BUS 137 MODULE 4 LEADING MINE CH. 9-10-11-12-13

Path-Goal Theory

**Four Leadership Behaviors** **Directive leader** **Supportive leader** **Participative leader** **Achievement-oriented leader**

Contemporary Theories Explain Motivation

**Goals can be powerful motivators**

CH. 12 Warm Up 1. The definition of a leader is someone who can​ __________ others and who has authority. A. manage B. guide C. inspire D. relate to E. influence

Correct. A leader is someone who can influence others.

2. ​__________ is what leaders do. A. Control B. Leadership C. Manage D. Organize E. Plan

Correct. Leadership is what leaders​ do; it's a process of influencing a group to achieve its goals.

Current Issues Managers Face in Managing Teams

can build effective teams by understanding what influences performance and satisfaction managing global teams when teams aren't answer

**charismatic leaders**

enthusiastic, self-confident leaders whose personalities and actions influence people to behave in certain ways

**work teams**

groups whose members work intensively on specific, common goals using their positive synergy, individual and mutual accountability, and complementary skills. more common today to use teams than ever est. 80% Fortune 500 companies at least half employees on teams. 70% US manufacturers use work teams **Research suggests that teams typically outperform individuals when the tasks being done require multiple skills, judgment,, and experience** **more flexible and responsive to changing events than traditional depts. or permanent work groups** **ability to quickly assemble, deploy, refocus, disband**

**transactional leaders**

leaders who lead primarily by using social exchanges (or transactions)

**group**

two or more interacting and interdependent individuals who come together to achieve specific goals.

12-2 Compare and contrast early leadership theories

**actual studies on leadership began in 20th century** **early leadership theories focused on** **the person (leader trait theories)**: **the behaviors - how the leader interacted with his or her group members (behavioral theories) identifying traits of leader is difficult identifying traits of leadership the process more successful

Leaders and Teams Coaches Liaisons with external constituents Effective Team Leadership Roles Conflict Troubleshooters managers

Because leadership is increasingly taking place within a team context, the role of the leader in guiding team members has become increasingly important. The role of **team leader** is different from the traditional leadership role and many leaders are not equipped to handle the shift to employee teams. Managers have to learn skills such as patiently sharing information, being able to trust others and to give up authority, and understanding when to intervene and when not to. One study looking at organizations that had reorganized themselves around employee teams found certain common responsibilities of all leaders, including: •Coaching •Facilitating •Handling disciplinary problems •Reviewing team and individual performance •Training •Communication A good way to describe the team leader's job is to focus on two priorities: 1. Managing the team's external boundary. 2. Facilitating the team process. These priorities entail the four specific leadership roles we see in Exhibit 12-5.

Networked Communication

In a **networked computer system**, organizational computers are linked through compatible hardware and software, creating an integrated organizational network. Employees communicate with each other and get information wherever they are.

**Fiedler contingency model**

Leadership theory proposing that effective group performance depends on the proper match between a leader's style and the degree to which the situation allowed the leader to control and influence

Contemporary Issues: Employee Empowerment Say What? Lead by NOT Leading **Managers are increasingly leading by not leading; that is, by empowering their employees

Leading effectively in today's environment involves several important leadership issues, such as empowering employees, cross-cultural leadership, and emotional intelligence. Today's managers are increasingly leading by "not leading"; that is, by empowering their employees. **Empowerment** involves increasing the decision-making discretion of workers. One reason more companies are empowering employees is that if organizations want to successfully compete in a dynamic global economy, employees have to be able to make decisions and implement changes quickly. Another reason is that organizational downsizings have left many managers with larger spans of control, so these managers have had to empower their people to cope with increased work demands. Technology also has contributed to the increases in employee empowerment because managing employees who aren't physically present in the workplace requires the ability to communicate support and leadership through digital communication and the ability to read emotions in others' messages.

**three-needs theory** McClelland

McClelland's theory which says that three acquired (not innate) needs - achievement, power, and affiliation - are major motives at work 1. Need for achievement (nAch) 2. Need for power (nPow) 3. Need for affiliation (nAff) **nAch has been researched the most** **The best managers tend to be high in nPow and low in nAff**

The Communication Process

Noise--->Sender---> Purpose-->Encoding--.Message---Channel---Message---Decoding---Message---Receiver---Message transferred successfully?---Feedback--noise Exhibit 13-1 depicts the seven-part communication process of transferring and understanding meaning: (1) the communication source or sender; (2) encoding; (3) the message; (4) the channel; (5) decoding; (6) the receiver; and (7) feedback. • The sender is the source of the communication. • Encoding means converting a message into symbolic form. • The message is the purpose to be conveyed in the communication. • The channel is the medium by which a message travels. • Decoding means translating a received message. • The receiver is the recipient of the communication. • Feedback is checking to see how successfully a message has been transferred.

A Final Thought on Leadership **Leadership may not always be important!**

Research indicates that, in some situations, any behaviors a leader exhibits are irrelevant. In other words, certain individual, job, and organizational variables can act as "substitutes for leadership," which negate the influence of the leader. For example, follower characteristics such as experience, training, professional orientation, or need for independence can neutralize the effect of leadership. These characteristics replace the employee's need for a leader's support or ability to create structure and reduce task ambiguity. Similarly, jobs that are inherently unambiguous and routine, or that are intrinsically satisfying, may place fewer demands on the leadership variable. Finally, such organizational characteristics as explicit formalized goals, rigid rules and procedures, or cohesive work groups can substitute for formal leadership.

University of Michigan and Managerial Grid Stats

University of Michigan Behavioral Dimension Employee oriented: emphasized interpersonal relationships and taking care of employees' needs Production oriented: emphasized technical or task aspects of job Conclusion: Employee-oriented leaders were associated with high group productivity and higher job satisfaction. Managerial Grid: Behavioral Dimension Concern for production: measured leader's concern for subordinates on a scale of 1 to 9 (low to high) Conclusion: Leaders performed best with a 9.9 style (high concern for production and high concern for people).

**situational leadership theory** (SLT)

a leadership contingency theory that focuses on follower's readiness

**leader-participation model**

a leadership contingency theory that's based on a sequential set of rules for determining how much participation a leader uses in decision making according to different types of situations

**leader-member exchange (LMX) theory**

a leadership theory that says leaders create in-groups and out-groups and those in the in-group will have higher performance ratings, less turnover, and greater job satisfaction

**path-goal theory**

a leadership theory that says the leader's job is to assist followers in attaining their goals and to provide direction or support needed to ensure that their goals are compatible with the organization's or group's goals

**least-preferred coworker (LPC) questionnaire**

a questionnaire that measures whether a leader was task or relationship oriented

**Making Team Effective**

model **teams differ form & structure** attempts to generalize all teams **model assumes managers already determined teamwork preferable to individual work** **creating teams in situations individual do job better waste of time** **Team effectiveness* - typically includes objective measures of team's productivity, managers' ratings of team performance, aggregate measures of member satisfaction.**

**procedural justice**

perceived fairness of he process used to determine the distribution of rewards

**distributive justice**

perceived fairness of the amount and allocation of rewards among individuals

**forming stage**

the first stage of group development in which people join the group and then define the group's purpose, structure,, and leadership.

**motivation**

the process by which a person's efforts are energized, directed, and sustained toward attaining a goal * energy - measure of intensity or drive * direction - that benefits the organization toward or consistent w/ organizational goals * persistence - persist in putting forth the effort to achieve those goals

**expectancy theory**

the theory that an individual tends to act in a certain way based on the expectation that the act will be followed by a given outcome and on the attractiveness of that outcome to the individual

**job enrichment**

the vertical expansion of a job by adding planning and evaluation responsibilities

**job design**

the way tasks are combined to form complete jobs **you can design jobs that motivate** managers should design deliberately & thoughtfully reflect demands of changing environment, organization's technology, employees' skills, abilities, preferences

**behavioral theories of leadership**

theories that isolate behaviors that differentiate effective leaders from ineffective leaders

Personality

a unique combination of emotional, thought, and behavioral patterns that affect how a person reacts to situations and interacts with others.

Norms

**Norms** are acceptable standards shared by the group's members. Although each group has its own unique set of norms, common classes of norms appear in most organizations. These norms focus on: • Effort and performance. This is probably the most widespread norm and it can be extremely powerful in affecting an individual employee's performance. • Dress codes dictate what's acceptable to wear to work.

Managing Employees' Learning Watch what you reward Watch what you do

Employees are going to learn on the job. If managers want behavior A, but reward behavior B, they shouldn't be surprised to find employees learning to engage in behavior B. Similarly, managers should expect that employees will look to them as models.

Interviewing Team Members: Antoine You meet with Antoine—the most senior of the three team members. He has significant experience working very successfully in teams and is highly regarded for insightful analysis of various options under consideration. However, he has never been a team leader. Despite years of experience with Holden-Evan, Antoine has chosen to remain a marketing analyst rather than move into a management position. You ask Antoine to give you his insight about the team. He responds: "I guess you heard about Jaime. I've always had difficulty getting along with him. He is very good at details and enforcing rules, but I'm not sure I can ever work with him for any length of time."

"The fact is, we all bring good qualities to the table; but in my opinion, the team doesn't have enough members to fill the necessary roles and provide the necessary expertise to get the job done. I'm also concerned that we don't have enough leadership and political influence for the team to be effective. If senior management is serious about the team's effort, don't you think they might assign a high-powered senior executive as team leader? Extending the Stanton line into the baby boomer market is a huge undertaking! It can be either a great success or a massive disaster for the company. We have to get it right!"

Legal and Security Issues

** Electronic information is potentially admissible in court ** Sensitive, proprietary information is at risk E-mail, blogs, tweets, and other forms of online communication can give rise to potential **legal** problems if they are used inappropriately—especially because electronic information is potentially admissible in court. But **security** is a serious concern as well. A survey addressing outbound e-mail and content security found that 26 percent of the companies surveyed saw their businesses affected by the exposure of sensitive or embarrassing information. Managers need to ensure that confidential information is kept confidential. Employee e-mails and blogs should not communicate proprietary information— either inadvertently or purposely. Corporate computer and e-mail systems must also be protected against unauthorized users and spam to fully realize the benefits of communication technology.

Employee Input

* **Hold town-hall meetings** where information is hared and input solicited. * **Provide information** about what's going on, good and bad * **Invest in training** so that employees see how they impact the customer experience * **Analyze problems together** - managers and employees * **Make it easy** for employees to give input by setting up different ways for them to do so (online, suggestion box, preprinted cards, and so forth) In today's challenging environment, companies need to get input from their employees, and effective managers mine such potentially valuable information. Here in Exhibit 13-4, we see several suggestions for letting employees know that their opinions matter, such as providing employees with current information—good and bad—and analyzing problems together

Contemporary Issues

** Communication management in an Internet world ** Managing the organization's knowledge resources ** Communicating with customers ** Getting employee input ** Communicating ethically Being an effective communicator in today's organizations means being connected to not only employees and customers but also to any of the organization's stakeholders. Let's take a look at five communication issues that are of particular significance to today's managers: 1. Communication management in an Internet world 2. Managing the organization's knowledge resources 3. Communicating with customers 4. Getting employee input 5. Communicating ethically

Contemporary Issues: National Culture

** Korean leaders are expected to be paternalistic toward employees ** Arab leaders who show kindness or generosity without being asked to do so are seen by other Arabs as weak ** Japanese leaders are expected to be humble and speak frequently ** Scandinavian and Dutch leaders who single out individuals with public praise are likely to embarrass, not energize, those individuals ** Effective leaders in Malaysia are expected to show compassion while using more of an autocratic than a participative style ** Effective German leaders are characterized by high performance orientation, low compassion, low self-protection, low team orientation, high autonomy, and high participation Leadership research shows that **effective leaders do not use a single style**—rather, they adjust their style to the situation—and national culture is an important situational variable in determining which leadership style will be most effective. National culture affects leadership style because it influences how followers will respond. Managers are therefore constrained by the cultural conditions their followers have come to expect. Exhibit 12-6 shows findings from selected examples of cross-cultural leadership studies. Because most leadership theories were developed in the United States, they have an American bias. However, the GLOBE research program, which is the most extensive and comprehensive cross-cultural study of leadership ever undertaken, has found that there are some universal aspects to leadership. Specifically, a number of elements of transformational leadership appear to be associated with effective leadership, regardless of what country the leader is in. These elements include vision, foresight, providing encouragement, trustworthiness, dynamism, positiveness, and proactiveness. Some people suggest that the universal appeal of these characteristics is due to the pressures toward common technologies and management practices that are a result of global competitiveness and multinational influences. What do you think?

Communication in an Internet World **This is BIG!**

** Legal and security issues ** Lack of personal interaction A recent survey found that 20 percent of employees at large companies say they contribute regularly to blogs, social networks, wikis, and other Web services. As a result, managers are learning (and sometimes learning the hard way) that new technology has created two large communication challenges: (1) Legal and security issues, and (2) Lack of personal interaction

Leader-Member Exchange Theory

**A leadership theory that says leaders in-groups and out-groups and those in the in-group will have higher performance ratings, less turnover, and greater job satisfaction.** Contemporary views of leadership include: 1.Leader-member exchange (LMX); 2.Transformational-transactional leadership; 3.Charismatic-visionary leadership; and 4.Team leadership. These views of leadership have a common theme: leaders who interact with, inspire, and support followers. **Leader-member exchange (LMX) theory** says that leaders create in-groups and out-groups and that those in the in-group will have higher performance ratings, less turnover, and greater job satisfaction than those in the out-group. Leaders encourage LMX by rewarding employees with whom they want a closer linkage and punishing those with whom they do not. How a leader chooses who falls into each category isn't definitive, but evidence indicates that in-group members have demographic, attitude, personality, and even gender similarities with the leader, or they have a higher level of competence than out-group members. Research on LMX supports the idea that leaders do differentiate among followers who report greater satisfaction with their boss, which is consistent with leaders choosing to invest time and resources in those whom they expect to perform best.

**Written vs. Verbal Communication**

**Advantages:** **Tangible/verifiable Permanent record Stored for later reference Well-thought out** **Drawbacks** **Time consuming Doesn't lend itself to feedback like oral communication** **Written communications** include memos, letters, email, and other forms of digital communication, organizational periodicals, bulletin boards, or any other device that transmits written words or symbols. Some of the **pros** of choosing written communication are: •It is tangible and verifiable. •It creates a more permanent record for both sender and receiver than a verbal exchange does. •The message can be stored for an indefinite period of time so the content is physically available for later reference, which is particularly important for complex or lengthy communications. •Generally, more care is taken with the written word than with the spoken word so it's more likely to be well thought out, logical, and clear. **Two drawbacks** to written communication are that it's time consuming and that it does not lend itself to feedback like oral communication does. Unlike written communication, oral communication allows receivers to respond rapidly to what they thought they heard or to verbally summarize what they understood the sender said.

**Ohio State**

**Behavioral Dimension** **Consideration: being considerate of followers' ideas and feelings** Initiating structure: structuring work and work relationships to meet job goals Conclusion: **High-high leader (high in consideration and high in initiating structure) achieved high subordinate performance and satisfaction, but not in all situations.**

**University of Iowa**

**Behavioral Dimension** **Democratic Style**: involving subordinates, delegating authority, and encouraging participation **Autocratic style**: dictating work methods, centralizing decision making, and limiting participation **Laissez-faire style**: giving group freedom to make decisions and complete work Conclusion: **Democratic style of leadership was most effective, although later studies showed mixed results.**

**4 Key Components Effective Teams** **Context** **Composition** **Work design** **Process**

**Context** - **adequate resources** (timely info, proper equipment, encouragement, adequate staffing, administrative assistance) if team can't agree who does what, ensure all members contribute equally won't function - **leadership & structure** - specifics of work/how team members skills fit together **even in self-managed teams, manager is coach support team efforts/manage outside not inside team - **climate of trust** - trust e. other & leaders - facilitates cooperation, reduces need to monitor e. other behavior, bonds members around belief others on team won't take advantage of them. means team willing to accept - trust leader important means accept & commit to leader's goals & decisions - **performance evaluation & reward systems**- team members accountable for ind. contributions, managers should consider group-based appraisals, profit-sharing, other approaches reinforce team effort & commitment **Composition** - abilities of members - **knowledge, skills, abilities** **3 types of skills - technical expertise, problem-solving & decision-making skills, interpersonal skills w/ right mix** - personality - 3 of **Big 5** dimensions - allocating roles - 9 potential - can play multiple - important that managers understand individual strengths & select members w/ strengths in mind to fulfill roles - diversity **research shows surface-level social-category differences race/ethnicity, gender, age tend to have negative effects** does not prove diverse teams perform better - size of teams - **2 pizza Jeff Bezos**5-7 people - member flexibility - member preferences (may prefer not to work on team) **Work design** need to work together take collective responsibility completing tasks - autonomy - skill variety - task identity - task significance **Process** - common purpose -provides direction, momentum, and commitment for team members - specific goals - goals facilitate clear communication and help teams maintain focus getting results - team efficacy - emerges when teams believe in themselves, believe can succeed effective teams have confidence in themselves & members - conflict levels - conflict has to be right conflict can improve team effectiveness - dysfunctional almost always when based on interpersonal incompatibilities, tensions, autonomy toward others disagreement about task content beneficial stimulate discussion, promote critical assessment of problems & options lead to better team decisions - social loafing (minimal) - **successful teams make members individually/jointly accountable for team's purpose, goals, approach** Manager shape team behavior? - proper selection, employee training, rewarding appropriate team behaviors Role selection - technical skills required perform job, **AND** whether fulfill team roles DO: 1. if team skills lacking, don't hire if have basic skills, hire probationary, require training shape into team player - if skills not learned, let go **new behaviors can be learned** - exercises, workshops, team problem solving, communications, negotiations, conflict resolution coaching skills **rewards** - reward system to encourage cooperative efforts rather than competitive ones** promotions, pay raises, other recognition given to employees who are effective collaborative team members reward behavior when training new colleague, sharing info w/ team, help resolve conflicts, mastering new skills where team deficient inherent rewards from teamwork, camaraderie,

Decoding and Feedback

**Decoding** - translating a received message **Feedback** - checking to see how successfully a message has been transferred Note that just as the skills, attitudes, knowledge, and social culture of the sender affect the sender's ability to encode a message, the skills, attitudes, knowledge, and social culture of the receiver to whom the message is directed affect his or her ability to **decode** the message. The final link in the communication process is a **feedback** loop, which checks how successfully we've transferred our messages and whether we have achieved understanding. Given the cultural diversity of today's workforce, effective feedback is critical.

Networked Communication Applications

**Email** **Instant messaging (IM)** **Voice mail** **Fax machines** **Electronic Data interchange (EDI)** **Teleconference and videoconference meetings** **Organizational intranet** **Organizational extranet** **Internet-based voice/video communication** **There are a variety of networked communication applications**. **E-mail** is the instantaneous transmission of messages on linked computers. It's fast, cheap, efficient, and convenient. It allows messages to be read at the reader's convenience, and print if needed. On the down side, e-mail is slow and cumbersome. Some organization members use **instant messaging (IM)**, interactive, real-time communication among computer users who are logged on to the computer network at the same time. It's instantaneous communication, without having to wait for colleagues to read email. But users must be logged on a the same time and there are potential network and data security breaches. A **voice mail system** digitizes a spoken message, transmits it over the network, and stores the message for the receiver to retrieve later. This capability allows information to be transmitted even though a receiver may not be physically present to take the information. Receivers can save, delete, or route the message to other parties. A downside to voice-mail is no immediate feedback for the caller. **Fax machines** transmit documents containing both text and graphics over ordinary telephone lines. On the plus side they allow organization users to quickly and easily share a printed form of information. On the down side, privacy can be compromised. **Electronic data interchange (EDI)** allows organizations to exchange business transaction documents—such as invoices or purchase orders—using direct computer-to-computer networks. This saves time and money by eliminating printing and handling of paper documents. **Teleconferencing and videoconferencing meetings** allow people to confer simultaneously by telephone, e-mail, or video screens. Participants don't need to be in the same physical location to share information and collaborate. This technology saves travel money. An **organizational intranet** is an organizational communication network using Internet technology that's accessible only to organizational employees. It allows users to share information and collaborate on documents and projects. It provides access to company policy manuals and employee-specific materials. There are, however, possible network and data security breaches. An **organizational extranet** is an organizational communication network using Internet technology that allows authorized organizational users to communicate with certain outsiders such as customers or vendors. It allows for faster and more convenient communication but there are concerns about network and data security breaches. Finally, organizations are using **Internet-based voice/video communication**, through services such as Skype, Viber , FaceTime, Vonage, and Yahoo!. It allows for fast and convenient communication, but as with so many of these options, there are concerns about network and data security breaches.

