ORGANISATIONAL BEHAVIOUR

MBA 1.2

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ORGANISATIONAL BEHAVIOUR SYLLABUS UNIT 1 UNIT 2 UNIT UNIT 4 UNIT 5 UNIT 6 3 Introduction to Organisational Behaviour, Meaning; Global scenario. Elements; Need; Approaches; Models;

Individual Behaviour; Personality; Learning; Attitudes; Perception; Motivation; Ability; Their relevant organizational behaviour. Group dynamics; Group norms; Group cohesiveness; Group Behance to organizational behaviour. Leadership Styles; Qualities; Organisational communication; Meaning importance, process, barriers; Methods to reduce barriers; Principle of effective communication. Stress; Meaning; Types; Sources; Consequences; Management of stress. Power and Politics; Definition; Types of Powers; Sources; Characteristics; Effective use of Power. Organisational Dynamics; Organisational design; Organisational effectiveness; Meaning, approaches; Organisational culture; Meaning, significance; Organisational Climate; Implications on organizational behaviour. Organisational Change; Meaning; Nature; Causes of change; Resistance of change; Management of change; Organisational development; Meaning; OD Interventions.

REFERENCE BOOKS 1. Fred Luthans, Organisational Behaviour, McGraw Hill Book Co., 1995. 2. Stephen P. Bobbins, Organisational Behaviour, Prentice Hall, 1997. 3. Keith Davis, Human Behaviour at Wor/c,.-M.cGraw Hill Book Co., 1991. 4. Gregory Moorehead and R.S. Griffin, Organisational Behaviours: Managing People and Organisations, Jaico, 1994. 5. Judith R. Gordon, A Diagnostic Approach to Organisational Behaviour, Allyn & Bacon, 1993.

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CONTENTS

No. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20.

LESSON
INTRODUCTION TO ORGANISATIONAL BEHAVIOUR FOUNDATION OF ORGANISATIONAL BEHAVIOUR MODELS OF ORGANISATIONAL BEHAVIOUR GLOBAL SCENARIO OF ORGANISATIONAL BEHAVIOUR FOUNDATION OF INDIVIDUAL BEHAVIOUR PERSONALITY LEARNING AND BEHAVIOUR MODIFICATION ATTITUDE AND PERCEPTION MOTIVATION AND BEHAVIOUR JOB SATISFACTION GROUP DYNAMICS GROUP CONFLICT ORGANISATIONAL COMMUNICATIONS LEADERSHIP IN ORGANISATIONS STRESS MANAGEMENT POWER AND POLITICS ORGANISATIONAL DESIGN ORGANISATIONAL CULTURE AND CLIMATE. ORGANISATIONAL EFFECTIVENESS MANAGEMENT OF CHANGE CASE ANALYSIS

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and application of the time-tested micro-variables. a broad model. It provided a scientific rationale for job specialization and mass production.W. The impact of information technology. his theory was criticized by many employers and workers. The organizational behaviour is a delicate and complex process. There are many solutions being offered to deal with these complex challenges. the human problems that the management is facing are relatively easy to solve. total quality and diversity are some of the bitter realities that the managers are facing today. If such assumptions are accepted. #4 . selecting and training the best workers for the job arid making sure that the workers follow the prescribed method of doing the job. Sam was once asked the key to successful organizations and management. by the philosophy and science historian Thomas Khun. global competition. Most managers think that their employees are lazy. But human behaviour at work is much more complicated and diverse. conceptual and human. The term paradigm comes from the Greek word 'paradigma'. While science and technology is predictable. Critics worried that the methods took the humanity out of labor. Sam quickly replied. Workers objected to the pressure of work as being harder and faster. and that if you could make them happy in terms of money. Yet the simple but most profound solution may be found in the words of Sam Walton. The new perspective assumes that employees are extremely complex and that there is a need for theoretical understanding given by empirical research before applications can be made for managing people effectively. The technical dimension consists of the manager's expertise in particular functional areas. One must know why management needs a new perspective to meet the environmental challenges and to shift to a new paradigm. understanding. a framework.LESSON – 1 INTRODUCTION TO ORGANIZATIONAL BEHAVIOUR Learning Objectives After reading this lesson. Therefore. This is because it arises from deep needs and value systems of people. reengineering and benchmarking. dynamics and macro-variables. pattern or example". Taylor at the beginning of the 20th century. If one aims to manage an organization. the term "paradigm" is now used as. MODERN APPROACH TO ORGANIZATIONAL BEHAVIOUR The modern approach to organizational behaviour is the search for the truth of why people behave the way they do. But the practicing managers ignore the conceptual and human dimensions of their jobs. They know the requirements of the jobs and have the functional knowledge to get the job done. Yet. His assumption was that employees are motivated largely by money. NEW PARADIGM The organizational behaviour has a goal lo help the managers make a transition to the new paradigm. reducing workers to machines responding to management incentives. you should be able to understand: • • • • The major environmental challenges and the paradigm shift that the management faces today The management perspective of organizational behaviour The historical background of modern organizational behaviour The modern approach to organizational behaviour The knowledge and information explosion. which means ''model. Taylor advised managers to pay monetary incentives to efficient workers. "People are the key". HISTORICAL BACKGROUND FOR MODERN ORGANIZATIONAL BEHAVIOUR Scientific Management Approach Scientific management approach was developed by F. Some of the new paradigm characteristics include coverage of second-generation information technology and total quality management such as empowerment. and are interested only in money. Taylor's view is now considered inadequate and narrow due to the points given by the critics. and learning organization for managing diversity of work. A NEW PERSPECTIVE FOR MANAGEMENT Management is generally considered to have three major dimensions—technical. the human behaviour in organization is rather unpredictable. and a scheme for understanding reality. total quality and diversity mentioned earlier has led to a paradigm shift. they would be productive. Organization is the combination of science and people. a way of thinking. To increase the output. This theory supported the use of certain steps in scientifically studying each element of a job. The new paradigm sets the stage for the study. it is necessary to understand its operation. the richest person in the world and the founder of Wal-Mart. First introduced over thirty years ago.

But their impact on the emerging field of organizational behaviour was dramatic. APPROACHES TO ORGANIZATIONAL BEHAVIOUR There are mainly four approaches to organizational behaviour. This approach is also known as 'supportive approach' because the manager's primary role changes from control of employees to providing an active support for their growth and performance. Instead of trying to make each worker more efficient. The findings of these studies were given a new name 'human relations' the studies brought out a number of findings relevant to understanding human behaviour at work. classical organization theory sought the most effective overall organizational structure for workers and managers. However. a group of professors began an enquiry into the human aspects of work and working conditions at the Hawthorne plant of Western Electric Company. Chicago. their views were criticized on the ground that both approaches ignored worker's humanity. Hawthorne studies have been criticized for their research methods and conclusions drawn. the organization requires 'inputs' from the environment in the form of raw material. Within the organization 'people' employ 'technology' in performing the 'task' that they are responsible for. proposed a 'bureaucratic form' of structure. logical approaches to more efficient productivity. Henry Ford. while the 'structure' of the organization serves as a basis for co-ordinating all their different activities. Organizations arc dependent upon their surrounding environment in two main ways: First. This approach help employees become better in terms of work and responsibility and then it tries to create a climate in which they can contribute to the best of their improved abilities. people. Although there were varied and complex reasons for the emerging importance of behavioral approach to management. It is often measured in terms of economic inputs and outputs. The systems view emphasizes the interdependence of each of these elements within the organization. creativity and fulfillment. it helps to use all the current knowledge about people in the organization in the most appropriate manner.. The strength of this approach is that it encourages analysis of each situation prior to action. They helped usher in a more humanity centered approach to work. Henry Fayol and Frederick W. recognized the behavioral side of management. economic. as Taylor and Weber brought attention with their rational. He made the naive assumption that one structure would work best for all organizations. But besides economic inputs and outputs. Systems Approach A system is an interrelated part of an organization or a society that interacts with everyone related to that organization or society and functions as a whole. cultural and political environment within which they operate. Hawthorne Studies Even. The Human element in the workplace was considerably more important. The real beginning of applied research in the area of organizational behaviour started with Hawthorne Experiments. ideas and so on. Taylor. Weber's idea! bureaucracy was . logical. Productivity Approach Productivity is a ratio that compares units of output with units of input. which he thought would work for all organizations. The other key aspect of the systems view of organization is its emphasis on the interaction between the organization and its broader environment. The theory's most prominent advocate. Each situation must be analyzed carefully to determine the significant variables that exist in order to establish the more effective practices. Productivity is considered to be improved. if more outputs can be produced from the same amount of inputs. which consists of social. money. the early management pioneers. In 1924. They are: • Human resources approach ' • Contingency approach • Productivity approach • Systems approach Human Resources Approach The human resources approach is concerned with the growth and development of people towards higher levels of competency.Bureaucratic Approach While scientific management was focusing on the interaction between workers and the task. if the organization as a whole is to function effectively. Max Weber. The organization #5 . A Contingency Approach A contingency approach to organizational behaviour implies that different situations require different behavioral practices for effectiveness instead of following a traditional approach for all situations. they did not emphasize the human dimensions. it is generally recognized that the Hawthorne studies mark the historical roots for the field of organizational behaviour. rational and efficient. human and social inputs and outputs also arc important. The workers are influenced by social factors and the behaviour of the individual worker is determined by the group. Thus. because people are the central resource in any organization. me researchers were studying how to structure the organization more effectively.

particularly related to the human behavioral aspect. group influence and social and cultural factors. The systems view of organization thus emphasizes on the key interdependencies that organizations must manage. In fact. the organization depends on environment such as. it addresses issues. It is based on the belief that needs and motivation of people are of high' concern. creative. Normative and Value Centered Organizational behaviour is a normative science. personal development. Interdisciplinary Approach Organizational behaviour is basically an interdisciplinary approach. what is acceptable by the society or individuals engaged in an organization is a matter of values of the society and people concerned. It draws heavily from other disciplines like psychology. which may be relevant to the case. Humanistic and Optimistic Organizational behaviour focuses the attention on people from humanistic point of view. LESSON –2 #6 . concepts and processes in this field of study. It is yet to become a science. and career development affect individual's behaviours and attitudes? • What motivates people to work.itself can be thought of as performing certain 'transformation' processes. individual's nature is quite complex and organizational behaviour by applying systems approach tries to find solutions for this complexity. Further. it also takes relevant things from economics. A Total System Approach An individual's behaviour can be analyzed keeping in view his psychological framework. Besides. Organizational behaviour integrates the relevant contents of these disciplines to make them applicable for organizational analysis. such as the following: • What facilitates accurate perception and attribution? • What influences individual. Secondly. organizational behaviour tries to integrate both individual and organizational objectives so that both are achieved simultaneously. e. does the organizational reward system influence worker's behaviour and attitudes? • How do managers build effective teams? • What contributes to effective decision-making? • What are the constituents of effective communication? • What are the characteristics of effective communication? • How can power be secured and used productively? • What factors contribute to effective negotiations? • How can conflict (between groups or between a manager and subordinates) be resolved or managed? • How can jobs and organizations be effectively designed? • How can managers help workers deal effectively with change? An Applied Science The basic objective of organizational behaviour is to make application of various researches to solve the organizational problems. technology and structure in order to perform their transformation processes effectively and efficiently. public to accept its output. interpersonal-orientation. Thus. Oriented towards Organizational Objectives Organizational behaviour is oriented towards organizational objectives. Now efforts are being made to synthesize principles. Thus. and how. law and history. Within themselves the organizations must trade off the interdependencies among people. group and organizational learning and the development of individual attitudes toward . Organizations must also recognize their interdependence with the broader environments within which they exist. sociology and anthropology. A normative science prescribes how the various findings of researches can be applied to get organizational results. which are acceptable to the society. predictive and capable of contributing positively to the objectives of the organization. political science.work? • How do individual differences in personality. there is optimism about the innate potential of man to be independent. CONTEMPORARY ORGANIZATIONAL BEHAVIOUR A Separate Field of Study Organizational behaviour can be treated as a distinct field of study.g. on its inputs in order to create outputs in the form of products or services. tasks.

own or in collaboration with technology. #7 . feelings. in 'their own jobs. This definition covers wide variety-of groups such as businesses. and without people there would be no organisations. understanding a group that is made up of different individuals and comprehending the many relationships among those individuals is even more complex. and the organisation itself. Organisational behaviour can then be defined as: "The study of human behaviour in organisational settings. Ultimately.FOUNDATION OF ORGANISATIONAL BEHAVIOUR Learning Objectives After reading this lesson. the organisation and the (interface between the two. which require further analysis. to ''predict'" what behavioural responses will be elicited by various managerial actions and finally to use this understanding and these predictions to achieve "control". they must first understand the people who make up the organisations. the organisation's work gets done through people." The above definition has three parts—the individual behaviour. which takes place in organisations. if managers are to understand the organisations in which they work. MEANING AND DEFINITION OF ORGANISATIONAL BEHAVIOUR Organisational behaviour is concerned with people's thoughts. groups and organisations. This simple definition explains the significance of the role of people. Understanding an individual behaviour is in itself a challenge. They are as follows: • Social Inventions: The word "social" as a derivative of society basically means gathering of people. The work will not be done unless "people" want to do the work and if the work is not done then there will be no organisation. "Understanding one individual's behaviour is challenging in and of itself. • Group Effort: People. Accordingly. While the primary goal .of any commercial organisation is to make money for its owners. the on-going behavioural processes involved. "Organisations are social inventions for accomplishing goals through group efforts". emotions and actions in setting up a work. Individuals in themselves have physical and intellectual limitations and these limitations can only be overcome by group efforts. you should be able to: • • • Define and explain the meaning of organizational behaviour Understand the nature and importance of organizational behaviour Relate the organizational behaviour to manager’s job DEFINITION OF MANAGEMENT Management is commonly defined as "Getting work done through other people". attitudes and other personal characteristics and these characteristics of all individuals must interact with each other in order to create organisational settings. organisations are people. Thus. any organisational goal must integrate in itself the personal goals of all individuals associated with the organisation. The organisational behaviour is specifically concerned with work-related behaviour. managers must understand the basic human element of their work. individually or collectively. Therefore. the interface between human behaviour and the organisational context. There are three significant aspects in the above definition. These reasons are the goals towards which all organisational efforts are directed. people as organisations. Organisational behaviour offers three major ways of understanding this context. the management of organisational behaviour is central to the management task—a task that involves the capacity to "understand" the behaviour patterns of individuals. on their. government agencies and so on. Hence. this goal is inter-related with many other goals. fraternal groups. It is the people that primarily make up an organisation. • Accomplishing Goals: All organisations have reasons for their existence. people as resources and people as people. the cooperation of the workers is crucial to the success or failure of the organisation. both as members of the society at large and as a part of an organisation interact with each other and are inter-dependent. religious bodies. values. but understanding group behaviour in an organisational environment is a monumental managerial task. DEFINITION OF ORGANISATION According to Gary Johns. In addition to understanding. Each individual brings to an organisation a unique set of beliefs. hospitals. Above all. schools. As Nadler and Tushman put it.

The organisation is also affected by the presence and eventual absence of the individual. • Structure: Structure defines the formal relationships of the people in organisations. In considering the people working in an organisation. organisational behaviour must look at the unique perspective that each individual brings to the work setting. co-workers. the organisation itself represents a crucial third perspective from which to view organisational behaviour. It allows people to do more and work better but it also restricts' people in various ways. All of these mutually influence each other in a complex system that creates a context for a group of people. the characteristics and processes that are part of the organisation itself. They have a right to expect satisfaction and to learn new skills. it will become more and more important for managers and employees to grasp the complexities of organisational behaviour. An organisation. the individual.an argument derived from the simple notion of humanistic management. The groups may be big or small. Thus. They consist of individuals and groups. the organisation influences and is influenced by individuals. They come in contact with other individuals and the organisation in a variety of ways. and vitalise and revitalise it. people are one of the organisation's most valuable assets. NEED FOR STUDYING ORGANISATIONAL BEHAVIOUR The rules of work are different from the rules of play. family and other organisations. as a function of both the personal experiences and the organisation. More specifically. It is the part of a larger system that contains many other elements such as government. 'and the characteristics and behaviours directly resulting from people with their individual needs and motivations working within the structure of the organisation. Finally. organisational behaviour serves three purposes: • What causes behaviour? • Why particular antecedents cause behaviour? • Which antecedents of behaviour can be controlled directly and which are beyond control? A more specific and formal course in organisational behaviour helps an individual to develop more refined and workable sets of assumption that is directly relevant to his work interactions. too. there is people as people . the study of organisational behaviour must consider the ways in which the individual and the organisation interact. Over time. • Environment: All organisations operate within an external environment. Groups are dynamic and they work in the organisation to achieve their objectives. official or unofficial. formal policies and procedures of the organisation. experiences from other organisation.As resources. technology and the environment in which the organisation operates. NATURE OF ORGANISATIONAL BEHAVIOUR Each individual brings to an organisation a unique set of personal characteristics. People make the decisions. Clearly. Different people in the organisation are performing different type of jobs and they need to be (elated in some structural way so that their work can be effectively co-ordinated. mostly as employees. Organisational behaviour is concerned with the characteristics and behaviours of employees in isolation. The uniqueness of rules and the environment of organisations forces managers to study organisational behaviour in order to learn about normal and abnormal ranges of behaviour. The technology used has a significant influence on working relationships. organisational settings. guide and direct its course. Thus. the environment surrounding the organisation and1 they also posses a personal background. People create the organisation. exists before a particular person joins it and continues to exist after he leaves it. An understanding of organisational behaviour can help the manager better appreciate the variety of individual needs and' expectations. formal or informal. and various changes implemented by the organisation. solve the problems. People spend a large part of their lives in. he cannot understand how the organisation operates without. structure. One cannot understand an individual’s behaviour completely without learning something about that individual's organisation. Similarly. Organisational behaviour helps in #8 . Points of contact include managers. As managers increasingly recognise the value of potential contributions by their employees. and answer the questions. • People: People make up the internal and social system of the organisation. characteristically. studying the people who-make it up. • Technology: Technology such as machines and work processes provide the resources with which people work and affects the tasks that they perform. They have a right to expect something in return beyond wages and benefits. But individuals do not work in isolation. changes. ELEMENTS OF ORGANISATIONAL BEHAVIOUR The key elements in the organisational behaviour are people..

Therefore. motives. interpersonal level. group level and inter-group level. cohesion. It is only the intelligent judgement of the manager in dealing with a specific issue that can try to solve the problem. Inter-group Level: The organisation is made up of many groups that develop complex relationships to build their process and substance. the communication must be effective. Organisational behaviour only assists in making judgements that are derived from tenable assumptions. #9 .. which are formally defined by the organisation. communication and building organisational climate favourable for better interaction. which then become a force in shaping human behaviour. Use of Power and Sanction: The behaviours can be controlled and directed by the use of power and sanction. IMPORTANCE OF ORGANISATIONAL BEHAVIOUR Organisational behaviour offers several ideas to management as to how human factor should be properly emphasised to achieve organisational objectives. Barnard has observed that an organisation is a conscious interaction of two or more people. Organisational behaviour explains how various means of power and sanction can . Thus. social and cultural implications. organisational behaviour can be understood at the individual level. Inter-group relationship may be in the form of co-operation or competition. individuals and situations. organisational behaviour helps managers in controlling and directing in different areas such as use of power and sanction. • • • • Controlling and Directing Behaviour: After understanding the mechanism of human behaviour. blind spots and weaknesses. Understanding Human Behaviour Organisational behaviour provides understanding the human behaviour in all directions in which the human beings interact. Organisational behaviour provides opportunity to management to analyse human behaviour and prescribe means for shaping it to a particular direction. they should be given adequate importance in managing the organisation. hang-ups. they are often modified by group pressures. Thus. managers can adopt styles keeping in view the various dimensions of organisations. rotation of members among groups. Communication: Communication helps people to come in contact with each other. This suggests that since an organisation is Ihe interaction of persons.predicting human behaviour in the organisational setting by drawing a clear distinction between individual behaviour and group behaviour. Understanding the effect of group relationships is important for managers in today's organisation. Leadership: Organisational behaviour brings new insights and understanding to the practice and theory of leadership. judgement that are assigned due recognition to the complexity of individual or group behaviour. communication pattern and leadership. • • • Interpersonal Level: Human behaviour can be understood at the level of interpersonal interaction. judgement that explicitly takes into account the managers own goals. Organisational behaviour provides means to understand and achieve co-operative group relationships through interaction. which provide such understanding. which is very important for organisational morale and productivity. managers are required to control and direct the behaviour at all levels of individual interaction. Thus. Research in group dynamics has contributed vitally to organisational behaviour and shows how a group behaves in its norms. Power is referred to as the capacity of an individual to take certain action and may be utilised in many ways.be utilised so that both organisational and individual objectives are achieved simultaneously. individuals should be studied in groups also. Organisational behaviour helps to analyse 'why' and 'how' an individual behaves in a particular way. The co-operative relationships help the organisation in achieving its objectives. Organisational behaviour integrates these factors to provide* simplicity in understanding the human behaviour. role analysis and transactional analysis are some of the common methods. Organisational behaviour provides • means for understanding the interpersonal relationships in an organisation. Group Level: Though people interpret anything at their individual level. judgement that takes into account the important variables underlying the situation. The communication process and its work in inter-personal dynamics have been evaluated by organisational behaviour. Thus. Organisational behaviour does not provide solutions to all complex and different behaviour puzzles of organisations. These research results are advancing managerial knowledge of understanding group behaviour. It identifies various leadership styles available to a manager and analyses which style is more appropriate in a given situation. avoidance of win-lose situation and focussing on total group objectives. managers are required to control and direct the behaviour so that it conforms to the standards required for achieving the organisational objectives. leadership. goals. Analysis of reciprocal relationships. To achieve organisational objectives. procedures. Human behaviour is a complex phenomenon and is affected by a large number of factors including the psychological.

This frequently results in people working together in teams. satisfaction and leadership are brought to bear upon the behaviour and performance of individual members of an organisation. In other words. Factors such as attitudes. needs and desires as well. A second level of analysis focuses upon the interaction among organisational members as they work in' teams. Finally. they employ the 'whole person'. organisational behaviour can be analysed from the perspective of the organisation as a whole. Within this perspective. his personal life cannot be separated from his work life since people function as total human beings. When management practices organisational behaviour. • A Whole Person: Though the organisation may feel that they are employing only the individual's skill or intelligence. Researchers seek to understand the implications of the relationship between the organisation and its environment for the effectiveness of the organisation. complexion and so on but also different in their psychological trait such as intelligence. practices and procedures. These different perspectives on the study of organisational behaviour are not in conflict with one another. • Organisation at the Organisational Level: Some organisational behaviour researchers take the organisation as a whole as their object of study. perceptions and personalities are taken into account and their impact upon individuals’ behaviour and performance on the job is studied. motivation and perception. organisational climate includes creation of an atmosphere of effective supervision. they have to necessarily work in coordination to meet the organisational goals. Organisational climate takes a system perspective that affect human behaviour. • Organisation at the Group Level: People rarely work independently in organisations. FUNDAMENTAL CONCEPTS OF ORGANISATIONAL BEHAVIOUR Organisational behaviour starts with the following six fundamental concepts revolving around the nature of people and organisations: The nature of people: • Individual differences • A whole person • Motivated behaviour • Value of the person The nature of organisation: • Social system • Mutual interest • Individual Differences: Individuals are different in their physical and mental traits. An important component of organisational behaviour involves the application of knowledge and theories from social psychology to the study of groups in organisations. Instead they are complementary. the size of the organisation and the organisation's age are also examined and their implications for effective organisational functioning are explored. Other factors such as the technology employed by the organisation. congenial relations with others at the work place and a sense of accomplishment. How do people work together in groups? What factors determine whether group will be cohesive and productive? What types of tasks could be assigned to groups? These are some of the questions that can be asked about the effective functioning of groups in organisations. in fact. the opportunity for the realisation of personal goals. it is not only trying to develop a better employee but it also wants to develop a 'better person' in terms of all round growth and development. as dynamic entities are characterised by pervasive changes. internal arrangements such as convincing employees who normally have the tendency of resisting any changes.• • Organisational Climate: Organisational climate refers to the total organisational situations affecting human behaviour. At one level. Emphasis is placed upon understanding how organisational structure and design influences the effectiveness of an organisation. They are different not only in the physical appearance such as sex. #10 . committees and groups. The benefit will extend beyond the firm into the larger society in which each employee lives. This belief that each person is different from all others is typically called the 'Law of Individual Differences'. This j macro perspective on organisational behaviour draws heavily on theories and concepts from the discipline of 'sociology'. height. Besides improving the satisfactory working conditions and adequate compensation. motivation. beliefs. groups and departments. • Organisation at the Individual Level: Organisational behaviour can be studied in the perspective of individual members of the organisation. psychologically based theories of learning. LEVELS OF ANALYSIS Organisational behaviour can be viewed from different perspectives or levels of analysis. Organisations have to adapt themselves to the environmental changes by making suitable. the organisation can be viewed as consisting of individuals working on tasks in the pursuit of the organisational goals. weight. age. Organisational Adaptation: Organisations. A full and complete understanding of the nature of organisations and the determinants of their effectiveness requires a blending of knowledge derived from each perspective. attitude. Individual differences mean that the management has to treat them differently to get the best out of them. This approach to organisational behaviour draws heavily on the discipline of psychology and explains why individuals behave and react the way they do to different organisational policies. This means that individual does not have only the skill and intelligence but he has a personal life.

in which power vests in the hands of the person with superior intellects. because even though the views are different they have a shared concern for similar objectives. Holistic Organisational Behaviour: When the above six concepts of organisational behaviour are considered together. It can be further divided into following categories: Feudal system: This is a social system. which provides separate facilities for minority groups of a society. • Value of the Person: It is more an ethical philosophy. and forfeiture. they provide a holistic concept of the subject.Motivated behaviour: It is the urge of the individual to satisfy a particular need that motivates him to do an act. This can be defined as the interests that are common to both the parties and are related to the accomplishment of their respective goals. In other words. Mutual Interest: Organisational relationships are most likely to be strong if different groups can negotiate strategies. power lies in his hands. Class Structure: This is a social system of different classes with in a society. which is developed in Europe in the 8th Century. whole group. Segregation: This is a social system. This helps to build sustainable and harmonious activities that can operate in the mutual direct interests of the organisation. Matriarchate: This is social system. Thus. entitles the people who do it to proper respect and recognition of their unique aspirations and abilities. ethical philosophy is involved in one way or the other. Patriarchate: This is social system. in which a female is considered to be the family head and title or surname is traced through her chain. in which a male is considered to be the family head and title or surname is traced through his chain. It is also called social organisation or social structure. This space for sharing ideas builds trust. Holistic organisational behaviour interprets people-organisation relationships in terms of the whole person. Every job. Meritocracy: This is a social system. whole organisation and whole social system. and to incorporate the perspectives of their colleagues. Motivation is essential for the proper functioning of organisations. the individuals of a society are considered as a system organised by a characteristic pattern of relationships having a distinctive culture and values. The nature of an organisation can be understood with the help of tjie description of following two points: • • ○ ○ ○ ○ ○ ○ • Social System: A system is a group of independent and interrelated elements comprising a unified whole. In context with an organisation. Individuals who have shared mutual interests are likely to make their organisation the strongest. legal and military service of tenants. A political and economic system based on the holding of. Since organisational behaviour involves people. It stresses that people are to be treated with respect and dignity. land and relation of lord to vassal and characterized by homage. The organisation can show to its employees how certain actions will increase their need fulfilment. In other words. however simple. power lies in her hands. It is important for the individuals to think about their issues openly. #11 . The motivation could be positive or negative. the blending of nature of people and organisation results in an holistic organisational behaviour.

CONCEPT OF ORGANIZATIONAL BEHAVIOUR SYSTEM Organizations achieve their goals by creating. though. level of customer service. level of customer service. though. These systems exist in every organization.LESSON –3 Models of organizational behaviour Learning Objectives After reading this lesson. For some variables managers can only be aware of them and acknowledge their impact whereas for other variables. but sometimes in varying forms. They have a greater chance of being successful. For some variables managers can only be aware of them and acknowledge their impact whereas for other variables. you should be able to understand: • • • • The concept of organizational behaviour system The different models of organizational behaviour The importance of organizational behaviour to managers The future of organizational behaviour Organizations have undergone tremendous change in the behaviour of their employee's.1 shows the major elements of a good organizational behaviour system: These systems exist in every organization. but sometimes in varying forms. They have a greater chance of being successful. The primary advantage of organizational behaviour system is to identify the major human and organizational variables that affect organizational outcomes. The outcomes are measured in terms of quantity and quality of products and services. regularly examined and updated to meet new and emerging conditions. ELEMENTS OF THE SYSTEM #12 . employee satisfaction and personal growth and development. Earlier employers had no systematic program for managing their employees instead their simple rules served as a powerful influence on employees. managers can exert some control over them. The outcomes arc measured in terms of quantity and quality of products and services. today increasing many organizations are experimenting with new ways to attract and motivate their employees. if they have been consciously created. regularly examined and updated to meet new and emerging conditions. if they have been consciously created. However. employee satisfaction and personal growth and development. communicating and operating an organizational behaviour system. The figure 3. Organizational behaviour system defines organizational structure and culture and explains their impact on employees. The primary advantage of organizational behaviour system is to identify the major human and organizational variables that affect organizational outcomes. managers can exert some control over them.

the purpose for these activities. Collegial Model The term 'collegial' relates to a body of persons having a common purpose. in the minds managers. Its main weakness is its high human cost. develop a drive to contribute and improve them if management will give them a chance. Therefore. The management is seen as joint contributor rather than as a boss. The psychological result of the collegial approach for the employee is 'selfdiscipline'. Under this model organizations satisfy the security and welfare needs of employees. Since management supports employees in their work. Management believes that it knows what is best for an organization and therefore. management provides a climate to help employees grow and accomplish in the interest of an organization. vision and goals of manager.The system's base rests in the fundamental beliefs and intentions of those who join together to create it such as owners and managers who currently administer it. These philosophies are sometimes explicit and occasionally implicit. These differences are substantially caused by different models of organizational behaviour that dominant management's thought in each organization. The primary challenge for management is to identify the model it is actually using and then assess its current effectiveness. it is known as custodian model. The following four models of organizational behaviour are as follows: A. the psychological result is a feeling of participation and task involvement in an. IMPORTANCE OF ORGANIZATIONAL BEHAVIOUR TO MANAGERS #13 . This model leads to employee dependence on an organization rather than on boss. Management is the coach that builds a better team. Organizations differ in the quality of organizational behaviour that they develop. The employee response to this situation is responsibility. This is because a model depends on the knowledge about human behaviour in a particular environment. Supportive model D. Hence. management's direction is to 'Support' the employee's job performance rather than to 'support' employee benefit payments. the existing philosophy. Custodial Model This model focuses better employee satisfaction and security. organization. as in the custodial approach. It is a team concept. This results in enthusiasm in employees' performance. Collegial model Autocratic Model In an autocratic model'. employees are happy and contented but they are not strongly motivated. Supportive Model The supportive model depends on 'leadership' instead of power or money. As a result of economic rewards and benefits. employees are required to follow their orders. which is unpredictable. This model assumes that employees will take responsibility. FOUR MODELS OF ORGANIZATIONAL BEHAVIOUR Basis of Model Managerialorientation Employee psychological result Employee needs met Performance result Autocratic Power Authority Dependence on boss Subsistence Minimum Custodial Economic resources Money Dependence on organization Security Passive cooperation Supportive Leadership Support Participation Status and recognition Awakened drives Collegial Partnership Teamwork Self-discipline Self-actualization Moderate enthusiasm It is wrong to assume that a particular model is the best model. In this kind of environment employees normally feel some degree of fulfillment and worthwhile contribution towards their work. and the way they should be. The model that a manager holds usually begins with certain assumptions about people and thereby leads to certain interpretations of organizational events. Autocratic model B. environmental conditions help in determining which model will be the most effective model. Through leadership. The psychological result of this model on employees is their increasing dependence on their boss. Custodial model C. the manager has the power to command his subordinates to do a specific job. The selection of model by a manager is determined by a number of factors such as. In addition. The philosophy of organizational behaviour held by management consists of an integrated set of assumptions and beliefs about the way things are.

