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Chapter Three The Manager’s Changing Work Environment & Responsibilities
StakeholdersStakeholders: the people whose interests are affected by an organization’s activities. Internal Stakeholders: consist of employees, owners, and the board of directors, if any.
External Stakeholders: people or groups in the organization’s external environment that are affected by it.The environment consists of:
•The task environment•The general environment
The Ethical Responsibilities Required of You as a Manager•Ethical Dilemma: a situation in which you have to decide whether to pursue a course of action that may benefit you or your organization but that is unethical or even illegal.•Ethics: are the standards of right and wrong that influence behavior.•Ethical Behavior: is behavior that is accepted as “right” as opposed to “wrong” according to those standards.
Four Approaches to Deciding an Ethical Dilemma•The utilitarian approach: is guided by what will result in the greatest good for the greatest number of people.•The individual approach: is guided by what will result in the individual’s best long-term interests which ultimately are in everyone’s best interest.•The moral-rights approach: is guided by respect for the fundamental rights of human beings.•The justice approach: is guided by respect for impartial standards of fairness and equity.
McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.
The Organization’s EnvironmentThe General Environment
Economic Forces
International Forces
Technological Forces
Political-legal Forces
Socio-cultural Forces
Demographic Forces
Internal Stakeholders
Employees
Owners
Board of Directors
The Task Environment
Customers
Media
Interest Groups
Governments
Lenders
Unions
Allies
Distributors
Suppliers
Competitors
External Stakeholders
McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.
How Organizations Can Promote Ethics
1) Support by top managers of a strong ethical climate.
2) Ethics codes & training programs.
3) Rewarding ethical behavior: protecting whistleblowers.
Social Responsibility
Social responsibility: is a manager’s duty to take actions that will benefit the interests of
society as well as the organization.
Philanthropy: donating money to worthwhile recipients.
Four Approaches to Social Responsibility1) Obstructionist Approach 2) Defensive Approach 3) Accommodative Approach4) Proactive Approach
Thinking about Diversity
Diversity: represents all the ways people are unlike or alike—the differences and similarities in age, gender, race, religion, ethnicity, sexual orientation, capabilities, and socioeconomic background.
McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.
The Diversity Wheel
Personality
Functional Level/ Classification
Geographic Location
Age
WorkLocation Seniority
Division/Dept./Unit/
Group
WorkContent/
Field
UnionAffiliation
Mgmt.Status
MaritalStatus
ParentalStatus
Appearance
EducationalBackground
WorkExperience
Race
Income
PersonalHabits
Religion
RecreationalHabits
Ethnicity
PhysicalAbility
SexualOrientation
Source: L Gardenswartz and A Rowe, Diverse Teams at Work: Capitalizing on the Power of Diversity (New York: McGraw-Hill, 1994), p. 33
McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.
Internal Dimensions of Diversity Internal Dimensions: those human differences that exert a powerful, sustained effect throughout
every stage of our lives. (Gender- ethnicity – race physical abilities – Age – sexual orientation)
External Dimensions of Diversity External Dimensions: includes an element of choice: they consist of personal characteristics that
people acquire, discard, or modify throughout their lives.(personal habits – educational background- religion-income-marital status-geographic location- work experience-recreational habits-appeareance)
Organizational Dimensions of diversity Organizational Dimensions include management status, union affiliation, work location, seniority,
work content, and division of department.
Trends in Workforce Diversity
Age: More Older People in the Workforce
Gender: More Women Working
Race & Ethnicity: More people of color in the workforce
Sexual Orientation: Gays & lesbians become more visible
People with Differing physical & Mental abilities
Educational Levels: Mismatches between education & workforce needs
McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.
Barriers to Workforce Diversity
1) Stereotypes & Prejudices
2) Fear of Reverse Discrimination
3) Resistance to Diversity Program
Priorities
1) Unsupportive social atmosphere
2) Lack of support for family demands
3) Lack of support for career-building steps
Entrepreneurship Entrepreneur: is someone who sees a new opportunity for a product or service and launches a
business to try to realize it. Intrapreneur: is someone who works inside an existing organization who sees an opportunity for
a product or service and mobilizes the organization’s sources to try to realize it.