Solution Manual for Organizational Behavior Improving Performance and Commitment in the Workplace 7t

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Chapter 1: What Is Organizational Behavior?

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NOTE FROM THE AUTHOR My name is Jason Colquitt, and I‘m the lead author on the Colquitt-LePine-Wesson textbook, Organizational Behavior. I‘m also the author of this Instructor‘s Manual and I want to encourage adopters to reach out to me if I can help in any way with the book.

I‘m happy to point you to video clips that complement our OB on Screen feature or to share the details of a research project on performance and commitment that I do with my students. I also created PowerPoints for earlier editions of the textbook that have extensive photos and vivid colors, along with narration notes from my own teaching. I‘m happy to share those PowerPoints with you, as the current PowerPoints are limited by new restrictions on photos and colors. I also have those files in Keynote form if you are a Mac user. In sum, I enjoy corresponding with adopters very much, so please do not hesitate to reach out to me. My email address is jason.colquitt@gmail.com.

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CHAPTER OVERVIEW Organizational behavior is a field of study devoted to understanding and explaining the attitudes and behaviors of individuals and groups in organizations. The two primary outcomes of organizational behavior are job performance and organizational commitment. This chapter explores the factors that affect these outcomes and shows how scientific studies provide evidence that good organizational behavior policies are linked to employee productivity, firm profitability, and even firm survival. This chapter also shows how we ―know what we know‖ about organizational behavior by describing the scientific research process.

LEARNING GOALS After reading this chapter, you should be able to answer the following questions: 1.1 1.2 1.3 1.4 1.5 1.6

What is the definition of ―organizational behavior‖ (OB)?

What are the two primary outcomes in studies of OB? What factors affect the two primary OB outcomes?

Why might firms that are good at OB tend to be more profitable?

What is the role of theory in the scientific method?

How are correlations interpreted?

CONNECT EXERCISES The Resource Based View in Sports High Performance Work Practices at Netflix How Do We Know?

How Do You Know?

Types of Relationships in OB Flashlights and Pop Tarts—Correlation and Causation

Case Analysis Case Analysis Click and Drag* Self-Assessment Click and Drag* Case Analysis

*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

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CHAPTER OUTLINE I. WHAT IS ORGANIZATIONAL BEHAVIOR? Try This!: Open the very first class by asking them to picture their worst coworker ever and to list the things that person did to earn ―worst coworker‖ status. Then have them do the same with the best coworker ever, listing the things that person did to earn ―best coworker‖ status. Both of these lists should be written on the board, a process that will result in a table similar to Table 1-1, The Best of Coworkers, the Worst of Coworkers. Then get them to understand the importance of explaining why the two people act so differently. That process of explanation is what OB is all about.

A. Organizational Behavior Defined 1. Organizational behavior is a field of study devoted to understanding, explaining, and ultimately improving the attitudes and behaviors of individuals and groups in organizations B. An Integrative Model of OB 1. Provides a roadmap for the field of organizational behavior and shows how different chapters in the text are related 2. Individual Outcomes – These are the two primary goals of organizational behavior. a. Job performance (Chapter 2) – how well employees do on the job b. Organizational commitment (Chapter 3) – how likely employees are to remain with an organization 3. Individual Mechanisms – These directly affect job performance and organizational commitment. a. Job satisfaction (Chapter 4) – what employees feel about their work b. Stress (Chapter 5) – psychological responses to job demands that tax or exceed an employee‘s capabilities c. Motivation (Chapter 6) – energetic forces that drive an employee‘s work d. Trust, justice, and ethics (Chapter 7) – degree to which employees feel that their company does business with fairness, honesty, and integrity e. Learning and decision making (Chapter 8) – how employees gain job knowledge and use that knowledge to make decisions 4. Individual Characteristics – These affect individual mechanisms. a. Personality and cultural values (Chapter 9) – describe various individual traits and characteristics 1-4

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b. Ability (Chapter 10) – describes an individual‘s cognitive abilities, emotional skills, and physical abilities 5. Group Mechanisms – Also affect individual mechanisms, given that most employees do not work alone a. Team characteristics and diversity (Chapter 11) – the qualities that teams possess, including norms, roles, and the way team members depend on each other b. Team processes and communication (Chapter 12) – how teams behave with regard to communication, cooperation, and conflict c. Leader power and negotiation (Chapter 13) – the process by which individuals gain authority over other individuals d. Leader styles and behaviors (Chapter 14) – describes the specific actions leaders take to influence others at work 6. Organizational Mechanisms – These also affect individual mechanisms, because they influence the environment in which work is done. a. Organizational structure (Chapter 15) – shows how various units within an organization communicate b. Organization culture (Chapter 16) – describes the shared rules, norms, and values that shape behavior for organizational employees II. DOES ORGANIZATIONAL BEHAVIOR MATTER? OB Internationally. This feature is a valuable tool to help students understand how the relationships among OB concepts, and their applications, varies across cultures. A good way to begin discussing international issues in Chapter 1 is to ask students to describe their international experiences. How many students are international students?

How many were born or raised in another country prior to moving to the United States? How many have lived or worked abroad? How many have gone abroad on study trips or vacations? Once you‘ve gotten a feel for the experience levels of the class, ask students if they believe that the importance of the concepts in the integrative model of OB will vary across cultures, or whether their importance will be universal. If they believe the importance varies, should multinational corporations design their OB policies to function differently at different branches? What are the pluses and minuses of such a strategy?

A. Building a Conceptual Argument 1. Resource-based view of organizations – looks at what makes resources capable of creating long-term profits for a firm 2. Resources are considered to be more valuable when they are: 1-5

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a. Rare – ―Good people are hard to find.‖ b. Inimitable – People are difficult to imitate for three reasons: i. History – People have a collective pool of experience, wisdom, and knowledge that benefits the organization. ii. Numerous Small Decisions – Big decisions are easy to copy – it is the small decisions that people make day-in and day-out that are significant for an organization.

Try This! Ask students to think of all the times when one company copied a big decision made by another. For example, Microsoft rolled out retail stores that mimic the look and feel of Apple stores. What are some examples of times where that copying has proven successful?

What are some examples of times when that copying seem to be successful? What explains those differences in copying success? iii. Socially Complex Resources – Resources like culture, teamwork, trust and reputation come from the social dynamics of a given firm in a given time.

B. Research Evidence 1. Study 1 a. The survey included executives from 968 publicly held firms with 100 or more employees. b. High performance work practices were related to decreased turnover, increased sales, increased market value, and increased profitability.

2. Study 2 a. The prospectuses of 136 companies undergoing IPOs in 1988 were examined for evidence that the company valued OB issues. b. Firms which valued OB had a 19 percent higher survival rate than those that did not.

3. Study 3 a. Companies that made Fortune‘s list of ―100 Best Companies to Work For‖ were matched to companies of similar size and industry which did not make the list. b. The ―100 Best‖ companies were more profitable than other companies that did not make the list.

Try This! If the students have not yet read the chapter, put Table 1-3, The ―100 Best Companies to Work For‖ in 2017, on a slide. Ask students if 1-6

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they can guess how the list of Fortune‘s ―100 Best‖ could be used to scientifically test whether being good at OB improves profitability. Usually students can guess many of the details of the study described in the book.

Connect Exercise: The Resource Based View in Sports Case Analysis.

This activity helps students understand the components of the resource based view. The case describes how elements of the resource based view contribute to success or failure in college and professional sports. Staff diversity, proprietary knowledge, and financial resources are highlighted in questions that follow the case.

Learning Goals 1.3 What factors affect the two primary OB outcomes?

1.4 Why might firms that are good at OB tend to be more profitable?

Topic: Human capital; Organizational survival Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: The analogy between sports and OB is useful. Assign students to choose a sports team or musical group and make a case for its current success using the resource based view. You can require students to gather facts like revenue, followers, and history of the band members‘ relationships, education, and experience, etc. This is an activity that students enjoy because it allows them to investigate something personal. It can also serve as a team-building activity if students share their findings in class, as it reveals something interesting about each student and helps them to connect on a more personal level.

Connect Exercise: High Performance Work Practices at Netflix Case Analysis. This case presents high performance work practices that make Netflix unique, some of which may give the company strategic advantages.

Students answer multiple choice questions after the case that assess their understanding of inimitable and rare resources.

Learning Goals 1.4 Why might firms that are good at OB tend to be more profitable?

Topic: Human capital; Organizational survival Difficulty Level: 2 = Medium

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Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: It‘s often difficult for students to distinguish situations that make employees inimitable and rare resources. In fact, companies build employee resources in ways that are complex and over long periods of time.

For employee strategic resources to build over time, good hiring and retention of employees is important. After all, a workforce with a lot of turnover can‘t develop complex interactions and a history of shared experiences. Typical student jobs are in industries with a lot of turnover (restaurants, retail, seasonal). Ask students how high performance work practices can be used at these types of organizations to decrease turnover and build more strategic human resources.

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C. So What‘s So Hard?

1. Many organizations do a bad job of managing OB issues because they don‘t view OB issues in a comprehensive fashion. a. No single OB practice can increase profitability by itself. b. Rule of One-Eighth i. Half the organizations don‘t believe there is a connection between people and profits. ii. Half of those who see the connection try to make a single change, rather than attempting to make comprehensive changes. iii. Half of the firms that make comprehensive changes persist long enough for those changes to make a difference. iv. ½ x ½ x ½ = ⅛ OB at the Bookstore: How to Have a Good Day. Focus the discussion on whether students are aware of how much research is done on OB sorts of questions. Do they realize that psychologists, neuroscientists, and economists really do study practical questions like ―why do people procrastinate‖? Then ask students whether they see value in making more of an effort to seek out translations of that work (whether via sciencebased business books like this one, TED Talks, research podcasts, or Harvard Business Review research translations).

III. HOW DO WE ―KNOW‖ WHAT WE KNOW ABOUT ORGANIZATIONAL BEHAVIOR? A. According to philosophers, there are four ways of knowing things: 1. Method of experience – believing something because it is consistent with your experience 2. Method of intuition – believing something because it seems obvious or selfevident 3. Method of authority – believing something because a respected source has said it is so 4. Method of science – believing something because scientific studies have replicated that result using a series of samples, settings, and methods Try This! Ask students how they know the factors that improve health. What kinds of dietary philosophies do they know to be healthy? What kinds of exercise practices do they know to be healthy? Once the ―knowledge in the room‖ has been summarized, explore where that knowledge came from. How much of it was just experience or intuition? How much of it comes from authorities (e.g., doctors, trainers, books). How much of it comes from science, either directly (news reports, magazine reports) or indirectly (through 1-9

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relevant authorities). Does any of the ―knowledge in the room‖ conflict with each other (for example, some students think a low-fat diet is more critical; others think a low-carbohydrate diet is more critical)? Which method of knowing would be most valuable for reconciling such conflict?

Connect Exercise: How Do We Know? Click and Drag*. This activity helps students understand the four methods of knowing. Students match each method to a statement about organizational issues. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 1.4 What factors affect the two primary OB outcomes?

1.5 What is the role of the scientific method?

1.6 How are correlations interpreted?

Topic: Method of science Difficulty Level: 1 = Easy Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Ask students to finish statements using the four methods of knowing. You provide them with a set of statements such as, ―I know our turnover is too high because...‖ For each method of knowing, students write a fictional statement that explains why turnover is too high. Other example statements are: ―We should close the store an hour earlier because…‖, ―I know the training department is doing a great job because…‖, or ―I should be promoted before Julie because…‖ Not only does this give students practice in distinguishing the different methods of knowing, but it also allows them to realize the strength of the method of science.

Connect Exercise: How Do You Know? Self-Assessment. This activity helps students reflect on how the methods of knowing are applied to everyday life. Results of the quiz suggest the students‘ tendencies to rely on each of the four methods in their own lives.

Learning Goals 1.5 What is the role of the scientific method?

1.6 How are correlations interpreted?

Topic: Method of science

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Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: The results of this self-assessment are meant for personal reflection and application to organizational situations. Students can discuss why they may have the tendency to rely (or not to rely) on certain methods and whether it is effective for them. This discussion then extends to how the students would like decisions to be made in their company and why the method of science is most robust.

B. Scientific Method 1. Theory – collection of assertions that specify how and why variables are related 2. Hypotheses – written predictions that specify relationships among variables 3. Data – collection and observation of behaviors and outcomes related to the hypotheses 4. Verification – use of statistical methods to determine whether or not a hypothesis can be disconfirmed a. One tool in the verification process is the correlation.

Try This! Ask ten students to volunteer their height in inches and their weight in pounds. Ask them to write the numbers down on a sheet of scrap paper. Then input them into an Excel spreadsheet, placing them in columns A and B. Ask students to eyeball the two columns of numbers and guess the correlation. Then calculate it using this formula: =correl(a1:a10,b1:b10). Did the resulting correlation differ from the population value (.44, as given in Table 1-4, Some Notable Correlations).

Ask the students why the class number might differ from the population value, using that to explain why multiple studies (and high sample sizes) are needed when performing OB research. Then ask the students whether the correlation between job satisfaction and job performance should be higher or lower than the correlation between height and weight. Use that frame of reference to get them to understand that correlations of .30 are actually moderate in size, and correlations of .50 are actually strong in size. b. Correlations are not enough to prove causation. Making causal inferences requires ruling out alternative explanations. Experimental methods are often used for that purpose, as they are able to control external factors that could create misleading correlations.

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c. A meta-analysis takes all of the correlations found in a set of studies and calculates a weighted average of those correlations to help understand the overall relationships between variables. Meta-analyses can also be a helpful guide for evidence-based management, where management education and practice relies on scientific findings (as in medicine).

OB on Screen: Moneyball. The clip referenced in the book begins around the 46:11 mark of the film, continuing until about the 49:45 mark.

The scene depicts an argument between Billy Beane, the general manager of the Oakland A‘s, and Grady Fuson, his head scout. Beane has embraced advanced analytics—statistics-based decision making as espoused by Pete Brand. Fuson prefers decision making based on experience and intuition, not science, referring to Brand as ―Google Boy.‖ Ask the students who is right? Beane or Fuson? The reality is that both are a little right and both are a little wrong. The method of science need not come at the expense of experience or intuition—all can be used to complement one another. Although Beane clearly denigrates the need for scouting in the clip, the reality is that most sports teams now have analytics experts and science experts. Beane‘s focus on science has stood the test of time, as the A‘s have remained successful. Unfortunately for them, other teams copied the use of analytics, given that the practice was not inimitable. Please email me at jason.colquitt@gmail.com if you have any questions about using OB on Screen in your teaching.

Try This! Use the Moneyball clip for a different chapter. The clip provides a good example for discussing the rational decision-making model, types of decisions, and the value of experience and intuition from Chapter 8. Ask the students whose decisions are likely to be faultier and why: a scout‘s or a statistical analyst‘s? Why? Bonus OB on Screen (from 3rd edition): Social Network. The clip referenced in the book begins around the 21:32 mark of the film, continuing until about the 24:20 mark. The clip depicts Tyler and Cameron Winklevoss approaching Mark Zuckerberg to work on their site, the Harvard Connection. The scene encapsulates the inimitable advantage that Facebook had in the beginning (and that Harvard Connection would have had): Unlike Myspace or Friendster, you needed a harvard.edu email address to access it. Ask the students to describe why that represented such an inimitable advantage in the beginning. Then guide discussion toward the inimitable advantages that Facebook has garnered since the site was opened up to everyone.

Bonus OB on Screen (from 1st and 2nd edition): Office Space. The clip begins around the 18:20 mark of the film, continuing until about the 25:44 mark. The clip depicts Peter Gibbons, a computer programmer at Initech, as he struggles to get through his work day. Eventually he seeks 1-12

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the advice of a therapist, which inadvertently causes him to embrace the role of an ―office slacker.‖ The scenes provide a case study of an employee with low job performance and low organizational commitment.

Ask the students why Peter seems to be struggling. What concepts from Figure 1-1 seem most relevant? Students who have seen the entire movie will be able to point to a number of different concepts that explain Peter‘s current ineffectiveness.

Connect Exercise: Types of Relationships in OB Click and Drag. This exercise helps students understand correlation strength and how it represents frequency of occurrence. The student matches each statement about a relationship between variables to a correlation strength: none, moderate, strong, and perfect. This activity will prepare students to better understand research results in future chapters. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 1.6 How are correlations interpreted?

Topic: Method of science Difficulty Level: 3 = Hard Blooms: Evaluate AACSB: Analytical Thinking Follow-Up Activity: Broaden the discussion of correlation strength to illustrate that frequency of occurrence is just one piece of the puzzle in determining what actions to take. Give the students two statements: ―Temperature drops in winter are usually associated with higher turnover‖ and ―Rarely, the A/C breaks in the manufacturing area and all work must stop‖.

Ask the students to discuss in groups the implications of the relationships in each statement and compare them. The latter is probably costlier to the organization but is rare. The organization can exert control over a/c, but not over the outside weather. Effects that result from turnover may be high training costs, as well as frequent low morale and lack of teamwork. This discussion illustrates that ‗more frequent‘ is not always more important to the organization. Student comments about contingencies on the importance of the relationships (job types, industry, size of organization) will give the discussion added depth.

Connect Exercise: Flashlights and Pop Tarts Case Analysis. This exercise presents unlikely correlations in everyday life and illustrates why 1-13

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correlation does not mean that one causes the other. Students will read the case analysis and answer multiple choice questions about relationships in OB. Learning Goals 1.6 How are correlations interpreted?

Topic: Causal attributions; Decision making; Method of science Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: The concept of correlations in OB can be a difficult one for some students. To help make the concept clearer, ask students to express actions in their own lives and what results from them. Then, ask them to identify those relationships as weak, moderate, or strong relationships. For example: Even if I study more hours for English, my grade does not increase (so no relationship). When I study more hours for math, my grade increases moderately (moderate and positive relationship). If I drink more caffeine, my alertness strongly increases (strong and positive relationship). However, as I drink more caffeine, the number of practice problems I get right moderately decreases (moderate and negative relationship).

IV. SUMMARY: MOVING FORWARD IN THIS BOOK OB Assessments: Introspection. This brief survey can be used to give students a feel for the types of data that are often collected in organizational behavior studies.

Introspection, specifically, is relevant in an OB course because introspective students can use the content in the chapters to better understand their current and past work experiences, and their strengths and talents as employees. Use a show of hands to see how many students fell above and below the average level, and see if students will volunteer any extremely high or low scores. Challenge students who score low on the assessment to actively try to apply course content to their own experiences and characteristics. Please see the PowerPoints for a Bonus Assessment on Scientific Interests. Please see the Connect assignments for this chapter for an assessment on Methods of Knowing. Please email me at colq@uga.edu if you have any questions about using these assessments in your teaching.

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DISCUSSION QUESTIONS 1.1

Assuming you possessed the right technical skills, would a job at IKEA be appealing to you? What would be the most important positives associated with the position, in your view? What would be the most important negatives?

The answers will vary from person to person, but one of the more oft-mentioned positives would be working for a company that stood for something—that had a ―social mission.‖ One negative might be working for a company whose product seems routine and common, as there are a number of companies that the lay consumer might view as substitutable.

1.2

Think again about the worst coworker you‘ve ever had—the one who did some of the things listed in Table 1-1. Think about what that coworker‘s boss did (or didn‘t do) to try to improve his or her behavior. What did the boss do well or poorly?

What would you have done differently, and which organizational behavior topics would have been most relevant?

One boss, when faced with a ―bad‖ employee, got more and more authoritarian— finding fault with everything the employee did and penalizing the employee for every fault. As a result, the employee was more and more demotivated. An alternative approach would be to discuss the employee’s strengths and weaknesses with him, determining the cause of the poor performance, and seeking more helpful solutions for dealing with it. For example, discussing the employee’s individual characteristics might yield knowledge about how to place that person for maximum effectiveness and job satisfaction. An analysis of group mechanisms could help to determine whether or not the employee had the proper support to do his work. And an analysis of organizational mechanisms might provide information on changes that need to be made to the environment for the employee to improve.

1.3

Which of the Individual Mechanisms in Figure 1-1 (job satisfaction, stress, motivation, trust, justice, and ethics, learning and decision making) seems to drive your performance and commitment the most? Do you think you‘re unique in that regard or do you think most people would answer that way?

Answers to this question will vary, but the important point to make when discussing the question is that everyone is different, and that when trying to motivate employees, those differences must be taken into account.

1.4

Create a list of the most successful companies that you can think of. What do these companies have that others don‘t? Are the things those companies possess rare and inimitable (see Figure 1-2)? What makes those things difficult to copy?

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Although Apple is an answer that would flow out of the text, there are a number of good examples. Companies like Google having a market advantage (in Internet search at least) that becomes difficult to copy, not to mention technological expertise to help protect that advantage. Other companies, like Toyota, have ―bulletproof‖ reputations that their competitors find tough to match or copy.

1.5

Think of something that you ―know‖ to be true based on the method of experience, the method of intuition, or the method of authority. Could you test your knowledge using the method of science? How would you do it?

One example of something that people ―know‖ to be true is that extraverted leaders are more effective. The true merits of that piece of ―knowledge‖ are described in Chapter 14. More relevant to this discussion, it could be tested by asking leaders to fill out extraversion assessments and asking followers to rate their effectiveness. Alternatively, business and political leaders who are famous for being effective or ineffective could be rated by observers on their extraversion.

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CASE: IKEA Questions: 1.1

Initiatives like Improving Worker Well-Being could increase Levi’s costs in a number of different respects. Shouldn’t that harm the profitability of the company?

Such initiatives do indeed increase costs. The question is whether they also wind up increasing revenues. There are a few reasons to expect Improving Worker Well-Being to do just that. First, the initiative may make Levi’s employees feel more proud of the company, increasing retention. Second, the initiative could improve Levi’s brand as an employer, allowing them to attract better talent. Third, such initiatives can make Levi’s more attractive to consumers, increasing sales (and even allowing Levi’s to raise prices to some degree).

1.2

What are the potential strengths of a bottom-up approach to supplier improvement for a large company like Levi’s? Would there be advantages to a more top-down approach?

A bottom-up approach should work where suppliers are concerned, because suppliers are so different from one another—and from Levi’s corporate offices. Suppliers need to be empowered to deal with issues in a way that works for them, so long as some oversight and necessary standardization occurs. A more top-down approach could increase the clarity and certainty of what Levi’s wants to accomplish, but a lack of supplier involvement would likely derail such an approach.

1.3

How exactly should Harvard’s School of Public Health go about studying the effects of the Improving Worker Well-Being initiative? What would an ideal study look like?

The ideal design for such a study would is termed a pretest-posttest with comparison group. The study would measure the performance and commitment of supplier employees on a wide scale—in facilities who will go through the training and in facilities that do not. Then, those measures would be repeated after the initiative has rolled out and been completed—again in facilities that went through the training and those that didn’t. The question then becomes whether performance and commitment increased more in those facilities that go the training than in those that did not.

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BONUS CASE: IKEA (from 6th edition) Does the name Ingvar Kamprad ring a bell? What if I told you he grew up on a farm called Elmtaryd near the village of Agunnaryd? That‘s right—he‘s the founder of Sweden-based IKEA (and now you know what the letters stand for). IKEA operates 389 stores worldwide, employing 183,000 employees. Kamprad built his massive company from the humblest of beginnings. At the age of five, he began buying boxes of matches in order to sell them by the book for profit. He founded Ikea in 1943 at the age of seventeen, using seed money from his father. Kamprad began by selling knickknacks and trinkets before moving on to furniture five years later. IKEA expanded beyond Sweden in 1963 and opened its first U.S. store in Philadelphia in 1985.

Kamprad has been described as having the classic entrepreneur‘s personality—highly conscientiousness, highly creative, but very willing to disagree with the opinions and views of others. Those traits helped him make a number of innovations, including shipping furniture using ―flatpacking‖—where the buyer assembles the finished product.

Today, Kamprad‘s company tries to instill specific traits in its employees and its organizational culture. New hires are given the ―Little IKEA Dictionary‖ that describes the importance of humility, heritage, simplicity, equality, togetherness, and sustainability.

How do such values shape the experience of working at Ikea? In terms of equality, Lars Petersson, the leader of Ikea‘s Conshohocken, Pennsylvania-based U.S. headquarters, notes that ―Hierarchy is not a big Swedish thing…We actually work with trust rather than control.‖ The company has also successfully combatted the glass ceiling, with more than half of senior managerial roles filled by women. In terms of sustainability, Nabeela Ixtabalan, the head of human resources, notes ―My boss would say, ‗Go home, you‘ve been here too long,‘…Here, if you can‘t do your job successfully in a reasonable amount of time, you‘re doing something wrong.‖ Ikea‘s pay philosophy is also sensitive to the long term. Hourly wages average $15.45—double the minimum wage—and are indexed to MIT‘s Living Wage Calculator. And part-time employees qualify for health benefits if they work 20 hours per week. These and other aspects of life at IKEA explain why it was recently named one of Fortune‘s 100 Best Companies to Work For. The values in the ―Little IKEA Dictionary‖ do more than shape the experience of working at IKEA. They also shape the actions the company takes as it interfaces with the world at large. For example, IKEA is a leader in helping to support refugees—people forced to leave their countries because of wars, disasters, or persecutions. The company designed and manufactured the Better Shelter—a flat-packed shelter that‘s solarpowered and can fit a family of five. More than 16,000 shelters have been distributed around the world since 2015. The shelter even won the the prestigious Beazley Design of the Year Award. IKEA also plans to sell a line of rugs made by Syrian refugees. The initiative will provide jobs for 200 refugees and the rugs will be sold in several Middle Eastern countries. Jesper Broden, an IKEA managing director, notes, ―The situation in Syria is a major tragedy of our time…We decided to look into how IKEA can contribute.‖

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As another example, the company is doing what it can to promote environmental sustainabilit—a key challenge given the number of stores it operates. IKEA has installed solar panels at 90% of its stores. Moreover, a recent report placed it among the top U.S. companies for producing solar power (alongside Target, Walmart, Apple, Costco, and Kohl‘s). IKEA also unveiled ―The Farm,‖ a hydroponic garden that allows it to grow the food served in its in-store cafes—famous for their Swedish meatballs and cinnamon rolls. Finally, the company launched a ―Save the Furniture‖ campaign in Belgium, where customers can sell their old furniture to IKEA, with the store then selling the furniture to its customers. The program, which will be piloted in the U.S., is described as ―amnesty for pre-loved furniture‖ and is not limited to IKEA‘s own products.

Of course, those sorts of expressions of IKEA‘s values may not be as salient to employees as management philosophies, promotion rates, working hours, and compensation levels. Still, such actions may instill a sense of pride among the rank-andfile, encouraging them to see more meaning and purpose in their work. Such actions may also make employees think twice before accepting jobs at competitors who are less ―society minded.‖ Of course, customer awareness of IKEA‘s policies and initiatives could breed product loyalty—or even turn customers into applicants for job openings in the company.

Sources.

S. Begley, ―IKEA will sell rugs and textiles made by Syrian refugees.‖ Fortune, January 31, 2017; A. Byland, ―How Ingvar Kamprad Made His Billions,‖ The Motley Fool, April 19, 2014; K. Fehrenbacher, ―These Are the U.S. Companies with the Most Solar Power.‖ Fortune, October 19, 2016; IKEA 2016 by Numbers, August, 2016, http://franchisor.ikea.com/wp-content/uploads/2016/12/IKEA-Highlights-2016-Facts-andFigures.pdf; M. Gladwell, David and Goliath: Underdogs, Misfits, and the Art of Battling Giants. New York: Little, Brown, and Company, 2013; G. Houston, ―How IKEA Plans to Help Restaurants Build Their Own Indoor Farms.‖ Fortune, June 21, 2016; B. Kowitt, ―The Coolest Things IKEA, Coca-Cola, and Walmart are Doing to Cut Waste.‖ Fortune, May 16, 2016; B. Kowitt, ―At IKEA: No Ranks, No Rancor,‖ Fortune, March 15, 2016; R. Levering, ―The 100 Best Companies to Work For,‖ Fortune, March 15, 2016; M. Rhodan, ―IKEA Refugee Shelter Wins Design of the Year Award,‖ Fortune, January 30, 2017.

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Questions: 1.1

To what extent does a company‘s culture wind up reflecting the personality of its founder? To what extent does it reflect the values of the country it was founded in? Which seems to be a stronger force in the case of IKEA? Certainly there will be elements of both, and both the founder and the country seem to have impacted the culture at IKEA. It’s also important to note that— because founders grow up in a particular country—their traits are themselves shaped by the prevailing culture.

1.2

IKEA operates in a number of countries around the world. The governments and people in those countries may have different attitudes about working hours, diversity efforts, pay levels, and political and environmental activism. Should companies alter their policies and activities in a way that is sensitive to such differences?

Most multinational companies do allow for variation in HR policies across countries—when those policies are peripheral to the core mission and philosophy of the firm. Policies that are core aspects of the firm’s identity, however, wind up being maintained across countries. In IKEA’s case, some of those policies and activities are core to their culture. Variation on them is likely restricted as a result.

1.3

Assume you were an employee at an organization like IKEA, and Fortune surveyed you for its 100 Best Companies to Work For list. To what extent would your attitudes be shaped not just by internal work policies, but also by how the company engages with society?

This will vary by person, but how a company engages with society is becoming a bigger and bigger part of what it means to work there. Social media amplifies how a company conducts itself, and business reporting has become more sensitive to such issues over time. Thus, the external facing aspects of a company are likely to be even bigger drivers of employee attitudes.

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EXERCISE: IS OB COMMON SENSE? Instructions: Many students complain that OB is ―just common sense.‖ They typically say this after hearing some intuitive research finding such as ―perceptions of task variety are positively related to job satisfaction.‖ However, virtually anything seems intuitive once you‘ve heard it—the trick is to come up with the important concepts yourself before being told about them. This exercise shows how difficult it can be to do that, thereby demonstrating that OB isn‘t just common sense. This exercise should take around 15 minutes. Begin by going over the sample theory diagram (for movie box office receipts) so that they understand what a theory diagram is. Then put them into groups and have them pick from among the four potential topics (job satisfaction, strain, motivation, trust in supervisor). Have them create a diagram of their own using their chosen topic as a dependent variable.

Sample Theories: Here‘s an example of what students might come up with for job satisfaction. Their models will typically have some things that have been supported by academic research, though usually they won‘t use academic terms. For example, the ―fun tasks‖ box reflects a concept similar to ―satisfaction with the work itself.‖ However, the models will often include things that have not been as supported, such as the relationship between having good job skills and viewing job tasks as fun. Most often, however, the models will omit importance concepts. Have slides ready of Figure 4-7 on job satisfaction, Figure 55 on strain, Figure 6-7 on motivation, and Figure 7-8 on trust. You‘ll compare the students‘ diagrams to those diagrams. For example, if the figure below is compared to Figure 4-7, a number of omissions are evident.

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Questions: If OB was just common sense, students wouldn‘t include variables in their model that don‘t actually impact the outcome in question. Nor would they omit variables from the model that do impact the outcome in question. Either kind of mistake shows that students don‘t automatically know what OB concepts are relevant to key OB outcomes.

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OMITTED TOPICS The field of organizational behavior is extremely broad and different textbooks focus on different aspects of the field. A brief outline of topics that are not covered in this text, but which the professor might want to include in his or her lecture, is included below. In cases where these topics are covered in other chapters in the book, we note those chapters. In cases where they are omitted entirely, we provide some references for further reading.

•

History of OB – Historical movements and landmark studies including scientific management, the human relations movement, the Hawthorne studies, and Theory X versus Theory Y. For more on this, see: Taylor, F.W. The Principles of Scientific Management. New York: Norton, 1967.

Mayo, E. The Human Problems of an Industrial Civilization. London: Macmillan, 1933.

Roethlisberger, F.J.; and W. J. Dickson. Management and the Worker.

Cambridge, MA: Harvard University Press, 1939.

McGregor, D. The Human Side of Enterprise. New York: McGraw-Hill, 1960.

•

Managerial Functions – Including planning, organizing, leading, and controlling.

For more on this, see: Fayol, H. Industrial and General Administration. London: Pittman, 1949.

Drucker, P.F. Management Tasks, Responsibilities, Practices. New York: Harper & Row, 1974.

•

Workforce Trends – Relevant trends include the rise of knowledge work and service work (both covered in Chapter 2). Other relevant trends include increased globalization and increased workforce diversity (both covered in Chapter 3).

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Chapter 2

Chapter 2: Job Performance

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NOTE FROM THE AUTHOR My name is Jason Colquitt, and I‘m the lead author on the Colquitt-LePine-Wesson textbook, Organizational Behavior. I‘m also the author of this Instructor‘s Manual and I want to encourage adopters to reach out to me if I can help in any way with the book.

I‘m happy to point you to video clips that complement our OB on Screen feature or to share the details of a research project on performance and commitment that I do with my students. I‘m also happy to share the PowerPoints I use in my own teaching, that go along with the 6th edition of our book. These PowerPoints have a color palette that matches the book‘s and a design that shifts in color as new phases of our integrative model are entered. The PowerPoints also include my own teaching notes, along with additional photos that are Creative Commons-licensed for educational use. I also have those files in Keynote form if you are a Mac user who prefers that format. In sum, I enjoy corresponding with adopters very much, so please do not hesitate to reach out to me. My email address is jason.colquitt@gmail.com.

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CHAPTER OVERVIEW Job performance is the set of employee behaviors that contribute to organizational goal accomplishment. It has three components: 1) task performance, or the transformation of resources into goods and services; 2) citizenship behaviors, or voluntary employee actions that contribute to the organization; and 3) counterproductive behaviors, or employee actions that hinder organizational accomplishments. This chapter discusses trends that affect job performance in today‘s organizations, as well as practices that organizations can use to manage job performance.

LEARNING GOALS After reading this chapter, you should be able to answer the following questions: 2.1 2.2 2.3 2.4 2.5 2.6

What is job performance?

What is task performance?

How do organizations identify the behaviors that underlie task performance?

What is citizenship behavior?

What workplace trends are affecting job performance in today‘s organizations?

How can organizations use job performance information to manage employee performance?

CONNECT EXERCISES Why Zappos Hires Adaptable Employees Trait Creativity Citizenship Behaviors at Ben and Jerry‘s Boosterism Interpersonal Counterproductive Behavior Performance Appraisals at St. Jude

Case Analysis Self-Assessment Click and Drag* Self-Assessment Click and Drag* Case Analysis

*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

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CHAPTER OUTLINE I. JOB PERFORMANCE C. Defined as the value of the set of employee behaviors that contribute either positively or negatively to organizational goal accomplishment 1. Behaviors are within the control of employees, but results (performance outcomes) may not be.

2. Behaviors must be relevant to job performance.

OB at the Bookstore: Treating People Well. The authors of this book provide a terrific discussion of what it takes to build positive and trusting interpersonal relationships and why this matters. In short, the authors advance the idea that treating people well, or behaving with civility (being polite, courteous, respectful), is key to promoting effectiveness in many jobs, and of course, this is a form of interpersonal citizenship behavior. To begin the discussion, you can point out that incivility has reached crisis proportions and is getting worse. You can then ask students to provide examples of incivility they‘ve witnessed in a work or group context. It shouldn‘t take to long to generate a good list of examples (being rude, impolite, discourteous, lacking good manners). You can then ask about reactions to these behaviors.

Students will mention stress, reduced job satisfaction and commitment, reputational damage to the person exhibiting incivility, unwillingness to be helpful, conflict, and so forth. The discussion can then turn to the benefits of civility. Here, it‘s important to point out that you not referring to avoiding behaviors that reflect incivility—which is actually counterproductive behavior, but rather, going out of your way to be polite and charming and to smile and stay positive no matter what. Ask students to think of examples when they‘ve done this or where they‘ve observed others doing it, and to describe what happened. Although students will likely recount positive effects (development of trust and cooperation and friendships), some may describe situations where being civil didn‘t work as intended. This should provide a good segue to discuss the importance of authenticity in civility and how to promote it.

People will react negatively if they think you‘re being nice for instrumental reasons, or just to get something in return. One way to engender authenticity this is to develop a reputation as someone who behaves with civility. As the authors note, it is important to develop a habit of being civil and to do so consistently, regardless of the situation.

II. WHAT DOES IT MEAN TO BE A “GOOD PERFORMER”?

A. Task Performance

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1. Task performance involves employee behaviors that are directly involved in the transformation of organizational resources into the goods or services that the organization produces. a. Routine task performance involves well-known responses to predictable demands. b. Adaptive task performance involves responses to novel or unusual task demands. c. Creative task performance involves developing ideas or physical products that are both novel and useful.

2. Job analysis can be used to define task performance for different jobs. a. List the activities done on the job. b. Use ―subject matter experts‖ to rate each activity on importance and frequency. c. Select the activities that are rated highly on importance and frequency and use them to describe the job. d. Job analysis results can be used to create the tools managers need to evaluate job performance. e. O*NET (the Occupational Information Network) is an online database that provides job descriptions for most jobs. i. Information from O*NET needs to be supplemented to capture organizational values and strategies.

Try This! Figure 2.1 illustrates the O*NET results for a flight attendant job and points out that the information should be supplemented with behaviors that support the values and strategy of the organization. To reinforce this point in a way that really engages students, ask for an example of a job from a student in class and then brainstorm to identify critical tasks. After you have a reasonable list, enter the job in O*NET (http://online.onetcenter.org) and then compare the resulting tasks with the list from the brainstorm. At that point, you can discuss reasons why the lists may have differed. Although the brainstorm list may be shorter and less detailed, it typically includes extra tasks that reflect student assumptions regarding organizational values and strategy.

Connect Exercise: Why Zappos Hires Adaptable Employees Case Analysis.

This case analysis presents the unique structure and culture at Zappos that facilitates employee adaptability. The case is followed by multiple choice questions.

Learning Goals 2.1 What is job performance?

2.2 What is task performance?

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Topic: Job performance; Task performance Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Ask students to look up O*Net (onetonline.org) and search for a job they would like to have. Students should print or save the job summary report that lists tasks, skills, credentials, etc. needed for that job.

Job descriptions will not explicitly list ―adaptability,‖ but those that require a college degree will include related skills such as ―critical thinking‖ or ―complex problem solving.‖ Students can summarize the type of adaptability required for the job and what they might do to increase their own adaptability.

Connect Exercise: Trait Creativity Self-Assessment. This self-assessment is valuable due to the rise in creative job requirements. Students are classified as having either high or low trait creativity versus other college students.

Learning Goals 2.2 What is task performance?

2.7 How can organizations use job performance information to manage employee performance?

Topic: Task performance Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Students can react negatively to being classified as ‗low‘ in trait creativity, so it is important to debrief this self-assessment. Students may disagree with their results, whether they are classified as low or high.

Inform them of the importance of state creativity, which is influenced by experiences, unlike a personality trait that is relatively stable. Creativity can be sparked by single experiences, for example (a-ha! moments), or long-term exposure (e.g., art education). Creativity is known to be multi-dimensional, so a point of discussion is what ‗creative‘ means in the students‘ major fields of study.

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3. Task performance behaviors are not simply ―performed‖ or ―not performed‖— the best employees exceed performance expectations by going the extra mile on the job.

B. Citizenship Behavior 1. Citizenship behavior is defined as voluntary employee activities that may or may not be rewarded, but contribute to the organization by improving the overall quality of the setting in which the work takes place a. Interpersonal citizenship behavior involves assisting and supporting coworkers in a way that goes beyond normal job expectations. Helping, courtesy, and sportsmanship are all interpersonal citizenship behaviors OB Assessments: Helping. This survey helps students to assess how helpful they are under normal circumstances. Since helping behaviors are socially desirable, this may be a good time to point out the value of honest self-assessment to students. If students are unsure of whether or not they can evaluate themselves objectively in this regard, they may want to ask coworkers or class teammates to fill out the form about them. It is also worthwhile to discuss the importance of helping behaviors relative to task performance in the context of teams. Which type of performance is more important? What reactions do team members have when confronted with a team member who is not helpful? Is this the same reaction when a team is confronted with a member who is not effective with respect to task performance? Please see the PowerPoints for Bonus Assessments on Sportsmanship and Political Deviance. Please see the Connect assignments for this chapter for assessment on Boosterism and Trait Creativity. Please email me at colq@uga.edu if you have any questions about using these assessments in your teaching. b. Organizational citizenship behavior involves supporting and defending the organization through voice (offering supportive ideas for change), civic virtue (participating in company activities at a deeper-than-normal level), and boosterism (representing the company in a positive way in public.)

Try This! Ask students to name examples of organizational citizenship behaviors in jobs that they‘ve held. For example, students who have worked as servers might have suggested better menu items (voice), might have paid attention to how other restaurants did things (civic virtue), and might have said good things about the restaurant to their friends, rather than sharing kitchen horror stories (boosterism).

Connect Exercise: Citizenship Behaviors at Ben & Jerry‘s Click and Drag*.

In this exercise, students will match employee behaviors at Ben & Jerry‘s with

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Chapter 2

the types of interpersonal and organizational citizenship behavior. The goal is for students to better understand the basic definitions. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 2.4 What is citizenship behavior?

Topic: Citizenship Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Focus on one important citizenship behavior – voice.

Ask a student to share a time that he/she used voice at work and had a positive result. Alternately, ask for an example with a negative result. Analyze each situation. Was it the leader, the organization, or something about the student that impacted the effectiveness of voice? Discuss the importance of positive environments that encourage voice.

Connect Exercise: Boosterism Self-Assessment. This self-assessment classifies students as exhibiting high or low boosterism for their university versus other college students. Students with low boosterism will feel independent of the university‘s successes and failures, while those with high boosterism will have stronger feelings associated with the university and are likely to promote its value to others.

Learning Goals 2.2 What is task performance?

2.4 What is citizenship behavior?

Topic: Citizenship Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: As with any self-assessment, debriefing the results is helpful. Results of this activity reflect students‘ behaviors associated with their ties to the university and can be used to illustrate the positive effects of 2-8 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

Chapter 2

boosterism on an organization. Ask students to look up the alumni relations office or foundation at your university, or to search online for alumni groups.

What words are associated with boosterism? What are possible positive outcomes from boosterism for the university? For the students? c. Citizenship behaviors are relevant for all jobs, and provide clear benefits to the effectiveness of work groups and organizations d. Citizenship behaviors become more vital during organizational crises OB Internationally. A good question to ask students in class is whether they think that citizenship behaviors are likely to be valued differently in different cultures. The findings from the study described in the insert box suggest that the value for citizenship behavior may be universal, and this may surprise some students. The discussion can focus on why the value of these behaviors may be similar across cultures that may seem to be quite differ from one another.

C. Counterproductive Behavior 1. Counterproductive behaviors intentionally hinder organizational goal accomplishments. a. Property deviance harms an organization‘s assets and possessions and can include sabotage and theft. b. Production deviance reduces the efficiency of work output, and includes wasting resources and substance abuse. c. Political deviance refers to behaviors that harm individuals within the organization, and can include gossiping and incivility. d. Personal aggression involves hostile verbal and physical actions taken towards other employees. Examples are harassment and abuse.

OB On Screen: Molly’s Game. To illustrate prosocial counterproductive behavior, view the film from around the 1:44:08 mark to about the 1:48:42.

The clip depicts a meeting between two FBI agents, Molly Bloom, and her attorney. The FBI is pressuring Molly to become a witness against some of the players in her underground poker game, but Molly refuses because she‘s concerned that testifying will ruin the players‘ lives. Her decision could result in the forfeiture of millions of dollars and imprisonment. Molly‘s attorney is trying to convince the FBI agents that Molly is not a bad person, and that although some of her acts were illegal, they were also well-intended. After watching the clip, you can give some background on the film, which is based on the memoir of real-life Molly Bloom. She was a promising Olympic skier, but suffered a career ending injury during an event. She accepted a job offer as an office manager for a real estate developer, but ended up helping this person run an underground poker game. She did really well in this job, going way above and beyond what was required. She was super organized, did 2-9 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

Chapter 2

research on her own, and attracted many new players with innovations that made the game more classy. Eventually, she had a falling out with the real estate developer, and ended up starting her own game. Molly also did really well with her own game, but she also cared about the welfare of the players, some of whom were really troubled. When players couldn‘t pay, she covered for their bets with her own money instead of hiring muscle to collect, as was the norm in the underground poker industry. But as the game became more successful, Molly couldn‘t afford to cover the growing pots of cash, so she did something that made her game illegal: She took a ―rake‖, which refers to taking a percentage of the cash from the pots as insurance. Bloom also started taking drugs to help regulate her sleep and deal with the stress.

Eventually she was arrested. After this overview, you can ask students to identify examples of the different types of job performance. Because her game was successful and made so much money, students may point out that she was effective in task performance. This is a reasonable assumption.

Students may also note that, because she went above her job description as an office manager, and showed compassion towards the players, she engaged in citizenship behavior. You can explain that the target of citizenship behavior is generally others in the organization (examples are helping and being courteous) or the organization itself (for example, making suggestions for improvements and representing the organization in a positive way), not clients or customers. However, Molly did behave in a way that promoted a safe and positive social and psychological environment during the games, which is what citizenship behavior is all about. Students might also dive straight into the more interesting discussion surrounding her decisions to take a percentage from the pots and do drugs. On the one hand, these are certainly counterproductive behaviors. They are intentional, illegal, and contributed negatively to her business. On the other hand, the former was well-intended (not self-serving, but intended to benefit her clients and her business), and the latter was how she was able to cope. Students who read the book should realize that the former behavior is an example of prosocial counterproductive behavior. During the discussion, students may point out that prosocial counterproductive behavior may seem justified, and perhaps even moral. Other students may disagree, but if not, you can wrap-up the discussion by noting that prosocial counterproductive behaviors could put the organizational and its stakeholders in legal jeopardy. Please email me at jason.colquitt@gmail.com if you have any questions about using OB on Screen in your teaching.

Bonus OB on Screen (from 6th edition): Sully. To illustrate extraordinary job performance, view the film from around the 1:18:23 mark to about the 1:24:40. After watching the clip, you can give some background on the incident. The scene depicts what occurred in the cockpit of US Airways Flight 1549 on January 15, 2009. The aircraft struck birds shortly after takeoff and lost both engines. Sully discussed the problem with his first officer and an air traffic controller, considered options, and ultimately chose to ditch the aircraft 2-10 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

Chapter 2

in the Hudson River. Sully executed a perfect landing on the water, something that hasn‘t happened much in the history of commercial aviation, and saved the lives of all 155 souls on board. People considered him a hero, and the incident became known as the ―Miracle on the Hudson.‖ You can begin the discussion by asking why this is a good example of extraordinary job performance. Students are likely to focus on the fact that he conducted a perfect water landing and that he saved the lives of everyone on board. You can then ask if this is really job performance as defined in the chapter?

Students will realize that they‘re focusing on the results of performance and that the correct answer lies in behaviors. Some students may object to this distinction and say that you know extraordinary performance when you see it.

You can respond by saying that this may be true, but what if there was a big gust of wind as the plane was touching down, and a wing clipped the water and the jet flipped over as it touched down on the water, and the majority of the passengers died. He might have engaged in all the right behaviors, but the outcome was different simply because of some random event. You would still want your pilots to execute those behaviors even though the outcome was not the one that was desired. You can point out that the film actually centers on the NTSB‘s investigation to see if Sully and his copilot‘s behaviors were a contributing factor in the incident. To wrap it up, you can then ask the students to identify some extraordinary job performance behaviors. The clip clearly depicts task performance behaviors that are specific to piloting a commercial aircraft. Some students might note that the clip depicts highly effective adaptive task performance as well. The pilots train for emergencies, but each one is different, and losing both engines at such low altitude in the middle of one of the busiest cities in the world is something without precedent. Some students might also note examples of citizenship behavior.

Sully was remarkably courteous and calm during the entire incident.

Bonus OB on Screen (from 5th edition): Flight. The clip referenced in the book begins around the 1:33:20 mark of the film, continuing until about the 1:36:20 mark. The clip depicts a meeting where South Jet Air attorney Hugh Lang tells pilot Whip Whitaker that, although there are a few loose ends to take care of, he won‘t be held responsible for the crash of an airliner despite being very intoxicated at the time. Hugh suggests that empty bottles of alcohol found on the plane (the alcohol was consumed by Whip during the flight) should be blamed on a flight attendant with whom Whip had a relationship. Whip is upset with the idea, and responds sarcastically. Hugh responds by saying that although he thinks Whip is a ―drunk arrogant scumbag‖ he‘s also in awe of what he did as a pilot. The scene provides an excellent example of the independence of various job performance activities.

On the one hand, Whip engages in behavior at work that‘s clearly counterproductive. On the other hand, Whip engages in behavior that reflects excellent task performance—he adapts to an equipment malfunction, flies the airplane inverted, and ultimately saves the lives of most of the passengers.

One topic for class discussion is whether Whip is an effective performer.

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Chapter 2

Students will likely disagree, with some focusing on flying the plan and others focusing on substance abuse and putting passengers and the crew at risk.

You can keep track of what they say and help them realize that they are providing examples of task performance and counterproductive behavior. You can stay focused on the broader dimensions of task performance and counterproductive behavior or the narrower examples (adaptive task performance and production deviance). Some students may suggest that Whip‘s counterproductive behavior isn‘t important because it‘s his task performance that saves the lives of his passengers. This may be a valid point in the context of this particular movie. In reality, however, being drunk while flying an airplane could result in a mistake that kills everyone on board. To convey this point, you can ask students if they would board a plane if they know the pilot was high on cocaine and had a blood alcohol content of .24 (three times the level that most states use to classify someone as driving while drunk). You can also discuss why counterproductive behavior like this could go on for an extended period. You can suggest that coworkers might have had clues that Whip had problems with substance abuse, but they looked the other way because he‘s such a great pilot. You can ask students to provide other examples of this type of situation. Typically, a student will volunteer an example of someone who is great at task performance but horrible at citizenship behavior or counterproductive behavior. Students will often say they were disappointed and shocked at the contradiction after it was discovered. You can ask them how these types of situations should be managed. This should lead to the conclusion that it‘s best to pay attention to the different aspects of performance and provide feedback—highlighting both the positives and the negatives.

Bonus OB on Screen (from 3rd edition): Despicable Me. The clip referenced in the book begins around the 43:37 mark of the film, continuing until about the 52:50 mark. The clip depicts the behavior of a criminal mastermind named Gru, and in particular, his interactions with three orphan girls he adopted as part of his plot to steal a shrink-ray gun (that he plans to use to steal the moon). The scene provides an excellent example of the independence of behaviors that are related to job performance. On the one hand, Gru is a criminal, so he obviously engages in behavior that‘s deviant.

On the other hand, Gru engages in behavior that‘s much more positive. One topic for class discussion is how Gru stacks up in terms of his performance.

The students should be able to quickly identify examples of task performance, citizenship, and counterproductive behavior. Emphasize that the main point of the clip is to illustrate that it‘s problematic to assume where someone might stand on one performance dimension using knowledge about where the person stands in terms of another performance dimension. In real world contexts where the intent is to gather valid information about specific aspects of performance, jumping to these types of conclusions can be problematic.

You can ask students to provide examples of where this has happened.

Typically, a student will volunteer an example of someone who is a great at 2-12 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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task performance but horrible at citizenship behavior or counterproductive behavior.

Bonus OB on Screen (from 2nd edition): Hancock. The clip begins around the 27:35 mark of the film, continuing until about the 29:15 mark. The clip depicts a superhero named Hancock being counseled by a public relations spokesperson. The scene provides an interesting case of someone who is a good performer from a task performance perspective (he puts out a fire, removes a whale from the beach) but a bad performer from a counterproductive behavior perspective (he steals an ice cream cone, and flings a whale into the ocean and wrecks a sailboat). One topic for class discussion is how Hancock stacks-up in terms of his performance. The students should quickly come to the conclusion about task performance and counterproductive behavior. Some students may suggest that Hancock is low in citizenship behavior because he doesn‘t appear to be particularly courteous or a good sport. Other students may suggest that Hancock is high in citizenship behavior because his behaviors are voluntary and his behavior ultimately helps promote a safer city. You can point out that there isn‘t much in the scene to indicate the specific types of interpersonal citizenship or organizational citizenship. You can also explain that in trying to score Hancock‘s citizenship behavior they are making inferences about this aspect of performance based on other aspects of performance, and this is something to avoid in real world ratings context where the intent is to gather valid information about specific aspects of performance. Another topic for class discussion is why an organization would put up with someone like Hancock.

Their conclusion is that we do this for exceptional performers—people with unique and rare capabilities with respect to task performance—but even then, there are limits because (a) eventually it affects everyone around them, and (b) there are legal ramifications.

Bonus OB on Screen (from 1st edition): Monsters, Inc. The clip begins around the 9:11 mark of the film, continuing until about the 17:24 mark. The clip depicts the performance of Sulley and Randall, two employees at Monsters, Inc. Although the scenes clearly show that both employees are effective from a task performance perspective, there are some pretty dramatic differences in terms of their citizenship and counterproductive behaviors.

Class discussion could begin with the question, ―Are Sulley and Randall both good performers? This discussion can turn into a good debate because some students will insist that Sulley and Randall both produce results that are exceptional, and that‘s all that should matter. Students on the other side of the debate will tend to focus on the negative effects of Randall‘s behavior on the morale of the employees. Some students will make comments that reflect an assumption that other types of citizenship and counterproductive behaviors are present even though the behavior is not depicted in the scenes (e.g., Sulley is likely to be very helpful to coworkers whereas Randall is not).

Discussion could then focus on the validity of this assumption. The video 2-13 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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could also serve as a point of reference when discussing different types of citizenship and counterproductive behaviors. The most obvious differences in the behavior of Sulley and Randall are in the sportsmanship aspect of citizenship behavior and the personal aggression aspect of counterproductive behavior.

Connect Exercise: Interpersonal Counterproductive Behavior Click and Drag*. This exercise helps students better understand interpersonal counterproductive behavior. Students match examples to each type of political deviance and personal aggression. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 2.5 What is counterproductive behavior?

Topic: Counterproductive behavior Difficulty Level: 1 = Easy Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Put students into groups and ask them to create a list of classroom organizational and interpersonal counterproductive behaviors.

Then, ask them to assign a cost to those behaviors. These can be monetized (e.g., wasted class time costs tuition if the class has to be repeated) or costs in terms of other resources like time or effort (e.g., lost test preparation that results in more studying outside of class). Discuss the analogy of classroom costs to those in an organization as a result of counterproductive behaviors.

D. Summary: What Does It Mean to be a ―Good Performer‖?

III. TRENDS AFFECTING JOB PERFORMANCE A. Knowledge Work 1. Jobs that involve cognitive activity are becoming more prevalent than jobs that involve physical activity.

2. As a result, employees are being asked to work more quickly, learn continuously, and apply more theoretical and analytical knowledge on the job.

B. Service Work

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1. Service workers have direct verbal or physical interaction with customers, and provide a service rather than a good or a product.

2. Trailing only professional services in terms of growth, service jobs make up 20 percent of all new jobs.

3. The costs of bad performance are more immediate and obvious in service work, and service work contexts place a greater premium on high levels of citizenship behavior and low levels of counterproductive behavior Try This! Ask students to share the details of their worst customer service experience ever, whether in a retail store, a restaurant, a customer service call, or some other context. Discuss the impact of that event on the students‘ future relationship with that organization. Then ask students who have served in customer service roles to detail their own experiences, and to describe the factors that trigger negative customer experiences.

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IV. APPLICATION: PERFORMANCE MANAGEMENT A. Management by Objectives (MBO) 1. MBO is a performance evaluation system that evaluates people on whether or not they have met pre-established goals. It is best suited for employees with jobs that have quantifiable measures of job performance. a. An employee meets with a manager to develop mutually agreed-upon objectives. b. The employee and manager agree on a time period for meeting those objectives. c. The manager evaluates the employee based on whether or not objectives have been met at the end of the time period.

B. Behaviorally Anchored Rating Scales (BARS) 1. BARS look at job behaviors directly. a. Critical incidents are used to develop evaluation tools that contain behavioral descriptions of good and poor performances. b. Supervisors typically rate several dimensions and average across them to get an overall rating. c. BARS can complement MBO by providing information about why an objective has been missed.

C. 360-Degree Feedback 1. A 360-degree performance evaluation includes performance information from anyone who has firsthand experience with an employee, including subordinates, peers, and customers. a. With the exception of the supervisor‘s ratings, all ratings are combined so raters stay anonymous to the employee. b. 360-degree ratings are best suited for use as a developmental, rather than evaluative, tool because of difficulties related to combining information from different sources and the possibility of bias in the ratings D. Forced Ranking 1. Forced ranking systems make managers ―grade on a curve‖ when evaluating performance, allocating some percentage of employees into categories such as below average, average, or above average. a. These systems were popularized by Jack Welch at General Electric, whose ―vitality curve‖ grouped employees into the ―top 20,‖ ―vital 70,‖ and ―bottom 10‖ categories.

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b. Although these systems force managers to differentiate between employees, they may be inconsistent with team-based work, which requires more collaboration than competition.

Try This! Ask students to debate whether their OB course should be graded on a curve, with a predetermined percentage of students earning an A, B+, B, B-, and so forth. Assign one portion of the class to be the ―yes‖ side and the other portion of the class to be the ―no‖ side. Then, once the two sides have shared their best arguments, allow the class to vote (in a non-binding fashion, of course).

Connect Exercise: Performance Appraisals at St. Jude Case Analysis.

This case analysis presents how performance appraisals are conducted at St. Jude Memorial Hospital. The case illustrates how job analysis is important to effective performance appraisals, and the different ways they may be conducted. After reading the case, students answer multiple choice questions.

Learning Goals 2.1 What is job performance?

2.2 What is task performance?

2.3 How do organizations identify the behaviors that underlie task performance?

2.7 How can organizations use job performance information to manage employee performance?

Topic: Evaluating performance; Job performance; Task performance Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Business students participate in teams in most of their classes, yet appraisal of their team members is done many different ways (or not at all). Require groups of students to create three versions of a short appraisal instrument that can be used to evaluate team members across class types: MBOs, BARS, and 360-degree feedback. Students should then compare the three and how they accomplish the goal of accurately judging team member performance. One weakness students may realize is the difficulty of using one appraisal across classes, which is a valid concern analogous to using one appraisal across job types in the St. Jude case.

E. Social Networking Systems

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1. Technologies like those used in Facebook and Twitter are beginning to be used to provide feedback, monitor performance, update goals, and discuss performance management issues.

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DISCUSSION QUESTIONS 2.1

Describe your ―job‖ as a student in terms of the job performance dimensions discussed in this chapter. What would be the benefit of approaching student performance from a behavior perspective rather than from an outcome (grades) perspective? What would the downsides of this approach be? How would grading policies in your classes have to change to accommodate a behavior approach to student performance?

A focus on classroom behavior would more directly reward task performance, in terms of actions like good class attendance, participating in class discussions, and following class policies. It might also focus on whether students ―went the extra mile‖ by organizing class outings, finding guest speakers, helping students in the class, and so forth. One could see how classes would appear to function in a more engaged manner in this approach. Ultimately, however, the focus should be on learning. And learning is best assessed with an outcomes approach .

2.2

Describe the job that you currently hold or hope to hold after graduation. Now look up that job in O*NET‘s database. Does the profile of the job fit your expectations? Are any task behaviors missing from O*NET‘s profile?

The tasks for a retail sales manager on O*NET include: • • • • • • • • • •

Provide customer service by greeting and assisting customers, and responding to customer inquiries and complaints.

Monitor sales activities to ensure that customers receive satisfactory service and quality goods.

Assign employees to specific duties.

Direct and supervise employees engaged in sales, inventory-taking, reconciling cash receipts, or in performing services for customers.

Inventory stock and reorder when inventory drops to a specified level.

Keep records of purchases, sales, and requisitions.

Enforce safety, health, and security rules.

Examine products purchased for resale or received for storage to assess the condition of each product or item.

Hire, train, and evaluate personnel in sales or marketing establishments, promoting or firing workers when appropriate.

Perform work activities of subordinates, such as cleaning and organizing shelves and displays and selling merchandise.

While most retail managers will perform most of these tasks, some stores may require managers to do other things, such as stocking merchandise, planning promotions, etc. This discussion question gives a good opportunity to reinforce the point made in the text about how a company’s culture and values can change the tasks of their employees.

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2.3

Describe a job in which citizenship behaviors would be especially critical to an organization‘s functioning and one in which citizenship behaviors would be less critical. What is it about a job that makes citizenship more important?

Almost any sales position requires citizenship behaviors to help the company function effectively. When sales personnel speak well of their company (boosterism), when they participate in voluntary company activities (civic virtue) and when they suggest helpful changes to the product or sales process (voice), the company will thrive. Students are likely to suggest solitary jobs as not needing citizenship behaviors, but they may be surprised by how much citizenship affects those jobs, as well. For example, an author seems to work alone, but in reality, he or she must function effectively with editors, publishers, layout and copy design personnel, marketing professionals, agents, publicists, etc., in order to be successful. Citizenship behaviors will help the group come together and function effectively as a team.

2.4

Figure 2-3 classifies productive deviance and political deviance as more minor in nature than property deviance and personal aggression. When might those ―minor‖ types of counterproductive behavior prove especially costly?

Production deviance and property deviance can be especially costly in jobs that place a high premium on safety. For example, a marketing manager who comes to work drunk may not hurt anyone, but a bus driver who comes to work drunk could kill an entire busload of schoolchildren.

2.5

Consider how you would react to 360-degree feedback. If you were the one receiving the feedback, whose views would you value most: your manager‘s or your peer‘s? If you were asked to assess a peer, would you want your opinion to affect that peer‘s raises or promotions?

Individual answers to this question will vary, but students who are accustomed to receiving traditional performance appraisals may be more likely to value a manager’s assessment over a peer evaluation. If students do not have work experience, ask them if they want their evaluation of a classmate’s performance to affect that classmate’s grade (most do not.) Follow up this question by asking students to think about their own performance in the classroom. Are there times when a classmate’s evaluation will be more accurate than the professor’s? Are there behaviors that are more important to professors than they are to classmates, and vice versa? These questions will help students to understand how different evaluators can ―round out‖ a performance picture.

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CASE: ACCENTURE Questions: 2.1

Describe the major strengths and weaknesses of Accenture‘s new system of providing employees feedback about their job performance.

The system can provide timely feedback to employees. Employees can make immediate changes to their behavior to improve their effectiveness. The system also requires less time and is more acceptable to millennials who comprise much of the company’s workforce. A disadvantage of the system is that there may not be consistency across employees in the type of feedback they receive. Some may receive far less feedback than others. It’s also easy to envision how the type of feedback provided may be a function of the quality of interpersonal relationships rather than job relevant behaviors. Finally, people are far less civil on social media, so there’s a chance that employees say inappropriate things to each other. For all of these reasons, it may be difficult to use the information as a basis for administrative decisions (promotions, pay raises, etc.).

2.2

Identify types of job performance that Accenture‘s new system of providing performance feedback would best account for? Are there types of job performance that might be overlooked? Explain.

It would seem that the system is conducive to capturing aspects of performance that are visible and noteworthy to observers. Task performance that is exceptionally creative, interpersonal citizenship behavior reflecting extraordinary helpfulness, organizational citizenship in the form of innovative ideas are great examples. Important, but more run-of-the-mill job performance behaviors might be ignored (routine task performance, courtesy, and civic virtue). Employees may also refrain from providing feedback on counterproductive behaviors for fear of creating friction or engendering conflict.

2.3

Describe jobs or job contexts where a performance management system like the one Accenture replaced might be more appropriate? Explain.

The old system might work well in jobs where individuals work independently, on tasks that are fairly routine from day to day, and where there are clearly defined set of outcomes to which employee goals are connected. Sales jobs may be a good example. In these contexts, the information needed to improve performance may be readily available. There is less of a need for on-going feedback on a wide range of job-relevant behaviors, and fewer individuals to provide it.

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BONUS CASE: GENERAL ELECTRIC (from 6th edition) When you think of General Electric, or GE for short, company founder, Thomas Edison, might come to mind. You might also think of light bulbs or appliances, GE products you may use every day. Depending on your background, you might also think of medical equipment, jet engines, or even locomotives. In fact, GE is a huge multinational conglomerate with a diverse array of businesses, which include aviation, digital, energy, oil and gas, power, renewable energy, health care, appliances, lighting, and transportation. With operations in all these different industries, it‘s easy to appreciate the vast range of jobs that are held by GE‘s workforce, which numbers well over 300,000 full- and part-time employees. You might also appreciate the management challenge faced by GE. That is, how does GE ensure that employees in all these different jobs produce results and perform in ways that are consistent with the company‘s values and objectives?

In the mid 1950s GE established a management training center in Crotonville, New York, just east of the Hudson River, north of Manhattan about halfway to Poughkeepsie.

High potential managers are sent to Crotonville to learn about practices that GE believes will promote high performance across the organization. For example, in the 1970s and 80s, GE was facing competitive pressure from Asian manufacturers, and the company responded by training managers in practices, such as Six Sigma, that focused on reducing costs and increasing efficiency and quality in operations. With the adoption of these types of practices, GE employees were no longer just responsible for carrying out tasks involved in the design and manufacturing of products, but they were also accountable for measuring and eliminating defects and reducing waste through continuous improvements in manufacturing processes.

During this period, GE managers also learned how to push their employees hard to achieve results with regard to these ends. This emphasis is best exemplified in Jack Welsh, the highly charismatic CEO who ran the company from 1981 to 2001. In light of intense competitive pressures and the commoditization of many of GE products, Welch focused on goals related to costs, efficiency, and operational excellence, and he instituted practices that reinforced employee behaviors to ensure that his goals could be met. As an example, Welch advocated an annual job performance review process that drew sharp distinctions between effective and ineffective employees. He felt that the best way to do this was to have managers rank employees relative to their peers and to fire the bottom 10 percent. Welch‘s hard-nosed approach to managing the performance of his employees led GE to great success during his tenure.

Welch‘s successor at GE, Jeff Immelt, recognized that a new set of employee behaviors was necessary to compete in a changing competitive environment where technology and innovation are making product life cycles shorter. Rather than focusing on doing things in the most cost-effective and efficient way, and without error, employees need to take risks and test new ideas, and incorporate learning from errors into deliverables.

Although the training center in Crotonville continues to serve as a means of instilling GE‘s values to its managers, the training has been refocused to emphasize the type of 2-22 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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performance needed for the company to thrive in this new environment. So, for example, to help enhance creativity and other behaviors necessary for innovation and rapid product development, GE managers receive training on things like mindfulness, emotional self-regulation, and the importance of constant feedback.

Immelt also moved GE away from many of the rigid practices that Welch implemented, including the ―rank and yank‖ annual performance review system. Immelt and others at the company came to believe that the system promoted competitiveness rather than cooperation. Moreover, they came to the realization that the system had become a timeconsuming ritual that hindered the type of risk taking necessary for the company to succeed in the 21st century. In fact, GE has moved away from formalized annual reviews of employee job performance altogether.

Rather than rating employees each year on a scale that results in labels such as ―role model,‖ ―strong contributor,‖ or ―unsatisfactory,‖ the company has adopted a smartphone app called PD@GE, which facilitates ongoing performance feedback throughout the year. Managers are expected to have frequent discussions, or ―touchpoints,‖ with employees on short-term priorities so that discrepancies can be fixed quickly. Employees can also use the app to request feedback from others in the organization so that they have a better understanding of whether they should continue to do something or to change what they are doing. Although there are still open questions regarding how the system can be used to support compensation decisions, the company is convinced that it will provide feedback to employees that is more relevant and timely.

Sources: M. LaMagna, ―Why Major Companies Are Getting Rid of Traditional Performance Reviews,‖ Marketwatch, July 12, 2016, http://www.marketwatch.com/story/why-major-companies-are-getting-rid-of-traditionalperformance-reviews-2016-06-06; M. Nisen, ―How Millennials Forced GE to Scrap Performance Reviews,‖ The Atlantic (from the archive of partner QUARTZ), August 18, 2015, https://www.theatlantic.com/politics/archive/2015/08/how-millennials-forced-ge-toscrap-performance-reviews/432585/; R. Silverman, ―GE Re-Engineers Performance Reviews, Pay Practices.‖ The Wall Street Journal, June 8, 2016, https://www.wsj.com/articles/ge-re-engineers-performance-reviews-pay-practices1465358463; and R. Silverman, ―GE Does Away with Employee Ratings,‖ The Wall Street Journal, July 26, 2016, https://www.wsj.com/article_email/ge-does-away-withemployee-ratings-1469541602-lMyQjAxMTA2ODI2NzEyODcyWj. Questions: 2.1

How well do you think that Jack Welsh‘s performance review system evaluated employee job performance (as we have defined it in this chapter)? Which specific dimensions of job performance do you think his system emphasized?

Jack Welsh’s system seems to emphasize results more so than behavior.

Employees were driven by productivity and quality-related goals, and were 2-23

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evaluated annually on their ability to meet these goals and placed into different categories. Given the nature of the system and its emphasis, it’s probably safe to say that it primarily captures task performance. Interestingly, because the approach encourages competition among employees (no one wants to be in the lowest category) it may decrease citizenship behavior (e.g., helping) and increase counterproductive behavior (e.g., gossiping or sabotage other’s work).

2.2

Describe advantages of the PD@GE app as a means of evaluating employee job performance.

PD@GE allows for feedback that is much more timely and relevant than annual feedback sessions. Moreover, it seems tailored to capture any dimensions of job performance behavior. Additionally, because employees can ask for feedback, it gives them more control of their own development. Employees who are unsure of how they are doing can simply ask the appropriate parties.

2.3

Describe disadvantages of the PD@GE app. Explain why managers with longer tenure at GE may have doubts about the effectiveness of the PD@GE app?

What could be done to alleviate potential concerns?

One disadvantage mentioned in the case is that it is more difficult to use the information to make administrative decisions (e.g., promotions, raises, etc.). The information captured by the system may vary a great deal from one employee to the next. It also seems possible that employees might try to game the system by seeking feedback from sources they believe would be most positive. Employees with more tenure at the company, especially those who lived with ―rank and yank‖, might dismiss the system as being ―soft,‖ and may be bothered that the feedback is not as useful for making decisions about pay and promotions. To address potential concerns, GE could incorporate requirements with respect to specific critical behaviors, amount of feedback, number of touchpoints, and so forth. GE could also provide training and other incentives to ensure that the system is used appropriately and uniformly.

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EXERCISE: PERFORMANCE OF A SERVER Instructions: Put students in groups and have them sketch out the major job dimensions for a server‘s performance, drawing those dimensions on a circle. Also ask them to list two specific behaviors within each of those dimensions. Emphasize that the behaviors should be verbs, not adjectives. In other words, they should be explaining what servers actually do, not what qualities servers should possess. A server is useful as a job analysis example because students are so familiar with server duties (many students have worked as servers and all students have observed servers while dining in a restaurant). This exercise should take around 15 minutes.

Sample Job Dimensions and Behaviors: Here‘s an example of the kinds of job dimensions and tasks students might come up with for a restaurant server. The job dimensions are numbered with the more specific behaviors bulleted underneath.

Taking Meal Orders • Describing the menu • Making recommendations Delivering Food • Remembering who had what • Balancing food on tray Checking on Customers • Keeping water and drinks filled • Asking about dessert of the check Being Friendly to Customers • Smiling • Being conversational Questions: Unless they‘ve peeked ahead to subsequent steps, most lists will omit citizenship behaviors like helping, sportsmanship, voice, and boosterism. Most lists will also omit counterproductive behaviors like theft, wasting resources, substance abuse, or incivility.

