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Effective Management 6th Edition Chapter 2: Organizational Environments and Cultures

Pedagogy Map This chapter begins with the learning outcome summaries and terms covered in the chapter, followed by a set of lesson plans for you to use to deliver the content in Chapter 2.   

Lesson Plan for Lecture (for large sections) Lesson Plan for Group Work (for smaller classes) Assignments with Teaching Tips and Solutions

     •

What Would You Do Case Assignment – Waste Management Management Team Decision – Making a New Culture Practice Being a Manager – Navigating Different Organization Cultures Self-Assessment – Tolerance for Ambiguity Reel to Real Video Assignment – Management Workplace on Camp Bow Wow

Additional Assignments and Activities

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Review Questions Management Decision – No Paved Roads? Develop Your Career Potential – Dealing with the Press Additional Activities

Highlighted Assignments What Would You Do?

Self-Assessment Management Team Decision Reel to Real Video Assignment – Management Workplace

Additional Assignments Management Decision Develop Your Career Potential

Key Points Though Waste Management leads its industry, it faces an uncertain future as consumers and companies are looking to reduce the amount of waste they send to landfills. Students gain insights into their own tolerance for ambiguity (or lack thereof). The team must decide how to create a new organizational culture focused on delivering superior quality service. As Camp Bow Wow grew from a single kennel to a $40 million dollar business, it needed to shift from a family-based culture to a performance-based culture. Key Points Students must decide how to grow a business in a country that has less than ideal infrastructure. Dealing with the press is an important skill for managers to have. Students are confronted with a reporter doing a story on unsanitary conditions in a fast-food restaurant.

Chapter 2: Organizational Environments and Cultures

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Learning Outcomes

2-1

Discuss how changing environments affect organizations.

Environmental change, complexity, and resource scarcity are the basic components of external environments. Environmental change is the rate at which conditions or events that affect a business change. Environmental complexity is the number of external factors in an external environment. Resource scarcity is the scarcity or abundance of resources available in the external environment. The greater the rate of environmental change, environmental complexity, and resource scarcity, the less confident managers are that they can understand, predict, and effectively react to the trends affecting their businesses. According to punctuated equilibrium theory, companies experience periods of stability followed by short periods of dynamic, fundamental change, followed by a return to periods of stability.

2-2

Describe the four components of the general environment.

The general environment consists of events and trends that affect all organizations. Because the economy influences basic business decisions, managers often use economic statistics and business confidence indices to predict future economic activity. Changes in technology, which transforms inputs into outputs, can be a benefit or a threat to a business. Sociocultural trends like changing demographic characteristics affect how companies run their businesses. Similarly, sociocultural changes in behavior, attitudes, and beliefs affect the demand for a business’ products and services. Court decisions and new federal and state laws have imposed much greater political/legal responsibilities on companies. The best way to manage legal responsibilities is to educate managers and employees about laws and regulations and potential lawsuits that could affect a business.

2-3

Explain the five components of the specific environment.

The specific environment is made up of the five components shown here. Companies can monitor customers’ needs by identifying customer problems after they occur or by anticipating problems before they occur. Because they tend to focus on well-known competitors, managers often underestimate their competition or do a poor job of identifying future competitors. Suppliers and buyers are very dependent on each other, and that dependence sometimes leads to opportunistic behavior, where either the supplier or the buyer benefits at the expense of the other. Regulatory agencies affect businesses by creating rules and then enforcing them. Advocacy groups cannot regulate organizations’ practices. Nevertheless, through public communications, media advocacy, and product boycotts, they try to convince companies to change their practices.

2-4

Describe the process that companies use to make sense of their changing environments.

Managers use a three-step process to make sense of external environments: environmental scanning, interpreting information, and acting on it. Managers scan their environments based on their organizational strategies, their need for up-to-date information, and their need to reduce uncertainty. When managers identify environmental events as threats, they take steps to protect the company from harm. When managers identify environmental events as opportunities, they formulate alternatives for taking advantage of them to improve company performance.

2-5

Explain how organizational cultures are created and how they can help companies be successful.

Organizational culture is the set of key values, beliefs, and attitudes shared by organizational members. Organizational cultures are often created by company founders and then sustained through the telling of Chapter 2: Organizational Environments and Cultures

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams organizational stories and the celebration of organizational heroes. Adaptable cultures that promote employee involvement, make clear the organization’s strategic purpose and direction, and actively define and teach organizational values and beliefs can help companies achieve higher sales growth, return on assets, profits, quality, and employee satisfaction. Organizational cultures exist on three levels: the surface level, where cultural artifacts and behaviors can be observed; just below the surface, where values and beliefs are expressed; and deep below the surface, where unconsciously held assumptions and beliefs exist. Managers can begin to change company cultures by focusing on the top two levels and by using behavioral substitution and behavioral addition, changing visible artifacts, and selecting job applicants with values and beliefs consistent with the desired company culture.

Terms advocacy groups behavioral addition behavioral substitution business confidence indices buyer dependence company mission competitive analysis competitors complex environment consistent organizational culture dynamic environment environmental change environmental complexity environmental scanning external environments general environment industry regulation internal environment

media advocacy opportunistic behavior organizational culture organizational heroes organizational stories product boycott public communications punctuated equilibrium theory relationship behavior resource scarcity simple environment specific environment stable environment supplier dependence suppliers technology uncertainty visible artifact

Lesson Plan for Lecture Pre-Class Prep for You  Review chapter and determine what points to cover.  Bring PPT slides. Warm Up

Pre-Class Prep for Your Students  Read chapter 2, bring book.

Begin chapter 2 by asking students: “How would you describe the business environment?” (If you have a blackboard, begin to write their ideas on it so that a composite picture can be derived.) Depending on their responses, you may need to rephrase the question into something along these lines: “What does a manager need to think about when doing business?” or “What forces determine how a company conducts its business?”

