BUS7000 Organizational Behavior &Theory

BUS7000 Organizational Behavior &Theory
Week 3 Dr Jenne Meyer

Article Analysis

Workplace Emotions, Attitudes, and Stress
McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved.

Emotions Defined Psychological, behavioral, and physiological episodes that create a state of readiness. Most emotions occur without our awareness Two features of all emotions: All have some degree of activation All have core affect –evaluate that something is good/bad Psychological, behavioral, and physiological episodes experienced toward an object, person, or event that create a state of readiness • Brief events or episodes directed toward someone or something e.g. joy or anger toward tasks, customers, etc. • Most emotional reactions are subtle and occur without our awareness • Experiences – represent changes in our physiological state (e.g. heart rate), psychological state (e.g. thought processes), and behavior (e.g. facial expression) Features of all emotions • Evaluation (core affect) – generate a global evaluation e.g. that something is good or bad, helpful or harmless • Activation – generate some level of energy within us Moods • Not directed toward anything in particular and tend to be longer-term emotional states

Types of Emotions Two dimensions of emotions – evaluation and activation • Foundation of the circumplex model of emotions • e.g. fearful is a negative emotion that generates a high level of activation • e.g. relaxed is a pleasant emotion that has fairly low activation

Attitudes versus Emotions
Judgments about an attitude object Experiences related to an attitude object Based mainly on rational logic Based on innate and learned responses to environment Attitudes • Cluster of beliefs, assessed feelings, and behavioral intentions toward an attitude object i.e. person, object or event • Judgments – involve conscious logical reasoning • More stable over time Emotions • Experiences related to an attitude object • Operate as events, usually without our awareness • Experience most emotions briefly Usually stable for days or longer Usually experienced for seconds or less

Traditional Model of Attitudes
Purely cognitive approach Beliefs: established perceptions of attitude object Feelings: calculation of good or bad based on beliefs about the attitude object Behavioral intentions: calculated motivation to act in response to the attitude object Problem: Ignores important role of emotions in shaping attitudes Purely cognitive approach Three components of attitudes • Beliefs – established perceptions about the attitude object • Feelings – conscious positive or negative evaluations of the attitude object (assessed feelings) • Behavioral intentions – motivation to engage in a particular behavior regarding the attitude object • Problem – ignores important and parallel emotional process that shapes attitudes

Attitudes: From Beliefs to Behavior
Perceived Environment Attitude Feelings Beliefs Behavioral Intentions Cognitive process Emotional process Emotional Episodes Beliefs influence our feelings • Beliefs are perceived facts that you acquire from experience and other forms of learning Feelings influence our behavioral intentions • Feelings are calculated from your beliefs e.g. like or dislike • People with same feelings can form different behavioral intentions due to different perceptions about consequences Behavioral intentions to behavior • Whether your intentions translate into behavior depends on the situation and possibly other MARS elements Behavior

Emotions, Attitudes, and Behavior
How emotions influence attitudes: Feelings and beliefs are influenced by cumulative emotional episodes (not just evaluation of beliefs) We ‘listen in’ on our emotions Potential conflict between cognitive and emotional processes Emotions also directly affect behavior e.g. facial expression Emotions play a central role in forming and changing employee attitudes • Feelings and beliefs are influenced by numerous emotional episodes you experience (not just cognitive evaluation of beliefs) • We “listen in” on our emotions while thinking through what we like or dislike Potential conflict – cognitive and emotional processes may disagree with each other i.e. “mental tug-of-war” – sensing that something isn’t right even though they can’t think of any logical reason to be concerned Emotions also directly affect behavior e.g. facial expression

Generating Positive Emotions at Work
LeasePlan USA and other companies apply the dual cognitive-emotional attitude process. They actively create more positive than negative emotional episodes, which produce more positive work attitudes. LeasePlan USA and other companies apply the dual cognitiveemotional attitude process. They actively create more positive than negative emotional episodes, which produce more positive work attitudes.

