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Study GuideLDR/531 Version 5

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Week 1 Study Guide: Evaluating Self and Others

Readings and Key Terms

Ch. 5 of Organizational Behavior

o Personalityo Myers-Briggs Type Indicator o Big Five Personality Modelo Valueso Person–job fito Person–organization fito International values


o Motivationo Job characteristics modelo Redesigning jobso Alternative work arrangementso Employee involvemento Pay structureo Benefitso Intrinsic rewards

Ch. 3 of Leadership in Organizations

o Types of leadership behavior o Methods of studying leadership behavioro Effects of task and relations behavioro Planning work activitieso Clarifying roles and objectiveso Monitoring operations and performanceo Supportive leadershipo Developing subordinate skillso Recognizing subordinates

Content Overview

Personality

o Personality can be defined as the sum total of ways in which a person acts and interacts with others

o Myers-Briggs – is used as a personality assessment instrument throughout the world

o The Big Five Personality Model – predicts how people react in a variety of situations

Extraversion Agreeableness Conscientiousness

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Emotional stability Openness to experience

o Other relevant personality traits

Core self-evaluation Machiavellianism Narcissism Self-monitoring Risk taking Proactive personality Other-orientation Values

Values – individual’s ideas about what is right, good, or desirable. These are mostly permanent and many stem from early years from parents, teachers, and so forth. Values can vary by generation—Babyboomers, Generation X, Generation Y, and so forth.

o Terminal values – what one wants to have accomplished in his or her lifetimeo Instrumental values – how one wants to have accomplished what he or she does in a lifetime

Person–job fit – a theory that revolves around six personality traits and is said to indicate how satisfied a person will be with his or her job and how likely her or she is to stay in it.

Person–organization fit – involves matching people’s values with the organization’s culture Values vary around the world depending on culture. Hofstede’s five value dimensions of national

culture describe ways they differ:

o Power distance – to what extent people accept that power is distributed unequally in organizations

o Individualism – belief in individual rights, preference to act as an individual versus as a groupo Collectivism – expects the group to which you belong to look after youo Masculinity versus femininity – separate roles for men and women with men dominating versus

men and women equal in all roleso Uncertainty avoidance – accepting of ambiguity versus preference laws or regulations to avoid ito Long-term versus short-term orientation – devoted to traditional values versus a focus on the here

and now

Motivation

o Job characteristics model

Five core job dimensions

o Skill variety – how much variety of activities does the job have?o Task identity – does the job result in a finished product or project or just a part of a

product or project?o Task significance – how much does the job affect others?o Autonomy – how much freedom or say does the worker have in the way the job is

completed?o Feedback – does the job itself let you know how you are performing it?

o Job redesign and alternative work arrangements can lower instances of routinization or burnout



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Job rotation – can reduce boredom, increase flexibility and avoid layoffs, increase training costs, and reduce productivity during adjustment

Job enrichment – the worker is more involved in planning, executing, and feedback; job enrichment can work best when compensates for poor feedback and reward systems

Flextime Job sharing Telecommuting

o Employee involvement can increase job satisfaction and productivity

Participative management – managers and subordinates share decision-making power Representative participation – small group of employees participates in organizational

decision making

o Pay

Often highest operating cost for organization. Higher pay usually results in attracting workers who are better trained, highly motivated, and

more loyal to the company. Variable pay is more popular now (piece rate, merit based, bonuses, profit sharing, employee

stock ownership), but that means pay fluctuates; however, it has been shown to increase productivity and profits.

Benefits: Flexible benefits have replaced the one-size-fits-all benefits packages of yesteryear due to the changing characteristics and needs of employees and their families

Leadership behavior

o Studying leadership behavior

No absolute correct set of behavior categories can be established. Each method has bias. Each method has somewhat different results.

o Types of leadership behavior

Leaders who exhibit task-oriented behavior have a concern for relationships (consideration for subordinates) and their main interests are fostering trust, cooperation, job satisfaction, and identifying with the team or organization.

Leaders who exhibit relations behavior show concern for task objectives (initiating structure) and their main interest is completing tasks efficiently. Subordinates are usually more satisfied with this type of leadership.

Leaders who exhibit change-oriented behavior are concerned about understanding the environment and adapting to it by changing strategies, products, or process.