Once you‘ve gotten the students to understand this omission, the former servers in the class will be able to attest to the importance of these non customer-directed behaviors.

If the list of behaviors generated by the students were to be supplemented by citizenship and counterproductive behaviors, a performance evaluation form like the one shown in Table 2-2 could be created. This sort of approach could be valuable because it would broaden the way restaurant managers view the performance of servers. After all,

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it‘s not enough to have a server who brings in big tips if that person has a negative effect on the climate and morale of the restaurant.

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OMITTED TOPICS The field of organizational behavior is extremely broad and different textbooks focus on different aspects of the field. A brief outline of topics that are not covered in this chapter, but which the professor might want to include in his or her lecture, is included below. In cases where these topics are covered in other chapters in the book, we note those chapters. In cases where they are omitted entirely, we provide some references for further reading.

•

Diagnosing Performance Problems — Theories that have been used as a basis for diagnosing performance problems (e.g., expectancy theory) are covered in Chapter 6.

•

Withdrawal — Lateness, absenteeism and turnover are sometimes discussed along with job performance. These concepts are covered in Chapter 3.

•

Performance in Teams — A lot of the work that takes place in organizations occurs in teams. Chapter 12 discusses this issue in the context of various types of taskwork and teamwork activities.

•

Application of Job Performance Evaluations — For a more comprehensive treatment of the uses of job performance information see: Murphy, K. R.., & J. N. Cleveland. Understanding Performance Appraisal: Social, Organizational, and Goal-Based Perspectives. Thousand Oaks, CA: Sage, 1995.

Smither, J. W. Performance Appraisals: State of the Art in Practice. San Francisco, CA: Jossey-Bass, 1998.

•

Workplace Trends — Technological change, contingent employees, and the need for continuous learning and adaptability are trends that have impacted the nature of employee job performance. For more on these issues see: Ilgen, D. R., & E. D. Pulakos. The Changing Nature of Performance: Implications for Staffing, Motivation, and Development. San Francisco, CA: Jossey-Bass, 1999.

Chapter 3: Organizational Commitment?

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NOTE FROM THE AUTHOR My name is Jason Colquitt, and I‘m the lead author on the Colquitt-LePine-Wesson textbook, Organizational Behavior. I‘m also the author of this Instructor‘s Manual and I want to encourage adopters to reach out to me if I can help in any way with the book. I‘m happy to point you to video clips that complement our OB on Screen feature or to share the details of a research project on performance and commitment that I do with my students. I‘m also created PowerPoints for earlier editions of the textbook

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that have extensive photos and vivid colors, along with narration notes from my own teaching. . I‘m happy to share those PowerPoints with you, as the current PowerPoints are limited by new restrictions on photos and colors. I also have those files in Keynote form if you are a Mac user. In sum, I enjoy corresponding with adopters very much, so please do not hesitate to reach out to me. My email address is jason.colquitt@gmail.com.

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CHAPTER OVERVIEW The chapter opens with a discussion of three different types of organizational commitment: affective, continuance, and normative. Responses to negative events are also examined, including exit, voice, loyalty and neglect, with exit and neglect also described as physical and psychological withdrawal. Finally, the chapter covers workplace trends such as diversity and employee-employer relationships, which can influence organizational commitment, and gives suggestions for fostering a sense of commitment among employees.

LEARNING GOALS After reading this chapter, you should be able to answer the following questions: 3.1 3.2 3.3 3.4 3.5 3.6

What is organizational commitment? What is withdrawal behavior? How are the two connected?

What are the three types of organizational commitment, and how do they differ?

What are the four primary responses to negative events at work?

What are some examples of psychological withdrawal? Of physical withdrawal?

How do the different forms of withdrawal relate to each other?

What workplace trends are affecting organizational commitment in today‘s organizations?

How can organizations foster a sense of commitment among employees?

CONNECT EXERCISES Types of Commitment Embeddedness Embeddedness Network Centrality Employee Responses to Negative Work Events Is Cyberloafing Good or Bad? Re-evaluating Evaluating at Microsoft

Click and Drag* Click and Drag* Self-Assessment Self-Assessment Click and Drag* Case Analysis Case Analysis

*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

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CHAPTER OUTLINE I. ORGANIZATIONAL COMMITMENT F. Organizational commitment is defined as the desire on the part of an employee to remain a member of the organization.

G. Employees who are not committed to their organizations engage in withdrawal behavior—actions that help the employee to avoid the work situation.

V. WHAT DOES IT MEAN TO BE A “COMMITTED” EMPLOYEE? Try This! Open the class by asking students to picture a scenario where they‘ve worked for their first employer for a number of years and have been approached by a competitor. Ask them what factors would cause them to stay and list those factors on the board, subtly grouping them into affective, continuance, and normative factors (without using those terms). Allow the students to guess what the groupings reflect.

This process will result in a table similar to Table 3-1, The Three Types of Organizational Commitment.

A. Types of Commitment 1. Affective Commitment – a desire to remain a member of an organization due to an emotional attachment to, and involvement with, that organization a. Research shows that people with affective commitment engage in more interpersonal and organizational citizenship behaviors, such as helping, sportsmanship, and boosterism. b. Affective behavior is influenced by the bonds between employees. i.

Erosion model says that employees with fewer bonds will be more likely to quit the organization. ii. Social influence model says that employees who have direct linkages with ―leavers‖ will themselves be more likely to leave.

OB Assessments: Affective Commitment. This brief survey can be used to give students a feel for their affective commitment levels, if they are currently working (or have recently worked). Use a show of hands to see how many students fell above and below the average level, and see if students will volunteer any extremely high or low scores. Ask students with particularly high scores what explains their levels, and do the same for students with particularly low scores. Do the part-time employees in the class feel less committed than the fulltime employees? Why might that be? Please see the Instructor PowerPoints for Bonus Assessments on Continuance 2-31 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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Commitment and Normative Commitment. Please see the Connect assignments for this chapter for assessments on Embeddedness and Network Centrality. Please email me at colq@uga.edu if you have any questions about using these assessments in your teaching.

2. Continuance Commitment – a desire to remain a member of an organization because of awareness of the costs associated with leaving it a. Continuance commitment is increased by the investment an employee has in an organization, as well as lack of employment alternatives. b. Embeddedness summarizes an individual‘s links to the organization and community, and what he or she would have to sacrifice for a job change.

The more embedded a person is, the more likely he or she will stay in his or her current position.

3. Normative Commitment – a desire to remain a member of an organization due to a feeling of obligation Two ways to build a sense of obligation-based commitment among employees: i. Create a feeling that the employee is in the organization‘s debt. ii. Become a charitable organization.

Connect Exercise: Types of Commitment Click and Drag*. This activity helps students practice their understanding of how the three types of commitment differ. Students types of commitment (low/high affective, low/high continuance, and low/high normative) to fictional employee examples. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 3.2 What are the three types of organizational commitment, and how do they differ?

Topic: Organizational commitment; Outcomes Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: A simple exercise that helps students study differences between high and low levels of variables is to ask them to write their own quiz 2-32 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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questions. Student groups should write questions for each type of commitment. Note that the students‘ questions and answers may not be correct, so with this activity, you must either discuss the questions in class time or grade them. If you opt for in-class work, reducing the number of questions per group allows for time to correct and discuss.

Connect Exercise: Embeddedness Click and Drag*. This activity helps students understand the reasons that employees feel embedded in their jobs due to continuance commitment. Students match employee quotes about their jobs to the three feelings of embeddedness: links, fit and sacrifice. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 3.1 What is organizational commitment? What is withdrawal behavior?

How are the two connected?

3.2 What are the three types of organizational commitment, and how do they differ?

Topic: Continuance commitment; Organizational commitment Difficulty Level: 2 = Medium Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Ask students to consider the facet of embeddedness called ―fit‖, or comfort with the job, company, and surrounding area. As a selfreflection exercise, ask them to describe what ―fit‖ would look like in their ideal job. Students will have some similarities and some differences, and their descriptions can spark discussion of whether ―fit‖ is something that makes organizations homogeneous over time, given high fit leads to high embeddedness and likely, to longer-term employment. People who are embedded in the same types of surroundings may also be similar themselves in some ways. Is this dangerous or good (or both)?

Connect Exercise: Embeddedness Self-Assessment. This selfassessment gives students feedback on their degree of embeddedness in their current community, regardless of whether they live near the university or not. Feedback tells students whether their degree of embeddedness is higher than the average college student or lower than the average college student.

Learning Goals

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3.2

What are the three types of organizational commitment, and how do they differ?

Topic: Organizational commitment Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: A good discussion question is whether organizations always want their employees to be embedded in the community of the office where they are hired. Large organizations need employees who are willing to take work assignments in other cities and countries. How can organizations encourage embeddedness at work without anchoring employees in only the current location?

Connect Exercise: Network Centrality Self-Assessment. This selfassessment gives students feedback on their affective commitment to the current class. Results classify students has having high network centrality versus other college students or low network centrality versus other college students. Implications include how students would feel about missing class.

Learning Goals 3.2 What are the three types of organizational commitment, and how do they differ?

Topic: Affective commitment; Social networks Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: The topic of network centrality gives you a good opportunity to discuss professional ties. Ask students to draw a spoke and hub picture where they are a center circle (hub) and lines extend to groups in their network (spokes). The network can include work, professional organizations, leisure groups like sports teams, social groups like church groups, and even online communities like LinkedIn. Next, ask students to draw spokes from each networked group to its links that may be desired by the student. For example, they may be linked to other students on LinkedIn who are linked to their employers. Ask students what is the importance of a professional network? Ask if anyone in the class is a member of a student 2-34 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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organization and would speak about what other network connections have opened up to them as a result. Last, ask students to add at least one ‗aspirant‘ connection to their current networks. Easy choices are specialized groups within LinkedIn, a student organization, or professional society.

OB on Screen: Baby Driver. The clip begins around the 39:07 mark of the film, continuing until about the 43:40 mark. The clip depicts Baby, shortly after he‘s quit his job as a getaway driver in a bankrobbing ring. Baby has met a woman named Debra and winds up putting his driving skills to work in a new job. Ask the students what emotions they would feel if they quit a job where their employer was doing illegal and unethical things. Ask whether those sentiments would still exist even if their actual pay level went significantly down. Please email me at jason.colquitt@gmail.com if you have any questions about using OB on Screen in your teaching.

Bonus OB on Screen (from 6th edition): Chef. The clip begins around the 31:22 mark of the film, continuing until about the 37:40 mark. The clip depicts Chef Carl Casper quitting his job after an argument with his boss, Riva. Ask the students who they think was ―right,‖ in the argument? What kind of organizational commitment did Carl seem to possess? Other topics of discussion could include which of the four types of employees Carl would be (star, citizen, lone wolf, apathetic) and which tends to be more powerful in a situation like Carl‘s: organizational commitment or occupational commitment.

Bonus OB on Screen (from 4th edition): Up in the Air. The clip begins around the 5:50 mark of the film, continuing until about the 9:42 mark. The clip depicts Ryan Bingham as he supplements his busy travel schedule for work with a speaking engagement at a Hampton Inn in Columbus. Ask the students whether they agree with the ―moving is living‖ sentiment, that a life of attachments winds up weighing a person down. Ask them how an individual might come to feel that way, and what the plusses and minuses to his/her employee might be.

Bonus OB on Screen (from 2nd edition): The Incredibles. The clip begins around the 26:53 mark of the film, continuing until about the 30:41 mark. The clip depicts Bob Parr (once a superhero named Mr. Incredible) as he tries to adjust to life at Insuracare—the insurance company in which he‘s been placed as part of the Superhero Relocation Program. Ask the students why Bob remains committed to Insuracare—what form of commitment does he feel and why does he feel it? Does Insuracare benefit from Bob‘s commitment? Why or why not? Note that this discussion could take a broad view on the consequences of commitment, including not only voluntary turnover but also behaviors that are counterproductive to the firm.

Bonus OB on Screen (from 1st edition): The Firm. The clip begins around the 2:34 mark of the film, continuing until about the 13:25 mark. The clip 2-35 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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depicts Mitch McDeere, a Harvard law student, as he interviews with Bandini, Lambert, and Locke, a small law firm in Memphis. The scenes reveal a firm that encourages marriage and children to its employees because children bring stability. The firm seems charming, if old fashioned, until the end of the second chapter, when a somewhat sinister-looking man meets with the senior partners to detail the phone calls Mitch‘s wife made from their hotel. That scene hints at the true nature of the firm, which has the mob as its primary client. One topic for class discussion is whether the firm is really taking the right approach in building commitment among its lawyers—is it smart for them to focus on building continuance commitment and embeddedness? Is there anything else they could do to build commitment instead, considering the illegal nature of their activities?

B. Withdrawal Behavior 1. Withdrawal behavior (a set of actions performed to avoid the work situation) is particularly important in times of organizational crisis 2. Employees respond to negative work events in one of four ways: a. Exit – an active, destructive response where the employee removes him/herself from the situation b. Voice – an active, constructive response, where the employee tries to change the status quo c. Loyalty – a passive, constructive response, where the employee maintains public support for the company, but privately hopes for an improvement d. Neglect – a passive, destructive response, leading to a decline in interest and effort on the job 3. Four Types of Employees a. Stars – High Commitment, High Performance Respond to negative events with voice b. Citizens – High Commitment, Low Performance Respond to negative events with loyalty c. Lone Wolves – Low Commitment, High Performance Respond to negative events with exit d. Apathetics – Low Commitment, Low Performance Respond to negative events with neglect Connect Exercise: Employee Responses to Negative Work Events Click and Drag*. This activity allows students to match employee quotes to each of the quadrants in the exit-voice-loyalty-neglect framework. Each employee quote describes a combination of low/high commitment and low/high performance.

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*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 3.3 What are the four primary responses to negative events at work?

Topic: Job involvement; Job performance; Organizational commitment Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Employees in the exit-voice-loyalty-neglect framework can move from one quadrant to another. One influence on this movement is the economy—for example, high performers may perceive better opportunities elsewhere and lessen their commitment to the current organization. Students should be aware that statistics about the economy are readily available. In particular, the Bureau of Labor Statistics publishes ―Job Openings and Labor Turnover‖ reports regularly (www.bls.gov). Ask students to access the most recent report and find the statistics for an industry of interest (the regular report lists statistics by industry). Discuss the results and how they may affect the employees based on exit-voice-loyalty-neglect classifications.

4. Types of Withdrawal a. Psychological (Neglect) actions that provide a mental escape from work environment, including: a. daydreaming b. socializing c. looking busy d. moonlighting e. cyberloafing Try This!: Have an in-class debate about whether managers should actively monitor Internet usage, and punish employees who seem to be engaging in too much cyberloafing. Assign one side of the class to be the ―yes‖ side and the other to be the ―no‖ side, writing the arguments on the board. Then allow students to switch sides to make additional arguments. Then take a vote to see if the class as a whole is in favor of monitoring Internet usage.

Connect Exercise: Is Cyberloafing Good or Bad? Case Analysis. This case discusses cyberloafing and how it can benefit or hurt commitment.

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Students read a case that includes recent information about BYOD (Bring Your Own Device) policies as well as lockdown browsers. Then, students respond to multiple choice questions related to withdrawal and commitment.

Learning Goals 3.1 What is organizational commitment? What is withdrawal behavior?

How are the two connected?

3.4 What are some examples of psychological withdrawal? Of physical withdrawal? How do the different forms of withdrawal relate to each other?

Topic: Organizational commitment; Withdrawal behavior Difficulty Level: 3 = Hard Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: An issue with two clear sides offers the opportunity for an in-class debate. Split students into pro-cyberloafing and anti-cyberloafing teams. Ask each team (or teams, depending on the size of the class) to brainstorm points and counterpoints for a class debate. In-class debates can have various types of rules. On typical method is to allow each team to present a short (2-minute) speech of main arguments. In response to these first speeches, each team is then allowed another 2-minute speech to solidify its case. Allow enough time to debrief the exercise (10-15 minutes) and discuss contingencies that may make either side correct.

OB at the Bookstore: Digital Minimalism. The author describes how apps, sites, programs, and feeds are often designed to be addictive, contributing to potential cyberloafing at work. Ask the students whether they would see value in a ―digital declutter.‖ Do they think it would make much of a difference in their daily life? And do they even perceive a problem in terms of the digital world distracting them from the physical world? b. Physical (Exit) actions that provide a physical escape from the environment a. tardiness b. long breaks c. missing meetings d. absenteeism e. quitting 5. Models of Withdrawal

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Try This! After going through all of the psychological and physical forms of withdrawal, ask students whether they think they are positively, negatively, or uncorrelated with respect to their frequency. Try to direct discussion in such a way that students provide logic for all three positions, because all are somewhat intuitive in their own way. a. Independent forms model Argues that various withdrawal behaviors are uncorrelated with one another, occur for different reasons, and fulfill different needs on the part of employees b. Compensatory forms model Argues that various withdrawal behaviors negatively correlate with one another—doing one means you are less likely to do another c. Progression model i. Argues that various withdrawal behaviors are positively correlated with each other—exhibiting one behavior increases the tendency of exhibiting other behaviors ii. This is the model that has received the most research support.

C. Summary: What Does It Mean to Be a ―Committed‖ Employee?

VI. WORKPLACE TRENDS THAT AFFECT COMMITMENT A. Diversity of the Workforce 1. The U.S. workforce is becoming increasingly diverse in terms of ethnicity, age, education, and nationality.

2. As workgroups become more diverse, there is a danger that minority employees will find themselves on the fringe of work networks, which can reduce affective commitment. Foreign-born nationals are less likely to have continuance commitment because they are less embedded in the communities in which they work.

OB Internationally. This text box discusses the difficulty multinational organizations may have in keeping employees committed to the organization, especially when they are given expatriate assignments. When teaching classes with a significant foreign-born population, you may ask students to think about whether they are more committed to their home country or to the country in which they are currently residing. Their answers will give them a feeling for the kind of ambivalence often felt by expatriate employees.

B. The Changing Employee-Employer Relationship

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1. Downsizing, or involuntary turnover, and the associated practices of outsourcing and using temporary workers, are fundamentally altering the way employees view their relationships with their employers today.

Try This! Ask students, by show of hands, how many have had a family member who was downsized. Allow any students who are willing to to share their anecdotes. Then ask, again by show of hands, how many students feel they will work for one employer their whole career. Two employers? Three?

Four? More than four? Ask them whether their answers to the question are somehow influenced by growing up amid decades of downsizing. Has downsizing impacted their expectations of their own commitment levels?

2. But downsizing typically doesn‘t make companies more profitable. One study shows that it takes companies two years to return to their former levels of profitability post downsizing.

3. Employees who remain with an organization after a downsizing tend to have ―survivor syndrome.‖ They have feelings of anger, depression, fear, distrust, and guilt 4. These trends have changed the psychological contracts that employees have with their employers. Those contracts are now more likely to be transactional in nature (reflecting a narrow set of specific monetary promises and obligations) and less likely to be relational in nature (reflecting a broader set of open-ended and subjective promises and obligations).

Connect Exercise: Re-evaluating Evaluating at Microsoft Case Analysis.

This case analysis is about Microsoft‘s changing approach to employee evaluation. The case is not about performance appraisals per se but about their effects on perceived organizational support, relational contracts, and psychological contracts. Microsoft has gone through a large shift in its approach to evaluating employees, from forced rankings to no formal reviews at all. Students answer multiple choice questions after reading the case.

Learning Goals 3.4 What are some examples of psychological withdrawal? Of physical withdrawal? How do the different forms of withdrawal relate to each other?

3.5 What workplace trends are affecting organizational commitment in today‘s organizations?

3.6 How can organizations foster a sense of commitment among employees?

Topic: Organizational commitment; Psychological contracts; Withdrawal behavior

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Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: A surprising number of students have never experienced a formal performance appraisal. However, students can relate to forced grade distributions, analogous to Microsoft‘s forced ranking system. Ask students to support the case for and against forced grading distributions. Ask them to brainstorm how psychological contracts can be used in a way that supports either system in a classroom setting. For example, Microsoft‘s statements about the importance of employee development were not consistent with forced ranking and, therefore, caused employees to perceive a lack of organizational support and psychological contract breaches.

VII.

APPLICATION: COMMITMENT INITIATIVES

A. In general, organizations can foster commitment by being high in perceived organizational support, which can be viewed as an employer‘s commitment to its employees. Organizations can show support by: 1. Providing bonding activities and mentoring activities designed to increase affective commitment 2. Providing a salary and benefits package, and advancement and promotion opportunities, to increase continuance commitment 3. Providing training and development opportunities to increase normative commitment 4. Identifing the root source of even minor withdrawal as soon as possible, to try and stop its progression DISCUSSION QUESTIONS 3.1

Which type of organizational commitment (affective, continuance, or normative) do you think is most important to the majority of employees? Which do you think is most important to you?

Responses to this question will vary from student to student, but most will point to affective as being the most ideal form. In your discussion of their responses, it may be useful to consider whether we really know what keeps us on the job.

Normative commitment effects are subtle, and may not be recognized by the people they affect. In addition, continuance commitment factors may trump affective factors at times, with employees staying with a company that makes them unhappy due to a sense of practical or financial need.

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3.2

Describe other ways that organizations can improve affective, continuance, and normative commitment, other than the strategies suggested in this chapter. How expensive are those strategies?

Organizations might improve affective commitment by giving employees a reason for their work, thus making employees think that the work has meaning and is important. Genetech does this by putting up large pictures of the people helped

by Genetech drugs around their campus—it is a low-cost way to engage people and make them more committed to the organization.

Continuance commitment might be increased through bonuses or other rewards, but also through the acquisition of competing companies in the area, thus removing employee options for work. Both of these approaches can be expensive, although obviously the latter is more expensive than the former.

Normative commitment can be fostered by fostering a sense of trustworthiness in top management. Being open and honest about key events can build a sense of integrity regarding top management, which can create a sense of obligation among employees.

3.3

Consider times when you‘ve reacted to a negative event with exit, voice, loyalty, or neglect. What was it about the situation that caused you to respond the way you did? Do you usually respond to negative events in the same way, or does your response vary across the four options?

Each student will have an individual response, but this question offers a good opportunity to reinforce the concepts that differing levels of performance and commitment lead to different responses to negative events in the organization. It may also be helpful to point out to students that performance and commitment are interrelated and that both are influenced by environmental factors within the organization.

3.4

Can organizations use a combination of monitoring and punishment procedures to reduce psychological and physical withdrawal? How might such programs work from a practical perspective? Do you think they would be effective?

Monitoring and punishment programs may decrease physical withdrawal, but they are likely to increase psychological withdrawal because most employees respond to coercive management efforts with resistance, rather than compliance or commitment.

3.5

Can you think of reasons the increased diversity of the workforce might actually increase organizational commitment? Why? Which of the three types of commitment might explain that sort of result?

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Increased diversity brings with it an opportunity to learn and experience new things, which can make work more meaningful and enjoyable and increase affective commitment. If the increased diversity winds up improving organizational performance, then affective commitment could be further increased as employees identify more with ―a winner.‖ In addition, employees who view increased diversity as ―the right thing to do‖ could respond to such initiatives with increased normative commitment.

3.6

Studies suggest that decades of downsizing have lowered organizational commitment levels. Can you think of a way that an organization can conduct layoffs without harming the commitment of the survivors? How? One way is to handle the layoffs in an exceptionally fair manner—by providing notice of the layoffs in an honest and sincere way, by carefully explaining the business reasons for the layoffs, and by providing extensive severance and placement assistance (for more on this, see Chapter 7 on Trust, Justice, and Ethics). Survivor commitment will also be more protected if the remaining employees get the sense that the layoffs are truly helping the long-term financial performance of the firm.

CASE: LYFT Questions:

3.1

Consider the way that Lyft managers its drivers, compared to Uber. Should the things that Lyft does engender affective commitment, continuance commitment, or normative commitment?

The fact that Lyft has a better corporate reputation should boost affective commitment, at least compared to Uber. If Lyft remains more lucrative now that Uber has also incorporated tipping, then that would maintain a continuance commitment advantage as well. If Uber’s ethical issues remain, then staying at Lyft rather than moving to Uber could have some normative qualities as well.

3.2

Lyft’s drivers are technically independent contractors, rather than employees. Are there reasons to expect them to feel less commitment to the company because of that designation? Why? Definitely. Being a true employee brings more psychological involvement in a company, which fosters commitment. The independent contractor classification is the organization keeping drivers at arm’s length in some sense, for various business reasons. But that length restricts commitment. That issue is exacerbated by the nature of being a driver, as one rarely comes into contact with any other members of the company.

3.3

Think about the job you seek to hold after graduation from your program. How 2-43

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would you answer the four STARA questions? If your organization began replacing employees with such technology, what that practice alter your commitment levels?

These answers will vary by major, as some jobs are more vulnerable to smart technology, artificial intelligence, robotics, and algoriths than others. But seeing employees laid off for any reason should have a negative effect on commitment.

Coworkers are a strong source of affective commitment, and the sense that a place ―takes care of its employees‖ is a strong source of normative commitment as well.

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BONUS CASE: PWC (from 6th edition)

What‘s your sense of the typical career path at a Big Four accounting firm? Put in five or so good years, then step away from the grind of travel and hours for something more slow-paced? PwC, the New-York based firm with 41,531 U.S. employees (and 157,955 employees worldwide) is fighting to make that career path a bit less typical. The firm, which was recently ranked 53rd on Fortune‘s 100 Best Companies to Work For, is taking a number of steps to build a sense of loyalty among the rank and file.

Some of those steps are focused on making PwC a fun place to work. For example, interns who receive offers of full-time employment get to compete in games and challenges at Disney World. PwC also uses sporting events and leagues to promote camaraderie. Nearly 400 employees—including interns and partners—participated in its softball tournament in Denver. Other steps are focused on making PwC a convenient place to work. For example, the company offers a number of desirable perks, including telecommuting, job sharing, compressed work weeks, paid parental leave, and paid time off for volunteering. Indeed, PwC recently announced that it would begin contributing $1200 a year to employees‘ student loans. The founder of a startup helping PwC administer this new perk views it as a ―tremendous differentiator‖ when PwC recruits on college campuses.

Helping hires pay off their student loans should be particularly valued by Millennials, who typically carry a significant amount of debt from college. PwC hopes that‘s the case, as it‘s struggled to build loyalty on the part of Millennials in recent years. Whereas new hires typically stayed for multiple years to take advantage of training and development opportunities, more and more Millennials have been quitting after a year or two. ―Our first reaction was to question ourselves,‖ says Anne Donovan, a manager in PwC‘s human capital group. ―We thought we must be hiring the wrong people.‖ That sense changed when PwC commissioned a large scale study of Millennial attitudes, to find out what drove loyalty for that age group. What did that study show? Summarizes Donovan, ―Millennials are driven by how well their team works together, how supported and appreciated they feel, and how much possibility they have. They‘re all about how it feels.‖ PwC is certainly not the first group to attempt a large-scale study of Millennial attitudes.

Such studies face an inherent challenge, however. Researchers have to be able to separate the effects of generation membership—Millennial, Gen-X, or Baby Boomer— from the effect of stage of life—being twenty-something, thirty-something, or forty/fiftysomething. Suppose a given study showed that 25-year olds were especially attracted to firms that offered paid time off for volunteering. Is the explanation for that finding that Millennials value volunteering more than previous generations, or that twentysomethings value it more than older employees? That‘s a critical distinction because Millennials will remain members of their generation for their lifespan, whereas twentysomethings will eventually turn into thirty-somethings.

One study, published in Journal of Management, did an especially good job of teasing apart generation membership and stage of life. The study drew from an annual survey 2-45 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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of 15,000 high school seniors—thereby holding stage of life constant. Respondents were classified as Baby Boomers if they were born between 1946 and 1964, as Gen-X if they were born between 1965 and 1981, and as Millennials if they were born between 1982 and 1999. What did the study uncover? One finding was that Millennials valued leisure time more than either Gen-X or Baby Boomers, being more likely to value ―A job that leaves a lot of time for other things in your life.‖ Somewhat surprisingly given existing stereotypes, there were few differences across generations in valuing intrinsic rewards (―A job that is interesting to do‖), altruistic rewards (―A job that gives you an opportunity to be directly helpful to others‖), or social rewards (―A job that gives you a chance to make friends‖). Millennials were less focused on extrinsic rewards (―A job that provides you with a chance to earn a good deal of money‖) than Gen-X, but more focused on such things than Baby Boomers.

The finding that Millennials value leisure time dovetails nicely with PwC‘s own results.

Their study showed that 95% of Millennials believed that work-life balance was important to them. Moreover, 25% of Millennials were disappointed in the work-life balance that PwC was affording them. From a loyalty perspective, those 25% can be viewed as ―retention risks‖—employees who may decide to turn over because they no longer want to stay with PwC. In response, PwC organized a top-down initiative where managers were encouraged to work with their employees to chart out a work schedule that suited them. The good news is that PwC now understands what drives loyalty among Millennials. The bad news is that future interns will soon be members of the next generation!

C. Groden, ―Five Things You Can Do to Attract Millennial Talent,‖ Fortune, March 15, 2016; R. Levering, ―The 100 Best Companies to Work For,‖ Fortune, March 15, 2016; M. Moskowitz, and R. Levering, ―The 100 Best Companies to Work For,‖ Fortune, March 15, 2015; P. Thallner, ―Where Hours Aren‘t Everything,‖ Great Place to Work, March 29, 2016, https://www.greatplacetowork.com/blog/130-where-hours-aren-teverything?highlight=WyJwd2MiLCJwd2MncyJd; J. M. Twenge, S. M. Campbell, B. J. Hoffman, and C. E. Lance, ―Generational Differences in Work Values: Leisure and Extrinsic Values Increasing, Social and Intrinsic Values Decreasing,‖ Journal of Management, 36, 1117-1142; C. Zillman, ―How New Perk: Paying Down Student Loans,‖ Fortune, March 15, 2016.

Questions:

3.1

Compare the findings described above for Millennials to your own views on Millennial characteristics. What surprises you about the findings? What doesn‘t surprise you?

The answer may depend to some extent on whether students are themselves Millennials. Most will not be surprised by Millennials’ increased focus on leisure and work-life balance. That tends to be consistent with prevailing stereotypes.

That they are not necessarily more focused on social and prosocial dynamics will be surprising, most likely.

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3.2

If you think about the three types of commitment—affective, continuance, and normative—which do you think is most changed among Millennials (or twentysomethings)? In what way?

The notion of normative commitment is likely to be foreign to young employees.

Their parents came of age in the time of downsizings, when the notion of ―lifelong loyalty for lifelong security‖ had already ebbed. Millennials expect to work for several different employers in their careers, and they understand that their employers may often view them as replaceable assets.

3.3

Consider all the initiatives and programs PwC uses to inspire employee loyalty.

Do most of those seek to ―move the needle‖ on affective commitment, continuance commitment, or normative commitment?

Many of the social and sports-related activities are attempting to increase affective commitment, as they focus on deepening bonds between employees.

The perks focus on continuance commitment, as they simply make it easier to stay with PwC than with employers who lack such perks. The more unusual perks—like helping to repay student loans may create a sense that PwC is going ―above and beyond‖ for its employees. That could increase normative commitment to some extent.

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EXERCISE: REACTING TO NEGATIVE EVENTS Instructions: Ask students to read the three vignettes and write down two specific behaviors that they would engage in as a result of the work situation. Emphasize that they should write down what they actually would do, as opposed to what they wish they would do. This is meant to encourage them to write ―nothing‖ if they would indeed to nothing in response to one of the situations. This is important because responses like loyalty and neglect in the exit-voice-loyalty-neglect framework are very passive responses to negative events that largely involve doing nothing. Then put the students in groups, have them come to a consensus on the most likely behaviors for each scenario, and have them share those behaviors with the class.

Sample Behaviors: Here‘s an example of the kinds of behaviors students might come up with for each of the three scenarios: Annoying Boss • Just “grin and bear it” • Vent by talking bad about boss to others Boring Job • Start looking for another job • Ask for new job assignments Pay and Seniority • Start “slacking off” at work • Demand a raise

(Loyalty) (Unclear) (Exit) (Voice) (Neglect) (Voice)

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Questions: Personal factors that might cause one to adopt voice or loyalty over exit or neglect include how patient an employee is, how much he or she likes colleagues and coworkers, as well as marketability. Situational factors that might drive the same sort of choice include the prestige of the company and the general labor market conditions.

There are responses that do not fit into the exit-voice-loyalty-neglect framework. For example, it‘s not clear where the ―venting‖ response above would fit. In general, actions that fall under the ―counterproductive behavior heading (discussed in Chapter 2) do not really fall into any of the exit-voice-loyalty-neglect categories.

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OMITTED TOPICS The field of organizational behavior is extremely broad and different textbooks focus on different aspects of the field. A brief outline of topics that are not covered in this text, but which the professor might want to include in his or her lecture, is included below. In cases where these topics are covered in other chapters in the book, we note those chapters. In cases where they are omitted entirely, we provide some references for further reading.

•

Attitudes – Organizational commitment is part of a larger family of work-related attitudes. Attitudes have an associated attitude object, which may be the organization, the job, a coworker, or the leader. They also have an evaluative component (what is felt toward the object), a cognitive component (what is thought about the object), and a behavioral component (a predisposition to act a particular way towards the object). For more on this, see: McGuire, W. J. ―Attitudes and Attitude Change.‖ Handbook of Social Psychology, Vol. 2, eds. G. Lindzey and E. Aronson. New York: Random House, 1985, pp. 233–346.

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Job Satisfaction – Along with organizational commitment, job satisfaction is the most commonly discussed job attitude. It reflects a pleasurable emotional state resulting from an appraisal of one‘s job and is covered in Chapter 4.

•

Unfolding Model of Turnover – Describes the process by which employees decide to leave the organization, including the roles of ―shocks to the system‖ (a critical event) and ―decision frames‖ (lenses based on past experience that color perceptions). For more on this, see: Lee, T. W.; and T. R. Mitchell. ―An Alternative Approach: The Unfolding Model of Employee Turnover.‖ Academy of Management Review 19 (1994), pp. 51–89.

Chapter 4: Job Satisfaction

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NOTE FROM THE AUTHOR My name is Jason Colquitt, and I‘m the lead author on the Colquitt-LePine-Wesson textbook, Organizational Behavior. I‘m also the author of this Instructor‘s Manual and I want to encourage adopters to reach out to me if I can help in any way with the book. I‘m happy to point you to video clips that complement our OB on Screen feature or to share the details of a research project on performance and commitment that I do with my students. I also created PowerPoints for earlier editions of the textbook that

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have extensive photos and vivid colors, along with narration notes from my own teaching. I‘m happy to share those PowerPoints with you, as the current PowerPoints are limited by new restrictions on photos and colors. I also have those files in Keynote form if you are a Mac user. In sum, I enjoy corresponding with adopters very much, so please do not hesitate to reach out to me. My email address is jason.colquitt@gmail.com.

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CHAPTER OVERVIEW This chapter gives an overview of job satisfaction, or the feelings employees have about their jobs.

Precursors to job satisfaction are examined, including the value-percept theory, job satisfaction facets, job characteristics, and mood fluctuations. The impact of job satisfaction on job performance, organizational commitment, and life satisfaction is considered, along with techniques that organizations can use to improve job satisfaction.

LEARNING GOALS After reading this chapter, you should be able to answer the following questions: 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8

What is job satisfaction?

What are values, and how do they affect job satisfaction?

What specific facets do employees consider when evaluating their job satisfaction?

Which job characteristics can create a sense of satisfaction with the work itself?

How is job satisfaction affected by day-to-day events?

What are mood and emotions, and what specific forms do they take?

How does job satisfaction affect job performance and organizational commitment? How does it affect life satisfaction?

What steps can organizations take to assess and manage job satisfaction?

CONNECT APPLICATION EXERCISES Value-Percept Theory iSeeIt! Animated Video: Job Characteristics Model Job Characteristics and Agile Work Environments Award-Winning Job Design at Wegmans Food Market Manager‘s Hot Seat: Cyberloafing Manager‘s Hot Seat: Virtual Workplace Manager‘s Hot Seat: Bullying Bring Your Dog to Work Positive Emotionality Flow

Click and Drag* Video Case Click and Drag* Case Analysis Video Case Video Case Video Case Case Analysis Self-Assessment Self-Assessment

*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

CHAPTER OUTLINE

I. JOB SATISFACTION 2-53 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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B. Job satisfaction is defined as a pleasurable emotional state resulting from the appraisal of one‘s job or job experiences.

VIII.

WHY ARE SOME EMPLOYEES MORE SATISFIED THAN OTHERS?

A. Employees are satisfied when their job provides the things they value, or things they consciously or subconsciously want to seek or attain.

Try This! Open the class by asking students what they want their ideal job to supply them—what values do they want that job to fulfill? List the values they describe on the board, grouping similar values into columns. This process will result in a table similar to Table 4-1: Commonly Assessed Work Values.

B. Value Fulfillment: Value-Percept Theory 1. Job satisfaction depends on whether you perceive that your job supplies the things that you value. a. Dissatisfaction = (Vwant – Vhave) x (Vimportance) 2. People evaluate job satisfaction according to specific facets of the job. a. Pay satisfaction b. Promotion satisfaction c. Supervision satisfaction d. Coworker satisfaction e. Satisfaction with the work itself Try This! Before you discuss which of the specific facets is the strongest driver of overall job satisfaction, ask students to guess which one is the strongest driver. Students who have not yet read the book will likely guess pay satisfaction, but some other students will correctly guess satisfaction with the work itself. Encourage the two students to debate each others‘ position before revealing the results.

3. Research results show that satisfaction with the work itself is the strongest driver of overall job satisfaction, followed by satisfaction with coworkers and supervision. Satisfaction with promotions and pay have weaker relations to overall job satisfaction.

Connect Exercise: Value-Percept Theory Click and Drag*. This exercise helps students understand the five facets of job satisfaction: pay, promotion, supervision, coworker, and the work itself. The student will click and drag descriptions of a fictional job to each of the five facets.

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*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 4.1 4.3

What is job satisfaction?

What specific facets do employees consider when evaluating their job satisfaction?

Topic: Job satisfaction; Values Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Find examples of real employees‘ reports on the facets of job satisfaction. Ask students to visit a site like glassdoor.com or vault.com where current or past employees write reviews of a company. Students should find both positive and negative feedback about each of the five facets of job satisfaction. Allow students to share their findings in class.

OB at the Bookstore: Alive at Work. The author describes the seeking system—the neutral network that is pivotal to interest and anticipation and encourages us to try new things and express ourselves. Many organizational structures have existed to suppress the seeking system in the interest of maximizing reliability and efficiency. Ask the students where the structure of colleges and universities do some of the same. How could higher education be altered to allow for more experimentation and self-expression on the part of students?

C. Satisfaction with the Work Itself: The Job Characteristics Theory 1. Work is more satisfying when it provides three ―critical psychological states.‖ a. Meaningfulness of work b. Responsibility for outcomes c. Knowledge of results 2. Five core job characteristics are linked to these psychological states. a. Variety – the extent to which the job requires different activities requiring different skills and talents b. Identity – the degree to which the job allows an employee to complete a whole, identifiable piece of work c. Significance – the degree to which the job has an impact on the lives of other people d. Autonomy – the degree to which the job provides freedom, independence and discretion to the individual performing the work 2-55 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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e. Feedback – the degree to which the job itself provides clear information about how well the individual is performing the work OB on Screen: Ocean’s 8. The clip referenced in the book begins around the 1:21:44 mark, continuing until about the 1:27:00 mark. The clip depicts John Frazier, an insurance investigator, as he tries to find out how a diamond necklace was stolen. Ask the students what they like about mysteries—whether in movie form or book form. Then ask the students how jobs (and job tasks) could create those same kinds of feelings.

Please email me at jason.colquitt@gmail.com if you have any questions about using OB on Screen in your teaching. th

Bonus OB on Screen (from 6 edition): Paterson. The clip referenced in the book begins around the 3:01 mark, continuing until about the 10:46 mark. The clip depicts Paterson as he starts and finishes his work day. Focus the discussion on how most students would view the job of an urban bus driver from a satisfaction perspective. How, though, does Paterson seem to view it? What is unique in what he seems to want out of life and—as a result—what he wants out of his job?

Bonus OB on Screen (from 5th edition): Her. The clip referenced in the book begins around the 12:20 mark, continuing until about the 17:45 mark. The clip depicts Theodore writing a letter to a couple as part of his job at Beautiful Handwritten Letters.com, as he interacts with his new OS, named Samantha. Focus the discussion on how Theodore‘s job might impact his life satisfaction, both positively and negatively. How, also, might having an OS like Samantha impact life satisfaction for someone who has no family (and few friends). Other topics might include how Theodore‘s job would be viewed from a job characteristics theory perspective, as it might hold high levels of variety, identity, and significance.

Bonus OB on Screen (from 4th edition): Burn. The clip referenced in the book begins around the 5:41 mark of the film, continuing until about the 13:10 mark. The clip includes interviews with a number of Detroit firefighters as they talk about what they do (and why they do it). They reference a number of values that their work supplies for them, including altruism, status, coworkers, and the work itself. They get to help others, make a difference, do their work their own way, bond with one another, and be something special. Ask the students why they believe that firefighters are drawn to the work, often across generations. What do students find appealing, even when compared to the occupations the students are pursuing. Then ask them what values the job of a firefighter would not supply to them. Often those answers are a safe and comfortable environment and high and secure salaries.

Bonus OB on Screen (from 2nd and 3rd edition): Michael Clayton.

The clip referenced in the book begins around the 8:29 mark of the film, continuing until about the 15:51 mark. The clip depicts Michael Clayton dealing with a client of his law firm—a client who has fled the scene of a hit and run at a rural road. Ask the students why Michael seems so dissatisfied with his job—what is he missing? From the perspective of the value-percept theory, what values are not being fulfilled? From the perspective of job characteristics theory, what core job characteristics are missing? In addition, ask the students what emotions are being triggered by the conversation with the client, both in the kitchen and on the drive back home.

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Bonus OB on Screen (from 1st edition): The Island. Chapter 1 of the DVD (beginning at 0:00 and ending at 10:34 for a total running time of 10 minutes, 34 seconds) depicts the beginning of a typical day for Lincoln Six Echo—a typically boring and monotonous day. As the scene begins, ask students to keep track of the various moods in Figure 4-6 and the various emotions in Table 4-2. Which of them are illustrated in the clip? Which moods do the authorities at the facility most explicitly try to encourage and discourage? Which emotions are triggered by the daily ―Island‖ announcement, on the part of both the winners and the losers?

OB Assessments: Core Job Characteristics. This assessment measures the extent to which a student‘s job contains core job characteristics. If you have students who are not working, tell them to think of being a student as their job, and to answer the questionnaire accordingly. Use a show of hands to see how many students fell above and below the average level, and see if students will volunteer any extremely high or low scores. Ask students with particularly high scores what explains their levels, and do the same for students with particularly low scores.

Please see the two PowerPoint slides in Chapter 4 for Bonus Assessments, one on Growth Need Strength and the other on Emotional Labor.

Please see the Connect assignments for this chapter for assessments on Positive Emotionality and Flow.

Please email me at colq@uga.edu if you have any questions about using these assessments in your teaching.

3. There is a relationship between core job characteristics and job satisfaction. a. Each of the five core job characteristics is related to job satisfaction – either moderately or strongly. b. The relationship between core job characteristics and job satisfaction is moderated by knowledge and skill and growth need strength – the relationship is stronger when these variables are present. c. Job enrichment occurs when the duties associated with a job are expanded to create higher levels of the core job characteristics. d. Employees engage in job crafting when they shape or mold their jobs to make them more enriching.

Connect Exercise: iSeeIt! Animated Video: Job Characteristics Model.

This exercise helps students better understand the job characteristics model.

Multiple choice questions ask students to apply parts of the job characteristics model to different types of jobs.

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IX. Learning Goals 4.4

Which job characteristics can create a sense of satisfaction with the work itself?

X. Topic: Job characteristics model

XI. Difficulty Level: 2 = Medium Blooms: Understand AACSB: Knowledge Application

Follow-Up Activity: Students in groups can identify jobs that exemplify the highest levels of each job characteristics model facet. For example, an inventor may have very high autonomy. Ask if any of these jobs are also extremely low on any of the facets and what effect that has, if any, on overall job satisfaction.

Connect Exercise: Job Characteristics and Agile Work Environments Click and Drag*. This exercise helps students understand the parts of the job characteristics model. Agile work principles allow employees to have more autonomy and responsibility, and agile workspaces provide more collaboration and movement. Students click and drag descriptions of agile work environments to match the five job characteristics. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 4.3 4.4

What specific facets do employees consider when evaluating their job satisfaction?

Which job characteristics can create a sense of satisfaction with the work itself?

Topic: Job characteristics model; Job satisfaction Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking

Follow-Up Activity: Put students in small discussion groups and let them come up with their own best experiences of the job characteristics model facets. Students should make a list of each job facet – task variety, task identity, task significance, autonomy, and feedback – and from their own experiences, write down a job that was a good example of each and why. Ask if autonomy and feedback weighed more heavily on students‘ job satisfaction than the other facets. (If students do not have job experience, they can report on others‘ jobs, volunteer positions, sports team experiences, or they can jointly create a fictional job.)

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Connect Exercise: Wegmans Food Market Case Analysis. This exercise helps students understand how a successful organization maintains high employee job satisfaction. Students read a case about Wegmans Food Market and answer multiple choice questions about value-percept theory and the job characteristics model.

Learning Goals 4.1 4.2 4.3 4.4

What is job satisfaction?

What are values, and how do they affect job satisfaction?

What specific facets do employees consider when evaluating their job satisfaction?

Which job characteristics can create a sense of satisfaction with the work itself?

Topic: Autonomy; Job characteristics model; Job satisfaction; Values Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application

Follow-Up Activity: This case analysis allows for a discussion of how autonomy can be used to enrich jobs like those at Wegmans. Ask students to create a process flow chart (or decision tree), with an if-then structure, for a lower-level customer service employee at a typical retail chain. Students should start on the left side of a piece of paper and draw a box, labeled, ―Customer asks to return an item.‖ Next, extend with arrows to if-then statements. For example, the first question may be, ―Does the customer have a receipt?‖ The fork would lead to two answers, ―yes‖ or ―no.‖ On the ―yes‖ fork, there may be a next question of whether the item is broken and continues until a point where a manager is needed. Do some companies stop autonomy too early, and what impact does this have on the employee? How much planning and training is worth it to allow autonomy?

Connect Exercise: Manager’s Hot Seat: Cyberloafing. This video shows a manager‘s discussion with an employee who has been cyberloafing.

Cyberloafing is just a symptom of the real problem, though, which is the employee‘s satisfaction with his work. Students answer questions that link the employee‘s behavior to the job characteristics model, citizenship behavior, and job enrichment.

Learning Goals 4.3 4.4 4.5 4.7

What specific facets do employees consider when evaluating their job satisfaction?

Which job characteristics can create a sense of satisfaction with the work itself?

How is job satisfaction affected by day-to-day events?

How does job satisfaction affect job performance and organizational commitment?

How does it affect life satisfaction?

Topic: Job satisfaction Difficulty Level: 2 = Medium

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Blooms: Apply AACSB: Knowledge Application

Follow-Up Activity: In the video, the employee who is counseled about cyberloafing is often belligerent and directing the discussion. Ask students how the manager could have better structured and controlled the discussion to diagnose the problem based on the job characteristics theory.

Connect Exercise: Manager’s Hot Seat—Virtual Workplace. This video helps students better understand the job characteristics model with the case of a telecommuting employee. Although she has a great deal of autonomy, she is dissatisfied with the meaningfulness of her work, stating she doesn‘t get important case assignments since she started working from home. The manager ends by talking to the camera about how he can make telecommuting successful.

Learning Goals 4.3 4.4

What specific facets do employees consider when evaluating their job satisfaction?

Which job characteristics can create a sense of satisfaction with the work itself?

Topic: Job satisfaction Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application

Follow-Up Activity: Ask students how the manager can ensure that telecommuting employees feel that they are fairly treated with their work assignments. How can a manager balance the employees‘ autonomy with adequate feedback and awareness that they are still part of a team? Although autonomy has a large impact on job satisfaction, it appears to not compensate for the other job characteristics facets that are missing.

A. Mood and Emotions 1. Job satisfaction levels fluctuate over time, with the fluctuations caused primarily by mood and emotions. a. Moods – states of feeling that are mild in intensity, last for an extended period of time, and are not explicitly directed at or caused by anything i.

Moods are categorized in two ways. a. Pleasantness –Is the mood good or bad? b. Activation – To what extent does the mood cause you to feel activated and aroused?

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ii. Some organizations offer perks that are designed to improve an employee‘s mood, such as an onsite gym or even strolling musicians. iii. When individuals are highly skilled and work in challenging jobs, a positive mood state called ―flow‖ results. Flow creates a total immersion in the task at hand, with individuals sometimes losing track of the time that‘s passed. b. Emotions – states of feeling that are often intense, last for only a few minutes, and are clearly directed at (and caused by) someone or some circumstance i.

Emotions are often triggered by specific events, as described by ―affective events theory.‖ ii. Positive emotions include things like joy, pride, relief, etc. iii. Negative emotions include things like anger, anxiety, fear, etc. iv. Some jobs require ―emotional labor‖ in which employees must manage their emotions to complete their job duties successfully. a. ―Emotional contagion‖ can occur when one person ―catches‖ the emotions of another person. This phenomenon can explain why customers are less likely to purchase from a dissatisfied salesperson, for example.

Try This! Ask students in the class if any of them work in retail or other customer service types of settings. Ask those students to explain the kinds of emotions they often feel during the work day, and the kinds of emotions they need to project to customers. Do they struggle with issues of emotional labor or emotional contagion? If some students are more easily able to cope with such work contexts, why might that be? You could draw a bridge to Chapter 10 on Ability here, where emotional intelligence is discussed.

Connect Exercise: Manager’s Hot Seat: Bullying. This video shows the unusual situation of an employee bullying her manager. The employee exhibits a general negative mood. During the meeting, she is unwilling to cooperate and brings up her higher-ranking brother who works at the company. Emotional contagion is clear as the manager increasingly becomes agitated, and this job may, in general, have high emotional labor based on her noting the number of times she has conducted this type of interview with the employee.

Learning Goals: 4.2 4.5 4.6

What are values, and how do they affect job satisfaction?

How is job satisfaction affected by day-to-day events?

What are mood and emotions, and what specific forms do they take?

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Topic: Job satisfaction Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application

Follow-Up Activity: The manager may never be able to alter the employee‘s mood, but she may be able to revive herself from the emotional contagion of this meeting and even the emotional labor of her job. Ask students how the manager could ‗shake off‘ the negative emotions and resume her day positively? In general, how could the manager handle employee situations like this in the future to lower her general negative emotional labor?

Connect Exercise: Bring Your Dog to Work Case Analysis. This exercise helps students understand how moods and emotions can affect employees on the job. Students read a case about companies that allow dogs in the workplace and how this can improve employee moods and emotions.

Learning Goals: 4.1 4.5 4.6

What is job satisfaction?

How is job satisfaction affected by day-to-day events?

What are mood and emotions, and what specific forms do they take?

Topic: Emotional contagion; Emotional labor; Emotions; Job satisfaction Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application

Follow-Up Activity: Ask students to brainstorm ideas for a ‗mood portal‘ that would work for any job type. Students give ideas for how employees can move from unpleasant to pleasant moods during the workday, whatever the cause. The ‗portal‘ is a clever way to suggest what actions that an employee could take. You may hear suggestions like meditating, walking, getting a coffee, venting, etc. Students may correctly say that the method for improving moods would depend on the organization‘s climate and industry.

Connect Exercise: Positive Emotionality Self-Assessment. Positive emotionality is the extent to which you generally experience positive emotions. This self-assessment gives students feedback as having either generally high or generally low positive emotionality. Those with low positive emotionality are less likely to evaluate their jobs positively. Those with high positive emotionality are more likely to evaluate their jobs positively.

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4.6

What are mood and emotions, and what specific forms do they take?

Topic: Emotions Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking

Follow-Up Activity: Share with students that a score of low positive emotionality does not mean they tend toward negative emotions. Positive emotionality only reflects the tendency toward positive emotions. This is sometimes difficult for students to grasp, but important so that they don‘t see themselves as ‗positive‘ or ‗negative‘ people from this assessment. Also, the environment has a larger effect than genetics on positive emotionality. Ask students what that means in the workplace, prompting discussion of the importance of positive environments and examples from student experiences.

Connect Exercise: Flow Self-Assessment. Flow is a state in which employees feel total immersion in tasks to the point that they sometimes lose track of time while working. This assessment is specifically focused on a student‘s flow in classwork tasks. Those with low flow may not feel challenged or have the needed skills for classwork, so will lack focus and motivation.

Those with high flow will feel challenged, focused, and immersed in classwork.

Learning Goals: 4.6

What are mood and emotions, and what specific forms do they take?

Topic: Emotions Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking

Follow-Up Activity: Flow is a state, not a trait. That means that students can play an active role in improving flow in their classwork. Students are likely to realize the importance of making sure they have the right skills for a class.

Turn the tables on this discussion and ask students what advice they would give professors for improving flow in their students.

E. Summary: Why Are Some Employees More Satisfied Than Others?

XII.

HOW IMPORTANT IS JOB SATISFACTION?

A. Research Results

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1. Job satisfaction has a moderate positive effect on job performance. People who experience higher levels of job satisfaction tend to have higher levels of task performance and citizenship behavior, and lower levels of counterproductive behavior.

2. Job satisfaction has a strong positive effect on organizational commitment.

People who experience higher levels of job satisfaction tend to feel higher levels of affective and normative commitment, but not necessarily of continuance commitment.

B. Life Satisfaction 1. Job satisfaction is strongly related to life satisfaction, or the degree to which employees feel a sense of happiness with their lives.

2. Increases in job satisfaction have a stronger impact on life satisfaction than do increases in salary or income.

OB Internationally. This feature shows that money is not necessarily related to happiness, even on a national level. Although countries above the poverty line are generally happier than countries below the poverty line, for countries with an average income of $20,000 or more, additional income is not related to additional satisfaction. Ask students to hypothesize about why this might be so.

XIII.

APPLICATION: TRACKING SATISFACTION

A. Attitude surveys tend to be the most accurate and effective way for organizations to track satisfaction levels.

B. Although many organizations design their own surveys, there are also benefits to using an existing survey such as the Job Descriptive Index (JDI), which measures satisfaction in the following five facets: 1. Pay satisfaction 2. Promotion satisfaction 3. Supervisor satisfaction 4. Coworker satisfaction 5. Satisfaction with the work itself C. Recommendations for Job Descriptive Index (JDI) Administration 1. Survey as much of the company as possible.

2. Keep the survey responses anonymous – be careful about collecting demographic information.

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3. Use JDI results for comparisons – with ―neutral levels,‖ with national norms, and within the organization itself.

4. Feed back the results to employees, so that they can be involved in an improvement process.

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DISCUSSION QUESTIONS 4.1

Which of the values in Table 4-1 do you think are the most important to employees in general? Are there times when the values in the last three categories (altruism, status, and environment) become more important than the values in the first five categories (pay, promotions, supervision, coworkers, the work itself)?

In general, employees value the work itself over all of the other values in Table 4.1. However, altruism, status, and environment may become more important depending on individual needs and characteristics. For example, an insecure employee may value a comfortable and safe working environment above all of the other categories on the table.

4.2

What steps can organizations take to improve promotion satisfaction, supervision satisfaction, and coworker satisfaction?

Organizations can offer fair and well-publicized promotion policies, provide supervisors with training to be sure that they are dealing with employees effectively, and offer opportunities for coworkers to socialize to improve promotion satisfaction, supervision satisfaction, and coworker satisfaction.

4.3

Consider the five core job characteristics (variety, identity, significance, autonomy, and feedback).

Do you think that any one of those characteristics is more important than the other four? Is it possible to have too much of some job characteristics?

Autonomy and significance are probably the two most important job characteristics. It is possible to have too much of a job characteristic – consider variety, for example. There are times when employees would like to be able to get into a routine and become experts at their job duties, and excessive variety could prevent that.

4.4

We sometimes describe colleagues or friends as ―moody.‖ What do you think it means to be ―moody‖ from the perspective of Figure 4-6?

The ―moody‖ term probably suggests two things in terms of Figure 4-6. First it probably suggests frequent displays of intense negative emotions (hostile, nervous, annoyed). However, it also suggests an inconsistency in mood, with the person swinging between those negative emotions and more pleasant sorts of feelings (enthusiastic, happy, serene).

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4.5

Consider the list of positive and negative emotions in Table 4-2. Which of these emotions are most frequently experienced at work? What causes them?

The positive emotions most likely to be experienced at work are pride, relief, and hope—these are generally connected to work outcomes or organizational issues. The negative emotions are anger or envy (typically against a boss or coworker), anxiety or guilt (typically linked to not doing work that was assigned), and shame or sadness (typically linked to relations with others in the organization).

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CASE: ACTIVISION BLIZZARD Questions: 4.1

If you think about the components of value-percept theory and job characteristics theory, where does “the product” fit in? How can the high satisfaction of Activision Blizzard employees be explained by those theories?

For value-percept theory, the product probably fits into satisfaction with the work itself, along with the more infrequently studied facet of status. For the former, a successful product likely instills a sense of achievement and creative expression. For the latter, a successful product brings a sense of prestige. For job characteristics theory, a product that impacts the lives of many consumers likely instills a sense of significance.

4.2

Does it make sense to think of satisfaction as an aspect of industries, rather than jobs? Activision Blizzard employees a number of different employees in a number of different roles. Is there a reason to suspect, say, a quality assurance person at Activision Blizzard to be more satisfied than a quality assurance person in a typical manufacturing job?

Most of job satisfaction should indeed be a function of ―jobs.‖ But, as noted above, the product does impact job satisfaction to some degree. If the product can indeed shape perceptions like achievement, prestige, or significance, then satisfaction is about more than jobs. Likewise, associations with desirable or high status industries should have their own effects.

4.3

What role do hours worked play in job satisfaction? Do gaming companies have an obligation to help employees manage their hours, even when they are “in the zone” in their coding or even when product launch deadlines are looming?

One of the more infrequently studied facets of job satisfaction is the work environment, which includes comfort and safety. Hours certainly falls under such headings. Of course, hours also impacts a number of the concepts in Chapter 5 on Stress.

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BONUS CASE: PUBLIX (from 6th edition)

Can you guess the two best supermarkets in the United States, in terms of customer service ratings provided by the American Customer Satisfaction Index? One is Trader Joe‘s, the Monrovia, California-based chain. But who‘s the other? The answer is Publix—founded in 1930 by George Jenkins in Winter Garden, Florida. How does Publix provide such good customer service? One way is by having happy employees. Jenkins had two goals in founding the company: (1) to create the world‘s best shopping experience, and (2) to create the world‘s best workplace. Notes one store manager, ―The reason Publix is such a great place to work is that nothing has changed in 86 years.‖ Other employees obviously agree, as the company‘s been named one of Fortune‘s 100 Best Companies to Work For every year since its inception.

What exactly makes Publix such a great place to work? For one, the company promotes from within. There‘s a formal process for part-timers to go to full-time and for full-timers to pursue a long-term career. Indeed, virtually all of Publix‘s management team started out in entry-level positions. Of the 60,000 openings at the chain last year, over 26,000 were filled internally. And 30% of the rest were filled using employee referrals. Says incoming CEO Todd Jones, ―You can do whatever you want in this company, including becoming CEO.‖ Jones should know, given that he started out bagging groceries at Publix 36 years ago.

The company also pays well, with above-market starting salaries. Employees are eligible for raises after their first six months and can gain stock in the company six months later. Managers provide new hires with generous amounts of feedback, including 30-day, 60-day, and 90-day ―check-in meetings.‖ The company also offers a tuition reimbursement program to employees who work at least 10 hours per week, paying up to $12,800 per employee. All these reasons explain why so many employees ―bleed green‖—a term used to capture the extreme satisfaction and loyalty felt by the rank and file. It‘s that satisfaction that employees are asked to channel into better customer service. In fact, new hires are asked to memorize a slogan coined by the founder: ―Make every customer‘s day a little bit better because they met you.‖ George Jenkins started Publix‘s employee stock ownership plan in 1974. Employees who work more than 1000 hours and have one year of tenure are granted shares that have an initial value around 10% of annual compensation. Employees then receive additional grants each year for as long as they stay, while having the option to purchase additional stock with an automatic deduction from their paychecks. Since 1974, Publix‘s stock has delivered an average annual return of almost 17%. To get a sense of what that means during a career, a veteran store manager with 20,000 shares would have over $900,000 in stock.

Publix‘s stock ownership plan has helped it become the largest employee-owned company in the world (it sits at 101 in the Fortune 500). That level of ownership is one reason that employees are termed ―associates‖—to signify that they are co-owners of the firm. Even the company‘s promotion-from-within policy is referred to as ―succession planning,‖ a term typically only used with top executives. Notes one manager, that 2-69 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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jargon is used to show that ―no associate is better or more important than the others.‖ The ownership structure also gives the company a bit more freedom to chart its own course. ―I‘m amazed that more companies don‘t offer ownership in the company in order to get better performance,‖ argues Publix‘s outgoing CEO, Ed Crenshaw. ―Being a privately held company gives us the freedom to take a longer view of the business, and it makes a huge difference in how you can allocate and spend capital. We‘re very fortunate to be able to do that.‖ Scientific studies of stock ownership suggest that employees feel higher satisfaction levels because of the mindset that comes with owning. There certainly seems to be some evidence of that at Publix. Its annual voluntary turnover rate sits at just 5% in an industry that averages 65%! In part, that loyalty can be seen as repaying a company that has never downsized in its 90-year history. All of this has created admirers outside the company, not just inside it. As billionaire investor Warren Buffett summarizes, ―It‘s the kind of company I‘d like to buy. It has a terrific record in a very, very, very tough industry. There‘s a certain amount of magic down there in terms of running the place.‖ Sources: C. Tkaczyk, ―My Five Days of ‗Bleeding Green‘,‖ Fortune, March 15, 2016; A.A. Buchko, ―The Effects of Employee Ownership on Employee Attitudes: An Integrated Causal Model and Path Analysis.‖ Journal of Management Studies, 30, 633-657.

Questions: 4.1

If you reflect on all the things Publix does to build and maintain satisfaction levels, which would ―move the needle‖ for you the most? Why? Answers to this question will vary. Promotion-from-within will probably be the most salient to students, as that’s a benefit that is immediately meaningful to them. Things like employee stock ownership would become more appealing later in life.

4.2

If you had the opportunity to allocate a portion of your paycheck to stock ownership in your company, would you? Why or why not? How do you think owning stock would shape your attitudes toward your employer?

This question will depend to some extent on attitudes toward the stock market, which were influenced by the Great Recession. For the most part, though, stock market returns outpace what would be seen in traditional savings accounts. And that should tend to be the case with a well-run company, like Publix (though it does exist in an industry with several challenges). Regardless, owning stock should create a psychological mindset of ownership, which should deepen the bond between employee and employer.

4.3

Businesses like Publix employ a lot of part-time employees, and employees who are just getting started in their work careers. Do you think it‘s easier to build job satisfaction levels among such employees, or harder?

It is likely harder to instill a deep level of satisfaction in part-time employees, just because they think about the employment connection less and are less invested in it. That said, they may also have lower expectations for what to derive from the relationship, so may be easier to please in some respects.

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EXERCISE: JOB SATISFACTION ACROSS JOBS Instructions: Put students into groups and make sure they each have a copy of the OB Assessment: Core Job Characteristics for this chapter. Instruct them to come to consensus on each of the questions on the OB Assessment in reference to these four jobs (third-grade public school teacher, standup comedian, computer programmer, and president of the United States).

Typical Scores: The Satisfaction Potential Scores for a standup comedian and a lobster fisherman will typically be highest, possibly even in the upper 100s or even the lower 200s. This is because those jobs have high levels of autonomy and feedback, and will receive more weight in the formula used in the OB Assessment (because they get multiplied). The president‘s score will usually come next, in the 50-100 range. That score is lower because the ―checks and balances‖ created by Congress and the Supreme Court limit the president‘s autonomy. In addition, feedback may be lacking because it‘s often not known for a period of several years whether a given decision was ―right.‖ The computer programmer will usually be lowest, struggling on all five job characteristics. Have a representative of each group share their scores with the class.

Questions: The Satisfaction Potential Score is indeed meant to capture the job that is most enjoyable day-in and dayout. That does mean that being a lobster fisherman or a stand-up comic may usually be more enjoyable than being the president (a job that brings with it a great deal of responsibility and frustration). However, students would probably not pick being a lobster fisherman or stand-up comic if they could snap their fingers and magically attain one of the jobs covered in the exercise. That‘s because there‘s more involved in picking a job than what‘s enjoyable. Being president would allow students to fulfill many other values, beyond just having satisfactory work tasks, making value-percept theory relevant to this issue. From Table 4-1, those values might include good pay, a sense of status, and the ability to engage in altruistic work.

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OMITTED TOPICS The field of organizational behavior is extremely broad and different textbooks focus on different aspects of the field. A brief outline of topics that are not covered in this text, but which the professor might want to include in his or her lecture, is included below. In cases where these topics are covered in other chapters in the book, we note those chapters. In cases where they are omitted entirely, we provide some references for further reading.

Attitudes – Job satisfaction is part of a larger family of work-related attitudes. Attitudes have an associated attitude object, which may be the organization, the job, a coworker, or the leader. They also have an evaluative component (what is felt toward the object), a cognitive component (what is thought about the object), and a behavioral component (a predisposition to act a particular way towards the object). For more on this, see: McGuire, W. J. ―Attitudes and Attitude Change.‖ In Handbook of Social Psychology, Vol. 2, eds. G. Lindzey and E. Aronson. New York: Random House, 1985, pp. 233–346.

Job Involvement – Represents another commonly discussed job attitude, reflecting the degree to which one is cognitively engaged in and concerned about one‘s present job. Job involvement can be viewed as a blend of job satisfaction and motivation (motivation concepts are covered in Chapter 6). For more on this, see: Lodahl, T. M.; and M. Kejner. ―The Definition and Measurement of Job Involvement.‖ Journal of Applied Psychology 49 (1965), pp. 24–33.

Dispositional Influences – Studies of identical twins raised apart have revealed that job satisfaction has a significant genetic component. Specifically, personality and dispositional variables like neuroticism and negative affectivity make some individuals dissatisfied by nature. Such effects are covered in our discussion of personality in Chapter 9.

Herzberg‘s Two-Factor Theory – This widely known (but scientifically unsupported) theory describes satisfaction and dissatisfaction as two separate concepts. Satisfaction is said to be driven by ―motivators‖ such as promotion opportunities, recognition, and growth opportunities. Dissatisfaction is said to be driven by ―hygiene factors‖ such as pay and the quality of supervision. The hygiene factor classification significantly underestimates the importance of pay and supervision, which are important factors in job satisfaction and motivation. For more on this, see: Herzberg, F. Work and the Nature of Man. Cleveland, OH: World, 1966.

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Emotional Intelligence – Includes a set of competencies that allow some individuals to accurately identify and express emotions. Individuals who are high on emotional intelligence may be more able to succeed in jobs that are high in emotional labor requirements. The competencies that underlie emotional intelligence are covered in our discussion of ability in Chapter 10.

Chapter 5: Stress

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NOTE FROM THE AUTHOR My name is Jason Colquitt, and I‘m the lead author on the Colquitt-LePine-Wesson textbook, Organizational Behavior. I‘m also the author of this Instructor‘s Manual and I want to encourage adopters to reach out to me if I can help in any way with the book.

I‘m happy to point you to video clips that complement our OB on Screen feature or to share the details of a research project on performance and commitment that I do with 2-74 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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my students. I also created PowerPoints for earlier editions of the textbook that have extensive photos and vivid colors, along with narration notes from my own teaching. I‘m happy to share those PowerPoints with you, as the current PowerPoints are limited by new restrictions on photos and colors. I also have those files in Keynote form if you are a Mac user. In sum, I enjoy corresponding with adopters very much, so please do not hesitate to reach out to me. My email address is jason.colquitt@gmail.com.

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CHAPTER OVERVIEW Stress is a psychological response to demands that tax or exceed an individual‘s capacity or resources. This chapter describes the difference between challenge and hindrance stressors, and provides suggestions on how to cope with these stressors. In addition, individual differences with regard to stress are discussed, along with the experience of strain. Finally, organizational efforts to manage stress are overviewed.

LEARNING GOALS After reading this chapter, you should be able to answer the following questions: 5.1 5.2 5.3 5.4 5.5 5.6

What is stress, and how is it related than stressors and strains?

What are the four main types of work stressors?

How do individual people cope with stress?

How does the Type A Behavior Pattern influence the stress process?

How does stress affect job performance and organizational commitment?

What steps can organizations take to manage employee stress?

CONNECT EXERCISES The Transactional Theory of Stress Generational Stressors The Challenge of Work-Life Balance Hindrance Stressors Coping Strategies Vermont Remote Worker Grants Strain iSeeIt! Animated Video: Stress Capital One

Click and Drag* Click and Drag* Video Case Self-Assessment Click and Drag* Case Analysis Self-Assessment Video Case Case Analysis

*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

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CHAPTER OUTLINE I. STRESS D. Definitions 1. Stress is defined as a psychological response to demands for which there is something at stake and coping with those demands taxes or exceeds a person‘s capacity or resources.

2. Stressors are the particular demands that cause people to experience stress.

3. Strains are negative consequences that occur when demands tax or exceed one‘s capacity or resources.

Try This! For students who have not yet read the chapter and have not yet seen Table 5-1, Jobs Rated from Least Stressful (1) to Most Stressful (200), ask them to guess what some of the least stressful jobs are, and what some of the most stressful jobs are. Write them in two different columns on the board. Then, as you go through the list of challenge and hindrance stressors later in the lecture, keep coming back to your list on the board. Do the least stressful jobs really have lower levels of challenge and hindrance stressors?

Which stressors are lowest? Do the most stressful jobs really have higher levels of challenge and hindrance stressors? Which stressors are most salient?

XIV.

WHY ARE SOME EMPLOYEES MORE ―STRESSED‖ THAN OTHERS?

A. Perception and Appraisal of Stress 1. The transactional theory of stress describes how stressors are appraised.

When people first encounter stressors, primary appraisal, or the evaluation of the significance and meaning of those stressors, is triggered. a. Job demands that are not considered stressful are called benign job demands.

Connect Exercise: The Transactional Theory of Stress Click and Drag*.

Emma‘s job recently changed so that she now has two bosses instead of one.

The student is asked to analyze the situation and match each of the facts Emma provides to the stages in the transactional theory of stress. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 5.3 How do individuals cope with stress?

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Topic: Stress; Transactional theory of stress Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Researchers have found that two people in a close relationship can go through the stages of the transactional theory of stress together. They will pick up on each other‘s stress and jointly progress through the stages. Ask students how we can identify when others may be going through these stages? The stress and strain steps are easy to answer, but to see someone in the appraisal stages is more difficult. This brings up identification of nonverbal and other subtle cues that rely on good listening and observation, and could be facilitated by asking questions and being patient.

