FM 361 Leadership Development Final

definition of performance

Performance: the end result of an activity

Vision statement

guides the organization into the future towards a new objective

emotional intelligence

the ability to notice and to manage emotional cues and information

Step 3: Doing an Internal Analysis

• Beginning of SWOT • Resources: an organization's assets that are used to develop, manufacture, and deliver products to its customers • Capabilities: an organization's skills and abilities in doing the work activities needed in its business • Core competencies: the organization's major value- creating capabilities that determine its competitive weapons • Strengths: any activities the organization does well or its unique resources. Competitive advantages - What sets an organization apart; its distinctive edge - sustainable, means it will continue and work for a while • Weaknesses: activities the organization does not do well or resources it needs but does not possess

Step 2: Doing an External Analysis

• Ending of SWOT - Strengths, weaknesses, opportunities, threats • Opportunities: positive trends in the external environment • Threats: negative trends in the external environment

Step 6: Evaluating Results

• How effective have strategies been at helping the organization achieve its goals • What adjustments are necessary?

Step 5: Implementing Strategies

• No matter how effectively an organization has planned its strategies, performance will suffer if the strategies aren't implemented properly.

Step 4: Formulating Strategies

• Three main types of strategies managers will formulate: 1. Corporate - an organizational strategy that determines what businesses a company is in or wants to be in, and what it wants to do with those businesses 2. Competitive - an organizational strategy for how an organization will compete in its business(es) 3. Functional - a strategy used by an organization's various functional departments to support the competitive strategies

calm waters metaphor

• Unfreezing the status quo • Changing to a new state • Refreezing to make the change • Permanent

overcoming barriers

• Use feedback - A manager can ask questions about a message to determine whether it was received and understood as intended. • Simplify language - Because language can be a barrier, managers should consider the audience to whom the message is directed and tailor the language to them. Remember, effective communication is achieved when a message is both received and understood. • Active listening - listening for full meaning without making premature judgments or interpretations - • Constrain emotions - calm down and get emotions under control before communicating • Watch nonverbal cues - an effective communicator watches his or her nonverbal cues to ensure that they convey the desired message

Learning and the 3 learning theories

- A change in behavior that occurs as a result of experience - Operant conditioning: a theory of learning that says behavior is a function of its consequences - Social learning theory: a theory of learning that says people can learn through observation and direct experience - Shaping behavior: the process of guiding learning in graduated steps using reinforcement or lack of reinforcement

Characteristics of innovative culture

- Challenge and involvement - Freedom - Trust and openness - Idea time - Playfulness/humor - Conflict resolution - Debates - Risk taking

how to overcome change

- Education and communication - Participation - Facilitation and support - Negotiation - Manipulation and co-optation - Coercion

Job satisfaction

- High level of satisfaction = positive attitude Dissatisfaction = negative attitude - Linked to: • Productivity • Absenteeism • Turnover • Customer satisfaction • Counterproductive behavior

formal or informal communication

- Managers need to enable employees to communicate and share knowledge so they can learn from each other. - Formal communication: communication that takes place within prescribed organizational work arrangements - Informal communication: communication that is not defined by the organization's structural hierarchy

Maslow's Hierarchy of needs theory

- Maslow's theory that human needs—physiological, safety, social, esteem, and self-actualization—form a sort of hierarchy - physiological at bottom - Managers using this hierarchy to motivate employees do things to satisfy employee's needs. But the theory also says that once a need is substantially satisfied, an individual is no longer motivated to satisfy that need. Therefore, to motivate someone, you need to understand at what need level that parson is on in the hierarchy and focus on satisfying needs at or above that level

how do we motivate people

- Motivation refers to the process by which a person's efforts are energized, directed, and sustained toward attaining a goal. This definition has three key elements: energy, direction, and persistence. - Energy • The energy element is a measure of intensity, drive, and vigor. A motivated person puts forth effort and works hard. However, the quality of the effort must be considered as well as its intensity. - Direction • High levels of effort don't necessarily lead to favorable job performance unless the effort is channeled in a direction that benefits the organization. Effort directed toward and consistent with organizational goals is the kind of effort we want from employees. - Persistence • Finally, motivation includes a persistence dimension. We want employees to persist in putting forth effort to achieve those goals.

how we measure performance - 2 ways

- Productivity: the amount of goods or services produced divided by the inputs needed to generate that output - Organizational effectiveness: a measure of how appropriate organizational goals are and how well those goals are being met

kinds of competitive advantages

- Quality - Design thinking - Social media

6 steps in strategic management process - short answer - list and define steps

- Step 1: Identifying the Organization's Current Mission, Goals, and Strategies - Step 2: Doing an External Analysis - Step 3: Doing an Internal Analysis - Step 4: Formulating Strategies - Step 5: Implementing Strategies - Step 6: Evaluating Results

Types of Plans

- Strategic Plans - Operational Plans

why people resist change?

