The Influencing Subsystem

·         Leading

·         Motivating

·         Considering Groups

·         Communication

·         Encouraging Creativity and Innovation

·         Building Corporate Culture

§  Motivate Others

§  Focus on personal and organizational achievements

§  Understand others

§  Communicate efficiently and effectively

§  Lead others

§  Build successful teams

§  Handle conflict appropriately

§  Change organizations appropriate

§  Manage diversity

§  Manage creativity and innovation

§  The source/encoder

§  The signal

§  The decoder/destination

§  Source

§  Encoder

§  Signal

§  Decoder

§  Destination

·         Increasing need for info

·         Need for increasingly complex info

·         Reality that ppl in US are coming in contact with ppl who don’t speak English

·         Constant need to learn new concepts reduces time available for communication

·         Source’s view of the destination

·         Message interference

o   Other stuff going on

·         Destination’s view of source

·         Perception

·         Multi-meaning words

·         Seek to clarify your ideas before communication

·         Examine the true purpose of each communication

·         Consider total physical and human setting whenever you communicate

·         Consult with others, when appropriate, in planning communications

·         Be mindful of the overtones while you communicate

·         Take the opportunity to convey something of help or value

·         Follow up your communication

·         Communicate for tomorrow as well as today

·         Be sure your actions support your communication

·         Seek not only to be understood but also to understand

·         Gestures

·         Tone

·         Facial expression

·         Mode of dress, including color

Types of formal organizational communication

·         Downward

·         Upward

·         Lateral

§  Sprins up and is used irregulary within the organization

§  Not controlled by top executives

§  Exists largely to serve the self-interests of the people within it

§  Patterns of informal organizational communication

§  The single-strand

§  The gossip

§  The probability

§  The cluster

·         Stop talking

·         Put the talker at ease

·         Show the talker you want to listen

·         Remove distractions

·         Empathize with the talker

·         Be patient

·         Hold your temper

·         Go easy on argument and criticism

·         Ask questions

·         Stop talking

§  Process of directing behavior of others  toward the accomplishment of objectives

o   Situational Leadership

§  Leadership style must be appropriately matched to the situation the leader faces it requires a unique combinations of leaders followers, and leadership situations.

o   Trait approach to leadership

§  Intelligence

§  Scholarship and athletics

§  Emotional maturity and stability

§  Dependability, persistence, drive

§  Socially adept

§  Desire for status and socioeconomics positions 

o   Forces in the manager

§  Manager’s values

§  Level of confidence in subordinates

§  Personal leadership strengths

§  Tolerance for ambiguity 

o   Transformational leaders

§  Raise followers’ awareness of organizational issues and their consequences

§  Create a vision of the future organization

§  Build commitment

§  Facilitate organizational changes

§  Leading Via energy and initiative

·         dedication

§  Leading Via Idea

·         Creative and imaginative

§  Leading Via Learning

·         Understand new programs

·         “go to” person

§  Leading  through Optimism

·         Takes on the hardest problems

·         Keeps calm and optimistic

§  Leading through Speed

·         Performs faster

§  Leading through Risk

·         Willing to question organizational policies

o   Offers unconventional solutions

§  Despite consequence

§  Encouraging and Leading Creative, Innovative Employees

·         Make personal commitment open yourself to creative people and contributions from different areas.  Set the example or openness by being creative and imaginative yourself

·         Connect creative people to the entire organization by encouraging meetings between creative individuals and other executives

·         Don’t demand unreasonable loyalty to the organization.  Creative people are often more loyal to n idea than an entity

·         Give creative people constants under which to work, but allow them to move freely within those constraints.

·         Gatorade’s story

·         Be careful when measuring the contributions o creative people – what they have to give often cannot be quantified

·         Trust creative people – it will give them a sense of responsibility and the pressure to do the job right.  Acknowledge your creative sources through your loyalty to them.  

§  Coaching

·         Relates to ability problems

·         Advice, info, standards related to work performance and work skills

·         Instructs followers to meet organizational challenges

o   Listen closely

o   Give emotional support

o   Show by example

·         Relates to attitude problems

§  Superleadership

·         Showing others how to lead themselves

o   Creating new leaders

·         Develop followers who are:

o   Productive

o   Work independently

o   Need only minimal supervision

·         Teaches followers to

o   Think on their own

o   Act constructively and independent

o   Eliminate negative beliefs about company and co-workers

§  Entrepreneurial Leadership

·         Attitude that the leader is self-employed

o   Acts as if they are playing a critical role

o   Behaves as I they are taking risk of losing money

o   Treat each mistake as if it were a significant error

§  Substitute theory of leadership

·         At least in some situations with some people in some organizations things seem to get done regardless of the quality of leadership

o   Motivation

§  The inner stat that causes an individual to behave in a way that ensures the accomplishment of some goal

o   Needs-Goal Theory

§  Felt needs cause human behavior

§  Individuals feels a need

§  Need is transformed into behavior to reduce felt need

o   Vroom Expectancy Theory

§  Felt needs cause human behavior and motivation strength depends on an individual’s degree of desire to perform a behavior.

o   Equity Theory

§  Emphasizes individual’s perceived fairness of an employment situation and how perceived inequities can cause certain behaviors.

