OB Test 3
Internal Sources of Creative Ideas
-employees at all levels -Grant: seek high volume of ideas from all employees -also states that should seek problems as well as creative ideas
Effectiveness of 360 Degree Feedback
Meta Analysis: small, sig improvements in individual employee performance -can also inc overall firm productivity
Change Agent
catalyst in helping org deal w/ old probs in new ways -external consultant or internal employee
target elements of change
components of an organization that may be changed
Feedback
objective info about individual or collective performance -used to motivate, support, direct, correct, and regulate work efforts and outcomes -43% of employees fell they don't get enough guidance to improve their performance 2 Functions of Feedback 1. *Instructional Feedback*: clarifies roles or teaches new behavior 2. *Motivational Feedback* when feedback serves as reward or promises a reward -can be enhanced when pair specific, challenging goals w/ specific feedback of results -employee gets challenged and specifically knows what they need to work on to improve skills
Innovation
broad term- consists of 2 general stages 1. *Creativity*: coming up w/ new ideas about products, processes or policies -2 Dimensions of creativity -*Novel and Potentially Useful*: novel idea= new within context of org, not within world at large -to be creative, novel idea must be potentially useful in helping org. achieve positive outcome -*Range*: small, incremental ideas (refinement of current ideas and practices) to radical breakthrough ideas (practices never heard of in industry) 2. *Implementation*: actual adoption of these ideas by organization
Contingent Rewards and Creativity
contingent rewards for performance are effective for well-defined and narrow tasks -ones that straightforward and require little cognitive effort -BUT for creative tasks -contingent rewards are bad at motivating high performance. Rewards narrow our focus: start fixating on reward- takes away cognitive effort that can be allocated to creativity
Gender and Age Bias in Evaluation Process
*Gender Bias*: women worked in "stereo male dominated jobs" systematically receive lower ratings than men even if their performance identical -men even get higher performance ratings (holding everything else constant) than women in stereotypically female dominated jobs *Age*: younger ppl (holding everything else constant) get higher ratings than older counterparts in same job
Getting Generated Ideas Implemented
*Organic Structure* -decentralized action and cross-unit communication -cross-unit communication allows for the skills and info from one unit within org to support another unit in implementing innovative idea (by teaching unit skills they may have not possessed that necessary to implement innovative idea) -decentralized action allows for units to do whatever they think is necessary to support implementation of innovative idea (don't need to wait on support of upper mgmt to engage in behavior that helps implementation of idea) *Practices* -develop dedicated idea implementation teams -reward anyone who part of process in generating implemented idea *People* -encourage *idea champions*: to continue creating ideas by empowering others with their vision and encouraging them to create more ideas
Cognitive Appraisal of Stressors
*Primary Appraisal*: determining whether stressor irrelevant, positive, or stressful *Secondary Appraisal*: occurs only if primary appraisal deems stressor as stressful -assessment of what can be done to reduce level of perceived stress- think of what coping strategy to use
Unreliable vs Invalid Evaluation
*Unreliable*: not consistent evaluation -w/ same rater over time -diff. measures for same person by diff evaluators *Invalid*: not based on person's actual and objective performance -certain evaluator biases exist in evaluation
Traditional Employee Performance Evaluation
- conducted annually by immediate supervisor (to rate past year's performance) -usually developed min ago: may not be a link to evaluation system and actual org goals Purposes -salary adjustment -promos/transfers/retention -personal development -motivation Cons -time consuming and expensive -both employees and supervisors HATE evaluation process -too infrequent: are talking to employees about their actions from almost year ago -not effective time gap in rewarding or punishing actions of employee -thus, focuses on situations that happened long ago, at expense of improving current performance -little employee participation: can make employees perceive feedback as being less accurate -One Size Fits all Mentality: try to use standardized measures of performance for all employees -but certain employee actions are highly imp for some employees but not for others: can't evaluate every person in org using same metrics bc there are many diff jobs and responsibilities within org -One person (manager) responsible for evaluations: many sources of potential error in evaluation -a lot of room for managerial biases from their individual perspecitve that make the feedback received less accurate
Probs w/ 360 Degree Feedback
-Absence of Training for Customers/Clients -don't know all the ideal business actions org has defined for employees- don't know how to properly measure them -may have accurate idea about service quality of employee: but that's really only ideal business action that they have valid perspective on -Conflicting Messages Among Evaluator Sources -ppl only change if feedback on specific dimension is consistent among sources -if not: ppl discount/don't pay attn to negative feedback -Time and Costs -very high
How to Give Feedback for Coaching Purposes
