bab 7organizational change and stress management bab 7

Chapter 17 Organizational Change and Stress Management

Chapter 19 Organizational Change and Stress Management

MULTIPLE CHOICE

Forces For Change1.An example of change in the nature of the work force is:

a.increase in college attendance.

b.mergers and consolidations.

c.more cultural diversity.

d.increase in divorce rates.

(c; Moderate; Exh. 19-1; p. 556)

2.Which of the following is not cited as a force for change?

a. technology

b. economic shocks

c. decreasing skill sets

d. social trends

(c; Easy; Exh. 19-1; p. 556)

3.Phrases such as more cultural diversity, many new entrants with inadequate skills, and increase in professionals are all examples of what force for change?

a.technology

b.world politics

c.nature of the work force

d.social trends

(c; Challenging; Exh. 19-1; p. 556)

4.An example of change in the nature of competition is:

a. growth of e-commerce.

b. collapse of Enron Corporation.

c. more cultural diversity.

d. increased interest in urban living.

(a; Moderate; Exh. 19-1; p. 556)

Managing Planned Change5.Change activities that are intentional and goal oriented are termed:

a.planned change.

b.second order change.

c.change agents.

d.first order change.

(a; Moderate; p. 558)

6.If an organization used an outside consultant as opposed to an insider as change agent, the result would probably be:

a.more cautious and thoughtful.

b.more reflective of the organizations history and culture.

c.more objective.

d.reflective of the fact that change agents must live with the consequences of their actions.

(c; Moderate; p. 558)

7.The most relevant disadvantage of using outside consultants as change agents is:

a.the cost.

b.internal members do not accept external recommendations.

c.they do not have to live with the repercussions after the change.

d.they cannot offer an objective perspective.


8.If an organization used an insider as a change agent as opposed to an outside consultant:

a.the change would probably be more cautious.

b.the change would probably be more drastic.

c.the change would probably be more objective.

d.the change would more likely be second order.


Resistance to Change9.Resistance to change is positive since:

a. it provides a degree of stability to behavior and productivity.

b. without some resistance, OB would take on characteristics of chaotic randomness.

c. resistance can be a source of functional conflict.

d. all of the above

(d; Moderate; p. 558)

10.It is easiest for management to deal with resistance when it is:

a.overt.

b.subtle.

c.passive.

d.implicit.


11.An example of individual resistance to change is:

a.group inertia.

b.structural inertia.

c.habit.

d.threat to expertise.

(c; Moderate; Exh. 19-2; p. 559)

12.Which of the following is not a source of individual resistance to change?

a.habit

b.security

c.fear of the unknown

d.structural inertia(d; Moderate; Exh. 19-2; p. 559)

13.Which of the following explains the way an individual keeps his view of the world intact?

a.selective information processing

b.security

c.habit

d.fear of the unknown


14.All of the following are sources of organizational resistance to change except:

a.structural inertia.

b.security.

c.limited focus of change.

d.threat to established power relationships.

(b; Moderate; Exh. 19-4; p. 561)

15.The built-in mechanisms that an organization has to produce stability are termed:

a.structural inertia.

b.threat to expertise.

c.habit.

d.selective information processing.


16.Which one of the following is not a tactic for dealing with resistance to change?

a.cooperation

b.manipulation

c.participation

d.negotiation

(a; Moderate; pp. 562-563)

17.Which tactic for overcoming resistance to change basically assumes that the source of resistance lies in misinformation?

a. participation

b. facilitation and support

c. education and communication

d. negotiation


18.Exchanging something of value for a lessening of resistance to change is best defined by which of the following tactics?

a.facilitation and support

b.negotiation

c.participation

d.manipulation and cooptation

(b; Moderate; pp. 562-563)

19.Using covert influence to overcome resistance to change is called:

a.participation.

b.cooptation.

c.manipulation.

d.coercion.


20.Which tactic to overcome resistance to change is relatively easy to gain the support of adversaries, but may backfire if the targets become aware that they are being tricked or used?

a.cooptation

b.participation

c.manipulation

d.coercion


21.If individuals resisting change are included in making change decisions in name only in an attempt to gain their support, it is called:

a.cooptation.

b.participation.

c.manipulation.

d.coercion.


