Transcript Chapter 2 Organizations 2001 and Managerial Challenges

Chapter 2
Organizations 2001 &
Managerial Challenges
Nelson & Quick
Remaining Competitive: Four
Major Challenges to Managers
• Globalizing the firm’s operations
• Managing a diverse workforce
• Keeping up with technological
change and implementing
technology in the workplace
• Managing ethical behavior
Changing Business Perspectives
International implies an
individual’s or organization’s nationality
is held strongly in consciousness
Move
to
Globalization implies the world
is free from national boundaries and
that it is really a borderless world
Changing Business Perspectives
In Multinational organizations,
the organization was recognized as
doing business with other countries
Move
to
In Transnational organizations,
the global viewpoint supersedes
national issues.
Changes in the Global Marketplace
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•
•
•
Collapse of Eastern Europe
Union of East and West Berlin
Expansion of business with China
Creation of the European Union
Establishment of the North
American Free Trade Agreement
Understanding Cultural Differences
Individualism/Collectivism
High power distance/Low power distance
High uncertainty Low uncertainty
avoidance avoidance
Masculinity/Femininity
Long-term orientation/ Short-term orientation
June
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Reprinted with permission of Academy of Management, PO Box 3020, Briar Cliff Manor, NY 10510-8020. Cultural
Constraints in Management Theories (Figure), G. Hofstede, Academy of Management Executive 7, (1993). Reproduced
by permission of the publisher via Copyright Clearance Center, Inc.
Where the U.S. Stands
Individualism
Low power distance
Low uncertainty Avoidance
Masculinity
Short-term orientation
Developing Cross-Cultural Sensitivity
• Cultural sensitivity training
• Cross-cultural task forces/teams
• Global view of human resource
functions
• Planning
• Recruitment and Selection
• Compensation
• Training and Development
Diversity
All forms of individual differences,
including culture, gender, age,
ability, personality, religious
affiliation, economic class, social
status, military attachment, and
sexual orientation
Diversity Statistics for the
Workplace
Cultural 2020 Workforce: 68% white non-Hispanic
14% Hispanic
11% African-American
Gender 2020 Workforce: 50% male
50% female
Diversity Statistics Affecting the
Workplace
Age
By 2000, median U.S. age will be 36
resulting in a job crunch among middleaged workers and greater intergenerational
contact in the workplace.
Ability An estimated 43 million disabled live in the
U.S.; their unemployment rate exceeds 60%
Result in
Better
Problem
Solving
Enhance
Organizational
Flexibility
Attract &
Retain
Talent
Diversity
Benefits
Promote
Creativity &
Innovation
Enhance
Marketing
Efforts
Slower
DecisionMaking
Possibility of
Conflicts
Resistance
to Change
Diversity
Problems
Time to
Achieve
Cohesiveness
Communication
Problems
Technological Innovation
Technology
The intellectual and
mechanical
processes used by
an organization to
transform inputs into
products or services
that meet
organizational
goals
Examples
Expert system - computer
based application using
representation of human
expertise in a specialized
field of knowledge to solve
problems
Robotics - use of robots in
organizations
Alternative Work Arrangements
Telecommuting - transmitting work from
a home computer to the office using a
modem
– reduces company cost
– increases productivity
– allows access to key workers anywhere
– helps retain employees attracted by the
flexibility
Additional Alternative Work
Arrangements
Hoteling - employees have mobile file
cabinets/lockers for personal storage;
work spaces are reserved, not assigned
Satellite offices - large facilities broken into
smaller workplaces near employees’
homes
Virtual Office: people work
anytime, anywhere, with
anyone.
Technological Change Requires
Managers to
• Focus on helping workers manage the
stress of their work
• Take advantage of the
wealth of information
available to motivate,
coach, and counsel--not to control
• Develop technical competence to gain
workers’ respect
Help Employees Adjust by
• Involving them in decision-making
regarding technological change
• Selecting technology that increases
workers’ skill requirements
• Providing effective training
• Establishing support groups
• Encouraging reinvention (creative
application of new technology)
Ethical Theories
Rule-based Theory
An ethical theory that
emphasizes the
character of the act
itself rather than its effects
Consequential Theory
An ethical theory that
emphasizes the
consequences or results
of behavior
Cultural Theory
An ethical theory that
emphasizes respect
for different cultural
values
Employee Rights Issues
Computerized monitoring
Drug testing
Free speech
Downsizing
Layoffs
AIDS in the workplace
Sexual Harassment = Unwanted
Sexual Attention
• Gender Harassment - crude comments;
behaviors that convey hostility toward a
particular gender
• Unwanted Sexual Attention - unwanted
touching, unwanted pressure for dates
• Sexual Coercion - demands for sexual favors
through job-related threats or promises
Harassment or
Potential Romance?
Organizational Justice
Distributive Justice
fairness of the outcomes
that individuals receive in
an organization
Competence
and Skill
Race and
Gender
Companies
in Danger
CEO
salaries
Procedural Justice
fairness by which the
outcomes are allocated in
an organization
Individual & Organizational
Responsibility
Whistle-blower - an employee who informs
authorities of the wrongdoing of his or her
company or coworkers
– Hero
– “Vile Wretch”
Social Responsibility - the obligation of an
organization to behave ethically
Rotary Four-Way Test
OF WHAT WE THINK, SAY, OR DO
1. Is it the TRUTH?
2. Is it FAIR to all concerned?
3. Will it build GOODWILL and better
friendships?
4. Will it be BENEFICIAL to all
concerned?
Four Challenges to Organizations
in the New Millennium
Globalization
Diversity
Technology
Ethics