Margins Study Assistant

Chapter 1

Management and Organizational Behavior

Summary

Here are some excerpts from his book Working . These questions may be answered from several perspectives. Perhaps one of the best ways to understand how people feel about their jobs is simply to ask them. A number of years ago Chicago writer Studs Terkel did exactly that.

Key terms

Management: The process of planning, organizing, directing, and controlling the activities of employees in combination with other resources to accomplish organizational objectives
Organizational behavior: The study of the actions and attitudes of individuals and groups toward one another and toward the organization as a whole
Work: All activity involving mental or physical effort done in order to achieve a purpose or result
Theory: A set of principles on which the practice of an activity is based
Alienation: The experience of being isolated from a group or an activity to which one should belong, or in which one should be involved
Organization theory: The study of organization designs and organization structures, relationship of organizations with their external environment, and the behavior of managers and workers within…
Organizational design: A formal methodology that identifies dysfunctional aspects of workflow, procedures, structures and systems, and then realigns them to fit current business goals and develops…
Organizational processes: The activities that establish the business goals of the organization and develop processes , product and resource assets that when used will help to achieve business goals

Chapter 2

Individual and Cultural Differences

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Summary

As we can see in the example of Cathie Mahon, our unique personal characteristics can have a dramatic influence on both individual behavior and the behavior of those around us. To succeed in any managerial position, it is necessary to have the appropriate skills and abilities for the situation. Moreover, when selecting subordinates, managers have similar concerns. In short, individual differences can play a major role in how well someone performs on the job.

Key terms

Basic incongruity thesis: Consists of three parts: what individuals want from organizations, what organizations want from individuals, and how these two potentially conflicting sets of desires are…
Locus of control: Refers to the tendency among individuals to attribute the events affecting their lives either to their own actions or to external forces; it is a measure of how much you think…
Mental abilities: An individual’s intellectual capabilities and are closely linked to how a person makes decisions and processes information. Included here are such factors as verbal…
Work ethic: Refers to the strength of one’s commitment and dedication to hard work, both as an end in itself and as a means to future rewards
Dogmatism: Refers to a particular cognitive style that is characterized by closed-mindedness and inflexibility
Dependability: Individuals who are seen as self-reliant, responsible, and consistent, are viewed as dependable
Psychomotor abilities: Examples are manual dexterity, eye-hand coordination, and manipulation skills
Cognitive complexity: Represents a person’s capacity to acquire and sort through various pieces of information from the environment and organize them in such a way that they make sense

Chapter 3

Perception and Job Attitudes

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Summary

By perception , we mean the process by which one screens, selects, organizes, and interprets stimuli to give them meaning. Perception does not necessarily lead to an accurate portrait of the environment, but rather to a unique portrait, influenced by the needs, desires, values, and disposition of the perceiver. As described by Kretch and associates, 2 an individual’s perception of a given situation is not a photographic representation of the physical world; it is a partial, personal construction in which certain objects… This process is called perceptual selectivity .

Key terms

Attitude: A predisposition to respond in a favorable or unfavorable way to objects or persons in one’s environment
Perception: The process by which one screens, selects, organizes, and interprets stimuli to give them meaning
Perceptual selectivity: Refers to the process by which individuals select objects in the environment for attention
Cognitive consistency: The need for behavioral justification to ensure that a person’s behaviors are consistent with their attitudes toward an event
Cognitive dissonance: Finding one’s self acting in a fashion that is inconsistent with their attitudes and experiencing tension and attempting to reduce this tension and return to a state of cognitive…
Perceptual defense: A defense that perceives emotionally disturbing or threatening stimuli as having a higher recognition threshold than neutral stimuli. Such stimuli are likely to elicit substitute…
Perceptual organization: When meaning has been attached to an object, individuals are in a position to determine an appropriate response or reaction to it
Behavioral justification: The need to ensure that one’s behaviors are consistent with their attitudes toward the event

Chapter 4

Learning and Reinforcement

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Summary

That is, a person is said to have learned something when they consistently exhibit a new behavior over time. This change does not necessarily have to be an improvement, however, and can include such things as learning bad habits or forming prejudices. Learning may be defined, for our purposes, as a relatively permanent change in behavior that occurs as a result of experience. Several aspects of this definition are noteworthy.

