OB test #3
Challenges of a Strong Culture
-Difficult to change -Can be a liability during a merger as each separate culture must merge together
modular organization
An organization where all the nonessential functions are outsourced.
majority rule
Governance according to the expressed preferences of the majority.
Favorable Low LPC Leader Unfavorrable Low LPC Leader
Task Oriented
Formal Leaders
Those who hold a position of authority and may utilize the power that comes from their position, as well as their personal power to influence others.
Milgram Experiment
an experiment devised in 1961 by Stanley Milgram, a psychologist at Yale University, to see how far ordinary people would go to obey a scientific authority figure
Matrix Organizations
balance a traditional functional structure with a product structure
funtional structure
groups jobs based on similarity in functions
Components of Leadership
leader, followers, situation
laissez-faire decision making
leaders leave employees alone to make the decision
task-oriented leaders
leaders who focus on accomplishments and seek to ensure that employees perform well on the job
Transactional Leadership
leadership that motivates subordinates by rewarding them for high performance and reprimanding them for low performance
Bases of Power
legitimate, reward, coercive, expert, referent
Creative Decision Making
1. problem recognition 2. immersion 3. incubation 4. illumination 5. verification and application
Leaders impact organization culture through Question options: role modeling. leader height. leader intelligence. leader personality.
A
The act of influencing others toward a goal is Question options: leadership. charisma. power. motivation.
A
Which of the following factors contribute to building high-quality leader-member exchange? Question options: leader fairness member support employee job satisfaction personality differences
A
Which of the following statements regarding resistance to change is correct? Question options: All change attempts have to overcome the resistance of people. Resistance to change is the first step in Lewin's model of change. When people react negatively to change, they are absent less often. When people react negatively to change, they experience negative emotions, but are no more likely to leave the firm than they would be in a firm that was not undergoing organizational change.
A
rational decision making model
A step-by-step approach to making decisions that is designed to maximize outcomes by examining all available alternatives
Path-Goal Theory of Leadership
A theory that states that the most important aspect in leadership is the follower's expectation that a task can be accomplished and that it will lead to rewards.
Flaws of the Rational Decision Making Model
Assumes that people understand what the decision to be made is Assumes that people know all their available choices Assumes the people have no perceptual biases Assumes that people want to make optimal decisions
People-oriented behaviors are also called Question options: initiating structure. consideration. laissez-faire. authoritarian.
B
The degree to which decision-making authority is concentrated at higher levels in an organization is Question options: formalization centralization hierarchical levels departmentalization
B
What is the first step in Lewin's model of planned change? Question options: refreeze unfreeze assess change
B
Which is the first step in the rational decision-making model? Question options: Establish decision criteria. Identify the problem. Weigh decision criteria. Generate alternatives.
B
Which of the following is a stage of Lewin's model of planned change? Question options: de-ice unfreeze assess resistance
B
Leaders who hold a position of authority and utilize the power that comes from their position as well as personal power to influence others are called Question options: informal leaders. transformational leaders. formal leaders. charismatic leaders.
C
To satisfice is to Question options: generate new ideas that are original, fluent and flexible. set parameters against which all of the potential options can be evaluated. accept the first alternative that meets your general criteria. be influenced by the way in which problems are framed.
C
organizational structure
Centalization Formalization Departmentalization Hierarchical Levels
Centralized organizations Question options: tend to have faster, more efficient decision making. attract more job candidates. put less pressure on higher level managers. can lead to large cost savings in purchasing operations.
D
In democratic decision making Question options: leaders leave employees alone to make decisions. the leader provides minimum guidance and involvement in the decision. leaders make the decision alone without necessarily involving employees in the decision making process. employees participate in the making of the decision.
D
Overconfidence bias Question options: is the tendency of decision makers to be influenced by the way that problems are framed. occurs when looking backward in time where mistakes seem obvious after they have already occurred. refers to the tendency for individuals to rely too heavily on a single piece of information. occurs when individuals overestimate their ability to predict future events.
D
Programmed decisions are Question options: unique, nonroutine, and important, requiring conscious thinking, information gathering and careful consideration of alternatives. decisions that are made to set the course of an organization. a set of parameters against which all of the potential options in decision making will be evaluated. ones which occur frequently enough that an automated response is developed for them.
D
Shared values and beliefs that are in direct opposition to the values of the broader organizational culture represent a Question options: strong culture. weak culture. subculture. counterculture.
D
The two broad categories of leader behaviors are Question options: task-oriented and authority-oriented structures. task-oriented and initiating structures. people-oriented and authority-oriented structures. task-oriented and people-oriented structures.