B. Types of Stressors 1. Work Hindrance Stressors – work-related stressors that people perceive as hindering their progress toward goals a. Role conflict – conflicting expectations that other people have of us Try This! Ask students to think about their current job, or the job they will pursue as their career after graduation. Have them describe the role conflict inherent in that job. At a minimum, most jobs will have a built-in conflict between quality and quantity that the students can identify.

However, sometimes there will be more unique examples, such as strictly adhering to rule following versus providing customers with a uniquely pleasing customer service experience. b. Role ambiguity – lack of information regarding what needs to be done in a role c. Role overload – when the number of roles a person holds is so high that some of the roles are performed less effectively, or not at all d. Daily hassles – relatively minor day-to-day demands that get in the way of accomplishing what we want to do 2. Work Challenge Stressors – work-related stressors that can lead toward development and growth

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a. Time pressure – the sense that you don‘t have enough time to do what needs to be done b. Work complexity – the degree to which the requirements of the work tax or exceed the capabilities of the person doing the work c. Work responsibility – the nature of the obligations a person has to others 3. Nonwork Hindrance Stressors – nonwork-related stressors that hinder progress toward goals a. Work-family conflict – when the demands of the family role hinder the demands of the work role and vice-versa b. Negative life events – specific life events, such as the death of a spouse, that are perceived as stressful c. Financial uncertainty – a general uncertainty about loss of livelihood, savings, or the ability to pay expenses 4. Nonwork Challenge Stressors – nonwork-related stressors that are opportunities for growth and development a. Family time demands – the time a person commits to participate in an array of family activities and responsibilities b. Personal development – participation in activities associated with personal development, such as music lessons or sports activities c. Positive life events – specific life events such as pregnancy or the birth of a child, which, although positive, can still be perceived as stressful Try This! Together with your students, create a ―university life event scale‖ for your university, along the lines of Table 5-2, Stressful Life Events. List events on the board, guessing at a stress score for each one.

For example, a negative event might be getting a bad grade on an exam, or breaking up with a significant other. A positive event might be winning an important sporting event or planning for graduation. The specific numbers will be guesses of course, but the interesting part will be to make sure the numbers make comparative, relative sense (e.g., that the number associated with the exam make sense relative to the number associated with the breakup. You may also want to use Table 5-2 as a guide for the numbers, meaning that most events listed will be in the thirties or below.

Connect Exercise: Generational Stressors Click and Drag*. This activity shows how stressors vary for the different generations represented in the workplace (Baby Boomers, Generation X, Generation Y, and Millennials).

Students are asked to match facts about generations at work to a type of stressor (work hindrance, nonwork hindrance, work challenge, nonwork challenge).

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*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 5.1 What is stress, and how is it different than stressors and strains?

5.2 What are the four main types of stressors?

Topic: Challenge stressors; Stress; Work-family conflict Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: This exercise gives students the opportunity to consider how it may be difficult to work in a multi-generational work environment. Ask students to brainstorm a list of stressors that fit the four categories of work/nonwork and hindrance/challenge. Then, ask them to identify some (3-5, depending on the time devoted to the activity) that have the most varied impacts on employees of different generational groups in the same workplace. For example, Millennials may see odd work hours as nonwork hindrance stressors, while Baby Boomers might see them as work challenge stressors. How might a manager address such varied effects of stressors?

C. How Do People Cope with Stressors?

1. Coping refers to behaviors and thoughts that help people manage stressful situations a. Behavioral coping – the set of physical activities that are used to deal with a stressful situation b. Cognitive coping – the thoughts that are involved in trying to deal with a stressful situation c. Problem-focused coping – refers to behaviors and cognitions intended to manage the stressful situation itself d. Emotion-focused coping – refers to the various ways in which people manage their own emotional reactions to stressful demands OB Internationally. This text box discusses the impact of stress on people with expatriate assignments. The main point of the insert box is that many expatriates fail in their assignments because they fail to effectively cope with the associated stress. One additional point to make is that it is not only the expatriate who faces the stress of being overseas, but also his or her family, and this may have a spiraling effect. Focus discussion on this scenario: imagine that you are the trailing spouse of an 2-80 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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expatriate manager. What stresses might you encounter when your spouse is moved to another country? How might this stress, in turn, impact your spouse?

Connect Exercise: Hindrance Stressors Self-Assessment. This selfassessment indicates whether students consider their classes a hindrance stressor. Feedback from the assessment classifies them as seeing their classes as low hindrance stressors or high hindrance stressors.

Learning Goals 5.1 What is stress, and how is it related to stressors and strain?

5.3 How do individuals cope with stress?

Topic: Challenge stressors; Stress Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Debriefing this activity gives you the opportunity to discuss how students can minimize stressors and strains in classes. Get Students can be proactive to lessen the stressors or, for those stressors they can‘t control, use coping skills. Use the same topics from the self-assessment questions about classes: lack of clear expectations, understanding what is due, lack of time to get work done, conflicts with personal life, and spending too much time on ―busy work.‖ Connect Exercise: Coping Strategies Click and Drag*. Students classify 8 statements about Emma‘s actions to match the four categories of coping strategies – problem-focused behavioral, problem-focused cognitive, emotionfocused behavioral, and emotion-focused cognitive. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 5.3 How do individuals cope with stress?

Topic: Behavioral coping; Emotion-focused coping; Stress Difficulty Level: 3 = Hard Blooms: Analyze

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AACSB: Analytical Thinking Follow-Up Activity: As a take-home assignment, ask students to find real examples of company coping strategies for each category. These can be found easily by searching for ―companies with health and wellness programs.‖ Students will find various awards or articles, but the more difficult part of the assignment is to classify them into the four methods for coping.

OB on Screen: First Man. The clip begins around the 13:37 mark of the film, continuing until about the 15:41 mark. You can begin by providing a bit of background. In 1961 Neil Armstrong was a test pilot. There was an incident (depicted in the opening scene of the movie) where Armstrong‘s X-15 rocket plane is nearly lost in a disaster. He was at the edge of the atmosphere, and rather than descending back to earth, the X-15 started to ascend into outer space. The situation was dire and deteriorated fast, but he remained calm despite the stress. He figured out what was happening, improvised, and ultimately landed safely in the Mohave Desert. Soon thereafter, his young Daughter Karen, who had brain cancer, passed away. The clip depicts how Armstrong copes with this tragedy. The day after his daughter‘s funeral, Armstrong tells his wife he‘s going to work. His co-workers are obviously surprised that he‘s at the office instead of home with his wife and two boys.

Armstrong‘s boss senses that his reaction to his daughter‘s passing isn‘t normal, and tells him he cannot fly. The scene ends with Armstrong noticing an NASA advertisement for Project Gemini astronauts (the next scene in the movie shows Armstrong interviewing for the job). You can begin the discussion by asking why Armstrong‘s co-workers were surprised that he showed up for work and why his boss grounded him. Students will likely respond by noting that the death of a child is perhaps the most stressful life event there is. It‘s only natural to experience intense strain that would make it difficult to function in one‘s job, especially in a job where full mental and physical capacity is needed, and where failure to perform effectively could lead to disaster. You can then ask about what form of coping Armstrong is using and how effective it is. Students should note Armstrong is coping with the stress by regulating his emotions using both cognitive (distancing himself from his family and reminders of his daughter) and behavioral methods (going to work and interviewing for a job as an NASA astronaut). Students may note that this type of coping may not be effective, but they may have trouble explaining why beyond noting that deep feelings of sadness many never get resolved unless the person experiencing the stress talks about it. Other students might also note that because nothing can be done about the source of the stress, there is not much else to do other than regulating one‘s emotions. You can then move on to ask students how being able to regulate 2-82 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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emotions experienced from stressors may have served Armstrong quite well as a test pilot and astronaut. Students should realize that being able compartmentalize fear and anxiety and frustration may be critical in situations where one has to deal with an emergency situation calmly and rationally. In fact, this approach to regulating his emotions is foreshadowed in the previous scene in the movie. Obviously distraught over his daughter‘s death, he closes notebooks containing research on his daughter‘s cancer and puts them away along with her bracelet. Please email me at jason.colquitt@gmail.com if you have any questions about using OB on Screen in your teaching.

Bonus OB on Screen (from 6th edition): Deepwater Horizon. The clip referenced in the book begins around the 28:10 mark of the film, continuing until about the 33:53 mark. You can begin by providing a bit of background.

Deepwater Horizon was an oil rig located off the coast of Louisiana in the Gulf of Mexico. A Deepwater Horizon crew had just sealed off an exploratory well with a concrete cap so that the well could be exploited later by BP, who was leasing the rig and crew from another company called Transocean. There was a routine crew changeover, and the new crew expressed concerns regarding the previous crew‘s failure to complete some tests on the integrity of the concrete cap. The scene depicts a meeting between BP executives, led

by Donald Vidrine, and Deepwater Horizon personnel, led by Jimmy Harrell.

You can begin by asking students if they think Harrell‘s overall job is a stressful one, and if so, why. Students will likely point out that he‘s responsible for the lives of the crew members, there‘s pressure to meet performance goals, running an oil rig is very complex, the rig has a bunch of problems, and they‘re isolated and have to solve problems on their own. You can then ask students what specific stressors are evident in the meeting with Vidrine. Students will note that the meeting depicts conflict and politics.

Students who read the chapter might point out that Harrell is likely experiencing role conflict. On the one hand, he‘s responsible for the safety of the crew and the rig, and wants to err on the side of safety. On the other hand, Vidrine reminds him that BP is paying the bills, that the project is behind schedule, and he needs to do what he can to get the well ready for exploitation. You can then ask students about their own experiences with role conflict and why it‘s stressful and typically appraised as a hindrance rather than a challenge. Students will provide examples and say that these situations create uncertainty about what to do and puts them in a ―no-win‖ scenario. In most instances, there isn‘t a best solution and satisfying one party will upset the other, and this creates conflict. If no one mentions it, you can say that it can result in some poor decisions too. This is precisely what happened aboard the Deepwater Horizon. Vidrine appeared to really push his agenda on Deepwater Horizon crew, and as a result, they didn‘t scrutinize test results the way they should have, and the end result was a catastrophe.

The cap gave way, which not only destroyed the rig and killed crew members, but also created the largest marine oil spill in U.S. history.

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Bonus OB on Screen (from 5th edition): Gravity. The clip referenced in the book begins around the 8:40 mark of the film, continuing until about the 16:26 mark. The scene focuses on two astronauts who are on a spacewalk outside the Explorer shuttle. Commander Matt Kowalski, a veteran astronaut, is floating around in space and appears to be enjoying himself. Dr. Stone, a biomedical engineer on her first space mission, is obviously much less comfortable. She feels very queasy and is trying her best to hold it together while trying to repair and reinitiate a circuit board she designed for the Hubble telescope. The two get word from mission control that a Russian missile has struck a satellite, which created some space debris in the area. Dr. Stone appears to be nervous about the news, but Kowalski tells her to relax and to let mission control worry about it. Soon thereafter, mission control tells the crew to abort their mission. The missile caused a chain reaction and a large field of space debris is speeding towards them. The debris arrives and destroys the shuttle and Hubble telescope. Kowalski is hurled out into space.

If you stop at the 16:26 mark, students will see him floating away. The scene provides a very powerful example of extreme stress and various aspects of the stress process discussed in the chapter. One topic for class discussion relates to differences in the apparent stress of the two astronauts prior to the disaster. You can ask the class to explain why there may have been differences. To Kowalski, an experienced astronaut, the spacewalk is much more routine—a benign job demand that did not seem to tax him whatsoever.

Dr. Stone, however, is a rookie. She has to focus intensely on her work. She feels ill and disoriented and has difficulty holding onto her tools and parts from the circuit assembly. You can conclude this part of the discussion by noting that although stress originates from the demands in jobs, the degree to which stress occurs depends a great deal on employee attributes. You can then turn students‘ attention to the astronauts‘ stress during and after the disaster. You could begin by asking them to explain why the situation becomes more stressful. It seems like an obvious question, and students are likely to respond quickly by saying that the lives of the astronauts are in great danger.

Deeper responses will center on the situation; it‘s complex, uncertain, chaotic and dynamic. You can then tie these responses back to the material in the book by noting that there is a lot at stake for the astronauts, and that dealing with the situation will very much tax their resources. This is the definition of stress from the chapter. The conversation can then turn to how the demands of the situation are likely to be appraised. Some students might argue that the demands created by the disaster are appraised as hindrance stressors because they have thwarted progress on the crew‘s the mission. Other students will likely note that the disaster ended the mission and created a new one; staying alive. They may also note that because the new situation is filled with time pressure, complexity, and responsibility, and because accomplishing this new mission will be more satisfying than the alternative, the demands are more likely to be appraised as challenge stressors. Please

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email me at colq@uga.edu if you have any questions about using OB on Screen in your teaching.

Bonus OB on Screen (from 4th edition): Argo. The clip referenced in the book begins around the 50:00 mark of the film, continuing until about the 1:00:00 mark. The clip depicts many of the stressful demands that confront Tony Mendez as he tries to rescue the American hostages in Iran. The scene opens with Tony getting a visa to enter Iran. Then he makes his way through Iranian airport security. He has to seek approval from an Iranian official to make the movie Argo (his cover). He then meets the Canadian ambassador and explains the plan to rescue the hostages. The clip depicts many types of stressors. It’s evident that the plan is risky—it hasn’t been tried before. There are a lot of moving parts that have to come together. There’s great time pressure. It’s also clear that Tony is almost totally responsible for the plan and for the lives of the hostages. One topic for class discussion could center on the stressors Tony faces. You can list these and help students realize that they are a mix of hindrances and challenges. Another topic for class discussion could center on why someone would want to do a job like this.

Here students will likely point out that the level of challenge stressors is high.

Some students will likely say that they would never want to do it. You could use this type of comment to segue to a discussion of individual differences that might influence how stressors are interpreted and appraised. Note that some of these issues are covered later in the chapter.

Bonus OB on Screen (from 2nd and 3rd editions): The Devil Wears Prada. The clip referenced in the book begins around the 11:50 mark of the film, continuing until about the 18:00 mark. The clip depicts Andy Sachs on the first day of her new job as ―second assistant‖ to a fashion magazine editor. The scene provides very interesting and vivid examples of hindrance stressors, most notably, role ambiguity and role overload. One way to begin class discussion would be to have students identify the demands that Andy faces and explain how she probably appraises them. Another topic for class discussion is the role of Emily, the editor‘s first assistant. Although she isn‘t a source of stressful demands, she‘s not very supportive either. Class discussion could then turn to means by which Andy could deal with the situation. Some students are likely to say, ―just quit,‖ but there may be other students in class who recognize the instrumental value of stressful jobs, and will offer thoughts about how to manage the situation.

Bonus OB on Screen (from 1st edition): Pushing Tin. The clip begins around the 12:30 mark of the film, continuing until about the 15:45 mark. The clip depicts a grade school tour of an air traffic control facility in which some fairly shocking statistics regarding strains associated with the job of air traffic controllers are revealed. Later in the scene, an air traffic controller experiences a situation where an error (at this point in the movie it‘s unclear 2-85 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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whether the error is the fault of the controller) results in a near miss (two airliners nearly collide in mid air). The demands in this scene vividly reveal why the job of an air traffic controller results in such high levels of stress and strains. Discussion could begin by asking students to identify the demands that are depicted in the scene, and also how these demands are likely to be appraised by the controllers. Students will likely identify responsibility and workload as two key demands, and note that these are both classified as challenge stressors. Students may also note that the demands became overwhelming when the controller didn‘t see the blip on his radar screen, and at that point, the demands became more like role overload, which is classified as a hindrance stressor.

D. The Experience of Strain 1. Negative Consequences of Stress a. Physiological strains – stress can have an impact on immune system, cardiovascular system, musculoskeletal system, and gastrointestinal systems b. Psychological strains – stress can cause psychological symptoms such as depression and anxiety, which can lead to burnout c. Behavioral strains – alcohol and drug use, teeth grinding, compulsive behaviors, overeating) Connect Exercise: Vermont Remote Worker Grants Case Analysis. The state of Vermont has implemented a simple strategy to attract new residents—paying them. People employed in other U.S. states can move to Vermont and work remotely, while being reimbursed for costs related to virtual work. This case and multiple-choice questions discuss the stress that may result from remote work, and the role that a Type A personality may play.

Learning Goals 5.1 What is stress, and how is it related to stressors and strain?

5.4 How does the Type A Behavior Pattern influence the stress process?

Topic: Stress Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Researchers find that structure and good communication tools facilitate a positive virtual work environment. Ask students to research software and app tools available for virtual tasks like project management, 2-86 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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coordination, scheduling, and meetings. Students are likely to find a wide array of choices promoted through company sites, in ―best of‖ lists for virtual work, and with varied degrees of ―richness‖ (multi-sensory).

Connect Exercise: Strain Self-Assessment. This assessment tells students their level psychological strain after a full day of classes. Results classify students as having low strain or high strain.

Learning Goals 5.1 What is stress, and how is it related to stressors and strain?

5.3 How do individuals cope with stress?

5.4 How does the Type A Behavior Pattern influence the stress process?

Topic: Stress Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: In debriefing this assignment, ask students what lessons they have learned about scheduling their classes as they relate to psychological strain. Ask them to share what caused them higher strain and what caused lower strain, and whether each was controllable (e.g., number of classes per day) or simply good fortune (e.g., engaging professor). Should companies allow employees to vary their schedules to lessen psychological strain?

Connect Exercise: iSeeIt! Animated Video: Stress. Students view an animated video and then answer questions about physiological strain.

Learning Goals 5.2 What are the four main types of stressors?

5.3 How do individuals cope with stress?

Topic: Stress Difficulty Level: 2 = Medium Blooms: Understand AACSB: Knowledge Application

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Follow-Up Activity: Ask students how they can reduce their physiological strain between classes. Answers could include walking, getting a coffee, talking to a classmate, etc.

E. Accounting for Individuals in the Stress Process 1. Reaction to stress depends on whether or not a person exhibits the ―Type A Behavior Pattern‖ OB Assessments: Type A. This assessment measures the extent to which students exhibit the ―Type A‖ behavior pattern. When discussing the results with students, it is important to point out that while people who exhibit Type A behaviors tend to be more ―stressed‖ than other people, other factors also come into play – the type of stressors people encounter, the amount of social support they have, etc. It might also be worth pointing out that this was originally developed as a tool by medical doctors to diagnose the predisposition for coronary problems.

Please see the Instructor PowerPoints for Bonus Assessments on Challenge Stressors and Hindrance Stressors.

Please see the Connect assignment for this chapter for an assessment on Strain.

Please email me at colq@uga.edu if you have any questions about using these assessments in your teaching. a. Type A people tend to encounter more stressors than other people, due to the fact that they are hard-driving and competitive. b. Type A people are more likely to see demands as being stressful rather than benign. c. Type A people are more likely to have coronary artery disease and exhibit other physical and psychological symptoms of strain.

2. Social support can help to mitigate reactions to stress, by providing a buffer between stresses and strains. a. Instrumental support – help people receive that can be used to address the stressful demand directly b. Emotional support – the help people receive in addressing the emotional distress that accompanies stressful demands XV.

HOW IMPORTANT IS STRESS?

A. Hindrance stressors have a weak negative effect on job performance because they reduce the energy and attention people can devote to a job. Challenge 2-88 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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stressors, in contrast, have a weak positive effect on job performance because they trigger positive emotions that can improve the work experience.

B. Hindrance stressors have a strong negative effect on organizational commitment, because they make organizational life more dissatisfying. Challenge stressors, in contrast, have a moderate positive effect on job performance, again because they trigger positive emotions within the employee.

XVI.

APPLICATION: STRESS MANAGEMENT

A. Benefits of Managing Stress 1. Levels of stress are directly linked with health care costs and worker‘s compensation claims; managing stress keeps these costs down.

B. Steps in Stress Management 1. Assessment – determine whether or not stress is a problem in the organization a. Stress audit – asks questions about the nature of jobs to determine if stress is an issue in the organization 2. Reducing Stressors a. Eliminate or significantly reduce stressful demands through programs such as job sharing b. This approach is most beneficial for hindrance stressors.

3. Providing Resources a. Help employees cope with stressful demands by i. Providing resources such as training interventions ii. Providing supportive practices such as flextime or compressed work weeks to help balance work and nonwork role demands 4. Reducing Strains a. Decrease the strains associated with stress through practices such as relaxation techniques and meditation. b. Use cognitive-behavioral techniques to help people appraise and cope with stress in a more rational manner. c. Improve resistance to stress through health and wellness programs.

OB at the Bookstore: Resilient. This book outlines a basic formula for how we can manage our stress. In short, the author argues that by building a number of strengths, including mindfulness, confidence, calmness and generosity, we can become more resilient to stress. The author claims that through these strengths, we develop a state of internal happiness and safety, and so when we meet demands, we have the necessary resources to cope 2-89 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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calmly instead of experiencing anxiety and other strains This general message is very similar to that presented in other books which suggest that the key to managing stress lies in one‘s own mindset, and that one‘s mindset can be enhanced using lessons grounded in Buddhist principles .Class discussion can begin by asking what they think of this general approach.

Students are likely to disagree about the usefulness of the approach. Some might point to examples where this basic idea has been employed successfully. Students who do yoga or who meditate may relay their personal experiences and beliefs. Others might dismiss the approach as being fluffy of faddish. The discussion can then turn to how the basic ideas relate to the concepts discussed in the chapter. The students will likely mention that a sense of calmness and safety could influence the way demands are appraised (as being more benign or challenging rather than hindering).

Students might also suggest that there may be links to how individuals choose to cope. However, students may disagree about the nature of these links. While some might suggest that a sense of calmness could provide the individual a better opportunity to rationally deal with the problem at hand, others might argue that because the individual feels less pressure, they‘re more likely to let the demand go (don‘t worry, be happy). You can wrap up the discussion by noting that although more research is needed to reach definitive conclusions, practices that promote resilience and mindfulness are becoming quite popular in organizations.

Connect Exercise: Capital One. Capital One is a good example of a company that helps employees manage stress with a variety of support programs. The company has also seen a return on the investment in employee wellness with lower health care costs and improved productivity.

Learning Goals 5.1 What is stress, and how is it related to stressors and strains?

5.6 What steps can organizations take to manage employee stress?

Topic: Behavioral coping; Stress Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Researchers recently put a price tag on stress effects in organizations (Goh, Pfeffer, & Zenios, 2015). Ask students to guess the cost of workplace stress to companies each year. Also ask what factors have the biggest impact on that figure. Here are the numbers: Companies spend addition $125-190 billion a year due to the effects of workplace stress. The 2-90 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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biggest causes were: high work demands ($48 billion), lack of insurance ($40 billion), and work-family conflict ($24 billion).

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DISCUSSION QUESTIONS 5.1

Prior to reading this chapter, how did you define stress? Did your definition of stress reflect stressors, the stress process, strains, or some combination?

Most students think of stressors when they think of stress—things like not having enough time, unreasonable demands from a parent, significant other, boss or professor, and not having the resources they need (money, books, etc.) As a follow-up to this question, ask students to identify the strains associated with the stressors they mention. What negative outcomes do they associate with their stressors?

5.2

Describe your dream job and then provide a list of the types of stressors that you would expect to be present. How much of your salary, if any at all, would you give up to eliminate the most important hindrance stressors? Why? Answers to this question will vary by student, but consider the student whose ―dream job‖ is to be CEO of his or her own organization. Stressors might include difficulties in dealing with politics in the organization, difficult customers, hassles with employees, the need to develop the organization, the need to learn more skills, and the need to create new products or services for the organization to sell. The first three are hindrance stressors, and the last three are challenge stressors. Most students would give up a portion of their salary to eliminate these stressors. Students will note that getting rid of hindrances will make their lives easier and more satisfying, and it frees up time to deal with things that are more important.

5.3

If you had several job offers after graduating, to what degree would the level of challenge stressors in the different jobs influence your choice of which job to take? Why? Challenge stressors help people to develop, and this is something that most individuals desire. It also makes sense to have jobs with high challenge stressors early on because this is how you grow and develop competence.

5.4

How would you assess your ability to handle stress? Given the information provided in this chapter, what could you do to improve your effectiveness in this area?

Again, student answers will vary, but common responses will include gaining skills in time management, modifying job and/or school requirements, getting more exercise, participating in calming techniques such as meditation, etc.

5.5

If you managed people in an organization in which there were lots of hindrance stressors, what actions would you take to help ensure that your employees

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coped with the stressors using a problem-focused as opposed to an emotionfocused coping strategy?

The most obvious answer involves getting rid of hindrance stressors whenever possible.

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CASE: GOLDMAN SACHS Questions: 5.1

Identify and describe the types of demands that Goldman Sachs employees experience in their jobs. Explain why employees of Goldman Sachs can be motivated and committed to the company, yet at the same time, experience a great deal of stress?

Demands include high workload, responsibility, and time pressure. These are challenge stressors, which refer to demands that result in feeling stressed and strains such as exhaustion and burnout, but that are also motivational and satisfying at the same time.

5.2

Describe how Goldman Sachs‘ resilience training might influence different parts of the stress process as it is described in this chapter.

The training is designed to foster calmness and a positive mindset, which in turn, could result in the appraisal of demands as being less stressful, or at the very least, more challenging than hindering. The training may enhance energy and instill a sense that demands are more controllable, and thus, problem focused (rather than emotion focused) coping strategies may result.

5.3

Identify and describe potential limitations of Goldman Sachs‘ resilience training program. How can these limitations be mitigated?

Training in things like resilience and mindfulness may be dismissed as being fluffy and faddish, and thus, it might not be taken seriously. Moreover, certain employees may feel there’s a stigma associated with participation in stress management programs in general (admitting that one is vulnerable to stress may be viewed as a sign of weakness). The company has tried to frame the program as a performance enhancing initiative, and this may be a step in the right direction. However, there’s a risk that employees may come to view the training as a means by which the company can squeeze more out of them before they burn out. After all, the demands are still present, and coping with the demands is still required.

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BONUS CASE: HONEYWELL (from 6th edition) When asked to think of a Honeywell product, the company‘s ―round‖ thermostat might come to mind. In continuous production since 1953, the T-86 thermostat is used in more homes and commercial buildings than any other, and is part of the Smithsonian Design Museum‘s collection of iconic everyday items. If asked what other products Honeywell manufactures, you might have a vague sense that they manufacture equipment for the military and space industries, but you might have difficulty naming anything specific. In fact, Honeywell manufactures tens of thousands of products, albeit most are used in the production of other products and services. Examples of businesses in which Honeywell operates include commercial and defense aviation, satellite communications, home comfort and security, remote health monitoring, industrial automation, petroleum and petrochemical equipment, and products and materials used in electronics, fertilizers, films, and adhesives.

Over the last century, Honeywell has evolved into a $40 billion company through a constant stream of acquisitions and divestitures. To Honeywell‘s employees, this evolution has been a double-edged sword. On the one hand, continual change in the company‘s mix of businesses creates opportunities for employees to develop in their knowledge and skills. For example, company managers may be tasked with the challenge of integrating an acquisition into the larger company and identifying potential synergies with existing businesses. On the other hand, constant change creates a great deal of uncertainty and stress among the company‘s employees. For instance, an acquisition of a related business can create redundancies in functional roles, and so employees may feel threatened about losing their jobs or being forced to relocate.

Honeywell has placed increased emphasis on software and other businesses that address challenges related to energy, security, safety, productivity, and urbanization.

However, while the company continues to grow and evolve, it also faces mounting pressure in some of its businesses and has reacted with initiatives intended to control costs and increase company performance. As an example, Honeywell‘s Aerospace Division responded to an extended slowdown in the aerospace industry by laying off employees in 2015 and 2016. The division also implemented weeklong furloughs (unpaid time off) for employees not involved in manufacturing and sales.

Honeywell also believes that improvements in company performance require teamwork, idea sharing, and faster decision making, and that this is best accomplished through face-to-face interaction among employees. To facilitate this, the company decided to end its telecommuting option for employees not involved in sales or field service.

Honeywell had permitted employees to work remotely, at home if they wished, for several reasons. First, Honeywell employees are based in more than a thousand sites in over 70 countries, and they often work on important projects with other employees who may be located half-way across the world. The projects may be engaging, but trying to coordinate across time zones can be quite difficult during normal working hours. Second, telecommuting allows employees to work when and where they feel they are most productive. Employees who work remotely can chose to avoid the daily 2-95 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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commute, office politics and distractions, and the hassle of accomplishing nonwork demands. Finally, telecommuting is very popular with millennial engineers and scientists who are comfortable using technology to collaborate and who have other employment options.

The change in Honeywell‘s long-standing policy will be especially difficult for employees who have built their lives around the flexibility of working remotely. As an example, choices regarding where to live may haunt employees who now face the prospect of commuting back and forth to distant Honeywell offices each day. To some Honeywell employees, however, there may be a bright side to the change in policy. After putting in their 40 hours in the office and commuting long distances each day, employees may not feel as compelled to deal with work-related issues that come up in the evenings or on weekends.

Honeywell recognizes that there are costs associated with the stress that has resulted from all of these changes, and has taken steps to mitigate the effects. For example, the company offers a multifaceted health benefits package that includes things like medical and preventative care, mental health services, and substance abuse counseling.

Although most large companies offer similar types of benefits, Honeywell‘s HealthResource program is more innovative. It consists of a set of tools that help employees connect with health care resources any time they might need them. For example, registered nurses are available to answer health care questions and direct employees to other resources. The program also provides employees with access to information from the Mayo Clinic regarding issues such as weight management, diet, and stress reduction. Honeywell believes that when employees are given information to make informed decisions about health and well-being, the employees, their families, and the company all benefit.

Sources: D. DePass, ―Honeywell Ends Telecommuting Option,‖ Star Tribune, October 21, 2016, http://www.startribune.com/honeywell-ends-telecommutingoption/397929641/; Honeywell, ―HealthResource,‖ http://www51.honeywell.com/hrsites/healthresource/health_about.html (accessed March 10, 2017); Honeywell, ―Our History,‖ https://www.honeywell.com/who-we-are/our-history (accessed March 10, 2017); R. Randazzo. ―Honeywell Employees Told to Take Furloughs,‖ The Arizona Republic, azcentral.com, May 25, 2016, http://www.azcentral.com/story/money/business/economy/2016/05/25/honeywellemployees-asked-take-furloughs/84927666/; and R. Randazzo, ―Honeywell Announces More Layoffs,‖ The Arizona Republic, October 20, 2016, http://www.azcentral.com/story/money/business/jobs/2016/10/20/honeywell-announcesmore-layoffs/92490690/ Questions: 5.1

Describe how the change in Honeywell‘s telecommuting policy likely influenced the types of work stressors experienced by the company‘s employees. How has the change in policy likely influenced nonwork stressors?

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It’s possible that work-related challenge stressors will increase if face-to-face collaboration on projects results in feelings of greater work complexity and responsibility; however, it seems more likely that the change in Honeywell’s telecommuting policy will result in an increase in work-related hindrance stressors. For example, uncertainty regarding how to coordinate with teammates in other countries during normal working hours may engender role ambiguity. As another example, if employees cannot be productive working at the office, employees may experience role overload. Finally, employees may experience hassles in the form of office politics and other distractions. The change in the telecommunting policy will also increase nonwork-related hindrance stressors.

Because employees will have more difficulty accomplishing nonwork demands while at office, and given the additional time required for commuting, work-family conflict will certainly increase. It’s difficult to see how the change in telecommuting policy would affect nonwork-related challenge stressors.

5.2

Given the change in stressors resulting from the change in the telecommuting policy, what can you predict about the commitment and job performance of Honeywell‘s employees? Explain.

Given that the change is most likely to increase work-related hindrance stressors, commitment and job performance should decrease. Hindrance stressors result in strains and negative emotions. These strains and negative emotions, in turn, reduce the level of energies that employees invest in their roles. This translates in reduced job performance. Strains and negative emotions that result from hindrance stressors should also reduce job satisfaction, and in turn, employee commitment.

5.3

Identify steps that Honeywell could take to mitigate the potential for negative consequences resulting from the change in the company‘s telecommuting policy.

Honeywell could assess their employees to pinpoint the most important stressors. They could then focus their efforts on trying to either reduce or eliminate the important stressors or provide resources to deal with them. For example, if work family conflict was found to be the most important stressor, the company could offer other types of supportive practices, such as a compressed workweek, increased support for child care or concierge services. As another example, if distractions were found to be an important stressor, then the company could make changes to the work environment or offer training to help employees learn how to focus their attention more effectively.

EXERCISE: MANAGING STRESS Instructions:

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Put students into groups and instruct them to share the two to three most important hindrance stressors that they are currently experiencing and to seek feedback from their group members on strategies for managing those stressors. Note that some students may instead list challenge stressors, such as workload or time pressure. That‘s OK too.

The exercise focuses specifically on hindrance stressors because those have a greater impact on strain, but that restriction need not be enforced. For the life balance portion in Step 2, you may find it helpful to draw your own circles as a demonstration to the class, with one being your current division of your waking hours and the other being your ideal division. You may wish to add categories to the division to fit the characteristics of your particular class. Finally, have students share and critique their current standing on the hardiness factors (relaxation, exercise, and diet).

Questions: It is true that many stress management strategies take time, particularly strategies centered around building a better life balance or finding more time to relax or exercise.

That time requirement makes ―stressed‖ individuals resistant to them, on the logic that ―if I had time to do that, I wouldn‘t be so stressed out!‖ However, most stress and health experts would say that stress management strategies save time in the long run. For example, becoming more hardy will allow employees to focus better and think better on the job, getting more done in less time. It will also prevent them from getting sick in response to strain, sparing them from the productivity consequences of illness. Such strategies are particularly important for Type A individuals whose disposition makes them particularly sensitive to the stressors in their lives.

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OMITTED TOPICS The field of organizational behavior is extremely broad and different textbooks focus on different aspects of the field. A brief outline of topics that are not covered in this text, but which the professor might want to include in his or her lecture, is included below. In cases where these topics are covered in other chapters in the book, we note those chapters. In cases where they are omitted entirely, we provide some references for further reading.

•

Eustress-Distress. Hans Seyle coined the terms eustress and distress to refer to positive and negative stress respectively. These terms are fairly well known, and they may appear to be similar to the concepts of challenge stressors and hindrance stressors. Seyle, however, was a medical doctor and his research focused primarily on the physiological effects of stress, rather than work-related effects. For more on this see: Seyle, H. The Stress of Life. New York: McGraw Hill, 1956.

•

Optimal stress levels. It is widely believed that the relationship between the level of stress and outcomes is an inverted U. This perspective suggests that stress is energizing, and therefore is good up to a certain point. However, after that optimal point, stress becomes excessive and is bad. This relationship is most often attributed to the early work of Yerkes and Dodson. For more information see: Yerkes, R. M., & J. D. Dodson. ―The Relation of Strength of Stimulus to Rapidity of Habit-formation.‖ Journal of Comparative Neurology and Psychology, 18 (1908). pp. 459–482.

Teigen, K. H. ―Yerkes-Dodson: A Law for All Seasons.‖ Theory and Psychology, 4 (1994), pp. 525–547.

•

Institute for Survey Research (ISR) Model of Stress. Widely cited general model of stress that considers objective properties of the environment, enduring properties of the person, and interpersonal relationships as factors that impact the psychological interpretation of the environment, and in turn, more distal outcomes (physiological, behavioral, and affective responses). For more on this see: French, J. R. P., and R. L. Kahn. ―A Programmatic Approach to Studying the Industrial Environment and Mental Health‖ Journal of Social Issues, 18 (1962), pp. 1–47.

•

Person-Environment Fit. To some degree an extension of the ISR model, but with more explicit attention paid to the idea that stress (strain) is a consequence of the mismatch between person and environment. For more information, see: 2-99

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Edwards, J. R. & R. V. Harrison. ―Job Demands and Worker Health: Three-dimensional Re-examination of the Relationship Between Personenvironment Fit and Strain.‖ Journal of Applied Psychology, 78 (1993). pp.

626–648.

French, J. R. P., & R. D. Caplan, and R. V. Harrison. The Mechanisms of Job Stress and Strain. Chinchester, England: Wiley. 1982.

•

Job Demand-Job Control Model. Proposes that high decision latitude (decision authority or job control) attenuates the effects that workload has on strains. The combination of high workload demands and low decision latitude cause the most strains. For more information see: Karasek, R. A. Jr. ―Job Demands, Job Decision Latitude, and Mental Strain: Implications for Job Redesign.‖ Administrative Science Quarterly, 24 (1979). pp. 285–308.

Chapter 6: Motivation

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NOTE FROM THE AUTHOR My name is Jason Colquitt, and I‘m the lead author on the Colquitt-LePine-Wesson textbook, Organizational Behavior. I‘m also the author of this Instructor‘s Manual and I want to encourage adopters to reach out to me if I can help in any way with the book.

I‘m happy to point you to video clips that complement our OB on Screen feature or to share the details of a research project on performance and commitment that I do with my students. I also created PowerPoints for earlier editions of the textbook that have extensive photos and vivid colors, along with narration notes from my own teaching. I‘m happy to share those PowerPoints with you, as the current PowerPoints are limited by new restrictions on photos and colors. I also have those files in Keynote form if you are a Mac user. In sum, I enjoy corresponding with adopters very much, so please do not hesitate to reach out to me. My email address is jason.colquitt@gmail.com.

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CHAPTER OVERVIEW Motivation determines the direction, intensity, and persistency of work-related efforts.

This chapter shows how expectancies, goals, and perceptions of equity impact motivation, and identifies empowerment and compensation practices that organizations can use to increase motivation.

LEARNING GOALS After reading this chapter, you should be able to answer the following questions: 6.1 6.2 6.3 6.4 6.5 6.6 6.7

What is motivation?

What three beliefs help determine work effort, according to expectancy theory?

What two qualities make goals strong predicators of task performance, according to goal setting theory?

What does it mean to be equitably treated according to equity theory, and how do employees respond to inequity?

What is psychological empowerment, and what four beliefs determine empowerment levels?

How does motivation affect job performance and organizational commitment?

What steps can organizations take to increase employee motivation?

CONNECT EXERCISES Building Self-Efficacy for Expatriates Intrinsic Motivation Manager‘s Hot Seat: Motivation iSeeIt! Animated Video: Expectancy Theory High-Pressure Goals at Kraft Heinz Equity and Pay Transparency Equity Distress Psychological Empowerment Compensation Plan Elements

Case Analysis Self-Assessment Video Case Video Case Case Analysis Case Analysis Self-Assessment Click and Drag* Click and Drag*

*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

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CHAPTER OUTLINE I. MOTIVATION C. A set of energetic forces that originates both within and outside an employee, initiates work-related effort, and determines its direction, intensity, and persistence D. A current corporate buzzword for motivation is engagement, with ―engaged‖ employees being those who invest themselves in their job and bring a lot of energy to their work.

XVII. WHY ARE SOME EMPLOYEES MORE MOTIVATED THAN OTHERS? A. Expectancy Theory 1. A cognitive process that employees go through to make choices among different voluntary responses 2. Process suggests that choices about behavior depend on three beliefs a. Expectancy o The belief that exerting a high level of effort will result in the successful performance of some task o Expectancy is shaped by self-efficacy—the belief that a person has the capabilities needed to execute the behaviors required for task success.

Self-efficacy depends on an analysis of the task and one‘s own resources, and can be enhanced through: i. Past accomplishments – the degree to which the person has succeeded on similar tasks in the past ii. Vicarious experience – observing others performing the same kinds of tasks iii. Verbal persuasion – supportive comments from friends, coworkers, etc. which indicate that an employee can ―get the job done‖ iv. Emotional cues – feelings of fear or anxiety can decrease expectancy, while feelings of pride or enthusiasm can boost it Try This! Ask the students if there are any current or former athletes in the room. Then ask them to think about the things their coaches would say during practices, before games, or during games. Did those things reflect the sources of self-efficacy, such as

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past accomplishments, verbal persuasion, or emotional cues? Can any students provide some good example quotes?

Connect Exercise: Building Self-Efficacy of Expatriates Case Analysis.

This case analysis helps students learn how self-efficacy is formed. Students read about companies that use different methods to help ensure expatriate success.

Learning Goals 6.1 What is motivation?

6.2 What three beliefs help determine work effort, according to expectancy theory?

Topic: Emotions; Globalization; Motivating factors; Self-efficacy Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Do any of the students want to work abroad or travel internationally one day? Ask the class to generate a list of what they could do to raise their own self-efficacy to work internationally. Focus on the four areas proven to be influential: past accomplishments, vicarious experiences, verbal persuasion, and emotional cues. This exercise asks what the student can do rather than what the employer can do. b. Instrumentality i.

The belief that successful performance will result in certain outcomes

ii. Many employees do not see the link between job performance and the rewards they receive. c. Valence i.

The anticipated value of the outcomes associated with performance

ii. Valences are influenced by the specific needs of the employee. Needs studied in OB include existence, relatedness, control, esteem, and meaning needs. iii. Outcomes such as pay, bonuses, promotions, etc., are linked to extrinsic motivation, while outcomes such as enjoyment, interestingness, and accomplishment are linked to intrinsic motivation.

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iv. The attractiveness of outcomes varies across cultures—different outcomes are more attractive to different people. v. Employees underestimate how powerful a motivator pay is to them.

Financial incentives almost always have a stronger impact on motivation than other sorts of outcomes. a. Money is relevant to multiple needs. b. Money also conveys a sense of esteem—money can have a symbolic meaning, not just an economic one.

OB Assessments: Meaning of Money. This questionnaire gives students a sense of the meaning they attach to money. Prior to asking students to take this assessment, ask them if they have ever left a job because they wanted to make more money. If they have, why did they need the money at the time? What did it give them? If they haven‘t, what factors kept them on the job? Were other jobs that paid more not available, or were they getting something from the job that was more important than money?

Please see the Instructor PowerPoints for Bonus Assessments on Engagement and Self-Efficacy.

Please see the Connect assignments for this chapter for assessments on Intrinsic Motivation and Equity Distress.

Please email me at colq@uga.edu if you have any questions about using these assessments in your teaching.

Connect Exercise: Intrinsic Motivation Self-Assessment. This selfassessment generates feedback about the sources of student motivation to perform in classes. Each student gets a score for four types of motivation – extrinsic and three types of intrinsic (motivation to experience stimulation, motivation to know, and motivation toward accomplishment).

Learning Goals 6.1 What is motivation?

6.2 What three beliefs help determine work effort, according to expectancy theory?

Topic: Motivating factors Difficulty Level: 1 = Easy Blooms: Apply 2-106 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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AACSB: Reflective Thinking Follow-Up Activity: Discuss whether student levels of the motivation types may change semester-to-semester and why. For example, students often become more interested in their classes once they are taking their major field subjects. Apply this to organizations when employees may have different sources of motivation depending on the project, coworkers, and pay.

3. Motivational Force = Expectancy x Instrumentality x Valence Connect Exercise: iSeeIt! Animated Video: Expectancy Theory Video Case. This animated video helps students understand expectancy theory.

Questions assess students‘ knowledge of expectancy, instrumentality, and valence.

Learning Goals 6.2 What three beliefs help determine work effort, according to expectancy theory?

Topic: Motivation Difficulty Level: 2 = Medium Blooms: Understand AACSB: Knowledge Application Follow-Up Activity: Ask students to write short quotes of what employees might say if they are expressing thoughts about high and low levels of expectancy, instrumentality, and valence. For example, high expectancy may include, ―I can do it!‖ Low instrumentality could include, ―Managers never do what they promise.‖ Asking each student to give five examples of each will challenge them to practice their understanding.

B. Goal Setting Theory 1. Goal setting theory views goals as the primary drivers of the intensity and persistence of effort. a. Specific and difficult goals result in higher performance than no goals, easy goals, or ―do your best‖ goals.

Shape self-set goals – the internalized goals people use to monitor their performance ii. Trigger the creation of task strategies to achieve goals i.

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b. Goals should be specific, measurable, achievable, results-based, and time sensitive, or S.M.A.R.T. 2. Moderator variables in goal setting a. Feedback – Goals are more effective when people are provided with information about their progress in meeting the goals. b. Task Complexity – The effects of specific and difficult goals are twice as strong for simple tasks as they are for complex tasks. c. Goal Commitment – Performance is influenced by the extent to which a person accepts the goal and is determined to try to reach it.

OB Internationally. This box identifies several of the factors that influence the effectiveness of goals in different cultures. If you have a diverse class, ask students from different countries to describe how the organizations in which they have worked handle goal setting, particularly in the performance review process. The box notes that culture influences the types of goals that are set, rewards, and how they are associated with goals, participation in the goal setting process, and the feedback given about goal progress.

Connect Exercise: High-Pressure Goals at Kraft Heinz Case Analysis.

This case analysis highlights the dangers of high-pressure goals in cases such those used at Kraft Heinz. The goals were assigned after massive layoffs, creating a stressful environment, and were focused on the bottom-line rather than on the methods by which the goals would be reached. As a result, some employees were caught falsifying records in order to meet their targets.

Multiple-choice questions following the case focus on the aspects of good goal setting.

Learning Goals 6.3 What two qualities make goals strong predicators of task performance, according to goal setting theory?

Topic: Goal commitment; Goal setting theory Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application

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Follow-Up Activity: There is a dark side to goal setting when they are applied in a way that encourages reaching targets no matter what it takes.

This happens when goals focus only on the ends and not on the means. Ask students to search for ―Campbell‘s Law.‖ The definition is that the more quantitative a goal is, the more subject it will be to corruption, and the more it will sabotage the goal it is intended to meet. Ask students to brainstorm some ―Campbell‘s Law‖ situations at work. For example, ‗serve the most customers‘ can lead to poorer customer service, ―Most positive comment cards‖ could lead to pushing comment cards on pleased customers and hiding them from unhappy customers.

C. Equity Theory 1. Equity theory suggests that employees create a ―mental ledger‖ that tallies their contributions to the job with the rewards they get from the job. a. The ratio in this ledger (outcomes/inputs) is compared to a similar ratio for a comparison other—someone who provides a frame of reference for judging equity. i. If positions are equitable, no actions are needed. ii. If underreward inequity exists, people try to increase outcomes or shrink inputs. iii. If overreward inequity exists, people try to shrink outcomes or grow inputs. b. An alternative means of restoring balance in an inequitable situation is to change the comparison other. i. Internal comparisons occur within the same company. ii. External comparisons occur outside the company. iii. Table 6-6, Judging Equity with Different Comparison Others, provides examples of how comparison others are determined using survey items.

OB on Screen: Battle of the Sexes. The clip referenced in the book begins around the 2:32 mark of the film, continuing until the 6:43 film. The clip depicts Billie Jean King and Glady Heldman as they challenge Jack Kramer and Bob Sanders about the prize money being offered at the new Pacific Southwest Championships. Focus discussion on how someone in Jack‘s position should go about making these decisions today. Should equal prize money be assumed? Moving beyond tennis, how should such decisions be made in general, in basketball, soccer, golf, and the like?

Ticket sales should be part of the equity calculus, but what else should be?

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Bonus OB on Screen (from 6th edition): Star Trek Beyond. The clip referenced in the book begins around the 1:14 mark of the film, continuing until the 6:00 mark. The clip depicts James T. Kirk as he struggles with a lack of purpose. Focus discussion on why he might be feeling that way.

Exploring space seems like an intrinsically motivating job—why is he not feeling that sentiment? Is his malaise likely to be an ebb and flow in his feelings toward work, or something more persistent? What could he do to regain a sense of motivation? Please email me at jason.colquitt@gmail.com if you have any questions about using OB on Screen in your teaching.

Bonus OB on Screen (from 5th edition): Big Hero 6. The clip referenced in the book begins around the 7:15 mark of the film, continuing until the 14:37 mark. The clip depicts Tadashi Hamada‘s attempt to get his little brother Hiro onto a more productive path by showing him the Robotics Lab at the San Fransokyo Institute of Technology. Focus the discussion on what motivational beats Tadashi is trying to hit with Hiro, with Professor Callaghan‘s assistance. He‘s trying to show how studying at the Robotics Lab would be psychologically empowering for Hiro. Which facets of psychological empowerment are most evident? You might also focus discussion on the intrinsic outcomes and extrinsic outcomes that Tadashi is trying to illustrate during the tour.

Bonus OB on Screen (from 4th edition): Dark Knight Rises. The clip referenced in the book begins around the 26:23 mark of the film, continuing until about the 31:29 mark. The clip depicts a frail and disengaged Bruce Wayne, long retired from his role as the Batman, coming to grips with a new evil in Gotham City. As he hears about the shooting of Commissioner Gordan and the arrival of a mercenary named Bane, Bruce has to consider whether to re-don the cape and cowl. Ask the students why Bruce might—and might not—be motivated to resume his costumed identity. On the one hand, they may point to the renewed need for a hero, as Gotham seems to be on the verge of trouble after years of relative quiet. On the other hand, Bruce‘s body is broken and his confidence is shaken. That tension between impact and efficacy is what Bruce must wrestle with during and after the clip.

Bonus OB on Screen (from 3rd edition): Wall Street: Money Never Sleeps. The clip referenced in the book begins around the 49:20 mark of the film, continuing until about the 54:18 mark. The clip depicts Jake Moore meeting with Bretton James, some time after Moore started a rumor that hurt James‘s company. Focus the discussion on what money seems to mean to James, and of the meaning of his one word answer to Moore‘s ―what‘s your number question‖? In what ways might James‘s greed aid him in his working life? In what ways might it hurt him? Are there

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ways in which ―greed is good,‖ in terms of the original Wall Street? What are the limits on that goodness?

Bonus OB on Screen (from 2nd edition): The Dark Knight. The clip referenced in the book begins around the 53:20 mark of the film, continuing until about the 57:16 mark. The clip depicts Bruce Wayne (a.k.a. the Batman) having a conversation with his butler, Alfred, about the villainous Joker. Focus discussion on the story that Alfred tells Bruce—a story that echoes the difficulties involved in predicting the Joker‘s next move. Why does the Joker‘s lack of extrinsic motivation make him so difficult to understand?

Bonus OB on Screen (from 1st edition): Talladega Nights: The Ballad of Ricky Bobby. The clip referenced in the book begins around the 1:05:10 mark of the film, continuing until about the 1:13:27 mark. The clip depicts Ricky Bobby as he struggles to rejoin the NASCAR circuit after an accident sidelined his career. Ricky Bobby had burst onto the NASCAR scene earlier in the season, displaying an exuberance for driving that faded as prize money and sponsorship deals became his focus. Now, post-accident, Ricky‘s father tries to help him rebuild his self-confidence and rediscover his intrinsic love of ―going fast.‖ His father understands that Ricky just needs to be reminded of the enjoyment, personal expression, and sense of accomplishment that speed can give him. That sense of doing what he loves will provide a stronger ―pull‖ back to racing than any trophy or prize money could. c. Some companies try to deal with pay equity issues by enforcing pay secrecy policies.

Connect Exercise: Equity and Pay Transparency Case Analysis. This case analysis helps students learn about equity theory as it relates to pay transparency. Students read about pay disparity based on gender and race, and the incidence of non-disclosure agreements (NDAs) in organizations that can affect transparency.

Learning Goals 6.4 What does it mean to be equitably treated according to equity theory, and how do employees respond to inequity?

Topic: Equity distress; Equity theory Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application 2-111 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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Follow-Up Activity: Pay disparity is a popular topic in the news today.

Students can readily find statistics on the differences in pay for the same position based on gender and race. Students can debate the positives and negatives of pay transparency, as well as the methods by which an organization could reduce pay disparity of new hires (the issue of altering current employee salaries can be saved for a different discussion, given the scope for undergraduates). Students may discuss the methods by which individuals negotiate salaries (often resulting in men often getting higher salaries), standardized pay scales, and any policies that encourage fairness.

Connect Exercise: Equity Distress Self-Assessment. Students answer questions about their equity perceptions in student project groups. Results classify students as benevolents, equity sensitivity, or entitleds.

Learning Goals 6.4 What does it mean to be equitably treated according to equity theory, and how do employees respond to inequity?

Topic: Equity theory Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Discuss the self-assessment in class to debrief students‘ understanding of the results. Students are often confused in thinking benevolents don‘t mind being underpaid. In fact, people in all three categories of equity sensitivity are unhappy being under-rewarded to different degrees, and would prefer to be over-rewarded. However, benevolents are more tolerant of being under-rewarded and have lower turnover, perceived fairness in pay, and higher job satisfaction.

D. Psychological Empowerment 1. Psychological empowerment is energy rooted in the belief that work contributes to some larger purpose.

2. Work is psychologically empowering when it contains: a. Meaningfulness, or an importance relevant to one‘s ideals and passions b. Self-determination, or a choice about the imitation and continuation of work

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c. Competence, or a belief that the person is able to perform the work successfully d. Impact, or the sense that a person‘s actions made a difference in fulfilling a larger purpose OB at the Bookstore: Payoff. The author argues that motivation is a function of many elements, but that most managers wind up ignoring the elements that matter most. Draw the equation in the text box on the whiteboard and ask students which they presumed would matter most, before taking this course.

Now ask which elements feed into psychological empowerment (or intrinsic motivation). You might also ask the class whether any elements of that equation have an importance that is presumed to vary across generations.

Connect Exercise: Psychological Empowerment Click and Drag*. This activity asks students to match fictional scenarios about two employees, John and Lisa, to the four facets of psychological empowerment – meaningfulness, self-determination, empowerment, and impact. Students must differentiate between low and high levels of each. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 6.1 What is motivation?

6.5 What is psychological empowerment, and what four beliefs determine empowerment levels?

Topic: Empowerment; Motivating factors Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Assign student groups to produce a list of how a team project assignment (in any business class) can be enhanced to give students psychological empowerment. No details are needed for the assignment itself because the enhancements would be applicable to many types. For example, students may say that a project for real business clients offers impact and a project solving a problem for a nonprofit offers meaningfulness.

E. Summary: Why Are Some Employees More Motivated Than Others?

XVIII. HOW IMPORTANT IS MOTIVATION?

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A. Motivation and Job Performance 1. The motivating force with the strongest performance effect is selfefficacy/competence, because people who feel a sense of internal selfconfidence tend to outperform those who doubt their capabilities 2. Difficult goals are the second most powerful motivating force—people who receive such goals outperform those who do not.

3. Valences, instrumentalities, and expectancies are the next most important variables, with regard to motivation.

4. Equity perceptions are the next most important issue.

B. Motivation and Citizenship Behaviors 1. Equity theory research shows the clearest link between motivation and citizenship behaviors. Employees who feel a sense of equity are more emotionally attached to their firms and feel a stronger sense of obligation to remain.

XIX.

APPLICATION: COMPENSATION SYSTEMS

A. Table 6-7, Compensation Plan Elements, shows elements that are commonly used in compensation plans. These include: 1. Individual-Focused a. Piece-rate – pay linked to work produced b. Merit pay – pay linked to performance evaluation ratings c. Lump-sum bonuses – one-time bonus given for meeting goals d. Recognition awards – one-time award given to recognize achievement 2. Unit-Focused a. Gainsharing – bonus given to entire group when unit goals are met 3. Organization-Focused a. Profit Sharing – bonus given to entire organization, based on overall profitability of company Try This! Ask students who are currently working or have worked recently to describe the compensation elements that they‘ve experienced. How many have experienced piece-rate, merit pay, lump-sum bonuses or recognition awards? How many have experienced gainsharing or profit 2-114 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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sharing? Which elements do the students find most effective and motivational?

B. Compensation Issues 1. Does plan include specific and difficult goals to channel work effort?

2. Is there a link between individual performance levels and individual monetary outcomes in the plan?

3. Are the performance evaluations which drive the system accurate?

4. In what context do performance evaluations occur?

Connect Exercise: Compensation Plan Elements Click and Drag*. This exercise allows students to match examples of compensation plans to motivation theories. Theories in the exercise include: goal setting theory (individual-focused), goal setting theory (unit-focused), equity theory, expectancy theory (instrumentality), and extrinsic motivation. Compensation plans are: merit pay, lump-sum bonuses, gainsharing, piece-rate systems, and recognition awards. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 6.1 What is motivation?

6.2 What three beliefs help determine work effort, according to expectancy theory?

6.3 What two qualities make goals strong predicators of task performance, according to goal setting theory?

6.4 What does it mean to be equitably treated according to equity theory, and how do employees respond to inequity?

6.6 How does motivation affect job performance and organizational commitment?

6.7 What steps can organizations take to increase employee motivation?

Topic: Equity theory; Expectancy theory; Goal setting theory; Instrumentality; Merit-based pay plan; Motivating factors Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Ask students what type of job might fit each compensation system best and why. Examples are: lump-sum bonuses (advertising team trying to get a contract) or gainsharing (software engineer at 2-115 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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a start-up). This can prompt the discussion that each type of plan can be effective if applied in the right way.

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DISCUSSION QUESTIONS 6.1

Which of the outcomes in Table 6-2 are most appealing to you? Are you more attracted to extrinsic outcomes or intrinsic outcomes? Do you think that your preferences will change as you get older?

Different students will have different answers to this question, but they may find that extrinsic rewards become less important as they grow older, and intrinsic rewards become more important.

6.2

Assume that you were working on a group project and that one of your teammates was nervous about speaking in front of the class during the presentation. Drawing on Figure 6-3, what exactly could you do to make your classmate feel more confident?

You could remind your teammate of his or her past accomplishments in the area of speaking (maybe your friend had persuaded an entire group of people to take part in a team activity, for example). You could show your teammate videotapes of effective speakers to give a vicarious experience that would support selfefficacy. You could encourage your teammate, by offering supportive words to show you believe in his or her ability. Finally, you could talk only about the positive aspects of giving the speech; to be sure your friend had the right emotional cues for the job.

6.3

Consider the five strategies for fostering goal commitment (rewards, publicity, support, participation, and resources). Which of those strategies do you think is most effective? Can you picture any of them having potential drawbacks?

The most important strategy for fostering goal commitment is probably participation in the goal setting process, followed by rewards. A person who sets his or her own goals is more likely to be committed to those goals, and a person who is never rewarded for goal attainment is likely to stop setting and/or achieving goals. Publicity may have a potential drawback because it can put undue pressure on an employee to reach a goal, and if the goal is not attained, cognitive dissonance may make the person less committed to achieving the goal in the future. Rewards may also have a drawback, in that if a person is always rewarded for achieving a goal, he or she may come to expect the reward, and be less committed when it is not present.

6.4

How do you tend to respond when you experience overreward and underreward inequity? Why do you respond that way rather than with some other combination in Figure 6-6?

Responses to overreward and underreward inequity may be determined by personality, as well as the situation. Some students, for example, may simply withdraw from the situation when underreward inequity is present. Research 2-117

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suggests that overrewarded employees tend to engage in more team-oriented behaviors, rather than simply shrinking inputs.

6.5

Think about a job that you‘ve held in which you felt very low levels of psychological empowerment. What could the organization have done to increase empowerment levels?

Organizations can increase psychological empowerment by providing their employees with the resources they need to do their jobs (including training), setting goals with employees and then giving employees the autonomy to choose the ways in which they will meet those goals, providing feedback on the employee’s progress toward meeting goals, and giving employees work that they find meaningful.

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CASE: GOOGLE Questions: 6.1

Which motivational theories does Delta appear to be leveraging in its approach to motivation?

The focus on compensation most clearly echoes expectancy theory and equity theory. Increasing levels of base pay and good profit sharing payouts show a connection between performance and outcomes, and between inputs and outcomes. Of course, that connection is imperfect, especially given all the other things that will impact profit sharing payouts.

6.2

Picture being an employee of Delta during the period where the company transitioned into—and out of—bankruptcy. What motivational implications would that experience have, and how long would they last?

Assuming you were committed to Delta as an organization, there would likely be a great deal of meaningfulness and impact in helping Delta out of that situation.

Indeed, for Delta employees that were part of that time period, the strong extrinsic incentives probably bring with them intrinsic and empowering meaning as well.

6.3

Which do you think is most motivational for Delta’s employees? Their high base pay, their generous profit sharing, or a CEO who is so accessible and communicative?

This will vary from person to person. One advantage that Delta has, however, is that Ed Bastian’s accessibility and communicativeness allows the company to better leverage its base pay and profit sharing. They are, after all, one of the things he messages to during the events. Given that pay can often be confusing and ambiguous—especially in companies that prefer pay secrecy—such rhetorical emphasis is valuable.

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BONUS CASE: GOOGLE (from 6th edition) What image pops into your head when you picture a Google employee? Maybe someone stopping for a snack and drink from a food kiosk between rounds of Foosball?

Or maybe someone huddled over a computer, headphones on, late in the evening, writing code? Judging from the sheer breadth of Google‘s products, services, and initiatives, it seems clear that the second image is more prevalent. So, what is it that motivates ―Googlers‖ to put forth so much effort on the job? Certainly the work they do is an important factor. Employees are given the freedom to spend part of their week on projects that interest them. Moreover, the company‘s mission—to organize the world‘s information and make it accessible to all—provides a sense of purpose for the rank-andfile.

That said, Google‘s People Operations group does a number of things to keep employees motivated. Employees are given specific, measurable, and ambitious goals each quarter—termed ―OKR‘s‖ (for Objectives and Key Results). Those OKR‘s are shown on the company‘s internal website, right next to an employee‘s phone and office number. Successfully meeting OKR‘s then feeds into Google‘s performance evaluation process, which occurs twice a year. Employees are rated by their managers on a fivepoint scale where 1=needs improvement, 2=consistently meets expectations, 3=exceeds expectations, 4=strongly exceeds expectations, and 5=superb. To ensure that higher ratings really do go to higher performers, managers engage in a process called ―calibration.‖ In groups of five to ten, managers project their employees on a wall and have a group discussion to ensure that no ―grade inflation‖ (or ―grade deflation‖) occurs. The ratings then feed into two separate conversations: one about skill development and one about changes to compensation.

Motivational strategies go beyond evaluation and compensation, however. Google‘s awards program stresses experiential rewards, like sending teams to Hawaii, providing trips to health resorts, or splurging for lavish dinners. Studies within the company have shown that the memory of such rewards lingers longer than cash, making them more satisfying. And employees can even give each other rewards themselves. The gThanks (―gee-thanks‖) software system allows employees to send public thank you‘s to reward good work. The system even allows employees to give peers a $175 cash award—with no managerial approval needed.

One motivational issue that Google pays particular attention to concerns its star performers. Most organizations treat performance evaluation ratings—and accompanying compensation differences—much like grades in a college course. Just as a distribution of grades might have a few A‘s, more A-‘s, B+‘s, B‘s, and B-‘s, and a few C‘s, so too do performance evaluations wind up with a few 5‘s, more 4‘s, 3‘s, and 2‘s, and a few 1‘s. Thus, scores and rewards have a ―bell curve‖ distribution, with fewer people in the tails and more in the middle. Moreover, just as an A is only a bit more rewarding than an A-, so too does a 5 get just a bit more than a 4.

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Although there‘s a logic to that view of evaluation and compensation, it misses an important insight from scientific work on performance. That work suggests that the top 1% of performers contribute 10% of the firm‘s productivity all by themselves. Similarly, the top 5% of performers contribute 25% of the productivity all by themselves. Put differently, stars aren‘t just a little bit better than typical employees—they‘re worlds better. This is especially true in white collar jobs where there are no equipment or process constraints on what employees can do. As Bill Gates once argued, ―A great lathe operator commands several times the wage of an average wage operator, but a great writer of software code is worth 10,000 times the price of an average software writer.‖ Laszlo Bock, the former head of Google‘s People Operations group, followed such advice when rewarding star performers. He argues, ―Internal pay systems don‘t move quickly enough or offer enough pay flexibility to pay the best people what they are actually worth. The rational thing for you to do, as an exceptional performer, is to quit.‖ Thus, Google practices what he calls ―paying unfairly‖—where ―unfairly‖ means a rejection of the notion that 5‘s should only get a little more than 4‘s or 3‘s. ―If the best performer is generating ten times as much impact as an average performer, they shouldn‘t necessarily get ten times the reward,‖ Bock notes, ―but I‘d wager they should get at least five times the reward.‖ He continues, ―The only way to stay within budget is to give smaller rewards to the poorer performers, or even the average ones. That won‘t feel good initially, but take comfort in knowing that you‘ve now given your best people a reason to stay with you, and everyone else a reason to aim higher.‖ Sources: L. Bock, Work Rules! Insights from Inside Google that Will Transform How You Live and Lead. New York: Twelve, 2015; E. O‘Boyle Jr. and H. Aguinis, ―The Best and the Rest: Revisiting the Norm of Normality of Individual Performance.‖ Personnel Psychology, 65, 79-119.

Questions: 6.1

Do you agree with Bock that star performers should get a lot more—not just a little more—than average performers? If someone earning a 3 on Google‘s evaluation system gets a 2 percent raise, what should employees earning 4‘s and 5‘s get?

Opinions on this will vary philosophically, depending on whether students seek to prioritize achievement versus group harmony. Bock himself argued that the best performers should get five times the reward of average performers. That would mean that 5’s should get a 10 percent raise, with 4’s falling somewhere in between 10 percent and the 2 percent given to average performers. Most students will likely see those numbers as face valid.

6.2

Given the budget issues created by giving star performers more, should someone earning a 3 get a 2 percent raise—or should they get less? What are the arguments for and against a 2 percent raise level for average performers?

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If employees do not get a cost-of-living allowance, meaning a raise that keeps up with the inflation rate, they will likely withdraw and eventually quit. The answer to this question then depends on how damaging that is to the employer. What’s the labor market like? Are these roles where losing an average employee means a chance to replace them with better? Or is it likely that the next person hired will be similar in their performance?

6.3

Consider all the things Google‘s People Operations group does to motivate its employees. Which motivation theories do they seem to be leveraging, and how?

Google’s focus on freedom and mission fosters elements of psychological empowerment—especially self-determination and meaning. The focus on Objectives and Key Results has elements of goal-setting theory. From there, the focus on matching performance review ratings with raise levels fosters aspects of both expectancy theory and equity theory.

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EXERCISE: EXPLAINING PAY DIFFERENCES Instructions: Put students into groups and instruct them to read the scenario and think about why Chris and Pat may be earning different salaries. Remind them that they can focus on legal reasons, illegal reasons, wise reasons, or unwise reasons. Have them focus on the reasons first. They should only consider the relevant theories once they‘ve completed their list of reasons.

Sample Reasons: Here is a sample of the kind of list the groups might generate, with the relevant theories identified in the parentheses.

Pat‘s more skilled (EQ, PE) Pat works harder (EX, EQ) Chris‘s boss doesn‘t like Chris for some reason (EQ) Pat is male and Chris is female (EQ) Pat‘s work has more impact on the firm (EQ, PE) Pat makes more important decisions than Chris (EQ, PE) Pat‘s got more tenure (EQ) Chris is less politically astute (EQ) Pat hits his targets more than Chris (EX, GS, EQ) Pat negotiated more aggressively when he got the job (EQ) Questions: Equity theory is most relevant to this scenario, which is not surprising given the nature of the scenario. Many of the reasons generated will reflect differences in inputs that are both legal to consider and wise to consider (such as skills or effort). Others will reflect differences in input that are legal to consider but not always as wise (such as tenure). Other reasons will reflect differences that may be illegal to consider (such as gender). Other reasons will reflect differences that are probably not valid inputs, making it unwise to have decisions be affected by them (such as likability or political skill). Still other reasons will reflect differences that are more difficult to label in terms of their wisdom (such as negotiating ability).

The relevance of the other theories will depend on what‘s listed. Factors that have to do with expectancy differences, instrumentality differences, valence differences, or effort differences are relevant to expectancy theory. Factors that have to do with goal differences are relevant to goal setting theory. Factors that have to do with meaningfulness, self-determination, competence, or impact differences have to do with psychological empowerment.

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It will be difficult to identify a reason that cannot be slotted into any of the four theoretical perspectives, though sometimes that slotting is more of a ―stretch‖.

For example, the last reason above—Pat negotiated more aggressively—may not truly be relevant to equity theory, as it‘s difficult to classify negotiation skill as a relevant input (after all, it doesn‘t benefit the firm directly, and the person isn‘t even a member of the firm yet).

Most of the reasons generated will be legal, just because legal reasons come to mind more quickly. Of the reasons listed above, only gender differences could potentially be illegal, depending on whether the differences reflect a true bias.

However, the reasons will typically cluster into both wise and unwise categories.

Of the reasons listed above, at least five are wise (skill, effort, impact, important decisions, targets) while others may be unwise (likability, gender, tenure, political ability, negotiating ability. Class discussion could center on when potentially unwise reasons could in fact be wise. For example, there are many scenarios where likability may not reflect bias, but rather a true input.

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OMITTED TOPICS The field of organizational behavior is extremely broad and different textbooks focus on different aspects of the field. A brief outline of topics that are not covered in this text, but which the professor might want to include in his or her lecture, is included below. In cases where these topics are covered in other chapters in the book, we note those chapters. In cases where they are omitted entirely, we provide some references for further reading.

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Need Hierarchies – Widely known (but scientifically unsupported) theories by Maslow and Alderfer suggest that individuals‘ motivations are driven by universal hierarchies of needs. In the case of Maslow, those needs include physiological, safety, social, esteem, and self-actualization needs. In the case of Alderfer, those needs include existence, relatedness, and growth needs. For more on this, see: Maslow, A. H. ―A Theory of Human Motivation.‖ Psychological Review 50 (1943), pp. 370–96.

Alderfer, C. P. ―An Empirical Test of a New Theory of Human Needs.‖ Organizational Behavior and Human Performance 4 (1969), pp. 142–75.

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Herzberg‘s Two-Factor Theory – This widely known (but scientifically unsupported) theory describes satisfaction and dissatisfaction as two separate concepts. Satisfaction is said to be driven by ―motivators‖ such as promotion opportunities, recognition, and growth opportunities. Dissatisfaction is said to be driven by ―hygiene factors‖ such as pay and the quality of supervision. The hygiene factor classification significantly underestimates the importance of pay and supervision, which are important factors in job satisfaction and motivation.

For more on this, see: Herzberg, F. Work and the Nature of Man. Cleveland, OH: World, 1966.

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McLelland‘s Theory of Needs – Argues that work motivation is influenced by three needs: the need for achievement, the need for power, and the need for affiliation. These needs have much in common with three dimensions of personality discussed in Chapter 9: conscientiousness, extraversion, and agreeableness, respectively. For more in this, see: McLelland, D. C. The Achieving Society. New York: Van Nostrand Reinhold, 1961.

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Job Characteristics Model – This model, by Hackman and Oldham, describes how five core job characteristics (variety, identity, significance, autonomy, and feedback) combine to create work that is intrinsically satisfying and motivating.

This model is covered in our discussion of job satisfaction in Chapter 4.

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Organizational Justice – Equity theory deals with distributive justice, but there are three other facets of justice in organizations: procedural justice, interpersonal justice, and inspirational justice. These justice forms are covered in our discussion of trust and justice in Chapter 7.

Chapter 7: Trust, Justice, and Ethics

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NOTE FROM THE AUTHOR My name is Jason Colquitt, and I‘m the lead author on the Colquitt-LePine-Wesson textbook, Organizational Behavior. I‘m also the author of this Instructor‘s Manual and I want to encourage adopters to reach out to me if I can help in any way with the book.

