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Management and Organizational Studies
Management and Organizational Studies 2181A/B

Chapter 3- Perception Perception: •The process of interpreting the messages of our senses to provide order and meaning to the environment. •People base their actions on the interpretation of reality that their perceptual system provides, rather than on reality itself. Component of Perception: •Perception has three components: –A Perceiver •Past experiences lead the perceiver to develop expectations that affect current perceptions. •Needs unconsciously influence perceptions by causing us to perceive what we wish to perceive. •Emotions, such as anger, happiness, or fear, can influence our perceptions.  Misperceiving the innocent comment of a friend when we were angry Perceptual Defence: •The tendency for the perceptual system to defend the perceiver against unpleasant emotions. •People often “see what they want to see” and “hear what they want to hear.” •Our perceptual system works to ensure we do not see or hear things that are threatening –A Target •Ambiguous targets are especially susceptible to interpretation and the addition of meaning. •Perceivers have a need to resolve ambiguities. •The perceiver does not or cannot use all the information provided by the target. •A reduction in ambiguity might not be accompanied by greater accuracy. –The Situation•Perception occurs in some situational context, and this context can affect what is perceived. •The most important effect that the situation can have is to add information about the target. •The perception of a target can change with the situation even when the perceiver and target remain the same. Social Identity Theory: •People form perceptions of themselves based on their characteristics and memberships in social categories ex: student, Canadian, accountant responding in terms of various social categories to which you believe you belong •Our sense of self is composed of a personal identity and a social identity. •Personal identity is based on our unique characteristics (e.g., interests). •Social identity is based on our perception that we belong to various social groups (e.g., gender). •Personal and social identities help us answer the question: “Who am I?” •We perceive ourselves and others as embodying the most typical attributes of a category or what are called “prototypes.”  We perceive people in terms of the attributes and characteristics that we associate with their social category relative to other categories perception is a function of how you categorize yourself (student) and target (professor) •Social identities are relational and comparative. •People tend to perceive members of their own social categories in more positive and favorable ways.  Might see yourself differently than people on main campus Model of the Perceptual Process: •When the perceiver encounters an unfamiliar target, the perceiver is very open to the informational cues in the target and the situation.  When you meet someone new you try to figure out who they are and their identity •The perceiver will actively seek out cues to resolve ambiguity. •As the perceiver encounters some familiar cues, a crude categorization of the target is made. •The search for cues then becomes less open and more selective. •The perceiver will search for cues that confirm the categorization of the target. •As the categorization becomes stronger, the perceiver will ignore or even distort cues that violate initial perceptions. Characteristics of Perceptual Process: Selective •Perceivers do not use all of the available cues, and those they use are given special emphasis. •Perception is efficient but this can aid and hinder perceptual accuracy.  Only seeing certain things  All the clichés come forward in terms of OB and perception Constancy•The tendency for the target to be perceived in the same way over time and across situations. •“Getting off on the wrong foot.” difficult to change perception of yourself Consistency •The tendency to select, ignore, and distort cues so that they fit together to form a homogenous picture of the target. •We strive for consistency in our perception of people.  Categorizing people/groups in certain ways, they don’t want it to change Basic Biases In Person Perception: •The impressions we form of others are susceptible to a number of perceptual biases: –Primacy and recency effects•The reliance on early cues or first impressions is known as the primacy effect. •Primacy often has a lasting impact the worker who can have favorably impress his or her boss in the first few days can have an advantageous position  Elementary theory, ex: giving first test and depending on how they do, the teacher gets that perception  He/she will get marked accordingly for the rest of the year •The tendency for a perceiver to rely on recent cues or last impressions is known as the recency effect. –Reliance on central traits•People tend to organize their perceptions around central traits. •Central traits are personal characteristics of a target person that are of particular interest to a perceiver. •Central traits often have a very powerful influence on our perceptions of others. •Physical appearance is a common central trait in work settings. •Conventionally attractive people fare better than unattractive people in terms of a variety of job-related outcomes (e.g., getting hired, good performance evaluations, promotion).  Research has shown that if someone is overweight, than they are undisciplined for example, that perception is formed  If your attractive get promoted quicker (something that is subjective, but we make it an objective factor) •Physical height is an obvious aspect of physical appearance that is related to job performance, promotions, and career success. •Individuals who are overweight tend to be evaluated negatively on a number of workplace outcomes.  Most male CEO’s are tall, proven fact, can be a way to assert influence and dominance –Implicit personality theories •Personal theories that people have about which personality characteristics go together. •Perhaps you expect hardworking people to also be honest, or people of average intelligence to be most friendly. •If such implicit theories are inaccurate, they provide a basis for misunderstanding.  Our own theories of people that give us a perception that could be inaccurate  Meshing personality traits together –Projection•The tendency for perceivers to attribute their own thoughts and feelings to others. •In some cases, projection is an efficient and sensible perceptual strategy. •Projection can lead to perceptual difficulties and can serve as a form of perceptual defense a dishonest worker might say: “Sure I steal from company, but so does everybody else” (Perceptual Difficulty)  You assume that everyone around you has the same perception  sometimes surprised when a friend has a different perception than you have  Sometimes it is completely wrong –Stereotyping •The tendency to generalize about people in a social category and ignore variations among themcomparison to social identity theory •Categories on which people might base a stereotype include race, age, gender, ethnic background, social class, and occupation. •There are three specific aspects to stereotyping: –We distinguish some category of people –We assume that the individuals in this category have certain traits –We perceive that everyone in this category possesses these traits •People can evoke stereotypes with incredibly little information. •Stereotypes help us develop impressions of ambiguous targets. •Most stereotypes are inaccurate, especially when we use them to develop perceptions of specific individuals.  Ex) if women who achieve executive positions have to be assertive, it is easy to interpret this assertiveness as pushiness (lack of information)  Stereotypes of educational level  Stereotypes are most likely to develop when we do not have good information about a particular group •Several factors work to reinforce inaccurate stereotypes. •Even incorrect stereotypes help us process information about others quickly and efficiently. •Inaccurate stereotypes are often reinforced by selective perception.  