Strong Service Culture

**Finding out** what customer needs are, **meeting these needs**, and **following up** to make sure those needs were met satisfactorily. An organization with a **strong service culture** already values taking care of customers — finding out what their needs are, meeting those needs, and following up to make sure that their needs were met satisfactorily. Each of these activities involves communication, whether face-to-face, by phone or e-mail, or through other channels. Communication is also a part of specific **customer service strategies** the organization pursues and the individual service provider who is on the front line. The individual provider is often the first to hear about or notice service failures or breakdowns. In these cases, the individual provider must decide how and what to communicate, must listen actively, and must communicate appropriately so the situation is resolved to the customer's satisfaction. The individual service provider must also have the **information necessary** to deal with customers efficiently and effectively or be able to access it easily and promptly.

Communication Channels

**Formal channels** **Informal channels** The source selects either a formal or informal **channel** through which the message travels. **Formal channels** are established by the organization, transmit job-related messages, and traditionally follow the authority network within the organization. Personal or social messages follow the **informal channels** in the organization. Participating in a meeting at company headquarters, these employees of Alibaba, China's largest e-commerce firm, illustrate the channel part of the communication process. The meeting is a formal channel established by Alibaba during which employees transmit messages that pertain to their job-related activities.

**Situational Leadership Theory (contd)**

**LEADER** **FOLLOWERS** Now- let's put the **TWO TOGETHER** 1.**Telling** (high task-low relationship), in which the leader defines roles and tells people what, how, when, and where to do various tasks. 2. **Selling** (high task-high relationship), in which the leader provides both directive and supportive behavior. 3. **Participating** (low task-high relationship), in which the leader and followers share in decision making and the main role of the leader is facilitating and communicating. 4. **Delegating** (low task-low relationship), in which the leader provides little direction or support. The final component in the model is the four stages of follower readiness: •* **R1: People are both unable and unwilling** to take responsibility for doing something. Followers aren't competent or confident. •* **R2: People are unable but willing** to do the necessary job tasks. Followers are motivated but lack the appropriate skills. •* **R3: People are able but unwilling** to do what the leader wants. Followers are competent but don't want to do something. •* **R4: People are both able and willing** to do what is asked of them. **SLT essentially views the leader-follower relationship like that of a parent and a child, in which a parent needs to relinquish control when a child becomes more mature and responsible**. As followers reach higher levels of readiness, the leader responds not only by decreasing control over their activities but also by decreasing relationship behaviors.

Technology and Communication **IT is where it's at!**

**Networked computer systems** **Wireless capabilities** **Information technology** has radically changed the way organizational members communicate. IT, •Improves managers' ability to monitor individual and team performance, •Allows employees to have more complete information to make faster decisions, •Provides employees more opportunities to collaborate and share information, and •Allows employees to be fully accessible 24/7. Two developments in information technology have had particularly significant effects on current managerial communication: 1. Networked computer systems 2. Wireless capabilities

Factors Affecting Encoding

**Skill** **Attitudes** **Knowledge** **Social cultural system** The source initiates a message by encoding a thought. Four conditions affect the encoded message: skill, attitudes, knowledge, and social cultural system. •**Skill** determines a person's total communicative success and includes speaking, reading, listening, and reasoning skills. •**Attitudes** influence our behavior. •**Knowledge** of the subject matter allows us to communicate more clearly or, if our knowledge is quite extensive, to confuse our receiver with overly complex information. •Finally, our position in our **social cultural system**—our beliefs and values—influences each of us as a communicative source.

University of Iowa and Ohio State Studies

**The University of Iowa study** identified three leadership styles: **democratic**, which means involving subordinates, delegating authority, and encouraging participation; **autocratic**, which means dictating work methods, centralizing decision making, and limiting participation; and **laissez-faire**, which means giving a group freedom to make decisions and to complete work. This study concluded that the **democratic style of leadership was most effective, although later studies showed mixed results.** **The Ohio State study** identified two factors, **consideration**, which involves being considerate of followers' ideas and feelings; and **initiating structure**, which involves structuring work and work relationships to meet job goals. The study concluded that a **high-high leader (high in consideration and high in initiating structure) achieved high subordinate performance and satisfaction, but not in all situations.**

University of Michigan Study and Managerial Grid

**The University of Michigan** study identified two styles, **employee oriented**, which emphasizes interpersonal relationships and taking care of employees' needs; and **production oriented**, which emphasizes technical or task aspects of a job. The study concluded that employee-oriented leaders were associated with high group productivity and higher job satisfaction. **The Managerial Grid** uses two behavioral dimensions, **concern for people**, which measures a leader's concern for subordinates on a scale of 1 to 9 (low to high); and **concern for production**, which measures a leader's concern for getting a job done on a scale 1 to 9 (low to high). The conclusion is that leaders performed best with a 9,9 style (high concern for production and high concern for people).

Customer Service

**Three components in any service delivery process: 1. Customer 2. Service organization 3. Individual service provider** Within the realm of **customer service**, **what communication** takes place and **how** it takes place has a huge impact on a customer's satisfaction with the service and the likelihood of the customer's repeat business. Managers must ensure that employees communicate appropriately and effectively with customers by recognizing the three components in any service delivery process: the customer, the service organization, and the individual service provider. Each plays a role in whether communication is working. While managers don't have control over what or how the customer communicates, they can influence the other two processes.

Transactional vs. Transformational Leaders

**Transactional leaders** lead primarily by using social exchanges (or transactions) **Transformaitonal Leaders** stimulate and inspire (transform) followers to achieve extraordinary outcomes. Many early leadership theories viewed leaders as **transactional figures** who lead primarily by using social exchanges (or transactions) and guide or motivate followers to work toward established goals by exchanging rewards for their productivity. But another type of leader—a **transformational leader**—stimulates and inspires (transforms) followers to achieve extraordinary outcomes. Transformational leadership produces levels of employee effort and performance that go beyond what would occur with a transactional approach and instills in followers the ability to question established views, including those held by the leader. There is a great deal of evidence that shows transformational leadership is superior to transactional leadership. Studies that looked at managers in different settings found that transformational leaders were evaluated as more effective, higher performers, and more promotable than their transactional counterparts, and also more interpersonally sensitive. Additionally, transformational leadership is strongly correlated with lower turnover rates and higher levels of productivity, work engagement, employee satisfaction, creativity, goal attainment, and follower well-being.

**4 Most Common types of work teams

**problem-solving teams**- teams from same dept. or functional area involved efforts improve work activities or solve specific problems - share ideas, suggestions how work processes/methods can be improved **rarely given opportunity to implement their suggested actions** **self-managed work teams** - formal group of employees operate **w/o a manager** responsible for complete work process or segment responsible for getting work done **AND** managing themselves (planning, scheduling, assigning tasks, collective control over pace of work, making operating decisions, taking action on problems est. 30% US employers use form of team w/ lg firms it's 50% **cross-functional teams** - work team composed of individuals from various specialties - i.e. healthcare, steel company, (hospital setting can reduce errors, shorten amt time patients in ICU, improve communication families, med staff **virtual teams** - uses technology to link physically dispersed members to achieve common goal - **collaborate w/ online tools wide-area networks, videoconferencing, fax, e-mail, Web sites team hold online conferences** - can do like other teams - share info, make decisions, complete tasks **lack normal give-and-take of face-to-face discussions** are more task-oriented esp. if never met

**Leader-Participation Model** Victor Vroom & Phillip Yetton 1973

1. Importance of the decision. 2. Importance of obtaining follower commitment to the decision. 3. Whether the leader has sufficient information to make a good decision 4. How well structured the problem is 5. Whether an autocratic decision would receive follower commitment 6. Whether followers "buy into" the organization's goals 7. Whether there is likely to be conflict among followers over solution alternatives 8. Whether followers have the necessary information to make a good decision 9. Time constraints on the leader may limit follower involvement 10. Whether costs to bring geographically dispersed members together are justified. 11. Importance to the leader of minimizing the time it takes to make the decision 12 Importance of using participation as a tool for follower decision skills. In 1973, Victor Vroom and Phillip Yetton developed a **leader-participation model** that related leadership behavior and participation to decision making. Recognizing that task structures have varying demands for routine and nonroutine activities, these **researchers argued that leader behavior must adjust to reflect the task structure**. Vroom and Yetton's model was normative; that is, it provided a sequential set of rules to be followed in determining the form and amount of participation in decision making in different types of situations. The model was a decision tree incorporating seven contingencies (the relevance of which could be identified by making yes or no choices) and five alternative leadership styles. More recent work by Vroom and Arthur Jago has expanded the contingency variables to twelve, as listed in Exhibit 12-3. The original leader-participation model provided some solid, empirically supported insights into key contingency variables related to leadership effectiveness. It confirmed that leadership research should be directed at the situation rather than at the person—that is, it should talk about autocratic and participative situations rather than autocratic and participative leaders.

Managing Global teams

2 characteristics today's organizations - global - work is increasingly done by teams understanding relationship between team effectiveness & team composition more challenging b/c unique **cultural characteristics global team** i.e. global team from culture uncertainty avoidance is high? **Drawbacks:** - disliking team members - mistrusting team members - stereotyping - communication problems - stress & tension **Benefits** - greater diversity of ideas - limited groupthink - increased attention on understanding others' ideas, perspectives **structural areas in global team managing differences seen:** **conformity, status, social loafing, cohesiveness** **Asch's** findings culture-bound conformity to social norms higher in collectivistic cultures than in individualistic cultures groupthink less problem global teams b/c members feel pressured conform to ideas, conclusions, decisions of group importance of status varies in cultures **French** extremely status conscious differ on criteria confer status **Latin America, Asia** status from family position/formal roles in organizations **US/Australia ** less in your face - based on accomplishments than titles or family history **Social loafing has Western bias** consistent w/ individualistic cultures US Canada dominated by self-interest studies US vs. China/Israel collectivist no engage social loafing work better in groups than alone **cohesiveness more difficult to achieve b/c higher levels of mistrust, miscommunication, stress** **communication issues affect global team processes b/c not members may speak team's working language** lead to inaccuracies, misunderstandings, inefficiencies better able to capitalize on diversity of ideas if wide range information is used **managing conflict global teams esp. virtual - interfere w/ how info used by team in collectivist cultures, conflict management style effective**

Communication Barriers

A number of interpersonal and intrapersonal barriers affect why the message decoded by a receiver is often different from what the sender intended. Here, in exhibit 13-2, we see illustrated some of the more prominent barriers to effective communication. **Filtering** refers to the way that a sender manipulates information so that it will be seen more favorably by the receiver. For example, when a manager tells his boss what he feels the boss wants to hear, he is filtering information. In **selective perception, receivers** in the communication process selectively see and hear based on their needs, motivations, experience, background, and other personal characteristics. Receivers also project their interests and expectations onto communications as they decode them. With **information overload**, individuals' finite capacity for processing data is overwhelmed by the onslaught of modern communication. The result is lost information and less effective communication. **Words mean different things to different people**, age, education, and cultural background are three obvious variables that influence the language a person uses and the definitions he or she applies to words. Additionally, specialists in specific fields of work or departments develop their own jargon (or technical language) as do employees spread across different geographic locations. Both **genders** have distinct communication styles, so individuals must acknowledge these differences and strive for acceptance, understanding, and a commitment to communicate adaptively with each other. Finally, communication differences arise from language: the three different languages that individuals use to communicate and the **national culture** of which they're a part. The style of communication also differs for countries that are highly individualistic (like the United States) and those that are collectivist (such as Japan). U.S. managers rely heavily on memoranda, announcements, position papers, and other formal forms of communication to state their positions, whereas the Japanese use face-to-face meetings at which discussion is followed by consensus, at which point a formal document is written.

The Fiedler Model **high** LPC score of 64 or above = respondent interested good personal relations w/coworkers = relationship oriented **low** LPC score of 57 or below = primarily interested in productivity getting job done= task oriented

After an individual's leadership style had been assessed through the LPC, the leader was matched with the situation. Fiedler's research uncovered three contingency dimensions that defined the key situational factors in leader effectiveness as: 1. **Leader-member relations**: The degree of confidence, trust, and respect employees had for their leader; rated as either good or poor. 2. **Task structure**: The degree to which job assignments were formalized and structured; rated as either high or low. 3. **Position power**: The degree of influence a leader had over activities such as hiring, firing, discipline, promotions, and salary increases; rated as either strong or weak. Each leadership situation was evaluated in terms of these three contingency variables, which, when combined, produced eight possible situations that were either favorable or unfavorable for the leader. (See the bottom of the chart in Exhibit 12-2.) Situations I, II, and III were classified as highly favorable for the leader. Situations IV, V, and VI were moderately favorable for the leader. Situations VII and VIII were described as highly unfavorable for the leader. Once Fiedler had described the leader variables and the situational variables, he could define the specific contingencies for leadership effectiveness. To do so, he studied 1,200 groups to compare relationship-oriented versus task-oriented leadership styles in each of the eight situational categories. He concluded that task-oriented leaders performed better in very favorable and in very unfavorable situations. (See the top of Exhibit 12-2 where performance is shown on the vertical axis and situation favorableness is shown on the horizontal axis.) On the other hand, relationship-oriented leaders performed better in moderately favorable situations. Research testing the overall validity of Fiedler's model has shown considerable evidence to support it. However, its **major criticisms include: • It's unrealistic to assume that a person can't change his or her leadership style to fit the situation. • The LPC wasn't very practical. • The situation variables were difficult to assess.** Despite its shortcomings, the **Fiedler model showed that effective leadership style needed to reflect situational factors**.

CH. 12 Leadership and Trust

After studying this chapter, you will be able to: • Define leader and leadership. • Compare and contrast early leadership theories. • Describe the four major contingency leadership theories. • Describe modern views of leadership and the issues facing today's leaders. • Discuss trust as the essence of leadership.

CH. 13 Managing Communication and Information

After studying this chapter, you will be able to: • Describe what managers need to know about communicating effectively. • Explain how technology affects managerial communication. Discuss contemporary issues in communication

Charismatic vs. Visionary Leaders

Amazon.com founder and CEO Jeff Bezos is a charismatic leader. Shown here introducing Amazon's new Kindle Fire tablets, he is described as energetic, enthusiastic, optimistic, and self-confident. Bezos has the drive to set and pursue goals for risky new ventures and uses his charisma to inspire his employees to work hard to achieve them. A **charismatic leader** is an enthusiastic, self-confident leader whose personality and actions influence people to behave in certain ways. The most comprehensive analysis of charismatic leaders identified the following five personal characteristics they share: • They have a vision. • They have the ability to articulate that vision. • They are willing to take risks to achieve that vision. • They are sensitive to both environmental constraints and follower needs. • They demonstrate behaviors that are out of the ordinary. An increasing body of evidence shows impressive correlations between charismatic leadership and high performance and satisfaction among followers. Although a small number of experts still think that charisma can't be learned, most believe that individuals can be trained to exhibit charismatic behaviors. Although the term "vision" is often linked with charismatic leadership, **visionary leadership** is the ability to create and articulate a realistic, credible, and attractive vision of the future that improves upon the present situation. This vision effectively "jump-starts" the future by calling forth the skills, talents, and resources to make it happen. An organization's vision should offer clear and compelling imagery that taps into members' emotions and inspires enthusiasm to pursue the organization's goals. It should generate possibilities that are inspirational and unique and offer new ways of doing things that are clearly better for the organization and its members.

**What Traits Do Leaders Have?**

Attempts to identify traits consistently associated with the process of leadership (the process, not the person) have been more successful. The seven traits associated with leadership are described in Exhibit 12-1. The **seven traits associated with effective leadership** are: **drive, desire to lead, honesty and integrity, self-confidence, intelligence, job-relevant knowledge, and extraversion**. Next, researchers recognized that the identification of effective leaders needed to include interactions of leaders with their group members, as well as situational factors. Possessing the appropriate traits only made it more likely that an individual would be an effective leader. Therefore, leadership research from the late 1940s to the mid-1960s turned to finding the preferred behavioral styles that leaders demonstrated. Researchers wondered whether there was something unique in the behavior of effective leaders.

CH. 10 Mini sim Holden-Evan is a global powerhouse in beauty products including its Stanton skin care brand, the U.S. market leader in mid-priced skin care products for middle-aged women. A marketing team has been formed to pursue an extension of the brand into the aging baby-boomer market, but its efforts soon stall.Given the aging of the population, Holden-Evans marketing leadership believes there may be an opportunity to extend the Stanton product line to serve customers in the aging baby boomer market. As Marketing Manager, you are assigned to diagnose the teams problems and make recommendations to turn things around quickly.

Background A marketing team is formed to pursue the extension of the Stanton product line. As the Marketing Manager, you meet with the team, get to know its members, and observe how they function and their effectiveness. You observe many problems. Team members seem unable to work together smoothly. They have difficulty overcoming obstacles. There is little direction or coordination in their work. No leader has emerged from their ranks. And key information, such as the production costs of proposed line extensions, is not available to the team in a timely manner.

6. Hudson has discovered several people in his department who are also passionately concerned about the opening of a competitor in their region. Each seems to have a different piece of information about this new competitor and when they will open. Hudson really believes this should be something that his colleagues and leaders pay attention to. In order to fully understand what the other passionate colleagues know about the new​ competitor, Hudson should pull together which of the​ following? A. Competitor strategies B. Communication groups C. Undercover communication D. Value added relationships E. A community of practice

Correct. A community of practice is a group of people who share a​ concern, a set of​ problems, or a passion about a​ topic, and who deepen their knowledge by interacting.

2. At​ Rudi's Bakery, if the large work team finds a problem with one of the success​ metrics, a​ _____________ team is then formed to address that specific finding. A. virtual B. ​cross-functional C. problem solving D. focus E. ​self-managed

Correct. A problem solving team is a work team that involves itself in efforts to improve work activities or to solve specific problems.

7. Roseanne is excellent at sharing a compelling vision with others. Despite being a young​ entrepreneur, she often has the ability to gather support based just on her vision. Which of the following would best describe​ Roseanne's leadership? A. Transactional B. Goal focused C. Follower readiness D. Transformational E. High LMX

Correct. A transformational leader produces levels of employee performance that goes beyond what would occur in a transaction alone.

Doug​ Raddi, VP of Marketing at​ Rudi's Organic​ Bakery, discussed motivation as being extrinsic and intrinsic. Which one of the following theories describes motivation as a set of​ lower-order needs that are satisfied predominantly​ externally, and a set of​ higher-order needs that are satisfied​ internally? A. Equity Theory B. ​McClelland's Three-Needs Theory C. ​Herzberg's Two-Factor Theory D. ​Maslow's Hierarchy of Needs E. ​MacGregor's Theory X

Correct. According to​ Maslow's Hierarchy of Needs​ Theory, lower-order needs are satisfied predominantly​ externally, and​ higher-order needs are satisfied internally.

CH. 10 Rudi's Bak 1. Rudi's Bakery works with many teams in their organization. Every week members of a work​ team, with participants from all areas of the​ organization, get together to look at all the key measures for success. This kind of group is best called which of the​ following? A. Focus B. ​Self-managed C. Virtual D. ​Cross-functional E. Problem solving

Correct. A​ cross-functional team is a work team composed of individuals from various specialties across the organization.

2. CH2M Hill likes to see the personality trait of​ _______ in their​ engineers, giving them the ability to be more of a consultant as they interact with their client. A. intuitive B. introvert C. perceiving D. thinking E. extravert

Correct. CH2M Hill likes to see an extraverted engineer who can then operate in a consulting manner with their clients.

2. Rudi's Organic Bakery attracts people with a similar set of values and passion around healthy living. Employees who find themselves sharing values and building relationships with their colleagues are satisfying what level of need on​ Maslow's pyramid? A. Actualization B. Esteem C. Physiological D. Safety E. Belongingness

Correct. Colleagues who bond with others at work and form a community are said to be fulfilling their belongingness needs.

