Part A

ASSIGNMENT
ON
ORGANIZATIONS & BEHAVIOUR

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INDEX
1 INTRODUCTION
2 ORGANIZATIONAL STRUCTURE & CULTURE
3 HOW THE RELATIONSHIP BETWEEN ORGANIZATION’S STRUCTURE & CULTURE CAN
IMPACT ON THE PERFORMANCE OF THE BUSINESS
4 THE FACTORS WHICH INFLUENCE INDIVIDUAL BEHAVIOUR AT WORK
5 EFFECTIVENESS OF DIFFERENT LEADERSHIP STYLES IN ORGANIZATIONS
6 HOW ORGANIZATIONAL THEORY UNDERPINS THE PRACTICE OF MANAGEMENT
7 THE DIFFERENT APPROACHES TO MANAGEMENT USED BY DIFFERENT
ORGANIZATIONS
8 IMPACT THAT DIFFERENT LEADERSHIP STYLES MAY HAVE ON MOTIVATIONS IN
ORGANIZATIONS IN PERIODS OF CHANGE
9 APPLICATION OF DIFFERENT MOTIVATIONAL THEORIES WITHIN THE WORKPLACE
10 THE USEFULNESS OF A MOTIVATION THEORY FOR MANAGERS
11 THE NATURE OF GROUPS & GROUP BEHAVIOUR WITHIN ORGANIZATIONS
12 FACTORS THAT MAY PROMOTE OR INHIBIT THE DEVELOPMENT OF EFFETCIVE
TEAMWORK IN ORGANIZATIONS
13 IMPACT OF TECHNOLOGY ON TEAM FUCTIONING WITHIN A GIVEN ORGANIZATION
14 BIBLIOGRAPHY

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INTRODUCTION:

Why are some organizations more successful than others? Is it their emphasis on innovation
and risk taking? Their founders' eccentric and visionary personalities? Or perhaps their
bureaucratic discipline and effectiveness? I would like to explore some of these questions by
showing relationship between organization’s structure & culture, factors influencing individual
behavior, different leadership styles & their effectiveness, different organizational theory,
approaches to management, different motivational theories, usefulness of motivational
theories, details regarding team work. I also strive to show how these factors will make a
organization successful.

ORGANIZATIONAL STRUCTURES & CULTURE

Organization structure: Every organization should have Organization structure because it tells
about the level of hierarchy that who is responsible to whom and also shows position of a
person. Organization structure consists of vital pillars of an organization which the organization
is composed of:
Work Specialization: Work specialization is a key factor of organization structure. In the
organization there are several jobs along their workers. So the workers perform individually
their tasks so they are performing that activity again and again then they trained and work
specialized on their field.
Departmentalization: Though departmentalization jobs are divided into the specialize work and
they perform the tasks in a groups the following are the forms of departmentalization
Customer Departmentalization, Geographical Departmentalization, Functional
Departmentalization, Product Departmentalization, Process Departmentalization
Chain of Command: Chain of command is the responsibility, proper line of authority in the
organization. Classical theory explains hierarchy or chart structure that who reports to whom,
and clarifies the ranks it tells about the duties, responsible assignments in organization. In some
of the organization is based on it like navy and much active.
Span of Control: It explains the actual position of the manager in the organization that how
managers are controlling their sub co-ordinates we have two types of spin of control. Tall and
narrow and the other one is Flat and wide.
Tall and narrow: In this factor manager can handle five to eight sub co-ordinates. It is much
easier to handle minimum people good communication will be there supervision will be
stronger its means that the distance between CEO and lower managers is very less.
Flat and Wide: This is totally opposite to the tall and narrow. There is many sub co-ordinates
under the manager. So it’s very much difficult to handle many people motivation to every is
much difficult and normally human can handle eight people. So as a result no attraction to the
works moral will be down. No communication between the manager and employees because
it’s not easy to ask about the work daily the result will be not impressive in that kind of
organization….
Centralization and Decentralization: It tells about the organization structure that who is the
decision maker in the organization. In the centralization decision making is concentrated by the
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single person and the decision making is done higher manager with no interaction from the
lower level and in the decentralization decision making is get distributed in the hierarchy
throughout the organization its benefits is actions and decisions are taken more quickly and
more confident.
Matrix Structure: Matrix structure is the combination of the product customer, functional
departmentalization. An organization which has a matrix structure that is the team work of the
business and based for the project. Every department is responsible for their section. This team
work is up to the project time if the project time is over then they divert to another project.
Here the project manager is responsible after the completion of the project and budget

