2. Needed: People-Centered Managers and Workplaces
Chapter One
Needed: People-Centered Managers and Workplaces
McGraw-Hill/Irwin
Organizational Behavior: Key Concepts, Skills & Best Practices, 3/e
Copyright © 2008 The McGraw-Hill Companies, Inc. All rights reserved.

3. After reading the material in this chapter, you should be able to:
Identify at least four of Pfeffer’s people-centered practices, and define the term management.
Contrast McGregor’s Theory X and Theory Y assumptions about employees.
Explain the managerial significance of Deming’s rule, and identify the four principles of total quality management (TQM).

4. After reading the material in this chapter, you should be able to:
Contrast human capital and social capital, and identify five measurable outcomes when building human capital.
Explain the impact of the positive psychology movement on the field of OB.
Define the term E-business, and explain at least three practical lessons about effective e-leadership in a virtual organization.

5. Pfeffer’s Seven People-Centered Practices
Job security
Careful hiring
Power to the people
Generous pay for performance
Lots of training
Less emphasis on status
Trust building

6. How Important are People
Factors are a package deal – need to be installed in a coordinated and systematic manner
Too many managers act counter to their declarations that people are their most important asset
Undue emphasis on short-term profit

7. The 4-P Cycle of Continuous Improvement

8. Question?
What is the process of working with and through others to achieve organizational objectives efficiently and ethically?
Planning
Management
Organizational Behavior
Organizational Flow
The correct answer is “B” – management. See next slide.

9. Managers Get Results Management
process of working with and through others to achieve organizational objectives efficiently and ethically
Today’s manager needs to creatively envision and actively sell bold new directions in an ethical and sensitive manner

10. A Skills Profile for Managers
Typical manager’s day is a fragmented collection of brief episodes
Interruptions are commonplace while large blocks of time for planning are not

11. Skills & Best Practices: The Effective Manager’s Skill Profile
Clarifies goals and objectives for everyone involved.
Encourages participation, upward communication, and suggestions.
Plans and organizes for an orderly workflow.

12. Skills & Best Practices: The Effective Manager’s Skill Profile
Has technical and administrative expertise to answer organization-related questions.
Facilitates work through team building, training, coaching, and support.
Provides feedback honestly and constructively.
Keeps things moving by relying on schedules, deadlines, and helpful reminders.

13. Skills & Best Practices: The Effective Manager’s Skill Profile
Controls details without being overbearing.
Applies reasonable pressure for goal accomplishment.
Empowers and delegates key duties to others while maintaining goal clarity and commitment.
Recognizes good performance with rewards and positive reinforcement.

14. Three Lessons for Managers
Dealing effectively with people is what management is all about.
Managers with high skills mastery tend to have better subunit performance and employee morale
Effective female and male managers do not have significantly different skill profiles

15. 21st-Century Managers Teams are pushing aside the individual
Command-and-control management is giving way to participative management and empowerment
Ego-centered leaders are being replaced by customer-centered leaders
Employees are being viewed as internal customers

16. Evolution of 21st Century Managers

17. The Field of Organizational Behavior
Organizational Behavior - Interdisciplinary field dedicated to better understanding and managing people at work

18. The Field of Organizational Behavior
Psychology
Management
Sociology
Organization theory
Social psychology
Statistics
Anthropology
Economics
Information technology
Political science
Vocation counseling
Psychometrics
Ergonomics

19. The Human Relations Movement
Legalization of union-management collective bargaining
Behavioral scientist called more attention to the human factor
Elton Mayo – Western Electric Hawthorne study

20. The Hawthorne Legacy
Interviews do not support initial conclusions about positive effect of supportive supervision
Money, fear of unemployment, managerial discipline and high quality raw materials were responsible for high output

21. Mary Parker Follett
Follett saw employees as complex bundles of attitudes, beliefs, and needs
Managers should motivate job performance

22. McGregor’s Theory Y
Theory X assumptions – pessimistic and negative, typical of how managers traditionally perceived employees

23. McGregor’s Theory Y
Theory Y – believed managers could accomplish more through others by viewing them as self-energized, committed, responsible, and creative beings

24. Question?
What organizational culture is dedicated to training, continuous improvement, and customer satisfaction?
Process
Total Customer Quality
Total Quality Management
Deming SPC
The correct answer is “C” – Total Quality Management. See next slide.

25. What is TQM?
Total Quality Management: An organizational culture dedicated to training, continuous improvement, and customer satisfaction

26. What is TQM? Principles of TQM
Do it right the first time to eliminate costly rework.
Listen to and learn from customers and employees.
Make continuous improvement an everyday matter.
Build teamwork, trust and mutual respect.

27. The Deming Legacy
Formal training in statistical process control and techniques
Helpful leadership, rather than order giving and punishment
Elimination of fear so employees will feel free to ask questions
Teamwork
Elimination of barriers to good workmanship

28. The Deming Legacy 85-15 Rule
When things go wrong, there is roughly an 85% chance the system is at fault.
Only about 15% of the time is an individual employee at fault

29. The Contingency Approach
Using management concepts and techniques in a situationally appropriate manner, instead of trying to rely on “one best way”

30. The Age of Human and Social Capital
Human Capital
The productive potential of one’s knowledge and actions
A present or future employee with the right combination of knowledge, skills, and motivation to excel

31. Five Human Capital Outcomes Defined
SOURCE: L Bassi and D McMurrer, “Developing Measurement Systems for Managing in the Knowledge Era,” Organizational Dynamics,no. 2, 2005, Table 2, p 190.

32. The Age of Human and Social Capital
The productive potential of strong, trusting, and cooperative relationships

33. The Strategic and Importance Dimensions of Human and Social Capital

34. The Positive Psychology Movement
Recommends focusing on human strengths and potential as a way to prevent mental and behavioral problems and to improve the general quality of life

35. Positive Organizational Behavior
Positive Organizational Behavior (POB)
the study and improvement of employees’ positive attributes and capabilities
Read Jean-Pierre Neveu’s article on Positive Organizational Behavior

36. Luthans’s CHOSE Model Of Key POB Dimensions
SOURCE: From The Academy of Management Executive: The Thinking Manager’s Source by F. Luthans. Copyright © 2002 by Academy of Management. Reproduced with permission of Academy of Management via Copyright Clearance Center.

37. The Internet and E-Business Revolution
running the entire business via the Internet
The Internet is a tool that dramatically lowers the cost of communication

38. Video: JetBlue
See Vinny Stabile, VP of JetBlue Airways, discuss the high touch service of his airline. (10:35)
What are the five values of JeBlue Airways?
Note: The video referred to on this slide (and the ones for the remaining chapters) can be found on the Instructor’s Video DVD.