Management 3010 - ch7-11 & 13

Maslow's Hierarchy of Needs

Lower-Order needs (extrinsic motivators) - Safety-security/Physiological. Higher-order needs (intrinsic motivators) - Social-belonging and upwards

Communication Style Differences

Men TEND to: • Use direct and declarative sentences. • Minimize conversational rituals. • Emphasize status, power, and independence. • Boast about accomplishments ("one-up" themselves). • Complain women talk too much. • Offer solutions quickly. Women TEND to: • Use indirect and empowering sentences. • Emphasize conversational rituals. • Express regret and seek balance and connection. • Minimize accomplishments ("one-down" themselves) • Complain men don't listen. • Speak of problems to promote consensus.

McClelland's Needs Theory

Most good managers are NOT high on nAch. High nPow and low nAff predict managerial careers. Good research support, but not very practical theory.

• Representative participation

- Workers represented by small group of employees who then participate in decision making. - Almost every country in Western Europe requires representative participation. - Two most common forms: Works councils Representatives on Board of Directors

What are the Stevens-simplified "team roles"?

• Leader • Task Expert • Harmonizer • Challenger

According to D. Keltner, author of The Power Paradox:

"Every time we experience power, we must confront perhaps the most important choice we will make in life—and it is one we make on a daily basis: we can act in ways that lead us to enjoy enduring power, have lasting influence in the world, and continue to be esteemed by others, or we can be seduced by the self-indulgent possibilities that power occasions." The path you choose in using power today, tomorrow and the next day, will ultimately determine what your eulogy will be at the end of your life: Leaders inspire, managers conspire!

three questions required for motivation to be high:

- "If I put in the effort, will it be recognized in how I'm evaluated?" - "If I'm recognized with a good evaluation, will it actually lead to some organizational reward?" - "If I get the organizational reward, is it something that's attractive or desirable to me?"

• Merit-Based Pay

- Allows employers to separate some pay based on performance. - Creates perception of relationship between performance and pay. - Limitations: Based on annual performance appraisals (which are largely subjective). Money available for the merit pool fluctuates. Unions resist them.

• Bonuses

- Annual bonus significant component of total compensation for many jobs. - Increasingly extended to lower-level employees: Many companies now routinely reward production employees with bonuses if profits improve. - Downside: employee bonuses by definition not fixed (vulnerable to cuts, etc.)

• Negative (or Deviant) Norms

- Antisocial behaviors that intentionally violate established norms and result in negative consequences for the organization, its members, or both. - Group norms can greatly influence deviant behavior. • Are violated norms seen as "central" or "peripheral"? • Interplay between group norms and cohesion?

5. Communication also provides information exchange to facilitate decision making:

- Communication provides information flows by transmitting needed data to identify and evaluate choices for making decisions.

• Employee Stock Ownership Plan (ESOP)

- Company plans in which employees acquire stock, often at below-market prices, as part of their benefits package. - Increases employee satisfaction and innovation: Employees psychologically experience greater sense of ownership. - Helps reduce unethical behavior.

• Profit-Sharing Plans

- Company-wide programs that distribute bonuses based on formula tied to company's profitability. - Have positive effects on employee attitudes toward the company. - Generate greater employee feelings of "psychological ownership."

• Evaluation of Variable Pay

- Do variable-pay programs increase employee motivation and productivity? Generally, yes, but that doesn't mean everyone is equally motivated by them.

4. Like emotional sharing, persuasion can be good or bad:

- Ex., if a leader tries to persuade a workgroup to enact the company's corporate social responsibility (CSR) mission, versus persuade them to break the law to meet a financial goal. - Persuasion can benefit or harm an organization.

• Deciding on basis for determining pay:

- Fixed pay programs (usually hourly or salaried) - Variable pay programs (pay fluctuates up or down): Piece-rate plans Merit-based pay Bonuses Profit sharing Employee stock ownership plans

• What does all of this mean?

- For individuals: Choose your job for reasons other than extrinsic rewards - For organizations: Provide intrinsic as well as extrinsic incentives

2. Communication provides feedback to clarify what people must do, how well they are doing it, and how they can improve:

- Formation of goals, feedback on progress, and reward for desired behavior, all require communication.

• Enactive mastery:

- Gaining relevant experience with task or job. - "Practice makes perfect."

• Arousal:

- Getting "psyched up" (emotionally aroused) to complete task. - Can hurt performance if person not component of task!

