MODULE 3

SMS 2101 MANAGEMENT CONCEPTS AND ORGANISATIONAL BEHAVIOUR

Assistant Professor. Prasanth V

Individual differences among

managers and work force
POINT 1

Concept of Behavior
Behavior is what a person does or the way in which one acts or conducts
oneself, especially towards others
Overt Behavior observable and measurable activity of human beings.
Example: talking, running, scratching or blinking.
Covert Behavior Non-observable or measurable.
Covert Behavior are those which go on inside the skin
Example: Like feelings, attitude formation, perception formation

Managerial Implication of individual Behavior

Channelize individual behavior for achieving
organizational behavior
Each person as an employee has a specific need that
he wishes to satisfy and has a set of job-related
behavior to contribute.
Manager need to identify this need and take
advantage
For this purpose managers need to understand
individual behavior and factors affecting individual
behavior
These factors are commonly known as foundation of
individual behavior.

Factors affecting individual Behavior

Physiological
-Age
-Sex
-Physical Features

Socio-psychological
-Personality
-Perception
-Learning
-Attitude and values
-Emotional Intelligence
-Motivation

Biological factor these cannot be

learned

These factor these can be

developed over a period of time
through learning and practice

Nature of Individual difference

People differ in the importance they attach to intrinsic reward to a job
Some people prefer challenging jobs but some prefer routine hob
that offers job security
People differ in the type of compensation plan they want or desire
Some like to work under time-wage system while others under piece
wage system or incentive system that is based on productivity.
People differ in style of supervision Some like freedom at work and
like to be their own boss to maximum extent but some prefer to be
depend mostly on others

Nature of Individual difference

People differ in their preferred schedule of working hours Some
people prefer 9 to 5 job where as some prefer flexi working hours
People differ in their tolerance for stress and ambiguity Some
people perform well in stressing and ambiguous situations as such
situation bring out their best and they feel the situation as
challenging

Factors causing individual Difference

Module 2

CONCEPT
Emotional intelligence refers to emotional awareness and
emotional management skills which provide the ability to
balance emotion and reason so as to maximize long-term
happiness (Daniel Goleman, 1995).
It includes components like self-awareness, motivation,
empathy, and social skills such as cooperation and leadership.

Some major emotions with their blends are:

Anger: fury (A feeling of intense anger) , outrage (Anger aroused by

some perceived offense or injustice) , resentment (A feeling of deep and
bitter anger and ill-will) , annoyance (The psychological state of being
irritated or annoyed), violence etc.
Sadness: Grief, sorrow, gloom, loneliness etc.
Fear: Anxiety, phobia, panic, terror, fright etc.
Enjoyment: happiness, joy, relief, bliss, delight,
amusement, pride etc.
Love: Acceptance, friendliness, trust, kindness etc.
Surprise: Shock, astonishment, wonder etc.
Disgust: Scorn, aversion, distaste etc.
Shame: Guilt, regret, mortification etc.

Mental Intelligence & Emotional Intelligence

Mental Intelligence or simply known as Intelligence
It is the mental capability of the person and is mostly
determined by the structure of ones brain.
It is compared based on ones Chronological Age and
Mental Age. It is expressed in terms of intelligence
quotient (IQ)

IQ = (Mental age divided by chronological age ) x 100

MA = 7 years / CA = 5 years (IQ=140 which means gifted)
MA = 7 years / CA = 9 years (IQ=78 which means retarded)
Lydia Sebastian, 12 has achieved a score of 162 (Einstein is
believed to be 160)

Emotional Intelligence
Emotional Intelligence is related to managing
emotions in every walks of life
It is measured in terms of Emotional Intelligence
(EQ).
It emerges from the mind status of a person and
not from his brain.
IQ and EQ are different things or phenomena.
They are not mutually exclusive.
A person may be high on both IQ and EQ or low
on both

Importance of EI
In today's context EQ has been perceived as
the most important elements in a persons
success
According to Goleman when we compare IQ
and EQ
20% success contribution is from IQ
Remaining 80% success is determined by EQ

EQ is important in the following ways

General happiness: It leads to general happiness. High EQ
generates positive feelings which result in general happiness.
Rationality in behavior: rationality is defined as capacity for
objective action. With high EQ a person is able to see the situation
under which the behavior take place in the right perspective.
Fulfilling social objectives: living in a society, a person takes
something from it and gives something to it. In this taking and
giving process, an individual with high EQ displays the same
behavior towards others which he expects from them.