22.The application of direct threats or force upon resisters is called:

a.power.

b.cooptation.

c.manipulation.

d.coercion.(d; Moderate; p. 563)

23.Politics suggest that the impetus for change is more likely to come from:

a. outside change agents.

b. employees who are new to the organization.

c. managers slightly removed from the main power structure.

d. all of the above

(d; Moderate; p. 563)Approaches to Managing Organizational Change24._____ is change efforts to overcome the pressures of both individual resistance and group conformity.

a.Freezing

b.Unfreezing

c.Planned change

d.Movement

(b; Easy; p. 564)

25.Who developed a three-step model for change that included unfreezing, movement, and refreezing?

a.Mary Parker Follett

b.David McClelland

c.Kurt Lewin

d.Chester Barnard

(c; Challenging; p. 564)

26.To direct behavior away from the status quo, one can increase the use of:

a.restraining forces.

b.refreezing.

c.driving forces.

d.changing.

(c; Easy; p. 564)

27.To move from equilibrium, Lewin suggests:

a. decreasing restraining forces.

b. increasing restraining forces.

c. decreasing driving forces.

d. all of the above


28._____ is a change process based on systematic collection of data and then selection of a change action based on what the analyzed data indicate.

a.Organizational development

b.Action research

c.Sensitivity training

d.Process consultation

(b; Challenging; p. 565)

29.The step in the action research process where information is gathered about problem, concerns, and needed changes from members of the organization is:

a.feedback.

b.evaluation.

c.diagnosis.

d.action.


30.All of the following are steps in the process of action research except:

a.diagnosis.

b.forming.

c.feedback.

d.action.


31.The action research process closely resembles:

a.political research.

b.scientific method.

c.organizational development.

d.a lesson plan.

(b; Moderate; p. 566)

32.In the process of action research, diagnosis is followed by:

a. feedback.

b. analysis.

c. action.

d. evaluation.

(b; Easy; p. 566)

33.Which of the following is considered a benefit of action research for an organization?

a. Employees can carry out the specific actions to correct the problems identified.

b. It is problem focused.

c. It is solution centered.

d. Employees are not involved in the process.


34._____ encompasses a collection of planned-change interventions built on humanistic-democratic values that seek to improve organizational effectiveness and employee well-being.

a. Organizational development

b. Organizational behavior

c. Change management

d. Action research


35.Which of the following is not considered an underlying value in organizational development?

a.participation

b.confrontation

c.control

d.power equalization


36.The deemphasis of hierarchical authority and control in OD is referred to as:

a.participation.

b.power equalization.

c.trust and support.

d.respect for people.


37.Which of the following is not true of OD?

a. Effective organizations emphasize hierarchical authority.

b. Problems should be openly confronted.

c. Effective organizations are characterized by trust.

d. People should be treated with dignity and respect.


38.T-groups are also known as:

a.autonomous work teams.

b.a structural intervention.

c.team building groups.

d.training groups.(d; Easy; p. 567)

39._____ is a method of changing behavior through unstructured group interaction.

a.Autonomous work teams

b.A structural intervention

c.Team building groups

d.Sensitivity training(d; Moderate; p. 567)

40.A tool for assessing attitudes held by organizational members, identifying discrepancies among member perceptions, and solving these differences is:

a.sensitivity training.

b.survey feedback.

c.process consultation.

d.intergroup development.


41.The purpose of _____ is for an outside consultant to assist a client, usually a manager, to perceive, understand, and act upon process events with which he or she must deal.

a.sensitivity training

b.survey feedback

c.process consultation

d.intergroup development


42.The activities included in team building include all of the following except:

a.goal setting.

b.individual/personal development.

c.team process analysis.

d.role analysis.


43.When using _____ as a technique to facilitate change, members compile and compare lists of their perceptions of others, how they think others perceive them, and how they perceive themselves.

a.intergroup development

b.sensitivity analysis

c.team building

d.process consultation


44.Rather than looking for problems, _____ seeks to identify the unique qualities and special strengths of an organization, which can then be built upon to improve performance.

a. appreciative inquiry

b. sensitivity analysis

c. team building

d. process consultation


45.Which of the following is not a step in the AI process?

a. discovery

b. dreaming

c. mission

d. destiny

(c; Easy; p. 570)

Contemporary Change Issues for Todays Managers46._______ is a new idea applied to initiating or improving a product, process, or service.

a.A patent

b.A learning organization

c.Innovation

d.Single-loop learning


47.An organization that has developed the continuous capacity to adapt and change is termed a(n):

a.learning organization.

b.strategic organization.

c.mechanistic organization.

d.operant organization.

