Principles and practises of management ppt

Principles and practises of management

1. Management Chapter Fourteen: Basic Elements of Individual Behavior in Organizations

2. Warm Up Review one of the personality assessments discussed in the text. Based on your rating, do you agree with the accuracy of the assessment? How can this information make you a better student? Employee? How can the understanding of personality help you as a manager?

3. Learning Objectives (1 of 2) By the end of this chapter, you should be able to: 14-1 Explain the nature of the individual–organization relationship. 14-2 Describe how personality and personality attributes affect behavior in organizations. 14-3 Discuss individual attitudes in organizations and how they affect behavior. 14-4 Describe basic perceptual processes and the role of attributions in organizations.

4. Learning Objectives (2 of 2) By the end of this chapter, you should be able to: 14-5 Discuss the causes and consequences of stress and how it can be managed. 14-6 Describe creativity and its role in organizations. 14-7 Explain how workplace behaviors can directly or indirectly influence organizational effectiveness.

5. 14-1a The Psychological Contract The Psychological Contract The overall set of expectations held by an individual with respect to what he or she will contribute to the organization and what the organization will provide in return Contributions What the individual provides to the organization Inducements What the organization provides to the individual

6. Figure 14.1 The Psychological Contract

7. 14-1b The Person–Job Fit The person–job fit The extent to which the contributions made by the individual match the inducements offered by the organization Each employee has a specific set of needs to be fulfilled and a set of job-related behaviors to contribute. The degree to which the organization can take advantage of those behaviors and, in turn, fulfill an employee’s needs will determine the level of person-job fit.

8. 14-1c The Nature of Individual Differences Individual differences Personal attributes that vary from one person to another May be physical, psychological, or emotional Must consider the situation in which behavior occurs Those who are productive in one area may not be productive in ALL areas

9. Discussion #1 How does a psychological contract really work? What is really required to make the employment relationship work for the employee and the employer? For example, does an employer owe an employee any more than a good wage? What do employees owe an employer? Does the psychological contract really go both ways? Why or why not?

10. 14-2 Personality and Individual Behavior Personality: The relatively stable set of psychological and behavioral attributes that distinguish one person from another “ Big Five” personality traits A popular personality framework based on five key traits

11. 14-2a The “Big Five” Personality Traits Agreeableness: A person’s ability to get along with others Conscientiousness: A person’s ability to manage multiple tasks and consistently meet deadlines Neuroticism: Extent to which a person experiences anxiety and is poised, calm, resilient, and secure Extraversion: A person’s comfort level with relationships Openness: A person’s rigidity of beliefs and range of interests

12. Figure 14.2 The “Big Five” Model of Personality

13. 14-2b The Myers-Briggs Framework Myers-Briggs Type Indicator (MBTI) A questionnaire used to differentiate personalities on the dimensions of the Myers-Briggs framework Useful to determine communication styles and interaction preferences; has questionable reliability and validity Personality Types: Extraversion (E) versus Introversion (I) Sensing (S) versus Intuition (N) Thinking (T) versus Feeling (F) Judging (J) versus Perceiving (P)

14. 14-2c Other Personality Traits at Work (1 of 3) Locus of control The degree to which an individual believes that his or her behavior has a direct impact on the consequences of that behavior Internal locus of control —individuals believe they are in control of their lives External locus of control —individuals believe that external forces dictate what happens to them

15. 14-2c Other Personality Traits at Work (2 of 3) Self-efficacy An individual’s beliefs about his or her capabilities to perform a task High self-efficacy individuals believe they can perform well, while low self-efficacy individuals doubt their ability to perform Authoritarianism The extent to which an individual believes that power and status differences are appropriate within hierarchical social systems like organizations

16. 14-2c Other Personality Traits at Work (3 of 3) Machiavellianism Behavior directed at gaining power and controlling the behavior of others Self-esteem The extent to which a person believes he or she is a worthwhile and deserving individual Risk propensity The degree to which an individual is willing to take chances and make risky decisions

17. 14-2d Emotional Intelligence Emotional intelligence (EQ) The extent to which people are self-aware, manage their emotions, motivate themselves, express empathy for others, and possess social skills Dimensions of EQ Self-awareness Managing emotions Motivating oneself Empathy Social skills

18. Knowledge Check 1 Which of the following describes a person’s belief about his or her ability to perform a task? Locus of control Self-efficacy Machiavellianism Emotional intelligence

19. Knowledge Check 1: Answer Which of the following describes a person’s belief about his or her ability to perform a task? B. Self-efficacy Self-efficacy is a related but subtly different personality characteristic than locus of control. Self-efficacy is a person’s beliefs about his or her capabilities to perform a task. People with high self-efficacy believe that they can perform well on a specific task, whereas people with low self-efficacy tend to doubt their ability to perform a specific task.

