Chapter 5 Personality and Values Page 148

CHAPTER 5
Personality
and Values (ppt 5-1)
(Click on the title when connected to the Internet for Teaching Notes)

LEARNING OBJECTIVES (PPT 5-2)

After studying this chapter, students should be able to:

1. Define personality, describe how it is measured, and explain the factors that determine an
individual’s personality.
2. Describe the Myers-Briggs Type Indicator personality framework and assess its strengths
and weaknesses.
3. Identify the key traits in the Big Five personality model.
4. Demonstrate how the Big Five traits predict behavior at work
5. Identify other personality traits relevant to OB.
6. Define values, demonstrate the importance of values, and contrast terminal and
instrumental values.
7. Compare generational differences in values and identify the dominant values in today’s
workforce.
8. Identify Hofstede’s five value dimensions of national culture

INSTRUCTOR RESOURCES

Instructors may wish to use the following resources when presenting this chapter:

Text Exercises
 Myth or Science?: “Personality Predicts the Performance of Entrepreneurs” (p. 176, IM
p. 166)
 GlOBalization: The Right Personality for a Global Workplace (p. 177, IM p. 167)
 An Ethical Choice: Should You Try to Change Someone’s Personality? (p. 181, IM p.
168)
 Point/Counterpoint: Millennials Are More Narcissistic (p. 189, IM p. 169)
 Question for Review (p. 190, IM p. 171)
 Experiential Exercise: What Organizational Culture Do You Prefer? (p. 190, IM p. 174)
 Ethical Dilemma: Personal Values and Ethics in the Workplace (p. 190, IM p. 176)
Chapter 5 Personality and Values Page 149

Text Cases
 Case Incident 1 Is There a Price for Being Too Nice? (p. 191, IM p. 176)
 Case Incident 2 Personal Space (p.192, IM p. 178)

Instructor’s Choice
 Individual Differences in Teams (IM p. 179)
This section presents an exercise that is NOT found in the student's textbook. Instructor's
Choice reinforces the text's emphasis through various activities. Some Instructor's Choice
activities are centered around debates, group exercises, Internet research, and student
experiences. Some can be used in-class in their entirety, while others require some
additional work on the student's part. The course instructor may choose to use these at
anytime throughout the class—some may be more effective as icebreakers, while some
may be used to pull together various concepts covered in the chapter.

WEB
EXERCISES
(IM p. 179)

At the end of each chapter of this instructor’s manual, you will find suggested
exercises and ideas for researching the WWW on OB topics. The exercises
“Exploring OB Topics on the Web” are set up so that you can simply
photocopy the pages, distribute them to your class, and make assignments
accordingly. You may want to assign the exercises as an out-of-class activity
or as lab activities with your class.

SUMMARY AND IMPLICATIONS FOR MANAGERS

Personality. What value, if any, does the Big Five model provide to managers? From the early
1900s through the mid-1980s, researchers sought a link between personality and job
performance. “The outcome of those 80-plus years of research was that personality and job
performance were not meaningfully related across traits or situations.” However, the past 20
years have been more promising, largely due to the findings about the Big Five.

 Screening job candidates for high conscientiousness—as well as the other Big Five traits,
depending on the criteria an organization finds most important—should pay dividends.
Of course, managers still need to take situational factors into consideration.
 Factors such as job demands, the degree of required interaction with others, and the
organization’s culture are examples of situational variables that moderate the personality–
job performance relationship.
 You need to evaluate the job, the work group, and the organization to determine the
optimal personality fit.
 Other traits, such as core self-evaluation or narcissism, may be relevant in certain
situations, too.
Chapter 5 Personality and Values Page 150

 Although the MBTI has been widely criticized, it may have a place in organizations. In
training and development, it can help employees better understand themselves, help team
members better understand each other, and open up communication in work groups and
possibly reduce conflicts.

Values. Why is it important to know an individual’s values? Values often underlie and explain
attitudes, behaviors, and perceptions. So knowledge of an individual’s value system can provide
insight into what makes the person “tick”.
 Employees’ performance and satisfaction are likely to be higher if their values fit well
with the organization. The person who places great importance on imagination,
independence, and freedom is likely to be poorly matched with an organization that seeks
conformity from its employees.
 Managers are more likely to appreciate, evaluate positively, and allocate rewards to
employees who fit in, and employees are more likely to be satisfied if they perceive they
do fit in. This argues for management to seek job candidates who have not only the
ability, experience, and motivation to perform but also a value system compatible with
the organization’s.

This chapter opens with a discussion about the changing work place in Japan. Once the most envied
economy in the world, it has now suffered two decades of retrenchment. The result is changing sets of
values of Japanese workers. One of the success elements from several decades back was the value bond
between workers and companies. This bond defined that workers and companies were as inseparable as
family members. But the stagnation of the economy led to the need for young workers to modify these
values to better serve economic needs ranging from job changing to second jobs.

BRIEF CHAPTER OUTLINE

I. Personality
A. What Is Personality?
1. Personality is a dynamic concept describing the growth and development of a
person’s whole psychological system; it looks at some aggregate whole that is greater
than the sum of the parts.
2. Defining Personality
a. The text defines personality as the sum total of ways in which an individual reacts
to and interacts with others.
3. Measuring Personality
a. The most important reason managers need to know how to measure personality is
that research has shown personality tests are useful in hiring decisions and help
managers forecast who is best for a job.
b. The most common means of measuring personality is through self-report surveys,
with which individuals evaluate themselves on a series of factors.
c. Observer-ratings surveys provide an independent assessment of personality.
4. Personality Determinants
a. Introduction
Chapter 5 Personality and Values Page 151

i. An early argument centered on whether or not personality was the result of

heredity or of environment.
ii. Personality appears to be a result of both influences.
5. Heredity
a. Heredity refers to those factors that were determined at conception.
b. The heredity approach argues that the ultimate explanation of an individual’s
personality is the molecular structure of the genes, located in the chromosomes.
c. Researchers have studied thousands of sets of identical twins that were separated
at birth.
6. Personality Traits
a. Introduction
i. Popular characteristics include shy, aggressive, submissive, lazy, ambitious,
loyal, and timid. These are personality traits.
ii. Early efforts to identify the primary traits that govern behavior often resulted
in long lists that were difficult to generalize from and provided little practical
guidance to organizational decision makers.
B. The Myers-Briggs Type Indicator
1. One of the most widely used personality frameworks is the Myers-Briggs Type
Indicator (MBTI).
2. Individuals are classified as:
a. Extroverted or introverted (E or I).
b. Sensing or intuitive (S or N).
c. Thinking or feeling (T or F).
d. Perceiving or judging (P or J).
3. These classifications are then combined into sixteen personality types. For example:
a. INTJs are visionaries. They usually have original minds and great drive for their
own ideas and purposes. They are characterized as skeptical, critical, independent,
determined, and often stubborn.
b. ESTJs are organizers. They are realistic, logical, analytical, decisive, and have a
natural head for business or mechanics.
c. The ENTP type is a conceptualizer. He or she is innovative, individualistic,
versatile, and attracted to entrepreneurial ideas. This person tends to be
resourceful in solving challenging problems but may neglect routine assignments.
d. MBTI is widely used in practice. Some organizations using it include Apple
Computer, AT&T, Citigroup, GE, 3M Co. and others.
C. The Big Five Personality Model
1. An impressive body of research supports that five basic dimensions underlie all other
personality dimensions. The five basic dimensions are:
a. Extraversion. Comfort level with relationships. Extroverts tend to be gregarious,
assertive, and sociable. Introverts tend to be reserved, timid, and quiet.
b. Agreeableness. Individual’s propensity to defer to others. High agreeableness
people—cooperative, warm, and trusting. Low agreeableness people—cold,
disagreeable, and antagonistic.
c. Conscientiousness. A measure of reliability. A high conscientious person is
responsible, organized, dependable, and persistent. Those who score low on this
dimension are easily distracted, disorganized, and unreliable.
Chapter 5 Personality and Values Page 152

d. Emotional stability. A person’s ability to withstand stress. People with positive

emotional stability tend to be calm, self-confident, and secure. Those with high
negative scores tend to be nervous, anxious, depressed, and insecure.
e. Openness to experience. The range of interests and fascination with novelty.
Extremely open people are creative, curious, and artistically sensitive. Those at
the other end of the openness category are conventional and find comfort in the
familiar.
2. How Do the Big Five Traits Predict Behavior at Work?
a. Research has shown relationships between these personality dimensions and job
performance.
b. Employees who score higher for example in conscientiousness develop higher
levels of job knowledge.
c. Conscientiousness is as important for managers as for front-line employees see
Exhibit 5-1.
i. The study found conscientiousness—in the form of persistence, attention to
detail, and setting of high standards—was more important than other traits.
ii. These results attest to the importance of conscientiousness to organizational
success.
d. Although conscientiousness is the Big Five trait most consistently related to job
performance, there are other traits that are related to aspects of performance in
some situations.
3. All five traits also have other implications for work and for life. Let’s look at these
one at a time. Exhibit 5-2 summarizes the discussion.
a. Of the Big Five traits, emotional stability is most strongly related to life
satisfaction, job satisfaction, and low stress levels.
b. Extraverts tend to be happier in their jobs and in their lives as a whole.
c. Individuals who score high on openness to experience are more creative in
science and art than those who score low.
d. Agreeable individuals are better liked than disagreeable people, which explains
why they tend to do better in interpersonally oriented jobs such as customer
service.
4. The five personality factors identified in the Big Five model appear in almost all
cross-cultural studies.
a. These studies have included a wide variety of diverse cultures—such as China,
Israel, Germany, Japan, Spain, Nigeria, Norway, Pakistan, and the United States.
b. Differences are complex but tend to be primarily about whether countries are
predominantly individualistic or collectivistic.
c. And the Big Five appear to predict a bit better in individualistic than in
collectivist cultures.
D. Other Personality Traits Relevant to OB
1. Core Self-Evaluation (Self-perspective)
a. People who have a positive core self-evaluation see themselves as effective,
capable, and in control.
b. People who have a negative core self-evaluation tend to dislike themselves.
c. Some can be too positive. In this case, someone can think he or she is capable, but
he or she is actually incompetent?
Chapter 5 Personality and Values Page 153