Chapter 2: Organizational Environments and Cultures

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams Content Lecture slides: Make note of where you stop so you can pick up at the next class Delivery meeting. Slides have teaching notes on them to help you as you lecture. Topics 2-1 Changing Environments 2-1a Environmental Change 2-1b Environmental Complexity 2-1c Resource Scarcity 2-1d Uncertainty

PowerPoint Slides 1: Organizational Environ. & Cultures 2: What Would You Do? 3: Changing Environments 4: Environmental Change 5: Punctuated Equilibrium Theory 6: Punctuated Equilibrium: U.S. Airline Industry 7: Environmental Complexity 8: Resource Scarcity 9: Uncertainty 10: Environmental Change, Environmental Complexity, and Resource Scarcity 11: General and Specific Environment

2.2 General Environment 2-2a Economy 2-2b Technological Component 2-2c Sociocultural Component 2-2d Political/Legal Component

12: General Environment 13: Economy 14: Technological Component 15: Sociocultural Component 16: Political/Legal Component

2.3 Specific Environment 2-3a Customer Component 2-3b Competitor Component 2-3c Supplier Component 2-3d Industry Regulation Component 2-3e Advocacy Groups

17: Specific Environment 18: Customer Component 19: Competitor Component 20: Competitor Component: Mistakes Managers Make 21: Supplier Component 22: Supplier Component 23: Industry Regulation Component 24: Advocacy Groups 25: Advocacy Techniques

Chapter 2: Organizational Environments and Cultures

Activities

Have students discuss how each component of the specific environment might affect Wendy’s. Then select companies in different industries and have students repeat the exercise. This will give them an idea of the variability of specific environments.

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams 2.4 Making Sense of 26: Making Sense of Explain the three-step Changing Changing Environments process of “making sense of Environments 27: Environmental changing environments.” 2-4a Environmental Scanning Scanning 28: Interpreting 2-4b Interpreting Environmental Factors Environmental Factors 2-4c Acting on Threats and Opportunities 2-5 Organizational Cultures: Creation, Success, and Change 2-5a Creation and Maintenance of Organizational Cultures 2-5b Success and Organizational Cultures 2-5c Changing Organizational Cultures

29: Organizational Cultures 30: Internal Environments 31: Organizational Cultures 32: Creation and Maintenance of Organizational Cultures 33: Successful Organizational Cultures 34: Three Levels of Organizational Culture 35: Changing Organizational Cultures 36: Changing Organizational Cultures

Define organizational cultures.

Reel to Real Videos

37: Camp Bow Wow

Launch video in slide 37. Questions on slide can guide discussion.

Ask students to describe the culture of the places where they work (or have worked).

Adjust lecture to include the activities in the right column. *Some activities should be done before introducing the concept, some after. Conclusion and Preview

Assignments: 1. Tell students to be ready at the next class to answer questions regarding the Management Team Decision “Making a New Culture.” 2. If you have finished covering Chapter 2, assign students to review Chapter 2 and read the next chapter on your syllabus. Remind students about any upcoming events.

Chapter 2: Organizational Environments and Cultures

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams Lesson Plan for Group Work

Pre-Class Prep for You  Review material to cover and modify the lesson plan to meet your needs.  Set up the classroom so that small groups of 4-5 students can sit together.

Pre-Class Prep for Your Students  Read chapter, bring book.

Warm Up

Begin Chapter 2 by asking students to describe the business environment. If you have a blackboard, begin to write their ideas on it so that a composite picture can be derived. Depending on their responses, you may need to rephrase the question into something along these lines: “What does a manager need to think about when doing business?” or “What forces determine how a company conducts its business?”

Content Delivery

Lecture on Changing Environments (Section 2-1) Break for group activity: “Changing Environments” Divide the class into small groups of 4 to 5 students. Have each group propose one to two industries that operate in each of the following environments: stable, dynamic, simple, and complex. Students will need to justify their choices. Have groups share their ideas with the whole class. Keep in mind that students may be way off base. The important thing is to push them to think about what makes an environment stable, dynamic, simple, or complex. They will probably be able to identify numerous examples of “dynamic” but may struggle with the others. Before lecturing on the next section, refer to the composite of the business environment that students built at the beginning of the class session. Use it to segue into your lecture on General Environment and Specific Environment (Sections 2-2 and 2-3). Ask students, “How can managers manage in the face of ever-changing external environments?” Lecture on Making Sense of Changing Environments (Section 2-4). Break for the following activity: “Crisis Management” Divide the class into even-numbered groups of students. Further divide each group evenly in to two subgroups: managers and reporters. Give students at most 3 minutes to review the Develop Your Career Potential exercise on “Dealing with the Press.” When the 3 minutes is up, have the reporters begin quizzing the mangers using the questions in the exercise. When the exercise is over, ask students if they can think of some general guidelines to follow when dealing with the press. Further teaching notes for this exercise are below. Segue into presenting the content on Internal Environments (Section 2-5).

Chapter 2: Organizational Environments and Cultures

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams Conclusion Assignments: and Have students work as individuals or as groups to complete the Management Team Preview Decision “Making a New Culture” about how companies can go about changing their organizational culture. You can also ask students to identify ways that the external environment will potentially affect the culture of the company in the case, MicroTek. If you have finished covering Chapter 2, assign students to review Chapter 2 and read the next chapter on your syllabus. Remind students about any upcoming events.

Assignment Teaching Tips and Solutions Case Assignment - What Would You Do? What Really Happened? Solution WASTE MANAGEMENT In the case, you learned that Waste Management is the largest waste handling company in the world, with 20 million customers and 273 municipal landfills. But even as it dominates its industry, Waste Management faces serious changes in its environment. Both corporations and consumers are reducing the amount of waste they generate and increasing the amount of goods they recycle. These trends challenge Waste Management, since the high cost of collecting and sorting recyclable materials means that Waste Management loses money when it recycles them. What can the company do to meet increased customer expectations on one hand, while still finding a way to earn a profit on high cost recycled materials? Like at Subaru and Wal-Mart, corporate leaders worldwide are committed to reducing the waste produced by their companies. Since that represents a direct threat to Waste Management’s landfill business, what steps could it take to take advantage of the trend toward zero waste that might allow it to continue growing company revenues? External environments are the forces and events outside a company that have the potential to influence or affect it. Organizations are influenced by two kinds of external environments: the general environment, which consists of economic, technological, sociocultural, and political/legal events and trends, and the specific environment, which consists of customers, competitors, suppliers, industry regulators, and advocacy groups. The sociocultural component of the general environment refers to the demographic characteristics, general behavior, attitudes, and beliefs of people in a particular society. Sociocultural changes and trends influence organizations in two important ways. First, changes in demographic characteristics, such as the number of people with particular skills or the growth/decline in particular population segments (marital status, age, gender, ethnicity), affect how companies staff their businesses. Second, sociocultural changes in behavior, attitudes, and beliefs also affect the demand for a business’s products and services.  With  Subaru and Wal­Mart striving to become “zero­waste” or “zero landfill” companies, it’s clear that  corporate attitudes have mirrored society’s and swung dramatically toward “going green.”  In so doing,  that changes represents a direct threat to Waste Management’s landfill business. The question, of course, is what can it do to take advantage of the trend toward zero waste that might allow it to continue growing company revenues? The first step, of course, is to recognize the trend and the impact it can or will have on your business. David Steiner, Waste Management’s CEO, certainly seems to understand that societal and corporate attitudes have changed. Says Steiner, “Picking up and disposing of people's waste is not going to be the way this company survives long term. Our opportunities all arise from the sustainability movement.” He Chapter 2: Organizational Environments and Cultures

