2. Topics
Topic 7 Organizational Structure and Change
Topic 8 Organizational Culture
Topic 9 Social Networks
Topic 10 Leading People and Organizations
Topic 11 Decision Making
10/31/2023 TOPICS 2
18. Organizational Culture
10/21/2023 ORGANIZATIONAL CULTURE 18
Creating and Maintaining Organizational Culture
Founder
values and
preferences
Industry
demands
Early values,
goals,
assumptions
Attraction-
selection-
attrition
New employee
onboarding
Leadership
Reward
systems
Organizational
culture
Culture Creation Culture Maintenance
19. Organizational Culture
10/21/2023 ORGANIZATIONAL CULTURE 19
How Are Cultures Created?
Founder
Values and
Preferences
Industry
demands
Early values,
goals,
assumptions
Personality, background,
and values of its founder
or founders
Founder/sâ vision for the
future of the organization
The way the founder/s
want to do business
⢠Industry
characteristics
⢠Industry demands
20. 10/21/2023 20
Founder
values and
preferences
Industry
demands
Early values,
goals,
assumptions
Attraction-
selection-
attrition
New employee
onboarding
Leadership
Reward
systems
Organizational
culture
Culture Creation Culture Maintenance
Maintaining Organizational Culture
Organizational Culture
ORGANIZATIONAL CULTURE
21. Organizational Culture
10/21/2023 ORGANIZATIONAL CULTURE 21
How Are Cultures Maintained?
⢠Attractiveness or fit of an
organization to employees, such as
value similarity and benefits
⢠Selection is the process by which
the organization chooses employees
who fit in their current organizational
culture
⢠Attrition refers to the natural
process where the candidates who do
not fit in will leave the company
Attraction-selection-attrition
⢠Process through which new employees
learn the attitudes, knowledge, skills,
and behaviors required to function
effectively within an organization
New employee onboarding
⢠Leaders are instrumental in creating
and changing an organizationâs culture.
⢠There is a direct correspondence
between the leaderâs style and an
organizationâs culture.
⢠Role modeling
Leadership
⢠The type of reward systems used
in the organization and the kinds
of behaviors and outcomes it
chooses to reward and punish
⢠Whether the organization rewards
behaviors or results, and whether
the organization rewards
performance or seniority
Reward Systems
22. Organizational Culture
10/21/2023 ORGANIZATIONAL CULTURE 22
Signs of Organizational Culture
⢠A statement purpose, describing who the
company is and what it does
Mission Statement
⢠Refer to repetitive activities within an
organization that have symbolic meaning
Rituals
⢠Companies create rules to determine
acceptable and unacceptable behavior and
thus, the rules that exist in a company will
signal the type of values it has
Rules and Policies
⢠A companyâs building layout of employee
offices, and other workspaces communicate
important messages about a companyâs
culture
Physical Layout
⢠Skillful use of stories
Stories and Language
23. Organizational Culture
10/21/2023 ORGANIZATIONAL CULTURE 23
Creating Cultural Change
Organizations need to
change their culture to
respond to changing
conditions in the
environment, to
remain competitive,
and to avoid
complacency or
stagnation.
25. Ethical Considerations with
Social Network Analysis (SNA)
10/21/2023 SOCIAL NETWORKS 25
What is Social Network Analysis?
