unit iv - directing

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UNIT IV - DIRECTING Foundations of individual and group behaviour motivation motivation theories motivational techniques job satisfaction job enrichment leadership types and theories of leadership communication process of communication barrier in communication effective communication communication and IT. By: N.S.Srivatchan. ASP/EEE Mrs.R.Vanitha. AP/EEE MG6851 Principles of Management

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UNIT – IV - DIRECTING

Foundations of individual and group behaviour –motivation – motivation theories – motivational techniques – job satisfaction – job enrichment –leadership – types and theories of leadership –communication – process of communication – barrier in communication – effective communication –communication and IT.

By:

N.S.Srivatchan. ASP/EEE

Mrs.R.Vanitha. AP/EEEMG6851 Principles of

Management

Foundations of Individual

and Group Behavior

MG6851 Principles of

Management

Learning Outcomes

Define the focus and goals of organizational

behavior

Describe the three components of attitudes

Explain cognitive dissonance

Describe the Myers-Briggs personality

framework

Discuss the concept of perception

MG6851 Principles of

Management

Learning Outcomes

Explain how managers can shape employee

behavior

Contrast formal and informal groups

Explain why people join groups

Discover how roles and norms influence behavior

Learn how group size affects behavior

MG6851 Principles of

Management

Organizational Behavior

Groups

Individuals

OB Focus OB Goals

Predict

Explain

MG6851 Principles of

Management

Three Componentsof an Attitude

AffectiveCognitive Behavioral

MG6851 Principles of

Management

Job-Related

Attitudes

Job

Involvement

Job

Satisfaction

Organizational

Commitment

MG6851 Principles of

Management

Cognitive Dissonance

DissonanceElements

Degree ofInfluence

RewardsInvolved

MG6851 Principles of

Management

Managing Attitudes on the Job

More Satisfied

Less Satisfied

Employees

Low

High

High

Low

ProductivityDissonance

MG6851 Principles of

Management

Style of

Decision Making Judging (J)

Perceiving (P)

Preference for

Decision Making Thinking (T)

Feeling (F)

Type of Social

Interaction Introvert (I)

Extrovert (E)

Preference for

Gathering Data Intuitive (N)

Sensing (S)

Myers-Briggs Type Indicator

MG6851 Principles of

Management

The “Big-Five”Personality

Model

Extroversion

Agreeableness

Conscientiousness

Emotional Stability

Openness

MG6851 Principles of

Management

Emotional Intelligence

Self-Awareness

Self-Management

Self-Motivation

Empathy

Social SkillsMG6851 Principles of

Management

Personality Traitsand Workplace Behavior

Self-

Esteem

Self-

Monitoring

Risk

Propensity

Machiavellian

Traits

Locus

of Control

MG6851 Principles of

Management

Holland’s Personality-Job Fit Theory

Type Personality Occupations

Realistic

Investigative

Social

Conventional

Enterprising

Artistic

Shy, Stable, Practical

Analytical, Independent

Sociable, Cooperative

Practical, Efficient

Ambitious, Energetic

Imaginative, Idealistic

Mechanic, Farmer,

Assembly-Line Worker

Biologist, Economist,

Mathematician

Social Worker,

Teacher, Counselor

Accountant, Manager

Bank Teller

Lawyer, Salesperson

Painter, Writer,

Musician

MG6851 Principles of

Management

A

I

S

C

E

R

Occupational Personality Types

MG6851 Principles of

Management

What Is Perception?

Object ContextPerceiver

MG6851 Principles of

Management

Attribution

Theory and

Individual

Behavior

External

External

External

Internal

Internal

Internal

Attribution

of Cause

Distinctiveness

Consensus

Consistency

High

Low

High

Low

High

Low

InterpretationObservation

MG6851 Principles of

Management

Halo Effect Stereotyping

Selectivity

Self-Fulfilling

ProphecyAssumed

Similarity

Judgmental

Shortcuts

MG6851 Principles of

Management

Involuntary

Behavior

Unlearned

Voluntary

Behavior

Learned

Operant Conditioning

MG6851 Principles of

Management

Social Learning

Theory Processes

Attention Retention

Motor

ReproductionReinforcement

MG6851 Principles of

Management

Positive Reinforcement

Negative Reinforcement

Punishment

Extinction

Shaping Behavior

MG6851 Principles of

Management

Informal Formal

What Is a Group?

