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Organizational Behavior Course Model

OB Outcomes: Attitudes and Behaviors Effort Job Satisfaction Absenteeism Turnover Stress Workplace Violence Organizational Citizenship Behavior and Commitment Employee Theft Safety and Accidents Sexual Harassment Grievances. Influenced by Managers Using

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Organizational Behavior Course Model

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  1. OB Outcomes: Attitudesand Behaviors Effort Job Satisfaction Absenteeism Turnover Stress Workplace Violence Organizational Citizenship Behavior and Commitment Employee Theft Safety and Accidents Sexual Harassment Grievances Influenced by Managers Using Application of Individual Differences Perceptions Attributions Attitude change Values Personality Group Dynamics Reward Systems Job Design Leadership Organizational Behavior Course Model

  2. STRESS Definition: Stress occurs when an individual cannot adequately respond to job or org. stimuli without damage (e.g., fatigue, worry, heart disease). Established Research: Performance Stress (giving a speech, studying for a test) Conclusion: Nearly all work-induced stress is undesirable, not a bell-shaped curve

  3. REASONS FOR MANAGING STRESS • Corporate self-interest • ● #1Fringe benefit? • ● Popular prescription drugs? • ● How did stress get linked to • health care costs? Control Data • 2. Liability; worker’s compensation • 3. Key people most affected • 4. Moral/ethical/humanistic reasons

  4. Corporate Self-Interest: Reducing Health Care Costs • Control Data Corp. 1987 case • 2007: Overweight → 11.65 claims/100 FT Avg. weight → 5.80 claims/100 FT • Wellmark: Has offered financial awards for some lifestyle activities • Selection practices. Do not hire those who consume alcohol or smoke (e.g., Pella, Lucullan’s, Wellmark) • Choice of “carrot” vs. “stick”

  5. LIFESTYLE POLICIESCOMPANYPOLICY Gannett, General Mills, Pepsi, Monthly surcharge for smokers Sauer-Danfoss, Iowa Telecom Wellmark/BCBS 15% Macys, Gannett, GE Hy-Vee $10 Health Insurance reduction for nonsmokers GuideOne Discounts for not smoking or drinking; extra coverage when volunteering & church attendance Alabama, South Carolina $25/month Health Insurance surcharge for use of tobacco products or excessive weight

  6. LIFESTYLE POLICIESCOMPANYPOLICY AmeriGas Get check-up or lose health insurance Mohawk Industries $100/month penalty for not participating in a health risk assessment Michelin Meeting healthy standards for BP, glucose, cholesterol, triglycerides, & waist size (35 women, 40 men) earn $1000 toward deductibles Turner Broadcasting First to not hire smokers Union Pacific (where legal to do so) Affordable Care Act Insurers can charge 50% more for premiums (12-1-13 DMR)

  7. Sidebar on Employees Who Smoke • Smoking on decline in U.S: 19% of U.S. adults, 18% of Iowans, but growing world wide • Center for Disease Control says smoking costs the nation $167 billion • Federal studies show smokers cost an average business $3400 more per year because of increased medical expenses and absenteeism • Over a lifetime, employees who smoke incur $16,000 more in medical bills

  8. Sidebar on Employees Who Smoke • Growing evidence that financial incentives can induce people to quit smoking • GE: 878 employees received info on smoking cessation. Divided into non-compensated and compensated groups. • Compensated group got $100 for completing cessation program, $250 if they stopped w/in 6 months of being in the study and $400 if they remained smoke free 6 months later

  9. Sidebar on Employees Who Smoke • Results % Smoke-Free Compensated Not Compensated End of First Year: 14.7% 5% At 18 months: 9.4% 3.6% • The “ship has sailed” with respect to smoking bans at work and in the community. Can obesity management be far behind?

  10. Sidebar: Obese Employees • One in 3 adults is obese (BMI > 30) • Surgeon General says obesity costs the nation > $100 billion • Obesity accounts for 5-7% of health care costs. For a company of 1000 employees, an extra $395,000 • Programs to combat obesity on the rise (e.g., Google & Caterpillar put healthy food in vending machines, cafeterias charge less for healthy food) • Alabama and S.C. will charge employees w/BMI > 35 $25/month for insurance that is otherwise free

  11. Reducing Liability and Worker’s Compensation Costs • Extension of safe working environment (Health & Safety Work Act of 1974) • Stress accounts for as much as 14 % of occupational disease claims • As work becomes increasingly mental and service-oriented, as opposed to manual, what will happen?

