MGT4479 Mid Term Exam

N-Form structure

"N" stands for "new," and "novelty," and comes after M.

Charateristics of One-Minute Goals

- Agreement between the manager and subordinate regarding what needs to be done - Recording of each goal on a single page in more than 250 words that can be read by almost anyone in less than one minute - Communication of clear performance standards regarding what is expected of subordinates regarding each goal - Continuous review of each goal, current performance, and the difference between the two

M-Form Structure

- Divides information processing requirements into manageable blocks - Divides owners from managers

Dependence on mass inspection

- Inspection to improve quality is too late, ineffective, costly. - Rework raises costs. - Carry out inspection at the right point for the minimum total cost.

Seven Deadly Diseases of management

- Lack of constancy of purpose to plan products and services. - Emphasis on short-term profits: short-term thinking, fed by fear of unfriendly takeover. - Evaluation of performance, merit rating, or annual review. - Mobility of management; job hopping. - Management by use only of visible figures, with little or no consideration of figures that are unknown or unknowable. - Excessive medical costs. - Excessive cost of liability, swelled by lawyers that work on contingency fees.

Charateristics of One-Minute Praising

- Letting others know that you are going to let them know how they are doing - Praising positive performance as soon as possible after it has occurred, letting employees know specifically what they did right and how good you feel about it - Allowing the message that really feel good about their performance to sink in for a moment, and encouraging them to do the same - Using a handshake or other form of touch when it is appropriate

One minute manager

- One-minute goals - One-minute praising - One-minute reprimands

Leadership is a relationship with four major variables:

- The characteristics of the leader. - The attitudes, needs, and other personal characteristics of the followers. - The characteristics of the organization. - The characteristics of the organization.

Institute leadership

- The job of management is not supervision, but leadership - Focus on outcome must be abolished.

One-Minute Reprimands

- The somber subject should be presented in a positive tone. - Praising first, then pointing out what has been done wrong. - Praising the employee as a person despite rejecting the undesired behavior.

One-Minute Praising

- The technique parallel with positive reinforcement. - Managers should spend their time trying to catch subordinates doing something right rather than doing something wrong.

Five (5) Steps in the MBO Process

- manager sets employee objectives - manager develops action plans - manager monitors and reviews progress - manager evaluates performance - manager rewards performance according to results

Charateristics of One-Minute Reprimands

-Letting people know that you will, in a frank manner, communicate to them how they are doing. - Reprimand poor performance as soon as possible, telling people exactly what they did wrong and how you feel about it. - Reaffirm how valuable you feel the employees are, using touch if appropriate while making it clear that it is their performance that is unacceptable in this situation - Making sure that when the reprimand episode is over, it is over

Purpose for Improvement of Product and Service

1) problems of today; 2) problems of tomorrow, for the company that hopes to stay in business

5 Stages of Decline

1. Hubris Born of Success 2. Undisciplined Pursuit of More 3. Denial of Risk and Peril 4. Grasping for Salvation 5. Capitulation to Irrelevance or Death

Stockdale Paradox

1. Unwavering faith that they would prevail as a great company 2. Relentlessly disciplined at confronting the most brutal facts of their current reality 3. Strip away noise and focus on things of greatest impact

according to the three factor theory of motivation, what are the three primary sets of goals of people are at work

1. equity 2. achievement 3. camaraderie

what average percentage of people are satisfied with their work among the groups of generational, racial, gender, and economic differences

76% of all workers across all organizations generally enjoy the work they do

Higher-ambition leader

A leader who can see the organization in its totality, able to see its potential and possibilities, and equally values long-term financial health and social standing with employees (not just one or the other)

Big winners vs big losers

Big winners had "sweet spots" Big losers had "sour spots" where they faced multiple competitors and offered nothing special

One-Minute Goals

Clarify responsibilities and the nature of performance standards.

To become a high-ambition leader, one must: A. Find an anchor early on, becoming self-confident B. Find appropriate mentors and partners C. Learn from the past. D. Encourage honest feedback E. All of the above.

E. All of the above

True/false: Restructuring is inherently bad.

