ORGANISATIONAL BEHAVIOUR

MBA 1.2

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ORGANISATIONAL BEHAVIOUR SYLLABUS UNIT 1 Introduction to Organisational Behaviour, Meaning; scenario. Elements; Need; Approaches; Models; Global

UNIT 2 Individual Behaviour; Personality; Learning; Attitudes; Perception; Motivation; Ability; Their relevant organizational behaviour. UNIT 3 Group dynamics; Group norms; Group cohesiveness; Group Behance to organizational behaviour.

UNIT 4 Leadership Styles; Qualities; Organisational communication; Meaning importance, process, barriers; Methods to reduce barriers; Principle of effective communication. UNIT 5 Stress; Meaning; Types; Sources; Consequences; Management of stress. Power and Politics; Definition; Types of Powers; Sources; Characteristics; Effective use of Power. UNIT 6 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

Pg.no. 4 7 12 16 18 21 25 28 32 44 47 52 56 66 73 77 81 85 87 90

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LESSON – 1 INTRODUCTION TO ORGANIZATIONAL BEHAVIOUR

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

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responding to management incentives. Therefore, Taylor's view is now considered inadequate and narrow due to the points given by the critics. Bureaucratic Approach While scientific management was focusing on the interaction between workers and the task, me researchers were studying how to structure the organization more effectively. Instead of trying to make each worker more efficient, classical organization theory sought the most effective overall organizational structure for workers and managers. The theory's most prominent advocate, Max Weber, proposed a 'bureaucratic form' of structure, which he thought would work for all organizations. Weber's idea! bureaucracy was , logical, rational and efficient. He made the naive assumption that one structure would work best for all organizations. Henry Ford, Henry Fayol and Frederick W. Taylor, the early management pioneers, recognized the behavioral side of management. However, they did not emphasize the human dimensions. Although there were varied and complex reasons for the emerging importance of behavioral approach to management, it is generally recognized that the Hawthorne studies mark the historical roots for the field of organizational behaviour. Hawthorne Studies Even, as Taylor and Weber brought attention with their rational, logical approaches to more efficient productivity, their views were criticized on the ground that both approaches ignored worker's humanity. The real beginning of applied research in the area of organizational behaviour started with Hawthorne Experiments. In 1924, 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. 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. The Human element in the workplace was considerably more important. The workers are influenced by social factors and the behaviour of the individual worker is determined by the group. Hawthorne studies have been criticized for their research methods and conclusions drawn. But their impact on the emerging field of organizational behaviour was dramatic. They helped usher in a more humanity centered approach to work. APPROACHES TO ORGANIZATIONAL BEHAVIOUR There are mainly four approaches to organizational behaviour. 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, creativity and fulfillment, because people are the central resource in any organization. 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. 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. 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. Each situation must be analyzed carefully to determine the significant variables that exist in order to establish the more effective practices. The strength of this approach is that it encourages analysis of each situation prior to action. Thus, it helps to use all the current knowledge about people in the organization in the most appropriate manner. Productivity Approach Productivity is a ratio that compares units of output with units of input. It is often measured in terms of economic inputs and outputs. Productivity is considered to be improved, if more outputs can be produced from the same amount of inputs. But besides economic inputs and outputs, human and social inputs and outputs also arc important. 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. Within the organization 'people' employ 'technology' in performing the 'task' that they are responsible for, while the 'structure' of the organization serves as a basis for co-ordinating all their different activities. The systems view emphasizes the interdependence of each of these elements within the organization, if the

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organization as a whole is to function effectively. The other key aspect of the systems view of organization is its emphasis on the interaction between the organization and its broader environment,, which consists of social, economic, cultural and political environment within which they operate. Organizations arc dependent upon their surrounding environment in two main ways: First, the organization requires 'inputs' from the environment in the form of raw material, people, money, ideas and so on. The organization itself can be thought of as performing certain 'transformation' processes, on its inputs in order to create outputs in the form of products or services. Secondly, the organization depends on environment such as, public to accept its output. The systems view of organization thus emphasizes on the key interdependencies that organizations must manage. Within themselves the organizations must trade off the interdependencies among people, tasks, technology and structure in order to perform their transformation processes effectively and efficiently. Organizations must also recognize their interdependence with the broader environments within which they exist.

CONTEMPORARY ORGANIZATIONAL BEHAVIOUR A Separate Field of Study
Organizational behaviour can be treated as a distinct field of study. It is yet to become a science. Now efforts are being made to synthesize principles, concepts and processes in this field of study. Interdisciplinary Approach Organizational behaviour is basically an interdisciplinary approach. It draws heavily from other disciplines like psychology, sociology and anthropology. Besides, it also takes relevant things from economics, political science, law and history. Organizational behaviour integrates the relevant contents of these disciplines to make them applicable for organizational analysis. e.g. it addresses issues, which may be relevant to the case, such as the following: • What facilitates accurate perception and attribution? • What influences individual, group and organizational learning and the development of individual attitudes toward .work? • How do individual differences in personality, personal development, and career development affect individual's behaviours and attitudes? • What motivates people to work, and how. 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, particularly related to the human behavioral aspect. Normative and Value Centered Organizational behaviour is a normative science. A normative science prescribes how the various findings of researches can be applied to get organizational results, which are acceptable to the society. Thus, what is acceptable by the society or individuals engaged in an organization is a matter of values of the society and people concerned. Humanistic and Optimistic Organizational behaviour focuses the attention on people from humanistic point of view. It is based on the belief that needs and motivation of people are of high' concern. Further, there is optimism about the innate potential of man to be independent, creative, predictive and capable of contributing positively to the objectives of the organization. Oriented towards Organizational Objectives Organizational behaviour is oriented towards organizational objectives. In fact, organizational behaviour tries to integrate both individual and organizational objectives so that both are achieved simultaneously. A Total System Approach

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This definition covers wide variety-of groups such as businesses. Each individual brings to an organisation a unique set of beliefs. group influence and social and cultural factors. the cooperation of the workers is crucial to the success or failure of the organisation. MEANING AND DEFINITION OF ORGANISATIONAL BEHAVIOUR Organisational behaviour is concerned with people's thoughts. Therefore. • Group Effort: People. Understanding an individual behaviour is in itself a challenge. the organisation's work gets done through people. individually or collectively. • Accomplishing Goals: All organisations have reasons for their existence. schools. government agencies and so on. groups and organisations. Thus. While the primary goal . attitudes and other personal characteristics and these characteristics of all individuals must interact with each other in order to create organisational #7 . individual's nature is quite complex and organizational behaviour by applying systems approach tries to find solutions for this complexity. interpersonal-orientation. own or in collaboration with technology.An individual's behaviour can be analyzed keeping in view his psychological framework. LESSON –2 FOUNDATION OF ORGANISATIONAL BEHAVIOUR Learning Objectives After reading this lesson. values. this goal is inter-related with many other goals. both as members of the society at large and as a part of an organisation interact with each other and are inter-dependent. Accordingly. feelings. Hence. DEFINITION OF ORGANISATION According to Gary Johns. Individuals in themselves have physical and intellectual limitations and these limitations can only be overcome by group efforts. 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." The above definition has three parts—the individual behaviour. emotions and actions in setting up a work. religious bodies. "Understanding one individual's behaviour is challenging in and of itself. any organisational goal must integrate in itself the personal goals of all individuals associated with the organisation. and the organisation itself. There are three significant aspects in the above definition. hospitals. to ''predict'" what behavioural responses will be elicited by various managerial actions and finally to use this understanding and these predictions to achieve "control". It is the people that primarily make up an organisation.of any commercial organisation is to make money for its owners. "Organisations are social inventions for accomplishing goals through group efforts". the interface between human behaviour and the organisational context. This simple definition explains the significance of the role of people. They are as follows: • Social Inventions: The word "social" as a derivative of society basically means gathering of people. understanding a group that is made up of different individuals and comprehending the many relationships among those individuals is even more complex. 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". Ultimately. Organisational behaviour can then be defined as: "The study of human behaviour in organisational settings. but understanding group behaviour in an organisational environment is a monumental managerial task. which require further analysis. on their. the management of organisational behaviour is central to the management task—a task that involves the capacity to "understand" the behaviour patterns of individuals. fraternal groups. These reasons are the goals towards which all organisational efforts are directed. As Nadler and Tushman put it. the organisation and the (interface between the two.

Points of contact include managers. Organisational behaviour offers three major ways of understanding this context. In addition to understanding. People spend a large part of their lives in. people as resources and people as people. and various changes implemented by the organisation. experiences from other organisation. studying the people who-make it up. The groups may be big or small. official or unofficial. the organisation influences and is influenced by individuals. But individuals do not work in isolation. People make the decisions. It is the part of a larger system that contains many other elements such as government. organisational settings. organisations are people. NATURE OF ORGANISATIONAL BEHAVIOUR Each individual brings to an organisation a unique set of personal characteristics. Thus. family and other organisations. technology and the environment in which the organisation operates. co-workers. it will become more and more important for managers and employees to grasp the complexities of organisational behaviour.an argument derived from the simple notion of humanistic management.. Clearly. • People: People make up the internal and social system of the organisation. the individual. All of these mutually influence each other in a complex system that creates a context for a group of people. if managers are to understand the organisations in which they work. Finally. Over time. • Technology: Technology such as machines and work processes provide the resources with which people work and affects the tasks that they perform. The organisational behaviour is specifically concerned with work-related behaviour. The technology used has a significant influence on working relationships. structure. Organisational behaviour is concerned with the characteristics and behaviours of employees in isolation. guide and direct its course. changes. They have a right to expect something in return beyond wages and benefits. the on-going behavioural processes involved. and vitalise and revitalise it. ELEMENTS OF ORGANISATIONAL BEHAVIOUR The key elements in the organisational behaviour are people. organisational behaviour must look at the unique perspective that each individual brings to the work setting. • Structure: Structure defines the formal relationships of the people in organisations. which takes place in organisations. they must first understand the people who make up the organisations.settings. 'and the characteristics and behaviours directly resulting from people with their individual needs and motivations working within the structure of the organisation. In considering the people working in an organisation. Groups are dynamic and they work in the organisation to achieve their objectives. mostly as employees. 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. he cannot understand how the organisation operates without. They have a right to expect satisfaction and to learn new skills. the study of organisational behaviour must consider the ways in which the individual and the organisation interact. in 'their own jobs. Thus. people as organisations. solve the problems. Above all. too. #8 . and without people there would be no organisations. the characteristics and processes that are part of the organisation itself. formal policies and procedures of the organisation. The organisation is also affected by the presence and eventual absence of the individual. As resources. One cannot understand an individual’s behaviour completely without learning something about that individual's organisation. An understanding of organisational behaviour can help the manager better appreciate the variety of individual needs and' expectations. As managers increasingly recognise the value of potential contributions by their employees. and answer the questions. there is people as people . managers must understand the basic human element of their work. They come in contact with other individuals and the organisation in a variety of ways. Similarly. People create the organisation. They consist of individuals and groups. formal or informal. • Environment: All organisations operate within an external environment. people are one of the organisation's most valuable assets. It allows people to do more and work better but it also restricts' people in various ways. the environment surrounding the organisation and1 they also posses a personal background. as a function of both the personal experiences and the organisation.

organisational behaviour can be understood at the individual level. judgement that are assigned due recognition to the complexity of individual or group behaviour. IMPORTANCE OF ORGANISATIONAL BEHAVIOUR Organisational behaviour offers several ideas to management as to how human factor should be properly emphasised to achieve organisational objectives. #9 . goals. Inter-group Level: The organisation is made up of many groups that develop complex relationships to build their process and substance. 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. Thus. Research in group dynamics has contributed vitally to organisational behaviour and shows how a group behaves in its norms. Human behaviour is a complex phenomenon and is affected by a large number of factors including the psychological. procedures. role analysis and transactional analysis are some of the common methods. motives. It is only the intelligent judgement of the manager in dealing with a specific issue that can try to solve the problem.. characteristically.An organisation. Organisational behaviour provides opportunity to management to analyse human behaviour and prescribe means for shaping it to a particular direction. Group Level: Though people interpret anything at their individual level. blind spots and weaknesses. which provide such understanding. they are often modified by group pressures. which is very important for organisational morale and productivity. group level and inter-group level. judgement that explicitly takes into account the managers own goals. 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. individuals should be studied in groups also. Organisational behaviour only assists in making judgements that are derived from tenable assumptions. they should be given adequate importance in managing the organisation. Organisational behaviour integrates these factors to provide* simplicity in understanding the human behaviour. exists before a particular person joins it and continues to exist after he leaves it. rotation of members among groups. Organisational behaviour provides • means for understanding the interpersonal relationships in an organisation. Inter-group relationship may be in the form of co-operation or competition. Thus. Organisational behaviour does not provide solutions to all complex and different behaviour puzzles of organisations. avoidance of win-lose situation and focussing on total group objectives. Organisational behaviour helps in predicting human behaviour in the organisational setting by drawing a clear distinction between individual behaviour and group behaviour. interpersonal level. Thus. NEED FOR STUDYING ORGANISATIONAL BEHAVIOUR The rules of work are different from the rules of play. This suggests that since an organisation is Ihe interaction of persons. hang-ups. Organisational behaviour provides means to understand and achieve co-operative group relationships through interaction. judgement that takes into account the important variables underlying the situation. More specifically. the organisation itself represents a crucial third perspective from which to view organisational behaviour. cohesion. social and cultural implications. which then become a force in shaping human behaviour. • • • Interpersonal Level: Human behaviour can be understood at the level of interpersonal interaction. These research results are advancing managerial knowledge of understanding group behaviour. The co-operative relationships help the organisation in achieving its objectives. Understanding Human Behaviour Organisational behaviour provides understanding the human behaviour in all directions in which the human beings interact. Organisational behaviour helps to analyse 'why' and 'how' an individual behaves in a particular way. Understanding the effect of group relationships is important for managers in today's organisation. Barnard has observed that an organisation is a conscious interaction of two or more people. Analysis of reciprocal relationships. communication pattern and leadership.

At one level. Researchers seek to understand the implications of the relationship between the organisation and its environment for the effectiveness of the organisation. communication and building organisational climate favourable for better interaction. Factors such as attitudes. Organisational Climate: Organisational climate refers to the total organisational situations affecting human behaviour. It identifies various leadership styles available to a manager and analyses which style is more appropriate in a given situation. Leadership: Organisational behaviour brings new insights and understanding to the practice and theory of leadership. the size of the organisation and the organisation's age are also examined and their implications for effective organisational functioning are explored. 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. The communication process and its work in inter-personal dynamics have been evaluated by organisational behaviour. internal arrangements such as convincing employees who normally have the tendency of resisting any changes. committees and groups. groups and departments. • Organisation at the Individual Level: Organisational behaviour can be studied in the perspective of individual members of the organisation. organisational climate includes creation of an atmosphere of effective supervision. Thus. beliefs. organisational behaviour can be analysed from the perspective of the organisation as a whole. Organisational Adaptation: Organisations. managers can adopt styles keeping in view the various dimensions of organisations. Within this perspective. Other factors such as the technology employed by the organisation. Organisations have to adapt themselves to the environmental changes by making suitable. These different perspectives on the study of organisational behaviour are not in conflict with one another. • Organisation at the Group Level: People rarely work independently in organisations. • Organisation at the Organisational Level: Some organisational behaviour researchers take the organisation as a whole as their object of study. Finally. congenial relations with others at the work place and a sense of accomplishment. as dynamic entities are characterised by pervasive changes. motivation. This frequently results in people working together in teams. Organisational climate takes a system perspective that affect human behaviour. Use of Power and Sanction: The behaviours can be controlled and directed by the use of power and sanction. Instead they are complementary. managers are required to control and direct the behaviour so that it conforms to the standards required for achieving the organisational objectives. Communication: Communication helps people to come in contact with each other. leadership. 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. managers are required to control and direct the behaviour at all levels of individual interaction. 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. practices and procedures. Power is referred to as the capacity of an individual to take certain action and may be utilised in many ways. Thus. Organisational behaviour explains how various means of power and sanction can . satisfaction and leadership are brought to bear upon the behaviour and performance of individual members of an organisation. This j macro perspective on organisational behaviour draws heavily on theories and concepts from the discipline of 'sociology'. To achieve organisational objectives. An important component of organisational behaviour involves the application of knowledge and theories from social psychology to the study of groups in organisations. Therefore. Besides improving the satisfactory working conditions and adequate compensation.• • • • • • Controlling and Directing Behaviour: After understanding the mechanism of human behaviour. the organisation can be viewed as consisting of individuals working on tasks in the pursuit of the organisational goals. they have to necessarily work in coordination to meet the organisational goals. Emphasis is placed upon understanding how organisational structure and design influences the effectiveness of an organisation. which are formally defined by the organisation. the communication must be effective. perceptions and personalities are taken into account and their impact upon individuals’ behaviour and performance on the job is studied.be utilised so that both organisational and individual objectives are achieved simultaneously. LEVELS OF ANALYSIS Organisational behaviour can be viewed from different perspectives or levels of analysis. A second level of analysis focuses upon the interaction among organisational members as they work in' teams. the opportunity for the realisation of personal goals. individuals and situations. organisational behaviour helps managers in controlling and directing in different areas such as use of power and sanction. FUNDAMENTAL CONCEPTS OF ORGANISATIONAL BEHAVIOUR #10 . psychologically based theories of learning.

Individual differences mean that the management has to treat them differently to get the best out of them. power lies in her hands. because even though the views are different they have a shared concern for similar objectives. and to incorporate the perspectives of their colleagues. in which power vests in the hands of the person with superior intellects. ethical philosophy is involved in one way or the other. whole organisation and whole social system. This helps to build sustainable and harmonious activities that can operate in the mutual direct interests of the organisation. They are different not only in the physical appearance such as sex. It stresses that people are to be treated with respect and dignity. Holistic organisational behaviour interprets people-organisation relationships in terms of the whole person. A political and economic system based on the holding of. Matriarchate: This is social system. Segregation: This is a social system. The nature of an organisation can be understood with the help of tjie description of following two points: • o o o o o o • Mutual Interest: Organisational relationships are most likely to be strong if different groups can negotiate strategies. Meritocracy: This is a social system. It is also called social organisation or social structure. In context with an organisation. It is important for the individuals to think about their issues openly. attitude. in which a female is considered to be the family head and title or surname is traced through her chain. Holistic Organisational Behaviour: When the above six concepts of organisational behaviour are considered together. Motivation is essential for the proper functioning of organisations. The benefit will extend beyond the firm into the larger society in which each employee lives. Class Structure: This is a social system of different classes with in a society. in fact. whole group. Social System: A system is a group of independent and interrelated elements comprising a unified whole. weight. entitles the people who do it to proper respect and recognition of their unique aspirations and abilities. his personal life cannot be separated from his work life since people function as total human beings. This space for sharing ideas builds trust. needs and desires as well. 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. which is developed in Europe in the 8th Century. power lies in his hands. age. motivation and perception. In other words. This can be defined as the interests that are common to both the parties and are related to the accomplishment of their respective goals. When management practices organisational behaviour. Since organisational behaviour involves people. • Motivated behaviour: It is the urge of the individual to satisfy a particular need that motivates him to do an act. Every job. It can be further divided into following categories: Feudal system: This is a social system. however simple. and forfeiture. land and relation of lord to vassal and characterized by homage. they provide a holistic concept of the subject. in which a male is considered to be the family head and title or surname is traced through his chain. • Value of the Person: It is more an ethical philosophy. they employ the 'whole person'. • A Whole Person: Though the organisation may feel that they are employing only the individual's skill or intelligence. which provides separate facilities for minority groups of a society.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. complexion and so on but also different in their psychological trait such as intelligence. In other words. In other words. the individuals of a society are considered as a system organised by a characteristic pattern of relationships having a distinctive culture and values. legal and military service of tenants. The organisation can show to its employees how certain actions will increase their need fulfilment. Individuals who have shared mutual interests are likely to make their organisation the strongest. Patriarchate: This is social system. height. #11 . The motivation could be positive or negative. This means that individual does not have only the skill and intelligence but he has a personal life. This belief that each person is different from all others is typically called the 'Law of Individual Differences'.

the blending of nature of people and organisation results in an holistic organisational behaviour.Thus. #12 .

Earlier employers had no systematic program for managing their employees instead their simple rules served as a powerful influence on employees. regularly examined and updated to meet new and emerging conditions. regularly examined and updated to meet new and emerging conditions. These systems exist in every organization. They have a greater chance of being successful. if they have been consciously created. but sometimes in varying forms. The outcomes arc measured in terms of quantity and quality of products and services. level of customer service. The figure 3. #13 . but sometimes in varying forms.1 shows the major elements of a good organizational behaviour system: These systems exist in every organization. Organizational behaviour system defines organizational structure and culture and explains their impact on employees. However. The primary advantage of organizational behaviour system is to identify the major human and organizational variables that affect organizational outcomes. employee satisfaction and personal growth and development. managers can exert some control over them. 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. though. The primary advantage of organizational behaviour system is to identify the major human and organizational variables that affect organizational outcomes. if they have been consciously created. employee satisfaction and personal growth and development. today increasing many organizations are experimenting with new ways to attract and motivate their employees. managers can exert some control over them. CONCEPT OF ORGANIZATIONAL BEHAVIOUR SYSTEM Organizations achieve their goals by creating. level of customer service. For some variables managers can only be aware of them and acknowledge their impact whereas for other variables.LESSON –3 Models of organizational behaviour Learning Objectives After reading this lesson. They have a greater chance of being successful. communicating and operating an organizational behaviour system. though. The outcomes are measured in terms of quantity and quality of products and services. For some variables managers can only be aware of them and acknowledge their impact whereas for other variables.

This results in enthusiasm in employees' performance. Management is the coach that builds a better team. Since management supports employees in their work. Supportive model D. The philosophy of organizational behaviour held by management consists of an integrated set of assumptions and beliefs about the way things are. organization. This model assumes that employees will take responsibility. This is because a model depends on the knowledge about human behaviour in a particular environment. employees are happy and contented but they are not strongly motivated. The model that a manager holds usually begins with certain assumptions about people and thereby leads to certain interpretations of organizational events. The psychological result of this model on employees is their increasing dependence on their boss. employees are required to follow their orders. #14 . in the minds managers. The management is seen as joint contributor rather than as a boss. Custodial model C.ELEMENTS OF THE SYSTEM 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. Organizations differ in the quality of organizational behaviour that they develop. Through leadership. it is known as custodian model. the manager has the power to command his subordinates to do a specific job. The following four models of organizational behaviour are as follows: A. Custodial Model This model focuses better employee satisfaction and security. Hence. In this kind of environment employees normally feel some degree of fulfillment and worthwhile contribution towards their work. the purpose for these activities. The primary challenge for management is to identify the model it is actually using and then assess its current effectiveness. management provides a climate to help employees grow and accomplish in the interest of an organization. management's direction is to 'Support' the employee's job performance rather than to 'support' employee benefit payments. It is a team concept. This model leads to employee dependence on an organization rather than on boss. Therefore. Supportive Model The supportive model depends on 'leadership' instead of power or money. the psychological result is a feeling of participation and task involvement in an. Collegial Model The term 'collegial' relates to a body of persons having a common purpose. These philosophies are sometimes explicit and occasionally implicit. Under this model organizations satisfy the security and welfare needs of employees. The psychological result of the collegial approach for the employee is 'selfdiscipline'. as in the custodial approach. These differences are substantially caused by different models of organizational behaviour that dominant management's thought in each organization. Management believes that it knows what is best for an organization and therefore. Autocratic model B. The employee response to this situation is responsibility. As a result of economic rewards and benefits. and the way they should be. FOUR MODELS OF ORGANIZATIONAL BEHAVIOUR 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 Basis of Model Managerialorientation Employee psychological result Employee needs met Performance result It is wrong to assume that a particular model is the best model. Collegial model Autocratic Model In an autocratic model'. Its main weakness is its high human cost. develop a drive to contribute and improve them if management will give them a chance. which is unpredictable.

#15 . The first category called the interpersonal roles arises directly from the manager's position and the formal authority given to him. 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. peers and superiors in order to assess the external environment of competition. 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. In addition to these functions there are ten managerial roles. Figure 3. primarily. The second category. in one form or other deal with people and their behaviour. All these. social changes or changes in governmental rules and regulations. In addition. suppliers. In addition. All these interactions require an understanding of interpersonal behaviour. All these roles. These people include peers. These duties include greeting visitors.The selection of model by a manager is determined by a number of factors such as. IMPORTANCE OF ORGANIZATIONAL BEHAVIOUR TO MANAGERS Managers perform four major functions such as planning.2 shows the categories of managerial roles. the existing philosophy. The roles. These roles are developed by Henry Mintzberg in 1960s after a careful study of executives at work. This can be achieved by attending meetings and professional conferences. Studies show that interacting with people takes up nearly 80% of a manager's time. government officials and community leaders. which can be defined as organized set of behaviors identified with the position. These ten managerial roles are divided into three categories. In this role. in the context of organizational behaviour. He must be an ideal leader so that his subordinates follow his directions and guidelines with respect and dedication. personal phone calls. • Leadership Role: The influence of the manager is most clearly seen in the leadership role as a leader of a unit or an organization. superiors. customers. the managers build up their own external information system. they need to have a constant contact with their own subordinates. vision and goals of manager. 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. organizing. environmental conditions help in determining which model will be the most effective model. are duties of a ceremonial nature but are important for the smooth functioning of an organization. • Liaison Role: The managers must maintain a network of outside contacts. These interactions involve the following three major interpersonal roles: • Figure/lead Role: Managers act as symbolic figureheads performing social or legal obligations. attending a subordinate's wedding and speaking at functions in schools and churches. directing and controlling. taking important customers to lunch. subordinates. trade journals and informal personal contacts with outside agencies. signing legal documents.

machine breakdowns. Mangers must anticipate such problems and take preventive action and take corrective action once the problem arises. The field of organizational behaviour has grown in depth and breadth. It states. These problems may involve labor disputes. For example. For example. individual meetings and group meetings. Purchasing managers may negotiate prices with vendors. Although organizational behaviour has certain limitations. People who lack ethical values could use people in unethical ways. Improved organizational behaviour is not #16 . even though some roles may be more influential than others depending upon the managerial position. • Negotiator Role: The managers in their negotiator role represent their organization in negotiating deals and agreements within and outside of an organization. it has a tremendous potential to contribute to the advancement of civilisation. interrogating their liaison contacts and through gossip. • A significant concern about organizational behaviour is that its knowledge and techniques could be used to manipulate people without regard for human welfare. negative returns. They are constantly on the lookout for new ideas for product improvement or product addition. which gives them a narrow view point. LIMITATIONS OF ORGANIZATIONAL BEHAVIOUR • Organizational behaviour cannot abolish conflict and frustration but can only reduce them. • Conflict Handling Role: The managers are constantly involved as judge in solving conflicts among the employees and between employees and management. • Entrepreneur Role: Managers. i. By building a better climate for people. that at some point increase of a desirable practice produce declining returns and sometimes. Sales managers may negotiate prices with prime customers. In this way organizational behaviour will contribute to social improvements. phone calls. 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. • 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. holding strategy meetings with project managers and R&D personnel. • The law of diminishing returns also operates in the case of organizational behaviour. • 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..Information Roles A manager. This can be achieved through suggestion boxes. while the production manager may give more importance to decisional roles. a manager plays four important roles. customer complaints. • It is only one of the many systems operating within a large social system. They negotiate contracts with the unions. • 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. All these ten roles are important in a manager's job and are interrelated. by virtue of his interpersonal contacts. research and managerial practice. there is a decline in returns. This can be done through memos. emerges as a source of information about a variety of issues concerning an organization. It has provided and will provide much improvement in the human environment. too much security may lead to less employee initiative and growth. 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. a tunnel vision that emphasizes on satisfying employee experiences while overlooking the broader system of an organization in relation to all its public. In this capacity of information processing. cash flow shortages and interpersonal conflicts. This can be done by reading reports and periodicals. In that respect. employee grievances. It is a way to improve but not an absolute answer to problems. As a result of these forces. Decision Roles A manager must make decisions and solve organizational problems on the basis of the environmental information received. The concept implies that for any situation there is an optimum amount of a desirable practice. collecting and studying information regarding their organization. The keys to its past and future success revolve around the related processes of theory development. arrange capital for new products and ask for suggestions from the employees to improve organization. • People who lack system understanding may develop a 'behavioral basis'. their peers and to other members of an organization. hearsay and speculation. When that point is exceeded.e. sales manager gives more importance to interpersonal roles. They initiate feasibility studies. • Information Disseminator Role: The managers must transmit the information regarding changes in policies or other matters to their subordinates. a manager executes the following three roles. as entrepreneurs are constantly involved in improving their units and facing the dynamic technological challenges. organizational behaviour will release their creative potential to solve major social problems.