Applying Emotional Intelligence in Organizations

It is applicable in both business and non business
scenarios.
EI can result in increasing productivity, speeding
up adaption to change, developing leadership
skills, stimulating creativity and cooperation,
responding
effectively
to
competition,
encouraging innovative thinking, improving work
environment, reducing stress level and
frustration, and developing sense of competence.
All these can been achieved by applying EI in the
following areas:

 Filling Organizational Positions

1. Botanist low EI requirement at job
2. Biochemist - low EI requirement at job
62. Human Service Worker High EI requirement at job
63. Psychiatrist Very high EI requirement at job

Work Life
QWL is important for org. productivity high EI is
important for improving Work life Quality and balance

Credibility of Manager
It is a prerequisite for managerial success. It is built by
what one say and does. Credibility gap should be
avoided.
PTO.

Credibility of a person is reflected in the

following features: Trustworthiness, Integrity
and honesty, Informativeness, Dynamism.
Leadership Effectiveness:
It is the process of influencing and
supporting others to work enthusiastically
towards achieving desired results.
Influencing others on a long term basis
then he is effective
Leadership with EQ helps in regulating
emotion, analyze emotion, facilitate thinking
and also express positive emotions

 Effective Communication
A communication is effective when sender
and receiver of the message under the
communication process attach the same
meaning
Emotion can lead to different interpretation
Handling Frustration
Goal directed behavior and rational behavior
Stress Management
Conflict Resolution

 Further Reading Material refer:

Organizational Behavior, LM Prasad
Sultan Chand and sons
Page 156, EI Chapter

LEARNING

Learning means
Learning covers virtually all behaviours and is concerned with
the acquisition of knowledge, attitudes and values, emotional
responses (such as happiness and fear), and motor skills (such
as operating a computer keyboard or riding a bicycle).
It refers to a spectrum of changes that occur as a result of
one's experience.
It may be noted here that some behavioural changes take
place due to the use of drugs, alcohol, or fatigue. Such changes
are temporary. They are not considered learning.

DEFINITION AND CONCEPT

According to Stephen P Robbins, Learning is any relatively
permanent change in behavior that occurs as a result of
experience

In the above definition learning has several components:

First: Learning involves change, be it good or bad.
Second: the change in behavior must be relative permanent. A
temporary change in behavior as a result of fatigue or temporary
adaptions are not considered learning

Third: Only change in behavior acquired through experience is

considered learning. Therefore a change in individual thought
process or attitude, if accompanied by no change in behavior
would not be learning. ie; ability to work do to maturation, disease
or physical damage would not be considered learning.
Fourth: some form of experience is necessary for learning.
Experience may be acquired through practices or observation or
indirectly, as through reading
Finally: Learning is not confined to our schooling only. As a matter
of fact. Learning is a life-long process.

COMPONENTS OF LEARNING

DETERMINANTS OF LEARNING

MOTIVES
It can be a reason for doing something
It also called as drives (an urge to attain)
It refers to prompt people to action
Motives are primary energizers of people behavior and , mainspring
of action
Motives are largely subjective and represent the mental feelings of
human being actions.
Motives are cognitive variables which arise continuously and
determine the general direction of an individual's behavior.

STIMULI
It refers to data or information and important determinant
factor of learning
Stimuli are objects which are exist in the environment in
which person lives.
Ex: Heat, light, sound etc
Stimuli increase the probability of eliciting specific responses
may be directly or indirectly from a person.

GENERALIZATION
It is one of principles of generalization and it implications for
human learning.
It take place when the similar new stimuli repeat in the
environment
It is very important to probable of eliciting a specific response
It is very important to managers to make possible for a
manager to predict human behavior when stimuli are exactly
alike in an organization.

