Author Archives: kathrynwelds

About kathrynwelds

Organizational Psychologist | Change Consultant | Leadership and Career Coach | Thought Partner | Accountability Ally | Creating value by connecting people, information, and ideas, to accomplish strategic results Professional experience spans roles as an organizational psychologist, coach, consultant, leader in technology, healthcare, professional services, public sector.

Women Who Express Anger Seen as Less Influential

Jessica Salerno

Jessica Salerno

Men who expressed anger were more likely to influence their peers, found Arizona State University’s Jessica Salerno and Liana Peter-Hagene of University of Illinois, in their study of computer-mediated mock jury proceedings.
In contrast, women who expressed anger were seen as less influential, reinforcing trends reported in a previous blog post.

Liana Peter-Hagene

Liana Peter-Hagene

More than 200 U.S. jury-eligible volunteers reviewed opening arguments and closing statements, eyewitness testimonies, crime scene photographs, and an image of the alleged weapon in a homicide.

Participants made individual verdict choices, then exchanged instant messages by computer, with “peers” who were said to be deliberating their verdict decisions.

In fact, “peer” messages were scripted, with four of the fictional jurors agreeing with the participant’s verdict, and one disagreeing.
The dissenting participant had a male user name or a female user name or a gender-neutral name.

Victoria Brescoll

Victoria Brescoll

Half of the dissenting messages contained no emotion, anger, or fear, and these communications had no influence on participants’ opinions.

However, participants’ confidence in their verdict decision significantly dropped when a single “male dissenter” sent angry messages, characterized by “shouting” in all capital letters.
Confidence in the verdict decision dropped even when the vote was shared by the majority of other “jurors.”
This finding suggests the persuasive impact of a single male dissenter’s angry communication.

In contrast, volunteers became more confident in their initial verdict decisions when their vote was echoed by the majority of other participants.

This confidence was was maintained when a single female dissenter responded with angry emotional message, suggesting that “female” anger was less influential.
“Women’s” dissent seemed to reinforce conviction in the shared decision.

Eric Luis Uhlmann

Eric Luis Uhlmann

Male and female evaluators conferred lower status on angry female professionals compared with angry male professionals in research by Yale University’s Victoria Brescoll and Eric Luis Uhlmann, now of INSEAD.
Evaluators assigned lower status to female CEOs and to female trainees when they expressed anger.

Kristi Lewis Tyran

Kristi Lewis Tyran

Men who expressed anger in a professional context were conferred higher status than men who expressed sadness.
Likewise, women who expressed anger and sadness were rated less effective than women who shared no emotion, according to Kristi Lewis Tyran of Western Washington University.

Evaluators judged men’s angry reactions more generously, attributing these emotional expressions to understandable external circumstances, such as having external pressure and demands.

These differing judgments of emotional expression suggest that women’s anger is more harshly evaluated because anger expressions deviate from women’s expected societal, gender, and cultural norms.

-*What impacts and consequences have you observed for women and men who express anger at work?

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©Kathryn Welds

Fewer US Employees Have Workplace Friendships Compared with Other Countries

Workplace friendships positively affect task performance, yet Americans claim fewer friendships at work than employees in other countries.
The result could be reduced productivity and competitive disadvantage for U.S. companies in world markets.

Karen Jehn

Karen Jehn

Teams composed of friends outperformed acquaintance groups in decision making and effort tasks, reported University of Melbourne’s Karen A. Jehn and Priti Pradhan Shah of University of Minnesota.

Likewise, workplace friendships and coworker support were associated with more effective performance in a meta-analytic study of more than 160 groups with nearly 78,000 employees by David A. Harrison of University of Texas and colleagues.

Even employees’ perceptions of workplace friendship opportunities directly affected job involvement and job satisfaction.