'parochial'. A developed country can easily adopt advanced technology when compared to a less developed country. This organizational instability leaves workers insecure and causes them to be passive and low in taking any initiatives. there is shortage of managerial personnel. They may fail to recognize the key differences between their own and other cultures. POLITICAL CONDITIONS Political conditions that have a significant effect on organizational behaviour include instability of the government. #17 . The social. When the government is unstable. it tends to become multicultural and will then face the challenge of blending various cultures together. Therefore. a nationalistic drive is strong for locals to run their country and their organizations by themselves without any interference by foreign nationals. among people and among the organizations of future. workers' participation in management are restricted by law while in other countries they are permitted. Barriers to Cultural Adaptation • Managers and other employees who come into a host country tend to exhibit different behaviors and somewhat. LESSON – 4 GLOBAL SCENARIO OF ORGANIZATIONAL BEHAVIOUR Learning Objectives After reading this lesson. 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. SOCIAL CONDITIONS In many countries due to poorly developed resources. organizations become cautious about further investments. The different socio-economic and political conditions existing in countries influence the introduction of advanced technology and sophisticated organizational systems. These people are called. Naturally. For example. The managerial personnel entering another nation need to adjust their leadership styles. scientists and technicians. Trained locals become the nucleus for developing others. many organizations now operate in more than one country. 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. Another significant social condition in many countries is that the local culture is not familiar with advanced technology. It is a step into different social. the nature of their culture and work life will be different. MANAGING AN INTERNATIONAL WORKFORCE Whenever an organization expands its operations to other countries. In some nations. • Another category of managers called 'individualistic' place greatest emphasis on their personal needs and welfare. restricting industries to a particular area and nationalistic drives such as self-sufficiency in latest technologies. Inflation makes the economic life of workers insecure when compared to developed countries.easy to apply but opportunities are there. A few countries arc agriculture dominated and a few other manufacturing industries dominated. organized labor is mostly an arm of the authoritarian state and in some other nations labor is somewhat independent. thereby spreading the training through masses. They are more concerned about themselves than the host country. These multinational operations add new dimensions to organizational behaviour. communication and control becomes difficult. In some nations. In spite of instability. State tends to be involved in collective bargaining and other practices that affect workers. communication patterns and other practices to fit their host country. It should produce a higher quality of life in which there is improved harmony within each individual. These limiting conditions cannot be changed rapidly because they arc too well established and woven into the whole social fabric of a nation. see situation around them from their own perspectives. and training programs need to be developed to train the local workers. Hence the required skills must be temporarily imported from other countries. political and economic environments. political and economic differences among countries" influence international organizational behaviour.

friends and colleagues • Unique currency system Many expatriates report difficulty in adjusting to different human resource management philosophies. • Pre-departure training in geography. They usually can communicate fluently in more than one language. communication problems may also arise between the expatriate manager and the employees of the host country. who can withstand/adjust cultural shocks for international assignments* is important. it should have ownership. Cultural Distance To decide the amount of adaptation that may be required when personnel moves to another country. economic development and employee's values in the host country. the resulting imbalance in the social system interferes with the productivity. This predisposition is known as the 'self-reference criterion' or 'ethnocentrism'. managers need to make adjustments in their communication suited to< local cultures. culture and political environment in which the employee will be living will help for cultural adaptation. Cultural distance is the amount of distance between any two social systems. it does affect the responses of all individuals to business. organizations need repatriation policies and programs to help returning employees obtain suitable assignments and adjust to the 'new' environments. social system. personnel practices and production methods need to be adapted to a different labor force. If local culture is ignored. MANAGEMENT'S INTEGRATING ROLE Once managers are in a host country. Similarly. Cultural shock is virtually universal. availability of goods • Attitude towards work and productivity • Separation from family. Cultural Contingencies Productive business practices from one country cannot be transferred directly to another country. their attention needs to be directed toward integrating the technological approaches with the local cultures involved. Motivating and Leading Local Employees Same motivational tools may not suit the employees of all the nations. Hence. They may not know how to act. when-people are predisposed to believe that their homeland conditions are the-best. Cultural Shock When employees enter another nation they tend to suffer cultural shock. After adjusting to the culture of another nation and enjoying its uniqueness. of employees. The manager's job is to make the employees adapt to the other culture and integrate the interests of the various cultures involved. This reflects the idea of cultural contingency that the most productive practices for a particular nation will depend heavily on the culture. markets and managers #18 . which is the insecurity and disorientation caused by encountering a different culture. appropriate motivational techniques need to be implemented depending on the requirement of employees of that particular nation. They are low in ethnocentrism and adapt readily to different cultures without major cultural shock. the language. Labor policy. the different currency and work attitudes in another culture. Eventually. Hence. • Employees who return to their home country after working in another nation for sometime tend to suffer cultural shock in their own homeland. Trans-cultural employees are especially needed in large. These employees are 'trans-cultural’ employees because they operate effectively in several cultures. Hence. • Incentives and guarantees for better position will motivate employees for cultural adaptation in the new country. Some of the more frequent reasons for cultural shock are as follows: • Different management philosophies • New language • Alternative food. customs. This feeling interferes with understanding human: behaviour in other cultures and obtaining productivity from local employees. multinational firms that operate in a-variety of national cultures. it is helpful to understand the cultural distance between the two countries. may fear losing face and self-confidence or may become emotionally upset. Overcoming Barriers to Cultural Adaptation • Careful selection. dress. a cadre of employees with cross-cultural adaptability can be developed in organizations with large international operations. the expatriate managers must learn to operate effectively in a new environment with certain amount of flexibility.• Another potential barrier to easy adaptation of another culture occurs. it is difficult for expatriates to re-adjust to the surroundings of their home country. Hence. For a firm to be truly multi-national in character. Organization structures and communication patterns need to be suitable for local operations. operations. Whatever may be the amount of cultural distance.

The 'person-job fit' is the extent to which the contributions made by the individual match the incentives offered by the organization. If the organization can take complete advantage of those behaviors and abilities and exactly fulfill the employee's needs. Of course. when they begin a working relationship with an organization formulate a psychological contract with their employer. A psychological contract is not written down like a legal contract.truly diversified. An individual makes a variety of contributions to an organization in the form of—efforts. a car. skills. These contributions presumably satisfy various needs and requirements of the organization. the incentives must serve the employees' needs in return. Whenever people buy something. such a precise. considered a complex phenomenon. Its leaders look to the world as an economic and social unit. which can be both genetic and environmental.1 identifies five sets of factors that have an impact upon individual behavior in organizations. which is. which interpret them. it will achieve a perfect person-job fit. organization and the organization's response to those contributions. time. they will be satisfied with the relationship and are likely to continue it. constant change in the needs and requirements of people and organization. If either party perceives an imbalance or iniquity in the contract. The figure 5. for example. 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. Thus. One specific aspect of managing psychological contracts is managing the person-job fit. you should be able to: • • Understand the nature of individual differences in organizations Identify the individual factors affecting organizational behavior INDIVIDUAL BEHAVIOR Human behavior. level of person-job fit is seldom achieved due to various reasons such as imperfect selection procedures. differences in individual skills. each employee has a specific set of needs to fulfill and a set of job related behaviors and abilities to contribute. the organization provides incentives such as pay. respond to them in an appropriate manner and learn from the result of these responses. but they recognize each local culture. it may initiate a change. thus. In theory. If both the individual and the organization consider the psychological contract fair and equitable. ability. A major challenge faced by an organization. He believes that people are influenced by a number of diversified factors. A psychological contract is the overall set of expectations that an individual holds with respect to his or her contributions to the. The influence of these factors determines the pattern of human behavior. considerable research into the human behavior and its causes. most people. Psychologist Kurt Levin has conducted. Similarly. both the buyer and the seller sign a contract that specifies the terms of the sales agreement. is to manage the psychological contracts. NATURE OF INDIVIDUAL DIFFERENCES #19 . loyalty and so forth. It is primarily a combination of responses to external and internal stimuli. respect its integrity. Just as the contributions available from the individual must satisfy the organization's needs. LESSON – 5 FOUNDATION OF INDIVIDUAL BEHAVIOR Learning Objectives After reading this lesson. is very difficult to define in absolute terms. These responses would reflect psychological structure of the person and may be results' of the combination of biological and psychological processes. In return for contributions. and job security to the employee. promotion. acknowledge its benefits and use its differences effectively in their organization.

In fact. Awareness of self is referred to as one's self-concept. Those with low self-esteem tend to view themselves in negative terms. pain tolerance and illness recovery. growing work force diversity compel managers to view individual differences in a fresh way. those involving expectation. The figure 5. and • Personal values and ethics. Specifically. "any knowledge. IMPORTANT DIMENSIONS OF INDIVIDUAL DIFFERENCES • Self-concept • Personality dimensions • Abilities. In other words. as in the past. Individuals who are satisfied in one context may prove to be dissatisfied in another context. 2. A self-concept would be impossible without the capacity to think. Leaders now talk frequently about "valuing differences" and learn to "manage diversity". There is strong linkage between high self-efficacy expectations and success in terms of physical and mental tasks. addiction control. reward successes. 1. capable and acceptable. anxiety reduction. "Self-efficacy arises from the gradual acquisition of complex. autonomy and challenges that suit the individual's values. "variability among workers is substantial at all levels but increases dramatically with job complexity. Due to these reasons. social and spiritual or moral being". Strive for management-employee cohesiveness and trust building.2 shows the attributes of physical and psychological differences. then. Offer work involving variety. #20 . Have faith in each employee's self-management ability. and are hampered by self-doubts. or belief about the environment about oneself. high self-esteem is generally considered a positive trait because it is associated with better performance and greater satisfaction. it must consider the situation in which that particular behavior occurs. status and contribution. Self-concept Self is the core of one's conscious existence. Among many different types of cognitions. today's managers need to better understand and accommodate employee diversity and individual differences. 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. High self-esteem individuals. every individual recognizes himself as a distinct individual. evaluating and setting personal standards are particularly relevant to organizational. interests. Individual differences make the manager's job extremely challenging. Individual differences may be physical and psychological. cognitive. high self-esteem subjects tended to become self-centered and boastful when faced with situations under pressure Hence moderate self-esteem is desirable.Individual differences are personal attributes that vary from one person to another. Sociologists Viktor Gecas defines self-concept as "the concept the individual has of himself as a physical. and/or physical skills through experience". Although.2 Whenever an organization attempts to assess the individual differences among its employees. in contrast. Self-esteem Self-esteem is a belief over one's own worth based on an overall self-evaluation. opinion. goal setting. • • • • • Physical Differences Height Weight Body Shape Appearance Complexion Psychological Differences • Personality • Attitudes • Perception • Motivation • Learning figure 5. 4. see themselves as worthwhile. linguistic. tend to have trouble in dealing effectively with others. Assessing both individual differences and contributions in relation to incentives and contexts. planning. social. or about one's behavior". They do not feel good about themselves. according to a recent research. Self-efficacy Self-efficacy is a person's belief about his' or her chances of successfully accomplishing a specific task. 3. So rather than limiting diversity. Cognitions represent. Oppositely. This brings us to the role of cognitions. recent research uncovered flaws among those having high self-esteem. those with low self-efficacy expectations tend to have low success rates. skills and abilities. Managers can build employee self-esteem in four ways: Be supportive by showing concern for personal problems. According to one organizational behavior writer. behavior.

Aptitudes are relatively stable capacities for performing some activity effectively. • To evolve suitable leadership. • Skills are generally thought of as being more task-specific capabilities than abilities. Abilities develop from an individual's natural aptitudes and subsequent learning opportunities. can be trained to apply their ability in the field of engineering. 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. accounting and computer science. when a particular ability is applied to a specialized area. PERSONAL VALUES AND ETHICS According to Milton Rokeach. • Basic human rights should be respected. fairly and equitably. Moral Principles for Managers • Judge actions by their consequences. • To design suitable regards. these personality dimensions that correlate positively and strongly with job performance would be helpful in the selection. Physical abilities such as strength. Ideally. 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". Intellectual differences are somewhat more difficult to discern. the-individual to specialize in some field. Mental abilities such as reasoning. They are also relatively easy to assess. memory visualization. • Ability refers to an individual's skill to perform effectively in one or more areas of activity. training and appraisal of employees. an individual with numerical ability who goes to school to learn accounting develops a numerical skill specific to that field'. five personality dimensions are: extroversion. mental or interpersonal work. Thus. flexibility. comprehension and inter-personal abilities can also be developed through practice and education. many individuals manage their own careers in such a way as to continually upgrade their abilities. Learning opportunities translate aptitude into abilities through practice. an accountant with numerical "ability and accounting skill takes a position in the Taxation Department and as time passes. experience and formal training. such as physical. emotional stability and openness to experience. Individuals with numerical ability. it becomes a skill. (for example accounting). the terms business ethics and management ethics are often heard. PHYSICAL AND INTELLECTUAL QUALITIES Physical differences among individuals are the most visible of all differences. Ethics involve the study of moral issues and choices. Even in the absence of such formal programs. Relative to the workplace. • For designing job. Improving Organization's Ethical Climate #21 . thoroughness. Self-efficacy requires constructive action in each of the following managerial areas: • To design recruitment selection procedure. Personality Dimensions The big. The individuals who exhibit. This can 6e accomplished either by careful selection of people or by a combination of selection and training. but they too can be assessed by fairly objective means. • To design interview questions to probe applicant's general self-efficacy for determining orientation and training needs. endurance and stamina can be developed with exercise and training.Self-efficacy Implications for Managers Managers need to nurture self-efficacy in them and in their employees. • For goal-setting and quality improvement. • Rules and rewards should be administered impartially. The abilities/skills and competencies of employees are both physical and intellectual qualities. skills and competencies in order to remain valuable to their organizations. Competencies are skills that have been refined by practice and experience and that enable. for example. For example. agreeableness. • Competencies are skills associated with specialization. • For systematic self-management training. For example. achieve the greatest good for the greatest number of people. traits associated with a strong sense of responsibility and determination generally perform better than those who do not. It is concerned with right versus wrong and good versus bad.

Screen potential employees by checking references. Ethical behavior is a 1 top to bottom proposition.• • Managers are powerful role models whose habits and actual behavior send clear signals about the importance of ethical conduct. and other information for ascertaining their ethical behavior. credentials. #22 .

6 PERSONALITY Learning Objectives After reading this lesson. oedipal and mature. Extroversion: Sociable. In particular. however. facial features. personality means the way people affect others. This can enable them to predict the behavior of their employees on a daily basis. dependable. compulsive. • Stages: According to Sigmund Freud human personality progresses through four stages: dependent. Identifying the above "big five" traits related to performance reveals that personality plays an important role in organizational behavior. and the person and situation interaction. values and actions remain relatively stable over time. People grow up in the presence of certain hereditary characteristics (body shape and height). talkative and assertive. Changes in individual's personality can. Personality traits are very important in organizational behavior. 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. “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". 3. attempt to understand certain dimensions of personality. therefore. Such a social learning analysis is one of the most comprehensive and meaningful ways included in the overall study of organizational behavior. which are as follows: • Determinants: The most widely studied determinants of personality are biological. Yet they differ in some other specific attributes. however. social and cultural. PERSONALITY FORMATION The personality formation of an individual starts at birth and continues throughout his life. Besides physical appearance and personality traits. It also involves people's understanding themselves. Their thoughts. Characteristics of these traits can be summarized as follows: 1. This concept of stages of growth provides a valuable perspective to organizational behavior. multi-dimensional construct and there is no simple definition of what personality is. This is equivalent to recognizing thd social learning aspects related to personality. the social context (family and friends) and the cultural context (religion and values). five personality traits especially related to job performance have recently emerged from research. Experienced managers become aware of the stages that their employees often go through. As people grow into adulthood. Three major types of factors play important roles in personality formation. cooperative and trusting. 5. Some personality theorists stress the need 6f identifying person-situation as interaction. Maddi defines personality as. These three parts interact with • each other to shape personality. Emotional Stability: Viewed from a negative standpoint such as tense. The definition. From this perspective. color and other physical aspects and traits. artistically sensitive and intellectual. occur gradually over a period of time. This helps them 19 deal with these stages effectively and promote maximum growth for the individual and for the organization. People affect others depending primarily upon their external appearance such as height. as well as their pattern of inner and outer measurable traits. insecure and nervous. #23 . In simple terms. The managers should. does not mean that people never change. it asserts that individuals do not change all at once. weight.LESSON . 2. Agreeableness: Good-natured. their personalities become very clearly defined and generally stable. 4. This makes it difficult for the managers to assume that they can apply same reward types or motivation techniques to modify different individual behaviors. persistent and achievement-oriented. Openness to Experience: Imaginative. 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. Conscientiousness: Responsible. feelings. From the above definition we can infer that all individuals have some universally common characteristics.

some people think that what happens to them is a result of fate. chance. The need for autonomy: Those in need for autonomy function in the best way when not closely supervised. Introverts. They are said to have an internal locus of control. which means they have a relatively strong desire to participate in the management of their organizations and have a' freedom to do their jobs. refers to the tendency in individuals to look outside themselves.• Traits: Traits to personality are also based on psychology. for example. all people share common traits. Thus. While there is some element of introversion as well as extroversion in all of us. Introversion and Extroversion Introversion is the tendency of individuals. lively and gregarious and seek outward stimuli or external exchanges. personal relations unit. They may like a reward system that recognizes individual performance and contributions. 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. Conversely. Thus. locus of control has clear implications for organizations. 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. Managers have to work well under conditions of extreme uncertainty and insufficient information. Since managers have to constantly interact with individuals both in and out of the organization and influence people to achieve the organization's goals. it is believed that extroverts are likely to be more successful as managers. 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. and intellectual people. 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. By contrast. are quiet. Introverts are more likely to be successful when they can work on highly abstract ideas such as R&D work. introspective. preferring to interact with a small intimate circle of friends. reflective. Some people. They may incline to structured jobs where standard procedures are defined for them. believe that if they work hard they will certainly succeed. strongly believe that each individual is in control of his or her life.these individuals think that forces beyond their control dictate the happenings around them. publicity office. certain individuals have an internal locus of control. Because. are likely to prefer a more centralized organization where they need not take any decisions. on the contrary. Extroverts are sociable. rather than the lack of skills or poor performance on their part. in a relatively quiet atmosphere. According to some trait theories. 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. Tolerance for Ambiguity This personality characteristic indicates the level of uncertainty that people can tolerate to work efficiently without experiencing undue stress. thoughts and ideas within themselves. Managers. Managers who have a high tolerance for ambiguity can cope up well under these conditions. on the other Hand. and so on. They. religious and aesthetic preferences but each individual's nature differentiates that person from all others. which directs them to be inward and process feelings. people tend to be dominant as either extroverts or introverts. (political. like social. For example. The need for affiliation: Those in greater need for affiliation like to work cooperatively with others. 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. especially when things are rapidly changing in the organization's external environment. people with an external locus of control. #24 . they are said to have an external locus of control. As a personality attribute. 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. tolerance for ambiguity is a personality dimension necessary for managerial success. luck or the behavior of other people. where they can interact face to face with others. Extroversion. Such individuals are likely to be most successful while working in the sales department.

Thus. the two are mutually reinforcing. Too much "workahollism". High self-esteem provides a high sense of selfconcept. Therefore. 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.Self-Esteem and Self-Concept Self-esteem denotes the extent to which individuals consistently regard themselves as capable. An individual tends to be Machiavellian. however. Machiavellianism Machiavellianism is manipulating or influencing other people as a primary way of achieving one's goal. and who do not experience the competitive drive. For example. if he tends to be logical in assessing the system around.e. Risk Propensity Risk-propensity is the decree to which an individual is willing to take chances and make risky decisions. A manager with a high-risk propensity might be expected to experiment with new ideas and to lead the organization in new directions. are highly achievement-oriented. an employee who is highly authoritarian may accept directives or orders from his superior without much questioning. important and worthy individuals. in turn. willing to twist and turn facts to influence others. which are beyond the managers’ control. Naturally. Dogmatism is the rigidity of a person's beliefs and his or her openness to other viewpoints. which are favourable "to managerial effectiveness and to the success of managers. a manager may be unwilling to listen to a new idea related to doing something more efficiently. managers need to develop a high tolerance for ambiguity. events and situations by manipulating the system to his advantage. Thus. and try to gain control of people. reinforces high self-esteem. a manager with low risk propensity might lead to a stagnant and overly conservative organization. But he may also raise questions. especially when the system rewards them for their contributions. but given the degree of change in the nature of organizations and their environments.. While Type A persons help the organization to move ahead in a relatively short period of time they may also suffer health problems. A person who is not highly authoritarian might agree to carry out appropriate and reasonable directives from his boss. they will be enhancing their selfconcept i. The higher the self-concept and self-esteem. Type A individuals are significantly more prone to heart attacks than Type B individuals. Dogmatism can be either beneficial or detrimental to organizations. 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. managerial and organizational effectiveness. and are impatient when their work is slowed down for any reason. they would tend to define themselves as highly valued individuals in the organizational system.e. Individuals with a high selfesteem will try to take on more challenging assignments and be successful. not dogmatic are most likely to be useful and productive organizational members. Type B persons are easy-going individuals who do not feel the time urgency.dogmatic in their beliefs respectively. the way individuals. Apart from possessing the necessary skills and abilities. The popular terms 'close-minded' and 'open-minded' describe people who are more and less .. 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. There are many changes taking place in the internal and the external environment of an organization. In contrast. the greater will be their contributions to the goals of the organization. might lead to premature physical and mental exhaustion and health problems. The above ten different personality predispositions are important for individual. several unpredictable factors are involved in any complex situation. Self-esteem is an important personality factor that determines how managers perceive themselves and their role in the organization. without experiencing undue #25 . A high level of work ethic orientation of members is good for the organization to achieve its goals. For example. DESIRED PERSONALITY CHARACTERISTICS FOR EFFECTIVE MANAGERS Obviously. which is dysfunctional for both organization and the workaholic members. For a workaholic turning to work can sometimes become a viable alternative to facing non-work related problems. which might be detrimental to both themselves and the organization in the long run. He is said to be a person who is close-minded or highly dogmatic. express disagreement and even refuse to carry out requests if they arc for some reason objectionable. Self-esteem is important to self-concept. exhibit a competitive drive. The extremely work oriented person gets greatly involved in the job. successful. define themselves as to who they are and derive their sense of identity. Type A and B Personalities Type A persons feel a chronic sense of time urgency. which. handle situations as they come. there arc some personality ^predispositions. they should be able to. individuals who are. 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. i..

In summary. This self is particularly relevant to the concepts of self-esteem and self-efficacy in the field of organizational behavior. Also. It is concerned with external appearance and traits. Miner points out the differences by noting that self-esteem tends to be a generalized trait (it will be present in any situation). will get more involved in their jobs and make things happen. Selfefficacy. The human self is made of many interacting parts and may be thought of as the personality viewed from within. Recognizing the essential ingredients for managerial success is the first step towards making the changes. has been shown to have an empirical relationship with organizational performance and other dynamics of organizational behavior. Considerable research has been done on the role played by self-esteem outcomes in the organizational behavior. empowered and connected. 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. Probably the best statement on personality was made many years ago by Kluckhohn and Murray. self and situational interactions.stress. Managers with good work ethic values. This is because they will have the drive to achieve the goals and the interpersonal orientation to get the job done through others. personality means the whole person. For instance. They are likely to be more successful in their jobs. It was recently noted that. a person's personality is like all other people's. "to some extent. but they need to know how to relax through exercises and self-monitor their stress levels. Managers with a good mix of achievements. our tolerance for ambiguity and ability to handle stress can be considerably enhanced. Managers with Type A personalities may suit very well for some jobs. In sales and other people-oriented roles. managers with internal locus of control will be more efficient as intellectual and skilled performers. self-efficacy is conceptually close to self-esteem. People's self-esteem has to do with their self-perceived competence and self-image. but our predispositions can be changed through conscious choice. competent. personality is a very diverse and complex cognitive process. "both research and everyday experience confirm that employees with high self-esteem feel unique. the attributions we make for success such as internal versus external-locus of control can be changed. As defined above. which have inbuilt performance pressures and deadlines. like some other people's." #26 . Those with high self-efficacy feel capable and confident of performing well in a situation. to the people around them" Self-efficacy is concerned with self-perceptions of how well a person can cope with situations as they arise. extrovert managers will fit better in their jobs. 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. It incorporates almost everything. Thus. affiliations and power will be successful in most situations. secure. a high tolerance for ambiguity is a desired managerial trait. THE SELF-CONCEPT: SELF-ESTEEM AND SELF-EFFICACY People's attempt to understand themselves is called the self-concept in personality theory. and like no other people's. Similarly. while self-efficacy tends to be situation specific. In the field of organizational behavior. Personality is a relatively stable factor.

the supervisor discriminates between the worker producing low quality products and the worker producing high quality products. Learning can be defined as “relatively permanent change in behavior that occurs as a result of experience or reinforced practice". one with low quality and other with high quality. cue stimuli. #27 . Cue Stimuli Cue stimuli are those factors that exist in the environment as perceived by the individual. The idea is to discover the conditions under which stimulus will increase the probability of eliciting a specific response. There are four important points in the definition of learning: 1. There may be two types i of stimuli with respect to their results in terms of response concerned: generalization and discrimination. The behavioral change must be based oh some form of practice or experience. These two categories of drives often interact with each other. 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. no measurable modification of behavior takes place. 4. To predict a behavior. Drives are basically of two types -primary (or physiological). The individual can borrow from past learning experiences to adjust more smoothly to new learning situations. For example. Retention The stability of learned behavior over time is defined as retention and its contrary is known as forgetting. perception or other complex phenomena. behavioral change must be relatively permanent. and positively responds only to the quality conscious worker. Reinforcement may be defined as the environmental event's affecting the probability of occurrence of responses with which they are associated. Any temporary change in behavior is not a part of learning. COMPONENTS OF THE LEARNING PROCESS The components of learning process are: drive. but bad habits. Learning generally has the connotation of improved behavior. Individuals operate under many drives at the same time. they will have the same probability of evoking a specified response. Because of generalization. and work restrictions are also learned. Responses may be in the physical form or may be in terms of attitudes. Discrimination has wide applications in 'organizational behavior. Responses The stimulus results in responses. prejudices. 3. reinforcement and retention. Drive Learning frequently occurs in the presence of drive . familiarity. a person does not have to 'completely relearn each of the new tasks. Some of the learning is retained over a period of time while others may be forgotten. 2.LESSON – 7 LEARNING AND BEHAVIOR MODIFICATION Learning Objectives After reading this lesson. In the above example. It allows the members to adapt to overall changing conditions and specific new assignments. The. The practice or experience must be reinforced in order so as to facilitate learning to occur.any strong stimulus that impels action. and secondary (or psychological). a supervisor can discriminate between two equally high producing workers. The principle of generalization has important implications for human learning. though this change is not necessarily an improvement over previous behavior. If two stimuli are exactly alike. response. Without reinforcement. Generalization occurs when a response is elicited by a similar but new stimulus. Reinforcement Reinforcement is a fundamental condition of learning. it is necessary to establish which drives are stimulating the most. 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. Learning involves a change in behavior. stereotypes.

