Welcome

Chapter Outline

Introduction

1. Successful modern organizations
1. Typically involving systems featuring simultaneous pressures for change and stability. Appear paradoxical to many organizational members
2. Constantly evolving systems that thrive on change. Must repeatedly innovate to stay competitive
3. Many organizations will extensively use technology
1. Intranet: internal interactions
2. Internet: external interactions
2. Global focus
3. Technology will change aspects of organizational forms and functioning
1. Electronic groups
2. Virtual organizations
4. Strategic changes. Electronic business (e-commerce) and bricks and mortar. Manager will face complex decisions about integrating these approaches
5. Welcome to our modern organizational world. This book discusses all the topics mentioned and gives you well-grounded information to help you function successfully in this new future environment

What Is an Organization?

1. Definition: “A system of two or more persons, engaged in cooperative action, trying to reach a purpose”
2. Bounded systems of structured social interaction
3. Usually have a hierarchical form
4. Examples: hospitals, colleges, and businesses

Organizational Behavior and Organizational Theory

1. Organizational behavior focuses on behavior of people in organizations
2. Organizational theory focuses on the structure and design of organizations

Theories and Concepts

1. Analogy: set of camera lenses
2. A conceptual tool kit you can use to improve your ability to analyze and diagnose behavioral phenomena in organizations
3. Definition: “A theory is a plausible explanation of a phenomenon”

Functional Analysis

1. Background
2. Manifest and latent consequences of behavior
3. Functional and dysfunctional consequences of behavior
4. Jointly consider manifest-latent and functional-dysfunctional consequences of human behavior

Historical Foundations

1. Division of labor: Adam Smith (1776)
2. Scientific management: Frederick W. Taylor (1911)
3. Toward a theory of administration: Henri Fayol (1919)
4. Bureaucracy: Max Weber (1922)
5. Mary Parker Follett's observations on organizations and management (1925)
6. The functions of the executive: Chester Barnard (1934)
7. The Hawthorne Studies (1939)
8. Theory X and Theory Y: Douglas McGregor (1960)
9. Management guru: Peter F. Drucker (1995)

Chapter Overview

This introductory chapter outlines the goals of the book and how it presents material. It describes organizations and the roles they play in our lives. The chapter describes the nature of organizational behavior and organizational theory and the relationships between these two fields of knowledge. A discussion of theory, and concepts within theory, follows. This chapter uses a camera lens metaphor to show how theories and concepts offer different perspectives or views of organizations.

Chapter 1 also develops functional analysis, because it is used throughout the book as an analytical tool. The chapter describes the analytical utility of theory and functional analysis and illustrates it with examples.

The chapter presents the historical foundations of organizations, organizational behavior, and management. It summarizes the work of Smith, Taylor, Fayol, Weber, Follett, Mayo, and Barnard. Chapter 1 ends with a description of some Peter Drucker thinking.

Learning Goals

After reading this chapter, you should be able to

Describe the concept of an organization.

Distinguish between organizational behavior and organizational theory.

Explain the role of theory and concepts in analyzing behavioral issues and problems.

Analyze the consequences of behavior in organizations.

Discuss the historical foundations of modern organizational behavior and management.

Personal Management Implications

The chapter's lens metaphor for using theories and concepts will help you understand behavioral issues and problems in organizations. Each textbook chapter builds a collection of “lenses” that you can use analytically. These concepts will help you understand behavioral phenomena you experience in organizations or help you manage such phenomena.

Several parts of the “Historical Foundations” section will serve you well as an individual or a manager. Although most of them date to the early part of the twentieth century, they stand as foundations to understanding human behavior in organizations.

Adam Smith's discussion of the division of labor lays a foundation for understanding organizational behavior. It is followed by a description of Frederick Taylor's system of scientific management, which had the simple goal of efficiency. Smoothing out work processes continues as an important implication for managing organizations, appearing again in text Chapter 2, “The Context of Modern Organizations,” as quality management.

Henri Fayol's administrative theory has many concepts that inform you as an individual or manager. They are inescapable parts of modern organizations and management although written almost 100 years ago. Watch for them as you experience organizations or manage in them. They will give you insights into central parts of organizational structure and management.

Max Weber's observations on bureaucracies endure into modern times. Sadly, most of us experience the negative side of bureaucracies — inflexibility in response to customers and clients. Remember what Weber always intended: an efficient organizational form with clear goals that can include continuous improvement in customer service.

Mary Parker Follett's observations carry many implications for you as an individual or manager. Power is a key part of organizational life, a topic pursued fully in text Chapter 15, “Power and Political Behavior.” Conflict can have positive effects, an unusual view of conflict that you should carefully consider. Text Chapter 11, “Conflict in Organizations,” fully develops conflict and conflict management, including conflict's positive effects.

Chester Barnard's observations from his book The Functions of the Executive carry several implications. Perhaps the most important ones come from his observations on motivation to participate and the inducements-contributions balance. Organizations will ask you, as an individual, for your contributions in exchange for some inducements. You likely will not join the organization if the two are not about equal. For managers, the implication clearly points to the importance of managing motivation to participate through the inducements-contributions balance.

Douglas McGregor's Theory X and Theory Y observations remain as enduring observations of individual behavior and management style. Think about yourself. Which set of assumptions best fits you? Which set do you often experience in organizations? The text emphasized the widespread Theory X view among modern managers, which could affect you in your work career.

Note Peter Drucker's observations for the future. They likely will have profound effects on your organizational life as either an individual or a manager.

Chapter Summary

An organization is a system of two or more persons, engaged in cooperative action, trying to reach some purpose. Organizational behavior and organizational theory are both disciplines within the social and behavioral sciences that specialize in studying organizations. Theories and concepts let you view organizational issues or problems from different perspectives. They act much like camera lenses by letting you observe a behavioral scene from different angles.

Functional analysis divides the results of a person's behavior into manifest and latent consequences. Manifest consequences are the intended results of the person's action. Latent consequences are the unintended results of the same action. Functional analysis further divides behavior into functional and dysfunctional consequences. Functional consequences are the results of behavior that is good for the organization. Dysfunctional consequences are the results of behavior that is bad for the organization.

The historical foundations of modern organizational behavior and management underlie all the remaining chapters of this book. Each historical figure mentioned here offered basic insights into organizations and management.

Chapter Outline

1. Introduction
1. Overview
1. Dominant issues facing organizations and their management
1. Work force diversity
2. Quality management
3. Technology, organizations, and management
4. Global environment
2. Sets a context
1. for your behavior in an organization and
2. for managing behavior in an organization
2. Workforce Diversity
1. Dimensions of workforce diversity (Textbook Figure 2.1)
1. Age
2. Gender
3. Ethnicity
4. Race
5. Eduction
6. Religion
7. Union status
8. Physical ability
9. Sexual orientation
10. Family status (single parents, dual-career couples, child care, and elder care responsibilites
11. Retired people working part time
12. Other part-time employees
13. Country of origin
2. Profile of the workforce
1. Now
2. Future
3. Implications of the profile
1. Differences in values because of culture and social background
2. Differences in perceptions (worldview) from culture, social background, language
4. Is diversity a new issue for U.S. managers?
5. Forces that have built a diverse workforce
6. Managing diversity
1. Definition: Not only ethnicity, race, or gender. Includes all factors that distinguish one person from another in the work force. Includes sexual orientation, single-parents, people who wish to pursue career and family, people with unique needs because of physical disabilities, or the need to care for children and elderly relatives.
2. Forces us to focus on differences in values, abilities, expectations, limitations, and needs of different people in the work force.
3. Distinguished from affirmative action. That is a program for attracting people of diverse backgrounds to an organization.
4. Viewing diversity as a strategic issue. Managers should now start to think strategically about diversity, not view it as required by law (Affirmative Action). Many changes surrounding organizations today and well into the future compel a strategic view of workforce diversity.
1. Service economy and growing need in all organizations to provide service and know customer expectations
1. Service organizations
2. Manufacturing organizations
2. Global competition for markets and customers. A diverse work force offers important resources to learn about culturally diverse markets.
7. Challenges to managent
1. Potential new ideas from diverse people. Tapping the potentialities of that diverse work force.
2. Managing the potential conflict that can easily happen among diverse people
3. Managing fairness among diverse members of the work force
4. Planned organization change to harness the potential of this work force. In the past, managers hoped the diverse work force would adapt to the existing organization and change to fit the organization's culture.
5. Organization policies and practices. Work schedules, paternal leave, job sharing, and the like.
6. Training: skills, including languages. Offering basic education that employees lack.
3. Quality Management
1. Introduction
1. What it is
2. Many names for quality management, but they all point in the same direction
3. Its major features
2. Breif history
1. United States: Shewhart, Deming, Juran
2. Japan: Ishikawa, Taguchi
3. Worldwide phenomenon
4. Quality awards
3. Elements of its philosphy
4. Tools and techniques of managing for quality and continuous improvement
5. Successes and failures
1. Sucesses
2. Failures
1. Florida Power and Light
2. The Wallace Company
4. Technology, Organizations, and Management
1. Computers: size, power, storage, modem, networks, satellite connection
2. Communication
1. Internet: commerce, competitors, strategy
2. Intranet: connecting people quickly
3. Cellular communication
4. Satellites
3. Effects on Organizations and management
1. Telecommuting
2. Virtual Organizations
5. The Global Environment of Organizations
1. Overview
2. Transnational Organizations
3. Cultural differences in space and time orientations
4. Cultural differences in acceptable management behavior and organizational forms

Chapter Overview

Chapter 2 discusses four issues that likely will affect modern management: workforce diversity, quality management, technology, and the global environment of organizations. These topics receive detailed treatment to give students a full understanding of the issues. They are then woven into other chapters as appropriate.

The chapter describes the global focus demanded of modern managers and presents a way of thinking about cross-cultural differences and similarities. It compares countries by using a figure that shows the location of several countries on Hofstede's uncertainty avoidance and power distance dimensions. This section of Chapter 2 gives some basic knowledge that grounds discussions of cross-cultural issues presented in other parts of the book.

Learning Goals

After reading this chapter, you should be able to

• Explain workforce diversity.
• Describe several diversity dimensions.
• Discuss workforce diversity effects on organizations and management.
• Describe the direction in which many organizations are headed in managing for quality.
• Discuss quality management and its history.
• Explain the likely effects of quality management on an organization.
• Outline how technological changes will affect modern organizations and their management.
• List the effects of specific technologies on modern organizations.
• Discuss some issues and implications of managing organizations in an increasingly global environment.
• Identify some dimensions of country cultures that distinguish one culture from another.

Personal and Management Implications

An implication of increased workforce diversity is the highly varying worldviews held by people with different backgrounds. These varying perceptions can affect the quality of social interaction in an organization, but also offer big chances for creative problem solving.

An organization with a diverse workforce will have potentially many subcultures defined by the backgrounds of its employees. Employees who share a common language other than English, or a common religion, for example, may form a subculture. Such subcultures can offer support, especially to minority members of the organization or those who have emigrated from another country.

Conflict potential is likely high in an organization with a diverse workforce for many reasons. The subcultures just described can develop different values and norms. The naturally different perspectives of people of diverse backgrounds are also potential sources of interpersonal conflict. Managers have the important task of managing that conflict so it is constructively focused. Properly managed conflict can help provide creative solutions to complex problems (see textbook Chapter 11, “Conflict in Organizations”).

A diverse workforce is a major resource for managers with the insight to harness that diversity to pursue the organization's goals. By deliberately diversifying the membership of problem-solving and decision-making groups, managers can ensure that a group brings many different views to problems. This diversity increases the group's potential for finding innovative solutions. Such groups are a central feature of managing for quality.

Quality management's (QM) emphasis on continuous improvement through process analysis has several implications for both managers and nonmanagers. Cross-functional teams who do process analysis often include members who typically have not interacted with each other in the past. Such teams go through a series of well-understood stages of development and often experience high levels of conflict while looking at a process from many different views. You will find the text's chapters on groups (Chapter 10, “Groups and Intergroup Processes”) and conflict management (Chapter 11) especially useful in understanding the behavioral processes that often unfold in quality-oriented organizations.

Managers who try to shift their organization to a quality and continuous improvement culture must provide strong leadership and help employees adjust to the change. Organizations that have successfully moved toward QM have had managers who could lead the organization through the necessary but wrenching changes. Such change often meets with resistance from those who do not understand the reason for the change or who think QM is only a management fad. Later text chapters will give you insights about organizational culture, leadership, and organization change (Chapter 4, “Organizational Culture,” Chapter 12, “Leadership and Management,” and Chapter 18, “Organizational Change and Development”).

The technological changes present several personal and management implications. E-mail, and other forms of communication over the Internet, will affect human interaction. New organizational forms will emerge, such as virtual teams (see textbook Chapter 10) and virtual organizations (see textbook Chapter 17, “Organizational Design”). You will likely experience working with people in scattered locations, interacting only electronically. Managers will need to adjust in the future to managing teams of widely scattered people.

The global environment of modern organizations is another source of diversity. If you work in a globally based organization, you may be assigned to different countries, serve customers from diverse cultures, or have coworkers from different countries. The effects of global diversity are similar to those of domestic workforce diversity. Interpersonal interactions can become strained by the need to talk in multiple languages or listen to English spoken with many different accents. Conflict potential will also be high because of the diverse backgrounds and viewpoints of people from many cultures. Managers will face the especially strong challenge of managing workgroups with high conflict potential.

Chapter Summary

This chapter introduced you to four topics that are at the center of managing modern organizations: workforce diversity, quality management, technology, and the global environment of organizations.

The Bureau of Labor Statistics' projections show the workforce becoming increasingly diverse. A diverse workforce presents managers with major opportunities to harness diverse talents in the pursuit of organizational goals. That same diverse workforce presents managers with the challenge of managing conflict that can come from diversity in a functional way.

Quality management (QM) is a system of management built upon work dating to the 1920s. QM has its roots in manufacturing, but it can help bring major improvements to any organization. It applies to managing all types of organizations and their internal processes. Those with QM training have a strong customer focus and a passion for continuous improvement in meeting customer wants and needs.

Massive changes in computing power and computer features, combined with communication technology, have revolutionized much of what organizations and managers now do and will continue to do into the future. People in organizations often interact using computer and Internet technology. The combined effects of all technologies have changed managers' roles and the design of many organizations.

Modern technology and increasingly freer trade areas demand an unprecedented international view from modern managers. Organizations that want to expand their markets and profitability require managers with a global view. Managers can now regard the entire world as a source of labor, materials, customers, and places of production. Such a global view implies the need to understand different cultures, different views, and different ways of doing an organization's work.

Chapter Outline

Introduction

1. Contemporary ethical issues according to the business press. U.S., Europe, Japan
2. Attitudes, opinions, and values about ethical behavior in organizations
1. Managers in business and government
2. Gallup's annual honesty and ethics polls. General public's view of business executives and many other occupations. Wording of interview questions. Trend over many years

Ethical and Unethical Behavior

1. Ethical behavior
2. Unethical behavior
3. Subjective and objective morality

“It's Good Business”
Ethical Issues in Organizational Behavior
Ethics: The Study of Moral Philosophy

1. Centuries of examining the basic question of how people should live their lives
2. Some specific questions
3. Some of the essence of ethics and moral philosophy is its reflective quality — sitting back and looking at the ways things are customarily done and asking what is the way they ought to be done. Socrates' question: “What we are talking about is how one should live” (as reported by Plato)
4. Ethical absolutism and ethical relativism. Only you can decide

Ethical Values of Societies and Individuals

1. Ethical values of societies
1. Variations and similarities among societies
2. Functions of societal ethical values
3. Dynamics of societal ethical values
2. Ethical values of individuals
1. Built from societal-level values
2. Learned from family, including religious training, peers, education, and life experiences
3. Dynamics of individual ethical values
4. Levels of moral judgment

Ethics Theories

1. Introduction. Describes each theory, its expected results, and objections to the theory
2. Theories
1. Utilitarianism
2. Rights
3. Justice
4. Egoism

Managing for Ethical Behavior

1. Want to change an organization's culture organization. Decisions not made by organizations. They are made by people in them, who are guided by their personal ethical values and their perception of the organization culture's ethical values about such matters
2. Codes of ethics
3. Policies. Based upon the ethics theories described earlier. Specify what the organization wants included in decision-making processes. Increasing the information used to include information tied to the ethical implications of the decision
1. Employees' right of dissent (whistle blowing)
2. Guidelines for employee privacy
3. Environmental effects
4. Procedures. Both information and members of decision-making groups
5. Standards of ethical performance
6. Ethics training and education
7. Reinforcing ethical behavior. Rewards, motivation, standards of behavior
8. Peer reporting (whistle blowing)

International Aspects of Ethics

1. Interest in ethics in different countries
2. Legal views
1. Convention on Combating Bribery of Foreign Public Officials in International Business Transactions (OECD)
2. Foreign Corrupt Practices Act (FCPA)
3. Ethical views
1. Cultural relativism
2. Ethical realism

Chapter Overview

Chapter 3 is a detailed treatment of ethics and behavior in organizations. The early placement of this chapter emphasizes the importance of ethical behavior and lets other chapters consider ethical issues. It discusses the value of behaving ethically in organizational transactions. The chapter then describes the development of ethical systems at the societal and individual level. This chapter presents four major Western ethics theories: utilitarianism, rights, justice, and egoism. Each theory gives a different view of ethical behavior and allows analysis of ethical behavior in organizations. The chapter has a major section devoted to managing for ethical behavior in an organization. Each chapter after Chapter 3 has a separate section that discusses the ethical implications of the chapter's topics.

Learning Goals

After reading this chapter, you should be able to

• Define ethical and unethical behavior.
• Discuss why some scholars believe “It's good business”to do business ethically.
• Know the functions of ethical values and standards for individuals and societies.
• Describe the various ethics theories and the guidelines each offers.
• Explain how to manage for ethical behavior in an organization.
• Identify some international aspects of ethical behavior in organizations.