Christine M. Riordan

Christine M. Riordan

These perceptions indirectly affected organizational commitment and turnover intent among more than 170 employees in a small electric utility, reported Adelphi University’s Christine M. Riordan and Rodger W. Griffith of Ohio University.

Olenka Kacperczyk

Olenka Kacperczyk

However, fewer than one-third of Americans reported having a close friend at work, one indicator of employee engagement according to The Gallup Organization.
More importantly, workplace friendships have significantly declined over the past 3 decades in the U.S, but continue to be strong social connections in Polish and Indian organizations, found MIT’s Olenka Kacperczyk with Jeffrey Sanchez-Burks, and Wayne E. Baker of University of Michigan in an unpublished working paper.

Jeffrey Sanchez-Burkes

Jeffrey Sanchez-Burkes

They conducted surveys across the U.S., Poland, and India and determined that fewer than one-third of Americans reported inviting their closest colleagues to their homes, compared with two-thirds of Polish participants and nearly three-quarters Indian employees.

The discrepancy among groups in amount of off-work time spent with workplace friends is dramatic:  Just under half of Indian survey volunteers reported going on vacation with closest co-workers, whereas one-quarter of Polish workers and only 6% of Americans said they shared a holiday with colleagues.

Richard Nisbett

Richard Nisbett

Americans were also significantly less concerned with social interactions during work tasks, compared with Mexican and Mexican-American participants, found University of Southern California’s Jeffrey Sanchez-Burks with Richard E. Nisbett and Oscar Ybarra of University of Michigan.

Oscar Ybarra

Oscar Ybarra

After volunteers from each cultural background watched a four-minute video of two people working together, Mexicans and Mexican Americans more accurately recalled social and emotional group content.

Mexicans and Mexican Americans also preferred workgroups with a strong interpersonal orientation, and said that group work performance could be improved by focusing on socio-emotional elements.

Robert D. Putnam

This focus on socio-emotional performance more greatly influenced group task success than the group’s ethnic composition.
This suggesting that Americans’ trend toward social disengagement, described asbowling alone’ by Harvard’s Robert D. Putnam, could undermine their productivity.

Adam Grant

Adam Grant

One explanation for national differences is that in the U.S., long-term employment is less secure than in countries with labor protection statues.
As a result, people can’t expect to stay indefinitely in one role, so remain detached to prepare for voluntary or involuntary job changes.
In fact, Wharton’s Adam Grant argued that “We view co-workers as transitory ties, greeting them with arms-length civility while reserving real camaraderie for outside work.”

Some observers attribute interpersonal disengagement to newer models of working, such as telecommuting and working remotely.

Ravi S. Gajendran

Ravi S. Gajendran

However, evidence from more than 45 studies of at least 12,000 employees that “telecommuting had no generally detrimental effects on the quality of workplace relationships,” particularly when people came to an office at least half the time, according to University of Illinois’s Ravi S. Gajendran and David A. Harrison of University of Texas.

Even if workplace relationships don’t become friendships, brief encounters can be high-quality connections characterized by respect, trust and mutual engagement.

Jane Dutton

Jane Dutton

These interactions energize participants, posited University of Michigan’s Jane E. Dutton, and may address potential decreases in employee engagement and collaborative productivity.

-*To what extent do you have strong workplace friendships?

-*How have you seen workplace friendships affect work quality and productivity

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©Kathryn Welds

Lonely People Increase Social Skills, Reduce “Choking” by Reframing Anxiety

Julianne Holt-Lundstad

Julianne Holt-Lundstad

Loneliness increases mortality risk by 26 percent, comparable to health risks of obesity, cigarette smoking, and excessive alcohol use, according to Brigham Young University’s Julianne Holt-Lunstad, Timothy B. Smith, Mark Baker, Tyler Harris, and David Stephenson.
Besides triggering emotional discomfort, loneliness harms people’s health.