Cognitive learning is important because it increases the change that the learner will do the right thing first. operant behaviors. In other words. Operant conditioning is a powerful tool for managing people in organizations. Pavlov noticed a great deal of salivation. The learning of these complex behaviors can be explained or better understood by looking at operant conditioning. without going through a lengthy operant conditioning process. Thorndike called this the "law of exercise" which states that behavior can be learned by repetitive association between a stimulus and a response. On the other hand. Primary reinforcers must be learned. There are two typos of positive: reinforces: primary and secondary. It refers to non-reinforcement. negative reinforcement. water and sex are of biological importance and have effects. In order to apply reinforcement procedures successfully. basically a product of Skinnerian psychology. Operant conditioning. Reinforcement is anything that both increases the strength of response and tends to induce repetitions of the behavior. As such it explains simple and reflexive behaviors. He termed the food an unconditioned stimulus and the salivation an unconditioned response. suggests that individuals emit responses that are either not rewarded or are punished. extinction and punishment. Secondary reinforcers like job advancement. It is based on the principle that if a response is not reinforced. it will eventually disappear. When the dog saw the meat. Pavlov had conditioned the dog to respond to a learned stimulus. Extinction Extinction is an effective method of controlling undesirable behavior. management must select reinforcers that are sufficiently powerful and durable. Cognitive Learning Here the primary emphasis is on knowing how events and objects are related to each other. Classical conditioning has a limited value in the study of organizational behavior. Most behaviors in organizations are learned. it salivated. It does not require an overt response. when Pavlov merely rang a bell. It is elicited in response to a specific. As pointed out by Skinner. For instance.e. Four types of reinforcement strategies can be employed by managers to influence the behavior of the employees. Negative reinforcers also serve to strengthen desired behavior responses leading to their removal or termination. a positive reinforce is a reward that follows behavior and is capable of increasing the frequency of that behavior. X observes that Y is rewarded for superior performance. and it is voluntary rather than reflexive. Operant conditioning is a voluntary behavior and it is determined. praise and esteem result from previous association with a primary reinforcer. identifiable event. When Pavlov presented a piece of meat to the dog in the experiment. Most of the learning that takes place in the classroom is cognitive learning. Extinction is a behavioral strategy that does not promote desirable behaviors but can help to reduce undesirable behaviors. Classical conditioning is passive. classical conditioning represents an insignificant part of total human learning. When Mr. Negative Reinforcement The threat of punishment is known as negative reinforcement. i. positive reinforcement. a primary reinforcer like food satisfies hunger need and reinforced food-producing behavior. Punishment Punishment is a control device employed in organizations to discourage and reduce annoying behaviors of employees. #28 . the dog did not salivate. recognition.. But behavior of people in organizations is emitted rather than elicited. OBSERVATIONAL LEARNING Observational learning results from watching the behavior of another person and appraising the consequences of that behavior. Pavlov subsequently introduced the sound of a bell each time the meat was given to the dog. X learns the positive relationship between performance and rewards without actually obtaining the reward himself. viz.LEARNING THEORIES Classical Conditioning The work of the famous Russian physiologist Ivan Pavlov demonstrated the classical conditioning process. Operant Conditioning An operant is defined as a behavior that produces effects. Observational learning plays a crucial role in altering behaviors in organizations. Primary reinforcers such as food. The dog eventually learned to salivate in response to the ringing of the-bell-even when there was no meat. Management can use the operant conditioning process successfully to control and influence the behavior of employees by manipulating its reward system. controlled and altered by the consequences. which arc independent of past experiences. maintained and controlled by its consequences. Positive Reinforcement Positive reinforcement strengthens and increases behavior by the presentation of a desirable consequence (reward). Something happens and we react in a specific or particular fashion.

poor performance. Learning theory can also provide certain guidelines for conditioning organizational behavior. Learning concepts provide a basis for changing behaviors that are unacceptable and maintaining those behavior that are acceptable. disobeying orders. Managers can successfully use the operant conditioning process to control and influence the behavior of employees. 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. When individuals engage in various types of dysfunctional behavior such as late for work. by manipulating its reward system. Managers know that individuals capable of giving superior performance must be given more reinforces than those with average or low performance. #29 .

LESSON – 8 LEARNING AND BEHAVIOUR MODIFICATION Learning Objectives After reading this lesson. "a learned pre-disposition to respond in a consistently favourable or unfavorable manner with respect to a given object". which are as follows: • Affective component • Cognitive component • Intentional component The figure 8. COMPONENTS OF ATTITUDE Attitude has three components. which supplies inferior products and that too irregularly could be described as follows: • • • "I don't like that company"—Affective component. For example. situations or other people. Finally.1 shows the components of attitude. the different components of an attitude held towards a firm. 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. An attitude is defined as. Attitude is the combination of beliefs and feelings that people have about specific ideas. Attitude is important because it is the mechanism through which most people express their feelings. "They are the worst supply firm I have ever dealt with"—Cognitive component. an "attitude" is an individual's point of view or an individual's way of looking at something. the intentional component of an attitude reflects how an individual 'expects to behave' towards or in the situation. The cognitive component of an attitude is derived from 'knowledge' that an individual has about a situation. an "attitude" may be explained as the mental state of an individual. which prepares him to react or make him behave in a particular pre-determined way. #30 . "I will never do business with them again"'—Intentional component. To be more explicit. The affective component of an attitude reflects 'feelings and emotions' that an individual has towards a situation.

An employee with little involvement is motivated by extrinsic motivational factor and an employee with strong involvement is motivated by intrinsic motivational factors. learning and personality. Similarly. This directly affects organizational behaviour. Involving employees in decision-making can also help to increase commitment. with his sense of job security and participation in decision-making. for our interaction with others. people make interpretations of the stimulus or situation they are faced with. An attitude may change as a result of new information. Both selectivity and organization go 'into perceptual. selectivity is affected by intensity.People try to maintain consistency among the three components of their attitudes.factors such as an individual's needs and aspirations determine this attitude. There are a number of factors that lead to commitment and involvement. working conditions. If employees are satisfied with their job. Although there arc a number of cognitive processes. organizational commitment and job involvement. Organizational Commitment and Involvement Two other important work-related attitudes arc organizational commitment and involvement. the incoming information is organized into a meaningful whole. employees are more likely to be satisfied and committed. In contrast. and stays with the organization. So. Work-Related Attitudes People in an organization form attitude about many things such as about their salary. Organizational commitment is the individual's feeling of identification with and attachment to an organization. a dissatisfied employee may be absent more often may experience stress that disrupts coworkers. makes positive contributions. situations or people. Internally. which is situationally specific and learned. In particular. Externally. 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. superiors. From a personal perspective. One of the very important ways to understand individual behaviour in an organization is that of studying attitude. After working with a new person.satisfaction. Group factors such as relationship with co-workers and supervisors also influence job. Individual differences and uniqueness are largely the result of the cognitive processes. fringe benefits. ATTITUDE: IT’S IMPORTANCE IN ORGANIZATIONAL BEHAVIOUR Attitudes of both workers and management react to each other and determine mutual relationships. For example. interpretations. which are interesting and stimulating. it is very essential for the efficient working of an organization. #31 . Involvement refers to a person's willingness to be a team member and work beyond the usual standards of the job. it is generally recognized that the perceptual process is a very important one. Extensive research conducted on job satisfaction has indicated that personal . It is a process that takes place between the situation and the behaviour and is most relevant to the study of organizational behaviour. perceptual selectivity is influenced by the individual's motivation. conflicting circumstances often arise. and may keep continually looking for another job.by his or her work. uniform etc. size. Especially some important attitudes are job satisfaction or dissatisfaction. along with group and organizational factors such as relationships with co-workers and supervisors. can enhance job involvement. designing jobs. Through this complex process. and in turn organizational working. Job Satisfaction Job satisfaction is an attitude reflects the extent to which an individual is gratified or fulfilled . Organizational factors that influence employee satisfaction include pay. Both may increase with an employee's age and years with the organization. ATTITUDE FORMATION AND CHANGE Individual attitude are formed over time as a result of repeated personal experiences with ideas. Attitude is an understanding or learning of why employees feel and act the way. Perception Perception is an important mediating cognitive process. motion and novelty and familiarity. work policies and compensation. promotion possibilities. food in the canteen. our mental state. If the organization treats its employees fairly and provides reasonable rewards and job security. After the selective process filters the stimulus situation. The conflict that individuals may experience among their own attitudes is called 'cognitive dissonance. they do and help supervisors in winning cooperation from them. promotion. However. repetition. satisfaction depends on individual factors like individual's needs and aspirations. contrast. policies and procedures of the organizations and working conditions. a manager may come to realise that he is actually very talented and subsequently may develop a more positive attitude toward him. it may lead to low employee turnover and less absenteeism and vice-versa. attitudes provide knowledge base or prepare. and with the world around us. A satisfied employee also tends to be absent less often.

consistency and distinctiveness. Selective perception may make the manager to quickly disregard what he observed. organization. This pattern of attributions might cause the manager to decide that the individual's behaviour requires a change. managers need to have a general understanding of the basic perceptual process. Perception plays a key role in determining individual behaviour in organizations. For instance. PERCEPTION AND ATTRIBUTION Perception is also closely linked with another process called attribution. politician). Basic Perceptual Process Perception is influenced by characteristics of the object being perceived. associating certain characteristics with those categories (like passivity. attribution. projection. Perceptions based on stereotypes about people's sex exist more or less in all work places. and seems to work hard no matter what the task (low distinctiveness) you might conclude that internal factors are causing that particular behaviour. Stereotyping Stereotyping is the process of categorizing or labeling people on the basis of a single attribute. IMPRESSION MANAGEMENT Social perception is concerned with how one individual perceives other individuals. For example. self-concept and personality. • Characteristics of the person include attitude. repetition and novelty. At this point. those messages are subject to distortion in the process of being perceived by organizational members. He might realize that this employee is the only one whois laic (low consensus). Typically. if dishonesty is associated with politicians. and the halo effect process.In the process of perception. movement. dishonesty respectively) and then assuming that any one who fits a certain category must have those characteristics. the manager might meet the subordinate to establish some disciplinary consequences to avoid future delays. it can become quite detrimental. For example. In one sense. In this case influenced by the selective perception process he too will disregard it. impression management is the process by which the general people attempt to manage or control the perceptions that others form about them. Attribution is a mechanism through which we observe behaviour and then attribute certain causes to it. a manager has a very positive attitude about a particular worker and one day he notices that the worker seems to be goofing up. Distinctiveness is the extent to which the same person behaves in the same way in other situations. 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. The forces within the person (internal) or outside the person (external) lead to the behaviour. The processes through which a person's perceptions are altered by the situation include selection. assimilate them and then interpret them. perceived as a clerk and not an executive at first. selective perception and stereotyping are particularly relevant to organizations. if a woman is sitting behind the table in the office. she will be very often. Different people perceive the same information differently. For example. Organizations send messages in a variety of forms to their members regarding what they are expected to do and not to do. • Characteristics of the object include contrast. Another example is of a manager who observes that an employee is late for a meeting. selective perception is beneficial because it allows us to disregard minor bits of information. intensity. recall that he is often late for other meetings (high consistency). Consensus is the extent to which other people in the same situation behave in the same way. once we observe behaviour we evaluate it in terms of its consensus. impression management has considerable' implications for activities like determining the validity of #32 . The details of a particular situation affect the way a person perceives an object. people receive many different kinds of information through all five senses. In spite of organizations sending clear messages. Hence. we are likely to assume that all politicians are dishonest. the same person may perceive the same object very differently in different situations. But if selective perception causes managers to ignore important information. is consistently motivated (high consistency). Among these. Consistency is the degree to which the same person behaves in the same way at different times. and subsequently recall that the same employee is sometimes late for work (low distinctiveness). by the characteristics of the person and by the situational processes. stereotyping process. Thus. if you observe that an employee is much more motivated than the people around (low consensus). According to Attribution theory. For example. Conversely. these perceptions lead to the belief that an individual's sex determines which tasks he or she will be able to perform. Selective Perception Selective perception is the process of screening out information that we are uncomfortable with or that contradicts our beliefs. Stereotyping consists of three steps: identifying categories of people (like women. People often tend to present themselves in such a way so as to impress others in a socially desirable manner. 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 relevance that these impressions have on the individual's goals.impression motivation and impression construction. Managers must never underestimate. physical status. there is still little known of how they select the way to manage others' perceptions of them. Successful managers constantly monitor their own assumptions. the other major process. target values and current social image. trying to treat each individual as a unique person #33 . desired and undesired identity images. Using this broader approach. subordinates may be. but were overruled. • Employees secretly tell their boss that they fought for the right thing. if they are seeking to maximize responsibility for a positive outcome or to look better than what they really are. • Employees apologies to the boss for some negative event. is concerned with the specific type of impression people want to make and how they create it. Especially in an employment situation. On the other hand. It serves as a pragmatic. • Employees ascertain that they are seen with the right people at the right times. The demotion-preventative strategy is characterized by the following activities: • Employees attempt to excuse or justify their actions.performance appraisals. political tool for someone to climb the ladder of success in organizations. Employees using this approach try to disassociate themselves from the group and from the problem. attributions and social facilitation. they may employ a demotion-preventative strategy. Although there has been a considerable research done on how these five factors influence the type of impression that people try to make. The Process of Impression Management As with other cognitive processes. perceptions and attributions. • Employees identify cither personal or organizational obstacles they had to overcome to accomplish an outcome and expect a higher credit. role constraints. but received a lesser credit. the discrepancy between the image one would like others to hold and the image one believes others already hold. among other things. Coping with Individual Differences Individual differences and people's perception of them affect every aspect of behaviour in organizations. If employees are trying to minimize responsibility for some negative event or to stay out of trouble. Most recently. the differences between individuals. the value of these goals. attitude change. Employee Impression Management Strategies There are two basic strategies of impression management that employees can use. interests. motivated to control how their boss perceives them. however. two separate components of impression management have been identified . Impression construction. five factors have been identified as being especially relevant to the] kinds of impression people try to construct: the self-concept. impression management has many possible conceptual dimensions arid has been researched in relation to aggression. then they lean use a promotion-enhancing strategy. The promotion enhancing strategies involve the following activities: • Employees harbor a feeling that they have not been given credit for a positive outcome. or values. • Employees point out that they did more. Although some theorists limit the type of impression only to personal characteristics others include such things as attitudes.

you should be able to: • • • • Understand the meaning. Positive motivation includes incentives. IMPORTANCE OF MOTIVATION Motivation is an important part of managing process. • Motivation is directly related to the level of efficiency of employees. rewards and other benefits while negative motivation implies some punishment. Terry. A high degree of motivation may lead to high morale. it is "the complex of forces starting and keeping a person at work in an organization". by satisfying the need. use of force etc. 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. Highly motivated employees get higher satisfaction. • It may be positive or negative. FEATURES OF MOTIVATION The following are the features of motivation: • It is an internal feeling and forces a person to action. • Motivating force an^ its degree. "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. causing the individual to move in a goal directed pattern towards restoring a state of equilibrium. • 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. These 'others' are human resources who need to be motivated to attain organizational objectives. • Motivation also plays a crucial role in determining the level of performance. which forces him to work more efficiently. which means an active form of a desire. #34 . The manager in general has to get the work done through others. which activates and compels the person to behave in a particular manner. learning abilities. 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'. may differ from individual to individual depending on his personality. which may lead to higher efficiency. • Motivation may be positive as well as negative. competence and other factors. Viteles defines motivation as "an unsatisfied need which creates a state of tension or disequilibrium. • It varies from person to person and from time to time. • The motivation procedure contributes to and boosts up the morale of the employees.LESSON – 9 MOTIVATION AND BEHAVIOR Learning Objectives After reading this lesson. perception and competence of an individual. craving or need that must be satisfied. "Motivation is the desire within an individual that stimulates him or her to action. • A highly motivated employee works more efficiently and his level of production tends to be higher than others." On the basis of above definitions. It is a tension of lacking something in his mind. DEFINITION According to George R. They are more committed and cooperative for achieving organizational objectives. Motivation is the key to organizational effectiveness. needs. • Motivation is also a process of stimulating and channelising the energy of an individual for achieving set goals. • Motivated employees make full use of their energy and other abilities to raise the existing level of efficiency. • Motivated employees make goal-directed efforts. • Motivation originates from the-needs and wants of an individual. fear." In the words of Robert Dubin." According to Encyclopaedia of Management. • It is a continuous activity.

This 'moving up process continues until the individual reaches the self-actualization level. Effectively motivated employees get more job satisfaction and possess high morale. Motivation is considered as a backbone of good industrial relations. In organizational settings. They include the need for love and affection and the need to be accepted by one's peers. Belonging or social needs are related to the.• • • • Motivated employees are more loyal and sincere to an organization. belongingness. the cycle of motivation is constantly repeated. "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. But if no raise has been provided he is likely to try another option. starting from the bottom of the hierarchy. he probably feels satisfied and will continue to work hard. esteem and selfactualization needs. When these needs are satisfied. Security needs are satisfied for people in the work place by job continuity. The motivation process begins with identification of individual needs. 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. sex. behaviorists and psychologists. This theory. For example. An individual is motivated first and foremost to satisfy physiological needs. he is motivated and 'moves up' the hierarchy to satisfy security needs. 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 most people these needs are satisfied by a combination of family and community relationships and friendships on the job. Extensive research has been performed to find out what makes people work and how to motivate them. The figure 9. water and air. Thus. These factors help reduce absenteeism and labor turnover. 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. Motivation also helps in improving the image of an organization. working harder while simultaneously looking for a job. Examples include the desire for adequate housing and clothing. social scientists. adequate lighting. when an employee feels underpaid then what. most physiological needs are satisfied by adequate wages and by the work environment itself.1 shows Maslow's hierarchy of needs Maslow suggested that the five levels of needs are arranged in accordance with their importance. Since people have many different needs. If his hard work resulted in a pay rise. security. even though there is no universally acceptable motivation theory. This includes managers. Esteem needs actually comprise of two different sets of needs: #35 . the need to be free from worry about money and job security and the desire for safe working conditions. popularly known as the Hierarchy of Needs assumes that people are motivated to satisfy five levels of needs: physiological. social aspect of human life. the satisfaction of one need or set of needs is likely to give rise to the identification of other needs. He then chooses to pursue one or more of these options for instance. which provides employees with rest rooms. Physiological needs represent the basic issues of survival such as food. comfortable temperatures and ventilation. a grievance resolving system and an adequate insurance and retirement benefit package. Understanding these theories facilitates the managers to get a better insight into the human behavior. A number of theories have been developed. Understanding human motivation is crucial for managing people.

For instance. This is termed as satisfaction—progression process. it allows for the possibility that people can be motivated by a desire for money (existence).2. • Firstly. Relatedness needs refers to belongingness and esteem needs. For example. and an opportunity to learn new skills (growth) all at the same time. 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. These needs involve realizing one's potential for continued: growth and individual development. The existence needs in this theory refers to the physiological and security needs of Maslow. there are two important differences. Therefore. 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. The need for recognition and respect from others. #36 . Maslow maintained that one heed must be satisfied before an individual can progress to needs at a higher level. which Maslow defines the self-actualization needs. organizations can also help satisfy esteem needs by providing employees with challenging job assignments that can induce a sense of accomplishment. an organization can help his employee by creating a climate for fulfillment of self-actualization needs. However.• • The need for a positive self-image and self-respect. Moreover. • Secondly. Since these needs are highly individualized and personal. Organizations can help address esteem needs by providing a variety of external symbols of accomplishment such as job titles and spacious offices. ERG theory has an element of frustrations-regression that is missing from Maslow's need hierarchy. At the top of the hierarchy are those needs. ERG theory suggests that more than one kind of need might motivate a person at the same time. Relatedness and Growth. Although ERG Theory assumes that motivated behavior follows a hierarchy in somewhat the same fashion as suggested by Maslow. it is difficult for organizations to use the need hierarchy to enhance employee motivation. Maslow's concept of the need hierarchy possesses a certain intuitive logic and has been accepted universally by managers. The letters E. The figure 9. This process of contributing to actual organizational performance helps employees experience personal growth and development associated with self-actualizing. friendship (relatedness).called the ERG Theory of Motivation. (b) ERG Theory of Motivation Clayton Alderfer has proposed an alternative hierarchy of needs . self-actualization needs are perhaps the most difficult for managers to address. At a more fundamental level. R and G stand for Existence. for example.2 shows ERG theory: ERG Theory the need hierarchy developed by Maslow into three 9. from security needs to belongingness. an employee should try to meet these needs on his own end. Growth needs refers to both self-esteem and self-actualization needs.

an individual who identified 'low pay' as causing dissatisfaction did not necessarily mention 'high pay' as a cause of satisfaction. For" example. One structure involves a set of factors that result in feelings ranging from satisfaction to no satisfaction.Although the ERG theory includes this process. The factors influencing satisfaction are called motivation factors or motivators. a worker previously motivated by money (existence needs) is awarded a pay rise to satisfy this needs. which are related to the work environment in which the job is performed. The other structure involves a set of factors that result in feelings ranging from dissatisfaction to no satisfaction. For instance. such as recognition or accomplishment. Specifically. were cited as causing satisfaction. therefore. by improving opportunities for advancement. be satisfied. Although widely accepted by managers. Once a manager has eliminated employee dissatisfaction. dissatisfied or somewhere in between. the individual will become frustrated. Herzberg identified two sets of factors responsible for causing either satisfaction or dissatisfaction. Hertzberg recommends focusing on a different set of factors to increase motivation. o People may change their behavior after any particular set of needs has been satisfied. regress to a lower level and will begin to pursue low level needs again. (c) The Dual-Structure Approach to Motivation Another popular need-based approach to motivation is the dual-structure approach developed by Frederick Herzberg. it also suggests that if needs remain unsatisfied at some higher level. He asked them to recall such occasions when they had been dissatisfied and less motivated. Hertzberg’s dual structure approach however suffers from certain drawbacks. Employees would. he recommends job enrichment as a means of enhancing the availability of motivation factors. Herzberg argued that attitudes and motivation consists of a dual structure. They have also criticized Herzberg's theory for its inability to define the relationship between #37 . If for some reason an employee finds that it is impossible to become better friends with others in the work place. security and working conditions. several other factors. The ERG theory emphasis on the following key points regarding needs: o Some needs may be more important than others. 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. Instead. Herzberg developed this approach after interviewing 200 accountants and engineers in Pittsburg. This finding suggests that satisfaction and dissatisfaction are at opposite ends of a single scale. This is termed as ‘frustration-regression' process. Then he attempts to establish more friendship to satisfy relatedness needs. Other researchers who measured satisfaction and dissatisfaction based on different aspects reached very different conclusions. he may eventually become frustrated and regress to being motivated to earn even more money. 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. advancement and growth. He found that entirely different sets of factors were associated with satisfaction and dissatisfaction. This is also known as Two-factor Theory. which are related specifically to the job itself and the factors causing dissatisfaction are called hygiene factors.

Need for Achievement : : Need for Power According to this theory the need for power. relies heavily on self-control -and self-direction. Theory of Y Following are the assumptions of managers who believe in the "Theory of Y" regarding their employees. it is difficult for the management to shift to theory ' Y'. This motivational theory places emphasis on satisfaction of employees. These needs have been classified as: 1. However. Literally. as an instrument of command and control is minimal. with systematic. 'X' AND ‘Y' THEORIES OF MOTIVATION Douglas McGregor observed two diametrically opposing viewpoints of managers 'about their employees. They prefer a #38 . most important of all other factors in the job and have very little ambition. this theory of behavior is related to organizations that lay hard and rigid standards of work-behavior. at present Herzberg's theory is not held in high esteem by researchers in the field of motivation. places exclusive reliance upon external control of human behavior. The concepts of 'Job' Enlargement'. • Innovative spirit is not confined to managers alone. Applicability of Theories 'X' and 'Y' Theory 'X' in its applicability. on the other hand. • Employees accept and seek responsibilities. Organization should keep in mind that once theory 'X' is employed for organizational working. • Employees must be coerced. • Employees avoid responsibilities and seek formal direction. that are sometimes very vigorously enforced. The theory. McClelland and his associate Atkinson have contributed to an understanding of motivation by identifying three types of basic motivating needs. I Theory of X Following are the assumptions of managers who believe in the "Theory of X" regarding their employees. Need for Affiliation The need for affiliation means the desire for human companionship and acceptance. are likely to be superior performers and occupy supervisory positions. Research suggests that people with a strong need for power. are outspoken. some employees also possess it. Need for Power 2. • Employees are self-directed and self-controlled and committed to the organizational objectives. have rigid rules and regulations. design equipment to control worker's pace of work. Such types of individuals generally look for positions of leadership. Those with a high need for affiliation often behave the way they think other people want them to. Some examples of such organizations are organizations that break down jobs into specialized elements. have a stubborn character and exert authority. • Employees love work as play or rest.satisfaction and motivation and to pay enough attention to differences between individuals. Theory 'X' points to the traditional approach of management. judicious and slow steps. shifting in the practical applicability of theory 'X' to theory ' Y' usually can be achieved. While applying this theory. Theory 'Y’. in an effort to maintain friendship. • Employees dislike work. one is negative called "Theory of X" and another is positive called "Theory of Y". establish 'norms of production. however. 'Participation' and 'Management by Objectives' are quite consistent with theory ' Y'. all of a sudden. Hence. which might be defined as the desire to be influential in a group and to control one's environment is an important motivation factor. the use of authority. secures the commitment of employees to organizational objectives. instead of theory ‘X'. they act effectively. Employees exercise self-direction and self-control. MC-CLELLAND's NEED THEORY OF MOTIVATION David C. controlled or threatened to do the work. McGregor supports the applicability of motivational theory 'Y'. • Most employees consider security of job. while theory 'Y'. Need for Affiliation 3. 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.

