Contemporary Management - Exam III

Ace your homework & exams now with Quizwiz!

effective communication

The importance of effective communication for managers cannot be overemphasized - EVERYTHING a manger does involves communication

(Expectancy Theory) 3. Valence / attractiveness of reward

The importance that the individual places on the potential *outcome/reward* that can be achieved on the job; considers both *goals and needs* of the individual

According to an organization's SWOT analysis, which of the following would be a potential strength?

The organization has the ability to manage strategic change

(Equity Theory) the Referent

The other people, systems, or selves people compare themselves against in order to assess equity 1. "Persons" category - others with similar jobs, friends, neighbors, etc. 2. "System" category - organizational pay policies, procedures, allocation 3. "Self" category - past personal experiences and contacts

(Equity Theory) Distributive Justice

The perceived fairness of the *amount and allocation* of rewards among individuals, has great influence on employee satisfaction -(original equity theory focus)

(Equity Theory) Procedural Justice

The perceived fairness of the *process* used to determine the distribution of rewards, and tends to affect an employee's organizational commitment, trust in supervisor, and intention to quit -(more current equity theory focus)

leadership

The process by which a person exerts influence over other people and inspires, motivates and directs their activities to help achieve group or organizational goals.

servant leaders

What type of leaders share power with followers and strive to ensure that followers' well-being is enhanced?

Allowing a foreign organization to take charge of manufacturing and distributing a product in its country or world region in return for a negotiated fee is referred to as

Licensing

consideration

Lillian shows her subordinates that she trusts and respects them and cares about them. According to the behavior model of leadership, Lillian engages in

> Keeping track with a Balanced Scorecard Approach

Looks more than the financial perspective by looking at 4 areas that contribute to a company's performance: -financial -consumer -internal processes -people/innovation/growth >According to this approach, managers are supposed to develop goals in each of the four areas and then measure whether the goals are being met

_____ makes subordinates aware of the importance of their performance to the organization and aware of their own needs for personal growth, motivating subordinates to work for the good of the organization.

Transformational leadership

Which of the following managers is effective? A. Dorothy, who uses coercive power sparingly because it rob employees of their dignity B. Marcus, who uses reward power sparingly when trying to motivate employees C. Vanessa, who uses reward power in a controlling manner D. Felix, who ignores the opinions of other people because he has considerable expert power E. Annis, who uses coercive power frequently to keep her employees in line

A. Dorothy, who uses coercive power sparingly because it rob employees of their dignity

evaluating and act (3) seven steps

- evaluate alternatives - implement the decision - monitor and evaluate results

analysing the problem: exploring the problem (3) seven steps

- identify the problem clearly - establish the desired outcome - analysis the problem to determine the desired outcome

Goals of OB

- to *explain, predict, and influence behavior* •The employee behaviors we are specifically concerned with explaining, predicting, and influencing are: o Employee productivity o Absenteeism o Turnover o Organizational and citizenship behavior (OCB) o Job satisfaction o Workplace misbehavior

risk can be avoided through

- training - internal communications - HR polices - performance engagement - management and leadership

low density network

-"super connectors" connect people who would otherwise be disconnected (structural holes) -super connectors can access unique resources and information, but theres contacts may be less supportive and willing to help

social diversity (surface-level)

-promotes hard work and creativity -encourages consideration of alternatives -- better ideas, better performance

2 approaches to job design

-scientific management(frederick taylor)/division of labor(adam smith) -job characteristics model (Hackman)

advantages of divisional structure

-separation of strategic and operating control (corporate level v business level) -clearer focus on products and markets -quick response to important changes in external environment -reduces problems associated with sharing resources across functional areas -facilitates development of general managers

Modern views of leadership include:

A) Leader-Member Exchange Theory (LMX) B) Transactional vs. Transformational Leaders C) Charismatic vs. Visionary Leaders D) Leaders and Teams >Common theme: leaders who interact with, inspire, and support followers

According to the behavior model of leadership, which of the following is an example of consideration behavior? A. Addressing employee concerns B. Assigning tasks to workgroups C. Creating schedules D. Encouraging adherence to rules and regulations E. Deciding how work should be done

A. Addressing employee concerns

According to Fiedler's model, the amount of legitimate, reward, and coercive power a leader has by virtue of his or her position in an organization is referred to as: A. position power. B. personal power. C. virtual power. D. transitional power. E. informal power.

A. position power.

According to McClelland, the need for _____ is the extent to which an individual desires to control or influence others. A. power B. affiliation C. belongingness D. self-awareness E. equity

A. power

Women tend to be stereotyped as being ______. A. supportive B. domineering C. controlling D. autocratic E. uncommunicative

A. supportive

Managers who effectively influence their subordinates to achieve goals without making dramatic changes are engaging in _____ leadership. A. transactional B. transformational C. transient D. instrumental E. virtual

A. transactional

A manager provides outcomes to his subordinates for good performance in the form of rewards that they value. According to the expectancy theory, the manager is working on: A. valence. B. instrumentality. C. determinism. D. self-actualization. E. positivism.

A. valence.

charismatic

Aidan has a new idea, and he has been able to inspire his team members to support his vision. This is an example of _____ leadership.

Most organizations base their planning process over three steps. Which of the following is the final step in the planning process?

Allocating resources and responsibilities to achieve strategies

______ is the first step in implementing a strategy.

Allocating responsibility for implementation to the appropriate individuals or groups

developmental consideration

Behavior a leader engages in to support and encourage followers and help them develop and grow on the job.

consideration

Behavior indicating that a manager trusts, respects, and cares about subordinates.

initiating structure

Behavior that managers engage in to ensure that work gets done, subordinates perform their jobs acceptably, and the organization is efficient and effective.

range of network

Benefits from network are a function of the number of different sectors, areas, or domains you can reach and connect

can have negative effects and should be used sparingly.

Coercive power

leader

Definition: Someone who can influence others and who has managerial authority

leadership

Definition: What leaders do - 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?"

(3) task significance

Degree to which job affects the lives/work of other people

(5) feedback

Degree to which job obtains direct and clear info about effectiveness

(1) skill variety

Degree to which job requires a variety of activities, allowing use of many different skills and talents

(2) task identity

Degree to which job requires completion of a whole and identifiable piece of work

(Expectancy Theory) 2. Instrumentally / performance-reward linkage

Degree to which the individual believes that *performing* at a particular level is instrumental to attaining the desired *outcome/reward*

participative

Dia is a manager at a large technology firm. She consults with subordinates, solicits suggestions, and includes employees in the decision-making process. According to the path-goal theory, Dia is displaying _____ leader behavior.

Which of the following is true about male and female managers?

Female managers tend to hand out more lenient punishments than male managers.

leadership styles are enduring characteristics; they cannot be changed or adjusted.

Fiedler's contingency model suggests that

convergence

Focusing on achieving internal fit leads to periods of stability

_____ is a corporate-level strategy in which a company expands its business operations and enters a new industry that uses, distributes, or sells the company's products.

Forward vertical integration

________ is selling to a foreign organization the rights to use a brand name and operating know-how in return for a lump-sum payment and a share of the profits.

Franchising

(4) autonomy

Freedom, independence, and discretion for scheduling work and determining how to do it

_____ strategy is a plan of action to improve the ability of each of an organization's functions to perform its task-specific activities in ways that add value to an organization's goods and services.

Functional-level

-natural culture

In America: subordinates are reasonably independent, people seek challenging goals, and performance is considered important by managers and subordinates

transformational leadership

Leadership that: - Makes subordinates aware of the importance of their jobs and performance to the organization by providing feedback to the worker. - Makes subordinates aware of their own needs for personal growth and development. - Motivates workers to work for the good of the organization, not just themselves.

What type of power does a manager use when he or she hires new employees, assigns them work and monitors their performance?

Legitimate

_____ is the authority a manager has by virtue of his or her position in an organization's hierarchy.

Legitimate power

transformational

Luis regularly reminds his team members of the purpose of their work and why they are important to the organization. He also regularly reminds his team members of their own needs for personal growth, development, and accomplishment. His team members are motivated to work for the good of the organization. Luis has a _____ leadership style.

2. Wireless Communication

People can be connected without being physically "plugged in" at work. >Mobile technology wildly popular, with payoff being an improvement in the way you work This means 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, tablets, notebook computers, and mobile pocket communication devices. >Wireless communication WORKS. Anywhere on the planet. People can send and receive info from anywhere - from the summit of Mt. Everest to the remotest locations.

Initiating Change - *Change Agent*

People who act as catalysts and assume the responsibility for managing the change process o Can be a manager, internal staff specialist, or outside consultant 2 Approaches: 1) "Calm Waters" Metaphor 2) "White-Water Rapids" Metaphor

what is wrong with inequity?

Perceptions of inequity can impede performance, lead to workplace sabotage, employee theft, and employee stress, and result in people leaving in the organization

what is wrong with procedural injustice?

Perceptions of procedural injustice can reduce trust, loyalty, support for decisions made, and willingness to behave in organization's best interests

referent power

Power that comes from subordinates' and coworkers; respect, admiration, and loyalty.

expert power

Power that is based on the special knowledge, skills, and expertise that a leader possesses.

(Expectancy Theory) 1. Expectancy / effect-performance linkage

Probability perceived by the individual that exerting a given amount of *effort* will lead to a certain level of *performance*

3) Selection

Process that seeks to predict which applicants will be successful if hired. • *Reject Errors* - Rejecting applicants who would have been successful. Means increased selection costs because more applicants have to be screened, but can also open organization to charges of employment discrimination. •*Accept Errors* - Hiring applicants who performed poorly. Cost organization in wasted training, and costs generated or profits lost due to incompetence, severance, and additional recruiting and selection screening. Selection devices and entrance tests must be reliable and valid. Only testing job performance, and not job discrimination. •*Reliability* - Degree to which a selection device measures the same thing consistently. •*Validity* - The proven relationship between a selection device and some relevant criterion. •*Performance-Simulation Tests* - Made up of actual job behaviors. Most common: o Work Sampling - A miniature replica of the job. (Routine jobs) o Assessment Centers - Simulate real problems one may face on the job. (Managerial personnel) • *Interview* - most universal selection device, along with the application form. Can be reliable and valid selection tools when structured, well organized, and limited to relevant questioning. o Behavioral/Situation Interview - Applicants observed not only for what they say but how they behave. Applicants presented with situation and asked to "deal" with it. o Realistic Job Preview (RJP) - Includes both positive and negative info about the job and company. Increases job satisfaction and reduces turnover.

PERT

Program (Project) Evaluation & review technique

Those advocating separating out the beverage and snack divisions at Pepsi appear to feel there is not enough performance gain, or ______, to be obtained by keeping them together.

synergy

Two divisions of a company decide to use the same manufacturing facilities to capitalize on the organization's excess capacity and reduce fixed costs. This is an example of

synergy

organizational culture

system of shared values and norms

Emphasizing sales of Campbell's soup products at 7-11 and Subway stores was a strategy intended to _______.

take advantage of an opportunity in the external environment

Contingency Models

take into account the situation or context within which leadership occurs.

elements of leadership

task employees leader

authority

the power to hold people accountable for their actions and make decisions regarding the use of organizational resources

Leadership

the process by which a person exerts influence over other people and inspires, motivates, and directs their activities to help achieve group or organizational goals.

empowerment

the process of sharing power with employees, thereby enhancing their confidence in their ability to perform their jobs and their belief that they are influential contributors to the organization

Which model of leadership is based on the premise that effective leaders possess personal qualities that set them apart from ineffective leaders?

trait model

Jeremy motivates his team members primarily by rewarding and reprimanding them. Jeremy uses _____ leadership.

transactional

________ leadership goes beyond ordinary expectations by transmitting a sense of mission, stimulating learning experiences, and inspiring new ways of thinking.

transformational

According to Henri Fayol, having only one central, guiding plan put into operation to achieve an organizational goal at any given time is called _____.

unity

The managers of an organization develop a single, well-researched, and effective plan to complete a set of tasks. Which of the following qualities, according to Henri Fayol, does this plan have?

unity

Cameo Ltd., a record label company, subsequently entered the airline industry to expand business. This example of a record label company entering the airline industry is an example of

unrelated diversification

If Pepsi decided to expand its business by purchasing movie theaters, they would be engaging in a(n) ______ strategy.

unrelated diversification

people analytics

use of data to advance how organizations make decisions about people, and help managers operate based on evidence rather than intuition

direct response TV

uses advertising on TV that seeks a direct response, including short commercials of fewer than 2 minutes, 30 minutes, or longer infomercials and home shopping networks

dual distribution/multiple distribution system

using multiple channels

3 models of ethics

utilitarian moral justice

In performing a SWOT analysis, a firm realized that the manufacturing costs for its new division were rising. The firm would classify this as a potential

weakness

C. They attempt to establish a friendly and supportive climate.

Which of the following is true of leaders using consideration behavior? a. They are keenly interested in performance. b. They determine how tasks will be performed. c. They attempt to establish a friendly and supportive climate. d. They establish formal lines of communication.

Contingency

_____ models propose that whether a leader who possesses certain traits or performs certain behaviors is effective depends on the situation or context.

Power

______ is the ability to affect the behavior of others.

Charismatic

______ leaders are excited and enthusiastic about their vision and clearly communicate it to their subordinates.

Leadership

_______ is the process by which a person exerts influence over others and inspires, motivates, and directs their activities.

Referent

_______ power is the power of a leader that comes from the respect, admiration, and loyalty of subordinates.

how needs drive goals

a core need, motive, action and goal

justice ethics

a decision which distributes benefits among stakeholders

moral ethics

a decision which is fundamentally right by the people affected

direct mail

a direct marketing approach that uses a collection of products offered for sale in book form, usually consisting of product descriptions accompanied by photos of the items

telemarketing

a direct marketing method that uses the telephone to sell directly to consumers and business customers

In a first of its kind, a multinational tire manufacturer introduces a new range of premium tires that can handle extreme temperatures better at a higher price. The tires are designed keeping in mind the climatic conditions in the Middle East and products are marketed only in the Middle East. The manufacturer is pursuing

a focused differentiation strategy.

Leader

a person who rules or guides or inspires others

Perception

a process by which we give meaning to our environment by organizing and interpreting sensory impressions

communication

a process/flow that transfers understanding and meaning for one person to another

missionary salesperson

a salesperson who promotes the firm and tries to stimulate demand for a product but does not actually complete a sale

Personality

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

Contemporary Issues

a) Communication management in an Internet world b) Managing the organization's knowledge resources c) Communicating with customers d) Getting employee input e) 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.

Issues facing today's leaders

a) Employee empowerment b) National culture (cross-cultural leadership) c) Emotional Intelligence (EI)

4 Early Theories of Motivation (1950s and 1960s)

a) Hierarchy of Needs (Maslow) b) Theories X and Y (McGregor) c) The Two-Factor Theory (Herzberg) d) The Three-Needs Theory (McClelland)

(Early Leadership Theories) 7 traits associated with leadership

a) drive b) desire to lead c) honesty and integrity d) self-confidence e) intelligence f) job-relevant knowledge g) extraversion

Some key areas that require control are:

a) finances b) company information c) organizational performance >a balanced scorecard approach may be used

traceability

ability of the carrier to locate goods in shipment (logistics element found in transportation)

emotional intelligence

ability to recognize and regulate our own emotions, to influence others, to self-motivate, to form effective long-term relationships -- cluster of skills relating to the emotional side of life

>organizational intranet

an organizational communication network using Internet technology that's accessible only to organizational employees allows user to share info and collaborate on documents and projects provides access to company policy manuals and employee-specific materials downside - possible network and data security breaches

A(n) _____ strategy indicates how a division intends to compete against its rivals in an industry.

business-level

Divisional managers' decisions pertaining to divisions' long-term goals, overall strategy, and structure is called an organization's _____ plan.

business-level

The cell phone division of a multinational corporation has granted its research and development department funds to create new technologies to ensure the organization stays ahead of its competitors in the market. This decision by the cell phone division is an example of the organization's _____ strategy.

business-level

A functional-level plan states the goals that the managers of each function will pursue to help their division attain its ______ goals, which, in turn, will allow the entire company to achieve its ______ goals.

business-level; corporate

why DC's create efficiencies

by reducing the number of transactions necessary for goods to flow from many different manufacturers to large numbers of customers

Coercive power:

can have negative effects and should be used sparingly

risk taking functions

chance retailers take on the loss of a product when they buy a product from a manufacturer because the product sits on the shelf bc no one wants it

triggers for reorientation

changing environments (external misfit), performance problems

ownership utility

channels make desired products available in the sizes and quantities that customers desire

Time utility

channels make desired products available when you desire

place utility

channels make desired products available where you desire

type B personality

characterized by a calm, laid-back style (perform better on complex tasks that require accuracy and judgement rather than speed, interpersonal skills)

type A personality

characterized by high levels of competitiveness, time urgency, and striving for achievement (overall edge in job performance, especially tasks involving time pressure or solitary work)

Which of the following is a characteristic of transformational managers?

charisma

Lillian shows her subordinates that she trusts and respects them and cares about them. According to the behavior model of leadership, Lillian engages in

consideration

A manager who displays high levels of initiating structure and low levels of consideration behavior is most likely to

establish formal lines of communication

the 2nd tier of maslows hierarchy of needs

esteem

how can the 2nd tier of maslows hierarchy be achieved?

esteem needs title and job responsibility appreciation opportunities participation in decisions

6) Performance appraisal

evaluated through Performance Management Systems •Most common multi-person evaluations: o *Group-order Ranking* - classification (ex: 5th, but each person in the 5th category must be the same) o *Individual Ranking* - ranks from highest to lowest performance levels (difference between first and second should be same as eleventh and twelfth) o *Paired Comparison* - every employee compared with every other employee and rated as either superior or weaker •Issues: o Outdated systems due to Downsizing Project teams o When an employee's performance is not up to par Job Mismatch (hiring error) - can be reassigned to better matched job Inadequate Training - provide more training Discipline Problem/Lack of Desire - try employee counseling to uncover problem or disciplinary actions

task conflict

exists when there are disagreements between group members about the content of the tasks being performed

relationship conflict

exists when there are interpersonal compatibility issues between group members - usually bad for teams

House's path-goal theory is based on

expectancy theory

Stanley is a professor of anthropology with years of teaching and research experience. He has also written a few highly acclaimed books. Stanley is offered a job as director of a large museum. This is due to his _____. a. legitimate power b. expert power c. referent power d. reward power

expert

Which type of power is based on the specialized knowledge and skills of a leader?

expert power

A toy manufacturing company which previously sold its products through a popular toy and juvenile-product retailer decides to enter the retail industry, quickly establishing several retail outlets exclusively for its products. The toy manufacturing company is engaging in

forward vertical integration.

why are hierarchies dangerous?

foster authoritarianism, lead to dysfunctions including distrust, dishonesty, territoriality, impede and distort communication

Group Development Model

framework that underscores the fact that the 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

transactional leadership

leadership based on an exchange process, in which followers are rewarded for good performance and punished for poor performance

Fiedler's contingency model suggests that

leadership styles are enduring characteristics; they cannot be changed or adjusted

Strategic leadership:

leads change to achieve a superior alignment between a firm and the environment

what motivates people

learning new skills feeling appreciated recognition good work environment sense of achievement

democratic leaders

lets employees work together and supervises everything is working well

exclusive distribution

limit distribution to a single outlet in a particular region

subculture meaning

little 'cultures' / groups of people form (eg. way of speaking, dressing)

if employees needs are met they may

loose interest become frustrated express that frustration at work

characteristics of exclusive distribution strategy

low customer density and service and cooperation as priorities

In a(n) _____ strategy, managers try to gain a competitive advantage by focusing the energy of all the organization's departments or functions on driving the company's expenses down below the expenses of its industry rivals.

low-cost

In pursuing a _____ strategy, managers focus on driving the company's costs down below the costs of its industry rivals.

low-cost

A furniture company is trying to keep the costs of the company low by switching its suppliers and ordering materials in larger quantities to reduce overall costs. The company is employing a

low-cost strategy.

facilitation functions

make the purchase process easier for customers and manufacturers

tall organization

more levels of authority; however, can create communication delays, slow down decision making, and result in garbled messages -- tend to have narrower spans of control

In the five forces model, the _____ that companies compete against one another for customers, the _____ the level of profits is likely to be for that industry.

