OD Final

The Design of Jobs

-5 core job dimensions help in evaluating extent team is self‐managed. -Organization structure modified to accommodate teams. -Team provides their own management. -Fewer support staff because team performs these jobs.

Job Enrichment Theory increases:

-Achievement. -Recognition. -Responsibility. -Advancement. -Challenge.

A goal is:

-Anything an individual is trying to accomplish (direction/purpose) -The object of action.

Techniques to Improve Motivation Factors

-Arrange job into natural and complete units. -Add more difficult assignments. -Grant additional authority. -Employees become experts in areas. -Make information directly available. -Remove controls while still holding employee accountable. -Extrinsic rewards are important but in themselves not motivators. -Improve both quality of jobs and rewards.

Reward Systems

-Based on team performance. -Rewards may be given to team and team decides how to distribute rewards. -Teams small enough for individual's performance: To be reflected in his/her paycheck and the paycheck of everyone else on the team.

1. Manage change (manageable risk).

-Change important and compatible with culture. -Use cultural reinforcement as strategies.

3. Manage around culture (manageable risk).

-Change important and incompatible with present culture. -Reinforce value system, reshuffle power, use leverage in the organization.

4. Change strategy to fit culture (unacceptable risk).

-Change important but incompatible with culture. -Changing culture is explosive, long‐term process that may be impossible.

Reasons for Large‐Scale Cultural Changes

-Company has strong values that do not fit changing environment. -Industry competitive and changes quickly. -Company mediocre or worse. -Firm about to join ranks of very largest. -Firm small but growing rapidly.

Cautions in Cultural Change

-Cultural change can be difficult and time consuming. -Should be attempted only after less‐difficult solutions have been ruled out.

Trends in organizations are:

-Decrease in staff positions. -Decentralization. -Decision‐making authority being pushed down to lowest levels. Design of jobs changing to meet demands of organizations.

Through Goal Setting Model

-Difficult and specific goals are developed. -Commitment of goals achieved -Overcome resistance to goals -Period of performance when management support and feedback is given. -Employees may require additional resources. -Managers and employees may need to develop action plans. -Managers provide timely and objective feedback.

Major Findings of Goal‐Setting Theory

-Difficult goals produce better performance. -Specific hard goals better than "do your best." -People may abandon goals if too hard. -Participation increases commitment to goals. -Feedback about accomplishment improves performance. -Education and position in organization does not predict success. -Goal‐setting in teams deserves special consideration. -Support of management is critical.

Results of MBO

-Difficult to measure success of MBO. -Different approaches to MBO mean lack of consistency. -Absence of current research provides measure of declining use. -Research has reported mixed results.

Upper Management or Support Team

-Does general planning. -Makes broad goals. -Deals with outside parties.

2. Reinforce culture (negligible risk).

-Forge vision that emphasizes shared values. -Reinforce existing culture.

Criticisms of MBO

-Implementing MBO is expensive and time‐consuming. -Traditionally limited to managerial and professional employees where costs can be justified -Joint goal-setting among unequals is difficult and may not be possible. -MBO may be too quantitative -Areas that cannot be quantified may be ignored. -MBO may be implemented as top dictating to bottom. -Some OD practitioners question if MBO is OD intervention

What is Total Quality Management (TQM)

-Improving quality of organization's product or service. -It is an organizational strategy committed to improving customer satisfaction. -Develops techniques to carefully manage output quality.

Core Characteristics of Culture

-Individual autonomy. -Sensitivity to customers and employees. -Managers provide support and assistance. -Employees initiate new ideas. -Openness of communication channels. -Risk‐seeking encouraged.

Two closely related theories of job design:

-Job characteristics theory. -Job enrichment theory.

Cautions (Warning Signs) in Using Self‐Managed Work Teams

-May not be appropriate to task, people, and context. -Managers and leaders may be vague about roles. -Lack of training can cause teams to fail.

Goal Setting Model. Commitment to goals achieved by:

-Mutual trust in and by upper management. -Support by management. -Care given to competition between employees and teams.

Organizational Transformation

-OD strategies represent more gradual approaches to strategic change. -OT approaches are drastic and abrupt change. OT may or may not be developmental. -OT tends to use directive, not participative, approaches to change. -Usually top‐down, top‐management driven. -OT shaped by use of power rather than collaboration. -Due to immediate threat, this may be only way for organization to survive.

Results of OT

-OT may be best or only way to bring back an organization under immediate threat. -OT more likely to be used by externally recruited managers. -OT is risky and outcome is uncertain.

