Instructor Manual For Essentials of Organizational Behaviour Third Canadian Edition

INSTRUCTOR’S MANUAL Michael Halinski Ryerson University Essentials of Organizational Behaviour Third Canadian Edition Stephen P. Robbins San Diego State University Timothy A. Judge University of Notre Dame Katherine E. Breward University of Winnipeg ISBN 978-0-13-731781-3 Copyright © 2023 Pearson Canada Inc., Toronto, Ontario. All rights reserved. This work is protected by Canadian copyright laws and is provided solely for the use of instructors in teaching their courses and assessing student learning. Dissemination or sale of any part of this work (including on the Internet) will destroy the integrity of the work and is not permitted. The copyright holder grants permission to instructors who have adopted Essentials of Organizational Behaviour by Robbins/Judge/Breward, to post this material online only if the use of the website is restricted by access codes to students in the instructor’s class that is using the textbook and provided the reproduced material bears this copyright notice. Copyright © 2023 Pearson Canada Inc. Contents Chapter 1 What Is Organizational Behaviour? 1-1 Chapter 2 Organizational Culture 2-1 Chapter 3 Diversity in Organizations 3-1 Chapter 4 Attitudes, Emotions, Moods, and Stress Management 4-1 Chapter 5 Personality and Values 5-1 Chapter 6 Perception and Individual Decision Making 6-1 Chapter 7 Motivation 7-1 Chapter 8 Foundations of Group Behaviour 8-1 Chapter 9 Understanding Work Teams 9-1 Chapter 10 Communication 10-1 Chapter 11 Leadership 11-1 Chapter 12 Power and Politics 12-1 Chapter 13 Conflict and Negotiation 13-1 Chapter 14 Organizational Change 14-1 Chapter 1 What Is Organizational Behaviour? Copyright © 2023 Pearson Canada Inc. 1-1 Chapter 1 What Is Organizational Behaviour? Chapter Overview This chapter introduces the concept of organizational behaviour. The focus of the text is that coupling individual understanding of behaviour gained through experience with that gained through systematic OB analysis will help managers become more effective. Many of the important challenges being faced by today’s managers are described, as are the three levels of OB study. The outline of the text is described in relation to these three levels. Chapter Objectives After studying this chapter, the student should be able to: 1.1 Define organizational behaviour (OB) and discuss why the interpersonal skills learned through its study are important. 1.2 Assess the importance of using a scientific approach to OB. 1.3 Identify the major behavioural science disciplines that contribute to OB. 1.4 Explain why few absolutes apply to OB. 1.5 Describe the challenges and opportunities managers face when applying OB concepts in their workplaces. 1.6 Compare the three levels of analysis in this text’s OB model. Suggested Lecture Outline I. ORGANIZATIONAL BEHAVIOUR AND THE IMPORTANCE OF INTERPERSONAL SKILLS A. Until the late 1980s, business school curricula emphasized the technical aspects of management, focusing on economics, accounting, finance, and quantitative techniques. 1. Course work in human behaviour and people skills received relatively less attention. 2. During the past three decades, however, business faculty have come to realize the role that understanding human behaviour plays in determining a manager’s effectiveness, and required courses on people skills have been added to many curricula. B. Developing managers’ interpersonal skills also helps organizations attract and keep high-performing employees. 1. Regardless of labour market conditions, outstanding employees are always in short supply. 2. Companies known as good places to work have a big advantage. 3. A recent survey of hundreds of workplaces, and over 200,000 respondents, showed the social relationships among co-workers and supervisors were strongly related to overall job satisfaction. Chapter 1 What Is Organizational Behaviour? Copyright © 2023 Pearson Canada Inc. 1-2 a. Positive social relationships also were associated with lower stress at work and lower intentions to quit. b. Having managers with good interpersonal skills is likely to make the workplace more pleasant, which in turn makes it easier to hire and keep qualified people. c. Creating a pleasant workplace also appears to make good economic sense. Companies with reputations as good places to work have been found to generate superior financial performance. 4. We have come to understand that in today’s competitive and demanding workplace, managers can’t succeed on their technical skills alone. a. They also have to have good people skills. b. This resource has been written to help both managers and potential managers develop those people skills. C. We’ve made the case for the importance of people skills. But neither this resource nor the discipline on which it is based is called “people skills.” D. The term that is widely used to describe the discipline is organizational behaviour. 1. Organizational Behaviour (OB) studies the influence that individuals, groups, and structure have on behaviour within organizations. The chief goal of OB is to apply that knowledge toward improving an organization’s effectiveness. 2. OB studies three determinants of behaviour in organizations: a. individuals b. groups c. structure 3. OB applies the knowledge gained from this study to make organizations work more effectively. 