Cognitive Dissonance A condition whereby we perceive an inconsistency between our beliefs, feelings, and behavior. This inconsistency generates emotions (e.g., feeling hypocritical) that motivate us to increase consistency. Easier to increase consistency by changing feelings and beliefs, rather than change behavior. A condition that occurs when we perceive an inconsistency between our beliefs, feelings, and behavior • Inconsistency generates emotions (e.g. feeling hypocritical) that motivate us to create more consistency by changing one or more of these elements • When it is difficult to undo or change behavior e.g. quit your job – people reduce cognitive dissonance by changing their beliefs and feelings or rebalancing their self-concept indirectly

Emotional Labor Defined
Effort, planning and control needed to express organizationally desired emotions during interpersonal transactions. Higher in job requiring: Frequent/lengthy emotion display Variety of emotions display Intense emotions display Effort, planning and control needed to express organizationally desired emotions during interpersonal transactions Emotional labour higher in job requiring: • Frequent and longer interactions with clients • Variety of emotions e.g. anger as well as joy • More intense emotions (e.g. showing delight)

Emotional Labor Across Cultures
Displaying or hiding emotions varies across cultures Minimal emotional expression and monotonic voice in Ethiopia, Japan, Austria Encourage emotional expression in Kuwait, Egypt, Spain, Russia Displaying or hiding emotions varies across cultures • Minimal emotional expression and monotonic voice in Ethiopia, Japan, Austria • Encourage open display of one’s true emotions in Kuwait, Egypt, Spain, Russia—people expected to be dramatic and animated

Emotional Labor Challenges
Difficult to display expected emotions accurately, and to hide true emotions Emotional dissonance Conflict between true and required emotions More stressful with surface acting Less stressful with deep acting Difficult to display expected emotions accurately, and to hide true emotions Emotional dissonance: • Conflict between true and required emotions • Potentially stressful with surface acting (pretending) • Less stress through deep acting (changing true emotions to match required emotions)

Emotional Intelligence Defined
Ability to perceive and express emotion, assimilate emotion in thought, understand and reason with emotion, and regulate emotion in oneself and others A set of abilities to perceive and express emotion, assimilate emotion in thought, understand and reason with emotion, and regulate emotion in oneself and others

Model of Emotional Intelligence
Self (personal competence) Other (social competence) Self-awareness Awareness of others’ emotions Recognition of emotions Self-management Management of others’ emotions Research findings converging around the four quadrant model —organizes EI into four dimensions representing: • Recognition of emotions in ourselves and in others • Regulation of emotions in ourselves and in others Regulation of emotions

Emotional Intelligence Hierarchy
Management of others’ emotions Managing other people’s emotions Highest Awareness of others’ emotions Perceiving and understanding the meaning of others’ emotions Self-management Managing our own emotions Four dimensions of emotional intelligence (from lowest to highest level of competence): Self-awareness of emotions • Ability to perceive and understand the meaning of your own emotions • Able to eavesdrop in on your emotional responses to specific situations and to use this awareness as conscious information Self-management of emotions • Ability to manage your own emotions • Goes beyond displaying behavior that represents desired emotions – requires deep acting to generate or suppress Awareness of others’ emotions • Ability to perceive and understand emotions of others • Empathy – understanding and sensitivity to the feelings, thoughts, and situation of others • Being organizationally aware e.g. sensing office politics and understanding social networks Management of others’ emotions • Managing other people’s emotions e.g. consoling people who feel sad, inspiring team members Self-awareness Perceiving and understanding the meaning of your own emotions Lowest

Improving Emotional Intelligence
Emotional intelligence is a set of abilities/skills Can be learned, especially through coaching EI increases with age -- maturity Emotional intelligence is a set of abilities/skills • Can be learned through personal coaching, practice, and feedback • EI increases with age – maturity

Job Satisfaction A person's evaluation of his or her job and work context An appraisal of the perceived job characteristics, work environment, and emotional experience at work A person's evaluation of his or her job and work context An appraisal of the perceived job characteristics, work environment and emotional experiences at work Most American employees say they are satisfied with their job • Probably inflated because revealing job dissatisfaction in a direct question threatens self-esteem

EVLN: Responses to Dissatisfaction
Exit • Leaving the situation • Quitting, transferring Voice • Changing the situation • Problem solving, complaining Loyalty • Patiently waiting for the situation to improve Exit-voice-loyalty-neglect (EVLN) model identifies 4 ways employees respond to dissatisfaction: 1. Exit: Leaving the situation by resigning from the organization or transferring, or at least trying to get away 2. Voice: Any attempt to change, rather than escape from the dissatisfying situation – e.g. constructive response such as recommending a way to improve the situation or more confrontational such as filing a formal grievance 3. Loyalty: Patiently wait for the situation to improve 4. Neglect: Passive activities that have negative consequences for the organization e.g. reducing work effort/attention to quality, increasing absenteeism Neglect • Reducing work effort/quality • Increasing absenteeism

