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Reframing Organizations , 5 th ed. Introduction The Power of Reframing. Virtues and Drawbacks of Organized Activity The Curse of Cluelessness Strategies for Improving Organizations: The Track Record Framing Multiframe Thinking. Steve Jobs: Learning from Failure.
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IntroductionThe Power of Reframing • Virtues and Drawbacks of Organized Activity • The Curse of Cluelessness • Strategies for Improving Organizations: The Track Record • Framing • Multiframe Thinking
Steve Jobs: Learning from Failure • Jobs and ‘Woz’ founded Apple in 1977 • Jobs fired in 1985: great product visionary but practiced ‘management by character assassination’ • Learned to reframe during 11 years in the wilderness • Returned to save Apple in 1997
Are top managers clueless? • Rajat Gupta became the managing partner at the elite consulting firm, McKinsey & Company • Brilliant, highly respected, and a member of elite boards such as Goldman Sachs • Convicted of conspiracy and securities fraud for leaking confidential information in 2012
Are top manager clueless? As New Orleans recovered from Hurricane Katrina, the Secretary of Homeland Security told reporters he had no reports of things that viewers had already seen on television news.
Virtues and drawbacks of organization • Prevalence of large, complex organizations is historically recent • Much of society’s important work is done in or by organizations, but… • They often produce poor service, defective or dangerous products and… • Too often they exploit people and communities, and damage the environment
Signs of Cluelessness • Management error produces bankruptcies of public companies every year • Most mergers fail, but companies keep on merging • One study estimates 50 to 75% of American managers are incompetent • Most change initiatives produce little change; some makes things worse
Strategies to improve organizations • Better management • Consultants • Government policy and regulation
What is a frame? • Mental map to read and negotiate a “territory” • The better the map, the easier it is to know where you are and how to get around (a map of New York won’t help in San Francisco) • Frame as window: enables you to see some things, but not others • Frame as tool: effectiveness depends on choosing the right tool and knowing how to use it
Framing and “Blink” process • Well-learned and practiced frames facilitate “rapid cognition” – the capacity to quickly and accurately size up situations • Qualities of rapid cognition: • Nonconscious (you can do it without thinking about it) • Fast • Holistic • Results in “affective judgments”
Structural Frame • Roots: sociology, management science • Key concepts: goals, roles (division of labor), formal relationships • Central focus: alignment of structure with goals and environment
Human Resource Frame • Roots: personality and social psychology • Key concepts: needs (motives), capacities (skills), feelings • Central focus: fit between individual and organization
Political Frame • Roots: political science • Key concepts: interests, conflict, power, scarce resources • Central focus: getting and using power, managing conflict to get things done
Symbolic Frame • Roots: social and cultural anthropology • Key concepts: culture, myth, ritual, story, • Central focus: building culture, staging organizational drama
Mini-case: Disney and the Pink Slips (I) • High-tech businesses lobby strongly in favor of the H-1B visa program, intended to expedite immigration for individuals who brings skills that are scarce among American workers • In October, 2014, 250 employees of Walt Disney in Orlando, Florida were told they would be laid off. Some were assigned to train their replacements. • The replacements were brought in under the H-1B program by an outplacement firm in India. • Reference: “Pink Slips at Disney. But First, Training Foreign Replacements.” New York Times, June 4, 2015, p. A1. http://www.nytimes.com/2015/06/04/us/last-task-after-layoff-at-disney-train-foreign-replacements.html
Mini-case: Disney and the Pink Slips (II) • Questions: • 1. If you look at this case through each of the four frames, what structural, human resource, political and symbolic issues do you see? • 2. If Disney reduced costs by bringing in the new workers, did they do the right thing?
Conclusion • Narrow thinking clueless managers • Multiple frames improve understanding, promote versatility • Multiple frames enable reframing: viewing the same thing from multiple perspectives