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Character vs. Situation in Management: Balancing System 1 and System 2 Thinking Essay

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Introduction

The character vs. situation debate is essential for managers because it helps them understand the importance of nature and situation in a person’s life. Character refers to the moral values, beliefs, and behaviors an individual has learned. These include things like honesty, respect, compassion, and responsibility.

On the other hand, situation refers to how people live their lives – such as their family members or friends they have formed relationships with over time. Another essential quality for a manager is balancing two main types of thinking- System 1 thinking and System 2 thinking. Pursuing a balance between the abovementioned concepts is vital for an efficient manager.

Character and Situation

To effectively inspire their employees, managers must identify what motivates each employee individually. Here, understanding character and situation comes into play because each person will respond differently based on their positive or adverse life experiences (Nohria et al., 2018). For instance, a salesperson who has repeatedly received rewards for their efforts may favorably react when praised.

In contrast, someone who has not received many awards may not feel motivated by this type of reinforcement from their manager. However, a salesperson who just lost their mother could be more likely to accept compliments favorably. Despite this, someone who recently broke up with their partner might not find this sort of encouragement from their boss motivating.

Another way managers can help improve employee morale is by recognizing when an employee needs some alone time – physical space away from distractions. This way, they can focus on work, representing the character, or some emotional support to better deal with stress while working, meaning the situation (Nohria et al., 2018). When employees can recognize these situations within themselves and act accordingly, it helps them maintain high levels of motivation at work, ultimately leading to higher productivity overall.

Conversely, suppose employees do not recognize these situations within themselves. In that case, they will struggle with maintaining motivation at work – which ultimately reduces overall productivity levels and lowers employee morale.

System 1 and System 2 Types of Thinking

System 1 is an automatic form of thinking that occurs quickly and without much effort or concentration. Because it occurs outside of one’s consciousness, it might be regarded as an unconscious, quick, automatic, and intuitive cognition process (Nohria et al., 2018). One may use this thinking when trying to solve a problem quickly or when they are under stress or pressure.

System 2 thinking, on the other hand, is slower, deliberate, and analytical, and is best suited to more complicated circumstances where a hasty judgment might be disastrous (Nohria et al., 2018). For example, if a person needs to remember a phone number quickly, they could use System 1 because it will come to mind faster than if they tried to place it using the System 2 thought process, which takes more effort.

Another example would be if one was driving on the freeway and got into an accident. A person’s first reaction might be to panic rather than calmly assess the situation and figure out what happened so that one can act to avoid further accidents from happening in the future. Using both types of thinking, the manager can more effectively cope with the tasks.

To give an example from the management environment, a situation where a conflict has arisen between subordinates that developed into a brawl, a manager should use System 1. Moreover, to decide on the dismissal of an employee, it would be best to make a more informed decision using System 2.

Conclusion

The management field contains many conventions and ways to solve situations. In solving problems, the manager should rely on different methods of thinking and approaches to the case. Finding solutions can be systematized due to the concepts described above.

Thus, it will be possible to solve problems using a scientific method and not rely on intuition or emotions. Despite this, depending on the situation, it might be necessary to consider employees’ feelings, as they affect their efficiency.

Reference

Nohria, N., Sucher, S. J., Badaracco J., & Gurtler, B. (2018). Note on Human Behavior: Situation versus Character. Harvard Business School Case 9-316-078.

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IvyPanda. (2024, October 8). Character vs. Situation in Management: Balancing System 1 and System 2 Thinking. https://ivypanda.com/essays/character-vs-situation-in-management-balancing-system-1-and-system-2-thinking/

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"Character vs. Situation in Management: Balancing System 1 and System 2 Thinking." IvyPanda, 8 Oct. 2024, ivypanda.com/essays/character-vs-situation-in-management-balancing-system-1-and-system-2-thinking/.

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IvyPanda. (2024) 'Character vs. Situation in Management: Balancing System 1 and System 2 Thinking'. 8 October.

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IvyPanda. 2024. "Character vs. Situation in Management: Balancing System 1 and System 2 Thinking." October 8, 2024. https://ivypanda.com/essays/character-vs-situation-in-management-balancing-system-1-and-system-2-thinking/.

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IvyPanda. "Character vs. Situation in Management: Balancing System 1 and System 2 Thinking." October 8, 2024. https://ivypanda.com/essays/character-vs-situation-in-management-balancing-system-1-and-system-2-thinking/.

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