Final Exam Ch 11-15 MGT
External forces for change
-Economic and political -Cultural and social -Demographic -Industry -Technology
Benefits of power
-Essential to survival -Essential to conflict resolution -Critical to leadership -Critical for buy-in -Necessary for learning
Common mistakes in negotiation
-Fear we may be conceding too much (give in too easily or make a major blunder) -Selective attention and other perceptual biases-leads to poor decision making -Winner's curse/Overconfidence: (70%EQ, 30%IQ) stem from lack of info; misperceptions concerning the correctness of position -Failure to recognize cross cultural differences (emotional display) -Escalation of commitment-sticking to a choice that may not be the best, big ego, afraid to bring bad news -viewing negotiation as a fixed-pie (one has to win/other loses)
Managing in an uncertain environment
-Gathering info; environmental scanning, boundary spanners -Adapting internal culture and structure -Changing the environment; lobbying, strategic alliances
Effects of changing technologies
-Increased efficiency & productivity; ability to communicate across borders, expand markets, more in less time, improves customer service, less human error Challenges: -Need for continuous learning -lose personal interaction, stress how we organize work
New Leadership Characteristics
-Intelligence/Self-Understanding (IQ, self aware of strengths/weaknesses -Energy + Determination -Sociability, EQ -Integrity-Ethical Principles -Creativity-open to implement changes/aware of changes -Healthy levels of self-confidence & Self esteem
Internal forces for change
-Low performance -New leadership -low satisfaction -new mission -conflict
Negotiation Process
-Parties involved are in some way interdependent -Parties are in conflict over goals and processes -Parties involved are motivated and capable of influencing one another -parties believe they can reach an agreement one party can stop the process at any time, forcing a restart
Disadvantages of Power
-Self-serving -potential for destruction -outcome subject ti abuse -can decrease engagement and involvement
The ethics of managing change
-planned/especially strategic change is typically initiated by top management -planned change creates uncertainty and ambiguity in organization -Organizational change involve management defining a new "reality" for the organizations members
Leadership
An influence process in which one or more individuals can influence others to pursue a common goal
Firm Competition
Appropriate when you don't care about the long-term relationship but outcome is important aggressive win-lose strategy managers concentrate on imposing their own solutions requires power, organizational support, willingness to forgo future relationships
Diagnosis
Assess organizations environment and need for change Plan for change both strategically and pragmatically
Clarification and coalition building
Build support for the change process (sense of urgency) Articulate change vision
Which component of structure is described by "the extent to which decisions are made at the top of the organization?"
Centralization
Strategic Change
Change efforts that are both broad range (typically organization-wide) and long term
Which of the following is not one of the elements in the context of the organization?
Character
Agreement
Closes the process
Hybrid Structures
Combination of product and functional works great for large organizations
Define conflict in an organizational setting
Conflicting interest in particular decision, opposing goals neither all good or all bad, moderate levels of conflict can stimulate creative decision making, prevent groupthink, and apathy
Influence Sharing
Consultation Manager/Leaders consults followers based on decision
Empowerment
Delegating or sharing power OR creating conditions that increase feelings of power or personal efficacy in others
Power Distribution
Delegation (not solving everyone's power) Followers are granted authority to make decision
Contemporary trait research suggests that leaders possess which of the following traits?
Determination Honesty Self-confidence Intelligence
Matrix Structures
Developed to address the problems associated with the other 3 and to respond to environmental uncertainty
Uncertainty
Difficulty for managers to set a clear direction
Authoritarian Power
Domination Manager/Leaders impose decisions
Trait approach
Early 1990s aka Great man approach "who they are" what constitutes effective leadership based on personal characteristics or traits associated with successful leaders
Personal Sources
Earned Yourself expert power-expertise or access to information others need referent power: respect and being a role model
Sustainability
Evaluation
Changing an organization's culture is a simple process
False
In Lewin's force field model of change, the third step is "refreshing".
False
Mechanistic structures emphasize horizontal rather than vertical relationships.
False
The contingency approach to leadership argues that leaders do not need to adapt their behavior to fit the situation they lead.
False
The service sector accounts for 60% of the jobs in the U. S. Economy.
False
Transactional leaders seek to focus their own efforts and those of their employees on objectives that transcended their more immediate needs and interests to work to achieve a better future for the company.
False
Behavorial Approach
Focus on behaviors of leaders what they do Consideration-towards followers/relationship (leader/follower) welfare of the group Initiating Structure- initiates activity in the group, organizes, and defines the way work is to be done task and relationship
Position Sources of Power
Given -Legitimate:accepted authority such as title or official position -Reward:Access to resources and ability to reward others -Coercive: force and ability to punish others
__________________changes involve middle-level and supervisory level managers, as well as workers on the front line of the organization.