more; lower

output control

most formal: financial measures of performance, organizational goals, operating budgets

small worlds

most social networks exhibit clusters and bridges -clusters engender trust and control -bridges engender unique combinations of network reosurces - the mix of clusters and bridges balances density and range and is termed a small world

Achievement-oriented behaviors

motivate subordinates to perform at the highest level possible

vrooms expectancy theory

motivation is high when they believe that their output will result in higher outcomes

In order to cater to local tastes and culinary traditions, and often in respect of particular laws or religious beliefs, McDonald's offers customized versions of its menu to suit different countries. This is an example of a(n) _______ strategy.

multidomestic

When adopting a ______, an organization customizes products and marketing strategies to specific national conditions.

multidomestic strategy

closing the sale

natural conclusion to the dialogue

mcclland and atkinsons needs theroy

need for achievement need for affiliation need for power

Which of the following is NOT a common political behavior?

negotiation

misson

our map

influence of first-line managers

output moral service levels cost effectiveness attitudes values

concerns for managers about intra-organizational network

over reliance or under reliance on certain people, irregular communication patterns within groups, imploded or non-existent relationships across groups

adams equity theory

own rewards/own inputs are compared with that of another person

Dia is a manager at a large technology firm. She consults with subordinates, solicits suggestions, and includes employees in the decision-making process. According to the path-goal theory, Dia is displaying ____ leader behavior

participative

high density network

people in the network have the same set of contacts, these overlapping contacts provide support, identity, trust-- but the information they can provide may be redundant

extrinsic motivation

performed to acquire material/social award or to avoid punishment (eg. reward is money)

-self-efficacy

person's belief of their own capability of performing a task (person with high ______________ respond to negative feedback with more effort and motivation)

the 5th tier of maslows hierarchy of needs

physiological

how can the 5th tier of maslows hierarchy be achieved?

physiological pay & benefits good working conditions

A standing plan that acts as a general guide to action, or a(n)______, applies to the employees of an organization.

policy

Though not formally written, an organization allows its employees to dress casually on Fridays. This is a(n) _____ of the organization.

policy

3 basic types of interdependence

pooled, sequential, reciprocal

In Fiedler's model, _____ power is the amount of legitimate, reward, and coercive power a leader has by virtue of his or her position in an organization.

position

According to Fiedler's model, the amount of legitimate, reward, and coercive power a leader has by virtue of his or her position in an organization is referred to as:

position power

actual team performance equation

potential - process losses + process gains

team's actual performance equation

potential performance - process losses = actual performance

An increase in local competition, an increase in labor cost, or a fall in the economy are all _____ to an organization.

potential threats

________ is the ability to affect the behavior of others

power

insourcing

practice in which a company contracts with a specialist firm to handle all or part of its supply chain operations

The growing markets for health and sports drinks, quality bread and cookies, and chocolate ___________ Campbell.

presented opportunities for growth for

order taker

primary function is to facilitate transactions(orders) that the customer initiates

crisis management

process of managing firm reputation in face of a negative event

direct channel

producer sells directly to consumer-- serve customers better and have a lower cost

objections

reasons why a prospect is reluctant to make a commitment

2 ways to approach person- job fit

recruitment & selection; training & development

job simplification

reducing the tasks each worker performs

channel levels

refer to the number of distinct categories of intermediaries that populate a channel of distribution

knowledge management

refers to a comprehensive approach that collects the practical knowledge of employees whose past experience may be relevant to solve a new problem

relationship selling

refers to a form of personal selling that involves securing, developing, and maintaining long-term relationships with profitable customers

conventional marketing system

refers to a multiple-level distribution channel in which channel members work independently of one another

distribution planning

refers to a process of developing distribution objectives, evaluating internal and external environmental influences on distribution, and choosing a distribution strategy

groundswell

refers to a social trend in which people use technology to get the things they need from each other, rather than from traditional institutions like corporations

corporate VMS

refers to a vertical marketing system in which a single firm owns manufacturing, wholesaling, and retailing operations

administered VMS

refers to a vertical marketing system in which channel members remain independent but voluntarily work together because of the power of a single channel member

input measures

refers to efforts that go into selling, such as the number and type of sales calls, expense account management, and a variety of non-selling activities, such as customer follow-up work and client service

brand evangelists

refers to loyal customers of a brand recruited to communicate and be salespeople with other consumers for a brand they care a great deal about

location-based social networks

refers to networks that integrate sophisticated GPS technology that enables users to alert friends of their exact whereabouts via their mobile phones

organizational justice

refers to perceptions of fairness in organizations, including fairness related to how decisions are made and what decisions are made about the distribution of rewards

voice-over internet protocol VoIP

refers to systems that rely upon a data network to carry voice calls

physical distribution

refers to the activities that move finished goods from manufacturers to final customers, including order processing, warehousing, materials handling, transportation, and inventory control

materials handling

refers to the moving of products into, within and out of the warehouse

logistics

refers to the process of designing, managing, and improving the movement of products and includes purchasing, manufacturing, storage, and transport

Channel of distribution

refers to the series of firms or individuals that facilitate the movement of a product from the producer to the final customer

Pepsi purchased Quaker in order to acquire Gatorade. This is an example of _______.

related diversification

Entering a new business or industry to create a competitive advantage in one or more of an organization's existing divisions or businesses is called

related diversification strategy

Another name for contingency planning is ________ planning.

scenario

As the managers plan for the future, they want to be able to handle unexpected circumstances. They are developing backup plans with alternative courses of action in case conditions change. This is an example of

scenario planning

Managers use _____ to analyze how to respond effectively to multiple forecasts of future conditions.

scenario planning

the 4th tier of maslows hierarchy of needs

security

how can the 4th tier of maslows hierarchy be achieved?

security needs superannuation insurance job security safe, healthy working conditions dependable supervision

selective distribution

seeks to strive a balance between intensive and exclusive distribution

the 1st tier of maslows hierarchy of needs

self-actualisation

attraction, selection, attrition

"The people make the place": an organization has certain characteristics because of the types of people who are organizational members attraction- people are attracted to organizations that they fit selection-organizations select individuals who hold the attributes they desire attrition-any errors in the attraction selection phases will be corrected by attrition (firing & turnover)

equity

"each in accordance with their contributions", stimulates individual motivation

equality

"each the same", builds group cohesion but star employees may leave

autocratic leaders

"my way or the highway" dominant attitude towards others in a lower hierarchy than them

Job Characteristics Model critical psychological states:

(1,2,3) skill variety, task identity, and task significance combine to create meaningful work/view job as important and valued (4) autonomy creates personal responsibility for results (5) feedback lets you know how effectively you are performing

Mintzberg

(6) Entrepreneural, machine, professional, disversed, innovative, missonary

B) Equity Theory

(Adams) Employees compare what they get from a job (outcomes) to what they put into it (inputs), and then compare their inputs-outcomes ratio with others'

A) Job Characteristics Model (JCM)

(Hackman & Oldham) -Helps managers design jobs that motivate -Any job can be described in terms of these *5 core dimensions*: (1) skill variety (2) task identity (3) task significance (4) autonomy (5) feedback

guidelines for job redesign

(Index Card) Types of actions or changes in jobs that are most likely to improve each of the 5 core job dimensions: Suggested Action: -Combine tasks --> skill variety, task identity -Form natural work units --> task identity, task significance -Establish client relationships --> skill variety, feedback -Expand jobs vertically --> autonomy -Open feedback channels --> feedback

A) Situational Leadership Theory (SLT)

(Paul Hersey and Ken Blanchard) A contingency theory that focuses on *followers' readiness*. (1) Why a leadership theory focuses on followers: >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 followers'* actions (2) What is meant by "readiness" >Readiness refers to the extent to which people have the *ability and willingness* to accomplish a specific task -SLT uses the same two leadership 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

C) Path-Goal Theory

(Robert House) States that the *leader's job is to assist followers in attaining their goals* and to *provide direction/support needed to ensure that their goals are compatible* with the goals of the group/organization. -another approach to understanding leadership -takes key elements from the expectancy theory of motivation -term "path-goal" derives from belief that effective leaders clarify the path to help their followers get from where they are to the achievement of their work goals, and make the journey along the path easier by reducing roadblocks and pitfalls -Research findings mixed due to number of variables to examine. However, evidence shows that employee's performance and satisfaction positively influenced when leader chooses leadership style that compensates for shortcomings in either employee or work setting.

2) Factors Affecting Encoding

(The source initiates a message by encoding) a) *skill* determines a person's total communicative success; includes speaking, reading, listening, reasoning skills b) *attitudes* influence our behavior c) *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 d) *social cultural system* our position in our social cultural system is our beliefs and values that influence each of us a communicative source

Main Contingency (Situational) Leadership Theories

(Theories about leader's behavior/interactions with group) A) Situational Leadership Theory B) Leader-participation model (Vroom) C) Path-Goal Theory Which leadership styles might be suitable in different situations and what were these different situations?

b) (Cross-Culture Differences in Motivation) The achievement need

(Three-Factor Theory - McClelland) The achievement need is another motivation concept that clearly has an American bias; the view that a high achievement need acts as an internal motivator presupposes two cultural characteristics: a) a willingness to accept a moderate degree of risk b) a concern with performance

voluntary redundancy

(VR) finanical incentive offered to employees to get them to resign

C) Expectancy Theory

(Victor Vroom) 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 on that outcome. Three Variables or Relationships: 1. Expectancy / effort-performance linkage 2. Instrumentally / performance-reward linkage 3. Valence / attractiveness of reward

B) Leader-Participation Model

(Victor Vroom) Model that *relates leadership behavior and participating* to *decision making*. > Argued that leader behavior must adjust to reflect the task structure, (recognizing that task structures have varying demands for routine and non-routine activities) -Normative - provided sequential set of rules to be followed in determining the form and amount of participation in decision making in different types of situations. -A decision tree incorporating *7 (now 12) contingencies* and *5 alternative leadership styles*. (More recent work from Vroom and Arthur Jago has expanded contingency variables to 12) -The original leader-participation model provided solid, empirically support insights into key contingency variables related to leadership effectiveness. >Confirmed that leadership researched should be directed at the situation (rather than the person)

4) communication channels

(channel = through which the message travels) *Formal Channels:* >established by the organization >transmit job-related messages >traditionally follow the authority network within the organization *Informal Channels:* >followed by personal/social messages in the organization

5) decoding

(decoding - translating a received message) The skills, attitudes, knowledge, and social culture of the receiver to whom the message is directed affect their ability to decode the message >(just as it affects the sender's ability to encode the message)

7) feedback

(feedback - checking to see how successfully a message has been transferred) >The final link in the communication process >Given the cultural diversity of today's workforce, effective feedback is crucial

disadvantages of matrix structure

- can cause uncertainty and lead to intense power struggles -working relationships become more complicated -decisions often take longer

(Path-Goal Theory) 4 leadership behaviors

*1. A directive leader* lets subordinates know what's expected of them, schedules work to be done, and gives specific guidance on how to accomplish tasks *2. A supportive leader* shows concern for the needs of followers and is friendly *3. A participative leader* consults with group members and uses their suggestions before making a decision *4. An achievement-oriented leader* sets challenging goals and expects followers to perform at their highest level

top level

- ceo - board of directors

what are some pressures for change

- competitor activity - consumer demands - demands for better services - demands for lower costs - reducing employee numbers

a) Keeping track of an organization's finances: Budget Analysis

*Budget analysis* is also used - for both planning and controlling. >As a *planning tool*: a budget indicates which work activities are important, and which/how much resources should be allocated to those activities >As a *controlling tool*: budgets provide managers with quantitative standards against which to measure and compare resource consumption

C) Charismatic vs. Visionary Leaders

*Charismatic leader* - enthusiastic, self-confident, personality and actions influence people to behave in certain ways >5 shared personal characteristics: 1. They have a vision 2. The have the ability to articulate that vision 3. They are willing to take risks to achieve that vision 4. They are sensitive to both environmental constraints and follower needs 5. They demonstrate behaviors that are out of the ordinary >Strong correlations between charismatic leadership and high performance/satisfaction among followers *Visionary leadership* -ability to create and articulate a realistic, credible, and attractive vision of the future that improves upon the present situation -"jump-starts" the future by calling for the skills, talents, and resources to make it happen >Organization's vision should: -offer clear and compelling imagery that taps into members' emotions and inspires enthusiasm to pursue the organization's goals -generate possibilities that are inspirational and unique, and offer new ways of doing things that are clearly better for the organization and its members

(Networked Computer System) Network communication applications (simple ones)

*E-mail*: instantaneous transmission of messages on linked computers; fast, cheap, efficient, convenient, allows messages to be read at reader's convenience, and print if needed; downside - slow and cumbersome *instant messaging (IM)*: interactive, real-time communication among computer users who are logged on to the computer network at the same time; instantaneous communication without having to wait for colleagues to read email; downside - must be logged on at the same time *voice mail*: digitizes a spoken message, transmits it over the network, and stores the message for receiver to retrieve later; downside - no immediate feedback for caller *fax machines*: transmit documents containing both text and graphics over ordinary telephone lines; upside - allow org. users to quickly and easily share a printed form of information; downside - privacy compromised

(Issues) c) Communicating with customers -Strong Service Culture

*Strong Service Culture:* finding out what customer needs are, meeting those needs, and following up to make sure needs were met >each of these involve communication *Customer Service Strategies:* communication is also part of specific strategies the organization pursues and the individual service provider who is on the front line >often first to hear about/notice service failures - must decide how/what to communicate, listen actively, communicate appropriately so situation is resolved >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

B) Transactional vs. Transformational Leaders

*Transactional Leaders*: Lead primarily by using social exchanges (or transactions). >Guide/motivate followers to work toward goals by exchanging rewards for their productivity. *Transformational Leaders*: Stimulate and inspire (transform) followers to achieve extraordinary outcomes. >Produce levels of employee effort and performance that go beyond what would occur with a transactional approach >Instills in followers the ability to question established views, including those held by the leader -Evidence shows transformational leadership is superior to transactional leadership

(The Control Process) (1) Measuring - criteria for measurement

*What* managers measure is probably more important to control process than *how* they measure. Common Criteria Applicable to Any MGT Situation: -employee satisfaction -turnover and absenteeism rates -keeping costs within budget >But, any control system needs to recognize the different activities among different types of managers (i.e. a production manager uses different measures than a marketing manager for the same plant) Ultimately, the manager determines what value a person, dept, or unit contributes to the org. and converts that contribution into standards.

Written vs. Verbal Communication

*Written Communication:* includes memos, letters, email, and other forms of digital communication, organizational periodicals, bulletin boards, or any other device that transmits written words/symbols Pros: -tangible & verifiable -creates permanent record (compared to verbal) -message stored for indefinite period of time, physically available for later reference (important for complex/lengthy communications) -well-thought out, logical, clear Cons: -time consuming -doesn't lend itself to feedback like verbal communication

communication barriers

*filtering* - sender's deliberate manipulation of information to seem more favorable to receiver (ex: manager tells boss what he feels the boss want to hear) *selective perception* - receiver selectively hears based on needs, motivations, experience, background, and other personal characteristics >receivers also project their interests and expectations onto communications as they decode them *information overload* - when amount of info receiver has to work with exceeds their processing capacity *different meanings to different people* - age, education, and cultural background influence the language and definitions a person has (i.e. *jargon* used by specialists) *emotions* - how receiver feels when message is received *gender* - both have distinct communication styles *national culture*

External factors that create the need for organization change

*•Marketplace* - reflects intense competition in recent years *•Government laws and regulations* o Ex: ACA causing companies to review their health insurance programs *•Technology* - advances have created economies of scale for many organizations o Ex: The Internet changed how we get info, how products are sold, and how we get work done *•Fluctuations in labor markets* o Ex: Shortage of RNs led to redesigning of nursing jobs, alter their rewards/benefits packages for nurses, and join forces with local universities to address shortage *•Economic changes* o Ex: Prior to mortgage market meltdown, significant growth in the housing market meant more jobs, more new hires, and increased sales in other businesses that supported the building industry. But as economy soured, the housing industry and other related industries shrunk as credit markets dried up and businesses couldn't get the capital needed to operate.

McGregor X & Y theory

- People need close supervision/they want independence - Will avoid work/seek responsibility - will avoid responsbillity/are motivated by self fuffilment - only desire money/people naturally want to work - people must be pushed to perform/people will only drive themselves

3. Types of Controls Organizations and Managers Use

-*Feedforward control*: implementing controls before activity begins / anticipates problems (*most desirable type of control, but not always possible) -*Concurrent control*: implements controls while the activity is going on / corrects problems as they happen >Computers and computerized machine controls can be designed to include concurrent controls, like that inform workers whether their work output is sufficient quality to meet standards >The best-known form of concurrent control is *direct supervision* (i.e. MBWA) -*Feedback control*: implementing controls after the activity has been completed / fixes problems after they occur (*most popular type of control relies on feedback) >2 Advantages: >>> 1 -shows little variance between standard and actual performance >>> 2 -enhances motivation, people want to know how well they're doing

c) Keeping track of employee performance

-Assessing whether employees are doing their jobs as planned and meeting goals that have been set -If not, employee counseling or discipline may be needed

(Designing Appropriate Rewards Programs) How managers can maintain/increase employees' motivation levels in low-cost rewards programs:

-Clarify role in organization -Keep communication open -Show individual company cares

intra-organizational networks: research findings

-Employees whose networks are less dense tend to be more innovative and get promoted faster... but employees whose networks are denser enjoy more long-term cooperation -teams and units within an organization are most effective when they balance internal density (strong clusters) and external range (many bridges) -organizations need clusters and bridges with them to share knowledge, coordinate, and innovate effectively

What is motivation?

-Energy, direction, persistence -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 is not just a personal trait that some people have and others don't -Motivating high levels of employee performance is an important organizational concern - 73% of U.S. employees aren't excited about their work

a) Keeping track of an organization's finances: Ratio Analysis

-For a company to earn a profit, managers need *financial controls*. -Traditional financial controls include *ratio analysis*. -Ratios are calculated using selected information from the organization's balance sheet and income statement

(current issues) a) Inexpensive ways to motivate employees

-Holding meetings with employees to keep lines of communication open -Getting employee input on issues -Establishing a common goal (ex: maintaining excellent customer service to keep everyone focused) -Creating a community feel so employees can see that managers care about them and their work -Giving employees continuing opportunities to learn and grow

b) Cross-Culture Differences in Motivation

-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 U.S. by Americans about Americans

advantages of matrix structure

-Increased market responsiveness& flexibility -More efficient use of resources -Provides professionals with a broader range of responsibility and experience

(c) Two-Factor Theory (Herzberg)

-Intrinsic factors are related to job satisfaction -Extrinsic factors are associated with job dissatisfaction -Popular from 1960s - early 1980s, but criticized for being to simplistic Characteristics consistently related with job satisfaction: (Motivators - intrinsic) -achievement -recognition -work itself -advancement -growth Characteristics consistently related with job dissatisfaction: (Hygiene Factors - extrinsic) -supervision -company policy -relationships with supervisor, peers, employees -working conditions -status -security -personal life Satisfaction vs. Dissatisfaction -Herzberg said traditional view was wrong (opposite of being satisfied is being dissatisfied) -Removing dissatisfying characteristics wouldn't necessarily make that job more satisfying (or motivating) -The opposite of "satisfaction" is "no satisfaction" -The opposite of "dissatisfaction" is "no dissatisfaction" -The factors that led to job satisfaction are separate and distinct from those that led to job dissatisfaction

Job Design and Motivation

-JCM suggests that internal rewards are obtained when an employee *learns* that they *personally* have performed well on a task that they *care* about -The link between job dimensions and outcomes are moderated by the strength of the individual's growth need (that is, that person's desire for self-esteem and self-actualization) -A person with high growth need is more likely to experience the critical psychological states and respond positively when their job includes core dimensions than someone with a low growth need is

(issues) b) National Culture

-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 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 -The GLOBE research program (most extensive and comprehensive cross-cultural study of leadership ever undertaken) found that there are some universal aspects to leadership, due to pressures toward common technologies and management practices that are a result of global competitiveness and multinational influences >Transformational leadership elements appear to be associated with effective leadership regardless of country (elements: vision, foresight, providing encouragement, trustworthiness, dynamism, positiveness, proactiveness)

intellectual stimulation

Behavior a leader engages in to make followers be aware of problems and view these problems in new ways, consistant with the leader's vision.

nonverbal cues

-Nonverbal component carries greatest impact in oral communication >65-90% of the message of every face-to-face convo is communicated through body language *Body language* - gestures, facial configurations, other body movements that communicate emotions/temperaments such as aggression, fear, shyness, arrogance, joy, anger *Verbal intonation* - emphasis given to words/phrases that can make a statement sound defensive or friendly > "It's not what you say, but how you say it"

Divisional Structure

-Organized around products, geographies, or markets -Each division has its own functional specialists -Division executives have P&L (profit & loss) responsibility -Division executives help determine product-market and financial objectives -Divisions are relatively autonomous and consist of products and services that are different from those of other divisions [CEO -> corporate staff, division A general manager]

disadvantages of functional structure

-Possible problems of coordination and communication between functions -Can be difficult to compare and reward performance in different areas -Narrow thinking and conflicts between functional areas

advantages of functional structure

-Putting specialists together facilitates coordination and communication within functions -Facilitates career paths in specialized areas -Centralized decision making at the top draws on inputs from across functional areas

deep-level diversity

-Refers to individual differences that can't be easily seen (e.g. background, values, beliefs, attitudes) -Takes more time to learn about these factors

surface-level diversity

-Refers to observable differences between people that are readily known about people as soon as you see them (e.g. age, gender, race, ethnicity, physical abilities and characteristics) -Often lead to stereotyping

procedural justice

-Refers to perceptions about fairness of how decisions are made regarding distribution of rewards (i.e. the allocation process) -A just allocation process reflects criteria of consistency, lack of bias, accuracy, representation of all concerned, and appeals process for mistakes made

b) Cross-Cultural Consistencies in Motivation

-The desire for *interesting work* seems important to almost all workers, regardless of nationality -In a study comparing job-preference outcomes in the US, Canada, Australia, and Singapore, *growth, achievement, and responsibility* were rated as the top 3 outcomes and had identical rankings -Both studies suggest that *intrinsic factors* identified by Herzberg in his *Two-Factor Theory* are universal, to some degree

Job Design

-The way tasks are combined to form complete jobs -Managers should design jobs to reflect demands of changing environment, organization's technology, and employees' skills, abilities, and preferences

Why is it still important to know the 4 early theories of motivation?