DISCRIMINATION
It is one of the determinant factor of learning
Discrimination responses vary to different stimuli.

RESPONSES
It means a reaction to something
stimulus results in responses in terms of physical form or
attitudes or perception or in other phenomena.
It is preferable physically observable act.

Example: The stimulus is your bodies reaction to something, say

you burnt your hand, this is the stimulus. The reaction is your
bodies response to it.

REINFORCEMENT
the process of establishing a belief or pattern of behavior. /
the action or process of reinforcing or strengthening.
Reinforcement is a fundamental conditioning of learning
It can be defined as anything that both increases the strength
of response and tends to induce repetitions of behavior which
predicted the reinforcement.
In this case, there is no measurable modification of behavior
which can take place without reinforcement

RETENTION
Retention refers to remembrance of learned behavior
overtime
Opposite of retention is to forgetting
Learning is forgotten over time that refers to 'extinction'
In the case, when the response strength returns after
extinction without any intervening reinforcement that is called
'spontaneous recovery.

What you understood ?

Inorder to learning to occur there must be a
MOTIVE and which will lead to a STIMULI to elicit a
desired RESPONSE and repeated response will lead
to REINFORCEMENT, during this process some facts
would be RETAINED that is known as learning

THEORIES OF LEARNING
1. Classical conditioning theory.
2. Operant conditioning theory
3. Cognitive learning theory and

4. Social learning theory.

BEHAVIORISM
theory.

BEHAVIORISM
It is confined to observable and measurable behavior.
Learning is defined by the outward expression of new
behaviors.
Biological basis for learning.
Focuses on observable behaviors.

THEORIES OF LEARNING
CLASSICAL CONDITIONING:
Classical conditioning is one of the simplest forms of learning, yet it
has a powerful effect on our attitudes, likes and dislikes, and
emotional responses.
We have all learned to respond in specific ways to a variety of
words and symbols.
It involves modifying the behavior so that a Unconditioned stimulus
(food) is paired with an conditioned stimulus (bell) and elicits an
conditional behavior (Salivation).
Ivan Pavlov, a Russian psychologist developed this theory based on
his experiments. Ivan Pavlov's researched on the conditioned reflex
in a dog.

IVAN PAVLOV (1849 - 1936)

IVAN PAVLOV was a Russian scientist that won the Nobel prize in Physiology in 1994

His book "Conditioned Reflexes" is one of the classic works in psychology.

IVAN PAVLOVS EXPERIMENTS

This experiment was meant to teach a dog how to salivate in
response to a ringing of bell.
When Pavlov presented meat in front of a dog, it started to salivate
immediately. Here meat is an unconditioned stimulus while
salivation is an unconditioned response.
But when a bell was merely rung, there was no salivation of the
dog
Pavlov then tried to link the meat with ringing of bell. He first rung
the bell and then presented the meat. This process was repeated
many times.

 Later when Pavlov merely

rung the bell, the dog began
to salivate even before the
meat was presented. Then
even without the meat, the
dog began salivation with
the ringing of bell alone.
In effect the dog was learned
to respond i.e. to salivate to
the bell.

Classical condition has its own limitations:

First, human beings are more complex than dogs and hence less
amenable to simple cause and effect conditioning.
Secondly, the behavioral environment in organization is also
complex.
Thirdly, human decision making process being complex in nature
makes it possible to over ride simple conditioning.

B.F. Skinner
B.F. Skinner (1904 1990) was an American scientist
most known for his use of operant conditioning
Skinner conducted experiments in which he rewarded
pigeons when they behaved in a correct way
He concluded that people shape their behavior based
on the rewards or positive reinforcement they receive
(Shelley 259)

OPERANT CONDITIONING:
This is based on the notion that behavior is a function of its
consequences which can be positive or negative.
He argued that creating pleasant consequences to follow
specific norms of behavior would increase the frequency of
that behavior.
Three strategies to influence and shape behavior are:
Reinforcement, Punishment and Extinction (no reward for
unaccepted behaviour)

Differences between
Classical conditioning
A change in stimulus elicits a particular
response
The strength and frequency of
classically conditioned behaviors are
determined mainly by the frequency of
eliciting stimulus.
The stimulus serving as reward is
present every time.
Responses are fixed to stimulus

Operant Conditioning
Stimulus serve as a cue for a person to
emit the response
The strength and frequency of operantly
conditioned behaviors are determined
mainly by the consequences.
The reward is presented only if the
organism gives the correct response.
Responses are variable both in types and
degrees.

