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Chapter 2
Nelson & Quick
Organizations &
Managerial Challenges in the
Twenty-First Century
Copyright ©2005 by South-Western, a division of Thomson Learning. All rights reserved.
Remaining Competitive: Four
Major Challenges to Managers
 Globalizing the firm’s operations
 Managing a diverse workforce
 Keeping up with technological change and
implementing technology in the workplace
 Managing ethical behavior
Changing Business Perspectives
International implies an individual’s
or organization’s nationality is held
strongly in consciousness
Globalization implies the world is
free from national boundaries and
that it is really a borderless world
Move
to
In multinational organizations,
the organization is recognized as
doing business with other countries
Changing Business Perspectives
Move
to
In transnational organizations,
the global viewpoint supersedes
national issues.
Changes in the Global Marketplace
 Collapse of Eastern Europe
 Union of East and West Berlin
 Perestroika
 Expansion of business with China
Guanxi – The Chinese practice of building
networks for social exchange
 Creation of the European Union
 Establishment of the North American Free Trade
Agreement
Understanding Cultural Differences
Individualism Collectivism
High power distance Low power distance
High uncertainty Low uncertainty
avoidance avoidance
Masculinity Femininity
Long-term orientation Short-term orientation
Reprinted with permission of Academy of Management, PO Box 3020, Briar Cliff Manor, NY 10510-8020. Cultural
Constraints in Management Theories (Figure), G. Hofstede, Academy of Management Executive 7, (1993). Reproduced
by permission of the publisher via Copyright Clearance Center, Inc.
Individualism Collectivism
High power distance Low power distance
High uncertainty Low uncertainty
avoidance avoidance
Masculinity Femininity
Long-term orientation Short-term orientation
Reprinted with permission of Academy of Management, PO Box 3020, Briar Cliff Manor, NY 10510-8020. Cultural
Constraints in Management Theories (Figure), G. Hofstede, Academy of Management Executive 7, (1993). Reproduced
by permission of the publisher via Copyright Clearance Center, Inc.
Where the U.S. Stands
Developing Cross-Cultural Sensitivity
 Cultural sensitivity training
 Cross-cultural task forces/teams
Diversity
All forms of individual differences, including
culture, gender, age, ability, personality, religious
affiliation, economic class, social status, military
attachment, and sexual orientation
Diversity Statistics for the
Workplace
Cultural 2020 Workforce: 68% white non-Hispanic
14% Hispanic
11% African American
6% Asian
Gender 2020 Workforce: 50% male
50% female
Women and Obstacles at Work
Today, women make up over 54% of the workforce,
earn 32% of all doctorates, 52% of master’s
degrees, and 50% of undergraduate degrees
BUT
Today, women hold less than 13% of Fortune 500
corporate officer positions, earn 77% of what their
male counterparts do, and encounter the glass
ceiling in the workplace
a transparent barrier that keeps women from
rising above a certain level in organizations
Diversity Statistics Affecting the
Workplace
Age By 2030, there will be 70,000,000 older
persons. People over 65 will comprise
20% of the population.
Ability An estimated 54 million disabled live in the
U.S.; their unemployment rate exceeds 50%.
Diversity
Benefits
Enhance
Organizational
Flexibility
Result in
Better
Problem
Solving
Attract &
Retain
Talent
Promote
Creativity &
Innovation
Enhance
Marketing
Efforts
Diversity
Problems
Possibility of
Conflicts
Slower
Decision-
Making
Resistance
to Change
Communication
Problems
Lack of
Cohesiveness
Technological Innovation
Technology
The intellectual and
mechanical processes
used by an
organization to
transform inputs into
products or services
that meet
organizational goals
Examples
Internet – integrates computer,
cable, telecommunications
technologies
Expert System - computer-based
application using a
representation of human
expertise in a specialized field
of knowledge to solve problems
Robotics - use of robots in
organizations
Alternative Work Arrangements
Telecommuting - transmitting work from a home
computer to the office using a modem. Employees
 Gain flexibility
 Save the commute to work
 Enjoy the comforts of home
But, they
 Have distractions
 Lack socialization opportunities
 Lack interaction with supervisors
 Identify less with the organization
Additional Alternative Work
Arrangements
Hoteling - employees have mobile file
cabinets/lockers for personal storage; work spaces
are reserved, not assigned
Satellite Offices - large facilities broken into
smaller workplaces near employees’ homes
Virtual Office- people work anytime, anywhere,
with anyone.