Characteristics of TQM

-Organization wide. -Top support. -TQM part of the culture. -Partnership with customers and suppliers. -Everyone in organization is a customer. -Reduced cycle time. -Techniques range in scope. -Do it right the first time. -Organization values and respects everyone. -Designed to fit organization.

Goal setting may be:

-Organization‐wide. -Department‐wide. -Individual. -Integration of the three.

Line Workers Are:

-Planning. -Organizing. -Controlling. -Directing.

Results of Job Design Programs

-Research on job design generally favorable and bear out validity of theories. -Additional research is warranted.

Strategic Change Management

-Seeks to align organization's strategy, structure, and human resources to fit environment. -Parts of system in perpetual interaction with environment.

Vision involves several stages

-Share the vision. -Empower the individual. -Develop trust. -Reward performance.

Organizational Transformation Requires:

-Shared vision. -Willingness to clean house. -Restructure. -Tackle many problems.

Goal Setting Model. Overcome resistance to goals by providing:

-Special training if required. -Effective reward and incentive system. -Participation by employees in setting goals.

Characteristics of Self‐Managed Work Teams

-Structure has few management levels. -Lack of status symbols. -Functional boundaries that member can identify. -Number of team members usually 5 to 15. -Team orders material and equipment. -Team has sense of vision. -Partnership among members and management. -Diversity in members' viewpoints. -Information openly shared. -Members knowledgeable in their areas.

Strategy and Transfomation

-Success can work against a company when it looses touch with customers. -Radical changes may be only choice for organization in desperate need of change.

The Corporate Culture

-System of shared values held by members that distinguishes one organization from another. -CEO and managers' actions, not words, produce culture. -A culture is organization's major strength when consistent with strategies.

TQM and OD Have Similar Values

-TQM may not be part of OD program. -TQM as stand‐alone program assumes problems and solutions relate to quality. -OD practitioner guards against being "quality expert." -OD program may include TQM as one of techniques.

Method for improving jobs

-Take fractionalized tasks and put together. -Form natural work units. -Allow employee to have direct contact with people using product or service. -Allow an employee to decide on: work methods, budgets, and managing crises. -Establish feedback channels so employees can learn how they are performing.

Coordinator or External Leader

-Teacher and facilitator. -Helps team obtain resources.

Job Characteristics Model (Theory)

-Theory attempts to develop objective measures of job characteristics that can directly affect employee attitudes and work behaviors

Council

-Used in some organizations to deal with organization wide concerns. -Composed of representatives.

Strategy‐Culture Matrix-Four basic alternatives in determining strategy changes:

1. Manage change (manageable risk). 2. Reinforce culture (negligible risk). 3. Manage around culture (manageable risk). 4. Change strategy to fit culture (unacceptable risk).

Four Change Strategies

1. Participative evolution. 2. Charismatic transformation. 3. Forced evolution. 4. Dictatorial transformation.

Steps in MBO Process (How to implement)

1. Subordinate proposes: - Specific goals. -Ways to measure them for designated time period 2. Subordinate and superior jointly develop mutually agreed upon goals. 3. Period of performance. 4. Feedback of results with comparison between actual performance and goals 5. Previous step sets stage for recycling of goal setting process

Organizations Composed of 3 Systems Strategic Management

1. Technical 2. Political 3. Cultural

Three Levels of Management in Team

1. Upeer Management 2. Coordinator or External Leader 3. Team leader -Councils.

A criticism of management by objectives is that it _____.

1. is questionable if joint goal setting among unequals such as manager and subordinate is possible 2. is often difficult to state goals explicitly and quantifiable for all facets of a job 3. Requires large quantities of time, money, and effort to be succesful (All of the above)

Large‐Scale Change Model-Model based on 3 key dimensions:

1.Time frame of change—short or long. 2.Level of support of organizational culture. 3.Degree of discontinuity with environment.

Strong culture.

Basic values intensely held and widely shared.

Messages for organizations is clear:

Change or face elimination

Underlying Purposes of MBO

Clarify organization's goals and plans at all levels. Gain better motivation and participation from organization's members.

Ch 12

Goal Setting For Effective Organizations

Large‐Scale Change Strategies

Incremental Approach Transformational Change

Job Design

Involves changing jobs to improve satisfaction and productivity and looks at production line work and work in general.

Internal Leader

Makes sure equipment and supplies are available.

The process aimed at the integration of individual and organization goals is _____.

Management by Objectives (MBO).

Sharing the Vision

Management theorists feel vision is essence of leadership.

How MBO Works

Manager and subordinate jointly identify common goals. Define major areas of responsibilityin terms of results expected. Use measurements as guides for operating and assessing contributions.