Personal and Management Implications

An overarching implication of this chapter for managers and nonmanagers is the need to understand your system of ethics. Pause and reflect on what you now know about ethics and the implications for your behavior in organizations. For managers, the implications focus on including ethical considerations in decision-making processes. For nonmanagers, the implications focus on potential clashes between one's ethics, one's manager's ethics, and the ethics of the organization's culture.

Consider how you would respond to a request from your employer for you to behave unethically. If your ethical system differs from your supervisor's, you will experience high conflict. Also, if your organization does not have an ethically based culture, you can expect ethical clashes. Such conflicts can expose you to significant stress, especially if your organization does not have procedures for handling ethical disputes.

Managing for ethical behavior in organizations carries implications for both managers and nonmanagers. For managers, the implications center on assuring that employees within their areas of responsibility behave ethically. That job is easier if the organization has an ethically based culture, procedures to ensure ethical decisions, and policies that encourage whistle blowing. If the organization has none of these features, managers must assume responsibility for their subordinates' ethical behavior. Without organization-level help, managers need to develop their own procedures for managing toward ethical behavior.

The personal implications of the discussion about managing for ethical behavior include peer pressure for ethical behavior and reporting unethical behavior. You could feel peer pressure to behave ethically or unethically. In the latter case, you will experience high internal conflict between your ethical values and those held by your peers. Pressure to behave ethically can create conflicts for you if your personal values do not support doing so.

Reporting unethical behavior will be easier for you if your employing organization supports such reporting as described earlier in the chapter. You will feel high social pressure from your peers to avoid reporting (whistle blowing) if your workgroup's norms do not support reporting. That pressure will add to any other ethical conflicts you experience, but can be especially intense because you are in daily contact with your peers.

These implications become more intense for people working in a multinational organization outside their home country. The ethical conflicts you face in that situation may often be intensified by large differences between your ethical system and that of the host country.

Chapter Summary

Ethical behavior is behavior judged as good, right, just, honorable, and praiseworthy. Unethical behavior is behavior judged as wrong, dishonorable, or failing to meet an obligation. The judgment of behavior as ethical or unethical is based on principles, rules, or guides that come from an ethics theory, character traits, or social values. Some ethics scholars have argued that doing business ethically is simply good business.

The four ethics theories that can act as guides to ethical behavior are utilitarianism, rights, justice, and egoism. Utilitarianism asks a person to examine the effects of his actions to decide whether these actions are morally correct under utilitarian guidelines. An action is morally right if its total net benefit exceeds the total net benefit of any other action. A right is a person's just claim or entitlement. The right can focus on what that person does or on the action of other people toward him. Justice-based ethics theories use a comparative process, which looks at the balance of benefits and burdens among members of a group or resulting from the application of laws, rules, and policies. Egoism focuses on a person's self-interests, but can also include the interests of others.

Modern managers are feeling increasing pressure to promote ethical behavior in their organizations, causing them to look for ways of managing for ethical behavior. Managers can follow three steps to manage for ethical behavior in their organizations:

1. Understand the composition of the present ethical culture of their organizations.
2. Improve that ethical culture.
3. Sustain ethical behavior so that it becomes embedded in their organizations.

The section on “International Aspects of Ethics” described some legal views, including the Foreign Corrupt Practices Act (FCPA) and its implications for managers of multinational organizations. Besides the legal views, ethical views exist, such as cultural relativism and ethical realism.

Chapter Outline

Introduction

1. Definition and description of organizational culture
2. Subcultures within the same organization
1. Decentralized organizations, different locations, different subcultures
2. Occupational cultures: managerial, engineering, and financial
3. Effect of workforce diversity
4. Effect of global operations

Dimensions of Organizational Culture

1. Levels
2. Pervasiveness
3. Implicitness
4. Imprinting
5. Political
6. Plurality
7. Interdependency

Levels of Organizational Culture

1. Artifacts
2. Values
1. Espoused values
2. In-use values
3. Basic assumptions

Perspectives on Organizational Culture

1. Integration perspective
2. Differentiation perspective
3. Fragmentation perspective

Cultural Symbolism

1. View organizational culture as having symbols with meaning only for those who are members of the culture. That meaning can be shared widely or narrowly, or have varying meaning depending on the observer. This view of organizational culture looks at artifacts as described earlier, but also includes anything within the culture that has symbolic meaning to its members. Emphasizes the emotional element of many cultural objects and phenomena
2. Characteristics of symbols. Represent something more than the symbol alone. Can capture emotional, cognitive, ethical, and aesthetic meanings. Symbols efficiently summarize those meanings to organization members. They have the important cultural function of bringing order to otherwise complex events and processes, especially those that are repeated
3. Symbols fall into these categories: action symbols, verbal symbols, and material symbols. Action symbols are sets of behaviors that have meaning beyond the obvious aspects of the behavior. For example, all managers dine together but the female managers eat separately from the males, sending the added message of not valuing diversity. Verbal symbols refer to stories, slogans, sagas, legends, and jargon that both distinguish people in a culture and carry special meanings for them. Material symbols are found in the physical features of an organization's culture. They include architecture, interior decor, and types of clothing
4. Symbols vary in complexity.
5. Viewing symbols from the three perspectives
1. Integration perspective
2. Differentiation perspective
3. Fragmentation perspective

Functions of Organizational Culture

1. Consensus about organization's mission
2. Present consistent external image
3. Agree about performance measurement and corrective actions
4. Define rewards and sanctions
5. Integrate subsystems and processes
6. Define rules of power and social status
7. Develop and communicate the organization's ideology

Dysfunctions of Organizational Culture

1. Constrain strategy change
2. Constrain diversification, acquisitions, and mergers
3. Restrict new technology introduction
4. Negative interactions among subculture members
5. Communication failures between members of different subcultures

Diagnosing Organizational Culture

1. As an outsider
2. As an insider

Organizational Culture and Organization Performance

1. Some theories of organizational culture and organization performance
1. Three conditions for culture to give an organization a strategic advantage
2. Environment–culture congruence: variations in organizational environments
3. Culture traits and performance: involvement, consistency, adaptability, mission
2. Growing empirical support for a link between organizational culture and performance

Creating, Maintaining, and Changing Organizational Culture

1. Creating organizational culture
1. Deliberate effort to build a specific type of organizational cultur
2. Happens when an entrepreneur forms an organization to pursue a vision or when managers of an existing organization form a new operating unit. Refer to the person who forms the new organization or unit as the founder
3. The new culture needs a core ideology that is understandable, convincing, and talked about widely in the new organization. The core ideology is a key way that organization members develop commitment to the founder's vision
4. Recruit and select people who already share in key parts of the ideology or who can easily develop commitment to it. Formal socialization practices play key roles in building an identity with the ideology. It is more difficult the greater the distance between the individual's values on entry and the values and beliefs of the ideology
5. Recognize that subcultures are likely to form around demographic patterns, occupations, and technical specializations. Those subcultures also affect the socialization of new recruits. Anticipate both the manifest functions and latent dysfunctions of the likely subcultures
6. Build cultural symbols that are fully consistent with the ideology
7. The environment can shift in ways that present management with problems and opportunities not anticipated at the time of founding. Management will need some strong attachment to flexibility to manage its evolving organizational culture
8. Leadership plays a key role in developing the new organization's culture
9. Founder also should plan for leader succession if she wants the culture to continue into the future
2. Maintaining organizational culture
1. Not a passive management response. Requires managers to have an awareness of what organizational culture is and how it manifests itself in their organization. Requires knowing the existing organizational cultur
2. Role of culture diagnosis
3. A management dilemma: (a) holding to the values you believe are right for the organization because they have proved successful in the past and (b) questioning whether those values are right for the environment the organization now faces
4. The goal is to maintain commitment of the members of the organization to its key parts, which includes strengthening key values
5. Hold to the good parts of the organization's culture but help the organization adapt to its newest challenges
6. Actively look for and fix cultural contradictions. Those contradictions appear in the form of differences between espoused values and actual behavior. They also appear in the form of cultural symbols that are inconsistent with expressed values
7. Training programs, socialization processes, new organization practices. Comparing the introduction of new practices to the organization's ideology
8. Continuity and reexamination of socialization
3. Changing organizational culture
1. Break from some features of the old culture and create new features. Size and depth of the change will vary
2. Long-term, planned change; taking many years to reach the new culture state (more in Chapter 18, “Organizational Change and Development”)
3. Managing the change process
1. Building on moments that look right for culture change or clearly demand it; often the first is based on poor past performance with clear threats to the organization's viability. The second can come from the need to pursue favorable new markets that require changes in the organization's culture
2. Managers should not assume that everyone in the organization will share their view of the need to change
3. The change effort can focus on many pieces of the organization's culture, such as ideology, values, and symbols. Know your roots and keep some continuity with the past that is valued widely in the organization. Example: the value of continuous improvement in an organization like the FBI, which has a culture emphasizing itself as the premier law enforcement agency in the world. Also, good management of change lets managers say what will not change as a way of offering familiarity and security to veteran employees. Can help reduce resistance to proposed changes
4. Recognize that it is not realistic to believe you can remove all aspects of an older culture
5. Managers will need to move forward with confidence, persistence, and optimism about the new culture

International Aspects of Organizational Culture

1. Multinational organizations operate in many countries and face varying local cultures. Those local cultures can shape the subcultures of globally dispersed units which are shaped by national culture, local business norms, and needs of local customers
2. Disagreement about whether culture bound or culture free. A major issue faced by managers of multinational organizations is the set of values they want their globally dispersed operations to have. Do they want the values of the home country to be dominant or do they want to adopt those of the local national culture? Organizations that want their international units to hold values of the home country place managers from the home country or socialize locally hired people. This has been the practice of Hewlett-Packard for its worldwide operations so that managers, no matter what their national origin and no matter the country in which they work, will know the “HP Way”
3. Effects on people from different cultures working for multinational organizations. Organization determinism versus national determinism
4. Cultural synergy. Related, at the international level, to the valuing diversity philosophy described in Chapter 2, “The Context of Modern Organizations.” Contrast with more parochial or ethnocentric views

Ethical Issues in Organizational Culture

1. Manipulation or exploitation of human beings through changes in an organization's culture or the creation of a new organization and its culture. Usually no disagreement that organizational culture affects human behavior. The issue pivots on what is the moral action that management can take. Different views from utilitarianism and rights ethics theories
2. Managing and changing organizational cultures must be a visible process following clear ethical rules
3. Diagnosing organizational cultures: the ethics of doing such research
4. The moral dimension of organizational culture; focuses on the questions of whether individuals are forced to subordinate their personal values to those of their organization's culture

Chapter Overview

Chapter 4 describes organizational culture. It is included in Part 1 because of its close connection with the emerging issues described in Chapter 2 and the emphasis on ethical values in Chapter 3. Together, the issues covered in Part 1 form the context of modern organizational behavior and management.

The chapter describes the major parts of organizational culture, ways to understand it, and its functions and dysfunctions. Readers also learn how to diagnose an organization's culture. Current examples drawn from press reports show the importance of culture in modern organizations.

The chapter shows how an organization's socialization process helps maintain an organization's culture and the implications organizational culture has for a person considering an organization for employment. Chapter 6 fully treats organizational socialization, which this chapter briefly introduces.

Chapter 4 includes sections that discuss the international and ethical issues surrounding the chapter's content. This feature continues in all other chapters of the book.

Learning Goals

After reading this chapter, you should be able to

• Discuss the concept of organizational culture.
• Understand organizational culture effects on you as an individual.
• Distinguish different dimensions of organizational culture.
• Describe the different levels at which we experience an organization's culture.
• Analyze organizational culture from three perspectives.
• Understand cultural symbolism.
• Discuss the functions and dysfunctions of organizational culture.
• Diagnose an organization's culture.
• Describe the relationship between organizational culture and organizational performance.
• Explain the issues involved in creating, maintaining, and changing organizational culture.
• Appreciate some international and ethical issues raised by organizational cultures.

Personal and Management Implications

Organizational cultures often have multiple sets of values among their subcultures. Those values can be contradictory, unclear, and ambiguous. Such features of cultures imply that you may encounter difficulties in your socialization to a new culture as a new employee. For managers, those features imply difficulty in doing a clear and unambiguous diagnosis to understand and manage culture.

As a veteran member of an organization, you should be alert to certain pitfalls when doing a culture diagnosis of your employing organization¹. Objectivity in the diagnosis is important but hard to get when you have been involved in an organization's culture for many years. The emphasis of a culture and its values and basic assumptions are subtle and not easy to see. You will need to exert some effort to reveal the content of the culture and what it does for your organization.

Managing an organization's culture requires you to first discover the basic assumptions underlying the culture through a diagnosis, as suggested earlier. Identifying the symbols of the culture and communicating them to new employees are important elements of managing a culture. Veteran organization members can have difficulty here because some symbols simply are not obvious to them.

Managers of modern organizations will feel increasing pressure to include a moral dimension in their organizational cultures. This will include developing a code of ethics, talking about that code, and prominently displaying it throughout the organization. It will be more difficult for managers to change their existing organizational cultures to make that moral dimension part of the cultural fabric. Nonmanagement employees will also feel this pressure. One key implication for all of us is the growing emphasis on employees' rights to speak out freely in their organizations. That right includes “blowing the whistle” on any unethical behavior they see.²

Notes

1. Deal, T. E., and A. A. Kennedy. 1982. Corporate Cultures: The Rites and Rituals of Corporate Life. Reading, Mass.: Addison-Wesley. pp. 133–35.
2. Ewing, D. W. 1978. Civil Liberties in the Corporation. New York State Bar Journal 50: 188–229; Near, J. P., and M. P. Miceli. 1996. Whistle-Blowing: Myth and Reality. Journal of Management 22: 507–26.

Chapter Summary

Organizational cultures include the values, norms, rites, rituals, symbols, ceremonies, heroes, and scoundrels in the history of the organization. Organizational cultures define what a new employee needs to learn for acceptance as an organizational member. Cultures are functional when they help an organization adapt to its external environment and coordinate internal activities. They are dysfunctional when they are the basis of resistance to change or create culture clashes when two different cultures merge.

Organizational cultures are pervasive in organizations, but are often taken for granted by veteran employees. Cultures have strong imprints from their historical roots, become highly interdependent with other organization processes, and can have many subcultures. Organizational cultures also have a political dimension and are often interlocked with the organization's power systems.

The levels at which you see organizational cultures vary from visible to almost invisible. Artifacts and other cultural symbols usually are visible to even the newest employee. Basic assumptions — a set of implicit values — are almost invisible to new employees and are learned only after a period of socialization and acceptance. Espoused values and in-use values have midlevel visibility.

Three perspectives view an organizational culture in different ways. An integration perspective sees organizational cultures as widely shared values among organization members. The differentiation perspective says subcultures form within an organization's culture. A fragmentation perspective sees ambiguity in organizations that prevents agreement on values.

Organizational cultures have systems of symbols that have meaning only to members of that culture. This view of organizational cultures looks at artifacts and examines anything with symbolic meaning to its members. Symbols can be action, verbal, or material.

Diagnosing an organization's culture is an important way for a potential employee to get information about the organization. It also is an important way for a manager to learn about the culture of the organization. An outsider's diagnosis usually cannot go beyond artifacts and values. The insider not only sees artifacts and values but, with much work, can also uncover basic assumptions.

Managers maintain an existing organizational culture because they believe it is right for the environments they face. They also can try to change their culture to a new set of values, basic assumptions, and ideologies. Those new values can focus on diversity, quality, global competitiveness, or ethical behavior in the organization. Managers can try to create a new culture, usually in a separate work unit or in a new organization. The new culture needs a core ideology that is understandable, convincing, and widely discussed.

International cultural diversity can lead to subcultures forming around national heritage. The “culture synergy” view argued for embracing this cultural diversity to give the organization a strategic advantage.

The major ethical issues center on free and informed choice by employees and freedom to express their views. An organization's culture can have a conscious moral dimension to guide management decision making.

Chapter Outline

Introduction

1. Three related aspects of human psychology can strongly affect behavior in organizations
2. Understanding perception, attitudes, and personality can help you understand behavior in organizations

Perception

1. Introduction
1. Cognitive process that lets a person make sense of stimuli from the environment
2. Stimuli from objects: a physical object, an event, a sound, a person, an idea, or a concept
3. Includes sight, smell, sounds, touch, etc.
2. The perceptual process
1. Target: object of a person's perceptual process, such as another person, a physical object, an event, a sound, an idea, or a concept
2. Threshold: minimum amount of information about, or stimulus from, the target for a person to notice its presence
1. Detection threshold: point at which a person notices that something has changed in the environment
2. Recognition threshold: point at which a person can identify the target or changes in the target's attributes
3. Perceptual defense: shields a person from negative stimuli. People can block out annoying sounds or disturbing and anxiety-provoking feedback
4. Perceptual errors
1. Perceptual set: beliefs based on previous experience with a target; act like a set of instructions that process information a person gets about the target
2. Stereotype: beliefs and perceived attributes of a target person based on the group to which the target person belongs
5. Self-perception: a view of self
1. Self-concept
2. Self-esteem
3. Self-presentation
6. Social perception: a view of others
1. Elements of social perception
1. Person
2. Situation
3. Behavior
4. Attribution processes
1. Personal attribution
2. Situational attribution
3. Consensus, distinctiveness, and consistency information
4. Attribution errors
• Fundamental attribution error
• False consensus
5. Integration of attributions

Attitudes

1. Introduction
1. Definition
1. Many definitions used by social psychologists
2. Definition: learned predisposition to respond in a consistently favorable or unfavorable manner toward an object
2. Elements of an attitude
1. Cognitive
2. Affective
3. Behavioral intentions
3. Relationship to perception
2. Attitude formation
3. Attitude change
1. Persuasive communication
2. Social influence
3. Cognitive dissonance

Personality

1. Definition
2. Personality theories
1. Cognitive theory
2. Learning theory
3. Biological theory
3. Emotions and emotional intelligence
1. Background
1. Emotion defined
2. Contrast to rational, non-feeling approach
3. Role of emotion: quick reactions; survival
4. Different brain functions of emotional and rational
5. Interaction between emotional and rational for effective decisions
2. Basic emotions
1. Anger
2. Disgust
3. Fear
4. Joy
5. Sadness
6. Shame
7. Surprise
3. Emotional intelligence
1. Definition
2. Elements
3. Functions
4. Implications for decisions, behavior, and management
4. The Big Five personality dimensions
1. Extroversion
2. Emotional stability
3. Agreeableness
4. Conscientiousness
5. Openness to experience
5. Personality types
1. Locus of control
2. Machiavellianism
3. Type A and B personality

International Aspects of Perception, Attitudes, and Personality

1. Attribution processes by foreigners in a new country; knowledge of culture before concluding whether the person or situation is the cause of observed behavior
2. Differences in fundamental attribution errors among American and Asian Indian subjects
3. Personality: different cultures emphasize different personality characteristics

Ethical Issues in Perception, Attitudes, and Personality

1. Some speculation here because little empirical research exists
2. Perception
1. Perceptual errors and their effect on “seeing” unethical behavior or decisions
1. Perceptual set: beliefs about what to expect from the target person. Could carry a belief that the person is ethical or unethical and interpret the person's behavior accordingly
2. Stereotype. Especially of concern within a diverse workforce
2. Attribution processes when observing behavior and actors
3. Attitudes
1. Limited valid and reliable research evidence about the ethical attitudes of students and managers; contextual quality of ethics and behavior in organizations
2. Some evidence of impression management of ethical attitudes

Chapter Overview

Chapter 5's description of perception, attitudes, and personality gives some basic background for later chapters. The perception portion of the chapter describes self-perception, social perception, and the link between perception and behavior. Social perception includes an extended discussion of attribution processes.