• Nonverbal Communication

- Includes body movements, the intonations or emphasis we give to words, facial expressions, and the physical distance between the sender and receiver. - Body language can convey status, level of engagement, and emotional state. • Automatic processing: relatively superficial consideration of evidence and information. - Takes little time and low effort, but lets us be easily fooled by a variety of tricks, like a cute jingle or glamorous photo. • Controlled processing: detailed consideration of evidence and information relying on facts, figures, and/or logic. - Requires significant effort and energy, but harder to fool someone who engages in it.

• Vicarious modeling:

- Increasing confidence by watching others. - Most effective when observers see the models as similar to themselves.

• Ingroups and Outgroups

- Ingroup favoritism occurs when we see members of our group as "better" than (or preferable to) others, and people not in our group as all the same. - Outgroups exist whenever there are ingroups, and are typically an identifiable group (but sometimes can simply be everyone who's not in the ingroup).

• Social Identity Threat

- Ingroups and outgroups pave the way for social identity threat, which is akin to stereotype threat. - Individuals believe they will be personally negatively evaluated due to their association with a devalued group, and they may lose confidence and performance effectiveness.

• Rules of thumb for determining choice of processing:

- Interest level - Prior knowledge - Personality - Message characteristics • Match your message to your audience

• Participative management

- Joint decision making. - Acts as a general cure for poor morale and low productivity. - Trust and confidence in leaders is essential. - Studies of participation performance have yielded mixed results.

• Verbal persuasion:

- Motivation through verbal conviction. - Pygmalion effects (self-fulfilling prophecies).

Need for Power

- Need to make others behave how you want, in a way they would not otherwise behave.

• Positive Norms

- One goal of every organization with corporate social responsibility (CSR) initiatives is for its values to hold normative sway over employees. - If employees align their thinking with positive norms, it will more likely impact outcomes in a constructive way. - Positive group norms may well beget positive outcomes, but only if other factors are present (e.g., cooperative and other positive group norms, personality differences, group identity and cohesion, etc.)

• The Challenge: Turning managers into team leaders

- Overcoming resistance to sharing power. - Countering strong influence of traditional autocratic and individualistic cultural values. - Learning to be comfortable with change and innovation. - Shifting leadership style to coaching and facilitating. - Developing capability to act as resource coordinator. - Developing team member KSAs to be an effective member with other managers on leadership teams.

money typically does NOT act to motivate employee job performance, because:

- Pay rarely ever made "contingent" on job performance - Money only matters up to a certain point • Key question: Do you pay employees for actual job performance, or do you simply pay them for their time?

• Piece-Rate Pay

- Pure piece-rate plans provide no base salary and pay only for what's produced. - Limitation: not feasible approach for many jobs. - Main concern for employees is their financial risk.

• Goal Setting and Ethics

- Relationship between goal setting and ethics is quite complex: if we emphasize goal attainment, we must balance potential ethical costs. - If we forgo task mastery and adopt avoidance techniques (so that we don't look bad), both of these can move us toward unethical choices.

1. Communication helps to manage other's behavior:

- Reporting hierarchies and formal guidelines. - Job descriptions and company policies. - Workgroup subtext (e.g., teasing or harassing, etc.)

• Cultural Barriers

- Semantics (word meanings differ in other languages and cultures) - Connotations (words imply different things in other languages and cultures) - Tones (tones can convey meaningful differences in other languages and cultures) - Conflict (tolerance for conflict and methods for resolving conflicts differ in other languages and cultures)

• Norms and Emotions

- Studies show that, in a task group, members' emotions influenced the group's emotions and vice versa. - Researchers also find that norms can impact how emotions are experienced for team members and for the group—that is, people come to interpret shared emotions the same way. • Norms and Culture - People in collectivist cultures have different group norms than people in individualist cultures. - But our orientation in the U.S. has been changing, even after many years of living in one society.

3. Communication aids emotional sharing (of feelings and fulfillment of social needs):

- Within group communication is a fundamental mechanism by which members show satisfaction and/or frustration.

Need for Affiliation

-Desire for friendly and close personal relationships.

Criticisms of Herzberg's Two-Factor Theory

-Weak methodology -No overall measure of satisfaction used -Relied heavily on self-reports -Participants had self-serving bias -Herzberg assumed, but never measured relationship between his definition of satisfaction and productivity.

How can managers best motivate their employees?

1. Avoid the "projection" trap (NOTE: People commit themselves for their reasons, but comply for yours....) 2. Don't assume one-size-fits-all (remember individual differences) 3. Make sure you get to know your employees

Typical MBO Elements:

1. Company-wide goals and objectives 2. Alignment (cascading) at all levels 3. Participatively set goals 4. Feedback on goal attainment 5. Incentives tied to goal success

Strategies to increase group cohesion:

1. Make the group smaller. 2. Encourage agreement with group goals. 3. Increase time members spend together. 4. Increase group status and admission requirements. 5. Stimulate competition with other groups (including identification of a significant "enemy"). 6. Give rewards to the group, not individuals. 7. Physically isolate the group.

