Paper: 13, Organization Behaviour

Module: 8, Evolution of Organisational behaviour-II

Prof. S P Bansal
Principal Investigator Vice Chancellor
Maharaja Agrasen University, Baddi

Prof YoginderVerma
Co-Principal Investigator Pro–Vice Chancellor
Central University of Himachal Pradesh. Kangra. H.P.

Prof. A. K. Saihjpal
Paper Coordinator School of Management,
Maharaja Agrasen University, Baddi, H.P.

Dr. Harpreet Singh Chahal

Department of Business Management
Content Writer Guru Nanak Dev Univertsity, Regional Campus,
Gurdaspur
 Items Description of Module

Subject Name Management

Paper Name Organization Behaviour

Module Title Evolution of Organisational behaviour-II

Module Id Module no.-8

Pre- Requisites Classical approach to OB.

Objectives To understand Behavioural approach to OB

Keywords Human Relations Movement, Behavioural science approach

QUADRANT-I

Module 6: Organisational behaviour models

1. Learning outcome
2. Introduction
3. Human Relations Movement
4. Behavioural science approach
5. Summary

1. Learning Outcome:
After completing this module the students will be able to:
 Describe the Human relations approach of Management
 Contribution of Hawthorne experiments in Human relations approach.
 Discuss Behavioural science approach of management

2. Introduction
In the previous module, we have discussed classical approach of organisation. Now, we will discuss
behavioural approach of organisational behaviour. This approach was developed gradually over many
years. It is based on the conviction that organisational efficiency depends upon managers’s ability to
 understand work as well as people having varied backgrounds, needs, values, perception and
personality. Therefore, human factor is central to this approach. This approach can be understood in
two phases:
 Human relations movement
 Behavioural science approach
3. Human Relations Movement
The findings of earlier writers, particularly of scientific management, focused more on the relevance of
mechanical and physiological variables in increasing organisational effectiveness. Surprisingly, it was
found that favourable aspects of these variables could not generate favourable human behaviour at work.
Hence, researchers began to investigate the causes of human behaviour at work. Hence, failure of
scientific management resulted into the origin of human relations movement which focuses heavily on
employee morale and cooperation. This approach considers employees as human beings not and not as
machines. It suggested that needs and problems of employees should be taken care of and they should be
involved in the organisational decision making. The essence of human relations approach is contained in
two points: (i) organisational situation should be viewed in social as well as technical terms. (ii) social
process of group behaviour can be understood in terms of clinical method which is similar to doctor’s
diagnosis of human organs. Elton Mayo, Mary Parker Follet and Douglas McGregor were the main
contributors of this movement.
Three main contributing factors to this approach were Great Depression, labour movement and
the Hawthorne studies. In 1929, due to crash of exchange America faced the phase of Great Depression.
The consequences of Great depression were unemployment, decline of purchase power, collapse of
markets and declining standards of living of people. This phenomenon was not confined to America only
but, was spread worldwide. Besides these negative effects, one positive outcome of great depression was
that the management started to realise that production alone cannot be the major function of organisation.
Marketing, finance and human resources are also equally important for an organisation to survive and
grow. At that time, personnel departments were either created or received more emphasis. Therefore,
Human relations emerged as direct or indirect impact of great depression. But, very soon it was realised
that creating or strengthening more personnel departments is not sufficient enough to improve the plight
of workers because the organisational objective of producing more still involved the employees in the
process of production. Genuine working hours, fair wages and adequate working conditions were
sacrificed more for production. Therefore, exploitation of labour continued. This made the workers
 believe that nobody else than themselves can protect them. They formed strong unions. The phenomenon
of unionisation affected the management. Management began to give due importance to the employee
relations, wages, hours of work and conditions of employment.
3.1 Hawthorne Studies
Though the phase of depression and the labour unions contributed to the development of human relations
directly and indirectly, the Hawthorne Studies provided a concrete base to this approach. The studies
were carried out by Elton Mayo, a professor of industrial relations at Harward School of business
administration. The studies were conducted at Western Electric Company’s Hawthorne works in a suburb
of Chicago. Elton Mayo is also called the father of human relations movement.
Hawthorne experiments were carried over a period of 8 years from 1924-1932. The experiment
was started to establish a relationship between productivity and physical working conditions but at later
stages the study found that workers’ behaviour and sentiments were closely related and a person’s
behaviour was significantly affected by the group influences. Hawthorne studies consisted of four
experiments as explained below:
 The first major experiment was Illumination Experiment (1924-1927). The purpose of this
experiment was to study the effect of different levels of lighting on productivity. The experiment
included two groups: control group and experimental group. Control group was not exposed to
any variation in light whereas experimental group experienced changes in lighting level. Results
of the experiment were shocking. As lighting was increased for experimental group, productivity
of the group also increased but, when lighting was subsequently reduced, the productivity still
increased more. On the other hand, lighting for the control was not increased but still their
productivity increased. Eventually it was concluded that lighting did not have any effect on the
productivity of employees but there was something else which was responsible for the same. At
that time it was realised that human factor was important in determining productivity of the
employees.
 Relay assembly test room experiments (1927-1928): This experiment was designed to
determine the effect of changes in various job conditions on the productivity of the group as a
whole. For this purpose a relay assembly room was set up and two girls were chosen. These two
girls were asked to choose four more girls as their co-workers. Output of the group was based on
speed and continuity of the group members. Experiment started with introducing various changes
in the sequences with duration ranging from four to twelve weeks. An observer was also
 associated to supervise the performance of the girls. Before introducing any change, girls were
consulted and were asked to express their views and concern to the supervisors. Following
changes were introduced:
o The incentive system was changed so that each girl’s extra pay could be calculated on the
basis of other group members. The productivity was increased as compared to earlier.
o Two rest breaks of five minutes were introduced, one in the morning and one in the
evening session. The duration of the breaks was then increased to 10 minutes each.
Productivity again increased.
o Rest period was reduced back to 5 minutes but the frequency of rest breaks was increased.
The productivity increased slightly. However girls reported that frequent breaks hamper
the rhythm of their work.
o The number of rest breaks was reduced to two of 10 minutes each. In the morning a cup
of coffee or soup was served with sandwich but in the evening snack was provided. The
productivity still increased.
o Changes in the work hours and workdays were introduced. The girls were allowed to leave
the factory at 4.30 pm. The productivity increased.