-They respect the foundation from which contemporary theories grew -They are still used by practicing managers to explain employee motivation

matrix structure

-combines functional and divisional structures -individuals who work in a matrix organization are responsible to two managers

4. Contemporary Issues in Control

-cross-cultural differences -workplace concerns A) technology usage B) employee theft C) workplace violence

purposes of job analysis

-designing selection systems, training programs, performance appraisals -compliance with the legal environment

The Four D's

-distributed (geographically (across the world), structurally (across the organization)) -diverse (nationally (origin, culture, language), demographically (race, gender)) -dynamic (fluid team membership (members move in and out of team), multiple team membership (members work on several teams)) -digital (use technologies to communicate, use technologies to collect and analyze data)

c) Unique groups of workers

-diverse employees -professionals -contingent workers (temporary, part-time, contracted) To maximize motivation among today's diverse workforce, managers need to think in terms of flexibility. Gender -Men prioritize: having autonomy -Women prioritize: the opportunity to learn, convenient and flexible work hours, and good interpersonal relations Age -Gen Y: important to have the opportunity to be independent and to be exposed to different experiences -Older workers: prefer highly structured work opportunities

teams can help an organization to gain competitive advantage, because they can:

-enhance its performance (including efficiency, quantity, quality of outputs) -facilitate learning and innovation -increase responsiveness to customers -increase employees' satisfaction and motivation

Influences on Job/Goal Performance

-feedback -goal commitment -self-efficacy -natural culture

why do groups conform to norms?

-gain rewards -avoid punishments -identification -internalization

disadvantages of divisional structure

-higher cost due to duplication of functional specialists within each division -dysfunctional competition among divisions -differences in image and quality may occur across divisions

benefits of using teams

-horsepower: many hands, synergy -follow through: buy-in, accountability, resilience -perspectives: experience/history, education/training, function/unit -social: sense of belonging, F word (fun)

(Equity Theory) When inequities occur, employees try to do something about it. The result might be:

-lower or higher productivity -improved or reduced quality of output -increased absenteeism -voluntary resignation

functional structure

-organized by functions -each function is responsible for its own specialty -centralized decision making a the very top -Typically seen in firms with single or closely related products or services, high production volume, stable environment, and limited vertical integration [ceo --> manger of marketing, manager of engineering etc.]

overcoming communication barriers

-use feedback (check accuracy of what has been communicated - or what you think you heard) -ask questions (to determine if message was understood) -restate message -simplify language (easily understood by intended audience) -active listening (listening for full meaning without making premature interpretations) -control emotions (strong emotions make it easy to misconstrue incoming messages) -watch nonverbal cues

3 kinds of organizational change:

1) Changes in structure - alterations in authority relationships, coordination mechanisms, degree of centralization, job design, spans of control •Example: Restructuring can result in decentralization, wider spans of control, reduced work specialization, and work teams. 2) Changing technology - modifications to the way work is done, or methods and equipment used •Example: Computerizing work processes, adding robotics to work areas, and equipping employees with mobile communication tools. 3) Changes in people - changes in employee attitudes, expectations, perceptions, or behaviors •Example: using team building efforts to make a team more innovative

Stages of Group Development

1) Forming 2) Storming 3) Norming - close relationships and hierarchy develop 4) Performing - energy on task 5) Adjourning - temporary groups only; prepares to disband; wrapping up activites

Three Skills that a Team Needs:

1) Technical expertise 2) Problem-solving 3) Interpersonal skills

6 elements of organizational design

1) work specialization 2) departmentalization 3) authority and responsibility 4) span of control 5) centralization vs. decentralization 6) formalization

(a) Hierarchy of Needs (Maslow)

1- *Physiological*: food, water, shelter, sex, sleep, and other physical requirements 2- *Safety*: security and protection from harm; assurance that physical needs will continue to be met 3- *Social*: affection, belongingness, acceptance, friendship 4- *Esteem*: internal esteem factors (self-respect, autonomy, achievement) and external esteem factors (status, recognition, attention) 5- *Self-Actualization*: growth, achieving your potential, self-fulfillment, "be all you can be" -Maslow argued that each level must be substantially satisfied before the next need becomes dominant; an individual moves up on the hierarchy from one level to the next -Lower-order needs are satisfied mostly externally, while higher-order needs are satisfied internally -Managers will do things to satisfy employees' needs. But, once a need is satisfied, it no longer motivates -This theory is widely popular among managers, because it's easy to understand and it's intuitive -However, there is no empirical support; other studies could not validate it

3 Key Elements of Motivation

1. *Energy* - the energy element is a measure of intensity or drive, where the quality of the effort is considered along with its intensity 2. *Direction* - high levels of effort lead to favorable job performance when the effort is directed toward, and consistent with, organizational goals 3. *Persistence* - motivation includes a persistence dimension where employees keep putting forth effort to achieve those goals

(Situational Leadership Theory) 4 Specific Leadership Styles

1. *Telling*: (high task - low relationship), leader defines roles and tells people what, how, when, and where to do various tasks 2. *Selling*: (high task - high relationship), leader provides both directive and supportive behavior 3. *Participating*: (low task - high relationship), leader and followers share in decision making; main role of leader is facilitating and communicating 4. *Delegating*: (low task - low relationship), leader provides little direction or support

Objectives

1. Define "leader" and "leadership" (4) 2. Compare and contrast early leadership theories (5-6) 3. Describe the four major contingency (situational) leadership theories (7-13) 4. Describe modern views of leadership and the issues facing today's leaders (14-17, 18-20) 5. Discuss trust as the essence of leadership (21)

Objectives

1. Define and explain motivation 2. Compare and contrast early theories of motivation 3. Compare and contrast contemporary theories of motivation 4. Discuss current issues in motivating employees

(d) Three-Needs Theory (McClelland)

3 acquired (not innate) needs are major motives in work: 1) *Need for Achievement* - the drive to succeed and excel in relation to a set of standards (nAch) 2) *Need for Power* - the need to make others behave in a way that they would not behave otherwise (nPow) 3) *Need for Affiliation* - the desire for friendly and close interpersonal relationships (nAff) People with a high need for achievement (nAch): -strive for personal achievement rather than rewards -desire to do something better/more efficiently than it's been done before -prefer jobs offering personal responsibility for finding solutions (like receiving rapid and unambiguous performance feedback to tell if they're improving), and to set moderately challenging goals -high achievers avoid very easy or very difficult tasks -not necessarily the best manager because they focus on their own accomplishments while good managers emphasize helping others accomplish their goals

(Leader-Participation Model) 12 Contingencies (originally 7)

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 that 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 developing follower decision skills

Objectives

1. Nature and importance of control (4) 2. 3 steps in control process (5-10) 3. Types of controls organizations and managers use (11-18) 4. Contemporary issues in control (19-23)

2 developments of IT that have had significant effects on current managerial communication:

1. Networked computer systems 2. Wireless capabilities

Objectives

1. Things about communicating effectively (4-13) 2. How technology affects managerial communication (14-18) 3. Contemporary issues in communication (19-27)

(Path-Goal Theory) 2 situational (or contingency) variables that moderate the leadership behavior-outcome relationship:

1. Those in the *environment* that are outside the control of the follower (environmental contingency factors) >task structure >formal authority system >work group -Environmental factors determine the type of leadership behavior required to maximize subordinate outcomes 2. Those that are part of the *personal characteristics of the follower* (employee contingency factors) >locus of control >experience >perceived ability -Personal characteristics of the follower determine how to interpret the environment and leadership behavior

steps in distribution planning

1. develop distribution objectives 2. evaluate internal and external environmental influences 3. choose a distribution strategy 4. develop distribution tactics

Team Effectiveness- 3 parts

1. great output- output exceeds standards of those who receive, review, or use it 2. individual development- members' personal growth and well-being are fostered by their team experience 3. group collaboration- members become increasingly competent at working together as a team

Seven steps

1. identify the problem 2. establish the desired outcome 3. analyse the problem to determine its cause 4. generation alternative solutions 5. evaluate alternatives and select the most suitable 6. implement the descion 7. monitor and evaluate results

steps in the creative selling process

1. prospect and qualify 2. pre approach 3. approach 4. sales presentation 5. handle objections 6. close 7. follow up

7 steps to change

1. think it through 2. create a common vision that defines the change exactly 3. communicate 4. address peoples concerns 5. develop a clear action plan 6. create a climate of certainty 7. follow up

engaged employees are

20% higher performance and 87% less likely to leave - higher self worth - reduced attention - reduced absence

(Issues) a) Communication Management in an Internet World

20% 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 the hard way) that new technology has created two large communication challenges: (1) Legal and security issues (2) Lack of personal interaction

(The Control Process) (1) Measuring performance

4 Sources of Information Used to Measure a) *personal observation* - firsthand, intimate knowledge of unfiltered, actual activity; permits intensive coverage because minor and major performance activities can be observed, and allows manager to read between the lines >Management by Walking Around (MBWA) - opportunity to pick up factual omissions and observe body language >Cons: personal observation subject to viewer's perceptual biases, is time consuming, obtrusive, triggers concern with employees b) *statistical reports* - due to widespread computer use; not limited to computer outputs- can include graphs, bar charts, numerical displays >Cons: may focus on few key areas and ignore important factors c) *oral reports* - conferences, meetings, one-to-one conversations, telephone calls; is fast, allows for feedback, can be recorded, and permits expression, tone of voice, and words to convey meaning d) *written reports* - require more preparation time/formality, which makes more comprehensive and concise

the communication process

7 Part process of transferring and understanding meaning 1) *Sender* - source of communication 2) *Encoding* - converting message into symbolic form 3) *Message* - the purpose to be conveyed in the communication 4) *Channel* - medium by which a message travels 5) *Decoding* - translating a received message 6) *Receiver* - the recipient of the communication 7) *Feedback* - checking to see how successfully a message has been transferred

estimated job growth for sales reps in manufacturing and wholesaling between 2012-22

9%

(issues) a) Employee empowerment

>Empowerment involves increasing the decision-making discretion of workers. >Leading by "not leading", that is, by empowering their employees Reason for this: -If organizations want to successfully compete in a dynamic global economy, employees have to be able to make decisions and implement changes quickly -Organizational downsizings have left many managers with larger spans of control, so they had to empower their people to cope with increased work demand -Technology - 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

Final thoughts on Leadership

>Research says that in some situations, any behaviors a leader exhibits are irrelevant. >Which means, 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. >Similarly, jobs that are unambiguous and routine, or that are intrinsically satisfying, may place fewer demands on the leadership variable. >Such organizational characteristics as explicit goals, rigid rules and procedures, or cohesive work groups can substitute for formal leadership

(Networked Computer System) Network communication applications (weirder ones)

>electronic data interchange (EDI) >teleconference and videoconference meetings >organizational intranet >organizational extranet >internet-based voice/video communication

(Issues) a) internet (1) Legal and security issues

>online communication can cause *legal* problems if used inappropriately - because electronic information is potentially admissible in court - sensitive, proprietary information is at risk >*security* - also serious concern

leadership substitute

A characteristic of a subordinate or of a situation or context that acts in place of the influence of a leader and makes leadership unnecessary.

path-goal theory

A contingency model of leadership proposing that leaders can motivate subordinates by identifying their desired outcomes, rewarding them for high performance and the attainment of work goals with these desired outcomes, and clarifying for them the paths leading to the attainment of work goals.

Contemporary Theories of Motivation

A) Job Characteristics Model (JCM) B) Equity Theory C) Expectancy Theory

emotional intelligence

A leader who is high in ______ is more likely to be able to arouse and support the creative activities of his or her team members.

5) Training

A learning experience that seeks a relatively permanent change in employees by improving their ability to perform on the job. Involves what they know, how they work, and their attitudes. Methods: •Traditional Training Methods o On-the-job o Job rotation o Mentoring and coaching o Experimental exercises o Workbooks/manuals o Classroom lectures •Technology-Based Training Methods o CD-ROM/DVD/videotapes/audiotapes/podcasts o Videoconferencing / teleconferencing / satellite TV o E-learning o Mobile learning

reward

A manager who controls salary increases, bonuses, and interesting job assignments has _____ power.

establish formal lines of communication.

A manager who displays high levels of initiating structure and low levels of consideration behavior is most likely to:

_____ is abroad declaration of an organization's purpose that identifies the organization's products and customers and distinguishes the organization from its competitors.

A mission statement

3) message

A purpose to be conveyed, needed for communication. >passes between sender and receiver Process: >it's converted to symbolic form (such as TV commercial) >is passed by way of some channel of communication to receiver >receiver decodes it

b) Keeping track of an organization's information: Management Information System (MIS)

A system used to provide management with needed information on a regular basis. >manual or computer-based >"system" in MIS implies order, arrangement, and purpose >an MIS focuses on providing managers with information (processed and analyzed data), not merely data (raw, unanalyzed facts) MIS is used to provide information for: -To monitor and measure *organizational activities*, managers need the right information at the right time and in the right amount. -To measure *actual performance*, managers need information about what is happening within their area of responsibility and about the standards against which to compare actual performance. -Managers also require analyzed data to determine if deviations are acceptable and to help develop appropriate courses of action

________ is the duration over which a plan is intended to be applied or endured.

A time horizon

HRM Process (7 steps)

A) Identifying and Selecting Employees: 1) Employment planning 2) Recruitment and Downsizing 3) Selection B) Skills and knowledge: 4) Orientation 5) Training C) Retaining Competent Employees: 6) Performance appraisal 7) Compensation and benefits

Which of the following is true of leadership styles? A. Effective leadership styles vary with individual, culture, and country. B. Developing an effective personal leadership style is easy for top-level managers. C. Effective leaders frequently employ coercive power. D. A leadership style which is effective in one country will be effective in all countries. E. A leadership style which involves sharing power compromises effectiveness in servant leaders.

A. Effective leadership styles vary with individual, culture, and country.

_____ is a theory of motivation that concentrates on people's perceptions of the fairness of their work outcomes relative to, or in proportion to, their work inputs. A. Equity theory B. Expectancy theory C. Goal-setting theory D. ERG theory E. Three-needs theory

A. Equity theory

Leader-member relations, task structure, and position power are the situational characteristics identified by: A. Fiedler's contingency model. B. the trait model of leadership. C. the behavior model of leadership. D. House's path-goal theory. E. the leader substitutes model.

A. Fiedler's contingency model.

_____ considers how managers can ensure that organizational members focus their inputs in the direction of high performance and the achievement of organizational targets. A. Goal-setting theory B. ERG theory C. Three-needs theory D. Operant conditioning theory E. Motivator-hygiene theory

A. Goal-setting theory

_____ by transformational managers leads subordinates to view problems as challenges that they can and will meet and conquer. A. Intellectual stimulation B. Transient power C. Coercive power D. Transactional leadership E. Virtual stimulation

A. Intellectual stimulation

Which of the following is true of the expectancy theory formulated by Victor H. Vroom? A. It states that people are motivated to put effort into their work only if they think that their effort will pay off in high performance. B. It states that once a need has been satisfied, it ceases to be a source of motivation. C. It states that people are most motivated when they perceive that their own outcome-input ratio is less than that of referents. D. It drew attention to the important distinction between intrinsic motivation and extrinsic motivation. E. It suggests that to stimulate high motivation and performance, goals must be specific and difficult.

A. It states that people are motivated to put effort into their work only if they think that their effort will pay off in high performance.

Which of the following is true of Alderfer's ERG theory? A. It states that when people experience need frustration, they focus upon a lower-level need. B. It states that a person can be motivated by only one need from any given level at a time. C. It states that needs which have already been satisfied are the strongest motivators. D. It states that the need for self-actualization is more important than the need for affiliation. E. It states that need for personal-growth is the lowest-level need.

A. It states that when people experience need frustration, they focus upon a lower-level need.

According to Herzberg's motivator-hygiene theory, which of the following outcomes satisfy hygiene needs? A. Job security B. Responsibility C. Autonomy D. A sense of accomplishment E. Interesting work

A. Job security

Which of the following managers has high emotional intelligence? A. Judy, who admits to mistakes when she makes them B. Raymond, who seldom empathizes with his employees C. Rita, who has poor interpersonal skills D. Anthony, who cannot motivate his employees to commit to his vision E. Eunice, who uses coercive power frequently

A. Judy, who admits to mistakes when she makes them

According to the expectancy theory, which of the following is true of instrumentality? A. Managers promote high levels of instrumentality when they link performance to desired outcomes. B. Managers promote instrumentality by ensuring that rewards are distributed to employees on the basis of their rank. C. Managers create low levels instrumentality when the distribution of outcomes available in an organization are performance-based. D. Managers create low levels of instrumentality when they link effort to performance. E. Managers promote low levels of instrumentality when they communicate to employees that high performance will lead to a pay raise in the future.

A. Managers promote high levels of instrumentality when they link performance to desired outcomes.

Which of the following managers is driven by intrinsic motivation? A. Manuela, who works hard because of the sense of satisfaction that doing so gives her B. Derek, who works hard because of the incentives he receives each quarter C. Jolie, who works hard because she knows that by doing so, she will be promoted D. Luca, who works hard because of the recognition his achievements bring him E. Diane, who works hard because she knows that if she doesn't do so, she will be fired

A. Manuela, who works hard because of the sense of satisfaction that doing so gives her

Which of the following is true of Denise, a manager who has significant referent power? A. She is used as a role-model by many of her employees. B. She is unpopular with subordinates and superiors alike. C. She is an ineffective and inefficient leader. D. She cannot command the respect and admiration of her employees. E. She cannot command the respect and admiration of her superiors.

A. She is used as a role-model by many of her employees.

According to Fiedler, what type of leaders are primarily concerned with ensuring that subordinates perform at a high level and focus on goal accomplishment? A. Task-oriented leaders B. Nurturing-oriented leaders C. Relationship-oriented leaders D. Affiliation-oriented leaders E. Considerate leaders

A. Task-oriented leaders

Which of the following is true of extrinsic motivation? A. The source of motivation is the consequences of the behavior, not the behavior itself. B. The source of motivation lies with executing the tasks with maximum efficiency and efficacy. C. The motivation is fueled by a person's need for achievement and self-actualization. D. The motivation is fueled by a person's desire to ensure the welfare of other people. E. The source of motivation lies with the sense of satisfaction that performing well brings.

