SEMESTER 2 MANAGEMENT

TOPIC 1: teams

Case study: by an outside organization (like Harvard), that sell them to schools

Management principles
 What is this module about?
- Developing an understanding of the main theories that inform managerial practice in
organizational life
- Developing an appreciation of the complexity of managing people and organisations in an
increasingly uncertain and global environment

Why theory?
 A theory is “what we know to be true” at this moment in time, subject to change/revision and is
based upon clearly defined assumptions
- academic description of the real world, but complexity of the world goes sometimes against
theories), goes sometimes against reality (people’s assumptions to avoid reality)

 There will always be more than one theory to consider. Different theories are based upon different
assumptions

What is practice?
 Practice is what connects actors, material things, and ideas
 The key management practice is control (objective of a manager, negative or positive? Mostly
positive, make sure that things go forward, be aware of how it is going (monitor), and help
employees to work better, and achieve the goals of the firm)

 Managers interact with stakeholders (e.g employees, customers and shareholders)

How it works in practice

Why is management important?

 When we witness situations of management failure and success, how hard it is to be a manager
becomes clear
 Management failure- terminal 5
 Management success-Ford motor company and google

TEAMs introduction
 We begin with the first question: “are two (or more) heads better than one?”
Too many people: process can go slower
Many points of view, better ideas if several people
Some people prefer to work alone
PROS AND CONS
 Based on several comprehensive reviews of studies that examined various concept-mastery,
creativity, problem-solving, and judgment tasks, it appears that group performance, often,
although not always, exceeds that of individuals
Ex: if each individual does 1 good, if 5 of them are in team, do they produce more than 5?

 (e.g Gigone&Hastie, 1997; Hill 1982; Kerr, MacCoun&Kramer, 1996; Vollrath, Sheppard, Hinsz &
Davies, 1989)
 The “romance of teams”
(Allen; Hecht,2004)

Groups
= two or more individuals, interacting and interdependent, who have come together to achieve particular
objectives
Could just be a collection of individuals, not selected by anybody to produce tasks

VS Team: When you are selected, the composition of the team is thought
Ex: sport, when they work together they are better

Groups-types
 Formal groups (do a task, like in military)
- command
- task
ex: ask to dig a hole, the more people, the better (the faster) = more bodies
 Informal groups (more social, like a book group)
- Interest
- Friendship (not required, but comes from it)

Groups- why join?

 Why people join groups
- Security: early human experience, like the cavemen, prehistoric times, animals that stay within
a group
- Status: being part of a group, you get a certain status (here at dauphine, in a group to obtain
the status of graduated from dauphine)
- Self-esteem: join a group that is doing smthg, that you aspire to = if accepted by them, you have
self esteem
- Affiliation: certain groups that gives affiliation, because close from it (ex: sport; if you lived in a
neighbourhood close to sport centres, you do a lot of sport = affiliated to it the rest of your life)
- Power: ability to get more accomplished; ability to get what you want accomplished more
efficiently
- Goal achievement: accomplish something, (read more books)

Influence of groups
 The presence of others strongly influences individual behavior
 As a part of the group, you influence it too
Ex: different groups within a company to achieve something (even within them smaller and smaller groups)
 Conversely, the behaviour of individuals is affected by being part of a group
 Business requires groups, therefore how groups work influences how individuals behave and work

Groups vs teams
 Group: interacts to share information and make decisions to help each group member perform
his/her area of responsibility
Ex: book group (share info with each other, everybody is equal there)
 Team: a group whose individual efforts result in a performance that is greater than the sum of the
individual inputs
(un pour tous tous pour un)
Engineer group of individuals that have some skills, making the whole thing more powerful and efficient

Teams defined (Katzenbach and Smith, 1993)

Distinguishes a team from a group, and helps evaluate a team’s likely effectiveness
 Complementary skills: what everybody does in a team should be complementary
Ex: start a company with 5 people (want them to be all experts at different things (financial
accounting, marketing, purchasing)

 Common purpose/common approach: team created for a common purpose; they want to get
somewhere by a common approach (sport)
 Mutual accountability: if the team fails, who is accountable = everyone
Accountability (=be responsible for it whether is succeeds or fails)
Ex: if the team loses the game = everybody’s fault
If fails: maybe they could have done smthg ahead of time to fix the issue

Groups vs teams
 Swim “team” – is this a group or a team?
People have been selected for their ability
Common goal: win the competition
So, it is a team
EX: Relai: measure of success= time at the end (we care about who starts and who ends the relai (some of
them are very good starters and intimidate by being very fast at the very beginning, but maybe get tired
very fast / last: they are the best under pressure, so they must be last ))
COMPLEMENTARY SKILLS

Why study teams?