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams goes on to say, however, that “This is not David Steiner on some quest to save the planet. I don't get paid to do that. I get paid to generate shareholder value.” And, how much value is there in the sustainability side of waste handling? Steiner estimates that, not counting collection or handling fees, there is $8 billion to $10 billion of materials in the waste that it puts in its landfills each year. And, how can Waste Management make sure that billions of dollars of recyclable materials don’t end up as worthless landfill? By investing in materials recovery facilities that capture valuable materials or energy in cost efficient ways. In the end, says Steiner, “If we're a landfill company, we're not in a growth market.” The high cost of collecting and sorting recyclable materials means that Waste Management loses money when it recycles them. What can the company do to meet increased customer expectations on one hand, while still finding a way to earn a profit on high cost recycled materials? Managers use a three-step process to make sense of external environments: environmental scanning, interpreting information, and acting on threats and opportunities. Managers scan their environments based on their organizational strategies, their need for up-to-date information, and their need to reduce uncertainty. When managers identify environmental events as threats, they take steps to protect the company from harm. When managers identify environmental events as opportunities, they formulate alternatives for taking advantage of them to improve company performance. Using cognitive maps can help managers visually summarize the relationships between environmental factors and the actions they might take to deal with them. Traditionally, recycling has been a breakeven or low profit business. The challenge for Waste Management and CEO David Steiner is to focus on sustainability services and be highly profitable. The question, of course, is how. The answer, he believes, is technology. Says Steiner, “We don’t want to play just in the picking up and delivering. We want to own conversion, too. We want to own the technology.” Consequently, Waste Management has gone on an acquisition spree, purchasing companies with the technologies it believes can make it highly profitable in recycling. For instance, it bought Garick, a Texas-based company that can turn a ton of food waste, which traditionally had no value, into $40 of $50 of compost and mulch. It also invested in Harvest Power, a Massachusetts-based firm that turns waste into high-quality compost which can then be burned to generate electricity at a payoff of $60 to $80 per ton. Waste Management also bought Glacier Recycle, based in Washington state, which recycles construction materials in to recycled wood products and biomass fuel. Finally, Waste Management has invested in Terrabon, another Texas-based firm that makes so-called “green gasoline” from waste paper and chicken manure. Finally, advocacy groups, such as the Sierra Club, regularly protest Waste Management’s landfill practices, deeming them irresponsible and harmful to the environment. Should Waste Management take on its critics and fight back, or should it focus on its business and let the results speak for themselves? Should it view environmental advocates as a threat or an opportunity for the company? Advocacy groups are groups of concerned citizens who band together to try to influence the business practices of specific industries, businesses, and professions. The members of a group generally share the same point of view on a particular issue. For example, environmental advocacy groups might try to get manufacturers to reduce smokestack pollution emissions. Unlike the industry regulation component of the specific environment, advocacy groups cannot force organizations to change their practices. Nevertheless, they can use a number of techniques to try to influence companies, including public communications, media advocacy, web pages, blogs, and product boycotts. The most common technique for responding to the criticisms of advocacy groups is to assertively and quickly counter their claims with factual evidence that demonstrates that your company is not acting unethically, as claimed by the advocacy groups. Often times, that just leads to further, more intense accusations. Waste Management, however, has taken the unique strategy of working directly with advocacy groups to address criticisms of how it does business. One of the largest criticisms of Waste Management is that its 273 landfills represent tens of thousands of acres of contaminated waste land. Chapter 2: Organizational Environments and Cultures

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams To address that criticism, it began working with the Wildlife Habitat Council (WHC), a nonprofit organization, which works with “with corporations and other landowners to create tailored voluntary wildlife habitat enhancement and conservation education programs on corporate facilities and in the communities where they operate.” The WHC works with corporations to independently certify that their recovered lands are now suitable and sustainable for wildlife. And, to achieve the WHC’s certification with waste-filled landfills is no small task. But, in 2007, CEO Steiner announced that Waste Management’s goal was to achieve the WHC’s certification at 100 sites amounting to over 25,000 acres by 2020. Debbie Figueras-Cano, who runs the Wildlife Habitat Council program at Waste Management, said, “I honestly thought at that point in time that getting to 100 of them would be a challenge, just because it's not a simple thing to do to get WHC certified. There's a lot of work that goes into getting these certifications.” Furthermore, the WHC had only certified 19 sites in the previous 7 years. Furthermore, said Scott Kilkenny, chairman of the WHC, “No single company has ever received 30 certifications in one year, and no other company has more than 100 certified programs.” Nonetheless, today, just three years after setting its goal, Waste Management has 100 WHC sites protecting more than 25,000 acres. And, of those 100 sites, 97 are former landfills. Waste Management’s Kirby Canyon site, for example, has 600 acres for wildlife use that includes grasslands where two threatened species, the bay checkerspot butterfly and the California red-legged frog, are now thriving.

Management Team Decision MAKING A NEW CULTURE Purpose The purpose of this exercise is for students to consider what is involved in changing an organization’s culture from one that was focused on maximizing revenues to one that is focused on delivering excellent customer service. Setting It Up Ask students to form groups of three or four members. As a preliminary exercise, you can ask them to think about how they would train people to be nice to someone else. Would they only try to hire nice people? Would they try have people go through simulated exercises? How would they deal with a trainee who was shy, or difficult, or emotionally unstable? After they’ve considered these questions, have them read through the case and discuss the questions that follow. Each group should then be prepared to present their responses to the rest of the class. Questions 1. What kind of training and evaluation program would you institute to change Home Depot’s culture? As discussed in the chapter, there are a number of ways that organizations can change their culture. While student responses will vary on the level of detail, they should include awareness of the various ways of bringing about organizational change. Organizational members can tell organizational stories to make sense of organizational events and changes and to emphasize culturally consistent assumptions, decisions, and actions. Another method for change is to highlight organizational heroes, people admired for their qualities and achievements within the organization. Another way of changing a corporate culture is to use behavioral addition or behavioral substitution to establish new patterns of behavior among managers and employees. Behavioral addition is the process of having managers and employees perform a new behavior, while behavioral substitution is having managers and employees perform a new behavior in place of another behavior. The key in both instances is to choose behaviors that are central to and symbolic of the old culture you’re changing and the new culture that you want to create Another way in which managers can begin to change corporate culture is to change the visible artifacts of their old culture, such as the office design and layout, company dress code, and recipients (or nonrecipients) of company benefits and perks like stock options, personal parking spaces, or the private company dining room. Cultures can also be changed by hiring and selecting people with values and beliefs consistent with the company’s desired culture. Selection is the process Chapter 2: Organizational Environments and Cultures