Job Satisfaction and Performance
Happy workers are somewhat more productive workers, but: General attitude is a poor predictor of specific behaviors Job satisfaction effect on performance is lower when employees have less control over output Reverse explanation: Job performance affects satisfaction, but only when rewarded Happy workers are somewhat more productive workers – there is a moderately positive correlation between job satisfaction and performance…but: 1. General attitude (e.g. job satisfaction) is a poor predictor of specific behaviors – dissatisfaction might lead to turnover, complaining, or patiently waiting rather than reduced performance 2. Dissatisfaction might affect performance only when employees have control 3. Reverse explanation – job performance might cause job satisfaction i.e. higher performers receive more rewards so are more satisfied than low-performing employees who receive less rewards

Service Profit Chain at Clydesdale Bank
Clydesdale Bank in Scotland improved customer service by applying the service profit chain model. It gave its contact center employees more positive experiences at work. Clydesdale Bank’s customer service contact center has gone from 65 percent employee turnover and operating costs 25 percent above industry average (in Europe) to a global role model. This amazing turnaround was achieved by treating employees well so they treat customers well.

Service Profit Chain Model
Job satisfaction increases customer satisfaction and profitability because: Job satisfaction affects mood, leading to positive behaviors toward customers Job satisfaction reduces employee turnover, resulting in more consistent and familiar service Organizational practices Employee satisfaction and commitment Employee retention Employee motivation and behavior Employees’ job satisfaction influences customer satisfaction and company profitability: • Job satisfaction affects mood – leads to displaying friendliness and positive emotions which causes customers to experience positive emotions/service experience • Job satisfaction reduces employee turnover so employees have better knowledge and skills – customers receive more consistent and familiar service Service quality Customer satisfaction/perceived value Customer loyalty and referrals Company profitability and growth

Organizational Commitment
Affective commitment Emotional attachment to, identification with, and involvement in an organization Continuance commitment Calculative attachment – stay because too costly to quit Affective commitment • Emotional attachment to, identification with, and involvement in a particular organization – employee’s feeling of loyalty to the place where he or she works Continuance commitment • Calculative attachment to the organization, whereby an employee is motivated to stay only because leaving i.e. quitting would be too costly – employee chooses to stay because the value (typically financial) of staying is higher than the value of working somewhere else

Building Affective Commitment
Justice/ Support • Apply humanitarian values • Support employee wellbeing Shared Values • Values congruence Trust • Employees trust org leaders • Job security supports trust Justice and support • Apply humanitarian values e.g. fairness, courtesy, integrity • Support employee well-being Shared values • Employees believe their values are congruent with the organization’s dominant values Trust (positive expectations one person has toward another person in situations involving risk) – reciprocal activity • Employees trust leaders • Job security supports trust Organizational comprehension (how well employees understand the organization e.g. strategic direction) • Ensure that employees develop a clear mental model of the organization – information and opportunities to keep up to date, interact with co-workers, learn about history and plans Employee involvement • Employees feel part of company e.g. participate in decisions • Involvement demonstrates trust – builds loyalty Organizational Comprehension • Know firm’s past/present/future • Open and rapid communication Employee Involvement • Employees feel part of company • Involvement demonstrates trust

What is Stress? Adaptive response to situations perceived as challenging or threatening to well-being Prepares us to adapt to hostile or noxious environmental conditions Eustress vs. distress Adaptive response to a situation that is perceived as challenging or threatening to the person’s well-being Prepares us to adapt to hostile or noxious environmental conditions e.g. heart rate increases, muscles tighten, breathing speeds up, body releases adrenaline Eustress • Some level of stress that is a necessary part of life -- activates and motivates people to achieve goals, change their environments, and succeed in life’s challenges Distress • The degree of physiological, psychological, and behavioral deviation from healthy functioning

General Adaptation Syndrome
Stage 1 Alarm Reaction Stage 2 Resistance Stage 3 Exhaustion Normal Level of Resistance Model of the stress experience consisting of 3 stages: 1. Alarm reaction • Threat or challenge activates the physiological stress responses • Individual’s energy and coping effectiveness decrease 2. Resistance • Activates biochemical, psychological, and behavioral mechanisms giving the individual more energy and coping mechanisms to overcome or remove the source of stress • Body reduces resources to the immune system 3. Exhaustion • Usually able to remove the stressor or remove ourselves before becoming too exhausted • People who frequently reach exhaustion have increased risk of long-term physiological and psychological damage

Consequences of Distress
Physiological Cardiovascular disease, hypertension, headaches Behavioral Work performance, accidents, absenteeism, aggression, poor decisions 1. Physiological • Tension headaches, muscle pain • Cardiovascular disease – heart attacks, strokes • Some forms of cancer 2. Psychological • Job dissatisfaction, moodiness, depression and lower organizational commitment 3. Behavioral • Lower job performance, poor decision making, increased workplace accidents, aggressive behavior Job Burnout The process of emotional exhaustion, depersonalization, and reduced personal accomplishment resulting from prolonged exposure to stress • Stage 1: Emotional exhaustion – lack of energy • Stage 2: Cynicism (depersonalization) – indifferent attitude toward work, emotional detachment, strictly follow rules • Stage 3: Reduced personal accomplishment – diminished confidence i.e. learned helplessness Psychological Dissatisfaction, moodiness, depression, emotional fatigue