Timothy Smith

Timothy Smith

Loneliness and social isolation differ.
Some people report feeling lonely in the presence of others, whereas socially isolated people may not report loneliness.
However, both loneliness and social isolation increased risk for mortality in a meta-analysis of more than 3 million participants in studies of loneliness, social isolation, and living alone.

Megan Knowles

Megan Knowles

Lonely individuals benefitted more from learning to cope with social performance anxiety than from developing social skills, in studies by Franklin & Marshall College’s Megan L. Knowles, Gale M. Lucas of University of Southern CaliforniaFlorida State University’s Roy Baumeister, and Wendi L. Gardner of Northwestern.

Gale M. Lucas

Gale M. Lucas

More than 85 volunteers completed a loneliness self-report, then identified emotions on computer-presented faces.
Self-described lonely people out-performed non-lonely people when social sensitivity tasks were described as measures of academic aptitude.

Roy Baumeister

However, lonely participants performed worse when tasks were presented as tests of social aptitude.
These volunteers also reported difficulty forming and maintaining friendships, suggesting that social anxiety leads to “choking” in social “performance” situations.
The result is continued loneliness.

Wendi Gardner

Wendi Gardner

Lonely people may be more socially competent than the non-lonely: They were more skilled at remembering social information in studies by Northwestern’s Wendi L. Gardner, Cynthia L. Pickett of University of California Davis, and Ohio State University’s Marilynn B. Brewer.
The team assessed social recall by presenting volunteers with a simulated computer chat task that provided brief acceptance or rejection experiences, then a diary containing both social and individual events.

Cynthia L. Pickett

Cynthia L. Pickett

When social anxiety could be reattributed feelings to an external cause , it was associated with increased performance.
Volunteers consumed a non-caffeinated energy beverage and learned that jitters they might experience resulted from the “caffeine” they’d just consumed.
This explanation provided a plausible but false rationale for anxious feelings.

Alison Wood Brooks

Alison Wood Brooks

Similarly, Harvard’s Alison Wood Brooks found that reframing nervousness as “excitement” helped people perform better on stressful tasks.

An additional coping approach for lonely people is modifying personal mindsets following social loss cues.

Carol Dweck

Carol Dweck

Fixed mindset, identified by Stanford’s Carol Dweck, is a belief that personal capabilities are limited to present capacities.
This perspective is similar to
security-oriented, prevention-focused behaviors of lonely people observed by University of Southern California’s Lucas with Knowles, Gardner, Daniel C. Molden and Valerie E. Jefferis of Northwestern.
This mindset can lead to fear, anxiety, protectiveness and guardedness.

Daniel Molden

Daniel Molden

In contrast, growth mindset is similar to promotion-focused responses like attempts at social engagement.
This developmental mindset holds that personal capabilities can expand based on commitment, effort, practice, instruction, and correcting mistakes.
This view enables teamwork, collaboration, and social interaction.

Marilynn Brewer

Marilynn Brewer

To demonstrate these effects, Lucas’s group gave volunteers either subtle cues of acceptance or rejection.
People who received positive primes were more likely to develop a promotion-focused growth mindset.
These participants also reported more effective social thoughts, intentions, and behaviors.

People who experience social anxiety and loneliness can reduce social avoidance by reframing discomfort as “excitement” and by embracing learning and new experiences in a growth mindset.

-*How do you manage loneliness?

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©Kathryn Welds

 

Coping or Complacency? Rationalization Instead of Behavior Change Is Learned Early

Sigmund Freud, Ernest Jones

Rationalization was described by Freud biographer and psychoanalyst Ernest Jones as an unconscious maneuver to provide plausible explanations that manages unacceptable behavior, motives, or feelings.

Gil Diesendruck

This tactic was observed among children as young as ages four to six, by Bar-Ilan University’s Avi Benozio and Gil Diesendruck.
They suggested that these children had already learned to “reframe” disappointing circumstances to reduce uncomfortable cognitive dissonance, described by New School’s Leon Festinger.

