Revision for Midterm

Purpose of the session:

To revise the theories and concepts that we have done so far so that these can be applied in the midterm examination. To clarify doubts. To give an overview of the midterm examination pattern based on single decision case and multiple questions that lead to decisions.

Organization
Vision, Mission
Strategy Corporate Business Functional STRUCTURE

SYSTEM (Simple, complex, open, close)

PROCESS

Job Tasks

Planning Op, Fin, Mktg, HR Simple Hierarchy Flat Adhocracy Matrix Team Organizing Mktg, Fin HR, Ops, MIS (ALSO CALLED FUNCTION S/DEPT) Staffing Directing/ Leading Controlling Output Outcomes

SCHEMA OF HPWS
L E A D E R S H I P Competent people, business (Rect & selection) M O T I V A T I O N PM Process Reward Learning & devp process ML OE T A I D VE AR T S I H OI NP

PM Process (clear goals, resources to achieve goals, transparency, well rounded, fair. Reward process (competitive rate, equity, fairness, sufficiency, flexible Learning & devp process (Future growthprogress and prosperity Motivation process, work environment, equity, challenge, independence, coworkers, empathy etc. other factors seen in various theories

Envi ron and Mkt forc es

Environ & Mkt forces

High output, comp advantage

Environ & Mkt forces

Explanatory Notes: HPWS has R&S, PM, Reward, Motivation and L&D as it processes. If you look it closely you will find that each of them is a system (e.g. R&S system, PM system). Together they create the HPWS. HPWS operates in the environment or market forces and hence the ext forces analysis. You can create the HPWS based on your str and weaknesses and hence the SWOT. The ext and int environment analysis is best done by asking its impact (so what ?) to the problem at hand or the objective of the analysis. It is a good idea to use the TOWS matrix used for strategy formulation (ref Koontz). Leadership impacts all processes. Often good leadership can pull off bad systems and vice versa. Hence if you want to analyze a system, you are really looking at one of these. If you have the theoretical framework on each of these, it is so much the easier to analyze because the factors will flow automatically and then your SWOT can be well fitted into a framework that can be analyzed. A diary with these theoretical frameworks is a good idea. As the course progress, you will find the complexity increasing. Diary helps to increase the speed of analysis.

Recruitment and selection

Factors to be considered
Internal Factors
Recruitment policy Human resources planning Size of the firm Cost of recruitment Growth and expansion

External Factors
Supply and demand Labor market Image and good will Political, social and legal environment Unemployment rate Competitor

Human capital Theory

(from Resource based theory)

5 portfolios of human capital (hc) Most Portable 1. General hc 2. Strategic hc 3. Industry hc 4. Relationship hc 5. Company specific hc
Least Portable

General Human Capital

Gather, cultivate and deploy financial, technical and HR. Leadership and DM. Functional area expertise. These are highly portable. Develop skill to interact with external agencies that affect work.

Strategic HC
E xpertise gained in specific strategic situations Maneuvering in cyclic market. Driving growth Cutting cost. Translates well into other similar situations. Hence highly portable.

Industry HC
Technical, regulatory, customer and supplier knowledge specific to industry. Useful in the same industry but not across it. E.g. expertise in medical business not portable to other business, expertise in handling large business clients not portable to retail.

Relationship HC
Moving with other team members can be portable. Solo players have to develop this in the new environment. This requires time.

Company specific HC
Knowledge about routines, procedures, culture, informal system, structure, process unique to the company. Least portable.