Participative leadership (also called empowering or democratic leadership) involves giving subordinates power to make decisions that will affect the team or organization.

Transformational leadership (also called visionary or inspirational leadership) has some components of change and relationship-oriented leadership.

o Planning work activities

Planning work activities involves what to do, how to do it, who will do it, and when it will be done.

Planning often involves mostly thinking (cognitive), but can be seen in written agendas, budgets, and schedules.



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o Clarifying roles and objectives

Clarifying roles and objectives involves deciding who will do what, then sets goals for them, and assigns the specific duties.

Effective leaders clearly explain what must be done with clear instructions that include information on priorities of the task and goals or deadlines that need to be met. They also explain why the task is being done and ensures the subordinate understands the instructions and information provided.

o Monitoring operations and performance of subordinates

Measuring outcomes Checking against budgets and plans Progressive reviews, asking questions Observing operations Encouraging reporting of mistakes or problems Taking what is gleaned to provide further guidance

o Supportive leadership

Leaders who are considerate of other’s needs and feelings earn people’s trust, loyalty, and even friendship.

Studies indicate supportive leaders usually have more satisfied subordinates who have fewer issues with absenteeism, turnover, or alcoholism or drug abuse.

Subordinate stress levels can be reduced and self-confidence can rise under a supportive leader.

o Developing subordinates can be achieved by helping them to find ways to improve. Providing job- related and career coaching or pairing them with a peer or a mentor and encouraging training can be helpful. Show patience and concern for their development. Provide opportunities for visibility in the organization.

o Praise and recognition of employees for a variety of reasons can boost morale and loyalty. Praise or recognition should be specific, timely, appropriate, not overused, and not limited to a few or those who are most visible.

Recognizing – praise, awards, recognition ceremonies Praise is the easiest and most underused by many managers – involves oral comments,

expressions, or gestures acknowledging accomplishments and is often given in private Awards – certificates, letter of recommendations, plaques, trophies, medals



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Week 2 Study Guide: Theories of Leadership



o Leader versus managero Measure leader effectivenesso Approaches to leadership


o Contingency theories and adaptive leadershipo Situational variableso Adaptive leadershipo Managing immediate crises


o Charismatic and transformational leadershipo Charismatic leadership definitiono Charismatic leader traits and behaviorso Positives associated with charismao Negatives associated with charismao Transformational leadership

Ch. 12 of Organizational Behavior as a supplemental reading

o Difference between leadership and managemento Big Five personality frameworko Difference between trait and behavioral theorieso Trust and ethics in effective leadershipo Tests and interviews to identify people with leadership qualities.o Leadership trainingo Mentoring

Content Overview

Types of leadership

o Leadership involves influencing others to collaborate and agree on how to complete tasks or projects.

Specialized role – involves having one leader and more followers Shared influence consists of many leaders in charge of different processes that affect the group

o Leader versus manager



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A person can lead without being a manager; a manager can manage without being a leader. Managers often value stability, order, efficiency, are impersonal, risk averse, and are focused on the short term. Leaders often value flexibility, innovation and adaption, care about people and the economic outcomes, have a long-term focus, motivate, and create favorable work conditions.

Leader effectiveness is often measured by how goals such as sales and net profits are met. Followers view leaders as satisfying their needs and usually respect, admire, and trust leaders.

Approaches to leadership

o Trait – pertains to personality, motives, values, and skillso Behavior – pertains to what managers actually do on the jobo Power-influence – pertains to the influence processes used by managerso Situational – pertains to outside factors that influence leadership processes (nature of the work,

type of organization, and so forth)o Integrative – involves more than one approacho Leadership theory comparison

Intra-individual – involves examining roles, behaviors, and decision styles Dyadic – examines relationship between leader and subordinate Group processes – focuses on leaders’ influence on team performance Organizational processes – focuses on how a leader adapts to the environment and acquires resources necessary to complete tasks Multilevel – involves application of more than one theory Leader-centered versus follower-centered – extent to which a theory is focused either on a leader or a follower Descriptive – explains leadership processes, describes the typical activities of leaders, and explains why certain behaviors occur in particular situations Prescriptive – specifies what leaders must do to become effective and identifies any necessary conditions for using a particular type of behavior effectively Universal or contingency – describes some aspect of leadership that applies to all types of situations

Contingency theories and adaptive leadership – different situations and different subordinate characteristics can influence leadership effectiveness.

o Adaptive leadership is necessary when leaders must be more flexible and adaptive to their situation.

o Managing immediate crises—managers should anticipate problems, recognize early warning signs, and have a prepared plan of action for dealing with them.

