BU288 Organizational Behavior Chapter 5: Theories of Work Motivation Motivation the extent to which persistent effort is directed toward

rd a goal Effort Persistence Direction Goals Intrinsic motivation motivation that stems from the direct relationship between the worker and the task; it is usually self applied. Extrinsic motivation motivation that stems from the work environment external to the task; it is usually applied by others Self-determination theory a theory of motivation that considers whether peoples motivation is autonomous or controlled Autonomous motivation when people are selfmotivated by intrinsic factors. Controlled motivation when people are motivated to obtain a desired consequence or extrinsic reward. Performance the extent to which an organizational member contributes to achieving the objectives of the organization General cognitive ability a persons basic information processing capacities and cognitive resources Emotional intelligence the ability to understand and manage ones own and others feelings and emotions. Need theories motivation theories that specify the kinds of needs people have and the conditions under which they will be motivated to satisfy these needs in a way that contributes to performance Maslows hierarchy of needs a five-level hierarchical need theory of motivation that specifies that the lowest-level of unsatisfied need has the greatest motivating potential Physiological Safety Belongingness Self-esteem Self-actualization Alderfers ERG Theory A three-level hierarchical need theory of motivation (existence, relatedness, growth) that allows for movement up and down the hierarchy McClellands theory of needs a nonhierarchical need theory of motivation that outlines the conditions under which certain needs result in particular patterns of motivation Need for achievement Need for affiliation Need for power Managerial implications of need theories

Appreciate diversity Appreciate intrinsic motivation Process theories motivation theories that specify the details of how motivation occurs Expectancy theory a process theory that states that motivation is determined by the outcomes that people expect to occur as a result of their actions on the job Outcomes consequences that follow work behavior. Instrumentality the probability that a particular first-level outcome will be followed by a particular second-level outcome Valence the expected value of work outcomes; the extent to which they are attractive or unattractive Expectancy the probability that a particular firstlevel outcome can be achieved Force - the effort directed toward a first-level outcome Managerial implications for expectancy theory Boost expectancies employees should be able to expect to be able to achieve first-level outcomes Clarify reward contingencies Appreciate diverse needs equity theory a process theory that states that motivation stems from a comparison of the inputs one invests in a job and the outcomes one receives in comparison with the inputs and outcomes of another person or group goal the object or aim of an action Goal setting theory a process theory that states that goals are motivational when they are specific, challenging, and when organizational members are committed to them and feedback about progress toward goal attainment is possible. Goal specificity make goals fairly specific Goal challenge goals too challenging are not motivating Goal commitment individuals must commit to goals Goal feedback feedback improves motivation, schedule of small tasks that bring individual closer to completing goal can help Goal orientation an individuals goal preferences in achievement situations Learning goal orientation a preference to learn new things and develop competence in an activity by acquiring new skills and mastering new situations Performance-prove goal orientation a preference to obtain favorable judgments about the outcome ones performance Performance-avoid goal orientation a preference to avoid negative judgments about the outcome of ones performance

Distal goal long-term or end goals Proximal goal short-term or sub-goals

Integrative model of motivation theories: Expectancy theory Intervening Factors Motivation Goal setting theory

Chapter 6: Motivation in Practice Money as a motivator: Piece-rate a pay system which individual workers are paid a certain sum of money for each unit completed Wage incentive plans various systems that link pay to performance on production jobs When not managed properly, wage incentive plans can cause lower quality, differential opportunity can occur, reduced cooperation, incompatible job design, restriction of productivity (employees may limit their work because they fear that their incentives will be cut and a new required and higher quota will be established by management) Merit pay plans systems that attempt to link pay to performance on white-collar jobs Problems occur when managers fail to discriminate between good and bad employees and when bonus increases are too small (and therefore ineffective) Profit sharing the return of some company profit to employees in the form of a cash bonus or a retirement supplement Employee stock ownership plans (ESOPs) incentive plans that allow employees to own a set amount of a companys shares and provide employees with a stake in the companys future earnings and success. Gainsharing a group pay incentive based on productivity or performance improvements over which the workforce has some control. Skill-based pay a system in which people are paid according to the number of job skills they have acquired. (pay for knowledge) Job scope the breadth and depth of a job Breadth the number of different activities performed on a job Depth the degree of discretion or control a worker has over how work tasks are performed

