1. Chapter 2 Organizations 2001 & Managerial Challenges Nelson & Quick

2. Remaining Competitive: Four Major Challenges to Managers
Globalizing the firm’s operations
Managing a diverse workforce
Keeping up with technological change and implementing technology in the workplace
Managing ethical behavior 2

3. Changing Business Perspectives
International implies an
individual’s or organization’s nationality
is held strongly in consciousness
Move to
Globalization implies the world
is free from national boundaries and
that it is really a borderless world 3

4. Changing Business Perspectives
In Multinational organizations,
the organization was recognized as
doing business with other countries
Move to
In Transnational organizations,
the global viewpoint supersedes
national issues. 4

5. Changes in the Global Marketplace
Collapse of Eastern Europe
Union of East and West Berlin
Expansion of business with China
Creation of the European Union
Establishment of the North American Free Trade Agreement 5

6. Understanding Cultural Differences
June
Individualism/Collectivism
High power distance/Low power distance
High uncertainty Low uncertainty
avoidance avoidance
Masculinity/Femininity
Long-term orientation/ Short-term orientation
Reprinted with permission of Academy of Management, PO Box 3020, Briar Cliff Manor, NY Cultural
Constraints in Management Theories (Figure), G. Hofstede, Academy of Management Executive 7, (1993). Reproduced
by permission of the publisher via Copyright Clearance Center, Inc. 6

7. Where the U.S. Stands Individualism Low power distance
Low uncertainty Avoidance
Masculinity
Short-term orientation 7

8. Developing Cross-Cultural Sensitivity
Cultural sensitivity training
Cross-cultural task forces/teams
Global view of human resource functions
Planning
Recruitment and Selection
Compensation
Training and Development 8

9. Diversity
All forms of individual differences, including culture, gender, age, ability, personality, religious affiliation, economic class, social status, military attachment, and sexual orientation

10. Diversity Statistics for the Workplace
Cultural
2020 Workforce: 68% white non-Hispanic
14% Hispanic
11% African-American
Gender
2020 Workforce: 50% male
50% female

11. Diversity Statistics Affecting the Workplace
Age
By 2000, median U.S. age will be 36
resulting in a job crunch among middle-
aged workers and greater intergenerational
contact in the workplace.
Ability
An estimated 43 million disabled live in the
U.S.; their unemployment rate exceeds 60%

12. Diversity Benefits Attract & Retain Talent Result in Better Problem
Solving
Diversity
Benefits
Enhance
Organizational
Flexibility
Enhance
Marketing
Efforts
Promote
Creativity &
Innovation

13. Diversity Problems Slower Resistance Decision- to Change Making
Possibility of
Conflicts
Time to
Achieve
Cohesiveness
Communication
Problems

14. Technological Innovation
Technology
The intellectual and mechanical processes used by an organization to transform inputs into products or services that meet organizational goals
Examples
Expert system - computer based application using representation of human expertise in a specialized field of knowledge to solve problems
Robotics - use of robots in
organizations

15. Alternative Work Arrangements
Telecommuting - transmitting work from a home computer to the office using a modem
reduces company cost
increases productivity
allows access to key workers anywhere
helps retain employees attracted by the flexibility

16. Additional Alternative Work Arrangements
Hoteling - employees have mobile file cabinets/lockers for personal storage; work spaces are reserved, not assigned
Satellite offices - large facilities broken into smaller workplaces near employees’ homes
Virtual Office: people work
anytime, anywhere, with
anyone.

17. Technological Change Requires Managers to
Focus on helping workers manage the stress of their work
Take advantage of the wealth of information available to motivate, coach, and counsel--not to control
Develop technical competence to gain workers’ respect

18. Help Employees Adjust by
Involving them in decision-making regarding technological change
Selecting technology that increases workers’ skill requirements
Providing effective training
Establishing support groups
Encouraging reinvention (creative application of new technology)

19. Ethical Theories Consequential Theory An ethical theory that
emphasizes the
consequences or results
of behavior
Rule-based Theory
An ethical theory that
emphasizes the
character of the act
itself rather than its effects
Cultural Theory
An ethical theory that
emphasizes respect
for different cultural
values

20. Employee Rights Issues
Computerized monitoring
Drug testing
Free speech
Downsizing
Layoffs
AIDS in the workplace

21. Sexual Harassment = Unwanted Sexual Attention
Gender Harassment - crude comments; behaviors that convey hostility toward a particular gender
Unwanted Sexual Attention - unwanted touching, unwanted pressure for dates
Sexual Coercion - demands for sexual favors through job-related threats or promises
Harassment or
Potential Romance?

22. Organizational Justice
Distributive Justice fairness of the outcomes that individuals receive in an organization
Procedural Justice fairness by which the outcomes are allocated in an organization
Companies
in Danger
CEO
salaries
Competence
and Skill
Race and
Gender

23. Individual & Organizational Responsibility
Whistle-blower - an employee who informs authorities of the wrongdoing of his or her company or coworkers
Hero
“Vile Wretch”
Social Responsibility - the obligation of an organization to behave ethically

24. Rotary Four-Way Test OF WHAT WE THINK, SAY, OR DO
1. Is it the TRUTH?
2. Is it FAIR to all concerned?
3. Will it build GOODWILL and better friendships?
4. Will it be BENEFICIAL to all concerned?

25. Four Challenges to Organizations in the New Millennium
Globalization
Diversity
Technology
Ethics