Organizational Behavior and HR Management

1. Organizational Behavior and HR Management Motivation and Leadership Across Cultures

2. Overview Motivation Across Cultures The Nature of Motivation Assumptions about Motivation Theories of Motivation Leadership Across Cultures What is Leadership? Foundations of Leadership Leadership Behaviors and Styles Leadership in an International Context Recent Findings

4. Motivation A psychological process through which unsatisfied wants or needs lead to drives that are aimed at goals or incentives. The Nature of Motivation

5. Assumptions about Motivation The Universalist Assumption All people are motivated to pursue goals the value Assumptions about Content and Process Content theories that explain work motivation in terms of what arouses, energizes, or initiates employee behavior. Process theories that explain work motivation by how employee behavior is initiated, redirected, and halted.

6. Theories of Motivation Content Theories Maslow’s Hierarchy of Needs Hertzberg’s Two-Factor Theory Achievement theories Process Theories Goal Setting Theory Expectancy Theory Equity Theory

7. Maslow’s Need Hierarchy

8. The Hierarchy-of-Needs Theory Basic assumptions: Lower-level needs must be satisfied before higher-level needs become motivators A need that is satisfied no longer serves as a motivator There are more ways to satisfy higher-level than there are ways to satisfy lower-level needs

9. The Hierarchy-of-Needs Theory International Findings: Haire study indicated all these needs were important to the respondents across cultures International managers (not rank-and-file employees) indicated the upper-level needs were of particular importance to them Findings for select country clusters (Latin Europe, United States/United Kingdom, and Nordic Europe) indicated autonomy and self-actualization were the most important and least satisfied needs for the respondents Another study of managers in eight East Asian countries found that autonomy and self-actualization in most cases also ranked high

10. The Hierarchy-of-Needs Theory Other international findings Some researchers have suggested modifying Maslow’s “Western-oriented” hierarchy by reranking the needs Asian cultures emphasize the needs of society Chinese hierarchy of needs might have four levels ranked from lowest to highest: Belonging (social) Physiological Safety Self-actualization (in the service of society)

11. The Hierarchy-of-Needs Theory Hofstede’s research indicates: Self-actualization and esteem needs rank highest for professionals and managers Security, earnings, benefits, and physical working conditions most important to low-level, unskilled workers Job categories and levels have a dramatic effect on motivation MNCs should focus on giving physical rewards to lower-level personnel and creating a climate of challenge, autonomy, the ability to use one’s skills, and cooperation for middle- and upper-level personnel.

12. Hertzberg’s Two-Factor Theory Motivators Job-content factors such as achievement, recognition, responsibility, advancement, and the work itself Hygiene Factors Job-context variables such as salary, interpersonal relations, technical supervision, working conditions, and company policies and administration

13. Hertzberg’s Two-Factor Theory

14. Hertzberg’s Two-Factor Theory Hygiene factors help to prevent dissatisfaction (dis-ease) – thus the term hygiene as it is used in the health field Only motivators lead to satisfaction Efforts to motivate human resources must provide: Recognition A chance to achieve and grow Advancement Interesting work

15. Hertzberg’s Two-Factor Theory International findings: One type of study consists of replications of Herzberg’s research in a particular country Do managers in country X give answers similar to those in Herzberg’s original studies? The others are cross-cultural studies focusing on job satisfaction What factors cause job satisfaction and how do these responses differ from country to country?

16. Hertzberg’s Two-Factor Theory Two-factor replications George Hines surveyed of 218 middle managers and 196 salaried employees in New Zealand using ratings of 12 job factors and overall job satisfaction – he concluded “the Herzberg model appears to have validity across occupational levels” A similar study was conducted among 178 Greek managers – this study found that overall Herzberg’s two-factor theory of job satisfaction generally held true

17. Hertzberg’s Two-Factor Theory Cross-cultural satisfaction studies Motivators tend to be more important to job satisfaction than hygiene factors For MBA candidates from four countries ranked hygiene factors at the bottom and motivators at the top For lower- and middle-management personnel attending management development courses in Canada, the United Kingdom, France, and Japan job content may be more important than job context

18. Achievement Motivation Theory Characteristic profile of high achievers: They like situations in which they take personal responsibility for finding solutions to problems. Tend to be moderate risk-takers rather than high or low risk-takers. Want concrete feedback on their performance. Often tend to be loners, and not team players.

19. Achievement Motivation Theory Polish industrialists were high achievers scoring 6.58 (U.S. managers’ scored an average of 6.74) Managers in countries as diverse as the United States and those of the former Soviet bloc in Central Europe have high needs for achievement Later studies did not find a high need for achievement in Central European countries Average high-achievement score for Czech industrial managers was 3.32 (considerably lower than U.S. managers)

20. Achievement Motivation Theory May need to be modified to meet the specific needs of the local culture: The culture of many countries does not support high achievement Anglo cultures and those that reward entrepreneurial effort do support achievement motivation and their human resources should probably be managed accordingly

21. Goal-Setting Theory A process theory that focuses on how individuals go about setting goals and responding to them and the overall impact of this process on motivation Specific areas that are given attention in goal-setting theory include: The level of participation in setting goals Goal difficulty Goal specificity The importance of objective Timely feedback to progress toward goals

22. Goal-Setting Theory Unlike many theories of motivation, goal setting has been continually refined and developed There is considerable research evidence showing that employees perform extremely well when they are assigned specific and challenging goals that they have had a hand in setting Most of these studies have been conducted in the United States – few have been carried out in other cultures

23. Goal-Setting Theory Norwegian employees shunned participation and preferred to have their union representatives work with management in determining work goals Researchers concluded that individual participation in goal setting was seen as inconsistent with the prevailing Norwegian philosophy of participation through union representatives In the United States employee participation in setting goals is motivational – it had no value for the Norwegian employees in this study

24. Expectancy Theory A process theory that postulates that motivation is influenced by a person’s belief that Effort will lead to performance Performance will lead to specific outcomes, and The outcomes will be of value to the individual.