Ideal candidate traced to HC theory

(use a matrix)
GEN/INDL hc STRAT hc INDUSTRY hc RELATION hc FIRM SPECIFIC hc

Recommended that you make as single matrix as above for use in analysis life or exam

Individual 1
GEN/INDL PRO CON IND PRO CON RELAT, FIRM, STRAT PRO CON

Similarly create for other individuals in the selection process

Summarize to get a clear overview of competing factors for each candidate

Candidate Broad Category (factors mentioned below are applicable only in rect of star case and in all)

1 2 3 4 5

Good will v/s ability to adapt Client v/s coworker Small v/s large firm Luck v/s skill Develop from within v/s hire

Compensation comparison is an important factor in rect and selection

Candidate Current On Joining Times Candidate 5

1 2 3 4 5

$ mill 1. .3 0.9 0.7 0.4 0.3

$ mill 11 . 5 1. . 2 1 0.7 0.3

5 4 3 2 1

Performance management

Theories of Performance
Goal theory set goals. Only then people will work for it. Goals should be SMART (specific, measurable, attainable, . Goal is best when jointly decided and aligned to org goals. Test for these. Control theory If goals are SMART, you can measure the gap of actual and agreed performance and control for the variance. Social cognitive theory. States that some belief of people make them achieve things. Hence positive belief is important.

Meaning of Performance
Actually it is ill defined; but thinkers agree that it should include the following: 1. Relevant performance dimensions. 2. Standards and expectations associated with different performance levels. 3. How situational constraints should be weighed when evaluating performance. 4. No of performance levels or gradients. 5. Extent to which it should be based on absolute measure v/s relative measure.

Goal Theory
4 mechanisms that connect goals to performance outcomes.
1. 2. 3. 4. Direct attention to priorities. Stimulate effort Challenge people to bring their knowledge and skill to bear to increase their chances of success. The more challenging the goal, the more people will draw from their repertoire of skills.

This theory underpins the setting and agreeing objectives against which performance can be measured and managed. By Latham and Locke (1979).

How does goals work?

Goals pals inform individuals to achieve particular levels of performance.
1. This enables them to direct and evaluate their actions. 2. Perf feedback allows an individual to track how well he or she has been doing in relation to the goal. 3. This enables a person to adjust his effort, direction and task strategies.
(Robertson, Smith and Cooper (1992)

Control Theory-Role of Feedback

Feedback is a mechanism to shape behavior. Once they get feedback, they appreciate the gap between what they are supposed to do and what they do. Then they take corrective actions. Hence feed back is crucial part of PM.

Social Cognitive Theory

Based on Bandura s Self efficacy theory. What people believe that they can or cannot do powerfully impacts their performance. Hence if you develop and strengthen positive self belief in employees, performance will improve.

Values in PM
4 components of Values in PM. These are based on the ethical principles of:
1. 2. 3. 4. 5. 6. Respect for individual Mutual respect Procedural fairness Transparency Procedural accuracy Procedural validity
Winstanley and Stuart-Smith (1996) + Instructor comments

Beliefs Based on the 4 Values

1. 2. 3. 4. 5. 6. Mgmt has overriding responsibility to create environment for high performance. Everyone is concerned about improvement of performance. Managers and their teams are mutually dependant for this. People should be valued for what they are and what they achieve. The need of the indl and the organization should be recognized and respected. Individuals should be given an opportunity to express their views on the objectives they are supposed to achieve.

Beliefs Based on the 4 Values

7. 8. 9. Individuals should understand and agree to the standards by which they are measured. They should be able to track their performance. They have the right to get feedback on their performance and the right to comment on the feedback.

10. Should know how and why decisions affecitng them emerging from the perf reviews have been made and should have right to appeal. 11. Focus on developing performance and not merely managing it. Hence give priority to development.

Superordinate Values
The above values are believed to be important and NOT imposed (i.e. must develop through discussions). Reality check must be done i.e. behavior is consistent with espoused values and if not what to be done (change the value or change the behavior) Boyett and Conn (1995)

Influences on Performance
1. Right level of
Competence Motivation Support incentives

2. 3.

Work group members have strong positive or negative influence on attitude and behavior. Manager degree of support, act as role model, coach and stimulator. Organization lack of a powerful vision, ineffective structure, culture, work systems, unsupportive employee relations/policy/systems, inappropriate leadership and management style.