Leon Festinger

In Benozio’s and Diesendruck’s experiments, children three, four, five and six years old completed tasks in exchange for adhesive stickers that varied in attractiveness to each age group.

The participants could invest considerable effort or minimal work in activities ranging from reporting current age to closing eyes and counting “as far as possible,” then counting five more.
The children were permitted to keep these prizes or to give them to an unidentified person.

Six year olds who invested substantial effort to obtain attractive rewards were less likely to relinquish stickers to others.
However, four year olds did not give up these attractive prizes. 

Elliot Aronson

When six year olds applied significant effort to obtain less desirable rewards, they also distributed fewer to others, but their reasoning differed.
They adjusted their appraisal of the less attractive stickers, judging these prizes as more appealing.
In contrast, four year olds discarded stickers rather than bolstering the value of the stickers they had.

Aesop

These differences suggest that these children learn to rationalize by age six and this strategy persists among adults, found Stanford’s Elliot Aronson and the U.S. Army’s Judson Mills.
Their studies validated Aesop‘s observation of “sweet lemons” and “sour grapes” in the well-known fable The Fox and the Grapes.

To check errors in inferring preference and rationalization from this type of study, UCLA’s Johanna M. Jarcho and Matthew D. Lieberman with Elliot T. Berkman of University of Oregon conducted fMRIs while participants completed decisions to test attitude change linked to cognitive dissonance.

Joanna Jarcho

Joanna Jarcho

Brain activity showed significantly increased a rapid reappraisal pattern used in emotional regulation, suggesting that rationalization may be an automatic coping mechanism rather than an unconscious defense mechanism.

Reinhold Niebuhr

Reinhold Niebuhr

Benozio and Diesendruck warned that this adaptive capacity could lead to complacent acceptance instead of working to change negative circumstances, articulated in the well-known Serenity Prayer attributed to Yale’s Reinhold Niebuhr:

…grant me the serenity to accept the things I cannot change,
The courage to change the things I can,
And the wisdom to know the difference.

-*To what extent is rationalization a logical error?
-*How effective is rationalization as an emotional regulation strategy?

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Workplace Incivility is Contagious, Damaging

James Bartlett

James Bartlett

Workplace incivility has numerous negative consequences including reduced employee engagement and productivity, according to North Carolina State University’s James E. Bartlett and Michelle E. Bartlett with Florida Atlantic University’s Thomas G. Reio.

Trevor Foulk

Trevor Foulk

Rudeness in the workplace is contagious and leads people to be vigilant for subsequent slights, reported University of Florida’s Trevor Foulk, Andrew Woolum, and Amir Erez.
They suggested that low-level workplace hostility enables similar behavior throughout the organization, leading to eroded culture and productivity.

Andrew Woolum

Andrew Woolum

Ninety volunteers practiced negotiation with partners, and those who rated their initial negotiation partner as rude were more likely to be rated as rude by a subsequent partner.

This suggests that people assimilated and conveyed the first partner’s rudeness.
The effect persisted during the week between the first and second negotiations.

Amir Erez

Amir Erez

Foulk’s team presented staged interactions between an apologetic late-arriving participant and the study leader, who responded neutrally or rudely.
Then, volunteers completed a timed task to distinguish real words from nonsense words.

Participants who observed the leader’s rude response more quickly identified rude words in a task than participants who had observed the neutral interaction.
This suggests that observing rude interactions “primes” people’s awareness and sensitivity to future uncivil interactions.

Walter Mischel

Walter Mischel

People who witnessed rudeness were more likely to be rude to others, confirming the impact of observing aggression on future behavior, demonstrated  by Stanford’s Walter Mischel, Dorothea Ross and Sheila Ross.

Mischel's experiment with Bobo doll

Mischel’s experiment with Bobo doll

Foulk’s group also observed this priming effect when
volunteers watched a video of a rude workplace interaction, then answered a fictitious customer neutral-toned email.
Participants’ responses were more likely to be hostile than those who viewed a polite interaction before responding.