Help Employees Adjust to
Technological Change by
 Involving them in decision making regarding
technological change
 Providing effective training
 Encouraging reinvention (creative application of
new technology)
Ethical Theories Consequential Theory
An ethical theory that
emphasizes the
consequences or results
of behavior
Rule-Based Theory
An ethical theory that
emphasizes the
character of the act
itself rather than its effects
Character Theory
An ethical theory that
emphasizes the character,
personal virtues, and
integrity of the individual
Employee Rights Issues
Computerized monitoring
Drug testing
Free speech
Downsizing
Layoffs
Due process
AIDS in the workplace
Sexual Harassment = Unwanted
Sexual Attention
 Gender Harassment - crude comments; behaviors
that convey hostility toward a particular gender
 Unwanted Sexual Attention - unwanted touching,
unwanted pressure for dates
 Sexual Coercion - demands for sexual favors
through job-related threats or promises
Harassment or
Potential Romance?
Organizational Justice
Distributive Justice -
fairness of the outcomes
that individuals receive
in an organization
Ex. Companies
in Danger
CEO
Salaries
vs.
Ex. Competence
and Skill
Race and
Gender
vs.
Procedural Justice -
fairness by which the
outcomes are allocated
in an organization
Individual & Organizational
Responsibility
Whistle-Blower - an employee who informs
authorities of the wrongdoing of his or her
company or coworkers
 Public Hero
 “Vile Wretch”
Social Responsibility - the obligation of an
organization to behave ethically
Rotary Four-Way Test
of What We Think, Say, or Do
1. Is it the TRUTH?
2. Is it FAIR to all concerned?
3. Will it build GOODWILL and better friendships?
4. Will it be BENEFICIAL to all concerned?
Four Challenges to Organizations
in the New Millennium
Globalization
Diversity
Technology
Ethics

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OB - Ethics Gender diversity.ppt

  • 1. Chapter 2 Nelson & Quick Organizations & Managerial Challenges in the Twenty-First Century Copyright ©2005 by South-Western, a division of Thomson Learning. All rights reserved.
  • 2. Remaining Competitive: Four Major Challenges to Managers  Globalizing the firm’s operations  Managing a diverse workforce  Keeping up with technological change and implementing technology in the workplace  Managing ethical behavior
  • 3. Changing Business Perspectives International implies an individual’s or organization’s nationality is held strongly in consciousness Globalization implies the world is free from national boundaries and that it is really a borderless world Move to
  • 4. In multinational organizations, the organization is recognized as doing business with other countries Changing Business Perspectives Move to In transnational organizations, the global viewpoint supersedes national issues.
  • 5. Changes in the Global Marketplace  Collapse of Eastern Europe  Union of East and West Berlin  Perestroika  Expansion of business with China Guanxi – The Chinese practice of building networks for social exchange  Creation of the European Union  Establishment of the North American Free Trade Agreement
  • 6. Understanding Cultural Differences Individualism Collectivism High power distance Low power distance High uncertainty Low uncertainty avoidance avoidance Masculinity Femininity Long-term orientation Short-term orientation Reprinted with permission of Academy of Management, PO Box 3020, Briar Cliff Manor, NY 10510-8020. Cultural Constraints in Management Theories (Figure), G. Hofstede, Academy of Management Executive 7, (1993). Reproduced by permission of the publisher via Copyright Clearance Center, Inc.
