Essentials of. An Evidence-Based Approach. Terri A. Scandura. JJniversity of Miami. ( SAGE Los Angeles London New Delhi Singapore \ Washington DC

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1 Essentials of Organizational Behavior An Evidence-Based Approach Terri A. Scandura JJniversity of Miami ( SAGE Los Angeles London New Delhi Singapore \ Washington DC

2 CONTENTS V PREFACE xix ACKNOWLEDGMENTS xxv ABOUTTHE AUTHOR xxvii SECTION I. ORGANIZATIONAL BEHAVIOR ANDLEADERSHIP 1 CHAPTER 1 What Is Organizational Behavior? 2 Chapter Learning Objectives 2 A Crisis of Leadership? 2 What Is Organizational Behavior? 3 Applied Social Psychology 4 From Theory to Practice 4 Evidence-Based Management 6 What Is Critical Thinking? 8 The Scientific Method 10 Outcome Variables in Organizational Behavior 11 Performance 11 Work-Related Attitudes 12 Motivation 12 Employee Withdrawal 12 Levels of Analysis in Organizational Behavior 14 How Organizational Behavior Can Increase Employee Performance 14 Toward More Effective Organizational Leaders: Plan for This Textbook 15 Leadership Implications: Thinking Critically 17 Key Terms 18 Suggestions for Further Reading 18» TOOLKIT ACTIVITY 1.1: Personal Leadership Development Plan 18 m CASE STUDY 1.1: Organizational Science in the Real World 20 m SELF-ASSESSMENT 1.1: Assessing Your Experiential Evidence 21

3 CHARTER 2 Leadership: Core Concepts 23 Chapter Learning Objectives 23 Have Leaders Lost Their Followers' Trust? 23 What Is Leadership? 24 Differentiating Management and Leadership 25 Full-Range Leadership Development 26 Transactional Leadership 26 Transformational Leadership 27 Leader-Member Exchange 28 Leader-Member Exchange Development 31 ManagingYour Boss 32 Follower Reactions to Authority 33 The Mentor Connection 33 The Importance of Trust 35 Calculus-Based Trust 35 Knowledge-Based Trust 35 Identification-Based Trust 36 Repairing Bröken Trust 37 Power and Influence 38 Bases of Power 39 Organizational Sources of Power 40 Influence Strategies 41 Which Influence Strategies Are the Most Effective? 42 Organizational Politics and Political Skill 44 Ethical Leadership 45 Servant and Authentic Leadership 46 Leadership Implications: Developing Relationships and Leading Ethically Key Terms 49 Suggestions for Further Reading 50» TOOLKIT ACTIVITY 2.1: Applying the Full-Range Leadership Development Model 50» CASE STUDY 2.1: Which Boss WouIdYou Rather Work For? 51 SELF-ASSESSMENT 2.1: What's Your Level of Political Acumen? 52 SECTION II. UNDERSTANDING INDIVIDUALS IN ORGANIZATION 55 CHAPTER 3 Individual Differences 56 Chapter Learning Objectives 56 The Right Stuff at the Wrong Time 56 What Is Personality? 57

4 The Role of Heredity 57 Myers-Briggs Type Indicator 57 Limitations of the Myers-Briggs Type Indicator 58 How the Myers-Briggs Type Indicator Is Used in Organizations 58 "The Big Five" 59 Personality Traits and Health Research 60 Psychological Capital 62 Emotions and Moods at Work 64 Emotional Intelligence 66 Can Emotional Intelligence Be Learned? 66 Limitations of Emotional Intelligence 67 How Emotional Intelligence Is Used in Organizations 67 Emotional Labor: "Pake It Until You Make It" 67 Affective Events Theory: An Organizing Framework 68 Neuroscience 69 Ethical Issues in Neuroscience 70 Diversity 70 Surface-Level and Deep-Level Diversity 71 Generations at the Workplace 71 The Millenniais 72 Leading Diverse Followers 73 Mindfulness 76 Leadership Implications: Embracing Diversity 77 Key Terms 78 Suggestions for Further Reading 79» TOOLKIT ACTIVITY 3.1: Generationsat Work 79» CASE STUDY 3.1: Managing Diversity at IBM Netherlands 80 m SELF-ASSESSMENT 3.1: The Big Five Personality Test 82» SELF-ASSESSMENT 3.2: Type A Behavior Pattern 84 CHARTER 4 «Attitudes and Job Satisfaction 86 Chapter Learning Objectives 86 Job Satisfaction: A Downward Trend 86 What Is an Attitüde? 87 Cognitive Dissonance 89 Do Attitudes Matter? 89 Job Satisfaction 90 Job Satisfaction Facets 91 Job Search Attitudes 94 Organizational Commitment 95 Job Involvement 96 Employee Engagement 97

