MAN CH 10

Conflict on a Trading Floor (case)

-Linda - top salesperson -Assistant

Dilemma faced by assistant to send the fax

-Linda was direct superior -Linda gave them a chance even when they weren't very qualified -had a responsibility to help desk make as much money as possible -had just began their job and wanted to prove they could be successful

Linda's structure to the transaction

-Poseidon had to make a 10% down payment at the time of signing the contract -monthly interest payments for three years -FirstAmerica would pay Pos in francs, they would pay first america in dollars -principalpayments made at the end of years 3, 4, and 5 -Linda suggested they hedge by having Pos purchase the france in three "forward" contracts and locking in exchange rates

Sensation feeling

-Shows concern for current, real-life human problems -Is pragmatic, analytical, methodical, and conscientious -Emphasizes detailed facts about people rather than tasks -Focuses on structuring organizations for the benefit of people

Conditions in the workplace that cause stress

-Task demands -interpersonal demands

Dilemma faced by assistant to not send the fax

-all people have an obligation to be honest -professional responsibility to the client -possible long run issues despite short run benefits -fearful and intimidated to face a higher up to whistle-blow Linda

Intuitive feeling

-avoids specifics -is charismatic, participative, people oriented, and helpful -focuses on general views, broad themes, and feelings -decentralizes decision making, develops few rules and regulations

Challenges faced by Poseidon

-currency risks with payments in francs -French gov allowed them to borrow at a below market rate -execs at Poseidon had never executed transactions of this size and complexity

Sensation-thinking

-emphasizes details, facts, certainty -is a decisive, applied thinker -focuses on short-term, realistic goals -develops rules and regulations for judging performance

Additional reason to not send

-fiduciary responsibility to conduct honest ethical transactions

What questions did the assistant have?

-managed to convince Pos not to speak to other investment banks and they had to trust Linda on fairness/accuracy -used her position to charge Poseidon significantly more than if they were to shop around bc she feared it would disrupt the market, but it really didn't -knew these rates were on avg 80 basis points higher than the rates the traders needed for FirstAmerica to profitably hedge positions

intuitive thinking

-prefers dealing with theoretical or technical problems -is a creative, progressive, perceptive thinker -focuses on possibilities using impersonal analysis -is able to consider a number of options and problems simultaneously

Ways to combat stress

-seek and destroy key sources of stress -find meaning and support -meditate and manage your energy -find a work-life balance

ways individuals and organizations can manage stress to improve employee health, satisfaction, and productivity.

1. Create a psychologically healthy workplace 2. make sure people have some fun at work

Perception process

1. Observe 2. Screen 3. Organize Most differences among people at work are related to how they select and organize sensory data.

Basic principles for self-management

1. clarity of mind 2. clarity of objectives 3. an organized system

Step-by-Step Guide for Managing Your Time

1. empty your head 2. decide the next action 3. get organized 4.perform a weekly review 5.NOW DO IT

How many of the MBTI four functions is dominant in an individual?

1. sensation 2. intuition 3. thinking 4. feeling

two methods for enhancing self-awareness.

1. soliciting feedback from others 2. self-assessments

Why is emotional intelligence important for today's managers

A high EQ is critical for managers, who are responsible for influencing others and building positive attitudes and relationships in the organization.

Yerkes-Dodson Stress Curve

As originally proposed by two Harvard researchers, Robert Yerkes and John Dodson, stress up to a certain point challenges you and increases your focus, alertness, efficiency, and productivity. After that point, however, things go downhill quickly and stress compromises your job performance, your relationships, and even your health. Another interesting finding is that too much stress inhibits learning and flexibility.

self-awareness (emotional intelligence)

Being aware of what you are feeling; the basis for all the other components. People who are in touch with their feelings are better able to guide their own lives and actions. A high degree of means you can accurately assess your own strengths and limitations and have a healthy sense of self-confidence.

Big Five Personality Traits

CANOE Dimensions that describe an individual's extroversion, agreeableness, conscientiousness, emotional stability, and openness to experience.

Screen (Perception Process)

Examining the information and selecting what to process

Do it

Follow the two-minute rule: If something can be done in less than two minutes, do it now.

