D. McGregor’s Theory X and Theory y:

Theory X: negative assumptions about workers that lead to the conclusion that a manager’s task is to supervise them closely and control their behavior.

Theory Y: positive assumptions about workers that lead to the conclusion that a manager’s task is to create a work setting that encourages commitment to organizational goals and provides opportunities for workers to be imaginative and to exercise initiative and self-direction.

Theory X	Theory Y
The average employee is lazy, dislikes work, and will try to do as little as possible	Employees are not inherently lazy. Given the chance, employees will do what is good for the organization
To ensure that employees work hard, managers should closely supervise employees	To allow employees to work in the organization’s interest, managers must create a work setting that provides opportunities for workers to exercise initiative and self-direction
Managers should create strict work rules and implement a well-defined system of rewards and punishments to control employees	Managers should decentralize authority to employees and make sure employees have the resources necessary to achieve organizational goals

The Ohio State University Model:

Researches identify two basic kinds of leader behavior:

• Consideration is the behavior indicating that a manager trusts, respects, and cares about subordinates;

• Initiating structure is the behavior that managers engage in to ensure that work gets done, subordinates perform their jobs acceptably, and the organization is efficient and effective.

The University of Michigan Model:

Researches identify two basic kinds of leader behavior:

• Employee-centered

• Job- oriented

R. Blake and J. Mouton’s Managerial Grid:

Researches identify two basic kinds of leader behavior:

• Concern for people

• Concern for production

3.

Contingency models propose that the effectiveness of a leader depends on the situation in which the leader finds him or her.

F. Fiedler’s contingency model:

Fiedler identified three situational characteristics:

• leader-member relations – the extent to which followers like, trust, and are loyal to their leader; a determinant of how favorable a situation is for leading;

• task structure - the extent to which the work to be performed is clear-cut so that a leader’s subordinates know what needs to be accomplished and how to go about doing it; a determinant of how favorable a situation is for leading;

• Position power – the amount of legitimate, reward, and coercive power that a leader has by virtue of his or her position in an organization; a determinant of how favorable a situation is for leading.

House’s Path-Goal theory is a contingency model of leadership proposing that leaders can motivate subordinates by identifying their desired outcomes, rewarding them for high performance and the attainment of work goals with their desired outcomes, and clarifying for them the paths leading to the attainment of work goals.

Topic 12. Organizational Conflict and Negotiation

Organizational conflict is the discord that arises when the goals, interests, or values of different individuals or groups are incompatible and those individuals or groups block or thwart each other’s attempts to achieve their objectives.

Types of conflict:

• Interpersonal conflict is a conflict between individual members of an organization, occurring because of differences in their goals or values;

• Intragroup conflict is a conflict that arises within a group, team or department;

• Intergroup conflict is a conflict between groups and teams;

• Interorganizational conflict is a conflict that arises across organizations.

Sources of conflict:

• Incompatible goals and time horizons;

• Overlapping authority;

• Task interdependencies;

• Incompatible evaluation or reward system;

• Status inconsistencies.

Conflict management strategies:

Strategies focused on individuals:

• Increasing awareness of the sources of conflict;

• Increasing diversity awareness and skills;

• Practicing job rotation or temporary assignment;

• Using permanent transfers or dismissal when necessary.

Strategies focused on the whole organization:

• Changing an organization’s structure and culture;

• Altering the source of conflict.

Negotiation is a method of conflict resolution in which the 2 parties in conflict consider various alternative ways to allocate recourses to each other in order to come up with a solution acceptable to them both.

Distributive negotiation is adversarial negotiation in which the parties in conflict compete to win the most resources while conceding as little as possible.