-Focus on performance, not personalities -Give specific feedback linked to learning and performance outcome goals -Channel feedback toward key result areas for org -focus on improving behaviors org deems as imp for employees to engage: improves imp. behaviors but also comm to employees fully which behaviors the org values most and which they should focus on -Give feedback to coach improvement, not just to obtain final results -Base feedback on accurate and credible info -so emp. more likely to accept feedback -Pair feedback w/ clear expecations for improvement -so emp. knows what's expected of them and how they should improve
Research on Feedback Implications
-High performers respond well to feedback that enhances their feelings of competence and personal control -computer-based performance feedback leads to greater improvements when received directly from computer system rather than via immediate supervisor -shows that empl. view ratings derived from computer system as being less bias and more objective -Recipients of feedback perceive it to be more accurate when they actively participate in feedback session
Multi-Cultural Experiences
-amount of long term interactions and exposures to individuals from foreign cultures boosts creativity -has to be long term interactions: longer than 6 months -occurs from traveling to foreign country, relationship w/ person from foreign country, or having immigrant parents -Dunker Test: ppl w/ multi-cultural experience got it right more frequently than people w/o multi-cultural experience -visiting/experiencing new cultures inc. your open mindness and ability to accept differences -destabilizes current perspective, makes ppl more willing to accept and take on new ideas and persepctives -which in turn helps them think in new ways which helps the creation of creative ideas
Addressing Feedback Issues- How to Make Employees More Vocal: Detert and Burris
-Make Feedback Casual -by treating it as casual event, emp. have less resistance to giving feedback: don't think of it as this brolic, intimidating process anymore w/ high potential for consequences -Active Listening: 2-way convo between employee and manager -have to listen to feedback and other info employees give -Advocate for Employees -actually make good on the info/complaints you get from employees -if don't, emp start to think that sharing their honest opinion w/ you doesn't do any good/result in anything- stop sharing their honest opinion w/ u -Be Transparent: let employees know what happened to their ideas -even if don't get implemented: telling them you tried, but upper mgmt shot it down keeps their trust in you and showcases that their ideas have a chance of being implemented -Reach Out: don't wait for employees to come to you to give you feedback- go to them -Reduce Power Diff Between Employee and Mgmt -can be done by reducing power distance: don't have manager hover over emp or have manager sit at large rectangular desk during evaluation process -power distances can instill intimidation and power dynamics between manager and employee -improves quality of feedback and likelihood that employee will act on feedback -Be consistent w/ feedback and avoid mixed messages
Efficacy of Force-Ranking System
-Wharton School Experiment: emp performance declined when ppl were rated relative to others
Unit or Team Based Incentives (Kerr: Cost Neutral Alternatives)
-all indivudals in same division/unit receive same bonus w/ size of overall payout pool dependent on division/unit performance *Pros* -encourages knowledge sharing and supporting lower performing employees to boost overall group performance -can inc social cohesion and collaboration in group: provide them w/ extrinsic reward to collaborate and share info *Cons* -disenchants high performers: get same bonus as their low performing counterparts -risk of social loafing: however, pressures for social cohesion among group can counteract phenomenon of social loafing -to keep their status and protect overall health of group may not engage in social loafing
Selecting Strategy for Reducing Resistance to Change
-amount of resistance -higher resistance=more need for employee participation -Power of initiator -less power of initiator= more need for employee participation -Amount of info needed from others -more info need from others=more need for employee participation -Stakes: Long-term vs Short-term -long-term: need employee involvement -short-term change: less need for employee involvement
Individual Incentive Programs
-bonuses -*merit pay*: giving employees permanent pay raise based on past performance -sales commission -*piece-rate incentives*: employees paid on basis of individual output they produce
Organization-Wide Gain Sharing Programs
-bonuses paid based on improvements in operating results of org -either when org improves operating income or cuts down costs in some way -size of organization: smaller the unit/org; the better (max: 500 ppl) -unit has to be small enough so that employees can think that their actions/performance have some impact on the company's health -Determining Bonus: compare past org. performance to current org. performance -bonus occurs if current org performance>past -employees should get ~50% of savings/inc income -other 50% goes back to org -historically: managers not included in bonus pool, now they are -More frequently the bonuses are shared, the better: really highlights link between employee behavior and inc. org performance (by providing employees w/ a tangible effect of their new behavior aka reward) -Highly Effective -turnover and defective products dec -teamwork inc
Participation of Employees and Creativity
-can inc creativity of idea by inc amount of employees who participate in creating creative idea -bc combines diff sources of knowledge and info to create a unique perspective on situation
Internal Forces for Change
-come from inside of org *HR Probs/Prospects*: stem from emp. perceptions about how they treated at work and work match *Managerial Behavior/Decisions*
