Final Exam Ch 11-15 MGT

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External forces for change

-Economic and political -Cultural and social -Demographic -Industry -Technology

Benefits of power

-Essential to survival -Essential to conflict resolution -Critical to leadership -Critical for buy-in -Necessary for learning

Common mistakes in negotiation

-Fear we may be conceding too much (give in too easily or make a major blunder) -Selective attention and other perceptual biases-leads to poor decision making -Winner's curse/Overconfidence: (70%EQ, 30%IQ) stem from lack of info; misperceptions concerning the correctness of position -Failure to recognize cross cultural differences (emotional display) -Escalation of commitment-sticking to a choice that may not be the best, big ego, afraid to bring bad news -viewing negotiation as a fixed-pie (one has to win/other loses)

Managing in an uncertain environment

-Gathering info; environmental scanning, boundary spanners -Adapting internal culture and structure -Changing the environment; lobbying, strategic alliances

Effects of changing technologies

-Increased efficiency & productivity; ability to communicate across borders, expand markets, more in less time, improves customer service, less human error Challenges: -Need for continuous learning -lose personal interaction, stress how we organize work

New Leadership Characteristics

-Intelligence/Self-Understanding (IQ, self aware of strengths/weaknesses -Energy + Determination -Sociability, EQ -Integrity-Ethical Principles -Creativity-open to implement changes/aware of changes -Healthy levels of self-confidence & Self esteem

Internal forces for change

-Low performance -New leadership -low satisfaction -new mission -conflict

Negotiation Process

-Parties involved are in some way interdependent -Parties are in conflict over goals and processes -Parties involved are motivated and capable of influencing one another -parties believe they can reach an agreement one party can stop the process at any time, forcing a restart

Disadvantages of Power

-Self-serving -potential for destruction -outcome subject ti abuse -can decrease engagement and involvement

The ethics of managing change

-planned/especially strategic change is typically initiated by top management -planned change creates uncertainty and ambiguity in organization -Organizational change involve management defining a new "reality" for the organizations members

Leadership

An influence process in which one or more individuals can influence others to pursue a common goal

Firm Competition

Appropriate when you don't care about the long-term relationship but outcome is important aggressive win-lose strategy managers concentrate on imposing their own solutions requires power, organizational support, willingness to forgo future relationships

Diagnosis

Assess organizations environment and need for change Plan for change both strategically and pragmatically

Clarification and coalition building

Build support for the change process (sense of urgency) Articulate change vision

Which component of structure is described by "the extent to which decisions are made at the top of the organization?"

Centralization

Strategic Change

Change efforts that are both broad range (typically organization-wide) and long term

Which of the following is not one of the elements in the context of the organization?

Character

Agreement

Closes the process

Hybrid Structures

Combination of product and functional works great for large organizations

Define conflict in an organizational setting

Conflicting interest in particular decision, opposing goals neither all good or all bad, moderate levels of conflict can stimulate creative decision making, prevent groupthink, and apathy

Influence Sharing

Consultation Manager/Leaders consults followers based on decision

Empowerment

Delegating or sharing power OR creating conditions that increase feelings of power or personal efficacy in others

Power Distribution

Delegation (not solving everyone's power) Followers are granted authority to make decision

Contemporary trait research suggests that leaders possess which of the following traits?

Determination Honesty Self-confidence Intelligence

Matrix Structures

Developed to address the problems associated with the other 3 and to respond to environmental uncertainty

Uncertainty

Difficulty for managers to set a clear direction

Authoritarian Power

Domination Manager/Leaders impose decisions

Trait approach

Early 1990s aka Great man approach "who they are" what constitutes effective leadership based on personal characteristics or traits associated with successful leaders

Personal Sources

Earned Yourself expert power-expertise or access to information others need referent power: respect and being a role model

Sustainability

Evaluation

Changing an organization's culture is a simple process

False

In Lewin's force field model of change, the third step is "refreshing".

False

Mechanistic structures emphasize horizontal rather than vertical relationships.

False

The contingency approach to leadership argues that leaders do not need to adapt their behavior to fit the situation they lead.

False

The service sector accounts for 60% of the jobs in the U. S. Economy.

False

Transactional leaders seek to focus their own efforts and those of their employees on objectives that transcended their more immediate needs and interests to work to achieve a better future for the company.

False

Behavorial Approach

Focus on behaviors of leaders what they do Consideration-towards followers/relationship (leader/follower) welfare of the group Initiating Structure- initiates activity in the group, organizes, and defines the way work is to be done task and relationship

Position Sources of Power

Given -Legitimate:accepted authority such as title or official position -Reward:Access to resources and ability to reward others -Coercive: force and ability to punish others

__________________changes involve middle-level and supervisory level managers, as well as workers on the front line of the organization.

