in-class exam 2

• decision making: the process of developing a commitment to some course of action
• steps to rational decision making

  1. identify problem
  2. search for relevant information
  3. develop alternative solutions to the problem
  4. evaluate alternative solutions
  5. choose best solution
  6. implement chosen solution
  7. monitor and evaluate it
• perfect rationality: a decision strategy that is completely informed, perfectly logical, and oriented towards economic gain.
• bounded rationality(automatic thinking): a decision strategy that relies on limited information and reflects time constraints and political consideration
• when trying to act rationally, we are limited by:

  • capacity to acquire and process information
  • time constraints
  • political consideration
  • self-interest
• individual biases in decision-making

  overconfidence, confirmation bias, escalation of commitment, and framing
• when overconfident, you are more willing to take risks
• confirmation bias: gather or remember information selectively to support existing position
• escalation of commitment: investing additional resources in a failing course of action due to sunk costs.
• framing: the manner in which objectively equivalent alternatives are presented

  • positively framed info encourages conservative decisions
  • negatively framed information encourages risk
• biases in group decision making

  groupthink and group polarization
• groupthink: when group pressure damages the quality of a group's decision
• group polarization: group discussion seems to exaggerate the initial position of group members.
• leadership


  the influence that particular individuals exert to direct the activities of followers toward goal achievement in an organizational context.
• components of leadership

  • influence: using power to affect others
  • process(two-way, interactive process)
  • group: operating in a group of people
  • common goal achievement
• assigned leadership: based on occupying a position within an organization
• emergent leadership: individuals who are perceived by others to be influential, regardless of their official leadership title
• trait theories of leadership say that effective leaders possess innate qualities and personal characteristics that enable them to influence others.
• trait theories of leadership assume that all groups and situations require the same leadership.
• behavioral theories of leadership say that effective leaders exhibit the same types of behaviors that motivate others toward a common goal.
• behavioral theories of leadership say that the ways a leader acts/behaves are what makes a leader. 


  trait theories say that the characteristics of the person are what makes a leader.

  
  

  situational/contingency theories say that situations affect leadership.
• in behavioral theories of leadership, task behaviors:

  facilitate goal accomplishment and help group members achieve objectives.
• in behavioral theories of leadership, relationship behaviors:

  help followers feel comfortable with themselves.

  • consideration
  • employee orientation
  • concern for people
• situational/contingency theories of leadership say that effective leadership depends on the setting in which influence attempts occur.
• path-goal theory of motivation says that leaders' responsibility is to assist followers in attaining their goals by removing their obstacles and clearing the path to their goals.
• in path-goal theory, there are four core leadership behaviors:

  • directive leadership: leader who gives followers task instruction.
  • supportive leadership: leader who is friendly and approachable.
  • participative leadership: leader who invites followers to share in the decision making.
  • achievement-oriented leadership: leader who challenges followers to perform work at the highest level possible.
• barriers for women in the workplace to become leaders: (ted talk)

  • lack of negotiation/self-promotion
  • women underestimate themselves
  • lack of networking and mentors
• can introverts lead? (video)

  introverts are better bosses when their followers are more proactive.
• gender differences in leadership

  women

  • encourage participation
  • share power and information
  • try to enhance followers' self-worth
  • lead by inclusion

  men

  • directive command-and-control style
  • rely on formal authority
  • give direct command
• transformative leadership: leadership that provides followers with a new vision that instills true commitment.
• transformative leadership can broaden goals and increase followers confidence and motivation
• the four Is of transformative leadership

  1. inspirational motivation/communication - articulates a compelling vision of the future
  2. intellectual stimulation - inspires creativity and innovation
  3. individual consideration - treat others as unique individuals
  4. idealized influence (charisma) - can get followers to identify with leaders
• charismatic tactics

  1. frame to give the vision - metaphor
  2. provide substance
  3. deliver in an animated and passionate way for the justification

  • rhetorical questions, list of three, give a contrast, captivating stories
• abusive supervision: subordinates' perceptions of the extent to which their supervisors engage in the "sustained display of hostile verbal and nonverbal behaviors."
• consequences of abusive supervision

  more likely to quit, less satisfied, less committed to an organization, increases stress, and creates a negative climate within an organization
• abusive supervision

  • increased job mobility -> less impacted
  • what employees attribute it to changes how they see and deal with it
• power: the capacity to influence others who are in a state of dependence
• power is about the potential and takes place in a relationship at all levels.
• six bases of power

  1. legitimate power
  2. reward power
  3. coercive power
  4. referent power
  5. expert power
  6. information power
• legitimate power: position of formal authority - the person has the right to expect you to comply with legitimate requests