3. Contents
• Introduction
• Types of views in CSR
Classical view
Socioeconomic view
• Social responsiveness
• Social Responsibility
4. Corporate Social Responsibility (CSR)
• The concept of social responsibility has been described in different
ways. For instance, it’s been called “profit making only,” “going
beyond profit making,” “any discretionary corporate activity
intended to further social welfare,” and “improving social or
environmental conditions.”
• There are two types of views in the CSR
• Classical view
• Socioeconomic view
5. The Classical View
• Management’s only social responsibility is to maximize
profits operating the business in the best interests of the
stockholders.
• Expending the firm’s resources on doing “social good”
unjustifiably increases costs that lower profits to the
owners and raises prices to consumers.
6. The Socioeconomic View
• Management’s social responsibility goes beyond making
profits to include protecting and improving society’s
welfare.
• Corporations are not independent entities responsible only
to stockholders.
• Firms have a moral responsibility to larger society to
become involved in social, legal, and political issues.
7. Social responsiveness
Social responsiveness is when a company engages in social
actions in response to some popular social need. Managers
are guided by social norms and values and make practical,
market-oriented decisions about their actions.
8. Social Responsibility
• social responsibility as a business’s intention, beyond its legal and
economic obligations, to do the right things and act in ways that are
good for society.
• Our definition assumes that a business obeys the law and cares for its
stockholders, but adds an ethical imperative to do those things that
make society better and not to do those that make it worse.
• A socially responsible organization does what is right because it feels
it has an ethical responsibility to do so.
10. Contents
• What Is Leadership ?
• Leadership Theories
• Leadership Trait Theories.
• Leadership Behavioral Theories.
• Contingency Theories.
• Contemporary Views of Leadership
• Leadership Issues
11. What Is Leadership?
• Leader - is someone who can influence others and who
has managerial authority.
• Leadership is what leaders do. It’s a process of leading a
group and influencing that group to achieve its goals.
12. Leadership Theories
• Leadership Trait Theories.
• Leadership Behavioral Theories.
University Of Iowa Studies.
Ohio State Studies.
University of Michigan Studies
The Managerial Grid.
• Contingency Theories.
Fiedler’s Model
Hersey and Blanchard’s Situational Leadership Theory
Path-Goal Theory
13. Trait Theories
• Traits Theories of
Leadership - Theories that
consider personality,
social, physical, or
intellectual traits to
differentiate leaders from
non-leaders.
Leadership Traits:
• Ambition and energy
• The desire to lead
• Honest and integrity
• Self-confidence
• Intelligence
• High self-monitoring
• Job-relevant knowledge
14. Behavioral Theories
• Behavioral Theories of
Leadership - Theories
proposing that specific
behaviors differentiate leaders
from non-leaders.
• Trait theory: Leaders are born,
not made.
• Behavioral theory: Leadership
traits can be taught.
15. University Of Iowa Studies.
• The University of Iowa studies explored three leadership styles to find which
was the most effective.
• The autocratic style described a leader who dictated work methods, made
unilateral decisions, and limited employee participation.
• The democratic style described a leader who involved employees in decision
making, delegated authority, and used feedback as an opportunity for
coaching employees.
• Finally, the laissez-faire style leader let the group make decisions and
complete the work in whatever way it saw fit. The researchers’ results seemed
to indicate that the democratic style contributed to both good quantity and
quality of work.
16. Ohio State Studies
• Initiating Structure - The extent to which a leader is
likely to define and structure his or her role and those of
sub-ordinates in the search for goal attainment.
• Consideration - The extent to which a leader is likely to
have job relationships characterized by mutual trust,
respect for subordinate’s ideas, and regard for their
feelings.
17. University of Michigan Studies
• Employee-Oriented Leader - Emphasizing interpersonal
relations; taking a personal interest in the needs of
employees and accepting individual differences among
members.
• Production-Oriented Leader - One who emphasizes
technical or task aspects of the job.
18. The Managerial Grid
• This managerial grid used the behavioral dimensions “concern for
people” (the vertical part of the grid) and “concern for production” (the
horizontal part of the grid) and evaluated a leader’s use of these behaviors,
ranking them on a scale from low to high. Although the grid had 81
potential categories into which a leader’s behavioral style might fall, only
five styles were named:
Impoverished management.
Task management.
Middle-of-the-road management.
Country club management.
Team management.
19. Contingency Theories
• Fiedler’s Contingency Model - The theory that effective groups
depend on a proper match between a leader’s style of interacting
with subordinates and the degree to which the situation gives
control and influence to the leader.
• Least Preferred Co-Worker (LPC) Questionnaire - An
instrument that purports to measure whether a person is task- or
relationship-oriented.
