Factors to Success

1. Factors to Success • Productivity • Efficiency in achieving goals • Effectiveness in resources used • Absenteeism • Turnover • Job Satisfaction • Org Citizenship • Discretionary Behavior

2. Challenges and Opportunities for OB • Responding to Globalization • Increased foreign assignments • Working with people from different cultures • Coping with anti-capitalism backlash • Overseeing movement of jobs to countries with low-cost labor • National Boundaries disappearing • Managing Workforce Diversity • Embracing diversity • Gender/Age/National Origin/Age/Disability/Domestic Partnerships/Religion • Changing U.S. demographics • Implications for managers • Recognizing and responding to differences

3. Challenges and Opportunities for OB (cont’d) • Increased Competition • Quality management (QM) • Process reengineering • Increased expectation of service quality • Responding to the Labor Shortage • Changing work force demographics • BB  Gen X • Fewer skilled laborers • Early retirements and older workers

4. Challenges and Opportunity for OB (cont’d) • Innovation and Change • Coping with “Temporariness” • Moore’s Law • Working in Networked Organizations • Balance Work/Life Conflicts • Improving Ethical Behavior

5. Planning Organizing Controlling Leading Management Functions ManagementFunctions

6. Management Skills Technical skillsThe ability to apply specialized knowledge or expertise. Human skillsThe ability to work with, understand, and motivate other people, both individually and in groups. Conceptual SkillsThe mental ability to analyze and diagnose complex situations.

7. Effective Versus Successful Managerial Activities (Luthans) • Traditional management • Decision making, planning, and controlling • Communication • Exchanging routine information and processing paperwork • Human resource management • Motivating, disciplining, managing conflict, staffing, and training • Networking • Socializing, politicking, and interacting with others

8. Effective vs Successful • Successful managers – those promoted most quickly · • Effective managers – performance & commitment to employees • ·

9. Allocation of Activities by Time E X H I B I T 1–2 Source: Based on F. Luthans, R.M. Hodgetts, and S.A. Rosenkrantz, Real Managers (Cambridge, MA: Ballinger, 1988).

10. Chapter 1 • Name 3 challenges / opportunities for OB today. • Where I work, and what I do there ___________ • Something interesting about myself is_______

11. Values Values Basic convictions that a specific mode of conduct or end-state of existence is personally or socially preferable to an opposite or converse mode of conduct or end-state of existence. Value System A hierarchy based on a ranking of an individual’s values in terms of their intensity.

12. Importance of Values • Provide understanding of the attitudes, motivation, and behaviors of individuals and cultures. • Influence our perception of the world around us. • Represent interpretations of “right” and “wrong.” • Imply that some behaviors or outcomes are preferred over others.

13. Dominant Work Values in US Workforce E X H I B I T 3–3

14. Types of Values –- Rokeach Value Survey Terminal Values Desirable end-states of existence; the goals that a person would like to achieve during his or her lifetime. Instrumental Values Preferable modes of behavior or means of achieving one’s terminal values.

15. Values in the RokeachSurvey Source: M. Rokeach, The Nature of Human Values (New York: The Free Press, 1973). E X H I B I T 3–1

16. Values in the Rokeach Survey(cont’d) Source: M. Rokeach, The Nature of Human Values (New York: The Free Press, 1973). E X H I B I T 3–1 (cont’d)

17. Mean Value Rankings of Executives, Union Members, and Activists Source: Based on W. C. Frederick and J. Weber, “The Values of Corporate Managers and Their Critics: An Empirical Description and Normative Implications,” in W. C. Frederick and L. E. Preston (eds.) Business Ethics: Research Issues and Empirical Studies (Greenwich, CT: JAI Press, 1990), pp. 123–44. E X H I B I T 3–2

18. Hofstede’s Framework for Assessing Cultures Late 70’s, 116k IBM employees, 40 countries Power Distance The extent to which a society accepts that power in institutions and organizations is distributed unequally. low distance: relatively equal distributionhigh distance: extremely unequal distribution

19. Hofstede’s Framework (cont’d) Individualism The degree to which people prefer to act as individuals rather than a member of groups. Collectivism A tight social framework in which people expect others in groups of which they are a part to look after them and protect them.

20. Hofstede’s Framework (cont’d) Achievement The extent to which societal values are characterized by assertiveness, materialism and competition. Nurturing The extent to which societal values emphasize relationships and concern for others.

21. Hofstede’s Framework (cont’d) Uncertainty Avoidance The extent to which a society feels threatened by uncertain and ambiguous situations and tries to avoid them.