A. The source of motivation is the consequences of the behavior, not the behavior itself.

Tracy, an employee at Nationwide Cellular, perceives that her outcome-input ratio is higher than that of her coworker Julia. This is an example of: A. overpayment inequity. B. underpayment inequity. C. absolute equity. D. instrumental equity. E. terminal equity.

A. overpayment inequity.

Which of the following is true of the trait model of leadership? A. The traits it identified had no consistent relationship with leadership effectiveness. B. It proposed that leaders engaged in two types of behavior: consideration and initiating structure. C. It took into account the situation or context within which leadership occurs. D. It gave conclusive proof that effective leadership can be understood by the study of personality traits alone. E. It identified two basic leader styles: relationship-oriented and task-oriented.

A. The traits it identified had no consistent relationship with leadership effectiveness.

Which of the following is true of transformational managers' subordinates? A. They are aware of their own needs for growth, development, and accomplishment. B. They have limited awareness of the importance of their jobs. C. They are motivated to work for their own personal benefit. D. They lack confidence in themselves and their leaders. E. They are seldom aware about organizational performance.

A. They are aware of their own needs for growth, development, and accomplishment.

Which of the following is true of managers with high emotional intelligence? A. They easily encourage their employees to be creative. B. They find it hard owning up to their mistakes. C. They use coercive power frequently. D. They have a hard time empathizing with subordinates. E. They have poor interpersonal skills.

A. They easily encourage their employees to be creative.

Which of the following explains why female managers are more participative than their male counterparts? A. They face more resistance to influence than men. B. They engage in more initiating structure than men. C. They engage in more consideration than men. D. They tend to be more relationship-oriented as managers. E. They have poorer interpersonal skills than male managers.

A. They face more resistance to influence than men.

According to the expectancy theory, motivation is high when people: A. believe that high levels of effort lead to high performance and ultimately, to the attainment of the desired goals. B. perceive that they can satisfy their need for affiliation and need for achievement with minimum effort. C. perceive that their own outcome-input ratio is less than that of referents. D. are set specific and challenging goals which help them focus their inputs in the right direction. E. learn to perform behaviors that lead to desired consequences and learn not to perform behaviors that lead to undesired consequences.

A. believe that high levels of effort lead to high performance and ultimately, to the attainment of the desired goals.

According to path-goal theory, _____ are similar to initiating structure and include setting goals, showing subordinates how to complete tasks, and taking concrete steps to improve performance. A. directive behaviors B. supportive behaviors C. relationship-oriented behaviors D. afilliation-oriented behaviors E. instrumental behaviors

A. directive behaviors

A high level of _____ may help leaders develop a vision for their organizations, motivate their subordinates to commit to this vision, and energize them to enthusiastically work to achieve this vision. A. emotional intelligence B. ethnocentrism C. positivism D. coercive power E. rationalism

A. emotional intelligence

Corby Motors allows assembly-line workers to discard parts that do not meet quality standards without needing the permission of their manager first. This is an example of _____. A. employee empowerment B. intrinsic motivation C. instumentality D. servant leadership E. referent power

A. employee empowerment

The serving staff of Applebee's Applepies can give customers free dessert if they are dissatisfied with their dine-in experience without having to check with their supervisor first. This is an example of _____. A. employee empowerment B. reward power C. expert power D. servant leadership E. personal power

A. employee empowerment

House's path-goal theory is based on: A. expectancy theory. B. Maslow's hierarchy of needs. C. equity theory. D. Herzberg's motivator-hygiene theory. E. McClelland's theory of needs.

A. expectancy theory.

One way for managers to curtail the performance of dysfunctional behaviors is to eliminate whatever is reinforcing the behaviors. This process is called _____. A. extinction B. punishment C. extraction D. instrumentality E. termination

A. extinction

The source of _____ motivation lies with the acquisition of material or social rewards. A. extrinsic B. operational C. intrinsic D. ethnocentric E. experiential

A. extrinsic

Michelle has a strong desire to perform challenging tasks well and to meet personal standards for excellence. However, she does not wish do to so at the expense of maintaining good interpersonal relationships with her employees. According to McClelland's three-needs theory, Michelle has a: A. high need for affiliation and high need for achievement. B. low need for affiliation and low need for power. C. low need for achievement and low need for affiliation. D. high need for power and low need for affiliation E. low need for achievement and high need for power

A. high need for affiliation and high need for achievement.

Carrow is a manager who believes that maintaining control over his employees is more important than maintaining cordial relationships with them. According to McClelland's three-needs theory, Carrow has a: A. high need for power and low need for affiliation. B. high need for power and high need for affiliation. C. low need for power and low need for achievement. D. low need for achievement and high need for affiliation E. low need for power and low need for affiliation

A. high need for power and low need for affiliation.

According to the expectancy theory, _____ is a person's perception about the extent to which performance at a certain level results in the attainment of outcome. A. instrumentality B. determinism C. positivism D. valence E. ethnocentrism

A. instrumentality

A _____ is something that acts in place of the influence of a leader and makes leadership unnecessary. A. leadership substitute B. contingency model C. transformational leader D. transactional leader E. servant leader

A. leadership substitute

According to Herzberg's motivator-hygiene theory, _____ needs are related to the nature of the work itself and how challenging it is. A. motivator B. expectancy C. instrumental D. hygiene E. terminal

A. motivator

leader-member relations

According to Fiedler, _______ is the extent to which subordinates trust and are loyal to their superior.

task-oriented leaders

According to Fiedler, what type of leaders are primarily concerned with ensuring that subordinates perform at a high level and focus on goal accomplishment?

task-oriented leadership

According to LPC theory, the most and least favorable situations call for ___________.

directive behaviors

According to path-goal theory, _____ are similar to initiating structure and include setting goals, showing subordinates how to complete tasks, and taking concrete steps to improve performance.

team management

According to the Managerial Grid, _______is characterized by work accomplishment from committed people and interdependence through "a common stake" in the organization's purpose.

addressing employee concerns

According to the behavior model of leadership, which of the following is an example of consideration behavior?

b. It lets subordinates know what is expected of them.

According to the path-goal theory of leadership, which of the following is true of directive leadership behavior? a. It expects subordinates to perform at high levels. b. It lets subordinates know what is expected of them. c. It allows participation in decision making. d. It allows employees to schedule their own work.

supportive behaviors

According to the path-goal theory, _____ are similar to consideration and include expressing concern for subordinates and looking out for their best interests.

referent

Alyssa, the assistant marketing manager for RST Consulting, has the respect and admiration of all the employees in her division and is often used as their role model. Alyssa has _____ power.

d) (Designing Appropriate Rewards Programs) Open-book management

An approach where organizations involve their employees in workplace decisions by opening up the financial statements (the "books") so they will be motivated to make better decisions about their work, and to better understand the implications of what they do

charismatic leader

An enthusiastic, self-confident transformational leader who is able to clearly communicate his or her vision of how good things could be.

leader

An individual who is able to exert influence over other people to help achieve group or organizational goals.

Culture and Innovation

An innovation organization is likely to have the following circumstances: •Acceptance of ambiguity (doesn't constrain creativity) •Tolerance of the impractical (foolish, "what-if" questions not stifled) •Low external controls (not many rules) •Tolerance of risks (mistakes celebrated) •Tolerance of conflict •Focus on ends •Open-system focus •Positive feedback

Which elements were parts of Conant's examination of the external environment facing Campbell?

Analysis of opportunities and threats

According to the expectancy theory, in what way can a manager boost the expectancy levels and motivation of employees? A. By setting them tasks for which they are overqualified B. By expressing confidence in their competence and capability C. By not putting them through intensive, routine training programs D. By lowering their levels of autonomy and responsibility as they gain experience E. By giving them advice frequently and monitoring their performance constantly

B. By expressing confidence in their competence and capability

______ leaders are excited and enthusiastic about their vision and clearly communicate it to their subordinates. A. Transactional B. Charismatic C. Developmental D. Terminal E. Transient

B. Charismatic

_____ collapsed the five categories of needs in Maslow's hierarchy into three universal categories—existence, relatedness, and growth. A. David McClelland's three-needs theory B. Clayton Alderfer's ERG theory C. Herzberg's hygiene-motivator theory D. B.F. Skinner's operant conditioning E. Victor H. Vroom's expectancy theory

B. Clayton Alderfer's ERG theory

_____ propose that whether a leader who possesses certain traits or performs certain behaviors is effective depends on the situation or context. A. Trait models B. Contingency models C. Empowerment models D. Behavior models E. Structural models

B. Contingency models

Which of the following is true of expert power? A. Managers with expert power establish an atmosphere of creativity by demanding complete obedience. B. Expert power tends to be best used in a guiding or coaching manner. C. Expert power is based on the special knowledge and skills that subordinates possess and managers don't. D. Expert power is innate and cannot be acquired or developed through experience. E. Employees seldom trust managers with expert power.

B. Expert power tends to be best used in a guiding or coaching manner.

What type of power does a manager use when he or she hires new employees, assigns them work and monitors their performance? A. Transformational B. Legitimate C. Informal D. Transient E. Instrumental

B. Legitimate

_____ is central to management because it explains what drives or will drive people to achieve organizational goals. A. Determinism B. Motivation C. Ethnocentrism D. Structuralism E. Positivism

B. Motivation

Which of the following is true according to Maslow's hierarchy of needs? A. The highest-level needs must be met before trying to satisfy the lower-level needs. B. Once a need is satisfied, it ceases to be a source of motivation. C. The five basic needs can be satisfied in any order. D. A person can be motivated by needs at more than one level at the same time. E. If unable to satisfy needs at a certain level, people will focus more intently on satisfying the needs at the next highest level.

B. Once a need is satisfied, it ceases to be a source of motivation.

_____ is a person's belief about his or her ability to perform a behavior successfully. A. Self-enhancement B. Self-efficacy C. Self-actualization D. Self-awarness E. Self-respect

B. Self-efficacy

Which of the following is true of Michael, a manager of stellar performance, who is driven by intrinsic motivation? A. The source of his motivation lies with the bonus paycheck he receives with each accomplishment. B. The source of his motivation lies with performing his role well and achieving organizational goals. C. He is motivated by the societal recognition and fame his achievements bring him. D. The source of his motivation lies with the censure that failure would bring him. E. He is motivated by the promotion his performance will necessitate.

B. The source of his motivation lies with performing his role well and achieving organizational goals.

According to the path-goal theory, which of the following is true of achievement-oriented behaviors? A. They are advisable when subordinates are experiencing high levels of stress. B. They increase motivation levels of highly capable subordinates. C. They clear a subordinate's path of challenges and obstacles. D. They include expressing concern for subordinates and looking out for their best interests. E. They are most effective when applied to subordinates who are highly motivated.

B. They increase motivation levels of highly capable subordinates.

_____ managers motivate their subordinates to work for the good of the organization as a whole, not just for their own personal gain or benefit. A. Transactional B. Transformational C. Transient D. Intrinsic E. Extrinsic

B. Transformational

In what way do the theories of Maslow and Alderfer differ? A. Unlike Alderfer, Maslow believed that self-actualization forms the base of the needs-hierarchy. B. Unlike Maslow, Alderfer believed that a person can be motivated by needs from multiple levels at a time. C. Unlike Maslow, Alderfer believed that as lower-level needs become satisfied, people seek to satisfy higher-level needs. D. Unlike Alderfer, Maslow believed that when people experience need frustration, they focus upon satisfying higher-level needs. E. Unlike Maslow, Alderfer believed that physiological needs form the pinnacle of the needs-hierarchy.

B. Unlike Maslow, Alderfer believed that a person can be motivated by needs from multiple levels at a time.

According to the behavior model of leadership, leaders engage in _____ when they show their subordinates that they trust, respect, and care about them. A. initiating structure B. consideration C. task-orientated behavior D. job-oriented behavior E. task-structuring

B. consideration

Leaders who are high on ______ are more likely to be able to awaken and support the creative pursuits of their followers. A. ethnocentrism B. emotional intelligence C. dominance D. coercive power E. conformity

B. emotional intelligence

Sandy announces at the morning staff meeting that any employee who increases sales by 15% will receive a 15% commission. According to the expectancy theory, Sandy is promoting _____. A. positivism B. instrumentality C. autonomy D. equity E. self-actualization

B. instrumentality

A transformational manager engages and empowers subordinates to take personal responsibility for solving problems through _____. A. coercive power B. intellectual stimulation C. transient power D. virtual stimulation E. transactional leadership

B. intellectual stimulation

Harry has a strong desire to perform challenging tasks well and to meet personal standards for excellence, even at the expense of maintaining good interpersonal relationships with his employees. According to McClelland's three-needs theory, Harry has a: A. high need for affiliation and high need for achievement. B. low need for affiliation and high need for achievement. C. high need for affiliation and low need for power. D. high need for power and high need for affiliation E. low need for achievement and low need for power

B. low need for affiliation and high need for achievement.

According to Maslow's hierarchy of needs, by providing adequate medical benefits and safe working conditions, managers satisfy their employees' _____. A. need for self-actualization B. need for safety C. need for affiliation D. need for recognition E. need for power

B. need for safety

According to the path-goal theory, _____ are similar to consideration and include expressing concern for subordinates and looking out for their best interests. A. directive behaviors B. supportive behaviors C. task-oriented behaviors D. achievement-oriented behaviors. E. structural behaviors

B. supportive behaviors

According to Fiedler, the extent to which the work of subordinates is clear so that they know what to do and how to do it is known as: A. consideration. B. task structure. C. empowerment. D. leader-member relations. E. position power.

B. task structure.

Leaders who motivate subordinates primarily by rewarding and reprimanding them are called: A. transformational leaders. B. transactional leaders. C. transient leaders. D. supportive leaders. E. referent leaders.

B. transactional leaders.

_____ is a corporate-level strategy in which a company expands its business operations into a new industry that produces inputs for the company's products.

Backward vertical integration

(Equity Theory) solutions

Based on evidence, managers should: -openly share information on how allocation decisions are made -follow consistent and unbiased procedures -engage in similar practices to increase the perception of procedural justice

D) Team Leader

Because leadership is increasingly taking place within a team context, the role of the leader in guiding team members has become increasingly important. >Role of team leader is different from traditional leadership role >Many leaders are not equipped to handle the shift to employee teams 2 Priorities of the Team Leader's Job: 1. Managing the team's external boundary 2. Facilitating the team process Must learn skills such as: -patiently sharing info -being able to trust others and to give up authority -understanding when to intervene and when not to Roles: -coaching -facilitating -conflict managing -handling disciplinary problems -troubleshooting -liaisons with external constituents -reviewing team and individual performance -training -communication

_____ proposes that all people seek to satisfy five basic kinds of needs: physiological needs, safety needs, belongingness needs, esteem needs, and self-actualization needs. A. Victor H. Vroom's expectancy theory B. B.F. Skinner's operant conditioning theory C. Abraham Maslow's hierarchy of needs theory D. Frederick Herzberg's motivator-hygiene theory E. David McClelland's theory of needs

C. Abraham Maslow's hierarchy of needs theory

In what way do the theories of Maslow and Alderfer resemble each other? A. Both theories agree that self-actualization form the base of the needs-hierarchy. B. Both theories agree that a person can only be motivated by one need at a time. C. Both theories agree that as lower-level needs become satisfied, people seek to satisfy higher-level needs. D. Both theories agree that when people experience need frustration, they focus upon satisfying higher-level needs. E. Both theories agree that physiological needs form the pinnacle of the needs-hierarchy.

C. Both theories agree that as lower-level needs become satisfied, people seek to satisfy higher-level needs.

Which of the following is true of empowerment? A. Empowerment is detrimental to effective leadership. B. Empowerment increases managers' involvement in routine tasks. C. Empowerment gives managers more time to concentrate on their pressing concerns. D. Empowerment signifies a complete transfer of responsibility and accountability from a manager to his subordinate. E. Empowerment is not incorporated readily into modern management styles.

C. Empowerment gives managers more time to concentrate on their pressing concerns.

Which type of power is based on the specialized knowledge and skills of a leader? A. Positional power B. Referent power C. Expert power D. Coercive power E. Reward power

C. Expert power

_____ drew attention to the important distinction between intrinsic motivation and extrinsic motivation. A. Maslow's hierarchy of needs B. Alderfer's ERG theory C. Herzberg's motivator-hygiene theory D. McClelland's theory of needs E. Equity theory

C. Herzberg's motivator-hygiene theory

Why is organizational behavior modification criticized? A. It fails to give managers a technique to motivate the performance of organizationally functional behaviors. B. It has been unsuccessful when used to improve productivity, efficiency, attendance, and punctuality. C. It can rob people of their individuality, freedom of choice, and creativity if used ineptly. D. It does not work for behaviors that are specific, objective, and countable. E. It is highly ineffective in promoting organizational efficiency amongst employees.

C. It can rob people of their individuality, freedom of choice, and creativity if used ineptly.

Which of the following is true of referent power? A. It is innate and cannot be acquired or developed. B. It is more formal than other kinds of power. C. It is a function of the personal characteristics of a leader. D. It prevents first-line managers from being effective leaders. E. It weakens leader-member relations.

C. It is a function of the personal characteristics of a leader.

Which of the following forms the base of Maslow's hierarchy of needs? A. Esteem needs B. Belongingness needs C. Physiological needs D. Social needs E. Self-actualization needs

C. Physiological needs

_____ reinforcement gives people outcomes they desire when they perform organizationally functional behaviors. A. Negative B. Extrinsic C. Positive D. Intrinsic E. Absolute

C. Positive

According to Fiedler, what type of leaders are primarily concerned with developing good relationships with their subordinates and being liked by them? A. Task-oriented leaders B. Power-oriented leaders C. Relationship-oriented leaders D. Performance-oriented leaders E. Achievement-oriented leaders

C. Relationship-oriented leaders

When Mark brought in a large client for the bank, Dan gave Mark a significant bonus. What type of power was Dan using? A. Expert B. Coercive C. Reward D. Empowerment E. Referent

C. Reward

What type of leaders share power with followers and strive to ensure that followers' most important needs are met? A. Entrepreneurs B. Coercive leaders C. Servant leaders D. Transactional leaders E. Intrapreneurs

C. Servant leaders

Which of the following is true of employee stock options? A. They are used in lieu of payment for entry-level employees. B. They are used in lieu of payment for high-level managers. C. They are used to motivate employees to achieve organizational goals. D. They are used to attract customers from different market segments. E. They are used to decrease the value of stock options.

C. They are used to motivate employees to achieve organizational goals.

_____ makes subordinates aware of the importance of their performance to the organization and aware of their own needs for personal growth, motivating subordinates to work for the good of the organization. A. Transient leadership B. Transactional leadership C. Transformational leadership D. Terminal leadership E. Task-oriented leadership

C. Transformational leadership

According to McClelland, the need for _____ is the extent to which an individual has a strong desire to perform challenging tasks well and to meet personal standards for excellence. A. affiliation B. belongingness C. achievement D. self-awareness E. relatedness

C. achievement

Coercive power: A. fosters high performance if used often. B. respects employee dignity and raises employee morale. C. can have negative effects and should be used sparingly. D. helps establish rapport between managers and employees. E. is the cornerstone of effective leadership.

C. can have negative effects and should be used sparingly.

group norms

informal shared guidelines or rules for behavior that most group members follow

The goal-setting theory: A. states that to stimulate high motivation and performance, goals must be generic. B. suggests that underpayment inequity motivates employees to achieve organizational goals. C. considers how managers can align the input of employees with organizational goals. D. examines the different types of rewards and punishments that can be used to reinforce goal-oriented behavior. E. suggests that people are most motivated to achieve organizational goals when they have low levels of job satisfaction.

C. considers how managers can align the input of employees with organizational goals.

According to McClelland, the need for affiliation is the extent to which an individual: A. desires to perform challenging tasks well. B. wants to meet personal standards for excellence. C. is concerned about maintaining good interpersonal relations. D. desires to control other people. E. wishes to receive performance feedback.

C. is concerned about maintaining good interpersonal relations.

According to Fiedler, the extent to which subordinates trust and are loyal to their superior is known as _____. A. empowerment B. task-orientation C. leader-member relations D. initiating structure E. position power

C. leader-member relations

The process by which a person exerts influence over others and inspires, motivates, and directs their activities is known as: A. empowerment. B. determinism. C. leadership. D. benchmarking. E. positivism.

