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Chapter 18 Organizational Change and Stress Management
Questions for Review 18-1. What is the difference between the forces for change and planned change? Answer: Planned changes are the activities that are proactive and purposeful: an intentional, goal-oriented activity. The goals of planned change are improving the ability of the organization to adapt to changes in its environment and changing employee behavior. The change agents are people who act as catalysts and assume the responsibility for managing change activities. Unplanned change in contrast, is accidental in nature. 18-2. How can resistance to change be overcome? Answer: Resistance to change can take the form of overt and immediate response like voicing complaints and engaging in job actions. Other forms can be implicit and deferred such as a loss of employee loyalty and motivation, increased errors or mistakes, increased absenteeism. Eight tactics can help change agents overcome resistance to change: communication; participation; building support and commitment; developing positive relationships; implementing changes fairly; manipulation and cooptation; selecting people who accept change; coercion. 18-3. What are the four main approaches to managing organizational change? Answer: 1. Lewin’s Three Step Model of unfreezing the status quo, movement to a desired end state, and refreezing the new change to make it permanent. 2. Kotter’s eight step plan for implementing change: a. Establish a sense of urgency b. Form a coalition c. Create a new vision d. Communicate the vision e. Empower others by removing barriers f. Create and reward short-term “wins” g. Consolidate, reassess, and adjust h. Reinforce the changes 3. Action Research – a change process based on systematic collection of data and then selection of a change action based on what the analyzed data indicates. Process steps: a. Diagnosis b. Analysis c. Feedback d. Action e. Evaluation 4. Organizational Development – a collection of planned interventions, built on humanistic democratic values, that seeks to improve organizational effectiveness and employee well-being. OD Values: a. Respect for people b. Trust and support c. Power equalization d. Confrontation e. Participation 18-4. How can managers create a culture for change? Answer: A manager can stimulate a culture for change by stimulating a culture of innovation. Innovation itself can be a new idea applied to initiating or improving a product, process, or service. Secondarily, a manager can create a learning organization, which is an organization that has developed the continuous capacity to adapt and change. 18-5. What are the potential environmental, organizational, and personal sources of stress at work and the role of individual and cultural differences? Answer: Stress is a dynamic condition in which an individual is confronted with an opportunity, constraint, or demand related to what he or she desires and for which the outcome is perceived to be both uncertain and important. There are many potential sources of stress: •Environmental Factors. Economic uncertainties of the business cycle; political uncertainties of political systems; technological uncertainties of technical innovations. •Organizational Factors. Task demands related to the job; role demands of functioning in an organization; interpersonal demands created by other employees. •Personal Factors. Family and personal relationships; economic problems from exceeding earning capacity; personality problems arising from basic disposition. Some people thrive on stressful situations, while others are overwhelmed bythem. •Perception will moderate the relationship between a potential stress condition and an employee’s reaction to it. So stress potential doesn’t lie in objective conditions; rather, it lies in an employee’s interpretation of those conditions. •Experience on the job tends to be negatively related to work stress. •Social support—collegial relationships with coworkers or supervisors—can buffer the impact of stress. •Personality traits – stress symptoms expressed on the job may originate in the person’s personality. Perhaps the most widely studied personality trait in research on stress is neuroticism. Research suggests that the job conditions that cause stress show some differences across cultures. Evidence suggests that stressors are associated with perceived stress and strains among employees in different countries. In other words, stress is equally bad for employees of all cultures. 18-6. What are the physiological, psychological, and behavioral symptoms of stress at work? Answer: The symptoms of stress can be very serious and even fatal. There are three major areas: physiological, such as blood pressure, headaches, and stroke; psychological, such as dissatisfaction, tension, anxiety, irritability, boredom, and procrastination, which is greatest when roles are unclear in the presence of conflicting demands; and behavioral, such as changes in job behaviors, increased smoking or drinking, different eating habits, rapid speech, fidgeting, and sleep disorders. 18-7. What are the individual and organizational approaches to managing stress? Answer: Individual Approaches a. Implementing time management b. Increasing physical exercise c. Relaxation training d. Expanding social support network Organizational Approaches a. Improved personnel selection and job placement b. Training c. Use of realistic goal-setting d. Redesigning of jobs e. Increased employee involvement f. Improved organizational communication g. Offering employee sabbaticals h. Establishment of corporate wellness programs Experiential Exercise Mindfulness at Work The concept of mindfulness emphasizes trying to focus your mind in the present moment, immersing yourself in what’s going on around you. Core principles include suspending immediate judgment of the environment and your own thoughts, and keeping yourself open to what is around you. The benefits of mindfulness can reach beyond reducing stress to include increased creativity, longer spans of attention, reductions in procrastination, and improved performance. The Procedure Start this exercise individually, and then come together into groups of three to four individuals to discuss what you have found. Although full workplace mindfulness interventions can take several weeks, some basic starting exercises can be done in a relatively short period of time and give you a feeling for what a full course of mindfulness would be like. Here are three simple exercises to try. For all these, everyone needs to put everything away (especially phones, tablets, and computers!)and focus on what is going on in the immediate environment. • Mindful breathing: Clear your head of everything except thoughts of your own breaths. Concentrate on how you are inhaling and exhaling. It is sometimes helpful to count how long each breath takes. Try to maintain this mindful breathing for 3 minutes. The group will then take 3 minutes to discuss how this made them feel. • Mindful listening: Now clear your head of everything except what is going on in the immediate environment. Try to hear as many sounds around you as you can, without judging or evaluating them. Try to maintain this mindful listening for 3 minutes. The group will then take 3 minutes to discuss some of the things they noticed. • Mindful thinking: As with listening, clear your head of everything, but now focus just on your ideas about mindfulness and stress. Do not talk about or write down what you’re thinking (yet); just focus your whole quiet attention on this exercise and what it means. Try to maintain this mindful thinking for 3minutes. The group will then take 3 minutes to talk about what this experience was like. As noted earlier, this is just a brief example of what mindfulness exercises are like. In a full mindfulness program, you would go through several sessions of up to an hour each. Now that you have an idea of what it feels like to do mindfulness work, consider the following questions in your groups: 18-8. Were there any aspects of the mindfulness practice sessions that you found especially pleasant or useful? Were there any aspects of the sessions that you found unpleasant or uncomfortable? Answer: In the mindfulness practice sessions, participants may have found various aspects both pleasant and unpleasant or uncomfortable. Here are some common experiences that individuals may have encountered: Pleasant or Useful Aspects: 1. Feeling of Relaxation : Many participants may have experienced a sense of relaxation and calmness during the mindfulness exercises, particularly during mindful breathing. Focusing on the present moment and letting go of distractions can lead to a reduction in stress and tension. 