IO Psychology Departmentals Reviewer PDF

IO PSYCHOLOGY DEPARTMENTALS LEADING - This managerial function is the process of getting the organization's members to work together toward the REVIEWER...

IO PSYCHOLOGY DEPARTMENTALS LEADING - This managerial function is the process of getting the organization's members to work together toward the REVIEWER organization's goals. CONTROLLING - This managerial function is the process of CHAPTER 1 monitoring and correcting the actions of the organization and its members, to keep them directed toward the 5M’s of Management organizational goals. Money Materials - ammenities CRITICAL MANAGEMENT SKILLS AND Mechanics - tech stuffs, productivity ORGANIZATIONAL BEHAVIOR Methods - processes ( how they treat their costumers, how food is prepared) Technical skills - skills necessary to accomplish specific Manpower - (where IO is focused) ( the most important, w/o tasks within the organization. man, its not working, it makes the business work) Interpersonal skills - ability to effectively communicate with, Why study OB (Organizational Behavior) understand, and motivate individuals and groups become a better employee conceptual skills- ability to think in the abstract Become a better manager understand how people behave and why they do diagnostic skills - ability to understand cause-and-effect what they do relationships and to recognize the optimal solutions to help you focus on developing a global mindset problems Organizations that successfully implement OB principles ORGANIZATIONAL BEHAVIOR AND HUMAN RESOURCE have: MANAGEMENT Motivated, engaged employees human resource management - The set of organizational strong leadership activities directed at attracting, developing, and maintaining better bottom line an effective workforce Nature of Organizational Behavior When organizations focus on the "softer" side of business, including organizational behavior attempts to understand human behavior in factors, it can lead to more motivated and more organizational settings, the org itself and the engaged employees individual- organization interface Organizational behavior (OB) typically includes the Employee Life Cycle study of which basic component? HUMAN -if the employee have the desire to work, they will find a way BEHAVIOR IN ORGANIZATIONS to get there Which of the following is NOT a type of resource Selection & Recruitment organizations use when pursuing corporate goals CV, online portal, Assessment and objectives? INVISIBLE Training and Development THE STRATEGIC CONTEXT OF ORGANIZATIONAL training, skills assessment BEHAVIOR Performance Management competitive advantage - anything that gives a firm an edge over rivals in attracting customers and defending itself Rewards, Recognition, Company Benefits against competition Incentives are included TYPES OF BUSINESS STRATEGIES Employee Discipline, Employee Relations cost leadership strategy - striving to be the lowest- cost Retirement & Termination producer for a particular level of product quality operational excellence - Maximizing the efficiency of the ORGANIZATIONAL BEHAVIOR - This is the study of human manufacturing or product development process to minimize behavior in organizational settings, of the interface between costs human behavior and the organization, and of the organization itself. differentiation strategy - developing a product or service that has unique characteristics valued by customers PLANNING - This managerial function is the process of determining an organization's desired future position and the product innovation - developing new products or services best means of getting there. specialization strategy - focusing on a narrow market ORGANIZING - This managerial function is the process of segment or niche and pursuing either a differentiation or cost designing jobs, grouping jobs into units, and establishing leadership strategy within that market segment patterns of authority between jobs and units. customer intimacy - delivering unique and customizable hypotheses - written predictions specifying expected products or services to meet customers’ needs and increase relationships between certain variables customer loyalty independent variable- the variable that is predicted to affect growth strategy - company expansion organically or through something else acquisitions dependent variable the variable predicted to be affected by scientific management - based on the belief that productivity something else is maximized when organizations are rationalized with precise sets of instructions based on time-and-motion correlation - Reflects the size and strength of the statistical studies relationship between two variables; ranges from −1 to +1 Hawthorne effect - when people improve some aspect of their behavior or performance simply because they are being CHAPTER 2 assessed human relations movement - Views organizations as cooperative systems and treats workers’ orientations, values, and feelings as important parts of organizational dynamics and performance ORGANIZATIONS AS OPEN SYSTEMS System - a set of interrelated elements functioning as a whole Situational Perspectives on Organizational Behavior situational perspective- suggests that in most organizations, situations and outcomes are influenced by other variables The changing environment of business presents both opportunities and challenges for managers today. Five interactionalism- suggests that individuals and situations important environmental forces are globalization, diversity, interact continuously to determine individuals’ behavior technology, ethics and corporate governance, and new employment relationships. organizational citizenship- the behavior of individuals that makes a positive overall contribution to the organization Equity – customized tools dysfunctional behaviors - those that detract from, rather than Equality – same opportunity contribute to, organizational performance Justice -fixing the system to after equal access to both tools DRIVING STRATEGIC EXECUTION and opportunities - Degree to with managers nd their employees Intersectionality – simutaneous membership in more than undertstand and carryout the actions needed to one demographic category achieve strategic goals - Dysfunctional behaviors in organizations generally Inclusivity – na include sila sa field instead of observing include things like excessive absenteeism and incivility. Sometimes, though, employees turn diversity - the variety of observable and unobservable violent. When this happens the workplace can turn similarities and differences among people into a crime scene. surface-level diversity - Observable differences in