C. leadership.

When an organization bases employees' pay on the number of units each employee produces, it is using a(n) _____. A. equity plan B. Scanlon plan C. piece-rate plan D. commission pay plan E. stock option plan

C. piece-rate plan

Julia perceives that she is working harder than a number of her coworkers and being paid less when compared to them. Julia is likely to be motivated to: A. improve her work attendance. B. increase her working hours. C. raise her work inputs. D. ask for more work. E. decline a promotion.

C. raise her work inputs.

According Maslow's hierarchy of needs, as countries become wealthier and have higher standards of living, _____ needs are likely to be the prime motivators of behavior. A. physiological B. safety C. self-actualization D. operational E. experiential

C. self-actualization

According Maslow's hierarchy of needs, by giving his/her employees the opportunity to use their skills and abilities to the fullest extent possible, a manager satisfies their _____. A. physiological needs B. safety needs C. self-actualization needs D. operational needs E. terminal needs

C. self-actualization needs

As a reward for completing his assignment two weeks ahead of schedule, Scott rewarded himself with a long vacation. The reward is a(n) _____. A. vicarious reinforcer B. negative reinforcer C. self-reinforcer D. relative-reinforcer E. absolute-reinforcer

C. self-reinforcer

According to the expectancy theory, the term _____ refers to how desirable each of the outcomes available from a job or organization is to a person. A. instrumentality B. self-actualization C. valence D. equity E. autonomy

C. valence

Personality Traits

Can personality traits predict practical work-related behaviors? YES! •The following five specific personality traits have proven *most powerful in explaining individual behavior in organizations*: o Locus of control o Machiavellianism - gaining/manipulating power o Self-esteem o Self-monitoring o Risk propensity/taking •*John Holland's six basic personality types*: o Realistic o Investigative o Social o Conventional o Enterprising o Artistic

Transformational Leadership

Change their subordinates in three important ways: Make employee know how important their jobs are for the organization and how necessary it is for them to perform their jobs as best they can so the org can attain its goals. Make their subordinates aware of the subordinates' own needs for personal growth, development, and accomplishment. Motivate their subordinates to work for the good of the organization as a whole, not just for their own personal gain or benefit.

(The Control Process) (3) Correcting deviations / Addressing inadequate standards

Choosing among three courses of action: *a - do nothing* *b - correct the actual performance* >Immediate corrective action (corrects problems right away to get performance back on track) or >Basic corrective action (looks at how and why performance deviated before correcting the source of deviation; effective managers analyze deviations and take time to pinpoint and correct causes of variance) *c - revise the standards* >If variance results from unrealistic standard (too high or too low), the standard -not performance- needs corrective action. >i.e. If performance consistently exceeds the goal, then the goal may need to be raised. >Caution: with revising a standard downward

(Issues) d) Getting employee input

Companies need input from employees. Suggestions for letting employees know their opinions matter: >*Hold town-hall meetings* where information is shared 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 the problems together* - managers and employees >*Make it easy* for employees to give input by setting up different ways for them to do so

7) Compensation and benefits

Compensation - Goal is to design a cost-effective pay structure that attempts to ensure that pay levels will be perceived as fair by all employees. •The higher the knowledge, skills, and abilities (KSAs) - and the greater the authority and responsibility - the higher the pay. •*Skill-based Pay Systems* - Reward employees for jobs and competencies they demonstrate. More successful system in manufacturing and organizations pursuing technical innovations. •*Variable Pay Systems* - Compensation is contingent on performance. Used by 90% of U.S. organizations. *Benefits* - Nonfinancial rewards designed to enrich employees' lives. Paid time of work, life and disability insurance, retirement programs, and health insurance.

_____ is a corporate-level strategy that emphasizes reinvesting a company's profits in strengthening its competitive position in its current industry.

Concentration on a single industry

_______ are the two basic kinds of leader behaviors identified by the behavior model of leadership.

Consideration and initiating structure

exploitation

Consistent, continuous improvements generate revenues from which managers can fund new radical innovations and make strategic bets

_____ models of leadership take into account the situation or context within which leadership occurs.

Contingency

_____ propose that whether a leader who possesses certain traits or performs certain behaviors is effective depends on the situation or context.

Contingency models

1. Nature and Importance of Control

Control is important because it's the only way that managers know whether organizational goals are being met and, if they are not being met, the reasons why. Refresher on Management Process: 1) Planning 2) Organizing 3) Leading *4) Control* - standards, measurements, comparison, actions Reasons Why Control is Important: a) Controlling provides a critical link to planning; if managers didn't control, they'd have no way of knowing whether goals/plans were being achieved and what future actions to take. b) Controlling can empower employees - effective control system provides information and feedback on employee performance and minimizes chance of problems. c) Managers control to protect the organization and its assets. Controls and backup plans minimize work disruptions (threats like natural disasters, financial pressures/scandals, violence, supply chain disruptions, security breaches, terrorist attacks)

employee empowerment

Corby Motors allows assembly-line workers to discard parts that do not meet quality standards without needing the permission of their manager first. This is an example of

CSR

Corporate social responsbillity

innovation

Creativity - the ability to produce novel and useful ideas Innovation - the process of taking a creative idea and turning it into a useful product, service, or method of operation

Trust as the essence of leadership

Crucial for leaders to build trust and credibility. *Credibility* - main component is honesty, which is the #1 characteristic of admired leaders -Credible leaders are: >competent and inspiring >personally able to effectively communicate their confidence and enthusiasm *Trust* - the belief in the integrity, character, and ability of a leader -5 Dimensions: 1) integrity* (most important) 2) competence 3) consistency 4) loyalty 5) openness -Workplace changes have reinforced the importance of credibility and trust because employee empowerment and self-managed work teams have reduced many traditional control mechanisms used to monitor employees

Current Issues

Current studies of employee motivation are influenced by some significant workplace issues: a) motivating in touch economic circumstances b) managing cross-cultural challenging c) motivating unique groups of workers d) designing appropriate rewards programs >In an uncertain economy, managers must be creative in keeping employees' efforts energized, direct and sustained (= motivated) toward achieving goals

organizational culture/clan control

informal: values, norms, socialization

(Issues) c) Communicating with customers -customer service -3 components in service delivery process

Customer Service - *what* communication takes place and *how* it takes place has huge impact on customer's satisfaction with service 3 communication components to recognize in any service delivery process: 1 - customer 2 - service organization 3 - individual service provider >each play a role in whether communication is working

According to Herzberg's motivator-hygiene theory, which of the following outcomes helps to satisfy motivator needs? A. Job security B. Good relationships with coworkers C. Good pay D. A sense of accomplishment E. Effective supervision

D. A sense of accomplishment

Which of the following is true of reward power? A. Effective managers use their reward power sparingly. B. Effective managers use rewards in a controlling manner signaling to subordinates that the manager has the upper hand. C. Managers who exercise coercive power more often than reward power create a tension-free work environment. D. Being able to give or withhold rewards based on performance allows managers to have a highly motivated workforce. E. The use of reward power seldom produces high performance and is questionable ethically.

D. Being able to give or withhold rewards based on performance allows managers to have a highly motivated workforce.

According to Maslow's hierarchy of needs, which of the following needs does a company satisfy when it organizes a picnic or holiday party for its employees? A. Physiological needs B. Safety needs C. Self-awareness needs D. Belongingness needs E. Self-actualization needs

D. Belongingness needs

Which of the following is true of male and female managers? A. Male and female managers have been found to be equally participative as leaders. B. Male and female managers differ significantly in their propensities to perform different leader behaviors. C. Male managers tend to involve subordinates in their decision making more often than female managers. D. Female managers tend to hand out more lenient punishments than male managers. E. Male managers have less difficulty managing interpersonal relationships than female managers.

D. Female managers tend to hand out more lenient punishments than male managers.

_____ is a function of the personal characteristics of a leader and is more informal than the other kinds of power. A. Reward power B. Legitimate power C. Coercive power D. Referent power E. Virtual power

D. Referent power

Which model of leadership is based on the premise that effective leaders possess personal qualities that set them apart from ineffective leaders? A. Task-oriented model B. Path-goal model C. Contingency model D. Trait model E. Relationship-oriented model

D. Trait model

_____ exists when a person's own outcome-input ratio is perceived to be less than that of a referent. A. Absolute equity B. Instrumental equity C. Terminal equity D. Underpayment inequity E. Overpayment inequity

D. Underpayment inequity

According to Herzberg's motivator-hygiene theory, _____ needs are related to the physical and psychological context in which the work is performed. A. motivator B. expectancy C. instrumental D. hygiene E. terminal

D. hygiene

The source of _____ motivation lies with actually performing the behavior, and motivation comes from doing the work itself. A. extrinsic B. ethnocentric C. xenocentric D. intrinsic E. operational

D. intrinsic

A person who inspires, motivates, and directs the activities of others so that they work toward organizational goals is known as a _____. A. figurehead B. spokesperson C. monitor D. leader E. negotiator

D. leader

Fiedler's contingency model suggests that: A. identifying the personality traits of leaders is the only way to understand effective leadership. B. the situation or context within which leadership occurs is irrelevant when studying effective leaders. C. if a leader is effective in one situation, he can be effective in all other situations. D. leadership styles are enduring characteristics; they cannot be changed or adjusted. E. identifying the behavioral traits of leaders is the only way to understand effective leadership.

D. leadership styles are enduring characteristics; they cannot be changed or adjusted.

When _____ reinforcement is used, people are motivated to perform behaviors because they want to stop receiving or avoid undesired outcomes. A. positive B. absolute C. intrinsic D. negative E. extrinsic

D. negative

Managers can increase their _____ power by taking time to get to know their subordinates and showing interest in and concern for them. A. reward B. transient C. coercive D. referent E. virtual

D. referent

Alyssa, the assistant marketing manager for RST Consulting, has the respect and admiration of all the employees in her division and is often used as their role model. Alyssa has: A. reward power. B. virtual power. C. coercive power. D. referent power. E. transient power.

D. referent power.

The power of a leader that comes from the respect, admiration, and loyalty of subordinates is known as: A. reward power. B. transient power. C. coercive power. D. referent power. E. virtual power.

D. referent power.

_______ is the process by which a person exerts influence over others and inspires, motivates, and directs their activities.

Leadership

(Issues) -cross-cultural differences

Differences in organizational control systems cross-culturally are found primarily in *measurement* and *corrective action* steps of control process. Challenges global countries face: *indirect control devices:* -used by organizations in technologically advanced nations -are particularly computer-based reports/analyses in addition to standardized rules and direct supervision >in less technologically advanced countries, direct supervision and highly centralized decision making are basic means of control *corrective action:* -managers in foreign countries may have constraints on what corrective actions they can take because some laws don't allow managers the options of closing facilities, laying off employees, or bringing in a new foreign management team *comparability:* -collecting data challenge -ex: company's manufacturing facility in Mexico produces same products as facility in Scotland, but Mexican facility is more labor-intensive than Scotland and takes advantage of lower labor costs - can't compare labor costs per unit of output per worker

An organization attempting to succeed by distinguishing its products from those of the competition is most likely to use a(n)

Differentiation strategy

producer-retailer-consumer channel

Distribution channel that samsung uses when it sells TV through large retailers such as best buy-- creates utility and transaction efficiencies, channel members enhance the ability of producers to reach customers

According to _____ employees will be motivated to perform at a high level and attain their work goals to the extent that high performance and goal attainment allow them to obtain outcomes they desire. A. Clayton Alderfer's ERG theory B. McClelland's three-needs theory C. Herzberg's motivator-hygiene theory D. Victor H. Vroom's expectancy theory E. B.F. Skinner's operant condition theory

E. B.F. Skinner's operant condition theory

Which of the following managers displays prosocially motivated behavior? A. Derek, who works hard because of the incentives he receives each quarter B. Jolie, who works hard because she knows that by doing so, she will be promoted C. Luca, who works hard because of the recognition his achievements bring him D. Diane, who works hard because she knows that if she doesn't do so, she will be fired E. Brett, who works hard because he knows that what he does improves the welfare of many people

E. Brett, who works hard because he knows that what he does improves the welfare of many people

Which of the following is a characteristic of transformational managers? A. Conformity B. Conventionality C. Conservativeness D. Cautiousness E. Charisma

E. Charisma

Which of the following is true of prosocially motivated behavior? A. It is behavior that is performed to avoid censure or punishment. B. It is behavior that is performed for social recognition and respect. C. The source of motivation lies with the desire to conform to the norms of society. D. The source of motivation lies with the fear of punishment. E. It is behavior that seeks to improve the well-being of other people.

E. It is behavior that seeks to improve the well-being of other people.

Which of the following is true of House's path-goal theory? A. It suggests that managers cannot adopt different leadership styles in different situations. B. It suggests that rewards should be used as a measure of approval for past performances, rather than as motivators. C. It treats the situation within which leadership occurs as irrelevant when studying effective leaders. D. It suggests using coercive power to ensure high performance and goal attainment. E. It suggests that subordinates need to be motivated depending on their nature and that of their work.

E. It suggests that subordinates need to be motivated depending on their nature and that of their work.

Which of the following managers is extrinsically motivated? A. Manuela, who works hard because of the sense of satisfaction that doing so gives her B. Patrick, who works hard because his job is interesting and enjoyable C. Kate, who works hard because her job gives her an opportunity to fulfill her potential D. Marco, who works hard because he wants to see his organization achieve its goals E. Jolie, who works hard because of the promotion she knows that doing so will bring her

E. Jolie, who works hard because of the promotion she knows that doing so will bring her

_____ are thought of as those organizational members who establish and implement procedures and processes to ensure smooth functioning and are accountable for goal accomplishment. A. Leaders B. Subordinates C. Trainees D. Facilitators E. Managers

E. Managers

Which of the following is true of valence, according to the expectancy theory? A. High motivation results from low valence and low instrumentality. B. Valence refers to how instrumental an employee is to the organization. C. High levels of valency and instrumentality result in low expectancy. D. Outcomes considered to have high valence are identical across all employees. E. Providing employees with highly valent outcomes can reduce turnover.

E. Providing employees with highly valent outcomes can reduce turnover.

leads change to achieve a superior alignment between a firm and the environment.

Strategic leadership:

Which of the following managers is a servant leader? A. Kerry, who maintains tight control over subordinates and makes frequent demands of them B. Pat, who believes that effective leaders should be able to command the unquestioning obedience of their followers C. Sandy, who does not share power with followers or prioritize the development of their skills D. Yvonne, who focuses her attention on those who are most well-off in society and those who can serve her best E. Richard, who has a strong desire to work for the benefit of society and enhances the well-being of others

E. Richard, who has a strong desire to work for the benefit of society and enhances the well-being of others

The _____ plan motivates employees to propose and implement cost-cutting strategies because a percentage of the cost savings achieved during the specified time is distributed to the employees. A. commission B. equity C. piece-rate D. stock-option E. Scanlon

E. Scanlon

Which of the following forms the pinnacle of Maslow's hierarchy of needs? A. Safety needs B. Belongingness needs C. Physiological needs D. Social needs E. Self-actualization needs

E. Self-actualization needs

Which of the following theories proposes that motivation results not only from direct experience of rewards and punishments but also from a person's thoughts and beliefs? A. Needs hierarchy theory B. ERG theory C. Equity theory D. Operant conditioning theory E. Social learning theory

E. Social learning theory

Which of the following would an effective manager do? A. Use coercive power frequently to raise employee morale B. Ignore the opinions of less-experienced subordinates C. Use reward power and referent power sparingly D. Use expert power to control employees E. Use reward power to show appreciation for subordinates' work

E. Use reward power to show appreciation for subordinates' work

Stacy fired Jan for unethical behavior, exercising _____ power. A. virtual B. instrumental C. referent D. informal E. coercive

E. coercive

The two basic kinds of leader behaviors identified by the behavior model of leadership were: A. intrinsic and extrinsic. B. instrumental and terminal. C. task-structure and task-orientation. D. ethnocentric and xenocentric. E. consideration and initiating structure.

E. consideration and initiating structure.

Nancy has extensive experience in product designing. Though she is not a manager, she is often called on by product managers to offer advice on new product design. It can be said that Nancy has: A. referent power. B. transformational power. C. virtual power. D. legitimate power. E. expert power.

E. expert power.

Fletcher met all the goals his manager set him, despite being faced with several obstacles. He won the Employee of the Year award for his diligence. Fletcher is: A. high on defeatism. B. low on achievement. C. low on motivation. D. low on effort. E. high on persistence.

E. high on persistence.

When John violated the company's code of ethics, he was suspended for eight weeks without pay. This is an example of _____. A. extinction B. positive reinforcement C. negative reinforcement D. extraction E. punishment

E. punishment

Fiedler's Contingency Model

Effective group performance depends on the right match between a leader's style of interacting with followers and the degree to which the situation allowed the leader to control and influence.

(Issues) -workplace concerns B) Controlling Employee Theft

Employee Theft - any unauthorized taking of company property by employees for their personal use. (i.e. embezzlement/fraud filing to removing equipment or office supplies) -Feedforward, concurrent, and feedback controls are useful for identifying measures to deter or reduce employee theft

b) (Cross-Culture Differences in Motivation) Equity theory

Equity theory has a relatively strong following in the U.S., which is not surprising given that US-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 Easter Europe), employees expect outcomes to be greater than their inputs, which suggests that US-style pay practices may need to be modified to be perceived as fair by employees.

(Issues) e) Communicating ethically

Ethical Communication - presented material includes all relevant information, is true in every sense, and is not deceptive in any way >unethical communication distorts truth or manipulates audiences >example: omitting essential info, selectively misquoting, misrepresenting numbers, distorting visuals, failing to respect privacy >managers encourage ethical communication by establishing clear ethical guidelines for behavior and business communication

Which of the following statements about simultaneously pursuing both a low-cost strategy and a differentiation strategy is true?

Extremely well managed companies may be able to keep low costs and differentiate their products.

A(n) _________ strategy is selling the same standardized product and using the same basic marketing approach in each national market.

Global

2. The Control Process

Has 3 steps: (1) Measuring actual performance (2) Comparing actual performance against a standard (3) Taking managerial action to correct deviations or to address inadequate standards

How Technology Affects Managerial Communication: 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 >allow employees to be fully accessible 24/7

Which of the following would be a potential strength for an organization in accordance with its SWOT analysis?

High brand loyalty among its customers

_____ is the final step in implementing strategy.

Holding specific individuals or groups responsible for the attainment of corporate, divisional, and functional goals

There is constant, fierce competition between telecommunication companies due to the continuous advances in mobile technology and a wide range of customer tastes. This is called

Hyper-competition

HR and Innovation

Innovative organizations: 1) Actively promote the training and development of members so knowledge remains current 2) Offer employees high job security to reduce fear of getting fired for making mistakes 3) Encourage individuals to become better idea champions by actively and enthusiastically supporting new ideas, building support, overcoming resistance, and ensuring that innovations are implemented • Idea champions - (personality characteristics) extremely high self-confidence, persistence, energy, risk taking, dynamic leadership, good at gaining support

Which of the following is true of referent power?

It is based on identification, imitation, loyalty, or charisma.

Which of the following is true about referent power?

It is the power that comes from respect, admiration, and loyalty

Which of the following is true of persuasion as a form of political behavior?

It relies on both emotion and logic

Which of the following is true about empowerment?

It requires managers to spend more time on day-to-day supervision

Which of the following is true about House's path-goal theory?

It suggests that subordinates need to be motivated depending on their nature and that of their work.

Which of the following managers has high emotional intelligence?

Judy, who admits to mistakes when she makes them

individual job performance eqution

KSAs (can they do it) x motivation and effort (will they do it) x organization factors (do they receive the support they need)

human capital

KSAs and experience

(Issues) -workplace concerns C) Controlling Workplace Violence

Key factors contributing to workplace violence: -employee stress caused by job uncertainties -overload -daily interruptions -unrealistic deadlines -uncaring manager Managers can reduce violence by using: feedforward, concurrent, and feedback control to help identify actions that they can take

(Issues) b) Managing the Organization's Knowledge Resources

Knowledge Management - Cultivating a learning culture in which organizational members systematically gather knowledge and share it with others. knowledge management tools: *online information databases* - built so employees can communicate, access research, and learn from other staff how to do their jobs more effectively and efficiently *communities of practice* - groups of people who share a concern, a set of problems, or a passion about a topic, and who deepen their knowledge/expertise by interacting on an ongoing bases Downside - (groups face same communication problems as individuals) filtering, emotions, defensiveness, overdocumentation, etc.