4. For the engineers at CH2M Hill who are working with​ clients, they must have strong social skills and empathy for their client. The personality construct that best captures this is which of the​ following? A. Locus of Control B. Conflict resolution C. Emotional intelligence D. ​Myers-Briggs E. The big five

Correct. Emotional intelligence refers to a collection of noncognitive​ skills, capabilities, and competencies. Two of these are social skills and empathy.

5. Theories in leadership evolved from trait and behavior to include contingency models. What was the first comprehensive contingency​ model? A. ​Leader-participation B. ​Path-goal C. Situational leadership theory D. Fiedler contingency model E. ​Leader-member exchange

Correct. Fred Fiedler was the first scientist to develop a comprehensive contingency view of leadership. He developed an assessment called the​ Least-Preferred Coworker​ (LPC) questionnaire to better understand the contingencies.

6. Bobby is using the Situational Leadership theory to help him improve his leadership. Often he is looking at his​ follower's motivation and skill set. The theory would say Bobby is assessing which of the​ following? A. Least preferred coworker B. Readiness C. ​Self-efficacy D. ​Leader-member exchange E. Feedback

Correct. Hersey and Blanchard included follower readiness in their situational leadership theory. This refers to the extent to which people have the ability and willingness to accomplish a specific goal.

5. Roger, who is a lead engineer for CH2M​ Hill, has a high expectation for​ success, doesn't really care what others​ think, and is satisfied with his job. The personality trait that best describes Roger is which of the​ following? A. Machiavellianism B. ​Self-esteem C. Extraversion D. ​Self-monitoring E. Internal locus of control

Correct. High​ self-esteem has been found to be related to job​ satisfaction, high expectations for​ success, and a lack of concern for what others think.

5. Roger, who is a lead baker for​ Rudi's Bakery, has been on a work team for more than a year. Over​ time, the group members have grown really fond of each other and are proud to be on this team. The stage that this team is at would be which of the​ following? A. Forming B. Norming C. Performing D. Storming E. Adjourning

Correct. In this stage you would find a great deal of identity and camaraderie.

10. The concept of trust is made up of​ integrity, competence,​ consistency, loyalty, and openness. Of the five​ dimensions, which one seems to be most critical when someone assesses​ another's trustworthiness? A. Integrity B. Loyalty C. Competence D. Consistency E. Openness

Correct. Individuals are motivated by the direct link between their effort and their reward. This is one of the tenants of expectancy theory.

8. The ability to create and articulate a fascinating and credible picture of the future is best left to which of the following descriptions of​ leaders? A. Transformational B. Charismatic C. Visionary D. Transactional E. High lmx

Correct. Individuals are motivated by the direct link between their effort and their reward. This is one of the tenants of expectancy theory.

5. The opportunity to lead a marketing project at​ Rudi's Organic Bakery would be considered​ a(n) ________​ reward; a raise for doing a good job is​ a(n) ________ reward. A. ​expressive; cognitive B. ​intrinsic; extrinsic C. ​hygiene; motivator D. ​extrinsic; intrinsic E. ​intrinsic; motivator

Correct. Intrinsic rewards are those that come from within the​ person; these rewards can include a sense of​ accomplishment, self-esteem, and intellectual or creative challenge. Extrinsic rewards are external​ rewards, such as pay​ raises, bonuses, and employee benefits. Herzberg would categorize the opportunity to lead a marketing project as an intrinsic​ reward, or a​ motivator, whereas the pay raise would be considered an extrinsic​ reward, or a hygiene factor.

5. Wes just received the annual retirement report for his area. It looks like within a​ three-year period, Wes could lose three of his​ long-tenured directors. This has Wes very concerned about what to do. These three directors are responsible for some of the most successful client relationships. They know everything about the clients and seem to meet their every need before the client even speaks. Wes should be looking into which of the​ following? A. Client communication B. Personal interaction C. ​Leader-participation D. Knowledge management E. Client exchange

Correct. Knowledge management involves cultivating a learning culture in which organizational members systematically gather knowledge and share it with others in the organization so as to achieve better performance.

4. The digital marketing employee at​ Rudi's Organic Bakery is a young employee with a strong drive to​ "make it" in this industry. This employee could best be described as being high on which of the following​ scales? A. ​Self-actualization B. Theory Y C. Social D. Need for achievement E. Hygiene factors

Correct. Need for achievement is signified by a strong drive to succeed and excel in relation to a set of standards.

3. The fact that Matt can communicate with his colleagues electronically from anywhere on the road is a benefit that IT brings. Communication accessibility becomes easier. This is called which of the​ following? A. Extranet B. Networked communication systems C. Intranet D. Internal IM E. Apps

Correct. Networked communication systems link all organizational computers creating an integral network. Employees can communicate with each other and gain access to information.

Ch. 9 CH2MHill 1. When CH2M Hill describes a person as​ extraverted, they are actually describing a​ person's __________. A. attitude B. fit C. passion D. leadership potential E. personality

Correct. Personality is a unique combination of​ emotional, thought, and behavioral patterns.

3. Many of the early theories of leadership examined specific behaviors. Which of the following described leadership behavior in terms of autocratic styles and democratic​ styles? A. University of Michigan B. Ohio State C. ​Maslow's Hierarchy D. Managerial Grid E. University of Iowa

Correct. The University of Iowa studies helped define leadership behavior in terms of​ autocratic, democratic, and​ laissez-faire styles.

4. Penny would like to be able to communicate her inventory needs with her vendor almost instantly. The best app for this opportunity would be which of the​ following? A. Email B. Extranet C. Intranet D. IM E. ​Internet-based video communication

Correct. The extranet is an organizational communication network using Internet technology that allows authorized organizational users to communicate with certain outsiders such as customers or vendors.

Ch. 13 Warm Up 1. Communication is a​ seven-step process. Which of the following is the first step a manager who wishes to communicate new ideas would​ do? A. Decoding B. Channeling C. Feedback D. Encoding E. Messaging

Correct. The first step in the communication process is encoding. The sender initiates a message by encoding a thought.

4. Which of the following early theories of leadership defined leader behavior as concern for people and concern for​ production? The theorists went so far as to label one of their styles of​ leadership, "country​ club." A. Managerial grid B. University of Michigan C. University of Iowa D. Ohio State E. ​Maslow's Hierarchy

Correct. The managerial grid measured each​ leader's concern for people and the​ leader's concern for production on a scale from 1 to 9. The​ 9,1 style was labeled​ "country club," showing high concern for people and low concern for production.

3. ​Raddi, VP of Marketing at​ Rudi's Organic​ Bakery, spoke of allowing his digital marketing employees to work from any space the employees would like. Raddi thought that a change of environment might increase the​ employees' creativity. Which of the following leadership theories would best describe​ Raddi's feelings about his​ employees? A. Theory X B. ​Herzberg's Two-Factor Theory C. Theory Y D. ​Maslow's hierarchy of needs E. ​McClelland's Needs Theory

Correct. Theory Y is a positive view that assumes employees enjoy​ work, seek out and accept​ responsibility, and exercise​ self-direction.

4. Rudi's Bakery has pulled together a​ cross-functional team that is looking at the issues of distribution. This is the​ team's second​ meeting, and there is a great deal of confusion over who the real leader is and what the exact goals are for the team. The stage that this team is at would be which of the​ following? A. Forming B. Adjourning C. Storming D. Norming E. Performing

Correct. This is the stage at which you would find intragroup conflict.

3. When working with​ clients, CH2M Hill encourages their engineers to operate as consultants. This would require their engineers to have some​ creativity, imagination, and intellect. Which of the following personality traits best characterizes this​ behavior? A. Extraversion B. Conscientiousness C. Openness to experience D. Agreeableness E. Emotional stability

Correct. This personality dimension best describes the degree to which someone is​ creative, imaginative, and intellectual.

9. Trust is defined as which of the​ following? A. Belief in the​ leader's character B. Belief in the​ leader's integrity C. High lmx D. Belief in the​ leader's integrity,​ character, and ability E. Belief in the ability of the leader

Correct. Trust is defined as the belief in all three. Followers who trust their leaders are willing to be vulnerable to the​ leader's actions.

2. When Elaine was trying to motivate her team toward a challenging​ goal, she often​ said, "We MUST get this​ done!" She would emphasize the word​ "must." This is called which of the​ following? A. Selective perceptive B. Overload C. Verbal intonation D. Filtering E. Word control

Correct. Verbal intonation refers to the emphasis someone gives to a word or phrases.

3. At​ Rudi's Bakery sales staff must travel the country meeting with their distributors. The best kind of meeting to have when employees are disbursed in different locations is which of the​ following? A. ​Self-managed B. Virtual C. ​Cross-functional D. ​Problem-solving E. Sales

Correct. Virtual teams use technology to link physically dispersed members in order to achieve a common goal.

Knowledge Management

Cultivating a learning culture in which organizational members systematically gather knowledge and share it with others. One way organizations can manage knowledge resources is to build **online information databases** so employees can communicate, access research, and learn from other staff how to do their jobs more effectively and efficiently. Another tool for managing knowledge is to create **communities of practice**, which are groups of people who share a concern, a set of problems, or a passion about a topic, and who deepen their knowledge and expertise in that area by interacting on an ongoing basis. To make these "communities of practice" work, however, it's important to maintain strong human interactions by using tools such as interactive websites, e-mail, and videoconferencing. Of course, these groups face the same communication problems that individuals face—such as filtering, emotions, defensiveness, overdocumentation, and so forth—and they can resolve these issues by trying the suggestions discussed earlier.

The Team's Perspective Talking further with the team, you learn that the previous manager, Peter, was domineering and micromanaged people. When the team resisted, he quit. The team members say that they expect clear direction from management, but want to be left alone when it comes to actually doing their jobs. If their manager is open to hearing from them, unlike Peter, they'll speak up when they have an idea or think things are going wrong, but in general they would like the manager to provide leadership and to give just enough direction that they are able to perform their jobs unaided.

Decision Point: Ethical Issue At the end of the meeting, some of your team members mention that Peter used to take them all out for an expensive dinner whenever there was leftover project money. You have just finished reading your Tri State Policy Manual and know this is against the company ethics policy. Your team wants to know if you'll continue it. What do you do? Select an option from the choices below and click Submit. Report the team to HR. They need to shape up and follow the rules. Agree to continue the practice. You want the employees to like you, and it isn't really stealing—the money would have been spent on the project anyway. End the practice, but find a company-sanctioned way to reward the team when they complete the next project.

**7 Traits of effective leadership**

Drive - leaders exhibit a high effort level. They have a relatively high desire for achievement, they are ambitious, they have a lot of energy, they are tirelessly persistant in their activities,sand they show initiative. Desire to lead - leaders have a strong desire to influence and lead others. They demonstrate the willingness to take responsibility. Honesty and integrity - Leaders build trusting relationships with followers by being truthful, or nondeceitful, and by showing high consistency between word and deed. Self-confidence - followers look to leaders who don't self-doubt. Leaders, therefore, need to show self-confidence in order to convince followers of the rightness of their goals and decisions. Intelligence - leaders need to be intelligent enough to gather, synthesize, and interpret large amounts of information, and they need to be able to create visions, solve problems, and make correct decisions. Job-relevant knowledge - effective leaders have a high degree of knowledge about the company, industry, and technical matters. In-depth knowledge allows leaders to make well-informed decisions and to understand the implications of those decisions. Extraversion - leaders are energetic, lively people. They are sociable, assertive, and rarely silent or withdrawn. Proneness to guilt - guilt proneness is positively related to leadership effectiveness because it produces a strong sense of responsibility for others.

Path-Goal Model

Environmental contingency factors: ** task structure ** formal authority system ** work group Leader behavior: ** directive ** supportive ** participative ** achievement oriented Outcomes: ** performance ** satisfaction Employee contingency factors: ** locus of control ** experience ** perceived ability In contrast to Fiedler's view that a leader couldn't change his or her behavior, House assumed that leaders are flexible and can display any or all of these leadership styles depending on the situation. As Exhibit 12-4 illustrates, **path-goal theory** proposes two situational (or contingency) variables that moderate the leadership behavior-outcome relationship: 1. Those in the **environment** that are outside the control of the follower (such as task structure, formal authority system, and the work group). 2. Those that are part of the **personal characteristics of the follower** (which include locus of control, experience, and perceived ability). ● Environmental factors determine the type of leadership behavior required to maximize subordinate outcomes. Personal characteristics of the follower determine how to interpret the environment and leadership behavior. For example, some predictions from path-goal theory are: •Directive leadership leads to greater satisfaction when tasks are ambiguous or stressful and followers aren't sure what to do. •Supportive leadership results in high employee performance and satisfaction when subordinates are performing structured tasks. •Subordinates with an internal locus of control will be more satisfied with a participative style of leadership. Research findings on the path-goal model have been mixed due to the number of variables to examine. However, evidence does show that an employee's performance and satisfaction are likely to be positively influenced when the leader chooses a leadership style that compensates for shortcomings in either the employee or the work setting.

Overcoming Communication Barriers

Here in Exhibit 13-3 we see some suggestions that can help make communication more effective. Because many communication problems are directly attributed to misunderstandings and inaccuracies, a manager can **ask questions** to determine if the message was understood, can ask the receiver to **restate the message** in his or her own words, and can be alert to nonverbal cues. A manager should also **simplify communication** so it's clear, easily understood, and in language customized to the specific employee or group being addressed. Managers must also practice **active** listening, which is listening for full meaning without making premature judgments or interpretations. Active listening demands total concentration, and is enhanced by developing empathy with the sender. Active listeners use eye contact, affirmative nods, and appropriate facial expressions; appear attentive and ask questions; avoid interrupting the speaker; and make smooth transitions between being a speaker and a listener. When they are upset, managers should **control their emotions**. **Strong emotions make it easier** to misconstrue incoming messages and more difficult to communicate outgoing messages clearly and accurately. Because actions speak louder than words, it's important to make sure your actions align with and reinforce the words you use to ensure that your nonverbal cues convey the desired message.

The Importance of Trust **Building Trust** * Practice openness * Be fair * Speak your feelings * Tell the truth * Be consistent * Fulfill your promises * Maintain confidences * Demonstrate confidence

In today's uncertain environment, leaders need to build, or even rebuild, trust and credibility. Before we can discuss ways leaders can do that, we have to know what trust and credibility are and why they're so important. **The main component of **credibility** is honesty**. Surveys show that honesty is consistently singled out as the number one characteristic of admired leaders. In addition, credible leaders are competent and inspiring. They are personally able to effectively communicate their confidence and enthusiasm. **Trust is closely entwined with the concept of credibility,** and is defined as the belief in the integrity, character, and ability of a leader. Research has identified** five dimensions that make up the concept of trust**: **1. Integrity 2. Competence 3. Consistency 4. Loyalty 5. Openness** Of these five dimensions, integrity seems to be the most critical when someone assesses another's trustworthiness. Workplace changes have reinforced the importance of these leadership qualities because employee empowerment and self-managed work teams have reduced many traditional control mechanisms used to monitor employees. Employees have to trust managers to treat them fairly, and managers have to trust employees to conscientiously fulfill their responsibilities—whether they are onsite, members of cross-functional or virtual teams, or a strategic alliance. Research has shown that trust in leadership is significantly related to positive job outcomes, including job performance, organizational citizenship behavior, job satisfaction, and organizational commitment. Leaders need to build trust with their followers. Some suggestions for how to build trust are shown here in Exhibit 12-7.

Interviewing Team Members: Jaime Next, you meet with Jaime. He has limited experience working in teams, and his success as a team member has been mixed. He is one of the most effective and capable marketing analysts at Holden-Evan but has a reputation for creating conflicts. He is considered somewhat of a "lone wolf." You ask Jaime about his involvement in the group. He responds: "The way the team started was pretty strange. By the end of the first week I realized we were all just duplicating effort and had no rules or details about the job. When Veronica wanted to move on to creative ideas, I hit the roof. We hadn't discussed any details about the project, didn't have any rules, and were already delving into the 'creative ideas' phase!"

Interviewing Team Members: Jaime "I told the team we needed to start over and get things right. Antoine initially agreed with me, but then he started talking about different options for moving forward like sourcing additional expertise, making sure we had enough support, and things like that. He even started adding insight to the creative options posed by Veronica! I had to shut him down and get him to focus, too! I think I offended both of them. Neither one has talked to me much since that meeting. We aren't getting much done."

Interviewing Team Members: Veronica The team consists of three Marketing Analysts with different levels of experience and seniority. You decide to interview each team member individually. First you meet with Veronica, the most junior of the three marketing analysts on the team. Having previously worked on a number of successful teams, she is highly regarded for initiating and championing creative ideas. You ask for her observations about the team's efforts thus far. She says: "When the team first met, everyone seemed enthusiastic. We didn't have much direction so we all just started doing what marketing analysts do: gathering information about market demographics, spending habits, preferences, etc. After a week we held our second team meeting and compared our findings. Not surprisingly, everyone's data findings were identical." Click Next to continue.

Interviewing Team Members: Veronica "Things got strange when I suggested ideas for moving forward. Jaime said we were 'getting ahead of ourselves' and 'we should focus more on the details of our task and establish rules before getting too deep into the creative side of things.' He caught me way off guard. Here I was already thinking about the creative side of things when he decides to shut it all down and talk about details and rules! He refused to move forward with any of my ideas! I got frustrated and just shut down."

Leadership Abilities born with or taught to be a leader?

Leadership can be taught! ** Different situations require different leadership styles Successfully leading a team of accomplished research scientists is going to be different from leading a team of part-time holiday help in a large retail store ** Most people can learn to adapt their leadership style to different situations. HOW? **BY examining: * Personal characteristics of the people you're leading (skills, abilities, weaknesses, etc. ) * Types of tasks these individuals are expected to do * Other factors that might be important to the followers' ability to do their task (resources available, deadlines, etc. )** **Effective Leadership Happens** **when a leader's individual style is properly matched to the situation - that's when the magic happens**

12-1 Define **leader** and **leadership**

Leaders and Leadership **Leader** is someone who can **influence** others and who has managerial authority **Leadership** is the process of **leading a group** and **influencing** that group to achieve its goals **A leader** is someone who can influence others and who has managerial authority. ** **Leadership** is what leaders do—that is, the process of leading a group and influencing that group to achieve its goals. **Because leading is one of the four management functions, ideally all managers should be leaders**. Let's study leaders and leadership from a managerial perspective, with research aimed at answering the question: "What is an effective leader?" Michigan studies job-centered and employee-centered Ohio State studies initiating structure and consideration both are necessary for effective leadership - dual focus on **what** a leader does - leaders expected to focus on both **task** and on the **people he or she is leading**

**Lease-Preferred Coworker Questionnaire**

Now let's examine four contingency theories— **Fiedler, Hersey-Blanchard, leader-participation, and path-goal—that each look at defining leadership style and the situation, and attempt to answer the contingency: If this is the context (or situation), then this is the best leadership style to use. The **first comprehensive contingency model for leadership was developed by Fred Fiedler** and was based on the premise that a certain leadership style would be most effective across all different types of situations. Fiedler proposed that a key factor in leadership success was an individual's basic leadership style, which could be categorized as either task oriented or relationship oriented. To measure a leader's style, Fiedler developed the **least-preferred coworker (LPC) questionnaire**. This **questionnaire contained 18 pairs of contrasting adjectives**—such as pleasant-unpleasant and boring-interesting. Respondents were asked to think of all the coworkers they had ever had and to describe that one person with whom they least enjoyed working by rating him or her on a scale of 1 to 8 for each of the sets of adjectives. If the leader described the least preferred coworker in relatively positive terms, then the leader was primarily interested in good personal relations with coworkers and the style would be described as relationship oriented. In contrast, if the leader saw the least preferred coworker in relatively unfavorable terms, then that leader was primarily interested in productivity and his or her style would be labeled as task oriented. Fiedler did acknowledge that a small number of people might fall between these two extremes, but he also assumed a person's leadership style was fixed regardless of the situation. Richard Branson, founder and CEO of Virgin Group, is a relationship oriented leader. Pictured here with an in-flight teammate while showing the interior of a new Virgin airplane, Branson is fun loving, takes a personal interest in the needs of employees, emphasizes interpersonal relations, and accepts individual differences among workers.