The chapter's attitude section describes the three parts of attitude: cognitive, affective, and behavioral intentions. It then discusses how attitudes form, how they change, and their link to behavior.

Chapter 5 presents personality through three major classes of personality theory: cognitive theory, learning theory, and the potentially controversial biological theory. A discussion of emotions and emotional intelligence follows, with an emphasis on the behavioral effects of emotions. The chapter then develops the Big Five personality dimensions, which have seen increasing acceptance among personality psychologists. A separate section discusses some major personality types that have implications for organizational behavior, such as Type A and B personalities and extroversion and introversion.

Learning Goals

After reading this chapter, you should be able to

• Assess human perceptual processes and how people form impressions of others.
• Distinguish types of perceptual error and their effects on the information people get from their environment.
• Explain attribution processes and their effects on perceptions and attitudes.
• Discuss the nature of attitudes, how they form, and how they change.
• List the different parts of an attitude.
• Contrast different views of human personality development.
• Understand emotions and their role in human behavior.
• Discuss some dimensions of personality and several personality types.
• Recognize the effects of different cultures on perception, attitudes, and personality.
• Compare ethical issues that follow from stereotypes, attribution processes, and self-presentation.

Personal and Management Implications

The types of perceptual errors humans make have several implications. Two common errors come from perceptual sets and stereotyping. If either of these sources of perceptual error gives you an incorrect view of a situation or a person, you may behave inappropriately for that situation or person.

The fundamental attribution error is the tendency to underestimate the situation as a cause of another person's behavior. If you suffer from this type of error, you will overestimate the degree to which a person's characteristics explain his behavior. When explaining your own behavior, though, you will tend to ascribe its causes to the situation and not to your personal qualities. Such errors can affect the accuracy of your view about another's characteristics. Whatever the accuracy of your views, you will develop a false consensus, an overestimation of how much others agree with you.

Recall that, when people experience cognitive dissonance, they feel a state of tension and a need to reduce that tension. A common organization situation you could encounter involves a performance appraisal and the rewards you and others get because of that appraisal. Such appraisals are judgments by a manager about people's performance. You may feel your performance was rated lower than it should have been compared to the performance of a coworker. You will feel cognitive dissonance and a need to reduce it. Several ways of reducing the dissonance are available to you, such as quitting the organization or seeking a transfer.

A major management responsibility is assessing the performance of those who report to you. Many job situations will not let you directly measure a person's performance. Instead, you will assess or appraise performance based on your knowledge and observations of a person's behavior. Because you are observing the behavior of another person, many perceptual errors described in the text could affect your conclusions about that person's performance¹. The result could be a performance appraisal that does not accord with what the person believes is just. Such feelings of unfairness can lead the person to engage in behaviors that are dysfunctional for your work unit.

The discussion of attribution processes earlier in the text chapter emphasized how people ascribe characteristics and qualities to other people. The attribution processes of those who work for you play an important role in whether they perceive you as a leader. People ascribe leadership qualities to others based on their implicit leadership theories². Such theories act as perceptual filters and standards of comparison for the qualities people believe a leader should have. A person perceived as a good leader by one person may not be perceived that way by another.

Organizations will increasingly become multinational in both operation and membership³. Many managers in the future will find themselves working directly with managers from other countries. The cultural differences in management orientation described earlier suggest two implications. First, the conflict potential among managers from different countries is high. Second, to reduce that conflict potential, managers from all countries must understand the different orientations they bring to an organization. The text chapter touched only briefly on the international aspects of such issues. You will find much more detail in the citations for that discussion.

Notes

1. Feldman, J. M. 1981. Beyond Attribution Theory: Cognitive Processes in Performance Appraisal. Journal of Applied Psychology 66: 127–48.
2. Calder, B. J. 1977. An Attribution Theory of Leadership. In New Directions in Organizational Behavior, ed. B. M. Staw and G. R. Salancik. Chicago: St. Clair Press, pp. 179–204.
3. Holstein, W. J. 1990. The Stateless Corporation: Forget Multinationals — Today's Giants Are Really Leaping Boundaries. Business Week (14 May): 98–105.

Chapter Summary

Perception is a selective cognitive process that lets a person make sense of stimuli from the environment. Perceptual errors include perceptual set and stereotyping. Self-perception (how you see yourself) has three parts: self-concept, self-esteem, and self-presentation. Social perception is the process of understanding another person using information from the person, from the situation, and from observed behavior. Social perception includes attribution processes, which explain the cause of other people's behavior. People make attribution errors that can lead to inaccurate perceptions and conclusions about another person.

Attitudes are favorable or unfavorable dispositions about an object. The three related parts of an attitude are cognitive, affective, and behavioral intention. Attitudes can change because something persuades the person to shift his attitudes, the norms of a social group affect his attitudes, or the person becomes cognitively uncomfortable (cognitive dissonance) with some aspects of his beliefs compared to others.

Personality is a set of traits, characteristics, and predispositions of a person. Three views of personality development came from cognitive theory, learning theories, and biological explanations of personality development. The Big Five personality dimensions are extroversion, emotional stability, agreeableness, conscientiousness, and openness to experience. Some personality types of interest are locus of control, Machiavellian, and Type A and B.

Emotions play a key role in human behavior, often without a person understanding why an emotion triggered a behavior. People with high emotional intelligence understand their emotions, those of others, and the role of emotions in determining behavior.

People often hold stereotypes about those from other cultures. These stereotypes can be inaccurate, leading to difficulties in interactions in other countries. Cultures also vary in the attitudes held about organizations, their management, and the types of personality characteristics considered important.

Several issues emerged in the ethics discussion earlier in this chapter. Stereotypes can affect one's perception of the ethical behavior of another person. People can also manage their self-presentations so that others perceive them as behaving ethically. Attribution processes can change whether one perceives the situation as causing unethical behavior or the person being responsible for the behavior.

Chapter Outline

1. Introduction
1. Socialization: a powerful process for shaping human behavior.
2. The process by which people adjust to new jobs, new organizations, and new groups of people.
1. Learn the right values, attitudes, and role behaviors
2. Develop work skills and abilities
3. Adjust to the norms and values of the immediate work group
4. Learn about an organization's culture
5. Question of individual-organization fit
2. Roles and Role Behavior
1. Role: a collection of repeated behaviors of an organizational position
2. Role behavior
1. Pivotal: behaviors a person must accept to remain a member of the organization
2. Relevant: behaviors the organization considers desirable and good, but not essential to membership
3. Peripheral: behaviors that are neither necessary nor desirable, but allowed by an organization
3. Role Episodes
1. Socialization process involves a series of role episodes
2. A role epsiode
1. Communicates pivitol and relevant role behavior
2. Role sender and sent role
3. Focal person and received role
4. Reactions of role sender and focal person in a role episode
4. Boundary Transitions
1. Socialization process happens at boundary transitions
1. Functional
2. Hierarchical
3. Inclusionary
2. Process repeats many times as a person's careers unfolds and as person crosses different boundaries
3. Early period following a boundary transition is highly important from both the individual's and the organization's perspective
4. Highly salient to a person when taking a new job in the same or a different organization
5. Individual and Organizational Perspectives on Socialization
1. Two-way process
1. Organization  Socialization
2. Person  Individualization
2. Individual perspective
1. Need to preserve a unique identity
2. Need to use unique skills and talents
3. Need to satisfy a unique set of needs
4. Also need acceptance by the new organization and its members so talents and abilities will be used
3. Organizational perspective
1. Need some degree of conformity to the organization’s values and behavior that are considered necessary for the organization’s survival.
2. Uniformity in values and behavior decreases conflict potential
3. Also needs the innovative behavior of its new members if it is to remain viable and survive in a changing environment.
4. Dilemma: getting what it needs for effective role performance without over-specifying role behavior
4. This is the dilemma of organizational socialization for both the person and organization. Let us now see how this drama unfolds for us as we begin the process of choosing a new job and entering a new organization.
6. Stages of Organizational Socialization
1. Choice: anticipatory socialization ("Getting In")
1. Happens before joining the organization
2. Make tentative then firm choice of organizations to join. Anticipate what life will be like in each organization—"anticipatory socialization."
3. Issues
1. Realism about the organization. Role requirements, culture's values and norms. In short, what is it like to work for this organization?
2. Realism about the job: what are the job duties? Need to describe both the positive and negative side.
3. Congruence of skills and abilities. What skills and abilities do you have as an individual; what skills and abilities does the organization need? Note the requirement to present accurate images on both sides. individual must know what he or she can do and not over- or under-sell self. Likewise for the organization.
4. Congruence of needs and values: What needs are you trying to satisfy in the work setting? Can the organizations you are reviewing satisfy those needs?
4. Outcome of the choice stage: expectations and an image of what it will be like to work for that organization. Anticipatory socialization is trying to convey realism and develop congruence between the person and the organization.
5. Some examples of organizational practices in the choice stage
1. Recruitment advertising
2. Recruitment interviews; role of the company recruiter
3. Internships
4. Screening and selection-assessment centers; testing and selection
6. Realistic Job Previews (RJPs). Try to build a realistic image of organization life
2. Entry/Encounter ("Breaking In")
1. Comparison of expectations to reality
2. Readiness to be socialized
1. Degree of motivation to join the organization
2. Motivation of an individual to stay with the organization; inducements to cause an individual to stay
3. Role episodes are a highly important part of this stage
4. Issues not independent of each other
1. Role clarification. Role in immediate work group. Includes both the organization and informal group definition of role requirements. Seeking role clarification both within the organization and the informal group.
2. Learning new tasks. Learning duties, tasks, responsibilities. Evaluation of progress in meeting the demands of the job and the organization.
3. Learning about the work group. Interpersonal relations with group members. Learning group norms.
4. Learning to manage various role conflicts
1. Intragroup
2. Intergroup
3. Work-nonwork
5. Multiple sources of organizational socialization
1. Organization. Formal rules, policies, procedures; both written and unwritten
2. Immediate supervisor; performance feedback
3. Immediate work group
4. The job itself: level of job challenge
6. Examples of some organization practices in the entry-encounter stage
1. Apprenticeship
2. Training programs
3. Indoctrination programs
4. Debasement or upending experiences
3. Change: Metamorphosis ("Settling In")
1. Change to new self-image
2. Knows the requirements of the job
3. Has successfully adjusted to socialization demands from many sources
4. Possible socialization outcomes
1. Rebellion, custodial, innovation
2. Content innovation versus role innovation
4. The stages repeat throughout careers. Degree of socialization may be less as a person encounters each career change. Issue: expectations of the new role will be based partly on what the person has already experienced. Way the person behaves in the new situation will be based partly on how she behaved in the old situation.
7. Individual Differences and Organizational Socialization
1. Skills and abilities
2. Self-efficacy beliefs
3. Selective perception
4. Attribution processes
5. Needs
8. International Aspects of Organizational Socialization
1. International role transitions and socialization. Features common to both expatriate and repatriate role transitions
1. Moving to and from roles. Referred to as expatriate and repatriate adjustment. Experience the stages of socialization as in domestic job changes but with some special issues associated with each stage
2. Both forms of adjustment carry elements of culture shock. Expatriate adjustment is clearly a move from one's home country to a foreign country. Repatriate adjustment follows the return to the person's home country. If the foreign assignment was for the typical three to four years, the home country could have changed in ways unknown to the expatriate. The return presents the person with a culture shock experience, making the adjustment almost as difficult as expatriate adjustment.
3. Dimensions of cross-cultural adjustment
1. Adjustment to the job and work environment
2. Adjustment to interacting with local nationals
3. Adjustment to the culture of the country
4. Training, as part of the organization's formal socialization process, can help smooth the transitions
2. Issues in expatriate adjustment
1. High interest in successful expatriate adjustment because of high incidence of failures
2. Some special difficulties in expatriate adjustment
1. Difficulty crossing the inclusionary boundary in the foreign assignment
2. More dramatic changes, contrasts, and surprises
3. Need more preparation for international assignments so that the transitions will be less disruptive
3. Selection of expatriates. Typically selected based on successful performance in domestic roles. Success in Des Moines Iowa does not guarantee success in New Delhi. Now recommended that criteria other than successful domestic performance be used. Those criteria include past experience in a foreign assignment, an openness to differences among people, and a willingness to learn about another culture. The same aspects of a spouse and other family members also should be considered in the selection decision.
4. Socialization of expatriates. Formal training of those who will go to foreign operations. Although the research evidence shows cross-cultural training is effective in smoothing the transition, only about 30% of expatriates get such training before departing from their home country. The training that is offered is not comprehensive. Usually an orientation to the culture of the foreign assignment and the physical environment. Spouses are often not included in such training although it is becoming clear that their adaptation plays a key role in successful expatriate adjustment.
5. Culture-toughness dimension. Some countries are harder to adjust to than others. Distance of foreign culture from the home culture. Some research says India, Pakistan, Liberia, for example, are especially tough for U.S. employees. Women also face special issues in cultures with male-dominated norms and values.
6. Career development programs and policies by organizations as ways of smoothing the transitions. Career value of the international assignment.
3. Issues in repatriate adjustment
1. Repatriates who have been gone for several years will not necessarily have an accurate image of their home culture. During the anticipatory stage before leaving their foreign assignment, the repatriate can develop inaccurate expectations of life back home. Can maintain accurate expectations if the expatriate has had home leave or required visits to the home office
2. Required interactions with people in the home office because of task interdependence. Interactions by any communication media help here. Includes telephone, facsimile, international teleconferences, direct computer connection.
3. Easier adaptation if expatriate had a sponsor in the home office whose responsibility was to inform the expatriate of major policy and strategic changes back home.
4. The degree of adaptation of the expatriate to the foreign culture can affect adaptation to the home culture.
5. Expatriation salary differentials, housing allowances, culture novelty, and time in assignments can inhibit repatriation adjustment. Can have a downward shift in perceived status.
6. Predeparture training rarely is done. Training on return could also help. Make it part of the organization's formal socialization of the repatriate.
9. Ethical Issues in Organizational Socialization
1. Shaping a person's values and behavior
2. Not revealing socialization goals of company training programs. A question of full disclosure of intent
3. Using debasement experiences
4. Knowingly withholding from potential employees negative information about working for the company. Can happen in recruitment advertising or during the recruitment interview. At what point does an organization move into the unethical arena.
5. A potential employee knowingly withholding information about self that could affect her performance

Chapter Overview

Chapter 6 describes organizational socialization and is closely linked to Chapter 4's description of organizational culture. The chapter opens with a discussion of roles, role behavior, and how role episodes define a person's expected behavior in an organization. It includes a discussion of the boundary transitions a person experiences as one moves through an organization and career. Socialization is presented as a series of stages each of which has its own socialization processes and results.
This chapter's purpose is to inform the reader of what to expect when first considering an organization as an employer and the dynamics of the socialization process over time. The chapter also describes some limited aspects of careers because different aspects of socialization are experienced as one's career unfolds. The chapter pursues the topics from an individual perspective ("What will happen to me in this process?") and a manager’s ("What do I do with this process?") trying to manage an effective socialization process.

learning goals

After reading this chapter, you should be able to

• Explain organizational socialization as a process that communicates an organization's culture.
• Distinguish amongf roles, role behaviors, and boundary transitions.
• Discuss role episodes and their importance in organizational socialization.
• Describe each boundary transition and its role in the socialization process.
• Explain the stages of organizational socialization and how they repeat during a work career.
• Discuss individual differences in organizational socialization.
• Compare the socialization issues in expatriate and repatriate adjustment.
• Analyze the ethical issues in organizational socialization.

Personal and Management implications

The anticipatory stage of socialization has an especially important implication for everyone. Get as much information as you can about the organizations that interest you. Examine existing documents for clues about the organization's culture. Useful sources include annual reports and press accounts about an organization’s activities. You also can gather information from an organization's website and other Internet sources. If possible, contact existing employees of the organization to get some idea about the organization's culture from an informed insider. The accuracy of your image of the organization and its culture will make your adaptation to the organization much easier. Getting accurate information at this stage is highly important for taking an assignment in another country. The latter will feature much that is new about the external culture surrounding the organization.

Be accurate and candid in the way you present yourself. Know your values, skills, abilities, and limits. You play a key role in the other side of a realistic job preview. There also is a strong need for a "realistic employee preview". You may need to temper your presentation's accuracy with your knowledge of the target organization's culture. Some organization recruiters would react adversely to a candid self-presentation, especially if their organization's culture supports and values deception.

The importance of a realistic job preview to new employee retention and performance cannot be overemphasized. Managers should let potential new employees know both the good and bad points about working for the organization. Such accurate information becomes highly important for new employees taking an assignment in another country. Include information about the local culture in the realistic job preview. You will find the socialization process much easier if newcomers have such a preview.