22. Hofstede’s Framework (cont’d) Long-term Orientation A national culture attribute that emphasizes the future, thrift, and persistence. Short-term Orientation A national culture attribute that emphasizes the past and present, respect for tradition, and fulfilling social obligations.

23. The GLOBE Framework for Assessing Cultures • Assertiveness • Future Orientation • Gender differentiation • Uncertainty avoidance • Power distance • Individual/collectivism • In-group collectivism • Performance orientation • Humane orientation 1993 - present, 825 orgs, 62 countries E X H I B I T 3–4 Source: M. Javidan and R. J. House, “Cultural Acumen for the Global Manager: Lessons from Project GLOBE,” Organizational Dynamics, Spring 2001, pp. 289–305.

24. Attitudes Cognitive componentThe opinion or belief segment of an attitude. Attitudes Evaluative statements or judgments concerning objects, people, or events. Affective ComponentThe emotional or feeling segment of an attitude. Behavioral ComponentAn intention to behave in a certain way toward someone or something.

25. Types of Attitudes Job SatisfactionA collection of positive and/or negative feelings that an individual holds toward his or her job. Job InvolvementIdentifying with the job, actively participating in it, and considering performance important to self-worth. Organizational CommitmentIdentifying with a particular organization and its goals, and wishing to maintain membership in the organization.

26. The Theory of Cognitive Dissonance Cognitive Dissonance Any incompatibility between two or more attitudes or between behavior and attitudes. • Desire to reduce dissonance • Importance of elements creating dissonance • Degree of individual influence over elements • Rewards involved in dissonance

27. Measuring the A-B Relationship • Recent research indicates that attitudes (A) significantly predict behaviors (B) when moderating variables are taken into account. • Moderating Variables • Importance of the attitude • Specificity of the attitude • Accessibility of the attitude • Social pressures on the individual • Direct experience with the attitude

28. Self-Perception Theory Attitudes are used after the fact to make sense out of an action that has already occurred.

29. An Application: Attitude Surveys Attitude Surveys Eliciting responses from employees through questionnaires about how they feel about their jobs, work groups, supervisors, and the organization.

30. Sample Attitude Survey

31. Attitudes and Workforce Diversity • Training activities that can reshape employee attitudes concerning diversity: • Participating in diversity training that provides for self-evaluation and group discussions. • Volunteer work in community and social serve centers with individuals of diverse backgrounds. • Exploring print and visual media that recount and portray diversity issues.

32. Job Satisfaction • Measuring Job Satisfaction • Single global rating • Summation score • How Satisfied Are People in Their Jobs? • Job satisfaction declined to 50.4% in 2002 • Decline attributed to: • Pressures to increase productivity and meet tighter deadlines • Less control over work

33. The Effect of Job Satisfaction on Employee Performance • Satisfaction and Productivity • Satisfied workers aren’t necessarily more productive. • Worker productivity is higher in organizations with more satisfied workers. • Satisfaction and Absenteeism • Satisfied employees have fewer avoidable absences. • Satisfaction and Turnover • Satisfied employees are less likely to quit. • Organizations take actions to retain high performers and to weed out lower performers.

34. How Employees Can Express Dissatisfaction Exit Behavior directed toward leaving the organization. Voice Active and constructive attempts to improve conditions. Loyalty Passively waiting for conditions to improve. Neglect Allowing conditions to worsen.

35. Responses to Job Dissatisfaction Source: C. Rusbult and D. Lowery, “When Bureaucrats Get the Blues,” Journal of Applied Social Psychology. 15, no. 1, 1985:83. Reprinted with permission. E X H I B I T 3–5

36. Job Satisfaction and OCB • Satisfaction and Organizational Citizenship Behavior (OCB) • Satisfied employees who feel fairly treated by and are trusting of the organization are more willing to engage in behaviors that go beyond the normal expectations of their job.

37. Job Satisfaction and Customer Satisfaction • Satisfied employees increase customer satisfaction because: • They are more friendly, upbeat, and responsive. • They are less likely to turnover which helps build long-term customer relationships. • They are experienced. • Dissatisfied customers increase employee job dissatisfaction.

38. Chapter 3 • Values are more permanent than attitudes • Veterans are known for their loyalty to their career, not their company • Cognitive Dissonance happens when the employee’s value conflicts with the company’s value • Satisfied employees aren’t necessarily more productive • ‘Exit’ is one way employees can express job dissatisfaction