COGNITIVE THEORY
Many theorists believe that classical and operant
conditioning are not sufficient to explain the major
problem solving situations in the case of human beings.
It is in this case the cognitive theory comes into highlight.
Cognition is defined as an individuals thoughts,
knowledge, interpretations, understanding or views about
oneself and his/her environment.
Hence this theory argues that a person tries to form
his/her cognitive structure in memory, which preserves
and organizes all information relating to the events that
may occur in learning situation.

 Eg: Kohlers monkey and stick experiment:

Kohler presented two sticks to a monkey in cage. Both sticks were
too short to reach a banana lying outside the cage. The monkey
joined these sticks together and pulled the banana inside the
cage. What the monkey did was without any prior exposure. This
is as a result of an experience or cognition insight in the mind of
the monkey.
Hence learning process that happened here is putting or
organizing bits of information in a new manner perceived inside
the mind.

SOCIAL LEARNING THEORY

Learning through both observation and direct experience is
called as social learning.
Individuals learn by observing the models they admire. Eg:
parents, teachers, peers, superiors etc.
In social learning a person starts to display his/her behavior like
that of the model.
Social learning too can have negative consequences eg: late
coming superior can lead to his subordinates following the
same behavior.

Four processes for determining the influence of a model on an

individual:
Attention process: people learn from the models by paying
attention to critical features. Hence models who are attractive,
repeatedly available or important tend to influence us the
most.
Retention process: A models influence depends on how well
the individual can remember of retain the behavior of the
model in their absence.

 Motor reproduction process: the individual needs to convert

the models action into his/her action. This process explains
how well an individual can perform the modeled action.
Reinforcement process: individuals become motivated to
display the modeled action if incentives and rewards are paid
to them.

LEARNING PRINCIPLES
REINFORCEMENT: Anything that increases the strength of
response and tends to induce repetitions of behavior that
preceded the reinforcement. It can be positive or negative.
Eg: rewards, incentives, penalty etc.
PUNISHMENT: Another way of changing human behavior. It is
the inverse of reward. It involves application of negative
consequences following an undesired behavior.
Eg: a footballer given red card for offensive behavior towards
the referee

HOT STOVE RULE

Douglous McGregor suggested it to administer punishment more
effectively. It suggests that punishment is like touching a hot stove:
The burn is immediate. There is no question of cause and effect.
The person had an ample warning. Seeing the red colour of hot
stove he will know what to expect when touching it.
The burn is consistent. Everytime one touches it, the response is
same ie he gets burned
The burn is impersonal. Regardless of who one is, the stove will
burn anyone.

Personality

Personality
Personality is widely understood as a term of influencing other
through external appearances but inner awareness of self
also constitute in shaping personality
Personality refers to the relatively enduring characteristics
that differentiate one person from another and that lead people
to act in a consistent and predictable manner, both in
different situations and over extended periods of time.
Personality is defined as: the enduring or lasting patterns of
behavior and thought (across time and situation).

In simple words..
Personality refers to
Sum total of physical and psychological factors
that determine individual behavior
In a particular environment/situation

 Gordon Allport has identified 50 definitions for personality

which he categorized into 5 areas:
1. Omnibus: These definitions view personality as the sum total,
aggregate of properties, qualities etc.
2. Integrative or configurational: It stress upon organization of
personality attributes.
3. Hierarchical: It stress upon the various levels of integration or
organization of personality.
4. Adjustment: it emphasizes on the adjustment of an individual
to environment.
5. Distinctiveness: This stress upon the uniqueness of personality.