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams of gathering information about job applicants to decide who should be offered a job. The second step is to ensure that applicants fit with the culture by using selection tests, instruments, and exercises to measure these values and beliefs in job applicants. 2. Recall from the text that there are three levels of organizational culture. What kinds of changes would you make to address each level? Student responses will vary in terms of specific details, but they should include the recognition that there are three levels of organizational culture, and that the three levels are manifest in different ways. On the first, or surface, level are the reflections of an organization’s culture that can be seen and observed, such as symbolic artifacts (such as dress codes and office layouts) and workers’ and managers’ behaviors. Next, just below the surface, are the values and beliefs expressed by people in the company. You can’t see these values and beliefs, but they become clear if you carefully listen to what people say and observe how decisions are made or explained. Finally, unconsciously held assumptions and beliefs about the company are buried deep below the surface. These are the unwritten views and rules that are so strongly held and so widely shared that they are rarely discussed or even thought about unless someone attempts to change them or unknowingly violates them. Changing such assumptions and beliefs can be very difficult. Instead, managers should focus on the parts of the organizational culture they can control. These include observable surface-level items, such as workers’ behaviors and symbolic artifacts, and expressed values and beliefs, which can be influenced through employee 3. How could an analysis of the company’s external environment help in establishing a new customerbased culture? The manage team in this case should consider two elements of the company’s environment, the customer component and the competitor component. The company can analyze the customer component either through reactive customer monitoring, which involves identifying and addressing customer needs after issues come up, or proactive customer monitoring, which involves identifying and addressing customer needs before issues come up. In either case, understanding the customer component allows the company to gain a better understanding of what customers want, what they expect from their shopping experience, what kind of actions allows employees to connect to customers, and how to keep customers satisfied. A competitive analysis, meanwhile, helps companies understand the competitor component by identifying your competitors, anticipating competitors’ moves, and determining competitors’ strengths and weaknesses. In doing so, managers can understand what the competition is doing to deliver a more satisfying shopping experience, how they are doing it, and how it is affecting the company’ efficiency and effectiveness. This could then provide managers at Home Depot with a model of training and service that they can either follow or improve upon.

Practice Being a Manager NAVIGATING DIFFERENT ORGANIZATIONAL CULTURES Exercise Overview and Objective This exercise gives students some practice in recognizing cultural differences through a familiar lens, that of musical genres. Your class has been chosen as a representative college class, and executives at music company SonyBMG are interested in hiring students as interns who work with the company to identify and invest in the most promising up-and-coming talent in various genres. These interns will serve on the “Top Wave Team (TWT).” In this exercise students will be grouped by their primary musical affinity. The objective of the exercise is for students to explore the cultures that surround their particular genre and to consider the opportunities and challenges of managing across cultural differences. Preparation Chapter 2: Organizational Environments and Cultures

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams You should survey your class at least two sessions prior to the session in which you plan to conduct the exercise. You may use the form below for this survey (see Step 1): --------------------------------------------------------------------------------------------------Musical Preferences Survey Your Name: _________________________________ Class/Time: _________________________________ Identify yourself with one of the following musical genres based on: a) preference/affinity (i.e., “This is my favorite type of music”); and b) knowledge/understanding (i.e., “of all types of music, I know the most about this type of music”): ___ ___ ___ ___

a) Rock b) Country c) Religious/Spiritual d) Urban/Hip-Hop

___ e) Rap ___ f) Jazz/R&B ___ g) Pop/Mainstream ___ h) Classical

Other: __________________ (please identify) --------------------------------------------------------------------------------------------------Examine the results of the survey, sorting student responses by genre. The exercise will work best if you have at least three (3) or four (4) groups with significant representation. If your students are heavily represented in only one or two genres, it will be best to conduct a follow-up survey by “sub-genres” (i.e., sub categories of preference within Urban/Hip-Hop). To develop a sub-genre survey form, enlist a few student volunteers who seem particularly interested in and savvy about music. An alternative approach to a follow up survey is to simply ask the largest group(s) to sort themselves into sub-categories prior to running the exercise. Although the aim is to sort into three or four major groups, avoid forcing this result. The key in this exercise is to take advantage of naturally occurring musical cultures/sub-cultures. In-Class Use Encourage students to tackle the exercise as representatives of their favorite musical genre. They are the ones who must argue for the future of the genre. This is also a rare opportunity to speak directly to the movers and shakers in a major music company. The exercise will be more productive and more fun to the extent that students take up the cause for their musical tribe. Debrief by discussing these questions, which also appear in Step 6:   

Did you sense some cultural affinity with others who shared your musical tastes? Why, or why not? What expectations might be associated with choosing someone to represent a group on a team such as the TWT? What tensions and challenges might face each member of the TWO in a real-life setting of serving on a group that represents various cultures?

You might close the debriefing session with a summation discussion of the opportunities and challenges posed by working across cultural differences. Recognize that students in your class may vary in their commitments to a particular musical culture from “passionate groupie” to “casual listener.” But within each of us we find some aspects of our identity that are rooted in cultures and sub-cultures. Drawing upon this diversity, while at the same time coordinating effectively across differences, is a major management challenge. Chapter 2: Organizational Environments and Cultures

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Self-Assessment CHECK YOUR TOLERANCE FOR AMBIGUITY This assessment is meant to establish your students’ tolerance for ambiguity. Even though many strategists liken business to chess, in that game, both players can see all the pieces and anticipate an opponent’s moves. In reality, business is more like poker, where no player really knows what cards the other players are holding; they can only assume and make decisions based on internal information and assumptions or interpretations about their opponents’ behavior.

