process.

relevant,

step

the

another

considered

as irrelevant to the decision maker. The requires

criteria the

identified

ducisiun-makee

are to

rarely weight

all the

equal pmifwffy

in

importance.

kkntified

So

criteria

the

in

third

order

step

to

give

a/ternain'es

that

them correct priority m the decision. TTie could

fourdi

succeed

in

step

rcquiics

resolving

die

the

decision

problem,

\o

maker attempt

to is

generattt made

passible in

this

step

to

appraise

must

critically

these alternatives, only to list diem. Once

the

alternatives

have

been

generated,

die

decision

maker

analyze and evaluate each one. 1 his is done by rating each ahernaiii^ on eiteb critfrian.

1.

Dcime rhe probkni

2.

Ideniifi* decision criteria

3.

Wei g ht ch c cn tcria

4.

Generate akerniuivcs

5.

Rate each alternatixT on each crirgtion

6.

<xjnqHiig the optimal decisiun

I

EXHIBIT 6-1 The Six-Step Rational Decision-Making Model

chafrteri ImU^du*! Decisis. MsWng

Lf in tai IIS J number of iiKSumpcinns.

briefly nutluie them

rhe possible con seep lenres of each alcernaijve. i. C7e/ir prefoiffices. RationaJin- a«unws chat the eritcria and alternatives ran be ranked and weighted co ccHecr their imporrance. 4.

h’s assumed that the specific decision criteria arc constant and

C«x<M«z

that the weights assigned to them are stable over rime. 5.

.Vo CMic or eorr eort^traiitfr. Tlie rational decision maker can obtain hill information about criteria and alternatives because it^ assumed that there are no lime orcostennstraifics.

6.

fia-voff.

'I’hc

rational

deddon

maker

will

choose

rhe

alternative

that

yields

the highest perceived value.

Improving Creativity in Decision Making The

rational

decision

maker

needs

crearivity:

that

is,

the

abilit>’

to

produce

novel

and

usehji ideas. These are ideas that are different from what’s been done before but that arc also appropriate to the problem or opportunity presented. Why is creativity

ahenutim. Creative Potential Most people have cread vc potential that they n use when confronted

with

a

decis

ion-ma^ng

problem.

But

to

unleash

that

potential,

they

have

to

get out of the psychological ruts most of us ger into and learn how tn tliink about a problem in divergent w’a^'s. Wc can start with the obvious. People differ in their inherent creativity.

ThreeXComponent

Model

of

Creativity

Given

that

most

people

ity t<j lx; ar least mcKieratclv creative, what can individuals and or^nizations o ro _____ I ............... - ...... T"k« iwv« -mcwiT rn this (luestion ties in the three*

have

the

capac-

,kitb

and

the

k^

intrinsic

el

of

each

FMertiit

IS

EinsteinX

knowledge

creative

usk

the

knowledge

UflI

for

of

these

foundarion of

contributions

mal

m.rtivation

of

to is

all

were to

enhanced

Exhibit

cT«dve .^n.l

i.e

u

conditions

indhnduals

«mfirm

higher

the

rtm

undcrsia^mgof

for

to

them

eM>e«

as

a

have

the

creativity

P.«ssr»s

w
creative

Studies

the

work.

you

vers'

hui

r»-2).

components,

necessary

fields,

their

programming

creatiWty-

three

of

phvsiw

(«e

».

artand

be

able

lo

make

someone

w,^

a

mini-

I

he

^ten-

so^are

enpneer.

abibaeSt

know

ledge,

profiaen-

cics, and similar eiipenise in dieir fields of endeavor. J'he

second

component

characterisrics

associated

ratenrni

the

traits

see

have

Itgcni-e,

for

of

through

steel.

a

I Our

the

bicker

a

be

assix

and

stronger

piece the

that

analogj*,

have

developed

their

skill

make

the

strange

hens

laying

eggs,

familiar hut

how

at and

in

and

being the

many of

the

the

which

apply by

of

them

a

tclephririe able

to

familiar us

have

sec

the

individual intel-

internal

locus

of

contrnh

tol-

he

effective

use

of

frustraiion?

chat to

from it

his

might ‘"talking

thin

be

problems

considered

context in

a

able Of new'

instance,

that

a

hen

a

be

to

He

to

wondered

course,

most

break-

a

some

us

only an

that why,

piece

They’re of

take

noticed

move

way

another.

creative

He

is

to

possible

IKIK.”

memlirane.

conceived.

For

1

one

resulted

shouldn't

strange.^

following

as

ideas:

analogy

was

die

well

creative

delicate,

membrane

as

of

idea

observation

analogies,

personality

development

an

an

encompasses

instance,

fate

apply

Bell’s

operated

of

in

to

are

with

This

use

For

risk-uking,

examples ear

to

light.

iaied

makers

the

sktUf.

ability

dift.rent

perseverance

Graham

in

ear

and

the

self-confidcnce.

famous

operate

in

in

to

j\Je.tander

that

craahe-fhfnkin^

creauvitj;

decision

most

was

bones

then,

allows

the

concepts the

found

ambiguity,

analogies

One

familiar

independence,

erance of

been

with

is

of

people able

to

think

of

egg’s way

of making another egg? 1 he final component in oiir model is intrinsk ffwtivation. This is the desire to work on .something because it's interesting, involving, excidng, satisR-ing, or per-

EXHIBIT 6-2 The Three Components of Creativrty

f

'\

S*wr TM AmaMta.-Ua»Mi« Cmnvitr tn &Bs<«jauoni.-

y

Chapters snnallv

Chdkngiiig

mto

aeafve

du-.t

vxperu^

This

Kle:ts. and

effect

on

that

can

found work

ks

(?)

external

facing

It

.ietc.'nnnes

creeuve

of.scennng<4wessed. i«nr

.nobvarional sldHs.

I.nporUntlv, mirii.Me

g.ung

co

the

So

an

your

be

individuars

work

Specifically,

ereatmn-:

evaluated,

(1)

(2)

situations

widi

is to

peopk

often

peers,

k.ve

can

ftiliy

en^

totht

noim

a

sLif-

have

been

have

factors

watched

on

while

rewards:

constrained

crearivity

work,

evaluaHon—tocuhing

tangible (5)

their

organiiadonil

expected

and

njt-ns

individuals

environment

five

external,

what

which

.simveillanco—being

mouvators—eii.phas.zjng

wm-lose

extent

creative

monvation.

.iiipwk

component

IndWchulDecisionM»k)r.

how

you’re

(4)

working

competition—

choice-being

given

on bow yon cjn do j’oui' w'ork?

HOW DECISIONS ARE ACTUALLY MADE

IN ORGANIZATIONS ,Ve

derision

idcnab’

alJ

painstakingly chev’ dve

do.

the

process. follow able

evaluate

ever>'

of

But

or

borhood

of

with

model.”’ a

more

when

soln makers to

the

current following

aaurate

to

find

to

their

nei^borh(x>d

alternative.

As

arc

by

section

des^ption

of

having

dcdsioiw

expert large

most

of

derision chan

l»y

and

situations

few

alxerna*

akemntives

is

decision-making

dxe

real

world

to

find

an

the

their

symptom

in

rather

in

the

chan

use

problem

of

content

rather

some

evaluating

description

Imiited

a

and

usually

judgment,

how

probleTii

Most

one

reviews

simple out

problems,

akemadves,

Ln

a

d^e

viable

c:hoice?

problem

of

all

assess

optiinal

arc

make

carefully

identify

accurate

people

generally

they

searching

exception.

instance,

made

the

of

fairly

rhe

to

with

cost

a

non

Do

creanvirv’

faced

rhe

arc

For

decLsions

The

are

provides

model.

confined

significant

and

rational?

their

alternative

situarions

decision

the

use

makers

model

reasonable

be

tive

i^ction,

rational

to

“Most

derision

such

Consequently, tend

organizations

criTens,

rational

the

in

relevant

When

courses

low,

makers

accept-

creativity, to

("hoices

of

evidence

to

derisions

in

organizaiions

neigh-

concluded:

defined

body

one.

the

making a

don\

optimal

and

prescrip-

provide are

you

actually

made.

Bounded Rationahty WTien

}-ou

Did

you

vou

es

considered

carefully aluate

each

which

identify

all

alcemarivc

college ihe

to

attend,

criteria

against

the

did

that criteria

were in

you

look

important order

to

at

evtty in

find

viable

your the

alternative.

decision? optimal

vour

Did

coUege-

1 expect the answer to all tlicsc questions is zfo. Well, don’t feel bad. Few people ma e their college choice this wav. Instead of optimizing, you probably “satisficed. UTten fiiccd w ith a complex problem, most people respond by reducing the pniblcm to a level at which it can l>e readily understood. The liniiw in ormaaon pnxessing capabilih of human beings makes it impossible ^aand all the information necessary’ to optimize. So people

tax

solutions that are satisfactory and suffiaent

, enkine complex

limits

1 TIK IndivKhuJ in the tXsaoinoon eomplexiv* IwdMdiwH can then behave ntionally within the limits of the «mp|.

"“‘’llow does lM>undcd rat.onalitv work for the typ.wl irniividuul? O.iec a pnWem

1

,s identified, the sear, h for eritena a.al ahemat.vcs begins. But the W of criicm «

1

iikeJv to l=e far from exhaustive. The decision maker will idennly a limited list made up J of

the

wnd

more to

ousk-

conspiininus

be

highly

mecUinl-true

decision

maker

choices.

nsiMe.

hi

4<jbdons.

l>egnn

These

are

ciscs,

thev

Once

rcviexving

the

choices

will

dik

liuiilcd

them.

But

that

are

represent set

of

the

easy

familhr

to

criteria

akernabves

re%new

will

tmd

is

and and

that prni-

identified,

not

he

the

c<wiprehen-

,ivj< ._n(,T all of the al rem a lives will he carefully evaluated. Instead, titc ikciAion maker will

hcinn

with

alicrnabvts

rhat

differ

only

tn

a

relatively

small

degree

from

the

choice

currently in effect. Following along familiar and well-worn paths, the deciMun maker 1^1 “g<MHl tive

review*

cniniu'h’^one

that

meets

alremartves that

the

only

meets

‘'good

an

until

he

or

accepuhk

enough”

criterion

sdic

level

ends

idcutiltcs

of

the

an

performance,

search.

So

the

akerwative

that

is

The

first

alterna-

final

solution

rep-

resents a sansficing choice rather than an "primal one. One which

of

inure

intere.«!ring

arc

considered

alternatives

selected. nially

Remcmher,

listed

the

initial

gets

a

we

Ulf

in

a

assume

the

in

rhat

a

problem

and

limited

ones

Solutions

that

sdutiun

to

he

to

will

critical

preferred

they

are But

has

bounded in

optimixing order

more

i.sn'r

than

one

is the

is

that

the

derermining

which

model,

altcrnaiives

Because

evaluated this

rationality

all

all

w

potential

are

are

Every

potential

ith

Ixmnded

solution,

the

in

alternative

alrematives

irrelevant. case

order

is ctxn-

consitlered, solution

I'stionalicy*.

satisficing

If

choice

one the decision maker encounters. Decision makers use

obvious,

likely

of

ratioiud

enluanun.

will be the first simple

of

which

andojinplete

is

fully

hierarchv

order

full

in

aspects

with

models, which

depart

rhe

be identified Intuition

they are

Irom

A

the

typically

begin

familiar,

and

those

status

quo

and

unique

and

but

it’s

unlikely

before

the

decision

problem, well

they

least

selected.

so

creative to

be

maker

by

identifying

not

t(x>

far

meet

the

decision

alternative chosen is

alternatives

may

to

an search

the status quo. “Sometimes TOU ve just got lo go with your gut feeling,” the manager said a^ he triey potidon. ()n average, the grand master could put 2 J or 24 pictrs in rheir cxirrcct squsres, but the noriee was able to replace only 6. ITien the exercise was changed.

the

status

criteria

present

bei?ause

required

from

that

are

an

quo. most

optimizing

acceptable very

are

far

stJiiriun hevond

Chapters -n.,.

time

the

ahou.

6

tyrret,.

fm,

u.

d.d

the

grand

ma.uer!

'I

gntn.

m.i.ier

d,dn

t

have

any

better

memory.

d,an

the

abilit)’,

k-tsed

pHterns

and

C.ster.

of

farther

sheov

due

rhe u



n-«.gT,.ze games. more a

Studies game.s,

in

mt^crarcly

dtnons.

Ill

exjxrt with

p.««

were■

on

which

lower

the

of

ill

often

to

recognize



siruaoon

that

situation

n.

arrive

decision

maker

can

decide

and

quietly

be

on

playing

in

or

on

previously

decision.

the

longer.

he

course’

of

5<>

is

tournament

con-

allows

that

very

or only

infornution

result

to

to

exhibit

F.xpenenee

Icametl

haX

rained

play

and

under

«,|-

did

ehesb

seconds,

game

The

appears

he

simultaneously

one

draw

whar

chcsshoanls onlv

hour

widi

of

«r

dc.,vn»rraK«

What

ihowtands.

in

noviee

exercrise

novice.

can

made

rhe

setv,.ul

played

.in

a

Apin,

the

half af

vapidly

he

occur

when

take

hoard.

professionals

must

than

the

having

that

chess

often

on

of

pieces

sic

decisions

r,nd«.mly

exjx-neiKe

decisions

level

which

pbce.l

the

associated

the

limited

intuitive

information.

Identify ing Problems ProWems

don’t

bon’s

come

wrh

flashing

neon

lighc

to

ideiitift

tfwmselvcs.

.And

one

,>cr-

i.s another persons aatptabk staonquo. So how do decision makers iden-

ofo and select probiems? Problems that are

visible

tend

tn

have

a

higher

prciliability

<me5 that are impoitanL* ’ WTi)’? We can offer ar least tw recognize

visible

problems.

Second,

remember

Decision

makers

They

rhai

want

are

we’ru

to

mure

likely

concerned

upjxrsu

tu

with

cunipctciU

and

of

being

o reasons.

cacch

a

uiakii^g

“on

of

top

than

First, it’s easier to

det-aon

decision

selected

niakcrt in

attenbon.

organtications.

problems.”

This

desire

mebvates them to f(KUS on problems char arc visible ru others. And

(lon’x

ignore

conflict

between

that

is

importani

also

is related to

attack

selecting to

more

when

likely

to

decision

a

the

the

decision

issue of

the give

Tt

high

thni

maker,

\’isibility-

decision a

makers

problem

problems.

high-profile

Moreover,

the

rating

is

ter

k’s

to

someone

to

a

others

w

If

is ho

a

decision

the

tends

usually in

performance

to

cai.

important

self-interest

convev’s

maker's

self-in

to

det

organ win

ibon

maker^

things

later

reviewed,

been

itabcxi

out.^*’

that

has

maker

faves and

This

one

tendency

best interest

arc

under

die

ro

conmd.

evaluator

nggressively

a

attacking

is vwi-

ble problems than to someone whose actions have been le^s obvious.

Developing Alternatives Since

decision

should

expect

makers to

rarely

find

a

seek

minimal

an

optimal

use

of

solurion,

creanvny

in

but

rather

a

ibe

search

satislicing

fur

one,

we

altemaLi\*es.

.And

that expectation is generally on target. Efforts confined ior,

to

which

will the

be

made

to

neighborhood

includes

the

tn

lo

of

development

keep the of

rhe

search

current

process

altemaiivc.

creative

simple.

More

alTernatives,

IT

complex

will

IK

will

tend

to

search

rc'^orrcd

behavto

when a simple search foils to uncover j satisfactory alteriiabve. Evidence indicates that derision niiikiiig is incremental ratlier than compfc en sive; that is, decision makers rarely formulate new and unique problem dumatives and rareh- explore unfomiliar territory?' 1 hey avoid the considering all the imporwnt factors, weighing their relative loerits an raw ac , and calculating the value for each alternanve. Instead, they make (incremental) oxn^arisons. ITiis branch approach simplifies decision paring only alternatives that differ in relatively small degree from tec nice

be

I

o

}

The Indmdual in dw Orpru««ion in

effect

This

nuirlilv

ewinine

a^et-ts

in

an

which

Wliat

emerges

stfiJS

toward

Other

words,

never

approach

al5<^

alternaiivc

the

die

decision

It

its

unncecssar>'

and

m.ike in

its

is

acknowledges

wririen

for

ronsequenccs,

description

makers

and

»t

altenmtive

above

olijecuve.

forever

and

pro|»o«.-d

from an

made

make*

hut

decision

netd

ilccision

diffi

comparisons they

r

maker

noneoiiiprehcnsive

rather

tnakcr

investigate

cuMrijueiues

suece.wive

stone,

nne

a

the

the

who

those

the

stat«

takes

nanire

made

tho^

only

from

of

because

are

to

unal!

choice:

in

decisions

arc

remade

end-

and

lessly in small comparisons Iretweeii narrow dioites.

Making Choices In

order

mental

to

avoid

sliom'tit.s,

li*;s

inforaiation

in

availaliilitj

derision

anil

overload, making.'

decision

'

There

representativeness.

makers

are

Each

rely

two

on

heuristics,

coiitmoii

crcatc.s

biase.s

or

categories

in

judg.

ul

hcuris.

jinlgment.

.Another

bias that dcci.sion makers offen make is the lendcncy tt« escalate cotninirmeni to .1 failing tdiirsc uf action. Availabiliiy drivings of

Heuristic

car.

course.

mcrcidl

fhe

Wtli

airline

z\

lot

reason

is

apnlogies was

as

more

pec^jk

rhai

many

ahead

of

dangerous

Miffer

from

fear

people

diink

flying

uiiie

as

for

tliis

drinng,

of

graphic

ihe

flynng

is

more

example,

cxiuhalcnr

than

ol

tear

dangerous.

il

two

irom

flying

747*.

It

on

isn't,

a

filled

of

comw

to

capac-

ity, would have to CM^h e^’eiy week, killing all aboard, to match the risk of being killed in a car accident. But the uiedia give a lot more ahcntioii to air accidents titan co car accidenn;,

so

wc

winl

hi

oversale

’1'hi.s

illusrraiion

is

an

dency

for

to

base

them.

Events

people that

recently tend

to

cyaraple etctr

evoke

he

overestiinanng

tic

caJi

also

explain

to

give

more

weight

events

sucli

understarc

particularly

memory.

as

an

when

heuristic,

information

are

behatnois

anti

availability on

our

nmnagers,

recent

flying

the

thAt in

why

in

judgments

available

unlikely n>

risk

of

emotions,

mosi

to

the

A.b

of

a

an

result,

Mtiniial

we

driving.

the

to

be

prone heuris-

appraisal*,

those

to

occurred

availability

to

ten-

available

have

tend

The

than

is

that

pcrtonnancc

cmphiyee

in

readily

or

crash.

nsk

which is

nvid,

airplane

doine

that

rhe

of

rend

6

or

9

months ago.

Repi’csentativc in

the

they

Heuristic

United

have

a

States

talk

better

But

these

kid*

assess

Uie

likelihood

of

I

hear

about

some

ptofessional playm

are

basketball. like

them.

an

We

all

odui

success.

nut

lu

l>e

from

they

nous lumed

occurrence

poor

the Or

fioin

by

watdi

pcrfiimure,

inner-cit)’,

playing

to

j^ilty hired .so

of of they

do

NBA. of

a

wring

10

vears

on this

new

pre

ago

hcurtstii product

that

from a

ex

who

television

graduates

predict

with

went

rtn
by

relating .same

current

job

in

the

tend

to

rate

gon*.

to

]>Ly

that

the

on

think

times.

die

reality,

playing

m.nch

it

boys

In

They

using

three

they

the

heuristic.

games a

than

in

.American

representative

neighborhood NBA

African

baskcthall

d
a

ciy’ing

p
of

medical

their

are

cl

goal

becoming

Or

predict

the

suffering

boy

Irrqucntly rV

of

arc

exajujdc, pi

millions

about

chance

NBA. hey

Literally

Managers, il

lo

for

a

pre-

imiversiiy

who

applic.inr

from

that uni ver sky WODT be a grxxl etnplo^xc. Escalation

ol

Conunitment

jKuother

bia.s

that

creeps

into

deci-sions

in

practice

is

a

tendenp lo escalate euinmitment when a decision sn eain represents a scries of decisions. ' Escalation of comniitnient is an iiUTcased coninritmenc to a prcviowi decisiMi in sjritc ol negjove mhinihirion. for cxauipk, a friend of mine had been dating

Cl»frt«r6 tadkiJMl Drt*, /vukin, i»*uiiian fur about 4 yeai^. Although he admitted that things weren’t going too well in (he lebtionsbip, he informed me that he was going lo marry the woman. A hit surb>’ his decision, 1 asked him why. He responded. “I have n kn invested in the relauonship.'” Simibriy. another friend was explaining why she was working on a docrorate in education, aldiough a he di diked leaching and didn't want ri» continue her career in education She lold me she

wanted to he a software prngramnier. But

tlien she hit me with her esraliihon-of-conunitnient explajiaiion; “I dreadv have a master's in cdocarion and I'd have w go hack aud complete some dcfidencie^ if I changed tn w ork oji a degree in sottware prograinmiiignow'.’ Il has been weh
an

ban

of

conunicmcin

organization

prove

rhar

his

hxs or

has

saffered

her

large

original

resources to what was a lost

CJUM:

characterisne

with

often

appear

effective,

course

of

asstK’iatcd

may

action

may

ofnhous

iiupiicanons

losses

decision

because was

for a

right

manage

manager by

rial was

decisions. dcicrauned

continuing

to

commit

from the beginning. Li addition, consistency is a effective

be

rnorivaced

to

be

prefcrnhle.

In

leaders.

be

So

cotj?.istcnt

actualiky,

managers, when

effecrive

in

an

switching

managers

effort

to

are

to

Another

those

who

arc able to difFercndate between situations in which pvn;istciu’e will pay off and situatioiih where ir won't.

Individual Differences the same decision situation and Chad ahnerst alw’ays seems to

Pur (2had and Scan

take longer m come to a solution. Ch in Is final choices aren’t necessarily always better than Sejn’s, he’s just slower in processing information. In addition, if there’s an obvious risk dimension in the decision, Scan sccius consisieiidy to prefer a riskier oplioA than docs Cliad. WTiar thit illustrates i^ dial all of us bring iwTsunjility and other individual differences to the decisiexis we make. Iwo of these indixidual differences seem partimlarly

relevant

ro

decision

making

in

organizations—decision-making

styles

and

lend ol moral developmciH. Decjsjon*.VfakiQg

Styles

I’he

decision-sty

les

model

idcmiEcs

four

differenr

indi-

vidual approaches to makiiig dcci.skms.^^ k wuh designed lo be used by managers and aspiring

managers,

hunts general

framework ciin

he used with

any individual

decision

maker. I

hv

dinieiisioas.

foundarion The

first

of is

the their

nxidel way

is

the

Qithinl'ffig.

recognition Some

that

people

people are

differ

l«g«’al

along

and

two

rarional.

Thcy process infun I uri< in serially, tn ennfrasr. some jicoplf arc inniitivv arnl creative. The) perceive things as a w hole, Note that these dillerentes are above and beyond the general

human

charaercrisnes—specifically,

bounded

rauunahey—discussed

earlier.

d*hc other dimension aiklrcsses s |•^crson^ tnlerana’ ftn'n^/tbiguity. Some |»ccjple have a high need to structure infonnadun in way^ that minimve anibiguit)’; others are able to pAKcss grammed,

many they

thoughts fiunn

at

four

rhe

same

time.

stsles

of

decision

Ihrtw tive, AnalMical. Conccpwal. and Behavioral.

WTien

these

making

(see

nvo

dimcnsioiu

Exhibit

6-3).

arc

dia-

these

arc:

♦ t

<. S. 5 >* BXHrWT fr-3 Oeciswo-Styte Model



Htfh

<

Tolerance for Ambiguity

Amlyiicsi^

I

Rational

«

Intuiuv*

Way of Thinking SOSNK AJ. RM aao la aoui^ndes.

P«^lc ricmalicy. making

using

They

the

are

dccisioiib

dtreanv

efficient \mth

MrSIOft Mdfcnf lUwr RM<. Mt PienOce W. 19d2), p. 29.

styie

and

have

logical.

mininval

low

tolerance

for

ambiguit)'

fur

efficiency'results

B»r

their

concern

information

and

assessing

tew

and

sect in

altcmathes.

ntheir

Directive

types mate decisions fest, and they focus on rhe short run. rhe decision do

/ma/yncai makers.

directives.

type

They

has

a

desire

Analyut*al

much more

managers

greater

tolerance

infonnaiiun

would

be

lor

and

ambiguity

consider

l>est

than

more

characterized

do

directive

alternatives

as

(.*arefu!

than

decision

maters with the ability to adapt or cope with new- situations. Individuals with a eweeprua/ style tend to be very broad in tiieir uudook and consider many alternatives. Ilieir focus is long range, and they are very good at finding

355

creative solutions to problems. ITie

final

ers

who

and

subordinates.

meetings

work for

witii

category—those well

with

others.

I*hey*’re

They're

receptive

communicating,

a

'TJiis

to

/’r^/tvwryr/scyk’-^'haractcrizcs concerned

suggestions

type

of

with from

manager

the

achiescmenls

others

trieji

to

decision

and

avoid

of

nwk' peers

rely

heavily

conflict

and

on seeb

acceptance. categories mat

fall

into

more

dormnant

sty

le

on

eir

dominant

dian

and

his

style;

one. or more

So her

arc

it’s

probably

backup

flexible

distinct,

most

best

styles. managers

to

Some can

managers think

in

managers nuke

have terms

rely

shife

situauon. L

characteristics of

a

abnost depending

manager^ exclusively on

the

re students, lower-level managers, and top executives tend to score igncM in the analytical style. ’I hat’s not surprising, given the emphasis that formal education, particularly business education, gives to developing rational think-

Chapter 6 Individual r>«:uion Maldog ing.

For

instance,

courses

in

accounting,

statistics,

and

finance

for

looking

at

helping

ymi

ah

stress

rational

analysis. Ill

addition

focating

on

intelligent

to

decision

people,

providing styles

with

a

can

ncccs.'.

framework

be lo

useful the

tor

same

information,

individual

understand

can

differ

differences,

how

in

two

the

equally

ways

they

approach decisions and die final choices diey make. of

because

jMorJ many

Development

decisions

Moral

have

an

development

ethical

dimension.

is

relevant

in

decision

An

understanding

of

this

making

. 'U" r; r«

Level

concept

can help you see how different people impose different ethical standards on their

V♦

deci‘5100 s. A

substantial

dev^ebpment, moral

each

jiidginetn

body

nf

research

coinprising

gixw's

less

rwo

and

confirms

sfageH.’’

less

the

Ac

depenrienr

existence

each on

of

three

successive

oncside

levels

stage,

influences.

an The

of

moral

individuePs three

levels

and six stages arc described in Exhibit 6-4. The

first

notions

of

right

physical

punish

level or men

is

lal>eled

wrong i,

piecvfjvcnfiona/.

only

reward,

or

when

personal

exchange

of

At

this

level,

consequences favors.

individuals are

Reasoning

respond

involved, at

the

such

to as

ogwrf’nricJM/

level indicates that moral value resides in maintaining the conventional order and the

A

EXHIBIT 6-4 Levels and Stages of Moral Development

Level

S tage/Descr iption

Principled

6. Following self-chosen echlcai principles even if they violate the hw

A 4*

5. Valuing rights ol others; and upholding nonrelatrve values and rights regardless of the majoric/s opinion Conventional

4. Maintaining conventional order by fulfilling obligations to which you have agreed 3. living up to what is expected by people close to you

Pr«corwentional

2. Following rules only when iVs In your immediate interest I. Stkkinf to rules to avoid physical punlihinenc

I



MA*M h«n L KatHbeff. 'Moral Stages end Mouii/tfijon: the Ccgnitive-OMOpnienta]

AnxoacAZ in t Utivne MK OgMfepmgnt Mtwr; Tbeoo. WMAon. 1979).

w Sooa/ ijtues (Me Ifork Hott. Amolua ft

4■I ,

lie fndi«du.lin .he Org.niaoon

.1

Part II

. U r„ dw i,nm ipleJ Ic'd. itnlid
people pr<’K=>--ed thr.iugb .he six stages in a l.Kk-ste|. fashion. They

,

SuaHy ntovc ladder, stage by stage. They .iont ,t.n,p steps. Seu.n.l, there «no Sra, i oFconrinued developmen.. Development can terminate a. .any stage. Third, giunintec limited to oljeying the rules and laws ot M««y. jSh the stage a manager reaches, the more he or she will In- predLs^.sed ,o

mi

ethical

decisions,

bur instance,

a stage

.1 manager

,s likely Io

make

dccismns

,)n.t udl receive approval by h» or her |Ken.; a stage 4 manager w’lli -^ek tr. he a' g.xxS cornorale citizen” Iw

making decisions that respect the

orgam/at.on s rules anti pruee-

tlur'e-s; and a stage s'manager is likely to challenge organixauonal practices that he nr sbt believer tr? he wrong.

Orgadixatjonal Constraints The

orgjauation

cheir

(lecisjons

and

it^ulf ro

conitraiii?.

reflect

organizationally

the

imposed

decision

makers.

organi/ation’s time

Managers,

pcrfornuiive

consimints.

fur

evaluation

Prevdous

insunce,

and

shape

reward

organizadonal

.system

decisions

also

decision

mak-

art as precedenls to ton.strain current decisions. Performance

Evaluarion

Managen^

are

strongly

influenced

in

ihcir

ing by the criteria by which they arc evaluated. If a division manager believes that the inanufaciunng

plants

ing

we

negative,

part

of

Similarly,

under

shouldn’t

their

time

if

college

a

(wreent

of

her

should

vvpeci

his be

ensuring dean

snidenU—to diac

new

responsibility surprised

that

negative

heticves tail

to

in^cruclors,

operating

find

ihat

his

information

chai

more

are

an

reflects who

instructor on

want

the to

l>cst

w'hen

plant

managers

doesn’t

reach

should

never

instructors

receive

he

hears

spend

the

a

division

fhil

more

ability

in

favorable

nothgwd bow.

than

10

teach—we

evaluations,

will

decide not to fjil too many students. Reward

Systems

'fhe

organization’s

reward

system

influences

decision

makers

by

suggesting to them whai choices are preferable in tenns of personal payoff. For e.xanu ple»

if

the

decisions. out

organization From

the

promotions and

rewards

1930s bonuses

risk

through

aversion, the

managers

mid-19fi0s,

to managers who kept

arc

likely

(ieneral a low’

to

Moiopi profile,

make

exjnsemrive

cxmsistcntly

avoideil

gave

c’ontrovcrsy,

and were good team players. The result was rhat (LM managers became very adept at dodging lough issues and pKissing controversial decision.s <m to coininittccs. System-Imposed rime CoiiKrraints Organiiauons impose deadlines on decisions, or instante, dejvaruncnt budgets need h) lie coinplcied by next Friday. Or the report prrjduc'i development has to l)c ready for the executive conun it tee tn review by le

die munilb host ol decisions havx ro he made quickly in order to stay

ahead of the cx>mpeution and keep customers satisfied. And almo.st all important
come

WIT

explicit

mak^s

and

ohen

make

(leadlines. itdiflk-uk,

These if

not

might like iiefore having to make a final

conditions impossible, choice. 'I

ity' that, in oiyanizadons, decisions wme with cinic constraints.

create to

time

gather

alt

pressures the

on

decision

infonnation

they

he rational model ignores the real-

MMIMI OccWoa

Histoneal Precedents Rational detiMon making takes an unrealrsuc and inrabted pirspctiJve, It views decisions os independent and discrete events. But that isn’t the wav it is »n the real world! Decisiohs aren’t made in a vacuum. They have a context in hc(, tndtvidttdl decisions are more iueumvly characterized as points in a nrem Deewrons made in the past aic ghosts that continually haunt current choices. For insftmet’, commirrnents mode in the past constrain current options. Tij use a srxdal Mtuarnm as an example, the decision you might make after meeting “.Mr. (or Ms.) Right* IS more ctvmpbcarcd if you're married titan if you’re single. Prior ctHumit—in this case, having gotten iiwrrlcd-^onstrflin yowr options. In a business cttntcxu Kastman Kodak ii a guk>d uxainple of a firiii that has had hi live with its past ini^itakes.’^

Starting

of

silver

as

clectTonic

problem

halide

in

the

early

photography

photograjjhy,

deliberately,

M>7ds,

were

numbered.

woidd

K
Kodak’s

soon

management

They

replace

tiunagement

concluded

predicted

it.

But

panicked.

other

inste.ad

They

t(M>k

the

days

technologies,

such

of

that

approaching

off

in

all

the

directions.

Aiul tt>dav» viiTiially ail of Kodak’s problems can lie traced to the decisions made and nut

made

point.

since

It’s

then.

common

(Government

knowledge

budget

that

ihe

decisions

largest

also

offer

deiennining

an

factor

illustrabon

of

rhe

size

of

our

of

any

given vears budget is last years budget.'" Choices made today, ihercfure. are largely a resuk of cbnices made over tlic years.

Cultural Differences The

nitiunul

model

instance,

dorvi

rherefore,

wr

maker

can

docs

necessarily need

have

analysis,

the

decisions

should

to

acknowledge

make

decisions

recognize

significant

importance be

not

that

influence placed

made

rhe

the

on

on

cultural

his

Ingic

uiitocraiically

differences.

same

cultural or

her

and

by

an

terms

of

way

But

that

background selection

rationality, individual

for

Canadians

do.

of

of

or

Arabs, the

decision

problems, whether

manager

depth

of

organizational

or

wdlcctively

in

imporiar^ce

of

preference

for

groups.-^ Culnires, rationality',

for

their

belief

collective

decision

managers

in

than

in

countries

will

i

si

a

such

on

nectsjjan'.

Some

ing

situations

as

Thailand believe

and that

agers

might

would

chouse

much

more

mity cxdlcxt

and a

to

grtMip decisions.

at

a

problems,

orientation

help

us

undersund

why

and

more

deliberate

pace

much

slower

he

or

knows

that

i*^

highly

bui

fashion

because

where

rationaliry

a

atwHint

rationality is

emphasize

Vmtrd

fall

into

the

should it

as

such.

than

in

the

licforc of

nited

Japanese

infornution,

rheir

Decision L

I

make is

then

an

tn

appear

to

in

the

West.

In

appear

others

focus

into

the

rational on

furnier

benefit,

or by

Japanese

The an

Japanese important

used

in

acceptmanagers

American

Indonesian

arc

category;

problem-solving

hai

States.

make

to

their

making

CEOs

which

valued

Bccau'^c to

noghi

important

efforts

talk

^;ituations

l>efore

its

problems;

States

and

manager

deified,

latter.

change

long

not

solving

The

problem

So

she

ure.

and

gruup-oriented brge

decisions

rime

the

solve

intuitively,

recognize

Cooperation.

in

to

American

they

identity*

people

orientnnnn,

North

cultures

t*an

of

Differences

Indonesia they

ability

time

A

Iran,

noi

in

countetparts.

rational as

ihe make

American

dec

poK’eed

in

differ

making.

Egypt

their

important

example,

man-

coumerparts manager? value

decision,

is

conforthey

consensus-forming

The iadivWuel in the

«

— -- ----------

ETHICS IN DECISION MAKING xr .V enmhasirt vuou-h the im|M.rwnce today of consKkring vthifs in dedsinn L-HL' UVVC airtadv addressed individual differ in our discusmn of morel

XSnienr Wt c<>nclu
cnnnM. in which decisions are made solely on the basis of thei^

entenmes

or

for

ereatesi

the

consistent

omsequvnex.^s.

u

jnimkx

idi

soak

1

he

nis

goal

new

such

as

of

utilitarianism

tends

to

efficiency,

is

to

dominate

prcxlutiiviiy,

provide

business and

the

greatest

deaston

high

profm.

g^xxJ

making.

B>

In

maximizing

ptofits fi«r I usance, a business evenitivc can argue he is sccunng the grvatesi good for the

greaicsc

Another

ethind

decisions ments

such

he

criterion

consisted

respecting free

number-^s

as

is

with

the

employees

and

Bill

who

to

to

of

dismissal

fuctes

on

ngArr.

.An

process.

For

or

I

to

IS

his

and

calk

on

on

instance,

use

practices

by

his

set

in

of

of

to

make

in

d<x^-

making

meam

forth

decision

as

the right

this

criterion

their

employee,.

individuak

as

rights

individuals, such

illegal

ixtrcenr

privileges

emphasis

the Iwsic rights of

unethical

notices

libcnics

Rights.

due

report

out

ftmdamcntal

and prowcring

speech,

hands

to

privacy,

would

organization

to

to

protect

the

press

or govenuiient ageiides on the grounds of (heir right to tree speech. A

Uiird

enforce

criterion

rules

costs.

fairly

Union

is

and

to

focus

imparti/illy

members

typically

on so

there

favor

J’his

Jiutne. is

this

an

view.

respiiri's

individuals

equitable It

to

distribution

justifies

pay'ing

of

impose

and

benefits

and

people

the

same

w'age for a ^ven |ob. resaxdicss ot jxrrfrirniance differences, and it uses seniority as the primary determinant in making lay ofl decisions. Each ism

these

pniniotcs

some The

of

efficiency

individuals, use

uf

freedom ductivtity sented

and

and

as

a

privacy’,

and

criteria

tliosc

criterion

but

efficiency.

less

has

it A

powcriot,

advantages

pitHhictivicy;

particularly

rights

and

three

with

create

focu-s it

on

can

it

result

overly

justice

from

a

in

focus

the

sense

in and

is

workplace

rights

of

organization.

consistent

that

of

cnntlernent

utilitarian*

the

the

interests

of

on

ignoring

injury

legalistic

protects

encourage

A

representation

indhndiiais an

liabiliucs.

can

minority

protects

can

but

but

and

with

hinders

the that

pro

underreprereduces

ri^k

taking, innovation, and productivity. Decision

makers,

particularly

comfortable

when

they

use

fied

when

framed

as

being

ers.

But

many

change.

Increased

gesr

the

teria.

This

using

criteria

ties

critics

than

explain

need

for

why

the

in

sol

hl

as

individual

develop

criteria

managers

are

rights such

lot

of

to

as

arnue

that righis

effects

on

efficiency

involves and

themselves

be

and

on

and jusfi-

sKXzkholdneeds

justice

making far

criticized

cri-

decisions

mure

profits.

to

sug*

nunutilitarian

liccause

justice

can

social

based

ial

safe

perspective

and

managers

finding

feel

actions

this

soc

increasingly

to

organization''

standards

today’s

and

“^c

individual

ethical

tend

questionable of

makers

about

challenge

organizations,

interests

decision

to

a

A

best

society

utiliunan

I

ambipii'

This

helps

for

their

pnees. selling products with questionable effects on consumer

heaidi.

closing

moving

production

UQiitanan

in

managers

such

for-profit

utilitarianism.

business

exmeems

presents

uung

of

in

Umis.

down <

But

stofls Miould he judged.

manufacturing overseas that

may

to no

plants, cut

lay

costs,

longer

bv

ing

and the

off

siiniiar stnek

large

numbers

decisions criterion

can liy

of lie

which

emplovecS. pisrificd good

in

deci-

K* • Chapter 6 Individual Otci^iun .Making 91

IMPLICATIONS FOR MANAGERS bhiivjJuak bow

people

thiak

make

and

decisions

rtdson can

k-ffirt

be

they

helpful

if

act

wc

Thus,

are

an

understanding

tn

explain

the

rauonal

and

predict

of their

behavior. Under nicest than the

people, the

some

dteision

si

most

rule.

rational

satisfice

nd Few

nonnuirinc

iiiip<»rrant

models

rather

siluaticms,

opti/niiC,

to

follow

decisions,

decisions

assumptions

than

people arc

upply.

inject

this

is

simple

So

probably oj-

and

more

look

for

prejudices

But

the

unambiguous

individuals

biases

in<xJel.

for

exception

enough

for

solutions

into

the

that

decision

process, and rely on intuition. Given

die

organizations,

evidence

what

can

wc’vc

desenhed

managers

do

on

co

how

decisions

improve

their

are

actually

decision

made

making?

in

We

offer

to

the

five suggestions. First, national uates

analyze

culture

and

ity,

don’t

try

to

in

situation.

which

rew'ards. feel

the For

your

to

if

you're

folfow

decisions

v^our

operating

instance,

compelled

make

you’re

Adjust

the

appear

and in

decision-making

to

a

rational

criteria

txiuntry

your

diat

Similarly,

organization

doesn’t

decision-making

rational.

style value

model

or

eval-

rationaleven

organizations

differ

to in

tenns of the iiuportance they place on risk, rhe use of gr^ mps, and the like. Adjust youi- decision .style to ensure it’s compatible w’ith the organization's culture. Second, he aware of biases. We all bring biases to the decisions we make. Tf you understand the biases inlluencing your judgment, you can begin to change the way you make decisions to reduce those biases. Third, approaches deewion ingly

combine to

rational

decision

effectiveness.

confident

in

As

analysis

making. you

imposing

By

with

using

intuition. both,

gnin

inanagerial

your

intuitive

pm

TTicse can

exj’ierience, processes

are

nut

actuaJly you

on

should

top

of

conflictmg

improve

your

feel

increas-

your

rational

anah'sis. Fourth, don’t assume that your specific decision style is appropriate for every job. Just as organizations differ, so too do jobs within organizations. And your effectiveness as a decision maker will increase if you match your decision sej'le to the requirements of the job. For instance, if you have a directive style of decision making, you’ll be more effective working with people whose jobs require quick action. This style, for example, would match up well widi managing stockbrokers. An analytical style, on the ocher hand, would work well managing accountants, market researchers, nr financial analysts. Fmallv, problems,

try

attempt

to to

enhance see

your

problems

creative in

new

tv.

Overilv

ways,

and

look use

for

novel

analogies.

uy to remove work and organizzatinnal harriers that might impede your creativity.

solutions In

CO

addition,

PART III: Groups in the Organization

CHAPTER 7 ___________________________________

Foundations of Group Behavior

After reading this chapter, you should be able to

M

Differentidie between formal arid informal groups Explain why people join groups

3.

Describe how lole requirements change in different situations

4.

Explain the impoitance of the Hawthorne studies

9 VI A

Describe the importance of the Asch studies



Identify the implications of sod a I loafing

CP P

Outline the benefits and disadvantages of cohesive groups



Explain the effect of diversity on group performarKe

*

Contrast groupihink and groupshitt

T

he behavior erf individuals in grou|is is .s
fcrendy

from

when

diey

are

alone.

This

chapter

intToduces

bask

concepts

about

groups and demonstrates how an understanding of groups can help explain the

huger

phenomenon of organizatiunal behavior.

DEI'ININC AND CLASSIFYING GROUPS A

groi^)

come

is

defined

togeJict

to

as

two

achieve

or

nioi’e

particular

iruhv-iduaJs,

nhjecrives.

intcraciing

(iroups

can

l>e

and

interdependent,

cither

formal

or

who infor-

mal. By ibrmal, we mean defined by the organixa lions struemre^ with desisfn^ted wcH'k assignments

establishing

tasks

one

engage

are

should

in

and

work

stipulated

by

groups. and

In

formal

dirwled

groups,

toward

the

behaviors

organizadunal

gitals.

that In

Contrast, informal groups arc all rances that arc neither smictured noi orgunizadonaliy

1

Chapter 7 Fnembtfooi of^oopBehtrior defermmed. In the work environment these groups form naniraHy as respomei to the need for social conracr. hV

possible

to

fortJier

sulK-h^ifo

groups

inioajmmand,

ship tategones. Command and cask groups are dkmced whereas interest and Iriendshtp groups are informal alliances. rhe the

cdftffihTftd

suhordinaces

is

who

determined

report

by

directly to

the a

by

organisational

given

task.

manager,

intercM,

the

fonnal

chart, ,’kn

h

is

or

friend-

organirjitjun, composed

elementary’

school

of

prin*

dpal and her 12 teachers form a coininami group, as Ho the director of postal audits and his 5 inspectors. Tafk together

groups,

to

intmediare

also

tompkee

a

hierarchical

(»rgarriracionally

lob.

Iloutver.

Miperior.

colkgc student is accused of di

nation

among

the

dean

h

a

caa

determined,

task

groups

crfxw

represent

boundaries

command

persons

are

rclabonships.

working

not

limited

to

For

instance,

its

if

a

a cunpiis crime, it may require cominunicadon and coor*

ol

academic

a^irs.

the

clean

of

students,

the

registrar,

the

director of .security, and the student^ adviser. Such a formaiiun would consutute a task P'oup. IT should be noted that all command groups aiu also cask groups, hut because task griHi(K can cut acniss tlic organization, the reverse need not he true. Pcojde w ho may or may not be aligned inu> common command nr task groqis may affiliate to an a in a specific objective with which each is concerned. This is an immft

grt/up.

F.mployres

who

band

togctlier

lu

have

their

vacation

scbeilule

altered,

to support a peer who ha> been lireil, nrn> seek increased fringe benefits represent the fiirrnation of a united body to fujxhcr ihcir cxnTimon interest, (iroups mon

often

develop

characteristics.

We

heenxse

call

the

these

individual

formnnons

members

fhcntisbrp

have

nnr

grotipi^

or

more

Social

com-

allegiances,

which frequently e.xtciid outside the work situation, can be bxsed on, for ex ample, similar

age

or

ethnic

heribigu.

support

for

Notre

Dame

football,

or

holding

similar

polit-

ical view s, to name jnst a few such characteristics. Iniomial

groups

protnde

a

very

important

luncuou

hv

sacislytng

their

niuiubers*

social needs. Because of inicractifwis thar result from the proriniity of work stations or tasks, ing

w’e

find workers

together,

recognize

and

that

playing

sperxling

these

types

golf

their of

lugctlicr,

breaks

riding

around

imcractions

to

the

among

and water

from

work

cooler

individuals,

together,

together.

even

lunch-

VVt

though

must

inibnnal,

deeply affccv dicir behavior and pcrfoiinajicc. I'here

Is

no

single

ixnsori

why

individuals

join

groups.

Because

most

people

belong to a number of groxijw, it s obvious that different groups provide differenr benefits to tlicir iuemhci*s- Fxlbbii 7-1 sunnuan/es ibe most popular reasons people have pining gnmps.

BASIC CROUP CONCEPTS .1 • The following review of IMSIC group conixpts builds on the lecognition that groups arc not unorganised molw. They have a structure that shapes the bchavitn- ol diefr ’•

members.

Roles bun CampbeU

ts

a

buyer

with

Marks


Spencer,

the

large

British

retailer.

Iler

job

requires her to play a mimher of roles: that is, tn engage in a bci of expected behavior panerm that are attributed to occupsnng a given piwiticai in a social unit. For

.

:Q,W«B io Ae Why Do People Join Groups?

EXHIBIT 7-1

Security lrd,«iun in . p.wp ri,a«.. .kwrM; ciU^wie cM membership can d^i giec iftcre»ca feeing uf wfw^ to dn* Affibadon pimp member* rhemsebxs. <4roHM cm hilfin s..dal need#. PctipU enpy die regular jmrracQon AMOHIH-; with gr.mp nKinbcnhip For .nary pevpk. these on-thc-Mh mreractions arc their ponian* Power source fir fiiirxlling Their D4cds li* affiliation OoaJ achivvcrRcniWhat cannot hr achieved uidividQ^lly ofren become* posMbU thrnugh gmupacnon, There is power in Tuxmhers. There arc nnics when il taL» more than one person w k accomplish a particular task—rherr is a need lo p«x^ talcfWS. kni>wlc»tpe, or power in order to g« a job corapktesd. b such insujice, I.sura plays the role of a Marks & Spcacer employee, a member of the instances, manapemrnr will rck on the use of a fonnal headquarters buying group. group, a member of the eost-iniprovemeiit task force, and an adviser still ai

to

more her

the

committee

roles:

daughter's

Surrey

conflicts. from

die

For

(.an

to the

a

Manchester role

in

league.

recent

demands

Off

Aieth<xlist.

singer

soccer

instanre,

diversity.

mother,

schcx)l,

womens

London

Ixjndon.

vife,

on

the Many

offer yet of

of

the

job,

member St. of a

Laura

of

rhe

;\ndrew’s these

her

husband

her

job

be

and

T.aix>r

Chapel

roles

promotion

(Lampbell

would

Party,

choir,

are

and

require

a

with

the

to

to

roles as wife and modi er? Like Laura Campbell, we all are required to play a nuinl>er of roles, and our behavior varies with the role we're playing, The concept of roles can help us behavior at her soccer league match on .Saturday, for instance, IS irfereni from her behavior when participating in a meeting of her cost-iinprovemenc task force al w'ork—the groups impose different identities and expectations on Laura. T he undefiunding «jt role behavior would lx; dramaticallv simplified if each of i» Chose one role and pla.vcd i( out regularly and consistendv. Unfortunately, we are required in play diverse roles, both on and off n»r jobs. Different groups impose difterent role requirements on ^K•op^c. And we can better understand an mdividuafs ‘J**
person is plannp. the following conclusions’: 'he sdmul. around while ml.., ,.f

of

cTeate relocate

remain

demands

in

memlicr

lucinber some

Laura

want

herself

board

compatible;

daughter

reconciled

finds

of

in her

chapter? row’s or

lawyers

Thr

that

Pi-ame.

ihv

be

influenced

People

have

situation

experience another. that

will

n.le An

arid

its

conflkl

w

increasing

Laura

Campbell

by

the

ability

demands

hen

the

u,

of

with

as

a

result

atlwmew

rapidly

major

one

for

of

roles

require

people,

experiencing

actions

nhift

clearly

compliance

number

is

watching

Foundations

role

in

when

changes. arc

of

to

trying

tl.ey

MrBral

recogniM

People

is

at

often

odds

experiencing reconcile

Crroup

.d/Zy

(4)

requirement

instance,

of

the

work

with stress

and

ftiin-

you’re

deal-

ilv roles. So ing

it

with

you’re

employees,

idcntifinng

with

This

role.

a manager,

behavior

at

ii

helps

die

perspective

titne

guide

you

ever

notice

that

knowledge of

lo

of

d^ink

and

can

and

of what value is a what

often in

in

terms

l>ehaviori

allow

you

determining

wbat

would

roles’

group

be

Wien

thcv’re

expected

uj

more

accurately

how

best

to

predominantly


them

predict

the

hantUc

situations

partners

arc

in

that

employee’s with

that

employee.

Norms Did

you

green

or

norms.

that

That

golfers

employees

is,

there

don’t

are

don't

speak

while

their

their

bosses

in

eritidze

acceptable

standards

of

public?

behavior

putting

This

within

is

a

on

the

because

emup

of

that

are

shared by the group’s members.^ Each

group

will

establish

itv

dctcimine

appropriate

dress,

bers

lunch,

friendships

cat

spread

norms—and

with

the

explicit

ol

cues

output,

extremely

on

accepted

gi’oup

nicmbeTs

cases

in

forms

al

off

should

work,

thev an

nonns

with

a

minimum

employee

of

external

with

level

because

tend

might

whom

group

mem-

most

wide-

be

tlie

most

ger

the

the

their

job

like.

Tliese

influencing

of

and

fret,

it’s

high

overriding

level

norms

are

When

agreed

behanor

unusual

personal of

their

the

not

influence

members

done,

means Tn

concerned—deal

provide

performance.

a

the

norms

emploj'ee’s

abilities

of

group

probably

to

to

and

conrrols.

strong

with

typically

channels,

as

ofL

However,

how

individual

instance,

goof

managers

act

For

iob.

groups

affecting

modest

the

Work

group,

very-

and

to

processes.

the

an

norin*j.

acceptable

communication

in

of

which

hy

which a

on

hard

appropiriatc

it’s

sei

-with

how

pow’erftil

and

when

ones

performance-related

with

to

and

own

of

to

find

motivation

per-

group

norms

diat

discourage members from pro
key

bring

point

to

members’

remember

behavior

about

into

norms

is

conformin’

dial

with

groups

the

exen

groups

pres.sure

standards.

on If

members people

in

die group violate its norms, expect gi’oup members to act to correct or even pnni.sh the violation.

This

is

just

one

conclusion

directly

attributable

to

findings

in

the

that

full-

Haw-rhomc studies. The

Hauthume

scale not

Studies

apprecianon
uniil

the

undertaken

at

1924

1932.^

by

and Harvard

l*havior afiveting ing

and

of

die early

VVtsrem

generally iinportiuicc 19305.

Electric

Originally

professor

Elton

sentimenis

individual

individual

Its

worker

were

behavior, output,

by the

closely

pby

Western Hawthorne that

standards

money

w

as

bch^ivioral

in

scientists

influencing

grew

Hawthorne

related,

group that

among

enlighiciimciit

Company’s

Alayo,

and

norms

This

initiated

that

agreed

out

of

Work.s

in

Fleciric

Chicago and

influences highly a

factor

than were group standards, sentiments, and security. Ixri us briefly review the

behavior

senes

concluded

were less

a

officiaL

studies group

worker

were

eflcctive in

of

??rjdies

1

between

later that

overseen

a

worker^-

sigruficant in

did

in

establish-

deiermining

worker

Groups

m

the

Qrjaniiaaoo '1

1 I huth^rnc invx.ng.rio»s ...d d.mu»stn.u the tmpon-nce of these finding i, 4 beg.n hy ctaTiiining the relation I^W'een the phy^ iej envdronment and prrxinrtiviLy. Uhnnination and od.c^-orhng condinons were
beg.in

researchers the

same

In

no

case

unit

bewildering

the

was

been

nnit.

tlic

the

rose

tor

researchers,

continued

to

its

the

to

that

of

iiuHHiKgln.

intensity

was

onk

a

productivity,

but

they

to

the

the (he

in

in

could

illumination

dropped

groups.

In

only

Hawthorne

Hue not

when

the

among

the

eon-

results

were

explain

the

behavior

in

the

group.

But

expcriinenul

a

produccivix)intensity

concluded

many

that

they

researchers

or

rhe

(he

light

researchers

die

in

dw:

experi-

increased

fact,

nee

experiments,

An

experimental

was

at

increase

the

was

the

±e

while

^VgaiUi

ITie

while

group:

lIlumTnatum,

level

wotken.

thing was

to

control

and

both

group

Khc

a

light

level

one

propewtirm

of

control

experimental

minor

in

of

dnwward,

but

ilbininaunii.

the

light

and

vaned,

intrikhiced

-'\s

increase

in

follnw-np

output

of

groups

upward

Resiiltn

intensity

both

ri

varioiii

intensity

researchers.

obscivcd

employee's

in

waiving

constant

with

output.

researchers

with

a

output of

reduced

Asa

decrcaM.

Haw-thomc

was

niination

or

ui

productivity

dccrcasc

increase So

.

ilhuiunadon

group

presented

ihc

of

in

under

surprise

group,

intensity

worked

experimental to

rhe

cxpcnnients

ch.>ngcs

illuiniiiarion

group

trolled

the

nounc

was

in

mental

illumimrion

nunipukted time

detrease

mth

.

had

that

illu*

affected

had

an

witnessed.

began

a

second

set of experiments in the rrlav assembl)* test room at VVc.siern F.kctric. A small group of women was isolated from the main work group so that their lieha\ior could be more caixfuUy

obscrv’cd.

They

a

laid

similarly

room

out

went

about

to

their

their

job

normal

of

assembling

department-

The

small

telephone

rcl3)*s

in

only

significant

difference

was the placement In the room of a research assistant w ho acted as an obsenxr—keeping

records

of

cvcrt’thing small due

that

gryup^ to

ular

output,

rejeits,

happened.

ouipirr

sickness

production

working

Observations

increasud

were

conditions^

sieadily.

approximately

department.

What

nwering 'Hie

a

of

of

those

evident

a

daily

multiyear

number

one-third became

and

log

perirx!

jxrrsonal

recorded

was

that

sheet

describing

found

that

ab.scnces

by ibis

women

this

and in

group’s

those

the

reg-

perfomiiiiice

was significantly influenced liy its status of being a “special’’ group. The women in the rest room thought that being in the experimentd group was fun, diar they w^ere in sort of an elite gn>up, and thiU imnagemcni was concerneil with their in (crest bv engaging in such experimentation. the

.A

third

cftect

of

workers relate^ was

study a

would to

that

maximize

Output

was

hank

hy

not

did a

only

group

ohsen'ation

incentive

produccivny

T

not

bring

wiring

wage

their

rew’ards.

employees

controlled

rhe

sophisticated

economic

^camc

in

he

most

plan.

room The

when

imporrnnt

individually

maximize

norm

dciennincd

Unit

restricted,

hut

W’X$

assumption

they

saw

fuuling their what

individual

introduced that

coming

outputs. was

workers

was

that

it out

of

proper

were

ascertain individual

was

Rather, a

to

directly

this their dav’s

gii-ing

study output work-

enoneo«>

reports. 7 he total for a week would check with the total week’s output, but the daily reports

showed

was going on?

a

^teady

level

of

output

regardless

of

actual

daily

production.

What

* In^meus determined that the gn.up was operating well below its capabilitv *nd w« leveling output .n order to pn,te« icsell. Memhers were afraid that if the>- siifnifi-

Chapter 7 Founrtatiorw ofGremp Beha carri, incrca^ their -xitput thc^.t incentive rate would be cut, the expected d.Uy output would he ...creascl byo^ ,n,ght occur, or sk.wcr worker, would be repri^ 'f’ ■J'’* fair outpnt-neidwr too much nor too i.rtle, I hey helped each other .n.t to ensure rheir rcpr.re were .tearlv level I he nonns rhe group established included a number of “don'K/ IM= a rater, turning tmi loo little work Oari r [>f a squealer on any of your peers, bow did rhe group enforce these nonns? Their methods were neitlter gentle nor subtle. They included sai-casm, name-calling, ridicule, and even physical punches TO the upper arm ol mcniber.s who violated the groupk nnrnw. Members would also ostracize individuals whose Iwhavtor was against the group’s interest. I'he Hawthorne .snidies made an important contribution to our understanding of ^oup bchavior—panicularly rhe significant place tliat norms have in ilctermining individual work liehivior. Conformity

«md

acceptance

by

There

is

the the

Asch

group,

considerable

Studies so

you

evidence

As

a

arc

that

member

susceptible

groups

can

of to

a

group,

conforming

place

you co

snong

desire

the

continued

group’s

pressure.^

on

norms.

individual

members to change their a Lti tildes and behavioi3 to con form to the group’s standard. Group

influence

was

demonstrated

in

the

now-classk

Studies

undertaken

by

Solomon

Asch.** Asch made «p groups of seven or eight people who snr i n to

compare

other

had

three

two

lines

cards of

held

varying

by

the

length.

expcriirienrcr.

;\s

shown

in

One (*flrd

bit

tions,

/-2,

subjects

the

difference

made

errors

aloud

which

of

members

in

announce all

the

conform

result

in

the

the

in

line

less

the

than

three

group

length

lines

begin

unsuspecting

subject

quite

percent

matched

to

give

one

line,

the

card. Also. as sliow'n

was

one

had

Exhibit 7-2, nne of the lines on

die three-line card u-as identical to the line on die one-Iinc ExIn

chsaroom and wcw

« 9

asked

a

obvious;

of

the

the

single

incorrect

(LISS)

under

time.

The

ordinary object

line.

But

what

answers?

Wil

the

altering

his

or

her

condiwas

to

bapj^ens pressures

answer

to

if to

align

with rhe others? I har was what zKsch wanted to know. He arranged the gi’oup so that only

the

USS

was

unaware

that

the

experiment

“fixed/*

The

seating

was

pre-

arranged so that the USS was the last to announce his or her decision. The experiment began several sets of matching exercises. All the subjw^ts gave die right answers. On the third set, however, die fij5t subject gave an obviously

u

>

EXHIBIT 7-2 Examples of Cards Used in Asch Study

g5«*‘ _ iA Part HI

.is W

Grvuj* in the OrgtBioiOnn I jna “r" in Exhibit 7-2. The next subien gave until it got to the unsuspecting subject. He 1 evcreorie had said “C ’ The decision confrjmQng ,„hlicly that differs Irom the pteOr d„ .-.m give an answer that vou stn.ngly believe « group members? d„iUstrated that over many experiments and

wrong answer-fhr same wrong answer. an< knew “B" -Jv sme « ,he I’SS «as n > annonnved pos.non
^.nvSs'ubiccts cwtormed in about .» percent of the trials d.at is, the ..hvxts mZe;t. tho blew w ere w rong but that were consistent with rhe replies ol can wc cnnck.de Irom this snuly? The results suggest that .here ate group «m that pn.s us toward cnnformiry. We desire to be one of ±e group, a.ul avoid Iwuie visibiv different. We can generalize ftntl.rr to say ihal when an mdividual’s opinion of obfeciivc data differs sigiiifKanily from Utat ol others ui the gr.n.p, he or .die feels e.viensive pressure lo align his or her opinion to conform with those of ihc

olhers.

Cohesiveness Groups

differ

attracted

tn

work

in each

groups

togetiier,

and

ctihcMve

rhe

external

cohesiveness;

ixber

arc

nr

rienced

their

groups threats

ihal

are

mniiwed

heranse

the

sue that

the

tn

siaj

members

facilitaics have

is,

ro

which

the

group,

For

in have

higher

brought

degree

spent

interaction,

members

a

or

closer

members histance.

great the

deal

group

together.

are some

of

time

has

expe-

Cohesiveness

is

ini|)orant because it’s been found to be related to the group’s productinn'.Snidies depends sive

on

the

norms

consistrnth-

group.

But

low.

If

but

less

the

high

the

iiKire

(for

group), if

a

cnhcsivcncis in

pcrformancL'-relaterl

its

the norms

relationship

of

norms

established

by

lugh

c
is

the

meinliers

example,

cohesiveness

than

that

performance-related

group,

arc

outside

the

show'

w

ill

output,

group

quality

will

lie

is

high

and

low

and

performance

Idgh are

low,

there

more

its

norms

norms

group. goals.

arc

low.

high,

situation. he

If

than

arc

no

and The

cooperauon

productive

norias

will

rhe

work,

performance

cohesiveriess-higli both

follow

cohesiveness

productivity more

pertbmiancc-rckccd w'ith a

individual.*

less

cohesive

productivity

produerhntv

W^cre

cohe-

will

increases,

cohesiveness

significant

be

effect

on

and pro-

duerivin. These eonclusioas are summarized in Exhibit 7-?. As a manager, w hat can you do to encoui age pxmp cohesiveness? You might try one or more of die folknving (1) make the group smaller. (2) envxjuragc agreement wirh gi-nup goals. (3) increase the time members spend together. (4) increase tile status and tlw perceived difliculry of attaining membership in the group, other groups, (6) give rewards to the group rather chan to individual members, nr (7) physically isolate the group.

Size Dws

the

site

of

tasks er«UDse..t,sk?T,t”"'^’'

gh.up

affect

the

group^

overall

behanor?

The

anst»-cr

is

’ndicates, for instance, that smaller groups are faster at completing engaged in problem solving, however, large j

resuluinn ' ' tlieir smaller couiHerparts. Translating these J -Wilts mto specific nonilicrs is a bit bazardotrs, hut we can offer «>me parameWfi. J

a

definite

EXHIBIT 7-^3 Relationship of Cohesiveness to Productivity

Alignment ef group and organizational goals

CohosiveneM

LtJ^e

Hfgb

High

Low

Strong incrMse in produceHty

Moderate increase in producttvf^

Oocrease in produccMcy

Low

groups—with

a

dozai

or

more

'

No stgnifiant effect on productivity

members—are

good

for

gainmg

diverse

inpot.

So if 6c goal of dw group is fecr-finding. larger groups should be more efVecrive. On die

other

input.

lumi

Groups

smaller

of

groups

approximately

arc

better

seven

at

doing

members

tend

sumcduiig to

he

produenve

more

eftecrive

with

6at

for

taking

has

i>een

action. One labeled effort

of

the

social

most

important

losding.

when

Social

working

fuidiiigs

loafing

collectively

is

6an

related 6c

to

6e

tendency

when

size

for

working

of

a

group

individuals

individually.

to It

expend directly

less chal-

lenges 6c logic 6at the pn>diicti\'iry of 6e gr<xip as a whole .should ar least wpial 6e sum of the productivity of all 6e indinduals ui 6at group. A ommon stercoty|K! ual

effort

and

psychologist

enhances

Max

JIKHII

the

groups is that 6c sense of team spirit spurs individ-

groups

Ringclinnnn

overall

compared

piixluctivity.

the

results

of

In

6e

Lire

individual

and

1920s,

German

group

perfor-

mance on a rope-pdling rask.^ He expected that the gi-oup's effort would be equal co 6c

.sum

of

6c

efforts

of

individuals

within

the

group.

That

is,

three

people

pulling

together should exert three rimes as much pull on the rope as one person, and eight people

should

confirm dines

his 6c

exen

eight

cxpectadons. average

tinws

as

(Groups

individual

much

ot

pull.

three

jxrrfiinnance.

Riiigcbnann's

people

exerted

Group*

of

a

eight

re:»6tb. force

however,

onlv

cuUeviivcIy

two

did

not

an4-a-half

achieved

less

generally

sup-

6tn four times 6e solo rate. Replications

of

Rmgclmann’s

research

with

similar

ra.sks

have

poned his findings,'^ Increases in group size are inversely related to individual performance. More may be better in the sense that the total productivity of a group of four is

greater

than

6ar

of

two

or

three

people,

but

die

individual

productivity*

of

each

group member declines. Wliat causes 6is social loafing effect? It may be due to a belief 6ai o6crs in 6e grrw^

are

recMablnh

not

carrying

cquit)*

b)

6cir

fair

reducing

share. pmr

If

effort.

you

sec

Ano6er

others as explananon

lazy or is

Rspomibiiic>. Because 6c results of 6e group cannot be attributed to any single

6c

6cpc,

you

dispersion

can of

Gnwp'inff’eOrgani^tion . person, rhe

i,i« between an individuab input and the ^«ups output *^indtviduak mav be tempted to become •'free rider," effort.Lk ihar *d, « be ,„e..u.ed.

X

' ,

Composition .. KX . ,^.u.n acnviries require a variety of skills and knowle.lge Given this reqnirewent il wJul.l be reasonable ro conclude «ba. hcrcn.geneuus group^th.^e c«n. ; ^z^i«,n.iIar individuals--would be more likely to have diverse abilities and Ermation and should be more elfective than homogeneous gn.i.ps. Research studies generally substantiate this conclusion, especially on cognitive, creatnuy. demanding tasks."' WTien lional

a

group

specialiMtinn,

will

possess

may

l»e

assimilated, groups

rhe

promotes

and

of

personalities,

there

is

an

than

which

gender,

increased

complete

expedient

generally

effectively

conflict,

to

less

evitience

more

tcmis

characteristics

coiiHict-ladcn

but

in

experience,

nec.led

perform

diversity

dnxrsc

and

the

more

is

its

as

positions

rhe

condiision

those

that

are

stimulates

creativity,

tlut

effectively.

supports do

education,

probability

tasks

varied

age,

that

leads

group

he

group

intnxlucctt

a,Kl

heterogeneous

homogeneous.

which

Ae I

are

hint-

to

Ksbentially,

improved

deci-

sifffi making. Uui indicates short

uhiii

that

termJ^

viewpoints.

abuin

ihcsc

elements

Cultural But

divenicj'

diversity'

culturally

seem

to

dissipate

with

time.

fnrm

as

compared

wiih

newly

to

leam

about

how

and

tJiree

to

diversity

interfere

to

work

solving

racial

he

heterogeneous

wiili

after

other

by

seems

work

disappear

each

of

created

an

groups

fonned

on

culturally

months.

The

reason

through

disagreements

1

he

processes,

at

least

tasks

good

formed

differences?

group

have

The

newly

th

MT

asset

problems.

While

ornarional

(hat

for

a

in

variety

of

difficult

in

news

is

these

difficulties

groups

underper-

ciilturaliy

chat

diverse

chat

it

and

different

groups,

lakes

diverse

karning

dK

more

hcMUogcneovs

is

call

endence

the

differences

groups

approaches

to

a

to

while sohing

problems. An group

researchers.

demographic the

offslujot

oi 1

attribute,

organiiarinn,

and

the his

composition is

such the

the as

issue

degree age,

impact

to

sex, of

this

has which

race,

received

a

members

of

educational

attribute

on

great a

level,

deal

group or

turnover.

of share

length

\Vc

attention

call

a

of

ctwnmon senicc

this

group demography. r organizations are composed of cohorts, w^hich wc define as a group <jf indiv iduals who hold a contmon attribute. For uwtance, everyone bom in is of nieans they also have shared roniriion experiences. People bom in experienced the iuforinatjon revolution, but noi the Korean conflict. People l>om m 1945 shared the Viernam War, bin not ibe Great Depression. Women in U.S. organizations toiiay who were born before 1945 matured prior to the womcnV •‘'ubslantiaily different experiences from women bom after th nr nirn.*M

<’'tHOgraphy, therefore, suggests that attributes such a.s ace or the date ® ‘’pecific wxirk group or organization should help us to pmlie't

with dkiimir""’ *>H I’e greater among those ni.wer«ri..«,r liecaiise cuiniiiiinicaiion « more difficult. Ci>nHjci and I* ggles are more likely, and are more severe w hen thev occur, nie inereasd 9

,)

by* in

variable

Chapter 7 FoundauMs of Grnup Bebavi.w mal« group numl«rship less artracm-e, so employees B« more likely to nui, .Aoutnumber cnmirspng,' IKuTion

1-or

ot

among

members

is

the

other

,n

this

hand,

at

People

on

to

the

test

or

same

.AJso,

tune,

where

enter

a

are

more

likelv

group

or

discnntimiines

bulges

work

there

group

in

is

arc

or

to

is

qnite

groups

a

larec

large

an

and

in

which

consideraWv gaps

more

turnover

between

cohorts,

organization

associate

the

voluntarily or ,oX and the evidence

thesis,

there

organization,

or

di.s

separate

who

time, the

sought

depxn.nencs

cohort.

same

perspccuve

have

entered

higher.

jpptowmarely similar

sn.d.es

e.xaniple

th.,seoij«.dc

turnover

the

of

wiffi

thus

be

group's

together

one

more

another

likely

date-of-einrv

co

or

at

have

a

stay

On

distribution

are

likely to result in a higher nirnnver rate widiin chnr gruup.

Stiitus Status

IS

a

prestige

that

orgaiiizarionally

by

as

heavt-weight

champion

trappings

associated

with

the

carpeting, and

so

group;

position,

imposed “the

a

grading,

impressive on.

titles,

Whether

organizations

are

is,

of

tlie

high

pay

management

filled

with

rank or

a

‘‘most

fringe

aekiuiwlcdges tliat

group.

through

are

may



or

formally

are

ail

offices

such lamiliar

with

thick

preferred

work

schedules,

of

status

hierarchy,

existence

not

lie

ameniues

VVe

staras—large

benefits,

rhe

It

titles

congenial

organizational

and

mrienities

witliiii

imposeil,

world”

with

high

or

uniformly

a

available

to

eveiyone

be

informallv

and, hcncc, carry status v ilue. .More acquired

often,

bv

we

deal

with

characteristics

stiinrs

such

in

as

an

infonivdi

education,

seme.

age,

Status

gender,

imv

skilly

or

experience.

Any tiling can have status value if others in the group see ir as status-c on feiTing. Keep in mind that informal .sranis is not necessarily less imponant rh;in the formal variety. Status and

hxs

pressures

been to

shown

conlbnii.

given

more

status

people

peers.

An

individual

who

about

social

rewards

care

freedom also

to are

to

have

For

deviate better is

instance, from

able

no

to

highly the

some

eilecls

high-status mis

resist

valued

group

interesting

than

members are

conformity

by

provides

a

die of

other

power

group

but

doesn’t

particular!cable

to

norms

often

are

inenihcrs?**

than

who

of

groups

pre.ssurcs

group is

on

their

pay

High-

low'er-scatus

tniich

need

minima!

or

atten-

tion to confonnitv norms.* The perfonninff to

the

a

wider

prencus

findings

salespeople,

social

norms

range

of

and that

explain

outstanding

eonsu-ain

discretion.

why

But

star

academics

their

this

many

is

achkres,

seem

peers.

As

true

only

actors,

to

appearance

oblivious

high-scams as

famous

long

individuals, as

the

thet'

high-status

top-

re

or

given

persons

activities aren’r severely derrirnental to the achievement of rhe group’s Its cquitabk-

also V\Tien

important incquiti'

lor is

group

members

perceived,

it

to

creates

believe

ilint

the

disequilibrimn

types of corrective behavior. •

that

status results

hierarchy in

JS

various

i> i

The concept of equity presented in Chapter 4 applies also to status. People expect rewards co be proportionate tn costs incurred. If Dana and AJUIC arc e wo finalists for rhe head nurse position in a hospiral, and it is clear that Dana as more senioritv and better preparation for assuming the promotion, Anne u dl view ^he tion <4 Dana co he equitable. However, if Anne is chosen because she is e

t

tfHlaw of the hospiul director, Dana will believe an inpisrice has been cvmnutted.

* 1

fiml thcmselvvs in a critena

arc

different

backgrounds.

For

growth

of

may

<5»r«.Kion when They move between groups whose Matrix

rate

or

instance, their

use

the

size

automiinv

that

comes

seniority’.

In

gniups

are

group 8,

forced

this

can

their

reconcile

a

particular

be

us

whose may

tleterniinants

assignment.

of

heterogeneous

and

stilus

align

problem

the

differences

income

use

workers

may

we’ll

creates

the

degree

of

years

of

use

when

initiate

or

bureaucrats

the

may

or

hierarchies,

inanagcincni

hcierogenenus

(lovemment

may

individuals

differing

when

status,

Blue-colbr

have

personal

employees

job

up

members

use

of

Professirmal

interdependent,

to

groups

executives

budgets.

their

made be

join

business

with

to

ilwy

companies

of

groups

accempLs

when

heterogeneous conllict

as

sec

Chapter

teams

in

made

the

up

of

employe e A freim across varied tun chons wnthin the organization.