PERSONALITY THEORIES
Theories not only taken from psychology but even from other
fields dealing with human behaviour
Mainly Grouped under 4 category
1) Psychoanalytic Theory
2) Socio psychological Theory
3) Trait Theory
4) Self Theory

1) Psychoanalytic Theory
Psychoanalytic theory is a method of
investigating and treating personality
disorders and is used in
psychotherapy. Included in this
theory is the idea that things that
happen to people during childhood
can contribute to the way they later
function as adults.
Sigmund Freud has contributed more
toward this theory and said that major
motivating force in man was unconscious
framework

1) Psychoanalytic Theory
Sigmund Freud's psychoanalytic theory of personality
argues that human behavior is the result of the
interactions among three component parts of the mind:
the id, ego, and superego.

It is based on the notion that man is motivated more by

unseen forces than he is controlled by conscious and
rational thoughts.
3 aspects of the framework id, ego and super ego

 The Id: It is a source of psychic energy and seeks immediate gratification of biological
or instinctual needs (hunger, thirst, sex). It is the unconscious part of human
personality.
As the individual matures he learns to control id, still it remains to be a driving force
throughout life. Id operates on the pleasure principle(Freud, 1920) which is the idea that
every wishful impulse should be satisfied immediately, regardless of the consequences.

Ego: It is a conscious and logical part of human personality. Ego keeps id in check
through realities of external environment through intellect and reason. The ego
considers social realities and norms, etiquette and rules in deciding how to behave.
the decision-making component of personality that operates according to the reality
principle.

Super Ego: It represents the social and personal norms and serves as an ethical
constraint on behavior. Hence it is described as the conscience (Conscience is an
aptitude, faculty, intuition or judgment that assists in distinguishing right from wrong.).
the moral component of personality that incorporates social standards about what
represents right and wrong.

2) Socio-psychological Theory
This theory recognizes the interdependence of individual and
society.
The individual strives to meet the needs of society while the
society in turn helps the individual to fulfill his goals.
This theory is different from psycho-analytic in two ways:
1) it is based on social variables and not biological instincts.
2) behavioral motivation is conscious which means an individual
knows his needs and wants and his behavior is directed to meet
such needs.

3) Trait Theory
It presents a quantitative approach to study of personality.
It postulates that an individuals personality is composed of
definite predispositional attributes called traits.
Traits can be regarded as individual variables.

Three assumptions of Trait Theory >>>

Three assumptions of Trait Theory

1. Traits are common to many individuals but vary in absolute
amounts or degree between individuals.
2. Traits are relatively stable and exert fairly universal effects on
behavior regardless of the environment.
3. Traits can be inferred from the measurement of behavioral
indicators.

4) Self Theory
Also termed as organismic or field theory
Gives importance to the totality and interrelatedness of all
behaviors.
This approach treats the organism as a whole to the highest
degree than compared to other theories.
Major contribution given by Carl Rogers. He describes self
concept in this theory based upon four factors:

4.1) Self-image: It is the way one sees himself. An individuals

belief of himself and of what he is taken together becomes his
self image or identity.
4.2) Ideal-self: It denotes the way one likes to be. Ideal self
differs from self image in the sense that the latter indicates the
reality of person as perceived by him whereas the former
denotes the ideal position as perceived by him.

4.3) Looking glass-self: It is the perception of a person about

how others are perceiving his qualities and characteristics.
4.4) Real-self: This is what one really is. The first three
factors are perceptions of the individual while this is the
reality. The real self can be similar or different to the
perceptions.

PERSONALITY TRAITS

PERSONALITY TRAITS AFFECTING BEHAVIOUR

BIG FIVE PERSONALITY TRAIT (five-factor model (FFM)

Agreeableness
Conscientiousness
Negative emotionality (Neuroticism)
Extroversion
Openness

OTHER PERSONALITY TRAITS

Self concept & self esteem

Machiavellianism
Locus of Control
Tolerance for ambiguity
Type A & B
Work Ethics Oriented
Risk Propensity

Agreeableness
It refers to a persons ability to get along with others
High : Such people are good to develop working relationship
with coworker, subordinates, superiors.
Same behavior pattern may extend to relationship with
customers, suppliers and other stakeholders