20. Fiedler’s Model: Defining the Situation
• Fiedler’s research uncovered three contingency dimensions that defined
the key situational factors in leader effectiveness.
• Leader–member relations: the degree of confidence, trust, and respect
employees had for their leader; rated as either good or poor.
• Task structure: the degree to which job assignments were formalized
and structured; rated as either high or low.
• Position power: the degree of influence a leader had over activities such
as hiring, firing, discipline, promotions, and salary increases; rated as
either strong or weak.
21. Hersey and Blanchard’s Situational
Leadership Theory
Paul Hersey and Ken Blanchard developed a leadership
theory that has gained a strong following among
management development specialists. This model, called
situational leadership theory (SLT), is a contingency
theory that focuses on followers’ readiness.
22. Path-Goal Theory
• Path-Goal Theory - The theory that it is the leader’s job to assist followers in
attaining their goals and to provide them the necessary direction and/or
support to ensure that their goals are compatible with the overall objectives of
the group or organization.
• It identified four leadership behaviors:
• Directive leader: Lets subordinates know what’s expected of them, schedules
work to be done, and gives specific guidance on how to accomplish tasks.
• Supportive leader: Shows concern for the needs of followers and is friendly.
• Participative leader: Consults with group members and uses their suggestions
before making a decision.
• Achievement oriented leader: Sets challenging goals and expects followers to
perform at their highest level.
23. Contemporary Views of Leadership
• There are four types of views in leadership
Leader–member exchange theory.
Transformational-transactional leadership.
Charismatic visionary leadership.
Team leadership.
24. Leader - Member Exchange Theory
• Leader-Member Exchange (LMX) - Leaders create in-
groups and out-groups, and subordinates with in-group
status will have higher performance ratings, less turnover,
and greater job satisfaction.
25. Transformational-Transactional Leadership
• Many early leadership theories viewed leaders as transactional leaders. that is
leaders that lead primarily by using social exchanges. Transactional leaders guide or
motivate followers to work toward established goals by exchanging rewards for
their productivity.
• Another type of leader is a transformational leader who are stimulates and
inspires followers to achieve extraordinary outcomes.
• Transactional and transformational leadership shouldn’t be viewed as opposing
approaches to getting things done.
• Transformational leadership develops from transactional leadership.
• Transformational leadership produces levels of employee effort and performance
that go beyond what would occur with a transactional approach alone.
26. Charismatic-Visionary Leadership
• Charismatic leader - that is, an enthusiastic, self-confident
leader whose personality and actions influence people to
behave in certain ways.
• Although the term vision is often linked with charismatic
leadership, visionary leadership is different. it’s the ability
to create and articulate a realistic, credible, and attractive
vision of the future that improves upon the present situation.
27. Team Leadership
• More organizations are using work teams, the role of the leader in guiding team
members has become increasingly important.
• The role of team leader is different from the traditional leadership role. Because
the challenge for many managers is learning how to become an effective team
leader.
• They have to learn skills such as patiently sharing information, being able to trust
others and to give up authority, and understanding when to intervene.
• And effective team leaders have mastered the difficult balancing act of knowing
when to leave their teams alone and when to get involved.
• New team leaders may try to retain too much control at a time when team
members need more autonomy, or they may abandon their teams at times when
the teams need support and help
29. Leadership Issues
• There are some kind of Leadership Issues
Managing Power
Developing Trust
Empowering Employees
Leading Across Cultures
30. Leadership Issues
• Managing Power - Five sources of leader power have been identified;
Legitimate power - and authority are the same. Legitimate power represents the power a
leader has as a result of his or her position in the organization. Although people in
positions of authority are also likely to have reward and coercive power, legitimate power
is broader than the power to coerce and reward.
Coercive power - is the power a leader has to punish or control. Followers react to this
power out of fear of the negative results that might occur if they don’t comply. Managers
typically have some coercive power, such as being able to suspend or demote employees
or to assign them work they find unpleasant or undesirable.
Reward power is the power to give positive rewards. A reward can be anything that a
person values such as money, favorable performance appraisals, promotions, interesting
work assignments, friendly colleagues, and preferred work shifts or sales territories.
31. Managing Powers cntd…
• Expert power is power that’s based on expertise, special skills, or
knowledge. If an employee has skills, knowledge, or expertise that’s
critical to a work group, that person’s expert power is enhanced.
• referent power is the power that arises because of a person’s desirable
resources or personal traits. If I admire you and want to be associated with
you, you can exercise power over me because I want to please you.
Referent power develops out of admiration of another and a desire to be
like that person.
32. Leadership Issues
• Developing Trust - In today’s uncertain environment, an important
consideration for leaders is building trust and credibility, both of
which can be extremely fragile.