2. Machiavellianism
a. An individual high in Machiavellianism is pragmatic, maintains emotional
distance, and believes that ends can justify means.
b. High Machs manipulate more, win more, are persuaded less, and persuade others
more.
c. High Mach outcomes are moderated by situational factors and flourish when they
interact face-to-face with others, rather than indirectly, and when the situation has
a minimum number of rules and regulations, thus allowing latitude for
improvisation.
d. High Machs make good employees in jobs that require bargaining skills or that
offer substantial rewards for winning.
3. Narcissism
a. Describes a person who has a grandiose sense of self-importance.
b. They “think” they are better leaders.
c. Often they are selfish and exploitive.
4. Self-Monitoring
a. This refers to an individual’s ability to adjust his or her behavior to external,
situational factors.
b. Individuals high in self-monitoring show considerable adaptability. They are
highly sensitive to external cues, can behave differently in different situations, and
are capable of presenting striking contradictions between their public persona and
their private self.
5. Risk Taking
a. The propensity to assume or avoid risk has been shown to have an impact on how
long it takes managers to make a decision and how much information they require
before making their choice.
b. High risk-taking managers make more rapid decisions and use less information in
making their choices.
c. Managers in large organizations tend to be risk averse; especially in contrast with
growth-oriented entrepreneurs.
6. Proactive Personality
a. Actively taking the initiative to improve their current circumstances while others
sit by passively
b. Proactives identify opportunities, show initiative, take action, and persevere.
7. Other-orientation
a. Some people just naturally just seem to think about other people a lot, being
concerned about their well-being and feelings while others behave like “economic
actors,” primarily rational and self-interested.
b. Those who are other-oriented feel more obligated to help others who have helped
them (pay me back), whereas those who are more self-oriented will help others
when they expect to be helped in the future (pay me forward).
c. Employees high in other-orientation also exert especially high levels of effort
when engaged in helping work or prosocial behavior.
II. Values
A. Introduction
1. Values represent basic convictions.
Chapter 5 Personality and Values Page 154

2.A specific mode of conduct or end-state of existence is personally or socially

preferable to an opposite or converse mode of conduct or end-state of existence.
3. They have both content and intensity attributes.
4. An individual’s set of values ranked in terms of intensity is considered the person’s
value system.
5. Values have the tendency to be stable.
B. Importance of Values
1. Values lay the foundation for the understanding of attitudes and motivation.
2. Values generally influence attitudes and behaviors.
3. We can predict reaction based on understanding values.
C. Terminal versus Instrumental Values
1. Rokeach Value Survey (Exhibit 5-3)
2. This instrument contains two sets of values; each set has 18 value items.
a. Terminal Values—refer to desirable end states of existence.
b. Instrumental Values—refer to preferable modes of behavior.
c. Several studies confirm that the RVS values vary among groups. (Exhibit 5-4)
D. Generational Values
1. Contemporary Work Cohorts (Exhibit 5-5)
a. Some limitations of this analysis.
i. First, we make no assumption that the framework applies across all cultures.
ii. Second, despite a steady stream of press coverage, there is very little rigorous
research on generational values, so we have to rely on an intuitive framework.
iii. Finally, these are imprecise categories.
Despite these limitations, values do change over generations, and we can gain
some useful insights from analyzing values this way.
2. Different generations hold different work values.
a. Boomers (Baby Boomers)—entered the workforce during the 1960s through the
mid-1980s.
b. Xers—entered the workforce beginning in the mid-1980s.
c. The most recent entrants to the workforce, the Millennials (also called Netters,
Nexters, Generation Yers, and Generation Nexters)
3. Though it is fascinating to think about generational values, remember these
classifications lack solid research support.
4. Generational classifications may help us understand our own and other generations
better, but we must also appreciate their limits.

III. Linking an Individual’s Personality and Values to the Workplace

A. The Person-Job Fit:
1. This concern is best articulated in John Holland’s personality-job fit theory.
2. Holland presents six personality types and proposes that satisfaction and the
propensity to leave a job depends on the degree to which individuals successfully
match their personalities to an occupational environment.
3. The six personality types are: realistic, investigative, social, conventional, enterprising,
and artistic (Exhibit 5-6)
Chapter 5 Personality and Values Page 155

a. Vocational Preference Inventory questionnaire contains 160 occupational titles.

Respondents indicate which of these occupations they like or dislike; their
answers are used to form personality profiles. (Exhibit 5-7)
b. The key points of this model are that:
i. There do appear to be intrinsic differences in personality among individuals,
ii. There are different types of jobs, and
iii. People in jobs congruent with their personality should be more satisfied and
less likely to voluntarily resign than people in incongruent jobs.
B. The Person-Organization Fit
1. Most important for an organization facing a dynamic and changing environment, and
requiring employees who are able to readily change tasks and move fluidly between
teams.
2. It argues that people leave jobs that are not compatible with their personalities.

IV. International Values

A. Hofstede’s Framework for Assessing Cultures
1. Five value dimensions of national culture:
a. Power distance: The degree to which people in a country accept that power in
institutions and organizations is distributed unequally.
b. Individualism versus collectivism: Individualism is the degree to which people
in a country prefer to act as individuals rather than as members of groups.
Collectivism equals low individualism.
c. Masculinity versus femininity: Masculinity is the degree to which values such as
the acquisition of money and material goods prevail. Femininity is the degree to
which people value relationships and show sensitivity and concern for others.
d. Uncertainty avoidance: The degree to which people in a country prefer
structured over unstructured situations.
e. Long-term versus short-term orientation: Long-term orientations look to the
future and value thrift and persistence. Short-term orientation values the past and
present and emphasizes respect for tradition and fulfilling social obligations.
2. Hofstede Research Findings: (Exhibit 5-8)
a. Asian countries were more collectivist than individualistic.
b. United States ranked highest on individualism.
c. German and Hong Kong rated high on masculinity.
d. Russia and The Netherlands were low on masculinity.
e. China and Hong Kong had a long-term orientation.
f. France and the United States had short-term orientation.
3. Hofstede’s culture dimensions have been enormously influential on OB researchers
and managers, but his research has been criticized.
a. First, although the data have since been updated, the original work is more than
30 years old and was based on a single company (IBM).
b. Second, few researchers have read the details of Hofstede’s methodology closely
and are therefore unaware of the many decisions and judgment calls he had to
make (for example, reducing the number of cultural values to just five).
c. Despite these concerns, Hofstede has been one of the most widely cited social
scientists ever, and his framework has left a lasting mark on OB.
Chapter 5 Personality and Values Page 156

4. Hofstede Recent Research

a. Studies investigated the relationship of cultural values and a variety of
organizational criteria at both the individual and national level of analysis.
b. Overall, the four original culture dimensions were equally strong predictors of
relevant outcomes, meaning researchers and practicing managers need to think
about culture holistically and not just focus on one or two dimensions.
c. Cultural values were more strongly related to organizational commitment,
citizenship behavior, and team-related attitudes than were personality scores.
B. The GLOBE Framework for Assessing Cultures
1. The Global Leadership and Organizational Behavior Effectiveness (GLOBE) began
updating Hofstede’s research with data from 825 organizations and 62 countries.
2. Variables similar to Hofstede
a. Assertiveness
b. Future orientation (similar to Long-term vs Short-term orientation)
c. Gender differentiation (similar to Masculinity vs Femininity)
d. Uncertainly avoidance
e. Power distance
f. Individualism/collectivism
g. In-group collectivism
h. Performance orientation (the degree to which a society encourages and rewards
group members for performance improvement and excellence).
i. Humane orientation (the degree to which a society encourages and rewards group
members for performance improvement and excellence).
3. Which framework is better?
a. We give more emphasis to Hofstede’s dimensions here because they have stood
the test of time and the GLOBE study confirmed them.
b. Researchers continue to debate the differences between these frameworks, and
future studies may, in time, favor the more nuanced perspective of the GLOBE
study.

