management today - gbv

Management Today Best Practices for the Modern Workplace

Terri A. ScanduraUniversity of Miami

Kim GowerUniversity of Mary Washington

®SAGE

DETAILED CONTENTSPreface xxi

Acknowledgments xxvii

About the Authors xxix

PART I: INTRODUCTION

Chapter 1: Becoming a Manager 2What Managers Do 3

What Is Management? 5

The Management Process 6Planning 6Organizing 6Leading 6Controlling 7

A Brief History of Management Theory 7Early Management Theories 7Theory X and Theory Y 9Behavioral Aspects of Management 10The Learning Organization 11Ethics 13Disruptive Change 14Sustainability 15

Managerial Roles 16Interpersonal Roles 16Informational Roles 17Decisional Roles 17

Managerial Behaviors 18© Careers in Management: What Does a Restaurant Manager Do? 19

Skills Managers Need Today 20Evidence-Based Management 21

C Fact or Fiction?: Is a Happy Worker a Productive Worker? 22Critical Thinking 23Analytics 25

Plan For This Textbook 26

Managerial Implications 27

Key Terms 28

Toolkit 28

Activity 1.1 Learning About Managerial Roles 28Activity 1.2 What Does It Mean to Be Successful? 29Case Study 1.1 Facebook.com: The Cambridge Analytics Scandal 30Self-Assessment 1.1 Are You Theory X or Theory Y? 31

PART II: PLANNING

Chapter 2: Making Decisions and Using Analytics 34Decisions: The Big Ones 35

Decision-Making in Organizations 37The Rational Decision-Making Process 37Limits to Rational Decision-Making 39Bounded Rationality 39Prospect Theory 39Framing 40

Intuition 41Benefits of Intuition 42Heuristics 43

Decision Traps 44Hindsight Bias 44Overconfidence 45Escalation of Commitment 45Avoiding Derailment Through Planning 47

Creative Problem-Solving 48Three-Component Model of Creativity 48

Making Decisions Using Business Analytics 49Management Analytics 50

© Fact or Fiction?: Do Companies Know Your Secrets? 51© Careers in Management: Careers in Business Analytics 53

Overcoming the Fear of Data and Statistics 54

The Era of “Big Data” 54Examples of Big-Data Analytics 55


Key Terms 57

Toolkit 57Activity 2.1 Exxel’s New Product Development Decision 57Case Study 2.1 A New Mission Statement for the MBC Corporation 58Case Study 2.2 “Effective ... but Creepy” Employee Tracking and

Data Collection 59Self-Assessment 2.1 What Is Your Attitude Toward Risk? 61Self-Assessment 2.2 Are You Afraid of Statistics? 62

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Chapter 3: Ethics and Social Responsibility 68What Role Do Ethics and Social Responsibility Play in

Effective Management? 69

What Do People Think of When They Think of Ethics? 71The Social World Is Messy and Ethics Help Us Navigate It 71

Kohlberg’s Stages of Moral Development 73Level 1 : Pre-Conventional Level 73Level 2: Conventional Level 74Level 3: Post-Conventional or Principled Level 74Criticisms of Kohlberg’s Theory of Moral Development 75

Ethical Climate 76Five Types of Ethical Climates 76Ethical Leadership 77

C Fact or Fiction?: Misconceptions About Ethical Leadership 78

Ethical Decision-Making 80The PLUS Decision-Making Model 81Ethics Filters 82Moral Intensity 83

The Importance of Corporate Social Responsibility 83A Change in Perspective 84

The Future of Corporate Social Responsibility 86O Careers in Management: Corporate Social Responsibility

(CSR) Director 87Where Do We Draw the Line in Employee Technology Privacy? 89


Key Terms 90

Toolkit 91Activity 3.1 Trolley Problem: Ethical Decision-Making Exercise 91Case Study 3.1 The College Admissions Scandal 92Case Study 3.2 Real Life Choices in Corporate Social

Responsibility 93Self-Assessment 3.1 Moral Courage 94

Chapter 4: Organizational Culture and Change 96A Small Business Implements Change 97

Organizational Culture and Its Characteristics 98Levels of Organizational Culture 99How Managers Shape Organizational Culture 101

Strong Organizational Cultures 102The Perfect Culture 103

G Fact or Fiction?: Zappos Part II: Do We Need Managers? 104Subcultures 104

Socialization 105Anticipatory Socialization 105Organizational Entry and Assimilation 106Metamorphosis 107

How Employees Learn Culture 108Stories 108Rituals 109Symbols 109Language 109

Forces Driving Organizational Change 110

Types of Organizational Change 111Organizational Subsystems Involved in Planned Change 112Why Organizational Change Efforts Fail 112Resistance to Change 113

© Careers in Management: Organizational Development (OD) 114

Overcoming Resistance to Change 115Lewin’s Three-Step Model 116Practical Steps for Applying the Three-Step Model 117Force-Field Analysis 118The Change Curve 119Nine Tips for Managing Organizational Change 121


Key Terms 124

Toolkit 124Activity 4.1 Comparing Organizational Cultures

in the Gaming Industry 124Activity 4.2 Understanding Organizational Culture 125Case Study 4.1 How It All Went Wrong at JCPenney 125Self-Assessment 4.1 Organizational Readiness for

Implementing Change (ORIC) 127

Chapter 5: Strategic Management and Planning 130How Important Is Strategic Management? 131

Strategic Plans 132

Mission and Vision Statements 134• How Google Built an Effective Vision and Mission Statement 1350 Fact or Fiction?: Real Mission Statement Wins and Kefuffles 136

Competitive AdvantageIdentifying Values in Six Steps

Porter’s Five Forces and SWOT AnalysisUsing Porter’s Five Forces for AnalysisSWOT AnalysisConducting a SWOT AnalysisComparing Five Forces and SWOT

Goals and ObjectivesObjectivesManagement by Objectives (MBO)Long-Term Objective Formulation

O Careers in Management: Knowledge Management ProfessionalFeedback LoopModern Strategic-Planning ConsiderationsNot-for-Profit Strategic PlanningWicked Strategic ManagementBig-Data Strategic ManagementEmergent StrategyBlue-Ocean Strategic Planning

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Understanding Profit and the 3Ps in Strategic Planning 153


Key Terms 155Toolkit 156

Activity 5.1 SWOT Yourself 156Activity 5.2 How Much Do Your Core Values Matter

to the Organization? 156Case Study 5.1 Did Transgenerational Response

Cause Yahoo to Fail? 158Self-Assessment 5.1 Time Perspectives and Strategic Planning 160

hapterS: Organizational Design 164

Structure: Who Needs It? 165

Millennial and Gen Z Appeal 165

What Is Organizational Structure? 167

Dimensions of Organizational Design 170

Forms of Organizational StructureEntrepreneurial Organization Machine OrganizationProfessional Organization

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Divisional (Diversified) Organization 174Innovative Organization (“Adhocracy”) 174

Organizational Structure Types 175Functional Organization 175Product Organization 176Geographic Organization 178Matrix Organization 179Virtual Organization 180

0 Careers in Management: Organizational Design Consultant 181

Levels of Management 182

Sociotechnical System and Job Design 184Job Characteristics 185Job Redesign 186Job-Crafting 186

O Fact or Fiction?: Mean Companies? Lazy Employees?Why Telecommuting Is Off to a Rough Start 187


Key Terms 189

Toolkit 190Activity 6.1 Organization Chart 190Activity 6.2 Applying the Job Characteristics Model 190Case Study 6.1 Will Flat Management Fall Flat? 191Self-Assessment 6.1 How Much Structure Do You Need? 192

Chapter 7: Communication 194Oprah Winfrey’s Conversational Competence 195

What Is Communication? 197Communication Apprehension 197One-Way Versus Two-Way Communication 197The Communication Process 198The Importance of Feedback in the Communication Process 198Example of the Shannon-Weaver Model 199

Language Barriers to Effective Communication 200Jargon 200Trigger Words 200

Improving Organizational Communication 201Training 201Active Listening 202

Communication Challenges 203The Impact of Technology on Communication 203Electronic Communication 204Nonverbal Communication 206

Cross-Cultural Communication 207G Fact or Fiction?: Does Nonverbal Communication Have the

Same Meaning Everywhere? 210

Managing Knowledge in Organizations 211Downward Communication 212Upward Communication 212Horizontal Communication 213External Communication 214Communication Networks 214

O Careers in Management: Public Relations Specialist 215Knowledge Transfer Within Organizations 216


Key Terms 218

Toolkit 219Activity 7.1 One-Way Communication 219Activity 7.2 Giving and Receiving Effective Feedback 219Case Study 7.1 “Ask Dharmesh Anything” at HubSpot 220Self-Assessment 7.1 Communication Apprehension 222Self-Assessment 7.2 What Communication Style Are You? 224

Chapter 8: Human Resource Systems 228Will You Be Hired by a Chatbot? 229

What Is Human Resource Management? 231HRM in Organizations 231HRM Versus “Management” 232

© Careers in Management: Human Resources Specialist 233Human Resources and Human Capital 234

C Fact or Fiction?: Myths About Human Resource Management 235Outsourcing the HR Function 236HRM: What’s in a Name? 236

The Functions of HRM 236

Staffing 237

Compensation 239The Relationship of Performance Management to Compensation 240Sources of Performance Management Ratings 240Performance Management Methods 241Challenges in Performance Management 242What About the Money? 244Other Forms of Compensation 245

Training and Development 245Steps in the Training Process 246Transfer of Training 249The “New Finish Line” 249Cross-Cultural Training 251

Strategie Human Resource Management 251Michigan: “Hard Strategie HRM” 252Harvard: “Soft Strategie HRM” 252


Key Terms 255

Toolkit 255Activity 8.1 Getting Past the Al Résumé Screening 255Activity 8.2 Whom to Promote? 256Activity 8.3 Design a Communication Training Activity 257Case Study 8.1 Wearables and Employee Privacy 258Self-Assessment 8.1 Situational Judgment Test 259

PART IV: LEADING

Chapter 9: Understanding Individuals and Diversity 264What Would You Do? 265

What Is Personality? 267Heredity Influences Personality 267Myers-Briggs Type Indicator 268Limitations of the MBTI 268Applications of the MBTI in Organizations 269The Big Five 269Personality Traits and Your Health 270

O Fact or Fiction?: Should I Get a Trophy for Trying? 271

Psychological Capital 272

Emotional Intelligence 273Can Emotional Intelligence Be Learned? 273Limitations of Emotional Intelligence 274What We Know About El 274

Diversity Approaches 274Surface-Level and Deep-Level Diversity 275Discrimination and Fairness 275Challenges to Affirmative Action 276Learning 277

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Effectiveness 278Women and Men at Work 279

Generations in the Workplace 280The Millennials 281And . . . Here Gomes Generation Z! 282Limitations of Generational Differences 283

Managing Diverse Followers 284Diversity Mission Statements 284

0 Careers in Management: Chief Diversity Officer 285Promoting Open Discussions About Diversity 286


Key Terms 288

Toolkit 288Activity 9.1 Emotional Intelligence Exercise 288Activity 9.2 Experiences of Diverse Managers 289Case Study 9.1 Covering Up Diversity 289Self-Assessment 9.1 Big-Five Personality Test 290Self-Assessment 9.2 Type A or Type B Behavior Pattern 291Self-Assessment 9.3 Attitudes Toward Diversity Scale 293

Chapter 10: Motivation 296Can You Solve the Candle Problem? 297

What Is Motivation? 299Relationship Between Motivation and Performance 300Intrinsic and Extrinsic Rewards 300

Need Theories 301Maslow’s Hierarchy of Needs 301McClelland’s Need Theory 302Alderfer’s ERG Theory 303Herzberg’s Two-Factor Theory 304

Expectancy Theory 306© Careers in Management: Understanding Entrepreneurial

Motivation Using Expectancy Theory 307

Goal Setting 308Limitations of Goal Setting 309How to Give Effective Feedback 311

Reinforcement Theory 311Reinforcers 312Punishment 312Schedules of Reinforcement 312

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C Fact or Fiction?: Are There Benefits to Playing Video Games? 314Organizational Behavior Modification 315Ethical Concerns in OB Mod 316

Organizational Justice 317Equity Theory 317Organizational Justice 318


Key Terms 319

Toolkit 320Activity 10.1 What Do Workers Want From Their Jobs? 320Activity 10.2 Work Values Checklist 320Case Study 10.1 KPMG: Motivating Employees With a Deeper

Sense of Purpose 321Self-Assessment 10.1 Maslow’s Hierarchy of Needs 323

Chapter 11: Managing Teams 326When Teamwork Isn’t Fair 327

Students You Meet in Team Projects 327The Invisible Student 327The Silent Student 327The Procrastinator 327The Control Freak 328The Teammate Who Overpromises and Underdelivers 328

What is a Team? 329Group Versus Team 329Types of Teams 330

Team Goals 331The Team Charter 332

Team Development 333Five-Stage Model 333Punctuated Equilibrium Mode! 333Team Performance Curve 334

Team Effectiveness 336Team Attitudes: Affect and Viability 336Team Behaviors: Creativity and Learning 336Team Performance 337How to Build Effective Tèams 338

O Fact or Fiction?: Forget What You Learned in Grade School:Five Teamwork Myths 339

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Team Challenges 340Groupthink 340Virtual Teams 343Multicultural Teams 344Team Conflict 345Ethical Concerns From Peer Pressure 346Five Dysfunctions of a Team 346

O Careers in Management: Team Coach 347

Team Decision-Making 348Devil’s Advocacy 348Dialectical Inquiry 348Robert’s Rules of Order 349Multivoting 350Brainstorming 351Consensus 351Nominal Group Technique 352Stepladder 353Delphi Method 353


Key Terms 355

Toolkit 355Activity 11.1 The Team Charter 355Activity 11.2 Team Decision-Making by Consensus:

Hurricane Survival 356Case Study 11.1 For Companies, Virtual Teams Shrink the Map 358Self-Assessment 11.1 Effective Team Role Behaviors 359Self-Assessment 11.2 Team Conflict 361

Chapter 12: Leadership 364What Makes an Effective Leader? 365

What Is Leadership? 366C Fact or Fiction?; Seven Myths About Leadership 367

Managers Versus Leaders 367

Leadership Traits 369The Dark Triad 372

Leadership Behaviors 374The Managerial Grid 375

It All Depends—Contingency Leadership 376Path-Goal Theory 376

O Careers in Management: Top “Soft Skills” Employers Look For 378

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The Role of Relationships 378Leader-Member Exchange 379

Trust 380

Transformational Leadership 383Transactional Leadership 383The Four Ts” 384

Contemporary Approaches to Leadership 384Ethical Leadership 385Servant Leadership 385Authentic Leadership 386


Key Terms 388

Toolkit 388Activity 12.1 The Best Leaders 388Activity 12.2 The Trust Fall 388Case Study 12.1 Bad Blood: The Dark Side of Charisma at Theranos 389Self-Assessment 12.1 Are You a Transformational or a

Transactional Leader? 390Self-Assessment 12.2 Servant Leadership 391

Chapter 13: Managing in a Global Environment 394Alexa Is Making New International Friends 395

What Is Culture? 397Prototypes Versus Stereotypes 398High-Context and Low-Context Cultures 399

G Fact or Fiction?: Do Advertisements Have the SameMeaning in Different Cultures? 400Cultural Tightness-Looseness 401

Hofstede’s Cultural Values 402

Project Globe 404

The Impact of Globalization on Management 406

The Global Mindset 407

Cultural Intelligence 409Culture Shock 410Expatriation 411

© Careers in Management: Expatriate Manager 413Repatriation 415


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Key Terms 416

Toolkit 417Activity 13.1 Understanding Cultural Differences: Party Time! 417Case Study 13.1 Why Did Walmart Fail in Germany? 417Self-Assessment 13.1 GLOBE Cultural Values Assessment 420Self-Assessment 13.2 Do You Have A Global Mindset? 423Self-Assessment 13.3 What Is Your Cultural Intelligence? 425

PART V: CONTROLLING

Chapter 14: Budget Control 430What Is Budget Control? 431

What Are Budgets and What Can They Do? 432Advantages of Budgeting 432

The Many Different Types of Budgeting Systems 433Types of Budgets and Purpose 435

Components for Managing a Budget 438Budget Reports 438Revenue 439Expenses, Operating Expenses, and Cost 439Cost of Goods Sold 440Pretax Profit and the Bottom Line 440Net Profit 440Understanding an Income Statement 440

Applying Appropriate Budget Systems 443The Four Most Common Types of Budgets 443

O The Best-Laid Plans 444Zero-Based Versus Incremental Budgeting Comparison 445The Ongoing Budgeting Process 446

Using Budgets to Make Organizational Decisions 447Adding or Dropping Product Lines 448Opportunity Costs 448Relevant Versus Irrelevant Costs 448Special Orders 450Utilization of Constrained Resources 451The Cost of a Human Life, Statistically Speaking 452

C Fact or Fiction?: The Cost of Insulin 453

Budgets as Decision-Making Tools: An Ethical Perspective 454Stakeholder Considerations 455

O Careers in Management: Budget Control 456

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An Example of Unethical Budget Practices 458The Potential Problems With Bonuses for Managers 458Considerations and Solutions to Budgetary Slack 460Integrating Values in Decision-Making 460


Key Terms 462

Toolkit 462Activity 14.1 Malaysia Airlines 462Case Study 14.1 Rising Prescription Costs in America 462Case Study 14.2 Going King Sized in the United States and

Crashing on the Couch in China 464Self-Assessment 14.1 Managing Budgets 464

Chapter 15: Management Control Systems andTechnology 466

What Is Management Control? 467

Management Control as the Umbrella of Management 468

What Types of Control Systems Are Usedby Organizations? 470

Timing of Controls 470

Types of Controls Based on Organizational Need 472Strategic Control 472Operational Control 473Tactical Control 473Objective and Normative Control 474Top-Down Controls 474

Using Controls to Forecast, Track, and Balance OrganizationalSystems 475

The Balanced Scorecard 475Balanced Scorecard Components 476Why Do Companies Need a Balanced Scorecard? 477

Technology and Data Analytics as Management Control 477What Is Big Data? 478What Does “Big Data” Mean? 478The Four “V’s” About Big Data 478Data About Data: Structured, Semi-Structured, and Unstructured Data 480

® Careers in Management: Careers in Data Science 482

Data Analytics 483MapReduce: How Big Data Gets Analyzed 483Big Data Analysis Tools 483

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Open Source 484How Data Analytics Has Changed Performance Forever 485Decision-Making 486Organizational Culture and Change 487Strategic Management and Planning 487Communication 488Great Managers Use Great Data 488


Key Terms 489

Toolkit 489Activity 15.1 What Big Data Might Work Where? 489Case Study 15.1 Pajama Email Hackers 490Case Study 15.2 Social Media Data and Its Predictive Capability 493Self-Assessment 15.1 What a Quality Control Manager Needs 495

Appendix: The Scientific Method 499

Glossary 505

References 517

Index 553

management today - gbv

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