People stereotype because they feel comfortable doing that  They don’t want things to be unknown Attribution: Perceiving Causes and Motives: •Attribution is the process by which we assign causes or motives to explain people’s behaviour. •An important goal is to determine whether some behaviour is caused by dispositional or situational factors. •Dispositional attributions suggest that some personality or intellectual characteristic unique to the person is responsible for the behaviour. •Intelligence, greed, friendliness, or laziness.  I act this way because the way I am “true person” •Situational attributions suggest that the external situation or environment in which the target person exists was responsible for the behaviour. •If we explain our behavior as a function of bad weather, good luck, proper tools, or poor advice.  Acting due to the situation around you, doing something in a situation so that you are perceived a certain way, acting contradictory to who you actually are, given characteristics because of situation Attribution Cues: •We rely on external cues and make inferences from these cues when making attributions. •Three implicit questions guide our decisions as to whether we should attribute some behaviour to dispositional or situational causes. 1. Does the person engage in the behaviour regularly and consistently? (Consistency cues). 2. Do most people engage in the behaviour, or is it unique to this person? (Consensus cues). 3. Does the person engage in the behaviour in many situations, or is it distinctive to one situation? (Distinctiveness cues). Consistency Cues: •Attribution cues that reflect how consistently a person engages in a behaviour over time. •High consistency behaviour leads to dispositional attributions.  Unless we see clear evidence of external constraints that force a behavior to occur, we tend to perceive behavior that a person performs regularly as indicative of their true motives •When behaviour occurs inconsistently, we begin to consider situational attributions. Consensus Cues: •Attribution cues that reflect how a person’s behaviour compares with that of others. •Low consensus behaviour leads to dispositional attributions the person who acts differently from the majority (low-consensus) is seen as revealing more of their true motives •The informational effects of low-consensus behaviour are magnified when the actor is expected to suffer negative consequences because of the deviance.  We place more emphasis on peoples private actions than on their public actions Distinctiveness Cues: •Attribution cues that reflect the extent to which a person engages in some behaviour across a variety of situations. •Low distinctiveness behaviour leads to a dispositional attribution.  We reason that the behavior reflects a persons true motives if it “stands up” in a variety of environments •When a behaviour is highly distinctive, in that it occurs in only one situation, we are likely to assume that some aspect of the situation caused the behaviour. Attribution in Action: •Observers put information about consistency, consensus, and distinctiveness together to form attributions. •Consider three employees who are absent from work. •Roshani is absent a lot, her co-workers are seldom absent, and she was absent a lot in her previous job Lazy and irresponsible (Dispositional) •Mika is absent a lot, her co-workers are also absent a lot, but she was almost never absent in her previous jobbad working conditions, bad boss (Situational) •Sam is seldom absent, her co-workers are seldom absent, and she was seldom absent in her previous job Short term factors (Temporary Situation) Biases in Attribution: •Although observers often operate in a rational, logical manner in forming attributions about behaviour, this does not mean that such attributions are always correct. •Three biases in attribution: –Fundamental attribution error•The tendency to overemphasize dispositional explanations for behaviour at the expense of situational explanations. •We often discount the strong effects that social cues can have on behaviour. •We fail to realize that observed behaviour is distinctive to a particular situation.  Might see a banker as a truly conservative person because we ignore the fact that their employer dictate that they act conservatively, they need to act like that in their job, but we discount their personal life  Dispositional explanations for the poor performance will sometimes be made even when situational factors are true cause, worker might get blamed for something when it was the external factors of the jobs fault (Situation) –Actor-observer effect •The propensity for actors and observers to view the causes of the actor’s behaviour differently. •Actors are prone to attribute much of their own behaviour to situational factors while observers are more likely to invoke dispositional causes (Fundamental Attribution Error)  Actors are sensitive to the environmental events (Situational) that led to act the way they did •Why are actors prone to attribute much of their own behaviour to situational causes?  They are aware of their private thoughts and feelings and intentions regarding the behavior, which is unknown to observer –Self-serving bias•The tendency to take credit for successful outcomes and to deny responsibility for failures. •People will explain the very same behaviour differently on the basis of events that happened after the behaviour occurred. •Self-serving bias can reflect intentional self-promotion or excuse making or it might reflect unique information on the part of the actor.  Ex) when a student does well on exam, he will make dispositional attributes, however if they receive failing grade, they will make excuses about their grade (Situational) Person Perception and Workforce Diversity: •Workforce diversity refers to differences among recruits and employees in characteristics, such as gender, race, age, religion, cultural background, physical ability, or sexual orientation. •The workforce is becoming more diverse. •Many organizations have not successfully managed workforce diversity. The Changing Workplace: •The Canadian population and labor force is becoming increasingly multicultural and multiethnic. •The number of visible minorities in Canada is expected to double by 2017. •In less than a decade, 48 percent of the working-age population will be between the ages of 45 and 64, 1 in every 5 will be non-white  Becoming a much older workforce •Many organizations are seeking to recruit more representatively so that they can better reflect their customer baseimportant in service sector •Many employees are required to interact with people from substantially different national or corporate cultures. •Increased emphasis on teamwork as a means of job design and quality enhancement. Valuing Diversity: •Some have argued that organizations should value diversity not just tolerate it to blend everyone into a narrow mainstream •A critical motive is the basic fairness of valuing diversity. •Diversity and its proper management can yield strategic and competitive advantages: –Improved problem solving and creativity –Improved recruiting and marketing –Improved competitiveness in global markets •Organizations are adopting diversity as part of their corporate strategy. Stereotypes and Workplace Diversity: •A major barrier to valuing diversity is the stereotype. •The tendency to generalize about people in a certain social category and ignore variations among them. •Common workplace stereotypes are based on gender, age, race, and ethnicity. •Stereotypes can have negative effects on how individuals are treated in organizations. Stereotype Threat Members of a social group feel they might be judged or treated according to a stereotype and that their behaviour or performance will confirm the stereotype. •The activation of a salient negative stereotype threat in a testing situation has been found to result in lower cognitive ability and math test performance scores of minorities and women. Consequences of Stereotypes in Workplace: Racial and Ethnic Stereotypes: •Racial and ethnic stereotypes are pervasive, persistent, frequently negative, and often contradictory.  