Key terms

Reinforcement: Anything that causes a certain behavior to be repeated or inhibited
person: said to have learned something when they consistently exhibit a new behavior over time
Habit: The experienced bond or connection between stimulus and response
Classical conditioning: The process whereby a stimulus-response bond is developed between a conditioned stimulus and a conditioned response through the repeated linking of a conditioned stimulus with an…
Drive: An internal state of disequilibrium; it is a felt need. It is generally believed that drive increases with the strength of deprivation
Law of effect: States that of several responses made to the same situation, those that are accompanied or closely followed by satisfaction (reinforcement) will be more likely to occur; those…
Unconditioned response: From classical conditioning, a response to an unconditioned stimulus that is naturally evoked by that stimulus
Self-regulation: The belief that individuals are capable of self-control if they want to change their behavior

Chapter 5

Diversity in Organizations

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Summary

The term managing diversity is commonly used to refer to ways in which organizations seek to ensure that members of diverse groups are valued and treated fairly within organizations 2 in all areas including hiring… 3 Inclusion , which represents the degree to which employees are accepted and treated fairly by their organization, 4 is one way in which companies demonstrate how they value diversity. The term valuing diversity is often used to reflect ways in which organizations show appreciation for diversity among job applicants, employees, and customers. Diversity refers to identity-based differences among and between two or more people 1 that affect their lives as applicants, employees, and customers.

Key terms

diversity: Identity-based differences among and between people that affect their lives as applicants, employees, and customers
managing diversity: Ways in which organizations seek to ensure that members of diverse groups are valued and treated fairly within organizations
term managing diversity: commonly used to refer to ways in which organizations seek to ensure that members of diverse groups are valued and treated fairly within organizations 2 in all areas incl
inclusion: The degree to which employees are accepted and treated fairly by their organization
term valuing diversity: often used to reflect ways in which organizations show appreciation for diversity among job applicants, employees, and customers
identity group: A collective of individuals who share the same demographic characteristics such as race, sex, or age
access discrimination: A catchall term that describes when people are denied employment opportunities because of their identity group or personal characteristics such as gender, race, or age

Chapter 6

Perception and Managerial Decision Making

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Summary

Stakeholders are all the individuals or groups that are affected by an organization (such as customers, employees, shareholders, etc.) Decision-making is the action or process of thinking through possible options and selecting one It is important to recognize that managers are continually making decisions, and that the quality of their decision-making has an impact—sometimes quite significant—on the effectiveness of the organization and its… Members of the top management team regularly make decisions that affect the future of the organization and all its stakeholders, such as deciding whether to pursue a new technology or product line.

Key terms

Stakeholders: Individuals or groups who are impacted by the organization. These include owners, employees, customers, suppliers, and members of the community in which the organization is located
Decision-making: The action or process of thinking through possible options and selecting one
Heuristics: Mental shortcuts that allow a decision maker to reach a good decision quickly. They are strategies that develop based on prior experience
Process conflict: Conflict about the best way to do something; conflict that is task-oriented and constructive, and not focused on the individuals involved
Relationship conflict: Conflict between individuals that is based on personal (or personality) differences; this type of conflict tends to be destructive rather than constructive
Programmed decisions: Decisions that are repeated over time and for which an existing set of rules can be developed

Chapter 7

Work Motivation for Performance

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Summary

This includes the goals (outcomes) the person is expected to achieve and the process by which the goals will be achieved. An employee who has accurate role perceptions knows both their expected outcomes and how to go about making those outcomes a reality. Incomplete or inaccurate role perceptions limit employees’ capacity to meet expectations, regardless of their abilities and motivation Ability refers to the knowledge, skills, and receptiveness to learning that a person brings to a task or job.