. For instance. but still doesn't apply simply because he doesn't want it. Next he sees an advertisement is for Field Supervisor for a salary of Re.3 shows the expectancy theory of motivation.Victor Vroom. Then he comes across another advertisement for a Management Trainee in a big organization with a starting salary of Rs. Basically. • Leadership qualities.job that entails a good deal of social interaction and offers opportunities to make friends. These people are concerned with their progress.process of governing choices. These questions relate to behaviors or actions. In this case he realizes that he . Two of the most useful process-based approaches to motivation arc expectancy theory and equity theory. The expectancy theory tries to explain how and why people choose a particular behavior over an alternative. The principal characteristics of such peoples' traits are as follows: • Desire to like and be liked. he probably does not apply because he is aware that there is little chance of getting it. who are sociable. Process-based theories to motivation are concerned with how motivation occurs. These concepts are addressed by various process-based theories to motivation. friendly. 3 lakh per year. They are prone to take calculated risks. Needs theories are content-oriented . they explain what are the causes leading to motivated behaviors. Persons with high motivation for power and affiliation have better chances of becoming good managers.that is. Figure 9. • Prefer cooperative situation. They do not explain why or how motivated behavior occurs. PROCESS-BASED THEORIES TO MOTIVATION The field of organizational behavior has generally moved a way from the needs theories of motivation. always feel ambitious to be successful.can probably get the job. • Excel in group task. 1 lakh per year. cooperative and understanding. Vroom's expectancy theory views motivation as a. 2 lakh per year. 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. • Star attraction in gathering. #39 . Even though he might want the job. 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. are ever prepared to face challenging situations and set arduous goals . (a) Expectancy Theory of Motivation Expectancy theory of motivation was developed by. a person is looking for a job and reads an advertisement for a position of Marketing Executive with a starting salary of Rs. 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.for themselves. • Enjoy company and friendship. He chooses to apply for this job because he wants it and also thinks that he has a reasonable chance of getting it. goals and feelings of satisfaction. Need for Achievement People with a high need for achievement. and possess a high sense of personal responsibility in getting jobs done. This need is closely associated with the "social-type” of personality.

0. the effort-to-performance expectancy is very weak. Usually we are not sure about our expectations. The above model suggests that motivation leads to efforts and that effort.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. then his effort-to-performance expectancy is high.0 and 1. an index of how much an individual desires a particular outcome. expectancy is quite strong. of behavior in an organizational environment. When an individual believes that effort will lead directly to high performance. A high performer. • It assumes that different people have different types of needs. Performance. an individual who believes that high performance will lead to a pay raise has a high performance-to-outcome expectancy. if one feels sure that studying hard for an examination (effort) will result in scoring high marks (performance). that is close to 1. approaching to 1. its valence is zero. its valence is positive. he may also be subject to a lot of stress and incur resentment from co-workers. And an individual who believes that performance has no relationship to rewards has a low performance-to-outcome expectancy that is close to 0. so they fall somewhere between 0.00. If an individual wants an outcome. . 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. For example. For instance. in turn.0. An individual who believes that high performance may possibly lead to a pay raise has a moderate expectancy between 1. when combined with individual ability and environmental factors. According to this model. its valence is negative.00 and 0. Outcomes and Valences Expectancy theory recognizes that an individual may experience a variety of outcomes as a consequence. • It assumes that people make decisions about their own behavior in organizations. 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 example. individuals develop some sense of these expectations before they exhibit motivated or non-motivated behavior. If an individual does not want an outcome. that is close to 1. However. If an individual is indifferent to an outcome. result in performance. Each of these outcomes has an associated value or valence that is.00. fast promotions and praise from the boss. • 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. When an individual believes that effort and performance are unrelated. leads to various outcomes—each of which has an associated value called its 'valence'.. #40 .0 with a moderate expectancy. desires and goals. that is close to 0. may get big pay raises. It is this advantage of expectancy theory that goes beyond the need-based approaches to motivation.

• Third. The manager will particularly see that the specific system. Expectancy theory also assumes that people are rational . They should make sure that the overall system is equitable for everyone. They should also analyze the complete work situation for conflicting expectancies. then he has to make sure whether the reward system is highly supportive to hard work or high quality. 5. Finally. 7. It is quite difficult to apply. to determine all relevant expectancies and then to balance everything somehow to maximize employee motivation.Thus. no doubt 'expectancy' theory has gained much popularity with theorists. few people actually make decisions in such a precise and rational manner. the performance-to-outcome expectancy must also be greater than zero. three conditions must be met. 6. The expectancy theory also has several other important practical implications. Nadler and Lawler suggest a series of steps for managers in applying the basic ideas of the theory. • Second. superior performance can lead to satisfaction. is that rewards must correspond to the varying preferences of an individual employee. The Porter-Lawer Extension Porter and Lawler have proposed an interesting extension to the expectancy theory. which are as follows: • First. • Link desired outcomes to performance goal achievement. In conclusion. Expectancy theory maintains that when all of these conditions are met. The probability that increased effort will lead to improved performance is affected by an individual's traits. Porter-Lawler Model First. • Establish attainable performance goals. 2. However. They should ascertain that the desired levels of performance are attainable. Implications for Managers Expectancy theory can be useful for organizations attempting to improve the motivation of their employees. Practical Applicability of Expectancy Theory If a manager wishes to motivate his employees for increased and better performance. application of this theory in the work place would require to identify all the potential outcomes for each employee. the individual is motivated to expand effort. they will systematically consider all the potential outcomes and their associated expectancies before selecting a particular behavior. but much more work still needs to be put in. • Define. is communicated to them. 4. They should determine the primary outcomes that each employee likely desires. The expectancy theory has also its limitations. Porter and Lawler suggest that there may indeed be a relationship between satisfaction and performance but that it goes in the opposite direction. before it can be accepted for use as an effective instrument of explanation of 'motivation' with all its implications. 1. communicate and clarify the level of performance that is desired. which should not be ignored by the manger. They should ensure that desired outcomes and performance are linked. abilities and perception of his role in an organization. #41 . which managers should keep in mind. that is.therefore. the sum of the valences for all relevant outcomes must be greater than zero. 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. They should decide what kind and levels of performance are needed to meet organizational goals. Another important point. 3. 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. for motivated behavior to occur on the part of any individual. The human relationists assumed that employee satisfaction causes good performance but research has not supported such relationship. as applicable in their case. the effort-to-performance expectancy must be greater than zero. They should make sure that the rewards are large enough. The model also distinguishes between intrinsic and extrinsic rewards. so as to make them feel confident that their energized efforts will be rewarded. for example. The managers can perform the following activities in relation to this • Determine what outcomes employees prefer.

4. the best way to avoid such problems is to make all employees aware of the basis for rewards. If an individual has the feeling of equity then he should maintain the status quo. First an individual evaluates the way he is being treated by an organization. In the crucial step of equity theory an individual 'compares' the two treatments. reinforcement theory is based on the fairly simple assumption that behaviors that result in rewarding consequences are likely to be repeated. avoidance. The comparison may result in three types of attitudes: • The individual may feel equitably rewarded. The figure 9. Stacy Adams developed equity theory of motivation. specially that has previously been rewarded. effort. Both consider the processes by which an individual chooses behaviors in a particular situation. • Under-rewarded. Positive Reinforcement is a method of strengthening behavior. Other positive reinforces include pay. This occurs when an individual chooses certain behavior in order to avoid unpleasant consequences. • Over-rewarded. managers must remember that different employees have different sense towards basis for a reward and this may result in problems. An employee's contributions or input to an organization include time. Adam suggests that employees make these comparisons by focusing on input and outcome ratios. Outcomes are what an individual receives from an organization such as. A person's perception of equity develops through a four-step process as shown below: 1. In the fourth step he evaluate a sense of equity to see if the two treatments seem similar or if the are different. Extinction can also be used to weaken behavior. 3. The equity theory argues that motivations arise out of simple desire to be treated fairly. whereas behavior that results in punishing consequences are less likely to be repeated. punishing with fine for coming late. 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. This other 'person' may be someone in the work group. pay. Reinforcement-based approaches explain the role of those rewards as they cause behavior to change or remain the same over time. the expectancy theory focuses more on behavior choices and the latter is more concerned with the consequences of those choices. Hence. Specifically. recognition and social relationships. 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. Reinforcement Based Approaches to Motivation A final approach to the motivation process focuses on why some behavior are maintained and changed overtime. promotions and awards. When an employee tells a vulgar joke and the boss laughs.4 shows the equity process. There arc similarities between expectancy theory and reinforcement theory.compare their ratio to the ratio of someone else. for example. 2. education. However. The single most important idea for managers to remember about equity theory is that if rewards are to motivate employees. an employee may come to work on time to avoid criticism. Reinforcement Contingencies Reinforcement contingencies are the possible outcomes that an individual may experience as a result of his or her behaviors. An individual will experience a feeling of equity when the two ratios are equal. For instance. Punishment is used by some managers to weaken undesired behaviors. the laughter reinforces the behavior and the employee may continue #42 . consequence will reduce an undesirable behavior again. punishment and extinction. However. experience and loyalty. they must be perceived as being equitable and^ fair. contingency that can strengthen desired behavior is avoidance.(b) Equity Theory J. The other reinforcement. The theory suggests that people view their outcomes and inputs as ratio and then. The four types of reinforcement contingencies that can affect individuals in an organizational setting are positive reinforcement. If he has a feeling of inequity then he is likely to change the input. The logic is that the unpleasant. Equity can be defined as an individual's belief that he is being treated fairly relative to the treatment of others.

increases acceptance of goal and involvements. Goals must be set in terms of measurable criteria of work performance. o By assigning various rewards to the achievement of goals. These are given below: o Goal commitment o Self-efficiency. goal difficulty and goal acceptance. the higher the level of motivation and performance. 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.e. however. number of units produced. In other words. When involved in goal-settings. the boss can cause the behavior to subside which eventually becomes 'extinct'. employees see how their effort will lead to performance. It also gives a sense of personal satisfaction and accomplishment to workers if he is able to meet the specific goal. However. #43 . o By demonstrating a supportive attitude and approach toward his subordinates. • The manager can stimulate goal acceptance in at least three ways: o By involving subordinates in goal-setting process. Two of the most promising are Goal-Setting Theory and the Japanese Approach.' which influences the performance. The mere act of goal setting does not ensure higher levels of motivation among employees. They are goal specificity. By simply ignoring this behavior and not reinforcing it. Goal-setting theory suggests that managers and subordinates should set goals for an individual on a regular basis. • It increases performance. Positive reinforcement and punishment are the most common reinforcement contingencies practiced by organizations. • Goal setting theory has defined two factors. it should not affect in identifying meaningful and valid objective of goal attainment. NEW APPROACHES TO MOTIVATION IN ORGANIZATIONS New approaches are emerging to supplement the established models and theories of motivation. rewards and personal satisfaction. Goals that are very difficult to achieve are unable to motivate since it is beyond the capacity of the concerned individual. as suggested by MBO. • Participation of setting goal. Goal Acceptance In order to influence motivation and performance. Goal Difficulty/Challenge There exists a relationship between goal difficulty and work motivation.. it is essential that goals are set at realistic levels. These goals should be moderately difficult and very specific and of type that an employee will accept and make a commitment to accomplishing them. Avoidance and extinction are generally used only in specialized circumstances.and challenging the goal is. • Difficult goals result higher performance than easy job. • Though specificity of goal is essential and measurability is desirable. • Better feedback of results leads to better performances than lack of feedback. • Participation of employees in goal has mixed result. Goal Specificity Goals must be stated in specific terms if they are to motivate effective performance. there seem to be three important criteria that goals must meet if they are to influence the behavior of organization members. a goal must be internalized by an individual. new sales etc. Most managers prefer a judicious use of positive reinforcement and punishment. there are a number of issues that arise in implementing goal setting in practice. the person has to feel some personal ownership of the goal and must have commitment to achieve it. Besides this. The more difficult.to tell similar jokes. i. Salient features of this theory are as follows: • Specific goal fixes the needs of resources and efforts. and must specify a lime period within which the goal is to be attained. (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. Rewards should be tied directly to accomplished goals. In fact.

• Admit mistakes: People will respect you for it and will be less likely to hide their own mistakes. They may in practice adopt specific interventions derived from one or more theories or they may influence motivation through the organization's reward system. • Publicize both short and long-term organizational goals: Encourage personal and departmental goal setting. No one is called an employee. Integration of Motivation Theories Thus several theories complicate our understanding. instead everyone is a team member. Managerial Approaches for Improving Motivation A number of approaches can help managers motivate workers. Like goal-setting meow. team leader or coach and everyone owns the 'share' of an organization. Certain attempts are made in USA and elsewhere. Cognitive Evaluation Theory A researcher 'Charms' reported in 1960 that extrinsic motivation like pay or rewards for a job. draw on any of the theories described above. which is prior to such rewards. • Be consistent in your own work and in your relations with others. the Japanese approach is likely to become more common in businesses throughout the world. This will also improve the understanding of motivation. The organization can enhance motivation in following ways: • Humanize the work environment: Respect the need to treat each employee as an individual. But a pay plan also must be able to do the following tasks: #44 . 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.' • Establish appropriate deadlines: Every project should have a deadline. Since both of them see themselves as one group. ail members are committed and motivated to work in the best interests of an organization. • 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. of course. you won't have to rely on expensive financial bonuses. (b) Japanese Approach to Motivation The Japanese approach to motivation has gained increasing popularity around the world during the past few years. have been especially effective: linking pay to jot performance and quality of work-life programs. • Use incentive programs: Inducing the feeling that 'if you're creative enough. Two approaches. • Promote from within: It's great for morale and simplifies hiring procedures. however. The basic tenet of the Japanese approach is that managers and workers should perform together as partners. to perform more effectively. Enhancing Motivation in Organizations Managers trying to enhance the motivation of their employees can. Some of these theories are compatible and some are not. It tends to decrease overall level of motivation. • Don't whitewash unpleasant assignments: Prepare subordinates for unpleasant assignments well in advance and offer what support you can. The following steps promote intrinsic motivation: • Workers Participation in Management (WPM) • Management by Objectives (MBO) • Organization Behavior Modification • Job-Redesign • Alternative Work Schedules. which has an intrinsicmotivation content. This proposal is called cognitive Evaluation Theory" which has been supported by a large number of research studies conducted subsequently.Management by Objectives (MBO) is a managerial technique for improving motivation and performance using goal-setting principles. • Be liberal with praise: It's almost impossible to over praise and easy to under praise. This approach is rather a philosophy of management than a theory or model. Pay and Job Performance Pay often can be used to motivate employee performance.

personnel and the utilization of resources. participation in work improvement and challenge and opportunity for growth. and Create conditions in which rewards other than pay are evaluated as related to good 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. social-need satisfaction. Programs for QWL improvements range from those requiring minor changes in an organization to those requiring extensive modifications in structure. They are. The idea pursued here is that mangers can use any of the alternatives job rotation. job enrichment as part of motivational programme. in essence. 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. Job-Redesign Job-Redesign or changing the nature of people's job is also being used more as a motivational technique. Minimize the negative consequences of good performance. Alternative Work Schedule Organizations also frequently use the modified 'work-week' as a way to increase employee motivation. job enlargement. Expectancy theory helps explain the role of work design in motivation. It also provides an opportunity to fulfil several needs simultaneously. #45 . through the motivators described in 'Herzberg's theory. greater worker involvement and higher levels of job satisfaction. The modified 'work-week' helps individual satisfy higher-level needs by providing more personal control over one's work schedule. There are three types of QWL programs. vehicles for providing employees with opportunities to satisfy lower and upper-level needs as stated by Maslow. 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. QCs give an employee an opportunity for involvement.• • • Create the belief that good performance leads to high levels of pay.

If they are not satisfied. The type of work is very important. educational level. There is no clear research evidence between educational level and job satisfaction. age. as it argues that a person's job satisfaction is influenced directly by the characteristics of their job. intelligence etc. research evidences indicate that employees are relatively more dissatisfied in those jobs. 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. 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. Job Factors These factors include the type of work to be performed. 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. fringe benefits. In a sense. 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. Basically. occupational status involved in the job etc. then there is an improvement in both the quality and quantity of production. Where skill exists to a considerable degree it tends to become the main source of satisfaction to the employee.e. Caldur and Schurr in 1981 suggested that there are three different approaches to evaluating job satisfaction. i. 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 regards the relationship between the intelligence level and job satisfaction. The importance of job Satisfaction is that if the people are satisfied with their work. there will be high absenteeism and employee turnover and increased unionism. For our purposes job satisfaction will be defined as the amount of overall positive affect or feelings that individuals have towards their job. wages and salaries. Desirable working conditions are also important to job satisfaction. which have less social status or prestige. The first approach is that work attitudes such as job satisfaction are dispositional in nature. opportunities for advancement. Locke defines job satisfaction as a "pleasurable or positive emotional state resulting from the appraisal of one's job experiences". Job satisfaction is the result of various attitudes the employee holds towards his job. as a number of research studies have shown that varied work generally brings about more satisfaction than routine work. skill required for work performance. As regards the relation of opportunity for advancement to job satisfaction. Organizational Factors These factors include security. sex. which is based on the accumulation of cognitive information about the -work place and one's job. job satisfaction is determined by the discrepancy between what individuals expect to get out of their jobs and what the job actually offers. they are stable. There is as yet no consistent evidence as to whether women are more satisfied with their jobs than men. towards related factors and towards life in general. this is the most obvious approach. then both the quantity and quality of his output will be low. policies etc. it usually depends upon the level and range of intelligence and the challenge of the job. the wages and salaries and fringe benefits are definitely the main factors that affect job satisfaction of employees.LESSON – 10 JOB SATISFACTION Learning Objectives After reading this lesson. positive or negative disposition learned through experiences. The second approach is the 'social information processing model'. The third approach is the if information processing model'.. it has been found that this factor is most important to skilled personnel and least important to unskilled personnel. Besides. A person will be satisfied if there is no discrepancy between desired and actual conditions Importance of Job Satisfaction #46 . Social and economic security to employees increases job satisfaction. As regards the relation of occupational status to job satisfaction. working conditions etc.

and relationship with superiors and relationship with colleagues. The psychological “feel” or climate that dominates your organization. 13. 2. 19. 8.1: 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. 9. 20. The feeling you have about the way you and your efforts are valued. An organization can be substantially benefited if it develops general attitudes of its employees that can effectively contribute to job satisfaction. 22. The way in which conflicts are resolved in your company. 15. job satisfaction significantly contributes to employee productivity and morale. which explore pay. is given in the Table 10. turnover and absenteeism will be less and productivity will be more. 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.1. 10. 12. satisfaction of individual expectations results in group integration and cohesiveness.Obviously. 7. 17. 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. 11. working conditions. career prospects. 14. 16. TABLE 10. An example of a measure of job satisfaction from the OSI. #47 . 18. 5. The relationships you have with other people at work. 6. Further. 3. work activities. 4. They all tend to involve scales. 21. If employees are satisfied. which contains all of the elements that usually make up a job satisfaction measure. Communication and the way information flows around your organization. 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. 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 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.

the policy of job rotation. the management must recognize the importance of the stability of employee attitudes that may lead to high morale and production. 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. Management should also take necessary steps to raise the occupational status of the workers. For example. The management should carefully develop appropriate policies and practices for promotions and transfers. #48 . while keeping in view the factors related to job satisfaction. satisfactory hours of work and adequate rest pausing. wages. freedom to do work will also help increase job satisfaction. fringe benefits. Proper delegation of authority. working conditions.Similarly. Management should also able to recognize and appreciate the good work done by the employees and give respect for their creative suggestion. and job enlargement may help increase job satisfaction. job enrichment. the management can use the factors inherent in the job to plan and administer jobs more advantageously for its personnel. Above all. grievance handling.

individuals communicate with each oilier. The knowledge of group behavior as well as individual behavior is necessary for a manager. Groups can make a manager's job easier because by forming a group. who move in groups. They are useful for the organization as they form foundation of human resources. • A group can judge in a better way as compared to an individual. • Group efforts affect an individual. the interactions between its members should be productive. All these require coordinated and unified efforts of many individuals. Work committees. work groups and teams are formed to monitor the work.11 GROUP DYNAMICS Learning Objectives After reading this lesson. of groups are as follows: • Management of modern organizations make mutual efforts to introduce industrial democracy at workplace. 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'. 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. Therefore. Groups or work teams are the primary tools used by managers. his attitude and behavior. making of a movie. "a group comprises. But for a group to work effectively. working in a group. Group efforts are required for its completion. he need not explain the task to each and every individual. Elton Mayo and his associates conducted the Hawthorne experiments and came to know that the group behavior has great impact on productivity. job satisfaction and effective performance. etc. Need for a Group The reasons for the need. building a ship. According to Marvin Shaw. He must understand group psychology and should also understand individual behavior in the context of group behavior. They also make the environment at workplace more lively. Types of Groups In an organization. The key parts of this definition are the concepts of interaction and influence. Individual and group behavior vary from each other. It is difficult for members to interact sufficiently in a large group. • In a group. discuss their work performances and take suggestions from each other to make it better. The group in which he moves influences individual work. • 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. • The tasks in modern industries are becoming more complex. Human behavior consists of individuals. The importance of group behavior has been realized from time to time. In 1920. Groups have significant influence on an organization and are inseparable from an organization. Managers need groups to co-ordinate individual behavior in order to reach the organizational goals. there are three types of groups. For example. • Groups help in making participative management more effective. They use project teams and work committees where workers get due recognition. 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. construction of a fly-over. They willingly participate in decision-making.LESSON . • Group has the ability to satisfy the needs of its members. The study of group behavior is essential for an organization to achieve its goals. which also limit the size of the group. all members of a group together use their creative and innovative ideas than a single individual. managers must pay attention to the needs of individuals. • While accomplishing tasks. 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. • An individual cannot perform each and every task. which are as follows: #49 . tedious arid of repetitive nature.

teachers of the same faculty in a university. beliefs. Hence. These are the groups formed by the employees themselves at the workplace while working together. the individuals join a group. Groups are formed voluntarily. The organization after specifying a group membership. They also develop a solution to a problem or complete its purpose. For example. the quality control department and the public relations department. tastes and opinions. They suspect their integrity and consider as a virtual threat. understanding how groups form and develop is important for managers. Informal groups form when individuals are drawn together by friendship. increase in salary. Some managers consider them to be harmful to the interest of an organization. by mutual interests or both. o Friendship group: Friendship groups are the groups of individuals belonging to same age group. These groups are permanent in nature. "the network of persons and social relations which is not established or required form an informal organization". evaluating a proposed grievance procedure. These groups are spontaneous. These groups work as an informal communication network forming a part of the grapevine to the organizations. The organization does not take any active interest in their formation. They have to follow rules. Informal groups are of following types: o Interest group: Interest groups are the groups formed to attain a common purpose. These groups are temporary in nature. etc. These groups can also be formed outside the plant or office and can be in the form of clubs and associations. values etc. According to A L Stencombe. A formal organizational group includes departments such as the personnel department. regulations and policy of the organization. having similar views.Functional or formal groups Functional groups are the groups formed by the organization to accomplish different organizational purposes. They are also like a powerful force. Some managers do not consider them as threat and seek the help of group members in getting the organizational task accomplished. "a formal group is said to be any social arrangement in which the activities of some persons are planned by others to achieve a common purpose". They want support from the group. Informal groups are very effective and powerful. together. Employees coming together for payment of bonus. task forces and work teams are included in task groups. medical benefit and other facilities are the examples of interest groups o Membership group: Membership groups are the groups of individuals' belonging to the same profession and knowing each other. According to Keith David. which are as follows: • #50 . The individuals of a group can join and leave the group any time and they can also change their tasks. assigns a narrow set of purposes such as developing a new product. • Informal group Informal groups are the groups formed for the purposes other than the organizational goals. There are certain motives because of which. Informal committees. o Reference group: Reference groups are the group where individuals shape their ideas. which an organization cannot avoid. the advertising department. GROUP FORMATION AND DEVELOPMENT Groups can form when individuals with similar goals and motives come. • Task group Tasks groups are the groups formed by an organization to accomplish a narrow range of purposes within a specified time.

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.1: • Interpersonal attraction: Individuals conic together to form informal or interest group. may motivate individuals to join. a club. Retired/old aged individuals join groups to enjoy the companionship of other individuals in similar situation. 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 11.2 These different stages of group development are explained as follows: • Mutual Acceptance The very first stage of a group development is called "Mutual Acceptance". which is dedicated to environmental conservation. • Personal motives to join groups: Individuals also choose to join informal or interest groups for unimportant reasons.• 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. The closeness of group members may also be an important factor. During this stage.2. which inter-personal behavior is acceptable and which is #51 . discussing current events or contemporary literature. STAGES OF DEVELOPMENT Members of new group are unfamiliar with one another's personalities and : hesitant in their interactions. similar attitudes. Playing tennis. • 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. 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. Some of these are shown in the figure 11. as they arc also attracted to each other. Since joining these groups is voluntary. which are depicted in the figure 11. • Instrumental benefits: Group membership sometimes also helpful in providing other benefits to an individual. personality and economic standing. the members of the group get familiar with one another and check. • Need for affiliation: Another reason for individuals to join groups is to satisfy their need for attachment. • Support for group goals: The individuals may also be motivated goals by the other group members to join. all these are group activities that individuals enjoy. The factors that contribute to interpersonal attraction are sex. For example. The new group must pass s of development. For example. various personal motives affect membership. Individuals join groups.