- Uncertainty - Habit - Fear of loss - Belief change is inconsistent with goals of organization

Growth Strategy

- a corporate strategy that's used when an organization wants to expand the number of markets served or products offered, either through its current business(es) or through new business(es) • Concentration • Vertical integration • Horizontal integration • Diversification

empathy

- a dimension of emotional intelligence - The ability to sense how others are feeling.

Situational leadership theory (SLT)

- a leadership contingency theory that focuses on followers' readiness - Readiness: describes the degree to which job assignments are formalized and structured - Styles: • Telling (high task-low relationship) • Selling (high task-high relationship) • Participating (low task-high relationship) • Delegating (low task-low relationship)

path goal leadership theory

- a leadership theory that says the leader's job is to assist followers in attaining their goals and to provide direction or support needed to ensure that their goals are compatible with the goals of the group or organization - Behaviors: • Directive leader • Supportive leader • Participative leader • Achievement-oriented leader

Organizational communication

- all the patterns, networks, and systems of communication within an organization

Strategic Plans

- apply to the entire organization and establishes overall goals - usually long-term, directional, and single use - broad - upper-level managers do strategic planning

4 criteria for plans

- breadth - strategic vs. operational - time frame - short-term vs. long-term - specificity - directional vs. specific - frequency of use - single use vs. standing

organizational development

- change methods that focus on people and the nature and quality of interpersonal work relationships - seeks to bring about changes in the organization's people and make them work together better

Downward flow of communication

- communication that flows downward from a manager to employees - Town hall meeting: informal public meetings where information can be relayed, issues can be discussed, or employees can be brought together to celebrate accomplishments

kinds of growth strategies

- concentration - Vertical integration - horizontal integration - Diversification

corporate strategy

- determines what businesses a company is in or wants to be in, and what it wants to do with those businesses • growth • Stability • Renewal

forces for change (external and internal)

- external • Changing consumer needs and wants • New governmental laws • Changing technology • Economic changes - internal • New organizational strategy • Change in composition of workforce • New equipment • Changing employee attitudes

information overload as an example of barriers to good communication

- information overload is when information exceeds our processing capacity - for example, a manager goes on a sales trip for a week where he doesn't have access to his email and faces 1,000 messages on his return

Operational Plans

- plans that encompass a particular operational area of the organization - usually short-term, specific, and standing - narrow - For the most part, lower-level managers do operational planning

Management By Objective (MBO's)

- setting mutually agreed upon goals and using them to evaluate employee performance

innovation

- taking creative ideas and turning them into useful products or work methods - First mover: an organization that's first to bring a product innovation to the market or to use a new process innovation

reinforcement theory

- the theory that behavior is a function of its consequences - Reinforcers: consequences immediately following a behavior, which increase the probability that the behavior will be repeated

strategic management

- what managers do to develop the organization's strategies. - Strategies: the plans for how the organization will do what it's in business to do, how it will compete successfully, and how it will attract and satisfy its customers in order to achieve its goals - Business model: how a company is going to make money - Upper level - transactional

MBO programs have four elements:

1. goal specificity 2. participative decision making 3. an explicit time period 4. performance feedback

Vertical integration

A company also might choose to grow by vertical integration, either backward, forward, or both. In backward vertical integration, the organization becomes its own supplier so it can control its inputs.

Individual behavior

Based predominantly on contributions from psychologists, this area includes topics such as attitudes, personality, perception, learning, and motivation

Equity theory

Equity theory: The theory that an employee compares his or her job's input-outcomes ratio with that of relevant others and then corrects any inequity

feedback

Many communication problems are directly attributed to misunderstanding and inaccuracies. These problems are less likely to occur if the manager gets feedback, both verbal and nonverbal. A manager can ask questions about a message to determine whether it was received and understood as intended.

horizontal integration

a company grows by combining with competitors.