§  To try to right inequity (compared with co-workers)

·         Change work to match rewards

·         Ask for raise or take legal action

·         Change perception of own job or equity

·         Quit the job

o   Maslow’s Hierarchy of Needs

§  In order o satisfaction

·         Self-actualization needs

·         Esteem needs

·         Social needs

·         Security needs

·         Psychological needs

o   Maturity-Immaturity Continuum (Argyis)

§  Based upon the natural progression humans

§  Passivity to activity

§  Dependence to independence

§  Simple behavior to complex behavior

§  Brief attention spans to lasting interests

§  Subordinate position to equal or superior

§  Lack o self-awareness to control of self

o   Acquired Needs Theory (McClelland)

§  Need for achievement

·         desire to do something better or more efficient

§  Need for power

·         Desire to control, influence, or be responsible or others

§  Need or affiliation

·         Desire to maintain close, friendly personal relationships

§  A fundamental belief system

§  Theory X

·         People are passive ,even resistant to change

·         People work little as possible

·         Lack ambition, dislikes responsibility, prefers to be led

·         Self-centered and indifferent to organizational needs

·         Gullible, not very bright, and a ready fool

§  Theory Y

·         People seek meaningful work

·         People are not basically passive or resistant to change

·         There is the potential or development of people

·         People are able to direct behavior toward organizational goals

o   Degree of Satisfaction and Dissatisfaction (Hertzberg)

§  Hygiene (or Maintenance) factors

·         Expectations, which if not met, will lead to disaffection.

o    The work environment

§  Motivating Factors

·         Items that influence the degree of job satisfaction

o   The work itself

o   Likert’s Management Systems

§  Lack of confidence or trust in subordinates

§  Condescending master-to-servant

§  Substantial, though not complete, confidence in subordinates

§  Complete trust and confidence in the subordinates.

·         You move to the highlighted

§  Advantages

·         Improved attitude and moral

·         Accommodation of working parents

·         Decreased tardiness

·         Fewer  computing problems

o   Workers can avoided congested streets and highways

·         Accommodation of those who wish to arrive at work before normal workday interruption begin

·         Facilitation of employees scheduling of medical,  dental, and other types of appointments

·         Accommodation of leisure-time activities of employees

·         Decreased absenteeism

·         Decreased turnover

§  Disadvantages

·         Lack of supervision during some hours of work

·         Key people unviable at certain times

·         Understaffing at times

·         Problems of accommodating employees whose output is the input for other employees

·         Employees abuse the flextime program

·         Difficulty in planning work schedules

·         Problem of keeping track of hours worked or accumulated

·         Inability to schedule meetings at convenient times

o   Committee:

What, Why, Steps

§  Forma group assigned a specific activity

·         Allows members to exchange activities

·         Generates suggestions and recommendations

·         Develops a new ideas for solving existing problems

·         Assists in development of organizational policies

§  The larger the company higher number of committees

§  Why managers use committees

·         Improve quality of decision making

·         Encourage expression of honest opinions

·         Increase participation in decision making

·         Ensure representation of important groups

§  Procedural Steps for Committees

·         Clearly defined goals in writing

·         Authority should be specific

·         Optimum size is 5-10

·         Select capable chairperson

·         Appoint permanent secretary

·         Agenda and materials before meetings

·         Start and end meetings on time 

o   any number of people who

§  Interact with one another

§  Are psychologically aware of one another

§  Perceives themselves to be a group

o   Types of groups

§  Formal groups

·         Established by management

§  Command Group

·         Handles routine tasks

§  Task groups

·         Handles non-routine tasks

o   Often from different parts of the organization

§  Informal groups

·         Interpersonal relations that extend beyond those established by management

o   Interest group

§  Common concern about a specific issue

o   Friendship group

§  Based on personal affiliations

§  Belief in the reliance, ability, and integrity of another

§  Trust is the most fundamental ingredient of effective teams

§  Subordinates’ trust their manager is critically low and employee opinion polls indicate that it may well decline further

o   Strategies to Build trust wit teams

§  Communicate often

§  Show respect

§  Be fair

·         No favorites

§  Be predictable

§  Demonstrate competence

§  Effective Teams

·         Have interdependent members

·         Help members be more efficient working together than alone

·         Function so that they create their own magnetism

·         Do not always have the same leader

·         Members care for and nature one another

·         Members cheer for and holster the leader and vice versa

·         Have high level of trust among strong members.