They make the members to identify themselves with the group. the structure becomes clear and the group moves to the third stage. The primary leader has more influence on the group members than the secondary leaders. • Cohesiveness Cohesiveness is defined as the attractiveness of group members towards the group. Every informal group has one primary leader apart from the secondary: leaders. • Informal leadership Each informal group has one or more leaders. Members also become more comfortable with each other and develop a sense of group identity and unity. "Group norms are rules or guidelines of accepted behavior which are established by a group and used to monitor the behavior of its members". Motivation and Productivity The third stage is "Motivation and Productivity". The members of the group are expected follow the norms strictly. Each person recognizes and accepts his role as well as to accept and to understand the roles to others. some focus on the group's task. cohesiveness and informal leadership. therefore. role conflict and role overload. Role structure is the set of defined roles and interrelationships among those roles that the group members define and accept. This helps all the members of a group to know each other better and helps the group to move to the next stage easily. group members share their opinions and formulate the group's goals. • • CHARACTERISTICS OF MATURE GROUPS As groups pass through the stages of development to maturity. attitudes. • Role Structures A role is the part that an individual plays in a group to reach its goals. Managers have to take steps to avoid role ambiguity.unacceptable by the other members of the group. Norms play a significant role in disciplining the members of a group to make them to work regularly and properly. but they must have some goals over a period of time. Control and Organization The fourth stage is "Control and Organization". o Degree of participation and loyalty of members. o Power of the group to influence its members. They are framed to achieve objectives of the group. These leaders come forward on the basis of acceptance of all the group members. depending on the time. o Maintenance of an efficient communication system. • Communication and Decision-making The second stage of group development is "Communication and Decision-making''. The failure in role development result in role ambiguity. These goals are temporary and can be changed in accordance with the needs of the group members. It also emphasizes on the group's ability to satisfy its members needs. o Satisfaction of the needs of group members. Norms define boundaries between acceptable and unacceptable behavior. In reality. • Behavioral norms Although informal groups do not have any specific goals to accomplish. which are as follows: o Ability of a group to retain its members. It. role conflict and role overload. some interact with other groups and so on. behavioral norms. which arc as follows: #52 . they begin show signs of the following four characteristics: a role structure. this developmental sequence varies from group to group. helps the group members to work more consistently and make greater contribution to the achievement of the organizational goals. 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. The goals can be achieved effectively depending on the following factors: o The extent of cooperation with management. GROUP NORMS Norms refer to group behavior standard. o Feeling of security on the part of the members. They can be social and fair in nature. This reduces absenteeism and employee turnover. Through communication and decision-making. which is characterized by a shared acceptance among members of what the group is trying to do. traditions and expectations shared by group members. According to Cartwright there are four principal consequences of cohesiveness. Some individuals are leaders. This will make the group more organized Types of Group Norms There are two types of group norms. It is also psychologically more satisfying to all of its members. beliefs. According to Michael Argyle. During this stage.

For example. It refers to the attachment of members with the group. These norms tend to reflect motivation. "greet every customer with a smile''. Examples are. • Individuals of cohesive groups have no anxiety at the workplace. • Frequent interaction. • The history of the group and its members also plays a part in conformity. According lo K. However.• Behavior norms: Behavior norms are rules that standardise how individuals act while working on a day-to-day basis. Conditions where group norms will be strongly enforced are as follows: • If the norms facilitate group success or ensure group survival. Only those behaviors that sound to-be important by group members should be brought under control. • The members don't have conflicting views. Groups. like individuals. The following factors decrease cohesiveness: #53 . • 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. • Agreement on goals. Group Cohesiveness According to Rcnsis Likert. Moreover. new group members are also asked to follow the same. A group that lacks cohesiveness will not be very much coordinated. a new group member may have greater freedom to exhibit other behaviors. There are several factors consist of norm conformity. even very similar work groups may develop different norms-. etc. Uniqueness of Group Norms The norms of one group cannot be easily mixed with another group. support and trust one another and are generally effective at achieving their chosen goals. Performance norms: Performance number of hours worked. Managers should develop an understanding of the factors that increase and reduce group cohesiveness. • Favourable evaluation from outsiders. • Organizations gain from the members of cohesive group because they communicate better they share ideologies and respect opinions of fellow employees. commitment to the organization and therefore result in high level of performance. "do not come to committee meetings unless you have read the reports to be '"discussed"'. • Inter-personal attraction. • If the norms simplify or predict regarding the behavior which is expected from group members. if the group has always been successful by following certain behaviors. Some differences are primarily due to the difference in structure of the groups. Aswalhappa. Cohesiveness is the extent to which group members are loyal and committed lo the group and to each other. Reasons for Strong Enforcement of Norms • norms are rules that standardize employee output and Groups don't have the time or energy. • Cohesiveness increases productivity. • Members of cohesive groups are regular at their work. which decreases the chances of in clash among the views of group members at the workplace or elsewhere. If the group was not successful in the past. "cohesiveness is the attractiveness of the members towards the group or resistance of the members leaving it". 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. Its members will not support one another and they may face difficulty in reaching their goals. Attractiveness is the key to cohesiveness. which are as follows: • Some groups may exert more pressure for conformity than others because of the personalities of the group members. Advantages of Group Cohesiveness The advantages of group cohesiveness are as follows: • The members of cohesive groups have high morale. the members work well together. to regulate each and every action of the group members. try to operate in such a way that they maximize their chances of task success and minimize (heir chances of task failure. In a highly cohesive group. "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". groups want to increase morale and prevent any interpersonal discomfort to their members. Groups want to facilitate their performance and overcome barriers to reach their goals. The following factors can increase group cohesiveness: • Competitiveness with other groups. Norms that will help groups meet these aims of performing successfully and keeping morale high are likely to be strongly enforced.

Unpleasant experiences. In other words. REASONS FOR CONFLICT There are many reasons for conflicts among groups and its members. communication problems. An organization is an interlocking network of groups. • Group conflict: Are the conflicts arising within two or more groups due to difference in their attitudes and behavior. or a decision. Disagreement on goals. Horizontal conflict arises among the employees at same level. knowledge and understanding of conflict and the methods of resolving it are important. individuals because of their competitive roles. sections or work teams. which are of two types. conflict among groups of different interests is unavoidable. The conflict between production and marketing departments. TYPES OF CONFLICT The levels of group conflict are as follows: • Personal conflict: Are the conflicts that arise among employees. #54 . Paying attention to an area of responsibility is a worthy Endeavour. This may be due to horizontal differentiation and task specialization. differences in interests and goals. In organizations everywhere. Perceived conflict: Is a situation when both the groups realize that there exists conflict between them. Managers may either directly resolve the conflicts or they may act as mediators between two or more employees. Inter-group conflicts result from the ways in which organizations co-ordinate the work of different groups and distribute rewards among those groups. According to one survey. In either case. The success of an organization depends upon the harmonious relations among all independent groups. union and management are few examples of inter-group conflicts that arise because of incompatibility of goals.12 LEARNING AND BEHAVIOR MODIFICATION Learning Objectives After reading this lesson. Vertical conflict arises between higher and lower level of management. departments. two groups competing for scarce resources. The receiver of information should be considered when a group communicates an idea. • Infra-organizational conflict: Are the conflict arising between levels of an organization. but it can result in communication problems. Domination by one or more members. Manifest conflict: Is a situation when both the group try to frustrate each other. managers spend an estimated 20 percent of their time dealing with group conflicts. goal attainment by one group may reduce the level of goal attainment by other groups. LESSON . Misinformed receivers often become irritated and then hostile. different perceptions. The reasons for group conflicts are as follows: • Communication problems: Groups often become very involved with their own areas of responsibility. a proposal.• • • • • Large group size. Felt conflict: Is a situation when members involved in the conflict feel tense or anxious. you should be able to understand: • • Conceptual clarity about nature and levels of conflicts The sources and effects of conflicts to manage conflicts Conflict arises from difference of opinion between the group members while attaining the organizational goals. Some of them are related to limited resources. • Incompatible goals: Inter-group conflict arises because of goal incompatibility. Following is the sequence in which a conflict can arise: Latent conflict: Is a situation when the conditions for conflict arise. Competitiveness within group. Conflict outcome: Is a situation or consequence arising after the conflict is eliminated. line and staff departments. They tend to develop their own unique vocabulary. For example. attitudes and lack of clarity about responsibilities.

In sequential task interdependence. The greater the differences in goal and time between two groups. The goals of manufacturing groups are more specific and clear-cut than the goals of R&D 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. It may be the responsibility of either the personnel department or any of the functional departments such as marketing. For example. secrecy and closed communications. 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. 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. competitiveness. the more likely it is that conflict will arise between them while co-ordinating their work efforts. The confusion may also arise regarding who has the final authority to execute the final decisions. In simple words. there are three types of interdependence among groups. o Conflicting reward systems: Sometimes the ways in which reward systems in organizations arc designed create a situation in which one group can only. For example. Each group is dissatisfied will the quality or quantity of work received. To increase the amount of products sold. In such situations. Thus. the potential for conflict increases. 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. Second. A good example of task ambiguity is inter-group conflict arising in the recruitment of new employees. amenities. there is a possibility of conflicts. According to J. values and perceptions of members of various groups towards each other can be a cause and a consequence of the nature of their relationship. finance. o Sequential task interdependence: It arises when one group is unable to commence its work until the work of other group gets completed. conflict of this nature. o Task ambiguity: The lack of clarity over job responsibilities is called task ambiguity and it frequently leads to aggression between groups. the goals of different functional groups vary to a large extent. o Reciprocal interdependence: It arises between the groups. These differences between groups result in frustration. For example. o 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. which depend on each other for their respective task such as production department and quality department. a branch in Delhi does not need to interact with a branch in Chennai. Conflicting reward systems inevitably result in poor inter-group relations. Task ambiguity often arises where the organization is growing quickly or the organization's environment is changing rapidly. misinterpretation of the behaviors and activities of other groups. If the group relations begin with the attitudes of distrust. 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. First.• Task interdependence: Task interdependence means to what extent a work. o 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. Life and staff groups often have conflicts resulting from this type of interdependence. group relies on other organizational groups to complete its tasks. the output of one group becomes the input of another group. The conflict between management and the labor union-is the best example. This can affect the success of a group to accomplish their work in an effective manner. the line group may have to depend even more heavily on staff groups such as advertising. the potential for conflict is greater. DYNAMICS OF INTER-GROUP CONFLICT The following points are covered in the dynamics of an inter-group conflict: #55 . Such conflicts take place in the quantum of wages. Inter-group conflict arises from reciprocal task interdependence over difference in performance expectations. accomplish its goal at the expense of other groups. disagreements in their views and among themselves. working conditions and other related matters. Each party of the conflict competes with each other to get a larger share. arises because of the differences between aggregate demand of a group and available resources to meet them. Thompson. from the other group. which are as follows: o Pooled interdependence: It arises when groups have little interaction with each other but are affected by each other's activities. It can be said in genera] that as interdependence increases. it refers to the dependence of one group on another for resources or information. o Different perceptions and attitudes: The attitudes. 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. functional groups differ in their time perspectives.

• 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. attitudes and behaviors of the participants. representatives from financial institutions are included in the Board of Directors of a Company to participate in decision-making activities. • Contracting: It refers to the negotiation or an agreement between two groups. The changes that occur arc as follows: o There are distortions of perception about one's own group and about the other group. o Changes in relation between groups: The nature of the relationships between groups also changes markedly during inter-group conflicts. systematic changes take place in the perceptions. For example. 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. o The interaction and communication between groups' decreases. They are as follows: o The group demands more loyalty from individual members while facing an external threat. Afterwards'. • Encouragement: This is another indirect method to solve the group conflicts. • Persuasion: This is the indirect method.• Changes within each group: When there is inter-group conflict in an organization. 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 party undervalues the interests of the other group. It includes avoidance of direct approaches on the part of managers to solve among groups. But avoidance does not always minimize the problem. o There is increased ill feeling towards the rival group. For instance. But persuasion is possible only if there are no clashes between the groups and its members #56 . It becomes difficult for each group to see the positive behavior and attitude of the other group. Each group makes some compromises so that there can be some predictability and stability in their relationships. it is important for a group to respond quickly and in a unified manner to the activities of other groups. in which the groups find the areas of common interests among themselves. It includes encouragement on the part of managers to the groups so that they will be able to meet and discuss their differences. Matters can get worse if nothing is done and the groups can become more aggressive and unfriendly. For example. GROUP STRATEGIES TO GAIN POWER There are several strategies that various groups use to gain power in an inter-group conflict situation. they can find out a solution without the involvement of management. become directly involved. • Bargaining: This is the indirect method. allocution of responsibilities to different group members. the organization and structure of the work group becomes more rigid. a union might threaten to strike to pressurize management. one group may agree to give the other. 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. • Forming association: In forming an association. It leads to more coordination of activities. • Pressure tactics: These are applied to force other to use the most competitive strategy a group can use to gain power. In the face of an external threat. In an inter-group conflict. o There is a shift among the groups from a problem-solving motive to a win-lose motive. past differences and difficulties between group members are forgotten and group cohesiveness increases. Bargaining between two groups is successful if both groups are comfortable with the agreement between them. Union-Management relationships during contract negotiations are one of the examples of the group dynamics. Management reaction to disruptive inter-group conflict can take many different forms. contracting occurs between labor and management at the time collective bargaining. • Influencing decision criteria: Groups can also sometimes exert power lo change criteria for decision-making that are selected as the basic for resource distribution. This makes the accomplishment of the assigned task much easier. two or more groups cooperate or combine their resources in order to increase their power over other groups. • 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. in which the groups agree as to what each of them will get and give others regarding their work. POT example. The groups try to find out those interests levels where they have the same say. But management usually tries to minimize the conflict indirectly and if this fails. By doing so. o In an inter-group conflict. Members of groups co-operate with each other in order to compete more effectively with members of other groups.

For example. It includes the removal of the key figures in the conflict. greater integration or collaboration among groups is needed. But the disadvantage of this method is that it ignores the causes of conflicts and as a result. • Problem solving: Management can also establish a task force with representatives from groups in conflict to work on problems. o Managers can establish rules and standard procedures to regulate conflict in more constructive and effective ways. The key figures that are to be removed may be leaders of the groups and removing them could lead to greater conflict. In this. To improve the inter-group relations. • Removing the key figures in the conflict: This is another direct method to solve the inter-group conflicts. 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. #57 . When conflicting groups have to cooperate to accomplish a goal. conflict can be minimized. Management can use domination to minimize the conflicts by exercising its authority and power over the groups and their members. It is also difficult to pinpoint accurately the individuals who are the root-cause of conflicts. 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. o Managers should monitor reward systems to eliminate any win-lose conflicts among groups. o Appealing to super-ordinate goals. removing them is a possible solution. These are goals desired by two or more groups that can only be accomplished through the cooperation of the groups. The task force develops the ideas 'and procedures for improving group interaction and thereby attempt to solve the conflicts arising between the groups. the conflict situation frequently continues or gets worse over time.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. The final method to minimize the conflicts is to find super-ordinate goals. • Domination by the management: This method of solving inter-group conflicts emphasizes on improving the inter-group relations. group simply refuses to attack the other group. a wide profit-sharing plan of a company may encourage groups to work together. the conflicts among groups can reduce. o The use of co-operative approaches among groups in organizations often leads to more positive results than does the use of competitive approaches. If the profits of a company are distributed among employees at the end of the year. If a conflict arises because of personality differences between two individuals. a.

DEFINITION OF COMMUNICATION In modern society. Thus. sub-ordinates. facts. All other management functions involve communication in some form of directions and feedback. and management practitioners. communication is necessary. Since managers work with and through other people. Thus. some of the purposes of communication are: • • • • • • • To discourage the spread of misinformation. Broadly. ambiguity and rumors.1: Chain of Communication in Organizational Behavior Objectives of Communication Managements depend upon communication to achieve organizational objectives. The figure 13. This personal and behavioral exchange view of communication takes many forms. Accordingly. to whom. policies. it means who says what. Also there must be channel of communication for feedback. rules. To develop information and understanding among all workers. orders and procedures must pass through some kind of communication channel. which can cause conflict and tension. To foster any attitude. In practice. 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. To improve social relations among workers by encouraging intercommunication. Importance of Communication Interpersonal roles require managers to interact with supervisors. Communication Technology Interpersonal Technology Verbal Technology Figure 13. the communicative exchanges between people provide the sole method by which influence or effects can be achieved".1 can be used to identify the major categories of communication that arc especially relevant to the study of organizational behavior. for co-ordinated action. all their acts. This would satisfy the basic human need for a sense of belonging and friendship. the behaviors that occur in an organization are vital to the communication process. that is necessary for motivation. It is a way of reacting to the other person with ideas. To encourage subordinates to supply ideas and suggestions for improving the product or work environment and taking these suggestions seriously. In other words. communication is considered to be the most important and most effective ingredient of the management process. Communication is the process of transmitting information from one person to another. including members of the general public. Interpersonal communication is fundamental to all managerial activities. 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. Therefore.LESSON-13 ORGANIZATIONAL COMMUNICATIONS Learning Objectives After reading this lesson. effective management is a function of effective communication. cooperation and job satisfaction. effective communication is a basic prerequisite for the attainment of organizational goals. thoughts. This is necessary for group effort. organizational behavior scholars. peers and others outside the organization. feelings and values. the term communication is frequently and freely used by everyone. 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 labor management relations by keeping the communications channels open and accessible. #58 . through which channel and with what effect. To prepare workers for a change in methods of environment by giving them necessary information in advance.

Transmission After the message has been encoded. the more important the communication of information becomes. COMMUNICATION PROCESS The figure 13. Common channels or media in organizations include face-to-face communication using the media of sound waves. The greater the uncertainty about a task. both the sender and the receiver perform the encoding and decoding functions automatically. called the receiver interprets the meaning of the message through the process of decoding. Indeed. might call the research department to send the latest information on a particular market. The uncertainty resulted from the lack of information. A manager. it is transmitted through the appropriate channel or medium. physical actions and symbols such as numbers. gestures. idea. as a loop between the source and the receiver. communication is necessary to implement the decision and to evaluate its results. down and across the levels of the hierarchy of an organization. Communication of feelings can be very important to employee morale and productivity. facial expressions. a manager may communicate for all the purposes described above. for instance. Communication goes up. Communication also allows people to express their emotions. the familiarity of the sender and receiver and other situational factors. The first type of information that needs to be shared is what the goals of the organizations are. Communication is especially important for the task of decision-making. Employees who feel that they cannot vent their anger or express their joy on the job may feel frustrated and repressed. They also need directions for their specific tasks. most communication involves a combination of these. opinion or other information to someone else.Communication allows people to co-ordinate with each other by providing them with a way to share information. Market researchers. 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. there is a communication gap and misunderstanding is likely to follow. This process may be simple and automatic. pictures. can communicate with other groups about changes in the market place. Decoding The person to whom the message is sent. On any given day. can be reduced by communicating that information. letters and reports. The encoding process is influenced by the content of the message. your experience with the letter-writer and so on. light. People need to knowwhere they are heading and why. In the simplest kind of communication. Encoding The second step is to encode the message into a form appropriate to the situation. Source or Sender The communication cycle begins when one person called the sender wants to transmit a fact. #59 . but it can also be quite complex. Decision-makers must share their views on what the problem is and what the alternatives are. The encoding might take the form of words. Even when you are just reading a letter. you may need to use all your knowledge of the language. If the intended message and the received message differ a great deal. Once a decision has been made. graphs etc. for example.2 presents a general view of the communication process.

also known as face-to-face communication is the most prevalent form of organizational communication. The figure 13. weak signal due to bad weather etc. and the lost of transmission. It can be a disruption such as disturbance in a telephone line. which are written. they represent attempts to make communication more efficient and information more accessible. noise takes on a meaning slightly different from its usual one. The communication cycle continues when the receiver responds by the same steps back to the original sender. a group. generally someone outside the organization. Where one-way communication #60 . operations manual describe how to perform tasks and respond to work-related problems. A letter is a formal means of communication with an individual. 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. ORAL COMMUNICATION Oral communication. the nature of the message. which is called the feedback. Instruction manuals tell employees how to operate machines. Typically organizations produce a great deal of written communication of many kinds. Thus. or a memo.3 given below shows various forms each method can take. but less formal than letters. understand it or respond immediately. oral. a car driving by etc. They tend to deal with a single topic and are more impersonal. policy and procedure manuals inform them of organizational rules. Other common forms of written communication include reports. or an individual acting on behalf of a group. It can also be internal to the receiver such as tiredness or hunger or minor ailments. other people talking dosely. A performance appraisal form is an example. it might be something that keeps the receiver from paying close attention such as someone coughing. decide not to try to decode. which may affect the message. and non-verbal. METHODS OF COMMUNICATION There are mainly three primary methods of communication in an organization. The sender has generally little control over how the receiver will deal with the message. Reports generally summarize the progress or results of a project and often provide information to be used in decision-making. Probably the most common form of written communication in organizations is the office memorandum. Noise refers to any type of disturbance that reduces the clearness of the message being transmitted. Manuals have various functions in organizations. Considerations that affect the choice of method include the audience whether it is physically present. Memos usually are addressed to a person or group inside the organization. These methods of communication are often combined.Receiver The receiver can be an individual. Noise In the communication process. As such. The receiver may ignore it. manuals and forms.

• It allows for feedback and spontaneous thinking. it helps in avoiding delays. beliefs and feelings. facial expressions can be categorized as: #61 . causing disruption in its effectiveness. rules and regulations. • The receiver may receive the message in his own perception and thus misunderstand the intent of the message. • It provides a permanency of record for future references. • It conveys personal warmth and friendliness and it develops a sense of belonging because of these personalized contacts. specially for lengthy reports. tone of voice and facial expressions. According to Tipkins and Mc-Carter. • Organizational Communications • More or less or a different meaning might be conveyed by manner of speaking. Even some of the verbal messages are strengthened or diluted by non-verbal expressions. Advantages • It serves as an evidence of events and proceedings. letters. • Spontaneous responses may not be carefully thought about. The written communications are more likely to be well considered. These areas have to be covered in writing for efficient functioning of the organization. some of the environmental elements such as building and office space can convey a message about the authority of the person. red tape and other formalities. policy manuals. 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. Advantages Some of the advantages of oral communication are: • It is direct. then some distortions can occur during the process. WRITTEN COMMUNICATION A written communication is put in writing and is generally in the form of instructions. • There is no immediate feedback opportunity to be sure that the receiver has understood the message. • Confidential written material may leak out before time. It is most effective for leaders to address the followers via public address system or audio-visual media. • It leads to excessive formality in personal relations. Oral communication is particularly powerful because the receiver not only hears the content of the message. The more people the message is to pass through. The human voice can impart the message much more forcefully and effectively than the written words and is an effective way of changing attitudes. time saving and least expensive form of communication. • The spirit of authority cannot be transmitted effectively in verbal transactions. • It is more reliable for transmitting lengthy statistical data. It also ensures that everyone has the same information. In addition. pitch. if necessary. NON-VERBAL COMMUNICATION Some of the meaningful communication is conveyed through non-verbal ways. Disadvantages • There is no formal record of communication so that any misunderstood message cannot be referred back to what was actually said. The message can be checked for accuracy before it is transmitted. the greater is the potential distortion. • Lengthy and distant communication cannot be conveyed verbally in an efficient way. but also observes the physical gestures associated with it as well as the changes in tone. • Because the message is conveyed instantaneously. The message can be stored for an indefinite period of time. formal reports. • It can save time when many persons must be contacted at the same time. since faith. memos. • It reduces the likelihood of misunderstanding and misinterpretation. logical and clear. 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. Disadvantages • It can be very time-consuming. • If the verbal message is passed on. so that if the receiver js unsure of the message.is required. then oral communication may include public address system. information bulletins and so on. • It appears formal and authoritative for action. speed and volume of the spoken word.the long hierarchical chain of command. trust and sincerity can be much better judged in a face-to-face conversation rather than in written words. simple. Informal rumour mill or grapevine is also a popular form of oral communication.

arrogance. wink an eye for mischief or intimacy. #62 . Figure 13. 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. a chain network is developed.4 shows Wheel Communication Network. tap our fingers on the table for impatience and we slap our forehead for forgetfulness. Figure 13.force. 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. a wheel network develops. a small metal desk on a corner communicates the status of a low ranking officer in the organizational setting. Accordingly non-verbal actions have considerable impact on the quality of communication. folding of arms or sitting position in a chair. A handshake is probably the most common form of body language and tells a lot about a person's disposition. Communication Networks A communication network is the pattern of information exchange used by the members of a group. Some of the other body language symptoms are shrugging our shoulders for indifference. shyness. Informal groups that lack a formal leader often form an all-channel network that everyone uses to communicate with everyone else. As far as environmental elements are concerned.• 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". Other examples of body language are tilting of head. power and prestige such as that of a chief operating officer.5 shows Chain Communication Network. Our facial expressions can show anger. On the other hand. fear and other characteristics that can never be adequately communicated through written word or through oral communication itself. When the members of a group communicate mostly with the group leader. frustration.

For instance.7 shows All Channel Communication Network. The following factors influence the formation of communication patterns within small groups: Organizational Communications • 123 1. then circle network arises. a chain or wheel network is used. Type of Task: If the task of the group is simple. the manager may need to take action. 3. For instance. Managers must make use of all these characteristics and tendencies to help groups communicate and work most efficiently. #63 . who sees that a wheel network is forming around an experienced. group and organizational communication. all channel networks arises. Members' commitment to the group's work is defined by the centrality of the position of the members. The distance between members describes how far a message must travel to reach the receiver. FORMS OF ORGANIZATIONAL COMMUNICATION Although interpersonal and group forms of communication pertain even at the broadest organizational levels. they do not sufficiently describe the paths of all messages transmitted in organizations. If an assertive but irresponsible employee becomes the hub of such a wheel. as messages travel a long distance to get to the receivers. Figure 13. If the manager relies on a group to help make decisions. A manager.Figure 13. the manager may encourage silent group members to speak in order to get the desired decisions. The ease with which members can communicate with others is measured by members' relative freedom to use different paths to communicate. trusted employee might not interfere with the process. composition. The density of communication refers to the total quantity of communication among members. if members always sit around a table. it is much easier to have an all-channel network in a group of eight than in a group of eighty. a group with high density and distance can expect a lot of noise distortion in its communication. For hard tasks. 2.6 shows Circle Communication Network. All these provide insight into possible communication problems. Non-verbal communication is also important and can be a part of interpersonal. Group Performance Factors: The group performance factors like group's size. For instance. Environment: Environment including the group's seating arrangement and meeting place also affects communication patterns. norms and cohesiveness also affect the' formation of communication networks. Individuals can send and receive messages across whole organizational levels and departments by means of vertical communication or the informal communication network.