I‘m happy to point you to video clips that complement our OB on Screen feature or to share the details of a research project on performance and commitment that I do with my students. I also created PowerPoints for earlier editions of the textbook that have extensive photos and vivid colors, along with narration notes from my own teaching. I‘m happy to share those PowerPoints with you, as the current PowerPoints are limited by new restrictions on photos and colors. I also have those files in Keynote form if you are a Mac user. In sum, I enjoy corresponding with adopters very much, so please do not hesitate to reach out to me. My email address is jason.colquitt@gmail.com.

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CHAPTER OVERVIEW This chapter covers the topics of trust, justice, and ethics. Trust, or the willingness to be vulnerable to an authority based on positive expectations about the authority‘s actions and intentions, is discussed from the perspective of personality, cognition, and affect.

Four different types of justice, or the perceived fairness of actions, are discussed— distributive justice, procedural justice, interpersonal justice, and informational justice.

Finally, ethical decision making is explained in terms of moral awareness, moral judgment, and moral intent. The chapter concludes by showing how ethical organizations emphasize corporate social responsibility to help their employees meet the economic, legal, ethical, and citizenship expectations of society.

LEARNING GOALS After reading this chapter, you should be able to answer the following questions: 7.1 7.2 7.3 7.4 7.5 7.6 7.7

What is trust, and how does it relate to justice and ethics?

In what three sources can trust be rooted?

What dimensions can be used to describe the trustworthiness of an authority?

What dimensions can be used to describe the fairness of an authority‘s decision making?

What is the four-component model of ethical decision making?

How does trust affect job performance and organizational commitment?

What steps can organizations take to become more trustworthy?

CONNECT EXERCISES The Most Trustworthy Companies in the World Uber and Lyft Go on Strike Justice in Promotion Decisions Justice Orientation Manager‘s Hot Seat: Ethics Manager‘s Hot Seat: Whistleblowing Ethical Decision Making Moral Intensity at Walmart Moral Identity

Click and Drag* Case Analysis Click and Drag* Self-Assessment Video Case Video Case Click and Drag* Case Analysis Self-Assessment

*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

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CHAPTER OUTLINE I. TRUST, JUSTICE, AND ETHICS C. Reputation – the prominence of a brand in the minds of the public and the perceived quality of its goods and services. It depends largely on trust.

D. Trust – the willingness to be vulnerable to an authority based on positive expectations about the authority‘s actions and intentions 1. Authorities can be either person-based or organization based.

2. Trust is often dependent on two related concepts: a. Justice – the perceived fairness of an authority‘s decision making b. Ethics – the degree to which the behaviors of an authority are in accordance with generally accepted moral norms XX.

WHY ARE SOME AUTHORITIES MORE TRUSTED THAN OTHERS?

A. Trust 1. Three types of trust a. Disposition-Based i.

Some people have personality traits that include a general propensity to trust others OB Assessments: Trust Propensity. This brief assessment helps students to determine their inherent levels of trust. Use a show of hands to see how many students fell above and below the average level, and see if students will volunteer any extremely high or low scores. When discussing the results of the assessment, ask students to vote on which is more damaging: being too trusting or being too suspicious. Ask students to describe the consequences of being too trusting (most will note that you can be taken advantage of or you could delegate to ineffective people). Also ask students to describe the consequences of being too suspicious (many will note the strain that would be brought on by monitoring, checking up, and not delegating, or the harm to interpersonal relationships when someone fails to trust).

Please see the Instructor PowerPoints for Bonus Assessments on Procedural Justice and Moral Attentiveness.

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Please see the Connect assignments for this chapter for assessments on Justice Orientation and Moral Identity.

Please email me at colq@uga.edu if you have any questions about using these assessments in your teaching. ii. Trust propensity is a product of both genetics and early childhood experiences iii. Trust propensity is also influenced by experiences in later life and national culture Try This! Ask students if they have any experiences in countries from Figure 7-2, Trust Propensities by Nation, that are especially high or low on trust propensity. Do they have experiences that are consistent with the rankings in the figure? Do they have experiences that are inconsistent with those rankings? How would those trust propensity levels manifest themselves in national norms, routines, practices, and laws? b. Cognition-based Trust i.

Cognition-based trust is based on what we know about an authority— our understanding of that authority‘s ―track record.‖

ii. Track records are gauged on three dimensions: 1) Ability – the skills and abilities that enable an authority to be successful in a given area 2) Benevolence – the belief that the authority wants to do good for the trustor, apart from any selfish or profit-centered motives 3) Integrity – the perception that the authority adheres to a set of values and principles that the trustor finds acceptable OB at the Bookstore: Radical Candor. The author argues that radical candor is the intersection of caring about people personally and challenging them directly, thereby capturing high levels of benevolence but also ability and integrity. Focus discussion on whether students have experienced radical candor from their parents, friends, bosses, or teachers. How did they take it at the time? Did the caring aspect make up for the discomfort caused by the candor? Also ask students how rare radical candor is, compared to ―caring nonconfrontation‖ or ―uncaring candor.‖ Why is it so rare?

Connect Exercise: The Most Trustworthy Companies in the World Click and Drag*. This exercise asks students to match facts about companies 2-131 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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considered to be highly trustworthy to the three facets of trustworthiness: ability, benevolence, and integrity. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 7.2 In what three sources can trust be rooted?

7.3 What dimensions can be used to describe the trustworthiness of an authority?

Topic: Ability; Integrity; Trust Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Assign students to go to the Occupational Information Network (onetonline.org) and look for jobs that come up when they search with the keyword ―ethics.‖ A short list will be returned. Ask students to classify the jobs according to what type of trustworthiness is most required. For example, a diagnostic technician may need ability first. A counselor may need benevolence. (Note: ―ethics‖ is a better keyword than ―trust‖ because the latter results are mostly financial jobs.) c. Affect-based Trust i.

Affect-based trust is emotional – It is based on the feelings we have for people, not rational evaluations of their trustworthiness. a. May act as a supplement to other types of trust – is built up over time

XXI. Bonus OB on Screen: A Star is Born. The clip referenced in the book begins around the 21:35 mark of the film, continuing until about the 42:08 mark. For a shorter version, begin at the 32:51 mark. The clip depicts Ally as she gets to know Jackson Maine—a country music star. Eventually Jackson invites Ally on stage to sing his arrangement of a song she wrote. Poll the class on whether they would have taken the leap to walk on stage. For those who would have, why would they do it? Listen to the reasons and try to slot them into the factors that influence trust levels. Please email me at jason.colquitt@gmail.com if you have any questions about using OB on Screen in your teaching.

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XXIII. OB on Screen: The Founder. The clip referenced in the book begins around the 1:16:04 mark of the film, continuing until about the 1:25:05 mark.

The clip depicts Ray Kroc as he figures out a way to wrest control of McDonald‘s from the company‘s two founders, Dick and Mac McDonald.

Focus discussion on who seems to be more ethical: Ray or Dick and Mac. In what ways? In what ways are Ray‘s actions unethical, and in what ways are they ethical? From the perspective of the four-component model, how do the men differ?

Bonus OB on Screen (from 5th edition): Whiplash. The clip referenced in the book begins around the 22:48 mark of the film, continuing until about the 27:52 mark. The clip depicts Professor Terence Fletcher being abusive with Andrew Neiman as he begins his tenure as the drummer for the top jazz band at the Shaffer Conservatory. Focus discussion on how the students would react in Andrew‘s situation. Many would want to immediately quit the band. Of those who would not, why would they not? Why might some ―silently bear it‖ and why might some take action with the Shaffer administration? From a trustworthiness perspective, what is it that Fletcher most clearly lacks? From an ethical perspective, what is Fletcher missing that allows him to act the way he does?

Bonus OB on Screen (from 4th edition): Man of Steel. The clip referenced in the book begins around the 1:08:55 mark of the film, continuing until about the 1:14:00 mark. The clip depicts Clark Kent as he struggles with the decision to turn himself into the U.S. government. They, in turn, will give him to General Zod, a Kryptonian criminal who has arrived on Earth. Clark has lived a life of secrecy for the past 33 years, concerned about what mankind would do to him (and his adopted parents) if they knew an alien was living in their midst. The clip depicts that concern, but also reveals the other side of the trust equation. Mankind, for their part, is worried about the benevolence of a superpowered being who cannot be handcuffed or controlled. Ask the students how much of the mutual distrust is cognition-based and how much of it is affect-based. Then ask them what would have to happen, on both sides, for that distrust to change to trust. Obviously we know from other Superman stories and movies that he is eventually trusted by the people of the world.

Why? What has changed?

XXIV. Bonus OB on Screen (from 2nd and 3rd editions): Slumdog Millionaire.

The clip referenced in the book begins around the 1:27:29 mark of the film, continuing until about the 1:35:16 mark. The clip depicts Jamal Malik‘s dilemma as the host of the game show apparently sneaks him the answer to the next question. The clip provides a dramatic demonstration of the definition of trust, as Jamal must decide whether to accept vulnerability to the host by saying that answer, with a chance at a million dollars on the line. Poll the class to see how many would have gone with the answer that the host provided. Then ask them which trustworthiness dimension would have been 2-133 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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most relevant to their trust levels. They will probably draw most on integrity, given that the host himself has broken the rules of the show by sharing an answer. However, they may also realize that the host lacks benevolence, as he doesn‘t want Jamal‘s fame to surpass his own.

XXV. Bonus OB on Screen (from 1st edition): Pirates of the Caribbean: The Curse of the Black Pearl. The clip referenced in the book begins around the 8:51 mark of the film, continuing until about the 16:05 mark. The clip depicts Captain Jack Sparrow. Jack‘s behavior during the clip reveals that he‘s not particularly trustworthy, which isn‘t surprising for a pirate. The key issue for class discussion is ―why aren‘t pirates trustworthy?‖ The answer lies in a combination of poor integrity (pirates lie and steal a lot) and low benevolence (pirates are motivated purely by profit-centered motives). In Jack‘s case, he demonstrates more benevolence than most pirates, as shown by his rescue of Elizabeth—the drowning woman. Still, that benevolence isn‘t quite enough to offset all the lies Jack tells throughout the film.

A. Justice 1. Distributive Justice – perceptions of fairness related to whether or not outcomes have been allocated in accordance with accepted norms a. Most common norm in business settings is equity – more outcomes should be given to people who contribute more inputs 2. Procedural Justice – perceptions of fairness related to whether or not the rules of fair process have been followed a. Rules of Fair Process i. Voice – Do employees have a chance to express their opinions? ii. Correctability – Can employees request an appeal when a procedure seems to have worked ineffectively? iii. Consistency – Are procedures consistent across people and time? iv. Bias suppression – Are procedures neutral and unbiased? v. Representativeness – Do procedures consider the needs of all groups? vi. Accuracy – Are procedures based on accurate information?

Try This! Take some decision-making procedure that a number of students will be familiar with. It could be the procedure used to elect U.S. presidents, the procedure used to crown a college football champion, the procedure used to decide which students are eligible for tickets to university sporting events—anything with which most students would be familiar. Then ask the students to analyze the fairness of the procedure

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using the procedural justice rules in Table 7-2, The Four Dimensions of Justice. How is the process fair, or how is the process unfair? b. Research shows that procedural justice is a stronger driver of reactions to authorities than distributive justice.

3. Interpersonal Justice – perceptions of fairness related to whether or not authorities treat people with fairness when implementing rules a. Rules for Fair Treatment i. Respect rule – Are people treated in a dignified and sincere manner? ii. Propriety rule – Do authorities refrain from making improper or offensive remarks? b. Abusive Supervision – behaviors that are extremely unfair from an interpersonal justice perspective, with sustained displays of hostile verbal and nonverbal behavior (excluding physical contact) 4. Informational Justice – perceptions of fairness related to whether or not the communications provided to employees during organizational decision making are fair a. Rules for Fair Communication Justification rule – Have authorities explained the decision-making procedures and outcomes in a comprehensive and reasonable manner? ii. Truthfulness rule – Have authorities been honest and candid in their communications? i.

b. Informational justice can have a large impact on an organization‘s bottom line. In one research study, a company offered two different explanations for a pay cut at two different plants. In the plant with a short, impersonal explanation for the pay cut, employee theft was five percent higher than it was at the plant where employees were given a longer, more sincere explanation for the pay cut.

5. Summary a. When authorities adhere to the justice rules in Table 7.2, The Four Dimensions of Justice, they are more likely to be seen as trustworthy.

Connect Exercise: Uber and Lyft Drivers Go on Strike. This case study documents the strikes across the U.S. by Uber and Lyft drivers who asked for more benefits as employees rather than to be treated as independent 2-135 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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contractors. Multiple choice questions following the case apply procedural, interpersonal, and informational justice. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 7.4 What dimensions can be used to describe the fairness of an authority‘s decision making?

Topic: Informational justice; Interpersonal justice; Procedural justice Difficulty Level: 3 = Hard Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Lawsuits are ongoing for Uber and Lyft, so students can research to find out what has happened since the case events. In addition, ask students to explore the number of part-time workers, whether by choice or because they could not find full-time work (these are separated in most sources). The numbers are drastically different, with part-time employment by choice surging from 1960 to the present. In addition, the number of contract workers and temporary workers is on the rise. Ask students what is fair for these workers‘ benefits?

Connect Exercise: Justice in Promotion Decisions Click and Drag*. This exercise asks students to pretend that they are being considered for a higherlevel position at their retail organization. Students must match descriptions of the interview process to high and low levels of three types of justice: procedural, interpersonal, and informational. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 7.4 What dimensions can be used to describe the fairness of an authority‘s decision making?

Topic: Informational justice; Interpersonal justice; Procedural justice Difficulty Level: 3 = Hard Blooms: Analyze

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AACSB: Analytical Thinking Follow-Up Activity: Selection and promotion are often situations where organizational justice concerns emerge. Ask students if they have ever felt unfairly treated in an employment interview or consideration for promotion?

Discuss whether the experience was a breach of one of the types of justice.

What could have been done instead?

Connect Exercise: Justice Orientation Self-Assessment. This assessment gives students feedback on whether they have a weak justice orientation or a strong justice orientation. Results suggest that a high score may cause preoccupation with justice, and a low score can prevent a person from noticing important cues about others‘ trustworthiness.

Learning Goals 7.1 What is trust, and how does it relate to justice and ethics?

7.4 What dimensions can be used to describe the fairness of an authority‘s decision making?

Topic: Distributive Justice Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Students may feel negatively about having a weak justice orientation, so discuss the results. Researchers found that everyone benefits from more information and clearer procedures. Strong justice orientation people are just more satisfied because it is a deeper concern for them and can even become a preoccupation. Do results have implications for what the type of job the student would prefer?

Connect Exercise: Manager’s Hot Seat: Ethics Video Case. This video shows a discussion between an employee and supervisor. The supervisor is hesitant to approve a contract because it hasn‘t gone through the proper approval process. Questions focus on facets of trustworthiness and types of justice.

Learning Goals 7.3 What dimensions can be used to describe the trustworthiness of an authority?

7.4 What dimensions can be used to describe the fairness of an authority‘s decision making?

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Topic: Ethics Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Discuss whether rules should ever be broken. If it‘s a counterproductive or irrational rule, should the employee break it? Consider a scenario that a delivery driver is supposed to always leave packages on the porch for safety reasons – no exceptions. The driver knows the handicapped person who lives at a certain address can‘t get the package easily from the porch. A coworker tells the driver, ―Just do it. No one will know.‖ B. Ethics 1. Research on ethics seeks to explain why people behave in a manner consistent with generally accepted norms of morality, and why they sometimes violate those norms.

2. Seventy-six percent of employees have observed illegal or unethical conduct on the job within the past 12 months, and that figure may be higher in some countries.

OB Internationally. This table shows that different countries have very different baseline levels of unethical actions. If you have international students, try to start a conversation with the class about specific behaviors that might be considered ethical in one country and unethical in another.

What is it that makes a behavior ethical or unethical? Do students believe that having a code of conduct, such as the one discussed in the box, will be enough to significantly alter employee behaviors in other countries/cultures?

Why or why not?

3. Four Component Model of Ethical Decision Making a. Moral Awareness – occurs when an authority recognizes that a moral issue exists in a situation or that an ethical standard or principle is relevant to the circumstance i.

Moral awareness depends on: a. Moral intensity, or the degree to which the issue has moral urgency Moral intensity is driven by two general factors (see Table 7-4, Ethical Dilemma Used to Asses Moral Development) 2-138

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1) Potential for harm 2) Social pressure b. Moral attentiveness, or the degree to which people chronically perceive and consider issues of morality b. Moral Judgment – occurs when an authority accurately identifies the morally ―right‖ course of action i.

Moral judgment depends on the stage of cognitive moral development. a. Preconventional – Right and wrong are based on consequences of actions for the individual. b. Conventional – Right and wrong are based on the expectations of family and society. c. Principled/postconventional – Right and wrong are referenced to a set of defined, established moral principles (see Table 7-5, Moral Principles Used in the Principled Stage). Some principles are consequentialist, meaning the morality of the acts depends on their goals, aims, or outcomes. Other principles are nonconsequentalist, emphasizing instead formal codes or standards.

c. Moral Intent – reflects the authority‘s degree of commitment to a moral action i.

Driven by moral identity – the degree to which people see themselves as a ―moral person‖ Try This! Describe a scenario for your students that could be used as an example for the parts of the four-component model. For example: Assume a student ―heard through the grapevine‖ that other students had obtained an advanced copy of the final exam in the class. Should the student report this to the professor? Based on Table 7-4, how morally intense is this issue, and why? Based on Table 7-5, which course of action is most morally right, and why?

Connect Exercise: Manager’s Hot Seat: Whistleblowing Video Case. In this video, a supervisor is trying to suppress one of her employee‘s findings that could reduce accidents by hospital employees. Students answer questions about moral intensity, moral judgment, trustworthiness, and informational justice.

Learning Goals 7.3 What dimensions can be used to describe the trustworthiness of an authority?

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7.4 7.5

What dimensions can be used to describe the fairness of an authority‘s decision making?

What is the four-component model of ethical decision making?

Topic: Ethics Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Discuss strategies employees can use to avoid getting into a situation where they feel pressured to do something unethical. These might include inviting a person to meetings who has a different perspective or taking notes to record information. What can organizations do? Some ideas are standardized procedures, reporting requirements, and multiple approvals.

Connect Exercise: Ethical Decision Making Click and Drag*. This exercise tests student knowledge about the four-component model of ethical decision making. Students will match the stages of a supervisor‘s thought process and actions regarding a promotion decision to each of the four steps in the model. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 7.5 What is the four-component model of ethical decision making?

Topic: Decision making; Ethics; Moral awareness; Moral judgment Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Ethics statements can encourage employees to make ethical decisions. Ask students to find an ethics statement from a society in their field. How does the ethics statement guide their decision making? Some societies are Beta Alpha Psi (accounting), American Marketing Association (AMA), or Society for Human Resource Management (SHRM). Students may be aware of others.

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Connect Exercise: Moral Intensity at Walmart Case Analysis. This case analysis covers the human resource troubles Walmart has faced over the years and the company‘s recent changes such as higher minimum wages and flexible scheduling. The case refers to individual employee impact, but also to the cost as a company to make these types of changes.

Learning Goals 7.5 What is the four-component model of ethical decision making?

Topic: Decision making; Ethics; Moral awareness; Moral intensity Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Ask students to look up Tom Coughlin (former Walmart vice chairman convicted of fraud). Certainly, he is not representative of all of the executives at Walmart, but it sparks a question: If top executives lack moral sensitivity, what effect does this have on the behaviors of employees at lower levels?

Connect Exercise: Moral Identity Self-Assessment. As a result of this assessment, students are classified as having a high or low moral identity.

Moral identity is a person‘s self-identification as a moral person. A low moral identity is not equivalent to an immoral identity. A high moral identity means that one‘s sense of self more strongly centers on being compassionate, honest, and hardworking. A low moral identity is a lower level of this quality.

Learning Goals 7.1 What is trust, and how does it relate to justice and ethics?

7.5 What is the four-component model of ethical decision making?

Topic: Moral awareness Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Recent research questions whether moral identity is culturally-biased. The moral identity questionnaire predicts moral behavior in Western cultures, but not in non-Western ones. Show students a copy of the questions again. Ask them what about the questions may be biased toward a 2-141 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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Western interpretation. One of the reasons is that, in non-Western cultures, self-identity is intertwined with group identity.

C. Summary: Why Are Some Authorities More Trusted Than Others? (Review Figure 7-8, Effects of Trust on Performance and Commitment.)

XXVI. HOW IMPORTANT IS TRUST? A. Trust has a moderate positive effect on performance, because it influences an employee‘s ability to focus and because it fosters the development of a social (rather than merely economic) exchange relationship.

B. Trust has a strong positive effect on commitment, because trust increases the likelihood that an emotional bond will develop between employer and employee. i.

Driven by moral identity – the degree to which people see themselves as a ―moral person‖

XXVII. APPLICATION: CORPORATE SOCIAL RESPONSIBILITY A. The idea of corporate social responsibility acknowledges that organizations must take the economic, legal, ethical, and citizenship expectations of society into account when conducting their business DISCUSSION QUESTIONS 7.1

Which would be more damaging in organizational life--being too trusting or not being trusting enough? Why do you feel that way?

This discussion could parallel the discussion of the OB Assessment on trust propensity. When one is too trusting, one risks being taken advantage of, or entrusting important tasks to people who are not competent enough to do them.

That tendency could be damaging at times, certainly. However, not being trusting enough could create more daily wear-and-tear on an employee. Being suspicious requires monitoring and the creation of backup plans, both of which distract from task effort. Moreover, trusting others is an empowering experience that can build bonds between coworkers. Being suspicious too often could harm such relationships.

7.2

Consider the three dimensions of trustworthiness (ability, benevolence, and integrity). Which of those dimensions would be most important when deciding whether to trust your boss? What about when deciding whether to trust a friend?

If your two answers differ, why do they?

Benevolence may be most important when deciding to trust a friend, whereas ability and integrity may be most important when deciding whether or not to trust a boss. Friendships develop over time and are more emotion-based, whereas a 2-142

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professional relationship with a boss depends on respect for the boss’s skills, and the hope that the boss will keep his promises.

7.3

Putting yourself in the shoes of a manager, which of the four justice dimensions (distributive, procedural, interpersonal, informational) would you find it most difficult to maximize? Which would be the easiest to maximize?

Distributive justice is often the most difficult to maximize, just because managers may not have the discretion to allocate rewards according to a strict equity principle. Procedural justice can also be difficult to maximize as making decisions in a consistent, accurate, and unbiased work requires conscientious effort on the part of managers. In contrast, interpersonal and informational justice only require a commitment to engage in respectful and candid communication.

7.4

Which component of ethical decision making do you believe best explains student cheating: moral awareness, moral judgment, or moral intent? Why do you feel that way?

Reactions to this question could vary. Most will probably view it as an issue of moral intent, as students might understand that cheating is wrong but still do it due to GPA pressures or a pressure to keep up with one’s classmates. However, some practices, such as secretly collaborating on papers and sharing take-home assignments could be becoming murkier in a moral judgment sense (given the rise of collaborative, open-source resources such as Wikipedia).

7.5

Assume you were applying for a job at a company known for its corporate social responsibility. How important would that be to you when deciding whether to accept a job offer?

Students’ answers to this question will vary depending on their moral attentiveness or their moral identity.

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CASE: SALESFORCE Questions: 7.1

In what way do you think Salesforce’s 1-1-1 model makes the company appear more trustworthy to prospective customers or employees? Does it appeal more to perceptions of ability, benevolence, or integrity?

Although the model probably appeals to all three, it likely hits benevolence the strongest. Salesforce’s actions create the sense—among potential clients, recruits, and citizens—that it cares. That’s it’s about more than just returns to shareholders.

7.2

What other questions could be used to judge whether a company fosters equality, besides equal opportunity, fostering an inclusive culture, and caring about the gender pay gap?

Certainly those are some of the most critical elements. The causes that Salesforce gets involved in using its 1-1-1 model would be another element. In addition, retention rates and tenure lengths across groups would be another important indicator.

7.3

Salesforce’s data appeared to draw a connection between how well employees see equality being fostered and how committed and empowered they are. What kind of data could be gathered to draw that connection more rigorously?

The data described in the Salesforce study are all survey-based, and all collected a single point in time. More rigorous data would use something other than just surveys, and would gather independent variables before dependent variables.

For example, perceptions of equality and inclusivity gathered at one time period could be used to predict turnover months or years later.

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BONUS CASE: SEAWORLD (from 6th edition) What image comes to mind when you picture SeaWorld? Dolphins? Penguins?

Chances are it‘s a powerful majestic killer whale—or orca—jumping out of the water or splashing the audience with its tail. The company owns 89,000 animals in total, but it‘s the 29 orcas that have always gotten the lion‘s share of attention. After years of controversy, however, theatrical orca shows are being phased out at SeaWorld‘s parks.

The controversy over SeaWorld‘s orcas began in 2010 when a whale named Tilly killed a trainer. That incident led to an investigation by the Occupational Safety and Health Administration and—more famously—a scathing documentary called Blackfish. That film debuted at the Sundance film festival in 2013 and tied Tilly to two additional deaths, making the case that the whale became violent due to captivity. As Blackfish played widely on CNN and Netflix, more and more people expressed criticism of SeaWorld on social media. People for the Ethical Treatment of Animals (PETA) staged protests of SeaWorld, both at its parks and at the homes of its executives. The criticisms triggered

by Blackfish cut to the core of SeaWorld as a company. Its mission was to care for and train animals in captivity, with the film making the case that captivity itself was unethical.

Initially, the company responded in ways that only exacerbated the ethical issue. Aside from launching a combative public relations campaign, it also sent staff members ―undercover‖ as animal rights activists to spy on PETA. Joel Manby—SeaWorld‘s new CEO—has helped to steady the ship. It was Manby who made the decision to phase out the theatrical orca shows. He commissioned a ninemonth study that showed a majority of Americans thought that keeping large creatures in small spaces was unethical. It was also Manby who devoted SeaWorld to a more education- and conservation-focused mission. Such activities have always been in SeaWorld‘s DNA, as when it helped rescue hundreds of animals stranded on the California Coast in 2015. ―I really felt the company was getting a bad rap,‖ notes Manby. ―I wanted to help them get through this.‖ Manby‘s new vision for the park is ―experiences that matter.‖ Visitors will increasingly be taken ―behind the scenes‖ to see all the things that SeaWorld does to care for the planet and its creatures.

As is often the case with large companies, SeaWorld‘s responses to its ethical crises have been shaped, in part, by negotiations with government representatives. Before Manby was brought in, the company had been investigating a concept called BlueWorld: 50 feet-deep orca tanks with simulated currents that would allow whales to swim against moving water. The California Coastal Commission had approved the BlueWorld plan, but under the following stipulation: SeaWorld could no longer breed orcas. Once its 11 California orcas were no more, BlueWorld would have no occupants for its tanks.

As the company moved on from BlueWorld, a former congressman (and former cochair of the animal-welfare caucus) helped connect Manby with Wayne Pacelle—the CEO of the Humane Society. Once the two men got past the initial awkwardness of their exchanges, they began communicating regularly. Eventually, Manby brought Pacelle to 2-145 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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SeaWorld—his first ever trip to the park. There Pacelle was impressed by the rescue work that SeaWorld did. ―People who work there love animals; appreciation of animals is a bit part of their enterprise,‖ he noted. ―If you sit down, look at the other person, and see the complexity; you find you have more common ground than you might have imagined when lobbing cannonballs.‖ Indeed, Manby and Pacelle announced an initiative to fight shark finning—a practice that kills 75 million sharks a year.

Other negotiations involved John Reilly—the former president of SeaWorld San Diego and now the company‘s COO—and Richard Bloom—a California assemblyman. Bloom was in the process of authoring a bill that would have outlawed captivity, which would have dealt a fatal blow to SeaWorld. Reilly, Manby, and Bloom worked out a compromise, resulting in the Orca Protection Act. Not only would orca breeding be banned, but all theatrical shows using orcas would be phased out. They would be replaced by so-called ―encounters‖ with orcas in more natural-looking environments. Of course, no one knows what the future may bring, in terms of either activist or government pressure. After all, SeaWorld will continue to do theatrical dolphin and sea lion shows and continues to keep animals in captivity. When a company ―moves the line‖ in an area of its business that is ethically murky, it can be difficult to decide where that line should be repositioned.

Source: E. Fry, ―Swimming Upstream: Can a Bible-Studying, Love-Peddling Showman Save SeaWorld…from Itself?‖ Fortune, September 15, 2016.

Questions: 7.1

In terms of the four-component model, what effect did Blackfish seem to have on the public, as it altered its views of SeaWorld‘s theatrical orca shows?

Blackfish increased the moral awareness associated with having orcas in captivity. It was previously something that the public didn‘t seem to really think about. Once that moral awareness was triggered, the moral judgment associated with the orca shows seemed clear to many in the public.

7.2

If you consider the various moral principles described in Table 7-5, is there support for ending theatrical orca shows but not ending theatrical dolphin or sea lion shows?

The nonconsequentialist principles would not seem to argue for a distinction. If theatrical orca shows are ―wrong‖ from the perspective of liberty, consent, mercy, and so forth, then the other kinds of theatrical shows are also. The difference instead seems to be one of moral intensity, as there is simply less social consensus about theatrical dolphin or sea lion shows.

7.3

Activist groups like PETA exist, in part, to force companies to become more ethical in their practices. Looking back across decades, has that seemed to happen? What role does (or should) government play in such evolutions?

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Responses to this will vary, but it does seem that many causes have had their moral awareness (or their social pressure) increased over time. Often the role of government is to be somewhat of a follower to such trends, formalizing them and codifying them once they reach a critical mass socially.

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EXERCISE: UNETHICAL BEHAVIOR Instructions: Have students read the scenario in step 7.1. It‘s important that they not skip ahead and read 7.3, so impress upon them to just do step 7.1. Once they‘ve read the scenario, put the students in groups and have them come to consensus on three ideas for reducing employee theft at The Grocery Cart. Have them write the behaviors on the board, making sure to leave a bit of space for additional writing later.

Sample Ideas: Here‘s an example of the kinds of ideas students might come up with for reducing employee theft.

• Install cameras in stockroom.

• Post warnings about the consequences of being caught stealing.

• Offer store-level incentives for theft reduction.

Next Steps: Now have students read the continuation of the scenario in 7.3. In the context of Figure 7-6, this added information paints the situation at The Grocery Cart as a case of a ―bad barrel‖, not just some ―bad apples.‖ Theft seems to be a reaction to distributive and interpersonal injustices, much like the study described in Figure 7-5. It also seems to be fostered by a culture of poor ethics, with managers themselves committing or sanctioning unethical actions. Some groups will have focused on Drew in their original ideas. Those groups may or may not add any additional ideas to what they‘ve written on the board. Other groups won‘t have focused on Drew, however, so they‘ll add some ideas to their original three. Those ideas could include: • Fire Drew.

• Ensure that the pay levels for Grocery Cart employees are competitive.

Questions: If you examine the ideas that the groups wrote on the board, you‘ll typically see that the ideas are geared toward moral intent. The employees at the grocery cart are not sufficiently motivated to do the right thing. It‘s not clear that theft will be punished, and there‘s no clear incentive to help keep other employees in line. In fact, the employees actually seem to be incented to do the wrong thing, as they may be underpaid, they are the victim of disrespectful communication, and they are able to model their boss doing it. Given that, ideas that focus on increasing moral intent (cameras, warnings, incentives, better treatment of employees) will be quite common. One way to structure class discussion is to challenge students to come up with ideas that address the moral awareness or moral judgment portions of Figure 7-6. For moral awareness, The 2-148 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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Grocery Cart could hold a training session on the bottom-line costs of employee theft, to make the issue have more moral intensity. They could also prioritize moral attentiveness in their hiring process, either through interviews or personality testing (see the discussion of integrity testing in Chapter 9). For moral judgment, The Grocery Cart could gear a training session toward moral development, getting the employees to view theft from a more sophisticated set of moral principles (e.g., ethics of duties, ethics of rights, virtue ethics).

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OMITTED TOPICS The field of organizational behavior is extremely broad and different textbooks focus on different aspects of the field. A brief outline of topics that are not covered in this text, but which the professor might want to include in his or her lecture, is included below. In cases where these topics are covered in other chapters in the book, we note those chapters. In cases where they are omitted entirely, we provide some references for further reading.

•

Equity Theory – The dominant theory for explaining how individuals form perceptions of distributive justice. The theory argues that individuals compare their ratios of outcomes to inputs to those of a comparison other, feeling ―equity distress‖ whenever those ratios are imbalanced. This theory is covered in our discussion of motivation in Chapter 6.

•

Psychological Contract – An employee‘s belief about what he or she owes the company and what the company owes him or her. Differences in psychological contracts are very similar to differences in exchange relationships (as in the discussion of social vs. economic exchanges). Psychological contracts are covered in our discussion of commitment trends in Chapter 3.

Chapter 8: Learning and Decision Making

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NOTE FROM THE AUTHOR My name is Jason Colquitt, and I‘m the lead author on the Colquitt-LePine-Wesson textbook, Organizational Behavior. I‘m also the author of this Instructor‘s Manual and I want to encourage adopters to reach out to me if I can help in any way with the book.

I‘m happy to point you to video clips that complement our OB on Screen feature or to share the details of a research project on performance and commitment that I do with my students. I also created PowerPoints for earlier editions of the textbook that have extensive photos and vivid colors, along with narration notes from my own teaching. I‘m happy to share those PowerPoints with you, as the current PowerPoints are limited by new restrictions on photos and colors. I also have those files in Keynote form if you are a Mac user. In sum, I enjoy corresponding with adopters very much, so please do not hesitate to reach out to me. My email address is jason.colquitt@gmail.com.

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CHAPTER OVERVIEW This chapter identifies the importance of both tacit and explicit knowledge, and how they are acquired in an organization and used to make various types of organizational decisions. Programmed and nonprogrammed decision making is discussed, along with the factors that inhibit effective decision making, such as limited information, faulty perceptions, faulty attributions, and escalation of commitment.

LEARNING GOALS After reading this chapter, you should be able to answer the following questions: 8.1 8.2 8.3 8.4 8.5 8.6 8.7

What is learning, and how does it affect decision making?

What types of knowledge can employees gain as they learn and build expertise?

What are the methods by which employees learn in organizations?

What two methods can employees use to make decisions?

What decision-making problems can prevent employees from translating their learning into accurate decisions?

How does learning affect job performance and organizational commitment?

What steps can organizations take to foster learning?

CONNECT EXERCISES Workers Who Teach A.I. Systems to Think Strategic Knowledge Sharing at Starbucks Reinforcement Schedules iSeeIt! Animated Video: Contingent Consequences The Consequence of Whistle-Blowing Intuition iSeeIt! Animated Video: Model of Intuition Decision Making Overload Decision-Making Biases iSeeIt! Animated Video: Decision Making Heuristics Manager‘s Hot Seat—A Hurricane of a Choice Social Identity

Case Analysis Click and Drag* Click and Drag* Video Case Case Analysis Self-Assessment Video Case Video Case Click and Drag* Video Case Video Case Self-Assessment

*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

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CHAPTER OUTLINE XXVIII.

LEARNING AND DECISION MAKING

A. Learning reflects relatively permanent changes in an employee‘s knowledge or skill that result from experience.

B. Decision making is the process of generating and choosing from a set of alternatives to solve a problem.

XXIX. WHY DO SOME EMPLOYEES LEARN TO MAKE DECISIONS BETTER THAN OTHERS? A. Expertise refers to the knowledge and skills that distinguish experts from novices and less experienced people—these differences are almost always a function of learning.

B. Types of Knowledge 1. Explicit Knowledge – information that can be communicated verbally or in writing 2. Tacit Knowledge – information that is gained from experience Try This! Ask students to raise their hand if they consider themselves to be experts at something. Maybe you have expert musicians or athletes in the class, or maybe students are experts at certain hobby or task-related activities. Then ask some of the experts to explain how to do their skill to students who are novices at that activity. Are they able to articulate the tacit knowledge that they may have taken for granted?

OB at the Bookstore: Principles. In one of the more interesting books of the last couple of years, Ray Dalio tries to lay out the principles by which he makes decisions. Productive conversations around the book could go in one of two ways. First, engage students in a discussion of what it would be like to write a book detailing all of the principles you live by and how you go about making decisions for any possible problem that comes up. No wonder the hardcover is almost 600 pages long! Second, students could discuss working in an environment in which ―radical transparency‖ and ―idea meritocracy‖ are part of the framework for daily activities. Many people say they like the idea of people being brutally frank and honest with them, but that‘s not what more people really want. Dalio‘s Bridgewater Associates is known as being a company where employees regularly go to the bathroom and break down.

(See this chapter‘s bonus case for a detailed description of Bridgewater.)

How might a company go about setting up a system where every decision is

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made without emotion and all alternatives are evaluated rationally so the best idea wins out (idea meritocracy)?

Connect Exercise: Workers Who Teach A.I. Systems to Think Case Analysis. This case introduces students to the way artificial intelligence systems ‗learn‘ and the increased need for workers who have the ability to develop these systems. After the case, students answer questions about knowledge and learning.

Learning Goals 8.1 What is learning, and how does it affect decision making?

8.2 What types of knowledge can employees gain as they learn and build expertise?

8.6 How does learning affect job performance and organizational commitment?

Topic: Expertise, Knowledge and skill; Tacit knowledge Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: We don‘t often think about the ‗algorithms‘ people use in learning work behaviors. Ask students for examples of work behaviors that are complex at first and require explicit steps, but that become subconscious and fast. Discuss with the students how people develop cognitive shortcuts as they learn that don‘t require a conscious process. Some examples include a doctor diagnosis, conducting a customer return, running a machine of some kind, etc. How does an employee expert‘s subconscious performance of tasks make it difficult to teach new employees? What can a company do about this?

(Training manuals, procedure standardization, etc.)

Connect Exercise: Strategic Knowledge Sharing at Starbucks Click and Drag*. This exercise helps student distinguish between explicit and tacit knowledge. Students classify statements about the relationship Starbucks has with its suppliers. For example, Starbucks requires specific documentation to become a supplier (explicit) but relies on farmer knowledge about the subtle and unique tastes of the region (tacit). *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals

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8.2

What types of knowledge can employees gain as they learn and build expertise?

Topic: Knowledge and skill; Tacit knowledge Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Ask students to make a list of suggestions for first-year college students and classify them as explicit knowledge and tacit knowledge.

Try to get a balance of each. Which do they consider most valuable, explicit or tacit? Why? C. Methods of Learning 1. Reinforcement – People learn by observing the link between voluntary behavior and the consequences that follow it. a. Operant Conditioning Components i. Antecedent – condition that precedes behavior ii. Behavior – action performed by employee iii. Consequence – result that occurs after behavior b. Contingencies of Reinforcement i.

Positive Reinforcement – Positive outcome follows a desired behavior, increasing the likelihood that the behavior will appear again. 

To be successful, an employee must see a direct link between behavior and reward.

ii. Negative Reinforcement – Unwanted outcome is removed following a desired behavior, increasing the likelihood that the behavior will appear again. iii. Punishment – Unwanted outcome follows an unwanted behavior, decreasing the likelihood that the behavior will appear again. iv. Extinction – No consequence (either positive or negative) to a behavior, which decreases the likelihood that the behavior will appear again.

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c. Schedules of Reinforcement i.

Continuous reinforcement – specific consequence follows each and every occurrence of a desired behavior

ii. Fixed interval schedule – workers rewarded after a certain amount of time, and time between reinforcement stays the same iii. Variable interval schedule – workers rewarded after a certain amount of time, and time between reinforcement varies iv. Fixed ratio schedule – behaviors reinforced after a certain number of them have been exhibited v. Variable ratio schedule – people are rewarded after a varying number of exhibited behaviors vi. Variable schedules lead to higher performance than fixed schedules, but variable schedules are not always appropriate for work rewards (e.g. paychecks).

Connect Exercise: Reinforcement Schedules Click and Drag*. This exercise requires students to match descriptions of reinforcement used at work with the five types of reinforcement schedules. For each type of schedule, there is one matching fact about that type of schedule and one matching example of how it may be used in organizations. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 8.1 What is learning, and how does it affect decision making?

8.3 What are the methods by which employees learn in organizations?

Topic: Learning; Reinforcemen theory Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Reinforcement schedules cannot apply to learning for all types of work behaviors. Ask students to make a list of those behaviors that can be learned with reinforcement schedules, and those that may be harder to learn. (These tend to be quantifiable and observable behaviors versus 2-157 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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others.) Choose one or two on the ―difficult‖ list and ask students to try designing schedules. For example, ―being nice to customers‖ may include using customer comment cards that can be read and quantified. Think about types of jobs that don‘t have many quantifiable elements and how reinforcement schedules are still used effectively.

Connect Exercise: iSeeIt! Animated Video: Contingent Consequences.

This video uses animation to teach students about the contingencies of reinforcement. After the video, students answer questions regarding the types of reinforcement.

Learning Goals 8.3 What are the methods by which employees learn in organizations?

Topic: Reinforcement theory Difficulty Level: 2 = Medium Blooms: Understand AACSB: Knowledge Application Follow-Up Activity: One of the best ways to learn reinforcement principles is using them to solve problems. Ask students to solve a common problem at work or in the classroom. Require them to use each type of reinforcement – positive, negative, extinction, and punishment. For an even more difficult, longer assignment, ask them to use reinforcement schedules. Example work problems are theft, lateness, or browsing the internet too much. On the flip side, ask students to consider the use of reinforcement to encourage positive behaviors.

Connect Exercise: The Consequences of Whistle-Blowing Case Analysis. This case presents historical examples of famous whistle-blowers and suggests that managers can create an environment that supports open communication, unlike those in the case. Students answer questions about the types of reinforcement.

Learning Goals 8.1 What is learning, and how does it affect decision making?

8.3 What are the methods by which employees learn in organizations?

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AACSB: Knowledge Application Follow-Up Activity: Whistle-blowing is often glamorized, but this case highlights the negative side. A good climate for employee honesty and ethical voice needs reinforcement. What are ways a manager can reinforce employees to give suggestions, report problems, and feel comfortable in speaking out against unethical behavior?

2. Observation a. Social learning theory says that people in organizations learn by watching others. b. Behavioral modeling involves observing the actions of others, learning from what is observed, and then repeating the observed behavior (Figure 8-3). c. Four steps are involved in behavioral modeling: i. Attentional processes – learner must notice critical behaviors ii. Retention processes – learner must remember critical behaviors iii. Production processes – learner must reproduce critical behaviors iv. Reinforcement processes – learner must be rewarded for exhibiting critical behaviors 3. Goal Orientations – affect learning behaviors and outcomes a. Learning orientation – Building competence is seen as more important than demonstrating competence. i. Improves self-confidence, feedback-seeking behavior, learning strategy development, and learning performance b. Performance-prove orientation – Focus is on demonstrating competence so others will think favorably of the performer. c. Performance-avoid orientation – Focus is on demonstrating competence so other will not think unfavorably of the performer.

OB Assessments: Goal Orientation. This brief assessment will allow your students to determine their own goal orientation. Use a show of hands to see how many students fell above and below the average level, and see if students will volunteer any extremely high or low scores. Ask students how especially high and low levels of learning orientation impact the kinds of classes students sign up for, and the way they approach

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those classes. Then ask the same kinds of questions about performanceprove and performance-avoid orientations.

Please see the Instructor PowerPoints for Bonus Assessments on Workplace Learning Potential and Rational Decision Making.

Please see the Connect assignments for this chapter for assessments on Intuition and Social Identity.

Please email me at colq@uga.edu if you have any questions about using these assessments in your teaching.

D. Methods of Decision Making 1. Programmed Decisions a. Decisions that become somewhat automatic because a person‘s knowledge allows him or her to recognize and identify a situation and the course of action that needs to be taken i.

Often made using intuition – an emotionally charged judgment that arises through quick, unconscious, and holistic associations

Connect Exercise: Intuition Self-Assessment. Students are classified as having low intuition or high intuition. Low intuition indicates the student approaches decisions using a more systematic method, and high intuition indicates the student relies more on ‗gut‘ feelings.

Learning Goals 8.4 What two methods can employees use to make decisions?

Topic: Intuitive decision making Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Intuition occurs when we have subconscious realizations before conscious ones. Relying on a feeling, though, often ignores probability.

Ask students if they have a type of ‗four-leaf clover‘ item that they own – a certain set of lottery numbers, a lucky shirt for watching a favorite sports team, or a special pen for higher test grades. Is there any logic to the lucky item? If not, what purpose does it serve (maybe comfort, lessening anxiety, etc.)?

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Connect Exercise: iSeeIt! Animated Video: The Model of Intuition. This video illustrates how intuitive decision-making works. Students answer questions about intuition and its role in making decisions.

Learning Goals 8.4 What two methods can employees use to make decisions?

Topic: Intuition Difficulty Level: 2 = Medium Blooms: Understand AACSB: Knowledge Application Follow-Up Activity: Researchers have found that people have subconscious, physiological reactions to decisions long before they acknowledge having a ‗hunch,‘ and even longer before acting on that hunch.

Ask students to reflect on their last big decisions – buying a car, declaring a major, taking a job, etc. Did they act on a hunch? Do they remember any physiological cues like heart rate increasing, sweating palms, queasy stomach? Since hunches often are based in experience and observation, can they tie their hunch to logical reasons from the past or their learning?

2. Nonprogrammed Decisions a. Decisions made in situations that are new, complex, and not recognized b. Nonprogrammed decisions – best made using the rational decisionmaking model i. Determine the appropriate criteria for making a decision. ii. Generate a list of available alternatives. iii. Evaluate the alternatives against criteria. iv. Choose the solution that maximizes value. v. Implement appropriate solution. vi. Determine whether or not the solution delivers the expected outcome. c. Rational decision-making model does not take into account that people are not always rational.

OB on Screen: The Big Short. The clip referenced in the book begins around the 1:26:20 mark of the film, continuing until about the 1:28:20 mark. The clip in question is pretty short and can be expanded to include Mark Baum‘s (Steve Carrell) conversation with the arrogant financial 2-161 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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manager if you want more context around the financial crisis. However, the clip in question depicts Richard Thaler (who just won the Nobel Prize for Economics) and Selena Gomez (pop singer) demonstrating the ―hot hand fallacy‖ through the use of basketball and blackjack. It is a great way to introduce decision-making biases and faulty decision-making processes to the class (Table 8-4, Decision-Making Biases, is filled with errors that students love to talk about). Ask students if they ever feel that they have been on a ―hot streak‖ before in some scenario (if they are hold enough— using a casino as an example tends to resonate well) and probably overestimated the probability of a certain outcome. Why do they think they did that? It‘s worth having a conversation about how such a seemingly straight-forward decision-making error can have such calamitous consequences at the national level (financial crisis of 2008). Have students expand on some of the causes as to why individuals tend to make decisions that aren‘t perfectly rational. Do your best to come to conclusions that fall into the buckets of limited information, faulty perceptions, and faulty attributions. Please email me at jason.colquitt@gmail.com if you have any questions about using OB on Screen in your teaching.

Bonus OB on Screen (from 5th edition): Interstellar. The clip referenced in the book begins around the 1:25:32 mark of the film, continuing until about the 1:29:07 mark. If you have a copy of the DVD it begins at the Chapter 12 mark and goes about halfway through the chapter. The clip depicts a discussion amongst the astronaut/scientists as to which direction (planet) they should go as they continue their journey to save the human species from extinction. The clip is an excellent example of a group trying to go through the rational decision-making process together. Both alternatives have promising data to support them, but the crew only has enough resources to try one of them. Amelia lays out a strong case why the right decision lies with one alternative, but Cooper calls her out for making a decision in a non-rational way (Amelia is in love with a scientist that is on one of the two planets). He implores her to remember that she is a ―scientist‖ who is supposed to not allow information that might bias her decision making come into play. Have students develop a list of the things in their life (or things they have experienced on the job) that might affect their ability to make decisions in a rational way. Use Table 8-3, Rational Decision Making vs. Bounded Rationality, as a guide for why, as human beings, we are subject to bounded rationality. For those sympathetic with Amelia‘s plight of being in love with a scientist on one of the two planets - ask students if there is a time when ―love‖ makes us more rational. Some students may point out that, ultimately, even though the crew went the opposite direction— Amelia‘s choice would have been the correct one. If you are willing to spoil the movie yourself, you could be the one to bring up that fact. It‘s worth having a conversation that just because one might be ―biased‖ in certain 2-162 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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direction—that doesn‘t necessarily make the alternative wrong. The rational argument could still win out. They key is recognizing those biases and taking them into account when making the decision.

Bonus OB on Screen (from 4th edition): Star Trek into Darkness. The clip referenced in the book begins around the 1:19:56 mark of the film, continuing until about the 1:22:45 mark. The clip depicts the crew of the U.S.S. Enterprise being threatened by a much larger and more powerful Starship. Faced with few options, Captain Kirk (Chris Pine) appears to make the decision to attempt a solution that a) involves befriending a known enemy, Khan, and b) seems to have a very low probability of working. Kirk‘s first officer—Spock (Zachary Quinto), the ultimate rational thinker—is quick to remind him of this and the fact that as a captain, he has other responsibilities he needs to keep in mind. Kirk opens up to Spock about the fact that he is making a decision based on a ―gut feeling‖ because this option is all he can think of and he needs to do something (anything). The clip is an excellent opportunity to discuss rational vs. nonrational decision making. The two characters will likely be well known to most of the students in the class and both represent opposite ends of the continuum. A discussion of when to use both types of decision-making would be a fruitful discussion. It is worth pointing out the advantages of having people with different mindsets (diversity) when an important decision needs to be made. Kirk and Spock are effective together for this reason. Would there be an advantage to having people in a group play a role such as devil‘s advocate when members of a group are similar in the way they think? Why? A time of crisis like the one in this case is obviously one of those times where intuition can play an important role in effective decision making. Encourage your students to think of time where they have used their intuition in making a decision—have they ever followed the leadership of someone who was using their intuition but couldn‘t explain why they were making a certain decision? What made them trust their leader under that circumstance?

Bonus OB on Screen (from 3rd edition): The Karate Kid. The clip referenced in the book begins around the 1:09:43 mark of the film, continuing until about the 1:14:25 mark. The clip depicts Dre Parker (The Karate Kid) putting on and taking off the jacket, getting frustrated with the seemingly pointless process, and then Mr. Han (Jackie Chan) bringing through the lessons. The scene provides a chance to watch learning in action, including the passing on of somewhat tacit knowledge from a mentor to an apprentice. An interesting discussion in class could revolve around asking students to talk about times they did things for a job that were assigned to them by a mentor, thinking they were extremely boring at the time—even being angry about having to do them, but then coming to realize how valuable having done those tasks were later on when the job became more complicated or they were forced to make their own 2-163 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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decisions. Students generally can come up with multiple examples which leads to a fruitful discussion of the passing along of tacit knowledge. It is also worth pointing out that sometimes we are learning even when we don‘t realize it. Doing the same things over and over again helps us later on to process decisions more quickly. Ask the students for examples of these types of tasks that they learned to do quickly simply through repetition. Another topic for class discussion is where in a business environment can they watch an expert in order to learn from them. You can point out that every time they watch an executive make a speech or a manager deal with employees, they can take mental notes of what seems to work well and what doesn‘t. They can also note how outstanding performers at work differentiate themselves from average or poor workers—what habits do they have, what do they do on a daily basis that sets them apart? This type of behavioral observation is extremely important to learning in a company as we aren‘t always in a position to actually do the things we will have to perform at some point in the future.

Bonus OB on Screen (from 2nd edition): Harry Potter and the Order of the Phoenix. The clip begins around the 53:10 mark of the film, continuing until about the 1:00:00 mark. The clip depicts Harry Potter, Hermoine Granger, and Ron Weasley gathering together for a meeting with a group that becomes known as ―Dumbledore‘s Army.‖ This group decides (against the formal wishes of the school) to let Harry teach them how to use spells. The clip shows the group come to a consensus, find a place to practice, and begin. It also includes a cutaway scene in Professor Umbridge‘s class where she tries to make them learn solely out of a book (no wands). The scenes provide a case study about how individuals learn using different methods. One topic for class discussion is how different forms of information can be transferred. How does Harry use reinforcement and observation to teach his fellow students? What aspects of OB can really be taught through a book and which need to be learned through working? Are there aspects of the student‘s major that will never be learned in school? If one really wanted to take a risk, you might ask them why they get so much out of movie clips instead of simply reading about a topic in a book.

Bonus OB on Screen (from 1st edition): Star Trek: First Contact. The clip begins around the 31:11 mark of the film, continuing until about the 32:47 mark. The clip depicts Data, an android (robot) with an ―emotion chip‖ that can be turned on and off depending on the needs of the situation. In this scene, Captain Picard asks Data to turn off his emotion chip because the situation is dangerous and completely rational decision making is needed. One topic for class discussion is whether all decisions should be made rationally, even if it were possible to do so. Does emotion add something beneficial to decision making? Under what circumstances

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is emotional decision making desirable and under what circumstances is purely rational decision making desirable?

E. Decision-Making Problems 1. Limited Information a. Bounded rationality – Decision makers do not have the ability or resources to process all available information and alternatives to make an optimal decision. b. Satisficing – Decision makers often use the first acceptable alternative they encounter, rather than evaluating all alternatives to see which one is best.

2. Faulty Perceptions a. Selective perception – People see only those things in the environment that affect them and are consistent with their expectations. b. Projection bias – People project their own thoughts, attitudes, and motives onto other people. c. Social identity theory – People identify themselves by the groups to which they belong and perceive and judge others by their group memberships. d. Stereotypes –People make assumptions about others on the basis of their membership in a social group. e. Heuristics – People use simple, efficient, rules of thumb to make decisions more easily. i.

availability bias – the tendency for people to base their judgments on information that is easier to recall

Connect Exercise: Decision Making Overload Video Case. This video case helps students understand the limitations on rational decision processes. The content includes interesting results from recent research showing how people suffer from many decision errors. In particular, it covers how too much choice can impair our decisions.

Learning Goals 8.4 What two methods can employees use to make decisions?

8.5 What decision-making problems can prevent employees from translating their learning into accurate decisions?

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Topic: Bounded rationality; Decision making; Emotions; Intuitive decision making; Programmed decision; Satisficing Difficulty Level: 1 = Easy Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: One cause of decision overload is having too many options, as discussed in the video. People can become overwhelmed and frustrated, and they are generally less satisfied than if they had limited options. One reason is regret over the options they did not choose. Ask students to recall a time they had too much choice in a class, whether it was in structuring a project, picking a topic, or choosing group members. Ask students to suggest ways that professors can use boundaries and limited choices to lessen stress and decision regret?

Connect Exercise: Decision Making Biases Click and Drag*. This goal of this exercise is for students to better understand four biases: availability, anchoring, representativeness, and recency. Students read short scenarios about employees and match one to each bias. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 8.5 What decision-making problems can prevent employees from translating their learning into accurate decisions?

Topic: Anchoring bias; Availability bias; Decision making; Recency effect Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Most of what we discuss of decision biases and errors relates to their negative effects on outcomes. What about the positive effects?

Challenge students to come up with a scenario with a positive outcome for each of the biases in this exercise – availability, anchoring, representativeness, and recency.

Connect Exercise: Social identity Self-Assessment. This self-assessment gives students feedback about how much they identify with the university.

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Students are classified as being independent of the university or to identify with the university. Those who identify are more likely to see themselves as sharing traits of the university.

Learning Goals 8.5 What decision-making problems can prevent employees from translating their learning into accurate decisions?

Topic: Social identity theory Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Give students a list of companies with strong social identities. Some examples are Disney, Starbucks, Apple, or Deloitte. Ask students to define the stereotypical employee for each company (dress, personality, attitude)? For fun, you could ask student groups to draw a picture of each. Is there any value of the stereotype for the company? For the employee?

3. Faulty Attributions a. Fundamental Attribution Error – People have a tendency to judge others‘ behaviors as due to internal factors. i.

Self-serving bias suggests that people attribute their own failures to external factors, and their own successes to internal factors.

OB Internationally. This box examines the role biases play in assigning blame for major corporate accidents or breaches of ethics.

Note especially the role culture plays in determining who will be blamed for the problem—for example, in an individualistic culture, a single person will get the blame, while in a collectivistic culture, the entire organization accepts the blame.

ii. Decisions about the causes of behavior are linked to three judgments: 1) Consensus – Did others act the same way under similar situations?

2) Distinctiveness – Does this person tend to act differently in other circumstances?

3) Consistency – Does this person always do this when performing the task?

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4. Escalation of Commitment a. Refers to the decision to continue to follow a failing course of action F. Summary: Why Do Some Employees Learn to Make Decisions Better Than Others? (Figure 8-6) XXX. HOW IMPORTANT IS LEARNING? A. Learning has a moderate positive effect on job performance.

B. Learning has a weak positive effect on commitment.

XXXI. APPLICATION: TRAINING A. Organizations can improve learning by training, a systematic effort to facilitate the learning of job-related knowledge and behavior.

Try This! Ask students to share training experiences they‘ve had in jobs that they‘ve held. What method of instruction was used to impart explicit knowledge and tacit knowledge? What did the organizations do that was effective and what did they do that was ineffective?

B. Companies are heavily focused on knowledge transfer from older, experienced workers to younger, inexperienced workers.

1. Behavioral modeling training, pairs experienced workers with inexperienced workers so the inexperienced workers can observe and learn from the more skilled employees.

2. Communities of practice are groups of employees that work together and learn from one another by collaborating over an extended period of time.

C. The success of organizational training depends on transfer of training—when the knowledge, skills, and abilities gained in a class are actually used by the employee back on the job 1. Transfer of training is fostered when organizations create a climate for transfer—an environment that can support the use of new skills.

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DISCUSSION QUESTIONS 8.1

In your current or past workplaces, what types of tacit knowledge did experienced workers possess? What did this knowledge allow them to do?

Answers will vary from student to student, but for example, an experienced marketing professional might know whether or not an ad campaign would work just by glancing at it. This would enable him or her to tell whether or not the company should pitch a particular campaign to a client.

8.2

Companies rely on employees with substantial amounts of tacit knowledge. Why do companies struggle when these employees leave the organization unexpectedly? What can companies do to help ensure that they retain tacit knowledge?

Companies struggle when employees with tacit knowledge leave because tacit knowledge isn’t typically written down, and it is something that is difficult to transfer from one person to another without extensive interaction and observation. Companies can implement mentoring programs and techniques such as behavior modeling training and communities of practice to transfer tacit knowledge before it is lost.

8.3

What does the term ―expert‖ mean to you? What exactly do experts do that novices don‘t?

An expert is someone with exceptional knowledge or skills. Experts see problems differently and offer different solutions than novices do. Experts are often able to see how many things fit together, and they can see the ―big picture‖ more clearly than those with less experience do. Experts are able to deal with harder, more complex problems than novices can handle, and they typically solve problems more quickly than someone with less skill.

8.4

Do you consider yourself a ―rational‖ decision maker? For what types of decisions are you determined to be the most rational? What types of decisions are likely to cause you to behave irrationally?

Most people do consider themselves to be rational decision makers—very few of us actually believe that we make the kinds of decision errors suggested in this chapter of the text. The exercise at the end of this chapter can be an eyeopening experience for students who believe that they make all of their decisions rationally.

8.5

Given your background, which of the decision-making biases listed in the chapter did you most struggle with? What could you do to overcome those biases to make more accurate decisions?

Again, this answer will vary from student to student, but most people will benefit from taking more time to determine what the problem is before solving it, and to 2-169

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identify additional solutions prior to picking the one that they want to use. If students are managers, they should be well aware of the impact the fundamental attribution error has on performance reviews, but they should also know that simply being aware of the problem can go a long way towards solving it.

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CASE: SLACK Questions: 8.1

What are the issues (good and bad) with working for a company that uses a messaging application like Slack?

The answer to this question likely lies in how comfortable you are with the accuracy of the data being input into the system and the ongoing applicability of the principles upon which it makes decisions. Does a ―rational‖ decision always win out when it comes to making decisions about people who are inherently nonrational in their approach to many decisions? The rate at which people leave Bridgewater certainly suggests that not all people are.

8.2

What rules would a company need to put in place to ensure efficient use of Slack in order to help employees make better decisions?

Companies should develop a set of best practices for the use of Slack and make it clear to employees when Slack is likely to produce the best results. It would also be beneficial for a company to have a strong training program on how to take advantage of the new access to information that Slack has the potential to provide. If a company actually finds that its workers can’t let go of Slack in their off time, they might consider instituting some rules about access to Slack. (To be fair, that’s unlikely at most places, but there are companies who have installed ―no work‖ hours to lessen the pressure of their employees feeling that they need to always be ―on‖.)

8.3

How might artificial intelligence help employees to make decisions using the data that is stored in conversations that take place through Slack? Would you be comfortable with a company accessing all your messages?

Artificial intelligence could have ability to help employees make more rational decisions by providing an increased number of options in a shorter amount of time. At the end of the day, rational decision making hinges on our ability to judge as many alternatives as possible. If AI could somehow go through every time someone in the company made a similar decision – both looking at the alternatives that were considered, the similarity of situations, and the outcomes that came from them – it would give employees a huge leg up in terms of making future decisions. Employees might not be comfortable with a company having access to everything that gets posted, especially if many of those posts are social in nature. However, they had better get used to it as many companies already are.

BONUS CASE (from 6th edition): BRIDGEWATER ASSOCIATES 2-171 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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Bridgewater Associates LP, based in Westport, CT, (about an hour from New York City) is the world‘s largest hedge fund firm, managing $160 billion in investments. It is also a company whose 1,500 employees are doggedly focused on identifying mistakes and learning from them. Bridgewater records almost every conversation and every meeting between employees and analyzes them for mistakes and successes. The company requires employees to work in an environment of ―radical truth‖ and ―radical transparency.‖ What does that mean? Well, for one thing, it means that employees are expected to be as open and honest as possible with everyone and everything they come in contact with at work. This might mean speaking up when they feel a meeting is a waste of time. It also might mean telling a person in front of a room full of people that they are unprepared and their opinion didn‘t add value. In fact, the second worst thing you can do as an employee (dishonesty is first) is to say something about a person behind their back—the expectation is that you will say it to their face.

Much of this culture of transparency and truth comes from Bridgewater founder Ray Dalio (age 67) who moves between jobs (or at least job titles) such as CIO, CEO, and Mentor on a regular basis as he attempts to find a successor. The unquestioned leader regardless of his job title, Dalio describes the firm as an ―intellectual Navy Seals‖ and notes that the firm is ruled by a manifesto he created of 210 principles. Over 100 pages long, new employees are expected to have read these principles and act accordingly when they arrive to work. (Open to the public, a list of these principles can be found at www.principles.com.)

At the core of these principles is a desire for employees to learn and be independent thinkers and decision makers. The goal is that decisions inside the firm are made with full information and diversity of thought—ideas rule, not emotions. This also means that the expectation is that conflict will be a daily part of life. It‘s not an environment that fits everyone—20 percent of new hires leave within their first year. Sometimes the honesty is too much and employees can be found crying in the bathroom. However, many employees thrive in the environment. Dalio states that as a firm, ―our greatest power is that we know that we don‘t know and we are open to being wrong and learning.‖ One of the biggest challenges Bridgewater faces is the succession plan for the eventual departure of on-again, off-again CEO Ray Dalio. In March 2017, the Apple executive that was hired to potentially take over left after only 10 months on the job with Dalio posting online that ―We mutually agree that he is not a cultural fit for Bridgewater.‖ It‘s clear that Bridgewater‘s culture of transparency, decision making, and fostered conflict and disagreement is not for everyone. Dalio is now halfway through what he has termed a 10-year succession plan and there appears to be no clear answer as to who is going to carry on the torch of the company‘s ―principles‖ and ―radical transparency‖ (although Dalio has stated that he plans to remain at the company as a professional investor until he dies).

Dalio‘s solution could very well be a form of artificial intelligence—a software system designed to automate management decisions that has been known within the company 2-172 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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as the ―Book of the Future‖ and most recently by its formal name: PriOS (Principles Operating System). PriOS, once complete, is designed to automate management within the firm based on its guiding 210 principles. How might this work? Well, first the software needs data about the decisions made in the firm and the people that make them, which it will get from numerous sources such as from the battery of personality and cognitive tests that every employee in the company takes. In addition, employees rate one another‘s performance via an iPad application known as the ―Dot Collector‖ on a daily basis. Information is also gathered via snap polls taken in meetings and staff take daily multiple-choice quizzes on management issues that occur within the company (correct and incorrect answers are logged over time).

These inputs are then processed by the operating system against Dalio‘s Principles and ideally this results in direct information on whom to hire, fire, or employ in a specific situation, and even to provide detailed directions for employees on day-to-day tasks.

Recent former employees have felt that working at Bridgewater has been like a giant experiment in human decision making. All employees have their own ―baseball card‖ that anyone can see, which identifies their strengths and weaknesses on certain dimensions. Dalio plans for nearly 75 percent of the management decisions made at Bridgewater to be determined by PriOS within the next five years. In essence, the software will potentially be the embodiment of Ray Dalio after he is gone.

Questions: 8.1

How would you like to work for a company whose management decisions are primarily made by a computer (potentially in the image of its founder)?

The answer to this question likely lies in how comfortable you are with the accuracy of the data being input into the system and the ongoing applicability of the principles upon which it makes decisions. Does a ―rational‖ decision always win out when it comes to making decisions about people who are inherently nonrational in their approach to many decisions? The rate at which people leave Bridgewater certainly suggests that not all people are.

8.2

Could a different firm without such detailed, strong ―principles‖ do the same thing as Bridgewater?

Most firms strive to have their workforce make rational decisions—clearly though, few take it to the extreme that Bridgewater does. Radical transparency with one’s coworkers is not easy, it is likely a learned behavior given the social norms most people grow up with. A firm that sets out to accomplish the same thing would have to go through a lot of steps to copy it.

8.3

Do you see the creation of PriOS as a potential competitive advantage for Bridgewater or as something that won‘t survive long term after Dalio is gone?

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The ―principles‖ are public information—Dalio recently released an entire book on his process. Going back to Chapter 1, to be a true competitive advantage, PriOS would have to be inimitable and ongoing. As a software program, it certainly could be imitated, the real question is whether other firms could acquire the data used to populate the decisions it makes. Bridgewater will certainly have a major headstart. The biggest issue of PriOS being a competitive advantage will be whether future leaders have the same confidence in the system that Dalio did. As a leader, he is certainly a force to be reckoned with. To the degree that new leaders don’t—it isn’t likely to last.

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EXERCISE: DECISION-MAKING BIAS Answers to Questions in Text: A. b

Because probabilities are not linked, you have to consider each hospital as a separate entity, and each day as a separate occasion. Sampling theory entails that the expected number of days on which more than 60 percent of the babies are boys is much greater in the small hospital than in the large one, because a large sample is less likely to stray from 50 percent.

B.

In prior studies 85 percent of respondents choose option b. The ―more likely‖ answer though mathematically is clearly option a. The probability of two events occurring together is always less than or equal to the probability of either occurring alone. (If b is true, a must be true by definition. However, if a is true, b does not have to be true.) People who answer b fall prey to the representativeness heuristic because b seems more representative of Linda based on the description of her.

b

C. 41% This question requires that you think about underlying probabilities, and is a good example of the impact of representativeness bias on decision making, since most students answers will range from 50 percent to 80 percent probability that the cab was correctly identified as Blue.

The correct answer, found using Bayes‘ theorem, is lower than these estimates: • • • •

D.

There is a 12% chance (15% times 80%) of the witness correctly identifying a blue cab.

There is a 17% chance (85% times 20%) of the witness incorrectly identifying a green cab as blue.

There is therefore a 29% chance (12% plus 17%) the witness will identify the cab as blue.

This results in a 41% chance (12% divided by 29%) that the cab identified as blue is actually blue.

Most students will pick ―a‖ in Decision I and ―b‖ in Decisions II and III, not realizing that statistically, all of these choices are equal. This is an excellent example of framing, where the way in which a question is asked influences the decision a person makes. Kahneman and Tversky found that when questions were framed positively (a sure win), people were less likely to take risks, but when questions were framed negatively (a sure loss), people were more likely to take risks, even if the risk in both cases was the same.

E and F. Most students will answer ―no‖ to E, but ―yes‖ to F, again, not realizing that the two choices are exactly equal from a rational point of view. In both cases, the person who chooses to buy a new ticket will be down $80 by the end of 2-175 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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the evening. The difference is the perception that one has spent $80 on buying the same ticket twice, versus spending $40 on a ticket and simply losing the other $40. This is a good place to discuss escalation of commitment, as well as sunk costs.

G.

Surgery. The trick here is looking at the probability of survival at the end of the treatment, not just looking at initial survival probabilities. Show students that this same question can also be asked in the following way: Would you choose surgery, which has a 44% probability of survival at the end of five years, or radiation, which has a 22% probability of survival at the end of five years?

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OMITTED TOPICS The field of organizational behavior is extremely broad and different textbooks focus on different aspects of the field. A brief outline of topics that are not covered in this text, but which the professor might want to include in his or her lecture, is included below. In cases where these topics are covered in other chapters in the book, we note those chapters. In cases where they are omitted entirely, we provide some references for further reading.

•

Team Decision Making – Many of the most important decisions made in organizations are entrusted to teams. Team decision making is affected by a unique set of issues, including the distribution of information within the team and the degree to which the team censors or pressures its members. The factors that affect team decision making accuracy are covered in our discussion of team processes in Chapter 12.

•

Self-Efficacy – One byproduct of the modeling process described by social learning theory is an increase in self-efficacy, a sort of task-specific selfconfidence. Self-efficacy is covered in our discussion of motivation in Chapter 6.

•

Ethics in Decision Making – Aside from making accurate decisions, managers must also attempt to make ethical decisions. A model of ethical decision making (including issues such as moral awareness, moral judgment, and moral intent) is included in our discussion of ethics in Chapter 7.

•

Weiner‘s Model of Attribution – This model describes how individuals‘ attributions for their own success or failure can go on to impact their future self-esteem and performance. For example, the model suggests that successes that are attributed to ability and effort, as opposed to luck, will be associated with strong increases in self-esteem and performance. For more on this, see: Weiner, B. ―An Attributional Theory of Achievement Motivation and Emotion.‖ Psychological Review (1985), pp. 548-73.

Chapter 9: Personality and Cultural Values

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NOTE FROM THE AUTHOR My name is Jason Colquitt, and I‘m the lead author on the Colquitt-LePine-Wesson textbook, Organizational Behavior. I‘m also the author of this Instructor‘s Manual and I want to encourage adopters to reach out to me if I can help in any way with the book.

I‘m happy to point you to video clips that complement our OB on Screen feature or to share the details of a research project on performance and commitment that I do with my students. I also created PowerPoints for earlier editions of the textbook that have extensive photos and vivid colors, along with narration notes from my own teaching. I‘m happy to share those PowerPoints with you, as the current PowerPoints are limited by new restrictions on photos and colors. I also have those files in Keynote form if you are a Mac user. In sum, I enjoy corresponding with adopters very much, so please do not hesitate to reach out to me. My email address is jason.colquitt@gmail.com.

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CHAPTER OVERVIEW This chapter introduces students to the concept of the ―Big Five‖ dimensions of personality—conscientiousness, agreeableness, neuroticism, openness to experience, and extraversion. The evidence linking these traits to performance and commitment is explored. The chapter also describes cultural values, such as individualism-collectivism, power distance, and uncertainty avoidance, which combine to give nations a sort of cultural personality.