A common reaction is to describe a particular group as being too lazy, while criticizing it for taking ones job opportunities away •Whites have been found to advance further in the hiring process than blacks. •Career tracking based on racial or ethnic stereotyping is common visible minorities perceive more barriers in their career advancement, lack of fairness, less career satisfaction than white colleagues  47% of visible minority managers reported feeling that they were held at higher standard •Attributions: good performance on part of African-American managers were seen to be due from help of others (SITUATIONAL), good performance by Caucasian managers was seen to be due to their effort and abilities (DISPOSITIONAL) •Organizations are reflections of the environments of which they are a part. Gender Stereotypes: •One of the most problematic stereotypes for organizations is the gender stereotype. •Women are severely underrepresented in managerial and administrative jobs. •Women hold only 14.4 percent of corporate officer positions will not reach 25% until 2025 •Stereotypes of women do not correspond well with stereotypes of businesspeople or managersthis blocks their ascent to managerial positions •What is the nature of gender stereotypes?  Pink-collared ghettos- nursing, librarian, therapeutic counseling, elementary teaching (not many men) •Successful managers are perceived as having traits and attitudes that are generally ascribed to men. •Successful managers are seen as more similar to men in qualities such as leadership ability, competitiveness, self-confidence, ambitiousness, and objectivity. •Stereotypes of successful middle managers do not correspond to stereotypes of women. •Gender stereotypes lead to biased human resource decisions. •Women suffer from a stereotype that is detrimental to their hiring, development, promotion, and salaries.  Gender stereotypes tend to favor women when they are being considered for positions such as secretary, but not for traditional male jobs  Female managers are also more likely than male managers to have to make off-the job-sacrifices and compromises to maintain careers •The detrimental effects of gender stereotypes are reduced or removed when decision makers have good information about the qualifications and performance of particular women and an accurate picture of the job that they are applying for or seeking promotion into.  Studies show that women do not suffer from gender stereotypes in performance evaluations if we have good information on which to base our perceptions of people, reliance on stereotypes is less necessary, day-to- day performance is easy to observe and gender stereotypes don’t intrude evaluations  However, hiring and promotion decisions might confront managers with ambiguous targets and prompt them to resort to gender stereotypes in forming impressions •Some Canadian organizations have made efforts to ensure that women are represented in senior positions. •Women have made the most significant progress moving into senior management and executive positions in the financial services industry. •Industries that tend to be stereotypically male have the lowest representation of women in senior positions. Age Stereotypes: •Knowing that a person falls into a certain age range or belongs to a particular age generation, we have a tendency to make certain assumptions about the person’s physical, psychological, and intellectual capabilities. •What is the nature of work-related age stereotypes? •Older workers are seen as having less capacity for performance. •They are viewed as less productive, creative, logical, and capable of performing under pressure, and as having less potential for development. •They are perceived as more rigid and dogmatic, and less adaptable to new corporate cultures. •They are perceived as more honest, dependable, and trustworthy, stable •These stereotypes are inaccurate. •Age seldom limits the capacity for development until post-employment years. •Research has found that age and job performance are unrelated. •Age stereotypes affect human resource decisions regarding hiring, promotion, and skills development an older man is less likely to be hired for a financial job that required rapid, high-rick decisions  Tendency for older employees to be laid off during corporate restructuring •Older workers are often passed over for merit pay and promotions and pressured to take early retirement. •Some organizations have implemented programs and practices to promote the hiring of older workers. Managing Workforce Diversity: •Diversity needs to be managed to have a positive impact on work behaviour and an organization. •What can organizations do to achieve and manage a diverse workforce? •Select enough minority members to get them beyond token status. •Encourage teamwork that brings minority and majority members together. •Ensure that those making career decisions about employees have accurate information about them. •Train people to be aware of stereotypes. Diversity Training Programs: •One of the most common approaches for managing diversity. •They can cause disruption and bad feelings when all they do is get people to open up and generate stereotypes. •Awareness training should be accompanied by skills training that is relevant to the particular needs of the organization. Success Factors for Diversity Programs: •Build senior management commitment and accountability. •Conduct a thorough needs assessmentneeds to be tailored to an organizations business, culture, people •Develop a well-defined strategy tied to business resultshelp employees understand and accept business case for change •Emphasize team-building and group process training. •Establish metrics and evaluate the effectiveness of diversity initiatives to track progress and evaluate effectiveness of program Perceptions of Trust: •Do you trust your boss and organization? •Employee trust toward management is on the decline they don’t believe what the manager says •Trust perceptions influence organizational processes and outcomes such as sales levels, net profits and turnover  Fear of others, don’t trust strangers, don’t trust CEO’s (will do anything for a buck) •Trust •A psychological state in which one has a willingness to be vulnerable and to take risks with respect to the actions of another party. •Trust perceptions toward management are based on three distinct perceptions: Ability(competence, skills), benevolence(caring, concerned), and integrity(values, principles). •The combination of these three factors influences perceptions of trust. •Higher perceptions of management ability, benevolence, and integrity are related to greater perceptions of trust. •Perceptions of trust in management are positively related to job attitudes, job performance, and OCB and negatively related to turnover intentions. •Trust is considered to be the most critical factor when judging the best workplaces in Canada.  To create a great workplace managers need to build credibility, respect, fairness, pride, camaraderie Perceived Organizational Support (POS): •Employees’ general belief that their organization values their contribution and cares about their well-beingperceptions of support and care •When employees have positive POS, they believe that their organization will provide assistance when it is needed. Organizational Support Theory •Employees who have strong POS feel an obligation to care about the organization’s welfare and to help the organization achieve its objectives. •Employees feel a greater sense of purpose and meaning and a strong sense of belonging to the organization. •Employees feel obligated to reciprocate the organization’s care and support.  Employees incorporate their membership and role within organization into their social identity  More likely to have positive mood at work and be more involved in their job  If you feel that the organization cares about you, than you will give back to them •POS has a number of positive consequences for employees and organizations. •Favourable treatment and perceived supervisor support (PSS), fair organizational procedures, and favourable rewards and job conditions contribute strongly to POS. •Supervisors who experience greater POS are more supportive of others. Person Perception in Human Resources: •Perceptions play an important role in human resources and can influence who gets hired and how employees are evaluated once they are hired. •Job applicants form perceptions during the recruitment and selection process and their perceptions influence their attraction to an organization and whether or not they decide to accept a job offer. Perceptions in Employment Interview: •The interview is one of the most common organizational selection devices. •The interview is a valid selection device although it is far from perfectly accurate, especially when it is unstructured. •Validity improves when the interview is structured. •What factors threaten the validity of the interview? •Applicants are motivated to