GROUP DECISION MAKING The belief —as embodied by juries—that two heads arc hertcr than one has long been accepted as a bask ixmiponent of North American and many other countries’ legal systems. This belief has expanded to the point that, today, many decisions in organ ira-

The Individual versus the Group

accountabiiity. the stren^

You

outcome. of

know

.Xccountahility’

individual

deciskins

can

decisions

of

who

suffer the

V.S.

decisions from

made b

more

is

chat

incragi-oup

Congress.

the

decision

and,

ambiguous they

jiower

Decisions

tend

with to

struggles.

can

therefore, group

convey This

vary by

as

who's

responsible

decisions.

cunmyent

effect

is

best

much

as

IHO

values. degrees

Now compare the above with rhe strengths of group
third Group

illustrated

one session to the next, reflecting the make-up of mcnilwrs and their ahilik* ro influ-

generau wore ampiftf

A

for

By aggregating the resources oJ «*•

by tnxn

Chapter? J-oundaaansorOnroj.BehavHw enl mdividuak. groups bmg njore input mro the decision pro«s,. In addition to ’'cwrogeneity to the decision process. They offS r.rrr so more approaches and alrematives «„ he eon^detvd ’’Jmost always ontperfornt even the l«t ,n.hv,dual. So groups genernte

de.;.io,., Einally. groups lead to

of,, sol„„^„ .Many decK.ons foil after the final choice is ma.Ic Itecanse people don r accept the solution. <,rot.,. members, who particpatesl in makine a dedsum. arc mote likely to enihusiastically support the decision and e«toura« others to accept It. So MhJeh IS Ixuer—indindxMls or groups? The nhnvus cr is. “It depends " l-here arc Uiiid M hen decisions ai-e best handled bv mdividnds. For exampk’ evidence indicares tbai tudividualA are preferred M-hen the decision is rclutivelv unimporcinx and doesn’t require suhorduutc commirmcnc TO its >ucre«. Siinilarly Jndividuak should make the decision when they have suHkient infonnadon and wkn subordinates u-ill be committed i<> the ouiCfitne even if they arrn’t consulted?’’ (X’erall. M-herhermdh’iduals i>r groups should make a decision essentially comes down TO weighing cflecdvencss against e£6ciciiiT. tn xcniis of effectiveness, gnnips arc superior. They generate more alternatives, arc more creative, more accurate, and produce higher-quality tlevisions ±aii lution.

Grnupthink and Groupshifr Two

byproducts

attention

by

of

groiq)

researchers

Gruupchink

Have

mal

but

decided

may

have

group,

hand,

you

group

members

sensus

you

in

OB.

ever

like

against a

$o

mating

These

felt

been

Ix-come

(werridcs

decision

ii?

arc

enamored appraisal

expression uf deviant,

minority,

or

mental

efficiency,

ctjtu up

in

may

seeking of

a

epes a

the

c*onsi of

been

table and

shyness.

the

of

action

or

infor-

the

other

occur.s

when

norm

for

and

testing,

and

moral

judgment

as

a

result

con-

the

unpopular views. It describes a tie ten oration

reality

of

groupshift.

On

that

chat

courses

amount

classroom,

phenomenon

concurrence

akcnuitive

de

groupthink

meeting,

have

gmupthink,

of

realistic

received

reason

of

the

individual’s

the

speaking

One

victim

have

foil

in an

of

group

pressures?*^ How exhibit

do

four

y<}U

if a

characteristics:

assumptions

they’ve

tivp

h)’

favored

know’ made,

the

group

(1) (2)

iiiaiorit}',

is

Ciroup

members

members (3)

tt)

show’ing symptoms pressure

give

the

of

rationalize any

groupthink? any

doubters

appearance

of

to

It

tends

to

to

the

resistance support

group

the

consensus,

aliernadoubters

keqi silent alx Hit misgivings and even minim ire co themselves the inijxir rance of their doubts. (4) the group interprets members* silence as a “yes” \’orc for the inaioriry. The groupthink the

above

sun|Homs

occurs,

you’ll

problem,

dev’clopmeni

poor of

lead

find

infonnanon

alternatives,

one

to

a

or

more

search, incomplete

number of

selective

of

the

dccision-maknig following:

bias

assewnent

of

in

deficicnaes.

incomplete

processing alternatives,

assessment

infonnadon, hiilure

risks in preferred choice, anil failure tn reappraise initially rejected alternatives. Studies of deciM(.« making »n C-S. government agencies have found outcomes frequently preceded bv svinpioms of gn.»tiprhink. These outcomes inclutW unpreparedness at Pearl Harbor in l<41, the invasion of Nonh Korea in the 195(k the Bay of Pigs fiasco in the early I MWJs, the escalation of the Vietnam \\ ar. the failed

Ulien

to

of

timired examine

. .,„i,esiv«K-a. '« Jeader^. behavu.r, its insulauon ftn.^ j;,[|^„. pierhodical deoMon-nvaking pmecJeeision-nwking group, want to mmimize th« J ft p;,,, cohesiveness

Rwcairhen haw likely n. yi.rttw- the gf cMitsider^ nme pr«^ • dores. Managers ujto JhTdo ±Xs Zu

should

lie

smxc

for

d

^ur Lhesiveness can also discourage dissent, so vigihn.'whcn an

open

Zon

refraining

from

iing

dn-ergent

Opinions

reaching itself

a

from

Fourth,

external

time

false

pnx-ess

from

need to

Third,

in

style.

This at

should

avoid

time

derision,

to

they

resort

to

promote

constructive

group

group that

of

detach

ohiectivin.

mcmliers

feel

inevitably

kad

the

rational critirism

tn

and

encourage

the

c-ncour.

iinporunee

perspecQve

should

Eollnwng

lhe

shortcuts

pamci-

meenng,

the

WTien

managers

,ncn.lK-r

the

allowing lose

managers

procedures.

nt

emphasizing

constraints.

Finally,

will

tend

Second

enc.umging

hepnn.np

managers

a

6

the

groups

group.

includes

and

consensus

Clhapter

cohesive

members,

downplay

reach

a

group

Insulated

.lecisioo-inaking

descrilwd

with

opinion

aU

to

superficial

methodical

ones

sources.

pressure

or

leadenihip

slating

derision.

managers

severe to

wise

working

use

of

decision-making

and

a

full

analysis

of decision oprinns. Groupsbift

Comparisons

of

group

decisions

with

the

individual

decisions

uf

mem-

bers within the group siis^est that there arc difTerenccs. In some cxscs, the group deciricttis

arc

more

caudous

than

rhe

indindual

decisions.

More

often,

the

shift

is

toward

tu

significant

greater risk.-^ XVhat shift

in

appears

the

to

pHirions

coward

which

become

more

diev

happen of

were

cautious

in

groups

jnernbers alrejidy

and

the

is

coward

leaning more

that a

ihc

more

l>efore

discussion extreme

die

aggressive

position

discussion.

tvpc.s

leads

rake

on

So

in

a the

direction

consenarive

more

risL

The

npeS group

discussion tends TO exaggerate the initial position of die group. Groopshift of

the

group

can

be

reflects

viewed die

as

actually

dominant

a

sj^rcial

decision-making

case

of

groupthiuL

norm

that

The

deveJops

decision

during

the

groups discussion, XATiethcr the shift in the groupV decision is toward greater cauQi»n or more risk depends on the dominant prediscussion norm. The

greater

occurrence

of

the

shift

row'ard

risk

has

generated

scv’cral

cxpbna-

uons tor ibe phenomenon, b'or instance, ii’^y been suggested that the dtscussinn creates T’

members. As thev become more comfortable w’irh each

other,

they

nauon

of

also rhe

h«o,ne

^hift

cS

bolder

toward

risk

'"k

and

more

seems

to

daring. be

that

Arguably, rhe

rhe

group

must diffuse.^

pbuMhIc

expb-

rcspcmsibiliQ.

’•vcoonwbilitv for the moiips ti.ui

SX Md findings bers that the shift has whedwr a group will shifZrow^^^^^ prediscusaon inclinations.

on

groupshift?

You

initial position of the indhidiul men^^‘aution is a tunermn oi the members

Ui-wild

X Chapter 7 FnmMab ofCStciap ftnlBiru Selecting the Best Group Decision-Maki ng Technique rhe jiMJ'ii cVimmon form of group dcci^ior making lakes place m face-ui-fec< interxiing groups. But as our dtu ussbjn of groupihink defnnnsiraicd, interacting gruupv often censor chcinscKe' and pressure individual nxinbcrs towani conformity (»f opininn. B rd n si o ruling. the nominal group technique, and ck-ctrunic meetings have been proph cd as w’ays co reduce many of the prohlcius inherent in the iradiuonal interacting groupBrainstorming Brainstorming is meant to OVCIXHUTH? pressures for conformity in the interacnng group dial retard die develupaient of creative altcnutivc^. It does so b\*uuliring an idc.vgincruuon process chai s|xcific.jlly encourages any and all aliernatives, while withholding any eriucisin of those alteniati\*es. In a typical hrainsiorming session, a hah-dozen lu a duicn people sit around a table. The group leader suies ihe problem in a clear manner so it is undcrsuxhl by all l»rricipajiK.

.Memhers

then

‘'freewheel”

as

many

nlrernarives

as

they

can

in

a

given

length of time. No cririciMii is allowed, ami ill rhe iilfernatives are recorded for later dbcus^ton

and

the

biz-'irre

most

analysis.

‘Ihat

one

suggestions

idea

are

stimulaTcs

withheld

others

until

later

and

that

encourage

judgments group

of

even

nieinlx’rs

to

*ihjnk the iiniLsual." hoxveirr.

is mrrclv

process for generating ideas. The follow-

A

Brainsiomung,

ing tw’Q techniques go further by offering

methods of jctiully arriving at a preferred

sulurion. Nominal

Group

Technique

sonal

cominiinicaunn

group

tedmique.

mittee

nweting,

during

Group but

The

nuTiunal

the

decision-ma

members

the

are

nietiibers

all

are

group

restricts

king

process,

hence

the

present,

as

a

physically required

to

discussion

operate

in

or

interper-

lenu

nonunal

traditional

independently,

com-

Spcciftcally,

die follow ing steps take place: Members meet as a group, bur. before any dt^nusion wkes place, each meinlwr independently writes down his nr her i
2,

'rhis silent periext is tbllnwed hv each xneinbei *s preferring one idea to rh« group. Each member lakes his or her Uirn, E?ning round die table, preserring a single idea until ah ideas have liven presented and reconkd (ty pica Uy on a flip chan or chalkboard). No discussion takes pbr.e until all ideas have been recorded.

3.

The group then disaisscs tfie ideas for thinty and evaluates them.

4.

Each group nicmlicr sikndv and independencK* ranks the ideas. 1 he final decision is (ieternuned by the uka ujUilbe highest aggregate ranking

The

chief

advantage

of

llxii

technique

is

chai

it

permits

the

group

h>

meet

for-

mally hut does not restrict independent thinking, a.s so often happens in the rradiiioiul interacting group. Electronic the

Meetings

nominal

group

The

most

ctx'hnique

recent with

approach

sophisticated

to

grrnip

computer

decision technology'.

making Its

blends

called

the

cicctrofuc meeting Once

the

technology

is

in

place,

the

concept

is

simple.

I

p

to

50

people

sit

und a horse shoe-sh a f)ed tahic. empty except tor a series of computer terminal^ Issues are presentcil oi p.irticipants, and they type their responses onto their

»—■ ->' - •••^ ''““■" ■” ‘ '^- ,,,etr,.nic mcetin-’s are ononymit>-. honesty,

rion «rcen in Ju ;

th/push

the screen for all W » nrtcj'toioi; .font diL-ress,

of

and

.1

kev

.^any

on

a

participunfs keyboar.l. It also allow, because chitchat is dinii. participants can ‘•talk" at once without

Stepping on one jiiothcrs rtx”^.

In

order

9Uidi>n

are

of

an

wort

inal

to

behavior

/ups

b

ha
look is

accomplish

npinHy

gnrt^ps

flgers

m

at

not

work

uniled

inh>

addition

to

nn

merely

rhe

as sum

the

individiKHs

departments, thebr

comnion

employees

tasks,

formal

wuub, groups

who

cr.niminees individuals

interests

or

friendships,

members

of

a

of

the

group

individual

make

h’s

or also

an

in

of

its

organi-

other t

fomis

reatc

infer

for

man-

imporUnt

because,

behaviors

up

reality,

group

members.

I'he

group Itself adds an adcliliimal dimension to its members’ Tichavior. How Maryland

b

it

woman,

Democrat,

relevant for

to

example,

councilwoman,

understanding has

and

tn

police

group

reconcile officer

heha\nor

her

roles

with

the

to

of

know

ntoiher.

cin^

of

that

a

.Methodbt. Baltimore?

Knowledge of the role that a person is attempting tn enact can make it easier for us

to

deal

with

the

person,

fcir

we

have

insight

into

her

expected

behavior

pat-

terns. Also, knowledge of a job incumbents role makes it easier for otliers to work with her, for she should behave in wavs consistent wnth others’ evpeciations. In other words, when a person plays out her role as expected, the abiitcy' of others to predict her behavior imftroves. Norms control group member behavior by establishing standards of right or wrong. Knowing the norms of a given group can help us explain the attitudes and be ha nor s of its members, (km managci^ conrrol group norms? Not conipletely, bur they can influence them. By making explicit statements about desirable behaviors, by regularly reinforcing these preferred behaviors, and by linking rewards to the aceepiancc of [xeferred norms, maxiagers can exert some degree of indue nee over grcxip norms. Should managers seek cohesive gi*ou|Wr The answer is a tpialiRed Jit The quailficabou lies in the degree of alignmtnx between the group and the organization s goals. M.uugers should attempt ro create work groups v\ hose goals are consistent with those of the organization. If this is achieved, then high gniup uxJicsivencss will make a positive txiniribudan ro the gt i>Np\ perloniiaiue. rhe impbeacions for managers of the social loafing effect on work aroups are signiheant. When managers usecolleciivc work situations to enhance inoraic provide means bv which individual efforts cm be identihcd. h ihry don't, management must weigh the potenrial fosses in producnvit) Irnm using groups against any possible i?ains in weaker .sadsthetioa.-- This conclusion, however, has a Western bias, h’s consisteni with individualistic cub res, sue as le ’ni^d States aiwl Canada, that are dominated hv self-interest. cwIJecdve societies in which individuil, arc i.u.avated b> gm p goals, her instance, in studies. otnparing eniphn-ees fn.ni rhe United

I

Chapter 7 Founditions of Group Swws employees lectivise snriecies),

from the Peopled Rcpuhlk of China and Israel the OiineF*.* and Israelis slujwcd no propensity to

social loafing. In fact, the Chinese and Israelis acnially group chan when working alone?’ J he managerial iroplicarions for group composition formal

gn*>ups

and

using

groups

to

make

decisions,

lb

purfonned are

increase

the

99

(both colengage in

better

related

BcH:ivi0r

to

in

a

staffing

pcrfonnance

of workgroups, yon •ihould try to choose is members individuals who can bring a dive Hie pcispective co problems and issues. But don’t be surprised if these difference

ncgarivciy

members

learn

affect rn

the

group’s

work

with

performance their

in

the

differences,

short

the

term.

group’s

Be

patient.

performance

As

I

will

iinprmx. Slams

ineqilines

witliin

a

group

divert

acrivity

nienr .ind direct it row a rd resolving the mei| agers

may

find

that

mine

die

activities

group of

dyshuictional

behaviors.

trements,

or

tendy

he

with

she

status

members

the To

should

equity.

reduce

members the

degree

ensure Inequities

that are

from

goal

accomplisJt-

4

ties. When inequities cast, man-

HI

their

work

with

higher

that

a

they

are

likely

away

I

status,

manager to

effort,

or

controls

distributed have

attempt

a

to

under-

pursue

similar

status

accou-

carefully

and

tonsis-

negative

niotivadonal

impact on the group. Finally, if managers use group decision making, they should particularly ot

-1

to minimi la groupthink. They <5hould encourage member input, especially from those who are less active m the discassion, and avoid expressing their preferred

4 " V >j .

solution eariv in the group’s discussion. Managers might also want to consider one or more of the techniques presentee), such as bi'ainstorming or electronic meetings, as a means to lessen pressures to conform.

•I*

Understanding Work Teams AftP*- reading this chapter, you should be able to

HN-

Explain the growing popularity of teams in organizations Contrast teams with groups Identity four types of teams

4. Describe riie role of work design in making effective teams 5. Explain composition variables that determine team effectiveness 6. Identify resources and other contextual influences that make teams effective 7. Describe process variables that affect team performance 8. Explain how organizations can create team players

heavy equipment, fn N94 tn ’iiimr ,v>. management ampkmented teams ro ^enl sometiuielbi-eTitpJoyeestoadn.sf-mxrfc’ are organized into more than SO team nr participau i„ decisions dut were once m rhf warns set iheir own scheduks spUre „. calls on customers and dis^ipiinc member team approach lu.s also hdped Beween IWt and 199V, resnonsp ti.„ produCTivitj- and manufacn.ring outpuXwl?^’*'”" accident rates dropped by mor^ih,,,, b.,|f

's U'ed m trucks, tranors, and other produetivitjz, E.ifnn-Aeroquip's assembly line, While ii took kl "’‘’'‘-’gPr'icnt—fur inscaixc. suppliers, make problems. .And the move to a achieve important conipain goals. Iftprote.l W pcrtx.-M; ’Hort; dun 50 (XMCVHI; anJ

Chapter 8 L nderBcanrling* Woti "Ifea WHY HAVE TEAMS BECOME SO POPULAR? 1 hin>’ >^4rs ago, die dccisicm of companies such «s \ blw, Tovota, an4 C^eneral FOCMIS roinrrociucc teams into their prodactnm procewes maik news because no one eke was doing It. roday, just the op^K>ske the oi^aniz^cicn that use teams diat has become new sworthy. Pick up almost -^ny business peri
such

xs

Cymputer, .Ijrlines,

Genend

Shiseido,

Johnson

IJeccric.

PtdEx,

&

AT&T,

Hoebg,

OaimlerGhn’sler

Johnson.

Shenandoah

I

lewktt-Packard,

EM

Life

Co.,

Insiuance

Motorola,

John C>>.,

Deere,

and

z^pple

Ausirahan

KlonJa

Power

&

Light. Evi.’n the world-famous Sail Diego Zoo has restructured its nudve habitat zoncis aroond

tearas.

cross-tleparcmeuwl

Tlic

Center

for

the

Stud>

of

Work'learns

say’s

that

Wfi companies now have half of their’ employees on leaiuk-

tiO percent of

jfew do we e.xpbin die current popnlajnty of teams? 1 he evidence suggests dwt [earns Q-pically outpertonn individuals when die tasks being done require multiple skills, judgment, more

and

e.’cperience.’

effectively

and

org'anj7.ations

efficiently,

they’

have

have

resn-uctuicd

turned

to

teams

ihcmsclves

as

a

co

way to

com|>ete

better

utilize

einployre talents. Management has found diat teams are more llexiblc and responsive to changing

events

ings.

'icams

Bur

don’t

have

are

the

overlook

discussion faci]irate

than

in

capability rhe

Chapter

employee

tnidiiional

5

departments

to

(juiekly

moTivationyl of

die

participatioQ

rf»lc io

or

assemble,

properties of

odier of

employee

Operating

forms

permaneiu

dejilny,

refocus,

teams.

Consistent

invuivcjiitiu

dccksion^.

of

For

as

a

and

groupdisband.

w'ith

motivator,

insrance,

some

our teams

assembly-

line workers ar John Deere are pair of safes teams that call on customers. These workers

know

Speaking

the with

products

berrer

iarmers,

than

these

any

hourly

traditional

w’orkers

salesperson,

develop

new’

and

skills

by

traveling

and

become

and more

involved in rfieir jobs. So another cxplajiaiion for the popularity of teams is chat they* arc

an

effective

means

for

management

to

democratize

their

organizations

and

iniTcase employee modvaiion.

TEAMS WRSUS GROUPS: WTiAT'S THE DIFFERENCE? Groups and teams are not the same thing. In this section, ivc dclnie and clarify the difference betwLx-n a work group and a work team. In Chapter 7, we defined a gfvitp as two

or

more

achieve

individuals,

particular

informabon

and

interacting

objectives. lo

make

A

woA

and

interdependent,

group

decisions

co

is

help

a

who

group

one

who

another

have

come

interact

perform

together

primarily to

within

each

to

share

member^

area of rcsponsibilin^ M’ork require bers*

groups

joint

have

effon.

indindual

So

no

need

their

contributions.

or

opjjonuniiy

perfonnance There

is

no

is

to

merely

positive

engage

the

sum

sjmergy

that

in

coliccbve

of

all

die

would

work

group

tTcate

that mem-

an

over-

Their

iudi-

all level of performance that is greater than tlic sum of the inputs. A '•idual

work

team

efforts result

individual

inputs.

generates in

a level

Exhibn

8-1

positive of

synergy

performance

highlights

the

through that

is

coordinateil greater

differences

chan

between

effort. the

sum

work

of

groups

those and

wurk teajus. These *4jric

defininons

help

chrifo

why

so

many

organizations

have

around teams. .Management is looking for that posibve stmergy dwt

restructured

fWt M G^w^ImheOrpnlttdwi

EXHIBIT t-1

Comparing Woric Groups and Wvk Teams

Work CMfiM

Work flroup>

► Collective perforrnerKe

Gaal

*

Share inforrnaCon

- _ ___

Neutral (sofYiednes negauvej

» Individual and muual Individual

AccounwOHiiy

Random and varied \ _______ will

allow

their

orgaruzadons

aiw die Notice,

cTcadon

calling larer

a in

of

however, of

gnatp this

acicrisncs. use

ro

increase

performance.

The

extensive

use

of

teams

ere-

for aa orgaaiiauon LO generale greater outputs with no increase in

inputs. the



_______ ______________

teams 2

it

must

“potendaL”

ensures

doesn’t

suAxessfu)

manageiucnt

teams,

siiid

diat

frrf/v

cliupler,

If

we

the

'I’here

achievcnienr

automatically or

hojics ensure

inerejse

high-pei

to

TYPES QFTEAMS .

forming

increase

that

is

their

nodiing

of

this

its

pertonuance.

teams

organizational teams

iniicrcnriy

posiuve

have

magical

synergs’ As

certain

well

possess

these

Merely explain

common

{.lerforruance

through

chai

in

chaithe

acLerisrits.

_

Teams can be classified on the basis of dicir objective. The four most common fiirms of teams you're likely to find in an organizadfin are pr(?Z*&W“r6i/i’/rtg itfttrk tfitw, iTvfs-fttncihrtal reatn^, a/tii vittaal teams (see Exhibit 8-2). Problem-Solving Teams If

wc

look

back

hi

the

early

IQSOs,

teams

were

just

beginning

to

grow

in

popularity.

And the form most of these teams t<x>k was simiUr. They typically w'ere composed of five to twelve hourly employees from the same department who met far a few hours

EXHIBIT

Frobkoi* solving

Types of Teams

S«lf-rTuna^4

Cross 4unc6onal

Virtual

Chapters

•»*

each week t- -'iscuss wjj-s oHn.pr..Mngqu.liry. cffidenq.. ami the nurk eiwiramrwnt. \Vc caH (hc^ pi*obleni*$ohdiig teams, ft, pn)hkrn^hf,Kj»tf renim. metnlxjts shiir,. ideas nr oHer Migg^tums on how ^ork

pnx'cwcs

an.l

nwihixls

cun

lx

improved.

Rarclv.

however,

w

these

teams

Si

pven

One

of

die f OHO*

the

most

widely

practiced

appliraaons

of

prohlem-solving

wains

* •

lhe juchonn* ec» imil.jirnilU nnjUfiiKnt any of their Miggexled actions. during

quahty circles. I besc are work teams of eight to wn employees and

supcHTMirs uho have a sharetl area of rcsptmMbility and meet regularly to discuss their qvabty

problems.

Afanagement,

Investigate

however,

tmpleiiicmatlon

of

ranges

npicaily

the

qua

of

retains

lit)-

the

problems.,

control

over

recouimcndcd

drdcs’

and

the

recoinniend

final

solutions.

soludnns.

decision

Ibday.

regarding

many

organiza-

tions use problcjn-sulving reams, es^wcially a.s .a means for wking oui wajs t«j improve qualin. deliveries, eliminate scrap, reduce accident rales, and ccnctalU cut costs.

Self’Managed W’ork Teams Problem-solving ting to

teams

employees

were

involved

eMperimenution

on

in

with

rhe

right

track.

decisions

work-related

truly

Inn

autonomous

they and

reams

duln't

go

far

processes.

diat

could

enough

I’hi.s

not

only

in

get-

deficiency’

led

solve

pnihlems

blit could also implement solutions and take lull responsihility for outcomes. Self-managed on

the

include

teams

responsibilities collective

orgonizarion managed each

work

breaks,

wrirk

lanceand

cono-nl

of

other’s

of

teams even

their

over

even

be

generally foniicr

die

anil

perfonnanee.

may

sire

sdect

-As

a

work,

own

re.siilT,

eliminated.

of

choice

their

1(1

of

al

inspection

die

IS

and

people

diesc

detenninanon

of

work

the

lake

uhe

assignments, Fully

members

on

Eacon-Aeroquip

who

rcsponsibditicH

procedures.

have

isory poaoems

teams

to

"lypjcaily.

members

supen

The

of

snpcTviMu^.

pace

collecuvc

composed

evaluate

decreased

plant

in

selfimpor-

Arkansas,

described ar the opening of this chapter, are examples of .self-managed work teams. Honeywell,

General Al&M/Mars,

implemented U.S.

VIutors. and

self-managed

cmpbycrs

now

use

Goors

Aetna work

this

Life

arc

teams, form

Brewing, iust

Esiimates

of

team;

a

PepsiCo.

few

fimiiliar

suggest

and

Hewlett-Packard,

among

names

that

have

that

about

30

percent

of

large

firing,

the

number

is

prolwbly doser to 50 percent? Recent applications

business of

manufacturer siblc lars

for in

For

high-qualifV

power

tools,

improvements

sarings?

Light

l>cen

teams.

significant

Industrial

haw

self-managed

of

cost

periodicals

&

in

Self-manatred

.Magic

has

had

diock-fuU

instance, say

jinKlnct teams

in

are

of

artides

executives

at

sdf-nunagcil qualirv’

and

given

credit

dominating

the

describing Power-Cable

leains

are

generating for

business

successful

much of

Corp.,

largely

rtsjxjn-

millions of

of

the

visual

a

dol-

success

digitalization.^

And W'L. (.iore & .Assex idtes. the people who make Gore- lex, attributes its continued tm»wth,

inno\*ution,

and

high

pridiubihcy

to

oiyatiizing

its

murr

than

6,200

employe-

ee* around selt-managed teams. In spite of these impressive stories, a word of caution needs to l>c offered herefX’irrall

research

witormly Inch

of

managed ^’•'phiyces

pKitive.^ iub Work

on

the

For

example,

saris^ciitin. ceaiits

working

in

effectiveness

But,

seem

to

traditional

of

individuals

self-managed on

counter

to

have

higher

w’ori:

determine the s|*xific reasons for these findings.

these

teams

conventional aliscniecism

smictures.

work

tcaiib

do

tend

wiMlom, and

Additional

has to

not

report

employees

tumnver re?»earch

higher

on

rates is

been

self-

than

tlo

needed

to

. w

Xerox.

YM Part HI Cross-Functional Teams

a

Rc««.rh I.Ha .Minneajw.hs-b».sea .narkct-rtsvarch firm, had h«n hi«ort-1 ;X r«,.iyx-d .n>und functional dcparu.w..«H but ^•mor managcnient cond„4ed thct functional .lepartmunB weren’t mevunf the ch^g-ng necd^ of the firn,^ X« So managentert reorganized fiusto.n Research s 100 miployeys into r.,, s ’ The idea Ixthin.l the teams was to haw every aspect of a cLents work handled Jit bin Otte tea.n rather tl.an by separate departments The goal was to .mprove com, municaiion and tracking of work, which would lead to mtreased producuv.ty and more saMsfte
are

teams

reorgflnuation

made

up

of

illustrates

cniplowes

the.

from

use

alwucthe

ot

same

cross-function^ hierarchical

level,

but from diffcreni work areas, who cornc together to accomplish a cask. Many decades.

For

empicjyees System

have

example,

cixi^icd

from

360.

ream.

organiz-niions across

?\nd

Sundarly.

another teams

IBM

a

taskforce

of

exploded

is

die

erj^—including

'Ibyota,

currcnrly

this

Honda. of

of

ocher

members

For

But

the

than

a

all

cotirdinatc

highly

up

of

succea-ful

departmenrai of

major

GM,

its

fot

temporary cross-fiioctidnal

aenws

the

groups

1960s—made

develop

popularity

B.VIW,

to

in

from

the

instance,

Nissan. tram

force

company—to

teams.

1980s.

form

the

boundary-spanning

task

really nothing

composed

htc

horizontal

large

in

cross-functional

in

use

a

deparcmenb

zottf/nitim

example

uj»ed

arc

cross-discipline

nutOTiiohilc

Ford,

and

complex

lines

work

manufacnir-

DaimlerChryslcr*-

projects.

Harley-Davidson

relics on specific cross-frnctional teams to manage each line of its motorcj'cles. 'I best reams as

include

Harley

representatives

cion

from

teams.

cross-functional senior

management technology

speed

up

selected

emp]oyce.s

pulled to

projects

outside

Between

sulf

because

kev

from

and

they

up

bring bad

21

1999

IBM and

employees

with

recorn

products

one

irnntifacturing,

suppliers.And

November

together

aunt

design,

to

common

still

use

2000.

for

among

dations

market

purchasing,

makes

June

from

men

and

on

its

The

characteristic—they

instance,

the

all

IBM’s

informa-

company

21

had

well

ten)|x>rary

100,000

how

fa.srer?^

oi

as

can

members

were

succcssfrilly

led

fast-moving projects. ’I*he Speed Team, as they came to be known, spent eight months sharing

experiences,

moving

ones,

and

examining

eventually

differences

generated

between

recoin

me

fast-moving

ndations

on

projects

how

hi

and

speed

slow-

up

IBM

projects. Cross-functional areas

within

tion,

develop

course, meiK

an

teams

organization

new

ideas

cross-fiuumonal arc

complexity

often It

arc

very

takes

(or

and

teams

an

effective even

solve

are

to

no

build

between

problems, picnic

unie-consuming

time

means

as

ti-usi

tn

allowing

organizations) and

people to

coordinate

manage.

members and

for

Their

learn

teamwork,

to

from

exchange

complex

e.specially

informa-

projects.

early stages work

diverse

of

Of

dcvekip-

widi

diversity

and

among

people

froni

dirtcrcnr backgrounds, with different experiences and perspectives.

Virtual Teams rhe

previous

ttchnolo^ mon

goal.

t<> •

types Ge I

of

teams

together hey

allow

do

their

physically pc’uple

work

dispersed to

facc-io-frce. memhers

collaborafe.

online,

Virtual

in

teams

order

regardless

co of

use

achieve whether

only a rrxiin apart or separated hy condnents. nwla? things that other teams do—share informauoit, J nuke dtciMons. complete ca.Hks. .W tho vun include member, all from the se« .J

Li'

computer a

cointhey’re

Chairter I l^pcknundiutf "Uaim «r link an orj^nizutionk mcmbeni w.th u,.,,k,)ves fwm other or«naamms (c.go suppliers ninl p^nt partners).

n ,h (5) the

.nd

ahtl.n

tioo.

,Kopk-

(eye

.nove.nent

These

help

teams

..hen

They

aren

Especially

O.U.

«

oricntnl

f.u.al

so

inernlK-rs

tn-frix

teams,

thousands

k>s

h.

menilx.rs rejx.n

less

miles

apart

aren’t

n.ppori

and

the

nor.nal

give

pers..nally

separau-d

of

teams

a

do

tend Not

dozen

or

to

memt.en diseussion

be

..Hire

surprisingly even

more

Virtual

among

pneess

uork

cueK

ittieraciioni.

laee-to-free

inu-raci.m their

nonverbal

langoatte)

intencuu.

t.tke

o.nverH?-

and

iMuly

online

direct

and

group

tn

by

in

inFoniution.

the

able

vnlome)

other

virtual

stKul/enioiional are

and k-.ss

,net.

u.,h

vt.ue

ovaiLhle

I

tc.ims

and

inflection,

gestnrv.,

ho,

satisfaction

virtual

a„d

voitv,

Jun.l

htiven’t

less

finally,

of

o

sou;,

dnpheate

exchange

team

(tone

vxpre.sston.

from

able

and

rime

c...nnn,n.eat,.^n.

er

hen

.Avretunv

^raverlMl

ebnfy r

,o

<-’’ '■■"'« J --text, „,nstn,int^. 1„ face.to.f.ce

time

than

if

taskvirtual

do

face

members

zones.

They

are allow

people to svork together who might otherwise never lie able to c
such

have

Califiimiii-lwstd

become

maker

mation.

Yet

the

around

the

globe,

sales

reiiuircincni.s

on

virtual

work Says

peojiie.

of

If

teams

a

virtual

on

person

tcairw,

its

S,tiIW

design has

VeriFone enjoys

Ford,

machines

allows

VeriFone a

Boeing,

.swijic

together

.Moreover,

iiidiicemenis.

users

aimpuienzcd

of

to

llewletl-PiKk.vrd,

heavy

of

use

prcseiitatitins.

recniiting

as

Verilhine, that

for

read

vice

president,

living

in

teams

“We

don't

(Colorado

and

arc

a

infor-

located

all

and

making

pnivide

s-mmg

pul

can

is

card

plans,

virtual

Royal

instance,

who

inarkcling

that

and

credit

employees,

pn.jects.

found

VeriFone,

do

relocation the

job

in

virtual space, we'iv not intimidated by tliat.

CREATING EFFECTrVT TEAMS Recent

studies

organized cunvnily

have

Utein kn.iw

taken

into alxiut

what

a

was

relatively

what

makes

once

a

venrabic

focused

teams

laundry

model.Exhibit

effective,

list

K-.l

.As

you’ll

can

he

ofcharactcrisrics

summarizes

see,

it

builds

what on

the group concepts intntduced in ( Jiaptcr 1. The eral

key

toinponciiLs

c.itegnrics.

(wnpfh-itioii. effective-

The

Third

Finally,

first

arc

making category

the

pivceis

up is

resources

variables

clfcciive v^-ork and

reflect

the

teams

tiesign. other

The

second

ioiirexttu/l

things

that

siilisiiined rclatc.s

influences

go


into

in

to

that

the

four

gen-

the

team’s

make

tetinw

team

that

inHu-

cnce effeclivcness, What objective

does measures

effMizenrsi of

the

mean

ttam’i

in

this

prodiicUvity,

model? managers’

lypically ratings

this of

mance, an.l ac^regate measures of member satisfaction.

Work Design The work-design category includes variables sucli as freedom and autonomy, the opportunity to utilize different skills and talents, the ability to eoinpleie a whole and 'dennfiabk task or product, and working on a task or project that has a subsiannd impact ,« others. The evidence indicates that these charade, .sues enhance men^ motivation and increase team effectiveness.'’ These '^te U«use they increase members’ sense of res,x,ns.bility and ownership over the *«rt and het-a«; thev make the work more interesting to pcrt«.nii. 4

tite

has teamV

included perfor-

many

and we of

M PWrtttI Gruune in the OrgeflizetMn eXHierr

c

B-3 A Team EffectiwneM Model VVoHc dewgn

r t•

• Aucenofnx • Tok identjcx • Tok slffWicance Compose don »AbJkty * Pertorulity * Roles and diversity * Size

I

I ♦ RexibiMty • Preference for teamwork ____________ _Z_ ___________ / Context « Adequate resources »Leadership • Performance evaJuadon

Process • Common purpose " Specific goaJs I * Team etfieaQ ■ Conflict < loa/jnf

Composition I

his

oou,

category includes 've’ll

address

diversity,

SIM

AbiUries

of

of

the the

variables

that

relate

ability

and

personality

team,

Members

To

member perform

to

flexibility, effectively,

and

dedshn-makinf^

tcants

of

team

and a

should

members,

members’ team

be

staffed. allocating

preference

requires

sktfb

to

be

able

ahematives, evaluate chose alternatives, and make need people with good listening, feedback, conflict

diree

to

identify’

this

sec-

roles

and

for

teamwork.

different

tjpes

problems,

generate

competent choices. Finally, teams re solution, and other ruterytTj^*^

skills. No team can achieve its j^erfonnance potcndal without developing all thr<* types of skills. Fhe right mix is crucial. Too tnuch of one at the expen.se ol od>er^ result in lower team performance. But teams don't need to have nil the cuinplemen* ury ^ills m place at th«r beginning. Ifs nut uniominon for one or more member to take respjn$ihi)it>' to I cam the skills in which the group is defleient, xherebt* alh’**’tng the team to reach its full potential.

In

€.s/)ert«e. Second, it needs people with the

of skills. First, it needs people with prebUffi-solving

how

Chapter I Vnderm^ng Worit Term in Ch.p«r 5 that pervvn.lit, Jus a Mgtnfeant mfluA,a,.Jbe

of

the

.vle^ant

d.men«on,

to

re«m

e^cnvene«.

ettro.crs.on.

aerreeablencss.

hi^h^r

manager

(ntcx-esongly.

the

uknnfied

m

tl.e

B.g-Fiv^

Spvat.eally.

tea,..,

consc.vnnousncss, J

aJ

evidence

and

pe.^onaUtj ,1.,^

that

the

„.e

stahil.n

fur

warn

vanat.t*

h.n.

higher

e.nodrmal

ratings

.ndiv-ates

nu^id

in

in

proved

.nvan

tend

to

kvek”

to

recenx

peiforjnajicc?*

personaliu

characteris-

tics ...ay he more unpomnr that, the mean. So, fi.r example, wldJe a higher mean level of

consaenuousness

«»«KiiB0M5 who

are

on

mcmUo.

h.ghly

a

team

ren.E

to

tonsc.ennous

.s

desirable,

lower

not

only

tuixinp

b,«h

conscientious

performance.

This

mat

be

.nust

d.eir

o«-n'

usla

perform

and

hewuse hut

not-somembers

abo

,KTform

or re«io the tasks of tess-conscienijous members. It mat also be because these differences

lead

to

feel.ngs

rs

peiMMMlin-

diac

of

“one

contr.buiion

had

apple

lacks a iniiunnl level of. say. fomuuicv.

So

ness,

cxtro.crs.on

or

including

just can

iftequity.

can

spoil

Another

the

interesting

barrel."

A

finding

single

team

related tnanlwr

to who

agreeablenea, can ticgaTivcIv affect the whole team^ per-

o.,e

person

result

in

who

is

strained

tow

internal

on

agreeablcness.

processes

and

conscietidoos-

decreased

otxraD

perfom>ancc. Allocating

Roles

and

Diversity

leaiiis

have

diffrreni

needs,

and

people

shtmid

be

selected tor a tcani lo ensure that there is diversin^ and that all various roles are filled, We

can

idcncify

nine

ix>tcndal

team

roles

(see

F.xhibit

K-4).

Successhil

work

teams have people ro fill all diese roles and have selected people to play these roles based

on

roles.l

.Managers

bring

to

their a

assignments ences

with

skills

and

need

to

select

team, that

fit

with

team

role

preferences,^* uiidtrstand members members'

demands,

(On

many

teams,

the

indiv

idual

w’ich

their

strengths

preferred

managers

strengths

styles.

increase

individuals in

By

die

will

that

mind,

each and

matching

likelihood

play

that

multiple

person allocate

individual the

team

can work

prefermem-

bers will work well together. Sire

uf

Teams

lite

most

effective

teams

are

neither

ven*

small

(under

4

or

S)

or

very large (over 12). Very small teams are likely to lack a diversity’ of views. Rut when tcanb have mt ire than atxmt 10 to 12 members, it beexjmes difficult to get much done. Group members have trouble interacting constructively and agreeing on much; and EXHIBIT S-4 Nine Team Roles

< ------------------------------------ Creator*Innovators: liiiudte itejuve ujeis Explorer* Procnoteru Chunpkm idvas alter they're inidatetl AsiCMor*Developers: .\nal>*zedeaiiian optiims Thrusier^Orgaftiiers; Priwirfc ’itfmmrt (Omtnaicr-ltupcctunu oodudcr-Producers:(‘hevk Provide direvti<wi and ftkrikiaiU Mliv**Khrough LphoUcr'.Mainuiaers: external betrles B^poeter-Advisers: Seek fell uifeniutkm tjikefs; Coord mate and iotegnir Sow. C M—BM» ma 0 MeCww. WWWSCB-lftCifl/i ton MfhWMn RHIMOMIV. 2001. WMW* WBWBpn P*«* "* «»•’«*

D| bndpenn««iOA
1 Qruops in dK Orgamraiioo . Urge

k.... ..f neoule usually can't develop the cohesiveness, tirniniitment, |,i^ necessorv to achieve high pertbniiance. So in designing efU^. ^h..uhl Kem dK-m in the of J to 12 people. If. iLiig unit is l.irger and you want a team efton, consider breaking die g,o„p

subtetms. Member Flexibilin Teams nude up of flexibk individuals have memhen who

QQ

Lximpletc e;K-h othe. \ tasks. This is an ohv.nvs phis ro a uaiu bccau« it imnwvcs it< ncUpwhility and makes i( less relianr on any single member. So scltscting menibgrs who rhem^lves value flexibility, then cTcwsarammg them to dr. each aihcft jobs shuUd lead to higher team perfomwiicc over umc.

Member Preferences Kot e\cr>’ employee is a team player Given the nptuRt many employees will sckci themsebes cwz of team pAW ci pation. VMwn |>euple who WQUIJ prefer\n work alone are mpired to team up, there b a direct threat to the team’s morale. This .suggests that, when selecting team members, individual preferences should IK: considered as well as abililics. personalioes, and skills. Iligh-jicrforTnmg teams are likely to be composed of jwopfe who prefer working as part of

A

group.

Context The three ixmiexiual factors that appear to be most significantly related to team perlonnance

are

the

presence

of

adeijuate

rcM.urces,

effective

leadership,

and

a

perfor-

mance evaJuadoo and reward system that reflects team contributions.

Adequate

Resources

Work

groups

arc

part

of

a

larger

orgamy.ation

system.

such, all work teams relv on resources outside the group co sustain it. And



scarcih’of

H

resources directly red nix’s the a hilit\' of the team to perfonii its job effectively. ;\s one $ei

nf

r^earchers

concluded,

affcr

looking

at

13

factors

potentiallv

related

to

group

performance, “perhaps «vnc of the most imporunr vharactensnes of an effective w ork group is the suppirr rhe group receives irom the organize non.’'*** This includes support

such

;^s

administrative

timely

inform

jssiswnce.

anon,

'Icanis

technology,

must

receive

adequate the

staffing,

necessary

encourageineni,

support

frttm

and

nuna^v-

menr and die Int^er organization if tliey are going to succeed in achieving their goals.

Leadership and Structure Team members must agree on who is to do what anJ ensure that all mem tiers contribute equal I v in sharing the workload. In addition, the team needs to dcirrnxinc how schedules will he set, what skills need to be developed.

t

luAv the group will resolve conflicts, and huw die group will make and niodife decisions. Agreeing on the specifier of work and how they fit touvther to integrate individual

skills

requires

team

leadership

and

structure.

This,

incidentnllv.can

bepnAided

directly by manngemenr or by die ream meinl»ers themselves as they fulfill ]>n>inurcr. sirganizer, prcxlucer, nuiiuuaincr, and linker roles (refer hack to Exhibit 8-4 >, I leadership, of course, iui’i always needed. dut

sell-man

appointed ui

aged

leader^?*’

self-mamginp

work

reams

And

teams.

leaders On

often can

perform

obstruct

vlf-nunatred

I'or instance, the evidence irtliv^t^^ better

higli

teams,

team

titan

rcam.s

performance

wheji

members

absorb

with they nuns

furiuaHy inicrfe** afdi<^

dunes Upically assumed by managers. Perf«»iTOance l»e

both

EvaJuation

indo,dually

anti

and

Reward

jointty

Systems

atxountabk?

I

Tow I

hc

do

you

^ct

traditional,

evaluation and reward system must he modified to reflect team performance.

tcatn

nicmhers

mdinduailv

ro

orivnuJ

Chapters Understanding Work Team Individual l«rform»«ce evaluations, fixed hourly wages, individual incentives, and rhe like are nw consistent with the development of high-performance wams. iCj in addinnn ro evaluating and rewarding employees fcir dicir individual contributions, management .should consider group-based appraisals, profit sharing, gaii.sharina siiiall-gn>up metnuves and other system modifications tharwiU reinforce Kam effort nrid coimnitmenT.

Process The final category related to Kam effectiveness is process variables. Process variables include memlier coiTiiniTrnent co a common piiqjosc, establishment of specific- team goals, Kam efficacy, a iiiaiiagcd level ofconflicr, and the redtieuon of social loafing. A Common Purpose Effceiivc teams have a common and inctLningfiil purpose that provides direennn, momentum, and ciimmitmciii for mejiibcrs. This purpose i$ a Vision, h’s broader chan specific guab. Members of successful teams put a cremendous amount of tiiiie and effort inixi discussing, shaping, and agreeing on a purpose that belongs to diem both rollectivefy and

individually.

equivalent

of

TIiJs

what

coniinon

celestial

purpose,

ni^vigadon

is

when

accepted

to

ship

a

by

die

captain—it

team,

becomes

the

provides

direction

and

guidantte under any and all conditions. Spedfic

Goals

surable,

arul

Successful rcalistTc

ceanu

inuisiate

pcrfiirmance

goals,

their Just

common

as

we

purpose

into

demonstrated

in

specific, Chapter

mea4

how

goals lead individuals to higher performance, goals also energize teams. 'I Lesc specific goab

facilitate

clear

coniiminitration

In

addition,

they

help

leanis

maintain

dieir

focus

on results. Also, cousbtent witli tfie research on individual goals, team goals should he challenging.

Difficult

goals

hare

been

found

to

raise

team

pcrfoiinaiicc

on

tltose

criteria

for which they re set. So, for instance, goals fnr quantity tend to raise quantity; goals for speed tend to raise speed, goals for accuracy raise accuraev, and so on. Team

Efficacy

Effective

teams

have

confidence

in

themselves.

They

believe

they

can succeed, Wu call this tcaw ef^cacy. Succe^?. breeds success. Icams that have been suewssful raise their beliefs about future success. This, in turn, motivates them to work harder. What,

if

anyThing.

can

management

do

to

increase

team

cfFicacy?

Iwo

possible

options are helping die team co achieve small successes and .skill training. Small successes

build

team

confidence.

As

n

team

develops

an

increasingly

stronger

perfor-

mance record, ir also increases the collective belief chat future vlforrs will lend to success.

In

addition,

technical greater

and the

managers

should

interpersonal

likelihood

that

skills.

con^dcr The

providing

greater

the

team

vnll

a

team

isn’t

the


n*ainkig

jbilirie'i

to

of

confidentx

improve

team and

mcnibers'

menibers,

the

the

capability

to

we’ll

elahorace

in

deliver on that confidcn«. Conflict

Levels

Chapter

12,

flonflicr

teams

that

on

are completely void

necessarily of

conflict

bad.

.As

are likely to

become

apathetic

and stagnant. So ccmflici can acnially improve team effectiveness—but rot all types of conflict. won.

and

Relationship animosity

oinflicts—those tuward

based

others—are

on

almost

interpersonal always

incompatibNities.

dy'sfunctional.

team* perfiifming non routine activities, disagreements among members about task

However,

tenon

■w

1

G(WiHinthcOrf[>n.Mlion , I,rd rask ennflicu) is detrimental. In fart, it^: often t>eneficial beawe*-■ J , «roupthink. Task tonfticts suiiwlate divu«ion, pro.nott

wnteni

,

iZXns will IK charartcrized by an appn,prnKe level of eonflia. loafine We learned in Chapter 7 that individuals can hide imide a gnMip. can cnX in s«K.-ial loafing and coast on the group, etfort bemuse their individual o,nmbutions can’t be identified. Effeedve reams underm,ne this tendency by Sing dicmselves accountable al both the mdiv.dual and team levels. Succcsshd team’s

purpose,

teams

make

goals,

an.l

members

anu-oach.

individudly

They

arc

and

clear

|ointiy on

accouiuahlc

what

tlicy

for

arc

the

,ndivicb,li,

rcs|wnsihlc for and what they are joinrly rcsponsd.le fur.

WRNING INDIVIDUALS INTO TEAM PLAYERS To this point, we’ve made a strong case for rhe v^lue and growing popularity of teains. Bur

many

want

to

people lie

oTganizaiitw created

sue

not

inherently

receptized

for

their

that

have

competitive

organi/jjnuns

adopt

countries

differ

that

ux

what

they’ve

urms

of

do they

they

du

.And on

loners

or

people

who

arc

also

great

many

accomplishments.

They

hate

There

individual

w’hich

rate

They’re

achic\*emcnts.

in

created?

how

players.’'

nurtured

environments

teams,

employees

lor-nic”

indhidual

historically

work

“team

only

the

strong

about

the

selfish,

finally,

as

wc

individualism

survive.

these

“I-havc-to-louk-out-

discussed

and

If

in

C-haptcrl,

collectirism.

Teams

fit

* well co

with

countries

intrmhice

dut

teams

score

into

a

high

work

on

colkcrivism.

popuhtion

that

is

But

what

made

up

if

an

largely

orgaruzadon of

individtiab

wants bora

and raised in a highly individualistic socicT}-? .As one waiter so aptly put it, in describing

the

rok

of

teams

in

the

United

Slates'

“Americans

don’t

grow

up

learning

how'

tu

function in teams. In schuol we never receive a team report card or learn the names of the be

team just

of as

sailors

true

of

who

traveled

Canadians,

with

British,

Columbus

Australians,

to

and

America.This udiers

from

limitation highly

would

individualis-

The Chulicng

I T

tic societies.

1 he previuiLs points are meant to dramatize that one substantial barrier co using work teams

is

individual

resistance.

An

employee’s

siicces.s

is

no

longer

defined

in

terms

of

indindual performance. In perform well as team members, individuals must be honesdy. con front differences and resolve conflicts, and subhrnatc personal guals for rhe g«x>d of the leain. For many employees, this is a diffi’ cu t —sometimes impossible -tat>k. The challenge of creaiing ream players will be ^atest where (1) the national cultuiv is highly individualistic and (2) the leanu arc ing inircxluced into an established organization that has historically valued indi^’id" ua at lewment These condirions descril'w. for instance, the siniatiun that faced managtrs at AT&T, turd, Motorola, and odier large U.S.-based companies. These irnis pr<^|)ered by hiring and rewarding corporate stars, and they bred a compedd'’e

*

encouraged individual achievemein and recognition. Employ ees in ihe» <5 nns can be jolted by this sudden shift 10 the importantly of ream pla^. .A W eran employee of a large company, who had done very well by working abi*.

Chapter 8 Undenshinding Work Teams desenbed the experience of joining a team: “I’m

1r.

negative jjcrfoniunce appiaisal in 20 vears.”*^ * On the ^ler hand, the challenge teams

arem

Japan

or

trod

need

Mex:co^r

structuring

work.

.^nazon.com.

eBay

they

re

tion^

m

new

ergan.^tions

For

m.taiiee.

new

m

compares

d»«e

that

were

v^ere

strong

use

as

designed

hired

use

reams

with

iniiril

asl"

form

for

e-husiaesses^h

effective

around

when

values^uch

their

doc-com

rds-make

irunally

collectMst

teams

U.S.

bigw’o

and

companies

have

most

and

ni

.

«5Oii. |uac had my first management is kss demanding

for

employees

travdocity.com

rchovely

Even-one

where

.

the

of

as

teams.

from

their

buwvledge

But

incep-

that

th«

would be worfong m teams, and the uhilicy to be a good team player was « basic hiring qualincatmn insit an new employees had to meet.

®

Shaping Team Players The

swinraartees

following

the

primary’

options

already

possess

the

raaruguTs

ha\x

fo

^iduals into ream pfevers. Sekction

Some

jienpic

pla>^rs.

VVTien

hiring

team

members,

interpersonal

managers

should

skills

take

mnng to mm indi-

co

tare

he

to

effective

ensure

team

that

candi-

dates can folfill their team roles as well as having die technical skills required to fill the job?Many tions,

don’t

have

three

players." place

or

have this

team

approach

don’t

in

hire

teams,

and

may

isn’t

be

bleed can

possible

unit

widiin

candidate.

should

those

W’hcn

candidates

a

the it

especially

skills.

The

candidate

around

players

candidates,

options.

If

rhe

exists) jobs

job

be

untrainable.

with

the

doesn’t

work,

organizacon

to

the

other

organizanons

some

Unfortunately,

such

people

them

basically into

two

options

have

teams

that

employees

contribu-

managers

“niakc

doesn’t

that

that

individual

candidates,

training

established

expected

around

such

undergo

or

In

socialized

decide

will

to

resist

typically

team are

(if

to one

redesign

being

become

team

casual-

lies of the team approach. I'rainuig

On

imporlance Training tion

3 of

more

individual

specialists

that

oprindsiic

can

exercises

prosdde.

improve

their

pr(jblem-solving,

coaching,

and

group-development

in

Missouri,

workforce

for

not

instance, only

to

a

accoTTiplishtnenT

conduct

teamwork

note,

hxs

proportion he

allow

trained

employees

typically

offer

of

people

ro

become

to

experience

wwkshops

communication,

negouation.

skills.

Electric’s

achieved

accept,

can

that

'ITicy

large

but

Emerson remarkable

tn

siKx

welcome,

ess

team

to

raised

on

learn

players.

rhe

satisfac-

help

employees

conflict-managem Specialty

in

getting

uaining.

the

Motor

ent, Dirision

its

650-mefnl^er

Outside

consuhants

were brought in to give workers practical skills for wTjrking in teams. After less than a year, employees t:nAusiasnc:flly accepted the value of teamw’nrk. Rewards The reward sy'stem needs to be reworked to encourage cooperarivc efforts rather than competitive ones, hot instance, Lockhced-Alarrin’s Space Launch Sy^tetns Ojmpany ha.s organized its 1,400 employees into teams. Rewards arc structured tu to the team members a percentage increase in the bottom line” based 00 the M'hievemcnt of the team’s jjerfbmunce goals. Prejmimons, for

how

raises,

effetrive

they

and

other

ftirms

are

as

c^illaborativc

a

of

recognition team

should

member.

be

gix*en

m

indi-

Ihis

doesn

t

mean

r

^iduak

pay

dwt individual umiribution is ignored: rather, it is balanced with selfles.s contributiurw

i '.

Mt IN

/* Gpoopitn theOrginiMti”'’ to

Ae

tcm

Ua«er:h™

a

F.M»n,ple.^

ring

of

infnrmn.

behaviors

ion

-iA

A.t

shotild

reammates,

be

rcward«l

hdpmg

resolve

mebde

training

team

cnnflKi,.

newer*. ami

teAi new skills dull >-mir team needs bur in which ITS . ctiaentLastly don't foqjet the intrinsic tewanis dut employees tan receive fnwn tan,. 3

1 f

work Teaim prondc «wn«raderie. Its «c.tine and satisfymg to he an integral part of 7 a succes-stbi team. The opportunity to engage in jK-rsonai (ie.velopment and to hdp ceanunares crow can be a very satisfying and rewarding expenente for employees.

IMPLICATIONS FOR MANAGERS Few duce

trvjut$

h^ve

influenced

into

d»c

workplace.

teams

teams

require

employees

to

jobs

as

The

intivh

shift

co<)pcrate

as

the

from

with

massive

working

others,

raovciiiunt

alone

share

to

to

intro,

working

infunnation,

on

confront

diffcreoees, and sublimate personal interests tor die greater good of the team. Effective that

teams

members

do

different

skills

task

product,

or

leains

ble,

Effective from

and

$

who

effective

to

12

prefer

team

common

are

to

be

and

purpose,

sjiecific

a

and

They’ parr

large

have

of

a

substantial

impact

high

Rnally, team

goals,

on

as

scores

too who

Ihcy

teams

members

fill

to

uti-

others,

The

prohicm-solving,

on

the

personality

and

emotional they

range

role

demands,

are

have

adequate

resources,

and have

who

work

identifiaMe

small—ty'pically

als
evaluation

effective

well

and

tvnscicntiousness,

members

performance

as

The

opportunity*

w-hole

nor

group.

the

a

expertise,

too

characteristics.

autonomy,

agrccahleness,

a

contributions.

common

complete

has

skills,

neither

people.

and to

that

interpersonal

teams

have

technical

extroversion,

leadership,

reflects a

of

ability

work

with

ro

freednin

the

doing

and

found

provide

individuals

characrerisrics size

been

talents,

and

deci
in

should

and

require

stability.

have

reward

system

members

believe

in

committed

the

flexi-

that to

team's

capa-

reward

indi-

these

envi-

bilities, a manageable level of conflict, and a minimal degree of social loafing. Because vidual

accomplishment,

ronments ^ouid players,

individualistic

to

than select provide

in

ii

is

organizations more

collectivistic individual

training

to

with

and

difficult ones. the

develop

ro '16

socicdc.s

and

create

team

plavcrs

make

the

conversion,

interpersonal teamwork

attract

skilE,

skills and

to

be

reward

in

management

effeenve individuals

ream for

cooperative efffuis.

I ** f

•{ f r < I.

4^^

* * * I* IJ

CHAPTER 9

Communication 1.

Define communication and list iu four functions

I

2.

Describe the communication process

1

m lA W

Contrast the three common types of small-group networks identify factors affecting the use of the grapevine Describe common barrien to effective communication List four rules for improving cross-cultural communication

90 M <•

Outline behaviors associated with providing effective feedback

Identify the behaviors related to effective active listening

probably rhe most frequently ciu-U source r rucation? Because we spend nearly 70 ing-reatling, writing, speaking, listening it st^' " of cKe most inliihidng forces to surcessttiJ gr p p coiTununicatioa, Xn gtor^r can exist without its members. It is only through transmitting mformatioft und idca?i can be conveyed. merely imparting meaning. U uwsi instance, that many of the worsi aviation dis rnisuBdersunding of insC-ucdoiiS between iiir-

thar one ]acfc (*f effective .



t,-nnsference nF mtaninga»nong from one person to another that -. however, is mure than documented, tor historv were directly due to the yjigrs and pilots.- Keep m transference and

niind» therefore, that communicarion mu»i uftdrmanJiiig of meaning. An idea, no matter how great, is useless unn others. Perfect communication, if rhereweresuci or idea was transnutted so char the mcnwl P’ceure pexC

. - j transmitted and understood by , thought ,,erccived by the receiver was

i7 .'

After reading this chapter, you should be able to

Groupsia th* OtganiMOon

elementary in theory, p^J

exactly the s.me »s that

tor reasons we will expand on 1

‘'seeming cornmutix-anon and problem, '*

feet comnnmicanon i. never

Before making ux. many generalize aminwnieating effectively tion perfonns and describe the emunumicatmn p

the foncaons that cmnumnic^ need m

we

rev.e

FUNCTIONS OF COMMtSNICA'nON ( , n.,i.,r functions mtliin a group or organization: conpo,, Comnumicition serves four maj< r

Communicauon acts lu rontrW

motivation eniotfona! „,™b„

Khazar"JXo

ee ..,

X h-e authority hierarchies andT^

.4f,.lltl.e,,

performing

fc.Uow.

rKreleud ph

a

^rieeapee

deseriprion.» tx.ntrul

'1

«>

foncnon.

comply But

b.

».>l>

informal

employees.

f„r l,„„.ed„.eb»,

-heir

company

polices.

comnaunicanoii

communKanoa

also

controls

n

behavior.

When work urroups tease or harass a member who produces nxi much (and makes dw rest

of

the

group

IcHjk

bad),

they

are

infonnally

communicating

with,

and

conrroUing,

the memlxrs behavior Communicarion done,

how

subpar. and

W'e

well

dicy

saw

this

reinforceineni

progress

toward

fosters are

doing,

aspect

theories the

m«lfvariM

goals,

in

of

and

what

clarifpiig can

he

communication

Chapxr

and

by

4.

The

reinforcement

tor done

to

improve

operating

in

our

formation of

employees

of

desired

is

to

performance

review

specific behavior

what

goals, all

of

if

be itk

goal-setting feedback

stimulate

on

nimiva-

liou and requite communk arion. For many employees, their work group is a priinarj'^ source for social inceractioiL 'I'he com m I tn i cation chat takes place within die group is a fundamental iiiechanism by which members show their fmstrarions and leelings of sadsfaccion. Coiniuiinication, therefore, provides an avenue for exptrs^on c/'emotiw t and fulfxllinent of social reedj^. The final funedon that cot nni uni cation i>crform5 is related to its role in facilitating decision making. It provides rhe iftfemnaiffn that individuals and E?*oups need to make decisions lv>’ transmitting the d;ita to idvinify and evaluate choic<^. No one ul these four ftincrions should lx: seen as being more important than die others, for groups to pcriorm effectively, they need to maintain snine fiirni of coniroJ over members, stitntilaic members to perform, provide a means for cinoUonal exprcjision. aiul make choices. You can assume that almost even* coinniuni«interaction that takes fdacc in a group or organization performs one or more erf these tour tuncnons.

*

THE COMMUNICATION PROCESS .» »♦ « Before communieaTion can take nluce

a purpose, expressed as si message to be cun»

ycvcii IQ np^/U/1 T.. ru. K P purpose, expressed as si message to be con-•r' nel) to the receiver whn r •• i zj pj’ssed by way of sonic medium (dianT’-“'

IK

Exhibit 9-1 depicts rhiQ rnmm.L- " , seven

parts:

(1)

iinother. the

rfunnd, (5) decoding. (6) the receiver, and (7) kedS*’*

communication

s(.u^-rpl’’"^u*' <* **“

Oiaptart Cowmotuadt EXHIBIT H

The Communication Process

Feedback

The toitm laitiarcs a message by encoding a thiwght- I'be mfssag^ b the utual phy^l

prixiuct

from

the

source

miuiitig.

UTicn

we

speak

the

speech

is

the

mcaagc-

VShen we wrius the writing is the message. WTten we gesture, tlic inuvements »f our enns and the exprexAions on our facts are the message. The »AiWz/if/ is the medhim rfirough

which

whether

to

use

oc^aniz^noii members.

the

message

a

sind

formal u

They

travek.

or

ansmit

It

intormal

messages

traditionally

is

selected

by the

channel.

Formal

chat

relareil

follow

arc

the

authorin'

source,

channels chain

organization.

'The

m-eiver

is

tlte

ohicct

to

whom

the

must

determine

established

professional within

Other forms of messages, such its personal or social, follow the

are

the

TO

who

by the

activities

the

of

organization.

the informal channels in message

is

directed.

But

before the tn ess age can be received, the synibob ui it must be translated into a form that can he nndetstcHKl by the receiver. This step is the

the message. The

final lint' in the communication process is a feedback loop. Feedtank is the check cm hew suecessfiil we have been in transferring our messages as originally inrendcxl. It detennines whether understanding has been achieved.

DIRECTION OF COMMUNICATION Conununicaiion

ran

How

vertically

or

laterally,

'flic

vertical

dimension

can

be

ftirthcr

divided in IO downward and upward dircetiiiris.

Downward Communication that Hows from one level of a group or org'djxiiation to a lower level is

a

downward

communicarion.

WTicn

we

chink

<.if

managers

contmunieating

widt

employees, the downward partem is the one we are ii.AuaJly thinking of. Its used by group

leaders

and

managers

lo

assign

goals,

provide

job

jnstruexions,

inform

employ-

ees ol polieio and protredures. point out problems that need attention, and offer feedback

about

fece-iu-faee them

of

Bin

performancecontact.

the

V\*hen

org-anization’s

downward

inaiugemenr new

sick

communication sends

leave

letter.s

policy,

it’s

doesn’t to

have

employees

using

to

be

homes

downward

oral to

or

advise

communication.

So is an c-m.til from a team leader f<j the members ot her team, reminding them of an upcoming deadline,

Vpuard Vpuard communication flo*^ to a higher level in the group or organizaoon Jts us«l to pnnide R-cdhacl: to higher-ups, ro inform them of progress toward goals, to current ,.roblei,is. Vpu-ard communication keeps managers aware ot how nnpkntw feel about their jobs, co-»orkcrs, and the orgamaaoon in general.

I Part HI Croups in tl« Organiratioa pward communication for .deas on how things cm bj =1 Managers also rely on ,„niratior.al examples improved. SomeorganiMDon

u

of

opuani

communication

are

performance

rep,,„

management, sugeeshun . grievance procedures, superior/sohor.linate discu*. • .. sessionsb?wh)ch e.nplovces have die opjx.Ttumty- toidendfc ' I’” ” "Pre,=™,iv„ of higher „™ge,„e„,. gj ;

prqwred by boxes, ”'7^” ;'X» ImplTredEx

pndcs

it.-clf

on

its

cinnputerized

upu-ard

commumcaPon

i,rogran,.

A]| ■

its employees annually complete climate surveys and reviews ot managemem. I h.s ^tmLs

cited

as

a

kev

human

resources

screngtli

by

incmhcrs

of

the

Malcolm

Baldnge

Nationd

-

^lity Award examinci^ when FedEx won die htnior.

Lateral When

(ximmuricition

members

of

work

takes

place

groups

at

among

the

same

level,

the

among

same

managers

work

at

group,

the

same

amrnig level,

or

group

or

among any horizonoUy e<;uivalent personnel, we describe it as lateral communication. W'Tiy

would

organizations

vertical

commnriTtations some

cases,

informally eral

there

be

a

need

comniuTiications

are

arc

often

necessary

these

lateral

relationships

created

to

shoit-circuit

conuminications

can.

horizontal

communications

effective?

to

the

from

for

save

art

time

fonnalJy

vertical

The and

and

viewpoint,

h

More

good

horizontal

coordination. often,

expedite

he

a that

facilitate

sanctioned.

hierarchy

managements

answer

if

the)*

arc

So

lat-

action. or

Li

bad.

Since

srricL adherence to rhe formal vertical structure for all coiinnunieations can impede accurate transfer of information, lateral communications can be

me eilicieni an beneficial. But

they

breached, when

In

such

can when

bosses

cases,

creaie memhers

find

out

they

occur

dysfunctional go that

above actions

•with

conflicts or

the when

around

have

knowledge

their

been

taken

the

and

support

formal

superiors

vertical

to

get

or

decisions

and

among

of

channels

things

made

superiors. are

done,

withouf

or their

knowledge.

INTERPERSONAL COMMUNICATION How i’re

do three

gi'oup

members

transfer

basic

methods.

People

meaning essentially

between rely

on

oral,

each

written,

other? and

TTicre

nonverbal

communication.

Oral Communication rhe chief means of conveying messages is oral coinniuni earion. Speeches, formal o^cW discussions, and the informal rumor mill or mpevine arc popular tonns of oral communication. satTi*

comnwiueation are speed and feedback. z\ verbal ines-

receiver i«

response received in a minimal amount of tune. If die

render

.nd,

hZ

for'Xly

' whcnevertl^^m'^ ’

‘I'^advanugc

of

oral

communication

surfaces

in

organizalkMiS

t*

^1- nmnt peop^ A P ugh, the greater rhe pniendal Jistortion. If you ever pbjT^ J|

CcamuiguiMj^ , ,«n>- > „U know .hr pn,l4cni,

rtK- p,nH-

imernrrt (IM

.n h'» ..u r wu>. IIK. enu-.u. when i« rSTit. riSi^ ..he. .-enr J.ft<-rc.u that ,4 ,hv ..rigin«|, ,« when.' ls Why would a x’Jukr choose lo use wriitenniinnmnkarinns’ and

verifiaJile.

Typically.

IHJIK

'Ihe

rnrss;ige

cun

stored

tton.s

evnexming

ence.

11ns

be

the

the for

content

feature

is

sender

of

an

the

panicidarly

and

receiver

indefinite

iiwssage.

import.un

have

period

it

is

for

a

ni

rectml

time.

physicalh

vxmiplcx

niey’rc of

If

cfMnmuni-

there

are

uucs’

for

later

refer-

available

and

rhe

tangible

lengthy

ctxnmunicariunK

The marketing plan for a new product is likely to contain a iiuiulKr of tasks spread out over

several

readily

months.

refer

to

it

By

putting

over

the

it

lite

in

of

writing,

the

those

plan.

A

who

final

have

Iwnefit

to

initiait

of

the

written

plan

can

eommunicarion

cxMiics from the puKcss itself You re usuidly more careful w ith the written word than the in

oral a

word.

written

You’re

forced

to

think

than

in

a

mc^Ksagv

more

thownighly alxnit

spoken

one,

ITiws

what

wriocn

vou

want

to

anninunications

convey

are

more

likely in l>c w ell thought out. i(»gieal, and clear. Of Yni

cxmr>c,

could

writrcji

convey far

more

messages

have

informarion

to

their

a

drawhacLs.

college

insmictor

niey're in

a

linie-consuining.

one-hour

oral

exam

than in a one-hour w ritten exam. In fact, you owld probably say the same thir^ in ten to fifteen minutes that it would take vou an hour to write. So, although wTinng may he nxire

precise,

feedback;, what

he

feedback been the

or

it

alst»

Lick

chinLs

of

he

mechanism,

received, sender

consumes

and,

intended.

it.

<.)nd

a

W’l

itten

I'he

result

is

received,

The

latter

deal

communication

hears.

if

great

of

lime,

allows

n»rntnunication, that

mailing

there

is

no

|X>ini

is

also

a

llie

the how

receiver ever,

memo

guarantee relevant

other

the in

is

maior to

does no

respond not

wSIl

rapidly

have

assunnee

recipient oral

dbadvaniagc

a

that

lo

buili-iii it

interpret

conununiques,

is

has it

except

as it’s

easy in such cases merely to ask the receiver to summarize what you've said. j\n accurate

summan

presents

feedback

evidence

that

the

message

has

been

received

understood.

Nonverbal Communication H en* rime wv svrhnHy trivc a message to sonuume, we also impart a nonverbal niesMge. in some instances, the nonveriial o*npineiu may stand alone, l or example, in a angles har. a glaiiix. a staix*. a smile, a frown, and a prosxxarive hoily inovcinent a convey meaning. .’Xs such, no dixussion of commiiniearion would be ajrnpletc wimout consitivrariim of wnvaM

w hich includes Ixxh niovenKntsc the

innmarions emphasis we gix e tn wtrt-ds. facial expressions, and the physical disrance het ween the seiulcr and receh er. The M'ademic study of body morions has been labeled kincsies. It refers tn gestures, facwl cxmliguratiiHis. and other inovcnunis of the Ixxiy. But h is a V’Hiftg field, and it has been suNect m far more txmjeccure ami popuhnwng mn

and

f Hei.ee while we acknowledge that bcnly in.wenient , Jennimunicarior and bch;.vior, o.nd..«on.

„;«rch fuidrngs

•r

body m<«iyns

7»«i ef«r»r has a meaning and Uiai no mw-ement X thn,OKh bodv bnguagc we say. -Help me. I’m lonely-; is accidentd- for 5.,,, aepressed.” :Knd rarely d<. we send ouj ‘■Rke me, I of being wirh t.onvcrbal Ixidy langnage. mess^^cs ’ , 2 for disbeUvt We reb <Mjr noses lor puzilemem. We clasp oy, VVe lift one onnidves. VVe shnjg our shoulder, for mdifferwilJk ..ne q-e for intimacy, tap our fingers for impatience, slap m.r forehead for

uJ may dhagrcc **th the s|x:cifiu ..leanings of the nioveiiienis ,»st described, but we can’t deny that body language adds w., and olun complicates verbal com.nu.ucatioii A budv’position or movement does not by itself have a precise or universal meaning, but when it is linked with sixiken language, ii gives fuller meaning tn a sender’^ ine.«iii
you

words

UTiy* or

message, tor

the

in

way

you

of

of

is

mKsing.

'lb

iJIusuate

du

studenr

in

class

du tone

from

an

you

mean

of

the

inion

by

that

meeting,

if

pu

nonverbal huw

who

you

had

c

grasp

there

or

saw

been

baonntiftns

asks

die

'The

’I*he

can

a

Student’s A

abrasive

with

soft, sin

the

impact

of

meeting

on

given

tn

the

meaning

question.

The

instruc-

be

different

reaction smooth mg

the

emphasis

change

instructor

response.

is

wuuldn

rommunkation.

thtfit?**

inscrucn^r's

ation

a

would

recoid

the

meaning

jninutes

no

’What

on

tun

same

is

phrasc^t

replies,

verba

the

'fhcrc

consider

depending ferent

sard

w-a’s

video.

read

will

of

a

tone

creates

a

dif-

emphasK

placed

wi

the

last word. The meaning. along

yifw/ zV

widi

duracTci'ishcs

exprmtan

snarling

of

face

the

says

intonations,

can

dm

never

would

instructor sorncdiing

in

the

different

show

airugtncc,

be

commnnicared

previous

from

a

illustrarion smile.

Facial

fear,

shyness,

aggressiveness, if

you

rend

a

transcript

been said. The way individuals space themselves in terms physicaldbtanct ulso hits meaning. WTiat is considered proper spacing b largely dependent on cultural noims. Fur example, what is considered a businesslike distance in some European et>untries would he viewed us intimate in many parts of North America. If someone stands closer to than is considered ap|>ropriate, it may wdicatc iiggressiveness or se.xua] interest; if fertlier away than usual, it may mean disinterest or displeasure widi what is being said us wportant tor rhe receiver to be akn to these nonverbal aspects ofcotumumcaiiun. oy shouM look for nonverbal cues as w'efl as listen to the literal meaning a sen words. You should parncularly he aware of contradkrions between rhe ojessage.s. Your bans may My she is free lu talk to you about a pressing budget prubkni. nonverbal signals suggesting that this is nut tin tune to discuss d* wrkht

^’hai is being .said, an individual w'ho frcquenrlv glances at her ’’he message that she would prefer to tcrminuie rhe conv'ersarion.

verbalk < HW.” ratcly) than words ”

e.’cprcss one message verbal I v, such as trust, but nunthat reads, “I don’t have confidci« i« char “actions speak louder (and more accu-

abo

coiivuv*s

express and of

what

ions, odicr had

ORGANIZATIONAL COMMUNICATION In chix MHlion „,we h en ...lerpersonul .■..uimunicatiDn to orpnizitional ,.i«uon. ()«.r focus here will lx; on turm.l nctu-orks, the grapevine, and aided nif chnmans used by organuaiions co facilitate tnmmunicadon.

cooum*. comtwr-

Foniwl Sinall’Gmiip Netu'orks Fonnal

orgnni«don

indudv

hundreds

our

discuNsion,

fi\x

people

diannel

J

of

networks

jx^uple

we’ve

can

and

a

t\»ndcnscd

each

(see

h

Although

these

very

hdf-dozen

thi?sv

xhibii

thixx-

he

9^2).

complicaud, or

more

nerw'orks

T1K*SC

nerwr^-ks

have

'they

can,

hierarckical

into

three

three

nctworb

been

extremely

for

levels.

eonunnn are

in<jtance,

Tn

simplify

small-groups

the

whecL

simplified,

they

and do

of all-

alltw

us to describe the unique tjiialiries of each. ‘I’he mau^s 1

he

cbatn

die

follows

coiiunuiucation

relies

on

cation.

k

strong

leader,

nicate

rigidly a

with

rhe

d’hc

each

channels

central

simulates

the

figure

act

communication ’The

chain

might

\’ou tn

/?//-
other.

fonnal as

find

the

all-chajmel

rominand.

in

wu

all

a

conduit

network

i>crniits

of

for

is

network

chree-level

group\

find

on

a

members

to

actively

most

all

often

approsi-

organiiation.

the

would

group

network

rigid

This

coramuiii-

ream

with

a

commu-

chanicterized

in

prac-

tice by self-managed teams, in which all group members iirc free to eoutributc and no one person takes on a leadership role. As criteria the

Exhibit you’re

emergence

9-5

demonstrates,

concerned ol

about.

a leader, the

the

For

effecriveness instance,

of

the

all-channel netu'ork

each

striuTurc is

best

if

network

depends

of

wheel

die

you

on

die

facilitates

arc concerned with

haring high member satis fa cd on, and the chain is best if accuracy is most imporant. Exhibit

9-3

leads

us

co

is

not

the

conclusion

lhac

no

single

network

will

be

best

for

all

occasions.