In-Class Use Give students 5 to 7 minutes to complete the inventory. Use the Self-Assessment PowerPoint slides and have students raise their hands as you read off the scoring ranges. Tell students to keep their hand up until you have counted the responses for each item and entered the count into the spreadsheet embedded in the PowerPoint presentation. Display the distribution to the class so students can see where they fit. Remind your students that the business environment is complex and uncertain, and managers must learn to adapt to environmental shifts and new developments – sometimes on a daily basis. For some managers, however, this can be a challenging task because everyone’s comfort level is different when it comes to ambiguity. For some, not knowing all the details can be a source of significant stress, whereas for others uncertainty is not a source of anxiety. As a manager, your students will need to develop an appropriate tolerance for ambiguity. For example, being stressed out every time interest rates change can be counterproductive, but completely ignoring the economic environment can be detrimental to a company’s performance. Scoring Scoring instructions are included in the Self-Assessment at the end of the chapter. But students will want to know what their raw score means. Here’s what you can tell them: There are three ways to understand your tolerance of ambiguity. First, think of ambiguity as novelty, or the extent to which you are tolerant of new, unfamiliar information or situations. You can also think of your response to ambiguity as a function of complexity, or the extent to which you are tolerant of multiple, distinctive, or unrelated information. Lastly, ambiguity can be thought of as insolubility, or the extent to which you are tolerant of problems that are difficult to solve because alternative solutions are not evident. Scores range from 16 to 112, and a score from 40 to 48 is average. Higher scores indicate a higher tolerance for ambiguity; lower scores indicate a low tolerance for ambiguity, or the desire to have everything clearly, simply, and easily mapped out. If your score is low, it does not necessarily mean that you will have an unsuccessful management career. Examine your results more closely. Was your score driven lower by certain questions? Which ones? What do those particular questions reveal about your tolerance for ambiguity? Are you more daunted by difficult tasks, or by forging new territory? Conversely, an extraordinarily high tolerance for ambiguity can also be detrimental to a manager because it may indicate an overdeveloped propensity toward risk.

Reel to Real – Management Workplace Management Workplace videos can support several in-class uses. In most cases you can build an entire 50-minute class around them. Alternatively, they can provide a springboard into a group lesson plan. The Management Workplace video for Chapter 2 would be a nice companion to your introduction to the course on the first day teaching this chapter.

Chapter 2: Organizational Environments and Cultures

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams VIDEO: CAMP BOW WOW

The Environment and Corporate Culture Summary: In ten years, Camp Bow Wow has grown from a single kennel in Denver, Colorado to a $40 million dollar business, with more than 150 locations. The transition from a small family business to a national chain, however, required a shift from a family-based culture to a business- and performance-based culture. A key element of of Camp Bow Wow’s culture is the staff’s deep emotional connection with animals. The connection is immediately apparent at corporate headquarters, where offices are bustling with employees and pets alike. According to founder Heidi Ganahal, “What we do is focus on what’s important to us, and that’s the animals.” Discussion Questions: 1. What aspects of Camp Bow Wow’s corporate culture reflect the surface level of the organizational culture? What aspects reflect the values and beliefs? What aspects reflect the unconsciously held assumptions and beliefs. Visible aspects of Camp Bow Wow’s culture include the company logo, the presence of dogs in workspaces, the dress code, the camp imagery, and Heidi Ganahl’s life story, which is told and retold during franchisee meetings. Founder Heidi Ganahl says that one of the unique things about working at Camp Bow Wow’s corporate headquarters is that “you get to bring your dog to work with you every day.” Employees keep baby gates at offices to hold dogs, and the company encourages regular dog-walking breaks. According to Heidi Ganahl, having pets at work keeps everyone focused on the company mission and what’s best for the brand. Invisible aspects of Camp Bow Wow’s culture include values such as overcoming adversity to achieve success—a core value communicated through Heidi Ganahl’s life story. Another invisible value embraced at Camp Bow Wow is the idea of providing a humanitarian service to dogs and dog lovers. This invisible value has led to the creation of the Bow Wow Buddies Foundation, a non-profit division of Heidi Ganahl’s company that finds homes for unwanted pets, invests in animal diseaseprevention research, and promotes humane treatment of animals. 2. Why did Camp Bow Wow have to change its culture when it became a national franchise? Camp Bow Wow’s early family-business culture was useful in the startup phase of Camp Bow Wow’s growth. However, Founder Heidi Ganahl says her company required a different culture once it became a national franchise. In particular, Ganahl says the focus had to shift from a family-based culture to a business-and-performance-oriented culture. She states that the big challenge for any franchise is to get hundreds of franchisees on the same page and committed to one vision and one way of achieving goals. Ganahl says this requires a strong culture that “doesn't allow for people to color outside of the lines, yet taps into their creativity and innovation.” 3. What impact does Heidi Ganahl’s personal story have on employees at Camp Bow Wow? The story of Heidi Ganahl is famous at all levels of the Camp Bow Wow organization. Consumers and franchisees who come in contact with Camp Bow Wow learn about the company by hearing the details of her story. Boulder franchisee Sue Ryan says that Ganahl’s story is inspiring to her because it deals with perseverance through tough times. Ryan adds that while business owners don’t experience Ganahl’s specific tragedy, they do understand adversity. Finally, the story offers a personal connection between employees and the founder. According to Ganahl, the takeaway from her story is Chapter 2: Organizational Environments and Cultures

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams that people inevitably face challenges in life and business, but our response to adversity determines whether we will be successful or unsuccessful. Workplace Video Quiz Students are able to take the following video quiz on CourseMate. The video is broken into segments, and each segment has related questions to make sure students understand how the clip connects to the chapter concepts.

Video segment title Start time (in sec) Stop time (in sec) Quiz Question 1

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Video Segment 1 Environment and Culture of Organizations 0:00 1:50 Heidi Ganahl’s personal example of triumph over tragedy can be expected to have a strong influence on Camp Bow Wow’s: a. Organizational control b. Organizational culture c. Organizational diversity d. Organization chart b: Organizational culture Organizational stories like Heidi Ganahl’s help emphasize culturally consistent assumptions, decisions, and actions. Which part of Camp Bow Wow’s organizational environment is likely to be affected and shaped by the inspirational biography of founder Heidi Ganahl? a. General environment b. Specific (task) environment c. Internal environment d. Natural environment c: Internal environment The internal environment consists of the trends and events within an organization that affect the organizational culture. Heidi Ganahl’s account of how she founded Camp Bow Wow through great adversity is best characterized as a: a. Slogan b. Story c. Hero d. Ceremony b: Story Organizational stories like Heidi Ganahl’s help emphasize culturally consistent assumptions, decisions, and actions.