2 shows the categories of managerial roles. by virtue of his interpersonal contacts. All these interactions require an understanding of interpersonal behaviour. Information Roles A manager. #14 . These roles are developed by Henry Mintzberg in 1960s after a careful study of executives at work.Managers perform four major functions such as planning. peers and superiors in order to assess the external environment of competition. • Liaison Role: The managers must maintain a network of outside contacts. signing legal documents. the managers build up their own external information system. These duties include greeting visitors. are duties of a ceremonial nature but are important for the smooth functioning of an organization. These people include peers. suppliers. The first category called the interpersonal roles arises directly from the manager's position and the formal authority given to him. in the context of organizational behaviour. emerges as a source of information about a variety of issues concerning an organization. In this role. All these. He must be an ideal leader so that his subordinates follow his directions and guidelines with respect and dedication. trade journals and informal personal contacts with outside agencies. All these roles. government officials and community leaders. a manager executes the following three roles. Figure 3. attending a subordinate's wedding and speaking at functions in schools and churches. These ten managerial roles are divided into three categories. taking important customers to lunch. personal phone calls. The second category. The roles. superiors. subordinates. In addition to these functions there are ten managerial roles. In addition. in one form or other deal with people and their behaviour. organizing. are as follows: Interpersonal Roles In every organization managers spend a considerable amount of time in interacting with other people both within their own organizations as well as outside. primarily. This can be achieved by attending meetings and professional conferences. In this capacity of information processing. they need to have a constant contact with their own subordinates. which can be defined as organized set of behaviors identified with the position. directing and controlling. • Leadership Role: The influence of the manager is most clearly seen in the leadership role as a leader of a unit or an organization. Since he is responsible for the activities of his subordinates therefore he must lead and coordinate their activities in meeting task-related goals and motivate them to perform better. the informational role arises as a direct result of the interpersonal roles and these two categories give rise to the third category called decisional roles. customers. Studies show that interacting with people takes up nearly 80% of a manager's time. social changes or changes in governmental rules and regulations. These interactions involve the following three major interpersonal roles: • Figure/lead Role: Managers act as symbolic figureheads performing social or legal obligations.

It should produce a higher quality of life in which there is improved harmony within each individual. For example. Mangers must anticipate such problems and take preventive action and take corrective action once the problem arises. a manager plays four important roles. research and managerial practice. • The law of diminishing returns also operates in the case of organizational behaviour. They are constantly on the lookout for new ideas for product improvement or product addition. i.. that at some point increase of a desirable practice produce declining returns and sometimes. This can be achieved through suggestion boxes. In that respect. These problems may involve labor disputes. negative returns. it has a tremendous potential to contribute to the advancement of civilisation. • Spokesman Role: A manager has to be a spokesman for his unit and represent his unit in either sending relevant information to people outside his unit or making some demands on behalf of his unit. This relationship shows that organizational effectiveness is achieved not by maximizing one human variable but by working all system variables together in a balanced way. FUTURE OF ORGANIZATIONAL BEHAVIOUR The growing interest in organizational behaviour stems from both a philosophical desire by many people to create more humanistic work places and a practical need to design more productive work environments. LIMITATIONS OF ORGANIZATIONAL BEHAVIOUR • Organizational behaviour cannot abolish conflict and frustration but can only reduce them. • It is only one of the many systems operating within a large social system. • People who lack system understanding may develop a 'behavioral basis'. • Entrepreneur Role: Managers. • Negotiator Role: The managers in their negotiator role represent their organization in negotiating deals and agreements within and outside of an organization. When that point is exceeded. Purchasing managers may negotiate prices with vendors. hearsay and speculation. By building a better climate for people. cash flow shortages and interpersonal conflicts. It has provided and will provide much improvement in the human environment. there is a decline in returns. They negotiate contracts with the unions. In this way organizational behaviour will contribute to social improvements.e. It is a way to improve but not an absolute answer to problems. interrogating their liaison contacts and through gossip. People who lack ethical values could use people in unethical ways. collecting and studying information regarding their organization. The concept implies that for any situation there is an optimum amount of a desirable practice. Improved organizational behaviour is not easy to apply but opportunities are there. • Information Disseminator Role: The managers must transmit the information regarding changes in policies or other matters to their subordinates. Although organizational behaviour has certain limitations. The field of organizational behaviour has grown in depth and breadth. The keys to its past and future success revolve around the related processes of theory development. which gives them a narrow view point. LESSON – 4 GLOBAL SCENARIO OF ORGANIZATIONAL BEHAVIOUR • #15 . even though some roles may be more influential than others depending upon the managerial position. organizational behaviour will release their creative potential to solve major social problems. among people and among the organizations of future. This can be done through memos. This can be done by reading reports and periodicals. • A significant concern about organizational behaviour is that its knowledge and techniques could be used to manipulate people without regard for human welfare. a tunnel vision that emphasizes on satisfying employee experiences while overlooking the broader system of an organization in relation to all its public.Monitor Role: The managers are constantly monitoring and scanning their internal and external environment. organizational behaviour is now a part of the curriculum of almost all courses including engineering and medical. as entrepreneurs are constantly involved in improving their units and facing the dynamic technological challenges. customer complaints. too much security may lead to less employee initiative and growth. • Conflict Handling Role: The managers are constantly involved as judge in solving conflicts among the employees and between employees and management. Decision Roles A manager must make decisions and solve organizational problems on the basis of the environmental information received. arrange capital for new products and ask for suggestions from the employees to improve organization. sales manager gives more importance to interpersonal roles. All these ten roles are important in a manager's job and are interrelated. holding strategy meetings with project managers and R&D personnel. They initiate feasibility studies. For example. machine breakdowns. As a result of these forces. employee grievances. It states. Sales managers may negotiate prices with prime customers. • Resource Allocation Role: The managers establish priorities among various projects or programs and make budgetary allocations to different activities of an organization based on these priorities. phone calls. their peers and to other members of an organization. individual meetings and group meetings. while the production manager may give more importance to decisional roles.

the nature of their culture and work life will be different.Learning Objectives After reading this lesson. Cultural Distance To decide the amount of adaptation that may be required when personnel moves to another country. scientists and technicians. political and economic differences among countries" influence international organizational behaviour. ECONOMIC CONDITIONS The most significant economic conditions in less developed nations are low per capita income and rapid inflation. you should be able to understand: • • The global scenario of organizational behaviour The barriers to cultural adaptation and measures to overcome those barriers Due to globalization of economy. Therefore. They are more concerned about themselves than the host country. In spite of instability. a nationalistic drive is strong for locals to run their country and their organizations by themselves without any interference by foreign nationals. when-people are predisposed to believe that their homeland conditions are the-best. many organizations now operate in more than one country. Trained locals become the nucleus for developing others. Barriers to Cultural Adaptation • Managers and other employees who come into a host country tend to exhibit different behaviors and somewhat. Inflation makes the economic life of workers insecure when compared to developed countries. Cultural distance is the amount of distance between any two social systems. it tends to become multicultural and will then face the challenge of blending various cultures together. • Another potential barrier to easy adaptation of another culture occurs. The managerial personnel entering another nation need to adjust their leadership styles. see situation around them from their own perspectives. SOCIAL CONDITIONS In many countries due to poorly developed resources. For example. They may fail to recognize the key differences between their own and other cultures. The different socio-economic and political conditions existing in countries influence the introduction of advanced technology and sophisticated organizational systems. it does affect the responses of all individuals to #16 . Their role is to provide fusion of cultures in which employees from both countries adjust to the new situation seeking a greater productivity for the benefit of both the organization and the people of the country in which it operates. POLITICAL CONDITIONS Political conditions that have a significant effect on organizational behaviour include instability of the government. communication patterns and other practices to fit their host country. The social. there is shortage of managerial personnel. This organizational instability leaves workers insecure and causes them to be passive and low in taking any initiatives. It is a step into different social. communication and control becomes difficult. In some nations. Naturally. This predisposition is known as the 'self-reference criterion' or 'ethnocentrism'. and training programs need to be developed to train the local workers. it is helpful to understand the cultural distance between the two countries. These multinational operations add new dimensions to organizational behaviour. workers' participation in management are restricted by law while in other countries they are permitted. • Another category of managers called 'individualistic' place greatest emphasis on their personal needs and welfare. Hence the required skills must be temporarily imported from other countries. In some nations. These limiting conditions cannot be changed rapidly because they arc too well established and woven into the whole social fabric of a nation. A developed country can easily adopt advanced technology when compared to a less developed country. A few countries arc agriculture dominated and a few other manufacturing industries dominated. restricting industries to a particular area and nationalistic drives such as self-sufficiency in latest technologies. 'parochial'. State tends to be involved in collective bargaining and other practices that affect workers. When the government is unstable. political and economic environments. thereby spreading the training through masses. Whatever may be the amount of cultural distance. organizations become cautious about further investments. Another significant social condition in many countries is that the local culture is not familiar with advanced technology. MANAGING AN INTERNATIONAL WORKFORCE Whenever an organization expands its operations to other countries. These people are called. This feeling interferes with understanding human: behaviour in other cultures and obtaining productivity from local employees. organized labor is mostly an arm of the authoritarian state and in some other nations labor is somewhat independent.

managers need to make adjustments in their communication suited to< local cultures. personnel practices and production methods need to be adapted to a different labor force. a cadre of employees with cross-cultural adaptability can be developed in organizations with large international operations. who can withstand/adjust cultural shocks for international assignments* is important. multinational firms that operate in a-variety of national cultures. culture and political environment in which the employee will be living will help for cultural adaptation. Trans-cultural employees are especially needed in large. • Employees who return to their home country after working in another nation for sometime tend to suffer cultural shock in their own homeland. Labor policy. • Pre-departure training in geography. Some of the more frequent reasons for cultural shock are as follows: • Different management philosophies • New language • Alternative food. of employees. availability of goods • Attitude towards work and productivity • Separation from family. the language. Cultural Shock When employees enter another nation they tend to suffer cultural shock. you should be able to: #17 . may fear losing face and self-confidence or may become emotionally upset. Hence. The manager's job is to make the employees adapt to the other culture and integrate the interests of the various cultures involved. the expatriate managers must learn to operate effectively in a new environment with certain amount of flexibility. Its leaders look to the world as an economic and social unit. Cultural Contingencies Productive business practices from one country cannot be transferred directly to another country. it is difficult for expatriates to re-adjust to the surroundings of their home country. economic development and employee's values in the host country. appropriate motivational techniques need to be implemented depending on the requirement of employees of that particular nation. Similarly. Motivating and Leading Local Employees Same motivational tools may not suit the employees of all the nations. Hence. These employees are 'trans-cultural’ employees because they operate effectively in several cultures. operations. After adjusting to the culture of another nation and enjoying its uniqueness. Cultural shock is virtually universal. Overcoming Barriers to Cultural Adaptation • Careful selection. organizations need repatriation policies and programs to help returning employees obtain suitable assignments and adjust to the 'new' environments. acknowledge its benefits and use its differences effectively in their organization. • Incentives and guarantees for better position will motivate employees for cultural adaptation in the new country. friends and colleagues • Unique currency system Many expatriates report difficulty in adjusting to different human resource management philosophies.business. Hence. communication problems may also arise between the expatriate manager and the employees of the host country. the different currency and work attitudes in another culture. the resulting imbalance in the social system interferes with the productivity. customs. but they recognize each local culture. it should have ownership. Hence. Eventually. If local culture is ignored. respect its integrity. dress. MANAGEMENT'S INTEGRATING ROLE Once managers are in a host country. This reflects the idea of cultural contingency that the most productive practices for a particular nation will depend heavily on the culture. They are low in ethnocentrism and adapt readily to different cultures without major cultural shock. Organization structures and communication patterns need to be suitable for local operations. They usually can communicate fluently in more than one language. For a firm to be truly multi-national in character. which is the insecurity and disorientation caused by encountering a different culture. markets and managers truly diversified. They may not know how to act. LESSON – 5 FOUNDATION OF INDIVIDUAL BEHAVIOR Learning Objectives After reading this lesson. their attention needs to be directed toward integrating the technological approaches with the local cultures involved. social system.

which can be both genetic and environmental. time. which is. the behavior of individuals in organization is the primary concern of management and it is essential that the managers should have an understanding of the factors influencing the behavior of the employees they manage. The figure 5. the organization provides incentives such as pay. they will be satisfied with the relationship and are likely to continue it. such a precise. The 'person-job fit' is the extent to which the contributions made by the individual match the incentives offered by the organization. when they begin a working relationship with an organization formulate a psychological contract with their employer. considerable research into the human behavior and its causes. The figure 5. is very difficult to define in absolute terms. for example. NATURE OF INDIVIDUAL DIFFERENCES Individual differences are personal attributes that vary from one person to another. loyalty and so forth. Similarly. The influence of these factors determines the pattern of human behavior. Psychologist Kurt Levin has conducted. Of course. thus.1 identifies five sets of factors that have an impact upon individual behavior in organizations. Just as the contributions available from the individual must satisfy the organization's needs. it will achieve a perfect person-job fit. respond to them in an appropriate manner and learn from the result of these responses. In theory. A psychological contract is the overall set of expectations that an individual holds with respect to his or her contributions to the. it may initiate a change. It is primarily a combination of responses to external and internal stimuli. level of person-job fit is seldom achieved due to various reasons such as imperfect selection procedures. differences in individual skills. which interpret them. One specific aspect of managing psychological contracts is managing the person-job fit. most people. ability.2 shows the attributes of physical and psychological differences. These responses would reflect psychological structure of the person and may be results' of the combination of biological and psychological processes. • • • • • Physical Differences Height Weight Body Shape Appearance Complexion Psychological Differences • Personality • Attitudes • Perception • Motivation • Learning figure 5. If the organization can take complete advantage of those behaviors and abilities and exactly fulfill the employee's needs.• • Understand the nature of individual differences in organizations Identify the individual factors affecting organizational behavior INDIVIDUAL BEHAVIOR Human behavior. He believes that people are influenced by a number of diversified factors. each employee has a specific set of needs to fulfill and a set of job related behaviors and abilities to contribute. Whenever people buy something. and job security to the employee. considered a complex phenomenon.2 #18 . both the buyer and the seller sign a contract that specifies the terms of the sales agreement. If either party perceives an imbalance or iniquity in the contract. skills. the incentives must serve the employees' needs in return. organization and the organization's response to those contributions. A major challenge faced by an organization. If both the individual and the organization consider the psychological contract fair and equitable. Thus. These contributions presumably satisfy various needs and requirements of the organization. In return for contributions. a car. A psychological contract is not written down like a legal contract. promotion. An individual makes a variety of contributions to an organization in the form of—efforts. is to manage the psychological contracts. Individual differences may be physical and psychological. constant change in the needs and requirements of people and organization.

Among many different types of cognitions. Self-efficacy Implications for Managers Managers need to nurture self-efficacy in them and in their employees. high self-esteem subjects tended to become self-centered and boastful when faced with situations under pressure Hence moderate self-esteem is desirable. autonomy and challenges that suit the individual's values. linguistic. opinion. pain tolerance and illness recovery. social. Self-efficacy requires constructive action in each of the following managerial areas: • To design recruitment selection procedure. • For goal-setting and quality improvement. Cognitions represent. Individual differences make the manager's job extremely challenging. 1. according to a recent research. According to one organizational behavior writer. Specifically. "any knowledge. Assessing both individual differences and contributions in relation to incentives and contexts. reward successes. High self-esteem individuals. and • Personal values and ethics. "variability among workers is substantial at all levels but increases dramatically with job complexity. skills and abilities. • For designing job. every individual recognizes himself as a distinct individual. recent research uncovered flaws among those having high self-esteem. In other words. today's managers need to better understand and accommodate employee diversity and individual differences. or belief about the environment about oneself. Awareness of self is referred to as one's self-concept. in contrast. This brings us to the role of cognitions. Due to these reasons. There is strong linkage between high self-efficacy expectations and success in terms of physical and mental tasks. Self-esteem Self-esteem is a belief over one's own worth based on an overall self-evaluation. then. planning. Personality Dimensions #19 . as in the past. behavior. Leaders now talk frequently about "valuing differences" and learn to "manage diversity". In fact. IMPORTANT DIMENSIONS OF INDIVIDUAL DIFFERENCES • Self-concept • Personality dimensions • Abilities. Although. • To design interview questions to probe applicant's general self-efficacy for determining orientation and training needs. 4. high self-esteem is generally considered a positive trait because it is associated with better performance and greater satisfaction. Strive for management-employee cohesiveness and trust building. A self-concept would be impossible without the capacity to think. "Self-efficacy arises from the gradual acquisition of complex. Have faith in each employee's self-management ability. 3. evaluating and setting personal standards are particularly relevant to organizational. is a major challenge for organizations as they attempt to establish effective psychological contracts with their employees and achieve optimal fits between people and jobs. Offer work involving variety. or about one's behavior". • For systematic self-management training. Those with low self-esteem tend to view themselves in negative terms. • To evolve suitable leadership. social and spiritual or moral being". Oppositely. capable and acceptable.Whenever an organization attempts to assess the individual differences among its employees. status and contribution. goal setting. Individuals who are satisfied in one context may prove to be dissatisfied in another context. Sociologists Viktor Gecas defines self-concept as "the concept the individual has of himself as a physical. see themselves as worthwhile. cognitive. So rather than limiting diversity. • To design suitable regards. and are hampered by self-doubts. and/or physical skills through experience". Self-efficacy Self-efficacy is a person's belief about his' or her chances of successfully accomplishing a specific task. it must consider the situation in which that particular behavior occurs. Self-concept Self is the core of one's conscious existence. anxiety reduction. Managers can build employee self-esteem in four ways: Be supportive by showing concern for personal problems. growing work force diversity compel managers to view individual differences in a fresh way. addiction control. tend to have trouble in dealing effectively with others. 2. They do not feel good about themselves. those with low self-efficacy expectations tend to have low success rates. those involving expectation. interests.

Mental abilities such as reasoning. Aptitudes are relatively stable capacities for performing some activity effectively. • Rules and rewards should be administered impartially. Competencies are skills that have been refined by practice and experience and that enable. skills and competencies in order to remain valuable to their organizations. the-individual to specialize in some field. • Basic human rights should be respected. credentials. Ideally. Ethical behavior is a 1 top to bottom proposition. achieve the greatest good for the greatest number of people. agreeableness. Thus. This can 6e accomplished either by careful selection of people or by a combination of selection and training. The individuals who exhibit. Moral Principles for Managers • Judge actions by their consequences. five personality dimensions are: extroversion. Individuals with numerical ability. for example. mental or interpersonal work. fairly and equitably. flexibility. when a particular ability is applied to a specialized area. can be trained to apply their ability in the field of engineering. and other information for ascertaining their ethical behavior. Physical abilities such as strength. emotional stability and openness to experience. Ethics involve the study of moral issues and choices. these personality dimensions that correlate positively and strongly with job performance would be helpful in the selection. Organizations have to ensure that people possess the necessary abilities to engage in the behaviors required for effective performance. he develops more competency as a tax expert. • Screen potential employees by checking references. For example. accounting and computer science. (for example accounting). Relative to the workplace.The big. such as physical. experience and formal training. thoroughness. It is concerned with right versus wrong and good versus bad. the terms business ethics and management ethics are often heard. PERSONAL VALUES AND ETHICS According to Milton Rokeach. but they too can be assessed by fairly objective means. Even in the absence of such formal programs. an accountant with numerical "ability and accounting skill takes a position in the Taxation Department and as time passes. Intellectual differences are somewhat more difficult to discern. • Competencies are skills associated with specialization. #20 . PHYSICAL AND INTELLECTUAL QUALITIES Physical differences among individuals are the most visible of all differences. memory visualization. Improving Organization's Ethical Climate • Managers are powerful role models whose habits and actual behavior send clear signals about the importance of ethical conduct. • Skills are generally thought of as being more task-specific capabilities than abilities. a value is "an enduring belief that a specific mode of conduct or end-stated of existence is personally or socially preferable to an opposite or converse mode of conduct are end-state of existence". Learning opportunities translate aptitude into abilities through practice. training and appraisal of employees. comprehension and inter-personal abilities can also be developed through practice and education. traits associated with a strong sense of responsibility and determination generally perform better than those who do not. The abilities/skills and competencies of employees are both physical and intellectual qualities. For example. • Ability refers to an individual's skill to perform effectively in one or more areas of activity. many individuals manage their own careers in such a way as to continually upgrade their abilities. Abilities develop from an individual's natural aptitudes and subsequent learning opportunities. it becomes a skill. They are also relatively easy to assess. endurance and stamina can be developed with exercise and training. an individual with numerical ability who goes to school to learn accounting develops a numerical skill specific to that field'.

like social. weight. (political. Conscientiousness: Responsible. dependable.LESSON . however. occur gradually over a period of time. • Stages: According to Sigmund Freud human personality progresses through four stages: dependent. People affect others depending primarily upon their external appearance such as height. talkative and assertive. the aspects of personality concerned with the self-concept such as self-esteem and self-efficacy and the person-situation interaction also play important roles. From the above definition we can infer that all individuals have some universally common characteristics. as well as their pattern of inner and outer measurable traits. however. • Traits: Traits to personality are also based on psychology. Experienced managers become aware of the stages that their employees often go through. This helps them 19 deal with these stages effectively and promote maximum growth for the individual and for the organization. persistent and achievement-oriented. Openness to Experience: Imaginative. Some personality theorists stress the need 6f identifying person-situation as interaction.6 PERSONALITY Learning Objectives After reading this lesson. 5. you should be able to: • • • • Understand perceptual clarity about personality Discuss main determinants of personality Explain nature and dimensions of personality Describe personality attributes that are relevant to organizational behavior Personality is a complex. therefore. 2. Besides physical appearance and personality traits. In particular. attempt to understand certain dimensions of personality. values and actions remain relatively stable over time. insecure and nervous. feelings. This can enable them to predict the behavior of their employees on a daily basis. According to some trait theories. Characteristics of these traits can be summarized as follows: 1. This concept of stages of growth provides a valuable perspective to organizational behavior. which are as follows: • Determinants: The most widely studied determinants of personality are biological. From this perspective. Yet they differ in some other specific attributes. This is equivalent to recognizing thd social learning aspects related to personality. cooperative and trusting. This makes it difficult for the managers to assume that they can apply same reward types or motivation techniques to modify different individual behaviors. Three major types of factors play important roles in personality formation. does not mean that people never change. Identifying the above "big five" traits related to performance reveals that personality plays an important role in organizational behavior. It also involves people's understanding themselves. facial features. The managers should. artistically sensitive and intellectual. “A stable set of characteristics and tendencies that determine those commonalities and differences in the psychological behavior and that may not be easily understood as the sole result of the social and biological pressures of the moment". religious and aesthetic preferences but each individual's nature differentiates that person from all others. their personalities become very clearly defined and generally stable. In simple terms. 4. personality means the way people affect others. Personality traits are very important in organizational behavior. Maddi defines personality as. five personality traits especially related to job performance have recently emerged from research. Changes in individual's personality can. and the person and situation interaction. The definition. the social context (family and friends) and the cultural context (religion and values). PERSONALITY FORMATION The personality formation of an individual starts at birth and continues throughout his life. 3. social and cultural. Emotional Stability: Viewed from a negative standpoint such as tense. Their thoughts. Agreeableness: Good-natured. it asserts that individuals do not change all at once. oedipal and mature. As people grow into adulthood. multi-dimensional construct and there is no simple definition of what personality is. compulsive. #21 . color and other physical aspects and traits. Extroversion: Sociable. Such a social learning analysis is one of the most comprehensive and meaningful ways included in the overall study of organizational behavior. These three parts interact with • each other to shape personality. all people share common traits. People grow up in the presence of certain hereditary characteristics (body shape and height).

Thus.. strongly believe that each individual is in control of his or her life. Some people. Extroversion. which directs them to be inward and process feelings. preferring to interact with a small intimate circle of friends. Extroverts are sociable. As a personality attribute. Self-esteem is important to self-concept. They are said to have an internal locus of control. Such individuals are likely to be most successful while working in the sales department. in a relatively quiet atmosphere. Introversion and Extroversion Introversion is the tendency of individuals.e. Self-Esteem and Self-Concept Self-esteem denotes the extent to which individuals consistently regard themselves as capable. people tend to be dominant as either extroverts or introverts. Thus. locus of control has clear implications for organizations. Because. refers to the tendency in individuals to look outside themselves. The need for autonomy: Those in need for autonomy function in the best way when not closely supervised. are quiet. they will be enhancing their selfconcept i. it is believed that extroverts are likely to be more successful as managers. for example. Tolerance for Ambiguity This personality characteristic indicates the level of uncertainty that people can tolerate to work efficiently without experiencing undue stress.PERSONALITY FACTORS IN ORGANISATIQN5 Some of the important personality factors that determine what kind of behaviors are exhibited at work include the following: Need Pattern Steers and Braunstein in 1976 ^developed a scale for the four needs of personality that became apparent in the 'work environment. Locus of Control Locus of control is the degree to which an individual believes that his or her behavior has direct impact on the consequences of that behavior. They may incline to structured jobs where standard procedures are defined for them. Since managers have to constantly interact with individuals both in and out of the organization and influence people to achieve the organization's goals. rather than the lack of skills or poor performance on their part. i. some people think that what happens to them is a result of fate. introspective. The need for dominance: Those high in need for dominance are very effective while operating in environments where they can actively enforce their legitimate authority. luck or the behavior of other people. and so on. believe that if they work hard they will certainly succeed. the way individuals. chance. They may like a reward system that recognizes individual performance and contributions. important and worthy individuals. Managers.these individuals think that forces beyond their control dictate the happenings around them. are likely to prefer a more centralized organization where they need not take any decisions. The need for affiliation: Those in greater need for affiliation like to work cooperatively with others.e. they may prefer a decentralized organization where they have a right of decision-making and work with a leader who provides them freedom and autonomy. They are as follows: • • • • The need for achievement: Those with a high achievement need engage themselves proactively in work behaviors in order to feel proud of their achievements and successes. especially when things are rapidly changing in the organization's external environment.. the two are mutually reinforcing. For example. in turn. on the other Hand. Managers who have a high tolerance for ambiguity can cope up well under these conditions. Thus. which. Self-esteem is an important personality factor that determines how managers perceive themselves and their role in the organization. thoughts and ideas within themselves. Thus. Individuals with a high selfesteem will try to take on more challenging assignments and be successful. lively and gregarious and seek outward stimuli or external exchanges. which means they have a relatively strong desire to participate in the management of their organizations and have a' freedom to do their jobs. reflective. tolerance for ambiguity is a personality dimension necessary for managerial success. Introverts. They. successful. they are said to have an external locus of control. and intellectual people. High self-esteem provides a high sense of selfconcept. define themselves as to who they are and derive their sense of identity. searching for external stimuli with which they can interact. They may prefer a leader who makes most of the decisions and a reward system that considers seniority rather than merit. The higher #22 . Managers have to work well under conditions of extreme uncertainty and insufficient information. publicity office. Conversely. certain individuals have an internal locus of control. While there is some element of introversion as well as extroversion in all of us. personal relations unit. reinforces high self-esteem. who have a low tolerance for ambiguity may be effective in structured work settings but find it almost impossible to operate effectively when things are rapidly changing and much information about the future events is not available. where they can interact face to face with others. Introverts are more likely to be successful when they can work on highly abstract ideas such as R&D work. people with an external locus of control. By contrast. on the contrary. they would tend to define themselves as highly valued individuals in the organizational system.

however. Managers with good work ethic values. events and situations by manipulating the system to his advantage. which might be detrimental to both themselves and the organization in the long run. They are likely to be more successful in their jobs. extrovert managers will fit better in their jobs. The extremely work oriented person gets greatly involved in the job. For example. For example. managers with internal locus of control will be more efficient as intellectual and skilled performers. Machiavellianism Machiavellianism is manipulating or influencing other people as a primary way of achieving one's goal. without experiencing undue stress. managers need to develop a high tolerance for ambiguity. a manager may be unwilling to listen to a new idea related to doing something more efficiently. not dogmatic are most likely to be useful and productive organizational members. Naturally. but they need to know how to relax through exercises and self-monitor their stress levels. A high level of work ethic orientation of members is good for the organization to achieve its goals. While Type A persons help the organization to move ahead in a relatively short period of time they may also suffer health problems. For a workaholic turning to work can sometimes become a viable alternative to facing non-work related problems. willing to twist and turn facts to influence others. A manager who is very receptive to hearing about and trying out new ideas in the same circumstances might be seen as more open-minded or less dogmatic. and try to gain control of people. and who do not experience the competitive drive. which is dysfunctional for both organization and the workaholic members. Managers with a good mix of achievements.dogmatic in their beliefs respectively. A person who is not highly authoritarian might agree to carry out appropriate and reasonable directives from his boss. Type A and B Personalities Type A persons feel a chronic sense of time urgency. Too much "workahollism". Authoritarianism and Dogmatism Authoritarianism is the extent to which an individual believes that power and status differences are important within' hierarchical social systems like organizations. Dogmatism can be either beneficial or detrimental to organizations. if he tends to be logical in assessing the system around. exhibit a competitive drive. The above ten different personality predispositions are important for individual. Dogmatism is the rigidity of a person's beliefs and his or her openness to other viewpoints. Apart from possessing the necessary skills and abilities. DESIRED PERSONALITY CHARACTERISTICS FOR EFFECTIVE MANAGERS Obviously.. Extreme work ethic values could lead to traits of "workahollism" where work is considered as the only primary motive for living with very little outside interests. In sales and other people-oriented roles. But he may also raise questions. a manager with low risk propensity might lead to a stagnant and overly conservative organization. A manager with a high-risk propensity might be expected to experiment with new ideas and to lead the organization in new directions. which are beyond the managers’ control. This is because they will have the drive to achieve the goals and the interpersonal orientation to get the job done through others. Risk Propensity Risk-propensity is the decree to which an individual is willing to take chances and make risky decisions. express disagreement and even refuse to carry out requests if they arc for some reason objectionable. He is said to be a person who is close-minded or highly dogmatic. Managers with Type A personalities may suit very well for some jobs. will get more involved in their jobs and make things happen. Work-Ethic Orientation Some individuals are highly work-oriented while others try to do the minimum Work that is necessary to get by without being fired on-the-job. which have inbuilt performance pressures and deadlines. An individual tends to be Machiavellian. an employee who is highly authoritarian may accept directives or orders from his superior without much questioning. There are many changes taking place in the internal and the external environment of an organization. are highly achievement-oriented. #23 . they should be able to. but given the degree of change in the nature of organizations and their environments. Type B persons are easy-going individuals who do not feel the time urgency. managerial and organizational effectiveness.the self-concept and self-esteem. there arc some personality ^predispositions. might lead to premature physical and mental exhaustion and health problems. handle situations as they come. affiliations and power will be successful in most situations. the greater will be their contributions to the goals of the organization. Type A individuals are significantly more prone to heart attacks than Type B individuals. individuals who are. In contrast. several unpredictable factors are involved in any complex situation. The popular terms 'close-minded' and 'open-minded' describe people who are more and less . Thus. especially when the system rewards them for their contributions. which are favourable "to managerial effectiveness and to the success of managers. Therefore. and are impatient when their work is slowed down for any reason. a high tolerance for ambiguity is a desired managerial trait. Similarly.