5 Perceived Organizational Support 99 Psychological Empowerment 99 Leadership Implications: Creating Meaning at Work 100 Key Terms 101 Suggestions for Further Reading 102 TOOLKIT ACTIVITY 4.1: What Do Workers Want From Their Jobs? 102 CASE STUDY 4.1: ACrisis in Nursing 103» SELF-ASSESSMENT 4.1: Gore Self-Evaluations Assessment 104» SELF-ASSESSMENT 4.2: Do You Experience Empowerment? 106 CHARTER 5 Perception 109 Chapter Learning Objectives 109 Would You Be Happier if You Were Richer? 109 What Is Perception? 110 Understanding Why People Don't See Eye to Eye 111 The Primacy Effect 112 The Recency Effect 112 The Availability Bias 113 Contrast Effects 115 Halo Error 116 Attribution Theory 117 Attributions and the Development of Leader-Member Relationships 119 The Romance of Leadership 120 The Pygmalion Effect 121 Employability: How Potential Employers Perceive You 122 Impression Management 124 Body Language 125 Leadership Implications: Leading Followers With Differing Perceptions 126 Key Terms 127 Suggestions for Further Reading 128» TOOLKIT ACTIVITY 5.1: Understanding the Pygmalion Effect 128» CASE STUDY 5.1: Lombardi's Packers: From Last in the League to the Best Legs in the League - SELF-ASSESSMENT 5.1: Employability Perceptions of Prospective Employers SELF-ASSESSMENT 5.2: Your Impression Management Strategies 134

6 CHARTER 6 «Individual Decision Making 137 Chapter Learning Objectives 137 The Importance of Decisions 137 Decision Processes and Organizational Performance 138 Why Some People Can't Make Decisions 138 Constraints on Individual Decision Making 139 The Rational Decision-Making Model 139 Limitations of the Rational Model 140 Bounded Rationality 141 Prospect Theory 141 The Importance of How Decisions Are Framed 142 Intuition 144 Benefits of Intuition 144 Wicked Organizational Problems 147 Heuristics 147 Decision Traps 149 Hindsight Bias 149 Overconfidence 149 Escalation of Commitment 150 Ethical Decision Making 152 Creative Problem Solving 153 Going With the "Flow" 154 Three-Component Model of Creativity 154 Creative Leadership 156 Leadership Implications: How Leaders Support Creativity 158 Key Terms 159 Suggestions for Further Reading 160» TOOLKIT ACTIVITY 6.1: Creative Problem-Solving Exercises CASE STUDY 6.1: DoYouHave to Spend Money to Make Money? 160» SELF-ASSESSMENT 6.1: How Would You RateYour Creativity? 161 SECTION III. MOTIVATING EMPLOYEES 167 CHAPTER 7 Motivation: Core Concepts 168 Chapter Learning Objectives 168 Do You Have Grit? 168 What Is Motivation? 169 Need Theories 169

7 Goal Setting 171 "SMART" Goals 171 The Role of Leaders in Goal Setting 172 Job Characteristics Theory 173 The Motivating Potential of Work 173 Designing Work to Be Motivational 174 Job Crafting 176 The Importance of Fairness 177 Equity Theory 177 Organizational Justice: Expanding the Concept of Fairness Developing a Fair Reputation 181 ExpectancyTheoiy 182 Path-Goal Theory 185 Adapting to the Situation 185 Leadership Implications: Leaders as Motivators 187 Key Terms 187 Suggestions for Further Reading 188» TOOLKIT ACTIVITY 7.1: FutureMe Letter 188 TOOLKIT ACTIVITY 7.2: SMART Goals Template 189» CASE STUDY 7.1: Building Motivation 190» SELF-ASSESSMENT 7.1: How Much Perseverance Do You Have? 191 CHARTER 8 Motivation: Learning and Rewards 194 Chapter Learning Objectives 194 The Meaning of Money 194 Reinforcement Theory 195 Reinforcers 196 Punishment 196 Schedules of Reinforcement 196 Organizational Behavior Modification 199 Social Learning Theory 201 The Modeling Process 201 Intrinsic vs. Extrinsic Rewards 202 Self-Determination Theory 204 Relationship Between Intrinsic and Extrinsic Rewards 204 What Money Can and Cannot Do 205 Pay Dispersion 205 Performance Management 205 Sources of Performance Management Ratings 207 Performance Management Methods 208 Problems With Performance Reviews 209 Feedback Seeking 211