False

A business that emphasizes both social and financial value. It uses and maximizes the capabilities and potential of its employees, and all functional areas work together to make decisions that benefit the organization as a whole.

Higher-ambition business

Social values

In relation to a company, the benefits that the firm provides to employees, customers, communities, and the world

Stage 3: Denial of Risk and Peril

In this stage, internal warning signs begin to increase, but managers explain them away, discounting negative data, amplifying positive data, and putting a positive spin on ambiguous data.

Level 5 Leadership

Individuals who channel their egos and ambitions away from themselves and instead towards the larger goal of the institution and building a great company by doing whatever must be done.

There are two categories of bad leadership: 1. ________ _________ - Using inappropriate means to achieve something. 2. _______ _________ - When leaders fail to distinguish between right and wrong.

Ineffective leadership Unethical leadership

A positive leadership strategy that asserts a leader must display qualities of compassion and kindness, leading to a positive perception of the company's culture

Positive climate

A positive leadership strategy that asserts a leader must clearly communicate to others, whether positive or negative, to ensure positive deviance. This includes feedback.

Positive communication

A positive leadership strategy that asserts one's work must have a positive impact on individuals, have lasting value, and is associated with values important to oneself.

Positive meaning

A positive leadership strategy that asserts a leader must care about the physical and mental well-being of his or her employees.

Positive relationships

_______ _________ - The opposite of typical restructuring whereby employees' expertise and contributions are viewed as central to any solution. The focus of this is to enhance effectiveness and empower employees to overcome competitive challenges.

Responsible restructuring

_______ is a trait that higher-ambition leaders have. It means an unwavering ability to persevere despite seemingly insurmountable obstacles. These leaders use the "Keep it simple, stupid" approach and engaging with employees at all levels, fostering a culture of trust.

Sisu

Three Stages of Development for Good to Great companies

Stage 1 - Disciplined People Stage 2 - Disciplined Thought Stage 3 - Disciplined Action

U-form structure

Structures group or "chunk" on the basis of their common expertise/experience or because they use the same resources or focus on the same activities

Theory Y

The assumption that employees like work, are creative, seek responsibility, and can exercise self-direction.

Theory X

The theory of motivation holds that people are naturally lazy and uncooperative.

A term used to represent a set of assumptions: 1. The average human being has an inherent dislike of work and will avoid it if possible. 2. Because of this human characteristic of dislike of work, most people must be coerced, con-trolled, directed, and threatened with punishment to get them to put forth adequate effort toward the achievement of organizational objectives. 3. The average human being prefers to be directed, wishes to avoid responsibility, has relatively little ambition, and wants security above all.

Theory X

Assumptions are dynamic, indicate the possibility of human growth and devel-opment, and stress the necessity for selective adaptation: 1. The expenditure of physical and mental effort in work is as natural as play or rest. 2. External control and the threat of punishment are not the only means for bringing about effort toward organizational objectives. People will exercise self-direction and self-control in the service of objectives to which they are committed. 3. Commitment to objectives is a function of the rewards associated with their achievement (satisfaction of ego and self-actualization needs can be products of effort directed toward organizational objectives). 4. The average human being learns, under proper conditions, not only to accept but also to seek responsibility. 5. The capacity to exercise a relatively high degree of imagination, ingenuity, and creativ-ity in the solution of organizational problems is widely, not narrowly, distributed in the population. 6. Under the conditions of modern industrial life, the intellectual potentialities of the average human being are only partially utilized.

Theory Y

True/false: It is easier, faster, and more predictable to cut costs than to increase revenues or improve the organization's product/service

True

True/false: Keys to higher ambition leadership: Building commonalities across the globe involves: Utilize and promote diversity, cooperation, and collaboration Give employees the sense that they are working toward a higher purpose Encourage others to voice their personal opinions

True

True/false: Keys to higher ambition leadership: Commitment to exceed expectations involves: Hold employees accountable to high standards Hold themselves accountable to high standards Meeting short-term demands that helps the organizations meet long-term needs Focus on the basics that lead to long-term success

True

True/false: Keys to higher ambition leadership: Creating strength and shared vision out of differences involves: Bringing people who have significant differences together, developing a common sense of purpose and culture