Decide the next action

For each item in your buckets, decide the real, specific, physical action that you need to take next. -Do it, delegate it, defer it

Delegate it

If something can be done as well by someone else

Defer it

If something will take longer than two minutes but cannot be delegated to someone else, you'll have to

Meditate and manage your energy

Meditation is a way to both prevent and alleviate harmful stress responses

Observe (Perception Process)

Observing information via the senses

Now do it

Once you have collected, processed, organized, and reviewed your current commitments, you'll have a better sense of what needs to be done, which will enable you to make better choices about how to use your time.

Make sure people have some fun at work

Particularly for jobs that have a high degree of task-related stress, allowing people to blow off steam can make all the difference in the stress level.

What did Poseidon want to do?

Poseidone wanted to finance the construction of a new cruise ship to be built by a French Shipyard -most luxurious -5 year time period -$700 mil

Organize (perception process)

Putting the selected data into patterns for interpretation and response

challenge stress

Stress that challenges and helps increase focus - fires you up

threat stress

Stress that is counterproductive and burns you out

relationship management

The ability to connect to others, build positive relationships, respond to the emotions of others, and influence others. People with these skills know how to listen and communicate clearly, and they treat others with compassion and respect.

social awareness

The ability to understand others and practice empathy, which means being able to put yourself in someone else's shoes, to recognize what others are feeling without them needing to tell you. People with this are capable of understanding divergent points of view and interacting effectively with many different types of people

openness to experience

The degree to which a person has a broad range of interests and is imaginative, creative, artistically sensitive, and willing to consider new ideas.

Agreeableness

The degree to which a person is able to get along with others by being good natured, likable, cooperative, forgiving, understanding, and trusting.

Emotional stability (neuroticism)

The degree to which a person is calm, enthusiastic, and self-confident, rather than tense, depressed, moody, or insecure (neuroticism)

Conscientiousness

The degree to which a person is focused on a few goals, thus behaving in ways that are responsible, dependable, persistent, and achievement-oriented.

Extroversion

The degree to which a person is outgoing, sociable, assertive, and comfortable with interpersonal relationships.

clarity of mind

The first principle is that, if you're carrying too much around in your head, your mind can't be clear. If your mind isn't clear, you can't focus. If you can't focus, you can't get anything done. Thus, anything you consider unfinished needs to be placed in some kind of trusted system outside your head.

Create a psychologically healthy workplace

The number 1 way to lessen employee stress is to create a healthy corporate culture that makes people feel valued

Get organized

The third step is to organize all the items that you've deferred. At this stage, schedule any appointments that you identified as "next actions" and record them on whatever calendar you check daily.

Fundamental attribution error

When evaluating others, we tend to underestimate the influence of external factors and overestimate the influence of internal factors

Explain why understanding yourself is essential for being a good manager

When managers deeply understand themselves, they remain grounded and constant. People know what to expect from them.. -A manager who understands himself or herself is better able to understand and interact effectively with others.

emotion

a mental state that arises spontaneously within a person based on interaction with the environment rather than through conscious effort and is often accompanied by physiological changes or sensations.

organizational commitment

an employee's loyalty to and engagement with the organization. -trust is an important part

stress

an individual's physiological and emotional response to external stimuli that place physical or psychological demands on the individual and create uncertainty and lack of personal control when important outcomes are at stake

Self-efficacy

an individual's strong belief that he or she can accomplish a specific task or outcome successfully

blind spots

attributes about themselves that they are not aware of or don't recognize as problems—that limit their effectiveness and hinder their career success

self-awareness

being aware of the internal aspects of one's nature, such as personality traits, beliefs, emotions, and perceptions, and appreciating how your patterns affect other people

external locus of control

believe that events in their lives occur because of chance, luck, or outside people and events. They feel more like pawns of their fate.

Find meaning and support

buffering hypothesis: a perceived high degree of social support from family and friends protects one from the potentially adverse effects of stressful events.

soliciting feedback

doing this enhances self-awareness and can improve performance and job satisfaction for both managers and employees

Perceptual distortions

errors in perceptual judgment that arise from inaccuracies in any part of the perception process.