8 Leadership Implications: Motivating With Rewards 212 Key Terms 213 Suggestions for Further Reading 213 m TOOLKIT ACTIVITY 8.1: Performance Appraisal Dos and Don'ts 213 m TOOLKIT ACTIVITY 8.2: Performance Management Role-Play 214» CASE STUDY 8.1: Pay Inequity at Goodyear Tire and Rubber 219» SELF-ASSESSMENT 8.1: WorkValues Checklist 220 SECTION IV. BUILDING RELATIONSHIPS 223 CHARTER 9 Group Processes and Teams 224 Chapter Learning Objectives 224 Why Teams Matter: "The Orange Revolution" 224 What Is a Team? 225 Work Group Versus Team 225 Team Purpose 226 Team Development 226 Five-Stage Model 226 Team Performance Curve 228 Team Effectiveness 229 Team Learning 230 Team Creativity 231 Cohesion 232 Team Norms 233 The Team Charter 234 Team Metrics 234 Team Mental Models 235 Participation in Team Decisions 235 Team Decision-Making Methods 237 Brainstorming 237 Consensus 238 Multivoting 240 Nominal Group Technique 241 Stepladder 242 Team Challenges 242 Groupthink 243 Social Loafing 244 Virtual Teams 244 Multicultural Teams 246 Leadership Implications: Empowering the Team 246 Key Terms 248

9 Suggestions for Further Reading 248» TOOLKIT ACTIVITY 9.1: The Team Charter 248 TOOLKIT ACTIVITY 9.2: The Marshmallow Challenge (Team Exercise) 250» TOOLKIT ACTIVITY 9.3: How to Run an Effective Meeting (Checklist) 251 m CASE STUDY 9.1: Texting All Teams: Amazon Enters the Cell Phone Market 252 m SELF-ASSESSMENT 9.1: Teamwork Orientation 252 CHARTER 10 Managing Conflict and Negotiation 254 Chapter Learning Objectives 254 What Are CEOs Getting Coaching For? 254 What Is Conflict? 255 Causes of Organizational Conflict 256 Is Conflict Always Bad? 258 Task Versus Relationship Conflict 260 Workplace Aggression and Violence 261 Conflict Resolution Styles 263 Team Conflict and Performance 265 Third-Party Interventions 268 Resolving Conflict Across Cultures 269 Negotiation 270 Distributive Bargaining 271 Integrative Bargaining 271 Leadership Implications: Perspective Taking 272 Key Terms 273 Suggestions for Further Reading 273» TOOLKIT ACTIVITY 10.1: Checklist for Difficult Conversations 274» TOOLKIT ACTIVITY 10.2: Salary Negotiation 274» TOOLKIT ACTIVITY 10.3: Negotiation Style Assessment 276» CASE STUDY 10.1: Perspective Taking: Captain Owen Honors 277» SELF-ASSESSMENT 10.1: Conflict Resolution Styles 278 CHAPTER 11 Organizational Communication 284 Chapter Learning Objectives 284 "Thin Slicing" a Conversation 284 What Is Organizational Communication? 285 The Communication Process 285 Barriers to Effective Communication 287 Communication Apprehension 287 Language 287 Active Listening 288