Formally Established

Work Tasks

Occur Naturally

Friendships

Common Interests

MG6851 Principles of

Management

Why PeopleJoin Groups

Affiliation

Status

Goals

Security

Self-

Esteem

Power

MG6851 Principles of

Management

Basic Group Concepts

Acceptable Standards

of Behavior Shared

by the Members

of a Group

Expected Patterns of

Behavior Based on a

Given Position in a

Social Unit

Group Roles Group Norms

MG6851 Principles of

Management

Basic GroupConcepts

Status

Formal

Size

Small

Informal

Large

MG6851 Principles of

Management

Strong Increase

in Productivity

Moderate Increase

in Productivity

No Significant Effect

on ProductivityDecrease in

Productivity

Cohesiveness

Alig

nm

en

t o

f G

rou

p a

nd

Org

. G

oals

High Low

Cohesiveness-Productivity Relationship

High

Low

MG6851 Principles of

Management

Motivation

Any influence that triggers, directs or maintains behavior

Research is based upon different variables that affect motivation

Individual Differences

Organizational Contexts

Manager Behaviors

Process Theories

MG6851 Principles of

Management

Content Versus Process

Motivation Theories

Content theories

explain why people have different needs at different times

Process theories

describe the processes through which needs are translated into behavior

MG6851 Principles of

Management

Alderfer’s

ERG Theory

Maslow’s

Need Hierarchy

Content Theories of

Motivation

Self-

Actualization

Esteem

Belongingness

Safety

Physiological

Growth

Existence

Herzberg’s

Theory

Motivators

Hygienes

Need for

Achievement

Need for

Power

Need for

Affiliation

McClelland’s

Learned Needs

Relatedness

MG6851 Principles of

Management

Maslow’s Hierarchy

Each individual has needs, or feelings of deficiency that drive their behavior

Once a need is satisficed, then it is no longer motivating

Needs are in a hierarchy that an individual moves up as they satisfy levels of needs

MG6851 Principles of

Management

Practical Implications of

Content Theories

People have different needs at different times

Offer employees a choice of rewards -- a flexible reward system

Do not rely too heavily on financial rewards

they mainly address lower level needs MG6851 Principles of

Management

Maslow’s Hierarchy

Each individual has needs, or feelings of deficiency that drive their behavior

Once a need is satisfied, then it is no longer motivating

Needs are in a hierarchy that an individual moves up as they satisfy levels of needs

MG6851 Principles of

Management

Maslow’s Hierarchy

Adapted from Figure 14.2

Self-

Actualization

Esteem

Affiliation

Security

Physiological

14.3

MG6851 Principles of

Management

Levels of Needs

Physiological/Survival needs

Food, Clothing, Shelter, Air

Security

Feel safe, absence of pain, threat, or illness

Affiliation

friendship, company, love, belonging

first clear step up from physical needs

MG6851 Principles of

Management

Need levels (cont.)

Esteem Needs

self-respect, achievement, recognition, prestige

cues a persons worth

Self-Actualization

personal growth, self-fulfillment, realization of full potential

Where are YOU on the hierarchy???

MG6851 Principles of

Management

Alderfer’s ERG

Consolidates Maslow into 3 categories

Existence-physiological and security

Relatedness-affiliation

Growth-esteem and self-actualization

MG6851 Principles of

Management

ERG Model of Motivation

Frustration-Regression Satisfaction-Progression

Growth Needs

Relatedness Needs

Existence Needs

MG6851 Principles of

Management

Frustration-Regression

Differs from Maslow

When unable to satisfy upper level needs, the individual will revert to satisfying lower level needs