V. Summary and Implications for Managers

A. Personality
1. The Big Five provides a meaningful way for managers to examine personality
2. Managers’ keys
a. Screening job candidates for high conscientiousness—as well as the other Big
Five traits, depending on the criteria an organization finds most important—
should pay dividends.
b. Factors such as job demands, the degree of required interaction with others, and
the organization’s culture are examples of situational variables that moderate the
personality–job performance relationship.
c. You need to evaluate the job, the work group, and the organization to determine
the optimal personality fit.
d. Other traits, such as core self-evaluation or narcissism, may be relevant in certain
situations, too.
e. Although the MBTI has been widely criticized, it may have a place in
organizations. In training and development, it can help employees better
Chapter 5 Personality and Values Page 157

understand themselves, help team members better understand each other, and
open up communication in work groups and possibly reduce conflicts.
B. Values
1. Knowledge of an individual’s value system can provide insight into what makes the
person “tick.”
a. Employees’ performance and satisfaction are likely to be higher if their values fit
well with the organization.
b. Managers are more likely to appreciate, evaluate positively, and allocate rewards
to employees who fit in, and employees are more likely to be satisfied if they
perceive they do fit in.

EXPANDED CHAPTER OUTLINE

I. Personality
A. What Is Personality?
1. Personality is a dynamic concept describing the growth and development of a
person’s whole psychological system; it looks at some aggregate whole that is greater
than the sum of the parts.
2. Defining Personality
a. Gordon Allport coined the most frequent used definition:
b. “The dynamic organization within the individual of those psychophysical systems
that determine his unique adjustments to his environment.”
c. The text defines personality as the sum total of ways in which an individual reacts
to and interacts with others.
3. Measuring Personality
a. The most important reason managers need to know how to measure personality is
that research has shown personality tests are useful in hiring decisions and help
managers forecast who is best for a job.
b. The most common means of measuring personality is through self-report surveys,
with which individuals evaluate themselves on a series of factors.
c. Though self-report measures work well when well constructed, one weakness is
that the respondent might lie or practice impression management.
d. Another problem is accuracy. A perfectly good candidate could have just been in a
bad mood when the survey was taken and that will make the test scores less
accurate.
e. Observer-ratings surveys provide an independent assessment of personality.
4. Personality Determinants
a. Introduction
b. An early argument centered on whether or not personality was the result of
heredity or of environment.
c. Personality appears to be a result of both influences.
5. Heredity
a. Heredity refers to those factors that were determined at conception.
b. The heredity approach argues that the ultimate explanation of an individual’s
personality is the molecular structure of the genes, located in the chromosomes.
c. Researchers have studied thousands of sets of identical twins that were separated
at birth.
i. Genetics accounts for about 50 percent of the variation in personality
differences and over 30 percent of occupational and leisure interest variation.
Chapter 5 Personality and Values Page 158

ii. The personalities of identical twins raised in different households are more
similar to each other than to the personalities of siblings with whom the twins
were raised.
iii. People’s scores on measures of dependability tend to increase over time, as
when young adults take on roles like starting a family and establishing a
career that require great responsibility.
6. Personality Traits
a. Introduction
i. Early work revolved around attempts to identify and label enduring
characteristics.
ii. Popular characteristics include shy, aggressive, submissive, lazy, ambitious,
loyal, and timid. These are personality traits.
iii. The more consistent the characteristic, the more frequently it occurs, the more
important it is.
iv. Early efforts to identify the primary traits that govern behavior often resulted
in long lists that were difficult to generalize from and provided little practical
guidance to organizational decision makers.
B. The Myers-Briggs Type Indicator
1. One of the most widely used personality frameworks is the Myers-Briggs Type
Indicator (MBTI).
2. It is a 100-question personality test that asks people how they usually feel or act in
particular situations.
3. Individuals are classified as:
a. Extroverted or introverted (E or I).
b. Sensing or intuitive (S or N).
c. Thinking or feeling (T or F).
d. Perceiving or judging (P or J).
4. These classifications are then combined into sixteen personality types. For example:
a. INTJs are visionaries. They usually have original minds and great drive for their
own ideas and purposes. They are characterized as skeptical, critical, independent,
determined, and often stubborn.
b. ESTJs are organizers. They are realistic, logical, analytical, decisive, and have a
natural head for business or mechanics.
c. The ENTP type is a conceptualizer. He or she is innovative, individualistic,
versatile, and attracted to entrepreneurial ideas. This person tends to be
resourceful in solving challenging problems but may neglect routine assignments.
d. MBTI is widely used in practice. Some organizations using it include Apple
Computer, AT&T, Citigroup, GE, 3M Co. and others.
C. The Big Five Personality Model
1. An impressive body of research supports that five basic dimensions underlie all other
personality dimensions. The five basic dimensions are:
a. Extraversion. Comfort level with relationships. Extroverts tend to be gregarious,
assertive, and sociable. Introverts tend to be reserved, timid, and quiet.
b. Agreeableness. Individual’s propensity to defer to others. High agreeableness
people—cooperative, warm, and trusting. Low agreeableness people—cold,
disagreeable, and antagonistic.
c. Conscientiousness. A measure of reliability. A high conscientious person is
responsible, organized, dependable, and persistent. Those who score low on this
dimension are easily distracted, disorganized, and unreliable.
d. Emotional stability. A person’s ability to withstand stress. People with positive
emotional stability tend to be calm, self-confident, and secure. Those with high
negative scores tend to be nervous, anxious, depressed, and insecure.
e. Openness to experience. The range of interests and fascination with novelty.
Extremely open people are creative, curious, and artistically sensitive. Those at
Chapter 5 Personality and Values Page 159

the other end of the openness category are conventional and find comfort in the
familiar.
2. How do the Big Five traits predict behavior at work?
a. Research has shown relationships between these personality dimensions and job
performance.
b. Employees who score higher for example in conscientiousness develop higher
levels of job knowledge.
c. Conscientiousness is as important for managers as for front-line employees see
Exhibit 5-1.
i. The study found conscientiousness—in the form of persistence, attention to
detail, and setting of high standards—was more important than other traits.
ii. These results attest to the importance of conscientiousness to organizational
success.
iii. Conscientious people live longer because they take better care of themselves
(they eat better and exercise more) and engage in fewer risky behaviors like
smoking, drinking and drugs, and risky sexual or driving behavior.
iv. Probably because they’re so organized and structured, conscientious people
don’t adapt as well to changing contexts.
v. They are generally performance oriented and have more trouble learning
complex skills early in the training process because their focus is on
performing well rather than on learning.
vi. Finally, they are often less creative than less conscientious people, especially
artistically.
d. Although conscientiousness is the Big Five trait most consistently related to job
performance, there are other traits are related to aspects of performance in some
situations.
3. All five traits also have other implications for work and for life. Let’s look at these
one at a time. Exhibit 5-2 summarizes the discussion.
a. Of the Big Five traits, emotional stability is most strongly related to life
satisfaction, job satisfaction, and low stress levels.
i. This is probably true because high scorers are more likely to be positive and
optimistic and experience fewer negative emotions.
ii. They are happier than those who score low.
iii. People low on emotional stability are hypervigilant (looking for problems or
impending signs of danger) and are especially vulnerable to the physical and
psychological effects of stress.
b. Extraverts tend to be happier in their jobs and in their lives as a whole.
i. They experience more positive emotions than do introverts, and they more
freely express these feelings.
ii. They also tend to perform better in jobs that require significant interpersonal
interaction, perhaps because they have more social skills—they usually have
more friends and spend more time in social situations than introverts.
iii. Finally, extraversion is a relatively strong predictor of leadership emergence in
groups; extraverts are more socially dominant, “take charge” sorts of people,
and they are generally more assertive than introverts.
iv. One downside is that extraverts are more impulsive than introverts; they are
more likely to be absent from work and engage in risky behavior such as
unprotected sex, drinking, and other impulsive or sensation-seeking acts.
v. One study also found extraverts were more likely than introverts to lie during
job interviews.
c. Individuals who score high on openness to experience are more creative in
science and art than those who score low.
i. Because creativity is important to leadership, open people are more likely to
be effective leaders, and more comfortable with ambiguity and change.
Chapter 5 Personality and Values Page 160

ii. They cope better with organizational change and are more adaptable in
changing contexts.
iii. Recent evidence also suggests, however, that they are especially susceptible to
workplace accidents. 
iv. You might expect agreeable people to be happier than disagreeable people.
(a) They are, but only slightly.
(b) When people choose romantic partners, friends, or organizational team
members, agreeable individuals are usually their first choice.
d. Agreeable individuals are better liked than disagreeable people, which explains
why they tend to do better in interpersonally oriented jobs such as customer
service.
i. They also are more compliant and rule abiding and less likely to get into
accidents as a result.
ii. People who are agreeable are more satisfied in their jobs and contribute to
organizational performance by engaging in citizenship behavior.
iii. They are also less likely to engage in organizational deviance.
iv. One downside is that agreeableness is associated with lower levels of career
success (especially earnings).
4. The five personality factors identified in the Big Five model appear in almost all
cross-cultural studies.
a. These studies have included a wide variety of diverse cultures—such as China,
Israel, Germany, Japan, Spain, Nigeria, Norway, Pakistan, and the United States.
b. Differences are complex but tend to be primarily about whether countries are
predominantly individualistic or collectivistic.
i. Chinese managers use the category of conscientiousness more often and
agreeableness less often than do U.S. managers.
c. And the Big Five appear to predict a bit better in individualistic than in
collectivist cultures.
i. But there is a surprisingly high amount of agreement, especially across
individuals from developed countries.
ii. A comprehensive review of studies covering people from what was then the
15-nation European Community found conscientiousness a valid predictor of
performance across jobs and occupational groups.
iii. This is exactly what U.S. studies have found.
D. Other Personality Traits Relevant to OB
1. Core Self-Evaluation (Self-perspective)
a. People who have a positive core self-evaluation see themselves as effective,
capable, and in control.
b. People who have a negative core self-evaluation tend to dislike themselves.
c. People with positive core self-evaluations perform better than others because they
set more ambitious goals, are more committed to their goals, and persist longer in
attempting to reach these goals.
d. Some can be too positive. In this case, someone can think he or she is capable, but
he or she is actually incompetent? One study of Fortune 500 CEOs, for example,
showed that many are overconfident, and their perceived infallibility often causes
them to make bad decisions
2. Machiavellianism
a. Named after Niccolo Machiavelli, who wrote in the sixteenth century on how to
gain and use power.
b. An individual high in Machiavellianism is pragmatic, maintains emotional
distance, and believes that ends can justify means.
c. High Machs manipulate more, win more, are persuaded less, and persuade others
more.
d. High Mach outcomes are moderated by situational factors and flourish when they
interact face-to-face with others, rather than indirectly, and when the situation has
Chapter 5 Personality and Values Page 161

