Organizational Processes for TPP: Session 11 - [email protected]
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Transcript of Organizational Processes=18
Designing Organizational Frameworks
forHigh Performance
Organizational Processes for high performance
1. Communication
2. Decision Making
3. Team Work
CommunicationI speak you hearI speak you seeI speak you understandI speak you respond
A perfect communication is when a thought or idea was transmitted so that the mental picture perceived by the receiver was exactly as envisioned by the sender
Communication helps us:• To sort out, categorize, understand and interpret messages we
receive from others. • To understand, interpret and create our own responses to
messages we have received.
Functions of Communication
Information: provides the information that individuals and groups need to make decisions
Control: acts to control member behavior
Motivation: fosters motivation by clarifying the employees what is to be done to improve performance
Emotional expression: provides a release for emotional expression of feelings and frustrations.
Choice of Communication Media
Information richness – The potential information carrying capacity of data– High (more information) to low (less information)– Measured by four factors
• Feedback: immediate to very slow• Channels used: audio and visual to limited visual• Type of communication: personal to impersonal• Language source: body language, verbal or numeric
Complexity– Degree of importance, seriousness and difficulty
Information Richness for Different Media
Medium Information richness
Feedback Channel Type Language source
Face-to-face
High Immediate Visual, audio
Personal Body, verbal
Telephone High/mod Fast Audio Personal Limited body, verbal
Personal
written
Mod Slow Limited visual
Personal Verbal
Formal written
Mod/low Very slow Limited visual
Impersonal Verbal
Formal numeric
Low Very slow Limited visual
Impersonal Numeric
Communication Media
Match the choice of media with the complexity of the issue for effective communication– Complex issue - rich media
– Overload: if the medium provides more information than is necessary
– Oversimplification: if the medium does not convey sufficient information
Media usage and organisational levels– Senior managers, more time in face to face meetings
Directions of Communication
Downward Communication
Upward Communication
Sideward Communication
(For details refer to seminar)
Grapevine
An informal channel of sharing information of interest between employees with no reporting responsibility
Fast, often accurate, efficient, and fulfils employees’ social, security, and esteem needs
Can be used to spread false rumours and destructive information but also effectively supplements the formal channels of communication
Interactive Behavior Categories
Study on Verbal Communication carried out by Research Team in UK in late ‘80s
13 major interactive behavior categories
1. Proposing: putting forward a new concept, suggestion, course of action, plan etc.
2. Building: extending or developing a proposal which has been made by another person.
3. Supporting: a conscious and direct declaration of agreement or support for another person or his ideas.
Interactive Behavior Categories4. Disagreeing: a conscious, direct and reasoned
declaration of different of opinion or criticism of another person's ideas.
5. Defending/attacking: attacking another person or defensively strengthening own position.
6. Blocking: placing a difficulty or blocking in the path of a proposal without offering any alternative.
7. Testing understanding: seeking to establish whether or nor an earlier contribution has been understood.
Interactive Behavior Categories
8. Summarising: restating in a compact form, the content of previous discussions.
9. Seeking information: seeking facts, opinions or clarifications from others.
10. Giving information: offering facts, opinions or clarifications to others
11. Bringing in: a direct and positive attempt to involve others.
12. Shutting out: excluding or attempting to exclude others.
13. Encouraging: expressing the feeling of being friendly to others.
Effective Verbal Communication
• Use initiating, responding and clarifying/ seeking verbal behavior in a balanced way
• Avoid strong negative responding behaviors
• Avoid negative behavior spirals and behavior chaining
• Flag positive verbal behaviors
• Use positive supportive behaviors
Decision & Decision Making
Decision– A choice of a course of action
Decision making– A process of choosing among alternatives in relation to
a situation
Decision making process – Intelligence activity (searching the environment for
conditions calling for decision making)– Design activity (inventing, developing and analysing
possible courses of action)– Choice activity (selecting a particular course of action)
Organizational Decisions
Programmed decisions– Decisions made according to pre-established routines
and procedures
Non-programmed decisions– Decisions made about novel, non-recurring problems
for which there are no pre-specified courses of action
Strategic decisions– Non-programmed decisions, typically made by high
level executives, regarding the direction the organisation should take to achieve its
Criteria for Decision Effectiveness
Quality– Desired outcome while meeting relevant criteria and
constraints
Timeliness– Closer to the time when a response to the situation is required
Acceptance– Ownership of the decision and willingness to take
responsibility to implement it
Ethical appropriateness– Within the boundary of moral and legal norms
Decision Rationality
Rationality: the key basis for making decision: – Choosing a means to reach a desired end– The degree of rationality determined by the
degree of appropriateness of the means chosen– Ideally, decisions should be fully objective and
logical (i.e. rational), made with complete knowledge
– In actuality, decisions are made with varying degrees of rationality
Types of Rationality
Objective rationality: if a decision maximises given values in a given situation
Subjective rationality: if a decision maximises attainment relative to knowledge of the given subject
Conscious rationality: if a decision involves a conscious process in making adjustment of means to end
Deliberate rationality: if a decision involves a deliberate adjustment of means to end
Organisational rationality: if a decision is aimed at the organisational goals
Personal rationality: if a decision is aimed at the individual’s goals
Models of behavioral decision making
Economic Rationality Model
Social Rationality Model
Bounded Rationality Model
Judgemental Heuristic and Bias Model
For details, refer to seminar slides
Decision Making Styles
Analytical Conceptual
Directive Behavioural
Hi
Lo
Tol
eran
ce f
or
Am
bigu
ity
Task and technical concerns
People and social concerns
Value Orientations
Decision Making Styles
Directive style– Efficient, pragmatic and systematic in problem solving– Focus on facts and quick accomplishment – Action oriented, short run focus, autocratic leadership
style
Analytical style – Analyse situations in detail and evaluate more
information and alternatives– May take a long time to reach a decision– Respond well to new or uncertain situations– Also autocratic leadership style
Decision Making Styles
Conceptual style– Take a broad perspective in problem solving and
consider many options– Discuss to gather information and then use intuition to
decide– Good at taking risks and generating creative solutions– May also foster an idealistic, indecisive approach
Behavioural style – Work well with others and like opinion sharing– Receptive to suggestions, supportive– Avoid conflicts and prefer verbal communication– Difficulty in saying no and making tough decisions
Participative Decision Making
ConceptsParticipation, a key theme in decision making
– Unit: individuals or teams– Structure: formal or informal– Type: intellectual, emotional and physical
involvement– Degree: no participation to full participation
Participative Decision Making
Individual participation techniques– Those in which a subordinate makes an input or somehow
affects the decision making of a superior
Team participation techniques– Range between consultative and democratic
Evaluation of participative techniques– Effectiveness influenced by leadership styles and
personality of the parties involved as well as situational, contextual and ideological factors
– Different outcomes of different forms of participative techniques (e.g. informal: productivity and satisfaction, representative: only satisfaction, short-term: no outcomes)
Participative Decision Making
Problems– Time consuming– Participation sought but not allowed to be
intellectually and emotionally involved or suggestions not utilised
Group Decision MakingSocial schemes to predict outcomes of group
decision making– The majority - wins scheme (initial majority position,
when no objectively correct decision)– The truth - wins scheme (recognition of one objectively
correct approach with more information/ discussion)– The two - thirds majority scheme (initial favour of two-
thirds)– The first - shift rule (decision that reflects the first shift in
opinion)
Status quo tendency– Group resistance to change
Group Decision Making
Delphi technique– A panel of experts, no face-to-face interaction– Anonymous prediction or inputs into the problem– Anonymous feedback from all other members– Another round of inputs– For an agreed upon number of times or until the
composite feedback remains the same
Evaluation– Anonymity encourages flexibility and concern for good
decision– Time consuming, costly and lack of scientific basis
Group Decision Making
Nominal group technique– A group in name only: no verbal exchanges initially
– Silent generation of ideas in writing
– Round-robin feedback from group members
– Discussion of each recorded idea for clarification and evaluation
– Individual voting on priority ideas
Importance of Group– An important sociological unit of analysis for studying
organisational behaviour
– Organisational goals generally achieved by groups
– A growing emphasis on team approach to improving organisational performance and productivity
– Considerable influence on individual behaviours and performance
– Group dynamics is concerned with
• How groups form
• Their structure and processes
• How they function and affect members, other groups and the organisation
Theories of Group of Formation
Propinquity theory
Balance theory
Exchange theory
(for details, refer to seminar slides)
Stages of Group Development
Forming: marked by uncertainty; group members not sure about the purpose, structure, task, or leadership of the group
Storming: characterised by conflict, disagreement, and confrontation among group members about group and task roles
Norming: determination of behaviour rules and beginning of shared responsibility, cohesion, and collaboration
Performing: fully functioning group devoted to effectively accomplishing the tasks agreed upon; increased collaboration, and problem solving
Adjourning: task completion and disbanding or new composition of group
Types of Groups
Primary groups– Feelings of comradeship, loyalty, and a common sense of
values (family, peer group, also work group)
Coalitions (very powerful groups in organisation)– Interacting group of individuals– Constructed deliberately for a specific purpose– Independent of formal organisation structure– Lacking a formal internal structure– Mutual perception of membership– Issues oriented to advance purposes of members– Concerted member action
Types of GroupsOther group classifications
– Membership groups: to which the individual actually belongs
– Reference groups: to which an individual would like to belong because he/she identifies with them
– In groups: those who share the dominant values– Out groups: those who are on the outside looking in– Formal groups: designated work groups defined by the
organization’s structure.– Informal groups: groups that are neither formally
structured now organizationally determined; appear in response to the need for social contact.
Research on GroupsSchachter’s study
– Tested how group cohesiveness and induction affect productivity
– Cohesiveness: the average force acting on members to remain in the group (high or low)
– Induction: influences (positive or negative)
Implications for OB– Highly cohesive group, more influenced (either
positively or negatively) than the low cohesive groups
The “Pitchfork” Results from theSchachter Study
Control
Hi Co, - Ind
Lo Co, + Ind
Lo Co, - Ind
Hi Co, + Ind
Pro
duct
ivit
y
Induction
Research on Groups
Implications for OB– Hi Co and +ve influence (leadership): highest
productivity– Lo Co and +ve influence (leadership): next
level of productivity– Lo Co and -ve influence (leadership): low
productivity– Hi Co and -ve influence (leadership): severely
restricted output
Group Effectiveness
Use of groups to enhance satisfaction and performance– Organising work around intact groups– Having group charged with selection, training and
rewarding members– Using group norms for enforcement of behaviours– Distributing resources on a group rather than an
individual basis– Promoting intergroup rivalry to build within group
cohesiveness
Group EffectivenessFactors determining group effectiveness
– Task interdependence (how closely group members work together)
– Outcome interdependence (whether, and how, group performance is rewarded)
– Potency (members’ belief that the group can be effective)
Factors determining success level of group– The type of task being performed
– The formation and composition of the group
– The group’s ability to adapt to change
The Dysfunctions of Groups
Violation of group norms : result in antisocial behaviour
Role ambiguity: unclear about what to do
Role conflict: requirement for conflicting tasks or different values
Groupthink: in a highly cohesive group, from pressure to conform
Social loafing: reduction in efforts and performance as a group member
Work Teams
• The most important group phenomenon in organisations– Project teams, parallel teams, permanent work
teams
• Teams go beyond traditional formal work groups by having shared leadership roles, collective decision making, and synergistic effect.
Work TeamsCross-functional team as result of a move toward
horizontal organisational design– Individuals from various departments or functional
specialists
– To improve coordination• Choose team members effectively• Clearly establish the purpose of the team• Ensure everyone understands how the team will function• Conduct intensive team building up front so that everyone
learns how to interact effectively• Achieve noticeable results for morale
Work Teams
Virtual team a result of advances in IT– Individuals interacting and working from a
distance– Effective because they are flexible and driven
by information and skills rather than time and location
– Limited by task nature
Work Teams
Self managed team– A group of employees empowered to manage
and perform technical tasks that result in a product or service being delivered to a customer
– Increased job satisfaction, improved customer service and stringer organisational commitment
Team Effectiveness
• Supportive environment– Reward systems, communication systems and
physical space allow to work in a productive atmosphere
• Design of interdependent tasks
• Selection of members based on motivation and competence
• Encouragement of team cohesion
Team Effectiveness Model
Team building– Establishes a sense of partnership and allows members to
see the team as a unit and attractive work arrangement
– Succeeds when individuals share collective intelligence and experience a sense of empowerment
– To fit with the corporate culture
Collaboration– Learning how to improve interpersonal interactions in
group settings with committing to a common goal
Team Effectiveness Model
Group leadership– How members are selected
– What tactics are used to affect those members
Understanding of culture and diversity issues– Learning how to improve interpersonal interactions in
group settings with committing to a common goal