Wireless Communication

People don't need to be physically at the office to communicate, collaborate, and share information with managers and colleagues. In **wireless communication** systems, people can be connected without being physically "plugged in" at work. Mobile technology is extremely popular, with the payoff being an improvement in the way you work. This means that people don't have to be physically "at the office" in order to communicate, collaborate, and share information with managers and colleagues. Managers and employees can "keep in touch" using smartphones, tablet computers, notebook computers, and mobile pocket communication devices. And wireless communication works. Anywhere on the planet. People can send and receive information from anywhere. From the summit of Mt. Everest to the remotest locations.

Ethical Communication

Presented material that contains all the relevant information, is true in every sense, and is not deceptive in any way. It's particularly important today that a company's communication efforts be ethical. This means that the communication includes all relevant information, is true in every sense, and is not deceptive in any way. Unethical communication often distorts the truth or manipulates audiences—for example, by omitting essential information, selectively misquoting, misrepresenting numbers, distorting visuals, or failing to respect privacy or information security needs. Managers encourage ethical communication by establishing clear ethical guidelines for behavior and business communication. In a global survey by the International Association of Business Communicators, 70 percent of communication professionals said their companies clearly define what is considered ethical and unethical behavior. If no clear ethical guidelines exist, apply the following questions to help you think through your communication choices and consequences: •Has the situation been defined fairly and accurately? •Why is the message being communicated? •How will the people who may be affected by the message or who receive the message be impacted? •Does the message help achieve the greatest possible good while minimizing possible harm? •Will this decision that appears to be ethical now seem so in the future? •How comfortable are you with your communication effort? •What would a person you respect think of it? •

**Trait Theories of Leadership**

Researchers began studying leadership in the early part of the twentieth century and focused on the: • **The person** (leader trait theories). • **The behaviors**-how the leader interacted with his or her group members (behavior theories). When asked the question, "What do you know about leadership?" most people cite a list of qualities they admire in leaders—intelligence, charisma, decisiveness, enthusiasm, strength, bravery, integrity, and self-confidence, and so forth. That's the **trait theories of leadership** in a nutshell—the search for traits or characteristics that differentiate leaders from nonleaders. If this concept was valid . . . all leaders would have to possess those unique and consistent characteristics, making it easy to find leaders in organizations. But despite the best efforts of researchers, finding a set of traits that would always differentiate a leader (the person) from a nonleader hasn't happened.

Personal Interaction

Social media can minimize personal interaction Even though one of the most popular types of technology is called **"social" media**, one critical communication challenge posed by the Internet age is the lack of personal interaction. Therefore, some companies have banned e-mail on certain days and others have simply encouraged employees to collaborate more in person. When you think about how difficult even face-to-face communication can be, it can be even more challenging to achieve understanding and collaboration on work when communication takes place in a virtual environment. However in some situations, personal interaction isn't physically possible. In these situations, real-time collaboration software (such as private workplace wikis, blogs, instant messengers, and other types of groupware) may be a more efficient and effective communication choice than e-mail. Some companies have created their own in-house social networks such as Starcom MediaVest Group, whose employees tap into SMG Connected to find colleague profiles. These profiles outline their jobs, list the brands they admire, and describe their values.

Nonverbal Cues **It's not WHAT you say but HOW you say it**

Some of the most meaningful communications are neither spoken nor written. These nonverbal communications—such as a loud siren, red flashing light, the size of a person's office and desk, or someone's clothing—convey messages to others. The best-known areas of nonverbal communication are body language and verbal intonation. •**Body language** refers to gestures, facial configurations, and other movements of the body. Hand motions, facial expressions, and other gestures can communicate emotions or temperaments such as aggression, fear, shyness, arrogance, joy, and anger. •**Verbal intonation** refers to the emphasis someone gives to words or phrases, and can make a statement sound defensive or friendly. The adage "it's not what you say but how you say it" is something managers should remember as they communicate. In oral communication, the nonverbal component carries the greatest impact. Research indicates that from 65 to 90 percent of the message of every face-to-face conversation is communicated through body language.

Contemporary Issues: Emotional Intelligence (EI) Becoming a STAR leader **EI more than any other single factor, is the best predictor of who will emerge as a leader.**

Some recent studies indicate that emotional intelligence (EI)—more than IQ, expertise, or any other single factor—is the best predictor of who will emerge as a leader. While technical skills are necessary, they are not sufficient for leadership. Possession of the five components of emotional intelligence—self-awareness, self-management, self-motivation, empathy, and social skills—allows an individual to become a star performer. EI has been shown to be positively related to job performance at all levels, but it appears to be especially relevant in jobs that demand a high degree of social interaction—which is what leadership is all about. Most research concludes that EI is an essential element in leadership effectiveness and that it could be added to the list of traits associated with leadership that were described at the beginning of this chapter.

The Grapevine: Fruitful or Not?

The **grapevine** is the unofficial way that communications take place in an organization and it's neither authorized nor supported by the organization. In the grapevine, information is spread by word of mouth—and even through electronic means. Good information travels quickly, but bad information travels even more quickly. The **biggest issue about grapevines is the accuracy of the information** that is communicated. Research shows that in an organization characterized by openness, the grapevine may be extremely accurate. However, in an authoritative culture, the rumor mill may be inaccurate but still contain some element of truth. So while details may not be accurate, the reports that something is about to happen are probably on target.

**Situational Leadership**

Which **leadership styles** might be suitable in different situations, and what are those **different situations**? The dual nature of leader behaviors—that is, focusing on the work to be done and focusing on the employees—is an important characteristic of each of these studies. Leadership researchers were discovering that predicting leadership success involved something more complex than isolating a few leader traits or preferable behaviors. They began looking at situational influences. Specifically, which leadership styles might be suitable in different situations and what were these different situations?

**Situational Leadership Theory** (SLT) Paul Hersey & Ken Blanchard **uses same 2 leadership dimensions Fiedler identified: task & relationship behaviors**

Why does a leadership theory focus on the **followers**? What does **readiness** mean? **The Situational Leadership Theory (SLT)** is a contingency theory that **focuses on followers' readiness**. It was developed by Paul Hersey and Ken Blanchard and enjoys a strong following among management development specialists. Let's stop here to clarify two points: (1) why a leadership theory focuses on the followers, and (2) what is meant by the term readiness. The emphasis on the followers reflects the reality that it is the followers who accept or reject the leader, regardless of what the leader does, so the group's effectiveness depends on the actions of the followers. **Readiness**, as defined by Hersey and Blanchard, refers to the extent to which people have the ability and willingness to accomplish a specific task**. SLT uses the same two leadership dimensions that Fiedler identified—task and relationship behaviors—but takes it a step further by considering each as either high or low and then combining them into four specific leadership styles. **LEADER** **FOLLOWERS** Now- let's put the **TWO TOGETHER** 1.**Telling** (high task-low relationship), in which the leader defines roles and tells people what, how, when, and where to do various tasks. 2. **Selling** (high task-high relationship), in which the leader provides both directive and supportive behavior. 3. **Participating** (low task-high relationship), in which the leader and followers share in decision making and the main role of the leader is facilitating and communicating. 4. **Delegating** (low task-low relationship), in which the leader provides little direction or support. The final component in the model is the four stages of follower readiness: •* **R1: People are both unable and unwilling** to take responsibility for doing something. Followers aren't competent or confident. •* **R2: People are unable but willing** to do the necessary job tasks. Followers are motivated but lack the appropriate skills. •* **R3: People are able but unwilling** to do what the leader wants. Followers are competent but don't want to do something. •* **R4: People are both able and willing** to do what is asked of them. **SLT essentially views the leader-follower relationship like that of a parent and a child, in which a parent needs to relinquish control when a child becomes more mature and responsible**. As followers reach higher levels of readiness, the leader responds not only by decreasing control over their activities but also by decreasing relationship behaviors.

Behavioral Theories of Leadership

Would behavioral theories of leadership provide more definitive answers about the nature of leadership? If behavioral theories could identify critical behavioral determinants of leadership, people could actually be trained to be leaders. This is the premise behind management development programs. Let's look at some major studies of leadership: University of Iowa, Ohio State, University of Michigan, and the Managerial Grid.

Decision Point: A New Business Model You now decide which new business model to pursue. Choose from the available options. Select an option from the choices below and click Submit. Tri State should begin selling its own popcorn, using the company's butter`. Tri State should open its own chain of movie theaters. Tri State should switch to all-organic butter

You selected that Tri State should begin selling its own popcorn, using the company's butter. This was the best choice. This choice builds on the tradition of local butter in local popcorn. Additionally, this is a new product that is close enough to Tri State's traditional products that the company would have the knowledge and experience necessary to succeed.

Decision Point: A New Client You now must decide which new client to pursue. Choose from the available options. Select an option from the choices below and click Submit. Another regional video rental store that is currently in better financial shape than Rock Luster. A regional movie theater that will use the butter in its popcorn. A national chain of candy stores that will use the butter in the popcorn it sells in your region for "homegrown flavor."

You selected a regional movie theater that will use the butter in its popcorn. This was the best choice. People in the area viewed the local popcorn as a point of cultural pride, and this is the best way to tap into that feeling and maintain the local source of the popcorn.

Decision Point: Employee Stress One of the team members, Caroline, comes into your office to explain that the work environment had been stressful when Peter was around. She thinks that the real problem is that the team was given unclear goals. Which of the following would weaken her argument? Select an option from the choices below and click Submit. Peter had a habit of withholding information. The team members have been isolated from each other and seldom interact. Peter micromanaged the team by giving each member a list of tasks to complete each day

You selected that Peter micromanaged the team by giving each member a list of tasks to complete each day. This was the best choice. If Peter micromanaged the team and directed them which tasks to complete each day, then they were given clear goals.

Decision Point: Team Empowerment Back in your office, you attempt to contact Peter, the former manager, to learn more about the team from his point of view, but his voicemail message says he will not talk to anyone from Tri State. Left to draw your own conclusions, you suspect that a big problem with this team has been a lack of empowerment. Which of the following, if true, would strengthen this view? Select an option from the choices below and click Submit. Peter was completely dependent on team ideas and would make no decisions on his own. Peter believed that his employees were hard-working, ambitious, and committed to helping the company succeed. Peter refused to listen to team opinions or ideas, and ordered everyone to work according to his direction.

You selected that Peter refused to listen to team opinions or ideas, and ordered everyone to work according to his direction. This was the best choice. This situation would lead to micromanagement and a team that had no choice but to follow their leader's directions—the opposite of empowerment.

Decision Point: Rock Luster Video At the next team meeting, you discuss the Rock Luster Video issue. Caroline has the most passionate opinion: She thinks Tri State butter in Rock Luster popcorn is a local tradition that must be maintained. You listen to her opinion, and decide: Select an option from the choices below and click Submit. You agree. Tri State must try to win this client back. You disagree. Tri State must change its business model for selling butter. You disagree. Tri State must find a new client for its butter

You selected that Tri State must find a new client for its butter. This was the best choice. Rock Luster is no longer viable, and trying to win them back would be a waste of time and money. Tri State should find a new client with a more profitable business to establish a new relationship with. You selected that Tri State must try to win Rock Luster Video's business back. This was not the best choice. Rock Luster is clearly having serious financial trouble and would probably soon go out of business. It could be a waste of time and money to pressure them to continue buying your butter. You selected that Tri State must change its business model for selling butter. This was an OK choice. Considering the declining video-rental industry, however, this is risky as Tri State will have to learn to succeed in a new way.

Decision Point: Your Leadership Style Your first morning in your new office, you reflect on what type of manager and leader you hope to be. What would your preferred leadership style be for this situation? Select an option from the choices below and click Submit. Employees' behavior can be shaped and motivated, not only by rewarding good behavior but also by penalizing bad behavior. Employees need to be discouraged from bad behavior. They work harder when they know that failure has consequences. Employees are more loyal and productive if they feel their leader is caring and ethical.

You selected that employees are more loyal and productive if they feel their leader is caring and ethical. This was the best choice. As a leader who favors referent power, you are likely to have a strong and productive working relationship with your employees. With this leadership style, you would inspire loyalty and your team would follow you because they want to rather than because they are forced to.

Decision Point: Understanding Your Team Back in your office, you consider what is the most likely reason for the team's subdued behavior. You decide the reason is _________ Select an option from the choices below and click Submit. the team is suffering from a culture that prevents the open expression of ideas. the team members are lazy and unintelligent. the team resents you for taking Peter's place.

You selected that the team is suffering from a culture that prevents the open expression of ideas. This was the best choice. Given the negative reaction to the CEO's praise for Peter and the team's reluctance to offer any ideas, this is the most likely conclusion.

Decision Point: Team Purpose Your team needs to fully understand its common purpose. The team leader asks your opinion about how this should be accomplished. What will you recommend? Select an option from the choices below and click Submit. The team leader should set up a series of meetings so that the team can discuss, shape, and agree on a purpose. The team leader should reiterate the common plan and purpose to the new team members and let them all get to work. The team leader should set up a series of goal-setting meetings with the team.

You selected that the team leader schedule a series of meetings for the team to discuss, shape, and agree on a purpose. This was the best choice. Members of successful teams put a great deal of time and effort into this activity so that the purpose belongs to them both individually and as a team. You selected that the team leader should reiterate the common plan and purpose of the team to new members and let them all get to work. This was **not the best choice**. The team needs to be involved in this process.

Decision Point: Team Roles The new team leader maps out her ideal team based on team roles. She asks you to review her ideas and give feedback. What advice would you give her about existing team members? Select an option from the choices below and click Submit. The three current team members each fulfill different necessary roles within the team. Assuming she can solve the interpersonal issues surrounding Jaime, she should try to keep all existing team members. Veronica and Antoine have proven their ability to move forward and produce results despite the lack of direction and leadership. They should stay on the team. Jaime did nothing but hinder progress and should be let go. The existing team members are ineffective. They have only succeeded in gathering data and building animosity within the team. They should all be replaced.

You selected that the three current team members each fulfill different necessary roles within the team. Assuming she can solve the interpersonal issues surrounding Jaime, she should try to keep all existing team members. This was the best choice. Existing team members have valuable skills and team roles. Training in "team skills" might solve the difficulty Jaime has working in teams.

Decision Point: Diagnosing the Problem You're starting to form some initial impressions about the team's problems. What would you recommend based on your impressions thus far? Select an option from the choices below and click Submit. It's clear that Veronica and Antoine reacted too strongly to Jaime's objections, then allied with each other to shut him out. All three team members need to be reminded of their team objective and understand there will be negative consequences if goals aren't met. Jaime is causing most of the problems. The team was at least making some progress before he shut them down. Now, no one wants to work with him and he is ineffective. You should replace him. You may have some correct opinions and impressions about the team and its members at this point, but you really haven't gathered enough information to start recommending changes to the team. You should continue gathering information.

You selected that you may have some correct opinions and impressions about the team and its members at this point, but you really haven't gathered enough information to start recommending changes to the team. You should continue gathering information. This was the best choice. Interviewing all three team members is necessary to form a balanced, informed decision.

Decision Point: Choosing a Course of Action You have observed the team's ability to function and effectiveness (or lack thereof), interviewed the three team members, reviewed your notes, and considered your options. Now it's time to make some decisions. Which course of action will you choose? Select an option from the choices below and click Submit. You assign a highly successful marketing executive as team leader. You take Jaime off the team and replace him with another marketing analyst. You assign Antoine as official team leader. He gave you the most mature assessment of the team's problems and he recognizes the need for additional expertise and resources for the team to be successful.

You selected to assign a highly successful marketing executive as team leader. This was the best choice. After interviewing all team members, your decision was to focus on providing senior leadership, direction, structure, and experience to the team. Dedicating the time and talent of a successful marketing executive to the team is a serious commitment of company resources. A senior executive will also have the political heft to attract additional resources and personnel to the team.

Decision Point: Message to Your Team Your first staff meeting will be on Thursday. What message do you plan to send your team? Select an option from the choices below and click Submit. I know things have been difficult, but we're going to work together to turn things around. I'm new here, so I'm depending on all of you, who know your jobs better than I do, to make the best decisions for the good of the company. There's going to be no more nonsense from this team. From now on, you're going to do as you're told.

You selected to say, I know things have been difficult, but we're going to work together to turn things around. This was the best choice. This statement shows that you recognize the team's feelings and include them in the effort to improve things in the future.

Decision Point: Team Conflicts A month into their work, conflicts begin arising within the team. The team leader fears the team members may not be able to work together. She asks your advice on what to do about this situation. Select an option from the choices below and click Submit. Determine whether the conflicts are personality conflicts or task conflicts and whether they are harmful to the team. Then take action accordingly or allow the conflicts to continue. Find out the team members who are responsible for the conflicts, interview each of them separately, then decide which team member(s) should be dismissed and which team member(s) simply need "team player" training. If the conflict is a task conflict, you must clarify which team members are responsible for which tasks in order to resolve the conflict.

You selected to determine whether the conflicts are personality conflicts or task conflicts and whether they are harmful to the team. Then take action accordingly or allow the conflicts to continue. This was the best choice. Task conflict on a team isn't necessarily bad. It can actually improve team effectiveness. Relationship conflicts are almost always dysfunctional.

Decision Point: Ethical Issue At the end of the meeting, some of your team members mention that Peter used to take them all out for an expensive dinner whenever there was leftover project money. You have just finished reading your Tri State Policy Manual and know this is against the company ethics policy. Your team wants to know if you'll continue it. What do you do? Select an option from the choices below and click Submit. Report the team to HR. They need to shape up and follow the rules. Agree to continue the practice. You want the employees to like you, and it isn't really stealing—the money would have been spent on the project anyway. End the practice, but find a company-sanctioned way to reward the team when they complete the next project.

You selected to end the unethical behavior but find a company-sanctioned way to reward the team after the next successful project. This was the best choice. Hopefully, this example will lead the team away from unethical behavior and inspire them to follow Tri State's ethics policies more closely.

Decision Point: Team Culture The CEO continues and asks, "How will you address the problems with the team culture?" Select an option from the choices below and click Submit. Immediately implement the ideal team culture. Leave the culture as it is; instead of changing it, you will adapt to it. Get to know the people and the situation better before you institute any changes

You selected to get to know the people and the situation better before you institute any changes. This was the best choice. You need to get to know your employees before you can understand the problems they're facing and where changes would be most useful. Additionally, the team needs a chance to get to know you in order to want to follow you.

Decision Point: Caroline's Response After you announce your decision, Caroline has an angry and unprofessional moment. She accuses you of not knowing what you're doing, then stomps off. How should you respond? Select an option from the choices below and click Submit. Agree to let her make a presentation to Rock Luster's executive team, to try to win them back as a client. In a private meeting, explain that such behavior is unacceptable, but also try to understand the source of her anger. Fire her immediately. This is unacceptable behavior

You selected to meet with Caroline privately and explain that such behavior is unacceptable, but try to understand the source of her anger. This was the best choice. You have not worked with her very long, and need to understand whether her actions were the result of true unprofessionalism or a byproduct of the team culture. You should give her a chance to redeem herself. Additionally, understanding her anger may give you more insight into the issue.

Decision Point: New Team Members The new team leader is a seasoned executive recognized for her strengths in leadership and team structuring. She also has the political influence to fight any battles external to the team and garner additional resources. She asks you to choose up to two additional team members based on roles still needed within the team. Which new team members will you choose? Select an option from the choices below and click Submit. You need someone to fill the administrative role, so you recommend a senior executive administrator. You also clearly need accounting guidance, so you recommend a strong assistant controller. You recommend a senior new product development analyst who excels not only in his field, but also in compiling thorough information searches. You also recommend a finance director who excels in financial modeling and is also an excellent coordinator and integrator of team activities. You recommend a very strong marketing analyst with excellent creative abilities. You also recommend a sales director known for providing strong direction and follow-through.

You selected to recommend a senior new product development analyst who excels not only in his field, but also in compiling thorough information searches. You also recommend a finance director who excels in financial modeling and is also an excellent coordinator and integrator of team activities. This was the best choice. The candidates have the needed finance and product development expertise. This further enhances their value to the team.

Decision Point: Selecting Personnel In a meeting in your office, the new team leader wonders aloud whether it is a good idea to have only marketing personnel on the team. She asks you what other areas of knowledge, skill, and expertise should be represented. What knowledge or skill sets would you recommend? Select an option from the choices below and click Submit. You recommend two additional members for the team: one from new product development to help determine the feasibility of creating products for the baby boomer market and one from finance to quantify the size of the opportunity in terms of revenues and profitability. You recommend an accounting specialist to keep tabs on team expenditures. You also recommend a senior administrator to keep files and records and handle administrative duties. You recommend that only marketing personnel be included in the team. After all, this is clearly a marketing effort.