⎠Mapping and measuring of
relationships and flows between
people, groups, organizations,
computers, Web sites, and other
information/knowledge processing
entities
⎠Can be done through surveys or
software programs
⎠Used to enhance organizational
performance
26. Ethical Considerations with
Social Network Analysis (SNA)
10/21/2023 SOCIAL NETWORKS 26
Three top ethical concerns:
1. Violation of Privacy
2. Harm to Individual Standing
⢠May lead to unforeseen and/or
unwarranted disciplinary action
⢠Management may make job or
personnel changes
3. Psychological Harm
⢠Information is used in a way that
manipulates behavior of individuals
27. Ethical Considerations with
Social Network Analysis (SNA)
10/21/2023 SOCIAL NETWORKS 27
Three specific ways to manage
SNA ethical concerns:
1. Full disclosure
⢠Informed consent to the participants
2. Anonymization and opt-out options
⢠Making the process anonymous or with
option not to be involved
3. Participant training and feedback
⢠Part of a larger employee development
program
28. Personal, Operational,
and Strategic
Networks
10/21/2023 SOCIAL NETWORKS 28
Three types of networks:
âIbarraâs work suggest
that leaders need to
possess all three types
of networksâ
TYPES PURPOSE FIND NETWORK MEMBERS BY:
PERSONAL
⢠Exchange important referrals and
needed outside information
⢠Develop professional skills through
coaching and mentoring
Alumni groups, clubs, professional
associations, and personal interest
communities
OPERATIONA
L
Get your work done efficiently
Identify individual who can support a
project
STRATEGIC
⢠Future priorities and challenges
⢠Stakeholder support
Identifying lateral and vertical
relationships with other managers
outside your immediate control
29. Personal, Operational,
and Strategic
Networks
10/21/2023 SOCIAL NETWORKS 29
Making Networking Happen
⎠Effective leaders are effective networkers
⎠Networking is one of the most important
requirements of a leadership role
⎠Networks created value, but networking takes
real work
⎠Building a network means that you need to
establish connections
⎠Networking requires to apply principle of
reciprocity (i.e., give and take continually)
34. And I say to you, Make friends for
yourselves by means of the
mammon of unrighteousness, so
that when it fails, they may receive
you into the eternal tabernacles.
Luke 16:9
10/21/2023 BIBLE VERSE 34
36. What will we learn?
10/21/2023 LEADING PEOPLE AND ORGANIZATIONS 36
Who is a
Leader?
Trait Approaches
to Leadership
What Do
Leaders Do?
Behavioral
Approaches to
Leadership
What is the
Role of the
Context?
Contingency
Approaches to
Leadership
Contemporary
Approaches to
Leadership
Developing
Your
Leadership
Skills
37. Intelligence
Oneâs general mental ability
Extraversion
Sociable, assertive, energetic
Conscientiousness
Organized, takes initiative, demonstrate persistence in
endeavors
Open to Experience / Openness
Original, creative, open to try new things
Self-Esteem
Positive assessment of self-worth and capabilities
Integrity
Good moral compass, honest, with integrity
10/21/2023 37
Who Is a Leader?
Trait Approaches to Leadership
LEADING PEOPLE AND ORGANIZATIONS
38. ⢠Authoritarian decision making
⢠Democratic decision making
⢠Laissez-faire decision making
⢠Task-oriented leader behaviors
⢠People-oriented leader
behaviors
10/21/2023 38
Behavioral Approaches to Leadership
LEADING PEOPLE AND ORGANIZATIONS
What Do Leaders Do?