Rudeness will flavor the way you interpret ambiguous cues,” noted Foulk, who contended that harsh interactions can reduce collaboration and trust in the workplace.

-*How do you stop the spread of workplace incivility?

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Anxiety Linked to Risk of Behaving Unethically

Sreedhari Desai

Sreedhari Desai

Anxious people were more likely to act with self-interested unethical behavior in studies by University of North Carolina’s Sreedhari Desai and Maryam Kouchaki of Northwestern.

Maryam Kouchaki

Maryam Kou

Anxiety was also associated with increased threat perception and decreased concern about personal unethical actions in simulated subordinate–supervisor pairs.

Desai noted that “individuals who feel anxious and threatened can take on self-defensive behaviors and focus narrowly on their own basic needs and self-interest.
This can cause them to be less mindful of principles that guide ethical and moral reasoning – and make them rationalize their own actions as acceptable
.”

Charles Carver

Charles Carver

Engaging in unethical behaviors may offer more options and greater control over outcomes, found University of Miami’s Charles Carver and Michael Scheier of Carnegie Mellon.
Unethical behavior was also associated with feelings of greater autonomy and influence, particularly in ambiguous situations, according to Ohio State’s  Roy Lewicki.

Michael Scheier

Michael Scheier

People who violate ethical norms can experience a cheater’s high‘ instead of guilt, found University of Washington’s Nicole E. Ruedy, Celia Moore of London Business School, Harvard’s Francesca Gino, and Maurice E. Schweitzer of Wharton.

Roy Lewicki

Roy Lewicki

Cheaters in Ruedy’s research reported emotional uplift and self-satisfaction instead of guilt, and Paul Ekman of University of California, San Francisco referred to this exuberance among some cheaters as “duping delight.”

Nicole Ruedy

Nicole Ruedy

In Ruedy’s studies, nearly180 people completed a four-minute anagram task to earn $1 for every correctly unscrambled word.
Participants then rated current feelings from positive to negative, both before and after the task.

Celia Moore

Celia Moore

Volunteers’ actual answers on the task were compared from imprints between their answer sheets to determine which participants reported inaccurate results.

More than 40% of these volunteers wrote in additional answers to increase their earnings, and reported significantly positive feelings after cheating on the task.

Francesca Gino

Francesca Gino

Even when Ruedy’s team told volunteers that researchers knew participants may be providing inaccurate reports in an insoluble anagram task, more than half the participants reported implausibly high scores.

Cheaters had higher levels of positive affect even when confronted with the team’s awareness of their potential cheating.
They also showed higher levels of self-satisfaction and feeling clever, capable, accomplished, satisfied, and superior.

Earning more money didn’t add to the “cheater’s high,” suggesting a top threshold for positive feelings associated with cheating.

Maurice Schweitzer

Maurice Schweitzer

These findings suggest that organizational leaders can increase employee quality-of-life and diminish unethical workplace behaviors by clarifying roles, which reduces anxiety.

Leaders also can reduce employees’ anxiety by:

Paul Ekman

Paul Ekman:

  • Setting realistic expectations for employee workload,
  • Adopting Results Only Work Environment (ROWE) and flex time,
  • Emphasizing the value of experimentation, flexibility, and innovation.

-*How have you seen high-anxiety workplaces affect employees’ ethical judgment?

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Attractive Men May Appear More Competent, But May Not Be Hired

Sun Young Lee

Sun Young Lee

Previous blog posts documented bias in favor of attractive people for hiring, venture funding decisions, and positive impressions by others.

In contrast, capable yet less attractive individuals may encounter “workplace attractiveness discrimination,” reported Sun Young Lee of University College London, University of Maryland’s Marko Pitesa, Madan Pillutla of London Business School, and INSEAD’s Stefan Thau.