You selected to recommend two additional members for the team: one from new product development to help determine the feasibility of creating products for the baby boomer market and one from finance to quantify the size of the opportunity in terms of revenues and profitability. This was the best choice. Both of these people would be valuable members of the team.

Decision Point: Team Leader The senior marketing executive you have assigned as team leader asks you to stay on as a team consultant until she gets things rolling. She asks your advice on her first course of action. What will you advise her to do? Select an option from the choices below and click Submit. Replace Jaime on the team with another marketing analyst, making sure the new team member has the same skills and can play the same team role as Jaime, but has better interpersonal skills. Meet with the team to begin refining their purpose and deciding on specific goals. Start from scratch and define her ideal team based on knowledge, skills, abilities, and preferences. Determine whether any existing team members are a good fit.

You selected to start from scratch and define her ideal team based on knowledge, skills, abilities, and preferences. Determine whether any existing team members are a good fit. This was the best choice. Her first priority should be to provide the team with the proper structure, roles, and expertise before determining its purpose and goals and getting to work.

Decision Point: Winning Rock Luster Video Back How should you try to win Rock Luster back? Select an option from the choices below and click Submit. Offer to lower the price of Tri State's butter until Rock Luster becomes more profitable. Work with Rock Luster to find a way to sell the popcorn in other venues than the failing video stores. Send Caroline to make a presentation to Rock Luster's executive team, emphasizing the tradition of Tri State's butter in their popcorn.

You selected to work with Rock Luster to find a way to sell the popcorn in other venues than the failing video stores. This was the best choice. You both may be able to salvage something out of the failing video rental business.

**job characteristics model (JCM)** J. Richard Hackman and Greg R. Oldham

a framework for analyzing and designing jobs that identifies five primary core job dimensions, their interrelationships, and their impact on outcomes ways managers can design motivating jobs **any job described in terms of 5 core job dimensions** 1. **skill variety** - 2. **task identity** 3. **task significance** 4. **autonomy** 5. **feedback** when first 3 combine/exist to create meaningful work = person view job as important, valuable, worthwhile jobs that possess autonomy give job incumbent feeling personal responsibility for results, if given feedback will know how effectively performing job **motivational point of view - JCM suggests internal rewards obtained when employee **learns** (through feedback) he **personally** (experienced responsibility through autonomy of work) has performed well on task he **cares** about ** (experienced meaningfulness through skill variety, task identity, task significance) the more these conditions characterize a job greater employee's motivation, performance, satisfaction and lower his absenteeism, or likelihood of resigning

**Maslow's Hierarchy of Needs Theory

a psychologist proposed w/in every person is a hierarchy of 5 needs **each level must be substantially satisfied before next need becomes dominant moving up another level to next** **lower-order needs satisfied predominantly external** **higher-order needs satisfied internally** widely popular among practicing managers b/c easy to understand and intuitive **no empirical support provided for theory, other studies couldn't validate it** USED: managers will do things to satisfy employee needs **REMEMBER once need substantially satisfied, no longer motivates**

Effective Communication **Communication**

a transfer of understanding and meaning from one person to another The importance of effective communication for managers cannot be overemphasized—for one specific reason: Everything a manager does involves communication. **Communication** can be thought of as a process or flow that transfers understanding and meaning from one person to another. Before communication can take place, a purpose, expressed as a **message** to be conveyed, is needed. The message passes between the sender and a receiver. The message is converted to symbolic form—such as a television commercial—and is passed by way of some channel of communication to the receiver, who decodes the message. Let's take a closer look at how this happens.

**managerial grid**

a two-dimensional grid for appraising leadership styles

**virtual team**

a type of work that uses technology to link physically dispersed members in order to achieve a common goal.

Herzberg's Two-Factor Theory **motivators** achievement recognition work itself responsibility advancement growth **hygiene factors** supervision company policy relationship w/supervisor working conditions salary relationship w/ peers personal life relationship w/ employees status security

also called motivation-hygiene theory - intrinsic factors are related to job satisfaction, while extrinsic factors are associated w/ job dissatisfaction - popular from 1960s to early 1980s - criticized for being too simplistic - influenced today's approach to job design people feel exceptionally good - **satisfied - intrinsic factors** arising from **job content** (job itself) achievement, recognition, responsibility or bad - **dissatisfied about jobs - cite extrinsic factors** from **job context** - company policy/administration,supervision, interpersonal relationships, working conditions Hertzberg concluded tradition view opposite of satisfaction is dissatisfaction was **WRONG** He believed factors led to job satisfaction separate/distinct from those lead to dissatisfaction removing dissatisfying characteristics from job didn't make more satisfying (motivating) simply made it less dissatisfied **Dual continuum** opposite of "satisfaction" is "no satisfaction" opposite of "dissatisfaction" is "no dissatisfaction" **Motivating employees** - when hygiene factors adequate, people won't be dissatisfied, but not motivated either To motivate, use the **motivators**

**self-efficacy**

an individual's belief that he or she is capable of performing a task

Cognitive dissonance

any incompatibility or inconsistency between attitudes or between behavior and attitudes

McGregor's Theory X Theory Y

based on **Two assumptions about human nature** Theory X - **negative** view of people that assumes workers have little ambition, dislike work, want to avoid responsibility, and need to be closely controlled to work effectively. Theory Y - a **positive** view that assumes employees enjoy work, seek out and accept responsibility, and exercise self-direction to maximize employee motivation use Theory Y allow employees to participate in decisions, create responsible and challenging jobs, and encourage good group relations **NO EVIDENCE** to confirm either set of assumptions or that being a Theory Y manage is only way to motivate employees

**Traits Associated with Leadership**

drive desire to lead honesty and integrity self-confidence intelligence job-relevant knowledge extraversion proneness to guilt

**hygiene factors**

factors that eliminate job dissatisfaction but don't motivate

**motivators**

factors that increase job satisfaction and motivation

**transformational leaders**

leaders who stimulate and inspire (transform) followers to achieve extraordinary outcomes

**Work groups = work teams??

teams differ from work groups unique traits **work groups** interact primarily to share information, make decisions help member do his/her job more efficiently/effectively - no need to engage in collective work requires joint effort** **work teams** - groups whose members work intensely on a specific, common goal using their positive synergy, individual and mutual accountability, and complementary skills** **managers are looking for positive synergy help organization improve its performance** **use of teams creates potential for organization generate greater outputs w/no increase in or fewer inputs**

**When are teams not the answer?**

teamwork more time more resources require managers communicate more, manage conflicts, run meetings **benefits using teams needs to exceed the costs**before implementing teams, evaluate if work requires or will benefit from collective effort **3 Tests** 1. Can work be done better by more than one person? (task complexity) 2. Does the work create common purpose or set of goals for people in group more than sum of individual goals? 3. Look at interdependence of individuals - teams more sense if interdependence between tasks - **when success of everyone depends on success of each person AND success of each person depends on others**

**visionary leadership**

the ability to create and articulate a realistic, credible, and attractive vision of the future that improves on the present situation

**empowerment**

the act of increasing the decision-making discretion of workers

**trust**

the belief in the integrity, character, and ability of a leader

**credibility**

the degree to which followers perceive someone as honest, competent, and able to inspire

**need for affiliation (nAff)

the desire for friendly and close interpersonal relationships

**need for achievement (nAch)

the drive to succeed and excel in relation to a set of standards

**readiness**

the extent to which people have the ability and willingness to accomplish a specific task

**need for power (nPow)

the need to make others behave in a way that they would not have behaved otherwise

**referent**

the persons, systems, or selves against which individuals compare themselves to assess equity

**Goal-setting theory**

the proposition that specific goals increase performance and that difficult goals, when accepted, result in higher performance than do easy goals specific goals increase performance and difficult goals when accepted result in higher performance than do easy goals **working toward a goal is a major source of job motivation** sometimes participatively set goals elicit superior performance, others individuals performed best when manager assigned goals **feedback helps identify discrepancies between what they've done and what want to do** **self-generated feedback where an employee monitors his or her own progress as been shown to be a more powerful motivator than feedback coming from someone else **3 contingencies besides feedback influence goal-performance relationship: goal commitment, adequate self-efficacy, national culture** 1. goal-setting theory assumes individual committed to goal - when made public, individual has internal locus of control, goals are self-set 2. **self-efficacy refers to individual's belief he/she capable of performing task higher self-efficacy, more confidence in ability to succeed try harder to master challenge when difficult but , lower self-efficacy, more likely to give up, 3. value of goal-setting theory depends on national culture well-adapted N. American countries align well w/ culture assumes subordinates independent (not high score on power distance) people will seek challenging goals (low in uncertainty avoidance) performance considered important both managers/subordinates (high assertiveness) goal setting won't lead to higher employee performance in countries where cultural characteristics not like this

**equity theory**

the theory that an employee compares his or her job's input-to-outcome ratio with that of relevant others and then corrects any inequity

2. Michael is constantly pitching in and helping out when someone on the team needs​ help, even if it means staying late.​ Michael's behavior can best be described as which of the​ following? A. Team player B. Absenteeism C. Job satisfaction D. OCB E. Turnover

Correct. OCBs are discretionary behaviors that are not part of​ someone's regular job. These may include helping​ others, volunteering on the​ job, and avoiding unnecessary conflicts.

Team Member Roles TEAM: Creator- Innovator - initiates creative ideas Linker - Coordinates and integrates Reporter-Advisor - encourages the search for more information Upholder-Maintainer - fights external battles Controller-Inspector - examines details and enforces rules Concluder-Producer - provides direction and follow-through Thruster-Organizer - provides structure Assessor-Developer - offers insightful analysis of options Explorer-Promoter - champions ideas after they have been initiated

As we saw in the last chapter, **personality** significantly influences individual and team behavior. Research shows that three of the Big Five dimensions are relevant to team effectiveness: agreeableness and high levels of both conscientiousness and openness to experience. These qualities tend to lead to better team effectiveness. Nine potential team **roles** have been identified, as seen here in Exhibit 10-7. On many teams, individuals may play multiple roles. It's important for managers to understand the individual strengths a person brings to a team and to select team members with those strengths to ensure that these roles are filled. Although many view **diversity** as desirable, research seems to show the opposite. One review found that studies on diversity in teams from the last 50 years have shown that surface-level differences such as race/ethnicity, gender, and age tend to have negative effects on team performance. However, some evidence does show that the disruptive effects of diversity decline over time, but it doesn't confirm that diverse teams always perform better in the long-run. When it comes to the **size**, the most effective teams have five to nine members, but experts suggest using the smallest number of people who can do the task. Team **member preferences** need to be considered, too, because some people just prefer not to work on teams, which can create a direct threat to the team's morale and to individual member satisfaction.

7. Linda has come into work late again. Her supervisor Dawn is getting tired of this behavior and needs to address this. Because Linda has made being late to everything a​ habit, Dawn is sure this is caused by nothing but​ Linda's poor attitude. Which factor of attribution theory is Dawn relying on to make this​ assessment? A. Distinctiveness B. Consistency C. Incubation D. Consensus E. Innovation

Correct. Distinctiveness refers to whether an individual displays a behavior in many situations or whether it is particular to one situation.

Current Issues

Current studies of employee motivation are influenced by some significant workplace issues—motivating in tough economic circumstances, managing cross-cultural challenges, motivating unique groups of workers, and designing appropriate rewards programs. Managers have come to realize that in an uncertain economy they have to be creative in keeping their employees' efforts energized, directed, and sustained toward achieving goals. Relatively inexpensive ways to motivate employees include holding meetings with employees to keep the lines of communication open; getting employee input on issues; establishing a common goal, such as maintaining excellent customer service to keep everyone focused; creating a community feel so employees can see that managers care about them and their work; and giving employees continuing opportunities to learn and grow.

Personality Traits Across Cultures National cultures differ in terms of the degree to which people believe they control their environment.

Do personality frameworks like the Big Five model translate across cultures? Actually, the five personality factors studied in the Big Five model appear in almost all cross-cultural studies, with differences found only in the emphasis on dimensions. The Chinese, for example, use the category of conscientiousness more often and use the category of agreeableness less often than Americans do. But a surprisingly high amount of correspondence is found, especially among individuals from developed countries. There are certainly no common personality types for a given country, yet a country's culture influences the **dominant personality** characteristics of its people as reflected by locus of control. National cultures differ in terms of the degree to which people believe they control their environment. For instance, North Americans believe that they can dominate their environment, while other societies in Middle Eastern countries believe that life is essentially predetermined. On the basis of this particular cultural characteristic, we should expect a larger proportion of "internals" in the U.S. and Canadian workforces than in the workforces of Saudi Arabia or Iran. For global managers, understanding how personality traits differ takes on added significance when looking at them from the perspective of national culture. For example, knowing that the trait of conscientiousness is a valid predictor of performance in European Community nations helps U.S.-based Burger King manage employees such as this BK employee in France.

Conformity

Does the desire to be accepted as a part of a group leave one susceptible to **conforming to the group's norms** or exert pressure that's strong enough to change a member's attitude and behavior? According to the research of Solomon Asch, the answer appears to be yes. Asch's study involved groups of seven or eight people who sat in a classroom and were asked to compare two cards held by an investigator. One card had one line; the other had three lines of varying lengths. As shown here in Exhibit 10-4, one of the lines on the three-line card was identical to the line on the one-line card. The difference in line length was obvious so that under ordinary conditions subjects made errors of less than 1 percent. The object of the task was to announce aloud which of the three lines matched the single line. Interestingly, when all the members of the group deliberately gave incorrect answers, about 35 percent of the subjects altered their answers to align with the group. The Asch study provides managers with considerable insight into group behaviors. To diminish the negative aspects of conformity, managers should create a climate of openness in which employees are free to discuss problems without fear of retaliation.

**Maslow's Hierarchy of Needs**

During the 1950s and 1960s, four theories of motivation were formulated. They include the hierarchy of needs theory, theories X and Y, the two-factor theory, and the three-needs theory. It's important to know these early theories because: (1) They represent the foundation from which contemporary theories grew, and (2) they are still used by practicing managers to explain employee motivation. **Abraham Maslow's Hierarchy of Needs theory**, seen here in Exhibit 11-1, is one of the most widely known theories of motivation. Maslow was a psychologist who proposed that within every person is a hierarchy of five needs: 1. **Physiological needs** such as food, drink, shelter, sex, sleep, and other physical requirements. 2. **Safety needs** such as security and protection from harm as well as assurance that physical needs will continue to be met. 3. **Social needs** including affection, belongingness, acceptance, and friendship. 4. **Esteem needs**, which include internal esteem factors such as self-respect, autonomy, and achievement, and external esteem factors such as status, recognition, and attention. 5. **Self-actualization** needs that include growth and achieving one's potential. ● Maslow argued that each level must be substantially satisfied before the next need becomes dominant; an individual moves up the hierarchy from one level to the next. Lower-order need are satisfied predominantly externally, while higher-order needs are satisfied internally. Managers will do things to satisfy employees' needs. But remember: Once a need is substantially satisfied, it no longer motivates. This theory is widely popular among practicing managers probably because it's easy to understand and intuitive. However, there is no empirical support provided for this theory; other studies could not validate it.

Low-Cost Rewards Programs **Clarify role in organization** **Keep communication open** **Show individual company cares**

During times of economic and financial uncertainty, managers' abilities to recognize and reward employees are often severely constrained. It's difficult to keep employees productive during challenging times even though it's especially critical. A recent study by the Corporate Executive Board found that declining employee engagement has decreased overall productivity by 3 to 5 percent, but managers can take actions to maintain and maybe even increase employees' motivation levels. •Clarify each person's role in the organization and show them how their efforts are contributing to improving the company's overall situation. •Keep communication lines open and use two-way exchanges between top-level managers and employees to allay fears and concerns. •Continually show workers that the company cares about them and give employees a reason to want to come to work.

What Is Motivation? **energy** **direction** **persistence**

Employees want to love what they do. All managers need to be able to motivate their employees, which requires understanding what motivation is. Let's begin by saying that motivation is not a personal trait that some people have and others don't. **Motivation** refers to the process by which a person's efforts are energized, directed, and sustained toward attaining a goal. Individuals differ in motivational drive and their overall motivation varies from situation to situation. Motivation has three key elements: •The **energy** element is a measure of intensity or drive where the quality of the effort is considered along with its intensity. • •High levels of effort lead to favorable job performance when the effort is **directed** toward, and consistent with, organizational goals. • •Finally, motivation includes a **persistence** dimension where employees keep putting forth effort to achieve those goals. Motivating high levels of employee performance is an important organizational concern, as demonstrated by a Gallup poll that found that 73 percent of U.S. employees aren't excited about their work.

**Integrating Motivation Theories**

Exhibit 11-9 presents a model that integrates much of what we know about motivation. Its basic foundation is the expectancy model. The individual effort box has an arrow leading into it. This arrow flows from the individual's goals. Consistent with goal-setting theory, this **goals-effort link** illustrates that goals direct behavior. Expectancy theory predicts that an employee will exert a high level of effort if he or she perceives a strong relationship between effort and performance, performance and rewards, and rewards and satisfaction of personal goals. Each of these relationships is, in turn, influenced by certain factors. You can see from the model that the level of individual performance is determined not only by the level of individual effort but also by the individual's ability to perform and by whether the organization has a fair and objective performance evaluation system. The **performance-reward relationship** will be strong if the individual perceives that it is performance (rather than seniority, personal favorites, or some other criterion) that is rewarded. The final link in expectancy theory is the **rewards-goal relationship**. The traditional need theories come into play at this point. Motivation would be high to the degree that the rewards an individual receives for his or her high performance satisfy the dominant needs consistent with his or her individual goals.

5. Chris loves meeting people at work. Some say he has never met a stranger. This behavior has served him very well in his position as he has built a large network of support. This part of his personality may be best characterized by which of the​ following? A. Extraversion B. Sensing C. ESFP D. Feeling E. ENTJ

Extraversion Correct. Extraversion describes the​ individual's orientation toward the external world.

Contemporary Issues Drawbacks: * disliking team members * mistrusting team members * stereotyping * communication problems * stress and tension Benefits * greater diversity of ideas * limited groupthink * increased attention on understanding others' ideas, perspectives, etc.

Few trends have influenced how work gets done as much as the use of work teams in organizations. The shift from working alone to working in teams requires employees to cooperate with others, share information, confront differences, and sublimate personal interests for the greater good of the team. Managers build effective teams by understanding what influences performance and satisfaction. However, managers today also face challenges such as managing global teams and understanding when teams aren't the answer. Using **global teams** has both drawbacks and benefits, as seen here in Exhibit 10-8. In global organizations, understanding the relationship between team effectiveness and team composition is more challenging because of the unique cultural characteristics represented by members of a global team. Not only must managers recognize team members' abilities, skills, knowledge, and personalities, but managers must also be familiar with, and clearly understand, the cultural characteristics of the groups and the group members they manage, such as high certainty avoidance, where members are uncomfortable dealing with unpredictable and ambiguous tasks. Also, managers need to be aware of the potential for stereotyping, which can lead to problems.

Emotional Intelligence

Five dimensions: Self-awareness Self-management Self-motivation Empathy Social skills People who understand their own emotions and are good at reading others' emotions may be more effective in their jobs. Therefore, emotional intelligence (EI) can be described as an assortment of non-cognitive skills, capabilities, and competencies that influences a person's ability to cope with environmental demands and pressures. Emotional intelligence is composed of five dimensions: 1. **Self-awareness**, or being aware of what you're feeling. 2. **Self-management** of your own emotions and impulses. 3. **Self-motivation**, or persistence in the face of setbacks and failures. 4. **Empathy**, or the ability to sense how others are feeling. 5. **Social skills**, which means adapting to and handling the emotions of others. Several studies suggest that EI plays an important role in job performance and the implication is that employers should consider emotional intelligence as a criterion in their selection process—especially for those jobs that demand a high degree of social interaction.