(a; Easy; p. 573)

48.Which has been the most studied potential source of innovation?

a. technology

b. structural variables

c. entrepreneurs

d. product champions


49._____ involves correcting errors using past routines and present policies.

a.Strategy

b.Single-loop learning

c.Double-loop learning

d.Organizational redesign


50.Errors that are corrected by modifying the organizations objectives, policies, and standard routines are part of:

a.single-loop learning.

b.double-loop learning.

c.triple-loop learning.

d.traditional learning.


51.Which of the following is a characteristic of a learning organization?

a.People have standard ways of doing their jobs.

b.People pursue self interests.

c.People communicate over vertical and horizontal boundaries.

d.People think in terms of independent relationships.

(c; Challenging; Exh. 19-7; p. 574)

52.Which of the following is not a characteristic of a learning organization?

a. There is a shared vision upon which everyone agrees.

b. People sublimate their personal self-interest to work together to achieve the organizations shared vision.

c. Members think of all organizational functions as independent systems.

d. People openly communicate with each other.

(c; Moderate; Exh. 19-7, p. 574)

53.Which is not a suggestion for managers to make their firms learning organizations?

a. Establish a strategy that makes managements commitment to change explicit.

b. Redesign the organizations structure by flattening the structure and increasing the use of cross-functional teams.

c. Reshape the organizations culture by emphasizing risk taking and openness.

d. all of the above


54.______ is a process of organizing and distributing an organizations collective wisdom so the right information gets to the right people at the right time.

a. Innovation

b. Knowledge management

c. Learning

d. Intellectual assets


Work Stress and Its Management55.For potential stress to become actual stress, _____ and _____ must be present.

a.people; organizations

b.certainty; importance

c.uncertainty; risk

d.uncertainty; importance(d; Challenging; p. 577)

56.Which of the following is most likely to turn potential stress into actual stress?

a.An outcome is difficult to achieve.

b.An outcome is complex.

c.An outcome is uncertain.

d.The situation involves competition.

(c; Challenging; p. 577)

57.Which of the following is not a factor related to organizational stress?

a.economic problems

b.task demands

c.role demands

d.organizational structure

(a; Challenging; Exh. 19-10; p. 579)

58.Which of the following is not a category of potential stressors?

a. global

b. environmental

c. organizational

d. individual

(a; Easy; Exh. 19-10; p. 579)

59.Political uncertainties, economic uncertainties, technological uncertainty, and terrorism are examples of which category of potential stressors?

a. economic

b. environmental

c. organizational

d. individual

(b; Moderate; Exh. 19-10; p. 579)

60.There are several potential sources of stress. When pressures are created by other employees causing a lack of social support, the factor of stress involved is:

a.interpersonal demands.

b.organizational leadership.

c.role demands.

d.organizational structure.

(a; Challenging; p. 580)

61.Family issues, economic problems, and inherent personality characteristics are examples of which category of potential stress?

a. economic demands

b. environmental demands

c. organizational demands

d. individual demands


62.Symptoms of stress can surface as:

a.physiological outcomes.

b.psychological outcomes.

c.behavioral outcomes.

d.all of the above(d; Easy; p. 582)

63.Which of the following characteristics is most likely to be associated with high stress?

a.considerable job experience

b.external locus of control

c.a high need to achieve

d.type B behavior


64.Symptoms of stress such as increased blood pressure and increased heart rate are _____ symptoms.

a.psychological

b.physiological

c.behavioral

d.interactive


65.Which of the following is not a psychological consequence of stress?

a.anxiety

b.low self esteem

c.frustration

d.high blood pressure(d; Moderate; p. 582)

66.Excessive smoking, substance abuse, accident proneness, and appetite disorders are all examples of _____ consequences of stress.

a.organizational

b.psychological

c.behavioral

d.physiological


67.The most widely studied pattern in the stress-performance literature is the _____ relationship.

a.XYZ

b.U

c.inverted U

d.V

(c; Easy; pp. 582-583)

68.Which of the following is not a time management principle?

a.Make daily lists of activities to be accomplished.

b.Rank activities from least-liked to best-liked.

c.Schedule activities according to priorities.

d.Know the most productive parts of your day and schedule accordingly.