With each change productivity increased. Later researchers decided to revert back to original
position, that is no rest break, no other benefits. It was very surprising that productivity still
increased. This led the researchers to think on the lines that productivity of the girls did not
change because of any change in the physical factors but the attitude of the girls found to be
changed towards the work and the co-workers. A sense of stability and belongingness was
developed between the girls and the supervisor which further resulted into self discipline. The
relationship between the workers and the management got closer and friendlier than before.

 Mass interviewing programme (19228-1930): During the experiments, about 20000

interviews workers were interviewed to evaluate attitude of employees towards company and
the other terms and conditions of working. Initially, the interviews were conducted by asking
direct questions to the workers such as “Do you like your supervisor?” or “is your supervisor
fair or does he has any favourite?”, but this method of interviewing could not study root of the
problem. Therefore, the non directive method was adopted at later stage. Now interviewer was
supposed to listen to the employees instead of talking and arguing. This interview programme
 revealed many facts about human behaviour in an organisation. It was found that human
behaviour was more influenced by the group behaviour. However, this conclusion was note
very satisfactory and therefore, another series of experiment was conducted to study the
behaviour of employees in small groups.
 Bank wiring observation room experiments (1931-1932): these experiments were conducted
for the purpose of analysing the behaviour of individuals in the small groups. In a bank wiring
room a group of 14 male workers was employed. Among these 14 workers, 9 were wiremen,
three solder men and two inspectors. Bonus of the workers was to be based on average output
of the group. It was found that output of the group was decreased. Workers decided the targets
for themselves and these targets were lower than the output set by the company. On asking the
reason for the same, the workers gave the following reasons:
o Fear of unemployment: the basic reason behind the reduced production was fear of
unemployment. The workers thought that if the production per head would go up. Some
of the average workers would get unemployed then.
o Fear of raising the standards: workers were of the opinion that if they would reach the
standard rate of production, management would raise the targets for them forever.
o Protection of slower workers: workers were having friendly relationships with each other
on the job as well as off the job. Therefore, faster workers attempted to protect slower
workers by restricting the production.
o Satisfaction on the part of management: workers believed that the lower rate of production
was acceptable to the management as no one was fired or reprimanded for restricted
output.