2. Increased Awareness : Participants may have noticed an increase in their awareness of their surroundings, their thoughts, and their bodily sensations. Mindful listening, in particular, can heighten sensitivity to sounds and promote a deeper connection with the environment. 3. Improved Concentration : Engaging in mindfulness exercises can enhance concentration and focus by directing attention to a single point of focus, such as the breath or immediate surroundings. This improved concentration may lead to increased productivity and effectiveness in daily tasks. 4. Insights and Reflections : Some participants may have gained insights or reflections about mindfulness, stress, and their own mental processes during the mindful thinking exercise. This introspection can lead to a deeper understanding of oneself and one's relationship with stress. Unpleasant or Uncomfortable Aspects: 1. Restlessness or Impatience : For individuals who are not accustomed to mindfulness practices, sitting still and focusing on the present moment may feel uncomfortable or tedious. Restlessness or impatience may arise as the mind wanders or struggles to stay focused. 2. Difficulty Clearing the Mind : Clearing the mind of thoughts and distractions can be challenging, especially for individuals with busy or overactive minds. Some participants may have found it difficult to maintain mindfulness for the entire duration of the exercise. 3. Awareness of Discomfort : Mindfulness practices can bring attention to physical discomfort or emotional distress that may have been previously overlooked. This heightened awareness of discomfort, such as muscle tension or negative emotions, may be uncomfortable for some participants. 4. Resistance to Silence : In a culture that values constant stimulation and activity, silence and stillness may be perceived as uncomfortable or unsettling. Some participants may have experienced resistance or discomfort with the quiet introspection required in mindfulness practice. Overall, participants' experiences with mindfulness practice sessions can vary widely, and it is important to acknowledge and respect individual differences in preferences and comfort levels. Despite any initial discomfort, many individuals find that regular mindfulness practice yields significant benefits for overall well-being and performance. 18-9. What concerns might you have about implementing a mindfulness intervention in the workplace? What are some of the obstacles you might face in trying to have employees eng study age in a mindfulness stress reduction program? Answer: Implementing a mindfulness intervention in the workplace can be a valuable initiative for promoting employee well-being and performance. However, several concerns and obstacles may arise in the process: 1. Resistance from Employees : One of the primary concerns is potential resistance from employees who may be skeptical or apprehensive about mindfulness practices. Some individuals may perceive mindfulness as too "new age" or incompatible with their personal beliefs, leading to reluctance to participate. 2. Time and Resources : Implementing a mindfulness intervention requires dedicated time and resources, including training for facilitators, program materials, and scheduling flexibility for employees to participate. Securing buy-in from management and allocating budgetary resources may be challenging, especially in organizations with competing priorities. 3. Cultural Sensitivity : Mindfulness practices may not resonate with all employees, particularly those from diverse cultural backgrounds. Organizations must consider cultural sensitivity and ensure that mindfulness programs are inclusive and respectful of different belief systems and values. 4. Perceived Effectiveness : Some employees may question the effectiveness of mindfulness interventions in reducing stress or improving well-being. Without tangible evidence or testimonials from peers, skepticism about the benefits of mindfulness may persist, hindering participation and engagement. 5. Logistical Challenges : Logistics such as scheduling conflicts, limited space for group sessions, or remote work arrangements can pose obstacles to employee engagement in mindfulness programs. Finding convenient times and locations for sessions that accommodate employees' work schedules may require creative solutions. 6. Stigma and Confidentiality : There may be stigma associated with seeking support for mental health or stress management issues in the workplace. Employees may be reluctant to participate in mindfulness programs due to concerns about confidentiality or fear of being perceived as weak or vulnerable by colleagues or supervisors. 7. Training and Support : Facilitating a mindfulness intervention requires skilled facilitators who are trained in mindfulness techniques and knowledgeable about workplace dynamics. Providing adequate training and ongoing support for facilitators is essential for ensuring the quality and effectiveness of the program. 8. Measuring Impact and ROI : Evaluating the impact of a mindfulness intervention on employee well-being, productivity, and organizational outcomes requires robust metrics and evaluation methods. Demonstrating a return on investment (ROI) to justify continued investment in the program may be challenging without clear evidence of benefits. Despite these concerns and obstacles, organizations can overcome barriers to implementing mindfulness interventions by addressing employee needs, fostering a supportive culture, and providing comprehensive training and resources. By promoting awareness, offering choice, and emphasizing the practical benefits of mindfulness for stress reduction and performance enhancement, organizations can encourage employee participation and create a more resilient and thriving workforce. 18-10. Bring the class together and discuss your responses. Answer: Gathering the class together to discuss their responses to the mindfulness exercises can provide valuable insights and foster a deeper understanding of the practice. Here are some discussion questions to guide the conversation: 1. Mindful Breathing : • How did focusing on your breaths make you feel? Did you notice any physical sensations or changes in your state of mind? • Did you find it challenging to maintain focus on your breaths for the full three minutes? If so, what distractions or obstacles did you encounter? • What strategies did you use to bring your attention back to your breaths when your mind wandered? 2. Mindful Listening : • What sounds did you notice during the mindful listening exercise? Were there any unexpected or surprising noises? • How did the experience of listening without judgment or evaluation differ from your usual mode of listening? • Did you find it difficult to maintain focus on the sounds around you? How did you respond to distractions or intrusive thoughts? 