69.An individual approach to reduce stress is:

a.selection and placement.

b.redesigning jobs.

c.goal setting.

d.relaxation techniques.

(d; Easy; p. 584)

70.Organizationally supported programs that focus on the employees total physical and mental condition are called:

a.job redesign programs.

b.wellness programs.

c.employee benefit analysis.

d.cafeteria benefit programs.


71.What do wellness programs focus on?

a.mental condition

b.physical condition

c.both mental and physical condition

d.stress reduction

(c; Easy; p. 585)

TRUE/FALSE

Forces For Change72.Change or die is the rallying cry among todays managers worldwide.

(True; Easy; p. 556)

73.Technology is a force that acts as a stimulant for change.


74.The global economy means that competitors are as likely to come from across the ocean as from across town.


Managing Planned Change75.Some organizations treat all change as an accidental occurrence.

(True; Moderate; p. 558)

76.Change agents are synonymous with managers.

(False; Easy; p. 558)

77.Outside consultants are more likely to initiate more drastic changes than internal managers.


Resistance To Change78.Research demonstrates that all efforts to resist change are dysfunctional in terms of organizational effectiveness.

(False; Moderate; p. 559)

79.As human beings, we love change and avoid developing habits.


80.There is a negative correlation between peoples need for security and their resistance to change.


81.If an individual believes his/her income will be affected negatively by a particular change, resistance will increase.


82.Changes substitute ambiguity and uncertainty for the unknown.


83.Even if the current situation is negative, individuals may resist a change to improve the status quo.


84.Organizations actively resist change.


85.The built-in mechanisms organizations have to produce stability can be observed in the selection process.


86.Limited changes in subsystems tend to get nullified by the larger system.

(True; Challenging; p. 561)

87.Even if individuals want to change their behavior, group norms may act as constraints.


88.Changes in organizational patterns seldom threaten the expertise of specialized groups.


89.Cooptation is a form of both manipulation and participation.


90.Internal change agents typically are individuals high in the organization who have a lot to lose from the change.


91.You should expect that long-time career executives will not be sources of resistance to change.

(False; Moderate; pp. 563-564)

Approaches to Managing Organizational Change92.According to Lewins model, refreezing is required if changes are to be permanent.


93.Restraining forces are those which hinder movement from the existing equilibrium.


94.Driving forces direct behavior away from the status quo.


95.Action research refers to a change process based on systematic collection of data and then selection of a change action based on what the analyzed data indicates.


96.In the process of action research, the gathering of information about problems occurs in the analysis stage.

(False; Moderate; pp. 565-566)

97.The diagnosis step of action research is analogous to the physicians search to find what specifically ails a patient.


98.Organizational development (OD) is not a readily definable concept, but a convenient term used to encompass a variety of activities for managing change.


99.Organizational development is a collection of change techniques or interventions built on humanistic-democratic values.


100.Sensitivity training emphasizes changing behavior through structured group interaction.


101.The objectives of survey feedback are to provide the subjects with increased awareness of their own behavior and how others see them.


102.Process consultants work with the clients in jointly diagnosing what processes need improvement.

(True; Moderate; pp. 567-568)

103.All group activity in team building has interdependence of functions.


104.Intergroup development seeks to change attitudes, stereotypes, and perceptions that groups have of each other within the organization.


105.Rather than looking for problems to fix, appreciative inquiry seeks to identify the unique qualities and special strengths of an organization.


Contemporary Change Issues for Todays Managers106.Three of the two major issues in business today are organizational innovation, creating knowledge management systems, and building a learning environment.

(True; Easy; pp. 570-571)

107.All innovations involve change.


108.Organic structures positively influence innovation.

(True; Moderate; p. 571)109.Innovation is nurtured where there are slack resources.


110.Innovative organizations tend to have similar cultures.

(True; Moderate; pp. 571-572)

111.Innovative organizations punish employees who make mistakes as they are costly and nonproductive.


112.Idea champions have extremely high self confidence, persistence, energy, and a tendency to take risks.


113.Idea champions display characteristics associated with transactional leadership.


114.Double-loop learning is an error correction process that relies on past routines and present policies.


115.You should think of a learning organization as an ideal to strive toward rather than a realistic description of structured activity.