4. This text will focus on: a. motivation b. leader behaviour and power c. interpersonal communication d. group structure and processes e. attitude development and perception f. change processes g. conflict and negotiation h. work design II. COMPLEMENTING INTUITION WITH SYSTEMATIC STUDY A. People develop intuitive understandings of the behaviours of other people through experience. This experiential, common sense method of “reading” human behaviour can often lead to erroneous predictions. B. You can improve your predictive ability by taking the systematic approach to the study of human behaviour. C. The fundamental assumption of the systematic approach is that human behaviour is not random. There are fundamental consistencies that underlie the behaviour of all individuals, and these fundamental consistencies can be identified and then modified to reflect individual differences. 1. Scientific study of behaviour means: examining relationships, attempting to attribute causes and effects, and basing our conclusions on scientific evidence – that is, on data gathered under controlled conditions and measured and interpreted in a reasonably rigorous manner. Chapter 1 What Is Organizational Behaviour? Copyright © 2023 Pearson Canada Inc. 1-3 2. Evidence-based Management (EBM): This complementary approach to systematic study involves basing managerial decisions on the best available scientific evidence. Managers must become more scientific about how they think about managerial problems and not rely on instinct. 3. Intuition: your “gut feelings” about “what makes others tick.” This natural ability to guess how people will react is most accurate when coupled with systematic thinking and evidence-based management. D. Our goal is to teach you how to use the scientific study of OB to enhance your intuitive understanding of behaviour and improve your accuracy in explaining and predicting behaviour in the workplace. E. Big data now makes effective decision making and managing human resources easier. Managers use big data to define objectives, develop theories of causality, and test the theories to determine which employee activities are relevant to the objectives. III. DISCIPLINES THAT CONTRIBUTE TO THE OB FIELD A. Organizational behaviour is an applied behavioural science built on contributions from a number of behavioural disciplines, mainly psychology, social psychology, sociology, anthropology, and increasingly, political science and neuroscience. 1. Psychology’s contributions have been mainly at the individual or micro level of analysis, while the other disciplines have contributed to our understanding of macro concepts such as group processes and organization. 2. Exhibit 1-1 is an overview of the major contributions to the study of organizational behaviour. B. Psychology: seeks to measure, explain, and sometimes change behaviour of humans and other animals. 1. Those who have contributed and continue to add to the knowledge of OB are: a. learning theorists b. personality theorists c. counselling psychologists d. industrial and organizational psychologists. 1) Early industrial/organizational psychologists studied the problems of fatigue, boredom, and other working conditions that could impede efficient work performance. 2) More recently, their contributions have expanded to include learning, perception, personality, emotions, training, leadership effectiveness, needs and motivational forces, job satisfaction, decision-making processes, performance appraisals, attitude measurement, employeeselection techniques, work design, and job stress. C. Social psychology: generally considered a branch of psychology; blends concepts from both psychology and sociology to focus on peoples’ influence on one another. 1. One major study area is change—how to implement it and how to reduce barriers to its acceptance. 2. Social psychologists also contribute to measuring, understanding, and changing attitudes; identifying communication patterns; and building trust. 3. Finally, they have made important contributions to our study of group behaviour, power, and conflict. D. Sociology: studies people in relation to their social environment or culture. Chapter 1 What Is Organizational Behaviour? Copyright © 2023 Pearson Canada Inc. 1-4 1. While psychology focuses on the individual, sociology studies people in relation to their social environment or culture. a. Sociologists have contributed to OB through their study of group behaviour in organizations, particularly formal and complex organizations. b. Perhaps most importantly, sociologists have studied organizational culture, formal organization theory and structure, organizational technology, communications, power, and conflict. E. Anthropology: the study of societies to learn about human beings and their activities. 1. Anthropologists’ work on cultures and environments has helped us understand differences in fundamental values, attitudes, and behaviour between people in different countries and within different organizations. 2. Much of our current understanding of organizational culture, organizational environments, and differences among national cultures is a result of the work of anthropologists or those using their methods. 