The study suggested that workers set certain norms of behaviour for each other. Those workers whose
behaviour confirms with both output norms and social norms are preferred by the management. It was
concluded that informal relations are important factors in determining the human behaviour.

3.1.1 Findings of Hawthorne Experiments

The major findings of the experiments are as follows:

1. Social Factors in Output: An organisation is basically influenced by social factors. In fact, Elton
Mayo has described an organisation as “a social system, a system of cliques, informal status system,
 rituals and a mixture of logical and non logical behaviour. Therefore, an organisation is not just a formal
structure which is designed for production function but is a system where production norms are set by
social norms.
2. Group Influence: Employees being social beings create and join informal groups in the organisations
which are different than their official groups. The experiment revealed that such groups are created to
overcome the drawbacks of formal groups. Informal groups are very influential in determining the
norms and behaviour of the members.
3. Conflict: Though there may be conflicts between the organisations and informal groups due to
incompatible objectives of the two, informal groups still help in achieving organisational objectives by
overcoming the obstacles created by formal relations in the organisations.
4. Leadership: Leadership is very important in directing and providing instructions to the groups in the
organisations. Leadership does not necessarily come from the officially and formally appointed leader
by the organisations but, informal leaders may also direct the group. Employees happily accept the
superior as their leader if, his style of leadership is in accordance with the human relations approach.
5. Supervision: Supervisory climate is very important in determining efficiency and productivity of the
staff. A friendly, supportive, attentive and genuinely concerned supervisor affects the productivity
positively.
6. Communication: Open and two way communication between the leader and the workers improve the
productivity as well as satisfaction level of the employees.

3.1.2 Assessment of Hawthorne Experiments

Hawthorne experiments opened up a new discussion in the area of management by focusing on the
importance of social factors in improving the productivity. However, many behavioural scientists
criticised the findings of Hawthorne experiments on following grounds:
 Hawthorne researchers did not give sufficient attention to the attitude that people bring with them
on workplaces. Besides that effect of many other social factors such as class consciousness, role
of the unions and other extra plant forces on attitude of workers was ignored.
 Hawthorne studies viewed workers as the means to achieve the end not an end themselves.
 Hawthorne plant where the experiment was conducted was itself not a typical plant because it was
a thoroughly unpleasant place to work. Hence, the results of Hawthorne studies could not be valid
for others.
 In spite of the above critics, Hawthorne experiments have been recognised for discovering the
importance of human factors in the organisational context.