(True; Challenging; p. 573)

116.An excellent illustration of a learning organization is the U.S. Army.


117.More knowledge is definitely better knowledge.

(False; Challenging; p. 575)

118.An idea champion in Germany will be more effective by closely following budgets and procedures.


Work Stress and Its Management119.Stress may offer an individual the opportunity for potential gain.


120.Conditions that cause stress are universal in effect.


121.Computers are a threat to many people and cause them stress.


122.Autonomy on the job tends to increase stress.

(False; Moderate; p. 579)123.People who make $80,000 a year have fewer financially created stress problems than do employees who earn $18,000 a year.


124.Stress symptoms expressed on the job may actually originate in the persons personality.


125.A single stressor, in and of itself, may be harmless, but when added to an already high level of stress, it can be disastrous.


126.A high need for achievement has been found to moderate the relationship between potential stressors and experienced stress.


127.Social support can buffer the impact of stress.


128.Experience on the job tends to be positively related to work stress.


129.Evidence indicates that individuals with an internal locus of control perceive their jobs as less stressful than do externals.


130.Low to moderate levels of stress can be functional and lead to higher employee performance from the organizations standpoint.


131.Several of the factors that cause stress are controlled by management.


132.Most firms that have introduced wellness programs have found costs to exceed the benefits.


SCENARIO-BASED QUESTIONS

Application of Resistance To Change

Your supervisor has restructured the jobs within your division and some of your colleagues are not pleased. Don is concerned that he will not be able to perform the new tasks. Since he is paid by the amount he produces, his pay might be reduced. Tony is afraid that his job may be in jeopardy and he may be laid off. Doug dislikes uncertainty and has developed a negative attitude.

133.The source of Dons resistance is:

a.habit.

b.economic.

c.security.

d.fear of the unknown.


134.The source of Tonys resistance is:

a.habit.

b.economic.

c.security.


(c; Moderate; pp. 559-560)

135.The source of Dougs resistance is:

a.habit.

b.economic.

c.security.


(d; Moderate; pp. 559-560)

Application of Overcoming Resistance to Change

Johnson Farm Products has decided to expand its traditional business with farmers in order to include home gardeners. This change is not met with enthusiasm by the sales personnel who have had good long-term relationships with area farmers. You know that the change will be difficult if you cannot overcome the resistance of the sales personnel and get their cooperation.

136.You have decided to involve the sales personnel in planning for the change and in stocking appropriate new items. The method for overcoming resistance that you have chosen is:

a.education and communication.

b.participation.

c.negotiation.

d.manipulation and cooptation.


137.You have brought in the local extension agent to explain demographics and the changing nature of the area in which you live. The method for overcoming resistance that you have chosen is:


b.participation.

c.negotiation.

d.manipulation and cooptation.

(a; Easy; pp. 562-563)

138.You have threatened to eliminate positions and even to close down the company if your employees dont change their attitudes. The method for overcoming resistance that you have chosen is:


b.participation.

c.negotiation.

d.manipulation and cooptation.(d; Moderate; pp. 562-563)

Application of Lewins Three-Step Model

Mintzs Motor Repair is moving its location to a larger community 100 miles away. Mintz would like for its mechanics to move with the company but realizes that there will be some hardships associated with the move. Mintz has decided to use Lewins three-step model in order to make the change.

139.You are offering a $2,000 moving bonus for any employee who will go to the new location. In Lewins terms, you are attempting to:

a.unfreeze the status quo.

b.move the process along.

c.refreeze the change.

d.bribe them.


140.You have imposed a permanent upward adjustment of salaries. You are attempting to:

a.unfreeze the status quo.

b.move the process along.

c.refreeze the change.

d.change a driving force.


141.You are counseling each employee individually and trying to lessen their fears. This is an example of:

a.removing driving forces.

b.increasing driving forces.

c.removing restraining forces.

d.brainwashing.


Application of Understanding Stress and Its Consequences

TNT Net is in the computer industry, where innovations are common. The employees are highly trained, well educated, and hard working. They are under a great deal of stress and TNT Net is concerned that productivity and job satisfaction will decline.

142.The technological uncertainty that employees are dealing with is a(n) _____ factor.

a.organizational

b.environmental

c.individual

d.company


143.One of your employees is very stressed out as a result of being asked to assume too many roles in his job. This source of stress is:

a.organizational.

b.environmental.

c.individual.

d.imaginary.