Job rotation rotating employees to different tasks and jobs in an organizations Skill variety the opportunity to do a variety of job activities using various skills and talents High is the owner of a garage, low is a worker who just paints Autonomy the freedom to schedule ones own work activities and decide work procedures High is a telephone installer that schedules their Performance own workload, low is a telephone operator who handles calls as they come Needs and valence Task significance the impact that a job has on other people Equity perception Job satisfaction High is nursing sick patients in a hospital, low is sweeping the hospital floors Task identity the extent to which a job involves doing a complete piece of work, from beginning to end High is building a table from scratch, low is putting legs on a table Job feedback information about the effectiveness of ones work performance High is a worker who builds a radio and then tests it, low is a worker who builds a radio and sends it to testing Motivating potential score = (skill variety + task identity + task significance) / 3 x autonomy x job feedback Growth need strength the extent to which people desire to achieve higher-order need satisfaction by performing their jobs Critical psychological states work that is meaningful will be more motivating Outcomes challenging jobs with good feedback are more motivating Moderators highly skilled people in demanding jobs are more likely to succeed than low skilled people Job enrichment the design of jobs to enhance intrinsic motivation, quality of working life, and job involvement. Combining tasks, establishing external client relationships, establishing internal client relationships, reducing supervision or reliance on others, forming work teams, making feedback more direct Job enrichment can fail by poor diagnosis (job enlargement), lack of employee desire or skill for job enrichment, demand for more rewards, union resistance, supervisory resistance Job involvement a cognitive state of psychological identification with ones job and the importance of work to ones total self-image

Job enlargement increasing job breadth by giving employees more tasks at the same level to perform but leaving other core characteristics unchanged Work design characteristics attributes of the task, job and social and organizational environment. Task characteristics autonomy, task variety, task significance, task identity, feedback Knowledge characteristics job complexity, information processing (extent to which a job requires attending to or processing data), problem solving (cognitive processing requirements of a job), skill variety (variety of skills for a job), specialization (possessing specialized knowledge or skill) Social characteristics the interpersonal and social aspects of work - Social support, interdependence, interaction outside the organization, feedback from others Contextual characteristics physical and environment contexts ergonomics (the degree to which a job allows correct posture and movement), physical demands, work conditions, equipment use (complexity of technology) Management by objectives (MBO) an elaborate, systematic, ongoing program designed to facilitate goals establishment, goal accomplishment, and employee development Manager meets with individual workers to develop and agree on objectives and they are put into writing with a timeframe in mind Periodic meetings to monitor employee progress Appraisal meeting is held to evaluate if objectives have been reached MBO cycle is then repeated Flex-time an alternative work schedule in which arrival and departure times are flexible Compressed workweek an alternative work schedule in which employees work fewer than the normal five days a week but still put in a normal number of hours per week Job sharing an alternative work schedule in which two part-time employees divide the work of a fulltime job Work sharing reducing the number of hours employees work to avoid layoffs when there is a reduction in normal business activity Telecommuting a system by which employees are able to work at home but stay in touch with their offices through the use of communications technology, such as a computer network, voice mail, and electronic messages

Formal Work groups groups that are established by organizations to facilitate the achievement of organizational goals Informal Group groups that emerge naturally in response to the common interests of organizational members Stages in group development The stages model helps understand and troubleshoot group development Some groups skip stages (such as airline cockpit crews as they perform effectively as strangers who have skipped the forming, storming and norming stages for the most part) Forming group members try to orient themselves by testing the waters Storming conflict in sorting out roles Norming members resolve conflicts and a social structure is developed Performing the group devotes its energies towards task accomplishment Adjourning group ends, members part, possibly a party occurs Punctuated Equilibrium a model of group development that describes how groups with deadlines are affected by their first meetings and crucial midpoint transitions Phase 1 first meeting, set agenda, very little progress is made until midpoint Midpoint Transition occurs at almost exactly the halfway point in time towards the groups deadline. Agenda set for phase 2. Phase 2 for better or worse, decisions made at the midpoint are executed Punctuated equilibrium can be applied to be more effective: Prepare carefully for the first meeting. Stress motivation and excitement about the project Manage the midpoint carefully Be sure adequate resources are available for phase 2 Resist deadline changes There is no perfect group size although most are between 3 and 20 members, minimum of two Larger groups often report lower satisfaction, but could still be more effective Additive tasks tasks in which group performance is dependent on the sum of the performance of individual group members Disjunctive tasks tasks in which group performance is dependent on the performance of the best group member