The Grapevine The There

formal is

syuem also

an

uiformal

the

only conirnuiiicatinn

one—the

grapenne.

network

While

die

in

a

group

grapevine

or

may

tliis doesn't mean it’s not an imjKjrtant .snurxx of informariun. For instanee, a leccot

EXHIBIT 9*2 Three Common Small-Group Networks

Chain

A .1

Wheel

All-Channel

organizjition. be

informal,

MR

OottfB in the OntenlMtiaf

small-croup Networts and Effectiveness Criteria

EXHIBITS-^ Networks All Channel

WTiccI Ftft High

Chain M<*krsce AitHlerece Moderate

Emerc^rtKe of a lc*
Kime

Higb Low

Hijh

son vy found that 75 percent <.(employees bear about matters lirsi through rumors on ^Thc grapemc has three main charaweristks. h inl, it is not controlled by management Secoful, it is perceived by >nost employees as being more lielievable and reliable than foniiil communiques issued by top management. .And third, it is largely used to the inrercbts nl the people within it. One

of

the

most

famous

studies

of

the

grapevine

invesdgated

the

communica-

tion pattern among 67 managerial personnel in a small manufacturing bask first

approach

used

was

given

pietx

received

a

found

that,

while

centof

the

more

(han

enter

the

the

executives one

learn

of

acted

was

as

each

For 81

and

an

liaison

jxTson.

business,

from

information

grapevine

other

insurance

fn

comminicarion then

trace

important

individuals,

example,

percent

that

the

it

source

when

of

"The

is,

one

recipient back

of

tn

its

the

executive

only

or

she

It

was

10

information

decided

knew

he

source.

information,

passed

executives

how

about

co

it,

jseron

to

resign

to

but

OoH*

II

percent transnutted this intormarion to others. 'Iwo events

of

duction, one

other

conclusions

general

sales)

group

interest

rather

this

tended

than

consistently

from

within

acted

to

swtly

fiuw'

diem.

liaisons;

this

stud\'

also

worth

noting.

the

major

functional

benveen

.Mso,

as

are

no

evidence

rather,

surfaced

different

types

to

Infomiatiiin groups

suggest

of

(pro-

that

infonnarion

on

any

passed

through different liaisons. An office

attempt

also

esting,

mat a

sure

to

replicate

that

only

the

well took

as

consistent

informed contrast

gi^up

of

radicr

be

to

workers.

and m

due

than

the

thus

spectrum

individuals

the

niltivaie

acted

as

catcschat

the

outside

original

liaisons

This

of

study,

hv

government

finding

information groups.

in

It

was

their

feel

gmcni-

proposed

against

one

greater

inunediate replication

traasmirting

inter-

indudii^

the

sample

might

the

is

einplovees,

executive-only example,

state

pres-

ftincbonal found

information

that

in

the

'

infomiadon

about

an

others ihe

of

functional

for

government office. Is

flow

between,

Managers,

of

small

wider

comparing

findings

a

individuals.^

Kut

within,

in

liaison

personnel.

place

employees

as

managerial

operative

in

act

a

included

Also,

percent

contained

might

suy

10

among

replication

(hscrepancy

so

group. a

as

office tffis

at

found

because

operative ment

to

;5

that

(wreenr

of

flows what

along is

the

carriul

grapevine is

accurate?

accurate.^

But

The

what

evidence conditions

mdifoster

in active grapevine? What gets die rumor mill rolling^

•’t

Thk i. " ’ha. rumors surt because they make titiUaling gossip. Xre cxse. Rumors emerge as a response ,o situations that are os. where there is an.l under conditions that arouse

»

Chapt^ 9 CotnmunxaQcn -^rk situations freqiicntlv contain these rhre^ /

».

<,rgunu.Hon5. s«r«y and ro.njxdbon gruunri such issues JU the apiwinirncnt of d”;,»u,g .i».„„, „d d,e rf„renenumgc and

p«vaihn large orfaniza*

rumors die grapevine, A^or will peSteX^S -mor

WTuc

can

we

i,

nnpornnt

,dl

wrxh

insider

parr and

inechanism.

employees, into

rhe them

frnn,

of

nnde^ndm^I

important

feedback rions

conclude

the

g-up

or

.denafies that

grapenne groups

.s

the

It

communicaden issues

thon=fnre,

-as

that

cmplovecs

valuable

Maj-be

for

more

Ceminlv

confusing

acts,

issues

particularly ,argon.

OUT

managers

anx-etve

up

discussion?

organ.«tions

for

cearr.

picking

preceding

fulfilled

the

K««vine

nedvS^^ that

both

fdter

aS

relevant

formal

again

is

employees

a

consider

translating

important,

ne

a

For

eommunica-

from

a

managerial

petspreuve, It seems possible to analyze graiKnlne informanon and to predict its flow given that only a small set ot individuals (around 10 percent) actively pass on ir.forman-H. to more than one other person. By assessing which liaison individuals will consider a given pietx of informaoon to be relevant, we can improve our ability to explain afld predict die pattern of the grapevine.

Cornputer-Aided Coitutiunication Comtniinicadon

in

today’s

technologies.

These

conferenong.

Electronic

memos,

lecicrs,

org-anizadons

is

clcccrnnic

mail,

include

and

mail,

for

phone

instance,

calls

chat

enhanced

and

enriched

by

intranet

and

extranet

links,

has

dramatically

employees

reduced

hisrorically

computer-aided and

the

used

video-

number

to

of

communicate

among themselves and with suppliers, customers, or other outside stakeholders. E-xVlail

Electronic

puter-generated

mail

text

(or

and

c-mail)

uses

(Ifxmments.

Its

the

Internet

growth

to

has

transmit

been

and

receive

spectacular.

Most

comwdiite-

cdlar employees now regularly use e-majl. In fact, a recent study found that the average U.S.

employee

receives

31

c-inail

messages

a

day.'

.^id

organizations

are

recognizing

the value of e-mail for all workers. Ford Motor Co., for instance, recently made a eompurer, modem, printer, and e-mail account avaliable for S5 a month to all of its more than 300.000 employees worldwide.^ As a commujiication tool, e-inaiJ has a long list of benefits. E-mail messages tan be quickly written, edited, and stored. 'I’hcy can be distributed to one person or thousands with the click of a mouse. They’ can be read, in their entiren* at the convenience the recipient. And the cost of sending fonnal e-mail messages to employees is a fraction of what it W’Ould cost to print, duplicate, and disndbute a comparable letter or brochure. E-inail, of course, is nor without its drawbacks. Al the top of the list is inforroabon werload. It’s not unusual for employees to get a hundred or more e-mails a .lay. Reading,

absorbing,

and

responding

to

such

an

inflow

can

literally

consume

an

emplovee’s entire dav. In essence, e-mail's ease of use lias become its biggest negative. E«nployees

are

finding

jwk mail and irrelevant

it

increasmglv

messages.

difficult

.Another

to

distinguish

drawback of

imponant

e-.nails

from

e-mails is that they lack

emo-

ttOMl content. The nonvcihal cues in a face-io-foce message or the tone ot voice from * phone call

im|>ortant information that doesn’t come across in e-mail. Finally,

1

122

con,e»^

part nt Groups in the Orf»ni«oon e.mail tend, m be

or oAer messages that might evoke em^ l

O'diAil .1 inks /n^nro arc private. organ.z-au...vwide mfunnatioft Intranet and Extranet l-.nks r „„1, p^^pk- m an org.uuxation networks that look and ac t i KC preferred means for employees within have access. Intranets an. o’) cnnipanics to comrnun..m A^corw

-

organixanons .ire cre.
nm ,

„p|
sirarepe it, «ccl and rubber suppliers as well as coumv.mitronic mes'sages and d ,.c„d..rs arc linked into us cxlr.inet syscaw wid. '.vbri iHU-CTt; to easily commun.cate with its suppliers and for .he mvcHtory s.an.s of its products at Wal-Mart stores. Mdctx.'onfercneing r7^<sh<;»AcrttdZ«g is an extension of inaanet or extranet sysutm. It permits employees in an organization to have meetmgs wi A peep e at different loa tion.s Live audio and v.lco intages of members allow Acm to see, hear, and talk u irh each oAcr \-idcocontercncing technology, in effect, allows employees to conduct interaenve meetings wnthout Ac necessity of all phy.sically being m Ae same IncaAin. In the late IWOs, videoconferencing was l»asically «>nductc6 from special rooms equipped with trlevisioo cameras, locared at company facilioes. More recently, cameras anti microphones arc being attached to individual eomputers, allowing people to paAcipate in sidcoconfcrcnccs without leaving their desks. As Ae cost of Ais technoli4
Summary*

Computer-aided

commurucahnns

are

reshaping

the

way

we

communicate

in orgaiiizanons. 5pcvifi«lly, it no longer necessary' for employees to lie at their work station or desk co be “availahle? Pagers, cellular phones, and personal communicators allow employees to bu reached when they’ix in a mccdng» during n lunch break, while visiting a cusumer across town, or during n golf game on Saturday morning. The line betwtxn an employees work and non work life is no longer dlsrincL In the clcclronic age, all employees cun dicorrcically l)c ‘‘on call* 24 hours a day, 7 (bys a week. Organizational communications. Widilt,

Ac

ofKrated other tice

boundaries

Networked

organization, by

an

Resident

j^.p e

of

m iKtv-een

coiiipucers

work

full-rune

orgaruzati..n.

organizations.

The

iieXcd Or iS woA^l i C^iu«^ot

and

market

markenng and

become

less allow ar

send an

is e-mail

as

nr

who

message

.hu n»d.d. d„,d,„g 6. d„d„™

to

up

directly.

jump

vertical

other

dian

discuss

in

die

And

computer-aided

an

with issue

hierarchy), in

so

doing,

a

levels facility

nei.ple

in

with

the

can

htT**

Ac

tradi-

deteriTunwi by level and acccM, heeomes essentially ’? researcher may choose to bve m d,e Caymtan IslanA than do his or her job in the company^

tmerreom^ rh As a «se

to

of

cominunicmons

wants

levels

result

someplace

ongoing

three

a

employees

home

condua

researcher

(who

relevajit

to suppliers' and cus"nfanuanons become ArAer blurred, :“■>-» - '."‘ed, r™. aX™



Chapter)

BARRIhRS TO EFFECTIVE COMMUNICATION n

A numlxr of harriers can rcurd or dKhjrt effectrv

coTaniunication In this scetioiL we

highlight the more imporunt of chese liarricni.

filtering Filtering refers to a sen.kr’s purposely manipulatiiig jnftwubon so it will be seen more hv-rahly by tb- receiver, i or example, when a manager tells his boss what be feels his boss wants to hear, he is filtering information. The MTULiuru. njties are

nujor J

he

there

arc

scants

please

detenrunant more for

vertical

filtering.

differences.

one's

uf

boss

levtE

But

Factors

ofren

filtering

lead

in

you

such

is the

can as

the

number

levels

organixationk

CX|H:CT

fear

employees

of

of

co

some

conveying

rell

hierarchy,

filtering

their

to

bad

an

Ln

die

occur

news what

btjofc.

appears

more

oppom-

wherever

and

superiors

organization’s

the

they

there

desire

ihmk

to

those

scperiiirs want w hear, thus distorting upward communicaoons.

Selective Perception We

hatx

the

roenrioned

receiver,

based tens

in

selective

ihe

communication

an

bis

needs,

tics.

*ihc

receiver

as

he

decode.s

to

put

family before

perception

motivations, also

thciu.

riie

before

process,

his

eniployment

caj'cer

is

this

sees

experience,

projects

in

and

hears

background,

It

things

and

other

interests

and

expectations

intervicw^cr

who

expects

likely tu

sec chat priority in

in

a

again

a

selective

j>ersonal into

because

ch

way, ante-

communications

female

job

candidate

female candidates,

regardless

of whetlier div candidates feci that way or nor. As we said in Chapter 2, we don’t sec reality; wc interpret w'hac we see and call it reality.

Information Overload Individuals sion

have

of

a

e-mail,

finite

when

capacity;

the

result

meetings,

anti

the

capacity

the is

for

infomiadon information

need

processing

to

kcej)

we

data.

have

overload.

current

in

.As

to

w^ork

/And

with

one’s

field,

noted

tn

with

previous

exceeds

e-mails, more

our

and

our

discus-

processing

phone

calls,

faxes,

more

managers

and

professionals are complaining that they ’re suffering from information overload. VVhat use? off

happens

They tend further

when

to weed

proccs.sing

individuals

out,

until

ignore,

the

have pass

overload

more over,

information

than

they

can

sort

and

or

forger

information.

Or

they may put

is

over.

Regardless,

the

result

situation

is

lost

information and less effective communication,

Gender Styles .Men

and

women

use

oral

communication

for

different

reasons.

Consequently,

gender

bcajmes a barrier co effective communication betw*een the sexes. Research

evidence

indicates

that

men

use

talk

to

emphasize

status,

whereas

women use it to create connection.’^ That is, men speak and hear a language of status and

independence,

So,

for

many

and

men.

women

speak

conversations

arc

and

hear

primarily

a a

language means

to

of

connection

preserve

maiAUin status in a hierarchical social order. For many women, conv'ersations are

and

intimacy

independence

and

Part 1(1 Groups ift the Organizenon k-k «..onle m-to seek and give ennfinnation and sup. '' neguriatjons for<'ln.«nes^in w i ■• women talk on and im about rheir port. For example, X^'hat's happening is that when men problems. Women ennozx men indepe-ndeoce and c.mtrol 1^ hear a problem, they want to th >

geuhe mens adx^ce.

Emotions now Sec

receiver

Che tow

i>e

distrauehc

or

is

feek

She

often

such

xs^ubibtion

such

instances,

at

the

interprets

it.

interjneted

or we

time

receiving

a

anunmnication

The

same

message

differently

from

when

depression arc

of

most

received

you

are

most

likely

to

prone

ro

disregard

our

people.

Age.

re

.t>e«age

when

happy.

hinder

ww

1

re

in£l„.

angry

.xrreme

efleenve

rational

will

or

emotions

cnm.n.mifanon

and

ob,ective

1„

thinking

processes and sukstiluxe emotional judgments.

Language Words

mean

ground

are

differcni three

of

things the

to

more

different

obvious

variables

that

eduouion.

influence

and

the

cultural

language

a

backperson

uses and the deliniliuns he or she gives W wordsIn die

an

organizanon,

grouping

of

(arffon

or

widely

dispersed

employees

employees

technical

into

language.

usually

departments In

large

geographically—even

come

from

creates

diverse

specialists

organizations^

operating

in

backgrounds.

who

members different

develop

are

Furlher,

Aeir

also

own

frequently

countries—and

individ-

uals in each locale wIl use terras and phrases that arc unique to their area. The existence

of

vertical

levels

can

also

cause

language

meaning with regard to words such as

problems.

For

instance,

differences

in

and have been found at differ-

ent levels in in anagen lein. Top managers often speak ah out the need for incen fives and

quotas,

yet

these

terras

imply

manipulation

and

create

resentment

among

many

lower managers. The

point

is

that,

although

you

and

T

probably

speak

a

common

English—our usage of that language is fiir from uniform. If w'e knew modified is

that

the

language,

members

in

com

an

HI

unication

organization

difficulties

usually

don’t

would know

Ite how

how each of us

minimized. those

language—

with

Lhe

problem

w'hom

they

interact have modified the language. Senders tend to assume dial the w’ords and terms Aey use mean the same to the receiver as they do to them. T his assumption is often incorrecT,

OROSS-CULTURAL COMMUNICATION Effective

commuiiicarion

is

difficult

under

rhe

best

of

cundirions.

Ooss-culniral

ftc-

.

process of tneoding and decoding messages into symbols is based on m

individu^s

cultural

^wer

the

backgrountl

differences

tn

and,

«

backgrounds

a

result,

between

is

not

the

sender

and

same

for

rece.ver,

OJtterenccs in meanings attached to particular « onls or bchasiors. People fnim differ-

aU

people.

The

the

greater

the

Btl* ,•

tors clearly create the potential for increabed coinmunication problems.

culnifes wc> interpret, and evaluate thinv, them differently

*-Wwr> ‘I'ffwwidy, nd cnnnqoently act on

Cuftural C^oiitexl Abenerunden.andmgofcuhwalbaprieriandth across cJnires can be achieved by considering cdmr«‘ Culnirc^ and n, differ

fommunicating ‘^"*'^®'‘^high-and1ow-contci the importance m whJ.k OQS for communicating

in

ing that individuals ukc fran what IJS actuallv said

influences the mean-

other person IS. Oiuntrrcs such a$ China V’?«i

whom the

‘‘*8^-

cultures. They n=Jy hens ily on conynuTurating u jth others, What

-id may

said. In these cultures, a person’s ofiicial status olac

s’ffi'ificam than u-hat k

considerable weight m communk-aticns. In America

relfeci

their

low-context

cultures

'^P«taiion earn Th



*

P^>plc

in/m

Eurupe

and

North

meaning. Body language or formal titles are secondan^™u'’ spoken and ’^Tiiten words

(«c FjchibitM—^). W'hat do these contexnial differenccis Actually,

quite

a

lot!

.

Cfommunieation

in

high-cntextluh™*

more trust by parties, What may .appear to an outsider fnh

communiwtinnWQ-siderably

eonversarioii is imporiaiii because it reflects the desire to bn1ld?’’''l a«

n..,.

±r

,.ra]

agreements

r“-nrgani«itionL.,e

^tX t concc.«

imply

s.ong

hi.hlv

eomnS

Xd

wd

«n^g. precisely worded, and highly Jcgalisiie. Similarly, lowcultures

convemgintcndyl

value

directness.

meaning.

It’s

Managers quite

arc

expected

different

to

in

he

explicit

high-contX

and

precise

culfrX

m

where

m tend to make suggestions” rather than give orders.

EXHIBIT 9-4 Hi^- vs. Low Context Cultures

Chinese Korean Vietnamese Arab Greek Spanish lulian English North Ameriaff ScandinavUn Swiss German

•••« Oft «it Wk «r 11HW »om R1 We*. J99I. p. 21

•M J.& M. • wnslwiW CenwWMCton *• &eoM*

k RlrtHl Groups in Orf*"*"**^

A Cultural Guide

jifferent culture, what can yoii do |^! -** .nisevaluauons? Mlowrog th«e (b« 1

S::

rules

can

he

helphil”:

• Mi«t of us assume that nihcrs are more ’ JiFcrtut countnus <Jten are vm to u. th.n

1.

,r, it >
d,u-npti«" r.„btr rhax

Interpreting or evaluatnig S .onu^nc L. said or done, in entrust to deuT.puon, is hated more on 2. oiliure .iml luckgroi.n.l dtan on the observed siniaiion. So -Way ,«dgn,en, until you've had sufficien. time to observe and interpret the stlnation from the per. spwtivci ol all cultures invokeil. /v«nzr Before sending a tnessage, put ymirtelf in rhe receiver's shoes, WI''''

HK 3.

4.

arc his or her v.ilucs, experiences, and frames of reference,' What do you knoiv ahem his or her educatic.it. uphringine, and Itttkground chal can give p.u a«idcd insight? rr> to see the other person as he or she really is. Treat y^urmtcrfnxfati^ii a wot hug krpaMs. Once you’ve developed aii explaiwtion for a iww situalion i»r ihink ymi cniptht?c with sometine fmin a foreign culrwe, treat >‘our inKfpretation a^ a hypoThesis dut needs hinhcr testing rather th,w as a certainty. Carefully assess ±c feedback provided by reed ven to w if it confirms your hypothesis. i or inipoTTflnr decisions or comm uniques, you can HIW.I check widi other foreign and home'COuntn' colleaoio
ETHICS IN COMMUNICATION: IS 11’ WRONG TOTELLALIE? W'Tien

we

were

children,

nrr

parents

told

‘‘h’s

wTong

cn

tell

a

lie.”

Yet

we

all

have

told lies at oiic time or another, li most of us agree that telling lies is w rong, how do we

justify

continuing

lies*

and

*liuk

swal

interaction.

tion,

lets

look

to

while Since at

an

do

it?

lies”—the

The

answer

latter

lying

is

so

issue

many

being closely

managers

is: an

Most

of

us

acceptable,

intertwined confront:

with Docs

differentiate even

necessary,

interpersonal a

sound

intenoonally distorting information? Consider the following sinianon. An emplcnee who works for you asks you about a nimor she’s heard rfint vour department and all its employees will lx transferred from New York City^ to Dallas*’ Vbu know the rumor i.s true, bur you would ratlier not let the information out just yet OU re ear IT cu urt deiurtmcnral morale and lead to premature resignadon^ ±er or'.;; s

probkmrr„d'L!X’^ ^on.,nun.cati,.n, whac «n manager, .Io ro nnn.o.izxpxupiems anci attempt to overcome th<«c hirrin^t -ru r n ,hoUJ be helpful i„ ea„„,u„.eub„„

between

“real

part

of

coinmunica-

purpose

josrify

o»p«»9

L’se Multiple Channels U-hoi J-ou use mulnple channels lo convey a n>e«a.« hfKxl <)l clarity fi.r tux. reasons, kirst, von srini,.i,. seiises. An e-inaiJ and a phone call, for eii.nnl

the hkeli-

Repeaang a message hy using a different eha^nnel’*'^'^'^'^^ and .sound, aecreases the I.kelihc«>d o. distortions. Sec^^i ^k ’‘’’i?!* ‘®

absorb mlomaaon. Some understand hesi when a however, prefer oral ..'onimunications. The latter tend T *" » ........................ ........... . “-i -iph-

““

Use Feedback Al^y and

communicai^n inaaaracics-

feedback

loop

probli^s

Fhese is

are

uobzed

c^,

less in

he

likely the

attributed to

occur

if

corrununicadon

directly the

to

manager

proews

(see

misunderstandings ensures Exhibit

tiiat

the

9-5)

lliis

said^”

the

can

defi-

feedback can IK* verbal, wnnen, or Qonverbat. h response nitely

be

message

a

manager

represents improved in

order

asb

a

feedback. ujMtn. to

The

receiver,

‘'Did

you

But

"yes”

or

can

ask

the

manager

determine

whether

the

understand “no” a

set

message

type of was

what of

1

feedback

questions receivwl

relating as

to

a

intended.

Better yet, the manager can ask the receiver to restate the message, in his or her own

words.

If

the

manager

then

hears

what

was

intended,

understanding

and

accuracy should be enhanced Feedback tan also be more subtle than the direct

EXHIBIT fi-5 Improving Performance Feedback Skills The foUvwing spcvific siigge^rions can help managers co be m<*re cHccnvc io proviJuig performance fetdheck to others /tfs'itf 9n fptafif MiTCKtri Feedback «hnnUl U: specific raiher than general. For example, instead of saying:. “You have a bad aiiifniie," a itidnager nu^i «yi ‘’Bob, Xm concerned with your attitude u»ward )Xkur work. Von were a half-hour lais’ ro yesterday’* staff meeting, and then you cold rnc vou hadn't read the preliminary report *c *ere dhc.issing. Today jwtdl roc you’re ukmg off lliree houn rarly for a dental appwmtracnt.* This tells Bob why he is being vritivi/erl. iwper^nai. Kxtiback should IK’ iob related. S’ever critidte *mncot»e 2. henwK- of an .nappropriaw action. Telling people thej.’rc ‘•incompuent, ..r the like u almost always coimtcrprf’diicHvc. uMb Uftf fnJhti ffial antnud If a manager hts tn say something negaU'S. J, wre direct^ toward the rs, ipie«-s gnals. .\ manager shouldask pused tr, help If the answer is essentially that Tve g.U srm.eth.ng I jmt want to get □« «»» chm,” then he or she should not speak. , 4. n,^. feedhaek is most inu.nmgfnt n> , n-«>ient who. intend between hrs or her bchanor and ,he n ceipr of feedback J. hmm uHJtntMiag. Is the teedbaA cunew and rhe redpicni replw 1.

the cnotTni tif die feedback ui sec *hethur it 1 u> *■ Dma nrgtmr frfdhutl'/vtnl

'nwrtk little «l<* n^^trol. .Srpave fcadhKk.

•r rt ««I« of *

rviuii-«n m 4 nusssgc, bi t

hiTs’nlf^irdnnga^ monthk Failure- of some of the sale-s|H-oplc f

fkXk'

It

should

directive Simil.nh. their

vtinr .m

ines.sagc.

smianon

audience-

to

« hen you

nx-’mmvments

tmg ers

suggest

Immesliatc

that

she

nenh

h.

clarity

tunher

gixe a sj^ccch to a group ol ix-ople,

.md

other

I'his

Ix-iu-fit

ixnncdx

her

"‘'i vwni ui the new rqmd ,s . ty,,.

nonverhal of

shows

laughter

fec.ihack

prefer

and

clues

to

whether

may

explain

ininM

y.xi can tell hy

gn.up

meinlx-rsan-

w

television

|wihnn.

trom

a

live

the

ptr-

hy

rape

their

pnigrams

or

their

alwence.

applause,

her

m

convey

of to

gut-

tiirmers whether they are getting their mes-sagc acros.s.

Simplify Language Bcvau'*’ Mjvs

can U' a harrier, a manager should seek to strucnire messagoi in

ihiU

will

rarehdlv.

Ilie

audieiHv

to

with

the

sage

is

the

a

them

manager

neeiU

whom

both

used

gii*al

shtxild

admissions

is

in

and

IK*

Jargon

nKmlKTS

that

to

who

the

s^xak

or

her

lanpiage

and

directed,

so

that

(he

language

will

communicuion

is

Vndersianding

audience tn

language

that

should

his

always

is

tor

conveying

(hat

understanding but

This

it

used

he

it

can

cause

a

for

example,

and to

used

easily

the

snr-

in

the

employees

is

mes-

siinpldying

dear

with

the

coinpahble

In

menus, in

chosen

when

messages

when

he

consider

improved

eommunicale

trom

language,

achieved

intciuktl.

n*

used

differv‘nt

faeilivate

Words

simpht}*

the

puq^isvly

can

undershimbhle.

M/j^/rrrrcrxA

relation

and

and

clKvnve

administnnorshoukl

tenns

start

to

message

receivexl

hospital

dear

Remember,

undersbMKl

group

a

rewver.

bnphigx*

that

make

with

innnmerahk*

other

pn4>leins

when used ounsidc that group.

Listen Actively When

someone

aetive

search

talks,

for

we

heir.

meaning,

But,

whereas

tixj

ohen,

hearing

is

we

[wssi'

don't e

listen.

(see

Listening

Exhibit

9-6),

is

an

When

yfxi

listen, two people, the meiver and the sen.ler, arc thinking. Many of us are [uxir listeners. V\ hy? Bceausc itk difficult and liec.nise it’s usually

more

denunds

saus-ijnng mtdieenial

to

talk,

eftorr.

l.isteiiing,

Unlike

in

fact,

hearing,

is

often

aenve

more

listening

tiring

than

denwnds

talking-

toral

ft

etuieen-

traaoii. 1 nc average person .speaks at a rate of alx)UT I SO wonis |icr minute. >vhcn?«» we have the t^^cin listen at the rate of over I .(XX) words ix r minute. I he dirtvrence t^Muudy leases idle hrain time and oppuminities l<.r the mind m wander. Acns-c «ndcr.

that

Beewuse ^es

It

listening is.

when

senders easier

to

is

enhanced

the

difter

receiver in

undersund

w

tnes

attitudes, the

hen

actual

to

the

letriver

place

interests, cnnient

hinwelf

needs, ot

develo|e.

a

in

and

empathy

the

sender's

expectauon.s.

,nes.sage.

tener reserves (udgment
.\n

with

the

ixwlion. emp-thy

empatheoe

lis-

Chapter 9 EXHIBIT

ri h.

Cottumaiindoii

9-6 Improving Active Listening Skills

<««xe»uon.v.n hdp f. Wc Jiwun »ich our but .nxr eye ., zM^kiiig eye er.nuct xiih the x,>ciker dtsiNiiions. 4hil rfiiMui nifus the ^|x .iker.

tn b. nxre effetnve Imenrr,. iudffc uSnrSz.. i « L . ’

“ reduces rh< pounu^l ter



eM m * h.a .. Ixing suU tKm^nonverk.l vpuk Aftirn^uvr head nods .ui 3pp.o1X‘ 4epnss..xis. when u. good cy. ornPH. ^-onrej. tn the jp«kcr tlu,r one .r 11K .«hcr s.de of showing interest ,s th,it su^gcM inwagers mind ts somewhere eJse, Acncn, ruch as linking ai one’, watdi. shLifning jHpr.x .ir pUying w.th a |xncil make die speakvt Ud Ac is l.ired or uniiinTcsicil. ri .co,liL.l listener ^.i.k-zeSHlni. he or shtbwr, .nd isk.,,uR,Q<>,.-’vpu’>!{
A

Dwf > ffVfrtalk. Alos: ot us U’ouM raAer 1,-0our own Mets than bscen tn srhat somwme e. sjy%. Ton msny oriv< b*Tcn only because i|> Ac price vre Iwve to pay to get people to let us talk. Talking may be nxire fun and silvnte may he nnnRnfbrtable, hut itV impossible Io nik and IM7. un at the samv lime. IK good IwtciKr m ugni«s Uw. fact .ird doesn’t oscrtalL

being said. The goal is to improve ones abilin^ to receive the full meaning of a communicauon, without havnng it distorted by premature indgments or interpreudons. I . I

Constrain Emotions It

utjuld

tional

be

naive

manner.

Yet

rrjnsterence

of

misconstrue

incoming

our

outgoing

tu

assume

wc

know

meaning.

If

that that

we’re

messages,

messages.

What

a

emeu

we

the

always

ions

crnotionjilly

and can

manager

can

severely

upsci

may

fail

manager

communicates

over to

do?

an

a

cloud

and

issue,

we’re

express The

in

clearly

best

ra-

distort

rhe

likely

and

approach

fully

TO

accurately

is

to

defer

further communication until composure is regained.

Use the Grapevine You

can’t

eliminate

the

and

make

it

for

d<wi

rapidly,

□on,

and

work to

as

a

test

grajKvinc, them,

the

valuable

What

Managers

reaction source

to of

managers an

various feedback

use

should the

therefore,

grapevine

decisions when

do.

hcftirc

the

is

lo

h^nsinit

their

final

managers

t

emse

use i

ic

urma-

consumma ^es

are

grapevine mcmbcn.. Of course, the grapevine can cam reduce the effectiveness of formal communicarion. To lessen t doarucrivc

force,

managers

should

make

good

/ use

dut they reguiariv carry the relevant and accurate information t at emp ,

of

fonnal

channe

s

J • it

/•

4



CHAPTER 10 __________________________________

Leadership and Creating Trust After reading this chapter, you should be able to 1. Summarize the conclusions of trait theories 2. Identify die limitations of behavioral theories 3. Describe fiedter's corrtingency model 4. Summarize the path-goal theory 5. List the contingency variables ir^ the leader-partidpation model S. Explain gender differences in leadership styles 7. Differentiate rransformahona/ from fzansacf/ona/ leadership 8. Identify the skills that visionary leaders exhibit 9. Describe the four specific roles of effective team leaders TO. Summarize how leaders can build trust

I

t has been accepted as a truism that good lcaden,hip is essential to business, to gt*eminent, and co the countless groups and organixadons thai shape the way w^ Itve,

work, and play. If leadership Is s\n:h an important factor, the critical issue is: 'A’hat makes a great leader? h s templing to answer: Great followers! Although there is truth to this response, the issue is far more complex.

WHAT IS LEADERSHIP? . Leadership

is

source

this

of

managerial degree

of

the

rant

abilit)'

influence in

foniially

an

to may

influence be

formal,

organization.

designated

a

group such

Because

audioricy,

an

toward as

the

that

provided

management individual

achievement

nuv

by

positions assume

of the

c
goals.

Th*^_

possess^'" with leadership

o*

som^ n't

as a result of the |x»sitmn he or she holds in the organization. But n
•4

Qiapter 10 Lud«nhjp and CmnafcTniR manigers: nor, for that nutter, arc all managers leaders. Jusi because an organizarion prov-idc-s irs maiugers with cc^m nghts is no assuranex they «tU be able t« lead effevovefy. xVonsancnoned lcader?h}p-ihat is, foe ability tn influence that arises outside of formal structure of the organizatio.,-is as im(K.rtant a.s or more important than fopnal influence. Tn other words, leaders can emerge from within a groun as well as hein4( ff^niiallv nppoinred.

*

■ Ihe leadership literature is i ..lnniinou.s, atid much of it is confosing and contradicton- In the folJoumg pages, n^c attempt t«i pro^-idL• you with some insights into jar m a an effecdve J ea der.

JRAIT THEORIES If (Uie were to tlcscribe j ieaifer ox> the basis of die general connotations presented in today's

media,

cnth'tsiasni, the

streiigdi,

conclusion

Chrwt.

one

The

that

search

mighr

list

brai

cry.

effective for

qualitic.s inregrity,

leaderti

as

iindJigwice,

self-confidence,

must

characteristics,

such

he

one

such

as

part

and Boy

those

charisma,

so

on—possibly

Scout

listed,

Jeeisiventss,

and

that

two

eliciting

pans

would

Jesus

differentiate

leaders from nonleaders otcupieiT the early p.sychologists who stuiiicd leadership. Is

it

possible

acknowledge John

f.

Wemay

as

individuals

isolate

one

leaders—VVmston

Kennedy, agree

co

that

with

Nelson these

utreriy

or

personality

CHirchill,

IVlandcla, indinduah

differenr

more

Mother

(lolin meet

traits

Teresit,

Powell—diat onr

characteristics.

individuals

Martin

chc

of«leader, concept

of

wc

Luther

nonleaders

definition If

in

generally king.

Jr\

do

not

possess?

but

they

represent

traits

wa.s

to

be

proved valid, sped fie characteristics had to he found that all leaders possess. Research efforts at isolating these traits resulted in a number of dead ends. If the search was to identify a set of traits that would always differentiate leaders fmni followers and effective from ineffective leaders, the search failed. Perhaps it w'as a bit optiniisric to believe that a set of consistent and unique traits could apply across the board to all effective leaders, whether they were in charge of the iMonnon a be macle Choir, f4enerdJ Electric, Ted’s Malibu Surf Shop, the Brazilian national soccer team, or Oxford University. f attempts

However, been (I)

more

drive

mtegriry,

successful.

to Six

and

ambition,

(2)

(4)

self-confidcncc,

identify traits the

traits on

desire

(5)

consistently

w’hicb to

lead

intelligence,

associated

leaders and and

differ influence

(6)

with

from

nonleaders

others

in-depth

Vet traits alone are not sufficient forexplaining leadership. Their primary failing IS dut they igiKjrc situational factors. Possessing the appropriate traits only makes it Ji’urc likely that an indiridual will }>e an effective leader, lie or she still has to cake the ght actions m one wtuatiun nre not necessarily rignc right actions. And “the ri differcni situation.

BEHAVIORAL THEORIES •■he inability to strike gold in the •‘trail mines" led researt^hers to look at the behanore

*»> effective leaders behave. For example, do tiiey tend to be more democratic dun *W(HTatic?

(3)

have include

honesty

technical

related to their area of responsibility.*

specific leaders exhibited, nte)’ wondered if there was .somethtng uruque in the

leadership

and

knowledge

RirtRI

Groiipiin tbeOrpininOon

apprMch provide more

Nor only, it was hoped. ^h.\, if successful- it would have rive ansM-cn. »b«’ot t*"" , .h«..e of the trait approach. If trait reseat^: cal implk-.tiof^ quite differcnt f„r selecting the nghr pemnto had been *“tcessft.l..t woul«l have P that required leadership. |, 1 assume a formal turn'up critical behavioral determinants of ; contract, if behavioral studies ue j^ajers. The difference between trait and leadership, «c could tram J , • |jes jn dieir underlying assumption,. If behavioral theories, in " X"" re'l^ hom: You either had or yo« trail theories uere valid. behaviors th.it ide.iufied leaders, didn’t. On the other hand. P programs that implanted these then we could teach leadership-^^-hrdesked to be effective leaders. This behavioral

w?,

it would mean that the supply of leaders could be

Z-nded.“'f

n-„ninB

.orkid.

we

n.uld

have

.n

infinite

supply

nf

effective

kflderfj.

Ohio State Studies The

most

research to

wmprehensive

that

idendfr

began

at

Ohio

independent

sand

dimensions,

tially

accounted

and

.State

eventually

most

of

of

the

University

diiuciu>ioiu>

they for

replicated

of

leader

narrowed the

in

behavioral

the

late

behavior.

the

leadership

list

theories

1940s.-

These

Beginning

into

behavior

two

resulted studies

with

over

categories

described

by

from sought

a

that

thou-

substan-

subordinates.

They

cnilcd these two dime ns ions inifiarif/g structure and cemi'idiTathn. Initiating

stnicfurc

structure

hi:s

includes

(behavior

that

characterized

as

group

niembcn

leader ‘‘assigns

or

her

refer> role

tu

and

the

those

attempts high

tu

in to

extent of

to

^’hich

subordinates

organize

initiating

work,

tasks,"

in

leader the

work

structure

particular

a

could

is

search

likely fur

relationships, be

“e-vpects

described workers

to

goal and in

define attainment goals.

terms

to

and II

I

he

such

as

maintain

definite

standards of performance,” and “eniphasixcs die meeting of deadlines." Consideration relationships for

their

being, one

desenhed

characterized feelings.

status, who

is

he

treats

This

by

as mutual

type

of

and

satisfaction.

p-s

subordinates

extent trust,

leader A. with

all

ariiu,

the

to

respect

shows

leader

which

personal

tor

concern

high

in

person

is

subordinates’ for

his

is

likely

could

friendlv

and

comfort, be

and

job

regard M

ell-

described

as

approachable,

as

and

equals,

leader) tended to achieve high sefn

Xr o, inS

fr^^Aucntlv than those who rated

Xyv?^rin

I'oth. Bur the high-high sty le did not I’t^havior characterized »

high on inibatiug strucmr7*lcd"w^hiJh and

lower

levels

Other studies found that high considfradon "" ratings of the leader bv his superior In cond

of

ioh

satisfifgrievances,

absenieeisni,

Performing roudne tasbrelated to perfonnance

that the high-high style geneS resX^^^•' WMis were found to indicate that siruadonal outcome.s, but etUMigh etceF i theory. Mtuat.onal fan.H, needed to be integrated into d* J

hl >

have

based on these definition^ found that leaders hieh in ima-

ordmau

lumnver

to

ideas,

followers'

consideration

problems,

siilxirdinares

a

and

• *■ s Chapter 10 Leadenhip tod Ociihng: lhi«

Cniversitj'of Micliifian Studi<»s I,„d.r5h.p

undertaken at the LTniversny of Michigan’s Suney Research

Center, at about the same tone as Aose be,ng done ar Ohip Suce. had simiL research nb,cct,ve.:

To

locate

measures

of

pc^,-manc-e

two

dunensions

behavjorat

oi

productjon-oriented. iHg.ntcrpersonal

characterisrics

clTcYveness.S

leaderdup

Leaders

relafions;

they

The

i>ehav,t,r.

who

were

took

of

leaders

Michigan

which

they

that

appeared

«,

group

also

came

labeled

rv«y,/c7rr-0Fjc«Zr,/were

a

personal

interest

in

be up

with

cmplowe-oricnieJ

and

described

as

needs

of-Jieir

the

related

emphasitsubt.rdi-

Mies and accepteti indrculuaJ deferences among u,embers. The

Vi •••

lea.Iers. m coiicrast, rendwi to emphasise the technical or task aspects of rhe job—tfidr main concern u-as accomplishing tlicir group’s casks, and the group members were a jncans to th IT end. The conclusions anived at by the Michigan researchers strongly favored the leaders who were cmpJoycc-orieiite.l tn their behavior. Employee-oriented leaders were associated with higher group productiviry and higher job'satisfaction. ProducrionorienTed leaders tended to be associated witlt low giiiup produenrity and low worker sacisfacnon.

The Managerial Grid A graph ic portray al c?f a nvo’dimensiorwl Robert

Bbkc

Styles sent

ot

iuid

Jane

“concern

the

Ohio

Mouton.

for

'

people”

State

They

and

dimension.'^

\new

proposed

“concern of

nf leiidership styles was dcvclqicd by
for

managerial

production,”

consideration

and

grid

l>ased

which

ini

on

essendally

dating

strucnuc

the

repreor

the

Michigan dimensions of employee-oriented and production-oriented. The

grid,

each

axis,

does

not

depicted

creating show

81

in

Exhibit

different

results

10-1

on

page

I?4.

positions

in

which

die

produced

but

radiet

die

has

9

possible

leader’s

dominating

style

(actors

positions

may in

fall.

a

along

The

leader’s

md

think-

ing in regard to getting result. On that

the

basis

managers

(task-oriented) better

die

perform or

best

the

framework

new

of

1,9

for

information

findings

from

under

9,9

a

in

clarifying

the

research,

style,

as

ty’pe)

(country-club

conceptualizing

their

leadership

contrasced.

leader.

leadership

Blake

style

and for

cAampk,

Lnlbrtunately, than

quandary;

for

since

Mouton the

is

with

grid

prc-j>cnring there

concluded a

9,1

offers

any

little

a

tangible

substantiye

evidence to support the conclusion that a 9,9 sty le is most effective in all situations.'

Summary of Behavioral llieories We

have

described

ship

in

tle

success

terms

behavior

of

the the

in

and

group

factors

that

Martin

Luther

King,

die

group

19S0s had

<^nncctKui?

popular

behavior

identifying

tional

in

most

and

exhibited

Jr,

success

would

1960s.

Uliat

have

Would

been

born

in

1854

It

seems

quite

unlikely,

rhe

w'as

Nader

rather the

Tor

great

to

Unforninately there

was

1934.

consideration

of

behavioral

to or

was of

cx-imple,

risen

explain

patterns

dvd-nghts

have

than

attempts

between

missing

a

the

leader.

failure.

been

yet

of

relationships

or

Ralph

he

impurtanl

by

consistent

performance, influence

and

it

seems

leader lead in

in a

approaches

very litleadership

die

wc

situa-

unlikely 1<>00,

yet

consumer

(k»ta

leader-

Rica

he

activist

rather

have

chat

ilun

desenbed

w>uld ntrt clarify these situational factors.

I

hut Hl

Tbe Managerial Grid EXHI8IT 10-1

r

M»dcJ4o-oF-tKe-roa

&A Y m

Concern Ker people

1 I

Concern for production riMpovertebed fWmgernen^

maawcemcot J

Based w ai-nersinns tfesomed k R ft. B akeand J.S. MowWrt.Su-Wi"gfl OWnlcCwp^^ fttf Pe-v/wneji' (Head ng. W. AcM«on W^sir; 1SC9)

CONTINGENCY THEORIES it

became

that

increasingly

predicting

clear

leadership

to

riiose

!5uccess

who

was

were

more

suidying

complex

the

than

leadership

isolating

a

{d>eiwmcQ0<» lew

traits

or

preferable behaviors. The failure to ohmin consistent results led co a new focus on ’flt uationa! gested mtffc

influences, dur

siyk

suiuldc

for

I

x

he

rebdonship

would

im-nlinon

be

herween

appropriate

ant,

st\4c

i

leadership

under

for

style

condition

condirioi'i

c.

and

whereas But

what

effectivene^"' style

y

were

the

sti^

would

be

condioo*^

n, h, (, and so forth? Ir was one thing to say dial leadership effectiveness w-as dtpendett^ on the Mcuadon and another to be able to isolate those siniatiunal condi lions. Three goal,

and

gender that

contingency

theories

leadcr-pamciparinn.

as

directly

a

ccmtingcncy addresses

female leadership styles.

Wc

have review

variable.

gender,

an

received

the

bulk

each

this

settion.

Although expanding

in

tlicce body

Is of

no

of

arteation: We

also

sjKcific

research

Fiedler,

rake

a

ctmtuigency compares

path-

look

at

thc<>0

male

and

C’wpfw 10 Lewknlilp tnd O«Min, Thw

0^

The Fiedler Model

«.tx.r
bcl.evcd

riut

s..cc«s.

So

began

enh.p ated

an

instnunent,

rionnaire,

tor

rh.s

unplca^nt.

s^hcdier

ask<

docribe

Ae

the 1

what

respondents

the

to

the

rdamch*

a

one

of

ested

purpose,

S

Inr

pers<jns

poitive in

good

|»erson

tw

abonr

unfavorable

terms

(a

duebvin-and

thus

individnars

leadership we

situabon

requires

rebb(mshi|wirienred.

she the

16

others

high

LPC

work

contrast,

if

die

LPC be

laiiclcd

style

show

is

below;

this

either

the

Hut

in

die

assumpbon

situation

and has

is

to

is

lie

to

person

on

a

believed

that

h

tells

di^scribcd primarily

essentially

Fiedler

inter-

label

in

vou

rebtiveiv

pnmarily

interested

in

Fiedler

assumed

that

in

that or

it

the

proan

or

means

task-

that

leadership leader

in

desenbed

would

seen

•I

to and

than

wxs

because

modified

nl«Lnt/

had

was

k

(LPC)

quesuon-

relationship-oriented

important person

he

Fialler

you

diat

either

rhe

that

resjK»ndents

co-workcr

Nobce is,

rauog

lenns.

respondent

that

ever

if

F.«ller“e-

pu^ns

ha>

rc
lead-

as

or

co-worker

favorable

task-oricnieii.

(such 1

the

the

as.

and she

in

co-worher

adiccrives.

least-preferred

n

hip-oricined. by

about

IrasC-prcfcrrcd

leader

he

contrasung

then

factur

sn-le

adjeebves

with

more the

fi^ed,

task-oriented

of

with

score),

kev

basic

lions

orfcen,

co-workers.

co

a

least-pr^-fcned

reb

vo-u

score),

relatjons

low

or

working

tells

*at

contrasung

.sets If

hni

.s

suppornve/hosuk)

rhe /«xr

able

would

a

aU

describing.

least Io

.As

of

personal

rebbonship-oriented.

oriented.

or

theyre

are

of

sale

the

!ft

usk-cnented

chink

hr

(n

u

called

conta.ns

is

each

terms

out

ope.i/guardcd,

ro

said

Icadersbp

hnd

he h

person

pcrMin

basic

«,

wh.ch

re.}x>rnlvnt

sc-Jc about

liAnng

cftc.cnr/.ncffic.cnt,

measure naire

he

^mditnduals

if

a

posibon

is

replaced

if

upbmat ctfccdreiiess is to be achieved. After is

an

oeucssan*

indiriduaPs to

m.)t(.h

basic the

leadership

leader

w’ilh

shde the

has

been

sicuadun.

assessed The

through

three

the

situiioonal

LPC,

factors

it or

contingency dimensions idendfied by Fiedler are defined as fiillows: 1. Leader-member

rclatiotis:

I

he

degree

of

wnfidcDce,

crust,

and

respect

subor-

dinates have in their leader 2. Task

structure:

I

he

degree

co

which

the

job

assignuients

of

subordinaics

are

structured or unstructured J.

Poadon

power:

The

degree

of

influence

a

Ir.tdcr

bu

wer

power

«ria».les

»□<*

is

hiring, firing, discipline, promotions, and salat)* iDcrcases The nest step >» the Fiedler model is to c^■flluatc the situauon in reniis of these coniingencY variables. Lcader-memher relations arc either goixl oi ^usk «nxTure either hitrh or low. and position power either strong or weak Fiedler stated «bat the better the’ leader-member relations, the more highh stnimred the ,.>b, and wronger the posin.m power, the more control or mfltjen« the leader h^^ For 'Wnpk * ven- fak
of eTcSr-

b« amfidencr m him or her (good leader-member «o be d.xK-«M* as * age a-mputatiuo. check w ntmg. report filmg-are sp«hc

♦7

.» • •. ^nd iV.e H.b pr<wiJ*--s cousderaWe frccHoin to rev^ .„^r). On the othtr hand, an unfavorable J f voluntary Lnitcd Way ftjnJ-rai,j^ «ntro!. .Xhogvther, by nuaing the *2 •.

Grouw m th* and clear wsk and punish subordinates (s^ng ..tuadon might be the

W

ss+ich a leader could j^^ l ^^LPC and an abscssmcin of the three canbnUich Jmonded,^ J ' ,o^oi tnaiching them up to ad.Kte maxin,a« genj y «nab^, the F research, Ficdkr mnehtded that task-orientoj leadenilup erfecuteno - situations that were frry f/ii'oraMf to Them and in leaders tend .o perlonp.hihit 10-2). So Fte.lkr -ould predict ih« “I”" A'"d"'^eon I II 111 ■^‘U orVinsiniati<«n,ask-onentedlea.krsperLm Si'‘Rcladon.HT rel="nofollow">:<.;iented leaders, however, perform better -J nxjderatek Lomhie siruaduns-^aretrories TV through n. In densed these eiffht situations dotvn to three.' He nowjiays that wAmneniwI perfurmbest inriruwidi..*ixb high attdlow control,wdttlerehtmitslup-onentedk«J. cr® perform best in moderate control siiuadons. As Kiedler

a

whole,

mode)

evidenev

lu

lead

support

reviews ro

a

ar

of

(he major

generally

least

studies ±at

positive

sul»cainial

tested

conclusion.

parts

of

the

the

That

overall

is,

mtxlel.^

model use only dircc categories rather than the original eight,

If

dierc

validity of is


considcralik

predictions

from

the

there is ample evideoLt

in support Fiedler s coflclusiuiis. Bui dicrc arc problems tidth the LPC and the practical use
CXHIBIT 10-2 Findings from the Aedler Model

•“ Performance

A

— Task-oriented

Retaxionihip-orlented

Good

%

Pavorab^e

Category 1 « (IH teaderMviembe Good Good Good r i At ft relations High Low atruCTure Shortt ^VSfetf PMCiOn 1 c] power

MQ derate

Unfavorable

IV

V)

VW

Good

Poor

Poor

Low

VMak 1

Low

Wwlt

Sow

$

Poor

X

/ /

kJ 4bA Chapter 10 l-i'adw^ipandCwaWThin stable. Also, the c-xianRency variables arc mm, i to r.>tten diPficuk rn p™s^ce„z:sr/"^R>r pracfstioner^ rebtinns ^ircs bow stniciured theusk is and h.«. tbt’ leader-member nou much position ponx-r the leader has. Leader-Member Exchange ITieory

^avc you ever noticed that leaders ciften act

.1

have favoriu-;- That, in es.^ence, is the fouiuiatirm nf rhe lea
people and »^*uhange theory? •

the leader’s in-group.-people wlu.m rhe leader amount uf his nr her lime, and why art mnre likdv tni r^ri,-.

tnists u.h,.T .'"‘J'J'"'’' / ‘J‘^T'''’Portionate

followers foil inld die nut-group. Tlicv get lew iif th.? le M

Oilier

fcn-ed r^Y'.^ that die leader cnntrcis, and have fjrmal iiuthonry interactions. The Y<-n' pr< that early m the history „f the interaction between a leader

rwstn on

and a itJveai follower, rhe leader imphc.tly categorizes the folloaer as an “in’or an “one and that die re ationsh.p ,s relatively stable over time. Just preaselv how the leader chooses who falls into each categon’ is unclear, but there k evidence tJ^at leaders tend to

* . K .

chofKC in-grnup memhers because they have attitude and personaliT>*fhardcierisdcsthat 5»re sunifar co the leaders or a higher kvel of competence than out-group members. Scudie’i confirm several l.MX theory predicnon^; Leaden du differennate among followers; these disparities arc hr from random; and followers with in-group 5wnis have higher performance ratings, lower turnover intentions, greater satisfaction with ±eir superiors, aud higher overall sausberion than those in tlic out-group. PathXSoal Tlieory Currently, one of the most respected approaches to leadership is the path-goal theor\'. Developed

by

Robert

House,

path-goat

theory

is

a

contingency

model

of

leadership

that extracts key elements from the Ohio State lendership research on initiating siruclurc and consideration and the oxpuctancy theoiy of Tnorivacion The essence of the theory’ is char its the leader’s job to assist his or her followers ill attaining rheir goals and in provide the direcuon or support or both needed to ensure

that

their

goals

are

compatible

organization. The term

with

the

overall

objectives

of

the

group

or

is derived from the belief that effective leaders

clarify the path to help their followers get From where they arc to the acluevement of their W'ork goals and make the journey a king the path easier by rei ucing roa blocks and pitfalls.

..

According to path-goal theory, a kader^s behavior is the degree 6at it is viewed bv ’hem as an immediate source o satis °

to .*

of 5a«l.cu„„, .,1 1.0
makes

subordinate ,he

need

,

t®"' satishiCtion

contingent

on

e

ccinc

goidonco, suppo^ o„d

Ovc performance. To test these statements, House rhe Jfrrrru’e Zwrfer lets subordinates know' what H expe l« done, and give, ,pacific guidance

^fthem. schedules work to , dimension

^ly parallels the Ohio State studies initu S This dimension is essentially ^’^dly and shows concern for die nee
|

tartIR &oup in the OrganiMtj"”

W

• u .h. nhin State studies’ consideration. The synonymous with Oh suegesrions befr>re making a lieasion, Th,^ ) insula «W«-r«r«.-«r«««erfi<»dfrse.-sfhal^ng ng^^ behavior, Mouse assun,"

.,H=ble, rh« .noderate *, fader beh™or-oafa»n= rehnonsb,,. fh,,,, in die

are outside the o.iitrol of the leader (task strocttire. formal auihori^

system, and u^rk group). Factors tn the second class are part of the personal characterisucs of rhe

(locus of c-ina-.)], esjwricnce, and percxi\-cd ability). Essentially,

dK thcorv proposes tlun leader behaviors should coinpleraent ihcsc contingency variables. .So rhe leader will be ineffective when his or her behavior is redundant with sources of enviroiuneiittl structure or incongruent wirh subordinate characteristics. The following are examples of hypt.-theses that have evolved out of path-g,)a| riieorv. • Djrecnv’e leadership leads lo greater sausftiction when tasks are ambiguous or snetful dial I when thev’ arc highly strucnired suid well laid out.

Supportive leadership results in high employee performance and sausracuoii when sub* ordijutes

are

perfonning

structured

tasks.

(Lxadership

complement

■ Directive leadcrsliip is environment.) likely to be Ledundanl ajiiong subordinates wiui nigh ability’ or with considerable ^perieace.

■ The dearer and more bnreaticradc the fornxal au±ority rcladonsiii|K», the more leulers should exliibit supportive behavior and deeiiijihasizc tiireceive behavior.

■ Directive leadership will lead to higher employee sadsfacrion when there is subsian' tivc conflict within a work group.

EXHIBIT 10-3 The Rath-Go a I Theory --------------------------------------------

A

/• ------------------------- -X Environmental contingency Factors • Task structure • Formal authoney system • Work group

Leader behavior ) «Directive ' • Supoorrrv# •

Participative

L

f ------------------------- s Outcomes > • rorrormanco • Sedsbetion i

J Achievoment-orlgfned

V, ___________ [ Subordinate contingeficy factors^ :

* Locus of control Experience Ptreerved ability

J

Ch^ir 10 LvidcnhSp and Creathii T Siib-»rdinateswirh Jin internal locus of cnntml/rh 4. OW’D destiny) will be mott satisfied with a Relieve they COOTTO) their ’ Ptninpaovp st\ic. Suhordinaws with an cxccml locus of con&nl u • Achie^TinenT-onented k-jdershin will incn>^o. -,.u 4 u. "»«« wiA , Arectiv. Je3d to high perfonnance wfc.„ Rc^arch rn validate hypotheses such as tK^. ^„.x.

supfxtm .re

^asfentou d^gs

Che

logic

likely

lacking

m

ro

either

underlying

be the

rhe

,»s.uvely employee

u theory

influenced or

the

That

is

when

work

"npio

the

setting.

^X^t^fncel^S

leader

Hwem.

?o.np««t”

the

leader

S w5^

.peuds time « x,.laming tasks w hen tht«e tasks arc- alrea.ly clear or when the employee has

the

ability

and

expenence

lo

handle

them

without

interterence

is

likely

as redundant or even insulting,

to

be

seen

'

Leader-Participation Model In

J973

Victor

that

related

that

task

leadership

smitTures

researchers Vroom

and

should

be

makings

Vroom

in

determined

incorporating

leader

IIKHICI

followed

seven

and

varying

that

Yettnn’s

Phillip

behavior

have

argued

as

ind

behavior

was

developed

participation

demands

for must

norruadve—ii

determining by

Yerton

the

different

cy-pes

contingencies

of

{whose

routine

and

adjust

to

and

a

situations.

making

J

nonroudne reflect

the

sequential

amount

rcleviUive

leader-jwrticipation

decision

in

provided

form

a

of

The

task

set

IK

was

Recogniimg

activities,

of

jKirricipacion

model

could



model

a

identified

these

struci-ure. rules in

chat

decision

decision by

tree

malnng

‘^es" or “no” choices) and five altemaavc leadership styles. More model.The

work

new

the

by

model

making

leaders with

recent

the

group

V^ruom

retains

decision

and

and

the

Arthur

same

completely

developing

a

Jagu

five

by

resulted

altemaDve

himself

consensus

has or

in

a

leadership

hei’scEto

decision—but

revision

of

this

swles—from

the

sharing

expands

the

the

problem

contingency

I'ariables to 12. These arc listctl in EKhibii 1fl-4. Research been

testing

encouraging.

manager puter

to

use

program

both

But» on

to

a

the

original

unfortunately, regular

guide

the

bxsis.

managers

and

In

model fact,

through

revised is

Vroom all

the

Icadcr-parricipation

far -and

too Jago

decisi<m

complex have

for

models the

developed

branches

in

the

has typical

a

com-

revised

niixlel. VVe obviously can't do justice to the moclcfs sophistication in this discussion. What’s important, however, is that Vroom and his associates have provided us wit **ne solid, empirically supported insighw into contingency variables that you should consider when choosing your leadership snle.

(lender As a Contingency ^nd Females Lead Diirerently?

Variable:

Do

Males

extensive review of the liter.cure suggests two c<«ci™ •^dership First, the similanhes between mens and womens ieadcrsh.p «"d “> ***r»ciph the differences. Second, wh.t differences dtere •«>*n

prehT

’ Arectn^ >n4e.

a

democratic

leadership

style,

whereas

n.en

feel

more

comfortable

w,th

•<

Gnrtfw «cbc Ofwiiatiw EXHIBIT 1(M

CantingencyVaiiabtes in the Rewired Leader-Ranidpatk>n Mwbt

Immwtance nflhedewiiHi 1 11H mlinate crtmm i wnr niio t he ikcwwr . suttiouin inl^rf’maiinn ui c«*aU a |«xl decwnn 2. ehc Impona«eo/n)»»imnp« 3. i Hnu *i.ri tiiwniml die ppyblom ts 4. Whether ail wwcntk- dcc-.siun would rc hm.t sabitriUtiaw uisukemcnt 11. V^Tiethcf evsK ui bringing .bsxrscl ^ibunbnaie. u.geiher err 12. pMi^ed Snorw BAsftd on v.H, Vfoom aM A.S. Jafc, We Wew tewtenh-p: ftre«awtoi^ lo to Che leader of minimixing the dme ir take^ to makv the decision 0/^»a«tof$ (Upper SMOIQ Iri.p.iri^nc^ ircing {Mink'ijMihwi cool V.H.Vraoiii for Je»xloping Rluer.HJ: PnwceofHaH. 198S). PP n M as I2;a liiid andsubordinate W Yettan, tfliWws/J/p dwsion skilk enrfOwisraft AfaWflg (PHttbuffr Uni-«ci> o( PlTS»gn PKSS 1573). p. 154 Reprx'teP bv perffihslon of We Unkersity of PttsbufB^ € 19/3 by dniwilty I'he similannes among men anti women leaders shouldn't be completely surofPinsbufSA Pic^

prising.

zAlmosc

being

all

^yiiunyiiioiis

cnil

populauoii

the

swdies

with

leadership.

don't

tend

co

organization

selection.

Just

as

engineering

have

People

wiili they

lol

rraits

sociabiiin*—are which

a

can

to

organizations

pie

project

who

achieve

people

with

to

gender

’Tins

is

The

posiuuns

and

in

co

is

that,

organizations

to

or

civil

careers.

of

be

and

careers

regardless

leadership

tend

and

confidence, pursue

regartlless

gen-

lection

managerial

intelligence,

into

lhe

enforcement

choose

nowadays

posinoits

in

self-sc

law

who

promote

result

career

in

as

managerial

apparent

encouraged

true

and

of

careers

-such

leaders

used

differences

individuals

leadership

recruit

have

Be<.*ausc

choose

do

as

issue

Why?

who

attributes.

leadership

this

such,

so

leadership. tend

at

cvideni.

perceived

leadership

formal

As

common,

be

exert

Similarly, who

in

he

associated

likdy

Inoking

of

m

gender.

positions

pco-

gender,

those

more

alike

dun

in

the

different. Despite inherent

previous

leadership

share

power

prefer

to a

st)des

and

lead

interpersonal u.e

the

directive

lo

p^inon

Inr

ever,

t

ndings

more

demot

App^arent pre

ereuces

rheir

rauc

y.

group so

and

indusioa infiuence

ai

than

in

norms women

rely

others.

style.

and

their

their on

7

when

Women

the

followers*

other

rely

hand, onr

.styles

.ire of

leaders

in

such

of

override

jobs

and

how-

leaders

male-dominated

to

to jobs.

personal act

more



m

^y7or«

likely

authori^

female

autocratically.

between

mure

and

conclusion,

for m

They

contacts,

formal

first

lendcnttv

women

are

the

participali(Mi,

self-w'onh.

expertise,

on

with

he

differences

encourage

charisma,

stereotypes

feminine

some

enhance

Consistent

masc'oline

abandon

to

They

ijualified.

declines

indicate

men.

on

.Men,

ba.se.

l^e

males

and

attempt

and

influence

need

f^iudies

women

command-and-corurol

their

esc

of

information,

through

skills

conclusion,

hisioncaliv held the great majority of leadership position* rnfn^

J

tanpting

to

assume

that

ihe

existence

of

the

noted

automatically work to favor men. h doesn't. In

today s orga,uzatmn.s. ficxibihty. teamwork, irusi, and informauon-sharing are repb>

difference*

10

npd siruu^rcis competitive individualism cmw, i □ fi’^Tcn to. motivate, and prm', ’ * i „, do rh<«e things Iwncr than men. 4s a specific Ii fiincniinal teams in organizauons means that ncvod«tors I’hv leadership styles Honiun iVDicalk . «„gd.... ...cn, «, they „<• l„. Hl.,, „. f.^u. ,tXri;:Z‘ Xh. -.her parn- a .inner ,n .K

Ciwirw' '•B

*omen seem use of cixw’’’UM ktome skillful “ "jr -

TTtAJTTHEORfES

UPDATED:

CHARISMA riU LEADERSHIP ,U.«,

o(

tade«. p«,,s

the J

k;..krsh,p

hes^

by

c

lowers

ho,.

who

and

followers. VVinsKm this

latter

bj-

raising

to is

1

nr

By

and

transcend

capable

Churchill, the

gt.idc

role

hew

type.

di«

people

anfy.ng

j„,p.reUn

(heor.e^

of

...s<.
task the.r

own

having

a

chansmatu

(.eneral

Doughs

sense

he of

force the

of

this their

reqv.temenrs.

arc

i

in

have

hdlowen

in

There

self-.nterests

profi,un<| or

and

their

is

fdr

personal and

value

the

the

abilities of

their

.hrection

of

effect

D.

they

leader'X

the

oreanwa-

his

or

Jes.se

“I’d

ihcir

walk

her

Jackst.ii

R.Kjsevelt

transform

tasks.

oXui^

of

on

leaders

Franklin

tntnsactiond

npe

good

extraordinary

and

involved

another

transformational

MacArthur,

iniporrance

chapter

are

of

followers

through

fire

if my boss asked me” is the kind of sujiport th.ii eharismatic leaders in.spire. W'hat characteristics differentiate charismatic leaders from noneharismattc ones? Five artrihurts seem mcist inipomnr^ ^ Se^-c^nftdefh'f: I hey have complete confidence in their judgment and ability. -4 i7J7OTir 7'his is an idealized goal that proposes a future lx tier than the status quo. The greater die disparity between this idealized goal and the status quo, the more likely that followers will attribute extraordinary vision tu the leader. Ln//v/ctio/f.f sinmgly

efjinniitted.

in

rhar

'fhey

i^hfon:

are

(Charismatic

ptrcei\ed

a.s

leaders

willing

to

are

take

perceived

on

high

as

personal

being risk

incur high ojsts. and engjige in scIf-sacrifice to achieve their vision. Evm/ort/wf/n ceived

as

bchifviQr: novel,

Leaders

ujKonveniional,

with and

charisma counter

engage to

in

norms.

behavior VVTien

behaviors evoke surprise and admiration in tollowers. /wj(p iti a chitfifTf agenr. (;harisminic leaders arc perceivetl as agents of radical change rather than as caretakers of the status quo. WTtat can we sav alxiut the charismatic leader’s impact on bis oi her fidlowattitudes and behavior? One stmly found that followers of charismatic leaders *prc more self-assured, experienced more meaningfulness m then work, reportei supp,»n fr„n, their leaders, worked longer hours, saw thc.r leaders as nK.ru ;?’»m.c, and had higher performance ranngs than rhe followers of nonch n nc vffaine leaders^- Another study found that people working were more productive and satisfied than those working - J ‘^a^d on the more traditional transactional behaviors of ^^Mderation.'- Two studies, of c.iurse, provide unly luw^iJ .o generalize. V\e need m.n e research on this sub.cct, but the carh • ^'tiuraging.

chat

is

successhil,

perthese

------------------------ ——1

'W*'' m
i^cBr*. aftJ f^xMtfCO M nukx st happen.rSL^ Affcs tn-n odKf Rxms a«eu<*-«ung m several wa>v kKdar »>< ct-Rwatns inw^r. dut ofler- m oa^aij diX?L t^J«M«>. *nd c««n«-o »

«> improve. MEKII

aJ^X tatbiisiasm «h»t pwiJe ha« h* spornng ev««s an*!i other ktant Ba« Miriries, hmwins the c«w «<» commitnwit «» J*? »x«tpb«,-Ibe Ln is««>erties of a >-i«« seem to be mspiranonal possiUhties that arc «h.;-«fitcnid mJ reabnlJe mJ ha« superior imagwr and aniaJiQo^ VKW« JMIUM be able to create ptwabihucs that are mspiraboiul and unique ami oftw a « and demoosmbh better for the nrgMuxawo »d te rnrrnl^r^ Dcmbfe viswos fit the dmo and arcunisunccs and refleet the ODKjBeoess of the unranizarHVi. People in rhe urgaruMOvn must also heliet'c that the veNQ is attainable. It shewdd be pereenw^ as chalfenpng v-et doal>k. \'isions that have dear anienhrinn aod po«TTtuJ imagery are nH>re ca^y grasped and aevepted. XXTttt are some examples of viaoos? -Mary Kay Ash > vision of Mx>men as eooepmeurs

seUn^

onptfiy.

Jidin

voris

can

prodoers

dur

Oiamber^

trausforiii

improre

CEO

busines

their

of

Cisco

hnrr;.

And

sebF-image

Sj’smns. Steve

is

ga>*e

impetus

creating

Case*

the

a

CEO

to

\T$ion ot

her of

AOL,

eosmetia how

oct-

envisioRS

hs

frtn leading the tnittnnation ncsoluiion b)* merging .AOL with Time M anter. M*hat

skills

do

visionaA*

leaders

exhibit?

Oniv

rhe

vision

is

idendfletL

these

leaden appear to ha* e three qualibes (hat are related tu effocti* eness in their viMociarT Fwsr

is

the

abdin

to

aq)laiii

the

vision

u>

others.

Ihe

leader

needs

ro

make

the

vision dear in terms of required acticais and aims through dear oral and uTitten cunimtuucatKNi. Second is co be able to es^mss die n$i4Xi not just \*
behavior.

fcree

the

\iskin.

ship

amun^

Ths

This The s

requires third

the

behaving

in

uav-s

still

is

being

able

to

abihty

to

order

acth'idcs

rfut

extend sn

Ae

conti&ualK* Ae

nsicn

vision

njn*xy to

can

and

different he

re®’

leader-

apph^

*

*

raricty of snuanom.

TEAM LIADERSI UP uxretiiAgi) ukii^ fdice wtrhia 3 team conreiL L’nfonunatvh*. an.. n<w cqwppcd ro h^dte the dungt to teams. .\s one prominent consuh* flR rh^

^fwbk Qunagers ha%e tnxible nuking the tran^noo heo®^ en«x«^ to Jo hefurt *

, ij , 4nod>er 15 percent could never lead a team be«u«. . rrhcy’re unable to •rt,e,i dicres ihax huge group io the iniddi,.. Te^./i ..T

MptWIO LeadershtpandCreatiiia

sublimate

their

Iriisc 143

doniinatinr. W””!-

to dien't ^ndership dciesift conw nucundly The chnJ kngv Ixkr mosi nianaffcrs, thvn i. r^dfit leader. ’They hdKe to karn skills such as th/^ J*' to h^txinw an effccuvc -'‘^nuation, to

SM others, LO gn-e up audutrity. and undeimXX

‘’"u^ ‘"'‘^tvene. Effeedve

leaders have mastered ihc difficult bahncbie act of I,, XS

ond

when

flomer M

to

int.-rccdc.

New

team

JdeS

aKinbcrs need more initonomv
Sav^'

w>ntrol at

X w^en rhe tea... needs s„p,vvrt and h^



«

A snidy of 20 organizations that had reorganized tbe.melvcs nround teams «nam common responsih.l.ttes that all leailet. had to assume. These inX.S coaching, (acliMring. handling dBapi,nary problems, reviewing team/individt.al ue,fonnance, traimng and commuucat.on.^^ Many of these responsibilities apply to managers in general. A more meaiiingftil way to de^n-ibe the team lender's job is to fpcus yn rwo pnoriries: managing the team’s exienial boundary and fadlitating Ac ream pjx»cess.' We’ve broken Aesc priorities down into tour specific roles, first, ream leaders arc //flirow tivr/; nwnagement, die honi

team rtf

odier

ccn^tfni^netes, These invUide tipper

internal

teams,

to

odier

constituencies,

the

team,

gathers

eustnincrs. secures

inibrinatitm

and

suppliers.

needed

resources,

from

Ac

outside,

‘I

hc

leader

clarifies

and

represents

athei-s'

shares

this

e.^pectainfonnacion

u’iA team members. Second, ream leaders are frrrwWt’'.?Z»'?r?r
assistance, rarclv

hpically Ac team

lalk

stituencies. its

relates

know

leader

team

is

to

more most

ihrough For

leaders

.sir

technical about

likely

Ae to

problems,

instance,

when

team

leader

took

to

upper

management

case

in

on

meetings

or

operation

tasks

being

contribute

is

and a

by team

responsibility and

for got

issues. done by

an

try

Why? than

approval

resolve

Ac

problems,

the

team

members

Because rhe

penetrating

needed more

to

does

team

firm

staff.

from

(ound He

through

leader.

questions,

resources

aerospace

getting the

help

asking

getting in

and

helping

external

itself

Ac con-

short-handed,

presented rhe

Where

die

team’s

company’s

human

resources depariineni.

.iui

Third, team leaders are cor/fiict nidtMirar. WTien disagreements surtace, tJicy help IXGccss the conflict. W’hai’s Ae source of the conflict? Who is involved? What ai e the issues? VVhat resolution options arc available? Wnt are the advaniitges and tapes of each? Ky getting team members to address questions such as these, „

minimizes the disniptivc asirects of intraieninfonllicts. Finally, team leaders WP«n;,

cheerlead,

They danfy expecmtuins and

whatever

else

is

necessary

to

help

team

their work perforniaiiee.

IS LEADERSHIP ALWAYS RELEVANT? <-'nttrarj to the emphasis in this chapter.

"XmaX'sin.ationi what-

Ihia from numerous studies collectively demonstr

organiza-

2... .. *

behaviors leaders exhibit are ?L±J± Z’che’ffinnal leader’s “«»l 'iriablB. can a« as sulKtitutes lor leadership, neganng

tatW

1”'”“ •" -1 effectiveness.-'’ .^-eristics of ^uix.r.linatcs sudi » experience, training, ’ c '?Tenrari?.n or need for indcpenticnce can neuaalizx; the effect rt or ability u, '‘’^'Sid^'d.KX task -ambiinikv. Similarly, pc-k’l'' )<->« ^'c inherentj, ate smirtun. an .ntrinsiwlly satisfying may have little need f,< , leX Siv tiranisationa) characteristics stich as expllctt fornuhzed girals,

rigid

X nd proe'edur'es. or cohes.t e work grou,« can act m the place of formal leailcnhip. Thc^rcccding

comments

sttbsequen;

chapters,

roented

have

of

to

the

an

leadenhip

explaining

guided

leader.