3. As anthropology as a discipline emerged out of a colonial mindset and tradition that viewed non-Western societies as ‘primitive’, many of the insights provided by anthropological studies maintain similar biases that over-estimate the value of Western business practices. F. Political Science: Political science is the study of systems of government but also political behaviours and activities. As such, it provides insight into the distribution of power and resources, and how those distribution decisions are influenced. G. Neuroscience: Neuroscience is the study of the structure and function of the nervous system and brain. Neuroscientists have recently begun contributing to OB by studying topics such as the impact of hormone levels on risk-taking in business contexts, the influence of pheromones on team behaviours, and the underlying cognitive structures and neural processes that contribute to inadvertent prejudice and associated skill discounting and underutilization of workers. IV. A BRIEF HISTORY OF OB A. Organizational behaviour as a distinct discipline started when scientific approaches to management began to indicate that behavioural considerations were important predictors of productivity. The famous Hawthorne studies were conducted between 1924 and 1932 at Hawthorne Electrical Company. The scientists involved were trying to discover the optimal temperature, lighting levels, and work pace to maximize productivity. Instead, they discovered that being observed and having people pay attention to the efforts of workers increased productivity regardless of temperature, lighting, etc. This helped launch an entire area of study devoted to motivation and teams. B. In the 1950s, the Carnegie School headquartered at Carnegie Mellon University was influential in directing attention to the integration of decision analysis, management science, and psychology. This resulted in the development of important concepts such as bounded rationality. C. The 1960s and 1970s saw many developments in organizational behaviour, with important discoveries being made in the areas of motivation, team behaviour, and leadership. D. The 1980s and 1990s saw more focus on organizational culture and organizational change. Chapter 1 What Is Organizational Behaviour? Copyright © 2023 Pearson Canada Inc. 1-5 E. More recently, research inspired by the anthropological approach has focused on, among other things, situational models of leadership. V. THERE ARE FEW ABSOLUTES IN OB A. Laws in the physical sciences—chemistry, astronomy, physics—are consistent and apply in a wide range of situations. 1. They allow scientists to generalize about the pull of gravity or to be confident about sending astronauts into space to repair satellites. 2. Human beings are complex, and few, if any, simple and universal principles explain organizational behaviour. a. Because we are not alike, our ability to make simple, accurate, and sweeping generalizations is limited. b. Two people often act very differently in the same situation, and the same person’s behaviour changes in different situations. c. Not everyone is motivated by money, and people may behave differently at a religious service than they do at a party. B. That doesn’t mean that we can’t offer reasonably accurate explanations of human behaviour or make valid predictions. It does mean that OB concepts must reflect situational, or contingency, conditions. 1. We can say x leads to y, but only under conditions specified in z—the contingency variables 2. The science of OB was developed by applying general concepts to a particular situation, person, or group. 3. For example, OB scholars would avoid stating that everyone likes complex and challenging work (the general concept), because not everyone wants a challenging job. a. Some people prefer routine to varied, or simple over complex. b. A job attractive to one person may not be to another; its appeal is contingent upon the person who holds it. C. As you proceed through this resource, you’ll encounter a wealth of research-based theories about how people behave in organizations. 1. But don’t expect to find a lot of straightforward cause-and-effect relationships. There aren’t many! 2. Organizational behaviour theories mirror the subject matter with which they deal, and people are complex and complicated. VI. CHALLENGES AND OPPORTUNITIES FOR OB A. Understanding organizational behaviour has never been more important for managers. B. Take a quick look at the dramatic changes in organizations. 1. The typical employee is getting older. 2. The workforce is becoming increasingly diverse; corporate downsizing and the heavy use of temporary workers are severing the bonds of loyalty that tied many employees to their employers. 3. Global competition requires employees to become more flexible and cope with rapid change. 4. As a result of these changes and others such as the rising use of technology, employment options have adapted to include new opportunities for workers. Exhibit 1-2 details some of the options. Chapter 1 What Is Organizational Behaviour? Copyright © 2023 Pearson Canada Inc. 1-6 C. Responding to Economic Pressures. 1. In 2020, the Canadian economy experienced significant uncertainty. The global coronavirus pandemic abruptly changed consumer spending habits and forced entire industries to take a break from commercial activities. The apprehension this created rippled throughout the Canadian economy, particularly in the tourism, hospitality, manufacturing, and agricultural sectors. Only slightly earlier, major energy-related projects were encountering massive public resistance, forcing some companies out of projects entirely. New real estate regulations in Ontario and British Columbia fundamentally shifted those markets, particularly for foreign investors. When things like this happen, managers are on the front lines with employees who fear being fired, who are asked to make do with less, and who worry about their futures. 