people, including race, age, ethnicity, physical abilities, physical scientific method - method of knowledge generation that characteristics, and gender relies on systematic studies that identify and replicate a result using a variety of methods, samples, and settings deep-level diversity - Individual differences that cannot be seen directly, including goals, values, personalities, decision- theory - a collection of verbal and symbolic assertions that making styles, knowledge, skills, abilities, and attitudes specify how and why variables are related, and the conditions under which they should and should not relate separation diversity- differences in position or opinion among group members reflecting disagreement or opposition— dissimilarity in an attitude or value, for example, especially with regard to group goals or processes PERCIEVED THREAT OF LOSS – known as impeding the prospects of others in order to protect one’s own prospects. variety diversity - differences in a certain type or category, including group members’ expertise, knowledge, or ETHNOCENTRICISM – Barrier to inclusion often has less to functional background do with prejudice and more to do with inexperience or ignorance about other people and environments DISPARITY DIVERSITY - differences in the concentration of valuable social assets or resources - including dissimilarity in Unequal access to organizational networks - Women and pay or rank, status or decision-making authority minorities are often excluded from organizational networks, which can be important to job performance, mentoring Title VII of the Civil Rights Act of 1964 – prohibits opportunities, and being seen as a candidate for promotion. employment discrimination based on race, gender, color, sex, or national origin. MANAGING DIVERSITY, EQUITY AND INCLUSION The Civil Rights Act of 1991 - allows monetary damages in Top management support for diversity and for cases of intentional employment discrimination. diversity initiatives Reciprocal mentoring: matches senior employees INTERACTIONALISM – a contextual perspective suggests with diverse junior employees to allow both that individuals and situations interact continuously to individuals to learn more about a different group determine individuals' behavior Older adults may benefit from self-paced learning environments and confidence-boosting ABSENTEEISM – used to measure potentially dysfunctional interventions. behavior in an organization It is not realistic to claim or to pursue an "I'm totally unbiased" stance with regard to diversity. An organization with a competitive advantage due to product innovation would likely seek a core GLOBALIZATION AND BUSINESS workforce of research and development employees who have an entrepreneurial mindset Globalization - the internationalization of business activities and the shift toward an integrated global economy The success of a growth strategy depends on the firm's ability to find and retain the right number and Culture - The set of shared values, often taken for granted, types of employees to sustain its intended growth that help people in a group, organization, or society understand which actions are considered acceptable and THE HUMAN RELATIONS MOVEMENT – The idea that the which are deemed unacceptable human dimensions of work, including group relations, can supersede organizational norms and even an individual's cultural competence - the ability to interact effectively with self-interests is at the heart of moment people of different cultures GENERAL DIFFERENCES MORE FREQUENT TRAINING IN MANAGEMENT TASKS - o todays workforce is characterized in five typical characteristic of a knowledge worker's career path generational groups Silent generation (1928-1945) The primary motivation for effectively managing Baby boomers (1946-1964) diversity is the fact that doing so brings out the best in all employees Generation × (1965-1980) Generation Y or Millennials (1981-1996) Matching senior employees with diverse junior Generation Z (1997-2012) employees so that the employees can learn more about a different group in the workforce is a THE BUSINESS CASE FOR DIVERSITY diversity management technique referred to as reciprocal mentoring fosters greater creativity and innovation Organizational performance increases when Cross-Cultural Differences and Similarities employees have a positive attitude toward diversity General observations: Culturally diverse teams make better decisions - Cultural and national boundaries may not coincide. over thine than homogenous ones. - Behavior in organizational settings varies across Women in top management results in more cultures. innovation - Culture is one major cause of this variation. - Organizations and the way they are structured THE ”LIKE ME” BIAS - barriers to inclusion can create a appear to be growing increasingly similar. higher comfort level in working relationships. - The same individual behaves differently in different cultural settings. Stereotypes - A belief about an individual or a group based - Cultural diversity can be an important source of on the idea that every- one in a particular group will behave synergy in enhancing organizational effectiveness. the same way or have the same characteristics - Attitudes and behaviors differ significantly because of values and beliefs that characterize different Prejudice - Outright bigotry or intolerance for other groups. countries (Geert Hofstede).  CORPORATE SOCIAL RESPONSIBILITY - refers to HOFSTEDES SPECIFIC CULTURAL ISSUES businesses living and working together for the common good and valuing human dignity. Individualism - exists to the extent that people in a culture define themselves primarily as individuals rather than NEW EMPLOYMENT RELATIONSHIPS as part of one or more groups or organizations knowledge workers - those employees who add value in an collectivism - characterized by tight social frameworks in organization simply because of what they know which people tend to base their identities on the group or organization to which they belong OUTSOURCING AND OFFSHORING power distance (also orientation to authority)- the extent to Outsourcing - the practice of hiring other firms to do work which people accept as normal an unequal distribution of previously performed by the organization itself; when this power work is moved overseas, it is often called offshoring uncertainty avoidance (also preference for stability) - the Offshoring - Outsourcing to workers in another country extent to which people feel threatened by unknown situations and prefer to be in clear and unambiguous situations contingent worker- a person who works for an organization on something other than a permanent or full-time basis masculinity (also assertiveness or materialism)- The extent to which the dominant values in a society emphasize tiered workforce - when one group of an organization’s aggressiveness and the acquisition of money and other workforce has a contractual arrangement with the possessions as opposed to concern for people, relationships organization objectively different from another group among people, and overall quality of life performing the same jobs long-term values - include focusing on the future, working on psychological contract - a person’s set of expectations projects that have a distant payoff, persistence, and thrift regarding what he or she will contribute to an organization and what the organization, in return, will provide to the short-term values - more oriented toward the past and the individual present and include respect for traditions and social obligations CHAPTER 3 global perspective - a willingness to be open to and learn individual differences - personal attributes that vary from one from the alternative systems and meanings of other people person to another and cultures, and a capacity to avoid assuming that people from everywhere are the same person-job fit - the fit between a person’s abilities and the demands of the job, and the fit between a person’s desires TECHNOLOGY AND BUSINESS and motivations and the attributes and rewards of a job Technology - refers to the methods used to create products, Person-group fit - the extent to which an individual fits with including both physical goods and intangible services the workgroup's and supervisor's work styles, skills, and goals Manufacturing - a form of business that combines and transforms resources into tangible outcomes that are then Person-organization fit - the fit between an individual's sold to others values, beliefs, and personality and the values, norms, and culture of the organization service organization - one that transforms resources into an intangible output and creates time or place utility for its Person-vocation fit - the fit between a person's interests, customers abilities, values, and personality and a profession TOP MANAGEMENT SUPPORT - most important factor in Realistic job previews (RJPs) - present both positive and effectively leveraging the positive potential of DEl within an potentially negative information to job candidates organization Goal is not to deter candidates, but to: INTERSECTIONALITY - type of diversity refers to the fact that we all simultaneously belong to more than one demographic category. o Provide accurate information about job and organization SIMILAR - One of the five basic conclusions reached by a o Build trust review of the literature on international management is that, o Reduce turnover (especially from employees who across cultures, organizations and the ways they are quit because the job wasn't what they expected) structured appear to be growing increasingly. PERSONALITY AND INDIVIDUAL BEHAVIOR ETHICS - refers to a person's beliefs regarding what is right or wrong in a given situation. Personality - the relatively stable set of psychological attributes that distinguish one person from another corporate governance - refers to the oversight of a public corporation by its board of directors o The nature versus nurture debate concerns the extent to which personality attributes are inherited from our parents or shaped by our environment.  Myers-Briggs Type Indicator (MBTI) is a popular o In understanding how personality attributes affect questionnaire used to assess personality types, individuals' behavior, managers can help influence communication styles, and interaction preferences. the development of successful behavior patterns and attitudes in employees. Other important personality traits Locus of control - the extent to which one believes one's THE BIG FIVE FRAMEWORK circumstances are a function of either one's own actions or of external factors beyond one's control Internal locus of control reflects the perception that we are in control of our lives and what happens to us. External locus of control reflects the belief that "Big Five" personality traits - a set of fundamental traits forces beyond our control dictate what happens to especially relevant to organizations us. Agreeableness - the ability to get along with others Authoritarianism - the belief that power and status differences are appropriate within hierarchical social systems Conscientiousness - refers to an individual being dependable such as organizations and organized - A person who is highly authoritarian may accept directives or orders from someone with more Neuroticism - characterized by a person's tendency to authority purely because the other person is the experience unpleasant emotions: anger, anxiety, depression, "boss." and feelings of vulnerability Machiavellianism - a trait causing a person to behave in Extraversion- the quality of being comfortable with ways to gain power and control the behavior of others relationships Tolerance for risk - the degree to which a person is Openness- the capacity to entertain new ideas and to comfortable with risk and is willing to take chances and make change as a result of new information risky decisions - The potential consequences of a manager's risk Introversion - The tendency to be less comfortable in propensity depend heavily on the organization's relationships and social environment and its business strategy. The Myers-Briggs Framework Tolerance for ambiguity - reflects the tendency to view ambiguous situations as either threatening or desirable. The Myers-Briggs framework - personality framework based Being tolerant of ambiguity is related to creativity, positive on Carl Jung's work on psychological types and measured attitudes toward risk, and orientation to diversity. by the Myers-Briggs Type Indicator (MBTI) - Used to categorize personality across four general dimensions: Extroverson (E)/Introversion (I) Thinking (T)/Feeling (F) Sensing (S)/Intuition (N) Judging (J)/Perceiving (P) Sixteen personality classifications result from the higher and lower positions of the general dimensions.  Visual: learning by seeing Workplace bullying - repeated mistreatment of another Auditory: learning by hearing employee through verbal abuse; conduct that is threatening, humiliating, or intimidating; or sabotage that interferes with Tactile: learning by touching the other person's work Kinesthetic: learning by doing - Bullying is complex and comes in a variety of forms. Kolb Learning Style Inventory - Certain personality types may also be frequent targets of bullying. Convergers Learn by active experimentation and abstract conceptualization; superior in technical tasks, INTELLIGENCE inferior in interpersonal settings general mental ability - the capacity to rapidly and fluidly Divergers Learn by concrete experience and reflective acquire, process, and apply information observation; superior in generating alternate hypotheses and ideas; tend to be imaginative information processing capacity - involves the way and people or feeling-oriented individuals process and organize information Assimilators Learn by abstract conceptualization and Gardner's Theory of Multiple Intelligences reflective observation; more concerned about abstract concepts and logical soundness than Linguistic – Words and Language about people and practical values; suited to Logical – Mathematical – Logic and Numbers research and planning Musical – Music, rhythm, and sound Bodily Kinesthetic – Body movement and control Accommodators Learn by active experimentation and concrete Spatial – Visual – Images and space experience; focus on risk taking, opportunity Interpersonal – Other people’s feelings seeking, and action; deal with people easily; Intrapersonal – self – awareness suited to action-oriented jobs such as marketing and sales Multiple intelligences - suggests there is more than one way to be smart and is important for determining different LEARNING STYLE ORIENTATIONS learning preferences Discovery learning An inclination for exploration during learning Experiential learning A desire for hands-on approaches to instruction Observational learning A preference for external stimuli such as demonstrations and diagrams Structured learning A preference for processing strategies such as takingnotes, writing down task steps, subjective assessments Group learning Preference to work with others while learning; active and interactional CHAPTER 4 Attitudes - a person's complexes of beliefs and feelings Emotional intelligence (El) - an interpersonal capability that about specific ideas, situations, or other people includes the ability to perceive and express emotions, to - Formed by personal values, experiences, and understand and use them, and to manage emotions in personality oneself and other people Self-awareness: being aware of what you're feeling Structural components of attitudes Self-motivation: persisting in the face of obstacles, setbacks, and failures Cognition - the knowledge a person presumes to have about Self-management: managing your own emotions and something impulses Empathy: sensing how others are feeling Affect - a person's feelings toward something Social skills: effectively handling emotions of others Intention - component of an attitude that guides a person's LEARNING STYLES behavior. Learning style - individual differences and preferences in how we process information while problem-solving, learning, or engaging in similar activities Sensory modality - a system that interacts with the environment through one of the basic senses:  Continuance commitment - staying with the organization because of perceived high economic and/or social costs; employees stay because they feel they have to Employee engagement - heightened emotional and intellectual connection that an employee has for their job, organization, manager, or coworkers that, in turn, influences them to apply additional discretionary effort to their work - Evidence suggests that high employee engagement is related to superior business Attitudes are generally formed around a sequence of performance cognition, affect, and behavioral intention. That is, we come to know something that we believe to be true (cognition). Engagement is enhanced when employees: This knowledge triggers a feeling (affect). Cognition and Have clear goals affect then together influence how we intend to behave in the Have the resources needed to do a good job future. Get meaningful performance feedback Cognitive dissonance - an incompatibility or conflict between Are able to use their talents behavior and an attitude or between two different attitudes Are recognized for doing a good job Have positive relationships with coworkers Approaches to cope with cognitive dissonance: Have opportunities to learn and grow Change the conflicting behavior Have supportive leadership Change the conflicting attitude Reason that one of the conflicting attitudes or behaviors is not important in this context Seek additional information to better reason that the benefits of one conflicting attitude or behavior outweigh the costs of the other Recognize that attitudes can change VALUES AND EMOTIONS IN ORGANIZATIONS Value - way of behaving or end-state desirable to a person or group Terminal values - reflect long-term life goals such as prosperity, happiness, a secure family, and a sense of accomplishment Instrumental values - preferred means of achieving terminal values or preferred ways of behaving Job satisfaction is one of the most important job-related Intrinsic work values - relate to the work itself attitudes in organizations. It reflects both our attitudes and our feelings about our job. Job satisfaction is strongly Extrinsic work values - relate to the outcomes of doing work influenced by our personality, values, other attitudes, and the work itself. CONFLICT AMONG VALUES Organizational commitment - reflects the degree to which an Intrapersonal value conflict - occurs when an individual employee identifies with the organization and its goals and experiences conflict between an instrumental value and a wants to stay with the organization terminal value - People are generally happier and less stressed Affective commitment - positive emotional attachment to the when instrumental and terminal values are aligned organization and strong identification with its values and its goals; employees want to stay with the organization Interpersonal value conflict - occurs when two different people hold conflicting values Normative commitment - a feeling of moral or ethical - Often the cause of personality clashes and other obligation to the organization; employees stay because they disagreements believe it would be wrong to leave Individual-organization value conflict - when an employee's values conflict with those of the organization - Lower levels lead to greater job satisfaction, performance and commitment HOW VALUES DIFFER AROUND THE WORLD Global differences in values may lead to different managerial behaviors. Two major dimensions: Traditional versus secular-rational values: reflects the contrast between societies in which religion is very important and those in which it is not Survival versus self-expression values: reflects the contrast between societies that emphasize economic and physical security and those that PERCEPTION AND ATTRIBUTION emphasize subjective well-being, self-expression, and quality of life Attribution - the way we explain the causes of our own as well as other people's behaviors and achievements, and The Role of Emotions in Behavior understand why people do what they do Emotion - intense, short-term physiological, behavioral, and Are they due to the individual because of internal psychological reaction to a specific object, person, or event factors such as effort and ability? that prepares us to respond to it Or are they due to the environment because of Mood - short-term emotional state that is not directed toward external factors such as luck, resources, and other anything in particular people? Self-handicapping - when people create obstacles for Affectivity - the tendency to experience a particular mood or themselves that make success less likely to react to things with certain emotions Positive affect - reflects a combination of high energy and positive evaluation characterized by emotions like elation Negative affect - consists of feelings of being upset, fearful, and distressed Perception of Fairness, Justice, and Trust Basic Perceptual Processes Organizational fairness - employees' perceptions of Perception - the set of processes by which an individual organizational events, policies, and practices as being fair or becomes aware of and interprets information about the not fair environment Distributive fairness - perceived fairness of the outcome Selective perception - the process of screening out received, including resources distributions, promotions, information that we are uncomfortable with or that hiring and layoff decisions, and raises contradicts our beliefs Procedural fairness - addresses the fairness of the procedures used to generate the outcome Stereotyping - the process of categorizing or labeling people on the basis of a single attribute Interactional fairness - perceived fairness of interpersonal treatment and explanations received during the decision- o Certain forms can be useful and efficient. making process o Other forms are inaccurate and can be harmful. Trust - expectation that another person will not act to take advantage of us regardless of our ability to monitor or control This framework provides a useful way to see how them motivational processes occur. When people experience a need deficiency, they seek ways to satisfy it, which results in THE NATURE OF STRESS a choice of goal-directed behaviors. After performing the behavior, the individual experiences rewards or punishments Stress - a person's adaptive response to a stimulus that that affect the original need deficiency. places excessive psychological or physical demands on that person scientific management- approach to motivation that assumes that employees are motivated by money The stress process (Selye) General adaptation syndrome (GAS) - identifies human relations approach- suggests that fostering a false three stages of response to a stressor: alarm, sense of employees’ inclusion in decision making will result resistance, and exhaustion in positive employee attitudes and motivation to work hard Sources of stress human resource approach- assumes that people want to o Eustress - pleasurable stress that accompanies contribute and are able to make genuine contributions to positive events organizations o Distress - unpleasant stress accompanies negative events task-specific self-efficacy - a person’s beliefs in his or her capabilities to do what is required to accomplish a specific COMMON CAUSES OF STRESS task - Magnitude: beliefs about how difficult a specific Organizational stressor - a factor in the workplace that can task is to be accomplished cause stress Task demands - stressors associated with the - Strength: beliefs about how confident the person is specific job a person performs that the specific task can be accomplished Physical demands - conditions associated with the job's physical setting and requirements - Generality: beliefs about the degree to which similar tasks can be accomplished Role demands - stressors associated with the expected behaviors of a particular position in a need-based theories - assume that need deficiencies cause group or organization behavior Interpersonal demands - stressors deriving from group pressures, leadership, interpersonal hierarchy of needs - assumes that human needs are conflicts arranged in a hierarchy of importance Life stressor - life change or trauma CHAPTER 5 NATURE OF MOTIVATION Motivation- the set of forces that leads people to behave in particular ways P=M+A+E Where: P= performance M = motivation - an employee must want to do the job well A = ability - must be able to do the job effectively Maslow’s hierarchy of needs consists of five basic categories E = environment - must have the materials, resources, of needs. This figure illustrates both general and equipment, and information required to do the job organizational examples of each type of need. Of course, each individual has a wide variety of specific needs within Need - anything an individual requires or wants each category. ERG theory- Describes existence, relatedness, and growth needs TWO-FACTOR THEORY two-factor theory (dual-structure theory)- identifies motivation factors, which affect satisfaction, and hygiene factors, which determine dissatisfaction  - Frederick Herzberg developed this theory in the - if the two sides do not balance, a feeling of late 1950s and early 1960s. inequity People form equity perceptions by comparing their situation with that of someone else’s. If they perceive equity, they are motivated to maintain the current situation. If they perceive inequity, they are motivated to use one or more of the strategies shown here to reduce the inequity. expectancy theory - Suggests that people are motivated by The traditional view of satisfaction suggested that how much they want something and the likelihood they satisfaction and dissatisfaction were opposite ends of a perceive of getting it single dimension. Herzberg’s Two Factor theory found evidence of a more complex view. In this theory, motivation effort-to-performance expectancy – a person’s perception of factors affect one dimension, ranging from satisfaction to no the probability that effort will lead to performance satisfaction. Other workplace characteristics, called “hygiene factors,” are assumed to affect another dimension, ranging performance-to-outcome expectancy - the individual’s from dissatisfaction to no dissatisfaction. perception of the probability that performance will lead to certain outcomes motivation factors- are intrinsic to the work itself and include factors such as achievement and recognition hygiene factors - are extrinsic to the work itself and include factors such as pay and job security acquired needs framework - centers on the needs for achievement, affiliation, and power by David McClelland need for achievement - The desire to accomplish a task or goal more effectively than was done in the past need for affiliation- The need for human companionship The expectancy theory is the most complex model of employee motivation in organizations. As shown here, the need for power- the desire to control the resources in one’s key components of expectancy theory environment are effort-to-performance expectancy, performance- to- outcome instrumentality, and outcomes, each of which has process-based perspectives- Focus on how people behave an associated valence. These components interact with in their efforts to satisfy their needs effort, the environment, and the ability to determine an individual’s performance. equity theory- Focuses on people’s desire to be treated with what they perceive as equity and to avoid perceived inequity Outcome - anything that results from performing a particular behavior Equity- The belief that we are being treated fairly in relation to others; inequity is the belief that we are being treated Valence - the degree of attractiveness or unattractiveness a unfairly in relation to others particular outcome has for a person FORMING EQUITY PERCEPTIONS - If the two sides of this psychological equation are comparable, the person experiences a feeling of equity THE PORTER-LAWLER MODEL continuous reinforcement - schedule is one in which the desired behavior is reinforced each time it occurs FOUR TYPES OF PARTIAL REINFORCEMENT SCHEDULES: Fixed-ratio: Desired behavior is reinforced after a specified number of correct responses—for example, receiving pay bonuses for every ten error-free pieces made per hour. Fixed-interval: Desired behavior is reinforced after a certain amount of time has passed—for example, receiving weekly paychecks. Variable-ratio: Desired behavior is reinforced after an unpredictable number of behaviors—for example, a supervisor praises a call center representative after the third The Porter and Lawler expectancy model provides call, then the seventh call after that, and then the fourth call interesting insights into the relationships between after that. satisfaction and performance. As illustrated here, this model predicts that satisfaction is determined by the perceived Variable-interval: Desired behavior is reinforced after an equity of intrinsic and extrinsic rewards for performance. unpredictable amount of time has elapsed—for example, not That is, rather than satisfaction causing performance, which knowing when a regional supervisor will visit your location for many people might predict,this model argues that it is an inspection. actually performance that eventually leads to satisfaction. ENHANCING PERFORMANCE IN ORGANIZATIONS Learning - A relatively permanent change in behavior or behavioral potential resulting from direct or indirect experience classical conditioning- A simple form of learning that links a conditioned response with an unconditioned stimulus reinforcement theory - Based on the idea that behavior is a function of its consequences social learning - When people observe the behaviors of others, recognize the consequences, and alter their own behavior as a result behavior modification - The application of reinforcement theory to influence the behaviors of people in organizational setting Managers can use a variety of methods to enhance performance in organizations. The need- and process- based perspectives on motivation explain some of the factors involved in increasing the potential for motivated behavior directed at enhanced performance. Managers can then use such means as goal setting, job design, flexible work arrangements, performance management, rewards, and organizational behavior motivation to help translate this potential into actual enhanced performance. Positive reinforcement - involves the use of rewards to increase the likelihood that a desired behavior—high performance, for instance—will be repeated. Negative reinforcement - based on the removal of current or CHAPTER 6 future unpleasant consequences to increase the likelihood that someone will repeat a behavior Punishment - is the application of negative outcomes to decrease the likelihood of a behavior. Extinction - involves the removal of other reinforcement (positive or negative) following the incidence of the behavior to be extinguished to decrease the likelihood of that behavior being repeated  Skill variety: the degree to which the job requires a variety of activities that involve different skills and talents Managers can use a variety of methods to enhance performance in organizations. The need- and process- Task identity: the degree to which the job requires based perspectives on motivation explain some of the completion of a “whole” and an identifiable piece of work; factors involved in increasing the potential for motivated that is, the extent to which a job has a beginning and an end behavior directed at enhanced performance. Managers can with a tangible outcome then use such means as goal setting, job design, flexible work arrangements, performance management, rewards, Task significance: the degree to which the job affects the and organizational behavior motivation to help translate this lives or work of other people, both in the immediate potential into actual enhanced performance. organization and in the external environment JOB DESIGN IN ORGANIZATIONS Autonomy: the degree to which the job allows the individual substantial free- dom, independence, and discretion to job design- How organizations define and structure jobs schedule the work and determine the procedures for carrying it out job specialization- Breaking jobs down into small component tasks and standardizing them across all workers doing those Feedback: the degree to which the job activities give the jobs individual direct and clear information about the effectiveness of his or her performance job rotation- Systematically moving workers from one job to another in an attempt to minimize monotony and boredom EMPLOYEE PARTICIPATION AND EMPOWERMENT job enlargement - Involves giving workers more tasks to Participation - Entails giving employees a voice in making perform decisions about their own work job enrichment - Entails giving workers more tasks to Empowerment - The process of enabling workers to set their perform and more control