**Satisfaction vs. Dissatisfaction** Traditional View Satisfied Dissatisfied Motivators Herzberg's View Hygiene Factors Satisfaction No Satisfaction No Dissatisfaction Dissatisfaction

Herzberg also concluded that the traditional view—that the opposite of satisfaction was dissatisfaction-was wrong. He stated that removing dissatisfying characteristics from a job would not necessarily make that job more satisfying (or motivating). As shown here in Exhibit 11-3, Herzberg proposed that a dual continuum existed: The opposite of "satisfaction" is "no satisfaction" and the opposite of "dissatisfaction" is "no dissatisfaction." Herzberg believed that the factors that led to job satisfaction were separate and distinct from those that led to job dissatisfaction. Therefore, managers who sought to eliminate factors that created job dissatisfaction could keep people from being dissatisfied, but this would not necessarily lead to satisfaction and motivation. To motivate people, Herzberg suggested emphasizing motivators, the intrinsic factors having to do with the job itself.

Personality Traits Can personality traits predict practical work-related behaviors? **YES**

In a word, "YES!" The following five specific personality traits have proven most powerful in explaining individual behavior in organizations: •Locus of control •Machiavellianism •Self-esteem •Self-monitoring •Risk propensity The **locus of control** is the degree to which people believe they control their own fate and, in some work situations, whether they tend to blame others or examine their own actions when there's a negative situation. **Machiavellianism** is named after Niccolo Machiavelli, known for his instruction on gaining and manipulating power in the 16th century. A high "Mach" is pragmatic, maintains emotional distance, believes that ends can justify the means, and may have beliefs that are less ethical. The degree to which individuals like or dislike themselves is a trait called **self-esteem (SE)**. High SEs believe that they can succeed, take more risks in job selection, and are more likely to choose unconventional jobs. Low SEs are dependent on positive evaluations from others, more prone to conform to the beliefs and behaviors of those they respect, and less satisfied with their jobs. **Self-monitoring** is a trait that measures an individual's ability to adjust behavior to external, situational factors. High self-monitors can present striking contradictions between their public persona and their private selves and are more capable of conforming than low self-monitors are. We might hypothesize that high self-monitors will be more successful in managerial positions that require individuals to play multiple, and even contradicting, roles. The final personality trait influencing worker behavior is **risk taking**. A preference for assuming or avoiding risk impacts how long it takes an individual to make a decision and how much information they require before choosing. In one classic study, high risk-taking managers made more rapid decisions and used less information than low risk-taking managers, but the decision accuracy was the same for both groups. Although it's generally correct to conclude that managers in organizations are risk averse, especially in large companies and government bureaus, individual differences exist. Therefore, it makes sense to consider aligning risk-taking propensity with specific job demands.

Country Culture and Motivation **Managers can't assume that motivational programs that work in one geographic location are going to work in others.

In today's **global business environment**, managers can't assume that motivational programs that work in one geographic location are going to work in others. Most current motivation theories were developed in the United States by Americans and about Americans. Let's look at the cross-cultural transferability of some of the motivation theories we've talked about thus far. **Maslow's need hierarchy** argues that people start at the physiological level and then move progressively up the hierarchy in order. In countries such as Japan, Greece, and Mexico, where uncertainty avoidance characteristics are strong, security needs would be on top of the need hierarchy. Countries that score high on nurturing characteristics—such as Denmark, Sweden, Norway, the Netherlands, and Finland—would have social needs on top. Another motivation concept that clearly has an American bias is the **achievement need**. The view that a high achievement need acts as an internal motivator presupposes two cultural characteristics: a willingness to accept a moderate degree of risk and a concern with performance. This combination is found in the United States, Canada, and Great Britain but is rare in countries such as Chile and Portugal.

Shaping Behavior 1.Positive reinforcement 2.Negative reinforcement 3.Punishment 4.Extinction

Managers can teach employees to behave in ways that most benefit the organization. They do this by guiding learning in graduated steps that is, shaping behavior. There are four ways to shape behavior. 1. **Positive reinforcement** is when a desired behavior is followed with something pleasant, such as praise for a job well done. 2. **Negative reinforcement** is when a desired behavior is followed by the termination or withdrawal of something unpleasant. For example, a manager telling an employee he won't dock her pay if she starts coming to work on time. The only way for the employee not to have her pay docked is to come to work on time, which is the behavior the manager wants. 3. **Punishment** penalizes undesirable behavior. Suspending an employee for two days without pay for showing up drunk is an example of punishment. 4. **Extinction** is the not reinforcing (ignoring) a behavior, making it gradually disappear. Both positive and negative reinforcement result in learning because they strengthen a desired response and increase the probability of repetition. Both punishment and extinction also result in learning; however, they weaken behavior and tend to decrease its subsequent frequency.

**Herzberg's Two-Factor Theory**

Motivators: Achievement Recognition Work itself Responsibility Advancement Growth Hygiene Factors Supervision Company policy Relationship with supervisor Working conditions Salary Relationship with peers Personal life Relationship with employees Status Security Extremely Extremely satisfied Neutral Dissatisfied Frederick Herzberg's **two-factor theory** (or motivation-hygiene theory) proposes that intrinsic factors are related to job satisfaction, while extrinsic factors are associated with job dissatisfaction. It was popular from the 1960s to the early 1980s, but it's criticized for being too simplistic. However, it did influence today's approach to job design. Herzberg wanted to know when people felt exceptionally good (satisfied) or bad (dissatisfied) about their jobs; these findings are shown in Exhibit 11-2. He concluded from people's responses that certain characteristics were consistently related to job satisfaction (as seen on the left side of the exhibit), and other characteristics were related to job dissatisfaction (factors on the right side). When people feel good about their work, they tend to cite intrinsic factors arising from the job itself, such as achievement, recognition, and responsibility. But when they are dissatisfied, they tend to cite extrinsic factors arising from the job context, such as company policy, administration, supervision, interpersonal relationships, and working conditions.

***Effective Teams*** Context: - Adequate resources - Leadership and structure - Climate of trust - Performance evaluation and reward systems Composition: - Abilities of members - Personality - Allocating roles - Diversity - Size of teams - Member flexibility - Member preferences Work design - Autonomy - Skill variety - Task identify - Task significance Process - Common purpose - Specific goals - Team efficacy - Conflict levels - Social loafing

Much research has been done on **team effectiveness**, which includes objective measures of a team's productivity, managers' ratings of the team's performance, and aggregate measures of member satisfaction. What research has shown so far is summarized here in Exhibit 10-6. As we look at this model, keep in mind that: (1) Teams differ in form and structure and (2) this model assumes that managers have already determined that teamwork is preferable to individual work. As seen from the model, the four key components of effective teams include: 1. Context 2. Team's composition 3. Work design 4. Process variables Four contextual factors that appear to be most significantly related to team performance are adequate resources, leadership and structure, a climate of trust, and performance evaluation and reward systems. As part of the larger organization system, a team relies on resources outside the group to sustain it. If it doesn't have **adequate resources**, the team's ability to perform its job effectively is reduced. Resources can include timely information, proper equipment, encouragement, adequate staffing, and administrative assistance. To function properly, a team needs to agree on the specifics of work and how all the team members' individual skills fit together. This requires **team leadership** and **structure**, which can come from the organization or from the team itself. Even in self-managed teams, a manager's job is to be a coach supporting the team's efforts and managing outside (rather than inside) the team. Members of effective teams **trust** each other and their leaders, which facilitates cooperation, reduces the need to monitor each other's behavior, and bonds members around the belief that others on the team won't take advantage of them. The final contextual factor of an effective team is a **performance evaluation and reward system**. Team members have to be accountable both individually and jointly. Therefore, in addition to evaluating and rewarding employees for their individual contributions, managers should consider group-based appraisals, profit-sharing, and other approaches that reinforce team effort and commitment.

Group Effectiveness **Does a group become more effective as it progresses through the first four stages?** **Usually, but not always**

Of course, some groups don't get much beyond the forming or storming stages. These groups may have serious interpersonal conflicts, turn in disappointing work, and get poor performance reviews. The assumption that a group becomes more effective as it progresses through the first four stages may be generally true, but what makes a group effective is complex. Under some conditions, high levels of conflict are conducive to high levels of group performance. There might be situations in which groups in the storming stage outperform those in the norming or performing stages. Also, groups don't always proceed sequentially from one stage to the next. Sometimes groups are storming and performing at the same time. Groups even occasionally regress to previous stages. Therefore, don't assume that all groups precisely follow this process or that performing is always the most preferable stage. Think of the **group development** model as a general framework that underscores the fact that groups are dynamic entities. Managers need to know the stage a group is in so they can understand the problems and issues that are most likely to surface.

9. In much the same way we can train dogs and children with treats for good​ behavior, managers can use​ __________ to help shape the behavior of employees. A. MBTI B. operant conditioning C. behavioral shaping D. social learning theory E. extinction

Operant conditioning Correct. Operant conditioning describes the idea that people learn to behave to get something they want.

**Organizational Behavior** **Visible Aspects** Strategies Objectives Policies and Procedures Structure Technology Formal Authority Chains of Command **Hidden Aspects** Attitudes Perceptions Group norms Informal interactions Interpersonal and intergroup conflicts

Organizational behavior (OB) is the study of the actions of people at work. One challenge in understanding organizational behavior is that it addresses issues that aren't obvious. Like an iceberg, OB has a small visible dimension and a much larger hidden portion—as seen in Exhibit 9-1. When we look at an organization, we see its visible aspects—such as strategies, objectives, policies and procedures, structure, technology, formal authority relationships, and chain of command. But under the surface are other elements that also influence how employees behave at work. Organizational behavior focuses on three major areas: 1. Individual behavior, which includes attitudes, personality, perception, learning, and motivation. 2. Group behavior, which includes norms, roles, team building, leadership, and conflict. 3. Organizational aspects, which include structure, culture, and human resource policies and practices.

Judging Employees

Our perception and judgment of a person's actions will be significantly influenced by the assumptions we make about the person's internal state, which has led researchers to develop attribution theory. **Attribution theory** attempts to explain how we judge people differently depending on what meaning we attribute to a given behavior. This depends on three factors: distinctiveness, consensus, and consistency. •**Distinctiveness** refers to whether an individual displays a behavior in many situations or whether it is particular to one situation. If an employee who arrived late to work today is also the person coworkers see as a goof-off, then we want to know whether this behavior is unusual. If it is, the observer is likely to give the behavior an external attribution. If this action is not unique, it will probably be judged as internal. • •A behavior shows **consensus** if everyone faced with a similar situation responds in the same way. If consensus is high, you would be expected to give an external attribution to the behavior. But if only one person responds that way, you would conclude the reason to be internal. •Finally, a manager looks for **consistency in an employee's actions**. The more consistent the behavior, the more the observer is inclined to attribute it to internal causes. Exhibit 9-4 summarizes the key elements in attribution theory. It would tell us, for instance, that if an employee, Mr. Flynn, generally performs at about the same level on other related tasks as he does on his current task (low distinctiveness), if other employees frequently perform differently—better or worse—than Mr. Flynn does on that current task (low consensus), and if Mr. Flynn's performance on this current task is consistent over time (high consistency), any manager judging Mr. Flynn's work is likely to hold him primarily responsible for his task performance (internal attribution).

12. The best way that managers can manage negative behavior in the workplace is which of the​ following? A. Punishment B. Extinction C. Focus on personality D. Recognize​ it's there E. Provides feedback

Recognize it's there Correct. Pretending that negative behavior​ doesn't exist or ignoring such misbehavior allows employees to think this behavior is acceptable.

Stages of Group Development Stage I Forming Stage II Storming Stage III Norming Stage IV Performing Stage V Adjourning

Research shows that groups develop through the five stages shown here in Exhibit 10-2. The **forming stage** has two phases. The first phase is when people first join the group and the second phase is when they define the group's purpose, structure, and leadership. The latter phase involves a great deal of uncertainty as members "test the waters" to determine acceptable behaviors and is complete when members begin to think of themselves as part of a group. The **storming stage** is named because it is the period of intragroup conflict about who will control the group and what the group needs to be doing. This stage is complete when a relatively clear hierarchy of leadership and agreement on the group's direction is evident. The **norming stage** is one in which close relationships develop and the group becomes cohesive and demonstrates a strong sense of group identity and camaraderie. This stage is complete when the group structure solidifies and the group has assimilated a common set of expectations regarding member behavior. The **fourth stage** is the **performing stage**. The group structure is in place and accepted by group members. Their energies have moved from getting to know and understand each other to working on the group's task. This is the last stage of development for permanent work groups. However, for temporary groups—such as project teams, task forces, or similar groups that have a limited task to do—the final stage is the **adjourning stage** in which the group prepares to disband. Attention is focused on wrapping up activities instead of task performance.

Attitudes and Consistency

Research shows that individuals generally try to reconcile differing attitudes and to align their attitudes and behavior so that they appear rational and consistent. They do this by altering either the attitudes or the behavior, or by developing a rationalization for the discrepancy. Does this mean that we can predict an individual's behavior if we know his or her attitude on a subject? Not necessarily, according to the theory of **cognitive dissonance,** proposed by Leon Festinger in the 1950s. **Cognitive dissonance** is any incompatibility or inconsistency between attitudes or between behavior and attitudes. The theory argues that inconsistency is uncomfortable and that individuals try to reduce the discomfort and thus, the dissonance. The theory proposed that how hard we try to reduce dissonance is determined by three things: 1. The **importance** of the factors creating the dissonance. 2. The degree of **influence** the individual believes he or she has over those factors. 3. The **rewards** that may be involved in dissonance. These moderating factors suggest that if the issues underlying the dissonance are of minimal importance, if an individual perceives that the dissonance is externally imposed and is substantially uncontrollable, or if rewards are significant enough to offset the dissonance, the individual will not be under great tension to reduce the dissonance.

Team Composition

Several team composition factors are important to a team's effectiveness. They include: •Team member abilities •Personality •Role allocation •Diversity •Size of teams •Member flexibility •Member preferences Part of a team's performance depends on its members' knowledge, skills, and abilities. Research shows a team needs three different types of skills. 1. **Technical expertise**. 2. **Problem-solving and decision-making skills**. 3. **Interpersonal skills**. A team can't achieve its performance potential if it doesn't have or can't develop the right mix of all these skills. However, a team doesn't necessarily need all these skills immediately. Team members commonly take responsibility for learning the skills in which the group is deficient so the team can achieve its full potential. The Microsoft Surface design team shown in the picture had the necessary technical and interpersonal skills to perform effectively in creating the company's new tablet computer.

Group Size and Group Behavior

Small group better at: (5-7 members) * Completing tasks faster * Figuring out what to do * Getting job done Large Group Better at: (12 or more members) * Problem solving * Finding facts * Gaining diverse input The size of a group affects that group's behavior, depending on what criteria you're looking at. Research indicates, for instance, that small groups complete tasks more quickly than larger ones do. However, if a group is engaged in problem solving, large groups consistently score better than their smaller counterparts. In general, large groups—those with a dozen or more members—are good for gaining diverse input for such tasks as fact finding. On the other hand, smaller groups are better at doing something productive with those facts. Groups of approximately five to seven members tend to act more effectively. Individual productivity of each group member declines as the group expands, which is known as **social loafing**—reducing effort because dispersion of responsibility encourages individuals to slack off. When a group's results can't be attributed to any single person, individuals may be tempted to become "free riders" and coast on the group's efforts because they think their contributions can't be measured. So managers who use work groups should provide a means by which individual efforts can be identified.

Global Teams: Team Structure * Conformity * Status * Social Loafing * Cohesiveness

Some areas of **team structure**—such as conformity, status, social loafing, and cohesiveness—require different strategies for managing global teams. Research suggests that Asch's findings on **conformity** are culture-bound. As might be expected, conformity to social norms tends to be higher in collectivistic cultures than in individualistic cultures. However, **groupthink** tends to be less of a problem in global teams because members are less likely to feel pressured to conform to the ideas, conclusions, and decisions of the group. The importance of **status** varies between cultures. Countries differ on the criteria that confer status. For instance, in Latin America and Asia, status tends to come from family position and formal roles held in organizations. In contrast, while status is important in countries like the United States and Australia, it tends to be given based on accomplishments. Managers must understand who and what holds status when interacting with people from a culture different from their own. **Social loafing** has a Western bias and is consistent with individualistic cultures like the United States and Canada, which are dominated by self-interest. It's not consistent with collectivistic societies such as China and Israel, in which individuals are motivated by group goals and actually performed better in a group than when working alone. **Cohesiveness** is another group structural element that may create special challenges for managers because global teams exhibit higher levels of mistrust, miscommunication, and stress.

Designing Appropriate Rewards Programs **Open-book management** **Employee recognition programs**

Some of today's more popular rewards programs include open-book management, employee recognition, and pay-for-performance. Many organizations of various sizes involve their employees in workplace decisions by opening up the financial statements (the "books") so that employees will be motivated to make better decisions about their work and be better able to understand the implications of what they do, how they do it, and the ultimate impact on the bottom line. This approach is called **open-book management**. **Employee recognition programs** can motivate employees by providing personal attention and expressions of interest, approval, and appreciation for a job well done. A survey of organizations found that 84 percent had some type of program to recognize worker achievements and that employees respond well to such programs. Consistent with reinforcement theory, rewarding a behavior with recognition immediately following that behavior is likely to encourage its repetition. You can personally congratulate an employee in private or public for a good job or send a handwritten note or email message acknowledging something positive that the employee has done.

When Teams are NOT the answer **Three tests**: 1. Can the work be done better by more than one person? 2 .Does the work create a common purpose that's more than the sum of individual goals? 3. Is there interdependence between tasks?

Sometimes teams are not the answer. Teamwork takes more time and often more resources than individual work does. Teams require managers to communicate more, manage conflicts, and run meetings. The benefits of using teams need to exceed the costs. Managers need to carefully evaluate whether the work requires or will benefit from a collective effort. Three "tests" have been suggested for making this determination: 1. **Can the work be done better by more than one person?** Task complexity would be a good indicator of a need for different perspectives. In contrast, simple tasks that don't require diverse input are probably better done by individuals. 2. **Does the work create a common purpose or set of goals for the people in the group that's more than the sum of individual goals?** For instance, many car dealerships use teams to link customer-service personnel, mechanics, parts specialists, and sales representatives to better meet the goal of outstanding customer satisfaction. 3. **Finally, managers need to look at the interdependence between tasks**. A team approach is the answer when the success of everyone depends on the success of each person and the success of each person depends on the others.

Negative Behavior in the Workplace

Survey of U.S. Employees: * 10% witnessed rudeness daily * 20% were targets of incivility at least once/week Rudeness, hostility, aggression, and other forms of workplace negativity have become all too common in today's organizations. It's been estimated that negativity costs the U.S. economy some $300 billion a year. The best way to manage negative behavior in the workplace is to recognize that it's there, confront such misbehaviors, and send a clear message as to what is expected and acceptable behavior. Research seems to indicate that both preventive and responsive actions to negative behaviors are needed. Preventing negative behaviors by carefully screening potential employees for certain personality traits and responding immediately and decisively to unacceptable negative behaviors goes a long way toward managing negative workplace behaviors. However, it's also important to pay attention to employee attitudes because dissatisfied employees will express their dissatisfaction.

**Job Design and Motivation** **YES - you can design jobs that motivate!** **Internal rewards are obtained when an employee learns that he or she personally has performed well on a task he or she cares about.**

Task significance characterizes the job of Dina Lipowich, director of medical nursing and inpatient geriatrics at a community hospital. She experienced meaningfulness by helping develop a new program for older patients that pairs them with volunteers who act as buddies they can talk to and who can lift their spirits. From a motivational point of view, the JCM suggests that internal rewards are obtained when an employee **learns** that he or she **personally** has performed well on a task that he or she **cares** about—the central column of the JCM in Exhibit 11-5. The more these three conditions characterize a job, the greater the employee's motivation, performance, and satisfaction—and the lower the employee's absenteeism and likelihood of resigning. As the model shows, the links between the job dimensions and the outcomes are moderated by the strength of the individual's growth need (that is, the person's desire for self-esteem and self-actualization). Individuals with a high growth need are more likely to experience the critical psychological states and respond positively when their jobs include the core dimensions than individuals with a low growth need are. This distinction may explain the mixed results with **job enrichment**, the vertical expansion of a job by adding planning and evaluation responsibilities. Individuals with low growth need don't tend to achieve high performance or satisfaction by having their jobs enriched.

