Chapter 4 Personality and Values

1. Chapter 4Personality and Values Stephen A. Schwarzman 7 Billion Dollar Man, “King of Wall street” Grand 60th Birthday Celebration Successful, Glamorous!

2. Mr. Schwarzman wants! • CEO of Blackstone Group • A financial advisory firm • Mission • Inflict pain on rivals • Kill off rivals • Successful, 5’6” • Firing employees • Not wearing proper shoes • Sound of employee’s nose Narcissist

3. What is Personality? • The sum total of ways in which an individual reacts and interacts with others; measurable traits a person exhibits. • “The dynamic organization within the individual of those psychophysical systems that determine his unique adjustmentto his environment” Gordon Allport • Quiet vs. aggressive people? • Personality types vs. job types? Personality shapes behavior Personality Traits Enduring characteristics that describe an individual’s behavior. E.g. shy, aggressive, submissive, lazy, loyal, timid

4. Measuring Personality • Self-report surveys • Observer-rating surveys • Projective measures • Myers-Briggs Type Indicator • Big Five Model • Rorschach Inkblot Test • Thematic Apperception Test Influence of Psychometric Tests For hiring …

5. Personality Determinants • Heredity- Genes • Factors determined at conception- biological, physiological and psychological makeup • Molecular structure- genes • Identical twins (39/31 yrs, 45 miles) • Smoke, car, dog, vacations • Twins on different household Vs. Siblings • Environment • Parental environment! • Situations (Experience) ! • Change in Rank Ordering • Dependability • Smartness

6. Measuring Personality- Tests • Tests are good • Hiring decisions • Managing decisions (understand, manage) • “I worry a lot about the future” • Problems- Accuracy • Lie “Fake good” • Impression management • Individual Rating Vs. Observer Rating • Bad mood during test Identifying primary traits Shy, aggressive, submissive, lazy, ambitious, loyal, timid, … … …

7. The Myers-Briggs Type Indicator • MBTI- A personality test that taps four characteristics and classifies people into 1 of 16 personality types. • 100 Question • How people feelor act in certainsituations

8. MBTI- Personality Types • Extroverted vs. Introverted (E or I) • Social Vs. Shy • Sensing vs. Intuitive (S or N) • Detail (routine) Vs. Big Picture (unconscious process) • Thinking vs. Feeling (T or F) • Logic Vs. P. Value/emotions • Judging vs. Perceiving (P or J) • Control/Order Vs. Flexible/Spontaneous Indicator

9. MBTI Indicator • Can be a valuable tool for self-awareness and career guidance BUT Should not be used as a selection tool because it has not been related to job performance! What is your type

10. IA-C4 Do an MBTI test. Analyze the result and explain your career choice with respect to the test. Due June 22nd

11. Big Five Personality Model … • Five basic Dimension • Major Dimensions • Encompasses most variations • others underlie Research support

12. The Big Five Model-Personality Dimensions

13. Employee traits Job Performance Dependable Reliable Organizational impact Careful • Relationship with Job Performance • Conscientiousness • Higher skill level • Emotional Stability • Job Satisfaction • Good decisions on bad mood! • Extrovert • Socially Dominant • Leaders • Impulsive Thorough Planner Organized Hardworking Persistent Achievement-oriented Exhibit4-2/4.4

14. Other Major Personality AttributesIn Organizations • Core Self-evaluation • Machiavellianism • Narcissism • Self-monitoring • Risk taking • Type A vs. Type B personality • Proactive Personality

15. Core Self-Evaluation: Components • Individuals’ degree of liking or disliking themselves. • Find themselves capable and effective • Feel control over environment • Self Esteem • Locus of Control • The degree to whichpeople believe they are masters of their own fate. Too Positive

16. Machiavellianism (Mach) • Degree to which an individual is pragmatic, maintains emotional distance, and believes that ends can justify means. Strive for Power

18. Narcissism Mirror • A Narcissistic Person • Has grandiose sense of self-importance • Requires excessive admiration • Has a sense of entitlement • Tends to be rated as less effective • Is arrogant Selfish Exploitive Leaders ! How bad is it? Views of others

19. Narcissism • In adults, a reasonable amount of healthy narcissism allows the individual's perception of his needs to be balanced in relation to others. • Healthy narcissism is the feeling of greatness. This is used to avoid feelings of inadequacy or insignificance.

20. Self-Monitoring • An individual’s ability • to adjust his or her behavior to external, situational factors. I am true to myself- I do not remake myself to please others • High Self-Monitors • Receive better performance ratings • Likely to emerge as leaders • Show less commitment to their organizations I monitor behavior of my customer and conform accordingly!

21. Risk-Taking Mr. Trump 1980 ~ Rise 1994 ~ -850 M 2007 ~ +2.9 B • High Risk-taking Managers • Make quicker decisions • Use less information to make decisions • Operate in smaller and more entrepreneurial organizations • Low Risk-taking Managers • Are slower to make decisions • Require more information before making decisions • Exist in larger organizations with stable environments • Risk Propensity • Aligning managers’ risk-taking propensity to job requirements should be beneficial to organizations. Are you going to take risk? Stock Market Vs. GrameenPhone

22. Personality Types- A & B Stress Quantity o work Behavior Prediction

23. Proactive Personality • Identifies opportunities, shows initiative, takes action, and perseveres until meaningful change occurs. • Creates positive change in the environment, regardless or even in spite of constraints or obstacles.