Which of the following situational approaches to leadership stresses the importance of variable relationships between supervisors and each of their subordinates, where each superior-subordinate pair is referred to as a vertical dyad?

LMX model

servant leaders

Leader who has a strong desire to serve and work for the benefit of others. Shares power with followers. Strives to ensure that followers' most important needs are met.

Situational Characteristics

Leader-Member Relations, Task Structure, Position Power

Fiedler's contingency model.

Leader-member relations, task structure, and position power are the situational characteristics identified by

relationship-oriented leaders

Leaders concerned with developing good relations with their subordinates and to be liked by them.

initiating structure

Leaders engage in _____ when they take steps to make sure that work gets done and employees perform their jobs sufficiently

transactional leadership

Leaders that motivate subordinates by rewarding them for high performance and reprimanding them for low performance.

Charismatic Leaders

Leaders who are enthusiastic, committed, and self-confident; who tend to talk about the importance of group goals at a broad level; and who make personal sacrifices for the group.

task-oriented leaders

Leaders whose primary concern is to ensure that subordinates perform at a high level and focus on task accomplishment.

_____ are those organization members who establish and implement procedures and processes to ensure smooth functioning and are accountable for goal accomplishment.

Managers

referent

Managers can increase their _____ power by taking time to get to know their subordinates and showing interest in and concern for them.

1) Employment Planning

Managers ensure that they have the right number and kinds of people in the right places at the right times. Creates an HR plan that achieves goals by: a. Assessing current and future human resource needs. • Conducting Employee Assessments: o Human Resource Inventory - Lists name, education, training, prior employment, languages spoken, capabilities, and specialized skills of each employee in the organization. Used by managers to conduct employee assessments by providing employees' current HR status. o Job Analysis - Analysis of workflow and identification of skills and behaviors necessary to perform a job. Helps determine kinds of skills, knowledge, and attitudes needed to perform each job. Info used to develop/revise job descriptions and job specifications. o Job Description - Describes the job. A written statement that describes what a job holder does, how it's done, and why it's done. Includes job content, job environment, and conditions of employment. o Job Specification - Describes the person. States minimum qualifications that a person must possess to perform a given job successfully. Identifies knowledge, skills, and attitudes needed to do the job effectively. b. Developing a plan to meet those needs. •Determining Future Employment (human resource) Needs: o Demand for human resources (employees) is a result of the demand for the organization's products or services.

are keenly interested in performance.

Managers using job-centered leader behavior:

transactional

Managers who effectively influence their subordinates to achieve goals without making dramatic changes are engaging in _____ leadership.

legitimate

Marco hires new employees, assigns them work, and monitors their performance. What type of power does Marco use?

b) (Cross-Culture Differences in Motivation) Maslow's Need Hierarchy

Maslow's need hierarchy argues that people start at the physiological level and then move up the hierarchy in order > In some countries like Japan, Greece, and Mexico, where uncertainty avoidance characteristics are strong, *security* needs would be on the top of the need hierarchy > Countries that score high on nurturing characteristics, like Denmark, Sweden, Norway, the Netherlands, and Finland, would have *social* needs on top

Traditional Organizational Design -Simple Structure -Functional Structure -Divisional Structure

Mechanistic. •*Simple structure* - Low departmentalization, wide spans of control, authority centralized in a single person, little formalization. Used in small businesses. o Strengths: Fast, flexible, inexpensive, clear accountability. o Weaknesses: As an organization grows, there are few policies to guide operations, which creates information overload at the top and slows decision making. •*Functional Structure* - Groups similar occupational specialties. (Ex: a company organized around functions of operations, finance, HR, and product research and development) o Strengths: Advantages in economies of scale, minimal duplication of personnel and equipment, and more satisfied employees who speak the same language as their peers. o Weaknesses: Organization frequently loses sight of its best interests in the pursuit of functional goals. No single function is totally responsible for results, so members within individual functions become insulated and have little understanding of what people in other functions are doing. •Divisional Structure - Made up of separate business units/divisions. Each division has limited autonomy, and has a division manager who has authority over the unit and is responsible for performance. The parent corporation acts as external overseer to coordinate/control various divisions, and provides legal and financial support services. o Strengths: Focuses on results. Division managers have full responsibility for product/service. It also frees headquarters staff from day-to-day operating details so they can focus on long-term and strategic planning. o Weaknesses: Duplication of activities and resources, which causes costs to increase and efficiency to decrease. (Ex: Each division may have a marketing research department.)

exploration

Multiple failures and experiments generate learning; they also create "luck" and future revenues for innovation and strategic bets

a. She is a charismatic leader.

Nadia, the owner of a sports consultancy, has high expectations of her employees and often expresses confidence in them. She has a lot of self-confidence and a firm conviction in her personal beliefs and the purpose of her firm. Based on this information, which of the following is true of Nadia? a. She is a charismatic leader. b. She has coercive power. c. She has expert power. d. She is a strategic leader.

Big 5 Personality Dimensions

OCEAN -openness to experience (imaginative, cultured, broad minded, flexible) -conscientiousness (dependable, careful, thorough) -extraversion (sociable, talkative, active, ambitious) -agreeableness (courteous, trusting, cooperative) -neuroticism/emotional stability (calm, unemotional, secure)

Which of the following can be defined as a threat according to the five forces model?

Only a few large customers are available to buy an industry's output.

1. Networked Computer System

Organized computers are linked through compatible hardware and software, creating an integrated organizational network. Employees communicate with each other and get information wherever they are.

(Situational Leadership Theory) 4 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 necessary job tasks. Followers are motivated but lack needed skills. R3: People are able but unwilling to do what the leader wants. Followers are competent but don't want to do anything. R4: People are both able and willing to do what is asked of them.

(The Control Process) (2) Compare performance to standard

Range of Variation - although some variation in performance is expected in all activities, it's critical to determine an acceptable range of variation

(Issues) -workplace concerns A) controlling technology usage

Reasons for Technology Control: -employees *misuse* technology >employees are hired to work, not surf the web, watch online videos, or shop >87% of employees look at non-work-related websites while at work, and more than half engage in personal web surfing every day -don't want to *risk being sued* for creating a hostile workplace environment because of offensive messages, inappropriate images, or concerns about racial/sexual harassment -managers want *security* >need to ensure company secrets aren't leaked via social media/internet Because of potentially serious costs, may companies have *workplace monitoring policies* to control employee behavior in a nondemeaning way

_____ is a function of the personal characteristics of a leader and is more informal than the other kinds of power.

Referent power

distributive justice

Refers to perceptions about fairness of what decisions are made regarding distribution of rewards

Leader Style

Relationship Oriented and Task Oriented

Which of the following managers is a servant leader?

Richard, who has a strong desire to work for the benefit of society and enhances the well-being of others

_____ are essential because of the high rate of change in the environment and the difficulty in predicting competitive conditions in the future and because it allows managers to plan flexibly without losing sight of the need to plan for the long term.

Rolling plans

(Situational Leadership Theory) Leader-Follower Relationship

SLT veiws leader-follower relationship like that of a parent and child > Parent needs to relinquish control when child becomes more mature and responsible > As followers reach higher levels of readiness, leader responds not only by decreasing control over activities, but also by decreasing relationship behaviors

A group of managers analyze both the internal strengths and weaknesses of their organization as well as the opportunities and threats of the external environment. What type of analysis is this?

SWOT analysis

A planning exercise that analyzes the internal strengths and weaknesses as well as the external opportunities and threats of the external environment is referred to as:

SWOT analysis.

_____ is the generation of multiple forecasts of future conditions followed by an analysis of how to respond effectively to each of those conditions.

Scenario planning

job analysis

Systematic process of collecting and interpreting information on activities involved in a job

reorientation

Simultaneous change in strategy, work, people, structure, and culture components of the organization

(Issues) a) internet (2) Lack of personal interaction

Social media can minimize personal interaction. Even though "social media" is popular, it poses a critical communication challenge - lack of personal interaction.

coercive

Stacy fired Jan for unethical behavior, exercising _____ power.

HRM (Human Resource Management)

Staffing and HRM decisions and actions are critical to ensuring the organization hires and keeps the right people. The people employed largely determine the quality of the organization.

_____ are used in situations in which programmed decision making is appropriate.

Standing plans

expert

Stanley is a professor of anthropology with years of teaching and research experience. He has also written a few highly acclaimed books. Stanley is offered a job as director of a large museum. This is due to his _____ power.

reward power

The ability of a manager to give or withhold tangible and intangible rewards.

position power

The amount of legitimate, reward, and coercive power that a leader has by virtue of his or her position in an organization; a determinant of how favorable a situation is for leading.

legitimate power

The authority that a manager has by virtue of his or her position in an organizational hierarchy.

(issues) c) Emotional Intelligence (EI)

The best predictor of who will emerge as a leader. Possession of the 5 components of EI - self-awareness, self-management, self-motivation, empathy, and social skills >Will allow an individual to become a star performer >Super important in leadership

Which of the following will most likely be an opportunity according to an organization's SWOT analysis?

The company can take over one of its bankrupt competitors.

equity

The concept of fairness and comparable treatment when compared with others who behave in similar ways. -There's evidence that employees compare themselves to others and that inequities influence how much effort they exert

do not account for situations where leadership is not needed.

The concept of substitutes for leadership was developed because existing leadership models:

empowerment

The expansion of employees' knowledge, tasks, and decision-making responsibilities.

leader-member relations

The extent to which followers like, trust and are loyal to their leader; a determinant of how favorable a situation is for leading.

task structure

The extent to which workers tasks are clear-cut so that a leader's subordinates know what needs to be accomplished and how to go about doing it.

Early Leadership Theories: trait theories

The search for traits or characteristics that differentiate leaders from non-leaders. >When asked, "what do you know about leadership?", most people cite a list of qualities they admire in leaders: intelligence, charisma, decisiveness, enthusiasm, strength, bravery, integrity, self-confidence, etc. >If this concept were valid, all leaders would possess those unique/consistent characteristics, making it very easy to find leaders in organizations. >Despite their best efforts, finding a set of traits to differentiate a leader (person) from a non-leader hasn't happened, but they HAVE identified traits associated with the *process of leadership* (the process, not the person). Early 1900s, researchers began studying leadership and focused on the: -*the person* (leader trait theories) -*the behaviors*: how the leader interacted with their group members (behavior theories)

encouraging innovation

The systems model helps us understand how organizations become more innovative. If an organizations wants outputs, it has to take inputs and transform them into those outputs. •Outputs - innovative products and work methods •Inputs - creative people and groups •The transformation process requires the "right" environment to turn those inputs into innovative products or work methods. The "right" environment that stimulates innovation includes: o Structural variables o Cultural variables o Human resource variables

social loafing / the ringelmann effect

The tendency for group members to exert less individual effort on an additive task as the size of the group increases

Which of the following is true about the trait model of leadership?

The traits it identified had no consistent relationship with leadership effectiveness

the "grapevine"

The unofficial way that communications take place in an organization. >neither authorized nor supported by organization >word of mouth - even electronically >good info travels quickly, but bad info travels even quicker Issue: accuracy -in an organization characterized by openness, grapevine may be extremely accurate -in an authoritative culture, the rumor mill may be inaccurate but still contain some element of truth

(b) Theories X and Y (McGregor)

Theory X (negative) -little ambition -dislike work -avoid responsibility -must be closely controlled Theory Y (positive) -enjoy work -seek and accept responsibility -exercise self-direction -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 -No evidence confirms that either set of assumptions is valid, or that being a Theory Y manager is the only way to motivate employees

_____ managers motivate their subordinates to work for the good of the organization as a whole, not just for their own personal gain or benefit.

Transformational

Why might female managers be more participative than their male counterparts?

They face more resistance to influence than men

Which of the following is true about transformational managers' subordinates?

They make their subordinates aware of their own needs for growth, development, and accomplishment

According to the path-goal theory, which of the following is true about achievement-oriented behaviors?

They motivate subordinates to perform at the highest level possible

advantage of jack robbers

They provide merchandising services to retailers

(Expectancy Theory) Summary of this explanation of motivation

This explanation of motivation summed up in a few 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 >Key is to understand individual's goals, and the links between effort and performance, performance and rewards, and rewards and personal goal satisfaction

d) (Designing Appropriate Rewards Programs) employee recognition

This motivates employees by providing personal attention and expressions of interest, approval, and appreciation for a job well done >84% of organizations had some type of program to recognize achievements, and 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 > (ex: congratulate employee in private or public, or send a handwritten note or email)

A) Leader-Member Exchange Theory (LMX)

This theory: -Leader creates *in-groups* and *out-groups* -Those in the in-groups 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 in-group members have demographic, attitude, personality, and even gender similarities with the leader, or 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

Which of the following would an effective manager do?

Use reward power to show appreciation for subordinates' work

Contemporary Issues Managing Teams

Using global teams has both drawbacks and benefits. •Drawbacks: o Disliking members o Mistrusting team members o Stereotyping o Communication problems o Stress and tension •Benefits o Greater diversity of ideas o Limited groupthink o Increased attention on understanding others' ideas, perspectives, etc. •Global Teams: Team Structure o Conformity o Status o Social loafing o Cohesiveness •Global Teams: Team Processes o Communication issues o Managing conflict o Virtual teams •When Teams are Not the Answer (3 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?

d) (Designing Appropriate Rewards Programs) Pay-for-Performance

Variable compensation plans that pay employees on the basis of some performance measure Types: piece-rate pay plans, wage incentive plans, profit-sharing, and lump sum bonus Measures might include: individual productivity, team/work group productivity, departmental productivity, or overall organization's financial performance -80% of large US companies have some form of variable pay plan (30% Canadian, 22% Japanese)

job enrichment

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

d. It is based on identification, imitation, loyalty, or charisma.

Which of the following is TRUE of referent power? a. It is the power to give or withhold rewards. b. It refers to the power to fore compliance by means of a threat. c. It is derived from information or expertise. d. It is based on identification, imitation, loyalty, or charisma.

charisma

Which of the following is a characteristic of transformational managers?

She is used as a role model by many of her employees.

Which of the following is true about Denise, a manager who has significant referent power?

It suggests that subordinates need to be motivated depending on their nature and that of their work.

Which of the following is true about House's path-goal theory?

It requires managers to spend more time on day-to-day supervision.

Which of the following is true about empowerment?

Female managers tend to hand out more lenient punishments than male managers.

Which of the following is true about male and female managers?

They easily encourage their employees to be creative.

Which of the following is true about managers with high emotional intelligence?

It is the power that comes from respect, admiration, and loyalty.

Which of the following is true about referent power?

The traits it identified had no consistent relationship with leadership effectiveness.

Which of the following is true about the trait model of leadership?

Transformational

_____ managers motivate their subordinates to work for the good of the organization as a whole, not just for their own personal gain or benefit.

a. It inspires new ways of thinking.

Which of the following is true of transformational leadership? a. It inspires new ways of thinking. b. It attempts to establish a warm, friendly, and supportive climate. c. It is derived from information or expertise. d. It leads to fewer learning experiences.

d. Cross-cultural leadership

Which of the following is true of transformational leadership? a. It inspires new ways of thinking. b. It attempts to establish a warm, friendly, and supportive climate. c. It is derived from information or expertise. d. It leads to fewer learning experiences.

Judy, who admits to mistakes when she makes them

Which of the following managers has high emotional intelligence?

c. LMX model

Which of the following situational approaches to leadership stresses the importance of variable relationships between supervisors and each of their subordinates, where each superior-subordinate pair is referred to as a vertical dyad? a. Path-goal theory b. LPC theory c. LMX model d. Vroom's decision tree approach

Use reward power to show appreciation for subordinates' work

Which of the following would an effective manager do?

expert power

Which type of power is based on the specialized knowledge and skills of a leader?

Which method of international expansion poses the greatest amount of risk?

Wholly owned subsidiary

Managers

_____ are those organization members who establish and implement procedures and processes to ensure smooth functioning and are accountable for goal accomplishment.

Legitimate power

_____ is the authority a manager has by virtue of his or her position in an organization's hierarchy.

Transformational

_____ leadership goes beyond ordinary expectations by transmitting a sense of mission, stimulating learning experiences, and inspiring new ways of thinking.

Transformational leadership

_____ makes subordinates aware of the importance of their performance to the organization and aware of their own needs for personal growth, motivating subordinates to work for the good of the organization.

Contingency

_____ models of leadership take into account the situation or context within which leadership occurs.

what happens when groups deviate from norms?

accommodation/ correction/ rejection

According to Henri Fayol, _____ means that managers need to make every attempt to collect and use all available information in the organization's planning process.

accuracy

inventory control

activities to ensure goods are available to meet customers demands (final function of logistics)- firms work hard to track their merchandise so they know where goods are and can easily get them when low-inventory situations occur

practical intelligence

adeptness at solving practical problems of everyday life

unstructured interviews

advantages: interviewers can give information about job, applicants are more comfortable disadvantages: low validity, many biases *person-organization fit not person-job fit

structured interviews & pros and cons

advantages: standardized question to tap job dimensions, adequate validity disadvantages: can be costly to develop, potential for biases

ambient advertising

advertising placed where advertising isnt normally or hasnt ever been seen

follow up

after the sale includes arranging for delivery, payment, and purchase items-- important services

>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 upside - saves travel money

>electronic data interchange (EDI)

allows organizations to exchange business transaction documents (such as invoices or purchase orders) using direct computer-to-computer networks upside - saves time and money by eliminating printing and handling of paper documents

ambidexterity

ambidextrous organizations manage incremental and radical change simultaneously (explore and exploit)

norms meaning

an accepted way of behaviour

horizontal marketing system

an arrangement within a channel of distribution in which two or more firms at the same level work together for a common purpose

utilitarian ethics

an ethical decision made for the higher percentage of people

skype

an example of VoIP- has salespeople on the road to talk to other skype users for free, or very inexpensively to regular phone lines

When he examined Campbell's strengths and weaknesses, Conant was conducting _______.

an internal analysis

hierarchy

an organization's chain of command, specifying the relative authority of each manager

>organizational extranet

an organizational communication network using Internet technology that allows authorized organizational users to communicate with *certain outsiders* such as customers or vendors allows for faster and more convenient communication downside - concerns about network and data security breaches

Managers using job-centered leader behavior

are keenly interested in performance

ice berg model/ levels of organizational culture

artifacts/behaviors, values, assumptions (high to low visibility)

(Perception) Attribution Theory

attempts to explain how we judge people differently depending on what meaning we attribute to a given behavior. This depends on 3 factors: 1) *Distinctiveness* - Does person behave this way in other situations? If yes, likely to give behavior internal attribution (low distinctiveness) If no and it's unusual behavior, likely to give behavior external attribution (high distinctiveness) 2) *Consensus* - Do other people behave the way in similar situation? If yes other people also behave this way, give behavior external attribution (high consensus) If no other people don't usually behave this way, give behavior internal attribution (low consensus) 3) *Consistency* - Does person behave this way consistently? Yes often, give behavior internal attribution (high consistency) No not often, give behavior external attribution (low consistency) **example: For a person who is a bad employee, and is late often: Daniel is late. In this case, internal attribution is bad. Does person behave this way in other situations? Yes, internal attribution (low distinctiveness) Do other people behave this way? No, internal attribution (low consensus) Does person behave this way consistently? Yes, internal attribution (high consistency)

2 forces driving homogeneity in organizational cultures

attraction, selection attrition// socialization processes

Consider Pepsi's snack business. If Pepsi purchased the farms that grow the potatoes and corn used to make its snack chips, it would be engaging in ______.

backward vertical integration

Intellectual Stimulation

behavior a leader engages in to make followers be aware of problems and view these problems in new ways, consistent with the leader's vision

development consideration

behavior a leader engages in to support and encourage followers and help them develop and grow on the job

Initiating structure

behavior that managers engage in to ensure that work gets done, subordinates perform their jobs acceptably, and the organization is efficient and effective

intrinsic motivation

behaviour performed for owns sake (eg. sense of accomplishment)

tools for finding people with the right KSAs

biographical information, tests, interviews, references, internships

implementing strategy

building effective teams, designing jobs, establishing formal structures and systems, selecting and motivation employees, building a good organization culture, understanding and utilizing informal networks

3) authority and responsibility

clarifying who reports to who = chain of command •Authority - the rights inherent in a managerial position to give orders and expect those orders to be obey o Line authority - entitles a manager to direct work of an employee according to the chain of command o Staff authority - functions that support, assist, advise, and generally reduce some of their informational burdens Unity of command - structure in which each employee reports to only one manager •Responsibility - when employees are given rights, they also assume a corresponding obligation to perform and be held accountable for their performance •Authority vs Power: o Authority - a right and its legitimacy depends on an authority figure's position; it goes with the job o Power - an individual's ability to influence decision • Types of Power: o Coercive power - based on fear o Reward power - ability to distribute something that others value o Legitimate power - based on one's position in the formal hierarchy o Expert power - based on expertise, skill, knowledge o Referent power - based on identification with a person who has desirable resources or personal traits

Team Effectiveness Pyramid: compelling direction

clear, challenging, consequential

strong ties

close contacts; highly motivated to help

A manager threatens to withhold support and rewards as a way to influence a person. Which of the following forms of political behavior does this scenario indicate?

coercion

Stacy fired Jan for unethical behavior, exercising _____ power.

coercive

producer-wholesaler-retailer-consumer channel

common in consumer marketing of products such as ice cream as well as fashion products

2) departmentalization

common jobs are grouped together a. Functional - work performed (engineering, accounting, IT, HR) o Achieves economies of scale by placing people with common skills/specializations into common units o Cross-Functional Teams - teams comprised of individuals from various departments who tackle complex tasks in which diverse skills are needed b. Product - major product areas (women's footwear, apparel, accessories) o Increases accountability for product performance b/c all activities related to a specific product are under one manager c. Customer - based on customers' problems and needs (retail, wholesale, gov't) d. Geographic - location served (northern region, west region, Tidewater) e. Process - groups activities based on work or customer flow (found in states' motor vehicle offices and in healthcare clinics; testing, payment)

hybrid marketing system

companies combine channels, direct sales, distributors, retail sales, and direct mail to reach a target market (combination of channels and comm methods)

Indra Nooyi does not want to separate the snack and beverage sides of Pepsi. She feels that doing so would lessen Pepsi's __________.

competitive advantage

Those who would like to see Pepsi decouple its soft beverage and snack businesses feel the company would do better by using a strategy of ______.

concentration on a single industry

3 c's of commitment

connection contribution credibility

situational approach to leadership

contingency elements of leadership theory task readiness theory

As a part of its yearly planning activities, PDQ Financial Services generates a list of possible future scenarios and creates a plan to respond to each of these forecasts. PDQ Financial Services is practicing

contingency planning

advantages of strong organizational culture

coordination & behavior, energizing, distinctiveness, competitive advantage?