Communication's major functions at work:

1. Management 2. Feedback 3. Emotional sharing 4. Persuasion 5. Information exchange

"Process" Theories of Motivation

1. Self Determination Theory 2. Goal Setting Theory 3. Self Efficacy Theory 4. Reinforcement Theory 5. Expectancy Theory 6. Equity Theory

Exhibit 11-4 Dealing with Gossip and Rumors

1. Share information you have (and don't). When communication is good, there's no need for rumors or gossip (be open if you don't know what others seek, and discuss when you will know and can follow up). 2. Explain, explain, explain. As a manager, discuss what decisions are made and why, as well as plans going forward. 3. Respond to rumors noncommittally, and then verify for yourself what's true. Make certain to gather all sides of the story. 4. Invite employees to discuss their concerns, ideas, suggestions, thoughts, and feelings. Help them frame their thoughts into more objective viewpoints.

• Diversity

: degree to which members of the group are similar to, or different from, one another. • But what basis for the diversity? - Are we talking about KSAs? - Or demographics and cultural differences? • Culturally and demographically diverse groups may perform better over time. - May help to be more open-minded and creative. • Faultlines occur when sub-groups (or factions) split off within the group (base on things like sex, race, age, work experience, education, etc.)

• Status and Norms

: high status people often have more freedom to deviate from norms. • Status and Group Interaction: high status people often are more assertive. • Status Inequity: perceived inequity creates disequilibrium which can lead to resentment and "corrective" behaviors. • Status and Stigmatization: stigmatized by association.

• Downward communication

: messages and information flow from one level to a lower level. - Assign goals, provide instructions, communicate policies and procedures, and provide feedback. - Downward communication best when it explains the reasons why a decision was made. - One problem is the one-way nature of downward communication.

• Upward communication

: messages and information flow to higher levels in the group or organization. - Provide feedback to higher-ups, inform them of progress, and relay current problems. • Communicate in headlines, not paragraphs. • Support headlines with actionable items. • Prepare an agenda to make sure you use your boss's attention well.

• Status

: socially defined position or rank given by others to groups or group members. - Status characteristics theory: status is derived from one of three sources: Power over others. Ability to contribute to collective goals. Personal characteristics.

• Groups

A group is defined as two or more individuals, interacting and interdependent, who have come together to achieve particular objectives. • Groups can be either formal or informal. - Formal groups: those defined by the organization's structure. - Informal groups: alliances that are neither formally structured nor organizationally determined.

referent power

Based on possession of desirable personal traits (like charisma).

Power:

Capacity of person A to influence behavior of person B so that B acts in accordance with A's wishes.

• Self-concordance:

Consistency between our reasons for pursuing a goal, and our interests and core values.

• Cohesiveness:

Degree to which team members like each other and are motivated to remain as members.

McClelland's Needs Theory

Drive to excel, achieve against some standards, strive to succeed.

Personal Power:

Established through a person's unique qualities or abilities, independent of whatever job title they have or resources they control. Personal power is more effective (people more likely to respond with enthusiasm and/or commitment).

Job Characteristics Model continued

Evidence shows that presence of the five core job characteristics generates better outcomes: • Skill Variety: - wide variety of activities - Task Identity: - completion of a whole/identifiable piece of work - Task Significance: - substantial impact on the lives of other people - Autonomy: - freedom and discretion over the work - Feedback (Intrinsic): - work itself gives clear information about job performance

• Job engagement:

Investment of employee's physical, cognitive, and emotional energies into job performance.

- Academic studies:

Job engagement positively associated with job performance and OCBs.

key insight

Key insight: Lasting power is not grabbed, but granted by others within a given social network.

Groupthink

Norm (or desire) for consensus that overrides the realistic assessment of alternative courses of action and critical thinking is suspended within the group.

-Bottom Line For McClelland's needs theory

People have different levels of needs in each of these 3 areas, which drive their behavior.

Self-Determination Theory.

People prefer control over their actions. People paid for work feel less like they want to do it and more like they have to it In addition to being driven by need for autonomy, people seek ways to achieve competence and positive connections to others

Motivation

Processes that account for direction, intensity, and persistence of effort toward goal attainment. ( you motivate others by focusing on their needs and benefits, not yours.