Key terms

motivation: A force within or outside of the body that energizes, directs, and sustains human behavior. Within the body, examples might be needs, personal values, and goals, while an…
work motivation: The amount of effort a person exerts to achieve a level of job performance
role perceptions: The set of behaviors employees think they are expected to perform as members of an organization
outcome: Anything a person perceives as getting back from an organization in exchange for the person’s inputs
ability: The knowledge, skills, and receptiveness to learning that an individual brings to a task or job
goals (outcomes) the person: expected to achieve and the process by which the goals will be achieved
equity theory: States that human motivation is affected by the outcomes people receive for their inputs, compared to the outcomes and inputs of other people
input: Any personal qualities that a person views as having value and that are relevant to the organization

Chapter 8

Performance Appraisal and Rewards

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Summary

Performance appraisals are one of the most important and often one of the most mishandled aspects of management. Typically, we think of performance appraisals as involving a boss evaluating a subordinate. However, performance appraisals increasingly involve subordinates appraising bosses through a feedback process known as 360 feedback, 1 customers appraising providers, and peers evaluating coworkers Whether appraisals are done by subordinates, peers, customers, or superiors, the process itself is vital to the lifeblood of the organization.

Key terms

Performance appraisals: A system that provides a means of systematically evaluating employees across various performance dimensions to ensure that organizations are getting what they pay for
process itself: vital to the lifeblood of the organization
system: fair and tied to performance
Behaviorally anchored rating scale: A system that requires considerable work prior to evaluation but, if the work is carefully done, can lead to highly accurate ratings with high inter-rater reliability
Flexible benefits system: A rewards program where employees are allowed some discretion in the determination of their own packages and can make trade-offs, within certain limits
Graphic rating scale: A performance appraisal technique where the supervisor or rater is typically presented with a printed or online form that contains both the employee’s name and several evaluation…
Lump-sum pay increase: A technique that allows employees to decide how (that is, in what amounts) they wish to receive their pay raises for the coming year
Skills-based incentives: Rewards employees on the basis of the skills they possess and not just the skills they are allowed to use at work

Chapter 9

Group and Intergroup Relations

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Summary

There is substantial agreement among researchers and observers of small task groups that something important happens in group interaction which can affect performance outcomes. The literature of group dynamics is a very rich field of study and includes many definitions of work groups. Available research on group dynamics demonstrates rather conclusively that individual behavior is highly influenced by coworkers in a work group. For instance, we see many examples of individuals who, when working in groups, intentionally set limits on their own incomes so they earn no more than the other group members.

Key terms

Group: An organized system of two or more individuals who are interrelated so that the system performs some function, has a standard set of role relationships among its members, and has…
Task group: Serves the same purpose as a command role except that the role is temporary instead of permanent
literature of group dynamics: a very rich field of study and includes many definitions of work groups
Decoupling: Involves separating two groups—physically or administratively—in such a way that the required tasks of the organization are fulfilled while the interaction between the two groups…
Informal group: Groups that evolve naturally out of individual and collective self-interest among the members of an organization and are not the result of deliberate organizational design
Linking role: A position or unit within the organization that is charged with overseeing and coordinating the activities of two or more groups
Pooled interdependence: Occurs when various groups are largely independent of each other, even though each contributes to and is supported by the larger organization
Status incongruence: A situation that exists when a person is high on certain valued dimensions but low on others, or when a person’s characteristics seem inappropriate for a particular job

Chapter 10

Understanding and Managing Work Teams

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Summary

Whether you work in a manufacturing environment and utilize self-directed work teams, or if you work in the “ knowledge economy ” and derive benefits from collaboration within a team structure, you are harnessing the… This is very different from the classic working group in an organization (usually organized by functional area) in which there is a focused leader, individual accountabilities and work products, and a group purpose… Teamwork has never been more important in organizations than it is today. A team, according to Katzenbach and Smith in their Harvard Business Review (HBR) article “The Discipline of Teams,” is defined as “people organized to function cooperatively as a group”.