True

True/false: Keys to higher ambition leadership: Developing a shared strategy involves Developing a strategy that is understood by everyone in the organization Evaluating the organization's capabilities and developing the strategy around them Practicing flexibility when needed

True

True/false: Keys to higher ambition leadership: Leading together involves: Have a high-functioning team at the top. Align the leadership throughout the organization, empowering employees at each level to make decisions that are consistent Commitment to career progression/development of employees

True

True/false: Keys to higher-ambition leadership include all of the following: Developing a shared strategy Commitment to exceed expectations Creating strength and shared vision out of differences Building commonalities across the globe Leading with Sisu Leading together

True

True/false: Restructuring that is built primarily on downsizing or containment of compensation costs will not have a positive effect on the areas where real competitiveness is built: innovation, quality, and customer service.

True

True/false: Several types of bad leadership exist: Incompetent leadership- The leader lacks followers to create change Rigid leadership- Not willing to adapt to new ideas or new information Intemperate leadership- The leader lacks self-control Callous leadership- Uncaring and unkind leaders Corrupt leadership- The leader cheats, lies, or steals Insular leadership- The leader disregards the welfare of the other (for example, Cigarette companies that did not warn people of the danger of cigarettes at first) Evil leadership- Use pain as an instrument

True

True/false: There are 3 belief systems that underlie positive leadership: 1. Positively deviant performance- the belief that results will exceed expectations and go above and beyond them. 2. Affirmation bias- The belief that the focus should be on the positive assets and strengths of people. 3. Facilitating the best of the human condition- The belief that people are intrinsically good and simply need nurturing.

True

True/false: There are 4 positive leadership strategies: Positive climate Positive relationships Positive communication Positive meaning

True

True/false: There are two types of followership: Bad followers: Those who willingly and knowingly commit themselves to bad leaders. Good followers: Put forth effort to advance positive pursuits

True

True/false: There are two ways that employers can look at their employees: Those who view employees as costs to be cut and those who view employees as assets to be developed.

True

Downsizing

Where companies reduce their costs and improve their efficiency/effectiveness by systematically eliminating unnecessary positions

Part 2 readings 1-4: Dang

X

Part 3 readings 1-3: Emily

X

Part 4 readings 1-2: Thomas

X

Part 5 readings 1-2: Linh??

X

Part 6 readings 1-4: Heather

X

Theory ______ leads to emphasis on tactics of control.

X

Theory ______ is more concerned with the nature of the relationship.

Y

Three traits of winners

agility, discipline, focus

sweet spots

attractive market positions characterized by a lack of direct competition that present incumbents with the opportunity to control the 5 classic industry forces

Stage 1: Hubris Born of Success

common indicators of this stage: attitude of arrogance belief that success is entitlement assumption that past success will continue loss of inquisitiveness loss of focus neglect of primary business line

Focus

concentrating on core strengths extending reach globally developing high growth products

Discipline

controlling distribution effectively reducing cost and raising quality creating culture of employee involvement monitoring and regulating changes

a state of high employee morale that derives from satisfying the three key needs of workers

employee enthusiasm

explain equity in terms of the three-factor theory and list the three conditions

employees want to be treated justly in relation to the three basic conditions of employment. these conditions are unrelated to a position in the company or to performance. The conditions are: 1. physiological - decent working conditions and working environment 2. economic- satisfactory compensation and benefits 3. psychological- respectful and consistent treatment by management

explain achievement in terms of the three factor theory of human motivation in the workplace

employees want to take pride in their achievements, and want to do things that matter and do them well. they wish to receive recognition for it. there are 6 primary sources that contribute to a sense of achievement

describe camaraderie in terms of the three factor theory of motivation

employees wish to experience camaridie- the feeling that they have warm, interesting, and cooperative relations with others on the job. this also includes the organization functioning as a community that satisfies the social and emotional needs of its employees.

t/f the impact that camaraderie can have on performance is often recognized

false it is not often recognized

hubris

first assumption of beginning path to decline it is excessive pride, ambition, self importance, arrogance

Stage 2: Undisciplined Pursuit of More

indicators of stage: obsession with growth confusion of being big with being great taking undisciplined leaps of growth trouble grooming and growing internal future leadership

