> > > > > > > >Chapter 10

Improving Performance
Through Empowerment,
Teamwork, and
Communication
 ng G oa l s
Learni
1 Describe why & how organizations
empower employees.
2 Distinguish among the five types of
teams in the workplace.
3 Identify the characteristics of an
effective team.
4 Summarize the stages of team
development.
5 Relate cohesiveness and norms to
effective team performance.
6 Describe the factors that cause
conflict in teams and how to
manage conflict.
7 Explain the importance and
process of effective
communication.
8 Compare the different types of
communication.
Explain external communication
9
and how to manage a public
crisis.
 Emp ow e r in g
Emp l oye e s

• Empowerment - giving employees authority and

responsibility to make decisions about their work
without traditional managerial approval and control

• Sharing Information and Decision-Making Authority

• Keeping them informed about company’s financial
performance
• Giving them broad authority to make workplace
decisions
 e w a rd s to
Linking R c e
n y P er fo r m a n
C om p a
Employee Stock Ownership Plans
• 11 million workers at 10,000 companies participate.
• Gives employees ownership, motivating them to work
smarter and harder.

Stock Options
• Right to buy a specified amount of company stock at a given
price within a given time period.
• Being offered more and more to employees at all different
levels.
• 1/3 of all options go to the top five executives
at a firm.
 Teams
• Group of employees who are committed to a common
purpose, approach, and set of performance goals.
• Mutually responsible and accountable for accomplishing
objectives.
• Ability to work on teams often emphasized during the
hiring process.
• Work teams are groups of people with complementary
skills who are committed to a common purpose.
• Two-thirds of U.S. firms currently use work teams.
Fiv e Sp e c i es
of Teams
 ara c teri st i c s
Tea m Ch

Team Size
• Can range widely, but most have fewer than 12
members.
• Ideal size is often six or seven members.
Team Level and Team Diversity
• Team level - average level of ability, experience,
personality, or any other factor on a team.
• Team diversity - variances or differences in ability,
experience, personality, or any other factor on a team.
 e s o f Te a m
Stag
Dev el op m en t
 e s i v ene ss
Team Coh
and No r m s
• Team cohesiveness is the extent to which
team members feel attracted to the team and
motivated to remain part of it.
• Increases when members interact frequently,
share common attitudes and goals, and enjoy
being together.
• Cohesive teams quickly achieve high levels of
performance and consistently perform better.
• Team norms are the informal standards of
conduct shared by team members that guide
their behavior.
– Can be positive or negative.
 m Con fli c t
Tea

• Cognitive conflict focuses on problem-related

differences of opinion.
• Reconciling these differences strongly improves team
performance.
• Affective conflict refers to the emotional reactions
that can occur when disagreements become personal
rather than professional.
• Team leaders should facilitate good communication
so that teammates respect each other and work
cooperatively.
 o f E f f e ctiv e
Importance n
m u n i ca t io
Com

• Managers spend 80 percent of their time in

direct communication with others.

• Company recruiters rate

effective communication as the most
important skill they’re looking for in hiring new
college graduates.
 P r oc e s s o f
The
m u n i ca t io n
Com
 l C o n t e x t
Cultura

• Communication in low-context cultures tends to

rely on explicit written and verbal messages.
– U.S., Switzerland, Germany, Austria

• Communication in high-context cultures depends

not only on the message itself but also on the
conditions that surround it, including nonverbal cues,
past and present experiences, and personal
relationships between the parties.
– Japan, Latin America, India
 c F or m s o f
Basi
n ic a t io n
Commu
 L i s t e ni n g

Cynical listening: Receiver of a message feels that the sender

is trying to gain some advantage from the communication.
Offensive listening: Receiver tries to catch the speaker in a
mistake or contradiction.
Polite listening: Receiver listens mechanically to be polite
rather than to communicate.
Active listening: Requires involvement with the information
and empathy with the speaker’s situation; the basis for effective
communication.
 Formal
unic a tion
Comm

• Flows within the chain of command

• Downward communication
• Upward communication
• Open and honest communication is key
 Informal
unic a tion
Comm

• Carry messages outside formally

authorized channels
• The grapevine is an internal channel that
passes information from unofficial sources
 m u n i c a t io n :
Ex t e r n a l C om
a n a ge m e n t
Crisis M
• Meaningful exchange of information through to major
audiences: customers, suppliers, firms, general public,
government officials
• Every communication with customers should create
goodwill.
• Communication during crisis:
1. Respond to crisis quickly
2. Put top company management in front of the press
3. Stick to the facts
4. When you don’t know, offer to find out
5. Never say “no comment”
6. Speak to your audience