Organizational Behavior, 9/E

Schermerhorn, Hunt, and Osborn

John Wiley & Sons, Inc.

Chapters 1-3 Learning Objectives

Define organizational behavior (OB)
Get acquainted with basic OB terminology

Describe what managers do Understand why managers must know about OB Identify the three levels of analysis in OB Identify differences across nations

My Best Manager ex

What is an Organization?
An organization is a collection of people who work together to achieve individual and organizational goals.

ORGANIZATIONAL PERFORMANCE
Depends on the organizations ability to attain organizational goals in an effective and efficient manner. Effectiveness : the degree to which the organization achieves a stated goal Efficiency : the use of minimal resources to produce a desired volume of output.

What is Management?
Management is the process of planning, organizing, leading, and controlling an organizations resources to attain organizational goals in an effective and efficient manner .

The Roles of Management

Decisional

Interpersonal

Informational

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Chapter 1

Informational roles = maintain & develop information network

The monitor = seeking current information from many sources. The disseminator = transmits information to others both inside and outside the organization. The spokesperson = to provide official statements to people outside the organization about company policies, actions, or plans.

Interpersonal roles pertain to relationships with others

The figurehead = ceremonial activities The leader = motivation, communication, and influence of subordinates.

The liaison = development of a web of relationships both inside and outside the organization.

Decisional roles = make choice requiring conceptual & human skills.

The entrepreneurial = initiation of change. The resource allocator = how to allocate resources to achieve outcomes. The negotiator = negotiating and bargaining for unit of responsibility. The disturbance handler = resolving conflicts between subordinates or other departments.

http://www.ba.metu.edu.tr/user/pinar

Managerial Skills
Conceptual Skills: The ability to analyze and diagnose a situation and distinguish between cause and effect. Human Skills: The ability to understand, work with, lead, and control the behavior of other people and groups. Technical Skills: Job-specific knowledge and techniques.

The Management Pyramid

Top Managers Middle Managers First-line Managers

What is Organizational Behavior?

Organizational behavior (OB) is the study of factors that affect how individuals and groups act in organizations and how organizations manage their environments.

Insert Figure 1.1 here

Organizational Behavior Terminology

Dependent Variables: Factors that you want to explain and that are affected by other factors.

Productivity

Absenteeism

Turnover

The Dependent Variables

Job Satisfaction
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Chapter 1

17

Organizational Behavior Terminology

Independent Variables: Determinants of dependent factors Individual level Group level Organization level

Independent Variables
Individual
Biographical Traits Personality Values & Attitudes Ability Perception Motivation Individual Learning Decision Making
Prentice Hall, 2001

Group
Communication Other Groups Conflict Power & Politics Group Structure Work Teams Leadership Decision Making
Chapter 1

Organization
Culture Structure Design Technology Work Processes Selection Processes Training Programs Appraisal Practices
19

OB Formula
Behavior, Attitudes = f( person, environment)

Contingency approach
Tries to identify how different situations can be best understood and handled. Important contingency variables include:
Environment. Technology. Tasks. Structure. People. Describe examples of management practices that may work well in one organization, but poorly in another.

What is culture and how can we understand cultural differences?

Values and national culture. Cultures vary in underlying patterns of values and attitudes. Hofstedes five dimensions of national culture:
Power distance. Uncertainty avoidance. Individualism-collectivism. Masculinity-femininity. Long-term/short-term orientation.

What is culture and how can we understand cultural differences?

Power distance. The willingness of a culture to accept status and power differences among members. Respect for hierarchy and rank in organizations. Example of a high power distance culture Indonesia. Example of a low power distance culture Sweden.

What is culture and how can we understand cultural differences?

Uncertainty avoidance. The cultural tendency toward discomfort with risk and ambiguity. Preference for structured versus unstructured organizational situations. Example of a high uncertainty avoidance culture France. Example of a low uncertainty avoidance culture Hong Kong.

What is culture and how can we understand cultural differences?

Individualism-collectivism. The cultural tendency to emphasize individual or group interests. Preferences for working individually or in groups. Example of an individualistic culture United States. Example of a collectivist culture Mexico.

What is culture and how can we understand cultural differences?

Masculinity-femininity. The tendency of a culture to value stereotypical masculine or feminine traits. Emphasizes competition/assertiveness versus interpersonal sensitivity/relationships. Example of a masculine culture Japan. Example of a feminine culture Thailand.

What is culture and how can we understand cultural differences?