a minimum number of rules and regulations, thus allowing latitude for

improvisation.
e. High Machs make good employees in jobs that require bargaining skills or that
offer substantial rewards for winning.
3. Narcissism
a. Describes a person who has a grandiose sense of self-importance.
b. They “think” they are better leaders.
c. Often they are selfish and exploitive.
4. Self-Monitoring
a. This refers to an individual’s ability to adjust his or her behavior to external,
situational factors.
b. Individuals high in self-monitoring show considerable adaptability. They are
highly sensitive to external cues, can behave differently in different situations, and
are capable of presenting striking contradictions between their public persona and
their private self.
c. Low self-monitors cannot disguise themselves in that way. They tend to display
their true dispositions and attitudes in every situation resulting in a high
behavioral consistency between who they are and what they do.
d. The research on self-monitoring is in its infancy, so predictions must be guarded.
Preliminary evidence suggests:
e. High self-monitors tend to pay closer attention to the behavior of others.
f. High self-monitoring managers tend to be more mobile in their careers and
receive more promotions.
g. High self-monitor is capable of putting on different “faces” for different
audiences.
5. Risk Taking
a. The propensity to assume or avoid risk has been shown to have an impact on how
long it takes managers to make a decision and how much information they require
before making their choice.
b. High risk-taking managers make more rapid decisions and use less information in
making their choices.
c. Managers in large organizations tend to be risk averse; especially in contrast with
growth-oriented entrepreneurs.
d. Makes sense to consider aligning risk-taking propensity with specific job
demands.
6. Proactive Personality
a. Actively taking the initiative to improve their current circumstances while others
sit by passively
b. Proactives identify opportunities, show initiative, take action, and persevere.
c. Create positive change in their environment.
d. More likely to be seen as leaders and change agents.
e. More likely to achieve career success.
7. Other-orientation
a. Some people just naturally just seem to think about other people a lot, being
concerned about their well-being and feelings while others behave like “economic
actors,” primarily rational and self-interested.
i. These differences reflect varying levels of other orientation, a personality trait
that reflects the extent to which decisions are affected by social influences and
concerns vs. our own well-being and outcomes.
ii. Some are the consequences of having a high level of other orientation?
b. Those who are other-oriented feel more obligated to help others who have helped
them (pay me back), whereas those who are more self-oriented will help others
when they expect to be helped in the future (pay me forward).
c. Employees high in other-orientation also exert especially high levels of effort
when engaged in helping work or prosocial behavior.
Chapter 5 Personality and Values Page 162

d. In sum, it appears that having a strong orientation towards helping others does
affect some behaviors that actually matter for organizations.
e. However, research is still needed to clarify this emerging construct and its
relationship with agreeableness.
II. Values
A. Introduction
1. Values represent basic convictions
2. A specific mode of conduct or end-state of existence is personally or socially
preferable to an opposite or converse mode of conduct or end-state of existence.
3. They have both content and intensity attributes.
4. An individual’s set of values ranked in terms of intensity is considered the person’s
value system.
5. Values have the tendency to be stable.
6. Many of our values were established in our early years from parents, teachers,
friends, and others.
B. Importance of Values
1. Values lay the foundation for the understanding of attitudes and motivation.
2. Values generally influence attitudes and behaviors.
3. We can predict reaction based on understanding values.
C. Terminal versus Instrumental Values
1. Rokeach Value Survey (Exhibit 5–3)
2. This instrument contains two sets of values; each set has 18 value items.
a. Terminal Values—refer to desirable end states of existence.
i. The goals that a person would like to achieve during his/her lifetime
b. Instrumental Values—refer to preferable modes of behavior.
i. Means of achieving the terminal values
c. Several studies confirm that the RVS values vary among groups. (Exhibit 5-4)
d. People in the same occupations or categories tend to hold similar values.
e. Although there may be overlap among groups, there are some significant
differences as well.
D. Generational Values
1. Contemporary work cohorts (Exhibit 5-5)
a. Some limitations of this analysis.
i. First, we make no assumption that the framework applies across all cultures.
ii. Second, despite a steady stream of press coverage, there is very little rigorous
research on generational values, so we have to rely on an intuitive framework.
iii. Finally, these are imprecise categories.
(a) There is no law that someone born in 1985 can’t have values similar to
those of someone born in 1955.
iv. Despite these limitations, values do change over generations, and we can gain
some useful insights from analyzing values this way.
2. Different generations hold different work values.
a. Boomers (Baby Boomers)—entered the workforce during the 1960s through the
mid-1980s.
b. Xers—entered the workforce beginning in the mid-1980s.
c. The most recent entrants to the workforce, the Millennials (also called Netters,
Nexters, Generation Yers, and Generation Nexters)
3. Though it is fascinating to think about generational values, remember these
classifications lack solid research support.
4. Generational classifications may help us understand our own and other generations
better, but we must also appreciate their limits.
III. Linking an Individual’s Personality and Values to the Workplace
A. The Person-Job Fit:
1. This concern is best articulated in John Holland’s personality-job fit theory.
Chapter 5 Personality and Values Page 163

2. Holland presents six personality types and proposes that satisfaction and the
propensity to leave a job depends on the degree to which individuals successfully
match their personalities to an occupational environment.
3. The six personality types are: realistic, investigative, social, conventional, enterprising,
and artistic. (Exhibit 5-6)
a. Each one of the six personality types has a congruent occupational environment.
b. Vocational Preference Inventory questionnaire contains 160 occupational titles.
Respondents indicate which of these occupations they like or dislike; their
answers are used to form personality profiles. (Exhibit 5-7)
c. The theory argues that satisfaction is highest and turnover lowest when
personality and occupation are in agreement.
d. The key points of this model are that:
i. There do appear to be intrinsic differences in personality among individuals,
ii. There are different types of jobs, and
iii. People in jobs congruent with their personality should be more satisfied and
less likely to voluntarily resign than people in incongruent jobs.
B. The Person-Organization Fit
1. Most important for an organization facing a dynamic and changing environment, and
requiring employees who are able to readily change tasks and move fluidly between
teams.
2. It argues that people leave jobs that are not compatible with their personalities.
3. Using the Big Five terminology, for instance, we could expect that people high on
extraversion fit well with aggressive and team-oriented cultures, that people high on
agreeableness match up better with a supportive organizational climate than one
focused on aggressiveness, and that people high on openness to experience fit better
in organizations that emphasize innovation rather than standardization.
4. Research on person–organization fit has also looked at whether people’s values match
the organization’s culture. This match predicts job satisfaction, commitment to the
organization, and low turnover.
IV. International Values
A. Hofstede’s Framework for Assessing Cultures
1. Five value dimensions of national culture:
a. Power distance: The degree to which people in a country accept that power in
institutions and organizations is distributed unequally.
b. Individualism versus collectivism: Individualism is the degree to which people
in a country prefer to act as individuals rather than as members of groups.
Collectivism equals low individualism.
c. Masculinity versus femininity: Masculinity is the degree to which values such as
the acquisition of money and material goods prevail. Femininity is the degree to
which people value relationships and show sensitivity and concern for others.
d. Uncertainty avoidance: The degree to which people in a country prefer
structured over unstructured situations.
e. Long-term versus short-term orientation: Long-term orientations look to the
future and value thrift and persistence. Short-term orientation values the past and
present and emphasizes respect for tradition and fulfilling social obligations.
2. Hofstede Research Findings: (Exhibit 5-8)
a. Asian countries were more collectivist than individualistic.
b. United States ranked highest on individualism.
c. German and Hong Kong rated high on masculinity.
d. Russia and The Netherlands were low on masculinity.
e. China and Hong Kong had a long-term orientation.
f. France and the United States had short-term orientation.
3. Hofstede’s culture dimensions have been enormously influential on OB researchers
and managers, but his research has been criticized.
Chapter 5 Personality and Values Page 164