Renewal Strategy

a corporate strategy designed to address declining performance

Stability Strategy

a corporate strategy in which an organization continues to do what it is currently doing

Autocratic style leader

a leader who dictates work methods, makes unilateral decisions, and limits employee participation

Democratic style leader

a leader who involves employees in decision-making, delegates authority, and uses feedback as an opportunity for coaching employees • Participative

Laissez-faire style leader

a leader who lets the group make decisions and complete the work in whatever way it sees fit

locus of control

a personality attribute that measures the degree to which people believe they control their own fate

Leadership

a process of influencing a group to achieve goals

renewal retrenchment

a short-run renewal strategy used for minor performance problems. This strategy helps an organization stabilize operations, revitalize organizational resources and capabilities, and prepare to compete once again.

management by walking around

a term used to describe when a manager is out in the work area interacting directly with employees

Charismatic leader

an enthusiastic, self-confident leader whose personality and actions influence people to behave in certain ways. Ex. Jeff Bezos - Amazon

self-esteem

an individual's degree of like or dislike for himself or herself

noise

any disturbances that interfere with the transmission, receipt, or feedback of a message

Cognitive dissonance

any incompatibility or inconsistency between attitudes or between behavior and attitudes

Interpersonal communication

communication between two or more people

Diagonal communication

communication that cuts across work areas and organizational levels

Upward communication

communication that flows upward from employees to managers

Lateral communication

communication that takes place among any employees on the same organizational level

Feedback control

control that takes place after a work activity is done

Feedforward control

control that takes place before a work activity is done

Concurrent control

control that takes place while a work activity is in progress

Diversification

either related or unrelated. Related diversification happens when a company combines with other companies in different, but related, industries. Unrelated diversification is when a company combines with firms in different and unrelated industries.

attitudes

evaluative statements, either favorable or unfavorable, concerning objects, people, or events

concentration

focuses on its primary line of business and increases the number of products offered or markets served in this primary business.

job enlargement

horizontal expansion of a job by increasing job scope

Input

is measured by the costs of acquiring and transforming resources into outputs.

Output

is measured by the sales revenue an organization receives when goods are sold (selling price × number sold)

Authentic leadership

leaders who know who they are, know what they believe in, and act on those values and beliefs openly and candidly. Frank Blank - Home Depot

Transactional leaders

leaders who lead primarily by using social exchanges (or transactions). Bill Gates - Microsoft

Transformational leaders

leaders who stimulate and inspire (transform) followers to achieve extraordinary outcomes. Ex: Elon Musk - Tesla

definition of controlling

management function that involves monitoring, comparing, and correcting work performance

Step 1: Identifying the Organization's Current Mission, Goals, and Strategies

mission - the purpose of an organization

Referent power

power that arises because of a person's desirable resources or personal traits

Expert power

power that's based on expertise, special skills, or knowledge

being a change agent

someone who acts as a catalyst and assumes the responsibility for managing the change process

being a team leader v. notion of power

team leader responsibilities include coaching, facilitating, handling disciplinary problems, reviewing team and individual performance, training, and communication

Visionary leadership

the ability to create and articulate a realistic, credible, and attractive vision of the future that improves upon the present situation. Ex. Michael Dell - Dell Computer and again Elon Musk - Tesla

Behavior

the actions of people

stress

the adverse reaction people have to excessive pressure placed on them from extraordinary demands, constraints, or opportunities

McGregor's Theory Y

the assumption that employees are creative, enjoy work, seek responsibility, and can exercise self-direction

McGregor's Theory X

the assumption that employees dislike work, are lazy, avoid responsibility, and must be coerced to perform

organizational commitment

the degree to which an employee identifies with a particular organization and its goals and wishes to remain in that organization

Job involvement

the degree to which an employee identifies with his or her job, actively participates in it, and considers his or her job performance to be important to self-worth

White water rapids metaphor

the lack of environmental stability and predictability requires that managers and organizations continually adapt and manage change actively to survive

job scope

the number of different tasks required in a job and the frequency with which those tasks are repeated

Legitimate power

the power a leader has as a result of his or her position in the organization

Reward power

the power a leader has to give positive rewards

Coercive power

the power a leader has to punish or control

conflict manager

the process of limiting the negative aspects of conflict while increasing the positive aspects of conflict. The aim of conflict management is to enhance learning and group outcomes, including effectiveness or performance in organizational setting

Mission

the purpose of an organization

Organizational behavior

the study of the actions of people at work

Communication

the transfer and understanding of meaning

job enrichment

the vertical expansion of a job by adding planning and evaluating responsibilities

job design

the way tasks are combined to form complete jobs

Traditional goal setting

top managers set goals - flow down through organization and become subgoals for each organizational area