Organizational Culture: Organization culture is the set of values, rules, beliefs, attitudes and
regulations these factors can help members of the organization to know how we will Work. To
whom we will report? What we this? Why this is important? Culture is like a backbone for the
organization because it is the internal environment it play a key role to success of the firm
Power Culture: Power culture is centralized this culture may found in the small kinds a business
control is the basic element the decision maker is alone there is no consultancy the
organization may react quickly to the danger. Some times more consultancy can lead to staff
feeling undervalued and de-motivated, which can also lead to high staff turnover.
Welfare/ Person culture: Basically this kind of culture is a welfare non profitable, charities and
for the social activities. This kind of culture can be in the group or individual aim
Task Culture: It is basically a team work based approach to complete a particular task. This
culture is more common the business where the organization will establish a project team to
complete the project in the particular time.
Role Culture: Common in most organizations today is a role culture. In a role culture,
organizations are split into various functions and each individual within the function is assigned
a particular role. The role culture has the benefit of specialization. Employees focus on their
particular role as assigned to them by their job description and this should increase productivity
for the company. This culture is quite logical to organize in a large organization.
Culture & Structure of Ryanair: Here discussion will be made using three models: Schein’s
(1985), Harrison and Stokes (1990), Slocum and Hellriegel (2007).
On the basis of Schein’s (1985) model, When Ryanair was launched, Ryan had an idea of a low-
cost, no-frills airline, but at the same time he did not want his name to be associated with
anything cheap. The airline was recognised as a glamorous and exciting place to work (Ruddock,
2008). On the other hand, O’Leary had the attitude that the company’s environment had to
reflect its culture. Cost-cutting policies are applied in every organizational aspect. For example,
when Ryanair people travel, they stay in budget hotels and they fly economy class (Ruddock,
2008). The company do not have prestige corporate headquarters and the old company logo
was used (Barrett, 2004).
Language used by O’Leary became synonymous with Ryanair (Creaton, 2005). He can tell
anyone to ‘fuck off’ and his favourite insult is ‘wanker’, he used his own ‘bolloxology’ (Creaton,
2005:5). A volatile atmosphere was created at the airline, where people were impatient,
shouted and roared when they shouldn’t (Creaton, 2005). Ryanair does not publish an official
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vision and mission (Byus, 2005). However, the literature acknowledges that Tony Ryan’s original
vision was modified over the years. Ryanair was established as a ‘value for money’ company
(Creaton, 2005), which provided affordable air fairs, with excellent and professional customer
service (Creaton, 2005; Ruddock, 2008). O’Leary had only one vision – to make money
(Ruddock, 2007). He was concentrating on providing deals and ignoring the value that it brings
to the customers (Ruddock, 2008).
On the basis of Harrison and Stokes’ (1990) classification scheme, According to Harrison and
Stokes’ (1990) classification scheme, Ryanair, since its establishment, maintained a power
culture. In the early days, Tony Ryan, who had no shareholding in the company, actually ran the
business (Creaton, 2005:31). The central power role was transferred to the new CEO, O’Leary.
The company continued to be driven from the top to down, where O’Leary always had a final
say. Opposing discussions by other managers were not tolerated (Creaton, 2005). A flat
management structure (three layers) was kept despite rapid growth of the company. Only
numbers of aircrafts, pilots, in-flight people and engineers were increased. This enabled them
to avoid bureaucracy (Ruddock, 2008). Ryanair has the ability to react and respond to
competitive threats quickly, which is crucial in the competitive environment within which they
are operating.
On the basis of Slocum and Hellriegel (2007) framework, Ryanair’s aim and objectives are very
clear: to be profitable; to be Europe’s leading low-fares scheduled passenger airline; to prevent
further airlines’ domination in the market (Creaton, 2005; Ruddock, 2008); and to generate
traffic numbers through low fares (Ruddock, 2008; Ryanair.com). Its relationship with
employees is performance-based. Everyone in the company can benefit from the company’s
success (Ruddock, 2008). When the company was established its employees became
shareholders (Creaton, 2005). The performance-based rewards scheme was strengthened and
taken to a different level after the agreement between Ryan and O’Leary. His bonus percentage
was directly linked with company’s profits (Creaton, 2005). Under O’Leary’s management,
employees’ salaries are productivity based and related to incentives and commissions for on-
board duty free goods sales (O’Sullivan, 2009) and for numbers of hours flown (Ryanair.com).
The above-examined factors enable us to make assumptions that, according to Slocum and
Hellriegel’s (2007) framework, Ryanair culture can be classified as a market culture. The
concept has not changes since the company’s establishment.
Culture and Structure of British Telecom: In a global corporation of BT’s size and diversity,
creating and maintaining a corporate culture of innovation is a real challenge. Too often,
complex structures, communication gaps, and lack of management support get in the way of
promising ideas. At the same time, to remain an industry leader, BT cannot afford to leave any
resources for new business ideas untapped. BT had previously used an innovation program that
was managed by an external service provider. But in 2005, a new fresh approach was taken by
in-sourcing the operation of the program and turning it into a business driving corporate
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initiative. Expectations were high. BT needed to establish a system that would allow the
company to fully leverage the creative minds of their employees, collect customer insights, and
efficiently turn the most promising ideas into concrete projects with measurable returns.
Planned improvements to the scheme included the introduction of new incentive mechanisms
to encourage active participation and of cutting-edge tools to streamline the processes. The
Solution was that a large amount of planning and preparation went into the launch of the new
innovation program. A team of three people headed by John Nevins, Head of Innovation
Consulting was established to set up the New Ideas Scheme. John realized that BT needed a
flexible and user friendly software solution to power the program. After evaluating several
providers, Brightidea’s on-demand idea management software was chosen. Brightidea’s
WebStorm technology provided the necessary capacity, functionality and flexibility for BT’s
complex requirements, with a suite of products that help manage ideas from concept through
to realization. BT engaged an existing vendor relationship to provide the Rewards Shop, an
incentive structure that reflects different cultures, locations, local laws and currency rates. As a
top reward, submitters of implemented ideas receive 10% of the idea’s bottom line benefits of
the first year performance up to a maximum of £30,000. Throughout the global organization,
John identified and connected innovation champions. He also selected a large number of
Collect and validate new ideas Foster collaboration across silos Leverage the wisdom of the
crowds. To kick off the renewed innovation program, John’s team organized a huge New
Ideas event at BT’s global headquarters that brought all local innovation champions together
and introduced the New Ideas Scheme. With the event only weeks away, Brightidea prepared
the timely roll-out of a customized WebStorm Enterprise solution that fully integrated into BT’s
systems. Through CSS skinning, the user interfaces were branded and blended into BT’s design
for a seamless user experience. After the successful launch, BT employees all over the world
were encouraged to submit their ideas into the system as well as vote and comment on the
posted submissions. Since then, numerous WebStorms have collected ideas for certain
campaigns of different dimensions or have functioned as open innovation portals for general
suggestions.