Charismatic leaders

o Charismatic leaders are rare and are often found in new organizations or those in need of change where previous authority has failed, especially in dealing with a severe crisis.

o Followers perceive them as extraordinary, identify with them on a personal level, and are extremely loyal. Charismatic leaders may be targets of extreme measures such as assassination in order to remove them from their positions.



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Some positives associated with charismatic leaders are that organizations under their leadership perform at a high level, communication is open, and followers are empowered.

Some negatives of charismatic leaders are that followers may lose sight of important factors due to their awe of the leader and may deny problems or failures and overlook the need for a successor.

Transformational leadership involves inspiring, developing, and empowering followers. Transformational leaders often empower followers and encourage independence by delegating

authority to individuals or teams. Transformational leaders use a rewards or incentive system to motivate followers and punish those who deviate from performance standards.

Guidelines for inspirational/transformational leadership

o Articulate a clear and appealing vision. o Explain how the vision can be attained. o Act confident and optimistic. o Express confidence in followers. o Use dramatic, symbolic actions to emphasize key values. o Lead by example” (Yukl, 2013, p. 332).o Research on transformational and inspirational leadership – surveys such as the Multifactor

Leadership Questionnaire, laboratory and field experiments, analyses of leader descriptions such as biographical studies and intensive case studies



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Week 3 Study Guide: Communication and Group Behavior



o Definition of groupo Five stages of group developmento Role requirementso Group normso Group statuso Group size effecto Diversity of groupso Group decision makingo Group decision-making techniques


o Work teamso Differences between groups and teamso Types of teamso Successful teamso Hiring teamso Training teamso Rewarding teamso Individual versus team efforts


o Communicationo Function of communicationo Communication processo Formal and informal communicationo Downward, upward, lateral communicationo Communication challengeso Electronic communicationo Managing information


o Conflicto Conflict processo Negotiationo Bargainingo Negotiation processo Personality and gender effectso Third-party negotiations




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o Team leadership behavioro Leading functional teamso Leading cross-functional teamso Leading self-managed teamso Team-building activities o Leading effective teams

Content Overview

Group behavior

o Groups are two or more people working together formally, informally, or socially to achieve a goal or complete a project.

o Groups typically go through five stages in their life -- forming, storming, norming, performing, adjourning—The Five-Stage Model).

o Groups are formed because people identify with each other on a social level or perceive themselves and others who are like-minded as superior to others.

o Groups tend to have established rules or standards and status inequities.o The impact of group size on a group’s performance depends on the type of task; for example,

larger groups are often less satisfying due to less opportunity for participation and higher possibility of conflict.

o Diversity can help group performance or hurt it depending on the situationo Group decision making

Pluses – members’ different ideas and experiences result in more complete information to work with Minuses – pressures to conform (groupthink), domination by one or a few members, unclear accountability or responsibility, and so forth

o Group decision-making techniques

Interacting, usually face-to-face Brainstorming – throwing out any idea is ok and all are entertained before determining the best few or best one Nominal – members meet face-to-face to pool their judgments Electronic – members interact on computers; member votes and comments are more anonymous

Work teams

o Teams have become so popular in the last several decades because of the following:

Can be more flexible in response to change Can better use employee talents Can be motivating Can lead to a more democratic workplace

o Difference between groups and teams

Work group – shares information to help each member perform better in their area Work team – final result or output is better than any one individual would have produced



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o Types of teams

Problem-solving teams Self-managed work teams Cross-functional teams Virtual teams

o The following makes teams successful from the organization standpoint:

Adequate resources Leadership and structure Climate of trust Performance evaluation and reward systems

o The following makes teams successful from a member standpoint:

Abilities of members Personality of members Allocation of roles Diversity of members

o Size of teams in team success: small is better – less than 10 (5–9 members is best range).o Team processes: Effective and successful teams have a common purpose, specific team goals,

are able to manage conflict effectively from within, and experience minimal social loafing—no coasting. Hiring successful team members: Managers should not focus solely on hiring those with technical expertise, but on those who also exhibit an ability to work with others and see different points of views.Training successful team members by the following:

Training and workshops can help employees learn good team skills. Managers must learn skills that focus on team building in addition to their independent responsibilities in the organization.

o Rewarding teams

Rewards for those who exhibit cooperation rather than competition Promotions, pay raises, and other forms of recognition of effective team members

o Individual versus team efforts: Must be able to recognize when teams are not the answer in an organization.