Marko Pitesa

Marko Pitesa

Their four studies found that people making employment decisions show systematic selection bias based on perceived attractiveness and organizational context.

This bias can occur when observers associate unrelated characteristics like gender, ethnicity, national origin and attractiveness, with expectations for behavioral performance (“status generalization”).

Murray Webster

Murray Webster

These associations may occur without conscious awareness or evidence, and can result in group inequalities, according to University of South Carolina’s Murray Webster and Martha Foschi.

James Driskell

James Driskell

In addition, these “status characteristics” significantly affected face-to-face interactions in group task studies by Webster and University of South Carolina colleague James Driskell.

Martha Foschi

Martha Fosch

Likewise, decision makers unconsciously associated attractiveness with competence in male but not in female candidates in one of Lee’s studies.

People’s choices of relational action based on perceived attractiveness are examples of “interpersonal interdependence,” according to UCLA’s Harold Kelley and John Thibaut of University of North Carolina.

John Thibault

John Thibault

Lee’s group tested these ideas by assigning male and female volunteers to simulated employment selection situations in which participants interviewed and provided “hiring recommendations” for “job candidates.”
Interviewers were told they would be collaborating for shared team rewards yet competing for recognition, promotions, commissions, and bonuses.

Madan Pillutla

Madan Pillutla

Volunteers evaluated two similar resumes accompanied by photos of an “attractive” applicant and an “unattractive” candidate.
Next, assessors answered questions about the person’s competence, likely impact on their own success, and their likelihood of recommending the candidate for the position.

When the decision-maker expected to cooperate with the candidate, male candidates perceived as more attractive were also judged as more competent, more likely to enable the evaluator’s career success, and were more frequently recommended for employment.

Stefan Thau

Stefan Thau

However, when decision makers expected to compete with the candidate, they perceived attractive male candidates as less capable.
Evaluators less frequently recommended attractive male candidates for employment, suggesting a systematic bias to preserve the evaluator’s place in the current workplace skill hierarchy.

Attractive and unattractive female candidates were judged as equally competent, but attractive male candidates were rated as much more competent than unattractive male candidates.

Three subsequent studies provided evaluators with candidates’ age, race, education and a manipulated headshot to consider in selecting their competitor or collaborator in a tournament task.
Decision-makers generally preferred attractive male or female candidates unless their personal outcomes were affected by the selection decision.

These studies suggest that attractiveness discrimination is “calculated self-interested behavior” in which men sometimes discriminate in favor and sometimes against attractive males.

-*How do you align with “calculated self-interest behavior” to mitigate bias?

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Plastic Surgery Changes Perceived Personality Traits

Michael J. Reilly

Michael J. Reilly

People often infer others’ personality attributes through visual observation, called facial profiling by Georgetown University Hospital’s Michael J. Reilly, Jaclyn A. Tomsic and Steven P. Davison, collaborating with Stephen J. Fernandez of MedStar Health Research Institute.
This cognitive shortcut can lead to biased impressions and limited opportunities for those unfavorably judged.

Jaclyn A. Tomsic

Jaclyn A. Tomsic

These researchers asked more than 24 raters to evaluate photographs of 30 different women who were “well-matched neutral facial expressions.

Each rater evaluated 10 images, including five photographs before the person had plastic surgery procedures and five images following surgical procedures which included:

  • Chin implant,
  • Eyebrow-lift,
  • Lower blepharoplasty (lower eye lift),
  • Upper blepharoplasty (upper eye lift),
  • Neck-lift,
  • Rhytidectomy (face-lift).

Steven Davison

The raters were unaware that some  had plastic surgery procedures, and they evaluated each photograph on a 7-point scale for perceived:

  • Aggressiveness,
  • Extroversion,
  • Likability,
  • Risk-seeking,
  • Social skills,
  • Trustworthiness,
  • Attractiveness.