a.First, although the data have since been updated, the original work is more than
30 years old and was based on a single company (IBM).
i. A lot has happened on the world scene since then. Some of the most obvious
changes include the fall of the Soviet Union, the transformation of central and
eastern Europe, the end of apartheid in South Africa, and the rise of China as a
global power.
b. Second, few researchers have read the details of Hofstede’s methodology closely
and are therefore unaware of the many decisions and judgment calls he had to
make (for example, reducing the number of cultural values to just five).
i. Some results are unexpected.
(a) Japan, which is often considered a highly collectivist nation, is considered
only average on collectivism under Hofstede’s dimensions.
c. Despite these concerns, Hofstede has been one of the most widely cited social
scientists ever, and his framework has left a lasting mark on OB.
4. Hofstede Recent Research
a. Studies investigated the relationship of cultural values and a variety of
organizational criteria at both the individual and national level of analysis.
b. Overall, the four original culture dimensions were equally strong predictors of
relevant outcomes, meaning researchers and practicing managers need to think
about culture holistically and not just focus on one or two dimensions.
c. Cultural values were more strongly related to organizational commitment,
citizenship behavior, and team-related attitudes than were personality scores.
d. On the other hand, personality was more strongly related to behavioral criteria
like performance, absenteeism, and turnover.
e. The researchers also found that individual scores were much better predictors of
most outcomes than assigning all people in a country the same cultural values.
f. In sum, this research suggests that Hofstede’s value framework may be a valuable
way of thinking about differences among people, but we should be cautious about
assuming all people from a country have the same values.
B. The GLOBE Framework for Assessing Cultures
1. The Global Leadership and Organizational Behavior Effectiveness (GLOBE) began
updating Hofstede’s research with data from 825 organizations and 62 countries.
2. Variables similar to Hofstede
a. Assertiveness
b. Future orientation (similar to Long-term vs Short-term orientation)
c. Gender differentiation (similar to Masculinity vs Femininity)
d. Uncertainly avoidance
e. Power distance
f. Individualism/collectivism
g. In-group collectivism
h. Performance orientation (the degree to which a society encourages and rewards
group members for performance improvement and excellence).
i. Humane orientation (the degree to which a society encourages and rewards group
members for performance improvement and excellence).
3. Which framework is better?
a. We give more emphasis to Hofstede’s dimensions here because they have stood
the test of time and the GLOBE study confirmed them.
b. Researchers continue to debate the differences between these frameworks, and
future studies may, in time, favor the more nuanced perspective of the GLOBE
study.
V. Summary and Implications For Managers
A. Personality
1. The Big Five provides a meaningful way for managers to examine personality
2. Managers’ keys
Chapter 5 Personality and Values Page 165

a. Screening job candidates for high conscientiousness—as well as the other Big
Five traits, depending on the criteria an organization finds most important—
should pay dividends.
i. Of course, managers still need to take situational factors into consideration.
b. Factors such as job demands, the degree of required interaction with others, and
the organization’s culture are examples of situational variables that moderate the
personality–job performance relationship.
c. You need to evaluate the job, the work group, and the organization to determine
the optimal personality fit.
d. Other traits, such as core self-evaluation or narcissism, may be relevant in certain
situations, too.
e. Although the MBTI has been widely criticized, it may have a place in
organizations. In training and development, it can help employees better
understand themselves, help team members better understand each other, and
open up communication in work groups and possibly reduce conflicts.
B. Values
1. Knowledge of an individual’s value system can provide insight into what makes the
person “tick.”
a. Employees’ performance and satisfaction are likely to be higher if their values fit
well with the organization.
i. The person who places great importance on imagination, independence, and
freedom is likely to be poorly matched with an organization that seeks
conformity from its employees.
b. Managers are more likely to appreciate, evaluate positively, and allocate rewards
to employees who fit in, and employees are more likely to be satisfied if they
perceive they do fit in.
i. This argues for management to seek job candidates who have not only the
ability, experience, and motivation to perform but also a value system
compatible with the organization’s.

Myth or Science?
Personality Predicts the Performance of Entrepreneurs

This exercise covers Learning Objectives: Define values, demonstrate the importance of values, and contrast
terminal and instrumental values: Learning Outcomes Describe the factors that influence the formation of
individual attitudes and values; and AACSB Learning Goals: Reflective thinking skills.

This statement is true. Studies of identical twins reared apart suggest striking career similarities
—if one twin became an entrepreneur, the other twin was more likely to do the same.

The explanation may lie in personality.

One recent analysis of 60 studies linked individuals’ personalities to their intentions to undertake
an entrepreneurial career, and to the performance of their ventures once they made that decision.
The Big Five personality traits—except agreeableness which didn’t matter—significantly
predicted entrepreneurial intentions and, more significantly, entrepreneurial firm performance.
Especially important were openness to experience and conscientiousness, both of which also
Chapter 5 Personality and Values Page 166

predicted firm growth over time. Interestingly, risk propensity—the tendency to take and be
comfortable with taking risks—was not associated with entrepreneurial performance.
What are the implications of these findings? Traditionally, people who saw themselves as risk
averse were steered away from entrepreneurship. However, these results suggest it is more
important to steer low scorers on openness and conscientiousness away. The best entrepreneurs
appear not to be the swashbuckling risk-takers, but rather the methodical ones who have the
discipline to turn their open thinking and creative ideas into reality.

Source: H. Zhao, S. E. Seibert, and G. T. Lumpkin, “The Relationship of Personality to Entrepreneurial Intentions
and Performance: A Meta-Analytic Review,” Journal of Management 36, No. 2 (2010), pp. 381-404; M. Herper,
“Could We Invent an Antibody to Make You an Entrepreneur?” Forbes (May 5, 2011), downloaded on May 23, 2011
from http://blogs.forbes.com/.

Class Exercise
Place the students in teams of five.
1. Have one set of teams brainstorm specific traits essential to being an entrepreneur-type.
2. Another set of teams should brainstorm job tasks handled by an entrepreneur-type.
3. Have the teams record their criteria on the board.
4. As a class, create one set of five traits and five tasks for an entrepreneur-type.
5. Ask the class to brainstorm what kinds of careers might be appropriate for an entrepreneur-
type (owning their own business is not the only one).
Teaching Notes

This exercise is applicable to face-2-face classes or synchronous online classes such as

BlackBoard 9.1, WIMBA, and Second Life Virtual Classrooms. See
http://www.baclass.panam.edu/imob/SecondLife for more information.

GlOBalization
The Right Personality for a Global Workplace

This exercise covers Learning Objectives: Define values, demonstrate the importance of values, and contrast
terminal and instrumental values: Learning Outcomes: Describe the factors that influence the formation of
individual attitudes and values; and AACSB Learning Goals: Reflective thinking skills.

As work becomes increasingly international in focus, successful managers need to be able to

operate across cultures easily. Obviously, expatriate managers working in other countries will
need personality traits that make them better able to work overseas, but managers at home who
order parts and services from overseas or prepare marketing plans for other countries, for
example, will also conduct cross-cultural communications. In the workforce of the future,
everyone from mechanics to customer service representatives to advertisers will need to
understand the global market. What is the right personality for a global workplace?

You might suspect that, of the Big Five traits, openness to experience would be most important
to effectiveness in international assignments. Open people are more likely to be culturally
flexible—to “go with the flow” when things are different in another country. Research is not
Chapter 5 Personality and Values Page 167

fully consistent on the issue, but most does suggest that managers who score high on openness
perform better than others in international assignments. Other evidence suggests that employees
who are more agreeable and extraverted have an easier time with international assignments. They
may be better at establishing new relationships and developing social networks in unfamiliar
contexts.

What do these results imply for organizations? Given continuing globalization in the future,
organizations should select employees with traits related to better performance in international
assignments. Managers will need to foster an open-minded perspective about other cultures
among their employees.

Source: Based on M. A. Shaffer, D. A. Harrison, and H. Gregersen, “You Can Take It with You: Individual
Differences and Expatriate Effectiveness,” Journal of Applied Psychology 91, No. 1 (2006), pp. 109–125; M. van
Woerkom and R. S. M. de Reuver, “Predicting Excellent Management Performance in an Intercultural Context: A
Study of the Influence of Multicultural Personality on Transformational Leadership and Performance,” International
Journal of Human Resource Management 20, No. 10 (2009), pp. 2013-2029; and M. Downes, I. I. Varner, and M.
Hemmasi, “Individual Profiles as Predictors of Expatriate Effectiveness,” Competitiveness Review 20, No. 3 (2010),
pp. 235-247.

Class Exercise

Divide students into groups of three to five each. Have each group go to
http://ezinearticles.com/?International-Business---Preparing-For-An-Overseas-
Assignment&id=824508. Ask the groups to prepare a study paper on the elements of preparation
for overseas assignment. Each group should present its conclusions to the class and open
discussion about differences should be made. Incorporate Hofstede’s and GLOBE’s cultural
analyses in the discussion.

Teaching Notes

This exercise is applicable to face-2-face classes or synchronous online classes such as

BlackBoard 9.1, WIMBA, and Second Life Virtual Classrooms. See
http://www.baclass.panam.edu/imob/SecondLife for more information.

An Ethical Choice
Should You Try to Change Someone’s Personality?

