Week 10: Management Types and Styles Flashcards
What is Theory X, Y (and Z) [McGregor] (and Maslow)?
Do you believe most people (X):
- are driven by monetary concerns
- will avoid work where possible
- lack ambition and dislike responsibility
- are indifferent to organisational needs
- lack creativity and resist change
Or do you believe that they (Y):
- are driven by job satisfaction
- actively seek work
- show ambition and seek responsibility
- are committed to organisational objectives
- are creative and welcome change
Maslow also recognised the need for self-fulfilment or transcendence
What is Maslow’s Hierarchy of Needs (1943, 1954)?
A pyramid where (bottom to top):
- psychological needs
- safety and security
- social needs
- esteem
- self actualisation
What is Locke and Lathams Goal Setting?
States that goal setting has beneficial effects on performance, more challenging the better, goals which are specific or quantitative are more effective, feedback should be given regularly, large monetary rewards further improve performance
What is supportive goal setting?
Where an employee can choose to accept a goal or renegotiate, they need to commit to it to achieve it
What is Management by Objectives / Results (MBO/MBR)?
It was popularised by Druckers Practice of Management. It is where objectives are set in appraisal meetings that occur say annually, and employee and manager discuss objectives, review performance and set new objectives. Bonuses and promotions depend on achieving / exceeding objectives, should be measurable.
What are performance appraisal meetings?
These should be constructive opportunities to reflect. Require a suitable time, place and duration.
Should summarise previous meetings objectives and if they have been met.
Objectives must be consistent with the role/job description
What should managers do should objectives not be met?
Let the employee explain the situation from their perspective, adjust targets, offer support (training and coaching)
What can happen to employees if appraisals are not run well?
They can gain negative perceptions if it is just tick box filling, subjective, overt criticisms.
Managers may be unwilling to give direct but constructive criticism
Frequent discussions may be better than annual appraisal meetings and future goals may be better separated from past performance reviews
What is 360 degree feedback?
To address subjective and inaccurate ratings, multiple raters can be used. You solicit feedback from all areas that the employee interacts with. Using such feedback in evaluation could be dubious, could be wide variety of different ratings, anonymous reviewers may harbour grudges
What is Scott Adams’ Company Model? (Dilbert Principle)
Companies with effective employers and good products usually do well. Any activity that is one level removed from people and products will eventually fail or have little benefit. The rule for one-off activities should be consistency (resist urge to tinker)
What does an out-at-5 manager do?
Stays out of the way Eliminates the assholes Ensures employees learn something new each day Creates a learning environment Teaches employees how to be efficient
What was Adams’ Equity Theory (1963)?
If rewards are not fair then staff lose motivation - staff compare their input/reward rations
What do Green & Haywood (2008) report?
Performance related pay schemes increase productivity, effort and earnings, but also increase pay variability, lowering the morale of less productive workers
Where is job satisfaction highest?
Where no performance pay/bonuses exists, job security actually declines where these schemes are in place although negatives disappear when accounting for worker fixed effects
What do high performance workplaces create?
Belong, esteem and commitment.
Paying workers piece rates are known to increase efforts more than time rates. Performance related pay does not have the same effect
What does job satisfaction tend to do with education level and company size?
It decreases, although public sector workers tend to be more satisfied
How related are pay and satisfaction?
Judge et al say that pay is only loosely correlated, and that better paid workers are less satisfied
What do Diener and Tay (2015) say about well being?
Seems to be increasing globally, as average income also rises, social support, freedom, water quality and income equality also matter
What are team based rewards?
These are rewards where the performance depends on a team rather than one person as individual rewards do not incentivise good team behaviour.
What does DeMatteo say about team based rewards?
An increase of between 28% and 76% cf previous measures, state it is unclear what conditions team rewards are effective
What is a concern with team based rewards?
Free riding
What does the Game theory simulation (Ladley 2015) suggest?
Group based systems outperform individual or mixed systems, they produce the most cooperative behaviour and best performing groups and individuals
What factors does DeMatteo say are worth studying further?
Reward characteristics
Team characteristics
Organisational characteristics
Individual differences
What are some approaches to team-based rewards?
Incentive pay
Recognition
Profit sharing
Gain sharing