Michael Reilly-Preoperative-Postoperative photos

These procedures resulted in cosmetic improvements to eyes and mouth, two regions crucial to expressing and interpreting emotions.

Michael Reilly - Pre-Post 2Raters assigned higher scores for likability, social skills, attractiveness, and femininity to the images following plastic surgery compared with pre-surgery image ratings.

The research team concluded:
“The eyes are highly diagnostic for attractiveness as well as for trustworthiness which may explain why…patients undergoing lower (eyelid surgery) were found to be significantly more attractive and feminine, and had a trend toward improved trustworthiness...

“The corner of the mouth is the diagnostic region for both happy and surprised expressions and plays an important role in the perception of personality traits, such as extroversion.

“A subtle upturn of the mouth and fullness in the cheeks can make a person look more intelligent and socially skilled.

“This appearance may explain why patients undergoing a facelift procedure … are found to be significantly more likable and socially skilled postoperatively.”

Separately, volunteers attributed personality traits to neutral faces when they perceived a similarity to standard emotional expressions, reported Princeton’s Christopher P. Said and Alexander Todorov with Nicu Sebe of University of Trento.

Christopher P. Said

Christopher P. Said

Neutral faces rated as positive resembled typical facial expressions of happiness, whereas faces seen as negative resembled facial displays of disgust and fear.
Faces viewed as threatening resembled facial expressions of anger.
These trait inferences resulted from overgeneralization in emotion recognition systems, and might be inaccurate.

Nicu Sebe

Nicu Sebe

Faces that resemble typical emotional expressions can lead to misattributed personality traits and biased impressions.
These judgments can change for the better when a person’s appearance changes after plastic surgery.

-*To what extent do people’s personality traits seems different following plastic surgery?

-*How often are people treated differently following plastic surgery?

*What are ways to avoid confusing emotional expressions with personality traits?

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Reputation Affects Women’s Promotion, Earnings

Lily Fang

Lily Fang

Sterling Huang

Men gain greater reputation and job performance benefits from professional connections than women with equivalent or better education and job skills, according to INSEAD’s Lily Fang and Sterling Huang of Singapore Management University

Lauren Cohen

Lauren Cohen

Fang and Huang examined U.S. equity analysts’ alumni connections with senior officers and board members of up to eight companies, using an approach pioneered by Harvard’s Lauren Cohen, and Christopher Malloy with Andrea Frazzini, of AQR Capital Management.

Christopher Malloy

They considered analysts’:

  • Year-end earnings per share (EPS) forecasts,
  • Buy – sell stock recommendations from 1993 to 2009,
  • Price impact of their recommendations,
  • Selection to “All America Research Team” (AA) by Institutional Investor magazine during the same period.
    This recognition is based on the institutional investors’ subjective evaluation of each analyst’s industry knowledge, communication, responsiveness, written reports, and related skills.
Andrea Frazzini

Andrea Frazzini

Forecast accuracy is one of the least important selection criteria,.
As a result, skillful analysts may be overlooked as an “All America” member if they are not visible and well-regarded by decision-makers.

Connections directly contributed to male analysts’ likelihood of being named to the  “All America Research Team” (AA).
This relationship did not hold for female analysts, suggesting that investors subjectively value male analysts’ connections but not those of female analysts.
This difference leads to significant financial consequences for male and female analysts because those awarded the AA title earn around three times more than those without.

About 25% of women and men analysts shared a school tie with a senior officer or board member in the firms they cover, and these connections significantly improved men’s forecast accuracy more than women’s.
These connections also improved the impact of male analysts’ stock recommendations, measured by market reaction to their buy and sell calls.

Female analysts with a connection to a female executive at firms they covered had a highly significant improvement in accuracy ranking, yet male analysts with a male connection experienced almost twice as much accuracy improvement.