Many different teams in a company
 Teamwork is a way of working to add value (giving report to a CEO in 45 min => just do it, no
pressure)
 Used very widely, in diverse settings (research groups, products development, etc…)
 Combine diverse skills, and sometimes work as “virtual” teams
 Using teams well depends on understanding
- How teams develop and work
- How to be an effective team member
- How to evaluate their effectiveness

Types of teams
 Degree of formality
- Formal teams deliberately created (figure 17.2)
- Informal groups form spontaneously
 Physical separation
- Increasingly common-for example, Cisco Systems
 Permanence

Formal teams
(figure 17.2)

Team composition
Putting complementary skills together
 Diversity of members implies that people take on diverse team roles
 Task
Initiator, information seeker, etc
 Maintenance
Encourager, peacekeeper, clarifier, etc
(from Meredith Belbin’s research on team roles)

Belbin’s Team Roles

Task 15 minutes
 Complete Belbin’s self perception questionnaire (on Moodle)
 Identify your dominant role(s) and discuss how this could relate to your role within a group/team

Commentary on the model

 Empirically- based research
 Balance of roles related to effectiveness
 Teams need individuals who balance well with each other (NOT nine members)
 Model widely used in training, rarely in shaping the selection of team members
If only SH: risk of conflict, competition between them
If only TW: lack of decisions, of implementing things.
If only completer-finisher: a lot of ego-drive, strong idea of how it should be delivered

Teams-formation
 Stages of team development
- Forming
- Storming
- Norming
- Performing
- Adjourning
Virtual teams
 What are their characteristics and impact on team performance?
 Virtual team is characterized bu
 Members
- Physically dispersed
- Culturally differentiated
- Organizationally differentiated
 Communication must transcend:
- Space
- Time
- Culture

Virtual teams-findings
 For teams physically distributed and engaged in novel tasks, ease of communication and “routine-
ness” of tasks leads to higher performance
 For teams culturally and organizationally diverse clarification of roles and a common team culture
lead to higher performance

Outcomes of teams – for the members

 Motivational reasons
 Satisfy social need to be accepted and valued by others (Hawthorne studies chap2, Follett on the
benefits of cooperative action)
 Likert (1961) showed that teams develop a sense of loyalty and mutual achievement
 See also Barker (1993)
 Evidence of “concertive control” when self-managing teams exert tight control on members
 Discuss: what is a concertive control and what are the main characteristics of such teams?
 Discuss the 3 phases associated with Concertive Control – can you link this to your own team work
experience (examples?)
Outcomes – for the organization
 Integrate professionally fragmented knowledge
 A forum for raising issues otherwise ignored
 Encourages learning by reflection and spreading ideas more widely
 Note also:
 - Allen and hecht (2004) (“romance of teams”)
- Dangers of “groupthink” (chap 7)
- Mixed evidence of benefit to the organization

Team processes
Effective teams develop deliberate processes
 Common approach
 Use “norming” stage to agree how they will work together (table 17.4)
 Categories of communication
 Are conscious of which types help or hinder the team
 Observing the team
 Develop the skill of observing how team processes are working and suggesting improvements

Teams in their context

 Benefits of teams depends on context
 Value of investing in skills depends on task
- Simple technical puzzles
- Better to have people work individually
 Familiar tasks with some uncertainty
- Some sharing, but mainly co-ordination skills
 Unfamiliar tasks with high uncertainty
- Only this requires high level of team skills

Summary
 Teams are widely used, yet performance is often inadequate
 Models outlined enable you to analyze systematically a team’s composition, stage of development
and working processes
 Doing this analysis will help you to improve the performance of teams in which you work
 Teams have disadvantages and are not always worth the investment they need to work well

Chapter 15: motivation

Eden Project (case chap 15:motivation)
 10M visitors since opening in 2001
 Tim Smit cofounded the project (already re-opened Lost Gardens of Heligan)
Observations from this first project:
- People could be attracted by anecdotes about what they are looking at
- People felt positive about being in abundant gardens
 Development of a place technically sophisticated, looking good
 Dedication: explains how all life on earth depends on plants
 Could become place when you start to think about your connection with nature (if you want to get
closer to it
 Eden: one of the 50 most recognized brands (£1billion revenues; 300 staff)

 First task: persuade people to invest £76M to build it

 Smit approached one of the leading architects of the time
 “Best design team in the world working for us for nothing” => enormous gang (people would spread
the idea, some left their job because became obsessed with it)
 Environment= big thing (structure bigger than the Crystal palace)
 Biggest in the world to contain a full-size rainforest
  Huge fund-raising effort for the eighth wonder of the world

TO SUM UP:
1. Join in
2. Invest
3. Design (architect didn’t get paid but get recognition if their design is the one selected, which will
bring them earnings in the future)
Eden’s management have been thinking up new ways to motivate people to continue to support the
project as enthusiastically as they have done so far

Why study motivation?

- Adding value depends on motivating others
- Understanding theories enables you to make more informed choices, and
- To question assumptions behind practice, whether they suit the situation, and whether
alternatives may work better
- They also give insight into your motivations and possible career implications

Why is motivation important?

- Most employers accept that staff can contribute valuable ideas, make decisions, solve
problems, take on extra responsibilities
- Highly motivated employees are more likely to achieve business goals
- Poorly motivated employees will affect the business’s output and the quality of its products
(this behavior tends to spread)

Managing and motivating

- A good leader is actually finding a way to create motivation inside someone, not impounding it
upon them
- Adding value to resources depends on human activity – commitment to act in a certain way
- That depends on choice-motivation arises within a person, and cannot be imposed
- Management challenge is to understand what conditions will energize, direct and sustain
required behavior
- Having an ideal behind work E.g. Google: wanted to make information free to everyone

What is motivation?
- Motivation–the process by which a person’s efforts are energized, directed, and sustained
toward attaining a goal.

- energy is a measure of intensity, drive, and vigor

- effort is channeled in a direction that benefits the organization
- we want employees to persist in putting forth effort (motivation has to be sustained)

Motivation and emotion

- Motivation is largely driven by raw emotions (affect).
- Managers have to know where their team stands at emotionally, but also where they stand at

- At the most basic level, we are driven to heighten positive emotion or mood, and to reduce
negative feelings.
- Our emotional reactions in turn influence the likelihood that we will engage in an activity next
time – they positively or negatively reinforce us.  the way we react influences others and vice-
versa
Psychological contract
- Psycho contract – set of mutual expectations of individuals about what he/she will contribute to
the organization and what the organization will provide in return
- Perceptions of fairness affects behavior
- Varies with context- national differences (See book The Culture Map): people have different
expectations about how the boss should act

WORK (only the tip of the iceberg) PAY

Time/hours Security (knowing when you will get your pay and
Efforts/ideas how much)
Performance Safety/care (a lot give health insurance)
Results (eg in sales departments, people have Training/development (some firms will offer
bonuses when they overachieve the goals) Executive MBAs)
Commitment Recognition (eg emails sent when big sale is done
Loyalty or picture on the wall, attracts to salespersons
Mobility ego)
Supervision Qualifications
Innovation Workspace/equipment
Management (Scandinavian don’t respect smn Promotion/ growth
that just command) Responsibility
Drive Change Life-balance/well-being (human relation model)
Leadership Interest/variety/travel
Sacrifice/tolerance Flexibility/tolerance
Risk/investment Status/respect
Control/influence
Benefits/pension

Psycho contract
Individual contributions Organizational inducements
Effort Pay
Ability Job security
Loyalty Benefits
Skills Career opportunities
Time Status
Competencies Promotion opportunities

Case study
He visionary: Tim Smit
How did he motivate all The parties required, to realize its vision?
Steve jobs and management by meaning

Case study, part 1

Creating eden depended on motivating People
- Which groups of people have featured in the case so far?
- What has tim smit wanted these people to do for the eden project?
- What clues are there about what motivates them to give their support?