3. Mindful Thinking : • What thoughts or ideas about mindfulness and stress emerged during the mindful thinking exercise? • How did it feel to focus your attention solely on your thoughts without verbalizing or writing them down? • Did you notice any patterns or themes in your thoughts about mindfulness and stress? How did this experience compare to your usual thought processes? 4. Overall Reflection : • What did you learn or gain from participating in these mindfulness exercises? • How do you think incorporating mindfulness practices into your daily routine could benefit you personally and professionally? • What are some potential challenges or barriers you might encounter in integrating mindfulness into your life, and how could you overcome them? Encouraging open and honest discussion among the class members can deepen their understanding of mindfulness and its potential applications in various aspects of their lives. Sharing experiences and insights can also foster a sense of community and support as individuals embark on their mindfulness journey together. Sources: E. Langer, “Mindfulness in the Age of Complexity,” Harvard Business Review, March 2014,68–73; H. J. E. M. Alberts and U. R. Hülsheger, “Applying Mindfulness in the Context of Work: Mindfulness-Based Interventions,” in J. Reb and P. W. B. Atkins, Mindfulness in Organizations (Cambridge, UK: Cambridge University Press, 2015), 17–41; K. A. Aikens, J. Astin, K. R. Pelletier, K. Levanovich ,C. M. Baase, Y. Y. Park, and C. M. Bodnar, “Mindfulness Goes to Work: Impact of an Online Workplace Intervention,” Journal of Occupational and Environmental Medicine 56 (2014): 721–31. Teaching Notes This exercise is applicable to face-to-face classes or synchronous online classes such as Black Board 9.1, Breeze, WIMBA, and Second Life Virtual Classrooms. See http://www.baclass.panam.edu/imob/SecondLife for more information. Ethical Dilemma All Present and Accounted For Diya looked at the records of Jose’s workstation logins, and she wasn’t pleased. Day after day, week after week, the record showed that Jose had consistently been at his computer, writing code and compiling data on user experiences. In the tech industry, long hours without a break are expected, but Diya knew that her friend Jose was pushing himself past the point of exhaustion. He had been suffering for weeks from an unidentified upper respiratory ailment, and she worried that without rest, he’d never get better. But pressure for rapid progress from their supervisor left Jose feeling like he had little choice but to keep grinding out the long hours, sick or not. The problem of absenteeism, not showing up for work when expected, is a classic struggle for managers. Recent attention has suggested, however, that absenteeism has an opposite with its own negative consequences—presenteeism. Presenteeism occurs when an employee continues to go to work despite illness. Unlike absenteeism, presenteeism may arise specifically because management is pushing for it. An employee can engage in presenteeism for a variety of reasons, but as the story of Jose describes, sometimes it’s a response to work pressure. Companies that put extensive resources into monitoring employee attendance also tend to experience higher levels of presenteeism. In other words, empirical evidence suggests companies are sending signals to employees that attendance is required—even when they are too ill to work. Some companies have started to buck the trend. Microsoft, for example, has pushed its contractors to provide employees with greater access to sick-leave benefits. Pressure to come to work when sick is obviously a significant source of stress. And stress weakens the immune response. This means a culture of presenteeism will eventually lead to long-term illness. It therefore seems Diya’s concerns for Jose’s long-term health are well-founded. When sick employees come into work, it also increases the odds that others will be infected. Over time, this can result in systemic work delays. A large, stable organization like Microsoft may have a comparatively easy time seeing the big-picture positive consequences of discouraging presenteeism. In a small firm that has short-term contracts with larger organizations, like the one Jose and Diya work for, it can be very tempting to push employees to come into work no matter what. A few days off the job could mean the loss of a significant business opportunity. And so employees give in to pressure and struggle through their work days, as long as they can. Sources: D. Engber, “Quit Whining about Your Sick Colleague,” New York Times, December 29, 2014,http://www.nytimes.com/2014/12/30/opinion/quit-whining-about-your-sick-colleague.html;C. C. Miller, “From Microsoft, a Novel Way to Mandate Sick Leave,” New York Times, March 26, 2015,http://www.nytimes.com/2015/03/26/upshot/26up-leave.html?abt=0002&abg=0; and S. Deery,J. Walsh, and C. D. Zatzick, “A Moderated Mediation Analysis of Job Demands, Presenteeism, and A bsenteeism,” Journal of Occupational and Organizational Psychology, June 2014, 352–69._ Questions 18-11. How might presenteeism be an adaptive response to perceived performance pressure? How is it a response to work demand pressures? Answer: Organizations that stress minimizing absenteeism may be setting themselves up for a different type of problem – presenteeism, or coming to work even when ill. In this type of organization, employees may worry that they will face negative consequences if they fail to be at work, and so feel pressure to limit sick days even when they are warranted. 18-12.Do employers have an ethical responsibility to discourage presenteeism? Why or why not? Answer: Yes, employers have an ethical responsibility to discourage presenteeism in the workplace. Presenteeism refers to the practice of employees coming to work despite being ill, injured, or otherwise unable to perform at their full capacity. While absenteeism (missing work) is often viewed as a problem, presenteeism can also have detrimental effects on both employees and the organization as a whole. Here's why employers have an ethical responsibility to address presenteeism: 1. Employee Well-being : Encouraging employees to prioritize their health and well-being is a fundamental ethical responsibility for employers. When employees feel pressured to come to work while sick or injured, their physical and mental health may suffer. Ignoring signs of illness or neglecting self-care can exacerbate health issues and lead to long-term consequences for individuals. 2. Workplace Culture : Promoting a healthy work-life balance and fostering a supportive workplace culture are ethical imperatives for employers. When employees feel valued and respected, they are more likely to prioritize their health and seek necessary time off when they are unwell. Conversely, a culture that rewards presenteeism may create a climate of fear or stigma around taking sick leave. 3. Productivity and Performance : Contrary to popular belief, presenteeism does not necessarily equate to increased productivity. Employees who come to work while sick or fatigued may be less productive, make errors, or spread illness to coworkers. Addressing presenteeism can ultimately improve overall productivity and performance by ensuring that employees are able to work at their best when they are healthy and well-rested. 4. Employee Engagement and Morale : Presenteeism can negatively impact employee engagement and morale by contributing to stress, burnout, and dissatisfaction. When employees feel compelled to work while unwell, they may experience heightened levels of stress and resentment towards their employer. Creating an environment where employees feel supported in prioritizing their health can enhance engagement and morale. 