10 Communication Networks 288 Communication Flows in Organizations 290 The Grapevine 292 Electronic Communication Text Messages 294 Social Networking 296 Videoconferencing 297 Cross-Cultural Communication 297 Nonverbal Communication 299 Silence 300 Leadership Implications: The Management of Meaning 302 Key Terms 303 Suggestions for Further Reading 303» TOOLKIT ACTIVITY 11.1: Active Listening Exercise CASE STUDY 11.1: Communication: What Message IsYahoo Really Relaying? 304 SELF-ASSESSMENT 11.1: Quality of Communication Experience 306 CHARTER 12 Cross-Cultural Differencesand Adjustments 309 Chapter Learning Objectives 309 Global Diversity: A Key Workforce Trend 309 What Is Culture? 310 High-Context Versus Low-Context Cultures 311 Hofstede's Cultural Values 313 Criticisms and Usefulness of Hofstede's Research 315 GLOBE Studies of Cross-Cultural Leadership 316 Cultural Tightness-Looseness 318 Developing Global Leaders 319 The Third Culture 320 Cultural Intelligence 322 Cross-Cultural Adjustment 322 Integrative Acculturation: Biculturals 324 Culture Shock 324 Cultural Retooling 326 Repatriation 326 Cross-Cultural Adjustment for Expatriates 328 Leadership Implications: "Explain Before Blame" 329 Key Terms 330 Suggestions for Further Reading 331

11 » TOOLKIT ACTIVITY 12.1: Journeyto Sharahad 331» CASE STUDY 12.1: "A Person Needs Face Like atree Needs Bark" 333» SELF-ASSESSMENT 12.1: What IsYour Cultural Intelligence? SECTION V. CREATING CHANGE 337 CHARTER 13 Stress in the Context of Organizational Change 338 Chapter Learning Objectives 338 "Road Warriors" 338 What Is Stress? 339 Person-Environment Fit 340 Stress and Organizational Performance 341 Stress and Organizational Change 344 Sources of Work-Related Stress 345 Role Stress 345 "Toxic" Workplaces 348 Abusive Supervision 348 Stress Episode 350 Stress Is a Global Concem 351 Coping 352 Social Support 354 Preventive Stress Management in Organizations 354 Employee Assistance Programs 355 Work Redesign 356 Leadership Implications: Helping Employees Cope 357 Key Terms 358 Suggestions for Further Reading 359» TOOLKIT ACTIVITY 13.1: Warning Signs of Burnout 359» TOOLKIT ACTIVITY 13.2: Stressful Life Events 360 CASE STUDY 13.1: The Price of Entrepreneurship 361» SELF-ASSESSMENT 13.1: Perceived Stress Scale 362 CHAPTER 14* Organizational Culture 365 Chapter Learning Objectives 365 When Elephants Learn to Dance 365 What Is Organizational Culture? 366 Seven Characteristics of Culture 366 National Culture and Organizational Culture 369 Strong Organizational Cultures 370 Organizational Subcultures 371

12 Socialization 372 Anticipatory Socialization 372 Organizational Entry and Assimilation 373 Metamorphosis 374 How Employees Learn Culture 374 Stories 374 Rituals 375 Symbols 375 Language 376 Organizational Climate 376 How Leaders Influenae Climate 377 Ethical Climate 378 Leadership Implications: Changing Organizational Culture 380 Tool #1: Recruiting and Selecting People for Culture Fit 380 Tool #2: Managing Culture Through Socialization and Training 380 Tool #3: Managing Culture Through the Reward System 380 Key Terms 381 Suggestions for Further Reading 381 m TOOLKIT ACTIVITY 14.1: Comparing Organizational Cultures: IDEO and Amazon 381 «CASE STUDY 14.1: Culture ClashatB-MED 383» SELF-ASSESSMENT 14.1: Comparing Service Climates 384 -V CHARTER 15. Leading Change 386 Chapter Learning Objectives 386 Helping Employees Embrace Change 386 Forces Driving Organizational Change 387 Planned Organizational Change 388 Organizational Subsystems Involved in Planned Change 390 Organizational Development 391 Examples of Organizational Development Interventions 392 Resistance to Change 393 How to Overcome Resistance to Change 394 Leading Change 396 Lewin's Three-Step Model 396 Force Field Analysis 397 Kotter's Eight-Step Model 398 Effective Change Implementation 399 Leadership Implications: Creating Learning Organizations 400 Key Terms 402 Suggestions for Further Reading 402» TOOLKIT ACTIVITY 15.1: Appreciative Inquiry 402 CASE STUDY 15.1: Alighting Innovation in the Utility Industry 403

13 » SELF-ASSESSMENT 15.1: Leading Through Change Assessment 404 APPENDIX Research Designs Used in Organizational Behavior 409 Qualitative and Quantitative Research 409 Experimental and Quasi-Experimental Studies 409 Correlational Field Study 410 Gase Study 410 Action Research 410 Mixed Methods Research 410 Meta-Analysis 411 Key Terms 412 GLOSSARY 413 NOTES 425 INDEX 455

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