management chapter 4

Internal Business Perspective

"at what must we excel?" considers productivity, efficiency, quality, and safety a goal of this perspective would concentrate on changes to the processes involved in production. it could be measured by using data from the ERP system to look into the success levels of company processes

Innovation and Learning Perspective

"can we continue to improve and create value?" considers employees' attitudes, turnover, resource capabilities, and organizational culture a goal of this perspective would focus on providing enhanced training opportunities for employees. it could be measured by looking at changes in the skill level of employees

Customer Perspective

"how do customers see us?" considers customer satisfaction and rentention a goal of this perspective would focus on the level of customer service. it could be measured by looking at the results of an online customer satisfaction survey

Financial Perspective

"how do we look to shareholders?" considers budgets, financial statements, and financial ratios the goal of this perspective would be an increase in sales and could be measured by looking at annual sales figures

5 stages a group can evolve into a team

1 forming 2 storming 3 norming 4 performing 5 adjourning

Deming management principles

1. Quality should be aimed at the needs of the consumer 2. Companies should aim at improving the system, not blaming workers 3. Improved quality leads to increased market share, increased company prospects, & increased employment 4. Quality can be improved on the basis of hard data, using the PDCA (plan-do-check-act) cycle

6 reasons control is needed

1. To adapt to change & uncertainty 2. To discover irregularities & errors 3. To reduce costs, increase productivity, or add value 4. To detect opportunities 5. To deal with complexity 6. To decentralize decision making & facilitate teamwork

4 basic skills for leaders

1. cognitive abilities: identify problems and their causes in rapidly changing situations 2. interpersonal skills: influence and persuade others 3. business skills: maximize the use of organizational assets 4. strategic/conceptual skills: draft an organization's mission, vision, strategies, and implementation plans

control process steps

1. establish standards-a control standard is the desired performance level for a given goal "what is the outcome we want?" 2. measure performance based on written reports, oral reports, and personal observation "what is the outcome we got?" 3. compare performance to standards "how do the desired and actual outcomes differ?" 4. take corrective action, if necessary- only if there is a negative performance "what changes should we make to obtain desirable outcomes?"

5 key qualities that humble leaders tend to display

1. high self awareness 2. openness to feedback 3. appreciation of others 4. low-self focus 5. appreciation of the greater good

6 sources of power

1. legitimate 2. reward 3. coercive 4. expert 5. referent 6. informational

4 devices for stimulating constructive conflict

1. spurring competition among employees 2. changing the organization's culture and procedures 3. bringing in outsiders for new perspectives 4. using programmed conflict to elect different options without inciting people's personal feelings

8 considerations for managers when building a group into an effective team

1. they must ensure individuals are collaborating 2. they must establish a climate of trust 3. they must establish measurable performance goals and have feedback about members' performance 4. they must motivate members by making them mutually accountable to one another 5. they must consider team composition 6. they must consider the role each team member must play 7. they must consider team norms 8. they must have effective team processes

9 influence tactics

Rational persuasion Inspirational appeals Consultation Ingratiating tactics Personal appeals Exchange tactics Coalition tactics Pressure tactics Legitimating tactics

Total Quality Management (TQM)

a comprehensive approach - led by top management and supported throughout the organization - dedicated to continuous quality improvement, training, and customer satisfaction two core principles are people-orientation and improvement orientation requires training, teamwork, and cross-functional efforts

employee tracking and monitoring

advantages: uncovering problems, reducing instances of employees waisting time, highlighting bottlenecks, and enforcing safety practices disadvantages: privacy concerns, employee retainment issues, and data vulnerability

obliging

allowing the desires of the other party to prevail appropriate when its possible to get something in return or when the issue isn't important to you

behavioral leadership approaches

attempt to determine the unique behaviors displayed by effective leaders task-oriented and relationship-oriented

5 Conflict-Handling Styles

avoiding obliging dominating compromising integrating

legitimating tactics

basing a request on one's authority or right, organizational rules or policies, or express or implied support from superiors most effective to use when convincing organizational leaders about matters that impact worker's safety

situational/contingency approach

believe that effective leadership behavior depends on the situation at hand-that as situations change, different styles become effective ex. Fielder Contingency leadership model, House's path-goal leadership model

comprimising

both parties give up something to gain something appropriate when both sides have opposite goals or possess equal power

artificial intelligence (AI)

can be used to reduce errors and defects, increase productivity, and enhance supply chain management

preforming

characterized by members concentrating on solving problems and completing the assigned task ex. Members of your 8-person team break off into smaller groups of 2 or 3 & work on their sub-groups individual tasks.

storming

characterized by the emergence of individual personalities and roles and conflicts within the group ex. Members seem to be coming out of their shells, grouping into small alliances, and even arguing about the group's goals.