20. 14-3 Attitudes and Individual Behavior (1 of 2) Attitudes: Complexes of beliefs and feelings that people have about specific ideas, situations, or other people Cognitive dissonance: Caused when an individual has conflicting attitudes I really wanted that promotion, but it went to someone else. I know I should continue to work hard to get the next promotion, but I really don’t want to work for that person.

21. 14-3 Attitudes and Individual Behavior (2 of 2) Affective component: Reflects feelings and emotions an individual has toward a situation; how we feel Cognitive component: Derived from knowledge an individual has about a situation; why we feel that way Intentional component: Reflects how an individual expects to behave toward or in the situation; how we intend to behave

22. 14-3a Work-Related Attitudes (1 of 2) Job satisfaction and work behaviors Job satisfaction is influenced by personal, group, and organizational factors. Satisfied employees are absent from work less often, make positive contributions, and stay with the organization. Dissatisfied employees are absent from work more often, may experience stress that disrupts coworkers, and are continually looking for another job.

23. 14-3a Work-Related Attitudes (2 of 2) Job satisfaction or dissatisfaction An attitude that reflects the extent to which an individual is gratified by or fulfilled in his or her work Job satisfaction and work behaviors High levels of job satisfaction do not necessarily lead to high job performance

24. 14-3b Organizational Commitment and Engagement Organizational commitment An attitude that reflects an individual’s identification with and attachment to the organization itself Organizational commitment and work behaviors Employee commitment strengthens with an individual’s age, years with the organization, sense of job security, and participation in decision making. Committed employees have highly reliable habits, plan a longer tenure with the organization, and muster more effort in performance.

25. 14-3c Affect and Mood in Organizations Positive affectivity: A tendency to be relatively upbeat and optimistic, have an overall sense of well-being, see things in a positive light, and seem to be in a good mood Negative affectivity: A tendency to be generally downbeat and pessimistic, tend to see things in a negative way, and seem to be in a bad mood

26. Knowledge Check 2 What is the relationship between job satisfaction and performance? More satisfied employees have higher performance. More satisfied employees have lower performance. Less satisfied employees work harder to improve performance. There is no relationship between job satisfaction and performance.

27. Knowledge Check 2: Answer What is the relationship between job satisfaction and performance? There is no relationship between job satisfaction and performance. A satisfied employee tends to be absent less often, to make positive contributions, and is inclined to stay with the organization. In contrast, a dissatisfied employee may be absent more often, may experience stress that disrupts coworkers, and may be continually looking for another job. Contrary to what many managers believe, however, high levels of job satisfaction do not necessarily lead to higher levels of performance.

28. 14-4a Basic Perception Process (1 of 2) Perception: The set of processes by which an individual becomes aware of and interprets information about the environment Selective perception: The process of screening out information that we are uncomfortable with or that contradicts our beliefs If selective perception causes someone to ignore important information, it can become quite detrimental

29. 14-4a Basic Perception Process (2 of 2) Stereotyping: The process of categorizing or labeling people on the basis of a single attribute Stereotyping may cost the organization valuable talent, violate federal anti-bias laws, and is unethical

30. Figure 14.3 Perceptual Processes

31. 14-4b Perception and Attribution Attribution The process of categorizing or labeling people on the basis of a single attribute How behavioral attributions are formed: Consensus : Do other people in the same situation behave the same way? Consistency: Does this person behave the same way at different times? Distinctiveness: Does this person behave the same way in other situations?

32. Discussion #2 Can you identify types of stereotyping that might go on in the workplace today? What is the result of stereotyping in the workplace? Can stereotyping ever be useful or efficient in the workplace? Why or why not?