Reinforcement Theory

Reinforcement theory is an approach that views behavior as a function of its consequences. - Behavior is environmentally caused, and - Reinforcement conditions behavior • Operant conditioning theory means people learn to behave to get something they want or to avoid something they don't want (also known as "behaviorism") • Learning Theory assumes all behavior is shaped by its environmental consequences • Important terminology: - Reinforcement (both +/-) increases probability of a behavior - Punishment (both +/-) decreases probability of a behavior • Can something a manager intends as a reward actually be viewed by employees as a punishment? (hint: where is human cognition and emotion in this?) • Focus on specific behaviors • Respond quickly • Be consistent • Use positive reinforcement • Punish sparingly • Praise publicly

Groupshift

Shift away from preferred risk of individual group members, in favor of a more extreme (+/-) group decision.

expert power

Special skills or knowledge.

Deciding When to Use Teams

Task Complexity Simple or complex (one person or many)? Time Constraints High or low? Employee Commitment Is it needed for success or not? Employee Competencies Do BOTH mgrs. and employees have needed KSAs? Organizational Context Do the organization's values support teams? Is there a common goal or purpose? Are tasks interdependent?

McClelland's Needs Theory

The 3 needs are subconscious, so measuring not easy (we could rank high on them but not know it). People with a high nAch: Prefer activities with a 50/50 chance of success, and avoid very low- or high-risk situations. Motivated in jobs with high personal responsibility, feedback, and moderate risk.Don't necessarily make good managers (too personally focused)

General Dependence Postulate:

The degree to which person A possesses or controls something that B wants, needs or requires. Dependency goes up as a function of: importance scarcity nonsubstitutability

Maximizing Group Advantages

Things to Do: • Present clear, reasoned ideas • Listen (try not to pre-judge) • Yield to more logical positions • Get others involved, watch for self-censorship • In stalemates, push for more alternatives

McGregor's Theory X and Y

This theory states that "X" people are lazy, don't want to work, and need to be micromanaged. "Y" people are self-led, motivated, and strive to accomplish. Theory X is negative and Theory Y is positive.

The Power Paradox is that:

We rise in power due to what is socially best about our nature (i.e., when we focus on the well-being of others) But we fall from power due to what is socially worst about our nature (i.e., when we are blind to our privilege and act in impulsive or self-serving ways). How we handle the Power Paradox: determines whether we and those we lead will flourish is central to the vitality and well-being of society and business

• Lateral communication:

between members of the same work group, among members of work groups at the same level, among managers at the same level, or among any horizontally equivalent personnel. - Often necessary to save time and facilitate coordination. May be formally sanctioned. Can create dysfunctional conflicts. - formal communication network in a group or organization is called the grapevine. - It can give managers a feel for the morale of their workforce, identify issues employees consider important, and help tap into employee anxieties.

• Social identity theory:

examines when and why people consider themselves members of a group. - People can have strong emotional reactions to the failure or success of their group if their self-esteem gets tied up with the group. - Social identities help us understand who we are and where we fit in with others.

Niccolo Machiavelli -Power is, at it essence, about:

force fraud ruthlessness strategic violence But the Machiavellian view fails to see: the pervasive ways power is used positively to shape for good many of our daily interactions (e.g., between family members, workers, colleagues and bosses, etc.).

Herzberg's Two-Factor Theory

hygiene factors and motivators

• Role conflict:

situation where a person faces divergent role expectations. - We can experience interrole conflict when the expectations of our different, separate groups are in opposition.

Self-Efficacy Theory

• Also known as "social cognitive theory" and "social learning theory" (i.e., we learn through both observation and direct experience), where: - Models are central, and four processes determine their influence on an individual: Attentional processes, Retention processes, Motor reproduction processes, Reinforcement processes • Self-efficacy theory: The belief that we are capable of performing a task: - Enactive mastery - Vicarious modeling - Verbal persuasion - Arousal

Management By Objectives (MBO)

• Company-wide goal setting programs that merge clear expectations (goals) to manage behavior and performance

Minimizing Group Disadvantages

• Don't give in just to avoid conflict • Avoid "voting," "coin tossing" • Look for win-win rather than compromises • Watch for effects of "irrelevant" criteria

Expectancy Theory

• Expectancy theory: Our motivation to do something depends on our expectation that the action will be followed by an outcome we believe will be valued. • Three relationships to consider: - Effort performance relationship - Performance reward relationship - Reward personal goals relationship • Helps explain why many workers are motivated to do only bare minimum.

Stages of Team Development

• Forming: Lots of uncertainty • Storming: Intra-group conflict • Norming: Close relationships and cohesiveness • Performing: Group is now fully functional • Adjourning: May be more concerned with wrapping up activities than performance.

