Exam 3

The marketplace is becoming more segmented

“Demassification” and breaking things down and becoming niche

More competitors offering targeted products

Narrow window of opportunity, faster speed-to-market

Disruptive Innovation

When a product starts at the bottom of the market and then moves up and displaces established competition

• Companies that try to build the “next big thing” often fail to do so

Offshore suppliers are changing the way we work

Globalization and outsourcing supplies

Knowledge, not innovation, is becoming the new Competitive Advantage

Knowledge Workers vs. Data Workers

Shifting Employment Landscape

Employees are beginning to work remotely at home

Reactive Change

Making changes in response to problems or opportunities as they arise

Proactive/Planned Change

Involves making carefully thought-out changes in anticipation of possible or expected problems

Forces Outside The Organization

1. Demographics

2. Technological Advancements

3. Shareholders, Customer, and Broader Stakeholder Concerns

4. Social and Political Pressures

Forces Inside The Organization

1. Human Resources Concerns

2. Managers’ Behaviors

Demographic Characteristics

Age, Race, Gender, Immigration, etc.

Shareholders, Customer, and Broader Stakeholder Concerns

• Changing Customer Preferences

• Domestic & International Competition

• Mergers & Acquisitions

Social and Political Pressures

• War

• Values

• Leadership

Technological Advances

Any machine or process that enables an organization to gain a competitive advantage in producing products

Human Resources Concerns

• Unmet Needs

• Dissatisfaction

• Absentees

• Productivity

• Participation

Managers’ Behaviors

• Conflict

• Leadership

• Reward System

• Structural Reorganization

Resistance to Change

An emotional/behavioral response to real or imagined threats to an established work routine

Causes of Resistance to Change

1. Employee Characteristics

2. Change Agent Characteristics

3. The Change Agent Relationship

Adaptive Change

Reintroduction of a familiar practice

• Easy to implement and least threatening

Innovative Change

Introduction of a practice that is new to an organization

• Somewhat threatening

Radically Innovative Change

Introduces a practice that is new to the industry

• Highly threatening to employees

Kurt Lewin’s Change Model

1. Unfreezing

2. Changing

3. Refreezing

Kurt Lewin’s Change Model: Unfreezing

Create the motivation to change

Kurt Lewin’s Change Model: Changing

New information, models, and procedures

Kurt Lewin’s Change Model: Refreezing

Support and reinforce the change

Self-Efficacy

Belief in one’s personal ability to do a task

Generalized Self-Efficacy

Represents the belief in one’s general ability to perform across different situations

Learned Helplessness

The debilitating lack of faith in your ability to control your environment

What Can Managers Do To Support Self-Efficacy

• Assign jobs accordingly

• Develop employees’ self-efficacy and generalized self efficacy by giving pointers and positive feedback

• Monitor employees to avoid Learned Helplessness

Extroversion

Outgoing, talkative, sociable, assertive

Agreeableness

Trusting, good-natured, cooperative, soft-hearted

Conscientiousness

Dependable, responsible, achievement-orientated, persistent

Emotional Stability

Relaxed, secure, unworried

Openness to Experience

Intellectual, imaginative, curious

Locus of Control

Measure of how much people believe they control their fate through their own efforts

Internal Locus of Control

You believe you control your own destiny

External Locus of Control

Belief that external forces control you

Best Situation for Those With Internal Locus of Control

Placed in jobs requiring high initiative and lower compliance

May prefer to respond more productively to incentives

Best Situation for Those With External Locus of Control

Placed in jobs with higher structure and greater compliance

Extrinsic Reward

The payoff, such as money, that a person receives from others for performing a particular task

Intrinsic Reward

The satisfaction, such as feeling of accomplishments, a person receives for performing a particular task

Maslow’s Hierarchy of Needs

• Physiological Needs

• Security and Safety

• Belonging and Affiliation

• Self Esteem

• Self Actualization

Deci and Ryan’s Self-Determination Theory

The idea that people are motivated to grow and find fulfillment, with their actions and well-being influenced by three basic needs: competence (feeling skilled), autonomy (having control), and relatedness (feeling connected to others)

• Focused on Intrinsic motivation and rewards

Herzberg’s Two-Factor Theory

The idea that job satisfaction and dissatisfaction come from two different factors—motivation factors lead to satisfaction, while hygiene factors cause dissatisfaction

Two-Factor Theory: Hygiene Factors

Factors associated with job dissatisfaction- salary, working conditions, interpersonal relationships, and company policy

Two-Factor Theory: Motivating Factors

Factors associated with job satisfaction-achievement, recognition, responsibility, advancement

Goal-Setting Theory

Employee-motivation approach that employees can be motivated by goals that are specific and challenging but achievable

Valence

The value or importance a person places on a potential outcome or reward

Expectancy Theory

The idea that motivation is driven by two key expectations—first, that effort will lead to good performance, and second, that good performance will result in desired outcomes or rewards