It’s

another tions,

goal

it

may

he

independent

employee

tended

behavior.

sorpHSing,

to

too

siiuphstic

therefore,

recognize

variable

contribute

in

a

on

explaining

lol

and

an

solely

toward

ail.

variables

place

It’s

to

Alter

performance

accomplishment

important,

iiidependenr

on

have

predicting &>

not

introduced

impact

concept

and

being

wc

should

undue

the

to

have on

of

the

and

been

d,^

siipp.nen

vanahle

fee

sulwrdirwa

as

behavior

leadership

Itehavior.

employee

2

Yet

this

consnler

that

organizational

(.hapter

satislaction.

l>asis

explaining

that

htink-n

explicitly

.n

of

is

In

their merely

some

productivity,

situa-

absence,

turnover, and satishteuon; but in other situations, it may contribute litde toward iha

end. Even die

media

zadon

think

tliroiigh

ordinarj' the

chirismatic k

a

now’

autocratic,

and

than

merit.

they

is.

ends,

conditions

cri.sis

kadcrdiip

but

becomes to

These

noi

Charismadc

return.

given

xnay

thev The

be

leaders

often

liability.

thinking

that

l>ehaviors

panacea

may

pcrfc»nn

forceful,

a

ihc

be

Charismatic

then

tend

many for

after

the that

managers

are

have

drive

a

good

in

the

pulling

behavior

opinions to

ideal

pxirly

confident

their

that

a

cnsis was

people

gruup

subsides needed

often

greater

public

or and

during

self-possessed,

degree away

and

of

and

certainty can

lead

their organi^aticms dow n dangerous paths.

TRUST AND LEADERSHIP Trust,

or

reiudinder

lack of

of

this

trust,

is

chapter,

an we

increasingly define

what

important tmsr

is

issue and

for

today's

provide

you

managers. with

some

In

the

guide*

lines for helping to build credibility and trust

Miai Is Trust? IriMt is a positive cx|)ectatian that another w ill nor—through words, actions or Sinns act opportunisiicallyz' The two most imfxirtant eleinencs of our defifti6oo>> that jt implies fomiiiariiy and risk. The phrase f^in t apectatiun in our definirion assumes know ledge and familir' 1?™’;*!“'

« a bistory-dcptndeni pnx-xss based rm relevant bet

I o experience, fr takes rime to fbnn, building incrcmentallv and actumuiatingi Most of us find it hard, if not impr«sihlc, to trust someone im^ediarcl) i/

matures

we

gam

confidence

tn

our

ability

to

tiwrii ™ng reboonship. frust mvolvcs making oneself vulnerable as uh.„

have

a

pr^itive

ttsk anT^er^khiv in «>

expecution

ClM0crlo we nnunatc in.bnnanon ..r on BUS. pr-v-Je' the opi’t’rtuniiy fo,

»»KKhep^ pfWWM. Hv i-

■»«,

tni« n<>( fating rist per sr rather someone, 1 expect that they will „<>[ ,1'' ® Unaf arc the tci

’*5'>e« to>

.

dertce has i
jxnxrpuon

,,l

®”‘

M

ai<=

others

co,”

^
’noOier's

trust Ijnl mcanmeicss.

en

indivuluars

technical

••Mrth"*

Wsry^vnhine^s

h.mestj,-

encompasses

con<^

’’’ dimensions .k

charaV^'''^

-mor,!

the

and

dimensi .tTf

inrerpcnsonal

knowledge

and sblh. Df»es rhe person know what he or she is talking abouir You’re unlikely

TO

listen

to

lo

or

depend

helie'*^

on

soinc«»ne

whose

abihhci»

you

don’t

respect.

You

need

person has rhe skills and abilities to earr)* out what he Of she says

ihc) mil do. Ctznfnfwc' in

handling

This

relates

situations.

dimension

qoickb*...

than

is a

TO

an

indisiduafs

’’Inconsistencies

particularly

discrepancy

predictahilit),

between

words

for

managers.

relevant

between

reHabilirv.

what

and

executives

and

acnon

“Nothing preach

and

good

iudgmeiu

decrease

trust."^^

is what

noticed dwy

more expect

their 3.s!Kx;iaic.s to practice.*’^ LoM/fv

i**

the

willingness

to

protect

and

save

fece

for

another

person.

requires that you can depend on Mimeonc not tu act op]xtmmjsucall>; The final dimension of trust is the full truth?

EXHIBIT 10-5 Trust Dimensions

Can you rely on the person to give you

Trust

tart Bl Grooptir the Orgmiw^rion

Ihist and Leaderslup

,

with kaderslup. - WTwn fi.llowe„ willing w be vulnerable t<) the Iwder’s uvuuns^unfid.-nt n^si he abused. People are unlikely to bok up u. or fo|l.« their nxhL'pereeise- as dishonest or who is likely to take advantage <.f them, h , ...imiA- iltrihute

^"v kJ .n.sumi,^-..si.srendy ranks at Ute r-tp of ntost people's kst of c^.ra^ oes UieJaihnire in d.eir leaders. “Honesty is absolutely csst-.t.iai leadechip. II S arJgouig to foMow S'«ueonc willingly, whether .the into l«tUe or^to rhe b.«rdnioin, UKV Lt want m assure themselves that the person ts worthy of the.r

Tliree Types of Trust There

are

three

i;r«i7eJw-bajed, are

enrenng

thev're

npes

ami into

tn.st

in

new

about

relationship.

each

other,

organizao.tnal

‘^The

;JeflZ»/?w««»-ba.scd.

a

vnrerniin

of

They

they

rdationshtpsi

following

have

no

believe

analysis

preenons

they’re

rkrerjrw.-f.lwsed.

asst.mes

two

ex(KTiences

vulnerable

if

ro

they

panjc*

mcrewne;

dtsclosc

too

much roo qnicHy; and Uicy’rc uncertain about the longevity of die relationship. Dcterpcnce-Based based

trust.

Trust

One

The

violation

most or

fragile

relationships

inconsistency

can

are

destroy

contained

the

in

relationship.

deterrenceThis

tnrmof

misr is based on fear of reprisal if tlie trust is violated. Individuals who are in this type of

relacionahip

do

what

they

say

because

they

fear

the

consequences

Irom

not

fbllow-

iiig through on their obhff^fions. Deterrence-ha ajnsequencc-s

air

irusi dear,

To be sust^ained, weigh

the

profit

daJly harmed

uni and

I

work

die

only

lo

puiiishiiiem

the

is

degree

actually

ihni

punish

imposed

il

mem

die

is

crust

possible,

is

violated.

the potential loss of ftinirc intcracdon with ihe other party must outpotenrial

part)’

must

that

comes

l>e willing

from

co

noJadiigcxpcctadotis.

introduce

harm

(for

aVtorcover.

example.

I

the

poien-

iiu

qtialins

haxe

about speaking badlv of you if you l^efray my trust J to the person actins disirustiagly. A'losi new relationships begin on a base of deterrence. ’lijke, ab an ill us tn linn, a situation in M’hich you're selling buyer.

You

the car car

be

morivated

that you know

and

share

might

securing

the

cars

the

flaw^.

your car to a friend of a friend. You don^ know to

refrain

from

telling

this

buyer

ahour Such behavior would increase highest XYhy?

price. Probably

But

yi>u

don’t

because

of

ynur

withhold

fear

of

all

the

problems

chances of selling iiiformarion.

reprisal.

If

You

die

the with Ac

openly

buyer

later

rfiinks you deceived him, he is likely to share this with ynur mutual friend. Ifyou knew Ail

the

to

take

your

buyer

would

advantage

inunul

friend

of

never rhe

would

say

any^iing If

to

nppoi

runity.

chink

considerably

the

ii’s

inntudl

clear

less

of

dur you

friend, rhe for

you

buyer

might would

taking

be tell

advantage

tempted and

that

of

this

buyer-friend, your honest)’ could be explained in deterrence tenns. Anudier example ot deterrence-bxsed tniM is a new manager-employee rebritwf shi^ A« an employee, you typically mist a new Ixss ev cn A< nigh Acre is liltic experiviK^ to Aar trot on. The IJOIHI that creates Ais trust Hes in Ac anthonn’ held b Ae and Ac piiniAment he or she can impose ifyou fail to fulfill vour job-related oblipdons. iOiwIedgc-B^ Trust .Mow oi^izational relationships are nKXwJ in LncMt'ledge* Aat is. ti^M ,s bas^ on Ae lx:havioral prcdiaabtlitv Aat comes from i I' when you have adequate .nfonnabon abtxut someimt lo untieretand them well enough to he able w a«^rately predict their behavior.

• < »

,, . . Knt.wledge-based trust reli« „„ • , ,;n,«vle
Chapter w LoderAip .nd party and predictahilitv arrangumejns nv.re n?” *’r

•| h»^ drvel(,pi» over dint, hrgeiv a« « 0)ftfidcn< c of trustw<»rthincss .md prcdictabilkv

Ihii

of r‘'««’Ten«. 7\replaces the

ueUTrence-basvd Wu«. ’'^€’|*ncnt:e dut builds **’««**•

ntopc acnirau-ly you can predict what he w she wil! .fd.c otherpredictably violate rhe it ustcin be predicted! The niore i n™,. voc have with Mmicoiie else, the more this forn jepended on. InrtTx^stjnglv, jt dw krH>viedce-ba^d b.i-ri . ■

untrustuoX-i

Prcthetalnlity ’^ai thf'>6er mterac’■« develope.l and

enhances

,„^ns..em bebav,or. If yon hc.L yon another, apparent colaco,,, you can accept it. forgive the person and move cut in the Har».nsh.p However, the same inconststency at the deterrence level is likely tn inev4k.'ahly break the trust. 'In

an

organ,rational

knowlcdge-bH^ed. th.ir

the)’

Both

knnu-

what

context,

parties to

most

have

expect

A

manager-employee

enough

long

experience

history

of

relationships

working

consistently

with

open

and

are

each

other

hon«r

inter-

flcrions. for instance, is not lihck to be jxrmanrntly destroyed liy a single violauon.

Idcnrification-Based cmuiinnal the

other

xdefid

conneetion and

Read

intenliuib

Trust

I

betueen

Mih.'juniie

on

and

he

"based

highest

the

fur

piirnes.

that Trust

the

other’s

of

h

person

trust.

appreciate

level

trust

allows in

exists

one

achieved

party

iinerpersonal

because

wants

is

and

ihc

lo

act

there

as

an

uiulcrstand

This

mutual

is

an

agent

tor

This

transac-’tions.

parties

dcsire.s.

when

k

each

called orher’s

understanding

is

developed to the point that each cm effectively act for the other Cnntrob

are

minimal

at

this

level.

You

don’t

need

to

inonuor

the

other

party'

bnause there e.visrs unquesrioned loj'alcy. The coupk'.

best

example

A hiisbiind

of

comes

id to

cnufication-leased learn

whafs

trust

important

is

to

a

long-term,

his wife

and

happily and

man

cipaces

led

those

anions. She, in curn» trusts that he will anticipate what’s imporf.ini to her without having

to

ask.

Increased

idenrillcation

enables

each

to

think

like

the

other,

feel

like

the

□(her, and respond like the other.

who

You

sec

i
have

worked

together

for

mist

long

occasionally

periods

of

uine

m and

organizations have

a

among

depth

of

people

expenence

dui allows them to know each other in.side and nut. This is also the type of trust that mwagers

ideaUv

seek

in

teams.

Team

members

arc

so

comfortable

and,

trusting

ol

-^ch other that thev can anticipate each other and freely act m each odiers ahseiuc.

How Do Vou Build Trust? M-gets who have learned to build trusting Prauttces. The following suminaiires

what

y«.u

can

do

to

cmuLu

these

'tuiugers.*’ „ Pranue opennra. Mistrust comes as *hat

they

do

know.

So

keep

Vi #r„.n what people don’t iotow as from [^rrain the criteriahow people

•fceisums- are ma.Ie are overtly clear. candid about pn.ble.ns, and fully disclose relevant

into

,

rationale

for

vour

decisions

be

Groups m the Or^iuQon

S^crivc

an.1

imp^rdul

in

JK.

fcn>i.mce

appr.-.als,

.nd

pay

attenunn

to

eq,u,y

'

?;XS'S^Sl-S'XS>nv.^ only h.rd fact. con. acn^ as col^, St Ll-'you share «,«r feelings, others w.ll see you a.s and hu.aan. Thtjwill kn..« who vHu are and their rcs[*« for you wjlhncrcase. Tell rhf mub. If integritv is critical to trust, you otust be {.rceived as someone who tells the truth. People are geneiaUy more tolerant of learning somcthlog they “don't want lo hear*’ than finding out that their manager lied to them, SZ-ru n-zwtrfeno- People want predirtahiliiy. Tate the ume tn think about your values aiKi beiiets. Then let them consistently guide your decisions FtdliUya»r So

ii-ust requires that people believe that you are dependable.

you

need

to

ensure

lhat

you

keep

your

word

and

commitments.

Promises

nudv must be pn)nuscs kept. Mfji/ft/ffjf can fit

iwfiileaees.

rely. fence,

People

IfiKople I

hey

make

need

trust

those

themselves

to

feel

who

arc

vulnerable

assured

tliat

discicct

by

you

and

telling

you

n
diseuss

will

uptm

whom

something it

they

in

with

con-

oihcrs

or

hvti’ay chat confidence. [kwfirjmuf srr^mnff

C0»rpefme. technical

Develop the

and

a dm i rati

professional

ability'.

on

and respect

Pay

particular

nf

others by dcin^ir-

atreniion

to

developing

and (iisplayinff vour conmuinication, negotiating, ami other interpersonal skills. IMPLICATIONS FOR MANAGERS

The

topic

leadership

pers-peedve.

ovcr\’iew among

of

the

what

leadership

certainly

does

dieories

it

all

and

doesn’t mean?

anempt

lack Let’s

to

for

theories.

cry^

to

detenninc

But

idendfy*

wdiat,

from

an

commonalities

if

any,

practical

value the theories hold for managers. (Careful often

examinaiinn

expressed

in

ing—permeate

most

Fiedler,

bur

it

group,

“directive”

Michigan people

task

nf

by

Clearly, and

gets

name

and

leadership

people—Inn ewn

ends

other

not

on

both)

the

concepts

diat

hold

I'he

task

dimension

of for

treatment,

“initiating

can

going

shi-unk t,,

ot

voiirinuuni

(you

or

two

independent

and the

called for

same just

the

Blake

and aliases

mean-

that

dowm difter

to

State

by

the

Mouton.

The

ns

a-;

could

be

dimensions

(vou

two to

high

•\onsidct-

ctnild

'

Jute ^en shown, over tuiic, to be modest predictors of leadership effectiveness. But the ra« that a manager possessed intcUigence. drive, self-confidence, or the like would no ^ans assure us that his or her siibonlinates would IK- nnMlucQ« le.den4.lp .

lead-

dimensions— whether

on

by

Ohio

“relationship-ortentcd”

How iJiould we interpret rhe findings presented ,n dii.s chapter? Some traits

X’"*-"

‘‘people’’—

orientation”

such

ur

uomiiiue

single

is

by

under

ixscarchcrs a

substanuaiiy stmciLire”

production”

be

“cask'’

“production

“employee-oriented” behaviur

of

terms

.supporters,

“concern

similar

arc

Inw on bodi).

the

path-goal

oncntarions but

theories.

and

siipponive.’

that

elaborate

the

by

researchers,

arion. ership.

more

goes

dinicnstun

discloses

one he

the «r

the

hieh

«>r

Chapter 10 Leadersh^ wd Cresting Tma The early lask/peoplc anor,«..k„ , , ri*l grid thoM-iw,) al»> ..ffer us Utrlc

•'^’'chiMn and •‘’’"•ge-

make on the basis of these theories is >l t"'*' sirongesr tanonshouW end up with satisfied *

'‘’ho ra J h; i

ean

Jnuluccs in- and san^hicX;-or the iho ,,<.,..1 ,,. do„l„p o-ono„B,„^"i7

''’‘''»>»P 0,0.0 when „ A, e^enr. ,h. erido,,., i„di/,,,?,~*«W «n.,u.„i

d.,r«ten»„, snob

Md^S"'’ '"«»«■ «< follower

J we dhvussed the role ih,« tn.s/n? I ^• ^rs tnday z«u«t tk-veJop trustingrdariondnps S d' Bwause organrzanons hare heeomc Ic® suf, WW« are replacing bureaucratic rales iti definin?

nan««k to lead. Why? strong bonds of “etuTwg expectations and relationships.

4 . 1

CHAPTER11

v.

1 « ► s.

Power and Politics

*<

Abe' reading this chapter you should be able to Define power Describe the five bases of power Explain what creates dependency in power relationships Describe how power is central to understanding sexual harassment

A

•1 *1 ■

Define political behavior



Describe the importance of a political perspective

!

1.

Explain the factors contributing to political behavior in organizations Identify seven techniques for managing the impression you make on others

JjmifiT may he X

even

want

it

sex Uy

ihc last dirty word.

than to

u

appear

is

to

not

talk to

be

It

is easier

about

power.

seeking

it;

for

most of

People

who

and

those

its to talk

have

who

it

are

alxjut monq*

deny good

it; at

people

getting

setTetive nbouc how they got it.’ In this chapter, we show iliar pr)wer detennines what goals a gr<’“P pursue and how the group’s resources will be distributed among its members. Further, ’^^einbers wiiJi good political skills use their power to influence the djstnhutUHi of reMjurces in thek favor.

A DEFINITION OF POWER Hower refers to a < that z\ has to influence the behavior of B so that B A** tha ’«•« -lefinition implies d) a pvrr««-/ that need not he actuiluxd to Int effutive. (2 > a ,/.pe.de»ee rclarion'h.p, and ( b lha» »

it

or

who ate

Chapter n p
h« some over his or her own liehivior Leti, 1 more closely. powxr may exist bui nor be used. It is, therefor^ have puwer bur not impose it. Pn,^iWy the most important aspen of power • • dence. 'Hie grvflter R’s depcntlcncc on A. the greater i v'

look at eadi of these (xiim, ’ ‘•’"picny or ixitendat. One can of depen-

PcpeiicJt^H’f^’ in lum, i.s based on idiernativcs that B

^ * Pf>*cr in the relationship.

DC

B pbces on the iiltemncves tliar A controls. A oerson

unponance that

he ,ir she controls something ym, desire. If you wanr

you only if

a certain course lo gel that degree, and vour cun-ent member m the uinversii y who tenches that course lie or shr h' jlrernatives arc dcr.nkel,. limited, and you place a 5-cr you. Your

'''

olitaiiiitig 3 passing grade. Similarly, if youn. attending umve^sitv im entirely by your purems v-ou probably recognize the power thev bold over yor^bu^e dependent mr them for financial supyx-rt. But once you're out of school have a ?ob are

making

:i

.solid

income,

your

parents'

power

is

miuced

sigmficamly

\ko

among us. though, has not known or heard of the rich relative who is able to control a lanje

number

ol

fanuly

members

merely

through

the

implicit

or

explicit

tlircat

of

writing them out ol the will? For A to gel B to do soineching be or she nrherwise wodd not do means B musr hai’t

the

discretion

grainincd

that

he

to

is

make

choices.

billowed

no

At

room

the

tu

extreme,

make

if

choices,

B\ he

job

hehatdor

ohvimisly

is

is

so

pro-

constrained

in

his flliiljiY co do something other than w'hat he is tiointt. For instance, inb descriptions, group

norms,

nrganizarional

rules

and

rcgulaiions,

as

well

as

coniniunity

laws

and

standards cons I rain people’s chokes. As a nurse, you may be dependent on your super^ riser

for

comply sand

continued

with

her

dollars

employment.

request

from

to

petty*

Bui,

perform

cash.

Your

in

spite

of

this

heart

^surgery

on

job

description

dependence, a

and

patient laws

or

you’re steal

against

unlikely

.several

stealing

to

thou-

constrain

your a bl I it)' to make those choices.

CONTRASTING LEADERSHIP AND POWER A

careful

the

comparison

prerious

intertwined.

of

chapter

Leaders

our

should

use

description

of

bring

recognition

power

as

the a

way

power

to

with

our

that

attain

the

group

description two

goals,

of

concepts

and

power

leadership are is

br faciliuting dicir adiicvcmcnt. differences relited

to

goal

cktsely a

j..

are

there

compatibility.

between Power

leadership

does

not

and require

powerr goal

One

in

meins ..

diherence

compatibility,

is

mercy

dependenc-e. Leadership, on die other hand, rejuires sonic polls

of

the

leader

and

those

of

the

led.

The

other

difference

deals

withL

the

dn^^

that research on the ru’o concepts has taken. Leadership researci, or ^tnphasizes

style.

It

seeks

answers

to

questions

g such

as:

How

,upp

Ittader he? How much decision making should be share wi the research on power has teinled to encompass a for gaining compliance. It has gone beyim c ^n ^’’■»vr can lx; used by groups as well as by individuals to tonm.i ntnu

c-,erciser because ' i„jividuals or

1

<• **

.. A

hrtm Cirom ia d«

A

BASES OF POWER WTterc docs power come from? '' Hm is it that gives an individual or a group tnfl,«„cj V\-hcrcdocs p< t q„esnT« of o, ™ of ™;wer: coercive, reward, legitinitiU, expert, and referent (see Lxiul«t U-l,.

Coercive rOM’cr l-he etavreive power base is delmed by^ French and Raven as being dependent o„ tear One reacts n, this power out of fear of the neganvc results that might oenir if one fiaded to comply. It rests on tlie appiu ai ion, or the threat of application, of phy^ ital sanctions such as UK inflicn.in of pain, the gencn.tion of frustration through of movcincni. or the control ling In force of basic phy’siological or Mfcty In die 19305, when J<jhn Dillinger went into a bank, held a gun to a teller’s head, and

asked

requesL

for

His

money,

jxiwer

tec

be was

was

incredibly

coercive.

A

successful loaded

gun

at

getting

gives

its

compliance holder

power

with

his

because

others are fearfo! that they will lose something that they hold dear—their iKes. Of all the bases of pos^xr available . .. , the p<wcr tn hurt others is possibly most often

u«ed,

most

often

condemned,

and

most

difficult

to

control

.

.

The

state

rehes on its military and kgal resmircrs to iuiiuiidate naliut»>, or even its own citizens. Businesses rely upon the contiol ol ccojiojiiic resources- Schools and universjdes rely upon their rights to deny studcab fonual cducarion, while the church thi catena individuals with loss of grace. .Ac the personal level, iadi vidua Is exercise coercive power through a reliance upon phi'sical strength, veHial fa ci liny or the ability

to

grart

or

widihohl

emotional

support

frtirn

i.ithers.

Ihesc

bases

provide

the individual with the means m physically hanii, bully, humiliate, or deny Invc to odtcrsc At the organizational level, A has coercive power over B if A can dismiss, suspend, or demote B, assuming that B values his or her job. SimilarJv, if A can assign B

EXHIBIT 11-1 Measuring Bases of Power Does i have one or more of the five bases ..Pposirer’ Affiniiative responses to ilic suRinvnts cin answer rhia question; ■ The pcR<m i-an make (hio^ tiifficulr for people, and you want to avoid ceding him or her angry (aieaivc powrr, ■ The |iri^ is able to pvc special benefits W fewa.O. to people, and v.w find U adv«itags<.»« r<> rratle favors wirh him or her (rv^ anJ power> ■ 1 he person has the right, etrnsidenng his or her p.skion and «.ur sob re.potvsjbilines. to expwt pm to crxiipfy wrh legiuniate requests (leptimaic power) ■ ^K- p^ has the experience and knowledge K> eui, war r«pe«. and W« defer to b» of htr judgment in some matters (c«pen power) a V.IU hke the persitn and enjoy d.«ng dunp K>r lum or her (referent power) Ae^ye«tB(,, Me IWl. p. an, Copynrit ©199l b, m. Menc.r, ^ychoKtgicai tesocMtM H«nnw -• >

Chapter 11 P«>weT and Pnlitx*^ activities dwt B finds unpkasunt nr treat B in a maiwer that H Ing. A possew.*! coercive power (»vcr B.

The

e

..pi-s-

aireu.vcs

L

B

Reward Powe of

ol

embarrass-

n.eravc

power

an<,thcH-cc3Usc

.s

rewani

domg

so

prodoces

.hsmbotc rewards othe.-s as can dismb’itc rewards chat thaco(hei> view view as valuab rewards

can

think

be

of

anything

money,

assignments,

rhat

another

favorable

friemlly

power.

colleagues,

e

pc-rson

will

values.

with

benefits; have

Tn

appraisals,

iinp.irtant

comply

positive

valuab

perlonnancc

People

over

and

one

The»

ontext,

w^

interesting

preferred

„r who

them

organizational

promotions,

information,

wish«

therefore

power

an

the

work

work

shifts

or

sale^ rurniorics. Oiercivc thing her.

of

and

prisitive

you

positive

have

reward value

coercive

value

or

power

are

from

another

power

over

remove

atnmily or

that

something

counrerpam.

inflitT

sonwdiing

person.

of

If

If

negative

you

you

of

negative

can

value,

csin

give

you

remove

value

on

somwme

have

reward

scmehim

or

something

of

power

over

that person. As with coercive power, you don’t need to be a manager to be able to exen influence

through

available

m

rewards.

everyone

in

Rewards

an

such

organization.

as To

friendliness, die

degree

acceptance, that

an

and

praise

individual

are

seeks

such

rewards, your ability to give nr withhold them gives you power over that individual.

Legitimate Power In

Formal

of

the

groups

power

and

bases

organizations,

is

one's

probably

structural

the

most

position.

This

frequent is

access

called

to

legitimate

one

or

power.

more

It

rep-

re sc nth the power a person receiver as a result of his or her position in the formal hierarchy of an organization. Positions however,

is

nf

authority

broader

than

acceptance

by

principals,

hank

dewed

he

to

members

include the

coercive

powers

to

of

an

organization

presidents,

or

ariny

within

the

authoring

reward

coerce of

captains of

and

and

the

their

reward.

authority

speak

powers.

of

Specifically, a

(assinning

positions),

Legitimate

position.

that

teachers,

it

includes

\ATien

their

icJlcrs,

power,

school

directives and

first

are lieu-

tenants listen and usually comply.

Expert Powder Expert

power

Expertise hecotnc

has more

increasingly expertise w

too

is

become

wielded

one

of

technologically

dependent

and do

influence

hence computer

on expert

the

as

a

most

oriented. “experts”

tax

of

[powerful .As

to

power—most

specialists,

result

jobs

experose. sources

of

us

of

become

achieve

goals. follow’

accountants,

special

Influence

more So,

the

solar

as

or

know

the

specialized,

ledge.

world

we

as

physicians

advice

our

doctor

engineers,

Referent Power last category' of influence that French and Raven idenofied w as h« »identification with a person w ho has desirable resources oi’ pe™ m I admire and identify with you, you can exercise power ovt^r me because I want

industrial

has

become

just

and other specialists.

fdcaae yim.

skill,

gi\es

have us

psycholo-

MM

Gfoaps in the Orfaoiution . 1 . .^yJmiraiion of anothu admire ««nc.«c

3 Cin.lv Cm. lord, .nd M.choel.|..rdnn h..e .he ^x.wcr to mflu.ncey..^

choice of pharm.cxuticak, he.kh clubs, and .thk-t.c sh.KS, or

I

wwid

jnil.lir

pn.hjblv

.tocsn'i

nccriug.

dt

i.knrik

i.vvr

.vid,

physically

ns

smooth

vou

and

imposing,

or

4

inc.

s,.lv> In

y«.

pitch

as

du-sv

organizations,

charismatic,

you

il

hold

c.khntits.

you

.ire

personal

hut

he

articulate,

1,,^ dotni.

charatter.st.cs

th«

may lie iistit to get others to do what y«Mi waiU.

DEPENDENCY: THE KEY TO POWER Earlier

in

this

chapter

wc

noted

the

iru|x>rtain

relationship

between

power

and

depen-

dence. In this section, we show ht>w an uiiderstimding of drpe*n
The General Dependency Postulate I>ets

begin

Vkidi

a

general

postulate;

Thedeffernkthy

rui

.1,

the

gf'ftftcrpirwtrA

bat ViH-r IT When you |Kksscss anything that orhers require hut d’lat you alone cniiccol, you

make

them

De|>endency;

dependent

then,

js

soiiK*thmg

is

intelligent,

intelligence

on

you

inversely

plentiful,

and.

therefore,

proportional

possession

of

gives

special

no

ii

to

will

the

not

you

gain

alternative

increase

advantage.

power

sources

your

power.

Simibrl)^

among

over of

If

them?

suppH.

If

everyone

is

the

super-rich,

money is no longer power. But, as the old saying goes, ‘in the land of the blind, the one-ey’cd

man

is

tige,

or

anything

more

yuu

This

principle

can

ting!” thai

If

you

can

others

create

crave,

cx|und

your

options,

explains,

tor

example,

a

they the

monopoly

Iwcome

less

power

so

many

why

by

controlling

dependent

on

you

in

the

aspire

to

of

place us

infnrmaiinn,

wu.

pres*

Conveisely, hands

of

financial

the

olhers. indepen-

dence. Financial indc|K*ndence reduces rhe power odicrs can have over us.

VVTiat Creates Dependency? Dependency

is

Importance Ju

If

create

tant,

Its

should,

been will

oonsistently critical

^ggest

that,

greased

power

^MXer

&

for

u'hat

that

die

ytju’ve

you

in
understood

as

resource

to

found most

that

vidua

the

powerful.

Tr

firms

during

labor

strike,

the

fiamhie.

1

engineers, hese

as

a

inferences

not

groups

wus

who

appear

to

can

avoid

their

the

he

more

generally

imporWc

organizations

these

a

study

firms

were

researcher

the

might

represenbutves

have

valid-

This

that

fact

powerful

do become tnore powerful within rhe pcrMmnel area and the organization as a wlw^

an

instance,

products,

negotiaiiug

as

uncertainty*.

atvsorb

in

jn/nt?

dependent'-

perceived

deparonents by

and

create

For

selling

be

to

are

to

concluded

would

important

resource.

organizjjrion's

group,

that

seek

iniporuat

was

i.s

going

things

markedmr

these

that

or an

facing

or

its

control

Is

uncenainty a

control

organizations

control that

jvu

gut,

nuist

instance,

organizations raced

the

therefore,

expert be

when

wants

found,

rlierefore.

industrial

most

nobody

de)xrndency,

uncenaints’ of

increased

at

Intel

Labor

than

at

negoriau**

during periods ..f fehorsmfe. .An otgani^tion .uch as l . driven company, is dependent on its engineers t„ „ at bH^'arc clearly the most r,nwe?M

" Power,nd Pohu« " ' is a tcchnologv. ‘‘‘'‘■'’'J! *erc-

nwrkenng is rhe name uf rhe ga.„c, anj

'^t I’ructer & Gamble,

These examples support not only die viess' that th ‘"'tr

f^werful group, "’’“ntinty

iijcreases a groups miponancc and, hence, its power h L° jguational. It varies witlun any gii’en organiMtion. Spuxity

-\s

among

organixation.s and undo ubtedly also vanes <jvcr rime

pi

noted

cvioasly,

if

something

?

i.

is

nkntifi.i

V“ „

increase your power. A resource needs to be perceived as This

rehniuiship

c.m

help

n>

explain

how

l^-raiilrin
need

to

m

k?”dependency

ttho have important knowledge not available to high-ranld^rm" p,w^r

over

the

.mportam

high-ranking

mrmhen.

The

im^-fedge-.uukes

,anbng

member.

The

relanon

behavKirs

ot

low

destroying

the

procedure

people

their

m

job

language

and

ating

secrecy

in

rankrng

that

scarcity

member,

even

terminology so

of

manual.s

or

the

to

that

that

u,

dependcucy

show

others

exactly

that

inhibit

others

from

the

activity

will

also

might

how

appear

a

«

h,gh.rankmgt;:di:;;^;::::^:,^^

otherwise

describe

obtain

a

seem

job

what

is

helps

make

of

illogical,

such

as

done,

they

do,

understanding

reusing

creating

to

spccialited

iJieir

jobs

complex

and

difficult

seen

die

|xiwer

more

train

or

oper-

than

it

reaDyis. The

scarcity-dcpcndeiuy

padonal

categories.

relative

lo

ove

than

Individuals

demand can

UnnersJ5'

can

those

for

demand

high

puter-science

in

in

computer-science and

the

faculty

allows

no

in

them

ami

problem

limited. to

in

The

be

in which

which

instructors,

supply

furihcr

compensation

occupations have

van

octnjp^atiuns

ncpjtiatc

adniinistrainrs

market

relationship

the

today

is

result

negotiate

personnel

packages

far

an

finding

contrast, is

is

that

higher

of

supply of

benefit

there

in

abundance English

extremely

the

bargaining

.salaries,

lighter

occuis

nicire of

low

awrac-

candidates.

instructors. tight,

The

wnth

power

of

teaching

the comloads,

and other benefits.

POWER IN GROUPS: COALITIONS Those “out of power” and seeking to be “in” will first tn' to increase their power iadindually.

Why

spread

the

spoils

if

one

doesn’t

have

to?

Bur

if

this

approach

proves

ineffective, die alternative is to form a coalition. There is strength in numbers. The natural wav to gain influence is to become a pi wcrholder. There orc, ose who want power wnll anempr to build a personal power base. But, in doing so mav be difficult, riskv. cosdv, or im|>ossiblc. In such cases, e o nude ,o form a coalition of twa. or more "outs” who. by lomnig t-^ther. can each hetwr themselves at the expense o1'those outside the coalmon., Historically, blue-aillar workers who were unsucce» u m •^n

behalf

w

ith

management

resorted

to

reccut labor

unions

to

^'’8^

white.„,llar emplovees and professionals have

greater

finding „ difficult to exert power mdividually to attain higher wages and gre Wh« predicthms can we make about ««« m cKganiaduns nhen seek to nuxinuxe their size, m po

ninied

^Sl^en^^ibeoty,

to

unions

Crmip> in the OrganiMtion .. „>abti«ns W'e "rSmrn from

u,- ..ther »-av—6ey rrv h> minimize their size. They tend to he RwW ntcess^rv to achieve their obiccuvcs. But Icgislaijj W organizadons in that kpslarors make ite p.l.cj.

th

out

a

-n

cSned

im

"

Son

docs

must

niinnent

ests more

controlled

are

merely

at

in

so

the

occur

decision

least

as

from

to must

about

coalitiims

of

w

in

itself.

than

in

coaiitionS,

Its

size

is

com-

support

as

many

of

course,

the inter, is

cuminimknt,

and less

T,^

necessary,

cooperation,

autocratic

organi.

a„d

to

cnttmipass

which

.n

of

wnsanientv

il«t

alternative.

consensus-building,

coiturcs tlic

set

decision

broad

expanded

valued

a

making

impkmemamn

ihc

facilitate

highly

maximizing

a

be

to

where

as

seek

Densn.n

among the

important

organizational are

managers.

organizations,

expansion

making

organizations,

fn

coalition

in

or

scicermg

organizalions

Coaliiion

to

shared

with

decision

possible

ad.moiaimtnrs

implemented,

nsilidons

likely

and

end

obiccrives,

as

separate

<

tiic

for

coalition’s

not

also

to

therefore

hv

decisi<m.

hierarchically likely

t„

l,,

«)nghT. Another within

rhe

deal

of

dence

prediuion

organization.

task

and

among

More

coalirions

resource

subunits

is

related

will

likely

interdepcntlencc.

and

le’is

In

to be

the

degree

created

contrast,

where

there

coalition

formation

activity

will

influciK\:d

by

of

mterdcpcixleiKc

there

will

be

where

is

a

less

great

interdepen-

subunits

are

largely

self-contained or resources are abundant. Finally, perform.

workers

uaduns. see, to

The

more

the

p-eater or

i<>aliri
are

offset

dardized

u

thus,

high

adirionally

grf>up,

will

fonii.

can

more

c>T)CS.

Of

relative

to

jobs,

or

be

their we

nmtine is

where

to

demand

or

expect

of

that

individual

in

non

resort

to

a

jobs,

w’here even

of

tiiemhets sir-

coalition.

We

workenihaa

skilled

and

organizations these

the

routine

lionprofessional

supplj’

workers

p’Oup

than

and

the

tasks

situations,

greater

low-skill

would

actual

work

expected

to

course,

the

the

In

dependence

they

appeal

unique

a

their

dependence* unions

is

of

coalitions

pndessional

emplo)'ccs

he

task

table;

this

that

and

the

thut

‘^uhsrini

therefore,

sional

routine

Irkelihfiud

To

skilled

fi>rnuiiior^

profes-

have

inciimhenis

stan-

to

find

unionization atiractive.

POWER AND SEXUAL HARASSME>JT The issue of sexual harassment has received increasing attention by corporarioiis the media liecause of the growing ranks of female employees, especially in noniradb U on al work e nn rn n n icn ts. legally, ual

hivors,

sexual and

nfher

nature.

But

sexual

hara-ssiiienr.

years

there

recurrmg

«xuai

pniprismon

face

around

ments;

sexual

is

verbal a

wdl

the

great overt

reques-n rc«.

more

ani^cxs,

in

subdc si,ch

defined

physical deal

as

as

unw'elcotne

conduct,

whether

of

have forms

lor t

is

or

Org.mizatiuns

Imuiing

tms-ard

rmichmg.

harassment

disagreement

made of

dates

after

losing

one’s

forms mi.

of e

a

overt

about

consi.ierable

sexual

advances,

job. sexual

calendars,

in

problems

of where the kne tierween “be,ng fncndlv" ends in,l “k

rhe

a

ihre.ats

today

are

work-plate-

coiisanittS past

that

or

fe"’ phw«‘

refusing^

likely

looks

sex* sexual

imwantcd

harassment-unwanted in

of

'the

including and

for

spccificallv

progress

refusal,

The

subtle,

what

harassment, clear

or

requests

to or

surC.MU-

misinterpretation

•« i

M<«.t studies confirm that rhe concept oft^ h^«mein ' begins. hanssraent.‘’This seems tube true whether thrharassm'’^'^'^ coworker, or even a sulmrdinaie. 1 he sa|R-n ,M,r‘m

, T"''" i I" rx'Mir-employee dyad lH;st charactennS*^

ChdpUrll Powerpnlltiei

unequal P«e«relationship, m which position power L rcM^nJ and nxirre Supervisor,, give subordEs capacity perinnna"'*- make rccoinine.nhaons for sabrv „|i.^ evaluate their Jecide uhi'fltei an i-mploj-re retains his or her ioh Pnimotions. an.1 even ■xiwer. Becaiisc subordinates want favorable perform^ dcasi.ns give a su,Knisor

important

and

scarce.

Its

also

I' •V * ***. r^:

“'ary increases, and

rhe like, It* clnir that supmwm lonrrol rUon.ees worth

notin?

thit

"‘“’^^^"'^ordinaKs

inU-

„.|«s (inanagv.iK-in i»osirions, for Sample) sonieiimpThr ’' v”

consider

h.gh-status

subor
harassing

Sclty tor .he person being ha^sscrl^TX; ,,,nl agains. another’s. Are there odim this Inss has ham^efoX " " "P; fonrard? Be.aiise of the supervisor’s control over ixisout.^ many who ’ to ‘ rtur oi reuJiation Iry- the supemsor

arv

art*

C<>workers don’t have pcisfoon power, but tl.ey can have influence and use it to ,„uallv hat ass peers. In fact, although co-worke. s appear to engage in .somewhat less severe

fonnj,

perpetrators

haiassniefic

of

power?

Most

sapjwn.

For

support

from

teams.

of

By

sexual often

by

die

co-workers,

threatening

do

hanissment

it’s

example,

chan

to

supervisors,

in

providing

vo-workei-s

organizerions. or

are

How

snthholding

the

do

coworkers

informarinn,

cffectivx

j>crfonnaiu’e

of

most

jiilw

especially

nowadays,

as

work

increasingly

wnihhold

or

delay

[Konding

most

exercise

ccHipcradon,

requires

infbrrnauon

freuiKiit

inccrachon is

that’s

and and

assigned

co

ncce?>sar>

lor

harassment

by

the succcWiil iu hitfvement of your work goals, co-\\ork’ers ran e xert power over you. Hanissmcnt

hy

subordinates

doesn’t

get

nearly

the

;ittention

that

a supervisor docs, but it ilocs wcur. Persons in positions of power can be subjected to sexual Usually gender

harassment die

sufHirdinate

[lersons

.suljordinate

sterconpes

orpassivin*

from

if

char

will

reflect

the

victim

is

eattage

in

such

a

in

less

dcv^alue

powerful the

negatively on wonwti;

superior

die

person

impotence

practices?

lb

positions

gain

or

through in

if

(such

a

power

rhe

organiMOon.

highlighting

power

timidity

some

within

as

man).

over

the

traditional helplessness

Why

would

a

higher-ranking

person or to minimize pow’cr differentials. 1 he topic of sexual harassment is about (tower. It’s about one indhidual^ wntrolling or threaieiiing anofoer. It’s wrong. It’s illegal. But you can .iiukrstand bow «tual harassment surfaces in organizations if you analyze it in terms oi power.

POLITICS: POWER IN ACTION '^htn

people

get

together,

power

will

be

e-xertefl.

People

'^‘’"’1^*’.^^“^'^

^When

from which utexen intluc^Ke. earn rewards, and advance employees in org.mi/.atioiis convert their (xjwer iino a>--nnn, Those with good political skills have the

ability

to

use

batts^f (Mwer thc.r bases (xiwe

effectively.

A Definition of Politkal Behavior pierc have been no shortages of dcHnitions they have fiKused on the use of p>we ‘‘T^non or on behaviors hy members that ****»«ed.’ hot our purposes, »c define pohticaf

, Essentiallv. iingi" tbeorganorganiMOonalty non,n yrganizJiion-s as ttor

’'' •'••V '

MM

11 U

“^^’T^definiQtw ciMXtnpasses A el«TOcnii of „ik about orpm«o<.Ml pobm.- PoIuK-il belw.-.or u requirements.

The

behanor

require,

most people ii^ ones ip«^ j

some

attempt

to



/«rer

nidon erKompasKS eff.wu to influent the goais, enrem or

makme

b«e^

O*

det

used for duii.,

when w« «ate dial politics is cuncctncd with the ai^nbuooii of adv-am^p,

and disadvantages widiin the organizaticm. ()ar definidon is broad enough m ind,^ such varied political behji iors as wirfihoUing ke> iaformaatm from denswn makrre, whtsde-blou'ing. filing of gries-ances. qjreaibng ran. .rs, leaking ainfideniial inform uon about organizarional acnxiocs to the media, eichanging favors uith others m o^raniranon fi.r mutual benefit, or k>bb)ing for tw against a paiucubr indisTdittl „ decidon.

The

Importance

'Ibosc arc

who

fail

political

could

rooperarive.

ahra)^

actiow

nTOms.

mpinixanons or

to

behave

of

It be

ledge

would

political be

nonpolidca]

in

w

as

perspective

consisrenr

«*ith

Political

behavior

nice

described

A

a if

all

supportive, can

the

It

rcMrict

output,

tires, hr

distort

activities

can

help

to

anciupt

explain, to

for

lead

"build

empires?

one

to

of

the

why

publicize

figures

to

make

diemseh'es

that

to

at

odds

with

be

rhe

or

that

formal

organization

groups

trusting.

believe

that

vidcB

c\>ll^ioramt

empkn-ecs

oiyanization.

In



onntnsu

a

to be irrarional (behavior in otgaar-

performance appear

reality

harmonious,

interests

in«;tan<x.

the

o^anizadons

political new can explain much of whar may seem zations.

ignore

Perspetlive

emplcn’ces tbeir look

w

iihh<j!d

successes, better,

organizadons

and

inforaatioo.

hide

their

engage

in

desire

for

Wdmi*

effetmeneg

and cfBdencs'. Factors Contributing to Political Behavior RecetiT research and obun anon have identified a number of factors due associated

vith

the

qualities

unique

pkHtical of

the

bchanor.

Some

people

whom

are the

individual organization

characteristics, empio\*s;

othas

appctf to be derived are

a

fc® resub

of the organs oon*s culture or internal cnvirunmenL Individual Factors Researchers ha*c idenulieii rgrtajp personalit}' charactcnsocs. neeik, and other indiridual factors that are likelv to he related to pnlidcal heharior. Fmplovres who arc authoritarian, have a propensity for high risk, or possess an citerual locus of control (believe that forces outside thefnseh*es cuntrol their dc^liny) poliucally with less regard for the consequences to the orgapjzad*^* A high ncAl for power, autonomy, security, or starus is also a mai<M* contributor to an empjorre’s tendenes tt> engage in political behavior? Organuatxmal Factors Political aeririn' zaiion’s culture than of indiridual dirtercoccs.

is

pnihabh* more a hineriun Because <w>gmbahons ha»*

of

the

a large number of employees with the eharartcristics prcriou&h listed, set the ence of polidcaJ behavior varies widely. Although we acknowledge the role that indiridual differences can pbv in fo«sring politicking, the evidence more Htrcmgl)' supports that certain culture proa**

Chapter 11 Pouer a nrl P< iht ia politii's. Culrurcx characU'rized hy l„w trust role sy.tcnu, reward allo,an<«, eng. prc:^surc> for performs,K% and se1^scmii» ’ rtj>iX)minitics tbr puli tic JI avdvjties to lie nurtured

• »ty, unclear pcrff»rmaiwe ucv.sion niakKKraric decision niak'iiaiwgcrs will vreatc

behjvior. SH high trust should suppress th; level of palJkal hX Role

ambiguity

that

-ne.ns

ti,c

prescribed

beh^X^!



fI'''"'-

cle^t. There ;iie few limits, tbcrvloic, to the scooc in.) P •

,

are not

poltoal aetions. Since poliuc:,! at-cinties are deUncd'as thos^^TT " «"iplt>yee's Hrmal role, the greater du- role ambiguity the m 'c on ^erivity Hith little chmne of its hemg visible Pertbriniiiice evaluadun is fer from non-s

...SV

sllow

sigilihcant

lihood

siib)et'tive

an

create

time

enter.a to

employee

.imhiguity.

pass

can

The

.n

lue

the

ol

an

away a

perfected

appraisal,

henveeii

get

a

emphasize

aciiun

with

single

"" science. Tlu-

nnd

a

its

politicking.

outcome

single

more outcome

appraisal,

the

Suh]ectivc

measure

that

or-nizA-

measure

greater

the

performance

encourages

or like

criteria

individuals

to

do

whatever is nreessary to look good on that measure, but often at the expense of perfbrniing

well

on

other

iinportam

part.s

of

the

iob

that

are

not

being

appraised.

The

amount of time that cia|vses heiwecii an action and its appraisal is .also a relevant factor.

The

longer

the

time,

the

more

unlikely

it

is

±at

the

etnplovee

will

be

belli

acc(>unti»Hle for political behaviors. rhe more an organizacion’s culrure emphasizes ilir zero-sum or win-losc 3[^Ji\meh to reward alloeauoiis, die more employees will be motivated to engage in |x>liliiking. rhe zero-swn approach treats the reward '*pic'’ as fixed so that any gain one person or group achieves has co come at the expense of another person or group. 11 1 win, you niu.sl lose! If 520,000 in annual raises is to be distrihiiTcd among five empiovees, then any empkn ee who gets tn ore ihan $4,000 takes money away from one or more of the others. Such a practice encourages making cthei’S look bad and increasing the nsibility of what you do. For toward

several

making

decades

organizations

niore dem (jcra lie ally. decisions

and

process.

Such

individual

ihev

moves

managers.

Many

tu

make

sonal

costs

lu

achieve

against

their

Thcyhe rdv

toward

jKwer

there

less

should

mate

directly

now,

told they' to

a

desires.

should

sought

The

ral

result

extent

positions. that

in

being

group not

input

hard

into

order

and

often

Sharing

their

power

managers

may

use

America

to

advise

necessarily in

Norih

asked

subordiniues to

positions

fought

move

are

on

are

their

They

is

general

alkm

however,

decisions.

influeni

a

Managers

greater

democracy,

unilateral

been

autocratic.

managers

their

has

behave them on

the

dedsion

embraced

by

to

legm-

paid with

the

have high

per-

others

rubs

required

teanv,

eomniirtecs, conferencc.s, and group meetings in a superficial way as arenas maneuvering and inanipiilaiina. rhe inure pressure that einploy'ces teel to perform wcl, l morL '

„ . lu.j,. rE..v-ire

m engage in pidiiicking. Holding people strictly accountable or pressure on them to ‘‘look gooil’* A person who perceive.s tliar is

t^eer —oorr will

riding on new quarter's sales figures or next months plant prn< “ highly mottvat^ to do whareXr is necessary to mate sure the numbers come

Finally, when employees see the people on mp «P«««y when they do 2 succes-sfuUy and are rewarded Ibr it. a chma

a

i^created

Gro«p» In the Oganizibon , *’S-kX?in

- -.jiUrlcTftff Pfilirickinc h>* top mtfttgemcnt. in a sense, gives peniila||tf .he nrB.niz.non K, pby polinc b, implying rh..

.nd,

hch^

impression

ochen

acccpraWc.

Impression Mnnagement We that iKopk have an ...igoing interest in how others perceive and thetn For exampk- North Americans spend billions of dollars on diets, health duh memlierships. c.smetioi, and phisric surgery—all intended to make them more attractive to others Being perceived |«.sitively by others should haw benehts for people in orgaiiizittions h migl.i, for instance, help them initially to get the jobs they u-ant in oi-ganizanon and. once lured, to get favorable evaluations, supennr salary increasw, and more rapitl promotions. In a political contcvi. it might help sway the distribution of advanuges jn their fevor The form

pnjcess

of

them

impression

by is

which called

niaiipgeincnt

individuals

attempt

impression

(LM)

to

control

management."

techniques

and

In

aux-rtain

the

this

section

whether

wc

they

review

actually

work

in organiiations. Techniques verbal

Afost

self-pres

of

the

ent

a

attention

lion

given

behaviors

to

that

LVl

lecliniques

individuals

use

has

to

centered

manipulate

on

seven

inform

a

dun

abourrhemselves?’ Let’s briefly define them and give an example of each. Statements tics

such

as

Job

applicant

traits, to

made

abilities,

interviewer,

by

a

feelings, *4

got

person

that

destrilK*

personal

opinions

and

personal

lives,

my

Harvard

M.B.A.

even

charactens-

jkn

example:

chough

1

suffer

from dyslexia.” Agreeing

Confarmity. approval.

An

ganizadon

event

example:

plan

ACCCHM'.

widi

FA

for

aimed

at

else’s

opinion

m

to

boss.

‘^You’re

absolutely

Manager the

coses,

someone wesrern

justifications,

minimizing

rhe

regional or

office.

other

apparent

I

order

of

gain

right

couldn’t

explanations

severity

to

on

a

or

your

agree

of

the

his you

her reor-

more.”

preilienncm-creating

predicament.

An

exam-

ple: Sales manager to Ixiss, “Wc failed to get the ad in the paper on rime hut no one responds to those ads anytvay.” Admirring

Afifkgicr.

responsibility

for

an

seeking to gci a pardon for the action.

undesirable

ex’ent

and

simultaneously

An example: Employee to boss, “I’m sorry

1 made a mistake on the re(x>rr. Plexse forgive me.” Acclaiming'. the

Explanation

desirable

of

implications

favorable for

that

events

by

person.

someone

.\n

in

example:

order

to

maxinuze

Salesperson

co

peer,

“The sales in our division have nearly tripled SIIKC I was hired,” I’httery. appear dled

C-omplimcruing perceptive

that

client^

and

others likable.

complaint

so

about .An

their

example:

tactfullv!

I

virtues

in

an

effon

XCM’

sales

tminee

could

never

have

to

co

make

peer.

handled

oneself

”You

that

as

hanwell

as you did.” tavarr Doing something nice for someone to gain that person’s appn>val. An exajnpic: Salcs|)erson to prospective client, “Ew got two uckett to the theater or tonight that I can’t use. lake them. Consider it a rhank-vou for taking the nine toulk with me. ’ *n mind lhat nothing in IM implies that the iinpressiims peottle cinvey tst CMan y hlse (although, of course, they sometimes are). You can. h>r instance^

fieheve tliwt ads contribute link to ,a|„

QwpUill P©w«r««dpo6iia ,

"' 'he fripbng ot y..iir diviMoi.^ sales R ''?'™’®’‘h«ynu«»thekey utsi- If the image dain.ed is false. vo„ „uv be dk i^Voften, no .me . liU-ly to belietx yon J.d U ’ ^-jutiou' not to he petxeiv«l as insiiH-erc ,,r nijnipulub ’ Arc individuals moix hbdy to niisrcpri

can have a So one must he sent them

some situati.Mis lhan ■» others? Yes. Highiv uncertain oM.'X"^ ^-lauveb i.rtk .nt..n.u,o,m (or challenging a fraudulent

" “»

tnisrcprcseniarifin. Effecth eness <^n>y « hmited mimher of studies have eftatirtitess of LM iechm«|ues. and these have l>ecn cssenualk-

'l

reduce rhe j.

tthedier or n.it I.M bebat lur is rcfatc.l to job intcrvacv s. t- ' T’ „e»s ntaU- a pamt olarly relevant are,, of s-mdy s.nc. aiTtlie^.^are Sl^aSinp'ng ptvsent posinve .mages of themselves and there are relatively ohjeefrT^ Xme (untren assessments ^d typically a hfre-don't hire reenmnindabX rhe cadences iliar I.M behanor ut.rks,'> In one study, for ...stance, intenaewers felt that the .ipplicanu lor a position as a customer-service representative who usetl {M rrtJiniqucs pe. harmed better m die interview d.an tht.se who didn’t use LM and they seemed somwhai more inclined to hire these people.'* Moreover, the researchers nuttidered apphrancs’ tTc.icnt.als and concluded it u.r. the IM techniques alone that influenced the inter, wwers. That is. it didn't seem tn matter if ajuflicants were well or poorly qualified. II they used IM techniques, diey did better in the interview. Of course, it could be argued that since the |ob for which applicants were being ninsidcred—customer-service representative—was a public contact position, selfpresentation may be a job-rcievanr skill and more imponaut rhan qualifications such as college or university major, grades, or prior work experience. Nevertheless, LM technique* u» work in intvniews.

The Ethics of Behaving Politically We condude our discuss inn ul politics by pn.>' ijing soni€ eibical guidelines fr>r political hchavinr. Wliile tlivrc arc no clear-cut wavs to diftereiniate ethical from unethical * politicking, there are some questions you should consider? *' Exhihrt 11-2 illustrates a detnsion tree to guide ethical actions. The first quesOiw you need to answer addresses self-interest versus organizabonal goals- Ethical actions are consisteni with the organization s goals. Spreading untrue rumors about At safeu’ of a new product introduced hv your company, in order to make that ptt^desiim group look had, is unethicalHowever, there may be nothing

it

a 4epanment head exchanges frvors with her division s purdwsmg manager m orfler a critical contract pnxvssed quickly. llic «cond quesaon c<,ncxn« the right, of other ‘**1 dneribed in the previous |aragraph wei.i to the matirexin. though the Ln direkedm the purchasing «meth.ng on hhn" so he would expedite a

n L i ,v>rtmHU F* h the -nt of

h She would have violated the purchasing manager g whether the political iw final questio.. that needs to «»faeTltt to mndards of equity and |U' nd deflates the evaluation of a n aluauon of a favored employee and deflate.

9;

GrowM in tbc Orpotimion EXHIBIT 11-2 b a PoHtkal Action EthkaP rTT..^ ______________________________

{ Quwtfeo 9 ' Is the political I action motivated f by self'serving interests to exclusion of the organization^ i goaJs?

Unethical )

i I

7

jhe ui Orpinuaifcnal Poi>ecs;

AdBved im* G.F cjiaAigr. ua^ohtie, i^nd w v>i3sqL IJewe*. Jolv 19« t ft. 3M. ftesihrw by pw niww disfavored

II. Is the polrtkal 1^^ activity fair vxl equicable’

Question 2 3t>l Does Che politick action respect the rights of the individuals affected?

I

i

44

employee—then

uses

these

evalvatiuns

to

justify

giving

the

fnrmer

a

big

raise and nothing to the latter - has treated die disfavored employee unfairly. Lnfortunarelv. ways

to

Income l>e.st

make

very

who

at

Our

arc

likely’to

be

an

ethical

dilemma

Exhibit jxiwer

11-2 to

cxpluining they

point

able

to

And,

with

you it’s

a

lot

easier

io

for

example,

ran

the

orgiinizatj
of

chat

unfair

actions

are

really

almost

any

behavic»r.

arc

most

try

the

vulnerable

successhilly. to

pow’er

for

argued

tenns

practices

strong

often

in

juscily

polilics,

are

people,

can

persuasive

have

a

argue

unethical

11-2

Powerful

people

organizarionot

if

Remember,

con-upt.

immoral and

Exliibit

behaviors

persua.sively

away

in

ethical.

self-serving

articulate,

gei

questions

seem

that

regarding

truthfully.

tlic

can

is

iMiwcrful,

arc

to

practices

.Similarly,

equitable.

Those

answers

uneilneal

good

interests.

and

the

base,

the

recognize

powerless

to

because

UTiea

answer

act

lair

they

faced

wiih

questions the

in

ability

ethicnlly,

fir

of no

oihrr reason ihau that they nqiically have vcr\ linlc political discretion to exploit.

IMPLICATIONS FOR MANAGERS If power.

you As

increase

not

to he

be

will

a

to

get

manager

things

who

dependence

your

boss

perceives

bt'

no

ready

and

peers,

will

continual

battle.

WTule

seeking

to

in

is

to

you.

You

developing

in

be

done

wan on

alone

employees is

a

other*.*

relation which

want

be

minimize

to

build

seeking

co

you

seek

yoirr

group

to

or

organization,

maximize

your

can.

instance,

for

knot*ledge

suhstiiiite.

attempting

a

But

or

a

power

your ftiake

skill is

a

power you

uiaxiini/zr

dependence

power,

on

you

increase thai

he

two-way bases.

dependent others’ others.

assessing Iwhanor in a political framework. \’ou can better predict the actions o^ers and use this infonmnon to formulate political straicRics that will g*®

tn

will

want

co

your

power

in

needs

and

for

Others, on

And.

The effective manager accepts the political nature of organizations- B)'

helps

street.

them.

dependence

you work with ^4 ill be trying to do rhe iame.

ad\*anrages for you and your work unit.

it

of

on

have

You

will

particularly The you.

course,

result v'ou others

Conflict and Negotiation Afier reading this chapter, you shouid be able to 1. Define conflict 2. Differentiate between the tradibona). human relations, and inifiranionist views of conflict }» Contrast functional and dystunctioral corfikt 4s Outline the conflict process S. Describe the five conflict-hdndhng orientations $• Contrast distributive and integrative bargaining

1 Identify decision biases that hinder effetthre negotiaten *. Explain ways for individuals to irnprovc their negotiating skills

iHjvn

said

that

conflict

is

a

tbi^inc

that

has

occupied

iwnians

more

iha

oihcr—with the exeepiion of (iod and love. But what dii wc mean by the

e

I

ts

any tenii

emiflifi:

A DEFINITION OF CONFLICT While unikrUc

there

has

been

no

shuriage

nJ

hirst, confliu inus f

ennflirt CHSts is a perception iwue-

n is ^^veiveJ ituv not be real.and. ex»n-

•grwd that w* crmflict exists, enursv. co

jeserihed as eonflii

hetauae the group nieinlie.s. ino.lvet! do

and

ddwnaufts <>t umflki include the c<>ncc|

‘'‘-’f'"’Whether

CreBp5ind«Org>»i“’**’ a«u,n„rion there arc wn or more parties whose intcresw «.r Roals a,^ar togl Re«.urccs-.noncy, juh., prrsnfft. and p-.wer for Seed and rheir sc-arcity entourages bhx-ku.g behasnur. The paioes .n

opp«K?«r«.-

'oSerentes flict

is

W'hc

Iwwccn a

term

une

parn-

definitions Jiniite.l

only

birx.-U tend tn

ihe to

nean.

ro

tenter

acts.

The

a

goal

aronnd

intent

are

ol

ano,her,

iniem

and

issue

is

a

therefe^

a

:

.,ate

ofeo^

tehether

eon.

debaie

over

wh«h„

blockage behavior itr.ist be a deiennined actum or whether it euuld occur as a resu|, of fomiitnuscireuoisiante..

A-s

initions,

require

for

ctampk.

tn

whether signs

cofifiict

ol

can

nianikst

refer

fighting

only or

to

oixni

oven

acts,

stn.ggk

as

some

def-

criteria

fw

the existence of conflict. Oar definition of conflict aekiiowkdges awareness {perceptiun), nppofritH„|^ scarcir)’. And Wnckjgv. Furrher. we assume it co be a dcteniiincd actinn, which tan exist at either the brcni or overt level. We define conflict as a process in which an effort is purposely made by A co offset the eftbrts of B by some form of blocking diat will rcsuic in frustrating’ B in attaining his or her goals or furrbering his or her inttrescs.

TRANSITIONS IN CONFLICT THOUGHT IT is entirely appropriate tn say that there has been conflict over the role of conflicc in groups

anti

nrgannations.

One

school

of

iboughr

has

argued

that

conflict

must

be

avuided, that it iiKlicaces a malfunction wiuliiji the group. We call this die Another school of riiougln, rhe hufrrav n'lations weu’, argues that conflict is a natural and inct iDhlc outcome in any gniup. It need not be evil, but rather has the poteii* rial

to

be

a

positive

Inrce

in

deienniiiing

gT<»up

perfonnancc.

The

third,

and

most

recent, perspective proposes nut only that cun flier can be a positive force in a gnwp, but CAj)li<-itly argues that some conflict is /iMntefy

for a group lo perfonu

effectively. We label ibis third school the intrractitmisr virdK Let’s take a closer lout at cadi of these view s.

The Traditional View rhe early apjiroach to conflict assumed that conflict wa-s bad. Conflict was viewed negatively, and it wnv used synonymously with terms such as vioJew. ikstr/tetiftn, and hyoTfonffihy in order tn reinlorce its negative connotndon. Conflict, then, was to 1H‘ avoided. 1 he traditional view wa»i consistent with the attitudes that prevailed alniur group hehavior in the 1930. and 19-|Gs. From findings provided bv studies such diose done at Ihwdiome, it was argued that conflict M’as a dysfunctional outcome resultuig from poor commiinicaLion, a hek of openness and trust heiuecn people, and the failure of managers to he rcs|ymsivc co die needs and aspirations of their employees. pc

view

that

all

conflict

is

had

ccminly

offers

a

simple

approach

tolookinsf«

the behavior of people who create conflict, .Since aU conflict is to be avoided, we lU-ed merely

dircvt

.wr

attention

to

the

cause.s

ofcontlla

and

correct

in order n. improve group and orgamzari.,.,;,] j^rformance. .Mihough studies no*

these

,nalfitncti..mnr

r Chapter 12 provide’‘O'ong evidence tn dispute that this aDnr.«..-k .. high group perfcirnwhce. most of us still outmoded standard.

.. « situanons on the haws of iHis

The Human Kelarioiis View The human rclarions position argued that conflict wac a nor.,..,i and organizations. Since conflict was inevitable fh? h of cont],«. l-hey even rimes when conflict may benefit a nev JoT.unatcd conflict theory from tite ktc

'Kciincnce tn all groups *’’?«190.

thiough

the

mid-19-Os.

The Interne tik>nist View

The

current

human flict

v.ew

rebiums

on

the

likel)'

to

tion.

The

group

toward

ajyt.ach

grounds

become

leaders

i»rrep/c^

that

staQc,

major

conflict a

conflict,

apatheuc,

maintain

the

hamionious,

concribuoon

to

,s

of

an

and

interacrionisi the

inretacdodst

peaceful,

tranquil,

nonresponsive

the

intcractionist

ongoing

perspective.

minimal

to

level

needs

of

the

em,ge,

con-

approach and

approach,

Whereas

cooperative

for

change

thcrcfoi-e,

and

is

conflict—enough

Joup

is

innova-

encouraging to

keep

the

group alive, self-critical, and creative. Ciiven btjconw naive.

rhe

evident Wliether

tnreracrinnisi diac

a

TO

conflict

view,

say

that

is

good

which

conflict or

is is

bad

rhe ill

one

good

depends

we

or

on

hjkc

all

the

in

bad

type

is

this

chapter,

innppropriace

it and

of

conflict

Specifically,

good.

Rather,

some

ids necessay co differentiate bciweeii functional and dv^funcdonal conflicts.

DIFFERENTIATING FUNCTIONAL FROM DYSFUNCTIONAL CONFLICTS rhe

intcrattionisT

view

does

not

propose

that

/?//

conflicts

are

cuo-

flicK Support the tfoals of the group and improve its perl nrmance: these are functions], consCTUCUvt forms of conllici. 'There are also conflicts that hinder group performajice: these are d vs function a I or destructive forms. What differentiates functional from dysfnnctioiial

conflict?

'l

he

evidence

indi-

cates that vou need to look at the type of conflict.^ Spccificall); there are three tyi>es: cask, relationship, and process. Task conflict relates to the content and goals of the work. Relationship con ct

.

focuses on interpersonal relationships. Process conflict ichces tn how the work ge<^ done. Studies tkmonsTratc diat relationsliip cunflicts are almost always dys uncti '\’h5' It appears that the friction and imcnjersonal hostilities inherent in ■XKiflicts

incTease

personality

clashes

and

decrease

1 mutual

unt

erst^‘

dering the completion of <)nrani2ational tasks. On rhe other ham, omfiKt - b. ‘*<-'»ne

and

low-to-modera^e i,

djTifuncrional

levels

of

task

ng*

conflict

conflict

are

ftmcnonal.

For

pi-

Kep, Intense when

they

create

uncertainty’

tymplew tasks, and lead to members working •^elof Q4 conflict conststenriy demonstrates a fMisintc l^tausc it stimulates discussiiMi of ideas that help oop'

about

usk

roks^

.

„-fno.k’rate


1

Gmu)H iu rhe OrpanizaUnn

progressing

through

four

stages;

f

C:ONFUCT PROCESS rtlE

T r

't ♦ • *nv*-«* ♦

potentiaj

, i>e!u'.n
The conflict process tan be chough r of a$ cogniUon and perMjnafizuiiori di'agrainEied in Exlirba 12-/.

Stage I: Potential Opposition

The first strp in the conflict process is the presence of conditions that create oppoco,. nhics for conflict to arise. They n,^dnoT SOMI directly to conflict, but one of these diuons is necessary if ex inflict is to arise. For strnpiiciry^s sake, these con di nuns dsn niay be lookwi at as causes ur sources tlxrc« general categories: cnnimunicatinn, scrucnire, and iKisunal variables.^ Conununicadan from

semantic

'fhe

communicative

difficulric5>

tn

i

source

sunders

tan

represents

opposing

dings,

“noise”

and

forces in

the

that

arise

communication

channels. Much of this discussion can be related to our comments on comm uni cation and cominunicadon networks in Chapter 9. One

of

rhe

major

poor

ronuiiunication

able.

given

to

the

reason

the amount of time

communication evidence

is

inisconceptions

is

certainly

suggest

dial

not

for

each the

problems

that

conflicts.

of

us

source in

most

the

of

us

Such

carry

a

around

conclusion

spends communicating.

of

all

conflicts,

communication

tliough process

with is

us

not

is

unreason-

But,

of

Cour:5e,poyr

there

is

considerable

act

to

rcurd

oration and stimulate misunderstanding.

EXHIBIT 12-1 The Conflict Process

Stage I Potential opposition

-> Stage II

Stage

Cognition and

Behavior

HI

.

Suge

4V

Outcomes

personalization ---------------Increased

-------\

Antecedeni conditions * Communication * Structure

Perceive d conflic t

* Fftrsonai variables Felt conftci

group performance > ____ y Overt conflict

I

Confiict-bandfing behaviors

* Competition * CclUborauon * Accommodation * Avoidance t • Compromlu

that

— ....... \ Oecrease d group ^performance

collab-

A review of rhe research sug^sR that sem • ofinfonnation, ^.jtion and

arc

pmennal

^P»w 12

antccedeni

cwl Negoriscion

‘’’sufficientexchange J^'"’’fovrs co

cndiiim,.,

JenKHistrarcs dial semantic ditficnloes arise as a res.,l?‘i".

Uy, evidence

Ort pvn-eption, and inadequate iiifomiatio,, .h,..,. u a surprising finding: The ix.untid f„,. pjo

firtie

or

too

much

a.miinmicanon

comn.uni-

cniining.xjlechas Further

takes

place

An

i

’^creases

when

either

'’/'"J"'"’''''''

nicariiMi is functional up to a p,int. whereupon it puking in an .neieasc-m rhe potential for conflict Too',nt,ch JOO little can lay the foundation for conflict. Further tl.P rh Sung cn h;ive an .nflne.K, „n a.i™,™.,

as well as »™“-

„OT,s »> informatinn ,s passed bem-een mmibeiTnd rhe dbcTCMc"’'?

Struewre size;

ITic

degree

K,

group

ihe

degree

tion

act

its

tern, oi

of

as

to

forces

to

the

of

between

stuinilore

greater

inversely

m

tins

spcc.ahzauon,

heterogeneity

dependence

be

used,

rouniuzation,

.nenibers.

acQvitics,

found

sm.etun

the

groups.

The

to

leadership

Research

The

larger

of

the

for

variables

in

and

Tenure

and

tends

such

task

reward

that

group

conflict

iJ,e

steles;

indicates

conflict.

potential

include

standardization

group;

likelihood

related.

and

the

conflict.

eontev.

size rhe

assigned

systciiLs^nd

and

specialisa-

more

specialized

conflict

tci

as

be

hnve

been

greatest

when

group members are younger and when turnover is high. There

is

.some

observation

continuous the

porenthi

participation ipation ages

may

w’hen if

also

conflict one

on

that

with

conflict,

promotion

dependent or

for

and the

flict

indication

a

restrictive

but

the

stimulate are

of

dose

style

control

evidence

eon

correlated,

differences.

Reward

gain

is

another

group

(ill

interdependence

allows

one

at

leadership,

of is

flier.

highly

niember's

of

the

noi

others’

strong.

Research

another’s

to

are

expense,

contrast

to

the

two

group

to

gain

ai

much

tight

ina-cascs

that

Finally,

being

to if

mutually

another’s

encour-

create a

on

partic-

participation found

and

reliance

confirm

because

too,

is,

behaviors,

Too

tends

apparently systems,

th-it

con-

group

is

independent)

expense,

opposing

lorces arc siiinulated. Personal lems

Variables

and

r*r«jnalit\'

The

individual

who

“id

prohablv

example,

demonstrate the

most

important

idiosyncrasies

n-pes—for

^nd

most

low

and

personal differences.

individuals

who

self-esteem—lead

overlooked

variable

variables

in

are

to die

The

are

eviilencc highly

poTcinial study

of

individual

value

indkaies

thar

aurhontaiian, conflict.

social

is

certain

do^mane,

Most

conflict,

sv-^-

important, rhe

notion

'■f differing rafoe sv.Mems. That is. people differ in the imporrance .hey give to va freedom,

pleasure,

hard

work,

setf-respeu,

honesty,

ohed.eiice.

and

eqn

differences, for example, arc the host evplannuon of such diverse disagreements over one’s contnburion to the ^oup .md cherawa^ds^c - assessments of whether this particular book Hn dislikes blacks and Dana thinks thinks he is worth $-U),00fl a year bu ■♦.OlM), and that Ann thinks this l>ook is interesting rtu piMvutid lur conflict

him to be worth - Jennifer views ii AS “a iniponant in cre-



hrtn

Stage n; Cognition and PcrsonaliMtion I, the omdiBoivs ciu-d in .Staye I

)rusr«».n. then the potvnnal for opp.«6.^

h the nmdia

antcwJvnt condinons can lead to ct>nfli»

• ?, "x’Xted in «.ur definition of conflict. perceplH.n.s required 1 heretore, or ...ore of .he .«n.cs m»( be o« n.x of the exwicncc ot the anieee.lcnt co.,d,ti..ni Ilouever heeause conflkf is iKMxeivc.l docs not mean it is per^nil./cd, \«nimaybe w.re that von and n co-worker are in disapeen.ent. But the disagreement may „,,ke v>u tense or n.wou.s and it may not influence your affection toward this mworker II is at the level whore wmflivt is fell, when individuals htconie em!«i(,o,l|y involved that iwftios exiieneuce anxiety, tension, fntsir.iuoii, or ho,ulu>.

< * .* * * •

Stage III: Behavior The third stage of the cunflict process occurs when □ member engages in action that fnIStrates

attainment

the

of

another’s

goals

or

prevents

the

furthering

of

the

otbert

interests. This action muse be mtemled; that is. there must be a known effon to frustrate another. AT rtiis juncture, the conflict is OUT in the open. Overt conrtolled

uKiflict

ft^rms

ctners

of

a

full

inrerfcrence

range ri>

of

behaviors,

direcr,

from

aggressive,

subtle,

violent,

indirect,

and

and

highk

uncontrolled

strug-

gle. Al the low range, this ox en Ixhavior is illustnied by the stiidenr who raises his or her hand in class and questions a point the instructor has made. At the high range, strikes, riots, and wars come to mind. Stage

HI

is

oven,

conflict

is

also the

where parties

handling

behaviors

might

lx*

reducing

frustration

are

used

has

become

most

observable.

will

conflict-handling develop

initiated not

Five

in

as

a

stage

behaviors

method IT,

preventive

Init,

for

conflict-handling

initiated.

dealing

in

measures

are

most but

approaches

with

cases,

only are

Once

it.

dw

Conflict*

techniques

when

the

HTJicallv

for

conflict available:

n>mpetition. collaboration, avoidance, acconiTnudation, and compromise.*^ Competicioa

VX'hcn

enjc

part)

seeks

to

achieve

certain

goals

or

to

further

penond

interests, regardless of the impact on the parties to the conflict, he or she competes and dominates. 1 hese win-losc struggles, in formal groups or in an organization, frtfqtiently

utilize

Ac

fonnal

auAont)*

ol

a

mutual

superior

as

Ae

dominant

frirce.

and

each of Ae amflicting parties will use his or her own power base in order to resohta Victor)’ m his or her favor. CoUahoratJcm

Wljcn

each

of

Ac

parties

m

conflict

desires

to

saAfr

frdlv

Ac

co***

cent (»f all parties, we have C(.x)|»erauon and Ac search for a mutually beneficial (>«<• come. A colhboradon, the behavior of Ac parties is aimed at solnng the pnihkm and at

clanfr

mg

Ae

diflerences

particqunts

consider

vivw^nnts

nine

wanlJy

evident.