5. Organizational Reputation : Employers have a responsibility to uphold their reputation as responsible and ethical organizations. Allowing or implicitly encouraging presenteeism can damage the organization's reputation and credibility, both internally and externally. Employees may perceive the organization as prioritizing profits over their well-being, leading to decreased loyalty and trust. In summary, employers have an ethical responsibility to discourage presenteeism in the workplace by promoting a culture of health, well-being, and respect. By prioritizing employee well-being, fostering a supportive workplace culture, and addressing the underlying factors that contribute to presenteeism, employers can create an environment where employees feel empowered to prioritize their health without fear of negative repercussions. 18-13.How might a company work to change employee attitudes and behaviors about presenteeism? In other words, what would an effective presenteeism prevention program look like? Answer: An effective presenteeism prevention program requires a multi-faceted approach that addresses both organizational and individual factors contributing to presenteeism. Here are some strategies that a company can implement to change employee attitudes and behaviors about presenteeism: 1. Promote a Healthy Work-Life Balance : Encourage employees to prioritize their health and well-being by promoting a healthy work-life balance. Provide flexible work arrangements, such as telecommuting options or flexible hours, to accommodate employees' needs and allow for better recovery when they are unwell. 2. Educate Employees : Raise awareness about the risks and consequences of presenteeism through educational workshops, training sessions, and communication campaigns. Help employees understand that working while sick or fatigued can negatively impact their health, productivity, and overall well-being. 3. Lead by Example : Demonstrate a commitment to employee well-being by fostering a culture where taking sick leave when needed is encouraged and supported. Leaders and managers should lead by example by prioritizing their own health and modeling healthy work behaviors. 4. Provide Supportive Policies and Practices : Implement policies and practices that support employees' health and well-being, such as generous sick leave policies, access to employee assistance programs (EAPs), and resources for managing stress and work-life balance. Ensure that employees feel supported and empowered to take time off when they are unwell. 5. Encourage Open Communication : Create a culture of open communication where employees feel comfortable discussing their health concerns and seeking support from their managers and colleagues. Encourage managers to have regular check-ins with employees to discuss workload, stressors, and any potential barriers to taking time off when needed. 6. Recognize and Reward Healthy Behaviors : Recognize and reward employees who prioritize their health and well-being by taking appropriate time off when they are unwell. Celebrate employees who demonstrate resilience and self-care practices, and highlight their positive impact on the workplace. 7. Provide Resources for Remote Work and Telemedicine : Offer resources and support for remote work arrangements and telemedicine options to allow employees to work from home when they are unwell. This can help prevent the spread of illness in the workplace and support employees in managing their health more effectively. 8. Regularly Evaluate and Adjust Strategies : Continuously monitor the effectiveness of presenteeism prevention efforts through employee feedback, surveys, and performance metrics. Evaluate the impact of policies and programs on employee attitudes and behaviors, and make adjustments as needed to ensure ongoing effectiveness. By implementing these strategies, companies can create a supportive and healthy work environment where employees feel empowered to prioritize their health and well-being, ultimately reducing presenteeism and promoting a culture of productivity and engagement. Case Incident 1 Atos: Zero Email Program The technology that gave us the smart phone, tablet, and laptop has enabled employees to access their work from anywhere in the world. Communication has been enhanced by the use of texts, calls, instant messages, email, and social networking sites. The burden of being an anytime–anywhere worker is having a negative impact on the health of employees, family life, and productivity. Employees are experiencing unmanageable workloads, the loss of face-to-face relationships with colleagues, and the overuse of emails in managing difficult work-related issues. However, the future of work is changing from a directive approach towards collaborative frameworks that cause employees to think and act differently. In 2011, Thierry Breton, Chairman and CEO of technology giant ATOS, launched a Zero Email program. The organization focuses on business technology and helps organizations to develop into firms of the future. Atos recognized that email is a barrier to collaborative transformation. Breton’s initiative was launched to completely eliminate the use of email for internal communications and to use enterprise social initiatives instead. Eliminating emails a key pillar of the organization’s internal wellbeing artwork initiative, which is designed to enhance working conditions. The aim was to move towards a social, collaborative enterprise that shares knowledge and finds experts easily to respond to the needs of clients quickly and efficiently, delivering tangible business results. The culture evolved from one based on hierarchies and command-and-control to amore open environment. Leaders and employees can now engage with each other quickly and easily. This challenged established ways of working and the tools that were used, and introduced new technologies and behaviours. The focus of the Zero Email initiative was to reduce the overall messaging load on the 76,000 business technologists who work for Atos in 52 countries. Emails that were previously used to assign employees to tasks have been replaced by discussions in online communities where employees communicate, share best practices, and develop new ideas. Collaborative operations have resulted in more efficient teamwork: 25 percent of work time previously devoted to email activities is now spent on business activities. Internal email disruption and overload has been reduced by 60 percent. In addition, Atos has introduced a certification process that has resulted in the redesign of 220 business processes to become email-free. Greater digital connectivity goes hand-in-hand with greater worker responsibility. According to Randstad’s Work monitor Global Report in 2015, 57 percent of employees surveyed stated that their employer expects them to be available outside regular office hours. The results revealed that 89 percent of Chinese workers believed that they should be available outside of working times in contrast to 40 percent of employees in Sweden. Globally, 47 percent of the respondents said that their employer expects them to be available by phone and email during holidays. Rather than getting rid of emails or texting, we must put them to better use. Organizations need to advise employees on the acceptable times to email, how to avoid overload of information, the overuse of email and the benefits of face-to-face communication. They must also address the need for work–life balance. Recently, the French trade union that represents employees