LEARNING GOALS After reading this chapter, you should be able to answer the following questions: 9.1 9.2 9.3 9.4 9.5 9.6 9.7

What is personality? What are cultural values?

What are the ―Big Five?‖ Is personality driven by nature or by nurture?

What taxonomies can be used to describe personality, other than the Big Five?

What taxonomies can be used to describe cultural values?

How does personality affect job performance and organizational commitment?

Are personality tests a useful tool for organizational hiring?

CONNECT EXERCISES Personality Meets Preparation at Teach for America The Big Five Locus of Control Employee Eco-Innovation The RIASEC Model of Personality Hofstede‘s Cultural Values Manager‘s Hot Seat: Cultural Dimensions Collectivism

Case Analysis Click and Drag* Self-Assessment Case Analysis Click and Drag* Click and Drag* Video Case Self-Assessment

*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

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CHAPTER OUTLINE I. PERSONALITY AND CULTURAL VALUES Try This! Open the class by asking students to describe someone (for example, their first college roommate). Ask them to give you adjectives that describe the person while you write the adjectives on the board. As adjectives are listed, try to put them into five separate columns representing the conscientiousness-agreeablenessneuroticism-extraversion-openness (CANOE) dimensions of the Big Five. If a trait represents a low levels of a given dimension (e.g., ―lazy‖ for conscientiousness) put it in parentheses. Decline to include any adjectives that actually get at ability rather than personality (e.g., ―smart‖). You may need to prod students a bit to come up with openness adjectives. This process should eventually result in a table like Table 9-1, The Neutral Objects Questionnaire (aka The ―Gripe Index‖). Once the discussion slows down, see if students recognize the categories you‘ve created on the board, thereby illustrating how good of a job the Big Five does at describing what people are like.

D. Personality 1. The structures and propensities inside a person that explain his or her characteristic patterns of thought, emotion, and behavior 2. Captures what people are like, as opposed to ability, which captures what people can do E. Traits 1. Recurring regularities or trends in people‘s responses to their environment 2. A function of genes and environment F. Cultural Values 1. Shared beliefs about desirable end states or modes of conduct in a given culture 2. Influence the expression of traits XXXII. HOW CAN WE DESCRIBE WHAT EMPLOYEES ARE LIKE? A. Big Five Taxonomy 1. All traits can be classified into five broad factors that summarize personality.

These factors include:

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a. Conscientiousness b. Agreeableness c. Neuroticism d. Openness to Experience e. Extraversion OB Assessments: The Big Five. This brief survey provides students with an idea of where they stand on each of the ―Big Five‖ measures of personality.

As you get to each of the Big Five during lecture, use a show of hands to see how many students fell above or below the average level (note, you may want to skip this step for neuroticism). You will typically find that most students are high on conscientiousness. This makes sense given that the students (a) made it into their current program of study, (b) successfully passed multiple semesters in their program of study, and (c) showed up for class on this particular day. Students may find it interesting to compare their results on this test with their results on the complete version of the same test (300 item), which can be accessed without charge at http://www.personal.psu.edu/j5j/IPIP/ipipneo300.htm. The longer version gives students feedback on specific facets of each of the Big Five, facets that are not discussed within the chapter. For example, the longer version gives students feedback on six facets of extraversion: friendliness, gregariousness, assertiveness, activity level, excitement seeking, cheerfulness.

Please see the Instructor PowerPoints for a Bonus Assessment on Power Distance.

Please see the Connect assignments for this chapter for assessments on Collectivism and Locus of Control.

Please email me at colq@uga.edu if you have any questions about using these assessments in your teaching.

Connect Exercise: Personality Meets Preparation at Teach for America Case Analysis. This case analysis discusses the importance of personality in selecting teachers for the Teach for America program. The program requires new teachers to be flexible, self-starters who are open to new experiences.

Questions that follow the case are about the Big Five Model.

Learning Goals 9.2 What are the ―Big Five?‖ 9.6 How does personality affect job performance and organizational commitment?

Topic: Big Five Model; Conscientiousness; General cognitive ability; Job performance; Neuroticism

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Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Ask students what they think is more effective – a team with members who have varied Big Five traits or similar Big Five traits. What are the benefits of diversity in personalities and what are the negatives?

Connect Exercise: The Big Five Click and Drag*. This exercise asks students to match each Big Five Model trait to a description of a job candidate. The purpose is to increase student ability to apply the Big Five traits to a real situation. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 9.1 What is personality? What are cultural values?

9.2 What are the ―Big Five?‖ Topic: Big Five Model; Conscientiousness; Extraversion; Neuroticism Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Assign students to go to a job posting site like monster.com or indeed.com. Students should look at job postings that suggest preferences for Big Five traits. They will want to use synonyms for the traits such as outgoing (extraversion), hardworking (conscientiousness), calm (neuroticism), etc. It is interesting to see what words students choose to search with and types of job descriptions they find.

2. Nature vs. Nurture Debate a. Is personality a function of our genes or is it something that we develop as a function of our experiences and surroundings? b. Twin studies

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i.

Extraversion scores are significantly correlated across pairs of identical twins. Forty-nine percent of variation in extraversion is accounted for by genetic differences.

ii. Similar research shows 45 percent for openness, 41 percent for neuroticism, 38 percent for conscientiousness, and 35 percent for agreeableness. c. Longitudinal studies i.

If personality has a large genetic component, it shouldn‘t change over time.

ii. Extraversion remains stable over lifespan, as does openness to experience (after a sharp increase from teenage years to college age).

These two traits are most dependent on one‘s genes. iii. People get more conscientious, more agreeable, and less neurotic from their teenage years to their 40s, 50s, and 60s, but changes are very gradual.

3. Conscientiousness a. Conscientious individuals are dependable, organized, reliable, ambitious, hardworking, and persevering. b. Conscientiousness has the biggest influence on job performance of any of the Big Five. i.

Conscientious individuals prioritize accomplishment striving, which reflects a strong desire to accomplish task-related goals as a means of expressing one‘s personality.  

 

One study shows that conscientious salespeople set higher sales goals for themselves.

Another study shows salespeople‘s organizational skills were valuable during their first year of employment, with their ambitious nature becoming more critical as they gained tenure and experience.

Research study shows that childhood conscientiousness ratings are correlated with career success five decades later.

Conscientiousness has also been shown to be negatively related to mortality, including death from injuries, death from cardiovascular disease, and death from cancer, probably because conscientiousness was negatively related to alcohol consumption and smoking during adulthood.

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4. Agreeableness a. Agreeable individuals are warm, kind, cooperative, sympathetic, helpful, and courteous. b. Agreeable individuals prioritize communion striving, which reflects a strong desire to obtain acceptance in personal relationships as a means of expressing one‘s personality. c. Communion striving is beneficial for some jobs, but detrimental to others. i.

Agreeable individuals tend to have strong customer service skills, because they tend to react to conflict by walking away, adopting a ―wait and see‖ attitude, or giving in to the other person.

d. A ―lived day‖ study shows that agreeable individuals tend to spend more time in public places, are less likely to use swear words and more likely to use words that convey personal rapport during conversations.

5. Extraversion a. Extraverted individuals are talkative, sociable, passionate, assertive, bold, and dominant (in contrast to introverts, who are quiet, shy, and reserved). b. Of the Big Five, extraversion is the easiest to judge in zero acquaintance situations—situations in which two people have only just met. c. Extraverted people prioritize status striving, which reflects a strong desire to obtain power and influence within a social structure as a means of expressing one‘s personality. d. Extraverts are more likely to emerge as leaders in social and task-related groups. e. Extraverts are rated as more effective in leadership roles by their followers. f. Extraverts are more satisfied with their jobs—they tend to by high in positive affectivity—a dispositional tendency to experience pleasant, engaging moods such as enthusiasm, excitement, and elation. i.

Genetics account for about 30 percent of the variation in job satisfaction, primarily due to extraversion and neuroticism.

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g. Extraversion is also associated with positive life events such as getting a raise at work and getting married or engaged. However, extraverts have less frequent interactions with their families.

6. Neuroticism a. Neurotic individuals are nervous, moody, emotional, insecure, and jealous. b. Neuroticism is negatively related to job performance for most jobs. c. Neuroticism is synonymous with negative affectivity—a dispositional tendency to experience unpleasant moods such as hostility, nervousness, and annoyance. i.

Negative affectivity explains why neurotic individuals have lower job satisfaction than less neurotic people.

d. Neuroticism is also responsible for the Type A Behavior Pattern. It is associated with a differential exposure to stressors (where individuals perceive more stressors in daily life) and with a differential reactivity to stressors (where individuals are less able to successfully cope with stressors. e. Neuroticism is also strongly related to an external locus of control, where individuals attribute the causes of events to the external environment, rather than themselves.

Connect Exercise: Locus of Control Self-Assessment. This selfassessment gives students feedback on having an external or internal locus of control. Those with internal locus of control see themselves as controlling their own behavior. Those with external locus of control see events as largely controlled by environmental factors.

Learning Goals 9.2 What are the ―Big Five?‖ Topic: Locus of control Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Ask students if a company could be characterized as having an internal locus of control, or as having an external locus of control.

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What would be the implications for how business is conducted, both positive and negative for each?

7. Openness to Experience a. Open individuals are curious, imaginative, creative, complex, refined, and sophisticated. b. Openness is not significantly related to job performance across jobs, but becomes more important in jobs that are fluid and dynamic, or that require high levels of creative performance. i.

Together with cognitive ability, openness helps individuals excel at creative thought, which has a significant influence on creative performance.

Try This! Put the contents of Figure 9-5, Tests of Creative Thinking, on a series of slides and ask the students who have not already read the chapter to try to figure out the answers to the tests of creative thinking (note that the answers are in the Takeaways section of the chapter). Have students raise their hands or tap the desk when they think they know the answers. Did the individuals who excelled at this test also score high on openness in the OB Assessments? You might also explore the two URLs in the table note to look for some other creativity puzzles that you could introduce during class.

Connect Exercise: Employee Eco-Innovation Case Analysis. Some of the best innovations are from employees because they are the ones who work on the product or process directly day-to-day. This case analysis discusses employee eco-innovations, or environmental improvements to processes and products that are discovered by employees.

Employees are encouraged to develop these improvements, but they may not have the openness to experience that can contribute to creativity, and they may be in jobs that do not otherwise require creativity.

Learning Goals 9.2 What are the ―Big Five?‖ Topic: Big Five Model; General cognitive ability; The creative process Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application

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Follow-Up Activity: Students can discuss the range of creativity that is required in jobs. Typically, we may think of jobs as being ‗creative‘ or not.

However, creativity can be found in most professional jobs, more or less depending on the specific position. Give students a list of jobs that BBAs may get upon graduation (e.g., accountant, financial advisor, salesperson, human resources representative). Then, ask them to rank the jobs in order of which would require the most to least creativity. Students are likely to bring up the fact that it depends what type of industry and organization. Discuss with students that creativity (and openness) is measured in a range, not as a yes/no. Ask them to take a position like accountant and then define a type of accounting job that would require high creativity, one that would require moderate creativity, and then one that would require low creativity.

B. Other Taxonomies of Personality 1. Myers-Briggs Type Indicator a. Evaluates people on the basis of four types of preferences: i.

Extraversion (being energized by people and social interactions) versus Introversion (being energized by private time and reflection)

ii. Sensing (preferring clear and concrete facts and data) versus Intuition (preferring hunches and speculations based on theory and imagination) iii. Thinking (approaching decisions with logic and critical analysis) versus Feeling (approaching decisions with an emphasis on others‘ needs and feelings) iv. Judging (approaching tasks by planning and setting goals) versus Perceiving (preferring to have flexibility and spontaneity when performing tasks) OB at the Bookstore: The Four Tendencies. The author describes her fourquadrant taxonomy of personality, based on how people respond to outer expectations and inner expectations. After explaining the two axes and the four quadrants, poll the class on who self-identifies as an Upholder, a Questioner, an Obliger, and a Rebel. Do the percentages differ than the ones found in the box?

If so, ask the students why that might be. Then come up with jobs that might be especially suited to each of the four quadrants.

2. Interests a. Holland‘s RIASEC Model

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i.

People are characterized by six different personality types a. Realistic: Enjoy practical, hands-on, real-word tasks. Tend to be frank, practical, determined, and rugged. b. Investigative: Enjoy abstract, analytical, theory-oriented tasks. Tend to be analytical, intellectual, reserved, and scholarly. c. Artistic: Enjoy entertaining and fascinating others using imagination. Tend to be original, independent, impulsive, and creative. d. Social: Enjoy helping, serving, or assisting others. Tend to be helpful, inspiring, informative, and empathic. e. Enterprising: Enjoy persuading, leading, or outperforming others.

Tend to be energetic, sociable, ambitious, and risk-taking. f. Conventional: Enjoy organizing, counting, or regulating people or things. Tend to be careful, conservative, self-controlled, and structured.

Connect Exercise: The RIASEC Model of Personality Click and Drag*.

The RIASEC model is one way to classify people according to their personality type. The model suggests that employees will have more career satisfaction, job knowledge and longevity if their occupations match their personality type. Students read employee statements and match them with parts of the RIASEC model. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 9.1 What is personality? What are cultural values?

9.4 What taxonomies can be used to describe personality, other than the Big Five?

Topic: Traits Difficulty Level: 2 = Medium Blooms: Analyze AACSB: Analytical Thinking

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Follow-Up Activity: The RIASEC model is specifically focused on careers.

Ask students to classify themselves in the model and given an example of how their work preferences match that type. We don‘t always get to choose the type of behaviors that are expected of us at work. Are any of the students currently employed (or have been employed in the past) somewhere that a different type of person would have been a better fit? How did the student know he or she was not a good fit (e.g., discomfort, bored, low performance, etc.)?

C. Cultural Values 1. Culture is the shared values, beliefs, motives, identities, and interpretations that result from common experiences of members of a society and are transmitted across generations. Most cross-cultural research focuses on shared cultural values, which come to reflect the way things should be done in a given society.

2. Hofstede‘s taxonomy of cultural values a. Individualism-Collectivism b. Power Distance c. Uncertainty Avoidance d. Masculinity-Femininity e. Short-Term vs. Long-Term Orientation 

U.S. citizens tend to be high on individualism, low on power distance, low on uncertainty avoidance, high on masculinity, and high on shortterm orientation.

Connect Exercise: Hofstede’s Cultural Values Click and Drag*. Students match descriptions of companies to the corresponding classification in Hofstede‘s model. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 9.1 What is personality? What are cultural values?

9.5 What taxonomies can be used to describe cultural values?

Topic: Collectivism; Cultural values; Femininity; Individualism; Masculinity; Power distance Difficulty Level: 3 = Hard Blooms: Analyze 2-190 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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AACSB: Analytical Thinking Follow-Up Activity: Consider a corporate culture that tends toward collectivism versus one that tends toward individualism. Ask students to give a list of characteristics of each. Give them categories to help structure their answers – work environment, goals, rewards, leadership styles, and social relationships. Examples are group vs. individual rewards, or collective vs. individual decision making. After composing lists, follow up with the same question about behavior in different industries. Examples include real estate sales (individualism) vs. software design (collectivism).

Connect Exercise: Manager’s Hot Seat: Cultural Dimensions. This Manager‘s Hot Seat video shows a U.S. manager negotiating with an Asian counterpart. The U.S. manager fails to understand the nonverbal and verbal communication errors he is making. Questions following the video ask about Hofstede‘s model, norming in groups, and misunderstanding others‘ goals.

Learning Goals 9.5 What taxonomies can be used to describe cultural values?

Topic: Cultural values Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Assign students to interview someone who has worked in another country for an extended period of time. The student should ask (1) what was one work conversation that was difficult due to cultural communication differences, and (2) what the person thinks is most important to know about communicating in cross-cultural business situations.

3. Project GLOBE‘s taxonomy of cultural values a. Includes many of the same dimensions as Hofstede‘s work, including power distance, uncertainty avoidance, and collectivism. Also includes the following dimensions: b. Gender egalitarianism c. Assertiveness d. Future Orientation e. Performance Orientation f. Humane Orientation

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

U.S. citizens are described as Anglo in the GLOBE formulation, and should tend to score near the middle on most of the dimensions.

OB on Screen: Black Panther. The clip referenced in the book begins around the 33:10 mark of the film, continuing until about the 37:05 mark. The clip depicts conversations that King T‘Challa has with his ex-girlfriend Nakia and his friend W‘Kabi. Those two members of his inner circle are at opposite poles in a debate about isolationism. Nakia wants Wakanda to reveal its technology and resources to the world, in order to reach out and help other countries. W‘Kabi wants to remain hidden, as outside connections bring outside problems. Ask the students which of Hofstede‘s and Project GLOBE‘s dimensions can be situated within this isolationism debate? Given that Nakia and W‘Kabi are both from Wakanda—from within the same culture—why might they have different views on the subject? One key lays in the nature of their jobs, as Nakia is tasked with observing the outside world, with W‘Kabi tasked with protecting Wakanda‘s border. Please email me at jason.colquitt@gmail.com if you have any questions about using OB on Screen in your teaching.

Bonus OB on Screen (from 6th edition): La La Land. The clip referenced in the book begins around the 18:40 mark of the film, continuing until about the 26:33 mark. The clip depicts Sebastian before and during his piano gig at a local restaurant. Focus the discussion on Sebastian‘s personality traits. What adjectives would the students use to describe him? What Big Five dimensions do those adjectives fall under? What careers would someone like Sebastian be most successful in, given the constraints of his personality profile?

Bonus OB on Screen (from 5th edition): Boyhood. The clip referenced in the book begins around the 1:43:08 mark of the film, continuing until about the 1:46:16 mark. The clip depicts a teacher, Mr. Turlington, trying to get through to Mason Evans Jr., a student with a talent for photography but with a questionable work ethic. Focus the discussion on Mr. Turlington‘s speech to Mason. Do the students think the teacher did a good job of trying to get through to his student, in a way that might increase his conscientiousness?

What might they have done differently? Then focus the discussion on where conscientiousness ―comes from?‖ What role do the students think is played by parenting, by friends, by genetics, and by other factors?

Bonus OB on Screen (from 4th edition): White House Down. The clip referenced in the book begins around the 15:19 mark of the film, continuing until about the 19:37 mark. The clip depicts Agent Carol Finnerty interviewing John Cale for a job with the secret service. The interview references a number of data points that suggest Cale to be unconscientious, including bad grades, a bad credit score, and the failure to finish things. Ask the students whether those kinds of data points are valid—whether they are job-relevant enough to be ―used against‖ Cale during the interview. If they were Agent 2-192 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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Finnerty, would they hire Cale? Few jobs require the intense conscientiousness of the secret service, but many students will find themselves in Agent Finnerty‘s role at some point: interviewing a candidate and guessing at their conscientiousness. What data points might the students look for?

Bonus OB on Screen (from 3rd edition): The Adjustment Bureau. The clip referenced in the book begins around the 14:17 mark of the film, continuing until about the 28:34 mark. The clip depicts David Norris as he accidentally encounters the agents of the Adjustment Bureau, who are attempting to adjust his path through life (by making him late to his office as they alter a key investment decision by his boss). Focus discussion on what the students would do if they found themselves in David‘s place. Would they go along with the agent‘s orders, or would they take their lives into their own hands? Do students really feel that there is some sense of ―fate‖ that influences what happens in their lives? How many of the students agree with the external option in the top row of Table 9-2, External and Internal Locus of Control, and how many agree with the internal option? What are the benefits associated with an external locus of control, and what are the benefits associated with an internal one?

Bonus OB on Screen (from 1st and 2nd edition): The Break-Up. The clip referenced in the book begins around the 6:17 mark of the film, continuing until about the 12:36 mark. The clip depicts Gary and Brooke at work in their respective jobs. Once Gary joins Brooke at home to prepare for a dinner party, the contrasts in their personalities become more obvious. Brooke is very conscientious whereas Gary is not. Gary failed to do what Brooke asked when he was on his way home, and now chooses to lounge around instead of help Brooke get ready for the party. Class discussion could focus on whether conscientiousness is more important in a significant other or in a coworker.

What can be done when two people have to work or live together but have different conscientiousness levels? Discussion could also focus on positive aspects of Gary‘s personality. For example, Gary seems particularly extraverted, which helps in jobs with direct customer contact.

Connect Exercise: Collectivism Self-Assessment. This self-assessment classifies students as tending toward individualism or tending toward collectivism. Individualism suggests favoring rewards for individual achievement, while collectivism suggests favoring rewards for group achievement.

Learning Goals 9.5 What taxonomies can be used to describe cultural values?

Topic: Collectivism

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Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Ask students if they agree with their results. Do they tend to prefer group rewards if classified as collectivist, or individual rewards if classified as individualist? Do they see this as a defining value that they need to consider in their job search?

4. The bulk of the cross-cultural research in OB has focused on collectivism, showing that highly collective individuals tend to exhibit better task performance and more citizenship behavior when working in team settings, relative to individualists. They also tend to feel higher levels of affective and normative commitment than individualists.

5. Differences in cultural values create differences in reaction to change, conflict management styles, negotiation approaches, and reward preferences. a. Differences in cultural values can be problematic if employees are high in ethnocentricism (viewing one‘s culture as right and other cultures as wrong).

OB Internationally. This box explains a multicultural personality tool that can be used to determine how likely people are to be successful in expatriate assignments. Ask students to raise their hands if they believe they would score highly on the five dimensions described in the box. Are those students drawn to international study or assignments, or have they spent a significant amount of time traveling internationally? Then ask students to volunteer if they believe they are low on most of the dimensions described in the box. If those students have been abroad, did they find the experience to be stressful or uncomfortable? You might also explore whether the students presumed standing on the five dimensions is predicted by their openness score for the OB Assessments box.

D. Summary: How Can We Describe What Employees Are Like? (Figure 9-7, How Can We Describe What Employees Are Like?)

XXXIII.

HOW IMPORTANT ARE PERSONALITY AND CULTURAL VALUES?

A. Conscientiousness is linked to performance across wide spectrum of jobs.

1. Conscientiousness drives ―typical performance‖ or day-to-day performance, while ability drives ―maximum performance‖ or the person‘s best efforts.

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2. Conscientious employees are more likely to engage in citizenship behaviors.

3. Conscientious employees are less likely to engage in counterproductive behaviors.

4. Conscientious employees are more committed to the organization.

B. The concept of situational strength says that personality variables tend to be more significant drivers of behavior in weak situations than in strong situations.

C. The concept of trait activation says that situations can provide clues that trigger the expression of a given trait.

XXXIV.

APPLICATION: PERSONALITY TESTS

A. Many organizations today are using paper and pencil personality tests to determine whether or not to hire employees.

1. Integrity tests focus on a predisposition to engage in theft and counterproductive behaviors. a. Clear purpose tests ask straightforward questions about attitudes toward dishonesty, etc. b. Veiled purpose tests assess more general personality characteristics that might be associated with dishonesty. c. Integrity tests have a moderately strong, negative correlation with counterproductive behaviors such as theft, and are more strongly related to job performance than conscientiousness scores. d. Because everyone fakes their scores to some degree (answers questions in a socially acceptable way) correlations between integrity tests and outcomes like theft or other counterproductive behaviors are relatively unaffected.

Try This! Ask students if any of them had filled out a personality test to apply for a job. Then ask them to recount how they approached the test.

Did they understand on some level what the ―right‖ answers were? If so, did they give the exact best ―right answer‖ on each and every question?

For example, if a 5 was always the best answer, did they give nothing but 5s on the test? Chances are students will report that they worried about answering the best way every time, so their answers wound up having a grain of truth, even if the exaggerated them in a socially desirable fashion.

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DISCUSSION QUESTIONS 9.1

Assume that you applied for a job and were asked to take a personality test, like the one offered by Kronos. How would you react? Would you view the organization with which you were applying in a more or less favorable light?

Why? Answers to this question will vary. Some will view the organization positively, viewing any form of data collection as in the organization’s best interests. Others will maintain that there is no way personality tests could work, despite what the chapter says. Still others will agree they may work, but be uncomfortable with the practice on some level, perhaps on privacy grounds.

9.2

Research on genetic influences on personality suggests that more than half of the variation in personality is due to nurture—to life experiences. What life experiences could make someone more conscientious? More agreeable? More neurotic? More extraverted? More open to new experiences?

All of these traits could become more pronounced if exhibition of the trait was rewarded. For example, a powerful reward for all young children is getting the attention of their parents. If the parents pay attention to the child when he or she completes a work project, the child is likely to grow up to be conscientious. If the parents pay attention to the child when the child complies with their wishes, the child is likely to become agreeable. And if the parents pay attention to the child for acting nervous or anxious, the child is likely to become neurotic.

9.3

Consider the personality dimensions included in the Myers-Briggs Type Inventory and the RIASEC model. If you had to ―slot‖ those dimensions into the Big Five, would you be able to? Which dimensions don‘t seem to fit?

While some dimensions are comparable (for example, extraversion on the Big Five and extraversion/introversion on the Myers-Briggs), for the most part, the tests categorize personality in different ways. The Myers-Briggs focuses on how people process information—thinking/feeling, for example is not comparable to anything in the Big Five. The Holland RIASEC model is designed to identify career interests—again, artistic people may have a variety of personality profiles on the Big Five.

9.4

Consider the profile of the United States on Hofstede‘s cultural values, as shown in Table 9-3. Do you personally feel like you fit the United States profile, or do your values differ in some respects? If you served as an expatriate, meaning you were working in another country, which cultural value differences would be most difficult for you to deal with?

This answer will differ from student to student. Many cultural values vary as much within cultures as they do between cultures, so it is entirely possible that a U.S.

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citizen could have a profile opposite to the United States as far as Table 9-3 goes.

9.5

If you owned your own business and had a problem with employee theft, would you use an integrity test? Why or why not?

Again, this answer may vary. What most students could agree on, however, is to begin gathering integrity test data for several months, without using the scores to hire. Then, once enough data has been gathered and enough time has passed, scores could be accessed to see if they would have been predictive of incidents of counterproductive behavior.

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CASE: MARRIOTT Questions: 9.1

Can you think of other jobs in Marriott where Big Five dimensions other than agreeableness and conscientiousness would be vital?

There are research and development positions in virtually any large company. At Marriott, there are people tasked with envisioning what the future of a hotel should look like, and what new services hotels should offer. Those jobs would require high levels of openness. In addition, visible managerial positions would benefit from extraversion, given the assertiveness and leader-like qualities that extraverts often possess.

9.2

If you applied for a job that involved a personality assessment, would you be honest in your responses or would you exaggerate your answers to appear more desirable? Why? Responses to this question will vary, and the textbook discusses research on the subject. In general, though, most applicants approach hiring contexts by wanting to put their best foot forward. Wanting to portray their ―best self.‖ That might involve being a bit better dressed than normal for an interview. And it might involve answering assessment questions with the most optimistic view of oneself.

9.3

What other approaches might companies use to assess personality during hiring, other than an interview or assessment? What strengths and weaknesses might those other approaches have?

Interviews are the other practical way of assessing personality. Some traits, like extraversion, can be validly assessed in an interview—especially in later stages of the application process when the interviews become more lengthy. Other traits, however—like conscientiousness—are harder to gauge as an interviewer.

Interviews are an expected part of the process from an applicant’s perspective, however, and afford an opportunity to gauge more company-specific aspects of personality-culture fit.

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BONUS CASE: CHICAGO CUBS (from 6th edition) 1728 players. 52 managers. That‘s how many people represented the Chicago Cubs between 1908—their prior World Series title—and 2016—when their long drought ended. That 1908 team had played in the era of Mark Twain, Florence Nightingale, and the Ottoman Empire. How did the franchise break through after all that time? Much of the credit can be given to a new owner, a new president of baseball operations, and a focus on personality.

The new owner is Tom Ricketts, the director of TD Ameritrade Holding Corporation. The new president of baseball operations was Theo Epstein, previously the general manager of the Boston Red Sox, and assembler of a two-time World Series champion in that city. Ricketts had been impressed with Epstein‘s personality as they discussed a position with the Cubs. ―He was the kind of person who treats people with respect,‖ Ricketts noted. ―He was honest and candid about his successes and failures.‖ Epstein is also enormously curious, a trait fueled by a family rule where every minute watching baseball had to be matched by time reading books. ―A double header was a lot of reading,‖ recalled Epstein. The Cubs manager, Joe Maddon, offered his own take on Epstein‘s personality: ―He‘s brilliant, he‘s sabermetrically inclined, he‘s old school, he understands old-school scouting techniques, he understands the game, but of all the guys I‘ve met, he‘s more empathetic than all of them. He understands people. And he feels what they feel.‖ Much like how books fueled his curiosity, Epstein attributes that empathy to his family and his upbringing. ―Maybe it‘s part of being a twin. I‘m a twin. My mom‘s a twin. My grandfather‘s a twin.‖ Regardless of where his traits came from, Epstein went about retooling the Cubs with his own emphasis on personality. He wanted players with the right ―makeup‖—who would create the proper ―ethos‖ in the clubhouse. Some of that emphasis came from the failures of his most recent Red Sox clubs, but it was also a simple evolution of his own views on managing people. The word that he most often uses is ―character‖—a sense that players will work hard, do the right thing, fit into the team concept, and overcome adversity. ―We are not going to compromise character for talent,‖ Epstein vowed ―We‘re the Cubs. We‘re going to have both. Talent and character.‖ How exactly has Epstein prioritized personality in shaping the Cubs? One way is by instructing his scouts to get to know prospects as people. Scouts are instructed to list three examples of times when players have overcome adversity on the field, and three examples of times they‘d done so off the field. Scouts are also instructed to ask anyone they can about the prospect‘s traits and qualities, from guidance counselors to girlfriends to family members. How does the prospect treat others when no one is looking? Is the prospect motivated by money and fame or competition and winning?

Short scouting reports with boxes to be checked were quickly replaced by detailed summaries several pages long. Speaking of Kyle Schwarber, one of the team‘s better hitters, Epstein recalled, ―Scouts loved the bat. We all loved the bat. Our statistical model loved the bat. And makeup was huge. Stan Zielinski, the area scout, did a great job getting to know Kyle inside and out…he‘s the perfect player to have as a franchise 2-199 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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player because he can be one of your best players who everybody else wants to follow because of his character.‖ Another way is by prioritizing everyday positional players over pitchers who only start once every five games. Noted Epstein, ―And there were a lot of good arms available so the debate in the draft room really crystallized. It was like, ‗We can choose a pitcher who is going to move quickly and can help us win every fifth day, but pitchers have a really hard time leading. They can lead the starting rotation after they get established a little bit, but it‘s hard for them to lead the team…We are going to define our identity…we want players who are invested in their teammates…we want players we trust can respond to adversity. We want players other players like being around.‖ By focusing on players who are on the field every day, Epstein wound up creating a culture—not just a collection of personality traits.

Epstein feels vindication for his personality focus by comparing the 2016 team to some of the other Cubs teams that had made the playoffs a decade earlier. ―What was the personality of those Cubs teams?‖ he asked. ―They had been to the playoffs in ‘07, ‘08, but what was the personality? Who were the leaders?‖ The 2016 team had those leaders, and that was no accident.

Source: T. Verducci, The Cubs Way: The Zen of Building the Best Team in Baseball and Breaking the Curse. New York: Crown Archetype.

Questions: 9.1

When Epstein talks about ―character,‖ ―makeup,‖ and ―ethos,‖ what personality traits does he seem to be prioritizing?

Most of those traits seem to be aspects of conscientiousness. Epstein wants players who have persevered in the face of adversity, and who pride themselves on going about their work ―the right way.‖ Those traits are expressions of conscientiousness.

9.2

Do you think professional baseball scouts can get an accurate read of a prospect‘s personality from observing him and talking to those who know him?

Would it be wise for the Cubs to use personality tests for that purpose?

Scouts often observe players for extended periods of time. They review extensive amounts of tape, have many conversations, and do a great deal of inperson observation. Once told to focus on something specific like conscientiousness, it is likely that they can get a reasonably valid read. In that way, they have an advantage over hiring managers in typical organizations, who often only get a matter of hours to observe recruits. Of course, traditional personality tests would still be a useful complement to the other gauges used by scouts.

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9.3

Do the personality traits needed to be a successful baseball player differ from the traits needed to be a successful president of baseball operations? In what way?

Conscientiousness would certainly be important for both. It may be that openness to experience becomes more important for a president of baseball operations, however. In the competitive world of professional sports, it’s often helpful to ―zig when everyone else zags.‖ Openness could foster that sort of tendency.

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EXERCISE: GUESSING PERSONALITY PROFILES Instructions: Have the students write their Big Five scores on a piece of paper in the format described. Impress upon students to use very plain paper so that the type of paper is not a giveaway (you may even want to bring plain copy paper). Also impress upon them to disguise their handwriting, making it as gender neutral as possible.

Questions: Most groups should be able to correctly identify two to three group members, though early bad guesses will impact that batting average significantly. Accuracy should be higher for groups that are more familiar, or when the exercise is completed later in the term rather than earlier. Extraversion is the natural trait to rely on first, as its most visible in typical interactions. Given the school setting, students may use conscientiousness next, especially if they‘ve had enough time to observe study habits, classroom habits, and grades on class assignments or exams. Other traits, such as openness, neuroticism, or agreeableness, may only be diagnostic with extremely high or low scores.

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OMITTED TOPICS The field of organizational behavior is extremely broad and different textbooks focus on different aspects of the field. A brief outline of topics that are not covered in this text, but which the professor might want to include in his or her lecture, is included below. In cases where these topics are covered in other chapters in the book, we note those chapters. In cases where they are omitted entirely, we provide some references for further reading.

•

Self-Esteem – The degree to which individuals believe that they are worthwhile as people. Self-esteem tends to have a strong negative correlation with neuroticism, as highly neurotic people tend to also have lower levels of selfesteem. For more on this, see: Rosenberg, M., C. Schooler, C. Schoenback, F. Rosenberg. ―Global selfesteem and specific self-esteem: Different concepts, different outcomes.‖ American Sociological Review 60 (1995), pp. 141–156.

•

Self-Monitoring – A personality trait reflecting the tendency to change one‘s behavior to suit the needs of a given situation. High self-monitors are more likely to engage in impression management than low self-monitors. For more on this, see: Snyder, M. Public Appearance, Private Realities: The Psychology of SelfMonitoring. San Francisco, CA: Freeman, 1987.

•

Emotional Intelligence – Some scholars suggest that the skills grouped under the emotional intelligence umbrella (self awareness, other awareness, emotion regulation, and use of emotion) actually represent a combination of Big Five dimensions, such as high conscientiousness, low neuroticism, and high agreeableness. Emotional intelligence is included in our discussion of ability in Chapter 10.

•

Machiavellianism – A personality trait reflecting the tendency to manipulate others in order to fulfill one‘s own self-interests. Individuals high on this trait act in accordance with the philosopher Niccolo Machiavelli, who laid out a strategy for seizing power in his book The Prince. For more on this, see: Christie, R.; F.L. Gies. Studies in Machiavellianism. New York: Academic Press, 1970.

•

Type A Behavior Pattern – Individuals who are Type A tend to have competitive, hard-driving, and irritable personalities, as opposed to individuals who are Type B. The Type A Behavior Pattern primarily represents a combination of high conscientiousness and high neuroticism and is discussed in the context of coping with stress in Chapter 5.

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Chapter 10: Ability

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NOTE FROM THE AUTHOR My name is Jason Colquitt, and I‘m the lead author on the Colquitt-LePine-Wesson textbook, Organizational Behavior. I‘m also the author of this Instructor‘s Manual and I want to encourage adopters to reach out to me if I can help in any way with the book.

I‘m happy to point you to video clips that complement our OB on Screen feature or to share the details of a research project on performance and commitment that I do with my students. I also created PowerPoints for earlier editions of the textbook that have extensive photos and vivid colors, along with narration notes from my own teaching. I‘m happy to share those PowerPoints with you, as the current PowerPoints are limited by new restrictions on photos and colors. I also have those files in Keynote form if you are a Mac user. In sum, I enjoy corresponding with adopters very much, so please do not hesitate to reach out to me. My email address is jason.colquitt@gmail.com.

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CHAPTER OVERVIEW This chapter discusses the nature of cognitive, emotional, and physical abilities. The chapter also highlights how these abilities are measured and how information on these abilities is used in organizations.

LEARNING GOALS After reading this chapter, you should be able to answer the following questions: 10.1 10.2 10.3 10.4 10.5 10.6

What is ability?

What are the various types of cognitive ability?

What are the various types of emotional ability?

What are the various types of physical ability?

How does cognitive ability affect job performance and organizational commitment?

What steps can organizations take to hire people with high levels of cognitive ability?

CONNECT EXERCISES Cultural Intelligence Types of Cognitive Ability Job Preference Based on Cognitive Ability Emotional Intelligence Tolerance for Emotional Labor Emotional Courage Sorry, You‘re Too Smart

Click and Drag* Click and Drag* Self-Assessment Click and Drag* Self-Assessment Case Analysis Case Analysis

*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

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CHAPTER OUTLINE I. ABILITY B. Ability refers to the relatively stable capabilities people have to perform a particular range of different but related activities.

C. Abilities are a function of both genetics and the environment, including family environment, quantity of schooling, choice of occupations, and biological hazards in the environment, such as malnutrition.

1. Impact of family environment on cognitive abilities decreases with age OB at the Bookstore: The Laws of Human Nature. You can begin class discussion by overviewing the authors‘ main thesis. That is, the author proposes that if we can learn about human emotions and how they function, we can apply this knowledge and become significantly more effective and happier. In short, the author is suggesting that we can become more successful in life by working to increase our emotional intelligence. You can begin by asking to students share experiences they‘ve had in a group setting where there was a disagreement and someone got emotionally upset, and where the group had difficulty moving forward afterwards because other members became upset. Choose one of these experiences and ask the students to think about what sparked the anger, and then, what each party thought about the other party and how this engendered more conflict and hard feelings. Students will realize that the other party would likely be viewed as being unreasonable, stubborn, uncooperative, etc., and that if people view each other this way, they‘ll be less cooperative and want to hold their ground. Then ask the students what would happen if instead, one party recognized that people have different interests and that disagreements are normal. Students would see that they would become less angry, which would allow them to take a more strategic approach to the conflict. Finally, you could ask how the party could then use emotions to enhance their chance of success.

Students should be able appreciate how being empathetic to the other party might result in the other party lowering their guard, which could result in cooperation.

XXXV. WHAT DOES IT MEAN FOR AN EMPLOYEE TO BE ―ABLE‖?

OB Internationally. This OB Internationally discusses the relationship between emotional intelligence and cultural intelligence, a type of intelligence that enables people to be effective in contexts in which they interact with people from different cultures. The concept has much in common with the multicultural personality described in the OB Internationally box in Chapter 9. Students who have spent a great deal of time traveling internationally, or who have lived internationally, should tend to be higher in the facets of cultural intelligence.

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Connect Exercise: Cultural Intelligence Click and Drag*. Students read descriptions that relate to cultural and match them to the facets of cultural intelligence – cognitive, emotional, and physical. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 10.1 What is ability?

10.2 What are the various types of cognitive ability?

Topic: Cultural values; General cognitive ability Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Assign A. Cognitive Ability 1. Capabilities related to the acquisition and application of knowledge in problem solving. Facets of cognitive ability include: (Table 10-1, Types and Facets of Cognitive Ability) a. Verbal ability i.

oral comprehension, written comprehension, oral expression, and written expression

b. Quantitative ability i.

number facility, mathematical reasoning

c. Reasoning ability i. problem sensitivity, deductive reasoning, inductive reasoning, originality d. Spatial ability i.

spatial organization, visualization

e. Perceptual ability

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i.

speed and flexibility of closure, perceptual speed

Try This! Put sample questions from the Wonderlic (see Figure 10-4) on five different slides. Ask students to raise their hands when they know the answer, then ask them to identify what facet of cognitive ability is being assessed. For example, #9 is verbal, #3 is quantitative, #7 is reasoning, #8 is spatial, and #1 is perceptual (along with a bit of numerical). Also impress upon them the speed requirement of the Wonderlic. It‘s just just about getting the questions right, they need to get the questions right very quickly.

Connect Exercise: Types of Cognitive Ability Click and Drag*. In this exercise, students read statements of various job requirements and match them to different types of cognitive ability – verbal, quantitative, reasoning, spatial, and perceptual. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 10.2 What are the various types of cognitive ability?

Topic: Ability; General cognitive ability; Quantitative ability; Reasoning ability Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: The highest growth jobs are in the ‗nonroutine cognitive‘ area, such as management and professional occupations. Fast-changing technology and new markets demand that employees are more than just cognitively able, though. Ask students what other capabilities will be needed in the future that complement cognitive ability?

Connect Exercise: Job Preference Based on Cognitive Ability SelfAssessment. This exercise assesses students‘ preferences for using the different facets of cognitive ability – verbal, quantitative, reasoning, spatial, and perceptual. The assessment is not of actual ability, but what the student enjoys.

Learning Goals 10.2 What are the various types of cognitive ability?

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Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: For a fun in-class group assignment, ask students to make a list of the five facets of cognitive ability – verbal, quantitative, reasoning, spatial, and perceptual. For each ability, match a sport that particularly requires this ability and why.

2. General Cognitive Ability (also called the g factor or g) a. a measure of global cognitive ability – the generalized level of mental ability that determines all other levels of mental ability B. Emotional Ability 1. The human ability that affects social functioning, emotional intelligence consists of four different, but related, abilities: a. Self Awareness – the ability to understand the types of emotions one is experiencing, the willingness to acknowledge them, and the capability to express them naturally b. Other Awareness – the ability to recognize and understand the emotions that other people are feeling c. Emotion Regulation – the ability to recover quickly from emotional experiences OB on Screen: Phantom Thread. The clip referenced in the book begins around the 37:19 mark of the film, continuing until about the 39:52 mark.

Before showing the clip, you can give a little background. Dressmaker Reynolds Woodcock is having breakfast with his sister Cyril, who manages his business and affairs, and his model and lover, Alma. You might also mention that Alma and Woodcock just spent their first night together. Ask students to watch the clip and think about Woodcock‘s emotional abilities.

The clip shows how Woodcock becomes distressed by the sounds and movement Alma creates during breakfast. Cyril provides an insightful explanation for Woodcock‘s reaction after he storms out of the room. After the clip, you can ask students to assess Woodcock‘s emotional intelligence. They will likely report that Woodcock is low on emotional intelligence. You can then ask students to provide examples from the clip that depict the specific emotional abilities Woodcock lacks the most. Students will focus on the fact 2-210 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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that Woodcock has trouble with emotional regulation. He gets quite upset by Alma, and his sister indicates that he has trouble recovering after becoming upset. The degree to which he possesses other awareness is unclear. On the one hand, his behavior is upsetting to Alma. On the other hand, it does seem he understands how his reaction affects her. He just can‘t help himself.

Woodcock‘s standing on the use of emotions isn‘t clear from the clip.

However, given that his emotions seem to take over, it‘s not likely that he could harness them effectively to improve his chances of success. What students might miss is that Woodcock does seem to be emotionally intelligent from a self-awareness standpoint. That is, he seems to understand that he has problems with emotional regulation. In fact, some of his eccentric behaviors in the film reflect his way of dealing with it. Once this point is identified, the discussion can then turn to the question of whether selfawareness of a lack of the other emotional abilities makes one emotionally intelligent. Students will likely come to a consensus that self-awareness alone isn‘t enough—it‘s necessary but not sufficient. Individuals with emotional selfawareness have to figure out how to cope with their limitations on the other dimensions. Please email me at jason.colquitt@gmail.com if you have any questions about using OB on Screen in your teaching.

Bonus OB on Screen (from 6th edition): Hidden Figures. The clip referenced in the book begins around the 1:22:19 mark of the film, continuing until about the 1:26:19 mark. Before watching the clip, you can describe it to the students: The clip shows a high-level meeting of NASA employees who are trying to solve problems related to the launch and recovery of Friendship 7, a spacecraft John Glenn would use to orbit the earth. Glenn is at the meeting. Al Harrison, head of NASA‘s Space Task Group, walks into the meeting with Katherine Harrison, one of NASA‘s human ―computers.‖ You can begin the discussion by asking students about the types of cognitive abilities that are illustrated during the meeting. Most likely students will respond with the obvious by saying that Katherine has high levels of quantitative ability.

Probe for more specifics. Students should be able to identify and describe the specific quantitative abilities that are apparent. Katherine is asked to solve a problem and uses mathematical reasoning ability and number facility. Without hesitation, she selects the appropriate formulas and quickly and correctly carries out the math operations to produce the latitude and longitude where the spacecraft would most likely touch down. You can then ask what other abilities are illustrated in the clip. Students may note that Katherine appears to possess excellent oral and written expression abilities, for she speaks and writes (in mathematical terms) about complex ideas in a way that is clear and easy for those in the audience to understand. She also demonstrates problem sensitivity. Harrison asks an assistant about the speed of the aircraft, but the assistant has difficulty locating the answer in a pile of papers. Harrison realized that everyone is becoming uncomfortable and volunteers the information (from memory) before the problem gets out of hand.

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Bonus OB on Screen (from 5th edition): Lucy. The clip referenced in the book begins around the 43:28 mark of the film, continuing until about the 47:46 mark. The clip depicts a phone call between Lucy and Professor Norman. For 20 years, Professor Norman has been working on a theory about what happens as the potential of the human mind increases, and Lucy calls him for advice. Lucy reveals that she‘s been given the drug CPH4, which is unleashing her brain‘s full potential. She explains that she‘s currently at 28 percent capacity, she can control her body and other people, and that there are no more obstacles for her. She also says she doesn‘t feel pain, fear, desire or other emotions. You can begin the discussion by noting that there isn‘t real world scientific evidence to support Professor Norman‘s theory, but there are some thought provoking ideas regarding the nature of intelligence worth discussing. One topic for class discussion can center on the connection between cognitive and emotional abilities. You can ask student how the film views the relationship between the two abilities. Students should see that as Lucy‘s cognitive capacity increases, she is not only able to learn and memorize things at a phenomenal rate, but she can also control her emotions and other people. She memorizes every word Dr. Normal has written, and to the extent she doesn‘t feel pain, fear, or desire, she has complete emotional regulation. This would mean that the film assumes is a positive relationship between cognitive and emotional abilities. Some students might say that the film actually depicts cognitive and emotional abilities as being same. That is, they both reflect the capacity to resolve obstacles—the nature of the obstacles might vary, but the brains capacity allows the individual to cope with either. You could then ask students whether they believe this is true. Students should be able to offer some contrary evidence. For example, they should point out that there are people who are exceptionally bright but who have no emotional intelligence or social skills. If emotional ability followed directly from cognitive ability, these sorts of exceptions would not occur.

Bonus OB on Screen (from 4th edition): Admission. The clip referenced in the book begins around the 1:09:30 mark of the film, continuing until about the 1:19:37 mark. The clip depicts a meeting where the Princeton admissions committee is reviewing applications. The clip provides an example of the information that college admissions committee members consider in their decision making process. The qualifications of most of the applicants are all very good in terms of SAT scores, GPA, and experiences. However, most applicants are denied admission. The clip shows that each committee member seems to ―spin‖ the accomplishments of their favorite applicants to obtain favorable votes in the meeting. Portia tries to do so with Jeremiah‘s case, but is unsuccessful. Despite his drive and intellect, the committee feels that he‘s too risky and not ―Princeton material.‖ The discussion could begin by asking students about their impression of the meeting. Some students will likely object to the fact that the decisions are not purely objective, and that committee member preferences carry so much weight. The discussion could then turn to the question of the information the committee members should 2-212 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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consider. Ask the students what the information indicates about the applicant that is important for student success, and whether the information is truly objective. You can then ask students about the advantages and disadvantages of using SAT scores in this regard. Students should come to the conclusion that these scores, while not perfect (because smart people sometimes don‘t do well on these types of tests), are the only pieces of information that are directly comparable from one student to the next. Even GPA is going to be a function of experiences and opportunities that might have nothing to do with intellect or potential.

Bonus OB on Screen (from 3rd edition): Sherlock Holmes. The clip referenced in the book begins around the 11:34 mark of the film, continuing until about the 15:43 mark. The clip illustrates the cognitive and emotional abilities of Detective Sherlock Holmes as he interacts with Dr. Watson and his date for the evening, Mary Morstan. Ms. Morstan asks Holmes, whom she is meeting for the first time, to use his reasoning abilities to tell her something about herself. Holmes starts off well enough, deducing several things about Mary. But he goes too far. He begins to reveal things about Mary of a more personal nature, and despite the discomfort that‘s clear in Mary and Watson‘s expressions, Holmes continues until Mary tosses a drink in his face and leaves the restaurant. One topic for class discussion is how Holmes stacks-up in terms of his abilities. The students should be able to quickly come to the conclusion that Holmes has strong cognitive ability—in particular, reasoning ability—but is weak in emotional ability—in particular, other awareness.

Another topic for class discussion is how amenable these two types of abilities are to improvement as a function of training. Students will likely come to the conclusion that emotional abilities are easier to train. To help students understand why this might be true, ask them to describe training that might be used for both cognitive and emotional ability. After they think about it a bit, they‘ll realize that emotional abilities are narrower in scope, and accordingly, it‘s easier to develop training that can be transferred more directly to the ―real world‖.

Bonus OB on Screen (from 2nd edition): 21. The clip referenced begins around the 18:50 mark of the film, continuing until about the 28:35 mark. The clip depicts how Ben Campbell, an MIT student, gets involved with a team of blackjack players who win by counting cards. The scene shows that Ben possesses a number of abilities that would help the black team become more effective, and the team‘s coach (an MIT professor) tries to recruit him. At first Ben is hesitant about joining the team, but eventually he caves in. One topic for class discussion would be to identify the abilities that Ben possesses that would make him an excellent card counter. Students will most likely focus on his quantitative abilities, however, the scene also hints at his emotional and verbal abilities as well. Another related topic for class discussion is what problems a card player might have if he or she lacked one of these abilities.

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Bonus OB on Screen (from 1st edition): Gattaca. The clip referenced begins around the 2:10 mark of the film, continuing until about the 14:25 mark. The clip depicts the steps that Vincent Freeman takes to avoid leaving DNA evidence that would reveal his true identity to his employer—The Gattaca Aerospace Corporation. Later, it is revealed why these steps were necessary. In contrast to the norms in the not-so-distant future, Vincent was conceived ―naturally‖ rather than being genetically engineered, and as a consequence, he has the type of cognitive and physical ability deficiencies that prevent people from being accepted to astronaut training at Gattaca. To get around this rule, Vincent assumed the identify of an accident victim with superior genetics. One topic for class discussion is whether or not the use of genetic information would work—would screening for genetics related to cognitive and physical abilities result in employees who are more effective in their jobs? What other issues would still need to be considered? d. Use of Emotions – the degree to which people can harness emotions and employ them to improve their chances of being successful in whatever they are seeking to do Try This! Ask students to share stories about coworkers, friends, or family members with exceptionally poor (or good) skills in each of the four areas (without naming names, of course). Do most of the stories cluster in one or two facets, or do students have salient anecdotes across all four areas?

Then ask the students what could be done to improve the person‘s skills in that particular facet. What kinds of activities or initiatives might be helpful?

Connect Exercise: Emotional Intelligence Click and Drag*. Students read job descriptions that relate to emotions and match them to the facets of emotional intelligence – self-awareness, other awareness, emotion regulation, and use of emotions. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 10.1 What is ability?

10.3 What are the various types of emotional ability?

Topic: Ability; Emotional intelligence; Emotions; Self-awareness Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking

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Follow-Up Activity: Assign students a library research task. Students should search for articles about emotional intelligence and the type of job they would like to have after graduation. This can be done by pairing the keywords ‗emotional intelligence‘ with the job type, such as ‗auditor.‘ Students may have to be more or less specific, depending on the type of job. For example, using the job type of ‗manager‘ may give back too many cites, while ‗retail manager‘ would give more valuable results.

2. Applying Emotional Intelligence a. In studies done by the U.S. Air Force and the IDS Life Insurance company, high levels of emotional intelligence were associated with improved performance on both recruiting and sales goals.

3. Assessing Emotional Intelligence OB Assessments: Emotional Intelligence. This test is a self-report, behavior-based, emotional intelligence test. Use a show of hands to see how many students fell above and below the average level, and see if students will volunteer any extremely high or low scores. If students also want to take the ―SAT-style‖ emotional intelligence test with right and wrong answers, they can take the Mayer-Salovey-Caruso Emotional Intelligence test by going to www.mhs.com and paying a nominal fee to take the test and get a 12-page report on their level of emotional intelligence.

Connect Exercise: Tolerance for Emotional Labor Self-Assessment.

Students are classified as having a low or high willingness to tolerate emotional labor. The reasons for a person‘s level of willingness can be due to the ability to recognize emotions, or to a preference for/against masking emotion.

Learning Goals 10.3 What are the various types of emotional ability?

Topic: Emotional Labor Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: In the last 25 years, service industries have replaced manufacturing as the dominant industry in most U.S. states. What implication does this have for the importance of emotional labor? Should all employees 2-215 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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have some tolerance for emotional labor? Students can debate these questions and suggest jobs in service industries that do not deal with the public or have relatively low emotional labor requirements.

Connect Exercise: Emotional Courage Case Analysis. This activity is important because emotional courage is one way you can use and improve your emotional intelligence in the workplace. Emotional courage is the willingness to face negative emotions, something that can be required in difficult conversations with employees, such as counseling, reprimands or firing. The case discusses situations requiring emotional courage and strategies for improving it.

Learning Goals 10.3 What are the various types of emotional ability?

Topic: Emotional intelligence; Self-awareness Difficulty Level: 1 = Easy Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: The courage to face negative emotions and to simply start a conversation is very challenging. Ask students if they ever displayed emotional courage. Ask them why emotional courage could be detrimental without the emotional intelligence to deal with negative emotions productively.

C. Physical Abilities (Table 10-2) 1. Physical abilities involve the body, more specifically: a. Strength – the degree to which the body is capable of exerting force.

Strength includes: i. Static strength ii. Explosive strength iii. Dynamic strength b. Stamina – the ability of a person‘s lungs and circulatory system to work efficiently while he or she is engaging in prolonged physical activity c. Flexibility and Coordination – the ability to bend, stretch, twist, or reach, and to synchronize movement, includes: i.

Extent flexibility 2-216

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ii. Dynamic flexibility iii. Gross body coordination iv. Gross body equilibrium d. Psychomotor Abilities – the capacity to manipulate and control objects, includes: i. Fine manipulative abilities ii. Control movement abilities iii. Response orientation iv. Response time e. Sensory Abilities – the capabilities associated with vision and hearing, includes: i. Near and far vision ii. Night vision iii. Visual color discrimination iv. Depth perception v. Hearing sensitivity vi. Auditory attention vii. Speech recognition Try This! If you have any college athletes in your class (either current or past), ask them to describe the sport they engage in. Then ask the class to describe the specific physical abilities that are demanded in that sport.

Do some physical abilities seem to be relevant in virtually every sport? If so, which ones? And which physical abilities seem to be more sportspecific?

D. Summary: What Does It Mean for an Employee to Be Able? (Figure 10-2) XXXVI.

HOW IMPORTANT IS ABILITY?

A. General cognitive ability has a strong, positive effect on task performance.

1. People who have higher general cognitive ability tend to be better at learning and decision making.

B. General cognitive ability has no effect on affective commitment, continuance commitment, or normative commitment.

C. Caveats 1. Cognitive ability is not related to citizenship or counterproductive behavior.

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2. The correlation between cognitive ability and job performance is higher for jobs that are more complex than average and lower for jobs that are less complex than average.

3. People can do poorly on cognitive ability tests for reasons other than a lack of cognitive ability.

XXXVII. APPLICATION: SELECTING HIGH COGNITIVE ABILITY EMPLOYEES A. The Wonderlic Personnel Test is a 12-minute test of cognitive ability that is widely used by organizations, including the NFL. Connect Exercise: Sorry, You’re Too Smart Case Analysis. This case study poses the question of whether applicants should be turned down if they are ‗overqualified.‘ Those who say ‗yes‘ argue that these applicants will be easily bored and ultimately will have lower job satisfaction than people whose capabilities are matched to job requirements.

Learning Goals 10.1 What is ability?

10.2 What are the various types of cognitive ability?

10.5 How does cognitive ability affect job performance and organizational commitment?

10.6 What steps can organizations take to hire people with high levels of cognitive ability?

Topic: Ability; General cognitive ability; Job satisfaction Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Ask students if they ever had a job that they were overqualified for or worked with someone who was overqualified. Discuss the positive and negative effects on coworkers, work climate, and the employee.

DISCUSSION QUESTIONS 10.1

What roles do learning, education, and other experiences play in determining a person‘s abilities? For which type of ability—cognitive, emotional, or physical—do these factors play the largest role?

Learning and education play a large role in determining a person’s cognitive ability. They provide the environmental backdrop that interacts with a person’s 2-218

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genetic factors to create overall intelligence. It is important to note, however, that learning and education can also improve a person’s emotional and physical abilities, as long as the education is based on acquiring the specific behaviors needed to improve the relevant skill.

10.2

Think of a job that requires very high levels of certain cognitive abilities. Can you think of a way to redesign that job so that people who lack those abilities could still perform the jobs effectively? Now respond to the same question with regard to emotional and physical abilities.

Consider, for example, the job of claims representative for an insurance company. Traditionally, claims reps have very high cognitive ability, as they have to be able to understand policies, make considered judgments about what is and is not covered under the policy, and propose settlements that will benefit both the customer and the insurance company. Many insurance companies today use sophisticated computer systems to provide ―just in time‖ information to claims representatives, who no longer have to hold all of the information in their heads.

This decreases the need for cognitive ability, while still helping claims reps get their jobs done efficiently. Physical abilities could use machinery in a similar fashion; for example, someone with low physical skills could operate a robot to do the work. Emotional abilities are not nearly as easy to substitute.

10.3

Consider your responses to the previous questions. Are cognitive, emotional, and physical abilities different in the degree to which jobs can be redesigned to accommodate people who lack relevant abilities? What are the implications of this difference, if there is one?

Yes, see above. The primary implication is that companies should pay as much attention to the emotional abilities of their recruits as they do to the cognitive and physical abilities of their recruits.

10.4

Think of experiences you‘ve had with people who demonstrated unusually high or low levels of emotional intelligence. Then consider how you would rate them in terms of their cognitive abilities. Do you think that emotional intelligence ―bleeds over‖ to affect people‘s perceptions of cognitive ability?

Not necessarily. Some people, who have very high levels of cognitive intelligence, have much lower levels of emotional intelligence. It may be that a person who has a low level of emotional intelligence is seen as someone who is not cognitively intelligence, but the two are not necessarily related.

10.5

What combination of abilities is appropriate for the job of your dreams? Do you possess those abilities? If you fall short on any of these abilities, what could you do to improve?

Every student will have a different answer to this question, but encourage them to think about the cognitive, emotional, AND physical abilities needed to do the job of their dreams.

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CASE: US MARINE CORPS Questions: 10.1

Identify and describe the types of abilities that historically have been most relevant to Marine effectiveness. Which additional abilities appear to be important for Marines involved in cyber-security?

Physical abilities, such as strength, stamina, flexibility and coordination are important in combat and for training in combat. Sensory abilities such as near and far vision, night vision, visual color discrimination, and hearing sensitivity would also be quite important when using weapons or when Marines are out on patrol. Effectiveness in cyber-security would require abilities that are more cognitive in nature. In particular, reasoning (problem sensitivity, deductive and inductive reasoning) and perceptual abilities (speed and flexibility of closure and perceptual speed) would be important.

10.2

Why might the pool of new recruits with both sets of abilities be limited? What could the Marine Corps do to increase the size of this pool?

Individual differences are normally distributed, and because cognitive abilities are largely uncorrelated with physical abilities, the number of people who possess high levels of both types of abilities is far fewer than the number of people who are high in just one of these abilities. People (based on stereotypes) may believe that the Marine Corps values physical abilities but not cognitive abilities. Thus, people who possess high cognitive abilities, as well as high physical abilities, might not apply. The Marine Corp could address this issue using marketing that emphasizes that cognitive abilities are highly valued and that the perfect Marine has both high cognitive and physical abilities.

10.3

How might the Marine Corps be able to use their existing workforce to deal with their need for cyber-personnel? Describe the advantages and disadvantages of such an initiative.

The Marine Corps could identify existing Marines with the right mix of cognitive abilities and recruit them to become cyber-security specialists. The main advantage is that both types of abilities would be present. The main disadvantage is that existing Marines might not be interested in Cyber Security.

The overcome this challenge, the Marine Corp might have to institute a bonus or some other incentive, and additionally, ensure that transitioning to such as job is something that is not looked-down upon.

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BONUS CASE (from 6th edition): FBI If you go to the Federal Bureau of Investigation‘s home page, you‘ll see links to lists of most wanted criminals, terrorists, and victims of kidnappings and other missing persons.

You might also see an announcement regarding the filing of charges against computer hackers, or a warning to the public regarding a new type of investment fraud. In fact, it won‘t take you long to realize that the scope of the FBI‘s responsibilities is remarkably broad. The agency not only assists municipal, state, federal, and international law enforcement agencies, but it also conducts investigations into cybercrime, business crime, public corruption, and terrorism. If that‘s not enough, the FBI also runs programs that assist crime victims and their families.

With all these responsibilities, it should not be surprising to learn that there are many different types of jobs at the FBI. The first job that might come to mind is that of the special agent who does things like plan operations, interview suspects, and piece clues together to solve crimes. However, carrying out the agency‘s mission also requires intelligence analysts, surveillance specialists, and linguists. Additionally, the FBI employs professionals involved in specialized fields such as accounting and finance, communications, counseling, engineering, law, mathematics, and medicine. So, what are the implications to the FBI of having employees involved in so many different types of jobs?

Although the FBI seeks to hire personnel who have similar values and regard for the role of justice in society, the agency also needs people who possess the specific abilities required for the specific jobs that need to be filled. To accomplish this, the FBI conducts extensive testing of job-specific abilities during the hiring process. For example, when hiring intelligence analysts, the FBI tests for whether applicants possess strong reasoning abilities. This is because intelligence analysts need to be able to identify potential causes for a problem, critically evaluate hypotheses regarding potential causes in light of available information, and draw sound conclusions as to which hypothesis is most likely. As another example, the FBI tests for perceptual abilities of those interested in becoming surveillance specialists. This is because surveillance personnel need to pay attention to details and recognize patterns in observations of people and objects.

The FBI‘s hiring process is expensive and time-consuming; however, it believes that the safety of the United States and its citizens depends on having personnel with abilities that are tailored to the requirements of specific jobs. The complication here is that many jobs in the FBI are multifaceted and require a wide range of abilities. As an example, consider the job of a special agent. One day a special agent may be focused on recruiting a human source of information from a foreign country to avert a terrorist attack. Another day may involve testifying in court in the morning, planning a sting operation over lunch, chasing down a suspect on a Most Wanted list in the afternoon, and speaking at a community event in the evening. To be effective at these tasks, special agents not only need to be physically fit, but they also need to be able to work independently, be adaptable to changing and sometimes very dangerous situations, 2-222 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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make logical decisions based on all available facts, and communicate effectively and articulately, both orally and in writing.

To make sure new hires possess these abilities, the FBI requires that special agent applicants go through a series of examinations, which include a three-hour session consisting of cognitive, behavioral, and logical reasoning tests, a 90-minute written test that measures problem solving abilities, a one-hour panel interview intended to supplement the information gathered in the other testing, physical fitness tests, and a medical exam which, among other things, tests vision and hearing. One of the assumptions behind this testing is that new hires will possess the abilities necessary to have an effective and long career as an FBI special agent. But is this assumption valid?

On the one hand, many of the abilities that are tested during the hiring process remain relatively stable over time. So, for example, an agent who scored high on the logical reasoning ability test when hired will have high logical reasoning ability years later. On the other hand, some abilities change over time, and not for the better! Most notably, physical abilities tend to erode due to the process of aging and coping with the demands of work and life. In recognition of this specific issue, the FBI recently instituted annual physical fitness testing. The test includes the number of sit-ups in one minute, a timed 300-meter sprint, the maximum number of pushups (untimed), and a timed 1.5 mile run. The scoring system is based on an agent‘s age and sex, and those who score below standard (or who do not take the test without a medical excuse) are given a rating of no higher than ―Minimally Successful‖ on the ―Maintaining High Professional Standards‖ dimension of their annual performance review.

Sources: FBI, ―News and Features,‖ https://www.fbi.gov (accessed March 20, 2017); FBI, ―Jobs: Career Paths,‖ https://www.fbijobs.gov/career-paths (accessed March 20, 2017); M.S. Schmidt, ―Battling Crime and Calories at F.B.I. (Fit Bureau of Investigation),‖ The New York Times, April 4, 2015. https://www.nytimes.com/2015/04/06/us/battling-crime-and-calories-at-fbi-fit-bureau-ofinvestigation.html?emc=edit_th_20150406&nl=todaysheadlines&nlid=71709239&_r=1

Questions: 10.1

Which specific cognitive and emotional abilities are likely to be most important for FBI special agents? Explain.

In the first paragraph, the case describes job-related tasks of special agents that can be logically linked to several different cognitive and emotional abilities.

Testifying in court, as well as speaking at public events, requires several cognitive abilities, most notably, oral comprehension and expression. These tasks would also require emotional abilities, perhaps most important, selfawareness and emotion regulation. Recruiting a human source of information would likely require the full range of emotional abilities. Planning a sting operation would likely require reasoning and spatial abilities. Special agents also 2-223

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look for and piece together clues to identify suspects and solve crimes, and thus, they may need strong perceptual (speed and flexibility of closure and perceptual speed) and reasoning (especially inductive reasoning) abilities.

10.2

Identify the specific physical abilities that are assessed with the FBI‘s annual physical fitness test? Describe the responsibilities of special agents where these abilities are likely to be most important.

The push-up and sit-up portions of the exam focus on dynamic strength. The 1.5mile run focuses on stamina. Finally, it would seem that the timed 300-meter sprint taps explosive strength and stamina. These physical abilities would be most relevant to the task of apprehending suspects on foot or engaging them physically.

10.3

How might the frequency of various special agent responsibilities make it important to test for physical abilities (but not cognitive or emotional abilities) on an annual basis? Explain.

Responsibilities that require the cognitive and emotional abilities noted above (e.g., sifting through evidence, planning operations, speaking and writing) likely occur with greater frequency than responsibilities that require physical abilities (e.g., running after a suspected terrorist through alleys and rooftops).

Accordingly, while deficiencies in cognitive and emotional abilities will become apparent quickly in the course of performing day-to-day activities, deficiencies in physical abilities may be difficult to detect, and in fact, may not become apparent until it’s too late. Moreover, because failing to effectively perform duties that require strength and endurance may have consequences that are immediate and deadly, it may be essential to identify and address any deficiencies.

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EXERCISE: EMOTIONAL INTELLIGENCE Instructions: The purpose of this exercise is to get students in touch with their emotions—in other words, to help them take the first step towards recognizing their own emotions. The exercise is self-explanatory, but students may feel uncomfortable about discussing their emotions with others in the class. Stress the fact that the classroom is a safe learning environment, and that sharing emotions is the first step in learning to deal both with one‘s own emotions, and the emotions of others.

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OMITTED TOPICS The field of organizational behavior is extremely broad and different textbooks focus on different aspects of the field. A brief outline of topics that are not covered in this text, but which the professor might want to include in his or her lecture, is included below. In cases where these topics are covered in other chapters in the book, we note those chapters. In cases where they are omitted entirely, we provide some references for further reading.

•

IQ – The intelligence quotient, or IQ, is likely to be familiar to anyone reading this book. However, many people do not realize that IQ testing is rooted in research that was intended to diagnose learning disabilities. For more information see: Binet, A. ―New Methods for the Diagnosis of the Intellectual Level of Subnormals,‖ first published in L'Année Psychologique, 12 (1905), pp.

191–244. English translation by Kite, E. S. ―The Development of Intelligence in Children.‖ Vineland, NJ: Publications of the Training School at Vineland (1916).

•

Practical Intelligence – Scholars have is argued that intelligence should also include the ability to adapt to one‘s environment and select a new one in order to achieve personal goals. For more information on this ―common sense‖ type of intelligence, which is most commonly called ―practical intelligence,‖ see: Sternberg, R. J., R. K. Wagner, W. M. Williams, and J. A. Horvath. ―Testing Common Sense.‖ American Psychologist, 50 (1995), pp. 912– 927.

Sternberg, R. J., G. B. Forsythe, J. Hedlund, J. A. Horvath, R. K. Wagner, W. M. Williams, S. Snook, and E. L Grigorenko, Practical Intelligence in Everyday Life. New York: Cambridge University Press. (2000).

o

Group Differences – One of the most debated issues in cognitive ability relates to the meaning of group differences in test scores. Popular interest in the issue increased in 1994 after Herrnstein and Murray published their book, The Bell Curve. For more information regarding different perspectives on the issue, see: Herrnstein, R. J and C. Murray. The Bell Curve, New York: Free Press.

(1994) Rushton, J. P., and A. R. Jensen. ―Thirty Years of Research on Race Differences in Cognitive Ability.‖ Psychology, Public Policy, and Law 11 (2005). pp. 235–294.

Dickens, William T. (2005) ―Genetic Differences and School Readiness,‖ The Future of Children, 15 (1, 2005). pp.55–69.

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Turkheimer, Eric, Andreana Haley, Mary Waldron, Brian D‘Onofrio, and Irving I. Gottesman, ―Socioeconomic Status Modifies Heritability of IQ in Young Children,‖ Psychological Science, 14 (November 6, 2003). pp.

623–628.

•

Influence of the Environment – Scholars have been interested in the degree to which cognitive abilities change over time as a function of experience and education. For more information see: Asbury, K., T. D. Wachs and R. Plomin. ―Environmental Moderators of Genetic Influence on Verbal and Nonverbal Abilities in Early Childhood,‖ Intelligence, 33 (November–December, 6, 2005) pp. 643–661.

Cecci, S. J. ―How Much Does Schooling Influence General Intelligence and its Cognitive Components? A Reassessment of the Evidence,‖ Developmental Psychology, 27 (1991), pp. 703–722.

Dickens, W. T and J. R. Flynn. ―Heritability Estimates Versus Large Environmental Effects: The IQ Paradox Resolved,‖ Psychological Review, 108 (2, 2001) pp. 346–369.

Flynn, J. R. ―Massive Gains in 14 Nations: What IQ Tests Really Measure,‖ Psychological Bulletin, 101 (1987). pp. 171–191.

•

Fairness and Bias – For a discussion regarding issues of bias and fairness in applications of cognitive ability tests in employment contexts see: Hartigan, J. A., and A. K. Wigdor. Fairness in Employment Testing: Validity Generalization, Minority Issues, and the General Aptitude Test Battery. Washington, DC: National Academy Press (1989).

Principles for the Validation and Use of Personnel Selection Procedures, 4th Edition. Bowling Green: OH. Society of Industrial and Organizational Psychology (2003).

•

Individual Differences in Personality – Emotional abilities may, to some extent, involve enduring dispositions that reflect certain personality characteristics. For more information regarding these characteristics, see Chapter 9 of this text.