Interesting point from research....growth stimulates growth

MG6851 Principles of

Management

McClelland’s Learned

Needs

Needs are acquired through interaction with environment

Not a higherarchy, but degrees of each type of need or motive

MG6851 Principles of

Management

Types of Needs

N Ach-motive to meet some standard of excellence or to compete

N Aff-motive to develop and maintain close and meaningful relationships

N Pow-desire to influence and control others and the environment

MG6851 Principles of

Management

Herzberg’s Two Factor

Theory

Some variable prevent job dissatisfaction and some variables produce motivation

Hygiene factors-basic needs that will prevent dissatisfaction

light, temperature, pay, parking

Motivators

when present cause high levels of motivation

interesting work, advancement, growth, etc.MG6851 Principles of

Management

Herzberg’s Two Factor

TheoryHigh

Motivation

High

Hygienes

Adapted from Figure 14.4

Low High

Motivators

Low

Low Motivation

Dissatisfaction

Low Dissatisfaction

14.6

MG6851 Principles of

Management

Process Theories

Reinforcement Theory

Expectancy

Equity

Justice Theory

Goal Setting

MG6851 Principles of

Management

Types of Reinforcement

Positive Reinforcement-rewards

Punishment-Application of a negative outcome

Negative Reinforcement-removal of negative outcomes when behavior is performed

Extinction-absence of reinforcement (removal of positive reinforcement)

DrawbacksMG6851 Principles of

Management

Reinforcement Process

Source: From L. W. Porter and E. E. Lawler III.

Managerial Attitudes and Performance. Homewood,

Ill.: Irwin, 1968, p. 165. Used with permission

Stimulus(situation)

Response(behavior)

Consequences(rewards and punishments)

Future Behavior

14.9

MG6851 Principles of

Management

Types of Rewards

Extrinsic-external rewards such as money, fringe benefits, job security

Intrinsic-internal satisfaction outcomes from doing work

Satisfaction-employee‟s attitude about work situations

Intrinsic motivation and Intrigue??????

MG6851 Principles of

Management

Equity Theory

Individuals try to find a balance between their inputs and outputs relative to a referent other

However, a referent other is not always present

MG6851 Principles of

Management

Results of Inequity

Equity-I am being treated fairly

Under-rewarded-will look to increase rewards, or decrease inputs to match rewards

Over-rewarded-will change referent to match cognitions or increase inputs

Leaving and distortion

MG6851 Principles of

Management

Reinforcement Theory

Behaviors are functions of consequences that they produce

If a behavior is followed by a pleasant experience it will be repeated

In order to change behaviors the consequences must be changed

MG6851 Principles of

Management

Overreward Versus

Underreward Inequity

YouComparison

Other

Outcomes

Inputs

Outcomes

Inputs

Overreward

Inequity

Outcomes

Inputs

Outcomes

Inputs

Underreward

Inequity

MG6851 Principles of

Management

Goal Setting Theory

Assignment of specific, moderately difficult, and providing feedback will provide motivation to work

Employee participation

Receive rewards

Provide competencies for achievement

MG6851 Principles of

Management

High

Task

Perf

orm

an

ce

Low Moderate Challenging Impossible

Area of

Optimal

Goal

Difficulty

Effect of Goal Difficulty on

Performance

Goal DifficultyMG6851 Principles of

Management

Expectancy Theory

Combines goal setting and reinforcement theories

Three questions drive motivation

With effort can I perform?

With performance, will I be rewarded?

Do I value the rewards?

MG6851 Principles of

Management

Terms

Expectancy-belief that effort will lead to performance

Instrumentality-performance leads to rewards (does performance level matter)

Valence-value of rewards

MG6851 Principles of

Management

E-to-P

Expectancy

P-to-O

Expectancy

Outcomes

& Valences

Outcome 1+ or -

Effort Performance

Outcome 3+ or -

Outcome 2+ or -

Expectancy Theory of

Motivation

MG6851 Principles of

Management

Justice Theory

Procedural Justice - fairness issues concerning the methods, mechanisms, and processes used to determine outcomes

Distributive Justice - concerns the fairness of outcomes, includes equity theory

Interactional Justice - concerns the way one is treated informally during procedures and distributionsMG6851 Principles of

Management

How they interact

Procedural justice and interactional justice can buffer inequity to some level

Above that threshold, procedural and interactional justice do not matter

If equity is present, then interactional and procedural do not matter

Does order of procedural or interactional justice matter?