The highest level of decision making, which involves decisions by the members of the top management concerning the organization's goals, overall strategy, and structure, is the _____ plan.

corporate-level

There has been a rapid increase in the percentage of the population of a third-world nation switching to cellular technology in recent years. A major multinational telecommunication services company decides to take advantage of this change and plans to set up an industry in the country with the intention of dominating the country's telecommunication market. This is an example of a _______ strategy.

corporate-level

Top management's decisions pertaining to the organization's mission, overall strategy, and structure constitute an organization's

corporate-level plan

private sector (3)

corporations partnerships sole traders

important considerations of tests

cost effectiveness, fairness, validity, reliability, applciability

what marketers do

create and manage publicity, which is unpaid media exposure about a company

eco-effectiveness/efficiency

creating less enviromental impact

Oscar heads the communications division of a large international organization. As part of his job, he is required to travel to a number of countries and interact with employees in each country. Which of the following will help Oscar excel at his job?

cross-cultural leadership

decentralized structure

decentralized organizational structures give a larger number of managers at lower levels of the hierarchy more responsibility and autonomy in making decisions and providing direction

5) centralization vs. decentralization

decision making at upper levels (centralization) vs. lower levels (decentralization)

To determine an organization's missions and goals, managers must first

define its business

In large organizations the functional level of management is also known as the _____ of management.

departmental level

The first step in planning for an organization is

determining the organization's missions and goals

An automobile manufacturing company decides not to reduce the prices of its sedans despite a fall in prices of sedans across the automobile industry. This is because the company offers a higher mileage on its sedans when compared to its competitors. The company is applying a _____ strategy.

differentiation

With a _____ strategy, managers distinguish the organization's products from those of competitors on dimensions such as quality and product design.

differentiation

_____ raises costs and forces companies to raise the prices of their products.

differentiation

direct response advertising

direct marketing approach that allows the consumer to respond to a message by immediately contacting the provider to ask questions or order the product

m-commerce

direct marketing approach that involves promotional and other e-commerce activities transmitted over mobile phones and other mobile devices, such as smartphones and personal digital assistants

Men tend to be stereotyped as being

directive

weak ties

distant contacts; have access to more diverse information, leads, etc

A corporate-level strategy that involves a company entering an industry it was previously not associated with in order to produce and distribute new kinds of goods and services is called _____.

diversification

In general, ______ refers to the corporate-level strategy of expanding a company's business operations into a new industry in order to produce new kinds of valuable goods or services.

diversification

disadvantages of a strong organizational culture

diversity may be lacking, misconduct may be overlooked, adaption may be difficult, M&A culture clashes

1) work specialization

division of work activities into separate job tasks (football manufacturing: molding, stitching, sewing, lacing)

The concept of substitutes for leadership was developed because existing leadership models:

do not account for situations where leadership is not needed

3 major factors of motivation

effort, performance, outcomes

A high level of _____ may help leaders develop a vision for their organizations, motivate their subordinates to commit to this vision, and energize them to enthusiastically work to achieve this vision.

emotional intelligence

Corby Motors allows assembly-line workers to discard parts that do not meet quality standards without needing the permission of their manager first. This is an example of

employee empowerment

The serving staff at Mary's Diner does not have to check with their supervisor before offering customers free dessert when the customers are dissatisfied with their dine-in experience. This is an example of

employee empowerment

4) span of control

employee experience/training (more they have = larger span), similarity of employee tasks (more similarity = larger span), complexity of tasks (more complex = smaller span)

autonomy

employee has freedom to schedule tasks and carry them out

skill variety

employee uses a wide range of skills

job enrichment

employees have insight into their jobs, people are intrinsically motivated -- THEORY Y

difference between motivation and engagement

engagement you believe your manager is commited, you have opportunities to go further through the job, and silo is minimised motivation is understanding how each employee likes to be managed

operational agility

exploiting revenue-enhancing and cost-cutting opportunities within core business quickly, effectively, and consistently

Which method of international expansion causes the least amount of risk?

exporting

cost leadership

favors efficiency, favors a centralized organizational structure

differentiation strategy

favors flexibility, favors a decentralized organizational structure

spotting allowances

fees paid by producers to large retailers for access to premium shelf space (ex. for grocery stores)

flat organization

fewer levels of authority, wider spans of control; can result in quick communications but also lead to overworked managers

why are hierarchies valuable?

fill our needs for order and security, show us how fast we are climbing the ladder of success, give us identity

alliance netowrks

firms can unlock 3 key advantages from their alliance networks: information, cooperation, power

According to Henri Fayol, an effective plan should have four qualities, namely, unity, continuity, accuracy, and

flexibility

person-organization fit

focus is on shared norms, values, beliefs, attitudes

stable environment

focus on efficiency, favors centralized structures

turbulent environment

focus on flexibility, favors decentralized structures

In pursuing a _____ strategy, managers aim to make their organization the lowest-cost company serving a few segments of the overall market.

focused low-cost strategy

Trait Model

focused on identifying personal characteristics that cause effective leadership

socialization

formal and informal ways of communicating the values and norms of an organization

reward systems

formal reward systems: formal rewards, formal sanctions informal rewards: informal rewards, informal sanctions

A fast-food chain is looking to expand its business on a global scale by allowing interested parties in different parts of the world to open fast-food joints under its brand name. These interested parties must pay an initial fee to the owner of the fast-food chain and additionally pay a portion of profits on a monthly basis. This is an example of a(n) _____.

franchise

Typically ______-level goals and strategies require intermediate- and short-term plans.

functional

The SUV division of a major automobile corporation decides to release a new model a month ahead of its stated release and notifies all the departments associated with the division. The departmental managers must alter their _____ plan to accommodate the earlier release date.

functional-level

The decisions pertaining to the goals that a department's manager proposes to pursue to help the division attain its business-level goals is called a(n) _____.

functional-level plan

what tools/analysis can you use to support step 1 of the 7 steps of change

gap analysis force field analysis

imagining: searching for solutions (1) seven steps

generate alternative soloutions

Participative behaviors

give subordinates a say in matters and decisions that affect them

A multinational organization is extremely confident about its latest product and releases a single version of the product across the world. The organization is adopting a(n) _____ with its new product.

global strategy

Most electronic goods have the option of changing the operating language. This is done by manufacturers so that the same electronic device can be supplied and marketed around the world. The manufacturers in this case are applying a(n)

global strategy

goal-setting theory

goals should be SPECIFIC, DIFFICULT, ACCEPTED, provide FEEDBACK

how to change an organizational culture?

goals, people, reward systems, culture, structure

public sector

government departments statutory authoritites

teams

groups whose members work intensively together within or across organizations to achieve a specific common goal or objective

laissez-faire leaders

hands off approach and lets employees make their own decisions, lots of freedom - little guidance

when is task conflict helpful? when is task conflict bad?

helpful: non-routine tasks (collaboration) not helpful: routine tasks

what is a strong organizational culture?

high agreement, high intensity

6) formalization

how standardized jobs are and the extent to which employee behavior is guided by rules and procedures

Permanent, ongoing, intense competition brought about in an industry by advancing technology or changing customer tastes is called _____.

hypercompetition

herzberg 2 needs theory

if 2 or more hygiene factors are not met, the employee will become unmotivated

what type of rewards are more motivating?

if you are intrinsically motivated, having extrinsic rewards as well can undermine your motivation

After defining new corporate strategies to accomplish the organization's mission and goals, managers face the challenge of

implementing the strategies.

A company intends to expand internationally but wants avoid risk or uncertainty to the highest degree possible. The organization is most likely to pursue its global operations through _____.

importing and exporting

Conant used a SWOT analysis as the initial step _______.

in creating a turnaround strategy for the company

job enrichment

increasing the degree of responsibility a worker has over a job

job enlargement

increasing the number of tasks for a given job

manufacturers' agents or reps

independent salespeople who carry several lines of noncompeting products- they have contractual arrangements with manufacturers that outline their territories, selling prices, and other specific aspects of the relationship but provide little, if any, supervision

A transformational manager engages and empowers subordinates to take personal responsibility for solving problems through

intellectual stimulation

objectives of PR

introduce new products, influence government legislation, enhance organizational image, manage a crisis, call attention to a firms community involvement

Just in Time

inventory management and purchasing process that manufacturers and resellers use to reduce inventory to very low levels and ensure that deliveries from suppliers arrive only when needed

guerrilla marketing

involves ambushing consumers with promotional content in places they don't expect to encounter such messages

prospecting

involves identifying and developing a list of potential or prospective customers

silo meaning

is an attitude, generally when managers dont want to share information with employees

-goal commitment

is most likely to happen when goals are made public, when the individual has an internal locus of control, and when the goals are self-set (rather than assigned)

Which of the following is true of transformational leadership?

it inspires new ways of thinking

According to the path-goal theory of leadership, which of the following is true of directive leadership behavior?

it lets subordinates know what is expected of them

A(n) ______ is a strategic alliance among two or more companies that agree to establish a business together and share the ownership.

joint venture

Japanese consumer electronics company Sony Corporation and the Swedish telecommunications company Ericsson combining a part of their resources to manufacture mobile phones is an example of a(n)

joint venture

tacit knowledge

knowledge about how to do things

Amanda exerts influence over other people and motivates and directs their activities so that they work toward organizational goals. Amanda is known as a

leader

According to Fiedler, _______ is the extent to which subordinates trust and are loyal to their superior.

leader-member relations

Relationship-Oriented Leaders

leaders whose primary concern is to develop good relationships with their subordinates and to be liked by them

Task-Oriented Leaders

leaders whose primary concern is to ensure that subordinates perform at a high level

behavioural approach to leadership (4)

managerial grid the continuum of leadership styles consideration and structure x & y theory

_____ are those organization members who establish and implement procedures and processes to ensure smooth functioning and are accountable for goal accomplishment.

managers

wide span of control

managers have a larger number of subordinates reporting to them

narrow span of control

managers have a smaller number of subordinates

scientific management

managers know best, people are extrinsically motivated -- THEORY X

similar to me/homophily bias

managers rate people like themselves higher

salience effect

managers rate people more extremely when they do not fit the stereotypical image of a role

halo effect

managers rate people with high-status characteristics higher

sales presentation

many sales involve a formal sales presentation- which lays out the benefits of the product and its advantages over the competition- salesperson directly communicates the value proposition to the customer and invites two-way communication

ways to reward

material (vouchers), praise (monthly awards), psychological rewards (recognition)

intensive distribution

maximize coverage by selling through as many outlets as possible

what motivates people?

meaningful work, goals, rewards, justice

A(n) _____ broadly defines an organization's purpose—what it is seeking to achieve from its activities—identifies what is unique or important about its products to its employees and customers, and also distinguishes or differentiates the organization in some ways from its competitors.

mission statement

behavioral control

moderate: direct supervision, management by objectives, rules and standard operating procedures

formulating strategy

monitoring the general and competitive environment, deciding which businesses to compete in, deciding how to compete in those businesses, setting goals and metrics, satisfying stakeholders

NGO's

non government organisations

3 sectors

not for profit private public

what causes change to fail?

not involving others through everything

1) "Calm Waters" Metaphor

o Envisions the organization as a large ship crossing a calm sea o Change appears as the occasional storm, a brief distraction in an otherwise calm and predictable trip o Successful change requires unfreezing status quo, changing to a new state, and refreezing the new change to make it permanent. o The status quo can be considered a state of equilibrium. o Unfreezing is necessary to move from this equilibrium and can be achieved in one of three ways: 1) The driving forces, which direct behavior away from the status quo, can be increased 2) The restraining forces, which hinder movement from the existing equilibrium, can be decreased 3) The two approaches can be combined

Group Behavior

o Roles - behavior patterns expected of someone occupying a given position o Norms and conformity - acceptable standards shared by group (effort & dress) o Status systems - a prestige grading, position, or rank within a group o Group size Social loafing - reducing effort due to dispersion of responsibility o Group cohesiveness - degree to which member are attracted to one another and share group's goals

channel cooperation

occurs when producers, wholesalers, and retailers depend on one another for success

transportation and storage

occurs when retailers and other channel members move the goods from the production point to other locations where they can hold them until consumers want them

groupthink

occurs when the drive to achieve agreement among all group members overrides realistic appraisal of alternative courses of action particularly likely when: group is highly cohesive, strong leader with known preferences, insulated from outside influences

simple structure

oldest and most common organizational form: -highly informal -staff serve as extension of the top executive's personality -coordination of tasks by direct supervision -decision making is highly centralized -little specialization of tasks, few rules and regulations, informal evaluation and reward system

Distorted Attributions

one of the most interesting findings drawn from attribution theory is that *errors or biases distort 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 (give too much credit to employee) • *Self-serving Bias*: The tendency for individuals to attribute their successes to internal factors (ability/effort) while putting the blame for failures on external factors

corporations (2)

proprietary limited company (pty ltd) public companies (ltd)

intermediaries

provide an assortment or products that customers can buy in the same location, thereby reducing the number of consumer transactions that are necessary and reducing the cost of obtaining a product

idiosyncrasy credits

provide some freedom to violate group norms without punishment, for people who have contributed a lot in the past

creating assortment

provide variety of products in one location, so customers can conveniently buy many different items from one seller

expertise diversity (deep-level)

provides variety of information and perspectives-- better ideas, better performance

Political behavior in organizations can be managed by:

providing subordinates with feedback

what shapes personal networks?

proximity, homophily, shared activities, institutional environments

breaking bulk

purchase large quantities of goods from producers but sell only one or a few at a time to many different customers

According to Fiedler, what type of leaders are primarily concerned with developing good relationships with their subordinates and being liked by them?

relationship-oriented leaders

centralized structure

rely on a small number of top managers to make decisions and provide direction for the company

social capital

resources you can access through your network of contacts

indirect channel

retailers, wholesalers, or even multiple wholesalers are added to the distribution channel. as each intermediary is added, the final cost to the customer increases

A manager who controls salary increases, bonuses, and interesting job assignments has ____ power

reward

When Mark brought in a large client for the bank, Danielle gave Mark a significant bonus. What type of power was Danielle using?

reward

formal systems: facilitating organizational integration

reward systems, control systems, performance evaluation systems, budgeting systems, hiring systems

Team Effectiveness Pyramid: supportive context

rewards, information, training, resources

Team Effectiveness Pyramid: strong structure

right people-- enablers

A _____ plan enables managers to make midcourse corrections if environmental changes warrant or to change the thrust of the plan altogether if it no longer seems appropriate.

rolling

Because of the hostile external environment, AKY Consulting treats its multiyear corporate-level plan as a _____ plan in order to maintain flexibility without losing sight of the need to plan for the long term.

rolling

Managers at ANC Inc. operate with planning horizons greater than five years. The top managers are concerned about changing conditions in the external environment. It is difficult to predict competitive conditions five years in the future, so they implemented a plan that involves regular reviews and updates in all levels of the company. The plan enables the company to respond quickly and make adjustments as necessary. This is an example of a(n) _____ plan.

rolling

A firm has a formal, written guide regarding its zero-tolerance attitude toward sexual harassment and the consequences of its violation. By definition, this is a _____ of the firm.

rule

technical specialist

sales support person with a high level of technical expertise who assists in product demonstrations

preapproach

salespeople try and learn as much as possible about prospects

-feedback

self-generated is more powerful motivator than from someone else

order processing

series of activities that occurs between the time an order comes into the organization and the time a product goes out the door

What type of leaders share power with followers and strive to ensure that followers' well-being is enhanced?

servant leaders

inter-organizational netowrk

set of relationships among firms

intra-organizational network

set of relationships among the employees or units in an organization

private sector owners

shareholders private individuals investors

Melinda, the CEO of an international fast-food chain, is widely known for her strategic leadership. It follows that the quality she is best known for is that:

she has a firm grasp of the organizations environment

Nadia, the owner of a sports consultancy, has high expectations of her employees and often expresses confidence in them. She has a lot of self-confidence and a firm conviction in her personal beliefs and the purpose of her firm. Based on this information, which of the following is true of Nadia?

she is a charismatic leader

portfolio agility

shifting resources (eg. money, talent, attention) quickly and effectively from less promising to more attractive business areas

Supportive Behaviors

similar to consideration and include expressing concern for subordinates and looking out for their best interests

Directive Behaviors

similar to initiating structure and include setting goals, assigning tasks, showing subordinates how to complete tasks, and taking concrete steps to improve performance

_______ plans are developed to handle nonprogrammed decision making in unusual or one-of-a-kind situations.

single-use

Projects and programs, both of which are specific action plans created to complete various aspects of a program, are types of _____.

single-use plans

product review sites

sits like tripadvisor, yelp, and angie's list enable people to post stories about their experiences with products and services are called

the 3rd tier of maslows hierarchy of needs

social

According to the path-goal theory, _____ are similar to consideration and include expressing concern for subordinates and looking out for their best interests.

supportive behaviors

how can the 3rd tier of maslows hierarchy be achieved?

social needs friendly work relations supportive managers trust feedback helping others

organisational code of ethics

societal, professional, individual

personal leadership style

specific ways in which a manager chooses to influence other people- shapes how that manager approaches planning, organizing, and controlling

strategic agility

spotting and seizing game-changing opportunities

A __________ is a written set of instructions which describes the series of actions that a manager should take in a specific situation.

standard operating procedure

Policies, rules, and standard operating procedures (SOPs) are all types of _____ plans.

standing

In a ____________, managers pool or share their organization's resources and know-how with a foreign company and the two organizations share the rewards and risks of starting a new venture.

strategic alliance

Employees tend to be motivated and perform better if they are taken in by the vision of the top managers of their organizations. It therefore becomes essential for top managers to develop a strong sense of

strategic leadership

The ability of the CEO and top managers to convey a compelling vision of what they want to achieve to their subordinates is called _____.

strategic leadership

A(n) _____ is a group of related managerial decisions and actions to help an organization achieve one of its goals.

strategy

Recognizing goals, managing resources, and determining the actions leading to the achievement of the goals are collectively called an organization's _____.

