Welcome to MGTO 321 House key, car key, hulpke best course in HKUST (no matter which prof. YOU make it work) but, requires WORK today: get acquainted with each other, introduce a key concept: a good strategy helps thoughts on GROUPS and TEAMS

Foundations of Group Behavior One of the truly remarkable things about work groups is that they can make 2+2=5. Of course, they also have the capability of making 2+2=3.

Stages of Group Development Prestage Stage I Forming Stage II Storming Stage III Norming Stage IV Performing Stage V Adjourning Material pertinent to this illustration is found on pages 242-243.

Punctuated-Equilibrium Model Time (Low) (High) First Meeting Phase 1 Phase 2 Transition Completion A B (A+B)/2 Performance Material pertinent to this illustration is found on pages 243-245.

Group Norms Informal rules of conduct for behaviors considered important by most group members. 15

Reasons Group Members Conform to Norms Compliance - assenting to a norm in order to attain rewards or avoid punishment. Identification - associating oneself with supporters of a norm and conforming to the norm because those individuals do. 16

Reason Group Members Conform to Norms Internalization - believing that the behavior dictated by a norm is truly the right and proper way to behave. 17

Socialization: The process by which newcomers learn the roles, rules, and norms of a group. Classic Example: How Disney will train its HK employees!! 23

Effective Work Groups Process Gains - Increases in potential performance that result from new ways of motivating and coordinating members. Social Loafing - Tendency of individuals to exert less effort when they work in a group than when they work alone. 3 3

To Reduce Social Loafing Make Individual Contributions Identifiable Make Individuals Feel That They Are Making Valuable Contributions to a Group Keep Group as Small as Possible 5 4

Work Groups and Work Teams Collective Performance Positive Individual & Mutual Complementary Goals Share Information Neutral (sometimes Negative) Individual Random & Varied Synergy Accountability Skills Material pertinent to this illustration is found on pages 286-287.

Mgto 321 Welcome to day 2 more on teams intro to cases first mini-case: Robin Hood

Building Trust Work for others’ interests as well as own Be a team player. Practice openness. Be fair. Speak your feelings. Show consistency in basic values. Maintain confidence. Demonstrate competence. Material pertinent to this illustration is found on page 297-298.

Shaping Team Players Selection Training Rewards ensure candidates can fulfill team roles as well as technical requirements Training most people raised with ideas of individual accomplishment can become team players. Rewards reward cooperative rather than competitive efforts Material pertinent to this illustration is found on pages 297-298

High Performance Teams Optimal size: less than 12 members Abilities: technical expertise problem solving skills interpersonal skills Clearly allocated roles To ensure high performing teams, use these guidelines. Keep the size below twelve members so that the lines of communication stay clear. Be sure to balance the abilities of the members. If all the team members are technically skills, but no one manages the interpersonal relationships, the team will soon disintegrate. Allocate roles clearly on the team. Use participative planning techniques to define the tasks the team must accomplish to reach its goals, and let team members divide the tasks among themselves.

High Performance Teams Commitment to common purpose Specific goals Leadership and structure Individual & joint accountability Appropriate evaluation & reward systems High mutual trust When teams function well, they develop: Strong commitment to the team’s shared purpose, Team goals that everyone backs Clear leadership and structures that help the team be effective Authority and responsibility that are appropriate and maintain the accountability both of individuals and the team as a whole. Reward systems that give strong feedback and help the team constantly improve. A high level of trust that build cooperation and cohesiveness on the team.

The Nature of High Performing Teams

What Are the Properties of Effectively Functioning Teams? Results are consistent Criteria face valid People in effective teams KNOW the answer But this is tacit knowledge We must make it explicit

Key Success Factors for Teams A clear elevating goal Results driven structure Competent team members Unified commitment Collaborative climate Standards of excellence External support and recognition Principled leadership

A Clear and Elevating Goal What does this mean? What is a goal? Clarity: focused and non-political Elevating: worth doing and personally challenging

A Results Driven Structure What types of results problem resolution team creativity team tactical team What kind of team are you? Team structure roles and responsibilities effective communication methods for monitoring and feedback emphasis on fact-based judgements

Competent Team Members Right people for the task technical competencies personal competencies Best matches Problem: intelligent, savvy, people sensitive, high integrity Creative: cerebral, independent, tenacious Tactical: loyal, committed, action oriented

Unified Commitment What does this mean? How to get it? spirit loss of self unity How to get it? involvement balancing expectations group task and maintenance behavior only

Collaborative Climate Meaning? teamwork, whole > sum of parts, working well together Four elements honesty, openness, consistency, respect Total trust through involvement and autonomy

Standards of Excellence Standards matter Standards are hard work Standards are easy to ignore No resting on past performance Standards in this class???