Higher-ambition leaders practice _____________, which is the ability to take into account all forms of information regarding the company, including the importance of both social value and financial value. These leaders are persistent.

integrated decision making

list three important areas as viewed by employees that define the issue of fair treatment

job security compensation respect

Key trait of level 5 leader

modesty

a highly effective method of creating and maintaining high levels of long term organizational performance is a __________, in which employees collaboratively share common long term goals and feel a genuine concern for other employees at work

partnership relationship

Agility

responding quickly to changes maintaining flexibility moving markets that present specialized needs aggressively seeking acquisitions to exploit opportunities achieving sufficient diversification

Loser traits

rigidity- moves are defensive and reactive to threats ineptness- lacking skills to create the best value propositions diffuseness- unable to build competitive advantage

Organizational restructuring (downsizing, rightsizing) is the attempt to control expenses through cutting employees. This may decrease costs in the _____-_____, but it may hurt the company in the _____-_____.

short-term, long-term

flywheel

the continuous turning and momentum of effort in one direction leading to a point of breakthrough

How do winners find sweet spots?

they achieve significant alignment with their customers and providing unique solutions to complex customers

t/f Research shows that those organizations that never give in, never give up on their core purpose, and never give up on the idea of building a great company have a much greater ability to maintain their greatness and strength.

true

t/f the key question is not how to motivate employees, but how to sustain - (and prevent management from destroying) - the motivation and enthusiasm employees naturally bring to their jobs

true

t/f it is possible to avoid decline if you can catch it early

true

t/f the following are the 6 primary sources that contribute to a sense of achievement 1. challenge of the work itself 2. acquisition of new skills 3. ability to perform 4. perceived importance of the job 5. recognition received for performance 6. feeling proud of the employer

true

t/f the most significant decline in employee morale typically begins about 6 months after being hired and occurs in approximately 9 out of 10 companies

true

Hedgehog concept

what are you passionate about; what can you be the best in the world at; what drives your economic engine

Window and the Mirror Pattern

where level 5 leaders look out the window and approption credit to factors other than themselves when things go well

Stage 4: Grasping for Salvation

where managers begin making desperate leaps, trying bold but untested strategies, looking for a blockbuster product, trying to put together a game-changing acquisition

Stage 5: Capitulation to Irrelevance or Death

where the company is sold, allowed to go bankrupt, or left to shrivel into insignificance

Problems of tomorrow command

• Innovate • Put resources into research and education • Constantly improve design of product and service

Disadvantage of M-Form

• Introduces additional levels of hierarchy • Opportunism and information distortion problems • Myopic focus • Divisions may compete at the expense of cooperating • Transfer pricing battles

Problems of today encompass

• Maintenance of quality of product put out today • Regulation of output so as not to exceed immediate sales by too far • Budget, profits and sales, forecasting • Employment • Service • Public relations

Hybrid Organizational Structures

• Matrix Structures • Team-based Structures

Charateristics of N-Form

• Putting things together, combining other than dividing them. • Temporary constellations of people and units rather than permanent structures. • The importance of personnel at 'lower' levels in inter-functional, interdivisional, and international dialogue. • Lateral communication and dialogue rather than vertical • Top management as a catalyst and architect of communications. • Focusing the corporation on fields with rich potential for combining knowledge elements rather than diversifying to create semi-independent parts. • Heterarchy as the basic structure rather than hierarchy.

Advantage of M-form

• Uses objective market/output performance measures, bureaucratic controls, and clan/cultural controls • Encourages the exploiting of economies of scope across divisions • Frees corporate to focus on strategic concerns • Facilitates diversification and growth

Disadvantage of U-Form

• cannot handle the complexity of multiple activities well • subgoal pursuit problems can become acute • absence of objective measures of performance • operational concerns can divert attention from strategic/competitive/entrepreneurial issues

Advantage of U-Form

• increased specialization • economies of scale in monitoring • critical decision-making is centralized in one "peak" person

Three Generic Organizational Structures

•U-Forms (Unitary or Functional Structures) •M-Forms (Multidivisional Structures) • H-Forms (Holding or Conglomerate Structures)