Long-term/short-term orientation. The tendency of a culture to emphasize future-oriented values versus present-oriented values. Adoption of long-term or short-term performance horizons. Example of a long-term orientation culture South Korea. Example of a short-term orientation culture United States.

What is culture and how can we understand cultural differences?

Chapter 4
Personality and Individual differences

Agenda
Explain role of nature and nurture in determining personality Discuss the Big Five Personality Model Explain individual personality factors

Explain role of the situation

Identify three types of ability Discuss values Discuss 3 components of attitudes Discuss attitude-behavior relationship

The Individual Performance Equation

Job performance = Individual attributes X Work effort X Organizational support

Individual Performance Factors

Individual attributes Work effort Organizational support

Demographic Differences
Gender Age Ethnic background Stereotyping Prejudice in our lives ex on page W91

Differences in Abilities
Cognitive abilities Physical abilities Emotional intelligence

The Ability-Job Fit

Abilities of the
employee

Requirements of
the job

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Personality Differences
Personality is the overall profile or combination of traits that characterize the unique nature of a person.

Personality Determinants
The nature/nurture controversy is the argument over whether personality is determined by heredity, or genetic endowment, or by ones environment.

Key Dimensions of Personality

Extroversion introversion Conscientiousness Agreeableness Emotional stability Openness to experience

Locus of Control
The extent to which people feel able to affect their lives Internal locus of control External locus of control

Authoritarianism / Dogmatism
Authoritarianism Dogmatism

Type A vs. Type B Personality

Type A: A person who has an intense desire to achieve, is extremely competitive, and has a strong sense of urgency.
Type B: A person who tends to be easygoing and relaxed.

Machiavellianism
Machiavellians are people who view and manipulate others for purely personal gain.

Self-Concept
The concept individuals have of themselves as physical, social and spiritual or moral beings.

Self-Esteem
The extent to which people have pride in themselves and their capabilities.
Can be high or low Not situation specific

Self-Monitoring
The extent to which people try to control the way they present themselves to others.
Can be high or low

Individual Differences
Recruitment and employment conditions Education, training and development Rewards and promotions

Personality-Job Fit
Personalities among individuals differ Demands of jobs differ Matching personality and job leads to higher satisfaction and lower turnover.

Advice to Managers
Realize and accept that some workers are more likely than others to be positive and enthusiastic because of their personalities. Similarly, realize and accept that some workers are more likely than others to complain and experience stress because of their personalities. Provide an extra measure of direct supervision to workers who dont take the initiative to solve problems on their own and always seem to blame someone or something else when things go wrong. Provide additional encouragement and support to workers with low self-esteem who tend to belittle themselves and question their abilities. Realize and accept that Type A individuals can be difficult to get along with and sometimes have a hard time working in teams. Let subordinates who seem overly concerned about other people liking them know that sometimes it is necessary to give honest feedback and be constructively critical (such as when supervising others).

Values
Values are global beliefs that guide actions and judgments across a variety of situations.

Classification Schemes
Rokeach
Terminal Instrumental

Allport
Theoretical Economic Aesthetic Social Political Religious Achievement Helping and concern for others Honesty Fairness

Meglino & Associates

Work Values
A workers personal convictions about what outcomes one should expect from work and how one should behave at work. Values can be intrinsic (i.e., related to the nature of work itself) or extrinsic (i.e., related to the consequences of work).

Intrinsic vs. Extrinsic Work Values

Intrinsic Values Interesting work Challenging work Learning new things Making important contributions Responsibility and autonomy Being creative Extrinsic Values High pay Job security Job benefits Status in wider community Social contacts Time with family Time for hobbies

Advice to Managers
Do not assume that most workers have strong intrinsic work values just because you do. Realize that any attempt you make to improve attitudes, motivation, or performance will be most effective when the change you implement is consistent with workers values.

Attitudes
A predisposition to respond in a positive or negative way to someone or something in your environment.

Components of Attitudes
Cognitive components Affective components Behavioral components

Components of Attitudes

Importance of the Elements

Cognitive Dissonance

Degree of Personal Influence

Rewards Involved

Types of Attitudes
Job satisfaction: General attitude toward ones job Organizational commitment: a state in which one identifies with a particular organization and its goals and wishes to maintain membership

Doc Martens Case

What specific things does Doc Martens do to raise levels of
Job satisfaction Organizational commitment?

Notice how Doc Martens manages differences in values.