Recognizing the essential ingredients for managerial success is the first step towards making the changes. Considerable research has been done on the role played by self-esteem outcomes in the organizational behavior. empowered and connected. "both research and everyday experience confirm that employees with high self-esteem feel unique. like some other people's. In summary. This self is particularly relevant to the concepts of self-esteem and self-efficacy in the field of organizational behavior. As defined above. It incorporates almost everything. Probably the best statement on personality was made many years ago by Kluckhohn and Murray. In the field of organizational behavior. personality is a very diverse and complex cognitive process. self and situational interactions. The human self is made of many interacting parts and may be thought of as the personality viewed from within. Selfefficacy. self-efficacy is conceptually close to self-esteem. It is concerned with external appearance and traits. Most recently done studies indicate that self-esteem plays an important moderating role in the areas of emotional and behavioral responses and stress of organizational members. competent. but our predispositions can be changed through conscious choice.Personality is a relatively stable factor. a person's personality is like all other people's. It was recently noted that. personality means the whole person. and like no other people's. Those with high self-efficacy feel capable and confident of performing well in a situation. People's self-esteem has to do with their self-perceived competence and self-image. while self-efficacy tends to be situation specific. secure." #24 . to the people around them" Self-efficacy is concerned with self-perceptions of how well a person can cope with situations as they arise. has been shown to have an empirical relationship with organizational performance and other dynamics of organizational behavior. THE SELF-CONCEPT: SELF-ESTEEM AND SELF-EFFICACY People's attempt to understand themselves is called the self-concept in personality theory. "to some extent. For instance. our latent needs can be activated and our skills in decision-making can be increased through training programs and by deliberately making the necessary changes. Also. the attributions we make for success such as internal versus external-locus of control can be changed. our tolerance for ambiguity and ability to handle stress can be considerably enhanced. Miner points out the differences by noting that self-esteem tends to be a generalized trait (it will be present in any situation).

Without reinforcement. Retention The stability of learned behavior over time is defined as retention and its contrary is known as forgetting. 4. Individuals operate under many drives at the same time. There may be two types i of stimuli with respect to their results in terms of response concerned: generalization and discrimination. Responses The stimulus results in responses. behavioral change must be relatively permanent. but bad habits. It allows the members to adapt to overall changing conditions and specific new assignments. perception or other complex phenomena. familiarity. The idea is to discover the conditions under which stimulus will increase the probability of eliciting a specific response. For example. they will have the same probability of evoking a specified response. Generalization occurs when a response is elicited by a similar but new stimulus. though this change is not necessarily an improvement over previous behavior. The practice or experience must be reinforced in order so as to facilitate learning to occur.any strong stimulus that impels action. the supervisor discriminates between the worker producing low quality products and the worker producing high quality products.LESSON – 7 LEARNING AND BEHAVIOR MODIFICATION Learning Objectives After reading this lesson. one with low quality and other with high quality. Some of the learning is retained over a period of time while others may be forgotten. The individual can borrow from past learning experiences to adjust more smoothly to new learning situations. 2. Responses may be in the physical form or may be in terms of attitudes. you should be able to: • • • Understand various factors affecting human behavior Explain implications of behavior modification Describe reinforcement for inducing positive behavior Learning is an important psychological process that-determines human behavior. Drive Learning frequently occurs in the presence of drive . Discrimination is a procedure in which an organization learns to emit a response to a stimulus but avoids making the same response to a similar but somewhat different stimulus. and positively responds only to the quality conscious worker. no measurable modification of behavior takes place. cue stimuli. Cue Stimuli Cue stimuli are those factors that exist in the environment as perceived by the individual. Discrimination has wide applications in 'organizational behavior. Drives are basically of two types -primary (or physiological). COMPONENTS OF THE LEARNING PROCESS The components of learning process are: drive. Learning can be defined as “relatively permanent change in behavior that occurs as a result of experience or reinforced practice". and work restrictions are also learned. To predict a behavior. The. Reinforcement Reinforcement is a fundamental condition of learning. Reinforcement may be defined as the environmental event's affecting the probability of occurrence of responses with which they are associated. LEARNING THEORIES #25 . reinforcement and retention. The behavioral change must be based oh some form of practice or experience. a supervisor can discriminate between two equally high producing workers. If two stimuli are exactly alike. response. These two categories of drives often interact with each other. The principle of generalization has important implications for human learning. Learning generally has the connotation of improved behavior. it is necessary to establish which drives are stimulating the most. and secondary (or psychological). stereotypes. Learning involves a change in behavior. In the above example. prejudices. Because of generalization. There are four important points in the definition of learning: 1. Any temporary change in behavior is not a part of learning. a person does not have to 'completely relearn each of the new tasks. 3.

water and sex are of biological importance and have effects. #26 . Extinction Extinction is an effective method of controlling undesirable behavior. and it is voluntary rather than reflexive. It is based on the principle that if a response is not reinforced. On the other hand. Something happens and we react in a specific or particular fashion. Reinforcement is anything that both increases the strength of response and tends to induce repetitions of the behavior. Cognitive learning is important because it increases the change that the learner will do the right thing first. Pavlov had conditioned the dog to respond to a learned stimulus. The dog eventually learned to salivate in response to the ringing of the-bell-even when there was no meat. As such it explains simple and reflexive behaviors. When Pavlov presented a piece of meat to the dog in the experiment. When Mr. when Pavlov merely rang a bell.. But behavior of people in organizations is emitted rather than elicited. Punishment Punishment is a control device employed in organizations to discourage and reduce annoying behaviors of employees. Extinction is a behavioral strategy that does not promote desirable behaviors but can help to reduce undesirable behaviors. It does not require an overt response.e. In order to apply reinforcement procedures successfully. Pavlov noticed a great deal of salivation. identifiable event.Classical Conditioning The work of the famous Russian physiologist Ivan Pavlov demonstrated the classical conditioning process. recognition. Observational learning plays a crucial role in altering behaviors in organizations. Secondary reinforcers like job advancement. For instance. Four types of reinforcement strategies can be employed by managers to influence the behavior of the employees. X observes that Y is rewarded for superior performance. negative reinforcement. Positive Reinforcement Positive reinforcement strengthens and increases behavior by the presentation of a desirable consequence (reward). positive reinforcement. which arc independent of past experiences. Cognitive Learning Here the primary emphasis is on knowing how events and objects are related to each other. It is elicited in response to a specific. Primary reinforcers such as food. without going through a lengthy operant conditioning process. a primary reinforcer like food satisfies hunger need and reinforced food-producing behavior. There are two typos of positive: reinforces: primary and secondary. Pavlov subsequently introduced the sound of a bell each time the meat was given to the dog. suggests that individuals emit responses that are either not rewarded or are punished. viz. controlled and altered by the consequences. extinction and punishment. The learning of these complex behaviors can be explained or better understood by looking at operant conditioning. He termed the food an unconditioned stimulus and the salivation an unconditioned response. Most behaviors in organizations are learned. Negative reinforcers also serve to strengthen desired behavior responses leading to their removal or termination. Most of the learning that takes place in the classroom is cognitive learning. a positive reinforce is a reward that follows behavior and is capable of increasing the frequency of that behavior. it salivated. operant behaviors. it will eventually disappear. Classical conditioning has a limited value in the study of organizational behavior. Negative Reinforcement The threat of punishment is known as negative reinforcement. When the dog saw the meat. OBSERVATIONAL LEARNING Observational learning results from watching the behavior of another person and appraising the consequences of that behavior. the dog did not salivate. classical conditioning represents an insignificant part of total human learning. Management can use the operant conditioning process successfully to control and influence the behavior of employees by manipulating its reward system. In other words. X learns the positive relationship between performance and rewards without actually obtaining the reward himself. Operant Conditioning An operant is defined as a behavior that produces effects. Operant conditioning. Operant conditioning is a powerful tool for managing people in organizations. It refers to non-reinforcement. As pointed out by Skinner. praise and esteem result from previous association with a primary reinforcer. Thorndike called this the "law of exercise" which states that behavior can be learned by repetitive association between a stimulus and a response. Classical conditioning is passive. maintained and controlled by its consequences. i. management must select reinforcers that are sufficiently powerful and durable. basically a product of Skinnerian psychology. Operant conditioning is a voluntary behavior and it is determined. Primary reinforcers must be learned.

the manager will attempt to educate more functional behaviors. This does not mean that learning theories are totally irrelevant.LEARNING THEORY AND ORGANIZATIONAL BEHAVIOR The relevance of the learning theories for explaining and predicting of organizational behavior is marginal. disobeying orders. by manipulating its reward system. poor performance. When individuals engage in various types of dysfunctional behavior such as late for work. Learning concepts provide a basis for changing behaviors that are unacceptable and maintaining those behavior that are acceptable. #27 . Managers can successfully use the operant conditioning process to control and influence the behavior of employees. Learning theory can also provide certain guidelines for conditioning organizational behavior. Managers know that individuals capable of giving superior performance must be given more reinforces than those with average or low performance.

an "attitude" is an individual's point of view or an individual's way of looking at something. the different components of an attitude held towards a firm. conflicting circumstances often arise. which prepares him to react or make him behave in a particular pre-determined way. To be more explicit. Attitude is the combination of beliefs and feelings that people have about specific ideas. "They are the worst supply firm I have ever dealt with"—Cognitive component. the intentional component of an attitude reflects how an individual 'expects to behave' towards or in the situation. an "attitude" may be explained as the mental state of an individual. The conflict that individuals may experience among their own attitudes is called 'cognitive dissonance. An attitude is defined as. "a learned pre-disposition to respond in a consistently favourable or unfavorable manner with respect to a given object". situations or other people. COMPONENTS OF ATTITUDE Attitude has three components. ATTITUDE FORMATION AND CHANGE #28 . However. which supplies inferior products and that too irregularly could be described as follows: • • • "I don't like that company"—Affective component. "I will never do business with them again"'—Intentional component. People try to maintain consistency among the three components of their attitudes. you should be able to: • • • • • Explain the concept of attitude in organizations Understand the method of formation of attitude Discuss individual attitude in organizations and indicate their effect on behaviour Explain the concept of perception and perceptual process Describe perception attribution in organizations In simple words. The affective component of an attitude reflects 'feelings and emotions' that an individual has towards a situation. Attitude is important because it is the mechanism through which most people express their feelings. Finally. The cognitive component of an attitude is derived from 'knowledge' that an individual has about a situation.1 shows the components of attitude. which are as follows: • Affective component • Cognitive component • Intentional component The figure 8. For example.LESSON – 8 LEARNING AND BEHAVIOUR MODIFICATION Learning Objectives After reading this lesson.

Both selectivity and organization go 'into perceptual. Organizational commitment is the individual's feeling of identification with and attachment to an organization. organizational commitment and job involvement. working conditions. Externally. the incoming information is organized into a meaningful whole. designing jobs. employees are more likely to be satisfied and committed. selectivity is affected by intensity. along with group and organizational factors such as relationships with co-workers and supervisors. Different people perceive the same information differently. Individual differences and uniqueness are largely the result of the cognitive processes. It is a process that takes place between the situation and the behaviour and is most relevant to the study of organizational behaviour. Organizational factors that influence employee satisfaction include pay. motion and novelty and familiarity. food in the canteen. assimilate them and then interpret them. can enhance job involvement. An employee with little involvement is motivated by extrinsic motivational factor and an employee with strong involvement is motivated by intrinsic motivational factors. situations or people. Organizations send messages in a variety of forms to their members regarding what they are expected to do and not to do. and in turn organizational working. a dissatisfied employee may be absent more often may experience stress that disrupts coworkers. A satisfied employee also tends to be absent less often. Hence. If the organization treats its employees fairly and provides reasonable rewards and job security. it may lead to low employee turnover and less absenteeism and vice-versa. A manager may have a negative attitude about a new employee because of his lack of job-related experience. the observation that a department head and a subordinate may react quite differently to the same top management directive can be better understood and explained by the perceptual process. Through this complex process. learning and personality. This directly affects organizational behaviour. In contrast. ATTITUDE: IT’S IMPORTANCE IN ORGANIZATIONAL BEHAVIOUR Attitudes of both workers and management react to each other and determine mutual relationships. work policies and compensation. Both may increase with an employee's age and years with the organization. Attitude is an understanding or learning of why employees feel and act the way. If employees are satisfied with their job. promotion possibilities. contrast. For example. it is very essential for the efficient working of an organization. After working with a new person. #29 . There are a number of factors that lead to commitment and involvement.by his or her work. managers need to have a general understanding of the basic perceptual process. An attitude may change as a result of new information. In particular.factors such as an individual's needs and aspirations determine this attitude.Individual attitude are formed over time as a result of repeated personal experiences with ideas. those messages are subject to distortion in the process of being perceived by organizational members. it is generally recognized that the perceptual process is a very important one. repetition. In the process of perception. and stays with the organization.satisfaction. Perception Perception is an important mediating cognitive process. promotion. which is situationally specific and learned. In spite of organizations sending clear messages. and may keep continually looking for another job. fringe benefits. size. So. with his sense of job security and participation in decision-making. attitudes provide knowledge base or prepare. people make interpretations of the stimulus or situation they are faced with. satisfaction depends on individual factors like individual's needs and aspirations. Group factors such as relationship with co-workers and supervisors also influence job. From a personal perspective. policies and procedures of the organizations and working conditions. uniform etc. a manager may come to realise that he is actually very talented and subsequently may develop a more positive attitude toward him. they do and help supervisors in winning cooperation from them. Internally. Although there arc a number of cognitive processes. for our interaction with others. Involving employees in decision-making can also help to increase commitment. superiors. Especially some important attitudes are job satisfaction or dissatisfaction. Extensive research conducted on job satisfaction has indicated that personal . Perception plays a key role in determining individual behaviour in organizations. which are interesting and stimulating. Similarly. and with the world around us. interpretations. After the selective process filters the stimulus situation. perceptual selectivity is influenced by the individual's motivation. our mental state. One of the very important ways to understand individual behaviour in an organization is that of studying attitude. Work-Related Attitudes People in an organization form attitude about many things such as about their salary. Involvement refers to a person's willingness to be a team member and work beyond the usual standards of the job. people receive many different kinds of information through all five senses. makes positive contributions. Job Satisfaction Job satisfaction is an attitude reflects the extent to which an individual is gratified or fulfilled . Organizational Commitment and Involvement Two other important work-related attitudes arc organizational commitment and involvement.

For instance. For example. For example. Especially in an employment situation. she will be very often. Conversely. The details of a particular situation affect the way a person perceives an object. if you observe that an employee is much more motivated than the people around (low consensus). The processes through which a person's perceptions are altered by the situation include selection. however. a manager who has formed a very negative attitude about a particular worker and he happens to observe a high performance from the same worker. stereotyping process. these perceptions lead to the belief that an individual's sex determines which tasks he or she will be able to perform. attributions and social facilitation. attitude change. Selective perception may make the manager to quickly disregard what he observed. Stereotyping Stereotyping is the process of categorizing or labeling people on the basis of a single attribute. But if selective perception causes managers to ignore important information. repetition and novelty. intensity. if dishonesty is associated with politicians. subordinates may be. perceived as a clerk and not an executive at first. But it would induce holding an exactly opposite assumption about a man. The degree of this motivation to manage impression will depend on factors like the #30 . is consistently motivated (high consistency). In this case influenced by the selective perception process he too will disregard it. and seems to work hard no matter what the task (low distinctiveness) you might conclude that internal factors are causing that particular behaviour.impression motivation and impression construction. it can become quite detrimental. Most recently. selective perception is beneficial because it allows us to disregard minor bits of information. attribution. Another example is of a manager who observes that an employee is late for a meeting. The Process of Impression Management As with other cognitive processes. recall that he is often late for other meetings (high consistency). Distinctiveness is the extent to which the same person behaves in the same way in other situations. and subsequently recall that the same employee is sometimes late for work (low distinctiveness). Stereotyping consists of three steps: identifying categories of people (like women. motivated to control how their boss perceives them. According to Attribution theory. consistency and distinctiveness. dishonesty respectively) and then assuming that any one who fits a certain category must have those characteristics. • Characteristics of the person include attitude. Consistency is the degree to which the same person behaves in the same way at different times. projection. Among these. impression management is the process by which the general people attempt to manage or control the perceptions that others form about them. organization. Consensus is the extent to which other people in the same situation behave in the same way. At this point. politician). People often tend to present themselves in such a way so as to impress others in a socially desirable manner. the manager might meet the subordinate to establish some disciplinary consequences to avoid future delays. if a woman is sitting behind the table in the office. and the halo effect process. In one sense. self-concept and personality. the same person may perceive the same object very differently in different situations. For example. among other things. by the characteristics of the person and by the situational processes. Thus. • Characteristics of the object include contrast. once we observe behaviour we evaluate it in terms of its consensus. two separate components of impression management have been identified . This pattern of attributions might cause the manager to decide that the individual's behaviour requires a change. movement.Basic Perceptual Process Perception is influenced by characteristics of the object being perceived. Selective Perception Selective perception is the process of screening out information that we are uncomfortable with or that contradicts our beliefs. For example. The forces within the person (internal) or outside the person (external) lead to the behaviour. impression management has considerable' implications for activities like determining the validity of performance appraisals. Attribution is a mechanism through which we observe behaviour and then attribute certain causes to it. impression management has many possible conceptual dimensions arid has been researched in relation to aggression. selective perception and stereotyping are particularly relevant to organizations. It serves as a pragmatic. PERCEPTION AND ATTRIBUTION Perception is also closely linked with another process called attribution. Perceptions based on stereotypes about people's sex exist more or less in all work places. He might realize that this employee is the only one whois laic (low consensus). we are likely to assume that all politicians are dishonest. a manager has a very positive attitude about a particular worker and one day he notices that the worker seems to be goofing up. IMPRESSION MANAGEMENT Social perception is concerned with how one individual perceives other individuals. associating certain characteristics with those categories (like passivity. political tool for someone to climb the ladder of success in organizations. Typically.

the discrepancy between the image one would like others to hold and the image one believes others already hold. target values and current social image. Employees using this approach try to disassociate themselves from the group and from the problem. Impression construction. interests. Coping with Individual Differences Individual differences and people's perception of them affect every aspect of behaviour in organizations. • Employees ascertain that they are seen with the right people at the right times. the differences between individuals. the other major process. role constraints. If employees are trying to minimize responsibility for some negative event or to stay out of trouble. desired and undesired identity images. or values. • Employees secretly tell their boss that they fought for the right thing. On the other hand. Using this broader approach. they may employ a demotion-preventative strategy. there is still little known of how they select the way to manage others' perceptions of them. • Employees point out that they did more. • Employees identify cither personal or organizational obstacles they had to overcome to accomplish an outcome and expect a higher credit. The promotion enhancing strategies involve the following activities: • Employees harbor a feeling that they have not been given credit for a positive outcome. • Employees apologies to the boss for some negative event. trying to treat each individual as a unique person #31 . if they are seeking to maximize responsibility for a positive outcome or to look better than what they really are. Although some theorists limit the type of impression only to personal characteristics others include such things as attitudes. five factors have been identified as being especially relevant to the] kinds of impression people try to construct: the self-concept. Although there has been a considerable research done on how these five factors influence the type of impression that people try to make. is concerned with the specific type of impression people want to make and how they create it.relevance that these impressions have on the individual's goals. but were overruled. but received a lesser credit. Managers must never underestimate. the value of these goals. Successful managers constantly monitor their own assumptions. physical status. Employee Impression Management Strategies There are two basic strategies of impression management that employees can use. The demotion-preventative strategy is characterized by the following activities: • Employees attempt to excuse or justify their actions. then they lean use a promotion-enhancing strategy. perceptions and attributions.

#32 . • It may be positive or negative. you should be able to: • • • • Understand the meaning. competence and other factors. causing the individual to move in a goal directed pattern towards restoring a state of equilibrium. • Motivated employees make full use of their energy and other abilities to raise the existing level of efficiency. which forces him to work more efficiently. rewards and other benefits while negative motivation implies some punishment. perception and competence of an individual. • Motivation also plays a crucial role in determining the level of performance. • It varies from person to person and from time to time. These factors help reduce absenteeism and labor turnover. which activates and compels the person to behave in a particular manner. may differ from individual to individual depending on his personality. These 'others' are human resources who need to be motivated to attain organizational objectives. fear. which may lead to higher efficiency. IMPORTANCE OF MOTIVATION Motivation is an important part of managing process. The manager in general has to get the work done through others. learning abilities. • Motivated employees are more loyal and sincere to an organization. nature and importance of motivation Explain need-based theories of motivation Discuss expectancy theory of motivation Explain ways of enhancing employee motivation The word motivation is derived from ‘motive'. Positive motivation includes incentives. by satisfying the need. FEATURES OF MOTIVATION The following are the features of motivation: • It is an internal feeling and forces a person to action. Highly motivated employees get higher satisfaction. "Motivation refers to the degree of readiness of an organism to pursue some designated goals and implies the determination of the nature and locus of force inducing a degree of readiness. the following observations can be made regarding motivation: • Motivation is an inner psychological force." In the words of Robert Dubin. Motivation is the key to organizational effectiveness. • Motivation is directly related to the level of efficiency of employees. • Motivation is also a process of stimulating and channelising the energy of an individual for achieving set goals. DEFINITION According to George R. • Motivation originates from the-needs and wants of an individual. • It is a continuous activity. • Motivation is considered as a backbone of good industrial relations. use of force etc. • The motivation procedure contributes to and boosts up the morale of the employees. Terry. it is "the complex of forces starting and keeping a person at work in an organization". They are more committed and cooperative for achieving organizational objectives. • A highly motivated employee works more efficiently and his level of production tends to be higher than others." According to Encyclopaedia of Management. • The process of Motivation helps the manager in analysing and understanding human behavior and finding but how an individual can be inspired to produce desirable working behavior. • The motivation process is influenced by personality traits. A team of highly qualified and motivated employees is necessary for achieving objectives of an organization because of the following reasons: • Motivated employees make optimum use of available resources for achieving objectives. • Motivated employees make goal-directed efforts." On the basis of above definitions. "Motivation is the desire within an individual that stimulates him or her to action. craving or need that must be satisfied. A high degree of motivation may lead to high morale.LESSON – 9 MOTIVATION AND BEHAVIOR Learning Objectives After reading this lesson. • Motivating force an^ its degree. It is a tension of lacking something in his mind. which means an active form of a desire. Viteles defines motivation as "an unsatisfied need which creates a state of tension or disequilibrium. • Motivation may be positive as well as negative. needs.

The motivation process begins with identification of individual needs. the cycle of motivation is constantly repeated. For most people these needs are satisfied by a combination of family and community relationships and friendships on the job. most physiological needs are satisfied by adequate wages and by the work environment itself. Esteem needs actually comprise of two different sets of needs: • The need for a positive self-image and self-respect. A number of theories have been developed.• • Effectively motivated employees get more job satisfaction and possess high morale. He then chooses to pursue one or more of these options for instance. Examples include the desire for adequate housing and clothing. when an employee feels underpaid then what. Understanding these theories facilitates the managers to get a better insight into the human behavior. comfortable temperatures and ventilation. An individual is motivated first and foremost to satisfy physiological needs. NEED-BASED THEORIES TO MOTIVATION Need-based theories try to answer the question. Security or safety needs refer to the requirements for a secure physical and emotional environment. then he tries to fulfill his needs by asking for a raise or by working harder to earn a raise or by seeking a new job. For example. Thus. the satisfaction of one need or set of needs is likely to give rise to the identification of other needs. • The need for recognition and respect from others.1 shows Maslow's hierarchy of needs Maslow suggested that the five levels of needs are arranged in accordance with their importance. a grievance resolving system and an adequate insurance and retirement benefit package. behaviorists and psychologists. belongingness. esteem and selfactualization needs. the need to be free from worry about money and job security and the desire for safe working conditions. This 'moving up process continues until the individual reaches the self-actualization level. adequate lighting. which provides employees with rest rooms. #33 . This includes managers. social scientists. Since people have many different needs. The figure 9. working harder while simultaneously looking for a job. If his hard work resulted in a pay rise. Physiological needs represent the basic issues of survival such as food. even though there is no universally acceptable motivation theory. Extensive research has been performed to find out what makes people work and how to motivate them. he is motivated and 'moves up' the hierarchy to satisfy security needs. This theory. he probably feels satisfied and will continue to work hard. security. In organizational settings. Understanding human motivation is crucial for managing people. Motivation also helps in improving the image of an organization. "what factor(s) motivate people to choose certain behaviors?" Some of the widely known need-based theories are as follows: (a) Maslow's Hierarchy of Needs Maslow Abraham proposed his theory in the 1940s. popularly known as the Hierarchy of Needs assumes that people are motivated to satisfy five levels of needs: physiological. sex. Belonging or social needs are related to the. They include the need for love and affection and the need to be accepted by one's peers. water and air. Managers can help ensure the 'satisfaction of these important needs by allowing social interaction and by making employees feel like part of a team or work group. When these needs are satisfied. Security needs are satisfied for people in the work place by job continuity. But if no raise has been provided he is likely to try another option. starting from the bottom of the hierarchy. social aspect of human life.

At the top of the hierarchy are those needs. The figure 9. This process of contributing to actual organizational performance helps employees experience personal growth and development associated with self-actualizing. it also suggests that if needs remain unsatisfied at some higher level. and an opportunity to learn new skills (growth) all at the same time. Relatedness needs refers to belongingness and esteem needs. which Maslow defines the self-actualization needs. For instance. ERG theory suggests that more than one kind of need might motivate a person at the same time. If for some #34 . for example. R and G stand for Existence. The existence needs in this theory refers to the physiological and security needs of Maslow. Relatedness and Growth. This is termed as satisfaction—progression process. it is difficult for organizations to use the need hierarchy to enhance employee motivation. For example. Moreover. Growth needs refers to both self-esteem and self-actualization needs.2 shows ERG theory: ERG Theory the need hierarchy developed by Maslow into three 9. there are two important differences. an organization can help in fulfillment of these needs by encouraging employee’s participation in decision-making process and by providing them with an opportunity to learn new things about their jobs and organization. But research has revealed several shortcomings of the theory such as some research has found that five levels of needs are not always present and that the order of the levels is not always the same as assumed by Maslow. an organization can help his employee by creating a climate for fulfillment of self-actualization needs. Then he attempts to establish more friendship to satisfy relatedness needs.called the ERG Theory of Motivation. (b) ERG Theory of Motivation Clayton Alderfer has proposed an alternative hierarchy of needs . Although the ERG theory includes this process. from security needs to belongingness. The letters E. regress to a lower level and will begin to pursue low level needs again. • Firstly. an employee should try to meet these needs on his own end. friendship (relatedness). Although ERG Theory assumes that motivated behavior follows a hierarchy in somewhat the same fashion as suggested by Maslow. self-actualization needs are perhaps the most difficult for managers to address. organizations can also help satisfy esteem needs by providing employees with challenging job assignments that can induce a sense of accomplishment. Therefore.Organizations can help address esteem needs by providing a variety of external symbols of accomplishment such as job titles and spacious offices. Maslow maintained that one heed must be satisfied before an individual can progress to needs at a higher level. These needs involve realizing one's potential for continued: growth and individual development. • Secondly. a worker previously motivated by money (existence needs) is awarded a pay rise to satisfy this needs. Since these needs are highly individualized and personal. At a more fundamental level. For" example. the individual will become frustrated. ERG theory has an element of frustrations-regression that is missing from Maslow's need hierarchy. Maslow's concept of the need hierarchy possesses a certain intuitive logic and has been accepted universally by managers. However. it allows for the possibility that people can be motivated by a desire for money (existence).2.

Specifically. Hertzberg recommends focusing on a different set of factors to increase motivation. an individual who identified 'low pay' as causing dissatisfaction did not necessarily mention 'high pay' as a cause of satisfaction. They have also criticized Herzberg's theory for its inability to define the relationship between satisfaction and motivation and to pay enough attention to differences between individuals. at present Herzberg's theory is not held in high esteem by researchers in the field of motivation. be satisfied.reason an employee finds that it is impossible to become better friends with others in the work place. Hence. Herzberg recommended that managers seeking to motivate employees should first make sure that hygiene factors are taken care of and that employees are not dissatisfied with pay. recognition. had a major impact on managers and has played a key role in increasing their awareness of motivation and its importance in type work place. Other researchers who measured satisfaction and dissatisfaction based on different aspects reached very different conclusions. which are related to the work environment in which the job is performed. dissatisfied or somewhere in between. ○ People may change their behavior after any particular set of needs has been satisfied. Hertzberg’s dual structure approach however suffers from certain drawbacks. The other structure involves a set of factors that result in feelings ranging from dissatisfaction to no satisfaction. Once a manager has eliminated employee dissatisfaction. For instance. advancement and growth. This is termed as ‘frustration-regression' process. several other factors. Although widely accepted by managers. He found that entirely different sets of factors were associated with satisfaction and dissatisfaction. Employees would. Motivators • Achievement • Recognition • Advancement • The work itself • The possibility of personal growth • Responsibility Hygiene or Maintenance Factors • Company policies • Technical supervision • Interpersonal relations with supervisor • Interpersonal relations with peers • Interpersonal relations with subordinates • Salary • Job security • Personal life • Work conditions • Status Based on these findings. by improving opportunities for advancement. (c) The Dual-Structure Approach to Motivation Another popular need-based approach to motivation is the dual-structure approach developed by Frederick Herzberg. The factors influencing satisfaction are called motivation factors or motivators. which are related specifically to the job itself and the factors causing dissatisfaction are called hygiene factors. he may eventually become frustrated and regress to being motivated to earn even more money. however. such as recognition or accomplishment. Herzberg argued that attitudes and motivation consists of a dual structure. This finding suggests that satisfaction and dissatisfaction are at opposite ends of a single scale. The ERG theory emphasis on the following key points regarding needs: ○ Some needs may be more important than others. He asked them to recall such occasions when they had been dissatisfied and less motivated. security and working conditions. he recommends job enrichment as a means of enhancing the availability of motivation factors. were cited as causing satisfaction. The theory. Herzberg developed this approach after interviewing 200 accountants and engineers in Pittsburg. Herzberg identified two sets of factors responsible for causing either satisfaction or dissatisfaction. 'X' AND ‘Y' THEORIES OF MOTIVATION #35 . One structure involves a set of factors that result in feelings ranging from satisfaction to no satisfaction. Instead. therefore. This is also known as Two-factor Theory.

