module 3:
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Module 3:. Improving Productivity and Increasing Profitability. Agenda for Module 3. Rational Goal Model. Assumptions and Goals Paradoxes Competencies. Rational Goal Model Assumptions and Goals. Criteria of effectiveness Means-ends theory Action imperative Emphasis Culture. - PowerPoint PPT PresentationTRANSCRIPT
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Module 3:
Improving Productivity and Increasing Profitability
1Quinn et al., (2011). Becoming a Master Manager: A Competing Values Approach, 5th edition Module 3: Improving Productivity and Increasing Profitability
Collaborate
Create
Compete
Control
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Agenda for Module 3
• Assumptions and Goals• Paradoxes• Competencies
Rational Goal Model
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Rational Goal Model Assumptions and Goals
1. Criteria of effectiveness
2. Means-ends theory
3. Action imperative
4. Emphasis
5. Culture
1. Profitability and productivity
2. Clear direction leads to productive outcomes
3. Compete4. Goal clarification,
rational analysis, action taking
5. Market
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Paradoxes of Competing Leaders need to:
• provide vision and still be open to participation
• measure to ensure goal accomplishment without spending too much time measuring things instead of working toward goals
• move ahead quickly and still make sure all relevant facts are considered
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Compete Core Competencies
• Developing and Communicating a Vision
• Setting Goals and Objectives
• Motivating Self and Others
• Designing and Organizing
• Managing Execution and Driving for Results
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Managers who focus on rational goals and analysis…
• provide a vision that both inspires followers and justifies the organization’s existence
• identify specific steps needed to achieve the vision
• generate energy to pursue the vision• create structures and design jobs for optimum
effectiveness• emphasize outcomes over effort
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Quinn et al., (2011). Becoming a Master Manager: A Competing Values Approach, 5th edition Module 3: Improving Productivity and Increasing Profitability
Primary Tensions
EXTERNAL FOCUS
FLEXIBILITY
STABILITY
INTERNAL FOCUS
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Developing and Communicating a Vision
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Processes for Formulating a Vision
• Frame the vision to focus attention– What should we do? What should we NOT do?
• Make a case for change– Why is the vision better than the status quo?
• Identify ideal goals– What standard of excellence will motivate action?
• Focus on people– Who has to make the vision a reality?
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Articulating and Communicating
• Strategic Organizational Philosophy
• Tactical Policies and Practices
• Personal Values and Aspirations
VISION
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Who do You See?
Visionary Leaders
How do they demonstrate the four action imperatives?
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?Collaborate
Create
Compete
Control
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Setting Goals and Objectives
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The Goal Setting Process
• Formulate specific objectives and due date• Identify specific steps to be taken• Schedule start and completion dates• Develop a budget for resources needed• Estimate milestone achievements• Establish implementation mechanism• Set standards for evaluating performance
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Cascading Goals Through the Organization
Superordinate Goals
Individual
TeamBusiness Unit
Enterprise
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Gaining Strategic Unity and Alignment
1. Have a motivating and compelling vision, inspiring values, and clear strategic intent
2. Ensure vision, values, and strategic intent are understood and owned throughout the firm
3. Ensure goals and actions are aligned across all units, teams, and individuals
4. Have the knowledge, skills, and mind-set needed to execute the strategy, live the values, and achieve the vision
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Performance Management Systems
• Translation of vision to unit goals
• Joint establishment of individual goals
• Ongoing coaching and feedback
• Evaluation of performance
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To Be Effective, Goals Should Be…
Specific
Measurable
Attainable
Relevant
Time-bound
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Motivating Self and Others
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Content Theories of Motivation
• Basic needs for survival and safety can be met with extrinsic rewards
• Affiliation needs call for intrinsic feelings of belonging that result from relationships with other people
• Esteem and power needs call for symbols of status and importance and an ability to influence
• Achievement, growth, and self-actualization needs call for activities that are intrinsically rewarding and require our best efforts
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Process Theories of Motivation
• Equity theory– Social comparisons can be de-motivating!
• Job characteristics model– Skill variety, Task identity, Task Significance, Autonomy,
Feedback
• Goal setting theory– SMART goals that are challenging– Tasks that provide interim performance feedback
• Expectancy theory … to be continued
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Expectancy Theory The Employee’s Perspective
Effort
Performance
Outcomes
E to P: Can I really do it?
P to O: If I do it, what will happen?
Valued Outcomes: How much do I want these outcomes?
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Expectancy Theory The Employer’s Perspective
Effort
Performance
Outcomes
E to P: How can I build up her confidence?
P to O: How can I convince her she’ll be rewarded?
Valued Outcomes: What can I offer her that she really wants?
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Be a Positive Pygmalion
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Empowerment
• Meaning• Competence• Self-Determination• Impact
Management
Employee
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Employee Engagement
EngagedNot
EngagedActively Disengaged
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Designing and Organizing
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Concepts and Principles of Structure
• Division of Labor and Specialization• Hierarchy and Lines of Authority– Span of control– Unity of command– Scalar chain
• Standardization and Formalization• Decision-making Authority– Centralization v. Decentralization
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Structural Tensions
Mechanistic Archetype
Organic Archetype
The more complex and turbulent the external
environment, the greater the need for a more organic structure
and design
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Differentiation & Integration
Orientations for Differentiation
• Time
• Goal
• Interpersonal
Mechanisms for Integration
• Rules & procedures• Hierarchical referrals• Plans• Liaison roles• Task forces• Inter-unit teams• Matrix structure
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Departmentalization
• Function• Division– Product or
Service– Process– Customer– Region
• Matrix
Big Boss
Assistant
? ? ?
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Galbraith’s Star Model
Strategy
StructureProcesses
Rewards People
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CVF Culture
Clan
MarketBureaucracy
Adhocracy
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Managing Execution and Driving for Results
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Core Processes of Execution
• People– Evaluate the people– Design the pipeline– Populate the pipeline
• Strategy– What should we do?– How should we do it?
• Operations– Outline the path to the results– Budget based on the operations plan
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Individual Execution – Make the Most of Your Time
Record
Manage
Consolidate