What are Stressors? Stressors are the causes of stress -- any environmental condition that places a physical or emotional demand on the person. Some common workplace stressors include: Harassment an incivility Work overload Low task control Stressors are the causes of stress – any environmental condition that places a physical or emotional demand on the person Some common workplace stressors include: • Harassment and incivility • Work overload • Low task control

Psychological Harassment
Repeated and hostile or unwanted conduct, verbal comments, actions or gestures, that affect an employee's dignity or psychological or physical integrity and that result in a harmful work environment for the employee. Repeated and hostile or unwanted conduct, verbal comments, actions or gestures that affect an employee's dignity or psychological or physical integrity and that result in a harmful work environment for the employee • Behaviors ranging from threats and bullying to subtle yet persistent forms of incivility Sexual Harassment Unwelcome conduct of a sexual nature that detrimentally affects the work environment or leads to adverse job-related consequences for its victims • Quid pro quo harassment -- employment or job performance is conditional on unwanted sexual relations • Hostile work environment harassment – person experiences sexual conduct from others that interferes with work performance or creates an intimidating, hostile, or offensive working environment e.g. posting pornographic material

Work Overload and Task Control Stressors
Working more hours, more intensely than one can cope Affected by globalization, consumerism, ideal worker norm Task Control Due to lack control over how and when tasks are performed Stress increases with responsibility Work Overload • Working more hours, more intensely than one can cope • Affected by globalization, consumerism, ideal worker norm Low Task Control • Due to lack of control over how and when tasks are performed • Degree to which low task control is a stressor increases with the burden of responsibility e.g. assembly-line workers have low task control but stress can be fairly low if level of responsibility is also low

Individual Differences in Stress
Individual differences that minimize distress: Better physical health – exercise, lifestyle Appropriate stress coping strategies Lower neuroticism Higher extraversion Positive self-concept Lower workaholism People experience different stress levels when exposed to the same stressor Individual differences that minimize distress: • Better physical health – regular exercise, healthy lifestyle • Better coping strategies – seeking support from others, reframing the stressor in a more positive light • Personality – possibly the most important reason i.e. low neuroticism (high emotional stability); extroversion (interact with others, degree of positive thinking); positive self-concept (high self-esteem, self-efficacy, and internal locus of control) Workaholism attracts stressors and weakens ability to cope • Workaholic – a person who is highly involved in work, feels compelled to work, and has a low enjoyment of work

Managing Work-Related Stress
Remove the stressor Minimize/remove stressors Work/life balance initiatives Withdraw from the stressor Vacation, rest breaks Change stress perceptions Positive self-concept, humor Control stress consequences Healthy lifestyle, fitness, wellness Receive social support Remove the stressor • Assigning employees to jobs that match their skills/preferences • Reducing workplace noise • Having a complaint system and taking corrective action • Giving employees more control over the work process • Work-life balance initiatives e.g. flexible and limited work time, job sharing, teleworking, personal leave, child care support Withdraw from the stressor • Permanently – transferred to jobs with better fit • Temporarily – vacations, holidays, sabbaticals, games rooms Change stress perceptions • Improved self-concept, personal goal setting, humor Control stress consequences • Physical exercise, meditation, wellness programs, employee assistance programs Receive social support Others provide emotional and/or informational support

Foundations of Employee Motivation
McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved.

Motivation Defined The forces within a person that affect the direction, intensity, and persistence of voluntary behavior. Exerting particular effort level (intensity), for a certain amount of time (persistence), toward a particular goal (direction). The forces within a person that affect direction, intensity, and persistence of voluntary behavior Motivated employees are willing to exert a particular level of effort (intensity), for a certain amount of time (persistence), toward a particular goal (direction)

Employee Engagement Individual’s emotional and cognitive (rational) motivation, particularly a focused, intense, persistent, and purposive effort toward work-related goals. High absorption in the work. High self-efficacy – believe you have the ability, role clarity, and resources to get the job done The employee’s emotional and cognitive motivation, selfefficacy to perform the job, perceived clarity of the organization’s vision and his/her specific role in that vision, and belief that he/she has the resources to get the job done • Focused, intense, persistent, and purposive effort toward workrelated goals • High level of absorption in the work i.e. intense focus • High self-efficacy i.e. belief that you have the ability, role clarity, and resources to get the job done • Various reports suggest that engagement has a strong effect on employee and work unit performance

