Organizational Behavior - Exam #1

organazational behavior

an academic discipline focused on understanding and managing people at work

common sense

largely based on experience or logic, both of which have limits

common sense three major weaknesses

1. overreliance on hindsight

2. lack of rigor

3. lack of objectivity

contingency perspective

argues that the best or most effective course of action depends on the situation

three levels at work in OB

1. individual

2. group/team

3. organization

hard skills

the technical expertise and knowledge required to do a particular task or job function

soft skills

relate to human interactions and include both interpersonal skills and personal attributes

four examples of personal attributes

1. attitude

2. personality

3. teamwork

4. leadership

four examples of interpersonal skills

1. active listening

2. positive attitudes

3. effective communication

criteria for hiring

technical skills based on job or function specific knowledge

criteria for promotion

• ability to manage people

• strong team skills

• ability to build and manage relationships

situationists

persons who are high on both idealism and relativism scales. The typical attitude is to “reject moral rules” and advocate that each situation should be analyzed individualistically.

subjectivists

persons who are low on idealism, but high on relativism. The typical attitude is to approach moral situations “based on personal values rather than universal moral principles”.

absolutists (me)

persons who are high on idealism but low on relativism. The typical attitude is to approach moral questions with the assumption that “the best possible outcome can be achieved by following universal moral rules”.

exceptionalists

persons who are low on both idealism and relativism. The typical attitude is to thijnk there are moral absolutes but to be “pragmatically open to exceptions”.

ethics

guide our behavior by identifying right, wrong, and the many shades of gray in between.

three major reasons why ethics is important

1. employees are confronted with ethical challenges throughout their careers

2. unethical behavior can damage relationships, making it difficult to conduct business

3. unethical behavior reduces cooperation, loyalty, and performance

4. the legal system cannot always be relied upon to assure work conduct that is ethical

ethical dilemmas

situations with two choices, neither of which resolves the situation in an ethically acceptable manner and no clear ethical resolution arises

• not always a pure choice between right and wrong

• places people in an uncomfortable position

five main causes of unethical behavior

1. ill-conceived goals

2. motivated blindness

3. indirect blindness

4. slippery slope

5. overvaluing outcomes

ill-conceived goals

we set goals and incentives to promote a desired behavior, but they encourage a negative one

motivated blindness

we overlook the unethical behavior of another when it’s in our interest to remain ignorant

indirect blindness

we hold others less accountable for unethical behavior when it’s carried out through third parties

slippery slope

we are less able to see others’ unethical behavior when it develops gradually

overvaluing outcomes

we give a pass to unethical behavior if the outcome is good

The pressure to maximize billable hours in accounting, consulting, and law firms leads to unconscious padding. What is the remedy to this cause of unethical behavior?

Brainstorm unintended consequences when devising goals and incentives. Consider alternative goals that may be more important to reward.

Baseball officials failed to notice they’d created conditions that encouraged steroid use. What is the remedy to this cause of unethical behavior?

Root out conflicts of interest. Simply being aware of them doesn’t necessarily reduce their negative effect on decision-making.

A drug company deflects attention from a price increase by selling rights to another company, which imposes the increases. What is the remedy to this cause of unethical behavior?

When handling off or outsourcing work, ask whether the assignment might invite unethical behavior and take ownership of the implications.

Auditors may be more likely to accept a client firm’s questionable financial statements if infractions have accrued over time. What is the remedy to this cause of unethical behavior?

Be alert for even trivial ethical infractions and address them immediately. Investigate whether a change in behavior has occurred.

A researcher whose fraudulent clinical trial saves lives is considered more ethical than one whose fraudulent trial leads to death. What is the remedy to this cause of unethical behavior?

Examine both “good” and “bad” decisions for their ethical implications. Reward solid decision processes, not just good outcomes.

examples of how to deal with unethical behavior

• it’s business, treat it that way

• accept that confronting ethical concerns is part of your job

• challenge the rationale

• use your lack of seniority or status as an asset

• consider and explain long-term consequences

• focus on solutions - not just complaints

three-step approach to closing the gap (between an actual and desired outcome)

Step 1: Define the Problem

Step 2: Identify Potential Causes Using OB Concepts and Theories

Step 3: Make Recommendations and (if Appropriate) Take Action

define the problem

problems should be defined in terms of desired outcomes

identify potential casues using OB concepts and theories

asking “why” multiple times and following the line of reasoning will lead you to define and identify problems and causes more accurately

make recommendations and take action

be certain your recommendations address the causes you idenified in step 2

person factors

characteristics that give individuals their unique identities

situation factors

elements outside us that influence what we do, the way we do it, and the ultimate results of our actions

interactional perspective

states that behavior is a function of interdependent person and situation factors

resolving

problems means choosing a satisfactory solution, one that works but is less than ideal

solving

problems is finding the optimal or ideal response

dissolving

problems requires changing or eliminating the situation in which the problem occurs

most effective solution

• selection criteria

• consequences

• choice process

• necessary resources

Inputs to Processes to Outcomes

inputs: personal or situational factors

processes: individual, group/team, and organizational levels

outcomes: individual, group/team, and organizational levels

values

abstract ideals that guide one’s thinking and behavior across all situations

• stem from our parents’ values, our experiences in childhood, etc.