Conscientiousness
It refers to the number of goals on which a
person focuses his attention.
HIGH: Few goals at a time > likely to be
organized, systematic, careful, thorough and
disciplined.
LOW: May pursue wider array of goals, as a
result; disorganized, careless, irresponsible
Conscientiousness people: Take job seriously
and approach their job in a highly responsible
manner

Negative Emotionality
Emotion means moving of feelings or agitation of mind
LOW: Would be relatively poised, clam, resilient, and secure
such people tend to be more reliable and would be capable to
handle job stress, pressure, tension etc..
HIGH: More excitable, insecure, reactive and subject to
extreme mood swing

Extroversion
Degree of extroversion reflects a persons
comfort level with relationships.
Introversion : tendency of person to turn inward.
A They are quite, reflective and intellectual
people who prefer to interact with a small
intimate circle of friends. R & D
Extroversion : Turn outward of themselves and
look for external stimuli with which they can
interact. They are sociable, lively people.
Sales, publicity department, Public Relations
unit etc

Openness
It refers to a persons rigidity of beliefs and range of interests.
HIGH: Willing to listen to new idea and change their own ideas,
belief and attitude to new information. They tend to be
curious, imaginative and creative
LOW: Tend to be less receptive to new ideas, less willing to
change their mind, fewer and narrow interest.

Other Personality Traits

Self Concept and Self Esteem

Self Concept: the way in which individual
define themselves as to who they are and
derive their sense of identity.
Self Esteem: It denotes the extent to which
they consider themselves capable, successful,
important and worthy individuals.
High self esteem people take more challenging
assignment and contribute significantly to org
effectiveness, If the organization rewards
them suitably for their contributions

Machiavellianism
It refers to manipulation of others as a primary way of
achieving ones goals.
Mach scale measure the extent to which an individual tends to
be Machiavellian.
People with high score- Cool, logical in assessing the system
around them, willing to twist and turn facts to influence others
and try to gain control of people, event and situation by
manipulating the system to their advantage.

LOCUS OF CONTROL
It means whether people believe that they are in
control of event or events control them.
Those who have internal locus of control believe
that they control and shape course of events in
their lives. (Such people seeks opportunity for
advancement and rely more on their ability and
judgement at work)
External locus of control: people believe that
events occur purely by chance or because of
factors beyond their control. (Such people mostly
remain inactive and allow the events to occur on
their own)

TOLERANCE FOR AMBIGUITY

Some of them can tolerate High tolerance for
ambiguity without undue stress.
Less tolerance people would better fit in
structure work setting
but change is
unavoidable fact. With change ambiguity
comes in so hard to keep full information of
uncertain future
It is essential to develop high level of
tolerance for ambiguity

TYPE A & B
TYPE A : Always feel sense of time urgency, highly achievement
oriented, exhibits a competitive drive and are impatient when
their work is slowed down for any reason
Such people are more prone to heart attack
TYPE B: they are easy going, do not have urgency for time and
no competitive drive.

WORK-ETHIC ORIENTATION
EXTREME WEO: people gets greatly involved in the job and live
up to be described as living, eating and breathing the job.
For such people work becomes the only consideration of
satisfaction and they have little outside consideration. Health
issues and affects long term org effectiveness
LOW WEO: Does thing to escape from being fired. Such people
wont be able to achieve anything meaningful for the
organization

RISK PROPENSITY
The degree to which one person is ready or willing to take risky
decision.
A person with high risk propensity experiments with new idea.
(New product, Strategy) but can jeopardize firms reputation if
gone wrong.
Low risk takers : Will be excessive conservative and tries to
maintain status quo. In Org. Such person resist change and stay
away from trying new ideas.

PERSONALITY TRAITS OF
INDIAN MANAGERS

1. Some what emotional, casual, sensitive,

tough, tense and group dependent
2. two personality characteristics
Authoritarian and Machiavellianism
3. They have need for achievement and
competence but they have lower level of
maturity and suspicion as compare to
American managers
4. They have paternalistic type behavior such as
cooperation, friendliness, sympathy and
nurturance. Also discuss personal problems
with someone

ORGANISATIONAL APPLICATION OF

PERSONALITY

 Matching job and individual

Designing motivation System
Designing Control System

Perception