The content of upward communication usually includes requests. Each person is constantly sharing in the sending and receiving process and each person is affecting the other". In the transactional process. 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. performance feedback and information that the superior thinks are of value to the sub-ordinate. When these kinds of rumors are being spread. 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. "all persons are engaged in sending and receiving messages simultaneously. assignments. Other Form's of Communication One that has become especially popular is informally labelled as "management by wandering around". 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. Some of the organizational barriers and some of the interpersonal barriers to effective communication are discussed below: Noise Barriers Noise is any external factor. Informal networks are found in all organizations. it should be "transactional" communication. This will give managers. A message must be sent at an appropriate time to avoid these problems. but it develops a personal linkage between the superior and the subordinate. the communication is not simply the flow of information. For instance. which is mutual and reciprocal because. The term is derived from noise or static effects in telephone conversation or radio wave transmission. The content of gossip is likely to be personal information or the information about the organization itself. Downward Communication Downward Communication consists of messages moving down the hierarchy from superiors to sub-ordinates. new ideas and a better feel for the entire company. 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 content of downward communication often includes directives. there are personal factors. 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. They can hold open meetings and objectively discuss the issues that are being informally discussed already. Transactional Communication Wenburg and Wilmont suggest that instead of communication being "upward" or "downward" which is intercommunication. which interferes with the effectiveness of communication. There are certain external roadblocks to effective communication.Vertical Communication Vertical communication is the communication that flows both up and down the organizational hierarchy. suggestions or complaints and information the sub-ordinate thinks is of importance to the superior. Hence the manager must know when to communicate. Inappropriate Channel #64 . Upward Communication Upward Communication consists of messages moving up the hierarchy from subordinates to superiors. otherwise it will not achieve the desired result and a communication breakdown will occur. a last minute communication with a deadline may put too much pressure on the receiver and may result in resentment. In addition. This communication typically takes place between managers and their superiors or subordinates. false information or politically motivated information. For example. the grapevine in an organization may be carrying harmful information. Managers can also obtain valuable information from the grapevine and use it for decision-making. which affect communication. dealers and any one else involved with the company in any way. managers may need to intervene. Some of the sources contributing towards noise factor are: Poor Timing A message sent on poor timing acts as a barrier. Managers should have some control over the informal network. Informal Communication Another term for informal communication network is the grapevine. customers.

• A manager may make total assessment of a person based on a single trait. 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. 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. Some factors contributing to such disruptions are: • The managers may withhold important negative information. Organizational Structure Communication may be blocked. For example. 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. 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. • There may be professional jealousy resulting in closed channels. Perception Perception relates to the process through which we receive and interpret information from our environment and create a meaningful word out of it.Poor choice of channel of communication can also be contributory to the misunderstanding of the message. Too little or too much information endangers effective communication. For example. Some of these are: Filtering Filtering refers to intentionally withholding or deliberate manipulation of information by the sender. Different people may perceive the same situation differently. Cultural Barriers The cultural differences can adversely affect the communication effectiveness. but it not clean and decent. Semantic Barriers These barriers occur due to differences in individual interpretations of words and symbols. • The secretary may forget to forward a memo. that there is no dancing on Sundays and second. Information Overhead Overload occurs when individuals receive more information than they are capable of processing. Ambiguity in use of words will lead to different interpretations. This perception limits the manager's ability to effectively respond to and deal with individual differences and differing views of work situations. specially for multi-national companies and enterprises. he may perceive women to be less efficient managers. It could also be that the receiver is simply told what he wants to hear. 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. chaotic or distorted if the channels are not clear or if there are bottlenecks. Physical Distractions Any physical distractions such as telephone interruptions or walk-in visitors can interfere with the effective face-to-face communication process. that there is dancing on Sundays. "clean and decent dancing every night except Sunday". could lead to two interpretations. #65 . First. A pleasant smile may make a positive first impression. 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. 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. rather than unique and distinct individuals. • A manager may assume that his subordinate's perception about things and situations are similar to his own. 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. Improper or Inadequate Information Information must be meaningful to the employee and should be precise or to the point. The words and paragraphs must be interpreted with the same meaning as was intended. The result could be confusion or some important information may be laid aside for the purpose of convenience.

then the receiver will scrutinize the message heavily and deliberately look for hidden meanings or tricks and may end up distorting the entire message. and believe it specially if the message is related to the field of expertise. 2 Improve Listening Skills: Good listening habits lead to better understanding and good relationships with each other. Two-way communication. Some of the steps that can be taken in this respect are as follows: 1 Feedback: Feedback helps to reduce misunderstandings. if the source is believed to be an expert in a particular field then the listener may pay close attention to the message. Hence. The same message received when the receiver is angry. Similarly. Emotions The interpretation of a communication also depends upon the state of the receiver at the time when message is received. If the receiver has confidence. 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. • 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. • Do not jump to conclusions before the message is over and is clearly understood. a manager must not assume that a particular word means the same thing to all people who use it. Accordingly. positive or negative. which helps in building a healthy relationship contributing to communication effectiveness. Extreme emotions are most likely to hinder effective communication because rational judgments are replaced by emotional judgments. A wellwritten communication eliminates the possibility of misunderstanding and misinterpretation. Feedback is the only way to ascertain as to how the message was interpreted. avoids distrust and leads to trust and openness. the message is taken much more seriously and accepted at face value. selecting appropriate channels for communicating these messages. designing proper messages. Do not let your mind wander or be preoccupied with something else. otherwise it will create a barrier to proper understanding of the message. Feedback Barriers The final source of communication barrier is the feedback or lack of it. the managers must make sure that they use the word in the same manner as the receiver is expected to understand it. • Make sure that there are no outside interruptions and interference during the course of conversation. even though more time-consuming. Conversely. When writing message it is necessary to be precise thus making the meaning as clear as possible so that it accomplishes 3 #66 . your understanding of what has been said. • Ask questions to clarify any points that you do not understand clearly and reflect back to the speaker. assisting receivers of messages in correct decoding and interpretation and providing an efficient and effective feedback system.Sender Credibility When the sender of the communication has high credibility in the eyes of the receiver. Listen for feelings in (he message content and respond positively to these feelings. frustrated or depressed may be interpreted differently than when he is happy. • Summarize and restate the message after it is over to make sure about the content and the intent of the message. then the decoding and the interpretation of the message will lead to a meaning of the sender. 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. Some guidelines for effective listening are: • Listening requires full attention to the speaker. Multi-meaning Words Many words in English language have different meanings when used in different situations. trust and respect for the sender. if the sender is not trusted. otherwise you will not be able to grasp the meaning of the message in its entirety. • The language used tone of the voice and emotions should receive proper attention. Develop Writing Skills: Clearly written messages can help avoid semantic and perception barriers.

The response and feedback to the communication should determine whether the action to the communication has been prompt. • Do not be boggart down by rules of composition: While the rules of grammar and composition must be respected. Brief and Precise The ideas to be communicated must be well planned and clearly identified. The written communication should be polite and unambiguous. #67 . Accordingly. This will eliminate ambiguity so that the message will not be subject to more than one interpretation. Integrity The communication must pass through the proper channels to reach the intended receiver. Mode of Delivery While delivering the communication. Do not be brief at the cost of completeness. the organization. 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. questions. thus contributing to communication effectiveness. The people who are concerned must know exactly what they need and when they need the communication. it creates bickering. but be confident and definitive. and then the receiver will be more responsive to the communication. avoid negative statements like. Accordingly. but also the timing of the message and the environmental setting in which the message is delivered and received is equally important. Consult with others who are involved in Planning the Communication If people have participated in the planning process. The message must be clear. It should also fee based on future needs of the organization as well as individuals. Communication should be Comprehensive Communication should be complete so as not only to meet the present demands. It should also be brief so that only necessary and sufficients meanings are provided.4 the desired purpose. Consider the Receiver's Interest Take the receivers interests into account. The management must always be helpful in carrying out the intended message of the communication. they would be highly motivated to give active support to such communication. Use proper Follow-up All communications need a follow-up to ensure that these were properly understood and carried out. the established channels must be used as required. The communication flow and its spread must avoid bypassing levels or people. "I am not sure it will work". 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. expressions and emotions exhibited. The success of the communication also depends upon the tone of the voice if the communication is verbal. be specific and to the point. which leads to misunderstanding of the meaning or intent of the message. and feedback. When these concerned levels are omitted or bypassed. Accordingly. opinions and ideas in the fewest number of words possible. Sense of Timing The message should not only be timely so that the decisions and actions can be taken in tie and when necessary. confusion and conflict. precise and to the point and free from distortions and noise. The Ideas and Messages should be Clear. 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. The message will be lost if the words are complex and do not lend to a clear single meaning. • Be specific: Vagueness destroys accuracy. the management must be sincere and should earn the trust of the subordinates. openness and an atmosphere of trust builds healthy relationship and closes credibility gaps. but also to strengthen the basis for optimum results which depend upon the clear understanding of the desired communication. Luft. attentiveness to the receiver and so on. but express your thoughts. distrust. • Write concisely: Use as few words as possible. The management must clarify any part of the communication that may be necessary and must encourage comments. appropriate and accurate. they should not take priority over the ultimate purpose of the communication. Management should not only be sensitive to the needs and feelings of workers but also its promises should be supported by actions. According to the studies conducted by J.

Recently. #68 . Now cellular phones. E-Mail and Internet have made the communication quick and convenient. psychologists are beginning to discover some problems associates with these new advances in communication. the nature of managerial and organizational communication has changed dramatically. At the same time. It is now even possible for managers from different cities to meet by teleconferencing method without leaving their offices. mainly because of break through of the electronic technology and advent of computers.

According to Keith Davis. Leaders are the people who are accepted by the other individuals. Thus. Individuals can be induced to contribute their optimum towards the attainment of organizational goals through effective leadership. #69 . managers play the role of leader and acquire leadership of subordinates. • Leadership is a group activity. their efforts towards the achievement of organizational goals and activate the individuals of an organization to make them work. Leadership influences behavior of the individuals. • Leadership is continuous process of influencing behavior. DEFINITION Leadership is the art of influencing and inspiring subordinates to perform their duties willingly. 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. • A leader must have the capacity to recognize the potentials of the individuals and transform them into realities. "Leadership is the process of influencing the behavior of others in the direction of a goal or set of goals or. • Leadership is meant for a given situation. • A leader should have the confidence of the individuals of the organization. more broadly. the building of man's personality beyond its normal limitations". Leadership acquires dominance and the followers accept the directives and control of a leader. and confidence to the employees and helps in the attainment of goals in much easier way. to motivate behavior toward the achievement of those goals and to help define group or organizational culture. Leadership provides direction and vision for future to an organization. • A leader must be able to unite the people as a team and build up team spirit. "Leadership is both a process and a property. leaders are people who are able to influence the behavior of others without recourse to threats or other forms of force towards the individuals. As a process. According to Wendell French. • Leadership uses non-coercive methods to direct and coordinate the activities of the individuals of an organization. In business and industrial organizations. According to Koontz and O'Donnell. as a superior person to them. As a property. "Leadership means the lifting of man's visions to higher sights. “Leadership is the process of encouraging and helping others to work enthusiastically towards objectives”. "Leadership is the art or process of influencing people so that they will strive willingly towards the achievement of group goals". According to Peter Drucker. According to Grey and Starke. it is used for noncoercive influence lo shape up the goals of a group or organization. guidance. a vision for future. It encourages liveliness in the group. leadership is the set multi characteristics attributed to those who are perceived to be leaders". given group for a pre-determined period of lime. Leader influences his followers and followers also exercise influence over his leader. 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. competently and enthusiastically for achievement of groups objectives. • Leadership gives the individuals. It provides direction. FEATURES OF LEADERSHIP The features of leadership are as follows: • Leadership is the process of influencing behavior of individuals of an organization. It has an ability to attract others and potential to make them follow the instructions. toward a vision of the future”. • Leadership directs the individuals to attain the tasks assigned to them by following the instructions of their leaders.LESSON -14 LEADERSHIP IN ORGANIZATIONS Learning Objectives After reading this lesson. • A leader possesses qualities to influence others. the raising of man's performance to higher standard.

Benevolent Autocrat: Benevolent autocrat leader uses positive influences and develops effective human relations. Laissez-faire or Free Rein In this type of leadership. But he makes all decisions by himself. Leaders give more freedom to their group members. Non-compliance of his orders also results jn punishment. there is a complete centralization of authority in the leader. 3. He creates a feeling in the minds of his subordinates and workers that they are participating in decision-making processes. Hard Boiled or Strict Autocrat: Leader. Manipulative Autocrat: Leader. He uses coercive measures and adopts. It is. therefore. who feel that. 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. It develops a sense of confidence among subordinates and they derive job satisfaction. A leader should act as a link between the work groups and the forces outside the organization. there are following three types of leaders in autocratic: 1. under such type is manipulative in nature. Filippo. • Managers have formal authority but the leaders have no such authority. Members may feel insecure and develop frustration for lack of decision-making authority. Any negligence on the part of subordinates results in punishment. there is virtual absence of direct leadership. negative method of motivation. their opinions arc honored and they are given importance. • Management is a process of planning. Participation or involvement of the employees in the decision-making process is also rewarded. • All leaders are not managers and all managers are leaders. It is. He has all the powers to make decisions. There is no participation from the subordinates in decision-making. Leadership on the other hand. In this type of leadership. He wants immediate obedience of his orders and instructions. He is known as paternalistic leader. as a lot of time is wasted while taking the views from the employee. There is complete delegation of authority to subordinates so that they can make decisions by themselves. Democratic or Participative Democratic or Participative leadership is also known as group centered or consultative leadership. It improves quality of decision as it is taken after due consideration of valued opinions of the talented group members. He is quite rigid on performance. authority is centered in the leader himself. organizing. known as "no leadership at all". very time consuming. TYPES OF LEADERSHIP Following are the main types of leadership: Autocratic or Authoritarian In this type of leadership. Non-compliance of his orders results in punishment.• • • • • • A leader should be able to maintain discipline among his group and develop a sense of responsibility. A successful manager must possess both the managerial and leadership qualities. A leader should try to raise the morale of the individuals and should maintain ethical standards among the individuals. Absence of leadership may have both positive and negative effects. Difference between Leadership and Management Leading and managing go together but some differences exist between the two. 2. Exchange of ideas among subordinates and with the leader is given encouragement..e. He feels happy in controlling all the actions of his subordinates. i. A leader thinks that he is the only competent person in the organization. Free rein leadership may be effective if members of the group are highly committed to their work. • The management establishes relationship through a lawful authority while leadership establishes relationship through power. Leadership has an emotional appeal while management acts on rationality. under such type uses negative influence and expects that the employees should obey his orders immediately. directing and controlling the activities of others to attain the organizational objectives. The negative aspect shows that the leader is not competent enough to lead his group effectively. According to Edwin B. therefore. A leader should motivate his people to achieve goals. is a process of influencing the behavior of the people to attain their assigned tasks. A leader must be able to build up a high morale among the individuals of the organization. Leaders encourage discussion among the group members on the problem under consideration and arrive at a decision depending on their consent. He praises his employees if they follow his orders and invites them to get the solutions of the problems from him. He makes all decisions and does not disclose anything to anyone. #70 . The demerit of this type of leadership is that it takes more time to arrive at a decision. leaders consult their groups and consider their opinion in the decision-making process.

The behavior of a leader is determined by the rules. Paternalistic The paternalistic leadership believes in the concept that the happy employees work better and harder. He should remember that leadership is situational. The existence of these traits determines the importance of leadership. Due to such attitude. initiative and understanding of interpersonal human relations. They differ in quality. Manipulative This type of leadership manipulates the employees to attain their assigned tasks. psychological and physical traits of strong leaders. • It is difficult to define traits in absolute terms. Expert Leadership The expert leadership emerged as a result of complex structure of modern organizations. themselves cannot do anything in this regard. The manager should assess the situation and adopt that type of leadership. the use of leadership among its various types also changes. They exhibit different behaviors as they differ in attitude and outlook also. #71 . It maintains that the fatherly altitude is the right one for better relationship between the manager and the employees. assertiveness. Since all individuals do not have these qualities. The employees. self-confidence. THEORIES OF LEADERSHIP A number of theories and approaches to study leadership have been developed. Therefore. • Some traits may not be inherited. It is the rules that determine their performance. A manipulative leader is quite selfish and exploits the aspirations of the employees for his gains. there is no difference between the management and the administration in this type of leadership. the leadership traits might include intelligence. • Trait Theory • Behavior Theory • Contingency Theory (a) Trait Theory This theory of studying leadership is taken into consideration to analyze the personal. but can only be acquired by training.Bureaucratic This type of leadership emphasizes the rules and regulations of an organization. The leader and the subordinates both follow these rules and regulations. Possession of these traits helps the individuals to gain possession of leadership. • It does not identify the traits that are most important and that are least important for a successful leader. the trait theory has been criticized for lack of conclusiveness and predictability. (b) Behavior Theory The behavioral theory assumed that effective leaders behaved differently from ineffective leaders. There are broadly three theories of leadership. above average height. knowledge and competences. The assumption made in this theory was that some basic traits or set of traits differentiates leaders from non-leaders. he has to face the hatred of the employees at times. Everyone within the organization should work together like a family. 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. • 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. which suits that situation. This theory can be more clearly understood with the help of following case studies. For example. only those who have them would be considered potential leaders. determination and their attitude towards the organization. human resources vary in terms of skill. In modern organizations. in spite of the required traits. A successful leader is the one who assesses the situation. He knows very well the needs and desires of the employees but he does very little to fulfill them. If situation changes. This type of leadership is based on the ability. He handles the situation skillfully with his talent. knowledge and competence of the leaders. • Thus. Some of the weakness of this theory is: • All the traits are not identical with regard to essential characteristics of a leader. It also identified the need of consistency of behavior of good leaders. The employees feel relieved as they are working under a person who is expert and can handle the situation without any problem. regulations and procedure to be followed under his leadership. The leader must understand their behavior and accordingly can make use of the various types LEADERSHIPS. • It does not explain the leadership failures.

But the researchers could not come up with one best combination of behavior suitable to all the situations. began studying leadership in the late 1940s. the Michigan studies identified two forms of leadership behavior. The Ohio State researchers found that a leader’s behavior remains consistent over a period of time. which are discussed as below: • #72 . A high total score is assumed to reflect a relationship orientation and a low score. This factor is determined by leader-member relations.other words. which focuses on. The leader also establishes formal lines of communication and determines how tasks will be performed. which are as follows:  Initiating-structure behavior: In initiating-structure behavior. Fielder identified two types of leadership: task-oriented and relationship-oriented. 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.  Employee centered leadership behavior: The second behavior was identified as employee centered leader behavior. but not both. task-structure and position-power. They can do this by marking in a set of sixteen scales at each end. which means that a leader could exhibit varying degrees of initiating structure and consideration at the same time i. However. (c) Contingency Theory The main assumption of contingency theory is that the behavior of an appropriate leader varies from one situation to another.Relaxed 12345678 Boring ------------------. Thus.Frustrating 8 7 6 5 4 3 2 1 Tense ------------------. which focuses on performances and efficient completion of the assigned tasks. whereas leaders rated highly on consideration structure had lower-performing sub-ordinates who showed signs of higher satisfaction. a task orientation by the leader. high performance standards to be accomplished. The researchers used to believe that the leaders in possession of both types of behavior are most effective. they assumed the behaviors to be independent variables. 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. A job-centered leader interacts with group members to explain task procedures and oversee their work. Fielder used the Least Preferred Co-worker (LPC) scale to measure the type of leadership. the leader clearly defines the leadersubordinate roles so that everyone knows what is expected. They are discussed as below:  Job-centered leadership behavior : The first was called job-centered leadership behavior. The Ohio State leadership studies also identified two major kinds of leadership behaviors or styles. He attempts to establish a warm. if the situation also remains same. by a positive or negative adjective. Rather. In order to understand the full complexity of leadership. led by Rensis Likert. For example. three of the scales Fielder uses in the LPC are: Helpful -------------------. the leader's primary concern is the welfare of the ordinates. This can be done by developing a cohesive work group and ensuring that employees are satisfied with their jobs. a group of researchers at Ohio State also began studying leadership. a particular leader could have higher ratings on both measures. low ratings on both or high ratings on one and low on the other. personality or some other unknown factor.The Michigan Studies: Researchers at the University of.e. the leader shows concern for subordinates feelings' and ideas. friendly and supportive.  Consideration behavior: In consideration behavior. A leader is asked to describe characteristics of the person with whom he or she is least comfortable while working.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. their studies at International Harvester found that leaders rated highly on initiating structure behavior have higher performing but dissatisfied sub-ordinates. Depending on broad discussions with both the managers and sub-ordinates. • The Ohio State Studies: At about the same time. Michigan. The Michagan researchers thought a leader could show signs of one kind of behavior. In. 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 LPC measure is controversial because researchers disagree about its validity. This is because some of the LPC measures show whether the score is an index of behavior. a leader is either task-oriented or relationship-oriented while leading his group members. According to Fielder. Fielder believes that a leader's tendency to be task-oriented or relationship oriented remains constant. contingency theory is to be studied. Most experts now agree that no single set of traits or behaviors appears to be common to all good leaders. the contingency factor favours the situation from the leader's point of view.

directive leadership is less effective than when structure is low. In other words a leader cannot change his behavior to fit a particular situation. Sub-ordinates do not usually need their boss to repeatedly tell them how to do a routine job. Environmental characteristics are factors. participative and achievement-oriented. respect. • Task-structure: Task-structure is the degree to which the group's task is clearly defined. structure is assumed to be low. administer rewards and punishment. However. Path-goal theory says that a leader can motivate subordinates by influencing their expectations. when relations are good but task structure is low and position-power is weak. Good relations are assumed to be favourable and bad relations unfavorable. when structure is high. When the task is non-routine. This model identifies four kinds of leader behavior: directive. If the leader has the power to assign work. LI relationshiporiented leader is considered to be most effective. to look after their needs and ensuring that they get the rewards and benefits. these environmental factors can create uncertainty for employees. complex. if they do not like one another. When the situation includes good relations. For instance. the leader will not have to pay much attention. The figure 14. the leader may be directive in giving guidance and instructions to them. If the task structure is low. 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. relations will remain good. while leading a new group of sub-ordinates. the leader may use achievement-oriented behavior to encourage continued high performance of sub-ordinates. • #73 . If the leader does not have required powers. If there is little trust. For instance. confidence and they like one another. According to the path-goal theory. Fielder and his associates conducted various studies highlighting if a situation favors the leadership and group effectiveness or not. the structure is assumed to be high. When the task is routine. position-power is assumed lo be strong. It includes task structure. which is measured by the LPC is inflexible and cannot be changed. • A final point about LPC theory is that. supportive. Fielder argues that any particular-type of leadership. strong position power is favourable and weak position power is unfavorable. Leaders can motivate sub-ordinates by making clear what they have to do to get the reward they desire. High structure is more favourable for the leader and low structure is unfavorable. He may also adopt supportive behavior to encourage group cohesiveness.1 shows the path goal model of leadership. recommend employees for promotion or demotion. (d) The Path-Goal theory The path-goal model of leadership was introduced by Martin Evans and Robert House. A leader who helps employees reduce such uncertainty can motivate them. Finally. and unambiguous and when the group has standard procedures. According to this model managers can adjust their behavior to include any four kinds of leadership behavior mentioned above. the leader may use participative behavior by which he can participate with employees in making decisions and take their suggestions as well. easily understood. respect or confidence and. From the leader's point of view. If the task structure is high. which are beyond the control of subordinates. the positionpower is weak. • Position-power: Position-power is the power vested in the position of a leader in an organization. high structure and strong power. 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. The path-goal model assumes that leaders can change their style or behavior to meet the demands of a particular situation. the leader will have to play a major role in guiding and directing the group's activities. with no standard procedures and precedents.Leader-member relations: A Leader-member relation refers to the nature of relationship between the leader and his work group. a risk-oriented leader to lie most effective. relations will remain bad. ambiguous. If the leader and the group enjoy mutual trust.