Drives and Needs Drives (primary needs, fundamental needs, innate motives) Hardwired brain characteristics (neural states) that energize individuals to maintain balance by correcting deficiencies Prime movers of behavior by activating emotions Needs Goal-directed forces that people experience. Drive-generated emotions directed toward goals Goals formed by self-concept, social norms, and experience Drives (primary needs) are hardwired characteristics of the brain that correct deficiencies or maintain an internal equilibrium by producing emotions to energize individuals • Neural states that energize individuals • Prime movers of behavior because they generate emotions • E.g. drive for social interaction, understanding the environment, competence or status, and defending oneself Self-concept, social norms, and past experience Drives and Emotions Needs Decisions and Behavior

Maslow’s Needs Hierarchy Theory
Self-actual-ization Physiological Safety Belongingness Esteem Need to know Need for beauty Seven categories – five in a hierarchy -- capture most needs Lowest unmet need is strongest. When satisfied, next higher need becomes primary motivator Self-actualization -- a growth need because people desire more rather than less of it when satisfied Most widely known theory of human motivation – physiological, safety, belongingness, esteem, and selfactualization • Two additional categories not in the hierarchy (need to know and need for beauty) • Lowest unmet need has strongest effect • When lower need is satisfied, next higher need becomes the primary motivator • Self-actualization – a growth need because people desire more rather than less of it when satisfied

What’s Wrong with Needs Hierarchy Models?
Maslow’s theory lacks empirical support People have different hierarchies Needs change more rapidly than Maslow stated Hierarchy models wrongly assume that everyone has the same (universal) needs hierarchy Instead, needs hierarchies are shaped by person’s own values and self-concept Maslow’s theory ultimately failed to explain human motivation • people have different hierarchies • unique to each person and can possibly change over time • People do not progress through the hierarchy as the theory predicts • Needs hierarchies are shaped by the individual’s most important values and self-concept Abraham Maslow

What Maslow Contributed to Motivation Theory
Holistic perspective Integrative view of needs Humanistic perspective Influence of social dynamics, not just instinct Positive perspective Pay attention to strengths (growth needs), not just deficiencies Holistic perspective • Integrative view of needs – various needs should be studied together Humanistic perspective • Higher-order needs are influenced by personal and social influences, not just instinct Positive perspective • Pay attention to strengths, not just deficiencies – Maslow is considered a pioneer in positive organizational behavior i.e. advocates building positive qualities and perspectives as opposed to focusing on trying to fix what is wrong Abraham Maslow

Learned Needs Theory Needs are amplified or suppressed through self-concept, social norms, and past experience Therefore, needs can be “learned” strengthened through reinforcement, learning, and social conditions Needs are shaped, amplified or suppressed through selfconcept, social norms, and past experience Needs can be “learned” (i.e. strengthened through reinforcement, learning and social conditions)

Three Learned Needs Need for achievement Need for affiliation
Need to reach goals, take responsibility Want reasonably challenging goals Need for affiliation Desire to seek approval, conform to others wishes, avoid conflict Effective executives have lower need for social approval Need for power Desire to control one’s environment Personalized versus socialized power Need for achievement • High nAch people want to accomplish reasonably challenging goals through their own effort; prefer working alone; choose tasks with moderate risk; desire unambiguous feedback and recognition; and money is a weak motivator • Low nAch people work better when money is an incentive • Entrepreneurs have high achievement need Need for affiliation • Seek approval of others, conform to their wishes and expectations, and avoid conflict and confrontation • People in decision-making positions must have relatively low need for affiliation so that their choices are not biased by personal need for approval Need for power • People want to control their environment including people and material resources • Personalized power – enjoy power for its own sake and use it to advance personal interests • Socialized power – desire power as a means to help others • Effective leaders – should have high need for socialized rather than personalized power

Four-Drive Theory Drive to Acquire Drive to Bond Drive to Learn
• Drive to take/keep objects and experiences • Basis of hierarchy and status Drive to Bond • Drive to form relationships and social commitments • Basis of social identity Drive to Learn • Drive to satisfy curiosity and resolve conflicting information Motivation theory that is based on the innate drives to acquire, bond, learn, and defend and that incorporates both emotions and rationality Drive to acquire • Drive to seek, take, control, and retain objects and personal experiences – need for status and recognition; foundation of competition Drive to bond • Drive to form social relationships and mutual caring commitments with others; explains why people form social identities by aligning their self-concept with social groups Drive to learn • Drive to satisfy our curiosity, to know and understand ourselves and our environment; related to higher order needs of growth and self-actualization Drive to defend • Drive to protect ourselves physically and socially; ‘fight or flight’ response; includes defending our relationships and belief systems; always reactive i.e. triggered by threat Features of Four Drives Innate and universal – everyone has them Independent of each other – no hierarchy of drives Complete set – no drives are excluded from the model Drive to Defend • Need to protect ourselves • Reactive (not proactive) drive • Basis of fight or flight