Some examples of such organizations are organizations that break down jobs into specialized elements. have rigid rules and regulations. • Employees must be coerced. • Enjoy company and friendship. Need for Achievement : : Need for Power According to this theory the need for power. • Employees love work as play or rest. McGregor supports the applicability of motivational theory 'Y'. as an instrument of command and control is minimal. This motivational theory places emphasis on satisfaction of employees. shifting in the practical applicability of theory 'X' to theory ' Y' usually can be achieved. all of a sudden. that are sometimes very vigorously enforced. #36 . • Innovative spirit is not confined to managers alone. controlled or threatened to do the work. • Employees avoid responsibilities and seek formal direction. Literally. • Employees accept and seek responsibilities. have a stubborn character and exert authority.Douglas McGregor observed two diametrically opposing viewpoints of managers 'about their employees. this theory of behavior is related to organizations that lay hard and rigid standards of work-behavior. Theory of Y Following are the assumptions of managers who believe in the "Theory of Y" regarding their employees. Theory 'X' points to the traditional approach of management. relies heavily on self-control -and self-direction. they act effectively. I Theory of X Following are the assumptions of managers who believe in the "Theory of X" regarding their employees. are likely to be superior performers and occupy supervisory positions. Applicability of Theories 'X' and 'Y' Theory 'X' in its applicability. Need for Power 2. Need for Affiliation 3. design equipment to control worker's pace of work. However. Research suggests that people with a strong need for power. one is negative called "Theory of X" and another is positive called "Theory of Y". McClelland and his associate Atkinson have contributed to an understanding of motivation by identifying three types of basic motivating needs. in an effort to maintain friendship. instead of theory ‘X'. while theory 'Y'. • Employees dislike work. Theory 'Y’. Need for Affiliation The need for affiliation means the desire for human companionship and acceptance. some employees also possess it. with systematic. Such types of individuals generally look for positions of leadership. Organization should keep in mind that once theory 'X' is employed for organizational working. MC-CLELLAND's NEED THEORY OF MOTIVATION David C. The principal characteristics of such peoples' traits are as follows: • Desire to like and be liked. • Prefer cooperative situation. it is difficult for the management to shift to theory ' Y'. judicious and slow steps. Those with a high need for affiliation often behave the way they think other people want them to. • Most employees consider security of job. places exclusive reliance upon external control of human behavior. most important of all other factors in the job and have very little ambition. secures the commitment of employees to organizational objectives. 'Participation' and 'Management by Objectives' are quite consistent with theory ' Y'. These needs have been classified as: 1. which might be defined as the desire to be influential in a group and to control one's environment is an important motivation factor. Employees exercise self-direction and self-control. are outspoken. While applying this theory. They prefer a job that entails a good deal of social interaction and offers opportunities to make friends. The concepts of 'Job' Enlargement'. • Employees are self-directed and self-controlled and committed to the organizational objectives. • Excel in group task. • Leadership qualities. the use of authority. establish 'norms of production. • Star attraction in gathering. on the other hand.

who are sociable. They do not explain why or how motivated behavior occurs.process of governing choices. desires and goals.. Vroom's expectancy theory views motivation as a. These concepts are addressed by various process-based theories to motivation. These people are concerned with their progress. The expectancy theory rests on four assumptions: • The theory assumes that behavior is determined by a combination of forces in the individual and in the environment. 2 lakh per year.Victor Vroom.for themselves. are ever prepared to face challenging situations and set arduous goals . Next he sees an advertisement is for Field Supervisor for a salary of Re. and possess a high sense of personal responsibility in getting jobs done. He chooses to apply for this job because he wants it and also thinks that he has a reasonable chance of getting it. cooperative and understanding. Then he comes across another advertisement for a Management Trainee in a big organization with a starting salary of Rs.can probably get the job. Needs theories are content-oriented . For instance. but still doesn't apply simply because he doesn't want it. They are prone to take calculated risks. Persons with high motivation for power and affiliation have better chances of becoming good managers. 1 lakh per year. Process-based theories to motivation are concerned with how motivation occurs. Basically. friendly. In this case he realizes that he . a person is looking for a job and reads an advertisement for a position of Marketing Executive with a starting salary of Rs.that is. Figure 9. he probably does not apply because he is aware that there is little chance of getting it. These questions relate to behaviors or actions. Even though he might want the job. 3 lakh per year. The expectancy theory tries to explain how and why people choose a particular behavior over an alternative. They focus on why people choose to enact certain behavioral options to fulfill their needs and how they evaluate their satisfaction after they have attained these goals. • It assumes that different people have different types of needs. always feel ambitious to be successful. • It assumes that people make decisions about their own behavior in organizations.3 shows the expectancy theory of motivation. (a) Expectancy Theory of Motivation Expectancy theory of motivation was developed by. PROCESS-BASED THEORIES TO MOTIVATION The field of organizational behavior has generally moved a way from the needs theories of motivation. they explain what are the causes leading to motivated behaviors. #37 . and feel inclined to put in longer hours of work" Failures never dishearten them and they are always ready to put in their best efforts for excellent performance. Two of the most useful process-based approaches to motivation arc expectancy theory and equity theory.This need is closely associated with the "social-type” of personality. goals and feelings of satisfaction. The theory suggests that motivation depends on two things: how much an individual desires a particular goal and how likely he thinks he can get it. Need for Achievement People with a high need for achievement.

0 with a moderate expectancy. no doubt 'expectancy' theory has gained much popularity with theorists.0. When an individual believes that effort will lead directly to high performance. Performance-to-Outcome Expectancy The performance-to-outcome expectancy means an individual's perception of the probability that performance will result in a specific outcome. he may also be subject to a lot of stress and incur resentment from co-workers.. The expectancy theory also has several other important practical implications. that is close to 1. the effort-to-performance expectancy must be greater than zero. • Define. communicate and clarify the level of performance that is desired. so they fall somewhere between 0. which are as follows: • First. The above model suggests that motivation leads to efforts and that effort.00. An individual who believes that high performance may possibly lead to a pay raise has a moderate expectancy between 1. When an individual believes that effort and performance are unrelated. the performance-to-outcome expectancy must also be greater than zero. If an individual wants an outcome.0. that is close to 0. expectancy is quite strong. Porter and #38 . result in performance. in turn. that is close to 1. its valence is zero. then he has to make sure whether the reward system is highly supportive to hard work or high quality. In conclusion. if one feels sure that studying hard for an examination (effort) will result in scoring high marks (performance). may get big pay raises.00. is that rewards must correspond to the varying preferences of an individual employee. so as to make them feel confident that their energized efforts will be rewarded. for example.00 and 0. If an individual is indifferent to an outcome. Effort-to-Performance Expectancy The effort-to-performance expectancy refers to an individual's perception of the probability that effort will result in high performance. For instance. • Link desired outcomes to performance goal achievement. • Third. when combined with individual ability and environmental factors. And an individual who believes that performance has no relationship to rewards has a low performance-to-outcome expectancy that is close to 0. Usually we are not sure about our expectations. the individual is motivated to expand effort. an index of how much an individual desires a particular outcome. as applicable in their case. three conditions must be met. For example. According to this model. However. fast promotions and praise from the boss. Performance. individuals develop some sense of these expectations before they exhibit motivated or non-motivated behavior. • Second. leads to various outcomes—each of which has an associated value called its 'valence'. • Establish attainable performance goals. which managers should keep in mind. The Porter-Lawer Extension Porter and Lawler have proposed an interesting extension to the expectancy theory. the effort-to-performance expectancy is very weak. Expectancy theory maintains that when all of these conditions are met. its valence is positive. . but much more work still needs to be put in. Another important point. The managers can perform the following activities in relation to this • Determine what outcomes employees prefer. If an individual does not want an outcome. Each of these outcomes has an associated value or valence that is. the sum of the valences for all relevant outcomes must be greater than zero.0 and 1. is communicated to them. an individual who believes that high performance will lead to a pay raise has a high performance-to-outcome expectancy. before it can be accepted for use as an effective instrument of explanation of 'motivation' with all its implications. A high performer. Outcomes and Valences Expectancy theory recognizes that an individual may experience a variety of outcomes as a consequence. The human relationists assumed that employee satisfaction causes good performance but research has not supported such relationship. The manager will particularly see that the specific system. Practical Applicability of Expectancy Theory If a manager wishes to motivate his employees for increased and better performance. for motivated behavior to occur on the part of any individual. Thus.• It assumes that people make choices from among alternative plans of behavior based on their perceptions of the extent to which a given behavior will lead to desired outcomes. approaching to 1. of behavior in an organizational environment. then his effort-to-performance expectancy is high. which should not be ignored by the manger. its valence is negative. It is this advantage of expectancy theory that goes beyond the need-based approaches to motivation.

Lawler suggest that there may indeed be a relationship between satisfaction and performance but that it goes in the opposite direction, that is, superior performance can lead to satisfaction. Porter-Lawler Model First, an individual's initial effort is influenced by his perception regarding the value of reward and the likelihood that the effort will yield a reward. The probability that increased effort will lead to improved performance is affected by an individual's traits, abilities and perception of his role in an organization. The model also distinguishes between intrinsic and extrinsic rewards. Finally, the Porter-Lawler model borrows from equity theory the idea that the employee's satisfaction depends on the perceived equity of the rewards relative to the 'effort expended and the level of performance attained. Implications for Managers Expectancy theory can be useful for organizations attempting to improve the motivation of their employees. Nadler and Lawler suggest a series of steps for managers in applying the basic ideas of the theory. 1. They should determine the primary outcomes that each employee likely desires. 2. They should decide what kind and levels of performance are needed to meet organizational goals. 3. They should ascertain that the desired levels of performance are attainable. 4. They should ensure that desired outcomes and performance are linked. 5. They should also analyze the complete work situation for conflicting expectancies. 6. They should make sure that the rewards are large enough. 7. They should make sure that the overall system is equitable for everyone. The expectancy theory has also its limitations. It is quite difficult to apply, for example, application of this theory in the work place would require to identify all the potential outcomes for each employee, to determine all relevant expectancies and then to balance everything somehow to maximize employee motivation. Expectancy theory also assumes that people are rational - therefore, they will systematically consider all the potential outcomes and their associated expectancies before selecting a particular behavior. However, few people actually make decisions in such a precise and rational manner.

(b) Equity Theory J. Stacy Adams developed equity theory of motivation. The equity theory argues that motivations arise out of simple desire to be treated fairly. Equity can be defined as an individual's belief that he is being treated fairly relative to the treatment of others. The figure 9.4 shows the equity process. A person's perception of equity develops through a four-step process as shown below: 1. First an individual evaluates the way he is being treated by an organization. The next step is for an individual to choose a co-worker who seems to be in a roughly similar situation and to observe how an organization treats him. In the crucial step of equity theory an individual 'compares' the two treatments. In the fourth step he evaluate a sense of equity to see if the two treatments seem similar or if the are different.

2. 3. 4.

Adam suggests that employees make these comparisons by focusing on input and outcome ratios. An employee's contributions or input to an organization include time, education, effort, experience and loyalty. Outcomes are what an individual receives from an organization such as, pay, recognition and social relationships. The theory suggests that people view their outcomes and inputs as ratio and then- compare their ratio to the ratio of someone else. This other 'person' may be someone in the work group. The comparison may result in three types of attitudes: • The individual may feel equitably rewarded, • Under-rewarded. • Over-rewarded. An individual will experience a feeling of equity when the two ratios are equal. If an individual has the feeling of equity then he should maintain the status quo. If he has a feeling of inequity then he is likely to change the input. The single most important idea for managers to remember about equity theory is that if rewards are to motivate employees, they must be perceived as being equitable and^ fair. However, managers must remember that different

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employees have different sense towards basis for a reward and this may result in problems. Hence, the best way to avoid such problems is to make all employees aware of the basis for rewards. Reinforcement Based Approaches to Motivation A final approach to the motivation process focuses on why some behavior are maintained and changed overtime. Reinforcement-based approaches explain the role of those rewards as they cause behavior to change or remain the same over time. Specifically, reinforcement theory is based on the fairly simple assumption that behaviors that result in rewarding consequences are likely to be repeated, whereas behavior that results in punishing consequences are less likely to be repeated. There arc similarities between expectancy theory and reinforcement theory. Both consider the processes by which an individual chooses behaviors in a particular situation. However, the expectancy theory focuses more on behavior choices and the latter is more concerned with the consequences of those choices. Reinforcement Contingencies Reinforcement contingencies are the possible outcomes that an individual may experience as a result of his or her behaviors. The four types of reinforcement contingencies that can affect individuals in an organizational setting are positive reinforcement, avoidance, punishment and extinction. Positive Reinforcement is a method of strengthening behavior. It is a reward or a positive outcome after a desired behavior is performed. When a manager' observes an employee is doing a good job and offers praise then this praise helps in positive reinforcement of behavior. Other positive reinforces include pay, promotions and awards. The other reinforcement, contingency that can strengthen desired behavior is avoidance. This occurs when an individual chooses certain behavior in order to avoid unpleasant consequences. For instance, an employee may come to work on time to avoid criticism. Punishment is used by some managers to weaken undesired behaviors. The logic is that the unpleasant, consequence will reduce an undesirable behavior again, for example, punishing with fine for coming late. Extinction can also be used to weaken behavior, specially that has previously been rewarded. When an employee tells a vulgar joke and the boss laughs, the laughter reinforces the behavior and the employee may continue to tell similar jokes. By simply ignoring this behavior and not reinforcing it, the boss can cause the behavior to subside which eventually becomes 'extinct'. Positive reinforcement and punishment are the most common reinforcement contingencies practiced by organizations. Most managers prefer a judicious use of positive reinforcement and punishment. Avoidance and extinction are generally used only in specialized circumstances. NEW APPROACHES TO MOTIVATION IN ORGANIZATIONS New approaches are emerging to supplement the established models and theories of motivation. Two of the most promising are Goal-Setting Theory and the Japanese Approach. (a) Goal-Setting Theory This approach to motivation has been pioneered in the USA by Edwin Locke and his associates in 1960s and refined in 1980s. Goal-setting theory suggests that managers and subordinates should set goals for an individual on a regular basis, as suggested by MBO. These goals should be moderately difficult and very specific and of type that an employee will accept and make a commitment to accomplishing them. Rewards should be tied directly to accomplished goals. When involved in goal-settings, employees see how their effort will lead to performance, rewards and personal satisfaction. Salient features of this theory are as follows: • Specific goal fixes the needs of resources and efforts. • It increases performance. • Difficult goals result higher performance than easy job. • Better feedback of results leads to better performances than lack of feedback. • Participation of employees in goal has mixed result. • Participation of setting goal, however, increases acceptance of goal and involvements. • Goal setting theory has defined two factors,' which influences the performance. These are given below: ○ Goal commitment ○ Self-efficiency. The mere act of goal setting does not ensure higher levels of motivation among employees. In fact, there seem to be three important criteria that goals must meet if they are to influence the behavior of organization members. They are goal specificity, goal difficulty and goal acceptance. Goal Specificity

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Goals must be stated in specific terms if they are to motivate effective performance. Goals must be set in terms of measurable criteria of work performance, i.e., number of units produced, new sales etc. and must specify a lime period within which the goal is to be attained. It also gives a sense of personal satisfaction and accomplishment to workers if he is able to meet the specific goal.

Goal Difficulty/Challenge There exists a relationship between goal difficulty and work motivation. The more difficult- and challenging the goal is, the higher the level of motivation and performance. However, it is essential that goals are set at realistic levels. Goals that are very difficult to achieve are unable to motivate since it is beyond the capacity of the concerned individual. Goal Acceptance In order to influence motivation and performance, a goal must be internalized by an individual. In other words, the person has to feel some personal ownership of the goal and must have commitment to achieve it. Goal Setting in Practice The most obvious implication of goal-setting theory is that managers should be helping subordinates to set goals that are specific and reasonably difficult so that subordinates accept and internalize them as their own goals. Besides this, there are a number of issues that arise in implementing goal setting in practice. • Though specificity of goal is essential and measurability is desirable, it should not affect in identifying meaningful and valid objective of goal attainment. • The manager can stimulate goal acceptance in at least three ways: ○ By involving subordinates in goal-setting process. ○ By demonstrating a supportive attitude and approach toward his subordinates. ○ By assigning various rewards to the achievement of goals. Management by Objectives (MBO) is a managerial technique for improving motivation and performance using goal-setting principles. Cognitive Evaluation Theory A researcher 'Charms' reported in 1960 that extrinsic motivation like pay or rewards for a job, which has an intrinsicmotivation content, which is prior to such rewards. It tends to decrease overall level of motivation. This proposal is called cognitive Evaluation Theory" which has been supported by a large number of research studies conducted subsequently. (b) Japanese Approach to Motivation The Japanese approach to motivation has gained increasing popularity around the world during the past few years. This approach is rather a philosophy of management than a theory or model. The basic tenet of the Japanese approach is that managers and workers should perform together as partners. Since both of them see themselves as one group, ail members are committed and motivated to work in the best interests of an organization. No one is called an employee; instead everyone is a team member, team leader or coach and everyone owns the 'share' of an organization. Like goal-setting meow, the Japanese approach is likely to become more common in businesses throughout the world. Integration of Motivation Theories Thus several theories complicate our understanding. Some of these theories are compatible and some are not. The real challenge that a researcher has to face is integration of all or at least some of these together so that their inter and intra-relationships are established. This will also improve the understanding of motivation. Certain attempts are made in USA and elsewhere. Enhancing Motivation in Organizations Managers trying to enhance the motivation of their employees can, of course, draw on any of the theories described above. They may in practice adopt specific interventions derived from one or more theories or they may influence motivation through the organization's reward system. The organization can enhance motivation in following ways: • Humanize the work environment: Respect the need to treat each employee as an individual. • Publicize both short and long-term organizational goals: Encourage personal and departmental goal setting. • Promote from within: It's great for morale and simplifies hiring procedures. • Use incentive programs: Inducing the feeling that 'if you're creative enough, you won't have to rely on expensive financial bonuses.' • Establish appropriate deadlines: Every project should have a deadline. • Be liberal with praise: It's almost impossible to over praise and easy to under praise. • Be consistent in your own work and in your relations with others.

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There are three types of QWL programs.• • • Show a personal interest in the people who work for you: Relations are always smoother between people who know each other on a personal basis than relations between people who merely want something from each other. however. job enlargement. #42 . social-need satisfaction. Pay and Job Performance Pay often can be used to motivate employee performance. Quality of Work Life Programs Quality of Work Life (QWL) is defined as an attempt through a formal program to integrate employee needs and well being with the intention of improved productivity. Expectancy theory helps explain the role of work design in motivation. Alternative Work Schedule Organizations also frequently use the modified 'work-week' as a way to increase employee motivation. Don't whitewash unpleasant assignments: Prepare subordinates for unpleasant assignments well in advance and offer what support you can. They are. vehicles for providing employees with opportunities to satisfy lower and upper-level needs as stated by Maslow. Managerial Approaches for Improving Motivation A number of approaches can help managers motivate workers. A modified 'work-week' can be any work schedule that does not conform to a traditional 8 hours a day or 5 days a week format. in essence. to perform more effectively. greater worker involvement and higher levels of job satisfaction. job enrichment as part of motivational programme. • Minimize the negative consequences of good performance. participation in work improvement and challenge and opportunity for growth. personnel and the utilization of resources. The idea pursued here is that mangers can use any of the alternatives job rotation. and • Create conditions in which rewards other than pay are evaluated as related to good performance. Admit mistakes: People will respect you for it and will be less likely to hide their own mistakes. through the motivators described in 'Herzberg's theory. Programs for QWL improvements range from those requiring minor changes in an organization to those requiring extensive modifications in structure. Job-Redesign Job-Redesign or changing the nature of people's job is also being used more as a motivational technique. But a pay plan also must be able to do the following tasks: • Create the belief that good performance leads to high levels of pay. which are as follows: Quality Circles Quality Circles (QC) are small groups of workers who meet regularly with their supervisor as their 'circle leader' to solve work-related problems. have been especially effective: linking pay to jot performance and quality of work-life programs. QCs give an employee an opportunity for involvement. Two approaches. The following steps promote intrinsic motivation: • Workers Participation in Management (WPM) • Management by Objectives (MBO) • Organization Behavior Modification • Job-Redesign • Alternative Work Schedules. It also provides an opportunity to fulfil several needs simultaneously. The modified 'work-week' helps individual satisfy higher-level needs by providing more personal control over one's work schedule.

In a sense. Caldur and Schurr in 1981 suggested that there are three different approaches to evaluating job satisfaction. Job satisfaction is the result of various attitudes the employee holds towards his job. The second approach is the 'social information processing model'. Job Factors These factors include the type of work to be performed. it usually depends upon the level and range of intelligence and the challenge of the job. Where skill exists to a considerable degree it tends to become the main source of satisfaction to the employee. For our purposes job satisfaction will be defined as the amount of overall positive affect or feelings that individuals have towards their job. fringe benefits. Locke defines job satisfaction as a "pleasurable or positive emotional state resulting from the appraisal of one's job experiences". job satisfaction is determined by the discrepancy between what individuals expect to get out of their jobs and what the job actually offers. policies etc. Organizational Factors These factors include security. As regards the relation of opportunity for advancement to job satisfaction. There is no clear research evidence between educational level and job satisfaction. As regards the relation of occupational status to job satisfaction. working conditions etc. The third approach is the if information processing model'. occupational status involved in the job etc. as a number of research studies have shown that varied work generally brings about more satisfaction than routine work. The type of work is very important. positive or negative disposition learned through experiences. then there is an improvement in both the quality and quantity of production. i. If they are not satisfied. intelligence etc.e. you should be able to understand: • • • The concept of job satisfaction The various factors relating to job satisfaction The methods of enhancing job satisfaction The term 'job satisfaction' refers to an employee's general happiness with his or her job. then both the quantity and quality of his output will be low. it has been found that this factor is most important to skilled personnel and least important to unskilled personnel. which is based on the accumulation of cognitive information about the -work place and one's job. sex. age. which suggests that job satisfaction and other work place attitudes are developed or constructed out of experiences and information provided by others at the work place. an effective downward flow of communications in an organization is also important to job satisfaction as employees are keen to know more about the company and its plans. as it argues that a person's job satisfaction is influenced directly by the characteristics of their job. There is as yet no consistent evidence as to whether women are more satisfied with their jobs than men. job satisfaction significantly contributes to employee productivity and morale. Basically. Social and economic security to employees increases job satisfaction. the wages and salaries and fringe benefits are definitely the main factors that affect job satisfaction of employees. Most of the evidence on the relation between age and satisfaction seems to indicate that there is generally a positive relationship between the two variables up to the pre-retirement years and then there is a sharp decrease in satisfaction. which have less social status or prestige. The first approach is that work attitudes such as job satisfaction are dispositional in nature. this is the most obvious approach. they are stable. Desirable working conditions are also important to job satisfaction. opportunities for advancement. #43 . FACTORS RELATING TO JOB SATISFACTION Some of the most important factors relating to job satisfaction are briefly stated below: Personal Factors These factors include the individual employee's personality..LESSON – 10 JOB SATISFACTION Learning Objectives After reading this lesson. An organization can be substantially benefited if it develops general attitudes of its employees that can effectively contribute to job satisfaction. The importance of job Satisfaction is that if the people are satisfied with their work. skill required for work performance. towards related factors and towards life in general. A person will be satisfied if there is no discrepancy between desired and actual conditions Importance of Job Satisfaction Obviously. research evidences indicate that employees are relatively more dissatisfied in those jobs. Besides. there will be high absenteeism and employee turnover and increased unionism. educational level. wages and salaries. As regards the relationship between the intelligence level and job satisfaction.

2. 16. career prospects. turnover and absenteeism will be less and productivity will be more. The feeling you have about the way you and your efforts are valued. 5. The actual job itself The degree to which you feel “motivated” by your job Current career opportunities The level of job security in your present job The extent to which you may identify with the public image or goals of your organization The style of supervision that your superiors use The way changes an innovations are implemented The kind of work or tasks that you are required to perform The degree to which you feel that you can personally develop or grow in your job. Similarly. 11. 6. #44 . For example. which explore pay. satisfaction of individual expectations results in group integration and cohesiveness. 18. 17. They all tend to involve scales. 9. Further. 15. job enrichment. which contains all of the elements that usually make up a job satisfaction measure. 22. The way in which conflicts are resolved in your company. 10. 4. 13. Measuring Job Satisfaction There have been many measures of job satisfaction in the work place from the Job Description index to Job Satisfaction Scales to the more recent job satisfaction scale of the Occupational Stress Indicator (OSI). The scope your job provides to help you achieve your aspirations and ambitions The amount of participation which you are given in important decision making The degree to which your job taps the range of skills which you feel you possess The amount of flexibility and freedom you feel you have in your job. it should appreciate the role-of such factors and must take care to place the employees where the personal factors of the individual help him in achieving job satisfaction. TABLE 10. 7. 12. and job enlargement may help increase job satisfaction. work activities. 8. the management can use the factors inherent in the job to plan and administer jobs more advantageously for its personnel. The relationships you have with other people at work. Your level of salary relative to your experience The design or shape of your organization’s structure The amount of work you are given to do whether too much or too little The degree to which you feel extended in your job 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 MEASURES TO INCREASE JOB SATISFACTION Although management cannot change the personal factors in job satisfaction. 14. and relationship with superiors and relationship with colleagues. 3. Communication and the way information flows around your organization.If employees are satisfied. 21. the policy of job rotation. working conditions. An example of a measure of job satisfaction from the OSI. The psychological “feel” or climate that dominates your organization. is given in the Table 10. Management should also take necessary steps to raise the occupational status of the workers. 19.1: An Example of a Measure of Job Satisfaction from the OSI How You Feel About Your Job? Very much satisfaction 6 Much satisfaction 5 Some satisfaction 4 Some dissatisfaction 3 Much dissatisfaction 2 Very much dissatisfaction 1 1.1. 20.

The management should carefully develop appropriate policies and practices for promotions and transfers. It is evident from the above description that there are many factors that influence job satisfaction and the managements must be able to work out a broad strategies that may help increase job satisfaction and must also able to identify the specific factors that causes the individual differences and must evolve appropriate strategies that could raise the job satisfaction of those particular segment. while keeping in view the factors related to job satisfaction. freedom to do work will also help increase job satisfaction. Proper delegation of authority. working conditions. the management must recognize the importance of the stability of employee attitudes that may lead to high morale and production. fringe benefits. wages. grievance handling. satisfactory hours of work and adequate rest pausing. Management should also able to recognize and appreciate the good work done by the employees and give respect for their creative suggestion. Above all. #45 .

• While accomplishing tasks. individuals communicate with each oilier. They are useful for the organization as they form foundation of human resources. He must understand group psychology and should also understand individual behavior in the context of group behavior. Individual and group behavior vary from each other. A manager can easily coordinate with the work of an individual by giving the group a task and allow them to co-ordinate with each other. It is difficult for members to interact sufficiently in a large group. construction of a fly-over. • The tasks in modern industries are becoming more complex. They also make the environment at workplace more lively. Group efforts are required for its completion. who move in groups. tedious arid of repetitive nature. making of a movie. Managers need groups to co-ordinate individual behavior in order to reach the organizational goals. working in a group. which are as follows: • Functional or formal groups Functional groups are the groups formed by the organization to accomplish different organizational purposes. work groups and teams are formed to monitor the work. But for a group to work effectively. all members of a group together use their creative and innovative ideas than a single individual. Types of Groups In an organization. you should be able to: • • • Define the term group and describe types of groups Understand group formation and development Discuss group norms and group cohesiveness A group consists of a number of individuals working together for a common objective. Human behavior consists of individuals. The key parts of this definition are the concepts of interaction and influence. • In a group. Need for a Group The reasons for the need. etc. They use project teams and work committees where workers get due recognition. • Group has the ability to satisfy the needs of its members. DEFINITION OF A GROUP A group is a two or more individual who interact regularly with each other to accomplish a common purpose or goal. Groups have significant influence on an organization and are inseparable from an organization. According to Marvin Shaw. Elton Mayo and his associates conducted the Hawthorne experiments and came to know that the group behavior has great impact on productivity. "a formal group is said to be any social arrangement in which the activities of #46 . which also limit the size of the group. For example. According to A L Stencombe. he need not explain the task to each and every individual.11 GROUP DYNAMICS Learning Objectives After reading this lesson. • Groups help in making participative management more effective. • A group can judge in a better way as compared to an individual. The importance of group behavior has been realized from time to time. The study of group behavior is essential for an organization to achieve its goals. "a group comprises. of two or more persons who interact with one another in such a manner that each person influences and is influenced by each other person'. Groups or work teams are the primary tools used by managers. • Group efforts affect an individual. The group in which he moves influences individual work. of groups are as follows: • Management of modern organizations make mutual efforts to introduce industrial democracy at workplace. building a ship. Therefore. job satisfaction and effective performance. there are three types of groups. discuss their work performances and take suggestions from each other to make it better. In 1920. managers must pay attention to the needs of individuals. • Groups of all kinds and types help by cooperating in all the matters related to production and human relations to work effectively in the organization. All these require coordinated and unified efforts of many individuals.LESSON . • An individual cannot perform each and every task. Groups can make a manager's job easier because by forming a group. They willingly participate in decision-making. The knowledge of group behavior as well as individual behavior is necessary for a manager. his attitude and behavior. Work committees. the interactions between its members should be productive.

• Task group Tasks groups are the groups formed by an organization to accomplish a narrow range of purposes within a specified time. medical benefit and other facilities are the examples of interest groups ○ Membership group: Membership groups are the groups of individuals' belonging to the same profession and knowing each other. The organization does not take any active interest in their formation. "the network of persons and social relations which is not established or required form an informal organization". They want support from the group. ○ Friendship group: Friendship groups are the groups of individuals belonging to same age group. task forces and work teams are included in task groups. The individuals of a group can join and leave the group any time and they can also change their tasks. regulations and policy of the organization. tastes and opinions. These groups are permanent in nature. values etc. the advertising department. which are as follows: • Organizational motives to join groups: Organizations form functional and task groups because such groups help the organization in structuring and grouping the organizational activities logically and efficiently. Informal groups form when individuals are drawn together by friendship. These groups work as an informal communication network forming a part of the grapevine to the organizations.some persons are planned by others to achieve a common purpose". There are certain motives because of which. They suspect their integrity and consider as a virtual threat. the quality control department and the public relations department. According to Keith David. which an organization cannot avoid. teachers of the same faculty in a university. Groups are formed voluntarily. These groups are spontaneous. Employees coming together for payment of bonus. etc. These groups can also be formed outside the plant or office and can be in the form of clubs and associations. beliefs. the individuals join a group. together. Some managers consider them to be harmful to the interest of an organization. Informal groups are very effective and powerful. by mutual interests or both. GROUP FORMATION AND DEVELOPMENT Groups can form when individuals with similar goals and motives come. These groups are temporary in nature. having similar views. Informal committees. increase in salary. Some managers do not consider them as threat and seek the help of group members in getting the organizational task accomplished. evaluating a proposed grievance procedure. • Informal group Informal groups are the groups formed for the purposes other than the organizational goals. #47 . For example. The organization after specifying a group membership. They are also like a powerful force. They have to follow rules. These are the groups formed by the employees themselves at the workplace while working together. ○ Reference group: Reference groups are the group where individuals shape their ideas. assigns a narrow set of purposes such as developing a new product. They also develop a solution to a problem or complete its purpose. A formal organizational group includes departments such as the personnel department. understanding how groups form and develop is important for managers. Informal groups are of following types: ○ Interest group: Interest groups are the groups formed to attain a common purpose. Hence.

