BUSMHR 3100 Exam 2

Negotiation

"A process of a joint decision-making made by two or more parities to resolve their conflicting interests"

BATNA (Best Alternative To a Negotiated Agreement)

"If your negotiation fails, what will you do?" - Your BATNA is your #1 source of power. - Do everything you can to improve BATNA before you negotiate - Counterparts' perceptions of your BATNA are also very important - Do not let the other party manipulate your BATNA (happens when you are not prepared)

Group:

(1) two or more freely interacting individuals who (2) share norms and (3) goals and (4) have a common identity.

Key Point:

* People's performance is not solely based on their abilities but the awareness of being evaluated

Cognitive Factors

- Differing expectations - Perceptions of the other party

Compromising (Level Middle-ground)

- Give and take approach with a moderate concern for both self and others - Appropriate when opposing parties have opposite goals or equal power; consensus cannot be reached; temporary solution to a complex problem is needed - Strength: often gets everyone something - Weakness: temporary fix that can stifle problem solving

Dominating (Win-Lose)

- Involves "I win, you lose" tactics. Often called forcing because it relies on formal authority to force compliance. - Appropriate when a deadline is near; an unpopular solution must be implemented; subordinates lack expertise to make decisions - Strength: speed - Weakness: breeds resentment

Avoiding (Lose-Lose)

- Involves passive withdrawal from problem or active suppression of the issue - Appropriate for trivial issues; when costs of confrontation outweigh benefits of resolving conflict; cooling-off period is needed - Strength: buys time - Weakness: temporary fix and sidesteps underlying problem

History

- Past performance: perceptions of others' poor past performance shapes future interactions - Previous interactions: history of conflict

Integrating (Win-Win)

- People confront the issue and cooperatively identify the problem, generate and weigh alternatives, and select a solution - Appropriate for complex issues; when time is available for problem solving; resources possessed by different parties are needed - Strength: deals with underlying problem - Weakness: time consuming

Individual Characteristics

- Personality - Value differences - Goals

Obliging (Lose-Win)

- Show low concern for yourself and a great concern for others - May be appropriate when you think you may be wrong; when you think the issue is more important to the other party; when you are willing to give up something in exchange for something from the other party in the future; preserving relationship is important - Strength: encourages cooperation - Weakness: temporary fix (may not fix underlying problem)

Employees spend at least ____ hours per week dealing with some type of conflict at work.

2

Typical managers spend about ___ percent of their time dealing with conflicts.

30

Tuckman's Model of Group Development

5-Stage Model • Forming • Storming • Norming • Performing • Adjourning

Groupthink

A cohesive group's unwillingness to consider alternative points of view - Desire for harmony or conformity in the group results in an incorrect or deviant decision-making outcome - Group members try to minimize conflict and reach a consensus decision without critical evaluation of alternative ideas or viewpoints, and by isolating themselves from outside influences

Brainstorming

A technique to increase group creativity and productivity byencouraging group members to express their ideas in a non-criticaland "safe" environment.

Franco is part of a group which must resolve a quality control issue at his company. Franco is worried about what the group expects from him, and is not sure who is in charge. What stage of group development is the group likely in at this time? A. forming B. storming C. norming D. performing E. adjourning

A. Forming

Adams thrives on organizing and defining what group members should be doing to maximize output. According to the Ohio State researchers, Adams is exhibiting which of the following behaviors? A. Initiating structure B. Laissez-faire C. Relationship-oriented D. Consideration E. Supportive style

A. Initiating structure

The boss in the workplace told team members that "Let me share a vision that transcends us to a greater good." This statement is a good example that reflects: A. inspirational motivation. B. idealized influence. C. individualized consideration. D. intellectual stimulation. E. transactional leadership.

A. inspirational motivation.

Project Groups:

Assembled to address specific problem, task, or project, Duration can vary depending on purpose of team, Members usually divide time between their primary job and the project team

To reduce Groupthink:

Assign the role of "evaluator" to each group - Invite outside experts to observe and react to group's dynamics - Assign someone to be a "devil's advocate" at each meeting

4 Rules to Follow for Successful Brainstorming

Avoid criticizing other people's ideas (don't be the "voice of judgement") • Share all suggestions, even if they're "far out" • Offer as many comments as possible • Build on others' ideas to create your own

John is asking advice about how to effectively empower his employees. Which of the following is NOT good advice? A. Only share responsibilities with those who are competent to do what is necessary. B. A manager needs to be careful when empowering employees because it will decrease the manager's power. C. Use job design and the job characteristics model as a way of empowering employees. D. The extent to which employees have positive self-evaluations will enhance their sense of empowerment. E. A common element of empowerment involves pushing decision-making authority down to lower levels.

B. A manager needs to be careful when empowering employees because it will decrease the manager's power.

Olivia is a trainer with Microsoft and has complete knowledge of the company and its processes. She often trains junior and senior employees of the firm on different topics. She is said to have _____ power over her trainees. A. Referent B. Expert C. Legitimate D. Reward E. Coercive

B. Expert

The integrating conflict handling style is characterized by: A. High concern for self and low concern for others B. High concern for self and high concern for others C. High concern for others and low concern for self D. Low concern for others and low concern for self E. Moderate concern for self and others

B. High concern for self and high concern for others

Susie is looking for a TV for her new apartment. She hopes to negotiate a price of $250 for a used TV she found online. She has decided that if they charge more than $400 she is walking away from the TV and will take an old box TV that her parents said they might have in the basement. The $250 in this case is Susie's _target point_, the $400 is her _reservation point_, and the TV in her parents' basement is her __BATNA__. Q. Which is BATNA, target point, and reservation point?

BATNA (best alternative to a negotiated agreement), Target Point- a aspiration point for the outcome of the negotiation that meets a party's objectives or desires, Reservation Point- when the highest price at which someone is willing to buy an item is established, and the lowest price at which a seller will sell the item is confirmed, and the haggling that occurs between these two negotiators.

Informative influence

Believe that the group is right.

Christina promises Alexis that she will buy her dinner if Alexis helps her finish a work project. Alexis agrees. Christina used which influence tactic? A. Coalition B. Pressure C. Exchange D. Rational persuasion E. Ingratiation

C. Exchange

Jeannie belongs to a formal work group with established norms. All the following would be considered norms for her group EXCEPT _______________ A. meetings always start on time. B. meetings are limited to two hours. C. Jeannie's boss always mediates conflict through reconciliation or humor. D. members take turns bringing snacks. E. no cell phones are allowed during the meeting.

C. Jeannie's boss always mediates conflict through reconciliation or humor.

Tech Innovations is in the process of hiring a leader. The organization has poor leader-member relations, low task structure, and weak position power. What type of leader should be hired according to Fiedler's Contingency Model? A. Relationship-motivated B. Passive C. Task-motivated D. Directive E. Supportive

C. Task-motivated

Will wants to improve his ability to manage conflict situations. He is evaluating different pieces of advice. Which of the pieces of advice is true? A. stop people who gossip about the other group B. there is never a good reason to stimulate any type of conflict in a group C. moderate amounts of conflict can benefit group performance D. avoiding conflict is never an appropriate response to conflict situations E. conflict is not helpful to improve creativity and problem solving

C. moderate amounts of conflict can benefit group performance

Nate is a manager at a small appliance store. He is working with an unhappy customer who is yelling at him. Nate's policy on handling customer complaints is to give the customer what they want even at a cost to the company. This represents the _________ handling style. A. compromising B. integrating C. obliging D. avoiding E. dominating

C. obliging

Diversity:

Can have positive or negative effects

Distributive Strategy / Outcome:

Competitive Bargaining to Pursue a Direct Goal

Relationship Conflict

Conflict that arises out of personal differences between people, such as differing goals, styles, values, or personalities *Personality and cross-cultural conflict

Process Conflict

Conflict that arises over responsibilities and how work should be completed

Task Conflict

Conflict that involves work content and goals. It involves differences in viewpoints, expertise, opinions, and ideas relevant to the task.

Dysfunctional Conflict:

Conflict that is detrimental to organizational goals and objectives and threatens an organization's interests.

Functional Conflict:

Constructive or cooperative conflict characterized by consultative interactions, a focus on the issues, mutual respect and useful give and take.

Cross-Functional Teams

Created with members from different disciplines within the organization, such as finance, operations, and R&D.

Which of the following statements about conflict is NOT true? A. Dysfunctional conflict threatens an organization's interests. B. People avoid conflict due to a fear of damaging relationships. C. Functional conflict can promote creative problem solving. D. All conflicts in the organization are negative. E. Organizations can suffer from either too little or too much conflict.

D. All conflicts in the organization are negative.

Rachel believes using soft influence tactics are more effective than using hard tactics. W hich of the following tactics is Rachel most likely to use? A. Basing requests on her authority or rights B. Getting others to support her efforts to persuade someone C. Using intimidation and threats D. Building enthusiasm by appealing to her employees' emotions E. Making explicit promises

D. Building enthusiasm by appealing to her employees' emotions

According to the transformational model of leadership, which leader behavior includes establishing an attractive vision of the future, the use of emotional arguments, and exhibition of optimism and enthusiasm? A. Exciting Leadership B. Emotional intelligence C. Clarifying leadership prototypes D. Inspirational Motivation E. Initiating structure

D. Inspirational Motivation

Leader Member Exchange (LMX) perspective suggests that __________________________ A. Leaders provide positive and negative rewards for performance B. Leaders do not assume leadership responsibilities C. Leaders clarify role requirements and accountabilities of their subordinates D. Leaders differentiate relationship quality with their subordinates E. All of the above

D. Leaders differentiate relationship quality with their subordinates

______ teams are given administrative oversight over their work and high levels of autonomy. In these teams, employees act as their own supervisor. A. Work B. Project C. Virtual D. Self-managed E. Cross-functional

D. Self-managed

Fiedler's Contingency Model uses the Least Preferred Coworker Scale to measure a person's ______________. A. teamwork style B. preferred team type C. preferred power D. dominant leadership style E. implicit leadership theory

D. dominant leadership style

_____ is a mode of thinking that people engage in when they are deeply involved in a cohesive in-group, when members' strivings for unanimity override their motivation to realistically appraise alternative courses of action. A. brainstorming B. social loafing C. social facilitation D. groupthink E. group cohesiveness

D. groupthink

Cohesiveness:

Degree to which group members are attached to each other and are motivated to stay in the group.

Two Different Approaches in Negotiation:

Distributive (Win-Lose), Integrative (Win-Win)

Which one is NOT correct statements regarding the group/team dynamics? A. To overcome the issue of social loafing, we need to offer the hybrid rewards to both individuals and team. B. Trust within the team will lead to higher cooperation and better decision making outcomes. C. Assigning someone to be a "devil's advocate" at each meeting will help to avoid groupthink. D. Too much team cohesiveness can be a problem for the organization E. According to a social facilitation, on average, people perform easier tasks worse and difficult tasks better.

E. According to a social facilitation, on average, people perform easier tasks worse and difficult tasks better.

Gina promised her employees if they reached the goal of fewer than 5 customer complaints during December she would give them each a $500 gift card. What type of power is Gina using and what is her likely result? A. Coercive, commitment B. Positive legitimate, compliance C. Expert, resistance D. Referent, commitment E. Reward, compliance

E. Reward, compliance

Margaret leads her employees by having formal, well-developed guidelines and procedures for each task they perform. Which leadership style best describes Margaret's style? A. Consideration B. Passive C. Servant leadership D. Laissez-faire E. Transactional leadership

E. Transactional leadership

Task roles:

Enable the work group to define, clarify, and pursue a common purpose (keep the group "on track")

Conflict Reduction

Encourage and facilitate friendship via social eventsoTeam buildingoFoster positive attitudes (empathy and compassion)oAvoid or neutralize negative gossip

Maintenance roles:

Foster supportive and constructive interpersonal relationships (keep the group "together")

Norms help create order and allow groups to:

Function effectively

Factors that can lead to Cohesiveness:

High external threat or competition, Time spent together, Shared respect for each other's capabilities, Smaller (vs. larger) groups, Longer (vs. shorter) duration of group existence

To reduce Social Loafing:

Hybrid rewards (which include both individual and team components) can reduce social loafing because it holds people accountable for their individual effort, Limit team size: identify the right team size to maximize efficiency and reduce social loafing. Don't have more people than needed.

Intergroup Conflict

In-Group Thinking ("Us vs. Them") • Too much cohesiveness can increase "in-group" thinking

Structural Factors:

Increased specialization - Interdependence among parties - Physical layout - Centralization (no control over work situations) versus decentralization (control over work situations)

Conflict Resolution Strategies

Obliging, Integrating, Compromising, Avoiding, Dominating

Formal and Informal Groups:

Often overlap

Trust

Reciprocal belief that another person will consider how his or her intentions and behaviors will affect you - When we observe others trust us, we are more likely to trust them - Leads to 1) higher cooperation, 2) better decision making, and 3) higher efforts

Groups influence the behavior of individual members partly through:

Roles and Norms

Creating Team Players

Selecting: hire team players, Training: create team players, Rewarding: incentives to be a good team player

Team Players:

Should be : committed, collaborative, and competent Should do ( 5 teamwork competencies):ØContribute to the team's workØConstructively interact with team membersØKeep team on trackØExpect high-quality workØPossess relevant knowledge, skills, and abilities (KSAOs) for team's responsibilities

Causes of Conflict:

Structural Factors, Communication, Cognitive Factors, Individual Characteristics, History

Team Composition

The collection of jobs, personalities, knowledge, skills, abilities, and experiences of team members(what the team is "composed" of)

Conformity

The convergence of individual responses toward group norms.

Contact Hypothesis

The more members of different groups interact, the less intergroup conflict they will experience

Target Point/Price (Goals/Aspirations)

The point at which a negotiator would like to conclude negotiations; the outcome which constitute the "ideal" best possible situation.

Integrative Strategy / Outcome:

The problem solving and creative process for better options

Communication:

Too much or too little

Normative influence

Want the group to accept and approve of them.

Work teams:

Well-defined purpose, typically permanent, and require full commitment from members, e.g., professional sports team; audit team

Roles:

a set of expected behaviors for a particular position, at the individual level, Pertain to a specific job or situation

Team:

a small number of people who are committed to: a common purpose, performance goals, and an approach for which they hold themselves collectively accountable. A team is more than a group.

Performing

activity is focused on solving task problems; climate of helping and open communication

Formal Groups:

assigned by an organization or its managers to accomplish specific goal, Examples: work group; committee; team

Effective Groups:

ensure that both roles are being fulfilled

Norming

groups that make it past stage 2 do so because someone challenges the group to resolve power issues

Forming

ice breaking stage; uncertain about who is in charge but formal or informal leader should emerge

Storming

individuals test leader's policies and assumptions as they try to determine how they fit in; subgroups form

Conflict:

occurs when one party perceives that its interestsare being opposed or negatively affected by another party."

Conflict has:

positive and negative effects, organizations can suffer from too much or too little conflict

Social Facilitation

presence of others can help or hinder performance; it ultimately depends on the task and self efficacy

Self-Managed Teams

teams of workers who have administrative oversight over their work (no direct supervisor), High levels of autonomy, Team members act as their own supervisor, Outside managers and leaders maintain indirect accountability

Norms:

the attitudes, opinions, feelings, or actions - shared by two or more people - that guide behavior, Shared phenomena, Apply to group, team, or organizational level

Social Loafing

the tendency for individual effort to decline as group size increases

Informal Groups:

when members' overriding purpose of getting together is friendship or common interest, Examples: interest group; alumni group

Adjourning (for temporary teams)

work is done; members think about valuable lessons learned to prepare everyone for future group and team efforts

Virtual Teams

work together over time and distance via electronic media to combine effort and achieve common goals, Flexible and efficient: driven by information and skills and not dependent on time and locations

A group becomes a team when:

• Accountability shifts from strictly individual to both individual and collective • More focused on problem solving and continuous improvement • Effectiveness is measured by the groups' collective outcomes and products ("We win or lose together!")

Benefits of Groups for the individual:

• Greater availability of, and access to, resources, etc. • Affiliation • Security and protection • Self-esteem and sense of identity • Problem solving

Size of teams

• Less than 10 is ideal: more coordination • Even and odd sized groups

"Must Haves" for Negotiation

• Target Point/Price (Goals/Aspirations) • BATNA (Best Alternative to a Negotiated Agreement) • Reservation (Resistance) Point/Price • Bargaining Zone

Benefits of Groups for the organization:

• Task accomplishment (e.g., that couldn't be done by one person) • Increased creativity and innovation • Increase collaboration (e.g., cross-functional, etc.) • (Usually) better decision making (e.g., for complex decisions) • Helps socialize newcomers

Factors that Influence Group/Team Dynamics

• Team Composition (e.g., size, diversity, etc.) • Trust • Cohesiveness • Groupthink • Conformity • Brainstorming • Social Loafing • Social Facilitation