This exercise covers Learning Objectives: Define personality, describe how it is measured, and explain the factors
that determine an individual’s personality; Learning Outcomes: Describe the factors that influence the formation of
individual attitudes and values; and AACSB Learning Goals: Ethical understanding and reasoning abilities,
Reflective thinking skills.
Chapter 5 Personality and Values Page 168

As we have noted, individuals differ in terms of their personality scores, and these
differences contribute to effective performance. It isn’t always possible to identify personality
traits successfully during the hiring process, and sometimes there simply aren’t enough people
with the “right” personality traits available. So should organizations try to shape their employees
to make them more conscientious, agreeable, open, emotionally stable, and extraverted? Is there
a potential ethical problem with exercising this type of control over workers?
Some evidence suggests that people’s basic temperament is largely fixed by biology, and
in this case, attempts to change personality will mostly lead to frustration and dissatisfaction. An
employee who tends to see things negatively is unlikely to suddenly become an optimist just
because a manager pushes him or her to read self-help books and take up meditation. Moreover,
such efforts may send a strong message of disapproval—who would want a manager saying, “We
don’t like you the way you are, you need to change!” Employees who are forced into working
environments that don’t fit their dispositions will also likely experience high levels of
psychological strain.
On the other hand, it is possible to change the way personality is expressed. Biological
anthropologist Helen Fisher notes that despite the importance of biology, “the environment
always molds your biology.” Someone who isn’t particularly open to experience might be
comfortable with new work assignments if they’re framed appropriately, and someone who isn’t
very conscientious can display organization and dutifulness if the right environmental supports
like checklists and formalized goal-setting are in place. And personality does change somewhat
over time. As people age, their scores on conscientiousness and agreeableness increase rather
dramatically, and neuroticism decreases substantially (the results for openness and extraversion
are more complex).
So what might employers do to accommodate employee personality differences while
still obtaining maximum performance? One strategy is to focus on outcomes and allow
employees to determine their own way to achieve them. An extrovert and an introvert might both
be able to produce a very high quality report, even if the extrovert will want to collaborate and
discuss during the process of writing whereas the introvert will prefer to work out problems
alone. Employers can also try to assign employees to activities that best match their personality
types.
Source: Based on B. W. Roberts and D. Mroczek, “Personality Trait Change in Adulthood,” Current Directions in
Psychological Science No. 1 (2008), pp. 31–35; Anonymous, “Five Ways to Change Your Personality,” CBS News
(August 21, 2010), www.cbsnews.com.

Class Excercises Ask each student to go to http://www.humanmetrics.com/cgi-

win/JTypes2.asp Complete the online survey. Note the score and personality category. Was any
student surprised at his or her category? Does the student see any difficulties raised by the
cateorization in context of planned career choice?
Chapter 5 Personality and Values Page 169

Point/CounterPoint
Millennials Are More Narcissistic

This exercise covers Learning Objectives: Define values, demonstrate the importance of values, and contrast
terminal and instrumental values: Learning Outcomes: Describe the factors that influence the formation of
individual attitudes and values; and AACSB Learning Goals: Reflective thinking skills.

Point

Those in college today have many good qualities: They are more technologically savvy, more
socially tolerant, and more balanced in their work and family priorities than previous
generations. Thus, those poised to enter the workforce today do so with some important virtues.
Humility, however, is not one of them.

A large-scale, longitudinal study found that those graduating from college in 2010 were more
likely than those from previous generations to have seemingly inflated views of themselves. The
2010 graduates were more likely than 1980 graduates to agree they would be “very good”
spouses (56 percent of 2010 graduates, compared to 37 percent among 1980 graduates), parents
(54 percent of 2010 graduates, 36 percent among 1980 graduates), and workers (65 percent of
2010 graduates, 49 percent among 1980 graduates).
Studies measuring narcissism suggests that scores are rising, especially among younger
generations. For example, by presenting a choice between two statements—“I try not to be a
show-off” vs. “I will usually show off if I get the chance,” psychologists have found that
narcissism has been growing since the early 1980s.

A 2011 study by University of Kentucky researcher Dr. Nathan DeWall even found that popular
songs are becoming more narcissistic. Analyzing the lyrics of songs on the Billboard Hot 100
Chart from 1980 to 2007, DeWall found a clear trend toward narcissism. The words “I” and “me”
have replaced “we” and “us.” Two recent examples: “I'm bringing sexy back. Yeah. Them other
boys don't know how to act. Yeah” (Justin Timberlake), and “I am the greatest man that ever
lived. I was born to give and give and give” (Weezer).

Narcissism’s rise is all around us. The sooner we admit it, the sooner we can begin to address the
problem in families, in education, and at work.

Counterpoint

Speaking of music, this argument is like a broken record that seems to play over and over: “THE
YOUTH OF TODAY ARE LOST!” Every generation tends to think the new generation is
without values, and the new generation thinks the older generation is hopelessly judgmental and
out of touch. Wasn’t the “Me generation” supposedly a generation ago? Let’s send the broken
record to the recycling bin and review the evidence.
Chapter 5 Personality and Values Page 170

One recent study that tracked nearly half a million young people on measures of egotistic traits
such as self-perceived intelligence, self-esteem, and self-enhancement found little evidence to
suggest changes since the 1970s. In short, Millennials aren’t any more narcissistic than young
people were in the 1970s or 1980s. The authors of this study conclude, “Today’s youth seem no
more egotistical than previous generations…In fact, today’s youth seem to have psychological
profiles that are remarkably similar to youth from the past 30 years.”

Another study offered an interesting explanation for why people think Millennials are more
narcissistic. Specifically, young people in general are more self-focused, but as people age, they
become more “other” focused. So we think young people are different when in fact they’re just
the way older folks were when they were younger. As these authors conclude, “Every generation
is Generation Me.” Our level of narcissism appears to be one of the many things that change as
we get older.

More broadly, narcissistic folks exist in every generation. We need to be careful when
generalizing about entire groups (whether one sex, one race, one culture, or one generation).
While generalizations have caused no small amount of trouble, we still like to simplify the
world, sometimes for good reason. In this case, however, the good reason isn’t there, especially
considering the latest evidence.

Class Exercise

1. Divide the class into paired groups or three to four students each.
2. Assign half the paired groups to take the Point position and the other half to take the
CounterPoint position.
3. Call upon a pair to come to the front of the classroom.
4. Have the sides present their views of their perspective positions.
5. After each debate, ask the class to vote on the “winning side.”

Teaching Notes

This exercise is applicable to face-2-face classes or synchronous online classes such as

BlackBoard 9.1, WIMBA, and Second Life Virtual Classrooms. See
http://www.baclass.panam.edu/imob/SecondLife for more information.

Source: N. Wolchover, “Song Lyrics Suggest Narcissism Is on the Rise,” LiveScience (April, 26, 2011), downloaded
May 16, 2011 from http://www.livescience.com; M. Norris, “Study: Narcissism on Rise in Pop Lyrics,” All Things
Considered (April 26, 2011), downloaded May 15 from http://www.npr.org/; K. H. Trzesniewski and M. B.
Donnellan, “Rethinking ‘Generation Me’: A Study of Cohort Effects from 1976-2006,” Perspectives on
Psychological Science 5, No. 1 (2010), pp. 58-75; B. W. Roberts, G. Edmonds, and E. Grijalva, “It Is Developmental
Me, Not Generation Me: Developmental Changes Are More Important Than Generational Changes in Narcissism—
Comment on Trzesniewski & Donnellon (2010),” Perspectives on Psychological Science 5, No. 1 (2010), pp. 97-
102.
Chapter 5 Personality and Values Page 171

Questions for Review

1. What is personality? How do we typically measure it? What factors determine personality?
Answer: Personality is the sum total of ways in which an individual reacts and interacts with
others, the measurable traits a person exhibits. It is typically measured using self-reporting
surveys. Observer-ratings surveys that provide an independent assessment of personality is
often better predictors. Personality seems to be the result of both hereditary and
environmental factors. Heredity refers to factors determined at conception: physical stature,
facial attractiveness, gender, temperament, muscle composition and reflexes, energy level,
and bio-rhythms. (Learning Objectives: Define personality, describe how it is measured, and explain the
factors that determine an individual’s personality; Learning Outcomes: Describe the factors that influence the
formation of individual attitudes and values; and AACSB Learning Goals: Reflective thinking skills.)

2. What is the Myers-Briggs Type Indicator (MBTI), and what does it measure?
Answer: The Myers-Briggs Type Indicator (MBTI) is the most widely used instrument in
the world to determine personality attributes. Participants are classified on four axes to
determine one of 16 possible personality types. It measures – extroverted/introverted;
sensing/intuitive; thinking/feeling; and judging/perceiving attributes. (Learning Objectives:
Define personality, describe how it is measured, and explain the factors that determine an individual’s
personality; Describe the Myers-Briggs Type Indicator personality framework and assess its strengths and
weaknesses Learning Outcomes: Describe the factors that influence the formation of individual attitudes and
values; and AACSB Learning Goals: Reflective thinking skills.)

3. What are the Big Five personality traits?

Answer: Extroversion – Sociable, gregarious, and assertive; Agreeableness – Good-
natured, cooperative and trusting; Conscientiousness – responsible, dependable and
organized; Emotional Stability – calm, self-confident versus negative and
depressed; Openness to experience – Curious, imaginative. (Learning Objectives: Define
personality, describe how it is measured, and explain the factors that determine an individual’s personality;
Identify the key traits in the Big Five personality model: Learning Outcomes: Describe the factors that
influence the formation of individual attitudes and values; and AACSB Learning Goals: Reflective thinking
skills.)