How Four Drives Affect Motivation
Four drives determine which emotions are automatically tagged to incoming information Drives generate independent and often competing emotions that demand our attention Mental skill set relies on social norms, personal values, and experience to transform drive-based emotions into goal-directed choice and effort 1. Four drives determine which emotions are automatically tagged to incoming information 2. Drives generate independent and often competing emotions that demand our attention 3. Mental skill set relies on social norms, personal values, and experience to transform drive-based emotions into goal-directed choice and effort

Four Drive Theory of Motivation
Drive to Acquire Social norms Personal values Past experience Drive to Bond Mental skill set resolves competing drive demands Goal-directed choice and effort Drive to Learn Drive to Defend Drives produce emotions; our self-concept, personal values, and past experience translate these emotions into goaldirected needs, and these individual characteristics translate needs into decisions and behavior Social norms, personal values, and experience transform drive-based emotions into goal-directed choice and effort

Implications of Four Drive Theory
Provide a balanced opportunity for employees to fulfill all four drives employees continually seek fulfilment of drives avoid having conditions support one drive more than others Provide a balanced opportunity for employees to fulfill all four drives • Best workplaces for employee motivation and well-being help employees fulfill all four drives • Keep fulfillment of all four drives in balance – organizations should avoid too much or too little opportunity to fulfill each drive

Expectancy Theory of Motivation
E-to-P Expectancy P-to-O Expectancy Outcomes & Valences Outcome 1 + or - Outcome 2 + or - Effort Performance Outcome 3 + or -

Increasing E-to-P and P-to-O Expectancies
Increasing E-to-P Expectancies Develop employee competencies Match employee competencies to jobs Provide role clarity and sufficient resources Provide behavioral modeling Increasing P-to-O Expectancies Measure performance accurately Increase rewards with desired outcomes Explain how rewards are linked to performance Increasing E-to-P Expectancies • Assuring employees they have the necessary competencies • Person-job matching • Clear role perceptions and necessary resources • Behavioral modeling and supportive feedback Increasing P-to-O Expectancies • Measure employee performance accurately • Distribute more valued rewards to those with higher performance • Explain how employee’s rewards were based on past

Increasing Outcome Valences
Ensure that rewards are valued Individualize rewards Minimize countervalent outcomes Distribute rewards that employees value Individualize rewards Minimize countervalent outcomes (e.g. peer pressure)

A-B-Cs of Behavior Modification
Antecedents What happens before behavior Behavior What person says or does Consequences What happens after behavior Example Warning light flashes Machine operator turns off power Co-workers thank operator We “operate” on the environment -- Alter behavior to maximize positive and minimize adverse consequences Central objective of behavior modification is to change behavior (B) by managing its antecedents (A) and consequences (C). Antecedents • Events preceding the behavior • Informs employees that a particular action will produce specific consequences – e.g. sound signaling that an has arrived Behavior • What people say or do – e.g. completing a task requested by a supervisor Consequences • Events following behavior that influences its future occurrence – e.g. positive comment when the employee puts on safety eyewear

Four OB Mod Consequences
Positive reinforcement – any consequence that, when introduced, increases/maintains the target behavior. Punishment – any consequence that decreases the target behavior. Negative reinforcement –any consequence that, when removed, increases/maintains target behavior. Extinction – when no consequence occurs, resulting in less of the target behavior Positive reinforcement • Introduction of a consequence increases or maintains the frequency or future probability of a specific behavior e.g. receiving praise after completing a project Punishment • Occurs when a consequence decreases the frequency or future probability of a behavior e.g. being demoted or ostracized by our co-workers Negative reinforcement • Occurs when the removal or avoidance of a consequence increases or maintains the frequency or future probability of a behavior e.g. manager stops criticizing employee when substandard performance improves Extinction • Occurs when the target behavior decreases because no consequence follows it e.g. performance declines when manager stops congratulating employees for their good work