33. 14-5 Stress and Individual Behavior (1 of 2) Stress: An individual’s response to a strong stimulus, which is called a stressor General adaptation syndrome (GAS) General cycle of the stress process Stage 1 Alarm: Panic, wondering how to cope, and a feeling of helplessness Stage 2 Resistance: Individual is actively resisting the effects of the stressor Stage 3 Exhaustion: Prolonged exposure to stress causes an individual to give up

34. Figure 14.4 General Adaptation Syndrome

35. 14-5 Stress and Individual Behavior (2 of 2) Personality Types: Type A Extremely competitive, devoted to work, strong sense of time urgency Have a lot of drive and want to accomplish as much as possible as quickly as possible Type B Less competitive, less devoted to work, weaker sense of time urgency

36. Poll 1 Are you a Type A personality or a Type B ? Type A: I am competitive and have a lot of drive. I am devoted to my work, and I accomplish a lot! Type B: I am less devoted to work and have less of a sense of time urgency, and I am pretty relaxed about it! Can I be both?

37. Figure 14.5 Causes of Work Stress

38. 14-5a Causes and Consequences of Stress (1 of 2) Negative personal consequences Behavioral—smoking, alcoholism, overeating, drug abuse Psychological—sleep disturbances, depression Medical—heart disease, stroke, backaches, ulcers, skin conditions Negative work-related consequences Poor quality work output and lower productivity Job dissatisfaction, low morale, and a lack of commitment Withdrawal through indifference and absenteeism

39. 14-5a Causes and Consequences of Stress (2 of 2) Burnout A feeling of exhaustion that may develop when someone experiences too much stress for an extended period of time

40. 14-5b Managing Stress Regular exercise Reduces tension and stress, and improves self-confidence and feelings of optimism Relaxation Allows individuals to adapt and deal with their stress Time management Reduces stress by prioritizing activities to accomplish them in their order of importance Support groups Socializing away from work reduces stress

41. Discussion #3 Whether it is exam time, a group project is due, or an attempt is being made to manage work, family, and classes, students are under stress. What are your techniques for managing stress? Do they work? How do you know when you have reached burnout?

42. 14-6a The Creative Individual Creativity: The ability of an individual to generate new ideas or to conceive of new perspectives on existing ideas The creative individual Background experiences and creativity Personal traits and creativity Personal traits of openness, an attraction to complexity, high levels of energy, independence, autonomy, strong self-confidence, and a strong belief in his or her own creativity Cognitive abilities and creativity Highly intelligent, both divergent and convergent thinkers

43. 14-6b The Creative Process (1 of 2) Preparation Formal education and training are used to “get up to speed.” Experiences on the job provide additional knowledge and ideas. Incubation It is a period of conscious concentration during which knowledge and ideas mature and develop. Incubation is helped by pauses in rational thought.

44. 14-6b The Creative Process (2 of 2) Insight: A spontaneous breakthrough in which the creative person achieves a new understanding of some problem or situation The “aha moment” Patterns of thought coalesce into a new understanding Verification: Determines the validity or truthfulness of the insight Tests are conducted and prototypes are built to see if the insight leads to the expected results

45. 14-6c Enhancing Creativity in Organizations Enhancing creativity in organizations Make creativity part of the organization’s culture. Set goals for revenues from creative products and services. Reward creative success; refrain from punishing creative failures—some ideas work out as expected, while others don’t.

46. Discussion #4 Do you consider yourself to be creative? What steps do you use when trying to creatively resolve an issue? How can you apply those same processes to other areas of your life?

47. 14-7a Performance Behaviors Workplace behavior: A pattern of action by the members of an organization that directly or indirectly influences organizational effectiveness Performance behaviors: The total set of work-related behaviors that an organization expects an individual to display

48. 14-7b Withdrawal Behaviors Withdrawal behaviors: Absenteeism When an individual does not show up for work Cause may be legitimate or feigned May be a symptom of other work-related problems Turnover When people quit their jobs May be due to work-related or personal reasons

49. 14-7c Organizational Citizenship Organizational citizenship: The behavior of individuals that makes a positive overall contribution to the organization Determinants of organizational citizenship: Individual’s personality, attitudes, and needs Social context of the workplace (work group) Organization’s capability to reward citizenship

50. 14-7d Dysfunctional Behaviors Dysfunctional behaviors: Those that detract from, rather than contribute to, organizational performance Absenteeism and turnover Theft and sabotage Sexual and racial harassment Politicized behavior Intentionally misleading others Spreading malicious rumors Workplace violence

51. Knowledge Check 3 In what way does an employee’s personality, attitudes, and needs affect his or her workplace behaviors, and by extension, the effectiveness of the organization? They help to shape organizational citizenship. They reduce turnover. They prevent dysfunctional behaviors. They enhance creativity.