Chapter 5
Perception and Attribution

Agenda
Define perception Identify factors that affect perception Discuss perceptual distortions Discuss attribution Discuss impression management

Perception

Perception
People are not entirely objective information processors
Perception not necessarily the same as reality Perceptions of two people are not necessarily the same when describing the same event

Perception is biased in a number of predictable ways

Factors Influencing Perception

The perceiver The setting The perceived

Factors Influencing Perception

Stages of Perception
Attention and selection Organization Interpretation Retrieval

Perceptual Distortions
Stereotypes Halo effects Selective perception Projection

Advice to Managers
Be careful not to jump to conclusions about coworkers, superiors, and subordinates simply because they appear to fit your preexisting thoughts and opinions. Wait to form your opinions until you have gathered enough information to make a fair judgment. Make sure your perceptions of workers are based on their skills, capabilities, accomplishments, on-the-job behaviors, and levels of job performance. Do not allow your perceptions to be influenced by characteristics of a target (such as race, age, and gender) that are unrelated to job behaviors and performance. Try to treat organizational members who stand out from others the same as you treat those who do not stand out.

Advice to Managers
Be careful not to let your first impressions have too strong an effect on your perceptions of others. Avoid categorizing workers until you have sufficient information to form an accurate perception. When evaluating or interviewing a series of individuals, do not let your evaluations of preceding individuals influence your ratings of those that follow. Be careful not to be lenient in your perceptions of people who are similar to you and overly harsh to those who are dissimilar to you.

Attribution Theory

Observation

Interpretation

Attribution of Cause
High

External Internal

Distinctiveness
Low

Attribution
Theory and Individual Behavior
High High

External
Internal Internal External
71

Consensus
Low

Consistency
Low
Prentice Hall, 2001

Chapter 5

Fundamental Attribution Error

Tendency to explain other peoples behavior with internal attributions and to underemphasize plausible situational causes of the behavior in question Inhibits managers from fixing situational problems

Self-Serving Bias
The tendency to deny personal responsibility for poor performance but to accept personal responsibility for high performance when explaining our own behavior

Advice to Managers
Make sure your attributions for other peoples behavior are as accurate as possible. Consider external factors that may be responsible for other peoples behavior, such as inadequate resources or supplies, an exceptionally difficult task, or chance occurrences. Consider internal factors that may be responsible for your own behavior, such as your personality, your strengths and weaknesses, and your level of motivation. Be aware of the tendency in yourself and in others to take credit for successes and avoid blame for errors.

Managing Perceptions
Self-awareness Seek information Be empathic Avoid common perceptual distortions

Impression Management Tactics

Behavioral Matching SelfPromotion
The target of perception matches his or her behavior to that of the perceiver. The target tries to present herself or himself in as positive a light as possible. A subordinate tries to imitate her bosss behavior by being modest and soft-spoken because her boss is modest and soft-spoken. A worker reminds his boss about his past accomplishments and associates with coworkers who are evaluated highly. A worker stays late every night even if she has completed all of her assignments because staying late is one of the norms of her organization. A coworker compliments a manager on his excellent handling of a troublesome employee.

Conforming The target follows agreed-upon to Situational rules for behavior in the organization. Norms Appreciating or Flattering Others Being Consistent
The target compliments the perceiver. This tactic works best when flattery is not extreme and when it involves a dimension important to the perceiver. The targets beliefs and behaviors are consistent. There is agreement between the targets verbal and nonverbal behaviors.

A subordinate delivering a message to his boss looks the boss straight in the eye and has a sincere expression on his face.

Chapter 6
Motivation theories

Agenda
Define motivation Discuss link between motivation & performance Discuss link between motivation & rewards Content/Need theories of motivation Process theories of motivation Reinforcement theory

Motivating the Workforce

Motivation to work refers to forces within an individual that account for the level, direction and persistence of effort expended at work.

Motivation & Performance

What are the determinants of an individuals performance? Individual attributes - capacity to perform Organizational support - opportunity to perform Work effort

Individual Ability Work Effort Work Performance

Motivation

Organizational Support

Motivation Theories
Content Theories: Focus on understanding individual needs - what motivates an individual. Process Theories: Focus on the thought processes that give meaning to rewards and influence behavior - how a person becomes motivated. Reinforcement Theory: Focuses on learning.

Content Perspectives (Need Theory)

Assumption: People are motivated to satisfy their needs; if we know what they need, well know how to motivate them. Needs: Physiological or psychological deficiencies that people feel some compulsion to eliminate. Maslows Hierarchy of Needs Theory Alderfers ERG Theory Acquired Needs Theory Two Factor Theory

Maslows Hierarchy of Needs Theory

Higher order needs Lower order needs

Maslows Hierarchy of Needs

Alderfers ERG Theory

Existence Needs: Basic needs for human survival such as the need for food, water, clothing, shelter, and a secure and safe environment. Relatedness Needs: The needs to have good interpersonal relations, to share thoughts and feelings, and to have open two-way communication. Growth Needs: The needs for selfdevelopment and creative and productive work.