The factors that contribute to interpersonal attraction are sex. may motivate individuals to join.2 These different stages of group development are explained as follows: • Mutual Acceptance The very first stage of a group development is called "Mutual Acceptance". Individuals join groups.1: • Interpersonal attraction: Individuals conic together to form informal or interest group. a club. various personal motives affect membership. STAGES OF DEVELOPMENT Members of new group are unfamiliar with one another's personalities and : hesitant in their interactions. • Communication and Decision-making The second stage of group development is "Communication and Decision-making''. all these are group activities that individuals enjoy. similar attitudes. • Interest in-group activities: Individuals may also be motivated to join an informal or interest group because the activities of the group appeal to them. as they arc also attracted to each other. • Need for affiliation: Another reason for individuals to join groups is to satisfy their need for attachment. which is dedicated to environmental conservation. The closeness of group members may also be an important factor. Motivation and Productivity • #48 . which are depicted in the figure 11. The new group must pass s of development.2. • Instrumental benefits: Group membership sometimes also helpful in providing other benefits to an individual. personality and economic standing. This helps all the members of a group to know each other better and helps the group to move to the next stage easily. Retired/old aged individuals join groups to enjoy the companionship of other individuals in similar situation. a manager might join a Rotary/ Lions club if he feels that being a member of this club will lead to important and useful business contacts. group members share their opinions and formulate the group's goals. During this stage. Playing tennis. During this stage. For example. Some of these are shown in the figure 11. Mutual Acceptance • Making Acceptance • Sharing Acquaintances • Discussing Subjects • Testing Each Other • Being Defensive Slow Evolution to Next Stage Communication and Decision-Making • Expressing Attitudes • Establishing Norms • Establishing Goals • Openly Discussing Tasks • Being Defensive Burst of Activities to Next Stage Motivation and Productivity • Cooperating • Working Actively on Tasks • Being Creative Slow Evolution to Next Stage Control and Organization • Working Independently • Assigning Tasks Based on Ability • Being Flexible Figure 11. • Support for group goals: The individuals may also be motivated goals by the other group members to join. which inter-personal behavior is acceptable and which is unacceptable by the other members of the group. Through communication and decision-making.• Personal motives to join groups: Individuals also choose to join informal or interest groups for unimportant reasons. Since joining these groups is voluntary. For example. the structure becomes clear and the group moves to the third stage. the members of the group get familiar with one another and check. such as these in order to donate their money and time to attain the goals they believe in and to meet other individuals with similar values. discussing current events or contemporary literature.

Control and Organization The fourth stage is "Control and Organization". • Cohesiveness Cohesiveness is defined as the attractiveness of group members towards the group. According to Cartwright there are four principal consequences of cohesiveness. etc. Groups want to facilitate their performance and overcome barriers to reach their #49 . "Group norms are rules or guidelines of accepted behavior which are established by a group and used to monitor the behavior of its members". Norms define boundaries between acceptable and unacceptable behavior. behavioral norms. role conflict and role overload. try to operate in such a way that they maximize their chances of task success and minimize (heir chances of task failure. • Role Structures A role is the part that an individual plays in a group to reach its goals. It. attitudes. They are framed to achieve objectives of the group. Members also become more comfortable with each other and develop a sense of group identity and unity. They can be social and fair in nature. some interact with other groups and so on. • Behavioral norms Although informal groups do not have any specific goals to accomplish. which are as follows: ○ Ability of a group to retain its members. cohesiveness and informal leadership.• The third stage is "Motivation and Productivity". some focus on the group's task. The members of the group are expected follow the norms strictly. personal characteristics of group members and frequency of interaction. in which the members perform the roles they have accepted and direct their group efforts toward goal attainment. which is characterized by a shared acceptance among members of what the group is trying to do. Some individuals are leaders. helps the group members to work more consistently and make greater contribution to the achievement of the organizational goals. which arc as follows: • Behavior norms: Behavior norms are rules that standardise how individuals act while working on a day-to-day basis. ○ Power of the group to influence its members. In reality. but they must have some goals over a period of time. These goals are temporary and can be changed in accordance with the needs of the group members. ○ Feeling of security on the part of the members. The goals can be achieved effectively depending on the following factors: ○ The extent of cooperation with management. They make the members to identify themselves with the group. commitment to the organization and therefore result in high level of performance. The primary leader has more influence on the group members than the secondary leaders. therefore. Performance norms: Performance number of hours worked. CHARACTERISTICS OF MATURE GROUPS As groups pass through the stages of development to maturity. Every informal group has one primary leader apart from the secondary: leaders. According to Michael Argyle. they begin show signs of the following four characteristics: a role structure. It is also psychologically more satisfying to all of its members. • Informal leadership Each informal group has one or more leaders. This reduces absenteeism and employee turnover. GROUP NORMS Norms refer to group behavior standard. Only those behaviors that sound to-be important by group members should be brought under control. ○ Degree of participation and loyalty of members. "do not come to committee meetings unless you have read the reports to be '"discussed"'. this developmental sequence varies from group to group. Role structure is the set of defined roles and interrelationships among those roles that the group members define and accept. depending on the time. like individuals. Each person recognizes and accepts his role as well as to accept and to understand the roles to others. ○ Satisfaction of the needs of group members. to regulate each and every action of the group members. traditions and expectations shared by group members. beliefs. These norms tend to reflect motivation. role conflict and role overload. ○ Maintenance of an efficient communication system. Groups. "greet every customer with a smile''. The failure in role development result in role ambiguity. Norms play a significant role in disciplining the members of a group to make them to work regularly and properly. This will make the group more organized Types of Group Norms There are two types of group norms. These leaders come forward on the basis of acceptance of all the group members. Reasons for Strong Enforcement of Norms • norms are rules that standardize employee output and Groups don't have the time or energy. It also emphasizes on the group's ability to satisfy its members needs. Managers have to take steps to avoid role ambiguity. Examples are.

12 LEARNING AND BEHAVIOR MODIFICATION Learning Objectives After reading this lesson. • Individuals of cohesive groups have no anxiety at the workplace.goals. For example. Some differences are primarily due to the difference in structure of the groups. you should be able to understand: • • Conceptual clarity about nature and levels of conflicts The sources and effects of conflicts to manage conflicts #50 . if the group has always been successful by following certain behaviors. Cohesiveness is the extent to which group members are loyal and committed lo the group and to each other. which are as follows: • Some groups may exert more pressure for conformity than others because of the personalities of the group members. A group that lacks cohesiveness will not be very much coordinated. Norms that will help groups meet these aims of performing successfully and keeping morale high are likely to be strongly enforced. • The members don't have conflicting views. "cohesiveness is the attractiveness of the members towards the group or resistance of the members leaving it". • Agreement on goals. groups want to increase morale and prevent any interpersonal discomfort to their members. • If the norms simplify or predict regarding the behavior which is expected from group members. LESSON . Its members will not support one another and they may face difficulty in reaching their goals. Uniqueness of Group Norms The norms of one group cannot be easily mixed with another group. However. The members of one group may be friendly with their supervisor whereas those of another group may not Norm Conformity Norms have the power to force a certain degree of conformity. Group Cohesiveness According to Rcnsis Likert. • Disagreement on goals. "cohesiveness is understood as the extent of liking each member has towards others and how far everyone wants to remain as the member of the group". Aswalhappa. • Domination by one or more members. Conditions where group norms will be strongly enforced are as follows: • If the norms facilitate group success or ensure group survival. new group members are also asked to follow the same. which decreases the chances of in clash among the views of group members at the workplace or elsewhere. • The history of the group and its members also plays a part in conformity. In a highly cohesive group. Attractiveness is the key to cohesiveness. a new group member may have greater freedom to exhibit other behaviors. Moreover. The following factors decrease cohesiveness: • Large group size. • Favourable evaluation from outsiders. It refers to the attachment of members with the group. support and trust one another and are generally effective at achieving their chosen goals. the members work well together. • Frequent interaction. • Organizations gain from the members of cohesive group because they communicate better they share ideologies and respect opinions of fellow employees. Managers should develop an understanding of the factors that increase and reduce group cohesiveness. • Inter-personal attraction. There are several factors consist of norm conformity. • Competitiveness within group. The following factors can increase group cohesiveness: • Competitiveness with other groups. • Unpleasant experiences. According lo K. even very similar work groups may develop different norms-. • Cohesiveness increases productivity. If the group was not successful in the past. Advantages of Group Cohesiveness The advantages of group cohesiveness are as follows: • The members of cohesive groups have high morale. • If the norms emphasize the roles of specific members within a group and • If the norms help the group to solve the inter-personal problems themselves. • Members of cohesive groups are regular at their work.

differences in interests and goals. In organizations everywhere. Each group is dissatisfied will the quality or quantity of work received. Inter-group conflicts result from the ways in which organizations co-ordinate the work of different groups and distribute rewards among those groups. ○ Sequential task interdependence: It arises when one group is unable to commence its work until the work of other group gets completed. or a decision. It can be said in genera] that as interdependence increases. a proposal. Some of them are related to limited resources. goal attainment by one group may reduce the level of goal attainment by other groups. which are of two types. Horizontal conflict arises among the employees at same level. communication problems. Perceived conflict: Is a situation when both the groups realize that there exists conflict between them. TYPES OF CONFLICT The levels of group conflict are as follows: • Personal conflict: Are the conflicts that arise among employees. The receiver of information should be considered when a group communicates an idea. it refers to the dependence of one group on another for resources or information. group relies on other organizational groups to complete its tasks. In simple words. union and management are few examples of inter-group conflicts that arise because of incompatibility of goals. Managers may either directly resolve the conflicts or they may act as mediators between two or more employees. Felt conflict: Is a situation when members involved in the conflict feel tense or anxious. but it can result in communication problems. • Task interdependence: Task interdependence means to what extent a work. In other words. According to one survey. Manifest conflict: Is a situation when both the group try to frustrate each other. sections or work teams. Conflict outcome: Is a situation or consequence arising after the conflict is eliminated. For example. They tend to develop their own unique vocabulary. knowledge and understanding of conflict and the methods of resolving it are important. managers spend an estimated 20 percent of their time dealing with group conflicts. This may be due to horizontal differentiation and task specialization. from the other group. there are three types of interdependence among groups. • Group conflict: Are the conflicts arising within two or more groups due to difference in their attitudes and behavior. a branch in Delhi does not need to interact with a branch in Chennai. The production department provides the goods to the marketing department to sell and the marketing department prepares the orders and estimates on the basis of the volume produced by the production department.Conflict arises from difference of opinion between the group members while attaining the organizational goals. REASONS FOR CONFLICT There are many reasons for conflicts among groups and its members. which are as follows: ○ Pooled interdependence: It arises when groups have little interaction with each other but are affected by each other's activities. Misinformed receivers often become irritated and then hostile. different perceptions. Thompson. The only linkage between the two is that they share financial resources from a common pool and the success of each branch contributes to the success of the organization. Paying attention to an area of responsibility is a worthy Endeavour. The success of an organization depends upon the harmonious relations among all independent groups. individuals because of their competitive roles. line and staff departments. departments. The reasons for group conflicts are as follows: • Communication problems: Groups often become very involved with their own areas of responsibility. In either case. • Incompatible goals: Inter-group conflict arises because of goal incompatibility. Vertical conflict arises between higher and lower level of management. #51 . An organization is an interlocking network of groups. the potential for conflict increases. • Infra-organizational conflict: Are the conflict arising between levels of an organization. According to J. In sequential task interdependence. For example. attitudes and lack of clarity about responsibilities. the potential for conflict is greater. ○ Reciprocal interdependence: It arises between the groups. The conflict between production and marketing departments. Inter-group conflict arises from reciprocal task interdependence over difference in performance expectations. the output of one group becomes the input of another group. Following is the sequence in which a conflict can arise: Latent conflict: Is a situation when the conditions for conflict arise. two groups competing for scarce resources. In such situations. Life and staff groups often have conflicts resulting from this type of interdependence. conflict among groups of different interests is unavoidable. which depend on each other for their respective task such as production department and quality department.

conflict of this nature. ○ Changes in relation between groups: The nature of the relationships between groups also changes markedly during inter-group conflicts. functional groups differ in their time perspectives. disagreements in their views and among themselves. past differences and difficulties between group members are forgotten and group cohesiveness increases. ○ There is increased ill feeling towards the rival group. The goals of manufacturing groups are more specific and clear-cut than the goals of R&D groups. systematic changes take place in the perceptions. R&D scientists have a longer-range of goals than manufacturing groups. Inter-group conflict also arises when it is not clear which group is responsible for certain activities. Each party of the conflict competes with each other to get a larger share. The conflict between management and the labor union-is the best example. Difference in work orientation: The ways in which employees do their work and deal with others vary widely with the functional areas of an organization. accomplish its goal at the expense of other groups. competitiveness. DYNAMICS OF INTER-GROUP CONFLICT The following points are covered in the dynamics of an inter-group conflict: • Changes within each group: When there is inter-group conflict in an organization. It may be the responsibility of either the personnel department or any of the functional departments such as marketing. the goals of different functional groups vary to a large extent. the organization and structure of the work group becomes more rigid. For example. ○ There is a shift among the groups from a problem-solving motive to a win-lose motive. They are as follows: ○ The group demands more loyalty from individual members while facing an external threat. In the face of an external threat. In an inter-group conflict. Conflicting reward systems: Sometimes the ways in which reward systems in organizations arc designed create a situation in which one group can only. However the staff groups are being rewarded for cutting costs and personnel provided the types of services asked for by line groups can prevent them from meeting their own goals. amenities. The changes that occur arc as follows: ○ There are distortions of perception about one's own group and about the other group. Union-Management relationships during contract negotiations are one of the examples of the group dynamics. The greater the differences in goal and time between two groups. Each party undervalues the interests of the other group. arises because of the differences between aggregate demand of a group and available resources to meet them.○ Task ambiguity: The lack of clarity over job responsibilities is called task ambiguity and it frequently ○ ○ ○ ○ leads to aggression between groups. Task ambiguity often arises where the organization is growing quickly or the organization's environment is changing rapidly. For example. the line group may have to depend even more heavily on staff groups such as advertising. The confusion may also arise regarding who has the final authority to execute the final decisions. Second. secrecy and closed communications. finance. values and perceptions of members of various groups towards each other can be a cause and a consequence of the nature of their relationship. it is important for a group to respond quickly and in a unified manner to the activities of other groups. misinterpretation of the behaviors and activities of other groups. staff departments may be rewarded for cutting costs and personnel while line departments are rewarded for increasing the amount of products sold or services provided. working conditions and other related matters. It becomes difficult for each group to see the positive behavior and attitude of the other group. The range of work of manufacturing group is evaluated on how quickly it can manufacture high-quality products while the range of R&D scientists can be evaluated on the basis of product development and testing after a long period of time. Conflicting reward systems inevitably result in poor inter-group relations. the more likely it is that conflict will arise between them while co-ordinating their work efforts. These differences between groups result in frustration. Thus. Such conflicts take place in the quantum of wages. First. A good example of task ambiguity is inter-group conflict arising in the recruitment of new employees. there is a possibility of conflicts. attitudes and behaviors of the participants. Different perceptions and attitudes: The attitudes. allocution of responsibilities to different group members. ○ In an inter-group conflict. This can affect the success of a group to accomplish their work in an effective manner. Resource sharing: The relation between two groups can be affected by the degree to which they make use of a common pool of resources and the degree to which this common pool of resources is adequate to meet the demands of both the groups. It leads to more coordination of activities. To increase the amount of products sold. ○ The interaction and communication between groups' decreases. GROUP STRATEGIES TO GAIN POWER #52 . If the group relations begin with the attitudes of distrust.

For instance. The final method to minimize the conflicts is to find super-ordinate goals. a wide profit-sharing plan of a company may encourage groups to #53 . It includes avoidance of direct approaches on the part of managers to solve among groups. By doing so. in which the groups find the areas of common interests among themselves. It is also difficult to pinpoint accurately the individuals who are the root-cause of conflicts. For example. This makes the accomplishment of the assigned task much easier. But management usually tries to minimize the conflict indirectly and if this fails. • Problem solving: Management can also establish a task force with representatives from groups in conflict to work on problems. • Removing the key figures in the conflict: This is another direct method to solve the inter-group conflicts. • Controlling Information: Gaining access to sensitive information and then limiting other group's access lo it increases the power of" the information-' rich group and other subunits. representatives from financial institutions are included in the Board of Directors of a Company to participate in decision-making activities. Afterwards'. two or more groups cooperate or combine their resources in order to increase their power over other groups. If a conflict arises because of personality differences between two individuals. But persuasion is possible only if there are no clashes between the groups and its members Methods to Solve Inter-Group Conflict The various methods to solve inter-group conflicts directly are as follows: • Ignoring the conflict: This is a direct method used by (he managers to solve inter-group conflicts. POT example. • Co-opting: It occurs when a group gives some of its leadership positions to members of other groups or includes them in its policy-making committees. conflict can be minimized. In this. To improve the inter-group relations. The key figures that are to be removed may be leaders of the groups and removing them could lead to greater conflict. a. Ignoring the conflict is characterized by the absence of behavior wherein the members of the groups avoids dealing with the dysfunctional aspects of the conflict. Methods to Solve Inter-group Conflict Indirectly The various methods to solve inter-group conflicts indirectly are as follows: • Avoidance: It is an indirect method often used by the managers. Matters can get worse if nothing is done and the groups can become more aggressive and unfriendly. • Contracting: It refers to the negotiation or an agreement between two groups. It includes the removal of the key figures in the conflict. one group may agree to give the other. in which the groups agree as to what each of them will get and give others regarding their work. Management can use domination to minimize the conflicts by exercising its authority and power over the groups and their members. For example. The task force develops the ideas 'and procedures for improving group interaction and thereby attempt to solve the conflicts arising between the groups. they can find out a solution without the involvement of management. When conflicting groups have to cooperate to accomplish a goal. These are goals desired by two or more groups that can only be accomplished through the cooperation of the groups. • Encouragement: This is another indirect method to solve the group conflicts. • Persuasion: This is the indirect method. • Influencing decision criteria: Groups can also sometimes exert power lo change criteria for decision-making that are selected as the basic for resource distribution. Management reaction to disruptive inter-group conflict can take many different forms. greater integration or collaboration among groups is needed. But avoidance does not always minimize the problem. contracting occurs between labor and management at the time collective bargaining. • Domination by the management: This method of solving inter-group conflicts emphasizes on improving the inter-group relations. For example. group simply refuses to attack the other group. But the disadvantage of this method is that it ignores the causes of conflicts and as a result. • Pressure tactics: These are applied to force other to use the most competitive strategy a group can use to gain power. a quick turn around time on the repairs of needed equipment only if the Second group agrees to bring complaints about the quality of repairs to it before going to management. the groups try to show how important it is to each of them in attaining organizational goals. Some of these strategies allow co-operation and sharing between groups while other strategies are more competitive and increase the power of one group at the expense of others. Each group makes some compromises so that there can be some predictability and stability in their relationships. ○ Appealing to super-ordinate goals. become directly involved.There are several strategies that various groups use to gain power in an inter-group conflict situation. a union might threaten to strike to pressurize management. • Bargaining: This is the indirect method. the conflict situation frequently continues or gets worse over time. Members of groups co-operate with each other in order to compete more effectively with members of other groups. It includes encouragement on the part of managers to the groups so that they will be able to meet and discuss their differences. The groups try to find out those interests levels where they have the same say. Bargaining between two groups is successful if both groups are comfortable with the agreement between them. removing them is a possible solution. • Forming association: In forming an association.

the conflicts among groups can reduce. The use of co-operative approaches among groups in organizations often leads to more positive results than does the use of competitive approaches. The super ordinate goals are as follows: The assignment and coordination of work among groups should be clarified so that the daily disputes over minor issues can be avoided. Managers can establish rules and standard procedures to regulate conflict in more constructive and effective ways. #54 .○ ○ ○ work together. Managers should monitor reward systems to eliminate any win-lose conflicts among groups. If the profits of a company are distributed among employees at the end of the year.

They also need directions for their specific tasks.1 can be used to identify the major categories of communication that arc especially relevant to the study of organizational behavior. It is a way of reacting to the other person with ideas. which can cause conflict and tension. To develop information and understanding among all workers.LESSON-13 ORGANIZATIONAL COMMUNICATIONS Learning Objectives After reading this lesson. Broadly. facts. Since managers work with and through other people. cooperation and job satisfaction. Thus. including members of the general public. all their acts. feelings and values. organizational behavior scholars.1: Chain of Communication in Organizational Behavior Objectives of Communication Managements depend upon communication to achieve organizational objectives. This is necessary for group effort. This personal and behavioral exchange view of communication takes many forms. the behaviors that occur in an organization are vital to the communication process. through which channel and with what effect. for co-ordinated action. it means who says what. peers and others outside the organization. DEFINITION OF COMMUNICATION In modern society. To prepare workers for a change in methods of environment by giving them necessary information in advance. communication is necessary. People need to knowwhere they are heading and why. Communication is the process of transmitting information from one person to another. #55 . In practice. This would satisfy the basic human need for a sense of belonging and friendship. In other words. Communication allows people to co-ordinate with each other by providing them with a way to share information. Also there must be channel of communication for feedback. To encourage subordinates to supply ideas and suggestions for improving the product or work environment and taking these suggestions seriously. The figure 13. the communicative exchanges between people provide the sole method by which influence or effects can be achieved". some of the purposes of communication are: • • • • • • To discourage the spread of misinformation. and management practitioners. ambiguity and rumors. Interpersonal communication is fundamental to all managerial activities. effective management is a function of effective communication. Communication experts emphasize the behavioral implications of communication by pointing out that "the only means by which one person can influence another is by the behaviors he shows that is. policies. The first type of information that needs to be shared is what the goals of the organizations are. rules. To improve labor management relations by keeping the communications channels open and accessible. Therefore. that is necessary for motivation. All other management functions involve communication in some form of directions and feedback. Thus. the term communication is frequently and freely used by everyone. thoughts. communication is considered to be the most important and most effective ingredient of the management process. you should be able to understand: • • • • The meaning and importance of communication Communication process Various types of organizational communication The barriers and the methods of overcoming barriers to effective communication Communication is one of the most frequently discussed dynamics in the entire field of organizational behavior. sub-ordinates. Accordingly. effective communication is a basic prerequisite for the attainment of organizational goals. To foster any attitude. to whom. • Importance of Communication Interpersonal roles require managers to interact with supervisors. Communication Technology Interpersonal Technology Verbal Technology Figure 13. orders and procedures must pass through some kind of communication channel. Communication transforms a group of unrelated individuals into a team that knows what its goals are and how it will try to reach them. To improve social relations among workers by encouraging intercommunication.

which is called the feedback. The greater the uncertainty about a task. The uncertainty resulted from the lack of information. Communication goes up. a group. The encoding process is influenced by the content of the message. If the intended message and the received message differ a great deal. COMMUNICATION PROCESS The figure 13. Source or Sender The communication cycle begins when one person called the sender wants to transmit a fact. idea. Employees who feel that they cannot vent their anger or express their joy on the job may feel frustrated and repressed. it is transmitted through the appropriate channel or medium. called the receiver interprets the meaning of the message through the process of decoding. The communication cycle continues when the receiver responds by the same steps back to the original sender. Receiver The receiver can be an individual. for instance. can communicate with other groups about changes in the market place. letters and reports. Communication also allows people to express their emotions. most communication involves a combination of these. Transmission After the message has been encoded. Decoding The person to whom the message is sent. facial expressions. This process may be simple and automatic. The encoding might take the form of words. a manager may communicate for all the purposes described above. there is a communication gap and misunderstanding is likely to follow. On any given day. Changes in market or in customer preferences can lead to uncertainty about whether a product Or a marketing strategy needs to be updated or overhauled. or an individual acting on behalf of a group. A manager. both the sender and the receiver perform the encoding and decoding functions automatically. Once a decision has been made. The sender has generally little control over how the receiver will deal with the message. for example. the familiarity of the sender and receiver and other situational factors. communication is necessary to implement the decision and to evaluate its results. down and across the levels of the hierarchy of an organization. graphs etc. can be reduced by communicating that information. In the simplest kind of communication. #56 . Indeed. The receiver may ignore it. the more important the communication of information becomes. understand it or respond immediately. might call the research department to send the latest information on a particular market. your experience with the letter-writer and so on. but it can also be quite complex. Decision-makers must share their views on what the problem is and what the alternatives are. physical actions and symbols such as numbers. gestures.2 presents a general view of the communication process. Even when you are just reading a letter. opinion or other information to someone else. Market researchers. you may need to use all your knowledge of the language. pictures.Communication is especially important for the task of decision-making. Encoding The second step is to encode the message into a form appropriate to the situation. as a loop between the source and the receiver. Common channels or media in organizations include face-to-face communication using the media of sound waves. light. Communication of feelings can be very important to employee morale and productivity. decide not to try to decode.

policy and procedure manuals inform them of organizational rules. also known as face-to-face communication is the most prevalent form of organizational communication. generally someone outside the organization. Probably the most common form of written communication in organizations is the office memorandum. and the lost of transmission. Reports generally summarize the progress or results of a project and often provide information to be used in decision-making. Memos usually are addressed to a person or group inside the organization. The figure 13. ORAL COMMUNICATION Oral communication. trust and sincerity can be much better judged in a face-to-face conversation rather than in written words. A letter is a formal means of communication with an individual. but also observes the physical gestures associated with it as well as the changes in tone. a car driving by etc. oral. which may affect the message. and non-verbal. weak signal due to bad weather etc. or a memo. pitch. Typically organizations produce a great deal of written communication of many kinds. Manuals have various functions in organizations. Thus. They tend to deal with a single topic and are more impersonal. METHODS OF COMMUNICATION There are mainly three primary methods of communication in an organization. As such. Noise refers to any type of disturbance that reduces the clearness of the message being transmitted. Instruction manuals tell employees how to operate machines. since faith. it might be something that keeps the receiver from paying close attention such as someone coughing. speed and volume of the spoken word. #57 . Informal rumour mill or grapevine is also a popular form of oral communication. manuals and forms.3 given below shows various forms each method can take. then oral communication may include public address system. beliefs and feelings. other people talking dosely. It can also be internal to the receiver such as tiredness or hunger or minor ailments. The human voice can impart the message much more forcefully and effectively than the written words and is an effective way of changing attitudes. Other common forms of written communication include reports. It is most effective for leaders to address the followers via public address system or audio-visual media. operations manual describe how to perform tasks and respond to work-related problems. A performance appraisal form is an example. the nature of the message. Where one-way communication is required. Oral communication is particularly powerful because the receiver not only hears the content of the message.Noise In the communication process. It may be in the form of direct talk and conversation between the speakers and listeners when they are physically present at one place or through telephone or intercom system conversation. noise takes on a meaning slightly different from its usual one. These methods of communication are often combined. but less formal than letters. which are written. they represent attempts to make communication more efficient and information more accessible. It can be a disruption such as disturbance in a telephone line. Considerations that affect the choice of method include the audience whether it is physically present.

• Because the message is conveyed instantaneously. It also ensures that everyone has the same information. • It conveys personal warmth and friendliness and it develops a sense of belonging because of these personalized contacts. NON-VERBAL COMMUNICATION Some of the meaningful communication is conveyed through non-verbal ways. It is most effective when it is required to communicate information that requires action in the future arid also in situations where communication is that of general informational nature. According to Tipkins and Mc-Carter. • It appears formal and authoritative for action.the long hierarchical chain of command. tone of voice and facial expressions. then some distortions can occur during the process. • Spontaneous responses may not be carefully thought about. • It is more reliable for transmitting lengthy statistical data. information bulletins and so on. #58 . so that if the receiver js unsure of the message. • It leads to excessive formality in personal relations. it helps in avoiding delays. • The spirit of authority cannot be transmitted effectively in verbal transactions. rules and regulations. • There is no immediate feedback opportunity to be sure that the receiver has understood the message. specially for lengthy reports. some of the environmental elements such as building and office space can convey a message about the authority of the person. Advantages • It serves as an evidence of events and proceedings. letters. • Organizational Communications • More or less or a different meaning might be conveyed by manner of speaking. folding of arms or sitting position in a chair. • It can save time when many persons must be contacted at the same time. • It reduces the likelihood of misunderstanding and misinterpretation. simple. logical and clear.Advantages Some of the advantages of oral communication are: • It is direct. These areas have to be covered in writing for efficient functioning of the organization. Disadvantages • It can be very time-consuming. • The receiver may receive the message in his own perception and thus misunderstand the intent of the message. In addition. The message can be stored for an indefinite period of time. rapid feedback allows for early detection by the sender so that corrections can be immediately made. These non-verbal expressions include facial expressions and physical movement. The written communications are more likely to be well considered. if necessary. red tape and other formalities. WRITTEN COMMUNICATION A written communication is put in writing and is generally in the form of instructions. The message can be checked for accuracy before it is transmitted. Even some of the verbal messages are strengthened or diluted by non-verbal expressions. • It provides a permanency of record for future references. causing disruption in its effectiveness. • If the verbal message is passed on. the greater is the potential distortion. memos. The more people the message is to pass through. • Confidential written material may leak out before time. Disadvantages • There is no formal record of communication so that any misunderstood message cannot be referred back to what was actually said. Other examples of body language are tilting of head. • It allows for feedback and spontaneous thinking. time saving and least expensive form of communication. policy manuals. facial expressions can be categorized as: • Interest-excitement • Enjoyment-joy • Surprise-startle • Distress-anguish • Fear-terror • Shame-humiliation • Contempt-disgust • Anger-rage Physical movements or body language is known as "kinesics". A handshake is probably the most common form of body language and tells a lot about a person's disposition. formal reports. • Lengthy and distant communication cannot be conveyed verbally in an efficient way.

a small metal desk on a corner communicates the status of a low ranking officer in the organizational setting.6 shows Circle Communication Network. power and prestige such as that of a chief operating officer.7 shows All Channel Communication Network. shyness. frustration. a chain network is developed. Some of the other body language symptoms are shrugging our shoulders for indifference. When the members of a group communicate mostly with the group leader.Our facial expressions can show anger. Figure 13. Communication Networks A communication network is the pattern of information exchange used by the members of a group. Figure 13. #59 . Figure 13.4 shows Wheel Communication Network. Members of a task force or committee often develop a circle network of communication with each person communicating directly to the other members of the task. On the other hand. When the members of a group are on different levels/of the organization's hierarchy. a large office with luxurious carpeting and expensive furniture conveys a message of status. As far as environmental elements are concerned. wink an eye for mischief or intimacy. Figure 13. arrogance. Informal groups that lack a formal leader often form an all-channel network that everyone uses to communicate with everyone else. tap our fingers on the table for impatience and we slap our forehead for forgetfulness.force.5 shows Chain Communication Network. Accordingly non-verbal actions have considerable impact on the quality of communication. a wheel network develops. fear and other characteristics that can never be adequately communicated through written word or through oral communication itself.

The distance between members describes how far a message must travel to reach the receiver. they do not sufficiently describe the paths of all messages transmitted in organizations. For instance.The density of communication refers to the total quantity of communication among members. Managers must make use of all these characteristics and tendencies to help groups communicate and work most efficiently. For hard tasks. #60 . norms and cohesiveness also affect the' formation of communication networks. Group Performance Factors: The group performance factors like group's size. the manager may need to take action. Members' commitment to the group's work is defined by the centrality of the position of the members. The following factors influence the formation of communication patterns within small groups: Organizational Communications • 123 1. all channel networks arises. the manager may encourage silent group members to speak in order to get the desired decisions. FORMS OF ORGANIZATIONAL COMMUNICATION Although interpersonal and group forms of communication pertain even at the broadest organizational levels. composition. A manager. If an assertive but irresponsible employee becomes the hub of such a wheel. it is much easier to have an all-channel network in a group of eight than in a group of eighty. 2. Individuals can send and receive messages across whole organizational levels and departments by means of vertical communication or the informal communication network. as messages travel a long distance to get to the receivers. Type of Task: If the task of the group is simple. trusted employee might not interfere with the process. if members always sit around a table. who sees that a wheel network is forming around an experienced. All these provide insight into possible communication problems. For instance. then circle network arises. Non-verbal communication is also important and can be a part of interpersonal. The ease with which members can communicate with others is measured by members' relative freedom to use different paths to communicate. If the manager relies on a group to help make decisions. 3. For instance. a chain or wheel network is used. a group with high density and distance can expect a lot of noise distortion in its communication. Environment: Environment including the group's seating arrangement and meeting place also affects communication patterns. group and organizational communication.