Chapter 7: Groups and Teamwork Group Two or more people interacting interpedently to achieve a common goal

Process losses group performance difficulties stemming from the problems of motivating and coordinating larger groups Actual performance = potential performance process losses Conjunctive tasks tasks in which group performance is limited by the performance of the poorest group member Norms collective expectations that members of social units have regarding the behavior of each other Dress norms (military, business attire, school clothing) Reward allocation norms (equity, equality, reciprocity, social responsibility) Performance norms Roles positions in a group that have a set of expected behaviours attached to them Role ambiguity lack of clarity of job goals or methods. Various things can lead to role ambiguity: Organizational factors some roles seem ambigious because of their function in the organization The role sender message of expectations may be communicated ineffectively to the focal person The focal person role may not be fully understood, but usually becomes much better understood over time, as seen especially with new employees Role conflict a condition of being faced with incompatible role expectations Intrasender role conflict a single role sender provides incompatible role expectations to a role occupant Intersender role conflict two or more role senders provide a role occupant with incompatible expectations Interrole conflict several roles held by a role occupant involve incompatible expectations (busy people) Person-role conflict role demands call for behavior that is incompatible with the personality or skills of a role occupant Status the rank, social position, or prestige accorded to group members Formal status systems managements attempt to identify people who deserve a higher status which is done with status symbols compensation, work environment, relationships, etc. Informal status systems power hitters in baseball, fast trackers in the office. People look up to them but not for official reasons. BU288 Organizational Behavior

Chapter 11: Decision Making Decision making the process of developing a commitment to some course of action. Problem a perceived gap between an existing state and a desired state Well-structured problem a problem for which the existing state is clear, the desired state is clear, and how to get from one state to the other is fairly obvious Program a standardized way of solving a problem Ill-structured problem a problem for which the existing and desired states are unclear the method of getting to the desired state is unknown Perfect rationality a decision strategy that is completely informed, perfectly logical, and oriented toward economic gain. Rational decision making process identify problem , search for relevant info, develop alternatives, evaluate alternatives, choose best solution, implement solution, monitor and evaluate chosen solution. Bounded rationality a decision strategy that relies on limited information and that reflects time constraints and political considerations Framing aspects of the presentation of information about a problem that are assumed by decision makers Cognitive biases tendencies to acquire and process information in an error-prone way Confirmation bias the tendency to seek out information that conforms to ones own definition of or solution to a problem. Information overload the reception of more information that is necessary to make effective decisions Maximization the choice of the decision alternative with the greatest expected value Anchoring effect the inadequate adjustment of subsequent estimates from an initial estimate that serves as an anchor Satisficing establishing an adequate level of acceptability for a solution to a problem and then screening solutions until one that exceeds this level is food. Risk in decision alternatives Framing can skew results. When a loss is going to be incurred, people will normally pick a riskier choice When a gain is going to be made, people will make a more conservative decision Justification of decisions Sunk costs permanent losses of resources incurred as the result of a decision

Escalation of commitment the tendency to invest additional resources in an apparently failing course of action Hindsight the tendency to review the decisionmaking process to find what was done right or wrong Emotions and moods affect decision making People in a positive mood tend to remember positive information and evaluate things in a more positive way People in a good mood tend to overestimate the likelihood that good events will occur and underestimate bad events People in a good mood adopt simplified, shortcut decision making strategies Positive moods promote more creative intuitive decision making Group decision making Better decision quality due to more vigilant people scanning environment, generation of more ideas, and better evaluation of ideas Decision acceptance and commitment people wish to be involved in decisions that affect them and they will better understand the decision and be more committed if they invest personal time. Diffusion of responsibility the ability of group members to share the burden of the negative consequences of a poor decision Disadvantages of group decision making include time, conflict, domination, and groupthink Risky shift the tendency for groups to make riskier decisions than the average risk initially advocated by their individual members Conservative shift the tendency for groups to make less risky decisions than the average risk initially advocated by their individual members Devils advocate a person appointed to identify and challenge the weaknesses of a proposed plan or strategy Brainstorming an attempt to increase the number of creative solution alternatives to problems by focusing on idea generation rather than evaluation Electronic brainstorming the use of computermediated technology to improve traditional brainstorming practices Nominal group technique a structured group decision-making technique in which ideas are generated without group interaction and then systematically evaluated by the group Delphi technique a method of pooling a large number of expert judgments by using a series of increasingly refined questionnaires