Upfront Incentive Programs
-giving employees bonus before they engage in the desired outcome- have to give reward back if by end of period don't achieve desired outcome -can be powerful: giving reward forward shows that you trust employees and believe that they can perform at desired level -empowers their performance -also powerful bc of idea of loss aversion -giving reward back feels more like loss than not receiving reward -loss aversion can be powerful motivator -BUT, untested efficacy: only 1 study conducted
Knowledge-Based Programs
-individuals rewarded for learning new skills and their competencies in said skills -not for performance
Sutton: Weird Rules of Creativity
-main idea: business practices that foster creativity greatly differ from rational/standard mgmt practices -go beyond the counterintuitive -foundations to creative work 1. inc range of company's knowledge 2. causing ppl to see old probs in new ways 3. Helping company break from past -Org. Practices that will Boost Creativity in Org 1. *Hiring Practices*: can be used to help company break from past and have company look at old probs in new ways, by: -hiring ppl who slow to learn organizational code: to avoid homogeneity of workers all acting in same way -helps company break from past -hire low self-monitors: will have lower pressures to behave in same way as everyone else/ what org. deems as appropriate behavior -helps company break from past and produces employees who behave diff and look at probs diff -hire ppl w/ skills you don't think you need: inc range of company knowledge and can help company and others see old probs in new ways (bc looking at them through perception of new skills) 2. *Managing for Creativity* -encourage employees to defy supervisors and encourage company to try ideas that have been previously dismissed -or encourage employees to work on what they want: 3-M: employees can devote 15% of their time to company projects -shelter creative people from monetary restrictions and considerations about money -so can focus solely on producing creative work and so money restrictions don't result in them taking less risks when developing idea -institute safe conflict about ideas: to get multiple perspectives on thing -can combine these perspectives to create unique ideas/solutions -Reward failed and successful creative ideas -done to showcase that only inaction will go punished (org. doesn't care if your idea won't actually work so keep creating) -failures are tied to success so must show employees that an idea failing is not bad thing
Grant: How to Build Culture of Originality
-main idea: managers falsely assume that only entrepreneurial-minded employees are the only ones who can create innovative solutions -BUT, actually most people can innovate and capable of novel thinking and problem solving -but these abilities are stiffled by org's pressures for conformity -thus to have org. that can innovate, must create org. culture of non-conformity -How to Build Culture of non-conformity in org -first have to prioritize imp org values: so employees know which values the must conform to/act in line with- will guide their behaviors 1. Solicit Probs, not just solutions: have to focus on ideas' problems to fully determine whether idea will work -focusing on problems of ideas will prevent employee from blindly conforming to idea 2. Model Receptivity to Critical Feedback: must encourage ppl to challenge each other's and manager's ideas and beliefs in the open -many employees conform their actions to manager's ideas in order to avoid negative job reprecussions -showing that there will be no negative job reprecussions to disagreeing w/ manager will make employees more likely to disagree and offer up their own personal ideas 3. Don't Appoint Devil's Advocates, find them: devil's advocate must actually hold dissenting view in order to properly find and highlight probs w/ idea
Incremental vs Breakthrough Ideas
-managers mostly interested in "Breakthrough ideas"- but these ideas likely to get rejected bc usually threaten status quo and current way of doing things -Small ideas have much to offer to org -make big ideas work -are germs of radical ideas: starting point of breakthrough ideas -cumuluative effects: of little idea become impactful over time -turn little ideas into big ideas w/ big solutions
All Salary Programs
-no hourly wage workers: just straight salary -can create absenteeism in certain industries: esp. in ones where ppl aren't engage w/ their job and what they doing on the job -less tangible evaluations of performance
Does Open-Book MGMT Inc Producitivty
-no studies done to confirm the success of open-book mgmt as whole, -BUT, involves many org. practices that are well supported as inc employee productivity -gainsharing -feedback -responsibility sharing
External Forces for Change
-originate outside the org: global events 1. *Demographic Characteristic*: change in demographic characteristics/composition of workforce 2. *Technological Advancements* 3. *Shareholder, Customer, and Market Changes* 4. *Social and Political Pressures*: created by large-scale social and political events -ex: social pressure of going green to avoid climate change makes company make their building LEED certified
Open Book Mgmt
-share all info w/ all employees: sales, goals, budgets, pay scales, etc -operates on assumption that more info employees have about org, the better their decision making will be -employees responsible for creating budget and profit goals for their specific unit or role -use gainsharing to reward employees when they achieve these goals *Challenges* -how much info to share: should we share salaries? -time consuming: have to educate employees, implement this inc new system, etc
Motivating Ppl: Getting Beyond $$$$$