present a favourable impression of themselves. •Interviewers compare applicants to a stereotype of the ideal applicant ideal stereotype must be accurate and requires a clear understanding of nature of job •Interviewers have a tendency to exhibit primacy reactions the information the interviewer obtained before interview can have exaggerated influence on outcome •Interviewers give less importance to positive information about the applicant. Contrast Effect Previously interviewed job applicants affect an interviewer’s perception of a current applicant, leading to an exaggeration of differences between applicants impact of situation on perception •Validity improves when the interview is structured. •Interview structure involves four dimensions: –Evaluation standardization –Question sophistication –Question consistency –Rapport building •Interviews are more likely to be structured when the interviewer has had formal interview training and the focus of the interview is on selection rather than recruitment. Perceptions of Recruitment and Selection: •How job applicants are treated during the recruitment and selection process influences their perceptions toward the organization and their likelihood of accepting a job offer. •Job applicants also form perceptions toward organizations based on the selection tests they are required to complete. Signaling Theory •According to signaling theory, job applicants interpret their recruitment experiences as cues or signals about what it is like to work in an organization poor treatment during hiring process during hiring process might signal a lack of professionalism and respect of employees  Important because they influence a jobs applicant likelihood of remaining in selection process and accepting job offer •Job applicants form more positive perceptions of the selection process when selection procedures are perceived to be fair. •Applicants who have more positive perceptions of selection fairness are more likely to view the organization favorably and to have stronger intentions to accept a job offer and to recommend the organization to others. •Employment interviews and work samples are perceived more favourably than cognitive ability tests which are perceived more favourably than personality tests and honesty tests. Perceptions and the Performance Appraisal: •Once a person is hired, further perceptual tasks confront organization members. •An index of a person’s job performance is required for decisions regarding pay raises, promotions, transfers, and training needs. Objective and Subjective Measures •It is possible to find objective measures of performance for some jobs. •As we move up the organizational hierarchy, it becomes more difficult to find objective indicators of performance. •Organizations often rely on subjective measures of employees’ performance provided by managers. •Managers are confronted by a number of perceptual roadblocks. •Managers might not be in a position to observe many instances of effective and ineffective performance. •As a result, the target is frequently ambiguous. •Employees often alter their behaviour so that they look good when their manager is around. Rate Errors •A number of other perceptual tendencies occur in subjective performance evaluations that are called rater errors: –Leniency tendency to perceive performance of ratee as good –Harshness tendency to see performance as ineffective –Central tendencyassigning ratees to middle range performance category –Halo effect occurs when observer allows rating of an individual on one trait to color the ratings on other traits, can work for or against the ratee, revolves around central traits that the rater considers important, rater fails to perceive differences within ratee –Similar-to-me effect•The rater gives more favourable evaluations to people who are similar to the rater in terms of background or attitudes. •Stems from a tendency to view our own performance, attitudes, and background as “good”, we than tend to generalize this evaluation to others who are, to some degree, similar to us •Raters with diverse employees should be especially concerned about this error. Techniques for Reducing Perceptual Errors and Biases: •Using rating scales with more specific behavioural labels. •Behavioural anchored rating scales give very specific behavioural examples of good, average, and poor performance. •With such an aid, the rater may be less susceptible to perceptual errors.  A performance appraisal system that accurately measures employees performance and ties it to rewards can increase employees perceptions of trust toward management Chapter 4- Values, Attitudes and Work Behavior Values: •A broad tendency to prefer certain states of affairs over others. •Values have to do with what we consider good and bad. •Values are motivational and very general. •People tend to hold values structured around such factors as achievement, power, autonomy, conformity, tradition, and social welfare. Generational Differences in Values: •Traditionalists (1922-1945): Respectful of authority and a high work ethic. Grew up with two wars •Boomers (1946-1964): Optimistic workaholics boomers values dominate because they have been around the longest and there are still a lot of them, faced vibrant economy •Gen X (1965-1980): Cynical, confident, and pragmatic. Experienced more divorce than anyone •Gen Y, Millenials (1981-2000): Confident, social, demanding of feedback, and somewhat unfocused. •These generations grew up under rather different socialization experiences. •These differences have led to notable value differences between the generations. •Such value differences might then underlie the differential assets and preferences for leadership style •Most research points to more similarities than differences in values across generations. •Some indication that Gen X and Y are more inclined to value status and rapid career growth than are boomers. •Gen Ys especially value autonomy and Xers, compared to boomers, are less loyal, more wanting of promotion, and more inclined toward work-life balance. •Some research has concluded that all work generations share the same values but express them differently. •Generational differences in work values or the way values are expressed is important because a good “fit” between a person’s values and those of the organization (person-organization fit) leads to more positive work attitudes and behaviors. Cultural Differences in Values: •There are basic differences in work-related values across cultures. •A lack of understanding of cross-cultural differences can cause foreign assignments to terminate early and business negotiations to fail. Work Centrality: •Work is valued differently across cultures. •There are cross-national differences in the extent to which people perceive work as a central life interest. •People for whom work was a central life interest work more hours. •Cross-cultural differences in work centrality can lead to adjustment problems for foreign employees and managers. Hofstede’s Study: •Geert Hofstede questioned over 116,000 IBM employees in 40 countries about their work-related values. •He discovered four basic dimensions along which work-related values differed across cultures: –Power distance•The extent to which an unequal distribution of power is accepted by society members. •In small power distance cultures, inequality is minimized, superiors are accessible, and power differences are downplayed. •In large power distance cultures, inequality is accepted as natural, superiors are inaccessible, and power differences are highlighted. •Out of 40 societies, Canada and the United States rank 14 and 15, falling on the low power distance side of the average. –Uncertainty avoidance•The extent to which people are uncomfortable with uncertain and ambiguous situations. •Strong uncertainty avoidance cultures stress rules and regulations, hard work, conformity, and security. •Cultures with weak uncertainty avoidance are less concerned with rules, conformity, and security, and hard work is not seen as a virtue and risk taking is valued. Canada and the United States are well below average on uncertainty avoidance –Masculinity/femininity•Masculine cultures clearly differentiate gender roles, support the dominance of men, and stress economic performance, Japan •Feminine cultures accept fluid gender roles, stress sexual equality, and stress quality of life, Scandinavian –Individualism/collectivism•Individualistic