value congruence - employer/employee

Value Congruence of Employer / Employee and Leadership : Correlation

Author

Institutional Affiliation

April 2005

Professionals observe serious changes in the national labor market which is called tight , such as increasing cost-cutting , restructuring and tougher performance measures . All these is drastically influenced by the United States ' economic prosperity tempo and a shift from manufacturing to service industries . In organizational environment we observe a strong differentiation between the leading and the led employees in measured far beyond monetary dimension

On the one hand , the employees ' value rise depending on the individual

skills as well as intellectual or other investment into the organization 's performance . Without the best people , we know it is even harder to deliver the demanded outcomes ' laments Anne Riches in an article How Do You Attract and Retain the Best People ? for the CEO Refresher web site . Getting and keeping the best is becoming harder than ever ' states she at a time . On the other hand "Employees don 't know how to value their contributions accurately " warns Baruch Lev Professor of Accounting and Finance at New York University states (Webber , 2000 , displaying the dangers of using an accounting system that "cannot capture the new economy , in which value is created by intangible assets " The disconnect , says Lev , affects more than just financial analysts and corporate financial officers : in an information-based economy , this has enormous implications for both companies and labor

Proportionally to employees ' values rise also the employers ' costs on the said values . Such a descrepancy establish new challenges in the organizational balance , involving leaderdip and value congruence as the elements and factors of the system . Additionally , new factors including pressures from unions and tax advantages have stimulated expansion of the benefits portion of compensation (Milkovich Newman , 1993 ) in comparison to monetary one . It 's an employee 's market , - mentioned once Cynthia E . Griffin in Entrepreneur , - which makes it more difficult to just say no to proposals for an increase in the minimum wage or requiring employers to provide health care for uninsured workers ' To draw the correlation between employees ' values , employers costs and leadership through industries on the external and international levels we observe the empirical research on the items and practical models of value congruence and leadership , implemented in different organizations

Leadership

In a number of business books (respectively , Hellriegel , Jackson and Slocum , 1999 ,

. 500 Boone and Kurtz , 1999 ,

. 275 and Robbins , 2000 br

. 442 ) leadership is a ) influencing others to act toward the attainment of a goal b ) directing or inspiring people to attain organizational goals c ) the quality of leaders , which are individuals to facilitate the movement of a group of people toward a common goal . Leadership is an influence process that demonstrates itself through power- the ability to influence the behavior of others (Futrell , 1998 . There are several types of power including legitimate , reward , coercive , expert , and referent . Reward stems from the leader 's authority to bestow rewards on other people either formally , increasing pay or promoting , or informally , thus praising...