Leader
Behaviors
Leader
Decision
Making
39. What Is the Role of the Context?
Contingency Approaches to Leadership
10/21/2023 LEADING PEOPLE AND ORGANIZATIONS 39
Fiedlerâs
Contingency
Theory
⢠Different people
can be effective in
different situations
⢠Favorability of the
scenario
Situational
Leadership
⢠Leadership styles =
followerâs
development level
⢠Employee
readiness
⢠Dependency on
followers
Path-Goal Theory
of Leadership
⢠Directive leaders
⢠Supportive leaders
⢠Participative
leaders
⢠Achievement-
oriented leaders
Vroom and
Yettonâs Normative
Decision Model
⢠Decision making
model
40. Authentic Leadership
Servant Leadership
Leader-Member Exchange
Theory
Transformational Leaders
⢠The authentic leadership
approach
⢠High-quality LMX
relationships
⢠Low-quality LMX relations
Contemporary Approaches to
Leadership
10/21/2023 LEADING PEOPLE AND ORGANIZATIONS 40
⢠Charisma
⢠Inspirational motivation
⢠Intellectual stimulation
⢠Individualized consideration
⢠Develop employees
⢠Help them reach their goals
Transactional leaders ⢠Contingent rewards
⢠Active management by
exception
⢠Passive management by
exception
41. ⢠Donât ask what your employees can do for you
⢠One of your key priorities should be to help employees reach their
goals
⢠Be humble
⢠Be open with your employees
⢠Find ways of helping the external community
⢠Understand Your History
⢠Take Stock of Who You Are Now
⢠Reflect on Your Successes and Challenges
⢠Make Integrity a Priority
⢠Understand the Power of Words
⢠Have a vision
⢠Tie the vision to history
⢠Watch your body language
⢠Make sure that employees have confidence in themselves
⢠Challenge the status quo
Develop
Your
Charismatic
Leadership
Skills
Developing Your Leadership Skills
10/21/2023 LEADING PEOPLE AND ORGANIZATIONS 41
Develop
Your
Servant
Leadership
Skills
Develop
Your
Authentic
Leadership
Skills
42. Warren Buffett
⪠Born on August 30th, 1930 in
Omaha, Nebraska
⪠Currently the Chairman and
CEO of Berkshire Hathaway
⪠Legendary value investor
known as the âOracle of
Omahaâ and is one of the
worldâs most successful and
closely followed investor and
entrepreneur
⪠Net worth of over $100 billion
as of 2023
10/21/2023 LEADING PEOPLE AND ORGANIZATIONS 42
Case Study
44. 10/21/2023 PRESENTATION TITLE 44
Transformational
Leader
Servant Leader
Laissez-faire Leader
⢠Inspires and motivates his team to exceed
their own expectations and accomplish
more than they thought possible.
⢠He sees himself as a steward of his
investorâs money and has always
prioritized their interests over his own.
⢠Also known as âdelegative leadershipâ, the
leadership approach popularized by
Buffett.
Leadership Style
45. Hilda Romanillos
A certified public accountant with a decade of
combined professional experience in the fields of
public accounting, corporate finance & accounting,
local taxation, and internal audit.
Has worked in the countryâs largest accounting firm
and audited various clients belong to industries such
as telecommunications, hospitals, pharmaceutical,
non-profit organization, real estate & construction, etc.
Became a Deputy Chief Accountant for a group of
companies with businesses in real estate
development, hotel, and property management.
Currently working as a Senior Finance Specialist for a
multinational insurance and wealth asset
management company.
45
46. Joseph Jay Trinidad
Registered Chemical Engineer
Registered Chemical Technician
Currently, the Business Development Lead of
Saint-Gobain Construction Chemicals, handling
both the Cement Business & Jobsites Business
Unit of the company nationwide.
Handling 25 personnel deployed in different
parts of the country for 24/7 cement grinding
aid operations and technical support.
46
47. So do not fear, for I am with
you; do not be dismayed, for I
am your God. I will strengthen
you and help you; I will uphold
with you with my righteous
hand.
Isaiah 41:10
10/21/2023 BIBLE VERSE 47
49. Two Types
1. Programmed Decisions
- occur frequently
- with automated response
(i.e., decision rule)
2. Nonprogrammed Decisions
- Unique, nonroutine, and important
decisions that require conscious
thinking, information gathering,
and careful consideration of
alternatives
- Used in crisis situations
Decision Making
10/21/2023 DECISION MAKING 49
Definition
Refers to making choices among alternative courses of action, including inaction
50. 10/21/2023 DECISION MAKING 50
Level of Decision Examples of Decision Who Typically Makes
Decisions
1. Strategic Decisions
(sets the course of the organization)
Should we merge with another company?
Should we pursue a new product line?
Should we downsize our organization?