Grassroots
High change & Complex
High uncertainty high rate of change high complexity Large number of external factors that change quickly ex: computer/airline industries
Ethical Leadership
Humane Orientation-treating others with dignity and respect Justice Orientation-Making fair and consistent decisions Moderate Orientation-Temperance, humility, and a balanced approach to issues Responsibility and sustainability orientation-Long term view of success with focus on society and the environment
Presentation
Initial offers/demands presented orally or in writing Careful word choice, project right image through effective verbal/nonverbal communication are essential
Which of the following is NOT one of the external forces of change? Economic and Political Cultural and social Demographic Institutional
Institutional
Types and levels of conflict
Intrapersonal, interpersonal, intragroup, intergroup, horizontal and vertical
Which of the following is NOT a strategic alliance? a. Joint coupling b. Mergers c. Joint ventures d. Acquisitions
Joint Coupling
Robert House's Path Goal Theory
Leader's role is to put followers on the right path to goal accomplishment Match leadership style to followers' needs
Fiedler's Contingency Model
Leaders style is task or relationship oriented Situational factors: relationship with followers, task structure, leaders power effective performance results of match between leaders style and the situation
Organizational Learning
Learning that builds on individual learning and permeates the organization as a way of doing business
___________employees are people directly involved in production or service delivery
Line
_______________ strategies are based on designing, producing, marketing, and delivering a product or service more efficiently than competitors.
Low Cost
Legitimating
Low effectiveness Establishing your authority to make a decision or request
Stable & Simple
Low uncertainty low rate of change low complexity Small number of external factors that change slowly ex: packaging industry
Stable & Complex
Low/Moderate Uncertainty Low rate of change High complexity ex: fridge/trucking industries
Which of the following is NOT one of the elements of ethical leadership?
Mediation orientation
Personal Appeal
Moderate effectiveness Asking a favor based on friendship or loyalty
Apprising
Moderate effectiveness Convince people that what you want will actually benefit them
High change & simple
Moderate/Low Uncertainty high rate of change low complexity Small number of external factors that change quickly ex: toy and fashion
Avoidance
Needs for either party aren't met useful for trivial issues or the short run (cool-off/gain perspective) Harmful in the long-run; resent/suppress feelings; find dysfunctional ways of dealing with the issue (low assertiveness & cooperation)
Which of the following is NOT one of the internal forces of change?
New technology
Compromise
No clear winners/losers; give & take position everyone ends up with something, not everything wanted-acceptable solution everyone can minimally accept. Only style that works in situations where parties have equal power and strong opposing views. (Middle of assertiveness and cooperation)
Power Sharing
Participation Manager/Leader jointly makes decision
Sources of conflict
Personal differences, goal incompatibility, uncertainty, resource scarcity, reward system, interdependence CHANGE
Managers hoping to lead change must do all of the following, except:
Plan for change that is standardized and periphery.
Consequences of Conflict
Positive: -Competition + conflict can motivate/inspire -increases group cohesion/effectiveness -reduce internal conflict to focus on outside competitors -High energy, focus on the task -stimulate innovation -discussion of ideas -increase communication Negative: -focus on the task -concern with winning -distorted judgement/lose sight of common goal -lack of cooperation -loser effect-harm long-term relationships/overall performance -demotivate -sabotage
Which of the following is not typically employed by organizational development practitioners to facilitate organizational change?
Practical consultation
Active Avoidance
Refusal to negotiate, negotiator does not care about the task or relationship Neither seeks a win or lose
Open Subordination
Relationship is more important then the subject of negotiation openly accepts other solution only option when managers don't have much power or leverage to negotiate or when they want to create goodwill and reduce hostilities if conflict is high
________________ leadership is broadly distributed among members of the group, the organization, or the society.
Shared
Functional Structures
Simplest form, group employees by their functional specialization appropriate in low uncertainty environments small-medium size organization that focuses on control/efficiency
Political Skills
Sincerity Interpersonal Influence Networking ability Social Astuteness
General environment
Social, demographic, and cultural trends; the political climates; and historical and religious influences
Socialized vs. Personalized Power
Socialized=common good Personalized=uses power to advance themselves/own interest ex-sexual harassment
goal incompatibility
Source of many conflicts departments have different goals so conflict for them is inevitable
Which component of structure is described by "the degree to which each individual, department, or team performs limited narrow tasks?"
Specialization
Which component of structure is described by "individuals performing similar tasks in the same way?"
