Assessment Test Flashcards
Exists when someone takes risks because he or she will not be affected by losses or damages that occur as a result
Moral Hazard
Preparing, implementing, and monitory employees’ career paths, with a primary focus on the goals of the organization. The organization provides development opportunities that align with its interests
Career Management Program
According to Michael Porter, there are 3 potentially successful generic strategies
Cost leadership, differentiation, and focus
Work councils
Composed of workers and management representatives. Their purpose is to promote communication between management and employees on issues that affect workers’ interests
Zero-based budgeting
Requires all managers to start at zero. A department must justify its entire budget and show how its funding will help the organization to meet its goals. In zero-based budgeting, all operations are given a priority rating, each unit or goal is ranked, and funds are given in order of the ranking
HR audit measures HR effectiveness and efficiency and demonstrates the value of HR in helping an organization meet its strategic goals.
2 main functions: 1. to help organizational decision makers understand what is happening with various HR activities and 2. to allow HR managers to determine which programs and positions should be eliminated or enhanced.
Business Intelligence
Data gathered from all sources and then analyzed to identify the data’s significance to decisions an organization must make. Business Intelligence supports more effective decision making.
Code of conduct
Forms the basis of the organization’s specific policies and procedures regarding compliance and ethical issues.
Cultural relativism
Holds that ethical systems do exist but that norms are influenced by local culture, laws, and practices.
Incremental or line-item budgeting
Uses the previous year’s budget
Trait Theory
Derives from “Great Man” Theory of the 19th century. View is that history has been shaped by heroes ( Primarily men, generally soldiers, and mostly hailing from the west) who led by force of their personalities, wisdom, and/or political skills. 2 problems. 1. Never proven 2. Discourage the development of leadership skills.
Behavioral School
Leader’s ability to influence the performance and satisfaction of followers.
Employee centered behavior
Known as consideration. Aims at meeting the social and emotional needs of individuals and group members EX: coaching individuals and group members, explaining decisions, looking out for best interest.
Job-oriented behavior
Initiating structure. Behaviors focus on task goals address employee needs only to the extent that they improve task results - Defines expectations, processes, and rules.
Blake- Mouton Theory
Illustrated with a “managerial grid” 2 axes cohttps://www.brainscape.com/subjects/entrance-exams/university-entrance-exams/nsideration (concern for people) and initiating structure (concern for production or task)
Blake- Mouton Theory: Team Leaders
These managers lead by positive example, foster a team environment and encourage individual and team development
Blake-Mouton Theory: Authoritarian Managers
Expect people to do what they are told without question and tend to not foster collaboration.
Blake-Mouton Theory: Country Club Managers
Create a secure atmosphere and trust individuals to accomplish goals, avoiding punitive actions so as not to jeopardize relationships.
Blake-Mouton Theory: Impoverished Managers
use a delegate and disappear management style. Detach themselves, often creating power struggles
Blake-Mouton Theory: Middle of the road
Get work done but are not considered leaders
Situational Theories
Builds on the behavioral concept and further propose that effectiveness of different leadership styles depends on the situation-specifically individual employees and specific organizations and activities.
Hersey-Blanchard situational leadership theory
Suggests that there is no ideal leader type but that leadership style should be matched to the maturity of the employees.
Hersey-Blanchard situational leadership theory: Telling
Appropriate when an employee may lack skills, knowledge, or experience sufficient to the task. Manager directs the employee’s performance precisely and monitors it closely- Emphasis is on the task, not the employee’s psychological needs.
Hersey-Blanchard situational leadership theory: Selling
Manager knows that the employee is capable of the task, but the employee requires additional explanation, opportunities to ask questions, or motivation.
Hersey-Blanchard situational leadership theory: Participating
Employee is capable but the manager provides support by participating in brainstorming or decision making or other critical events (Client Interactions)
Hersey-Blanchard situational leadership theory: Delegating
Employee needs little explanation, support, or supervision. The manager retains responsibility but the employee is empowered to perform the task.
Fiedler’s Contingency Theory
Applies the concepts of relationship and task needs to specific situations, asks the question “How can the situation be changed to improve the effectiveness of both leader and employee? Goal is termed “situation favorableness”
Fiedler’s Contingency Theory: Leader-member relations
Refers to the degree of confidence, trust, and respect that followers have in their leaders.
Fiedler’s Contingency Theory: Task Structure
Refers to the extent to which followers tasks are well defined.
Fiedler’s Contingency Theory: Position Power
Refers to the degree of power and influence a leader has over subordinates.
Path-Goal Theory
Sees a leader’s task as enabling followers to complete a journey (path) from a beginning (of a task, project) to a defined goal.
Leader’s role in the path-goal theory is to:
- Define the goal for the follower.
- Clarify the goal or path, the steps that will be taken.
- Remove obstacles - (may change constraints (e.g., deadlines that are too short or workloads that are unrealistic)
- Provide support- Provide necessary tools and training. need to feel valued-met through periodic feedback and recognition.
Emergent Theory
A leader will gradually and naturally emerge from a group working on a task and exert influence over the others in the group and the direction of the task. Leader is not appointed but derives the power to lead from the group
Belbin’s Model of Team Leadership: Solo Leader
Gets involved and interferes in everything. Expects team members to conform to his or her standards of behavior and style. Wants a yes man approach.