Managers play a potent role in the socialization process. Your behavior as a manager sends signals and cues about important values in the culture. For example, if the organizational culture highly values punctuality, your behavior should reflect your acceptance of this value. If it values ethical behavior in all organization actions, you must behave in ways that show you accept that value.

The performance appraisals you do with a newcomer are also an important way of giving feedback about how the person sees and interprets the organization. Tell her the meaning you see in events that have happened to her and show her the events are part of the routine life of the organization. The latter is especially true for events newcomers might interpret as "goofy" but are highly valued by you and the organization.

Chapter Summary

Organizational socialization is a powerful process that affects an individual’s behavior and helps shape and maintain an organization’s culture. It usually is the first behavioral process a person experiences after joining an organization. Part of the socialization process happens before joining an organization. Other parts happen after joining.

Organizations ask employees to take on specific roles that have behavioral requirements. The three types of role behavior are pivotal (required), relevant (desired), and peripheral (tolerated). Those role behaviors are learned in a series of role episodes that unfold during socialization. The socialization process is continuous throughout a person’s association with an organization, but it is most intense before and after boundary transitions. Boundary transitions have three dimensions: functional (job), hierarchical (promotion), and inclusionary (inward movement).

The anticipatory stage of socialization creates expectations about life in the organization before a person enters the organization. The person compares those expectations to the reality experienced in the entry/encounter stage. The entry/encounter stage happens after the person crosses the organization’s boundary and begins the first day of employment. After successful adaptation to socialization demands, the employee passes through the metamorphosis stage. In this stage, the employee experiences the final adaptation to the organization’s demands.

Organizations operating in an international context face special socialization issues. People moving to other countries (expatriates) experience the same stages of socialization as they do in domestic job changes. On return to their home country, repatriates can experience culture shock while readapting to their home culture.

Several ethical issues center on whether there is a need for informed consent about an organization’s goal of shaping a person’s values and behavior by its socialization processes. The broad ethical question is: “Should the organization tell potential and existing employees about the goals of its socialization process?”

Chapter Outline

1. Introduction
1. Structure of cognitive theories
2. Structure of behavioral theories
3. Comparison to the need theories described in Chapter 7, “Motivation: Need Theories.” The cognitive theories do not concern themselves with how needs or cognitions are acquired. The need theories in Chapter 7 described much of this.
2. Expectancy Theory
1. Basic concepts of expectancy theory
1. Expectancy: a belief that a particular act will be followed by a particular outcome. Certain the outcome will happen = 1; certain the outcome will not happen = 0; ranges fcbetween 0 and 1.
2. Two types of expectancies
1. Effort-Performance expectancy (E P). Perception of a person's effort leading to the desired level of performance. No guarantee the person will perform as required. Multiple levels of effort and performance.
2. Performance-Outcome expectancy (P O). Perception of getting a specific outcome for performance. Instrumentality in some formulations. Multiple outcomes.
3. Managers can affect expectancies both directly and indirectly
3. Valence of the outcomes
1. + = attracted to outcome (traveling to Boston or San Francisco)
2. 0 = indifference to the outcome (traveling to Hollywood)
3. - = avoid the outcome (traveling to Plainview, Texas)
4. Can take on a wide range of values which expresses the degree of attractiveness or avoidance of the outcome. Example: grades
5. Managers actions do not tend to affect valences
2. Relationships between expectancies and valences (formula for model)
3. Types of outcomes
1. Extrinsic outcomes. Controlled by someone outside the person. Time delay often between performance and receiving the reward.
2. Intrinsic outcomes. Controlled by the individual. Little if any time delay between performance and the reward
3. Relationship of each to needs
1. Extrinsic: can be related to many needs.
2. Intrinsic: related to higher-level needs such as esteem and self-actualization
4. Individual and organizational blockages
1. Individual blockages: skills, abilities, task assignments, experience with the requested behavior
2. Organizational blockages: resources, training, and conflict levels
3. Equity Theory
1. Views social relationships as exchange relationships. In any exchange, one party could feel unfairly treated. Especially important in employee exchanges and other transactions in the work setting involving extrinsic rewards. Can be a direct exchange relationship or a relationship with a third party such as an employer.
2. Part of larger concern with organizational justice
1. Distributive justice
1. Fairness in distribution of rewards and costs
2. Example: giving pay increases and promotions
2. Procedural Justice
1. Fairness of decision-making procedure for distributing rewards and costs
2. Example: deciding the pay increases and promotions
3. Equity theory focuses on distributive justice
3. Inputs
1. What is brought to the social exchange
2. As perceived by the contributor
3. Contributor determines relevance to the exchange relationship
4. Example: merit versus seniority pay raises
4. Outcomes
1. Relevance as perceived by recipient
2. Positively valent
3. Negatively valent
5. Person and other
6. Equity defined

• Op   Oa
  — = —
  Ip      Ia

7. Inequity defined
1. Underpayment (Negative Inequity)
   

   Op    Oa
   — < —
   Ip      Ia

2. Overpayment (Positive Inequity)
   

    Op    Oa
   — > —
   Ip     Ia

3. The threshold of inequity is higher in the overpayment case
8. O and I are weighted sums of individual outcomes and inputs.
9. Note the central role of perception in the equity comparison
10. Responses to inequity. Try to change any of the four elements of the inequity formula
1. Change inputs
1. Negative inequity: reduce productivity or quality of output
2. Positive inequity: increase productivity or quality of output. Less likely to occur than (1) because of threshold effect.
2. Change outcomes. Asking for a pay increase is the most likely. Union wage negotiations.
3. Cognitive distortion of own inputs and outcomes. Constrained by realities. Alter utility, relevance, and importance. See more variety in the job.
4. Withdrawal. Temporary and permanent
5. Acting on other
6. Cognitively distort inputs and outcomes of the other
7. Change the other
11. Equity Sensitivity
1. Equity sensitives: react as theory predicts
2. Benevolents: accept negative inequity
3. Entitleds: accept positive inequity with no guilt
4. Goal Setting Theory
1. Description
2. Goal setting steps
3. Links to expectancy theory
5. Behavior Modification
1. Technique built from operant conditioning and reinforcement theory.
2. Principles underlying behavior modification
3. A method of behavior modification
1. Positive reinforcement
2. Punishment
3. Extinction
4. Negative reinforcement
4. Schedules of reinforcement
1. Continuous reinforcement
2. Intermittent reinforcement
1. Fixed ratio
2. Variable ratio
3. Fixed interval
4. Variable interval
5. Shaping
6. Side effects of punishment
6. International Aspects of the Cognitive and Behavioral Theoies of Motivation
1. The theories described in this chapter have two underlying assumptions. The first says that the individual controls her decisions about future actions. The second says a manager can deliberately shape the behavior of the people who work for her. Both assumptions probably reflect U.S. values.
2. Expectancy theory
1. Has strong roots in U.S. values. Strong individualism leads to a need to explain our actions as ways of getting something for them or satisfying some need. Is it culture bound?
2. Expectancy theory emphasizes individual control, a strong U.S. value but not characteristic of all cultures. Examples. Does not apply in those cultures.
3. The discussion of the international aspects of need theories in Chapter 7 highlighted the large differences among cultures in what people felt were their most important needs and values. Such differences will have strong affects on the types of outcomes people from different cultures with see as positively valent. Examples.
4. Has more cross-cultural application if we recognize major differences in what workers in different countries will view as positively valent.
3. Equity theory in collectivistic societies
4. Goal setting theory
7. Ethical Issues in the Cognitive and Behavioral Theories of Motivation
1. This chapter gave you more information about motivation and shaping the behavior of other people. The theories discussed are especially powerful ways of affecting another person's behavior. We continue our ethical dialogue about motivation in organizations by focusing on issues raised by each theory
2. General ethical issues
1. Goals of using knowledge of motivation. Openness about those goals.
2. Equity and the ethics of deliberately creating a condition of perceived negative inequity with the purpose of driving an employee out of the organization.
3. Should managers use their knowledge of human motivation to aim people's behavior in an ethical direction?
4. Punishment and justice in shaping ethical behavior
3. Behavior modification is a powerful method of controlling human behavior. It often leaves people feeling uneasy about its use. Individual freedom and autonomy.
1. The question of control
2. Controlling the controllers

Chapter Overview

Chapter 8 describes the cognitive and behavioral theories and techniques of motivation. The cognitive theories are expectancy theory, equity theory, and goal setting. Expectancy theory describes internal processes of choice among different behaviors. Equity theory describes how people react when they feel unfairly treated by a manager. Goal setting theory emphasizes setting external goals that a person tries to reach. The chapter fully develops each theory and shows their analytical strength for assessing motivational issues and problems in organizations.
The chapter then turns to behavior modification. This theory does not use internal psychological processes to explain human behavior, which is sometimes a controversial feature of behavior modification. Chapter 8 shows behavior modification’s practical use without laboring over details of the underlying theory of operant conditioning.

learning goals

After reading this chapter, you should be able to

• Describe how people develop expectations about what will happen to them.
• Analyze differences in the values people place on the results of their behavior.
• Distinguish the differences between extrinsic and intrinsic outcomes.
• Discuss the role of equity in human motivation and behavior.
• Use the techniques of goal setting.
• Describe the powerful technique of behavior modification.
• Discuss some international aspects of motivation.
• Contrast some ethical issues that surround motivation and behavior in organizations.

Personal and Management implications

The concept of valence from expectancy theory has important implications for you in the job you now have and whatever career you pursue in the future. What do you strongly value? If what you value is not used to reward your performance in your present job, you will probably not be highly motivated except by intrinsic outcomes. Think about the career you are headed toward. Will it let you get what you find positively valent?

Expectancy Theory recommends that managers closely tie valued outcomes to their subordinates' job performance. Many organizations do not give managers the flexibility they need to follow this recommendation. Other organizations give considerable discretion to managers and supervisors. In both instances, managing the equitable distribution of extrinsic outcomes is not easy.

When doing your present job, or any job in the future, pay special attention to blockages between your effort and performance. Although some blockages may be individual (skills and experience), managers are responsible for clearing many of them. If the managers do not remove the blockages, you may experience frustration when doing your job, and your motivation may drop as a result. Your college preparation right now is trying to clear individual blockages between your effort and performance in the future.

Managing the blockages that can reduce the effort-performance expectancy is an important part of the job of managing motivation. Subordinates may not always tell you they cannot do a task assignment. They may not tell you because they do not know or because they are not comfortable discussing their deficiency with you. If their performance is not as high as you expected, look for individual blockages. You may find the employees do not have the necessary skills and abilities. You could then give them training to do the task well or break up the task into more manageable parts.

The technique of behavior modification is clear about what it wants a supervisor or manager to do in directing and shaping behavior. In the future, you may find yourself faced with the opportunity to use Behavior Modification. Only you can decide the answers to the ethical questions raised in the text.

Chapter Summary

This chapter focused on motivation from two perspectives: one perspective was external to the individual, and the other was internal. Expectancy theory explains different internal states of the process of motivation. The effort-performance expectancy is the perceived connection between an individual’s effort and performance. Both individual and organizational blockages reduce the belief that a person’s effort will lead to a given level of performance. A second expectancy describes the perceived connection between performance and the outcomes for performance. The performance-outcome expectancy is a person’s belief that performance will be followed by one or more ­extrinsic or intrinsic outcomes. Of great importance is the valence, or value, put on those outcomes. Managers need to focus on what subordinates value for their performance and then reward good performance with valued outcomes.

Equity theory showed us that a manager must be careful when using extrinsic outcomes for job performance. If a person feels inequitably treated, the individual might decrease performance or leave the organization.

Goal setting theory describes other ways of directing and shaping a person’s behavior. Goals that are specific, challenging, reachable, and accepted by a person lead to higher performance than goals that do not have those characteristics. Managers can follow the goal setting steps to improve a subordinate’s performance.

Behavior modification does not use cognitive processes to describe human motivation and behavior; rather it looks outside the individual at the consequences of a person’s behavior. The techniques of behavior modification center on controlling those consequences to direct and shape behavior.

U.S. scholars developed the motivation theories described in this chapter. Those theories have some underlying assumptions that reflect U.S. values of free will and individualism. The “International Aspects” section discussed whether the assumptions limit the application of these theories in countries outside the United States.

Several ethical issues emerge from the motivation theories in this chapter. The most basic issue is whether managers should tell employees that they will try to affect their behavior by various motivational approaches. Other issues derive from behavior modification because a manager, or any person, can clearly use it for good or evil ends.

Chapter Outline

1. Introduction
1. Design of a job can affect a person’s motivation and satisfaction
2. Previous two chapters suggested the importance of both extrinsic and intrinsic rewards in motivation and performance
3. This chapter shows how a manager can create a context within which a person
2. Intrinsic Rewards and Job Design
1. Job rotation
2. Job enlargement
3. Job enrichment
3. The Job Characteristics Theory of Work Motivation
1. Affective and behavioral outcomes
2. Critical psychological states
3. Perceived and objective job characteristics
1. Core job characteristics
2. Motivating potential of a job
3. Objective job characteristics
4. Relationships predicted by the theory
1. Main effects
2. Moderators of the relationships in the model
1. Knowledge and skill
2. Growth need strength
3. Work context
4. Contextual Factors in Job Design
1. Organizational design and job design
1. Specialized division of labor
2. Centralization, decentralization, and span of control
1. Wide span of control: more autonomy for subordinates. Probably broader-scope jobs. Affects jobs of both supervisors and subordinates. Reverse would be true for narrow span of control.
2. Centralized organizations imply closer supervision and less autonomy.
2. Technical process and job design
1. Constraint. capital investment
2. Helps job redesign
3. Types of technology and job design effects
3. Management behavior and job design
1. More about leadership and management in organizations in Chapter 12, “Leadership and Management.”
2. Reciprocal effects
3. Leader behavior can define content of tasks done by subordinates
1. Close versus general supervision
2. Participation in decision-making
5. Diagnosing and Redesigning Jobs
6. Group-Based Job Design
1. Some tasks are better done by groups than by individuals.
2. Adopting a technology that uses groups.
3. Type of group: “self-managing work group.”
4. Design of task and group
1. Design of group task
1. Built from individual job design
2. Changing focus to a group instead of an individual
2. Design of group
1. Group composition
2. Group performance norms
5. What Are the Expectations for Group-Based Jobs?
6. Individual and contextual considerations
1. Need for affiliation
2. Growth need strength
3. Reward system
7. Factors Affecting Perceptions of Objective Job Characteristics
1. The social information processing theory (SIP)
1. An alternative to the job characteristics theory
2. Objective job characteristics exist and people perceive them
3. Perceptions of the job characteristics are affected by the social information people get from their immediate environment, especially that received from co-workers and immediate supervisor.
4. Many factors can affect perceptions. Reaction is to those perceptions that can be directly influenced by social information
5. Opens the possibility that people can be affected by the manipulation of social information independently of any changes in the characteristics of their jobs as suggested by the job characteristics theory.
2. Both theories have a place and are useful
8. International Aspects of Job Design
1. Differences in the needs and different cultures discussed in Chapter 7, “Motivation: Need Theories.” Implies that striving for intrinsic rewards, the basic target of job redesign, does not apply to all cultures. Not all cultures view self-actualization from work experiences as important.
2. Changing specific job characteristics and likely reactions in different cultures. For example, autonomy and task identity. Not likely to be accepted in countries such as Belgium, Mexico, Greece, Thailand, Turkey, and France. French managers especially abhor recommendations to decentralize their decision authority and their subordinates do not expect them to do so.
3. Individual versus group-based job design and cultural differences. Sweden and Norway especially have restructured their work systems around self-managing teams. Consistent with their more socially-oriented values, desire for quality interpersonal relationships, and little emphasis on competition among individuals.
9. Ethical Issues in Job Design
1. Stress effects of job design from both low-clout jobs and those that overtax people.
2. Voluntary involvement of people in self-managing work teams for those with a low need for affiliation and little desire for team-based work. Some people do not want high involvement in their work roles, preferring high involvement in nonwork roles.
3. Job redesign in international operations. As described in Chapter 7, people around the world differ in the needs they consider central to their personalities and lives. People in some cultures do not readily accept moving decision-making authority below managers. They perceive such decision- making as the proper role of a manager and not to be done by a nonmanager. Other cultures, such as Sweden, have been successful with self-managing work teams.

Chapter Overview

Chapter 9 presents the results of the extensive research done on the effects of job design on people's intrinsic motivation. The chapter focuses only on job design and the intrinsic rewards that can flow from work designed in specific ways.

The chapter describes the job characteristics theory of work Motivation—a motivational view of job design. It includes a discussion of the effects of several contextual factors on people's reactions to their job's design. The chapter closes with descriptions of diagnosing and redesigning jobs and group-based job design.

learning goals

After reading this chapter, you should be able to

• Discuss the role of job design in giving people opportunities to experience intrinsic rewards.
• Describe the major job design theories.
• Analyze how the work context affects people's reaction to the design of their jobs.
• Explain the process of diagnosing and redesigning jobs.
• Compare individual job design to group job design.
• Identify some international aspects of intrinsic rewards and job design.
• Discuss ethical issues that surround intrinsic rewards and job design.

Personal and management implications

Several important implications emerge from this chapter for you and for the design of jobs. The first is related to you as a person and the nature of the needs you are trying to satisfy at work. People, including yourself, vary in the needs they are trying to satisfy in their jobs and careers. The issue for you is the degree of congruency that exists between your need structure and the type of career you are now pursuing. A job congruent with your various needs should be highly satisfying and motivating to you.

Second, reflect upon the outcomes for your work performance that you highly value (see text Chapter 8, “Motivation: Cognitive and Behavioral Theories and Techniques”). If you place more emphasis on intrinsic outcomes, jobs designed according to the job characteristics theory should be a source of satisfaction and motivation for you. If you place more emphasis on extrinsic outcomes, the opposite conclusion is true. The intrinsic motivational qualities are less important to you than the extrinsic outcomes you get for good performance.