societies stress independence, individual initiative, and privacy, USA, Australia, Canada •Collective cultures favor interdependence and loyalty to family or clan, Columbia Long-term/Short-term Orientation•Cultures with a long-term orientation stress persistence, perseverance, thrift, and close attention to status differences. •Cultures with a short-term orientation stress personal steadiness and stability, face-saving, and social niceties. Cross Culture Comparison:  Who can we easily do business with, based on our cultural differences  Where are opportunities Exporting OB Theories: •Organizational behavior theories, research, and practices from North America might not translate well to other societiesbased on the low degree of power distance, people might be more comfortable with deferring to the bosses decision •The basic questions remain the same – it is just the answers that will differ. •A good fit between company practices and the host culture is important. Importing OB Theories: •Not all theories and practices that concern organizational behavior are designed in North America or even in the West. •The most obvious examples are “Japanese management” techniques, such as quality circles, total quality management, and just-in-time production. •Organizations need to tailor management practices to the home culture’s concerns. Appreciating Global Customers: •An appreciation of cross-cultural differences in values is essential to understanding the needs and tastes of customers or clients around the world. •Appreciating the values of global customers is also important when the customers enter your own culture. Developing Global Employees: •Success in translating management practices to other cultures, importing practices, and appreciating global customers does not happen by accident. •Companies need to select, train, and develop employees to have an appreciation of differences in cultural values and the implications of these differences for behavior in organizations. Attitudes: •An attitude is a fairly stable evaluative tendency to respond consistency to some specific object, situation, person, or category of people. •Attitudes involve evaluations directed toward specific targets. •They are more specific than values, which dictate only broad preferences  Ex) you could value working quite highly, but still dislike your specific job  •Attitudes are tendencies to respond to the target of the attitude.  •Attitudes often influence our behavior toward some object, situation, person, or group.  Attitude  Behavior •Where do attitudes come from? •Attitudes are a function of what we think and what we feel. •Attitudes are the product of a related belief and value. •Belief + Value=AttitudeBehaviour •Organizations often attempt to change employee attitudes. •Most attempts at attitude change are initiated by a communicator who tries to use persuasion of some form to modify the beliefs or values of an audience that supports a currently held attitude. •Persuasion that is designed to modify or emphasize values is usually emotionally oriented. •Persuasion that is slanted toward modifying certain beliefs is usually rationally oriented. Job Satisfaction: •A collection of attitudes that workers have about their jobs. •Two aspects of satisfaction. •Facet satisfaction refers to the tendency for an employee to be more or less satisfied with various facets of the job: –The work itself –Compensation –Career opportunities –Recognition –Benefits •Overall satisfaction is a summary indicator of a persons’ attitude toward his or her job that cuts across the various facets. •An average or total of the attitudes individuals hold toward various facets of the job. •Two employees might express the same level of overall satisfaction for different reasons. •is the Job Descriptive Index (JDI). •It is designed around five facets of satisfaction. •Employees respond “yes,” “no,” or “?” in describing whether a particular word or phrase is descriptive of particular facets of their jobs. What Determines Job Satisfaction: •We frequently find differences in job satisfaction expressed by individuals performing the same job in a given organization. •How does this happen?  What satisfies you might vary from different people Discrepancy: •A theory that job satisfaction stems from the discrepancy between the job outcomes wanted and the outcomes that are perceived to be obtaineddiscrepancy between the outcomes people receive and those they desire •There is strong evidence that satisfaction with one’s pay is high when there is a small gap between the pay received and the perception of how much pay should be received. Fairness: •Issues of fairness affect both what people want from their jobs and how they react to the inevitable discrepancies in organizational life. •There are three basic kinds of fairness: –Distributive fairness •Fairness that occurs when people receive what they think they deserve from their jobs. •It involves the ultimate distribution of work rewards and resources. •Individuals want “what’s fair.” •Equity theory provides a way of understanding how people determine what is fair. •A theory that job satisfaction stems from a comparison of the inputs one invests in a job and the outcomes one receives in comparison to the inputs and outcomes of another person or group. •Equity will be perceived when the following distribution ratios exist: My outcomes = Other’s outcomes My inputs Other’s inputs •Inputs refer to anything that people give up, offer, or trade to their organization in exchange for outcomes (e.g., education). •Outcomes are factors that an organization distributes to employees in exchange for their inputs (e.g., pay). •The other in the ratio might be a co-worker performing the same job, a number of co-workers, or even one’s conception of all the individuals in one’s occupation. •Equity theory has important implications for job satisfaction. •Inequity is a dissatisfying state, especially when we are on the “short end of the stick.”  Equity considerations also have an indirect effect on job satisfaction by influencing what people want from their jobs •Cross-cultural differences in values suggests that there are differences across cultures in how to achieve equity and distributive fairness. –Procedural fairness •Fairness that occurs when the process used to determine work outcomes is seen as reasonable. •It is concerned with how outcomes are decided and allocated. •It is particularly relevant to outcomes such as performance evaluations, pay raises, promotions, layoffs, and work assignments. •In allocating outcomes, the following factors contribute to perceptions of procedural fairness. The allocator: –Follows consistent procedures over time and across people. –Uses accurate information and appears unbiased. –Allows two-way communication during the allocation process. –Welcomes appeals of the procedure or allocation. •Procedural fairness is especially likely to provoke dissatisfaction when people also see distributive fairness as being low. •Dissatisfaction will be maximized when people believe that they would have obtained better outcomes if the decision maker had used other procedures that should have been implementedlack of Distributive fairness and Procedural Fairness –Interactional fairness •Fairness that occurs when people feel that they have received respectful and informative communication about an outcome.  Extends beyond the actual procedures used to the interpersonal treatment received when learning about the outcome •Interactional fairness is important because it is possible for absolutely fair outcomes or procedures to be perceived as unfair when they are inadequately or uncaringly explained. •People who experience interactional unfairness are most likely dissatisfied with the boss.  People who experience procedural fairness are most likely dissatisfied with the system •Both procedural and interactional fairness can to some extent offset the negative effects of distributive unfairness. Disposition: •Could your personality contribute to your feelings of job satisfaction? •The dispositional view of job satisfaction is based on the idea that some people are predisposed by virtue of their personalities to be more or less satisfied despite changes in discrepancy or fairness. •Studies that point to a missing dispositional link in job satisfaction: –Identical twins reared apart tend to have similar levels of job satisfaction. –Job satisfaction tends to be fairly stable over time, even when changes in employer occur. –Disposition measured early in adolescence is correlated with one’s job satisfaction as a mature adult. •These findings suggest that some personality characteristics originating in genetics or early learning contribute to adult job satisfaction. •People who are extraverted and conscientious tend to be more satisfied with their jobs. •Those high in neuroticism are less satisfied. •People who are high in self-esteem and internal locus of control are more satisfied. •In general, people who are optimistic and proactive report higher job satisfaction. •Mood and emotion may contribute to this connection.  