Types of Work Teams *Problem solving teams *Self-managed work teams *Cross-functional teams *Virtual teams

Teams can do a variety of things, from designing products and providing services to negotiating deals and making decisions. The four most common types of work teams are: **Problem-solving teams** are teams from the same department or functional area involved in efforts to improve work activities or to solve specific problems. Members share ideas or offer suggestions on how work processes and methods can be improved, but they're rarely given the authority to implement any of their suggested actions. The need to get employees involved in work-related decisions and processes led to the development of the **self-managed work team**, which is a formal group of employees who operate without a manager and are responsible for a complete work process or segment. A self-managed team is responsible for getting the work done and for managing itself, which usually includes planning and scheduling work, assigning tasks to members, collective control over the pace of work, making operating decisions, and taking action on problems. The third type of team is the **cross-functional team**, defined as a work team composed of individuals from various specialties. For example, ArcelorMittal, the world's largest steel company, uses cross-functional teams of scientists, plant managers, and salespeople to review and monitor product innovations. The final type of team is the **virtual team**. In a virtual team, members collaborate online with tools such as wide-area networks, videoconferencing, fax, email, or Web sites where the team can hold online conferences. Virtual teams can do all the things that other teams can—share information, make decisions, and complete tasks. However, they lack the normal give-and-take of face-to-face discussions. That's why virtual teams tend to be more task-oriented, especially if the team members have never personally met.

Global Teams: Team Processes * Communication Issues * Managing Conflict * Virtual teams

The **processes** that global teams use to do their work can be particularly challenging for managers. Communication issues often arise because not all team members may be fluent in the team's working language. However, research shows that a multicultural global team is better able to capitalize on the diversity of ideas represented if a wide range of information is used. Additionally, managing **conflict** in global teams isn't easy, especially when those teams are virtual teams. However, research shows that in collectivistic cultures, a collaborative conflict management style can be most effective.

Big Five Model of Personality

The Big Five factors are: 1.Extraversion 2.Agreeableness 3.Conscientious 4.Emotional stability 5.Openness to experience Another way of viewing personality is through a five-factor model of personality—more typically called the **Big Five model**. 1. **Extraversion** describes the degree to which someone is sociable, talkative, and assertive. 2. **Agreeableness** describes the degree to which someone is good-natured, cooperative, and trusting. 3. **Conscientiousness** describes the degree to which someone is responsible, dependable, persistent, and achievement oriented. 4. **Emotional stability** describes the degree to which someone is calm, enthusiastic, and secure (positive) or tense, nervous, depressed, and insecure (negative). 5. **Openness to experience** describes the degree to which someone is imaginative, artistically sensitive, and intellectual. The **Big Five model** provides more than just a personality framework. Research has shown that important relationships exist between these personality dimensions and job performance. For example, one study reviewed five categories of occupations—professionals (for example, engineers, architects, and attorneys), police, managers, employees in sales, and semiskilled and skilled employees—with respect to job performance. The results showed that conscientiousness predicted job performance for all five occupational groups. Predictions for the other personality dimensions depended on the situation and the occupational group. For example, extraversion predicted performance in managerial and sales positions, and openness to experience predicted training competency.

Goals of Organizational Behavior

The goals of OB are to explain, predict, and influence behavior. Managers need to be able to: • Explain why employees engage in some behaviors rather than others. • Predict how employees will respond to various actions and decisions. • Influence how employees behave. The employee behaviors that we are specifically concerned with explaining, predicting, and influencing are: 1. **Employee productivity,** a performance measure of both work efficiency and effectiveness. Managers want to know what factors will influence the efficiency and effectiveness of employees. 2. **Absenteeism** is the failure to show up for work, which costs organizations an average of 35 percent of payroll. 3. **Turnover** is the voluntary and involuntary permanent withdrawal of employees from an organization. This can be a particularly costly problem due to increased recruiting, selection, and training costs and work disruptions. 4. **Organizational citizenship behavior (OCB)** is discretionary behavior that's not part of an employee's formal job requirements, but which promotes effective functioning of the organization. Examples of good OCB include helping others on one's work team, volunteering for extended job activities, avoiding unnecessary conflicts, and making constructive statements about one's work group and the organization. Organizations need individuals who will do more than their usual job duties and research shows that organizations that have such employees outperform those that don't. 5. **Job satisfaction** refers to an employee's general attitude toward his or her job. Satisfied employees are more likely to show up for work, have higher levels of performance, and stay with an organization. 6. **Workplace misbehavior** is any intentional employee behavior that is potentially harmful to the organization or to individuals within the organization. Workplace misbehavior shows up in organizations in four ways: deviance, aggression, antisocial behavior, and violence.

**Expectancy Theory** Individual effort -A-Individual performance-B-Organizational Rewards-C- Individual goals A= Effort-performance linkage (expectancy) B= Performance-reward linkage (instrumentality) C= Attractiveness (valence)

The most comprehensive explanation of how employees are motivated is Victor Vroom's **expectancy theory**, which states that an individual tends to act in a certain way based on the expectation that the act will be followed by a given outcome and on the attractiveness of that outcome to the individual. Its three variables or relationships are seen in Exhibit 11-8: 1. **Expectancy or effort-performance** linkage is the probability perceived by the individual that exerting a given amount of effort will lead to a certain level of performance. 2. **Instrumentality or performance-reward linkage** is the degree to which the individual believes that performing at a particular level is instrumental to attaining the desired outcome. 3. **Valence or attractiveness of reward** is the importance that the individual places on the potential outcome or reward that can be achieved on the job. Valence considers both the goals and needs of the individual. This explanation of motivation can be summed up in the following questions: How hard do I have to work to achieve a certain level of performance, and can I actually achieve that level? What reward will performing at that level get me? How attractive is the reward to me, and does it help me achieve my own personal goals? Whether you are motivated to work hard at any given time depends on your goals and your perception of whether a certain level of performance is necessary to attain those goals. The key to expectancy theory is understanding an individual's goals and the links between effort and performance, between performance and rewards, and between rewards and individual goal satisfaction.

**Equity Theory**

The term **equity** is the concept of fairness and comparable treatment when compared with others who behave in similar ways. There's considerable evidence that employees compare themselves to others and that inequities influence how much effort they exert. **Equity theory**, developed by J. Stacey Adams, proposes that employees compare what they get from a job (outcomes) to what they put into it (inputs) and then compare their inputs-outcomes ratio with the inputs-outcomes ratios of relevant others, as illustrated in Exhibit 11-7. •If an employee perceives her ratio to be equitable in comparison to those of relevant others, there's no problem. •However, if the ratio is perceived to be inequitable, she views herself as underrewarded or overrewarded. When inequities occur, employees attempt to do something about it. The result might be lower or higher productivity, improved or reduced quality of output, increased absenteeism, or voluntary resignation. The referent —the other persons, systems, or selves individuals compare themselves against in order to assess equity—is an important variable in equity theory. Each of the three referent categories is important. 1. "Persons" category includes others with similar jobs, friends, neighbors, etc. 2. "System" category includes organizational pay policies, procedures, and allocation. 3. "Self" category refers to past personal experiences and contacts. Originally, equity theory focused on **distributive justice**, which is the perceived fairness of the amount and allocation of rewards among individuals and which has a greater influence on employee satisfaction. More recent research has focused on issues of **procedural justice**, which is the perceived fairness of the process used to determine the distribution of rewards, and tends to affect an employee's organizational commitment, trust in his or her boss, and intention to quit. Based on the evidence, managers should consider openly sharing information on how allocation decisions are made, follow consistent and unbiased procedures, and engage in similar practices to increase the perception of procedural justice.

**McClelland's Three-Needs Theory**

Three acquired needs are work motives: 1. Need for achievement 2. Need for power 3. Need for affiliation David McClelland and his associates proposed the **three-needs theory**, which says three acquired (not innate) needs are major motives in work. These three needs include: 1. **The need for achievement (nAch)**, which is the drive to succeed and excel in relation to a set of standards. 2. **The need for power (nPow)**, which is the need to make others behave in a way that they would not behave otherwise. 3. **The need for affiliation (nAff)**, which is the desire for friendly and close interpersonal relationships. People with a high need for achievement strive for personal achievement rather than rewards. They have a desire to do something better or more efficiently than it's been done before. They prefer jobs that offer personal responsibility for finding solutions, like to receive rapid and unambiguous performance feedback to tell whether they're improving, and to set moderately challenging goals. High achievers avoid what they perceive to be very easy or very difficult tasks. A high need to achieve doesn't necessarily lead to being a good manager because high achievers focus on their own accomplishments while good managers emphasize helping others accomplish their goals. McClelland showed that employees can be trained to stimulate their achievement need by being in situations where they have personal responsibility, feedback, and moderate risks. The other two needs in this theory haven't been researched as extensively, but we do know that the best managers tend to be high in the need for power and low in the need for affiliation.

Unique Groups of Workers **Motivating** **Diverse employees** **Professionals** **Contingent workers**

To maximize motivation among today's **diverse workforce**, managers need to think in terms of **flexibility**. For instance, studies tell us that: •Men place more importance on having autonomy in their jobs than women do. •The opportunity to learn, convenient and flexible work hours, and good interpersonal relations are more important to women than to men. •Having the opportunity to be independent and to be exposed to different experiences is important to Gen Y employees, whereas older workers may prefer highly structured work opportunities. A diverse array of rewards is needed to motivate employees with such diverse needs. Many of the work-life balance programs that organizations have implemented are a response to the varied needs of a diverse workforce. But do flexible work arrangements motivate employees? Although such arrangements might seem highly motivational, both positive and negative relationships have been found. For example, one study of the impact of telecommuting on job satisfaction found that job satisfaction initially increased as the extent of telecommuting increased, but as the number of hours spent telecommuting increased, job satisfaction started to level off, decreased slightly, and then stabilized. **Motivating professionals** is different from motivating nonprofessionals. Professionals have a strong and long-term commitment to their field of expertise, they need to keep current and regularly update their knowledge, and, because of their commitment to their profession, they work beyond a 40-hour week. Money and promotions tend to be low motivators for professionals, but job challenge tends to rank high. Professionals' chief reward is the work itself but they value support and want others to think that what they're working on is important. Professionals tend to be focused on their work as their central life interest, whereas nonprofessionals typically have outside interests that can compensate for needs not met on the job. There's no simple solution for motivating contingent employees—temporary part-time and contract workers who don't have security or stability, don't identify with the organization, don't display the commitment that other employees do, and receive few or no benefits such as health care or pensions. For the most part, temporary employees are not temporary by choice. Therefore, an involuntarily temporary employee might be motivated by the opportunity to become a permanent employee or an opportunity for training.

Contemporary Issues Gen Y Workers High Expectations of Self - They aim to work faster and better than other workers High Expectations of Employees - They want fair and direct managers who are highly engaged in their professional development Ongoing Learning - They seek out creative challenges and view colleagues as vast resources from whom to gain knowledge. Immediate Responsibility - They want to make an important impact on Day 1 Goal Oriented - They want small goals with tight deadlines so they can build up ownership of tasks.

Two contemporary OB issues managers face today are **generational differences** and **negative behaviors** in the workplace. **Gen Y** refers to individuals born from about 1982 to 1997 who bring new attitudes with them to the workplace. What Gen Ys want their work life to provide is shown here in Exhibit 9-6: • They have high expectations of themselves. • They have high expectations of employers. • They expect ongoing learning. • They expect immediate responsibility. • They are goal oriented. As Gen Ys say of themselves, "We are willing and not afraid to challenge the status quo. An environment where creativity and independent thinking are looked upon as a positive is appealing to people my age. We're very independent and tech savvy."

Team Processes

Variables related to effectiveness: * Common plan/purpose * Specific goals * Team efficacy * Task conflict * Minimal social loafing **Five team process variables** have been shown to be related to team effectiveness. An effective team has a **common plan and purpose** that provides direction, momentum, and commitment for team members. Members of successful teams put a lot of time and effort into discussing, shaping, and agreeing on a purpose that belongs to them both individually and as a team. Teams also need **specific goals** that facilitate clear communication and help teams maintain their focus on getting results. **Team efficacy** emerges when teams believe in themselves and in their members, and believe that they can succeed. Effective teams also need some of the right kind of **conflict**, which actually improves team effectiveness. Task conflicts—those based on disagreements about task content—can be beneficial because they may stimulate discussion, promote critical assessment of problems and options, and lead to better team decisions. Note that relationship conflicts are almost always dysfunctional. Finally, effective teams work to minimize the tendency for **social loafing**, which can be avoided by making members individually and jointly accountable for the team's purpose, goals, and approach.

Groups Versus Teams

Work Teams Work Groups Collective <----------- Goal---------->share information performance positive <-----------Synergy------->Neutral (sometimes negative) individual and<-------Accountability--> Individual mutual complementary<----------Skills-------->Random & Varied Turning groups into effective teams may be critical for an organization's survival. It's estimated that some 80 percent of Fortune 500 companies have at least half of their employees on teams, and more than 70 percent of U.S. manufacturers use work teams. Research suggests teams outperform individuals when the tasks require multiple skills, judgment, and experience. Teams are more flexible and responsive to changing events than traditional departments or other permanent work groups are. They can quickly assemble, deploy, refocus, and disband. The difference between a work group and work team can be seen here in Exhibit 10-5. **Work groups** share information and make decisions to help each member do his or her job more efficiently and effectively. They do not engage in collective work that requires joint effort. **Work teams** work intensely on a specific, common goal using their positive synergy, individual and mutual accountability, and complementary skills. Many organizations have restructured work processes around teams because managers are looking for that positive synergy that will help the organization improve performance with no or few additional inputs. Such increases are simply "potential." Nothing inherent in the creation of work teams guarantees that positive synergy and its accompanying productivity will occur. Successful work teams have certain characteristics that managers will need to ensure their teams possess.

Understanding Perception

Employees react to perception, not reality The potential for perceptual distortion exists Managers need to recognize that their employees react to perceptions, not to reality. So whether the organization's wage levels are among the highest in the community is less relevant than what employees perceive them to be. If individuals perceive wage levels as low, they'll behave as if those conditions actually exist. Employees organize and interpret what they see, so there is always the potential for perceptual distortion. The message is clear: Pay close attention to how employees perceive both their jobs and management actions.

10. In​ meetings, John has been known to raise his voice and use a tone that many on his team find offensive. In the​ past, this has gotten John attention and people stop to listen to his rant. Ross has now decided that this will not​ continue, and that the team will just ignore John when he speaks with such disrespect. This is an example of which of the​ following? A. Intermitten support B. Reproduction effectiveness C. Punishment D. Reinforcement E. Extinction

Extinction Correct. Extinction is not reinforcing​ (ignoring) a​ behavior, making it gradually disappear.

11. Lori is very excited to have some​ "new blood" on the team. She is looking for the new college grads to bring energy and ideas to the team. She is quickly learning these new employees are​ pre-occupied with the technology and always trying to figure out how to leverage the apps in their work. More than likely Lori has hired new employees who represent which​ generation? A. The​ i-pod generation B. Gen Y C. Gen X D. Builders E. Connectors

Generation Y Correct. Generation Y represents about 70 million young workers who are embarking on their career

Guidelines for Job Redesign

Suggested Action *Combine tasks * Form natural work units * Establish client relationships * Expand jobs vertically * Open feedback channels Core Job Dimension * Skill variety * Task identity * Task significance * Autonomy * Feedback The JCM provides significant guidance to managers for job design for both individuals and teams. The suggestions shown in Exhibit 11-6, which are based on the JCM, specify the types of changes in jobs that are most likely to improve each of the five core job dimensions.

Ch. 9 Warmup 1. Dillon is a company that is trying to grow from a culture focused on sales to a culture that is focused on customer relations. This represents which of the following OB focus​ areas? A. Group behaviors B. Individual behaviors C. Leadership D. Culture strategy E. Organizational

organizational Correct. Organizational aspects include​ structure, culture, and human resource policies.

4. Brian feels very passionate about the new plan for the operations department. This is the first exciting thing that Brian has seen happen in his department. This represents which component of​ Brian's attitude? A. Cognitive B. Behavioral C. Perceptive D. Affective E. Literal

Affective Correct. The affective component of attitudes is the emotional or feeling part.

CH. 11 Motivating and Rewarding Employees

After studying this chapter, you will be able to: • Define and explain motivation. • Compare and contrast early theories of motivation. • Compare and contrast contemporary theories of motivation. Discuss current issues in motivating employees

CH. 9 Foundations of Individual Behavior

After studying this chapter, you will be able to: • Identify the focus and goals of organizational behavior (OB). • Explain the role that attitudes play in job performance. • Describe different personality theories. •Describe perception and the factors that influence it. • Discuss learning theories and their relevance in shaping behavior. • Discuss contemporary issues in OB.

Operant Conditioning

Almost all behavior is learned, so if we want to explain, predict, and influence behavior, we need to understand how people learn. Learning occurs all the time and can be defined as any relatively permanent change in behavior that occurs as a result of experience. Two learning theories that help us understand how and why individual behavior occurs are operant conditioning and social learning. First we will discuss operant conditioning. •**Operant conditioning** argues that behavior is a function of its consequences. Operant behavior is voluntary: People learn to behave to get something they want or to avoid something they don't want. Reinforcement strengthens a behavior and increases the likelihood that it will be repeated. Lack of reinforcement has the opposite effect.

Personality Theories

An individual's **personality** is a unique combination of emotional, thought, and behavioral patterns that affect how a person reacts to situations and interacts with others. Often described in terms of measurable traits that a person exhibits, personality—just like attitudes—affects how and why people behave the way they do. Through the years, researchers have attempted to focus on which personality types and personality traits would best identify information about an individual. Two of the most widely recognized efforts are the Myers-Briggs Type Indicator® and the Big Five model of personality. The **Myers-Briggs Type Indicator (MBTI®)** assessment uses four dimensions of personality to identify 16 different personality types based on the responses to an approximately 100-item questionnaire. The 16 personality types are based on four dimensions: Extraversion versus Introversion (EI), Sensing versus Intuition (SN), Thinking versus Feeling (TF), and Judging versus Perceiving (JP). •The EI dimension describes an individual's orientation toward the external world of the environment (E) or the inner world of ideas and experiences (I). •The Sensing-Intuition dimension indicates an individual's preference for gathering data while focusing on a standard routine based on factual data (S) versus focusing on the big picture and making connections among the facts (N). •Thinking-Feeling reflects an individual's preference for making decisions in a logical and analytical manner (T) or on the basis of values and beliefs and the effects the decision will have on others (F). •The Judging-Perceiving index reflects an individual's attitude toward dealing with the external world, either in a planned and orderly way (J) or a flexible and spontaneous way (P). So, an ISTJ (Introversion - Sensing - Thinking - Judging) person is quiet, serious, dependable, practical, and matter-of-fact, whereas an ESFP (Extraversion - Sensing - Feeling - Perceiving) is outgoing, friendly, spontaneous, enjoys working with others, and learns best by trying a new skill with other people.

Work Design

Key work design elements: * Autonomy * Using a variety of skills * Completing a whole and identifiable task * Impact of task/project on others **Effective teams** need to work together and take collective responsibility for completing tasks. Important work design elements that enhance team member motivation and increase team effectiveness include: 1.Autonomy 2.Using a variety of skills 3.Being able to complete a whole and identifiable task or product 4.Working on a task or project that has a significant impact on others Research indicates that these characteristics enhance team member motivation and increase team effectiveness.

Matching Personalities and Jobs

Obviously, individual personalities differ. So do jobs. How do we match the two? The best-documented personality-job fit theory was developed by psychologist John Holland, and states that an employee's satisfaction with his or her job, as well as his or her likelihood of leaving that job, depends on the degree to which the individual's personality matches the job environment. Holland identified six basic personality types, as seen here in Exhibit 9-2: • Realistic • Investigative • Social • Conventional • Enterprising • Artistic

Group Behavior

The basic foundation for understanding group behavior includes: • Roles • Norms and conformity • Status systems • Group size • Group cohesiveness A role refers to behavior patterns expected of someone who occupies a given position in a social unit. Individuals play multiple roles and adjust their roles to the group to which they belong at the time. In an organization, employees attempt to determine what behaviors are expected of them. They read their job descriptions, get suggestions from their bosses, and watch what their coworkers do. Role conflict occurs when an employee has conflicting role expectations.