o   Small Wins Strategy

§  Make small, but definite, change

§  Build positive momentum by building series of small wins

§  Learn to be successful and practice how to both manage successes and failures of manageable proportions

§  Learn to take on more complex challenges

o   Three Characteristics

§  Left-brained and right-brained

·         Left

o   Head

§  Objectives, targets, intended accomplishments

·         Right

o   Heart/emotion

§  metaphors, colorful language, imaginations

§  Interesting

·         What people judge to be interesting may have little to do with trust

·         Vision helps create a new way to view the future and midly challenge current state of things

§  Passion and Principles

·         Grounded in core values in which team members believe and feel passionate

·         Principles in the vision must be personal

o   Passionately involved v committed

o   Awesome products v useful items

§  5 strategies for success – Snow and Mulrooney

·         Establish a clear, compelling direction

o   Articulate a vision

o   Seek input

·         Create an appropriate structure

o   Set boundaries and rule of conduct

o   Identify expertise and use it

o   Keep competition to minimum

·         Select the right people

o   Expertise

o   Good team members

o   High level of emotional intelligence or empathy

o   Individual integrity

o   Move ahead together once decision is made

·         Support the Team

o   Leadership training and individual coaching

o   Compensation tied to performance

·         Provide opportunities for development

o   Review team performance

o   Modify plan as necessary

o   Attitudes

§  Predisposition to react to a situation, person, or concept with a particular response

§  Attitudes are internal

§  Cognitive

·         Information and belief about a particular person or object

§  Affective

·         Positive or negative feelings about a person or object

§  Behavioral

·         Intent or desire to behave in a certain way toward a particular person or object

o   Peer Beliefs

§  A person’s belief that specific individuals or groups think that he or she should or should not perform the behavior and the individuals motivation to the company

o   Process of Perception

§  Selected stimuli

§  Perception Filters

§  Individual chooses a response to the stimulus

§  Behavior chosen response based on attitudes, norms, past experiences

o   Perceptual Distortions

§  Stereotype

·         Fixed, distorted generalization

§  Halo Effect

·         Allowing one aspect of one’s behavior to influence evaluation of all other aspects of that person’s behavior

§  Projection

·         Unconscious tendency to assign one’s own traits, motives, beliefs, and attitudes to others

§  Attributions

·         Overestimating internal causes and underestimating external causes of other’s behavior

§  Self-Serving Bias

·         “attribution” related to one’s own behavior

o   Operant Learning

§  Behavior leading to positive consequences is more likely to be repeated

o   Cognitive Learning

§  Focuses on thought process and assumes that human beings have a high capacity to act in a purposeful manner, and to choose behaviors that will enable them to achieve long-run goals

§  It is the basis for “goal-setting” strategies and has become the most widely applied learning theory in the business world