in the technology and consultancy sectors, which includes divisions of Google, Facebook, and Deloitte, agreed to allow staff to shut off their phones and computers after 6 pm. It was agreed that organizations cannot pressure their employees or make them feel bad about not checking or responding to their email. As employees across the world see their work days grow longer and the boundaries between their personal and work lives getting increasingly blurred, firms—like Atos—must address this challenge by implementing a cultural change supported by the adaptation of employee behavior and management styles. Sources: “Collaboration and Social Media,” Atos Official Website, http://atos.net/en-us/home/weare/zero-email.html#; C. Cooper, “Work Email Is Making Us a ‘Generation of Idiots’. Time to Switch Off,” The Guardian, May 14, 2015, http://www.theguardian.com/commentisfree/2015/may/14/work-email-benefits-technology-human-interaction; Global Report Randstad Work monitor, “Working Hours vs. Private Time: Blurred Lines Incl. Quarterly Mobility, Job Change and Job Satisfaction,” Wave 2 2015, Group Communications Randstad Holding nv.; A. Kjerulf, “5 Awesome Corporate Email Policies,” November 20, 2014, http://positivesharing.com/2014/11/5-awesome-corporateemail-policies/. Questions 18-14. Consider the sources of stress in modern organizations such as Atos. Identify individual differences that can moderate the effect of stress. Answer: The potential sources of stress in modern organizations such as Atos include the following: •Environmental factors: Economic uncertainty, political uncertainty, and technological change •Organizational factors: Task demands, role demands, and interpersonal demands •Personal factors: Family factors, economic problems, and personality The individual differences that can moderate the effect of stress are perception, job experience, social support, belief in their locus of control, self-efficacy, and hostility. 18-15. Describe the symptoms of stress that may be experienced by employees Answer: The symptoms of stress that may be experienced by employees include the following: •Physiological symptoms, including changes in metabolism; increased heart rates, breathing rates, and blood pressure; headaches; and heart attacks. •Psychological symptoms, including tension, anxiety, irritability, boredom, and procrastination. •Behavioral symptoms, including reduced productivity, absence, lower turnover, changes in eating habits, and sleep disorders. 18-16. Recommend two further strategies that could be introduced in Atos to help employees manage the demands of the “always on” working environment. Answer: Individual strategies could be introduced in Atos to help employees manage the demands of the “always on” working environment such as time-management techniques, increased physical exercise, relaxation training, and expanded social support networks. In addition, organizational strategies could be implemented, including improved employee selection and job placement, training, realistic goal-setting, redesign of jobs, increased employee involvement, improved organizational communication, employee sabbaticals, and corporate wellness programs. Case Incident 2 When Companies Fail to Change The Triniton TV, transistor radio, Walkman, and VCR are the stuff of time capsules nowadays, but not long ago they were cutting-edge technology. Japan was at the pinnacle of the home consumer electronics industry from the 1970s to the 1990s, introducing new innovations to the world each year. Now those same Japanese firms are at the back of the pack and struggling to stay in the game. Japanese electronics production has fallen by more than 41 percent, and Japan’s global market share of electronics goods and services has decreased by more than half since 2000. Sony, for example, hasn’t earned a profit since 2008. What happened? The simple answer is failure to innovate. While firms outside Japan pioneered digitalized technology and conquered the Internet, Japanese firms stuck to semiconductors and hardware. But the deeper issue is the refusal of Japanese managers to adapt to the changing global environment and to change their organizations accordingly. For instance, Sony mastered the technology needed for a digital music player years before Apple introduced the iPod in 2001, but its engineers resisted the change. Sony’s divisions would not cooperate with one another fast enough to compete in this market, or in the new market for flat-screen TVs. Even now, Sony has not managed to change its organization to reflect current global thinking in the industry. For instance, they and other Japanese firms make a larger number of products than most of their global competitors. Former Sony executive Yoshiaki Sakito said, “Sony makes too many models, and for none of them can they say, ‘This contains our best, most cutting-edge technology.’ Apple, on the other hand, makes one amazing phone in just two colors and says, ‘This is the one.’” For Japanese electronics companies to survive, they must change. They were once able to structure their organizations around abundant, inexpensive labor to keep costs down and prices competitive, but that’s no longer the case. One complicating factor is that Japan is an ancient country of many traditions, with a low birth rate and an aging population. The country’s culture will make it even more difficult to realign to globalization. It now must change to foster innovation, which may involve a cultural as much as an organizational transformation. Sources: H. Hiyama, “Sony Break-Up Call Shines Light on Electronics Industry Problems,” Japan Today (June 7, 2013), http://www.japantoday.com/category/opinions/view/sony-break-up-call-shines-light-on-electronic-industry-problems; R. Katz, “How Japan Blew Its Lead in Electronics,” The Wall Street Journal (March 23, 2012), p. A15; and H. Tabuchi, “How the Parade Passed Sony By,” The New York Times (April 15, 2012), pp. B1, B7. Questions 18-17. What made the Japanese electronics industry initially successful? Answer: The Japanese electronics industry initially found success through a combination of factors: 1. Quality and Innovation : Japanese companies prioritized quality and innovation, producing electronic products that were known for their reliability, performance, and cutting-edge technology. This commitment to excellence helped Japanese brands gain a competitive edge in global markets. 2. Continuous Improvement : Japanese companies embraced the principles of continuous improvement and kaizen, constantly seeking ways to enhance product quality, efficiency, and customer satisfaction. This focus on incremental innovation and refinement allowed Japanese companies to stay ahead of competitors. 3. Strong Work Ethic : Japanese culture places a high value on hard work, discipline, and dedication. Employees in the electronics industry were known for their work ethic, attention to detail, and commitment to excellence, contributing to the success of Japanese companies. 4. Collaborative Relationships : Japanese electronics companies fostered close relationships with suppliers, customers, and research institutions, facilitating collaboration and knowledge-sharing. This collaborative approach enabled Japanese companies to leverage external expertise and resources to drive innovation and competitiveness. 5. Government Support : The Japanese government played a significant role in supporting the electronics industry through policies such as industrial subsidies, trade protection, and investments in research and development. Government initiatives helped to create a conducive environment for industry growth and competitiveness. 