MG6851 Principles of

Management

JOB SATISFACTION

MG6851 Principles of

Management

ASPIRATIONMOTIVATION TO

WORK

JOB SATISFACTION

WORK PERFORMA

NCE

MG6851 Principles of

Management

WORK ASPIRATION &

SATISFACTION

Work Aspiration?

A desire or ambition to achieve something related to work

Work Satisfaction?

Job satisfaction describes how content an individual is with his or her job

MG6851 Principles of

Management

Aspiration & Satisfaction

Aspiration is related to motivation,which subsequently, influenceproductivity.

Positive Correlation between aspirationand motivation

Positive Correlation between aspirationand productivity

Workers with higher aspiration tend tobe more content with their work.

MG6851 Principles of

Management

Characteristics of Individual

with high aspiration

Work hard

Enjoy work

Responsible

Very focus

Confident

Have high standard

MG6851 Principles of

Management

Aspiration lead to

Motivation to work

There are various self-evident reasons why people work:

Work provides a source of income

A source of activity and stimulation

A source of social contacts

A means of structuring time

A source of self-fulfillment, and

A self-actualization

MG6851 Principles of

Management

Definitions - Job

Satisfaction

A pleasurable emotional state resulting from the appraisal of one‟s job.

An affective reaction to one‟s job

An attitude towards one‟s job

MG6851 Principles of

Management

JOB SATISFACTION

Hulin & Judge (2003) – Job satisfactionis an employee‟s affective reaction to ajob is based on a comparison of theactual outcomes derived from the jobwith those outcomes that are deservedor expected.

Davis (2004) – feeling of jobsatisfaction can change with time andcircumstances.MG6851 Principles of

Management

History

Hawthorne studies (1924-1933)

Novel changes in work conditions temporarily increase productivity.

Finding: people work for purposes other than pay (other factors)

Argument :

“Maslow Need hierarchy Theory “laid the foundation for job satisfaction theory (the theory explain that people seek to satisfy five specific needs in life)

MG6851 Principles of

Management

JOB SATISFACTION

Job satisfaction is based on attitudes, which in turn are shaped by values and ethics

Self-concept is one‟s attitude about oneself

Values do tend to influence, not necessarily affect, behavior, including whether or not behavior is ethical

Work

Values

A worker‟s personal convictions aboutwhat outcomes one should expect fromwork and how one should behave atwork.

The most general and long-lastingfeelings and beliefs people have thatcontribute to how they experiencework.

Values can be intrinsic (i.e., related tothe nature of work itself) or extrinsic(i.e., related to the consequences ofwork).

MG6851 Principles of

Management

INTRINSIC VS. EXTRINSIC WORK VALUES

Intrinsic Values

Interesting work

Challenging work

Learning new things

Making important contributions

Responsibility and autonomy

Being creative

Extrinsic Values

High pay

Job security

Job benefits

Status in wider community

Social contacts

Time with family

Time for hobbiesMG6851 Principles of

Management

Work Attitudes

Collections of feelings, beliefs, and thoughtsabout how to behave that people currentlyhold about their jobs and organizations.

Compared to values, attitudes are

More specific

Not as long lasting

Specific work attitudes:

Job satisfaction is the collection offeelings and beliefs that people have abouttheir current jobs.

Organizational commitment is the collectionof feelings and beliefs that people haveabout their organizations as a whole.

MG6851 Principles of

Management

MG6851 Principles of

Management

MG6851 Principles of

Management

Job

Satisfaction

Job satisfaction – a set of attitudestoward work

It is what most employees want fromtheir jobs

Job satisfaction affects absenteeism andturnover, which affect performance

Job satisfaction survey – process ofdetermining employee attitudes about thejob and work environment

Job satisfaction

People differ in what is important to them.

How employees feel about their jobs is highlyvariable

Individual differences in expectations.

The degree to which a job meets one‟sexpectation.

Hulin (1991) stated „jobs with responsibility maybe dissatisfying to some because if the stress andproblems that covary with responsibility; othersmay find responsibility a source of positiveaffects‟ (p.460)

MG6851 Principles of

Management

Job Satisfaction

The happier an individual is with theirjob the more satisfied they are saidto be.

