Management Chapter 15

Organizational Commitment

Loyalty to and heavy involvement in one's organization

Legitimate power

Power coming from a formal management position in an organization and the authority granted to it

expert power

Power resulting from a person's special knowledge or skill regarding the tasks being performed

position power

The traditional manager's power comes from the organization. The manager's position gives him or her the power to reward or punish subordinates to influence their behavior. Legitimate power, reward power, and coercive power are all forms of position power used by managers to change employee behavior

Organizational citizenship

Work behavior that goes beyond job requirements and contributes as needed to the organization's success

Extrinsic rewards

are given by another person, typically a manager, and include promotions, pay increases, and bonuses

Transformational leaders

are similar to charismatic leaders, but they are distinguished by their special ability to bring about innovation and change by recognizing followers' needs and concerns, helping them look at old problems in new ways, and encouraging them to question the status quo

Intrinsic rewards

are the satisfactions a person receives in the process of performing a particular action

Situational Theory

A contingency approach to leadership that links the leader's behavioral style with the task readiness of subordinates.

Contingency Approach

A model of leadership that describes the relationship between leadership styles and specific organizational situations.

Leadership Grid

A two-dimensional leadership theory that measures the leader's concern for people and for production. Developed by University of Texas

Leadership Styles

According to the situational theory, a leader can adopt one of four leadership styles, based on a combination of relationship (concern for people) and task (concern for production) behavior

Transactional leaders

clarify the role and task requirements of subordinates, initiate structure, provide appropriate rewards, and try to be considerate to and meet the social needs of subordinates. The transactional leader's ability to satisfy subordinates may improve productivity

Referent power

comes from an individual's personal characteristics that command others' identification, respect, and admiration so they wish to emulate that individual. Referent power does not depend on a formal title or position

Organizational behavior

commonly called OB, is an interdisciplinary field dedicated to the study of human attitudes, behavior, and performance in organizations. OB draws concepts from many disciplines, including psychology, sociology, cultural anthropology, industrial engineering, economics, ethics, and vocational counseling, as well as the discipline of management

University of Michigan studies

compared the behavior of effective and ineffective supervisors. The most effective supervisors were those who focused on the subordinates' human needs to "build effective work groups with high performance goals." The Michigan researchers used the term employee-centered leadersfor leaders who established high performance goals. and displayed supportive behavior toward subordinates. The less-effective leaders were called job-centered leaders; these leaders tended to be less concerned with goal achievement and human needs in favor of meeting schedules, keeping costs low, and achieving production efficiency

Content theories

emphasize the needs that motivate people. At any point in time, people have a variety of needs. These needs translate into an internal drive that motivates specific behaviors in an attempt to fulfill the needs

charismatic leader

has the ability to inspire and motivate people to do more than they would normally do, despite obstacles and personal sacrifice. Followers are willing to put aside their own interests for the sake of the team, department, or organization

Ohio State University studies

identified two major behaviors: consideration and initiating structure. Consideration falls in the category of people-oriented behavior and is the extent to which the leader is mindful of subordinates, respects their ideas and feelings, and establishes mutual trust. Considerate leaders are friendly, provide open communication, develop teamwork, and are oriented toward their subordinates' welfare. Initiating structureis the degree of task behavior, that is, the extent to which the leader is task oriented and directs subordinate work activities toward goal attainment. Leaders with this style typically give instructions, spend time planning, emphasize deadlines, and provide explicit schedules of work activities

participating style

is based on a combination of high concern for people and relationships and low concern for production tasks. The leader shares ideas with subordinates, gives them a chance to participate, and facilitates decision making

selling style

is based on a high concern for both people and tasks. With this approach, the leader explains decisions and gives subordinates a chance to ask questions and gain clarity and understanding about work tasks

Leadership

is the ability to influence people toward the attainment of goals. This definition captures the idea that leaders are involved with other people in the achievement of goals. Leadership is reciprocal, occurring among people. Leadership is a "people" activity, distinct from administrative paper shuffling or problem-solving activities

Perception

is the cognitive process people use to make sense out of the environment by selecting, organizing, and interpreting information from the environment. Because of individual differences in attitudes, personality, values, interests, and so forth, people often "see" the same thing in different ways

Humility

means being unpretentious and modest rather than arrogant and prideful. Humble leaders don't have to be in the center of things

personal power

most often comes from internal sources, such as an individual's special knowledge or personal characteristics. Personal power is the primary tool of the leader, and it is becoming increasingly important as more businesses are run by teams of workers who are less tolerant of authoritarian management. Two types of personal power are expert power and referent power

coercive power

refers to the authority to punish or recommend punishment

Motivation

refers to the forces either within or external to a person that arouse enthusiasm and persistence to pursue a certain course of action. Employee motivation affects productivity, and part of a manager's job is to channel motivation toward the accomplishment of organizational goals

telling style

reflects a high concern for tasks and a low concern for people and relationships. This highly directive style involves giving explicit directions about how tasks should be accomplished

delegating style

reflects a low concern for both relationships and tasks. This leader style provides little direction and little support because the leader turns over responsibility for decisions and their implementation to subordinates

reward power

stems from the authority to bestow rewards on other people. Managers may have access to formal rewards, such as pay increases or promotions

Two basic leadership behaviors identified as important for leadership

task-oriented behavior and people-oriented behavior