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psych338 - Notes                                                                                                       Reference   Questions
   Part 1: Organizational Behaviour
     Text
        Chapter 1: Organizational Behaviour
            Vocabulary
              Basic Definitions
                   Organizations
                     Social inventions for accomplishing common goals through group effor
                   Organizational Behaviour
                     The attitudes and behaviours of individuals and groups in organizations
                   Management
                     The art of getting things accomplished in organizations through others.
                   Classical viewpoint
                     An early prescription on management that advocated high specialization and standardization of
                     work tasks
                   Scientific Management
                     Frederick Taylor's system for using research to determine the optimum degree of specialization
                     and standardization of work tasks.
                   Bureaucracy
                     Mac Weber's ideal type of organization that included a strict chain of command, detailed rules,
                     high specialization, centralized power, and selection and promotion based on technical
                     competence.
                   Qualities of Bureaucracy
                       strict chain of command (one superior)
                       selection and promotion based on technical skills
                       detailed rules, regulations, procedures ensure job gets done
                       strict specialization match duties and abilities
                       centralization of power at top
              Historical Definitions
                   Hawthorne studies
                     Research from Western Electric plant that showed how psychological and social processes
                     affect productivity and work adjustment
                   Human relations movement
                     A critique of classical management and bureaucracy that advocated management styles that
                     were participative and oriented towards employee needs
                     Critique
                        strict specialization incompatible with human needs
                        centralization fails to leverage lower-level resources (creativity)
                        strict rules lead to minimum acceptable level of performance
                        specialization makes employees lose sight of overall goals. divorces workers from
                        clients, customers, stakeholders
                   Contingency Approach
                     An approach to management that recognizes that there is no one best way to manage, and that
                     an appropriate management style depends on the demands of the situation.
                     Contemporary Management
                       Scholars accept classical and human relations as having merit
                       "It depends"... all situations have dependancies. accounting for dependancies is
                       creating contingencies.
            Objectives
              define organizations and describe characteristics
              explain OB and goals of field
                   systematically study attitudes and behaviours of organizations
                   organizations achieve success through their people, study people
                   Goals
                   Predict OB
                   Explain OB
                   Manage OB
              define management
              contrast classical view and human relations movement view
                   Mary Parker Follett (1868-1933) noted classical view took for granted and essential
                   conflict of interest between managers and employees
                   classical: compartmentalize
                   human relations: employees are capable
              describe contemporary contingency approach
psych338 - Notes                                                                                                 Reference   Questions
               describe contemporary contingency approach
               explain managers roles / activities / agendas / minds
                   Roles
                     Henry Mintzberg (PhD MIT 1968): studied managers and codified these roles
                     Interpersonal Roles
                           figurehead, leadership, liasion
                     Informational Roles
                           monitor, disseminator, spokesperson
                     Decisional Roles
                           entrepreneur, disturbance handler, resource allocator, negotiator
                   Activities
                     Luthans, Hodgetts, Rosenkrantz found four basic activities

                     Luthans found emphasis on certain activities correlated to managerial success
                     Routine communication
                           (paperwork)
                     Traditional management
                           (plan, decide, control)
                     Networking
                     Human resource management
                           (motivate, discipline, conflict control, staff, train, develop)
                   Agendas
                     John Kotter research into manager behaviour patterns.
                     Agenda Setting
                           Goals of what the managers wanted to do for their companies
                     Networking
                           Build contacts to call on
                     Agenda Implementation
                           Using networks to accomplish agendas. Informal interaction is key!
                   Minds
                     Herbert Simon and Daniel Isenberg explore managers cognitive patterns. Focus: "managerial
                     intuition" = identification and well adapted strategies. NOT LUCK!
                     sense that problem exists
                     perform well-learned mental tasks rapidly
                     synthesize isolated pieces of information and data
                     double check employee work
               describe social and global trends
                   International Managers
                     different societies view managers in different ways
                           Hofstede research on cross-cultural managers.
                           North America: cultural heros
                           Germany: engineers are the heros
                   Diversity - Local and Global
                   Employee - Organization Relationships
                     Short-term rapid turnover is becoming common place. Employee loyalty is
                     decreasing.
                     Unhappiness: boredom, overwork, concern about future, lack of support, lack of
                     recognition
                     Absenteeism on the rise.
                     Trust in Senior management failing.
                   Org Focus: Quality, Speed, Flexibility
                   Employee recruitment and retention
                     Hard to find skilled workers. Boomers leaving makes problem worse.
                     CEOs list recruitment and retention in top 4 issues (along with profitability and
                     performance).
                     Money and wages not everything. Entire employee existence needs to be improved.
                     Training and promotion key.
        Appendix
     Lecture
        TODO
   Part 2: Individual Behaviour
     Text
        Chapter 2: Personality and Learning
            Vocabulary
              Personality Related Definitions
   Part 2: Individual Behaviour
      Text
        Chapter 2: Personality and Learning
           Vocabulary
psych338 - Notes
              Personality Related Definitions                                                                           Reference   Questions
                 Personality
                   The relatively stable set of psychological characteristics that influence the way an individual
                   interacts with their environment
                 Locus of Control
                   A set of beliefs about whether one's behaviour is controlled mainly by internal or external forces
                 Self-monitoring
                   The extent to which people observe and regulate how they appear and behave in social settings
                   and relationships
                 Self-esteem
                   The to which a person has a positive self-evaluation
                 Behavioural plasticity theory
                   People with low self-esteem tend to be more susceptible to external and social influences than
                   those who have high self-esteem.
                 Positive affectivity
                   Propensity to view the world, including one-self and others, in a positive light (affective trait)
                 Negative affectivity
                   Propensity to view the world, including one-self and others, in a negative light (affective trait)
                 Proactive personality
                   A stable personal disposition that reflects a tendency to behave proactively and to effect
                   positive change in one's environment (disposition trait)
                 General self-efficacy (GSE)
                   A general trait that refers to an individuals ability to perform successfully in a variety of
                   challenging situations. (motivational trait)
                 Core self-evaluations
                   A broad personality concept that consists of more specific traits that reflect the evaluations
                   people hold about themselves and their self-worth (broad personality concept)
              Learning Related Definitions
                 Learning
                   A relatively permanent change in behaviour potential that occurs due to practice or experience
                   Organizational Learning
                     Practical skills
                     Intrapersonal skills (internal interaction)
                     Interpersonal skills (external interaction)
                     Cultural awareness
                 Operant learning
                   The subject learns to operate on the environment to achieve certain consequences
                 Reinforcement
                   The process by which stimuli strengthen behaviours.
                 Positive reinforcement
                   The application or addition of stimulus that increases or maintains the probability of some
                   behaviour
                 Negative reinforcement
                   The removal of a stimulus that, in turn, increases or maintains the probability of some behaviour
                 Extinction
                   The gradual dissipation of behaviour following the terminiation of reinforcement
                 Punishment
                   The application of an aversive stimulus following some behaviour designed to decrease the
                   probability of behaviour.
                   Effective use
                      limited in effectiveness. punishment shows what is bad but does not (immediately)
                      show what should replace the response.
                      avoid use that provokes strong emotional responses (i.e. manager who is patient
                      until they explode)
                      Make sure the chosen punishment is truly aversive.
                      Punish immediately.
                      Do not reward unwanted behaviours before or after punishment.
                      Do not inadvertently punish desirable behaviours.
                 Social Learning
                   Human ability to learn by observing the behaviour of others. Developed by Albert Bandura.
                 Modelling
                   The process of imitating the behaviour of others.
                 Self-Efficacy
                   Beliefs people have about their ability to succesfully perform a specific task.
                 Self-Management
                   The use of learning principles to manage one's own behaviour.
                   Example: executive who is bringing too much home
                     Collect self-observation data.
                     Observe models.
                   Self-Management
                     The use of learning principles to manage one's own behaviour.
                     Example: executive who is bringing too much home