25. Expectancy Theory Predicts that high performance followed by high rewards will lead to high satisfaction Does this theory have universal application? Eden found some support for it while studying workers in an Israeli kibbutz Matsui and colleagues found it could be successfully applied in Japan

26. Equity Theory When people perceive they are being treated equitably it will have a positive effect on their job satisfaction If they believe they are not being treated fairly (especially in relation to relevant others) they will be dissatisfied which will have a negative effect on their job performance and they will strive to restore equity.

27. Equity Theory Equity perceptions among managers and nonmanagers in an Israeli kibbutz production unit Everyone was treated the same but managers reported lower satisfaction levels than the workers Managers perceived their contributions to be greater than other groups in the kibbutz and felt under compensated for their value and effort

28. Equity Theory Employees in Asia and the Middle East often readily accept inequitable treatment in order to preserve group harmony Men and women in Japan and Korea (and Latin America) typically receive different pay for doing the same work – due to years of cultural conditioning women may not feel they are treated inequitably

29. Motivation Applied Job design Work centrality Value of work Job satisfaction Rewards Equity vs. equality Individual vs. group rewards Financial vs. QOL incentives

30. What is Leadership? The process of influencing people to direct their efforts toward the achievement of some particular goal or goals. Effective leadership involves the ability to inspire and influence the thinking, attitudes, and behavior of people.

31. Foundations for Leadership

32. Foundations for Leadership

33. Foundations for Leadership

34. Leadership Behaviors and Styles

35. Leader–Subordinate Interactions

36. Leader–Subordinate Interactions

37. Leader–Subordinate Interactions

38. Likert’s Styles of Leadership Exploitative Autocratic Little trust or interaction; top-down; physiological motivations Benevolent Autocratic Master-servant; policing through fear; motivation through economic needs Participative Some trust and moderate interaction; discussion of goals/orders; use of higher order motivations Democratic Complete trust and interaction; participatory decision-making; motivations for self actualization

39. Leadership Style What is your leadership style?

40. Leadership in the International Context How do leaders in other countries attempt to direct or influence their subordinates? Are their approaches similar to those used in the United States?

41. Leadership in the International Context Both US and Chinese managers support Theory Y, but for different reasons. In US, Theory Y managers believe that satisfaction of higher order needs is a motivator In China, Theory Y managers believe that all employees should rise together both economically and culturally, in line with philosophy of Chairman Mao.

42. Leadership in China Importance that the respondents in one study assigned to three areas:

43. Leadership in China The “New Generation” group scored significantly higher on individualism than did the current and older generation groups scored significantly lower than the other two groups on collectivism and Confucianism The “New Generation” group Grew up in period of relative openness and freedom, often called the “Social Reform Era” had greater exposure to Western societal influences

44. Japanese Leadership Approaches Japan is well known for its paternalistic approach to leadership Japanese culture promotes a high safety or security need, which is present among home country–based employees as well as MNC expatriates Japanese managers have much greater belief in the capacity of subordinates for leadership and initiative than do managers in most other countries – only managers in Anglo-American countries had stronger feelings in this area

45. Leadership in the Middle East Are Middle Eastern and Western leadership styles similar? Is this due to close business ties between the West and this oil-rich area as well as the increasing educational attainment? In UAE, organizational culture, level of technology, level of education, and management responsibility were good predictors of decision-making styles Tendency toward participative leadership styles among young Arab middle managers, as well as among highly educated managers of all ages

46. European Leadership Practices Most European managers tend to reflect more participative and democratic attitudes – but not in every country French and Germans prefer more authoritarian approach Organizational level, company size, and age seem to greatly influence attitudes toward leadership Many of the young people in this study now are middle-aged – European managers in general are highly likely to be more participative than their older counterparts of the 1960s and 1970s

47. Recent Findings and Insights

48. Transformational Leaders Transformational leaders are characterized by four interrelated factors:

49. Transformational Leaders Transformational leaders are characterized by four interrelated factors:

50. Transformational Leaders

51. Transformational Leaders Transformational leaders are characterized by four interrelated factors:

52. Transformational, Charismatic and Transactional Leadership Bernard Bass examined transformational, charismatic, and transactional leadership behavior across cultures very little (10%) of the variance in leadership behavior is due to culture For instance, transformational leaders in Honduras would be more directive than their counterparts in Norway. concluded that there is far more universalism in leadership than believed previously

53. Summary Leadership is culturally influenced, but there appears to be more universalism in leadership than previously believed. Globalization is resulting to some degree in a convergence of work values. A participative approach to leadership appears to be gaining in popularity across cultures, especially among young managers. This approach may gain in importance as countries become more economically advanced