-studies shown: some nonfinancial motivators are more effective than cash in building long-term employee engagement -survey: respondents viewed 3 noncash motivators higher than top 3 cash motivators Non-cash Motivators -praise from immediate managers -leadership attn -chance to lead projects or task forces Cash Motivators -cash bonuses -inc in bonus pay -stock options -BUT STILL: managers think bonuses are dominant incentive for most people -many org. still primarily rely on cash motivators for motivating performance -partly bc nonfinancial reward systems take more time and commitment for mgmt to implement than financial reward system
Group Incentive Programs
-team bonuses *Gainsharing*: companywide program in which employees rewarded for performance gains compared to past performance -if company has cut cuts or inc profit: share profit or cost savings w/ employees *profit sharing*: sharing % of profits w/ all employees *Stock Option*: gives employees right, but not obligation to purchase company stock at predetermined price -done in hope of aligning individual incentives w/ company incentives: but employees generally don't hold onto the stock very long- therefore not effective way of ensuring alignment of incentives
Probs w/ Individual Incentive Pay
-undermines teamwork: ppl focus on how to enhance individual status/merit vs helping peers -undermines intrinsic motivation -only appropriate for those in jobs that are independent of one another (bc of way they can undermine teamwork) -can result in ingratiation (kissing up to get better pay) -encourages employees to think about short-term: engage in business practices that can inc pay most in short-term, don't focus on long-term business activities that may help company od but doesn't really help them -similarily: start knowing how to play the game: employees understand what business actions will get them most pay/bonus: thus, engage in these actions even if these actions are the most helpful for company -can lead to consumer fraud: start pushing unnecessary products on suspecting customers to boost their sales and thus pay
Effects of Employees Speaking Freely on Org
-when empoloyees can voice their concerns freely: -inc retention -stronger org performance
3 Types of Org. Change
1. *Adaptive Change*: reintroducing a fam. concept -reimplement change practice later in time -diff. business unit implements change practice tried by other unit -lowest in complexity, cost and uncertainty: not threatening to employees 2. *Innovative Change*: introducing new practice to org (not new to industry/world) -slight degree of complexity, cost, and uncertainty: thus, potential for some emp resistance 3. *Radically Innovative Change*: introducing a new practice to the industry -to be well implemented: must be consistent w/ 3 elements of org culture (observable artifacts, espoused values, basic assumption) -highest in complexity, cost, and uncertainty
Challenges of Replacing Traditional Evaluation System w/ New one
1. *Aligning Individual and Company Goals* 2. *Rewarding Performance*: have to tie rewards back into appraisal process in logical and supported way 3. *Identifying Poor Performers*: w/ new system, have to immediately confront poor performers and call them out on stuff they doing badly -some managers are uncomfortable doing this 4. *Avoiding Legal Troubles*: w/ new system, no longer basing salary and promotions on only numerical data -measures in new system may seem more subjective: potential for discrimination suit to arise 5. *Managing Feedback Firehouse*: have to get feedback to every applicable person -individual employee -their boss -ppl responsible for salary and bonuses -very high effort process
5 Discovery Skills of Innovators
1. *Associating*: ability to successfully connect seemingly unrelated questions, problems, or ideas from diff. fields -allows for creation of unique perspective and ideas which can generate unique solution to situation 2. *Questioning*: innovators constantly ask questions that defy common wisdom -defiance of common approach allows them to create unique and innovative solutions -imagine opposites: good at imaging opposite perspectives to ideas: helps support/understand the efficacy of their ideas -also can help actual creation of ideas -embrace constraints bc help them imagine other situations and perspectives to idea 3. *Observing*: ability to observe external situations and other people behavior to draw connections and produce new insights 4. *Experimentation*:innovators constantly experimenting w/ stuff to produce new insights and understand relevance of certain ideas -tinkering w/ product: can produce insights about product functioning 5. *Networking*: innovative ppl go out of their way to meet ppl w/ diff. kinds of ideas and perspectives to extend their own knowledge domains.
Ways to Create Innovative/Creative Solutions
1. Solicit Ideas from Individuals, not groups: when solicit ideas from group: some members dominate the convo, while others may not share their ideas at all -even if ideas are good -employees more likely to share their ideas at individual level vs group level 2. Bring back Suggestion Box: can provide large # of innovative ideas -when have diverse and large source of ideas have bigger array of innovative solutions 3. Develop Nose for Good Ideas -lean on proven evaluators: use ppl who have displayed good judgment and evaluation on previous ideas as evaluators of new innovative ideas -managers can't be these people: generally stick to existing prototypes/solutions that have past proven success 4. Make it Contest: also inc source and amount of ideas for innovation 5. Expose employees to new and unique info: stimulates production of employee ideas -combining unique info leads to employee having unique perspective which boosts creativity of ideas
6 Myths of Creativity
1. *Creativity comes from creative types* -ACTUALLY, research shows anyone w/ normal intelligence is capable of some degree of creative work -ppl don't regonize and work at their creative potential bc their org/ environment impedes intrinsic motivation to creativity 2. *Money is Creativity Motivator* -ACTUALLY, ppl most creative when care about work and work is stretching their skills -money can lower creativity of work: bc money makes people risk-averse (don't wanna create risky idea bc may impact money they get) -but taking risks is critical component to creative work: take risks on unique ideas and approaches 3. *Time Pressure Fuels Creativity* -ACTUALLY, opposite: time pressure stifles creativity bc people can't deeply engage w/ prob -need to deeply engage w/ prob to come up w/ solutions -research has even shown time-pressure hangover effect on creativity: time-pressure's negative impact on creativity is present even when time-pressures no longer present 4. *Fear Forces Breakthroughs* -ACTUALLY, creativity positvely associated w/ positive emotions such as joy and love -and negatively associated w/ negative emotions like anger, fear, and anxiety 5. *Competition Beats Collaboration* ACTUALLY, creativity takes hit in competitive situations: competition discourages ppl from sharing info w/ others: necessary for generation of creative ideas 6. *Streamlined Org is a Creative Org* ACTUALLY OPPOSITE, downsizing leads to lowered cases of creativity -anticipation of downsizing: produces even worse impact to creativity: takes away lot of mental resources needed for creativity by focusing on downsizing and what that entails for them
Kotter's 8 Steps for Leading Org. Change
1. *Establish Sense of Urgency*: create compelling reason why change is needed 2. *Create Guiding Coalition*: create cross-functional, cross-level group of ppl w/ enough power to lead change 3. *Develop Vision and Strategy*: to guide change process 4. *Communicate Change Vision*: consistently steps 1-4= unfreezing stage of Lewin's change model 5. *Empower broad-based action*: eliminate barriers to change 6. *Generate Short-Term Wins*: to reinforce that change has helped org. achieve its strategic plan 7. *Consolidate Gains and Produce More Change*: cascade change throughout org steps 5-7= change stage of Lewin's change model 8. *Anchor New Approaches in Culture* -refreezing stage in Lewin's change model
Reasons Why Employees Don't Speak Freely to Managers
1. *Fear of Consequences*: fear of low performance ratings, isolation, potential of firing bc speaking freely about their frustrations w/ org -anonymity of feedback: worsens fear -being anonymous reinforces idea within employees that its not safe to publicly share your honest opinion -can also start witch hunt: ppl become obsessed over finding who gave them that negative rating-takes away attn and cognitive effort from performance -to cut down on fear: must engage employees on your own, not give them general invitations to share their opinions -cuts down on barrier to sharing info -power distance and other power cues worsens fear: reinforces power dynamic between employee and manager -perpetuates idea that manager can easily punish them/ruin their lives 2. *Sense of Futility*: don't think that sharing their frustrations/honest opinion will make a difference -not advocating for employees and acting on their feedback to you (psuedo-participation) -worsens sense of futility: employee feedback must result in outcome (share w/ upper mgmt) for them to be encouraged to continue sharing
How to Implement Open-Book MGMT within Org
1. *Getting Buy-in*: usually have to hire consultant to help overhaul the mgmt system and org. culture -will educate managers how to support employees during changes -will educate employees about program and how it will change their daily activities on the job 2. *Communicating and Teaching Key Numbers*: -need to teach emp. "business": so that they can know which numbers to look at to determine business unit performance- what each metric means -must use scoreboards to regularly comm. key metrics and business-unit performance toward achieving goal -income statement, balance sheet, operational metrics, etc -scoreboards should forecast future metrics so emp can act accordingly 3. *Developing Accountability*: employees have to take joint responsibility for metrics and making them move in right direction and achieving company obj -individual units responsible for creating operational plan that defines how its unit will help org achieve its obj -process of collective monitoring: business unit performance is evaluated by other business units in their overall department -way to ensure unit's accountability over their results 4. *Rewarding Employees for Business Success* -bonuses are pegged to performance metrics that employees regularly see, understand, and can effect -bonus paid only if unit/company hits predetermined targets of chosen metrics 5. *Generating and Maintaining Excitement* -to support this huge org change, should make the process fun and exciting to inc. employee commitment to change -for change to be accepted across org: needs heavy support of senior mgmt
Potential Sources of Bias in Evaluation Process (all the ... Effect)
1. *Halo effect*: overestimating the level and # of person's positive dimensions/traits bc of one positive dimension they posses -one actual positive dimension has spill over effect into other traits of person -ex: someone very punctual: assume that they are also hard worker, creative, etc 2. *Pitchfork Effect*: same as Halo effect, but for negative dimension -one negative dimension has spill over effect into other personal traits 3. *Leniency Effect*: giving ppl benefit of doubt: rate everyone positive on all attributes 4. *Recency Effect*: events that occur most recently have highest impact on evaluation 5. *Primacy Effect*: same as recency effect, but for first impressions and stuff that occured early in worker-manager relationship