psych338 - Notes        Observe models.                                                                                     Reference   Questions
                        Set goals.
                        Rehearse.
                        Reinforce oneself.
                   Organizational behaviour modification
                     The systematic use of learning principles to influence organizational behaviour.
                   Employee recognition programs
                     Formal organizational programs that publicly recognize and reward employees for specific
                     behaviours. Public recognition is key to success of program.
                     Must specify:
                       how person is recognized
                       the type of behaviour being encouraged
                       the manner of the public acknowledgment
                       a token or icon of the event for the recipient
                   Training
                     Planned organizational activities that are designed to facilitate knowledge and skill acquisition in
                     order to change behaviour and improve performance.
                     Programs include:
                        positive reinforcement
                        feedback
                        learning by observation
                        strengthening employee self-efficacy (*particularly important)
                        self-management
                   Informal learning
                     Learning experiences that are not planned and designed by the organization.
                   Career development
                     An ongoing development in which individuals progress through a series of stages that consist of
                     a unique set of issues, themes, and tasks.
           Objectives
             define personality and its role in influencing OB
             describe dispositional, situational, and interactionist approach to organizational
             behaviour
                   dispositional
                     focus on individual disposition and personality. People are fixed in how they behave
                     (not well supported)
                   situational
                     characteristics of the organizational setting influence feelings, attitudes, and
                     behaviour.
                   interactionist
                     accepts that both dispositional and situational factors play a part in organizational
                     behaviour
                     weak situations: response not always clear
                        personality key - loose roles, few rules, weak reinforcement and punishment contingencies
                     strong situations: defined response
                        personality not key - defined rules, roles, and contingencies
                  implication: no one personality is best as different managers encounter different
                  mixes / types of situations. 'fit' is important
             discuss 5-factor (FFM) personality model
                   Factors
                     Extraversion
                        sociable vs. shy
                     Emotional stability/Neuroticism
                        confident vs. anxious
                     Agreeableness
                        cooperative vs. rude
                     Conscientiousness
                        responsible vs. careless (impulsive)
                     Openness to experience
                        curious vs. unimaginative
                   Research
                     evidence factors relate to job performance
                     conscientiousness is related to retention, attendance, and antidote for
                     counterproductive behaviours
                     extraversion means less absenteeism
                     neuroticism(-) and conscientiousness(+) strongest predictors of motivation
                     high conscientiousness and extraversion and low neuroticism are associated with
                     higher income
                  high conscientiousness and extraversion and low neuroticism are associated with
psych338 - Notes  higher income                                                                             Reference   Questions
             discuss consequences of locus of control, self-monitoring, self-esteem
                   locus of control
                     internal: self-initiative, personal actions, free will. Perceive that effort will be
                     recognized and that they will be rewarded.
                     external: fate, luck, powerful people. Chancy view of world.
                     internals more satisfied, earn more, get higher positions. Perceive less stress, cope
                     better, and engage in more careful career planning.
                   self-monitoring
                     low: not concerned with 'fitting in'
                     high: very perceptive and take on role of 'actor' often
                   self-esteem
                  high: favorable self-image
                  low: unfavorable self-image
             discuss positive and negative affectivity, proactive personality, general self-efficacy,
             and core self-evaluations
                   PA vs. NA: PA more success, NA more stress/strain
                   Proactive: positive on outcome and success.
                   GSE: higher GSE = happy + better performance
                   Core self-evaluations
                     self-esteem
                     general self-efficacy
                     locus of control
                     neuroticism
             define learning and how it relates to organizations
             explain operant learning theory and differentiate between positive and negative
             reinforcement
                   Organizational Errors Involving Reinforcement
                     Confusing Rewards with Reinforcers
                     Neglecting Diversity in Preferences for Reinforcers
                       eg. workaholic getting more time off work. assigning harder work might be better
                     Neglecting Important Sources of Reinforcement
                       eg. horseplay - joker's coworkers laughing is more positive than the trouble they
                       get in is negative.
                       feedback is often ignored as a want to reinforce
                   positive: often 'feels' good. EG. analyst reading -- good decisions (stimulus)
                   increased by selective reading (behaviour)
                   negative: pains that, by doing something, we learn to minimize. If we learn to do
                   something to relieve pain we'll learn to do it more often.
                  [negative] nagging can either improve performance (negative stimulus ends if you
                  work hard) OR [positive] can reduce performance (attention seeker learns to do bad
                  to get attention).
             when to use immediate versus delayed reinforcement and when to use continuous
             versus partial reinforcement
                   fast acquisition: obtained by way of continuous and immediate reinforcement
                   (reward each time, right away)
                   persistent: obtained by way of partial and delayed reinforcement (reward later,
                   sometimes)
             distinguish extinction and punishment and explain effective use of punishment
                   extinction: by way of removal of reinforcement that maintains behaviour.
                   extinction often faster if coupled with reinforcement of some desired substitute
                   behaviour
                   punishment: by way of following unwanted behaviour with some unpleasant,
                   aversive stimulus. NOT negative reinforcement. In NR, negative thing is removed
                   when behaviour shown. in Punishment, negative thing is applied when behaviour
                   is shown.
             explain social learning theory
                   modelling: Obtained thru imitation, imagination, self-reinforcement and
                   observation.
                   self-efficacy: note... not a personality trait! This is task specific.
                   self-management: look at one's own behaviours and compare them to a standard.
                     Programs to teach people about gold standard and improve self-efficacy help.
             describe organizational learning practices
                   positive reinforcement by way of Employee Recognition Programs
                   formal learning through training (that, then, increases informal learning).
               describe organizational learning practices

psych338 - Notes formal learning through training (that, then, increases informal learning).                               Reference   Questions
                 Organizations can foster an environment conducive to informal learning.
         Chapter 3: Perception, Attribution, and Judgment of Others
            Vocabulary
               Perception Related Definitions
                 Perception
                    The process of interpreting the messages of our senses to provide order and meaning to the
                    environment
                 Perceptual defence
                    The tendency for perceptual system to defend the perceiver against unpleasant emotions.
                 Implicit personality theories
                    Personal theories that people have about which personality characteristics go together
                 Stereotyping
                    The tendency to generalize about people in social category and ignore variations among them
               Attribution Related Definition
                 Attribution
                    The process by which causes or motives are assigned to explain people's behaviour
                 Dispositiional attributions
                    Explanations for behaviour based on actor's personality or intellect
                 Situational attributes
                    Explanations for behaviour based on an actor's external situation or environment
                 Consistency cues
                    Attribution cues that reflect how consistently a person engages in some behaviour over time.
                 Consensus cues
                    Attribution cues that reflect how a person's behaviour compares with that of others
                 Distinctiveness cues
                    Attribution cues that reflect the extent to which a person engages in some behaviour across a
                    variety of situations.
                 Fundamental attribution error
                    The tendency to overemphasize dispositional explanations for behaviour at the expense of
                    situational explanations
                 Actor-observer effect
                    The propensity for actors and observers to view the causes of the actor's behaviour differently
                 Self-serving bias
                    Tendency to take credit for successful outcomes and to deny responsibility for failures
                 Workforce diversity
                    Differences among recruits and employees in characteristics, such as gender, race, religion,
                    culture, physical ability, and sexual orientation.
               Judgement Related Definitions
                 Trust
                    A psychological stat in which one has a willingness to be vulnerable to take risks with respect to
                    the actions of another party
                 Perceived organizational support
                    Employee's general belief that their organization values their contribution and cares about their
                    well-being
                 Contrast effects
                    Previously interviewed job applicants affect an interviewer's perception of a current applicant,
                    leading to an exaggeration of differences between applicants
                 Leniency
                    The tendency to perceive the job performance of ratees as especially good
                 Harshness
                    The tendency to perceive the job performance of ratees as especially ineffective
                 Central tendency
                    The tendency to assign most ratees to middle-range job performance categories
                 Halo effect
                    The ration of an individual on one trait or characteristic tends to color ratings on other traits or
                    characteristics
                 Similar-to-me effect
                    A rater gives more favourable evaluations to people who are similar to the rater in terms of
                    background or attitudes.
            Objectives
              define perception and discuss general factors that influence it
              explain Bruner's model of the perceptual process and describe the main biases in
              person perception
              describe how people form attributions about the causes of behaviour
              discuss various biases in attribution
              discuss the concepts of workforce diversity and valuing diversity
              discuss how racial, ethnic, gender, and age stereotypes affect OB and what orgs
              can do to manage diversity
              define trust perceptions and perceived organizational support and discuss how
              organizations can foster positive perceptions of trust and support
psych338 - Notes                                                                                    Reference   Questions
             define trust perceptions and perceived organizational support and discuss how
             organizations can foster positive perceptions of trust and support
             discuss how perception and perceptual biases affect the outcomes of selection
             interviews and performance appraisals and describe some techniques to improve
             accuracy
        Chapter 4: Values, Attitudes, and Work Behaviour
           Vocabulary
             Definitions
                   Power distance
                   Uncertainty avoidance
                   Individualistic vs. collective
                   Attitude
                   Cognitive dissonance
                   Job satisfaction
                   Discrepancy theory
                   Distributive fairness
                   Equity theory
                   Inputs
                   Outcomes
                   Procedural fairness
                   Emotions
                   Moods
                   Emotional contagion
                   Emotional regulation
                   Organizational citizenship behaviour (OCB)
                   Organizational commitment
                   Affective commitment
                   Continuance commitment
                   Normative commitment
           Objectives
             define values and discuss the implications of cross-cultural variation in values for
             organizational behaviour
             define attitudes and explain how people develop and change attitudes
             explain the concept of job satisfaction and discuss some of it's key contributors,
             include discrepancy, fairness, disposition, mood, and emotion in promoting job
             satisfaction
             outline the consequences of job satisfaction and explain relationship between job
             satisfaction and absenteeism, turnover, performance, organizational citizenship
             behaviour, and customer satisfaction
             differentiate affective, continuance, and normative commitment and explain how
             organizations can foster organizational commitment
        Chapter 5: Theories of Work Motivation
           Vocabulary
             Basic Definitions
                   Motivation
                   Intrinsic Motivation
                   Extrinsic Motivation
                   Performance
                   General cognitive ability
                   Emotional intelligence
             Theory Definitions
                   Need theories
                   Maslow's hierarchy of needs
                     Physiological needs
                     Safety needs
                     Belongingness needs
                     Esteem needs
                     Self-actualization needs
                   ERG theory
                     Existence
                     Relatedness
                     Growth
                   ERG theory

psych338 - Notes                                                                                   Reference   Questions
                     Growth
                   McClelland's theory of needs
                   Need for achievement
                   Need for affiliation
                   Need for power
                   Process theories
                   Expectancy theory
                   Outcomes
                   Instrumentality
                   Valence
                   Expectancy
                   Force
                   Equity theory
             Goal Definitions
                   Goal setting
                   Learning goals
                   Performance goals
           Objectives
             define motivation, basic properties, and distinguish from performance
             compare and contrast intrinsic and extrinsic motivation
             explain and discuss the different factors that predict performance and define
             general cognitive ability and emotional intelligence
             explain and discuss theories of motivation
             explain and discuss needs theories of motivation
             explain and discuss equity theory
             explain and discuss goal setting theory
             discuss cross-cultural limitations of theories of motivation
             summarize the relationship among the various theories of motivation,
             performance, and job satisfaction
        Chapter 6: Motivation in Practice
           Vocabulary
             Extrinsic Motivation Definitions
                   Piece-rate
                   Wage incentive plans
                   Restriction of productivity
                   Merit pay plans
                   Lump sum bonus
                   Profit sharing
                   Employee stock ownership plans (ESOPs)
                   Gainsharing
                   Skill-based pay
             Intrinsic Motivation Definitions
                   Core Job Characteristics
                     Skill variety
                     Autonomy
                     Task significance
                     Task identity
                     Feedback
                   Growth need strength
                   Job enrichment
                   Job involvement
                   Management by Objectives (MBO)
                   Flex-time
                   Compressed workweek
                   Job sharing
                   Telecommuting
           Objectives
             discuss how to tie pay to performance on production jobs and the difficulties of
             wage incentive plans
             explain how to tie pay to performance on white-collar and the difficulties of merit
             pay plans
             Objectives