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams

Video segment title Start time (in sec) Stop time (in sec) Quiz Question 1

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Video Segment 2 Environment and Culture of Organizations 1:50 4:03 Logos, shirts, branded signage, and Web sites that help shape people’s perceptions of Camp Bow Wow are known as: a. Ceremonies b. Visible artifacts c. Stories d. Values b: visible artifacts Visible artifacts are visible signs of an organization’s culture. Camp Bow Wow’s organizational culture will strongly promote business success if: a. Franchisees like Sue Ryan are free to establish a culture counter to the one established by Camp Bow Wow corporate headquarters. b. It possesses a caring family-like atmosphere. c. It has a strategic purpose. d. Founder Heidi Ganahl is viewed as a hero. c: It is aligned with the needs and forces of the company’s external environment A key factor in a successful organizational culture is that it has a clear mission. According to CEO Heidi Ganahl, Camp Bow Wow requires a strong and consistent corporate culture to keep all local franchise owners “on the same page” and following a common template for the business and brand. This culture could become detrimental over time because: a. Strong consistent cultures are inflexible and incapable of adapting to environmental change b. Strong consistent cultures are too flexible and capable of adapting to environmental change c. Strong consistent cultures don’t perform well in any environment d. The passing of time provides stability and predictability for businesses a: Strong consistent cultures are inflexible and incapable of adapting to environmental change A strong culture doesn’t guarantee success because it makes change very difficult.

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams

Video segment title Start time (in sec) Stop time (in sec) Quiz Question 1

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Video Segment 3 Environment and Culture of Organizations 4:03 5:13 At Camp Bow Wow, all employees, franchisees, and recruits learn the inspirational story of how Heidi Ganahl founded the doggie day care company. This is important because: a. The story helps convey Camp Bow Wow’s shared values, attitudes, beliefs, and mission b. The story helps individuals relieve stress c. The story reduces absenteeism d. The story reduces uncertainty in the external environment a: The story helps convey Camp Bow Wow’s shared values, attitudes, beliefs, and mission Organizational stories like Heidi Ganahl’s help emphasize culturally consistent assumptions, decisions, and actions. Heidi Ganahl says Camp Bow Wow promotes a scrappy “we-can-conquerall” work attitude that helps individuals overcome challenges. This attitude is especially useful for businesses that exist within: a. A task environment b. A general environment c. Complex environments d. Stable, simple organizational environments c: Complex environments Complex environments have many environmental factors that make many challenges and complications to an organization. According to leaders at Camp Bow Wow, Heidi Ganahl’s life story helps to ________ individuals throughout the organization. a. Promote b. Reward c. Coerce d. Motivate d: Motivate Organizational stories like Heidi Ganahl’s help emphasize culturally consistent assumptions, decisions, and actions.

Additional Assignments and Activities Review Questions 1. Describe the three basic characteristics of changing external environments. The three basic characteristics of changing external environments are environmental change, complexity, and munificence. Chapter 2: Organizational Environments and Cultures

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams  Environmental change is the rate at which a company’s general and specific environments change. If the environment is stable, this means that the rate of change is slow; if the environment is dynamic, this means that the rate of change is fast.  Environmental complexity is the number of external factors in the environment that affect organizations. Complex environments have many environmental factors; simple environments have few.  Resource Scarcity is the degree to which an organization’s external environment has an abundance or scarcity of critical organizational resources. 2. How do the characteristics of changing environments affect uncertainty? Environmental change, environmental complexity, and resource scarcity affect environmental uncertainty, which is how well managers can understand or predict the external changes and trends affecting their businesses. Environmental uncertainty is lowest when environmental change and environmental complexity are at low levels and resource scarcity is small (i.e., resources are plentiful). In these environments, managers feel confident that they can understand, predict, and react to the external forces that affect their businesses. By contrast, environmental uncertainty is highest when environmental change and complexity are extensive and resource scarcity is a problem. In these environments, managers may not be at all confident that they can understand, predict, and handle the external forces affecting their businesses. 3. What is the difference between the general and specific business environments? The general environment includes the economic, technological, sociocultural, and political trends that indirectly affect all organizations. The specific environment includes the customer, competitor, supplier, industry regulation, and public pressure group trends that are unique to an industry and which directly affect how a company does business. All companies participate in the same general environment, but each company’s specific environment is distinct, based on its business and industry. 4. List the components of the general environment. The general environment consists of economic, technological, sociocultural, and political/legal events and trends that affect all organizations. Because the economy influences basic business decisions, managers often use economic statistics and business confidence indices to predict future economic activity. Changes in technology, which is used to transform inputs into outputs, can be a benefit or a threat to a business. Sociocultural trends, like changing demographic characteristics, affect how companies run their businesses. Similarly, sociocultural changes in behavior, attitudes, and beliefs affect the demand for a business’s products and services. Court decisions and new federal and state laws have imposed much greater political/legal responsibilities on companies. 5. How do the elements of the specific business environment affect businesses? Each organization also has a specific environment that is unique to that firm’s industry and directly affects the way it conducts day-to-day business. The specific environment of any company can be divided in to five sectors:  

Customers influence the products and services a company offers, the prices charged for those offerings, the company’s reputation, and the sales generated by business operations. Competitors also influence the products and services a company offers and the prices charged for those offerings. Competitors also influence how a company conducts business in a certain market segment, the company’s location, and the overall strategy a company pursues (attack or avoid competitors). Suppliers influence the cost of the products and services a company offers and therefore affect the profitability of the firm. Suppliers (who they are and what they can provide) also affect the types of products that a company is able to put on the market.

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams  Industry regulation has the potential to influence nearly every aspect of a company’s operations. For example, a caterer would need to comply with all the health codes and liquor laws that govern its industry.  Advocacy groups affect businesses through boycotts (or support). For example, advocacy groups were ultimately responsible for Home Depot changing its policy of buying lumber harvested from old-growth forests. 6. Describe the three-step process that managers use to make sense of their changing environments.   

Environmental scanning: Managers search the environment for important events or issues that might affect an organization. This allows managers to stay up-to-date on important industry factors and to reduce uncertainty. Interpreting environmental factors: Managers determine what these environmental events and issues mean to the organization. These events could present either threats to or opportunities for the organization. Acting on threats and opportunities: Managers can protect themselves against competition or capture strategic opportunities.