Standardization
__________________changes are often developed in the course of a planning process that considers the mission, vision, and values of the organization.
Strategic
Which of the following is not one of the new leadership characteristics?
Strength
Strategy Implantation
The actions the organization takes to execute the strategy it has formulated
What type of leadership advances the interests of both leader and follower, but there is NO deep or enduring link between them.
Transactional leadership
Initiating structure involves leader behavior associated with organizing and defining what followers should be doing.
True
Positive leadership is primarily concerned with facilitating extraordinary performance and affirming human potential.
True
The contingency approach to leadership assumes that understanding requires consideration of both trait and behavior characteristics to leadership.
True
The environment of an organization is made up of all external factors that have the potential to affect the organization.
True
The starting point of any organization is a vision.
True
Contingency Approach
Understanding leadership requires consideration of both leadership characteristics - either traits or behaviors or a combination - and the leadership situation.
Politics
Use of power and authority to influence organizational outcomes
Bargaining
Utilizing various strategies to reach an agreement, preparation concerning facts and people cab strengthen/benefit their position
Based on Edgar Schein (1985), which of the following is NOT one of the levels of organizational culture?
Vectors
Views of conflict
Viewed by most as inevitable Destructive but beneficial -Considered negative and dysfunctional -viewed as a natural part of organizational life and beneficial in the workplace
Accommodation
Willing to sacrifice own needs to satisfy the needs of others Builds credibility for the next conflict useful in the short run but not the long run Continuous accommodating can lead to resentment (walked-over, known as push over) (low assertiveness, high cooperation)
Conflict
a process in which people disagree over significant issues, thereby creating friction For conflict to exist: -must have opposing interests, thoughts, perceptions, and feelings. -Involved must recognize the existence of different POV -Disagreement must be ongoing, rather than singular occurrence -People with opposing views must try to prevent one another from accomplishing their goals the level and type of conflict and how it is managed determine whether it is beneficial or detrimental to the organization.
Mission
a statement of the organization's purpose and reason for existence What are we and who do we want to be? Leaders articulate
Power
ability to influence others Dependency: A depends on B, B has power over A Perceptions: Perceive that you have the ability/potential to influence
Influence Tactics
actions used intentionally to influence or change the attitude or behavior of someone else
Environment
all the external factors that have the potential to affect the organization does not consist every external factor, only those that can affect the organization
Authentic Leadership
authentic to true self
Mechanistic Organization
authority is centralized, tasks and rules are clearly specified, and employees are closely supervised think DMV, military
low-cost strategy
based on designing, marketing, and delivering a product or service more effectively than competitors
Differentiation
based on providing a unique and different product of superior quality with special features
Horizontal
between departments or groups at the same level of the organization company works together to achieve org goals, disagree over schedules, quality, efficiency, and so forth
Vertical
between groups at different levels of the hierarchy broad organizational issues of control and power
Intergroup
between work groups different groups, departments, or divisions that disagree over task, processes, resources, or information Typically broad organizational issues like allocation of resources, access to info, and system related processes.
Change through structure
bring about change through reconstructing or changes to organizational structures, work process or systems
incremental change
change that occurs within the existing framework of the organization
discontinuous change
change that seeks a whole new strategy or configuration for the organization
Grassroots change
changes at lower levels of the organization that are concerned with implementing and sustaining the changes envisioned at the strategic level
compeition
common way to handle conflict but it's not beneficial to individuals or groups who interact repeatedly Winners & losers (high assertiveness, low cooperation) force Self-gain; no consideration of others interest
Business environment
customers, competitors, human resources, suppliers, financial institutions, governmental regulations, the economy, and technology that managers typically deal with on a day to day basis
Change through Organizational Development
data-driven, people centered, focused on process/system improvements
Vision
describes where the firm wants to be and its purpose and values
Scarce resources
employees and departments have to compete to get their share of resources this increases the likelihood of conflict
access based positioning
engaging in different activities to better reach customers
Why might employees resist change?