The appropriate leadership depends on the situation. a new office for that individual only. there are two autocratic types of leadership. Two of them are used when the problem affects the entire group. to which employees should participate in the decision-making processes. but the theory emphasizes that leaders can use the control they want. 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. A = Autocratic. For example. Decision acceptance is the extent to which employees accept and are loyal to their decisions. to adjust the environment and to motivate sub-ordinates. which are AI and All. which are CI and CII and the other one is group GII. the VYJ theory suggests that leaders adopt one of five decision-making leaderships. (e) The Vroom-Yetton-Jago Theory (VYJ) The Vroom-Yetton-Jago model was first introduced by Vroom and Yetton in 1973 and was revised by Vroom and Jago in 1988. Subordinates do not meet as a group and the manager alone makes the decision. AII Manager asks for information from subordinates but makes (he decision alone. Decision-Making Styles in the VYJ model Decision Style Description AI Manager makes the decision alone. C= Consultative. As summarized in the following table. To maximize decision effectiveness. the leader uses one of the four decisions.g. two consultative types of leadership. e. It helps a leader to determine the extent. Sub. CI Manager shares the situation with individual subordinates and asks for information and evaluation. 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. G II Manager and subordinates meet as a group to discuss the situation and the group makes the decision. #74 .ordinates may or may mil be informed about what the situation is. To address the questions. This model has a much less focus than the path-goal theory.Leaders do not always have control over environmental factors. C II Manager and subordinates meet as a group to discuss the situation but the manager makes the decision. G = Group The situation is defined by a series of questions about the characteristics or attributes of the problem under consideration.

fact that leaders actually have different kinds of working relationship with different subordinates.Moreover. job design and leaders can also effectively use behavioral management. nurses. Charismatic leaders are self-confident and can influence others. • Life Cycle Model: The life cycle model suggests-that appropriate leader behavior depends on the maturity of the followers. Their personal skills model. For example. These people constitute the ‘in-group’. the situations where the leadership is not needed. Research shows that people in the ‘in-group’ are more productive and more satisfied with their work than ‘out group’ members. increase at a moderate rate and then decline again. when a patient is admitted to an emergency room in a hospital. motivating others and managing conflict. The model suggests that as followers become more mature. For example. Several characteristics of the sub-ordinate may serve to replace or change . For example. Each manager-subordinate relationship represents one vertical dyad. The followers of a charismatic leader identify with the leader's beliefs. there are other contingency models or theories developed in recent years. When the task is challenging. the subordinate may not need direction. it has received little scientific support from researchers. #75 . are especially comprehensive and useful. creativity. accept. training. Although there are many skills. Transformational Leadership Another new concept of leadership goes by a number of labels: charismatic leadership.techniques such as. For example. such as cultural flexibility. The Vertical Dyad Linkage model suggests that leaders establish special working relationships with some subordinates based on some combination of respect. The VYJ model was criticized because of its complexity. Charisma is a form of interpersonal attraction. Although the VYJ model is too new to have been thoroughly tested. evidence so far indicates that this model can help leaders to choose the most effective way to include the sub-ordinates in decision-making. involving communicating supportively. leadership may not be needed. In this context. a strong need for independence by the sub-ordinate may result in ineffectiveness of leaders’ behavior. HRD. OTHER CONTINGENCY APPROACHES In addition to these three major theories. The other models are as follows: • Vertical Dyad Linkage Model: This model stresses the . competence and experience. the task and the organization replace leaders' behaviors. Computer software has been developed to aid leaders in defining the situation.the behavior of the leaders. the subordinate may not need or want support. inflexibility and a rigid reward structure. Organizational characteristics that may substitute for leadership include formalization group cohesion. the leader's employee-oriented behavior should start low. trust and liking. symbolic leadership and transformational leadership. Leadership Skills There is now recognition in both leadership theory and practice of the importance of skills. involving developing self-awareness. communication. increases teaming experiences and inspires new ways of thinking. Other subordinates remain in the ‘out-group’s. the leader needs to move gradually from high to low task orientation. Simultaneously. and self-management of learning. the widely recognized organizational behavior . employees with much ability and experience may not need to be told what to do. doctors and attendants act immediately without waiting for directive or supportive behaviors of leaders in an emergency ward. Substitutes for Leadership The existing leadership theories and models try to specify what kind of leader’s behavior is appropriate for different situations. inspirational leadership. who receive less of leader's time and attention. Characteristics of the task that may substitute the leadership include. This is a leadership that transmits a sense of mission. answering the questions about the problem attributes and developing a strategy for decisionmaking participation. maturity includes motivation. However. how leaders should behave and perform effectively. the availability of feedback and intrinsic satisfaction. The substitute concept identifies the situations where the characteristics of the subordinates. They do not take into consideration. Those in the 'ingroup' receive more of the manager's time and attention and are better performers. the research-based skills identified by Whetten and Cameron seem to be most valuable. when policies are formal and rigid. trust and obey the leader without questioning him and thereby contribute toward the success of the organizational goals. Finally. Similarly. Many leaders are familiar with the life cycle theory because it is both simple and logical. managing stress and solving problems creatively. Charismatic people attract followers and this type of leader has great power over his or her followers. EMERGING PERSPECTIVES ON LEADERSHIP IN ORGANIZATIONS The new perspectives that have attracted attention are the concepts of substitutes for leadership and transformational leadership. the interpersonal skills model. 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. when the job is routine and simple. gaining power and influence.

rather than feeling controlled by the situation they are facing. The positive stress is also called the eustress. If one operates in a very low stress environment and constantly experiences boredom. it is possible to raise one’s capacity to handle in different situations. Third source is problems in personal lives. There are both positive and negative stresses that come from our work and nonwork lives. 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 #76 . and apathy sets in. The more successfully one handles a stressful situation without panicking or getting overwhelmed by it. 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. Rice. For example. the motivational level to work reaches a low. they also anticipate them eagerly and look forward to the additional challenges. point. and researchers in management have all studied its causes and its symptoms. As pointed out by Near. and thinking of things other than work during work hours. the more confidently will the individual face further stressful situations. there are certain other types of work that are very threatening and anxietyarousing. which may ultimately lead to turnover. and Hunt (1980) and Sckaran (1986). In these cases. Psychological withdrawal will result in careless mistakes being frequently made. depression in the economy can create negative stress for sales personnel. then the individual gets bored. Stress is defined as "the reactions of individuals to new or threatening factors in their work environments”. rewards. and excitement. adding further tension to an already stressful work situation. that stress will be carried over to the home. However. because they will be much more anxious about making sales commissions and sales quotas. Thus. which can spill over into the work environment. Physical withdrawal will manifest itself in increased rates of tardiness and absenteeism. One major source of job stress is the job itself. For every individual there is an optimum level of stress under which he or she may perform to full capacity. internal locus of control and selfesteem seem to effectively handle a high level of stress. among others. and how pleasant those interactions are all influences of how much stress an individual experiences at work. 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. SOURCES OF STRESS Stress is a reality of our everyday life. Interpersonal relationships are a second source of job stress. the person is likely to psychologically or physically withdraw from work. promotions to new jobs present employees with positive stress. For example. psychiatrists. each individual can sense and determine how much stress is functional for an individual to operate in a productive manner. and have defined the term in a variety of different ways. forgetting to do things. People with an internal locus of control also handle stress well since they feel they are in control of the situation. Stress can be either positive or negative. This makes it possible for them to manage their environmental stress without experiencing its harmful effects. if one experiences stress at work. Though the optimum stress level is different Form different individuals. Research indicates that those who possess high tolerance of ambiguity. The stresses and strains experienced in one domain are carried over to the other. Thus. the new and uncertain job situations create positive stress. The way the job is designed. Some new work situations can bring us positive challenges and excitement. 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. the work and non-work domains of one's life are closely interrelated.LESSON -15 STRESS MANAGEMENT Learning Objectives After reading this lesson. If the stress experienced is below this optimum level. how much time he or she deals with clients or consumers. Employees may feel anxious about their new work assignments. Physicians. How much contact an individual has with coworkers and managers. 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.

• Environmental factors of stress include sudden and unanticipated changes in the marketplace. For example. coworkers. budget. When one has to produce and perform with inadequate resources on a long-term basis. 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. This inconsistency of expectations associated with a role is called role conflict. the financial market and so on. radiation and smoke are stress-inducing agents. could be said to experience role underload. • Role Ambiguity: When there is a lot of uncertainty surrounding job definitions or job expectations. which can cause stress. raw materials. • Organizational climate: The overall psychological climate of the organization can create stress. Role ambiguity is anxiety arousing among employees that leads to job stress. people experience role ambiguity.• • o Dealing with people in other departments o Organizational climate Organizational Factors 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. • Structural factors in the organizational setting such as staff rules and' regulations and reward systems. employees develop a generalized anxiety. distant. salespeople in a store with no customer. Tensions arise because one might have to contend against one's own colleagues who might be close friends. space or manpower also induce stress in the work environment. technology. • Amount of contact with people in other departments: Having contacts with people outside one's own department creates a special sort of stress. increased frequency of nervous symptoms and increased health problems. supervisors. • Role Overload: Role overload is a situation in which employees feel they are being asked to do more than time or ability permits. Personal Factors #77 . are as follows: • Amount of contact with others: Jobs vary in terms of how much interpersonal contact is built into them. this naturally imposes stresses and strains on the individuals who are responsible for getting the job done. Three aspects of interpersonal relationships at work. subordinates. • Lack of career promotion in organizations may be sometime cause stress. • Role Underload: Role Underload is the condition in which employees have too little work to do or too little variety -in their work. A role is simply the set of expectations that other people in the organization have for an individual. and that they cannot meet all those expectations. • 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. or clients. • Role Conflict: Often employees discover that different groups of people in an organization have widely varying expectations of them. in conflict. role underload leads to low self-esteem. a diffuse feeling of dread about upcoming meetings and interactions. Too much prolonged contact with other people can cause stress. • Insufficient resources such as time. customers and suppliers expect an employee to behave in certain predictable ways. People in other departments do not always have an adequate understanding of jobs outside their own areas. or too high for the employee to meet within the time allotted. Working under time pressure is especially stressful. Interpersonal Relationships Another major source of stress in organization is poor interpersonal relationships with supervisors. heal. coworkers. which results in stress. standing around all day with nothing to do. may cause stress. When day-today life in an organization is marked by unfriendly. poor lighting. Organizational Factors Following are the organizational factors that cause stress in individuals: • Work environment factors such as noise. Ironically. which have a negative impact on job stress. and he or she experiences stress. The expectations others have of an employee arc sometimes unclear. When interpersonal relationships at work are unpleasant. For example. and may fear of reprisal and other undesirable consequences. employees are continually tense and this causes stress. more and more employees arc experiencing job stress as a result of role ambiguity. or hostile exchanges. With the recent increase in mergers and acquisitions among major organizations.

dryness of throat.. For instance. impulsive behaviors. poor image and loss of future business are enormous. Spouse abuse.Employees’ personal lives have a marked effect on their lives at work. mental blocks and inability to make decisions. boredom. These arrangements help to reduce the anxiety and stress for the moving family. will also decline as excessive stress is experienced. child abuse. Breaking-down the job into various components clarifies the role of the job for the entire system. i. and even divorce could result from dysfunctional coping mechanisms. having jobs with less status. This also helps to eliminate reduction of work and thus lowering down the stress level. eczema. and experience their new work environments as unpredictable. high blood pressure. There are several ways in which stress can be handled so that the dysfunctional consequences of stress can be reduced. such as drinking or withdrawal behaviors. They have more energy and patience for dealing with problems at work.e. On the other hand. the ability lo function effectively in one's daily life. depression. nervousness. it is important for individuals to optimally manage their stress level to operate as fully functioning human beings. if employees are having some personal problems. 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. When geographical moves arc undertaken as part of a job transfer. The transferred employees are likely to feel out of control at work. apathy. depression. excessive eating. alienation from family members.e. their families and for the organizations they serve. high rates of absenteeism and poor decision-making. or that of an airline pilot. and withdrawal behaviors. increased alienation of the worker from the job. EFFECTS OR CONSEQUENCES OF JOB STRESS Negative stress has unpleasant consequences for them. and even destructive and aggressive behaviors resulting in strikes and sabotage. 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. and anger. The stresses experienced by employees who take on critical roles and are responsible for safety can sometimes be detrimental to the public. they might be more tense or distracted when they go to work. Consequences for the Family Negative stress. they are more likely to be upbeat and optimistic. 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. and other psychosomatic disorders. If things are going well personally. i. short attention span. fatigue. Needless to say that the costs of employee stress to the organization in terms of lost profits. drinking. the moves can be even more stressful. Sometimes experiencing the stress may cause aggressive behaviors on the part of the individual. or air traffic controller may result in serious accidents. #78 . • The physiological effects can be seen in increased heart and pulse rate. too. asthma. will have an adverse effect on their home life. navigator. the stresses experienced by a train driver or railway guard. Consequences to Organizations The adverse consequences on an organization include low performance and productivity. It also leads to lost of customers because of poor worker attitudes. A second career concern that can cause employees stress is status incongruity. Job Relocation Job relocation assistance is offered to employees who are transferred. • The manifest health effects could be stomach disorders. • Geographical Mobility: Geographical moves create stress because they disrupt the routines of daily life. Since the body has only a limited capacity to respond to stress. power and prestige than they think they deserve. 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 behavioral effects arc manifest in such things as accident proneness. the mental health. and excessive sweating. by finding alternative employment for the spouses of the transferred employees and getting admissions in schools for their children in the new place. smoking. • The cognitive effects include poor concentration. which is handled by individuals in dysfunctional ways. In addition.

meditation to career counseling. So it is necessary that some help should be provided before doing the work that would lead to much efficient. Then. participants are given materials to help them identify the major sources of stress in their own lives. Delegation can directly decrease workload upon the manager and helps to reduce the stress. It also makes the employees aware of what additional educational qualifications or specialized technical training. handling conflicts at the work place. Individual Stress Reduction Workshops Some organizations have also sponsored individual stress reduction workshops for their employees. participants are given a basic understanding of the causes of stress and its consequences. which offer a variety of assistance to employees. Health Maintenance Probably the most frequently used organizational stress management program is health maintenance. help to reduce the stress levels of the employees. Many companies invest large sum of money in gym and sport facilities for maintaining the health of the employees. Managers are trained to give better performance appraisals. Employee Assistance Program Another widely used strategy is the employee assistance Programs. dealing with marital and other family problems. effective work. to listen to employees’ problems more effectively. if any. These programs include biofeedback. Delegation Another way of coping with job stress is to delegate some responsibilities to others. Career Counseling Career Counseling helps the employee to obtain professional advice regarding career that would help the individual to achieve personal goals. and to communicate job assignments and instructions more clearly. It would also reduce anxiety and stress among the employees. and some strategies for dealing with that stress more effectively. In lectures and seminars. The emphasis on supervisory training Program is how to prevent job stress. (hat they should acquire. Supervisor Training Another type of stress management Program that organizations are experimenting with is supervisor training. time management and interpersonal skills workshops. By becoming knowledgeable about the possible avenues for advancement. Time Management Another way of coping with stress is to manage time more effectively. These include counseling employees who seek assistance on how to deal with alcohol and drug abuse. People can learn to get better organized so that they can do their work more efficiently. arranging group meditation programs. #79 . 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. ! 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.Recreational Program Providing recreational facilities.

Reward Power This type of power is the extent to which one person has control over rewards that are valued by another. This power occurs when the expert threatens to withhold his knowledge or skill. Power is a factor at all levels of most organizations. A manager’s coercive power increases with the number and severity of the sanctions over which the manager has control. is personal and does not have any legitimacy. Authority is institutional and is legitimate. It is the potential ability of a person or group to influence another person or group. Perhaps. behavior or perspectives have changed as a result of their interaction.LESSON-16 POWER AND POLITICS Learning Objectives After reading this lesson. reward. • 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. For instance. it does not need an official position or the backing of an institution to have power. it tends to create resentment and hostility and therefore is usually detrimental to the organization in the long run. Power. there is difference between the two. The structure of the organization also identifies the strength of the legitimate authority by position location. Since any person who is not easily replaceable has more power as compared to those who are easily replaceable. and knowledgeable. a manager can cause psychological harm also lo an employee. P. If the sub-ordinates view their superior as competent. Organizations vary in how much legitimate power they grant to individuals. naturally they will obey and respect the superior. coercive. the greater the power. POWER AND AUTHORITY Sometimes power and authority is used synonymously because of their objective of influencing the behavior of others. Power does not have any legal sanctity while authority has such sanctity. power is a crucial factor in influencing the behavior in organizational situation. French and Bertram Raven identified five bases or sources of power: legitimate. that a low-ranking worker has important knowledge not available to a superior. Manager who uses praise and recognition has also a good deal of power. The organization gives managers the power to direct the activities of their subordinates. 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. granted. Legitimate Power A person's position within organization provides him with legitimate power. To the extent. promotions and valued office assignments. It can be a factor in almost any organizational decision. A manager who has complete control over such rewards has a good deal of power. Both formal and informal groups and individuals may have power. you should be able to: • Know the meaning and sources of power. demotion or other method of embarrassment for the people. accept and be willing to follow him or her. special skill or knowledge. Sources of Power John R. Coercive Power People have. suspension. Although the use of coercive power is often successful in the short run. One person has influenced another if the second person's opinions. In such organizations. But stilt. Influence can take many forms. changed or withdrawn by the formal organization. The greater the perceived values of such rewards. on the other hand. Legitimate power is similar to formal authority and hence it can be created. It is the ability to get things done the way one wants them to be done. expert and referent power. everyone knows who has the most power and few people challenge the power structure. 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. Expert Power It is more of personal power than organizational power. he is likely to have more power. Organizational rewards include pay. Expert power is that influence which one wields as a result of one's experience. However. People with referent power are often #80 . higher-level positions exercise more power than lower-level positions in a classical hierarchical organizational structure.

Hence. attitudes and dress. #81 . If a particular sales person faces any difficulty in selling a particular product and turns to manager for his help. The boss must follow normal procedures and make sure the request is appropriate. However. the sub-ordinate usually complies without resistance. enhance and use power and other resources to obtain their preferred outcomes in a situation where there is uncertainly or disagreement. at any given moment. coercion is now generally recognized to be the most difficult form of punishment to use successfully in an organization. Such by passing of the normal chain of command can cause hard feelings among all the people involved. For instance. when a superior asks a sub-ordinate to do something. POLITICAL BEHAVIOR AND ORGANIZATIONAL POLITICS Power and politics are inextricably interwoven with the fabric of an organization's life. A good manager will be such that the punishment fit the crime. still the boss could be cordial and polite when making requests and should whenever possible explain why a particular task needs to be done. Tushman defined politics. Therefore. Most of these suggestions imply that managers must be sensitive to employees concerns. 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. good managers must try to analyse the sources of their power and be careful how they use that power. But often employees resist coercive power. before giving a reward. Using Expert Power To gain power from their expertise. using coercive power is a natural response when something goes wrong. Using Legitimate Power The use of legitimate power is seldom challenged in an organization. One great organizational scholar. This pursuit of power is political behavior.i leader's power and some of the variables that are likely to lead to three general types of employee responses or outcomes-commitment. However a leader who relics on coercive power is very unlikely to have committed employees. considerate and creative can simply demonstrate those behaviors herself and her employees will likely imitate her actions. ‘as the structure and process of the use of authority and power to affect definition of goals. One of the most positive and subtle uses of referent power is the process of rote modeling. For instance. The work of Gary Yukl provides both a way to predict the consequences of certain uses of power and guidelines for using power. Using Coercive Power For some people. 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. The secretary who understands the importance of a task will be more likely to work enthusiastically on it. of power. The following table list^ the five sources of . Employees must know that they get rewarded for good work. Organizational politics refers to the activities carried out by people to acquire. This imitation reflects the rising star's power over the imitations. Manager can use his expert power most effectively to address employee concerns. For instance. Using Reward Power The manager. warning an individual who uses copying machine to make -personal copies but firing someone who steals equipment from the organization.imitated by others with the star's actions. Using Referent Power Leaders have traditionally strengthened their referent power by hiring employees with backgrounds similar to their own. Decisions are not made in rational or formal way but rather through compromise accommodation and bargaining. In any organization. a number of people are seeking to gain and use power to achieve their own ends. must be sure that the employee has actually done the job and done it well. 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. A respected manager who wants her employees to be punctual. compliance and resistancewhen the leader uses the power. resent it and losing respect for people using that type. Public punishment makes everyone uneasy and humiliating and hence should be done private. managers must make people aware of how much they know. 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. the manager must be able to identify the defect and must be able to help and educate him. Managers who are insensitive to their employees may find that their legitimate power dwindles and that they must resort to coercive 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. directions and the other major parameters of the organization. Though the secretary does what the boss asks.

Managing Political Behavior The very nature of political behavior makes it difficult to manage or even approach in a rational and systematic manner. 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. 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. Scarce Resources When resources are scarce, people have the tendency to use political behavior to make sure that they get the biggest possible share of the resource. 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. Thus, political behavior is increased when the internal technology is complex and when external environment is highly volatile. Non-Programmed Decisions Sometimes, the companies have to make a lot of non-Programmed decisions on certain issues. These decisions are not based on clear standards and precedents, because such issues involve many factors and variables that are complex in nature. Hence decisions are taken on intuition, bunch and guesses and all these subjective feelings can be affected by political behavior. Organizational Change Whenever there are changes in the organizational structure and policies, peoples in powerful positions have the opportunity to play politics. These changes may include restructuring of a division or creating a division, personnel changes, introducing a new product line and all these changes influence political behavior when various individuals and groups try to control the given situation. 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. Pfeiffer, who has done extensive research on -the subject of power in organizations, states as follows: “If there is one concluding message, it is that it is probably effective and it is certainly normal that these managers do behave as politicians. If is even better that some of them are quiet effective at it. In situations in which technologies are uncertain, preferences are conflicting, perceptions are selective and biased and information processing capacities are constrained, the model of an effective politician may be an appropriate one for both the individual and for the organization in the long-run”. 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. The more critical (he information and fewer the people who have it, the stronger is political power base of those who possess these information.

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Controlling lines of communication is another political technique related to the flow of information. People who have some control over lines of communication can yield considerable political power. For example, the secretary may have considerable power in deciding who sees the boss and who does not at a given time. She may use this power in favoring those whom she likes and frustrating those against whom she may have it grudge. Controlling the agenda also gives a person power over information. The person who controls a meeting's agenda, for instance, may consistently put a particular item last on the list and then take up time so that meeting adjourns before considering the item. The opinions of outside experts and consultants often curry much weight in organizations and many consultants can be swayed by political interests. Consultants know who is paying them and even honest consultants are likely to give opinions consistent with those of their employer. Hence, hiring an outside consultant can be a clever political move. Game playing can range from fairly innocent to very manipulative. It involves people doing something insincere, but not outright illegal or unethical to gain political ends. For instance, a manager who does not want to answer a committee's tough questions may, for instance, avoid meeting by going out of the town on the day of meeting. Image building is creating positive impression reflected by the personality, appearance and style. Some of the factors that enhance a preferred image consist of being well dressed, having a pleasant smile, being attractive, honest, sociable and loyal to the organizational interests. In addition, always project an image of competence and selfassurance. Building coalitions or alliance is another technique of gaining political power. It is necessary to have the alliance with the right people. Coalition building can become simply a matter of quid pro quo: I will support you if you will support me. Managing Political Behavior Though it is virtually impossible to eliminate political behavior in organizations, it is possible to reduce it, if a manager understands the reasons for it and the techniques of political behavior. Politics when carried to the extreme can damage morale, create enemies, destroy loyalty, damper co-operative spirit and much time and energy is spent planning attacks and counter attacks which are detrimental to organizational health. Accordingly, combating politics must be undertaken by the top management and some of the steps that can be undertaken are: open communication, reduction of uncertainty and creating awareness. Open communication can reduce the political activity if all employees know how and why an organization allocates resources, the employees will be likely to put their energy into meeting the stated criteria for gelling resources rather than into political activity. If the organization is open about why it made particular decision, 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. Uncertainty in the form of ambiguous goals and changes that affect the organization tends to increase the use of political activity. Reducing such uncertainty can, therefore, reduce the political behavior. Open communication is one of the ways an organization can reduce uncertainty. For instance, laying down clear criteria and making it transparent to the employees who will be laid off, in case of lay off the organization can reduce political behavior. Finally, managers who develop an ability to recognize and predict political activity are in the best position to limit its effects. Managers with this awareness will expect an increase in political activity during times of organizational change and will learn how to handle it.

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LESSON -17 ORGANIZATIONAL DESIGN Learning Objectives After reading this lesson, 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, groupings of jobs, the hierarchy, patterns of authority, approaches to co-ordination and line-staff differentiation into a single and unified organizational system. Consider, for example, the differences in organizational design that might exist between a computer manufacturer and university. Since the computer manufacturer has to respond to frequent technological breakthroughs and changes in its competitive environment, 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. Therefore, it has a more centralized structure with numerous rules and regulations. DETERMINANTS OF ORGANIZATIONAL DESIGN The key situational determinants of organizational design are technology, organizational environment, and organization size and life cycle. • Technology: Technology is the set of processes that an organization uses to transform various resources such as materials and labor into products or services. Joan Woodward was the first person to see the link between technology and organizational design. In particular. Woodward defined three basic types of technology.  In unit or small-batch technology, products are manufactured according to customer specifications in small quantities. Examples are printing press and studios.  In large batch or mass-production technology, products. are manufactured in assembly-line fashion by combining component pans to create finished goods. Examples are home-appliance," automobile and computer manufacturers.  In continuous-process technology, products are transformed from raw materials into finished goods through a series of machine transformations that change the composition of the materials themselves. Examples are petroleum refiners, food processors and chemical manufacturers. Woodward viewed unit or small-batch technology as -the least complex while the continuous process technology as the most complex. She found that organizations within each set had similar designs but the designs varied somewhat from set to set. Bums and Stalker argued that managers should examine the rate of change in technology to determine the best organizational structure. 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. Charles Perrow concluded that me key question concerning an organization’s technology is whether it is routine or non-routine. In his view, 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. ' An organization that uses continuous process, non-routine or intensive technology needs to ensure that its structure can adapt to changes in the technologies. Technology can affect all aspects of an organization, not just production and the same technological change can have very different effects on different organizations.

Environment: The environment also influences the type of design an organization is likely to adopt. The environment of an organization consists of all the factors and conditions outside the organization that might affect it. which include customers, shareholders competitors, legislatures and regulatory agencies, economic factors, which include interest rates, unemployment rate, finance, objects, which include buildings, machines and events, which include as elections, war, floods etc. If the managers are good at analyzing and predicting changes in the environment, then, they can help the organization to take advantage of any change. Since the environment affects organization both directly and indirectly, therefore, the managers must keep an eye on it and be ready to modify organization's design to respond to environmental changes.

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and more decentralization than small organizations. Following are the various forms of an organization based on their design: • The U-Form Organization: In the U-form organization. an organization can buy and sell its individual businesses with little or no disruption to the others. It allows an organization to staff each department with experts. more rules and regulations. they should be prepared to adapt their design accordingly. The following figure 17. usually. Thus. Secondly. When the organizations grow. First. Such organization requires perfect coordination to operate smoothly aiming the various departments. #85 . Organizations tend to follow a predictable pattern of growth. To summarize.1 shows the organization cycle. 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. Life cycle refers to organization's maturity relative to that of other organizations. 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. An organization's life cycle is related to its size. CONTEMPORARY FORMS OF ORGANIZATIONAL DESIGN Every organization has its own unique design depending on its technology. more standard operating procedures. However. 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. An organization's life cycle and growth rates are directly linked to the strategy that the organization is pursuing. It is also called as "functional design as it relies exclusively on the functional approach to departmentalization. it also facilitates wide spans of management and helps the Managing Director to maintain centralized authority. they grow for some period of time and then eventually stabilize as a mature organization. limits and potentials of" its environment and the life cycle stage it follows. U stands for Unity. This design usually results from the corporate strategy of unrelated diversification of the products. The loss in one product is compensated by profit in another. The U-Form design has several advantages.• Organizational Size and Life Cycle: Organization size refers to how large : the organization is. since each department is highly dependent on another. the U-form design shows decision-making and employees within each department may concentrate on their own function forgetting overall organizational goals. 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. After they are created. in terms of the number of its full-time employees.2 shows the H-form organization. A group of researchers in England found that large organizations tend to have more job specialization. Size can affect organization design in many different ways. This design has two advantages. H stands for Hybrid and is also known as conglomerate. as organizations grow in size. The H-Form Organization: In the H-form organization. The figure 17. It tends to make it hard for organization to monitor the performance of individual managers within each functional area.

in terms of manufacturing products that is used by automobile owners. These organizations have centralized head office in their home country that controls their various office in other parts of the world. which has assets in more than one country other than its home country is called as global organization. The organization also has to devote more resources to coordination because of high levels of interdependence that result from a matrix. Figure 17. • The Matrix Organization: A matrix organization is created by overlaying product-based departmentalization on lo a functional structure. Such companies have offices and/or factories in different countries and usually have a centralized head office where they coordinate the global management. if the businesses are too closely related. For example. other that manufactures lyre and still another that manufactures car polish. 'the organization cannot escape from the effect of cyclical fluctuations. 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. Although each is distinct from the other but still related. Global Organization: An organization. A matrix design is seldom used for an entire organization and is often used for a portion of it. Most of its businesses are in the same or related industries. co-ordinate and control them. Thus. For example.• The M-Form Organization: In the M-form organization M stands for Multi-divisional and it is called the divisional design. Moreover. it is easy for top managers to understand. • A matrix design allows an organization to capitalize on the advantages of both functional and product departmentalization. It is similar to the H-form design but has one notable distinction. However.3 shows the matrix organization. #86 . the M-form design is used to implement a corporate strategy of related diversification. an organization with an M-form design might own one business that manufactures automobile batteries. because the various units are in the same or related businesses. a consumer familiar with an organization’s batteries will be inclined to buy its tyres and car polish. A primary advantage of the M-form organization is that it can achieve a great deal of synergy in its operations.