  12. Key People Most Affected • Loss of highly valued senior people • Relations to stock prices and public confidence (TI & Disney; Apple) • Impact on negotiations • Hypothetical cost figures (next slide)

  13. Job Stress somewhat predictable…. Occupational Stress Rankings High StressLow Stress 1. U.S. President 250. Music instrument repairer 2. Firefighter 249. Florist 3. Senior Executive 246. Actuary 4. Taxi driver 206. Computer Programmer 5. Surgeon 122. Mechanical Engineer 10. Air Traffic Controller 119. Economist 20. Stockbroker 103. Market Researcher Criteria: Overtime, quotas, deadlines, competitiveness, physical demands, hazards, initiative required, stamina, win-lose situations, and working in the public eye Source: Wall Street Journal, 1996; based on 250 jobs; updated by Jobs Rated Almanac, 6th ed. 2002

  14. TYPES OF STRESS 1. Origins of stress 2. Non-work stress 3. Work stress a. Air traffic controllers b. NASA workers c. OSHA layoff studies d. Accountants

  15. A Managerial Model of Stress Antecedents Intermediary Health (Stressors/stress creators)Stress Outcomes Consequences • Physiological • Cholesterol • Triglycerides • Blood pressure • Blood glucose • Catecholamines • Free radicals • Behavioral • Job satisfaction • Career satisfaction • Life satisfaction • Performance • Absenteeism • Turnover • Accidents • Grievances • Physical Environment • Individual Factors • Work overload • Role conflict • Role ambiguity • Responsibility • for others • Underutilization • of skills • Resource inadequacy • Group Factors • Cohesion • Conflict • Satisfaction • Org. Factors • Climate • Technology • Control systems • Job Design Perceived and Objective Stress Measures • Coronary heart disease • Rheumatic • arthritis • Ulcers • Allergies • Headaches • Anxiety • Depression • Apathy • Nervous • exhaustion • Alcoholism • Individual Differences • (cognitive/affective) • Type A/B • Locus of control • Tolerance for • ambiguity • Need for achievement • Self-esteem • Corporate Practices • On-site child care • EAPs • Wellness programs • Individual Differences • (demographics & behavior) • Heredity • Age, Sex • Education • Occupation, Hours worked • Health status • Alcohol and tobacco use • Exercise and diet • Family support • Non-Organizational • Family relations • Economic status • Work/family conflict (moderator factors)

  16. Antecedents of Stress (Stressors) where Managers Can Intervene (Column #1) Physical Environment Individual factors • ↑Work overload → ↑ Stress ■ Quantitative ■ Qualitative (KSAs) • ↑ Role conflict → ↑ Stress • ↑ Role ambiguity → ↑ Stress • ↑ Responsibility for others → ↑ Stress • ↑ Underutilization of skills → ↑ Stress • ↑ Resource inadequacy → ↑ Stress

  17. Individual Differencesand Corporate Interventions Cognitive/Affective Differences • Type A/B • Locus of control • Tolerance for ambiguity • Need for achievement • Self-esteem Corporate Interventions • On-site child care • Employee assistance programs (EAPs) • Wellness programs

  18. PERSONALITY TRAITS Type A High achievement orientation Aggressive Restless; impatient Constant sense of time urgency Type B No time urgency or resulting impatience Feels no need to display/discuss achievements Plays for fun and relaxation Can relax without guilt

  19. CORRELATES OF TYPE A/B 1. As report more work overload 2. As work more hours 3. As have higher serum cholesterol ratings in college students 4. The “A” trait best predictor of CHD among those less than 49 years 5. Most damaging components of “A” are being distrustful and hostile

  20. TYPE A and B BEHAVIORS AB Fast workers Patient Emphasizes quantity Tactful Works long hours Reflective Rarely creative Creative Sometimes makes poor Make careful decisions because they decisions work too fast

  21. APPROACHES TO STRESS REDUCTION 1. Dissipation/Health Promotion a. Exercise b. Bio-feedback; massage c. Overload/role conflict reduction via concierge and “go to meeting” d. Newsletters 2. Selection & Placement 3. Training (conflict mgmt, time mgmt, lunch & learns, ADR, omsbudpersons) 4. Job Redesign & Work Scheduling (lessen role ambiguity, role conflict, reduce underutilization of skills)

  22. Perceptions of Managerial Jobs Have Changed % of Managers who agree that:EightiesMore recent 1. Burnout is a serious problem 40% % 2. Managers are working too many hours 39% % 3. More and more, managers are physically exhausted by the end of the workday 38% % 4. Managers often take too much work home with them 47% % 5. Managers have high job security 26% %

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