Key terms

working group: Group of experts working together to achieve specific goals; performance is made up of the individual results of all members
knowledge economy: The information society, using knowledge to generate tangible and intangible values
collaboration: The action of working with someone to produce or create something
real-time permission: A technique for recognizing when conflict is uncomfortable, and giving permission to continue
Storming: The second stage of team development—when people are pushing against the boundaries
head, body, and heart: Techniques for becoming more adept in cross-cultural skills—learning about cultures (head), physical manifestations of culture (body), and emotional commitment to new culture…
boundaries: Lines that make the limits of an area; team boundaries separate the team from its external stakeholders

Chapter 11

Communication

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Summary

Understand and describe the communication process Interpersonal communication is an important part of being an effective manager It influences the opinions, attitude, motivation, and behaviors of others It expresses our feelings, emotions, and intentions to others

Key terms

receiver: The individual, group, or organization for which information is intended
communicator: The individual, group, or organization that needs or wants to share information with another individual, group, or organization
figurehead role: A necessary role for a manager who wants to inspire people within the organization to feel connected to each other and to the institution, to support the policies and decisions…
encoding: Translating a message into symbols or language that a receiver can understand
decoding: Interpreting and understanding and making sense of a message
noise: Anything that interferes with the communication process

Chapter 12

Leadership

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Summary

Some definitions consider leadership an act or behavior, such as initiating structure so group members know how to complete a task. The many definitions of leadership each have a different emphasis. 4 Some look at leadership in terms of the management of group processes. Leadership is frequently defined as a social (interpersonal) influence relationship between two or more persons who depend on each other to attain certain mutual goals in a group situation.

Key terms

leadership: A social (interpersonal) influence relationship between two or more persons who depend on each other to attain certain mutual goals in a group situation
initiating structure: A “task-oriented” leader behavior that is focused on goal attainment, organizing and scheduling work, solving problems, and maintaining work processes
consideration: A “relationship-oriented” leader behavior that is supportive, friendly, and focused on personal needs and interpersonal relationships
contingency theory of leadership: A theory advanced by Dr. Fred E. Fiedler that suggests that different leadership styles are effective as a function of the favorableness of the leadership situation least preferred
path-goal theory of leadership: A theory that posits that leadership is path- and goal-oriented, suggesting that different leadership styles are effective as a function of the task confronting the group
formal leader: That individual who is recognized by those outside the group as the official leader of the group
great man theory of leadership: The belief that some people are born to be leaders and others are not
visionary leader: A leader who influences others through an emotional and/or intellectual attraction to the leader’s dreams of what “can be.”

Chapter 13

Organizational Power and Politics

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Summary

Here, power is defined and distinguished from the related concepts of authority and leadership, and several bases of power and aspects of power dependency are discussed. In this chapter, we will examine various aspects of power and politics in organizations, beginning with the topic of power in interpersonal relations. Although these aspects of power also relate to group situations, they are more germane to interpersonal relations Numerous definitions of power abound in the literature on organizations.

Key terms

Politics: Involves those activities taken within an organization to acquire, develop, and use power and other resources to attain preferred outcomes in a situation in which there is…
Power: The probability that one actor within a social relationship will be in a position to carry out his own will despite resistance
Bases of power: The five bases of power are referent, expert, legitimate, reward, and coercive power
Leadership: The ability of one individual to elicit responses from another person that go beyond required or mechanical compliance
Authority: Represents the right to seek compliance by others
Resource dependence: When one subunit of an organization controls a scarce resource that is needed by another subunit, that subunit acquires power
Work centrality: The more interconnected subunit A is with other subunits in the organization, the more central it is
Strategic contingencies: A requirement of the activities of one subunit that is affected by the activities of other subunits

Chapter 14

Conflict and Negotiations

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Summary

By any standard of comparison, conflict in organizations represents an important topic for managers. A good example of the magnitude of the problems that conflict can cause in an organization is the case of General Concrete, Inc., of Coventry, Rhode Island. It was found that approximately 20 percent of top and middle managers’ time was spent dealing with some form of conflict. 1 In another study, it was found that managerial skill in handling conflict was a major predictor of managerial success and effectiveness.