over how to perform them own work goals, make decisions, and solve problems within their sphere of responsibility and authority job characteristics theory - Uses five motivational properties of tasks and three critical psychological states to improve APPROACHES TO PARTICIPATION AND outcomes EMPOWERMENT Experienced meaningfulness of the work: the degree to Articulating a clear vision and goal which the individual experiences the job as generally meaningful, valuable, and worthwhile Fostering personal mastery experiences to enhance self- efficacy and build skills Experienced responsibility for work outcomes: the degree to which individuals feel personally accountable and Modeling successful behaviors responsible for the results of their work Sending positive messages and arousing positive emotions Knowledge of results: the degree to which individuals in employees continuously understand how effectively they are performing the job Connecting employees with the outcomes of their work and giving them feedback THE JOB CHARACTERISTICS THEORY Building employee confidence by showing competence, Hackman and Oldham, five characteristics of the job or core honesty, and fairness job dimensions: VARIABLE WORK SCHEDULES compressed work schedule - Work schedule in which management by objectives (MBO) - A collaborative goal- employees work a full forty-hour week in fewer than the setting process through which organizational goals cascade traditional five days down throughout the organization job sharing - Two or more part-time employees sharing one performance appraisal - The process of assessing and full-time job evaluating an employee’s work behaviors by measurement extended work schedule - Work schedule that requires PURPOSE OF PERFORMANCE MANAGEMENT relatively long periods of work followed by relatively long periods of paid time off flexible work schedules (or flextime) - Give employees more personal control over the hours they work each day Flexible work schedules are an important new work arrangement used in some organizations today. All employees must be at work during “core time.” In the Performance measurement plays a variety of roles in most hypothetical example shown here, core time is from 9 to organizations. This figure illustrates how these roles can help 11 a.m. and 1 to 3 p.m. The other time, then, is flexible— managers judge an employee’s past performance and help employees can come and go as they please during this time, managers and employees improve future performance. as long as the total time spent at work meets organizational expectations. ELEMENTS OF PERFORMANCE MANAGEMENT ALTERNATIVE WORKPLACE The Appraiser - the employee’s primary evaluator is the supervisor. This stems from the obvious fact that the Telecommuting - Work arrangement in which employees supervisor is presumably in the best position to be aware of spend part of their time working off-site the employee’s day-to-day performance. Goal - A desirable objective 360-degree feedback - a performance appraisal method in which employees receive performance goal difficulty - the extent to which a goal is challenging and feedback from those on all sides of them in the requires effort organization goal specificity - The clarity and precision of a goal Frequency of the Appraisal - Regardless of the employee’s level of performance, the types of tasks being performed, or THE GOAL THEORY MOTIVATION the employee’s need for information on performance, the organization usually conducts performance appraisals on a regular basis, typically once a year Measuring Performance - The foundation of good performance management is correctly identifying what should be measured and the selection of the best method(s) for measuring it - Key elements of performance management are measuring and assessing performance. Performance rating scales such as this one are commonly used for assessing performance in organizations The goal-setting theory of motivation provides an important balanced scorecard or BSC - a relatively structured means of enhancing the motivation of employees. As performance management technique that identifies financial illustrated here, appropriate goal difficulty, specificity, and nonfinancial performance measures and organizes them acceptance, and commitment contribute to goal-directed into a single model effort. This effort, in turn, has a direct impact on performance. goal acceptance - The extent to which a person accepts a goal as his or her own goal commitment - The extent to which a person is personally interested in reaching a goal THE BALANCED SCORECARD Bonus systems, which provide managers with lump-sum payments from a special fund based on the financial performance of the organization or a unit Long-term compensation, which gives managers additional income based on stock price performance, earnings per share, or return on equity Merit pay plans, which base pay raises on the employee’s performance Profit-sharing plans, which distribute a portion of the firm’s profits to all employees at a predetermined rate Employee stock option plans, which set aside stock in the company for employees to purchase at a reduced rate Indirect compensation - employee benefits provided as a The balanced scorecard is a structured performance form of compensation management technique. In its most basic form, managers establish both goals and measures for how they want to Typical benefits provided by businesses include thefollowing: assess customer perceptions, financial performance, internal business process, and innovation and learning. Each of Payment for time not worked, both on and off the these sets of goals and measures need to be consistent with job: On-the-job free time includes lunch, rest, each other as well as with the organization’s overall vision coffee brakes, and wash-up or get-ready time. Off- and strategy. the-job time not worked includes vacation, sick leave, holidays, and personal days. INDIVIDUAL REWARDS IN ORGANIZATIONS Social Security contributions: The employer reward system - all organizational components, including contributes half the money paid into the system people, processes, rules and procedures, and decision- established under the Federal Insurance making activities, involved in allocating compensation and Contributions Act (PICA). The employee pays the benefits to employees in exchange for their contributions to other half. the organization Unemployment compensation: People who have surface value- Objective meaning or worth of a reward lost their jobs or are tempo- rarily laid off get a percentage of their wages from an insurance-like symbolic value - Subjective and personal