Reinforcing the Healthy Walk
The British municipality of Stoke-on-Trent, Staffordshire, issued pedometers to its staff and encouraged them to do more walking each day. The pedometers provide instant feedback and positive reinforcement to motivate longer walks. Some organizations also reinforce walking with financial rewards. The British municipality of Stoke-on-Trent, Staffordshire, issued pedometers to its staff and encouraged them to do more walking each day. The pedometers provide instant feedback and positive reinforcement to motivate longer walks. Some organizations also reinforce walking with financial rewards

Behavior Modification in Practice
Behavior modification applications: every day to influence behavior of others company programs – attendance, safety, etc. Behavior modification problems: Reward inflation Variable ratio schedule viewed as gambling Ignores relevance of cognitive processes in motivation and learning Everyone uses organizational behavior modification principles in one form or another to influence behavior of others • In every day life e.g. thank people for a job well done • Formal company programs to reduce absenteeism, improve task performance, improve safety etc. Behavior modification problems/limitations include: • Reward inflation – the reinforcer is eventually considered an entitlement • Variable ratio schedule tends to create a lottery-style reward system which may be viewed as “gambling” or erratic • Denies relevance of cognitive processes in learning

Social Cognitive Theory
Learning behavior outcomes Observing consequences that others experience Anticipate consequences in other situations Behavior modeling Observing and modeling behavior of others Self-regulation People engage in intentional, purposive action – they develop goals, achievement standards, action plans People form expectancies (anticipate consequences) from others -- not just from their own experiences People reinforce their own behavior (self-reinforcement) Learning and motivation occurs by observing and modeling others as well as by anticipating the consequences of our behavior Learning behavior outcomes • Observing consequences that others experience e.g. hearing that a co-worker was fired for being rude to a customer increases your perception that rude behavior will result in being fired • Anticipating consequences in other situations – the story about the fired employee might also strengthen your P-to-O expectancy about getting fired if you are rude toward coworkers Behavior modeling • Observing, imitating and practicing behavior of others – increases self-confidence Self-regulation • People engage in intentional, purposive action • Set their own short and long-term goals, standards of achievement, plan of action, consider alternatives, and anticipate consequences • People engage in self-reinforcement – reinforce behavior by rewarding/punishing themselves with consequences within their control

Goal Setting The process of motivating employees and clarifying their role perceptions by establishing performance objectives The process of motivating employees and clarifying their role perceptions by establishing performance objectives

Effective Goal Setting Characteristics
Specific – What, how, where, when, and with whom the task needs to be accomplished Measurable – how much, how well, at what cost Achievable – challenging, yet accepted (E-to-P) Relevant – within employee’s control Time-framed – due date and when assessed Exciting – employee commitment, not just compliance Reviewed – feedback and recognition on goal progress and accomplishment M A R T Apply “SMARTER” goals • Specific – What, how, where, when, and with whom the task needs to be accomplished • Measurable – how much, how well, at what cost • Achievable – challenging, yet accepted (maintain high E-to-P expectancy) • Relevant – within employee’s control • Time-framed – due date and when assessed • Exciting – employee commitment, not just compliance • Reviewed – feedback and recognition on goal progress and accomplishment E R

Balanced Scorecard Organizational-level goal setting and feedback
Attempts to include measurable performance goals related to financial, customer, internal, and learning/growth (i.e., human capital) processes Usually includes several goals within each process Organization-level form of goal setting and feedback • Translates the organization’s vision and mission into specific measurable performance goals related to financial, customer, internal, and learning/growth (i.e. human capital) processes • Goals cascade down to departments and employees – several goals within each process • Goals are often weighted and scored to create a composite measure of success

Characteristics of Effective Feedback
Specific – connected to goal details Relevant – Relates to person’s behavior Timely – to improve link from behavior to outcomes Credible – trustworthy source Sufficiently frequent Employee’s knowledge/experience Task cycle 1. Specific – connected to the details of the goal (to specific metrics) e.g. “Sales increased by 5% this month” 2. Relevant – relates to the individual’s behavior or outcomes within his or her control 3. Timely – available as soon as possible so employees see a clear association between their actions and consequences 4. Credible – employees more likely to accept feedback from a trustworthy source 5. Sufficiently frequent – considers employee’s knowledge, experience with the task and how long it takes to complete the task (task cycle) e.g. employees working on new tasks should receive more frequent feedback

Strengths-Based Coaching Feedback
Maximizing the person’s potential by focusing on their strengths rather than weaknesses Motivational because: people inherently seek feedback about their strengths, not their flaws person’s interests, preferences, and competencies stabilize over time Positive OB approach to coaching and feedback that focuses on building and leveraging the employee’s strengths rather than trying to correct his/her weaknesses Motivational because: • People inherently seek feedback about their strengths, not their flaws – consistent with self-enhancement • A person’s personality becomes quite stable early in his/her career – this limits the flexibility of the person’s interests, preferences, and competencies i.e. limits effectiveness of negative feedback in changing performance

