INDIVIDUAL DIFFERENCES

1. INDIVIDUAL DIFFERENCES Jensen Shoes

2. JENSEN SHOES • What perceptual biases might have influenced interactions & behaviors? • How might an interactive self fulfilling prophecy have operated in this situation? • What would Brooks have had to do differently to result in a more effective working relationship? • What would Kravitz have had to do differently to result in a more effective working relationship?

3. IMPROVING THE RELATIONSHIP: BROOKS • Communicate more frequently, directly, completely and openly before negative emotions build up. • Attempt to identify with the broader goals of the organization and demonstrate this to supervisor. • Make distinction between biased behavior that is knowing and that which is unconscious. • Seek first to understand!

4. IMPROVING THE RELATIONSHIP: KRAVITZ • Verify own open-mindedness by asking herself questions • Ask more questions rather than assuming she knows what motivates direct reports or where their skills and interests lie. • Look beyond the surface when assessing others abilities and motivations. • Manage up as well as down the organization. • Reflect upon the negative ways that different styles, personalities and tendencies interact. • Seek first to understand!

5. PERCEPTION IMPLICATIONS:OUR EMPLOYEES • Leaders must be attuned to: • The perceived realities of their team • The fact that perceived and objective realities may not mesh • The idea that people respond to the perceived reality • Managers must understand the attributions employees make. • No two people in the same situation will perceive it in exactly the same way. • Have conflicting parties describe their perceptions.

6. INDIVIDUAL DIFFERENCES Personality

7. PERSONALITY • Unique set of traits and characteristics that are relatively stable over time and determine a person’s preferences and behavior. • Does personality matter? • Implication? • Adjust styles/practices to the personality • Consider personality when assigning jobs/teams • Which dimensions of personality?

8. Emotional Intelligence • Ability to detect, express, and manage emotion in oneself and others. Other (Social Competence) Self (Personal Competence) Recognition of emotions Regulation of emotions

9. Emotional Intelligence • Some suggest that EI is the best predictor of work success • It’s “learnable” • It’s related to communication, motivation (self and others), effective leadership (Hendrie Weisinger, “Emotional Intelligence at Work” (Jossey-Bass, 1998).

10. SELF-ESTEEM (SELF CONCEPT) • How we perceive ourselves in terms of our abilities, competencies, and effectiveness • Global, role-specific, job-based, organization-based • High self esteem is related to higher performance, commitment, loyalty, and longevity. • What can managers do to foster high self esteem in their employees?

11. FOSTERING SELF-ESTEEM(SELF CONCEPT) • Reaffirm, provide positive feedback • Constructive criticism • Empower/trust • Theory? • Small wins

12. LOCUS OF CONTROL • The extent to which people believe their actions determine what happens to them in life. • Internal • External • Why is locus of control important? • Performance? • Incentive Systems? • What can managers do to enhance employees’ locus of control?

13. LOCUS OF CONTROL • Ensure performance is under employee control • Show Connection • Attributions?

14. THE “BIG FIVE” (CANOE):Conscientiousness • The degree to which a person is dependable, organized, thorough, perseverant, honest • Most consistent personality predictor of performance • Also predicts lack of problem behavior

15. THE “BIG FIVE”: Agreeableness • The extent to which a person is polite, good natured, flexible, cooperative, trusting. • May predict job performance in jobs…

16. THE “BIG FIVE”: Agreeableness • The extent to which a person is polite, good natured, flexible, cooperative, trusting. • May predict job performance in jobs… • Teamwork; customer relations

17. THE “BIG FIVE”:Neuroticism (Emotional Stability) • The degree to which a person is anxious, depressed, moody, emotionally unstable, temperamental. • May predict job performance in what type of jobs? • High stress (e.g., customer relations, public safety)

18. THE “BIG FIVE”: Openness • The degree to which a person is imaginative, curious, flexible, open to change. • May predict job performance where? • Rapid frequent change; Innovation • Training

19. THE “BIG FIVE”: Extraversion • The degree to which a person is sociable, talkative, assertive, active, ambitious. • May predict job performance in what type of jobs?

20. THE “BIG FIVE”: Extraversion • The degree to which a person is sociable, talkative, assertive, active, ambitious. • May predict job performance in what type of jobs? • Extensive interaction (management, sales)

21. JUNGS TYPOLOGY • 16 personality types based on 4 sets of preferences • Extraversion vs. Introversion • Sensation vs. Intuition (N)—Perception • How a person becomes aware of ideas, facts • Sensation: practical, orderly, precise, unambiguous • Intuition: future oriented, dislike precision--jump to conclusions, inspiration • Thinking vs. Feeling—Judgment • Making judgments about perceptions • Thinking: Analytic and logical, impersonal; principles over people • Feeling: Subjective on the basis of values; • Perception vs. Judgment

22. SELF-PERCEPTION • For each individual, discuss: • Have you taken the assessment before? If so, were the results the same? • Do you agree with the results? • Do group members agree with your results? • Were there any differences between self perceptions and perceptions of others? • What do the results suggest your strengths and weaknesses are? • For the group: • Based on these results, what are some potential strengths and weaknesses of the group? • Where might there be potential areas of synergy? Where might there be potential areas for conflict?

