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MGMT Test 3

Terms in this set (48)

Just because you can...
doesn't mean you should!

leaving decisions/actions to others leaves space for others to develop, understand the real problem, lead and grow
Don't confuse mgmt with leadership
mgmt = plans, budgets, organizing staff, solvong problems

leadership = setting vision and direction, aligning people with the vision, motivating/inspiring, producing change
Great leaders SERVE!
SERVE: See the Future, Engage and Develop Others, Reinvent Continuously, Value Results and Relationship, and Embody the Values
Adapt org structure to strategy
org structure: centralized vs decentralized, tall vs flat, narrow vs wide

chosen strategy: prospector vs defender, low cost vs differentiation, integration (vertical, horizontal), diversification (related, unrelated)
Let go, empower people
empowerment: delegation of authority to make decisions, to act

why? best decisions are made closest to where the work is done, and closest to the information
SKA is the difference
Employers are looking for Skills, Knowledge, and ATTITUDE!
What is the secret?
Great Leaders SERVE

a person can lead without serving, but a leader can't lead without serving
What is the leadership meaning of the iceberg metaphor?
We see those who serve!
Leadership is 10% skills and 90% character, you don't see a person's character, but you may experience it
What does See the Future mean? What is heads up vs. heads down?
Develop a compelling vision of the future and communicate that vision continuously

heads up = preparing for the future
heads down = working towards today's implementation
as a leader you must balance both to ensure there is a tomorrow
What does Engage and Develop Others mean?
1) get the right people, in the right jobs
2) level of buy in for the cause or work (stir passion in workers)
3) job challenge and growth (leverage strengths but also strengthen weaknesses

remember: "no matter how long the runway, that pig ain't gonna fly"
What does Re-invent Continuously mean?
improve personal performance: continue learning and growing

improve systems and processes: find how to work better and faster at a lower cost

structural reinvention: what needs to be structured differently to improve results
What does Value Result and Relationships mean?
Signs of a great leader:
1) Do they get results? -> Meet the challenge
2) Do they have followers? -> Have support
What does Embody the Values mean?
People don't care how much you know, until they know how much you care

Trust is earned... credibility follows
What is job specialization?
the degree to which the overall task of the organization is broken down and divided into smaller component parts
What are the common types of grouping jobs?
functional: finance dept, sales, customer service, etc

product: groups activities by products or product groups

customer: grouped by specific customers or customer groups

location: group jobs based on geography
What are the considerations or options in Establishing Reporting Relationships? Wide vs Narrow Spans of control? Tall vs Flat structures?
clarifying the chain of command & span of control

narrow: few top level managers
wide: many high managers in different areas

tall: many management levels with little subs
fall: many subs with few management levels
In what ways can you Distribute Authority?
centralization: systematically retains power and authority in higher level managers (ex. Walmart)

decentralization: systematically delegates power and authority to lower levels (ex. Tata)
How can you Differentiate between positions of line vs staff?
line position: in the direct chain of command, responsible for achievement of organization goals (primary activities - ops, service, sales, etc)

staff position: provides expertise, advice, and support for line positions (support activities - HR mgmt, tech dev, etc)
What are the characteristics of the Bureaucratic and Behavior models of organizational design?
bureaucratic - org based on a legitimate and formal system of authority (clear practices and procedures, but rigid and resistant to change)

behavioral - stresses attention to developing work groups an concern interpersonal processes
Situational view characteristics - current view
1) size of the org (larger firms have more job specialization, standard op rules and regs, and degree of decentralization)

2) technological complexity (as it increases, so does the level of mgmt needed, span of control, and staff size)

3) stable and unstable environments (rigid, tightly controlled vs highly flexible and adaptable)

4) organizational life cycle (introduction -> growth -> maturity -> decline)

5) strategy
Situational view: How does a business prospector or defender strategy affect organizational structure?
prospector - more differentiation creates a flat and decentralized org structure (facilitate creativity and speed of decisions)

defender - more low cost creates a tall and centralized org structure (facilitates efficiency with low cost)
What is the functional (U) design of organization structure?
based on the functional approach to departmentalization, units are grouped into functional departments
What is the conglomerate (H) design of organization structure and what strategy does it support?
an organization with unrelated businesses