The last implication deals with your relative preferences for jobs designed for groups versus individuals. If you have strong affiliation needs, you should be comfortable with jobs designed for groups or teams. If your affiliation needs are weak, you should prefer jobs designed for individuals.

Managers should actively search for ways to tap the growth needs of their employees. You would like to have maximum discretion in designing jobs to fit the needs people are trying to satisfy at work. Remember, though, the importance of growth needs varies from country to country. Unfortunately, getting congruence between individual needs and job design is not always possible. The design of the organization and the underlying technical process may constrain you from being as flexible as you might prefer.

Another important issue is whether the design of jobs you manage is congruent with the organization's technical process. A highly interdependent technical process suggests using individual job design. A technical process built upon teams requires a group-based approach to job design. Incongruity between the technical process and the type of job design can lead to unnecessary frustration for your subordinates.

Changing your behavior as a manager can produce significant changes in your subordinates' job design. Delegating decision authority increases the autonomy and task significance of your subordinates' jobs. Involving subordinates in decisions can increase skill variety and task significance. If people working for you have strong achievement needs and are unhappy with the jobs they are doing, consider changing some aspects of your management behavior. The change in your behavior will lead to important changes in the design of the jobs of your subordinates. Text Chapter 12, “Leadership and Management” raises these issues when it turns to the question of leadership and management.

Chapter Summary

The job characteristics theory of work motivation describes how the design of jobs affects motivation, performance, and satisfaction. The theory specifies several core job characteristics that can affect three internal psychological states and induce high levels of motivation and performance.

The theory includes both individual and work context factors that can affect (moderate) the expected positive relationships between job characteristics and levels of motivation and performance. The strength of a person’s need for growth on the job must be strong for a high positive response to the job’s characteristics. Many other factors in the work context can help or hinder job design such as an organization’s design, its technical process, and management behavior.

The diagnosis and redesign of jobs start by getting information about the present state of jobs using a questionnaire similar to the job diagnostic survey (JDS). Data collected with the JDS show the job’s motivating potential score (MPS), the core job characteristics, and affective responses. The MPS can be compared to norms to decide whether a job has an excessively low score, and then the job characteristics that are responsible for that low MPS can be identified.

Jobs can be designed either for groups or for individuals. The basic approach is the same for each. Other factors considered in group-based job design include internal group dynamics and group norms. Countries differ in whether they emphasize individual-based or group-based job design. Scandinavian organizations have emphasized self-managing work teams more than individual-based approaches to work design.

An alternative to the job characteristics theory describes how perceptions of job characteristics develop and the factors that can affect those perceptions. Supervisors, coworkers, and the job redesign process all can positively or negatively affect perceptions, even when the job is not changed.

Two implications for intrinsic rewards and job design follow from cultural differences. Because all cultures do not view self-actualization from work experiences as important, striving for intrinsic rewards from job redesign does not always apply. Another implication is that cultural differences should guide the choice of individual-based or group-based approaches. U.S. managers have mostly used individual-based job design approaches. Managers in other countries such as Norway and Sweden have mainly emphasized group-based job design.

Some ethical implications derive from people’s differences in the need for affiliation and designing group-based work. People with a low need for affiliation might have little desire for group-based work. Some people might not want high involvement in their work roles, preferring high involvement in nonwork roles instead. Those reasons imply at least two ethical questions. Should involvement in such groups be voluntary for those already employed by a company? Should job applicants be fully informed about the company’s use of groups and the likelihood of a group assignment if they are hired?

Chapter Outline

1. Introduction
1. Groups, group dynamics, intergroup processes: inevitable and critical aspects of organizations and their management
2. Group: an interdependent set of people doing a task or trying to reach a common goal
3. A group is a complex, adaptive system that can change its membership, goals, and structure over time
4. Groups can powerfully affect people’s behavior
5. Knowledge of group dynamics can help you function better within a group or manage group activities.
2. Formal and Informal Groups
1. Formal groups
1. Functional groups. Created by the formal organization structure. Permanent: departments, work units
2. Task groups. Created to do a specific task or solve a specific problem. Temporary: task forces, project teams, or committees.
3. Self-managing teams. A growing use in many organizations. Autonomy is a major feature.
2. Informal groups. Interest groups and friendship groups. Emerge within and across the formal groups. Powerful—the shadow organization
3. Membership in informal groups is voluntary. Membership in formal groups is required by employer. Attraction to members of the group. Similarity in attitudes, beliefs, and opinions
3. Basic Concepts for Understanding Groups in Organizations
1. Norms
2. Cohesiveness
3. Conformity
1. Compliance: goes along with the group's norms, but does not personally accept those norms.
2. Personal acceptance: individual's beliefs and attitudes are congruent with the group's norms. The more powerful of the two forms of conformity—greater control.
3. Conformity is not necessarily bad. Gives order to the group's activities. Individual members know what to expect from each other. Conformity often leads to effective group performance.
4. Required and emergent behaviors
4. Functions of Groups in Organizations
1. Socialization of members
2. Motivation system
3. Support members while doing the work. Especially important for hazardous work.
4. Informal social behavior. Adds a purely social dimension to working
5. Dysfunctions of Groups in Organizations
1. Groups do not always produce positive results for either the individual or the organization
2. Groups take more time than individuals
1. Group structure takes time to develop
2. Roles, statuses, and norms take time to specify.
3. Conflict within the group takes time to settle
3. Social loafing, free-rider, and sucker effects
4. People who are members of cohesive informal groups can experience some loss of their individual identity. Being able to hide in a group may lead a person to behave in ways atypical for the individual. Responsibility for negative results of the group's action can become diffused among group members. No single person takes responsibility for a bad decision.
5. Pressures toward uniformity. Groupthink. Discussed more fully in Chapter 14, “Decision-Making and Problem-Solving Processes”.
6. Model of Cohesive Group Formation
1. Activities, interactions, and sentiments
2. Organizational factors affecting cohesive group formation
1. Proximity
2. Physical isolation
3. Ambient noise level
4. Required interaction
5. Incomplete job descriptions
6. Free time at work
7. Physically tied to work station
8. Attention required by work
9. Absenteeism and turnover
3. Bases of attraction
7. Stages of Group Development: Important because productivity is not always highest in the early group development stages
1. Group formation (Forming). Orienting the members of the group to the group's task and to each other
2. Intragroup conflict (Storming). Emergence of status structure of the group. Interpersonal conflict.
3. Group cohesion (Norming). Development of group norms. Cohesiveness.
4. Task orientation (Performing). Maturity. Social issues settled. Now focus on the task.
5. Termination
6. Repetition of the stages. Redevelopment of group when a new member joins. Relationship to socialization (Chapter 6, “Organizational Socialization”).
8. Social Structure of Groups
1. Social structure
1. Prescribed by the organization for formal groups such as functional and task groups.
2. Emerges within an informal group. Members often know what that structure is and can describe it. Or, the informal group decides to formalize and specify its structure in writing or by any device it considers appropriate.
3. Once a group has matured and established its norms, the structure can persist even as group membership changes
2. Dimensions of group structure
1. Roles, norms, satus
1. Expected behavior of role occupant
2. Changes made by person who takes on the role
2. Status: rank and place
3. Norms
4. Communication network: person's position within it
1. Central: connected to everyone in the group
2. Peripheral: removed from other group members
3. Positioned between two other members. Communication must go through the connecting role. Can be a bottleneck to communication.
4. More in Chapter 13, "Communication Processes"
5. Power and Influence
1. Individual needs. Needs for dominance, affiliation, autonomy, security, structure, order (Murray, Chapter 7, “Motivation: Need Theories”).
2. Individual abilities. Have the only resource that is important to achieving the groups' goals (expertise, lap-top computer). Or, several people have the resource that must be pooled to reach the groups' goals.
3. Group structure effects
1. Individual needs, satisfaction, behavior, influence. Need for affiliation, need for power, need for dominance
2. Behavior differences from group to group. Different status position and roles in different groups.
3. Role conflict
4. Achieving group goals. Group performance. More detail in the next section
9. Factors that Affect Group Effectiveness
1. Physical environment
1. Seating arrangement. People at ends of a rectangular table participate more in group activities than those in other positions.
2. Those across from each other interact more than with others in different positions.
3. Those who know each other well tend to sit next to each other.
4. Leaders emerge from the head positions of a rectangular table. More difficult to predict in a circular arrangement.
5. Effect of physical setting. Crowding.
2. Social environment
1. Compatibility of members leads to higher group productivity. Enjoy the company of others in the group.
2. If the task requires variations in people's performance, then variations in members' characteristics lead to higher group performance. If the task requires similarities in people's performance, similarities in member's characteristics leads to higher performance.
3. Members with special skills that apply to the group's task will be the more active participants and more strongly affect the group's decisions.
4. More communication within a cohesive group.
5. Members of cohesive groups are more cooperative with each other and more satisfied with the group and its task.
6. Highly cohesive groups more strongly affect members' behavior than less cohesive groups. Nature of norms, of course, are important here.
7. Groups with members having diverse abilities that apply to the task of the group are more effective
3. Group size
1. Small refers to groups with seven or fewer members
2. As size increases, satisfaction with the group's activities decreases
3. Participation of members drops as size of the group increases
4. Communication difficulty in large groups
5. Individuals more likely to conform to group norms in small groups
6. Larger groups have more resources to work on the group's task. Can have difficulty in reaching agreement.
7. Discussion and problem-solving groups should be 5 people to get best performance.
8. Leader is more likely to emerge as group size increases
9. Odd-even effects
4. Task
1. Cooperation requirements. Interdependence. Highly cooperative tasks are better done in smaller groups.
2. Task difficulty and feedback within the group while doing the task
3. Complex: decentralized group structure
4. Simple: centralized group structure
5. Implications for designing groups
10. Virtual Groups
1. Definition
1. Interactive computer-based systems
2. Uses communication, computer, and decision support technologies
3. Technologies support problem-solving and decision-making groups
4. Goal is to support group processes that increase decision effectiveness and quality
5. Temporal and physical configurations range from meeting in real time or asynchronously
6. Names of some systems in use
1. HroupSystems
2. Cisco Systems WebEx
2. Technologies features and characteristics
1. Decision tools. Software that supports a problem solving or decision-making task. Example: stakeholder analysis tool.
2. Process tools. Software that supports a particular approach to a group's task. Example: electronic brainstorming tool.
3. Parallel communication. Ability of group members to communicate with everyone in the group.
4. Anonymous communication. No identification attached to a person's message.
5. Shared software. Available equally to all group members. Allows joint tasks.
6. Shared view. All group members have the same view of the group's work.
7. Communication
1. Synchronous: chat rooms and other direct computer-to-computer communication.
2. Asynchronous: e-mail, bulletin boards for threaded discussions
3. Challenges presented to organizations and management
1. Building trust among group members
2. Building group cohesiveness
3. Reducing feelings of member isolation and detachment
4. Balancing member interpersonal and technical skill requirements
5. Recognizing group and member performance
11. Self-Managing Teams
1. Definition
2. Distinguishing features. Use for interdependent tasks
3. Composition and size
4. Team processes
1. Cooperative behavior
2. Interdependent with each other to get task done
3. Synergy
4. Conflict management
5. Interactions, activities, and sentiments view applies here. Want cohesiveness.
5. Team leader
6. Links to customers and suppliers. Links inside and outside the organization
7. Managing self-managing teams
8. Empirical research results
12. Workgroup Socialization
1. Similar to the organizational socialization process discussed in Chapter 6
2. Unfolds in three related phases
1. Phase I: Anticipation
2. Phase II: Encounter
3. Phase III: Adjustment
3. Features that distinguishing workgroup socialization from organizational socialization
1. New member’s entry can strongly affect processes and structure. Smaller than an entire organization.
2. Forming new groups of any type starts the process of socializing the entire workgroup.
3. Group member departure
1. Group member can want to leave
2. Group can decide it wants a member to leave
3. Withdrawal process starts; person becomes a marginal group member
13. Majority and Minority Influences in Groups
1. Earlier discussion about group norms and group cohesiveness possibly left you with the impression of the absence of deviant behavior in groups
1. Cohesive groups feature an attachment to a group's norm or position by the majority of group members
2. Majority group members can pressure minority or deviant members to conform to a group's norm or position
3. Majority group members outnumber minority members
4. Hold negative view of minority or deviant members
5. Research shows positive group performance effects of minority group member influence
6. Group could perform at a lower level because members ignore information from one or more nonconforming members
2. Minority group members
1. Do not endorse the prevailing group opinion on an issue, problem, or decision. Oppose the group's prevailing position
2. Minority members bring alternative views to a problem or decision faced by the group.
3. Increase conflict within the group (See Chapter 11, “Conflict in Organizations’).
4. Promotes divergent thinking among majority members. Attend to new information that can lead to better decisions or problem solutions.
5. Minority group member's effects on majority opinion.
1. Consistent statements of opinion
2. Confidence in position
3. Repeated statements of opinion (persistence)
4. Timing of statements. For example, an increase in workplace accidents and pressing for better health insurance coverage
14. Effects of Workforce Diversity
1. Positive effects
1. Diverse outlooks can potentially help create more solutions to problems
2. Find better ways of doing group’s work
3. Especially useful to organizations that use teams to analyze work
4. Successful management
1. Knowledge of group dynamics
2. Knowledge of conflict management
3. Understand and accept differences
2. Negative effects
1. Misinterpretation of group members' intentions because of different worldviews
2. Especially likely to happen when people hold stereotypes about other members
3. Communication difficulties if members do not have a common first language
4. Distrust may exist because group members fear the new and unknown
5. High conflict potential
3. Other effects
1. Takes longer to pass through early stages of group formation and become cohesive
2. Introduces wide variation in bases of attraction
3. Makes the process of becoming cohesive longer, more complex, more difficult
4. Although the empirical research is mixed, results support the above statements
15. Intergroup Processes in Organizations
1. Behavior among groups. Interactions among members of different groups in an organization. Groups such as manufacturing, quality assurance, finance, marketing, design engineering, and the like.
2. Interdependence in organizations. The necessary connections among people that result from the design of the organization and its work processes. Growing use of cross-functional teams, especially in modern manufacturing's use of concurrent engineering and the world-wide press to manage for quality. The basic management issue is the coordination of activities that require contributions from people in different groups
3. People from different groups can have different orientations to tasks, time, and goals.
4. Those interactions can have various qualities. Several social psychological forces shape those qualities. Stereotype, categorization, etc.
5. Intergroup behavior often results in conflict between groups. That conflict must be managed to maintain it at a functional level so people can reach their work goals. Chapter 11 discusses conflict and conflict management.
6. Workforce diversity, informal groups, and intergroup behavior. Formal groups often mixed, but informal groups can grow around characteristics shared by people and some bases of attraction.
16. International Aspects of Groups in Organizations
1. Form and character of some group dynamics vary among cultures.
2. Pressures for conformity. The tendency to accept group pressure for conformity to the group's norms varies among cultures. Conformity is high among Japanese to the norms of a group that has the person's primary loyalty. Experimental research with German students showed a low tendency to conform. Conformity was moderate among people in Hong Kong, Brazil, Lebanon, and the U.S. Such evidence implies caution in carrying one's home-country view of conformity into other cultures.
3. Treatment of deviants. All societies pressure deviates to conform to norms. The cultural differences center on the strength of the pressure and the intensity of group rejection of a deviate. Some limited experimental evidence showed French, Swedish, and Norwegian groups as highest in pressure to conform and in intensity of rejection of a deviate. German and British groups much lower in those pressures. Implies importance of such group processes within organizations operating in various countries.
4. Intergroup behavior
1. Little cross-cultural research done. Major cultural distinction along an individualism-collectivism dimension. Collectivism emphasizes the goals of the group over those of the individual; asks loyalty to the group and emphasizes cooperation among group members. Individualism focuses on the person, not the group.
2. Collectivistic cultures expect little expression of conflict during intergroup interactions. A suppression of it with little discussion about the feelings of the members of the different groups that come into contact with each other. More personalization during the interaction. Focuses on the people in the interaction, despite the group they represent. Group membership is more salient during intergroup interactions than in individualistic cultures.
5. The cross-cultural differences in group and intergroup behavior emphasize major areas of cultural diversity for organizations operating in a global environment. Several observation about managing such culturally diverse groups.
1. Select team members of about equal ability, not based on cultural factors only. The manager can also let all members of the team know about the achievements of each person. Try to develop mutual respect among team members and avoid judgments based on cultural or ethnic stereotypes.
2. Recognize differences, do not hide or ignore them. Managers could encourage team members to discuss the cultural differences in the team. Want to discover and use different, and potentially positive, ways of viewing the group's task. A form of cultural synergy that can lead to high group performance.
3. International management observers caution against letting one cultural group dominate another within a team. Such dominance can come from the cultures viewed as most advanced, those from the host country, or those from the home country of the employing organization. The goal is to get the best of the different cultural views focused on the tasks of the team.
4. Actively manage the group processes by giving feedback to each member about the member's contribution. Use this feedback to help all team members understand the contribution to its success from its cultural diversity.
17. Ethical Issues about Groups in Organizations
1. Similar to those in organizational socialization
2. Conformity to group norms and the question of informed free choice
3. Assignment to formal groups is an expected part of the employment contract
4. No prior knowledge of the presence of informal groups and their norms. Any requirement of full disclosure by managers to recruits?
5. People with low affiliation needs and assignment to deliberately formed groups
6. Conflict levels within groups especially when heterogeneous, either deliberately or from workforce diversity

Chapter Overview

Chapter 10 describes group and intergroup processes in organizations. The chapter focuses on the role of groups in organizations and distinguishes formal groups from informal groups. Descriptions follow about the functions and dysfunctions of groups in organizations and why people join groups. The chapter develops a model of cohesive group formation and discusses group development stages. It then describes the growing use of virtual groups and self-managing teams in modern organizations. Two sections describe majority and minority influences in groups and workgroup socialization processes. The chapter discusses workforce diversity effects on group development and functioning. The chapter also discusses intergroup processes in organizations.

learning goals

After reading this chapter, the reader should be able to:

• Distinguish between formal and informal groups.
• Define the basic conceptual tools for understanding groups.
• Compare the functions and dysfunctions of groups in organizations.
• Describe how and why cohesive groups form in organizations.
• Discuss the role of activities, interactions, and sentiments in cohesive group formation.
• List the stages of group development and the behavior that likely occurs in each stage.
• Define factors that affect group effectiveness, including minority influence in groups.
• Discuss the functioning of virtual groups in organizations and some characteristics of virtual group technology.
• Explain the emergence and use of self-managing teams in organizations.
• Discuss the management roles required by self-managing teams.
• Describe workgroup socialization processes.
• Explain intergroup processes in organizations.

