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Chapter 4

Chapter 4 Notes

Management (MGH)
Course Code
Ted Mock

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Lecture Notes βˆ™ Chapter Four βˆ™ Values
Values – broad tendency to prefer certain states of affairs over others. They are general and do not
predict behavior in specific situations very well. May be categorized into: intellectual, economic,
aesthetic, social, political, and religious values.
Members of the same occupation espouse similar values. This is partly explained because people
choose occupations that correspond with their values and partly because of the norms that one
adapts from being part of a group.
Values across Cultures
Work Centrality – how is important is work as a part of life? It differs across cultures.
Japan is rated number 1 where work is central to a person’s life. The US is in the middle of the pack
and Great Britain is low on that scale. Variations in length of vacation time occur across cultures and
this is likely related to work centrality. Italy is tops in amount of vacation and, not surprisingly, Japan
is low (as is US). (High work centrality is related to low amount of vacation time)
Geert Hofstede study – he observed differences between culture by surveying 116,000 IBM
employees in 40 different countries. He established the following differences that are related to
β€’Power distance – the extent to which society members accept an unequal distribution of
power. These are the perceptions of those who hold power as well as those who do not hold
oLow power distance – little perceived inequality; bosses are accessible; power
differences are downplayed – Denmark, New Zealand, Israel, Austria. Canada and US
would be considered relatively low power distance
oHigh power distance – highest are Philippines, Venezuela, Mexico
β€’Uncertainty Avoidance – people are uncomfortable with uncertain or ambiguous situations
oStrong uncertainty avoidance – these cultures stress rules and regulations, hard
work, conformity and security – Japan, Greece and Portugal are high on this factor
oLow uncertainty avoidance – risk taking is valued; there is less concern for rules; hard
work is not seen as a virtue – Singapore, Denmark and Sweden are low on this factor.
Canada and US are below average.
β€’Masculine/Feminine – a masculine society has clearly differentiated gender roles that
support the dominance of men and stress economic outcomes. A feminine society has fluid
gender roles, sexual equality and emphasis on quality of life.
oMasculine - most masculine is Japan followed by Austria, Mexico and Venezuela.. The
US is on the masculine side of this scale.
oFeminine – Scandinavian. Canada is midway – neither strongly masculine nor
oA high individualism society stresses independence, individual initiative and privacy –
US, Australia, Britain, Canada
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oCollectivism – loyalty to family or clan; interdependence – Venezuela, Columbia,
Pakistan, Philippines. Japan is mid-pack.
Implications of Cultural Variations
Importing OB can be a problem – eg. Kaisen is the Japanese idea of continuous improvement based
upon employee suggestions. This works great in Japan due to worker job security and collectivism
while in North America, employees might feel that their suggestions may result in job losses
(including their own). In a collective society, workers submerge their own interests for the team.
What are Attitudes?
Definition – attitude is a fairly stable evaluative tendency to respond to some specific object,
person or category of people. Attitudes involve evaluations that are directed towards specific targets.
Belief + value οƒ  attitude οƒ  behavior
Management attempts to influence employee attitudes through communications, persuasion and
Beliefs can be influenced through a rational appeal
Values can be influenced through an emotional appeal
Since attitudes are fairly stable, companies go to great lengths to hire employees who already
possess many of the attitudes that are important to the firm.
What is Job Satisfaction? - A collection of attitudes that people have about jobs.
Categories of job satisfaction:
β€’Facet satisfaction – more or less satisfied with various facets of the job- eg. Money, boss.
Facets include: compensation, career opportunities, recognition, benefits, working conditions,
supervision, co-workers, organizational policy
β€’Overall satisfaction – the average/total of attitudes toward the various facets (some facets
may be positive and some may be negative). Two employees may express the same level of
job satisfaction for different reasons.
The most popular measure of Job Satisfaction is the JDI – Job Description Index. It surveys 5 facets
of job satisfaction: the work, people, promotions, supervision, pay.
Another Job Satisfaction survey tool is the MSQ – Minnesota Satisfaction Questionnaire
What determines job satisfaction?
Discrepancy – job satisfaction stems from the lack of discrepancy between the wanted outcomes
and the perceived outcomes. Lower discrepancy = higher job satisfaction
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