The main component of credibility is honesty.
Trust is closely entwined with the concept of credibility, and, in fact,
the terms are often used interchangeably. Trust is defined as the belief
in the integrity, character, and ability of a leader.
33. Developing Trust cntd..
• Research has identified five dimensions that make up the concept of trust
Integrity: honesty and truthfulness
Competence: technical and interpersonal knowledge and skills
Consistency: reliability, predictability, and good judgment in handling
situations
Loyalty: willingness to protect a person, physically and emotionally
Openness: willingness to share ideas and information freely
34. Leading Across Cultures
• One general conclusion that surfaces from leadership
research is that effective leaders do not use a single style.
They adjust their style to the situation. Although not
mentioned explicitly, national culture is certainly an
important situational variable in determining which
leadership style will be most effective.
37. Contents
• What Is Motivation?
• Theories of Motivation
Early theories of Motivation
Contemporary Theories of Motivation
• Issues in Motivation
38. What Is Motivation?
• Motivation refers to the process by which a person’s efforts are
energized, directed and sustained toward attaining a goal.
• This definition has three key elements: energy, direction, and persistence.
• The energy is a measure of intensity, drive, and vigor.
• The direction is the Effort that’s directed toward, and consistent with,
organizational goals.
• In the persistence we want employees to persist in putting effort to
achieve those goals.
39. Theories of Motivation
• Early theories of Motivation
Maslow’s Hierarchy of Needs Theory
McGregor’s Theory X and Theory Y
Herzberg’s Two-Factor Theory
Three-Needs Theory
• Contemporary Theories of Motivation
Goal-Setting Theory
Reinforcement Theory
Job design theory (Designing Motivating Jobs)
Equity theory
Expectancy theory
40. Maslow’s Hierarchy of Needs Theory
The best-known theory of motivation is probably Abraham Maslow’s hierarchy of
needs theory.
Maslow was a psychologist who proposed that within every person is a hierarchy of
five needs:-
1. Physiological needs: A person’s needs for food, drink, shelter, sex, and other physical
requirements.
2. Safety needs: A person’s needs for security and protection from physical and emotional
harm, as well as assurance that physical needs will continue to be met.
3. Social needs: A person’s needs for affection, belongingness, acceptance, and friendship.
4. Esteem needs: A person’s needs for internal esteem factors such as self-respect,
autonomy, and achievement and external esteem factors such as status, recognition, and
attention.
5. Self-actualization needs: A person’s needs for growth, achieving one’s potential, and
self-fulfillment; the drive to become what one is capable of becoming.
41. Maslow’s Hierarchy of Needs Theory
Lower-Order Needs
Needs that are satisfied
externally; physiological
and safety needs
Higher-Order Needs
Needs that are satisfied
internally; social, esteem,
and self-actualization
needs
42. McGregor’s Theory X and Theory Y
• Douglas McGregor is best known for proposing two assumptions about
human nature:- Theory X and Theory Y.
• Theory X - is a negative view of people that assumes workers have little
ambition, dislike work, want to avoid responsibility, and need to be closely
controlled to work effectively.
• Theory Y - is a positive view that assumes employees enjoy work, seek out
and accept responsibility, and exercise self-direction.
43. Herzberg’s Two-Factor Theory
• Frederick Herzberg’s two-factor theory (also called motivation-hygiene
theory) proposes that,
• Intrinsic factors are related to job satisfaction. While,
• Extrinsic factors are associated with job dissatisfaction.
44. Herzberg’s Two-Factor Theory
• Motivators -
Intrinsic and
Related to
Satisfaction
• Hygiene Factors -
Extrinsic and
Related to
Dissatisfaction
45. Three-Needs Theory
• David McClelland and his associates proposed the three-needs theory,
which says there are three acquired (not innate) needs that are major
motives in work.
• These three needs include the
need for achievement (nAch) - which is the drive to succeed and excel in
relation to a set of standards.
need for power (nPow) - which is the need to make others behave in a way
that they would not have behaved otherwise.
need for affiliation (nAff) - which is the desire for friendly and close
interpersonal relationships.
46. Goal-Setting Theory
• Goal-setting theory, which says that specific goals increase performance
and that difficult goals, when accepted, result in higher performance than
do easy goals.
• It’s not a contradiction that goal-setting theory says that motivation is
maximized by difficult goals, whereas achievement motivation (from
three-needs theory) is stimulated by moderately challenging goals.
47. Reinforcement Theory
• Reinforcement theory says that behavior is a function of its
consequences. Those consequences that immediately follow a behavior
and increase the probability that the behavior will be repeated are called
rein forcers.