4. How do the Big Five traits predict work behavior?

Answer: Certain traits have been shown to strongly relate to higher job performance: For
example, highly conscientious people develop more job knowledge, exert greater effort, and
have better performance. Other Big Five Traits also have implications for work. Emotional
stability is related to job satisfaction. Extroverts tend to be happier in their jobs and have
good social skills. Open people are more creative and can be good leaders. Agreeable people
are good in social settings. (Learning Objectives: Define personality, describe how it is measured, and
explain the factors that determine an individual’s personality; Demonstrate how the Big Five traits predict
behavior at work: Learning Outcomes: Describe the factors that influence the formation of individual attitudes
and values; and AACSB Learning Goals: Reflective thinking skills.)
Chapter 5 Personality and Values Page 172

5. Besides the Big Five, what other personality traits are relevant to OB?
Answer: Core Self-Evaluation – The degree to which people like or dislike
themselves. Positive self-evaluation leads to higher job performance. Machiavellianism – A
pragmatic, emotionally distant power-player who believes that ends justify the means. High
Machs are manipulative, win more often, and persuade more than they are persuaded. They
flourish when they have direct interaction, and work with minimal rules and
regulations. Narcissism – depicted by an arrogant, entitled, self-important person who needs
excessive admiration. Predictably, they are less effective in their jobs. Self-monitoring, the
ability to adjust behavior and risk-taking, the ability to take chances are traits that are also
relevant to OB. (Learning Objectives: Define personality, describe how it is measured, and explain the
factors that determine an individual’s personality Identify other personality traits relevant to OB: Learning
Outcomes: Describe the factors that influence the formation of individual attitudes and values; and AACSB
Learning Goals: Reflective thinking skills.)

6. What are values, why are they important, and what is the difference between terminal and
instrumental values?
Answer: Values are basic convictions on how to conduct yourself or how to live your life
that is personally or socially preferable – “How To” live life properly. They are important
because they provide understanding of the attitudes, motivation, and behavior, they influence
our perception of the world around us, they represent interpretations of “right” and “wrong”
and they Imply that some behaviors or outcomes are preferred over others. The difference
between terminal and instrumental values is as follows: Terminal Values are desirable end-
states of existence; the goals that a person would like to achieve during his or her lifetime.
Instrumental Values are preferable modes of behavior or means of achieving one’s terminal
values. (Learning Objectives: Define values, demonstrate the importance of values, and contrast terminal
and instrumental values: Learning Outcomes: Describe the factors that influence the formation of individual
attitudes and values; and AACSB Learning Goals: Reflective thinking skills.)

7. Do values differ across generations? How so?

Answer: There is very little rigorous research on generational values, so we have to rely on
an intuitive framework. These are imprecise categories. There is no law that someone born in
1985 can’t have values similar to those of someone born in 1955.
Despite these limitations, values do change over generations, and we can gain some useful
insights from analyzing values this way. Different generations hold different work values.
Boomers (Baby Boomers)—entered the workforce during the 1960s through the mid-1980s.
Xers—entered the workforce beginning in the mid-1980s. The most recent entrants to the
workforce, the Millennials (also called Netters, Nexters, Generation Yers, and Generation
Nexters). Though it is fascinating to think about generational values, remember these
classifications lack solid research support. Generational classifications may help us
understand our own and other generations better, but we must also appreciate their limits.
(Learning Objectives: Define values, demonstrate the importance of values, and contrast terminal and
instrumental values, Compare generational differences in values and identify the dominant values in today’s
workforce: Learning Outcomes: Describe the factors that influence the formation of individual attitudes and
values; and AACSB Learning Goals: Reflective thinking skills.)
Chapter 5 Personality and Values Page 173

8. Do values differ across cultures? How so?

9. Answer: Yes. According to Hofstede and the GLOBE Project, there are a number of values
that differ across cultures: Hofstede’s Framework for assessing culture includes five value
dimensions: Power Distance Individualism vs. Collectivism Masculinity vs.
Femininity Uncertainty Avoidance Long-term vs. Short-term Orientation. When these
variables are measured, countries vary considerably such as the U.S. ranking #1 in
individualism while Colombia ranks 49th. (Learning Objectives: Define values, demonstrate the
importance of values, and contrast terminal and instrumental values: Learning Outcomes: Describe Hofstede’s
five value dimensions of national culture; and AACSB Learning Goals: Reflective thinking skills.)

Experiential Exercise
What Organizational Culture Do You Prefer?

This exercise covers Learning Objectives: Define values, demonstrate the importance of values, and contrast
terminal and instrumental values: Learning Outcomes: Describe the factors that influence the formation of
individual attitudes and values; and AACSB Learning Goals: Reflective thinking skills.

The Organizational Culture Profile (OCP) can help assess whether an individual’s values match
the organization’s. The OCP helps individuals sort their characteristics in terms of importance,
which indicates what a person values.
1. Working on your own, complete the OCP found at http://www.jstor.org/stable/256404
2. Your instructor may ask you the following questions individually or as a group of three or
four students (with a spokesperson appointed to speak to the class for each group):
a. What were your most preferred and least preferred values? Do you think your most
preferred and least preferred values are similar to those of other class or group members?
b. Do you think there are generational differences in the most preferred and least preferred
values?
c. Research has shown that individuals tend to be happier, and perform better, when their
OCP values match those of their employer. How important do you think a “values match”
is when you’re deciding where you want to work?

Ethical Dilemma
Personal Values and Ethics in the Workplace
Chapter 5 Personality and Values Page 174

Sipho Dlamini was born in a small rural village in Swaziland. He spent his childhood years
looking after his family’s livestock. The community upheld high values, such as honesty and
respect, but the people were desperately poor. He realized that he would have to go to South
Africa and apply for a job at a gold mine.

As a young man Sipho left his village in the mountains and took on the difficult job of getting to
South Africa. He went in search of one of his distant family members who was working for a
gold mine near Johannesburg. He managed to find his relative, who was engaged as a personnel
assistant. Sipho’s relative managed to find him a job as a general mine worker and
accommodation in one of the mine hostels.

Sipho was dedicated to his work, and time passed quickly. Every month, he forwarded most of
his wages to his family in Swaziland. One day Sipho’s family member called Sipho into his
office and informed him that he was due for promotion. He also told Sipho that he would be
required to pay him R500.00 (about $60) for his “efforts.”

This arrangement seemed strange to Sipho since he knew that it was not in line with company
procedures. When Sipho asked about this, the personnel assistant replied that he had the
authority to do so and that Sipho would not be promoted should he not pay the R500.00. Sipho
returned to his room and battled in his mind that night with the options before him. He had
grown up with strong personal values that included honesty and hard work, but his family needed
the extra income. What was he to do? After a restless night, he returned the next day to the
personnel assistant’s office and handed him the R500.00.

He was immediately promoted and returned to his room with a troubled mind. A few weeks later,
the personnel assistant was reported and investigated for fraudulent behavior. He was suspended
from work, and the investigation revealed all his corrupt activities. The record he had kept on all
employees who paid bribes to him was also found. All employees on this list were called in and
charged with fraud. Sipho’s name was on the list, and he was found guilty and dismissed from
the service of the company, along with all the others.

Questions

1. Was it fair of the mine to dismiss Sipho from service?

Answer: The mine had no option other than to adhere to their disciplinary procedure.
Fairness is procedural and substantive and on both counts the action seems to be fair.

2. What should Sipho have done differently?

Answer: Sipho should have approached his supervisor or personnel manager; alternatively
he should have asked some more experienced employees for their opinions. In the end,
however, he had to make the call and one should not compromise on your personal values. It
can be hard, because you might sometimes have to make big sacrifices for what you believe
in.
Chapter 5 Personality and Values Page 175

3. In what way could the mine management have provided support to him, prior to his
wrongful act?

Answer: An organization must have proper induction procedures, as well as a grievance

procedure. Employees should be inducted on the correct and expected behavior and
protected in the event of grievances against senior employees.

4. How would you have acted had you been in a similar situation?

Answer: Students answers may vary. Ethics is about a sense of right and wrong and values
represent why we should act in a particular way. A person should never compromise for
what he or she truly believes in. There will undoubtedly be tests of faith along the way but if
handled correctly, it assists in character building.

5. What should you do when your personal values are in conflict with a certain work ethic?

Answer: Students answers may vary. It is a difficult question but the first step is to attempt
to reconcile the differences in an amicable way. Should this not be possible, you may have to
plan an exit strategy.

Case Incident 1
Is There a Price for Being Too Nice?

This exercise covers Learning Objectives: Define values, demonstrate the importance of values, and contrast
terminal and instrumental values: Learning Outcomes: Describe the factors that influence the formation of
individual attitudes and values; and AACSB Learning Goals: Reflective thinking skills.

Agreeable people tend to be kinder and more accommodating in social situations, which you
might think could add to their success in life. However, we’ve already noted that one downside
of agreeableness is potentially lower earnings. We’re not sure why this is so, but agreeable
individuals may be less aggressive in negotiating starting salaries and pay raises.