Appreciate some international and ethical issues that surround group and intergroup processes

Personal and Management Implications

The implications of groups for you as an individual derive from the ways a cohesive group can affect your behavior. If you like to interact with people, you likely will become a member of an existing informal group. If the group is cohesive, its norms will affect your behavior. Of course, if you do not care to interact with others, you will probably not become a member and the group will have little effect on you.

The norms of a cohesive group do not always accord with the wishes of management and the organization. During your early socialization in an organization, a group may present you with performance norms that contradict the organization's norms. You can experience much internal conflict when trying to decide which performance norms to accept. If you value group membership highly, you will likely accept the group's norms. If those norms also contradict management's performance norms, you may find yourself at odds with the organization.

The positive side of a cohesive group for you is the support it can give its members. If the tasks of the group are interdependent, group support should help you get your job done. The group can also be an important source of information about how to do the tasks. A cohesive group can help you "learn the ropes" quickly.

Recall from text Chapter 6, “Organizational Socialization” that the early stages of socialization are both important and potentially stressful. The stages of group development you experience when entering groups of varying maturity put pressures upon you along with their socialization efforts.¹ Organizations that use temporary teams expose their employees to repeated pressures from both the stages of group development and socialization process.

You likely will have future chances to participate in virtual groups as organizations increasingly use them. Reflect on your reaction to technology, especially communication technology. If you have positive reactions, you will likely comfortable fit into an virtual group. If not, your experience could have negative effects on you.

Some management implications derive from two major properties of cohesive groups: (1) their powerful effect on individual behavior and (2) group norms. Managers should consider how they can use the positive qualities of cohesive groups. Such groups can support individual performance and help develop innovative solutions to problems.

Deliberately constructing factors that help group formation, or reducing factors that impede group formation, is a major management implication. Managers can affect whether a cohesive group will form. More difficult is getting group norms that accord with your goals and those of your organization. The information in text Chapters 12, “Leadership and Management” and Chapter 18, “Organizational Change and Development” should help you create a climate for the development of groups with the norms you want.

When you deliberately use groups in an organization, you need to understand the stages of group development and the effects of those stages on group members. You can help the stages of group development in many ways. Give newcomers an accurate picture of what it is like to work in a group before they join. Anticipatory socialization and realistic job previews, described in text Chapter 6, can inform newcomers about the group before they arrive. The more accurate the information, the more it will help the individuals adjust to the group. Well-informed newcomers will also minimally disturb the existing group's social and task structure.

The growing use of virtual groups in their varying forms should pose some challenges for you in the future. Such groups require not only understanding the basic knowledge about groups described in text Chapter 10, “Groups and Intergroup Processes” but also understanding the technologies that support virtual groups. Interactions between technology and human behavior should present you with unusual opportunities in the future.

People who choose to work outside their home country will be affected by cultural differences in groups and group dynamics. One simply cannot carry home country assumptions about the right way to behave in groups into another culture. Although our knowledge is still limited, the available evidence suggests you should inquire about cultural differences in such behavior.

Chapter Outline

1. Introduction
1. Definition of conflict in organizations
1. Conflict in organizations is doubt, questioning, opposition, controversy, or antagonistic interaction.
2. Conflict has both psychological and behavioral parts. Conflict may be within an individual (psychological) or between individuals (behavioral).
2. Basic behavioral process that needs managing
3. U.S. managers may feel conflict is not good for their organizations and that it should be eliminated
4. Has an episodic quality; rises and falls in an organization; varies in duration
5. Perspective on Conflict
1. Conflict is not necessarily bad for an organization. Do not need to reduce all conflict
2. An inevitable part of organization life
3. Conflict can be necessary for organization growth and survival
4. Conflict management is a basic responsibility of a manager
5. Conflict management includes both increasing and reducing conflict
6. Develop an understanding that lets you diagnose conflict situations and do a better job of managing conflict
2. Functional and Dysfunctional Conflict
1. Conflict is functional if it helps reach organizational goals. Dysfunctional conflict impedes the organization from reaching its goals. The latter type should be reduced or remove. Functional conflict should be nurtured, if not encouraged.
2. Distinction is not always clear
3. Conflict that is functional in one group may be dysfunctional in another group. Conflict requirements of a group may change with time. What is functional at one point for the group may be dysfunctional at another point.
4. The assessment of whether conflict is functional or dysfunctional is from the perspective of the organization and not the perspective of individual participants. We all differ in the amount of conflict we can tolerate. The requirements of the group in which we work may be higher than what we are comfortable experiencing. Level of conflict may still be functional for the group, although some members do not like the conflict.
5. Functional conflict
1. Some basic observations from Follett, Chapter 1
2. Generates information and new ideas
3. Innovation and change. May be an important management tool in a turbulent environment
4. Reduces stagnation
5. Conflict between groups can lead to higher productivity and greater identity with the group's activities and goals
6. Can point out problems within the organization requiring correction. For example, if inconsistent policies lead to repeated conflict between two people, the conflict can point out that inconsistency and allow the discovery of a needed correction.
6. Dysfunctional conflict
1. Tension, anxiety, stress
2. Can reduce trust. Withholding information
3. Can reduce performance if parties in conflict are interdependent in doing their jobs
4. Conflict itself can become the focus of management's attention, diverting valuable resources
3. Levels and Types of Conflict.
1. Intraorganization conflict
1. Intragroup conflict
2. Intergroup conflict
3. Interpersonal conflict
2. Intrapersonal conflict
3. Interorganization conflict
4. Conflict Episodes
1. Latent conflict. Sources of conflict in organizations. Here we find clues about the right interventions for reducing conflict.
2. Perceived conflict
3. Felt conflict
4. Manifest conflict
5. Conflict aftermath
6. Relationship among conflict episodes
5. Conflict Frames and Orientations
1. Conflict frames
1. Relationship-Task
2. Emotional-Intellectual
3. Cooperate-Win
2. Conflict orientations
1. As a person in a conflict episode, what will you do?
2. Using one orientation predominantly. Affects your approach to conflict management described in the next section.
3. Using many modes of behavior because circumstances restrict use of a single mode. Prefer collaborating but limited resources force you to use compromising.
4. Some modes do not let a manager get to the antecedents of conflict (avoiding, compromise).
6. Latent Conflict: Sources of Conflict in Organizations
1. Antecedents to a conflict episode
2. Latent conflict lurks in the background waiting for the right set of conditions to trigger manifest conflict
3. Latent conflicts
1. Scarce resources. Tangible or intangible. Money, equipment, facilities, influence, knowledge
2. Highly differentiated organization. Different time horizons. Different goals and ways of viewing the world. Communication difficulties because of special language or jargon of the different groups.
3. Rules, procedures, and policies
4. Cohesive informal groups. Because of group membership, members will place high value on certain personal characteristics. Groups will differ in what they value. Conflict can potentially erupt when members of such groups interact.
5. Interdependence. Joint decision making
6. Communication barriers
7. Ambiguous jurisdictions
8. Reward systems that encourage incompatible behavior
7. Conflict Management
1. Desired level of organization conflict. Both what is required for most effective operation of the organization or unit of the organization and what you as a manager desire.
1. Believe there is a desired conflict level for an organization
2. Desired conflict level varies according to the perceived conflict requirements of the unit. The perception of the conflict requirements of the unit are affected by the manager's tolerance level for conflict. A manager who prefers to avoid conflict has a lower tolerance for conflict than a manager who is willing to actively engage in functional conflict behavior.
3. Factors affecting the choice of the desired conflict level
1. Organization culture. Placing a low value on debates and disagreements about important issues versus placing a high value on such behavior.
2. Organization goals. Create innovative products or services
3. Task requirements. Production line versus creative task group
4. External environment
5. Personal level of conflict tolerance
2. Comparison of the actual conflict level to the desired conflict level.
1. Dysfunctionally high
1. Symptoms
1. Low trust
2. Distortion of information
3. High level of tension during interpersonal interactions
4. Antagonistic interactions (felt conflict)
5. Sabotage or violence
2. Reduce the conflict
2. Dysfunctionally low
1. Symptoms
1. Suppression
1. Denial of differences and desire to perceive similarities that do not exist
2. Repress controversial information
3. Prohibit disagreements about issues
2. Withdrawal
1. Reduced communication to avoid interactions that could lead to controversy
2. "Peace at any price"
3. Walking away from a disagreeable interaction
2. Increase the conflict
3. About right. Maintain conflict at the desired level
3. Reducing conflict. Conflict resolution usually, but not suggesting conflict will be eliminated, only reduced to the desired level considered functional for the work unit.
1. Lose-lose methods
1. Avoidance
1. Limit interaction
2. Withdraw
2. Compromise
1. Bargaining
2. Negotiation
3. Third-party intervention. Submit conflict to neutral party for settlement
2. Win-lose methods
1. Dominance
2. Authoritative command
3. Majority rule
3. Win-win methods. Each of the following is not entirely distinct from the others. There are useful differences among them. These can lead to no conflict aftermath.
1. Problem solving
2. Integration
3. Superordinate goal
4. Using multiple methods of conflict reduction
5. Caution: do not reduce to a dysfunctionally low level
4. Increasing Conflict
1. Form heterogeneous groups
2. Devil's advocate
3. Dialectical inquiry
4. Organizational culture of openness and debate
5. Do not increase to a dysfunctionally high level
8. International Aspects of Conflict in Organizations
1. Collectivistic countries and desire for cooperative behavior. Functional levels of conflict could be lower than in noncollectivistic countries, such as the U.S.
2. Presents a dilemma for a U.S. manager working in another country
3. Increasing conflict in such countries could be a completely foreign view. The manager might believe that more conflict will produce more information, better ideas, and innovation. Local culture does not support such behavior
9. Ethical Issues in Conflict in Organizations
1. An individual's personal tolerance for conflict and amount of conflict experienced in an organization
1. Manager's level of tolerance
2. Subordinates' level of tolerance
3. Manager's tolerance level and that of new hires. Disclosure
4. Existing group and new manager. Disclosure.
2. Form of manipulation. Trying to guide behavior in a desired direction. True of other topics in this book such as behavior modification as a motivation and behavior-shaping technique. Manager can openly state intention to use conflict as a tool for increasing ideas and innovation.
3. Intrapersonal conflict from requests to act against one's moral values. Also, observing behavior that you consider unethical. The question of whistle-blowing.
4. Differences in conflict levels among countries and managing at a functional level for people from collectivistic countries. Value conformity, orderliness, and group-oriented approaches to management.

Chapter Overview

Chapter 11 describes organizational conflict and conflict management. The chapter defines conflict and describes levels of conflict, functional conflict, and dysfunctional conflict. It includes a description of conflict frames and orientations and their effects on conflict behavior in organizations.

A key feature of the chapter is a well-integrated view of conflict episodes and the management of organizational conflict. Conflict management includes reducing and increasing conflict. Readers should develop insights about conflict processes especially from understanding latent conflict and its relationships to conflict aftermaths.

Learning Goals
After reading this chapter, you should be able to

• Define conflict and conflict behavior in organizations.
• Distinguish between functional and dysfunctional conflict.
• Compare different levels and types of conflict in organizations.
• Analyze conflict episodes and the linkages among them.
• Examine the role of latent conflict in a conflict episode and its sources in an organization.
• Describe different conflict frames and orientations.
• Discuss conflict management.
• List the sources of latent conflict in organizations.
• Use various techniques to reduce and increase conflict.
• Explain some international and ethical issues in conflict management.

Personal and Management Implications

Understanding your orientation to conflict can help you better interpret your reaction to others during a conflict episode. If you prefer to avoid conflict, another party to a conflict episode will quickly have the advantage. Although you might have good ideas about a problem or issue, those ideas may be lost because of your avoidance tendency.

If you tend to dominate or want to win a conflict episode, your ideas may dominate the solution. The problem, though, is that the solution will not benefit from others' ideas and may not be as good as it would have been otherwise.

Sometimes you may find yourself in conflict, but not understand why the conflict started. Look carefully for latent conflicts that have lain dormant in the situation in the past. Those latent conflicts, though sometimes hard to see, can be the real basis of your conflict. Only after finding the latencies can you do an effective job of reducing conflict you do not want.

You often will find yourself in a work situation where managers do not know how to manage conflict effectively. Conflict levels may get dysfunctionally high for you and prevent you from doing an effective job. You will become frustrated and stressed by the repeated conflict episodes. Unfortunately, you cannot always directly reduce the conflict level that is blocking you from doing a good job.

Understanding conflict episodes and the dynamics within them helps a manager shape a strategy for conflict management. The conflict orientation of the parties to the conflict plays an important role. A manager can find it difficult to comprehend the different orientations people have, especially when those orientations sharply differ from his own. Differences in cultural values about conflict will also affect conflict orientation. Such differences will arise in multinational organizations and those with high workforce diversity.

Predicting and then preventing conflict are skills every manager should develop. Developing these skills requires a full understanding of the true bases of conflict in organizations. Knowing the role of latent conflict in a conflict episode will give you keen insight into predicting and preventing conflict. Managers who are considering major changes in job or organizational design should analyze the proposed changes for sources of latent conflict. If latent conflict is found, the proposals can be altered to reduce or remove the latencies.

Chapter Summary

Conflict in organizations is opposition, incompatible behaviors, or antagonistic interaction. It includes interactions in which one party opposes another party, or one party tries to prevent or block another party from reaching his goals. Conflict can have both functional and dysfunctional effects on an organization.

Conflict behavior happens within interpersonal interactions, between groups (intergroup), within groups (intragroup), and between organizations (interorganization). Other conflict behavior starts because ­people experience strong conflicts within themselves (intrapersonal).

Conflict in organizations has an episodic quality. Many aspects of organizations act as the conflict latencies that can start an episode. Latent conflict lies dormant until conditions are right for the conflict to emerge as manifest conflict. The latter is the actual conflict behavior between the parties in a conflict episode. Managers can try to reduce the conflict by using a method of conflict reduction. Conflict episodes often end with a conflict aftermath that can become the latent conflict for a later episode.

There are many methods for reducing and increasing conflict. Most methods of conflict reduction leave a conflict aftermath. A few, such as integration and resource expansion, do not. Managers must carefully use the methods for increasing conflict so conflict ­levels do not become dysfunctionally high.

Countries differ in the levels of conflict that are functional. For example, collectivistic countries have a lower level of functional conflict than individualistic countries. Such differences raise an ethical question: Should managers honor the local country’s ­values even if their home country values support higher levels of conflict?

