Organizational Behavior People Centered & Ethical Chapter 1 BUSA Wallace

People Centered? – Job Security – Careful Hiring (culture) – Employee Empowerment – Performance Pay – Training (learning organization) – Less status, more team – Trust (everything) What’s Your Work Experience?

Organizational Behavior (OB) Research & Practice – Individual – Group – Organization: “A system of consciously coordinated activities or forces of two or more people” (Chester I. Bernard)

Organization Background

Society & Org Development

OB & Org Design Connection

Networked Organizations

OB – Life Long Learning Source: Lawler III, E.E. (2003).

OB-OD Brief History 1776 – Adam SmithAdam Smith 1820’s - Railroad 1900’s – Assembly Lines (Ford) 1930’s Human Relations – Mayo & Follett; Barnard. 1940’s - Deming 1950’s – Hawthorne Legacy 1960’s – McGregor (X&Y) 1980’s –Total Quality Management 1980’s – Six Sigma 1990’s – Reeingineering 2000 – Lean Six Sigma The Fact is that over 70% of these efforts FAIL to improve performance or stakeholder value!

The Reality of the American Workforce What percentage of the American workforce do NOT utilize their full capabilities on the job? 1. 10% 2. 35% 3. 50% 4. 75% Source: HR Magazine Jason Fried: Why Work Doesn't Get Done At Work

What do you think? True (A) or False (B)? 1.Effective managers tend to have high skills mastery. 2.Derailed managers underestimate their skills mastery. 3.Effective female and male managers have significantly different skill sets.

McGregor Theory X & Theory Y Theory X – Most people dislike work and want to avoid it – People require close direction – People want to avoid responsibility and have little ambition Theory Y – Work is a natural activity – People can be self-directed if they are committed to the objective – Rewards help commitment – Most employees accept and seek responsibility – Employees have imagination, ingenuity and creativity

Total Quality Management (TQM)

Reengineering

Six Sigma (Lean Six Sigma)

TQM vs. Six Sigma

Management Evolution Primary RolePast ManagersFuture Managers Cultural Orientation Monocultural, monolingual Multicultural, multi- lingual Source of influenceFormal authority Technical knowledge and interpersonal skill View of peoplePotential problem Primary resource; human capital Decision-making style Limited input for individual decisions Broad-based input for joint decisions Ethical considerationsAfterthoughtForethought

First, Break all the Rules (Wagner, R & Harter, J.K., 2006). 1.I know what is expected of me at work. 2.I have the materials and equipment I need to do my work right. 3.At work, I have the opportunity to do what I do best every day. 4.In the last seven days, I have received recognition or praise for doing good work. 5.My supervisor, or someone at work, seems to care about me as a person. 6.There is someone at work who encourages me development. 7.At work, my opinions seem to count. 8.The mission or purpose of my company makes me feel my job is important. 9.My associates or fellow employees are committed to doing quality work. 10.I have a best friend at work. 11.In the last six months, someone at work has talked to me about my progress. 12.This last year, I have had opportunities at work to learn and grow.

Changing Minds (Gardner, H., 2006). 1.Reason 2.Research 3.Resonance 4.Redescriptions: 5.Resources and Rewards 6.Real World Events 7.Resistances

Corporate Social Responsibility Source: Carroll, A. B. “Managing Ethically with Global Stakeholders: A present and future challenge, Academy of Management Executive, May 2004, p. 116.

Ethics in American Business 1.Occasional observed unethical behavior 2.Job applicants misinformed about financial condition of company 3.Applicants who lied about their work histories 4.Applicants who lied about their education 5.Applicants who lied about their credentials/licenses A.23% B.44% C.62% D.64% E.41%

Ethics in American Business 1.Occasional observed unethical behavior – 62% 2.Job applicants misinformed about financial condition of company – 64% 3.Applicants who lied about their work histories – 44% 4.Applicants who lied about their education – 41% 5.Applicants who lied about their credentials/licenses – 23%

Moral Principles – David Hodgson Dignity of human life Autonomy Honesty Loyalty Fairness Humaneness The common good

Improving Ethics Model the Way Screen Potential Employees Develop and enforce a meaningful code of ethics – Equally distributed – Supported – Specific

Training Reinforce Create structure Eliminate the need for whistle-blowing. (Remember Gardner?)

Changing Minds (Gardner, H., 2006). 1.Reason 2.Research 3.Resonance 4.Redescriptions: 5.Resources and Rewards 6.Real World Events 7.Resistances

Course Structure

The Bottom Line is YOU! Companies today aren’t managing their employee’s careers; knowledge workers must, effectively, be their own chief executive officers. It’s up to you to carve out your place, to know when to change course, and to keep yourself engaged and productive during a work life that may span 50 years. To do these things well, you’ll need to cultivate a deep understanding of yourself—not only how you learn, [but] how you work with others, what your values are, and where you can make the greatest contribution. Because only when you operate from strengths can you achieve true excellence. Peter Drucker (2005)