Ae

mure Because

full

rangi.*

dearly Ac

than of

hx'used,

solution

accoinimMating

alcemahves, and

sought

Ae is

Ac

various

phnts

similarides

causes

advantageous

or to

and

of

view

differences

differenc'es alt

The

parties,

in

liceortie collabon-

win-win approach co resolnng conflieix. It is, for exaini’k’

m IS o ^n^quendy ^.^2^

ratlier

hy

marriage

cuumelonu

Behari.xal

sciennsts

who

m trlationAips, are also strong advix’ato of a colbhi<^“

ovc approach to resuinng conflicts

value

opdi'

.. D •c Abidance Reeogniaing that a conflict exists »

Chapter 12 Coaflict md NemUUon

from or suppressing ir. I.idift'crenct <.r the desire Jisagreenicin

can

result

in

withdrawing

withdrawal

The

iwm

7****”

dentonstratiw

an,1 ca.E sates out a rerntory disontt from the <.ihIX

of

a

«iwration.

Jrtinible. rhe parries may suppress, 6ai is wiihhol.i',h * p,emlK.-n are rcpiircd m imcract pression u. a more probable ouicntne than withdrawal

because-

of

the

interdcil^nH “P-

At<»miiiodanon When the parries .sect ui auneasr th..ir ___________________ willing to place their opponents’ interests above their «w.n rehdonsb.p, one pacn- is willing to be self-sacrifinng 7ve Tcfert rh’Tr'” acoHnniodatioii. UTten h.isbaiids and wives haw diffm.ices it ,s nut un orte to acxom.nodare die other by placing a sp.use’s interest above one’s n™" Compwinisc When each parn- to the conflict musr give up so.nething sharing «x-ur^ rcs-tdnnp in a compromised outcome. In compronusing, there is itn clearwu; net or loser. Rather, there is a rationing ,4 the ob,«i of the conflict or, where the object 15 nut dniMble. one rewards the other by nel.ling something of substitute value •nie disuiguishutg characteristic of compromise, therefore, is the requirement that each part)-give up something. In negonadoiis lietween onions and management, compromise is required in order to rc u h a sctrlemc-iit and agree on a labor contract.

The

Impact

tiling

c’ohflict

for

of

cxawple,

tcristics

Naticmal

will,

to

have-

arc

a

exmsisrent

Culture

soiiie

on

dcgr<x.

repotahon whii

a

Cunflici

be

inttuvnccd

Iwingopen,

society

Behavior by

Your

pnir

direct,

and

by

relatively

marked

approach

cultural

roou.

conipctiiive.

tn

han-

Amencans,

1’hese

ckawv-

low

uncenaiiny

avoidance

in

uncertainh’

avoidance

and high quantity-of-life rankings. i\s

w€

feel

secure

lore,

rend

emphasize

discovered and

to

in

relatively

be

rather

assertiveness,

Chapter free open

'I

he

2,

people

from and

threats fledble.

cultural

in

countries

of

uncerrainry.

(Countries

climate

of

low

low

Their

ranked

organiz^ilions,

high

uncertainty

in

quantity

avciidiinrc

thereol

and

life high

quantity uf life tends to shape a society that is open, direct, and competitive. It would also

tend

to

create

individuals

who

tavur

conflict-handling

behaviors

such

as

competi-

tion and cullaborarion. J his prertiise suggests that uncertainn* avoidance and quantiTyA}ualjiy-of-Lle rankings would be fairly good predictors of which conflict styles are preferred in different countries. Il suggests, for instance, that when one E in a Scandinavian country—which tends t
Stage B'; OutcomeK *K- .nurpbv be^een the ..vert conflict behavior in consequences. -Ks Ethibn J2-1 de.nons^i«. *«: conflut has resulted in an iinprovemeni in t c perfonnante ntav t« hindered and the o.ncome dicn HUUM

Cwiversely. dv^ftmetionai.

Fertril

group

goals

and

acrivitics,

and

increases

the

probability

that

the

hxs

suffered

because

it

group

will

respond

to change. For tional

Manv

functional

GM

example

of

you

don’t

conflicts

Motors.^ of

an

to

part,

GM’s

of

conflict.

the

pt)int

conservative

that

co

problems

over

hired

never

white

and

look

resisted

change—they

ward

to

challenges.

the

questioning

w

past

three

company

almost

who

actions.

back

can

he

were

the

‘‘yes were,

their

others

inside

the

GM

ranks,

the

company

to

lor

the

that

to

insulated

managers

cnnfii-m

the

functionality

lack to

mosi

Vnited

belief

further

a loyal

rather

worked in the past would cxintinue to work in the future. iVIoreover, by sheltering executives in the company’s Detroit offices and encouraging them

func-

General

men,”

successes in

Btde

traced

inidwestern

j>ast

sanctunonious

too

behemoth

Managers

in to

had

automobile

decades

raised

looking

ere

than

individuals

males

j)referrcd They

lurcher

promoted

Anglo-Saxon

who

new’

company have

Il

of

a

States

than

for-

what

had

soaalize from

with

conflicting

perspectives. Research Consider

studies

the

following

administrations

of

group

would

think

conformity phere

in

among

of

diverse

findings.

four

L.S.

A

comparison

presidents

overpower

presidential

constructive

settings

found

policy

advisers

conflict

of that

and

'I'he

related

ro

critical

major

conflict

decisions.

was

six

decisions

reiluced

thinking

decisions,

die

chance

that

demonstrated

that

while

surrounded

conflict.

during

the

comparisons

poor

of

an

the

an

nos-

well-develnped

decisions.^ There is further evidence that conflict leads to better and more innnvad^'^ decisions,

as

established

groups,

among

members

observed

that

members

of

was

73

ditions. bers

well

uith

problems

as

pcrfcjnnance than

when that

increased

group, greater

Other

researchers

than

do

there

analyzed the

percent

different

tended

when

groups

than

interests

group to wui

of

have tend

homogencuns

improve fairly

decisions

average tJiat

productivity.

those

groups similar

produce

groups/

had

improvement

found to

more

close

that

The

It

was when

there

agreement. been

among

the

rcsailts:

higher-quabty

was

The

made

characterized

preceding

demonstrated

by

by

solutions

trary to the traditional view, conflict in the group might !>« an indication ol streng*

eonfli*^

invesngutor^ the

indh’idu^

high-confiict

gro^P^

low-conllkt

toft*

imposed

of

a

ot

Groups

findings

that,

to

suggest

varien that-

ctxv

I r* -T^ , C onflict The dcstruvtive von^ pcrfbmwncc ^’2^ generally «;,c: L oppmitnm hre«l» diicontent lead* to desirut tion of the group \nd l^y cf literature to document HOM- the dt sfunchon J efletu veil ess. Ajnung the more undcsirahlr r> Snuf'f'*"*”’’ 'n gi-oup ujhc-:ivencss and'^M'd’” ® H, thepn’oa'-?' ■>( tnfighnng among members. At the e.rtreme fanctioning to a halt and potentially threaten the gro..p\

Ch>|rt®r12 Confttrt anoatj'm

Th

’_g««P .'‘«nunary mipht d'«ttlve e.immon ries ’ ’’'‘’»»nual ” v<mflietcan reduce of S^oop goals ^’niiggroup

Thedtmuco(anorganiuti.inasaresulioft,w,„.,.^k ti - . i,

gtieht

fit'f

‘I’P*:"

For

instance,

Cod,I d,«d .i„.„

one

of

New

York’s

best

knou'.Ua

"

.1„T? i" *

d,. w

n.ns„lu„,. fin„bT w,d, ,he „,p„,z,d„„, -This w„ , fi™ rf,Jh.ri,”e ,„d pnnoplcd d.He™ an«.„g d,e p„mers ,h„ w„e l,.,i„ll) ir,„„„il.bk •n«, same consultant also addressed d.c partners at il.e.r las. meeting. ‘•Yen. don’t have an ettmoinjc problem, he said. ’•You have » permoaliiy problem. You hate each other!"

NEGOTIATION NepotiKion rioflS.

There’s

obnous: tiate

are hav’e

A

some

worker past direci

interacnons

obvious:

or

with

purchasing

agrees

to

finding authoritv'

benefit,

thcntoelves and

almost

bargains

agents 3 in

and

phone

today

team-based

to

w’hom

work

they

groups

may

a

not-sii-

share

nego-

there’s

ininuies

colleagues even

the

And

organizations,

with not

few

organiza-

s;ilespeople

suppliers.

for

and

There's

bosses;

with

colleague's s

in

fnanagemeiir

peers,

negotiate

having

with

ex^enwe with

subordinates,

ans-wer

future

of

Laboi*

negotiate

customers;

increasingly no

the

the

Managers with

subtle: fcr

permeates

the

in

exchange

where

members

over a

whom

they

common

boss,

negotiadun skills become cTidcal. For our purposes, w'e define negotiation as a process in which two or more parties exchange gocxls or services and attempt to agree on the exchange rate for them. In addition, we use the terms negQfMFtQn and hat^aining interchangeably.

Bargaining Strategies There

are

two

general

approaches

to

negouarion—
b/irgaifung

and

Wrgrgrnr Wgi«ributivc Bargaining You see a used car advertised for sale in the newspaper. It il-P^rs f. IK- just what you’ve been looking for. You go out TO see the car. It’s_g«at^and *’nt i,. The owner tells you the asking pnee. You denV wan. rn pay That much, '■he two of vou ihcn neg.3riate over the price. The nego.iaang process yo ■"g in is called di.trihirive hargawing. Its most idenufying feature .s that « ^ro-sum u,nd.aons. Sat is, Iny gain I mak. .s at y.ur «ed example, every dollar y.n. can get the seller to cut from “ »tVJlar you ,avc. Converselv. even dollar more he can ge So

the

essence

<,f

distributive

bargaining

«

negoua.mg

«ner

who

ge

**»o
I

nrtW Giwp* in the Orgiwiaiwn EXHIBIT 12-2 Ofetributiwe versus Integratiw Bargaireng

BurgflininS < IhinKteriMk AvaibUc *o« rel="nofollow">uniol rcsoitfrv* tf> he divided Pnmenr’ monvBtitnis PiiJimr^ I niece? cs FCICU5 of rcfeiionships

Bafggwiftg

Hi J cribuii><^ Bargainin

Inuyi^vy

Fixed

VarwiHv

I win; wu lose O|>|nised to each oihet

1 wifi: you uifi

t

Conveivent or congrueot wiih each other f. on g lenn 1: Hfchard 0. Hinn. iSaS}. o- 280

Shori le/ni Amed trecn ft X iMM and X*. Wttrer. ••xJurhWio^ --------------------------- - ------ y Copyrthi ® RJ Imii*: ma J ft L-ttw. 1985. ftepr.WKJ nr peTiWion cl ftenert 0 ir
Probably kabur

rhe

most

managenxenc

widely

negntiacinns

cited over

example wages.

of

distributive

Typically,

labors

bargaining

is

representatives

in

conic

to die baixainin^ table determined to get as much money a.s jKJssible out of nianagemcni.

Even’

cent

party

bargains

more

that

aggressively

labor and

ne<(itiates

treats

die

increases other

as

managemenfs an

costs,

opponent

who

so

each

must

be

tic fc a led. E.xhibit

12-3

depicts

the

disrrilAitive

bargaining-

stmtegy

Panies

A

and

B

re^Kc-

sentthe two negoiiator.ft. Each has a Mrger /lowr that defines what he or she would like to

achieve.

Each

also

oeccptabic—

rhe

point

has

a

mutana

below

which

p^/nr, they

which would

marks

the

low’cst

break

off

negotiations

accept a less favorable settlement. Phe area herween their

outcome

that

rather

is

tbaii

resistance points is the set-

tlement range. As long as there is some overlap io their aspirati<;n ranges, there easts a settlement area where each one’s as pi rations can be met. VMien

engaged

in

distributive

bargaining,

one’s

tactics

focus

oti

(tying

tn

get

one’s oppment to agree to one’s specific target point or co get as dose to it as possible. Examples of such tactics are persuading your opponent of die ini|xissihiiity of getting

EXHIBIT 12-3 Stoking Out the Bargaining Zone

<

ftrtjr A*8 aspration ringe -

a

rarcy e s aspiration ran^e — • * Senlonianc range

I

k

Party A's Orftt point

Par^ B's resi$once po(nc

Par^ A*i r^BOnce pom

fergr Bi

p, h/, her

OttHUt «

^ing .h.t v.H,r wrge. is l.ir. while >, ..|.r.r«"y«" w'-gei|’'>'"t-

• .enU™

.o

«.u and

. .

•^*‘***« »»gWynur

'■'rpnng „„ yu,^„^

IflfeMWO'v UjrRam.nK A wks . ,„frr kf. I>.'t ilouxl a St 5,IM)(J.,r,|e, ,• ’-•..ineiA ..v »hworder t>’ h
“*’» l’Pr<>vcaed.xtn

,,|U,.prove .he s..k. bu. .he vi...h,’X;.’:^'‘‘ 'hen nk-.k flu. y.;;,’ " .iiicn.»,v ,«,„c„. ............... .................. .. ................. I""'.*, I„„i I hi^ >jrvs VIvein nvgnrhnion uas. «O .(isrnl.unve bargaining. inUTsrX'pXrW’’' »‘‘'»‘inrag. In eonA!l thmgs l>c,ni; v,(..a,. intcgr.v.vc l.arenir,. 7 “ pimnu. ni»7 Because ,be (ormer hu.lds Io,,, felm"''" '''’‘7" w»rbng mgvihvr ,n the fnn,„, |, gaininfc lahlv Icelmg i|,at l,e ,„• she has acliir.e,! . .he ..lluT han.I, leaves one purly a hner. J, tends m htd|7' .H«vs when ,,c.ople have to work .ogether on an otuX uhy, clu-n. we sve iiitire • r . •. i iitswer lies in thv vundidnns luwssan h.r mdu,k- parties who are open with inf, seruhtiviJy hv both parckX tl^ wtiingni by horh'panks

^’’’rtion har1

/'i, ‘‘ 7"'

barl^trgd.ning, „n

wrpmmg >n />rwniz.u(ons? I'hc ”* » " """

•' "’•t'''"'"''”'* "Itc. take on a win-it-any-cwc

Jmaniic

Issues in Negotiation ttv: TOni-hulc owr JisCMssix>n ot negotiation by negoriafom <1ecision-.nak..ig hia^s, the role o. pcrs-anal.n tia.c, Cultural differences on iiegotianng styles

'^7'^,^

n^in^Ss

ami

the

effect

Decision-Making Biases That wx!'ha7hoped f..r, ricgotiating expvnenccs in which the T«SW S I ^uch as JKI$Wt: Wetul co be blind co opp<>rtunincs «hle ...„ of u negotiation. 'I'he fnlkn^mg .dennhes .setc cm Wind us.'* , ,.nnue « prwi.iady selected t. Irrstwrtal tXfilatian it cimmim"" would recnn«"en| a«» ,* bt™. J «H« X rof n«. eneno. ».! X.

iwsi»w« on lead to wastmg a gtejt munry alirady invi-sted are hr considered w he., selert.ng h.n.te n>UTses

"sun

sflo ^^^uiscsof^b""

of

[ v>« ^in Groups torBain«,s,«L.n«th.r their g».n must come « Che expend 1 M^noted with ircegntrive bargaining, that needn t be the ««,

.

in w?n wtn soln. ions. Sy assuming a «ro-su,n gan.c, you p. oclude oppomtt ties IO find options (lint can allow .nnlnplcv^cKines. “ anchor their ,udgtnent,. on irrelCTuni infoni.arion, snch as an initial oftei. Many fectors .nflocncc the initial positions people take wtien entering a negonatton. 1 hey arc otten mean.ngks, E^-tne ,'egoL.Mors don't iet an inidal anchor mmimtze the ainoi.nt of inforn,atio« ami ihc depti of dunking ihtry lu^e to tt'duatc d smiaaon, and they Uont giv^ iniwh weight h> their opporenr^ initial o^Ter too early tn the negobmion. Pnww/wrt/tfrtwy. People und co bt; OM’HV affeewd by the way nifonnauonispteseniwl io them- For instance, in a labor-nianagctiicni ointraci negocianon, rhax your emplovecs arc currendv unking $l 5 an hour hue rhe union is seeking a S4 raibe. You «ro prepared to go 10 $17. I he union’s response is hkcly tn be Jiffevemif x’ou can succe-sshiUy frame this as a S2 an hour gain (in coaipanson to the current waire? rablicr rhan a S2 aji hour loss (when compared against the union’s demand).

*

AvaMiiity

Xegouators often rely too niuch on readily available iofor-

mation while ignoring more rele^-ant data. Things or events that people have often

encountered are usually easy co remember—they're “j;vailable" in their memory. I6 also easy to remember or imagine vivi
A

whdtib reliable ujid rckvant. The uinner"^ airxe, h friend w
OJK

side (usurily the seller) lias much betfer infiinnatioii ihnti dw

orher. V’ei people often tend to act in a negociation as if theirepponem is inactive and ignore the valuable information ilut can be learned by tliinking about the ocher side decisions. \ou can reduce die ’‘curse' by gaining a*; rnuch information as possible putting yourself in your opponent's shocsQ-veran/nlence. .Many of die previous biases can combine to inflate a person’s conSdence ui his or her judgment and choices. W^cn people hold certain beliefs and e^ecmuons. they tend to ignore infornaiion rono adieis them. ‘Ihe result» that ju^goTiATons tend to be overconfident. Overconfidence, in turn, lessens the inceiv uve to roinproralse. Considering th« suggestions of qualified advisen> or nh,eeiive assessment about your position from a neutral party arc rwx> wav's to this (endenev. '

V wodtlbe

Trans i„ Nego,iatio« C^an von predict an oppc«enr% ^bout his or her' ,.crs<)nalin-? It’s tempnn? "’'Sht assume that high risk takefi

(X-rrall assessments nfiJie personal,ry

12 O.nflM and NtRobaiion

.licj. n-aits have nn signiHcant direct effect m ..iircHnts I h.s conrlusi.w is in.pomn, ,

^"<1 *hat persnn-

rtn HK^ =«’<' siniaticnal fiicrors in c u-h i^meni and his or herrliaracrcristics. ' ‘*‘P‘inmg rpufje and not on your Cdtural Differences in Negotiations Altlmurf, ,h dirarr rcbtinnship betw een an individuals Dcrsnrv?li,

"« ^gnifinint

bsckgrot.iiil does sccin to be relevant. Newttiatin» culture.: egonaung styles deariy vary among nanonJ T he Frtnth like conflict. Thev fremienilv „:putntH>n> a

by

long

ume

ivhethcr „„ns.

them hut

you

thinking

in

for

a

you

ve

executive,

iha.

eve.-utn-e

Japanese,

the

(.hmrse

rather

than

world

fur

cuiinTries

their

like

d.ftcrcnr

diuit

together

pinned

or

might tie

tui-n

detail

stuiJe

and

tn

up

and

these

They

that

anti

reached

start

tlieir

a

eharacicrisTics

the

to

to

and

liked.

i

draw

never

over

a

UK^OS'

end

aie

agam.

known

a^hinXe Like

the

to

work

an.und

iiegobatont

by

when

with

conunitment

Astute

advantage

werk’^n^^

solution

all

Americans

be

ibeir

final

process

end,*'’

al

negoriauons a

against

□len'x

Chinese

relationship

loose

desire

thev

Tlic

believe

develop

every

actiitg and

rhcin.'^

cven^

negouate to

dislike

reason.

douT

impatience

often

agreements,

ncguuating

opponents

and

n.,;,

dragging

from out

the other

neguria-

rioiis and makjng friendship couditioiMl on the final •settlenunt. The Tj’pe

of

cultural preparation

relationships, To

ccmtexi

further

the

tor

the

ncgfiriation

barg'diiung,

the

usedt

even

laciies

illuurMie

of

some

of

and

these

signilioiidy

relative

emphasis

where

differences,

influeiivcs

the

let’s

on

task

negiuititior

look

at

nvo

the

amount

versus

and

interpersonal

should

be

conducted.

studies

comparing

the

influence of culture on business negotiations. rhe factors

first

that

study

were

compared

looked

at

opponents

arguments,

their

negotiating

deadlines.

Kortb

appealing made

to

logic.

They

small

concessions

reciprocated

opponents*

unportant.

The

opponents’ the

appniached *rf«ls. '‘as

witli

Thev vicHcd

as

and

very

made

few,

a

weakness

making

Americans

in

the

to

tried

if and

how

they

concession.s,

and

opponents’

arguments

with

North

to

appealing

feelings.

The

establish

Anierieans

by

always

was

style,

by

negodatinn

any.

Russians,'"

jK-rsuade

subjective

casually.

and

to

persuade

almost

Anilh.,

negoriaring

to

concessions.

arguments

deadline.^

Ainerir«ins,

their

approach

early

tried

pnK-ess

uere

countered

.Arabs

bargaining

North

They

recipriK^-ned

Russian^i

con«i.bions. almost

never

tended IO ignore deadlines.

Any

on

facts

and

deadlines

emooon.

made

I

hey

their

uonte.ssinn

reciprocated.

usually very

couiucrcd throu^out

concessions.

arguments

on

offered

Hnally,

and ITiey

as

concessions

opponents’

an

handlctl

fans.

relationship

the

lo

they'

objeciixx

,.

?yaos /»serte< by

the

aii

Russtans

-.hihited J™ H Brazilians mt

The seeond study looked at verbal and nonverbal by Nurth .Americans, Japanese, and Brazilians dunnp ba ' Snmc of the differences were particularly average said No eighty-thrcc times, as compared » nine times for the Nt.rth zXmcricans.

based

how

treated to

resjKuided

relying

a

Among

The

the Japanese and i mnr.? than live periods of Japanese isp ayesession, North

'lienee lasnng longer than ten seconds duim^; e h avtragvd such penodst iht Hraz

/: <

41

Graopa tn (tw (tifantrarinn

n..,.l.vsic«tv ........ 4v/JiU.tln..rH,.|...nu...ilunn,;.uynt..,......y-m p. tor ,1K ll, 4z.h..nv IK.I >•...•!. ...her live mues ,IMH hour.

,

L

IMPLICATIONS FOR MANAGERS

Miinugiiig ContJUl Al..ny

i«nplf

[,cH.ii-i,i.,iiiv. CoHlIivl

a^suin. I'his

thHi

iTwpivr

enn be eillii r

con,.:! Ini--

k

nhtvil

dcioonsiiiHtd

K

that

lower ibis

group

orgj„iz«i,.na|

JIKI

assuinpiion

is

i.btl,

«k'Mi iiciive lo iln- bou linning ol

vonstnii tivt or

iinil. VVh. n us ino high or ...................... ...

io

FAIM!,

a group„r

biiulers (H;rloiiiw«is'e. An o|„iii,al lewl is

one in wliuli then- is enough « onnivl hi (Mrvi-ul si.ign.itHio. stiiiuil.iii- creativity, Iillow iciiMoi,MiolH-rel«'!iscil, iiiul iiiili.i(vthe seeds lor dmngv. yet hot so much to be iliNruptivc IVIwl ihlvtcv van wv guv to nianngcis f.iced with exussiw oinlljil anil the nvxal h) re
alwiiys

Ix'

best!

Voii

shoiilil

5vk(

t

(hv

rcMjIutioii

0235

ipproach that

technique

npprnpriatt

for

each viluaiioH. Some gtiiJvlHU's lollowJ'^ UM* i

whe>i (|ui( k. cktiMVc net ion is vital (in vtikTgcncies); rm

iin|M>riant issues wbun tiII|MipiiLii actinias need invnling (in vosi5 culling, en(oitingun|H»ptihir rules, diseipline); on issues vital to the organizatioifs welfare when you kii<»w ytni're right; and against fKople who take advantage of nona an* jK’titJve Ixdiavior. Use Are

t
to find an integrative solution udien both sets of o)nterns iinponant

insights

Iroin

porating

toru

to

IK*

people eriis

coniproinised;

with

into

ililferent

a

when

your

perspectives;

consensus;

and

to

objective to

work

is

gain

to

leant;

to

ineige

by

incor-

have

inter-

eomntitinent

through

feelings

that

fered with a retaoonship. Use pressing; bal

when

disruption

regain when

avMthuhc

when

you

outweighs

can

issue

perceive

perspective; others

an

no

tlie

g.uhenng the

trivial

cbaine

henefus

when resolve

is

conflict

of

of

or

when

satisfying

resolution;

information inoiv

more your

to

ini ea

let

{K:o|)le

and

nt

inherits;

supersedes

effectively;

porta

issues

when

cool

when

|xiten-


immediate issues



and

deeisiun; seem

tan-

gential or syinpioiniitic of oilier issties. Use fiMtHJHwtathiH when you fiml you are wrong and to allow a lM‘«er ptxsition h» IK* heard, t<> learn, and lo show your reasonableness; when issues are more tnt]tortan( tion;

to

to Iniild

than

others MH-ial

to

credits

yourxeh for

later

and

to

issues;

satisf)' to

oihei’s

minimize

and

loss

maintain

when

you

cooperaarc

**ut-

I Hatched ami losing; when harmony and st a hi h tv are especially im|)orrant; and h’ allow em|))oyees to grow by learning from mistakes. l»sc*<ewp/iDwnf when goals are uu{>onant but not worth the eflbn ofpotefttwl disruption of more assertive arc

couumned

eomplex

issues;

to m

iiiuiually arrive

s; when op})onenu with equal 5157

exclusive at

goals;

expedient

to

solutions

backup when odldMiraiion or uHii|Tetmon is unsuccessful,

achieve under

tem|>orary* time

seitlemeno

pre*ssure;

and

lur a><

Chapter 12 Conflict and

Toward Improving Negotiation Skills

opponents concessions. Concentrate on the negotiation issues not on the personal characteristics of your opponent. When negomdons get tough, avoid the tendency to anack >^ur opponent. It’s your opponent’s ideas or jiosition that you disagree with, not him or her personally. Separate the people from (he problem, and don’t personalize differences. Pay Litth Attention to Initial Offers. Treat initial offers as merely a point of departure. Everyone has to have an initial position, I'hey tend to be extreme and idealistic. Treat them as such. Jtntphasizc Win-Win Solutions:. If conditions are supportive, look for an integrative solution. Frame options in terms of your opponent’s interests, and look for solutions dial can allow both you and TOur opponent to declare a victon*. e• Create 4an Open anJ Trusting dintate. Skilled negotiators are good «listeners, ask questions, focus their arguments directly are not defensive, and have learned to avoid words and phrases that can irritate an opponent (e.g., “eencruusi offer,” “fair price,” “reasonable arrangement”). In other words, they arc good at creating the open and trusting climate necessary for reachingan imegrarivc settlement. fhi' Problem, Sot Pv-sojuiHhes,

PART IV: The Organization System

CHAPTER 13

Foundations of Organization Structure After reading this chapter, you should be able to

1. Identify ttie six key elements that define an organization's structure 2. Describe a simple structure 3. Explair the ch^acterrstics of a bureaucracy in r* «o

4. Describe a matrix organization Explain the characteristics of a * virtual * organization Sumindrize why managers want to create bouridatyless organizations List the factors that favor different organization structures Explain the behavioral implications of different organization structures

Tdwi K-alh,

h^vedifferem strucn.n.-s and fhji in

rb
folloxving

P^ges,

'defincT/v^'^

'/atiiin's sinirnirv. orew-nr Irilf ,l

aO'hides

and

bdu^dor.

.More

**‘’‘«P<»»cnts thjt make up an uiyan-

■.ontiiigeiuy fachMs that make cvrfd,7i^' T’ 77’''*“''“* •hms. and tcnclud^: by considtrring the •’fnitturus have on en.pinyce txthavin/'^ d'Hercnt effects that various urg.-mitation

WHAT IS ORGANIZATION STRUCTURE? An organization structure defines how Job casks are formally ilivideJ. group«^<*’ tiMjrdin.ifed. For inshirKc. Johnsen & Johnson has historically grouped

specit-

■■

ChaptMlS ^i-aut(iiKHno.is companies organizerl around

Siruciw ™«MRm of

these wnipanies considerable «lecision.,n.ki,n, bmrT""® Tlicrc arc SIX Uy elements that manaire^ their nrpmization-s su-uemrv. These are wnVk „?e

i^’

J^'P*


"'^F^'^nenuUaation, and fonoal-

The following sections deserih^rh'^ as answers t„ an important ns aesenbe these SIX elcmencof stnicnin:.

struciural

Work Specialization Early in the twentieth century, 1 Icnry Ford became r;,-k ...if

....

mobiles on an .issembh’ Imc. FA er) Ford worker was assien'ed For instance, one person would just pit on the ried.t „.ould instidl the h,4.t front door. By breakin, jobs np^n?;

'“‘T’ c. repeutjve task.

will J. could be performed over and mxrap.m, Ford wxs able to prtxlucv ea«aTthc rate ol one every ten seconds, while using employees who h;«d relatively limited skills Ford demonstrated Jat work can be |.crfor.ned more elT.cientlv ,f employtx-s arc allowed to specialize. Today we use the term work specialization or irt-mw «f labar in dcstTilK lilt degree to which tasks in the organizanon arc subdivided into se,;afatK jobs. I by

one

rate

he

cwncc

of

individiiab

individual.

it

In

work

is

si>ccwlizatioa

broken

essence,

dou*n

is

into

individuals

tlvit,

steps,

rather

dun

an

each

step

being

in

doing

part

specialize

entire

job

completed of

an

being

done

by

sepa-

a

activity

rather

ctnintries

were

than the enure activity. By being the

the

done most

with

highly

workers

were

least

have

or

levels.

And,

wages

tend

wort

use

of

developed engaged

to

have

demanding

skilled

1940s,

high

efficient

require

would

late

highly since to

in

its

each

reflect

their

can

of,

say,

ncccwry

result

sophisticated skilled

others

w'orkers highest

m

would

tasks,

jobs

skills.

level

saw

In

diis

most

performed

an

orgunizarion

perfonn be

paid ul

industrialized

be

that,

employees arc

in

Management

employees’

step

skills

The

manufacturing

specialization.

skills;

the

jc^is.

most

w'ouki

more

skill,

tlum

paying

most when

mate

some

tasks If

all

prtx’ess,

all

demanding

and

the

i>crfurining

the

iwt

working unskilled

highly

to

workers.

manufecniring

the

be

means

untmined

s

except

a

organizations,

by

both

as

skilled

bclow'

their

skill

workers

and

tlieir

w

or

ken?

to

r

o

easy tasks represents an inefficient use of organizational resources.

EXHIBIT 13-1 Six Key Questions That Managers Need toAnswer in Designing the Proper Organization Structure

The Key Questinn Is

1. To »hat degree are tasks sulxlividcd uiio ■separate jobs’ 2. OnwhathKiswilliobehegroupidtogethfr; Id ufaun de I iiuhviduak and (TToups rt’p»>rtr Hem ffum* irufe^idaals can < marugcr eftkicntly Mid cffmvciy dirtci? Where «)ue» Owiiion-maiuim authtri ty lie’ In ahu degree »ai there he rule* and reguhtion. IO direct employ«* and

The Answer Is Provided

Cht/i"

J4

Pare IV Tlie Organisation Systtm Mtnauen also I-keri for other efficiencies that could bj achieved through work •r niovec shHs at performing a task successfolly increase through ren, XiTess “pnor

Hme

step

is

in

spent

the

in

nork

changing |,rocess,

tasks, and

in

in

putting

getang

a^.ay

ready

one’s for

took

and

anodter.

equips,^nt

EquaUy

impor-

is easier and less costly to find ami trafo workers to do specihe and repetitive tasks tha^ to

do

a

broad

complex person

range

operations. had

increases

to

of

For

buiJd

efficiency

diverse

tasks.

This

example,

could

Cessna

lhe

and

entire

plane

productivity

is

especially true protluce

alone?

by

on

Nor

encouraging

ul

foghly

soplusticated

e

Citation

jet

likciy!

Finally,

work

the

creation

ot

a

year

if

and one

^ipctialization

sjiecial

invenowts

and nuchineiy. For much nfdic first half of chc twentieth century’ managers viewed work specializarion as an unending source of increased product:vity. And, up lo a point, they were probably right. Because spccdaliz-atinn was not widely practiced, its introduce almasc alw'ays genewed higher product!viry. But, by the 1960b, tliere was increasing evidence that a good tiling can be carried too far. The point had been reached in some jobs at which the human diseconomies from specialisation—which surface as boredom,

fatigue,

turnover-

stress,

-

more

dian

productiviiy

could

be

activities. activities teams

In to

with

addition, do,

low

productiv’ity,

oftset

the

increased some

allowing

economic by

to

skills,

do

found a

they

qualicj’,

increased

advantages

enlargiug,

companies

them

interchangeable

poor

rather

(see than

absenteeism,

Exhibit

1S-2),

narrowing,

that

by

giving

whole

and

complete

often

achieved

bt

the

and

significantly

such

scope

employees

job,

and

a

cases, of

varietv

putting

higher

high

them

output

joh cf into with

increased employ’ee satisfaction. Most ing

source

provides

in

managers of certain

today

increased types

see

work

producrivity. of

jobs

and

specialization Rather, chc

as

neither

managers

problems

it

obsolete

recognize

creates

when

nor

rhe it’s

an

unend-

economies carried

You’ll find, for example, high work spedalizadon being used by /McDonald’s to effi-

EXHIBIT13-2 Economies and Diseconomies of Work Specialization

too

it far.

“ ’Tectalisis in inost heairti Saturn roadening the scxipe of jobs and

mainicniinrc organizations. Or, rhe other h , Corjinraiion, Xtrox.andUnisyTjh.ivehad.sticces.shL’...,'^"’’^"'? leilueing sfX'cialization.

Once

fou've

divided

up

jobs

rhrnugh

work

sDeci

ilir^iL,.,

fohs together so that common tasks can be coordinated T^’ h "^1?

*ese

^O4>e.l Wgethcr is called dcpartnientali«tio; One of the most popular ways ,o ^^oup activities is by yi.^rr.cnt performed A „,anuhcninng manager m.ght org;m.ze his or her plan, b/sCparadng^, XL accounnng, manufactur.ng, personnel, and purchasing specLists fnt.^cLnmon deparrmerns. Of course, depamncntal.zncion by function can be used in all types of organ,7-auons^Only the functions change to reflect the organization's obkctivXand activities. A hospital might have departments devoted to research, patient care accounting, and so forth. The ma,or advantage to this tvpe of grouping is obtaining efficiencies from putting like specialists together. Functional departmentalization seeks to achieve econonue.s of scale by placing people with coiiunon skills and orientation'? into conunon units. Tisks can also be deparuiiencalized hv ducer.

Procfcr

&•

major

pnKkict—siich

authorin'

Gamble,

'The

prcxluct

pcrionnance,

direction

of

major a

the

insrance,

Tide,

Pampers,

advantage since

single

product-related,

accounting and

for

rceently

reorganized

Gharmin,

and

along

these

Priiigks—is

lines.

now

Each

under

the

fxectnive who will have complete global responsibility for that

product.

than

as

rhe organizjjtion pro-

firm like.

all

each

If

an

service

have

would

this

type

acoriries

manager.

could

Each

of

to

a

organization’s

would

a

grouping

related

be

departments

offer

of

increased

specific

activities

taxes,

array

of

are

for

managemenr

the

the rather

instance,

consulting,

under

for

under

setA-ice-related

grouped,

services

accouimbility

product

were

autonomously

for

commun

is

an

auditing,

direction

of

a

product i>r sendee manager, .Another way to departmentalize is on the basis of sales

function,

regions. This

for

Each

form

of

of

instance,

these

may

regions

have

is,

departmentalization

in

can

or tendrory. The

western,

effect, be

a

southern, department

valuable

if

an

mid

western,

organized

and

around

organizations

eastern

geography.

customers

arc

scattered over a large geographical area. Al nized

an

into

.AJeoa five

aluminum

deparnncnis:

tithing castiag-,

plant

in

pressing,;

upstate tubing:

•ng. and shipping. This is an example c.f

New

York,

finishing;

production

and

is

inspLCtnig,

orgapac

-

departmenralizatmn

dqartmenr specializes in one .specific phase in the production o a uiiiinuin The metal is eas, in huge furnaces; sent to the press department, into aluminum pipe; transferred to the tube mill, where it is sire c

finally ’ h P^

and shapes ortubmg; moved n. finishing, where it is »mves m the inspection, packing, and shipping departoKm^ to Quires different skills, this method < >ffers .a basis for the hon g ■A

final

catcgimv

of

depanmentalization

is

m

use

t

*e organizanon se^ks to reach. The sales activities m an otiKc pj .

The OrjCBfuzaoon Sywcm .. .„ m«an«.he hmkun ipivcinmciitnistomcni. .

i,„„ tKrcc dcMronents to *eni« retail, wholesale, ang'^ J^segment irs staff on the basis of wheA^ ' . j dienw I^c awiumpr1<*Tt underlying <-U5itqniet

5.™.- SZ;::.. e^a. ..eparn^^

' that

deparotK-ntalizanon descril.e?,\ sions

.najor

along

inenulizcs

lnpanes<.

fui.cdona)

saks

four

customer

nim

in

the

dectron.o.

lines

and

around

seven

grouping.

Iwo

past

decade.

finu.

i(s

mstancc.

nn.nufacunng

geographical general

First,

for

units

repnns

trends,

uustonirr

nrgan.zes

and

around

divides

houeyer,

each

seein

to

.Jeparnrentalization

rrf

.n

pnxesses;

ta^

has

dep9„.

region

gaining

grown

divi-

n

sales

be

we’ve

in

into

momenps,pularity.

In order tn better monitor the needs of < ustoinei-s and to be berrer able to respond tn changes

tn

those

needs,

departnieniidiiaiion. being

The

complemented

described are

in

tn

organizations

second by

Chapter

needed

many

trend

teams

H.

as

accomplish

tasks

is

have

that

that

cross

have

become

those

tasks,

put

greater

rigid

emphasis

funetionai

traditional more

management

has

customer

departtnentaliwtion

departmental

complex

on

and

lm«.

more

turned

to

is

.^is

diverse

we skills

cross-functional

teams.

Chain of Cuinmand In

the

1970s,

organizations. agers

dw

zV

should

chain-uf-coininand

you’ll

srill

see,

consider

ir

has

its

conttpt far

a

less

iinplioitions

basic

comerstene

importance when

they

in

today.

Hut

decide

hou

the

design

contemporary best

to

of

man-

sinictwe

their organizarionsTbe chain of command is an tinbroken line of authority that extends from top of the organization to the lowest echelon and clarihes who reports ro whom, li answers questions for employees such as, “Wio do f gu to if I have a problem?” aad “WTio am I responsible to?” Yon con<x?pts: a

can’t

discus.^

authority

managerial

and

position

organizaiioui

mand,

each

responsibilities.

ghc

of

of

aimmand

command.

orders

and

each

managerial

is

given

a

degree

unity^of-comtnand

without

Authority

expect

give

manager The

cliain

unity

m

uwrdinanon, and

rhe

the

refers ordcre

position of

principle

discussing

a

to

place

auchoritt’ helps

to

in

two

the be in

rights obeyed.

I

order

preserve

complementary

to the

he

inherent Jo

chain

meet

fAdliiaW ol

his

concept

in

com-

or

hex

of

an

unbroken line of authority.

It states tlnit a person should have one and only one supe-

rior

is

to

whom

subordinate

he

might

or

she

have

to

directly resjKinsible. C(^c

with

If

conflicting

the

unit)'

demands

of

command

or

priorities

superiors Funes change, and so do the Ivaric tenets ok oi^anizational design. The concq>cs of chain of awnmand, authority, and unity of command have suKstannally lew relevance today because of advancements in computer technology and the trend lowani cmjx>wenng employees. lowdevel employee todav can access information in onds that was avaikhle only m top managers 20 years ago. Siinilarlv, networked cixnputers increasing y allow employees anywhere in an organization to contmunioit^ wim anyone else without going through formal channels Moreover, ihe concepts ot ^’•hain of command are increasingly less relevant ope g emphyecs are being empwered to make decisions that previiwsky

i.s

broken,

from

a

several

J . tv resenxd for management. Add to th,\ tr> u. funmonal teams and the creation Z ’’ Popularirv of «-lt , IKMSCS,

and

rhe

of Otg,nixrtcmStniame l

uiiin,--<>f.conniwn

course, still many tirganizations that'’fina^4'



^^fucfiral

desiEnVth^?’"'’^'”^

relevant?^Th' "’“'“P’*'

^e chain <.f command. Th..

Span of Control How many subordinates ca,, a mana.r ■

.

□on of span of control is impnrtaiK because" to Tl''

"rhis ques-

nomber o levels and maj»,^^fs an or^ruzatmn’ has\ 1? T'’ " the efficient dte organizamm '’"'"S equal, die wider validin- of tbs .statcjiient. iraaimn. .\n cxninplc can illustrate the .-Vsunie that we have two ornnip^ij i operaiivv-ievd employees. ;Vs Exhibit 13-? iUustrLJ^ and the other a span of cierht, the wider -;nun n k matelv SOO few. managers. Ke '"X? spn wotdd save $40 more efficient in lenns of cost. But -it kr^o •

ndL •i

Thark

become.s

when

supernsoT.

no

longer

employees,

a

drawbacks.

First,

manager as

the havv can

the

span d.ne

maintain

already

ro

close

desenbed,

provide conlrol.

they're

the Rut

expciisive

^‘pproximatdy -+,100 ttniforw span of fbur ‘‘PP"^a y^mTZ™?S', ously, wider spans are too

n.es.nsmall

large,

leadership

spans

because

have

d,ey

and" rhrcc

add

maiugemenc. Second, they make vcruejl aimTniinication in the organ! zarion more

EXHIBIT 13-3 Contrasting Spans of Control

M«mben at each level Assuming span of 4

Assumirg span of 6

U/

vjjfes’.

Ln o*

OrgAnlzAClen&l level

(Highest)

wa*

Span of 4: OperaiivK «4.046 H^nsgers (Uveis J-6} = IJ65

Span of 8: Operatives Managers (Levth

= 4.0% 1-4)« 585

X

'

major

levels

of

tart W

The OtgMttatwn System

i j . ^351

nfiKT^nicnt 'l^iird upper managenient. nnr
E

can

handle

...ward larKCf ^pans of control. Wide spu^ X. X cut overhead. .peS^ get Jk.scr ro customers, and cmtxiwer emplnj^. suffer lieeause of iliesi wdet spans

a

wider

span

whe.t

r.nplot-ees

know

their

|obs

nis.de

and

out

u.

can mm to dieir co-workei-s when thw have quest.ons.

Centralization and Decentralization In

som«

incrcly in

iHcamwrions.

cam

which

out

top

top

deei^on

luanngers

nwnaecmenfs

malhig

pushed

mnke

all

the

deuMons.

Jircciivcs.

At

the

other

donn

tn

the

Lower-level

extreme who

managers

raanaeers

are

arc

organizrjons

closest

to

“rhe

making

is

con-

action.” The former organizations are higbk centralized; the latter are decentralized, The

term

centrated

at

auchorihs

that

centralization

a

management

refers

single

point

the

rights

is,

makes

in

to the

organizations the

personnel,

then

lower-level

personnel

provide

organ input

degree

tn

organization.

inherent

the

lower-level

the in

ones

key iza

or

arc

decision

The

concept

uicludes

only

position.

Ij’pically,

its

that

decisions

Linn

which

is

with

little

centralized.

actually

given

In

the

said

Or

no

coiiuust,

if

top

input

the

discretion

formal

from

more

to

make

that deci-

sions, rhe more ik'ccntralizfithit there is. .\n

organfz-ition

structurally be

from

taken

and

one

more

employees

characterized that

quickly arc

is

rc.>

less

by

centralization

decentralized. solve

likely

to

In

problems, feel

a

is

inherently

decentralized

more

alienated

an

people

from

organization,

provide

those

different

who

input

mike

action

into

the

animal can

decisions,

decisions

that

affect their work lives.

anti In

Consistent

with

responsive,

there

large

more

derailed

Sears in

companies,

and

tively year

in

sales

1I—which paru

-has

general uKcnsity.

more

makt^s

The

feet

a

efforts

markeil

trend

closer

about

prcAleins

than

do

have

given to

their

stock

Similarly.

than

400

store

so

separate

welding

creating

these

hundreiLs

that

each Illinois

business T

wl

has

to had

top

their Tjol

decentralizing the

managers.

units

focus

average

flexible

decision

making.

and

Big

can is

to

separate on

more

its annual

more S6

effec-

billion of

a

Illinois

to

molded

units,

each

with

its

customer

set

with

l.iser-hkc

earnings

growth

cent over e past ten years indicates that its highly decentralized structure w'orks.

Formalization iz*d H lullT

as

discretion

management

nails

have

such

more

compete

producing

Tlie

typically

retailers

considerably

stores

equipment of

action

Works

business

from

allows

h>

organiziitjons

managers

that

Illinois

make

toward

are

e%eryihing

that

to

managers

merchants.

from

njanager,

been

merchandise

l(x:nl

found

irianagemcnt

lower-level

Penney

what

against

hxs

knowledge

J.C.

choosing

recent

wbicli jnhs within an organization are srantbnl* ,ner what B to be done, when it is to be done, and how he or iJie dK«U

of

plastic

17

OUTI

per-

, , ., j, h:mpl«’y'-‘" ’* expected .»!«-avs to handle the sa uav, resulting m .i consistent and unifbni, nutnur j„p of organizational rules, and clcarlv defined nroced7r

ChapUrn Foundations nfOtBanbaiioBStrwwe fhe same

;,gxnizanons that h.ave a high degree of fonn.SSttu 2?*’

bchax-iors are relat.veiy nonprogranunetl and e.npimxes doin to csercise discretion in their work. .An indivizt.. !•' inver^eb rfi.iied to the amount ofbeha\aor in diat iob th t^' ^...ooix rlieretfire, the givater

® the

of free'« ndaX±

st

£: bow his or her work is to be done, S.ndSt'

The

deg^e

organizations. College iefonn their

Ceiwm

hiKik them

jobs.

goreming weekly tides-

publishing

their

They their

have

no

lor

houses

are

va,^-

tnstanee.

may

be

some

extreme,

new

well

of

sales

known

publishers

little

“spiel,” more

suggestions to

among

“clock

than

on

in

and

what

clerical

in”

at

have

great

requirement emphasize

and

editorial

on

deal

of

and

little

call

extent

to

tlreir

to

a

die

the

organizations

who

publieauons—have

employees

required

widely

arc

represenuuves

.standard

and

other

can

vompanys

behavior report

the

)obs,

irayelers—the of

sales At

oHonnali^tion

professors and

that

they die

by

in

procedures submit

vanous in

8;00

to

freedom

rules

positions

workstations

formalizaoon

of

for

within

the

A.M.

a

new same

or

be

docked a half-hour of pay and, once at that workstation, to follow a set of precise proccdures dietdied by management.

COMMON ORGANIZATIONAL DESIGNS We now turn to describing three of the more common organizational designs in use; fhe siwpk stnutare, the hiiTaucnjcy^ and the j/tatnx snucnm.

The Simple Structure What

do

a

new

Plnruu'd

small

retail

sttrre,

Parenthood

an

office,

elecU’omcs an

airline

finn in

run the

by midst

a

hard-dnring of

a

entrepreneur,

coinpanywidc

a

pilots

strike ha\ e in common - They probably all have a simple structure. The simple structure is characterized most by what iris not rather than what it is. Die simple structure is not elaborate? It has a low degree of departmentalization, wide spans of control, and little ibnnalizadon. The simple sirucnire is a “flat” organization; it usually has only two or three verticil levels, a loose body of employ ees, an one in uil in whom the decision-making autliority is renrralixed. Its most widely pracocec in small businesses in which the manager and the owner nre one And the same. But iris a so preferred strucTure in a time of temporary crisis because it centra i7xs

,

The strength of the simple structure lies in its .simplici^’. b inexpensive tn maintain, and acct^untahility' is clear. One iua|or Jiffifult

to

mainuin

ui

an\-thint<

other

chan

intreassin^Jl

orgam/uuons.

Ir

'cc

-Kly in.deq«u as an organ,zanon grows because its low ^ah74tH>n tend to create information overioad at the cop. ,„„r and c,,, =ven„.lly «
j ^'u ringle he d,e cnmloy fihv or a iboiw. If

-

PtrtIV Thr

The BureautTBLv SundmJizacoft’ die

bank

vour

Thais

where

clothesj

dons,

or

die

yOh

or

keep

rhe

provide

kev

com-ept

your

checking

government

local

di.U

underlies

accouiU;

offices

rhnr

fire

procection.

The>

is

cbawTcrizcfl

li>'

all

^hc

collect all

bureaucracies. department

your

rely

store

taxes,

fjn

Take

a

where

enforce

standanlized

look you

health

work

at buy

regul*.

processes

for cwniiiiauon and control. Tlic through into

burcaocrsicj’

speaalmrion,

ftiiutional

very

lormaLzed

deparnnents,

highly

rules

vrntralizecl

and

routine

operating

legulalioiis,

authorin',

narrow

Uhks

spans

ti^ks

that

of

achieved

ate

conmd.

grouped

and

deci-

sion making that follows the chain of command. Tlie ized

activities

donaJ and

primar)* a

departments

equipmaiu

ornong

tlieir

hence,

less

the

in

ernjitnyees s.

bureaucracy

efficient

results

manner. ot

u'ho

the

have

hen

bureaucracies

cristly—middle*

and

lower-level

formalization,

for

managrnal

alien*'

decision

lies

in

Putting

economics

Fun

.snbsututes

high

of

highly

and peci

regulations with

in

strength

its

like

scale,

gel

managers. discretion.

tnaking

to

to

by The

lo

together

duplication talk

nicely pen

“the with

ceniriilized.

standardin

fuuc-

of

personnel

same

language"

Iw

aMvencks

Siaruiardiaed be

perfonn

.specialties

minimum

opptinuiiiiy cm

ability

lalented—and, of

rules

operations, There

is

and

coupled

little

need,

therefore, for innosadvv and experienced decision tnakers below the level of senior execu Gves.

obsessive concern with ftillowuig ihe rules. WTien cases arise that don’t precisely fit

IBAl,

Ciencral

nrzed

as

because

a it

Electric, bureaucracy.

has

still

take on

high

formalization. become

with

an

Although

difficulty

dons has

Volkswagen.

more

increast^d

responding

Maisushita.

the

However, decent u>e

of

spans ralizcd. teams.

hurvaucracy

rapidly

basic biireaucratic ch of and

and

co

is Mi’s,

have

fujutional

Another

out

change—the

a meter control

is

Royal

trend

of

Butch

Shell—wasorp'

fasbirm

rnday—largely

maiority

of

large

paruc iilarly specialization and

generally

been

wddcncil,

dcparltncnts

have

been

is

mward

breaking

P*^ople, has its own tnissioii and profit goals. hV been estimated

about fifteen j^rcenr of large corporations have uken this direction.* mst^ce, Exsunan KiKlak Im transformed over 10(1 producrion units into separate businesses. And as we saw earlier, Illinois Tool Works has sti'uc.'tured its entire organs iMioo into small, independent busiue»ies.

authority

supplemented

bureaucracies

into smaller, though fully funciioning, mini bureaucracies. Each of these smaller vetkl^

organiza-

up

Chapter n

The Ma**^ Structure j«rfising ^el-on ^kijtp

1S7

P-I>ut«r orga.»z.tk«»l design option is the nurrix ag^«^*je.s. aerospace r.n„s research conn«»HC^.

hospUah.

gosermnent

and

agencies.


lx ,s nse-d m luboutnri«. «>n-

nixivcrMiic-s.

companies, Kssentially, the matrix combines two The strength of hinchoiiiU dcparwe:\ti»Uz^rDon hes in pulling like specidists

cethcr. tJnuiping specialists mndntizc^ the nunsher necessary while allowing spepc'olcd and shared acroto products. li:> majnr weakiieja is that i5(lifth'iih It) coorduiate th^ specialists usks so that th^ir diverseproiemare com^•ted on ririi^* and within budget. Producr deparnncnralizabun. uu the other h«id. K (yuit dy ihc opposite sirengths and weaknesses. It f)Knlitates e<x>rdinanon Q( spe• r B so that they can meet deadlines and budget targets, and further, ir provides ^ar responsihilit)’ for all activiiies related ro a product But activities and costs are ^"plicated "I’he matrix anempts to gain the strengths of each while avoiding their niosl obvious strurtural ch a raci eristic of the rnatrix is that it breaks the .,n nf-comruarid concept. Employees in the inacrix have two hos.ses—their fiincrinnai department managers and tlieir product managers. Therefore, rhe imuixhas a HWWt nXh^u-s the nmtnx form as us«l in . college of busincs,s non. The ac^ulemic department of atconntins, adnmustmtnx smeJjes, tiuitemg.

maiugmenteon-

The OrfMiadon Sysrem «, forth «re ftincoon-1 units, in .tWition, specific pr«gr.n« (that is. pr.xiucta) m overlaid on the fitncQons. In this way. members m a tnatrix structure have a Jo,} 1 assiCTmcnc -w thdr functi<mfll Uepartmene and rn their pnxJuct groups. For < insmTuv. a professor of acvouniing rrx:hmg aJi undergniduate counc reiw.m u, the director of undergraduate programs as well as to the chairperson of the accounting department, r

. ... he

strength

organi/jtion gets

has

larger,

cracy,

irs

people

The

to

so

become

in

in

Information need
in

and

ability

caparit)’

(he

can

matrix

can

the

lo

take

account

lines

of

authority their

to

facihwte

The

make

it.

little

and

tendencies

worlds

that

liureao-

frequent

coiitaet

quickly

matrix

of

tltc

a

eiimmunicauon

nxirc

the

the

organization

In

and

letter

when

an

overloaded.

for

Further,

reduce

As

direct

organization of

coordmanon

acnxinc-s. bcvoiiie

fonnalizutioti.

permeates

protecting

its

interdependent

increased

spetialtics

wlio

pathologics.

lies

complex

results

flc.vibiliry.

the

maonx

inf6nnation-(M-CK'cssing

dit'fvrent

more

rhe

multiple

coiiiplexiry

between

of

reaches

rduccs

hureau-

deparanencai

organization's

and

memheH

overall

gnih

become secondar)'. Tlierc non

of

K

sko

another

specialists.

ftjnccional utilized.

UTicn

department I*he

organi7.arion

with

individuals

or

matrix

advantage

both

the

the

with

product

achiev'es

ro

group,

the

matrix.

resources

facilinnes

highly

specialized

their

talents

advantages

best

Tr

of

and

jikills

are

economies an

the are

lodged

monopolized of

effective

efficient

scale

way

in

and

by

of

allix:a> one under*

providing

ensuring

ilie

their

efii-

dent deployment. I sjcy

he

to

major

foster

pense

ptwer

with

ambiguity whom,

die

often

and

it

power

struggles. of

tional

the

and

to

introduces

role

and

unusual

their

the

for

conflict,

in h

rules

arc

For

unclear

it’s

and

is

to

for

over

stress.

power

desire

Reponing

expecuihms

introduce

more

role

you

dis-

Ixvst

the

by

and

reports

the

struggles

security to

who

create

graiw

prupen-

increased,

gening

also

its

\Micii

unclear

[xiwer

grabs,” who


significantly

fight

for

it

individuals.

frequently

potential “up

on

ambiguity

individuals

produce

confusinn

places

managers

(he

the

ainhiguicy'

(.2onfusion

can

and

stress

product

result.

diinate

lie

example,

reduces

tliose

managers

work

For

products.

V^Tien

uiatrtx

concept,

conflict.

Bureaucracy

product this

to

not

game.

ambiguity,

the

unjty-of-comniand

i.s

assigned

of

struggles^

leads

cialists rules

disadvantages

to

s-pe-

seeds

of

defining between

and

the func-

absence

of

than

one

boss

ambiguity-.

The

com-

fort of bureaucracy's predictability’ is replaced by insecurity and stress.

NEW OPTIONS In

recent

develop this

years,

new

section,

senior

structural w

e’ll

managers options

describe

in

that

three

a

number

can

bener

surti

structural

of help

Organizations their

designs:

have

fimu the

been

compete

team

The Team Structure •As d^nl>ed in (.hapter 8, teams have become an extremely popular means around * K to organic work activities. An organization that uses teams as its central voordinamin device hxsa ream structure. The primarc characieri-sticsof the team sirucWrt

leva ot the work team.

to

effectively.

In

structure,

organization, and the houndaryless organization.

r*Jrtf*

working

I’arriers and decentralizes decisiofl mabng w *■

the

virtual

ChdptBf 13 L* In smaller companies, die team OTutcur

_

"f<3rea'iTad«, Stt

ins„n«. K^dms. an upscale reswurant in Rosio?d«t^?nn?’'' ^,.,p!,rdy anninrf teams.^ J here are teams „ eX?7

« "rganv,i..d

fish, Fwsrn'-and each has full responsilnliry coinp.w.e.s

are

ucnjTt

"^g^nizatiw. For kitehen-mea,,

using

teams

ihrmigb.m..

Kor



;v, L tio’-v & Associates employs 6.200 peonte rh.^

???'

T

Ciore-.e, maker

employ'-’'-’^ Of less and everyone is part of a self--man,3'’'"^^''0 Afore iificn, [Mmcularly among larger ore okments what is typh-ally a burcaucraev. Tlu. sinicuire com,he efficiency of huicaucracy’s standardization reams provide. fining the flexibility that

The Virtual Organization Whyuun

when

small,

core

yon

can

or-an.zat.on

.on?

that

That’s

the

outsources

essence

major

of

business

die

virtual

functions.

organizatina^

In

snucn.ral

XT

the virtual organ.zanon .s highly centralized, with little or no departnientalization ' Companies few

of

lions

the of

such

as

thousands dnilars

of

in

enms

no

Most

Cisco

System's

Steel

Corp,

National credit-card

Reebok,

companies hiismess

instance, of

Nike,

plants.

It

prcK^essing.

that

computer

ExxonMobil

found

.shoes

its

has

they

then

made

niailroom

Corp,

Cisco

Systems

van

do

manufarniring

and

are

and

that

owning-

networks out

Claiborne,

have

without

designs

contracts

Liz

turned

their

assembled

operations. over

just

hundreds

facilities.

ouwnnrces

and

are

Nike,

outside fems

maintenance

inib for

rnnnu&cturmg.

I7

AT&1'

of

a

nf

hrnw.

out its

its

refiner-

ies to another firm. What’s going on here? A quest for mx
virtual

hxs

ownership. duction the

many In

in

stands

levels

of

organizations, company-owned

own

personnel,

virtual

vertical

such

occurs

company’s

extra

organization

employees.

including

organization,

however,

To

in

sharp

management research

support

accountants, outsources

iind

and

plants,

contrast

sales

all

these

many

where

the

and levels,

resource of

tliesc

typical

control

devciopinenr

and

human

to

arc

is

sought

done

markedug

bureaueraey,

in-house,

are

management

through pro-

performed has

specialists,

and

functions

.ind

lo

by

employ

awyers.

e

concentrates

nn what it docs best.

-H

Exhibit B-5 sliciu-s a virtual organizauon in which manageniciit ovtso _ ^’f the primarj’ functions of the busmess. The con^ of the orgaiuzannn is a of exeJunves Their job is to oversee direcdy .ny aetivincs that .ue J-.n-ho^a^ to coordinate relationships with the other organizations t at -d perfom. other erueiai func.ons for the

jj^es in a—

Exhibit 13-5 represent those relationships, c>’pica y n

fo rrinrdinaun<^andcon-

managers ,n virmal strmrnres spend mos, of ,he,r trolling external relations, u-pit^Hy by *ay of computer ne The major ads^tage to the virtual organizauon is drawWk tn this structure is that it reduces l^ness.

primary j managements

control

y parts of its oxer > P

IS#

4.

fWlV Structure of a Virtual OrganiMtiwi

Atfwtbf hff •t««r V

--------- V IMipendtfii rctwch t d«v«fepmem j coMuftmj ffnn

1,

( pftctorits

/ CommUsioned 1 i

I

V

/ General

Electnc^

Ibrnicr

IICJW

chairman.

Jack

Welch,

coined

the

tern

bOttodaryHess

ofganuauon lo describe his idea of what he wanted GE tn become, Welch wanted to turn his coinpaJiy into a ‘‘$60 bilhon family grcKcry sh»re.'’^ That is. in spite ol i& moiKtrnii'i <.ize. he w’anted co eliminate remor/ and and co break down plieiv

ITie

C-VZC/VM/

boundaryless

boundaries withm Ct

barriers between the company and its customers and sup-

organi7ati(>n

seeks

cr»

eliminate

the

chain

of

command,

have

bmities.s spans of conc-oL and replace deparunents with empowered teams. GE has

hasn’t

yet

achieved

this

made

significant

progress.

and

MoToroLi.

r.ctb

AT&T,

houndaryless

So

take

a

have look

state—and

other at

probably

companies,

what

a

never

such

as

boundaryless

will—but

it

Ilewlett-Packanl,

oTyaniz^tion

would

look like and what some linns arc doing to moke it a reality. rank

By

re

mewing

arc

ininimired.

and

operative

.^60-degree

.And

u.‘anis

Cross-hierarchical sors,

tw/w/

boundaries, the

organizadon

(which

include

employees),

performance

tnanagenient looks top

participative

appraisals

(peers

flattens

more

like

executives, others

hierarchy.

a

siJo

middle

decision-making

and

the

aliove

than

and

a

pyTaroid

managers,

supervi-

practices, and

Statu*

and

below

the the

use

yf

employee

evaluate hw or her performance) are examples of what GE doing to break down vertical b<*mndanes. Functional departments create barriers nize

is

activities

annual CUI

replace around

budgets

maintenance can

to

of

through

based a

hotindarics. The wav to reduce thes^

luiictional processes. not

on

worldwide horizontal

departments For

with

instance,

functions

or

is

tn

use

AT&

departnicnc*

tckcommunicaTions

barriers

«»me

crtiss-functional

nerwixk. lateral

I' bur

units on

^Another

transfers

teams are

now

procews w

and

ay

rotate

and

to

doing

such

d*

juanagcti*®^ peo^e

inB^

and out of different fuiiuxional areas. ThU approach rums spcciabsLs into gener^bselien tuJIy o^ranonal, the boundaryless orgunizanon also breaks down barners to rarrnM/cunmniencies and barners created by geography. Globalization. straW' gic allianc^, customrr-urgantxatjon linbges. and telecomtnuting are aJI exampb'^^ pracTK-v. th« re.lu« „ien,al boundaries. For insranee, firms such :.s \tC CoT Boeing, and Apple Computer each have strategic alliances or )oini iiarmerships «•'*’

L

I* I

The Boundaryless Organizatum



<|o,CTs«rn».n,wnies.TheAe alliances hlurvk . jn
z.,

ir,,nrh.

‘'’’Cinction

StriKt we

l>jtwe«.

.evhntlu "J,

.h nerworked computers -iT

<•

»»o*.ndirvles,

i„tnorpan.zanon..l and

1-ople to comniuniJ^X

JVHY Dt) STRLiqTCHEs Dih-FER? Tfcr orxaJHxoiJon trCrm nij^s dvR’rjbcd so f sundjrdi/.kxl burcflucnuA to the lrM«s

•.

^ged

from

the

——w smiiniMj

hiehlv



IS. eecooce, JI,., ch models o( orjr,m..r,nn s^ttnrc. One eauj J he X" •"'= ^lerJIy sy.x,nyn.ous u,di the l.nreaMracy i„ th n it (<jan,l,Z2an„, -., hnuced .'nlbrinatit.n

'*««• . ’""’Aamstic model. I,« j J h ■‘^»^««»«»i2atwn

ntnv

‘^c^nward onnwniution). " «'gari?ation. h is possesses

and We p.imnpanoii In' low-level nw.nbers n, « the organic mtxld. I hi. nxxlel look, a lot like thX^Z”^'. d^ir, uxs tTw.s.h2«75rfhicaJ and
J oreanic

mo.h-P

?!»

structured

we-rv now prepared to address tlut X

StrategyAn

organiiadon'b

Since

nhjctiives

siriiiture are

derived

is

a

means

from

llic

to

help

organization's

management overall

achieve

straregi’,

it

its is

ohjectives. only

logical

that strategy and structure shoulil be closely linked. More sueeificallv, structure

EXHIBIT 13-6 Mechanistic versus Organic Structures

Mechanistic structure

• Hi^ horiional dtfferentiation • Ihpd hierarchical retationship* • Fixed dudes • ixwaUcKioA • FOHMI wJ cornmi**®'’®” chtf*«« • C«wr»lMd dMiston authoHcX

Orf ante structure

Low horffOAQ/ di^IofeAtiabon Col^a£rorac>or (ho(>^ verr^cal and horizontal) Add^shle df/tes Low Ibrmafizaoon Informil commonkadon Oecentndiztd decision luchority

X

itl ftirt IV The OrganiMdon System should foJlvw srrftKgy. If management mnk« a mguificani change in its stTaicgv. the srruccurc will need to be modified to aecninmodate and support th« , Most licMi.

1

current

cost

each.'"

In

vices?

An

changes rions.

strategy

minimization, whai

from ()hv

5,VI

an

strategy

Co.,

does

alt

but

not

but

tirms

ifs

on

die

not

a

rather

u

design

inaoducc

mean

pursue

three

stnictural

niganiaacon

offerings

not

tocns

iruiiation—and

dtws

previous

ir^usly.

characteijzc

and

degree

uioos-adon

framcwi»rk&

that

m.n)OT

strategy

one

for

puniueti

b\'

simple and

sttflteg)’ the

bwc

w„h

or

ser-

products

merely for This

works

new

ineiiningfril

mnovatioh.

sinitegy

I. . strategy’ dimenMon^—innova-

or

cosmetic

unique

innova-

may

appropnauty

conservative

Brilishretail^

AUrks sSpcnccr. An urganiMTion that is pursuing A ciKt-miiuraization strategy dghily conrroU costs, refrains from incurring unnecessary innovation or marketing expenses, and cues prices in selling a Iwic product. ITiis would describe the strategy pursued by WalxMari or the sellers of generic grocery* pnnlucts. Organ bodi

of

bafions

the

tunity

for

after

their

prenous

profit.

heir

xiabiJicy

has

and

rip-oJfs

designer

ol

smaller

been them.

styles

Thc)-

strategy

seek

to

to

move

proved

by

innovators.

Alanxifacturcrs low

such

innovative

tljc as

into

of

competitors

to risk

new T

capitalize and

hey

take

strategy;

and with

superior

or

the

rhe

new

label

They

the

but

opporoijy

ideas

of

tint

an

gocxis

also

iif

markets

piob^hly

ewenrially

products,

best

successful

fashion

I'his

Crtterpillar.

on

tnaxitmze

products

mass-marketed

uiiitation IBM

try

minimize

is

lol

firm.s

more

inutation

strategy’

copy

well-known and

an

stnaegics.

I

innot^ators actcrize-s

following

char-

follow

their

after

their

only

coenpetitor^ have demonstrated that the marker is there. So organic

how

link

while

srnicTure.

structure

iries»

we

structure,

mechanistic tic

do

while

in

rhe

cost

to

same

and

structure?

minimizers

Imitators

order

;it

strategy'

combine

maiiibiin time

they

seek die

tight

Innovators rhe

two

controls

create

need

efficiency low

(jrganic

costs in

in

of

stability

They

subunits

fie.vihility

and

structures.

and

the

use

a

their

which

of

the

mcchani?'

current to

the

pursue

‘activnew

undertakings.

Organization Size There

is

icantly

considerable affects

employing

tions. rate.

more

But The

once

adiiicional

SCX)

ID

son

support

of

levels,

size

an

and

isn't

employees

shift

an

to

will

not

toward

more

and

that a

has

organizations—typically specialization,

an

more

do

it’s On

inemliers

signifthose

depirtmen-

Miiall

at

oi^anization

mneh^impacc. 300

than

more

structure

employees,

only

size

org-anizatiun’s

affects as

2,000

have

an

regulations

size

important

suound

that

large

have

Rather,

less

organization

notion

rules

linear. hai^

die

instance,

more

becomes

organization to

For

people—tend

relationship

cmpioj’ees a

more

vertical

impact

to

structure.^*

or

die

Essenrially. ^ng

its

2,000

ulization.

evidence

a

organiMdecreasing

e.xpands.

VVhy?

already

feiriy

incch-

the

Other

hani

is

nxcchanistic

hkelv

to

result

structure.

Technology The term laMogr refers to how an organiMOon transfers its inputs into output Every- oqpni/.anon his it least one technnlogv for fonverting financial, human, an^ .'i physical resources inrn products or services. ITie i^ord Motor Co., for instanct.

1

J

a<>n.Hi«'lly U«s an assembly-line process u, ,„alfv ir. opisereiiies nu>- t.se a mimber of msinKtion leehnol..^ If.!,ire nivth.Mi, the case analj-sis meUmd. the rxnei ienr

'^^-P"Pular rormal

graiW’fd leanung nierhod, and
mward ether roiir.nc or nonroutine activ-ities. The hwmer are dnr^

a“k'*'

P,jred anti standardized operatum-S. Nonroutine activities are indu^-l' varied operations as formnirc restoring, custon, sh..emalci..p?Z?ga.S W'bal the

reJariuiisliips

relanon^hip

is

„th

taller

,„d

fontiahr-ation,

associated

and with

nor

have

between

found

i.venvheln.mgly strong,

more

tkpartmenwhz^l

however, the

hec,

i.s

presence

su

n.le

find

uetutes.

stronger. of

we

technoh^sjy

Studies

mannals,

that

The

an.l

structure’

toutuie

tasks

rebuonsh,,,

consistentiv

show

Althnuph

are

assoriaiS

ktween

teehnolZ

lotitmcuws

job

descriptions,

and

of

insutunnns

or

other

to

£

formalized

JiKUUltncaQon.

Environmental L'ncertainly An

orwniiariujb

environment iind

dieorganizaiion

is

potentially

composed affect

the

forces

or^^anizarion’s

thai

performance.

are

outside

The

environ-

ment haj, Hvqi.iired a large following as a key detcrminaiu ofsniicnire. Why should an organization's structuie be affecced by its ciwironmeot? Because cfenvininmental unevrtainty. Some organizations fate irlativcly static environments; other oi^anizations face very* dy^namic emiroiuncnus. Static environments create sig* nihcanlly less unceminty' for managers than do dynamic ones. .And, since unceruinty a threat to an organization's effectiveness, manageincnt will try to miniinize it. One way Io reduce environmental uncertainty’ is through adjustments to the urganizadon's stmcturc.^^ There uinty

to

is

sulisraiuial

different

cain

thcenvironineiii,

will

lead

to

evidence

structural the

higher

greater

that

relates

arrangements. rhe

.irganranniiul

need

tlic

Essentially, for

effectiveness.

degree the

flexibility. Conversely,

nt

more

environmental dynamic

Hence,

the

in

stable

organic and

ernironiiienth. the mechanisric fomi will be the structure of clmicc

ORGANIZATION STRUCTURE AND EMPLOYEE BEHAVIOR ''f '^tened this chapter by implying that an organizations ’’^‘^'’^“'^5 fuund cfifects on its members. In this section, 've direcrlj assess iust wlia review of the evidence linking organization -^nct and satisfaction leads to a pretty cleur conclusion-yon "w-one prefers the freedom and flexibility ‘’^™^^“rdized and ambiguity is "**» pruductive and satisfied when work risks arc sundardue

and

(.Jects

Not

uneernnccrstnicturc

predieiable

mWmtadvniploycc

pretcrenccs

R.r

work

.pec.hz.Uon,

m.lK..t.s that ..ri-

span

wnuil.utes to higha,

ZJSX^S2,S;»J=S

^we

noted

nnKluctiviry. human

Pn>ble..«

disXonotnio

sDeciah7atwin lhat

}ol^

pre-vSousIv.

V

are

start

of

u.

surface,

doing

the

and

pn>ducnv„y

repetitive

and

h.'i*

(xx-oiuc

wdilloruc

imrinsicalh’

.nd ,U H- of i..l. »Us pc^ndo. speciabzadon is tu.t an unen.hng source

work

rcwanling,

the

4

narrow

tasks

more

point

at

begins

to

suffer,

overtake

highly

which

of

rhe

tdufaud

when

the

economies

of

deMfous

of

and

prudueovin

higher

begins

rn

decline

seems co be reached more quickly than in decades pasr. Uiidouhtedly were

Their

there

is

highly

parents

still

a

ization

and is

segment

there

is

that

Some

of

two

liehaviural

professional

would that

individuals of

o|>eracing

ih

I

from

cKcupicd

by

overly

naive the

workforce he

higit

makes

qucsiitm,

of

high

reality

that of

intellectual

work

special-

is

jxjrtxjnt, w

whether

(oven

that

c

might

conclude

most

likely

to

needs

for

urc high

dm

repetitiveness

ofcoiitsc,

Ciireers,

with

the

|ohs

minimal

fifty-two

sfiecialization

individuals

and

people,

or

choice

ignore

routine

these

empirical

specialized

to

that

For

The

rhe

be

work

rounne.

of

of

prefers

want

sorisfacrinn.

percent

tolerant

ii

workforce

outcomes

jobs

less

but

security

iob

srif-srkcrion

iicgaiivc

arc

the

the

represents

some

of

lobs.

source

today

grandparents,

provides

a

croup

in

or

specialized

demands

this

people

sur-

personal

growth and diversity; A rG\’iew of the research indicates that it is probabk safe to say there is no evidence is

to

support

intuirively

a

l

attractive

elationship

between

to

that

argue

mance

because

they

pi-ovide

sonal

imuanve»

but

the

impt-)s«ble

to

that

high

satisfaction

or

individual

differences. of

a

theories

of

leadership

explain

when

any

Sonic

securin'

empioyees

research

stare

formance

a.s

more

Ixiss

who

or

fails

and

narrow

in

support of

to

Iw

available

spans

and of

at

lU the

coinrol

and

lend

to

and

this

control

subordinates.

Chapter

fonftvl

superv’ision

span

like

abilities

nf

spans

to

among

quickly

discussed

experience wide

is

large

disStant

particular

people

fp/tu

employee higher

more

luuiott

is I'hc

best

At for

is,

alone,

whereas

all

dmes.

Several

would

lead

are

of

likely

to

this

structure to

the

in

contribute

formance and fob satisfaction. VVe find fairly so'ong evidence linking ee/fn-f/liztrfm? and job satisfaciian. In g^cral, orgaruMUons diat are less centralized have a greater amount of panidpative dwtsion mnkmg. And the cvidvin r suggests that participative decision making is itivel> related in job satisfaction. Bur. again, individual ditfcn^nces surface. The rcl>UiKiship beiMvcn dccentraliz-ition and «usfacrinn is strongest with emplov.xs who Sv r"individiuls have little c-onf.denc-e in thei^alxboW held soldVres'i^Libk individual

again,

expcci

conclusion: lb maximize emplovev perfiiniiaiux ami sausfact**

for it

is per-

prolwbly

prefer

the

contingency

factors their lo

per-

high

others of

perfor-

point,

producing

left

degree

employee

(jpponuniiy

rca.son

us

perfonnancc.Ii

.such

tasks their

to per-

J'"

4i

IMPLICATIONS FOR MANAGERS An .
. ’’'d Pedi« and group '’3*e an important lieanne™, ,k”

X

««'>’nh art'■‘^‘'“ces anihigutty and "" ^cilimtcs and m/Xat«

Of course, sirucnire SIM) vi.nstrain.4 i and

voi.fioh

«’h.ir

they

do.

