Exam 3
Steps in a performance management system:
1. Define performance 2. Evaluate performance 3. Review performance 4. Give consequences
Four steps in the goal-setting process
1. Determine goals 2. Promote goal committment 3. Provide support 4. Create action plans
The important last step in the goal-setting process is to create:
Action plans
Characteristics of transformational leaders
Agreeable, extroverted, proactive
Examples of laissez-faire leadership
Allowing bullying to take place, not guiding employees in their work, not giving performance feedback
Individualized Consideration
Behaviors associated with providing support, encouragement, empowerment, and coaching to employees
Intellectual Stimulation
Behaviors that encourage employees to seek innovative and creative solutions to organizational problems
Skimmer concluded that behavior is:
Both respondent and operant
Functional Structure
Clear roles and responsibilities, small firms, large gov firms, and divisions of large firms, communication can be siloed across functions
Relationship-oriented leader behaviors
Consideration, empowerment, servant-leadership
What theory posits that the situation decides the effectiveness of a particular style of leader behavior?
Contingency
If a target behavior is rewarded every time it occurs, then it is a:
Continuous Reinforcement Schedule
Two common schedules used to change behavior:
Continuous reinforcement and intermittent reinforcement schedules
Results, behaviors, actions, and nonperformance factors such as equity are examples of:
Distribution criteria for rewards
According to behavioral styles theory, leader behavior is more important than leader traits when it comes to:
Effectiveness
Positive interpersonal attributes
Extraversion, agreeableness, communication skills, emotional intelligence
Thorndike's observations that led to the law of effect were that behavior with ________ consequences tends to be repeated.
Favorable; Thorndike study: placing a cat in a box with a secret trip lever that opened the door. The cat learned that was an escape route, and continuously went back to it
Intermittent Reinforcement Schedules
Fixed ratio, variable ratio, fixed interval, and variable interval
Research has found that pay for performance:
Has a modest impact on performance quantity
Results of effective performance management
Higher customer engagement ratings, lower employee turnover, increased productivity
Steps in the general strategy of applying contingency leadership theories
Identify situational conditions, identify important outcomes, identify relevant leadership behaviors
Leader-member relations result in the formation of two types of exchanges:
In-group, out-group
Matrix Structure
Lines of formal authority along two dimensions, firms looking to escape silos through horizontal integration, poor managerial support for processes can lead to failure especially since some will report to two bosses
Criteria that relate to moderate control and therefore a relationship-oriented approach to leadership
Low task structure, weak position power, good leader-member relations
Hollow Structure
Lower cost of entry and overhead, heavy price competition and pressure to cut costs, loss of in-house skills and internal capacity to control supply
A recent McKinsey survey revealed that what were more valued as motivators than financial inventives?
Lunch with leaders, chances to lead market research, notes from immediate managers
Researchers determine leadership characteristics by using this statistical procedure, which computes an average relationship between two variables
Meta-analysis
High LMX relationships create:
Mutual obligation, trust
Initiating structure represents leader behaviors that define what group members should be doing to maximize:
Output
Conditions that make pay for performance effective include:
Paying top performers a lot higher than other employees, using multiple measures of performance, calibrated performance measures that ensure accuracy
Modular Structure
Potential for cost savings and ability to switch vendors for best fit, when it is feasible for multiple vendors to join up and function, not all product can be chunked and can hold up innovations
What do leaders want from followers?
Productivity, honesty, reliability, flexible
Horizontal Structure
Rapid communication and reduction in cycle time of work, firms seeking to improve internal coordination to create better value, potential conflicts between processes and non process functions
Empowering Leadership
Represents the extent to which a leader creates perceptions of psychological empowerment in others
Three emotional responses followers want leaders to foster:
Significance, excitement, community
The characteristics of effective coaching include:
Specific performance goals, being developmental
Path-Goal Theory
States that leader behaviors are effective when employees view them as a source of satisfaction or as a way to future satisfaction
Skinner's Operant Theory
There is a purposeful if-then link between a target behavior and a consequence
Line managers
Those who occupy formal decision-making positions within the chain of command
Monitoring performance involves:
Tracking the achievement of the goal, measuring the progress towards the goal
Trait theory takeaways
Traits impact leader effectiveness, having a global mindset is important, it can be important to hiring and promoting decisions
Task-oriented Leadership
Transactional leadership, initiating structure
Leadership
When an individual influences a group of individuals to achieve a common goal
Divisional Structure
Workers in each area can have more product focus, large firms with separate divisions built on different technologies, communication can be siloed across divisions
Boundaryless Organization
A firm where management has largely succeeded in breaking down external barriers between the company and those with whom it does business
Improvement Innovation
A focus on existing customers and optimizing existing porduct/services for them specifically
Psychopathy
A lack of concern for others, impulsive behavior, and a lack of remorse or guilt when one's actions harm others
Leadership Prototype
A mental representation of the traits and behaviors that people believe are possessed by leaders
Performance Management
A process that defines expectations, evaluates performance against the expectations, and ensures consequences
Steps one must take to become a better follower
Analyze the gap between your understanding of your boss and your understanding of yourself, understand yourself, including your needs, goals, and expectations, understand your boss
Why does servant-leadership promote leadership effectiveness?
