Overview
This lecture discusses the impact of values and emotions on individual behavior in organizations, focusing on types of values and their influence on workplace decisions and culture.
Importance of Values in Organizations
- Values are ways of behaving or desired end states important to individuals or groups.
- Work values influence performance, retention, and overall organizational outcomes.
- Organizational leaders’ personal values affect business strategy and many aspects of organizational behavior.
Influence of Values on Decision-Making
- Personal values shape ethical choices, especially when rules are unclear.
- Decisions result from a mix of personal values and organizational culture.
- Strong organizational cultures help guide ambiguous choices.
- Conflicts between personal values and organizational culture can challenge ethical behavior.
Types and Dimensions of Values
- Terminal values are long-term life goals (e.g., prosperity, happiness).
- Instrumental values are preferred ways of achieving terminal values (e.g., honesty, ambition).
- Terminal values determine what we want to accomplish; instrumental values determine how we act to get there.
- Intrinsic work values relate to the work itself (e.g., finding work meaningful or challenging).
- Extrinsic work values relate to outcomes of work (e.g., salary, benefits, status).
Key Terms & Definitions
- Values — beliefs about desirable ways of behaving or end states.
- Terminal values — goals or end states an individual wants to achieve in life.
- Instrumental values — preferred behaviors or means used to achieve terminal values.
- Intrinsic work values — internal satisfaction gained from work, like learning or meaningful tasks.
- Extrinsic work values — external rewards from work, like pay or recognition.
- Organizational culture — shared values and beliefs guiding behavior in a company.
Action Items / Next Steps
- Reflect on your own terminal and instrumental values.
- Identify which intrinsic and extrinsic work values are most important to you.
- Consider how your values align with your organization's culture.