External Support and Recognition What is this? Why is it important? Why is tangible support needed?

Principled Leadership Consistency Courage Standards Communications skills Promotes the other 7 factors Leaders create leaders

Learning with Cases

What Is a Case? A description of an actual situation, commonly involving a decision, a challenge, an opportunity, a problem or an issue faced by a person (or persons) in an organization. Allows you to step figuratively into the position of a particular decision maker. Field-based with the visit of an organization and collects the data. The product of a carefully thought-out process.

Typical Structure of a Case The Opening Paragraph Organization Background Specific Areas of Interest Specific Problem or Decision Alternatives Conclusion (Task)

Why Do We Do Cases? Examine real life situations Practice our analytical tools Engage in discussion of issues/answers Develop professional attitudes

Why use Cases? Cases allow you to take an active role in your learning. More enjoyable than a lecture. But, you must be prepared in each class. You contribute to the class: by teaching others, by actively participating, by taking risks, by learning from the instructor and classmates.

Inventory of Skills Developed by the Case Method Analytical skills Decision making skills Application skills Oral communication skills Time management skills Interpersonal or social skills Creative skills Written communication skills

Preparing for a Case Two forms of preparation for a case: Individual preparation Group discussion small group large group Look at the summary of the case. Look at the assignment questions. Look at topic assigned that day

Analyzing the Case - 7 Steps Defining the issue Analyzing the case data with focus on causes and effects as well as constraints and opportunities Generating alternatives Selecting decision criteria Analyzing and evaluating alternatives Selecting the preferred alternative Developing an action and implementation plan

Analyzing Cases One method: Read the case. Pay the most attention to the opening paragraph and concluding paragraphs. Read the assignment questions. These can help guide more detailed analyses. Do a detailed analysis.

Deliverables Issue identification Analysis and alternatives Recommendations for action Implementation plans

Defining the Issues Produce a clear and comprehensive statement of the issue(s) involved in the case. Clearly identified key concern(s), problem(s), decision(s), challenge(s) or opportunity(ies). 3 things to be considered: Immediate and basic issues Importance Urgency

Generating Alternatives Be creative and think widely Consider constraints and opportunities Be realistic and plausible

Selecting Decision Criteria Provide the basis for evaluation or assessment measures Common decision criteria: Quantitative: profit, cost, return on investment, market share, capacity, delivery time, risk, cash flow, inventory turn, productivity, staff turnover, time to complete, growth rate, quantity Qualitative: competitive advantage, customer satisfaction, employee morale corporate image, ease of implementation, synergy, ethics, flexibility, safety, visual appeal, obsolescence, cultural sensitivity, motivation, goodwill

Analyzing and Evaluating Alternatives List the key advantages and disadvantages of each alternative. Compare and contrast each alternative against the selected criteria by Alternative Analysis Matrix. Short vs long term Predicting outcomes Quantitative vs qualitative analysis

Alternatives and Criteria Alternatives are the different actions the company can take. These are usually provided in the case. Students can suggest their own options. How to select among the options? Need to establish criteria. Criteria emerge from your analysis. Criteria can be qualitative or quantitative.

Alternatives and Criteria Examples of criteria profit, cost, return on investment market share competitive advantage ease of implementation Once criteria are established compare alternatives to criteria alternative that best matches criteria should be the one selected

Example Alternatives and Criteria

Action and Implementation All cases must conclude with an action plan. No action plan, no decision, means analysis is incomplete. Action plan includes recommended decision suggestions for implementation of decision Action plan should answer the questions who, what, when, where and how.

Exercise Read the Robin Hood case. Get together in groups. Identify: The decision to be made The decision maker The context of the case Be prepared to write these items on the board if called upon

Next class: what is strategy? why is it important? to whom might strategy be important?