4.

Factors Affecting Performance

Expectancy as explained by Vroom (1964) where Perf = f (ability x motivation). Blumberg and Pringle (1982) Perf = Indl attributes x work effort X org support Boxall and Purcell (2003) Perf = f (Ability + Motivation + opportunity to participate). Factors are:
Ability Other individual attributes Motivation Work effort Support opportunity

Factors Affecting Performance

Systems Factors (from systems theory of Miller and Rice (1976) Outcome of sys = indl contribution to the team + department perf + corporate perf + central perf mgmt. (methods, structure, support material, equipment, customers, work culture, internal and ext environment is factored in)

Factors Affecting Performance

Contextual factors situation in which people work and the way performance can be measured Organizational Culture pattern of shared beliefs, norms and values. In general command and control, centralized, distant and tough culture is less productive. Employee relation climate managers, employees and trade unions. This is based on:
Parties trust each other. Mgmt treats employees fairly. Mgmt is open and honest about actions and intentions. Mgmt treats employees as stake holders. Employees are committed to interests in the organization. What mgmt does and says are consistent.

Factors Affecting Performance

People
Top down approach works well if it involves the stake holders. Composition of the workforce e.g. knowledge workers.

Structure
Highly centralized/hierarchical Flat

Size
SMEs have personalized style often with prejudices and attitudes of the employer.

Factors Affecting Performance

Technology and Work Practices
No conclusive evidence yet. Computerized perf monitoring (CPM) transforms a helpful, less performance oriented supervisory style into a more coercive and production oriented. Employees trust CPM more than supervisors. Bureaucracies will have more formal PM system. Flat organizations usually have flexible and less formal process.

External environment
Competitive, changing, and fluid environment will have fluid and ad hoc PM system.

Theories related to PM and Motivation

Reinforcement theory (Hull 1951) Expectancy theory (Porter and Lawler 1968)- value of reward to the indl, probability that reward will result from the effort as perceived by individuals, indl characterestics such as intelligence, know-how and skill and role perception i.e. what the indls want to do and think they are required to do. Self efficacy theory (same as social learning theory ) Psychological contract theory unwritten contract exists between the employer and the employee based on mutual experience and this affects performance.

Expectancy Theory

Reinforcement theory

Psychological contract theory

Theories related to PM and Motivation

Social learning theory (Bandura 1977). Combines the aspects of reinforcement and expectancy. Factors in the internal psychological factors especially expectations abut the values of goals and the ability of individuals to reach them. Attribution theory -Explains success or failure in terms of ability, effort, task difficulty, circumstances and luck.
If explained in terms of effort, high motivation results. If in terms of ability, high motivation for training results. If in terms of task difficulty, circumstances or luck, low motivation will be the result.

Role Modeling. Desire to follow an example. Managers and team leaders act as role models and they can enhance performance by coaching and dialogue.

Attribution Theory

Social Learning Theory

360 degree feedback

(a tool based on control theory and Johari Window)

Johari Window

360 DEGREE FEEDBACK

PLUS Gets broader perspective Gives rounded view of performance (in addition to pay) Increased awareness and relevance of competencies. Increased awareness by senior management as they too have development needs. More valid More objective Leads to acceptance of results Leads to action MINUS Sometimes people do not give frank and honest feedback. Put under stress receiving feedback. Lack of action following feedback. Overreliance on technology. Too much bureaucracy. Can be time consuming. Resource intensive.

Definition
Systemic collection and feedback of performance data on an individual or group derived from a member of the stakeholders on their performance.

Rationale
Increased self awareness Enhanced understanding of behaviors needed to increase indl and org performance Creation of devp activities that are specific Increased involvement of employee at all hierarchical level. Increased devolution of self devp and learning to employees

Uses
71% for learning and devp only 23% to support a number of HR processes 6% use it for pay decisions.

Advantage and disadvantages

Advantages
Indl gets a broader view More rounded view of their performance Increased self awareness of competencies Increased awareness of top management about the need for their own devp. Perceived as more valid and objective.

Disadvantages
Not always frank and objective Put under stress giving and receiving feedback Lack of action following feedback Over reliance on technology Too bureaucratic Time and resource consuming

Address the following issues

Mission and scope to be defined clearly Adequate explanation required Make the organization ready Make sufficient resources available Validate the outcomes

Steps
Define objective. Decide on recipients of the 360 deg. Decide on who will give the feedback Decide on the area of work and behavior on which 360 deg will be given. Method of data collection Method on data analysis and presentation Plan initial implementation program Analyze outcomes of pilot Plan and implement Monitor and evaluate

How to make it success

Active support of top mgmt Commitment by all Determination by all to use it Questionnaire fit Items can be related to actual events experienced by the indl Communication and trg are followed No one should feel threatened Questions easy to complete Minimal bureaucracy

Implementation issues of 360 deg What goes wrong?

Mission and scope not clearly defined. Inadequate explanation and training of the process leads to lack of understanding and resistance. Org readiness for 360 not evident. Sufficient resources not employed. Unrealistic promises made at the implementation stage leads to cynicism. Outcomes are not evaluated.
From Silverman, Kerrin & Carter (2005)

People Competency Maturity Model - PCMM

Concept of PCMM
Based on CMM (Carnegie Mellon University Model) To manage and develop workforce. Integrates theory and practice. Originally meant for software professionals, now used in several organizations. Each level achieved forms the foundation to move to higher level (step by step continuous improvement)

Uses of PCMM
To establish the maturity of their HR practices. Priorities competencies for improvement for its workforce. Integrate the growth of competencies with process improvement (needs formal set up for each, mere informal arrangement is insufficient) Establishes culture of workforce excellence.

HR Practices
SW Turnaround time Access to seniors Meeting deadlines Cost effective service ISO to institutionalize HR Practice Measuring delivery effectiveness of HR, accountability, results Measuring delivery effectiveness of HR, accountability, results Measuring delivery effectiveness of HR, accountability , results Measuring delivery effectiveness of HR, accountability, results Measuring delivery effectiveness of HR

HR Practices
SW Adequate resources No overwork Work life balance, retreats Bi weekly open house, but no dedicated system for innovation Employees work like entrepreneurs Open door, discussions, not taking mundane jobs, encourage to discuss with sr mgmt Work distributed by Mohotra, done as per competency, addl resources hired if required Encourage innovation and Learning Participation Effective work environment HR Practice To perform effectively and stress free.

Role, responsibility and authority based on competency.

HR Practices
SW OJT, open house, presentations even by juniors Open door policy, open to taking back old employee, encourages discussion, retreat Annual reviews of performance, spot reviews, First litigation lawyer rising to partner level. Open door, knowledge sharing, compensation reviews, annual retreats, as and when reviews HR Practice Learning to maintain competency Trust building

PM, feedback and career devp

Culture

People Capability Maturity Model (PCMM)

Org performance alignment, continuous capacity improvement, continuous workforce innovation Mentoring, Org capability mgmt, Quantitative perf mgmt, competency based assets, empowered work gp, competency integration Perf Mgmt, communication, compensation, work environment, staffing, trg and devp

5. Optimizing Continuously improve 4. Predictable Empower and integrate workforce competencies, manage quantitatively

Competency analysis, workforce planning, participatory culture, career development, competency devp workgroup devp

3. Defined Develop workforce competencies and workgroups and align with business strategy

2. Managed Mangers take responsibility for managing and developing people 1. Initial Workforce practices employed without analysis of impact

PCMM Level 2 - Managed

No 2.1 Factor Work Environ Purpose Establish and maint physical working conditions and to provide resources that allow individual s and work gp s to perform their tasks efficiently and wihtout unnecessary distractions Indicators Stress free environ (Seth returning), open house, Open door policy Pick only intellectually stimulating jobs Y/N Y

2.2

Staffing

Est formal process by which committed work is matched to unit resources and qualified indls are recruited selected and transitioned into assignments

CEO ensures allocation based on competency and availability, adequate resources committed

PCMM Level 2 - Managed

No 2.3 Factor Purpose Indicators Open comn, sessions with sr mgmt, opne houses, open door, work life balance, open environ that support all round comn On job trg , knowledge sharing sessions, presentations Y/N Y Commu Est timely comn across org nication and to ensure that the workforce has the skills to share and coord their activities effectively

2.4

Trg & devp

To ensure that all indls have the skills required to perform their assignments and are provided relevant devp opportunities.

PCMM Level 2 - Managed

No Factor Purpose Indicators Y/N

2.5

Perf Mgmt

Est objectives related to Annul reviews, As committed work against and when reviews which unit and indl perf can be measured and to discuss perf against these objectives and to continuously enhance perf Based on annual Perf review, as and when required review

2.6

Compen Provide all indls with sation remuneration and benefits based on their contribution and value to org

PCMM Level 3 - Defined

No 3.1 Factor Purpose Indicators Y/N Compete Iden the Knowledge, skill and ncy process ability required to analysis perform the org s business activities so that they may be developed and used as a basis for workforce practices Workforc Coord workforce activities with e current and future business planning needs at organization and unit level Knowledge sharing Y sessions based on needs of the employees

3.2

Handled by CEO in consultation Ser mgmt, Schedules employee assignments based on their competency availability, employee sourcing decisions taken jointly by mgmt

PCMM Level 3 - Defined

No 3.3 Factor Purpose Indicators Bi weekly open house, weekly sr mgmt sessions, needs of emp kept in mind while picking up assignments (eg LPO), open door, open to rehiring the old employee shows openness, annual retreats OJT, bi weekly knowledge sharing, flat org, career path based on performance. Y/N Y Participat To exploit the full capability of ory the workforce for making culure decisions that affect he perf of business activities.

3.4

Career devp

To ensure that indls are provided opportunities to devp workforce competencies that enable them to achieve career objectives

PCMM Level 3 - Defined

No 3.5 Factor Purpose Indicators Hiring of first litigation lawyer (proactive competency devp), Done through OJT and knowledge sharing based on needs of the project and employees Assignment based on competencies, if competency is not available in house, it is sources Y/N Y Compete To constantly enhance the ncy devp capability of the workforce to perform their assigned tasks and responsibilities.

3.6

Compete ncy based practices Work groups devp

To ensure that tall workforce practices are based I part on developing competencies of the workforce.

3.7

To org work around competency As in a consulting org, Y based abilities. delivery done by project teams, teams made by Sr Management based on the project needs

PCMM Level 4 - Predictable

No 4.1 Factor Purpose Indicators Y/N ?/N Mentorin To transfer the lesson of greater g experience to improve the capability of other indls and workforce

4.2

Organizin g capabilit y Mgmt

To quantify and mange the capability of the workforce and of the critical competency based processes they perform.

Hiring first litigation lawyer shows mgmt knows the future needs

?/Y

PCMM Level 4 - Predictable

No 4.3 Factor Quantita tive perf Mgmt Purpose Predict and manage the capability competency based processes for achieving measureable perf objectives Indicators Turnaround time, access to sr members, meeting deadlines, cost effective service, and systems built around these. OJT and knowledge sharing is done, but no formal mechanism to capture knowledge Y/N Y

4.4

Compete ncy based assets

To capture knowledge, experience and artifacts developed in performing competency based processes for use in enhancing capability and performance.

PCMM Level 4 - Predictable

No 4.5 Factor Empowe red workgro up Purpose To invest workgroups with with the responsibility and authority for determining how to conduct their business activity most effectively. To improve the efficiency and agility of interdependent work by integrating the process abilities of different workforce competencies. Indicators In consulting projects are delivered by independent teams responsible for the deliverables and business objectives Y/N ?/N

4.6

Compete ncy integrati on

?/N

PCMM Level 5 - Optimized

No 5.1 Factor Continuo us capabilit y improve ment Continuo us workforc e innovatio n Organiza tional perf Alignmen t Purpose To provide a foundation for indl and workgroups to continuously improve their capability for performing competency based processes. Indicators Happens through OJT, knowledge sharing and new hires. But no formal method Y/N ?/N

5.2

To identify and evaluate Knowledge sharing improved or innovative sessions, but nothing workforce practices and else technologies and implement the most promising ones throughout the org. To enhance the alignment of perf results across indls, workgroups and units with org perf and business objectives Turnaround and feedback from clients is used but how indl perf is aligned using this is not formalised.

?/N

5.3

?/N

Decide the level an organization is in

Example based on Singhania case
L 3 Yes. L4 Has some processes but not formal. L5 Has some processes but not formal.

How to scale to L 4
(These become options and action plan)

Mentoring
Formal mentoring. Define objectives and knowledge to be transferred. Hold seniors or knowledge holders accountable for this.

Organizational Capability Management

Now it is informal. Define it and make a process. Clients confidentiality to be maintained. Hence typical competency integration and competency based assets may not be feasible.

Scale to L 5
(These become options and action plan)

Currently Nil. Continuous capability improvement

Now only OJT and knowledge sharing. Define a new process and objectives.

Continuous workforce innovation- related to

Channels for recruiting Selection methods Pperf mgmt methods Alternative career choices Innovative compensation New technologies for developing knowledge and skills Innovative communication technologies Ways of organizing and empowering workforce.

Scale to L 5
(These become options and action plan)

Organizational perf Alignment

Currently nothing much Manage impact quantitatively Institutionalize the methods.

Types of decision making

Experience Experimentation Research and Analysis

Motivation Theories

Traditional Theories
Maslow Herzberg X and Y Vroom s Expectancy Goal theory Equity Modern
MLT Direction giving, empathetic, meaning making. Nohria Model Defend, Acquire, bond, comprehend

Equity

Vrooms Expectancy Theory

Herzbergs two factor theory

Maslow s

Theory x and y

Motivating language model with standardized path coefficients

JS DirectionGiving 0.93 0.22

0.92 Empathetic

Motivating Language 0.67

0.68 Meaning making

Job Performance

Sullivan JJ, (1988), AMR Vol 13

NEW MODEL Nohria, Groysberg & Linda Lee

4 Drivers
Drive to acquire Drive to bond Drive to comprehend Drive to defend

Drive to acquire
Acquire our needs. Acquire things which are not strictly needs. Comparison with others about what is needed. How companies handle it:
Reward system. People perform to gain reward to acquire. Hence individual is important. Group reward is important if that increases the individual reward (at least in general).

Drive to bond
All of us need our family, parents etc. In work place we need departments, area etc. Gets attached to closes cohorts. How companies handle it:
Creates culture. Uniforms, teams, quality circles. Informal groups. Team work, collaborations, openness, friendship.

Drive to comprehend
Want to make sense of the world around us. Understand the phenomenon. Meaning in work. Making meaningful contribution. Demoralized by monotonous work. How companies handle it:
Job design Foster sense of contribution.

Drive to defend
Tend to defend ourselves. We create justice system, self help groups, security system, etc. to overcome negative emotions like fear and resentment. How Companies Handle it.
Performance management and resource allocation. Fairness, transparency. Day care, transport etc.

Importance of new model

Organization s ability to meet the four fundamental drives explain 60% of the employee s variance in motivation. Individual managers can also contribute towards these. Employees understand where the individual manager can help and cannot. Dissatisfaction with immediate manager is based on this understanding.

Key Leadership Theory

Country Club Leadership High People/Low Production (1,9)

High

Team Leadership High Production/High People (9,9)

Concern for People

Middle-of-the-Road Leadership Medium Production/Medium People (5,5)

I

impoverished Leadership Low Production/Low People (1,1)

Low

Produce or Perish Leadership High Production/Low People (9,1)

Low

Concern for Task/Production

High

Competencies that people require

Dictionary of competencies General

Leadership competencies Establishing Focus. Providing Motivational Support. Fostering Teamwork. Empowering Others. Managing Change. Developing Others. Managing Performance. Fostering Diversity. Managing Self Self Confidence. Stress Management. Personal Credibility. Flexibility. Communicating and Influencing. Attention To Communication Persuasive Oral Communication and written communication. Interpersonal Effectiveness Influencing Others Building Collaborative Relationships Customer Orientation Preventing and Solving Problems Diagnostic Information Gathering Analytical Thinking Forward Thinking Conceptual Thinking Strategic Thinking Technical Expertise Achieving Results Initiative Entrepreneurial Orientation Fostering Innovation Results Orientation Thoroughness Decisiveness Business Acumen Global Perspective

Dictionary of competencies from leadership perspective

CORE COMPETENCIES
Leadership Establishing Focus. Providing Motivational Support. Fostering Teamwork. Empowering Others. Managing Change. Developing Others. Managing Performance. Fostering Diversity.

FUNDAMENTAL COMP
Managing Self Self Confidence. Stress Management. Personal Credibility. Flexibility. Communicating and Influencing. Attention To Communication Persuasive Oral Communication and written communication. Interpersonal Effectiveness Influencing Others Building Collaborative Relationships Customer Orientation

SYNERGIZING COMP
Preventing and Solving Problems Diagnostic Information Gathering Analytical Thinking Forward Thinking Conceptual Thinking Strategic Thinking Technical Expertise Achieving Results Initiative Entrepreneurial Orientation Fostering Innovation Results Orientation Thoroughness Decisiveness Business Acumen Global Perspective

Technique for problem detection (fixing the level)

Where is the problem?

Vision, Mission

Strategy Corporate Business Functional

STRUCTURE

SYSTEM (Simple, complex, open, close)

PROCESS

Job Tasks

Planning Op, Fin, Mktg, HR Simple Hierarchy Flat Adhocracy Matrix Team Organizing Mktg, Fin HR, Ops, MIS (ALSO CALLED FUNCTION S/DEPT) Staffing Directing/ Leading Controlling Output Outcomes

Where is the problem? Delimit

(Delete those which you are sure are not the problem)

Vision, Mission

Strategy Corporate Business Functional

STRUCTURE

SYSTEM (Simple, complex, open, close)

PROCESS

Job Tasks

Op, Fin, Mktg, HR

Simple Hierarchy Flat Adhocracy Matrix Team

Directing/ Leading Mktg, Fin HR, Ops, MIS (ALSO CALLED FUNCTION S/DEPT) Controlling Output Outcomes

Planning Organizing Staffing

Focus on the delimited list

SYSTEM (Simple, complex, open, close)

PROCESS

Job Tasks

HR SYS PERF MGMT, MOTIVATION HR SYS RECT & SELECTION COMPENSATION L&D MOTIVATION

Directing/ Leading Controlling Output Outcomes

Planning Organizing Staffing

Isolate the specific systems, processes, jobs, taks, individuals

PROCESS Job Tasks Directing/ Leading Controlling Output Outcomes

HR SYS PERF MGMT, MOTIVATION

Identify the linkages between specific systems, processes, jobs, tasks, individuals

PROCESS

Job Tasks

HR SYS PERF MGMT, MOTIVATION

Directing/ Leading Controlling Output Outcomes

How to define
Identify the level Identify the component from the HPWS. Define. Since you have identified the component from the HPWS, quickly go to the theory. They automatically give you the factors. Now do the SWOT keeping in mind the problem and the component of HPWS in question.

How to define factors

From the SWOT or TOWS matrix, come to the factors. While doing so, use the terms from the theory. Do NOT qualify at this stage i.e. do not say that something is existent or not. Now analyze each factor. To do this, write the factor, then an example from the SWOT, then argue what theory it violated or supported. Then write the implications. By now the contours of the options would be emerging. Give pros and cons so that your mind is clear.

Decide the constraints

Do not create too many of them. We are looking at macro constraints and NOT constraints as in an operations problem. Usually only a key resource is a limitation money, time, availability of competencies.

Evolve the options

Keep your eye on the analysis and the pros and cons. This will make it easy to evolve options.

Recommend
Be brief. Name the recommendation e.g. Option 2 is recommended. Then write one or two key reasons for it E.g. Option 2 is recommended because of the benefits mentioned under options and in particular 1) ------- and 2) ----------

Write the plan

To execute the recommended options follwing steps should be followed. Take action xx by Mr ---- by --- (go on .till the end)

Taking decision
We use 3 methods take decision.
1. Experience 2. Experimentation 3. Research and analysis

Case should be based on the third.

Hofstede s Cultural Dimensions

Individualism-collectivism Masculinity-femininity Power distance Uncertainty avoidance Structured - unstructured

Hofstede s Cultural Dimensions (cont d)

Work-related value dimensions Most influential effort to group by cultural values Surveyed over 116,000 employees in more than 70 countries Created maps of pairs of dimensions

Individualism-Collectivism
Self-perception as individual or part of a group Most widely studied Most complex Dimensions different across cultures
i.e., Asian vs Latin American collectivism

Individualism-Collectivism (cont d)
Individualism
High value on autonomy Individual achievement Privacy

Collectivism
High value on group
Family, clan, organization

Loyalty Devotion Conformity

Masculinity-Femininity Describes Importance of Achievement versus Relationships

Success Assertive acquisition of money/power achievement Equality of genders Caring for disadvantaged harmony

Power Distance Acceptance of differences in power

High-Power Distance
Accept position Follow authority Concentrated & centralized authority Hierarchical

Low-Power Distance
Avoid concentration of authority Decentralized Fewer layers of management

Uncertainty Avoidance Reaction to ambiguous events

Low Uncertainty Avoidance Embrace unpredictable Less adherence to rules, procedures, or hierarchies Risk taking desirable High Uncertainty Avoidance Threatened by ambiguity Need stable & predictable workplace Reliance on rules

Cultural Maps
Individualism-Collectivism & Power Distance Uncertainty Avoidance & MasculinityFemininity Uncertainty Avoidance & Power Distance

Individualism-Collectivism & Power Distance

Large power distance and collectivism
Asia and Latin America

Small power distance and individualism

Northern Europe and Anglo countries

Culture Map for Power Distance and Individualis m

Uncertainty Avoidance & Masculinity-Femininity

Achievement oriented-weak uncertainty avoidance & masculine values Security Motivation-high uncertainty avoidance & masculinity Social Motivation-feminine values & high uncertainty avoidance

Culture Map for Uncertainty Avoidance and MasculinityFemininity

Uncertainty Avoidance & Power Distance

Family-large power distance & weak uncertainty avoidance Pyramid of People-large power distance & strong uncertainty avoidance Well-Oiled Machine-small power distance & strong uncertainty avoidance Village Market-small power distance & low uncertainty avoidance

Culture Map for Power Distance and Uncertainty Orientation

Limitation of Hofstede s Dimensions

Missing countries
Estimates values

Ignores differences within clusters

Trompenaars s Alternative Dimensions

Focus on values and relationships Survey of
15,000 managers Over 10-year period From 28 countries

Bipolar cultural dimensions

Trompenaars s Alternative Dimensions (cont d)

Outer-directed Inner-directed Universalism Particularism Neutral Emotional Specific Diffuse Achievement Ascription Individualism Communitarianism