meaning or worth program. of a reward Disability and workers’ compensation benefits: TYPES OF REWARDS Employers contribute funds to help workers who cannot work due to occupational injury or ailment. compensation package - the total array of money (wages, salary, commissions), incentives, benefits, perquisites, and awards provided by an organization to an individual Life and health insurance programs: Most organizations offer insurance at a cost far below what individuals would pay to buy insurance on Base Pay - the most important reward for work is the pay they receive. Obviously, money is important because of the their own. things it can buy, but as we just noted, it can also symbolize an employee’s worth. Pension or retirement plans: Most organizations offer plans to provide supplementary income to INCENTIVE SYSTEMS employees after they retire. incentive systems - plans in which employees can earn Perquisites - special privileges awarded to selected additional compensation in return for certain types of members of an organization, usually top managers performance Awards - employees receive awards for everything from Examples of incentive programs include the following: seniority to perfect attendance, from zero defects (quality work) to cost reduction suggestions. Piecework programs, which tie a worker’s earnings to the number of units produced flexible reward system - allows employees to choose the combination of benefits that best suits their needs Gain-sharing programs, which grant additional Participative pay systems - keeping with the current trend earnings to employees or workgroups for cost- toward worker involvement in organizational decision reduction ideas making, employee participation in the pay process is also Distributive fairness. John worked extra hours on a major increasing. project that helped Mitsubishi achieve record sales. However, when bonuses were given, he received the same Pay Secrecy - When a company has a policy of open salary amount as his colleagues who didn't contribute as much. information, the exact salary amounts for employees are What type of perception/fairness are shown in this example? public knowledge. Procedural Fairness. Carla applied for a promotion within Expatriate Compensation - another important issue in her company. After not getting the job, she received detailed managing reward system feedback from the hiring panel about how candidates were assessed. Since the process was transparent, and she knew the criteria, she accepted the decision and felt the hiring process was fair. What type of perception/fairness are shown in this example? Organizational Fairness. Sarah notices that her department manager only approves overtime for certain employees, despite the company having a clear policy stating that overtime should be equally available to all employees. What type of perception/fairness are shown in this example? Mood. The following are the structural components of attitude except Person – organization fit. An employee who shares the same ethical standards and beliefs as their organization is demonstrating: Person job fit. This refers to fit between a person's abilities THE EXPATRIATE COMPENSATION BALANCE SHEET and the demands of the job, and the fit between a person's desires and motivations and the attributes and rewards of a job Deter applicants. The goals of realistic job previews are the following except: God person job fit but poor person-group fit. An employee who excels at tasks required in their job but struggles to get along with their workgroup is likely experiencing: Person-job fit is likely to be strong when: An individual's abilities meet the requirements of the job. Employee Engagement. It is defined as heightened emotional and intellectual connection that an employee has for their job, organization, manager, or coworkers that, in turn, influences them to apply additional discretionary effort to their work. Conciousness. What big five personality dimension that has the biggest influence on job performance? The following are Top Drivers of Attraction for 18- to 24- Year-Olds except: Convenient work location Internal. After receiving a lower grade on an exam, Alex Organizations that ask employees to accept assignments believes that the result is a direct consequence of not in foreign locations usually must adjust their compensation studying enough. What locus of control is shown by Alex? levels to account for differences in cost of living and similar factors. Amoco uses the system shown here. The Affective Commitment. Chloe feels a strong connection to employee’s domestic base salary is first broken down into her company's focus on innovation in renewable energy. She the three categories shown on the left. Then adjustments are believes in the company's goals and feels proud to be a part made by adding compensation to the categories on the right of an organization that is making a difference. What type of until an appropriate, equitable level of compensation is organizational commitment is shown in this example? achieved. Observable learning. This type of learning style orientation has preference for external stimuli such as demonstrations REVIEWER ON CHAPTER 3 AND 4 and diagrams. Structured Learning. This type of learning style orientation uses strategies such as taking notes, writing down task steps, subjective assessments. Someone with high tolerance for ambiguity is more likely to: Enjoy diversity in perspectives and find uncertain situations stimulating Which of the following is most likely true of a person with high tolerance for risk? They are comfortable taking bold actions, even when success is uncertain Which of the following is a typical characteristic of a type A personality? Felt the pressure of time and often multitasks Assimulating. Which type of learner in Kolb's model focuses more on using logic to make decisions and prefers working alone rather than in teams? Concrete Experience. What stage in Kolb's learning cycle involves direct engagement in a task or experience? Diverging. Which Kolb learning style is best aligned with professions that require creativity and strong interpersonal skills, such as counseling? Converging. Which learning style is characterized by problem-solving and decision-making, combining Abstract Conceptualization and Active Experimentation? Stress. This refers to a person's adaptive. response to a stimulus that places excessive psychological or physical demands on that person. Burnout. This refers to a general feeling of exhaustion that develops when an individual simultaneously experiences too much pressure and has too few sources of satisfaction