Chapter 11: Teams: Characteristics and Diversity

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NOTE FROM THE AUTHOR My name is Jason Colquitt, and I‘m the lead author on the Colquitt-LePine-Wesson textbook, Organizational Behavior. I‘m also the author of this Instructor‘s Manual and I want to encourage adopters to reach out to me if I can help in any way with the book.

I‘m happy to point you to video clips that complement our OB on Screen feature or to share the details of a research project on performance and commitment that I do with my students. I also created PowerPoints for earlier editions of the textbook that have extensive photos and vivid colors, along with narration notes from my own teaching. I‘m happy to share those PowerPoints with you, as the current PowerPoints are limited by new restrictions on photos and colors. I also have those files in Keynote form if you are a Mac user. In sum, I enjoy corresponding with adopters very much, so please do not hesitate to reach out to me. My email address is jason.colquitt@gmail.com.

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CHAPTER OVERVIEW Teams—two or more people who work interdependently to accomplish some task related purpose—are an important part of organizational life. This chapter describes teams in terms of team types, interdependence, and composition. Relationships between team interdependence, performance, and commitment are also described.

Finally, the practical issue of how to compensate employees who work in teams is considered.

LEARNING GOALS After reading this chapter, you should be able to answer the following questions: 11.1 11.2 11.3 11.4 11.5 11.6

What are the five general team types and their defining characteristics?

What are the three general types of team interdependence?

What factors are involved in team composition?

What are the types of team diversity, and how do they influence team functioning?

How do team characteristics influence team effectiveness?

How can team compensation be used to manage team effectiveness?

CONNECT EXERCISES Remote Work is Thriving at Dell Team Development Types of Task Interdependence Manager‘s Hot Seat: Cultural Dimensions Team Roles Team Building Role Tendency Three Great Teams Manager‘s Hot Seat: Working in Teams Deep-Level Diversity

Case Analysis Click and Drag* Click and Drag* Video Case Click and Drag* Self-Assessment Case Analysis Video Case Self-Assessment

*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

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CHAPTER OUTLINE I. TEAM CHARACTERISTICS AND DIVERSITY A. A team consists of two or more people who work interdependently over some time period to accomplish common goals related to some task-oriented purpose.

B. Teams differ from groups in two primary ways: 1. Interactions in teams involve greater dependence than interactions in groups.

2. Interactions within teams occurs with a specific task-related purpose in mind.

C. Teams are widely used in organizations today.

II. WHAT CHARACTERISTICS CAN BE USED TO DESCRIBE TEAMS? 1. Team Types (Table 11-1) a. Work teams – produce goods or services b. Management teams – integrate activities of subunits across business functions c. Parallel teams – provide recommendations and resolve issues d. Project teams – produce a one-time output (product, service, plan, design, etc.) e. Action teams – perform complex tasks that are short in duration and take place in highly visible or challenging circumstances f. Note that teams often fit into more than one category Try This! If students are working in teams, it is interesting to ask them to categorize their teams using the taxonomy. Because student teams often complete a series of discrete assignments, many will suggest that their teams are project teams. However, because they work together for a series of projects over an extended time period—maybe a semester— others will suggest that their teams are work teams. This can lead to a good discussion about the complexity of teams, and that perhaps the most important aspect of the team taxonomy is that it helps to clarify the underlying characteristics. This discussion can provide a good segue to the topics that follow.

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One general way that teams vary is the degree to which they have autonomy or are self-managed. There is no single best level of self-management. Rather the appropriate level of self-management depends on a variety of factors.

1. Virtual teams – teams in which members are geographically dispersed, and interdependent activity occurs through electronic communications Connect Exercise: Remote Work is Thriving at Dell Case Analysis.

Students read about Dell and its thriving use of remote work, including remote teams, since 2009. This activity is important because virtual employees are increasingly considered a normal part of the workforce. Virtual teams have their own special challenges as well as benefits. Managers should know how to promote teamwork and effective work processes in a virtual environment.

Learning Goals 11.1 What are the five general team types and their defining characteristics?

Topic: Adjourning stage; Autonomy; Forming; Storming stage; Team building; Virtual team Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Give students the assignment to research remote team tools that are used to keep members not just in touch for meetings, but more connected throughout the day. You can give them a list to investigate, or simply tell them to go online and search for sites and blogs that discuss these tools. Some examples are Zoom (meeting, chat, workspaces), Sqwiggle (workspace that is on throughout the day to create a virtual shared workplace), Glip (collaborative editing), and Flock (organization tools). What tools can students use now for their class teams? (Examples are Google docs, Google hangouts, Dropbox, and Skype.)

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v. Adjourning OB on Screen: Avengers: Infinity War. The clip begins around the 1:21:53 mark of the film, continuing until about the 1:24:15 mark. The scene depicts how two groups of superheros come together to form a larger team that is trying to defeat an all-powerful villain named Thanos. After watching the clip you can ask students if there‘s any evidence that the team develops through the stages described in the book. Students should point out that forming is evident in so far as members are trying to figure each other out, what they need to do, and who‘s in charge. Storming is also evident in the back and forth banter and disagreements about who‘s in charge. The clip also shows there is pressure to move towards norming, but the clip ends before there is complete agreement about how to move forward. You can then ask what Dr. Strange‘s assertion that the group‘s chances of success are extremely slim will likely do to the team‘s rate of development. After a brief discussion, students should realize that the importance of the goal of defeating Thanos, and the difficulty of accomplishing it, will require them to immediately set aside self-interests and begin to work together. You can then ask students to give other examples from their experiences of how time and other pressures influence the team development process. If they have difficulty coming up with examples, you can ask them about student teams they‘ve been on. Their responses often provide a good segue to discuss the concept of punctuated equilibrium. Please email me at jason.colquitt@gmail.com if you have any questions about using OB on Screen in your teaching.

Bonus OB on Screen (from 6th edition): Arrival. The clip begins around the 1:05:25 mark of the film, continuing until about the 1:09:25 mark. The scene depicts a team of military personnel and scientists charged with the task of trying to understand an alien language. The team, which is located in Montana, is in contact with teams in 11 other locations across the globe where aliens have also touched down. Everyone wants to know what the aliens are up to. The stakes are high because it‘s clear that the aliens possess advanced technology and their intentions might not be good. Dr. Louise Banks, an expert linguist, asks what the aliens‘ intensions are, and one responds with a symbol that Dr. Banks interprets as ―offer weapon.‖ After watching the clip, you can begin by asking students about the label that would best describe Dr. Bank‘s team. To some degree, the team seems like a ―project team.‖ Highly specialized members are assembled to complete a one-time (hopefully) project. However, given the complexity and stakes of the situation, it would probably be more accurate to call the team an ―action team.‖ Here you can reinforce the idea that in many cases it is difficult to categorize teams using team-type labels, and that it‘s often more informative to refer to specific characteristics (e.g., purpose, activities, life span, member involvement). You can then ask the students to identify the different ways that the team is interdependent. The scene depicts task interdependence as members help each other and share information. Goal interdependence is implied. Team members share in the goal of trying to communicate with the 2-233 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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aliens. Outcome interdependence is also implied. Team members share the same fate if the team fails. There is also an interesting dynamic taking place with the teams in the other locations. Because the teams believe the aliens may coordinate an attack, there‘s outcome interdependence. However, the teams in the different locations lack goal interdependence in so far as they emphasize the safety of their own country and have different approaches for dealing with the aliens. In fact, these differences manifest in distrust among the teams, and eventually they cut off communication, which ends task interdependence. You can ask students if they have any examples of this sort of problem. If they have trouble coming up with good examples, you can let them know that this happens with teams as well. They should easily think of example of team members not working together or being on the same page even though their fates are tied.

Bonus OB on Screen (from 5th edition): Avengers: Age of Ultron. The clip referenced in the book begins around the 0:33:00 mark of the film, continuing until about the 0:36:07 mark. The scene depicts a tense meeting in which the Avengers realize that Iron Man Tony Stark is largely responsible for the creation of Ultron, a force that is bent on extinguishing all human life on earth. By the end of the meeting the Avengers realize that they have to work together as a team to have a chance at defeating Ultron. Class discussion can begin with the question of how the Avengers come to realize that they have to work together as a team. Students will likely respond by saying that Captain America Steve Rogers explains to the others that their lives depend on it. In his back and forth discussion with Tony Stark, Rogers says that they have to work together to have a chance of defeating Ultron and that if they fail to achieve this goal, they‘ll all suffer the same fate. You can then turn the conversation to focus on the nature of the Avenger team itself. Most students will say that because the Avengers perform complex tasks in highly visible and challenging circumstances, they are good example of an action team.

Some students might note that the Avengers have characteristics of a project team in so far as their battles with different villains can be considered distinct projects. You can also ask about the nature of the interdependence in the Avengers. With regard to task interdependence, although it can be argued that the members pool their efforts, they don‘t do so independently. In fact, because they interact and combine their efforts and talents in unique ways, their interdependence is more comprehensive in nature. Students are also likely to note that there are high levels of goal and outcome interdependence.

The goals of the members are aligned with the larger goal of defeating Ultron, and they share in the consequence of the team‘s ability to achieve this goal.

Finally, the conversation can turn to team roles. Students should see that Steve Rogers engages in the team-task roles of orienter and engergizer, and the team-building role of standard setter. The clip also depicts Tony Stark engaging in the several individualistic role behaviors (aggressor, blocker, recognition seeker, and slacker). You can then wrap-up the discussion by asking students to explain how team can deal with someone like Tony Stark.

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Students should realize that one key is to ensure that everyone is aligned with the achievement of an important goal. When this happens, as depicted in the clip, individualistic members see that their fate is tied to the team and they become less individualistic. Moreover, if the individualistic member steps out of line, the other members will be more likely to step in with peer pressure.

Bonus OB on Screen (from 4th edition): 42. The clip referenced in the book begins around the 19:42 mark of the film, continuing until about the 23:20 mark (note that at 23:25 an offensive word is uttered by one of the actors). The clip depicts a spring training scene where Jackie Robinson takes the field for the first time with his coaches and teammates. The scene hints at some of the trouble Jackie will have being accepted by his teammates. The scene also highlights Jackie‘s baseball skill. Class discussion can focus on the way that diversity plays out in the scene. If you preface the conversation with the historical context (there were no African American major league baseball players at the time and in many parts of the country there was racial segregation) students should be quick to point out that by including Jackie on the team, there was greater surface level diversity. You can then ask students to consider elements of the clip that support the idea that this type of diversity may have created some problems initially. Some students may note that because the problems center on interactions between Jackie and few individuals on his team, team effectiveness won‘t be significant harmed. If you redirect the issue to the students, some will point out that Jackie might not be as effective as he could be (because he may be distracted by the conflict) and that team members are likely to take sides (thus hurting teamwork and cohesion). From there you can ask how Jackie‘s great catch and throw in the scene foreshadow the long-term effects of the team‘s surface level diversity.

Here the students should comment that once teammates realize that Jackie is a great player, he'll be treated as an equal, and the team could then experience success.

Bonus OB on Screen (from 3rd edition): Inception. The clip referenced in the book begins around the 51:10 mark of the film, continuing until about the 1:01:18 mark. The clip shows the members of the team planning for an inception (planting an idea in someone‘s mind during a dream within a dream) and discussing their roles and how they relate to each other and the overall success of the mission. The discussion conveys a strong sense that if anyone makes a mistake, the team is doomed to failure. A good opening for discussion would be to have students identify the type of team in the clip.

Students should be able to identify the team as an action team. If you ask why, they should explain that this team performs a very complex task in a very challenging circumstance. A second topic for discussion can focus on the stage of this team‘s development depicted in the clip. Students will likely respond by saying the scene depicts early stages of group life—most notably forming. There appears to be some norming, but not much storming. The reason why the team may skip this stage may relate to the fact that the 2-235 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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members have pre-defined roles—they were brought onto the team to do specific things. Students may also note that the punctuated equilibrium model might not apply because of the importance of the task. The members should be engaged right from the start, they don‘t need a calendar midpoint to signal that it‘s time to start making progress. A third topic for discussion can focus on the type of task and interdependence that characterizes this team and the work it does. Students should be able to identify the task as one that is conjunctive (the team will be as strong as a weakest link). The team also has high levels of interdependence. The members clear depend on one another, and they appear to share a common goal and the outcomes of achieving (or not achieving) the goal.

Bonus OB on Screen (from 2nd edition): We Are Marshall. The clip begins around the 1:01:08 mark of the film, continuing until about the 1:07:36 mark.

The clip depicts how Marshall University football coach Jack Lengyel tries to reestablish the team after most of the team‘s players and coaches die in a plane crash. The scene shows that the new players don‘t have the capabilities needed for the team to be successful, and how Coach Lengyel tries to overcome the team‘s limitations by using a simplified offensive scheme. A good topic for class discussion could center on additional factors or characteristics that could be emphasized or designed into the team to help it perform more effectively. For example, the motivational benefits from a sense of ―oneness‖ and an emphasis on achievement of a common goal might be more important for a team that has limited capabilities relative to a team that can rely on the talent of its players to get by. What could Coach Lengyel do to create these types of feelings and beliefs among the team‘s players?

Bonus OB on Screen (from 1st edition): Ocean’s Eleven. The clip begins around the 28:24 mark of the film, continuing until about the 39:34 mark. The clip opens with a team meeting where Danny Ocean reveals his plan to pull off a heist of a Las Vegas casino. In this meeting, Danny describes some significant challenges to the team and the tasks that need to be done (reconnaissance, power, surveillance, construction, intelligence, transportation). Maybe most important, however, he describes the reward— $150 million, which will be split evenly 11 ways. Class discussion could begin by asking students whether or not Ocean‘s 11 is a team in the true sense of the word, and if so, which type? Discussion could then shift to interdependence. Ask students to characterize the team in terms of the three types of interdependence and provide examples from the film. The discussion could then shift to how interdependence promotes the effectiveness of the team. Could this particular team function effectively with a lower task, goal, or outcome interdependence?

Connect Exercise: Team Development Click and Drag*. Students assume that they are observing an important project team. They match statements 2-236 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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about the project team to each of the first four stages in the model of team development – forming, storming, norming, and performing. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 11.1 What are the five general team types and their defining characteristics?

Topic: Five-stage group development model; Forming; Group development process; Performing; Storming; Team building Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: This activity does not include adjourning, the fifth stage in the model of team development. Therefore, ask students how the manager can properly adjourn this team. Clues to guide students‘ answers are that the team was temporary, short-term, and with members from different divisions. b. Not all teams go through the same stages in the same order. i.

Punctuated equilibrium (Figure 11-2, Two Models of Team Development) – Patterns of behavior develop, and are continued because of inertia until a process revision takes place, leading the team to higher levels of performance.

C. Team Interdependence OB Assessments: Interdependence. This assessment can be an eyeopener for students who are required to work in teams. While most professors expect students to work on assignment as a group together, many student teams function as small groups of individual contributors—members split up the work and then stick it together right before the assignment is due. Ask students to characterize both structures in terms of task interdependence.

After this, ask students about reasons why different teams choose different strategies. What are the benefits and costs of high task interdependence?

Please see the Instructor PowerPoints for a Bonus Assessment on Team Viability.

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Please see the Connect assignments for this chapter for assessments on Deep-Level Diversity and Team Building Role Tendency.

Please email me at colq@uga.edu if you have any questions about using these assessments in your teaching.

1. Task interdependence – refers to the degree to which team members interact with and rely on other team members for the information, materials, and resources needed to accomplish work for the team (Figure 11-3, Task Interdependence and Coordination Requirements) a. Pooled interdependence – Group members complete their work assignments independently, and then this work is simply ―piled up‖ to represent the groups output. b. Sequential interdependence – Different tasks are done in a prescribed order, and the group is structured such that the members specialize in these tasks. c. Reciprocal interdependence – Members are specialized to perform specific tasks, and members interact with a subset of other members to complete the team‘s work. d. Comprehensive interdependence – Each member has a great deal of discretion in terms of what they do and with whom they interact in the course of collaborating on the team‘s product.

Connect Exercise: Types of Task Interdependence Click and Drag*. This scenario starts with a manager describing teams in five company locations.

The student matches each team to a type of task interdependence – pooled, sequential, reciprocal, and comprehensive. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 11.2 What are the three general types of team interdependence?

Topic: Task performance; Team building Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking

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Follow-Up Activity: In team projects, students often simply split the work and paste pieces together. Ask student groups to brainstorm ways to increase task interdependence in team projects. The best scenario is to apply their suggestions to a group project they are currently assigned. If not, it may help for them to assume there is a fictional team project, such as researching a company, writing a paper, and producing a video on the results.

2. Goal Interdependence a. Goal interdependence exists when team members have a shared vision of the team‘s goal and align their individual goals with that vision as a result. b. To create goal interdependence: i.

Ensure that the team has a formalized mission statement that team members accept (Table 11-2, The Mission Statement Development Process).

Connect Exercise: Manager’s Hot Seat: Cultural Dimensions Video Case. This video shows an American businessman who is missing the nonverbal and verbal cues in a discussion with an Asian businessman.

Questions after the video include topics such as goal interdependence and stages of team development.

Learning Goals 11.1 What are the five general team types and their defining characteristics?

11.2 What are the three general types of team interdependence?

Topic: Teams Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Students should apply the principle of goal interdependence to their own class teams. Ask them to brainstorm ways to achieve goal interdependence in teams when members have diverse backgrounds. This diversity could be surface-level or deep-level.

3. Outcome Interdependence a. Outcome interdependence exists when team members share in the rewards that the team earns.

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D. Team Composition 1. Member Roles (Table 11-3) a. Role – the behaviors a person is expected to display in a given context i.

Leader-staff roles – leader makes decisions for the team and provides direction and control over members who perform assigned tasks

ii. Team task roles refer to behaviors that directly facilitate the accomplishment of team tasks. iii. Team-building roles refer to behaviors that influence the quality of the team‘s social climate. iv. Individualistic roles reflect behaviors that benefit the individual at the expense of the team.

Connect Exercise: Team Roles Click and Drag*. This activity is important because employees take on different roles in team situations, and these roles can have a strong impact on team effectiveness. Managers should be aware of what roles help or hurt teams, depending on the team task, and how they may facilitate positive team processes. Students match employee quotes to types of team roles, divided by team task, team building, and individualistic roles.

Learning Goals 11.3 What are the five general team types and their defining characteristics?

Topic: Devil‘s advocacy; Individualistic roles; Task roles; Team building; Team roles Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Ask students to self-categorize into one of the three team task roles or of the two team building roles. Leave out the individualistic roles since this is meant to be a positive activity. Once students have chosen ‗their‘ role, ask them to meet with others who chose the same role and brainstorm: positives of that role, possible downsides to that role, and what would the team be like if all members were in that same role. Discuss as a 2-240 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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class. This activity will lead to appreciation of the roles, but also realization of how a mix of team building and team task roles is needed for a productive team.

Connect Exercise: Team Building Role Tendency Self-Assessment.

Students are given scores reflecting their tendencies to exhibit team building roles – encourager, harmonizer, compromiser, and standard setter.

Learning Goals 11.2 What are the three general types of team interdependence?

11.3 What factors are involved in team composition?

11.4 What are the types of team diversity, and how do they influence team functioning?

Topic: Team roles Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: In class, form four groups, one for each role type.

Students can use their self-assessment results and, if they have more than one high-scoring role, should self-classify into only one group. Ask each group to finish two sentences about their own role type (substituting their own role type into the phrases): (1) ―If an organization didn‘t have any harmonizers…‖ and (2) ―If an organization only had harmonizers…‖ This activity helps students understand the value of their type and the value of role diversity.

2. Member Ability a. In disjunctive tasks, the member who possesses the highest level of ability relevant to the task will have the most influence on the effectiveness of the team. b. In conjunctive tasks, the team‘s performance depends on the ability of the ―weakest link.‖ c. In additive tasks, the contributions from every member of the team add up to determine team performance.

3. Member Personality a. Many personality characteristics affect team performance.

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i. Conscientiousness ii. Agreeableness iii. Extraversion 4. Diversity a. The extent to which team members differ from one another b. Two different theories related to diversity in teams i.

Diversity is valuable because different people have different approaches to solving problems. ii. Diversity is detrimental because people are more attracted to those who are like them than they are to those who are not like them. c. Must consider both type of diversity and length of time team has known each other to understand real impact of diversity i.

Surface-level diversity – diversity based on observable attributes.

Surface-level diversity can lead to problems initially because people may have difficulty communicating with others who are perceived to be different, however, these problems tend to fade over time as members gain experience with one another.

OB at the Bookstore: Biased. This book can provide the foundation for a lively discussion on a number of issues related to diversity. You can begin the conversation by asking why diversity might matter in teams and organizations. They should be able to answer the question using the value in diversity problem solving approach from the chapter. In short, diversity can provide a variety of perspectives that could be considered when trying to solve problems. Members share what they know, they learn from each other, and over time, the team can produce better (more creative) solutions. You can then ask what roadblocks there are to leveraging diversity? If the students don‘t mention it, you could point out that issues related to diversity can be difficult to talk about, and so an organization or team that is struggling with these issues may ignore them or be dismissive. Of course, this could prevent the organization or team from benefitting from its diversity. If people from underrepresented backgrounds don‘t feel valued, respected, or heard, then they will disengage and leave for a job with a more welcoming employer. You could then ask what can be done to help make sure this doesn‘t happen. Students will likely respond by noting that it‘s important to treat everyone equally, and to make sure that they‘re open and accepting to differences among people.

Here you can add that, as the book describes, there has huge literature in social psychology which indicates that, despite our best intentions, we do 2-242 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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hold unconscious stereotypes and have biases against people from different groups, and that these things influence what we see and how we think and behave. It doesn‘t mean we‘re bad, but only that we need to recognize these things, so that we can guard against them when we‘re interacting with others and making decisions. ii. Deep-level diversity – diversity based on attributes that are inferred with experience. Deep-level diversity, differences with respect to attitudes, values, and personality, may not cause problems initially, but it can lead to problems over time.

OB Internationally. Virtual teams in global organizations face special challenges. Advanced communications technology makes it possible for people who are physically located around the globe to work together on projects, but differences in time zones make it difficult to coordinate their work. IBM and other companies are using ―follow the sun‖ practices, where teams hand off projects to teams in other time zones when their work day ends. Although this type of practice makes is possible to accomplish work 24/7, care needs to be taken that the systems used by the virtual teams are detailed and well-understood so that the handoffs go smoothly.

Connect Exercise: Three Great Teams Case Analysis. Students read a case about three famous teams in American history – Thomas Edison‘s lab, Levittown, and Lockheed‘s Skunkworks. Question topics include task interdependence, diversity in problem solving, and fault lines.

Learning Goals 11.2 What are the three general types of team interdependence?

11.3 What factors are involved in team composition?

11.4 What are the types of team diversity, and how do they influence team functioning?

Topic: Communication process; Diversity; Problem-solving teams; Task performance; Team building Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Assign students to research other famous organizational teams. Ask them to classify each in terms of the type of team, interdependence style, degree of diversity, and other aspects that made them successful. Alternately, ask students to find famous team failures. Note that 2-243 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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searching online takes some time, given that sports teams often pop up in the results.

Connect Exercise: Manager’s Hot Seat: Working in Teams Video Case.

This video shows a team working on a project to improve an antiquated process for generating blueprints. The issue is complex and multifaceted. The team dynamics show the difficulties of dealing with diverse personalities and interests. Questions include the topics: stages of team development, team states, and diversity.

Learning Goals 11.1 What are the five general team types and their defining characteristics?

11.3 What factors are involved in team composition?

11.4 What are the types of team diversity, and how do they influence team functioning?

Topic: Teams Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: In response to the video, ask students how they would handle the situation differently. Form groups and ask them to plan a role play with an alternate (better) version of the same meeting. For a big project, ask each group to produce a video of the improved version. For in-class work, ask for suggestions from each group of what could have been done differently and discuss.

Connect Exercise: Deep-Level Diversity Self-Assessment. Results of the self-assessment classify a student‘s team as having either high deep-level diversity or low deep-level diversity. Deep-level diversity includes attitudes, values, and personality traits.

Learning Goals 11.4 What are the types of team diversity, and how do they influence team functioning?

Topic: Deep-level diversity Difficulty Level: 1 = Easy Blooms: Apply 2-244 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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AACSB: Reflective Thinking Follow-Up Activity: Over time, deep-level diversity could cause problems in a team if individual differences like personality interfere with work. Ask students to consider functional background diversity (such as the typical business disciplines – accounting, human resources, information systems, marketing, management, and supply chain management). Brainstorm how this type of diversity can cause problems over time in a team. How can these problems be lessened?

5. Team Size a. Larger teams are good for management and project teams, but not for teams engaged in production tasks.

E. Summary: What Characteristics Can Be Used to Describe Teams? (Figure 11-5)

III. HOW IMPORTANT ARE TEAM CHARACTERISTICS? B. Two aspects of team effectiveness: 1. Team performance – may include metrics such as quantity and quality of goods or services produced, customer satisfaction, the effectiveness or accuracy of decisions, victories, completed reports, etc.

2. Team viability – the likelihood that the team can work together effectively into the future; low viability implies less commitment to the team C. Relationship between task interdependence and team performance is moderately positive.

1. Relationship is significantly stronger for teams involved in complex, knowledge work, rather than simple tasks D. Relationship between task interdependence and team commitment is positive, but weak XXXVIII. APPLICATION: TEAM COMPENSATION A. Many companies use hybrid outcome dependence, where members receive rewards for their own work, while at the same time, sharing a team performance reward.

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B. Although it is not likely to be universally effective, hybrid outcome dependence solves two problems: 1. It links performance to team goals, allowing people to be compensated for being part of the team.

2. It allows high-performing individuals to still be compensated for their individual levels of performance.

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DISCUSSION QUESTIONS 11.1

In which types of teams have you worked? Were these teams consistent with the team types discussed in this chapter, or were they a combination of types?

Most teams will be a combination of types. For example, many students who work at banks will have both a work team and a management team. A person on a team in an organization may also be a part of a parallel team, project team, or action team, while at the same time being part of a production or management team.

11.2

Think about your student teams. Which aspects of both models of team development apply the most and least to teams in this context? Do you think these teams function best in an additive, disjunctive, or conjunctive manner?

What are the advantages and disadvantages of each structure?

Most student teams spend little time forming and storming, but move directly into the norming phase. This is particularly true when assignments are well outlined and expectations of students are fairly clear. The development that occurs typically centers on norms for group members. Only if the team is very skilled or very lucky, do they get to the performing stage. Of course, it often happens that a student team will form and then hit a period of inertia where very little gets done until the calendar midpoint of a project. Then, a state of punctuated equilibrium occurs when the team realizes it needs to change its strategy if it is going to be successful.

Student teams typically function best on additive or disjunctive tasks. When student performance is based on the weakest member in the group, students with low motivation or low skills can significantly impact team performance.

11.3

Think about a highly successful team with which you are familiar. What types of task, goal, and outcome interdependence does this team have? Describe how changes in task, goal, and outcome interdependence might have a negative impact on this team.

For example, take an airline flight crew that has been flying together for an extended period of time. While the pilots have very different tasks than the attendants, all of them rely on each other for information to keep the flight going smoothly. Goal interdependence is high, because all members of the flight crew want their plane to get where it is going safely. Outcome interdependence may seem to be low, since attendants and pilots belong to different unions and are compensated differently, but if the airline gives a bonus for on-time arrival, for example, outcome interdependence might be higher.

11.4

What type of roles do you normally take on in a team setting? Are there task or social roles that you simply don‘t perform well? If so, why do you think this is?

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Answers will vary by student. Introverted students may find that they are not good at social roles, while students who do not have skills in a particular technical area may not take on task roles.

11.5

How would you describe your student team in terms of its diversity? In what ways would there be advantages and disadvantages to increasing its diversity? How might you be able to manage some of the disadvantages so that your team is able to capitalize on the potential advantages?

The major advantage to diversity is the broader pool of knowledge the team can draw from as it does its class assignments and the multiple perspectives that members can bring to the table. The major disadvantage is that the team may be less cohesive, given that people tend to have more rapport with those who are similar to them. One way to manage that might be to purposefully engage in team building activities (e.g., shared social events) to build that rapport in other ways. If those activities do result in better rapport, then the team has that cohesion while still having the added knowledge and perspectives that diversity can bring.

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CASE: WHOLE FOODS Questions: 11.1

What label would best describe the type of team that Whole Foods uses in its stores? Explain.

The teams used in Whole Foods stores are work teams. These teams are designed to be relatively permanent, their purpose is to serve customers, and employees are committed to their team the full time while they are at work. The teams at Whole Foods are teams in the true sense of the word because the members are interdependent. The teams also are largely self-managed.

11.2

Describe the advantages and disadvantages of Whole Foods‘ hiring process with respect to managing team composition.

Existing team members may be in the best position to judge whether applicants will fit from a personality perspective, and whether applicants have attitudes and values that are consistent with the rest of the team members. New hires who have personalities or values that clash with existing team members could spark conflict and turmoil in the team. Unfortunately, the process could also result in a team that lacks diversity. Team members’ stereotypes and biases may unintentionally weigh against people who might appear to be different on surface level characteristics, and as a result, qualified individuals do not get hired. One result may be team that lack a variety of perspectives needed to effectively solve problems. The hiring process could also create very homogeneous teams where members become overly protective of the team and act in the best interests of the team (and members in the team), rather than in the interest of the company and its customers.

11.3

What steps could Whole Foods take to mitigate potential disadvantages of their hiring process?

Whole foods could conduct training to help employees understand how stereotypes and biases could influence their decision making. This could help ensure that teams do not unintentionally pass on qualified applicants. Because this could increase diversity of the teams, the company could institute training to help teams deal with potential for conflict and the development of fault lines.

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BONUS CASE (from 5th edition): LUFTHANSA Headquartered in Cologne, Germany, Deutsche Lufthansa AG consists of more than 500 subsidiaries and associated companies organized into several groups, including passenger transportation, airfreight, MRO (maintenance, repair, and overhaul), catering, and flight training. For those of you who travel, the airlines in Deutsche Lufthansa AG‘s passenger transportation group may be familiar to you. These include the company‘s namesake, Lufthansa Passenger Airlines, as well as Austrian Air, Brussels Airlines, Germanwings, Sun Express, and SWISS. The core business of Deutsch Lufthansa AG is passenger transportation, so it may be obvious to you that some of the most crucial employees to the company are those who serve as members of the flight crews responsible for getting passengers from one destination to another. The composition of a flight crew depends on the specific aircraft being flown, as well as the length and purpose of the flight. In the cockpit, where the aircraft controls are located, there‘s a pilot in command and a co-pilot. These crew members are often referred to as the captain and first officer, respectively. For longer flights, the crew may include relief pilots—fully qualified captains and first officers—who fill in when someone needs to rest. In the main cabin, there are flight attendants responsible for the safety and comfort of the passengers. A lead flight attendant coordinates among the other members of the flight crew to ensure compliance with safety procedures and that passengers in the different cabin classes are taken care of.

Although each crew member has a set of well-defined responsibilities, they function together as a team. First, they look the part. They all wear uniforms, and there‘s no mistaking a member of the crew for a passenger. Second, crew members share the same overarching goal of flight safety. Third, crew members will likely share the same fate if, for some reason, they don‘t achieve the goal of flight safety. Finally, crew members need to interact and coordinate throughout a flight. In the end, the ability of crew members to perform effectively as a team plays a key role in facilitating Lufthansa‘s strategic objectives, which are centered on quality, punctuality, dependability, and safety.

Although fatal crashes are exceedingly rare in aviation—approximately one fatality for every 1.3 million flights—they‘re highly visible. They‘re also quite memorable in the minds of potential customers who have choices when making travel plans. Based on examinations of fatality records, incident reports, and audits from aviation associations and governments, Lufthansa Passenger Airlines has been rated as being among the world‘s top 10 airlines in terms of safety. Lufthansa‘s safety record is a function of several factors, but perhaps most important is the company‘s investment in flight crew training. Lufthansa‘s world class flight training subsidiary is the most obvious example of this type of investment. Training delivered in facilities located throughout Germany. and in Phoenix, Arizona, ranges from basic pilot instruction to courses in the effective management of flight crews and their processes. The rationale for expenditures in flight crew training comes from knowledge that the vast majority of fatal airline accidents are

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due to the human limitations rather than random mechanical failures or fluke weather phenomena.

Unfortunately, on March 25, 2015, Germanwings Flight 9525, on route from Barcelona, Spain, to Dusseldorf, Germany, crashed in the French Alps, killing all 144 passengers and six crew members (two pilots and four flight attendants). Germanwings is a wholly owned subsidiary of Lufthansa and provides low-cost direct flights between European destinations. What is shocking about this particular incident is that one of the pilots crashed the plane intentionally. The co-pilot waited until the captain left the cockpit and locked the door so that the captain could not get back in. Recall that locks were installed on reinforced cockpit doors after the 9/11 terrorist attacks in 2001. The co-pilot then set the autopilot to 100ft, which initiated a descent that resulted in the Airbus A320 crashing into the mountains 10 minutes later.

Following the tragedy, Lufthansa CEO Carsten Spohr indicated that flight crews at Lufthansa and Germanwings are composed with great care and that pilots are subjected to technical and psychological tests. He also noted that even with tough standards and safety regulations in place, it‘s impossible to rule out one-off events like this. Subsequent investigations of the crash have centered on two issues. First, the copilot had been treated for depression. Although he had apparently recovered and been cleared for flying, he remained troubled. This raises the question of whether someone on the flight crew should have detected something odd about the co-pilot‘s behavior and reported it. Second, the incident provides evidence that it‘s not a good idea to leave a single individual alone in a cockpit with complete responsibility and control of an aircraft carrying passengers. This has led to changes in policies that now require at least two members of the flight crew in the cockpit at all times. A complete explanation of the copilot‘s motives for this horrific tragedy may never come to light. However, the incident does highlight the fact that transporting passengers on an airliner requires a team effort.

Sources: S. Almasy and L. Smith-Spark, "Reports: Antidepressants Found at Home of Co-Pilot Andreas Lubitz," CNN Online, March 28, 2015, http://edition.cnn.com/2015/03/28/europe/france-germanwings-plane-crashmain/index.html; V. Bryan, "Lufthansa CE Stunned that Co-Pilot Apparently Crashed Plane," Reuters, US Edition Online, March 26, 2015, http://www.reuters.com/article/2015/03026/us-france-crash-lufthansaidUSKBN0MM1R520150326; K. Cripps, "What are the World’s Safest Airlines?" CNN Online, January 6, 2015, http://edition.cnn.com/2015/01/06/intl_travel/world-safestairlines/?iid=EL; Lufthansa Corporate Website, "Passenger Airline Group," 2015, http://www.lufthansagroup.com/en/company/business-segments/passenger-airlinegroup.html; R. L. Helmreich and H. C. Foushee, ―Why CRM? Empirical and Theoretical Bases of Human Factor Training," in B. Kanki, R. Helmreich, and J. Anca (Eds.), Crew Resource Management, 2nd ed. (San Francisco: Academic Press, 2010), pp. 3–57; "The World’s Biggest Public Companies: #932 Deutsche Lufthansa," Forbes Online, 2015, http://www.forbes.com/companies/deutsche-lufthansa/; and ―What Happened on the Germanwings Flight,‖ The New York Times Online, March 27, 2015,

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http://www.nytimes.com/interactive/2015/03/24/world/europe/germanwings-plane-crashmap.html?_r=0.

Questions: 11.1

What type of team is a flight crew? What are the defining characteristics of a flight crew? What role did these characteristics play in the crash of Flight 9525?

A flight crew is an action team. They perform a highly complex task, sometimes in highly challenging circumstances. Failing to perform effectively has implications that are highly visible. Flights are relatively short duration tasks and the crews are together for a short period of time (the duration of the flight). This last characteristic may have played a role in the crash of Flight 9525. Specifically, the members may not have known each other long enough to detect that something was wrong with the co-pilot.

11.2

How did the locking of the cockpit door change the nature of the flight crew‘s task? How did the change in policies after the crash address this issue?

The locking of the cockpit door essentially made the task conjunctive. That is, flight safety became a function of the one very troubled member. Maintaining presence of two members of the flight crew in the cockpit makes the task somewhat less conjunctive.

11.3

How do the two models of team development apply to flight crews? Describe a model that better depicts how flight crews develop over time. How could the team development process be modified to help prevent incidents like this in the future?

Neither model of team development describes flight crew development very well.

Rules, regulations, and norms make the forming, storming and norming phases irrelevant. And although there is obviously a midpoint in a flight, there really isn’t any punctuated equilibrium that creates tension and drive to revisit the crew’s progress. Although it might sound extreme, a better description of flight crew development might be ―procedure and exceptions review‖  ―performing.‖ One change would be to provide the opportunity for crew members to get to know each other. Although this might require a structural change in the way crews are scheduled/rotated, this would help members detect problems related to members’ mental/emotional states.

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EXERCISE: PAPER PLANE CORPORATION Preparation: The Paper Plane Corporation Exercise requires that you supply students with enough paper so that they can progress through three five minute rounds of paper airplane folding. Recycled paper works well for this exercise—just let students know that whatever is printed on the paper is irrelevant to the exercise. You may have to start saving paper a few weeks in advance in order to have enough for your class, especially if you are teaching a large lecture section.

You will also want to re-familiarize yourself with the fine art of airplane folding, since you will be demonstrating this for the class! Be sure that your airplane meets the following quality standards.

• • • •

Plane is symmetrical.

All corners must match evenly.

Both wings must be exactly the same size, and tailfins must be the same height.

Plane must be able to fly at least five feet.

In Class: Prior to starting the exercise, have students get together in teams and pick a team manager and a team inspector. Ask all of the team inspectors to come to the front of the room, and provide each inspector with a summary sheet. Team inspectors will be responsible for distributing the supplies to the team, and keeping track of bids, along with evaluating final products. Then send each inspector to a team that is different from their original team. This ensures that inspections are being done fairly.

Next, show students how to fold a paper airplane, as it is not always easy to visualize how this is done from the instructions in the text. Be sure that you explain the quality standards listed above to the class, and demonstrate how your plane meets those standards. Again, remind the class that they must Time the rounds of airplane building carefully. They should not be longer than five minutes, and all rounds should be the same. If you are pressed for time in the class, you can eliminate the final round of folding.

Questions: In the discussion part of this exercise, point out that if all members of the team have relatively high skills, sequential interdependence is going to be more effective in this task than pooled interdependence. This is because, even in a five-minute period, people will quickly learn to specialize at a task, and they will be more efficient at doing a single task than they are at trying to fold an entire

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airplane by themselves. However, one slow member will slow down the entire group in sequential interdependence, as this is a conjunctive task.

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OMITTED TOPICS The field of organizational behavior is extremely broad and different textbooks focus on different aspects of the field. A brief outline of topics that are not covered in this text, but which the professor might want to include in his or her lecture, is included below. In cases where these topics are covered in other chapters in the book, we note those chapters. In cases where they are omitted entirely, we provide some references for further reading.

•

Sociotechnical Theory – Modern perspectives on small groups and teams can be traced to research conducted in the early 1950 in the British coal mining industry.

For a review of a classic study from this perspective see: Trist, E. L., G. I. Susman, and G. R. Brown. ―An Experiment in Autonomous Working in an Underground Coal Mine. Human Relations, 30 (1977). pp. 210–236.

•

Team Based Organizations—Team based organizations are different than traditional ―job-based‖ organizations in several important ways. For a discussion of these differences, and also factors that need to be taken into account in designing a team based organization, see: Mohrman, S. A., S. G. Cohen, & A. M. Mohrman, Jr. Designing Teambased Organizations: New Forms of Knowledge Work. San Francisco: Jossey Bass. (1995).

•

Designing Work Teams – There are many different characteristics of teams that influence team processes and outcomes. For a discussion regarding how to take these characteristics into account when designing teams see: Hackman, J. R. ―The Design of Work Teams.‖ In J. W. Lorsch (Ed.) Handbook of Organizational Behavior. Englewood Cliffs. N. J.: PrenticeHall. pp. 315–342. (1987).

•

Team Leadership – Effectiveness in the leader role is an important factor for team success. For more information about leadership, see Chapters 13 and 14 in this text. For information regarding the particulars of leading teams, see: Hackman, J. R. Leading teams: Setting the Stage for Great Performances.

Boston: Harvard Business School Press (2002).

•

Majority and Minority Influence – Members of groups who hold a minority or majority position may have an important influence on group functioning and effectiveness. For more information see:

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Moscovici, S. ―Social Influence and Conformity.‖ In G. Lindzey and E. Aronson (eds.), The Handbook of Social Psychology (Vol. 2). New York: Random House. pp. 347–412 (1985).

Nemeth. C. J., & B. M. Staw. ―The Trade-offs of Social Control and Innovation in Groups and Organizations.‖ Advances in Experimental Social Psychology, 22(1989), pp. 175–210.

Chapter 12: Teams: Processes and Communication

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NOTE FROM THE AUTHOR My name is Jason Colquitt, and I‘m the lead author on the Colquitt-LePine-Wesson textbook, Organizational Behavior. I‘m also the author of this Instructor‘s Manual and I want to encourage adopters to reach out to me if I can help in any way with the book.

I‘m happy to point you to video clips that complement our OB on Screen feature or to share the details of a research project on performance and commitment that I do with my students. I also created PowerPoints for earlier editions of the textbook that have extensive photos and vivid colors, along with narration notes from my own teaching. I‘m happy to share those PowerPoints with you, as the current PowerPoints are limited by new restrictions on photos and colors. I also have those files in Keynote form if you are a Mac user. In sum, I enjoy corresponding with adopters very much, so please do not hesitate to reach out to me. My email address is jason.colquitt@gmail.com.

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CHAPTER OVERVIEW This chapter explores team processes—the communication, activities, and interactions that occur within teams as they pursue their goals and accomplish their tasks. Some processes are directly related to core team tasks. Other processes integrate or support accomplishment of core tasks. Finally, other processes result in difficult to observe team states, including cohesion, potency, mental models, and transactive memory. To improve team process, organizations may include training in areas such as team building and team competencies.

LEARNING GOALS After reading this chapter, you should be able to answer the following questions: 12.1 12.2 12.3 12.4 12.5 12.6

What are taskwork processes, and what are some examples of team activities that fall into this process category?

What are teamwork processes, and what are some examples of team activities that fall into this process category?

What factors influence the communication process in teams?

What are team states, and what are some examples of the states that fall into this process category?

How do team processes affect team performance and team commitment?

What steps can organizations take to improve team processes?

CONNECT EXERCISES Famous 60s Rock Band Feuds Taco Bell Task Conflict Manager‘s Hot Seat: Listening Skills iSeeIt! Animated Video: Communication Team Communication Networks Potency Team States Training Teams

Case Analysis Case Analysis Self-Assessment Video Case Video Case Click and Drag* Self-Assessment Click and Drag* Click and Drag*

*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

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CHAPTER OUTLINE I. TEAM PROCESSES AND COMMUNICATION A. Team process is a term that reflects the different types of communication, activities, and interactions that occur within teams that contribute to their ultimate end goals II. WHY ARE SOME TEAMS MORE THAN THE SUM OF THEIR PARTS? A. Process gain – Similar to ―synergy,‖ the term refers to the fact that some teams perform at a level which is higher than the level of their combined individual members.

B. Process loss, the opposite of process gain – You get less from the team than you would expect, based on the team‘s individual members.

1. Coordination loss – when integrating team activities consumes more time and energy than the activity itself a. Coordination loss, driven by production blocking – when team members have to wait on one another before they can do their part of the team task 2. Motivational loss – when team members don‘t work as hard as they could, due to the reduced accountability of being in the team a. Motivation loss, driven by social loafing – where members exert less effort due to the presence of others OB at the Bookstore: Extreme Teams. The book provides a very good overview of the challenges of managing teams. The author notes that while teams are capable of accomplishing extraordinary things, all too often, just the opposite occurs. You can begin discussion by asking students why forming teams with the most capable individuals doesn‘t always result in the best teams. They may provide examples, and explain that conflict, communication problems, lack of teamwork, and so forth, often prevent teams from reaching their potential. You can then ask what can be done to mitigate these process losses. The students will likely identify an array of practices aimed at enhancing teamwork—teambuilding, team training, and so forth.

You can point out that these are used in organization, however, are there some things that need to be present first. One of the key lessons of the book is that the team members need a reason to be cooperative, and perhaps the most fundamental thing that needs to be present is that the work needs to be accomplished by a team. When work can be accomplished by individuals working alone, or split-up among team members and then added together at a later point in time, there really isn‘t a reason for the members to 2-260 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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cooperate—instead, they‘ll be driven by their own self-interests—which leads to problems like social loafing. However, when the work requires the members to work together to achieve something specific that is important, they‘ll be more likely to understand that their efforts have to align, and they‘ll pressure each other to work towards those ends. You can point out that the book describes how some very successful companies manage teams to achieve extraordinary results, and that although the specific practices differ, they used practices and policies that instill in team members a shared passion to achieving specific goals and a belief that they can be successful.

Connect Exercise: Famous 60s Rock Band Feuds Case Analysis. This purpose of this case study is to illustrate how team processes affect team effectiveness. Teams should be synergistic, producing better results than the members‘ work combined. A number of problems, such as production blocking, process loss and process coordination loss, can keep this from happening, such as the behaviors of individuals.

Learning Goals 12.1 What are taskwork processes, and what are some examples of team activities that fall into this process category?

Topic: Team performance; Team building Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Students usually have plenty of experience with team problems. Although they may not be as explosive as the stories in this case, it is a class discussion they can relate to and, therefore, use to attach meaning to the concepts they are learning.

C. Taskwork Processes – the activities of team members that relate directly to the accomplishment of tasks 1. Creative behavior – activities focused on generating novel and useful ideas and solutions a. Brainstorming – a creative process guided by four rules: 1) Express all ideas that come to mind, no matter how strange.

2) Go for quantity of ideas rather than quality.

3) Don‘t criticize or evaluate the ideas of others.

4) Build on the ideas of others.

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i.

Brainstorming rarely works as well as individual idea generation.   

People tend to social loaf in groups.

Members may be hesitant to express ideas that are not well developed.

Production blocking occurs when members have to wait their turn to give ideas.

ii. IDEO brainstorming b. Nominal Group Technique i. Bring team together ii. Have members of team write down their ideas iii. Each member shares his or her ideas with the team iv. After recording ideas, they are discussed for clarification v. Members rank order ideas individually vi. Facilitator tabulates scores to get winning idea Try This! To illustrate the limitations of brainstorming, split the class in half. Identify a brainstorming problem (e.g., how to encourage recycling on campus), and give one half of the class 10 minutes to brainstorm (assign a facilitator from the group to write the ideas on the board). When the group is finished, outline a modified nominal group procedure that will be used by the other group. Members write down as many ideas as they can, and after three minutes, they‘ll take turns sharing the non-redundant ideas with the facilitator who writes them down on the board until seven minutes is up (NOTE: The other students in this group can also share their ideas with the class, but keep these ideas separated). Then count up the number of ideas each group unidentified in their allotted 10 minutes. The nominal group will always generate more ideas. Class discussion can focus on why this happened. Students will recognize coordination loss, motivation loss, and self-censuring as the major issues.

2. Decision Making a. In a team context, decision making requires that multiple members gather and consider ideas relevant to their specializations, then make recommendations to a team leader who is ultimately responsible for a final decision. b. Three factors account for team‘s ability to make effective decisions: i.

Decision informity – Do members possess adequate information about their own task responsibilities?

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ii. Staff validity – Do members make good recommendations to the team leader? iii. Hierarchical sensitivity – Does the leader effectively weigh the ideas of the members?

OB Internationally. This text box discusses the use of group decision support systems to help multinational teams overcome problems with communicating and making effective decisions. If students have experience using electronic meeting system software, then they may be able to identify strengths and weaknesses of these types of systems.

3. Boundary Spanning i.

Activities with individuals and groups who are not part of the team

ii. Activities include: 

Ambassador activities – communications intended to protect the team, persuade others to support the team, or obtain important resources for the team



Task coordinator activities – involve communications that are intended to coordinate task-related issues with people or groups in other functional areas



Scout activities – things that team members do to gain information about technology, competitors, or the broader marketplace

Connect Exercise: Taco Bell Case Analysis. This case study discusses the in-house creative agency at Taco Bell and taskwork processes including creative behavior, decision making, and boundary spanning. The creative team is characterized by a culture that promotes teamwork and respect for others‘ ideas.

Learning Goals 12.1 What are taskwork processes, and what are some examples of team activities that fall into this process category?

Topic: Brainstorming; Decision making; Task performance; The Creative Process; Team building Difficulty Level: 2 = Medium Blooms: Apply

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AACSB: Knowledge Application Follow-Up Activity: Ask students to brainstorm the ethical problems with ignoring boundary spanning processes. What if the creative teams at Taco Bell were competitive instead of open to new ideas from anyone? For example, teams may be hiding their ideas or not giving other team members necessary knowledge. Ask students how this can be mitigated. The answer would depend on whether the lack of boundary spanning is intentional or not.

D. Teamwork Processes 1. Teamwork processes are the interpersonal activities that facilitate the accomplishment of the team‘s work, but are not directly related to task accomplishment.

2. Transition Processes a. Teamwork activities that focus on preparation for future work. Such activities can include mission analysis, strategy formulation, and goal specification. These processes can take place before the team begins to do taskwork, or between identifiable periods of taskwork (e.g., parts of a project).

3. Action Processes a. Action processes are important as taskwork is being completed, and can include things such as monitoring progress toward team goals and coordination.

OB on Screen: Mission: Impossible-Fallout. The clip referenced in the book begins around the 53:34 mark of the film, continuing until about the 1:00:21 mark.

The clip depicts highly coordinated activity among members of Impossible Mission Force team members. Team leader Ethan Hunt smashes the truck he‘s driving into a van, so that the van lands in a river. There‘s a prisoner in the van who Hawk‘s team is trying to kidnap. Divers on Hunt‘s team pull the prisoner out of the truck just before the prisoner drowns, and bring him to other team members, who are in a boat. Meanwhile, Hawk abandons the truck for a motorcycle, and ends up being chased through the streets of Paris. Hawk radios his teammates and lets them know there‘s a change of plans and that he needs extraction. Hawk crashes his motorcycle, and jumps through a hole in the street and lands in the boat with his teammates and the prisoner. You can begin by asking students what makes the IMF team so effective. Students might mention the abilities and skills of the individual team members and things like adaptability and even luck. However, students will also mention teamwork. You can ask them to elaborate and to give specific examples from the clip. Students who read the chapter will realize that the scene depicts action processes, and that coordination 2-264 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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and helping behavior were very evident. You can then ask students what factors likely contributed to these team processes. Prepared students will likely refer to transition processes such as mission analysis and strategy formation. If it doesn‘t come up during the discussion, you might also ask what other types of team processes were evident, beyond teamwork processes. Students are likely to mention the taskwork processes, especially creative behavior (members adapt on the fly when things don‘t go as expected), and team states such as cohesion (caring about the team), potency (belief the team can be effective), and mental models (common understanding of what the team needs to do). Please email me at jason.colquitt@gmail.com if you have any questions about using OB on Screen in your teaching.

Bonus OB on Screen (from 6th edition): Spotlight. The clip referenced in the book begins around the 0:04:34 mark of the film, continuing until about the 0:08:40 mark. The clip depicts the boundary spanning activities of Spotlight, a team of investigative reporters at the Boston Globe. Before watching the clip, you can ask students what it takes for a team to be effective. If you haven‘t introduced the topic of team processes yet, most students will volunteer answers having to do with characteristics of the team members, a common purpose, leadership, and so forth. If students don‘t mention team processes, you can ask them what teams do to be effective. If you ask the question this way, they will identify general team process concepts: teamwork, cooperation, communication, managing conflict, and so forth. They will generally miss boundary-spanning types of things. Then ask them to watch the clip of the Spotlight team and see if they notice anything else. After they watch the film, students will point out that the team members were communicating with each other and trying to figure out what the new editor was going to be like (the previous one had retired). Focus the students on two other activities: (a) the team member who is on the phone trying to gather facts for a story from someone he apparently knew, and (b) the team member having lunch with the newspaper editor. You can ask students what these two activities have in common. The answer is that both involve interaction with individuals outside the team. Note that this is called boundary spanning. You can then ask how these activities differ from each other. The former involves getting help from someone outside the team so that the team can do its job. This is called task coordinator activity. The latter involves interactions with someone higher in the organization‘s hierarchy who could provide or withhold support and resources from the team. This is called an ambassador activity. You can ask them what else investigative reporters do that might result in interactions with others outside the team. As mentioned at the lunch meeting, the members of Spotlight ―troll‖ the environment and others for information regarding potential stories. This is referred to as scout activity. You can ask students for examples of team experiences where team success depended on different types of boundary spanning. You can wrap up by noting that activities with others outside the team—boundary spanning—are often more important than activities and processes that occur within the team.

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Bonus OB on Screen (from 5th edition): The SpongeBob Movie: Sponge out of Water. The clip referenced in the book begins around the 0:32:48 mark of the film, continuing until about the 0:41:00 mark. The clip begins with Plankton popping out of SpongeBob‘s head. Plankton believes that SpongeBob is hiding the Krabby Patty formula and decided to explore his brain while he‘s sleeping to look for clues. SpongeBob wakes up and realizes what happened and is disappointed that Plankton doesn‘t trust him. SpongeBob launches into a song about the importance of teamwork, after which the two build a time machine that will help them find the missing Krabby Patty formula. One topic for class discussion can focus on the concept of process gain and process loss. To start the conversation, you can ask students how the clip illustrates these two concepts. There are several examples of process loss, the most obvious being the time spent dealing with Plankton‘s distrust of SpongeBob. Another example occurs when the two argue about the merits of teamwork. There are also examples of production blocking that occurs as the two communicate with each other. Examples of process gain are present in the song about teamwork and also in the scene where the two set out to rescue Plankton‘s wife. They have to leverage their unique capabilities to accomplish their goal. Another topic of discussion can focus on the different forms of team process present in the clip.

Taskwork occurs in the form of brainstorming, and also in activities associated with building the time machine. Teamwork processes are present in the form of transition (e.g., strategy formulation), action (helping, coordinating), and interpersonal (motivating, confidence building) processes. A somewhat deeper conversation can focus on the challenge of building and maintaining effective teamwork in a context where at least some team members are distrustful and self-interesting. You can point out that SpongeBob motivates Plankton with a song in the clip, but how do you do this in the real word? Some students will suggest that the key is to help the skeptical team members understand that they have to depend on each other and that the only way they can be successful as individuals is if the team is successful. This is most likely to work in contexts where there is real interdependence in terms of tasks, goals, and outcomes.

Bonus OB on Screen (from 4th edition): Avengers. The clip referenced in the book begins around the 1:39:10 mark of the film, continuing until about the 1:42:10 mark. The clip depicts a conversation between Iron Man Tony Starks and Loki, an exiled god who has a plan to subjugate earth. Starks puts himself in a situation where he is completely defenseless against Loki in order to convey that he is confident in his team of superheros (The Avengers). He admits to Loki that although it has taken his team a while to ―get traction,‖ they will come together to defeat him. One topic for class discussion could center on the idea of synergy.

You could begin by asking students why synergy is necessary. The Avengers are up against an insurmountable force—Loki is not only extremely powerful himself, but he is receiving help from a race of aliens who wish to take over the Galaxy.

The Avengers clearly need to become more than the sum of the parts if they want to accomplish this feat. The conversation can then turn to how the Avengers can achieve synergy. One part of the solution involves leveraging the 2-266 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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strengths of each of the individual team members. Starks mentions these strengths in the conversation. The other element is getting the team members to work with each other so that process gain can occur. Students should be able see that the motivation for working together is the common goal of defeating Loki and saving Earth.

Bonus OB on Screen (from 3rd edition): Glory Road. The clip referenced in the book begins around the 1:09:39 mark of the film, continuing until about the 1:14:52 mark. The clip begins at the start of a 1966 basketball game where the Texas Western Miners (the first NCAA team to start an all African American lineup) were up against the University of Seattle Chieftains. The Miners were undefeated, and should have been able to handle the Chieftains handily, however, were struggling with racism outside the team as well as some unspoken resentment that had built-up among the players. As a consequence, the team lost the game due to poor play and a general lack of teamwork and motivation. After the game, members reveal their feelings and Coach Haskins and the team trainer refocus the players on the goal of winning the NCAA championship (which they do, beating Kentucky 72 to 65). A good opening for discussion would be to have students provide examples of specific team processes, both during and after the game. Taskwork interactions related to playing the game obviously were not very good. Teamwork also wasn‘t good— players weren‘t really helping each during the game, and there were obvious problems with interpersonal processes during and after the game. Students will also note that cohesion, a team state, was also low. A second topic for discussion can focus on how Coach Haskins managed the conflict. The conflict was relationship focused which is detrimental to team effectiveness. Coach Haskins‘ presence helped keep things under control. Haskins also created a climate where the players felt they could discuss their positions openly and honestly. Coach Haskins was able to manage the situation by focusing the players on the team‘s mission. He turned the conflict into a rallying point, which inspired the players.

Bonus OB on Screen (from 1st and 2nd editions): 300. The clip begins around the 40:45 mark of the film, continuing until about the 51:40 mark. The clip depicts reveals how an army of 300 can achieve the type of process gains that allow it to effectively fight against an army of over 100,000. The scene opens with King Leonidas explaining to Ephialtes why it is necessary for a Spartan soldier to be able to lift his shield over his head. The King‘s rationale is that employment of the shield is an essential part of the phalanx strategy, and the failure of even one soldier to do so skillfully in battle could jeopardize the entire army. The scene then vividly depicts a battle in which the phalanx is effectively employed against the Persian conquerors. Class discussion could begin by asking students to identify factors that allowed the small group of Spartans to fight effectively against a numerically superior force. Students should be able to identify factors that relate to several of the processes discussed in the chapter. The scene shows that the Spartans were not only exceptionally well trained in the task of 2-267 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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fighting, but they also employed an effective strategy (they fought the battle in a narrow pass, and thus the phalanx could not be out flanked), their actions were highly coordinated (they raised and lowered their shields in unison), they had confidence in themselves, they were very cohesive, and they had a shared vision of what they needed to do to achieve a common goal. These examples cover many of the processes discussed in the chapter (taskwork, teamwork, and emergent states).

4. Interpersonal Processes a. Interpersonal processes relate to the manner in which team members manage their relationships. They include processes such as motivating and confidence building, and conflict management. i.

Types of team conflict 

Relationship conflict – Based on incompatibilities with respect to personal values or preferences, these almost always harm the team



Task conflict – Based on disagreements about the team‘s task, these can be beneficial to team

Try This! Ask students to share an example of task conflict that occurred in one of their student teams. What exactly did the disagreement revolve around, and did the task conflict ultimately have a positive or negative effect on the group‘s performance? Then ask students to share an example of relationship conflict, so long as it involves a person or team that is not also in the class. Was that instance more detrimental to the team‘s effectiveness than the task conflict? Why exactly?

Connect Exercise: Task Conflict Self-Assessment. Students complete this self-assessment about a class team, current or past. Results classify teams as having high task conflict or low task conflict.

Learning Goals 12.2 What are teamwork processes, and what are some examples of team activities that fall into this process category?

Topic: Functional conflict; Task performance Difficulty Level: 1 = Easy Blooms: Apply

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AACSB: Reflective Thinking Follow-Up Activity: Research shows that having a process helps teams use task conflict effectively. Give students the task to create a procedure that encourages and structures positive team task conflict. A team should be able to use the procedure step-by-step when appropriate (developing new ideas, conflicting over process, or other disagreement).

E. Communication 1. Communication refers to the process by which information and meaning gets transferred from a sender to a receiver.

2. The communication process involves both a sender, who encodes a message, and a receiver, who decodes the message. That process can be hindered by: a.

Communicator issues.

Low communication competence – a lack of skills in encoding, transmitting, and receiving messages Problematic emotions and emotional intelligence of members – inability to regulate emotions and understand the emotions of others while encoding, transmitting, and receiving messages

b. Noise – factors in the environment that interfere with the message c. Low information richness – messages transmitted through less rich media, such as computers, lack cues such as body language, tone of voice, and facial expressions Connect Exercise: Manager’s Hot Seat: Listening Skills Video Case. This video shows a counseling discussion between a manager and her employee.

The employee is not listening to the manager‘s concerns about his project management skills.

Learning Goals 12.3 What factors influence the communication process in teams?

12.6 What steps can organizations take to improve team processes?

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Follow-Up Activity: Consider information richness and social media in organizations. Ask students to classify social media platforms in terms of low to high richness. These may include Twitter, Snapchat, Instagram, LinkedIn, YouTube, etc. You can add to the assignment by asking students to research what new social media platforms will be used in the next year.

Connect Exercise: iSeeIt! Animated Video: Communication Video Case.

This animated video explains the basic communication process, including encoding, decoding, channel selection, feedback, and noise.

Learning Goals 12.3 What factors influence the communication process in teams?

Topic: Communication Difficulty Level: 1 = Easy Blooms: Understand AACSB: Knowledge Application Follow-Up Activity: What keeps people from listening in meetings? Ask students to brainstorm types of ‗noise‘ businesspeople encounter in meetings.

Students should classify each item as the responsibility of the meeting leader or attendee, and give a suggestion for how the noise can be reduced. d. Inappropriate network structures or use of technology – the pattern of communication occurring in the team should match the complexity of the task, with more centralized structures (the wheel, the Y) being more appropriate on simple tasks and less centralized structures (all channel, circle) being more appropriate on complex tasks Connect Exercise: Team Communication Networks Click and Drag*.

Students read descriptions of different teams‘ communication styles and match them to types of communication networks – all channel, circle, wheel, and Y. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 12.3 What factors influence the communication process in teams?

Topic: Communication process; Social networks

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Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Ask students to identify which type of communication network best describes their current or most recent team project. Where were they positioned in the network pattern? Discuss what would be the appropriate network pattern for that project and what network type affects.

These may include performance, satisfaction, efficiency, etc.

F. Team States 1. Team states refer to the specific types of thoughts and feelings that coalesce in the minds of team members as a consequence of working together.

2. Team states include: a. Cohesion – the emotional attachment that bonds team members together i.

May lead to groupthink

ii. To leverage benefits of cohesion, teams should:  

Acknowledge that cohesion can be detrimental Formally institute the role of devil‘s advocate

OB Assessments: Cohesion. This scale allows students to determine exactly how cohesive their teams are. Ask the students to complete the assessment relative to their current team in the course, or to a team from another class. If their current team is the focus, it‘s best to skip the typical showing of hands for who scores high or low. It may be a bit uncomfortable for classmates to admit to low cohesion scores in front of their team members.

Please see the Instructor PowerPoints for Bonus Assessments on Relationship Conflict and Transactive Memory.

Please see the Connect assignments for this chapter for assessments on Potency and Task Conflict.

Please email me at colq@uga.edu if you have any questions about using these assessments in your teaching.

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b. Potency – the degree to which team members think that the team can be effective across a variety of situations and tasks i.

Strong potency has a strong positive impact on team performance.

Connect Exercise: Potency Self-Assessment. Students respond to questions about a project team, current or past. Results classify the team as having high potency or low potency. High potency teams will be more confident and team members will devote more energy to team tasks.

Learning Goals 12.4 What are team states, and what are some examples of the states that fall into this process category?

Topic: Task performance; Team building Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Ask students how they can increase potency in class teamwork that has more than one task, such as a written paper and presentation. They may give ideas that would be valuable in different tasks, such as to increase member confidence and trust. This activity could be part of team development in an actual class project that results in team goals for building potency. c. Mental Models – the level of common understanding among team members with regard to important aspects of the team and its task d. Transactive Memory – refers to how specialized knowledge is distributed among members in a manner that results in an effective system of memory for the team

Connect Exercise: Team States Click and Drag*. Students read comments about team relationships and match each to a team state. Team states include cohesion, potency, mental models, and transactive memory. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals

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12.4

What are team states, and what are some examples of the states that fall into this process category?

Topic: Group cohesion; Team building Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Most business schools allow MBA students to schedule their own courses ad hoc, choosing times and days. Some MBAs use a ‗lockstep‘ approach, meaning that a group of students, called a cohort, takes every class together. Assign students the task to defend the use of the ‗lock-step‘ approach instead of the individual ad hoc approach for the purposes of building positive team states.

G. Summary: Why Are Some Teams More Than the Sum of Their Parts?

III. HOW IMPORTANT ARE TEAM PROCESSES? C. Teamwork processes have a moderate positive impact on team performance, especially for teams involved in complex knowledge work.

D. Teamwork processes have a strong positive effect on team commitment, especially for teams involved in complex knowledge work.

XXXIX.

APPLICATION: TRAINING TEAMS

A. Transportable Teamwork Competencies 1. Organizations may try to help individual members gain individual competencies such as conflict resolution and communications skills, which are related to effective team processes.

B. Cross-Training 1. Organizations may train team members in the duties that are normally performed by their teammates. This helps people to learn how the jobs of the individuals on the team come together.

2. Three levels of cross training: a. Personal clarification – Members receive information regarding the roles of other team members.

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b. Positional modeling – Team members observe how others do their jobs. c. Positional rotation – Members actually do the work of other team members.

C. Team Process Training 1. Team process training is an experience that helps the team work together more effectively; for example, action training, where a team is given a real problem, and then is held accountable for solving the problem D. Team Building 1. Typically facilitated by a consultant, these activities are intended to improve goal setting, interpersonal relations, problem solving, and role clarification.

Sample activities include ropes courses, laser tag, paintball and scavenger hunts. a. Team building may or may not be effective. One meta-analysis shows that it does not have a positive effect on team performance, but it may have a positive effect for smaller teams and when the exercise emphasizes the importance of clarifying role responsibilities.

Connect Exercise: Training Teams Click and Drag*. Students match employee groups to types of training. Choices include transportable teamwork competencies, team building, cross-training, and team process training. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 12.6 What steps can organizations take to improve team processes?

Topic: Team building Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Business schools require that students participate in teams every semester, if not in most classes. Should business schools teach transportable teamwork competencies to students before they start their

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business classes? Ask students to brainstorm transportable skills needed by business school students and why each is needed.

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DISCUSSION QUESTIONS 12.1

Before reading this chapter, how did you define teamwork? How did this definition correspond to the definition outlined in this book?

This chapter emphasizes the role of group processes in teamwork. While most students will have already considered task processes, they may not be as familiar with the way interpersonal processes affect teamwork outcomes.

12.2

Think of a team you worked in that performed poorly. Were any of the causes of the poor performance related to the forces that tend create process loss? If so, which force was most particularly problematic? What steps, if any, did your team take to deal the problem?

Answers will vary from student to student, but many students may identify interpersonal processes as the source of their team difficulties. An additional problem is that often, teams take no action at all when dealing with interpersonal processes.

12.3

Think about the team states described in this chapter. If you joined a new team, how long do you think it would take you to get a feel for those team states?

Which states would you be able to gauge first? Which would take longer?

Some states might be very easy to see immediately. For example, the group’s cohesion might be readily apparent at first meeting. Other states would take longer to discern, especially things like mental models and transactive memory, since they are so heavily based on group history.

12.4

Describe the communication process in a student team of which you‘ve been a member. Were there examples of ―noise‖ that detracted from the team members‘ ability to communicate with one another? What was the primary mode of communication among members? Did this mode of communication possess an appropriate level of information richness? Which network structure comes closest to describing the one that the team used to communicate? Was the level of centralization appropriate?

This response will vary from student to student and team to team. In general, much of the communication among student team members is via email and messaging apps, so the information richness is often low. Face-to-face communication is more rare, especially among members whose class attendance is inconsistent. In addition, students tend to split up assignments to decrease the time that any one student has to spend working on the assignment, especially at busy times of the semester. That tends to result in more centralized network structures, which can be effective with simple assignments but ineffective with complex ones.

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12.6

Which types of teamwork training would your student team benefit most from?

What exactly would this training cover? What specific benefits would you expect?

What would prevent a team from training itself on this material?

Answers to this question will vary by student, depending on their team experiences.

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CASE: GOOGLE Questions: 12.1

Describe how the Project Zero achieves process gain? What factors might create process losses for this team?

From the description in the case, members seem to work independently until they find a potential problem. Process gain occurs when members meet to discuss the issue. Members share insights, learn from each other, and together develop an understanding of the situation that is superior to that of what any individual team member would have arrived at on their own. Process low might occur during meetings when members discuss non-relevant matters, argue about trivial differences of opinion, or when members hold back from contributing for selfserving purposes.

12.2

Describe how the three general types of taskwork processes are important to the success of Project Zero.

Creative behavior is needed to identify and root-out new types of bugs in the code. Decision-making comes into play when trying to determine the best way of approaching a potential problem, and also when deciding how to work with the responsible company and setting deadlines. Boundary spanning comes into play when team members do research on vulnerabilities, and related to the previous point, when working with the responsible companies to resolve problems.

12.3

Identify the communication network structure that would be most suitable for Project Zero. Explain.

When researching a problem team members should have direct access to other team members who might possess expertise and insights needed to fully understand the problem. Therefore, an all channel communication network structure will make the most sense. This is especially true given that the problems faced by project zero are quite complex, and all channel communication network structure are more effective than the other structures in highly complex work.

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BONUS CASE (from 6th edition): MICROSOFT Founded in 1975, Microsoft gained prominence by dominating the world‘s personal computer operating systems market, first with MS-DOS, and later, with Windows. With Microsoft Office, the company also came to dominate the world‘s office productivity applications market. Because of these products in particular, Microsoft experienced phenomenal success and growth during its first two-and-a-half decades. Since then, however, companies like Google, Facebook, and Apple have surpassed Microsoft in the development of innovative software, social media, and other tech products. By 2012, it was clear that Microsoft‘s standing in the tech industry had eroded. Apple‘s iPhone, which was only five years old at the time, had higher sales than absolutely everything Microsoft had to offer. What exactly went wrong?

Although Microsoft hired the best and brightest, the company had adopted management practices that unintentionally hindered the type of teamwork needed to bring innovative products to market. The best example is the company‘s stack ranking system, which required managers to put a specific percentage of their subordinates in ―top‖, ―good‖, ―average‖, ―below average‖, and ―poor‖ performing categories. Even if a manager had a team of 10 superstars, two would get great reviews, seven would get mediocre reviews, and one would get a horrible review (and would likely be looking for a new job the next day). It doesn‘t take too much of an imagination to understand how this system promoted unhealthy competition among teammates. Rather than sharing an idea with a teammate to move a project forward, employees would wait until right before a performance evaluation and then tell their manager to make sure they got credit for the idea. Employees did whatever they could to escape being on the bottom. They avoided working on a team with other really good employees, they sabotaged their teammates‘ efforts, and they spent a lot of time schmoozing managers who would be rating them.

Microsoft realized that turning things around at the company would require that employees collaborate more effectively. To that end, abandoning the stack ranking system was a no-brainer. Importantly, Microsoft also changed the focus of the feedback given to employees about their job performance. For example, employees began receiving feedback on how well they use ideas and information from others, and also how well they contribute to others‘ success and the success of their team and organization. In essence, Microsoft believed that a key to improving its competitive position was to refocus the mindset of their employees in a way that promotes effective teamwork and collaboration throughout the company.