Goal-Setting Theory

• Goals tell employees what needs to be done and how much effort is needed. • Evidence suggests: • S.M.A.R.T. goals increase performance. • Difficult goals, when accepted, result in higher performance than do easy goals. • Feedback on goal attainment leads to higher performance no-feedback. • Other factors influencing goal-performance relationship: • Goal commitment • Task characteristics • National culture

Symptoms of Groupthink phenomenon:

• Group members quickly rationalize away challenges to assumptions and decisions. • Group members pressure dissenters (or challengers) to "get on board." • To be a "team player," members with doubts, or different points of view, self-censor (choose to keep silent) about their misgivings or objections. • There appears to be an "illusion" of unanimity.

Group size

• Group size affects overall team behavior. - Large is better for diversity of input. - Small is better taking coordinated interaction. • Social loafing: tendency for team members to expend less effort when working collectively than alone. • Depending on the task, groups of 5 to 7 often perform better, on average, than larger or smaller groups. • Loafing also depends on group dynamics, interpersonal skills, and leader behaviors

Implications of self-efficacy theory:

• Higher efficacy is related to: greater confidence, greater persistence in the face of difficulties, better response to negative feedback (work harder) • The best way for a manager to use verbal persuasion is through the Pygmalion effect (believing in something can make it true. • Training programs often make use of enactive mastery by having people practice and build their skills. • Self-efficacy complements Goal-Setting Theory

The "dark side" of writing good SMART goals:

• Higher order goal displacement ("Goals Gone Wild!"): - Short term goals, plus a high pay off, can lead to some nasty outcomes as people become myopically focused and quickly take the low road - Short term, high stakes goals will crowd out long term goals and work against the long term interest of the organization (for example, strong quarterly earnings goals with strong incentives/punishments, work against LR R&D investments, etc.).

Goal-Setting Theory

• Individual differences: People vary on how they regulate their thoughts and behaviors. - Those with promotion focus strive for advancement and accomplishment, and prefer conditions that move them closer toward desired goals. - Those with prevention focus strive to fulfill duties and obligations, and prefer to avoid conditions that pull them away from desired goals.

Applying the JCM:

• Job Rotation - Use of cross-training - Periodic shifting from one task to another. - Pros: reduces boredom, increases motivation, and helps employees better understand their work contributions. - Cons: creates disruptions, requires extra time for supervisors addressing questions and training time, reduced efficiencies; not viewed as desirable by all employees

Team Norms and Behavior

• Norms: Informal standards of expected behavior within a group that are shared by the group's members. • Example categories of group norms: - Performance norms - Appearance norms - Social arrangement norms - Allocation of resources norms

Equity Theory

• Predictable reactions to inequity (when under-rewarded): - Change inputs (slack off). - Change outcomes (inventory "shrinkage"). - Distort/change perceptions of self ("I guess I'm not that good"). - Distort/change perceptions of others ("They're suck-ups and are the boss's favorites") - Choose a different referent person ("I'm more like so-and-so than the person who got promoted"). - Leave the field (quit the job).

Applying the JCM:

• Relational Job Design - Connect employees with the beneficiaries of their work • Job Sharing - Two or more people split a 40-hour-a-week job Can increase flexibility, motivation and satisfaction when a 40-hour-a-week job is just not practical Declining in use: difficult to find compatible employees who can successfully coordinate intricacies of one job

Team Member Roles

• Role: set of expected behaviors for someone occupying a given position in a social unit. - Role perception: one's perception of how to act in a given situation. - Role expectations: how others believe one should act in a given situation. Psychological contract

Why Has Teamwork Become So Popular?

• Teams typically outperform individuals. • Teams better use employee talents. • Teams facilitate employee involvement. • Teams are more flexible and responsive to changes in the environment. • Teams are an effective way to democratize an organization and increase motivation.

Applying the JCM:

• Telecommuting - Employees work at home at least two days a week on a computer that is linked to their office. Some well-known organizations actively discourage telecommuting, but for most organizations it remains a viable and popular option - Pros: larger labor pool, improved morale, higher productivity, reduced office-space costs - Employer cons: less direct supervision of employees, difficult to coordinate teamwork, difficult to evaluate non-quantitative performance - Employee cons: may not be noticed for their efforts

Characteristics of Effective Teams

• The Challenge: Turning employees into team players - Overcoming individual resistance to team membership. - Countering the influence of individualistic culture values. - Introducing teams in an organization that has historically valued individual achievement. • Shaping Team Players: - Selecting employees who can fulfill their team roles. - Training employees to become team players. - Rewarding individuals to encourage collaboration while continuing to recognize individual contributions.