Advice to Managers
Do not assume that all workers are motivated by the same needs or desires. To determine what will motivate any given worker, determine what needs that worker is trying to satisfy on the job. Make sure you have the ability to administer or withhold consequences that will satisfy a workers needs. Structure work situations so that workers can satisfy their needs by performing behaviors that enable the organization to achieve its goals.

McClellands Acquired Needs Theory

Need for achievement Need for affiliation Need for power

Acquired Needs Theory

Herzbergs Two-factor Theory

Hygiene factors Motivator factors

Hygiene Factors found in work settings

Comparison of Content Theories

Process Theories
Focus on thought processes that underlie individual responses to work situations.
Equity Theory Expectancy Theory

Equity Theory
Negative inequity Positive inequity

The Equity Dynamic

Advice to Managers
Because inputs are likely to vary across workers, outcomes should also vary. Do not give all workers at a given level or holding the same job title the same level of outcomes unless their inputs are identical. Distribute outcomes to workers based on their inputs to their jobs and the organization. Because underpayment inequity or overpayment inequity can have negative organizational consequences, strive to maintain equity for maximum motivation. Because it is the perception of equity or inequity that drives motivation, frequently monitor and assess workers perceptions about relevant outcomes and inputs, as well as their own standing on these outcomes and inputs. Correct any inaccurate perceptions workers may have. Realize that failure to recognize above-average levels of inputs has major motivational implications.

Expectancy Theory
People will do. ..what they can do. ..when they want to.

Managerial Foundations of Expectancy Theory

Managerial Implications of Expectancy Theory

A manager must try to understand individual thought processes, then actively intervene in the work situation to influence them.

Advice to Managers
Determine what outcomes your subordinates desire. More specifically, identify outcomes that have high positive valence for your subordinates in order to motivate them to perform at a high level. Once you have identified desired outcomes, make sure that you have control over them and can give them to subordinates or take them away when warranted. Let subordinates know that obtaining their desired outcomes depends on their performing at a high level (raise instrumentalities). Administer the highly valent outcomes only when subordinates perform at a high level (or engage in desired organizational behaviors). Do whatever you can to encourage workers to have high expectancies: Express confidence in subordinates abilities, let them know that others like themselves have been able to perform at a high level, and give them guidance in terms of how to perform at a high level. Periodically assess workers beliefs concerning expectancies and instrumentalities and their valences for different outcomes by directly asking them or administering a survey. Using these assessments, make different outcomes available to workers, and clarify instrumentalities, or boost expectancies when necessary.

Reinforcement Theory
Present behavior can be explained by past environmental responses B = F(C). Thorndikes Law of Effect: Behavior that results in a pleasant outcome is likely to be repeated; behavior that results in an unpleasant outcome is not likely to be repeated. Behavior can be controlled by manipulating its consequences (called operant conditioning) Organizational Behavior Modification

OB Mod Strategies
Positive reinforcement Negative reinforcement Punishment Extinction

Reinforcement
Positive Reinforcement: The administration of positive consequences to workers who perform desired behaviors.
Pay, promotions, interesting work, praise, awards

Negative Reinforcement: The removal of negative consequences when workers perform desired behaviors.
Nagging, complaining

Advice to Managers: Reinforcement

Administer rewards only when workers perform desired behaviors or close approximations of them. When using reinforcement, make sure you identify the right behaviors to reinforce (those that help the organization achieve its goals).

Because job performance is likely to vary across workers, administer rewards so that high-performing workers receive more rewards than low-performing workers.
Do not assume that a given reward will function as a positive reinforcer to all workers. Take individual preferences into account. Make sure the consequences of a behavior are equal to the behavior. Make sure that workers know what reinforcers are available for desired behaviors. Dont just assume that they know.

Extinction and Punishment

Extinction: Removing a consequence that is currently reinforcing an undesirable behavior in an effort to decrease the probability that the behavior will occur again in the future. Punishment: Administering negative consequences to workers who perform undesirable behaviors in an effort to decrease the probability that the behavior will occur again in the future.
Verbal reprimands, docking pay, loss of privileges

Negative Reinforcement vs. Punishment

These two concepts are often confused; however, they differ from each other in two important ways. First difference:
Punishment reduces the probability of an undesired behavior. Negative reinforcement increases the probability of a desired behavior.

Second difference:
Punishment involves administering a negative consequence when an undesired behavior occurs. Negative reinforcement entails removing a negative consequence when a desired behavior occurs.

Advice to Managers: Punishment

Remember that all behaviors, good and bad, are performed because they are reinforced in some way. Undesired behaviors can be eliminated by determining how the behavior is being reinforced and removing the reinforcer. When feasible, use extinction rather than punishment to eliminate undesired behaviors. When you use punishment, make sure workers know exactly why they are being punished. Make sure the chosen negative consequence is indeed a punishment for the individual in question. Downplay the emotional element in punishment, punish immediately after the undesired behavior, and do not punish in front of others.

Chapter 7
Motivation, Job Design, & Performance

Attitudes and Behavior

Attitudes and behavior Attitudes and cognitive consistency Job satisfaction as an attitude

Facets of Job Satisfaction

The work Quality of supervision Relationship with co-workers Promotion opportunities Pay

Job Satisfaction and Workplace Behavior

Performance Absenteeism Turnover

Relationship between Satisfaction and Performance

Satisfaction causes performance? Performance causes satisfaction? Rewards cause both performance and satisfaction

Potential Consequences of Job Satisfaction

Performance: Satisfied workers are only slightly more likely to perform at a higher level than dissatisfied workers.
Satisfaction is most likely to affect work behaviors when workers are free to vary their behaviors and when a workers attitude is relevant to the behavior in question.

Absenteeism: Satisfied workers are less likely to be absent than dissatisfied workers. Turnover: Satisfied workers are less likely to leave the organization than dissatisfied workers.

Potential Consequences of Job Satisfaction

Organizational citizenship behavior (OCB): Satisfied workers are more likely to engage in this behavior than dissatisfied workers.
OCB: Behavior that is above and beyond the call of duty but is nonetheless necessary for organizational survival and effectiveness
Helping coworkers, spreading goodwill

Worker well-being: Satisfied workers are more likely to have strong well-being than dissatisfied workers.
Worker well-being: How happy, healthy, and prosperous workers are

Advice to Managers
Realize that some workers are going to be more satisfied than others with the same job simply because they have different personalities and work values. Also realize that you can take steps to increase levels of job satisfaction because it is determined not only by personality but also by the work situation. Try to place newcomers in work groups whose members are satisfied with their jobs. Ask workers what facets of their jobs are important to them, and do what you can to ensure that they are satisfied with these facets. Because job satisfaction has the potential to impact workers behaviors in organizations and their well-being, use existing measurement scales to periodically survey your subordinates levels of job satisfaction. When levels of job satisfaction are low, follow the advice in the preceding step. Recognize that workers evaluations of job facets, not what you think about them, determine how satisfied workers are and that changing some facets may have longer-lasting effects on job satisfaction than changing others.

Advice to Managers
Do not assume that poor performers are dissatisfied with their jobs or that good performers are satisfied with their jobs. Do not assume that workers who are absent are dissatisfied or that they were not motivated to come to work. Absence is also a function of ability to attend. Manage absenteeism. Dont try to eliminate it, and keep in mind that a certain level of absence is often functional for workers and organizations. Realize that turnover has both costs and benefits for an organization and that you need to evaluate both. In particular, before becoming concerned about worker turnover, examine the performance levels of those who quit. If workers do only what they are told and rarely, if ever, exhibit organizational citizenship behavior, measure their levels of job satisfaction, identify the job facets they are dissatisfied with, and make changes where possible. Even if job satisfaction does not seem to have an effect on important behaviors in your organization, keep in mind that it is an important factor in worker well-being.

Job Design
Job Design involves the planning and specification of job tasks, and the work setting designated for their accomplishment.

Alternative Job Design Strategies

Job simplification Job enlargement Job rotation Job enrichment

Job Simplification
Job simplification is standardizing work procedures and employing people in clearly defined and specialized tasks. Job automation

Job Enlargement and Job Rotation

Job Enlargement: combining two or more tasks into one job Job Rotation: periodically shifting workers among jobs

Job Enrichment
The practice of building motivating factors into job content Vertical loading Horizontal loading

A Continuum of Job Design Strategies

Job Characteristics Theory

Skill variety Task identity Task significance Autonomy Job feedback

Individual differences: moderators of job characteristics theory

The five core job characteristics do not affect all people in the same way. There are three important individual difference moderators:
Growth-need strength Knowledge and skill Context satisfaction

Growth Needs and Core Job Characteristics

Source: Adapted from J. Richard Hackman, Greg Oldham, Robert Janson and Kenneth Purdy, A new strategy for job enrichment, California Management Review, vol. 17, no. 4 (1975), p. 60.

Chapter 8
Performance Management & Rewards (Only goal setting will be covered from this chapter)

Goal Setting
The process of developing, negotiating and formalizing objectives. Lockes research

A Goal-setting Framework

Source: Adapted from Edwin A. Locke and Gary P. Latham, Work motivation and satisfaction: Light at the end of the tunnel, Psychological Science, vol. 1, no. 4 (July 1990), p. 244. Reprinted by permission of Blackwell Publishers.

The MBO Process

Chapters 9&10
How groups work

What is a Group?
Groups are collections of two or more people who work with one another regularly to achieve one or more common goals.

Purpose of Groups in Organizations

Meeting organizational needs Meeting individual needs Benefiting organizations and individuals

Key Concerns for Managing Groups

Advantages of groups Disadvantages of groups

Formal Groups
Permanent formal work groups Temporary work groups

Informal Groups
Friendship groups Interest groups

Groups and Task Performance

Synergy The whole is different than the sum of its parts.
Groups can make 2+2=5 or 2+2=3

Positive Synergy Two heads are better than one.

The creation of whole greater than sum of its parts. Groups accomplish more than the total of their members individual capabilities. Occurs when:
A diverse set of skills is required. Division of labor and sharing of information are required. Creativity and innovation are required.

Negative Synergy Too many cooks spoil the broth.

The creation of whole less than sum of its parts. Social loafing (Ringelmann effect): The tendency of group members to do less that they are capable of as individuals. Ringlemanns experiments compared the results of individual and group performance on a rope-pulling task.
Groups of 3 people 2.5 times the solo rate. Groups of 8 people less than 4 times the solo rate. Average productivity dropped as more people joined. Replications of Ringelmanns experiments People tend not to work hard as in groups as they would individually.

Why? The relationship between an individuals input and the groups output is unclear. In such situations individuals are tempted become free riders. Belief of inequity individuals reduce their efforts to reestablish equity.

Characteristics of Group Effectiveness

Effective groups are groups that achieve high levels of both task performance and human resource maintenance.

Groups as Open Systems

Open systems interact with the environment to transform resource inputs into outputs. The environment of any group consists of other individuals and groups with whom the group interacts.

Foundations of Group Effectiveness

The better the group inputs, the better the chance of group effectiveness.

Organizational Setting
Goals, reward systems and technologies Cultures and structures

General Membership Characteristics

Membership homogeneity/heterogeneity Interpersonal compatibilities

Group size

Stages of Group Development

Forming Storming Norming Performing Adjourning

The Forming Stage

The first stage of group development, in which the primary concern is the initial entry of members to the group.

The Storming Stage

The second stage of group development which is marked by a period of high emotion and tension among group members.

The Norming Stage

The third stage of group development, at which the group begins to come together as a coordinated unit.

The Performing Stage

The fourth stage of group development which sees the emergence of a mature, organized and well-functioning group.

The Adjourning Stage

The last stage, in which members of the group disband when the job is done.

Groupthink
The tendency of members in highly cohesive groups to lose their critical, evaluative capabilities.

Symptoms of Groupthink
Illusions of group invulnerability Rationalizing unpleasant data Belief in inherent group morality Negative stereotyping of outsiders

Symptoms of Groupthink
Applying pressure to deviants Self-censorship of members Illusions of unanimity Mind guarding

Chapter 11
Leadership

What is Leadership?
A special case of interpersonal influence that gets an individual or group to do what the leader wants done.

Why are some people more effective leaders than others?

Trait Approach: Focus on leaders personal characteristics. Behavioral Approach: Focus on leaders behavior vis-a-vis followers. Contingency Approach: Focus on match between a leader behavior and situational characteristics. Charismatic Leadership Approach: Focus on visionary and inspirational qualities.

Trait Theory
The earliest approach to the study of leadership Identified traits that differentiated the great person from the masses

Behavioral Theories
The Michigan studies The Ohio State studies The Leadership Grid

Michigan leadership studies

Employee-centered supervisors.
Place strong emphasis on subordinates welfare.

Production-centered supervisors.
Place strong emphasis on getting the work done.

Employee-centered supervisors have more productive work groups than production-centered supervisors.

Ohio State leadership studies

Consideration.
Concerned with peoples feelings and making things pleasant for the followers.

Initiating structure.
Concerned with defining task requirements and other aspects of the work agenda.

Effective leaders should be high on both consideration and initiating structure.

How a task oriented leader behaves:

plans and defines the work to be done
assigns tasks and responsibilities sets clear work standards urges task completion monitors performance results

How a relationship oriented leader behaves:

acts warm and supportive toward followers develops social rapport with followers

respects the feelings of followers

is sensitive to followers needs shows trust in followers

The Leadership Grid

The Leadership Grid. (Reproduced by permission. From Leadership Dilemmas Grid Solutions, 1995. Gulf Publishing Company, Houston, Texas, 800 231 6275. All rights reserved.)

Contingency Approaches When and under what circumstances is a particular leadership style preferable to others?
Goal: To understand the conditions for leadership success in various situations.
u u

u
u

Fielders Contingency Theory Hersey and Blanchards Situational Theory Houses Path-Goal Theory Substitutes for Leadership

Fiedler's Contingency Theory

Assumption: Good leadership depends on the match between leadership style and situational demands. Leadership style - Least-Preferred Coworker Scale Relationship-oriented leader is concerned with people OR Task-oriented leader is primarily motivated by task accomplishment. Leadership style is part of ones personality. Leadership Success <= Putting the styles to work in situations for which they are good fits.

Fiedlers Contingency Theory

Three steps: 1. Understanding the leadership style:
Determined by Least-Preferred Coworker (LPC) Scale. Score is 64 or higher: High LPC leader, Tendency to a relationship-oriented leadership style Score is 57 or less: Low LPC leader, Tendency to a taskoriented leadership style. Score is between 58 and 63: Use your best judgement to determine your style.

2. Diagnosing the leadership situation: to identify the extent of control a situation allows a leader:
Quality of leader-member relations (good-poor)

Fiedlers Contingency Theory 2. Diagnosing the leadership situation (Contd):

Degree of task structure (high-low) Amount of position power (strong-weak)

3. Matching the leadership style and the situation

Neither the task-oriented nor the relationshiporiented style is effective all the time. A task-oriented leadership will be most successful in either very favorable or very unfavorable situations.
A relationship-oriented leadership will be most successful in situations of moderate control

Predictions from Fiedlers Theory

Hersey & Blanchards Situational Leadership

Assumption: Subordinates vary in their readiness. Readiness - how able, willing, and confident followers are in performing required tasks. Successful leaders adjust their styles to depending on the readiness of followers to perform in a given situation. Depending on how much guidance and support the subordinates require, the leader may choose among: Delegating Participating Selling Telling

Hersey & Blanchards Situational Leadership High

Relationship Behavior
High Relationship and Low Task Low High Relationship Task and and Low Low Task Relationship High Task and High Relationship

Low

Task Behavior

High

High

Moderate

Low

R4

R3

R2

R1

Path-Goal Theory
An effective leader clarifies paths through which subordinates can achieve goals and increases the rewards they value. Increasing Rewards: The leader talks with subordinates to learn which rewards are important to them. Then, aligns these rewards with task accomplishment. Path Clarification: The leader helps subordinates learn the behaviors that lead to task accomplishment and rewards.

Path Clarification Leader defines what follower must to do attain work outcomes

Increase Rewards

Leader learns followers needs

Leader matches followers needs to rewards if work outcomes are accomplished

Leader clarifies followers work role

Follower has increased knowledge and confidence to accomplish outcome

Leader increases value of work outcomes for follower

Follower displays increased effort and motivation Organizational work outcomes are accomplished

Path-Goal Theory
Four leadership Styles: Directive leadership: Giving directions, scheduling their work, establishing performance standards. Supportive leadership: Making work pleasant, being friendly, showing concern. Achievement-oriented leadership: Setting challenging goals, displaying confidence, expecting high levels of performance from subordinates. Participative leadership: Involving subordinates in decision making. Types of behavior that every leader can adopt depending on the situation.

Path-Goal Theory
Choice depends on work environment -tasks, rewards and structure- and subordinates personal characteristics -skills, abilities, needs. Managerial Implications: Leaders should switch their behavior to match the situation. Managers must use the leadership style that complements the needs of the situation. Common Managerial Situations: job assignments are unclear - Directive Leadership worker self-confidence is low - Supportive Leadership performance incentives are poor - Participative Leadership task challenge is insufficient - Achievement-Oriented Leadership

Path-goal Relationships

Source: Adapted from Richard N. Osborn, James G. Hunt and Lawrence R. Jauch, Organizational Theory: An Integrated Approach (New York: John Wiley & Sons, 1980), p. 464. Reprinted with permission.