Because it concentrates on providing support and growth opportunities to employees
Bernard Bass associated the following behaviors with leaders:
Creating vision and strategic plans, inspiring others, rallying employees around a common goal
Components of the performance management process include:
Defining expectations, creating consequences, overseeing performance
According to Jim Boomer, a professional service firm consultant, employees will go through the motions, but won't buy into a firm's performance management system:
If senior managers don't also hold themselves accountable for their goals
Reinforcement theory states that you can:
Increase desired behaviors by providing pleasing consequences, strengthen desired behaviors by withdrawing a displeasing consequence
Implications for LMX Theory
Initiatives to improve poor LMX are critical, expectations must be clear, diversity must be embraced
Successfully attracting commitment, energizing workers, and creating meaning in employees' lives are the result of what type of motivation?
Inspirational
Managerial implications for transformational leadership
Inspirational motivation should be considered the first step, the best leaders are not JUST transformational, transformational leadership works virtually
Task-oriented traits
Intelligence, conscientiousness, emotional stability, open to experience
Core traits associated with leaders
Intelligence, emotional stability, conscientiousness
Research has found it it important to use two-way communication and to follow up after disciplinary acts because:
It is affected by the supervisor's use of apologies and explanations, it is perceived differently based on the sex of the person delivering it, it is perceived differently based on the cultural characteristics of the person delivering it
Aspects of a learning goal
Learning new knowledge, adding to a skill set
Low leader-member relationships result in out-group exchanges that are characterized by:
More formality in expectations, more formality in reward negotiations, less trust and respect
Negative Interpersonal Attributes
Narcissism, machiavellianism, psychopathy
Spans of control can range from:
Narrow to wide
Employee characteristics in the path-goal theory model
Need for clarity, task ability, need for achievement, locus of control
Virtual Structure
Nimble response to market opportunities and low exit costs, exploring new markets by partnering with other firms or rapidly deploying a new business model, requires a high level of communication and likely fails to promote strong employee loyalty
The general criteria for distributing rewards in organizations include:
Nonperformance factors such as equity, behaviors such as teamwork or cooperation, tangible outcomes of performance such as sales or profits
Extinction
Not returning the phone calls of an insurance salesman so he will stop calling; strategy for changing behavior
Inputs to leader behavior (modeled by transformational leadership)
Organizational culture, life experiences, traits
Leader behaviors in the integrated model of leadership
Relationship-oriented, task-oriented, transformational, passive
Characteristics of servant-leadership
Stewardship, healing, listening, awareness
Criteria that relate to high control and therefore a task-oriented approach to leadership
Strong position power, good leader-member relations, high task structure
According to Fiedler, a leader's style is either ____-motivated as he or she is focused on accomplishing goals or ____________-motivated as he or she is more interested in developing relations with followers.
Task, relationship
Two leadership styles (Fiedler)
Task-oriented and relationship-oriented
What are the four categories of unique leader behaviors?
Task-oriented, relationship-oriented, transformational, passive
Considerations when making decisions about organizational design:
Technology, HR, strategy and goals, size
Emotional Intelligence
The ability to manage oneself and one's relationships in a mature and constructive way
Implicit Leadership Theory
The idea that people have beliefs about how leaders should behave and what they should do for their followers
When Tom installed controls for things such as accounting procedures and inventory audits and then rewarded his employees for using the system, he was instituting:
Transactional leadership
True or False: People tend to recall positive feedback more accurately than negative feedback.
True
Trait Approach to Leadership
Trying to identify personality characteristics that can be used to figure out who is better at leading and who is better at following
Servant-leaders are less likely to
Use behaviors that benefit themselves and hurt others
Although most employers rely on fixed interval reinforcement schedules, some examples of effective variable rewards include:
Variable bonuses for achieving major goals, celebration of milestones, spot rewards
The reinforcement schedules that produce the strongest behavior that is most resistant to extinction include:
Variable interval schedules, variable ratio schedules
What do behavioral scientists call a leader-member exchange relationship?
Vertical dyad
Idealized Influence
What managers accomplish by sacrificing for the good of the group, being a role model, and displaying high ethical standards