Belbin’s Model of Team Leadership: Team Leader
Delegates team roles to others, recognizes the value of diversity in the team, Encourages constructive disagreement and is not threatened by team members special abilities. Develops team members growth, creates vision on which others act
John French and Bertram Raven identified 5 ways in which leaders can create power
- legitimate power: Is created formally- through a title or position in the hierarchy that is associated with the rights of leadership.
John French and Bertram Raven identified 5 ways in which leaders can create power
- Reward power: Is created when the leader can offer followers something they value in exchange for their commitment (Promotions, compensation)
John French and Bertram Raven identified 5 ways in which leaders can create power
- Expert Power: Created when a leader is recognized as possessing great intelligence, insight, or experience.
John French and Bertram Raven identified 5 ways in which leaders can create power
- Referent power: Created by the force of the leader’s personality - the ability to attract admiration, affection, and/or loyalty.
John French and Bertram Raven identified 5 ways in which leaders can create power
- Coercive power: Created when the leader has the power to punish those who do not follow
John French and Bertram Raven identified 5 ways in which leaders can create power
- Building Trust: Building trust is more likely when the person bestowing trust recognizes certain qualities in the other person.
McGregor’s Theory X
Manager believes that employees inherently do not like to work and must be strictly controlled and forced to work. Motivation is irrelevant.
McGregor’s Theory Y
Manager believes that employees dislike rigid controls and inherently want to accomplish something
Maslow’s Hierarchy of Needs
- Basic physical needs: Need to meet basic physical needs or drives
- Safety and Security: The need to feel secure and free from threats, to feel that the world has some order and predictability so that one can cope with events.
- Belonging and love: The need to belong, to be accepted, to give and receive love.
Maslow’s Hierarchy of Needs
- Esteem: The need for respect and esteem in the eyes of oneself and others
- Self-actualization: The need to fulfill one’s potential, to be the best one can be.
Herzberg’s Motivation-Hygiene Theory
2 different categories of needs
1. Hygiene factors(extrinsic): Factors that surround the job; they make up the environment in which the employees work. Job security, pay, working conditions, supervision, and relations with coworkers.
Herzberg’s Motivation-Hygiene Theory
- Motivation Factors (intrinsic): include such things as opportunity for recognition, achievement, and personal growth
McClelland’s 3 needs theory: Achievement
This need drives people to tackle work that will produce meaningful results. They appreciate challenge, periodic feedback to gauge progress and accomplishments, a reasonable change of success. May prefer to work alone if that provides greater control and opportunity for results.
McClelland’s 3 needs theory: Affiliation
This need drives people to make social connections and to be part of a group. Feedback comes in the form of feeling liked. They may prefer collaborative to competitive work structures.
McClelland’s 3 needs theory: Power
This need drives people to control or exert influence over others. The power can be aimed at creating personal gain (for the individual) or institutional gain (for the organization). From a work perspective, this need may increase a desire for competition.
Self-Determination Theory
All human beings have an inherent desire to grow; They are self motivated. Researchers associated with this theory include Edward L. Deci, Richard Ryan, and Daniel Pink.
Self-Determination Theory: Deci & Ryan
Propose that people are motivated by:
- Competence, desire to master a task.
- Relatedness, experience to interact and be part of a group.
- Autonomy, need to control one’s life in order to fulfill one’s desire.
Expectancy Theory
Associated with Victor Vroom. Theory proposes that the level of effort an individual expends depends upon a motivational force that is the product of 3 factors.
Expectancy Theory: 3 factors of motivation from Victor Vroom
- Expectancy: Person’s belief that a chance exists that a certain effort will lead to a particular level of performance
- Instrumentality: A person’s belief that a specific action leads to a specific outcome, a reward of some sort.
- Valence: The strength of an individual’s desire for a particular outcome.
Attribution Theory
Associated with Fritz Heider- All people try to understand the reasons for certain behavior and that reasons can be:
- Internal or related to an individual’s characteristics (Intelligence, desire, altitude)
- External or related to environmental factors (Other people, the task itself). An employee might feel that a failure was due to a lack of support
Bernard Weiner propose that these attributional factors can be:
- Stable or unstable: referring to the degree of consistency or changeability. For example, one’s intelligence does not change, but the effort one puts forth does.
- Locus of control: Referring to an internal or external cause for the outcome.
- Controlability: The degree to which the factor is under the employee’s control.
Transparency: Supports trust in relationships with stakeholders- could be business associates, investors, governments, and communities, and employees
Example: Documentation on hiring, promotions, and performance reviews should comply with employment laws and organizational policies and procedures.
Artifacts and products: Explicit Culture
Food, dress, architecture, humor, and music.
Norms and Values
Culture’s shared and stated sense of acceptable behaviors. What is right and wrong. Ex. Country’s rules and regulations. Company’s mission statement and code of conduct.
Basic Assumptions: implicit
Culture’s core beliefs about how the world is and ought to be. Terms such as “success”, “freedom”, or “doing good”
Intercultural Wisdom
Also called cultural intelligence. Capacity to recognize, interpret, and behaviorally adapt to multicultural situation and contexts. Embrace other dimensions- age, gender, race, religion, socioeconomic background and even intelligence and ideology.
Low-context culture
It’s not personal. It’s just business. U.S., Canada
High-context culture
No business until I get to know you personally. Latin America, China, Japan
Ethnocentrism
Our way is the best way and we are really not interested in other ways of reaching a goal.
Parochialism
There is only one way to solve a problem or reach a goal