HOW THE RELATIONSHIP BETWEEN ORGANIZATION’S STRUCTURE & CULTURE CAN IMPACT ON
THE PERFORMANCE OF THE BUSINESS:

Culture and structure is working like a backbone in the organization. It creates a new concepts
and strategies which can affect any level of planning. Organizational structure and culture can
affect progress of organization in the positive and in the negative way. In the positive way it
differentiate the organization to the another one which don’t have a culture and structure. It
explains the limitation of the firm. It provides a sense of license among the employees to know
each other for the success and achievement of goals. It can bring stability and social system in
the organization. Every organization has different policies rules and regulations that how to
communicate with the employee. The organization also shows about the responsibilities that
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who will report to whom mean who will be responsible to whom majority in this kind of
organization tasks a good decision foe the company.
Culture and structure has also some drawbacks on the business progress. If the organization
culture is too much complex then in the organization decision will be very slow and also there
will be centralized decision making in which the lower level employee’s will not be entertained.

THE FACTORS WHICH INFLUENCE INDIVIDUAL BEHAVIOUR AT WORK:

According to John Ivancevich and Michael Mattson, the major factors that influence individual
differences in behavioural patterns are demographic factors, abilities and skills, perception,
attitudes and personality. These are as follows:-
1. Demographic Factors: The demographic factors are socio economic background, education,
nationality, race, age, sex, etc. Organisations prefer persons that belong to good socio-
economic background, well educated, young etc as they are believed to be performing better
than the others. The young and dynamic professionals that have good academic background
and effective communication skills are always in great demand.
2. Abilities and Skills: The physical capacity of an individual to do something can be termed as
ability. Skill can be defined as the ability to act in a way that allows a person to perform well.
The individual behaviour and performance is highly influenced by ability and skills.
3. Perception: The cognitive process meant for interpreting the environmental stimuli in a
meaningful way is referred to as perception. Every individual on the basis of his/he reference
can organize and interpret environmental stimuli. There are many factors that influence the
perception of an individual. The study of perception plays important role for the managers. It is
important for mangers to create the favorable work environment so that employees perceive
them in most favorable way. The employees are likely to perform better if they are going to
perceive it in a positive way.
4. Attitude: According to psychologists, attitude can be defined as a tendency to respond
favourably or unfavourably to certain objects, persons or situations. The factors such as family,
society, culture, peers and organisational factors influence the formation of attitude. The
managers in an organisation need to study the variables related to job as to create the work
environment in a favorable way that employees are tempted to form a positive attitude
towards their respective jobs.
5. Personality: Personality can be defined as the study of the characteristics and distinctive
traits of an individual, the inter-relations between them and the way in which a person
responds and adjusts to other people and situations. The several factors that influence the
personality of an individual are heredity, family, society, culture and situation. It implies to the
fact that individuals differ in their manner while responding to the organizational environment.
Personality can be regarded as the most complex aspect of human beings that influences their
behaviour in big way. It can be concluded that the study of personality traits offers an
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opportunity to understand the individuals. It helps them properly in directing their effort and
motivating them for the accomplishment of the organisational goal. It refers to the fact that
different environmental factors may generate different responses. The study of these responses
is very important for the organisation. Every organisation demands a particular type of
behaviour from their employees and such behaviours can be discovered through observation,
learning, exposure, training, etc.

EFFECTIVENESS OF DIFFERENT LEADERSHIP STYLES IN ORGANIZATIONS:

The primary leadership styles affect organizations

According to William Pirraglia of Demand Media, Leadership styles have significant effects not
only in small businesses but also in the world's largest corporations. These styles affect
everyone from senior management to the newest college intern. They create the corporate
culture that influences the organization and its performance.
Autocratic Style Effects: Also known as authoritarian leadership, autocratic style clearly defines
the division between leaders and workers. Autocratic leaders make decisions with little or no
involvement from employees. These leaders are supremely confident and comfortable with the
decision-making responsibility for company operating and strategic plans. Although research
indicates that autocratic leaders display less creativity than more contemporary styles, this style
still works when fast decisions must be made without employee involvement. Employees may
feel some disconnect with this style.
Bureaucratic Style Effects: Bureaucratic leaders work "by the book." They follow rules
rigorously, and ensure that their people follow procedures precisely. This is an appropriate
leadership style for work involving serious safety risks (such as working with machinery, with
toxic substances, or at dangerous heights) or where large sums of money are involved.
Bureaucratic leadership is also useful in organizations where employees do routine tasks (as in
manufacturing).The downside of this leadership style is that it's ineffective in teams and
organizations that rely on flexibility, creativity, or innovation.
Participative Leadership Effects: Also called democratic leadership, this style is usually
considered the best option for most companies. The opposite of autocratic leadership, this style
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emphasizes that management offers guidance to its teams and departments while accepting
input from individual staff members. Leaders reserve the right to make final decisions but
encourage feedback, ideas, and suggestions from all employees. Participative leaders generally
have a more content workforce, since each individual has input into decision-making.
Charismatic style effects: A charismatic leadership style can resemble transformational
leadership because these leaders inspire enthusiasm in their teams and are energetic in
motivating others to move forward. This ability to create excitement and commitment is an
enormous benefit. The downside to charismatic leaders is that they can believe more in
themselves than in their teams. This can create the risk that a project or even an entire
organization might collapse if the leader leaves.
Delegative Leadership Effects: This style, also called laissez-faire leadership, is typically
considered the least effective option. In stark contrast to the other primary styles, delegative
leaders rarely make decisions, leaving this function up to the group. These leaders seldom offer
guidance to the team and delegate decision-making to trusted team members. While offering
few advantages, this style often creates some disadvantages. Job descriptions and lines of
authority become blurred and confusing. A loss of motivation and positivity often accompanies
the confusion of team members.
People-Oriented/Relations Oriented style effects: With people-oriented leadership, leaders
are totally focused on organizing, supporting, and developing the people on their teams. This is
a participatory style and tends to encourage good teamwork and creative collaboration. This is
the opposite of task-oriented leadership. People-oriented leaders treat everyone on the team
equally. They're friendly and approachable, they pay attention to the welfare of everyone in the
group, and they make themselves available whenever team members need help or advice.
Task-Oriented style effects: Task-oriented leaders focus only on getting the job done and can
be autocratic. They actively define the work and the roles required, put structures in place, and
plan, organize, and monitor work. These leaders also perform other key tasks, such as creating
and maintaining standards for performance. The benefit of task-oriented leadership is that it
ensures that deadlines are met, and it's especially useful for team members who don't manage
their time well. However, because task-oriented leaders don't tend to think much about their
team's well-being, this approach can suffer many of the flaws of autocratic leadership, including
causing motivation and retention problems
Transactional style effects: was first described by Max Weber in 1947 and then later described
by Bernard Bass in 1981. Mainly used by management, transactional leaders focus their
leadership on motivating followers through a system of rewards and punishments. In a survey
done by Jun Liu, Xiaoyu Liu and Xianju Zeng on the correlation of Transactional leadership and
how innovations can be affected by team emotions. The research was composed of 90 work
teams, with a total of 460 members and 90 team leaders. The study found that there is a
relationship between emotions, labor behavior and trasactional leadership that affect for the
team. Depending on the level of emotions of the team; this can affect the transactional leader
in a positive or negative way. Transactional leaders work better in teams where there is a lower
level of emotions going into the project
Transformational style effects: A transformational leader is a type of person in which the
leader is not limited by his or her followers' perception. The main objective is to work to
change or transform his or her followers' needs and redirect their thinking. Leaders that follow
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the transformation style of leading, challenge and inspire their followers with a sense of
purpose and excitement. They also create a vision of what they aspire to be, and communicate
this idea to others (their followers).
Corporate Culture Effects: Also called organizational culture, corporate culture defines "the
way we do things." Leadership styles have strong effects on corporate culture because
employees tend to act in ways that mirror their leaders. Staff also subconsciously wants to
please supervisors and management. Over time, leaders and employees usually become
"comfortable" with each other, which can cause some "culture friction" when new leaders take
over. Every business, regardless of size, has a culture. It can help or hurt operations, often
dependent on the strength and efficiency of leadership.

HOW ORGANIZATIONAL THEORY UNDERPINS THE PRACTICE OF MANAGEMENT:

According to SARAH DEVINE, Organizational theory and management theory is used in many
aspects of a working business. Many people strive to adhere to the theory to help them
become better at their jobs or more successful in life, although this may lead to them having to
sacrifice some of their personal principles in order to succeed.
One example of following organizational theory in the financial sector would be an employee or
manager who wants to know how to achieve goals by having a set structure to follow. In
addition, someone in a Human Resources sector will have to make decisions throughout their
working day that will undoubtedly change the structure and practice of a working day for all
other employees in the company.
If an individual gets so wrapped up in trying to fit the mould of what they interpret their role
should be in terms of organizational theory, they may start to neglect other areas of business.
In the same way, management theory may also underpin the personal values of some
individuals. For instance, they may disagree with a particular rule or regulation that has been
introduced by the company, however in order to carry out their job as a manager effectively
and professionally, they need to move away from their principles and execute the job.
It is difficult to try to execute both management and organizational theories as a psychological
contract between the employer and employee still needs to be maintained. This will need to
consider how fairly the company is treating the employee and how ‘fairly’ the employee is
treating the company, i.e. Are they actually putting 100 percent effort into their work? Any
changes to the organization or management in a company, is undoubtedly going to have an
effect on all of this.

DIFFERENT APPROACHES TO MANAGEMENT USED BY DIFFERENT ORGANIZATIONS:

There are, however, many ways of categorising these various approaches. For example,
Skipton attempts a classification of 11 main schools of management theory. Whatever form
of categorisation is adopted, it is possible to identify a number of other approaches, or at
least sub-divisions of approaches, and cross-grouping among the various approaches. The
choice of a particular categorisation is therefore largely at the discretion of the observer.
The following analysis will revolve around a framework based on four main approaches,
■ classical – including scientific management and bureaucracy;
■ human relations – including neo-human relations;
■ systems;
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■ contingency.
Attention is also drawn to other ‘approaches’ or ideas, including:
■ decision-making;
■ social action;
■ postmodernism.
The classical Approach: The classical writers thought of the organisation in terms of its purpose
and formal structure.They placed emphasis on the planning of work, the technical requirements
of the organisation, principles of management, and the assumption of rational and logical
behaviour. The analysis of organisation in this manner is associated with work carried out
initially in the early part of the last century, by such writers as Taylor, Fayol, Urwick, Moone
and Reiley, and Brech. Such writers were laying the foundation for a comprehensive theory of
management.
Two major ‘sub-groupings’ of the classical approach are:
1 scientific management: Many of the classical writers were concerned with the improvement
of management as a means of increasing productivity. At this time, emphasis was on the
problem of obtaining increased productivity from individual workers through the technical
structuring of the work organisation and the provision of monetary incentives as the motivator
for higher levels of output. A major contributor to this approach was F. W. Taylor (1856–1917),
the ‘father’ of scientific management.
2 Bureaucracy: A form of structure to be found in many large-scale organisations is
bureaucracy. Its importance in the development of organisation theory means that it is often
regarded as a sub-division under the classical heading and studied as a separate approach to
management and the organisation of work. The ideas and principles of the classical writers
were derived mainly from practical experience. Writers on bureaucracy, however, tend to take
a more theoretical view. Weber, a German sociologist, showed particular concern for what he
called ‘bureaucratic structures’, although his work in this area came almost as a side issue to his
main study on power and authority. He suggested that ‘the decisive reason for the advance of
bureaucratic organization has always been its purely technical superiority over any other form
of organization’.
The Human Relations Approach: The main emphasis of the classical writers was on structure
and the formal organisation, but during the 1920s, the years of the Great Depression, greater
attention began to be paid to the social factors at work and to the behaviour of employees
within an organisation – that is, to human relations. The human relations approach has been
subjected to severe criticism. The Hawthorne experiments have been criticised, for example, on
methodology and on failure of the investigators to take sufficient account of environmental
factors – although much of this criticism is with the value of hindsight. The human relations
writers have been criticised generally for the adoption of a management perspective, their
‘unitary frame of reference’ and their oversimplified theories. Other criticisms of the human
relations approach are that it is insufficiently scientific and that it takes too narrow a view. It
ignores the role of the organisation itself in how society operates.
The Neo-Human Relations Approach: Certainly there were shortcomings in the human
relations approach and assumptions which evolved from such studies as the Hawthorne
experiments were not necessarily supported by empirical evidence. For example, the
contention that a satisfied worker is a productive worker was not always found to be valid.
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However, the results of the Hawthorne experiments and the subsequent attention given to the
social organisation and to theories of individual motivation gave rise to the work of those
writers in the 1950s and 1960s who adopted a more psychological orientation. New ideas on
management theory arose and a major focus of concern was the personal adjustment of the
individual within the work organisation and the effects of group relationships and leadership
styles. This group of writers is often (and more correctly) categorised separately under the
heading of ‘neo-human relations’. A major impetus for the neo-human relations approach was
the work of Maslow who, in 1943, put forward a theoretical framework of individual personality
development and motivation based on a hierarchy of human needs.47 The hierarchy ranges
through five levels from, at the lowest level, physiological needs, through safety needs, love
needs and esteem needs, to the need for self-actualisation at the highest level. Individuals
advance up the hierarchy only as each lower-level need is satisfied. Although Maslow did not
originally intend this need hierarchy to be applied necessarily to the work situation it has,
nevertheless, had a significant impact on management approaches to motivation and the
design of work organization to meet individual needs. The work of Maslow provides a link with
the earlier human relations approach.
The Systems Approach: More recently, attention has been focused on the analysis of
organisations as ‘systems’ with a number of interrelated sub-systems. The classical approach
emphasised the technical requirements of the organisation and its needs – ‘organisations
without people’; the human relations approaches emphasised the psychological and social
aspects, and the consideration of human needs – ‘people without organisations’. The systems
approach attempts to reconcile these two earlier approaches and the work of the formal and
the informal writers. Attention is focused on the total work organization and the
interrelationships of structure and behaviour, and the range of variables within the organisation

The Contingency Approach: the contingency approach showed renewed concern with the
importance of structure as a significant influence on organisational performance. The
contingency approach, which can be seen as an extension of the systems approach, highlights
possible means of differentiating among alternative forms of organisation structures and
systems of management. There is no one optimum state. For example, the structure of the
organization and its ‘success’ are dependent, that is contingent upon, the nature of tasks with
which it is designed to deal and the nature of environmental influences
The Decision Making Approach: Here the focus of attention is on managerial decision-making
and how organisations process and use information in making decisions. Successful
management lies in responding to internal and external change. This involves the clarification of
objectives, the specification of problems and the search for and implementation of solutions.
The organisation is seen as an information-processing network with numerous decision points
The Social Action Approach: Social action represents a contribution from sociologists to the
study of organisations. Social action writers attempt to view the organisation from the
standpoint of individual members (actors), who will each have their own goals and
interpretation of their work situation in terms of the satisfaction sought and the meaning that
work has for them. The goals of the individual, and the means selected and actions taken to
achieve these goals, are affected by the individual’s perception of the situation.
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The Post Modernism: In the 1990s, writers such as Clegg described the postmodern
organisation in terms of the influence of technological determinism, structural flexibility,
premised on niches, multiskilled jobs marked by a lack of demarcation, and more complex
employment relationships including subcontracting and networking. Postmodernism rejects a
rational systems approach to our understanding of organizations and management and to
accepted explanations of society and behaviour

THE IMPACT THAT DIFFERENT LEADERSHIP STYLES MAY HAVE ON MOTIVATION IN

ORGANIZATIONS IN PERIODS OF CHANGE:
Accoridng to Michael A. Germano (J.D., M.A., M.S), Leadership has a direct cause and effect
relationship upon organizations and their success. Leaders determine values, culture, change
tolerance and employee motivation. They shape institutional strategies including their
execution and effectiveness. Leaders can appear at any level of an institution and are not
exclusive to management.
Current leadership theories describe leaders based upon traits or how influence and power are
used to achieve objectives. When using trait-based descriptions, leaders may be classified as
autocratic, democratic, bureaucratic or charismatic. If viewing leadership from the perspective
of the exchange of power and its utilization to secure outcomes, leaders are situational,
transactional or transformational. Understanding these different tropes can provide a
vocabulary for discussion that can lead to meaningful, desired results. It bears noting that not
all leaders are created equal, and leadership quality may vary enormously across industries or
simply within an organization. In addition, identifying an individual leader’s style is central to
evaluating leadership quality and effectiveness especially as it relates to organizational goals.
Below is a brief examination of each common leadership style listed above and their potential
impact on a group as well as their relative usefulness.