Chapter Outline

1. Introduction
1. Leadership is a social influence process involving two or more people: the leader and a follower (or a potential follower)
2. The influence process has two dimensions
1. Leader’s intention to affect the behavior of at least one other person
2. Target of the influence effort perceives the behavior as acceptable
3. Leaders found in different places in organizations
1. Formal organization positions such as a manager, supervisor, foreman, or vice-president
2. Emergent leaders often found within formal and informal groups in organizations
2. Management and Leadership
1. Leaders
1. Have a vision of a different condition for the organization. Inspires followers to pursue that vision. Willing to take risks if she perceives high payoffs to a course of action.
2. Use power for influence. Pulls people along instead of using sanctions to coerce people into compliance.
3. Find problems to solve
4. Actively seek opposing views to identify options to a course of action
5. Often brings chaos to an organization in pursuit of a vision
2. Managers
1. Go in the direction of the present vision for the organization; does not create a new one
2. Solve problems and try to bring order to the work place while ensuring the commitment of people to the goals of the organization
3. Takes less risk than a leader
4. Uses available rewards and sanctions coupled with much of the knowledge of human motivation in earlier chapters
5. Manage conflicting views by compromising among them
3. Implications
1. How much is required by the position?
2. Different requirements for leadership in different positions
3. Changes in requirements for leadership over time
3. Trait Approaches to Leadership
1. Leadership traits
1. Description
2. Some show up consistently
3. Importance of the situation
4. Behavioral Theories of Leadership
1. Left the trait approach because of the inconsistent results. Began focusing on behavior of managers—what they do, not who they are. Two different research groups—one at the University of Michigan and the other at Ohio State University. Research identified two major classes of behavior that were consistently found in their studies.
2. University of Michigan leadership studies: job-centered and employee-centered behavior.
3. Ohio State University leadership studies: initiating structure and consideration. Two independent continua. Supervisor or manager could use various amounts of both sets of behavior at the same time.
4. What the research found. Led to contingency research. Needed to consider various aspects of the situation in choosing leadership behavior
5. Contingency Theories of Leadership
1. Fiedler's contingency theory of leadership
1. Description
1. Individuals have a fixed set of personality-like traits that do not change much. Task versus relationship motivation. Similar to the behavioral dimensions discussed above. Fiedler views these as traits, not behaviors. Needs that the supervisor or manager is trying to satisfy.
2. The situation in which the supervisor or manager is placed varies in degree of favorableness to the person. The situation allows or does not allow control or influence by the supervisor or manager.
3. Characteristics of the situation that determine its favorableness, in order of importance, according to Fiedler
1. Leader-member relations
2. Task structure
3. Position power
4. Matching the leader to the situation. Examples
2. House's path-goal leadership theory
1. Description
1. Introduction
1. Viewing leadership as managing motivation. Strongly based on expectancy theory
2. Leader behavior should enhance the expectancy that an employee's effort will lead to performance and a reward will follow the performance.
3. Clearing a path for goal accomplishment and giving feedback and rewards for that accomplishment.
4. Two major functions: enhance expectancies and reward behavior.
5. Path-goal theory describes the leader behavior that is right for various situations. Not traits. Describes strong contingency relationships between situation characteristics and leader behavior
2. Leader behavior
1. Directive. Similar to job-centered, initiating structure, and task-motivated
2. Supportive. Similar to employee-centered, consideration, and relationship-motivated.
3. Participative
4. Achievement-oriented
5. Repertoire of behaviors from which a leader can choose. Flexibility
3. Situation factors
1. Individual factors
1. Locus of control: internal versus external
2. Perceived ability: low versus high. role of experience and esteem needs.
2. Organization and task environment factors
1. Task structure: structured versus unstructured. Role of task design.
2. Authority system of the organization
3. Work group: cohesive vs. not cohesive. Role of informal groups and their dynamics (see Chapter 10, “Groups and Intergroup Processes).
3. The fit between leader behaviors and factors in the task and organizational environment. What are the conditions under which the various behaviors can be used? Use the model analytically and diagnostically.
1. Redundancies
1. Cohesive group and supportive behavior
2. Structured task and directive behavior
2. Congruency
6. Alternative Views of Leadership
1. The leadership mystique
1. A sense of mission
2. A capacity for power
3. A will to survive and to persevere
2. Transformational leadership
1. Charisma
2. Individualized consideration
3. Intellectual stimulation
3. Charismatic leadership theories. Many emerged in the mid 1970s.
1. Look beyond the present
2. Create and communicate an inspirational vision
3. Build trust
4. Empower others
4. Leader-Member Exchange (LMX) Theory
1. Based on an exchange relationship between the leader and each of her followers. Not based on the degree of unilateral influence that a leader has over a follower because of the leader’s organizational position.
2. The relationship can mature into a partnership with each follower. The leader and follower shape the partnership according to the mutual desires of each party.
3. High quality exchange relationships feature high levels of mutual respect, trust, and obligation. Job performance extends well beyond one’s job description. A strong bond develops between the leader and follower, helping to build high job performance.
4. Low quality exchange relationships feature low levels of mutual respect, trust, and obligation. Job performance stays within one’s job description.
5. Work groups could have variations among group members in the quality of their LMX relationship. Teams with large differences in LMX relationship quality can have reduced member satisfaction and higher interpersonal conflict. Less true for teams with independent tasks.
5. Self-Leadership, SuperLeadership and Servant-Leadership
1. Self-Leadership focuses on the individual and moves the person toward intrinsically motivating tasks.
2. SuperLeadership is a form of empowerment that focuses on getting followers to lead themselves.
3. Servant-Leadership combines serving and leading. It also focuses on the environment to harmoniously reach its goals
7. Leadership and Self-Managing Teams
1. Increasing use of such teams. Described in Chapter 10. Have had in Europe and some Scandinavian countries. Growing in U.S. and Canada since.
2. Changes the traditional distribution of decision authority. Teams taking on much decision authority that had been in the roles of managers and supervisors. Such teams often decide work schedules, set performance goals, assess team member performance, purchase supplies, assess quality, interact with vendors, and interact with internal or external customers. Those activities typically had been done by managers and supervisors. Self-managing teams decide those matters along with doing their regular work of producing a product or providing a service.
1. Changes the roles of managers and supervisors outside the team
2. Defines new roles for some members of the team
3. Each team typically has a team leader who is either selected by team members or appointed by a manager or supervisor outside the team. Some team leaders hold the job permanently. Others teams rotate members through the position. Some team members may not feel well prepared to take on such roles.
4. Leadership issues
1. Traits and behavior described earlier in this chapter apply to team leaders
2. Benefit from viewing the team leader role from the different perspectives offered by various theories
8. Substitutes, Neutralizers, and Enhancers of Leadership Behavior
1. Substitutes act in place of the leadership
2. Neutralizers prevent leader behavior from affecting subordinates
3. Enhancers strengthen the effects of leader behavior on subordinates
9. Leadership Perceptions: "We Know a Leader When We See One"
1. Leadership categorization
1. Leadership prototype
2. Leadership exemplar
2. Leadership attributions
10. Women, Men, and Leadership
1. Continuing debate about differences in leadership behavior of women and men.
2. Held the view that the socialization of men built a competitive and aggressive leadership style while the socialization of women built a nurturing and caring leadership style.
3. One study showed some difference but its research design restricts generalizations of its results. Sample drawn from members of the International Women's Forum and male leaders nominated by them. Had a 31 percent response rate. Findings: men more likely transactional; women more likely transformational.
4. The empirical evidence, however, basically says there is no documented difference in leadership behavior of women and men in equivalent organization positions.
11. International Aspects of Leadership and Management
1. Wide variations in cultural values that are related to different approaches or styles of leadership and management
2. Results of specific cross-cultural studies
3. Global Leadership and Organizational Behavior Effectiveness Program (GLOBE)
12. Ethical Issues in Leadership and Management
1. Leadership uses social influence to deliberately affect the direction of another person's behavior. Such changes in a person's behavior can happen without a person consciously making the change. Leaders also can use much of the behavioral knowledge in this book to shape and direct the behavior of another person. An ethical issue focuses on whether such efforts are manipulation behavior.
2. Changing attitudes, values, and beliefs. Without a conscious effort of an employee. For example, quality management as a transformation of an organization's values from only a profit or cost focus to one stressing customers, processes, and continuous improvement.
3. Argument for an open system
4. Ethical leadership
1. An ethical leader confronts moral dilemmas, rewards ethical behavior, and builds an ethical organizational culture.
2. At least one study felt ethical charismatic leaders behaved in many ways that were different from the behavior of unethical leaders.
3. Ethical leader behavior
1. Encouraged and developed critical thinking among followers. Actively sought different views. Examining critical issues from many perspectives.
2. Helped followers develop in ways consistent with their needs, aspirations, and abilities.
3. Invited negative and positive feedback without reprisal. Did not fear criticism
4. Pursued the goals of the organization, not self-interest
5. Developed a shared vision.
6. Recognized the contributions of everyone to successfully reach that vision.
7. Widely shared information with followers. Actively sought other peoples' views about critical issues.
8. Had high moral standards that caused the leader to resolve ethical dilemmas
5. The result is continuously growing and developing people who are major assets to the leader in jointly solving problems. Unethical leaders create followers who have disciple-like attachment to the leader but are unable to strike out alone.

Chapter Overview

Chapter 12 describes various approaches to leadership research and outlines the conclusions that one can draw from that research. The chapter contrasts leadership and management and shows the difference between the two concepts. It discusses the conditions under which an organization needs leadership, management, or both. The chapter uses modern examples of leaders and managers in several sectors to show the points.

This chapter develops current thinking about trait, behavioral, and contingency approaches to leadership. It then describes some alternative views of leadership in organizations: leadership mystique, transformational leadership,  charismatic leadership, and leader-member exchange theory. Two sections follow that describe substitutes, neutralizers, and enhancers of leadership behavior and how leadership perceptions define who is and who is not a leader. The chapter also addresses the special issues surrounding self-managing teams. A separate section discusses women, men, and leadership.

Learning Goals
After reading this chapter, you should be able to

• Describe leadership as an influence process in organizations.
• Discuss the differences between leadership and management.
• Distinguish among the trait, behavioral, and contingency theories of leadership.
• List the traits that distinguish leaders from nonleaders.
• Compare some alternative views of leadership.
• Analyze the effects of self-managing teams on leadership.
• Explain the role of substitutes, neutralizers, and enhancers of leadership behavior.
• Contrast some aspects of women, men, and leadership.
• Describe how perceptual processes affect people’s conclusions about who is a leader and who is not a leader.
• Appreciate some international and ethical issues that surround leadership and management

Personal and Management implications

Do you feel you have some traits associated with leadership? If you do, the chances are good you will find yourself in a leadership role in the future. If you are now involved in clubs or campus organizations, do you try to exercise leadership? Both your traits and your present behavior give you some clues about possible leadership roles you will play in the future.

What type of leadership behavior do you prefer? Do you prefer more people-centered behavior or more task-centered behavior? Do you want to work for someone who emphasizes achievement? Would you like to participate in decisions that are likely to have a strong effect on you? Knowing the type of leader behavior you like will help you assess new job situations in the future. The cross-cultural differences in preferences described in the international section imply that desirable leader behavior varies from culture to culture. If you work outside your home country, you can expect variations in leader behavior preferences.

Transformational leaders often get higher performance from subordinates than the subordinates ever expected to achieve. Do not be surprised by your behavior if you find yourself working for a transformational leader. Such leaders create genuine excitement in subordinates and persuade them to act in extraordinary ways.

The distinction drawn earlier between management and leadership is important for managers to consider. A supervisory or management position may need more management behavior than leadership behavior, although the position may require some leadership behavior. Analyze your situation. If it requires change, then leadership behavior in the different forms described in the text chapter is required. If the situation is stable, then it needs management behavior that maintains and cares for your part of the organization.

Managers responsible for hiring other managers or supervisors often unknowingly use personal traits in their selection decision. If you use traits in your hiring decisions, you should examine the situation to be sure the individual you are considering will be successful. Note also that two behaviors, people and task, persist throughout the leadership research. All leaders and managers use these basic behaviors.

The contingency theories of leadership advise you to analyze the situation you are managing. If you do not have the behavioral flexibility suggested by path-goal theory, Fiedler's theory guides you toward the situations suited to your predispositions. If your behavior is flexible, path-goal theory guides you in a joint analysis of your situation and the behavior required for success. Consider both contingency approaches when reviewing your situation and your behavioral predispositions. The contingency view can be important to you if the people reporting to you come from different cultures.

Both leadership mystique and transformational leadership emphasize the role that charisma and a vision of the future play in leadership success. Do you have those qualities? Can you infuse your subordinates with excitement about the future? Think about it! Those two qualities may be the keys for successful leadership performance.

The discussion of substitutes, neutralizers, and enhancers of leadership gave you guides to aspects of your situation that change your influence over subordinates. Many factors in your situation can affect your influence over those who work for you.

Chapter Summary

Leadership is an influence process involving two or more people. The person who is the target of the influence effort must attribute that effort to a specific person and consider it acceptable.

Leaders and managers play different roles in organizations. Leaders try to change organizations, while managers sustain and control them. Organizations also have different needs for those roles at different levels and at different times in their history.

Trait theories describe traits consistently associated with leadership, such as intelligence, dominance, self-confidence, energy, the desire to lead, honesty, and task-relevant knowledge. Behavioral theories of leadership describe task- and people-oriented behavior as stable dimensions of leader behavior. Two ­contingency theories give different views of how situations affect leader behavior. Fiedler’s contingency theory of leadership says that leaders have a predisposition to focus on people or on tasks. House’s path-goal theory of leadership says that leaders can choose from four behaviors and combine them according to the needs of the situation. Those behaviors are directive, supportive, participative, and achievement-­oriented.

The alternative leadership theories are the leadership mystique, transformational leadership, charismatic leadership, and LMX theory. Each of these theories emphasizes the role of charisma and vision in effective leadership. Self-Leadership, SuperLeadership, and Servant-Leadership were also part of the alternative theories.

The growing use of self-managing work teams in American and Canadian organizations is changing the role of leaders inside and outside the teams. Many observations in this chapter apply to such teams and can guide team leaders and those who coordinate ­activities of several teams.

Situations surrounding leaders have many factors that substitute for leader behavior, neutralize the behavior, or enhance the behavior. Understanding a situation’s characteristics is an important step in being an effective leader in an organization.

The core values that define the relationships between leaders and followers or managers and subordinates vary across cultures. People in countries with values that specify hierarchical relationships in organi-zations react more positively to directive approaches than to participative approaches.

An ethical leader confronts moral dilemmas, rewards ethical behavior, and builds an ethical organizational culture. Such qualities are especially important to consider for leaders who have strong effects on their followers.

Chapter Outline

1. Introduction
1. Organizational communication includes the purpose, flow, and direction of messages and the media used for those messages.
2. Communication processes in organizations
1. Continuous and constantly changing
2. Do not have a beginning or end, nor do they follow a strict sequence
3. Sender creates messages from one or more symbols to which he attaches meaning
4. Messages: oral, written, or nonverbal; also intentional or unintentional
5. Go to people inside the organization or outside the organization
3. Communication network
1. Series of interconnected positions in an organization
2. Formal as defined by organizational positions and relationships among them
3. Informal as defined by informal patterns of social interaction and the informal groups described in Chapter 10, “Groups and Intergroup Processes”
4. Communication direction: downward, upward, or horizontally
5. Interdependent, interlocking, and overlapping systems of human interaction
2. The Basic Communication Process
1. Sender and receiver
2. Encoding, transmission, decoding
3. Communication channel
4. Noise
5. Feedback
3. Types of Communication
1. Verbal communication
1. Oral communication
2. Written communication
3. Electronic and video communication
2. Nonverbal communication
1. Physical aspects of the person
2. Physical environment of communication
3. Time
4. Communication with signs and signals
4. Functions of Organizational Communication
1. Information sharing
2. Feedback
1. Function of feedback
2. Feedback-seeking behavior
3. Coordination
4. Persuasion
5. Emotion
6. Innovation
5. Dysfunctions of Organizational Communication
1. Selective perception
2. Semantic problems
3. Message distortion
4. Filtering of messages
5. Information overload
6. Timing of messages
7. Acceptance of message
8. Organizational silence
6. Listening
1. Definition
2. Different from hearing
3. Active not passive
4. Frequency of occurrence
5. Role in communication process
7. Active listening
1. Listener does not passively take in messages coming his way. Active listening puts a major responsibility on the listener for hearing a speaker's message correctly. It involves accurately hearing the facts in a message and knowing the speaker's feelings about the message. Active listening features a deliberate effort to understand a message from the speaker's viewpoint.
2. Active listening behaviors
1. Listen for total meaning: content and feelings
2. Note verbal and nonverbal cues
3. Take responsibility for completeness. Ask questions. Rephrase your understanding of the speaker's meaning until the speaker is satisfied that you understand the intended message.
4. Active listening can have positive effects on a speaker. It can let a speaker know that a listener cares about the message, respects the speaker's opinion, and that the listener truly wants to understand the speaker. Speakers can feel their message is important and heard sincerely when listeners listen actively.
8. Improving Communication Effectiveness
1. Sender
2. Receiver
3. Message
4. Medium
9. Technology and Communication
1. Telephone. Still plays a major role. New technology includes the videophone, mobile or cellular phone, use on airplanes, and new airport telephones with connections for computers with modems. Effects on oral communication.
2. Facsimile. Standalone devices, facsimile cards in personal computers, portable devices, cellular devices. Affects written communication.
3. Video. Videoconferencing by satellite or high-speed compressed data links over cable fiber optic lines. Allows two-way video and audio interaction over almost any distance. Includes transmission by facsimile of graphics and other written documents. Coming to residential use which can affect working at home, remotely from employee's organization. Business presentations, including using animation for effects. Or, simple slide shows with transition effects such as flips and screen divides.
4. Computer. Modem connections and network connections. Goes will beyond simple e-mail transmissions. Combines and manages all the above. For example, voice messages, facsimile transmissions. Also can link suppliers, customers, and different internal functions directly by personal computers and shared, integrated databases. Electronic Data Interchange software tools will let people inside and outside the organization quickly communicate and update data. Direct video interaction on personal computers, especially as used in concurrent engineering teams and other virtual teams (see Chapter 10).
10. Communication Roles
1. Each has a different function
2. Managers may need to change some people's roles to improve an organization's communication processes.
3. Roles
1. Initiator
2. Relayer
3. Liaison
4. Terminator
5. Isolate
11. Communication Networks
1. Pair-wise communication
2. Small group communication
1. Centralized communication networks
2. Decentralized communication networks
3. Advantages and disadvantages of each network
12. International Aspects of Communication
1. More than a problem of different languages
2. Nonverbal
1. Interpersonal distance (proxemics)
2. Time orientation
13. Ethical Issues in Organizational Communication
1. Presentation of an ethical image. What does the organization say and not say about ethical behavior and the role of ethics in its decision processes?
1. Internally: newsletters, internal satellite television broadcasts, mass e-mail, postings on bulletin boards
2. Externally: annual reports, press releases, public statements by senior executives
2. Those communication forms present an image of the organization's value for ethical behavior. They also can play an important role in sustaining ethical values in the organization's culture. Socialization of new employees and continual reemphasis to veteran employees. Use organizational communication devices to maintain a value of ethical behavior in the organization's culture.
3. Related to the above are organizational justifications, public statements following a protest or boycott. The justifications are part of an organization's impression management strategy.
4. Full disclosure
1. Employees. Especially of negative information such as layoffs, transfers, and large organizational change that could be disruptive.
2. Customers. Product safety and testing programs.
3. Full disclosure to suppliers. Ways of choosing among them, contracting, etc.
5. A growing ethical issue surrounds communication privacy in organizations. Do employees have the right to private communications in the work setting that should not need be revealed to anyone without their consent? That ethical issue will grow in the future as more employees using personal computers become part of computer networks in organizations. Existing software lets network managers, and those at senior organizational levels read employee's voice mail, e-mail, and other computer files. The underlying ethical issue is whether people's rights to privacy extend to such surveillance.

Chapter Overview

Chapter 13 focuses on communication processes in organizations. The chapter first presents a well-known model of the basic communication process. It distinguishes verbal from nonverbal communication and describes different types of each form of communication. The chapter describes functions and dysfunctions of communication, the listening process, active listening, and ways of improving communication effectiveness. Separate sections discuss communication roles, communication networks, and the relationships between them. A distinctive feature of this chapter is a discussion of the effects of technology on communication and how it will change the way people interact over long distances.

Learning Goals

After reading this chapter, you should be able to

• Define communication in organizations.
• Explain the basic communication process.
• Discuss the effects of noise in communication processes.
• Describe verbal and nonverbal communication.
• Analyze the effects of verbal and nonverbal communication.
• Distinguish between the functions and dysfunctions of organizational communication.
• Discuss the features of listening, especially active listening.
• Compare ways to make communication processes more effective.
• Explain the effects of new technology on communication.
• Describe communication networks and the roles that can emerge within a network.
• Appreciate some international and ethical issues that surround communication processes in organizations.