7. How are organizational cultures created and maintained? An organizational culture is the set of key values, beliefs, and attitudes shared by organizational members. Founders of organizations are the primary drivers of organizational culture. However, when they are gone, organizational heroes sustain their values, attitudes, and beliefs. Organizational heroes are people admired throughout the organization for their qualities and achievements. Their activities provide the basis for organizational stories, which help employees make sense of organizational events and changes. 8. What are the characteristics of successful organizational cultures? Organizational cultures create a successful internal environment by binding all employees together in a “we’re- in-this-together” attitude. When employee attitudes are congruous with the culture, employees are happy and motivated to work hard for the organization because they believe in what they’re doing. Preliminary research shows that organizational culture is related to organizational success. Cultures based on adaptability, involvement, a clear vision, and consistency can help companies achieve higher sales growth, return on assets, profits, quality, and employee satisfaction. Adaptability is the ability to notice and respond to changes in the organization’s environment. Involvement is the degree to which employees participate in decision making. (Higher involvement leads to a greater sense of ownership and responsibility among employees.) A clear vision provides a direction for organizational activities, and consistency involves actively defining and teaching organizational values, beliefs, and attitudes throughout the company. 9. Identify the three levels of organizational culture and give examples of each. Three levels of organizational culture are: 1) the surface, where reflections of culture can be heard, seen, or otherwise observed (examples of such artifacts include dress codes, office layouts, and specific employee behaviors); 2) just below the surface, where values, beliefs, and attitudes are expressed by people (such values and beliefs can be understood by observing what people say and decision-making processes); and 3) far below the surface, where unconsciously held assumptions and beliefs lie (those are the unwritten views and rules of the organization that constitute its core principles and values). 10. How can managers change organizational cultures? Managers can successfully change the surface levels of culture by motivating different behavior. The underlying elements (far below the surface) are difficult to identify and change. Managers can change culture through behavioral addition or behavioral substitution. In behavioral addition, Chapter 2: Organizational Environments and Cultures

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams employees are motivated to perform a new behavior in addition to already accepted ones. In behavioral substitution, employees perform a new behavior in place of another.

Management Decision NO PAVED ROADS? Purpose Though an organization might have a disciplined strategy, ample resources, and strong management, it may still be ineffective because of external factors that it cannot control. This case assignment gives students an opportunity to consider how changes in the external environment affect an organization, and what steps an organization might take to deal with those changes. Setting It Up You can introduce this case by asking students to identify various governmental policies and actions that a company takes advantage of when doing business. Some examples include (but are certainly not limited to) tax requirements, financial regulations, or import/export guidelines. Scenario “Wow, what a great opportunity!” you thought to yourself after a meeting with your supervisor. After just two short years at your global shipping firm, you’ve been offered a great promotion, a chance to head up your company’s first venture overseas, a sorting and shipping facility in India. You’re thrilled at the chance to learn about a new culture and meet different people, but most of all, by the opportunity to produce stunning results for your company by tapping into a rising technological titan that has some of the best minds in the world. But as you think about how exciting it will be to be the boss in India, you recall the first time you went to visit there and how it seemed utterly impossible to get around conveniently. It was almost like everywhere you went, you had to fight through a mass of cars and people on the pot hole–riddled streets, all fighting for space and maybe a little bit of exhaust-free air. Why, the trip from the airport to your hotel, just barely ten miles, took more than two hours! During monsoon season, all of the potholes would fill with water, making the streets into a small maze of ponds. “How long,” you wonder, “would it take for my employees to get to work every morning? To get our trucks to the facility? How long will my drivers have to sit in traffic? Will they be able to handle next-day shipments?” The Indian government is certainly aware of the problems with the country’s infrastructure. In fact, the government has pledged to spend $500 billion by 2012, and $1 trillion by 2017, to improve the country’s roads, bridges, rails, and airports. But, as you learn from some research, even all that money may not be enough to make a difference, because the real source of India’s infrastructure problems are a lack of civil engineers. Most Indian students opt to study business, computer science, or information technology to take advantage of the growing number of tech firms that are outsourcing to India. Even those trained in civil engineering mostly end up working in tech companies, which pay two or three times more than civil design firms. The realization slowly sinks in that this is the environment that you will be working in—a place full of skilled people but plagued with terrible roads, traffic, and long travel hours. And your initial excitement at the opportunity slowly melds into anxiety. Source: Vikas Bajaj “A High-Tech Titan Plagued by Potholes” New York Times. 25 Aug 2010, accessed September 9, 2010, from www.nytimes.com/2010/08/26/business/global/26engineer.html.

Questions 1. Given the external environmental conditions presented by the state of Indian infrastructure, would you choose to open a new facility there? Why or why not? Students’ responses will vary. Chapter 2: Organizational Environments and Cultures

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams 2. Should your company take action to help improve infrastructure? Or, should it just look for another place to do business? Though students’ responses will vary, their answers should reflect awareness of the fact that every company is affected by elements of the general environment, which include the economy, the technological component, the socio-cultural component, and the political/legal trends. A company that decides that the state of infrastructure in India makes it a bad place for investment will likely face other challenges in other locations. Perhaps another location has unfavorable tax laws, or is hostile foreign investment from the U.S. Or, possibly, another location may have great transportation infrastructure but terrible technological capabilities. For this reason, managers must undergo a careful process of environmental scanning and interpreting environmental factors so that they can have a detailed understanding of what challenges a particular location presents to the organization.

Develop Your Career Potential DEALING WITH THE PRESS Purpose This exercise is designed to introduce students to some basic rules about dealing with the press in a crisis. There are several ways to structure this exercise. One way is to have students prepare written answers to the questions before coming to class. Another is to have students answer the questions during class. If time is a consideration, give students one minute to answer each question. After students have generated their own answers to each question, form groups and have some students be reporters, firing the questions, while others are managers, answering the questions. What I prefer to do is to ask for volunteers who are willing to respond to the questions in front of the class. (But be sure to stress that this is a developmental exercise and that, since few of them have ever had to deal with the press, making mistakes is part of learning.) Setting It Up Begin by rereading the scenario. Then pose the first question and give the student an opportunity to respond. At this point, you could stop to discuss what students liked or disliked about each answer. I prefer to simulate a press environment, by beginning with the initial question as stated in the case and then allowing the rest of the class, who has assumed the reporter role, to ask follow up questions as they think of them in the course of the interview. In my opinion, when reporters fire questions at the manager, and the manager has to respond immediately, the role play is much more realistic. After 3 or 4 minutes, we stop to discuss the manager’s responses: what we liked, didn’t like, and how they could be improved. You may use the scenario below, titled “Rats Take Over Manhattan Taco Bell.” You may wish to do a second scenario in class, allowing the reporters and managers to switch roles and experience the same level of pressure. After role playing both scenarios and discussing, ask the class to generate an explicit list of rules for dealing with the press. After conducting the role plays, students will have a good feel for what works and what doesn’t. Then share this list of do’s and don’ts with your class.