Autocratic: Autocratic leaders are classic “do as I say” types. Typically, these leaders are
inexperienced with leadership thrust upon them in the form of a new position or assignment
that involves people management. Autocratic leaders can damage an organization irreparably
as they force their ‘followers’ to execute strategies and services in a very narrow way based
upon a subjective idea of what success looks like. There is no shared vision and little motivation
beyond coercion. Commitment, creativity and innovation are typically eliminated by autocratic
leadership. In fact, most followers of autocratic leaders can be described as biding their time
waiting for the inevitable failure this leadership produces and the removal of the leader that
follows.
Bureaucratic: Bureaucratic leaders create, and rely on, policy to meet organizational goals.
Policies drive execution, strategy, objectives and outcomes. Bureaucratic leaders are most
comfortable relying on a stated policy in order to convince followers to get on board. In doing
so they send a very direct message that policy dictates direction. Bureaucratic leaders are
usually strongly committed to procedures and processes instead of people, and as a result they
may appear aloof and highly change adverse.
Democratic: It sounds easy enough. Instead of one defined leader, the group leads itself.
Egalitarian to the core, democratic leaders are frustrated by the enormous effort required to
build consensus for even the most mundane decisions as well as the glacial pace required to
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lead a group by fiat. The potential for poor decision-making and weak execution is significant
here. The biggest problem with democratic leadership is its underlying assumptions that
everyone has an equal stake in an outcome as well as shared levels of expertise with regard to
decisions. That’s rarely the case. While democratic leadership sounds good in theory, it often is
bogged down in its own slow process, and workable results usually require an enormous
amount of effort.
Charismatic: By far the most successful trait-driven leadership style is charismatic. Charismatic
leaders have a vision, as well as a personality that motivates followers to execute that vision. As
a result, this leadership type has traditionally been one of the most valued. Charismatic
leadership provides fertile ground for creativity and innovation, and is often highly
motivational. With charismatic leaders at the helm, the organization’s members simply want to
follow. It sounds like a best case scenario. There is however, one significant problem that
potentially undercuts the value of charismatic leaders: they can leave. Once gone, an
organization can appear rudderless and without direction. The floundering can last for years,
because charismatic leaders rarely develop replacements. Their leadership is based upon
strength of personality. As a result, charismatic leadership usually eliminates other competing,
strong personalities. The result of weeding out the competition is a legion of happy followers,
but few future leaders.
Situational: Situational leadership theory suggests that the best leaders constantly adapt by
adopting different styles for different situations or outcomes. This theory reflects a relatively
sophisticated view of leadership in practice and can be a valuable frame of reference for
experienced, seasoned leaders who are keenly aware of organizational need and individual
motivation. Most importantly, it allows experienced leaders the freedom to choose from a
variety of leadership iterations. Problems arise, however, when the wrong style is applied
inelegantly. Also, considering our earlier discussion regarding some of the more ineffective
leadership styles like autocratic and bureaucratic, this style requires a warning or disclaimer
related to unintended or less than optimal results when choosing one of these styles. With that
said, situational leadership can represent a useful framework for leaders to test and develop
different styles for various situations with an eye towards fine-tuning leadership results.
Situational leadership, however, is most effective when leaders choose more effective styles
like charismatic, transactional, and transformational.
Transactional: The wheeler-dealers of leadership styles, transactional leaders are always willing
to give you something in return for following them. It can be any number of things including a
good performance review, a raise, a promotion, new responsibilities or a desired change in
duties. The problem with transactional leaders is expectations. If the only motivation to follow
is in order to get something, what happens during lean times when resources are stretched thin
and there is nothing left with which to make a deal? That said, transactional leaders sometimes
display the traits or behaviors of charismatic leaders and can be quite effective in many
circumstances while creating motivated players. They are adept at making deals that motivate
and this can prove beneficial to an organization. The issue then is simply one of sustainability.
Transformational: Transformational leaders seek to change those they lead. In doing so, they
can represent sustainable, self-replicating leadership. Not content to simply use force of
personality (charismatic) or bargaining (transactional) to persuade followers, transformational
leaders use knowledge, expertise and vision to change those around them in a way that makes
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them followers with deeply embedded buy-in that remains even when the leader that created
it is no longer on the scene. Transformational leaders represent the most valuable form of
leadership since followers are given the chance to change, transform and, in the process,
develop themselves as contributors. Organizationally this achieves the best leadership outcome
since transformational leaders develop people. Transformational leadership is strongly desired
since it has no artificial constraints in terms of buy-in and instead is focused on getting followers
on board based upon their own evolving thought process and changing responses to leadership
challenges. It is particularly suited for fast-paced, change-laden environments that demand
creative problem solving and customer commitment.

THE APPLICATION OF DIFFERENT MOTIVATIONAL THEORIES IN THE WORKPLACE:

According to David Ingram of Demand Media, motivation theories are abundant, but putting
them into practice can be extremely challenging. In large companies, it's difficult to maintain
consistency across multiple locations and in multiple departments. Often, motivational
techniques tend to leave out some departments that can't participate as actively in activities as
others. The best way to successfully incorporate motivation theories in the workplace is to
centralize as much as possible, and conduct thorough training with your management staff to
improve consistency. The following are the different steps to apply motivational theories in the
workplace.