Each person is constantly sharing in the sending and receiving process and each person is affecting the other".Vertical Communication Vertical communication is the communication that flows both up and down the organizational hierarchy. They may also issue a clearly worded memo or report stating the facts and thereby help minimize the damage that the informal network can do. There are certain external roadblocks to effective communication. It is in the form of gossip in which a person spreads a message to as many other people as possible who may either keep the information to themselves or pass it on to others. Upward Communication Upward Communication consists of messages moving up the hierarchy from subordinates to superiors. The content of upward communication usually includes requests. Inappropriate Channel Poor choice of channel of communication can also be contributory to the misunderstanding of the message. suggestions or complaints and information the sub-ordinate thinks is of importance to the superior. Informal networks are found in all organizations. otherwise it will not achieve the desired result and a communication breakdown will occur. the communication is not simply the flow of information. A message must be sent at an appropriate time to avoid these problems. This communication typically takes place between managers and their superiors or subordinates. The manager must decide whether the communication would be most effective if it is in writing or by a telephone call or a face-to-face conversation or a combination of these modes. which affect communication. there are personal factors. new ideas and a better feel for the entire company. customers. Transactional Communication Wenburg and Wilmont suggest that instead of communication being "upward" or "downward" which is intercommunication. For example. Improper or Inadequate Information #61 . it should be "transactional" communication. In the transactional process. dealers and any one else involved with the company in any way. The content of downward communication often includes directives. the grapevine in an organization may be carrying harmful information. Informal Communication Another term for informal communication network is the grapevine. The basic idea is that some managers keep in touch with what is going on by wandering around and talking with people such as subordinates. This will give managers. assignments. performance feedback and information that the superior thinks are of value to the sub-ordinate. Some of the sources contributing towards noise factor are: Poor Timing A message sent on poor timing acts as a barrier. managers may need to intervene. Other Form's of Communication One that has become especially popular is informally labelled as "management by wandering around". but it develops a personal linkage between the superior and the subordinate. The content of gossip is likely to be personal information or the information about the organization itself. Managers can also obtain valuable information from the grapevine and use it for decision-making. BARRIERS TO COMMUNICATION The communication must be interpreted and understood in the same manner as it was-meant to be sent by the sender. The term is derived from noise or static effects in telephone conversation or radio wave transmission. When these kinds of rumors are being spread. "all persons are engaged in sending and receiving messages simultaneously. false information or politically motivated information. For instance. They can hold open meetings and objectively discuss the issues that are being informally discussed already. It may cause interference in the process of communication by distraction or by blocking a part of the message or by diluting the strength of the communication. which interferes with the effectiveness of communication. Hence the manager must know when to communicate. In addition. Downward Communication Downward Communication consists of messages moving down the hierarchy from superiors to sub-ordinates. a last minute communication with a deadline may put too much pressure on the receiver and may result in resentment. which is mutual and reciprocal because. Managers should have some control over the informal network. Some of the organizational barriers and some of the interpersonal barriers to effective communication are discussed below: Noise Barriers Noise is any external factor.

specially for multi-national companies and enterprises. but it not clean and decent. For example. Hearing what we want to hear and ignoring information that conflicts with what we know can totally distort the intent or the content of the message. Ambiguity in use of words will lead to different interpretations. Information Overhead Overload occurs when individuals receive more information than they are capable of processing. that there is no dancing on Sundays and second. It could also be that the receiver is simply told what he wants to hear. Semantic Barriers These barriers occur due to differences in individual interpretations of words and symbols. then the decoding and the interpretation of the message will lead to a meaning of the sender. if the sender is not #62 . Perception Perception relates to the process through which we receive and interpret information from our environment and create a meaningful word out of it. The result could be confusion or some important information may be laid aside for the purpose of convenience. either because the sender believes that the receiver does not need all the information or that the receiver is better off not knowing all aspects of a given situation. • The secretary may forget to forward a memo. The words and paragraphs must be interpreted with the same meaning as was intended. • A manager may assume that his subordinate's perception about things and situations are similar to his own. For example. Hence the organization structure should be such that the chain of command and channels of communication are clearly established and ithe responsibility and authority are clearly assigned and are traceable. • A manager may make total assessment of a person based on a single trait. Different people may perceive the same situation differently. If the receiver has confidence. The choice of a wrong word or a comma at a wrong place in a sentence can sometimes alter the meaning of the intended message. • There may be professional jealousy resulting in closed channels. Some of these are: Filtering Filtering refers to intentionally withholding or deliberate manipulation of information by the sender. chaotic or distorted if the channels are not clear or if there are bottlenecks. A pleasant smile may make a positive first impression. Organizational Structure Communication may be blocked. This perception limits the manager's ability to effectively respond to and deal with individual differences and differing views of work situations. a nightclub advertisement sign. Network Breakdown Network breakdown may be intentional or due to information overload and time pressures under which a communication has to be acted upon. Too little or too much information endangers effective communication. that there is dancing on Sundays. "clean and decent dancing every night except Sunday". First. trust and respect for the sender. Sender Credibility When the sender of the communication has high credibility in the eyes of the receiver. Some factors contributing to such disruptions are: • The managers may withhold important negative information. Conversely. Physical Distractions Any physical distractions such as telephone interruptions or walk-in visitors can interfere with the effective face-to-face communication process.Information must be meaningful to the employee and should be precise or to the point. could lead to two interpretations. Interpersonal Barriers There are many interpersonal barriers that disrupt the effectiveness of the communication process and generally involve such characteristics that either the sender or the receiver can cause communication problems. rather than unique and distinct individuals. he may perceive women to be less efficient managers. the message is taken much more seriously and accepted at face value. Cultural Barriers The cultural differences can adversely affect the communication effectiveness. Some of the perceptual situations that may distort a manager's assessment of people resulting in reduced effectiveness of the communication are: • A manager may perceive people to belong to one category or another as stereotypes.

Hence. Emotions The interpretation of a communication also depends upon the state of the receiver at the time when message is received. even though more time-consuming. Do not let your mind wander or be preoccupied with something else. Accordingly. assisting receivers of messages in correct decoding and interpretation and providing an efficient and effective feedback system. The message will be lost if the words are complex and do not lend to a clear single meaning. Two-way communication. • Make sure that there are no outside interruptions and interference during the course of conversation. they should not take priority over the ultimate purpose of the communication. When writing message it is necessary to be precise thus making the meaning as clear as possible so that it accomplishes the desired purpose. Accordingly. a manager must not assume that a particular word means the same thing to all people who use it. Do not be brief at the cost of completeness.trusted. Some of the steps that can be taken in this respect are as follows: 1 Feedback: Feedback helps to reduce misunderstandings. your understanding of what has been said. Extreme emotions are most likely to hinder effective communication because rational judgments are replaced by emotional judgments. Feedback Barriers The final source of communication barrier is the feedback or lack of it. A wellwritten communication eliminates the possibility of misunderstanding and misinterpretation. Some guidelines for effective listening are: • Listening requires full attention to the speaker. Similarly. 2 Improve Listening Skills: Good listening habits lead to better understanding and good relationships with each other. the managers must make sure that they use the word in the same manner as the receiver is expected to understand it. positive or negative. • Do not jump to conclusions before the message is over and is clearly understood. The same message received when the receiver is angry. Multi-meaning Words Many words in English language have different meanings when used in different situations. Some helpful hints in written communication are suggested by Robert Degise as follows: • Keep words simple: This will reduce your thoughts to essentials and the message will be easier to understand for the receiver. • Summarize and restate the message after it is over to make sure about the content and the intent of the message. • Write concisely: Use as few words as possible. • Be specific: Vagueness destroys accuracy. and believe it specially if the message is related to the field of expertise. The information is transferred more accurately when the receiver is given the opportunity to ask for clarifications and answer to any questions about the message. then the receiver will scrutinize the message heavily and deliberately look for hidden meanings or tricks and may end up distorting the entire message. • Do not prejudice or value the importance of the message due to your previous dealings and experiences with the sender or your perceptions about him. if the source is believed to be an expert in a particular field then the listener may pay close attention to the message. be specific and to the point. otherwise it will create a barrier to proper understanding of the message. Develop Writing Skills: Clearly written messages can help avoid semantic and perception barriers. Listen for feelings in (he message content and respond positively to these feelings. Feedback is the only way to ascertain as to how the message was interpreted. selecting appropriate channels for communicating these messages. but express your thoughts. • Ask questions to clarify any points that you do not understand clearly and reflect back to the speaker. otherwise you will not be able to grasp the meaning of the message in its entirety. 3 #63 . • Do not be boggart down by rules of composition: While the rules of grammar and composition must be respected. which leads to misunderstanding of the meaning or intent of the message. which helps in building a healthy relationship contributing to communication effectiveness. opinions and ideas in the fewest number of words possible. frustrated or depressed may be interpreted differently than when he is happy. designing proper messages. Overcoming Communication Barriers It is very important for the management to recognize and overcome barriers to effective communication for operational optimization and this would involve diagnosing and analyzing situations. • The language used tone of the voice and emotions should receive proper attention. avoids distrust and leads to trust and openness.

Consider the Receiver's Interest Take the receivers interests into account.1 Avoid Credibility Gaps: Communication is a continuing process and the goal of the communication is complete understanding of the message as well as the creation of trust among all members of. Consult with others who are involved in Planning the Communication If people have participated in the planning process. psychologists are beginning to discover some problems associates with these new advances in communication. the nature of managerial and organizational communication has changed dramatically. openness and an atmosphere of trust builds healthy relationship and closes credibility gaps. it creates bickering. The Ideas and Messages should be Clear. "I am not sure it will work". Recently. The people who are concerned must know exactly what they need and when they need the communication. expressions and emotions exhibited. This will eliminate ambiguity so that the message will not be subject to more than one interpretation. Communication should be Comprehensive Communication should be complete so as not only to meet the present demands. The message must be clear. but also to strengthen the basis for optimum results which depend upon the clear understanding of the desired communication. precise and to the point and free from distortions and noise. According to the studies conducted by J. Accordingly. avoid negative statements like. appropriate and accurate. distrust. It should also be brief so that only necessary and sufficients meanings are provided. GUIDELINES FOR EFFECTIVE COMMUNICATION These guidelines are designed to help management improve their skills in communicating so as not only avoid any barriers to effective communication. When these concerned levels are omitted or bypassed. Mode of Delivery While delivering the communication. Accordingly. mainly because of break through of the electronic technology and advent of computers. The communication flow and its spread must avoid bypassing levels or people. Use proper Follow-up All communications need a follow-up to ensure that these were properly understood and carried out. The management must clarify any part of the communication that may be necessary and must encourage comments. but be confident and definitive. and then the receiver will be more responsive to the communication. E-Mail and Internet have made the communication quick and convenient. Management should not only be sensitive to the needs and feelings of workers but also its promises should be supported by actions. Luft. the established channels must be used as required. attentiveness to the receiver and so on. It should also fee based on future needs of the organization as well as individuals. The success of the communication also depends upon the tone of the voice if the communication is verbal. and feedback. Now cellular phones. Sense of Timing The message should not only be timely so that the decisions and actions can be taken in tie and when necessary. The written communication should be polite and unambiguous. questions. the management must be sincere and should earn the trust of the subordinates. Brief and Precise The ideas to be communicated must be well planned and clearly identified. The response and feedback to the communication should determine whether the action to the communication has been prompt. #64 . but also the timing of the message and the environmental setting in which the message is delivered and received is equally important. confusion and conflict. they would be highly motivated to give active support to such communication. The management must always be helpful in carrying out the intended message of the communication. Integrity The communication must pass through the proper channels to reach the intended receiver. thus contributing to communication effectiveness. At the same time. the organization. It is now even possible for managers from different cities to meet by teleconferencing method without leaving their offices.

toward a vision of the future”. Leader influences his followers and followers also exercise influence over his leader. "Leadership is the process of influencing the behavior of others in the direction of a goal or set of goals or. According to Grey and Starke. leadership is the set multi characteristics attributed to those who are perceived to be leaders". According to Koontz and O'Donnell. • Leadership gives the individuals. It provides direction. "Leadership is the art or process of influencing people so that they will strive willingly towards the achievement of group goals". FEATURES OF LEADERSHIP The features of leadership are as follows: • Leadership is the process of influencing behavior of individuals of an organization. In business and industrial organizations. Leadership provides direction and vision for future to an organization. According to Peter Drucker. • A leader should be able to maintain discipline among his group and develop a sense of responsibility. • A leader possesses qualities to influence others.LESSON -14 LEADERSHIP IN ORGANIZATIONS Learning Objectives After reading this lesson. and confidence to the employees and helps in the attainment of goals in much easier way. guidance. the raising of man's performance to higher standard. more broadly. Leadership influences behavior of the individuals. Importance of Leadership The following points can judge the importance of leadership: • A leader should act as a friend of the people whom he is leading. • Leadership directs the individuals to attain the tasks assigned to them by following the instructions of their leaders. "Leadership is both a process and a property. the building of man's personality beyond its normal limitations". you should be able to understand: • • • The meaning of leadership The various types and theories of leadership The importance of leadership in organizations Leadership is an integral part of management and plays a vital role in managerial operations. their efforts towards the achievement of organizational goals and activate the individuals of an organization to make them work. • Leadership is meant for a given situation. Leadership acquires dominance and the followers accept the directives and control of a leader. • Leadership is a group activity. Thus. According to Wendell French. leaders are people who are able to influence the behavior of others without recourse to threats or other forms of force towards the individuals. • A leader must be able to unite the people as a team and build up team spirit. given group for a pre-determined period of lime. Individuals can be induced to contribute their optimum towards the attainment of organizational goals through effective leadership. as a superior person to them. It encourages liveliness in the group. it is used for noncoercive influence lo shape up the goals of a group or organization. • A leader should have the confidence of the individuals of the organization. managers play the role of leader and acquire leadership of subordinates. • Leadership uses non-coercive methods to direct and coordinate the activities of the individuals of an organization. a vision for future. • • A leader must be able to build up a high morale among the individuals of the organization. • A leader must have the capacity to recognize the potentials of the individuals and transform them into realities. to motivate behavior toward the achievement of those goals and to help define group or organizational culture. “Leadership is the process of encouraging and helping others to work enthusiastically towards objectives”. Leaders are the people who are accepted by the other individuals. DEFINITION Leadership is the art of influencing and inspiring subordinates to perform their duties willingly. As a process. According to Keith Davis. As a property. competently and enthusiastically for achievement of groups objectives. It has an ability to attract others and potential to make them follow the instructions. "Leadership means the lifting of man's visions to higher sights. • Leadership is continuous process of influencing behavior. #65 .

He makes all decisions and does not disclose anything to anyone.. It is. The following are the differences between the leadership and the management: • Management takes rational and logical decisions while leadership takes decision on expectations of the followers. Absence of leadership may have both positive and negative effects. He has all the powers to make decisions. there are following three types of leaders in autocratic: 1. It is. organizing. He uses coercive measures and adopts. A successful manager must possess both the managerial and leadership qualities. therefore. Hard Boiled or Strict Autocrat: Leader. He praises his employees if they follow his orders and invites them to get the solutions of the problems from him. Manipulative Autocrat: Leader. Members may feel insecure and develop frustration for lack of decision-making authority. regulations and procedure to be followed under his leadership. The leader and the subordinates both follow these rules and regulations. under such type uses negative influence and expects that the employees should obey his orders immediately. Free rein leadership may be effective if members of the group are highly committed to their work. Leaders give more freedom to their group members. It develops a sense of confidence among subordinates and they derive job satisfaction. TYPES OF LEADERSHIP Following are the main types of leadership: Autocratic or Authoritarian In this type of leadership. Laissez-faire or Free Rein In this type of leadership. Therefore. is a process of influencing the behavior of the people to attain their assigned tasks. negative method of motivation. It improves quality of decision as it is taken after due consideration of valued opinions of the talented group members. A leader should try to raise the morale of the individuals and should maintain ethical standards among the individuals. Benevolent Autocrat: Benevolent autocrat leader uses positive influences and develops effective human relations. i. In this type of leadership. A leader thinks that he is the only competent person in the organization. He wants immediate obedience of his orders and instructions. The demerit of this type of leadership is that it takes more time to arrive at a decision. authority is centered in the leader himself. as a lot of time is wasted while taking the views from the employee. Exchange of ideas among subordinates and with the leader is given encouragement. Participation or involvement of the employees in the decision-making process is also rewarded. He feels happy in controlling all the actions of his subordinates. Democratic or Participative Democratic or Participative leadership is also known as group centered or consultative leadership.e. therefore. there is a complete centralization of authority in the leader. There is complete delegation of authority to subordinates so that they can make decisions by themselves. He is quite rigid on performance. He is known as paternalistic leader. there is no difference between the management and the administration in #66 .• • • A leader should motivate his people to achieve goals. • The management establishes relationship through a lawful authority while leadership establishes relationship through power. Non-compliance of his orders results in punishment. Leaders encourage discussion among the group members on the problem under consideration and arrive at a decision depending on their consent. 2. Non-compliance of his orders also results jn punishment. But he makes all decisions by himself. leaders consult their groups and consider their opinion in the decision-making process. Difference between Leadership and Management Leading and managing go together but some differences exist between the two. there is virtual absence of direct leadership. The behavior of a leader is determined by the rules. Leadership has an emotional appeal while management acts on rationality. very time consuming. their opinions arc honored and they are given importance. 3. • Managers have formal authority but the leaders have no such authority. known as "no leadership at all". • Management is a process of planning. who feel that. There is no participation from the subordinates in decision-making. Filippo. According to Edwin B. • All leaders are not managers and all managers are leaders. He creates a feeling in the minds of his subordinates and workers that they are participating in decision-making processes. under such type is manipulative in nature. Bureaucratic This type of leadership emphasizes the rules and regulations of an organization. The negative aspect shows that the leader is not competent enough to lead his group effectively. Any negligence on the part of subordinates results in punishment. directing and controlling the activities of others to attain the organizational objectives. Leadership on the other hand. A leader should act as a link between the work groups and the forces outside the organization.

Paternalistic The paternalistic leadership believes in the concept that the happy employees work better and harder. This type of leadership is based on the ability. • Trait Theory • Behavior Theory • Contingency Theory (a) Trait Theory This theory of studying leadership is taken into consideration to analyze the personal. Expert Leadership The expert leadership emerged as a result of complex structure of modern organizations. If situation changes. determination and their attitude towards the organization. The manager should assess the situation and adopt that type of leadership. the leadership traits might include intelligence. • Thus. (b) Behavior Theory The behavioral theory assumed that effective leaders behaved differently from ineffective leaders. led by Rensis Likert. • It does not identify the traits that are most important and that are least important for a successful leader. • It has been found that many traits exhibited by leaders are also found among followers without explaining as to why followers could not become leaders. studies the psychology of the subordinates and adopts the most useful type of leadership to lead the people at work to accomplish the organizational goals. Since all individuals do not have these qualities. For example. A successful leader is the one who assesses the situation. self-confidence. Due to such attitude. They exhibit different behaviors as they differ in attitude and outlook also. in spite of the required traits. the trait theory has been criticized for lack of conclusiveness and predictability. He handles the situation skillfully with his talent. knowledge and competence of the leaders. There are broadly three theories of leadership. This can be done by developing a cohesive work group and ensuring that employees are satisfied with their jobs. above average height. • The Michigan Studies: Researchers at the University of. #67 .this type of leadership. The existence of these traits determines the importance of leadership. A job-centered leader interacts with group members to explain task procedures and oversee their work. which focuses on. The employees feel relieved as they are working under a person who is expert and can handle the situation without any problem. In modern organizations. but can only be acquired by training. They differ in quality. assertiveness. It maintains that the fatherly altitude is the right one for better relationship between the manager and the employees. Michigan. only those who have them would be considered potential leaders. • Some traits may not be inherited.  Employee centered leadership behavior: The second behavior was identified as employee centered leader behavior. the use of leadership among its various types also changes. The employees. knowledge and competences. Some of the weakness of this theory is: • All the traits are not identical with regard to essential characteristics of a leader. Manipulative This type of leadership manipulates the employees to attain their assigned tasks. Thus. The leader must understand their behavior and accordingly can make use of the various types LEADERSHIPS. This theory can be more clearly understood with the help of following case studies. which focuses on performances and efficient completion of the assigned tasks. human resources vary in terms of skill. high performance standards to be accomplished. • It is difficult to define traits in absolute terms. Everyone within the organization should work together like a family. Depending on broad discussions with both the managers and sub-ordinates. themselves cannot do anything in this regard. They are discussed as below:  Job-centered leadership behavior : The first was called job-centered leadership behavior. began studying leadership in the late 1940s. A manipulative leader is quite selfish and exploits the aspirations of the employees for his gains. He knows very well the needs and desires of the employees but he does very little to fulfill them. It is the rules that determine their performance. he has to face the hatred of the employees at times. psychological and physical traits of strong leaders. THEORIES OF LEADERSHIP A number of theories and approaches to study leadership have been developed. He should remember that leadership is situational. • It does not explain the leadership failures. Possession of these traits helps the individuals to gain possession of leadership. the Michigan studies identified two forms of leadership behavior. The assumption made in this theory was that some basic traits or set of traits differentiates leaders from non-leaders. It also identified the need of consistency of behavior of good leaders. which suits that situation. initiative and understanding of interpersonal human relations.

friendly and supportive. complex. low ratings on both or high ratings on one and low on the other. ambiguous. personality or some other unknown factor. their studies at International Harvester found that leaders rated highly on initiating structure behavior have higher performing but dissatisfied sub-ordinates. with no standard procedures and precedents. When the task is routine. The LPC measure is controversial because researchers disagree about its validity. which means that a leader could exhibit varying degrees of initiating structure and consideration at the same time i. However. They can do this by marking in a set of sixteen scales at each end. a leader is either task-oriented or relationship-oriented while leading his group members. contingency theory is to be studied. High structure is more favourable for the leader and low structure is unfavorable. The Ohio State researchers found that a leader’s behavior remains consistent over a period of time. respect or confidence and. The most obvious difference between Michigan and Ohio State studies is that the Ohio State researchers did not position their two forms of leader behavior at opposite ends of a single continuum. task-structure and position-power. But the researchers could not come up with one best combination of behavior suitable to all the situations. Good relations are assumed to be favourable and bad relations unfavorable. The leader also establishes formal lines of communication and determines how tasks will be performed. If the leader and the group enjoy mutual trust. but not both. This factor is determined by leader-member relations. If the task structure is low. A high total score is assumed to reflect a relationship orientation and a low score. This is because some of the LPC measures show whether the score is an index of behavior. the structure is assumed to be high. the leader clearly defines the leadersubordinate roles so that everyone knows what is expected. relations will remain good. a task orientation by the leader. • The Ohio State Studies: At about the same time. the leader will not have to pay much attention. if they do not like one another. position-power is assumed lo be strong. the leader shows concern for subordinates feelings' and ideas. The Michagan researchers thought a leader could show signs of one kind of behavior. When the task is non-routine. He attempts to establish a warm.Relaxed 12345678 Boring ------------------. respect. which are discussed as below: • Leader-member relations: A Leader-member relation refers to the nature of relationship between the leader and his work group. structure is assumed to be low. In. confidence and they like one another.e. they assumed the behaviors to be independent variables. If the task structure is high. Most experts now agree that no single set of traits or behaviors appears to be common to all good leaders. • Task-structure: Task-structure is the degree to which the group's task is clearly defined. administer rewards and punishment. the contingency factor favours the situation from the leader's point of view.  Consideration behavior: In consideration behavior. The motive of a contingency theory is to identify key situational factors and to specify how they interact to determine appropriate behavior of a leader The three most important and widely accepted contingency theories of leadership are as follows: • The LPC theory: The first contingency theory of leadership is Fred Fielder's Least Preferred Co-worker (LPC) Model. The researchers used to believe that the leaders in possession of both types of behavior are most effective. If the leader has the power to assign work.other words. the position- #68 .Frustrating 8 7 6 5 4 3 2 1 Tense ------------------.Interesting 1 2 3 4 5 6 7 8 The leader's LPC score is (hen calculated by adding up the numbers below the line checked on each scale. a particular leader could have higher ratings on both measures. a group of researchers at Ohio State also began studying leadership. Fielder identified two types of leadership: task-oriented and relationship-oriented. According to Fielder.the leader's primary concern is the welfare of the ordinates. three of the scales Fielder uses in the LPC are: Helpful -------------------. if the situation also remains same. For example. easily understood. relations will remain bad. which are as follows:  Initiating-structure behavior: In initiating-structure behavior. Fielder believes that a leader's tendency to be task-oriented or relationship oriented remains constant. by a positive or negative adjective. recommend employees for promotion or demotion. In order to understand the full complexity of leadership. • Position-power: Position-power is the power vested in the position of a leader in an organization. whereas leaders rated highly on consideration structure had lower-performing sub-ordinates who showed signs of higher satisfaction. (c) Contingency Theory The main assumption of contingency theory is that the behavior of an appropriate leader varies from one situation to another. The Ohio State leadership studies also identified two major kinds of leadership behaviors or styles. Fielder used the Least Preferred Co-worker (LPC) scale to measure the type of leadership. Rather. The universal approaches to leadership can help managers examine their own leadership characteristics and match them against the traits most commonly identified with good leaders. A leader is asked to describe characteristics of the person with whom he or she is least comfortable while working. the leader will have to play a major role in guiding and directing the group's activities. If there is little trust. If the leader does not have required powers. and unambiguous and when the group has standard procedures.

It includes task structure. to look after their needs and ensuring that they get the rewards and benefits. to adjust the environment and to motivate sub-ordinates. Leaders can motivate sub-ordinates by making clear what they have to do to get the reward they desire. When the situation includes good relations. Fielder argues that any particular-type of leadership. Fielder's contingency theory has been criticized on the ground that LPC measure lacks validity and that the assumption about the inflexibility of the leader's behavior is unrealistic. Sub-ordinates do not usually need their boss to repeatedly tell them how to do a routine job. However. the primary work group and the formal authority system. As the group becomes more familiar with the task and as new problems are taken into consideration. when relations are good but task structure is low and position-power is weak. The path-goal model assumes that leaders can change their style or behavior to meet the demands of a particular situation. which is measured by the LPC is inflexible and cannot be changed. According to this model managers can adjust their behavior to include any four kinds of leadership behavior mentioned above. (d) The Path-Goal theory The path-goal model of leadership was introduced by Martin Evans and Robert House. According to the path-goal theory. Path-goal theory says that a leader can motivate subordinates by influencing their expectations. high structure and strong power. He may also adopt supportive behavior to encourage group cohesiveness. which are beyond the control of subordinates. In other words a leader cannot change his behavior to fit a particular situation. a risk-oriented leader to lie most effective. For instance. From the leader's point of view. while leading a new group of sub-ordinates.1 shows the path goal model of leadership. these environmental factors can create uncertainty for employees. when structure is high. For instance. A leader who helps employees reduce such uncertainty can motivate them. directive leadership is less effective than when structure is low. Leaders do not always have control over environmental factors. strong position power is favourable and weak position power is unfavorable. LI relationshiporiented leader is considered to be most effective. Environmental characteristics are factors. the leader may use achievement-oriented behavior to encourage continued high performance of sub-ordinates. • A final point about LPC theory is that. participative and achievement-oriented. the leader may be directive in giving guidance and instructions to them. This model identifies four kinds of leader behavior: directive. the leader may use participative behavior by which he can participate with employees in making decisions and take their suggestions as well. supportive. Finally. The figure 14. Fielder and his associates conducted various studies highlighting if a situation favors the leadership and group effectiveness or not. but the theory emphasizes that leaders can use the control they want. (e) The Vroom-Yetton-Jago Theory (VYJ) #69 .power is weak.

The appropriate leadership depends on the situation. the task and the organization replace #70 . e. two consultative types of leadership. Subordinates do not meet as a group and the manager alone makes the decision. the situations where the leadership is not needed. The VYJ model was criticized because of its complexity. The VYJ theory argues that decision-effectiveness is best judged by the quality of decision and by the acceptance of that decision on the part of employees. Many leaders are familiar with the life cycle theory because it is both simple and logical. the VYJ theory suggests that leaders adopt one of five decision-making leaderships. a new office for that individual only. Sub.ordinates may or may mil be informed about what the situation is.fact that leaders actually have different kinds of working relationship with different subordinates. The model suggests that as followers become more mature. To maximize decision effectiveness. Two of them are used when the problem affects the entire group. The substitute concept identifies the situations where the characteristics of the subordinates. the leader needs to move gradually from high to low task orientation. a decision about the facilities to be given to employees in a new office affects the entire group and the other two are appropriate when the decision affects a single individual only. to which employees should participate in the decision-making processes. • Life Cycle Model: The life cycle model suggests-that appropriate leader behavior depends on the maturity of the followers. Decision-Making Styles in the VYJ model Decision Style Description AI Manager makes the decision alone. there are other contingency models or theories developed in recent years. OTHER CONTINGENCY APPROACHES In addition to these three major theories.g. C= Consultative. Moreover. the leader's employee-oriented behavior should start low. The Vertical Dyad Linkage model suggests that leaders establish special working relationships with some subordinates based on some combination of respect. EMERGING PERSPECTIVES ON LEADERSHIP IN ORGANIZATIONS The new perspectives that have attracted attention are the concepts of substitutes for leadership and transformational leadership. They do not take into consideration. These people constitute the ‘in-group’. G II Manager and subordinates meet as a group to discuss the situation and the group makes the decision. who receive less of leader's time and attention. trust and liking. In this context.The Vroom-Yetton-Jago model was first introduced by Vroom and Yetton in 1973 and was revised by Vroom and Jago in 1988. It helps a leader to determine the extent. Each manager-subordinate relationship represents one vertical dyad. Those in the 'ingroup' receive more of the manager's time and attention and are better performers. However. This model has a much less focus than the path-goal theory. which are CI and CII and the other one is group GII. the leader uses one of the four decisions. Simultaneously. which are AI and All. CI Manager shares the situation with individual subordinates and asks for information and evaluation. maturity includes motivation. answering the questions about the problem attributes and developing a strategy for decisionmaking participation. Although the VYJ model is too new to have been thoroughly tested. C II Manager and subordinates meet as a group to discuss the situation but the manager makes the decision. Substitutes for Leadership The existing leadership theories and models try to specify what kind of leader’s behavior is appropriate for different situations. The other models are as follows: • Vertical Dyad Linkage Model: This model stresses the . increase at a moderate rate and then decline again. A = Autocratic. For example. G = Group The situation is defined by a series of questions about the characteristics or attributes of the problem under consideration. Decision acceptance is the extent to which employees accept and are loyal to their decisions. As summarized in the following table. there are two autocratic types of leadership. Other subordinates remain in the ‘out-group’s. it has received little scientific support from researchers. competence and experience. evidence so far indicates that this model can help leaders to choose the most effective way to include the sub-ordinates in decision-making. one of each is to be used when the decision has to be made quickly because of some urgency and the others arc to be used when the decision can be made more slowly and the leaders wants to use the opportunity to develop subordinates' decision-making abilities. AII Manager asks for information from subordinates but makes (he decision alone. To address the questions. Research shows that people in the ‘in-group’ are more productive and more satisfied with their work than ‘out group’ members. Computer software has been developed to aid leaders in defining the situation.