**Goal-Setting Theory**

The theories we'll look at now represent current employee motivation approaches that are supported by research. They include goal-setting theory, job design theory, equity theory, and expectancy theory. Substantial research support has been established for **goal-setting theory**, which says that specific goals increase performance and that difficult goals result in higher performance than easy goals. That means that: (1) Working toward a goal is a major source of job motivation, and (2) specific and challenging goals are superior motivating forces. The **specificity of the goal** itself acts as an internal stimulus. For instance, when a sales rep commits to making eight sales calls daily, he has a specific goal to try to attain. Interestingly, setting one's own goals sometimes elicited superior performance; in other cases, individuals performed better when their manager assigned goals. However, when employees might resist accepting difficult challenges, participation in goal setting is probably more effective than assigning goals. Lastly, people do better if they get feedback on how well they're progressing toward their goals because it helps identify discrepancies between what they've done and what they want to do. Exhibit 11-4 shown here summarizes the relationships among goals, motivation, and performance.

6. Joanne loves trying new things. She is wonderful at experimenting with new​ technology, coming up with creative​ ideas, and working on the design table. This part of her personality may best be described by which of the​ following? A. Conscientiousness B. Extraversion C. Openness to experience D. Agreeableness E. Emotional stability

openness to experience Correct. This personality dimension describes the degree to which someone is​ imaginative, artistically​ sensitive, and intellectual.

3. Ross understands that things​ can't stay the way they​ are, but he is not at all sure what the future looks like for the​ gluten-free market. The best way to describe​ Ross' resistance to change is which of the​ following? A. Concern over personal loss B. Habit C. Change is not in the​ organization's best interest D. Uncertainty E. Resources

uncertainty Correct. One of the main reasons people resist change is uncertainty. Change replaces the known with uncertainty and people​ don't like that.

CH. 10 Understanding Groups and Managing Work Teams

• Define group and describe the stages of group development. • Describe the major concepts of group behavior. • Discuss how groups are turned into effective teams. • Discuss contemporary issues in managing teams.

8. Year after​ year, Hal has rated Bob and​ Jim's performance at a higher level than Sue and Tina. But by all​ accounts, Bob,​ Jim, Sue, and Tina have all made about the same number of sales and brought in the same amount of revenue each year. Some people say the ratings reflect​ Hal's thoughts about men being in his sales department. This would reflect which perceptual​ shortcut? A. Fundamental attribution error B. ​Self-serving bias C. ​"Like me" effect D. Halo effect E. Stereotyping

"Like me" effect Correct. Hal is assuming that people like him will do great in sales. This assumption is leading to an assumed similarity.

Shaping Team Behavior

* Member selection is key * Teamwork training A manager can shape a team's behavior through proper selection, employee training, and rewarding the appropriate team behaviors. **Member selection is key**. When hiring team members, managers should check whether applicants have the technical skills required to successfully perform the job and whether they have the interpersonal skills to fulfill team roles. Some applicants may have been socialized around individual contributions and lack team skills. This could also be true of some current employees being moved into teams due to organizational restructuring. In this situation, a manager can choose not to hire the person or to hire him or her on a probationary basis and provide training. **Performing well in a team** involves a set of behaviors that can be learned from training specialists who conduct workshops that can cover such topics as team problem solving, communications, negotiations, conflict resolution, and coaching skills. They also remind employees that it takes teams longer to do some things—such as making decisions—than employees acting alone would.

Attitudes and Job Performance

**Attitudes** are evaluative statements, either favorable or unfavorable, concerning objects, people, or events. They reflect how an individual feels about something, such as, "I like my job." Looking at attitudes as being made up of three components—cognition, affect, and behavior—helps to illustrate their complexity. But keep in mind that the term "attitude" usually refers only to the affective component. Managers are specifically interested in job-related attitudes, and the most important and most studied are job satisfaction, job involvement, and organizational commitment. 1. **Job satisfaction** is an employee's general attitude toward his or her job. When people speak of employee attitudes, more often than not they mean job satisfaction. ● 2. **Job involvement** is the degree to which an employee identifies with his or her job, actively participates in it, and considers his or her job performance important for self-worth. ● 3. **Organizational commitment** is an employee's orientation toward the organization in terms of his or her loyalty to, identification with, and involvement in the organization. ● 4. **Employee engagement**, a new concept generating widespread interest, happens when employees are connected to, satisfied with, and enthusiastic about their jobs. Highly engaged employees are passionate about and deeply connected to their work; disengaged employees have essentially "checked out" and don't care. •A global study of more than 12,000 employees found that the top five engagement factors are: - Respect - Type of work - Work/life balance - Providing good service to customers - Base pay Highly engaged employees increase benefits and reduce costs. They're two and a half times more likely to be top performers and remain with the organization, which reduces recruiting and training costs. This winning combination of higher performance and lower costs contributes to superior financial performance.

**Cross-Cultural Differences** **The desire for interesting work seems to be global**

**Equity theory** has a relatively strong following in the United States, which is not surprising given that U.S.-style reward systems are based on the assumption that workers are highly sensitive to equity in reward allocations. However, recent evidence suggests that in collectivist cultures, especially in the former socialist countries of Central and Eastern Europe, employees expect outcomes to be greater than their inputs, which suggests that U.S.-style pay practices may need to be modified to be perceived as fair by employees. Despite these cross-cultural differences in motivation, a number of cross-cultural consistencies exist. For instance, the desire for interesting work seems important to almost all workers, regardless of their national culture. Similarly, in a study comparing job-preference outcomes among graduate students in the United States, Canada, Australia, and Singapore, growth, achievement, and responsibility were rated as the top three outcomes and had identical rankings. Both studies suggest that intrinsic factors identified by Herzberg in his **two-factor theory** are to some degree universal.

Rewards

**External rewards** **Promotions** **Pay raises** **Other forms of recognition** **Inherent rewards** **Camaraderie** **Personal development** **Helping teammates** An organization's **reward system** needs to encourage cooperative efforts rather than competitive ones. For instance, Lockheed Martin's aeronautics division organized some 20,000 employees into teams and structured rewards to return a percentage increase in the bottom line to the team members on the basis of achievements of the team's performance goals. Promotions, pay raises, and other forms of recognition should be given to employees who are effective collaborative team members. This approach doesn't ignore individual contribution, and behaviors that should be rewarded include training new colleagues, sharing information with teammates, helping resolve team conflicts, and mastering new skills in which the team is deficient. Finally, managers can't forget the inherent rewards that employees can receive from teamwork, such as camaraderie, the opportunity to engage in personal development, and the chance to help teammates.

**Influences on Job Performance**

**Feedback** **Goal commitment** **Adequate self-efficacy** **National culture** All feedback isn't equally effective. Self-generated feedback—in which an employee monitors his or her own progress—has been shown to be a more powerful motivator than feedback coming from someone else. In addition to feedback, three other contingencies influence goal performance: Goal-setting theory assumes that an individual is committed to the goal. **Goal commitment** is most likely when goals are made public, when the individual has an internal locus of control, and when the goals are self-set rather than assigned. **Self-efficacy** refers to an individual's belief that he or she is capable of performing a task. In difficult situations, people with low self-efficacy are likely to reduce their effort or give up altogether, whereas those with high self-efficacy will try harder to master the challenge. Also, individuals with high self-efficacy seem to respond to negative feedback with increased effort and motivation, whereas those with low self-efficacy are likely to reduce their effort. The value of goal-setting theory also depends on the **national culture**. It's well adapted to North American countries because its main ideas align reasonably well with those cultures. It assumes that subordinates will be reasonably independent (not a high score on power distance), that people will seek challenging goals (low in uncertainty avoidance), and that performance is considered important by both managers and subordinates (high in assertiveness). Managers cannot expect goal setting to lead to higher employee performance in countries with cultural characteristics different from these.

Distorted Attributions

**Fundamental attribution error:** the tendency to underestimate the influence of external factors and overestimate the influence of internal factors when making judgments about the behavior of others. **Self-serving bias:** the tendency for individuals to attribute their successes to internal factors while putting the blame for failures on external factors. One of the more interesting findings drawn from attribution theory is that **errors or biases distort attributions**. For instance, substantial evidence supports the hypothesis that when we make judgments about the behavior of other people, we tend to underestimate the influence of external factors and overestimate the influence of internal or personal factors. This fundamental attribution error can explain why a sales manager may be prone to attribute the poor performance of her sales agents to laziness rather than to a competitor's innovative product line. Individuals generally attribute their own successes to internal factors, such as ability or effort, while blaming failure on external factors. This **self-serving bias** suggests that employees will distort feedback from performance reviews, whether the feedback is positive or negative.

Group Cohesiveness

**Group cohesiveness** is the degree to which members are attracted to one another and share the group's goals. However, the relationship between cohesiveness and effectiveness is complex. A key moderating variable is the degree to which the group's attitude aligns with its formal goals or the goals of the larger organization. The more cohesive a group, the more its members will follow its goals. Exhibit 10-3, seen here, summarizes the relationship between cohesiveness and productivity: •If the goals are favorable, a cohesive group is more productive than a less cohesive group. •However, if cohesiveness is high and attitudes are unfavorable, productivity decreases. •If cohesiveness is low and goals are supported, productivity increases, but not as much as when both cohesiveness and support are high. •When cohesiveness is low and goals are not supported, cohesiveness has no significant effect on productivity.

**Job Characteristics Model**

**Job design** refers to the way tasks are combined to form complete jobs. Managers should design jobs deliberately and thoughtfully to reflect the demands of the changing environment, the organization's technology, and employees' skills, abilities, and preferences. When jobs are designed this way, employees are motivated to work hard. The **job characteristics model (JCM)** seen here was developed by J. Richard Hackman and Greg R. Oldham. This model can help managers design jobs that motivate. According to Hackman and Oldham, any job can be described in terms of the following five core job dimensions: 1.**Skill variety** is the degree to which the job requires a variety of activities, allowing the worker to use a number of different skills and talents. 2.**Task identity** is the degree to which the job requires completion of a whole and identifiable piece of work. 3.**Task significance** is the degree to which the job affects the lives or work of other people. 4.**Autonomy** refers to the freedom, independence, and discretion given to the individual for scheduling the work and for determining the procedures to be used in carrying it out. 5.**Feedback** is the degree to which carrying out the work activities required by the job results in the individual's obtaining direct and clear information about the effectiveness of his or her performance. ● Notice in Exhibit 11-5 how the first three dimensions—skill variety, task identity, and task significance—combine to create meaningful work, which means if these three characteristics exist in a job, we can predict that the person will view his/her job as being important, valuable, and worthwhile. Note, too, that jobs that possess autonomy give the employee a feeling of personal responsibility for the results and that if a job provides feedback, the employee will know how effectively he or she is performing.

Managerial Challenges

**Managing Gen Y** workers presents some unique challenges. Conflicts and resentment can arise over issues such as appearance, technology, and management style. One possible solution is being more flexible in what's acceptable. For example, the guideline might be that when the person is not interacting with someone outside the organization, more casual wear (with some restrictions) can be worn. This generation has lived much of their lives with cell phones, email, texting, laptops, and the Internet. When they don't have information they need, they're content to meet virtually, while baby boomers expect an in-person meeting. Baby boomers complain about Gen Y's inability to focus on one task, while Gen Ys see nothing wrong with multitasking. Again, flexibility from both is the key. When it comes to managing, Gen Y employees want bosses who are open minded; experts in their field; organized; teachers and mentors; respectful of their generation; understanding of their need for work-life balance; who provide constant feedback; who communicate in compelling ways; and who provide stimulating and novel learning experiences. Gen Y employees have a lot to offer organizations in terms of their knowledge, passion, and abilities. Managers, however, have to recognize and understand the behaviors of this group in order to create an environment in which work can be accomplished efficiently, effectively, and without disruptive conflict.

Pay-for-Performance

**Pay-for-performance** programs are variable compensation plans that pay employees on the basis of some performance measure. Piece-rate pay plans, wage incentive plans, profit-sharing, and lump sum bonuses are examples. These performance measures might include such things as individual productivity, team or work group productivity, departmental productivity, or the overall organization's financial performance. From a motivation perspective, making some or all an employee's pay conditional on some performance measure focuses his or her attention and effort toward that measure and then reinforces the continuation of the effort with a reward. If the employee, team, or organization's performance declines, so does the reward. Some 80 percent of large U.S. companies have some form of variable pay plan; 30 percent of Canadian companies and 22 percent of Japanese companies have company-wide pay-for-performance plans. Managers need to ensure that they're specific about the relationship between an individual's pay and his or her expected level of performance and understand exactly how performance—theirs and the organization's—translates into dollars on their paychecks. The photo shows employees of British retailer John Lewis Partnership celebrate receiving an annual bonus of 18 percent of their salary based on the company's 20 percent increase in profits. A bonus is one example of a pay-for-performance program—a compensation plan that pays employees on the basis of some performance measure.

Understanding Attitudes

**Satisfied employees have lower rates of turnover and absenteeism **Satisfied employees perform better on the job **Survey employees about their attitudes **Employees will try to reduce dissonance. Employees' attitudes influence behavior. For example, satisfied and committed employees have lower rates of turnover and absenteeism. If managers want to keep resignations and absences down—especially among their more productive employees—they'll want to do things that generate positive job attitudes. To do this, managers should focus on factors that are conducive to high levels of employee job satisfaction, which are likely to help employees be more productive, such as: • Making work challenging and interesting. • Providing equitable rewards. • Creating supportive working conditions and supportive colleagues. Managers should also survey employees about their **attitudes** multiple times to more effectively pinpoint employee dissatisfaction. Also, managers should know that employees will try to reduce dissonance, so managers might point to external forces such as competitors, customers, or other factors—or provide rewards that the employee desires—when explaining the need to perform work about which that employee may feel some dissonance.

Social Learning Theory Learning both through: **observation** and **direct experience**

**Social learning** theory holds that people learn through both observation and direct experience. The influence of others (parents, teachers, peers, celebrities, managers, etc.) is central to the social learning viewpoint and the amount of influence that these models have on an individual is determined by four processes: 1. **Attentional processes**. People learn from a model when they recognize and pay attention to its critical features. 2. **Retention processes**. A model's influence will depend on how well the individual remembers the model's action, even after the model is no longer readily available. 3. **Motor reproduction processes**. After a person has seen a new behavior by observing the model, the watching must become doing. 4. **Reinforcement processes**. Individuals will be motivated to exhibit the modeled behavior if positive incentives or rewards are provided. Behaviors that are reinforced will be given more attention, learned better, and performed more often.

Status Systems

**Status: a prestige grading, position, or rank within a group** **Status** is a prestige grading, position, or rank within a group. As far back as scientists have been able to trace human groupings, they've found status hierarchies between tribal chiefs and their followers, nobles and peasants, and the haves and the have-nots. Status systems are important factors in understanding behavior. Status is a significant motivator that has behavioral consequences when individuals see a disparity between what they perceive their status to be and what others perceive it to be. Anything can have status value if others in the group admire it. Members of groups often place people into status categories, and they usually agree about who's high, low, and in the middle. It's important for employees to believe that there is equity or congruence between the perceived ranking of an individual and the status symbols he or she is given by the organization.

**McGregor's Theory X and Theory Y**

**Theory X** **Little ambition **Dislike work **Avoid responsibility **Must be closely controlled **Theory Y** **Enjoy work **Seek and accept responsibility **Exercise self-direction Douglas McGregor is best known for proposing two assumptions about human nature: Theory X and Theory Y. Simply put **Theory X** is a **negative view of people** and **Theory Y is a positive view**. McGregor believed that **Theory Y** assumptions should guide management practice and proposed that participation in decision making, responsible and challenging jobs, and good group relations would maximize employee motivation. Unfortunately, no evidence confirms that either set of assumptions is valid or that being a Theory Y manager is the only way to motivate employees.

Perception Old woman or young woman? Two faces or an urn? A knight on a horse?

**We interpret what we see and call it reality** **Perception** is a process by which we give meaning to our environment by organizing and interpreting sensory impressions.** Research consistently demonstrates that individuals may look at the same thing yet perceive it differently. For example, one manager can interpret the fact that her assistant takes several days to make important decisions as evidence that the assistant is slow, disorganized, and afraid to make decisions. Another manager with the same assistant might perceive the assistant as thoughtful, thorough, and deliberate. The point is, none of us sees an objective reality; we just interpret what we see and call it reality. Perception can be shaped or distorted by a number of factors that reside in the perceiver, in the object or target being perceived, or in the context of the situation in which the perception is made. Because we do not look at targets in isolation, the relationship of a target to its background also influences perception—as seen here in Exhibit 9-3—as does our tendency to group close things and similar things together. The context, time, and other situational factors in which we see objects or events is also important.

Understanding Personality

1.Job-person compatibility 2.Understanding different approaches to work 3.Being a better manager About 62 percent of companies use personality tests when recruiting and hiring because managers are likely to have higher-performing and more-satisfied employees if consideration is given to matching personalities with jobs. In addition, compatibility leads to other benefits. By recognizing that people approach problem solving, decision making, and job interactions differently, a manager can better understand why, for instance, an employee is uncomfortable with making quick decisions or why an employee insists on gathering as much information as possible before addressing a problem. In the same vein, managers can expect that individuals with an external locus of control may be less satisfied with their jobs than those with an internal locus, and also that they may be less willing to accept responsibility for their actions. One of the skills you have to develop as a manager is learning to fine-tune your emotional reactions according to the situation. In other words, you have to learn to recognize when "you have to smile and when you have to bark."

What is a Group?

A **group** is of two or more interacting and interdependent individuals who come together to achieve specific goals. **Formal groups** are work groups that are defined by the organization's structure and have designated work assignments and specific tasks directed at accomplishing organizational goals. Exhibit 10-1 shows examples of formal work groups. • **Command groups** are determined by the organization chart and composed of individuals who report directly to a given manager. • **Task groups** are often temporary and are composed of individuals brought together to complete a specific job task. • **Cross-functional teams** bring together the knowledge and skills of individuals from various work areas, or are groups whose members have been trained to do each other's jobs. • **Self-managed teams** are essentially independent. In addition to their own tasks, they take on traditional managerial responsibilities such as hiring, planning and scheduling, and evaluating performance. **Informal groups** are social groups that occur naturally in the workplace and tend to form around friendships and common interests.

**A Closer Look at the Model**

A closer look at the model also shows that it considers the **achievement-need**, reinforcement, equity, and JCM theories. The high achiever isn't motivated by the organization's assessment of his or her performance or organizational rewards; hence the jump from effort to individual goals for those with a high nAch. **Reinforcement theory** is seen in the model where the organization's rewards reinforce the individual's performance. Rewards also play a key part in **equity theory**. Individuals compare the rewards (outcomes) they have received from the inputs or efforts they have made with the inputs-outcomes ratio of relevant others. If inequities exist, the effort expended may be influenced. Finally, the **JCM** is seen in this integrative model. Task characteristics (job design) influence job motivation in two areas. First, jobs that are designed around the five job dimensions are likely to lead to higher actual job performance because the individual's motivation will be stimulated by the job itself and because there will be a clear link between effort and performance. Second, jobs that are designed around the five job dimensions also increase an employee's control over key elements in his or her work. Thus, jobs that offer autonomy, feedback, and similar task characteristics help to satisfy the individual goals of employees who desire greater control over their work.

Perceptual Shortcuts

All of us, managers included, use shortcuts to make the task of perceiving and interpreting others' behaviors more manageable. Here in Exhibit 9-5 we see a summary of these perceptual shortcuts. Because individuals can't assimilate all they observe, they're selective in their perception, depending on their interests, background, experience, and attitudes. **Selective perception** allows us to "speed read" others but not without the risk of drawing an inaccurate picture. It's easy to judge others if we assume that they're similar to us. In **assumed similarity**, the observer's perception of others is influenced more by his or her own characteristics than by those of the person observed. For example, if you want challenges and responsibility in your job, you'll assume that others want the same thing. When we judge someone on the basis of our perception of a group he or she is part of, we're using the shortcut called **stereotyping**. For instance, the statement "Married people are more stable employees than single people" is an example of stereotyping. To the degree that the stereotype is based on fact, it may produce accurate judgments—but many stereotypes aren't factual and distort our judgment. Another shortcut is the **halo effect**, where we form a general impression about a person on the basis of a single characteristic, such as intelligence, sociability, or appearance.