              explain how to tie pay to performance on white-collar and the difficulties of merit
psych338 - Notes plans
              pay                                                                                   Reference   Questions
              understand how to use pay to motivate teamwork
              describe the details of the Job Characteristics Model
              discuss the motivational properties of job enrichment
              understand the connection between goal setting and Management by Objectives
              discuss motivational properties of job enrichment
              explain how alternative work schedules respect employee diversity
              describe factors that organizations should consider when choosing motivational
              practices
      Lecture
   Part 3: Social Behaviour and Organizational Processes
      Text
         Chapter 7: Groups and Teamwork
             Vocabulary
                Group Related Definitions
                  Group
                  Formal work groups
                  Informal groups
                Teamwork Related Definitions
                  Punctuated equilibrium model
                     Phase 1
                     Midpoint Transition
                     Phase 2
                  Additive tasks
                     sum of all links
                  Disjunctive tasks
                     strongest link
                  Process losses
                  Conjunctive tasks
                     weakest link
                  Norms
                     expectations members have regarding behaviour
                  Cross functional teams
                  Superordinate goals
             Objectives
                define groups and distinguish between formal and informal groups
                discuss group development
                  Forming -> Storming -> Norming -> Performing -> Adjourning
                explain how group size and member diversity influence what occurs in groups
                review how norms, roles, and status affect social interaction
                  Group Structure and Consequences
                     Group Size
                       Size and Satisfaction
                       Size and Performance
                       DIversity of Group membership
                     Group Norms
                       Development
                       Typical
                  Roles
                     Ambiguity
                     Conflict
                  Status
                     Formal
                     Informal
                     Consequences of differential
                     Reducing status barriers
                discuss the causes and consequences of group cohesiveness
                  Factors
                     Threat and competition
                     Success
                     Member diversity
                     size
                   Factors




psych338 - Notes     size                                                                                            Reference   Questions
                     Toughness of Initiation
                   Consequences
                     More participation
                     More conformity
                     More success
             explain the dynamics of social loafing
                   Counteract
                     individual performance visible
                     work is interesting
                     (++) feel indispensable
                     (++) feedback
                     reward groups
             discuss how to design and support self-managed teams
                   Composition of Self-Managed Teams
                     Stability
                     Size
                     Expertise
                     Diversity
                   Support
                     Train
                     Rewards
                     Management
             explain the logic behind cross-functional teams and describe how they can operate
             effectively
                   Principles of Effectiveness
                     composition
                     superordinate goals
                     physical proximity
                     autonomy
                     rules and procedures
                     leadership
             understand virtual teams and what makes them effective
                   Advantages
                     24/7
                     cost--
                     travel time--
                     larger talent pool
                   Challenges
                     Miscommunication
                     Trust
                     Isolation
                     High costs
                     Management issues
                   Lessons
                     Recruitment
                     Training
                     Personalization
                     Goals and ground rules
        Chapter 8: Social Influence, Socialization, and Culture
           Vocabulary
             Dependence Related Definitions
                   Information Dependence
                     Reliance on others for information about how to think, feel, and act.
                   Effect Dependence
                     Reliance on others due to their capacity to provide rewards and punishment.
             Motive Related Definitions
                   Compliance
                     Conformity to social norm prompted by the desire to acquire rewards or avoid punishment.
                   Identification
                     Reliance on others due to their capacity to provide rewards and punishment.
                   Internalization
                     Conformity to a social norm prompted by true acceptance of the beliefs, values, and attitudes
                     that underlie the norm.
             Motive Related Definitions



psych338 - Notes                                                                                                           Reference   Questions
                   Internalization
                     Conformity to a social norm prompted by true acceptance of the beliefs, values, and attitudes
                     that underlie the norm.
             Organizational Socialization Definitions
                   Socialization
                     The process by which people learn the norms and roles that are necessary to function in a
                     group or organization.
                   Person-job fit
                     The match between an employee's knowledge, skills, and abilities and the requirements of a job.
                   Person-organization fit
                     The match between an employee's personal values and the values of an organization.
                   Psychological Contract
                     Beliefs held by employees regarding the reciprocal obligations and promises between them and
                     their organization.
             Methods Definitions
                   Realistic Job Previews
                     The provision of a balanced, realistic picture of the positive and negative aspects of a job to job
                     applicants.
                   Socialization Tactics
                     The manner in which organizations structure the early work experiences of newcomers.
                   Mentor
                     An experienced or more senior person in the org who gives a junior person special attention,
                     such as giving advice and creating opportunities to assist him or her during the early stages of
                     his or her career.
                   Proactive Socialization
                     The process through which newcomers play an active role in their own socialization.
             Culture Definitions
                   Organizational Culture
                     The shared beliefs, values, and assumptions that exist in an organization.
                   Subcultures
                     Smaller cultures that develop within larger organizational culture that are based on differences in
                     training, occupation, or departmental goals.
                   Strong Culture
                     An organizational culture with intense and pervasive beliefs, values, and assumptions
           Objectives
             understand difference between information, dependance, and effect dependance.
                   Social Influence in Organizations
                     Information Dependence and Effect Dependence
             differentiate compliance, identification, and internalization as motives for
             conformity
                   Social Influence in Action
                  Motives for Social Conformity
                     Compliance
                     Identification
                     Internalization
                  The Subtle Power of Compliance
             describe socialization process and stages of organizational socialization
                   Socialization: Learning and Adjustment
                     Stages of Socialization
                        Anticipatory Socialization
                            Ideas about socialization integrated before person becomes part of an organization.
                        Encounter
                            Integration of reality of day-to-day with anticipatory factors. Others look at new member
                            to see if conforming or not.
                        Role Management
                            After running gauntlet, newcomer looks towards solidifying their position in the
                            organization.
                     Unrealistic Expectations and the Psychological Contract
                       Unrealistic Expectations
                            People hold unrealistic views of organization.
                        Psychological Contract
                            People have views about reciprocal obligations of their employers and promises between
                            them. Violations common.
             describe methods of socialization and what newcomers can do to socialize
             themselves
                   Methods of Socialization
              describe methods of socialization and what newcomers can do to socialize
              themselves
psych338 - Notes Methods of Socialization                                                                         Reference   Questions
                   Realistic Job Previews
                     Try to limit "reality shock" which leads to turnover. People having incorrect view of job.
                   Employee Orientation Programs
                   Socialization Tactics
                     Collective versus Individual Tactics
                        Collective = Group boot camps and pledge classes
                        Individual = tailor-made training
                     Formal versus Informal Tactics
                        Formal = Segregation and train
                        Informal = on-the-job
                     Sequential versus Random Tactics
                        Sequential = Fixed set of steps
                        Random = ambiguous or changing sequence
                     Fixed versus Variable Tactics
                        Time frame of socialization.
                     Serial versus Disjunctive Tactics
                        serial = groomed by members
                        disjunctive = not groomed
                     Investiture versus Divestiture Tactics
                        divestiture = hazing (humble or strip away)
                        investiture = reaffirms individual's self
                     Institutionalized Socialization
                        Collective
                        Formal
                        Sequential
                        Fixed
                        Serial
                        Investiture
                     Individualized Socialization
                        Individual
                        Informal
                        Random
                        Variable
                        Disjunctive
                        Divestiture
                   Mentoring
                     Career Functions of Mentoring
                        Sponsorship
                        Exposure and visibility
                        Coaching and Feedback
                        Developmental Assignments
                     Psychosocial Functions of Mentoring
                        Role Modelling
                        Acceptance and Confirmation
                        Counselling
                     Women and Mentors
                     Race, Ethnicity, and Mentoring
                     Proactive Socialization
                        Feedback seeking
                        Information seeking
                        Observation
                        Behavioural self-management
                        Relationship building
                        Job change negotiation
                        Involvement in work-related activities
                        Career-enhancing strategies
                        Informal mentor relationships
             define organizational culture and discuss contributors to a culture
                Organizational Culture
                   What Is Organizational Culture?
                     True way of life for org members (becomes taken for granted by members)
                     fairly stable over time c/o assumptions, values, and beliefs
                     content of culture can involve internal or external matters
                   Organizational Culture
                      What Is Organizational Culture?



psych338 - Notes            content of culture can involve internal or external matters                                     Reference   Questions
                            impact on org performance and member satisfaction
             discuss assets and liabilities of strong organizational cultures
                   The "Strong Culture" Concept
                      Builds consensus in members about 'what org is about'. Holds for almost all. Weak cultures
                      become 'fragmented'.
                   Assets of Strong Cultures
                      Coordination
                      Conflict Resolution
                      Financial Success
                   Liabilities of Strong Cultures
                      Resistance to Change
                      Culture Clash
                      Pathology
                   Contributors to the Culture
                      Founder's Role
                      Socialization
                        Step 1: Selecting Employees
                               Allow 'self-selection"
                     Step 2: Debasement and Hazing
                     Step 3: Training "in the Trenches"
                     Step 4: Reward and Promotion
                     Step 5: Exposure to Core Culture
                     Step 6: Organizational Folklore
                     Step 7: Role Models
             describe how to diagnose an organizational culture
                   Diagnosing Culture
                      Symbols
                      Rituals
                      Stories
        Chapter 9: Leadership
           Vocabulary
             Leadership Definitions
                   Leadership
                      Influence that individuals exert on the goal achievement of others in org context
                   Traits
                      Individual characteristics
                   Task Leader
                      Leader concerned with accomplishment through organizing others, planning, and dividing work.
                   Social-emotional leader
                      Leader concerned with reducing tension and dealing with interpersonal realities
                   Consideration
                      Extent to which leader is approachable
                   Initiating structure
                      Degree to which leader focuses on group goal attainment
             Theory Related Definitions
                   Contingency Theory
                      Theory that states that association between leadership orientation and group effectiveness is
                      contingent on how favourable the situation is for exerting influence
                   Least Preferred Co-Worker
                      Current or past co-worker the leader has had difficulty with
                   Path-Goal Theory
                      Theory concerned with which leader behaviours (directive, supportive, participative,
                      achievement) are useful when.
                   Participative Leadership
                      Involving employees in decisions
                   Leader-Member exchange (LMX) Theory
                      Theory that focuses on quality of relationships between leader and employee
                   Transformational leadership
                      Providing followers with new vision that instills true commitment
                   Charisma
                      Ability to command strong loyalty from followers and have potential for strong influence
                   Developmental leadership
                      Working with members as partners using persuasion and negotiation over formal power and
                      authority
                   Strategic leadership
                      Leadership involving ability to anticipate, envision, maintain flex, strategy, and work to initiate
                      change for future of org.
psych338 - Notes                                                                                                           Reference   Questions
                   Strategic leadership
                     Leadership involving ability to anticipate, envision, maintain flex, strategy, and work to initiate
                     change for future of org.
                   Global leadership
                     Leadership capabilities required to work globally.
                   Neutralizers of leadership
                     Things that reduce ability to exert influence
                   Substitutes for leadership
                     Factors at work that replace active leadership (making it unnecessary)
           Objectives
             define and discuss role of formal and emergent leadership
                   What Is Leadership?
             explain and critically evaluate the trait approach to leadership
                   Are Leaders Born or Made?
                     Research on Traits
                        Intelligence, Energy, Self-confidence, Dominance, Motivation to lead, Emotional stability,
                        Honesty and Integrity, Need for achievement
                  Limitations of the Trait Approach
                     Dominant before leadership or after?
             explain task function and social-emotional function of emergent leadership and the
             concepts of consideration and initiating structure and their consequences
                   Lessons from Emergent Leadership
                     Task Leaders take lead by showing logical guidance in situations where required.
                     Social-Emotional leaders take lead by showing compassion for the human team.
                     Different problems require different leaders
                   Behaviour of Assigned Leaders
                     Consideration and Initiating Structure (Ohio State)
                     Consequences of Consideration and Structure
                        When is structure important?
                     (+) Employees under high pressure due to deadlines, unclear tasks, threats,
                     inititating structure is key to performance and satisfaction. (military)
                     (-) Task is intrinsically satisfying, high consideration and structure need reduced.
                     (-) Goals, Methods of job are clear and certain, structure should promote
                     dissatisfaction.
                     (+) Lack of employee knowledge requires increase of structure.
             describe Fiedler's Contigency Theory
                   Fiedler's Contingency Theory
                     Leadership Orientation
                        Leaders ranking LPC favourably are relationship oriented.
                        Leaders ranking LPC unfavourably are task oriented.
                     Situational Favourableness
                        Leader-member relations
                            Good relations, improved ability to exert influence.
                        Task Structure
                            Structured task leads to improved influence.
                        Position Power
                            More power given by org, the more power the leader has.
                  Contingency Model
                     Task (low LPC) in highly favourable or unfavourable leadership situations
                     Relationship (high LPC) in medium favourabilty leadership situations.
                  Evidence and Criticism
                     Small sample sizes plagued this research. Better statistics lead to backing the
                     theory.
             Describe House's Path-Goal Theory
                   House's Path-Goal Theory
                     The Theory
                        effective leaders form connections between employee goals and organizational goals
                     Leader Behaviour
                        Path-Goal Theory concerned with 4 specific leader behaviours.
                        Directive Behaviour
                            scheduling work, maintaining standards, delivering expectations. (initiating structure)
                        Supportive Behaviour
                            friendly, approachable, and concerned with interpersonal relations. (consideration)
                        Participative Behaviour
                            consultation with employees
                        Achievement-oriented behaviour
                            drive employees to strive for more and to be better. express confidence
psych338 - Notes                                                                                                 Reference   Questions
                        Achievement-oriented behaviour
                           drive employees to strive for more and to be better. express confidence
                     Situational Factors
                        dependence on employee and environment
                        Employees who are high need do well under achievement-oriented leaders
                        Employees who like being told what to do work well under directive leaders
                        Employees with low task abilities should appreciate directed leadership and
                        coaching. Employees with high task abilities find this annoying
                        Note: need to tailor leadership to individual employees
                        Tasks clear and routine -> (-) directive and participative leadership
                        Tasks unclear and ambiguous -> (+) directive and participative leadership
                        Frustrating dissatisfying jobs should increase employee appreciation of supportive
                        behaviour.
                        Effective Leadership
                           take advantage of motivating and satisfying aspects, offset/compensate for negative
             How and When to use participative leadership
                   Involving Employees in Decisions
                     What is Participation
                        Boss-Centered Leadership -> Employee-Centered (spectrum)
                   Potential Advantages
                     Motivation
                     Quality
                     Acceptance
                   Potential Problems
                     Time and Energy
                        fast decisions need executive orders
                     Loss of Power
                        insecure managers have problems here. flatter hierarchys good
                     Lack of Receptivity or Knowledge
                        distrusted leaders or when employees cannot provide meaningful input
                   A Situational Model of Participation
                     A = Autocratic, C = consultation, G = group
                     Quality Requirement (QR)
                     Commitment Requirement (CR)
                     Leaders Information (LI)
                     Problem Structure (ST)
                     Commitment Probability (CP)
                     Goal Congruence (GC)
                     Subordinate Conflict (CO)
                     Subordinate Information (SI)
                   Does it work?
                  Participation improves satisfaction but does not always lead to improved productivity.
                  Important to use in the right situations
             describe and evaluate Leader-Member Exchange Theory
                   High LMX
                     high degree of mutual influence and obligation
                     trust
                     loyalty
                     respect between leader and employee
                   Low LMX
                     low trust
                     low respect
                     little obligation
                     little mutual support
                   Outcomes
                  high LMX -> positive outcomes for all
             Discuss the merits of transformational leadership and charisma
                   Transformational Leadership and Charisma
                     vs. Transactional Leadership (simple exchange employee <-> leader)
                     Intellectual Stimulation
                     Individualized Consideration
                     Charisma
                        Charismatic Stages
                            Evaluate Status quo for opportunities for change (research)
                      vs. Transactional Leadership (simple exchange employee <-> leader)



                      Charisma
psych338 - Notes        Charismatic Stages                                                                         Reference   Questions
                           Evaluate Status quo for opportunities for change (research)
                           Formulate vision or mission that challenges status quo (rhetoric, self-
                           confidence) stress unsatisfactory status quo
                           Get followers to achieve vision through unconventional means and self-
                           sacrifice
                      Developmental Leadership
                         Org members as partners
                     Self-management
                     Empowerment
                     Persuasion and negotiation
             describe and evaluate strategic and global leadership
                   Strategic Leadership
                  Effective SL:
                     Determine Firm's purpose or vision
                     Exploit and maintain core competencies
                     Develop human capital
                     Sustaining and effective org culture
                     Emphasis on ethics
                     Establish balanced control
                  Global Leadership
                     Characteristics
                         Unbridled inquisitiveness
                         Personal characteristics
                         Duality (uncertainty and global+local tension)
                         Savvy
             explain the concepts of leadership neutralizers and substitutes
                   Neutralizers
                   Substitutes
        Chapter 10: Communication
           Vocabulary
             Basic Communication Definitions
                   Communication
                      The process by which information is exchanged between sender and receiver.
                   Effective Communication
                      Right people receive the right information in a timely manner.
             Structural Communication Definitions
                   Chain of Command
                      Lines of authority and formal reporting relationships.
                   Downward Communication
                      Information that flows from the top of the organization toward the bottom.
                   Upward Communication
                      Information that flows from the bottom of the organization toward the top.
                   Horizontal Communication
                      Information that flows between departments or functional units, usually as a means of
                      coordinating effort.
             Improving Communication Definitions
                   Filtering
                      The tendency for a message to be watered down or stopped during transmission.
                   Open Door Policy
                      The opportunity for employees to communicate directly with a manager without going through
                      the chain of command.
                   Mum Effect
                      The tendency to avoid communicating unfavourable news to others.
                   Grapevine
                      An organization's informal communication network.
                   Rumour
                      An unverified belief that is in general circulation.
                   Jargon
                      Specialized language used by job holders or members of particular occupations or
                      organizations.
                   Nonverbal Communication
                      The transmission of messages by some medium other than speech or writing.
                   Body Language
                      Nonverbal communication by means of a sender's bodily motions, facial expressions, or
                      physical location.
                   Body Language
                     Nonverbal communication by means of a sender's bodily motions, facial expressions, or
psych338 - Notes     physical location.                                                                                 Reference   Questions
                   Cultural Context
                     The cultural information that surrounds a communication episode.
                   Information Richness
                     The potential information-carrying capacity of a communication medium.
                   Computer-mediated Communication (CMC)
                     Communication that relies on computer technology to facilitate information exchange.
                   Congruence
                     A condition in which a person's words, thoughts, feelings, and actions all contain the same
                     message.
                   Active Listening
                     A technique for improving the accuracy of information reception by paying close attention to the
                     sender.
                   360 Degree Feedback
                     Performance appraisal that uses the input of supervisors, employees, peers, and clients or
                     customers of the appraised individual.
                   Employee Survey
                     Anonymous questionnaire that enables employees to state their candid opinions and attitudes
                     about an organization and its practices
                   Suggestion Systems
                     Programs designed to enhance upward communication by soliciting ideas for improved work
                     operations from employees.
           Objectives
             define communication and explain why communication by strict chain of command
             is often ineffective.
                   What is Communication?
                     Sender -> Receiver <-> Feedback
                       Thinking -> Encoding -> Transmitting -> Perceiving -> Decoding -> Understanding
                   Basics of Organizational Communication
                  Communication by Strict Chain of Command
                  Deficiencies in the Chain of Command
                     Informal Communication
                     FIltering
                     Slowness
             discuss barriers to effective manager-employee communication
                   Manager-Employee Communications
                  How Good Is Manager-Employee Communication?
                  Barriers to Effective Manager-Employee Communication
                     Conflicting Role Demands
                     The Mum Effect
             explain the organizational grapevine and discuss its main features
                   The Grapevine
                     Characteristics of the Grapevine
                     Who Participates in the Grapevine
                     Pros and Cons of the Grapevine
             review the role of verbal and nonverbal communication at work
                   The Verbal Language of Work
                   The Nonverbal Language of Work
                     Body Language
                     Props, Artifacts, and Costumes
                        Office Decor and Arrangement
                        Does Clothing Communicate?
             discuss gender differences in communication and how they can cause
             communication problems
                   Gender Differences in Communication
                     Getting credit
                     Confidence and boasting
                     Asking questions
                     Apologies
                     Feedback
                     Compliments
                     Ritual opposition
                     Managing up and down
                     Indirectness
psych338 - Notes   Indirectness                                                                                    Reference   Questions
             discuss challenges relating cross-cultural communication and identify useful
             strategies to deter miscommunication
                   Cross-Cultural Communication
                     Language Differences
                     Nonverbal Communication Across Cultures
                        Facial expressions
                        Gestures
                        Gaze
                        Touch
                     Etiquette and Politeness Across Cultures
                     Social Conventions Across Cultures
                     Cultural Context
                        Low-context cultures
                           Information must be provided explicitly, usually in words.
                           (North Americans, Northern/Central Europeans, Australians)
                           Less aware of nonverbal cues
                           Lack well-developed networks
                           Need detailed background information
                           Tend to segment and compartmentalize information
                           Control information on a "need to know" basis
                           Prefer explicit and careful directions from someone who knows
                           Knowledge as a commodity
                        High-context cultures
                           Most information drawn from surroundings. Very little must be explicitly transferred.
                           (South American, South European, African, Arab, Asian)
                       Nonverbal important
                       Information flows freely
                       Physical context relied upon for information
                       Environment, situation, gestures, mood all taken into account
                       Maintain extensive information networks
             define computer-mediated communication and highlight its strengths and
             weaknesses
                   Computer-Mediated Communication
                  Medium -> Richness relationship
             review personal strategies and organizational initiatives aimed at enhancing
             communication
                   Personal Approaches to Improving Communication
                     Basic Principles of Effective Communication
                       Take the Time
                       Be Accepting of the Other Person
                       Do Not Confuse the Person with the Problem
                       Say What you Feel
                       Listen Actively
                           Watch your body language
                           Paraphrase what the speaker means
                           Show empathy
                           Ask questions
                           Wait out pauses
                       Give Timely and Specific Feedback
                     Improving Cross-Cultural Communication
                       Assume Differences Until You Know Otherwise
                       Recognize Differences within Cultures
                       Watch Your Language (and Theirs)
                   Organizational Approaches to Improving Communication
                     360 Degree Feedback
                     Employee Surveys and Survey Feedback
                     Suggestion Systems and Query Systems
                     Telephone Hotlines, TV Networks, and Intranets
                     Management Training
        Chapter 11: Decision Making
           Vocabulary
             Decision Making Definitions
                   Decision Making
                     Process of developing a commitment to a course of action.
        Chapter 11: Decision Making
           Vocabulary
psych338 - Notes
              Decision Making Definitions                                                                              Reference   Questions
                Decision Making
                   Process of developing a commitment to a course of action.
                Problem
                   Perceived gap between existing state and a desired state.
                Well-Structured Problem.
                   A problem for which existing state is clear, desired state is clear, how to proceed is obvious.
                Program
                   Standardized way of solving a problem.
                Ill-structured Problem
                   A problem for which the existing and desired states are unclear, and the method of getting to the
                   desired state is unknown.
              Rationality Definitions
                Perfect Rationality
                   A decision strategy that is completely informed, perfectly logical, and oriented toward economic
                   gain.
                Bounded Rationality
                   A decision strategy that relies on limited information and that reflects time and political
                   constraints.
              Framing and Biases Definitions
                Framing
                   Aspects of presentation of information.
                Cognitive Biases
                   Tendencies to acquire and process information in an error prone fashion.
                Confirmation Bias
                   Tendency to seek information that confirms a personal definition or solution of a problem.
                Information Overload
                   The reception of more information than is necessary to make effective decisions.
                Maximization
                   The choice of decision alternative with the greatest expected value.
                Anchoring Effect
                   The inadequate adjustment of subsequent estimates from an initial estimate that serves as an
                   anchor.
                Satisficing
                   Establishing an adequate level of acceptability for a solution to a problem and then screening
                   until a decision is made..
                Sunk Costs
                   Permanent losses of resources incurred as the result of a decision.
                Escalation of Commitment
                   The tendency to invest additional resources in an apparently failing course of action.
                Hindsight
                   The tendency to review decision-making process to find what was done right or wrong.
              Group Decision Definitions
                Diffusion of Responsibility
                   The ability of group members to share the burden of the negative consequences of a poor
                   decision.
                Groupthink
                   The capacity for group pressure to damage the mental efficiency, reality testing, and moral
                   judgement of decision making groups.
                Risky Shift
                   The tendency for groups to make riskier decisions than the average risk initially advocated by
                   their individual members.
                Conservative shift
                   The tendency to make less risky decisions than average risk initially advocated by their
                   individual members.
                Devil's Advocate
                   A person appointed to identify and challenge the weakness of a proposed plan or strategy.
                Brainstorming
                   An attempt to increase the number of creative solution alternatives to problems by focusing on
                   idea generation rather than evaluation.
                Electronic Brainstorming
                   The use of computer-mediated technology to improve traditional brainstorming practices.
                Nominal Group Technique (NGT)
                   A structured group decision-making technique in which ideas are generated without group
                   interaction and then systematically evaluated by the group.
                Delphi Technique
                   A method of pooling a large number of expert judgments by using a series of increasingly
                   refined questionnaires.
           Objectives
             decision making and well-structured vs. ill-structured problems
           Objectives
psych338 - Notes
              decision making and well-structured vs. ill-structured problems                           Reference   Questions
                What is Decision Making?
                Well-Structured Problems
                Ill-Structured Problems
              compare and contrast rational decision making with decision making under
              bounded rationality
                Rational Decision Making Model
                Perfect vs. Bounded Rationality
                   Rational Decision-Making Process
                      Identify Problem
                      Search for Relevant Information
                      Develop Alternative Solutions to the Problem
                      Evaluate Alternative Solutions
                      Choose Best Solution
                      Implement Chosen Solution
                      Monitor and Evaluate Chosen Solution
                      (Recycle back to all steps)
              discuss the impact of framing and cognitive biases on the decision process
                Problem Identification and Framing
                   Problems in Problem Identification
                      Perceptual defense
                      Problem defined in terms of functional speciality.
                      Problem defined in terms of solution.
                      Problem diagnosed in terms of symptoms.
                   Problems in Information Search
                      Too Little Information
                      Too Much Information
                   Alternative Development, Evaluation, and Choice
                      Avoidance of known existing data, convinced your idea will succeed.
                      Large samples warrant more confidence than small samples.
                      Decision makers often overestimate odds of complex events critical for success.
                      People are poor at revising estimates of probabilities and values as more
                      information is available. The anchoring effect shows this.
                      Can reduce cognitive biases by making people more accountable at the outset.
                      Perfectly rational decisions can be weighted against economic gain. Those
                      bounded by reality might have other factors to consider.
                      Under bounded rationality, people must satisfice rather than maximize.
                   Risky Business
                      Note the importance of 'framing'
                         sure loss vs. could save (e.g. court case)
              explain the process of escalation of commitment to an apparently failing course of
              action
                Solution Evaluation
                   Justification
                      People tend to be overconfident about adequacy of their decisions.
                      Must make sure that people are not sticking to one course because they, the
                      decision maker, does not want to face the reality of the situation.
                      Dissonance reduction is often common when people want to seem consistent or
                      protect themselves from perceived weakness.
                      Note sunk costs and escalation of commitment
                      Preventing escalation of commitment
                         Encourage continuous experimentation and reframing to avoid decision traps.
                         Set specific goals for projects in advance.
                         Evaluate decision makers on process not outcome. Teach people not to fear
                         failure.
                         Separate initial and subsequent decisions.
                         Note: Groups often more prone to escalation than individuals.
                   Hindsight
                      Often useful but can be a cognitive bias. (e.g. armchair QB)
                      Taking personal responsibility for success and distancing self from failure.
              consider how emotions and mood affect decision making
                Emotion and Mood in Decision Making
                   Emotions often play into whistle blowers and ethical corrections. (guilt)
             consider how emotions and mood affect decision making
                   Emotion and Mood in Decision Making
psych338 - Notes     Emotions often play into whistle blowers and ethical corrections. (guilt)                 Reference   Questions
                     Strong emotions often blind people to reality. They are often self-focused and
                     distracted.
                     Most evidence anecdotal, not ethical to evoke strong emotions in a lab.
                     Mood has greatest impact on uncertain, ambiguous decisions.
                     Research shows:
                        People in positive mood tend to remember positive info. Those in negative
                        remember negative.
                        People (+) evaluate world (+), People (-) evaluate world (-).
                        People (+) overestimate (+) and underestimate (-). (Inverted for people (-))
                        People (+) often shortcut and often violate rational decision model. People (-) tend
                        to be more deliberate, systematic, and detailed.
                        People (+) promotes more creative, intuitive decision making.
                     Mood is contagious.
             summarize the pros and cons of using groups to make decisions, with attention to
             the groupthink phenomenon and risk assessment
                   Why Groups?
                     Decision Quality
                        Groups more vigilant.
                        Groups generate more ideas.
                        Groups evaluate ideas better.
                     Decision Acceptance and Commitment
                        Decisions are often better accepted if many people involved. Assumptions:
                           People wish to be involved in decisions that affect them.
                           People will better understand decisions in which they are involved.
                           More committed if they were involved.
                     Diffusion of Responsibility
                        Spreading negative consequences across a group can often lead to negative
                        consequences when they turn out poorly. (abandon ship)
                   Do Groups actually Make Higher-Quality Decisions Than Individuals?
                      Normally yes, but there are ideal circumstances for groups:
                     Group members differ in skills and abilities (so long as they do not insight conflict)
                     Division of labour.
                     Memory for facts is important.
                     Individual judgments can be combined by weighing them to reflect the expertise of
                     members.
                   Disadvantages of Group Decision Making
                     Time
                     Conflict
                     Domination
                     Groupthink
                        Symptoms: (e.g. NASA Challenger 1986 launch disaster. Hubble mirror.)
                        Illusion of invulnerability (overconfident)
                        Rationalization (problems and counterarguments pushed away)
                        Illusion of morality (sensible options seen as right)
                        Stereotypes of outsiders
                        Pressure for conformity (pressure to fall in line)
                        Self-censorship (avoid going against group)
                        Illusion of unanimity (perceive unanimous support for actions)
                        Mindguards (protecting group from info against decision)
                   Groups and Risk
                     Greater Risk (diffusion of responsibility)
                     Less Risk (checks and balances)
                     Research: MIT (J.A.F. Stoner) - Groups tended towards riskier choices than average
                     individual. Other research contradicted this.
                     Risky shift vs. Conservative shift
                     Initial risk positions seem key. Polarization occurs in group discussion!
                         Conservative before => More conservative.
                         Risky before => More risky.
                     Evidence indicates following factors:
                         Discussion brings info not considered before. This favours individuals initial
                         positon. "more" and "better" reasons exaggerate tendency.
                         Individuals try to 'one-up' each other. Further polarizing.
                     CMC tends to exaggerate this polarization more than face-to-face groups.
                     Managers must be aware of the importance of group interaction and initial risk levels.
                     Make sure sensible exchanges take place (no flame wars).
psych338 - Notes                                                                                                          Reference   Questions
                  Managers must be aware of the importance of group interaction and initial risk levels.
                  Make sure sensible exchanges take place (no flame wars).
             discuss techniques for improving organizational decision making
                   Improving Decision Making in Organizations
                     Recent research:
                        make need for action clear at outset
                        set objectives
                        carry out unrestricted searches for alternatives
                        get key people to participate
                     Training Discussion Leaders
                        Autocracy is bad for groups. (no "selling decision")
                        Low (or no) influence can be just as bad.
                        Skills:
                           State problem in nondefensive, objective manner. Do not suggest solutions or
                           preferences.
                           Supply essential facts and clarify any constraints on solutions.
                           Draw out all members. Prevent domination and groupthink badness.
                           Wait out pauses. Don't suggest or ask leading questions.
                           Ask stimulating questions that move discussion forward
                           Summarize and clarify at several points to mark progress.
                     Stimulating and Managing Controversy
                        Need a 'healthy' level of controversy. Full conflict is bad, no objections just as bad.
                        incorporate diverse thinkers
                        form groups to "tear problem apart"
                        establish norms for open information exchange
                        appointing a devil's advocate (must be objective and unemotional)
                     Traditional and Electronic Brainstorming
                        Generation of ideas, not evaluation ideas. 'Yes and'... not 'no but'
                       Traditional (face-to-face) brainstorming not living up to promise. Individuals
                       working alone can often generate more ideas than in groups.
                       Electronic brainstorming uses CMC to obtain better results. As more people join,
                       more ideas generated. Reduced inhibition and domination seems important here.
                     Nominal Group Technique (NGT)
                        Generate and evaluate.
                     Delphi Technique
                        Feed expert opinions into decision makers.
        Chapter 12: Power, Politics, and Ethics
           Vocabulary
             Power Definitions
                   Power
                     capacity to influence others who are in a state of dependence
                   Legitimate Power
                     power derived from person's positon or job in org
                   Reward Power
                     power from ability to provide positive outcomes and prevent negative outcomes
                   Coercive Power
                     power from use of punishment or threat
                   Referent Power
                     power from being well liked
                   Expert Power
                     power from special information or expertise valued by organization
                   Empowerment
                     giving people authority, opportunity, and motivation to take initiative and solve organizational
                     problems
                   Influence Tactics
                     tactics that are used to convert power into actual influence over others.
             Politics Definitions
                   Subunit Power
                     degree of power held by subunits within and organization (departments)
                   Strategic Contingencies
                     critical factors affecting organizational effectiveness that are controlled by a key subunit
                   Organizational Politics
                     the pursuit of self-interest in an organization, whether or not this self-interest corresponds to
                     organizational goals
                   Machiavellianism
                     A set of cynical beliefs about human nature, morality, and permissibility of using various tactics
                     to achieve one's end
psych338 - Notes                                                                                                          Reference   Questions
                   Machiavellianism
                     A set of cynical beliefs about human nature, morality, and permissibility of using various tactics
                     to achieve one's end
                   Networking
                     establishing good relations with key organizational members and/or outsiders in order to
                     accomplish goals
             Ethics Definitions
                   Ethics
                     systematic thinking about the moral consequences of decisions
                   Stakeholders
                     people inside of outside an organization who have the potential to be affected by the org's
                     decisions
           Objectives
             define power and review the basis of individual power
                   What is Power?
                   The Bases of Individual Power
                  Legitimate Power
                  Reward Power
                  Coercive Power
                  Referent Power
                  Expert Power
             explain how people obtain power in organizations
                   Doing the Right Things
                     Extraordinary Activities
                     Visible Activities
                     Relevant Activities
                   Cultivating the Right People
                  Outsiders
                  Subordinates
                  Peers
                  Superiors
             discuss the concept of empowerment
                   Empowerment - Putting Power Where It Is Needed
             review various influence tactics
                   Influence Tactics
                     Assertiveness
                     Ingratiation
                     Rationality
                     Exchange
                     Upward Appeal
                     Coalition Formation
             provide a profile of power seeker
                   Who Wants Power?
                     Neurotics with Inferiortiy
                     Childhood Deprivation
                     Substitution for Affection
                   Effective Managers
                  Have high need for power
                  use power to achieve org goals
                  adopt participative or coaching style
                  relatively unconcerned with how much others like them
             explain strategic contingencies and discuss how subunits obtain power
                   Controlling Strategic Contingencies - Subunits and Power
                     Scarcity
                     Uncertainty
                     Centrality
                     Substitutability
             define organizational politics and discuss its various forms
                   Basics of Organizational Politics
                     Sanctioned means/sanctioned ends
                     Sanctioned means/unsanctioned ends
                     Unsanctioned means/sanctioned ends
                     Unsanctioned means/unsanctioned ends
             define organizational politics and discuss its various forms
                   Basics of Organizational Politics


psych338 - Notes                                                                                                   Reference   Questions
                     Unsanctioned means/unsanctioned ends
                   Where?
                     Middle to upper management more than lower
                     Vague Complex tasks lead to more politcs (R&D vs. production)
                     Budget, reorgs, personnel most likely central to politics
                     scarce resources, uncertainty, and important issues increase politics. Highly political
                     climates lead to lowered satisfaction, increased turnover.
                     Machiavellianism - Hard Politics
                        Self-interest at expense of others.
                        Cool and calculating, especially when others are emotional.
                        High self-esteem and self-confidence.
                        Form alliances with powerful people to achieve goals.
                     Networking - Soft Politics
                        Work inside and outside org to have network of people to help reach goals
                   Defensive vs. Reactive Politics
                  Defensive (inaction)
                     Stalling
                     Overconforming
                     Buck Passing
                  Defensive (avoid blame)
                     Buffing
                     Scapegoating
             define ethics and review the ethical dilemmas that managers face
                   Ethics in Organizations
                     The Nature of Ethical Dilemmas
                       See survey of ethical issues.
                   Moral Themes for Decisions
                     Honest communication
                     Fair treatment
                     Special consideration
                     Fair competition
                     Responsibility to organization
                     Corporate social responsibility
                     Respect for law
                   Unethical Behaviour
                     Gain
                     Role Conflict
                     Competition
                     Personality
                     Organizational and Industry Culture
                   Is Playing Politics Ethical?
             define sexual harassment and discuss what organizations can do to prevent it and
             how they should respond to allegations
                   Sexual Harassment
                     Unethical behaviour that leverages gender power imbalance
                     To combat:
                        Foster management support and education
                        Stay vigilant
                        Take immediate action
                        Create a state of the art policy
                        Establish clear reporting principles
        Chapter 13: Conflict and Stress
           Vocabulary
             Conflict Definitions
                   Interpersonal conflict
                     A process that occurs when one person, group, or organizational subunit frustrates the goal
                     attainment of another
                   Relationship conflict
                     Interpersonal tensions among individuals that have to do with their relationship (not task)
                   Task conflict
                     Disagreements about work to be done.
                   Task conflict
psych338 - Notes      Disagreements about work to be done.                                                              Reference   Questions
                   Process conflict
                      Disagreements about how work should be done
             Conflict Management Definitions
                   Avoiding
                      CM style characterized by low assertiveness of one's own interests and low cooperation with
                      the other party
                   Accommodating
                      CM style where one person cooperates and does not assert their own interests
                   Competing
                      CM style maximizing assertiveness and minimizing cooperation
                   Compromise
                      CM style combining intermediate levels of assertiveness and cooperation
                   Collaborating
                      CM style that maximizes both assertiveness and cooperation
             Negotiation Definitions
                   Negotiation
                      A decision-making process among interdependent parties who do not share identical
                      preferences.
                   Distributive negotiation
                      Win-lose negotiation in which a fixed amount of assets is divided between parties
                   Integrative negotiation
                      Win-win assuming mutual problem solving can increase the 'pot'
                   Subordinate goals
                      Attractive outcomes only achieved by collaboration
                   Conflict stimulation
                      A strategy of increasing conflict in order to motivate change
             Stress Related Definitions
                   Stressors
                      Environmental events or conditions that have the potential to induce stress
                   Stress
                      A psychological reaction to the demands inherent in a stressor that has the potential to make a
                      person feel tense or anxious
                   Stress reactions
                      The behavioural, psychological, and physiological consequences of stress
                   Locus of control
                      A set of beliefs about ones behaviour and what controls it
                   Type A behaviour pattern
                      Aggressive, ambitious, competitive, hostile, impatient, and filled with urgency
                   Negative affectivity
                      Propensity to view world in negative light
                   Role overload
                      Requirement for too much to be done in too little time
                   Job demands-job control model
                      A model that asserts that jobs promote high stress when they make high demands while
                      offering little control over work decisions.
                   Boundary roles
                      Positions in which organizational members are required to interact with members of other
                      organizations or with the public.
                   Burnout
                      Emotional exhaustion, depersonalization, and reduced personal accomplishment among those
                      who work with people
                   Defence mechanisms
                      Psychological attempts to reduce the anxiety associated with stress.
           Objectives
             define interpersonal conflict and review its causes in organizations
                   What is Conflict
                   Causes of Organizational Conflict
                      Group Identification and Intergroup Bias
                      Interdependence
                      Differences in Power, Status, and Culture
                         Power
                         Status
                         Culture
                      Ambiguity
                      Scarce Resources
             explain types of conflict and the process by which it occurs
                   Types of Conflict
                   Conflict Dynamics
              explain types of conflict and the process by which it occurs
psych338 - Notes                                                                                  Reference   Questions
                 Conflict Dynamics
              discuss the various modes of managing conflict
                 Modes of Managing Conflict
                   Avoiding
                   Accomidating
                   Comprimise
                   Collaborating
              review a range of negotiation techniques
                 Managing Conflict with Negotiation
                   Distributive Negotiation Tactics
                      Threats and Promises
                      Firmness versus Concessions
                      Persuasion
                   Integrative Negotiation Tactics
                      Copious Information Exchange
                      Framing Differences as Opportunities
                      Cutting Costs
                      Increasing Resources
                      Introducing Superordinate Goals
                   Third Party Involvement
                      Mediation
                      Arbitration
              discuss the merits of stimulating conflict
                 Is all conflict bad?
                   CONFLICT -> CHANGE -> ADAPTATION -> SURVIVAL
              distinguish among stressors, stress, and stress reactions
                 Model of Stress in Organizations
                   Stressors
                   Stress
                   Stress reactions
              discuss the role that personality plays in stress
                 Personality and Stress
                   Locus of Control
                   Type A Behaviour Pattern
                   Negative affectivity
              review the sources of stress encountered by various organizational role occupants
                 Stressors in Organizational Live
                   Executive and Managerial Stressors
                     Role Overload
                     Heavy Responsibility
                 Operative-Level Stressors
                   Poor Physical Working Conditions
                   Poor Job Design
                 Boundary Role Stressors, Burnout, and Emotional Labour
                   Emotional Exhaustion -> Depersonalization -> Low Personal Accomplishment
                   Emotional Exhaustion
                     Feel drained by work
                     Fatigued in morning
                     Burnt out
                     Frustrated
                     Don't want to work with people
                   Depersonalization
                     Calloused by job
                     Treat people like objects
                     Don't care about people
                     Feel others blame you
                   Low Personal Accomplishment
                     Cannot deal with problems effectively
                     Are not having positive influence on others
                     Cannot understand others' problems
                     No longer exhilarated by job
                     Low Personal Accomplishment