Yet there is clear evidence that agreeableness is something employers value. Several recent
books argue in favor of “leading with kindness” (Baker & O’Malley, 2008) and “capitalizing on
kindness” (Tillquist, 2008). Other articles in the business press have argued that the sensitive,
agreeable CEO—such as GE’s Jeffrey Immelt and Boeing’s James McNerney—signals a shift in
business culture (Brady, 2007). In many circles, individuals desiring success in their careers are
exhorted to be “complimentary,” “kind,” and “good” (for example, Schillinger, 2007).

Take the example of 500-employee Lindblad Expeditions. It emphasizes agreeableness in its

hiring decisions. The VP of HR commented, “You can teach people any technical skill, but you
can’t teach them how to be a kindhearted, generous-minded person with an open spirit.”
Chapter 5 Personality and Values Page 176

So, while employers want agreeable employees, agreeable employees are not better job
performers, and they are less successful in their careers. We might explain this apparent
contradiction by noting that employers value agreeable employees for other reasons: They are
more pleasant to be around, and they may help others in ways that aren’t reflected in their job
performance. Most evidence suggests that agreeable people like agreeable people, which you
might expect because people like those who are similar to themselves. However, even
disagreeable people like agreeable people, perhaps because they are easier to manipulate than
individuals who are lower in agreeableness. Perhaps everyone wants to hire agreeable people just
because everyone likes to be around them.

Moreover, a 2008 study of CEO and CEO candidates revealed that this contradiction applies to
organizational leaders as well. Using ratings made by an executive search firm, researchers
studied the personalities and abilities of 316 CEO candidates for companies involved in buyout
and venture capital transactions. They found that what gets a CEO candidate hired is not what
makes him or her effective. Specifically, CEO candidates who were rated high on “nice” traits
such as respecting others, developing others, and teamwork were more likely to be hired.
However, these same characteristics—especially teamwork and respecting others for venture
capital CEOs—made the organizations they led less successful.

Questions

1. Do you think there is a contradiction between what employers want in employees (agreeable
employees) and what employees actually do best (disagreeable employees)? Why or why
not?
Answer: Although a contradiction appears in these relationships, there may not be. In the
natural state, the agreeable employee may not be as productive as the disagreeable employee,
but with appropriate training and leadership application, the agreeable employee could be
motivated to greater success.

2. Often, the effects of personality depend on the situation. Can you think of some job situations
in which agreeableness is an important virtue? And in which it is harmful?
Answer: Students are likely to have different views of this question’s response. They may
see relationship positions such as sales or customer service as more appropriate to agreeable
people. Disagreeable people might be more appropriate to job needs seeking isolation of the
worker such as assembly work or accounting.

3. In some research we’ve conducted, we’ve found that the negative effects of agreeableness on
earnings is stronger for men than for women (that is, being agreeable hurt men’s earnings
more than women’s). Why do you think this might be the case?
Answer: This response might focus on the “glass ceiling.” Because there is a greater
difference between maximum and minimum salaries for men as opposed to women, their
may be less distance between the ends of the salary continuum. The result is that men can
lose more in starting salary negotiation than women.

Source: T. A. Judge, B. A. Livingston, and C. Hurst, “Do Nice Guys—and Gals—Really Finish Last? The Joint
Effects of Sex and Agreeableness on Earnings,” working paper, University of Florida, 2009; S. N. Kaplan, M. M.
Chapter 5 Personality and Values Page 177

Klebanov, and M. Sorensen, “Which CEO Characteristics and Abilities Matter?” working paper, University of
Chicago Graduate School of Business, 2008
http://faculty.chicagobooth.edu/steven.kaplan/research/kks.pdf"faculty.chicagobooth.edu/steven.kaplan/research/kks.
pdf</ulink>; W. F. Baker and M. O’Malley, Leading with Kindness: How Good People Consistently Get Superior
Results. New York: AMACOM, 2008; K. Tillquist, Capitalizing on Kindness: Whey 21st Century Professionals
Need to Be Nice. Pompton Plains, NJ: Career Press, 2008; D. Brady, “Being Mean Is So Last Millennium,”
Business Week (January 15, 2007), p. 61; L. Schillinger, “Nice and Ambitious: Either, Neither, or Both?” New York
Times (January 14, 2007), p. 1

Case Incident 2
Personal Space

In business life, personal space is a very underestimated and even unknown phenomena. As a
manager, work consists mainly of dealing with people. Recognizing personal space and the
differences among people can improve every business setting. Personal space is the space or
territory valued around oneself in which others are not welcome. This space can be subdivided
into several components. Edward Hall (1966) divided personal space into five zones:

1. The intimate zone, which ranges from 0 to 18 inches, is only accessible for family and loved
ones.
2. The close personal zone is the “bubble” that extends 1.5 to 2 feet from a person. Friends are
allowed in this zone.
3. The far personal zone extends 4 to 12 feet and encompasses some direct communication and
some proximity.
4. The social zone extends 4 to 12 feet beyond the person. This personal space exists between
individuals in normal business life or between new contacts.
5. The public zone is everything beyond the social zone.

This area is a consideration during public speaking. As can be determined from Hall’s work,
personal space differs based on the person and the type of communication. When dealing with
more familiar people—family or friends—the bubble of personal space is smaller than when
talking to new contacts or engaging in formal conversations.

Personal space is determined by several factors. Personality traits, such as extraversion, are one
key determinant. Gender also plays a role, and it has been found that men maintain a larger
overall personal space. Culture also plays a dominant role.

In daily life, most people by nature adapt to the personal space of other individuals. When
adaptation is not done appropriately, body language can indicate the unease of the other
individual. When crossing national borders (or sometimes even regions), the concept becomes
more difficult to grasp. Even within countries that might look similar in terms of Hofstede’s
model, significant differences appear. As the business world becomes increasingly international,
the concept of personal space becomes more relevant. International managers who overlook
subtle differences in personal space can encounter major hurdles.
Chapter 5 Personality and Values Page 178

Consider, for example, a formal meeting between a Dutch and a Swedish subsidiary. The Dutch
manager welcomes the foreign managers and embraces them. The body language of the Swedes
says something is not right. The meeting continues, and all relevant business is discussed.
However, both parties leave the meeting feeling misunderstood.

Questions

1. Considering Hofstede’s model, Sweden and The Netherlands appear similar. What went
wrong in the preceding situation? And from what do these differences stem?
Answer: First of all, when comparing the values for Hofstede’s model for Sweden and
Netherlands, they seem alike. Therefore, we can conclude that these values only tell a small
part of the story. Logically and generally speaking, the personal space of a Swedish person
seems to be bigger than for a Dutch.

2. What can the Dutch manager do to resolve the disturbance in his relation with the Swedes?
Answer: The identification and acceptance of culture differences (implying different sizes of
personal space) is the first step. Second, communication should point out these differences
and evoke mutual respect.

3. How can “invasion” of personal space be identified?

Answer: Body language. Since more than 50% of a message is conveyed through body
language, this is the best indicator. Look for defensive gestures like stepping away, crossing
arms or legs.

4. Describe some experiences of personal space in your life. Consider study abroad,
internships, and so on.
Answer: Answers may vary. Most students have traveled for leisure purposes or for
exchange periods abroad and therefore have experiences with different cultures and culture
clashes.

Instructor’s Choice
This exercise covers Learning Objectives: Define values, demonstrate the importance of values, and contrast
terminal and instrumental values: Learning Outcomes: Describe the factors that influence the formation of
individual attitudes and values; and AACSB Learning Goals: Reflective thinking skills.

Begin by pointing out some behaviors that effective teams practice: establish a common mission,
assess strengths and weaknesses, develop individual goals, secure agreement on a way to achieve
goals, develop accountability for individual and group actions, build trust, maintain a mix of skills and
Chapter 5 Personality and Values Page 179

personalities, provide training, and create opportunities for successes. Ask students to review the “Big
Five” model before beginning the exercise. If you choose not to list the items presented by the
teams on the board, appoint a scribe.

EXPLORING OB TOPICS ON THE WORLD WIDE WEB

This exercise covers Learning Objectives: Define values, demonstrate the importance of values, and contrast
terminal and instrumental values: Learning Outcomes: Describe the factors that influence the formation of
individual attitudes and values; and AACSB Learning Goals: Reflective thinking skills.

Search Engines are our navigational tool to explore the WWW. Some commonly used search
engines are: www.excite.com www.yahoo.com www.hotbot.com
www.google.com www.lycos.com www.bing.com

Learn more about yourself! Go to www.2h.com/personality-tests.html. There you will find a

variety of personality tests such as “Are you a Type A?” the “Stress O Meter,” and other IQ and
personality tests. Most are free and often fun to take. Take two or three of your choice. Print the
results you get on yourself and bring them to class where we will discuss the validity of your
findings.

How are personality tests and employment linked? Why would an employer or employee be
interested in the results of a personality test? Go to the following sites to learn more:
http://www.signonsandiego.com/marketplace/jobs/myjobsearch/ccsdt/advance/personal/personal
2.shtml http://www.careerjournal.com/jobhunting/interviewing/20010622-webb.html
http://www.hr-guide.com/data/G312.htm Bring five new facts you learned from at least two of
the above sites to class for a group discussion.