52. Knowledge Check 3: Answer In what way does an employee’s personality, attitudes, and needs affect his or her workplace behaviors, and by extension, the effectiveness of the organization? A. They help to shape organizational citizenship. The personality, attitudes, and needs of the individual will have to be consistent with citizenship behaviors. Similarly, the social context in which the person works, or the work group, will need to facilitate and promote such behaviors. And the organization itself, especially its culture, must be capable of promoting, recognizing, and rewarding these types of behaviors if they are to be maintained. Research suggests that organizational citizenship may play an important role in organizational effectiveness.

53. Summary (1 of 2) Now that the lesson has ended, you will have learned how to: Explain the nature of the individual–organization relationship. Describe how personality and personality attributes affect behavior in organizations. Discuss individual attitudes in organizations and how they affect behavior. Describe basic perceptual processes and the role of attributions in organizations.

54. Summary (2 of 2) Now that the lesson has ended, you will have learned how to: Discuss the causes and consequences of stress and how it can be managed. Describe creativity and its role in organizations. Explain how workplace behaviors can directly or indirectly influence organizational effectiveness.

55. What about you? If you’re employed, are you (relatively) satisfied or dissatisfied with your job? If you’re not working (or haven’t yet held down a job), focus on the areas in which you’re satisfied or dissatisfied with what you are doing (e.g., going to school). Next is a table listing 22 factors in job satisfaction in order of importance to the U.S. workers surveyed by The Conference Board. Create your own list of factors in order of their importance to you at this stage of your life . Be prepared to discuss the differences between your list and (1) the list below and (2) the lists drawn up by various classmates. Growth potential Communication channels Recognition Performance review Interest in work Workload Work/life balance Supervisor Physical environment Promotion policy Quality of equipment Wages Training People at work Family leave Flextime Bonus Sick days Vacation Pension Health coverage Commute

56. Employees First What is your impression of the “employees first” culture at HCL Technologies? Explain whether this culture can be equally effective in other organizations. How did organizational behavior help Vineet Nayar lead his company? Did it also help supervisors at HCL? What do you think of HCL’s approach during the global recession where it retained all employees but did not provide any raises? Would you do anything differently? Design an employee attitude survey for the HCL employees.

57. What about Megan? First, draw up a list of job-dissatisfaction factors for Megan. Second, regard the following as applicable to Megan’s situation: She likes the type of work she does and has good relationships with coworkers. More than a few of her coworkers are also frustrated by the company’s tight supervision and demanding work schedule. She is a cheerful and positive person. She performs well and gets positive feedback because she looks for solutions to problems rather than dwelling on the negative aspects of things. What do you think Megan should do? If you think that she should find another job, be prepared to explain why you think it’s the best move. If you think that she should try to resolve her frustrations before looking for another job, explain the points that she should try to get across in conversations with her boss. Students will vary on their advice for Megan. If they feel Megan should quit her job, it may center around trust and micromanaging. If Megan cannot trust her manager to keep her word, then there may not be a reason to stay. Her manager is a micromanager, and she is unlikely to change in the future. If they urge Megan to stay and work it out with her manager, students may use the points bulleted above for Megan to bring up with her manager.

58. Gad Levanon , an economist who coauthored The Conference Board report, writes the following : Based on macro trends—including a significantly tighter labor market, slowing productivity growth, and more business investment—worker satisfaction should be on the rise. But job dissatisfaction may remain entrenched until we see improvements in worker compensation, which has grown abysmally in recent years despite historically high corporate profits. Levanon is expressing an opinion and making a related prediction. Explain his opinion and his prediction in your own words. Do you agree or disagree with this opinion and prediction? In particular, do you expect things to get better economically? Whether you answer yes or no, how do you see your prospects for getting a job that you’re satisfied with?