The best managers inspire their employees to climb to new heights in their careers
Step 1: Use traditional and innovative compensation strategies to leverage the expectancy
theory. The expectancy theory puts forth the premise that for each specific task, employees will
put forth an amount of effort commensurate with their perceived value of the compensation
they will receive. Employees who resist taking on new job duties, claiming “I'm not being paid
for this,” serve as an ideal example of the expectancy theory at work.
Step 2: Tie compensation incentives directly into specific performance objectives to push your
employees to excel. Give out generous bonuses to top performers, and use intangible rewards
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in additional to monetary compensation to reach employees on a deeper level, soliciting a
deeper level of commitment to company goals.
Step 3: Institute employee development programs, employee recognition programs and a
positive, open company culture to tap into the acquired needs theory. The acquired needs
theory states that all people are fundamentally motivated by three needs, with one need
always being stronger than the others. According to this theory, all employees subconsciously
seek either personal achievement, social acceptance or power. Employee recognition programs
can boost employees' self-esteem and feelings of achievement. A welcoming company culture
encourages employees to develop lasting friendships. Employee development programs allow
hard workers to move into positions of leadership, fulfilling their ambitions.
Step 4: Gauge the intrinsic motivation of your employees to determine whether McGregor's
Theory X or Theory Y is more appropriate in your company. Theory X sets forth the premise that
employees are inherently averse to working, and must be continually motivated by external
sources. Theory Y sets forth the opposite premise, stating that employees are internally driven
to succeed at projects that truly interest them. Put strict operational guidelines in place to
guide front-line employees through their day-to-day routines if you feel Theory X is more
appropriate in your company. Make sure employees understand that they are free to try new
things and learn from their mistakes, while matching employees up with job tasks that truly
interest them if you feel Theory Y is the way to go.

THE USEFULLNESS OF A MOTIVATIONAL THEORIES FOR MANAGERS

Managers of all types of organizations, including small firms, need to motivate their employees
to remain competitive. Since employees may find different factors to be motivating, it is crucial
that managers take the time to determine what drives each individual. In the majority of cases,
positive factors that appeal to an individual's internal needs tends to be more effective than
using negative reinforcement, criticism and feedback only when performance falls short of
expectations.
Types of Theories: Motivational theories typically fall into two categories. Content theories
explain individual needs, while process theories explain the thought processes behind an
individual's behavior. According to content theories, needs drive humans to act in certain ways
and adopt specific work behaviors. Process theories explain a person's behavioral decision
process.
Maslow's Hierarchy of Needs: Abraham Harold Maslow's Hierarchy of Needs theory states that
motivation stems from various sets of needs, including physiological, safety, social, esteem and
self-actualization. According to some interpretations of the theory, an individual will not seek to
satisfy higher-level needs until he fulfills his lower-level needs. Higher-level needs are esteem
and self-actualization, while lower level needs are physiological, safety and social. If a manager
wants to appeal to self-actualization needs, he may offer to develop an employee's potential
and reward him with a promotion if he meets performance requirements. Some employers
structure entry-level positions in this manner to motivate new employees to remain loyal to the
company and perform above expectations. An example would be a "management trainee"
position.
Herzberg's Two-Factor Theory: Frederick Irving Herzberg developed a motivational theory for
the workplace that consists of two separate categories. The first contains a list of hygiene
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factors that might create high levels of dissatisfaction if they are lacking or negative. Some of
these factors include working conditions, pay, status or title, benefits, organizational culture
and job stability. If these factors are positive or adequate, they create a state of neutrality.
Herzberg's motivational factors include achievement, recognition, personal growth and
personal investment. According to the theory, these factors can stimulate employees to
perform at a higher level. Herzberg thought that companies should use both hygiene and
motivational factors. For example, to ensure motivation, a manager might want to pay his
employees market wages or higher and praise their job performance formally and informally.
Equity Theory: J. Stacy Adams' equity theory states that employees adjust their performance
and output based on whether they perceive the results to be equitable. For example, if one
employee believes that he will be rewarded less than his peers for the same amount of effort,
he likely will reduce his job performance. The same activity might occur if the employee feels
that his employer is rewarding him too much relative to his peers. Managers can apply this
theory by trying to make pay structures equitable for the same amount of work. This is one of
the primary reasons why sales territories are realigned according to average sales volume.

THE NATURE OF GROUPS & GROUP BEHAVIOUR WITHIN ORGANIZATIONS:

 Groups:
– Help organizations accomplish important tasks.
– Help to maintain a high-quality workforce by satisfying members’ needs.
 Effective groups achieve high levels of:
– Task performance: Members attain performance goals regarding quantity,
quality, and timeliness of work results.
– Members satisfaction: Members believe that their participation an experiences
are positive and meet important personal needs.
– Team viability: Members are sufficiently satisfied to continue working together
on an ongoing basis.
 Synergy: Effective groups offer synergy. With synergy, groups accomplish more than the
total of the members’ individual capabilities. Synergy is necessary for organizations to
compete effectively and achieve long-term high performance
 Situations in which groups are superior to individuals when there is no clear expert in a
particular problem or task, when problem solving can be handled by a division of labor
and the sharing of information & when creativity and innovation are needed
 Social loafing as a performance problem: Social loafing is the tendency of people to
work less hard in a group than they would individually. Reasons for social loafing are
Individual contributions are less noticeable in the group context.
Nature of Group Behaviour: In examining the behavior of people in groups, whether formal or
informal, there are a number of key issues that have to be considered and these are: -
1. Group size: The size of a group is one factor that can determine its likely behavior. Large
groups require a higher degree of formalization than smaller require clearer lines of
communication. Large Group tend to pay less attention to the needs of individuals than smaller
groups, concentrate more on task requirements than personal issues & are more susceptible to
the development of such - groups than smaller groups which are likely
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2. Purpose of group: Work - groups are assigned definite purpose within the organizational
structure. Work - groups are often asked to focus their efforts on specific problems, usually of a
short-term nature. Some groups are especially set up for this very purpose, such as taskforces,
working parties and project groups. Short-term tasks are usually allocated some explicit time
limit.
3. Nature of task: The nature of the task is broadly decided in terms of the group’s purpose and
objectives. A fairly specific task and outcome will demand different quantities from the group
compared with, say a generally-stated problem requiring further questions to be asked. Some
types of the tasks can be: Ongoing or routine, Implementing new process or procedures,
Creating new ideas, Solving specific problems or issues, Important negotiations with customers
or competitors.