H for holding -> unrelated diversification

supports prospector strategy
What is the divisional (M) design of organization structure and what strategy does it support?
multiple businesses in related diversification areas, opportunity for coordination and shared resources

supports defender strategy
What is the matrix design of organizational structure?
based on two overlapping bases of departmentalization, project managers head a project group composed of representatives from functional groups
Why does structure follow strategy?
structure enables effective strategy execution
What is a person's psychological contract?
how their employee contributions match business expectations
What does a person's "fit" with a job mean? Why is it important?
the person fits well with the job, in order to maximize performance and achieve business results

fit skills required, knowledge requires, emotional intelligence, ability to handle stress, and individual personality needed for the job
What do the Big 5 personality traits mean and how do they affect management decisions as to job fit?
"before you effectively lead, you must first understand people"

agreeableness - a person's ability to get along with others

conscientiousness - the number of things a person can effectively work on at one time

negative emotionality - extent to which a person is poised, calm, resilient, and secure

extraversion - a person's comfort level with relationships

openness - a person's rigidity of beliefs and range of interests
What do the Myers-Briggs 4 dimensions mean and how do they affect management decisions as to job fit?
helps managers get the right people, in the right jobs, at the right time

E vs I: outward or inwardly focused
S vs N: how you prefer information? facts vs big picture
T vs F: how you prefer to make decisions?
J vs P: how you prefer to live? plans vs spontaneous
What is emotional intelligence and why does it make a difference in management?
mix of self awareness, social skills, empathy, motivation (managing emotions), and self regulation (managing oneself)

able to recognize where they are and where others are emotionally
What are work related attitudes and why are they important to management?
-job satisfaction or dissatisfaction (happiness)
-organizational commitment (loyalty)
-organizational engagement (being part of the org and looks for ways to contribute)
Employee engagement: How engaged are employees? Why is it important? What's the key to improving engagement?
only 29% of employees are engaged
Leaders should SERVE to improve employee engagement
What causes work related stress?
task demands, physical demands, role demands, and interpersonal demands
How is performance determined?
ability: the capability to do the job
effort: the energy of doing the job
work environment: resources to do the job
What is Hertzberg's Two Factor Theory of motivation?
job satisfaction and dissatisfaction are not at opposite ends of a continuum, rather different ones with motivation/hygiene factors that add to satisfaction/dissatisfaction
What is the Expectancy Theory of motivation?
motivation depends on two things:
1) how much we want something
2) how likely we think we will get it
What is the Equity Theory of motivation?
motivation = fairness (equity) of rewards vs how others are treated
What is the Goal-Setting Theory of motivation?
assumes behavior is a result of conscious goals and intentions
What are the motivational strategies of empowerment, participation, and working arrangements?
1) empowerment: process of enabling workers to set their own goals, make decisions, and solve problems w/i their sphere of responsibility and authority

2) participation: the process of giving employees a voice in making decisions about their own work

3) working arrangements: compressed work schedule, flexible work schedules, job sharing, telecommuting
What are examples of individual and team/group reward systems?
individual: merit pay and plans, incentive reward systems

team: gain sharing (one time rewards), profit sharing (scanlon plan), employee stock ownership programs (ESOPs)
What is power?
the ability to affect the behavior of others
What are the various forms of power?
positional
-legitimate power: based on the formal position an individual holds in an org
-reward power: gives someone the ability to reward another for their behavior
-coercive power: gives someone the ability to punish another for their behavior can build resentment

personal
-expert power: based on an individual having specialized knowledge or skills
-referent power: based on identification, imitation, loyalty, or charisma ... you are liked
What is empowerment and what are the benefits?
the process of sharing power with subordinates and pushing decision making and implementation to the lowest possible level, increasing the autonomy of all employees

benefits: faster decisions, less bureaucracy, more informed decisions, higher job satisfaction
What is the leadership (managerial) grid?
concern for people vs concern for production
must be balanced
What is House's Path-Goal theory?
theory of how leaders motivate followers (the paths) to achieve designated goals, assumes that leaders can change their styles to match the situation or characteristics of the followers
What is the Leader-Member Exchange theory?
leaders treat each member differently resulting in unique relationships with each member (creates in groups and out groups)
What is servant leadership?
a calling to serve, begins with caring for and wanting to help others, focused on followers need
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