psych338 - Notes        No longer exhilarated by job                                                                   Reference   Questions
                   General Stressors
                     Interpersonal Conflict
                     Work-Family Conflict
                     Job Insecurity and Change
                     Role Ambiguity
                     Sexual Harassment
               describe behavioural, psychological, and physiological reactions to stress and
               discuss techniques for reducing or coping with stress
                   Reaction to Organizations
                     Behavioural Reactions to Stress
                       Problem Solving
                           Delegation, Time Management, Talking it out, Asking for help, Searching for alternatives.
                       Withdrawal
                       Use of Addictive Substances
                     Psychological Reactions to Stress
                       Defense mechanisms
                          Rationalization
                              attributing socially acceptable reasons or motives to your actions
                           Projection
                              attributing to others
                           Displacement
                              taking stress out on "safe" target instead of confronting
                           Reaction formation
                              opposing how you really feel
                           Compensation
                              applying one's skills in a particular area to make up for failure in other areas
                     Physiological Reactions to Stress
                        cardiovascular, immune system pressure
                     Reducing or Coping with Stress
                       Job Redesign
                       Social Support
                       "Family Friendly" Human Resource Policies
                       Stress Management Programs
                       Work-Life Balance Programs
     Lecture
        Week 6: Leadership 1
           Introduction to Leadership
           What makes a great leader?
           What makes a strong leader?
           Agree or Disagree?
               Organizations need strong leaders?
               Workgroups need strong leaders?
           Qualities of Charismatic Leaders
               House 1976, Bass 1985
               Self-Confidence and confidence in subordinates
               High expectations for subordinates
               Ideological vision
               Personal Example
               Superior debating and persuasive skills as well as technical skills
               Foster attitudinal, behavioural, and emotional changes in followers
        Week 7: Leadership 2
           Today's Class
             Traditional Leadership
             Contemporary Leadership
           Leadership
              When one influences, motivates, and enables others to contribute to org
              effectiveness
              Managers are in a position to be leaders
           Traits Approach
              Traits may be genetic or acquired through learning and experience
              Individual Characteristics
                   Intelligence
                   Energy
                   Motivation to lead
           Traits Approach

             Individual Characteristics

psych338 - Notes                                                                                     Reference   Questions
                   Motivation to lead
                   Self-confidence (like self-efficacy)
                   Agreeableness, Openness, Extraversion
                   Self-esteem (positive correlation)
           Behavioural Approaches
             Iowa Leadership studies
                   Authoritarian
                   Democratic
                   Laissez-faire
             Ohio State Leadership studies
                   Consideration
                   Initiating Structure
           Situational Approaches: Path-Goal Theory
             House 1974, Evans 1970
              See Diagram
           Transactional vs. Transformational
             Transactional
                   Exchange relationship
                   Rewards and punishments
                   Rules and roles
                   Authoritarian
                   Initiating
                   Directive
             Transformational
                   Charisma
                   Inspirational
                   Stimulating
                   Considerate
                   Democratic
                   Participative
                   Consideration
           Leadership as Cognition
              Implicit leadership theory
              Models for accounting for subordinate information processing
           Followers: The Truly Forgotten Ones
              outcome of social-cognitive processes that are used to label others
           Leadership Prototypes
              Sensitivity
              Dedication
              Tyranny
              Charisma
              Attractiveness
              Masculinity
              Intelligence
              Strength
              Figure: (dedicated decisive responsible industrious persistent intelligent)
           Leadership as Cognition Process
              Leadership qualities are attributed to individuals who are accepted as leaders based
              on degree of congruence between leaders behaviours and followers implicit ideas of
              leader.
           Recognizing Leadership
              Combine prototypes and Traits with Leadership Behaviour, people label you a
              leader.
           Inference
             If you lead to good outcomes and show basic traits, you can gain the leader label.
           Gender and Leader Prototypes
             Male
                   Task-Oriented
                   Autocratic
                   Transactional
                   Laissez-faire
              Male