24. Chapter Check-Up: Personality • Which of the following is not a typical personality trait considered to be organizationally relevant? Locus of control Self-monitoring Self-enhancing Self esteem Machiavellianism

25. Example- Personality • Asifa arrives to class and realizes that she’s forgotten her homework to turn in. She says “It’s just not my lucky day today.” Asifa has • Asifa has a high external locus of control. Asifa believes that things outside of her control determine what happens. • If Asifa works on a team with you, and you have a very high internal locus of control, what kinds of discussions do you think the two of you might have?

26. Example- Personality • Hanifa is known for being a go-getter. She never leaves a task incomplete, and is involved in a number of activities. Moreover, she’s at the top of her class. She’s so busy that sometimes, she forgets to stop and eat lunch. Hanifa can be easily characterized as someone that has/is a Type ____ Personality. A

27. Example- Personality • Hanifa is also likely to not be very • Happy? • Fun? • Creative? • Stressed? In general, Type A’s are rarely creative because they generally don’t allocate the necessary time for new solution development; they usually rely on past experiences to solve problems in order to be speedy.

29. Values • Mode of conduct or end state of existence • is personally or socially preferable vs. not pref. • What is right & good • Value System: • A hierarchy based on a ranking of an individual’s values in terms of their intensity. Fluid and Flexible Vs. Stable and Enduring Gray Areas Types of Values- Rokeach Value Survey (RVS)

30. Importance of Values • Provide understanding of individuals (cultures ) • attitudes, • motivation, and • behaviors of • Influence our perception of the world around us • Represent interpretations of “right”, “wrong” and preference • Some behaviors or outcomes are preferred over others. Allocation of pay per Performance Vs. Seniority

31. Values in the Rokeach Survey Desirable end-states of existence; the goals that a person would like to achieve during his or her lifetime. E

32. Values in the Rokeach Survey • Preferable modes of • behavior or • means of achieving one’s terminal values. E

33. E12/U13 E14/U14 Mean Value Ranking (RVS) Varies across group- People insimilar occupation/categories …. Negotiation !

34. Values, Loyalty, and Ethical Behavior Ethical Values and Behaviors of Leaders Ethical Climate in the Organization

35. Generational (Work) Values • Value changes over generation • Work values- Exhibit 4.10 • Nexters ! • High Expectation • Seek meaning in their work • Goal- Rich and famous • Questioning, socially conscious, enterprenueal

36. Achieving Person-Job Fit • Personality matches Job • Personality and values matches organization • Flexibility vs. ability • Personality-Job Fit Theory (Holland) • Identifies six personality types and proposes that the fit betweenpersonality type and occupational environment determines satisfaction and turnover. • Personality Types • Realistic • Investigative • Social • Conventional • Enterprising • Artistic

37. Create a personality profile Holland’s Typology

38. Relationship* Compatibility among categories* Satisfaction** Realistic person in social job

39. Person-organization fit • Organizational Culture Profile (OCP) is useful for determining person-organization fit • Survey that forces choices/rankings of one’s personal values • Helpful for identifying most important values to look for in an organization (in efforts to create a good fit) • Result >> Job Satisfaction, Org. Commitment, Low Turnover

40. Values across Cultures: Hofstede’s Framework • Power Distance • Individualism vs. Collectivism • Masculinity vs. Femininity • Uncertainty Avoidance • Long-term and Short-term orientation Big Five Hofstede’s Framework for accessing culture

41. Hofstede’s Framework (cont’d) • Power Distance • The extent to which a society accepts that power in institutions and organizations is distributed unequally. • Low distance • Relatively equal power between those with status/wealth and those without status/wealth • High distance • Extremely unequal power distribution between those with status/wealth and those without status/wealth

42. Hofstede’s Framework (cont’d) Individualism The degree to which people prefer to act as individuals rather than a member of groups. Collectivism A tight social framework in which people expect others in groups of which they are a part to look after them and protect them. Vs.

43. Hofstede’s Framework (cont’d) Masculinity The extent to which the society values work roles of achievement, power, and control, and where assertiveness and materialism are also valued. Vs. Femininity The extent to which there is little differentiation between roles for men and women. Separate Roles

44. Hofstede’s Framework (cont’d) Uncertainty Avoidance The extent to which a society feels threatened by uncertain and ambiguous situations and tries to avoid them. • High Uncertainty Avoidance: Society does not like ambiguous situations & tries to avoid them. • Low Uncertainty Avoidance: Society does not mind ambiguous situations & embraces them.

45. Hofstede’s Framework (cont’d) Long-term Orientation A national culture attribute that emphasizes the future, thrift, and persistence. Vs. Short-term Orientation A national culture attribute that emphasizes the present and the here and now.

46. Exhibit XXXHofstede’s Cultural Values by Nation Bangladesh

47. Chapter Check-Up: Values • In Country J most of the top management team meets employees at the local diner for a dinner on Fridays, and there are no reserved parking spaces. Everyone is on a first name basis with each other. Country J, according to Hofstede’s Framework, is probably low on what dimension? • Collectivism • Long Term Orientation • Uncertainty Avoidance • Power Distance How would a College or University in Country J differ from your College or University? Identify 3 differences and discuss with a neighbor.

48. G-C4 Due 24th(GW= Higher quality work)Case: Rise of a nice CEO? P: 2, 4, 5 Nothing Individual