Weak culture.

May be seen in young company or one with high turnover.

Motivational Potential Based on Formula

Motivational Potential Score (MPS) = ((skill variety + task identity = task significance) / (3)) X autonomy X job feedback

Ch 15

Organization Transformation and Strategic Change

Culture

Set of values for setting priorities. Critical factor in implementation of strategy.

According to the Job Characterstics Model (Theory), work motivation and satisfaction are affected by 5 core job dimensions:

Skill variety, task identity, task significance,autonomy, and job feedback Jobs that measure high on preceding 5 dimensions produce increased outcomes.

Three Steps to Strategic Change

Step 1: Develop image of desired organization. Step 2: Separate systems and intervene separately in each one. Step 3: Plan for reconnecting three systems.

Strategy Culture Fit

Strategy and Culture

Culture is product of key components:

Structure, systems, people, and style.

1. Participative evolution

This incremental strategy is used to keep an organization in sync with its environment in anticipation of changes, when minor adjustments are needed, and when sufficient time is available.

3. Forced evolution

This strtegy is used to make minor adjustments over longer periods but without the support of the organization's culture

4. Dictatorial transformation

This transformation change strategy is used in time of crisis, when a major restructuring is needed that may run counter to the entrenched interest of the internal culture.

2. Charismatic transformation

This transformation strategy is used to accomplish radical change in a short time frame, with support from the organization's culture

Ch 13

Work Team Development

Many variables involved in Job Design

Worker Nature of work Organizational Manager's style

Goal Setting Theory

a process intended to increase efficiency and effectiveness by specifying the desired outcomes toward which individuals, teams, and the organization should work

Management By Objectives (MBO)

a technique used by organizations to set goals. It is a process aimed at the integration of individual and organizational goals. A system to help in planning, organizing, problem‐ solving, and motivating. Involves participation of subordinates and their managers. Both parties set and clarify goals for subordinates.

Self‐Managed Work Teams

autonomous group whose members decide how to handle their tast. It is composed of people from different parts of the organization with different skills. Teams may be permanent or temporary.

In order for goals to produce better performance, they should _____.

be both specific and difficult to achieve.

Participation by those responsible for attaining the goal is important because _____.

commitment and job satisfaction will be higher than when the goals are imposed.

The Technical System

designed to solve the org's production problems. It includes the mission, strategy, and organizational structure necessary to become effective.

The cultural Stystem

designed to solve the value/belief problem: what values members share, what objectives should be pursued, and so forth.

Current changes in work design include _____.

designing the work of employees so as to improve productivity and employees' job satisfaction

Organizational Transformation Definition

drastic, abrupt change to total structures, managerial processes, and corporate cultures.

Job Enrichment Theory

holds that jobs should be redesigned to improve the motivators related to a job by permitting employees to attain more responsibility and achievement

What may happen if goals are too difficult?

people may abandon them

Strategy

refers to a course of action used to achieve major objectives. Relates resources of organization to opportunities in environment.

Transformational Change

refers to immediate drastic change accomplished by directive methods.

Incrememental Approach

refers to long term planned change that relies upon collaboration and participation by organization members.

When implenmenting a goal setting program _____.

relevant and specific feedback is important.

The Political System

resolves the allocation problem: hot to distribute resources and power, including reward system, career succession, budgets, and power structure.

5 dimensions that help in evaluating the degree to which a work team is genuinely a self-manged work team

skill variety, task identity, task significance, autonomy, and job feedback

Managers provide support and assistance

the degree of assistance and warmth provided by managers

Openness of communication channels

the degree of freedom of communication between members and teams and levels

Individual Autonomy

the degree of responsibility, independence, and opportunities for exercising initiative for members of the organization

Sensitivity to customers and employees

the degree of responsiveness to changing needs

Skill Variety

the degree to which a job requires a mix of activities and involves the use of different skills and talents

Job Feedback

the degree to which carrying out the work activities required by the job results in workers obtaining direct and clear information about the effectiveness of their performance.

Employees initiate new ideas

the degree to which employees are encouraged and empowered to come up with better quality and productivity suggestions

Risk‐seeking encouraged

the degree to which members are encouraged to be aggressive, innovative, and risk seeking

Autonomy

the degree to which the job gives the worker freedom, independence, and discretion in scheduling the work and determining the procedures to be used in carrying it out

Task Significance

the degree to which the job has a substantial impact on the lives of other people, whether in the same organization or in the external environment

Task Identity

the degree to which the job requires completion of a whole and identifiable piece of work

Purpose of Job Characteristics Model (Theory):

to directly affect employee attitudes and work behaviors.