D
Which of the following statements is true regarding House's path-goal theory of leadership? Question options: The role of the leader in the path-goal theory is to match leadership style with employee needs. Each leadership style identified in the path-goal theory is effective depending on the trait of the leader. House's path-goal theory of motivation is based upon the equity theory of motivation. Leaders can create high performing employees by making sure employee effort leads to performance and that performance is rewarded with desired rewards.
D
Which of the following statements is true regarding culture in organizations? Question options: Multiple subcultures cannot exist in a single organization. Subcultures arise in a firm due to founder values and industry demands. Countercultures are never tolerated by an organization once they are identified. Employee perceptions of subcultures are related to employee commitment to the organization.
D
Centralization
Degree to which decision-making authority is restricted to higher levels of management in an organization.
Outcome Culture
Emphasizes results and action as important values
Rational Decision making model steps
Identify Problem Establish Decision Criteria Generate Alternatives Evaluate Alternatives Choose Best Alternative Implement Decision Evaluate Decision
Authorization Decision Making
Leaders Make the decision
intuitive decision making
Making decisions on the basis of experience, feelings, and accumulated judgment.
faulty decision making
Overconfidence Bias- Overestimating ability Hindsight Bias- mistakes seem obvious after they occur Anchoring Bias-Relying to heavy on a single piece of info Framing Bias-influenced by the way a situation or problem is presented Escalation of Commitment- Continue on failing course, desire for consistency, avoid admitting mistake
position power vs personal Power
Position -Legitimate -Reward -Coercive Personal -expert -referent
Disadvantages of matrix structure
Power struggles more effort to coordinate workflow interpersonal conflict role ambiguity and conflict
Medium High LPC Leader
Relationship oriented
Programmed Decision Making
Routine, virtually automatic decision making that follows established rules or guidelines.
Hierarchical Levels of Organization
Tall - several layers of management fewer employees report to each manager Flat- few management layers larger number of employees reporting to each manager
Formalization
The extent to which policies, procedures, job descriptions, and rules are written and explicitly articulated.
Informal Leaders
Those without a formal position of authority within the organization but demonstrate leadership by influencing those around them through personal forms of power.
nominal group technique
a decision-making method that begins and ends by having group members quietly write down and evaluate ideas to be shared with the group
decision tree
a graph of decisions and their possible consequences; it is used to create a plan to reach a goal
resistance to change
active resistance, passive resistance, compliance, enthusiastic support
decision making
attempting to select the best alternative among several options
Consequences of Power
commitment, compliance, resistance
what can organizations do before change to prepare employees
communicate a plan for change develop a sense of urgency build a coalition provide support allow employees to participate
Methods used by Transactional Leaders
contingent rewards, active management by exception, passive management by exception
Dalphi Technique
creating initial forecasts submitting them for averaging then refining
democratic decision making
employees participate in the making of the decision
servant leadership
focuses on providing increased service to others—meeting the goals of both followers and the organization—rather than to oneself.
consensus
general agreement
Divisional structures
grouping of jobs based on the products, services, customers, or geographic locations the company is serving
high-quality LMX relationships
have mutual respect between the leader and the followers
Fiedler's Contingency Theory (least Preffered Coworker)
in order to maximize work group performance, leaders must be matched to the right leadership situation
People Oriented Leaders
include showing concern for employee feelings and treating employees with respect
Advantage of matrix structure
increase comm and cooperation among departments increase frequency of formal and informal comm within organization provide quick responses to technical problems and customer demands
Bounded Rationality Model
individuals knowingly limit their options to a manageable set and choose the first acceptable alternative without conducting an exhaustive search for alternatives
boundaryless organization
organization in which there are no barriers to information flow
Asch Experiment
peer pressure: length of lines; responses varied with responses of group
impression management
people's efforts to control the impressions that others receive of them
Stable Culture
predictable, rule-oriented, and bureaucratic
Power
the ability of one person to get another person to act in accordance with the first person's intentions
Decentralization
the degree to which lower-level employees provide input or actually make decisions
Departmentalization
the dividing of organizational functions into separate units
low-quality LMX relationships
the leader and the member have lower levels of trust, liking, and respect toward each other
organizational culture
the set of values, ideas, attitudes, and norms of behavior that is learned and shared among the members of an organization
Great Person Theory (Trait Theory)
the theory that leadership is a result of personal qualities and traits that qualify one to lead others Integrity Intellegence Extravert Conciencus open to experience self esteem
Transformational Leadership
transforms employees to pursue organizational goals over self-interests
strategic alliance
two or more companies combine their efforts to create partnership that is beneficial to both parties
Lewin's Three-Step Change Model
unfreeze, change, refreeze
Unprogrammed Decision Making
unique and require conscious thinking
People oriented Culture
value fairness, supportiveness, and respecting individual rights