Stressors in Organization
1. *Individual*: stressors directly associated w/ person's job duties 2. *Group*: caused by group dynamics and managerial behavior 3. *Organizational Stressors*: affect large # of employees within org -ex: org culture perpetuating bad practices 4. *Extraorganizational*: caused by factors outside of org -work-fam mismatch -lower socioeconomic status
6 Myths about Pay
1. *Labor Rates and Labor Costs are the Same Thing* ACTUALLY, Labor Rates=total salary divided by time worked Labor Costs= take productivity into account 2. *Can Cut Labor Costs by Cutting Labor Rates* ACTUALLY FALSE if replace high paid employees w/ inexperienced low paid employees- new employees less productive and thus costs have inc (takes them longer to produce same amount) 3. *Labor Costs are Sign. Portion of Total Costs* NOT ALWAYS TRUE -may be true for certain industries like accn and consulting 4. *Low Labor Costs are Potent Competitive Strategy* ACTUALLY, not sustainable competitive strategy and undermines product quality and functioning -focusing on price as competitive strategy makes firm look over more effective competitive advantages such as quality or service -competitors can easily copy this strategy: so not really effective point of differentiation 5. *Most Effective Way to Motivate Ppl to Work Productively is Thru Individual Incentive Compensation* ACTUALLY, we know that team-based incentives or gain sharing are also good ways to make people work producitively 6. *People Work Primarily for Pay* ACTUALLY, ppl also value intellectually engaging and challenging work, friendly work environment, etc
Stress Outcomes
1. *Psych./Attitudinal*: lower job satsifaction, self-esteem, org. commitment, etc 2. *Behavioral*: shorter temper, absenteeism, turnover, etc 3. *Cognitive*: poor decision making, lack of concentration, forgetfulness 4. *Physical Health*: cardiovascular and immune system probs
Things that Effect Effectiveness of Feedback
1. *Recipient's Characteristics* -those w/ low self-esteem and self-efficacy: generally don't actively seek negative feedback -confirms their perceived low self-efficacy and esteem -high need for achievement: respond more favorably to feedback- bc provides idea of what shit they need to improve to be able to achieve more -high self-monitors: more open to feedback -helps them know what behavior is desireable in situation: so can best adapt their behavior to match the situation 2. *Recipient's Perception of Feedback* -sign of feedback: whether feedback positive or negative -ppl remember positive feedback better than negative feedback: bc confirms our ideal perceptions of ourselves -BUT: those receiving positive feedback: less motivated to do better -receiving positive feedback made them feel like they were already flexing, so don't need to improve performance 3. *Recipient's Cognitive Evaluation of Feedback* -ppl cognitively evaluate feedback on its accuracy, credibility of feedback source, and the fairness of appraisal system used to develop feedback -if feedback doesn't "pass" all of these cognitive tests- then person is likely to discount feedback as unimp and will reject or downplay feedback
3 Business Reasons to Drop Traditional Evaluation Process
1. *Return of Ppl Development* -feedback needs to be used to help develop talent within org: traditional process doesn't do this: too infrequent of feedback to help develop emp -need frequent and rich feedback right after emp behaviors/projects 2. *Need for Agility*: traditional systems are generally developed a min ago within org -evaluate emp on behaviors and actions that org considered ideal/necessary when system was developed -but business obj and goals change very frequently, most likely some of the measurements employed in org's traditional system are no longer measurements/behaviors that the org no longer values -change even within year: but traditional systems evaluate yearly performance- so some of the measures of performance from 9 months ago won't be as imp now 3. *Centrality of Teamwork*: traditional appraisal systems can inhibit teamwork- bc they put emphasis on individual performance vs team performance -esp. force-ranking systems FEEDBACK/EVALUATION SYSTEM MUST FOLLOW CYCLE OF WORK -so ppl can understand how effective their current performance is and also be able to focus on improving future skills
Org Rewards: Practical, Cost-Neutral Alternatives That you May Know but Don't PRactice
1. *Rewards should be 3rd Thing Org. Works on: 2nd=Measurement, 1st=Clear Articulation of Desired Outcomes* -anything that can be measured can be rewarded: outcomes can be measured if the defined in operation terms (if not then employee won't understand what actions will lead to desired outcome) -need to have measurment system tied to reward system to know who deserves rewards and at what lvl -good measurment system can reduce the ability for employees to "play the game" to max. their rewards -desired outcome and measurements must be clearly understood by employees at all levels of org 2. *If Reward is Unavailable, Don't Try to Use it* -will make employees disappointed w/ org if promise them reward, they do ideal behavior, but don't get it 3. *If You Make People Ineligbile for Reward, You Take Away their Motivation to Strive for it* 4. *For Rewards to be Powerful, They Must be Visible* -allows for employees to understand full value of reward -have to make reward visible to all, not just ones receiving it- otherwise only recipients understand reward and reward fails to motivate behavior of all in org 5. *If you Want Someone to Perform, Reward them When they Do and Not When They Don't Perform* -just rewarding ppl disenchants high performers 6. *Long Deferred Reward Loses Most of its Power* -must provide reward shortly after performance