In 2013, Microsoft recognized that the company would have to make fundamental changes to compete in an industry that rewards fast-paced innovation. At the time, there were several product groups at Microsoft that not only operated in silos, but also viewed each other as competitors for resources and bonuses. An engineer on a product team in one division might discover something that could be useful in another division‘s product, but there was no incentive for the engineer to share what was learned with the other product team. To address this problem, and to promote teamwork across the organization, Microsoft replaced the product groups with four broad divisions based on 2-279 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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functions that absolutely need to collaborate to get anything done. For example, a team responsible for developing a new Xbox would now likely include engineers from the devices and studio engineering division, the operating systems division, the applications division, and the cloud division.

To support Microsoft‘s new structure and emphasis on teamwork, the company redesigned two buildings at corporate headquarters. The corridors and private offices that once filled these buildings were completely torn out. Now the buildings are filled with large open shared rooms called neighborhoods, which teams can customize using stipends provided by the company. There are smaller ―focus‖ rooms and cozy alcoves that employees can use when privacy is needed, but there are no private offices. The buildings are light and airy, and are decorated with art and interesting objects that encourage employees to walk around and to meet and communicate. Rather than emailing, employees are encouraged to engage with each other in person and to connect in ways that are more spontaneous and rich. Employees who may have never met faceto-face may run into each other at one of the coffee bars and discover they‘re working on similar projects.

Of course, the redesigned buildings may present the company and its employees with certain challenges. For example, some employees likely have a strong preference for privacy, or may be bothered by the distractions and interruptions from teammates. As another example, limited private space may make it less likely that employees speak up and challenge others on the team for fear that conflict will be exposed. Finally, because employees play an important role in the design and development of their neighborhoods, they may not be as open to changing teams as projects evolve and the needs of the company change.

Sources: T. Halvorson, K. Eichenwald. ―Microsoft‘s Lost Decade,‖ Vanity Fair, July 24, 2012, http://www.vanityfair.com/news/business/2012/08/microsoft-lost-mojo-steveballmer; J. Warnick, ―Productivity by Design,‖ Microsoft/Story Labs, https://news.microsoft.com/stories/b16/; and T. Warren, ―Microsoft Axes its Controversial Employee-Ranking System,‖ The Verge, November 12, 2013, http://www.theverge.com/2013/11/12/5094864/microsoft-kills-stack-ranking-internalstructure.

Questions: 12.1

Describe how the building redesign is likely to influence process gain and process loss in the teams at Microsoft.

The building redesign encourages employees to walk around and to meet in person. Microsoft hopes the richness and spontaneity of these meetings will result in greater levels of knowledge sharing and knowledge integration, and in turn, creativity. The company is counting on these things to produce synergies to offset what will certainly be increased process losses. The act of walking around and the reliance on unplanned chance meetings will increase coordination 2-280

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losses. Production blocking will occur when team members get sidetracked by chance meeting. Motivational loses will occur because some team members will take advantage of the situation more than others. This will discourage those team members who might be tied to their computers pumping out work.

12.2

Describe how the changes at Microsoft have likely influenced team states.

The building redesign could affect all team states discussed in the book. First, it may enhance team members’ sense of cohesion. Members share an open space, are responsible for making it their own, and this may increase team members’ identity with their team. Potency may increase if members believe they have greater access to information and resources to solve work related problems. The increased opportunity for interaction may engender common mental models about the organization and the work. Finally, and maybe most relevant, transactive memory may be enhanced. As members interact with others in the organization, they develop a better sense of who knows what.

Understanding this network of knowledge should improve a team’ capability to solve problems.

12.3

What are the advantages and disadvantages of the building redesign with respect to communication? What can be done to mitigate potential disadvantages?

The main advantage of the building redesign is that it enhances information richness. When communicating face to face, employees can read body language for signs of misunderstanding and the need to elaborate on points. Accordingly, potential misunderstandings may be reduced. However, given that informal meeting may be held in locations with others around, and with other distractions, there may be noise that make it difficult for sent messages to be received.

Communicators may also be less than forthcoming in face to face meetings for fear of sparking conflict with others around. Finally, some individuals may find it more difficult to communicate and interact in a face-to-face setting. These individuals may strongly prefer time to plan what they might say to ensure that their messages are received as intended. Microsoft could deal with these issues by ensuring there are spaces available for private meetings and training for employees who are less comfortable communicating face to face.

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EXERCISE: WILDERNESS SURVIVAL Instructions: This exercise takes between 40 and 50 minutes. Begin by having the students read the scenario individually, placing their own rankings of the 14 items into column B of the table. Once they have completed their individual rankings, put the students into their groups and give them 15 to 20 minutes to come to consensus on how the group would rank the items. Those group rankings go into column C of the table. Reiterate the instructions given in the exercise, that group members should not merely vote or average rankings together. They should strive to create consensus and to use persuasive techniques to build unanimity in the group.

Correct Answers: Once the group has completed their rankings, provide the following correct answers, to be put into column D of the table. The correct answers are based on the opinions of two experts: Jeff Stemmerman and Ken Gieske of REI Outfitters, both of whom act as guides for canoe trips to the Boundary Waters region.

The experts agreed that the best course of action for the group was to repair one of the canoes and send two of the most experienced and least injured people to paddle to a road and go to Grand Marais for help. Because a search party would not even leave for at least five days and might not find the group for a couple days more, this would cause severe hardship on the group, particularly the one with the broken leg. Food is way down and there is minimal protection from rain and cold, since the tent and tarps were lost. Cold and rainy weather at this time of year is life-threatening, so the group must get help as soon as possible. It is estimated the group of two would move faster than if everyone went along, and they could get to help within one day. Then a helicopter could be sent to the camp site.

First priority of the group, then, is to go for help. However, in order to do this and survive, it is important to get warm and try to dry out wet clothing and sleeping bags.

However, since it has started to drizzle and may rain, there is no assurance things will get dry soon. In that case, the party of two needs to leave quickly, in wet clothes and take their wet sleeping bags with them.

There is almost no food left, most of it having been lost in the rapids. About half should go to the two paddlers, who will have less time to gather food, but who will presumably get to a food source sooner. The experts said as long as they have water, they could go for three days without food and still function adequately. On the third day they would get shaky. Those left behind can try to catch some fish to eat.

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Based on these opinions, the experts‘ rankings are: •

•

• •

•

•

•

•

•

Duct Tape. This is the most essential thing because it is the only way to repair the canoe. It can be used to patch up the 18" tear and to fix the broken gunwales.

Other uses for the tape (which the experts say is essential on any such trip) is to repair the fishing poles and to use with large sticks to set a temporary splint for the broken bone. Lastly, it can be used to fashion a makeshift pan to boil water.

However, caution must be used to keep the tape far enough away from the flame and to not allow the water to get so hot that the adhesive will melt.

PFD's (Personal Flotation Devices). These are useful mostly because they help keep the body warm. They can be worn as vests to keep the torso warm or used as sit pads or pillows on wet or cold ground. Right now the clothes are all wet.

Even when PFD's are wet, they still provide warmth.

Map of the Area. Essential for the two people striking out to get help. It would be almost impossible to navigate out of lakes and to a road without the map. The plastic coating also makes the map usable as a makeshift umbrella.

Sleeping Bags. Important to keep warm, both for paddlers as well as those staying behind. Even though the bags are wet, they still provide some warmth, since they are synthetic. It is important to dry them out as soon as possible, though. The bags can be used day or night for warmth.

Matches. To start a fire as soon as the drizzle or rain stops and begin drying out the clothes. The extra set can be dried out and put on at the same time that some people strip down and get into the sleeping bags while their clothes dry.

Fires can be started from the plentiful wood pieces in the area. Birch bark is used as fire starter. The fire is important for cooking purposes, also, as well as providing warmth for the group. If the weather had not started to drizzle and look like it was going to rain soon, then matches would have been #3 in order to get clothes and sleeping bags dry, especially for those leaving.

Food. Though there isn't much, it will still be very helpful. It must be divided and rationed, so that it doesn‘t run out quickly. For those staying behind, it is hoped that within a day fish can be caught. However, in the meantime, the food that remains should somehow be protected from bears.

Clothes. When it stops raining, the extra clothes need to be dried out and three of the remaining people can wear them. This greatly helps chances of survival, for keeping dry increases warmth. Dry clothes are even more important than securing additional food to eat.

Fishing Poles. Once the duct tape is used, the poles should be fit for fishing in the lake, where northern, walleye, and lake trout (average 2-5 lbs.) fish can be caught and cooked over the fire. A stick may be used as a spit to roast the fish, or the makeshift pan (from duct tape) can boil the fish.

Parachute Cord. This has many uses: as a line to dry clothes (though bushes can be used, too), to secure the food in a tree away from bears. Also, if the duct tape runs out, the cord can be used for splinting the leg and for repairing the gunwales on the canoe. In order to do this, poke holes near either side of the top, using the jack-knife. Pull the cord through the holes and tie it securely.

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• •

•

• •

Insect Repellent. For protection from mosquitoes and black flies, which are both persistent and thick, as well as wood ticks and deer ticks, which often spread lyme disease.

Water Purification Tablets. Mildly important because the water in these areas is often not pure. However, the disease to worry about the most is giardia, a protozoa in the water. It takes two weeks to take effect in the body. By that time, everyone should be home. Water can also be boiled.

Yellow Frisbee. Though brought for recreation, it actually has some survival value. One use is to boil water in it, being careful that the heat does not melt the plastic. Fish can be boiled in it, as well, as can hard candies in water, to provide a warm liquid for the group. The Frisbee can be used to fan the fire (though blowing on it works, too), and it can be used for recreation, to ease the tension.

Magnetic Compass. This is not as important as the other items, because the paddlers are well-equipped to navigate the lakes with the map.

Whiskey. Some may think this is useful for energy or to keep warm, but actually it has the opposite effect. And it should only be used as a last resort for pain (broken bone) because alcohol causes dehydration and hypothermia (getting colder). After drinking alcohol, the blood capillaries expand and initially, the drinker feels warm; however, heat is actually being lost and later there is a sudden feeling of being very, very cold.

Doing Computations: Now that columns B, C, and D have all been completed, instruct students to do the computations in columns A, E, and F. Emphasize that these calculations involve absolute differences—there should not be any negative signs in the table.

As the instructor, you should now fill in the second table in the exercise. Have students give you their Average Member Score (this is the average of all of the Individual Scores that students calculated by summing the contents of column A). Also have them give you their Group Score, their Best Member Score, and that Best Member‘s Persuasion Score. Then fill in a ―Yes‖ for the Synergy row is the Group Score is lower than the Average Member Score.

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Questions: Chances are that less than half of the groups will have achieved Synergy. For the most part, the Group Scores will be higher (i.e., contain more error) than the Average Member Score, showing that groups would have been better off merely averaging their rankings together and not speaking to one another. In many cases, the Group Scores will be higher (i.e., contain more error) than the Best Member‘s Score, meaning that groups would have been better off merely letting the best member do the exercise him/herself (if that member had been able to be identified before the exercise).

It‘s likely that the groups that lacked synergy listened to the wrong members during the course of the group discussion. One way to judge this is to look at the Best Member‘s Persuasion Score. A low number indicates that the member was very persuasive, as it indicates that the group‘s rankings came to closely resemble that member‘s ranking. In the groups that lacked synergy, the Best Member‘s Persuasion Score is probably quite high, showing that they weren‘t vocal enough during the discussion. You might consider asking those groups whether the ―Worst Member‖ would volunteer his or her Persuasion Score, to see if the members were listening to someone who was offering bad advice.

Thus, process loss is created in this case by now weighing members‘ opinions accurately in coming up with the correct decision.

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OMITTED TOPICS The field of organizational behavior is extremely broad and different textbooks focus on different aspects of the field. A brief outline of topics that are not covered in this text, but which the professor might want to include in his or her lecture, is included below. In cases where these topics are covered in other chapters in the book, we note those chapters. In cases where they are omitted entirely, we provide some references for further reading.

•

Sociotechnical Theory – Modern perspectives on small groups and teams can be traced to research conducted in the British coal mining industry during the 1950s.

For a review of a classic study from this perspective see: Trist, E. L., G. I. Susman, and G. R. Brown. ―An Experiment in Autonomous Working in an Underground Coal Mine.‖ Human Relations, 30 (1977). pp. 210–236.

•

Team Based Organizations – Team based organizations are different than traditional ―job-based‖ organizations in several important ways. For a discussion of these differences, and also factors that need to be taken into account in designing a team-based organization, see: Mohrman, S. A., S. G. Cohen, & A. M. Mohrman, Jr. Designing Teambased Organizations: New Forms of Knowledge Work. San Francisco: Jossey Bass. (1995).

•

Team Decision Making Problems – Biases and heuristics that influence individual decision makers can impact decision making in teams. For more information on these biases and heuristics see Chapter 8 of this text. For additional information on decision-making problems that are more specific to small groups and teams, see: Organizational Behavior and Human Decision Processes, (73) 1998.

Whole Issue.

Harvey, J. ―The Abilene Paradox: The Management of Agreement.‖ Organizational Dynamics, 3 (1974). pp. 63–80.

Ross, J. and B. M. Staw. ―Organizational Escalation and Exit: Lessons from the Shoreham Nuclear Power Plant.‖ Academy of Management Journal, 36 (1993). pp. 701–733.

•

Communication – The manner in which team members communicate with each other is reflected in many of the processes we discussed in this chapter. For information focused more directly on communication, see:

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Smith, K. G., K. A. Smith, J. D. Olian, H. P. Simis Jr., D. P. O‘Bannon, and J. A. Scully. ―Top Management Team Demography and Process: The Role of Social Integration and Communication.‖ Administrative Science Quarterly, 39 (1994). pp. 412–438.

Stasser, G., and W. Titus. ―Effects of Information Load and Percentage of Shared Information on the Dissemination of Unshared Information During Group Discussion.‖ Journal of Personality and Social Psychology, 53 (1987). pp. 81–93.

•

Intergroup Relations – Research on relationships among groups has a long history. For information see: Alderfer, C. P. ―An intergroup perspective on group dynamics.‖ In J. W. Lorsch (Ed.) Handbook of Organizational Behavior. Englewood Cliffs, NJ: Prentice Hall. pp. 190–222.

Marks, M. A., L. A. DeChurch, J. E. Mathieu, and F. J. Panzer. ―Teamwork in Multiteam Systems. Journal of Applied Psychology, 90 (2005). pp. 964– 971.

•

Creativity – For information regarding the role of creative personality and creative thinking, see Chapter 9 of this text.

•

Resolving Conflict – For a discussion regarding how conflict can be managed by taking into account concern for the outcome and concern for others, see Chapter 13 of this text.

Chapter 13: Leadership: Power and Negotiation

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NOTE FROM THE AUTHOR My name is Jason Colquitt, and I‘m the lead author on the Colquitt-LePine-Wesson textbook, Organizational Behavior. I‘m also the author of this Instructor‘s Manual and I want to encourage adopters to reach out to me if I can help in any way with the book.

I‘m happy to point you to video clips that complement our OB on Screen feature or to share the details of a research project on performance and commitment that I do with my students. I also created PowerPoints for earlier editions of the textbook that have extensive photos and vivid colors, along with narration notes from my own teaching. I‘m happy to share those PowerPoints with you, as the current PowerPoints are limited by new restrictions on photos and colors. I also have those files in Keynote form if you are a Mac user. In sum, I enjoy corresponding with adopters very much, so please do not hesitate to reach out to me. My email address is jason.colquitt@gmail.com.

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CHAPTER OVERVIEW Leadership is the use of power and influence to direct the activities of followers toward goal achievement. This chapter discusses the major types of power, as well as the influence tactics most commonly used by leaders. It also covers organizational politics, as well as conflict resolution and negotiation techniques.

LEARNING GOALS After reading this chapter, you should be able to answer the following questions: 13.1 13.2 13.3 13.4 13.5 13.6 13.7

What is leadership, and what role does power play in leadership?

What are the different types of power that leaders possess, and when can they use those types most effectively?

What behaviors do leaders exhibit when trying to influence others, and which of these is most effective?

What is organizational politics, and when is political behavior most likely to occur?

How do leaders use their power and influence to resolve conflicts in the workplace?

What are the ways in which leaders negotiate in the workplace?

How do power and influence affect job performance and organizational commitment?

CONNECT EXERCISES

Influence Tactics Organizational Politics at Google Need for Power Self-Monitoring Conflict Resolution Online Dispute Resolution

Click and Drag* Case Analysis Self-Assessment Self-Assessment Click and Drag* Case Analysis

*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

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CHAPTER OUTLINE I. LEADERSHIP: POWER AND NEGOTIATION E. Leadership is the use of power and influence to direct the activities of followers toward goal achievement Try This! Ask students to think of names that occur to them when you say ―great leader‖. The names can be business or non-business, and the people can be living or historical. Write the list of names as they are said, encouraging diversity in the list. For example, one list might be Abraham Lincoln, Gandhi, Martin Luther King, LeBron James, Steve Jobs, Oprah Winfrey, Mother Teresa, and Warren Buffett. When you cover the types of power, circle the names that have the various kinds of power as you cover them, perhaps using different colors or shapes for organizational vs. personal power. For example, Lincoln, Jobs, Winfrey, and Buffett would be examples of legitimate power. Lincoln, Gandhi, King, James, Jobs, Winfrey would be examples of referent power. James, Jobs, and Buffett would be examples of expert power.

XL.

WHY ARE SOME LEADERS MORE POWERFUL THAN OTHERS?

A. Power is defined as the ability to influence the behavior of others and to resist unwanted influence in return.

1. People must choose to influence others.

2. Resistance is as important as influencing others when discussing power.

B. Acquiring Power 1. Organizational Power – derived from a person‘s position in the organization a. Legitimate Power – derived from having a position of authority within the organization. Also known as ―position power.‖ b. Reward Power – exists when someone has control over the resources or rewards another person wants c. Coercive Power – exists when a person has control over the punishments in an organization i.

Leads to negative feelings toward those who use it.

OB on Screen: The Post. The clip referenced in the book begins around the 1:32:39 mark of the film, continuing until about the 1:36:30 mark. The clip depicts publisher Katherine Graham (Streep) having a discussion with Ben 2-291 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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Bradlee (Hanks), lawyers, staff, and members of the Washington Post‘s Board of Directors. The scene in question has Graham fielding opinions from multiple angles and it‘s clear that she is struggling with the decision.

However, at the end of the day, she elects to make the decision based on her values instead of the risk of losing the paper. A good conversation to have with students is why Graham‘s use of legitimate power in this scene is probably the right one. Up until this point in the movie, Graham (who has taken over ownership after the death of her husband) has been pushed around both by those with more experience and by those who think she can‘t handle the job as a woman. As she works her way into her new role in the movie, you can tell she is simply not used to relying on legitimate power to get what she wants. In fact, you can almost see in this scene her continuing to use different forms of influence up until she hits a breaking point. Do students think she is effective in this instance? Please email me at jason.colquitt@gmail.com if you have any questions about using OB on Screen in your teaching.

Bonus OB on Screen (from 6th edition): Bridge of Spies. The clip referenced in the book begins around the 1:45:41 mark of the film, continuing until about the 1:55:51 mark. The clip depicts James Donovan (Tom Hanks) negotiating through the East German Attorney General‘s secretary. Donovan is trying to secure the release of two prisoners for one. It is a complicated situation, but the gist is that the Soviet Union wants to trade a U.S. U-2 spy plane pilot for a convicted Soviet spy. Donovan has been brought in by the CIA to arrange the swap (even though he‘s not technically a government employee). In the meantime, an American graduate student is arrested by East German officials. East Germany wants to trade the graduate student for the Soviet spy so that the United States will have to politically recognize them.

They also don‘t want to anger the Soviet Union in the process. The CIA wants Donovan to ignore the student, but Donovan is convinced he can get both parties. In the scene in question (and against the CIA‘s wishes), Donovan finally lays down the gauntlet with the GDR. Students can be walked through the situations in Table 13-4, When to Use the Various Conflict Resolution Styles, considering the use of various conflict resolution styles. In the film clip, the trade is under great time-pressure as it is scheduled for the next morning.

Donovan believes that it is crazy not to get both of these parties and is convinced that leaving the graduate student behind is unacceptable. He also knows that at the end of the day, the GDR cannot afford to be the party that upsets the trade with the Soviet Union. These three situations call for a ―competing‖ approach. Students can be asked what other situations might have caused Donovan to change his approach to one of the other resolution styles. There are other instances in the movie of Donovan attempting to do just that, but competing is what he finally uses when the other tactics don‘t work.

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Bonus OB on Screen (from 5th edition): Foxcatcher. The clip referenced in the book begins around the 1:21:49 mark of the film, continuing until about the 1:25:58 mark. The clip depicts John du Pont gathering the wrestlers that are training for the Olympics trials on his property (Foxcatcher Farm estate) together for instruction and a rallying speech of some kind. He is doing this to impress and garner the approval of his mother who believes that wrestling is a ―low sport.‖ Just watching the group of wrestlers as they respond to du Pont is telling. Du Pont sees himself as a ―leader of men,‖ but has no personal forms of power at all. The respectful deference the men give him solely comes from the fact that he is providing the money (including salaries) and facilities to host the training. This would be fine to a degree, but DuPont insists on trying to instruct the men on things he knows nothing about.

Questioning students as to whether or not they believe someone can be a leader while being extremely low on the personal forms of power generally brings out a good discussion. Ask the students why they think the men don‘t respond more favorably to du Pont. Focus on which forms of power they think are more important than others. Can a leader be effective if they have only personal forms of power and no positional power? Push the students on which methods of influence du Pont could use to be more effective. Are there any under these circumstances?

Bonus OB on Screen (from 4th edition): Skyfall. The clip referenced in the book begins around the 35:06 mark of the film, continuing until about the 36:54 mark. The clip depicts James Bond (Daniel Craig), M (Judi Densch), and Gareth Mallory (Ralph Fiennes) in a discussion about whether Bond should continue in his role as an agent for MI6. M informs the two men that Bond has passed his tests (which he actually did not) and that she is restoring him to active duty. Mallory, Chairman of the British Parliament‘s Intelligence Committee, is in complete disagreement. The clip is an excellent example of someone taking a competitive stance in conflict resolution (M) and the other taking an accommodating style once he‘s put to the test (Mallory). The clip provides an excellent opportunity to discuss in the class when each type of conflict resolution is most appropriate. Table 13-4 provides a great background. Ask students if they have a style they use most often. Do they think that people change their styles or do they have a tendency to remain the same (perhaps due to their personality) regardless of the situation. Have students name examples of when they used each of the styles (use Figure 13-4 as a guide). Many of the students will have a tendency to think that collaborating is the style that one should always strive towards because it is the ―win-win‖ outcome. It is worth stressing that this is not always the case.

Push students to think of personal examples of examples they can think of where collaborating is not the preferred method.

Bonus OB on Screen (from 2nd and 3rd editions): There Will Be Blood.

The clip referenced in the book begins around the 1:30:58 mark of the film, continuing until about the 1:35:27 mark. The clip depicts Daniel Plainview, the 2-293 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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main character in the movie going in to a negotiation with two executives of Standard Oil Company who wish to purchase the land he has bought and the rights to the oil underneath it. It is clear that Daniel has a great deal of contempt for the two men and has no real intention of selling them his oil find.

The scene provides a case study for the process of bargaining. One topic for class discussion is whether the students think Daniel ever had any intention of selling his oil production and his ―hard work.‖ Which stages of negotiation does the scene show? The two sides make a deal very quickly for a small plot of land—but they never really enter into true ―bargaining.‖ There is nothing the oilmen can say that will appease Daniel and he finds something to react to in order to walk away from the table. Daniel‘s BATNA is essentially nothing— something the oilmen clearly don‘t understand. An alternate scene in the movie runs in Chapter 5 (1:24:34 to 1:27:24) that might be worthwhile to show first and shows the type of man Daniel is and the fact that he hates people and wants ―no one else to succeed.‖ A good question to ask the students after might be ―Do you ever think you could negotiate a win-win outcome with this man?‖ What type of conflict resolution do you think he will always adopt?

Bonus OB on Screen (from 1st edition): The Queen. The clip referenced in the book begins around the 00:42 mark of the film, continuing until about the 02:45 mark. The clip depicts Queen Elizabeth II having a conversation with a portrait artist. In this scene, the two discuss the power to vote (the Queen not having this power), how the Queen would like to do that just once, and the artist having little sympathy for her since it is ―her government.‖ One topic for class discussion is what are the most effective bases of power. What happens when people overestimate the amount of power they have and/or underestimate the power of others based solely on positional (legitimate) power? What types of power to the students think they most respond to? Of the managers they have reported to, which were the most powerful? Why? 2. Personal Power – comes from the person themselves a. Expert Power – derived from the person‘s expertise, skill, or knowledge on which others depend b. Referent Power – exists when others have a desire to identify and be associated with a person Connect Exercise: Types of Power and Contingencies Click and Drag*.

Students read employee descriptions and classify each as exhibiting a type of power and a contingency, whether it is substitutability, discretion, visibility or centrality. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

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Learning Goals 13.1 What is leadership, and what role does power play in leadership?

13.2 What are the different types of power that leaders possess, and when can they use those types most effectively?

Topic: Contingency theory; Expert power; Coercive power; Legitimate power; Power; Referent power; Reward power; Substitutability Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Should managers have the same expertise of their employees, or is it enough for them to have legitimate, reward, and/or coercive power? Ask students in what instances they would agree or disagree. Answers might include those who do not want to move into management positions (doctors, tech workers), diverse groups with different types of experts, or people whose expertise is too valuable to spare if put into management (scientist). Can contingencies undermine the manager in these situations, as well?

3. Guidelines for Using Power (Table 13-2) 4. Contingency Factors a. Substitutability – Leader power increases when there are no substitutes for the rewards or resources the leader controls. b. Centrality – Leader power increases when the leader‘s role is important and interdependent with others in the organization. c. Discretion – Leader power increases when the leader has the freedom to make his or her own decisions without being restrained by organizational rules. d. Visibility – Leader power increases when others know about the leader and the resources he or she can provide.

C. Using Influence 1. Influence is the use of an actual behavior that causes behavioral or attitudinal changes in others.

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a. Influence is directional. – It most frequently occurs downward, but can also be lateral or upward. b. Influence is all relative. – The absolute power of the influencer and influence isn‘t relative, but the disparity between them is.

2. Influence Tactics a. Most Effective i.

Rational Persuasion – the use of logical arguments and hard facts to show the target that the request is a worthwhile one

ii. Inspirational Appeal – a tactic designed to appeal to the target‘s values and ideals iii. Consultation – asking the target to participate in deciding how to carry out a request iv. Collaboration – making it easier for the target to complete the request b. Moderately Effective i.

Ingratiation – the use of favors, complements, or friendly behavior to make the target feel better about the influencer

ii. Personal Appeals – when the requestor asks for something on the basis of friendship or loyalty OB Internationally. This box describes how Kai-Fu Lee, the president of Google Greater China, uses guanxi (relationships) to influence decisions. In China, guanxi refers to friendly feelings, but also a sense of obligation to the other person based on a common background. It is a much deeper relationship than the traditional American business relationship, and it is important for American managers working in China to be aware of the differences. iii. Exchange Tactic – used when the requestor offers a reward or resource in exchange for performing a request iv. Apprising – when the requestor clearly explains why performing the request will benefit the target personally c. Least Effective i.

Pressure – the use of coercive power through threats and demands 2-296

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ii. Coalitions – enlisting other people to help influence the target d. Influence tactics tend to be most successful when used in combination. e. ―Softer‖ influence tactics tend to be more successful than ―harder‖ ones.

Connect Exercise: Influence Tactics Click and Drag*. Students read comments by managers regarding how they attempt to influence others and classify each as a type of influence tactic. Tactics include: most effective (rational persuasion, consultation, inspirational appeals, collaboration), moderately effective (ingratiation, personal appeals, exchange, apprising), and least effective (pressure, coalitions). *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 13.3 What behaviors do leaders exhibit when trying to influence others, and which of these is most effective?

13.7 How do power and influence affect job performance and organizational commitment?

Topic: Apprising; Collaboration; Exchange tactic; Influence tactics; Inspirational appeal; Personal power; Rational persuasion Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Advertisements are good examples of attempted influence. Assign students the task to find an example of each type of influence tactic in advertisements. This will help them to better understand how the tactics are used.

3. Responses to Influence Tactics a. Internalization – target agrees with and becomes committed to request b. Compliance – target is willing to perform request, but does so with indifference c. Resistance – target is opposed to request and attempts to avoid doing it

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D. Power and Influence in Action 1. Organizational Politics – actions by individuals that are directed toward the goal of furthering their own self-interests (note that self-interests can also be in the interests of the corporation) a. Political Skill – the ability to effectively understand others at work and to use that knowledge to influence others in ways that enhance personal and/or organizational objectives. Political skill includes: i.

Networking abilities – adeptness at identifying and developing diverse contacts

ii. Social astuteness – the tendency to observe others and accurately interpret their behavior OB Assessments: Political Skill. This brief assessment measures a student‘s level of networking ability and social astuteness. When discussing this test, it is important to note that results are likely to be linked to a person‘s level of introversion/extroversion, with extraverts being more likely to score highly on this test. It may also be useful to point out (again) the situational nature of behavior—just because one is an introvert, doesn‘t mean that he or she cannot network, only that networking might be more difficult, and may occur in a more limited number of settings.

Please see the Instructor PowerPoints for Bonus Assessments on Expert Power and Referent Power.

Please see the Connect assignments for this chapter for assessments on Need for Power and Self-Monitoring.

Please email me at colq@uga.edu if you have any questions about using these assessments in your teaching. b. Environments that are perceived as extremely political have been shown to cause lower job satisfaction, increased strain, and lower organizational commitment among employees. c. Organizational Politics Process i.

Factors That Foster Organizational Politics a. Personal Characteristics 

Need for power 2-298

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 

High self monitors Machiavellianism

Connect Exercise: Organizational Politics at Google Case Analysis.

Influence is an important tool to navigate organizational politics, if used appropriately. Students read about Google‘s problems with political disputes in the workplace. Although organizational politics are not the same as government politics, aggressive stances by managers can lead to pressure to act or speak in support of the manager‘s point of view, or to favorable treatment for those with similar views.

Learning Goals 13.2 What are the different types of power that leaders possess, and when can they use those types most effectively?

13.3 What behaviors do leaders exhibit when trying to influence others, and which of these is most effective?

13.4 What is organizational politics, and when is political behavior most likely to occur?

Topic: Influence; Organizational politics Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: The current political environment in the U.S. is divided and disputes about policy can easily become angry interactions. Ask students to research how a manager‘s strong beliefs about something like politics can create negative influence in the workplace. If the students search words such as, ―Boss talks politics at work‖ (or manager, coworker, etc.), they will get many results about the effects of unwelcome influence on employees.

Connect Exercise: Need for Power Self-Assessment. This selfassessment classifies students as having a high need for power or a low need for power. These indicate the lack of desire to be a leader (low) or the tendency to lead and use power to motivate others (high).

Learning Goals 13.4 What is organizational politics, and when is political behavior most likely to occur?

Topic: Need for power Difficulty Level: 1 = Easy 2-299 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Occupation choice is associated with need for power.

People with a high need for power are more likely to choose careers in entrepreneurship and leadership. People with a low need for power tend toward careers such as technical expert, specialist, or professional. Ask students if their results from the self-assessment correspond in this way to their intended career choice.

Connect Exercise: Self-Monitoring Self-Assessment. Students are classified as high self-monitors or low self-monitors. Self-monitoring is a political skill that allows people to regulate their own behavior in order to manage others‘ perceptions of themselves.

Learning Goals 13.4 What is organizational politics, and when is political behavior most likely to occur?

Topic: Self-monitoring Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Discuss with students the dangers of being a very high self-monitor or a very low self-monitor. How can emotional intelligence bring individuals to a more moderate level of self-monitoring behavior? b. Organizational Characteristics    

Limited or changing resources Ambiguity in roles High performance pressure Unclear performance evaluations

2. Conflict Resolution a. Five approaches to conflict resolution: i.

Competing – One party attempts to get his or her goals met without regard for the other party‘s goals.

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ii. Avoiding – One party stays away from the conflict. iii. Accommodating – One party gives in and acts unselfishly. iv. Collaboration – Both parties work together to maximize outcomes. v. Compromise – Each party‘s losses are offset by gains.

Connect Exercise: Conflict Resolution Click and Drag*. Students read about five employees with different conflict management styles and match them to different conflict resolution styles. These include competing, collaboration, compromise, avoiding, and accommodating. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 13.5 How do leaders use their power and influence to resolve conflicts in the workplace?

Topic: Accommodating; Avoiding style; Collaborating; Compromise; Conflict management Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Some people tend toward a certain conflict management style and others may use different styles depending on the situation. Ask students to think of a time they used each conflict management style and if they usually tend toward one particular style. What are the dangers of using a particular style too much? For example, although the Collaborative style is the ‗win-win‘ style, in what instances might the other styles be best? b. When to Use Conflict Resolution Styles OB at the Bookstore: Dare to Lead. Brown‘s Dare to Lead is, in essence, a book about how effective leaders learn how to manage conflict effectively.

Ask your students how many of them can remember a time when they shied away from having a necessary difficult conversation when they knew deep down that having the conversation was the right thing to do. Brown believes this is because having that exact conversation puts us in a situation of vulnerability as leaders. Having difficult conversations in situations where we 2-301 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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don‘t have all the answers is hard. This is why so many people take an avoidance stance just hoping that the problem will go away when situations are difficult. Ask students if they can remember a time when a manager/leader sat them down to have a difficult conversation – perhaps one where they were delivered bad news. They might not have wanted to hear what that manager had to say, but probably needed to. What do they think of that leader today? We tend to look back favorably on leaders who did the right thing and didn‘t avoid these conversations when they needed to happen.

One option is to ask the class to think of the best leader they ever knew – personally. What made them that best leader? You will be surprised how many of them will have answers that revolve around how well that leader handled conflict.

E. Negotiation 1. Negotiation – a process in which two or more interdependent parties discuss and attempt to come to an agreement about their different preferences a. Distributive bargaining – involves win-lose negotiations over a ―fixed pie‖ of resources b. Integrative bargaining – aimed at accomplishing a win-win scenario 2. Negotiation Stages a. Preparation – Each party determines its goals for the negotiation, including its best alternative to a negotiated agreement (BATNA). b. Exchanging information – Each party makes a case for its position and put all favorable information on the table. c. Bargaining – Each party uses distributive or integrated strategies to gain something of value. d. Closing and commitment – An agreement is formalized.

Connect Exercise: Online Dispute Resolution Case Analysis. Students read a case about SquareOne, the first company specializing in online dispute resolution (ODR) for eBay. Questions focus on different ways companies resolve disputes – alternative dispute resolution, arbitration, bargaining, and negotiation.

Learning Goals 13.6 What are the ways in which leaders negotiate in the workplace?

Topic: Arbitration; Conflict management; Mediator; Negotiation

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Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Assign students to look at Wall Street Journal articles and the keywords ―alternative dispute resolution,‖ ―arbitration,‖ ―bargaining,‖ or ―negotiation‖ to find how companies are using them currently. You could ask students to find one article about each concept or assign different concepts to students for a wide variety of results to share in class.

3. Negotiator Biases a. Perceived Power b. Negotiator Emotions F. Summary: Why Are Some Leaders More Influential than Others? (Figure 13-6) XLI.

HOW IMPORTANT ARE POWER AND INFLUENCE?

A. Power and influence have a moderate positive effect on job performance.

B. Power and influence can have a moderate positive effect on organizational commitment; however, hard influence tactics decrease commitment.

XLII. APPLICATION: ALTERNATIVE DISPUTE RESOLUTION A. Alternative Dispute Resolution – a process by which two parties resolve conflicts through the use of a specially trained, neutral third party 1. Mediation – requires a third party to facilitate the dispute resolution process, though he/she has no formal authority to dictate a solution 2. Arbitration – occurs when a third party has the authority to determine a binding settlement to the dispute

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DISCUSSION QUESTIONS 13.1

Which forms of power do you consider to be the strongest? Which types of power do you currently have? How could you go about obtaining higher levels of the forms that you‘re lacking?

Most students still believe that legitimate power is the strongest, and they often feel that they have little power themselves. When discussing the answer to this question, it may be useful to explain the following ―power pyramid‖ to students. At the base of the pyramid, and fundamental to organizational power, is acquiring expertise in a given area. Next, people who want power must nurture critical organizational relationships, and then develop a network of resource people.

Fourth, people who want power need to have good communication skills, and finally, the most direct way to gain power is to use all four of the pyramid levels to target and achieve key organizational goals.

13.2

Who is the most influential leader you have come in contact with personally?

What forms of power did he or she have and which types of influence did he or she use to accomplish objectives?

Typically, students will talk about people who have high levels of referent power when answering this question. This is a good question to ask in writing because identifying powerful leaders can be personally revealing. My students have identified leaders as diverse as Billy Graham and Hugh Hefner, the prime minister of Thailand and Guan Zi Zai, the Chinese name for the Bodhisattva Avalokitesvara.

13.3

What would it take to have a ―politically free‖ environment? Is that possible?

Politics are always operating, but they may be less noticeable in an organization where everyone is truly focused on achieving the same organizational goal, above and beyond any of their personal goals. People being people, however, make this type of situation extremely rare.

13.4

Think about the last serious conflict you had with a coworker or group member.

How was that conflict resolved? Which approach did you take to resolve it?

Answers to this question will vary by student. Students may differ in their most commonly used approaches, and may also react to the same situation with different styles.

13.6

Think of a situation in which you negotiated an agreement. Which approach did you take? Was it the appropriate one? How might have the negotiation process gone more smoothly?

Again, answers will vary by student. The points to emphasize in discussion, however, are that most negotiations are more effective if both parties work together towards a solution that meets the needs of everyone.

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CASE: GLAXOSMITHKLINE Questions: 13.1

What types of power do you think are most important for a new CEO, especially if they are considered an ―outsider‖?

Although there is not a ―right‖ answer to this question – this CEO automatically carries as much organizational power as one can have. Therefore, establishing the personal forms of power needs to take precedence. As an outsider, this becomes even more important as there are no parts of the company that have seen this side of you. In Walmsley’s case, although she was technically an insider – she was still seen as an outsider by 2/3 of the company including the pharmaceutical division which is seen as GSK’s core division.

13.2

Although it‘s not uncommon for new CEOs to rebuild their management team, what kind of message do you think it sends to employees?

One can only imagine how insiders felt about Walmsley as she replaced 50 executives. It certainly had to have sent a message that things ―are not going to be the same around here‖. Walmsley probably had a pretty good idea of the direction that she was planning to take GSK and today’s CEO’s rarely have the luxury of having 10 years to implement that vision. She took quick stock of who was on board with the new direction for the company and let go of the people who were not on board.

13.3

How can a CEO use power effectively when there are so many competing priorities on their plate at the same time?

A CEO (or any good leader) must have a clear understanding of when it is appropriate to use each form of power and how to generate that power effectively. Knowing when it is important to lean on the personal forms of power to accomplish an objective and when one can simply push things through with organizational power is a skill the best leaders learn over time. The fact that it is such a complex job is one of the reasons why becoming a CEO is so difficult (especially in a company the size of GSK). Ultimately, knowing which decisions are the most important and which will rely on the most trust from followers to get them accomplished is the key to success.

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BONUS CASE (from 6th edition): ZAPPOS When you go to work, you likely have the expectation that somebody will be there to tell you what to do. You will, in essence, have a manager or a leader that will, at a minimum, set some broad roles and goals for you and be there to influence your behavior. Zappos, the online shoe and accessory retailer based in Las Vegas, is attempting to turn that notion on its head. For the past three years, CEO Tony Hsieh, 43, has been constantly pushing his organization toward 100% self-management through the use of ―holocracy.‖ What exactly does that mean? One thing it means for sure: Who is leading and where the power resides in the organization doesn‘t look like many other companies. The general idea behind holocracy is a work environment in which there are no bosses, politics, or power; employees are supposed to figure out largely on their own what to work on and how to get their work done. It has not been an easy transition.

Zappos was purchased by Amazon.com for $1.2 billion in 2009 and has largely been left to operate on its own ever since. One of the reasons Amazon CEO Jeff Bezos has kept a hands-off approach is Zappos‘s unique approach to leadership and managing people. Holocracy is pushing the boundaries of ―unique‖ for a company the size of Zappos. For eight straight years, Zappos was a fixture on Fortune‘s Best Companies to Work For survey. In 2016, they fell off the list scoring exceptionally low on questions like, ―Do employees think management has a clear view of where the organization is going and how to get there?‖ Zappos employees are self-organized into ―circles‖ instead of traditional work teams.

Each circle has a ―lead link‖ employee who somewhat manages the process, but the lead link has no formal authority and can‘t tell anyone what to do. The employees in each circle decide their own roles and responsibilities through a number of different gatherings known as ―governance meetings,‖ and so far Zappos has over 300 circles dealing with everything from customer service to social media. One interesting result of Zappos instituting a ―leaderless‖ organization is not the fact that there are no formal leaders, but that many employees have noticed a real lack of leadership. In essence, when operating a self-managing environment everyone has to learn good leadership and influence skills in order for the organization to be successful.

As Zappos made its push toward holocracy, Hsieh decided to ramp up the efforts to an even higher level: Teal. Hsieh sent out a 4,700 word e-mail to all employees entitled ―Reinventing Zappos: The Road to Teal.‖ Teal, supposed to be the next stage of development after holocracy, is characterized as ―A new kind of organization designed to enable ‗whole‘ individuals (not narrow professional selves) to self-organize and selfmanage to achieve an organic organizational purpose.‖ In the memo, Hsieh essentially told the remaining employees to get on board or get out. Hsieh was not happy with the progress that had been made up to that point and wrote, ―in order to eliminate the legacy management hierarchy, there will be effectively no more people managers.‖ John Bunch, the employee in charge of the move to teal says, ―Teal is the goal; holocracy is the system.‖ 2-307 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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Hsieh even went as far as to offer the equivalent of three months‘ worth of salary to employees who would quit the organization if they didn‘t feel they could fit in. Over 200 employees (14 percent) took him up on the offer—a massive number of people given Zappos‘s normal turnover rate of 1 percent annually. Clearly, not everyone felt comfortable in an organization with no clear leadership structure and very little to no legitimate power. One departed employee called holocracy ―a social experiment [that] created chaos and uncertainty.‖ Others felt like ―more employees are feeling like favoritism [and management issues are] becoming a bigger problem.‖ CEO Tony Hsieh remains undaunted. Hsieh says, ―The one thing I‘m absolutely sure of is that the future is about self-management.‖ The move has not been bad for everyone. Less experienced individuals with less expertise have felt energized by their ability to speak up and have a voice. One employee whose prior boss blocked a job transfer stated that as soon as he figured holocracy out, ―I was like, ‗Actually, my boss can‘t tell me that.‘‖ Jake McCrea, who teaches new hires about Zappos culture, states, ―Holacracy is like a sport or a new language. You can read about it, you can hear people tell you about it, you won‘t understand it until you start using it.‖ Even through all the issues, Hsieh stated, ―I‘ve been surprised at how hard it is to let go of the psychological baggage. In retrospect, I would have probably ripped off the Band-Aid sooner.‖ 13.1

Can an organization run effectively without leaders having some form of organizational power?

It would be a unique organization, that’s for sure. Almost all leaders listed in this chapter and throughout the book carry some form of organizational power in addition to their personal power. While the best leaders learn to use their personal power more effectively, they always have organizational power to fall back on when it comes to difficult employees or situations. It could certainly be argued that even Zappos doesn’t truly have no forms of organizational power because Tony Hsieh is forcing this change on much of the rest of the organization.

13.2

What types of influence would become more important under holocracy at Zappos?

The easy answer is that ALL forms of influence become more important since legitimate power doesn’t exist. That being said, the order of which influence tactics are likely to be the most effective is unlikely to change.

13.3

Do you think leadership skills would be more or less important at Zappos under holocracy? How so?

Hsieh would argue that leadership at all levels becomes more important than under a traditional system. In a traditional hierarchy, individual employees can 2-308

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get by just following orders or the goals that others set. They are ―supervised‖.

Under holocracy – especially as the company approaches a Teal-based system – it becomes necessary for everyone to exhibit leadership to create a fully selfmanaged workforce.

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EXERCISE: LOBBYING FOR INFLUENCE Background: In this exercise, students use influence techniques to lobby other students for points.

The student with the most points after several rounds of lobbying, wins a cash prize (typically around $10.) The competition can get fast and furious, as long as the prize is meaningful, and the rules of the game are followed. From a vote counting perspective, it is easier to run this exercise when you have fewer than 25 students, but with teaching assistants, you may be able to use it with more.

Prior to class, create a list of the students who will be participating in the exercise. Each student should receive a different number of points—for example, give Student 1 ten points, Student 2 twenty points, etc. Be sure to also create a list of everyone's assigned points for the students—this can be done on an overhead or PowerPoint as necessary.

The total number of points should appear at the bottom of the list. You will also want to get stacks of index cards (or slips of scrap paper) that can serve as ballots during the exercise. I also distribute slips of paper for memos, but if students typically bring notebooks to class, that may not be necessary.

When going over instructions with the students, tell them about all five voting periods.

Also, tell them that you will insist on silence during the writing periods of the exercise, and that no memos can be distributed until the end of the writing period. When voting, tell the students to be sure to put the name of the person who is getting votes on the ballot, and then collect ballots by name. That will make counting up the points easier.

Questions: Students may use a wide variety of social influence tactics as they write their memos, including rational persuasion, inspirational appeals, ingratiation, and personal appeals.

The writing format will make some tactics more practical and appropriate than others.

The success of the tactics will vary from student to student, as the same tactic can work for an effective communicator but not for a less effective communicator. The other relevant factors will also vary from student to student, but will typically revolve around past relationships, levels of personal power, and political skills.

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OMITTED TOPICS The field of organizational behavior is extremely broad and different textbooks focus on different aspects of the field. A brief outline of topics that are not covered in this text, but which the professor might want to include in his or her lecture, is included below. In cases where these topics are covered in other chapters in the book, we note those chapters. In cases where they are omitted entirely, we provide some references for further reading.

•

Ethics – A natural byproduct of discussing power in organizations is the discussion of ethical decision making. This topic might also be spurred on by a discussion of this chapter‘s OB at the Bookstore. Ethics is discussed in detail in our book in Chapter 7.

•

Sexual Harassment – A popular topic to cover when discussing power in organizations is that of sexual harassment. Our focus on power, mainly in regard to leadership, did not allow for a full discussion of the topic. While a list of the myriad of sexual harassment references is large, for a specific look at harassment by leaders, see: Offerman, L.R.; and A.B. Malamut. ―When Leaders Harass: The Impact of Target Perceptions of Organizational Leadership and Climate on Harassment Reporting and Outcomes.‖ Journal of Applied Psychology, 87, 2002, pp. 885–893.

•

Impression Management – The methods by which individuals attempt to control what is thought of them by others. Although some of the ―tactics‖ of impression management are covered under influence tactics in this chapter, for a detailed discussion of the topic, see: Rosenfeld, P.R.; R.A. Giacalone; and C.A. Riordan. Impression Management in Organizations: Theory, Measurement, and Practice. New York, NY: Routledge, 1995.

Zivnuska, S; K. M. Kacmar; L.A. Witt; D.S. Carlson and V.K. Bratton. ―Interactive Effects of Impression Management and Organizational Politics on Job Performance.‖ Journal of Organizational Behavior, August (2004), pp. 627–640.

Chapter 14: Leadership: Styles and Behaviors

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NOTE FROM THE AUTHOR My name is Jason Colquitt, and I‘m the lead author on the Colquitt-LePine-Wesson textbook, Organizational Behavior. I‘m also the author of this Instructor‘s Manual and I want to encourage adopters to reach out to me if I can help in any way with the book.

I‘m happy to point you to video clips that complement our OB on Screen feature or to share the details of a research project on performance and commitment that I do with my students. I also created PowerPoints for earlier editions of the textbook that have extensive photos and vivid colors, along with narration notes from my own teaching. I‘m happy to share those PowerPoints with you, as the current PowerPoints are limited by new restrictions on photos and colors. I also have those files in Keynote form if you are a Mac user. In sum, I enjoy corresponding with adopters very much, so please do not hesitate to reach out to me. My email address is jason.colquitt@gmail.com.

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CHAPTER OVERVIEW Effective leaders use power and influence to improve the performance and well-being of their overall units, while cultivating high-quality relationships with their followers. The effectiveness of a leader is a function of both traits and behavioral styles. This chapter summarizes research on decision-making styles, the use of transactional and transformational leadership styles, and the difference between consideration versus initiating structure behaviors. Students are asked to consider a central question throughout the chapter: ―Is leadership innate, or can people be trained to be leaders?‖ LEARNING GOALS After reading this chapter, you should be able to answer the following questions: 14.1 14.2 14.3 14.4 14.5 14.6 14.7

What is leadership and what does it mean for a leader to be ―effective‖?

What traits and characteristics are related to leader emergence and leader effectiveness?

What four styles can leaders use to make decisions, and what factors combine to make some styles more effective in a given situation?

What two dimensions capture most of the day-to-day leadership behaviors in which leaders engage?

How does transformational leadership differ from transactional leadership, and which behaviors set it apart?

How does leadership affect job performance and organizational commitment?

Can leaders be trained to be more effective?

CONNECT EXERCISES The Dark Side of Leader Emergence Leader Decision-Making Styles Life Cycle Theory Readiness Charisma Unorthodox Leadership Style at Ford Transformational CEOs

Case Analysis Click and Drag* Click and Drag* Self-Assessment Self-Assessment Case Analysis Click and Drag*

*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

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CHAPTER OUTLINE I. LEADERSHIP: STYLES AND BEHAVIORS B. Leadership – the use of power and influence to direct the activities of followers toward goal achievement C. Leadership Effectiveness (Table 14-1, Employee-Centered Measures of Leader Effectiveness) 1. Can be judged in a number of different ways a. By objective evaluations, including profit margins, market share, etc. b. By employee actions, including absenteeism, number of grievances filed, etc. c. By subjective evaluations, including employees‘ surveys, perceived respect, etc.

2. Is a function of who is asked because members of a group often disagree about the effectiveness of the group‘s leader 3. Leader-member exchange theory describes how leader-member relationships develop over time. a. Role-taking phase – period in new leader-member relationships where manager describes role expectations to employee, and employee attempts to fulfill those expectations with behavior b. Role-making phase – period in which expectations of employees for leader-member dyad get mixed in with those of the leader c. Resulting relationships can be either ―high quality‖ (in-group) dyads, characterized by frequent exchanges of information, influence, latitude, support, and attention, or ―low quality‖ (out-group) dyads, characterized by limited exchanges of information, influence, latitude, support, and attention d. Suggests that leadership effectiveness should be judged by gauging how effective the most critical leader-member dyads appear to be XLIII. WHY ARE SOME LEADERS MORE EFFECTIVE THAN OTHERS? A. Leader Effectiveness – the degree to which the leader‘s actions result in the achievement of the unit‘s goals, the continued commitment of the unit‘s

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employees, and the development of mutual trust, respect, and obligation in leader-member dyads B. Trait Theories 1. Leaders are effective because of who they are. a. Traits studied include conscientiousness, agreeableness, neuroticism, openness to experience, extraversion, general cognitive ability, energy level, stress tolerance, and self-confidence 2. Traits may be more related to leadership emergence (who is seen as a leader) than they are to leadership effectiveness.

Connect Exercise: The Dark Side of Leader Emergence Case Analysis.

Students read about narcissists and their tendency to become leaders.

However, as the case states, an organization with strong norms and values more easily suppresses this type of leaders and pushes them out. Questions focus on leader emergence.

Learning Goals 14.1 What is leadership and what does it mean for a leader to be ―effective‖?

14.2 What traits and characteristics are related to leader emergence and leader effectiveness?

Topic: Big Five Model; Extraversion; Leader effectiveness; Leader emergence Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Ask students if they have ever worked for a person who was more concerned with his/her own goals than those of employees? Was the person successful in that organization? Was this due to the weak or strong norms and values at the organization?

C. Leader Decision-Making Styles 1. Decision-making style reflects the process used by the leader to generate and chose from a set of alternatives; it is how the leader decides, not what the leader decides.

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2. Four primarily styles with regard to follower involvement in decision-making process a. Autocratic – leader makes the decision alone b. Consultative – leader presents the problem to employees, gets their input, but then makes the final decision alone c. Facilitative – leader presents the problem to a group of employees and seeks consensus on the solution d. Delegative – leader gives employees the responsibility for making the decision Connect Exercise: Leader Decision-Making Styles Click and Drag*.

Students match examples from job interviews to either autocratic, consultative, delegative, or facilitative decision-making styles. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 14.3 What four styles can leaders use to make decisions, and what factors combine to make some styles more effective in a given situation?

Topic: Autocratic style; Consultative style; Delegative style; Decision making; Decision-making style; Leadership Difficulty Level: 2 = Medium Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Ask students to create an organizational decisionmaking scenario for each of the four decision styles – autocratic, consultative, delegative, and facilitative. For example, a classic autocratic situation is that there is a fire in the building and the boss demands all employees leave at once. A more detailed situation may be the hiring of a new information technology specialist. Important details are that the IT specialist position is the only one in the organization and that the person will interact with all employees. Use the scenarios for class discussion. The answers are not always clear and can encourage debate.

3. Although allowing employees to participate in decision-making increases employee satisfaction, it also takes up time.

4. Time-Driven Model of Leadership

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a. Proposes that choice of decision-making style should be based on answers to questions in seven areas: i. decision significance ii. importance of commitment iii. leader expertise iv. likelihood of commitment v. shared objectives vi. employee expertise vii. teamwork skills b. In one study, managers who used the time driven model made successful decisions 68 percent of the time, while those who didn‘t made successful decisions 22 percent of the time. c. Managers tend to overuse the consultative style, and underutilize autocratic and facilitative styles.

Try This! Take a particular class decision, say, the decision to make more of the final grade dependent on a peer-evaluation from the members of one‘s student workgroup. Use the questions in the time-sensitive model to suggest whether you as the professor should make that decision autocratically, or whether some other style would be more appropriate. Depending upon how one responds to the likelihood of commitment question in Figure 14-3, The Time-Driven Model of Leadership, the likely choice will be autocratic or consultative.

OB at the Bookstore: The Dichotomy of Leadership. Even though they never use the term, Willink and Babin‘s book is oriented primarily around the premise of situational leadership. Written to help explain issues that people were having with the release of their first book – the authors explain that having too much of one style (even when it might be a real strength) inevitably turns into a weakness. Leaders that have a balance of styles and recognize when to use them are generally the most effective. Ask students to make a list of their top three leadership styles (strengths). Then ask them if they can think of a time when they used that style and it failed. What was it that caused that style to fail?

How did they learn from it? Can they think of leaders they have known that have an inability to change their style regardless of the situation? Have them think of the best leaders they‘ve ever known. Were those leaders able to change their styles effectively? How so?

D. Day-to-Day Leadership Behaviors Try This! Ask students to think about what leaders actually ―do‖ on a day-to-day basis. Then list what‘s said on the board. Try to write what‘s said into two unlabeled columns, one reflecting initiating structure behaviors and one reflecting 2-318 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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consideration behaviors. Students will typically begin listing more structurefocused behaviors before transitioning to consideration issues. If students say something that fits better into some other category (for example, ―inspire‖ would fit better under transformational leadership), list that to the side and come back to it later. Once the columns have been created, ask students who have read the book to guess what the columns reflect.

1. Ohio State studies boiled leadership behaviors down into two categories: a. Initiating Structure – extent to which the leader defines and structures the work of employees leading to goal attainment, includes initiation, organization, and production factors i.

Strong positive relationship with employee motivation

ii. Moderate positive relationship with overall unit performance b. Consideration – extent to which leaders create job relationships characterized by mutual trust, respect for employee ideas, and consideration of employee feelings i.

Strong positive relationship with perceived leader effectiveness, employee motivation, and employee job satisfaction

ii. Moderate positive relationship with overall unit performance OB Assessments: Initiating Structure and Consideration This assessment gives students some insight into whether their ―natural‖ leadership style is to initiate structure or provide consideration. Ask students if they feel it would be possible for them to assume a style they scored low on. Under what conditions might they do so? What training might they need? Are there conditions which might make them slip back into their preferred style? These questions can start a discussion about whether leadership approaches are innate or learned behaviors, how training impacts the ability to lead, and how environmental conditions affect style use.

Please see the Instructor PowerPoints for Bonus Assessments on LMX Quality and Transformational Leadership.

Please see the Connect assignments for this chapter for assessments on Charisma and Readiness.

Please email me at colq@uga.edu if you have any questions about using these assessments in your teaching.

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2. Life Cycle Theory of Leadership a. The optimal combination of initiating structure and consideration depends on the readiness (ability and willingness to work) of the employees in the work unit. i. Low Readiness – Telling (high initiating structure, low consideration) ii. Low/Medium Readiness – Selling (high initiating structure, high consideration) iii. Medium/High Readiness – Participating (low initiating structure, high consideration) iv. High Readiness – Delegating (low initiating structure, low consideration) Connect Exercise: Life Cycle Theory Click and Drag*. Students read examples of four teams and their stage of development and match them to the Life Cycle Theory model. Each description is matched to one of the four readiness types that calls for high or low initiating structure and consideration behaviors. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 14.4 What two dimensions capture most of the day-to-day leadership behaviors in which leaders engage?

Topic: Leadership; Life cycle theory of leadership; Participating; Situational leadership theory Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Consider that the members of a project group (at work or in class) have diverse readiness. Since readiness is a combination of ability and willingness to perform tasks, different levels of readiness may affect the group‘s productivity and motivation. Most students have been in a student group with mixed readiness. How should the professor or manager handle these groups most effectively, given that the mix often cannot be avoided?

Connect Exercise: Readiness Self-Assessment. This assessment classifies students as having either high or low readiness for new experiences and tasks. Low readiness individuals typically prefer more initiating structure 2-320 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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behaviors from leaders, and high readiness individuals typically prefer less initiative structure. The summary points out that, depending on the task, either type may prefer low or high consideration behaviors.

Learning Goals 14.4 What two dimensions capture most of the day-to-day leadership behaviors in which leaders engage?

Topic: Life cycle theory of leadership; Situational leadership theory Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Ask students how this assessment relates to their college class preferences. Do students prefer professors display more consideration behaviors or more initiating structure behaviors? Or does it depend on the class subject?

E. Transformational Leadership Behaviors 1. Transformational leaders inspire their followers to commit to a shared vision that provides meaning to their work while also serving as a role model who helps followers develop their own potential and view problems from new perspectives 2. Levels of Leadership Behaviors – arranged in order from most passive/ineffective to most active/effective a. Laissez-Faire – hands off leadership b. Transactional (Passive Management-by-Exception) – leader waits for mistakes, then corrects them c. Transactional (Active Management-by-Exception) – leader monitors for mistakes, then corrects them d. Transactional (Contingent Reward) – leader attains follower agreement on what needs to be done, and gives promised or actual rewards in return for adequate performance e. Transformational OB Internationally. This box describes ―Project GLOBE‖ a collection of researchers from different countries who are trying to determine how cultural variables impact perceptions of effective leadership. The box shows that transformational leadership is the most universally accepted

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approach to leadership of any of the styles studied by the Project GLOBE team.

3. The ―Four Is‖ of Transformational Leadership a. Idealized Influence – behaving in ways that earn the trust and respect of followers, causing followers to want to identify with and emulate the leader (synonymous with ―charisma‖) Connect Exercise: Charisma Self-Assessment. Students are classified as either more or less charismatic than the average college student. High charisma is described as easily earning respect and admiration, and as drawing people into projects as a leader. Those with low charisma results may have strengths in other facets of transformational leadership.

Learning Goals 14.5 How does transformational leadership differ from transactional leadership, and which behaviors set it apart?

Topic: Charisma Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Recent research shows that leaders with moderate levels of charisma are more effective than leaders with high levels of charisma (versus their peers). Ask students why this may be true. After discussion, tell them that high charisma people are often perceived to have low operational skills, or those skills that structure work, set goals, and form strategy. b. Inspirational Motivation – behaving in ways that foster an enthusiasm for and commitment to a shared vision of the future c. Intellectual Stimulation – behaving in ways that challenge followers to be creative and innovative d. Individualized Consideration – behaving in ways that help followers achieve their potential through coaching, development, and mentoring Connect Exercise: Unorthodox Leadership Style at Ford Case Analysis.

Students read about Ford CEO Jim Hackett and his leadership style that was unlike those in the company‘s past. It is important to realize that leadership 2-322 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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styles differ across managers in the same company and it can be difficult to adapt to a new boss. Questions that follow the case focus on a range of topics including leadership effectiveness, decision making, consideration behaviors and transformational leadership.

Learning Goals 14.3 What four styles can leaders use to make decisions, and what factors combine to make some styles more effective in a given situation?

14.4 What two dimensions capture most of the day-to-day leadership behaviors in which leaders engage?

14.5 How does transformational leadership differ from transactional leadership, and which behaviors set it apart?

Topic: Consideration; Delegative leadership; Initiating structure; Inspirational appeal; Leadership; Leadership effectiveness; Transformational leaders; Vision Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Change from one leader to another requires flexibility on the part of employees. Many students have worked in jobs in which they had more than one manager, typically those in different shifts, or turnover in management. Ask them how the leadership styles were different and how they adapted. Did they ever resist a new leadership style at first and then come to appreciate it?

Connect Exercise: Transformational CEOs Click and Drag*. Students read descriptions of CEOs and classify them as having one of the four Is of transformational leadership. This activity is important to students because transformational leadership is a strong predictor of job performance and organizational commitment *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 14.5 How does transformational leadership differ from transactional leadership, and which behaviors set it apart?

Topic: Transformational leadership Difficulty Level: 3 = Hard 2-323 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Can a workplace really be described as inspiring, enthusiastic, intellectually stimulating and considerate of employees? It‘s a tall order. Ask students to brainstorm how managers can be transformational in single actions that represent each of the Is. For example, a manager could display individual consideration by going beyond typical performance reviews by having lunch or coffee with each employee individually. An otherwise mundane environment could be more intellectually stimulating if managers sought solutions to everyday problems that interrupt productivity – no paper in the copy room, loud hallways, etc. This activity shows students that transformational leadership occurs through individual behaviors that are accessible to anyone.

OB on Screen: Darkest Hour. The clip referenced in the book begins at around the 1:54:10 mark of the film, continuing until the 2:00:00 mark. The clip depicts Winston Churchill delivering the ―We Shall Fight On The Beaches‖ speech. While many of the members of Parliament are already on his side, this impassioned speech convinces the leader of the opposing party to switch sides on the issue and favor war over negotiating a one-sided peace agreement. It is a great opportunity to ask students what this speech delivers that makes it so effective. Some might discuss the actual words used or the level of emotion that Churchill brings to his delivery. (Keeping in mind that ―emotion‖ looks differently in 1940‘s Britain than it might today.) Try to push them to identify the certain aspects of the speech that are transformational (or the specific ―I‖‘s). Ask the students if they can remember a leader delivering a speech that made them want to rise to an occasion? It doesn‘t have to be a politician, but it could be a coach, a teacher, a parent, etc. (Maybe even just a character in a movie!). How did it make them feel? Why did it work?

Remembering these moments might help students to lock into why a speech might be transformational in nature. Please email me at jason.colquitt@gmail.com if you have any questions about using OB on Screen in your teaching.

Bonus OB on Screen (from 6th edition): The Martian. The clip referenced in the book begins around the 1:26:34 mark of the film, continuing until about the 1:30:40 mark. The clip depicts Commander Melissa Lewis (Jessica Chastain) going through the process of making an important decision and demonstrating a specific style of leadership (facilitative). This is a great example to use the Time-Driven Model of Leadership depicted in Table 14-3.

You can literally walk the students through the entire model by showing the clip and then asking them questions: 2-324 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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1) Does the decision have high or low significance? (high) 2) Does Commander Lewis need high or low commitment from the crew? (high) 3) Is Commander Lewis‘s expertise high or low? (Does she know everything it would take to be successful?) (low) 4) Is the likelihood her crew will be committed high or low? (high) 5) Are shared objectives among the crew high or low? (high) 6) Is crew expertise high or low? (high) 7) Does the crew have high or low teamwork skills? (high) The model will result in the facilitative leadership style being the appropriate choice (which is exactly what Commander Lewis uses). It is worth talking to students about when they think a model like this might not be a useful or what other factors might have changed the right style to be something else. For instance, had the crew either not shared the same objectives, not been experts, or not have had proven teamwork skills, the correct style would have resulted in a ―consultative‖ style where Commander Lewis should have taken the opinions of the crew into account, but ultimately made the decision herself.

Bonus OB on Screen (from 5th edition): Lincoln. The clip referenced in the book begins around the 1:37:30 mark of the film, continuing until about the 1:40:22 mark. The clip depicts Lincoln giving a rousing speech to a group of his closest advisors. These advisors have been running into one roadblock after another in trying to acquire enough votes to pass the Thirteenth Amendment to the U.S. Constitution (the abolishment of slavery). Lincoln‘s speech exemplifies both idealized influence and inspirational motivation although it is worth pushing students to identify these on their own. Play the clip and then encourage them to pick out the I‘s that are exhibited by Lincoln in the clip. What specific things did he say? Was it ―what‖ he said or ―how‖ he said it that made it what it was? Although it will likely be easy for them to think of political figures who have exhibited these behaviors—push them to think of personal examples where they have witnessed a leader demonstrate one of the four I‘s. How did those leaders make them feel? How do these behaviors create different kinds of motivation in followers than do transactional behaviors?

Bonus OB on Screen (from 3rd edition): The King’s Speech. The clip referenced in the book begins around the 1:35:50 mark of the film, continuing until about the 1:38:35 mark. Please also note that the clip contains language that is generally considered profane. If you have seen the movie, you will realize that the profanity is an integral part of the story—the King does not stutter when he cusses or sings. That being said, an alternate clip which is equally as effective runs in Chapter 20 of the movie from 1:41:44 to 1:48:30 which is the King actually delivering his war-time speech. The first clip is King George VI preparing to deliver his speech and growing increasingly frustrated as he can‘t get the words out and questioning why he is in the position he is 2-325 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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in. The second clip is the King actually delivering his speech to all of England over the ―wireless‖ which is still a relatively new technology at the time.

Regardless of which clip you use, the discussion could revolve around why we place transformational outcomes on our political leaders in times of war or crisis and don‘t necessarily do the same at other times. Encourage your students to differentiate those times and why different sets of expectations are called for.

Bonus OB on Screen (from 2nd edition): Star Trek. The clip referenced in the book begins around the 19:50 mark of the film, continuing until about the 26:23 mark. The clip depicts James T. Kirk, a rebellious young man growing up in Iowa trying to pick up a female Starfleet cadet (Uhuru) in a bar. Shortly thereafter, a fight between Kirk and other cadets breaks out and is broken up

by Captain Christopher Pike who recognizes Kirk and subsequently tries to convince him to enlist in Starfleet himself. The scene provides a case study of a leader using a transformational leadership style to influence someone he has no formal control over. The scene can lead to a very fruitful discussion of the effects of certain aspects of transformational leadership. Although the box gives them the answer that idealized influence and inspirational motivation are two main aspects of the model used, push the students to answer why that is the case and exactly which parts of Pike‘s speech exhibit those types of leadership. Why do people respond so well to this style of leadership? How much of a role does emotion play in leadership? Are there any other styles of leadership that the students think could have been just as effective on a person like Kirk?

Bonus OB on Screen (from 1st edition): Thirteen Days. The clip referenced in the book begins around the 13:18 mark of the film, continuing until about the 32:57 mark. The clip depicts the first few days of the Cuban Missile Crisis, as President Kennedy and his advisors learn of the existence of Soviet missiles on Cuban soil. The clips reveal the answers to many of the questions considered in the time-driven model of leadership. Once the clip ends, ask students to help navigate through the questions in Figure 14-3 (without reviewing the text in the OB on Screen box). Moving from left to right in the figure: (1) the decision is significant for obvious reasons, (2) commitment is important as the air force and army could undermine Kennedy‘s vision if they are not committed to his course of action, (3) Kennedy‘s expertise in these matters is low, (4) the likelihood of the group‘s commitment is low because the military does not trust Kennedy, and (5) shared objectives is low because the military has its own agenda—they want to use the crisis as an excuse to invade Cuba and remove Fidel Castro once and for all. The pattern of answers (H-H-L-L-L) suggests a consultative strategy where Kennedy asks for input and opinions but ultimately makes the decision himself. As is clear from Chapter 10 of the DVD (beginning at 38:42), Kennedy does in fact use that style. He is presented with two primary options: a blockade or an air strike. After listening to the arguments, he thanks the 2-326 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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group for its advice and tells them that he‘ll announce the course of action in the morning.

F. Summary: Why Are Some Leaders More Effective Than Others? (Figure 14-6) XLIV. HOW IMPORTANT IS LEADERSHIP? A. Units led by transformational leaders tend to be more financially successful and bring higher quality products and services to market at a faster rate.

B. Transformational leaders tend to foster leader-member exchange relationships that are of higher quality, marked by especially strong levels of mutual respect and obligation.

C. Employees with transformational leaders have higher levels of motivation than other employees, setting higher goals and standards for themselves, and trusting the leader more.

D. Employees with transformational leaders have higher levels of commitment and job satisfaction than other employees.

E. Substitutes for Leadership Model 1. Substitutes reduce the importance of a leader while simultaneously providing a direct benefit to employee performance (e.g. task feedback).

2. Neutralizers reduce the importance of the leader, but have no impact on performance (e.g. spatial distance).

Try This! Ask students to share what their most boring summer job ever was.

These jobs will often be very high on neutralizers, especially task stability.

Then ask the students to consider whether their boss‘s impacted their behavior very much (if they were even around on a regular basis).

XLV. APPLICATION: LEADERSHIP TRAINING A. One of the most important things organizations can do to maximize the effectiveness of their leaders is to train them.

B. Transformational leadership behaviors can be learned, and managers who take the time to learn them demonstrate improved effectiveness.

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DISCUSSION QUESTIONS 14.1

Before reading this chapter, which statement did you feel was more accurate: ―Leaders are born‖ or ―Leaders are made‖? How do you feel now, and why do you feel that way?

Hopefully, after reading the chapter, students will see that leaders can be ―made‖ (trained), as well as ―born.‖

14.2

The time-sensitive model of leadership argues that leaders aren‘t just concerned about the accuracy of their decisions when deciding among autocratic, consultative, facilitative, and delegative styles; they‘re also concerned about the efficient use of time. What other considerations could influence a leader‘s use of the four decision making styles?

Another thing that could influence which decision-making style a leader uses is whether or not development of employees is a priority. The more leaders want employees to gain skills, the more likely they may be to choose participative or delegative decision-making styles.

14.3

The time-sensitive and life cycle models of leadership both potentially suggest that leaders should use different styles and behaviors for different followers. Can you think of any negative consequences of that advice? How could those negative consequences be managed?

The problem with using different styles and behaviors for different followers is that followers might perceive the leader as being unfair. It would be important that the leader be open about what he or she was doing, and employees understand that they will be rewarded equally for doing equal work.

14.4

Consider the four dimensions of transformational leadership: idealized influence, inspirational motivation, intellectual stimulation, and individualized consideration.

Which of those dimensions would you respond to most favorably? Why? Students will have different responses to this question, but it may be useful to remind them of what they learned earlier about leadership-member dyads, and in-groups and out groups. If an employee responds particularly well to a specific behavior favored by a transformational leader, that employee may very well be in the leader’s ―in-group.‖

14.5

Can you think of any potential ―dark sides‖ to transformational leadership? What would they be?