Substitutes for Leadership

Aspects of the work setting and the people involved that can reduce the need of a leaders personal involvement. Organizational Variables
* Group cohesiveness * Formalization

* Task characteristics * Highly structured task * Automatic feedback * Intrinsic satisfaction

Substitutes for Leadership

Subordinate characteristics
* Professionalism * Training/experience

Charismatic Leadership
Charismatic leaders are those leaders who, by force of their personal abilities, are capable of having a profound and extraordinary effect on followers.

Transformational Leadership
A leadership style by which the followers goals are broadened and elevated, and confidence is gained to go beyond expectations.

Transactional Leadership
A leadership style by which the leader exerts influence during daily leadersubordinate exchanges without much emotion.

Transformational vs. Transactional Leadership

Transformational Leadership
Individual consideration Intellectual stimulation Inspirational motivation Idealized influence

Developing Charismatic Skills

Sensitivity to charisma Visioning Communication Impression management Empowering

Chapter 12 POWER AND POLITICS

Agenda
What are power and influence in an organization? How can you build power? What is acceptance theory of authority? What is zone of indifference? What is empowerment?

Leadership and Power

Power: The ability to get someone else to do something you want done. Influence.
Expressed by others behavioral response to

your exercise of power.

Sources of Power
Two sources of power: Position Power: based in the managers position of authority. Personal Power: based in the personal qualities of manager Managerial Power = Position Power + Personal Power

Figure 12.1

Position Power.
Stems from the official position of the manager in the chain of command. Anyone holding a managerial position has this power. Types of position power:
Reward power. Coercive power. Legitimate power. Process power. Information power. Representative power.

Sources of Position Power

Reward Power - influence through rewards.
Offer something of value.

Coercive Power - influence through punishment.

Verbal reprimands, pay penalties, termination, etc.

Legitimate Power - influence through

authority.
Managers have the legal right to exercise control over persons in subordinate positions.

Sources of Position Power

Process power. The control over methods of production and

analysis that a manager has due to being in a position to influence how inputs are transformed

into outputs.
Information power. The access to and/or control of information. . Representative power. The formal right conferred by the firm to speak for a potentially important group composed of individuals across departments or outside the firm.

Sources of Personal Power

Stems from the unique personal qualities of the individual manager. Expert Power - influence through special expertise and/or valuable information.
Acquire relevant skills, competencies. Gain a central position in relevant information networks.

Referent Power - influence through

charisma and interpersonal attractiveness.

Develop and maintain good interpersonal relations

Ways to build position power

Demonstrating work unit relevance to organizational goals and needs. Increasing task relevance of ones own activities and work units activities. Attempting to define tasks so they are difficult to evaluate.

Ways to build personal power

Building expertise.
Advanced training and education, participation in

professional associations, and project involvement

Learning political savvy.

Learning ways to negotiate, persuade, and

understand goals and means that others accept.

Enhancing likeability.
Pleasant personality characteristics, agreeable

behavior patterns, and attractive personal appearance.

Increasing the visibility of job performance

Expanding contacts with senior people. Making oral presentations of written work. Participating in problem-solving task forces. Sending out notices of accomplishment. Seeking opportunities to increase name recognition.

Common Influence Tactics

Reason Rational persuasion Friendliness Personal appeals and ingratiation Coalition. Bargaining - Exchange Assertiveness - Pressure Higher authority upward appeal (type of coalition) Sanctions harder form of pressure tactics

Some Practical Issues

Why should subordinates respond to a managers authority (or right to command)?

Given that subordinates are willing to obey, what determines the limits of obedience?

The Milgram Experiments.

Designed to determine the extent to which people obey the commands of an authority figure, even if they believe they are endangering the life of another person. The results indicated that the majority of the experimental subjects would obey the commands of the authority figure. Basic conclusion was that people tend to comply with and be obedient to authority.

Acceptance Theory of Authority

The subordinate:
Can and must understand it.
Must feel mentally and physically capable of

carrying it out. Must believe that it is consistent with the organizations purpose. Must believe that it is consistent with his or her personal interests.

Zone of Indifference
In exchange for certain inducements, subordinates recognize the authority of the organization and its managers to direct their behavior in certain ways. A zone of indifference is the range of authoritative requests to which a subordinate is willing to respond without subjecting the directives to critical evaluation or judgment.