HRD. involving developing self-awareness. Similarly. For example. such as cultural flexibility. leadership may not be needed. increases teaming experiences and inspires new ways of thinking. Transformational Leadership Another new concept of leadership goes by a number of labels: charismatic leadership. managing stress and solving problems creatively. This is a leadership that transmits a sense of mission. For example.the behavior of the leaders. nurses. the widely recognized organizational behavior . inflexibility and a rigid reward structure. the availability of feedback and intrinsic satisfaction. involving communicating supportively. and self-management of learning. when policies are formal and rigid. accept. Organizational characteristics that may substitute for leadership include formalization group cohesion. when the job is routine and simple. are especially comprehensive and useful. Finally. communication. Charismatic people attract followers and this type of leader has great power over his or her followers. symbolic leadership and transformational leadership. job design and leaders can also effectively use behavioral management. employees with much ability and experience may not need to be told what to do. Leadership Skills There is now recognition in both leadership theory and practice of the importance of skills. inspirational leadership. Their personal skills model. Characteristics of the task that may substitute the leadership include. the research-based skills identified by Whetten and Cameron seem to be most valuable. the interpersonal skills model. For example. For example. a strong need for independence by the sub-ordinate may result in ineffectiveness of leaders’ behavior. creativity.techniques such as. how leaders should behave and perform effectively. Although there are many skills. the subordinate may not need direction. motivating others and managing conflict. doctors and attendants act immediately without waiting for directive or supportive behaviors of leaders in an emergency ward. #71 . Charismatic leaders are self-confident and can influence others. training. Several characteristics of the sub-ordinate may serve to replace or change . when a patient is admitted to an emergency room in a hospital.leaders' behaviors. trust and obey the leader without questioning him and thereby contribute toward the success of the organizational goals. the subordinate may not need or want support. When the task is challenging. The followers of a charismatic leader identify with the leader's beliefs. gaining power and influence. Charisma is a form of interpersonal attraction.

Research indicates that those who possess high tolerance of ambiguity. Stress can be either positive or negative. Some new work situations can bring us positive challenges and excitement. and researchers in management have all studied its causes and its symptoms. The more successfully one handles a stressful situation without panicking or getting overwhelmed by it. there are certain other types of work that are very threatening and anxietyarousing. the new and uncertain job situations create positive stress. Employees may feel anxious about their new work assignments. and have defined the term in a variety of different ways. how much time he or she deals with clients or consumers. If one operates in a very low stress environment and constantly experiences boredom. among others. Those with high self-esteem also handle stress with ease since a high self-esteem increases the confidence and enables them to deal with stressful situations with calmness and clear thinking. and excitement. then the individual gets bored. Stress is defined as "the reactions of individuals to new or threatening factors in their work environments”. which may ultimately lead to turnover. which can spill over into the work environment. One major source of job stress is the job itself. the amount of time pressure an individual faces and the amount of expectations others have of a person at work can all lead to job stress. that stress will be carried over to the home. rewards. and Hunt (1980) and Sckaran (1986). This makes it possible for them to manage their environmental stress without experiencing its harmful effects. The stresses and strains experienced in one domain are carried over to the other. and apathy sets in. An individual possessing high degree of tolerance for ambiguity allows him to experience very little anguish while operating under conditions of insufficient information or in an uncertain environment.LESSON -15 STRESS MANAGEMENT Learning Objectives After reading this lesson. the work and non-work domains of one's life are closely interrelated. the more confidently will the individual face further stressful situations. Interpersonal relationships are a second source of job stress. In these cases. SOURCES OF JOB STRESS • Job Characteristics o Role ambiguity o Role conflict o Role overload o Ethical dilemmas • Interpersonal Relationships o Amount of contact with others o Dealing with people in other departments o Organizational climate • Organizational Factors #72 . Thus. they also anticipate them eagerly and look forward to the additional challenges. each individual can sense and determine how much stress is functional for an individual to operate in a productive manner. point. Physicians. SOURCES OF STRESS Stress is a reality of our everyday life. Physical withdrawal will manifest itself in increased rates of tardiness and absenteeism. the person is likely to psychologically or physically withdraw from work. As pointed out by Near. For example. adding further tension to an already stressful work situation. depression in the economy can create negative stress for sales personnel. Thus. People with an internal locus of control also handle stress well since they feel they are in control of the situation. promotions to new jobs present employees with positive stress. There are both positive and negative stresses that come from our work and nonwork lives. The way the job is designed. it is possible to raise one’s capacity to handle in different situations. and how pleasant those interactions are all influences of how much stress an individual experiences at work. you should be able to understand: • The meaning of stress • Various sources of stress • Various effects or consequences of stress • Various methods of managing stress The nature of stress has been studied by scholars in a wide range of academic disciplines. For example. The positive stress is also called the eustress. internal locus of control and selfesteem seem to effectively handle a high level of stress. Rice. Psychological withdrawal will result in careless mistakes being frequently made. because they will be much more anxious about making sales commissions and sales quotas. and thinking of things other than work during work hours. Third source is problems in personal lives. psychiatrists. For every individual there is an optimum level of stress under which he or she may perform to full capacity. If the stress experienced is below this optimum level. the motivational level to work reaches a low. rather than feeling controlled by the situation they are facing. Though the optimum stress level is different Form different individuals. forgetting to do things. if one experiences stress at work. However. How much contact an individual has with coworkers and managers.

Ironically. increased frequency of nervous symptoms and increased health problems. When day-today life in an organization is marked by unfriendly. This will be especially true for those who have strong moral values of right and wrong and a deep sense of personal and corporate social responsibility. Organizational Factors Following are the organizational factors that cause stress in individuals: • Work environment factors such as noise. or clients. People in other departments do not always have an adequate understanding of jobs outside their own areas. When interpersonal relationships at work are unpleasant. coworkers. • Insufficient resources such as time. they are more likely to be upbeat and optimistic. they might be more tense or distracted when they go to work. having jobs with less status. The expectations others have of an employee arc sometimes unclear. and may fear of reprisal and other undesirable consequences. This inconsistency of expectations associated with a role is called role conflict. if employees are having some personal problems. • Amount of contact with people in other departments: Having contacts with people outside one's own department creates a special sort of stress. A role is simply the set of expectations that other people in the organization have for an individual. Working under time pressure is especially stressful. On the other hand. With the recent increase in mergers and acquisitions among major organizations. Interpersonal Relationships Another major source of stress in organization is poor interpersonal relationships with supervisors. are as follows: • Amount of contact with others: Jobs vary in terms of how much interpersonal contact is built into them. They have more energy and patience for dealing with problems at work. i. this naturally imposes stresses and strains on the individuals who are responsible for getting the job done. • Role Conflict: Often employees discover that different groups of people in an organization have widely varying expectations of them. • Role Overload: Role overload is a situation in which employees feel they are being asked to do more than time or ability permits. salespeople in a store with no customer. budget. the financial market and so on. people experience role ambiguity. coworkers. and that they cannot meet all those expectations. power and prestige than they think they deserve. • Ethical Dilemmas: Ethical dilemmas such as whether or not one should report the observed unethical behaviors of another person can cause extreme levels of stress in individuals. which results in stress. When one has to produce and perform with inadequate resources on a long-term basis. Three aspects of interpersonal relationships at work. employees develop a generalized anxiety. • Structural factors in the organizational setting such as staff rules and' regulations and reward systems. technology. customers and suppliers expect an employee to behave in certain predictable ways. role underload leads to low self-esteem. radiation and smoke are stress-inducing agents. poor lighting. more and more employees arc experiencing job stress as a result of role ambiguity. subordinates. • Role Underload: Role Underload is the condition in which employees have too little work to do or too little variety -in their work. For example. and he or she experiences stress. a diffuse feeling of dread about upcoming meetings and interactions.. standing around all day with nothing to do. distant. raw materials. A second career concern that can cause employees stress is status incongruity. Factors that influence how much stress people bring from their persona! lives to the work setting are as follows: • Career Concerns: One major career concern that can cause stress is lack of job security. employees are continually tense and this causes stress. heal. Too much prolonged contact with other people can cause stress. Role ambiguity is anxiety arousing among employees that leads to job stress. • Lack of career promotion in organizations may be sometime cause stress. Tensions arise because one might have to contend against one's own colleagues who might be close friends. or hostile exchanges. space or manpower also induce stress in the work environment. If things are going well personally. or too high for the employee to meet within the time allotted. • Environmental factors of stress include sudden and unanticipated changes in the marketplace.e. may cause stress. could be said to experience role underload. #73 . which can cause stress.• Personal Factors o Career concerns o Geographical mobility o Rate of life change Job Characteristics A major source of job stress is a person's role in the organization. • Organizational climate: The overall psychological climate of the organization can create stress. Personal Factors Employees’ personal lives have a marked effect on their lives at work. For example. • Role Ambiguity: When there is a lot of uncertainty surrounding job definitions or job expectations. in conflict. supervisors. which have a negative impact on job stress.

the moves can be even more stressful. short attention span. • The physiological effects can be seen in increased heart and pulse rate. asthma. Spouse abuse. The transferred employees are likely to feel out of control at work. high blood pressure. fatigue. poor image and loss of future business are enormous. depression. depression. Employee Assistance Program Another widely used strategy is the employee assistance Programs. high rates of absenteeism and poor decision-making. it is important for individuals to optimally manage their stress level to operate as fully functioning human beings. Since the body has only a limited capacity to respond to stress. arranging group meditation programs. alienation from family members. impulsive behaviors. handling conflicts at the work place. dealing with marital and other family problems. and anger. nervousness.e. their families and for the organizations they serve. • The manifest health effects could be stomach disorders. and even divorce could result from dysfunctional coping mechanisms. increased alienation of the worker from the job. Some of them are: Role Analysis Technique (RAT) The Role Analysis Technique helps both the manager and the employee to analyze the requirements and expectations from the job. The stresses experienced by employees who take on critical roles and are responsible for safety can sometimes be detrimental to the public. #74 . the ability lo function effectively in one's daily life. drinking. the stresses experienced by a train driver or railway guard. smoking. help to reduce the stress levels of the employees. Effects on the Individual The impacts of distress on individuals are of following types: • The subjective or intrapersonal effects of stress are feelings of anxiety. • The cognitive effects include poor concentration. eczema. Breaking-down the job into various components clarifies the role of the job for the entire system. Job Relocation Job relocation assistance is offered to employees who are transferred. METHODS OF MANAGING STRESS Stress is a factor that everybody has to contend with on a daily basis both in the work and non-work spheres of life. These arrangements help to reduce the anxiety and stress for the moving family. which is handled by individuals in dysfunctional ways. EFFECTS OR CONSEQUENCES OF JOB STRESS Negative stress has unpleasant consequences for them. and withdrawal behaviors. and other psychosomatic disorders.• Geographical Mobility: Geographical moves create stress because they disrupt the routines of daily life. This also helps to eliminate reduction of work and thus lowering down the stress level. will also decline as excessive stress is experienced. navigator. boredom. mental blocks and inability to make decisions. Needless to say that the costs of employee stress to the organization in terms of lost profits. will have an adverse effect on their home life. In addition. Consequences for the Family Negative stress. the mental health. which offer a variety of assistance to employees. by finding alternative employment for the spouses of the transferred employees and getting admissions in schools for their children in the new place. For instance. • The behavioral effects arc manifest in such things as accident proneness. Consequences to Organizations The adverse consequences on an organization include low performance and productivity. child abuse. It also leads to lost of customers because of poor worker attitudes. Sometimes experiencing the stress may cause aggressive behaviors on the part of the individual. excessive eating. apathy. and even destructive and aggressive behaviors resulting in strikes and sabotage. When geographical moves arc undertaken as part of a job transfer. and experience their new work environments as unpredictable. There are several ways in which stress can be handled so that the dysfunctional consequences of stress can be reduced. dryness of throat. or that of an airline pilot. or air traffic controller may result in serious accidents. and excessive sweating. Recreational Program Providing recreational facilities. such as drinking or withdrawal behaviors. i. too. These include counseling employees who seek assistance on how to deal with alcohol and drug abuse.

It also makes the employees aware of what additional educational qualifications or specialized technical training. (hat they should acquire. effective work. Managers are trained to give better performance appraisals. #75 . These programs include biofeedback. Supervisor Training Another type of stress management Program that organizations are experimenting with is supervisor training. participants are given a basic understanding of the causes of stress and its consequences.Career Counseling Career Counseling helps the employee to obtain professional advice regarding career that would help the individual to achieve personal goals. Many companies invest large sum of money in gym and sport facilities for maintaining the health of the employees. Health Maintenance Probably the most frequently used organizational stress management program is health maintenance. and to communicate job assignments and instructions more clearly. People can learn to get better organized so that they can do their work more efficiently. the employees who consider their careers to be important can reduce their stress levels by becoming more realistic about their options and can start preparing themselves for it. if any. and some strategies for dealing with that stress more effectively. In lectures and seminars. By becoming knowledgeable about the possible avenues for advancement. So it is necessary that some help should be provided before doing the work that would lead to much efficient. time management and interpersonal skills workshops. Individual Stress Reduction Workshops Some organizations have also sponsored individual stress reduction workshops for their employees. to listen to employees’ problems more effectively. The emphasis on supervisory training Program is how to prevent job stress. Time Management Another way of coping with stress is to manage time more effectively. ! More Information and Help Some new employees have to spend more time on a job than necessary because they are not sure what they are doing. Delegation can directly decrease workload upon the manager and helps to reduce the stress. It would also reduce anxiety and stress among the employees. participants are given materials to help them identify the major sources of stress in their own lives. Then. Delegation Another way of coping with job stress is to delegate some responsibilities to others. meditation to career counseling.

A manager who has complete control over such rewards has a good deal of power. The greater the perceived values of such rewards. on the other hand. Since any person who is not easily replaceable has more power as compared to those who are easily replaceable. Legitimate power is similar to formal authority and hence it can be created. The structure of the organization also identifies the strength of the legitimate authority by position location. Expert power is that influence which one wields as a result of one's experience. coercive. coercive power if they have control over some form of punishment such as threat of dismissal. Referent Power A person who is respected by certain others for whatever reason has referent power over those people. In such organizations. the greater the power. higher-level positions exercise more power than lower-level positions in a classical hierarchical organizational structure. accept and be willing to follow him or her. French and Bertram Raven identified five bases or sources of power: legitimate. changed or withdrawn by the formal organization. Coercive Power People have. it tends to create resentment and hostility and therefore is usually detrimental to the organization in the long run. P. promotions and valued office assignments. #76 . granted. Authority is institutional and is legitimate. It is the potential ability of a person or group to influence another person or group. The organization gives managers the power to direct the activities of their subordinates. To the extent. Sources of Power John R. Although the use of coercive power is often successful in the short run. It is the ability to get things done the way one wants them to be done. POWER AND AUTHORITY Sometimes power and authority is used synonymously because of their objective of influencing the behavior of others. is personal and does not have any legitimacy. Perhaps. Power. People with referent power are often imitated by others with the star's actions. However. and knowledgeable. A manager’s coercive power increases with the number and severity of the sanctions over which the manager has control. there is difference between the two. A person with referent power may have charisma and people who respect that person are likely to get emotionally involved with the respected person and identify with. it does not need an official position or the backing of an institution to have power. he is likely to have more power. This power occurs when the expert threatens to withhold his knowledge or skill. Manager who uses praise and recognition has also a good deal of power. suspension. Organizational rewards include pay. It can be a factor in almost any organizational decision.LESSON-16 POWER AND POLITICS Learning Objectives After reading this lesson. expert and referent power. Both formal and informal groups and individuals may have power. attitudes and dress. This imitation reflects the rising star's power over the imitations. Influence can take many forms. Legitimate Power A person's position within organization provides him with legitimate power. But stilt. you should be able to: • Know the meaning and sources of power. Power is a factor at all levels of most organizations. demotion or other method of embarrassment for the people. Power does not have any legal sanctity while authority has such sanctity. Expert Power It is more of personal power than organizational power. If the sub-ordinates view their superior as competent. For instance. power is a crucial factor in influencing the behavior in organizational situation. special skill or knowledge. One person has influenced another if the second person's opinions. behavior or perspectives have changed as a result of their interaction. Reward Power This type of power is the extent to which one person has control over rewards that are valued by another. reward. a manager can cause psychological harm also lo an employee. everyone knows who has the most power and few people challenge the power structure. that a low-ranking worker has important knowledge not available to a superior. naturally they will obey and respect the superior. • Understand how people use power • Discuss how people use political behavior in organizations • Understand the techniques of political behavior Power is easy to feel but difficult to define. Organizations vary in how much legitimate power they grant to individuals.

The work of Gary Yukl provides both a way to predict the consequences of certain uses of power and guidelines for using power. POLITICAL BEHAVIOR AND ORGANIZATIONAL POLITICS Power and politics are inextricably interwoven with the fabric of an organization's life. before giving a reward. Organizational politics refers to the activities carried out by people to acquire. good managers must try to analyse the sources of their power and be careful how they use that power. a vicepresident whose secretary is busy should not assume that he or she can just ask a supervisor's secretary to drop all other work and type a letter. the table shows that a leader's use of referent power will lead employees to be committed lo the leader’s project if they see that the project is important to the leader. Using Expert Power To gain power from their expertise. For instance. Public punishment makes everyone uneasy and humiliating and hence should be done private. of power. In any organization. However. #77 . This pursuit of power is political behavior. resent it and losing respect for people using that type.HOW PEOPLE USE POWER An individual manager may have power derived from any or all of the five bases of power and the manager may use that power in different1 ways. Most of these suggestions imply that managers must be sensitive to employees concerns. But often employees resist coercive power. enhance and use power and other resources to obtain their preferred outcomes in a situation where there is uncertainly or disagreement. Employees must know that they get rewarded for good work. Such by passing of the normal chain of command can cause hard feelings among all the people involved. Managers who wish to maintain their credibility should make threats only when they intend to carry through on them and should never threaten a punishment that they cannot bring about. at any given moment. The following table list^ the five sources of . However a manager who understands why people use political behavior and the techniques people usually employ has the best chance to manage political behavior successfully. Decisions are not made in rational or formal way but rather through compromise accommodation and bargaining. when a superior asks a sub-ordinate to do something. Therefore. One of the most positive and subtle uses of referent power is the process of rote modeling. Using Legitimate Power The use of legitimate power is seldom challenged in an organization. For instance. The boss must follow normal procedures and make sure the request is appropriate. the sub-ordinate usually complies without resistance. Using Coercive Power For some people. Hence. compliance and resistancewhen the leader uses the power. warning an individual who uses copying machine to make -personal copies but firing someone who steals equipment from the organization. Using Referent Power Leaders have traditionally strengthened their referent power by hiring employees with backgrounds similar to their own. A good manager will be such that the punishment fit the crime. Though the secretary does what the boss asks. A respected manager who wants her employees to be punctual. Tushman defined politics. the manager must be able to identify the defect and must be able to help and educate him. Manager can use his expert power most effectively to address employee concerns. must be sure that the employee has actually done the job and done it well. coercion is now generally recognized to be the most difficult form of punishment to use successfully in an organization. managers must make people aware of how much they know. considerate and creative can simply demonstrate those behaviors herself and her employees will likely imitate her actions. using coercive power is a natural response when something goes wrong. If a particular sales person faces any difficulty in selling a particular product and turns to manager for his help.i leader's power and some of the variables that are likely to lead to three general types of employee responses or outcomes-commitment. For instance. a number of people are seeking to gain and use power to achieve their own ends. Using Reward Power The manager. directions and the other major parameters of the organization. The secretary who understands the importance of a task will be more likely to work enthusiastically on it. Managers who are insensitive to their employees may find that their legitimate power dwindles and that they must resort to coercive power. One great organizational scholar. However a leader who relics on coercive power is very unlikely to have committed employees. still the boss could be cordial and polite when making requests and should whenever possible explain why a particular task needs to be done. Managing Political Behavior The very nature of political behavior makes it difficult to manage or even approach in a rational and systematic manner. the way the superior makes the request and follows it up are very important for ensuring the sub-ordinate’s future compliance and the growth of the superior's referent power. ‘as the structure and process of the use of authority and power to affect definition of goals.

The more critical (he information and fewer the people who have it. The person who controls a meeting's agenda. Hence decisions are taken on intuition. She may use this power in favoring those whom she likes and frustrating those against whom she may have it grudge. In situations in which technologies are uncertain. Thus. for instance. People who have some control over lines of communication can yield considerable political power. who has done extensive research on -the subject of power in organizations. CHANGES IN TECHNOLOGY AND ENVIRONMENT Organizational effectiveness is largely a function of the organization’s ability to appropriately respond to external environment which is highly dynamic and generally unpredictable as well as adequately adopt to complex technological developments.• • • • • People use political behavior in organizations in response to the five main factors: Ambiguous goals Scarce resources Technology and the environment Non-Programmed decisions Organizational change FACTORS INFLUENCING POLITICAL BEHAVIOR Ambiguous Goals When the goals of a department or the entire organization are ambiguous then there is more room available for playing politics. Some people may use the ambiguity to manipulate the situation for their benefit. political behavior is increased when the internal technology is complex and when external environment is highly volatile. may consistently put a particular item last on the list and then take up time so that meeting adjourns before considering the item. Pfeiffer. peoples in powerful positions have the opportunity to play politics. preferences are conflicting. the companies have to make a lot of non-Programmed decisions on certain issues. TECHNIQUES OF POLITICAL BEHAVIOR The most commonly used techniques of political behavior are: • Controlling information • Controlling lines of communication • Controlling agenda • Using outside experts : • Game playing • Image building • Building coalitions One technique of political behavior is to control the dissemination of critical information to others. Non-Programmed Decisions Sometimes. because such issues involve many factors and variables that are complex in nature. Organizational Change Whenever there are changes in the organizational structure and policies. states as follows: “If there is one concluding message. Controlling lines of communication is another political technique related to the flow of information. These changes may include restructuring of a division or creating a division. personnel changes. Controlling the agenda also gives a person power over information. The opinions of outside experts and consultants often curry much weight in organizations and many consultants can be swayed by political interests. These decisions are not based on clear standards and precedents. If is even better that some of them are quiet effective at it. the secretary may have considerable power in deciding who sees the boss and who does not at a given time. perceptions are selective and biased and information processing capacities are constrained. people have the tendency to use political behavior to make sure that they get the biggest possible share of the resource. it is that it is probably effective and it is certainly normal that these managers do behave as politicians. the stronger is political power base of those who possess these information. For example. It is widely accepted that managers have to be politicians in order to maintain their positions in the organizational hierarchy as well as serve the interests of their units. Consultants know who is paying them and even honest consultants are likely to #78 . the model of an effective politician may be an appropriate one for both the individual and for the organization in the long-run”. introducing a new product line and all these changes influence political behavior when various individuals and groups try to control the given situation. Scarce Resources When resources are scarce. bunch and guesses and all these subjective feelings can be affected by political behavior.

a manager who does not want to answer a committee's tough questions may.give opinions consistent with those of their employer. Game playing can range from fairly innocent to very manipulative. avoid meeting by going out of the town on the day of meeting. For instance. combating politics must be undertaken by the top management and some of the steps that can be undertaken are: open communication. In addition. being attractive. Coalition building can become simply a matter of quid pro quo: I will support you if you will support me. in case of lay off the organization can reduce political behavior. sociable and loyal to the organizational interests. the employees will be likely to put their energy into meeting the stated criteria for gelling resources rather than into political activity. hiring an outside consultant can be a clever political move. always project an image of competence and selfassurance. honest. for instance. Managers with this awareness will expect an increase in political activity during times of organizational change and will learn how to handle it. laying down clear criteria and making it transparent to the employees who will be laid off. Politics when carried to the extreme can damage morale. but not outright illegal or unethical to gain political ends. #79 . Managing Political Behavior Though it is virtually impossible to eliminate political behavior in organizations. If the organization is open about why it made particular decision. For instance. Finally. It involves people doing something insincere. Reducing such uncertainty can. therefore. Image building is creating positive impression reflected by the personality. it is possible to reduce it. having a pleasant smile. then employees will he less likely to think that the decisions were political and less likely to use political techniques to try to influence the next decision. It is necessary to have the alliance with the right people. Some of the factors that enhance a preferred image consist of being well dressed. Uncertainty in the form of ambiguous goals and changes that affect the organization tends to increase the use of political activity. managers who develop an ability to recognize and predict political activity are in the best position to limit its effects. Accordingly. reduction of uncertainty and creating awareness. destroy loyalty. if a manager understands the reasons for it and the techniques of political behavior. Open communication is one of the ways an organization can reduce uncertainty. create enemies. appearance and style. reduce the political behavior. damper co-operative spirit and much time and energy is spent planning attacks and counter attacks which are detrimental to organizational health. Hence. Building coalitions or alliance is another technique of gaining political power. Open communication can reduce the political activity if all employees know how and why an organization allocates resources.

Charles Perrow concluded that me key question concerning an organization’s technology is whether it is routine or non-routine. which include as elections. products are transformed from raw materials into finished goods through a series of machine transformations that change the composition of the materials themselves. they can help the organization to take advantage of any change.  In large batch or mass-production technology. for example. In particular. Bums and Stalker argued that managers should examine the rate of change in technology to determine the best organizational structure. products are manufactured according to customer specifications in small quantities. in terms of the number of its full-time employees. which include buildings. non-routine or intensive technology needs to ensure that its structure can adapt to changes in the technologies. the hierarchy. the differences in organizational design that might exist between a computer manufacturer and university. Organizational Size and Life Cycle: Organization size refers to how large : the organization is. organizational environment. war. Consider. usually. objects. it has a more centralized structure with numerous rules and regulations. are manufactured in assembly-line fashion by combining component pans to create finished goods. Life cycle refers to organization's maturity relative to that of other organizations. a highly formalized centralized structure is appropriate for an organization that uses the same routine technology while a more flexible structure is necessary for an organization that often uses new technology. In his view. the managers must keep an eye on it and be ready to modify organization's design to respond to environmental changes. groupings of jobs. unemployment rate. not just production and the same technological change can have very different effects on different organizations. Examples are petroleum refiners. Therefore.LESSON -17 ORGANIZATIONAL DESIGN Learning Objectives After reading this lesson. Since the computer manufacturer has to respond to frequent technological breakthroughs and changes in its competitive environment. then. shareholders competitors. which include customers. • #80 . • Technology: Technology is the set of processes that an organization uses to transform various resources such as materials and labor into products or services. you should be able to: • Understand the concept of organizational design • Identify the determinants of organizational design • Know the various forms of organizational design CONCEPT OF ORGANIZATIONAL DESIGN Organizational design is the overall configuration of structural components that defines jobs. machines and events. finance. Technology can affect all aspects of an organization. floods etc. Since the environment affects organization both directly and indirectly. ' An organization that uses continuous process." automobile and computer manufacturers. • Environment: The environment also influences the type of design an organization is likely to adopt. approaches to co-ordination and line-staff differentiation into a single and unified organizational system. Woodward defined three basic types of technology. She found that organizations within each set had similar designs but the designs varied somewhat from set to set. products. food processors and chemical manufacturers. therefore. Woodward viewed unit or small-batch technology as -the least complex while the continuous process technology as the most complex. and organization size and life cycle. Joan Woodward was the first person to see the link between technology and organizational design. economic factors. patterns of authority. Examples are printing press and studios. which include interest rates.  In unit or small-batch technology. Examples are home-appliance. legislatures and regulatory agencies. They recommended a bureaucratic or mechanistic structure for organizations with slowly changing technology and an organic or flexible structure for organizations with rapidly changing technology. The environment of an organization consists of all the factors and conditions outside the organization that might affect it. If the managers are good at analyzing and predicting changes in the environment.  In continuous-process technology. DETERMINANTS OF ORGANIZATIONAL DESIGN The key situational determinants of organizational design are technology. it is likely to have a relatively flat and decentralized design whereas the university has a more stable environment and is less affected by technology.