23. MOTIVATION

24. MOTIVATION DEFINED • Willingness to exert high levels of effort to reach organizational goals.

25. Good to Great (by Jim Collins) • “Motivating people is the greatest waste of time managers engage in. If you have the right people on the bus, you don’t need to worry about them being motivated.”

26. BASIC ASSUMPTIONS • Everyone is motivated • Key? • Two types of motivation • Intrinsic • Extrinsic

27. TYPES OF MOTIVATION • Extrinsic Motivation: • "What gets rewarded gets done" • Based on extrinsic/tangible rewards an/or punishment • Intrinsic Motivation: • "What is rewarding gets done" • Based on intrinsic/intangible rewards

28. Need (Maslow & ERG) Equity Reinforcement Expectancy Theory Goal-Setting Theory Motivation Theories

29. Needs (stage of development) • Maslow • Self actualization • Self esteem • Social (love) • Safety • Physiological • Alderfer (ERG) • Growth • Relatedness • Existence

30. NEED THEORIES OF MOTIVATION • What are the implications of need-based theories for managers?

31. EQUITY THEORY • People compare their outcome/input ratio to that of others • Conclusions • Ratios are equal (equity exists) • Ratios are unequal (inequity exists)

32. RESPONSES TO EQUITY/INEQUITY • Equity: Maintenance • Inequity: • Change Inputs • Change Outcomes • Quit

33. Forms of Justice

34. REINFORCEMENT THEORY • Behavior is a function of consequences • Behavior that is rewarded persists • To increase behavior • Positive reinforcement • negative reinforcement

35. REINFORCEMENT THEORY • To reduce behavior • Extinction

36. BUT WE REWARD: Quarterly earnings Making the numbers Shipping on time Reporting good news; agreeing with the boss Individual effort WE HOPE FOR: Long-term growth Setting challenging goals Total Quality Candor Teamwork REWARDING B

37. REINFORCEMENT THEORY • To reduce behavior • Extinction • Punishment • Immediacy is crucial • Implications?

38. EXPECTANCY THEORY People are motivated to do that which they believe is possible and valuable

39. EXPECTANCY THEORY People are motivated to do that which they believe is possible and valuable • Expectancy: Belief that you can perform • Instrumentality: Belief that performance will lead to an outcome • Valence: Value of the outcome

40. GOAL SETTING THEORY(Didn’t explicitly discuss) • People naturally set goals • Benefits of Goals: • Increase effort • Direct effort • Increase persistence • Most effective goals are:

41. SMARTER Goals(Didn’t explicitly discuss) • Specific • Measurable • Improve conflict management process vs. • 80% reduction in grievances filed by second quarter • Accepted (participative) • Realistic • Tough (“stretch targets”) • Engaging • Rewarded

42. Effective Rewards & Incentive Systems: • Recognize Individual Differences • Effective Goal Setting • Clearly defined measurable targets and expectations • Realistic stretch • Collaboratively set • Remove obstacles/barriers • Link meaningful/valued rewards to desired behavior • Those that fulfill strategic objectives; avoid undesirables • Reward ASAP after behavior • Check the system for equity, fairness, consistency • Remember money is only the beginning

43. NORDSTROMS • Using theories of motivation & related keys to effective incentive systems, evaluate the Incentive system in place at Nordstroms. • What do you see as its strengths? • Any concerns/questions regarding the system? • Are Nordstrom employees pressured inappropriately by the sales-per-hour system? By management? • What (if any) changes would you recommend?

44. NORDSTROMS • Using theories of motivation & related keys to effective incentive systems, evaluate the Incentive system in place at Nordstroms. • What do you see as its strengths?

45. “This is Your Business. Treat it Like Your Own Business.” Highest sales productivity Earnings > $80,000 Compound growth in sales, earnings, stores sq. ft. Highly, educated workforce NORDSTROMS

46. NORDSTROMS • Using theories of motivation & related keys to effective incentive systems, evaluate the Incentive system in place at Nordstroms. • What do you see as its strengths? • Any potential concerns?

47. “It’s fear that Provides Great Customer Service” Local 1001 publicity campaign Union complaint with Washington Dept. L & I NLRB charges $15 million reserve against earnings shareholder class action suit employee class action suit Wall Street Journal story 60 Minutes TV story “This is Your Business. Treat it Like Your Own Business.” Highest sales productivity Earnings > $80,000 Compound growth in sales, earnings, stores sq. ft. Highly, educated workforce NORDSTROMS

48. NORDSTROMS • Are Nordstrom employees pressured inappropriately by the sales-per-hour system? By management?

49. NORDSTROMS

50. NORDSTROMS • Using theories of motivation & related keys to effective incentive systems, evaluate the Incentive system in place at Nordstroms. • What do you see as its strengths? • Any concerns/questions regarding the system? • Are Nordstrom employees pressured inappropriately by the sales-per-hour system? By management? • What (if any) changes would you recommend?