§  The importance of Organizational Culture

·         Enhance organizational productivity

·         Component of strategy

·         Rationale for staffing

·         Guide operational decisions

o   Establishing a vision of organization change

§  Quality dimension

·         Product dose what it is supposed to

§  Ethic dimension

·         Good for the company and others

·         Social entrepreneurship

§  Innovation dimension

·         Application of new ideas

§  Spirituality dimension

·         Acceptance of spirituality

·         Not just of one denomination

§  Diversity dimension

·         Differences are good

§  Customer dimension

·         Stories about cultural ideas 

o   Cultural Ideas 

§  Values:  beliefs leading to emotional investment

§  Organizational myths:  story illustrating cultural ideal – Steve Jobs

§  Organizational Sagas:  heroic stories – Bill Gates

§  Organizational language:  Members of the Cast-Disney

§  Building and maintain organization culture through artifacts

·         Organizational symbols:  objects with value

o   Ronald McDonald

·         Organizational ceremonies:  formal activities

o   Opening new stores

o   Service awards

·         Organizational Rewards:  tailored to behavior

o   Bonuses

o   Verbal Recognition 

§  Organization Socialization

·         Integrating new employees into the organizational cultural

§  Possible Process of Socialization

·         Recruit new employees

·         Provide initial work experiences

·         Provide role models

·         Define informal organization

·         Evaluate cultural fit

§  Defining Creativity

·         Ability to generate ideas or new perspective on existing ideas

o   Idea must be useful and actionable

o   Must have desirable impact on organizational goals

o   Positive impact or productivity, communication, coordination, or quality

o   Essential to organizational success 

·         To encourage creativity in organizations, managers can

o   Challenge workers

o   Challenge worker autonomy

o   afford time for accomplishing work

o   establish diverse work groups

o   personally encourage workers

o   establish systems support

o   hire and retain creative people

§  Individual Creativity

·         Expertise

o   Everything an individual knows and can do in his/her work

·         Creative thinking

o   Capacity to put existing ideas together in new combinations

·         Motivation

o   Individual’s need or passion to be creative

§  felt need to be creative

§  Innovation

o   Applying the idea

·         The innovation process

o   Step one

§  Technology ideas

§  Product ideas

§  Process ideas

§  Management ideas

o   Step 2

§  Developing

o   Step 3

§  Diffusing

o   Step 4

§  Integrating

o   Step 5

§  Monitoring 

§  Quality

·         How well a product or service dose what it’s supposed to do

·         Total Quality Management TQM

o   Continuous process

o   Involves all organizational members

o   Examines every activity

·         The importance of quality

o   Positive corporate image

o   Lower costs and higher market share

o   Control

§  Making something happen the way it was planned to happen

§  Planning and control are virtually inseparable functions

§  Measures performance

·         Create a baseline:  first, measure current organizational performance

·         Position for the future:  determine what must be done to make the organization more effective and efficient

·         How to measure

o   Establish units of measure that represents performance (auto produced, hours billed, patients discharged)

o   Determine the number of units which are appropriate to the job

·         What to measure

o   Note:  there may be a wide range of organizational activities which can be measures.  Choose those which are most meaningful.

o   Examples:  inventory (amounts, types), quality of both goods and services

·         There are relative degrees of difficulty in measuring various types of organizational performance.

o   Consumer perception of product quality V. number of items sold

o   Standard

§  Level of activity established to serve as a model for evaluating organizational performance

·         Symptom

o   A sign that a problem exists

·         Controller

o   The staff person with basic responsibility to assist line managers with controlling function by gathering appropriate info and generating necessary reports the reflect this info

o   Not the same as the CFO

·         Power

o   The extent to which an individual is able to influence others so that they respond to orders

o   Position power

§  Power derived from the organizational position a manager holds

o   Personal Power

§  The power derived from a manager’s relationships with others

o   Total Power

§  The entire amount of power an individual possess in an organization

§  (position power + personal power)

o   Lame Duck

§  an elected official still in office but not slated to continue

§  Currently Congress

·         Cost Benefit Analysis

o   Comparing the costs and revenue from an activity to determine the activity’s total worth to the organization.  

o   Productivity = Outputs/Inputs

§  Outputs

·         Goods/services produced

·         Inputs

o   Resources of production

§  People, raw materials, money, etc.

·         The higher the ratio of outputs to inputs , the higher the productivity

o   Strategies for increasing productivity

§  Improve workforce through training

§  Automation

§  Improve production design

§  Improve production facility

§  Hire/retain quality workers

·         Quality

o   The extent to which a product reliably dose what it is intended to do

·         Quality Assurance QA

o   An operations process involving a broad group of activities aimed a achieving the organization’s quality objectives. 

·         Operations Management “Opps”

o   Managerial activities of selecting, designing, operating, controlling and updating production systems

o   Manager

§  People who get things done by working with or through other people

o   Within the context of objectives and policies that drive the organizations strategic plan 

·         Capacity Strategy

o   Operational plan to provide the right facilities to produce the needed output at the right time

§  Insufficient capacity = loss sales

§  Excess capacity = higher production costs

·         Effectiveness

o   Doing the right things

·         Efficiency

o   Doing things right

·         Just-In-Time inventory control JIT

o   Techniques for reducing inventories to a minimum by arranging for production components to be delivered to the production facility “just in time” to be used           

·         Zero-Based budget

·         Variable Budget

o   Resources to be used according to production level

·         Cost

o   Fixed Cost

§  Expenses incurred regardless of production

o   Variable costs

§  Expenses that fluctuates with production

o   Total cost

·         Revenue / Income

o   Total Revenue

§  Income from sales of g and s

o   Profit

§  Total revenue exceeds total costs

o   Loss

§  Total costs exceed total revenue

o   Breakeven

§  Revenue and costs are equal 

·         Data

o   Frame your questions carefully

§  Specific focus or problem

§  Time period

§  Comparative population 

·         MIS

o   Management information system

§  Network established within an organization to provide managers with information to assist them in decision making

o   To provide selected decision-oriented information needed to plan, control, and evaluate activities of the corporation