strategy

what drives structure?

strategy + environment = need congruence

The most important part of the SWOT analysis at Campbell was the ________.

strategy Conant put in place as a result of the analysis

what shapes intra-organizational networks

strategy, teams, work design, formal structure, people, informal culture

physical abilities

strength, flexibility, stamina, speed

the most effective organizational cultures are

strong, strategically relevant, open to change, encourages risk-taking

selective distribution

suitable for most shopping products, such as household appliances and electronic equipment for which consumers are willing to spend time visiting different retail outlets to compare alternatives

the single most critical factor in the selection factor

suppliers ability to make on-time deliveries! often suppliers agree to set up production facilities close to large customers to guarantee JIT delivery

Women tend to be stereotyped as being

supportive

According to LPC theory, the most and least favorable situations call for _______

task-oriented leadership

public sector owners

taxpayers

According to the Managerial Grid, _______ is characterized by work accomplishment from committed people and interdependence through "a common stake" in the organizations purpose

team management

groupshift

tendency of groups to move to extreme positions: -more arguments aired -more commitment to positions -diffusion of responsibility -familiarity -cultural values

coercive power

the ability of a manager to punish others.

position Power

the amount of legitimate, reward, and coercive power that a leader has by virtue of his or her position in an organization; a determinant of how favorable a situation is for leading

organizational agility

the capacity to identify and capture opportunities more quickly than rivals do

public relations

the communications function that seeks to build good relationships with an organizations publics

congruence

the degree to which the various components of the organization are aligned with each other (inputs, strategy, work, people, structure, culture etc)

interdependence

the degree to which workers/groups in an organization rely upon each other to accomplish their own tasks and the organization's goals

Leader-Member Relations

the extent to which followers like, trust, and are loyal to their leader; a determinant of how favorable a situation is for leading

Task Structure

the extent to which the work to be performed is clear-cut so that a leader's subordinates know what needs to be accomplished and how to go about doing it; a determinant of how favorable a situation is for leading

group dynamic influences

the job the group/members leader-manager the environment position/power

supply chain management

the management of flows among firms to maximize total profitability

managerial grid

the relationship between the concern for the people vs the output of work

differentiation & integration

the right levels of differentiation and integration depend on the complexity of the environment -more complex environments require more differentiation -higher levels of differentiation require more integration **the more differentiated an organization, the more difficult it is to achieve integration

personal network

the set of relationships critical to your ability to get things done, get ahead, develop professionally, and enjoy yourself

online distribution piracy

the theft and unauthorized repurposing of intellectual property via the internet

The pharmaceutical industry is extremely dynamic. A company that releases a product to the general public with the intention of keeping prices high may see quick competition arising from other products made from different compounds that perform the same functions as the company's product. According to the five forces model, this type of threat is called

the threat of substitute products

breaking bulk and creating assortments

the two ways distribution channels create efficiencies by reducing the number of transactions necessary for goods to flow from many different manufacturers to a large number of customers

Characteristics of Subordinates

their skills, abilities, experience, knowledge, and motivation that can be substitutes for leadership

advantage of merchant wholesalers

they allow small manufacturers to serve customers throughout the world with competitive costs

Which of the following is true of leaders using consideration behavior?

they attempt to establish a friendly and supportive climate

advantage of jack robbers

they provide merchandising services to retailers

Behavior Model

this model specifies that the best predictor of future job behavior is past behavior performed under similar circumstances. Consideration and Initiating Structure

In performing a SWOT analysis, a furniture company realized that the number of competing firms in its industry was increasing. The company would classify this as a(n)

threat

Customers' changing demand for more healthful, low-salt soups was a(n) ______ Campbell.

threat to

>internet-based voice/video communication

through services like Skype, Viber, FaceTime, Vonage, and Yahoo! allows fast and convenient communication downside - concerns about network and data security breaches

approach

time to contact the prospect

pyramid of management (5)

top senior middle first line non managment

All of the following are true about ethical leadership EXCEPT:

top managers are being scrutinized less than ever before

path-goal theory

what leaders can do to motivate their subordinates to achieve group and organizational goals. The premise of path-goal theory is that effective leaders motivate subordinates to achieve goals by (1) clearly identifying the outcomes that subordinates are trying to obtain from the workplace (2) rewarding subordinates with these outcomes for high performance and the attainment of work goals (3) clarifying for subordinates the paths leading to the attainment of work goals. Four kinds of leadership Directive Behaviors Supportive Behaviors Participative Behaviors Achievement-Oriented Behaviors

needs to motivate

what the basic needs are what people need from their work what happens when their needs are not met

value statement

what we stand for

communication and transaction functions

when channel members develop and execute both promotional and other types of communication among members of the channel

disintermediation

when intermediaries fail to provide unique value

Consideration

when managers show their subordinates that they trust, respect, and care about them.

involuntary redundancy

when people are "let go" because there is no work for them

poor use of personal selling

when the dollar amount of individual purchases is low

pull turnover

when the organisation is good but the less engaged employees are often 'pulled' by other organisations

push turnover

when the organisation is so bad it pushes people out

person-job fit

when the person filling a job possesses the necessary knowledge, skills, and abilities to adequately perform it

vison statement

where we are heading

step 1: seven steps

who, what, when, where & how

Nokia has established production operations in foreign countries to sell its phones in those regions. The production operations perform as separate entities without any local direct involvement. These production operations are _____ of Nokia.

wholly owned foreign subsidiaries

stakeholders

wider society customers employees owners suppliers closer community

task significance

worker feels the task is meaningful to the organization

feedback

worker gets direct information about how well the job is done

task identity

worker is involved in all tasks of the job from the beginning to end of the production process

Work Design Elements that Enhance Team Member Motivation:

• Autonomy • Using a variety of skills • Completing a whole and identifiable task/product • Impact of task/project on others

Team Processes - 5 team process variables

• Common plan/purpose • Specific goals • Team efficacy • Task conflict • Minimal social loafing

causes of stress

• Job Related - pressures to avoid errors or complete tasks in a limited time period; changes in the way reports are filed; a demanding supervisor; unpleasant coworkers o Task demands o Role demands o Interpersonal demands o Organization structure o Organizational leadership • Personal - family issues, personal economic problems, etc. o Family and personal issues o Personality type Type A personality Type B personalities

2) Recruitment and Downsizing

• Job description and job specification important • Recruitment - the process of locating, identifying, and attracting capable applicants • Downsizing - Planned elimination of jobs when an organization has too many employees. o Layoff-Survivor Sickness - A negative consequence of downsizing. A set of attitudes, perceptions, and behaviors of those who survive involuntary job loss. Symptoms include job insecurity, perceptions of unfairness, guilt, depression, stress from increased workload, fear of change, loss of loyalty and commitment, reduced effort, and unwillingness to go beyond minimum.

Team Composition/Roles

• Member abilities • Personality • Role allocation • Diversity • Size of teams • Member flexibility • Member preferences

Shaping Team Behavior

• Member selection is key • Teamwork training / performing well

Team Effectiveness

• Objective measures • Managers' rating of team performance • Aggregate measure of member satisfaction • Key components of effective teams include: o Context o Team's composition o Work design o Process variables

Structural Variables and Innovation

• Organic structures • Availability of plentiful resources • Frequent communication • Minimize time pressures • Work and non-work support

Types of Work Teams

• Problem-solving teams • Self-managed work teams • Cross-functional teams • Virtual teams

Important Influences on the Human Resource Management (HRM) Process

• The Legal Environment - Primary environmental force that affects an organization. HRM practices are governed by laws affecting areas of equal employment opportunity and discrimination, compensation and benefits, and health and safety. • Affirmative Action Programs - Ensure that decisions and practices enhance the employment, upgrading, and retention of members of protected groups, such as minorities and females. Along with reducing employment discrimination and unfair employment practices, these regulations have also reduced management's control over HR decisions. Trying to balance the "shoulds and should nots" of these laws affecting HR. • Work Councils - Link employees with management. They are groups of nominated or elected employees who must be consulted when management makes decisions involving personnel. • Board Representative - Employees who sit on a company's board of directors and represent the interest of the firm's employees.

Mechanistic Model

•(Or bureaucracy) Rigid and tightly controlled structure •Combines traditional aspects of all six elements of an organizational structure: high specialization, rigid departmentalization, clear chain of command, narrow span of control leading to taller structure, centralization, and high formulation •Stable environment

employee stress

•Stress - The adverse reaction people have to excessive placed on them from extraordinary demands, constraints, or opportunities. •Just because the conditions are right for stress to surface doesn't always mean it will. Two conditions necessary for potential stress to become actual stress: o First, there must be uncertainty over the outcome o Second, the outcome must be important

Reasons for Resistance to Change

•Uncertainty •Habit •Fear of personal loss - status, money, authority, friendships, personal convenience •Belief that change is not in the organization's best interest

Contemporary Organizational Design -Boundaryless Organizations -Team Structure -Project Structure

•*Boundarlyess Organizations* - Design not imposed by a predefined structure. Eliminates horizontal and vertical boundaries, and break down external barriers between company and customers and suppliers. Two types: Internal and External. o Internal boundaries - The horizontal ones imposed by work specialization and departmentalization, and the vertical ones that separate employees into organizational levels and hierarchies. o External boundaries - Separate the organization from its customers, suppliers, and other stakeholders. To minimize or eliminate these boundaries, managers might use virtual or network structural designs. Virtual organization - Small core of full-time employees and outside specialists temporarily hired as needed. By relying on freelancers, an organization enjoys a network of talent without unnecessary overhead and structural complexity. Network organization - (or modular organization) Uses its own employees to do some work activities, and networks outside suppliers to provide other needed product components or work processes. •*Team Structure* - The entire organization is made up of work teams that do the organization's work. Employee empowerment is crucial because there is no line of managerial authority from top to bottom. In large organizations, it usually complements a functional or divisional structure to allow for efficiency of a bureaucracy with flexibility of teams. •*Project Structure* - Employees continuously work on projects. No formal departments to which employees return at the completion of projects. All work performed by teams.

Attitudes and Consistency

•*Cognitive dissonance* - any incompatibility/inconsistency between attitudes or between behavior and attitudes o inconsistency is uncomfortable, so individuals try to reduce the discomfort and thus, dissonance o How hard we try to reduce dissonance determined by 3 things: The *importance* of the factors creating the dissonance The degree of *influence* the individual believes he or she has over those factors The *rewards* that may be involved in dissonance

Strategies to Reduce Resistance

•*Education and communication* - helps employees see logic of change effort, but this assumes that much of the resistance lies in misinformation or poor communication •*Participation* - bringing those individuals directly affected by change into the decision-making process •*Facilitation and support* - helping employees deal with fear and anxiety associated with change (counseling, therapy, new skills training, short paid leave of absence) •*Negotiation* - exchanging something of value in order to lessen the resistance •*Manipulation and co-optation* - Refer to covert attempts to influence others about the change. These tactics may involve twisting or distorting facts to make the change appear more attractive. •*Coercion* - use of direct threats or force against the resisters

Personality Theories •Myers-Briggs Type Indicator (MBTI) •Big Five Model of Personality •Emotional Intelligence (EI)

•*Myers-Briggs Type Indicator (MBTI)* - assessment using 4 dimensions of personality to identify 16 different personality types based on the responses to an approximately 100-item questionnaire •*Big Five Model of Personality* - 1) Extraversion 2) Agreeableness 3) Conscientiousness 4) Emotional Stability 5) Openness to Experience •*Emotional Intelligence (EI)* - an assortment of non-cognitive skills, capabilities, and competencies that influences a person's ability to cope with environmental demands and pressures 1) Self-awareness 2) Self-management (of your emotions and impulses) 3) Self-motivation 4) Empathy 5) Social skills

Learning Theories -Operant Conditioning -Social Learning Theory -4 ways to shape behavior

•*Operant Conditioning* - Says behavior is a function of its own consequences. Operant behavior is voluntary: people learn to behave to get something they want or to avoid something they don't want. Reinforcement strengthens behaviors •*Social Learning Theory* - Says people learn through both observation and direct experience. a) *Attentional processes* - learn from a model b) *Retention processes* - influence depends on how well individual remembers model's action c) *Motor reproduction processes* - after a person has seen a new behavior by observing the model, the watching must become doing d) *Reinforcement process* - individuals motivated to exhibit modeled behavior if positive incentives/rewards are provided •Shaping Behavior (4 ways) a) Positive reinforcement - giving reward b) Negative reinforcement - taking something away that makes it unpleasant c) Punishment - penalizes undesirable behavior d) Extinction - ignoring a behavior, making it gradually disappear

Perceptual Shortcuts

•*Selective Perception* - People can't possibly observe everything, they're selective in their perception; allows us to "speed read" •*Assumed Similarity* - It's easy to judge others if we assume that they're similar to us; if you want challenges in your job, you'll assume others want the same thing •*Stereotyping* - Judging someone based off our perception of a group they're part of; saying that married people are more stable employees than single people •*Halo effect* - Forming a general impression about a person based on a single characteristic, such as intelligence, sociability, or appearance

Internal Factors that create the need for organizational change:

•*Strategy* o Ex: Bringing in new equipment can result in employees facing job redesign, undergoing training, or establishing new interaction patterns within their work groups •*Composition of workforce* - in terms of age, education, gender, nationality, etc. o Ex: A stable organization in which managers have been in their positions for years might need to restructure jobs to retain more ambitious employees and to rework the compensation and benefits systems to reflect the needs of a diverse workforce and to respond to market forces in which certain skills are in short supply •*Employee attitudes* - may lead to increased absenteeism, resignations, and strikes o Ex: Job dissatisfaction

Attitudes in Job Performance

•Attitudes - evaluative statements, either favorable or unfavorable, concerning objects, people, or events •Made up of 3 components: cognition, affect, behavior; usually refers to only the affective component •Important job-related attitudes: o Job satisfaction - general attitude toward job o Job involvement - degree to which one identifies with job o Organizational commitment - loyalty, identification with, and involvement o Employee engagement - passionate and deeply connected

Rewards

•External rewards: o Promotions o Pay raises o Other forms of recognition •Inherent rewards: o Camaraderie o Personal development o Helping teammates

Contemporary Issues in OB

•Generational differences o Gen Y (born 1982-1997): High expectations of themselves and employers Expect ongoing learning Expect immediate responsibility Goal oriented •Negative behaviors

4) Orientation

•Goals: o Reduce initial anxiety o Familiarize with the job, the work unit, and the organization as a whole o Facilitate the outsider-insider transition •Types: o *Job Orientation* - Expands on the information the employee obtained during recruitment and selection stages, clarifies duties and responsibilities as well as evaluation, and corrects unrealistic expectations. o *Work Unit Orientation* - Familiarizes with goals of work unit, clarifies how their job contributes to unit's goals, and introduction to coworkers. o *Organization Orientation* - Informs about organization's goals, history, philosophy, procedures, and rules. This includes HR policies such as hours, pay, overtime, benefits, and a tour of physical facilities. Managers responsible for smooth and anxiety-free integration.

-Group -Formal Groups -Informal Groups

•Group - two or more interacting and interdependent individuals who come together to achieve specific goals •Formal Groups - work groups that are defined by the organization's structure and have designated work assignments and specific tasks directed at accomplishing organizational goals o Command groups - determined by organization chart and composed of individuals who report directly to a given manager o Task groups - complete a specific job task; temporary existence o Cross-functional teams - bring together knowledge and skills of individuals from various work areas whose members have been trained to do each other's jobs o Self-managed teams - independent; in addition to their own tasks, take on traditional managerial responsibilities (hiring, planning, scheduling, evaluating performance) •*Informal Groups* - social groups that occur naturally in the workplace (friendships/common interests)

Organic Model

•Highly adaptive and flexible structure, which allows it to change rapidly as required. •Collaboration (both vertical and horizontal), adaptable duties, few rules, informal communication, decentralized decision authority, and wider spans of control leader to flatter structures •Dynamic/uncertain environment

Organizational Design Challenges

•Keeping employees connected •Managing global structural issues •Building a learning organization •Designing flexible work arrangement o Telecommuting - work at home through computer; saves overhead o Compressed workweek - more hours/day, fewer days/week (4 days x 10 hours) o Flextime - free to decide when to work o Job sharing - 2+ people splitting full time job o Contingent workers -temporary/ freelance/ contract workers, employment contingent on demand for their services

reducing stress

•Making sure employee's abilities match job requirements •Job redesign •Employee assistance programs

Organizational Behavior (OB)

•OB - the study of the actions of people at work •One challenge: it addresses issues that aren't obvious •It's like an iceberg: small visible dimension and much larger hidden portion •Visible aspects: strategies, objectives, policies and procedures, structure, technology, formal authority relationships, chain of command •Hidden aspects: OB focuses on 3 major areas: o Individual behavior - attitudes, personality, perception, learning, motivation o Group behavior - norms, roles, team building, leadership, conflict o Organizational aspects - structure, culture, HR policies and practices

Implementing Change - Organization Development (OD)

•Organization development (OD) - efforts that assist organizational members with a planned change by focusing on their attitudes and values o Relies on employee participation to foster an environment of open communication and trust because change can create stress for employees •Organization development efforts a) Survey feedback - assess employee attitudes and perceptions of the change they are encountering b) Process consultation - outside consultants help managers understand and act on organizational processes they face, such as workflow, informal relationships among unit members, and formal communication channels c) Team-building - helps organizational members become a team; helps work groups set goals, develop positive interpersonal relationships, and clarify roles and responsibilities of each team member; primary focus - increase members' trust of, and openness toward, one another d) Intergroup development - helps different work groups become more cohesive

2) "White-Water Rapids" Metaphor

•Organization seen as a small raft navigating a raging river with uninterrupted white-water rapids o Aboard the raft are half a dozen people who have never worked together before, who are totally unfamiliar with the river, and who are unsure of their eventual destination •Change is the status quo and managing change is a continual process •Leading a company in change, in an industry in change •This metaphor is consistent with a world that's increasingly dominated by information, ideas, and knowledge •Example: consider attending a college that had the following rules: Courses vary in length. When you sign up, you don't know how long a course will run. The instructor can end a course at any time with no prior warning and the length of the class changes each time it meets. Additionally, the time of the next class meeting is set by the instructor during this class. Also, all exams are unannounced, so you have to be ready for a test at any time.

Issues in Managing Human Resources

•Performance evaluation systems o Outdated systems due to: Downsizing Project teams o When an employee's performance is not up to par Job Mismatch (hiring error) - can be reassigned to better matched job Inadequate Training - provide more training Discipline Problem/Lack of Desire - try employee counseling to uncover problem or disciplinary actions •Downsizing - o Planned elimination of jobs when an organization has too many employees. Layoff-Survivor Sickness - A negative consequence of downsizing. A set of attitudes, perceptions, and behaviors of those who survive involuntary job loss. Symptoms include job insecurity, perceptions of unfairness, guilt, depression, stress from increased workload, fear of change, loss of loyalty and commitment, reduced effort, and unwillingness to go beyond minimum. •Workforce diversity •Sexual harassment o Single largest financial risk o Equal Employment Opportunity Commission (1993) •Controlling HR costs o Healthcare o Pensions

symptoms of stress (3)

•Physical - Changes in metabolism, increased heart and breathing rates, raised BP, headaches, potential of heart attack •Psychological - Job-related dissatisfaction, tension, anxiety, irritability, boredom, procrastination •Behavioral - Changes in productivity, absenteeism, job turnover, changes in eating habits, increased smoking or consumption of alcohol, rapid speech, fidgeting, sleep disorders

How Groups are turned into Teams

•Work teams - work intensely on a specific, common goal using their positive synergy, individual and mutual accountability, and complementary skills o Goal - collective performance o Synergy - positive o Accountability - individual and mutual o Skills - complementary •Work groups - Share information and make decisions to help each member do their job more efficiently and effectively. Do not engage in collective work that requires joint effort. o Goal - share information o Synergy - neutral (sometimes negative) o Accountability - individual o Skills - random and varied


Related study sets

Brunner and Suddarth Chapter 55 Study Guide Questions Part 2

View Set

Advanced Pharmacotherapy III Exam 3

View Set

Hoofdstuk 2: Hulp bij de uitscheiding

View Set

physioex exercise 1 cell transport mechanisms and permeability: activity 3 stimulating osmotic pressure

View Set

Fundamentals of Success Legal and Ethical Issues

View Set