Herminia Ibarra

Herminia Ibarra

This significantly different impact of similar connections early in women’s and men’s careers could explain gender gaps that exist throughout long-term career trajectories.
This finding supports Herminia Ibarra’s similar results for men and women in an advertising firm, where men capitalized on network ties to improve their employment positions.

Women who are capable of executive roles at these Wall Street firms may remain in analytical roles because promotion to General Manager roles depends on subjective evaluations by current decision makers, who are usually men.

Fang and Huang concluded that despite mandated protections against gender discrimination in the U.S, men and women may be evaluated using different subjective criteria, even with the benefit of social connections.
This leads to differential career advancement for women and men.

Ronald Burt

Ronald Burt

These career-related social connections, or social capital, are affected by legitimacy, reputation, and network structures, argued University of Chicago’s Ronald Burt.
He noted that “holes” in a social network are entrepreneurial opportunities to add value, and Burt argued that women should have equal opportunities to fill network holes and increase their possibility of advancement.

However, he noted that “entrepreneurial networks linked to early promotion for senior men do not work for women” because women are not accepted as legitimate members of the population of highly promotable candidates.

Burt opined that women and minorities who succeed despite this disadvantage gain access to social capital by leveraging the network of a legitimate strategic partners.
This economic analysis may explain the powerful advantage of sponsors for women and minorities in the workplace.

-How do you identify and fill “structural holes in social capital networks”?

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Range Offers vs Point Offers in Negotiation for Advantageous Settlements

Daniel Ames

Daniel Ames

Many people hesitate to present a negotiation offer as a range of values, assuming that co-negotiators will anchor on the lower value in the range as a “reservation price.” 

This is based on the power of first offers as negotiation anchors, demonstrated in research by University of Chicago’s Nicholas Epley and Thomas Gilovich of Cornell.

Malia F Mason

Malia F Mason

Contrary to this expectation, range offers actually led to stronger outcomes in controlled studies by Columbia University’s Daniel R. Ames and Malia F. Mason. These researchers suggested that range offers provide “dual anchors” that signal a negotiator’s knowledge of value as well as politeness.

Nicholas Epley

Nicholas Eple

In addition, negotiator credibility, interpersonal style, and value awareness increase an anchor potency’s to influence settlement outcomes.

Thomas Gilovich

Thomas Gilovich

Range and point opening offers have varying impacts, depending on the proposer’s perceived preparation, credibility, politeness, and reasonableness.

Ames and Mason tested three types of negotiation proposal ranges:

  • Bolstering range, which includes the target point value as the bottom of the range and an aspirational value as the top of the range.
    This strategy usually yields generous counteroffers and higher settlement prices.
    This approach is recommended based on this research.
  • Backdown range, which features the target point value as the upper end of the range and a concession value as the lower offer.
    This approach often leads to accepting the lower value and is generally not recommended.
  • Bracketing range, which spans the target point offer and tends to have neutral settlement outcomes for the offer-maker.
    Compared with point offers, bracketing range offers provided some relational benefits because they were seen as less aggressive.
Martin Schweinsberg

Martin Schweinsberg

Extreme anchors can be seen as offensive, and may lead to negotiation breakdown, according to INSEAD’s Martin Schweinsberg with Gillian Ku of London Business School, collaborating with Cynthia S. Wang of University of Michigan, and National University of Singapore’s Madan M. Pillutla.
In fact, even negotiators with little power in their studies were more likely to walk away from extreme anchors.
Likewise, high-power negotiators said they were offended by extreme anchors.

Gilliam Ku

Gilliam Ku

Previously, Mason and team showed the benefit of precise single number offers, and the current research shows the value of range offers.

Mason and team argued that point offers and range offers are independent and interactive informational processes with influence on settlement values:
“…bolstering-range offers shape the perceived location of the offer-maker’s reservation price, (and) precise first offers shape the perceived credibility of the offer-maker’s price proposal.

  • When do you prefer to present a precise, non-rounded negotiation offers instead of a negotiation range?

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