Type B behavior pattern

experience less conflict with other people and a more balanced, relaxed lifestyle

Self-confidence

general assurance in one's own ideas, judgment, and capabilities

Authoritarianism

he belief that power and status differences should exist within the organization

Type A behavior pattern

includes extreme competitiveness, impatience, aggressiveness, and devotion to work

MBTI paired opposites

introversion-extroversion and judging-perceiving

Two important elements of happy and productive employees

job satisfaction and trust.

Attributions

judgments about what caused a person's behavior—something about the person or something about the situation

Four areas related to personality that are of particular interest to managers are

locus of control, authoritarianism, Machiavellianism, and problem-solving styles.

Myers-Briggs Type Indicator (MBTI)

measures a person's preferences for introversion versus extroversion, sensation versus intuition, thinking versus feeling, and judging versus perceiving. The various combinations of these four preferences result in 16 unique personality types.

What spreads faster: positive or negative emotions

negative

Role conflict

occurs when an individual perceives incompatible demands from others

An organized system

once you've decided the actions that you need to take, you need to keep reminders in a well-organized system.

clarity of objectives

ou have to be clear about exactly what you need to do and decide the steps to take toward accomplishing it.

Role ambiguity

people are unclear about what task behaviors are expected of them

self-serving bias

people give themselves too much credit when they do well and give external forces too much blame when they fail.

Top causes of harmful workplace stress

poor compensation and unreasonable workloads

How do emotions affect behavior

positive emotions are typically linked to higher productivity and greater effectiveness.

locus of control

refers to how people perceive the cause of life events—whether they place the primary responsibility within themselves or on outside forces.

introspection

reflecting on our experiences, examining the effects of our actions and behavior, looking at the consequences for ourselves and others, and asking, "What can I learn?"

job satisfaction

reflects the degree to which a person finds fulfillment in his or her job

Perform a weekly review

review your complete Next Actions list and your calendar for the coming week. Scan the entire list of outstanding projects and actions needed so that you can make efficient choices about using your time. 1. collect and process all the new stuff 2. review your entire system 3. revise your lists 4. get clear, up to date, and 5. complete about what needs to be done next.

internal attributions

says that characteristics of the person led to the behavior.

external attributions

says that something about the situation caused the person's behavior.

4 components of emotional intelligence

self-awareness, self-management, social awareness, relationship management

People gather information by

sensation or intuition, but not by both simultaneously

Four problem-solving styles

sensation-thinking, intuitive-thinking, sensation-feeling, and intuitive-feeling.

Types of perceptual distortions

stereotyping, halo effect

stressors

stimuli that cause stress; produce some combination of frustration and anxiety

Task demands

stressors arising from the tasks required of a person holding a particular job. -role ambiguity

Interpersonal demands

stressors associated with relationships in the organization -role conflict

Emotional contagion

tendency of people to absorb and express the emotions, moods, and attitudes of those around them.

self-management

the ability to control disruptive or harmful emotions and balance one's moods so that worry, anxiety, fear, and anger do not cloud thinking and get in the way of what needs to be done. People who are skilled at this remain optimistic and hopeful despite setbacks and obstacles. This ability is crucial for pursuing long-term goals.

Machiavellianism

the acquisition of power and the manipulation of other people for purely personal gain

Perception

the cognitive process that people use to make sense out of the environment by selecting, organizing, and interpreting information from the environment.

Seek and destroy key sources of stress

the most beneficial stress management competency is prevention -being well organized, planning ahead, and using the various time management techniques we've discussed in this chapter are highly effective ways to manage and prevent stress

Halo Effect (Distortions in Perception)

the perceiver develops an overall impression of a person or situation based on one characteristic, either favorable or unfavorable. In other words blinds the perceiver to other characteristics that should be used in generating a more complete assessment.

internal locus of control

the perception that you control your own fate

personality

the set of characteristics that underlie a relatively stable pattern of behavior in response to ideas, objects, or people in the environment.

Stereotyping (Distortions in Perception)

the tendency to assign an individual to a group or broad category (e.g., female, black, elderly; or male, white, disabled) and then to attribute widely held generalizations about the group to the individual

People evaluate information by

thinking or feeling

self-assessment

uses self-inquiry and reflection to gain insights into oneself from the results of scores

Empty your head

write down on separate scraps of paper all the activities, duties, tasks, or commitments that are demanding part of your attention. The idea is to get everything out of your head and down on paper. -organize into buckets