6. Global Expansion : Japanese electronics companies pursued aggressive international expansion strategies, establishing global supply chains, distribution networks, and manufacturing facilities. This global presence allowed Japanese brands to reach new markets and gain market share worldwide. Overall, the success of the Japanese electronics industry was driven by a combination of factors including quality, innovation, continuous improvement, strong work ethic, collaborative relationships, and government support. These factors contributed to the rise of iconic Japanese brands and established Japan as a global leader in the electronics industry. 18-18. How does a corporation such as Sony fundamentally differ from one like Apple? Answer: Sony dabbles in many different markets and has numerous models instead of just one stand-out model that is their best and contains their latest ideas and technology. On the other hand, Apple has one major model for each market and promotes that single product as the best in its market. Sony and Apple are both prominent multinational corporations in the technology and electronics industries, but they fundamentally differ in their business models, corporate cultures, and strategic approaches. Here are some key differences between the two companies: 1. Business Model : • Sony: Historically, Sony has been known for its diversified business portfolio, spanning consumer electronics, entertainment, gaming, and financial services. Sony's business model revolves around developing and manufacturing a wide range of products, including televisions, audio equipment, cameras, gaming consoles, and smartphones. • Apple: Apple, on the other hand, primarily focuses on designing and marketing consumer electronics, software, and digital services. Apple's business model is centered around creating integrated hardware-software ecosystems, with flagship products such as the iPhone, iPad, Mac, and Apple Watch complemented by software services like iOS, macOS, and iCloud. 2. Corporate Culture : • Sony: Sony has a rich legacy of innovation and creativity, driven by a culture that values engineering excellence, design aesthetics, and artistic expression. Sony's corporate culture emphasizes collaboration, experimentation, and risk-taking, with a strong emphasis on product development and technological innovation. • Apple: Apple is known for its culture of secrecy, focus, and meticulous attention to detail. Apple's corporate culture is characterized by a relentless pursuit of perfection, led by visionary leadership and a design-centric approach. Apple prioritizes simplicity, elegance, and user experience in its products, often setting industry standards for innovation and design. 3. Product Philosophy : • Sony: Sony has traditionally pursued a strategy of product diversification, offering a wide range of consumer electronics and entertainment products to cater to diverse market segments. Sony aims to create innovative products that enhance entertainment experiences and enrich people's lives, leveraging its expertise in hardware, software, and content creation. • Apple: Apple is known for its focus on a few key products that integrate hardware, software, and services seamlessly. Apple's product philosophy revolves around simplicity, elegance, and user-centric design, with an emphasis on creating intuitive and user-friendly experiences. Apple products are designed to appeal to premium market segments, with a focus on quality, craftsmanship, and brand loyalty. 4. Market Position : • Sony: Sony competes in multiple markets, including consumer electronics, gaming, entertainment, and imaging. While Sony has a strong brand presence and legacy, it faces stiff competition from rivals in each of its product categories. • Apple: Apple occupies a unique position in the market as a premium brand with a loyal customer base and strong ecosystem lock-in. Apple's products command premium pricing and enjoy high customer satisfaction, contributing to the company's profitability and market dominance. Overall, while both Sony and Apple are leaders in the technology and electronics industries, they differ in their business models, corporate cultures, product philosophies, and market positions. These differences shape their respective approaches to innovation, product development, and strategic decision-making. 18-19. Where might Japanese organizations outsource production to remain competitive in today’s markets? Answer: Japanese organizations may outsource production to various countries and regions to remain competitive in today's markets. Some potential outsourcing destinations include: 1. China : China is a popular outsourcing destination for Japanese organizations due to its large labor force, lower production costs, and established manufacturing infrastructure. Many Japanese companies have established manufacturing facilities or partnerships with Chinese suppliers to leverage cost advantages and access global markets. 2. Southeast Asia : Countries in Southeast Asia, such as Vietnam, Thailand, and Indonesia, offer competitive labor costs, favorable business environments, and proximity to key markets. Japanese organizations may outsource production to these countries to take advantage of cost savings and expand their manufacturing footprint in the region. 3. India : India has emerged as a growing outsourcing destination for manufacturing, particularly in industries such as electronics, automotive, and textiles. Japanese companies may outsource certain production processes or components to Indian manufacturers to capitalize on India's skilled workforce and competitive pricing. 4. Mexico : Mexico is an attractive outsourcing destination for Japanese organizations targeting the North American market. Proximity to the United States, favorable trade agreements, and a skilled labor force make Mexico an appealing option for outsourcing production, especially for industries such as automotive and electronics. 5. Eastern Europe : Countries in Eastern Europe, such as Poland, Hungary, and the Czech Republic, offer competitive production costs, skilled labor, and a strategic location within the European market. Japanese organizations may outsource manufacturing operations to Eastern European countries to access the European customer base and streamline supply chain logistics. 6. Nearshore Outsourcing : Nearshore outsourcing involves contracting manufacturing services to neighboring countries or regions with geographic proximity. Japanese organizations may engage in nearshore outsourcing to countries such as Taiwan, South Korea, or Malaysia to benefit from shorter lead times, reduced transportation costs, and cultural alignment. Overall, Japanese organizations may strategically outsource production to various global destinations based on factors such as cost competitiveness, market access, supply chain efficiency, and regulatory considerations. By leveraging outsourcing partnerships strategically, Japanese companies can enhance their competitiveness, agility, and market presence in today's dynamic business landscape. My Management Lab Go to mymanagementlab.com for Auto-graded writing questions as well as the following Assisted-graded writing questions: 18-20. How can employers create a favorable context for cultural innovation? What sources of innovation can the employer rely upon? Answer: Employers can create a favorable context for cultural innovation by fostering an environment that values diversity, encourages creativity, and promotes collaboration. Here are some strategies to facilitate cultural innovation in the workplace: 1. Diverse Workforce: Employers should strive to build diverse teams that bring together individuals with different backgrounds, perspectives, and experiences. Diversity fuels innovation by challenging conventional thinking, fostering creativity, and promoting a culture of inclusion where diverse ideas are welcomed and valued. 