• Reinforcement theory ignores factors such as goals, expectations, and
needs. Instead, it focuses solely on what happens to a person when he or
she does something.
• Using reinforcement theory, managers can influence employees’ behavior
by using positive rein forcers for actions that help the organization
achieve its goals. And managers should ignore, not punish, undesirable
behavior.
48. Designing Motivating Jobs
• We use the term job design to refer to the way tasks are combined to
form complete jobs.
• The jobs that people perform in an organization should not evolve by
chance.
• Managers should design jobs deliberately and thoughtfully to reflect the
demands of the changing environment, the organization’s technology,
and employees’ skills, abilities, and preferences.
• When jobs are designed like that, employees are motivated to work
hard.
49. Designing Motivating Jobs
• Ways that managers can design motivating jobs.
• Job Enlargement :- horizontally expanding a job through increasing job
scope.
• Job scope - the number of different tasks required in a job and the
frequency with which these tasks are repeated.
• Job Enrichment :- the vertical expansion of a job by adding planning and
evaluating responsibilities.
• Job enrichment increases job depth - which is the degree of control
employees have over their work.
50. Designing Motivating Jobs
• Job Characteristics Model (JCM) :- It identifies five core job dimensions, their
interrelationships, and their impact on employee productivity, motivation, and
satisfaction. These five core job dimensions are :-
• Skill variety :- the degree to which a job requires a variety of activities so that an employee
can use a number of different skills and talents.
• Task identity :- the degree to which a job requires completion of a whole and identifiable
piece of work.
• Task significance, the degree to which a job has a substantial impact on the lives or work of
other people.
• Autonomy, the degree to which a job provides substantial freedom, independence, and
discretion to the individual in scheduling the work and determining the procedures to be used
in carrying it out.
• Feedback, the degree to which doing work activities required by a job results in an individual
obtaining direct and clear information about the effectiveness of his or her performance.
51. Designing Motivating Jobs
• Redesigning Job Design Approaches :- Although the JCM has proven to
be useful, it may not be totally appropriate for today’s jobs that are more
service and knowledge oriented. The nature of these jobs has also changed
the tasks that employees do in those jobs.
• Two emerging viewpoints on job design are causing a rethink of the JCM and
other standard approaches.
• Relational perspective of work design :- focuses on how people’s tasks
and jobs are increasingly based on social relationships.
• Proactive perspective of work design :- says that employees are taking
the initiative to change how their work is performed.
52. Equity Theory
• Developed by J. Stacey Adams, proposes that employees compare what they get
from a job (outcomes) in relation to what they put into it (inputs).
• And then they compare their inputs - outcomes ratio with the inputs - outcomes
ratios of relevant others.
• If an employee perceives their ratio to be equitable in comparison to those of
relevant others, there’s no problem.
• However, if the ratio is inequitable, they views themselves as under rewarded or
over rewarded.
• When inequities occur, employees attempt to do something about it. The result
might be lower or higher productivity, improved or reduced quality of output,
increased absenteeism, or voluntary resignation.
54. Equity Theory
• Equity theory focused on,
Distributive Justice :- which is the perceived fairness of the amount and
allocation of rewards among individuals.
Procedural Justice :- which is the perceived fairness of the process used to
determine the distribution of rewards.
• It shows that distributive justice has a greater influence on employee
satisfaction than procedural justice, while procedural justice tends to
affect an employee’s organizational commitment, trust in his or her boss,
and intention to quit.
55. Expectancy Theory
• The most comprehensive explanation of how employees are motivated is
Victor Vroom’s expectancy theory.
• Expectancy theory states that an individual tends to act in a certain way
based on the expectation that the act will be followed by a given outcome
and on the attractiveness of that outcome to the individual.
• Expectancy model :
56. Expectancy Theory
• It includes three variables or relationships;
Expectancy or effort performance linkage - is the probability perceived by
the individual that exerting a given amount of effort will lead to a certain
level of performance.
Instrumentality or performance reward linkage - is the degree to which the
individual believes that performing at a particular level is instrumental in
attaining the desired outcome.
Valence or attractiveness of reward - is the importance that the individual
places on the potential outcome or reward that can be achieved on the job.
Valence considers both the goals and needs of the individual.
57. Issues in Motivation
• Motivating in Tough Economic Circumstances
• Managing Cross-Cultural Motivational Challenges
• Motivating Unique Groups of Workers
Motivating A Diverse Workforce.
Motivating Professionals.
Motivating Contingent Workers.
Motivating Low-skilled, Minimum-wage Employees.
• Designing Appropriate Rewards Programs
Open-book Management.
Employee Recognition Programs.
Pay-for-performance.