fear of failure creature of habit threat to power uncertainty What's in for me threat to job security peer pressure
Value-based leadership
focuses on core values
Change through Appreciative Inquiry
focuses on strengths in meeting customer and stakeholder needs
Preparation
gathering factual info about the issues, alternatives softer info relating to other party's interest, positions, personality and style Intense preparation leads to better outcomes
Environmental scanning and analysis
general scan of the environment find opportunity
Shared leadership
group centric, team leadership
Product/Divisional Structure
groups people by the product or service you work on or according to the geographic region
servant leadership
helping others, facilitate success commitment of potential leader to serve others
Collaboration
high concern for satisfy both your own needs and needs of others (high assertiveness & cooperativeness) Finding a solution in both parties best interest (full satisfaction) time consuming but con benefit long term gains Not always possible
Collaboration (influence tactic)
high effectiveness Offer to provide resources or assistance in exchange for agreement
Rational persuasion
high effectiveness logical arguments/factual evidence
Inspirational appeal
high effectiveness request based on values and ideals
Consultation
high effectiveness seek others participation in a decision
Strategy
how firm achieves its mission and goals How do we get there What do we need to do Managers help
Action
implement specific changes encourage positive attitude toward change (short-term wins)
Consolidation and refinement
institutionalize the changes (reinforce)
Intrapersonal
internal conflict he/she is motivated to engage in two or more activities that are incompatible Think father who wants to be involved with family but be on the corporate fast track
Trusting collaboration
involves cooperation, give & take compromise, collaborative problem solving achieving a win-win outcome Best to use if relationship and task outcome are important Essential for mutually interdependent organizations
Transformational Leadership
leaders engage followers in a way that inspires and raises levels of morality and motivation (intrinsic motivation)
Transactional Leadership
leaders exchange rewards with followers for services rendered to improve job performance (extrinsic motivation)
Double-loop learning
learning new goals, appropriate for complex, non-programmable decisions
Single-loop learning
learning new strategies to accomplish existing goals, appropriate for routine issues
Force Field Analysis
listing in one column the driving forces at play in a particular change opportunity and in a second column the restraining forces
Organic Organizations
low degree of formality, specialization, and standardization, decentralized decision making, and well integrated
Pressure
low effectiveness demands, threats, and warnings
Coalition Building
low to moderate effectiveness getting help from other people to influence a target or key decision maker
Ingratiation
moderate effectiveness get someone to feel favorable toward you before asking them something
Exchange tactics
moderate effectiveness make a reciprocal or quid pro quo agreement that benefits both
Goals
objectives that specify what needs to be done achieved and when What needs to be achieved by when? Managers help
Creative Leadership
open to change components: -purpose -passion -courage -learning agility -empathy -social energy -compassion -personal energy -love
Restraining forces
oppose the direction of the proposed change
Systems theory
organizations operated with a context all organizational elements are interconnected forces us to look at the "big picture"
Negotiation
process in which two or more parties reach a mutually agreeable arrangement
Straddling
pursue two inconsistent, incongruent strategies at the same time
Interpersonal
results from different personalities, goals, values, or styles 2 or more people who interact and have incompatible goals. styles, or values avoid at all costs, can be problematic for managers resolves around personal differences rather than organizational goals
Collaborative Style
seeks a win-win solution for all parties
political behavior
self interest
variety based positioning
serves a wide array of customers but for most, it will meet only a subset of their needs
Organizational Culture
set of norms, beliefs, and values expressed by members of a particular group and manifest in their typical behaviors and in the artifacts they produce
SWOT analysis
strengths, weaknesses, opportunities, threats evaluation of the organization's environment
Driving forces
support the direction of a proposed change
Proactive Influence Tactics
tactics used to accomplish an immediate purpose or task High effectiveness=soft tactic low effectiveness=hard tactic
Needs-based positioning
tailored activities to serve a target market
Collaborative leadership
team of equals
Strategic Management Process
the combination of strategy formulation and implantation
Interdependence
the extent to which employees depend on others to get their work done if interdependence is high, conflict arises
Complexity
the number of elements an organization has to consider during the enactment process
Strategic formulation
the process of forging a cohesive integrated set of strategies designed to deal with the environmental achieve the business mission and goals
Enactment
the process of identifying relevant environmental elements to define the environment of the organization
rate of change
the speed at which various elements in the environment change
integrative negotiation
try to reach an agreement that benefits both by focusing on creating new outcomes and solutions
steps in the change process
unfreezing changing refreezing
Change through management action
unilateral order given by leaders and managers, top-down, formal, impersonal, and task oriented
environmental uncertainty
unpredictability in the environment
espoused values
what you say you're about must match your enacted values
Scope of strategy
whether a business is setting wide or broad net, or whether it has a narrower focus size of target market
Reward system
win-lose environment increases conflict rewards based on individual rather than team performance is likely to increase intragroup competition and conflict
Intragroup
within a work group/person members disagree over group goals, activities, leadership, or processes healthy levels help to prevent groupthink extremely detrimental to cohesion and productivity
disruptive negotiation
zero-sum negotiation, one party's gain leads to the others loss rewards and outcomes are divided among parties