Nestle is almost a confederation of independent operating organizations. e. Nestlé’s various organizations scattered around the world are operated by its own general managers.g. who arc empowered with a great deal of autonomy and authority to make decisions.A global organization must modify and adapt its design to allow it to function effectively. Nestle is a big global organization and highly decentralized. It is to be remembered that there is no one best form of design that all organizations should adopt. its history. As a result. #87 . Its design is similar to the M-form but because the operating units are so far apart that there is little synergy. life cycle and size. its strengths and weaknesses. environment. its technology. It must then choose a design that fit these elements most effectively. Each organization has to carefully assess its own strategy. Us organizational design is like an umbrella.

slogans and ceremonies also come into being. then. For instance. various symbols. Such values are part of organizational culture in spite of not being formally written like rules and regulations of the organization. "Organizational culture is concerned with the nature of #88 . discovered and developed while learning to cope with its problems of external adaptation and internal integration. heroes. stories. Because organizational culture embody the organizational values. All the above definitions stress acceptable and unacceptable behavior of its members. Culture communicates whether the organization expects its managers to be aggressive or conservative in decisions-making. how it operates and what it considers important. Importance of Culture Culture plays a very significant role in any organization by communicating information about the overall acceptable and unacceptable behavior. a strong culture is. One way to brine about such changes is to manage the symbols that are important to the organization. It is. For this managers must change employee's ideas about what is and what is not appropriate behavior. 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. Some organizations try to emphasize the importance of employees’ ideas by rewarding them for their suggestions. changes in the organizational culture will be as stable as the old culture was. Once successfully made. to improve the organization performance. strong and well-defined culture whereas: others have ambiguous. The manager trying to change an organizational culture faces lots of difficulties. An organizational culture generally lakes shape over time and is often deeply influenced by the values of the organizational founders. weak and poorly defined cultures. serve to maintain and perpetuate the culture through subsequent generations of employees. possible to change organizational culture. one organization might value solidarity and loyalty to organization more than any other value whereas another organization might stress on good relations with customers.LESSON -18 ORGANIZATIONAL CULTURE AND CLIMATE Learning Objectives After reading this lesson. These. However. 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. Factors affecting organizational climate CONCEPT OF ORGANIZATIONAL CULTURE Organizational culture is the set of values that states what an organization stands for. if the suggestion box remains just a symbol and organization never translates the suggestions into actions. "a system of informal rules that spells out how people have to behave most of the time". which are embedded in organization's soul that stays stable irrespective of the changes in leadership and environment. They do not usually appear in the organizational training Program and in fact. Schein defines organizational culture as the pattern of basic assumptions that a given group has invented. 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. An organization's suggestion box is a symbol of an organization's openness to the ideas of the employees. However. Organizational Climate Even though organizational culture and organizational climate are sometimes used interchangeably. As organizational culture evolves. generous or moderate in supporting social causes and ruthless or kind in competitive dealings. Some organizations have clear. you should be able to understand: • • Organizational culture and explain its importance. 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. However. many organizations have difficulty in expressing their cultural values. According to Deal and Kennedy. however. the box will have little effect on organization morale. an organization's values automatically enter every employee's personal values and actions over a period of time. According to Bowditch and Buono. there are certain differences between the two. They must create new role model and new stories to help employees understand the meaning of what is happening around them.

Lawrence James and Allan Jones have identified five factors influencing climate. performance arid evaluation standards. which include communication. organizational structure and process. it is very difficult to generalize exactly the factors affecting the climate. agent dependence and general satisfaction. the nurture of subordinates. while climate is an indicator of whether those beliefs and expectations are being fulfilled. Kahn has identified factors such as rules orientation.beliefs and expectations about organizational life. there exist certain factors that exert deep influence on the climate. job satisfaction and attitudes of people. leadership style. These factors may include job descriptions. inter-agency conflict. which serve as a major force in influencing their behavior. Schneider and Barlett describe six factors that have an influence over organizational climate such as managerial support. FACTORS AFFECTING ORGANIZATIONAL CLIMATE In every organization. challenges and innovations. influences their behavior. Thus. which include management philosophy. physical environment and values. Organizational climate has a major influence on human performance through its impact on the motivation. and can be described in terms of the values of a particular set of characteristics. #89 ." Organizational climate is a relatively enduring quality of the internal environment that is experienced by its members." It is a set of characteristics and factors of the organization that are perceived by the employees and. motivation and leadership. strict supervision and promotional achievement orientation. Similarly.

It refers to an amount of resources used to produce a particular unit of output. this model is not different from the goal model. or efficient but not effective. accidents. effectiveness refers to maximization of profits by providing an efficient service that leads to high productivity and good employee morale. the approach should focus on operative goals that would serve as a basis for assessment of effectiveness. effectiveness concentrates more on human side of organizational values and activities whereas efficiency concentrates on the technological side of an organization.19 ORGANIZATIONAL EFFECTIVENESS Learning Objectives After reading this lesson. Instead. it is important to explain the difference between the concepts of effectiveness and efficiency to understand why organizations may he effective bin not efficient. profit. 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. the manager's own behavior contributes to achievement of organizational goals. Further. It has been defined in terms of organizational goal-achieving behavior. However. It is commonly referred to as the degree to which predetermined goals are achieved. turnover. focus towards attainment of these goals should also aim at serving the society. Campbell has suggested several variables such as. The interdependence takes the form of input-output transactions and includes scarce and valued resources such as physical. there exists a difference between the two concepts. System Resource Approach System-resource approach of organizational effectiveness emphasizes on interdependency of processes that relate the organization to its environment. It is generally measured as the ratio of inputs to outputs. Parson states that since it has been assumed that an organization is identified in terms of its goal.e. Functional Approach This approach solves the problem of identification of organizational goals. However the concept of effectiveness is not simple because there are many approaches in conceptualizing this term. productivity. discussion of organizational effectiveness leads to the conclusion that there is no single indicator of effectiveness. motivation and satisfaction. it cannot be applied for measuring organizational effectiveness in terms of its contributions to social system. the vital question in determining effectiveness is how well an organization is doing for the super-ordinate system. Effectiveness is a broad concept and takes into account a collection of factors both inside and outside an organization. • Functional Approach • System Resource Approach Goal Approach Goal attainment is the most widely used criterion of organizational effectiveness. Therefore. The limitation of this approach is that when organizations have autonomy to follow its independent courses of action. However. which help in measuring organizational effectiveness. Managerial effectiveness is a causal variable in organizational effectiveness. economic and human for which every organization competes. Therefore. Such approaches can be grouped into following three approaches: • Goal Approach.. On the other hand. it is difficult to accept that ultimate goal of organization will be to serve society. none of the single variable has proved to be entirely satisfactory. The limitation of this model is that an acquisition of resources from environment is again related to the goal of an organization. in goal approach. quality. As such. efficiency is a limited concept that pertains to the internal working of an organization. FACTORS AFFECTING ORGANIZATIONAL EFFECTIVENESS Likert has classified the factors affecting organizational effectiveness into following three variables: • Causal • Intervening • End result #90 . Both the goal and functional approach do not give adequate consideration to the conceptual problem of the relations between the organization and its environment.LESSON . efficiency. Sometimes efficiency and effectiveness are used as synonyms. Thus. morale. i. The main limitation of this approaches the problem of identifying the real goals rather than the ideal goals. Thus.

End Results Variables Production Cost Sales Earning Turnover Management Union Relationship #91 . loss and earnings. The causal variables are the key to organizational effectiveness. Hence. For example.Causal Variables Causal variables are those independent variables that determine the course of developments within an organization and the objectives achieved by an organization. performance goals and perceptions of all the members and their collective capacity for effective interaction. attitudes. Figure 19. intervening and end-result ore interrelated.1: Inter-relationship of Variables The above model is quiet simple. intervening and end-result variables comprise a complex network with many interdependent relationships. Figure 19. Inter-Relationship of Variables The three variables such as causal. while other variables will be corrected or improved automatically because of causal variables. to make organization effective. These causal variables include only those independent variables. motivations. group and organizational levels in order to make the organization more effective.2 shows Levels of Variables. business and leadership strategies. The effectiveness model can be presented in a more complex way i. communication and decision-making. The causal.e.1 shows the relationship among various variables. loyalties. at three different levels such as the individual. costs. End-Result Variables End-Result variables are the dependent variables that reflect achievements of an organization such as its productivity. Intervening Variables Intervening variables according to Likert are those variables that reflect the internal state and health of an organization. which can be altered by organization and its management. 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. Causal variables include organization and management's policies. 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. decisions. skills and behavior. attempt should be made to improve the causal variables.

sub-system. 2. 4. reduction in inflexibility and stimulation of self-protection. which provide willingness for change. which are in accordance with environment requirements. Sensing of Change: The first stage is the sensing of change in internal or external environment. i. Exploring New Outputs: When the internal change is stabilised. Effectiveness through Adaptive-Coping Cycle The organization must develop a system through which it can adapt or cope with the environmental requirements. research and development and other similar devices for effective coping with the environment. Schein has suggested that an organization can do this through the adaptive coping cycle. which can support good communication. Changing Conversion Process: The organization takes the inputs from environment for further processing. The extent to which individual and organizational goals are integrated. If there is no perfect integration of individual and organizational goals then organizational effectiveness is affected adversely. There are six stages in the adaptive-coping cycle as follows: 1. affects the degree of organizational effectiveness. which constitutes the input. especially when the major organizational changes take place. each individual tries to satisfy his goal by working in an organization and simultaneously satisfying organizational minis.The effective organization is built of effective individuals who work collectively in groups.. 5. • There should be enough internal flexibility so that changes can be brought and absorbed by an organization. This is because change in one may affect other and this change can be either positive or negative. 6. However. 3. 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. organizational effectiveness is not a result of integration between individual and organizational goals only but there are other causal variables affecting it. normally known as conversion process. #92 .e. which consists of various activities that enable an organization to cope with the dynamics of environment. A successful coping suggests that all the stages have to be successfully-negotiated and failure at any of these stages may result into ineffectiveness. Most of the organizations have adaptive sub-system such as marketing research. He may sec his goal satisfaction in satisfying organizational goals. This is similar to first stage. Importing the Relevant Information: Organizations must be able to take the relevant information from the environment. • There should be supportive internal climate. Adaptive-Coping cycle is a continuous process. 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. Stabilizing Internal Changes: The fourth stage of the cycle is to stabilize an internal sub-system of an organization. the organization can export new outputs. which is dependent on external. Maintaining organizational effectiveness requires additional efforts. • Successful coping requires integration and commitment to organizational goals.

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. intended changes can never be translated into reality. INTERNAL FORCES Internal forces for change come from inside the organization. expectations and skills. educative strategies. There are four key external forces for change: Demographic Characteristics: These include age. stress.LESSON . skill level and gender of employees. Social and Political Pressures: These forces are created by social and political events. which is determined by individual characteristics of members such as their knowledge. Therefore. Organizations encounter different forces for change. 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. needs. education. Organizations are entering into new partnerships with their suppliers in order to deliver higher quality products at lower prices. individuals have to learn to adapt their attitudes and behavioral patterns to constantly changing environments. It is possible to bring about a total change m_ an organization by changing behaviors of individual members through participative and. Market Changes: The emergence of a global economy is forcing Indian organizations to change the way they do business. many organizations hire lobbyists and consultants to help them detect and respond to social and political changes. priorities and motivation. Technological Advancements: Both manufacturing and service organizations are increasingly using technology as a means to improve productivity and market competitiveness. Although it is difficult for organizations to predict changes in political forces. Therefore. Inappropriate leader behavior such as inadequate direction and support are the cause of conflict between managers and their subordinates. In addition. Management of change involves both individual and organizational change. work overload and ambiguity. beliefs. Although. the degree of difficulty involved in the change and the time taken to bring about the change will depend on the target of change. Nature of Change Organizations introduce changes through people. management must continuously monitor the outside environment and be sufficiently innovative and creative to implement these changes effectively. attitudes. #93 . Individual change is behavioral change. 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. Human Resource Problems These problems stem from employee perceptions about their work environment and conflict between an employee and organization needs. These forces come from external and internal sources of the organization. This may come from both human resource problems and managerial behavior.20 MANAGEMENT OF CHANGE Learning Objectives After reading this lesson. Even in most stable organizations change is necessary to maintain stability. managers need to adjust their managerial style according to the changing employee values. Organizations need to effectively manage these characteristics in order to receive maximum contribution and commitment from their employees. Political events also create substantial change in an organization. EXTERNAL FORCES External forces for change originate outside an organization. Personal values affect employees’ needs. Managerial Behavior Excessive interpersonal conflict between managers and their subordinates is a sign of implementing an immediate change. Unless the people arc willing to accept the need and responsibility for organizational change.

policies. we know that honesty is the best policy and we have favourable altitudes towards people. sometimes it may be easier to tackle the group as a whole rather than trying to change the behavior of members one by one. These types of changes alter prescribed relationships and roles assigned to members and eventually modify the individual members’ behavior and attitudes. we may still act in a less honest way. For example. the complexity of managing change increases manifold. it is a slow painful process to usher a total cultural change in an organization.The attitudes towards change are largely dependent on the nature of the situation and the manner in . 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. The more effective approach is to anticipate the significant forces for change working in an organization and plan ways to address them. #94 . managers must understand the steps needed for effective change. Some organizational changes are planned whereas other changes are reactive. Modification in the organization's structures. It is possible to change total organization without focusing at the level of individual's change of knowledge. Changing group behavior is usually a more prolonged and harder task. Bringing total behavioral change in all the groups and members of an organization involves difficult long-range effort. it increases the likelihood of a poorly conceived and poorly executed Program. Planned change is always preferable to reactive change. therefore managers must approach it systematically and logically. Since reactive change may have to be carried out hastily. attitude and behavior. More often than not. This model is useful for both planned and reactive change. To accomplish this. Every group has its own dynamics of push and pull that attempt to neutralise the change that may have taken place in an individual. individual member's ‘changed behavior’ may revert to earlier normative behavior in order to maintain the change in the existing conditions.which changes are initiated and executed. due to the same reasons of a group's over-riding influence on individual members. Due to this group dynamics. One's attitude does not necessarily get reflected in one's behavior. it is a piece-meal response to circumstances as they develop.who are honest but in certain situations. Changing individual behavior is more time consuming and a difficult task. A COMPREHENSIVE MODEL OF CHANGE The comprehensive model of change shown in the figure 20. Planned change is designed and implemented by an organization in an orderly and timely fashion in the anticipation of future change. However.1 shows seven steps that can lead to effective change. APPROACHES TO ORGANIZATIONAL CHANGE As organizational change is a complex process. External forces that the organization has failed to anticipate or interpret always bring about reactive change. Reactive change results from a reaction of an organization to unexpected events. In contrast to planned change. procedures and techniques leads to total organizational change. The linkage between attitude and behavior is not direct and therefore changing behavior is more difficult than changing attitudes. As these two kinds of changes are interdependent.

better alternatives in the job market or employee job dissatisfaction etc. 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. Plan implementation of change The manager must then carefully plan the implementation of change. Planning the implementation of change involves consideration of the cost of the change. to enter new markets. These managers tend to ‘initiate change because they expect it to be necessary in the near future in any case’. change. poor supervision. to restore employee morale. if turnover is the recognized stimulus for change. to reduce turnover. The goals can be set to maintain or increase the market standing. recognition is likely to come much earlier. poor working conditions. An intervention is a specific change induced in an organization with the intention of solving a particular problem or accomplishing a specific objective. as a result of marketing forecasts indicating new market potential. Thus. 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 example. may be caused by a variety of factors such as low pay. for example. how the change will affect other areas of the organization and the degree to #95 . then a new reward system is required and if the cause is poor supervision then interpersonal skills and training for supervisors is required. if turnover is caused by low pay. It is important for the manager to specify goals that the change is supposed to accomplish. To carry out this diagnosis. 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. For marketing managers who anticipate needed . expert indications about impending socio-economic change or a perceived opportunity to capitalize on a key technological breakthrough. Diagnose relevant variables An important next step is diagnosing organizational variables that have brought about the need for change. Turnover. Establish goals for change The manager must then set goals for the proposed change.

Managers also need to devise ways to reduce the barriers to change during this stage. However. as well discontinuing current attitudes. it does not deal with several important issues. For example. This model looks at planned change from the perspective of top management. Hastily implemented change can result in more harm than benefit. quick fix solutions to organizational problems. 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. Additional coaching and modelling are also used at this point to reinforce the stability of the change. Any change. this model is based: 1. Evaluate implementation Finally. 3. whether in terms of structure. Expanded process model is illustrated in the figure 20.which employees should participate in bringing about the change. mentors. A change may fail to bring about the intended results. which explained how to initiate. attitudes and organizational practices. Moreover. MODELS AND DYNAMICS OF PLANNED CHANGE Managers are criticized for emphasizing short-term. 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. Before reviewing each stage. Resistance to change is found even when the goals of change are highly desirable. benchmarking organization against world-class organizations and training are useful mechanisms to facilitate change. Once exhibited. The model incorporates Lewin's concept as part of the implementation phase. changing and refreezing. Change will not occur unless there is motivation to change. the manager should verify that it has accomplished its intended goals. #96 . This is often the most difficult part of the change process. Expanded Process Model Lewin's model is very simple and straightforward and virtually all models of organizational change use his approach. This is accomplished by first giving employees the chance to exhibit the new behaviors or attitudes. experts. if the change involves the use of new equipment. The change process involves learning something new. or new ways of looking at things. Researchers and managers have thus tried to identify effective ways to manage the change process. The three stages are unfreezing. Lewin developed a three-stage model of planned change. 4. 5. 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. This may be due to inappropriate goals or inaccurate diagnosis of the situation or wrong selection of intervention. Quick-fix solutions do not really solve underlying problems and they have little staying power. Effective change requires reinforcing new behaviors. it is important to highlight the assumptions on which. The following are the three stages of change: Unfreezing The focus of this stage is to make organization open to change. after the change has been implemented. their resistance may stiffen. People are the hub of all organizational changes. The purpose is to help employees learn new concepts to implement change.2. reward systems or job design requires individuals to change. manage and stabilize the change process. group process. positive reinforcement is used to reinforce the desired change. new behavioral models. behaviors and organizational practices. Role models. if change is thrust upon them too quickly. In doing so individuals are encouraged to replace old behaviors and attitudes with those desired by management. 2. Changing The focus of this stage is in providing employees with new information. 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.

managers can use the list given in following table.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. managers need to recognize the manifestations of resistance both in themselves and in others. the top management defines its goals in terms of what the organization or certain processes. if they want to be more effective in supporting change. or outputs will be like after the change. Acceptance • • • • • Indifference • 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 Passive Resistance Active Resistance #97 .Figure 20. For example. RESISTANCE TO CHANGE Although organizations initiate changes in order to adjust to the changes in their environments but people sometimes resist them. Therefore. Alternatives for change are generated and evaluated and then an acceptable one is selected. Usually.

individuals have the following reasons for resisting change: • Simple habits create a lot of resistance. Valerie Stewart (1983). 13. 10. 6. Change may also threaten people's feelings of familiarity and self-confidence. 8. First. thus disrupting existing social networks. Before recommending specific approaches to overcome resistance. leading to feeling of job insecurity. They can translate desires into practical action. They know clearly what they want to achieve. They can propose changes not only from their own view point but also from that of others. They have a history of successful change. Resistance may also take the form of threatened expertise if the change lends to weaken special expertise built after years of experience. so they resist any change that might adversely affect those relationships. then it is said to have a narrow focus of change. 2. Any change that may alter the power relationships within an organization may meet the form of resistance known as ‘threatened power’. Often a part of division cannot be changed without changing the whole division. They involve their staff in the management of change and protect their security. For example. Resistance may occur when a change threatens quantum of resource allocation from one part of the organization to another. They do not pile one change on another but wait for assimilation. 7. Second. 12. ORGANIZATIONAL SOURCES OF RESISTANCE According to Daniel Kantz and Robert L Khan. Most people prefer to do their work the way they did it last week rather than learn a new approach. an organization must be ready for change. the top management should inform the employees about the process of change. They worry about their ability to meet new job demands therefore. 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. policies and structure to maintain the existing conditions and therefore resist change even when change would benefit the organization more than stability. a British Psychologist and business consultant. • Some people resist change to avoid feeling of loss. #98 . wherever possible. They clearly explain change to people affected by change. In the face of impending change. Individual Sources of Resistance According to researchers. OVERCOMING RESISTANCE TO CHANGE Managers need not abandon planned change in the face of resistance. 4. They show reverence for tradition and respect for experience. has listed the following characteristics of people who are good at managing changes. They are not discouraged by setbacks.The sources of resistance to change within organizations are classified into organizational sources of resistance and individual sources of resistance. • People may resist change because their perceptions of underlying circumstances differ from the perceptions of those who are promoting the change. the employees perceptions or interpretations of a change should be considered. They show that change is ‘related to business or job’. many organizations change interventions and alter work arrangements. 14. 11. Social relationships are important to most people. • Perhaps the biggest cause of employee resistance to change is uncertainty. They present changes as a relational decision. They share maximum information about possible outcomes. employees are likely to become anxious and nervous. They make change by personally rewarding people. Organizational restructuring that involves reducing the number of job categories often meets this kind of resistance. The following methods of overcoming-resistance to change are as follows: 1. • • • • • • Over determination or structural inertia refers to the tendency of an organization's rules. Third. there are three key conclusions that should be kept in mind. organizational sources of resistance can be divided into following six general groups. 9. 5. 3. They harness circumstances to implement change. Group inertia may weaken an individual’s attempt to bring about change.

Manipulation and Cooperation: This is followed when other tactics will not work or are too expensive. Interventions constitute the action thrust of organization development. There is no universal strategy for overcoming resistance to change. Education and Communication: Educating employees about the need for and the expected results of an impending change help reduce their resistance. 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. 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. In force-field analysis. It is a time consuming process. Negotiation: Where someone or some group will clearly lose out in a change and where that group has considerable power to resist. means. an organization that plans to introduce certain changes must be prepared to face resistance from its employees. • It is an educational strategy for bringing planned change. the manager list each set of forces and then try to remove or minimize some of the forces acting against the change. They are humanists seeking to get a humanistic philosophy in organization. • It relates to real problems of an organization. announcing changes in advance and allowing time for people to adjust to new ways of doing things can help reduce resistance. joint goals. • There is a close working relationship between change agents and the people who are being changed. and mutual influence. there negotiation is required.• • • • • • • Participation: Participation is generally considered the most effective technique for overcoming resistance to change. Introducing change gradually. According to Bennis. • Change agent applying OD technique for change is external to the forms of consultants. 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. Explicit and Implicit Coercion: This is adopted where speed is essential and where the change initiators possess considerable power. Force-Field Analysis: In almost any situation where a change is being planned. Hence. Managers should maintain an open channel of communication while planning and implementing change. making only necessary changes. there are forces acting for and against the change. • The change agents share social philosophy about human value. It is speedy and can overcome resistance. 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. they make things happen and are what is happening. 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. Employees who have the opportunity to express their own ideas and to understand the perspectives of others are likely to accept change gracefully. However. The relationships involve mutual trust. They become committed to the change and make it work. Sometimes it is a relatively easy way to avoid major resistance. However. • Laboratory training methods based on experienced behavior are primarily used to bring change. 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.” Intervention Techniques • Sensitivity Training • Process Consultation • Team Development #99 . OD can be defined as a technique for bringing change in the entire organization. it can lead to further problems if people feel manipulated. OD has the following characteristics. rather man focusing attention on individuals to bring change easily in the entire organization. Each of the above methods has its advantages and disadvantages. It can be quick and inexpensive. it is also a time consuming process.

encompassing the entire spectrum of applied behavioral science". hereby. group problem-solving and decision-making. e. William Halal is right when he says "OD in future includes any method for modifying the behavior in the organization. communication. T-group has several characteristic features: • The T-group is generally small. roles and functions of group members. Process Consultation: Process Consultation (P-C) represents a method of intervening in an ongoing system. There also have been experiences of failure in OD but these are being recorded and collected to be reviewed. It utilizes a considerable number of instruments. group norms. at the initial level. P-C consists of many interventions and activities which affect the various organizational processes such as. 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. job enrichment. management by objectives.• Grid Organization Development Sensitivity Training: Sensitivity training is a small-group interaction under stress in an unstructured encounter group. In general. The objectives of such training are increased openness with others. OD offers some very attractive methodologies and philosophies to practicing managers and academicians. which requires people to become sensitive to one another's feelings in order to develop reasonable group activity. groups and the organization as a whole. structural and job interventions such as job enlargement. since there are no rigid sets of procedures in OD work and different strategies have to be evolved for different types of organizations. procedures and authority structure. knowledge and processes necessary for effectiveness at the individual. the actual technique employed is T-group. group and inter-group and total organization levels. 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. #100 . less ethnic prejudice. there may be other types of interventions too. more concern for others. enhanced listening skills and increased trust and support. 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. enabling individuals and groups to assess their own strength and weaknesses. developed by Blake and Mounton. authority and leadership and inter-group cooperation and conflicts.g. with emotional levels of involvement and behavior. rules. As such. The Program aims at individuals. In addition to these people focused interventions. In sensitivity training. understanding of a group process. It also focuses on skills. increased tolerance for individual differences. is a comprehensive and systematic OD Program. OD shows a promising future. from ten to twenty members • The group begins its activity with no formal agenda • 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.

What are the causes of stress? 16. 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. What are the sources of power? 15. What is organizational culture? How it affects the behavior of the people? SECTION7. Marks: 100 SECTION-A (5x8 = 40) Answer any Five questions Note: All questions carry equal murks 1. 5. 4. 8. 2. 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. 11. What is organizational culture? How it affects the behavior of the people? SECTION1. Suggest strategies to resolve inter-group conflicts.MODEL QUESTION PAPER ORGANIZATIONAL BEHAVIOR Time: 3 Hours Max. What do you understand by organizational behavior? Bring out its nature and importance. B (4x15 = 60) Answer any four questions Compare the Maslow's Theory with ERG Theory of Motivation. 9. 2. What are the forms of organizational communications? 14. 3. 10. What is group cohesiveness? What are its determinants? 5. B (4x15 = 60) Answer any four questions Compare the Maslow's Theory with ERG Theory of Motivation. What are the sources of power? 7. What are the forms of organizational communications? 6. Discuss the personality attributes in organization. 12. 11. What is the organizational design? What are its forms? 12. Marks: 100 SECTION-A (5x8 = 40) Answer any Five questions Note: All questions carry equal murks 9. Why do people resist change? As a manager how would you overcome such resistance? MODEL QUESTION PAPER ORGANIZATIONAL BEHAVIOR Time: 3 Hours Max. Suggest strategies to resolve inter-group conflicts. 3. What is the organizational design? What are its forms? 4. Why do people resist change? As a manager how would you overcome such resistance? #101 . 6. 10. What is group cohesiveness? What are its determinants? 13. What do you understand by organizational behavior? Bring out its nature and importance. What are the causes of stress? 8. Discuss the personality attributes in organization.

#102 .

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