2. The difference between good and bad management can be the difference between profit and loss, or ultimately, between survival and failure. 3. Managing employees well when times are good can be just as hard, if not harder, than when times are bad. 4. But the OB approaches sometimes differ. In good times, understanding how to reward, satisfy, and retain employees is at a premium. In bad times, issues like stress, decision making, and coping come to the fore. D. Dramatic Increases in Remote Work. 1. The 2020 global pandemic had an extremely rapid and unprecedented impact on how people work, which had resulted in many office employees and knowledge workers starting to work virtually at home. 2. Remote work creates efficiencies. a. Reduced stress from reduced commuting. b. Many workers have fewer distractions at home. 3. Remote work creates challenges. a. There can be process uncertainty working from home. b. Asynchoronous forms of communication are not optimal for communicating about challenging problems. c. Issues surrounding trust can magnify when individual contributions are less visible. 4. The manager’s job in an organization where employees work virtually is different than in an organization where employees work on-site. Motivating and leading people and making collaborative decisions online require techniques and skills that are different from those required when individuals are physically present at a single location. E. Responding to Globalization. There are many challenges faced by managers that can benefit by the use of OB concepts, including: 1. Increased foreign assignments. Managers increasingly find themselves working overseas dealing with a workforce that may hold different needs, aspirations, and attitudes. 2. Working with people from different cultures. Even if the manager stays in the domestic environment, the workers that the manager deals with may come from different cultures and backgrounds. Motivational techniques and managerial styles may have to be modified to remain effective. 3. Overseeing movement of jobs to countries with low-cost labour. Outsourcing tasks and jobs to low-labour-cost countries may make economic sense, but such decisions are not without local ramifications. Chapter 1 What Is Organizational Behaviour? Copyright © 2023 Pearson Canada Inc. 1-7 a. Managers must be able to deal with unions, government, and the public, who see outsourcing as a threat to their livelihood. b. Balancing the needs of the company with the needs of the community is at the heart of a firm’s concerns over social responsibility. 4. Adapting to differing cultural and regulatory norms. a. Managers need to know the cultural norms of the workforce in each of the countries in which they do business. b. Managers also need to consider local and country regulations. Violating these can have implications for operations in the country and also for political relations between countries. c. Managers also need to be cognizant of differences in regulations for competitors in the country; many times, the laws will give national companies significant financial advantages over foreign subsidiaries. F. Managing Workforce Diversity. 1. One of the most important challenges for organizations is workforce diversity. a. Whereas globalization focuses on differences among people from different countries, workforce diversity addresses differences among people within given countries. 2. Workforce diversity acknowledges a workforce of women; men and transgendered persons; many racial and ethnic groups; individuals with a variety of physical or psychological abilities; and people who differ in age and sexual orientation. a. Managing this diversity is a global concern. 3. Though we have more to say about workforce diversity in a later chapter, suffice it to say here that it presents great opportunities and poses challenging questions for managers and employees in all countries. G. Improving Customer Service. The majority of the workforce in developed nations works in service jobs. 1. These jobs require substantial interaction with the organization’s customers: poor service experiences can lead to organizational failure. 2. Managers must create customer-responsive cultures whose employees are: a. Friendly and courteous b. Accessible c. Knowledgeable d. Prompt in responding to customer needs e. Willing to do what is necessary to please the customer H. Improving People Skills. 1. As you proceed through the chapters of this resource, we’ll present relevant concepts and theories that can help you explain and predict the behaviour of people at work. 2. In addition, you’ll gain insights into specific people skills that you can use on the job. 3. For instance, you’ll learn ways to design motivating jobs, techniques for improving your management and communication skills, and how to create more effective teams. I. Enhancing Employee Well-Being at Work 1. The typical employee in the 1970s or 1980s showed up at a specified workplace Monday through Friday and worked for clearly defined 8- or 9-hour chunks of time. Chapter 1 What Is Organizational Behaviour? Copyright © 2023 Pearson Canada Inc. 1-8 a. That’s no longer true for a large segment of today’s workforce as even the definition of the workplace has been expanded to include anywhere a laptop or smartphone can go. Even if employees work from home or from half a continent away, managers need to consider well-being at work. b. One of the biggest challenges to maintaining employee well-being is that organizations are asking employees to put in longer hours, either in the office or online. 