Nature vs. Nurture Mood and Emotion: •Affect is a broad label for feelings that includes emotions and moods. •Emotions are intense, often short-lived feelings caused by a particular event such as a bad performance appraisal. •Moods are less intense, longer-lived, and more diffuse feelings. •How do emotions and moods affect job satisfaction? •Jobs consist of a series of events and happenings that have the potential to provoke emotions or to influence moods, depending on how we appraise these events and happenings. •Emotions and moods can in turn influence job satisfaction.  A lot of emotions can create moods  A persons disposition can interact with job events to influence satisfaction •Mood and emotion can also influence job satisfaction through emotional contagion. •Emotional contagion is the tendency for moods and emotions to spread between people or throughout a group. •People’s moods and emotions tend to converge with interaction workplace creates a mood •Mood and emotion can also influence job satisfaction through the need for emotional regulation. •Emotional regulation is the requirement for people to conform to certain “display rules” in their job behaviour in spite of their true mood or emotions. •This is often referred to as “emotional labor.” •In some jobs, employees must exaggerate positive emotions while in others they must suppress negative emotions. •All jobs have their implicit display rules, however, service roles are especially laden with them ex) call centre employees averaged 10 incidents of customer aggression a day, you need to act in a certain way for the organization type •What are the consequences of the requirement for emotional regulation? •The frequent need to suppress negative emotions (being calm and civil even when being hassled or insulted, flight attendant) can lower job satisfaction and increase stress •Some research suggests that the need to express positive emotions improves job satisfaction positive contagion from happy customers may be responsible •Do organizations pay a premium for emotional labor? Refer to Exhibit 4.6: Extra Information •Found that those in occupations with high cognitive demands, tend to be paid more when the jobs are also high in emotional labor •Occupations with low cognitive demand entail a wage penalty when emotional labor is higher “PEOPLE JOBS”they tend to be less well paid than those jobs with low cognitive and low emotional labor Some Key Contributors to Job Satisfaction: •The facets that seem to contribute the most to feelings of job satisfaction for most North American workers include: –Mentally challenging work •Refers to work that tests employees’ skills and abilities, allows them to set their own working pace, and provides them with clear performance feedback. •Employees usually perceive such work as personally involving and important. –Adequate compensation •Most employees expect to receive an adequate amount of compensation. •Although pay and satisfaction are positively related, not everyone is equally desirous of money people may be willing to accept less responsibility or fewer working hours for lower pay, avoiding overtime vs. wanting overtime –Career opportunities •The availability of career opportunities and opportunities for promotion are important contributors to job satisfaction. •Promotions contain material and social signals about a person’s self-worth. –People (friendly or helpful colleagues) •Friendly, considerate, good-natured superiors and co-workers contribute to job satisfaction. •The ability of others to help us do our work and attain outcomes that we value also contributes to job satisfaction. •The friendliness aspect is most important in lower-level jobs with clear duties as well as dead-end jobs. •The ability of others to help us do our work well contributes more to job satisfaction when pay is tied to performance, jobs are complex, or as promotion opportunities increase. Consequences of Job Satisfaction: •Job satisfaction has a number of consequences (What satisfaction can lead and contribute to): –Absence from work •Absenteeism is an expensive behaviour. •Less satisfied employees are more likely to be absent. •Satisfaction with the content of the work is the best predictor of absenteeism. •The absence-satisfaction connection is not very strong. •Several factors constrain the ability of many people to convert their like or dislike (satisfaction) of work into corresponding attendance patterns: –Some absence is unavoidable. –Opportunities for off-the-job satisfaction on a missed day vary, might love your job, but you love your hobby better –Some organizations have attendance control policies, they don’t pay workers for missed days and now absence is more related to economic needs, not satisfaction –It might be unclear to employees how much absenteeism is reasonable or sensible, “absence culture” may have stronger effect than satisfaction •The connection between job satisfaction and good attendance probably stems in part from the tendency for job satisfaction to facilitate mental health and satisfaction with life in general. –Turnover •Turnover refers to resignation from an organization and it can be very expensive. •Research indicates a moderately strong connection between job satisfaction and turnover. •Less-satisfied workers are more likely to quit. •The relationship is far from perfect. •The model shows that job satisfaction as well as commitment to the organization and various “shocks” can contribute to intentions to leave. •Research shows that such intentions are very good predictors of turnover. •Why do satisfied people sometimes quit their jobs and dissatisfied people stay: •Certain “shocks” might stimulate turnover despite satisfaction with the current job. •An employees’ dissatisfaction with his or her job might be offset by a strong commitment to the overall values and mission of the organization. •An employee might be so embedded in the community that he or she is willing to endure a dissatisfying job rather than move. •A weak job market might result in limited employment alternatives. •A decrease in job satisfaction often precedes turnover, and those who quit experience a boost in job satisfaction on their new job. •Some of this boost might be due to a “honeymoon effect,” in which the bad facets of the old job are gone, the good facets of the new job are apparent, and the bad facets of the new job are not yet known. •Over time, as the bad facets of the new job are recognized, a “hangover effect” can occur in which overall satisfaction with the new job decreases. –Performance •Research has found that job satisfaction is associated with higher job performance. •However, the connection is complicated; many factors influence motivation and performance. •The most important satisfaction facet is the content of the work itself. •The connection between job satisfaction and performance is stronger for complex, high-tech jobs and less strong for more routine labor jobs. •Although job satisfaction contributes to performance, performance could also contribute to job satisfaction. •When good performance is followed by rewards, employees are more likely to be satisfiedhowever, many organizations do not reward good performance sufficiently, so satisfaction is more likely to affect performance (reverse) –Organizational citizenship behavior •OCB is voluntary, informal behaviour that contributes to organizational effectiveness. •In many cases, the formal performance evaluation system does not detect and reward it. •Job satisfaction contributes greatly to the occurrence of OCB, more than it does to regular task performance. •The defining characteristics of OCB: –The behaviour is voluntary. –The behaviour is spontaneous. –The behaviour contributes to organizational effectiveness. –The behaviour is unlikely to be explicitly picked up and rewarded by the performance evaluation system. •The various forms that OCB might take: –Helping behaviour and offering assistance. –Conscientiousness to the details of work. –Being a good sport. –Courtesy and cooperation. •How does job satisfaction contribute to OCB? •Fairness seems to be the key. •Although distributive fairness is important, procedural and interactional fairness from a supportive manager seem especially critical. •OCB is also influenced by employees’ mood at work. •People in a pleasant, relaxed, optimistic mood are more likely to provide special assistance to others. •Recent research has shown that OCB contributes to organizational productivity and efficiency and to reduced turnover. •As a result, some firms now try to formally recognize OCBs.  Going above and beyond the duty –Customer satisfaction and profit •A growing body of evidence has established that employee job satisfaction is translated into customer or client satisfaction and organizational profitability. •Organizations with higher average levels of employee satisfaction are more effective. •The same applies to units within larger organizations. •How does employee satisfaction translate into customer satisfaction?  Brand loyalty isn’t absolute anymore, customers want to shop around to where the customer service is the best •Reduced absenteeism and turnover contribute to the seamless delivery of service. •OCBs stimulate good teamwork. •A good mood among employees can be contagious for customers. Organizational Commitment: •Organizational commitment is an attitude that reflects the strength of the linkage between an employee and an organization. •This linkage has implications for whether someone tends to remain in an organization. •Researchers John Meyer and Natalie Allen have identified three very different types of organizational commitment: -Affective Commitment •Commitment based on a person’s identification and involvement with an organization. •People with high affective commitment stay with an organization because they want to  Based on loyalty, shared values or beliefs  Ex) Staying with a green company, instead of going somewhere where you can get more money -Continuance Commitment•Commitment based on the costs that would be incurred in leaving an organization. •People with high continuance commitment stay with an organization because they have to.  You aren’t able to leave organization because for example the salary is too good to leave -Normative Commitment •Commitment based on ideology or a feeling of obligation to an organization. •People with high normative commitment stay with an organization because they think they should do so.  Can be part of community so you want to stay Key Contributors to Organizational Commitment: •The causes of the three forms of commitment tend to differ. •The best predictor of affective commitment is interesting, satisfying work of the type found in enriched jobs.  Sometimes organizations start employees out in unchallenging jobs so they do not make any serious errors  You get a sense of what the workplace is all about so you decide to stay there, roles are well defined for you •Role clarity and having one’s expectations met after being hired also contribute to affective commitment. •Continuance commitment occurs when people feel that leaving the organization will result in personal sacrifice or they perceive that good alternative employment is lacking. •Building up “side bets” can lock employees into organizations. •Continuance commitment increases with the time a person is employed by an organization.  Due to recession, people cant leave the jobs they’re are at even though they want to  Side bets: pension plan, “I’ve invested two-thirds of my working life here and I cant leave”  Feel like your trapped at organization •Normative commitment can be fostered by benefits that build a sense of obligation to the organization. •Strong identification with an organization’s product or service can also foster normative commitment. •Socialization practices that emphasize loyalty to the organization can stimulate normative commitment.  Can be based on family commitments  Working at organization because friends are there Consequences of Organizational Commitment: •All three forms of commitment reduce turnover intentions and actual turnover. •Affective commitment is positively related to performance. •Continuance commitment is negatively related to performance. •An especially bad combination for both the employee and the organization is high continuance commitment coupled with low affective commitmentpeople locked into their organization that they detest •Is there a downside to organizational commitment? •Very high levels of commitment can cause conflicts between family life and work life. •High levels of commitment have often been implicated in unethical and illegal behaviour.  ”I’m so committed to my workplace that I will do anything to protect it”- high commitment •High levels of commitment to a particular form or style of organization can cause a lack of innovation and lead to resistance when a change in culture is necessary. Change in Workplace and Employee Commitment: •Changes in the workplace have implications for organizational commitment in three main areas: –Changes in the nature of employees’ commitment to the organization •Employees’ levels of affective, continuance, and normative commitment can increase or decrease. •Maintaining high levels of affective commitment will be especially challenging. •Changes that are made in the organization’s best interest but that are detrimental to employees’ well-being are most likely to damage affective commitment. –Changes in the focus of employees’ commitment. •Employees have multiple commitments directed to others within in the organization as well as entities outside the organization. •Changes in the workplace might alter the focus of employees’ commitment within and outside the organization. •Changes that threaten employees’ future in the organization might result in a shift in commitment to entities outside the organization. The multiplicity of employer-employee relationships within organizations: •Organizations need to be flexible enough to shrink and expand their workforce. •This requires different relationships with employee groups. •Core employees who perform the key operations required for organizational success should have high affective commitment. •High affective commitment is less important for employee groups that do not perform core tasks. Chapter 5- Theories of Motivation Why Study Motivation: - It is one of the most traditional topics in organizational behavior. - Contemporary organizations have been undergoing rapid changes  need productivity - Motivations have changed from the past - Motivations considers that same conditions will not motivate everyone - Motivation is especially important in contemporary organizations: –Global competitiveness –Rapid changes –Flexibility –Attention to customers What is Motivation: •The extent to which persistent effort is directed toward a goal. •The basic characteristics of motivation: –Effort strength of persons work behavior in their specific job –Persistenceapplying effort to their work tasks –Direction do workers channel persistent effort –Goals all motivational behavior has some goal or objective toward which it is directed Intrinsic Motivation: • Motivation that stems from the direct relationship between the worker and the task and is usually self-applied.  Based upon self motivation and the job itself •Examples include: –Feelings of achievement, accomplishment, challenge, and competence derived from performing one’s job, and the sheer interest in the job itself Extrinsic Motivation: •Motivation that stems from the work environment external to the task and is usually applied by others. •Examples include: –Pay, fringe benefits, company policies, and various forms of supervision. •Some motivators have both extrinsic and intrinsic qualities.  Motivated in what can come about as an end goal Self-Determination Theory: •A theory of motivation that considers whether people’s motivation is autonomous or controlled. •Autonomous motivation occurs when people are self-motivated by intrinsic factors, they are in control of their motivations. •Controlled motivation occurs when people are motivated to obtain a desired consequence or extrinsic reward. •Extrinsic factors can lead to autonomous motivation. •Autonomous motivation facilitates effective performance, especially on complex tasks. Extrinsic vs. Intrinsic Motivators: •Some evidence that the availability of extrinsic motivators can reduce the intrinsic motivation stemming from the task itself.  When extrinsic rewards depend on performance, then the motivating potential of intrinsic rewards decrease  People start to believe that their performance is controlled by the environment and that they perform well only because of money •This appears to occur under very limited conditions and is easily avoidable.  Both kinds of rewards are important and compatible in enhancing work motivation, extrinsic rewards can be symbols of success for an employee  Extrinsic motivator can be so strong that it can take over intrinsic motivator Motivation And Performance: •Performance refers to the extent to which an organizational member contributes to achieving the objectives of the organization. •While motivation contributes to performance, the relationship is not one-to-one because a number of other factors also influence performance  Including: o Personality, General Cognitive Ability, Emotional Intelligence, Task Understanding, Chance  Motivation can be enhanced by motivation General Cognitive Ability: •A person’s basic information processing capacities and cognitive resources.  Includes abilities such as verbal, numerical, spatial, reasoning abilities •General cognitive ability predicts learning, training success, and job performance in all kinds of jobs and occupations. •It is an even better predictor of job performance for more complex and higher-level jobs. Emotional Intelligence: •The ability to understand and manage one’s own and others’ feelings and emotions.  About mastering emotions with different settings  Individuals high in EI are able to understand the meanings of emotions and to manage and regulate their emotions as a basis for problem solving, reason, thinking and action •Peter Salovey and John Mayer developed an EI model that consists of four interrelated sets of skills or branches. •The four skills represent sequential steps that form a hierarchy: 1) Perceiving Emotions Accurately in Oneself and Others: •The ability to perceive emotions and to accurately identify one’s own emotions and the emotions of others.  Ex) To accurately identify emotions from peoples facial expressions •The most basic level of EI and necessary to be able to perform the other steps in the model. 2) Using Emotions to Facilitate Thinking:  The ability to use and assimilate emotions and emotional experiences to guide and facilitate one’s thinking and reasoning  Involves being able to shift ones emotions and generate new emotions that can help one to see things in different ways 3) Understanding Emotions, Emotional Language, and Signals Conveyed by Emotion •Involves being able to understand emotional information, the determinants and consequences of emotions, and how emotions evolve and change over time. 4) Managing Emotions to Attain Specific Goals •The ability to manage one’s own and others’ feeling and emotions as well as emotional relationships. •This is the highest level of EI and requires one to have mastered the previous stages.  Ex) being able to stay calm when feeling angry or upset, being able to excite and enthuse others, being able to lower a persons anger Emotional Intelligence: Research: •EI predicts performance in a number of areas including job performance and academic performance. •EI is most strongly related to job performance in jobs that require high levels of emotional labor (police officers, customer service reps.) •EI has been found to be most important for the job performance of employees with lower levels of cognitive ability. The Motivation-Performance Relationship: •It is possible for performance to be low even when a person is highly motivated.  Poor performance could also be due to a poor understanding of the task or luck and chance factors that can damage highly motivated individuals •We cannot consider motivation in isolation. •High motivation will not result in high performance if employees are deficient in important skills and abilities such as general cognitive ability, EI, understanding of job, etc. **Need Theories of Work Motivation: •Motivation theories that specify the kinds of needs people have and the conditions under which they will be motivated to satisfy these needs in a way that contributes to performance. •Needs are physiological and psychological wants or desires that can be satisfied by acquiring certain incentives or achieving particular goals: NEEDS  BEHAVIOUR  INCENTIVES AND GOALS •Need theories are concerned with what motivates workers. •Process theories are concerned with exactly how various factors motivate people. •Three prominent need theories of motivation: –Maslow’s Hierarchy of Needs –Alderfer’s ERG Theory –McClelland’s Theory of Needs Maslow’s Hierarchy of Needs: •A five-level hierarchical need theory of motivation that specifies that the lowest-level unsatisfied need has the greatest motivating potential. The needs include: –Physiological needs needs to survive, food water, clothing, oxygen –Safety needs needs for security, stability, freedom from anxiety, organizational conditions: safe work environment, fair rules/regulations, job security, pay above minimum –Belongingness needs needs for social interaction, affection, love, friendship, organizational factors: opportunity to interact with others, teamwork, developing social relationships –Esteem needs needs for competence, independence, confidence, organizational factors: awards, promotions, professional recognition –Self-actualization needs developing ones true potential, accept themselves and others, appreciative of world around them, organizational conditions: absorbing jobs with potential for creativity and growth •The lowest-level unsatisfied need category has the greatest motivating potential. •When a need is unsatisfied, it exerts a powerful effect on the individual’s thinking and behaviour and is therefore motivational. •When needs at a particular level of the hierarchy are satisfied, the individual turns his or her attention to the next higher level.  Once one has adequate physiological resources and feels safe and secure, one does not seek more of the factors that met these needs but looks elsewhere for gratification •Self-actualization needs become stronger as they are gratified. Alderfers ERG Theory: •A three-level hierarchical need theory of motivation (existence, relatedness, growth) that allows for movement up and down the hierarchy. •As lower-level needs are satisfied, the desire to have higher-level needs satisfied will increase.  Existence relates to psychological needs •The least concrete needs (growth needs) become more compelling and more desired as they are fulfilled. •Does not assume that a lower-level need must be gratified before a less concrete need becomes operative.  not a rigid hierarchy of needs •If the higher-level needs are ungratified, individuals will increase their desire for the gratification of lower-level needs. •The frustration of higher-order needs will lead workers to regress to a more concrete need category, they will go to a lower level need. Maslow DOES NOT say this as he says if someone has a need but isn’t gratified in it, than he will not revert to a lower level need because they have already been gratified.  Ex) a worker who is unable to establish rewarding social relationships with superiors or co-workers might increase interest in existence needs (Physiological, safety) by asking for pay raise . McClelland’s Theory of Needs: •A non-hierarchical need theory of motivation that outlines the conditions under which certain needs result in particular patterns of motivation. •Needs reflect relatively stable personality characteristics. •Concerned with the specific behavioral consequences of three needs: achievement, affiliation, and power. Need For Achievement (Growth, Self-Actualization) •A strong desire to perform challenging tasks well. •Individuals with a high need for achievement exhibit the following characteristics: –A preference for situations in which personal responsibility can be taken for outcomes. –A tendency to set moderately difficult goals that provide for calculated risks like challenges –A desire for performance feedback  our generation likes to know exactl
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