For

«a,„pie

orv-SK

levels ol tonnafization an.f specialization' serL ..T’”'" mend. Iimin-d ■lelegad.jn ofaoib.jrjn' and narr ees huie autononty. Concrols in sud,' tend to van- within a narrow range. In contrasL ort.\n” u arotnitl Innituf specialization, }o«- formajiz n’ion lilce provide employees greater freedom greauT bch^Mnral diversity;

high d’e chain ofcom*iM *tructitred • I be characterized by

Technology and Work Design A
Explain the three key elernents in process reengineefing Contrast mass productiori and rrrdS$ custemizatton Identrfy the cbaHenges to molivatlng employees In e-orgamzations Explain how e-organizstions are rewriting the roles ot Pescnbe the job characteristics mode) Contrast the social niorwation-processing model with the job characteristics model

7. Oesaibe how a [ob can be enriched S. Compare the advantages and disadvantages of flextiime 9. OesCTibe why telecommuting has grown in popularity

<^chnoli)gy

T

is

completely

changing

most

organixarions.

In

this

chapter,

wo

fcxnis

on bow lechnolngics of operacioii*? and infnrmarion are influencing Tnanagemcot

and work processes, and how managers can design folis and work schedules to man* mizc employee perfurmance.

TECHNOLOGY IN THE WORKPLACE Wc inuodxKtd the ww

in v!it ptxvwnis

iHscUSsion

cures dilTer. We said it was how an organization transfers its inputs into recent years, the tenn hus become widely used by economist, mun^^gurs, cons and l)usine$s analysts ro describe machinery and equipment that use sop electronics and computers to produce thoMi outputs. The common theme among new rcchnok»gies in the workplace is so rule machinery ftjr human labor in iranslorming inputs into outputs. This

jp

1^**

Chapter 14

,,

.nd Werk Re..Aitit>n in the niiiMSOih. F.„

''"fe the hid«stri»l

,i)e

h> .ntn.luve .nu hnnica! I.H.ins ,h«» eoul 1 . more elu-..,.ly ilr.ni w.,s ,x.sMhk when ,he j, h» l«en tlu' c..in,>utcnr.rttinn ol cquipuH-nt and n. t

dinged ?

''7'' '"‘lividiiak But

cenltiri that has been the pi inx- ninvcr in reshaninir „Jlcr inuehiiies. for cKiiinjile. have i-cplacud tens of .1? ’ ""'■ki.latf. Aiih.mated

ijuHrtcr-

banks. Nineit -einht perve.u ofd.e spot welds „n new |.\2rr “ ' n
IBA1

has

buili

a

plant

in

eoinpuu-rs that

Austin,

3exas

rUai

*

i

v^haiuus

hours

to

nut the help of.»single worker. Kvei ything h ,,,,, ih^. j',7"

diag-

with-

to the final pacing of finished pnidnets is completely autoinauT''" ThK book IS concerned wHh the l>e-havior of people at work: No coverage of this today, wotild be complete w.thon, d.set.ssing how recent advances tn techno .^,are J.ngmg the workplace and .rtecting the work lives of employees. In thlsX t„M,, we II look at three spembe issues related to teehnologv- and work. These ire continuous iinpnn einenc processes, process reengineering, and mass enston.iaarion.

Continuous Improvement Processes In

Chapter

customer

I.

we

satislaction

processes.

This

and

even

that

instance.

3

However

result

in

the ?00

qualih'

through

search

percent it

L

sound

Post

incorrect

conn

minus

error-(rce

Office

surgical

can,

great

losing

eonstant

when

like

you

pieces week,

he a

realise

of

of

mail or

two

isn't

improved

this

hour.

plane

gotki

upon.

standard

that

of

organizational

that

high

an

amuviient

all

recognizes

should,

sounds

each

the

improvement

and

2,000

procedures

seeking

improvemein

perfonnance so

as

eonriminus

perfbimance

doesn't .S.

management

the

tor

excellent

99.9

lence.

fonning

descrilwl

For

of

excel-

standard

would

U.S.

doctors

crashes

a

per-

day

at

O'Hare Airport in Chicago!^ Quality menu

so

increase in of

customer that

that the

results Inc.,

management variahitiu’ uniformity

lower

costs

Champaign, qu.ility

same

progrAins is of

audit—from

period,

constantly the

and

Illinois,

monthly

seek

to

reduced.

product

higher

or

the

number

26..^

per

1.000

For of units

production

continuous

WTten

service.

qualirv.

cut

unit

achieve

you

product to

0

tripled

eliminate

Increasing

instance.

and

process

defeexs-as over the

a

variations,

uniformity,

Advanced

turn,

Sy^wms

detennined penod.

er

you

in

hiltration

4-year

num

improve-

hy

a

Uiirmg

o

wor

ers

o

1,,creased

declined bv 20 percent. J’’

tens of thousands of organizations introduce men(,

how

will

employees

be

affected?

They

will

no

longer

c

.1:

e

previous accomplishments and successes. So some peop c may exp wress friHn J work climate that no longer accepts comp with no finish line can never be won--a situatioi lju.s tension may be positive for the organization <-haptcr 12?X hut the pressures from an <’an tTcate anxiety and stress in some emphnyes. I ni > for cmphi’yees is that management will look to '

constant tension, in,ieThfuif eonflia from ,^prov niost significant implisource for part and parcel

ideas. Employee involvement programs.

T

RBftW

The Organize tinn Sytcein ,.f

coniinuoas

ment

in

improvement.

|jroce«

Empowered

impr.wement,

for

work

iiisunce.

teams

aix

who

widely

have

used

hands-,xi

m

invok,.

orgamzattom

thai

1 '

inrr/wluced quality pnHtrams.

Process Reengineering We abo intnxJuced prrxess reengincCTing in Chapter I. Wc described it as considen» bt>w > r>u would do thinp if you could start from scratch, llie tenn reenginemng CXMI^ from the pnicess of taking apart an electronic product and designing a better version. Michael f hnvner applied die term to organizarion.^. UTicn he found companies computers simply to lutomate outdated processes, rather than Tinding hjndamentaUy better ways of doing things, he realized that the principles of reenpneering could applied to business. So, as applied to orgamMOuns process reengineering means th® management should start w’ith a dean sheet ol paper—rethinking and rtdtsignin^ those processes by which the organization creates value and does work and ridding itself of operations that have become anoquated.Key

Elements

Three

organization

\

horizontally

by

that store

the

dis

lined

locations,

instance,

a

more

comprehensive

distinctive

better

than

efficient

itself service

competencies

process

so

system, technical

its

competitors

technical

support,

important?

Because

by and it

are

idencHying

processes,

and

competencies

competition.

superior

from and

its

core

disnncdvc

distribution

or

reengineering

assessing

organization’s

personnel,

differentiates

of

competencies,

An

docs

sales

elements

vc

process.

organization

knowledgeable ware,

key

Examples

higiier-quafitt* support

guides

prices.

what

it«

include

better

products,

more-

Dell

emphasizing low

reorganizing

define

might

an

('.oiuputer, high-quality

VA’hy

decisions

is

for hard-

idendfiing

regarding

what

activities are crucial to the organization’s success. Alanageinenr also needs to assess the core processes chat clearly add value to the organization’s

distinctive

rials,

information,

ues.

capital, UTien

planning each

to

adds

activities

the

and

organization

after-sales value.

drat

competencies.

Not

add

labor

is

as

support,

surpri .singly, or

into

viewed

curunner

little

These

nothing

are

pniducts a

the

processes

and

services

series

management

this process-value of

of

value

and

that that

processes, can

transform the

riuigiug

determine

castomer from

w’hose

only

ju.stification

Process reengineering requires management to reorganize around horizontal piYiccsses. This means using cross-functional and self-man aged teams. It means focusing on processes rather than functiorw. So, for instance, rhe vice president of marketing might become the “process owner of finding and keeping customers.Ii means cutting out levels of middle manageinein. Hammer points out, “Managers are not value-added. A customer never huy-s a product because of the caliber of management. Management is, by definition, indirect So if possible, less is better. One of the gcwls of reengineering is to minimize the necessary amount of management.*^ Implications for Employees Process reengineering has been popular since early 1990s. Almost all major companies in the United States, .Asia, and Europe reengineered al least some of their processes. 1 he result has been that )oR have loM their jolw. Staff support jobs, especially middle managers, have been partied' larly vulnerable to process reengineering efforts. So, loo, have clerical jabs in seP'k^

val-

strategic

what

analysis typically uncovers

always done it this way.”

industriuH.

to

mate-

degree

a lot is

of

Sve’vc

‘^•Moor .nd Wwk Dwjp,

pniployces who keep their jobs after proves ,hat they aren-t the same jobs. These new k'k j^Juding niore nncracon with eusromer, antSpp ^,n«hihncs, and htgh. r pay. Ilowexxr. the dlec ?’ bnplement process recngi.u-enng is usually toud, oL ^ruinr) :>nx.cn ass.K.a.ed wid, taking on new It^HSuhhshed work pracut^s

W«'>X fo«n
formal

social

network

jklass Customization The

Tom

Clancy

or

Stephen

King

paperbacks

vuu

find



i

i

printed on huge offret presses, then stored in hanr-a.-size waXh^''"'" du,T^



bookstores

m

fleets


trucks.

The

nm-ek

are 7'’’

pn!K^ of several-hnndrcl thousand <x,pies Rot print rtins to kee,» prodiH tion costs down. called

Print

even

one

at

and

.store

h.gh-iech qualilv

on

Demand,

a

nme-aimost

it

m

a

These

Ixaoks

mstantly.

prinnng-and-binding paperback

these large

allosvs

centralized

m.

to

Publishers

computer. machine

high-tccli

pnxlucc^and

be h„ve

Then,

only

when

goes can

by

action,

be

in'snul'

digitice

t.r.lered

into

machines

to

sold a

a

hooks

customer

creatmg

Icxated

in

a

hewkstores

qumdi^'’ contents a

sinde

slick

hiX-

allowinB

a

store to custoni-print a book for a customer in sixty seconds oi less. From demanded mated

the

days

mass

large

Henry

production.

processes

favored

of

to

Firms

because

systems

to

through

used

manufacture

quandcics

ma«-prndi(Ctii)n

Ford

division

producis that

the

in

of

prtxhieoon

Industry

Ford’s

cHieienaes

standardiz.arion,

quantities-

costs.

costs.

1990s,

labor,

large

i-educed

minimize

late

Eennomies

after

Model

industry

T,

and

auto-

of

scale

relied

on

.McDon.ald's,

and

Levittown stand as icons lo mass produennn. Neu

technologies

(CAD/CAM). they're

making

toinizarion tKts

that

manufacturing

ft>ods,

mcthixls. converting ^^’rp.

possible

sendees

production

Peking

are

encompasses

and

aged

however,

mass

are is

one

for

products

to

'*b«iId

order”

that

Strauss

have are

of

two

like

tbsu

Print

are

to

of

whjch

be

custoniei^ And

been examples

it

firms

manufacturing production.

Demand. enough

to

cuscoincrs.

1

Some

products,

using

traditional

wanr

custom ibnc

HCCIIIS

configured of

On

indiindual

made

and mass

flexible

custoroizahon.

to

systems.

design

economies

lajlored

mass

continue for

the

pniccssrs

individually

Bur

l^vi

computer-aided

customization

production

probably to

as

undermining

will

pixxlutrti and

such

for that

their have

niass ciistoiiiization. Ca.se is a huge farm and constniciion equipment mauu

Mass

cus-

create

prod-

he

hiture

such

as

pack-

firms

are u

wdl^

mcrcasmgty

particular

success

\

needs? em

ra

. ‘

^ned all its products to mass customization. For ^^gnujn farm tractors arc now made exclusively to order. Lnder its r ih'ev had 'n had u. sele.1 from the model, and options chat a dealer had *■*116 months to get the one they wanted. Now

customiKd

*'pti<jns such as engine, tires and power tram. / '^■’w in 5 to 6 weeks. Iwrvi makes IW stvlcs of jeans. Still, many **« they’re hMkinp fok No proldeml Uvi cun provide them wiffi

of

inass-producd^

features

custumers

And

jjpd a pair that is exactly eiustoni-fitteJ pair,

i

1

Mrt IV The OnntcMMn Sysivm choosina from 3 k.ic inoriels, 10 “made

to

order"

jean,

«

5 kg .nd 2 types of fly. VVTuW hit

inoi'e

(al^mt

S55),

l.evi

uses

computer

Standardize options and v»it tosu. Mass

nisuHnixatinn

technology

h,

'

j.

oficrx

advantage^i

to

both

customers

and

manufacturer^

Customer don t have co n»npromise. I hey tan have the products they want, tailored to their individud tastc.s and needs. For manufacturers, they create more sansfied cu&. tomer-?

whiie.

res-ults

in

litdc

nr

the

or

no

wiic

time,

incrcaMng

work-in-progress

or

pnxiuction

effiucucy.

ftni.sheri-gcxnls

c-ustomitatiun

inventories

and

iv.iob^obtc

pixjductt gaihcrinc duHt on shelves or in showrooms, and it requires less working cap. iui. Case says, tor instniicc, that merely by reducing im entories of its finished UHUm by more than half, its fiitviug between SL.^00 and $2,000 per marhine. J he downside of iiuss customization is that it creates increased coordination demands on tnanagemenu And it typically requires cinployecs to go through signifb cant retmining. Mass <'usr(>mi7.ation usually requires reengineering of processes, and reorganizing w ork ai’Ound teams to increase flexibility.

ORGANIZATIONS BEHAVIOR IN AN E WORLD area

of

technology

is

changing

t or insiAiK f, rerms like current

lexicon.

In

organizations

more

than

electronic

technology,

and i -husiftexf have hcconic a standard parr of die

this

scciicni,

we’ll

define

an

e-organiration

and

die

affect

it

is

liv-

ing on both iiuhviduai and group behavior in rhe workplace.

What’s on £-Organist ion? E-
refers to

the

Hales

side of

electronic business.

V\Tien \*ou

read

about

rl*

tremendous number of people •ndio arc shopping on the Jnierner; and how businesses can set up Web sites where thex’ sell gtHuK. conduct transacuons, get paid, and fulfill orders,

you’re hearing about e-coirunerce. In contrast, e-business is the full breadth ert

SUCCCHSIVI

activities included in a stracegicH

lor

running

employees,

suppliers,

Internct-based

and

Internet-based enterprise, h includes developing

companies;

customers;

and

improving

collaborating

with

crmirnunicmon partners

to

fichvccn

electronically

coordinate
OMH

And the Term c-ui^ruzatiun (e-orgs) merely refers co applicaUoits of e-busiocss cepcs

IO

sthfxiis,

all

oi^anizauons.

museuim.

E-orgs

govemment

include

agencies,

not and

only the

Inismess military.

firms, For

hut

also

rnstaTice,

hospitals,

the

Intenial

Rex’cnuc Service is an t-orgauization h ecu use it now provides access to taxpayers over the Internet. ITie

to

understand

coinpunencs^die

worldwide

nework

Internet;

employees by

the

network service pirary •f

way

underlying private

•J

best

and

and

Internet,

to

linkages

extranets

which Type

Most

organiutiocs

e-oipmizarion

iiirraneTs,

interconnected

authorized

degree firms.

of

the

outsiders. it

.Vs

uses are

organizations with

are

heavy

and

uunpurers;

cjctcnded As

(Inurnct)

14-1 and

into

on

this

intranets

accessible pnvauj

today

as

categor)’.

in*

three is

«

an

organizations

onlv

to

e-org anet

extranets.

is

and

small

Type

(Host small e-cmnmerce firma. Anil finally, Type D’s are full e-orgs. I’hey've eoflt^

at

Internet

an

(inu

such and

Itok

arc

illustrates,

ozonizations

reliance

to The

intranets

traditional fall

is

extranets.

intranets,

Exhibit

global

concept

selected defined extranet!

retailers

B’s

are

Type

and

contem* C’s

arc

1■■v4w?as

iXHWIT 14-1 What Defines an E-Otganizatian?

il

OufMtl* 'RxhwIonrvMl^tMkn^

r High

n

Intranet and extran et Irnfca ge^

High ’ Internet linkages

Lo*

Degree of Mrvnest

—I

I Full

O U 4 0

None -[■ A pfctck cBay> mmcs

incecratcd Cisco kom

a

global

aad

Si-stems, Tj-pe

A

private

^\mazon.com, toward

a

lype

networks. and D,

it

Type

D’s

Wai-Man. increases

would

Note the

incktde

that

degree

as to

such an

which

firms

as

organixatinn it

takes

e-ortf pfoperue^.

on

,

The following discussion looks at how e-organii^»fions affect OTpbyee behav. k.r. But Aince e^,rgs. in acrualin; encompass a range of elecmnuc teehnolngy applications. our ohsersadcHU and predicdoiis need to be qualified: 1 he more aiv lion uses global and prh"3te newtwi linkages, the more our comments a

u

*111 be applicable to its employees.

Selected Implications for Individual Sc '

on how e-orgs wiB l.x>k at i«st two selected

We e-nitd develop a full chapter or affect mdisSdual behavior. Given our space individual topics-niodvalion and ethics.

..nployces in c-organita-

A,= .b.e -1“"“ nons? rhe answer appears to be

their work cHort an employees m e-or J j^„jence on

susceptible to distractions that can dunivin. In addition, techmeal a P that make them ven'

matUeuble.

these »kdk. .\s a result, pemauun cxpectau.ms dun do thetr peers «


thcr '"^^•^yons traditional orgaiu

different comfrequently base

MrtIV

The OqBtticanm System

rupnon^ by wllw^es pc .

surfing the Ncu pl:ivintf online gan^ W *«*•

S

online.

Some

of

the

■•cylx.T-fft.irs," and searching

n.n«

ns.ted

«U-s

ix=o^.lc

access

tru.n

uork.

tor

instance,

.re

each

day

il>cWeather(;hani>d.Anuz<>n.ioin,3ndcbav •rhe

averatre

visiring cent

L’.S.

sites

unrelated

oHnst

die

work

lo

be

motivated

•'Mimetbing problem

isn't

to

else’'

are

aldiougb

is

Etensity,

u

below

the

ple?

Quite

the

Net

employers

arc

industry*

average.

lot

turnover

And

actually.

rale is

what

'Ehc

and is

Roof,

TtV

gives

difficult

employees.

for

So

employees

c-organizaiions

many

have

benefits

rarely

seen

instance,

signing

bonuses,

onsite

incentives

sides. the

One

is

increasing

gtxxl

when

future,

a

the

rewards

is

comparisons. with

just

happened

public,

inequities

has

continually

the

There

join

nuking

a

firn

those co

chasing

implosion

of

dot-ei>m

options

as

motivators

feel age,

chat a

and gave

looks

llic

addidon,

you

w'ere

qualiiiuirions out

stock

wanderlust

ibtoc.ks

in a

3lXK)

two-way

instance,

sued.

give

incentives

and

organizations:

fur

full-time subsidies.

there

arc

them.

The

they on

downother

l<x>k

condirions

reverse.

employees

in

between

the

designers

and

potciiiial

for

dcniouvaiing

there

the

problem

$>0,b0<)

nuking and

a

3001 Many

of

rlxi* inter-

year

bursa*

$10

nd

Ilion

now

her

company h^-'’

The

aniung

wry

couipany’s

software

nuking

is

the

discrepancies

is

peo-

professional

beciuse

cieaUon

ofiaterfnD

e-org

employees,

many

wealth-creating and

its

home,

and

among

valuable?

next

for

favorably

options

mentality

points

keep

while

high

glaring

15

new

when

very’

meredihk

the is

Specifically,

employees

In if

options

create

get

tTeates

treated.

you

who

don’t

organ-

motivatiid

memberships,

those market

a

bill

empluyees—particularly ITiis

experietK'v,

health-club

but

often

the

and

typical

rccipicnth

is

in

attractive

their

options.

are

eiujiloyces. would

in

free

on

stock

hard-ro-hirc

How

tended

b^vc

Web-monitoring

a

of

what

progi**anb t*alled Rabe

phone

benefit

inequities

inequitably

u>

oii-s,

breaks

kjiow

about

technical

list

employees

demotivate

Iwing

similar

extensive

stock

and

can

to

they’re

by

perceived

other

firm

someone

created

organizations,

aud

may

progi*anK

this

morale.’^

year,

sdinubre

keep

cell

rewards

growing

bjr

feci

stuck

these

options

who

The

effect

provided

engineers-

gone

benefits

finn

potential

Internet-based

and

to

a

that

to

fonnal

has

toward

an

options,

solution

trust

firm,

likely

Inwmer,

installing

car; and another

and

and

pnihlem

stock

The

she

.stock

doing

find

nonmanagerial

cnnctei^es.

l'lu.*se

to

arc

emplovces

percent

$10,000

implemented

by

5

Wheels

a new

the

providing

undermine

per. year.''

emplo^’ee

only

companyHut

a

lhe

so

40

CAberloafing

ro

services

Eiensit)’

this

siccess

also

can

t.,

employees

affect

employees up lu $400 a month to pay for the

eHiirts

Ml

stress,

employees,

guidelines

such

and

diversion,

clear

Web-consulting Its

a

to

that

billion

easy

as

interesting

that

abcrloahng;

have

minutes

mdicate

exeessive

they

Many

VII

SS4

adversely

workforce.^’ a

using

evidence

Virginia-ba.sed

committed

If

csrablishing

and

hi

ereaccs

else.

expecred.

tliere

solely

or

spending

e-som.ues

alone

more

and

is

Recent

due

wresting

iobs

access

job!’

K

increasingly

monotony,

izadon

her

Munetliuig

making

behaviors

snfnvarc,

or

in

do

is

includes

online

h.s

Net

einplovers

itself

overcome

with

jM-rxkictivuy

U.S.

If

and

to

worker

LosiiriK

ro

employee

illustrates

oppuriuniry. that

e-organiMtions

the

use

envourJg^

hanf-to-hire employees tn give up a large salary in exchange fer stock oprinns. Thb

X

1

’’PdoM seemed to g^ only UD R k

fin®

n,jn>-sp’ck opuons become ^vonhless.'^ For individnd i ■ firms nwinly for the pos.Mbiliiy of getting rich through *b «in he J powcdyl denionvjtor.

'W ork Desigr. ‘‘"’P. ’■‘‘fi ® ^phons» a declining mar-

Ethics Elcctn.nic surveillance of employees bv emninr. P’« «»

orga.iiMfi'^nS desire for control againsr an cmpl.'n-ec’s „:nt of increasingly sophisneared surveiUanceTo^\^” ^'T' ddeinnia r.f hou lar an organization should go m momiorins the lA' •” ees who do their work on compurers?^ for iiiswnce, rhe Web activity of every otic of Xerox’s 92 nnn HT^KI

>ehavior of employ-

Xerox fired 40 ^ ns employees because they were caught in die act of surfing forbhl den Web sites. The companys monitoring softu^are rcoirded the unnuthorizxdviril w shopping and pornography sties, and every minute they h,,
argue

that

they

need

surveillance

a»ntrol$.

These

them to make sure employees are working and not goofing off not

distribuung

ee‘s

who

organization

might

create

a

wcrch

and

to

protect

hostile

environment

for

the

controls

and that employees are

organization

women

allow

or

against

members

employ-

of

nunoriry

workplace

parame-

groups. rhe ters.

surveillance

There

seems

employees

at

know

are

they

mingled—for

dilemma

to

work, being

instance,

be

when

is

little

exacerbated dispute

using

watched.

the

But

employees

as

doing

that

by'

the

employers

organization's home

blurring

life

job-related

of

have

the

equipment,

right

and

and

work

life

work

at

home

to

when

are

monitor

employees

increasingly

rather

than

inter-

at

the

office—the ethics and legality of surveillance is less dear.

Selected Implications for Group Behavior b

this

leadership,

section, and

w'e

will

organizational

show

how

politics

issues take

on

such a

as

deosion

different

making,

look

and

communicauon, inij*orunc*c

e-organization$. Decision Making The iradition.il approach taken in OB «hcn making needs to be modified for e-organizarions.

Exactly

what

those

J®"'"®" wodificaoons

should he are not yet fuUy clear. However, wc offer wo protections. Iwe,

First, individual deckn-making models are likely to E-nrganizatitins are typically team-based

•nodels will offer greater relevance. Second, the thoughtfuL rational models of de w management literature (see pages 70-. >)— There arc no proven business models tor e-orgamz^tio^^- • ^alue experimenution-thase that utilize quickly and assimilate it and that can accept fail me an E-organuations don’t have the luiniry o trying co
coinmiiinties. .

So

gToi

.naVine—which dominate J I6 c,,,.ppss iroes co finns tliat gather data

ei^r decision^ in starch limited information

j.

in

F^rtiv

’n

The OgflniMCinn System . I, -i^„vfrarmflltinffmLstjlM.-s.l>eci«ionsinc-<jrganizjitionsareinacia*^ w ± tos bei,?g «.nu..u.lly nu.difi«l »nd even dtscardrd. And ro.. ; Je ec“on pmgran.s nrc dally u>ek« hccausu kw ,.f the deas.ons that "n k encountered before. So no. only do dec.s.ons .n e-orgs need to b, Lk fas,, thev have to be nude ba«d on hnle prev.ou. expenenee. 1 his. of enurv, the pn>l«bi1ity of errors and the need to be able to recover qu.eldy from ndstakes and move on. Communkadon Because

they’re

tradmonal allow,

even

make

obsolete

between

or

also

graphically

employees

who

even

have

going

to

ers

informal

how are

San

arc

activities

Web

sites

comparing

meet

apart.

are

becoming

and

5-com

routes

to on

company

employees

electronic

gripe

u

working

www.truckinlife.com,

the

distinction

and

filtering.

people now

gossip

in

than

in

geo-

easier

fur

ot

Young

conditions

offline

industries

lawj’ers

and

flight

arid

those

number

and

lliey

supcnnsion,

its

grapevines.’'

about

as

allow

Moreover,

share

AIR!

such

meetings

anywhere.

hierarchies,

negotiations,

virtual

through

anyone,

communication,

regularly. to

going

stauis

concepts

meerings,

instance,

Singapore

associate

rigs

as

with

mjtwopks,

L-organiMfions

without

historical

nonverbal

cubicles

that

greedy

to

and

two

For

commumcacon

anytime,

cation

communication.

infornuuon

directly

down

muni

such

conducted.

Francisco

instantly

break

oJ

integrated

coiiununiene

coin

ruk‘>


networks,

localions

work

w'ww.

systems

and

dispersed in

to

interpersonal

talk

employees

longer

revise

redefine

conler’’

no

communicate

eomnninicadon

formal

“water

can

the

comprehensive,

individuals

KnxpJnyees open

icwruing

around

levels

encourage,

These

They

designed

hierarchical

channels.

arc

E-orpanizatioiib

are

pay;

truck-

attendants

share

gossip at w'wwJnsidctheweb.com. The

downside

A

recent

poll

18

pieces

of mail,

sages,

14

fiiund

foxes,

incoming

of

this

that

and and

open

the

18

average

tn

U.S.

23

voice

interruptions

netw

worker

memos

in-house

listen*

cnnununicirion

niinmunicatinn

receives

daily.”* mail

cost

ork

He

or

or

cell

is five

she

phone

also

phone

employees

conimunkatinn calls,

reads

valuable

36

13

messages.

overload. e-mails,

Post-It

*rhesc

rime,

ines*

frequent

erode

their

ability to coiucntrare, and can negatively effect their work pnxlucrivity.

Leadership

Is

organization? focus

on

leadership

Business

three

in

an

executives

differences:

the

c-organization who’ve

speed

different

from

char

in

a

in

both

think

there

is.

They’tend

they'

have

to

worked

at

which

make

rradirional

decision.*,

the

to

impor-

tance nt maintaining flexibilirv', and need to create a vision of the future. Alanagers decisions. (luickly eBay a ent

Bur and

>soluteiy

the

sei

In

one

to

2.2

a

is

comiRitirion

changes

users

organizations

problem

“We're

company

we would

all

the

says,

istered

in

growing dw

much is

at

we

million.

yearlong

from

and

in

then

50

Everv*

they

three

she

lo

dis 140,

previously

we would

when

world

president per

mon

M*ant

The

the

percent

employees

(where

data

Whitman,

to

.30

the

c-organinations.

Meg

chaUenge:

Hasbro

strategy,

all

w(»rse percent

went At

have

intense. 40

leadership

year

never

we and

had

simply execute

is

and

quarter.

hai

l>e<x>mc

been

moving CEO

J

from

making

a

pace cJiffer*

100,000 an

against

at

reg-

execudvel*

it.

At

eBay,

we constantly revisit die strategy—and revise the tactics,'”'' m ’'****'” online businesses n

tmtt

tme

a

as reference

themselves as spnnters and their contemporaries in long-distance runners. They frequently inject lo

a

rapidly

speeded

up

working

uusmess) leader today has to unlearn one lesson that was drilled miu each QIMl4

environment,

the ‘tvcry

terffl I*"

gAthcT cbta so th« yo. .a„


VV»3.

i^a-n.et urne. ""

You can^ d,, du^

In

□a«li"‘">

to

>pcei1,

k-aikrs

in

c-orgs

„jl with the ..i>s and downs. I hvy ntx-.l u. ahlL,

n^ud

hiH,

fl

They have n. be .bk

something doesn’t work ThT^'I?'’’'* ^ocxwi MaA t-iiban. eofounikr of Broadj-ast^j^jj^ anmlifi**' Jirtvcl- «c thoiigin ad^ erasing would he the core of<S

" ‘”K»n«peh**'” “"■hen

.Q th'waht that the way to define our network was to disn-T"”^ 'Lcn- "e w ere wrong. V\e\e had to recaWirate again ^Sing « ■" The

’ fininder

of

'>?ain-and we’U have to PnceLme.eom

saw,

"Forget

about

o-u



„,tiH;usc<»‘St-"’'h on rhe ne« generation of pn>blen,s Ldrrship

Jnd -n-' I-'-

•>

deep

understanding

of

how

teehtioiogv

is

uoin/r^

requires

vi^aty

0,,hei„J„,4„f„ppL’i'Ji.'.S

<"n-»,„™„l

dw»nnnuities—jnd they chtxk tlut map constajidy Visionary leadership is undoubtedly iinpomnt ’in even- organization But in a hiperkinetic envin.iunent, people require more from the.r leaders The rule noli tie, and agulatrons tliat ehar.ietcnze more traditional organizatmns pronde’di^ti.«i and reduee lUKcnainty for employees. Such formaln.cd guidelines don’t npically exist in e-orgs, ami it falls on e-lcaders to provide direction through their vision. Polirirt and Networking recognizes the political nature tif organizatiotes, the nJe that poiirics pl.iy in decision making, and the impurtaiue nf nccviorLhig m develiiping wmuis both within and ou&ide an i>rgunization. But preliininan* indicators suggest that efteetivv politicking and nensorking arc different in c-orgs than in the tTKre tradtrional (.iffline organization, In traditional organizutions, effective politicians keep themselves \isiWe, utilize wifM\.*ssion nianagcmcnt techniques, and partiidpatc in activines that will put them in dF>sc rontact with inlluendnl people. But these are essentially face-to-fiu'c activities dut amn’t like I v m be as effective in vorganizations. E-puliticians iirc likely tu rely much mure on cyber-schmoozing ' ia the electronic graiwvine. Internet chat nxims niesMge Kxirds, tor instance. o)>en up opponunirics to meet and talk with people *110 an help employees he more effective in their iohs and their careers, Cvbcr-vxhmmJzimf isn’t likelv to rvpbux the water e<M.ler, cxiraii part), uniwralumni get-togethe.^, or trade shows as places to make contacts and hwld political ‘U'c'. But online networking will hecome increasingly popular and etlecuve asa supl^rment to more traditional jiolitical channels.

'^«ll E-Orgs Redefine Interpersonal Relationships? has redefined »..replace P-*’''"--nSX |„„ge‘r earns,rarnenl be ,nne p aee m d.r.np .hen

^»re

‘^iJicadons of these c-org. to imenu rsoiw •'*'’?rt IS substantive

e\

tixlai than ju-st a few wars ago. f or instani_ , *?' 'ohne

4.i hour, ,scr wwk. In

« ’ hnurs..’^ I’here is also preliminary .ha, .he n.„e P-l-'.. M'*?;''^.^^^ar.e, of m^nla' users with friends and tamily

idencx*

are MK-nding more time th;U pe<‘plv‘ predirtnl Cmvenity stml> t„„e the) sjwnd in real-hfe

gx

PartrVThe Oi^niMcion System

Z

report that they now arc spending IMS time attending social actnitics and talking rheph<.ne to fricn
of

rhe

digital

age

to

conclude

that

Internet will undennine a sense of srxnal community. But it clearly creates new- way^ interact

with

w'oA

people

they’ve

colleagues.

never

mtl

and

Employ-ces

will

may

meet.

never

increasingly Theyll

be

working

develop

on

-office”

teams

friendships

wdth jwople thousands of miles away. And ‘^good interpersonal skills” msjy increa&mgly mean

not

nielude

only

the

the

skills

ability lo

ro

interact

comruLUiivate

effei-hvely

w'annth,

with

jx-opk

enwuon,

trust,

lace

to

and

face,

but

leadership

ju^

through

written words on a computer screen.

WORK DESIGN TTie

way

employee

that

tasks

are

pcrfoniuncc

and

combined

to

create

sarisfecrion.

In

individual

this

jobs

secdon,

ha5

V’e'll

a

direct

look

influence

at

task

(2)

some

on

characieru-

Qcs theories, work redesign, and work schedule options.

Ta.^k Characteristics'Ph cories Most

of

us

interesting

and

researchers. to

identify

different

acknowledge challenging

They task

jobs,

tliesc

have

than

tion,

satisfection,

tant

theories—the

the

and job

face:

(l)Jobs

others.

These

by

developing

responded

characteristics and

two

of

jobs,

relationship

performance.

of In

characferistics

how*

have

task

not

and gone

task and

characteristics we’ll the

review social

art

unnoticed

characteristics

characteristics

section

model

different,

fect^

these

these this

are

theories

are die

OB seek

to

form

employee two

by

that

combined

to

more

most

motivaitnjior-

infrirmation-proccsang

model. The Job Characteristics Model The dominant framework today for definite ta^?k characreristics and understanding their relationship to employee motivation, perfurmance, and satisfaction is J. Richard Hackman and Greg Oldham’s job characteris-

tics model OCM)."' According to dieJCZM, any job can be described in terms of five core job dimensions, defined as follows:

SkifJ vatrefy^ Ihe degree to which the job requires a varieh’ of different aetivides so the worker can use □ niimbef of different skills and talent IM ttiifatify: I "he degree to which die job requires completion of a whole and idendfiable piece of work

3.

1 he tlegrce u> which the has a aibstantiol impact on rhe lives or work of other people

4.

degree to which the joh provides subsmbal freedom, independenceand dxstretion to the individual in sehediilmg die work and in determining the cedures to be used in carqnng it out

5.

degree to which carr^nne out the work aniviefes required fav th® rwuhs m the individual’s obuining direct and ckar information about the effeco*' new of his or her pcrfonnance

Eihifni H-J offers cxamnl-e c Janmeristic, "ariple, E»h.b,t 14. J

•*

I•

‘^Ww 14 presents

the

r«4« j Eksign ftch„oJoBy «nd Work l'»w f.>r each

,ot,“'I

d,nu-n«ons-*k,J/ t~,rinv. task ul,.., •?.

>

^^ningtul 7-hat is. if these threeS mnniihent will v.cnv ,hi- jol. as hein^

f.r« three exist b a job

tmJ, tlur job- rhjt {^,ssvs>. ,t(,rono„,v p

valuable L

responstb.lm; for the l esvfts and rha! ff a ioow how cttei-rively he or she is .-rfor P'‘’^<
«hen sh.

i

’^l*>nMbihtvl has

1 ta^ that she cares about {expcricn,s?i pSKhnlogjuJ states lire firesent th--

‘jn

The n < r .

mance, and sarisfection and dle’lowiT hr7’" the nrffaiii/aiion. As l’■,xhihn 14 1 sh '*

‘^'"P'^Kc's aj^j |;(.,.(.e

'i'''"' ! "d’erfor-

..»,by rndnlda,!, ».,h a h.gh grop-U, „„,l ,r, „ ™.

.Se

,„b,, ana c„„efc„, ,H.„

.«« «h»

XXXX'T arQ wnri Jow grovf th need.

Characteristic SkiU nriety

High variety Low vanen* * Task identicy High hlentity Ixiw hknnrv 4

Task aignifiwm High significance Ixiu significance AutMomy High auvmnmy Ixrn autonomy

ftrcdhBck

Examples

of

High

and

Low

Job

Eumpte

The <jwn«r-op«.*ntor of a garag< who 4o«s clccthcal repir. rebuilds engines, dries bjilv work, and intrruYs with ewsrumeft A boJ>*!hhop worker who spray? paun 8 hour^ a day k cabinetmaker who dcjiigii^ fl |Mcee
huilda the object, 4firi frn/shev it ro fXT&U/n« A worker in a fwnuiure factory whi>o^wrii«2 hihe sokly co make Ug? Xunung the sick in a hospital micnsive care unit Sweeping hospital floors A telephone in<«ralkr who •icheduivi hi* or her own nwrk for che
n«a will*MH supervision, atul ifeddc* o« the most cfTuethc ttchfiHpies hit a particular installation A tdepht»w oiwratiJT whe must liaiulle lalU as il'cy rtnne atstirding to s nunne. highly sps'Cified procedure An tlectrtintcs fosturv worker »h«. »«»niibl«s a modem and then leso ii

i<.

dciermine if h opvrares |>n>per^y An fattr/O’ ’^<^ker who o-onbles a modem and then nwtes I efttHWltls — Ute j< Mttn <• CopyiW* it »• a qutbty cntnil in-peit»r who tesrs it for pn^wr n|«tition and makes nettled ac^tfvonertes

, J

EXHIBIT 14-2 Characteristics

ittrion Syitrm lisn 14-3

The Job Characteristics Model Personei

Crtticaf . paycholofial smes

and work crutcofvws

Experienced > meanirgfulfvess of the work

SkiU variety Task Wentity Task signtficafwe

High internal work mocnration Htgh-quality

ExperwKed responstbllic

y

work perforwance High satisfaction

Autonomy ------------------------------------------ ojtcornss

of the work

with the work Low absenteeism and turnover

Knowledge of the Feedback

actual resulu of

die work activities

V Soi^nx. J.fl. Hackman and J L. SuUe. cds.< ZmpMMng IJIB 8t Vi
Moreover,

they

will

rcsjvind

mure

positively

to

the

psychological

states

when

the>*

jrc

present than will individuals with a low growth neerl. The job ch a ra Cl eristics model has been well researched. Most of die evidence supports the gen end framew iirk of the thenr\ —that is, there is a set of job characteristics,

and

these

erable

debate

chanuteri

about

the

sties five

.ilTcct

specific

bchaviuraJ core

outcomes.’*^

dimensions

in

the

But JCM

tliere and

is

still

the

conoid"

validity

grtnsTh need strength as a mcxlerating va riable. Wicre docs this leave us? Given the current $bite of evidence, we can niakedi« following statcincnis with relative conluicncc: (I) People who work on jobs with hi^’ core ioh dimensions are generally more iiKJtiv^ied, satisfied, and productive tban^ those who do not; and (2) iob dimensions operate through the psy^chological influencing personal and work outcome variables rather than influencing the conics direedv?’^ f Sotwl ^’’^'^atioQ-Procegeir. vt j than n, tbeXv/r e<.»acu..U„ d-c,,.,. I.l

{x'ople a-si^o,, 4

ninfcck-arjnffli^ (SJp) nifliW-"

ot

^’»Pt«r 14 Technobj^ »nd Work Oe«t

The SIP m<J.lel argues that einpiy^ ,he SCCMl cues provided by rtJ.ers veiih uSom»>el.=iviors in re c-worke. s. supemsors. Irienrts, farnik- n, ? ***)'«>nw« i h? Ijng prt . Munnur pb working in a Bn.ish ( ±0

H.r

dns one paid f.arheuiarly well. a^i-k , ,..e^7wn weeks later, however, his n.odvarion

i'4is were L

«.as rhat his ca-uorkers cnns.stendy b.d-mouthed i ' “‘'1 ’"’• ^ad happened luring, .hac having Jock in and nut proved

"a-

wK

^penxsop never bstened to their opi.nnns. The obieT'^'u '""<> ‘h« ,^dn,„ ihanped in the two-week jK-rind; rather (iX h

(larj-’siob ’

basis (»f nie«agcs he had recekctl I'roiti others ' A inimlxT of studies

generally

Kalin-on tbe the 1

conlirm

insrance, n has been shown that emplowe mom ari ** '1 ”*

™«<’el.’^ For

lated by subtle actions such as a co-worker or boss e'"'

can he manipu-

jiiseiice u( job J'catiircs such as dtfllculiv chalk-ncr should

give

as

much

(nr

more)

existence or n can be inanipueniuloKes''\J'^^*'-'“‘"^’’-^V

atteiitinii'p,

’’

rhet give to the acnjal charaaeristics of diosc joU' rhev miirbl'^^ -"Ployees how i„,c,«u„g .„d

Lj jcLTt ™°"

^ptoi should ,Eo no, k surprised th,, newly hue J e„,p|„,„s J people „

p,„,„o,e,l

,0

a

new

posiuon

are

1

rno.e

",

likel,

to

he

at

their

teeepnve

,o

Le.al

info„n,„,T„

d)in are those \nth greater seniorih;

Work Redesign What

are

jobs

to

cusses

some

of

make four

ihe

them

ot

options

more

those

nuinagcrs

interesting

options:

job

have

iiiul

motivating

rotation,

job

disposal

for

if

they

employCLS?

enlaxgcment,

job

want

The

tn

redesign

foJlo^ving

ennebmenr,

and

disteam-

Used work designs.

Job live when the

Rutation is

to

UH*

It

employees

activity

i^s

same

level,

that

all

ihcir

gives

employee's

ested

in

from

job rotation (or what

an

cruss-trains

suffer

upward

more

no

longer

has

job

mobihry;

many now

challenging,

similar

customer

overrourinization

skill

and

cross-rraining

is

For

representatives.

tiicir

mw-hiy/w/g).

employee

requirements-

serv'icc

variety^

the

call

of

rotated

instance, The

challenge.

And

for

exposes

them

to

work, Wiib to

one this

technique,

another

America

altema-

job.

West

Airlines

company

say5

that

emphjyces

who

are

about

sixieeii

at

this inter-

differen^r^s

•if the company versus oniv one they would l>e exposed m it jobs were specialized. 1 he sirengrhws of job roTation arc that it reduces boredom and increases luouvabon thnmgh diversifying the employees activities. Ot course, ii can • ^2. I>enefit5 for the organization sinix* employees with a wider range o ' ageincnt more flexibility in hdiedulin|r work, adapting ro changt'. an j^sed On the (rthcr hand, job rotation has its drawbacks.

his or

and productivity is reduced by moving a worker into ''

rotation also

^'vr efficiency at the prior job was creaung organizanon creates disruptions. Members of the work group a'c I he supervisor may aJso have to spend more

employee, . and monitor. mbjrion can detnoiivate

"jg the w«wk of the recently roraicd empkiyee. km “Welligem and ambitious trainees who seek

'Pe«4ln

jn their chosen *■

f The OrpWMtif^n Systwn

W

Job EoJwsement More ch<w 51. yean^go. the idea of e-.p^ndinje

'J

nr wh«^«’l job enlargement, grew in papularny InereaMng ibe nun.hcrand v,„. X ofLk.



individual pvrtVn nKd reM.lted .n ,ohs with .nore d.verMty

of nnk sorting du' incomirg in.dl by depannien.. for .usance, a mail sorter^ jobeould be enlMfcd W include physieaiiy delivering the mail to the vanom .Icpartmenrs«» runuingoulgoinB letters diroughllK postage meter. Efforts at job enlargement met with less titan eiithas.astiL- resiiks.-+ As <«« einploj’CC

who

experienced

such

a

redesign

of

his

job

lack

of

remarked,

“Bt-torc

I

had

005

lousvRjh. Nw. through enlargement. 1 have three!" ' jobs

/Uthough ir

did

job

litdc

enIsM'gement m

instill

nuacked

challenge

rhe

'^r

diversity

mcaningfulness

lo

in

a

overly

workers

sp^xialited

aetivities.

Joh

ejii'ithnienr was intro.luccd to dc.i! with the shorteomings nf ciilargeineni.

Job

Enrichment

increases

rhe

Job

degree

enrichment which

TO

tile

refers

TO

the

worker

controls

vertical the

expansion

planning,

of

jobs,

execution,

and

h

evalu-

aci<jn of his oi- her work. .An eiirichcd job oi^anizcs tasks so as co allow the worker to do

a

complete

rcspousibiliie,

aciivit).

and

increases

premties

the

feedhack,

employee’s

so

an

freedom

individual

will

and

be

independence,

able

to

assess

increases and

correa

his or her own perftimiance. How based

on

docs rhe

jnanagement

job

enrich

cbaracterisdch

an

luodch

einphy'eeX specify

the

job? types

"JTic of

following

changes

in

suggeshons, jnlis

that

arc

casks

and

pot

1

measure

most likely to lead lo improving their motivating potential (see KxhiWt 14-4). 1.

Cyw/jw/e them

Munagtr^

back

tygeclicr

diould to

seek

form

;i

ic

lake

new

CAJsting

and

larger

and

fruvliuiulucd

niodulc

of

work.

his

increases skill variety and task idcinity. 2.

fVivnr Ntfr/nffZ-srent uniu. The creation of natural work units means thar the tasks aa enjpkjyee does term an identifiable and ineaiiingfixl whole. TH 15 measure increases anipkiyee "ownership* of die work and improves the likelihood tfut emplo^xes will ^•icw their work « meaningfal and iniporunt rather than as iiTple%*ani and boring.

EXHIBIT 14-4 Guidelhes for Enriching a Job ---------------------------------------

Suggested action ;S','

>,,

.1111 tiBlo

^ Forming natural work

Core |ob dimensions ,1,1 SkjBvylcy

Talk MentiQr

ffittahttihing dient :'l 1 . ■ -----------------relationships loadrng

Automm

charmte

; /• *

J1^. HflcMwan aM XL $MU e4s../rpmMn|Ul^*(ni0rt(aHrM«xt^Scaah»«aman^ 1977 LO 13&

I

M

fJc Chapter 14 Tethnolni^ and Work J. ExtafM chevf reioftert^hip/. 'I’he udient is th empluyw works .m (iind may he an prodiKt or svrwr that the organi^^uion). Wherever pwsihlv, maiwifer/ch'^’u^ JKrrnconc mitside the sJtip* heewevn workers and ihcir client tn tn esiahliidi direct relationback for tiie employee. ''ariety, autonmny. and feed4. £v/7^/«i^y6Z-r VerUcal expansion pves cinDlov.*t. tn* tn direct relationtbac were formerly r-erv-ed for man.X t>ewe«n the doinj!- and the \ontrb» and H increases 5. d'uHncb. Feedback lets emplovces kn.iw n.s..... u fonihng rhrir jobs but also wheihcr their perform net’ it ’ P®'* renwining af a ronswin Jevd, hkylly, feedback about Jirerrly ns rhe emplovcc doe. the Performance ,houW lx. receive • ’ ’ Mtherthan from manage men i on an fKeasional

In and

general

turnover

6e

evidence

ity;

in

seem

.s

be

overall

costs

others, to

the

and

e-.^Jence

increases

inconclusive?'^’ it

decreases

consistently

some

Even

more

that

satisfectionj

In

n.

shows

job

but

on

situaiions,

when

enrichment the

iob

productivity

conscientious

use

of

reduces

critical

issue

ennchiuent

goes

of

productivity-

increases

down,

resources

absenteeism productiv-

however,

and

a

there

higher

docs

quality

of

work

in

product or service. Team-Based

Work

groups

teams.

work

and to

about

try’

co

Designs WTiat,

improve

iijJjvidual-based

because induals

the

w'ide

instead

Revisited if

anything,

employee

W'Oik

to

a

of

can

we

perfornwiue

design

popularity’

ot

Jncrcasiiigly,

than

we

say

in

do

person—is

ahnui

those

about

teams—specibcally

single

people

a

the

assigning

doing

design

groups?

desitrn

relatively

arc W'c

at

group-based

kjiow

rhe

tasks

of

a

group

to

a

lot

level,

more mostly

group

of

indi-

recent

phenomenon.

That

said,

to

as

valid

nr

the

group

a

group

to

perform

the best work in this area olfers two sets nl suggestions.-^' First, level a

as

high

the

JCM

they level

are

recommendarions

at

w'hen

the (1)

individual die

noted

level.

group

task

above

seem

Managers requiros

should

members

be

expect to

use

a

variety

of

at

relatively

high level skills; (2) the group task is a whole and muwngful pietx of work, w itlt a visible

outcome;

quences omy

for

for

(?)

the

other

deciding

outcomes

people; how

(4)

they

of

the

the

do

group’s

task

the

work

provides

work;

and

on

group (5)

w’ork

the

task

members on

the

have

signihuani

conse-

with

substantial

auton-

task

generates

regular,

trustworthy feedback about how well the group is performing. Second, Cohsistent the

group

with

following

composition

findings

four

described

conditions

are

is

critical

rn

in

Clhaprer

8,

met:

(I)

die

success

managers

Individual

members

ol

the

should

w

have

rhe

to

wor ensure

necessary

greupthat task-

relevant expertise to do their work; (2) the group is large «)members

possess

i,ncrpcrsun.il

as

well

as

task

skills;

and

(4)

membership

.s

atcly diverse in tenns of talents and perspectives.

Popular Work Schedule Options Jn a work world where employees are increasingly complainJTtg ...L.Uule onrions about being pressed ^'-r time wl the difficulty of balancing personal and work fives, ’uch a. flextime and tclecommuring can be a way W .mpmve employee pnxlucbvjtv, and sarisfaction.

moder

Tt>e Orfuunuicm Sysietn Hcxrimc

'

n«rim.

allows

is

employees

short

some

ha^o

worU

specific

work

within

cerSn

core,

asoally

"flesihle

discretion

number limits.

su

ft»r

of

.V

hours,

over

hc.urs

with

a

wh«m

a

sh«.wn

work

week,

in

flexibility

they but

r.xh.bit

hours."

ban.!

arnve

they

14-S.

at

are

each

day

surrounding

the

actually

employees

their

Hibs

two

hours

fi

during

A.M.

the

and

closing

common

Iwfore

core

and/or

at

6

P.M.

[scriod,

after

the

All

but

they

core

are

time.

to

«heduling leave

vary

c.nstsu

A^M-

at

a

and

free

exclusive of a one-hour lunch break, the a.re may be 9 opening

It’s

the

of

core.

work,

a

hr«n^

cotjinxm

For

example,

to 3 P M., with the office are

allowed

Some

required to

to

be

«

accumulate

their

program

all^

flextime

extra hours to be aawiulated and turned into a free day ofFeach month. Flextime full-ome 25

has

U.S.

million

flexihiliiv

become

employees

employees,

on

extremely

flextime

or

nearly

dieir

daily

arrival

equally.

U^iile

in

employees

an

42.4

popular

almost

2H

doubled

percent

and

of

the

of

1991

S.

full-time

U

xnanagers

option.

from

times?*

departure

percent

scheduling

But

enjoy

to

The

1997.

w

.approximately

firkforce,

flextime

die

pnjponkmuf

isn’t

freedom

now

ha»c

available

of

flextime,

dl only

2 J. 3 percent of manufacturing workers are offered a flexible schedule?** rhe tceism.

benefits

increased

toward

and

job

.Most

the

of

absenteeism

traffic

autonomy

performance

and

can

and

overtime

their

up

worker work

and

include

a

work

fur

the

stack's

They

expenses,

anjund

beyond

improves

absences,

numerous.

responsihilily

evidence

schedule

and

are

congestion

Bui

frequently’

tardiness

flextime reduced

satisfaeoon.^^

Employees

reducing

reduced

increa.sed

employee

fr>r

productivity,

management,

ncss,

sons.

claimed

lessening

sites,

that

whats

record?

productivity/*

probably

for

employees

can

with

adjust

personal their

tardh

flextime’s tends

align

of

increase

Flextime

to

hostility

may

favorably.

hours

aUen-

in

elimination

employees

claims,

reduced

to

reduce

several

rea-

d^mand^

thus

work

activities

to

those hours in W’hich they’ are individually more productive. Flextime’s with

clerical

(Jc^partment retail

major

Usks is

stores,

drawback

for

limited.

or

similar

is

which

an

It

not

is

jobs

in

that

its

not

employee’s a

w

viable

hich

applicable

to

every

interaction

with

option

receprionisLs,

for

comprehensive

people

service

job.

It

works

outside sales

demands

his

or

personnel

that

people

well her in heal

their w ork stations at predetermined times. Telecommuting

It

flexible

hours,

freedom

leagues.

Its

home

least

ai

might

called twu

related term rAr r/rOizJ

be lo

close

dress

telecommuting Jays

a

week

to

as

you and

on

a

the

ideal

please, refers computer

job and

to

for little

many

people.

or

interruptions

eniploy'ees

that

is

linked

no

who to

do

their

\O

their office.

commtitinp* frtMn work

at

(.A closeh

—is being increasingly used to describe employees wtxJ

work out of their home on a relativciy permanent ^sis). Currently, about 21 niiilit*’

EXHIBIT Y4-S Example of a Flextime Schedule

I 3m

cot-

4m

p^le in the United States tekcoiwnutr *2 L-

technology and WorkO^i

plain' Sotmare. Patagonia, and Xerox are . Management Svs n VVliat kinds of MK k-nd rhunsekS be^n idennfied a.s m.,st apprup.iatci to.nine?,Three cateEones have ines and pmkssional and other knowJedg,_^™J'™-’’’^dhng tasks, moWleaLand employ ers who spend the majority of thl J

»"»-

phone are n.Koral candidates for tekcomi,,,,,;

“t the telc-

ewtorner-.scrvKx- representatives, reservation aec K ' '"i”'

’c'cmarltetcn,

spend iiinsl o! dicir time on the phone. As Iclecomm '

specialists

on riieir computer sci ceiis at home a> ea.silv as..n tk

information

There are numerous stories of telecoim.,

in any office, ^••ccew ' .A1'S.-T has 55,000

teleiomniiuers and claimsstories that it nf has sav.-d the There numerous tele 75 percent of these -AT^T itlcroinmutere said personal

and

family

lives

rni'hon And tlian

licfore

they

staned

wewL

*^'^

claims that tclcconunuring has increased nrothictivitv ■’5"^

^ysicins

key employee, who ,night o.l.erwi.e h„e left, .„d ,.„'d

jI mT

|,„„

overhead.

As

cost

eqm^en,

telee—niauoa, to

the

introduce

the

nmial

of

trad.tion.l

ha, office

office

plummeted, b

a

wny

to

space

has

maoagots inmate

cst.laL

„e

aod

the

i,KTea„„gl,

employee

ikxibilin'

ev.vTof mohvated

and

productiv-

in; improve employee morile^ and cut co.sii.

Ihe wx

don\

long-lenn yer

huvc

future

of

dcfimiive

teltcrnnmuiing

answers,

Por

depends

ijtsunce.

will

on

some

questions

for

which

w’ho

tlicir

w’ork

employees

do

ar home be ar a di<;advamage in office poliuo? .Might they be less likely co he considered for salary increases and promotions:' Is being out of sight ct^uivalenc to being out of

mind?

close

Will

proxiinin*

non-work-relared of

rhe

distmedons

refrigerator

such

significantly

as

reduce

children,

neighbors,

productiviiy

lor

and

those

without

supennr willjxiwer and discipline?

IMPLICATIONS FOR MANAGERS Technology is changing popic’s jobs and their work lichavini. Quality management and its emphasis <jri continuous proces^^ imprnvemenT can increase employee stress as individuals find ihat performance cxpectahons are ^nstanrly being increased. Process reengineering is completely reshaping^c j s o tm lions of emplovees. And mass cust<xni/ntion E making it possible for organmtions to efficiently tailor products to individual eustotne.’s tastes, but tj-pMlIy requires cmplovees to go rhniugh significiuic rd raining.

u.-rtlnmes to

The /„rg„„z»ti™ «ppli» hpcrnet. intranet, and *e M, hneatltS „f ,ta aepvities. „ i™ managers. hor instance, employees

etnpbvcc monitoring X'^r.^lo,™ privacy; precedt-ni: op'"

undermine rherr work prod,rcnv,t,n the wjfruarc creates ethical dilemmas tor tn.n .g . decisions must be made more quickly Minimum cations increase the porenual distractions from work tasks; cffecmx lea ‘lensHms quickiv. maintain high flexibility, t-orgs will likclv use electronic networks as a

overload and furdier .

be able to make usions. and eiiiplweesin boddinK political allies, QKISI

the

"'T

2t4

Part

Organization System An undersModing of wrk design can hdp managers design jnhs that pc«^. nvdy affect cinployxe motivyuon. For instance, jobs rhf>t score higJ^ on the •ncrciihc an fmpHyee’s control over key elements in hjs or her work. Therefore joi)s th at ofler autonomy, feedback, and similar enriching task characteristics help to KaTisfy die indindnni goals of employees *'ho desire greater control (jver their WTJrk. Of course, toit5;rstcnr wirh fhe stKaal «ifofnia«on-pfrx.es5ing mod^[ perception that task cliaractenstics are enriching is probably more important in influencing an employee’s motivation than are the objective task charactensties themselves. The key, then, is to provide employees with cues that suggest that their jobs score hi^ on feernrs such as skill varict)’, task identiry’, autonomy and feedback. In shokdd

an

effort

consider

to

help

implementmg

employees work

copc

scheduling

with

work/lifc

opxk>n8

confUexS,

such

as

managers

flextime

and

wtecomnauting where applicable.

t*:

I

Vr-

/

Human Resource Policies and Practices After reading this ihapter, you should be able to 1. De$cnb€ jobs fof which interviews are effective seiotton devices 2. List the advantages of perfonnance’^imulatjofi tests over wrirten tests 1 Identify fotx types of employee training

4. Identify the advantages of using behaviors rather than traits in appraising peribnnance 5. Explain the most popular performance appraisal criteria i. Identify who, in addition to a boss, can do performance appraisals 7. Explain actions that can improve the performance appraisal process

H

t. Describe approaches for managing workfwre diversity

he quabn of an organizadons workforce is largely a result of rhe people it

hires. II a firm hires new cmplovees with inadequate skills, for mstante. the

work perforroance of«hese employees is likely to suffer regardless of maiiagenicnt s efforts to pronde morivarion and leadership, create effective groups, or design chaiIcngins jol>s

«

The message of this chapter is diat human resource p-iUcies such as cmpltnec selecn«»n. training, and perfonnanee appraisa unce

an

organizauons

effecriveness.'

We

begin

^bicct of our

discussion

u.th

the

sub|vc

hjrintr,

EMPLOYEE SELECTION '^lui ch> application forms. intcr>icw5»» P”^*ul lenen of rccomnwndanon have •4-n.o.m ,b.», . M. -PPUCM. >bM t-an hdp UK orpmaaoon

ft>r olHatnmg determine

SjWcn

a

fUrtlV Tbe

or nor rhe flppHfant^ ski Ik, knowledge, and Abilities arc u|>propriaic for the }<*' question. In rhis section, we review the more im|Mirtant ot these selection device*^ *’ Jhtcreicw.s, wriuen xcsfs. ami perlonnancc-simolaricin tests.

hucrvicu'S in .South Korea, iapan, and manv other Asian touniric*. cinplovee interviews tradititj,^ ally Ji a VC not been part of the sekcdon process. Decisions were made a I most entirely the busts of evam scores scluiksnc acartnplishTncnrs, and letters of tecomincndaonQ ’I’his is not the case, however, tbnjughout most of the world. It’s prolwbly correct chai mosr of tloiAknow niauy people who ftave gorren a full-dmc iJi wiihnut at least one intern ew. Of all the seketitm devices char organisations use to difk-reniiate inb tacilidares, the hiterview cymlinues (o he the iiiie most frequently used.- Even eompanjcs in Asian counrnex have begun to rely on employee interviews as a sen: ening device? Not only is the interview widely used, it also seems to carry a great deal uf weight. That is. rhe results tend co haw a dispropcruonate ainount of influence nn the sclccuoi) ^keision. The eandidaTr who performs p<M)rly in the enipkonnenr interview is likely to Iw rot frtim rhe applicant pool, regaidlcss of his or her experience, tot scores, or letters ol recouun end anon. Conversely, “all too often, the person mostpoh i shed in jnb-^r eking techniques, par tied adv those used in the interview pnieess, is die one hired, even though be (rr sbr nifiy not be the best candidate for the position.”'* These selection

interview

duration, fccrive

causal,

Mjiccrion

and

often

can

distort

share the

findings

ihrir order

and

made

to

rusulis.

I

use

a

incdiod

recording

r>indom

JaUi

unduly

high

are

standardized

sci

information,

from

and

.such

hnerviewers weight

to

questions,

been

ro

standardizing

the

rhe

internew^shon

tn

to

a number favor

of

the

an

nf

inrf

biases

applicants and

evaluations.^

intcnfowcrs

rating

be

tvjMcally biased

information,

influence

providing

whicli

are

structure,

tending

in

proven

interviews

ncgauve

to

manner

unstructureil

Without

interviewed of

iiristrueuired

'The

performance.

include

biases

ihe

que.sdon5H-has

gathered

job

applicants

of

conducted.

ol

fa cure

giving

winch

up be

These

atumdes,

because

frequently

device.*'

interviewers of

itnpomnt

is

unrelated

in

are

w’ho

a

Hawing

Dv

having

a

uniform

with

applicant’s

qual-

ified tion.s, the variability in re.sults across ajiplicnnts is reduced and the validity of the interview as a selection device is greatly enhanced. The cant’s are

evidence

intelligence,

related

to

level

job

increased.

For

in

rnaiugeriat

upper

indicates of

interviews

motivation,

performance,

e.xatnplc.

that

these

positions.

the

and

validity

qualities This

most

interpersonal of

have

may

arc

the

valuable skiils.'

interview'

demonstrated

explain

why

as

for

assessing

^^Tien a

selection

relevance

applicants

rhest

for

lor

an

qualities device

is

perf^tinance

senior

luanagC'

mem positions t)-picaJly undergo dozens of inten iews w ith cxecunve rccruitert*, hoard members,

and

other

coinpjmy

explain why organizations

that

executives design work

before an

a

final

Hind

teams

decision

is

may similarly

through an unusually large number of interviews. In practice, most organizations use inten’icws for mure than a *prcdicbon-ofpcrfonnance” device? Companies as diverse as Suudiwesi .Airlines, Di.vncy, MicT<«ofu and Procter & Gamble use the interview ro assess applicant-organization fit. So additicMi (o specific, iob-relevanr skills, organizations arc looking at canAdaics sonalit)' char^txensbes, personal values, and the like to find individuals that fit the o^anizjihon^ culture and image.

made, put

h

can

applied’’®

■P^*t15 '’umsnRcwwcc Police,

Written Tests •h-pical uiirun tests intelligence, aptitude .1 i-

pipular as si-I« lion dcsStes. the,, have gcncralk’ ,1'

«»d integrity. Ltxw ’^equcnrly Jx^en

drtrtctcn/. d as disenininaring, an.l many ..tKani^ri k

i. lx.-ing jol.-rclated,

»Iidate, such lists js ‘’hdaied. << cajmix

Tests of inielk-tnjal abiiiiv. ^natial -^„,i L - . . „d motor -ib'liT ^’«ve been shoH-,, skilled

and

iinsUlkd

opcnitive

Mxuraty, jol^

in

or.«^,

indiisirial



P’’®dietors

for

many

s«3ni-

proven to IK- parricilarl)- g.xxl predictors h.r ,..bs that XuLTr' Japanwauio makers, u heii staffing plants in the ••'-''P’ltivc complexity.*'’ written tests Io predict which candidates will he high perfoXis^^'f "'"'“"J TwiJia. for instance, <-an lake up uj three days of oj •' *'’h . .............. Jabilin' work with others. uv
I

hese

in-,

carehiincss.

are

powerful

ovc

cmphiyee

are

paper.and-penal

responsibility,

in

predicung

liehavjur

on

and

tests

honesty.

supervisory the

job

that

The

evidenev

ratings

such

as

m«.surc

of

job

theft,

factors

is

such

impressive

performance

discnplinc

as

that

and

prtiblcms,

depen^bilthese

tests

lounterpitKlucand

exccswve

alfrcntcckm.’-

Performance-Simulation Tests VVTiat bettvr way is there co find out if an applicant can do a job than having him or her do it." I hat’s precisely the Ic^c of perfonnance-simubtion tests. Perforinance-simulation decades.

Undoubtedly

the

tests

have

enthusiasm

increased for

these

in tests

popularity comes

during

from

rhe

the

past

two

fret

that

they

sampling

and

more easily meet the requirement of job rclatedncss chan do most written teats. The assessment

two

best-know

eeniers.

'I’hc

n former

performancc-simulation is

suited

routine

tests

iobs.

are

whereas

work the

latter

is

relevant

for the seleedon of managerial personnel. Work sampling tests are hands-on simulations of part or all of the job that must l>e performed by applicants. By carefully devising work samples based on a detailed descriptKMI of the tasks involved in a job, management determines the knou ledge, skills, and abilities needed for each job. Then each work sample element is wtchtxl with a corresponding job performance element. Work samples are widey in the hiring of skilled workers, Auch as welders, machinists, can^ntef^. and clecfneians. For instance, cajididates for production jobs at B.MWs factory m South are given work sample tests.' ’ They’re given 90 min uics to perform a variety epical work tasks on a specially built simulated itsseinbly line. lhe results from work sample experiments arc impres-sive. Studio aJm^^ tiemonstrate that work samples yield validities supenor to wntten aptitude

A elaborate set of J*»ltt«e 1 candidate^ managcnal poteonal, is I®

p^vchologists eval-

centers, line executives, cwdMb.es » the) KO through one to several days of exercises tna

5-

The OrgaBlmon $y«Mn ,, ____ X •he iobJ’ Based ort a liwofdeicriptlve activities might include intendt^^ - kadcrlcss gn«’P diH-ossions, and businewdeek -

pmWerna that they wotdd qnns that the acnial j«

hour ixriod. , J k»w valid I* the assessment center as a selc< non

It

X. muTdccidr how to'respond to i« num<« i« h.s or her u.-basker within ,

Tliev

have

effectiveness

<‘f

assessment

centers

is

impressive

1 he evidence on the consistently demon-

managerial

srrated results thai predict bter job perfr.rmanc r in

Competent become inal

employees

oby>k

te.

training.

employees ers?'

For

sjxnt

Xcmx.

don’t

'I’hal^;

as

why

instance,

S54 a

billion

case

remain

in

competent

or^nizafinns

spend

it

was

reported

in

one

recent

point,

Ski11$

billiuns

of

that

year

spends

forever

more

U.S.

deteriorate

dollars

each

corporations

on

formal

than

$3(W

training

with for

tndliun

year

can

on

UM)

50

each

and

for-

or

more

mjllion

work-

year

on

training

and retraining irs employees.’**

Tjpes of Training Training

can

include

advanced

courses

everything

in

categones—basic

executive

litcrac);

from

teaching

Icaikrship.

The

technical,

employees

following

inrcrperymal,

and

basic

reading

summarizes problem

four

skills

to

general

solving.

In

skill

addition,

we briefly disruss diversity and ethics training. Basic

Literacy

Skills

Ninety

million

American

adults

have

limited

literacy*

skills

and

about 40 million tan read little or not at all; this literacy problem is costing U.S. companies

$60

billion

annually

in

lost

productivity?*''

workplace

demands

require

a

10th- or 1 Id^-grade reading level, but about 20 percent of Americans Ixtu ccn the ages of 21 snd 25 can’t read at even an 8th-grade lev el.-*’ In 1998, 36 jxrcent of U.S. job aptilitamoi

failed

some

version

of

a

basic

skills

test.’’

In

many

Third

World

countries,

few workers can read or have gone beyond the equivalent of I he third grade. Oi^anizarions for

their

are

emplfn*ee$.

increasingly

As

long

as

having

job

to

demands

provide

basic

continue

to

reading

require

and

that

math

skills

individuals

hav'e

solid skills in rhe 3Rs^ and many job applicants continue to lx deficient in these skills employers will need to take |K»idvc action to close the skills gap. Manv business firtWs lor

instance,

are

hiring

instruemrs

and

offerim*

classes

in

English

and

mathematics

ft*

employees at the workplace and during work h ours. T^hnicaJ

SldlU

technical

skills.

Most

iniining

Technical

is

training

direcied has

at

upgrading

become

and

increasingly

improving imporant

an todav

employee's for

t*®

reacns—neu- technolog) and ncu structural designs. Jobs change as a result of new technologies and improved methods- For mswnce, many auro re|«ir personnel have had lo undergo extensive training to fixawl maintain recent models with computer-monitored engines, electronic stabtliuo? Mtelliic navigation s>-stenis. and other innovarions. .Siinilariv. ciMnpuwf required millions of production employees to team a whok

f".™,u„„,

eMnp*

iniportan, becn.se of

and break down rradinnnal deparunenwl^"''*«’*■ It-arn a wi'It-i' variety' nt i;,sk«i.

"amcrs, employees need tn

Inwrp*’’^*’"*’* en,p|„vves belong tn . i J,eirw■‘»•^^ IKTloj-mantt depends nn their abiluv ,.,i. r ,x,rker and ibeir boss. Some employees have t'xeelien'’HnV'''^^^‘'^‘’‘''i^

Ri some dcerec.

-rsre«iu'''i-' iramingto improve theii-s. J'his indinl..« I "'‘■'''’fHit othh<.«' to communicate i.kas mote clearly, and kZX play^^* Problem-Solving Skills Managein, as well as nianv cii,Dh,v..r< .vS .c, j^utiPf have to solve problems on the |oh. VVIum petmk tetuc^ ^ttorm nnnIdelicicntm ibe.n, lhev can pardemnte in nrX?v^ '

’‘><'1'*’’ut

'

,„,We acuvitH. to sharpen their lojpc, reas.S^ing, an7J ,,ell as thvit abilities o .i«tss causation, develop alternatives, analyze alum select solnrions. Probiem-soinng training has become a basic part of al.no”; eveiy organizational cffoit to introduce self-managed teams or implement qualiiv’

managtrnent programs, WTiat

About

Diversity

training,

for

instance...

tiatives.

MS

|>crccnt

programs

are

eMniiiiiiig

Training? recent

surv-ey

used

generally

fhe

stereory'pes.

(ound

training

intended

centerpiece

as

to

chat,

part

provide

Participants

(earn

of

tuinpanies

their

programs.--

vehicle

to

tliversicy

among

of a

most

value

lor

is

diversity

ini-

with

Diversity

increasing

individual

programs

training

awareness

differences,

'and

increase

their CTCKS-CUICiiral understanding, and confront sicereoh'pes.*^ The

rypiciil

exercises, cise

at

panrs

program

lecuircs, Hantord

to how

old

(2)

V\^Kn

I

from

discussions,

and

Insurance

respond

are,

lasts

to

would was

chat

the you

18,1

thought

a

day

gn>up

semghr

fullowinp guess

half

you middle

increase

questions:

are?

three

experiences.

to

bur

to

In

age

began

For

and

If

you

words,

ai

age

Includes

exainple,

sensicivih*

(1)

otiicr

days

training

to

^ging

asked

didn’t

know

how

how (J)

a

rolc-phipng

old

do

Today,

I

you ihmk

exerpartici-

old

led

you

inside?

middle

age

begins fl! age ____ . (4) Wluir would be vour first reactiem if someone called you "an nhkr Horkcr’7‘^

Answers

h'pes.

another

In

tach

partitipani

born-again stercohpes,-' ‘•ertain to

these

program

was

asked

Christians, They

groups

shatter

to

in

the

questions designed to

blacks,

were the

also past.

stcrcutyT^es

to

write

asked

used

to

analyze

awareness

of

the

anonymous

Hispanics, to

on

directed

then

raise

an

ifays

Based

were

paper

men—to

explain

why

responses,

guest

at

gnMip.

each

power

detailing which

they’d

This

of

all

was

>

stereotypes,

had

troehle were

stere<»-

groups—women,

they

had

speakers

age-reiared

attached

working

brought owe

with

into j

ex

the c

diwiission. About Ethics Training? A sun-ey fouml that alxiut 75 working in the l.lHffl largest U.S. corpiratii.n.s receive ethics traimug, on wheduT you can teach ethics is not clear. Cntk-s argue that ethics arc based on values, an *

, already been

^■*'1) age. By the time employers hire |u'uple. their e ^tabltshud.

The

In’ cxdinpk.

critics,

also

claim

“taught," hut niusr be that

ethics

cannot

he

formally

The

System SuBPWten ofcthKs training argt.e that values «n be leaded and changed a^

early chiKl. And even if they couldn't, ertnes tia.mng tvnuld IK effee .ve rhclp^mployces «, recognize erhied dilenunat. heco.ne more .avt^re rj tk edtie,! LXndcdt-ing their actions, and reaffinns an nrpm.zant.n s ex,Kc-tao.ms that tnem. bers uiU urrcthicaNy.

Tmining Methods Training methods are most reatlik eUwfied as formal or informal and on-ihe-iob or ff a , I • I

off-thc-job. Hiscoricaliy, training meantTw-witf/ structured ingly

relying

nations ity.

formar.

They the

on

and

most

H<jwvver,

mosr

has

indicated

leaching

training

information

important

is

nothing

and

outcome

skills

sohe of

and

more

trend

organizations

than

is

and

keeping

work-related

this

that

unptanne.l,

m/»ww/rrd
informal

share

Its planned ui advance and has a

evidence

individuals—Ikr

1I

problems that

cisily

employees

emplityees many

ith

increas-

adapted

current.-''

helping

w

are

each

one

managers

losit-

In

real-

other

out

another.

are

now

Maybe

supportive

ofwhsr used to be considered “idle chatter." At a Siemens plant in North Carolina, for instance, to

be

management working.-"

managers focused

recognirits

Discussions

thought, OU

now

about

Miking

that

around

nonwork

u'i>rt*re1ritcd

die

people water

needn’t

be

cooler

or

sports

topics

such

as

prubUni^.

So

now

on

in

the

the

production

cafetena

or

politics.

Siemens'

line

weren't, They

management

as

largely

cncnimges

$ucb uaMial meednrrs. (Jn-ihe-j^ih ments, job

and

formal

training

invest

in

Trahiifig

includes

mentoring

methods

ffff-rhe-jfft

is

programs.

that

rra//ii/ig.

job

they

The

rotaaon, But

often

$54

apprenticeships,

the

primary

disrupt

billion

the

figure

undci^tudy

drawback

workplace.

we

cited

include?

\*idcola|>cs, television the

The public

classes,

most

group

olT-the-joh

Hamburger

enhancement, maximizes

and

learning

experienced

tltat

employee

who

live

self-srudy aei

ivities

training

earlier

franchisees. bum” is

lassroom

programs, Aatusc

and

we

undergoing

Internet is

the

Vs

its

all

have

on

and

deal the

it

hum

training

costs

in

a a

satellite

•beamed

studies.

course training

One

of

oftered

at

operations for

protected

customers. with

encompasses

combines

skills

job.

aiso

case

curritulum

real

time while a supervisor tries to explain or show

But

twy-week

done

on to

training

organize

for

courses,

interpersonal

frustration

when

lectures.

rolc-playing

Hain

And

minimizing

<

on-the-

of training might

programs

management,

while

‘‘slow

is

University.-’^

equipment

managers

service

popular

somixiars, and

famous

McDonald's rant

nmst

these

So

was largely spent on tht fnnnal, off-the-fob variety. WTiat this

of

assign-

Alost

clerk,

'They

take

an employee how

restau-

environment of

us

have

cashier,

or

other

up

our

valuable

particular tasks art

to be done.

PERFORMANCE APPRAISAL Why

are

onnain-* oons

ot

performance <»

t

eir

ob(c«jve

appraisals

employeesr appraisals,

important?

What and

potential how

are the key questions addressed in this section. J.* It

can

I

low

do

orgaiiizaii(»ns

pniblems

can

arise

managers

ovenxune

to

appraise subsen

thus*

th*

pcr-

th*

inten-

i.ntbkinj,?

'Il»e«

Chapter 15 Hunan Rcsnurce Pnlido, and jVn-fonnance Appraisal and Motivation

.

fn <* h 3 ptcr 4, i.’oiisi dera b I e ii iten d on was invc n K ► t h P ..v \v<

cLiTt^ndy ..ffcn the best

jn,ount ol effort an .ndiv.du.l will exeri on hi^ her i,?h \ moW is pcrlonnance. specifically the effort-performwce and Mages. Do people see effort .as Jca.Iing to perf< ’ "e that they vafoe? Cleady people ite ro

Th"

„eed to know how rhe.r pedorn.ancc will be mcasmred. hurtber fol .n K fi T ?' dent that il they e.x«i an effort w^dlin the,,- capabilities it will resuk in . p^rfonnance as defined by the entena by winch foev are hMgXn J VS fed confident that .f they i^erfor.n xs they arc being «k«|. thev will aV Je tS fevwd;^ du‘y vahie. In hrief. if the olvecrives that employees are seeking are for

measunng

focir

efforts

will

will

he

an

are

achieved,

Hence,

objectives

lead

a

we

can

are

vague,

-satisfactory

payolf

expect

by

the

plays

If

appraisal

iiidmdtials

appraisal

and

the of

to

an

work

employees

tlu-ir

organizabon

when

role

lack

confidence

performance their

in

or

performance

there

objectives

their

intineneing

that

believe

IH;IOW

considerablv

important

unclear,

potential

an

employee’s

when

appraising

We Evaluate?

criteria

eripl
to

unsansfactorjr

performance

motivationWhat Do The

foose


or

criterion

performance

that

will

have

managenient a

niaiur

chooses

influence

to

on

evaluate

what

employees

do.

Two

exam-

ples illuscrate this point. In

a

public

employers of

seeking

interviews

sis

rhat

with

employment

they

rhe

the

workers,

agency, einplojTncnt

conducted.

evaluating

number

of

which

The

criteria

interviews

served

interviewers

interviewers’

influence they

workers were

actions

behavior.

conducted

seeking

appraised

were

widi

by

consistent

Interviewers

than

employment

were

die

the with

more

number

of

and

number die

the-

concerned

clients

they

placed in jobs.-^^' A

management

community* drive

to

highway police

officers

would

the

highway

for

their

w'ork,

munity's

consultant

but

City

this

Council

come

that

entire

specializing on

ducj’

in for

cut

through

the

toun,

shift.

Clearly

this

fast

behavior used

made

mileage

sense on

police their

shift,

and

get

speed

cruising

once

pulice

research

the

into

back

had

as

an

that

their

and

little

consultant

vehicles

norited

police

forth

to

learned

one cars,

along

do

this

w’ith

good

the

com-

that

evaluative

in

measure

of

police effectiveness?* These ^raisal.

but

e.x3mpfes what

.r^rnz/ZJ

demunstraie tnanagemcni

the

importance

evaluate?

rhe

of

three

criteria

most

p( rel="nofollow">i»ular

in

performnee sets

ot

ria are individual task outcomes, behaviors, and traits. •ndividual Task Outcomes If ends count, rather than means, then nianag ‘h-uld evaluate an employee’s task outcomes. Using task outcome.s a plant mm ’get txjuld be judged on criteria such as quantity produced strap g per unh of p'roduction. Simtlarly. a salespetsran could be as.. . n o e.H «les volume in L or her territory, dollar increase m sales, and number *^'’unt» esrahlished.

-

crite-

The OtgaiWcadon Symm Beh^o» In many w rioim rhe

and b.r.er

each ,s

«.

lliia

Mork

case,

team's

perk.rmance

rhe

member

examples,

artions.

whose

unusual

purnows

ciloyce^

individuals

learn

nor

difficult«. identiiy apeafic nutc.nes «n he

may Iw

hr

behaviors might

leadership

cd-;,

itKhnIe

style

that

ro

plant

may

are Iw

manager in

that

ue

.T«l.ly

l>

employc<-H |m(

s

be

his

Pertinent

he

li,

hr

her

.n

tcan,

siah

efft^

s;dc5i>cpson

.

msTanew.j, rhe

pr«k,»

jrerbima.ue

nionihjy

staff^

ec^rnlnwcne,

tH-havior.Jls.ng

used

or

ofa

u,

KleirUly dearU.

eouM

exhihitt.

..t

en.duaud,

employee

suHinmng

nKln.1^^e^

n

inffinsiu,

orimposwhk in evaluate ihe

promptness die

pamnilarly

assignmcnis

ditticult

management

,s

apprai,ji

rrimrts

ar

behnviors

the could

average number of contact calk made per da>' or sick day^ used per vMt. 77, e ^^eakest set
real 17 That such irails arc fre

used in orgaTiirations as criteria for assessing an

employee’s level of performance.

Who Should Do the Evaluating? Who be

should his

or

evaluate her

an

employee’s

immediaTc

boss.

performance? By

The

tradicion,

a

ohvions

answer

manager’s

would

authorin'

seem

rypically

to has

included appraking subordinates’ per for man t:c. The logic behind this rradidon seems to 1>c diat since managers are beki responsible for their suhtirdinates* perforinancc» it only makes sense that these managers should evaluate that performance. But that logic may be flawed. Others may actually be able to du the job better. Immediate and

Sujierior

middle

boss.

^*

About

levels

Yet

a

nf

95

rhe

number

of

yiercent

organizanon

of

all

are

conduct€
organizations

are

pcrfonnance

appraisak

by

recognizing

the

the

at

the

employee’s

drawlwck.s

lower

immediate

ro

using

this

source of eval ua Lion. For instance, many bfKses feel unquulilied to evaluate the luiique contributioas with

their

of

employees’

scifrmanaged bosses

each

from

teams, their

of

rheir

careers.

subordinates.

Others

In

with

addition,

telecommuting,

employees,

an

and

cniplnycc’s

other

rcsen: many'

l>eing of

today’s

organizing

immediate

asked

superior

“play

organizations

devices may

co

not

that be

God” using

distance a

reliable

judge of chat employee’s pertnnnancc.

Peers

Peer eva]u.»rions are one ol the most reliable sourtres of ^pprakat data. Why*

Firsu peers arc clow m the action. Daily interactions provide them with a comprehensive view of an employees 10b pcrfornuince. Second, using peel's as raters results in several indc|>endcnt judgmeiirs, w hereas a boss can offer only' a single e-aluadon, .And c average of several ratings is often more reliable than a single evaluation. On d* down side, peer evaluations can Miffer from co-wwkers’ unwillingness ro e^^wte <W another and from biases of friendship or animosity. Having employees evaluate their own perfomuiKc is consistco’ seh-inanagement and empowerment. Self*o*aluauuns get high marks from employees ihemscbrs; they tend to lessen employees' dcfcnsi%eAC«

Chapter 15 Human ReMMirce Policies and Pr*cd«« about the appraisal pr.>cess^ anil they make exedkhr v k i r -cr/onnanre disfussuuis benvecn emplovecs anj ? " stimukung job^

^juess, h
self-evaluations

ofren

have

low

niight

agreeinen^

wilh

scU-servmg

bias

Because of ihese .mon. drawhaeks. sdf.evaluL’o," are developmentJ1 uses than evahiadve purposes.

better suited frir

feurth judemenr 'smirr'A s.^

i».

SuborJin;iCv:s. These evaluations can provide accurate and'detaSldiX** marag^T. 1 hey ,,rc also conscstcin with ...any organizaticns' eff..t,s tn create cultures j„r value honesty, openness, and employee empowemreut. 'Ihe obvious problem dns form <./ ratine^ is tear nl reprisal from bosses g.v.-n unfavorable appraisals ■rhefft-rv, re.spnn.lenr anonymity is cnicial if these evaluations ate to be accutate. The Comprehensive Approach: The 360-Degrec Apprais.-il The bust Approach to performance appraisal is the use of 360-degTee appraisals?-* It pnmdes for performance feedback from the fell circle of daily contacts ih,u an employee iiug^it hare, ranging from mailroom personnel to customer to Ixissei to peers. The number of appraisals can be as few as 3 or 4 evaluations or as many as 25. with most organizations collechng 8 to 12 per employee. A d^rec

survey

of

232

companies

appraisal(’oiiipanfes

found

currently

that

using

more

this

than

65

approach

|>erccnt im

were

ludc

using

Alcoa,

360-

DuPont,

Levi Strauss. UPS, Spimt, Ar&'H and W.lGore .Assonates. V\'hat’s the appeal of 360-degree appraisals? I’hey fit well into organizations that have introduced tcairis, employee involvement, and qualif^’-managcnicnt programs. By rehing on feedback from co-workers, customers, and subordinates, these organizations are hoping to give everyone a sense of participation in the review process and to gain more accurate readings on einplotn^e pci*fbrmance.

Pertormance Appraisal Methods Obviousiv,

performance

emplot^ee’s

performance?

appraisals That

is

arc what

iinportHni. are

the

But

specific

haw

do

you

techniques

fir

evaluate

an

appraisal?

The

following reviews the major perfonnance appraisal mcihods. Wrirten Essays Probably the simplest method of appraisal is to write a narrative describing an eniplovee’s strengths, weaknesses, past perlomiancc, potenaal. ansi suggestions lor improvement. The uTitien essay requires nj; complyftainirg to compkle. bad aiijraisal may be determined as much by the evaluators writing skill a.s by the emplyvue s actual level nf pert’onnance. Critieal Incidents Critical incidents focus the *at are key in making the difference Qych. That h. the appraiser writes down did that was especially effective nr incUcctivc. The ey and not vaguely defined personality traitSi 3i*f Pn^VKles , rid) sKofexumples from which m desirabk and those that call fur improvement.

what the employee

the

only specifichehav^^rincal incidents ‘ ^hown the behaviors emplm^c ear be shown

•T

• <; • The OrTWlMti"" SW'”

i..HnrSrtlcs Onc.ftheoWcnandmostp^ulirnwthcMlscfippral,^ G«phic l^np , «t of pcrfi.nnanw favton. jmch ^ the .!«■ oJ gi^h'c « J[ . ..ij-n.^vWpe, cooperation, 1oyalt>', attendwu, and

quunot.-

M;

’V

-
• ■»

honesty. .UHI I

down

tl.u

list

nnd

rateTS;

npkallv specify live points, so a factor such as>

^^'^■,^'”'■^.'”■■’''‘'1^ ‘l<=pth of inti>rnntion\h't essuys or cnrictl inadents- do. they are less tmu-wnstunirg devclon ..nd administer. Thev also allow for quantiUUve annh-s.s and coinpans.,n.

Behaviontlly maior

Anchored

elemenrs

Raring

tn.in

div

Scales

vriiical

Behanontl

incident

y

and

ancliored

graphic

ra

rating

ing

scales

scale

wmbinc

approaches:

Hie

appraiser r.tirs the vmplovecs on die basis ol Kenis along a conQiiuuni. hut the points are exam,des of ,x t.wl hehanor on the given iol, rather than general dcscnpnons or traits. Behaviorally able

j«.b

fnxind

anchored

behavior.'Examples

by

asking

retr.irdingeach

translated

into

a

performance.

paics,

plan.s.

I

of

p^rccip^ints

liehavior

of

raring

scales job-related

ro

give

perfonnance

set

of

specify behavior

siK'cific

executes,

solves

These

dimensions,

he restdts of this process trninediaiv

and

uf

carries

and

having

dcsci

iptioiu,

nut

tncKur-

dimensions

are

ineffective

examples

dimension

are iK-havioral

and

ctleccive

lx:havi(irnl

each

problems,

olwerv-abk. perfonmnee

iliu^alicins

dimension.

pertornijnce

dcfinire,

are

vanmg

then levels

such as antid-

orders,

and

handles

emergency .siniarions. Muidperson

Cx>mparisons

perfornuiKx against measuring

device.

Multiperson

that of The

one

or

three

comparisons

more

mo.st

others.

popular

Tt

evahwtu

is a relative

comparisons

one

rather

are

individiuh

than

group

an

absolute

order

ranking,

individual ranking, and paired comparisons. The oetlcf rank'ifig requires the evaluator to place employees into a particular dassiffcation, such as top one-fifth or second onc-fifih, This method is often used in recommending students to graduate schools. Evaluators are asked lo rank 6e student in the top 5 percent, the next 5 perccin, rhe next 15 percent, and so forth. But managers to appraise employees, managers deal with all their subordinates. Thereft;re. if a rater has 20 subordinates, oniv 4 can be in the top fifth and, of wurse. 4 must also be relegated to the boitom fifth. The manager

is

difference

r/ntkhfg

required

between

iMenty-first ^ouped,

mJiriiit/al

and

Ulis

the

to

approach

appraise

first

and

twcnry-sccmid.

approach

allows

orders

employees

JO

snixirdinatcs.

second

employee

Esen for

rank

no

tliough ties.

this i.s

.some The

result

same

the is

best

approach

rhe

of

from

assumes

as

ihal

employees a

clear

to

mav

nnfenng

worst.

If

that

the

between

die

be

ebsek

nfcmplm-«s.

Inim the highest perfonner down to the knve^i. The

p.,ire.l

eomparur,,,

approach

compares

each

employee

with

every

otbef

employee and rates each as eirhei the superior or the weaker member of the pair. After all

paired

cximpar.sons

are

made,

ea.

h

employee

is

assigned

a

summan

ranking

hasc-i

.m the number of superior scores he or she achieved. This approach ensures that exh

U rciame stands nU. For ciample, u uiu*eW

r I

1, k, R«ourcePn^«^

Humin

^ieht 'I''- 'hr graphic rating ^-ak- an.l ,hc indnadu-i „ t ,nl«>mwn«»n ahniii its snuicnts' pcrforminr/^ ^"’*1"***”"' »*'’*’<*« moi* :«•' aU«.!.itf grade'„f A ‘*‘e at tv^,,st,',dentil‘ "" L’ ’“■'^P'TOvi H,fferaiK at mnndng c-.uraes anti draw omd'Sl jbouT each where neit to one gra.k- it says "ranketl fourrh \ cnnclusioni ^hersav.' "■•anke.l t.uirreentli sly, the Utter inntr.ietor ogtout •T iiutrumrpvra pivcA

SyggeMions ^1,,

ped,.nuance

evalu^itor. eJ

fbr appraisal

on

nuke

ptiq^oM's.

state

1

hi.is

and

traits

see

the

the

appraisal

or til

by

themselves

(the

iiroccss

.raneik-ltl

s.nd..r.,y

errors,

as

.nftate

.dlow

or

use

sitnihiriqpolitical

eiTOi).

one

whtj

curse,

nvcrily

ft<

Xl

mukr-

eluracterist.c

people

to

instance

leniency)

halo

of

nr

pr.,e«s

(the

;\n.l,

opix.ituniiy

the

of

charat-terisi.cs favoring

I

(lu.sitive

.tssessinent

iinconsciouslv

a

prx.hknis.

evaluations

the

other

.d

Appraisals

error).

to

So.ne

have

qualities

some

evaluators

reward

or

punish

tl’slikc. While there are no protections th.it will niurranlte accu-

cinplnyv-'vrate

leniency),

Performance

p.tcntial

unconsciously

evaluations

to

a

anti

assessniein

their

siniihr

is

halo,

can

(negative

inlluciiie

upiiraisci'

proe-evs

kn.ency,

hey

iKrtori.i.niee

unduly

Improving

perfonnance

appraisals,

the

following

suggestions

c-an

significantly

help

to

make

the |)r«Hcss more tibjcui'v ami fair Emphasize related

Behaviors

lo

gocxl

are

intuitively

question

is:

ersthan

those

such

appealing

.Arc

employees

find

others

Our

eoncltisi
hut

there

who

who

is

rate

is mi

as

dcsirahlc who VVe

high

cxccHeru

that

in

loyalty',

low?

rate

.ire

niaVs

Traits

as

individuals

who

are

Than

perfonnance

trails

ForexampL\

Rather

traits

evidence

on

arc

f
to

licrle

evaluated

as

answer

this

these

as

do

loyalty' that

or

no

high

certain

rciaricjn

employees.

traits

question

easily.

VVe

are

jxjur

score

well

on

mitinlivv traits

may

will

lx:

he

jierformance in a large section
to

be

performance. scir-cxprewiion

But

those

ami

lo

nnJ

on

not

and

considered

rcliahilin;

in

characteristics but

often

courage,

characteristics

can’l

suppon

tracts

have

ii’kitiiitive,

jKTformers such

Many

the

relevant

biglier

pcrftirm-

know

that

iwrfonners. traits

such

prized

adeiiuate

liy

there

We as

can these.

managers,

synonynw

for

,. tn id i

Another weakness of trait evaluation is the judgment itself W wt is nya ty . 'Hen is an employee ‘‘reliable ? What you consider -loyalty," I may not. So traits suffer from weak inlcrratcr agreement. Document

Perlbrmance

Behaviors

in

a

Oiary

Dianes

^»rgani/t intormation m their memory. I he evidence vpccifK critical mcidcnts lor each employee, . less prone to rating errors.^'^ Durics, lor .nstanee tend

i , , r..dHce k-nicneV and 8938

halo errors lice a use they encourage the evaluator to fotus on | ^*havn,rs rather than traits.

.

* Uulciple Kvaluaton A.s the nuiiil>er

’Naming more accurate infonnation increases. I

an iiHTeasc in the nundxT of appraisers wi I"'-.

.h,«,

rt„

n,i,l(lle. .„,l

V,.u

’«> f<»|bs* a normal \ p j mah*hy ctmgrcjthlciie aimpcooom «

scr .b„ .PP-”.''' A «I •>, evaluaW’.' P-PK. P^

udX

pcrfn™“«

hrtnr

The Oi^hlMdjjn Syewm k.wcM He«.iCM .n- dh.ppea, «•»<’ the fi.ul |KTfr.rmfln« i, .n^,^ ..r thne .cn.nining- The l-.gu nf ...ult.ple „ ■

««• nw AM- ............ .. >l>^.hr ' I’-'' I l.r.el..rr. I.y viniihivcv. wiihin the org^mrAiiKMi MI U* VI g’JHi n huiiibpr o1 c\nluau(>hi» OP iiMiitf nuilliple asu’>MM‘s G»s pnn’ulrd «n

appNihJs). IIUTUASV llw

;d)iluyot'.HWnignKHvv.iliaaud rJi.iMc r^..hhmons. Hflluaie Sckiiivch Appi.nM r' JVHIUI ev.ihiuic only in urvan in vhuh they have If Mter. iitike rvuhratiuns only an (limcnsuins lot ,hc‘y arc in

M.inc

a pxxl posiiinn in rale, 'vc im-reusv ilu- interralvr iigrvemcni «n
Evnluators

rvatuDiors.

There

If

you

can’t

//«//g<«id

evahiaiors,

is

suhstantial

evidence

that

sin

halo

lenieiu'y

lhe

training

alternative

evalnau»rs

is

ran

to

make

wtr

gticxl

them

more

act (Irate ratei’sJ’* (ainnnon Workshops shn|b not

in

typically always

envoi's

lie

were

sesMons

ernirs which run

h

as

nianageix

from

one

necessary.

practice to

Onv

three ease

decreased

immediately

only

rninuies.

lasting

live

and

have

observing^ days,

has

Iwen

aher lint

but

Ixx-n

and

in

exposing^

lhe

rating

nllocaling

cited

effects

mininnzAxt

livhaviors.

many

which

htuirs Ixith

evaluators

to

tr.iining

do

of

<»r

cliininauxl These

to

hahi

in

wnrk-

(raining

iiuy

and

leniuney

explanaiorv

training

.ip|KMr

to

diinniisli

twer lime.'^’ This suggests ihe neetl for regular refresher sessions. Provide

Kniploycvft

appraisals

lo

inii-ease

turcs

eharaetenze

notice

ol

aired

in

what a

fair

with

ttuc

js

Dne

the

pereepri<m

process

expected

hearing

Process

so

ol

(haI

sysiciiis:

(hem;

indn

The

(2)

iduals

all

concept

of\/w<

employees

are

(I)

iiulividnals

relevant

afteeteil

can

/izvAWcun trcaietl

are

evidence

to

respond;

and

a

priqnised (

I here is txmsitierahle eviilcnce linn appraisal systems often violate employees due process liy providing them with infrequent anil re la lively general iwrlbrnuiut feet^Mek, allowing them biilc input into the appraisal priKcss, and kmnvingly intmducing Inas into iKu foimattce ratings. I low ever, when due process has been pj(« appraisal sysu in, employees report |)osittve reactions to the appraisal pnxess, [wranx t e rvaluaimn results as nuire accurate, and expre^ inca*ased intern n» remain with the orgMui/ioioiv

Don'l l-orgct Pcrformaiue Kwdbuckl ’’^anaj^'rs, few auivines are more unpleasant (han providing |Hrfornw»^ tmh, managers are likely to ignore this res|H»ns(hdi^?’

1

applied

fairly.’’’

provided

based on the evulence and free from hias,

t^mployees?- In tact, unless pnssured tn- organi/4tionai policies and CJ®" .j

IK

0

iht*

Three

tvilli v Ihial

to tea-

adequate iolation

is

decisMW

,

,

Chapter 15 l.un,»nKa.

Prw;tlfl< feedbavlc'."UCW I’fJiciMjnd Th *' ‘‘•'’''•’'"ng perf.in.unee

Mb, the ^luctance to perfonnan« rtiree rea«>t.s. hrsi. managers are often unenmfonat ' r .•eaktiesses .hrcctly xvith employees, tiiven that alm"? n,

imi'Tovc

in

some

areas,

fc.,r

nwnagei-s

a

eo„fro,„a,

*’'7

'•‘"’P'nyee

could

(^llwvk. I his apparently apphes even when i.eooi,. .hv'”' *

stand

negatht

putet! Bill fiates reporu that 'ticniwift condu-t-d^ .w rate their i xperieiite with .i einiiputer. “Whe,, i, Ji **“* required users to worked M ich ask for an evahuition of its ixrfornianee the '‘•'''de.l u, 1« pt®.

iliw But »hin we had a second computer ask the «im Counters uith the first m.ielunc. the ieop etre „,„c-tance to eriticirx the firs, computer •,!. its laX J^^'h to hurt its Ic-ehngs, even though they kncM it Mas onb ^mjcJiiL Se‘'‘‘”i ‘ emplnjres tend to bccon^ defensive when their weaknesses are poimJd oct of accepting rhe feet I,ack as constructive and a basis for miproving performance ,«m« emplo.vces challenge the evaluation by criticizing die manager.it redirecting

Idanic to someone else. .A surv ey of 15 i area managers in Phila.lclphi i, for instance found that MS ixrceni of these managers encoimtead some tvpe of aggression after going employees negative appraisals,-'' Kimilly. employees tend to hive an infiated jssessnteiit of their iw n pcrfonnance. StatLsticalb s|waking, hall of all employees must he iieloM-avcragc performers. But the evidence ind'ic.nes that the average emplnyccs estimate of his or her own pcrfonnance level generally falls aruiind the 75th perccnrile.-^’ So even M’hen managers are proviiling giKid news, empiotxes are likcK to perceive it as not gcMxl enough! The train

solution

managers

rexiew—one cere,

and

in the

in an upbeat improve,

.ind

to

in

how

which

the

climate IIKHKI,

the

as

|Krtbrnuncc to

feedback

conduct

employee

problem

txmstructive

perceives

constructive—can

the

result

is

feedback

ap[>raisal in

not

the

as

(o

ignore

sessions. fair,

employee

IIK

it» An

manager

leaving

the

hut

to

effective XS

sin*

interview

informed a lx nit the perfomiancc aixas in which he or she needs to

determined

to

correct

the

deficiencies/

In

addition,

ihe

performance

avivw should be designei,! more as a v'ounscling iutiviiy than a judgment priKTss. I his can

hesi

he

aexomptished

Iw

allowing

the

review*

to

evolve

out

of

the

einploncs

own

self-evaluation.

UTiat About Team Performance Appraisals? Perfonnaiicc ipprjis.il itmivpts have been alinosr exclusively employee-s in mind. I his fact rellevts .he l.hct cha. 47

building block around which organizations are biiih- But as MI se ?

around

«u. .hi« b..,.l. „„.re .„d ,.,.,rZ;.rg,niz«„.,n, are reerruUunng HDH should rhosc organ luve Ix^en offered li designing a f"n«nee„f,e™,s.“

using warns <. imonwes th« that suppirts and imprm J

1.

7ir /ir rtfults apply IO iniponani goals that the icatn is supi

2.

Bf^pn t:ift> ibe Hinit'i (Wtnmtis afJ TbTfinal pnaluc. the cusu-twr rnpuretiients ITw

J' * aceoinplish. ~^|,uted in teniis of the ewno’*"'’ reexi.ves can ‘;X; X^ontheh«uof«W.«n,

betwe^ teanw

^je ume.

and ukutiT)'. ^nd the pnwei® »wj“

.4

Hut IV Tlic Orgmimtion Syntm

V

3 Afrijwr botb tcttta und MtitvidtMf Define the mks <»f <arh team a wnns of m-wnplishinviiu th«f wppon the wain's work process Then u
Perft>nnan<e Appraisal in a Glohsil Context We in

previously affecting

WTiy?

examined

Irehavior.

Because

rhe

role

Caution

many

that

inu-st

perfonnance

he

cultures

u.sed»

are

unt

appraisal

however,

plays

in

parricubrly

in

motivation

generalirjng

concerned

acr<m

with

and

t-ultures

perbrounce

appraisal, or, if diey arc, they don’t look at it in the same way as do managers in (be United States or Canada. Jo illustrate these paints, let’s look at three elements of culture: a person’s reUdonship to the environment, time orientation, and focus of res|xjnsibiUc\\ U.Sheouibc Middle I*

and

Canadian

people

in

Eastern

w’idely

these

conn

used,

organizations

because

believe

countries

tries,

on

hold

the

other

managers

in

people

the)’

hand,

tliese

responsible

can

dominate

performance

countries

tend

for

their

their

appraisals

to

see

actions

environmert.

In

aren’t

to

people

likely

as

snhiupted

to (heir environment. Some PcrforiTjancc once

a

countries,

such

appraisul.s

arc

yeir.

la

Japan,

as

the

United

likely to

however,

be

States,

frequent

where

ui

people

have

a

short-term

such

a

culture,

hold

a

long-term

time

orientation.

couducted time

at

frame,

least perfor-

mance appraisals may occur only at five- or ten-year interv’als, Lsradk culture values group activities much more than do the cultures of the United States and Canada. So North American managers focus on the individual in performance approisals, and their counterparts in Israel arc likely to cmphaMze group contributions and pcrfonnance.

___________ IMPLICATIONS FOR MANAGERS AlajMgers traitiing, affect care

and the

contrul how

to

selection

employees

qualit)'

needs

the

nt

be

an

taken

are

prcxTcss,

evaluated.

organization’s lo

ensure

Because

workforce

that

decisions

the

rcg^irding

these

and

manage

rhe

organization's

rial

beharior

selection

employee

of

decisions employees,

process,

rrainiDg

programs, and appraisal system support high employee performance. An erly co

Organization’s

designed, the

i<»l)

they and

.selection

will

the

practices

identifr

will

competent

organizatjon.

(

he

determine

candidates

u.sc

of

who and

(he

gets

hired.

iKruratelv

proper

It

prop"

match

ihcni

selection

devices

will

increase die prnhabiliiy riiac ihc right pervun will be cho.scn co fill a slot. While design

employee

their

person-job

lit

performance improve and

a

select

the

will

may

he

selection

ion

systems

be

achieved. less

candidate's

replacement

is

will

so

need

from as

VMten

than skills.

frr

sat At to

is

to

science,

maximize

errors fact

worst, Iw

a

arc or)’.

the

Idund.

some

the

likelihood

made,

the

Training

candidate

Similarly,

organizations

chosen

may will

when

results in hiring less qualified candidates or individuals who don’t fit into d*

that

be prove

the

fail the

lO right

candidates

necessaH’

to

unacceptable

selection

pruec0

A g„., „rperfor„,„,, perfonnance ctmcrihimon as a basis fL? ? “ pcrtormaticc appraisal process em»i, appraises actual job performance deinonstrare.1 in Chapter negame consequences such as red for aJceinarive job opporwnidcs.

„ «x-Uratch. r . ‘‘^'''ard aUocarion » *^riteria *’‘> be Jer«qu«c> the.,rs- rh ‘lUci.’rreism'^^r “amb

'

:»s

■ Chapter is ,, /orgamzanon. chow chosen are I,LHI . R«>«iree PolW- J This, .n turn, IS likely tn Cense -t-h. rno.« ,.f,v,oas vffecT o. cr.S ,mpn« mg the sbii.s necessary- fr.r ,k ® P^grams on work i' L her M»b. .An increase in uhiJit?i„.„_ ‘ ®'"PH-CC TO suceeswi.u'^**^ higher JnxI. Of c<„,rse. i»ue of motivation. P^reinial become* p P^'rfcnn at >

4

CHAPTER 16 ...................................

r' .

Organizational Culture 1*

*1 I

After reading this chapter, yo'j should be able to 1. Define the common characteristics that m^ke up orgdniistional culture

*

CM 01

Contrast strong and weak cultures Identify the furctiunal and dysfunctional effects of organizational cutture on people

%d VI

List the factors that maintain an organization's culture Clarify how oilture is transmitted to employees

♦•«*

Describe

spirituality

and

characteristics

of

a

spiritual

culture

Contrast organizational culture with nalional culture

1. Explain the paradox of diversity

JiX.d their aid hides tunl behaviors ln\i pic..™ be vativc. Thesu irans, jn f,„ fh,.„ dlc people \^,thin diese oiganizau„ns/^ that, airhougb JiarJ enipkwccs generaliv cJcsfribc ^n'r Just as trib j culnirc!, havc^rnr"'"’ *11! act toward fellow .ttcnbeij an.l h.iw n.embe.>. I.ehave. Iu7. u^.r finploj-ce attitudes aiu) hehavh.r diuosse*! in tht: following pages

organizations. In Ch^prer J, ux !>tah!e iraics hdp u5 predkr «nnovaavc. w cwiserrtf variable in organijawiis uwcrtheless exisTs and tbt nrganizarions have clrures that g'l'trr. 's-, how it has an ituparfoo lie managed

pjy-rNING ORGANIZATIONAL CULTURE *" ’

Jis meaning held iw members Srim- - Th. sy'.teni o, shared meaning ,cren«tks rh.« die orgamz.irion

‘T’"

SnZ: R«earch has

values.

s..gg^^^

l’

a^racterisoes. m aggregate, capture rhe essence of an I.

ImmJlinu anJ mnnvative au.l .ake risks

nsk

raking—lhe

Avmc tn whi.-K e.npirnees arc en«.ura«d w be

2. The degree to which empkryct^ arc aiialysiv. and arwncion lo detail

3. 4.

i

exhibit preasKm,

Ofitcowe wiewrZrt^i—ITic degree to which manaff*.in^«n. t conwM

rather

ih..,

the

Pa.t>ie

Techniques

«nd

proccs.es

t.ed

to.ch^.^.e^oL^lutrotn?,''

he tiegree ,o which n.onagcncn, decisions rske into considers-

tKUi the effect of ouicojncs on people within the orgai.j^ation 5.

degree to which work acuvities are o^gani^cd aremnd i«nis rather than jndmduals

the

6.

z/ffirrtorrnw—The degree chan (tasygouig

7.

SM'ty

Ejch


these

charncrerislics

on

these

organization’s

culture.

standing

tneinbcrs

way

which

people

are

~Vhc ilegree to which organizanrrnal qarus quo in contrast to growth

oi^nizaaon

that

to

inemhers

arc

seven

This

exists

becomes

about

supposed

a

characteristics,

picture

have

on

to

the

activities

concmuuni then,

ihe

Exhibit

for

how 16-1

a

and

ewnperirive

euiphasire

from

gives

basis

organizalion,

behave.

aggressive

low

to

composite feelings

things

are

of

done

demonstrates

how

rather

maintaining

high.

Appraising

picrure

of

shared in

ihc

it,

the

underand

the

these

charac-

seven

charac-

rerisucs can he mived to create highly dh'ersc organizations.

Culture Is a Descriptive Terra (hyanizationai

culture

is

teristics,

whether

they

important

not

because

il

concerned like

with

them.

dilfercnuatcs

I’hai

the

how is,

concept

employees it of

is

a

perceive

descriptive

organizational

the term.

culture

This

|M)int

is

from

that

of

job satisfaetion. Research on organizational culture has sought to measure how’ employees sec organization; Are there clear objectives and pcrfonraiicc expcctariniii? Does the <’tgaTiiz4iion reward innovation? Drx^s it encourage competitiveness? In contrast, research on job satisfaction seeks t<j measure affrerive res^ponsvs to ^hc Work envininmenr. It is concerned with how cmployccjs led a )out ii^aiion'^ ex|)ecunons, reward practices, methods for handling con let, an ret 'Although the two terms undoubtedly have characteristics i ar

is

^‘ncl that the term ^^aluative.

is

c.h.re is descriptive, whereas jeb

Organizations Have Uniform Cultures? ^K»ni/a,i<,nal culture represents a common

^uhureas^sj^te^

"*”^*rs. Illis Icaturc was made explicit when wc dt ,i;ffLrcin twek^mnds or We should ex,wet. therefore, that individuals w.th ihttercm t« 6P

jMTVgBitetfoa 9trm
Conirwtif’gOfganttaOonal Culture*

cxNwiT ie-t

<>r«8nir.atiM z _ ftnn MaoaKCTv ate tipceted la bitty d»c*wt«m iA ThJ” ’ "’“r< who van pS detailed d>» u> wppon that r^ dcr WioK a««l jiiani^rs >rc i ^-.fnani duflffe or riak are nm «Hvnirag< ,«Mr>cnd»n<m' ... oixnh m(K»/x. .M«..gen,e« „ 7«r.H.n.t ind^icluaU. r‘hr« art diMintt

with higli «tqiartmenta»ndlinw

W..rt »uHnc. uz.- fiiriii.l n.n..u.. .nh -her en.pl^ of anil ernp'"^"'1^ of onnmanil Perfonnan. e ei-aluainms ind fei.inb •>” — nation of W rti*' wd jsrranouons. OrgaalutxMi B I hu is JIWI a manafjctunng 6nn. H«f«. h<»»cvcr, ownagcjneni eixnuragn and reusiids nsk laUng and change. Decision^ on inrunion are valued sstnudi a% those rhat arc well rari/maii/cil. .Management pridec iwlHm is history ofcxperiimmting vidine* tedimdogics and lU succe** m regularly iniroduchig inmnauve pruducta. Aheugen or employees *hcing market driven and rapidly respomiw to the changing needs of its vusoiruers. 77rcrc are and rcguladons anphn'cev tu UAUfw, and «se fiutcomcs. Employees are given considerate auiunumy inpro|>eraes organiudons have a dominant cDJh,r^Most large choo«iigthe culture means exjjressts corn the v^h..goals k numerous ms of subculnires. A ibrrnnanf bythe which arc attumed. ^«hared by majority of the organization’s

mein(>ers. When we talk aU

-'^‘n.re. we are referring to .ts donu-

nantc-ulture. k is th's niL^I, soiiality, Iciiis, defined

Suhtnltur^f situations, by

or

tend

to

cxnericn.-.-s

depantneni

deXlon^n A

iksimThese

dejiartment. for cxaiiinlc, can have?’’ l" that departjnert. k wiil include the the organization that is nhvsi.~jltv m-y Uie on a d.ffercmf.S^ahtv m-xJlfiedh,Hte se,«ra,ed unit’s ihsd^.i M.'nlm.n"'

i

f'organization

yganizarions subcultures

to are

its.

distinct

per-

refit«

common

pn»h-

litcb'

to

separation. The atwonting uniquely shared by members of 51’^™”'^'”' bmnlarJy, an offite or unital
be

..

,

Chapter 16 OrganitwonalCohart

If orgfln/zatmns had no dominant culmrt and .ulH-iilri''’rs, the value of organizarional culture a, an ;^Hcandy lessened. Why? Because d,erX:M £ represened apprepriate or mappropnate behavior, h ofcul.crc that makes a such a potent XZ'

'>f numerous

Strting versus Weak Cultures It has bccn.nc .nvreasingly fxipubr tv diftcrentiau; I>etv».«t, strong and weak culture urg^-n’vnt is Unn stnrng cultuiy hnvc a greater impact on employee behavioTS are ni»re directly reiated ro reduced rtimover. navior and T7 '"i'^Tl ■' "■-g-ni«t.on's core values being both intensely held and widely shared.- The more members who accept the core valuesand d,e grciiter rhc.r oi.nmiimcnt ro those values, the stronger the cnlture is. Consistent ft

I1*1J

metnhers

because

mate

of

high

ijped

one

employees

the

ft a greater influence on the behavior of its

high

behavioral

ol

the

know

in

degree control.

strongest no

of

sharedness

For

e.vainplc,

.service

uncertain

and

cultures

terms

w

hat

intensiw

tTeates

Seattle-based in

is

the

expected

an

internal

Nordstrom

has

retailing

industry.

of

and

them

cli-

dcvel-

Nordstrom

these

expecta-

rions go a long way in shaping cheir behavior. One strong

specific

cutttJre

zation

siands

zational

result

of

tlernorisiraies for.

Such

commitment.

strong

H

high

agreement

unanimity

These

culture

of

should

among

purpose

qualities,

in

low

members

builds

turn,

be

employee

about

cohesiveness,

lessen

turnover.

A

whar

the

organi-

loyally,

and

organi-

employees’

propensiti’to

leave

die organization-

• > # 7 3 ,0 x 'i S ;

WHAT DOES CULTURE DO? We've

alluded

to

argued

that

strong

liiin,

we

a

more

org'.inixadonal culture

carefully

cHliureV

should

review

be

the

impact

on

associated

functions

tliai

behavior.

with

We’ve

reduced

culrure

also

tornov’cr

pertornn

and

ejfplicitly

In

this

assess

sec-

whether

culture can he a liability’ for an organizadon.

Culture’s Functions Culture

[lerfonns

defining Second, tstts

role; it

die

•nterwt.

several

that

conveys

a

generation Fourth,

is,

it

functions it

sense of

within

creates ol'

organizanon.

distinctions

identitv

commitment

enhances

an

social

to

for

between

organization

something sysiem

nne

I’clps hold the organizaliun together by provuhng appiopnatc

it

has

a

urgamzation

members,

larger

suhiliry.

firsi,

boundaryand

otte^.

rhird,

culture

than

ones

mdiwdual

Culture

is

e

tau

souia

1.«itgu

\ control

'-•n.l.loyecs should sav and do. Fmally. culrure sen-es -as a sen^-mak mechanism that guiiles and sliapes the attitudes and behavior cl enij > makes clear, culture h^ncoon is of partcular interest to us. As the following quotauon makes cleai, culrur ^Itfines the rules of the game: iniphcil, .nd raker f«r granted _Bur Culture by definibon is elusive, intangible, even. ..rganizanon develops a eorc set of assamptions, understandings, and .mpiKar ndes that pnem (bv-to-«by behavior in the workplac*- L! nwl newcomers Icam

F. 4

J” f :

f

1« ^'h-gatutatioQ Systtm

the rules, thc>’ are nor accepted »s full-fledged memlxrs of the organiutioo. Iran^^prcssions of the rules on the pan of high-level csccunxcs or ffrmt-line employees result in luuvcr^al disappros^l and jM>uerful penalties Clonfonniry m the rules becomes the primary’ basis for reward and upward uwbtbty * As we show later m this chapter, w ho is offered a job, who is appraised as a high performer,

and

who

gets

fit,

that

is.

organization are

compatible

and

Disney

\5'ak

some.

with

with

employees

promotion

wheier

the

are

strongly

applicants

the

cukurc.

IT

is

W’nrkI

apiwar

to

be

almost

the

image

bright who

a

smiles.

will

Thars

maintain

that

not

a

image.

or

influenced

employees

coincidence

that

universally Disney

.\nd

both

by

individuil^

attitudes

and

empkiyees

at

attractive, seeks.

the

the

clean,

The

bchariijiDisneylanj

and

whole-

company

informal

nonns

sclcet^

and

formal

rules and regulations ensure th.it Disney employees, once on rhe job, will act in a rek advciv unifonn and predictable wav.

Culture As a Liability J**

are had,

treating

only

that

organization the

i?.acii>n.

From

It

die

Culture

is

ther

the

exists.

an

of

its

when

things

the

is

are

aspects

entrenched

of

liehanor

asset

burden

the

is

an

onganizaoon

and

most

the

iis

of

abilitv

to

a

to

to

is

stable

an

or^-

ambigushoul^'r

strong

culture.

that

be

will

fur-

when

the rapid

appropriate.

ennrnnmcnt. tu

the and

undergoing

respond

or

But

occur

longer

a

bndi

reduces

those

likely

no in

(or

imponant.

environment may

it

with

socd

commitment

l>eejuse

agree

is

iVs

benefits

especially

organization

hinder

that

valuable

arc

what’s

not

situation

an

clearly

and

culture

co

are

valuable

do

said

organizarional

culture,

WTien

organization’s

Consislencv

is

of

values

dynamic.

outlined,

These

done

This

haven't

enhances

culture

shared

We

as

behavior.

standpoint,

effectiveness.

en\nrnnment

functions,

cmployxc

how

manner.

Culture

dysfuncoona!

liability

the

however,

of

employee’s

potentially

organizations

nonjudgmental

employee.

employees

a

a

Many

the

organization’s

change,

in

consistency

tells

ignore

it

and

increases

ity.

culture

It

changes

may.

in

die

environment.

CRMTING AND SUSTAINING CULTURE organization away,

forces

s

culture

doesn’t

influence

the

pop

out

of

creaunn

of

a

thin

air.

Once

culture?

established,

WTiat

it

reinforces

rarely and

fades

sustains

those forces once they arc in place?

How a Culture Begins .\n

organizations

largely

due

to

current what

it

customs, has

iradiiiuns,

done

before

and

and the

general degree

wav of

of

doing

success

it

things

are

with

th««

had

endeavors, So the uluinate source of an organization’s culture is its blunders.' The

founders

of

an

organization

traditionally

have

a

major

impact

in

estaWish"

ing the early culture. They have a s ision of what the organization should be. They are unconstrained typically their

by

previous

characterizes

v*:sion

on

all

any

customs new

for

doing

organization

organizational

ineml)ers.

things

or

further

ideologies.

fiicilitates

Becaase

the

The

the

founders

small

blunders' have

the

size

that

inip(»sii¥ origin**

idea, they als<j topically have biases on how to get the idea fulfilled. J he organiiAW’*^ culture

results

from

the

interaction

l)etw’cen

the

founders'

what ihe original mcmliers team subsequeiuiy from therr ow n e.tpenenceL

biases

and

assuui|Wuns

nilture is largely n ixflw-ti,,,, nf«, Bill Gates- fn-res himself « aggressive, conipetitive an,I same adjectnes often used to ikserilie iMitrow’ilt „ff;,iinJers

who

have

had

an

immeasurable

T chairman, ‘''seipImeU. n,<»e inmact

.,n

rk

‘■■'’’’‘cmp'Taiy

etaniples

ALW Morita at Sony, Fred Smith U Federal K

are *^‘'y

tosmeiics. and Richard Branson at the Virgin Gtwql.

KeepiiR s Cidturc zMivc Once a culture is in place, practices within d.e organization -.r, o ,„ • exposing

employees

to

a

set

ot

simikr

•-e

experiences?

Fl>r

example

mm^T.

'

,,rion's homatt resource practices reinforce its culn.rc, The Xd..; nunce

appmisal

and

pronmtion

who

support

piay

entena,

procedures It.

and

particularly

3ctionii

Ct

top

Selection

'i’he

als

have

who

zation

the cion.

It

attempt hiring the

6e

would

be

of

people

organitation)

gives flict

between

of

the

employer way,

the

judgment

of

than wdio

h<jw

ignore

this

whether

w'ho

have

common

values

at

Icxst

a

information

ihcir

applicant

those

Selection,

to

selection

and

abrogate

process

the

»a

the

therefore, marriage

sustains

an

will

and

hire

iolw

will be

within

meet

Mgiiiflcnntly

aspect

the

decisiem

of or

esseniinlly

those

values.

The

Candidates can

becomes

a

there

appears

organization's

to

to

tx.*

culture

by

hire.

a

a

allowing natch. out

individuals who might attack or undemiine its core values. For outerwear, titles

at

instance,' prides Gore;

\V.

R.

Gore

itself

on

its

there

are

no

&

Associates,

democratic

bosses

or

the

culture chains

maker

iUid

of

of

(iore-tex

teamwork.

command.

All

I

hbnc

here

used

arc

employees

nii

are

in job

called

“associates" and have equal authority. The company’s -W plants arc al.so kept small so eveiything

can

he

done

i'^b

applicants

through

*ith

die

of

level

in

teams.

extensive

uncertainty,

In

Chores

interviews

flexibility,

selection lo

and

process,

ensure

dial

teamwork

teams

of

candiilares

w

that

employce.s

cinployees o

can

have

t

to

*idi m (iore plants are selected out. ■'■>P -Management -fhe actions of top nunagemciu also have a ''fganizanon’s culrure. Through what they say and how du-y behave, se . «tabl,sh nonns that filter down through the orgamz.anoii as co

.

„ro-

h™ „,u,h freedom nunrRer, should giv^e .he.r M.bonta a. P"«e dress, whai aelions will pay off in terms of pay raises, pn wds, and the- like.

,

Fw example, look at Xerox Cuiqi.* iR ^”*1* Wikm. .\n aggressive, entreprene-unal type, he oversaw

i iix i to 1968 was Xerox's staggering

put ea tlwl

of also con-

themselves

selecting

the

those

process

mi.st

by

This

in

perceive

street,

job^

organixa-

widi

scll-sclect

two-way

organi-

given

rhe

selection

svho

individu-

results

eonsisLent

each.

influenced

into

inadvertently,



at

the

any

fir

organization

if

loti;

will

organization. f>f

the

iorc«

the

closer

identifv

th,5

Three

practices

u

a'cSs

reward

it.

candidares

(ones of

rake

n>

purposely

|x^rrion

about

values pool.

gotKi

is

hired

subjective

march,

s

candidate

rhe

c.dtiire,

challenge

pertorm

one

well

the

who

Let

to

is

development

culrure—scivetiun

pn^cess

proper

applicant or

about

a

career

with

d.use

abilities

more

in

mcth
a

or

applicants

and

and

ii,

expel)

selection

skills,

to

hired

suhlaining

the

decision

naive

ensure

in

tj-qaically,

hnul

even

'Sr

training

rhase

>;Dcializauon

of

knowledge,

maker's

that (and

ind

goal

But,

practices,

part

nianageinent.

'fhe

to

[Kiuiiz.e

explicit

decision

ensure

unporunt

successfully.

requirements,

reward



out either

In

this those

Partly 1'hcOrfini»tiiMxS>»«m

? of iu 914 copier, one of A« niost successful product in Amrica*

bXn Under Wkon. Xerox h«1 in enavprencurial environment, with an infornu^ S-^a,;»n.der,e, irt.cv.t.vv, boM. risk-mki-.g naln.r.. Uilsons rephcemc-nt a, CEO I K r Pv-«cr Mc(k>i«.ugh. 4 Hanard \UU ^v,th a fi.nnd .nai^gcnx-nr su4t. He.w, tuted burcaucranc o.ntrols and a .iu|ur change m Xeruxs eJUKc. By ihc .VR<x.l..uxh stepped do*^ in 1982. Xerox had become sto^ and fi.rmal, unth lots of politics and rurt banks and las ers ot waichds.g «ers. H.s tepl .vrmenr ua, fhvid T. Keuw who beheved rhat the culture he had mhented hu^dcred \eioxs ahd»t> oomtwte Io jncrejsc the company’s campedth-cncss, Keams mmnwJ Xe^x do>n by fttttiV 1 ^.n<)0 iohs, deJrgareri decision miking down wan!* and rehxused the oiyaniurioni culture around a simple theme:

the quality of Xerox pnulucts ind ^eivkev.

By his actions and diosc of his senior managerial cadre, Kearns conveyed to evcTy^>ru. Xerox

that

reured

in

the

cmnpaiiy

IWO.

Xerox

valued

still

and its

had

rewankd

qualin'

problems,

‘fhe

and

copier

efficiency. bu>iness

When

was

Kearns

nianire

ard

Xerox had tired hadh’ in developing comptitei i^cd office sy-stems. 'I'he next CKO, Paul Alliire.

again

soughtV
radon

arotuid

a

iiunufecrunng with

and

Ri^

riioman,

Allaire

sought

a

on

high-tech

replaced

culture.

to

IBM

of

reshape

cxet

Ac

iirrve. He

services

built

all

spring I

emnsioned around

reorganised

product

company’s

culture

Wlule

he

unified

rhe

Xrrnx^

Tn

technology.

Specifically,

depanincnt. half

compcuucjii.

former

.Xerox of

the

Xerox’^

inarkenng

and

ouibLisrling

refocused provider

w'orldwide

divisions,

oursiders.

jug

reshape

to

of

1999.

hcHnan reshaping

digirnl

.Mlaire

documents.

team

innovative was

only

Xerox

and

management on

lasted

corpn-

development

top

focus

the

B

into

replaced

by

monAs,

he

a

Although

think-

LST-moving Thoman

is

pone, Xerox’s current top nmnagemcni team condniics trying lo tulfill his vLsiun. SudaJizadon sclecrion, Because

No

matter

new diey

porcntiully organization

employees Are

the

how

will,

are

legist

n^ost

good not

fann'liar

likely

therefore,

to

a

job hilly

widi

disturb

wnnt

hi

rhe

indfictrinated

rhe Ac

organization

help

in

orgaiiixadon’s

hcliets new

ind

does Ae

in

orgam74tions

culture,


employees

recruiting

new

iliat

adapt

are

to

its

an

J

culture.

employees

are

in

The

place.

culture.

This

adaptation process is called sochlirAtion. All Marin e.s must go through lioot camp, where thc\' prove their com mi unent. Of

Course,

at

the

'‘^Marine

way.”

employee

through

learn

about

rhe

>:ime

Vunt, a

a

Ane, rapidly

Arcc-wcek

firms

Ac

hisujry’

^Marine

growing program and

nainers

are

Boston-hased in

key'

which

ilicy

personaeL

indoctrinating consulting

bond,

New

new

finn,

accjuire

Disneviand

puts team

recmiuinthe evert'new skills,

employees

and

spend

their first tv o full day3 ol work watching films and listening tn lectures on how Disney employees are expected to look and net. •

discuss socialization, keep m mind that Ae most critical socialization

IS ai time of enuy into Ac organization. This is when Ac onranizarion seeks f> TOukI Ae outsider inm an employee m ‘‘good standing/' Employees who f.iil to learn c essential or pivotil njlc behaviors risk being labeled nonconfonnists or rebch and. ultimately being expelled. Bui rhe organiz^iciun will be socializing every employed’ fxig inay >e not explicitly, diroughouc his or her career in Ae organization. Phis cononual pnccss further contributes to sustaining Ae culture. ScK’ialjzjtiou can k conceptualized as a protvss made up of thrw? stages: pre^nvai, encounter, and metamorphosis. The first stage encompasses all Ae Icarwng at occurs ore a ncM’ menil»er joAs Ae organization. In Ae second stage, the («• employee sm what Ac organization is really like and confronis Ae likelihooJ thK

a»pur« Org«|«to«J ^.rratirtiis and reality nxav diverire. In tlit third ,.te plaxv. The new c,n,.h.yee mas,cm ,).« skith'rc^.iS’for V iwrtonus h« or her new ro es and inak. x »kt. ?i-

.v ’*7 ’'«or her

anpinyt*•' «<,rk prcJucnx^ty. cnm.mancn,... ,he orgnm.auon-, .>b,e uves an^ hX or^anuatmn. Exhibit 16-Z .k-picts this i.nKei The/’W'vvtwZ^Zz^Xr '>ccur<. bcl<»re (he eniplovec inins dip r^r
' L.

^.^rhoth the work ,.. IKI done and the organ,zarion. Eor instance,,., many ,ol>S tXricularb prokssional work, new members w,ll have undergone a eonsideral.lc tlejee prior sm iahzation ,n tra.mng and m school. One nuior purpose of a business «hool. lorexJinpic, is to MKiahzc business students into the attin.des and behavium hrms wain, h iHUjncvs executives hclieve that successful einplovecs value the profir ethic arc )uyaK tan hire

<^ut oi husniess -ichouts who huve Ixen preinolded in this paucni

ButpretrrivaJ

MK

A1/C

ysei!

hard, want to achieve, and work svdl in learns thev

in

nioxt

t^liZsinon

goes

organizations

lo

beyond inform

the

specific

pros|wc(i>'e

job.

I

he

employees

selection

about

the

process

itself«

organization

as

a whole and to ensure the inclusion of the right type—tivise who will fit in. “Indeed, the

Abilin’

process

uf

I

he

detennincs

individual

his

ahilin*

m to

present

move

the

into

.ippropriatc

face

organiintion

in

die

during the

the

first

scletlkm

place.

Thus,

success depends on the degree to which the aspiring member has cniTcctly anticipated the exptcuHions and desires of those m the organization in charge of selection.”'^

Entry' into the organization begins die front

the

possible

boss

3nd

the

more

or

ceptinns

in

accurate,

the

gained

earlier.

But

between

their

general—and

encounter this

is

realiry.

stage

often

cxjwctntions—alxiut If

merely

not

ihe

their

expectations

provides case.

a

iob,

prove

to

reaffiriiiation

WTierc

expectations

co-wurkers. have of

been

the

and

per-

reality*

employees must underp > socializathMi th ar will detach them from previous

asMirnprions

die

organization

less

differ, new

ducTiis

dichcitomy

Now the individuals con-

and

desirable.

JCTiialities

ot

replace At

the

their

those

assuinpuons

extreme,

job

and

new

with

members

resign.

Proper

another

may

set

bctxitne

selection

should

that totally

the

organization

titsilkisinned

significantly

with

reduce

the

probability of the latter oeeiirrence. Finally, the

encounter

new

members

stage,

‘lb

do

must so,

work

they may

out have

to

any go

problems through

discovered

changes;

henw,

this (he wrXtfwo/pjbofw yfrigv. The choices presented in Exhibit 16-3 are alternatives

EXHIBIT 16-2 A Socialization Model Socialization process

Outcomai

during wc

call

CMture

Hwttv TbeOk^^woonSyMBm CJQWrT 16-3

&my Sodatization Options

T1i« more a tie* vinphn ee is fwgregan’d from the ongtring wmi setrftag differentiated in some way tn mat* capIxiT hi* nr her newvunxr’s role, the more tonnak b. Spcafic onuoUTHHi and training pR»grutm are exampU*. InlVxntal soeialtMCKm pm^ employee directly into hi> or her h’h. wldi licde or no tpeoal atieniinn. :y Cotieari'c New members can be Maaaliizd indnuiuJly. Many proic»uonal offactt socialize new employees ua this wav. Nc» tneinheTs nan abo h< grouped (ngethcr and proo^g^ rhmugh an fch ntiewl set of as i»‘ ftiikitary bocn camp. Funi iariMr tinw M'b«bilr in which newcomers make the transicuin from <jutodertK» indderran k' trinl or variable, ^fiied xhcdule establishes standardized stages of rraftsiuoo, *uch« I thtise UMxl m nitadonal training {tnigranK. It akM> includes pnibationar) periods «uch as the^x^egf “reowre or one" procedure eu assvitani professors in univerSibo. Variabie dungs out schedules give no advanced nonce ot thvif irjftsinon limeiflhk FIH* cajinple, this dtxnlies the typi* i/tWTintre i s. ]nTd«mnre «>dalizacion rhdt the luu comer’« qualities calquail6cahon«> proraotion sysecm. where one is not advanced tor n» tht stage until he orqualiries she i* *n?4dv.“ are the necessan* ingredtencs jobnest success, so those aixJ ScWrf/iT Serial sodaJization is characterized by the use of role rnmicL who qualiticauoiw arcuair aad C3on finned a nJ supporteil. DKesHnire snciab^flotin rries tn ynp »u'ay evrtiin encourage die rK'wtviiwr. Apprenticeship and mentoring programs art exaiiipk^. In random characiensiics of the iz;ition. n4e ctnxluls are JebberauK uiibtiehl. 11 ic oe* empkwer is left on his Of her own n» reeniit Fraternity and sororicr ’pledges' go througfa divestiture sixializanon lu shape them hrve into th« Sexra; Baed on iV» Maaflea “People Processwg; Straae^ o< OrgpnuaUondi proper role. SoodiQsOoflrOi^an^eiiM <3>iant% Swnner 1978. pp td*d6. Md LH. Sd«rn. “Orsrustional Cultuie/ X/ncrfcan FeMuaqr 1990. p. !!€ (

vt. fnfiimak

organizations able

can

to

metamorphosis?

process

are and

work

group,

accepted they

tern—not

the only

practices be

say

that

new

They

they

have

peers

as

asks,

used

to

OWTI

Finally, measure

constitutes have

a a

internalized

the

and and

complete

they

know appraise

fob

well

done.

on

be

They

Exhibit new

with

are

the

their

members

fee!

self-confident

understand

and

informally that is

showed,

employees’

orpni*

and

They

what

desir-

sociaJizaUOD

\'ew

evaluated,

16-2

a

organization

Tliey

know

is

entn

norms.

procedures,

will

the

the

the

successfully.

work

j\s

of

individuals.

they

what

comfortable

those

rules,

their

impact

norms

job

the how

and

positive

valued

But

and

become

accept

the

but

metamorphosis.

metamorphosis have

trusted

their

desired

members

understand

to

well.

should

die

competence

as

what

phosis

their

about

can

when

jolh

and

by

have

and

their

bring

We

complete

/.anon

will

uw

is.

the

s>v

accepted

what

e.xpecied

criteria of

successful

productivity

diM

them

metanKrand

cheif

comnutment to the organization and reduce their pro|)cnsiiy to leave.

Summary: I low Cultures Form Eadubit T

he

16-4 original

influcneot Ae

general

to

be

the

stunmarizes culture criteria

climate

socialized

employees*

values

of

how’

is

an

derived

organization^

from

rhe

used

in

hiring.

what

is

acceptable

w

ill

depend

to

those

of

on the

The

the

founder's actions

Uhavior degree

organization

agemimt s preference for socialization methods.

culture

of in

eswblished

philosophy.

of and

is

the w

current

hat

success the

Tills,

is

in

t<^p

not.

achieved

selecihin

and

sustained.

turn,

sirnngh’

management

How in

pnicess

set

employees

art

matching

oe*

and

top

maB*

OMpterlB

HOW EMPLOYEES LEARN CULTVRE

J-

Culnifc is transmitted to employees in a nomber of fonns

ries. rituals, material symbols, and language.

'

portnt beingmn-

Stories D«rijj the when 1 lenry i-oid H was chairman of the Ford Motor Co,, one would have been h,ird-pre«ed to find a manager who hadn’t heani rhe storv about Mr Fordes executives, when they got too arrogant, that -Its name that’s.«the biijlding. I he message was ckai: Henn- Ford K ran the cumpany. Nike has a number of senior executives who spend much of their time serving as corporate about.'”

ston

tellcrs.

VXTien

they

Bouerman went ate

a

better

hires

hear

tell

the

the

stories

story

to Ixjb workshop

running

talcs

professional

And

ol

shoe, Oregon

sport

and

of

and

they’re

are

mcani

co-foundcr

poured

.star

attain

tell

how

talking

running

h)

they

rubber

about Steve

lo

(and

omvey

Oregon

what

track

into his wife’s waffle

Nikes

spirit

of

Prefontaine’s

better-performing

in

eijuipnient,

to

they

is

coach)

Bill

iron ro

cre-

novation.

battles

Nike

When

new

make

running

learn

of

a

Nikc^

Cfniunitnicnr to helping athletes. Nordstrom

employees

are

fond

of

the

following

.story.

It

cninpain s policy toward customer returns: WTien this .specialty’

.sinmgly

conveys

the

retail chain was in its

uifency, a (.njstomer came in and wanted to return a set ot automobile tires. ITie salesclerk was not sure how to handle the problem. As the customer and salesclerk sj)oke, Mr.

Nordstrom

ceded,

asking

instructed «>mer Mr. *e

walked the

the

had

Xonlsmim. need

to

do

queso.ms-asked

customer

clerk

received we to

by

to

how

lake

his

make

sell the

policy.”


the

refund

don't

return

and

and

tiresl”

he

tires

the had

hack

left,

the

conversation.

pid and

fejr

provide

perplexed

“I

know.”

replied

cuMomer

happy.

I

Nordstrom

then

die

mean picked

tires. a

clerk

He

immediately Mr.

full

looked

ar

boss.

“Inn

it

when

1

up

rhe

^end in the auto parts business to see bow iimeh he could get St.wies such as these circulate through many organizanons.

N’ordscroni

rash

the

inter-

refund.

After

boss.

“But,

die wc

say

we

wlcphotic

then

do

whatever

ave and

a

called zsm-

raus-to-

a narrattve of events about the organiMriuu’s founders, ni c re'Jcti.jns m ^•bes sutxesscs, reductions in the workforce, reloc-anoa o emp raisukK. and organizational coping. These stories anchor the presen “*1 pKMKle ctplajutiuns and legitimacy b»r current pracotes.

no

.^si

(V 'rhe Organization System Rimals Rituals nf

are

the

repetitive

ureaniatinn.

^iquences

what

whicfi

are

expendable.

quest

for

permanenl

goals

of

are

University

nuivicks most

chat

express

intporumt.

faculn'

which

nicmhers

employment-tenure.

reinforce people

undergo

TyTi«ll»

the

a

the

^re

value,

nnportar^t,

lengthy

tacuky

key

nniai

n.eniber

n

and

in

their

on

proba-

don for .six years. x4t the end of that period, the members colleagues must make one of nvo

dioiecs;

WTi.ic

does

extend

a

tenured

cake

to

obvain

it

mance,

.service

.iatisfjes

the

to

the

appointment tenure?

deparnnent

requircinenrs

for

or

Tc

and

issue

usually

university,

tenure

in

one-ye.ar

re(|uircs

and

one

a

satisfaetoiy

scholarly

dcpamneni

terminal teaching

actmty.

al

one

contract,

But,

perfor-

of

course,

university

may

be

appraised as inadequate in another The key is that die lemire decision, in essence, ask^ diose whoflre tenured to susess whether die candidate hxs demo ns crated, in six years that

he

have

proved

ulty

niernbers

is

a

caji

he

of

are

Ls

The

across

iu'^iructor

activities

member

spends

assess

by

parsed to

some

often,

cases,

of

hours

each

but

neglects

for

tenure.

Wist

to

the

norms

set

on

in

die

piobationary

fac-

action decision

tenured

feculty

week

prepar-

Ills

has

by

of

the

the

will

this

however,

adapt

early

hundreds

areas

students

over

properly

the

dozens

evalna.tinns

failed

in

year,

In

More

well

vocialirxd

F.very

tenure.

f«*iard. doing

who

maybe

has

will

the

been

tenure.

denied

not

Outstanding

have

granted arc

member’s

instrucror

who

l.icing

unkmities

faculty

publication

faculty

of

and

achieves

the

Colkiigwes

performance

the

and

that

isnire

In. worthy

imporcanc.

and

simply,

poor to

class

leseaich

fits

at€ollege::i

traced

for

The

she

themselves

result

believe ing

or

the

or

her

hapiwned, department.

period

what

atti-

tudes and behaviors his or her colleagues w'ant and will then proceed to give them what they

want.

/Kiid,

of

course,

by

demanding

certain

attitudes

and

behaidors,

the

tenured

faculty will have made significant strides toward standardizing tenure candidates, One

of

the

corporate

best-known

rituals

is

Mary

Kay

meeting. Looking like a cross between a circus and a Mis.s

Cosmetics’

annual

America pageant,

award

the racct-

ing takes place over a couple of days in a large auditorium, on a stage in ft out of a large,

cheering

clothes. pins,

Saleswomen

fur

“show'”

stoles, acts

addirioB, mism, and

the

to

i.s

a

II

with

pariicipnms an

by

array

on

publicly

Mary

her

overcome

personal

success.

Tt

of

recognizing

reinforces

to

dressed

conveys

and

that

through

hard

Laiupreia

are

cw'o

of

Seattle’s

they're

less

rhan

10

blocks

in

her

achieving

personal

hardships, and

and

sales

sales

to

found

diamond Ths

performance.

her

that

evening

quotas.

dcrentiinauon

salespeople

work

glamorous

gifts—gold

outstanding

Kay's tc

in

flashy

success

aspect

material

important

the

acj*—based

motivator

enabled

all

rewarded

(ladi

ritual

achieve

with

arc

pink

as

w’hich

quota

audience,

and

own

reaching

encouragement

opti-

company

theii

they

In

too

sales can

achieve success.

Material Symbols Fullers But,

and

although

ferenr

feel.

decor.

T

casual

and

he

Fullers staff low-key

is is

formal

to

the

formaUy attired, It

has

a

stylish

most apart,

point serious, but

of

highly the

two

being

focused,

minimalist

rated

and

restaurants

“stuffy.” and

decor,

expensive

stiff. ITie

convey

It

has

In

contrast,

staff’s

a

restaurants’ a

very

dif"

n)useuni-!e'’®l Lampreia is

casual

dress

and

and

ser-

Style are consistent with rhe decor. Both

Fullers

and

Lampreia

consistently

receive

honors

for

their

vice; require rcservanixis days, and stxnetimes weeks, ahead of rime; and cost at Ic*

fixxl

for dinner for two. Y« the resiaurwits bav,; rwo .i.fr dtiDfP s«'-^ =*=* smplovees- attipe o,nvev messages to new empluyfPS. Ar Fullers . 3, and consenative. I he message at La^JVX „j4xed and open. Messastes ran also he conveyed by material st^hob besu«vcd n,

'u ” reflected in th«e material symbols "ti’cr hand, is that we're

Some corporauons provtde their top executives w.th chauffeur .1^ i ««cunv«. unlimited use ol the corporate )t t. Executives at otlier Am, '"""USIIIM and traiisixjrtation paid for fo- the company, but the car is a Chevrole7(tiT ’

“'x*’

the plane sear is m die economy section of a commercial airlint Other fomishifo^. ries.

and

5„nb..b top

e.xaniples

ol

c.tectitive

fterts,

the

material

presence

ntnvey

lo

the

..

and

who

the

include

cxisiuKe

reserved

employees

management,

sjmbols

of

parking i.

kinds

the

of

employee

spaces

unpomnt, of

size

behavior

lounges

for

tire

certaiu

degree

(for

olfires.

dw

or

cl-anee

onsite

emplo«e>.

of

example,

dSTdfo

These

eg-alitananism nsk-iaking,

conservative

Language organi/anons

member

of

a

and

units

culture

or

within

organ

subculture.

iz^itiuns

By

use

learning

language

this

as

a

language,

way

to

identify

meiiibeniane^ittorheiT

acceptance of the culture and, in so doing, help to jjreserve it. ‘I'be following are examples of terminology used by employees at Knight-Ridder Info nil all on, a (.alifornia-hascd data redistributor: /rrrrrrwj assigned and

each

rrimow/?/

Librarians The)’

arc

sprinkle

for

Research

and

OPAC

mu'll

find

(Boeing hve

indi\ndual

record

in

a data

data

ftpir/aur

(searching

a

a

source

lerminology^

rich

their

conversations

Libraries),

(tot*

online

appUtarion);

OCbC

online

yourself

of

patron learning

center

accessing a

data); MAIDS

bast

lil^crally

(a

for

in

names

or

co

Ohio If

that you’re

vocabulary

sei

of

key

terms

people

acronyms

catalog).

CATlA

KM-7C{a

foreign

with

unique

(manufectiiring

(a nunibcr

base);

of

kcy-words-in-contcxt);

outside

and

sonic

their

such

as

does

c<xi|icrative

a

nw

AKL

acronyms,

inscalkLon

order).

profession.

(^XshKxiauon

employee

(computer-graphics-aided, assembly

in

cataloging), at

Boeing,

including

BOLD

chrec-dimensioual data

system);

POF

(purchased outside production); and SLO (sciTice-level objectives). Organizations, over dme, often develop unique terms to esen offices, key personnel, soppl.ers, customers, or pmduers rh.t ere less. New employees .re frequentlt overwheltned with .enrnyms “"'i



.her six monX Jn the job, have become fttlly p.r. “* latcd, this leniunolum acts as a common denominator that unites

cultur

or ^ulKuhiire.

MANAGING CLLTURAL CHANCE an organization’s culture is made up ^■uli to change. An organii'Jtfon^ culture devc ops ‘^Pl> held values to w'hich employees are stron^y ‘ ■“•aber uf f,Kce. condnuaUy operating to matn ain P suteiiK-nts alH.ut the organiMUOns mission

maiX

desineTfo.

authoritarian, piiriicipativc, individualistic, social) thatare appropriate.

Many

of

^^a^'^and is rootci in addinon. ibc« -j hese >nclude the design of

phwHal sMt-w and buildings, the doHWoam leadership style, historical sdecrio. fix past proHuxioft prarrices. entrenched rituals, popular stones about ke>- |)ea,rit foniial struvture. ents.Although the orranizau.xi’s past perhntnance evahiatton untenxFc» changing an organization^i culture is difficnik u isn’t impossible. and the urganixaaQ|A cultural change to tw cffccuve, it helps if certain coodidon< are prevalent. The evidence suggests ml rural change is most likely to take when most or all of the followuig tour conditions exist; A dranhttk 4T7<w fWTr or o’ created. Fhis is the shock that luulennincs the stact^ qiKi and calls into qiiesrion the relevance of the current culture. Examples of these cnscs tnitfht l>c a surpnsing finaniial setback, the li>e» of a niaiw customer, or a dr> fnahc technological breakthrough bv a competitor, li is not unheard of foi some necudves ro purpnseh create a crisis in order co simulate cultural change. 7«n/oi




hiidmhip.

New

top

leadership,

which

can

provide

an

alternative

set

of ke}'values, is usually needed to make cultural change work. I hey are more likely u> be

pcrceiv

include

the

ed

as

capable

organizaann’s

management

posiiioas.

of

responding

chid

executive

Bringing

in

a

to but

neu'

the

crisis.

also

CEO

This

might from

leadership would

need

to

outride

encompass

the

orgajuzjdon

defirriiek all

senior

is

likely

to increase iJie chances that now cultural v alues will be introduced. An outside CEO, ill

convast

to

promoting

someone

from

within

die

urganirjtinn,

also

conveys

a

mes>

sage to emplovcc?! that change is in the wind. Young und sfitt/U t/rganizanon. Cultural change is more likeh* to take if the organi* ration is bodi young and small. Cultures in voungcr And ifs easier for IS

small-

ITiis.

organizations are less entrenched.

management to communicate ir^ new* values when the <^gaaizaaoD

incidentally,

helps

explain

the

difliculty

that

multibill

ion-dollar

corpo

rations ofren experience when crying to change their culture. Ifijji culture.

1 he more widely held a culrure is and the higher

the agreement

among members on its values, the more difficult it w ill hr to change. Conversely, weak cultures are more arueiiable to change than strong ones. Even immediate

when or

the

dramatic

above shifts

arc

conditions iu

their

lavorable,

organizations

managers culture.

slxuddn’t

Cultural

ImA

change

for h

a

lengthy process- which should be measured in vears rather than months.

CREATING AN ETHICAL ORGANIZATIONAL CULTURE TTie content and strength of a cnlnire influences an oi^anization^s ethical climate and the ethical behavior of its members?^ An organizational culture inu^t likely to shape high ethical standanh is one thati high in risk tolerance, low-to-moderaic in aggressiveness, and focuses on means well as outcomes, .Managers in such a mlnire arc suj^iorred fw caking risks and being innovative, are discouraged from engaging iu uubndled compciititin, and will pay attention to goals arc achieved as well as :rhat goals are achieved. A

strrmg

0rganizati0n.1l

culture

will

exerr

more

influence

on

emplovees

than

weak fHie- h the culture is strong and supports higli ethical standards, it should have a very

powerful

example, romers,

has

and a

positive

strung

employees,

the

influence

culture

that

conununiryv

on has and

employee long

behaiior.

stressed

shareholders,

Johnson

corporate in

chai

Johnsctfi,

ohliganons

order.

TykooJ (a J&J pnxluct) was found on store shelves, einpkivees at J&J acruw the

&

WTien

10

Ibr cuS'

pcistawd

jriitftion of tHe fd lowing pratiiccs: culture? We suggest a corner a ni^del. Employees will look

OrgnfZHkHI^ CBteiTC Vniied benchmark States independently for defining appropriate pulled the pnKl„„ Izehavior from .k « as taking the ethical high road, it provides a nmiov^ ’'’’■'"■-management is seen even issued a statement a.nccming the tamperSrun• N management ethical Ethical amhuniir, *** employees, tiduahConmninicate what was morally nghi; they expectations. knew what^fu iniBVVTiJt candi.seminutf^g managementan do..rganiX7±":j to creau a ic . ” to do. ating and T *■’- -P'-’Xl

Sow " ' Prov^ ah,cal

Sex up .seminars, workshops, and similar ethical trainmg

programs. I se he« iram.ng sessions to reinforce the organization’s standarik of conduct, to clarify what practices are and arc not permissible; and to address possible ediical dilemmas. Visihly reward ethical acts and punish unethical ones. Performance appraisals of managers

should

measured

against

include the

a

point-byiHiint

organization’s

evaluation

code

of

of

ethics.

how

his

or

Ajipraisals

her

must

decisions

include

the

means taken to achieve goals as well as the ends themselves. People who act ethically

should

he

visibly

rewarded

for

their

behavior.

Just

as

importantly,

unethi-

cal acts sliould be conspicuouslv punished. Provide nisms

proactive so

behavior

that without

mechanismi. employees fear

of

The

can

organizatiem

discuss

reprimand.

needs

ethical

This

to

provide

dilemmas

might

and

include

formal

mecha-

repon

creation

unethical of

ethical

counselors, ombudsmen, or ethical officers.

SPIRITUALITY AND ORGANIZATIONAL CULTURE WTiat do Southwest Airlines, Ben & Assotiaxes,

anti

'n»m’s

of

Maine

Homemade, Hewlett'Packard, Wctheril! have

in

common?

They’re

among

a

growing

number

of organizations that have embraced workplace spirituality.

V\Tiat Is Spirituality? “

^Vorkphec spirituahcv is noT altout organized religious practices. It s not about theology.

Workplace

spirituality

recognizes

that

people

have

an

inner

»!.» „d„„Xhtd by meanngful •>’»■ -’kes place » U.e "Iv ’- (>rg.„,J, promote e spirint.l culture tecogn.ee that ■ m,„d »d . spirit, seel to find rae.ning

‘ 1 X*

,nd

purpose

tn

the.r

wort,

b. .nd

des,re

uiih other human beings and l>e part of a community.

^'I*y Spirituality Now? ^
, .

P

>

myth of ranonalsin^hrly. concern But just a.

44

1

*•

Mt IV TW Or^uucian SysMa we've- now cxin.c tn r«]iu that dw Study of etnoBOM imp^ ow undenoB*^ oryanizatii.iul behavior, an □wut cness of siHittuality CMi help you to better undenttj^ 1 •!

crnplovw lichantar in (he twenty-fim century. Of course. eiuplo)-ees have always had an iiuier htc. bo why has the search meaning amJ purpose fulness in worfc surtiiCTd now? There are a number of rcaeo^ Ue xurcrunze them i/i Exhibit 16-5.

Characteristic of a Spiritual Organization The

con«pi

such

AS

we

cerned

ethics,

spiritual

full

that

workplace

valuts,

instance, their

of

uindvation.

organizjinons

potential.

This

discussed

with

^irinialin-

in

spiritualit)

to

more

on

out

and

work/life

concerned

aiialogutu

relation are

leadership,

arc

is

draws

with

tv

likely

ti»

s

.As

people

ol

pmblems

topics see.

and

fcr

reach

self-actualixadon

oTgani7,nnons

addres.s

of

j’ou’U

develop

description

Simibriy,

directly

discussions

balance.

helping

Maslow

jnotn*an(>n.

previous

that

are

con-

created

by

work/

life u>nflicts. W

hat

.Mchough

dirterentiates

research

on

spiritual

this

i|nestion

orgaiuxalions is

only

from

preliminary,

their our

nonspintualcouncerparai

review

identified

five

cul-

tural charactenscics that tend to be evident in spiritual organizations.^*^ Strung

Sense

meaningful of

the

ing

the

Ben

&

its

of

Purpose

purpose.

MTiile

orginizadon. low

Jerry’s

producing

household

i

and

profits

Southw

cst-cost

Spiritual est

airlares,

has

selling

ice

that

are

be

Aidines,

lomemade

pnKlucts

nwy

on-dme

of

organizations

made

instance,

ice,

closely cream.

im^Mirtant.

for

sen

build

and

their

they’re is

cultures

not

strongly

the

pleasant

exi^erience

inteniieshed

.socially

responsible

from

of

natural

.Maine

stri^-es

ingredients

primary

coinuwcted

a

Tom’s

around

to

sell

and

are

values

to

for

a

prorid-

cuscomen.

beharior

into

personal

care

envinmmentally

friendiv. *

Focus and which ple,

on

value

of

Indiridual people.

employees they

also

can tn’

to

The)*

Deveiopment aren’t

continually provide

just leam

Spiritual

providing and

einplojiuent

organizations

jobs.

grow. securin.

Thes*

seek

Kccugnizing Hew

ret\>gTuze

the

to

c^tures

the

lea-Eackani.

create

importance fiir

wunh in

of

peo-

insmncc.

goes

to extremes to in’ to minimize die cfteci of economic downturns on its srall. l^c

EXHIBIT 16—5 Reasons for the Growing Interest in Spirituaihy

--------------------------------------------------------------------------- > A» J MAintcrholansT to the pressures ami «rrvM of t turbuleni puce <»f hit. (Utmonportry lilest\'lp«—sinjrie-parcftt famines. gecHtrafthw ntobilin*. the tempuran* nature c£ h»hR» nca u:chnoli>gte5 that errate distaiKY lircuvm —undtfrwurr (he lat'i of onninuniiy many people (eel and increase* ihe need fin »m«»lvfrrn:w and c^mncvtion. ABmp Uiln -hmtnKni. reaching mKMih*. are looking for M«neihing in thnr lift?. F(»nnaU/ed rehgiiHi hasbn t wciricvd hn* many pc;o|ile ami ihey vundnuc to tnoi fix Mdton m replatT hek u1 kijth and tn fill a gro« mg (vding of empnnra. Job drrtuixk tu>'e ma«lc the wurkpiaev di Hinn ant in many (Hxiples livea y«i they coMWtte » qur»t)on the meaning of worit. IIK* desire tn integrate pcfxonal life values whh unv' prulewiiMta] life, in Dmes of eeonueuc prosperity, more (lenpk ha*« the loinni* tn engage KI a warch n> tem*h their hall putemiaL g

dnwncums throuc^h i workweeks (sh^i^cd by ail); and Intiger-tenn dcStZ?’?'"'^ 3nd buyouts « UiroQph early rttirements -Pfusl And Openness Spinnial organizations art ch honesty, and openness. Managers aren’t afraid to adni.t XTt

trust,

A

ertrentely upfront with their employees, customers and s..^ r ’ W-’ctherill .Associates, a highly soccessfiji auto parts distnlnih^ lies here. ..nd cve.yone knows it. We are specific anX 5uirahilinof the product ^le to derecr any pn.blem""' rmolo'*^

EmpoM^rnient

.mnbined

with

ageme-n

empowering

,p.nt«nlh

based

employee*

and

dous

take

li.ey

As

a

customer

whatever

case

in

service

action

they

most

point.

Southwest

representathes, deem

to

and

necessary

tu

make Airline

i

learning^and ManageTs^n

amhoritv

to

imhviduJ

thoughfftii

and

rnnscien

emplovxes-including

baggage

meet

tn

erxi".

decisions.

deleganng

employees

we

employee

work-related

comfortable their

in

promote

make

are

trust

needs even if ’«“•«' nught n.n be climarp

to

to

organizations

customers' ’

hich-triut

de.sire

employees

teams.

our

I’he

rhe

decisions.

attendants, to

for

** prewdent of

handleiv-are

customer

needs

flieht

encOTra^d

or

help

fellow

workers, even if it means breaking company policies.

Toleration

of

spiritually

based

people

to

reprimand.

be

Employee

Expression

organizations

is

themselves—to

Employees

at

lliat

express

Southwest

The they

their Air,

final don’t

moods for

characrerisne

stifle and

employee ieelings

instance,

arc

that

diflerentiates

emotions.

without

They

guilt

encouraged

tn

or

allow

fear

express

of their

sense of humor on the job. to act .spontaneously, and to make their work fan.

Criticisms of Spirituality Cricics of the spiritual iiy riiovej^ieiil in organizations have focused or ru’n issues, first the quesiioii of kgriitnacy. Sped Ilea I ly, do org’anizations have the right TO imptwe spiritual values on their employees? Second is the question oF economics. Are spirituality and profits compatible?

icy

On

the

to

make

especially fhi'i

first

some

business

criricism

question,

is

there

employees firms,

have

undoubtedly

is

clciirly

uneasy. no

valid

die

Critics

business when

potential might imposing

spiniualiry

for

an

argue

that

spiritual

is

emphasis

defined

secular

values as

on

on

sqnri^al-

insrirodons, employees,

bringing

re

and God into the workplace? • However, the criticism seems less ‘iringing

igwn e

limited to helping employees find meaning in their work lives. 5 1‘Sted in E.^hibit 16-5 auly characterize a gniwing segmem of the ’^ybe the rime is right for organizJtions to help employees fmd meaning an p rp in their work and to use the work-place as a source of community The issue of whether spiriroality and profirs are tainly

relevant

for

managers

and

investors

although limin

busincs-s.

,

research

study

by

a

'tfd, indicates tJiat the two objectives may be vci y comp ■ "ttKir «,n«iliing firm found that companies thai unproved pi f>ductivity and significantly reduce m that organizations that pn.vide their dnelopineni outjtcrforined those that dulnt.

,s Aocher study fi,r spiris,u!|i« also report chat

‘ .1

tart IV

The Orpnixatioo System ipirituafity in oreini^aooiw wa* positively reUwd to c^dvi^ cmpl.,yM team perfonnance, and orgiuiizational commitmein. And if you re kxiking for ,

'

single case TO make the arg:umenr for spirituality, H’S hard to beat Southwest Ait. i ScutiiwtTii viiiployces have one of the loM-est turnover rates in the airline industry/, consistently has the lowest labor costs per miles flown of any major airline: it regu, lady outpaces its eompeutoi^ for achieving on-lime arnvaU and feucst eutttwncr complaints -ind it has proven itself to be the most consistently profitable airline h the United States.^*

ORGANIZATIONAL CULTURE yjiRSUS NATIONAL CULTURE In places throughout this book we've argueil that national tliHcrenccs^chat is, national culture—must be taken into account if accurate predictions arc to lx? made about organir.iuonal behavior in different councnes. But does national culture override an organuadonk culture? Is an IBM facilicv^ in Germany, for CKample, more likclv to reflecx German edmicity nr IBM’s corporate culture? The than

research

does

Munich.

indicates

their

national

organizadun’s

tlicrefi>re,

Organizational

dial

will

culture

be

culture?-

influenced

ducb

culture

have

a

hxs

German

more

great

by

a

greater

employees

(icnnan

influence

on

impact

at

culture

an

behavior

to

reflect

etnplny'ees

IBM

than

the

on

by of

facility

IBM’s

people

in

culture. at

trork,

but national culture has even more. The goes w

on

be

at

the

less

hiring

an

expect, to

preceding

hiring

stage.

concerned Italian

and

with

who

dterefore,

find

conclusiun

hire

A

the

job

to

British

be mu

qualified Id

coqvoradon.

lialian"

for

the

“typical

with

the

corporation’s

employee

appliouits

selection

who

arc

way

process

a

die

national

hiring

fils

chat

has

good

fit

its of

will

lor

Italian doing

be

with

self-sclecrion example,

used

their

is

ojxradons things.

likely

than

We

by

dtai in

should

rnuldnationals

organizuiions

duriiiiujit

culture, even if such applicants arc somewhat atypical for members of their country.

ORGANIZATIONAL CULTURE AND THE PARADOX OF DIVERSITY We

briefly

employees

mention who,

here

because

a

of

contemporary

race,

gender,

challenge

ethnic,

or

for

other

maiiagcnt.

Socializing

differences,

arc

not

new

like

the

raajurity of the orgajiizarinn’s members crearei whai wc call z/ir {yrradax fff Alanageriienr Otherwise, management

wants

these

new'

employees

employees

wants

to

are

unlikely

openly

to

accept to

fit

acknowledge

the

in

or

and

organization’s lx*

accepted.

demonstrate

core But

support

cultural

at

the for

same the

values. dine, differ-

ences that these employees hnng to the workplace. Strong cultures put considerable pressure on employees to confirnn. They liiwt the range of values and stydes that arc acceptable. Obviously, this creates a ddcmnia* Organizations hire diverse individuals because of the altcmadvc strengths these pie bring to the workplace, yet tJiese diverse behaviors and strengths arc likely co diminish in strtmg cultures as people attempt to fit in. .Managernent

s

challenge

in

this

parad<»x

of

diversity

is

to

hsdanev

gods. Get em^oyees to accept rhe organ izadem’s dominant values and encourage d*

two

confliedng

Chapter T« OrgiaraadwMlCnlm^ c of diffcrcn™.- -loo m..ch to investiture rites is likely tn create 2■‘n-vng.hs ihur pcopk of diffvrent backgroun.U bring to the There seems to be little doubt that culture has a strong influence on ;^;ani^."'‘’'’efflpl«

behavior

But

what

can

management

do

to

design

a

culture

that

molds

pp,p)oyce5 ill the wAy iTiimagcnivni wants? When acai

of

There

an

influence.

There

few,

if

any,

or

her

arc

touched diese

orgamzation

by

bis

conditions

best

faeilitatt

organization culture ven'

is

become

ihc well

made

liciomv

may



little

[he

most

cultural crisis,

months.

turnover

can in

ol has

the

of

took

to

so

conditions,

time

cultural

“favorable

l>e

successfnllv organization’s

Not

However,

its

and

dominant

fonn,

and

particularly So. and

if a

change

handicap

have

impiemenied

that are

leadership,

to

be

the

under will

when

the

that

this

it it

bcaimes tenets

change

culture,

to

to

because

over

time,

management,

there

the

short

measured

increase an

to

given

ii.espcriallyin

conditions"

yxiung and small, and a doiiiiiianl culture that is weak.

a

directly

that

(iiven

established,

resistant

stnall.

is

charactcrisiki,

once

is

culture

ailtutc.

permanent

great

surprisingly,

goals.

changes

top

is.

and

organizations

them.

to

founder

a

to

to

do

organization

is

arc

the

a

organiration

create

stable

The the

too

The

has

to

organization

van

knows

opportunity

the

cultures

an

the

management

traditions.

Everyone

what

coiiiinitted

inanageiiietit

favorable

change

It

established,

esuhlishcd

relatively

Strong

inappropriate

or

vision

of

so

being

sulx.-ultiin;s

change.

becomes

weeks

no

csiabli.shed,

up

to

pist

achievement

entrenched.

employees

are

management

is

resistant

js

the

existence organization

run.

in

Under

years,

probability of

a

that

not that

dramatic is

both

w

•*

Organizational Change and Development After reading this chapter, you should be able to 1.

Oescribe forces that act as stimulants to change

2. Define p/annetf change 1 Summarize Lewin's tliree-step change model 4. 5. 6. 7. 8.

Explain sources of resistance to change

9.

Summarize sources of irvnvdtion

Describe techniques for overcoming resistance to change Explain the values underlying most organizational development (00} efforts Describe a teaming organ 'zafion klentrfy symptoms of work stress

1#. Define knowfeetge manaiement and explain its importance

'^his chapter is about organizanonal change. We descrilie ens-ironmcnwl fixoes A. that are requiring managers to implement comprehensive change programs. compare two views on change. We also consider why people iind organizations often rwist change and how this resistance can be overcome. Finally, we present the concept o organizational det el opmen t as a sA'stemwide approach to chance and introduce several conteinpf,rary issues in organizational change.

FORCES FOR CHANGE rcouir^orranTT9r^”'^'**i"’* acting M stSulanB^i chai^'‘

dynamic and changing environment th*

Ch^ter 17

Org&cuwkm&t Caangt Dentofmtmt

I V

gXHiBJT 17-1 Forces for Chang

F’nrce

BxaniDlrv .MGI€ eiiltural .Iivtrsii5 Inrrc^st in

of’’He Morkforre

TcchnilfojC’

Hster and cheaper computers ^c« nichilc coniiniinicatiiin devices

EcoTcniicsniM’ks

Clwnge.s in oil pnceai J fell of Oecliin- in rh© Viilut o| the GIOIMI compelirfirs Mergers and cnnsolidaliuns Cnnvth oF e-viimnipi'w Inrcrnet cHai rooms Piercings, and tanoos among wcni^rs Incieased urban living Black rule mtere-ii of SouthinAlrica

Comped b on

5e<'iaJ (fend:>

World polhir*;

I

Opening of markets in China The war on terrorism fbllcM’ing')/! l/Ol Throughout this book, we’ve discussed the changing insU3icc, Human more

almost

every’

resource diverse

organiiadon

policies

and

workforce.

is

practices

And

many

having have

of tbevorkfirce. For

to

to

adjust

change

companies

are

to

in

a

order

having

to

muluculcural to

attract

spend

cnvironiucin.

and

large

keep

this

amounts

of

money on training to upgrade reading, math, computer, and other skills of employees. As noted in Chapter 14. instance, are

cuinputers

being

are

increasingly

is changing jobs and organizations. For now

perceived

commonplace as

in

necessities

alnww by

every*

a

large

oqjanization; segment

of

cell

the

phones

popidatic^,

and process reengineerin? prop-arns are eliminating wasiehil and redundant jo ta We pretty

live

good

in

an

indication

^‘age of

of die

dlseontimitty/’ fonirv.

In

the

tomorrow

195<)«

was

and

esseiiiially

1960s, an

the

past

extended

was

trend

a

fine

bom yesterdav, T'hat’s no longer true. Beginning in the early ! uvemight quadrupling uf world oil prices, cfflOTBzir yiorii' have connniie lo '

_

changes on organizations. In lecent years, foi snsiance, oil pntes a^e eantly

increased;

new

dot-ram

businesses

have

been

create

.

turrje

tens

j

|j

j

of investors into overnight millionaires, and then crashed; and the Euro has 10 percent against other major world currencies.

are as likely to

,s changing. In today’s global

,XnT X"J. nL

come from across the ocean from acros^^ town. g

both tradiiionul

h necessary for established orgaiuzkitions to defon competitors

who

develop

new

*Kh innovative offerings. Succcsshil organizations f«ponse to the coinpetidon. Thej^H be fast pmduas rapidly and getong them to market quic y. J.on predvK. .Jiles. and an -e-ng snaam of new be flexible. They’ll require an equally flexible ana POn adapt to ramdiy and even radically changing ra

entreprenctinal firms products

and

sernteschange of developing new

’‘U oji short production products, in odier words,

in

%4

frtif TlwO»f»h«WBSjM«

nrndt don’t remain -Mtie. F«r in^ance, in cnntr«t «. ,u« JO y«„ •SWM/ m>* .harinff inforiiifliinn in Internet chat rmims; lecnagen ,-nX7n?ly ornamenting their iHxlic. with piercings and tanons and many LXXd (ienention Xvrs arc leaving the suburbs and moving U. the au«. w" have aretied strongly, thr..uplio..t this htK.k. lor the .mpurunce .rf ««ng nrcanizational iKhavi-r ((IB) m a global cs.ntexi. Business sch-.b have been preach, inga giobal ,Hirspcct,vc since the early I'^SOs, bft no nnc-mrt even the strnng«tp«^ ponents of glol«.lizaiion-c.mlil have imagmed how

u-o^ change m

.-ecent vean A few examples make the |v.int; the fall ol dm Berlin Wall, the tcunificatNNi

c/(Knmny,

IraqA

invxMfUi

of

Kuwait,

and

the

breakup

of

th
Soviet

Vnioii.

in

just the pasi decade, dianK^-> in world politics have increased business o^nKiTOiniuesm South Africa. (‘Inna, and both South and N<»rth Korea.

JklANAGlNC; PLANNED CHANGE A

group

of

housekeeping

owner: “Il’s ven*

hard rbr

.sjM»kesw.’onhin. rigid if

hours

you

‘’Each

don’t

don't

group's

tilrimamm

ny>st

of

work

set

employees

up and

us

has

MS

for

of

wh<»

work

fur

significant

family begin

as.

Were

going

(lexibk

work

hours.”

The

request.

’l*he

agreed

to

irs

small

hotel

rigid H-to-S wtirk

to maintain to

a

and

personal

kxiking

owner

for

day

hours,”

the

said

their

responsibilities.

And

someplace

listened

next

confronted

else

dmughtfully

rhe

owner

dollars

to

towwk to

the

introduced

a

tlcxnmc plan for these employees. A the-art

major rolnjcies.

Sophisacated improve would and

automobile One

spent

chat

receive

area

would

coinpiiter-cuntroUed

the

company^

dramatically since

equipment,

nianufacrurcr

ability’

change

to

the

management executives

equipment find

jobs

were

be

|wople

a

equipment put

de

feci

in s.

working

considerable

developing

billion

new

correct

the

anticipated

the

would

and

uf

several

in

employee

program

to

help

was

place

install

state-of-

quality

control.

to

Since

the

die

quality

significantly

new

equipment

conrrol

resistance

to

|K'ople

lieawnc

area,

the

rew

familiar

with the equipment an dea! with any anxieties they might be feeling. Both of rhe previous eerned with making things

scenarios different.

are examples of change. I’hai is, both were tonHowever, only rhe second scenario described A

ff/i/rmeJ hotel—diey rencc.

.Many changes in organizalions are like the one that ixxnji rcd at the just happen. Sonic organizarious treat all change as an accidental

We’re

concerned

wixli

change

activides

that

are

proactive

and

otvur-

purposeful.

In

this chapter, wc addre^*^ change as an intent io naJ, goal-oriented activity' What to

are

improve

the

the

goals

ability’

uf

of

planned the

change*

organization

Essentially there tn

adapt

to

arc

rw'O.

changes

in

First,

it

seeks

its

environment.

its

environment.

Ses’ond, it scek*s to change employee behavior. If HTicn new

an

organization

competitors law's,

important

changes

take

place,

empower

employees,

is

co

iiuioduce sources the and

surv'ive, new of

must

products supply

organization introduce

it

go

needs

work

respond

co

or

sendees,

out

of

to

teams

in

govcmniciu

hii.siness,

adapt. are

changes or

similar

to

stimulate

Efforts

examples

agencies

of

planned

enact

environmental in»iovam)n,

change

activ-

ities directed at responding to changes in the cmironmcnt Since

an

organization’s

success

or

failure

is

esscndaHy

due

to

the

things

that

employ ees do or fail lo do, planned change also is concerned with changing the behavior f»f individuals and grou|» within the oi^aniz^tion. Later in this chapter, we renew

apter 17 Org,ni„hwal

i «*'i>Tn.etu

rtchniques that organizatiws tsin use to get pconle m kok they perf'in" inwrjctinn with others Uho in nrgaoizadoiis is responsible tor niAnaffiiitr^l..

'n die tmles

change agents. Change agents can Iw nianagers^or noniiiJna'S^''^^'

«

or outside consultants. For ,tia,or change y s’l'l hire the services of outs,de co. Jitants rfpro Because they are from the outside, these individuals eaj offer an o J . ““'stance,

«npl«yees of the

unas-ailablc to insiders. Outside consnltans, however are d.s^Sw uimally have an inadequate understanding of the organization’s hism^ operttingprcKcdures, and personnel. (hjvsi.le constilunr; ak. mav k nm.r to h« vnti, die re,KTvu.ssK>ns after the change is implemented. In contrast, intend staff.spec,ahsb cu managers, when aenng as change agents, .nay be more tlioughtfu! (and p(«sibly more cannons) because they have to live with die consequences of their actions.

C:HANGE

Tvvo VIEWS OF

Simile Sea

1

to

The a

organizauon

specific

port,

is

'fhe

like

large

shipk

ship

caprain

traveling

lias

mAde

across

this

the

exact

calm

nip

Mediterranean

hundivds

«f

times

Ixdbre with rbc same cre«-. Ever)' once in a while, however, a sxorm will appear, and the crew

has

tn

respond.

ment

changes—and,

1

he

having

captain

will

maneuvered

iihikc

through

the the

appropriate storm,

will

adjiismicnc—ihai rcnirn

to

calm

implewaters.

Impkmairing change in organizations shnnld therefore be seen a$ a response to a break in tJiC Status quo and needed only in occasional siruanons. Simile

2

The

organization

is

more

akin

to

a

4O’ftxit

raft

than

to

a

large

ship.

Rather

than sailing a cairn sea, this raft mu si traverse a raging river made up of an uninterrupted

flow

of

manned

by

before,

much

obsudcs, raft

10

people

ol

the

needs

permanent

the

exact

to

pull

white-w-ater

w’ho

trip

is

have in

destination to

shore,

To

worked

together,

the

is

never

the

of

rapids.

dark,

the

where

raft new

is

river not

crew

make

clear,

tilings none

dotted and

memho'S

have by

at

arc

worse,

the

Lravcled

unexpected

irregular added

raft

is

die

river

turns

and

frequencies

and

utlicrs

the

leave.

Change is a natural state and managing change is a continual process. These

wo

similes

present

verj-

different

approaches

to

understanding

and

responding to change. Let’s take a closer look at each one.

The "Calm Waters" Simile Until vro’ recently, the '‘calm waters^’ snnilc duininatcJ tJ.e thinking of agers and academics. It’s best illustrated in Kurt LewinV three-step esenp change process.- (See Exhibit 17-2.) .According “'’Attjfjjgthe status quo, changing to a new state, and

,

J s

nr The OtpaiMMM* 9>*m ► TTic s»tw« quo cm he considered an eqidlibrtom state. Mtwing front nnfrStg. uh^h cm. he achieved m one of way.: * 1. n.e.AiwiK/ora/.whichd-n.-vrbehaviorawjv from the sunn quo, can Se increasna, J. I’hc two approaches can be 2. Theunfreezing rwwmwgyiwrt, whichdCTomplishctl. hinder .n..vc(neni the itself exisdnp em b, Once hxs been the fr-«J change rancquilibnum, be implemented. clccreaACfl.

However,

the

mere

uitroduction

of

change

does

not

ensure

rhat

it

will

lake

hold.Tl^

new situauun ihcrdare n«xnh to be rrfi-ozen it can be susuined over unic. Unless this last

step

is

emplo>Trs

attended

will

there

revert

to

»s

the

a

ven*

strong

previous

chance

equilihriuin

the

slate.

change The

will

k

oliiectivc

shondivcdaaj of

refreenng^

then, is nj stabilize rhe new situation l»y balancing the driving nnd rtsttainiiig fijrces, Note

how

I,twin’s

three-step prcxxss

treats change

as

a break in

the

organiza-

don\ e(|uilihrium stare. The sranis quo has been disturbed, and change is necessary to establish tively

a

calm

new

equilibrium

environment

state.

that

This

most

view

might

organizauons

have

faced

been

in

appropriate

the

1950s,

to

1960s,

ihe

rela-

and

varfy

1970s. But one can argue diat ''calm waters’* no longer describe the kind of sexs that mana gel's currently have to negoti^^te.

The **White-Water Kapids” Simile The

’’white-water

rapids”

simile

is

consisienr

with

the

disciiwicin

in

Chapter

B

irf

uncertain and dynamic environments. It is also consistent with the dynamics asscxriatcd with going from an industrial society u> a w'orld dominated by infornution and ideas, To get a feeling for wdiat rnanaging cha/igc might be like when you have to cootmually maneuver lowing

in

uiiintemiptcd

curriculum.

Courses

vary

rapids, in

consider

length.

attending

Unfoitunalcly,

a univcrsiiy that when

wu

sign

has up,

the

W-

yxjudon*!

knf>w how long a course will last. It might go for 2 weeks or ?0 weeks. Furthenuore, the insinictor cm end a course any time he or she w anps, with no ]>rior w arning If chat isn't had enough, the length uf the class changes each time it meets—sometimes ir lasts 20 mjiiuTcs, other times it runs for .1 hours—and drtenninauon oftidien die next ria’s niecting will cake place is set by the instructor diinng tliis claw. Oh m. there's one more thing. Ihcexamsaieall unannounced, so you have to be ready for a test at any tune. To respond

succeed

in

quickly

to

this

university’,

every

you'd

changing

have

condition.

tn

he

incrctlibly

Students

who

flexible were

and

able

to

overstructured.

rigiii. or slow on their feet wouldn’t .survive, A growing number of managers are coming to accept diat chetr jrJi is murii like what a student would face in such a irnh-ersity. Swhility' and prcdittaWlity done exist. Nor

are

disruptions

in

the

status

quo

only

occasional

and

temporary;

followed

by*

a

return to calm waiurs. Many of today’s managers never get out of the rapnls They’ face constant elungc. bordering on chaos. ‘Fhese innnagei's arc being forced to play a game tlicy VC never pJayal before, governed bv rules that are created as the guiiie piogrcjscs.

Putting the Two \^ews in Perspective Does rt cn* manager face a world of constant and chaotic change? No, but the set of managers who don’t is dwindling rapidly. Managers in businesses such

a.s

womens

higivfashion

dorhing

Ironu^ a w<»rid that kxiks like white-water rapids. I'hey used tu kxik with envy it

have

king

coft-

X

Chapter 17 Organiorionai t3,a..w «u n-

c«-n«rp.ro m md^r.« sud, „ ^.(bo(l renauranc, office equipment, publishin«r

nun«6,«„rt„.r nil ,, .•r

banking,

rba. nugbr have ix.en true 30 or 4<,, J

,.«lKtaWc emi-

Fov orgnntzanons nxby can near change as rhe ' J 7*^ 7^ peatefti! w 'TM. Even these few dp so ai great risk 'Ik. ‘^’^'bance in an nth<«-gafii/Jti..n ..r ii-, managers to be aimplacent VI.Kt

^^Wng «Jo bst

* '..r

•, t

,^rf«n IKtnonths. ArtrmsucbasPcop|cExJkss^;;Sr^^^^^^ ’ tj,e nKxiel “lieu IrHif jinn, then went l^nknipt a short ti™. I

'I

‘If-' ’in’i broke, don’t fix it" no longer applS t' “Jf ■' broke, you jus. haven’t kx,ke.l hard enough EU r!anp?a>

RBSISTANCE TO CHANGE *' One

of

oeW

the

mr^t

behavior

resistance there

is

-

is

that

p^itjvt.

It

weren’t

ch^rtic

well

dex

umenud

orgajiuadons provides

a

findings and

their

degree

of

sone

resistance,

organizational

randomness.

Resistance

to

Fur example, resistance

TO

change

from

studies

members

stabiJity

behavior

can

also

resist

and

a

change.

predictability

would lie

—^'Hij and oreanfra

_^x:.. Wft.. of individual

In

to

a

this

behanw.

take

on

characteristics

source

of

functional

If of

conflict

a reorganization plan or a change in a product line can sdm-

uljrtc a healthy debate over the merits of the idea and result in a berter decision. But ihcre is a definite ilown side to resisrance to change. Jr hinders adaptaiioji and progress. Resistance an

be

overt,

resistance

to

implicit,

when

it

emplovees

quickly

direatening

to

that

js

change

go

impliat

is

doesn’t

ininicdiate,

or

overt

immediare.

respond on

or

necessarily

and by

strike,

deferred.

deferred.

voicing

or

the

Implicit

surface Iris For

The

resistance

standarditxd

easiest

for

instance,

complaints,

like.

in

maoagcnicntto

a

change

engaging

greater efforts

in

diallengc are

wav-s.

is

a

is

deal

with

proposed

and

work

managing

subtle—loss

of

Resistance

slowdown, resistance

io\-alt)

to

the

organization, h^s of mod vac on to w<jrk. increased errors or mistakes, increased absenteeism

due

to

"sickness”—and

hence

difficult

to

recognize.

Shnilariy.

deferred

actions

cloud the (ink between the source of the resistance and the reaction to it. A change may produce what appears to he only a minimal reaction at die rime it is iiudated but surfaces wccU, iinpa. build

But up

mondw, it

or

becomes

and then

even ±e

vean

straw

later.

that

Ora

breaks

explode in some response

single the

change,

earners

in

back.

and

of

itself,

Reactions

that seems totally out

of

to

has

little

c^ge

can

prc^inion to

c

thange action it follows. The resistance, of course, has merely licen deferred and stockpiled. Wiat surfaces is a response to an aecumubrion of changes. l-ets look at the sources of resistance, tor analytical puqK?ses, we \e ^hem hy individual and organizational sources. In the real world, the smirces oft
Individual Resistance Individual «.urces of res.sance ro chanf.^ reside in bxsie hunun vharmensucs such five reasons why

« f*^veption5.

personalities,

and

needs.

The

like

people,

tollowi.ig

su.nwanres

•'•dividualh inay resist change. Kvery day, when you go to work and streets? Pn.bablv. If you’re n n-gubrh

most

you

hnd

smg

..

The Oiganieetion Syuem As hu.«un beings. -e’« crw«n-»

Ufe « cmnjes enou,^,; ,.4^

need » consider the hJI range of options for the hundreds of deacons we make esxr, day. To c<jpe vrith this complenn-. we all rely <^>'ah«s, or progranunji r«Doiiscs^"'hen we arc crinfronted with change, fhw tendency to respond m 0^ accusomied ua« becomes a source of resistance. So when > our .lepartmeni n a neu crffice’building across to«Ti, H means you re bkely to hav e to change ma,, habib- uakma up 10 minutes earlier, taking a new set of streets to work, finding a parking place, adjusting to the new office layout, develofung a new lunchtime uid w ua. Security Per’ple who haix a high need for scenritj- are likely to resist change because it threatens dieir feeling of safely. When Boeing annoonces it’s laying off JO.OOO people or Ford introduces new robooc equipment, many employees at firms may fear that their jobs are in jeoiardy. Economic Factors Another source of indiudual rcMsrana is concern dm changes al lower one s income. Changes in job tasks or catabli^ed work mutmes also can arooje economic fears if pwiple are coocemed they won't be able to perfewm the new r

',

nurrines co ihcir previous standards, especially when pay is closeb bed to producTh5ty. Fear

of

known.

the

And

Unknown

people

eca- Ff. for

general

subsnnire

don\

like

ambiguity*

the

unknown.

and

The

uncertainty

^ame

tor

applies

in

the

employ,

the incroduchon of a quality management pn>gram requires tta

production be*

in

Changes

workers

learn

staosdcal

unable to do so. 'Fhey'

process

may.

control

techniques,

some

may

fear

they’ll

therefore, de> elop a negative acdcude toward

quahn

management or behave dy*sfunctiana!K if required to use stausdcal techniques. Seleed^c their

Information

world

changing ktxp

it.

their

mation

through So

with

bosses

their

the

nuke

die

introduction

in

explaining

wc

lions.

arc

intact.

cluUenges

As

percep

individuals

pcrcepdoas

chat

faced

Processing

Once

guilty

They

of

of

hear

world

a

they

in

(Chapter

2,

have

created

this

selectively

what

theyve

quality

why

teamed

processing

they’

u

CTeated.

of

co

The

nunagemcni

knowjedge

ant

shape

world,

resist

hear

ignore is

they

infonnadon

in

They

prtxiucnon

may*

statisdes

individuals

ignore

wor^n

the

neccs-sary

«dcr

or

infor-

who

argumcnis the

in

are ibcir

potential

benefits rhe diangc uill pros ide them.

Organizational Resistance Organizadofls,

by

Aeir

very

nature,

arc

conservative.

Hey

acmxly

resist

change.

You

don t have to look for to see evidence of this phenomenon. Government agencies want to continue doing what they have been doing for years, whether the need for their sefchanges

or

history.

Changing

Fducadonal mne,

arc

essenoally ness

remains

nrms,

the

same.

church

institudoxis

which

rhemsdves

extremely

die

teaching

same

too,

appear

Organized

doctrine exist

requires to

open

resustanx

to

technologies

highly

religions

resistant

to

deeply

great minds

change.

today

arc

as

change.

persistence and

Mosr they Six

entrenched and

challenge school

were maiur

50

in

their

padentV’

tsuWished

doc-

systems

are

using

y

MOM

busi-

ago.

sources

of

organization^

resistance have been identified.^ Structural tor

Inertia

exampl^die

Organizations

sclcvoon

pnK*ess

have

buik-in

sy-stematically

mechanisms selects

certain

to

produce

people

petpie oui. Training and other siidalizadoft techniques reinforce specific rtde requtf*-

in

and

siabiliiycerw®

Chapter 17 Organutti ^<’pnwnt

gnJ skills. FormaliMtion provides job descrimi<.n . ^pbrtTCS r..

1

The

ndes, ami procedures fi,r

are hired iiny an ..rffatiiMtin,. ,rz.-k

^jpcil JirccU’d lo behave in ecrcaiii ways VVhen^n'*''**”'-^' ^th cha.>ec, this striK-fural inertia acR as a counterbalance ijmited F«'tuh ’'f Changes Organizations arc mad,.

,

''

You can’t change one without affecting the others Fr r " ,Hanges

the

^Vstn.crure ittd

to

matclu

changes

Group a

tc-cbnoJogical

m

Inertin

the

changes

if

An 11.

processes

change

subsystems

Even

constraint.

the

h.s

in

|0b

to

wart

union

by

simnltaneouslv .n^ig \ing the organiz^tnoilikelv to be acc^tedToTw

is

be

nullified by rhe er f^v'stcni. change their behavior,

to

mcn.ber,

suggested

without

technology

tend

individw.ls

mdmdna

subsys-

for

instance,

management,

but

may

it’union

larger groupnorn«

bewiling norms

to

dictate

any ujiibierrtl change made by managcmeni:, he's likely to resist to of

Expertise

5|>eciaiized

Changes

gn>ups.

rfidr

human

cfiis

adnunistrflcon—has

Cccaustf

resource

The

tliis

in

orgrimzational

recent

move as

activities—such been

our^ioiircing

resisted

i.'?

a

threat

by

training, by

die

threaten

vompanies

dex’elopmerr

many

to

may

human

to of

stills

expertise

outsource pay

resource

specialized

the

many

plaits,

and

departments.

held

by

people

of

benH’hy?

in

HR

departments. Threat

to

Established

making

authority

ization-

The

can

Power

Kektionshtps

threaten

introduction

long-cstablishcd

of

parucipaiivc

Any

redistribution

power

relationships

decision

making

or

ol

decis

ion-

rhe

or^n-

self-managed

work

within

tearos are examples of changes that often are seen as threats to the power ol supervisors and middle managers. iTireat

to

control

Esrabiished

sizable resources

Resource often

see

Allocations change

as

Groups a

threat.

in

the

They tend

organization to

be

that

content with

the wav things are. WiH die change, for distance, mean a reduction in their budgets or a

cut

in

their

staff

size?

Those

whu

most

benefit

from

the

current

a!location

of

resources are often threatened In’ changes that may affect future allcKUtions.

Overcoming Resistance to Chang V\Tule there are numerous forces that act to resist change, thange agents can take to lessen this resistance. The foUowng ne y ig of them. Communication

Resistance

can

be

reduced

throu^

^^unv^^that

the

snuX:

hdp them see the logic of a chunK^. of resistance in misinfonuation nrcleared p’>or a facts and any lies misunderstandings arc is inadequate conunu^ppniach M'ork? It does, provided that the source o res mutual trust '^canim and that inaiiagement-employec relations arc c ,iniikelv to succeed, ■nd credihilin'. U those conditions do not exist, the change « *‘»rtici|Utit>n People who panicipate in 'ttonglx commined to the final outcome t h.r individuals to reais: a change decision m *h.c >

«Ten‘t involved. And it's . which they paracipated.

may aceXt

tesistiny

®

patterns

some

s^^tem.

The Orgsftiation System

?3 befiire a change i» made, th.-se oppo^eH can be hnw^t int.. the decision proc«,.« the cxi>ert-=.e to make a meaningful contnbulion. their invoK,. nicm ran reduce resistance, vbmin romniiuncnt, and increase the quality „f o*,

decision. Provide

Support

resistance’

Change

^instance,

showing

offering

employee

Reward

Acteplance

of

nwsion

of

and

can

Change

and

Change

As

behavior

agents

offer

concern

counsci.ng

karning

behavior.

agents

a

and

o

empathy

therapy,

we

or

discovered

modification,

should,

range

by

in

provide

a

2

and

powerful

employees

to

listening,

skills

rraming.

S,

in

force

widi

redaa

active

new

Chapters are

efforts

prxuc.ng

providing

rewards

tlicrefore.

siippnmve

onr

dj».

in

shaping

attractive

tewmis

that are coniingcnr on an ejitancc of change. These rewards can range from praise and rccngninoTi »> jay incrcasc^i or pruni<»nons Create

a

LeamhigOi^ntzadon

incennonally this

a

five

designed

teaming

uith

with

each

that

evcQ'one

examples

odier.

of

agree

learning

less

capacity

to

continuously

.As

People

iirnkrstaiHl

can

is

the

ui^nizatinn?

basic characteristics.

Resistance

shown

in

Exliibit

put aside their

h
upon,

their and

in

organizations

work

would

organization adapt

17-3,

ok! ways

organization then

an

really

co

been

We

call

organizations karn

form

achieve

FedEx,

has

change.

thinking,

work^,

together

include

and

learning of

that

a

to be

plan

that

hord,

have open

or

visioii

vision.

Seine

General

Electric,

Motoroh. and Wai-Mart. What it

needs

can

co

improvement. vision.

aiake

explicit

do its

co

their

firms

commicmcnc

co

change,

becomes

pare

I

bis

coauninnenr

Second,

the

organization’s

boundaries

between

by

fattening

the

use

reshaped

management

of hj

become

basic

misukes.

,\nd

ferences

OUT

the

people .structure,

cross-function support values.

the

to

a

I

I’hat

open.

1

combining

Finally,

create

his

the

a

requires

be

This

openness,

people

who

cake

cliliutc

that

brings

encournging

strategy'and

and

to

can

departments, culture and

First,

cunrinuous

redesigned

organizadon’s

Risk-takmg,

rewarding

to

to

and

organizadons

interdependence.

learning.

needs

the

incTease or

organizations?

innovation,

needs

teams.

means

of

learning

structure

eliminating

continual

management into

and

make

reduce

be

and

achieved increasing

needs growth

chances paradoxes supporting

to

he

should

and

make

and

dif-

functional

conflict.

EXHIBIT 17-3 Characteristics of a Learning Organization There exists a shared which »r\TP>’onc agrees on Peripk discard dinr old ways of thinking SIHJ (be srainbrd r«r(iw»d
1. 2.

3,

«
«o

-

Chapter 17 Orgmiieckaal

V^NAGING CHANGE THRO15CH ORCANI^'^'I ‘<^ NAL DEVELOPMENT xJ mARajciog change wi^uld complete whhouv including organiitaJ Il^conctp^ * ntion^

Organiiaoonal dcrelcpment (017) is not an easily defined dnincluding organiuvneompas^ a aillecticn of phnned-changc humanistic-dcBwnnc vahiCs that seek lo 5 ri ttyt an easily defined vnint^ , ,1....:. ..^...'. ........... ” ' Ag. Tlie OB pAvad^gm values human and organ) za non a) ^onaS eliec»vcne.s and employ., w.ll-bemg, 1 i spirit t»f mquin*.' The change agent Tli. OB [wra.li^ values human and organizunonal growth. collab<.rative andsuch as power, es««/* ^.,,..1..-:. c^’Uahuration. Concepb ^Cipativr P1.KCSSCS, and a spint of inquiry. - The change agent msv l,e directive in riiv vonuol. conflict, ai\d w>etcion art held in rdaflvely b's however, ihcrc is a sm>ng emithasis on a.llahorarion, c; following briefly identifies ihe unflerlvi <’ esteem aJiMmgOD 1. ying values in mmt OD Individuak are pcaen.ed a. being responsible, ronseienbous .,„d caniig. They should be treated with dignity and rcspccr. 2. 7iW .>r,.! «,pp^. The effective and heaJ±y organization is characterized bv crust, authennem', openness, and a siipporuve cliinatc. 3.

.'^uatizathn.

Effcciire organizaiions deemphasizc hierarchical authority and

control. 4. Ccnfi

Problems

fMfutfoti.

shouldn't

be

twepi

under

the

rug.

They

should

be

openly

confronted. 5.

The more ±at people who will he afTected by- a change jrv involved m

Fjrtth'tfurCion.

the dccisjons surrounding that cliange, the more they wiU be conuuiiicd w iitiplemenu ng those dccuioos. VVhai change?

are

Ir

some

ihe

of

the

following

013

pages,

techniques

we

nr

present

fivx

loierventions

for

bringing

abour

intcn'cncons

that

change

agents

might con si tier using.

Sensitivity Training It

can

go

groups,

or

dirougfa open

by

a

variety’

i’-groups

unstructured environmem

IM’ocesses, <>rieiiicd. rather

which

(training group in

loosely

names—laboratory

groups)—but interaction.^

which

directed means

than

being

tuld.

*eir

ideas,

beliefs,

express

of

all

that Tlie and

a

refer

Members^

panic!(*ants by

training, to are

indmduals

attitudes

through

crriics lie

nt

die

she

reiects—any leadership rule. The

ohjcciives

of

of

in

sdenrist.

observing

not

encounter

changing

and

opportunin-

does

training,

together

themselves

l)ehavdoral

team

professional

method

brought

discuss

professional

a

sensirivitj’

a

The

group

participating

panieip»nis>

accept-

ability

is

-w

fact.

w

ovcru>

... j .,....,P«.PSS T-gnmps

are

to

provide

the

subjects

wi

uicreA.

to

empathize

,J• wih

c

oihcis,

imjirosc

greater -„n,vcd

conflict-

’^Venoc. increased tolerance of individual diflcrences. an p ^**»luti«)n sluIK. If individuals lack awareness of how others percen can effect more realistic self-percepnons. grea«r gro p

.

j^yght

K'f "f Others, and increased understanding of poup increased

and

inienivtive

of their own behasior and how others perceive them, greater

delude

free

their

and for

behavior

rhen the successful cohesi»vness, andT-a ' „ohesi»vness, and a

«wtirrion in d>‘sftmcttonal tnurpcrsonal conflicts. Furthermore, it can ideally raarft inteerotion

l>etween

the

have

declining

in

T-ffioup5 rcawn is

htui

probabb’

able

witii

ii

rhat

can

threaten

moved

th®^

provTS*

away

that

an

from

intnisive

Inditidual

and

the

organization.

In

practice,

}>o|«ilarity

o\-er

the

past

or

two.

nanire

the

as-ks

pjrticip;int>

employee’s

emphasizing

r»f

co

^clf-inmge.

individual

decade

howc^'

UTiy?

0^^

prtKcss. Many managers

arc

dischrse

themselves

Second,

Iveliiip

in

OD

and

forma

efforts

focused

lion

in

uncortifc^^

recent

more

on

anj

years

hav«

issues

related

to tinproving work processes .mil group performance. Survey One

Feedback

tool

ancte*

fijr

assessing

attitudes

tiieinber

options

in

organiratum

among

held

by

and

organize!

solving

non

these

a

I

memlwTS.

ditYercnces

idcndlnng

is

the

discreph

survey

fec^

Imck appnurh? Even’one importance

is

cinplovees

who

all

members

gest

the

of

in

nation

directly

the or

be

xsLs

between

to

him nr

and

her

for

to

in

manager

unit.

A

nt

any

given

practices;

is

members

what

perceptions

with

feedback,

questionnaire

determine

satisfaction

survey

Organization

their

decision-making

units;

participate

or

intersiewed

members

including

am

ftmify—the

organization

may

typically

topics,

organizational

reptjn

questions

uonnairc

an

usually

arc

of

those

completed asked

on

a

to

job,

bjsug.

The

ques*

broad

range

eftectivencss;

organization,

key

and

relevant

attitudes

communicanon

the

unit

maybe

issues

and

but

peers,

coordi-

and

their

immediate supervisor. The vidual’s

data

Iroin

specilic

These

data

issues

that

importance

this

“family'”

then may of

questionnaire and

to

l)ccome be

the

the

(Tearing

encouraging

are

tabulated

entire

organization

springboard

difficulties

dismssion

for

for people.

and

with

data

pertaining

and

distributed

identifying

pnibiems

Particular

ensuring

that

atrennon

to

to

indi-

employ^ecs.

and is

discussions

an

clarifying

given

focus

to

on

the

issues

and ideas and nor on attacking indinduals. Finally, bers

group

identifying

)K>s$iblc

tening?

Arc

or

assignments

job

result

in

new

the

discussion

the

survey

implications

ideas

group

in

being

be

the

generated?

impnwed?

agreeing

of

on

feediwek

questionnaires

Can

Answ^ers

approach

decision

to

commitments

like

various

result

findings.

making,

questions to

should

Arc

in

people

interpersonal

these,

actions

ir

that

mem-

b

will

lis-

relations,

hojied,

'till

remedy

the

problems that are identified.

Process Consultation No

organization

mance it

can

can

lie

be

operaie.s improved,

improved.

perfectly. but

The

they’re

purpose

Abnagers

ofren

sense

unable

iJentily

what

of

to

process

consultation

that

their

unit’s

can

be

improved

for

an

outside

is

ixrforand

hu*

consultant

to assist a client, usually a manager, to yxrccivc, understand, and act on pnx.*ess events with

which

he

or

she

must

deal.’*'

These

might

include

work

flow,

jnfi>mul

relation-

ships among unit members, and fonml communication channels. Process

consultation

(PCJ)

is

organizational

effectiveness

can

be

and

einphxsis

in

its

on

similar

to

improved

involvement.

But

sensitivity’ by

dealing

PC

is

training

more

with

in

its

assumption

interper^HmaJ

task-dimted

thw'

that

problems sensitivity

training. C^suiuntK A,

in

PC

are

there

to

give

the

elieni

'insight*

armnd hint within him, and between him and other people.^’ITiey do not soke 4*

into

what

is

gning

uo

nrwni/a-.i'iii'' problems. Rather, the consultant is a nruid.^ „ L

S dUev

•aiVx-ss to help the client solve his or her own pttddems ’’ ’ The cmsultanr worb with the client in jniprovenienf. The emphasis is on '‘joirtly” be^-r- - ’ within

proce-sses

hb

or

her

ludt

*e

that

can

be

co„ri,iualk\dled

eensulvint is gone. In add.nnn, by having the clieni aetivek «n long aftcj.

diagnosis and the Jeveiopment of altcrnarives, tlicre will lie '

ri,e pmeess and the remedy and less re.sistmce tn the action ^la.i chosen y parncipate in both die greater understanding of Impiriandy, the process consultant need not he an exrirt: i v Ur problem that is identified. The consultanfs CApenise 11*^^^. !,!^ Hoping „,,p„™hip. ,f tnowW outside the clients

and

consultant's

"^

expertise,

the

consultant

hehs

dient tn hKate such an expert .and then instructs die client in how to get the mS out

of this expert re'^nurce. Team Building Aswe’v-e ingly

noted

relying

in

niimermis

on

teams

places

lo

throughoul

accomplish

this

work

bonk,

tasks.

organizations

Team

are

building

increas-

utihzes

high-

level

where

interacnon group activities to increase trust and openness among team members.iTeam activities and cetns

building are

leave

can

be

intcnlejXTiiienr.

intergroup

applicaiions

applied For

our

development

to

within

to

organizational

groups

or

discussion, the

next

Families

we

section.

(command

at

the

intei-group

emphasize As

a

the

result,

intragroup our

interest

groups),

as

well

as

tunctions.

To

illustrate,

to

level con-

commit-

tees, project teams, self-managed teams, and task groups. Nor

all

group

activity’

has

interdependence

of

consider

a

football team and a track team:

AlihOugh members on both teams are concerned v.-irh rhe teams total output they funcuon

differently.

The

football

team’s

output

depends

synergistically

on

how

well each player does his parriedar job in concert with his reammatus. The quarterback’** performance depends

CMI

ihc performance ol his linKmcii and receiver's^

and ends on how well the quarterback throws rhe hall, and so on, Ou the other hand, a track team’s perfonuance is determined largely by the mere addirion of the performances of the indhddual members.’ ’ Team

building

is

applicable

to

the

case

of

interdependence,

such

as

in

footM

r h

objective is to improve coorHinative efforts of members, which will resu t n ’wreasing the teams performance. .. . .ji di>velThe activities considered in team building typically indude Went of interpersonal relations among team members, to « -Ijujlj. "'embers role and responsibilities, and team process analysis. Ot co Jpg may emphasize or exclude certain activities teunU? confronted, ^^clopment effort and the specific problems anyone members w ®«Kally, however, team building attempo, to use high interacuo g iTust and openness. attemut to define the goals It mav be beneficial to begin by having „erceptions of what the *«nties of the team. This will bring m die surface diffe 1^^^ purpose may be. Kolhjwing thi.s. ’>«K*-4i.!7effectivx is the team in strucn.r.ng pn«nties

and achieving its

ThebrgaciBitwn Sjww Thfe Md identily powndal prohl«n areas. This self-crin.,ue d,.c««ion of u ..nTdone with member, ..f ihe total team present or. when Uq interchange of views, may inWally take place ,n smaller poups foU

-a

lowed m bv the shariiie of their findings with the n>ta3 team _ iSmi buikline can also address each member’s role on the team; carh role can be identified

nnd

individuals

danfied.

it

mav

Previous

offer

one

ambiguities

of

±c

can

few

be

brought

opportunities

tn

they

the

have

surface

had

to

For

think

some thnnigh

thonHighly what iheir ,ob is all about and w hat specific tasks they are etpected to carry out if the team is tt> oponiize its eflieiTiveness. Sriil process

another

team-buiMing

wnmiranr—that

ideniiiy

die

way

is,

work

to

is

activity

analyze

performed

can

key

be

similar

prtxcsses

and

htiw

that

these

to

that

go

on

processes

performed within

might

by

the

ream

to

unprosed

to

the

be

make the ream more cffccrivc.

Intergroup Development A

major

groups,

area

As

of

a

concern

result,

in

this

OD

has

is

(he

been

a

dysriinciional

subject

to

conftict

which

that

change

exists

efforts

between

have

lieen

directed.

Intergroup development ceptions

that

saw

account

the

groups

human

icsounxts

cerned

that

with

the

have

iiig

of

some

making

change

For

having

,i

of

profit/’

of

hunch

employees Sudx

the

example,

composed

group a

to

other.

as

as

protcctetl

coiui'Kiny

each

departincnt

department

seeks

attitudes, in

one

company,

shy

at

ot

“ultra-lilx:raIs

might

stereotypes

id

stereotypes,

conservative the

ir

can

have

the

are

and

the

more

con-

hurt

than

feelings

an

per-

engineers

lyjws,

who

get

and

obvious

negative

impact on the coordin stive efforts between the departments. Although of

the

group and

more

ineers how

after

dicrc

it

which

are

popular

snxral methods

independently

co

Iwlievcs

other

the

similantics

appnwehes emphasizes

develop

and

for

lists

group

problem

of

its

perceives

diftciences

arc

iinprtndng

intergroup

solving.In

perception

it.

The

discussed.

relations,

ibis

method,

of

itself,

the

groups

then

share

Differences

otw

are

each

other

group,

their

clearly

lists, articu-

lated, and the groups look ftir i he causes of the dispariries. Are were group? tion

groups’

Stereotypes

standings the

the of

phase-

formulated?

intentions?

Answers

causes

goals

of

to the

Have

questions difficulty

working

to

at

odds?

Were

Have

some

W’ords

and

like have

these been

develop

perceptions

differences concepts

clarify

die

identified,

solutions

that

distorted?

been

been exact

the will

caused

defined nature

groups

can

improve

wlial

by

of

the

move relations

Subgroups, with mejnl)crs from each of the conflicting groups, can now be erefurther diagnosis and ro begin to fornurlatc possible alternative actions that *d1 improve rcUtions.

CONTEMPORARY ISSUES IN ORGANIZATIONAL CHANGE FV>r many employees, change creates stress. As a result, many managere are asking, inc stress among my work sTi/fff '^Innovate or die” is another popular phrase

basis

misunder-

differently

groups.

m managcBKnt cialcs. IFA*,

On

by

each

conflict.

Unt‘e

to

the

integra-

between

the

Chapter 17 O»g»ni„,ionaj

Chanee anH ru. And « organixauons have b.c.„ne increasingly ««cen,.H inrellecnu] n,anagcP. arc seeking answers optinMiing

,ba, a,n http people

^^p^cs, address rhc!«r three questions.

In 'he follow.

U^ork Stress

Sa^

- dj-naniic conJinun in which an individ„al is confnmied with u.

, constraint or demand related to what he or she desires and fo is perceived to be ^.th uncertain and imponanc.” Stress is not ,p and oHtse-lf. .although stress is often diseussc.i in a negative c««nf« T?" Sidve value. parUcidarJy when ft offers a ptnendal gain. For example 'it oS^n Sdeusor stage perh.rmers achieve a superior performance in a criiical ftmsS However, stress r.s more often associated with constraints and demands. .\SS nievetts )'0u troin doing what you desire; demand.s refer to the loss of Ln^J. you take . test at school or you undergo vour ^L peffo^t c! ^ew ar work, you feel stress because you confront opportunity, constraints and Jeroands. .A good perft.nnance review may lead to a promotion, greater resp.m^bilitics, and a higher salary. But a poor review may prevent you from getting the pmmo non. All c.yrreTiiely poor review might cause you to be fired. Employees brought for

on

by

no other

to

cost

U.S.

productivity,

today

are

prc.ssurcs

at

reason,

increasingly work

and

iCs aftccting

industry

between

employee

at

home.''’

the borrom line.

$200

turnover,

compiaininc

and

$300

accidents,

about

higher

^\nd

managers

For

instance,

billion

a

workers'

year

arc

stress

^ying

levels

attention

if,

job stress is estimated

in

absenteeism,

compensation

costs,

diminished and

direct

medical, legal, and insurance fees? ’ Symptoms too

of

high.’

Stress

expcrieriringa dirfiiiJfy like.

in

These

Stress

What

shows

high nuLng

level

itself of

routine

symptoms

signs

can

in

in

a

stress

di

number may

decisions, he

rale

tJiat

of ways.

develop

loss

subsumed

an

employee’s For

high

instance,

blood

of

a{>pcriTc-

under

three

stress an

pressure,

accidenc

general

kvei

might

employee ulcers,

who is

irricabilicy,

proncncss,

caregorics:

be

and

the

phy*siobgical,

psychological, and behavioral. .Most of the early concern with stress w’as directed at phy'siological symptoms, prijiiarjiy because the topic was researched by specialists in the health and medical sci«ces. This research led to the conclusion that stress could create changes in metaboJ™, increase heart and breathing rates, increase blood pressure, bring on headaclies, 3Jv( induce heart attacks, rhe link between stress and particular physiological s^inpnot clear. There arc few, if any, cemsistenc rchuonships. Thi^ inability co pair u-ith particular symptoms is anribuicd to the complexity of the symptoms an ^difficulty in measuring them objectively. But physiological symptoms avc t c ’^^st direct relevance to managers.

, i-

. Of greater importance are the psychological stmiptoins. Stress ^-t&ciion; and job-related stress can cause job-related thssarisfacnon.Jo ^3ct, is the simplest and most obvious psychological elfecr o itself in other psychological states-for instance, procrastination.' Behavioral stress ahsenl-e. and nirnover. as well as changes in eating habits, nereased ^'•’'’Munpiion of alcohol, rapi.l speech, fidgeting, and sleep disonteis.

prosiuo^ng g

Mt

W

Tke Organ

Sptem

RcducinK Stress Not ah stress is d^t^ncticmal. Moreover, realistictally, stress M never be coralIv clhnuBiced from a person^ life, cither off the job or on. As we strcss-rcdwrd<.'n rerhniqucs, keep in mind dial ewr concern is with reducing the pan of stress that is dyshintaonah H icnns of nrganiiarinnal factors, any anempr ro Inwrr sn-ess kvek has to begin '«ith employee

Management needs co make sure that an employee's abifciucs

nwich the requirements uf rhe job When employees are in over their heads, their stress levels will hpically be high. An obicciivc job preview during the scltenon process will aho lessen sws.s by reducing ambiguity. Improved

'ir^amzdti>>nfjl

(ommuwill keep ambiguity-induced stress to a minimum. Similarly, a program Mill darify job rcsponghiliries and provide dear perform.inee objectives is al>o a way to reduce suess. if stress can be traced direcriy to boredoin work overload, jobs should l>c redesigned ro increase challenge or reduce the work load. Redesigns that increase opporniniries for employees to participate in derisions and to gain MX-ial sup|Xiri have also been fbuml n» lessen stress. Stress it’s

dilJicuIt

tioii’i. tle

that

arises

fa>r

die

S|>ecifically,

employee

is

al

For

to

directly

the

receptive, their

manager

there

in

life?

arc

turn,

or

free

whose

and or

a

If

few

personal

creates

stress,

in

a

life

creates

Second,

there

two arc

manager

believes the

problem*..

ethical

to inrnide—even

uppruaches

oT^anizarion—ih

lives

rhe

outside

suffer

offering

of

them

sort

out

rough

in the

it

is

Firit,

couskleran^ost

ethical

manager

its

prolessional

from

sub-

and

can

die

consider.

a

lack

help—can of

v their

managers,

piioritics.

meet

planning

that

and

perneed.

OTganiution

prove Still

another

lien-

approach

physical aM'iry prctff /nHs.

employ

in-huuse

thTtc-managef/zcni

a

ma

helping

ally sponsored

rhe

low-cost

irtyjgrarfi ebcial

cwtrol.

have any right

personal

problems;

counselors,

cmployce.s

that,

manager

personal

can provide stress relief. Employees often want ro talk to someKHIT

sonnel

employee’s

ernptoyvv’s

Employee one

an

does

tile

wayrj—ip

from

is

organizaiion-

Some large corporations

physical

ness

specialists

techniques,

and

who

provide

show

employees

individual

employees

fit-

willi

exercise

physical

advice,

activities

they

teach can

relaxation

use

in

keep

which

many

their Stress Iwds down.

Stimuloting Innovation How

can

an

o^ranization

beixjme

more

innovative?

The

standard

toward

organiz-itions strive is diat achieved by 5M Co.^^ 1 he maker of Scotch Tape and PostIt-Notes world

has by

built

a

reputation

consisrentiy


as

one

new

of

the

products

must over

a

innovative

organizations

vert'

period

long

of

in

die

time.

3M

his a staled obicctive that 50 percent of its sales are to come from pnxhicLs less than 4 years old. In one recent year alone, 3M launched more than 5<X) new products. V\‘hat s the svcrci of 5 M’s success? HQiat can other organizations Ho to duplicate 3»M

s

teristics group

track

recohi

surface them

into

for

again

innovaiion? and

smictural,

agaiji

riiere when

culrnral,

and

is

no

guaninteed

researchers human

formula,

bur

certain

diarac-

study

innnvaeive

organizations.

ru.source

categories.

Our

message

We ro

Q»apter 17

^n,c ,hat

orpmiMtions faciliratc the flexibility, Ldapm''n ntak*’ adi.pnon of tnn.waiiofts

.

easier

':«.trali«rion, Innt^

SecJd

T"'

’a

,, associated with innovation. Managerial tenure apwtrcnt nd knowledge of how to atx-otnplish tasks and ohlS d e

legitimacy

i„nn«n»« >” nurtured where there are slack resources Ha^'n |.g5ource-'> allows an organization to afford to purchase innovadons s jnstininrg innovuuons, and absorb failures. Finally, interunit co^^' hiph in innovanve organizations. These organizations are high us^r^ oT"'’'"' flctiori across departraeiiCal hues. Culnit^

Variables

encourage

Unfortunately,

aijsence risk

Innovarivc

cxiXTin.entat.on.

mistakes. nt

taking

hniures and

<«-'HUU interorganizations

niey in

rather

reward

too than

.nnovation.

hod,

many lor

People

tend

to

successes

organizations,

rhe

presence

will

suggest

of

and

have

similar

and

failures.

people

are

successes. m-

new

cultures They

celeln^te

rewarded

Such

ideas

for

cultures

only-

when

train

and

They the

extinguish chev

fed

dui such behanors exact no penalties.

Human th«r

Resource

Vanables

members

to

fear

getting

u-on’i

keep

become

champions

actively

anrf

Innovative

them

fired of

eun-cnr,

for

'They

making

change.

enthusiastically

organizations

Once

offer

high

job

mistakes,

and

ihey

a

new

promote

actively

idea

the

is

idea,

secunty

that

encourage

developed,

build

so

develop employees

individuals

champions

support,

of

overcome

to

change

resistance,

and ensure that the innovation is implemented. Suaunary’

Given

the

sialus

of

3

M

as

a

premier

product

innovator,

we

would

expect

it

to ha\’e most or all of the properties we’ve i den rifled. And it docs, llie company is so higldy

decciitndizcd

that

it

has

many

of

rhe

characteristics

ul

small

organic

organixa-

lioDi. AJl of JM’s scientists and managers are challenged to ‘ keep current ” Idea champions 15

arc

percent

cTeared of

and

their

encouragcil

time

on

by

allowing

projects

of

scientists

tlieir

own

and

engineers

chwsing.

The

to

spend

company

up

to

encourages

Its employees to take risks—and ir rew-ards die failures as well as die successes. Pii’^lly» kM

is

years, Irides

a

model

overall Itself

on

of

corporate

annual

employee

being

an

id zed the company for being

stability. nirnover

employer

toe

for

The is

life.

a

average

tenure

minuscule

Financial

3

for

compnny

percent,

analv’^ts,

in

fact,

and

officers

the

have

is

company

recently

ent-

stable. Tn particular, they rake issue wat

.

nient’s unwillingness to cut costs through employee layoffs. Managements it’s this Muhility that iindcipins its innovative cuimre anrightc5t scientists. Knowledge Management piemens, the ^obal teleconinmnicarions giant, recendy huittcriand

to

build

a

relccoiiununications

j^pite of the network

that its bid was 30 percent higher than

or

nvo

secret

m

Siemens’s

illowed Siemens people

was its knowledge management system.- 1reps wim Netherlands to draw on rheir experience and pro . j|y nxjre reliable '''huKal dau ,h.. proved the SiU.H^ns’ network would bt subsra .

• J

thv kiJiniKilnun’s

•A

The OrgSRtMtaon System S^icms, Koii ’

Siemens is one «.f a eniwing ntimher of compsmes^nclud.ng ( Motor C> . Johason & Kdinsim.

Intel, \olksw-gen, Hexlett-PavUrd. BJJ

Roval Uanii of t^inada—that have ixaliicd the nilix: ol knou ledge man.igciueni (KM). ' WTwt is knmdcdgc management It's j process of nr^'anizmg and distnkxiung an organiMdon^ mllevdve uisdoin so cht lighi infomiaiion gets to the right penile at riX rime.- When done properly, KAI prtwidvs an oi ganiz.irion with lx)th a wanperitive edge and improved orgiinizjiional pertonnance because ii nukes itb emphwees smarter. Knowledge First,

sofw.-’ cal

or

in

financial

employees’ petition.

Second, that

attempts

to

important

intellecnial

assets

Organiz-qlions

that

can

w’isdoin

arc

experience

ns

baby

they

the

increasingly

organisations,

capture

make

is

many

collecrive

awareness

and

imnugetnenr

boomers

represent

a

it.

third,

-•Vid

organiwrion

organizarion

undertake

management

st’stcm

and

a

wealth

quickly

and

elfiacndy

leave

they

access



likely

the

rn

KM

will

be

sj^stetn

instance, previous

up

mu,

an

lost

there

if

Acif com*

inereasmg

reduce

arc

no

redundancy in

scratch.

A

have

learned

eniployees

as

their

employees

from

re»-

iinponam

there's

will

when

start

as

three

“nutsmai-t”

workforce,

dut

needn't

what

least

now

more

For

at

are

knowledge

efficient.

for

assets

well-designed

project,

allow

to

cl

a

more

new

can

iKgin

nxiav

a

large

know'ledgeand

cut

wasteful rime retracing a path that has already been traveled. How

docs

an

organiz.auon

record

the

know

ledge

and

expertise

of

its

employees

and make dial in form nd on easily iKxes.sihler l( needs Io develop c’omputer daial>as«of pertinent in lor mation that eniployees can readily access; it needs to cieare a culm re that supporcv

and

rewards

sharing;

and

it

has

to

develop

niechaiibstns

dut

allow'

employees

that have dcvdo|icd vahiabk expertise and insights to share them with others. KM pnKc»

begins

by

ideniihnng

reenguieering,

what

managenienr

knowledge

needs

to

matters

review

vide die iiiosi value.'Then it can develop computer that

inf(>rmaiion

unless

the

ivadily

culture

available

su|ijwrts

lo

the

rhe

,ieople

sharing

of

to

die

processes

oi

to

^anizaiion.*'^

idenlifj’

tlxwe

networks and datalwscs dial

who

uiosi

infnnnarion.-^

need

it.

Bin

Renicinbcr,

as

KM

As

widi

that

pro

can make won’t

noted

in

work

Chapter

11, infonnarion rhai is iinpwcanc and scarex* can lie a potent source of power. /Uni people who hold rhat power arc olten reluctunt co share n with others. So KAI requires an f>rg> nizarional mua

cuiiun*

provide

employee

die

find

that

promotes,

nicchanisnts

uscluJ

on

it

designing can

be

the

quickly

and

die

die

)ob

system

to

accessed

rewards for

enables

shanng

ein|)Joyees

them

to

knowlccige. to

slure

achieve

iunally,

KM

knowledge

that

letter

performance.*^

knowdedge. Infiirmation overload needs lo he avoided

capture by

and

morivation

and

/vrref

knowledge isn'i necessarily bt’

values,

rinly

pcojilc

pertinent

whom

it

inR>miarion

can

help.

and

Royal

then

Bank

organizing

of

C.anada,

if fur

instance, has created a KiVI sysiem widr cixstomized e-mail disuiburitin Usts cai*efiiny broken

down

by

the

company^

rate

in-house

employees’ iiuranet W'cb

specially,

that

sites

serves

ride, as

featuring

a

and

area

centnii

‘'lessons

lea

of

interest;

infcx-niaiion med**

set

aside

repisimry';

sunxnurics

a

and

where

dedicated

site

created

sepa-

employee*

with

various expertise can share new infonnarion with othci’S. IMPLICATIONS FOP MANAGERS rhe zarional rion,

necil

tor

behavior.

organir.atioiu]

change Think design,

cru'iini^^sscs about and

cepts without inquiring ahoin change,

almost

attitudes, die

like,

it’s

all

of

pcrcepdons, ini^xiKsihle

die

concepts

ceants, to

think

within

leadership, about

nrganimotiva*

these

con-

I If environments were

I

oicdy

rtie

Org,-;, snnw

as

«,£]„.

„,!._.

,2^

'='^f»raung

7^

^“rbulent IHA • ^*fdc or «

/ members rv undercj^

‘’‘^oeriH, ,

/ ebrtr<x/iejn475c peaccftjl dpf/,. / most managers. Today’s

u orld skeb”^’srurU ^^^^*

du»g. .gc„.,

'" -his .Ort.,, S

I

1. 1 r

s •>

A

V.

-1... d,„/“ ™

»nd

abiliH

Epilogu riri

^norate.

feehnj,^

Xing

of

the bttine meaning to aft author that it has to accomplishment mid rehef. A» boA

both

of

o.

rejoke

our tour of the es«nud a>n«pu .n orgutuxauonal behav... ,1^

.s a good rime to cwmine where we’« been and what ,t all ni«ns. he tmderlpng theme of tl)i5 book has been that the hehanor of people a, ,otk is

not

a

random

phenotnenon.

hehavton

can

nevertheless

accuracy.

Oi.r approad.

Employees

be

explained

has been

are

complex

and

to look

at

cnni.es.

predicted

«tb

organizariorial

bnt

a

dteir

atnmd«and

reasonable

behavior

at

^grce


three levels; the

ifldjvidual, the CTfJup, and the oi^anizatton s>'?,tera. We

srarted

co

understanding

uons

individual rized,

with

difference';

and

therefore

rhe

indindual

why

mdi^ncluals

act

they

among

cinplm’ees

can

be

genemlizarifins

and

can

reviewed

be

die do.

major We

psychological

found

s>'steinatically

raatie.

For

that

many

labeled

example,

we

conmbu-

know

of

the

and

catego-

that

individ-

iuil.
management

people

into

jobs

than that

arc

are

people

with

compatible

investigative

with

their

personalities.

personality

types

So

should

placing result

in

hi^er-perfonning and mt»re-satisfied employees. Nc.Yt, of

group

viduals in

a

crur

analysis

behanor

by

the

group

is

more

number

than

moved

of

when

to

the

group

complex

than

members

in

alone.

We

level.

We

argued

merely multiplying the

group,

w’hat

because

denionslratcd

how

the

we

kj’iow

people

roles,

understanding

that

act

norms,

about

indi-

differently leadership

when styles,

power relationships, and other similar group factors affect the behavior of employees. Finally,

we

group

behavior

Major

emphasis

processes,

work

overlaid

systemwide

to

further

wms

given

design,

variables

improve to

human

our

showing

on

knowledge

understanding

how

resource

our

an

policies

of

individual

organizational

organization’s

and

of

practices,

smicturc, and

and

behavior.

technological

culture

affect

both

theoretical

con-

die attitudes and behaviors ol employees. It

may

be

tempting

to

criticize

the

stress

this

book

placed

on

cepts. But a.s noted psychologist Kun Lewin is purported to have said, “There is nothing

so

pratrical

xs

a

good

theory.”

Of

course,

it^

also

true

that

there

is

nothing

so

impractical as a good rheoiy that leadx nowhere. To av<)i
this to

result

book inquire

has

insights

included about

been

into

a

the

die

behavior,

wealth

of

examples

implications

presentation but

which,

of

of

and

theory

numerous

when

taken

for

illustrations. the

concepts together,

tem to help you explain, predict, and control organizational behavior.

And

practice that, provide

of

we

regwli^’b'

management.

individually, a

comjJes

offer syv

Endnotes CHAPTER

1

Sec P Ad' I c •

iJt

AAUCOM; I9'>6h t pf^ef-indj H '•cig- “Puiiuig FcopkFi^tfor (jrtjjiuaO^’'«’ ' ’* //Az.;rp^, tf) KxKtttnx^ MM PP <“ 4S. ind R./V Ban»n and GJ>. Mwkffiafi, -BfyopdSTKiaJ Ca^MUl; Hi»u 5w

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