Personal and Management implications

Communication processes in organizations have several implications. One personal implication follows from your participation in various communication processes in your family, work setting, and college or university. By participating, you directly affect the quality of those processes. The text's discussions about how to improve communication effectiveness as a sender or a receiver are particularly important to your personal effectiveness in a communication process.

Communication in the future, whether in work organizations or our homes, will take different forms as new technology develops. You will be able to communicate with many different people at distant locations and engage in widespread interaction via electronic and video media. In short, you likely will not limit your communication activities in the future to face-to-face or written forms.

The discussion of communication roles implied that you play some of those roles in the communication processes in which you are involved. The isolate role could be a problem for you because it implies you are outside the mainstream communication process. If you want to reduce your isolation, you will need to actively increase the information flow to you from other parts of the process.

You undoubtedly display many forms of the nonverbal behavior described in the text chapter. Inappropriate nonverbal behavior can reduce your communication effectiveness. Take advantage of opportunities to have yourself videotaped while making a formal presentation. Such feedback can be especially revealing about aspects of your presentation you cannot easily see. Many elements of nonverbal behavior can negatively affect your communication effectiveness.

If you will be traveling to different countries or working for a multinational organization, the discussion of cultural differences in meanings of nonverbal behavior should be useful to you. Sensitivity to those differences will improve your effectiveness in different locations. You may want to review some citations in the international section as preparation for international travel.

Managers can easily experience information overload as demands for their time increase. You will see increasing use of electronic and video communication. Although these methods of communication will make communication easier, they can also make the flow of communication so fast that it overwhelms managers.

Chapter Summary

Communication processes in organizations involve a sender, a receiver, and a message flowing over a communication channel. The process includes feedback the sender gets from the receiver’s response to the message. Noise surrounds the entire process, distorting the messages.

Communication has both verbal and nonverbal forms. Verbal communication includes oral, written, electronic, and video communication. Nonverbal communication includes gestures, facial expressions, and the sender’s voice. Nonverbal communication can contradict, amplify, or complement verbal communication.

Organizational communication has several functions and dysfunctions. The functions include letting people share information and helping managers integrate or coordinate different parts of the organization. Dysfunctions include selective perception, semantic problems, and information overload. Communication effectiveness can be improved through training, asking for a receiver’s feedback, and understanding cultural differences in communication.

Listening is the mental process of assigning meaning to sounds. Active listening is accurately hearing the facts in a message and understanding the speaker’s feelings about the message. The active listener makes a deliberate effort to understand a message from the speaker’s viewpoint.

Technology forecasters predict major changes in organizational communication processes because of emerging technologies such as digital cellular phones, satellites, and videoconferencing.

Individuals in organizations can play different communication roles: initiator, relayer, liaison, terminator, and isolate. Communication in organizations occurs within different communication networks. Some communication is pair-wise, involving only two people. Small group communication uses either centralized or decentralized networks. Large audience communication features a single sender and multiple receivers.

Large cultural variations in nonverbal communication can make cross-cultural transitions especially difficult for some people. Nonverbal communication in the international environment adds to any difficulties a person has with a language he does not understand.

The central ethical issues in communication are image management, full disclosure, and communication privacy. Managers can deftly use external communication to present an ethical image. Whether to fully disclose product safety information and planned layoffs, for example, are ethical questions that managers must consider. Modern communication technology helps an organization monitor employee electronic communication such as e-mail. Do employee’s have privacy rights in such communications?

Chapter Outline

1. Introduction
1. The decision-making process defines a decision problem, creates alternative courses of action, and chooses among them using decision criteria
2. Decision making fits within the larger context of problem-solving activities in organizations
3. The problem-solving process identifies the problem, tries to find root causes, and creates options that become input to a ¬decision-making process
4. Decision making is the part of the problem-solving process that chooses a course of action
5. Individuals do a good job with well-structured problems; groups do a better job with ill-defined problems
6. Although decision making is a basic function of a manager’s role, nonmanagers also make decisions
7. The term decision maker refers to a person at any organizational level who chooses a course of action
2. Decision Strategies
1. Programmed and unprogrammed decision strategies
2. Three dimensions define each strategy
1. Routine vs. nonroutine
2. Recurring vs. nonrecurring
3. Certainty vs. uncertainty
3. The Decision-Making Process
1. Problem identification
2. Developing alternatives
3. Evaluating alternatives
4. Choose an alternative
5. Carry out the decision
6. Evaluation of implementation
4. Decision-Making Models
1. The Rational Model
2. The Bounded Rationality Model (satisficing)
3. Unstructured decision-making models
4. The Garbage Can Model of decision making
5. Political Decision-Making Models
1. Brief description
2. More detail in Chapter 15, “Power and Political Behavior”
5. Assets and Liabilities of Group Decision Making
1. Assets
1. More information, knowledge, and skills to solve a decision problem
2. Increased understanding from participation in the decision process
3. Increased acceptance of decision from involvement
4. Personal development of participants
2. Liabilities
1. Social pressure on participants to conform to an emerging norm
2. Participants can develop strong preferences for a particular alternative
3. Amount of time required to reach a decision
6. Choosing between Individual and Group Decision Making
1. Alternative social processes for decision making
1. Individual problem defined
2. Group problem defined
3. Choices available
1. Increased social interaction between the decision maker and others involved in making the decision
2. Increasing involvement of subordinates which can lead to increased commitment to the decision
3. Greater potential to affect a decision
4. Increasing potential for conflict
5. Increased understanding of the problem by those involved in making the decision
6. More complex social processes for making a decision
7. More time to make a decision
2. The Vroom-Yetton Model
1. Problem attributes
2. Feasible set of alternatives
1. Time-efficient solution
2. Time-investment solution. Development orientation
7. Judgment Biases
1. Heuristics
1. Availability heuristic
2. Representativeness heuristic
3. Anchoring and adjustment
2. Some possible judgment biases
3. Framing effects
1. Framing as losses leads to risk seeking
2. Framing as gains leads to risk aversion
3. Using multiple frames
8. Escalation of Commitment
1. Looking backward when the decision should only consider future costs and benefits
2. Effects of perception of sunk costs
3. Some contributors including framing as loss effects
4. Some remedies. Use a separate decision maker to avoid irrational escalation. Some research evidence
9. Groupthink
1. An ugly disease presumed to affect cohesive decision-making groups
2. Remains an intuitive explanation despite the lack of strong research evidence
3. Excessive conformity to a group norm that supports agreement among group members
4. Lost the ability to assess alternatives critically and to assess the effects of past decisions
5. Group leader’s efforts to resist groupthink
1. Encourage critical appraisal of issues, ideas, and alternatives
2. Deliberately stimulate conflict (see Chapter 11, “Conflict in Organizations”)
3. Assign a group member the devil’s advocate role
4. Invite knowledgeable outsiders to analyze the group’s processes
10. Improving Decision Making in Organizations
1. Human-based methods
1. Brainstorming
2. The nominal group technique (NGT)
3. The Delphi Method
4. Devil's advocate technique
5. Dialectical inquiry
6. Technology of Participation; appreciative management
2. Computer-based Methods
1. Management information systems (MIS). Early days had a more organization wide emphasis as data processing systems. Now moving to more support for individual decision makers.
2. Decision support systems (DSS)
3. Expert systems. Uses artificial intelligence (AI) technology from the computer sciences.
11. International Aspects of Decision Making and Problem Solving
1. The international environment of decision making
2. Effects on the decision making process
3. Legislated participation
12. Ethical Issues in Decision Making and Problem Solving
1. Two major issues: why unethical decisions happen and how can they be improved.
2. One model of decision making and ethics tries to explain why unethical decisions happen.
3. Do an ethical analysis as a specific step in the decision process. Can have one member of a decision group responsible for raising ethical issues and questions.
4. Involve those affected by the decision throughout the decision process. Customers, special interest groups, community, etc.

Chapter Overview

Chapter 14 describes decision-making and problem-solving processes in organizations. It begins with a discussion of types of decision strategies (programmed and unprogrammed) and the nature of decision processes. The chapter discusses several decision-making models and shows the different perspectives each model brings to a decision problem. This chapter compares individual to group decision making, describes the assets and liabilities of group decision making, and discusses the decision problems for which each is best suited. It describes the Vroom-Yetton decision process model as a way of choosing from alternative social processes for decision making. Major sources of decision error are then developed, including framing effects, escalation of commitment, and groupthink. The chapter closes with a discussion of human- and computer-based methods of improving decision making in organizations.

Learning Goals

After reading this chapter, you should be able to

• Describe decision-making and problem-solving processes in organizations.
• Discuss the relationship between problem solving and decision making in organizations.
• Compare the decision strategies that managers can use for decision making.
• Analyze several decision-making models and the perspectives they bring to the decision process.
• List the assets and liabilities of group decision making.
• Distinguish between individual and group decision making and identify the situations for which they are best suited.
• Discuss the sources of decision-making bias and error.
• Describe the process of escalation of commitment to a losing course of action.
• Recognize groupthink and how to avoid it during group decision making.
• Explain several methods of improving decision processes in organizations.
• Appreciate some international and ethical issues that surround decision making in organizations.

Personal and Management implications

A major personal implication is the effect of a decision on you. Someone may decide to assign you to a new project, move you to a new department, or add new people to your immediate work group. Your degree of involvement in such decisions will partly determine how readily you accept them.

Your involvement in the decision will depend on the predisposition of the decision maker to include you in the process and on your predisposition to enjoy the experience. Your personality characteristics will affect your predisposition. If you have a strongly affiliative personality, you should enjoy being involved in decision making. If you do not have such qualities, you will likely withdraw from the process.

Another personality characteristic that could affect your role in a decision process is your need for dominance. If you like to take charge, you might try to control the process. An important implication for you is whether you have the correct information when affecting a decision-process outcome. If you do not have the right information, then you directly contribute to a liability of group decision making.

Decision makers faced with ambiguous decisions do not always know all available alternatives. They make decisions using the less rational models described in the text. One possible implication for you is that such decisions may be remade later. You may have felt the first decision was final, you go about your work, and then the decision is remade with possible direct effects on you. A decision maker faced with an ambiguous problem may also delay making the decision. Although such actions may look like indecisiveness to you, they can be reasonable reactions of a decision maker facing an ambiguous problem.

Because many decision problems are ambiguous, you may need to decide not to decide. Such a decision may strike you as odd, but managers often need to do that when the problem is ill-defined. Such problems often require repeating the decision process and reexamining past decisions. You may think this approach is chaotic, but it is the reality of organizational decision making in complex environments.

Decision making by U.S. managers working in other countries has another dimension of complexity. People from different cultures vary in their approaches to decision making. Local people working for a U.S. manager will not always understand her approach to decisions. U.S. managers also will not always understand the decision approaches of local counterparts. Developing an understanding of cultural differences in decision making before going to another country should help your transition.

You will not escape the ethical context of decisions in organizations. Each organization will vary in its approach to ethical decisions. The approach of your employing organization will affect you in both manager and nonmanager roles.

Chapter Summary

Decision making is the process of choosing among different courses of action using decision criteria. The criteria for choosing among alternatives can include cost, profit, danger, or pleasure.

Some decision-making models describe a process for problems with well-known alternatives, results, and decision rules (Rational Model). Another model ­describes a process for conditions of uncertainty and ambiguity (Garbage Can Model). Each model gives different insights into organizational decision processes.

Managers can choose from different social processes for individual and group decisions. These approaches include processes involving a single individual, consultation with one or more people, or groups designed to reach consensus.

Decision makers use several heuristics or guidelines to simplify information processing during decision making. Such information processing strategies let decision makers move quickly through the process, but also limit the information they use, resulting in several judgment biases.

Decision makers can frame a decision in two different ways with different effects on their decision behavior. People prefer to avoid risks in decisions framed as gains; they prefer to take risks in decisions framed as losses.

Decision makers often face a common dilemma: abandon a losing course of action or increase commitment to it. Evidence supports that most decision makers are more likely to commit more resources, a process called escalation of commitment to a losing course of action.

Cohesive decision-making groups often develop groupthink, a phenomenon featuring excessive conformity to group norms that support agreement about decisions. Decision groups with groupthink are unable to critically assess alternative solutions to a problem.

Several human-based methods and computer- based methods exist for improving decision making in organizations. Human-based methods include brainstorming and techniques for increasing the information available to a decision maker (for example, the nominal group technique and the Delphi method). Computer-based methods include management information systems, decision support systems, and expert systems.

The international context of organizations adds complexities to organizational decision processes. Cultural variations in decision-making behavior and decision orientations suggest potential difficulties for multicultural decision-making groups.

An ethical decision maker has an open dialogue with all parties potentially affected by a decision and does not engage in deceptive behavior. A proposed model of decision making and ethics uses an explicit ethics decision rule.

Chapter Outline

1. Introduction
1. This chapter discusses the political processes of organizations.
2. Politics and political behavior defined. As seen by political scientists, a social science discipline that seeks to understand and explain the role and development of political systems in a society. Draws from such knowledge to develop an understanding of the role and development of political behavior in organizations.
3. Political scientists conceive of politics as having five parts.
1. Government activities at all levels
2. Use of power, authority, and influence
3. Using such power, authority, and influence to define and spread the specific values in a society
4. Competing for scarce resources
5. Serves the important function of maintaining social order in a society
4. Can find many of those functions in work organizations. Might be tempted to think of political behavior as only happening in a society or only appearing in the form of local, state, and national elections. Political behavior, though, is a pervasive part of organization life.
5. This chapter focuses squarely on the development and use of power in organizations.
6. You will see that political behavior often gives power to people who do not have it from their formal organization position
2. Power
1. Introduction
1. Many people have a negative view of power
2. Power is the ability to get things done the way the person wants them done. Power includes the ability to gather physical and human resources and put them to work to reach whatever goals the person wants to reach. Distinguished from authority.
3. Some views of power in organizations. You can then decide whether all power is negative or a useful management tool. A view that sees power as positive for an organization and central to a manager's effectiveness. Some effects of powerlessness. Also, by empowering others, the total power of the organization and the managers who empower can increase.
4. Direction of flows and uses of power: all directions.
5. Power is dynamic, not static.
2. Bases of power
1. Behavior of leaders with power
2. Behavior of powerless leaders
3. Power, leadership, and management
1. Behavior of leaders with power
2. Behavior of powerless leaders
4. Building power
5. Attribution of power
1. The attribution process at work
2. See Chapter 5, "Perception, Attitudes, and Personality."
3. Political Behavior
1. Introduction
1. Definition of political behavior
2. Political behavior and power. A set of behaviors aimed at getting, keeping, and using power to reach one's goals
3. Political behavior flows with the dynamics of power.
4. People's need for power can be associated with their inclination to become involved in their organization's political processes.
5. Perceptions of political behavior in organizations. Lower level people perceive more political behavior than higher level people.
6. Political behavior is especially important in managing lateral relationships. Three types of lateral relationships
1. Line-staff relationships
2. Competing for resources
3. Work-flow relationships
2. Political strategies: plan for using various political tactics to increase one's power base or affect the decision results. Areas of use.
1. Executive succession
2. Organization design and redesign
3. Budget negotiations
4. Career within the organization and beyond
5. Performance appraisals
6. Pay increase decisions
3. Political tactics. Political techniques used to reach some desired goal. Part of an overall political strategy or plan. Can use a mix of tactics within a political strategy.
1. Decision-making processes
2. Outside expert or consultant
3. Control the decision-making agenda
4. Build coalitions
5. Co-optation
6. Impression management
7. Other political tactics
1. Assertiveness: threats, demands, intimidation
2. Ingratiation: use flattery and create goodwill with another person to affect their behavior
3. Rationality: logical argument
4. Sanctions: organizationally based sources of punishment
5. Exchange of benefits: use favors and benefits to influence another person
6. Upward appeal: get support for cause from higher levels
7. Inspirational appeal: focus on person's values to arouse emotional support for a proposal
8. Consultation: involve person in a decision process
4. Political skill
1. A person’s ability to interact effectively in various social situations to influence the behavior of another person or group.
2. Social situations can occur inside or outside an organization
3. Dimensions of political skill
1. Social astuteness
2. Interpersonal influence
3. Networking ability
4. Apparent sincerity
4. Current research suggests that political skill is a personality-level quality and can be learned by almost anyone.
5. Political diagnosis
1. Individuals
2. Coalitions
3. Political networks
6. The dark side of organizational politics: deception, lying, and intimidation
1. Quote from Machiavelli: be a lion and a fox
2. Deception
3. Lying
4. Intimidation
4. International Aspects of Power and Political Behavior in Organizations
1. Cultural differences in beliefs about the proper relationship between those with power and those without power: directive versus consultative
2. Cultural variations in uncertainty orientation
3. Individualistic versus collectivistic cultures
4. Manager’s behavior with respect to these cultural differences affects attribution of power to the manager
5. Ethical Issues about Power and Political Behavior in Organizations
1. Unethical political behavior
1. Political strategy and associated tactics that do not serve the organization’s goals or the goals of a larger group of people than the single political actor
2. Using power and political behavior that violates another person’s rights
3. A sense of justice strongly argues for fair treatment, fair pay, and the fair administration of rules and procedures.
2. Guidelines for ethical political behavior
1. Behavior should serve people beyond the single political actor
2. Individuals affected should know intent and give their consent
3. Do not violate rights of due process
4. Policy administration should allow fair treatment of all people

Chapter Overview

Chapter 15 discusses power and political behavior in organizations. It fully develops the concept of power and its organizational and individual bases. The chapter then moves to power relationships, the direction of power flows, ways of building power, and power attribution. A discussion of political strategies, political tactics, political skill, and how to do a political diagnosis follows. It also examines the dark side of organizational politics—deception, lying, and intimidation.

Learning Goals

After reading this chapter, you should be able to

• Describe the nature of power in organizations.
• Discuss the relationship between power and politics in organizations.
• Analyze bases of power and ways of building power in organizations.
• Describe political behavior in organizations.
• Discuss political strategies and their role in organizations.
• Compare the political tactics a manager can use in a political strategy.
• Do a political diagnosis.
• Discuss each element of the dark side of organizational politics—lying, deception, and intimidation.
• Analyze international differences in political behavior in organizations.
• Distinguish the ethical issues surrounding organizational politics.