  • 7. Individualism Collectivism High power distance Low power distance High uncertainty Low uncertainty avoidance avoidance Masculinity Femininity Long-term orientation Short-term orientation Reprinted with permission of Academy of Management, PO Box 3020, Briar Cliff Manor, NY 10510-8020. Cultural Constraints in Management Theories (Figure), G. Hofstede, Academy of Management Executive 7, (1993). Reproduced by permission of the publisher via Copyright Clearance Center, Inc. Where the U.S. Stands
  • 8. Developing Cross-Cultural Sensitivity  Cultural sensitivity training  Cross-cultural task forces/teams
  • 9. Diversity All forms of individual differences, including culture, gender, age, ability, personality, religious affiliation, economic class, social status, military attachment, and sexual orientation
  • 10. Diversity Statistics for the Workplace Cultural 2020 Workforce: 68% white non-Hispanic 14% Hispanic 11% African American 6% Asian Gender 2020 Workforce: 50% male 50% female
  • 11. Women and Obstacles at Work Today, women make up over 54% of the workforce, earn 32% of all doctorates, 52% of master’s degrees, and 50% of undergraduate degrees BUT Today, women hold less than 13% of Fortune 500 corporate officer positions, earn 77% of what their male counterparts do, and encounter the glass ceiling in the workplace a transparent barrier that keeps women from rising above a certain level in organizations
  • 12. Diversity Statistics Affecting the Workplace Age By 2030, there will be 70,000,000 older persons. People over 65 will comprise 20% of the population. Ability An estimated 54 million disabled live in the U.S.; their unemployment rate exceeds 50%.
  • 15. Technological Innovation Technology The intellectual and mechanical processes used by an organization to transform inputs into products or services that meet organizational goals Examples Internet – integrates computer, cable, telecommunications technologies Expert System - computer-based application using a representation of human expertise in a specialized field of knowledge to solve problems Robotics - use of robots in organizations
  • 16. Alternative Work Arrangements Telecommuting - transmitting work from a home computer to the office using a modem. Employees  Gain flexibility  Save the commute to work  Enjoy the comforts of home But, they  Have distractions  Lack socialization opportunities  Lack interaction with supervisors  Identify less with the organization
  • 17. Additional Alternative Work Arrangements Hoteling - employees have mobile file cabinets/lockers for personal storage; work spaces are reserved, not assigned Satellite Offices - large facilities broken into smaller workplaces near employees’ homes Virtual Office- people work anytime, anywhere, with anyone.
  • 18. Help Employees Adjust to Technological Change by  Involving them in decision making regarding technological change  Providing effective training  Encouraging reinvention (creative application of new technology)
  • 19. Ethical Theories Consequential Theory An ethical theory that emphasizes the consequences or results of behavior Rule-Based Theory An ethical theory that emphasizes the character of the act itself rather than its effects Character Theory An ethical theory that emphasizes the character, personal virtues, and integrity of the individual
  • 20. Employee Rights Issues Computerized monitoring Drug testing Free speech Downsizing Layoffs Due process AIDS in the workplace
  • 21. Sexual Harassment = Unwanted Sexual Attention  Gender Harassment - crude comments; behaviors that convey hostility toward a particular gender  Unwanted Sexual Attention - unwanted touching, unwanted pressure for dates  Sexual Coercion - demands for sexual favors through job-related threats or promises Harassment or Potential Romance?
  • 22. Organizational Justice Distributive Justice - fairness of the outcomes that individuals receive in an organization Ex. Companies in Danger CEO Salaries vs. Ex. Competence and Skill Race and Gender vs. Procedural Justice - fairness by which the outcomes are allocated in an organization
  • 23. Individual & Organizational Responsibility Whistle-Blower - an employee who informs authorities of the wrongdoing of his or her company or coworkers  Public Hero  “Vile Wretch” Social Responsibility - the obligation of an organization to behave ethically
  • 24. Rotary Four-Way Test of What We Think, Say, or Do 1. Is it the TRUTH? 2. Is it FAIR to all concerned? 3. Will it build GOODWILL and better friendships? 4. Will it be BENEFICIAL to all concerned?
  • 25. Four Challenges to Organizations in the New Millennium Globalization Diversity Technology Ethics