Grassroots

High change & Complex

High uncertainty high rate of change high complexity Large number of external factors that change quickly ex: computer/airline industries

Ethical Leadership

Humane Orientation-treating others with dignity and respect Justice Orientation-Making fair and consistent decisions Moderate Orientation-Temperance, humility, and a balanced approach to issues Responsibility and sustainability orientation-Long term view of success with focus on society and the environment

Presentation

Initial offers/demands presented orally or in writing Careful word choice, project right image through effective verbal/nonverbal communication are essential

Which of the following is NOT one of the external forces of change? Economic and Political Cultural and social Demographic Institutional

Institutional

Types and levels of conflict

Intrapersonal, interpersonal, intragroup, intergroup, horizontal and vertical

Which of the following is NOT a strategic alliance? a. Joint coupling b. Mergers c. Joint ventures d. Acquisitions

Joint Coupling

Robert House's Path Goal Theory

Leader's role is to put followers on the right path to goal accomplishment Match leadership style to followers' needs

Fiedler's Contingency Model

Leaders style is task or relationship oriented Situational factors: relationship with followers, task structure, leaders power effective performance results of match between leaders style and the situation

Organizational Learning

Learning that builds on individual learning and permeates the organization as a way of doing business

___________employees are people directly involved in production or service delivery

Line

_______________ strategies are based on designing, producing, marketing, and delivering a product or service more efficiently than competitors.

Low Cost

Legitimating

Low effectiveness Establishing your authority to make a decision or request

Stable & Simple

Low uncertainty low rate of change low complexity Small number of external factors that change slowly ex: packaging industry

Stable & Complex

Low/Moderate Uncertainty Low rate of change High complexity ex: fridge/trucking industries

Which of the following is NOT one of the elements of ethical leadership?

Mediation orientation

Personal Appeal

Moderate effectiveness Asking a favor based on friendship or loyalty

Apprising

Moderate effectiveness Convince people that what you want will actually benefit them

High change & simple

Moderate/Low Uncertainty high rate of change low complexity Small number of external factors that change quickly ex: toy and fashion

Avoidance

Needs for either party aren't met useful for trivial issues or the short run (cool-off/gain perspective) Harmful in the long-run; resent/suppress feelings; find dysfunctional ways of dealing with the issue (low assertiveness & cooperation)

Which of the following is NOT one of the internal forces of change?

New technology

Compromise

No clear winners/losers; give & take position everyone ends up with something, not everything wanted-acceptable solution everyone can minimally accept. Only style that works in situations where parties have equal power and strong opposing views. (Middle of assertiveness and cooperation)

Power Sharing

Participation Manager/Leader jointly makes decision

Sources of conflict

Personal differences, goal incompatibility, uncertainty, resource scarcity, reward system, interdependence CHANGE

Managers hoping to lead change must do all of the following, except:

Plan for change that is standardized and periphery.

Consequences of Conflict

Positive: -Competition + conflict can motivate/inspire -increases group cohesion/effectiveness -reduce internal conflict to focus on outside competitors -High energy, focus on the task -stimulate innovation -discussion of ideas -increase communication Negative: -focus on the task -concern with winning -distorted judgement/lose sight of common goal -lack of cooperation -loser effect-harm long-term relationships/overall performance -demotivate -sabotage

Which of the following is not typically employed by organizational development practitioners to facilitate organizational change?

Practical consultation

Active Avoidance

Refusal to negotiate, negotiator does not care about the task or relationship Neither seeks a win or lose

Open Subordination

Relationship is more important then the subject of negotiation openly accepts other solution only option when managers don't have much power or leverage to negotiate or when they want to create goodwill and reduce hostilities if conflict is high

________________ leadership is broadly distributed among members of the group, the organization, or the society.

Shared

Functional Structures

Simplest form, group employees by their functional specialization appropriate in low uncertainty environments small-medium size organization that focuses on control/efficiency

Political Skills

Sincerity Interpersonal Influence Networking ability Social Astuteness

General environment

Social, demographic, and cultural trends; the political climates; and historical and religious influences

Socialized vs. Personalized Power

Socialized=common good Personalized=uses power to advance themselves/own interest ex-sexual harassment

goal incompatibility

Source of many conflicts departments have different goals so conflict for them is inevitable

Which component of structure is described by "the degree to which each individual, department, or team performs limited narrow tasks?"

Specialization

Which component of structure is described by "individuals performing similar tasks in the same way?"