2. Open Communication: Encourage open and transparent communication channels where employees feel empowered to share their ideas, opinions, and feedback. Create forums for brainstorming sessions, idea exchanges, and cross-functional collaboration to stimulate creative thinking and problem-solving. 3. Risk-Taking Culture: Cultivate a culture that embraces risk-taking and experimentation, where employees feel empowered to take calculated risks and explore new ideas without fear of failure. Encourage a mindset of resilience, adaptability, and learning from setbacks as opportunities for growth and innovation. 4. Empowerment and Autonomy: Provide employees with autonomy and ownership over their work, allowing them to pursue innovative ideas and initiatives that align with organizational goals. Empower employees to take initiative, challenge the status quo, and drive change within their respective roles and teams. 5. Continuous Learning and Development: Invest in employee development programs that foster creativity, critical thinking, and problem-solving skills. Provide opportunities for training, workshops, and cross-functional collaboration to stimulate intellectual curiosity and expand employees' knowledge and capabilities. 6. Leadership Support and Alignment: Engage leaders and senior management in championing cultural innovation as a strategic priority for the organization. Leaders should lead by example, demonstrate a commitment to innovation, and provide resources and support to enable employees to innovate and experiment. 7. Recognition and Rewards: Recognize and reward employees for their contributions to cultural innovation, whether through monetary incentives, awards, or public recognition. Celebrate successes and milestones, and highlight examples of innovative thinking and creative problem-solving to inspire others. 8. External Partnerships and Collaboration: Foster external partnerships and collaboration with industry partners, academic institutions, startups, and innovation hubs to access new ideas, technologies, and perspectives. Collaborate with external stakeholders to co-create innovative solutions and stay ahead of market trends. Sources of innovation that employers can rely upon include: • Employee Ideas and Insights: Employees are a valuable source of innovation, drawing from their diverse backgrounds, expertise, and perspectives to generate new ideas and solutions. • Customer Feedback and Insights: Customer feedback and market research provide valuable insights into emerging trends, unmet needs, and opportunities for innovation. • Technology and Research: Emerging technologies, scientific research, and industry trends offer opportunities for technological innovation and disruptive change. • Cross• Functional Collaboration: Collaboration across departments, teams, and disciplines fosters innovation by bringing together diverse skills, knowledge, and perspectives. • External Partnerships and Networks: Collaborating with external partners, suppliers, startups, and industry experts can provide access to new ideas, resources, and market opportunities. • Organizational Culture and Values: A culture that values creativity, experimentation, and continuous improvement serves as a foundation for cultural innovation within the organization. 18-21. In regard to Case Incident 2, only 13 of the top 21 U.S. electronics manufacturers today were in existence in 1970 (and six were smaller than Fortune 500 firms), while there have been no new top Japanese electronics manufacturers for more than 50 years. How do you think their age issues affect the ability of Japanese firms to bring about the changes they need to be competitive? Answer: The age issues faced by Japanese firms, particularly the lack of new top electronics manufacturers in over 50 years, can significantly impact their ability to bring about the changes needed to remain competitive in the rapidly evolving global market. Here's how these age-related challenges can affect Japanese firms: 1. Innovation and Agility : Older firms may struggle to innovate and adapt to changing market dynamics due to entrenched organizational structures, processes, and cultural norms. The absence of new entrants in the Japanese electronics sector suggests a lack of fresh perspectives and disruptive innovations that could drive industry transformation. 2. Risk Aversion and Resistance to Change : Established firms may exhibit a tendency towards risk aversion and resistance to change, stemming from a desire to protect existing market positions and legacy business models. This can hinder the adoption of new technologies, business practices, and organizational strategies needed to stay competitive in today's fast-paced digital economy. 3. Legacy Infrastructure and Systems : Older firms may be burdened by legacy infrastructure, systems, and technologies that are costly to maintain and difficult to modernize. This can impede efforts to streamline operations, enhance efficiency, and leverage emerging technologies such as artificial intelligence, data analytics, and automation. 4. Talent Retention and Succession Planning : Japanese firms may face challenges in attracting and retaining top talent, particularly younger employees who are drawn to dynamic, innovative work environments. Succession planning and leadership development become critical as older executives retire and younger leaders are groomed to drive organizational change and innovation. 5. Competitive Disadvantage : The absence of new top Japanese electronics manufacturers indicates a lack of fresh competition and market dynamism, potentially leading to complacency and diminished competitive pressure within the industry. This can hamper innovation, product differentiation, and customer-centricity, ultimately eroding market share and profitability. To address these age-related challenges and foster competitiveness, Japanese firms must prioritize strategic initiatives aimed at driving innovation, fostering agility, and embracing change. This may involve investing in research and development, forging partnerships with startups and technology firms, modernizing infrastructure and processes, nurturing a culture of innovation and experimentation, and empowering employees to drive organizational change. By embracing a forward-thinking mindset and adapting to evolving market conditions, Japanese firms can position themselves for long-term success and sustainability in the global electronics industry. 18-22. My Management Lab Only – comprehensive writing assignment for this chapter. Answer: Introduction: Organizational change is a constant in today's dynamic business environment, driven by factors such as technological advancements, market disruptions, and evolving customer preferences. While change is essential for growth and innovation, it can also induce stress and uncertainty among employees. Effective stress management is therefore crucial for navigating organizational change successfully and fostering a resilient workforce. This comprehensive writing assignment explores strategies for managing stress during times of organizational change, empowering employees to adapt, thrive, and contribute positively to the transformation process. Understanding the Impact of Organizational Change on Stress: Organizational change can manifest in various forms, including mergers and acquisitions, restructuring, process improvements, and technology implementations. These changes often disrupt established routines, roles, and relationships within the organization, triggering feelings of anxiety, insecurity, and resistance among employees. The uncertainty surrounding change, coupled with fear of job loss, increased workloads, and unfamiliarity with new systems or processes, contributes to heightened stress levels among employees. Identifying Sources of Stress: To effectively manage stress during organizational change, it is essential to identify the specific sources of stress experienced by employees. Common sources of stress may include: 1. Uncertainty about the future of the organization and job security. 