1) Employees are increasingly complaining that the line between work and non-work time has become blurred, creating personal conflicts and stress. c. Second, employee well-being is challenged by heavy outside commitments. 1) Millions of single-parent households and employees with dependent parents have even more significant challenges in balancing work and family responsibilities. 2. Recent studies suggest employees want jobs that give them flexibility in their work schedules so they can better manage work–life conflicts. a. Organizations that don’t help their people achieve work–life balance will find it increasingly difficult to attract and retain the most capable and motivated employees. b. As you’ll see in later chapters, the field of OB offers a number of suggestions to guide managers in designing workplaces and jobs that can help employees reduce such conflicts. J. Creating a Positive Work Environment. 1. A real growth area in OB research is positive organizational scholarship (also called positive organizational behaviour), which studies how organizations develop human strengths, foster vitality and resilience, and unlock potential. a. Researchers in this area say that too much of OB research and management practice has been targeted toward identifying what’s wrong with organizations and their employees. In response, they try to study what’s good about them. b. Some key independent variables in positive OB research are engagement, hope, optimism, and resilience in the face of strain. 2. Positive organizational scholars have studied a concept called “reflected bestself” – asking employees to think about when they were at their “personal best” in order to understand how to exploit their strengths. 3. Although positive organizational scholarship does not deny the value of the negative, it does challenge researchers to look at OB through a new lens and it pushes organizations to exploit employees’ strengths rather than dwell on their limitations. K. Improving Ethical Behaviour. 1. In an organizational world characterized by cutbacks, expectations of increasing productivity, and tough competition, it’s not surprising many employees feel pressured to cut corners, break rules, and engage in other questionable practices. 2. Increasingly they face ethical dilemmas and ethical choices in which they are required to identify right and wrong conduct. a. What constitutes good ethical behaviour has never been clearly defined, and, in recent years, the line differentiating right from wrong has blurred. b. Employees see people all around them engaging in unethical practices— Chapter 1 What Is Organizational Behaviour? Copyright © 2023 Pearson Canada Inc. 1-9 elected officials pad expense accounts or take bribes; corporate executives inflate profits so they can cash in lucrative stock options; and university administrators look the other way when winning coaches encourage scholarship athletes to take easy courses. 1) When caught, these people give excuses such as “Everyone does it” or “You have to seize every advantage nowadays.” 2) Determining the ethically correct way to behave is especially difficult in a global economy because different cultures have different perspectives on certain ethical issues. 3) Fair treatment of employees in an economic downturn varies considerably across cultures, for instance. 3. Today’s manager must create an ethically healthy climate for his or her employees, where they can do their work productively with minimal ambiguity about what right and wrong behaviours are. a. Companies that promote a strong ethical mission, encourage employees to behave with integrity, and provide strong ethical leadership can influence employee decisions to behave ethically. b. In upcoming chapters, we’ll discuss the actions managers can take to create an ethically healthy climate and help employees sort through ethically ambiguous situations. VII. COMING ATTRACTIONS: DEVELOPING AN OB MODEL This resource will follow the three levels of OB analysis, building from the individual to the organizational perspectives. Each level builds upon the levels before it. See Exhibit 1-3. A. Three Levels of Analysis. OB can be examined at three levels, each with its own unique perspective. 1. Individual level. Examines foundations of individual behaviour: personality, values, perception, decision making, motivation, emotions, and moods (Chapters 2–8). 2. Group level. Group behaviour is more than the sum of the behaviours of the individuals within it; additionally, individuals act differently when in groups. The next section of the text (Chapters 9-14) explores group behaviour by providing basic group concepts and examining what makes teams effective: communication, leadership, power, politics, conflict, and negotiation. 3. Organization system level. Organizational behaviour, while composed of both individual and group behaviours, is more than the sum of its parts. Chapters 15- 17 describe how an organization’s structure and culture affects individual behaviour. The text finishes with change practices in organizational settings. VIII. SUMMARY AND IMPLICATIONS FOR MANAGERS A. Managers need to develop their interpersonal, or people, skills to be effective in their jobs. 1. Organizational behaviour (OB) investigates the impact that individuals, groups, and structure have on behaviour within an organization, and it applies that knowledge to make organizations work more effectively. B. Here are a few specific implications for managers: