challenges of managers

7/31/2019 Challenges of Managers

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TOPIC

Challenges for Managers


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Remaining Competitive: Four Major

Challenges to Managers

Globalizing the firms operations

Managing a diverse workforce Keeping up with technological change and

implementing technology in the workplace Managing ethical behavior


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Changing Business Perspectives

From International (which implies anindividuals or organizations

held nationality is strongly

in consciousness)

To Globalization (whichimplies the world is free

from national boundaries andthat it is really a borderless world)


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From Multinational Organizations (in which the organization was

recognized as doing business

with other countries)

Changing Business Perspectives

To Transnational Organizations (in which the global viewpoint

supersedes national issues)


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Changes in the Global Marketplace

Collapse of Eastern Europe Union of East and West Berlin Perestroika Expansion of business with China

Guanxi The Chinese practice of building

networks for social exchange Creation of the European Union Establishment of the North American Free Trade

Agreement


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Understanding Cultural Differences

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). Reproducedby permission of the publisher via Copyright Clearance Center, Inc.

Individualism

High power distance

High uncertainty avoidance

Masculinity

Long-term orientation

Collectivism

Low power distance

Low uncertainty avoidance

Femininity

Short-term orientation


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Hofstedes Dimensions of Culture Geert Hofstedes cultural typology is the most often

used. It is based upon a study of 100,000 IBM employees

who work in IBM divisions throughout the world. Hofstedes survey revealed four underlying

dimensions of culture: Power Distance Uncertainty Avoidance

Individualism/Collectivism Masculinity/Femininity Long-Term Orientation


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Power Distance (PD)

Power Distance is the extent to which hierarchicaldifferences are accepted in society and articulated interm of deference to higher and lower social and

decision levels in organization. Artifacts of high PD:

Centralization # Org. Levels- Height # Supervisors Wage Differentials Values, White & Blue Collar Work


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Power Distance (PD)

Exhibit 6-6: Power distance: country examples andorganizational implications


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Chapter 6: The CulturalEnvironment

Power Distance (PD)

Exhibit 6-7: Rank distinctions among the Japanese


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Uncertainty Avoidance (UA)

Uncertainty Avoidance is the extent to whichuncertainty and ambiguity are tolerated.

Artifacts of high UA: Standardization Structured activities Written rules

Specialists No risk tolerance Ritualistic behavior


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Uncertainty Avoidance (UA)

Exhibit 6-8: Uncertainty avoidance: country examplesand organizational implications


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Individualism/Collectivism (I/C)

I/C is the extent to which the self or the groupconstitutes the center point of identificationfor the individual.

Individual self interest is pursued individually,or as a part of a group.

Artifacts of I/C

Firm as family Utilitarian decision making Group performance


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Individualism/Collectivism (I/C)

Exhibit 6-9: Individualism/collectivism: countryexamples and organizational implications


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Masculinity-Femininity (M/F)

Refers to the extent to which traditionalmasculine values, like aggressiveness andassertiveness, are valued.

Artifacts of M/F Sex Roles Minimized More Women In Jobs

Interpersonal Skills Rewarded Intuitive Skills Rewarded Social Rewards Valued


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Masculinity-Femininity (M/F)

Exhibit 6-10: Masculinity/femininity: countryexamples and organizational implications


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Long-Term Orientation (LTO)

Originally called Confucian Dynamism because of anchoring in the Confucian valuesystem.

Represents such values as thrift, persistence,and traditional respect of social obligations.

Organizations likely to adopt longer planninghorizon, with individuals ready to delaygratification.


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Long-Term Orientation (LTO)


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Schwartzs Classification Three polar dimensions of culture:

Embeddedness versus Autonomy Embeddedness emphasis on social relationships and tradition Autonomy finding meaning in ones own uniqueness

Hierarchy versus Egalitarianism Hierarchy legitimacy of hierarchical role and resource allocation Egalitarianism transcendence of self-interests and promoting

others welfare Mastery versus Harmony

Mastery mastering the social environment via self-assertion Harmony being at peace with nature and society


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Schwartzs Classification

Exhibit 6-13: Sample country rankings on Schwartzsdimensions


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Trompenaars and Hampden- TurnersClassification

Consists of seven dimensions:1. Universalism versus particularism rules versus

relationships

2. Communitarianism versus individualism the groupversus the individual3. Neutral versus emotional4. Diffuse versus specific

5. Achievement versus ascription6. Attitudes to time7. Attitudes toward the environment


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Reprinted with permission of Academy of Management, PO Box 3020, Briar Cliff Manor, NY 10510-8020. CulturalConstraints in Management Theories

(Figure), G. Hofstede, Academy of Management Executive 7, (1993). Reproducedby permission of the publisher via Copyright Clearance Center, Inc.

Where the U.S. Stands

Individualism

High power distance

High uncertainty avoidance

Masculinity

Long-term orientation

Collectivism

Low power distance

Low uncertainty avoidance

Femininity

Short-term orientation


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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


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Diversity

All forms of individual differences, including

culture, gender, age, ability, personality,religious affiliation, economic class, socialstatus, military attachment, and sexual

orientation


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Diversity Statistics for the

WorkplaceCultural 2020 Workforce: 68% white non-Hispanic

14% Hispanic11% African-American

5% Asian

Gender 2020 Workforce: 50% male50% female


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Women and Obstacles at Work

Today, women make up over 60% of the workforce,earn 32% of all doctorates, 52% of masters degrees,and 50% of undergraduate degrees

BUTToday, women hold less than 15.7% of Fortune 500 corporate officer positions, earn 78% of what theirmale counterparts do, and encounter the glass ceiling

in the workplace

a transparent barrier that keeps women from rising

above a certain level in organizations


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Diversity Statistics Affecting the

WorkplaceAge By 2030, there will be 70,000,000 older

persons. People over 65 will comprise 20% of the population.

Ability An estimated 50 million disabled live in theU.S.; their unemployment rate exceeds 50%.


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Diversitys Benefits & Problems

BENEFITS PROBLEMS Attracts & retains thebest human talent Improves marketing

efforts Promotes creativity andinnovation Results in better problem

solving Enhances organizationalflexibility

Resistance to change Lack of cohesiveness Communication

problems Interpersonal conflicts Slowed decisionmaking


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Ethical Theories Consequential Theory an ethical theory thatemphasizes the

consequences or resultsof behavior

Rule-Based Theory an ethical theory that

emphasizes thecharacter of the act

itself rather than its effects Character Theory

an ethical theory thatemphasizes the character,

personal virtues, and

integrity of the individual


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Employee Rights Issues

Computerized monitoring

Drug testingFree speech

Downsizing

LayoffsDue process

AIDS in the workplace


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Sexual Harassment = UnwantedSexual Attention

Gender Harassment crude comments;behaviors that convey hostility toward aparticular gender

Unwanted Sexual Attention unwantedtouching, unwanted pressure for dates

Sexual Coercion demands for sexual favorsthrough job-related threats or promises

Harassment orPotential Romance?


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Organizational Justice

Distributive Justice fairness of the outcomesthat individuals receivein an organization

Ex. Companiesin Danger CEOSalariesvs.

Ex. Competence

and Skill

Race and

Gendervs.

Procedural Justice fairness by which theoutcomes are allocatedin an organization


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Individual and Organizational

Responsibility

Whistle-Blower an employee who informs

authorities of the wrongdoing of his or hercompany or coworkers Public Hero Vile Wretch

Social Responsibility the obligation of anorganization to behave ethically


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Rotary Four-Way Testof 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 BENEFICIALto all concerned?


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Technological Innovation

Technology

The intellectual andmechanical processesused by anorganization totransform inputs into

products or servicesthat meetorganizational goals

ExamplesInternet integrates

computer, cable,telecommunications

technologiesExpert System computer-

based application using arepresentation of humanexpertise in a specialized

field of knowledge to solveproblemsRobotics use of robots in

organizations


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Alternative Work Arrangements

Employees Gain flexibility Save the commute to work Enjoy the comforts of home

But, they Have distractions Lack socialization opportunities Lack interaction with supervisors Identify less with the organization

Telecommuting transmitting work from ahome computer to the office using a modem


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Additional Alternative WorkArrangements

Hoteling employees have mobile filecabinets/lockers for personal storage;work spaces are reserved, not assigned

Satellite Offices large facilities brokeninto smaller workplaces near employeeshomes

Virtual Office people work anytime,anywhere, with anyone


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Technological Change RequiresManagers to

Develop technical competence to gainworkers respect

Focus on helping workers manage thestress of their work

Take advantage of the wealth of information available to motivate,coach, and counsel not to control


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Help Employees Adjust by

Involving them in decision makingregarding technological change

Selecting technology that increasesworkers skill requirements

Providing effective training Establishing support groups Encouraging reinvention (creative

application of new technology)

F Ch ll


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Four Challenges toOrganizations in the New

MillenniumGlobalization

Diversity

Ethics

challenges of managers

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