intergroup conflict

clashes among work groups, teams, and departments can be expressed by inconsistent goals or reward systems, ambiguous jurisdictions, and status differences

cross-cultural conflict

clashes between cultures arises from dealing with differing assumptions about how to think and act

envy conflict

conflict based on a feeling of inferiority and resentment cause by comparing yourself with a person or group who possess something you desire source of conflict because it can threaten self esteem and promotes the attitude of injustice

pressure tactics

demanding compliance or using intimidation or threats ex. announcing a company would cease to business with any other companies that used its software to sell semi-automatic weapons

Full-Range Leadership

describes leadership along a range of styles (from passive to transactional to transformational), with the most effective being transactional/transformational leaders

Fielder Contingency Leadership Model

determines if a leaders style is task or relationship oriented and if the style is effective for the situation at hand

informal communication channels

develop outside the formal structure and do not follow the chain of command 2 types: 1. grapevine: unofficial communication system of the informal organization 2. face to face communication

leader-member exchange model of leadership (LMX)

emphasizes that leaders have different sorts of relationships with different subordinates

transformational leadership and its 4 key behaviors

encourages employees to nurse organizational goals over self-interest and is influenced by leaders' individual characteristics and an organizational culture 1. inspire motivation 2. inspire trust 3. encourage excellence 4. stimulate employees intellectually

people orientation

everyone involved in the organization is asked to focus on delivering value to customers, focusing on quality

listening

ex. alicia is leading a task force on increasing customer satisfaction. she takes the time to learn about her teammates' views and suggestions and incorporates their input into her final decision

persuasion

ex. as a leader you try to avoid influencing others with your title or ability to punish them. instead, you think it's a much better strategy to gently coat people using objective facts

foresight

ex. sal knows that he can aggressively push his sales team to meet their goals in the last few days of the month, but he realizes also that doing this will likely cause them to sell next month due to fatigue

healing

ex. you are feeling incredibly defeated about losing out on a promotion to another team member. your mentor spends a lot of time discussing this with you and explaining the objective reasons the other person got the promotion and the opportunities you can look forward to in the next year

awareness

ex. your boss congratulates you on the great job you're doing with the company's international divisions. she reminds you that one of the main reasons she hired you was for your international experience, which is something she lacks

building community

ex. your boss does an excellent job bringing people together, helping them to realize their common goals, and getting them to cooperate at work

commitment to the growth of people

ex. your company leaders offer an extensive leadership development and executive education program to employees

stewardship

ex. your parents are leaving town for two months. you are in college and mature, and they are confident in your ability to run the family business in their absence

conceptualization

ex. your supervisor has a knack for balancing short term objectives with the company's overarching goals

positive interpersonal attributes

extraversion agreeableness emotional intelligence

step 4-feedback

feedback is sent through some medium the process in which a receiver expresses his or her reaction to the sender's message

types of control

feedforward: focuses on prevents future problems, collects information about past performance in order to establish new standards concurrent: entails collecting performance information in real time, enables managers to measure performance and determine if employee behavior and organizational processes conform to regulations and standards feedback: collecting performance information after a task or project is done and then use that information to correct or improve future performance

servant leadership

focuses on increased service to others rather than to oneself

formal communication channels

follow the chain of command and are recognized as official 3 types: 1. vertical communication: the flow of messages up and down the organizational hierarchy 2. horizontal communication: the flow of messages is within and between work units 3. external communication: flows between people inside and outside of the organization

communication channels

formal informal

consultation

getting others to participate in planning, decision making, and changes ex. building a team that brings you solutions instead of challenges, listing to and collaborating with them

coalition tactics

getting others to support your effort to persuade someone ex. partnering with celebrities in order to build successful campaigns

ingratiating tactics

getting someone in a good mood prior to making a request ex. boeing airline is known for spending millions on lobbying aimed at influencing federal aviation policy and defense contracts

House Path-Goal Leadership Model

holds that the effective leader clarifies paths through which subordinates can achieve goals and provides them with support

avoiding

ignoring or suppressing a conflict appropriate for trivial issues

5 postive task-oriented traits

intelligence conscientiousness openness to experience emotional stability positive affect

step 5-noise

interference with communication any disturbance that interferes with the transmission or understanding of a message 4 key sources of noise: physical, psychological, semantic, and physiological

Personality conflict

interpersonal opposition based on personal dislike or disagreement begin with instances of workplace inactivity or employees' lack of regard for each other if not curtailed, can diminish job satisfaction and well-being while increasing stress, turnover, and withdrawal

exchange tactics

making explicit or implied promises and trading favors sometimes called a quid pro pro ex. CEO's making public commitments to suspend layoffs at their companies during COVID

controlling

monitoring performance, comparing it with goals, and taking corrective action as needed

negative interpersonal attributes

narcissism: self centered perspective, feelings for superiority, and a drive for personal power and glory machiavellianism: displays a cynical view of human nature and condones opportunistic and unethical ways of manipulating people, putting results over people psychopathy: characterized by the lack of concern for others, impulsive behavior, and a dearth of remorse when their actions harm others