Chapter 13: Conflict and Stress

Interpersonal conflict the process that occurs when one person, group, or organizational subunit frustrates, the goal attainment of another Conflict can erupt when parties differ in power, status and culture Ambiguous goals, jurisdictions, or performance can lead to conflict Differences in power are magnified when resources are scarce Relationship conflict interpersonal tensions among individuals that have to do with their relationship per se, not the task at hand Task conflict disagreements about the nature of the work to be done Process conflict disagreements about how work should be organized and accomplished Modes of managing conflict Avoiding a conflict management style characterized by low assertiveness of ones own interests and low cooperation with the other party Accommodating a conflict management style in which one cooperates with the other party while not asserting ones own interests Competing a conflict management style that maximizes assertiveness and minimizes cooperation Compromise a conflict management style that combines intermediate levels of assertiveness and cooperation Collaborating a conflict management style that maximizes both assertiveness and cooperation Negotiation a decision making process among interdependent parties who do not share identical preferences Distributive negotiation win-lose negotiation in which a fixed amount of assets is divided between parties Threats and promises, firmness vs. concessions, persuasion Integrative negotiation win-win negotiation that assumes that mutual problem solving can enlarge the assets to be divided between parties Copious information exchange, framing differences as opportunities, cutting costs, increasing resources, introducing super ordinate goals. Super ordinate goal attractive outcomes that can be achieved only by collaboration Third party involvement mediation, arbitration (conventional (arbitrator chooses any outcome) or final offer arbitration (each party makes a final offer and the arbiter chooses one) Stressors environmental events or conditions that have the potential to induce stress

Conflict stimulation a strategy of increasing conflict to motivate change Stress a psychological reaction to the demands inherent in a stressor that has the potential to make a person feel tense or anxious Stress reactions the behavioral, psychological and physiological consequences of stress Locus of control a set of beliefs about whether ones behavior is controlled mainly by internal or external forces (externals believe that their behaviours and outcomes are controlled by luck, fate or powerful people whereas internals believe they control their behavior and destiny) Type a behavior a personality pattern that includes aggressiveness, ambitiousness, competitiveness, hostility, impatience, and a sense of time urgency Negative affectivity propensity to view the world, including oneself and other people, in a negative light These people generally are more stressed and attract more stress Managerial and executive stressors: Role overload - the requirement for too many tasks to be performed in too short a time period Heavy responsibility and important consequences cause stress Operative-level stressors Poor physical working conditions Poor job design Boundary roles positions in which organizational members are required to interact with members of other organizations or with the public Burnout a syndrome of emotional exhaustion, cynicism and reduced self-efficacy Work engagement a positive work-related state of mind that is characterized by vigor, dedication and absorption Job demands-resources model a model that specifies how job demands cause burnout and job resources cause engagement

General stressors: Interpersonal conflict bullying Work-family conflict costs 6-10 billions of dollars for companies Job insecurity and change Role ambiguity Sexual harassment Behavior reactions to stress: Problem solving - Delegation, time management, talking it out, asking for help, searching for alternatives Seeking social support Performance changes Withdrawal Use of addictive substances (least favourable, although at least one third of people turn to drinking on at least a weekly basis) Defence mechanisms psychological attempts to reduce the anxiety associated with stress Rationalization (attributing socially acceptable reasons for ones actions), projection (attributing things to others), displacement (taking anger out on something else), reaction formation (acting), compensation (making up for failure) Organizational strategies for managing stress: Job redesign redesign job to reduce stressful elements Family friendly human resources policies formalized social support for employees Stress management programs eg. Meditation, training to think positively Work-life balance, fitness and wellness programs eg. Weight loss programs, serve healthy food