4. Behavioural Science approach

The Human Relations movement continued and flourished for a long time but unfortunately because of
the wide and fast spread of the movement, faddism and shallowness developed. Though the Human
relations approach lost its flavour, it continued to be used especially at operating level. In light of certain
drawbacks and inadequacies of human relations approach, efforts were made by behavioural scientists to
study and analyse human behaviour systematically. ‘Behavioural Science Approach’ defines a systematic
and scientific study of human behaviour in order to determine the causes and effects of behaviour of an
individual at work. This approach is known as ‘organisational behaviour approach’. This approach is
interdisciplinary and is based on other social sciences such as psychology, sociology, anthropology and
etc. This approach has a significant impact on modern management theory because it helps in explaining
the reasons of employees’ behaviour. Managers considerably started recognising the importance of
human resources and endeavoured to analyse the role of people in complex and competitive business
situations. This realisation actually came from the evolution of ‘Organisational Behaviour’. The approach
is based on the following assumptions:
 Socio technical system: advocates of the behavioural science theory strongly believe that
organisations are socio-technical systems consisting individuals and interpersonal relations on one
hand and techniques and methods used to perform the tasks on the other hand.
 Integration of individual and organisational goals: this approach is of the view that individual
goals should be integrated with the organisational goals in order to avoid conflict.
 Conflict and cooperation: as per this approach, conflict and cooperation co-exist. Conflicts are
important and desirable in the organisations. This is because employees of different interests,
backgrounds, perceptions and personalities work in the organisations and conflicts are bound to
happen in such a diverse community. It is desirable for the managers to operate carefully and
cautiously and efficiently in the conflicting situations.
 Individual differences: behavioural scientists recognise the individual differences in terms of their
personality, goals, beliefs, values and perceptions.
  People are the key to productivity: the behavioural approach assumes that technology, work
standards and other physical factors of production can never guarantee the higher performance
but, human beings can be considered as the key to productivity.
5. Summary
In this module, we have discussed behavioural approach of organisational behaviour. This approach was
developed gradually over many years. It is based on the conviction that organisational efficiency depends
upon managers’s ability to understand work as well as people having varied backgrounds, needs, values,
perception and personality. Therefore, human factor is central to this approach. This approach can be
understood in two phases viz. Human relations movement and Behavioural science approach.
Human Relations Movement: The findings of earlier writers, particularly of scientific management,
focused more on the relevance of mechanical and physiological variables in increasing organisational
effectiveness. Hence, failure of scientific management resulted into the origin of human relations
movement which focuses heavily on employee morale and cooperation. This approach considers
employees as human beings not and not as machines. It suggested that needs and problems of employees
should be taken care of and they should be involved in the organisational decision making. The essence
of human relations approach is contained in two points: (i) organisational situation should be viewed in
social as well as technical terms. (ii) social process of group behaviour can be understood in terms of
clinical method which is similar to doctor’s diagnosis of human organs. Elton Mayo, Mary Parker Follet
and Douglas McGregor were the main contributors of this movement.
Three main contributing factors to this approach were Great Depression, labour movement and the
Hawthorne studies. In 1929, due to crash of exchange America faced the phase of Great Depression. The
consequences of Great depression were unemployment, decline of purchase power, collapse of markets
and declining standards of living of people. Genuine working hours, fair wages and adequate working
conditions were sacrificed more for production. Therefore, exploitation of labour continued. This made
the workers believe that nobody else than themselves can protect them. They formed strong unions. The
phenomenon of unionisation affected the management. Management began to give due importance to the
employee relations, wages, hours of work and conditions of employment.
Though the phase of depression and the labour unions contributed to the development of human relations
directly and indirectly, the Hawthorne Studies provided a concrete base to this approach. The studies
were carried out by Elton Mayo who is also called the father of human relations movement.
Hawthorne experiments were carried over a period of 8 years from 1924-1932. The experiment was
started to establish a relationship between productivity and physical working conditions but at later stages
the study found that workers’ behaviour and sentiments were closely related and a person’s behaviour
was significantly affected by the group influences.
Behavioural Science approach: The Human Relations movement continued and flourished for a long
time but unfortunately because of the wide and fast spread of the movement, faddism and shallowness
developed. In light of certain drawbacks and inadequacies of human relations approach, efforts were
made by behavioural scientists to study and analyse human behaviour systematically. ‘Behavioural
Science Approach’ defines a systematic and scientific study of human behaviour in order to determine
the causes and effects of behaviour of an individual at work. This approach is known as ‘organisational
behaviour approach’. This approach has a significant impact on modern management theory because it
helps in explaining the reasons of employees’ behaviour. Managers considerably started recognising the
importance of human resources and endeavoured to analyse the role of people in complex and competitive
business situations. This realisation actually came from the evolution of ‘Organisational Behaviour’.