The ―dark sides‖ to transformational leadership are that transformational leaders can sometimes get so wrapped up in their vision that they forget to listen to their followers—if the vision is wrong, that can be problematic. In addition, followers may be swayed by a powerful vision, and not take the time to analyze whether or

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not it is the best strategy for the company. Charismatic leaders can also be likeable, but unable to accomplish anything, and resentful.

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CASE: SPOTIFY Questions: 14.1

Is it reasonable for a CEO like Ek to expect his employees to have the same passion and commitment to their work as he does?

The easy answer to this question is ―Yes, absolutely!‖. The more difficult part is what the ramifications seem to be for high-level Spotify employees that can’t articulate that passion in the same way. One could argue that it is the responsibility of the leader to help develop and motivate that passion, not simply get rid of people that don’t have it. Ek seems to take more of a ―surround myself with passionate people‖ approach.

14.2

What are the advantages and disadvantages of having a leader with such a strong vision for the company?

The advantages are that a strong vision can be a very compelling motivator for employees. It also helps a leader to be transformational in that it is easier to provide inspirational motivation when a leader develops that shared vision across employees. The disadvantages likely stem from the effectiveness of that vision and whether it is easy or difficult for other people to buy into it. If a leader is so focused on a vision and can’t get others to buy into it or if clouds their judgment so that they cannot make effective decisions – that strong vision could become a weakness.

14.3

Does Ek fit your perception of what a "transformational leader" is supposed to be?

When most people just think ―transformational leader‖, they probably picture an outgoing, charismatic, stand in front of a lot of people, and deliver a passionate message type of person. In other words, someone high on ―idealized influence‖.

While on the surface, Ek is probably not that, when one boils down what a transformational leader actually is, Ek probably rates pretty highly on the other three I’s. He certainly would be high on inspirational motivation and intellectual stimulation. Aspects of the case make it sound like he also may be high on individualized consideration given that he wants and coaches employees to follow through on their true passions.

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BONUS CASE (from 6th edition): GENERAL MOTORS Mary Barra, 55, has topped Fortune‘s list of most powerful women for two years in a row. As CEO and Board Chairman of General Motors, she is ultimately responsible for the leadership of an organization with over 200,000 employees and $160 billion in revenue in 2016. It‘s quite a daunting task, but Barra seems to be perfectly made for it so far. Barra took over the company shortly after GM declared bankruptcy and had to take a government bailout in order to survive. She stepped in right as GM had to fight through the recall of 2.6 million cars due to a faulty ignition switch that was responsible for 21 deaths and more than 500 injuries. Barra was placed front and center testifying before Congress while being questioned about the dysfunctional culture at GM. Most believe she handled herself incredibly well, primarily by being open and honest about the safety scandal both inside and outside the company—even going so far as to commission an independent investigation (which resulted in a number of firings and early retirements).

Known for having a collaborative leadership style, Barra is not one to shirk from issues and encourages those around her to tackle things head on. She says, ―I want bad news— the sooner the better. I want it when the person closest to it realizes there‘s a problem. Almost every problem at the start is solvable. The longer it takes to solve, the higher it gets in the organization and the bigger the problem gets.‖ Barra, who has spent 36 years at GM (she started when she was 18), partly developed her leadership skills during her early career in factory management. Some believe the reason she‘s been successful is a controlled ego—the exact opposite of many of her predecessors. Barra is willing to share credit when it is deserved, which has allowed her to hang on to the upper level executives that were competing with her for the CEO job. Some say she‘s assembled the best management team in GM‘s history.

One of Barra‘s major gifts has been the ability to inspire accountability inside a culture that has been known for the exact opposite. Barra, speaking to a room full of newly promoted executives, said, ―Remember your whole career, how you‘ve been talking about them? If only they would get it? If only they would work this out? Well, you are now they.

If you don‘t like something, you have to talk to yourself.‖ When she gets out of bed, what does Mary Barra (CEO of GM) think about? ―I spend a lot of early mornings thinking about executing our plan quickly. The big thing I worry about is speed,‖ says Barra. CFO Chuck Stevens agrees, highlighting a statement from the faulty ignition switch internal investigation about the culture at GM, ―No sense of urgency. No accountability or responsibility. A siloed mentality.‖ Barra has reacted quickly and with force to make culture change a reality by implementing a number of initiatives including ―GM 2020,‖ which is a program designed to create cross-functional labs throughout the company. Barra has also pushed hard to create a new culture of speed by creating a year-long transformational leadership course for upper-level executives that Barra personally leads. It‘s not focused on company strategy, but rather the interpersonal skills she believes are necessary to create change. HR chief John

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Quattrone says, ―Mary believes that if we change the behaviors [of top managers], people who work for us will see that and emulate it.‖ Barra‘s major vision for GM is to lead in safe autonomous driving. This puts them directly up against the fast-moving cultures of Google, Uber, and Tesla. Barra believes GM‘s recent acquisition of Cruise Automation ($581 million) puts them square in the driver‘s seat. After a successful, high-profile test of an autonomous Chevy Bolt (with Barra riding in the back seat), Barra told a large group of Cruise employees, ―If somebody [at GM] says you can‘t have something, or you can‘t do something, or it‘s going to take this much time, and it doesn‘t make sense to you, challenge them. I want you to take the energy and speed and how you look at doing things and drive it into the core of GM.‖ GM believes that they have the advantage. GM product chief Mark Reuss says, ―The piece that is not well understood outside of the automotive industry is how hard it is to take technology and integrate it into a car. It seems like you should be able to layer it in and have it work and that would be great. Right. The effort to integrate that into the car is equal to or more than the technology itself. A car has to work right every time, all the time.‖ So far, the technology companies have spent billions of dollars in development and have little to show for it. Still, Barra is not willing to bask in success for long.

Onstage at GM‘s headquarters she told her group, ―Don‘t confuse progress with winning. Are you doing what you can? Or are you doing what it takes to win?‖ Questions: 14.1

Do you think GM can outduel the technology companies for safe autonomous driving vehicles?

The initial evidence certainly supports that notion. GM carries with it an enormous amount of history in making safe, reliable automobiles. The question is which part of autonomous vehicles is the hardest to imitate? GM is betting that the software side is easier to copy than building a reliable car – the purchase of a software company (Cruise Automation) might mean exactly that.

14.2

Would you consider Mary Barra to be the prototypical transformational leader? In what ways does she fit or not fit that model?

Barra would probably rank highest along the dimensions of individualized consideration (coaching and showing people how they fit into the bigger picture) followed by inspirational motivation (pushing GM to think of its role in the automotive industry differently than it has before). Those that know her well tend to be willing to follow her lead and emulate her behavior (idealized influence).

However, most people perceive transformational leaders to be individuals with big egos and bigger ideas and Barra certainly does not fit that description given her collaborative style.

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14.3

Given GM‘s history, why does Barra put a premium on her executives‘ leadership behaviors?

Barra recognizes that many of the reasons for GM’s past problems lie in its culture. The only way to change that culture is to drive a change in leadership behaviors throughout the organization.

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EXERCISE: TAKE ME TO YOUR LEADER Instructions: Emphasize that each member should choose a leader that is personally interesting to them, but that they should also make their choices as diverse as possible within the group. If you want, you could also allow some group members to choose ―write-in leaders‖ that are not represented in the table.

Sample Individual Output: Fitness Trainer: • Does a lot of leading by example (showing clients how to do exercises) • Does a lot of cheering on clients to bang out a few more reps in each set • Only sees clients a few hours a week, so lacks day-to-day input into diet, nutrition, etc.

• Often knows a lot more than clients about relevant things (like how to do exercises, how to avoid injury, how to eat well) • Can only gauge his/her effectiveness over a long time period (because changes in outward physical appearance occur slowly, as may improvements on specific exercises) Sample Group Output: Leadership Universals: • Serve as example • Use persuasion to influence • Help followers through struggles • Share expertise Situational Challenges: • Limited time spent with follower • Limited control over key facets of task • Limited ability to gauge effectiveness • Difficulties dealing with outside ―shocks‖ Questions: It will almost certainly be the case that the universals will represent some combination of proper decision-making styles, initiating structure, consideration, or transformational leadership. If the ―universal‖ listed does not seem relevant to one of those concepts, consider whether the listed concept would indeed be universal. The situational challenges will likely be represented, in some form, in the time-sensitive model, the lifecycle model, or the substitutes for leadership model. It may well be though, given the sheer spectrum of situational challenges, that the items listed in this section will not be found in one of those models.

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OMITTED TOPICS The field of organizational behavior is extremely broad and different textbooks focus on different aspects of the field. A brief outline of topics that are not covered in this text, but which the professor might want to include in his or her lecture, is included below. In cases where these topics are covered in other chapters in the book, we note those chapters. In cases where they are omitted entirely, we provide some references for further reading.

•

Blake and Mouton‘s Managerial Grid – Complements the Ohio State and Michigan Studies by more fully describing various combinations of initiating structure (labeled concern for production) and consideration (labeled concern for people). For example, low levels of initiating structure and high levels of consideration is termed ―country club management.‖ For more on this, see: Blake, R. R.; and J. S. Mouton. ―A Comparative Analysis of Situationalism and 9,9 Management by Principle.‖ Organizational Dynamics 10 (1982), pp. 20–43.

•

Path-Goal Theory of Leadership – Like the time-driven and life cycle models, this theory argues that the effectiveness of four leader behaviors (directive behaviors, akin to initiating structure, supportive behaviors, akin to consideration, participative behaviors, and achievement-oriented behaviors) on leader effectiveness depends on follower characteristics (skills, experiences, locus of control) and environmental characteristics (task structure, team dynamics). For more on this, see: House, R. J. ―A Path-Goal Theory of Leader Effectiveness.‖ Administrative Science Quarterly 16 (1971), pp. 321–38.

•

Fielder‘s Contingency Model – This model also focuses on how the effectiveness of leader behaviors varies across situations. More specifically, the model suggests that the effectiveness of task-oriented behaviors (akin to initiating structure) and relationship-oriented behaviors (akin to consideration) varies according to leader-member relations, task structure, and position power. The theory is best known for its unique measurement of the leader‘s preference for task vs. relationship-oriented behaviors. That preference is assessed by asking leaders how much they like their ―least preferred coworker‖ (LPC). If leaders like even their least preferred coworker, they purportedly lean toward relationshiporiented behaviors. If leaders describe that least preferred coworker in very unfavorable terms, they purportedly lean toward task-oriented behaviors. For more on this, see: Fiedler, F. E. A Theory of Leadership Effectiveness. New York: McGrawHill, 1977.

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•

Authentic Leadership – This concept integrates the study of leadership with the study of trust and ethics (see Chapter 7). The authentic leadership perspective argues that leaders need to know their own ethical principles and act on those principles when in a leadership role.

Avolio, B. J.; W. L. Gardner; F. O. Walumbwa; F. Luthans; and D. R. May. ―Unlocking the Mask: A Look at the Process by Which Authentic Leaders Impact Follower Attitudes and Behaviors.‖ Leadership Quarterly 15 (2004), pp. 801–23.

Chapter 15: Organizational Structure

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NOTE FROM THE AUTHOR My name is Jason Colquitt, and I‘m the lead author on the Colquitt-LePine-Wesson textbook, Organizational Behavior. I‘m also the author of this Instructor‘s Manual and I want to encourage adopters to reach out to me if I can help in any way with the book.

I‘m happy to point you to video clips that complement our OB on Screen feature or to share the details of a research project on performance and commitment that I do with my students. I also created PowerPoints for earlier editions of the textbook that have extensive photos and vivid colors, along with narration notes from my own teaching. I‘m happy to share those PowerPoints with you, as the current PowerPoints are limited by new restrictions on photos and colors. I also have those files in Keynote form if you are a Mac user. In sum, I enjoy corresponding with adopters very much, so please do not hesitate to reach out to me. My email address is jason.colquitt@gmail.com.

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CHAPTER OVERVIEW This chapter identifies and describes the key factors in designing an organization‘s structure, including work specialization, chain of command, span of control, centralization of decision making, formalization, business environment, strategy, technology, size, and organizational form. It also points out some of the pitfalls inherent in restructuring and describes how to manage them.

LEARNING GOALS After reading this chapter, you should be able to answer the following questions: 15.1 15.2 15.3 15.4 15.5 15.6

What is an organization‘s structure, and what does it consist of?

What are the major elements of an organizational structure?

What is organizational design, and what factors does the organizational design process depend on?

What are some of the more common organizational forms that an organization might adopt for its structure?

When an organization makes changes to its structure, how does that restructuring affect job performance and organizational commitment?

What steps can organizations take to reduce the negative effects of restructuring efforts?

CONNECT EXERCISES Elements of Organizational Structure Structure Preference One Smooth Stone Luxury and Speed at Louis Vuitton Manager‘s Hot Seat: Organizational Structure—Merging Corporate Differences Types of Organizational Structures Sony Corporation

Click and Drag* Self-Assessment Video Case Case Analysis Video Case Click and Drag* Case Analysis

*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

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CHAPTER OUTLINE I. ORGANIZATIONAL STRUCTURE C. An organizational structure formally dictates how jobs and tasks are divided among and coordinated between individuals and groups within the company XLVI. WHY DO SOME ORGANIZATIONS HAVE DIFFERENT STRUCTURES THAN OTHERS? A. Organizational chart – a drawing that represents every job in the organization, and the formal relationship between jobs B. Elements of Organizational Structure 1. Work Specialization – the way in which the tasks in an organization are divided into separate jobs a. Highly specialized jobs, where workers do only one kind of task, may be efficient, but workers will lack flexibility and job satisfaction.

2. Chain of Command – deals with reporting relationships within an organization, capturing the flow of authority down through the levels of the organization a. Modern organizations may have very complex chains of command, with people reporting to two or more managers OB on Screen: Aquaman. The clip referenced in the book begins at around the 26:20 mark of the film, continuing until the 31:19 mark.

Bureaucracy and chain of command in a superhero flick? Who would‘ve thought it! Much like King Orm, most people have a tendency to get frustrated with chain of command and policy/rule issues inside large organizations. Have students think about moments when they couldn‘t get somebody to do something because they didn‘t have the ―authority‖ to tell them what to do. It doesn‘t take long for students to come up bureaucracy issues they have run into. Remind them that the more bureaucratic structures become, the less likely they are to have the ―organizational power‖ it takes to get something done and the more likely they will have to lean on other forms of influence. It‘s also a great opportunity to talk about how certain organizational structures can increase the political behaviors of employees. In Aquaman, even a King can be held up by rules, approvals, and politics. Please email me at jason.colquitt@gmail.com if you have any questions about using OB on Screen in your teaching.

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Bonus OB on Screen (from 5th edition): The Imitation Game. The clip referenced in the book begins around the 20:20 mark of the film, continuing until about the 23:26 mark. The clip depicts Alan Turing requesting resources from Commander Alistair Dennison in order to build a machine that will solve the riddle of the ―Enigma Machine‖ which is a code-based system the Nazi‘s used in WWII. Turing, who is not used to being in an ―organization‖ (much less a military structure), has clearly run into some obstacles he doesn‘t believe should exist for him. As explained

by Commander Dennison, in the military, organization and chain of command are essential for survival. You cannot simply ―go around‖ them if you don‘t like what your supervisor says. As it turns out, Turing attempts (and succeeds) to do exactly that by writing a letter to Winston Churchill requesting that he be put in charge of the unit. Once that happens, the commander is forced to oblige Turing‘s wishes. Although this is a unique scenario, it is worth having a discussion with students about when it might be appropriate in an organization to go around the ―chain of command.‖ What are the possible repercussions of that decision for the organization and the person who ignores the company structure? Posing a line of questioning about what the benefits are for an organization in having a strict chain of command can be fruitful. As students, what are they going to do when their boss tells them ―no‖ to a request they believe is in the best interests of the organization? How are organizations set up to minimize these kinds of issues with their employees? Ask students if anyone has ever been a manager in an organization. Have they ever experienced an employee who tried to go around them to do something?

How did it make them feel and how did they react?

Bonus OB on Screen (from 4th edition): Company Men. The clip referenced in the book begins around the 41:40 mark of the film, continuing until about the 43:20 mark. Be careful in loading the scene for viewing based on the time listed above. The scene immediately preceding this one ends with a profanity. The clip depicts Gene McLary at a boardroom table headed by CEO James Sallinger. The CEO is determined to raise the stock price of the company at all costs and the most expedient way to do that in his eyes (although there are other options) is to layoff more people within the company. McClary does not believe this is the correct or moral course of action. Students will likely not sympathize with the CEO partly because the movie is designed in such a way that you are not supposed to. However, it is worth pressing them on how they think somebody gets to this stage in their career and (at least seemingly) has little regard for employees within the company. How would they feel as employees of a company if their CEO acted and thought like Sallinger does in the clip? Would their mind change if they were a major stakeholder? Another course of discussion could revolve around those employees that are caught in the crossfire (McClary) or those who are left behind after the layoffs are completed.

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Bonus OB on Screen (from 2nd edition): The Departed. The clip begins around the 1:36:53 mark of the film, continuing until about the 1:38:03 mark. The clip depicts Colin Sullivan and Police Captain Queenan discussing the fact the ramifications of the fact that Sullivan is going to be investigating other members of the SIU to find a ―rat‖ that has been tipping off a major criminal (Frank Costello). The situation provides an example of how, by creating a subunit, the information flow between two different groups is blocked. One topic for class discussion is under what circumstances a company might want to create units like this on purpose.

Following that, a discussion of how many companies do this inadvertently (creating silos) and then spend lots of time and money trying to keep the information flowing between the groups. It is a great time to discuss how this has happened in the Sony example in the book (or through the extra case provided below in the IM). (Instructor note: Be careful when you start this scene. It should begin immediately as Matt Damon enters the Captain‘s office. If you start it too early, right at the beginning of the chapter, you will end up with some questionable language.)

Bonus OB on Screen (from 1st edition): Star Wars II: Attack of the Clones. The clip begins around the 1:33:34 mark of the film, continuing until about the 1:35:22 mark. The clip depicts Chancellor Palpatine being awarded ―emergency powers‖ over the Galactic Senate. This move centralizes all decision-making authority within the organizational structure of the Republic. Clearly, Yoda and Mace Windu (the two characters at the beginning and ending of the scene) recognize what has just been done— even if the rest of the assembly does not. In addition to discussing what this might mean for Star Wars, encourage students to think about the structures they come into contact with every day. How might the structure of the university or system they belong to affect them? What about the structure of the groups they belong to?

3. Span of Control – represents how many people report to a given manager a. Narrow spans of control allow for close working relationships, but can significantly increase labor costs, and cause employees to become resentful of being too closely supervised. b. Current research suggests that a moderate span of control is best for an organization‘s productivity, but spans of control in organizations have increased significantly in recent years, creating flatter structures. c. Small spans of control create ―tall‖ organizational structures, while large spans of control create ―flat‖ structures.

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a. Centralized – managers at the top of the organizational chart make decisions b. Decentralized – managers at the bottom of the organizational chart make decisions OB Assessments: Centralization. This assessment determines whether a student‘s job is centralized or decentralized, based on the hierarchy of authority and the participation in decision making. Focus discussion on whether the students preferred the structure they experienced, or whether they would have liked a different kind of structure.

Please see the Instructor PowerPoints for a Bonus Assessment on Formalization.

Please see the Connect assignments for this chapter for an assessment on Structure Preferences.

Please email me at colq@uga.edu if you have any questions about using these assessments in your teaching.

5. Formalization – refers to the number of rules and procedures that are used to standardize behaviors and decisions; companies that have a lot of rules are formal, those with fewer rules, less formal a. Formalization is a necessary coordination mechanism when organizations want to deliver a standardized product or service.

Connect Exercise: Elements of Organizational Structure Click and Drag*. Students analyze the situation where a full-time MBA student, Alex, is completing an assignment about organizational structure. He needs to match facts about his current organization to the elements of structure – work specialization, chain of command, span of control, centralization, and formalization. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 15.1 What is an organization‘s structure, and what does it consist of?

15.2 What are the major elements of an organizational structure?

Topic: Centralization; Chain of command; Formalization; Job specialization; Organizational structure; Span of control

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Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: In class, search the internet (if students can see the projection) for organizational charts. The results will include many websites for organizational chart templates and software. Making these charts is a big business, and this helps students see that they are not just theoretical classifications, but useful to organizations, incorporating significant detail and planning. You can click on a couple of these to show software features that allow plotting span of control, chain of command, etc.

6. Elements in Combination a. All of the above elements can be combined to paint a picture of two different types of organizations: i.

Mechanistic – Efficient, rigid, standardized, these companies thrive in stability. They have a structure that relies on formalization, a hierarchical chain of command, work specialization, centralization of decision-making, and narrow spans of control.

ii. Organic – Flexible, adaptive, outward-focused organizations that thrive in dynamic environments. They have structures that rely on low levels of formalization, weak or multiple chains of command, low levels of work specialization, and wide spans of control. iii. Most organizations fall somewhere between the two types, and whether or not a type is effective depends on the environment of the organization.

Connect Exercise: Structure Preference Self-Assessment. Results classify students as preferring either a mechanistic or organic form of organizational structure. Students who prefer a mechanistic structure will want more efficient, rigid, predictable, and standardized elements. Students who prefer an organic structure will want more flexible, adaptive, and outwardly-focused elements.

Learning Goals 15.2 What are the major elements of an organizational structure?

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Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Ask students for examples of mechanistic and organic types of companies that they could work for. For example, an accountant could work for a software start-up or a large, hierarchical consulting firm. Ask which is the type of company they envision working at and why.

Connect Exercise: One Smooth Stone Video Case. This video tells the story of One Smooth Stone, an event planning company, and its focus on good organization and efficient processes. Questions following the video are about elements of its structure.

Learning Goals 15.1 What is an organization‘s structure, and what does it consist of?

15.2 What are the major elements of an organizational structure?

15.3 What is organizational design, and what factors does the organizational design process depend on?

Topic: Centralization; Job specialization; Organic model; Organizational structure; Product structure; Span of control Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Contrast the organic structure of One Smooth Stone with a mechanistic structure using a hands-on activity. Using paper and/or soft molding clay, ask student groups to ―form‖ an organization. Assign organic to half and mechanistic to half. Paper proves to be a difficult medium for organic organizations, and modeling clay is difficult for mechanistic organizations.

Using one medium tilts the activity toward one type of organization, which illustrates the same learning points, or you can give students both mediums and let them choose. The analogies of the medium chosen and its shape allows discussion of how communication, knowledge, decision-making, and other factors define that type of structure.

C. Organizational Design 1. Organizational design is the process of creating, selecting, or changing the structure of an organization.

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2. Factors Influencing Organizational Design a. Business Environment i.

Consists of customers, competitors, suppliers, distributors, and other factors external to the firm 

Stable environments don‘t change rapidly. They are more suitable to mechanistic designs.



Dynamic environments change rapidly. They are more suitable to organic designs.

b. Company Strategy i.

Describes the organization‘s objectives and goals and how it will capitalize on its assets to make money 

Low cost producers rely on selling products at the lowest possible cost and being as efficient as they can, often taking a mechanistic approach.



Differentiators focus on providing high quality or unusual products and adapting to their environment quickly, often taking an organic approach.

c. Technology i.

The method by which an organization transforms inputs into outputs a. Research suggests that the more routine a technology is, the more mechanistic a structure should be.

d. Company Size i.

The larger an organization becomes, the more likely it will be to have a mechanistic design.

Connect Exercise: Luxury and Speed at Louis Vuitton Case Analysis.

This case describes how Louis Vuitton has adopted agile manufacturing processes to achieve speed, quality and new trends together. Agile organizations rely on uniquely flexible, organic structures that respond quickly to customer and market needs. Students read the case and then answer questions about organizational design that follow.

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15.2 15.3

What are the major elements of an organizational structure?

What is organizational design, and what factors does the organizational design process depend on?

Topic: Centralization; Decentralized decision making; Formalization; Job specialization; Mechanistic organizations; Organizational design; Organic model; Organizational structure Difficulty Level: 3 = Hard Blooms: Evaluate AACSB: Analytical Thinking Follow-Up Activity: Present students with well-known companies, nonprofits, or government organizations and ask them to define the environment (stable or dynamic) and type of technology (routine or not routine). Straightforward examples include the IRS, Kellogg‘s, and Disney Pixar. More difficult organizations that spur discussion are: National Football League (NFL), Target Stores, the Red Cross, Levi Strauss & Company, and Coca-Cola.

D. Common Organizational Forms 1. Simple Structures a. A small organization with one person at the top who is the owner/manager, companies with simple structures have little specialization or formalization Try This! Ask students if any of them grew up in a family business. Have them describe the business to see if it fits the characteristics of a simple structure. Does the student see anything limiting or inefficient about the business‘s current structure? Can the student point to the need for a structure that is more bureaucratic in nature?

2. Bureaucratic Structures a. Bureaucracies are designed for efficiency, and rely on high levels of work specialization, formalization, centralization of authority, rigid and welldefined chains of command, and relatively narrow spans of control. b. Functional Structure i.

Groups employees by the functions they perform for the organization – most mechanistic of bureaucratic organizations

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c. Multi-Divisional Structure i.

Product structure – employees grouped around products OB at the Bookstore: The Silo Effect. The author of this book provides a number of concrete examples of the downside of silos that can be created through a company‘s organizational structure.

Discussion of the book is a great opportunity for students to think about where silos might be affecting the organizations they are a part of.

Have students think about the organizations (work, clubs, professional groups, etc.) they belong to and encourage them to think about situations in which things have gone wrong because members of the group didn‘t talk to one another. Push them to examine why that occurred. Chances are good that the way in which the organization distributed tasks among members played a pretty large role (as opposed to people just not liking one another). Ask them to think about how those groups are structured and how that structure might keep people from communicating or collaborating effectively. It is worthwhile having a discussion about how some of the silos we have in our lives are mental more than official. Is there a real difference between the two when it comes to the potential outcomes that might happen as a result?

ii. Geographic structure – employees grouped by location OB Internationally. This text box looks at IBM‘s organizational structure, noting that IBM is moving from a geographic structure to a more functional structure. As the world becomes flatter through technology, clients expect the best talent from around the world, not just the best talent that happens to be sitting in their city. One discussion question that might be asked is, ―Are there any drawbacks to this approach?‖ Students should consider time zones, language difficulties, and cultural differences in their answers. iii. Client structure – employees grouped around a specific client iv. Matrix structures – combine two types of structure into one, typically based on functional and projects or product divisions a. Matrix structures are very flexible, and allow organizations to put together teams based on employee experience and skill. b. Matrix structures give each employee two chains of command, two groups with which to interact, and two sources of information to consider. These structures can create high stress levels for employees.

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E. Summary: Why Do Some Organizations Have Different Structures Than Others?

(Figure 15-6) Connect Exercise: Manager’s Hot Seat: Organizational Structure— Merging Corporate Differences Video Case. This video Learning Goals 15.2 What are the major elements of an organizational structure?

15.4 What are some of the more common organizational forms that an organization might adopt for its structure?

Topic: Matrix structure; Organizational structure; Types of authority Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Look up the ―worst mergers of all time‖ and ―best mergers of all time‖ (or ask your students to). The ―best‖ will include mergers such as Disney-Pixar and Exxon Mobile. The ―worst‖ will include mergers such as AOL/Time Warner and Quaker Oats/Snapple. Tell the stories in class to illustrate the problems of merged structures. You are likely to find news videos as well.

Connect Exercise: Types of Organizational Structure Click and Drag*.

Students read facts about organizations and match them with the type of structure—functional, multi-divisional and matrix. Because structure affects day-to-day activities and outcomes, managers must be aware that the structure should match the strategy and environment. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 15.3 What is organizational design, and what factors does the organizational design process depend on?

15.4 What are some of the more common organizational forms that an organization might adopt for its structure?

Topic: Bureaucratic structure; Functional structure; Geographic structure; Matrix structure; Multi-divisional structure; Organizational design; Organizational structure

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Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Ask student groups to describe a company that grows from a small business to a matrix organization. Students can pick the industry and product types. Students should describe the circumstances that cause the company to progress through four types of structures: functional, multidivisional (product, geographic, or client), and matrix. Tell students that the ‗story‘ is in the details of the company and what it does and should include the organizational chart for each structure. One way to make it more fun is to let the students use cartoon characters as the owners of the business, then pick the product and how the company grows (e.g., SpongeBob sells seaweed, Sonic the Hedgehog sells running shoes, etc.).

XLVII. HOW IMPORTANT IS STRUCTURE? A. Changes to an organization‘s structure (restructuring) can have negative effects on performance, at least in the short term, because they hinder learning and decision making and increase employee stress.

B. Restructuring has a moderate negative effect on commitment, with affect commitment being much lower in organizations that restructure.

XLVIII.

APPLICATION: RESTRUCTURING

A. Organizations today frequently restructure, often laying off managers in an attempt to create a flatter organization.

B. One of the best ways in which managers can help a restructuring to succeed is to help to manage the guilt and remorse felt by layoff survivors (those people who don‘t leave the company) by giving them a stronger sense of control and communicating with them frequently and honestly.

Try This! Ask students to give you a show of hands if their families have been affected by the restructuring of an organization. The show of hands will likely be larger than you might expect. For those students who have not been affected, this demonstration helps to bring home how widespread this issue is, especially over the last two decades. How did their families feel about the companies that restructured? Perhaps some of them have been affected personally as well.

Connect Exercise: Sony Corporation Video Case. This case presents the complex conglomerate, Sony Corporation, and the difficulties of having a coherent strategy with many independent product lines. Sony‘s large-scale 2-351 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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restructuring has revitalized the company. Questions that follow focus on its structure and related elements.

Learning Goals 15.2 What are the major elements of an organizational structure?

15.4 What are some of the more common organizational forms that an organization might adopt for its structure?

15.5 When an organization makes changes to its structure, how does that restructuring affect job performance and organizational commitment?

15.6 What steps can organizations take to reduce the negative effects of restructuring efforts?

Topic: Centralization; Functional structure; Geographic structure; Multidivisional structure; Organizational structure Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Ask students if they would like to work for a large conglomerate like Sony, a midsize business, or a small start-up. Allow students to express why they would prefer a certain size of company. The discussion may include reasons like opportunities, stability, connectedness to the vision, etc.

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DISCUSSION QUESTIONS 15.1

Is it possible to be a great leader of employees in a highly mechanistic organization? What special talents or abilities might be required?

In a highly mechanistic organization, great leaders often have one of two types of skills. They are either technically expert, or they are proficient at improving the processes by which work is done, so employees are able to work more efficiently. On the other hand, a leader who had high levels of consideration may stand out in a highly mechanistic organization, simply for providing care and concern in an environment dominated by production issues.

15.2

Why do the elements of structure, such as work specialization, formalization, span of control, chain of command, and centralization, have a tendency to change together? Which of the five do you feel is the most important?

As one of these elements of structure changes, the others must change as well.

Take, for example, work specialization. As employees are given more and more specialized jobs to do, senior level managers are more and more likely to develop rules by which those jobs should be done, and the organization becomes more formalized and centralized. In addition, with increasing specialization, senior management may perceive an increased need to control employees, which will lead to hiring more managers and a decreased span of control.

15.3

Which is more important for an organization: the ability to be efficient or the ability to adapt to its environment? What does this say about how an organization‘s structure should be set up?

Much of this depends on how dynamic the organization’s environment is. The more dynamic, the more adaptable a company needs to be. To some extent, increasing efficiency is one way in which organizations adapt to a changing environment. When the environment is characterized by high competition and decreasing prices, increased efficiency may be the only way in which the organization is able to compete.

15.4

Which of the organizational forms described in this chapter do you think leads to the highest levels of motivation among workers? Why? Although there are so many variables that preclude a clear answer to this question, divisional structures, especially those centered around clients, are likely to lead to the highest levels of motivation, because they allow employees to get a better understanding of the importance of their work (how what they do impacts customers.)

15.5

If you worked in a matrix organization, what would be some of the career development challenges that you might face? Does the idea of working in a matrix structure appeal to you? Why or why not?

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Matrix organizations are highly political, due to their dual reporting relationship structure. Employees may be torn between becoming a generalist (moving from product to product, using different skills) and becoming a specialist (focusing on skill development in their functional areas.) It may be hard for employees to find the right mentor, especially since they change work groups on a regular basis.

Whether or not a student will find a matrix structure appealing, depends in large part on their design for a rapidly changing, highly politically charged, work environment.

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CASE: MATTEL Questions: 15.1

If you were a Mattel employee, would you be encouraged by what CEO Ynon Kriez said about how he is following up on restructuring? Is there a way he could have said it better?

Statements that CEO’s make either immediately before or after a major restructuring are always picked apart by employees trying to make sense of what is going on around them. Kriez’s statement essentially says that he’s going to try to talk to as many employees as possible about where he feels Mattel is heading, but that is not going to slow him down in terms of making future changes.

Although the case doesn’t present a full picture of the message that Kriez delivered, research would suggest that the more groups he talks to in person (allowing them to have a voice) and the more he communicates the company’s new strategy, the better off employees will be.

15.2

Given that Mattel‘s structure is still organized around brands (toys), how do you expect a new film division to fit in from a structural standpoint?

If Kriez’s belief that the creation of a media empire is strategically linked to the future success of the company, that film division will have to touch all aspects of what Mattel brings to the table in terms of brands. The logical way to incorporate it (and other media divisions) would be in a matrix type of structure where certain numbers of employees not only support the brand, but also different aspects of media publicity for it.

15.3

How might Mattel change its structure to be more efficient or successful?

Generally speaking, making the structure more ―efficient‖ would involve moving toward a more functional structure. However, functional structures don’t tend to work well for companies that have as many different products as Mattel does. A geographic structure doesn’t seem to make sense either. One organizing option might be for Mattel to ―group‖ products that are similar to take advantage of some economies of scale. The other might be to move to a more matrix like structure as mentioned in the prior question. Matrix structures are rarely more ―efficient‖ though. However, it sounds in the case that it isn’t as much how Mattel is organized as much as it is how many layers of management there are within each division. Removing some of these layers might lessen the bureaucracy that seems to be plaguing the company.

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BONUS CASE (from 6th edition): APPLE When you sit down with the next Apple product you are using—whether that be your iPhone, your iPad, your MacPro, or whatever else—it‘s worth taking the time to think about why Apple has been so successful at creating products that seem to flow and work so well. You might think, ―They‘ve had some great visionary leaders like Steve Jobs and Tim Cook.‖ (They have.) You might think, ―Well, they‘ve got some brilliant people working there.‖ (They do.) However, one of the big and somewhat hidden reasons for Apple‘s success over the years has been . . . wait for it . . . its organizational structure. Wait, what? That‘s right, how Apple organizes its work, reporting relationships, and information flow have had a lot to do with why they have been so successful.

So how does Apple do it? The company is organized using a functional organizational structure. If you look at the executives in Apple (SVP of Software Engineering, Chief Design Officer, SVP of Hardware Engineering, SVP of Hardware Technologies), employees are organized around their expertise—what they bring to the table in terms of knowledge or skill. What you don‘t see are executives in charge of specific products (iPhone VP, Mac Pro VP) or regions (VP North America, VP Europe). When Steve Jobs came back and took over Apple for the second time, the first thing he did was reorganize the company back into a purely functional structure. Apple believes that this structure allows them to move more quickly, focus on collaboration above all things, and have ―best in class‖ employees.

One advantage of not organizing around a product is that it makes it easier to get rid of products when they‘ve outlived their usefulness (iPod, Airport routers, Apple monitors).

There simply isn‘t anyone around worried about losing their job when a product needs to go away. So why don‘t more companies take this approach? Simply put, it‘s really hard to hold on to a functional structure as a company grows in size. That‘s why a lot of Apple stakeholders and critics have been trying to push Apple to change as they‘ve gotten bigger because they believe Apple is leaving a lot of money on the table. Apple CEO Tim Cook has fought back though saying, ―Apple is this unique company, unique culture that you can‘t replicate. And I‘m not going to witness or permit the slow undoing of it, because I believe in it so deeply.‖ After five years under Apple CEO Tim Cook‘s leadership, Apple‘s revenue has tripled, it has doubled the number employees working for the company to over 115,000, and its cash reserves have grown to a record $246 billion. Cook says, ―Our reason for being is the same as it‘s always been. To make the world‘s best products that really enrich people‘s lives.‖ Apple‘s functional structure has helped that product development to be wildly successful through collaboration, beating out a number of competitors like Sony whose multi-divisional structures keep them from sharing information, expertise, and technology in the most effective way. However, it causes problems for them as well.

Apple desktop users are frustrated with a lack of updates (over three years running) and iPhone/iPad users get frustrated that Apple waits to provide major updates to its software systems until it has a new product on the market. Apple shareholders are 2-356 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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upset that Apple isn‘t making more money off of their services (iTunes and other apps).

These kinds of issues arise partly because nobody is ―in charge‖ of those products or services.

One of the reasons companies eschew functional (expertise) structures is that it makes it more difficult to hold managers accountable for things when they go wrong. In a multidivisional structure, if a product fails or a region or unit doesn‘t make a certain amount of profit—there is someone to point to. When an issue arises with Windows or Office or Microsoft Cloud, Microsoft knows where to go and whom to hold responsible because someone is in charge of those products. Apple‘s philosophy is different. Apple CEO Tim Cook said, ―They‘re not things where we run separate [profits and losses] on, because we don‘t do that—we don‘t believe in that. We manage the company at the top and just have one [profit and loss] and don‘t worry about the iCloud team making money and the Siri team making money. We want to have a great customer experience, and we think measuring all these things at that level would never achieve such a thing.‖ As Apple becomes even larger though, their structure is going to be harder to maintain.

The fact is that they could be making updates much more frequently to a wide range of products, upgrading software, and providing services that could allow them to be much more profitable if they were to adopt a different structure. They have also been blessed with great leadership given their very centralized approach to decision making. The question is where do they go from here?

Questions: 15.1

Why do you think Apple‘s functional structure has been so important for their products?

Apple has consistently focused on how a customer experiences their products above other things. Their structure has forced them to be highly collaborative across functions that don’t collaborate in many other organizations. This allows their products to achieve a certain ―flow‖ that other companies don’t have. Every product has the benefit of the best of each functional area as opposed to the software engineering group for iPhone and the software engineering group for the Mac Pro not talking to one another.

15.2

What are the outside forces that might make Apple change their organizational structure in the future?

The positives have to be oriented around the flexibility, adaptability, and creativity The largest outside force is likely to be the company’s shareholders who believe that company profits are worth more than the advantages that a functional structure creates. The market might also play a role in terms of how quickly product changes within each market segment are expected by consumers.

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15.3

How might Apple change their structure in a way that allows them to have the best of both worlds?

The obvious answer is a matrix structure that allows the company to take advantage of both a product and a functional structure at the same time. Apple would have to deal with the substantially higher coordination costs that a matrix structure would bring though.

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EXERCISE: CREATIVE CARDS, INC. Instructions: This exercise allows students to analyze the effectiveness of a given organizational structure (shown below), and to create a new structure that is more effective. If possible, give students time to work on their structures in class, then tell them to take the structures home and prepare to report on them during the next class period. Then, in the next class period, have all the groups present their structures to the class, and as a class, identify which structure would be most effective for the company. Another option is to assign each student group a particular type of structure—functional, product, geographic, customer, or matrix, and to see how easy or difficult it is to structure the company along those lines. Finally, you can encourage the students to experiment with mixed structures by asking them to create a structure that combines two different structures, for example, functional and geographic.

Organizational Chart – Creative Cards Mixed Functional and Geographic Structure

President Payroll Mgr.

Finance Dir.

Sales V.P.

Creative Dir.

Art Design Mgr.

Verse Writer

Admin. Asst.

Exec. V.P.

West Coast Operations V.P.

Printing Sup.

Sympathy Card Sup.

Birthday Card Sup.

E-Card Sup.

Card Cutting Sup.

4 emps.

60 emps.

25 emps.

10 emps.

East Coast Sales Mgr.

Quality Control Mgr. 14 emps.

Buyer I Inks

Press Operator

H.R. V.P.

Legal 4 emp.

Sanitation Engineer Janitors 4 emp.

Distribution Manager. – Northern Region

Sales Reps.

8 emps.

Problems with Organization Structure for Creative Cards Note that the problems listed below are just a sample, Students will find many more!

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• • • • • • • • • • • • •

Administrative Assistant is at the same level (reporting directly to President) as Vice Presidents and Directors.

Levels of senior staff are inconsistent – some are Vice Presidents, some are Directors – they should be one or the other.

Creative Director reports to both Executive Vice President and CEO. HR V.P. doesn‘t report to anyone.

Company structure at the top is not consistent—is it a functional or a geographic organization?

East Coast Sales Manager doesn‘t report to anyone.

H.R. V.P. is in charge of employees from the Sales, Operations, and Distribution areas.

Sanitation Engineer and Janitors would be better off reporting to production managers, since they work on the shop floor.

Art Design Manager, Verse Writer, and Printing Supervisor don‘t report to anyone.

If there is a Creative Director, there should also be corresponding Manufacturing and Sales Directors.

The Printing Supervisor is not a Creative Position.

The various ―product supervisors‖ (sympathy, birthday, etc.) all report to both the art design manager and the verse writer.

The Birthday Card Supervisor has 60 people reporting to him or her. That span of control is too broad.

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OMITTED TOPICS The field of organizational behavior is extremely broad and different textbooks focus on different aspects of the field. A brief outline of topics that are not covered in this text, but which the professor might want to include in his or her lecture, is included below. In cases where these topics are covered in other chapters in the book, we note those chapters. In cases where they are omitted entirely, we provide some references for further reading.

•

Other organizational structures – Boundaryless, networked (virtual), team, etc. are all other ―names‖ for structures. This list can be somewhat endless. While there are many other ―forms‖ of structure, most are simply versions of the types of structures already covered in the chapter.

•

Organizational Strategy – It is difficult to have a conversation about structure without discussing which types of organizational structures are ―the best.‖ While our focus is mainly on how structure affects individuals within organizations, which structure is best for the organization itself is a different question altogether and depends largely on the strategy of an organization. For more on organizational strategy and the implications of strategy on structure, see; Porter, M. Competitive Strategy. New York, N.Y.: Free Press, 1980.

•

Culture – Most of the effects of organizational structure happen because of the general feelings it might create among organizational members. A detailed discussion of organizational culture follows in Chapter 16.

Chapter 16: Organizational Culture

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NOTE FROM THE AUTHOR My name is Jason Colquitt, and I‘m the lead author on the Colquitt-LePine-Wesson textbook, Organizational Behavior. I‘m also the author of this Instructor‘s Manual and I want to encourage adopters to reach out to me if I can help in any way with the book.

I‘m happy to point you to video clips that complement our OB on Screen feature or to share the details of a research project on performance and commitment that I do with my students. I also created PowerPoints for earlier editions of the textbook that have extensive photos and vivid colors, along with narration notes from my own teaching. I‘m happy to share those PowerPoints with you, as the current PowerPoints are limited by new restrictions on photos and colors. I also have those files in Keynote form if you are a Mac user. In sum, I enjoy corresponding with adopters very much, so please do not hesitate to reach out to me. My email address is jason.colquitt@gmail.com.

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CHAPTER OVERVIEW The focus of Chapter 16 is organizational culture—the shared social knowledge that shapes the attitudes and behavior of employees. Four general culture types are presented—networked, communal, fragmented, and mercenary—along with the concepts of strong and weak cultures. Finally, the chapter looks at how organizations maintain their cultures and how person-organization fit impacts job performance.

LEARNING GOALS After reading this chapter, you should be able to answer the following questions: 16.1 16.2 16.3 16.4 16.5 16.6

What is organizational culture, and what are its components?

What general and specific types can be used to describe an organization‘s culture?

What is a strong culture, and is it always good for an organization to have a strong culture?

How do organizations maintain their culture and how do they change it?

What is person–organization fit and how does it affect job performance and organizational commitment?

What steps can organizations take to make sure that newcomers will fit with their culture?

CONNECT EXERCISES New Belgium Brewery A Typology of Organizational Culture Culture Preference General Electric and Enron Culture Strength Socialization Dentsu

Video Case Click and Drag* Self-Assessment Case Analysis Self-Assessment Click and Drag* Case Analysis

*Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

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CHAPTER OUTLINE I.

ORGANIZATIONAL CULTURE A. There are many different definitions of the term ―organizational culture,‖ but for the purposes of the chapter, organizational culture is the shared social knowledge within an organization regarding the rules, norms, and values that shape the attitudes and behaviors of employees.

II.

WHY DO SOME ORGANIZATIONS HAVE DIFFERENT CULTURES? 1. Culture Components a. Observable Artifacts – manifestations of culture that employees can easily see and discuss i.

Symbols – everything from corporate logos to employee uniforms

ii. Physical Structures – things like office layout, location of buildings, etc. iii. Language – the jargon, slang, and slogans used within the walls of an organization iv. Stories – anecdotes, accounts, legends, and myths that are passed down from cohort to cohort in an organization v. Rituals – daily or weekly planned routines in an organization vi. Ceremonies – formal events, generally performed in front of an audience of organizational members b. Espoused Values – the beliefs, philosophies, and norms that a company explicitly states i.

Enacted Values – what a company does – in other words, whether or not a company‘s actions live up to its espoused values

c. Basic Underlying Assumptions – taken-for-granted beliefs and philosophies that are so ingrained that employees simply act on them rather than questioning the validity of their behavior in a given situation, for example, safety in an engineering firm Connect Exercise: New Belgium Brewery Video Case. This video presents the story of New Belgium Brewery and its cultural components. A central company value is environmental protection and its everyday artifacts reflect this. Questions relate to the company‘s cultural artifacts and values.

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Learning Goals 16.1 What is organizational culture, and what are its components?

Topic: Culture strength; Cultural values; Espoused values; Organizational climate; Organizational culture; Values Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Make a list of typical organizational values and assign one to each student or to each student group. Some organizational values include: work-family balance, continual learning, global expansion, community involvement, diversity, exceptional service, and cutting-edge technology.

Then ask students to create a list of cultural components that an organization could use to support these values, including artifacts, symbols, physical structures, language, stories, rituals, and ceremonies.

B. General Culture Types 1. Fragmented – low sociability, low solidarity 2. Mercenary – low sociability, high solidarity 3. Communal – high sociability, low solidarity 4. Networked – high sociability, high solidarity Connect Exercise: A Typology of Organizational Culture Click and Drag*. The student is asked to read facts about four organizations (Warby Parker, General Motors, Enron and the U.S. Government) and classify them according to their level of sociability and solidarity. Students match the company to one of the four types: fragmented, mercenary, communal, or networked. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 16.2 What general and specific types can be used to describe an organization‘s culture?

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Topic: Culture values; Culture strength; Networked culture; Organizational culture; Social norms; Values Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Ask students to research real organizations for each of the culture types – networked, fragmented, communal and mercenary. They should give a justification for each.

Connect Exercise: Culture Preference Self-Assessment. Students are classified according to their preference for different culture types – networked, mercenary, and communal. The assessment measures preferred degrees of sociability and solidarity.

Learning Goals 16.2 What general and specific types can be used to describe an organization‘s culture?

16.4 How do organizations maintain their culture and how do they change it?

Topic: Organizational culture Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Put students into groups for an in-class activity based on which type of culture they preferred in the self-assessment – networked, mercenary, or communal. You may have group sizes that differ significantly, but this makes the activity even more interesting in discussing why. Have each group state why they are attracted to that culture and how it fits their career goals best.

C. Specific Culture Types 1. Customer Service Culture – focused on service quality 2. Safety Culture – a culture where safe behaviors at work are expected and valued

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3. Diversity Culture – a culture that values diversity of all types 4. Creativity Culture – a company focused on fostering innovation OB Assessments: Creativity Culture. This assessment determines whether or not students have held a job at an organization with a creativity culture.

Ask students to fill out the assessment relative to their current job, or the last job they held. Then focus discussion on whether the students viewed themselves as a good ―fit‖ for their particular culture. For example, if the students are low in openness to experience (see Chapter 9 on personality and cultural values), did they feel like a good fit in a culture that emphasized high innovation and low formalization?

Please see the Instructor PowerPoints for Bonus Assessments on Change Cynicism and Person-Organization Fit. Please see the Connect assignments for this chapter for assessments on Culture Preference and Culture Strength.

Please email me at colq@uga.edu if you have any questions about using these assessments in your teaching.

D. Culture Strength 1. A high level of culture strength exists when employees definitively agree about the way things are supposed to happen within the organization (high consensus) and when their subsequent behaviors are consistent with those expectations (high intensity).

OB at the Bookstore: The Culture Code. The author of the book takes a look at a number of highly successful groups and organizations and tries to distill what differentiates them from other groups. He settles on the fact that all of the groups have similarities in their organizational culture. Have students discuss some highly successful teams/companies that have a strong culture, then have them discuss some strong cultures that weren‘t quite so successful. Note with them that not all strong cultures get ―good‖ or ―successful‖ outcomes. That being said, try to get them to identify a team/organization with a weak culture that was highly successful. That‘s a bit more difficult! Forming a strong culture is important. Have students think about the groups they have been a part of that were highly successful and what made them that way. Tie their discussion back to Coyle‘s beliefs.

Strong ―successful‖ cultures 1) have members that believe they are ―safe‖ to voice their opinion and not be rejected by the group, 2) have members that don‘t have a fear of failure which breeds trust, and 3) share a sense a purpose amongst group members. If there is time, it might be worth having a

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discussion about the fact that an organization can have a strong culture that has a lack of these three things as well!

2. Weak cultures exist when employees disagree about the way things are supposed to be or what is expected of them.

3. Strong cultures are not necessarily the same as ―good‖ cultures; they may not lead to the most positive organizational outcomes.

4. Subcultures unite smaller subsets of an organization‘s employees. a. Subcultures can turn into countercultures when their values don‘t match those of the larger organization.

Try This! This is a great time to ask students about organizations they perceive as having strong cultures. Have they ever worked for an organization with a strong culture? What did it feel like? What were the expectations placed on them? Was it a positive or negative experience?

Try to draw out varying experiences students have had in the places they have worked. Explore whether ―everyone‖ thought it was a bad place to work or whether it was just them as an individual who didn‘t fit.

Connect Exercise: General Electric and Enron Case Analysis. This case presents General Electric and Enron as having similar cultures in the 1990s and then vastly different cultures that emerged prior to the Enron scandal.

Each had strong cultures, but different underlying values. Questions relate to culture strength.

Learning Goals 16.3 What is a strong culture, and is it always good for an organization to have a strong culture?

Topic: Countercultures; Culture strength; Cultural values; Espoused values; Organizational culture; Subcultures; Values Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: Ask students about Enron‘s increasing reliance on quantitative goals. How does this encourage unethical behaviors? After discussion, tell them that the sole focus on numbers leads employees to ‗do anything‘ to accomplish them, especially when the rewards are lucrative and the punishment is severe (like losing your job).

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Connect Exercise: Culture Strength Self-Assessment. Students classify their universities as having a strong or weak culture. Students in the same university may classify the culture differently. In a strong culture, students see manifestations of the culture reinforced in symbols, physical structures, language, stories, rituals, and ceremonies. In a weak culture, these are less present.

Learning Goals 16.3 What is a strong culture, and is it always good for an organization to have a strong culture?

Topic: Culture strength Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking Follow-Up Activity: Ask students to list the specific cultural manifestations at your university. Discuss why students in the same class may have different self-assessment results. What contingencies caused this difference? Answers may include commuters versus on-campus students, involvement in activities, or student work schedules.

Connect Exercise: Culture Preference Self-Assessment. Students are classified according to their preference for different culture types – networked, mercenary, and communal. The assessment measures preferred degrees of sociability and solidarity.

Learning Goals 16.2 What general and specific types can be used to describe an organization‘s culture?

16.4 How do organizations maintain their culture and how do they change it?

Topic: Organizational climate Difficulty Level: 1 = Easy Blooms: Apply AACSB: Reflective Thinking

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Follow-Up Activity: Put students into groups for an in-class activity based on which type of culture they preferred in the self-assessment – networked, mercenary, or communal. You may find a bulk of students in the communal culture, but this makes appreciating the three cultures even more beneficial.

Have each group report to the others why they are attracted to that culture and how it fits their job type and career goals best.

E. Maintaining an Organizational Culture 1. Attraction-Selection-Attrition (ASA) framework holds that companies maintain their organizational cultures by: a. attracting people whose personalities fit the culture b. selecting candidates based on whether or not their personalities match the culture c. letting people go whose personalities don‘t fit the culture OB on Screen: The Circle. The clip referenced in the book begins around the 28:45 mark of the film, continuing until about the 38:30. The clip depicts Mae Holland (Emma Watson), one week after being hired by The Circle (think Google and Apple had a baby—that‘s The Circle). Two employees approach Mae to talk to her about being more ―participative‖ with The Circle and her colleagues outside of work. They walk her through how to get more engaged through online posting and other processes. Mae is a bit startled by this, including the fact that they actually know quite about her (and the fact that her father has MS). The employees push her to recognize that life at The Circle is about more than just her task performance and how it involves so much more.

The clip goes on to show how The Circle starts tracking Mae‘s health and other personal information every second of the day and even goes so far as to put her parents on The Circle health insurance plan. Conversations around this clip can go in multiple directions. The first, most logical direction is to talk about Mae‘s socialization. How is the Circle getting Mae to adopt its goals and values? The second would be to encourage students to think about how a company can create a culture that builds all three forms of organizational commitment in its employees. How is The Circle building affective, continuance, and normative commitment through its culture as Mae becomes socialized? Please email me at jason.colquitt@gmail.com if you have any questions about using OB on Screen in your teaching.

Bonus OB on Screen (from 5th edition): Price Check. The clip referenced in the book begins around the 5:15 mark of the film, continuing until about the 6:43 mark. (Note the use of the use of a profane word at the immediate beginning of the transition to this scene and avoid it by starting the clip immediately after the two men have their discussion at the table.) The clip 2-371 Copyright © 2021 McGraw-Hill. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill.

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depicts a newly promoted manager in Susan Felders (Parker Posey) meeting all of her subordinates for the first time in a conference room where she takes the floor. The talk she gives to the group leaves much to be desired on every level. Most students will find her talk to be awkward and will laugh at times.

Encourage them to think about how difficult that first moment is for a newly promoted manager (especially one from the outside). Would they want to meet all of their new employees in a format like this? To some degree a meeting like this is probably expected so is there another way to do it? Ask them how big an effect they think a first meeting like this will have on the ongoing culture of the group. How would they picture the culture being on a go-forward basis? Make them be specific. Ask students to picture themselves sitting around that conference table during that meeting. What would the manager have to do to overcome it now? It‘s also worth discussing how a manager/leader creates a subculture within the larger firm. Even though the larger organization might have a very different culture, can that culture outweigh a strong culture created within a group by a manager? When might that happen?

Bonus OB on Screen (from 2nd and 3rd editions): New in Town. The clip referenced in the book begins around the 18:34 mark of the film, continuing until about the 25:53 mark. The clip depicts corporate office, executive-inwaiting Lucy Hill‘s first day of work at a food processing plant in New Ulm, Minnesota. The scene provides a case study of how different subunits of a large company can have radically different cultures and perspectives.

Students will find the stereotypical depictions of Minnesotans to be funny, but push them to understand the differences in perspective between a manufacturing plant and corporate offices. Neither type of culture is right or wrong, but they can be dramatically different. How might Lucy Hill have been better prepared for this meeting? What could she have done differently? How important is it to fit in with the culture of a group you are trying to influence?

Encourage the students to try to think of times when it might be beneficial NOT to fit in with the culture. Are there advantages to allowing organizational subunits to have a different culture? When might this not be the case?

Bonus OB on Screen (from 1st edition): In Good Company.

The clip referenced in the book begins around the 1:25:02 mark of the film, continuing until about the 1:30:50 mark. The clip depicts the arrival of Teddy K for a speech at his recently acquired company, Sports America magazine.

In the scene it is evident that the surface-level, synergistic culture of Globecom doesn‘t match very well with its newly acquired company (or its new employees). One topic for class discussion is why many mergers fail.

What happens when two distinct cultures come together and are forced to interact? Have any of the students worked for a culture that didn‘t match their own personality? What did that make them feel like each day when they went to work in that environment?

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2. Socialization a. The primary process by which employees learn the social knowledge that enables them to understand and adapt to an organization‘s culture. b. Three Stages of Socialization i.

Anticipatory Stage – begins as soon as a potential employee develops an image of what it must be like to work for an organization

ii. Encounter Stage – begins the day an employee starts work a. Reality shock – when expectations don‘t match reality iii. Understanding and Adaptation Stage – when newcomers change to internalize the norms and expected behaviors of the organization Connect Exercise: Socialization Click and Drag*. Students match employee statements to each stage of socialization – anticipatory, encounter, and understanding/adaptation. *Note: An alternate version of each Click and Drag exercise is available in Connect for students with accessibility needs.

Learning Goals 16.4 How do organizations maintain their culture and how do they change it?

Topic: Organizational culture; Person-environment fit; Person-organization fit; Socialization; Understanding and adaptation Difficulty Level: 3 = Hard Blooms: Analyze AACSB: Analytical Thinking Follow-Up Activity: Ask if students have ever experienced a socialization or orientation program. Weak socialization/orientation may include introductions to coworkers, a new employee manual, or meeting with HR. Stronger socialization/orientation may include training programs, a mentor, or a longterm planned development program. Ask how the program or lack of a program shaped their experiences at the workplace.

F. Changing an Organizational Culture

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1. Two primary ways to change a culture: a. Changes in Leadership b. Mergers and Acquisitions OB Internationally. This box points out the role culture plays in the success or failure of mergers and acquisitions. When companies with two strong cultures merge, they will only be successful if they take steps to handle cultural integration directly.

G. Summary: Why Do Some Organizations Have Different Cultures Than Others?

(Figure 16-6) Connect Exercise: Dentsu Analysis. This case introduces students to Dentsu Japan Inc., an international advertising and public relations company, that is currently experiencing purposeful culture change. The new CEO is encouraging employees to work shorter hours and have outside interests, in contrast to the professional expectations in Japanese companies to work very long hours and weekends.

Learning Goals 16.1 What is organizational culture, and what are its components?

16.4 How do organizations maintain their culture and how do they change it?

16.6 What steps can organizations take to make sure that newcomers will fit with their culture?

Topic: ASA Framework; Espoused values; Organizational culture; Socialization Difficulty Level: 2 = Medium Blooms: Apply AACSB: Knowledge Application Follow-Up Activity: An interesting research assignment is to look at Dentsu Japan‘s website and chronicles of its efforts to change culture. The company has detailed graphs and data about changing the number of work hours, partly due to government fines to the company related to mistreatment of employees in a high-stress work environment. Students can read about the Japanese professional culture of working longer hours than one‘s boss and giving the impression of complete dedication to the company.

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C. Person-organization fit is the degree to which a person‘s personality and values match the culture of an organization (Table 16-3).

D. Employees who have high person-organization fit have more job satisfaction and trust toward their managers, and experience lower stress than people who have low levels of person-organization fit.

E. Person-organization fit is more related to citizenship behaviors than task performance.

XLIX. APPLICATION: MANAGING SOCIALIZATION A. Realistic Job Previews – Companies can give job applicants an accurate picture of what working for an organization is going to be like by providing information on both the positive and negative aspects of the job.

B. Orientation Programs – Companies that have newcomer orientation programs have increased levels of employee satisfaction, commitment, and performance, compared to those who don‘t.

C. Mentoring – A process by which a junior-level employee develops a deep and lasting relationship with a more senior-level employee within the organization.

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DISCUSSION QUESTIONS 16.1

Have you or a family member worked for an organization that you would consider to have a strong culture? If so, what made the culture strong? Did you or they enjoy working there? What do you think led to that conclusion?

Answers will differ from student to student, but in most cases, people leave companies with strong cultures because of poor person-organization fit.

16.2

Is it possible for an employee to have personal values that are inconsistent with the values of the organization? If so, how is this inconsistency likely to affect the employee‘s behavior and attitudes while at work?

If an employee has personal values that are inconsistent with the organization, they may feel dissatisfied, but as the text points out, there may not be any impact on their task performance. In the long run, however, people who have less satisfaction at work are more likely to leave the organization than those who are more satisfied.

16.3

How can two companies with very different cultures that operate in the same industry both be successful? Shouldn‘t one company‘s culture automatically be a better fit for the environment?

Not necessarily. There are multiple ways to service customers and different strategies for making money. Similar to organizational structure (which is a good point of comparison here), there is not a ―one size fits all,‖ best culture.

Companies that learn to take advantage of and use the culture they have created are more likely to be successful.

16.4

When you think of the U.S. Postal Service‘s culture, what kinds of words come to mind? Where do these impressions come from? Do you think your impressions are accurate? What has the potential to make them inaccurate?

When most students think of the U.S. Postal Service, they think of the terms ―going postal‖ or ―snail mail.‖ These terms leave the impression of a lumbering bureaucracy that forces employees into taking desperate action, a perception that is enhanced by media depictions of the USPS. With almost 700,000 employees, the U.S.P.S. is the size of a large city, such as Jacksonville, FL, or Seville, Spain. When you consider that the USPS had six people murdered in 2006, and compare that with the 40 people murdered in Richmond, CA (a city of only 99,000 people), the Post Office fares quite well with regard to safety.

16.5

Think about the last job you started. What are some unique things that companies might do to reduce the amount of reality shock that new employees encounter? Are these methods likely to be expensive?

Student answers to this question will differ, but most techniques designed to reduce reality shock are not expensive. Realistic job previews, for example, 2-376

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simply involve giving the potential employee a little extra information during the interview process.

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CASE: AT&T AND HBO Questions: 16.1

What do you imagine HBO employees were thinking when they heard John Stankey‘s words?

It’s likely that they heard exactly what they had hoped they wouldn’t hear: ―AT&T is going to try to turn us into something that makes us just like everyone else.‖ It’s also likely that they felt underappreciated and that their past hard work was going unnoticed. Stankey’s comments certainly signaled that business was not going to be ―as usual‖ going forward.

16.2

What causes companies like AT&T and HBO to become so different in regard to organizational culture?

The case certainly insinuates that a lot of those differences were due to the forces that shaped the cultures over time. AT&T and HBO are fundamentally two completely different types of companies. Outside regulatory influences, different types of leaders, short vs. long-term strategies, and the types of employees each company has typically hired are all likely to have an effect over time.

16.3

What are the dangers for AT&T (or WarnerMedia) as they continue to attempt to merge HBO into its own culture? Do you think it is possible for HBO to maintain its own identity?

The danger is that HBO’s culture changes in a way that keeps them from being successful in the market in which they compete. In addition, a real fear should be that if the culture changes significantly then all the employees who no longer feel that they have a high degree of person-organization fit decide to leave. Having ―some‖ people choose to leave is not necessarily bad, but if the highly talented employees are the ones that walk out the door, it will create a large problem. It is possible for HBO to remain a ―subculture‖, but it will need to be a purposeful and well thought through strategy on the part of AT&T. For instance, Amazon did this with Zappos when they were purchased – Amazon purposefully left them alone to operate as they had before. The case does not read in a way that makes you feel this will be AT&T’s strategy.

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BONUS CASE (from 6th edition): DELTA/UNITED The airline industry is known for being one of the most demanding and stressful work environments to work for. Employees have to deal with all kinds of potential issues including irate customers and many times they have very little control of the situations they are placed in. Two airline companies, Delta and United, have been in the news largely because of their organizational cultures. Delta has been praised for handling issues while relying on a culture based largely on positive values and empowerment while United has been just the opposite. Each airline has about 85,000 employees and has gone through a major merger within the last decade. During a merger, companies have to decide which of the two company cultures to adopt moving forward (or potentially a mix). Most outsiders say that Delta picked the right culture to maintain (over Northwest‘s) and United picked the wrong one (over Continental‘s).

Based out of Atlanta, Delta‘s culture can be traced all the way back to founder C.E. Woolman who was constantly focused on customer service and asked employees to put themselves in the passenger‘s shoes when making decisions. Delta‘s employees see themselves as part of a ―family‖ and are pushed to think that way starting the day they are hired. Company programs such as active employee involvement groups and ―Velvet 360,‖ which lets around 8,000 frontline employees meet and interact with company executives every year, help to maintain this mindset. Delta CEO Ed Bastian says, ―Keeping a values-based culture vibrant and alive isn‘t easy. It takes a relentless focus and commitment, and it has to be more than just lip service.‖ United, on the other hand, has developed a culture focused more on efficiency and cost-cutting. Taking these values to the extreme has resulted in a workplace where employees are constantly scared to break rules out of fear of being fired and executives are seen as ―elitist.‖ Based in Chicago, United has been rated the lowest on most major performance metrics over the last five years and is responsible for 43 percent of all consumer complaints filed against U.S. airlines. Not only customers feel the cost-cutting though; even United‘s new uniforms were seen as cheap by employees. However, employees are hopeful that new CEO Oscar Munoz can help balance various aspects of their culture although it has been slow-going. A United flight attendant says, ―The airline was just incredibly sick and Oscar Munoz is like a shot of penicillin. It‘s going to get better, but it has to have some time to actually settle in and work.‖ Although all airlines have an incredibly long list of policies and rules they have to follow in order to be consistent and to guarantee passenger safety and security, two examples show that there can be a great deal of latitude in how employees approach unique and novel situations. On April 9, 2017, a video of United Flight 3411‘s passenger Dr. David Dao went viral. The video showed Dr. Dao being forcibly removed from the airplane by Chicago airport officers after he refused to leave his seat after the airline had overbooked the flight and needed to sit some of its own employees on the plane. Dr. Dao ended up with a broken nose and two missing teeth. United ended up with a public relations nightmare, a drop in its stock price, petitions to boycott the airline, and calls for

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the CEO to resign. Dr. Dao settled with the company for damages, but United is still feeling the impact of what many say were culture-based decisions to this day.

According to insiders and ex-employees, United had developed an efficiency culture to where employees were expected to ―follow manuals‖ and were hesitant to do anything that wasn‘t strictly according to written guidelines. On the day in question, once United gate agents had no takers for their offer of $800 and a hotel voucher, the agents (following the rules) used a computer program to identify the passengers of ―least value‖ to the airline. Once Dr. Dao was identified and refused to de-plane, the agents (following the rules) called for airport security. The airline was vilified on social media for not coming up with other options. United CEO Oscar Munoz called the event a ―system failure‖ and that United hadn‘t given employees ―the proper tools, policies, and procedures that allow them to use their common sense.‖ In contrast, six months prior to that United episode, a computer outage caused all of Delta‘s flights to be grounded for an entire day. (Delta was forced to cancel about 1,000 flights on the day of the outage and another 1,000 over the next two days.) Delta employees recall the event being a horrible experience for themselves and all the passengers involved. CEO Ed Bastian credits Delta‘s culture for saving the day. Stories of Delta employees‘ empathy with passengers and consistent showing of positive emotions seemed to go a long way with customers, some of whom even expressed support in various ways to Delta employees during the outage. Although most expected a decline, Delta‘s monthly customer satisfaction scores actually went up following the incident.

Sources: E. Bastian. ―What I‘ve Learned in My First Days as Delta‘s New CEO,‖ linkedin.com, May 26, 2016: https://www .linkedin.com/pulse/what-ive-learned-my-firstdays-deltas-new-ceo-ed-bastian; D. Bennett. ―The United Way,‖ Boomberg Businessweek, January 18, 2016, pp. 50–55; S. Carey. ―Behind United Airlines‘ Fateful Decision to Call Police,‖ The Wall Street Journal, April 16, 2017: https://www.wsj.com/articles/behind-united-airlines-fateful-decision-to-call-police1492384610; A. Hartung. ―Why United Airlines Abuses Customers: The Risks of Operational Excellence,‖ forbes.com, April 10, 2017: https://www.forbes.com/sites/adamhartung/2017/04/10/why-united-airlines-abusescustomers-the-risks-of-operational-excellence/#78b1a38fbb10; J. Ostrower. ―United CEO Oscar Munoz Is Walking a Tightrope to Fix an Airline,‖ cnn.com, April 18, 2017: http://money.cnn.com/2017/04/18/news/companies/united-oscar-munoz-employees/; and J. Roberts. ―Delta,‖ Fortune, March 15, 2017, pp. 106–9.

Questions: 16.1

Why is an organization's culture perhaps the most evident during crisis situations?

Crisis situations (ambiguous and highly time-sensitive) tend to relegate decisions to being made on the basis of values as opposed to a rational decision-making 2-380

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model. Employees and processes either rise to the occasion or fail based on how well those values meet their environmental and crisis-based needs.

16.2

What causes companies like Delta and United to become so different in regard to organizational culture?

In the case of both of these companies, prior (recent) mergers led to some values being upheld and others discarded. Leadership is the other major driver of what a culture becomes.

16.3

What will it take for United to overcome its culture that has been built up over such a long period of time?

Barring another merger (and even if), it will take strong leadership to push for changes that better allow United to fit its environment. Leadership can focus on pushing people toward making decisions using different sets of values by constantly reinforcing good decisions made by employees (stories), talking publicly about how things need to change (espoused values), and establishing new norms (rituals, ceremonies).

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Chapter 2

EXERCISE: UNIVERSITY CULTURE Instructions: Put students into groups and make sure they each have a copy of the exercise and Table 16-3 (the list of values used in Step 2 of the exercise). In Step 1, ask the groups to consider the questions associated with the six cultural artifacts (symbols, physical structures, language, stories, rituals, ceremonies). Some artifacts will be more relevant to the university‘s culture than others—it‘s fine if groups feel like they need to skip some artifacts to devote more attention to others. For example, a given university may not have any physical structures that stand out but may have a wide variety of symbols and language factors that convey the culture. Once the groups have finished discussing the artifacts, have them move on to Step 2 by analyzing Table 16-3. What one value seems to be most intensely transmitted through the cultural artifacts? Have groups present the one value that they came up with, along with the three artifacts that most transmit that value, to the class.

Teaching Tips: Students will likely vary in the degree to which they like the depiction of their university‘s culture in the group presentations. There may be disagreement in the key values of the university, which would be indicative of a weak culture. Even if there is a high level of agreement about the key values, students will vary in their degree of personorganization fit. That is, some students may appreciate the university‘s values whereas others would prefer a different set of priorities. Regardless, the culture of the organization can only be changed by altering the artifacts that transmit the culture.

Symbols can be changed, physical structures can be altered, new ceremonies and rituals can be instituted, and so forth.

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Chapter 2

OMITTED TOPICS The field of organizational behavior is extremely broad and different textbooks focus on different aspects of the field. A brief outline of topics that are not covered in this text, but which the professor might want to include in his or her lecture, is included below. In cases where these topics are covered in other chapters in the book, we note those chapters. In cases where they are omitted entirely, we provide some references for further reading.

International Cultures – This chapter focuses exclusively on organizational culture. Many aspects of international culture can be found in the OB Internationally boxes throughout the textbook and a thorough discussion of cultural values (Hofstede‘s in particular) can be found in Chapter 9, Personality and Cultural Values.

Culture of Ethics – Many organizations are trying to create cultures where ethics is at the forefront and it tends to be a popular topic for class discussion. Ethics is covered in detail in the textbook in Chapter 7, Trust, Justice, and Ethics.

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