Rats Take Over Manhattan Taco Bell 1. “Yesterday’s filming of rats at an ADF-owned Taco Bell has caused consumers to question the cleanliness of the restaurants where they eat. This restaurant is also owned by ADF Companies. Do you also have problems with rodents?” 

Take the initiative - If you don’t answer reporters’ questions, they’ll find someone who will, someone who is likely to answer from a different perspective. Company spokespersons need to take the initiative to share the company’s perspective on what has occurred.

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams  Make company management visible - As soon as possible, put top company management in front of the press. Because the public will hold top management accountable, it’s best to have top managers responding to reporters’ questions.  Bridging - Bridging is briefly answering a reporter’s questions and then switching to a message that you want to communicate. Politicians do this frequently. Answer a question, then briefly emphasize 3 or 4 points that summarize the company’s message to the public.  Identify and speak to your audience - In this case, there are several audiences: people who watch TV news, people who live near the restaurant, and people who like to eat at Taco Bell (and other fast-food restaurants). Obviously, the latter is the most important to Taco Bell. However, there is probably some overlap with people who live in the neighborhood. When speaking to an audience, it’s important to recognize that what you say is likely to be only a small part of a TV, print, or radio reporter’s story. Accordingly, you can speak more effectively to your audience by using visual or word images instead of facts. Most people don’t have the time or are reluctant to immerse themselves in the details of a story. Facts are easily forgotten. Images are easily remembered. For example, instead of stating that there are no rats at Taco Bell, take the reporters to the dining room and show how clean it is. Ordinary people are more likely to remember that image than a discussion of your cleaning procedure. 2. “Recent outbreaks of E. coli at other Taco Bells in the Northeast were finally attributed to contaminated lettuce, so Taco Bell changed suppliers.” To the cameraman: “Get the camera in close here [camera zooms into the kitchen area, the slop sink, and the handwashing station] because I want our viewers to see the kitchen.” Back to you: “How can consumers be sure that contamination occurred at the produce supplier and not inside filthy restaurants?”  

 

Stick to the facts. Don’t wing it. If you don’t have a cleanliness policy or practice, don’t make one up on the spot. Reporters will smell a rat. If there are sanitation procedures, describe them. But don’t guess the answers to questions. If you don’t know, offer to find out. Reporters don’t give exams. You don’t have to know the answer to each question off the top of your head. When you don’t know, say so. “I don’t know the answer to that question.” When you don’t know, but can find out, say so. But then be sure to deliver the answer in a timely manner. Never say “no comment.” - No comment is perceived as a statement of guilt. It’s better to say, “I don’t know.” Focus on shared objectives - In almost any crisis, emphasize shared objectives. For example, you might say, “At ADF Taco Bells, we try to ensure that all our produce is fresh and moves safely from the farm to our kitchens. We want all of our customers to enjoy a satisfying meal prepared in a sanitary kitchen.” Shared objectives help viewers see the crisis from the organization’s perspective.

3. “The health inspectors gave a passing grade to the rat-infested Taco Bell just a day before television crews filmed the rats running all over the restaurant. That doesn’t instill our viewers with great confidence in the system. Would you be willing to let our camera crews accompany the health inspector during a full inspection of your restaurant so that viewers can see what an inspection entails?” If possible, cooperate with reporters - Reporters work under short deadlines. Reporters need information. Reporters want a good story. And if they don’t get these things from you, they’ll get them from someone else. It’s possible to cultivate a good relationship with the press by helping them do their jobs. What do they need? Print reporters (magazines and newspapers) want facts and details. Radio reporters want sound bites. TV reporters want visuals, a tour, an action shot (video of an ongoing event) and a brief sound bite. But you don’t have to agree to every request. In this case, if you don’t have the authority to grant the request, tell the reporters that you would be glad to ask your supervisor and get back with the reporters within the week. That way, you may be able to help the reporters get the story they really want (how health inspections are conducted) and also give your Chapter 2: Organizational Environments and Cultures

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Full file at http://testbank360.eu/test-bank-effective-management-6th-edition-chuck-williams company time to make a decision. Were you to immediately acquiesce to the reporter’s request, you could end up in trouble with the company, particularly if higher levels of management would have been disinclined to grant the reporter’s wish. Then if you say yes, and upper management reneges for whatever reason, the reporter might then think your restaurant has something to hide.

Additional Activities Out-of-Class Activity: “Environmental Scanning.” Have students research the most recent annual report of a well-known company and list all the factors in the external environment that have affected the company. Students should focus on both the general and specific environments. Inform students that most companies post their annual reports online in the “Investor Relations” section of their Web pages. Require either a few paragraphs explaining what they found or an oral summary a few-sentences long at the beginning of the next class session. Out-of-Class Project: “Organizational Culture.” Divide the class into small groups. Have each group collect stories about the founders of large businesses such as McDonald’s, Starbucks, UPS, Walgreens, or Wrigley’s. Have these groups write a paper or make a presentation focusing on who these founders are, what vision they created, and how they may still influence the current culture of the organization. Alternately, assign this to individual students. Out-of-Class Project: “Competitive Analysis.” Divide the class into groups of 4-5 students. Assign each group to represent one of the following companies: IBM, Coca-Cola, Microsoft, Daimler-Chrysler, Procter & Gamble, Nike, McDonald’s, Wal-Mart, United Airlines, or General Electric. Have each group do a thorough analysis of the company’s top 3 or 4 competitors, including the following: the competitors’ strengths and weaknesses, key financial information (total sales, gross profit, and net income), target markets (both geographic and demographic), and key product lines. In-Class Activity: “Environmental Scanning.” Divide the class into small groups (no more than 2-3 students). Give each group a recent annual report of a well-known company and have them list all the factors in the external environment that have affected the company. Students should focus on both the general and specific environments. (If the classroom has computers, have students download or read the annual reports on-line.) Have groups discuss what they’ve found.

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Test bank effective management 6th edition chuck williams