Expert Answers

because they are easier to understand. 34 When the change target is more deeply imbedded in the organization and is intangible

Description Read module 5 (Organizational Change) from the book attached (Organizational Change 4th edition by Gene Deszca, Cynthia Inglos, and Tupper F. Cawsey) then please follow the file attached that has the instructions. References should be APA style 7th edition. You should cite the textbook and at least 3 scholarly peer review journal articles. You should add the in text citations Be 5 pages in length excluding the reference and cover page. I attached the assignment solved from my tutor please follow the same format but please don’t copy UNFORMATTED ATTACHMENT PREVIEW 1 Organizational Change Fourth Edition 2 This book is dedicated to Tupper Cawsey, our dear and wonderful friend, colleague, and extraordinary educator. He passed away, but his positive impact continues to reverberate in those he touched. Thank you, Tupper. Gene and Cynthia 3 4 Organizational Change An Action-Oriented Toolkit Fourth Edition Gene Deszca Wilfrid Laurier University Cynthia Ingols Simmons University Tupper F. Cawsey Wilfrid Laurier University Los Angeles London New Delhi Singapore Washington DC 5 Melbourne 6 FOR INFORMATION: SAGE Publications, Inc. 2455 Teller Road Thousand Oaks, California 91320 E-mail: order@sagepub.com SAGE Publications India Pvt. Ltd. B 1/I 1 Mohan Cooperative Industrial Area Mathura Road, New Delhi 110 044 India SAGE Publications Ltd. 1 Oliver’s Yard 55 City Road London EC1Y 1SP United Kingdom SAGE Publications Asia-Pacific Pte. Ltd. 18 Cross Street #10-10/11/12 China Square Central Singapore 048423 Copyright © 2020 by SAGE Publications, Inc. All rights reserved. Except as permitted by U.S. copyright law, no part of this work may be reproduced or distributed in any form or by any means, or stored in a database or retrieval system, without permission in writing from the publisher. 7 All third party trademarks referenced or depicted herein are included solely for the purpose of illustration and are the property of their respective owners. Reference to these trademarks in no way indicates any relationship with, or endorsement by, the trademark owner. Printed in the United States of America Library of Congress Cataloging-in-Publication Data Names: Deszca, Gene, author. | Ingols, Cynthia, author. | Cawsey, T. F., author/ Title: Organizational change : an action-oriented toolkit / Gene Deszca, Wilfrid Laurier University, Canada, Cynthia Ingols - Simmons College, USA, Tupper F. Cawsey - Wilfrid Laurier University, Canada. Other titles: Organisational change Description: Fourth Edition. | Thousand Oaks : SAGE Publications, [2019] | Revised edition of Organizational change, [2016] | Includes bibliographical references and index. Identifiers: LCCN 2019013498 | ISBN 9781544351407 (paperback) Subjects: LCSH: Organizational change. Classification: LCC HD58.8 .C39 2019 | DDC 658.4/06—dc23 LC record available at https://lccn.loc.gov/2019013498 Acquisitions Editor: Maggie Stanley Editorial Assistant: Janeane Calderon Production Editor: Gagan Mahindra Copy Editor: Lynne Curry Typesetter: C&M Digitals (P) Ltd. Proofreader: Rae-Ann Goodwin Indexer: Mary Mortensen Cover Designer: Candice Harman Marketing Manager: Sarah Panella 8 9 Brief Contents 1. Preface 2. Acknowledgments 3. Chapter 1 • Changing Organizations in Our Complex World 4. Chapter 2 • How to Lead Organizational Change: Frameworks 5. Chapter 3 • What to Change in an Organization: Frameworks 6. Chapter 4 • Building and Energizing the Need for Change 7. Chapter 5 • Navigating Change through Formal Structures and Systems 8. Chapter 6 • Navigating Organizational Politics and Culture 9. Chapter 7 • Managing Recipients of Change and Influencing Internal Stakeholders 10. Chapter 8 • Becoming a Master Change Agent 11. Chapter 9 • Action Planning and Implementation 12. Chapter 10 • Get and Use Data Throughout the Change Process 13. Chapter 11 • The Future of Organizations and the Future of Change 14. Notes 15. Index 16. About the Authors 10 11 Detailed Contents Preface Acknowledgments Chapter 1 • Changing Organizations in Our Complex World Defining Organizational Change The Orientation of This Book Environmental Forces Driving Change Today The Implications of Worldwide Trends for Change Management Four Types of Organizational Change Planned Changes Don’t Always Produce the Intended Results Organizational Change Roles Change Initiators Change Implementers Change Facilitators Common Challenges for Managerial Roles Change Recipients The Requirements for Becoming a Successful Change Leader Summary Key Terms End-of-Chapter Exercises Chapter 2 • How to Lead Organizational Change: Frameworks Differentiating How to Change from What to Change The Processes of Organizational Change (1) Stage Theory of Change: Lewin Unfreeze Change Refreeze: or more appropriately Re-gell (2) Stage Model of Organizational Change: Kotter Kotter’s Eight-Stage Process (3) Giving Voice to Values: Gentile GVV and Organizational Change (4) Emotional Transitions Through Change: Duck Duck’s Five-Stage Change Curve (5) Managing the Change Process: Beckhard and Harris 12 (6) The Change Path Model: Deszca and Ingols Application of the Change Path Model Awakening: Why Change? Mobilization: Activating the Gap Analysis Acceleration: Getting from Here to There Institutionalization: Using Data to Help Make the Change Stick Summary Key Terms End-of-Chapter Exercises ? Case Study: “Not an Option to Even Consider:” Contending With the Pressures to Compromise by Heather Bodman and Cynthia Ingols Chapter 3 • What to Change in an Organization: Frameworks Open Systems Approach to Organizational Analysis (1) Nadler and Tushman’s Congruence Model History and Environment Strategy The Transformation Process Work The Formal Organization The Informal Organization People Outputs An Example Using Nadler and Tushman’s Congruence Model Evaluating Nadler and Tushman’s Congruence Model (2) Sterman’s Systems Dynamics Model (3) Quinn’s Competing Values Model (4) Greiner’s Model of Organizational Growth (5) Stacey’s Complexity Theory Summary Key Terms End-of-Chapter Exercises ? Case Study: Sarah’s Snacks by Paul Myers Chapter 4 • Building and Energizing the Need for Change Understanding the Need for Change Seek Out and Make Sense of External Data 13 Seek Out and Make Sense of the Perspectives of Stakeholders Seek Out and Make Sense of Internal Data Seek Out and Assess Your Personal Concerns and Perspectives Assessing the Readiness for Change Heightening Awareness of the Need for Change Factors That Block People from Recognizing the Need for Change Developing a Powerful Vision for Change The Difference Between an Organizational Vision and a Change Vision Examples of Visions for Change IBM—Diversity 3.0 Tata’s Nano: From Vision to Failed Project Change Vision for the “Survive to 5” Program Change Vision for “Reading Rainbow” Change Vision for a Large South African Winemaker Change Vision for the Procurement System in a Midsize Manufacturing Firm Summary Key Terms A Checklist for Change: Creating the Readiness for Change End-of-Chapter Exercises ? Case Study: Leading Change: The Pharmacy Team by Jess Coppla Chapter 5 • Navigating Change through Formal Structures and Systems Making Sense of Formal Structures and Systems Impact of Uncertainty and Complexity on Formal Structures and Systems Formal Structures and Systems From an Information Perspective Aligning Systems and Structures With the Environment Structural Changes to Handle Increased Uncertainty Making Formal Structural Choices Using Structures and Systems to Influence the Approval and Implementation of Change 14 Using Formal Structures and Systems to Advance Change Using Systems and Structures to Obtain Formal Approval of a Change Project Using Systems to Enhance the Prospects for Approval Ways to Approach the Approval Process Aligning Strategically, Starting Small, and “Morphing” Tactics The Interaction of Structures and Systems with Change During Implementation Using Structures and Systems to Facilitate the Acceptance of Change Summary Key Terms Checklist: Change Initiative Approval End-of-Chapter Exercises ? Case Study: Beck Consulting Corporation by Cynthia Ingols and Lisa Brem Chapter 6 • Navigating Organizational Politics and Culture Power Dynamics in Organizations Individual Power Departmental Power Organizational Culture and Change How to Analyze a Culture Tips for Change Agents to Assess a Culture Tools to Assess the Need for Change Identifying the Organizational Dynamics at Play Summary Key Terms Checklist: Stakeholder Analysis End-of-Chapter Exercises ? Case Study: Patrick’s Problem by Stacy BlakeBeard Chapter 7 • Managing Recipients of Change and Influencing Internal Stakeholders Stakeholders Respond Variably to Change Initiatives Not Everyone Sees Change as Negative Responding to Various Feelings in Stakeholders 15 Positive Feelings in Stakeholders: Channeling Their Energy Ambivalent Feelings in Stakeholders: They Can Be Useful Negative Reactions to Change by Stakeholders: These Too Can Be Useful Make the Change of the Psychological Contract Explicit and Transparent Predictable Stages in the Reaction to Change Stakeholders’ Personalities Influence Their Reactions to Change Prior Experience Impacts a Person’s and Organization’s Perspective on Change Coworkers Influence Stakeholders’ Views Feelings About Change Leaders Make a Difference Integrity is One Antidote to Skepticism and Cynicism Avoiding Coercion but Pushing Hard: The Sweet Spot? Creating Consistent Signals from Systems and Processes Steps to Minimize the Negative Effects of Change Engagement Timeliness Two-Way Communication Make Continuous Improvement the Norm Encourage People to Be Change Agents and Avoid the Recipient Trap Summary Key Terms Checklist: How to Manage and Minimize Cynicism About Change End-of-Chapter Exercises ? Case Study: Travelink Solutions by Noah Deszca and Gene Deszca Chapter 8 • Becoming a Master Change Agent Factors That Influence Change Agent Success The Interplay of Personal Attributes, Situation, and Vision Change Leaders and Their Essential Characteristics Developing into a Change Leader 16 Intention, Education, Self-Discipline, and Experience What Does Reflection Mean? Developmental Stages of Change Leaders Four Types of Change Leaders Internal Consultants: Specialists in Change External Consultants: Specialized, Paid Change Agents Provide Subject-Matter Expertise Bring Fresh Perspectives from Ideas That Have Worked Elsewhere Provide Independent, Trustworthy Support Limitations of External Consultants Change Teams Change from the Middle: Everyone Needs to Be a Change Agent Rules of Thumb for Change Agents Summary Key Terms Checklist: Structuring Work in a Change Team End-of-Chapter Exercises ? Case Study: Master Change Agent: Katherine Gottlieb, Southcentral Foundation by Erin E. Sullivan Chapter 9 • Action Planning and Implementation Without a “Do It” Orientation, Things Won’t Happen Prelude to Action: Selecting the Correct Path Plan the Work Engage Others in Action Planning Ensure Alignment in Your Action Planning Action Planning Tools 1. To-Do Lists 2. Responsibility Charting 3. Contingency Planning 4. Flow Charting 5. Design Thinking 6. Surveys and Survey Feedback 7. Project Planning and Critical Path Methods 8. Tools to Assess Forces That Affect Outcomes and Stakeholders 17 9. Leverage Analysis 10. Employee Training and Development 11. Diverse Change Approaches Working the Plan Ethically and Adaptively Developing a Communication Plan Timing and Focus of Communications Key Principles in Communicating for Change Influence Strategies Transition Management Summary Key Terms End-of-Chapter Exercises ? Case Study: Turning Around Cote Construction Company by Cynthia Ingols, Gene Deszca, and Tupper F. Cawsey Chapter 10 • Get and Use Data Throughout the Change Process Selecting and Deploying Measures 1. Focus on Key Factors 2. Use Measures That Lead to Challenging but Achievable Goals 3. Use Measures and Controls That Are Perceived as Fair and Appropriate 4. Avoid Sending Mixed Signals 5. Ensure Accurate Data 6. Match the Precision of the Measure With the Ability to Measure Measurement Systems and Change Management Data Used as Guides During Design and Early Stages of the Change Project Data Used as Guides in the Middle of the Change Project Data Used as Guides Toward the End of the Change Project Other Measurement Tools Strategy Maps The Balanced Scorecard Risk Exposure Calculator The DICE Model Summary 18 Key Terms Checklist: Creating a Balanced Scorecard End-of-Chapter Exercises ? Case Study: Omada Health: Making the Case for Digital Health by Erin E. Sullivan and Jessica L. Alpert Chapter 11 • The Future of Organizations and the Future of Change Putting the Change Path Model into Practice Future Organizations and Their Impact Becoming an Organizational Change Agent: Specialists and Generalists Paradoxes in Organizational Change Orienting Yourself to Organizational Change Summary End-of-Chapter Exercises Notes Index About the Authors 19 20 Preface to the Fourth Edition Difficult to see. Always in motion is the future.1 1 Spoken by Yoda in the movie The Empire Strikes Back The world has continued to churn in very challenging ways since the publishing of the third edition of this text. Uneven and shifting global patterns of growth, stubbornly high unemployment levels in many parts of the world, increasing income inequality, and serious trade disputes that threaten to transform trade patterns are severely stressing our highly interconnected global economy. The massive credit crisis of a decade ago was followed by unprecedented worldwide government stimulus spending and low interest rates to promote growth, which, in turn, have resulted in escalating public debt, exacerbated in some nations through tax cuts. These combine to threaten the capacity of national governments to respond to future economic difficulties. In addition, wars, insurrections and civil insurrections in parts of Africa, the Ukraine, the Middle East, and Asia have sent masses of people searching for safety in new places. Simultaneously, deteriorating international relationships involving major powers, fears of global pandemics (Ebola and MERS), and the staying power of radical Islamist groups such as al-Qaeda and ISIS affiliates, Boko Haram and Jemaah Islamiyah have shaken all organizations in affected regions—big or small, public or private. Escalating concerns related to global warming, species extinctions, and rising sea levels are stressing those who recognize the problems in governments and organizations of all shapes and sizes, as they attempt to figure out how to constructively address these emerging realities. Add to these elements the accelerating pace of technological change and it’s easy to see why we, at times, feel overwhelmed by the turbulence, uncertainty, and negative prognosis that seem to define the present. 21 But, all is not doom and gloom. Progress on human rights and gender equity, reductions in extreme poverty and hunger, declining rates of murder and violent crime, improving rates of literacy and life expectancy, and increasing access to information and knowledge through affordable digital resources provide evidence that progress is being made on some fronts. The growing public willingness to tackle very difficult environmental and social issues now, not later, are combining with innovative technologies, creative for-profit and not-for-profit organizations, and forward-thinking politicians and leaders from all walks of life. Supportive public policies are combining with public and private initiatives to demonstrate that we can make serious progress on these issues, if we collectively choose to act in constructive and thoughtful manners locally, regionally, and globally. These factors have also made us, your authors, much more aware of the extreme influence of the external environment on the internal workings of all organizations. As we point out in our book, the smallest of firms needs to adapt when new competitive realities and opportunities surface. Even the largest and most successful of firms have to learn how to adapt when disruptive technologies or rapid social, economic, political and environmental changes alter their realities. If they fail to do so, they will falter and potentially fail. Our models have always included and often started with events external to organizations. We have always argued that change leaders need to scan their environments and be aware of trends and crises in those environments. The events of the past two years have reinforced even more our sense of this. Managers must be sensitive to what happens around them, know how to make sense of this, and then have the skills and abilities that will allow them to both react effectively to the internal and external challenges and remain constant in their visions and dreams of how to make their organizations and the world a better place to live. A corollary of this is that organizations need a response capability that is unprecedented because we’re playing on a global stage of increasing complexity and uncertainty. If you are a bank, you need 22 a capital ratio that would have been unprecedented a few years ago, and you need to be working hard to understand the potential implications of blockchain technologies, regulatory changes, and changing consumer preferences on the future of banking. If you are a major organization, you need to design flexibility and adaptability into your structures, policies, and plans. If you are a public-sector organization, you need to be sensitive to how capricious granting agencies or funders will be when revenues dry up. In today’s world, organizational resilience, adaptability, and agility gain new prominence. Further, we are challenged with a continuing reality that change is endemic. All managers need to be change managers. All good managers are change leaders. The management job involves creating, anticipating, encouraging, engaging others, and responding positively to change. This has been a theme of this book that continues. Change management is for everyone. Change management emerges from the bottom and middle of the organization as much as from the top. It will be those key leaders who are embedded in the organization who will enable the needed adaptation of the organization to its environment. Managers of all stripes need to be key change leaders. In addition to the above, we have used feedback on the third edition to strengthen the pragmatic orientation that we had developed. The major themes of action orientation, analysis tied with doing, the management of a nonlinear world, and the bridging of the “knowing–doing” gap continue to be central themes. At the same time, we have tried to shift to a more user friendly, action perspective. To make the material more accessible to a diversity of readers, some theoretical material has been altered, some of our models have been clarified and simplified, and some of our language and formatting has been modified. As we stated in the preface to the first edition, our motivation for this book was to fill a gap we saw in the marketplace. Our challenge was to develop a book that not only gave prescriptive advice, “how-to-do-it lists,” but one that also provided up-to-date theory without getting sidetracked by academic theoretical complexities. We hope that we have captured the management 23 experience with change so that our manuscript assists all those who must deal with change, not just senior executives or organization development specialists. Although there is much in this book for the senior executive and organizational development specialist, our intent was to create a book that would be valuable to a broad cross section of the workforce. Our personal beliefs form the basis for the book. Even as academics, we have a bias for action. We believe that “doing is healthy.” Taking action creates influence and demands responses from others. While we believe in the need for excellent analysis, we know that action itself provides opportunities for feedback and learning that can improve the action. Finally, we have a strong belief in the worth of people. In particular, we believe that one of the greatest sources of improvement is the untapped potential to be found in the people of all organizations. We recognize that this book is not an easy read. It is not meant to be. It is meant as a serious text for those involved in change—that is, all managers! We hope you find it a book that you will want to keep and pull from your shelf in the years ahead, when you need to lead change and you want help thinking it through. Your authors, Gene, Cynthia, and Tupper Note on Instructor Teaching Site A password-protected instructor’s manual is available at study.sagepub.com/cawsey to help instructors plan and teach their courses. These resources have been designed to help instructors make the classes as practical and interesting as possible for students. PowerPoint Slides capture key concepts and terms for each chapter for use in lectures and review. A Test Bank includes multiple-choice, short-answer, and essay exam questions for each chapter. 24 Video Resources for each chapter help launch class discussion. Sample Syllabi, Assignments, and Chapter Exercises as optional supplements to course curriculum. Case Studies and teaching notes for each chapter facilitate application of concepts in real world situations. 25 26 Acknowledgments We would like to acknowledge the many people who have helped to make this edition of the book possible. Our colleagues and students and their reactions to the ideas and materials continue to be a source of inspiration. Cynthia would like to thank her colleagues at the School of Business, Simmons University, Boston, Massachusetts. In particular, she would like to thank Dr. Stacy Blake-Beard, Deloitte Ellen Gabriel Chair of Women and Leadership, and Dr. Paul Myers, senior lecturer, who each contributed a case to this fourth edition of the book. In addition, Paul graciously read and gave feedback on other cases and parts of the text, suggesting ways to bring clarity to sometimes muddled meanings. Alissa Scheibert, a Simmons library science student, conducted in-depth research for a number of chapters. Dr. Erin Sullivan, research director, and Jessica L. Alpert, researcher, Center for Primary Care, Harvard Medical School, contributed two cases to this edition of the book and I am very grateful for their contributions. Jess Coppla, a former Healthcare MBA student leader and author of one of the cases, will someday be CEO of a healthcare organization. . . . I’m just waiting to see which one. Colleagues Gary Gaumer, Cathy Robbins, Bob Coulum, Todd Hermann, Mindy Nitkin, and Mary Shapiro were wonderful cheerleaders throughout the many hours of my sitting, writing, and revising in my office: thank you all! Managers, executives, and front-line employees that we have known have provided insights, case examples, and applications while keeping us focused on what is useful and relevant. Ellen Zane, former CEO of Tufts Medical Center, Boston, is an inspiring change leader; her turnaround story at the Tufts Medical Center appeared in the second edition of this book and was published again in the third edition; it continues to be on the Sage website for use by faculty. Cynthia has also been fortunate to work with and learn from Gretchen Fox, founder and former CEO, FOX RPM: the story of how she changed her small firm appeared in the second edition of the book and the case continues to be available 27 through Harvard Business Publishing (http://hbr.org/product/foxrelocation-management-corp/an/NA0096-PDF-ENG). Noah Deszca, a high school teacher, was the prime author of the Travelink Solutions case, an organization that underwent significant changes while he was working there. Katharine Bambrick, a former student of Gene’s and the CEO of the Ontario Trillium Foundation and the former CEO of Food Banks Canada, is another of the inspiring leaders who opened their organizations to us and allowed us to learn from their experiences, and share it with you. The Food Banks case appeared in the third edition of this book and is one of the additional cases that are available on this book’s website. Special thanks to Paige Tobie for all her hard work on the instructors’ resources. She is a gem to work with. As with the previous editions, our partners Bertha Welzel and Steve Spitz tolerated our moods, our myopia to other things that needed doing, and the early mornings and late nights spent on the manuscript. They helped us work our way through ideas and sections that were problematic, and they kept us smiling and grounded when frustration mounted. Our editors at Sage have been excellent. They moved the project along and made a difficult process fun (well, most of the time). Thank you, Maggie Stanley, our acquisitions editor, for keeping us on task and on time (or trying to keep us on time…). We appreciate your style of gentle nudges. Thank you to Janeane Calderon, our editorial assistant who was constantly on top of the various parts of the book and helped us push through to the end. Copyeditor Lynne Curry found stray commas and inconsistencies throughout the book: thank you for fixing the problems. Gagan Mahindra, Production Editor, kept us wonderfully focused on the details of production: thank you! Finally, we would like to recognize the reviewers who provided us with valuable feedback on the third edition. Their constructive, positive feedback and their excellent suggestions were valued. We thought carefully about how to incorporate their suggestions into this fourth edition of the book. Thank you Mulugeta Agonafer 28 of Springfield College, Brenda C. Barnes of Allen College, C. Darren Brooks of Florida State University, Robert Dibie of Indiana University Kokomo, Jonathan E. Downs of MidAmerica Nazarene University, Alexander C. Heckman of Franklin University, Scott Elmes McIntyre of University of Houston – Clear Lake, Frank Novakowski of Davenport University, Pamela R. Van Dyke of Southern Methodist University, Jack Wilson of the United States Naval Academy, and Diana J. Wong-MingJi of Eastern Michigan University. In short, our thanks to all who made this book possible. 29 30 Chapter One Changing Organizations in Our Complex World Chapter Overview The chapter defines organizational change as “planned alteration of organizational components to improve the efficiency and effectiveness of organizations.” The orientation of this book is to assist change leaders—and potential change managers—in becoming effective in their change activities. The social, demographic, technological, political, and economic forces pushing the need for change are outlined. Four types of organizational change are discussed: tuning, adapting, reorienting, and re-creating. Four change roles found in organizations are described: change initiators, change implementers, change facilitators, and change recipients and stakeholders. The terms change leader and change agent are used interchangeably and could mean any of the four roles. The difficulties in creating successful change are highlighted, and then some of the characteristics of successful change leaders are described. Organizations fill our world. We place our children into day care, seek out support services for our elderly, and consume information and recreational services supplied by other organizations. We work at for-profit or not-for-profit organizations. We rely on organizations to deliver the services we need: food, water, electricity, and sanitation and look to governmental organizations for a variety of services that we hope will keep us safe, secure, well governed, and successful. We depend on health organizations when we are sick. We use religious organizations to help our spiritual lives. We assume that most of our children’s education will be delivered by formal educational organizations. In other words, organizations are everywhere. Organizations are how we get things done. This is not just a 31 human phenomenon as it extends to plants and animals: look at a bee colony, a reef, a lion pride, or an elephant herd and you’ll see organizations at work. And these organizations are changing—some of them declining and failing, while others successfully adapt or evolve, to meet the shifting realities and demands of their environments. What exactly is organizational change? What do we mean when we talk about it? 32 Defining Organizational Change When we think of organizational change, we think of major changes: mergers, acquisitions, buyouts, downsizing, restructuring, the launch of new products, and the outsourcing of major organizational activities. We can also think of lesser changes: departmental reorganizations, installations of new technology and incentive systems, shutting particular manufacturing lines, or opening new branches in other parts of the country—fine-tuning changes to improve the efficiency and effectiveness of our organizations. In this book, when we talk about organizational change, we refer to planned alterations of organizational components to improve the effectiveness or efficiency of the organization. Organizational components are the organizational mission, vision, values, culture, strategy, goals, structure, processes or systems, technology, and people in an organization. When organizations enhance their effectiveness, they increase their ability to generate value for those they serve. The reasons for change are often ambiguous. Is the change internally or externally driven? In July 2018, Tim Hortons (a Canada-based coffee restaurant chain) announced that it was aiming to open 1,500 new stores in China in the next decade.1 This is in addition to expansion efforts involving the United States, the Philippines, Britain, Mexico, the Middle East, and Spain. Tim Horton’s has a network of approximately 3,900 outlets in Canada and another 900 elsewhere. It has also been busy revising its menu to shore up flattening same-store sales, adding Wi-Fi access, undertaking major store remodeling, and making changes to its sustainability and corporate social responsibility initiatives. What is driving these changes? The executives reported that they were undertaking these actions in response to competitive pressures, customer needs, market opportunities, and the desire to align their efforts with their values. For Tim Hortons, the drivers of change are coming from both the internal and external environment. Dunkin’ Donuts, a much larger U.S.–based chain with similarities to Tim Hortons’ business model and competitive pressures, seems to have been pursuing similar adaptive 33 responses.2 It is essential for managers to be sensitive to what is happening inside and outside the organization and adapt to those changes in the environment.* * Tim Hortons and Burger King announced their $12.5 billion merger on August 26, 2014, forming the third largest quick-service restaurant in the world. They have maintained these two distinct brands post-merger, but have taken advantage of synergies by leveraging their respective strengths and geographic reach. Note that, by our definition and focus, organizational change is intentional and planned. Someone in the organization has taken an initiative to alter a significant organizational component. This means a shift in something relatively permanent. Usually, something formal or systemic has to be altered. For example, a new customer relations system may be introduced that captures customer satisfaction and reports it to managers; or a new division is created and people are allocated to that division in response to a new organizational vision. Simply doing more of the same is not an organizational change. For example, increasing existing sales efforts in response to a competitor’s activities would not be classified as an organizational change. However, the restructuring of a sales force into two groups (key account managers and general account managers) or the modification of service offerings would be, even though these changes could well be in response to a competitor’s activities rather than a more proactive initiative. Some organizational components, such as structures and systems, are concrete and thus easier to understand when contemplating change. For example, assembly lines can be reordered or have new technologies applied. The change is definable and the end point clear when it is done. Similarly, the alteration of a reward system or job design is concrete and can be documented. The creation of new positions, subunits, or departments is equally obvious. Such org

Description no coping UNFORMATTED ATTACHMENT PREVIEW ???????? ??????? ????????? ?????? ???????? ???????? ???????? ???????????? Kingdom of Saudi Arabia Ministry of Education Saudi Electronic University College of Administrative and Financial Sciences Assignment 2 Organizational Behaviour (MGT 301) Due Date: 01/11/2025 @ 23:59 Course Name: Organizational Behaviour Student’s Name: Course Code: MGT301 Student’s ID Number: Semester: 1st Term CRN: Academic Year:2025-26 For Instructor’s Use only Instructor’s Name: Students’ Grade: /10 Level of Marks: High/Middle/Low General Instructions – PLEASE READ THEM CAREFULLY • • • • • • • • Restricted - ?????? The Assignment must be submitted on Blackboard (WORD format only) via the allocated folder. Assignments submitted through email will not be accepted. Students are advised to make their work clear and well presented; marks may be reduced for poor presentation. This includes filling in your information on the cover page. Students must mention the question number clearly in their answers. Late submissions will NOT be accepted. Avoid plagiarism, the work should be in your own words, copying from students or other resources without proper referencing will result in ZERO marks. No exceptions. All answers must be typed using Times New Roman (size 12, double-spaced) font. No pictures containing text will be accepted and will be considered plagiarism). Submissions without this cover page will NOT be accepted. Learning Outcomes: CLO-Covered 1. Describe management issues such as diversity, attitudes and job satisfaction, personality, and values in organizational behaviour (CLO2). 2. Define the impact of company's culture, structure and design can have on its organizational behaviour. (CLO3). Assignment 2 Reference Source: Textbook: Colquitt, J. A., LePine, J. A., & Wesson, M. J. (2021). Organizational behaviour: Improving performance and commitment in the workplace (7th ed). Burr Ridge, IL: McGraw-Hill Irwin. Critical Thinking: Discussion Chapters: - Please read Chapters 6, 8 & 9 “Motivation, Learning and Decision Making, Personality and Cultural Values” carefully and then give your answers based on your understanding. Assignment Question(s): 1. How does the Expectancy Theory explain employee motivation, and how can managers use this theory to influence employee behaviour? (03 Marks) (Min words 200-250) 2. Considering social learning theory, how can organizations create environments that encourage observational learning among employees? What role do leaders play in this process? (03 Marks) (Min words 150-200) 3. How does the Big Five personality model influence job performance and organizational behaviour? In what ways might certain personality traits be more beneficial in specific job roles, and how can organizations effectively assess and utilize these traits during the hiring process? (04 Marks) (Min words 200-250) Important Note: 1. Support your submission with course material concepts, principles, and theories from the textbook and at least two scholarly, peer-reviewed journal articles. 2. References required in the assignment. Use APA style for writing references. Restricted - ?????? Answers: 1. 2. 3. Restricted - ?????? Chapter 1 What Is Organizational Behavior? ©McGraw-Hill Education. All rights reserved. Authorized only for instructor use in the classroom. No reproduction or further distribution permitted without the prior written consent of McGraw-Hill Education. Class Agenda What is organizational behavior? Does it matter? How do we “know” things about OB? ©McGraw-Hill Education. What Is Organizational Behavior? 1 of 2 Think of the single worst coworker you’ve ever had. • What did he or she do that was so bad? Think of the single best coworker you’ve ever had. • What did he or she do that was so good? ©McGraw-Hill Education. What Is Organizational Behavior? 2 of 2 A field of study devoted to understanding, explaining, and ultimately improving the attitudes and behaviors of individuals and groups in organizations ©McGraw-Hill Education. An Integrative Roadmap ©McGraw-Hill Education. Jump to Appendix 1 Long Description Does OB Matter? Do firms who do a good job managing OB concepts become more profitable as a result? ©McGraw-Hill Education. Does OB Matter? Figure 1-2 What Makes a Resource Valuable? The resource-based view of the firm ©McGraw-Hill Education. Jump to Appendix 2 long image description Table 1-2 Survey Questions Designed to Assess High-Performance Work Practices Survey Questions about OB Practice Covered in Chapter What is the proportion of the workforce whose jobs have been subjected to a formal job analysis? 2 What is the proportion of the workforce who are administered attitude surveys on a regular basis? 4 What is the proportion of the workforce who have access to company incentive plans, profit-sharing plans, and/or gain-sharing plans? 6 What is the average number of hours of training received by a typical employee over the last 12 months? 8, 10 What is the proportion of the workforce who have access to a formal grievance procedure and/or complaint resolution system? 7 What proportion of the workforce are administered an employment test prior to hiring? What is the proportion of the workforce whose performance appraisals are used to determine compensation? ©McGraw-Hill Education. 9, 10 6 Source: From M.A. Huselid. “The Impact of Human Resource Management Practices on Turnover, Productivity, and Corporate Financial Performance.” Academy of Management Journal, Vol. 38, pp. 635-72. Copyright © 1995. Reproduced with permission of Academy of Management via Copyright Clearance Center. Table 1-3 The “100 Best Companies to Work For” in 2015 1. Google 50. Goldman Sachs 81. Publix 2. Boston Consulting 51. American Express 82. Bright Horizons 3. Acuity 53. Marriott 83. TDIndustries 4. SAS 54. QuickTrip 85. Mars 5. Robert W. Baird 55. Whole Foods 86. Zappos 7. Wegman’s 63. KPMG 9. Genentech 70. Cisco 88. Cheesecake Factory 24. Twitter 73. Mayo Clinic 90. Adobe 27. Container Store 74. PWC 91. Capital One 32. St. Jude 78. Hyatt 93. Nordstrom 47. Four Seasons 79. Ernst & Young 95. Nationwide 49. Aflac 80. General Mills 97. Deloitte 98. Accenture Source: From M. Moskowitz and R. Levering. “The 100 Best Companies to Work For.” Fortune, Mary 15, 2015. ©McGraw-Hill Education. So What’s So Hard? The Rule of 1/8th “One must bear in mind that 1/2 of organizations won’t believe the connection between how they manage their people and the profits they earn. 1/2 of those who do see the connection will do what many organizations have done—try to make a single change to solve their problems, not realizing that the effective management of people requires a more comprehensive and systematic approach. Of the firms that make comprehensive changes, probably only about 1/2 will persist with their practices long enough to actually derive economic benefits.” ©McGraw-Hill Education. How Do We Know Things about OB? 1 of 7 Where does the knowledge in this textbook come from? Understanding that requires an understanding of how we know things in general ©McGraw-Hill Education. How Do We Know Things about OB? 2 of 7 How do we know about what causes: • People to stay healthy? • Children to grow up happy? • Employees to be satisfied with their jobs? ©McGraw-Hill Education. How Do We Know Things about OB? 3 of 7 Methods of Knowing • Experience • Intuition • Authority • Science ©McGraw-Hill Education. Figure 1-3 The Scientific Method ©McGraw-Hill Education. Scientific Interests 1. I think being a scientist would be an interesting career path. 2. Working as a scientist is something I could see myself enjoying. 3. A scientific career path could be engaging, even if the work took a long time to finish. 4. Working with other scientists to make important discoveries would offer meaning. 5. Studying scientific knowledge to solve problems would be intrinsically satisfying. Average Score: 15 ©McGraw-Hill Education. How Do We Know Things about OB? 4 of 7 Theory A collection of assertions (both verbal and symbolic) that specify how and why variables are related, as well as the conditions in which they should (and should not) be related ©McGraw-Hill Education. How Do We Know Things about OB? 5 of 7 In groups, build a theory similar to the one below, for each outcome. • Job satisfaction • Strain • Motivation • Trust in supervisor Is OB Common Sense? ©McGraw-Hill Education. How Do We Know Things about OB? 6 of 7 To test our theory, we gather data on the variables included in our hypotheses. We then use variants of the correlation coefficient to test hypotheses, to see if they verify our theory. The correlation is as follows: Perfect positive relationship: 1 Perfect negative relationship: -1 • Strength of the correlation inferred from judging the compactness of a scatterplot of the X-Y values • More compact = stronger correlation • Less compact = weaker correlation ©McGraw-Hill Education. Figure 1-4 Three Different Correlation Sizes 1 of 3 Jump to Appendix 3 long image description ©McGraw-Hill Education. Figure 1-4 Three Different Correlation Sizes 2 of 3 ©McGraw-Hill Education. Jump to Appendix 4 long image description Figure 1-4 Three Different Correlation Sizes 3 of 3 ©McGraw-Hill Education. Jump to Appendix 5 long image description The Correlation 1 of 2 How big is “big”? • What’s the correlation between height and weight? • Will the correlation between job satisfaction and job performance be higher or lower? ©McGraw-Hill Education. The Correlation 2 of 2 Important disclaimer • Correlation does not prove causation. Proving causation requires: • Correlation • Temporal precedence • Elimination of alternative explanations ©McGraw-Hill Education. How Do We Know Things about OB? 7 of 7 The correlations from multiple studies get averaged together using meta-analysis. Meta-analyses can then form the foundation for evidence-based management—the use of scientific findings to inform management practice. Well-supported theories become helpful tools for answering why questions, like: • Why your best and worst coworkers act so differently • Why you sometimes think, feel, and act a certain way ©McGraw-Hill Education. OB on Screen Moneyball ©McGraw-Hill Education. Introspection Average Score: 26 Jump to Appendix 6 long image description ©McGraw-Hill Education. From A. Fenigstein, M.F. Scheir, and A.h. Buss, “Public and Private SelfConsciousness: Assessment and Theory,” Journal of Consulting and Clinical Psychology. Vol. 43. August 1975, pp. 522-27. Copyright 1975 by the American Psychological Association. Adapted with permission. No further reproduction or distribution is permitted without written permission from the American Psychological Association. Next Time Chapter 2: Job Performance ©McGraw-Hill Education. Chapter 2 Job Performance ©McGraw-Hill Education. All rights reserved. Authorized only for instructor use in the classroom. No reproduction or further distribution permitted without the prior written consent of McGraw-Hill Education. Class Agenda Job performance • Task performance • Citizenship behavior • Counterproductive behavior Application • Tools for managing job performance ©McGraw-Hill Education. An Integrative Roadmap ©McGraw-Hill Education. Job Performance 1 of 2 The value of the set of behaviors that contribute, either positively or negatively, to organizational goal accomplishment • Not the consequences or results of behavior—the behavior itself • What’s good about this distinction? • What’s bad about this distinction? ©McGraw-Hill Education. Task Performance 1 of 3 The behaviors directly involved in transforming organizational resources into the goods or services an organization produces (i.e., the behaviors included in one’s job description) Typically a mix of: • Routine task performance • Adaptive task performance • Creative task performance ©McGraw-Hill Education. Task Performance 2 of 3 How do we identify relevant behaviors? Job analysis • Divide a job into major dimensions • List 2 key tasks within each of those major dimensions • Rate the tasks on frequency and importance • Use most frequent and important tasks to define task performance ©McGraw-Hill Education. Task Performance 3 of 3 Exercise: Performance of a server Do a job analysis • Four major dimensions • Two tasks per dimension ©McGraw-Hill Education. Figure 2-1 O*NET Results for Flight Attendants Jump to Appendix 1 for long description ©McGraw-Hill Education. Job Performance 2 of 2 Although task performance behaviors vary across jobs, all jobs contain two other performance dimensions: • Citizenship behavior • Counterproductive behavior ©McGraw-Hill Education. Citizenship Behavior Academic origin A future professor’s account of an experience in a paper mill: “…while the man’s assistance was not part of his job and gained him no formal credits, he undeniably contributed in a small way to the functioning of the group and, by extension, to the plant and the organization as a whole. By itself, of course, his aid to me might not have been perceptible in any conventional calculus of efficiency, production, or profits. But repeated many times over, by himself and others, over time, the aggregate of such actions must certainly have made that paper mill a more smoothly functioning organization than would have been the case had such actions been rare.” ©McGraw-Hill Education. Figure 2-2 Types of Citizenship Behaviors Voluntary activities that may or may not be rewarded but that contribute to the organization by improving the quality of the setting where work occurs ©McGraw-Hill Education. Helping Average score: 40 Jump to Appendix 2 for long description. ©McGraw-Hill Education. Source: L.V. Van Dyne and J.A. LePine, “Helping and Voice Extra-Role Behaviors: Evidence of Construct and Predictive Validity,” Academy of Management Journal 41 (1998), pp. 108–19. Sportsmanship 1. I never complain about “the small stuff.” 2. I voice support for what’s going on in the organization. 3. I focus on maintaining a positive attitude at work. 4. I tend to dwell on what’s going well, not what’s going poorly. 5. I focus on “being a good sport” even when negative things happen. Average score: 18 ©McGraw-Hill Education. Figure 2-3 Types of Counterproductive Behavior Employee behaviors that intentionally hinder organizational goal accomplishment ©McGraw-Hill Education. Jump to Appendix 3 long image description Political Deviance 1. I have, at times, undermined a coworker. 2. I have, at times, blamed a coworker for something that I did. 3. I sometimes gossip about colleagues at work. 4. I sometimes distract my coworkers when they’re trying to get things done. 5. I enjoy playing “pranks” on others at work. 6. I have, at times, kept colleagues “in the dark” about things they needed to know. Average Score: 12 ©McGraw-Hill Education. OB on Screen Sully ©McGraw-Hill Education. Counterproductive Behavior 1 of 2 Key questions: • Are these all examples of the same general behavior pattern? If you do one, are you likely to do most of the others as well? • How does counterproductive behavior relate to task performance and citizenship behavior? ©McGraw-Hill Education. Counterproductive Behavior 2 of 2 Answers: • Research using both anonymous self-reports and supervisor ratings tends to find strong correlations between the categories. • Counterproductive behavior has a strong negative correlation with citizenship behavior, but is only weakly related to task performance. ©McGraw-Hill Education. Application What tools do organizations use to manage job performance among employees? • Management by Objectives (MBO) • 360-degree feedback • Social networking systems • Behaviorally anchored rating scales (BARS) • Forced rankings ©McGraw-Hill Education. Table 2-2 BARS Example for “Planning, Organizing, and Scheduling” 1 of 2 Rating Rating Behavioral Anchors [7] Excellent • Develops a comprehensive project plan, documents it well, obtains required approval, and distributes the plan to all concerned. [6] Very Good • Plans, communicates, and observes milestones; states week by week where the project stands relative to plans. Maintains up-to-date charts of project accomplishment and backlogs and uses these to optimize any schedule modifications. • Experiences occasional minor operational problems but communicates effectively. [5] Good • Lays out all the parts of a job and schedules each part to beat schedule; will allow for slack. • Satisfies customer’s time constraints; time and cost overruns occur infrequently. [4] Average • Makes a list of due dates and revises them as the project progresses, usually adding unforeseen events; investigates frequent customer complaints. • May have a sound plan but does not keep track of milestones; does not report slippages in schedule or other problems as they occur. ©McGraw-Hill Education. Table 2-2 BARS Example for “Planning, Organizing, and Scheduling” 2 of 2 Rating Rating Behavioral Anchors [3] Below Average • Plans are poorly defined; unrealistic time schedules are common. • Cannot plan more than a day or two ahead; has no concept of a realistic project due date. [2] Very Poor • Has no plan or schedule of work segments to be performed. • Does little or no planning for project assignments. [1] Unacceptable • Seldom, if ever, completes project because of lack of planning and does not seem to care. • Fails consistently due to lack of planning and does not inquire about how to improve. Source: D.G. Shaw, C.E. Schneier, and R.W. Beatty. “Managing Performance with a Behaviorally Based Appraisal System,” in Applying Psychology in Business: The Handbook for Managers and Human Resource Professionals, ed. J.W. Jones, B.D. Steffy, and D.W. Bray (Lexington, MA: Lexington Books, 2001), pp. 314-25 ©McGraw-Hill Education. Figure 2-5 Jack Welch’s Vitality Curve Forced ranking under Jack Welch at GE ©McGraw-Hill Education. Jump to Appendix 4 long image description Next Time Chapter 3: Organizational Commitment ©McGraw-Hill Education. Chapter 3 Organizational Commitment ©McGraw-Hill Education. All rights reserved. Authorized only for instructor use in the classroom. No reproduction or further distribution permitted without the prior written consent of McGraw-Hill Education. Class Agenda Organizational commitment • Types of commitment Reactions to negative events • Types of employees • Withdrawal behaviors Application • Organizational support ©McGraw-Hill Education. An Integrative Roadmap ©McGraw-Hill Education. Organizational Commitment 1 of 2 Consider this scenario: • You’ve worked at your current employer for 5 years and have recently been approached by a competing organization. What would cause you to stay? • Do those reasons fit into different kinds of categories? Organizational commitment is a desire on the part of an employee to remain a member of an organization. • It comes in three forms. ©McGraw-Hill Education. Affective Commitment A desire on the part of an employee to remain a member of an organization because of an emotional attachment to, and involvement with, that organization • You stay because you want to. • What would you feel if you left anyway? ©McGraw-Hill Education. Assessment on Affective Commitment Average Score: 20 Jump to Appendix 1 for long description. ©McGraw-Hill Education. From N.J. Allen and J.P. Meyer, “The Measurement and Antecedents of Affective, Continuance, and Normative Commitment to the Organization,” Journal of Occupational Psychology 63 (1990), pp. 1-18 Figure 3-3 A Social Network Diagram ©McGraw-Hill Education. Continuance Commitment 1 of 2 A desire on the part of an employee to remain a member of an organization because of an awareness of the costs associated with leaving it • You stay because you need to. • What would you feel if you left anyway? ©McGraw-Hill Education. Continuance Commitment 2 of 2 1. Quitting my job would bring with it major personal sacrifice. 2. I don’t have enough employment options to consider leaving right now. 3. It’s difficult to leave the organization because I don’t have anywhere else to go. 4. Staying in my current job is more a product of circumstances than preference. 5. Leaving my job now would bring significant personal disruption. 6. Frankly, I couldn’t quit my job now, even if it’s what I wanted to do. Average Score: 19 ©McGraw-Hill Education. Table 3-2 Embedded and Continuance Commitment “Embedded” People Feel: FACET FOR THE ORGANIZATION: FOR THE COMMUNITY: Links • I’ve worked here for such a long time. • I’m serving on so many teams and committees. • Several close friends and family live nearby. • My family’s roots are in this community. Fit • My job utilizes my skills and talents well. • I like the authority and responsibility I have at this company. • The weather where I live is suitable for me. • I think of the community where I live as home. Sacrifice • The retirement benefits provided by the organization are excellent. • I would sacrifice a lot if I left this job. • People respect me a lot in my community. • Leaving this community would be very hard. Source: Adapted from T.R. Mitchell, B.C. Holtom, T.W. Lee, C.J. Sablynski, and M. Erez, “Why People Stay: Using Job Embeddedness to Predict Voluntary Turnover,” Academy of Management Journal 44 (2001), pp. 1102-21. ©McGraw-Hill Education. Normative Commitment 1 of 2 A desire on the part of an employee to remain a member of an organization because of a feeling of obligation • You stay because you ought to. • What would you feel if you left anyway? ©McGraw-Hill Education. Normative Commitment 2 of 2 1. I have an obligation to stay with my company. 2. I wouldn’t quit my job right now because I owe the company too much. 3. I owe this company for the things it’s given me. 4. Leaving my job now would fill me with significant guilt. 5. It just wouldn’t be right to think about quitting my job. 6. Staying with my organization is just something that I ought to do. Average Score: 16 ©McGraw-Hill Education. Figure 3-2 Drivers of Overall Organizational Commitment ©McGraw-Hill Education. Jump to Appendix 2 long image description Organizational Commitment 2 of 2 Exercise: Reacting to Negative Events • Consider the three scenarios depicted on the following slide. • Come to consensus on two specific behaviors that capture your likely response (that is, what you would probably do, as opposed to what you wish you would do). ©McGraw-Hill Education. Organizational Commitment Scenarios Scenario Description Likely behaviors Annoying Boss You’ve been working at your current company for about a year. Over time, your boss has become more and more annoying to you. It’s not that your boss is a bad person, or even necessarily a bad boss. It’s more a personality conflict–the way your boss talks, the way your boss manages every little thing, even the facial expressions your boss uses. The more time passes, the more you just can’t stand to be around your boss. Two likely behaviors: Boring Job You’ve been working at your current company for about a year. You’ve come to realize that your job is pretty boring. It’s the first real job you’ve ever had, and at first it was nice to have some money and something to do every day. But the “new job” excitement has worn off, and things are actually quite monotonous. Same thing every day. It’s to the point that you check your watch every hour, and Wednesdays feel like they should be Fridays. Two likely behaviors: Pay and Seniority You’ve been working at your current company for about a year. The consensus is that you’re doing a great job-you’ve gotten excellent performance evaluations and have emerged as a leader on many projects. As you’ve achieved this high status, however, you’ve come to feel that you’re underpaid. Your company’s pay procedures emphasize seniority much more than job performance. As a result, you look at other members of your project teams and see poor performers making much more than you, just because they’ve been with the company longer. Two likely behaviors: ©McGraw-Hill Education. Exit-Voice-Loyalty-Neglect 1 of 2 A framework that includes potential responses to negative events Exit • Ending or restricting organizational membership Voice • A constructive response where individuals attempt to improve the situation ©McGraw-Hill Education. Exit-Voice-Loyalty-Neglect 2 of 2 A framework that includes potential responses to negative events Loyalty • A passive response where the employee remains supportive while hoping for improvement Neglect • Reduced interest and effort in the job ©McGraw-Hill Education. OB on Screen Chef ©McGraw-Hill Education. Table 3-3 Four Types of Employees Organizational commitment High organizational commitment Low organizational commitment High task performance Stars Low task performance Citizens Lone wolves Apathetics Source: Adapted from R.W. Griffeth, S. Gaertner, and J.K. Sager, “Taxonomic Model of Withdrawal Behaviors: the Adaptive Response Model,” Human Resource Management Review 9 (1999), pp. 577-90 ©McGraw-Hill Education. Withdrawal 1 of 3 A set of actions that employees perform to avoid the work situation • One study found that 51% of employees’ time was spent working. • The other 49% was allocated to coffee breaks, late starts, early departures, personal, and other forms of withdrawal. ©McGraw-Hill Education. Figure 3-1 Organizational Commitment and Employee Withdrawal ©McGraw-Hill Education. Jump to Appendix 3 long image description Figure 3-4 Psychological and Physical Withdrawal ©McGraw-Hill Education. Jump to Appendix 4 long image description Withdrawal 2 of 3 Key question: How exactly are the different forms of withdrawal related to one another? • Independent forms • Compensatory forms • Progression ©McGraw-Hill Education. Withdrawal 3 of 3 Answer: • The various forms of withdrawal are almost always moderately to strongly correlated. • Those correlations suggest a progression, as lateness is strongly related to absenteeism, and absenteeism is strongly correlated to quitting. ©McGraw-Hill Education. Application Employees are more committed when employers are committed to them. Perceived organization support is fostered when organizations: • Protect job security • Provide rewards • Improve work conditions • Minimize politics ©McGraw-Hill Education. Next Time Chapter 4: Job Satisfaction ©McGraw-Hill Education. Chapter 4 Job Satisfaction ©McGraw-Hill Education. All rights reserved. Authorized only for instructor use in the classroom. No reproduction or further distribution permitted without the prior written consent of McGraw-Hill Education. Agenda Job satisfaction defined Value-percept theory Job characteristics theory Mood and emotions How important is job satisfaction? Application • Tracking satisfaction levels ©McGraw-Hill Education. An Integrative Roadmap Image: Copyright: McGraw-Hill Education. Permission required for reproduction or display. ©McGraw-Hill Education. Job Satisfaction 1 of 2 A pleasurable emotional state resulting from the appraisal of one’s job or job experiences Based on how you think about your job and how you feel about your job ©McGraw-Hill Education. Job Satisfaction 2 of 2 What kinds of things do you value in a job? What is it that makes you satisfied? ©McGraw-Hill Education. Value-Percept Theory Does your job supply what you value? ©McGraw-Hill Education. Table 4-1 Commonly Assessed Work Values Key Question: Which of these things are most important to you? ©McGraw-Hill Education. Categories Specific Values Pay • High Salary • Secure Salary Promotions • Frequent Promotions • Promotions based on ability Supervision • Good supervisory relations • Praise for good work Coworkers • Enjoyable coworkers • Responsible coworkers Work Itself • • • • • Altruism • Helping others • Moral causes Status • Prestige • Power over others • Fame Environment • Comfort • Safety Utilization of ability Freedom and independence Intellectual stimulation Creative expression Sense of achievement Sources: Adapted from R.V. Dawis, “Vocational Interests Values, and Preferences,” in Handbook of Industrial and Organizational Psychology, Vol. 2, Ed. M.D. Dunnette and L.M. Hough (Palo Alto, CA: Consulting Psychologists Press, 1991), pp. 834-71; and D.M. Cable and J.R. Edwards, “Complementary and Supplementary Fit: A Theoretical and Empirical Investigation,” Journal of Applied Psychology 89 (2004), p. 822-34. Figure 4-1 The Value-Percept Theory of Job Satisfaction Jump to Appendix 1 long image description ©McGraw-Hill Education. Image: Copyright McGraw-Hill Education: Permission required for reproduction or display. Figure 4-2 Correlations between Satisfaction Facets and Overall Job Satisfaction Jump to Appendix 2 long image description Image: Copyright McGraw-Hill Education. Permission required for reproduction or display. ©McGraw-Hill Education. The Work Itself Job Characteristics Theory • Jobs are more intrinsically enjoyable when work tasks are challenging and fulfilling. • Five “core job characteristics” combine to make some jobs more rewarding than others. ©McGraw-Hill Education. Figure 4-3 Job Characteristics Theory ©McGraw-Hill Education. Jump to Appendix 3 long image description Image: Copyright McGraw-Hill Education. Permission required for reproduction or display. Growth Need Strength Assessing Growth Need Strength 1. A feeling of doing something meaningful with my job 2. A chance to “spread my wings” and grow as an employee 3. An opportunity to be inventive and creative with what I do 4. A change to gain new know and skill 5. An opportunity to structure my work my own way 6. A feeling of challenge and self-expression 18, in this case is the average score. ©McGraw-Hill Education. Figure 4-4 Growth Need Strength as a Moderator of Job Characteristic Effects Image: Copyright McGraw-Hill Education. Permission required for reproduction or display. Adapted from B.T. Loher, R.A. Noe, N.L. Moeller, and M.P. Fitzgerald,” A Meta-Analysis of the Relation of Job Characteristics to Job Satisfaction,” Journal of Applied Psychology 70 (1985), pp. 280-89 ©McGraw-Hill Education. Core Job Characteristics V1. The job requires me to use a number of complex or high-level skills. Response: V2. The job is quite simple and repetitive. Response: I1. The job is arranged so that I can do an entire piece of work from beginning to end. Response: I2. The job provides me the chance to completely finish the pieces of work I begin. Response: S1. This job is one where a lot of other people can be affected by how well the work gets done. Response: S2. The job itself is very significant and important in the broader scheme of things. Response: A1. The job gives me a chance to use my personal initiative and judgement is carrying out the work. Response: A2. The job gives me considerable opportunity for independence and freedom I how I do the work. Response: F1. Just doing the work required by the job provides many changes for me to figure out how well I am doing. Response: F2. After I finish a job, I know whether I performed well. Response: 150 is the average score. ©McGraw-Hill Education. Jump to Appendix 4 long image description Job Characteristics Theory Exercise: Job Satisfaction across Jobs Come to consensus on an SPS for: • A third-grade public school teacher • A stand-up comedian • A computer programmer (who replaces “98” with “1998” in computer code) • A president of the United States ©McGraw-Hill Education. Mood and Emotions 1 of 2 Even the most satisfied employees aren’t satisfied every minute of every day. Satisfaction levels wax and wane as a function of mood and emotions. ©McGraw-Hill Education. Figure 4-6 Different Kinds of Moods ©McGraw-Hill Education. Jump to Appendix 5 long image description Image: Copyright McGraw-Hill Education. Permission required for reproduction or display. Figure 4-5 Hour-by-Hour Fluctuations in Job Satisfaction During the Workday ©McGraw-Hill Education. Jump to Appendix 6 long image description Image: Copyright McGraw-Hill Education. Permission required for reproduction or display. Table 4-2 Different Kinds of Emotions 1 of 2 Positive Emotions Joy Pride Relief Hope Love Compassion Description A feeling of great pleasure Enhancement of identity by taking credit for achievement A distressing condition has changed for the better Fearing the worst but wanting better Desiring or participating in affection Being moved by another’s situation Source: Adapted from R.S. Lazarus, Emotion and Adaptation (New York: Oxford University, 1991). ©McGraw-Hill Education. Table 4-2 Different Kinds of Emotions 2 of 2 Negative Emotions Anger Anxiety Fear Guilt Shame Sadness Envy Disgust ©McGraw-Hill Education. Description A demeaning offense against me and mine Faci

Description Consider the following prompt for your journal entry. Your journal should be between two to three pages, excluding the cover and reference page. How does economic forecasting help you make better decisions about personal spending, investment, or other financial goals you may have?

Description Q1. Analyze a real company’s mission statement using the criteria outlined in Chapter 5 ‘Planning’. Identify the areas of strength and weakness and propose potential improvements. Q2. “SWOT Analysis is considered to be an important framework for analyzing an organization's strengths, weaknesses, opportunities, and threats.” In the light of this statement, perform a SWOT analysis on any one organization of your choice. Q3. “Decision making process in an organization is critical to the success and failure of an organization”. In the light of this statement, discuss with the help of suitable examples as to how a decision-making process takes place in a business organization. Q4. Evaluate a well-known company’s organizational structure and culture. How do these aspects contribute to or hinder its success UNFORMATTED ATTACHMENT PREVIEW ???????? ??????? ????????? ?????? ???????? ???????? ???????? ???????????? Kingdom of Saudi Arabia Ministry of Education Saudi Electronic University College of Administrative and Financial Sciences Assignment 2 MGT101 (1st Semester 2025-2026) Deadline: 01/11/2025 @ 23:59 Course Name: Principles of Management Course Code: MGT101 Student’s Name: Semester: 1st CRN: Student’s ID Number: Academic Year: 1447 H (2025-2026) 1st Term For Instructor’s Use only Instructor’s Name: Students’ Grade: /10 Level of Marks: High/Middle/Low Instructions – PLEASE READ THEM CAREFULLY • This assignment is an individual assignment. • Due date for Assignment 2 is 01/11/2025 • The assignment must be submitted on BB only in WORD format via the allocated folder. PDF is not acceptable, and it will lead to zero grade. • Assignments submitted through email will not be accepted. • Students are advised to make their work clear and well presented; marks may be reduced for poor presentation. This includes filling in your information on the cover page. • Students must mention the question number clearly in their answer. • Late submission will NOT be accepted. • Avoid plagiarism as well as ChatGPT; the work should be in your own words. Copying from students or other resources without proper referencing will result in ZERO marks. No exceptions. • All answers must be typed using Times New Roman (size 12, double-spaced) font. No pictures containing text will be accepted and will be considered plagiarism. Submissions without this cover page will NOT be accepted. Restricted - ?????? ???????? ??????? ????????? ?????? ???????? ???????? ???????? ???????????? Kingdom of Saudi Arabia Ministry of Education Saudi Electronic University College of Administrative and Financial Sciences Assignment Purposes/Learning Outcomes: After completion of Assignment-2 students will be able to understand the CLO 1: State the concept of management functions, roles, skills of a manager and the different theories of management. CLO 2: Describe the current trends and challenges in global business management. CLO 4: Employ knowledge and techniques of strategic planning, problem solving, decision making and change management. Applied/Critical Thinking/Problem Solving skill Questions PART I Q1. Analyze a real company’s mission statement using the criteria outlined in Chapter 5 ‘Planning’. Identify the areas of strength and weakness and propose potential improvements. (300-350 words approx.) (2.5 marks) ANSWER1: Q2. “SWOT Analysis is considered to be an important framework for analyzing an organization's strengths, weaknesses, opportunities, and threats.” In the light of this statement, perform a SWOT analysis on any one organization of your choice. (300-350 words approx.) (2.5 marks) ANSWER2: Restricted - ?????? ???????? ??????? ????????? ?????? ???????? ???????? ???????? ???????????? Kingdom of Saudi Arabia Ministry of Education Saudi Electronic University College of Administrative and Financial Sciences PART II Q3. “Decision making process in an organization is critical to the success and failure of an organization”. In the light of this statement, discuss with the help of suitable examples as to how a decision-making process takes place in a business organization. (300-350 words approx.) (2.5 marks) ANSWER3: Q4. Evaluate a well-known company’s organizational structure and culture. How do these aspects contribute to or hinder its success. (300-350 words approx.) (2.5 marks)

Description UNFORMATTED ATTACHMENT PREVIEW Assignment 2 Strategic Management (MGT 401) General Instructions – PLEASE READ THEM CAREFULLY • • • • • • • • The Assignment must be submitted on Blackboard (WORD format only) via the allocated folder. Assignments submitted through email will not be accepted. Students are advised to make their work clear and well presented, marks may be reduced for poor presentation. This includes filling your information on the cover page. Students must mention the question number clearly in their answers. Late submissions will NOT be accepted. Avoid plagiarism, the work should be in your own words, copying from students or other resources without proper referencing will result in ZERO marks. No exceptions. All answers must be typed using Times New Roman (size 12, double-spaced) font. No pictures containing text will be accepted and will be considered plagiarism). Submissions without this cover page will NOT be accepted. Adds more tan 5 references Restricted - ?????? earning Outcomes: CLO1 CLO2 CLO3 CLO6 Recognize the basic concepts and terminology used in Strategic Management. Describe the different issues related to environmental scanning, strategy formulation, and strategy implementation in diversified organizations. Explain the contribution of functional, business, and corporate strategies to the organization's competitive advantage. Communicate issues, results, and recommendations coherently and effectively regarding appropriate strategies for different situations. Case Study: Tesla and the Global Electric Vehicle (EV) Industry Questions Please read the enclosed case study carefully and answer the questions that follow (2 marks/ question). 1. Briefly present the company's ‘Tesla’ and discuss its position in its market. 2. Which of the Five Forces currently poses the most significant risk to Tesla? Justify your answer. 3. How effective is Tesla’s vertical integration strategy in reducing supplier power? Argue your answer. 4. Should Tesla prioritize defending its premium brand or expand aggressively into lower-cost EV segments? Why? 5. Which type of directional strategy would you recommend to Tesla to better defend its competitive advantage? Justify your answer. Notes. ? ? ? Be concise when answering the questions. It is highly recommended to use the vocabulary/terminology studied in your course of MGT401. You can use other sources (references) about this company to enhance your answers. Student’s Answers Restricted - ?????? 1. 2. 3. 4. 5. Restricted - ?????? 

Description In this module, you will learn about processes, facilities planning, and work systems. Regarding processes, you will focus on process selection, process strategies, and process layouts. Regarding facilities, you will focus on facilities layouts and product layouts. Finally, regarding work systems, the focus will be on quality of work life, job design, motion studies, work measurement, and operations strategy. Discussion Topic Process Optimization According to Stevenson (2021), processes converting inputs into outputs are at the core of operations management and have strategic significance. Among the benefits of creating and using processes we can mention cost reduction, meeting customers’ expectations, and streamlining business operations. For this discussion, do the following: Identify what a business process is and discuss its benefits and disadvantages. Consider yourself a business owner. Discuss a process for one aspect of your businesses’ workflow. How many steps are in the process? How many people are in the process? Directions: Discuss the concepts, principles, and theories from your textbook. Cite your textbooks and cite any other sources if appropriate. Your initial post should address all components of the question with a 500 word limit. Learning Outcomes Evaluate the strategic importance of process selection. Examine the importance of process strategy. Weigh the value of effective work design to the organization. Readings Required: Chapters 6 & 7 in Operations Management Chapter 6 & 7 PowerPoint Presentations Tarver W, Savoy A, Patel H, Weiner M, Holden R. (2024).Inefficient Processes and Associated Factors in Primary Care Nursing: System Configuration Analysis JMIR Hum Factors. DOI: 10.2196/49691 Recommended: Zare, R., Kazemi, R., Choobineh, A., Cousins, R.,et al. (2024). Development of a work systems stress questionnaire to predict job burnout: A mixed methods study based on a macroergonomics approach. Heliyon, 10(23). https://doi.org/10.1016/j.heliyon.2024.e40226 UNFORMATTED ATTACHMENT PREVIEW DB-Module 07: Processes, Facilities planning, and Work systems In this module, you will learn about processes, facilities planning, and work systems. Regarding processes, you will focus on process selection, process strategies, and process layouts. Regarding facilities, you will focus on facilities layouts and product layouts. Finally, regarding work systems, the focus will be on quality of work life, job design, motion studies, work measurement, and operations strategy. Discussion Topic Process Optimization According to Stevenson (2021), processes converting inputs into outputs are at the core of operations management and have strategic significance. Among the benefits of creating and using processes we can mention cost reduction, meeting customers’ expectations, and streamlining business operations. For this discussion, do the following: 1. Identify what a business process is and discuss its benefits and disadvantages. 2. Consider yourself a business owner. Discuss a process for one aspect of your businesses’ workflow. How many steps are in the process? How many people are in the process? Directions: • • Discuss the concepts, principles, and theories from your textbook. Cite your textbooks and cite any other sources if appropriate. Your initial post should address all components of the question with a 500 word limit. Learning Outcomes 1. Evaluate the strategic importance of process selection. 2. Examine the importance of process strategy. 3. Weigh the value of effective work design to the organization. Readings Required: • Chapters 6 & 7 in Operations Management • Chapter 6 & 7 PowerPoint Presentations • Tarver W, Savoy A, Patel H, Weiner M, Holden R. (2024).Inefficient Processes and Associated Factors in Primary Care Nursing: System Configuration Analysis JMIR Hum Factors. DOI: 10.2196/49691 Recommended: • Zare, R., Kazemi, R., Choobineh, A., Cousins, R.,et al. (2024). Development of a work systems stress questionnaire to predict job burnout: A mixed methods study based on a macroergonomics approach. Heliyon, 10(23). https://doi.org/10.1016/j.heliyon.2024.e40226 Process Selection and Facility Layout Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 6-1 You should be able to: LO 6.1 LO 6.2 LO 6.3 LO 6.4 LO 6.5 LO 6.6 LO 6.7 LO 6.8 LO 6.9 Explain the strategic importance of process selection and the influence it has on the organization and its supply chain Name the two main factors that influence process selection Compare the four basic processing types Explain the need for management of technology List some reasons for redesign of layouts Describe product layouts and their main advantages and disadvantages Describe process layouts and their main advantages and disadvantages Solve simple line-balancing problems Develop simple process layouts Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Process selection ? Refers to deciding on the way production of goods or services will be organized ? It has major implications for ? Capacity planning ? Layout of facilities ? Equipment ? Design of work systems LO 6.1 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Forecasting Capacity Planning Product and Service Design Technological Change LO 6.1 Facilities and Equipment Layout Process Selection Work Design Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Key aspects of process strategy: ? Capital intensity ? The mix of equipment and labor that will be used by the organization ? Process flexibility ? The degree to which the system can be adjusted to changes in processing requirements due to such factors as ? Product and service design changes ? Volume changes ? Changes in technology LO 6.1 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Two key questions in process selection: 1. How much variety will the process need to be able to handle? 2. How much volume will the process need to be able to handle? Job Shop Batch Repetitive LO 6.2 Continuous Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Repetitive/ Assembly Job Shop Batch Description Customized goods or services Semistandardized goods or services Standardized goods or services Highly standardized Goods or services Advantages Able to handle a wide variety of work Flexibility; easy to add or change products or services Low unit cost, high volume, efficient Very efficient, very high volume Disadvantages Slow, high cost per unit, complex planning and scheduling Moderate cost per unit, moderate scheduling complexity Low flexibility, high cost of downtime Very rigid, lack of variety, costly to change, very high cost of downtime LO 6.3 Continuous Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? There is increasing pressure for organizations to operate sustainable production processes ? According to the Lowell Center for Sustainable Production: ? “Sustainable Production is the creation of goods and services using processes and systems that are: nonpolluting; conserving of energy and natural resources; economically efficient; safe and healthful for workers, communities, and consumers; and, socially and creatively rewarding for all working people.” LO 6.3 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Reduce/recycle waste and ecologically incompatible parts and byproducts ? Eliminate hazardous chemicals/physical agents ? Conserve energy and materials ? Redesign workspace to minimize hazards to the workers and the environment LO 6.3 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Process and information technology can have a major impact on costs, productivity and competitiveness: ? Process technology ? Methods, procedures, and equipment used to produce goods and provide services ? Information technology ? The science and use of computers and other electronic equipment to store, process, and send information LO 6.3 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Process technology and information technology can have a profound impact on: ? Costs ? Productivity ? Competitiveness LO 6.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Automation ? Machinery that has sensing and control devices that enable it to operate automatically ? Fixed automation ? Programmable automation ? Flexible automation LO 6.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Programmable automation ? Involves the use of high-cost, general-purpose equipment controlled by a computer program that provides both the sequence of operations and specific details about each operation ? Computer-Aided Manufacturing (CAM) ? The use of computers in process control, ranging from robots to automated quality control ? Numerically Controlled (N/C) Machines ? Machines that perform operations by following mathematical processing instructions ? Robot ? A machine consisting of a mechanical arm, a power supply, and a controller LO 6.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Robots that follow a fixed set of instructions ? Programmable robots ? Repeat a set of movements after being led through a sequence ? Follow instructions from a computer ? Collaborative robots, also known as cobots LO 6.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Flexible automation ? Evolved from programmable automation. It uses equipment that is more customized than that of programmable automation. A key difference between the two is that flexible automation requires significantly less changeover time. ? FMS (Flexible Manufacturing System) ? A group of machines designed to handle intermittent processing requirements and produce a variety of similar products ? CIM (Computer Integrated Manufacturing) ? A system for linking a broad range of manufacturing activities through an integrated computer system LO 6.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? FMS ? A group of machines designed to handle intermittent processing requirements and produce a variety of similar products ? Have some of the benefits of automation and some of the flexibility of individual, or stand-alone, machines ? Includes supervisory computer control, automatic material handling, and robots or other automated processing equipment LO 6.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? A system for linking a broad range of manufacturing activities through an integrated computer system ? Activities include ? Engineering design ? FMS ? Purchasing ? Order processing ? Production planning and control ? The overall goal of CIM is to link various parts of an organization to achieve rapid response to customer orders and/or product changes, to allow rapid production, and to reduce indirect labor costs ? Internet of Things (IoT) further enhances connectivity of devices through internet LO 6.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Layout ? The configuration of departments, work centers, and equipment, with particular emphasis on movement of work (customers or materials) through the system ? Facilities layout decisions arise when: ? Designing new facilities ? Re-designing existing facilities LO 6.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Inefficient operations ? High cost ? Bottlenecks ? Accidents or safety hazards ? Changes in product or service design ? Introduction of new products or services ? Changes in output volume or product mix ? Changes in methods or equipment ? Changes in environmental or other legal requirements ? Morale problems LO 6.5 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Basic objective ? Facilitate a smooth flow of work, material, and information through the system ? Supporting objectives ? Facilitate product or service quality ? Use workers and space efficiently ? Avoid bottlenecks ? Minimize material handling costs ? Eliminate unnecessary movement of workers or material ? Minimize production time or customer service time ? Design for safety LO 6.5 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Product layouts ? Process layouts ? Fixed-position layout ? Combination layouts LO 6.5 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Product layout ? Layout that uses standardized processing operations to achieve smooth, rapid, high-volume flow Raw materials or customer Material and/or labor Station 1 Material and/or labor Station 2 Material and/or labor Station 3 Station 4 Finished item Material and/or labor Used for Repetitive Processing Repetitive or Continuous LO 6.6 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. A job shop A batch process A repetitive process A continuous process Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Advantages ? High rate of output ? Low unit cost ? Labor specialization ? Low material handling cost per unit ? High utilization of labor and equipment ? Established routing and scheduling ? Routine accounting, purchasing, and inventory control LO 6.6 Disadvantages ? Creates dull, repetitive jobs ? Poorly skilled workers may not maintain equipment or quality of output ? Fairly inflexible to changes in volume or product or process design ? Highly susceptible to shutdowns ? Preventive maintenance, capacity for quick repair, and spare-parts inventories are necessary expenses ? Individual incentive plans are impractical Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Process layouts ? Layouts that can handle varied processing requirements Dept. A Dept. C Dept. E Dept. B Dept. D Dept. F Used for Intermittent processing Job Shop or Batch LO 6.7 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Advantages Disadvantages ? Can handle a variety of processing ? In-process inventories can be high requirements ? Not particularly vulnerable to equipment failures ? General-purpose equipment is ? Routing and scheduling pose continual challenges ? Equipment utilization rates are low often less costly and easier to maintain ? Material handling is slow and ? It is possible to use individual ? Reduced spans of supervision incentive systems inefficient ? Special attention necessary for each product or customer ? Accounting, inventory control, and purchasing are more involved LO 6.7 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Fixed position layout ? Layout in which the product or project remains stationary, and workers, materials, and equipment are moved as needed ? Large construction projects ? Shipbuilding/aircraft manufacturing ? Space mission LO 6.7 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Some operational environments use a combination of the three basic layout types: ? Hospitals ? Supermarket ? Shipyards ? Some organizations are moving away from process layouts in an effort to capture the benefits of product layouts ? Cellular manufacturing ? Flexible manufacturing systems LO 6.7 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Cellular production ? Layout in which workstations are grouped into a cell that can process items that have similar processing requirements ? Groupings are determined by the operations needed to perform the work for a set of similar items, part families, that require similar processing ? The cells become, in effect, miniature versions of product layouts ? Enables companies to produce a variety of products with very little waste LO 6.7 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Group technology ? The grouping into part families of items with similar design or manufacturing characteristics ? Design characteristics: ? Size ? Shape ? Function ? Manufacturing or processing characteristics ? Type of operations required ? Sequence of operations required ? Requires a systematic analysis of parts to identify the part families LO 6.7 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Service layouts can be categorized as: product, process, or fixed position ? Service layout requirements are somewhat different due to such factors as: ? Degree of customer contact ? Degree of customization ? Common service layouts: ? Warehouse and storage layouts – minimize item movement ? Retail layouts – influence customers into buying more ? Office layouts – increase employee interactions LO 6.7 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? The goal of a product layout is to arrange workers or machines in the sequence that operations need to be performed LO 6.8 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Line balancing ? The process of assigning tasks to workstations in such a way that the workstations have approximately equal time requirements ? Goal: ? Obtain task grouping that represents approximately equal time requirements, since this minimizes idle time along the line and results in a high utilization of equipment and labor ? Why is line balancing important? 1. It allows us to use labor and equipment more efficiently 2. To avoid fairness issues that arise when one workstation must work harder than another LO 6.8 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Cycle time ? The maximum time allowed at each workstation to complete its set of tasks on a unit ? Cycle time also establishes the output rate of a line Operating time per day Cycle time = Desired output rate Operating time per day Output rate = Cycle time LO 6.8 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? The required number of workstations is a function of ? Desired output rate ? Our ability to combine tasks into a workstation ? Theoretical minimum number of stations N min = ?t Cycle time where N min = theoretical minimum number of stations ? t = Sum of task times LO 6.8 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Precedence diagram ? A diagram that shows elemental tasks and their precedence requirements LO 6.8 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Some heuristic (intuitive) rules: ? Assign tasks in order of most following tasks ? Count the number of tasks that follow ? Assign tasks in order of greatest positional weight ? Positional weight is the sum of each task’s time and the times of all following tasks LO 6.8 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Balance delay (percentage of idle time) ? Percentage of idle time of a line Balance Delay = Idle time per cycle ?100 N actual ? Cycle time where N actual = Actual number of stations ? Efficiency ? Percentage of busy time of a line Efficiency = 100% - Balance Delay LO 6.8 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? The main issue in designing process layouts concerns the relative placement of the departments ? Measuring effectiveness ? A major objective in designing process layouts is to minimize transportation cost, distance, or time LO 6.9 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? In designing process layouts, the following information is required: 1. 2. 3. 4. 5. 6. LO 6.9 A list of departments to be arranged and their dimensions A projection of future work flows between the pairs of work centers The distance between locations and the cost per unit of distance to move loads between them The amount of money to be invested in the layout A list of any special considerations The location of key utilities, access and exit points, etc. Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Distance between locations in meters To From A A B C 20 40 B 30 C Interdepartmental work flows (loads per day) To From 1 1 2 2 3 30 170 100 3 LO 6.9 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 30 1 170 A 100 2 B C Dept. Loads Location Distance (meters) Load Distance Score 1 to 2 170 A to B 20 170 × 20 = 3,400 1 to 3 30 A to C 40 30 × 40 = 1,200 2 to 3 100 B to C 30 100 × 30 = 3,000 Total LO 6.9 3 7,600 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Work Design and Measurement Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior 7-1 written consent of McGraw-Hill Education. You should be able to: LO 7.1 LO 7.2 LO 7.3 LO 7.4 LO 7.5 LO 7.6 Explain the importance of work design Compare and contrast the two basic approaches to job design Discuss the advantages and disadvantages of specialization Describe behavioral approaches to job design Discuss the impact of working conditions on job design Compare the advantages and disadvantages of time-based and outputbased pay systems LO 7.7 Explain the purpose of methods analysis and describe how methods studies are performed LO 7.8 Describe four commonly used techniques for motion study LO 7.9 Define a standard time LO 7.10 Describe and compare time study methods and perform calculations LO 7.11 Describe work sampling and perform calculations LO 7.12 Compare stopwatch time study and work sampling Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-2 ? Job design ? The act of specifying the contents and methods of jobs ? What will be done in a job ? Who will do the job ? How the job will be done ? Where the job will be done ? Importance ? Organizations are dependent on human efforts to accomplish their goals ? Many job design topics are relevant to continuous and productivity improvement ? Objectives ? Productivity ? Safety ? Quality of work life LO 7.1 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-3 ? Efficiency School ? Emphasizes a systematic, logical approach to job design ? A refinement of Frederick Winslow Taylor’s scientific management concepts ? Behavioral School ? Emphasizes satisfaction of needs and wants of employees Specialization is a primary issue of disagreement between the efficiency and behavioral approaches LO 7.2 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-4 ? Specialization ? Work that concentrates on some aspect of a product or service Advantages For management: 1. Simplifies training 2. High productivity 3. Low wage costs For employees: 1. Low education and skill requirements 2. Minimum responsibility 3. Little mental effort needed Disadvantages For management: 1. Difficult to motivate quality 2. Worker dissatisfaction, possibly resulting in absenteeism, high turnover, disruptive tactics, poor attention to quality LO 7.3 For employees: 1. Monotonous work 2. Limited opportunities for advancement 3. Little control over work 4. Little opportunity for self-fulfillment Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-5 ? Job Enlargement ? Giving a worker a larger portion of the total task by horizontal loading ? Job Rotation ? Workers periodically exchange jobs ? Job Enrichment ? Increasing responsibility for planning and coordination tasks, by vertical loading LO 7.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-6 ? Motivation is a key factor in many aspects of work life ? Influences quality and productivity ? Contributes to the work environment ? Trust is an important factor that affects motivation LO 7.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-7 ? Teams take a variety of forms: ? Short-term team ? Formed to collaborate on a topic or solve a problem ? Long-term teams ? Self-directed teams ? Groups empowered to make certain changes in their work processes LO 7.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-8 ? Benefits of teams ? Higher quality ? Higher productivity ? Greater worker satisfaction ? Team problems ? Some managers feel threatened ? Conflicts between team members LO 7.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-9 Expert Robert Bacal has a list of requirements for successful team building: 1. Clearly stated and commonly held vision and goals. 2. Talent and skills required to meet goals. 3. Clear understanding of team members’ roles and functions. 4. Efficient and shared understanding of procedures & norms. 5. Effective and skilled interpersonal relations. 6. A system of reinforcement and celebration. 7. Clear understanding of the team’s relationship to the greater organization. LO 7.4 7-10 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. Scientific discipline concerned with the understanding of human interaction with the elements of a system. An ergonomically designed system or part • Increases productivity • Reduces worker’s discomfort and fatigue • Reduces to injuries to the back, neck, arms, etc. LO 7.4 7-11 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. ? Quality of work life affects not only workers’ overall sense of well-being and contentment, but also their productivity ? Important aspects of quality of work life: ? How a worker gets along with co-workers ? Quality of management ? Working conditions ? Compensation LO 7.5 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-12 ? It is important for organizations to develop suitable compensation plans for their employees ? Compensation approaches ? Time-based systems ? Output-based systems ? Incentive systems ? Knowledge-based systems ? Management compensation Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-13 ? Time-based system ? Compensation based on time an employee has worked during the pay period ? Output-based (incentive) system ? Compensation based on amount of output an employee produced during the pay period Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-14 TIME-BASED Advantages Disadvantages OUTPUT-BASED Advantages Disadvantages Management Worker • • • • Stable labor costs Easy to administer Simple to compute pay Stable output • • Stable pay Less pressure to produce than under output system • No incentive for workers to increase output • Extra efforts not rewarded • • Lower cost per unit Greater output • • Pay related to efforts Opportunity to earn more • Wage computation more difficult Need to measure output Quality may suffer Difficult to incorporate wage increases Increased problems with scheduling • • Pay fluctuates Workers may be penalized because of factors beyond their control (e.g., machine breakdown) • • • • LO 7.6 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-15 ? Individual incentive plans ? Straight piecework ? Worker’s pay is a direct linear function of his or her output ? Minimum wage legislation has reduced their popularity ? Base rate + bonus ? Worker is guaranteed a base rate, tied to an output standard, that serves as a minimum ? A bonus is paid for output above the standard ? Group incentive plans ? Tend to stress sharing of productivity gains with employees Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-16 ? Knowledge-based pay ? A pay system used by organizations to reward workers who undergo training that increases their skills ? Three dimensions: ? Horizontal skills ? Reflect the variety of tasks the worker is capable of performing ? Vertical skills ? Reflect the managerial skills the worker is capable of ? Depth skills ? Reflect quality and productivity results Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-17 ? Many organizations used to reward managers based on output ? New emphasis is being placed on other factors of performance ? Customer service ? Quality ? Executive pay is increasingly being tied to the success of the company or division for which the executive is responsible Copyright

and gather relevant data 2. Discuss the job with the operator and supervisor to get their input 3. Study and document the present methods 4. Analyze the job 5. Propose new methods 6. Install the new methods 7. Follow up implementation to assure improvements have been achieved 1. LO 7.7 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-21 ? Consider jobs that: Have a high labor content 2. Are done frequently 3. Are unsafe

Description Module 07: Introduction In this module, you will learn about processes, facilities planning, and work systems. Regarding processes, you will focus on process selection, process strategies, and process layouts. Regarding facilities, you will focus on facilities layouts and product layouts. Finally, regarding work systems, the focus will be on quality of work life, job design, motion studies, work measurement, and operations strategy. Discussion Topic Process Optimization According to Stevenson (2021), processes converting inputs into outputs are at the core of operations management and have strategic significance. Among the benefits of creating and using processes we can mention cost reduction, meeting customers’ expectations, and streamlining business operations. For this discussion, do the following: Identify what a business process is and discuss its benefits and disadvantages. Consider yourself a business owner. Discuss a process for one aspect of your businesses’ workflow. How many steps are in the process? How many people are in the process? Directions: Discuss the concepts, principles, and theories from your textbook. Cite your textbooks and cite any other sources if appropriate. Your initial post should address all components of the question with a 500 word limit. Learning Outcomes Evaluate the strategic importance of process selection. Examine the importance of process strategy. Weigh the value of effective work design to the organization. Readings Required: Chapters 6 & 7 in Operations Management Chapter 6 & 7 PowerPoint Presentations Tarver W, Savoy A, Patel H, Weiner M, Holden R. (2024).Inefficient Processes and Associated Factors in Primary Care Nursing: System Configuration Analysis JMIR Hum Factors. DOI: 10.2196/49691 Recommended: Zare, R., Kazemi, R., Choobineh, A., Cousins, R.,et al. (2024). Development of a work systems stress questionnaire to predict job burnout: A mixed methods study based on a macroergonomics approach. Heliyon, 10(23). https://doi.org/10.1016/j.heliyon.2024.e40226 UNFORMATTED ATTACHMENT PREVIEW Module 07: Introduction In this module, you will learn about processes, facilities planning, and work systems. Regarding processes, you will focus on process selection, process strategies, and process layouts. Regarding facilities, you will focus on facilities layouts and product layouts. Finally, regarding work systems, the focus will be on quality of work life, job design, motion studies, work measurement, and operations strategy. Discussion Topic Process Optimization According to Stevenson (2021), processes converting inputs into outputs are at the core of operations management and have strategic significance. Among the benefits of creating and using processes we can mention cost reduction, meeting customers’ expectations, and streamlining business operations. For this discussion, do the following: 1. Identify what a business process is and discuss its benefits and disadvantages. 2. Consider yourself a business owner. Discuss a process for one aspect of your businesses’ workflow. How many steps are in the process? How many people are in the process? Directions: • • Discuss the concepts, principles, and theories from your textbook. Cite your textbooks and cite any other sources if appropriate. Your initial post should address all components of the question with a 500 word limit. Learning Outcomes 1. Evaluate the strategic importance of process selection. 2. Examine the importance of process strategy. 3. Weigh the value of effective work design to the organization. Readings Required: • Chapters 6 & 7 in Operations Management • Chapter 6 & 7 PowerPoint Presentations • Tarver W, Savoy A, Patel H, Weiner M, Holden R. (2024).Inefficient Processes and Associated Factors in Primary Care Nursing: System Configuration Analysis JMIR Hum Factors. DOI: 10.2196/49691 Recommended: • Zare, R., Kazemi, R., Choobineh, A., Cousins, R.,et al. (2024). Development of a work systems stress questionnaire to predict job burnout: A mixed methods study based on a macroergonomics approach. Heliyon, 10(23). https://doi.org/10.1016/j.heliyon.2024.e40226 Process Selection and Facility Layout Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 6-1 You should be able to: LO 6.1 LO 6.2 LO 6.3 LO 6.4 LO 6.5 LO 6.6 LO 6.7 LO 6.8 LO 6.9 Explain the strategic importance of process selection and the influence it has on the organization and its supply chain Name the two main factors that influence process selection Compare the four basic processing types Explain the need for management of technology List some reasons for redesign of layouts Describe product layouts and their main advantages and disadvantages Describe process layouts and their main advantages and disadvantages Solve simple line-balancing problems Develop simple process layouts Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Process selection ? Refers to deciding on the way production of goods or services will be organized ? It has major implications for ? Capacity planning ? Layout of facilities ? Equipment ? Design of work systems LO 6.1 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Forecasting Capacity Planning Product and Service Design Technological Change LO 6.1 Facilities and Equipment Layout Process Selection Work Design Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Key aspects of process strategy: ? Capital intensity ? The mix of equipment and labor that will be used by the organization ? Process flexibility ? The degree to which the system can be adjusted to changes in processing requirements due to such factors as ? Product and service design changes ? Volume changes ? Changes in technology LO 6.1 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Two key questions in process selection: 1. How much variety will the process need to be able to handle? 2. How much volume will the process need to be able to handle? Job Shop Batch Repetitive LO 6.2 Continuous Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Repetitive/ Assembly Job Shop Batch Description Customized goods or services Semistandardized goods or services Standardized goods or services Highly standardized Goods or services Advantages Able to handle a wide variety of work Flexibility; easy to add or change products or services Low unit cost, high volume, efficient Very efficient, very high volume Disadvantages Slow, high cost per unit, complex planning and scheduling Moderate cost per unit, moderate scheduling complexity Low flexibility, high cost of downtime Very rigid, lack of variety, costly to change, very high cost of downtime LO 6.3 Continuous Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? There is increasing pressure for organizations to operate sustainable production processes ? According to the Lowell Center for Sustainable Production: ? “Sustainable Production is the creation of goods and services using processes and systems that are: nonpolluting; conserving of energy and natural resources; economically efficient; safe and healthful for workers, communities, and consumers; and, socially and creatively rewarding for all working people.” LO 6.3 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Reduce/recycle waste and ecologically incompatible parts and byproducts ? Eliminate hazardous chemicals/physical agents ? Conserve energy and materials ? Redesign workspace to minimize hazards to the workers and the environment LO 6.3 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Process and information technology can have a major impact on costs, productivity and competitiveness: ? Process technology ? Methods, procedures, and equipment used to produce goods and provide services ? Information technology ? The science and use of computers and other electronic equipment to store, process, and send information LO 6.3 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Process technology and information technology can have a profound impact on: ? Costs ? Productivity ? Competitiveness LO 6.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Automation ? Machinery that has sensing and control devices that enable it to operate automatically ? Fixed automation ? Programmable automation ? Flexible automation LO 6.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Programmable automation ? Involves the use of high-cost, general-purpose equipment controlled by a computer program that provides both the sequence of operations and specific details about each operation ? Computer-Aided Manufacturing (CAM) ? The use of computers in process control, ranging from robots to automated quality control ? Numerically Controlled (N/C) Machines ? Machines that perform operations by following mathematical processing instructions ? Robot ? A machine consisting of a mechanical arm, a power supply, and a controller LO 6.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Robots that follow a fixed set of instructions ? Programmable robots ? Repeat a set of movements after being led through a sequence ? Follow instructions from a computer ? Collaborative robots, also known as cobots LO 6.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Flexible automation ? Evolved from programmable automation. It uses equipment that is more customized than that of programmable automation. A key difference between the two is that flexible automation requires significantly less changeover time. ? FMS (Flexible Manufacturing System) ? A group of machines designed to handle intermittent processing requirements and produce a variety of similar products ? CIM (Computer Integrated Manufacturing) ? A system for linking a broad range of manufacturing activities through an integrated computer system LO 6.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? FMS ? A group of machines designed to handle intermittent processing requirements and produce a variety of similar products ? Have some of the benefits of automation and some of the flexibility of individual, or stand-alone, machines ? Includes supervisory computer control, automatic material handling, and robots or other automated processing equipment LO 6.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? A system for linking a broad range of manufacturing activities through an integrated computer system ? Activities include ? Engineering design ? FMS ? Purchasing ? Order processing ? Production planning and control ? The overall goal of CIM is to link various parts of an organization to achieve rapid response to customer orders and/or product changes, to allow rapid production, and to reduce indirect labor costs ? Internet of Things (IoT) further enhances connectivity of devices through internet LO 6.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Layout ? The configuration of departments, work centers, and equipment, with particular emphasis on movement of work (customers or materials) through the system ? Facilities layout decisions arise when: ? Designing new facilities ? Re-designing existing facilities LO 6.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Inefficient operations ? High cost ? Bottlenecks ? Accidents or safety hazards ? Changes in product or service design ? Introduction of new products or services ? Changes in output volume or product mix ? Changes in methods or equipment ? Changes in environmental or other legal requirements ? Morale problems LO 6.5 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Basic objective ? Facilitate a smooth flow of work, material, and information through the system ? Supporting objectives ? Facilitate product or service quality ? Use workers and space efficiently ? Avoid bottlenecks ? Minimize material handling costs ? Eliminate unnecessary movement of workers or material ? Minimize production time or customer service time ? Design for safety LO 6.5 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Product layouts ? Process layouts ? Fixed-position layout ? Combination layouts LO 6.5 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Product layout ? Layout that uses standardized processing operations to achieve smooth, rapid, high-volume flow Raw materials or customer Material and/or labor Station 1 Material and/or labor Station 2 Material and/or labor Station 3 Station 4 Finished item Material and/or labor Used for Repetitive Processing Repetitive or Continuous LO 6.6 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. A job shop A batch process A repetitive process A continuous process Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Advantages ? High rate of output ? Low unit cost ? Labor specialization ? Low material handling cost per unit ? High utilization of labor and equipment ? Established routing and scheduling ? Routine accounting, purchasing, and inventory control LO 6.6 Disadvantages ? Creates dull, repetitive jobs ? Poorly skilled workers may not maintain equipment or quality of output ? Fairly inflexible to changes in volume or product or process design ? Highly susceptible to shutdowns ? Preventive maintenance, capacity for quick repair, and spare-parts inventories are necessary expenses ? Individual incentive plans are impractical Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Process layouts ? Layouts that can handle varied processing requirements Dept. A Dept. C Dept. E Dept. B Dept. D Dept. F Used for Intermittent processing Job Shop or Batch LO 6.7 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Advantages Disadvantages ? Can handle a variety of processing ? In-process inventories can be high requirements ? Not particularly vulnerable to equipment failures ? General-purpose equipment is ? Routing and scheduling pose continual challenges ? Equipment utilization rates are low often less costly and easier to maintain ? Material handling is slow and ? It is possible to use individual ? Reduced spans of supervision incentive systems inefficient ? Special attention necessary for each product or customer ? Accounting, inventory control, and purchasing are more involved LO 6.7 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Fixed position layout ? Layout in which the product or project remains stationary, and workers, materials, and equipment are moved as needed ? Large construction projects ? Shipbuilding/aircraft manufacturing ? Space mission LO 6.7 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Some operational environments use a combination of the three basic layout types: ? Hospitals ? Supermarket ? Shipyards ? Some organizations are moving away from process layouts in an effort to capture the benefits of product layouts ? Cellular manufacturing ? Flexible manufacturing systems LO 6.7 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Cellular production ? Layout in which workstations are grouped into a cell that can process items that have similar processing requirements ? Groupings are determined by the operations needed to perform the work for a set of similar items, part families, that require similar processing ? The cells become, in effect, miniature versions of product layouts ? Enables companies to produce a variety of products with very little waste LO 6.7 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Group technology ? The grouping into part families of items with similar design or manufacturing characteristics ? Design characteristics: ? Size ? Shape ? Function ? Manufacturing or processing characteristics ? Type of operations required ? Sequence of operations required ? Requires a systematic analysis of parts to identify the part families LO 6.7 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Service layouts can be categorized as: product, process, or fixed position ? Service layout requirements are somewhat different due to such factors as: ? Degree of customer contact ? Degree of customization ? Common service layouts: ? Warehouse and storage layouts – minimize item movement ? Retail layouts – influence customers into buying more ? Office layouts – increase employee interactions LO 6.7 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? The goal of a product layout is to arrange workers or machines in the sequence that operations need to be performed LO 6.8 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Line balancing ? The process of assigning tasks to workstations in such a way that the workstations have approximately equal time requirements ? Goal: ? Obtain task grouping that represents approximately equal time requirements, since this minimizes idle time along the line and results in a high utilization of equipment and labor ? Why is line balancing important? 1. It allows us to use labor and equipment more efficiently 2. To avoid fairness issues that arise when one workstation must work harder than another LO 6.8 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Cycle time ? The maximum time allowed at each workstation to complete its set of tasks on a unit ? Cycle time also establishes the output rate of a line Operating time per day Cycle time = Desired output rate Operating time per day Output rate = Cycle time LO 6.8 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? The required number of workstations is a function of ? Desired output rate ? Our ability to combine tasks into a workstation ? Theoretical minimum number of stations N min = ?t Cycle time where N min = theoretical minimum number of stations ? t = Sum of task times LO 6.8 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Precedence diagram ? A diagram that shows elemental tasks and their precedence requirements LO 6.8 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Some heuristic (intuitive) rules: ? Assign tasks in order of most following tasks ? Count the number of tasks that follow ? Assign tasks in order of greatest positional weight ? Positional weight is the sum of each task’s time and the times of all following tasks LO 6.8 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? Balance delay (percentage of idle time) ? Percentage of idle time of a line Balance Delay = Idle time per cycle ?100 N actual ? Cycle time where N actual = Actual number of stations ? Efficiency ? Percentage of busy time of a line Efficiency = 100% - Balance Delay LO 6.8 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? The main issue in designing process layouts concerns the relative placement of the departments ? Measuring effectiveness ? A major objective in designing process layouts is to minimize transportation cost, distance, or time LO 6.9 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. ? In designing process layouts, the following information is required: 1. 2. 3. 4. 5. 6. LO 6.9 A list of departments to be arranged and their dimensions A projection of future work flows between the pairs of work centers The distance between locations and the cost per unit of distance to move loads between them The amount of money to be invested in the layout A list of any special considerations The location of key utilities, access and exit points, etc. Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Distance between locations in meters To From A A B C 20 40 B 30 C Interdepartmental work flows (loads per day) To From 1 1 2 2 3 30 170 100 3 LO 6.9 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 30 1 170 A 100 2 B C Dept. Loads Location Distance (meters) Load Distance Score 1 to 2 170 A to B 20 170 × 20 = 3,400 1 to 3 30 A to C 40 30 × 40 = 1,200 2 to 3 100 B to C 30 100 × 30 = 3,000 Total LO 6.9 3 7,600 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Work Design and Measurement Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior 7-1 written consent of McGraw-Hill Education. You should be able to: LO 7.1 LO 7.2 LO 7.3 LO 7.4 LO 7.5 LO 7.6 Explain the importance of work design Compare and contrast the two basic approaches to job design Discuss the advantages and disadvantages of specialization Describe behavioral approaches to job design Discuss the impact of working conditions on job design Compare the advantages and disadvantages of time-based and outputbased pay systems LO 7.7 Explain the purpose of methods analysis and describe how methods studies are performed LO 7.8 Describe four commonly used techniques for motion study LO 7.9 Define a standard time LO 7.10 Describe and compare time study methods and perform calculations LO 7.11 Describe work sampling and perform calculations LO 7.12 Compare stopwatch time study and work sampling Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-2 ? Job design ? The act of specifying the contents and methods of jobs ? What will be done in a job ? Who will do the job ? How the job will be done ? Where the job will be done ? Importance ? Organizations are dependent on human efforts to accomplish their goals ? Many job design topics are relevant to continuous and productivity improvement ? Objectives ? Productivity ? Safety ? Quality of work life LO 7.1 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-3 ? Efficiency School ? Emphasizes a systematic, logical approach to job design ? A refinement of Frederick Winslow Taylor’s scientific management concepts ? Behavioral School ? Emphasizes satisfaction of needs and wants of employees Specialization is a primary issue of disagreement between the efficiency and behavioral approaches LO 7.2 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-4 ? Specialization ? Work that concentrates on some aspect of a product or service Advantages For management: 1. Simplifies training 2. High productivity 3. Low wage costs For employees: 1. Low education and skill requirements 2. Minimum responsibility 3. Little mental effort needed Disadvantages For management: 1. Difficult to motivate quality 2. Worker dissatisfaction, possibly resulting in absenteeism, high turnover, disruptive tactics, poor attention to quality LO 7.3 For employees: 1. Monotonous work 2. Limited opportunities for advancement 3. Little control over work 4. Little opportunity for self-fulfillment Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-5 ? Job Enlargement ? Giving a worker a larger portion of the total task by horizontal loading ? Job Rotation ? Workers periodically exchange jobs ? Job Enrichment ? Increasing responsibility for planning and coordination tasks, by vertical loading LO 7.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-6 ? Motivation is a key factor in many aspects of work life ? Influences quality and productivity ? Contributes to the work environment ? Trust is an important factor that affects motivation LO 7.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-7 ? Teams take a variety of forms: ? Short-term team ? Formed to collaborate on a topic or solve a problem ? Long-term teams ? Self-directed teams ? Groups empowered to make certain changes in their work processes LO 7.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-8 ? Benefits of teams ? Higher quality ? Higher productivity ? Greater worker satisfaction ? Team problems ? Some managers feel threatened ? Conflicts between team members LO 7.4 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-9 Expert Robert Bacal has a list of requirements for successful team building: 1. Clearly stated and commonly held vision and goals. 2. Talent and skills required to meet goals. 3. Clear understanding of team members’ roles and functions. 4. Efficient and shared understanding of procedures & norms. 5. Effective and skilled interpersonal relations. 6. A system of reinforcement and celebration. 7. Clear understanding of the team’s relationship to the greater organization. LO 7.4 7-10 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. Scientific discipline concerned with the understanding of human interaction with the elements of a system. An ergonomically designed system or part • Increases productivity • Reduces worker’s discomfort and fatigue • Reduces to injuries to the back, neck, arms, etc. LO 7.4 7-11 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. ? Quality of work life affects not only workers’ overall sense of well-being and contentment, but also their productivity ? Important aspects of quality of work life: ? How a worker gets along with co-workers ? Quality of management ? Working conditions ? Compensation LO 7.5 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-12 ? It is important for organizations to develop suitable compensation plans for their employees ? Compensation approaches ? Time-based systems ? Output-based systems ? Incentive systems ? Knowledge-based systems ? Management compensation Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-13 ? Time-based system ? Compensation based on time an employee has worked during the pay period ? Output-based (incentive) system ? Compensation based on amount of output an employee produced during the pay period Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-14 TIME-BASED Advantages Disadvantages OUTPUT-BASED Advantages Disadvantages Management Worker • • • • Stable labor costs Easy to administer Simple to compute pay Stable output • • Stable pay Less pressure to produce than under output system • No incentive for workers to increase output • Extra efforts not rewarded • • Lower cost per unit Greater output • • Pay related to efforts Opportunity to earn more • Wage computation more difficult Need to measure output Quality may suffer Difficult to incorporate wage increases Increased problems with scheduling • • Pay fluctuates Workers may be penalized because of factors beyond their control (e.g., machine breakdown) • • • • LO 7.6 Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-15 ? Individual incentive plans ? Straight piecework ? Worker’s pay is a direct linear function of his or her output ? Minimum wage legislation has reduced their popularity ? Base rate + bonus ? Worker is guaranteed a base rate, tied to an output standard, that serves as a minimum ? A bonus is paid for output above the standard ? Group incentive plans ? Tend to stress sharing of productivity gains with employees Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-16 ? Knowledge-based pay ? A pay system used by organizations to reward workers who undergo training that increases their skills ? Three dimensions: ? Horizontal skills ? Reflect the variety of tasks the worker is capable of performing ? Vertical skills ? Reflect the managerial skills the worker is capable of ? Depth skills ? Reflect quality and productivity results Copyright ©2021 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGrawHill Education. 7-17 ? Many organizations used to reward managers based on output ? New emphasis is being placed on other factors of performance ? Customer service ? Quality ? Executive pay is increasingly being tied to the success of the company or division for which the executive is responsible Copyright ©2021 McGraw-Hill Edu

Description Kyle Martin Oct 10 10:27am Reply from Kyle Martin This week’s discussion focused on pricing and revenue management within the supply chain, which is the main content for Chapter 16 in the Chopra, (2018) text. Understanding the roles that pricing and revenue management have within the organization, differential pricing context, how dynamic pricing works, the optimal discounting and peak season pricing structures, and creating a portfolio are all part of the main learning objectives and course content for the week. With information from Chopra, (2018) as well as support from other scholarly literature, the discussion questions are listed and answered below. In what ways can a retailer such as Nordstrom take advantage of revenue management opportunities? For retailers like Nordstrom, they can take advantage of revenue management opportunities by exploiting the opportunities to change prices based on numerous factors, such as the availability of the product, the seasonal demand, and peak and off-peak pricing strategies that allow the retailer to generate more revenue and have higher profits than a competitor in the retail industry who utilizes a fixed pricing structure and executes a fixed pricing strategy rather than optimizing their pricing strategy (Chopra, 2018). What revenue management opportunities are available to a manufacturer? How can it take advantage of these opportunities? The opportunities available to manufacturers fall within their ability to offer different versions of products at different price points to meet market demand in different segments, as well as the opportunity to extend service warranties for the same product that cover different price points and time periods. These opportunities can be taken advantage of by creating different variations of the same product that meet consumer demands. For example, automotive manufacturers make baseline, mid, and high-level versions of the same vehicle, allowing consumers to purchase the same product with variations that meet their desired price point (Chopra, 2018). Additionally, in the car wash industry, touchless automatic equipment can be manufactured in a similar fashion, offering three different versions of the same conceptualized machine that fit into different market segments. Lastly, they can take advantage of these opportunities by creating different warranty options for the same product. For example, “contact lens manufacturers sell the same lens with a one-week, one-month, and six-month warranty” (Chopra, 2018, p. 473). What revenue management opportunities are available to a trucking firm? How can it take advantage of these opportunities? The opportunities available to a trucking firm through revenue management present as giving them the ability to charge different prices during different time periods, price based on segment, demand forecasting, and savings (Chopra, 2018). The way in which they can take advantage of these opportunities “owners of transportation assets in the supply chain must offer some scheduled services as a mechanism for separating the higher-price and lower-price segments” (Chopra, 2018, p. 473). What revenue management opportunities are available to the owner of a warehouse? How can it take advantage of them? The opportunities available to the owner of a warehouse come from their ability to determine their strategy regarding long-term leasing or spot market leasing. While a long-term lease locked in by a warehouse owner may create stability from a revenue perspective, the opportunity to evaluate spot leasing is available through revenue management opportunities (Chopra, 2018). Spot leasing, while less stable than the long-term lease, can be taken advantage of by warehouse owners because the spot market may generate higher revenue, and “revenue management increases profits by finding the right portfolio of long-term and spot-market customers” (Chopra, 2018, p. 466). Explain the use of outlet stores by retailers such as Saks Fifth Avenue in the context of revenue management. How does the presence of outlet stores help Saks? How does it help its more valuable customer, who is willing to pay full price? Retailers like Saks Fifth Avenue and other retailers utilize outlet stores as a way to create dynamic pricing strategy for the organization. Outlet stores will help generate revenue from the market segment that is more price sensitive and values the product less. This also allows the retailer to sell their products at a higher price early on, and only those willing to pay the price will have the product, and then over time as the product trends towards being outdated or last season in the case of the textile industry, they can move the remaining product to an outlet store. This structure does help the more valuable customer who is willing to pay full price as well, because “effective differential pricing over time generally increases the level of product availability for the consumer willing to pay full price” (Chopra, 2018, p. 474). Demand for hairdressers is much higher over the weekend, when people are not at work. What revenue management techniques can be used by such a business? Demand pricing revenue management techniques would be the first technique that a hairdresser business can utilize from a revenue management standpoint. By offering lower prices throughout the week, the organization may be able to drive a percentage of their weekend customers to scheduling a weekday appointment. Additionally, by charging higher prices on the weekends, they will be able to generate more revenue from their existing weekend clientele. There will be consumers who typically visit on the weekends that will reschedule to weekdays so that they can pay a lower price due to their price sensitivity, but there will also be many consumers willing to still pay a higher price to keep their weekend appointments. Additionally, from a revenue management standpoint, a hairdresser can utilize advanced bookings to control the load on both the weekday and the weekend, allowing them to staff appropriately and maximize revenue (Rusmevichientong et al., 2023). How can a golf course use revenue management to improve financial performance? A golf course can utilize revenue management to improve financial performance through offering peak and off-peak pricing. Many golfers can only golf on the weekends, thus creaking a peak demand during the weekend. Similar to the hairdresser example from the previous question, many consumers are only available to golf on the weekend, so they will be willing to pay the higher prices during peak hours because that is their only available option. Alternatively, those who are available to golf during the week through the off-peak hours will choose to play golf during the week instead of on the weekend so they can pay a lower price for the same greens and cart. Additionally, this would allow the golf course to forecast demand at different time periods and maximize the revenue generated (Cleophas & Schuetze, 2024). References: Chopra, S. (2018). Supply chain management (7th ed.). Pearson Education (US). https://libertyonline.vitalsource.com/books/9780134732459Links to an external site. Cleophas, C., & Schüetze, C. (2024). Decision biases in revenue management revisited: Dynamic decision?making under stationary and nonstationary demand. Decision Sciences, 55(2), 159-175. https://doi.org/10.1111/deci.12573Links to an external site. Rusmevichientong, P., Sumida, M., Topaloglu, H., & Bai, Y. (2023). Revenue management with heterogeneous resources: Unit resource capacities, advance bookings, and itineraries over time intervals. Operations Research, 71(6), 2196-2216. https://doi.org/10.1287/opre.2022.2427