to build high performance-> valent outcome linkage within employees -so they fully understand what behavior it is you are rewarding 7. *The Best Rewards Are Those You Can Take Back if Necessary* -reversing reward for now undesireable outcome: models to employee that this behavior no longer desired by org -being able to reverse rewards ensures that rewards are in line w. current org. obj (which change frequently) and that reward is rewarding behavior that org values currently -Prob: reversible rewards overtime can start to be perceived by employees as irreversible/something they are entitled to: come to expect it 8. *Don't Underestimate the Imp of Non-Financial Rewards* -can't separate financial reward from non-financial rewards: can instill idea that reward=$$ and non-financial rewards=superflous bs that employee shouldn't care about -non-financial rewards: always available, occurs right after desired behavior, all employees eligible, etc 9. *Get Peers, Subordinates, and Customers Inv in Reward and Measurment Systems* -makes them more holistic and accurate measures 10. *All Principles Discussed Above Have Exceptions* ex: rewards being visible can lead to conflict among employees (ppl who didn't get them are tight) -performance-contingent rewards provide no motivation for high performers to help low performers on their performance and productivity -reward systems and distribution effectiveness based on cultural and national differences -certain cultures really don't like performance-contingent rewards: feels like they bribing ppl into doing what person supposed to be doing
8 Rules to Brilliant Brainstorming
1. *Use Brainstorming to Combine and Extend Ideas, not just Harvest Them* -creativity occurs when people find ways to build on existing ideas 2. *Don't Bother if Ppl Live in Fear* -fear undermines group brainstorming processes: makes ppl afraid to share their own ideas 3. *Do Individual Brainstorming Before and After Group Session* -before: guides brainstorming processes toward slightly tested and expanded idea -after: allows for individuals to evaluate efficacy of ideas generated in brainstorming session without certain certain group pressures that can lead to biased evaluation 4. *Brainstorming Sessions are Worthless Unless Ideas Lead to Action* -chat doesn't lead to results, actions lead to results -also, not implementing ideas generated by employees during brainstorming process makes them think it's futile/no point to offering their ideas during session bc they won't get implemented anyway -may become less likely to share ideas during future sessions 5. *Brainstorming Requires Skill and Experience, Both to Do, and Esp to Facilitate* 6. *A Good Brainstorming Session is Competitive in Right Way* -need slight element of competition: to encourage employees to try their best and share good ideas -but can't be so competitive that it pins employees against each other, session still needs to be collaborative effort 7. *Brainstorming Sessions Can Be Used for More than Just Generating Ideas*: -can be used to combine and share diff. sources/groupings of knowledge -which helps support generation of creative ideas 8. *Follow the Rules or Don't Call it a Brainstorm*
External Sources of Creative Ideas
1. Customers and Clients: "Crowdsourcing" -can inc. the amount of potential ideas- inc. likelihood that one of these ideas will be creative solution - but most of these ideas are incremental and already known to company -finding good idea from crowd sourcing can be like finding needle in haystack -Serial Ideators: regularly submit ideas- have highest level of implemented ideas as result -but once serial ideator gets their idea chosen: new ideas generated become worse in quality bc focus on previously accepted idea and try to recreate same idea in diff way -also limits their ability to consider alternatives/diff perspectives to idea: bc think that since their initial perspective has previously resulted in implementation of idea, think that their initial perspective is best way to think about situations
Model of Stress
1. External situation: stressor 2. Cognitive appraisal of stressors: is this event a threat to me? If it is, what coping strategies will be successful 3. Coping strategies: to mitigate effects of stress 4. Stress outcomes 5. Moderators: present at all points of stress process
Conditions Needed for Individuals to Act in Line w/ Org
1. Info previously shared only among those in charge must be seen and understood by all in org -show all employees all relevant data 2. Managers must hold employees responsible for making their unit's budget or profit goals -to occur: must edu. employees metrics of evaluating performance so they know what goals to create for their unit 3. In addition to salary, compensation system must reward them for success of business -tie bonus plan to some easily understood measure of business-unit performance -must be transparent: metrics of performance are publicly displayed -metrics easily understood by all employees: so they know what actions will achieve goal
Risks of Implementing Innovation
1. Innovations Disrupt status quo -if breakthrough innovation, can greatly disrupt current way employees do things- may inc. employee resistance to idea 2. Innovation Threatens Stake Holder's Position and Authority -based on similar idea that innovation distrupts current way employees do things: therefore may comprimise/change stakeholder's position within org. 3. New Ideas Met w/ Skepticism and Resistance -insecure managers esp. resistance IMPLICATION -managers and other stakeholders often block ideas bc afraid of negative consequences innovation may produce in their life -if innovation adopted, generally incremental one: or else innovation drastically challenges status quo and norms and there will be high amount of stakeholder resistance toward idea.
Stress Reduction Techniques
1. Muscle Relaxation 2. Biofeedback: machine used to train ppl to detect muscular tension- muscle relaxation is used to alleviate symptoms of stress 3. Meditation 4. Cognitive Restructuring: irrational or maladpative thoughts are identified and replaced w/ rational and logical ones 5. Holistic Wellness: advocating that ppl strive for wellness in all aspects of their lives 6. Excercise
2 Types of Innovation
1. Product Innovation: developing and implementing new product or service 2. Process Innovation: developing and implementing new methods of producing products and services
Lewin's Change Model (3 Step Process to Change)
Assumption: change won't occur unless there is motivation to change 1. *Unfreezing*: create motivation to change -have to show employees that "old way" isn't working: show performance data that highlights need for change -need to be dissatisfied w/ old approach to accept your suggestion for new approach 2. *Changing*: where org. change takes place -need to teach employees how to engage in change and how to take on new behaviors 3. *Refreezing*: support and reinforce change -help employees integrate change behavior/attitude into a norm -positive reinforcement -coaching
Stress
adaptive response, mediated by individual characteristics and psych. processes, that is consequence of any external situation that places special physical and/or psych. demands on person -eustress: stress that positive or produces positive outcome
Agile Evaluations
agile: follow natural cycle of work within org -so feedback sessions are more frequent and tied to actual projects/events -immediate, informal feedback after event -allows for manager to properly reward good behavior right after it occurs (bc feedback session after event identifies good behavior in event immediately after it happened) -annual goals replaced w/ short-term priorities -emphasize team vs individual performance -holistic convos, talk about recent past performance but also talk about future performance and how to make improvements to performance
Resistance to Change
emotional/behavioral response to real or imagined threats to established work routine 3 Dimensions that Affect Resistance to Change 1. *Recipient's Characteristics* *resilience to change*: high self esteem, optimism, and internal locus of control -more willing to accept org. change fear of failure: inc resistance to change: unsure of their ability to properly succeed in change process past success: can breed complacency- more resistant to change bc think what they've done before works, so why change it 2. *Change Agent Characteristics*: also represents behavior of change agent -personality conflicts: bet. change agent and employee- will inc resistance to change 3. *Change Agent-Recipient Relationship* -resistance to change reduced when change agent and recipient have positive trusting relationship
360 Degree Feedback
feedback obtained from manager, subordinates, peers and even firm's customers -usually feedback of subordinates and peers is anonymous -shouldn't link 360 feedback to pay and promo decisions -employees may perceive it as not being far bc certain ppl may not be accurate source of performance -peers: may use their bias/specific feelings toward person to guide their feedback on them -customers: do they really know the ideal behaviors an org lays out for their employees?
Innovators DNA
main idea: innovative ppl have 5 discovery skills that distinguish them from other employees these 5 discovery skills instill *creative intelligence* within innovative ppl -ability to analyze and evaluate ideas and problem solve: also skill of being able to generate novel and interesting ideas
Coping Strategies
specific behaviors and cognitions used to cope w/ situation 3 Types 1. *Control Strategy*: using behaviors and cognitions to directly anticipate or solve prob -take-charge tone: if stressed about workload, talk to boss to reduce it 2. *Escape Strategy*: avoiding problem 3. *Symptom Mgmt Strategy*: using methods like relaxation, meditation, etc to manage symptoms of occupational stress
Agency Theory
states that there are diff in preference and perspective between owners and bosses within an org and the people who work for them -agent/worker is motivated to work for personal gains at some times (and overlooks org. objectives) -where myth of needing individual incentives for performance arise- believe these incentives are only way to align goals of the worker and the org
Brainstorming
unrestrained flow of ideas within a group w/ all critical judgments suspeneded -Brainstorming Rules -criticism of others is not allowed: must create element of psychological safety within session: to encourage people to share their ideas whenever possible -freewheling approach: the wilder the idea, the better -Quantity of ideas generated is key -build and combine ideas *Effects of Brainstorming* -reduces social inhibition: to share ideas w/ group -by using social reinforcement to showcase that sharing ideas with group isn't stressful or discouraged- actually encouraged -Activates convos about other product categories -Inc in number of creative ideas generated -inc in # of creative ideas generated inc the overall creativity of ideas
Moderators
variables that cause relationship between perceived stress and outcomes to be diff. among diff. ppl Types 1. *Social Support*: amount of perceived helpfulness derived from social situations -determined by quantity and quality of one's social relationships -provide *esteem and info support* -*social companionship* -*Instrumental Support*: providing financial aid, material resources, or needed services 2. *Hardiness*: personality characteristic: ability to perceptually/behaviorally transform negative stressors into positive challenges -based on: -commitment: extent on is inolved in whatever they doing -internal locus of control -believe challenge is normal part of life 3. *Type-A Behavior*: more productive BUT, deal w/ stress worse -have higher cardiovascular activity and problems
Functional Fixedness
when see an item being used in particular way- can't imagine alternative usage of item -getting past functional fixedness of item: showcases individual's creativity -Dunker Test for Creativity: high in creative abilities if can imagine another function for tack box besides holding tacks