Standardization

__________________changes are often developed in the course of a planning process that considers the mission, vision, and values of the organization.

Strategic

Which of the following is not one of the new leadership characteristics?

Strength

Strategy Implantation

The actions the organization takes to execute the strategy it has formulated

What type of leadership advances the interests of both leader and follower, but there is NO deep or enduring link between them.

Transactional leadership

Initiating structure involves leader behavior associated with organizing and defining what followers should be doing.

True

Positive leadership is primarily concerned with facilitating extraordinary performance and affirming human potential.

True

The contingency approach to leadership assumes that understanding requires consideration of both trait and behavior characteristics to leadership.

True

The environment of an organization is made up of all external factors that have the potential to affect the organization.

True

The starting point of any organization is a vision.

True

Contingency Approach

Understanding leadership requires consideration of both leadership characteristics - either traits or behaviors or a combination - and the leadership situation.

Politics

Use of power and authority to influence organizational outcomes

Bargaining

Utilizing various strategies to reach an agreement, preparation concerning facts and people cab strengthen/benefit their position

Based on Edgar Schein (1985), which of the following is NOT one of the levels of organizational culture?

Vectors

Views of conflict

Viewed by most as inevitable Destructive but beneficial -Considered negative and dysfunctional -viewed as a natural part of organizational life and beneficial in the workplace

Accommodation

Willing to sacrifice own needs to satisfy the needs of others Builds credibility for the next conflict useful in the short run but not the long run Continuous accommodating can lead to resentment (walked-over, known as push over) (low assertiveness, high cooperation)

Conflict

a process in which people disagree over significant issues, thereby creating friction For conflict to exist: -must have opposing interests, thoughts, perceptions, and feelings. -Involved must recognize the existence of different POV -Disagreement must be ongoing, rather than singular occurrence -People with opposing views must try to prevent one another from accomplishing their goals the level and type of conflict and how it is managed determine whether it is beneficial or detrimental to the organization.

Mission

a statement of the organization's purpose and reason for existence What are we and who do we want to be? Leaders articulate

Power

ability to influence others Dependency: A depends on B, B has power over A Perceptions: Perceive that you have the ability/potential to influence

Influence Tactics

actions used intentionally to influence or change the attitude or behavior of someone else

Environment

all the external factors that have the potential to affect the organization does not consist every external factor, only those that can affect the organization

Authentic Leadership

authentic to true self

Mechanistic Organization

authority is centralized, tasks and rules are clearly specified, and employees are closely supervised think DMV, military

low-cost strategy

based on designing, marketing, and delivering a product or service more effectively than competitors

Differentiation

based on providing a unique and different product of superior quality with special features

Horizontal

between departments or groups at the same level of the organization company works together to achieve org goals, disagree over schedules, quality, efficiency, and so forth

Vertical

between groups at different levels of the hierarchy broad organizational issues of control and power

Intergroup

between work groups different groups, departments, or divisions that disagree over task, processes, resources, or information Typically broad organizational issues like allocation of resources, access to info, and system related processes.

Change through structure

bring about change through reconstructing or changes to organizational structures, work process or systems

incremental change

change that occurs within the existing framework of the organization

discontinuous change

change that seeks a whole new strategy or configuration for the organization

Grassroots change

changes at lower levels of the organization that are concerned with implementing and sustaining the changes envisioned at the strategic level

compeition

common way to handle conflict but it's not beneficial to individuals or groups who interact repeatedly Winners & losers (high assertiveness, low cooperation) force Self-gain; no consideration of others interest

Business environment

customers, competitors, human resources, suppliers, financial institutions, governmental regulations, the economy, and technology that managers typically deal with on a day to day basis

Change through Organizational Development

data-driven, people centered, focused on process/system improvements

Vision

describes where the firm wants to be and its purpose and values

Scarce resources

employees and departments have to compete to get their share of resources this increases the likelihood of conflict

access based positioning

engaging in different activities to better reach customers

Why might employees resist change?

fear of failure creature of habit threat to power uncertainty What's in for me threat to job security peer pressure

Value-based leadership

focuses on core values

Change through Appreciative Inquiry

focuses on strengths in meeting customer and stakeholder needs

Preparation

gathering factual info about the issues, alternatives softer info relating to other party's interest, positions, personality and style Intense preparation leads to better outcomes

Environmental scanning and analysis

general scan of the environment find opportunity

Shared leadership

group centric, team leadership

Product/Divisional Structure

groups people by the product or service you work on or according to the geographic region

servant leadership

helping others, facilitate success commitment of potential leader to serve others

Collaboration

high concern for satisfy both your own needs and needs of others (high assertiveness & cooperativeness) Finding a solution in both parties best interest (full satisfaction) time consuming but con benefit long term gains Not always possible

Collaboration (influence tactic)

high effectiveness Offer to provide resources or assistance in exchange for agreement

Rational persuasion

high effectiveness logical arguments/factual evidence

Inspirational appeal

high effectiveness request based on values and ideals

Consultation

high effectiveness seek others participation in a decision

Strategy

how firm achieves its mission and goals How do we get there What do we need to do Managers help

Action

implement specific changes encourage positive attitude toward change (short-term wins)

Consolidation and refinement

institutionalize the changes (reinforce)

Intrapersonal

internal conflict he/she is motivated to engage in two or more activities that are incompatible Think father who wants to be involved with family but be on the corporate fast track

Trusting collaboration

involves cooperation, give & take compromise, collaborative problem solving achieving a win-win outcome Best to use if relationship and task outcome are important Essential for mutually interdependent organizations

Transformational Leadership

leaders engage followers in a way that inspires and raises levels of morality and motivation (intrinsic motivation)

Transactional Leadership

leaders exchange rewards with followers for services rendered to improve job performance (extrinsic motivation)

Double-loop learning

learning new goals, appropriate for complex, non-programmable decisions

Single-loop learning

learning new strategies to accomplish existing goals, appropriate for routine issues

Force Field Analysis

listing in one column the driving forces at play in a particular change opportunity and in a second column the restraining forces

Organic Organizations

low degree of formality, specialization, and standardization, decentralized decision making, and well integrated

Pressure

low effectiveness demands, threats, and warnings

Coalition Building

low to moderate effectiveness getting help from other people to influence a target or key decision maker

Ingratiation

moderate effectiveness get someone to feel favorable toward you before asking them something

Exchange tactics

moderate effectiveness make a reciprocal or quid pro quo agreement that benefits both

Goals

objectives that specify what needs to be done achieved and when What needs to be achieved by when? Managers help

Creative Leadership

open to change components: -purpose -passion -courage -learning agility -empathy -social energy -compassion -personal energy -love

Restraining forces

oppose the direction of the proposed change

Systems theory

organizations operated with a context all organizational elements are interconnected forces us to look at the "big picture"

Negotiation

process in which two or more parties reach a mutually agreeable arrangement

Straddling

pursue two inconsistent, incongruent strategies at the same time

Interpersonal

results from different personalities, goals, values, or styles 2 or more people who interact and have incompatible goals. styles, or values avoid at all costs, can be problematic for managers resolves around personal differences rather than organizational goals

Collaborative Style

seeks a win-win solution for all parties

political behavior

self interest

variety based positioning

serves a wide array of customers but for most, it will meet only a subset of their needs

Organizational Culture

set of norms, beliefs, and values expressed by members of a particular group and manifest in their typical behaviors and in the artifacts they produce

SWOT analysis

strengths, weaknesses, opportunities, threats evaluation of the organization's environment

Driving forces

support the direction of a proposed change

Proactive Influence Tactics

tactics used to accomplish an immediate purpose or task High effectiveness=soft tactic low effectiveness=hard tactic

Needs-based positioning

tailored activities to serve a target market

Collaborative leadership

team of equals

Strategic Management Process

the combination of strategy formulation and implantation

Interdependence

the extent to which employees depend on others to get their work done if interdependence is high, conflict arises

Complexity

the number of elements an organization has to consider during the enactment process

Strategic formulation

the process of forging a cohesive integrated set of strategies designed to deal with the environmental achieve the business mission and goals

Enactment

the process of identifying relevant environmental elements to define the environment of the organization

rate of change

the speed at which various elements in the environment change

integrative negotiation

try to reach an agreement that benefits both by focusing on creating new outcomes and solutions

steps in the change process

unfreezing changing refreezing

Change through management action

unilateral order given by leaders and managers, top-down, formal, impersonal, and task oriented

environmental uncertainty

unpredictability in the environment

espoused values

what you say you're about must match your enacted values

Scope of strategy

whether a business is setting wide or broad net, or whether it has a narrower focus size of target market

Reward system

win-lose environment increases conflict rewards based on individual rather than team performance is likely to increase intragroup competition and conflict

Intragroup

within a work group/person members disagree over group goals, activities, leadership, or processes healthy levels help to prevent groupthink extremely detrimental to cohesion and productivity

disruptive negotiation

zero-sum negotiation, one party's gain leads to the others loss rewards and outcomes are divided among parties


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