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Perception
a process by which individuals organize and interpret their sensory impressions to give meaning to their environment
Attribution Theory
suggests that when we observe an individual’s behavior, we attempt to determine whether to was internally or externally caused
Determination depends on 3 factors
distinctiveness, consensus, consistency
Internally Caused
those that are believed to be under the personal control of the individual
Externally Caused
resulted from outside causes
Fundamental Attribution Error
we have a tendency to underestimate the influence of external factors and overestimate the influence of internal or personal factors
Self-Serving Bias
individuals attribute their own success to internal factors
Selective Perception
any characteristic that makes a person, object, or event stand out will increase the probability that it will be perceived
Halo Effect
occurs when we draw a positive general impression based in a single characteristic
Horns effect
the tendency to draw a negative general impression about an individual based on a single characteristic
Contrast effect
We do not evaluate a person in isolation; our reaction to one person is influenced by other persons we have already encountered
stereotyping
judging someone based on one’s perception of the group to which that person belongs
self-fulfilling prophecy
characterizes the fact that people’s expectations determine their behavior; expectations become reality
Performance evaluation
An employee’s performance appraisal is very much dependent upon the perceptual process
social media
About four in ten organizations use social media or online searches to screen applicants for jobs; research supports the social media decision-making bias link
potential remedies
AI-assisted performance assessments; Other decision-support systems
Decision Making
occurs as a reaction to a problem
Steps in the Rational decision-making model
1. Define the problem
2. Identify the decision criteria
3. Allocate weights to the criteria
4. Develop the alternatives
5. Evaluate the alternatives
6. Select the best alternative
Decision maker
has complete information; is able to identify all the relevant options in an unbiased manner
Bound Rationality
Most people respond to a complex problem by reducing it to a level at which it can be readily understood
Intractable problem
a problem that may change entirely or become irrelevant before we finish the process of organizing our thoughts, gathering information, analyzing the information, and making judgments or decisions
Intuitive decision making
occurs outside conscious thought; it relies on holistic associations, or links between disparate pieces of information, is fast, and is affectively charged, meaning it usually engages the emotions
Overconfidence Bias
individuals whose intellectual and interpersonal abilities are weakest are most likely to overestimate their performance and ability
Anchoring Bias
fixating on initial information as a starting point and failing to adequately adjust for subsequent information
Confirmation Bias
type of selective perception
Availability Bias
tendency for people to base judgments on information that is readily available
Escalation of Commitment
staying with a decision even when there is clear evidence that it’s wrong
Randomness Error
our tendency to believe we can predict the outcome of random events
Risk Aversion
the tendency to prefer a sure thing instead of a risky outcome
Hindsight Bias
the tendency to believe falsely that one has accurately predicted the outcome of an event, after that outcome is actually known
Organizational Constraints
Performance evaluation systems, reward systems, formal regulations, time constraints, historical precedents, decision-making in times of crisis
Utilitarianism
decisions are made solely on the basis of their outcomes or consequences (the greatest good for the greatest number)
Focus on Rights
calls on individuals to make decisions consistent with fundamental liberties and privileges as set forth in documents such as the Bill of Rights
Behavioral Ethics
an area of study that analyzes how people behave when confronted with ethical dilemmas.
Whistleblowers
someone who recognizes a problem and source and speaks up about it
Creativity
the ability to produce novel and useful ideas
Motivation
the processes that account for an individual’s intensity, direction, and persistence of effort toward attaining a goal
Three Key Elements of Motivation
Intensity, Direction, Persistence
Maslow’s Hierarchy of Needs
Physiological, Safety-Security, Social-Belongingness, Estem, Self-Actualization
McClelland’s Theory of Needs
Need for Achievement, need for power, need for affiliation
Intensity
concerned with how hard a person tries
Direction
the orientation that benefits the organization
Persistence
a measure of how long a person can maintain their effort
Need for Achievement
drive to excel, to achieve in relation to a set of standards, to strive to succeed
Need for Power
need to make others behave in a way that they would not have behaved otherwise
Need for Affiliation
desire for friendly and close interpersonal relationships
Self-determination Theory
employees’ well-being and performance are influenced by the nature of their motivation for certain job activities
Cognitive Evaluation Theory
when people are paid for work, it feels less like something they want to do and more like something they have to do
Self-Concordance Theory
considers how strongly people’s reasons for pursuing goals are consistent with their interests and core values
Regulatory Focus Theory
people differ in the way they regulate their thoughts and behaviors during goal pursuit
Two Categories of Regulatory Focus Theory
Promotion focus, Prevention Focus
Job Engagement
the investment of an employee’s physical, cognitive, and emotional energies into job performance
Reinforcement Theory
behavior is a function of its consequences
Operant Conditioning Theory
people learn to behave to get something they want or to avoid something they don’t want
Social Learning Theory
we can learn through both observation and direct experience
Expectancy Theory
a tendency to act in a certain way depends on an expectation that the act will be followed by a given outcome and on the attractiveness of that outcome to the individual
Three Relationships
Effort-performance relationship, performance-reward relationship, rewards-personal goals relationship
Goal-setting theory
intentions to work toward a goal are considered a major source of work motivation
Goals
direct attention, mobilize effort, encourage persistence, facilitate the development of strategy
Goal Origins
Self-set goals can lead to greater employee enthusiasm, whereas supervisor-set goals may lead to heightened anxiety and perceptions of uncertainty and threat
Goal Characteristics
Specific goals increase performance; Difficult goals, when accepted, result in higher performance than do easy goals
Factors influencing the goals-performance relationship
Goal commitment, task characteristics, feedback, goal orientation, goal conflict
Management by objectives
a program that encompasses specific goals, participative set, for an explicit period, with feedback on goal progress
self-efficacy theory
an individual’s belief that he or she is capable of performing a task
Increasing Self-Efficacy
enactive mastery, vicarious modeling, verbal persuasion, arousal
Pygmalion Effect
A form of self-fulfilling prophecy—believing in something can make it true
Six Choices in Perceiving Inequity
Change inputs, Change outcomes, Distort perceptions of self, distort perceptions of others, choose a different referent, leave the field
Justice Outcomes
All the types of justice discussed have been linked to higher levels of task performance and citizenship
Promoting Justice
Adopting strong justice guidelines in an attempt to mandate certain managerial behavior isn’t likely to be universally effective
Culture and Justice
Inputs and outcomes are valued differently in various cultures