improvement orientation and it's strategies

outsourcing-subcontracting of services and operations to an outside vendor reduced cycle time-reducing the number of steps in a work process statistical process control-statistical technique that uses periodic random samples from production runs to see if the quality is being maintained within a standards range of acceptability six sigma- a rigorous statistical analysis process that reduces defects in manufacturing and service-related processes ISO 9000- consists of quality-control procedures companies must install-from purchasing to manufacturing to inventory to shipping-that can be audited by independent quality-control experts or "registrars" ISO 14000 extended the concept to environmental performance

sender

person wanting to share information

informational power

power deriving from one's access to information people who are "in the know" these people can choose to withhold or release the information which can cause a toxic workplace

referent power

power deriving from one's personal attraction characterizes strong, visionary leaders who are able to persuade their followers through their charisma

expert power

power resulting from one's specialized information or expertise can be mundane (knowing work schedules and assignments) can be sophisticated (having computer or medical knowledge)

reward power

power that results from managers' authority to reward their subordinates all managers have the ability to give praise, pay raises, recognition, and promotions

legitimate power

power that results from managers' formal positions within the organization all managers have legitimate power over their employees, deriving from their position

relationship-oriented behaviors

primarily concerned with the leader's interactions with his or her people

conflict

process in which one party perceives that its interests are being opposed or negatively affected by another party too little conflict can lead to inactivity; too much conflict can lead to warfare can be dysfunctional, which has negative effects on an organization can also be constructive/functional, which benefits the main purposes of the organization and serves its interests

6 qualities leaders want followers to have

productive reliable honest cooperative proactive flexible

Kaplan and Norton's Balanced Scorecard model

provides managers with a fast but comprehensive view of the organization via 4 perspectives: 1. financial: budgets, financial statements, and financial ratios 2. customer: customer satisfaction and retention 3. internal-business: productivity, efficiency, quality, and safety 4. innovation and learning: employee attitudes, turnover, resource capabilities, and organizational culture

personal appeals

referring to friendship and loyalty when making a request or asking a friend to do a favor ex. calling on your network of close relationships to succeed at work

quality

refers to the total ability of a product or service to meet customer needs

ethical leadership

represents normatively appropriate behavior that focuses on being a moral role model

abusive supervison

represents supervisors' sustained verbal and non-verbal hostility towards subordinates

coercive power

results from managers' authority to punish their subordinates all managers have the ability to give verbal/written reprimands, demotions, fines, suspensions, and terminations

dominating/forcing

simply ordering an outcome, when a manager relies on their formal authority and power to resolve a conflict appropriate when an unpopular solution must be implemented and its not important that others commit to your viewpoint

leadership

the ability to influence employees to voluntarily pursue organizational goals

power

the ability to marshal human, informational, and other resources to get something done

empathy

the ability to recognize and understand another person's feelings and thoughts three types: 1. cognitive- identifying how another person feels and considering what they may be thinking 2. emotional- physically feeling what another feels 3. compassionate- not only grasp's a person's predicament and feel their feelings, but moved to help in some way ex. you didn't meet your sales quote last quarter. luckily you have an understanding manager who understands your shortfall was largely the result of things beyond your control

empowering leadership

the extent to which a leader creates perceptions of psychological empowerment in others

message

the information being sent

integrating

the manager strives to confront the issue and cooperatively identify the problem, generating and weighing alternatives and selecting a solution appropriate for complex issues plagued by misunderstanding

step 3-decoding

the message is decoded interpreting and trying to make sense of the message

step 1-encoding

the message is encoded and the medium is selected encoding is translating a message into understandable symbols or language

step 2-transmission

the message is transmitted through some medium

medium

the pathway by which a message travels

receiver

the person for whom the message is intended

forming

the process of getting oriented and getting acquainted ex. Members aren't very trusting of one another they are spending time assessing what their contribution will be to this particular group as this is currently unclear.

communication

the transfer of information and understanding from one person to another

task-oriented behaviors

those that ensure people, equipment, and other resources are used in an efficient way to accomplish the mission of a group or organization

inspirational appeals

trying to build enthusiasm by appealing to others' emotions, ideals, or values ex. using something like an acceptance speech to inspire people to be more accepting of others

rational persuasion

trying to convince someone with reason, logic, or facts ex. helping. insurance and financial services companies to make strategic choices and outperform competitors, starting with facts then justifying

groups

two or more freely interacting individuals who share collective norms can be formal (established to do something productive for the organization and headed by the leader) or informal (formed by people seeking friendship with no officially appointed leader) management-directed

teams

two or more individuals committed to a common purpose, performance goals, and approach for which they hold themselves mutually accountable various types: work, project, cross-functional, self-managed, and virtual self-directed

contemporary control issues

using artificial intelligence to control employee tracking and monitoring

strategy map

visual representation of the four perspectives of the balanced scorecard that enables managers to communicate their goals so that everyone in the company can understand how their jobs are linked to the overall objectives of the organization

adjourning

when members prepare for disbandment ex. members get together to discuss what they have learned

norming

where conflicts are resolved, close relationships develop, and unity and harmony emerge ex. members decide on their regular meeting days/times, rules about tardiness or non-attendance, and set expectations regarding how they will interact with one another