Slide title

ORGANISATIONS,
PEOPLE &
PERFORMANCE

Understanding the
Organisation

Supplementary Slides
GLOBAL CULTURE
Session Objectives
By the end of this session you will be able to:

 Understand the importance of cross cultural management

within the context of globalisation
 Appreciate cross cultural differences
 Understand leading models regarding national cultural
differences
 Take a critical approach to the analysis of national cultural
differences
 Understand the difficulties associated with cross cultural
management.
Cross Cultural awareness
 Globalisation continues at pace and
therefore cross cultural working, and the
potential challenges of this, impact
organisations;
 A number of “models” exist as a way of
understanding cross cultural diversity.

4
Hofstede on National Cultures

 National cultural differences are significant differences

identified across countries based on the empirical
observation of cultural dimensions

 Geert Hofstede surveyed IBM managers in a number of

countries. The survey did not begin as a cultural survey but
was an internal survey of employee attitudes.

 Hofstede then attempted to explain the patterns of response

using a number of dimensions.
Hofstede (1980) Cultural Dimensions
High Scores

• Inequality Expected / Accepted

Power distance • Superiors not accessible

• I rather than we or community

Individualism • Private opinions

• Performance/ Achievement Focus

•
Masculinity
Live to work
• Decisiveness
• Less interest in Consensus

•
Uncertainty
Need for Strong Rules
• Stress/Urge to Work Hard
•
Avoidance
Emotion showed
• Conflict is a threat

• Pragmatic
Long term •
•
Acceptance of change
Perseverance
orientation • Not expecting quick results 6
Hofstede’s Cultural Dimensions
Power Distance
The extent to which the less powerful members of institutions and organisations within a
country expect and accept that power is distributed unequally. Cultures that endorse low
power distance expect and accept power relations that are more consultative or democratic.

Individualism vs Collectivism
Individualism pertains to societies in which the ties between individuals are loose: everyone
is only expected to look after themselves and their immediate family. Collectivism pertains
to societies in which people, from birth onwards, are integrated into strong cohesive in-
groups which, throughout people’s lifetime, continue to protect them in exchange for
unquestioning loyalty.

Masculinity vs Femininity
Masculine societies have clear and distinct social gender roles (i.e., men are supposed to be
assertive, tough and focused on material success, whereas women are supposed to be more
modest, tender, and concerned with the quality of life). Feminine societies have overlapping 7
social gender roles (i.e., both men and women are supposed to be modest, tender and
concerned with the quality of life).
Hofstede’s Cultural Dimensions
Uncertainty Avoidance
The extent to which the members of a culture feel threatened by unknown or
uncertain situations; seek predictability and rules.

Long Term Orientation

This describes societies’ time horizon and Long Term societies attach more importance
to the future and value rewards persistence, saving and capacity for adaption. Short
Term is about steadiness, respect for tradition, preservation of one’s face and fulfilling
social obligations.

Indulgence vs Restraint (new)

High Indulgence relates to hedonistic behaviours, people can freely satisfy their needs.
Restraint is concerned with strict social norms which regulate behaviour.

8
Hofstede - National Cultures
Country Power Individualism Masculinity Uncertainty Long Term
Distance Avoidance Orientation

UK 35 89 66 35 25

China 80 20 66 40 118

Nigeria 80 30 60 55 16

Thailand 64 20 34 64 56

Columbia 67 13 64 80 n/a

Pakistan 55 14 50 70 n/a

India 77 48 56 40 61

Canada 39 80 52 28 23

Mexico 81 30 69 82 n/a

Brazil 69 38 49 76 65

9
 Hofstede’s dimensions – Illustration
Time to get creative!

 As a group you have to choose a country to strongly represent each

end of the dimension.eg. one country for High on Masculinity and
one country for High on Feminity. Or one country for High on
Uncertainty avoidance index and one country for low on Uncertainty
avoidance index, etc
 Divide One flip chart into two parts.
 In each part, the group has to illustrate a symbolic representation of
the country or (how people would behave in a particular scenario in
that country) because of that particular dimension being high/low,
with reference to its position on the assigned dimension.
 Time for exercise – 10 minutes
 All posters go up on the wall.

10
Trompenaars & Hamden-Turner (2012) -
Cultural dimensions
 Trompenaars and Hampden-Turner propose seven dimensions,
based on societies’ need to find solutions to a number of core
problems – each of which entail dilemmas:

 How people relate to each other

 How people relate to the natural environment

 How they deal with the passage of time.

 The framework was applied to a large survey (50,000 managers in 55

countries) and explored in many management seminars over a 25
year period.
 Trompenaars & Hamden -Turner’s
Cultural (2012) dimensions
• Universalism vs. particularism: whether rules are applied impartially or depending on
the situation.
• Individualism vs. communitarianism: whether people derive their sense of identity
from their group or are more individualistic.
• Specific vs. diffuse: separation of work and private life. ‘Specific’ limits the involvement
of the whole person; ‘diffuse’ is the opposite.
• For example, when asked whether they would paint their boss’s house, two-thirds of
Chinese said they might – contrasted with 9% of Swedes.
• Neutral vs. affective: how do people express emotions (Japanese have a low tendency
to exhibit emotion, except when drinking – Spaniards higher).
• Achievement vs. ascription: is someone’s status based on ‘what they have done’
(achievement) or ‘who they are’ (ascription), such as age, gender?
• Time perspective: relative focus on the past or future in daily activities
• Relationship with the environment: the extent to which people believe they control the
environment or it controls them
Navigating the Cultural Minefield -
Erin Meyer (2014)
Meyer identified eight behaviour scales which need to be compared in a relative
way.

This is based on the stance that interpretation of people’s behaviour

is from the context of our own cultural background. This is inextricably linked
with ethical considerations.

Some rules:
Don’t underestimate the challenge, management and work styles stem from
lifelong habits that can be hard to change
Apply multiple perspectives, be aware of your own expectations and
behaviours and consider how members of other cultures perceive you
Find the positive in other approaches as differences can be a great asset
13
Continually adjust your position and be prepared to adapt
Erin Meyer – The Cultural Map (2014)

14
Erin Meyer – The Cultural Map (2014)

https
The GLOBE Project
Based on a review of the literature, the GLOBE* project conceptualised
nine dimensions on which national cultures appear to differ most:

– Performance Orientation
– Assertiveness
– Future Orientation
– Humane Orientation
– Institutional Collectivism
– In-Group Collectivism
– Gender Egalitarianism
– Power Distance
– Uncertainty Avoidance

*Global Leadership and Organizational Behaviour Effectiveness

Source: Javidan et al. (2006)
Challenges of cross cultural
management
No “one size fits all approach”
Multiple cultures and national cultural differences
take time to understand – in practice, leaders have
limited time
Stereotyping and unconscious bias influencing
approaches and decisions
Globalisation – largely based upon a western
“footprint”
17
 References
.
Hofstede, G. (1980) Cultures Consequences. London: Sage
Javidan, M., Dorfman, P., Sully de Luque, M., and House, R. (2006). In the
eye of the beholder: Cross cultural lessons in leadership from Project
GLOBE. Academy of Management Perspectives. February.
Meyer, E. (2014). The Culture Map: Breaking Through the Invisible
Boundaries of Global Business. New York: Public affairs.
Trompenaars, F. and Hampden-Turner, C. (2012) Riding the Waves of
Culture: Understanding Cultural Diversity in Business. London: Nicholas
Brealey.

18
POWER AND POLITICS
Objectives
By the end of this session you will be able to:

 Understand what power and politics are

 Appreciate different perspectives of power in organisations
 Appreciate the importance of networks
 Understand the factors contributing to political behaviour in
organisations
 Appreciate some political tactics used by individuals
 Understand the negative impact of organisational politics
Power
Power - Definitions
Power is a term which is used often but is a dynamic and
complex concept which is not necessarily straightforward to
define.

It is the capacity that A has to influence the behaviour of B so

that B acts according to A’s wishes (Adapted from Bass,
1990).

According to Etzioni (1975), power is the means by which

members of the organisation are induced to comply or
become involved with the organisation.
Power
 Power may exist but not actually be used.
Therefore, it is about potential or capacity.

 Power is a function of dependency. The

greater B’s dependence on A, the greater
A’s power is in this relationship.

23
Power – Three Perspectives

1) Power as property of the individual

2) Power as property of the relationship

3) Power as property of social and

organisational structures
24
Power as property of the
individual
This perspective views power as something that you
posses; resources that you can accumulate.

Power can be collected and grown from the position

that a manager holds in the organization (structural
sources), and from individual attributes possessed
(personal sources).
The main structural sources of power
include:
Formal position and authority
Physical and social position in the organization’s communication
network
The centrality of the unit or section to the business
Role in the resolution of business-critical problems and reducing
uncertainty
Ability to cultivate allies and supporters
The degree of unity and lack of internal dissent in the section
Access to, and control, over information and other resources
Pervasiveness of the activities in the organization, and being
irreplaceable.

Source: Buchanan and Badham (2020)

Personal sources of power include:

Energy, stamina, resilience, endurance

Ability to focus energy and avoid wasteful effort
Ability to read and understand others
Selecting flexible means to achieve goals
Individual toughness – willingness to engage in
confrontation and conflict
Ability to ‘play the subordinate’ or ‘play the team
member’ in order to get the support of others.

Source: Buchanan and Badham (2020)

Power as property of the
relationship

Power is a relational phenomenon. Power is

generated, maintained and even lost in the
context of relationships with others’.
(Pettigrew & McNulty, 1995)

This relational perspective stems from the

work of French and Raven.
 Sources or Bases of Power
French and Raven (1958) identified five sources:

Coercive power: Based on fear of the negative implications of not

complying
Reward power: Compliance through providing rewards which individuals
want
Legitimate power: The authority to give directions as a result of formal
hierarchy in an organisation
Expert power: Exercised due to particular skill, knowledge or expertise
possessed
Referent power: Based on identification with a person who possesses
desirable resources or personal traits

French (1965) added to this:

Informational power: Based on information possessed

Power as property of social and
organisational structures
Power is embedded in social and
organisational structures. Whilst power may
be less obvious, it can be powerful in
controlling behaviour
According to Lukes (2005), power in organisational structures
may be visible, covert or institutionalised:

Visible: Power used to make a decision in situations of

observable disagreement;
Covert: Non observable action or behaviour in order to keep
an issue off the agenda;
Institutional: Norms defined by senior management and
internalised by organisational members so that they
understand what is “normal” and act accordingly.

31
Politics

Let’s talk about Brexit! (No, not that type of

politics!)
Organisational Politics – Many definitions
and lack of consensus

Despite wide empirical research regarding

organisational politics, there continues to be
a lack of agreement regarding its definition
(Landells and Albrecht, 2013).

Many definitions of organisational politics

exist (see Drory & Romm, 1990).
33
Organisational Politics – Example
Definitions

Activities that are non sanctioned formally, but

which nevertheless, attempt to influence individual
decisions or behaviours (Bacharach & Lawler, 1988).

“Activities that are self-serving, illegitimate, and

often harmful to the organization or its members”
(Rosen et al, 2009, p. 203).

34
Political Dynamics
 Political behaviour is outside an individuals specified job
requirements

 It can require the use of an individuals power bases

 Even though it is not formally sanctioned, organisational politics is

a key part of organisational life

 Some people may regard political activities as necessary in order

to be successful

 The extent of political activities vary from organisation to

organisation
Factors contributing to political
behaviour
• Different goals, values and interests of people (Pfeffer,
1981);
• Limited organisational resources (Drory and Romm,
1990);
• Declining organisational resources e.g. due to downsizing
(Ferris and Kacmar, 1992);
• Availability of promotion opportunities (Ferris and
Kacmar, 1992);
• Low trust organisational cultures (Fandt and Ferris, 1990).
• Performance pressures (Fandt and Ferris, 1990).
Political Tactics
Buchanan and Badham (2020) have outlined five
common political tactics used by individuals:

• Building networks
• Using ‘key players’
• Befriending power brokers
• Bending rules
• Self-promotion
The Negative impact of Organisational
Politics
“extensive research has demonstrated detrimental
organizational outcomes associated with organizational
politics” (Landells and Albrecht, 2013, p358).

Reduced job performance (Aryee, et al, 2004);

Reduced job satisfaction (Rosen et al, 2006; Chang et al, 2009);

Reduced commitment (Chang, et, al, 2009);

Employee turnover (Andrews et al, 2003).

38
 References
Andrews,, M. and Witt, L. and Kacmar, K. (2003). The interactive effects of
organizational politics and exchange ideology on managers ratings of retention.
Journal of Vocational Behaviour. April.
Aryee, S., Chen, Z. and Budhwar, P. (2004). Exchange fairness and employee
performance: an examination of the relationship between organisational politics
and procedural justice. Organisational Behaviour and Human Decision Processes.
May.
Bacharach, S. and Lawler, E. (1998). Political alignments in organisations. In R.
Kramer and M. Neale (eds), Power and Influence in Organisations. Thousand Oaks:
Sage Publications.
Bass, B. (1990). Bass and Stogdill’s Handbook of Leadership. New York: Free Press.
Buchanan, D. and Badham, R. (2020). Power, Politics, and Organisational change.
London: Sage Publications.
Chang, C., Rosen, C., & Levy, P. (2009). The relationship between perceptions of
organizational politics and employee attitudes, strain, and behavior: A meta- 39
analytic examination. Academy of Management Journal. Vol. 52. No. 4.
 References
Drory, A. and Romm, T. (1990). The definition of organisational politics: a review.
Human Relations. Vol. 43. No. 11.
Etzioni, A. (1975). Comparative Analysis of Complex Organizations: On Power,
Involvement and their Correlates. New York: Free Press.
Fandt, P. and Ferris, G. (1990). The management of information and impressions:
when employees behave opportunistically. Organisational Behaviour and
Human Decision Processes. February.
Ferris, G. and Kacmar, K. (1992). Journal of Management. March.
Fincham, R. (1992). Perspectives on Power: Processual, Institutional and Internal
Forms of Organizational Power. Journal of Management Studies. Vol. 29. No.6.
French, J. and Raven, B. (1958). The Bases of Social Power. In D. Cartwright (ed).
Studies in Social Power. Ann Arbor, MI: University of Michigan Press.
French, B. (1965). Social Influence and Power. In I. Steiner and M. Fishbein (eds).
Current Studies in Social Psychology. New York: Holt, Reinhart, Winston.
40
 References
Foucault, M. (1979). Discipline and Punish. Middlesex: Penguin.
Landells, E. and Albrecht, S. (2013). Organizational political climate: Shared
perceptions about the building and use of power bases. Human Resource
Management Review. Vol. 23.
Lukes, S. (2005). Power: A Radical View. London: Macmillan.
Pfeffer, J. (1981). Power in Organizations, New York: Harper Collins.
Pfeffer, J. (1982). Managing with Power: Politics and Influence in Organisations.
Boston: Harvard Business School Press.
Rosen, C., Levy, P and Hall, R. (2006). Placing perceptions of politics in the context
of feedback environment, employee attitudes and job performance. Journal of
Applied Psychology. 91. Vol.1.
Rosen, C., Chang, C., Johnson, R., & Levy, P. (2009). Perceptions of the
organizational context and psychological contract breach: Assessing competing
perspectives. Organizational Behavior and Human Decision Processes. Vol. 108.
No. 2. 41
Watson, T. (2006). Organising and Managing Work. London: FT Prentice Hall.
ORGANISATIONAL CONFLICT
Objectives
By the end of this session you will be able to:

 Understand what conflict is

 Appreciate the different perspectives on conflict
 Understand key sources of conflict at work
 Understand the effects of organisational conflict
 Understand what organisations do to minimise
conflict
 Appreciate Conflict management/resolution
approaches.
Conflict - Definitions
A number of definitions of conflict exist.

Conflict can exist when the objectives or motives of one

person regarding an issue are not compatible with that of
other people.

Wilmot and Hocker (2007) defined conflict as “an expressed

struggle between at least two interdependent parties who
perceive incompatible goals, scare resources, and
interference from others in achieving their goals” (p8-9).
Conflict Dynamics
Workplace conflict exists at all levels of the
organisation;
It can occur between individuals, teams,
departments and divisions;
Conflict may be visible and covert;
Conflict in organisations can occur
regarding many things e.g. regarding tasks
to be performed, the allocation of bonuses
etc.
Perspectives on Conflict
Four classic views:
– unitarist - sees organisations as group of people
working together with same interests and conflict is
bad and needs to be resolved
– pluralist -sees organisation as a collection of groups
with different interests- so compromise is necessary
– radical - sees conflict as an inevitable outcome of
capitalism
– Interactionist – sees conflict as a positive force and
necessary for effective performance

Fox (1966)
Unitarist perspective
Assumes everyone in organisation has same
interests
Accepts unquestioningly goals of management
and power relations at work
Treats conflict between individuals and groups at
work as peripheral
Solutions to conflict founded in human relations
movement
Causes of conflict seen as communication failures
(Johnson, 2005)
Pluralist perspective
Organisations made up of many groups with
separate interests - conflict inevitable
Typically clashes will occur between unions and
management but also can be conflict between
functions e.g. Marketing and production
Organisations can operate within this but system
of compromise and negotiation needed
The job of management to keep balance
between different interest groups i.e. all
stakeholders
Radical perspective
Workplace is seen as an arena of conflict between
management and workers
Management as controllers of means of production
Workers are exploited
Logic of profit maximisation makes managers relentlessly
drive down costs of production
Any surplus made is shared by managers and shareholders
Differences in power, politics, domination and control
Conflict cannot be resolved by any ‘techniques’ such as
improved communications – conflict is inevitable
Interactionist perspective
This perspective believes that conflict is a
positive force and it is necessary for effective
performance
It encourages a minimum level of conflict in the
group in order to encourage self criticism,
change and innovation but also to prevent
apathy or too great a tolerance for harmony and
the status quo
Conflict is seen as being healthy…up to a point
Functional and Dysfunctional conflict
Dysfunctional conflict - is normally defined
as something negative which is to be
avoided or resolved as quickly as possible,
and as something that could damage the
organization

Functional conflict – can be constructive

and improve organisational performance
Robbins and Judge (2013)
Contingency approach to
conflict
Functional conflict is necessary for effective
performance and therefore a certain amount
of conflict should be welcomed and
encouraged depending upon the situation
concerned.

Hatch and Cunliffe (2012)

The 2015 CIPD survey identified
the following effects of conflict
Lack of respect, stress (43%)
Drop in motivation and commitment (39%)
Drop in productivity (14%)
Unworkable relationships (14%)
Sickness absence (6%)

CIPD (2015)
Conflict Management/
Resolution

The process of reducing the negative

effects of conflict whilst resolving the
disagreement
Conflict Management/
Resolution Strategies
Thomas (1976) identified five conflict handling approaches
(competing, collaborating, avoiding, accommodating and
compromising) within two dimensions (assertiveness and co-
operativeness) – See grid on next slide.

Thomas argued that managers should be able to switch

between the different conflict handling approaches. Unless
managers were flexible in their approach to conflict
resolution, their ability to resolve conflict would be limited.
Thomas (1976) – Conflict
Management/Resolution Strategies
Conflict Management/
Resolution - Negotiation
Classic Negotiation Strategies:

Distributive Bargaining: Dividing up fixed resources thereby

creating a “win/lose” solution.

Integrative Bargaining: This is also known as mutual gains

bargaining and aims to create a “win/win” outcome. For
example, a agreement between management and trade
unions which results in a productivity and a pay increase.

Walton and McKersie (1965)

Conflict Management/Resolution – Third
Party Intervention

The use of a third party is another way to manage conflict:

Mediation – A independent third party being brought in to bring the two

sides together in order to attempt to reach an agreement. The two sides
involved make their own decisions but the mediator controls the
negotiation process and meeting/s.

Arbitration – Here the two sides in the conflict situation hand over the
matter to a third party who will look at the evidence presented and make
the final decision on how the differences should be resolved. The two
parties in the conflict situation agree to abide by the ruling at the outset
of the process.
What can organisations do to minimise
conflict?
Effective human resource management policies and procedures
such as equal pay and opportunities etc
Good communications flows, consultation and involvement in
decision making
Clarify goals and objectives and ensure everyone is clear as to
what is expected of them in their job
Ensure that employees have the chance to air grievances and
have a grievance policy and procedure
Ensure that there is a disciplinary procedure which everyone is
aware of
Group activities
Open, supportive organisational cultures
 References
CIPD (2015). Getting Under the Skin of Workplace Conflict:
Tracing the Experiences of Employees. April. London: CIPD.
Cross, C. and Ryan, L. (2016). Power, Politics and Conflict at
Work. In C. Cross and Carbery, R. (eds). Organisational
Behaviour. London: Palgrave.
Fox, A. (1966). Industrial Sociology and Industrial Relations.
London: HMSO.
Hatch, A. and Cunliffe, A. (2012). Organization Theory:
Modern, Symbolic and Postmodern Perspectives. Oxford:
Oxford University Press.
60
 References
Robbins, S. and Judge, T. (2013). Essentials of Organisation
Behavior. New Jersey: Prentice Hall.
Thomas, K. (1976). Conflict and conflict management. In M.
Dunnette (ed.), Handbook of Industrial and Organizational
Psychology. Chicago: Rand-McNally.
Walton, R. and McKersie, R. (1965). A Behavioral Theory of
Labour Relations. New York: McGraw-Hill.
Wilmot, W. and Hocker. J. (2007). Interpersonal Conflict. New
York: McGraw-Hill.

61