Benefits must exceed the costs. Individuals are best at simple tasks that do not require diverse input or ideas. Teams are best for the following reasons:

Has a common purpose or goals for the people in the group Is more than just a compilation of unrelated separate parts from each

individual member



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Communication – method to transfer and convey information and share meaning

o Communication in organizations controls behavior, clarifies information or directions, expresses emotion, and facilitates decision making by providing information.

o Communication process—message is sent to a receiver who decodes it and then provides feedback as to how well or how accurately the information was received.

o Noise can cause distortion of the message or information and could result in inaccuracies. Noise could include cultural differences, word choice, information overload, and so forth.

o Formal channels of communication are more rule based and follows the chain of command in the organization.

o Informal channels of communication are more spontaneous and often more personal. o Downward communication involves information flowing from upper levels of an organization to

lower levels such as an e-mail from upper management to all employees to explain policies.o Upward communication is the opposite of downward communication and involves lower level

employees sending communication to upper level ones such as progress reports and so forth.o Lateral communication is between employees or managers at the same level usually to save time

and coordinate activities.o Types of communication:

Oral such as presentations Written such as manuals, memos, and so forth Nonverbal such as body language or gestures

o Formal small-group networks

Chain Wheel All-channel

o Electronic communication

E-mail Text messaging or instant messaging (IM) Social networking such as Facebook, LinkedIn Blogs (web logs) and Twitter (considered a microblog or hybrid blog/social networking tool) Video conferencing

o Communication management involves dealing with information overload, security and automatic or controlled processing, and so forth. Review from the “Managing Information” section to “A Cultural Guide” section in Ch. 11 of Organizational Behavior. Common barriers to effective communication:

Filtering Selective perception Information overload Emotions Language Silence Communication apprehension Lying



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o Conflict – “a process that begins when one party perceives another party has, or is about to negatively affect, something the first party cares about” (Robbins & Judge, 2013, p. 447).

Conflict can result from problems in interpersonal relationships and differing opinions related to work processes or goals, and it can hinder workplace productivity. Transitions in conflict thought – the traditional view of conflict, the interactionist view of conflict, and resolution-focused view of conflict. The five stages of conflict include incompatibility, personalization, intentions, behavior, and outcomes—review “The Conflict Process” section in Ch. 14 of Organizational Behavior. Conflict management techniques include problem solving, avoiding, smoothing, and so forth. Review Exhibit 14-4: Conflict Management Techniques in Ch. 14 of Organizational Behavior.

o Negotiation – “a process that occurs when two or more parties decide how to allocate scarce resources” (Robbins & Judge, 2013, p. 458).

o Types of negotiation include various kinds of bargainingo Five steps of negotiation:

Preparation and planning Definition of ground rules Clarification and justification Bargaining and problem solving Closure and implementation

o Personality traits, moods, emotions, gender, and culture affect negotiations.o Objective third parties such as mediators, arbitrators, and conciliators can help parties negotiate

and reach an agreement.

Leadership in teams requires specific types of leadership behavior and processes:

o Building commitment for shared objectiveso Identifying effective performance strategies and organizing team activitieso Enhancing member skills and role clarityo Building mutual trust and cooperationo Identifying and procuring needed resourceso Maintaining confidence and optimismo Facilitating external coordinationo Functional and cross-functional teams usually require a strong and powerful leadero Self-managed teams have no formal leader and all members share leadershipo Virtual teams communicate via technology and members work remotely from different locationso Team-building activities often focus on commonalities, cooperation or group identification, such

as the following:

Ceremonies and rituals Using symbols to develop group identification Facilitating social interaction among members Sharing group activities and achievements Process analysis sessions

o To have effective groups, it is important that group leaders do the following:

Have a sense of proper timing



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Are not too passive or too domineering Are unbiased when presenting issues or problems to be solved Encourage alternative viewpoints Allow for brainstorming Have a clear and formal system for evaluating ideas and solutions