Top Management Teams,
CEOs, and Boards of
Directors
2. Tactical Decisions
(how to get things done)
What should we do to help facilitate employees from
the two companies working together?
How should we market the new product line?
Who should be let go when we downsize?
Managers
3. Operational Decisions
(day to day decisions)
How often should I communicate with my new
coworkers?
What should I say to customers about or new product?
How will I balance my new work demands?
Employees throughout the
organization
Decisions Commonly Made
within Organizations
52. 10/21/2023 DECISION MAKING 52
Decision Making Model Types
Many college graduates do not conduct a national or international search for potential
job openings; instead, they focus their search on a limited geographic area and tend to
accept the first offer in their chosen area, even if it may not be the ideal job situation.
A company has encountered an issue causing extended downtime. In this case, you
may want to use the bounded rationality decision-making model to quickly identify the
first acceptable solution since every minute wasted is costly.
A customer makes a suboptimal decision to order some food at the restaurant because
they felt rushed by the waiter who was waiting beside the table.
A trader who would make a moderate and risky decision to trade their stock due to time
pressure and imperfect information of the market at that time.
Examples
54. 10/21/2023 DECISION MAKING 54
Decision Making Model Types
Example
Netflix â revolutionized the DVD rental business
through online rentals with no late fees.
55. Decision-Making Model Types
10/21/2023 DECISION MAKING 55
⢠Information on alternatives can be gathered and quantified.
⢠The decision is important.
⢠You are trying to maximize your outcome.
Rational
⢠The minimum criteria are clear.
⢠You do not have or you are not willing to invest much time to
making the decision.
⢠You are not trying to maximize your outcome.
Bounded
Rationality
⢠Goals are unclear.
⢠There is time pressure and analysis paralysis would be costly.
⢠You have experience with the problem.
Intuitive
⢠Solutions to the problem are not clear.
⢠New Solutions need to be generated.
⢠You have time to immerse yourself in the issues
Creative
Decision-Making Model Use This Model When:
56. Decision Making
10/21/2023 DECISION MAKING 56
Potential Challenges to Decision-Making
Overconfidence
Bias
Hindsight Bias
Framing Bias
Escalation of
Commitment
Anchoring
individuals
overestimate their
ability to predict
future events
the opposite of
overconfidence
bias; looking at
the past, judges
that a mistake
that was made
should have been
recognized as a
mistake at the
time.
the tendency of
decision makers
to be influenced
by the way that
problems are
framed.
Continue on a
failing course of
action after
information
reveals this may
be a poor path to
follow.
tendency to rely
to heavily on a
single piece of
information
57. 10/21/2023 DECISION MAKING 57
Individual Decision Making Group Decision Making
Pros Cons Pros Cons
Typically faster than
group decision
making
Fewer ideas
Diversity of ideas and
can piggyback on
othersâ ideas
Takes longer
Best individual in a
group usually
outperforms the
group
Identifying the best
individual can be
challenging
Greater commitment
to ideas
Group dynamics such
as groupthink can
occur
Accountability is
easier to Determine
Possible to put off
making decisions if
left alone to do it
Interaction can be fun
and serves as a team
building task
Social loafing-harder
to identify
responsibility for
decisions
When It Comes to Decision-Making,
Are Two Heads Better Than One?
58. Decision Making
10/21/2023 DECISION MAKING 58
Developing your Personal Decision-Making
Skills
1. If the decision is important, conduct a premortem to anticipate what might
go wrong and fix the problems before they happen
1. When a decision is going to involve others, be proactive in getting them to
buy in before the decision is made.
59. Kimberly Pavino
A certified public accountant, with prior work
experiences in external audit, internal audit (banking
sector) and private hospital.
Currently connected with a private school in Davao
City as the Director for Finance.
59
60. If any of you lacks wisdom, you
should ask God, who gives
generously to all without finding
fault, and it will be given to you.
James 1:5
10/21/2023 BIBLE VERSE 60