Job satisfaction is not the same asmotivation, although it is clearly linked.

Job design aims to enhancejob satisfaction and performance, methods

(include job rotation, job enlargement andjob enrichment)

MG6851 Principles of

Management

The Nature of Job

Satisfaction

Definition: how people feel about theirjobs overall and about different aspects ofthem -- the extent to which they like theirjobs

Why is job satisfaction important?

Approaches to Job SatisfactionGlobal

Facet

MG6851 Principles of

Management

Multi-faceted nature of Job

Satisfaction

WorkSatisfaction

PaySatisfaction

PromotionSatisfaction

SupervisionSatisfaction

CoworkerSatisfaction

GeneralJob Satisfaction

MG6851 Principles of

Management

Antecedents of Job

Satisfaction

Environmental antecedents

job characteristics

role variables

role ambiguity

role conflict

• intrarole conflict

• extrarole conflict

Work-family conflict

Pay

Personal antecedents

Personality

negative affectivity

locus of control

Gender

Age

Genetics

Cultural and ethnic differences

Person-job fit

MG6851 Principles of

Management

Determinants of Job

Satisfaction

4. Supervision 5. Co-workers6. Attitude

toward work

2. Pay

3. Growth and

upward

mobility

1. The work

itself

CAUSES OF JOB SATISFACTION

Need Fulfillment

Satisfaction is based on the extent to which a job satisfies a person‟s needs.

Discrepancies

Satisfaction is determined by the extent to which an individual receives what he or she expects from a job.

Value Attainment

Satisfaction results from the extent to which a job allows fulfillment of one‟s work values.

MG6851 Principles of

Management

Causes of Job Satisfaction

Equity

Satisfaction is a function of how “fairly” an individual is treated at work.

Trait/Genetic Components

Satisfaction is partly a function of personal traits and genetic factors.

MG6851 Principles of

Management

Job Satisfaction – other

factors

Other influences on satisfaction include:

the management style and culture,

employee involvement,

empowerment and autonomous work groups.

Job satisfaction is a very important attitude which is frequently measured by organizations.

MG6851 Principles of

Management

Others (John & saks, 2001)

Discrepancy – discrepancy theory

Fairness – equity theory

Disposition

Compliment

Mentally challenging work

High pay

Promotion

People MG6851 Principles of

Management

MG6851 Principles of

Management

Theories of Job

Satisfaction

Each theory of job satisfaction takesinto account one or more of the fourmain determinants of job satisfactionand specifies, in more detail, whatcauses one worker to be satisfied with ajob and another to be dissatisfied.

MG6851 Principles of

Management

The Facet Model

Focuses primarily on work situation factors bybreaking a job into its component elements, or jobfacets, and looking at how satisfied workers arewith each.

A worker‟s overall job satisfaction is determined bysumming his or her satisfaction with each facet ofthe job.

Sample job facets : Ability utilization: the extent to which the job

allows one to use one‟s abilities. Activity: being able to keep busy on the job.Human relations supervision: the interpersonal

skills of one‟s boss.

MG6851 Principles of

Management

MG6851 Principles of

Management

DISCREPANCY - DISSATISFIED

MG6851 Principles of

Management

The Steady-State Theory

Each worker has a typical orcharacteristic level of job satisfaction,called the steady state orequilibrium level.

Different situational factors or eventsat work may move a workertemporarily from this steady state,but the worker will eventually returnto his or her equilibrium level.

MG6851 Principles of

Management

MG6851 Principles of

Management

Job Characteristics Theory

If employees have a high need for growth,specific job characteristics lead topsychological conditions that lead toincreased motivation, performance, andsatisfaction.

MG6851 Principles of

Management

Potential Effects of Job

Satisfaction

Job Performance

Turnover

Absence

Health And Well Being

Life Satisfaction

MG6851 Principles of

Management

Assessment of Job

Satisfaction

Job Descriptive Index

work

pay

promotion opportunities

supervision

coworkers

Minnesota Satisfaction Questionnaire

Intrinsic satisfaction

extrinsic satisfaction

Job in General Scale

similar to JDI, but measures global job satisfaction

Is global satisfaction the sum of the facets?

JDI and JIG say no

MSQ says yes

MG6851 Principles of

Management

COMMUNICATIONS

PROCESS

MG6851 Principles of

Management

COMMUNICATION

Communication is the process of sending and

receiving messages between parties

MG6851 Principles of

Management

Basic Model Of Communication

MG6851 Principles of

Management

MG6851 Principles of

Management

THE NATURE OF COMMUNICATION

1-Senders and Receivers

2-Transmitters and Receptor

3-Messages and Channels

4-Decoding, Meaning, and Encoding

5-Feedback

MG6851 Principles of

Management

Senders & Receivers

Each have goals and objectives

The sender may want to change the receiver’s mind

The receiver may not want to have his mind changed

MG6851 Principles of

Management

Transmitters and Receptors

is the equipment by which information is sent

Information can be sent verbally and nonverbally

MG6851 Principles of

Management

Messages and Channels

are the vehicles by which information is communicated.

direct expressions

symbolic representations

MG6851 Principles of

Management

Decoding, Meaning, and Encoding

Decoding is the process of translating messages from their symbolic form into interpretations that can be understood.

Meanings are the facts, ideas, feelings, reactions, or thoughts that exist whitin individuals, and act as a set of “filters” through which the decoded messages are interpreted.

Encoding is the process by which messages are put into symbolic form

MG6851 Principles of

Management

Feedbackis the process by which the receiver

“reacts” to the sender’s message

It is necessary to let the sender know that the message was

(a) actually received,(b) encoded, (c) ascribed with the same meaning that the

sender intended MG6851 Principles of

Management

BASIC PRINCIPLES OF COMMUNICATION

It is impossible to avoid communicating

Communication is largely nonverbal

Context affects communication

Meanings are in people, not in words

MG6851 Principles of

Management

BASIC PRINCIPLES OF COMMUNICATION (cont’d)

Communication is irreversible

Noise affects communication

Communication is circular

Creating common goal is essential

Communication has effects

MG6851 Principles of

Management

VERBAL AND NONVERBAL MESSAGES

Basic ways in which people send and receive messages

MG6851 Principles of

Management

Verbal Messages

Messages sent verbally are messsages expressed in words

The science of semantics

MG6851 Principles of

Management

Nonverbal MessagesAbout 65 percent of the meanings people

get from a communication

VoicePhysical MovementsSpace

“your lips tell me „no,no‟ but there is „yes,yes‟ in your eyes”

MG6851 Principles of

Management

ADAPTING MESSSAGES TO PURPOSE AND AUDIENCE

increase the probabilty that communication will be successful

Language

Format

Style

MG6851 Principles of

Management

Language

Appropriate language is the language that has been adapted to the

receiver while retaining a naturalness with respect to the sender

MG6851 Principles of

Management

Format

Depends on the receiver (audience) and on the purpose.

MG6851 Principles of

Management

DISTORTION BARRIERS

1. Distractions

2. Semantic Problems

3. Absence Of Feedback

4. Climate

5. Status And Power Differences

MG6851 Principles of

Management

Distractions

It occurs where people

are constantly coming

in and leaving for one

reason or another, and

experinced the

frustration that is

created by this

distracting traffic flow.

MG6851 Principles of

Management

Semantic Problems

Distortion in communication comes from semantics- the use of words or expressions which have a different meaning for the sender or receiver.

Created when communicators use technical jargon- usage common to a particular field or specialization.

MG6851 Principles of

Management

Status And Power DifferencesDifferences incommunications arelikely to parallel thedifferences in power.

Imbalance or asymmetry

in negotiating powerleads the high powerparty to performsignificantly better thanthe low power party.

MG6851 Principles of

Management

GUIDELINES FOR EFFECTIVE COMMUNICATION

Be Exact

Use the word “is” carefully

Avoid Overgeneralization

Be sensitive to connotative meaning

Do not to overuse you or your

Count from 1 to 10

MG6851 Principles of

Management

GUIDELINES FOR EFFECTIVE COMMUNICATION

Recognize that you don’t know all the answers to all questions

Always remember that what others may not mean the way we think they mean it

Focus on common interests rather than differences

Think positive

MG6851 Principles of

Management

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The Dangers of Ineffective Communication

• Because managers must communicate with others to perform their various roles and tasks, they devote a lot of time to this activity.

• When managers and other members of an organization are ineffective communicators, organizational performance suffers, and any competitive advantage the organization might have is likely to be lost

• Poor communication sometimes can be downright dangerous and even lead to tragic and unnecessary loss of human life

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Information Richness and Communication Media

• To be effective communicators, managers need to select an appropriate communication medium for each message they send. • There is no one best communication medium for managers to

rely upon. • When choosing a communication medium, managers should

consider three factors.• Information richness: The amount of information that a

communication medium can carry and the extent to which the medium enables the sender and receiver to reach a common understanding

• The second factor is the amount of time needed for communication.• The third factor is the need for a paper or electronic trail to serve as

evidence that a document was sent or received.

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The Information Richness of Communication Media

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Information Richness and Communication Media

• Face-to-face communication• Has highest information richness• Can take advantage of verbal communication and nonverbal

signals• Provides for instant feedback

• Management by wandering around: A face-to-face communication technique in which a manager walks around a work area and talks informally with employees about issues and concerns

• Face-to-face communication should not always be the medium of choice for managers because of the large amount of time it consumes and the lack of a paper or electronic trail.

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Information Richness and Communication Media

• Spoken communication electronically transmitted:

• Has the second highest information richness

• Telephone conversations are information rich with tone of voice, sender‟s emphasis, and quick feedback - but provide no visual nonverbal cues

• Managers also can get quick feedback over the telephone and answer questions, thereby ensuring that a mutual understanding is reached.

• Voice mail systems also allow managers to send and receive verbal electronic messages.

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Information Richness and Communication Media

• Personally addressed written communication:• Has a lower richness than the verbal forms of communication -

but still is directed at a given person• Excellent media for complex messages requesting follow-up

actions by receiver

• Because personally addressed written communication is addressed to a specific person, there is a good chance that the person will open and read it. Also, the sender can write the message in a way that the receiver is most likely to understand.

• Even if managers use face-to-face communication, a follow-up in writing is often needed.

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Information Richness and Communication Media

• E-mail also fits into this category because senders and receivers are communicating through personally addressed written words. It is important to follow e-mail etiquette.

• The widespread use of e-mail has been accompanied by its growing abuse. • To avoid e-mail abuse, managers need to develop a clear policy

specifying what company e-mail should be used for and what is out of bounds.

• Managers also should clearly communicate this policy to all members of an organization.

• Employees should also be informed of procedures that will be used when e-mail abuse is suspected and the consequences that will result when e-mail abuse is confirmed.

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Information Richness and Communication Media

• Impersonal written communication:

• Has the lowest information richness.

• Good for messages to many receivers where little or feedback is expected (e.g., newsletters, reports)

• Information overload: A superabundance of

information that increases the likelihood that important information is ignored or overlooked and tangential information receives attention

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126

Advances in Information Technology

• Product life cycle: The way demand for a product changes in a predictable pattern over time

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127

Figure 13.4 - A Product Life Cycle

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128

Figure 13.5 - A Four-Tier Information System with Cloud Computing

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Figure 13.6 - Four Computer-Based Management Information Systems

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130

The Organizational Hierarchy: The Traditional Information System

• Traditionally, managers have used the organizational hierarchy as the main system for gathering information necessary to make decisions and coordinate and control activities

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The Organizational Hierarchy: The Traditional Information System

• Several drawbacks

• Can take a long time for information to travel up the hierarchy and for decisions to travel back down

• Information distortion: Changes in meaning that occur as information passes through a series of senders and receivers

• As an organization grows larger, its hierarchy lengthens and this tall structure can make the hierarchy a very expensive information system

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Limitations of Information Systems

• A vital human element of communication may be lost

• Very rich information is required to coordinate and control an enterprise and to make informed decisions, far beyond that which can be quantified and aggregated

• The importance of information richness is a strong argument in favor of using electronic communication to support face-to-face communication, not to replace it