The case continues (p.466)

- What motivational skills has the managing director demonstrated in raising the funds which
eden required?
Comes from the City (=finance/banking) that used to do professional fundraising
 Persuasion
 Adaptability
 Team working

- How transferable do you think they would be to other management situations?

100% transferable, it is needed for every start-up, especially concerning fundraising

Maslow’s hierarchy of needs

- As one level becomes partially satisfied, the next becomes stronger

- When one set of needs is satisfied, it stops acting as a motivator; the individual is then
motivated by the next set of needs

 Physiological needs: a person’s needs for food, drink, shelter, sexual satisfaction, and other
physical needs.
 Safety needs: a person’s needs for security and protection from physical and emotional harm.
 Social needs: a person’s needs for affection, belongingness, acceptance, and friendship.
 Esteem needs: a person’s needs for internal factors (e.g., self-respect, autonomy, and
achievement) and external factors (such as status, recognition, and attention).
 Self-actualization needs: a person’s need to become what he or she is capable of becoming.

Maslow’s hierarchy of needs

The case continues p.476

- What human needs is Eden seeking to satisfy?
 Leisure
 Connection to nature/to others
- How attractive do you think you would find Eden if you worked there, and for what reasons?
Very attractive because of a sense of belonging to something bigger, challenges of making people aware
 Esteem
 Self-actualization
  Belongingness

McClelland: affiliation, power, achievement

Three categories of human needs which individuals possess in different amounts:
- Need for affiliation: to develop and maintain interpersonal relationships
- Ned for power: to have control over one’s environment (not negative)
- Need for achievement: to set and meet standards of excellence
McClelland believed that, rather than being arranged in a hierarchy, individuals possess each of these
possibly conflicting needs, which motivate their behaviour when activated

Assessing your needs (McLelland)

Herzberg: two factor theory

- Found that the previous hierarchy wasn’t good
- Analysis showed that when respondents recalled good times, they frequently mentioned one or
more of these factors:
 Achievement
 Recognition
 Work itself
 Reposniblity
 Advancement
 Motivators act as satisfiers; motivate when present

Herzberg (cont)
The mentioned these much less frequently when describing the bad times
When talking about the bad times, they most frequently recalled these factors:
- Company policy and administration (felt like the rules had been created for situations that did
not correspond to theirs)
- Supervision (task thrown on them)
- Salary (in retrospect, they didn’t pay enough: sometimes they let you go, people see you as
greedy, they accept directly, so you feel like you could’ve asked more, or a pair has more)
- Interpersonal relations
 Dissatisfiers: demotivate when not present

Locke (1968): goal-setting history

- Challenging but achievable goals motivate
- Specific goals motivate more than vague ones
- Participation in setting goals is motivating
- Knowing results ofpast performance is necessary for motivation

Eden: the case continues

- Consider how the company has helped to geerate positive attitudes amongst this member of
staff
Wasn’t educated to work at her role
 Started as a waitress
 Climbed up on the scale
 Everybody has opportunities when not looking at education
 Importance of hard-working
- Analyze these accounts using Herzberg(s theory: which of his “motivating” factors do staff refer
to?
  All the positive things
 Not a lot of negative

Designing motivating jobs

- Job design: the way tasks are combined to form complete jobs.
- ob scope: the number of different tasks required in a job and the frequency with which those
tasks are repeated.
- Job enlargement: the horizontal expansion of a job that occurs as a result of increasing job
scope.
- Job enrichment: the vertical expansion of a job that occurs as a result of additional planning and
evaluation of responsibilities.
- Job depth: the degree of control employees have over their work.

Summary

- The psychological contract helps to understand the relationship between organization and
employee
- Content theories of motivation show the diversity of needs which people seek to satisfy at work
- Process theories show the many ways in which people seek to satisfy those needs
- Work design theories link individual needs and organisational requirements