Multisource Feedback Received from a full circle of people around the employee Provides more complete and accurate information Several challenges expensive and time-consuming ambiguous and conflicting feedback inflated rather than accurate feedback stronger emotional reaction to multiple feedback Received from a full circle of people around the employee e.g. peers, supervisors, customers etc. Provides more complete and accurate information Challenges: • Expensive and time-consuming • Can produce ambiguous and conflicting feedback • Peers may inflate feedback to avoid conflict • Experience a stronger emotional reaction when receiving critical feedback from many people rather than just the boss Goal setting is one of the most respected theories in OB in terms of validity and usefulness Goal setting/feedback limitations: • Focuses employees on a narrow set of measurable performance indicators i.e. “What gets measured, gets done” • Employees motivated to set easy goals when tied to pay (bonus) • Goal setting interferes with learning process in new, complex jobs despite being effective in established jobs

Organizational Justice
Distributive justice Perceived fairness in outcomes we receive relative to our contributions and the outcomes and contributions of others Procedural justice Perceived fairness of the procedures used to decide the distribution of resources Distributive justice • Perceived fairness in the individual’s ratio of outcomes to contributions compared with a comparison to other’s ratio of outcomes to contributions Procedural justice • Perceived fairness of the procedures used to decide the distribution of resources

Equity Theory Own outcomes Other’s outcomes Own inputs Other’s inputs
Your Own Outcome/Input Ratio Comparison Other’s Outcome/Input Ratio Own outcomes Other’s outcomes Compare own ratio with Other’s ratio Own inputs Other’s inputs Perceptions of equity are explained by equity theory – employees develop perceptions of fairness by comparing their outcome/input ratio to the outcome/input ratio of some other person Perceptions of equity or inequity

Elements of Equity Theory
Outcome/input ratio inputs -- what employee contributes (e.g., skill) outcomes -- what employee receives (e.g., pay) Comparison other person/people against whom we compare our ratio not easily identifiable Equity evaluation compare outcome/input ratio with the comparison other Outcome/input ratio • Inputs -- what employee contributes e.g. skill, effort, reputation, performance, experience, hours worked • Outcomes -- what employee receives e.g. pay, promotions, recognition, interesting jobs, opportunities to improve skills Comparison other • Person/people against whom we compare our ratio • Not easily identifiable – may be someone in the same job, another job, or another company, or a “generalized” comparison other Equity evaluation • Compare outcome/input ratio with the comparison other • Result: Perception of equity, underreward inequity or overreward inequity

Correcting Inequity Tension
Actions to correct underreward inequity Example Reduce our inputs Less organizational citizenship Increase our outcomes Ask for pay increase Increase other’s inputs Ask coworker to work harder Reduce other’s outputs Ask boss to stop giving preferred treatment to coworker Change our perceptions Start thinking that coworker’s perks aren’t really so valuable Change comparison other Compare self to someone closer to your situation Leave the field Quit job When people believe they are under- or over-rewarded, they experience negative emotions (inequity tension) Correcting Inequity Tension – Underreward Inequity 1. Reduce our inputs – e.g. work more slowly, offer fewer suggestions, engage in less organizational citizenship behavior 2. Increase our outcomes – e.g. ask for a pay raise, make unauthorized use of company resources 3. Increase the comparison other’s inputs – e.g. ask the better-paid co-worker to do a larger share of the work 4. Reduce comparison other’s outcomes – e.g. ensuring the coworker gets less desirable jobs or working conditions 5. Change our perceptions/beliefs i.e. perceptual rather than behavioral – e.g. believe that the co-worker really is doing more such as working longer hours 6. Change the comparison other – e.g. compare yourself more with a friend who works in a similar job than the higher-paid coworker 7. Leave the field – e.g. move to another department, quit

Procedural Justice Perceived fairness of procedures used to decide the distribution of resources Higher procedural fairness with: Voice Unbiased decision maker Decision based on all information Existing policies consistently Decision maker listened to all sides Those who complain are treated respectfully Those who complain are given full explanation Perceived fairness of procedures used to decide the distribution of resources Higher procedural fairness with: • Voice – encourage employees to present their perspectives • Unbiased decision maker • Decisions based on complete and accurate information • Applies existing policies consistently • Decision maker listened to all sides • Those who express concerns are treated respectfully • A full explanation of the decision is provided Note: Consequences of Procedure Injustice – withdrawal or aggression

Week 3 wrap up Questions? Assignments for next week

BUS7000 Organizational Behavior &Theory

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