(a; Easy; pp. 578-580)

144.In an attempt to recognize stress early, you should be aware that symptoms may be:

a.physiological.

b.psychological.

c.behavioral.

d.all of the above(d; Moderate; p. 582)

Application of Action Research

You have decided to use action research to manage a planned change in your department. You have carefully mapped out the five steps of the process.

145.You ask questions and interview your employees in which step of the process?

a. diagnosis

b. analysis

c. feedback

d. action


146.In which stage of the process do you synthesize the information into primary concerns, problem areas, and possible actions?

a. diagnosis

b. analysis

c. feedback

d. action


147.In which stage do you share with employees what you have found and develop action plans?

a. diagnosis

b. analysis

c. feedback

d. action


SHORT DISCUSSION QUESTIONS

148.What are the goals of change?

(Page 558)

Essentially there are two goals of planned change. First, it seeks to improve the ability of the organization to adapt to changes in its environment. Second, it seeks to change employee behavior.

149.What are the three steps in Lewins model for change.

(Pages 564-565)

Kurt Lewin argued that successful change in organizations should follow three steps: unfreezing the status quo, movement to a new state, and refreezing the new change to make it permanent.

150.What is action research?

(Page 565)

Action research refers to a change process based on the systematic collection of data and then selection of a change agent based on what the analyzed data indicate. Their importance lies in proving a scientific methodology for managing planned change. The process of action research consists of five steps: diagnosis, analysis, feedback, action, and evaluation. These steps closely parallel the scientific method.

151.List six interventions that change agents might consider using.

(Pages 567-570)

Sensitivity training refers to a method of changing behavior through unstructured group interaction. Members are brought together in a free and open environment in which participants discuss themselves and their interactive processes, loosely directed by a professional behavioral scientist. One tool for assessing attitudes held by organizational members, identifying discrepancies among member perceptions, and solving these differences is the survey feedback approach. The purpose of process consultation is for an outside consultant to assist a client to perceive, understand, and act upon process events with which he or she must deal. These might include work flow, informal relationships among unit members, and formal communication channels. Team building utilizes high-interaction group activities to increase trust and openness among team members. Intergroup development seeks to change the attitudes, stereotypes, and perceptions that groups have of each other. Appreciative inquiry seeks to identify the unique qualities and special strengths of an organization, which can then be built upon to improve performance. That is, it focuses on an organizations successes rather than its problems.

152.What is innovation?

(Page 571)

Innovation is a more specialized kind of change. It is a new idea applied to initiating or improving a product, process, or service. So all innovations involve change, but not all changes necessarily involve new ideas or lead to significant improvements.

153.What is a learning organization?

(Page 573)

A learning organization is an organization that has developed the continuous capacity to adapt and change. Just as individuals learn, so too do organizations.

154.What is the difference between single-loop learning and double-loop learning?

(Page 573)

Most organizations engage in what has been called single-loop learning. When errors are detected, the correction process relies on past routines and present policies. In contrast, learning organizations use double-loop learning. When an error is detected, it is corrected in ways that involve the modification of the organizations objectives, policies, and standard routines. Double-loop learning challenges deep-rooted assumptions and norms within an organization. It provides opportunities for radically different solutions to problems and dramatic jumps in improvement.

155.What is knowledge management?

(Page 575)

Knowledge management is a process of organizing and distributing an organizations collective wisdom so the right information gets to the right people a the right time. When done properly, KM provides an organization with both a competitive edge and improved organizational performance because it makes its employees smarter.

156.What is stress?

(Page 577)

Stress is a dynamic condition in which an individual is confronted with an opportunity, constraint, or demand related to what he or she desires and for which the outcome is perceived to be both uncertain and important. Stress is not necessarily bad in and of itself.

MEDIUM LENGTH DISCUSSION QUESTIONS

157.List the six specific forces for change.

(Exh. 19-1; Page 556)

The six specific forces for change are: the nature of the workforce, technology, economic shocks, competition, social trends, and world politics. The nature of the workforce includes more cultural diversity, increase in professionals, and many new entrants with inadequate skills. Technology includes faster and cheaper computers, new mobile communication devices, and deciphering of the human genetic code. Economic shocks include the rise and fall of dot.com stocks, the decline in the value of the Euro, and the collapse of Enron Corporation. Competition includes global competitors; mergers and consolidations; and the growth of e-commerce. Social trends include Internet chat rooms, the retirement of Baby Boomers, and the increased interest in urban living. World politics includes the escalation of hostilities in the Middle East, the opening of markets in China, and the war on terrorism.