psych338 - Notes Laissez-faire                                                              Reference   Questions
                 Agentic
              Female
                 Interpersonal
                 Democratic
                 Transformational
                 Agentic and communal
           Cultural Categories
             Individualistic cs. Collectivist
             Egalitarian vs. Hierarchical
           West vs. East Trends
              West
                 Individualist
                 Egalitarian
              East
                 Collectivist
                 Hierarcy
           Global Studies
              Theory: Implicit leadership theories vary by culture
              Individualism and Collectivism both positively related to transformational
              Power Distance (+) to self-protective and humane; (-) to participative and
              transformational
         Week 8: Communication and Org Culture                                              Wendi L.
                                                                                            Adair
           Organizational Communication
             Model of Interpersonal communication
                 Sender: (Encoding -> Transmission -> )
                 Receiver: (Receiving -> Decoding -> Feedback)
                     receive = perception
              Organizational Communication by Chain of Command
                 Downward (CEO -> ...)
                 Upward (CEO <- ... <- Employee)
                 Horizontal Communication (Up chain till common manager, then down)
                 Modified Horizontal Communication (VP 1 <-> VP 2 <-> VP3) [similar at all
                 levels]
                 Deficiencies
                     Slow
                     Filtering
                     Informal Communication between members not considered
              Organizational Grapevine
                 Org's informal communication network
                 Carries legit and gossip info
                 Strategic (if used properly)
                 Organizational blogs
                   Microsoft Pioneered
                      Built trust between corp and employees
           Organizational Communication Matters
             Verbal and non-verbal communication
                 Jargon
                 Non-verbal
                  body language
                  artifacts
              Gender & Communication
                 Women more likely to:
                     ask questions
                     apologize
                     offer praise before criticism
                     compliment
                     be indirect
                 Men more likely to:
                     take credit
                     boast
                   Men more likely to:
psych338 - Notes                                                                                          Reference   Questions
                     boast
                     argue and debate
                     talk to superiors
                   Example: Choice to Negotiate
                     Study of CMU MBA Grads
                        Babcock and Laschever, 2003
                       negotiation increased salaries by 7.4%
                       7% of women, 57% of men asked for more
                     HR officials who say employment offers negotiable
                        Patterson, WSJ March 2004
                       Salary 90%
                       Early Review 55%
                       Bonus 47%
                       Annual Bonus 37%
                       Health-care 9%
                       Retirement 4%
                     Cost of Not Negotiating
                       compounds!
             Computer-mediated Communication
                   Media richness model
                     Standard Model
                        Highest: face-to-face
                        High: telephone
                        Moderate: written (personal)
                        Low: written (formal)
                        Lowest: numeric
                     Contemporary Model
                        See graph from text book. (Degree of sync VS. Non-verbal cues)
                   Groups using CMC
                     Meta-analysis ()
                     Minuses
                        Take more time (d=-1.71)
                        Less effective decisions (d=-.40)
                        Less satisfied members (d=-.52)
                     Pluses
                        Can generate more ideas
                        Have members less inhibited by status cues
                   CMC Group Effectiveness: Moderators
                     Time constraint: Unlimited CMC equally well as face-to-face groups
                     Anonymity: Anonymous CMC were equally effective as face-to-face
                   Downsides of CMC in negotiation
                     Morris et al., 2002, McGuire et al., 1987
                     On email, we are more likely to:
                       use aggressive strategies
                       focus on content rather than delivery
                       attribute malevolent motives to others
                       take risks
                     Schmoozing reduces these tendencies
                   Getting more out of CMC
                    Overcome problems of anonymity and lack of trust by building rapport right from get
                    go
                       initial face-to-face
                       short phone call
                       online chat
                    Send clear, concise messages to avoid confusion
                    use emoticons
                    ask enough questions
                    establish ground rules, avoid confusion
                    leave enough time
           Culture and Communication
             Hall's view of culture
           Culture and Communication
psych338 - Notes
              Hall's view of culture                                                                   Reference   Questions
                "culture is communication and communication is culture" (1959)
                characterize cultures based on relationship between communication and reliance
                on the context in which communication occurs
                Low/high context addresses "how information is handled and how people interact
                and relate"
                   High context: rely on non-verbal cues (eastern culture?)
                   Low context: more reliant on verbal cues (western culture?)
             Low and High Context Communication Characteristics
                (Hall, 1976)
                Very rich
                Low Context
                   Message: Internal source
                   Content: Rational
                   Style: Explicit
                   Channel: Informal
                   Pattern: General
                   Argument: Aristotelian
                   Appeals:
                   Logic:
                High Context
                   Message: External context
                   Content: Emotional
                   Style: Implicit
                   Channel: Formal
                   Pattern: Context specific
                   Argument: Ideological
                   Appeals:
                   Logic:
             Direct/Indirectness Example
                See slide
             Other facets of culture and communication
                Relationships
                   history
                   face
                   High: large and dense network of people
                   Low: more distributed less tight-knit networks
                Time
                   Low: monochronic view of time (segmented, scheduled, measured)
                   High: polychronic view of time (long term perspective, fluid)
                Space
                   body language
                   personal distance
             Challenges for Americans: Non-verbal communication
                Distance
                Silence
                Interruptions
                Posture
                Facial gazing (looking at people in the eyes)
                Touching
             How Close is Too Close?
             Face
                Face = social self image
                Saving face = Behaviours or actions taken to protect one from shame, dishonor
                Face concern
                   Low face concern: call or knock on door to say piano is annoying them
                   High face concern: indirect discussion about annoyance (not directly referencing)
                High (collectivist): concerned about both group and individual face
                Low (individualist): concerned (primarily) individual face
           Protestant Relational Ideology (PRI)
             Sanchez-Burks, 2002 JPSP
             cultural ideology in which relational and emotional concerns are considered
             inappropriate in work setting and therefore afforded less importance and attention
             than in social, non-work settings.
           Protestant Relational Ideology (PRI)
psych338 - Notes
              Sanchez-Burks, 2002 JPSP                                                                            Reference   Questions
               cultural ideology in which relational and emotional concerns are considered
               inappropriate in work setting and therefore afforded less importance and attention
               than in social, non-work settings.
               Spontaneous Recall of Observed 'workplace' events
                 Watched task, had groups record what they observed.
                 Task-focused (noticed things with the task)
                 Emotion focused (noticed individuals emotions)
              Sensitivity to indirect (face saving) communications
            Organizational Culture
               What is it?
                 The shared beliefs, values and assumptions that exist in an organization
                    (Schein, 1992) -- Like National culture but dealing with an organization instead.
               Levels of Org Culture
                 High Visibility: Artifacts and physical characteristics
                 Espoused values and values in use
                 Low Visibility: Basic assumptions
               Maintenance and transmission of Organizational Culture
                 Selection of employees
                 Socialization of employees
                    stories
                    rituals
                    symbols
                    language
                 Reinforcement and Rewards
               CASE: Strong Organizational Culture (DISNEY)
                 Artifacts
                    Symbols
                    Uniforms (costumes)
                    Appearance (strictly monitored dress code)
                    Socialization
                    Language (Jargon [where seen=on stage], [policemen=security hosts])
                    Social order (Tour director (highest) -> ride operators -> concessions -> grounds)
                    Enforcement
               Socialization Process
                 See slide
         Week 10: Decision Making                                                                                 Wendi L.
                                                                                                                  Adair
            Decision making models
              Behavioural decision maker
                 problem not clearly defined
                 knowledge of alternatives and consequences is limited
                 choses a satisfactory alternative
               Classical decision maker vs. Behavioural decision maker
                 What is getting in the way of people making rational decisions?
               Bounder Rationality
                 Simon, 1978
                 Humans limited by:
                    capacity to acquire and process information
                    time constraints
                    political constraints
                    willpower
                    self-interest
                       some people care only about themselves
                       some people care too much about others
               Heuristics
                 Simplifying strategies or rules of thumb in decisions
                    Tversky & Kahneman, 1974)
                 Problems illustrating challenges in managerial judgement and decison making
                    Problem:
                       In 1991, the following 10 corps. were rangled by Fortune to be among the 500 largest US-
                       based firms according to sales volume.
                       Group A: Apple, Levi Strauss, Maytag, Quaker Oats, Zenith Electronics
                   Problems illustrating challenges in managerial judgement and decison making
                     Problem:
                        In 1991, the following 10 corps. were rangled by Fortune to be among the 500 largest US-
                        based firms according to sales volume.
psych338 - Notes       Group A: Apple, Levi Strauss, Maytag, Quaker Oats, Zenith Electronics                             Reference   Questions
                       Group B: Conagra, Allied-Signal, ...
                     Problem:
                        MBA student likes arts. Which job?
                       arts management
                       investment banking
                     Problem:
                        Sales directors in past have been "lemons", next one must be good
                       correct
                       incorrect
                     Problem:
                        New engineer for comp firm has 4 years experience
                     Problem:
                        Place estimates with 98% confidence interval
                       General Motors' 1991 profits
                       World population in 1990
                     Problem:
                        Car manufacturer has been hit by economic difficulties
                        Plan A: save 1 of 3 plants (2000 jobs)                                                                       Gain framed
                        Plan B: chance of saving is 1/3 (6000 jobs)                                                                  Gain framed
                        Plan C:                                                                                                      Loss framed
                        Plan D:                                                                                                      Loss framed
                   Availability heuristic
                     people tend to judge info readily available
                     Implication: perf. appraise; supplier choice; reliance on org. hierarchy
                   Representativeness heuristic
                     assess likelihood by matching situation to stereotypes of similar occurances
                     insensitivity to base rates and misconceptions of chance
                        (1) entrepreneurs: "I'll succeed" when most fail.
                     implication: new business ventures, hiring decisions
                   Anchoring and Adjustment Phenomenon
                     People are biased by their first guess, they remain fixated and move little around it.
                     implication: salary negotiations; pricing
                   Other Biases
                     Confirmation Bias: tend to seek confirming (rather than disconfirming) information
                     Information overload: tend to collect more information than needed.
                   Framing
                     When thinking as gain, people are risk averse and remain conservative
                     When thinking in terms of loss, risk seeking and take risky choice
                   Escalation of Commitment
                     If at first you don't succeed, try and try again. Then quit. No use being a damn fool about it. -
                     WC Fields
                     Escalating Psychological Traps
                       Investing more resources in training a problem employee
                       Putting more and more overtime to get promotion you deserve
                       Investing additional money in new venture that isn't reaching profits as quickly as
                       expected
                     Causes of Escalation of Commitment
                       Overconfidence bias
                       Irrational treatment of sunk costs
                           Permanent losses of resources incurred as the result of a decision
                       Framing the decision to stop as a sure loss
                   Group Decision Making
                     Groups are more likely to escalate.
                     Groupthink
                       Capacity for group pressure to damage mental efficiency, reality testing, and moral
                       judgements
                       Effects people's ability to make decisions.
                       When is groupthink likely to occur:
                          Likely when:
                             Strong identification with group
                             concern for approval
                             strong leader with decision made
                     Group Polarization
psych338 - Notes   Group Polarization                                                                Reference   Questions
                      Conservative decision makers vs. Risky decision makers have their views grow
                      further and further apart.
                   Disadvantages of Group Decision Making
                      Time
                      Conflict
                      Domination
                   Advantages of Group Decision Making
                      More expertise, skills, knowledge (if sharing occurs)
                      Enhanced memory
                      Increased Error detection

				
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