2. Increased workload and pressure to meet new performance expectations. 3. Lack of clarity or communication regarding the reasons for change and its impact on employees. 4. Resistance to change from colleagues or leadership. 5. Feelings of isolation or loss of camaraderie due to changes in team structures or roles. 6. Fear of incompetence or inability to adapt to new technologies or processes. 7. Balancing work and personal life amidst organizational upheaval. Strategies for Effective Stress Management: Organizations can implement various strategies to support employees in managing stress during times of change: 1. Transparent Communication: Foster open and honest communication channels to provide employees with timely information about the reasons for change, its anticipated impact, and the organization's vision for the future. Address employee concerns and questions proactively, demonstrating empathy and understanding. 2. Empowerment and Involvement: Involve employees in the change process by soliciting their input, ideas, and feedback. Empower employees to contribute to decision-making and problem-solving, fostering a sense of ownership and control over the change process. 3. Training and Development: Provide employees with the necessary training, resources, and support to build new skills and competencies required for the changing work environment. Offer opportunities for upskilling, reskilling, and professional development to enhance confidence and competence in adapting to change. 4. Employee Assistance Programs (EAPs): Offer access to EAPs and mental health resources to support employees in managing stress, anxiety, and emotional well-being. Provide confidential counseling services, stress management workshops, and resilience-building activities to help employees cope with change-related challenges. 5. Flexible Work Arrangements: Implement flexible work policies and arrangements, such as remote work options, flexible hours, and compressed workweeks, to accommodate employees' diverse needs and promote work-life balance during periods of change. 6. Recognition and Appreciation: Recognize and appreciate employees' efforts and contributions to the change process, celebrating milestones and successes along the way. Acknowledge the challenges and sacrifices made by employees, fostering a culture of appreciation and mutual support. 7. Leadership Support and Role Modeling: Engage leaders and managers as role models for managing stress and navigating change effectively. Encourage leaders to lead by example, demonstrating resilience, adaptability, and empathy in their interactions with employees. Conclusion: Navigating organizational change can be a challenging and stressful experience for employees, but with the right strategies and support systems in place, organizations can mitigate stress and facilitate a smooth transition. By prioritizing transparent communication, employee empowerment, training and development, mental health support, flexible work arrangements, and leadership engagement, organizations can foster a culture of resilience, agility, and collaboration. By investing in effective stress management during times of change, organizations can empower employees to thrive amidst uncertainty and contribute positively to the organization's success in the long run. Instructor’s Choice Applying the Concepts At present, the number two carmaker in the world is Toyota. Of all the carmakers that could challenge Toyota and its position, few would have predicted that a very serious challenge may come from Korea’s Hyundai. At one time, Hyundai was the joke of the auto world. Today, Hyundai excels at quality (it now matches Toyota and Honda), R&D (it has opened design shops in the United States, Europe, and Asia and spends $5.4 billion on R&D), globalization (exports are now 60% of its business and it plans to produce at least 5 million cars annually by the end of the decade), and scale (Hyundai purchased rival Kia and is now able to offer better prices to distributors and customers). Under the leadership of its management and design team, Hyundai’s changes in structure and strategy have propelled it into the limelight. All in the industry predict that Hyundai’s new car (the new Sonata) will be a serious Camry fighter and real winner internationally, where quality and styling are very important. If Hyundai can prove itself in industry sales tests, it will mark the first time that a serious threat to Japan’s dominance in the mid-car family car line will be challenged. •Using a search engine of your own choosing, go to the Hyundai website (www.hyundai.com) and review the information on this rising automobile manufacturing superstar. List five facts you find that support the contention that the company has adopted a change management attitude. •Using a search engine of your own choosing, find secondary information that analyzes Hyundai. After reading the information, characterize the company, indicate change processes that you see at work, and make a prediction as to the company’s success in the future. Instructor’s Discussion To familiarize yourself with Hyundai, review “Building a ‘Camry Fighter’” in BusinessWeek, September 6, 2004, pp. 62–63. The students will also find a great deal of information on the company’s website. Students should also review the websites of competitors Toyota and Honda. An interesting way to discuss this exercise is to divide the class into car groups and have each competitive group outline a change strategy to beat the other competitors. Teams can gain enough information to complete their task by reviewing industry websites. Exploring OB Topics on the Web
1. What would be your strategy if you were called upon to be a “change agent” for your organization? How would you begin, gather information, and create buy-in for your ideas? Go to Fast Company’s website, where they feature an article on this topic (http://www.fastcompany.com/online/05/changetips.html). Even more interesting, read several of the reader responses linked at the bottom of the webpage. Write a short reaction paper on why you think there is such a difference from the article’s perspective versus the readers’ comments. What OB strategies would you use as change agent to address some of those readers’ concerns? 2. Resistance to change is a concern when making organizational changes. But as we read in the text, it is to be expected. Read about the Theory of Constraints (TOC) model used by some organizations to better know where resistance is and how to develop a strategy for addressing it. Visit http://www.focusedperformance.com/articles/resistance.html to find an article on TOC and how to take advantage of resistance. Print and bring to class for further discussion. 3. Write a two-page paper on Knowledge Management. It can be a general paper, or you can choose to focus on different aspects of KM, such as the challenges of such a system or how KM enhances organizational effectiveness or innovation. For an overview on Knowledge Management, go to http://www.km-forum.org/what_is.html. Don’t hesitate to do your own search—there are many, many interesting websites on this topic. Solution Manual for Organizational Behavior Timothy A. Judge Stephen P. Robbins 9781292146300, 9780133507645, 9780136124016