158.What are the five steps of the action research process?

(Pages 565-566)

The process of action research consists of five steps: diagnosis, analysis, feedback, action, and evaluation. The change agent begins by gathering information about problems, concerns, and needed changes from members of the organization. The change agent asks questions, interviews employees, reviews records, and listens to the concerns of employees. In the diagnosis stage, the change agent synthesizes this information into primary concerns, problem areas, and possible actions. Action research includes extensive involvement of the change targets. Feedback requires sharing with employees what has been found from steps one and two. The employees, with the help of the change agent, develop action plans for bringing about any needed change. The employees and the change agent carry out the specific actions to correct the problems that have been identified. The final step is evaluation of the action plans effectiveness.

159.What can managers do to make their firms learning organizations?

(Page 574)

Managers can make their firms learning organizations through a number of suggestions. Management can establish a strategy. Management might also redesign the organizations structure. In addition, they can reshape the organizations culture.

160.Discuss some of the psychological consequences of stress?

(Page 582)

Stress can cause dissatisfaction. Job-related stress can cause job-related dissatisfaction. Other psychological states include tension, anxiety, irritability, boredom, and procrastination.

161.What are some individual approaches to managing stress?

(Page 584)

Individual strategies that have proven effective include implementing time management techniques, increasing physical exercise, relaxation training, and expanding the social support network.

COMPREHENSIVE ESSAYS

162.Discuss five reasons why individuals may resist change.

(Pages 559-560)

Five reasons why individuals may resist change are: habit, security, economic factors, fear of the unknown, and selective information processing. To cope with complexity, we all rely on habits or programmed responses. But when confronted with change, this tendency to respond in our accustomed ways becomes a source of resistance. People with a high need for security are likely to resist change because it threatens their feelings of safety. Changes in job tasks or established work routines also can arouse economic fears if people are concerned that they wont be able to perform the new tasks or routines to their previous standards, especially when pay is closely tied to productivity. Change substitutes ambiguity and uncertainty for the known. Employees in organizations dislike uncertainty. Individuals are guilty of selectively processing information in order to keep their perceptions intact. They hear what they want to hear. They ignore information that challenges the world theyve created.

163.Discuss resistance to change in term of its organizational sources.

(Pages 561-562)

There are six major sources of organizational resistance to change. Organizations have built-in mechanisms to produce stability. Formalization provides job descriptions, rules, and procedures for employees to follow. Organizations are made up of a number of interdependent subsystems. You cant change one without affecting the others. Even if individuals want to change their behavior, group norms may act as a constraint. Changes in organizational patterns may threaten the expertise of specialized groups. Any redistribution of decision-making authority can threaten long-established power relationships within the organization. Those groups in the organization that control sizable resources often see change as a threat. They tend to be content with the way things are.

164.Discuss stress and its consequences. Include potential sources of stress and both individual and organizational approaches to managing stress.

(Pages 578-580)

Stress is a dynamic condition in which an individual is confronted with an opportunity, constraint, or demand related to what he or she desires and for which the outcome is perceived to be both uncertain and important. Stress is not necessarily bad in and of itself.

Environmental sources of stress include economic uncertainty, political uncertainty, and technological uncertainty. Organizational sources of stress include: task demands, role demands, interpersonal demands, organizational structure, organizational leadership, and an organizations life cycle. Individual factors include family problems, financial problems, and personality.

Stress can cause dissatisfaction. Job-related stress can cause job-related dissatisfaction. Other psychological states include: tension, anxiety, irritability, boredom, and procrastination. Behaviorally related stress symptoms include changes in productivity, absence, and turnover, as well as changes in eating habits, increased smoking or consumption of alcohol, rapid speech, fidgeting, and sleep disorders.

Individual strategies that have proven effective include: implementing time management techniques, increasing physical exercise, relaxation training, and expanding the social support network.

Strategies that management might want to consider include: improved personnel selection and job placement, training, use of realistic goal setting, redesigning of jobs, increased employee involvement, improved organizational communication, offering employee sabbaticals, and establishment of corporate wellness programs.

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