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Week 4 Study Guide: Motivation and Satisfaction



o Attitudeso Behavioro Job attitudeso Job satisfaction


o Emotionso Moodso Emotional laboro Emotional intelligenceo Emotion regulationo Application

Ch. 7 of Organizational Behavior o Motivationo Key elementso Theories

Ch. 5 of Organizational Behavior.

o Measuring and determining personalityo Myers-Briggs Type Indicator (MBTI)o Big Five personality traitso Values


o Job characteristics modelo Redesigning jobso Alternative work arrangementso Employee involvement programso Variable payo Flexible benefitso Intrinsic rewards

Content Overview

Attitudes

o How one perceives others, things, and situationso Comprised of thoughts and emotions or feelingso Effects how you act



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o Sometimes you rationalize or adjust either your behavior or your attitudes to fit the situation or because there is pressure to

Job attitudes

o Job satisfaction – you feel either positively or negatively about your jobs – often measured via questionnaires or surveys

o Job involvement – you feel you play an important role in the company and your job matterso Organizational commitment – a belief in what the organization stands for, its mission and values,

which leads to an attachmento Perceived organizational support – the organization cares about you and supports youo Employee engagement – a connection or enthusiasm for the work

Managers should be interested in employee job satisfaction because of the following:

o Unsatisfied workers will either look for a new job, try to make things better, wait for things to get better or let things get worse, and then miss work or perform poorly because of worsening conditions.

o Satisfied workers will do better quality work, which results in a more effective organization, will not be absent as much, and are less likely to quit or exhibit deviant behavior, such as stealing.

o Workers who perceive the organization and their coworkers as helpful, will in return, be helpful and provide quality customer service, which results in increased customer satisfaction.

Emotions – no way to have an emotion-free organization

o Emotions such as anger, envy, fear, and so forth “are intense feelings directed at someone or something” (Robbins & Judge, 2013, p. 98) and have been shown to be a critical part of rational thinking and ethics.

o Moods such as sad, happy, and so forth can be affected by personality, time of day, weather, and so forth.

o Emotional labor is the game face you put on at work even if you do not feel good or are in a poor mood. This can lead to exhaustion and burn out from having to act all the time

o Emotional intelligence (EI) is an ability to read your own and other people’s emotions, understand what they mean, and the ability to adjust your own emotional state accordingly. Although it is difficult to measure, it is thought that people who have EI often make better decisions.

o Emotional regulation is the ability to adjust your emotions so they are more appropriate or acceptable in a particular situation. An example is cheering yourself up by taking part in a particular activity.

o Managers who consider EI, moods, emotions, and so forth when hiring and distributing work responsibilities, and who attempt to make a happy work environment have more satisfied workers. As a result, workers and the organization will experience increased productivity, effectiveness, and customer satisfaction.

Motivation theories attempt to explain and predict employee behavior or actions such as turnover, absenteeism, and so forth.

o Early theories of motivation

Hierarchy of Needs Theory – states that behavior is based on people’s needs:

o Physiologicalo Safety



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o Socialo Esteemo Self-actualization

Theory X and Theory Y Two-factor theory

o Self-determination theory and cognitive evaluation theory – based on rewards and indicates sometimes rewards can be demotivating if viewed as controlling

o Goal-setting theory – states challenging goals may increase employee productivityo Self-efficacy theory – states an individual’s belief he or she can perform a tasko Reinforcement theory – states that rewards encourage good performanceo Equity theory/organizational justice – involves the employees’ perception of whether the

organization treats them fairly or noto Expectancy theory – considers that employees have expected outcomes



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Week 5 Study Guide: Opportunities for Strategic Change



o Organization structureo Bureaucracyo Matrixo Virtualo Boundarylesso Mechanistico Organico Behavioral implications


o Organizational cultureo Factorso Transmissiono Ethicalo Positiveo Spiritualo National


o Changeo Plannedo Unplannedo Resistanceo Managing changeo Cultureo Stress


o Changeo Stageso Diagnosiso Resistanceo Visiono Implementation

Ch. 3 of The Strategy Process

o Formulating strategyo Choice



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o Opportunitieso Evaluation


o Strategy analysiso Decisionso SWOTo Ruleso Listo Positioning

Content Overview

Organizational structure – determines how the jobs are coordinated

o Refer to Exhibit 15-1 in Ch. 15 of Organizational Behavior:

Work specialization Departmentalization Chain of command Span of control Centralization and decentralization Formalization

o Simple structure – flat organization with only very few levels in the hierarchyo Bureaucracy – uses formal rules and regulations, jobs are grouped by specialties, and the control

comes from the top from one person or just a fewo Matrix – employees report to more than one manager, one oversees their function, and one

oversees their producto Virtual – outsources most of the work by using freelancers, contract workers, and so fortho Boundaryless – empowers teams instead of using traditional managers; employees from all levels

of the company participate in decision makingo Mechanistic and organic approaches to organizational structure – Review Exhibit 15-8 in Ch. 15

of Organizational Behavioro Difference in structures – organizational strategy, organizational size, technology, and

environmento Preferences vary when it comes to organizational structure. Some thrive in bureaucracies, for

example, while others prefer a matrix or boundaryless organization. What works for one organization may not work for another.

Organizational culture – what sets apart one organization from another can involve the way innovation, risk taking, attention to detail, and so forth are handled. This manifests itself through rituals, symbols, and language used.

o Culture determines the norms for how people in the organization act, what they say and do, how they dress, and so forth.

o Managers can create an ethical culture by letting everyone know what the expectations are when it comes to ethics, providing training, by punishing those who act unethically, and by being a role model.



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o Recognizing and encouraging employee strengths, praising, and fostering employee growth builds a positive organizational culture; however, positive culture is not as valued by other cultures as it is in the United States.

o Spirituality – Organizations must realize employees have an inner-self and values that bring them satisfaction as much as or more than their work does, and that work results in a connectedness between employees. Employees look for and expect a purpose to what they do and what their organization does.

o Organizations must be culturally sensitive when doing business with or expanding to other parts of the globe. What works culturally within one organization may not translate well in an organization in another country.

Organizational change

o The economy, the world political situation, technology, competition, and so forth, all cause organizations to change to adapt to the environment.

o Some change is planned and other change just occurs naturally or accidentally without anyone planning ahead for it.

o Change consists of several stages that must not be hurried. These include freezing, unfreezing, changing, and refreezing.

While there are many reasons people resist change within organizations, some reasons are they feel insecure or unsafe due to the unknowns, they are uncomfortable because old habits are easier than creating new ones, and they are afraid they may not have the ability or knowledge to do things differently.

Managing change

o To solve a problem, a diagnosis is first necessary. Before implementing any change, leaders should systematically consider complex relationships, unintended consequences, how to overcome resistance, and so forth.

o Leaders should have a strong vision of what they would like the organization’s future to look like and be sure that the end justifies the means.

o For managers and organizations to successfully implement change, there must be a clear description and education about the change and it should be communicated clearly by trusted individuals.

o Leaders should consider several actions, including using teams and coalitions, monitoring progress, and celebrating successes along the way.If possible, to create buy-in, workers should participate in the decisions related to change.

o Providing training, therapy, or leaves of absence can help workers adapt to change.o Lewin’s Three-Step Change Model – see Exhibit 18-3 in Ch. 18 of Organizational Behavior.

Kotter’s Eight-Step Plan for Implementing Change – see Exhibit 18-5 in Organizational Behavior.Leaders should find ways to ensure the organization is innovative and involves learning. This can be achieved in many ways such as through research and joint ventures. Managers can create a culture in their organizations that will not fear change or be surprised by it, but will take it on willingly and with pleasure. Organizations can create this kind of culture by doing the following:

Being flexible. Having long-term, trusted management share their expertise and experience. Being lean – up with unique ideas for using the resources available. Blurring the lines between departments—using cross-functional teams, committees, and so forth.

o Stress in the workplace



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Is inevitable Can be a positive if associated with work that is perceived as a positive challenge and can energize employees to work better Negative – too much stress causes productivity to decline Managers may consider how to help alleviate worker stress such as job redesign, corporate wellness programs, sabbaticals, and so forth.