FACTORS THAT PROMOTE EFFECTIVE TEAMWORK:

There are a few factors of effective teamwork that are common to teams of all types
1. Diversity: Effective teams embrace and are constituted by a diversity of cultures, talents
and personalities. Diversity can promote creativity and innovation, and raise awareness
of and respect for differences, which will support effective teamwork
2. Communication: Effective teamwork is facilitated by clear and open communication. All
team members should be on the same page with respect to targets, responsibilities and
timelines. This cohesion is facilitated by effective communication
3. Leadership: Teamwork is supported by effective leadership. All teams benefit from one
or several sources of inspiration and direction; leaders can support collaboration by
coordinating the efforts of team members and encouraging team members to speak
their minds during team meetings
4. Team building exercise: Effective teamwork is developed through shared experiences
and practice. The use or avoidance of team-building activities can be an important factor
in determining the development of effective teams; in the age of advanced technology
and fast-paced business environments, some team members would never see one
another face to face if they did not make a point to do so. Team-building exercises can
be targeted to improve particular aspects of team performance such as communication,
problem-solving or creativity
5. Interdependence: the team members feel responsible towards other members of the
team and that the success of the project is based upon each team member’s contribution
6. Interpersonal Skills:
• Open communication and positive feedback.
• Appropriate team composition.
• Commitment to team processes, leadership & accountability

FACTORS THAT INHIBIT EFFECTIVE TEAMWORK:

Absence of trust: it develops from the teams unwillingness to be vulnerable within the group
and team members are often not genuinely open with one another about mistakes and
weaknesses and making it impossible to build a foundation for trust
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Fear of conflict: it develops from the teams unwillingness to be vulnerable within the group and
team members are often not genuinely open with one another about mistakes and weaknesses
and making it impossible to build a foundation for trust
Large Group: The causes of teamwork failure is group size cause large groups less productivity
and coordination losses is mostly to take place within that organization, meaning inefficiency
that result from the group member’s inability to combine their resource in a maximally
productive way
Social loafing is the other ingredient of factors inhibiting teamwork success, thus, relaxation
that people experience when in a group and individual performance cannot be evaluated

The impact (both positive & negative) of technology on team functioning:

Positive Impacts are as follows:
• New developments in IT have led to an increasingly mobile workforce. We are no longer
tied to our desk in order to stay in the information loop. We can take our office with us
wherever we go. Cellular phones allow us to be reached almost anywhere. Blackberries
and Ultra-mobile PCs permit to access e-mail and other data products at a wide range of
locations. A wide range of new technologies have given businesses access to faster
communication, increased efficiencies, and the ability to work away from the office
• New technology has opened a door of opportunities for team and team members willing
to explore non-traditional work arrangements. Standley wrote, "91 percent team allow
its members to work at home occasionally. This technology also allows a new kind of
team to emerge. Virtual teams can be formed, bringing together the best people
regardless of location and time (Gignac, 2005). E-mail, teleconferencing, video
conferencing, and new emerging technologies are enabling people around the world to
communicate and collaborate rapidly and efficiently. Virtual teams are contributing to a
synergy like never before seen
Negative impacts are as follows:
• Security is a primary concern inherent in a mobile and accessible IT system. Denying
network access to unauthorized users is an ongoing battle in many firms. Physical
security of IT equipment is also an issue
• Companies implementing new technology must also take into account the social impact.
According to Sussan (2006), "teamwork is a crucial element of workplace functioning."
He goes on to explain that studies have shown lower satisfaction levels for users of
virtual meeting tools in contrast with fact-to-face meetings
• There are also some concerns to consider with the telecommuting arrangement. If team
cohesiveness is a primary concern with an organization, the lack of interaction between
peers could hinder this goal. Supervision of team member’s working off-site is also
problematic
• Evaluating performance, distributing the workload, and motivating team members is
more difficult when they are not physically present

Conclusion
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An organization consists of individuals with different tasks attempting to accomplish a common
purpose. (For a business, this purpose is the creation and delivery of goods or services for its
customers.) Organizational behavior is the study of how individuals and groups perform
together within an organization. It focuses on the best way to manage individuals, groups,
organizations, and processes. Organizational behavior is an extensive topic and includes
management, theories and practices of motivation, and the fundamentals of organizational
structure and design. In my above assignment I tried hard to show these types of various
aspects related organization & its behavior. From the smallest nonprofit to the largest
multinational conglomerate, firms and organizations all have to deal with the concept of
organizational behavior. Knowledge about organizational behavior can
provide managers with a better understanding of how their firm or organization attempts to
accomplish its goals.

BIBLOGRAPHY:

1. Hand book of principles of Organizational Behaviour

2. Book Name: Principles of Organizational Behaviour: Realities & Challenges

3. Organizational Behaviour & Management, by John M. Ivancevich

4. Organizational Behaviour, by Robert Kreitner

5. www.lawteacher.net

6. Smallbusiness.chron.net

7. www.studymode.com

8. www.ZBook.vn

9. Organizational Behavior, 8e Schermerhorn, Hunt, and Osborn

10. www.ivoryresearch.com

11. www.brightidea.com
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