• stable over time but personal values vary across generations

Schwartz’ Value Theory

categorized values into two opposing or bipolar dimensions

• concern for the welfare of others to pursuit of one’s own interests

• self-directed independence to conformity

organizational values

attracting employees whose personal values align with those of the organization yields many benefits

• lower employee turnover

• high employee retention

• higher employee engagement

• increased customer satisfaction

group values

managers can better manage their employees when they understand an employees’ values and motivation

individual values

employees will derive more meaning from work by pursuing goals that are consistent with their values

personal attitudes

represent our feelings or opinions about people, places, and objects. Impact intentions, which in turn impacts behavior.

Three types:

• affective

• cognitive

• behavioral

cognitive dissonance

represents the psychological discomfort a person experiences when simultaneously holding two or more conflicting cognitions

You can reduce cognitive dissonance by what three points?

1. changing attitudes, behaviors, or both

2. belittle the importance of the inconsistent behavior

3. find consonant elements that outweigh dissonant ones

organzational commitment & benefits

the extent to which an employee identifies with an organization and is committed to its goals; can increase it by hiring those whose personal values most align with those of an organization and build trust with the employee

Benefits:

• increased employee retention

• increased motivation in pursuit of organizational goals

employee engagement & benefits

the extent to which employees give their all to their work roles; can increase by offering career and developmental opportunities for employees, recognizing people for good work, & giving people meaningful work to do

Benefits:

• increased customer loyalty and satisfaction

• increased employee performance

• increased employee well-being

• increased financial performance

perceived organizational support & benefits

the extent to which employees believe that the organization values their contributions and genuinely cares about their well-being; can increase by treating employees fairly, providing job security, giving people more autonomy, and reducing stressors in the work environment

Benefits:

• increased organizational commitment

• increased job satisfaction

• increased organizational citizenship behavior

• increased task performance

• decreased turnover

job satisfaction & benefits

an affective or emotional response toward various facets of one’s job; the extent to which an individual likes his or her job

Benefits:

• increased motivation

• decreased perceived stress

• increased job performance

• increased organizational citizenship behavior (OCB)

• decreased counterproductive work behavior (CWB)

• decreased turnover

organizational citizenship behavior (OCB)

discretionary individual behavior that are typically not directly or explicitly recognized by the formal reward system and can, in the aggregate, promote effective functioning of the organization

counterproductive work behavior (CWB)

behaviors that harm other employees, the organization as a whole, or organizational stakeholders such as customers and shareholders

individual differences (ID)

the many attributes, such as traits and behaviors, that describe each of us as a person

intelligence (IQ)

represents an individual’s capacity for constructive thinking, reasoning, and problem solving

practical intelligence

the abililty to solve everyday problems by utilizing knowledge gained from experience in orded to purposefully adapt to, shape, and select environment

gardner’s theory of multiple intelligence (MI)

includes mental, social, and physical abilities/skills:

• linguistic

• logical-mathematical

• musical

• bodily-kinesthetic

• spatial

• interpersonal

• intrapersonal

• naturalist

personality

The combination of stable physical, behavioral, and mental characteristics that give individuals their unique identities

Big Five Personality Dimensions

• extroversion

• agreeableness

• conscientiousness

• emotional stability

• openness to experience

proactive personality & benefits

an attribute of someone relatively unconstrained by situational forces and who effects environmental change.

Benefits:

• increased job performance

• higher job satisfaction

• higher affective commitment

• entrepreneurial mindset

narcissists

characterized as:

1. having a grandiose sense of self-importance

2. requiring or even demanding excessive admiration

3. having a sense of entitlement

4. lacking empathy

5. tending to be exploitative, manipulative, and arrogant

psychopaths

can be aggressive and lack concern for others, guilt, or remorse when their own actions do others harm

machiavellians

believe the ends justify the means, often maintain emotional distance, and are manipulative

personality and performance

• strongest effects result when both you and your manager have proactive personalities

• conscientiousness has the strongest and most positive effects on performance across jobs, industries, and levels

• extroversion is beneficial if the job involves interpersonal interaction and is a stronger predictor of job performance than agreeableness

• those higher on openness to experience are more likely to seek new opportunities

workplace personality tests

• pre and post hire personality testing is fairly common

• most personality tests are not valid predictors of job performance

• good managers take the time to get to know each employee’s unique combination of personality traits, abilities, and potential and to create a productive and satisfying person-job fit

core self-evaluations

a broad personality trait comprised of four narrow and positive individual traits:

• generalized self-efficacy

• self esteem

• locus of control

• emotional stability

self-efficacy

a belief about your chances of successfully accomplishing a specific task. Whether you believe you will accomplish a task or not impacts your likelihood of success.

self-esteem

general belief about your self-worth

• relatively stable across an individual’s lifetime

locus of control

describes how much personal responsibility someone takes for their behavior and its consequences

internal locus of control

those who believe they control the events and consequences that affect their lives

external locus of control

those who believe their performance is the product of circumstances beyond their immediate control

emotional stability

when this is high, people tend to be:

• relaxed

• secure

• unworried

  Benefits:

• higher job performance

• more organizational citizenship behaviors

• few counter-productive work behaviors

emotional intelligence (EI) & benefits

the ability to monitor one’s own emotions and those of others, to discriminate among them, and to use this information to guide one’s thinking and actions

Benefits:

• better social relationships

• greater well-being

• increased satisfaction

emotions

complex, relatively brief responses aimed at a particular person, information, experience, or event

display norms

rules that dictate which types of emotions are expected and appropriate for an organization’s members to show

felt emotion

the true emotion that you experience

displayed emotion

the emotion that you allow others to see you experience