Key terms

Conflict: The four types of conflict are goal conflict, cognitive conflict, affective conflict, and behavioral conflict
Negotiation: The process by which individuals or groups attempt to realize their goals by bargaining with another party who has at least some control over goal attainment
organization: the case of General Concrete, Inc., of Coventry, Rhode Island
BATNA: An acronym popularised by Roger Fisher and William Ury which stands for ‘Best Alternative to a Negotiated Agreement’. BATNA answers the question: ‘What would you do if you…
Distributive bargaining: Where the goals of one party are in fundamental and direct conflict with those of the other party. Resources are fixed and limited, and each party wants to maximize its share of…
Due process nonaction: The strategy of wearing down a dissatisfied employee while at the same time claiming that resolution procedures are open and available. This technique has been used repeatedly in…
Goal conflict: Can occur when one person or group desires a different outcome than others do. This is simply a clash over whose goals are going to be pursued
Third-party consultation: An outside consultant that serves as a go-between and can speak more directly to the issues because she is not a member of either group

Chapter 15

External and Internal Organizational Environments and Corporate Culture

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Summary

To succeed and thrive, organizations must adapt, exploit, and fit with the forces in their external environments. Organizations are groups of people deliberately formed together to serve a purpose through structured and coordinated goals and plans. As such, organizations operate in different external environments and are organized and structured internally to meet both external and internal demands and opportunities. Different types of organizations include not-for-profit, for-profit, public, private, government, voluntary, family owned and operated, and publicly traded on stock exchanges.

Key terms

Corporate culture: Defines how motivating employees’ beliefs, behaviors, relationships, and ways they work creates a culture that is based on the values the organization believes in
Competing Values Framework: Developed by Kim Cameron and Robert Quinn this model is used for diagnosing an organization’s cultural effectiveness and examining its fit with its environment
Complex-Stable environments: Environments that have a large number of external elements, and elements are dissimilar and where elements remain the same or change slowly
Domain: The purpose of the organization from which its strategies, organizational capabilities, resources, and management systems are mobilized to support the enterprise’s purpose
Geographic structure: An Organizational option aimed at moving from a mechanistic to more organic design to serve customers faster and with relevant products and services; as such, this structure is…
Simple-Stable environments: Environments that have a small number of external elements, and elements are similar, and the elements remain the same or change slowly
Simple-Unstable environments: Environments that have a small number of external elements, and elements are similar and where elements change frequently and unpredictably

Chapter 16

Organizational Structure and Change

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Summary

Second, organizational design is the process of setting up organizational structures to address the needs of an organization and account for the complexity involved in accomplishing business objectives Finally, organizational development (OD) is the label for a field that specializes in change management. First, an organizational structure is a system for accomplishing and connecting the activities that occur within a work organization. Next, organizational change refers to the constant shifts that occur within an organizational system—for example, as people enter or leave the organization, market conditions shift, supply sources change, or…

Key terms

organizational structure: The system of task and reporting relationships that control and motivate colleagues to achieve organizational goals
managed change: How leaders in an organization intentionally shape shifts that occur in the organization when market conditions shift, supply sources change, or adaptations are introduced in the…
organizational design: The process by which managers define organizational structure and culture so that the organization can achieve its goals
understanding of OD practices: essential for leaders who want to maximize the potential of their organizations over a long period of time
Organizational change: The movement that organizations take as they move from one state to a future state
organizational development (OD): Specialized field that focuses on how to design and manage change
change management: The process of designing and implementing change
conventional mindset: Leaders assume that most people are inclined to resist change and therefore need to be managed in a way that encourages them to accept change