An organization's life cycle and growth rates are directly linked to the strategy that the organization is pursuing. an organization can buy and sell its individual businesses with little or no disruption to the others. limits and potentials of" its environment and the life cycle stage it follows.1 shows the organization cycle.2 shows the H-form organization. CONTEMPORARY FORMS OF ORGANIZATIONAL DESIGN Every organization has its own unique design depending on its technology. H stands for Hybrid and is also known as conglomerate. #81 . they grow for some period of time and then eventually stabilize as a mature organization. more standard operating procedures.Size can affect organization design in many different ways. To summarize. U stands for Unity. Such organization requires perfect coordination to operate smoothly aiming the various departments. A group of researchers in England found that large organizations tend to have more job specialization. The loss in one product is compensated by profit in another. After they are created. This design has two advantages. since each department is highly dependent on another. This design usually results from the corporate strategy of unrelated diversification of the products. When the organizations grow. It is also called as "functional design as it relies exclusively on the functional approach to departmentalization. they should be prepared to adapt their design accordingly. It tends to make it hard for organization to monitor the performance of individual managers within each functional area. such an organization can protect itself from cyclical fluctuations in a single industry. The design relics on product departmentalization with the various products constituting different businesses. it also facilitates wide spans of management and helps the Managing Director to maintain centralized authority. as organizations grow in size. Following are the various forms of an organization based on their design: • The U-Form Organization: In the U-form organization. Members of the organization who perform the same functions arc grouped together into departments. The main disadvantage of this form of organization is that it is complex and diverse thereby creating difficulty for top managers in having knowledge about all products. First. an organization design needed by a small but rapidly growing business is different from an organization design needed by an established and entrenched industry giant growing at a stable and predictable rate. However. The U-Form design has several advantages. The following figure 17. It allows an organization to staff each department with experts. Organizations tend to follow a predictable pattern of growth. Thus. the U-form design shows decision-making and employees within each department may concentrate on their own function forgetting overall organizational goals. they often find that the disadvantages of the U-form tend 10 become more significant and adopt different designs as they evolve through their life cycles. more rules and regulations. An organization's life cycle is related to its size. and more decentralization than small organizations. The H-Form Organization: In the H-form organization. The figure 17. Secondly.

other that manufactures lyre and still another that manufactures car polish. Nestle is almost a confederation of independent operating organizations. life cycle and size. As a result. Such companies have offices and/or factories in different countries and usually have a centralized head office where they coordinate the global management.• The M-Form Organization: In the M-form organization M stands for Multi-divisional and it is called the divisional design. its strengths and weaknesses. • A matrix design allows an organization to capitalize on the advantages of both functional and product departmentalization. an organization with an M-form design might own one business that manufactures automobile batteries.3 shows the matrix organization. A global organization must modify and adapt its design to allow it to function effectively. The organization also has to devote more resources to coordination because of high levels of interdependence that result from a matrix. which has assets in more than one country other than its home country is called as global organization. its technology. Global Organization: An organization. because the various units are in the same or related businesses. its history. who arc empowered with a great deal of autonomy and authority to make decisions. if the businesses are too closely related. These organizations have centralized head office in their home country that controls their various office in other parts of the world. It has also some drawbacks such as an organization lacks a clear chain of command thereby 'resulting into confusion about which manager lies authority over a given employee. in terms of manufacturing products that is used by automobile owners. it is easy for top managers to understand. A matrix design is seldom used for an entire organization and is often used for a portion of it. For example. It is to be remembered that there is no one best form of design that all organizations should adopt. Although each is distinct from the other but still related. Thus. Moreover. Most of its businesses are in the same or related industries. For example. 'the organization cannot escape from the effect of cyclical fluctuations. A primary advantage of the M-form organization is that it can achieve a great deal of synergy in its operations. environment.g. Us organizational design is like an umbrella. Nestle is a big global organization and highly decentralized. It must then choose a design that fit these elements most effectively. It is similar to the H-form design but has one notable distinction. However. Each organization has to carefully assess its own strategy. a consumer familiar with an organization’s batteries will be inclined to buy its tyres and car polish. • The Matrix Organization: A matrix organization is created by overlaying product-based departmentalization on lo a functional structure. the M-form design is used to implement a corporate strategy of related diversification. #82 . Nestlé’s various organizations scattered around the world are operated by its own general managers. co-ordinate and control them. Figure 17. e. Its design is similar to the M-form but because the operating units are so far apart that there is little synergy.

weak and poorly defined cultures. Changing Organizational Culture Change is most often needed when the organization has lost its effectiveness and is struggling to either" carry out or change its strategic goals. while climate is an indicator of whether those beliefs and expectations are being fulfilled. An organizational culture generally lakes shape over time and is often deeply influenced by the values of the organizational founders. Such values are part of organizational culture in spite of not being formally written like rules and regulations of the organization. The manager trying to change an organizational culture faces lots of difficulties. Factors affecting organizational climate CONCEPT OF ORGANIZATIONAL CULTURE Organizational culture is the set of values that states what an organization stands for. Importance of Culture Culture plays a very significant role in any organization by communicating information about the overall acceptable and unacceptable behavior. possible to change organizational culture. stories. which are embedded in organization's soul that stays stable irrespective of the changes in leadership and environment. a strong culture is. strong and well-defined culture whereas: others have ambiguous. an organization's values automatically enter every employee's personal values and actions over a period of time. For this managers must change employee's ideas about what is and what is not appropriate behavior. the box will have little effect on organization morale. to improve the organization performance. "a system of informal rules that spells out how people have to behave most of the time". They do not usually appear in the organizational training Program and in fact. if the suggestion box remains just a symbol and organization never translates the suggestions into actions. one organization might value solidarity and loyalty to organization more than any other value whereas another organization might stress on good relations with customers. An organization's suggestion box is a symbol of an organization's openness to the ideas of the employees. These. Because organizational culture embody the organizational values. how it operates and what it considers important. heroes. various symbols. All the above definitions stress acceptable and unacceptable behavior of its members. They must create new role model and new stories to help employees understand the meaning of what is happening around them. you should be able to understand: • • Organizational culture and explain its importance. Most managers agree that a strong and clear culture is preferable to weak and vague culture because it helps to provide a common frame of reference for managerial decision-making and a wide variety of other organizational activities. generous or moderate in supporting social causes and ruthless or kind in competitive dealings. Organizational culture has a profound influence on individual employees because it is generally an accepted set of values rather than a written set of rules with which employees might not argue. any organization willing to change its culture must realize that such a change is never easy and cannot be brought about simply by ordering employees. "Organizational culture is concerned with the nature of beliefs and expectations about organizational life. However.LESSON -18 ORGANIZATIONAL CULTURE AND CLIMATE Learning Objectives After reading this lesson. However. As organizational culture evolves. It is. there are certain differences between the two. Culture communicates whether the organization expects its managers to be aggressive or conservative in decisions-making. changes in the organizational culture will be as stable as the old culture was. According to Deal and Kennedy. serve to maintain and perpetuate the culture through subsequent generations of employees. According to Bowditch and Buono. many organizations have difficulty in expressing their cultural values. One way to brine about such changes is to manage the symbols that are important to the organization. Some organizations have clear. For instance. Organizational Climate Even though organizational culture and organizational climate are sometimes used interchangeably. Schein defines organizational culture as the pattern of basic assumptions that a given group has invented. slogans and ceremonies also come into being." Organizational climate is a relatively enduring quality of the internal environment that is #83 . Some organizations try to emphasize the importance of employees’ ideas by rewarding them for their suggestions. However. however. discovered and developed while learning to cope with its problems of external adaptation and internal integration. Once successfully made. then.

agent dependence and general satisfaction. Lawrence James and Allan Jones have identified five factors influencing climate. inter-agency conflict. Similarly. organizational structure and process. challenges and innovations. These factors may include job descriptions. strict supervision and promotional achievement orientation.experienced by its members. influences their behavior. which include management philosophy. Kahn has identified factors such as rules orientation. the nurture of subordinates." It is a set of characteristics and factors of the organization that are perceived by the employees and. which serve as a major force in influencing their behavior. Thus. physical environment and values. and can be described in terms of the values of a particular set of characteristics. leadership style. FACTORS AFFECTING ORGANIZATIONAL CLIMATE In every organization. which include communication. Organizational climate has a major influence on human performance through its impact on the motivation. job satisfaction and attitudes of people. #84 . Schneider and Barlett describe six factors that have an influence over organizational climate such as managerial support. it is very difficult to generalize exactly the factors affecting the climate. motivation and leadership. there exist certain factors that exert deep influence on the climate. performance arid evaluation standards.

effectiveness concentrates more on human side of organizational values and activities whereas efficiency concentrates on the technological side of an organization. FACTORS AFFECTING ORGANIZATIONAL EFFECTIVENESS Likert has classified the factors affecting organizational effectiveness into following three variables: • Causal • Intervening • End result Causal Variables #85 . discussion of organizational effectiveness leads to the conclusion that there is no single indicator of effectiveness. you should be able to understand: • • The concept of organizational effectiveness Factors contributing organizational effectiveness CONCEPT OF ORGANIZATIONAL EFFECTIVENESS Organizational effectiveness is defined as an extent to which an organization achieves its predetermined objectives with the given amount of resources and means without placing undue strain on its members. efficiency. It is generally measured as the ratio of inputs to outputs. However the concept of effectiveness is not simple because there are many approaches in conceptualizing this term. it cannot be applied for measuring organizational effectiveness in terms of its contributions to social system. productivity. morale. Such approaches can be grouped into following three approaches: • Goal Approach. none of the single variable has proved to be entirely satisfactory. Instead. profit.LESSON . The interdependence takes the form of input-output transactions and includes scarce and valued resources such as physical. this model is not different from the goal model. i. The main limitation of this approaches the problem of identifying the real goals rather than the ideal goals. The limitation of this model is that an acquisition of resources from environment is again related to the goal of an organization. the vital question in determining effectiveness is how well an organization is doing for the super-ordinate system. Further. Thus. or efficient but not effective. there exists a difference between the two concepts. Thus. Sometimes efficiency and effectiveness are used as synonyms. it is difficult to accept that ultimate goal of organization will be to serve society. the manager's own behavior contributes to achievement of organizational goals.19 ORGANIZATIONAL EFFECTIVENESS Learning Objectives After reading this lesson. effectiveness refers to maximization of profits by providing an efficient service that leads to high productivity and good employee morale.e. the approach should focus on operative goals that would serve as a basis for assessment of effectiveness. in goal approach. Functional Approach This approach solves the problem of identification of organizational goals. However. System Resource Approach System-resource approach of organizational effectiveness emphasizes on interdependency of processes that relate the organization to its environment. turnover. accidents. On the other hand. It has been defined in terms of organizational goal-achieving behavior. Parson states that since it has been assumed that an organization is identified in terms of its goal. The limitation of this approach is that when organizations have autonomy to follow its independent courses of action. It refers to an amount of resources used to produce a particular unit of output. Therefore. Campbell has suggested several variables such as. which help in measuring organizational effectiveness. However. As such.. economic and human for which every organization competes. motivation and satisfaction. efficiency is a limited concept that pertains to the internal working of an organization. It is commonly referred to as the degree to which predetermined goals are achieved. quality. • Functional Approach • System Resource Approach Goal Approach Goal attainment is the most widely used criterion of organizational effectiveness. it is important to explain the difference between the concepts of effectiveness and efficiency to understand why organizations may he effective bin not efficient. Therefore. Effectiveness is a broad concept and takes into account a collection of factors both inside and outside an organization. focus towards attainment of these goals should also aim at serving the society. Managerial effectiveness is a causal variable in organizational effectiveness. Both the goal and functional approach do not give adequate consideration to the conceptual problem of the relations between the organization and its environment.

at three different levels such as the individual. costs. while other variables will be corrected or improved automatically because of causal variables. If there is no perfect integration #86 . business and leadership strategies. affects the degree of organizational effectiveness. The causal variables are the key to organizational effectiveness. communication and decision-making. motivations.e.Causal variables are those independent variables that determine the course of developments within an organization and the objectives achieved by an organization. to make organization effective. These causal variables include only those independent variables.2 shows Levels of Variables. skills and behavior. The effectiveness model can be presented in a more complex way i. Hence. He may sec his goal satisfaction in satisfying organizational goals. decisions. Intervening Variables Intervening variables according to Likert are those variables that reflect the internal state and health of an organization. The causal. End Results Variables • Production • Cost • Sales • Earning • Turnover • Management Union Relationship The effective organization is built of effective individuals who work collectively in groups.. loss and earnings. loyalties. each individual tries to satisfy his goal by working in an organization and simultaneously satisfying organizational minis. End-Result Variables End-Result variables are the dependent variables that reflect achievements of an organization such as its productivity.1 shows the relationship among various variables. The inter-relationship may be visualized as psychological process where stimuli or causal variables acting upon the organism or intervening variables and creating certain responses or end-result variables. which can be altered by organization and its management.e. performance goals and perceptions of all the members and their collective capacity for effective interaction. Causal variables include organization and management's policies. attempt should be made to improve the causal variables. The extent to which individual and organizational goals are integrated. Figure 19. i. Casual Variables • Leadership Style • Management Decision • Organizational Philosophy Objectives and policies • Technology Intervening Variables • Commitment to Objective • Motivation and Morale • Communication Leadership Skills • Conflict Resolution • Decision –Making Figure 19. For example. Figure 19.1: Inter-relationship of Variables The above model is quiet simple. intervening and end-result variables comprise a complex network with many interdependent relationships. Inter-Relationship of Variables The three variables such as causal. attitudes. intervening and end-result ore interrelated. group and organizational levels in order to make the organization more effective.

Exploring New Outputs: When the internal change is stabilised. A successful coping suggests that all the stages have to be successfully-negotiated and failure at any of these stages may result into ineffectiveness. Effectiveness through Adaptive-Coping Cycle The organization must develop a system through which it can adapt or cope with the environmental requirements. • There should be enough internal flexibility so that changes can be brought and absorbed by an organization. #87 . which are in accordance with environment requirements. This is because change in one may affect other and this change can be either positive or negative. Importing the Relevant Information: Organizations must be able to take the relevant information from the environment. normally known as conversion process. which provide willingness for change. 4. especially when the major organizational changes take place. organizational effectiveness is not a result of integration between individual and organizational goals only but there are other causal variables affecting it. 5. research and development and other similar devices for effective coping with the environment. • Successful coping requires integration and commitment to organizational goals. which constitutes the input. Maintaining organizational effectiveness requires additional efforts. Following are the major organizational conditions for effective coping: • There should be an effective communication system through which reliable and valid information can be passed. 2. There are six stages in the adaptive-coping cycle as follows: 1. Changing Conversion Process: The organization takes the inputs from environment for further processing. Stabilizing Internal Changes: The fourth stage of the cycle is to stabilize an internal sub-system of an organization. 3. Schein has suggested that an organization can do this through the adaptive coping cycle. This is similar to first stage. which can support good communication. • There should be supportive internal climate. Sensing of Change: The first stage is the sensing of change in internal or external environment. Adaptive-Coping cycle is a continuous process.of individual and organizational goals then organizational effectiveness is affected adversely. the organization can export new outputs. Obtaining Feedback: The last stage in the cycle is to obtain feedback on the outcome of the changes for further sensing the state of the external environment and the degree of integration of internal environment. sub-system. Most of the organizations have adaptive sub-system such as marketing research. reduction in inflexibility and stimulation of self-protection. 6. However. which is dependent on external. which consists of various activities that enable an organization to cope with the dynamics of environment.

#88 . Inappropriate leader behavior such as inadequate direction and support are the cause of conflict between managers and their subordinates. Political events also create substantial change in an organization. Nature of Change Organizations introduce changes through people. In addition. you should-be able to understand: • The concept of change in the organization • Forces affecting the change • Model and dynamics of planned change • The reasons for resistance to change • The method of overcoming resistance to change Change simply refers to alteration in the existing conditions of an organization. Management of change involves both individual and organizational change. the degree of difficulty involved in the change and the time taken to bring about the change will depend on the target of change. It is possible to bring about a total change m_ an organization by changing behaviors of individual members through participative and. INTERNAL FORCES Internal forces for change come from inside the organization. which is determined by individual characteristics of members such as their knowledge. Managerial Behavior Excessive interpersonal conflict between managers and their subordinates is a sign of implementing an immediate change. This may come from both human resource problems and managerial behavior. There are four key external forces for change: Demographic Characteristics: These include age. Therefore. work overload and ambiguity. The economic and social environment is so dynamic that without adapting to such change even the most successful organizations cannot survive in the changed environment. Market Changes: The emergence of a global economy is forcing Indian organizations to change the way they do business. Organizations encounter different forces for change. Although.20 MANAGEMENT OF CHANGE Learning Objectives After reading this lesson. needs. Therefore. Even in most stable organizations change is necessary to maintain stability. Technological Advancements: Both manufacturing and service organizations are increasingly using technology as a means to improve productivity and market competitiveness. The attitudes towards change are largely dependent on the nature of the situation and the manner in . management must continuously monitor the outside environment and be sufficiently innovative and creative to implement these changes effectively. skill level and gender of employees. intended changes can never be translated into reality. Human Resource Problems These problems stem from employee perceptions about their work environment and conflict between an employee and organization needs. Organizations might respond to these problems by using the various approaches to job design by implementing realistic job previews and by reducing employees' role conflict.LESSON . Although it is difficult for organizations to predict changes in political forces. Unless the people arc willing to accept the need and responsibility for organizational change. many organizations hire lobbyists and consultants to help them detect and respond to social and political changes. stress. educative strategies. EXTERNAL FORCES External forces for change originate outside an organization. education. Individual change is behavioral change. Social and Political Pressures: These forces are created by social and political events. attitudes. individuals have to learn to adapt their attitudes and behavioral patterns to constantly changing environments. priorities and motivation. Organizations are entering into new partnerships with their suppliers in order to deliver higher quality products at lower prices. managers need to adjust their managerial style according to the changing employee values. These forces come from external and internal sources of the organization. beliefs. expectations and skills.which changes are initiated and executed. Organizations need to effectively manage these characteristics in order to receive maximum contribution and commitment from their employees. Personal values affect employees’ needs.

The linkage between attitude and behavior is not direct and therefore changing behavior is more difficult than changing attitudes. For example. Planned change is designed and implemented by an organization in an orderly and timely fashion in the anticipation of future change. This model is useful for both planned and reactive change. External forces that the organization has failed to anticipate or interpret always bring about reactive change. Due to this group dynamics. attitude and behavior. However. It is possible to change total organization without focusing at the level of individual's change of knowledge. The more effective approach is to anticipate the significant forces for change working in an organization and plan ways to address them. Bringing total behavioral change in all the groups and members of an organization involves difficult long-range effort. managers must understand the steps needed for effective change. In contrast to planned change. Modification in the organization's structures. procedures and techniques leads to total organizational change. Planned change is always preferable to reactive change. #89 . Changing group behavior is usually a more prolonged and harder task. sometimes it may be easier to tackle the group as a whole rather than trying to change the behavior of members one by one. Managers who sit back and respond to change only when they can no longer avoid it are likely to waste a lot of time and money trying to patch together a last-minute solution. it increases the likelihood of a poorly conceived and poorly executed Program. we may still act in a less honest way.1 shows seven steps that can lead to effective change. One's attitude does not necessarily get reflected in one's behavior. As these two kinds of changes are interdependent. the complexity of managing change increases manifold. Since reactive change may have to be carried out hastily. it is a slow painful process to usher a total cultural change in an organization. we know that honesty is the best policy and we have favourable altitudes towards people. Some organizational changes are planned whereas other changes are reactive. due to the same reasons of a group's over-riding influence on individual members. A COMPREHENSIVE MODEL OF CHANGE The comprehensive model of change shown in the figure 20. Reactive change results from a reaction of an organization to unexpected events. More often than not. To accomplish this. individual member's ‘changed behavior’ may revert to earlier normative behavior in order to maintain the change in the existing conditions. it is a piece-meal response to circumstances as they develop. policies. therefore managers must approach it systematically and logically.Changing individual behavior is more time consuming and a difficult task. These types of changes alter prescribed relationships and roles assigned to members and eventually modify the individual members’ behavior and attitudes. APPROACHES TO ORGANIZATIONAL CHANGE As organizational change is a complex process.who are honest but in certain situations. Every group has its own dynamics of push and pull that attempt to neutralise the change that may have taken place in an individual.

the manager may discuss the situation with employees and other managers.The seven steps of comprehensive model of change are as follows: Recognize need for change The first step in this model is recognizing need for change. For marketing managers who anticipate needed . An intervention is a specific change induced in an organization with the intention of solving a particular problem or accomplishing a specific objective. The goals can be set to maintain or increase the market standing. poor working conditions. if turnover is the recognized stimulus for change. to enter new markets. better alternatives in the job market or employee job dissatisfaction etc. For example. Diagnose relevant variables An important next step is diagnosing organizational variables that have brought about the need for change. may be caused by a variety of factors such as low pay. for example. Thus. then a new reward system is required and if the cause is poor supervision then interpersonal skills and training for supervisors is required. recognition is likely to come much earlier. Establish goals for change The manager must then set goals for the proposed change. as a result of marketing forecasts indicating new market potential. These managers tend to ‘initiate change because they expect it to be necessary in the near future in any case’. how the change will affect other areas of the organization and the degree to #90 . to reduce turnover. to settle a strike and to identify good investment opportunities. the manager must understand what has caused it in a particular situation in order to make the right changes. To carry out this diagnosis. Planning the implementation of change involves consideration of the cost of the change. Plan implementation of change The manager must then carefully plan the implementation of change. expert indications about impending socio-economic change or a perceived opportunity to capitalize on a key technological breakthrough. poor supervision. if turnover is caused by low pay. Select change intervention After the manager has developed an understanding of the problem and its causes then he must select a change intervention that will accomplish the intended goal. Turnover. change. It is important for the manager to specify goals that the change is supposed to accomplish. to restore employee morale.

this model is based: 1. Implement change A systematically implemented change is more likely to proceed smoothly and to encounter fewer obstacles than is a change that is implemented too quickly and without adequate preparation. if change is thrust upon them too quickly. 5. Researchers and managers have thus tried to identify effective ways to manage the change process. reward systems or job design requires individuals to change. or new ways of looking at things. Role models. Expanded Process Model Lewin's model is very simple and straightforward and virtually all models of organizational change use his approach. behaviors and organizational practices. For example. which explained how to initiate. attitudes and organizational practices. Re freezing The focus of this stage is stabilizing the change during refreezing by helping employees integrate the changed behavior or attitude into their normal way of doing things. new behavioral models.which employees should participate in bringing about the change. Once exhibited. The following models have been developed to effectively manage change: Lewin's Change Model Most theories of organizational change originated from the landmark work of social psychologist Kurt Lewin. Change will not occur unless there is motivation to change. A change may fail to bring about the intended results. This model looks at planned change from the perspective of top management. positive reinforcement is used to reinforce the desired change. Additional coaching and modelling are also used at this point to reinforce the stability of the change. The purpose is to help employees learn new concepts to implement change. the manager should verify that it has accomplished its intended goals. Quick-fix solutions do not really solve underlying problems and they have little staying power. This may be due to inappropriate goals or inaccurate diagnosis of the situation or wrong selection of intervention. manage and stabilize the change process. experts. Before reviewing each stage. Resistance to change is found even when the goals of change are highly desirable. Expanded process model is illustrated in the figure 20. This is accomplished by first giving employees the chance to exhibit the new behaviors or attitudes. The model incorporates Lewin's concept as part of the implementation phase. if the change involves the use of new equipment. The three stages are unfreezing. 2. whether in terms of structure. Lewin developed a three-stage model of planned change. In doing so individuals are encouraged to replace old behaviors and attitudes with those desired by management.2. MODELS AND DYNAMICS OF PLANNED CHANGE Managers are criticized for emphasizing short-term. The following are the three stages of change: Unfreezing The focus of this stage is to make organization open to change. the manager should not make any changes that rely on the use of new equipment until it has arrived and been installed and workers know how to use it. Evaluate implementation Finally. Moreover. The change process involves learning something new. #91 . changing and refreezing. after the change has been implemented. This is often the most difficult part of the change process. Effective change requires reinforcing new behaviors. Any change. Managers also need to devise ways to reduce the barriers to change during this stage. as well discontinuing current attitudes. mentors. quick fix solutions to organizational problems. 3. it does not deal with several important issues. People are the hub of all organizational changes. group process. it is important to highlight the assumptions on which. However. benchmarking organization against world-class organizations and training are useful mechanisms to facilitate change. Changing The focus of this stage is in providing employees with new information. Hastily implemented change can result in more harm than benefit. their resistance may stiffen. 4.

Figure 20. Acceptance • • • • • • Enthusiasm Cooperation Cooperation under pressure from management Acceptance Passive resignation Indifference • • • • • • • • • • • • Apathy: loss of interest in the job Doing only what is ordered Regressive behavior Non-learning Protests Working to rule Doing as little as possible Slowing down Persona! withdrawal (increased time off the job) Committing "errors" Spoilage Deliberate sabotage Indifference Passive Resistance Active Resistance #92 . or outputs will be like after the change. the top management defines its goals in terms of what the organization or certain processes. managers can use the list given in following table. if they want to be more effective in supporting change. managers need to recognize the manifestations of resistance both in themselves and in others. Therefore. Usually. Alternatives for change are generated and evaluated and then an acceptable one is selected. For example.2 Top management according to this model perceives certain forces or trends that call for change and issues that are subjected to the organization's usual problem solving and decision-making processes. RESISTANCE TO CHANGE Although organizations initiate changes in order to adjust to the changes in their environments but people sometimes resist them.

2. 10. Most people prefer to do their work the way they did it last week rather than learn a new approach. Change may also threaten people's feelings of familiarity and self-confidence. The following methods of overcoming-resistance to change are as follows: • Participation: Participation is generally considered the most effective technique for overcoming resistance to change. They show that change is ‘related to business or job’. individuals have the following reasons for resisting change: • Simple habits create a lot of resistance. 11. They are not discouraged by setbacks. 8. 9. a British Psychologist and business consultant. an organization must be ready for change. Any change that may alter the power relationships within an organization may meet the form of resistance known as ‘threatened power’. They clearly explain change to people affected by change. Valerie Stewart (1983). 1. They can propose changes not only from their own view point but also from that of others. the employees perceptions or interpretations of a change should be considered. 7. • Some people resist change to avoid feeling of loss. They have a history of successful change. Group inertia may weaken an individual’s attempt to bring about change. They present changes as a relational decision. They do not pile one change on another but wait for assimilation. Before recommending specific approaches to overcome resistance. then it is said to have a narrow focus of change. many organizations change interventions and alter work arrangements. • Perhaps the biggest cause of employee resistance to change is uncertainty. thus disrupting existing social networks. They become committed to the change and make it #93 . so they resist any change that might adversely affect those relationships. Resistance may also take the form of threatened expertise if the change lends to weaken special expertise built after years of experience.The sources of resistance to change within organizations are classified into organizational sources of resistance and individual sources of resistance. They show reverence for tradition and respect for experience. For example. Organizational restructuring that involves reducing the number of job categories often meets this kind of resistance. OVERCOMING RESISTANCE TO CHANGE Managers need not abandon planned change in the face of resistance. 5. employees are likely to become anxious and nervous. They can translate desires into practical action. Third. They involve their staff in the management of change and protect their security. policies and structure to maintain the existing conditions and therefore resist change even when change would benefit the organization more than stability. In the face of impending change. They worry about their ability to meet new job demands therefore. They harness circumstances to implement change. 4. • People may resist change because their perceptions of underlying circumstances differ from the perceptions of those who are promoting the change. 3. Resistance may occur when a change threatens quantum of resource allocation from one part of the organization to another. When an organization tries to change one of its division or part of the division without recognizing the interdependence of the division with other divisions of the organization. 13. has listed the following characteristics of people who are good at managing changes. wherever possible. Second. leading to feeling of job insecurity. 6. 14. the top management should inform the employees about the process of change. 12. First. Social relationships are important to most people. ORGANIZATIONAL SOURCES OF RESISTANCE According to Daniel Kantz and Robert L Khan. • • • • • • Over determination or structural inertia refers to the tendency of an organization's rules. Individual Sources of Resistance According to researchers. organizational sources of resistance can be divided into following six general groups. They share maximum information about possible outcomes. They know clearly what they want to achieve. Often a part of division cannot be changed without changing the whole division. They make change by personally rewarding people. there are three key conclusions that should be kept in mind. Employees who take part in planning and implementing change are better able to understand the reasons for the change than those who are not involved.

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work. Employees who have the opportunity to express their own ideas and to understand the perspectives of others are likely to accept change gracefully. It is a time consuming process. Education and Communication: Educating employees about the need for and the expected results of an impending change help reduce their resistance. Managers should maintain an open channel of communication while planning and implementing change. However, it is also a time consuming process. Facilitation of Change: Knowing ahead of lime that employees are likely to resist change then the manager should do as much as possible to help them cope with uncertainly and feeling of loss. Introducing change gradually, making only necessary changes, announcing changes in advance and allowing time for people to adjust to new ways of doing things can help reduce resistance. Force-Field Analysis: In almost any situation where a change is being planned, there are forces acting for and against the change. In force-field analysis, the manager list each set of forces and then try to remove or minimize some of the forces acting against the change. Negotiation: Where someone or some group will clearly lose out in a change and where that group has considerable power to resist, there negotiation is required. Sometimes it is a relatively easy way to avoid major resistance. Manipulation and Cooperation: This is followed when other tactics will not work or are too expensive. It can be quick and inexpensive, However, it can lead to further problems if people feel manipulated. Explicit and Implicit Coercion: This is adopted where speed is essential and where the change initiators possess considerable power. It is speedy and can overcome resistance.

Each of the above methods has its advantages and disadvantages. There is no universal strategy for overcoming resistance to change. Hence, an organization that plans to introduce certain changes must be prepared to face resistance from its employees. An organization should also have a planned approach to overcome such resistances. ORGANIZATIONAL DEVELOPMENT The term Organizational Development (OD) refers to a broad range of behavioral science based strategies used to diagnose the need for change in organizations and to implement changes when necessary. OD can be defined as a technique for bringing change in the entire organization, rather man focusing attention on individuals to bring change easily in the entire organization. Nature of OD OD is a general strategy or approach to organizational change mat is employed to analyze and diagnose the sources of organizational problems and to develop and implement action plans for their solution. According to Bennis, OD has the following characteristics; • It is an educational strategy for bringing planned change. • It relates to real problems of an organization. • Laboratory training methods based on experienced behavior are primarily used to bring change. • Change agent applying OD technique for change is external to the forms of consultants. • There is a close working relationship between change agents and the people who are being changed. The relationships involve mutual trust, joint goals, means, and mutual influence. • The change agents share social philosophy about human value. They are humanists seeking to get a humanistic philosophy in organization. OD Interventions OD interventions refer to various activities which consultant and client organization perform for improving organizational functioning by enabling organization members to better manage their team and organization cultures. French and Well have defined OD interventions as "sets of structured activities in which selected organizational units (target groups or individuals) engage with a task or a sequence of tasks where the task goals are related directly or indirectly to organizational improvement. Interventions constitute the action thrust of organization development; they make things happen and are what is happening.” Intervention Techniques • Sensitivity Training • Process Consultation • Team Development • Grid Organization Development Sensitivity Training: Sensitivity training is a small-group interaction under stress in an unstructured encounter group, which requires people to become sensitive to one another's feelings in order to develop reasonable group activity. In sensitivity training, the actual technique employed is T-group. T-group has several characteristic features: • The T-group is generally small, from ten to twenty members • The group begins its activity with no formal agenda

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The primary role of trainer is to call attention of members from time to time lo the ongoing process within the group The procedure lends to develop introspection and self-examination, with emotional levels of involvement and behavior.

The objectives of such training are increased openness with others, more concern for others, increased tolerance for individual differences, less ethnic prejudice, understanding of a group process, enhanced listening skills and increased trust and support. Process Consultation: Process Consultation (P-C) represents a method of intervening in an ongoing system. The basic content of P-C is that the consultant works with individuals and groups to help them learn about human and social processes and learn to solve problems that stem from process events. P-C consists of many interventions and activities which affect the various organizational processes such as. communication, roles and functions of group members, group problem-solving and decision-making, group norms, authority and leadership and inter-group cooperation and conflicts. Team Development: The underlying aim of team development is to increase trust among team members because people work better together when there is open and honest sharing about the problems and difficulties that they have with one another. As such, at the initial level, the attempt should be to develop such an environment where such trust can be developed among the team members Grid Organization Development: Grid organization development, developed by Blake and Mounton, is a comprehensive and systematic OD Program. The Program aims at individuals, groups and the organization as a whole. It utilizes a considerable number of instruments, enabling individuals and groups to assess their own strength and weaknesses. It also focuses on skills, knowledge and processes necessary for effectiveness at the individual, group and inter-group and total organization levels. In addition to these people focused interventions, there may be other types of interventions too. e.g. structural and job interventions such as job enlargement, job enrichment, management by objectives, rules, procedures and authority structure. OD offers some very attractive methodologies and philosophies to practicing managers and academicians. William Halal is right when he says "OD in future includes any method for modifying the behavior in the organization, hereby, encompassing the entire spectrum of applied behavioral science". There also have been experiences of failure in OD but these are being recorded and collected to be reviewed. In general, OD shows a promising future, since there are no rigid sets of procedures in OD work and different strategies have to be evolved for different types of organizations.

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MODEL QUESTION PAPER ORGANIZATIONAL BEHAVIOR Time: 3 Hours Max. Marks: 100 SECTION-A (5x8 = 40) Answer any Five questions Note: All questions carry equal murks 1. What do you understand by organizational behavior? Bring out its nature and importance. 2. Discuss the personality attributes in organization. 3. What is the organizational design? What are its forms? 4. What is group cohesiveness? What are its determinants? 5. What are the forms of organizational communications? 6. What are the sources of power? 7. What are the causes of stress? 8. What is organizational culture? How it affects the behavior of the people? SECTION1. 2. 3. 4. 5. 6. B (4x15 = 60) Answer any four questions

Compare the Maslow's Theory with ERG Theory of Motivation. What are the barriers to effective communication? How to overcome those barriers? What are the techniques of managing political behavior? State the consequences of stress and method of managing the stress. Suggest strategies to resolve inter-group conflicts. Why do people resist change? As a manager how would you overcome such resistance?

MODEL QUESTION PAPER ORGANIZATIONAL BEHAVIOR Time: 3 Hours Max. Marks: 100 SECTION-A (5x8 = 40) Answer any Five questions Note: All questions carry equal murks 1. What do you understand by organizational behavior? Bring out its nature and importance. 2. Discuss the personality attributes in organization. 3. What is the organizational design? What are its forms? 4. What is group cohesiveness? What are its determinants? 5. What are the forms of organizational communications? 6. What are the sources of power? 7. What are the causes of stress? 8. What is organizational culture? How it affects the behavior of the people? SECTION1. 2. 3. 4. 5. 6. B (4x15 = 60) Answer any four questions

Compare the Maslow's Theory with ERG Theory of Motivation. What are the barriers to effective communication? How to overcome those barriers? What are the techniques of managing political behavior? State the consequences of stress and method of managing the stress. Suggest strategies to resolve inter-group conflicts. Why do people resist change? As a manager how would you overcome such resistance?

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