Strategy o Strategy is how an organization plans to meet its business, social, economic, shareholder,

customer, and employee needs or expectations and make its vision and mission come to fruition. In a nutshell, it is the decisions that drive an organization to do all it does.

o Strategy consists of a mix of decisions that connect to each other. Review Figure 1 in Ch. 3 of The Strategy Process.

o Strategy comes from leaders using the SWOT analysis (strengths, weaknesses, opportunities and threats), weighing opportunities and risks associated with the environment, technology, economics, political climate, and so forth.

o Once a choice is determined, leaders must consider the organization’s strengths and weaknesses to see if the organization is capable of carrying out the strategy.

o Strategy evaluation – general principles:

Consistency Consonance Advantage Feasibility

o Matching opportunities to the organization’s competencies can help leaders evaluate which opportunities are viable and which are not, based on the money and people the organization has at its disposal.

o Threats to strategies should be thoroughly evaluated before they are implemented and analysts must understand no two organizations are the same—focus can easily shift away from the goals and objectives, and conflict easily arises.

o Leaders should consider the objectives, policies, plans, and results before moving forward with a strategy.

o For a strategy to be considered sound, it must be consistent, adaptable to changes in the environment, should put the organization at a competitive advantage over competition, and be doable without causing undue financial or other hardship on the organization.

o Managers should look beyond the SWOT analysis at value (involves resources and capabilities to safely reach its goals), rareness (competitors already doing the same thing with the same resources), imitability (cheaper and easier for others to do the same thing without the same work and the outlay), organization (everything is in place to easily and successfully carry out the plan).

o Organizations should be cooperative with the competition. However, they should not forget to make it known what they are capable of or what might happen if the competition does not cooperate (idle threat that would not be carried out, but the competition is not sure of that).

o Rules for the strategist – review Reading 4.4 in Ch. 4 of The Strategy Process.o Porter’s list of generic strategies – review Reading 4.5 in Ch. 4 of The Strategy Process.o There is a long list of ways leaders can position strategies so they achieve the organization’s

desired outcomes – review Reading 4.6 in Ch. 4 of The Strategy Process.



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Week 6 Study Guide: Leading Organizational Change



o Powero Sexual harassmento Politicso Behavior


o Top-down changeo Bottom-up changeo Converging changeo Frame-breaking changeo Logical incremental process

Content Overview

Power

o “Power refers to a capacity that A has to influence the behavior of B so B acts in accordance with A’s wishes” (Robbins & Judge, 2013, p. 412).

Formal power Personal power

o Causes of dependence: importance, scarcity, nonsubstitutability

Power tactics

o Nine distinct influence tactics:

Legitimacy Rational persuasion Inspirational appeals Consultation Exchange Personal appeals Ingratiation Pressure Coalitions

o Soft tactics – personal and inspirational appeals, as well as rational persuasion and consultation o Hard tactics – exchange, coalitions, and pressure



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Political behavior

o Includes behaviors such as the following:

“Withholding key information from decision makers Joining a coalition Whistleblowing Spreading rumors Leaking confidential information to the media Exchanging favors with others for mutual benefit Lobbying on behalf of or against a particular individual or decision alternative” (Robbins & Judge, 2013, p. 424).

o Contributing factors: Review Exhibit 13-3 in Ch. 13 of Organizational Behavior.

Conflict over the allocation of limited resources, such as departmental budgets, space, project responsibilities, and salary adjustments Individual – high self-monitors, internal locus of control, high Mach personality, and so forth Organizational – reallocation of resources, promotion opportunities, low trust, and so forth Politicking

Comprehensive change

o Top-down change: Review Figure 2: Transformational Leadership: A Three-Act Drama described by Tichy and Sherman (1993 in Ch. 6 in The Strategy Process.

Awakening Envisioning Rearchitecturing

o Bottom-up change: Review Box 1: “Six Steps to Effective Change” for managers at the business unit or plant level in Ch. 6 of The Strategy Process.

o Periods of convergence

Converging change: fine-tuning Converging change: incremental adjustments to environment shifts

Organizational momentum

o Organizational structures and employees work together over time and become comfortable – everyone knows how to do what must be accomplished and things work smoothly.

Pros – develops organization history that explains this is how you do it and why you do it this way Cons – can become too comfortable, resistant to change, and not watch for external threats

Frame-breaking change



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o Leading forces

Industry discontinuities Product life cycle shifts Internal company dynamics

o Scope

Reformed mission and core values Altered power and status Reorganization Revised interaction patterns New executives

Incremental process

o Integrating the strategy

Concentrating on a few key thrusts Coalition management


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