Chapter 17

Human Resource Management

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Summary

These are tools that may be used in talent development Training—a forum for learning in person or online Stretch assignments—challenge roles for high-potential employees Individual assessments—personality and work style inventories of employees

Key terms

Human resource management: The management of people within organizations, focusing on the touchpoints of the employee life cycle
Talent development: Integrated HR processes that are created to attract, develop, motivate, and retain employees
Performance management: The process by which an organization ensures that its overall goals are being met by evaluating the performance of individuals within that organization
Society for Human Resource Management: The world’s largest HR professional society, with more than 285,000 members in more than 165 countries. It is a leading provider of resources serving the needs of HR professionals
Talent review calibration process: The meeting in which an organization’s 9-box matrix is reviewed and discussed, with input and sharing from organizational leadership
Employer-employee relationship: The employment relationship; the legal link between employers and employees that exists when a person performs work or services under specific conditions in return for payment
Succession planning: The process of identifying and developing new leaders and high-potential employees to replace current employees at a future time
Talent acquisition: The process of finding and acquiring skilled candidates for employment within a company; it generally refers to a long-term view of building talent pipelines, rather than…

Chapter 18

Stress and Well Being

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Summary

To the extent that individuals are unable to adjust to work, we would expect them to persist in counterproductive behavior Failure to adjust to work represents a major problem in industry today. It has been estimated that between 80 and 90 percent of industrial accidents are caused by personal factors. 1 Turnover, absenteeism, drug abuse, alcoholism, and sabotage remain relatively permanent fixtures of most contemporary work organizations.

Key terms

stress: A physical and emotional reaction to potentially threatening aspects of the environment
health promotion programs: Represent a combination of diagnostic, educational, and behavior modification activities that are aimed at attaining and preserving good health
rate of life change: The variety of life events were identified and assigned points based upon the extent to which each event is related to stress and illness
role underutilization: Occurs when employees are allowed to use only a few of their skills and abilities, even though they are required to make heavy use of them
social support: The extent to which organization members feel their peers can be trusted, are interested in one another’s welfare, respect one another, and have a genuine positive regard for one…
Type A personality: Type A personality is characterized by impatience, restlessness, aggressiveness, competitiveness, polyphasic activities, and being under considerable time pressure
locus of control: The concept that much of what happens in one’s life is either under or outside of their own control

Chapter 19

Entrepreneurship

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Summary

Another prevalent type is family entrepreneurship —that is, when a business is owned and managed by multiple family members, usually for more than one generation. MEANS Database is an example of social entrepreneurship —that is, creating innovative solutions to immediate social and/or environment problems and mobilizing resources to achieve social transformation. Entrepreneurs can also operate inside existing organizations: corporate entrepreneurship involves the creation of new products, processes, and ventures within large organizations. Entrepreneurship is a global phenomenon, with individuals all over the world at various stages of the process.

Key terms

entrepreneurs: Individuals who recognize and pursue opportunities, take on risk, and convert these opportunities into value-added ventures that can survive in a competitive marketplace
family entrepreneurship: A business is owned and managed by multiple family members, usually for more than one generation
social entrepreneurship: Creating innovative solutions to immediate social and/or environment problems and mobilizing resources to achieve social transformation
business: owned and managed by multiple family members, usually for more than one generation
corporate entrepreneurship: The creation of new products, processes, and ventures within large organizations
nascent entrepreneurs: Individuals who have set up a business they will own or co-own that is less than three months old and has not yet generated wages or salaries for the owners
new business owners: Former nascent entrepreneurs who are actively involved in a business for more than three months but less than three and a half years
established business owners: Individuals who are still active in a business that is more than three and a half years old